NEWHAM DEANEY CIO
(A Charitable Incorporated Organisation)
REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Charity Registration Number: 1167754 Company Number: CE007584
NEWHAM DEANERY CIO
REPORT AND FINANCIAL STATEMENTS
YEAR ENDED 31 DECEMBER 2020
| Contents | Page |
|---|---|
| Reference and administrative information | 1 |
| Trustees’ report | 2 - 4 |
| Independent Examiners report | 5 |
| Statement of financial activities | 6 |
| Balance sheet | 7 |
| Notes to the financial statements | 8 |
NEWHAM DEANERY CIO
REFERENCE & ADMINISTRATIVE INFORMATION
YEAR ENDED 31 DECEMBER 2020
| Trustees | Rev Peter Ngugi (Chairman) |
|---|---|
| Rev Jeremy Fraser Resigned 7th July 2021 | |
| Father James Mackay Resigned 1st February 2021 | |
| Sahdia Warraich Resigned 4th April 2021 | |
| Ilona Petraskiene | |
| John Johnson | |
| Centre Manager | Sammy Litondo |
| Bankers | National Westminster Bank Plc |
| 15 Mary Rose Mall | |
| Beckton | |
| E6 5ZZ | |
| Independent Examiner | Da-Silva and Associates |
| 14 Farm Close | |
| Essex | |
| RM10 9TX | |
| Solicitors | Birketts |
| Brierly Place | |
| New London Road | |
| Chelmsford | |
| CM2 0AP | |
| Registered Office | Vicarage |
| 7 Duchess Drive | |
| London | |
| E13 8FE |
1
NEWHAM DEANERY CIO
TRUSTEES’ REPORT
YEAR ENDED 31 DECEMBER 2020
The trustees, who are also directors for the purposes of company law, present the annual report and financial statements of the organisation for the year ended 31 December 2020 which have been prepared in accordance with the Statement of Recommended Practice - Accounting and Reporting by Charities (revised 2019) and the Companies Act 2006.
STRUCTURE GOVERNANCE AND MANAGEMENT
Newham Deanery CIO is a Foundational CIO with a registered charity (number 1167754) and a company (number CE007584). The governing document of the charity is the constitution adopted on registration on 21st June 2016.
There are between 3 and 9 trustees at any one time. The Area Dean acts as an ex officio member. One of trustees is nominated by The Bishop of Barking. Trustees are appointed through invitation and recommendation, which includes an interview with the Chair and at least one other Trustee before they are confirmed by the Board.
There is an induction process for new trustees, which includes an induction pack, introductory sessions with the Centre Manager and visits to the centre.
The trustees meet at least 6 times a year and are updated on significant regulatory and sector developments. The day to day management of the charity is delegated to the Centre Manager who consults regularly with the Chairman and reports to the trustees at each of their meetings.
OBJECTIVES AND ACTIVITIES
The objects of the CIO is to develop the use of Church and Community buildings held by parishes in the Deanery of Newham for the benefit of the wider Newham community and advancing the mission and ministry of the Church of England in the Newham area.
These objects are achieved through the provision of community centre services and engagement with the wider community of Newham.
Newham Deanery CIO manages St Mark’s Church and Community Centre following an agreement with The Chelmsford Diocesan Board of Finance. This enables the CIO to spend its income on service provision to its beneficiaries.
ACHIEVEMENTS AND PERFORMANCE
Newham Deanery CIO makes a positive contribution in the communities in providing space where these communities can carry their social activities effectively.
The CIO aims at all times to provide services that are competitive and comparable with other community charities in the area.
This annual report includes the Covid-19 pandemic period where the centre closed for some periods and had to rapidly change and learn to operate in difficult circumstances.
FINANCIAL REVIEW
The net expenditure for the year is £17,804 (2019: Net income £11,004).
Newham Deanery CIO reviews its finances on a regular basis, in the current year, income declined by 16% mainly due to the Covid-19 pandemic.
2
NEWHAM DEANERY CIO
TRUSTEES’ REPORT (continued)
YEAR ENDED 31 DECEMBER 2020
Reserve Policy
Reserves are required in the event of possible emergencies and in order to ensure unexpected contingencies are adequately funded.
It is the policy of the CIO is to retain sufficient funds at a level enough to cover regular operational costs and the remainder of the reserve is expended on the objectives of the charity or retained for future plans.
At 31 December 2020 the CIO held total funds of £16,568 (2019 - £34,372) which is represented as unrestricted Fund. Other than bank deposits the CIO does not hold investments.
PUBLIC BENEFIT STATEMENT
The trustees confirm that they have complied with the duty in Section 17 of The Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission in determining the activities undertaken by the charity.
Delivery of public benefit is achieved through direct provision of services through the CIO’s work in providing community building facilities to various individuals and groups in Newham.
3
NEWHAM DEANERY CIO TRUSTEES, REPORT IconllThLwII YEAR ENDED 31 DECEIIBER 2020 STATEMEiif OF TRUSTEES, RESPONSIBILITIES The IsleeS Iwho are aso the directors ofthe Newham Deanery CIO for the purposes ofcompany lawl are reSponsie for preparing the Trustees, Report and the financial stslements in xcordanee with applicable law and United Kingdom Accounlllw Stsndards (United Kingdom GeThera A¢PIe Accounting Practi1. Company Lqw require5 the trustees to prepare financial stslements for each financial year whith give a true and fair view of the stale ol affairs of the charitable company and of the incoming resources and applic2tion of resources, induding the income and expenditu. ol the thanlable eompany for Ihal period. In preparing these financial stalernenls the Iiuslees are required to.. Select suitable actounting 1]¢1@$ and Ihen apFAy them consi5tenty', ObseNe the melhryts and prlnapth in the CharilB5 SORP.. Make judgements and estimates that are reasonable and prudent, Stale whether applicable UK Accoullling standard5 have been folk)wed, subject to any material deparbJre5 dI)sed and explained in the financial statements,. Prepare Ihefinancial stsleKnentson the going corern basis Un$$ il isinappropriale to presutne Ihal thechaiitable cornpany will continue in business The trustees are responsble for keeping proF*r accountiry records th81 ¢JiscEose with reasonable accuracy al 8ny lime ol Ihe financial posikn'on ol the charitsbk company and enable them lo ensure that Ihe financial statements comply with the Companies Ac12006. They are21so reswnsibte lorsafeguarding the assets ol the charitablecompany and hence fortang reasonable steps for Ihe prevenb'on and detection ol fraud and other irteguiarilEs. In so lar as we a aware". There is no relevant audit infomalion ol whiol the charitable company's auditor is unaware,. and The tnJ51ees have tsk8n all steps that they ought to have taken lo rnake themselves aware of any relevant audit infomialion and lo estabfish that the auditor is aw8re ol that informab"on. In preparing the Trustees Report the TTUStees' h8vè tsken advantage of the exemption available lo small comparHes and have not prepared a strategic repott Approved by the Board c d signed on their behalf by.. Rev Peter Ngugs Chairnan
INDEPENDE1 EXAMINElfS REPORT TO THE TRUSTEES OF NEWHAM DEANERY CIO I reportto the tntstees on my examinatrAI ofU &o)unts of Nethan CIO (the Charity) forthe year eThJed 31 December 2020. Responsibilities and basis of report The trustees ofthe organisa1K are responsib forts preparknn ofthe lnts in )rdance with the requirements of Charities Act 2011 Ilhe Act). They cortsider that an audil iq t ro]uired for ttws year under section 144121 of the Charities Act 2011 and that an lThJepeThJent Examination is lded. I report in respect of my exaMInatK of the chariils )uTrt urthr k)n145 ofthe 2011 Act aTrJ vi cawying out my examinats'on I have foli0vd all the applb Direcbons gi by the chlty Commission under section14515llbl of the Act. Independent examinerf$ statement I have completed my examinalK)n. I cthEm that rK) mik4 matter5 have CLTh to my attentKin in o)Mection with the examination giving me caLtse to bele thal in any material countir¥J records 18 kept in respx ofts Charity as rw4uired by s&lK)n 130 ofthe Act or the ¥Unts th) rK)l ¥th those Tecorts.. or the accounts do tt ccnpty with apabl& wuwem8nts o)rKemtry the forn v] content ofthe &counts set out in the Charitss IA(wunts Rep)rts) R&Julan$ SJ)8 ott*r than requIteent that ts accounts give a true and fair vw whh i8 rot a matter{x)nsi a8 part of an Ile[dent examination. I have no concerns and have come xn)ss no other Matte in cOnnlKIn with the exarnination to vthich attenlion should be drawn in this rert in orderto enatjle pwoper UndeIrS ofthe £4ts to be rethd. EILEEN DA-SILVA Oa4ilva and Associates 14 Fa Close Essex RM10 9TX
NEWHAM DEANERY C STATEMEKf OF NNANCIAL ACTMTIES YEAR ENDED 31 DECEMBER 2020 Unrestricted Funds Total 2020 Unrestricted Funds Total 2019 Income Incom8 from donations and legacies 250 In¢ome from charitable athltles Granl Rents and fxilty hre 25,000 113,853 225,983 Other Income 51,949 Total incomo 190,802 226,233 Expendlture ExpendStur• on ¢harltable actlvftles Communty BuihJiThJs 1208,606 1215,2291 Totsl eXndItUre {208,606) 1215.2291 Net Incomel(expendltur81 117,8041 11,004 Fund baLgnces as at1 January 2020 34,372 23,368 FUND BALANCES AT 31 DECEMBER 2020 16,568 34,372 The a¢XoMpanng Th)tes fomi an integral part ofttr£se fina1 statnents. AJI thibes ae continuitvJ there are no recYJJnksed gains aNI Ic6ses otherthan as Sho ab)ve.
NEWHAM DEANERY CIO Company No.. CE007584 BALANCE SHEET AT 31 DECEMBER 2020 2020 2019 Notes FED ASSETS Tangible assets 116 233 CURRENT ASSETS Stock Debtors Cash al bank and in hand 848 38,775 29,626 10,386 55,930 67,164 69,249 CREDITORS.. amounts falling due within on8 year 150,7121 135,1101 NET CURRENT ASSETS 16,452 34,139 NET ASSETS 16,568 34,372 Funds.. Unrestricted Fund 16,568 34.372 TOTAL NET ASSETS AT 31 DECEMBER 2020 13 16.568 34,372 The finanual statements were approved by the Board ol the Tru5tee5 on svJned below on its behalf by and were Rey Peter Ngu Ilona Pelraskiene Trustee Trustse The accompanying notes form an integral part of these financial slalements.
NEWHAM DEANERY CIO
FOR THE YEAR ENDED 31 DECEMBER 2020
NOTES TO THE FINANCIAL STATEMENTS
1. ACCOUNTING POLICIES
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:
Accounting Basis
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2018) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Newham Deanery CIO meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s). These financial statements have been drawn up in the historical accounting basis.
The accounts are prepared in pounds sterling, rounded to the nearest pound.
Preparation of accounts on a going concern basis
The trustees consider there are no material uncertainties about the Charity’s ability to continue as a going concern. The review of our financial position, reserves levels and future plans gives Trustees confidence the charity remains a going concern for the foreseeable future.
Critical accounting judgements and estimates
In preparing these financial statements, management has made judgements, estimates and assumptions that affect the application of the charities accounting policies and the reported assets, liabilities, income and expenditure and the disclosures made in the financial statements. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Income recognition
Income from rents and facility hire and café receipts are accounted for when receivable. Grants are accounted for when the charity becomes entitled to the funding and donations are accounted for when received.
Expenditure
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to that category.
Governance costs are the costs associated with the governance arrangements relating to the general running of the charity, including costs of strategic planning for the longer term development of the CIO.
Irrecoverable VAT is charged as a cost in the statement of financial activity.
8
NEWHAM DEANERY CIO
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
Fixed Assets
Assets are depreciated, in equal annual instalments, over their economic lives at the following rates:
Electronic equipment 25%
Financial instruments
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments, including trade and other debtors and creditors are initially recognised at transaction value and subsequently measured at their settlement value.
Cash at bank and in hand
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
Debtors
Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid net of any trade discounts due.
Creditors and provisions
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably.
Foreign currency translation
The charities functional and presentation currency is pound sterling. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. All differences are recognised in the Statement of Financial Activities.
Pension scheme
of the scheme are held independently from those of Newham Deanery CIO in an independently administered fund. The pensions costs charged in the financial statements represent the contributions payable during the year.
Fund accounting
Funds held by the charity are unrestricted funds. These are general funds which can be used in accordance with the charitable objects at the discretion of the trustees.
9
NEWHAM DEANERY CIO
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2020
1. ACCOUNTING POLICIES (Continued)
Taxation
The activities of the CIO, being a charity are exempt from income tax and corporation tax. The CIO is not registered for Value Added Tax.
Expenditure in these financial statements is therefore shown inclusive of Value Added Tax suffered.
2. LEGAL STATUS
Newham Deanery CIO is a Charitable Incorporated Organisation, limited by guarantee and has no share capital. The members have no liability to contribute to its assets and no personal responsibility for settling its debts and liabilities in the event of a winding up.
3. OTHER INCOME
----- Start of picture text -----
||||
|---|---|---|
|2020|2019|
|£|£|
|HMRC CJRS|44,545|-|
|Insurance Claim|7,404|-|
|- ------------------|- ------------------|
|51,949|-|
|========|=========|
----- End of picture text -----
----- Start of picture text -----
|||||
|---|---|---|---|
|4.|EXPENDITURE|
|Staff|Support|Total|
|Costs|Costs|2020|
|£|£|£|
|a)|Analysis of total expenditure|
|Charitable activities|
|Unrestricted funds|
|Community buildings|115,312|93,294|208,606|
|------------------|-------------------|-----------------------|
|Total expenditure 2020|115,312|93,294|208,606|
|=========|=========|===========|
|Total expenditure 2019|146,901|68,328|215,229|
|=========|=========|===========|
----- End of picture text -----
----- Start of picture text -----
|||||||||
|---|---|---|---|---|---|---|---|
|b)|Analysis of support costs|Admin|Property Travel|Finance Depreciation Governance|Total|
|Costs|Costs|Costs|Costs|
|£|£|£|£|£|£|£|
|Charitable activities|
|Unrestricted funds|
|Community buildings|13,351|33,941|-|40,272|116|5,614|93,294|
|------------------|--------------------|-----------------|------------------- ----------------------|--------------------|----------------|
|Total support costs 2020|13,351|33,941|-|40,272|116|5,614|93,294|
|========|========= ========|========|========|=======|=======|
|Total support costs 2019|16,069|41,958|395|10|116|9,780|68,328|
|========|========= ========|========|========|=======|=======|
----- End of picture text -----
10
NEWHAM DEANERY CIO
TRUSTEES’ REPORT (continued)
YEAR ENDED 31 DECEMBER 2020
FINANCIAL STATEMENTS (continued)
| 4. | EXPENDITURE (continued) | 2020 | 2019 |
|---|---|---|---|
| £ | £ | ||
| c) | Analysis of governance costs | ||
| Legal and professional fees | 2,614 | 6,780 | |
| Independent Examiners fees | 3,000 | 3,000 | |
| -------------------- | -------------------- | ||
| 5,614 | 9,780 | ||
| ======== | ======== | ||
| 5. | NET INCOME | 2020 | 2019 |
| £ | £ | ||
| Net income is stated after charging: | |||
| Depreciation | 116 | 116 | |
| Independent Examiners fee | 3,000 | 3,000 | |
| ======= | ========= | ||
6. |
STAFF EMPLOYMENT |
2020 |
2019 |
| £ | £ | ||
| Salaries and wages | 106,159 | 136,009 | |
| Social security costs | 2,015 | 3,848 | |
| Pension costs | 2,504 | 1,106 | |
| Other cost | 4,634 | 5,938 | |
| ---------------------- | ---------------------- | ||
| Total Staff Costs | 115,312 | 146,901 | |
| ========= | =========== |
No employee received employee benefits (excluding employer pension cost) exceeding £60,000 (2019: Nil).
The average monthly number of employees during the year was made up as follows:
| 2020 | 2019 | |||
|---|---|---|---|---|
| Part Time | Full Time |
Part Time | Full Time | |
| Community work | 6 | - |
7 | - |
| Central Administration | - | 2 | - | 2 |
| ------- | ------- | ------- | ------- | |
| 6 | 2 | 7 | 2 | |
| === | === | === | === | |
| Full time equivalents | 2020 | 2019 | ||
| The number of full time equivalent posts is | 4.5 | 5 | ||
| ======= | ====== |
11
NEWHAM DEANERY CIO
NOTES TO THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31 DECEMBER 2020
| 7. | TANGIBLE FIXED ASSETS | Office | |
|---|---|---|---|
| Equipment | |||
| £ | |||
| Cost or valuation | |||
| At 1January 2020 | 465 | ||
| Additions | - | ||
| ------------------------- | |||
| At 31December 2020 | 465 | ||
| ------------------------- | |||
| Depreciation | |||
| At 1 January 2020 | 232 | ||
| Charge for year | 117 | ||
| ------------------------- | |||
| At 31 December 2020 | 349 | ||
| ------------------------- | |||
| Net Book Value | |||
| At 31 December 2020 | 116 | ||
| ============= | |||
| At 31 December 2019 | 233 | ||
| ============= | |||
| All assets are used for charitable | |||
| purposes. | |||
| 8. | DEBTORS | 2020 | 2019 |
| £ | £ | ||
| Rent Receivable | 10,386 | 38,775 | |
| ----------------------- | ----------------------- | ||
| 10,386 | 38,775 | ||
| ========= | ========== | ||
| 9. | CREDITORS: due within one year | 2020 | 2019 |
| £ | £ | ||
| Trade creditors | 10,214 | 922 | |
| Taxation and Social Security | 6,034 | - | |
| Other creditors and accruals | 34,464 | 34,188 | |
| ---------------------- | ---------------------- | ||
| 50,712 | 35,110 | ||
| ========= | ========== |
12
NEWHAM DEANERY CIO
NOTES TO THE FINANCIAL STATEMENTS (continued)
YEAR ENDED 31 DECEMBER 2020
10. TRUSTEES’ REMUNERATION
No director has received any remuneration or reimbursement of expenses (2019: Nil).
| 11. | UNRESTRICTED FUNDS | Movement in funds | ||||
|---|---|---|---|---|---|---|
| Balance at | Balance at | |||||
| 1 January | Income | Expenditure | Transfers | 31 December | ||
| 2020 | 2020 | |||||
| £ | £ | £ | £ | £ | ||
| General Fund | 34,372 | 190,802 | (208,606) | - | 16,568 | |
| =========== | =========== | ============= | ============ | ========== | ||
| 12. | NET ASSETS BETWEEN | FUNDS | ||||
| Current year | ||||||
| Unrestricted | Unrestricted | |||||
| Fund | Fund | |||||
| 2020 | 2019 | |||||
| £ | £ | |||||
| Fixed Assets | 116 | 233 | ||||
| Current Assets | 67,164 | 69,249 | ||||
| Current Liabilities | (50,712) | (35,110) | ||||
| ------------------- | ------------------------ | |||||
| Net Funds | 16,568 | 34,372 | ||||
| ========= | ========== |
13. RELATED PARTY TRANSACTIONS
There were no related party transactions with individuals or trustees during the year (2019: Nil).
13