The Churches of St Mary & St Lawrence, Great Waltham and St John the Evangelist, Ford End in the Parish of Great Waltham with Ford End ## **Annual Report and Financial Statements** ## **of the Parochial Church Council for the year ended 31[st] December 2020** ## **Chair of the Parochial Church Council** Roger Bearman Woodstock Church Lane Ford End Chelmsford CM3 1LH **Bank:** Barclays Bank plc ## **Independent Examiner:** Mr Ian Bond ## **Registered Charity Number: 1171387** ## **THE CHURCHES OF ST MARY & ST LAWRENCE, GREAT WALTHAM AND ST JOHN THE EVANGELIST, FORD END ANNUAL REPORT OF THE PAROCHIAL CHURCH COUNCIL FOR THE YEAR ENDED 31ST DECEMBER 2020** ## **Administrative Information** The church of St Mary & St Lawrence is situated in Great Waltham and the church of St John the Evangelist is situated in Ford End. They are both in the Parish of Great Waltham with Ford End which is part of the Diocese of Chelmsford within the Church of England. For administrative purposes, the Parish sits within the Episcopal Area of Bradwell and forms part of the Deanery of Chelmsford North. The parish was interregnum (without a priest in charge) for all of 2020. The parish has joined with 7 other parishes in the area to become the North Chelmsford Mission and Ministry Partnership (NCMMP) which was commissioned in 2017. The Parochial Church Council (PCC) is a charity that is registered with the Charity Commission Charity Number 1171387) PCC members who have served since the Annual Parochial Church Meeting in October 2020 are: Chair of the PCC Roger Bearman Lay Representatives Representatives on Roger Bearman Roger Bearman* the Deanery Synod Sarah Matthews Phil Lilley * David Tyler Church Wardens: Andrew Reid * Great Waltham Jo Pritchard Helen Powell* David Williams Sheila Bearman * Ford End Sheila Bearman Jo Pritchard * Florence Townsend Enid Adcock Treasurer Andrew Reid * David Williams * Gift Aid Officer Sheila Bearman * Secretary to the PCC Alison Bates (non-PCC Member) * Denotes member of Standing Committee. ## **Structure, Governance and Management** ## **Objectives and Activities** The PCC has the responsibility of co-operating with the Incumbent (or with the Chair of the PCC in the event of interregnum) in promoting the whole mission of the Church (pastoral, evangelistic, social and ecumenical) throughout the ecclesiastical parish. It also has maintenance responsibilities for both churches and their churchyards. 2 ## **Church Attendance and Other Matters** For the Parochial Church Council 2020 was a most challenging year to say the least! When the Covid 19 pandemic swept through the country from March, life as we knew it was turned completely upside down. The Church of England, and more specifically our Parish, faced situations that none of us have ever encountered before. We were obliged to close our Churches for all services from 22nd March and were only able to re-open them on 12th July when it seemed to all of us that the pandemic was receding. This was a mistake because the virus re-established itself and again the PCC were required to close the churches in December. These were perhaps the most difficult decisions we had to make; denying our congregations church services where we could pray together and support one another at the time of great uncertainty did not find approval with everyone. Neither did limiting attendance for funerals, cancelling weddings, memorial services and social functions. However, we did everything we could to keep the Church as a focus for people. Online services began and are still available now. We held small outside memorial celebrations for VJ Day in August and Remembrance Sunday in November at both ends of the Parish. Ford End School held their Advent service in Church in three Covid "bubbles" and a Nativity scene was set up in the porch at Ford End. A Christmas Tree was erected in the porch in Great Waltham as part of the Christmas Tree trail. Members of the PCC and congregation joined with other village groups to offer Pastoral care to the elderly and the vulnerable. There was help to collect shopping and medicines. There were telephone calls to support those who were missing their Church. Gifts and Flowers were distributed and when permitted home Eucharist was administered to those who asked for this. Our thanks must go to everyone involved in the pastoral care teams. At the end of 2020 the Electoral Roll stood at 75. During this year there were 2 weddings and sadly 20 funerals and cremations and no Baptisms. The PCC met four times and the APCM was delayed from April until 18th October 2020. At the APCM meeting Jo Pritchard and David Williams were elected as Church Wardens at Great Waltham and Sheila Bearman was re-elected Church Warden at Ford End. They were sworn in by the Archdeacon on 4th December 2020. For the whole of 2020 we were in interregnum and remain so as at the year end. We were on track and making progress to recruit a minister when in May 2020 we were informed that the process was to be paused. As the year progressed it became clear that due to the Covid pandemic and the damage this was doing to the Diocesan financial position the interregnum was going to last for a much longer time than we had anticipated. With good support from the NCMMP, Revd. Neil Richardson and the Revd. Sandra Sykes we were able to provide priests for our services. Since the end of the year there has been progress to find a temporary solution for stipendiary leadership with an appointment with an associated priest which will be reported in greater detail at the APCM on 23 May 2021. As Chair of the PCC I would like to thank all the committee who have been very supportive during this particularly difficult time. Our thanks must also go to Phil Lilley and Peter Wells who worked extremely hard in Great Waltham Church to ensure the safety of the congregation when we were able to hold services and for their continuing support and Sheila Bearman who has done the same at Ford End, who for the best part of for 10 months of the year was the only Churchwarden at both Churches. Thanks also to Alison Bates our Parish Administrator and to the many other people who have enabled us to keep the Churches alive. 3 ## **Financial Review** In 2020 the PCC continued with the decisive steps started in 2019 to protect the balance on the Unrestricted Funds, which are considered too low. In addition, the PCC had to manage the finances whilst dealing with the detremental impact on income that arose from the Covid pandemic. Excluding Grants received, which are typically received as a contribution towards for specific items of expenditure, Incoming Resources for Unrestricted Funds fell from £63,166 to £46,705, a fall of over 25%. The PCC is particularly grateful that the level of Giving was largely maintained during the year, against the background of temporary church closures and the economic hardships arising from Covid, together with the Parish being interregnum for the whole year. Planned Giving, either via bank standing order or via the envelope scheme was maintained at over 90% of prior year levels and all Giving (including Gift Aid receipts) was over 86% of the 2019 level. This demonstrates the resilience of Giving to the PCC but, nevertheless, represented a fall in Giving by approximately £7,000. The remaining fall in Unrestricted Income was driven by (i) approximately £6,000 fall in donations, appeals and fund raising events and (ii) approximately £3,000 fall in church lettings. Unrestricted Funds expenditure, excluding the Parish Share and one-off items associated with Grants received, fell by approximately £8,000 on a like-for-like basis. This was mainly driven by a reduction in the costs for utilities (approximately £4,500) and a reduction in clergy and organist expenses ( approximately £2,700). To protect Unrestricted Funds, the PCC authorised £29,750 to be paid to the Diocese as a contribution to the Parish Share, which was assessed as £46,721. As a result of this decisive action, the accounts show a surplus on "normal activities" of £152 however, had the Parish Share been paid in full, a deficit of £16,819 would have arisen. |2020
2019
2018
2017
2016
2015
2014
2013
2012
2011
2010|Deficit on normal activities
(£16,819)
(£7,232)
(£2,808)
(£1,671)
(£3,872)
(£2,023)
(£3,673)
(£12,007)
(£6,577)
(£3,569)
(£7,439)
Assuming full Parish Share paid
Assuming full Parish Share paid| |---|---| Whilst there was a small suplus on "normal activities" in the accounts, the PCC resolved to transfer certain items of prior years Restricted Fund expenditure to the Unrestricted Funds. Firstly, as set out in the 2019 accounts, the £795 deficit on the Chairs Fund needed to be transferred to the General Fund as no further donations had been received towards this project. Secondly, the PCC resolved to transfer certain Great Waltham Churchyard maintenance expenditure from 2018 & 2019 to the Unrestricted Funds to enable the Great Waltham Churchyard Fund to be used only for specific projects. As a consequence of these two transfers, Unrestricted Funds declined from £8,137 as at 31 December 2019 to £6,469 as at 31 December 2020. It should be noted that the PCC are required to maintain a surplus on the Unrestricted Funds and the PCC remains focused on increasing the level of Unrestricted Funds. The overall value of the Chancel Fund increased by £5,240. The market value of the investments increased by £5,152 in the year to 31 December 2020 and there were dividends and interest during the year of £2,349 (2019: £2,423). This was offset by £1,761 expenditure on insurance premium and £500 expenditure being the insurance excess for repair to the windows at Great Waltham. (For an explanation of the origin of the Chancel Fund, please see the Appendix.) 4 ## **Independent Examiner’s Report to the Parochial Church Council of the Parish of Great Waltham with Ford End (the PCC)** I report to the PCC on my examination of the PCC Accounts for the year ended 31[st] December 2020, which are set out on pages 6 to 13. ## **Respective responsibilities of the PCC and the Independent Examiner** The PCC are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act') I report in respect of my examination of the PCC's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under section 145(5)(b) of the Act. ## **Independent Examiner’s Statement** I have completed my examination. I confirm no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: - (1) accounting records were not kept in respect of the PCC as required by section 130 of the Act; or - (2) the accounts do not accord with those records. I have no concerns and have come across no other matters in connection with the examinaton to which attention should be drawn in this respect in order to enable a proper understanding of the accounts to be reached. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the PCC, as a body, for this report or for the opinions I have formed. Signed ................................................................... Ian Bond – Independent Examiner Date ...................................................................... 5 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** ## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020** ||||||**TOTAL**|TOTAL| |---|---|---|---|---|---|---| |||Unrestricted|Restricted|Endowment|**FUNDS**|FUNDS| ||Notes|Funds|Funds|Funds|**2020**|2019| |||£|£|£|**£**|£| |**Incoming resources**||||||| |_Incoming resources from donors_|2a|42,377|80||**42,457**|52,220| |_Other voluntary incoming resources_|2b|8,324|||**8,324**|8,315| |_Activities for generating funds_|2c|||||4,667| |_Other ordinary incoming resources_|2d|4,323|||**4,323**|8,251| |_Income from investments_|2e|4||2,349|**2,353**|2,444| |**Total incoming resources**||55,029|80|2,349|**57,458**|75,897| |**Resources expended**||||||| |_Activities directly related to the work of the churches_|3a|54,837|150|2,261|**57,248**|91,141| |_Grants_|3b|40|||**40**|40| |**Total resources expended**||54,877|150|2,261|**57,288**|91,181| |**Net incoming/(outgoing) resources**||152|(70)|88|**170**|(15,284)| |Gains/(losses) on investment assets||||5,152|**5,152**|11,805| |**Net movement in funds**||152|(70)|5,240|5,322|(3,479)| |Total funds brought forward at 1 January||8,137|7,235|98,461|**113,832**|**117,311**| |Transfers||(1,820)|1,820|||| |**Total funds carried forward at 31 December**||6,469|8,984|103,701|**119,154**|113,832| 6 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** ## **BALANCE SHEET AT 31 DECEMBER 2020** |Notes
**Investments**
CBF Investment Fund Shares
3,908.29 shares at market value
7(c)
**Current assets**
Debtors
5
Cash at bank and in hand
Cash in hand (Bell Ringers)
Cash at Barclays Bank
Chancel Fund (CBF deposit fund)
7(c)
Creditors: amounts falling due within one year
6
**Net current assets**
**NET ASSETS**
**Funds**
**Endowment funds**
7
**Restricted funds**
7
**Unrestricted funds**
7|**289**
**16,092**
**23,631**
**40,012**|**2020**
£
**80,070**
**1,150**
**41,162**
**(2,078)**
**39,084**
**119,154**
**103,701**
**8,984**
**6,469**
**119,154**|2019
£
**74,918**
1,302
298
12,494
28,076
40,868
42,169
(3,255)
38,914
113,832
98,461
7,235
8,137
113,832| |---|---|---|---| Approved by the Parochial Church Council on ……………………………………………………… and signed on its behalf by: …………………………………………. ………………………………… Roger Bearman Andrew Reid Chairman of the PCC Treasurer The accompanying notes on pages 8 to 13 form part of these financial statements. 7 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** ## **NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2020** ## **1 Accounting Policies** The financial statements of the PCC have been prepared in accordance with the Church Accounting Regulations 2006 together with applicable accounting standards and the Charities SORP 2005 (Statement of Recommended Practice). The financial statements have been prepared under the historical cost convention and include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their main affiliation to another body, nor those that are informal gatherings of church members. ## **Funds:** _**Endowment Funds**_ are funds, the capital of which must be maintained; only the income aring from the endowment maybe used, either as restricted or unrestricted income, depending uopon the purpose for which the endowment was established. _**Restricted Funds**_ comprise (a) income from trusts or endowments which may be expended only on those restricted objects provided for in the terms of the endowment or bequest, and (b) donations or grants received for a specific object or invited by the PCC for a specific object. Such funds may be expended only on the specific object for which they were given. Any balance remaining unspent at the end of each year must be carried forward as a balance in that fund. The PCC does not usually invest separately for each fund. _**Unrestricted Funds**_ are the funds of the PCC that are not subject to any special restrictions regarding their use and which are available for application to the general purposes of the PCC. ## **Incoming Resources** Planned giving, collections and donations are recognised when received. Tax refunds are recognised when the incoming resources to which they relate are received. Grants and legacies are accounted for when the PCC is legally entitled to the amount due. All other income is recognised when it is receivable. All incoming resources are accounted for gross of any related expenditure. ## **Resources Used** Grants and donations are accounted for when paid over, or when awarded if that award creates a binding obligation on the PCC. The Parish Share (payable to the Diocese in respect of clergy stipends, pensions and housing) is accounted for when paid or accrued for if necessary. All other expenditure is generally recognised when it is incurred and is accounted for gross but sometimes net profits from fund raising activities are received. ## **Fixed Assets** Consecrated and beneficed property is excluded from the Accounts by Section 96(2)(a) of the Charities Act 1993. Movable church furnishings held by the Churchwardens on special trust for the PCC and which require a Faculty for disposal are inalienable property. For anything acquired prior to 2000 there is insufficient cost information available and, therefore, such assets are not valued in the financial statements. Subsequently, no individual item purchased from unrestricted funds has cost more than £1,000 so all such expenditure has been written-off when incurred. ## **Investments** Investments are shown at market value at the year end date. Any increase or decrease in value is recognised through income / expense through the endowment funds. 8 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **2 Incoming resources** |**a**
_Incoming resources from donors_
Planned Giving
Direct to bank by Standing Order
Envelope Scheme
Collections at all services
Sundry donations and appeals
Gift Aid tax recoverable for the year
**b**
_Other voluntary incoming resources_
Grants
Bell Ringing Accounts
Choir Fund
**c**
_Activities for generating funds_
Fetes, bazaars and other fund-raising events
Other funds generated
**d**
_Other ordinary incoming resources_
Wedding, Funeral and Memorial Fees
Lettings of Church & Community Room
**e**
_Income from investments_
Dividends received
Interest income
**Total incoming resources**|**TOTAL**
TOTAL
Unrestricted
Restricted
Endowment
**FUNDS**
FUNDS
Funds
Funds
Funds
**2020**
2019
£
£
£
**£**
£
22,715
**22,715**
22,572
6,372
**6,372**
9,259
4,816
**4,816**
6,993
649
80
**729**
3,648
7,825
**7,825**
9,748
42,377
80
**42,457**
52,220
8,324
**8,324**
**8,180**
**125**
**10**
8,324
**8,324**
8,315
4,047
620
4,667
3,948
**3,948**
4,787
375
**375**
3,464
4,323
**4,323**
8,251
2,242
**2,242**
2,178
4
107
**111**
266
4
2,349
**2,353**
2,444
55,029
80
2,349
**57,458**
75,897| |---|---| 9 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **3 Resources expended** |**a**
_Activities directly related to the work of the churches_
Parish Share (Diocesan Quota)
Clergy expenses
Organists' fees
Churches insurance
Churches running expenses & administration
Churches fabric & maintenance
Churches utilities
Churchyards maintenance
**b**
_Grants_
External Giving - Historic Churches Trust
**Total resources expended**|**TOTAL**
TOTAL
Unrestricted
Restricted
Endowment
**FUNDS**
FUNDS
Funds
Funds
Funds
**2020**
2019
£
£
£
**£**
£
29,750
**29,750**
40,326
285
**285**
1,170
1,020
**1,020**
2,850
5,208
1,761
**6,969**
7,090
10,244
150
**10,394**
9,482
7,453
500
**7,953**
20,926
457
**457**
5,057
420
**420**
4,239
54,837
150
2,261
**57,248**
91,141
40
**40**
40
40
**40**
40
54,877
150
2,261
**57,288**
91,181| |---|---| 10 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** ## **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **4 Staff costs** ## **a** _Wages and salaries_ During the year the PCC made payments to part-time organists and vergers, none of which were large enough to attract Social Security Costs. The PCC shares the services of an administrator with two other 2 parishes and contributes its share of the costs. The administrator is employed by The Chignals with Mashbury PCC. This cost is included within the "Churches running expenses and administration cost". ## _Payments to PCC members_ There were no other disclosable transactions in respect of PCC members, nor persons closely connected to them, nor other related parties. ## **5 Debtors** **----- Start of picture text -----**
|||| |---|---|---| |2020|2019| |£|£| |Gift Aid Recovery|570|925| |Prepayment of Administration Expenses|580| |Chelmsford City Council - Church Letting|376| |1,150|1,302| **----- End of picture text -----**
## **6 Creditors: amounts falling due within one year** CDBF Fees Other creditors **----- Start of picture text -----**
||| |---|---| |2020|2019| |£|£| |972|2,833| |1,105|423| |2,078|3,255| **----- End of picture text -----**
11 ## **GREAT WALTHAM with FORD END PAROCHIAL CHURCH COUNCIL** **NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2020** ## **7 Statement of funds** |**Unrestricted Funds**
General fund
**Restricted Funds**
Great Waltham Chairs_(see note (a) below)_
Great Waltham Churchyard (b)
Passion Play
Bibles Fund (c)
Choir
Godly Play
Ford End Clock
Ford End Organ Fund
Great Waltham Organ Fund
Staging_(see note (d) below)_
**Endowment Funds**
Chancel Fund_(see note (e) below)_
**Total Funds**|Bal b/fwd
Income
Expenditure
Transfer
Gain
**Bal c/fwd**
1 Jan 2020
on revaluation
**31 Dec 2020**
£
£
£
£
£
**£**
8,137
55,029
(54,877)
(1,820)
**6,469**
8,137
55,029
(54,877)
(1,820)
**6,469**
(795)
795
**0**
630
1,034
**1,664**
993
**993**
9
(9)
**0**
120
80
**200**
1,947
**1,947**
1,006
**1,006**
207
**207**
2,446
(150)
**2,296**
671
**671**
7,235
80
(150)
1,820
**8,984**
98,461
2,349
(2,261)
5,152
**103,701**
98,461
2,349
(2,261)
5,152
**103,701**
113,832
57,458
(57,288)
5,152
**119,154**| |---|---| (a) The Great Waltham Chairs fund was established in 2018 with the objective to finance a project to remove a number of pews and replace with chairs. There was a shortfall on the Fund as at 31 December 2019 that has been met by the Unrestricted Fund during 2020 as set out in the 2019 accounts. (b) The PCC resolved to transfer £1,034 from the General Fund to the Great Waltham Churchyard Fund so the Great Waltham Churchyard Fund is only used for specific projects, rather than general churchyard maintenance. (c) The PCC resolved to transfer £9 from the Bibles Fund to the General Fund on the basis that the Fund balance is immaterial and cannot reasonably be used. (d) The staging was funded by a variety of local organisations in 2015 and is intended to be used by all of these groups. The balance on the fund is intended to be used for maintenance of the staging. (e) A Chancel Fund, administered by the Chelmsford Diocesan Board of Finance as Custodian Trustees, exists for the benefit of St Mary & St Lawrence, Great Waltham. The Chancel Fund comprises (i) an investment of 3,908.29 CBF Income Shares (ISIN GB0001830420) valued at £80,070 as at 31 December 2020 (£74,918 as at 31 December 2019) and (ii) £23,630 held in a CBF deposit account (£23,542 as at 31 December 2019), which represents the accumulated income on the investment. Although the PCC are 'Managing Trustees', the law requires all funds to be included in the PCC accounts. The PCC is able to claim against the accumulated income for one third of the insurance premium relating to the Great Waltham Church and certain maintenance and repairs to the Great Waltham Chancel, Church and Churchyard. Please refer to the Appendix where a further description and the history of the Chancel Fund is given. 12 ## **Appendix** ## **Chancel Fund** The Chancel Fund is an Endowment Fund held by the Chelmsford Diocesan Board of Finance as Custodian Trustees. It was established for the upkeep and repair of the Chancel of the Church of St Mary & St Lawrence, Great Waltham and the accumulated income arising from the investment can be used for repairs and maintenance of the Chancel, the Church and the Churchyard. To understand why it exists, and where the money came from, it is necessary to look at the historical development of the Church of England. Chancel repair liability has its roots in medieval times when every Church had its own priest or Rector. By virtue of his status, the Rector was entitled to income, known as Tithes, from land in the Parish, known as Glebe land. From this income, the Rector traditionally maintained the Chancel, whilst the Parishioners were responsible for the Nave. In those days, most of the land was owned by the local Squire, who often also had the right of patronage, whereby he could nominate the Rector, although sometimes the right of patronage was separately held. In the case of Great Waltham the Chancel repair liability lay with the Patron and the Patron was not a local landowner but Trinity College, Oxford. In 1979 the College, as Patron, decided that it would ‘redeem’ its liability by payment of a capital sum of money and this was the source of the present Chancel Fund. 13