Charity no. 1172087
**Manchester and Warrington Area Quaker Meeting (Religious Society of Friends) Report and Audited Financial Statements 31 March 2022**
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Reference and administrative details**
## **For the year ended 31 March 2022**
|**Charity number**|1172087||
|---|---|---|
|**Registered office and**|Friends Meeting House||
|**operational address**|6 Mount Street||
||Manchester||
||M2 5NS||
|**Website**|www.manchesterquakers.org.uk||
|**Trustees**|Trustees who served during the year and up to the date of||
||this report were as follows:||
||Malcolm Allum||
||John Banks|(resigned 3 February 2022)|
||John Booth|(resigned 31 December 2021)|
||Linda Burgum||
||Margaret Calvert||
||Christine Camacho|(appointed 1 January 2022)|
||Jeffrey Dean|(appointed 1 January 2022)|
||Ged Edwards||
||Kath Haworth||
||Wendy Olsen|(resigned 31 December 2021)|
||Kath Redmond|Assistant Clerk from 1 January 2022|
||Beck Solway|Assistant Clerk until 31 March 2021|
|||Clerk from 1 January 2022|
||Richard Taylor|Clerk until 31 December 2021|
|||(resigned 31 December 2021)|
||Hilary Tucker|Treasurer|
||Ruth Turnock|(appointed 1 January 2022)|
|**Key management**|Sarah Donaldson, Executive Officer||
|**personnel**|Caroline Morrison, Finance Manager (until 31 May 2022)||
||David Slater, Operations Manager||
||Steve Harrold, Business Manager||
|**Nominee for land**|Friends Trusts Ltd||
||Friends House||
||173 Euston Road||
||London, NW1 2BJ||
|**Nominee for investments**|Rathbone Greenbank Investments||
|**and stockbrokers**|10 Queen Square||
||Bristol, BS1 4NT||
|**Bankers**|Co-operative Bank plc||
||1 Balloon Street||
||Manchester, M60 4EP||
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Reference and administrative details**
## **For the year ended 31 March 2022**
## **Solicitors**
## **Auditors**
Shoosmiths The XYZ Building 2 Hardman Boulevard Manchester, M3 3AZ Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
The Trustees present their report and the audited financial statements for the year ended 31 March 2022.
Reference and administrative information set out on page 1 and 2 forms part of this report. The financial statements comply with current statutory requirements, the Constitution and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).
The Area Meeting consists of five Local Meetings:
The Area Meeting burial ground is at our Sale Meeting House.
Each Local Meeting maintains a bank account for its own weekly transactions. These are included within the consolidated financial statements.
The Area Meeting is legally responsible for the Friends Summer School, which has a separate bank account (included within the consolidated financial statements).
## **Continuing impact of COVID-19**
There were far fewer formal COVID-19-related restrictions on our religious activities in the past year than in the one before and in-person Quaker worship was legally permitted throughout the year. However, both individual Friends and meetings took the risks seriously and at times chose to restrict their meetings. We continued to ask local meeting safety committees to balance needs and risks and to keep trustees informed of what was happening locally.
Area Meeting remained online throughout the year with the first blended meeting happening just after the end of the reporting period. The Trustees also met online throughout.
As described in the body of this report, Friends did continue to undertake a range of activities through the year. We were grateful for the ability to meet together face to face, as well as for the technology that allowed us to offer options for online attendance.
Once again the CIO did not suffer any direct financial losses as a result of COVID-19. However, COVID-19 continued to have a negative effect on our trading subsidiary. There were no forced closures of our buildings during this reporting period, but throughout the first quarter various legal restrictions on meetings made trading conditions very difficult. Once these restrictions eased it was possible to begin to rebuild the business, but this has been a relatively slow process.
The loan facility agreed in 2020 continued to be drawn down and by the end of the period the trading subsidiary had borrowed a total of £285,000 from the charity. Those funds are now not immediately available to meet the own needs, although there has been compensatory income via interest payments. The large trading loss in 2020/21 meant that no profit was transferred to the charity during this period. That loss has been carried over into this year so that again there will be no profit to transfer.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Charitable objectives**
The object of the charity, as stated in its constitution, is the furtherance of the general religious and charitable purposes of the Religious Society of Friends (Quakers) in Britain in the area of Manchester and Warrington Area Meeting and beyond.
- strengthening the life and witness of Quaker Meetings both in the area of Manchester and Warrington Area Meeting and beyond;
- spreading the message of Quakers and interpreting and developing the thought and practice of the Religious Society; undertaking Quaker service for the relief of suffering at home and abroad;
- funding the concerns that Quaker Meetings in the area of Manchester and Warrington Area Meeting or beyond have adopted or agreed to support;
- providing for the pastoral care of individual members and attenders including assistance to those in need and for education;
- maintaining and developing Quaker Meeting Houses as places for public worship and from which to carry our witness into the world; and
- administering and maintaining the organisation of Manchester and Warrington Area Meeting and contributing to the support of Britain Yearly Meeting.
In working to fulfil these purposes we seek the guidance of God, both for each of us as individuals and for our community corporately. Quakers are committed to a way of worship, and a way of life, which allow God to guide and transform us. We have found that the Spirit, if rightly followed, will lead us into truth, unity and love. We use principles and processes of discernment commonly referred to as the Quaker business method in order to decide all matters that affect our Local and Area Meetings.
The Religious Society of Friends in Britain has no paid clergy so all Friends must share the tasks involved in running a religious body. Across Britain Yearly Meeting there has been interest in simplifying our meetings and our practices so that we can reduce the burden on members. However, there will always be a need for certain roles, which means that we must find Friends to undertake them. In our Area Meeting we employ staff to support Friends but the key roles in each meeting must be filled by members and attenders rather than paid staff.
Area Meeting met online on 6 occasions during this reporting period: in April, June, July, September, December and February. Area Meeting sessions are open to all members, and to attenders with prior permission. Links to join the online meetings are shared in advance with those who have opted in to the email list. Minutes are likewise circulated to the list.
All our trustees are members of the Area Meeting. They are responsible for the administration of the property and activities of Manchester and Warrington Area Meeting, in accordance with our constitution. meetings are also Meetings for Worship for Business. Trustees give their time freely and receive no remuneration or other financial benefits. The trustees delegate day to day management of the charity to the Executive Officer. The clerk to trustees is the line manager of the Executive Officer.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Public benefit statement**
This report summarises what the charity has achieved and the outcomes of its work in the reporting period. All our activities are undertaken to further the charitable purposes for the public benefit. The report outlines the success of each key activity and the benefits the charity and its activities have brought to the public.
When reviewing the aims and objectives and in planning its future the trustees have considered the guidance contained in the Charity general guidance on public benefit. In particular, the trustees have considered how further planned activities will contribute to the
## **Activities, achievements and performance** Meetings for Worship
Quaker Meetings are open to anyone who wishes to attend, and the holding of regular, public Meetings for Worship across our area is essential for the fulfilment of our charitable objectives and our contribution to the public benefit. As Quakers, we believe that faith and action are inextricably intertwined. By worshipping together we gain strength and inspiration and are challenged to take the action needed to change our world for the better.
To minimise the risks of we do not make the joining details of our Meetings for Worship publicly available. However, we provide them to enquirers who contact us and request them. We cannot know if there are enquirers who wanted to find us and but we do know that we have had new people worshipping with us this year. We want our Meetings to be open to all who wish to come this is not just because we want to increase our numbers, but because we believe that anyone who enters the stillness may find words to speak and may have an important message to share. If we let people in, then we may miss the very inspiration that we are seeking together.
## Our All-Age Community
All of our local meetings have children and young people associated with them and would usually organise specific meetings at least once per month. Meetings for children and teenagers have taken place outdoors, online and eventually in person again.
The Friends Summer School had to be cancelled in 2020 but went ahead more or less as planned in August 2021. Things were complicated by the pre-booked decision to cease trading, but the experienced volunteer team found a suitable alternative at short notice. The upper age limit was slightly relaxed this year so that 3 young people who missed their in 2020 were able to come. This decision reflects the importance that our young people place on the Summer School community.
52 young people attended the event, which had the theme of for As ever, Summer School provided those attending with a place to be themselves and to explore questions and issues of importance to them. Gender identity and expression among the participants is an emerging theme that the planning team needs to deal with sensitively. Their intention is to create a place where everyone can be comfortable and safe to be who they are. Planning things like sleeping space can become more complex, but the feedback shows how much young people value the experience of being accepted for who they are.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
The Friends Summer School is one of the most important events in our Area annual calendar. Most of us will never get to attend it, but we do get to hear the annual report at Area Meeting and we are grateful for the dedicated volunteers who make it happen year after year.
Unfortunately there were few opportunities for all-age Area Meeting activities. Instead of the more formal garden party, we had an at the burial ground in July, which was a chance to get together. Some local meetings also continued with their regular online meetings for chatting or activities as a way to keep the community together.
In November 2021 Area Meeting held a special Meeting for Worship to celebrate a recent marriage.
Much like last year, the Pastoral Care Team received fewer than usual requests for financial support for Friends in need. Sadly this probably does not reflect any improvement in circumstances, but is more likely down to a lack of opportunities to attend events and/or a lack of awareness that the support is there. A total of the grants given from AM funds is included below.
Our standing Area Meeting Conflict Advisory Group has continued to exist but not been well used this year and members are considering whether it is time for the work of the group to be paused for a while.
An enthusiastic member has re-started the Area Meeting newsletter this year. It is now a monthly publication, designed to be distributed and read electronically but able to be printed for those members who prefer a hard copy. Articles so far have covered a wide range of topics and Friends have enjoyed sharing ideas with one another in this way.
## Furtherance of Quaker Testimonies
Quakers do not have creeds or fixed sets of beliefs. Our experience tells us that the deep principles of equality, peace, truth, simplicity and sustainability should guide us both in our own individual lives and in our corporate life together. We call these deep principles In our Area Meeting Friends are particularly active in the areas of peace, social justice and the environment.
Peace: we have an Area Meeting Peace Promotion Group (PPG) and our AM is a member of the Northern Friends Peace Board.
The PPG has continued to work on its concern about the way the UK Armed Forces attempt to recruit children and young people. This year PPG members have corresponded with the Ministry of Defence, which attempted to justify increased military and decreased international aid spending by pointing to the humanitarian role of our armed forces. Our Friends suggested that setting up a genuine 'Peace Corps' to deal with humanitarian needs would be a better option, being more transparent and giving a real career choice for young people. Members also wrote to Manchester University NHS Foundation Trust about their Armed Forces Day event, where military vehicles and the tools of war were of the as well as potentially helping to recruit young people. The Trust recognised the concern being raised.
The PPG has also continued its work to oppose nuclear weapons. Members organised a vigil in August 2021 to commemorate the bombing of Hiroshima and Nagasaki. The weather was not kind on that day and very heavy rain meant that there were few passers-by and limited interest from the public. Work to support the Treaty on the Prohibition of Nuclear Weapons (TPNW) has also been ongoing, e.g. through letters to MPs.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
As usual Central Manchester Meeting House was advertised on the Peace Pledge Union website as a place to buy white poppies. Take up was much better than in 2020, although down compared to past years. We would like to think that there is now more awareness about white poppies and it is easier for individuals to find them for sale, meaning that a special trip to the Meeting House may not be necessary. Around the time of Armistice Day the PPG held a peace vigil and distributed white poppies to any passers-by who wanted one. They also gave out around 250 leaflets explaining the significance of the poppy.
This year the PPG supported two external charities with small grants: £50 for Care for Calais (to support their work with Afghan refugees) and £40 for the Disasters Emergency Committee Ukraine Humanitarian Appeal.
**Equality and Social Justice:** our Area Meeting Social Justice Group has been meeting monthly for over 20 years, while other groups with concerns for the environment, peace etc have come and gone. This year most meetings have been by Zoom as face to face and hybrid meetings have not been very popular. Meetings usually involve about 6 people (fewer than were regularly attending preCOVID), but more Friends support the work e.g. by attending vigils or by taking part in campaigns.
The Area Meeting now has an Environment Group and a Racial Justice Group (see below), so the Social Justice Group has taken the opportunity to consider its priorities and look at what no-one else is focusing on. Their key themes have been poverty and equality, with a particular focus on economic issues including Universal Basic Income, as well as issues relating to democracy, including truth and integrity in public life.
This year the Social Justice Group has sought to educate itself and other Friends on various topics by having presentations at its meetings. Topics have included: Universal Basic Income; the necessity of democracy in tackling climate change; Citizens Assemblies; asylum (with guest speakers from the Quaker Asylum & Refugee Network). A paper on Land Value Tax was also shared within the group.
The main letter writing campaign this year was on the Police, Crime, Sentencing and Courts Bill and this was well supported by Area Meeting Friends. Social Justice Group also wrote to MPs to request fairness for the Windrush victims; to support the Climate and Ecological Emergency Bill; about the Nationality and Borders Bill; and about the Elections Bill. They signed an open letter on proposed changes to the Human Rights Act and asked Area Meeting to oppose NHS charges for migrants.
The revival of the Area Meeting newsletter has allowed the Social Justice Group to tell other Friends what it has been discussing. Social justice themed articles included ones on Universal Basic Income, the oppression of the Chagos Islanders, and the Police, Crime, Sentencing and Courts Bill.
Fair Trade Fortnight takes place every February. In 2022, Friends discovered that we will need to reapply for Area Meeting to be classified as a fairtrade church. Work is now taking place to get this done.
Both the Peace Promotion Group and the Social Justice Group have been organising vigils over the last few years and a small group has now produced a guide to help any Friends new to the practice who may want to take this work forward in the future.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
Last year Friends formed a new Black Lives Matter group in order to coordinate activities to help our Area Meeting to be more effectively anti-racist. At the beginning of this year the BLM group processed and circulated the anonymised results of our 'AM Survey on Experience and Knowledge Relating to Black lives matter, racial justice and Book groups continued and Friends studied My Grandmothers Hands by Resmaa Menakem; Why no Longer Talking to White People about Race by Rene Eddo-Lodge; and White Fragility by Robin di Angelo.
In June 2021 the Black Lives Matter Campaigning Group was created. The group encouraged Friends to join the following letter-writing campaigns: (i) writing to the Culture Secretary and the Trustees of Greenwich Museum protesting about their negative response to attempts to include racism and slavery as part of the history of their institutions; (ii) writing to Priti Patel (via our MPs), urging her to speed up compensation to the Windrush survivors and to make the level of compensation more adequate; (iii) writing to our MPs asking them to urge Boris Johnson to recognise the right of the Chagos Islanders to return to their homes on the island.
In March 2022 the BLM group organised two Zoom sessions on Spiritual Resilience and Racial Justice led by Woodbrooke tutor Mark Russ. Around twenty Friends attended. The sessions focused on the spiritual resilience Friends need to engage in racial justice work. The first session looked at and how we see ourselves as good. The second session involved talking about how we cope with our own racism and the need to be ready to receive and extend forgiveness to ourselves and each other.
Throughout the year Friends also maintained a Black Lives Matter Group page on Facebook for the exchange of information about activities to get involved in and other resources. At the beginning of 2022 the group was renamed the Racial Justice Group.
**Sustainability:** last year the Social Justice Group set up the Environment Group. It is now an active independent group, more active and larger than Social Justice Group itself. Currently it is still a subgroup of the Social Justice Group, but this is likely to change in the coming year.
Environment Group activities this year have been mainly focused on COP26 (finally held in Glasgow in November 2021) and on the preparatory G7 meeting held in June 2021 in Cornwall.
In June the Social Justice Group, Environment Group and Peace Promotion Group held a joint vigil to coincide with the G7 summit. The aim was to show the links between slavery, wealth creation, fair trade and climate justice, emphasising that we need to support the least wealthy countries who are bearing the greatest environmental burden. The placards on display showed the close interconnection between the oppression of Black slaves and the negligent treatment of poorer countries that are suffering most from the climate crisis today. Passers-by were asked to send postcards to Boris Johnson, who was representing the UK at the summit.
Later we welcomed walkers from the Young Christians Climate Network who were walking from Cornwall to Glasgow. Local Friends organised tributary walks to meet them and offered craft activities at Mount Street meeting house. One of the tributary walks came from South Manchester meeting house and the walkers wore yellow tabards with the message FOSSIL Some Friends joined another walk, the Camino walk, also on its way to Glasgow for COP26.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
Part of our preparation for COP26 involved meeting with other faith groups through Faith for Climate. In October, some Friends visited Laudato Si, the environmental project in Salford. Some were also involved with Manchester COP26 Coalition, a coalition of local groups campaigning about the environment. At the time of COP26 Area Meeting Friends joined people of all faiths and none who gathered for a large Manchester demonstration.
Friends also attended a demonstration outside Dukinfield Town Hall to demand that the Greater Manchester Pension Fund should stop investing in fossil fuels.
In September 2021 the Environment Group held a Regional Gathering. Clare Bonetree was the keynote speaker, speaking on the theme of and Resilience a spiritual response to the climate There were workshops on: Meeting House grounds; Eco-church; doing hope in the midst of crises; the Loving Earth project; and COP26 and beyond. There was also an opportunity for worship sharing.
The Conservative Party Conference took place in Manchester in October 2021 and the Environment Group organised a vigil during the event.
Friends have made links with a group called Hope for the Future (HFTF), which specialises in helping groups to communicate with MPs about climate change. This link led to several Friends meeting MPs. One of the topics discussed with MPs was the Climate and Ecological Emergency Bill. HFTF started a project for the which involves promoting retrofitting and Friends have taken an interest in this work.
Trustees are aware of Quaker Stewardship Committee guidance that we should choose at least one measure of energy consumption or greenhouse gas emission that our Local Meetings would then track for several years to monitor and motivate progress. Once again we have not been able to do this. Staff have been considering ways to measure our overall carbon footprint but staff shortages have held this work up again.
## Outreach
Most Quakers find that there is a fair degree of for Quakers in the wider world, and that Quakerism is frequently associated with having been a positive force for good in the past. Unfortunately, we also often find that people are unaware that there are still Quakers alive today, let alone that there are Quakers still worshipping and working together regularly. It is no part of our philosophy to push our beliefs onto others, but we do want people to know that we are here and that they are welcome to join us.
As always we continue to display relevant posters and banners outside our Central Manchester site. The relaxation of pandemic restrictions has meant a lot more people coming through the doors than in the previous year, and we can again allow people in just to have a look round and find out more about us. The noticeboards at Sale are also used to display posters about Quakerism.
Every August, people in Manchester commemorate the 1819 Peterloo Massacre. In 2020 we obtained an official plaque, recognising that our boundary wall was in situ at the time of the massacre. In August 2021 we were able to arrange a small ceremony. Local historian Robert Poole read from his book and pulled away the cover from the plaque. Friends appreciated this chance to share an aspect of our architectural history.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
In autumn 2021 we were able to re-start Quaker Quest. The basic structure of the sessions was unchanged, and Friends once again volunteered to share their experiences of the Quaker faith with enquirers and newer attenders. One new addition was the possibility of joining the series online rather in person, and this hybrid format seemed to work well.
Although there were more opportunities to gather inside this year, we still valued chances to meet outdoors. Once again the grounds at Sale were a lovely place for Quakers and local people to spend time. We are incredibly grateful for the very dedicated non-Quaker volunteers who have supported Area Meeting Friends and given so much time to maintaining those grounds.
## Ecumenical and Interfaith Links
Area Meeting is a member of Greater Manchester Churches Together. We have links to the Manchester Council of Christians and Jews and to local Christian Aid.
## Support for Other Groups
**Support through the Quaker Work Fund:** Every year we allocate money to the Quaker Work Fund so that it can be made available to groups undertaking charitable work in line with our testimonies. A group of three Friends is appointed to review applications and to make recommendations to Area Meeting. The policies for deciding on applications are summarised in a later section of this report.
This year we had only one application and disbursed only £1,500 to Thrive, a small charity based in south Manchester. Thrive works with families and children who have experienced trauma and adverse childhood experiences. They offer wellbeing walks and support sessions for all ages to enhance mood and promote physical and emotional health. Our grant was provided to enable them to increase the range of their services and particularly to start a parent and toddler group for families in difficulty.
**Support through the Refugee & Asylum Seekers Fund:** We collect money from Friends and maintain a specific fund in order to offer assistance to refugees and asylum seekers. Friends from the Area Meeting Social Justice Group make decisions about how to use this fund. Money from this fund can be used to benefit individual refugees known to Friends, as well as local refugee support organisations in which Quakers are involved.
Timing issues meant that no grants were given during this period, although some were in the process of being discussed at the very end of the year and were actually paid in the following year.
**Voluntary collections:** Our local Meetings all collect for a variety of charitable groups throughout the year. Each Meeting decides on its own list of groups. Most meetings have continued to avoid collecting cash this year and have asked Friends either to make donations directly to these various groups, or to send money electronically to their meeting for onward distribution.
## Volunteers
All our members and attenders are potentially our volunteers. Without this participation we could not fulfil our charitable object. Our staff support us, but our charitable work is done through the action and prayerful support of Friends.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
We encourage all volunteers holding specific roles (e.g. as clerks, treasurers, elders, pastoral care team, registering officers and trustees) to undertake roles training which is provided by Woodbrooke, BYM or other external bodies like the Association of Church Accountants & Treasurers. We set aside money to pay for the courses and associated expenses. None of our trusted partners ran face to face courses in 2021/22 but there were some online options available.
## Trading Subsidiary
Quaker Trading (Manchester & Warrington) Limited is the Area wholly owned trading subsidiary. The company has a Board of Directors. The Area Meeting Treasurer is a director ex officio and the other five or six Friends and attenders are independent of the Area Meeting Trustees.
The charity and the company have a Hospitality and Facilities Agreement, and the company is responsible for undertaking all the trading activity and for managing the buildings and grounds on behalf of the charity. All staff are jointly employed by both the company and the charity. The trustees and the directors will continue to work together to make decisions about the commercial use of our Area Meeting buildings.
All of our five Meeting Houses are available for hire. Hiring was down this year compared to the prepandemic period, but signs of recovery were very clear. In 2020 the trustees of the CIO agreed to make a loan of up to £300,000 from the charity to the company. In doing so, they signalled their confidence that the underlying business was a sound proposition and that it would recover. To the end of this reporting period the company had drawn down £285,000 of the loan facility and was no longer facing significant cash flow problems. While the difficulties of recent times are not yet behind us, there is no longer an immediate crisis.
## **Financial review**
## **Principal Funding Sources**
Donations Income: During the financial year Friends contributed donations & legacies including gift aid tax refunds of £85,962 (2021: £82,237), of which around £44,750 (2021: c.£42,000) was unrestricted. Once again the trustees worked hard to communicate with members about the need to raise additional income and once again there was a small increase in donations.
Of the £41,210 of restricted donations, about 78% (£32,218) was money collected for and sent on to support the work of Britain Yearly Meeting. Although the amount collected for BYM via the Area Meeting was less than in the previous year, fuller figures supplied by BYM show that the totals sent by members of this AM to BYM held up well (some members are now choosing to give directly to BYM and not involving the AM at all).
Towards the end of the year we were notified of a legacy and have included it within this accounts.
Income from trading subsidiary: Income from the trading subsidiary is paid in arrears and the large loss in 2020/21 meant that we knew there would be no profits received this year.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
Income from investments & interest: The majority of our investment portfolio of £666,254 is managed for us by Rathbone Greenbank, a specialist ethical investment stockbroker. Income from our investments improved a little compared to the previous year but was still less than we have been used to in the past. We understand that this is a reflection of market conditions as dividend payments have not yet recovered. Investment values increased well to the end of 2021 and then fell considerably, but there was a net gain for the year overall.
## **Financial Risks**
The most significant financial risk we face is still the impact of COVID-19 on our trading subsidiary.
Donations: As above, our donations increased for the second year running. We cannot assume that this is a new trend, but we can hope that they will now hold steady for a while. It remains to be seen how the various cost of living concerns in 2022 will impact on donations next year.
Trading: The Christmas 2020 national lockdown in England lasted more or less until Easter 2021, meaning that we started the new financial year with very little business. We were able to re-open during the spring, but continued restrictions on numbers and continued requirements for social distancing made trading very difficult. Only as restrictions really eased in summer 2021 was it possible to return to something more like regular trading conditions. Although COVID-19 remained a serious health concern during the whole of the period, restrictions were not introduced and customers showed more resilience than we might have feared. Although the results would be seen as poor in any other context, in these circumstances they could be seen as quite encouraging.
We continued to receive income from our investment properties, although the schoolroom in Warrington remained vacant throughout the whole year. We have tried to find a new tenant but as yet have been unsuccessful. We also received income from our Central Manchester car park, where 12-13 of the 15 spaces have been under licence throughout the year.
We were able to make use of the Coronavirus Job Retention Scheme until it closed and we also received a further grant from Manchester City Council.
Investments: We maintain a balanced portfolio and employ professional investment managers. As above, income was a little better this year but was below historic trend. Since we usually retain income within the portfolio this did not affect our activities. As above, the value of our investments saw a net gain during the reporting period.
Trustees from the finance sub-committee met with our investment manager in January 2022 to discuss various issues relevant to our portfolio. Unfortunately, while the volatility associated with the pandemic might have been expected to settle, other global events were beginning to have a seriously detrimental impact on the markets and we have been warned to expect a difficult time in the coming year.
In February 2022 trustees agreed a new written investment policy which included a commitment to a medium risk profile, recognising that we hold our investments for the long-term and not as a way to fund regular expenditure.
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## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
Overall: The group (charity and trading subsidiary combined) made a net loss of just over £90,000, much of which is attributable to the revaluation of the Mount Street basement. This result would not have been possible without central and local government support of nearly £81,000 and a modest growth in the value of some of our investments. In the coming period we will need to replace that £81,000 with earned income and we cannot expect any/much investment growth. As costs rise in most areas of our operations it is unlikely that we will make much of a surplus for the foreseeable future.
While the financial picture is concerning, we believe that we have the necessary resources to take us through the coming financial year and beyond. We are confident that the CIO remains a going
## **Property**
The charity owns the five Meeting Houses in the Area Meeting, together with five investment properties (a cottage or flat is attached to the Meeting Houses at Eccles, Sale and South Manchester and there is a separate cottage and schoolroom very near the Warrington Meeting House). The office space in the basement at Mount Street is also classed as an investment property. All the residential properties are let at market rates through an independent letting agent. The Warrington schoolroom has been vacant throughout the year. Several potential tenants have come forward but in each case the negotiations have fallen through. The majority of the office space in Mount Street is empty but 3 offices were let during the year.
The five investment properties in Eccles, Sale, South Manchester and Warrington were revalued in March 2022. By an oversight the Mount Street basement was not revalued as part of that process but was revalued after the end of this financial year. The new figures have been used in these accounts.
We maintain our properties well, using quinquennial inspections and seeking appropriate professional advice. We want our properties to reflect our belief in the importance of sustainability and care for the environment. Once again we deferred the planned quinquennial inspection in Warrington because of the impact of lockdown and our reduced staff capacity but it took place in summer 2022 and at the time of writing the report had just been received. We were already in contact with a structural engineer with respect to a known issue at our Warrington premises and so we feel confident that the delay to the quinquennial inspection did not cause any significant issues.
## **Employment**
The Area Meeting is a Living Wage employer. The increased Living Wage of £9.90 per hour was announced in November 2021. All accredited employers had to commit to introducing it by 1 May 2022 and we began paying it in January 2022.
As above, we were able to use the government furlough scheme to reduce our salary costs at times when there was insufficient work for staff. When this scheme ended, a number of staff were asked to and agreed to reduce their hours for the period October 2021-January 2022.
All staff are dually employed by both the CIO and the trading subsidiary. The majority of staff are paid only from the trading subsidiary budget.
13
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Financial Policies**
## **Funds Held**
The total value of the Area unrestricted funds is £7,598,143 but most of this money is not actually available for use by the charity. The general fund is valued at £4,274,793 and is largely made up of the value of the Meeting Houses that we need for worship and as a base for trading activity. The revaluation reserve of £2,466,859 is wholly attributable to property values and therefore not available to use.
As noted earlier, our property portfolio includes our five Quaker Meeting Houses, classified as functional properties. The value of these properties is declared within the accounts at market value, but our insurance valuation (table below) includes the cost of rebuilding and reinstating, and gives a different perspective on the value of the properties to our Area Meeting.
|Location|Property Type|Insurance Valuation
(to nearest £100)
March 2022|
|---|---|---|
|Central Manchester|Meeting House|£6,993,000|
|Eccles|Meeting House|£813,600|
|Sale|Meeting House|£1,177,100|
|South Manchester|Meeting House|£727,600|
|Warrington|Meeting House|£1,354,600|
## **Reserves policy**
In February 2021 the trustees adopted a new reserves policy. The new policy took a three-year approach and aimed to recognise the following needs:
- a) Funds to cover current expenditure if current income is insufficient assumed to be £100,000 in year 1, £60,000 in year 2 & £30,000 in year 3 (part of the cost contingency reserve);
- b) Funds to cover the cost of making all current staff redundant assumed to be £150,000 in each year (but only to be spent once) (part of the cost contingency reserve);
- c) Funds to cover planned significant maintenance & repairs e.g. as identified within the quinquennial process assumed to be £200,000 in year 1 (after recent delays to planned maintenance), £150,000 in year 2 & £100,000 in year 3 (i.e. assuming that around £100,000 should be an average annual spend) (included within the sinking fund); and
- d) Funds to cover sudden or unplanned uninsured maintenance & repairs by definition difficult to estimate but set at £485,000 in each year (but only to be spent once) (included within the sinking fund).
The target reserve for this year was therefore set at £935,000, theoretically reducing to £845,000 for the coming year (and further to £765,000 for the year after). This trajectory assumes that reserves will be consumed under headings (a) and (c) even if they are not needed under headings (b) and (d).
The reserves in our two designated funds stand at £807,588, meaning that we remain below target. The likelihood of a sudden need for a full redundancy programme together with emergency uninsured repairs is hopefully low, and so we are confident that we do have sufficient reserves for current circumstances. Nonetheless, if circumstances permit then we would hope to bolster our reserves somewhat.
14
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Investment Policies**
We take an ethical approach to investment, taking into account Quaker testimonies to equality, peace and sustainability, as well as our concern to avoid profiting from the sale of weapons, alcohol or tobacco. We have followed the policy of Quakers in Britain and divested from fossil fuel investments. As well as asking our investment managers to avoid those investments we find ethically dubious, we have also asked them to invest positively in ethical companies and products where possible. We have instructed them to take a risk attitude towards short term stockmarket volatility. All these principles are now stated clearly within the investment policy agreed by trustees in February 2022.
## **Grants Policy**
We predominantly make grants via our Quaker Work Fund, which may support anything which furthers Quaker testimonies such as truth and integrity; justice, equality and community; simplicity; peace; and the earth and the environment.
Any work funded must be compatible with Quaker concerns, have a Quaker connection, and preferably some direct involvement by Quakers. The highest priority is given to applications that relate to work in an area that is an explicit concern of the Area Meeting, or one of its constituent local Meetings. In general, we prefer to support small projects with a local connection.
The committee reviews every application and then makes a recommendation to Area Meeting in session. It is for Area Meeting to make the final decision.
We collect money from friends to assist refugees and asylum seekers and our Social Justice Group decides how the fund should be spent. Organisations supporting refugees and asylum seekers (including failed asylum seekers) with food, accommodation and spending money can be granted money from this fund.
In addition, our Pastoral Care Team have a budget to allow them to give grants to individuals in need and for educational purposes. They can also draw on some restricted and designated funds available to help support friends in need. These monies were again not well used this year, with about £420 being given out. These grants are not specifically listed in this report as this could identify individual circumstances.
As a rule, we do not use Area Meeting general funds to give grants to other organisations. However, we pay an annual to the Northern Friends Peace Board and we pay a contribution to the Friends Summer School. This year we also made a small contribution to Teenage General Meeting. We treat these contributions as grants.
The Peace Promotion Group also disbursed a total of £90 to non-Quaker charities: £50 to Care for Calais and £40 to the DEC Ukraine Humanitarian Appeal.
15
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## **Fundraising Practices**
The charity does not use any external fundraisers. We do not ask for funds from the general public, although occasionally people who use our buildings or come across us will offer unsolicited donations.
We see it as part of our Quaker discipline to make financial contributions to the running of our Quaker meetings. Each year our Treasurer, with the support of staff, puts together a letter to inform Friends about local and national Quaker work and ask them to support it financially. We are aware that not all Friends are wealthy or even comfortably off and we make it clear that we understand this and that there is no pressure on anyone to give more than they can afford. We work with our Pastoral Care Team, who usually understand an circumstances, and do not ask for money from those we know cannot afford to give any.
We are confident that our fundraising efforts do not involve unreasonable intrusions on privacy and that they are not unreasonably persistent. We did not receive any complaints about our fundraising in the past year.
## **Plans for future periods**
Our main priority is to continue to hold Meetings for Worship that are open to all. It is from our experience in worship together that our other plans should flow.
Friends intend to take part in the following Quaker work in 2022/23: Continued support for the work of COP27;
- Continued support for racial justice work;
- Holding Summer School 2022; and
- In October/November 2022, a display of tapestry panels about the environment from the Loving Earth Project.
We will need to do all we can to keep expenditure under control, especially as utility prices are expected to increase substantially during the coming year. We will therefore continue to do all we can to reduce our energy use.
We will resume the quinquennial inspection regime (in 2022 in Warrington) and will examine the schedule of works left from previous years to ensure that our buildings are being cared for appropriately.
As always we will seek to be led by discernment through worship to be guided in the way of truth, unity and love.
## **Structure, governance and management**
The Area Meeting is a Charitable Incorporated Organisation, registered as a charity on 16 March 2017 in England and Wales. The unincorporated charity agreed the new CIO constitution on 8 December 2016, ready for the CIO to begin operating on 1 May 2017.
The trustees are members of the charity but they have no beneficial interest in the charity.
16
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## Membership
Our Area Meeting membership is checked and reported at the end of each calendar year. On 31 December 2021 there were 187 members and 158 attenders not in membership (including 42 children). Changes in membership are recorded throughout the year by minute of the Area Meeting.
## Recruitment and appointment of Trustees
We need new trustees most years; their service usually starts on 1 January. Our process is to ask two members of our standing nominations committee and two serving trustees to form a trustee nominations group. The group brings nominations to Area Meeting in session, which makes the decision whether or not to appoint the nominees. Trustees are normally appointed for a three-year term and may be reappointed for one further term. The maximum length of service is six years, after which the person must stand down and cannot be reappointed as a trustee until three years have elapsed.
The Area Meeting Treasurer (who is also a trustee) is also nominated via the same process and usually appointed by the Area Meeting for one year at a time. The total term of service for the Treasurer usually exceeds one year; the maximum length of service is six years.
The trustees who served during the year, together with any changes up to the date of approving this report, are shown on page 1 of this report.
## Induction and training of trustees
The Area Meeting Trustee Handbook is updated annually and contains relevant policies and procedures. Every trustee is given a copy of the revised Handbook at the beginning of each year. There is an annual budget for trustee training and trustees are encouraged to undertake training. In the last financial year we spent £40 on trustee training. As in the previous year there were few opportunities for in person training.
## Trustee payments
None of the trustees receive payments or other benefits in kind from their work with the charity. Trustees are entitled to claim expenses. No expenses were paid to trustees in respect of their office. As above, one trustee had training at a cost of £40.
## Related Parties and Relationships with other Organisations
Trustees complete declarations of interest forms, which are kept on file. Any connection between a trustee or senior manager of the charity with any other relevant organisation must be disclosed to the full board of trustees in the same way as any other contractual relationship with a related party. At the start of each meeting trustees are again invited to declare an interest in relation to any item of business on the agenda.
The charity is the sole member of Quaker Trading (Manchester & Warrington) Limited. The Area Meeting Treasurer serves as a director of the company ex officio and so is both a trustee and a director. Currently no other trustees are serving as directors.
17
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
Manchester and Warrington Area Quaker Meeting is a constituent meeting of Britain Yearly Meeting and support for this wider body of Quakers in Britain is the object of the charity. We therefore cooperate with Quakers and Quaker groups across the country. We follow guidance provided by the Quaker Stewardship Committee to assist trustees of Quaker Meetings. As an Area Meeting we follow the discipline of Britain Yearly Meeting as expressed in Quaker faith and practice.
In addition to grants paid in accordance with our grants policy, we pay a subscription to the Northern Friends Peace Board as a contribution to its running costs. We also pay a contribution to the running costs of our Friends Summer School. This year we paid a small contribution to Teenage General Meeting. These sums are included within the grants declared in the accounts.
## Remuneration policy for key management personnel
Staff salaries are set with reference to the NHS Agenda for Change pay scale. Members of the management team are paid within Band 5 and the Executive Officer is paid within Band 6. Total remuneration of the senior management team was £110,685. No members of staff received remuneration in excess of £60,000.
## Records
We have a small committee that advises on the keeping of documents and manuscripts and ensures that historic records are transferred to the appropriate place.
## Risk management
The risk register was reviewed by trustees in February 2022. Since our charity and trading subsidiary face slightly different risks we have two different risk registers. We have adopted the Charity Commission weighted formula for scoring risks, i.e. (likelihood x impact) + impact.
We consider that the most significant strategic risks we face as a charity are the risk of a safeguarding incident (which although not likely, would have a really serious impact if it were to happen) and the risk of continued decline in the number of worshippers. This latter risk is also recognised by Britain Yearly Meeting as among its most serious strategic risks. Operationally, we see inadequate health and safety measures as the most significant risk (again, we believe that we have reduced the likelihood through our actions but recognise the seriousness of the impact). Financially, we recognise the reality of donations failing to keep pace with costs, which is a particular problem given the reduction in trading income. We are also alert to the risk of fraud. Failure of compliance is another significant risk where we have worked hard to reduce the likelihood.
## Reporting of Serious Incidents
We have not reported any Serious Incidents to the Charity Commission in this period and are not aware of any unreported Serious Incidents.
## Safeguarding
We have not been notified of any safeguarding incidents during this period. We have a lead trustee for safeguarding and safeguarding is now a standing agenda item for trustee meetings.
## Data Protection
We are aware of the importance of compliance with the General Data Protection Regulation. We are confident that our process is robust and fit for purpose and recognise that compliance with data protection law requires ongoing effort and can never be deemed to have been completed.
18
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
## Health and Safety
We have external consultants who advise us in relation to health and safety and undertake inspections of our meeting houses to help us ensure we meet current requirements. Health and safety is another job that can never be ticked off as completed, but again we are confident that we address it in an appropriate way.
## Going Concern
Manchester and Warrington Area Quaker Meeting is a going concern.
## **Statement of responsibilities of the trustees**
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
The trustees are required to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and the group and the incoming resources and application of resources, including the net income or expenditure, of the charity and the group for the year. In preparing those financial statements the trustees are required to:
select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP; make judgements and accounting estimates that are reasonable and prudent; state whether applicable accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and the group and which enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## In so far as the trustees are aware:
- there is no relevant audit information of which the charity's auditors are unaware; and
- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
19
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Report of the trustees**
## **For the year ended 31 March 2022**
Members of the charity have no liability to contribute to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
## **Auditors**
Godfrey Wilson Limited were appointed as auditors to the group and parent charity during the year and have expressed their willingness to continue in that capacity.
Approved by the trustees on 6 December 2022 and signed on their behalf by
Beck Solway - Clerk of Trustees
Ben Lukey - Clerk of Area Meeting
20
## **Independent auditors' report**
## **To the members of**
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Opinion**
We have audited the financial statements of Manchester and Warrington Area Quaker Meeting (Religious Society of Friends) (the 'parent charity') and its subsidiaries (the 'group') for the year ended 31 March 2022 which comprise the consolidated statement of financial activities, consolidated and parent charity balance sheets, consolidated statement of cash flows and the related notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the UK and the Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
give a true and fair view of the state of the group and parent charity's affairs as at 31 March 2022 and of the group's incoming resources and application of resources, including its income and expenditure, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the annual report other than the group and parent charity financial statements and our report thereon. Our opinion on the group and parent charity financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
21
## **Independent auditors' report**
## **To the members of**
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the report. We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:
adequate accounting records have not been kept by the parent charity, or returns adequate for our audit have not been received from branches not visited by us; the parent charity financial statements are not in agreement with the accounting records and
- we have not obtained all the information and explanations necessary for the purposes of our audit.
## **Responsibilities of the trustees**
As explained more fully in the responsibilities statement set out in the report, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
## **Our responsibilities for the audit of the financial statements**
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
22
## **Independent auditors' report**
## **To the members of**
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:
(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.
- Identifying, evaluating and complying with laws and regulations, and whether they were aware of any instances of non-compliance;
- Detecting and responding to the risk of fraud, and whether they were aware of any actual, suspected or alleged fraud; and
- Designing and implementing internal controls to mitigate the risk of non-compliance with laws and regulations, including fraud.
(3) We inspected the minutes of trustee meetings.
(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.
(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.
(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.
(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:
Testing the appropriateness of journal entries;
- Assessing judgements and accounting estimates for potential bias; Reviewing related party transactions; and
Testing transactions that are unusual or outside the normal course of business.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting website at: www.frc.org.uk/auditorsresponsibilities. This description
23
## **Independent auditors' report**
## **To the members of**
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Use of our report**
This report is made solely to the members, as a body, in accordance with section 144 of the Charities Act 2011 and the regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the members those matters we are required to state to them in an report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the members as a body, for our audit work, for this report, or for the opinions we have formed.
Date: 7 December 2022
## **GODFREY WILSON LIMITED**
Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
24
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Consolidated statement of financial activities**
## **For the year ended 31 March 2022**
|Restricted
Note
£
**Income from:**
Donations and legacies
3
41,210
Charitable activities
4
17,460
Other trading activities
5
-
Investments
6
-
**Total income**
58,670
**Expenditure on:**
Raising funds
-
Charitable activities
54,414
**Total expenditure**
8
54,414
4,256
Net gains / (losses) on investments
15
-
**Net income / (expenditure)**
4,256
Transfers between funds
2,267
**Net movement in funds**
9
6,523
**Reconciliation of funds:**
Total funds brought forward
7,085
**Total funds carried forward**
13,608
**Net income / (expenditure) before**
**gains / (losses) on investments**|Unrestricted
£
137,470
2,217
310,248
54,788
504,723
420,831
119,064
539,895
(35,172)
(61,144)
(96,316)
(2,267)
(98,583)
7,696,726
7,598,143|**2022**
**Total**
**£**
**178,680**
**19,677**
**310,248**
**54,788**
**563,393**
**420,831**
**173,478**
**594,309**
**(30,916)**
**(61,144)**
**(92,060)**
**-**
**(92,060)**
**7,703,811**
**7,611,751**|Restated
2021
Total
£
248,744
1,013
71,869
53,481|
|---|---|---|---|
||||375,107|
||||475,024
137,837|
||||612,861|
||||(237,754)
132,655|
||||(105,099)
-|
||||(105,099)
7,808,910|
||||7,703,811|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 23 to the accounts.
Prior period income has been reclassified to reflect the requirements of the Charities SORP (FRS 102) and to be comparable with the current year. The restatements are purely reclassifications of income do not affect net income / expenditure.
25
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Consolidated balance sheets**
## **As at 31 March 2022**
|Note
**Fixed assets**
Tangible assets
14
Investments
15,16,17
**Current assets**
Debtors
18
Investments
19
Cash at bank and in hand
**Liabilities**
Creditors: amounts falling due within 1 year 20
**Net current assets**
**Net assets**
22
**Funds**
23
Restricted funds
Unrestricted funds:
Designated funds
Revaluation reserve
General funds
**Total charity funds**|**The group**
**2022**
**£**
**5,946,084**
**1,230,498**
**7,176,582**
**101,451**
**153,448**
**276,059**
**530,958**
**(95,789)**
**435,169**
**7,611,751**
**13,608**
**856,491**
**2,466,859**
**4,274,793**
**7,611,751**|The group **The charity**
2021
**2022**
£
**£**
6,181,312
**5,942,155**
1,119,609
**1,515,498**
7,300,921
**7,457,653**
62,852
**20,496**
131,499
**153,448**
284,367
**179,310**
478,718
**353,254**
(75,828)
**(24,158)**
402,890
**329,096**
7,703,811
**7,786,749**
7,085
**13,608**
856,851
**856,491**
2,473,025
**2,466,859**
4,366,850
**4,449,791**
7,703,811
**7,786,749**|The charity
2021
£
6,173,100
1,359,609|
|---|---|---|---|
||||7,532,709|
||||15,445
131,499
243,361|
||||390,305
(31,118)|
||||359,187|
||||7,891,896
7,085
856,851
2,473,025
4,554,935|
||||7,891,896|
-
Approved by the trustees on 6 December 2022 and signed on their behalf by
Beck Solway - Clerk of Trustees
Hilary Tucker - Treasurer
26
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Consolidated statement of cash flows**
## **For the year ended 31 March 2022**
|**Cash used in operating activities:**
Net movement in funds
Adjustments for:
Depreciation charges
(Gains) / losses on investments
Dividends, interest and rents from investments
Decrease / (increase) in debtors
Increase in creditors
**Net cash provided by / (used in) operating activities**
**Cash flows from investing activities:**
Dividends, interest and rents from investments
Transfer of opening cash in investments
Proceeds from the sale of investments
Purchase of investments
**Net cash provided by investing activities**
**Increase in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**
**Cash and cash equivalents comprises:**
Cash at bank and in hand
Cash held in current asset investments
**Cash and cash equivalents at the end of the year**|**2022**
**£**
**(92,060)**
**47,228**
**61,144**
**(54,788)**
**(38,599)**
**19,961**
**(57,114)**
**54,788**
**7,572**
**61,947**
**(53,552)**
**70,755**
**13,641**
**415,866**
**429,507**
**276,059**
**153,448**
**429,507**|2021
£
(105,099)
51,137
(132,655)
(53,481)
65,830
(37,010)|
|---|---|---|
|||(211,278)|
|||53,481
-
126,360
(128,917)|
|||50,924|
|||(160,354)
576,220|
|||415,866
284,367
131,499|
|||415,866|
The group has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.
27
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **1. Accounting policies**
## **a) Basis of preparation**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).
Manchester and Warrington Area Quaker Meeting (Religious Society of Friends) 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.
## **b) Group accounts**
These financial statements consolidate the results of the charity and its wholly-owned (controlled) subsidiary on a line by line basis. Transactions and balances between the charity and its subsidiary have been eliminated from the consolidated financial statements. Balances between the two entities are disclosed in the notes of the charity's balance sheet. A separate Statement of Financial Activities for the charity is not presented as the charity has taken advantage of the provisions of section 24 of the SORP.
## **c) Going concern basis of accounting**
The accounts have been prepared on the assumption that the charity is able to continue as a going concern, which the trustees consider appropriate having regard to the current level of unrestricted reserves. There are no material uncertainties about the charity's ability to continue as a going concern.
## **d) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor's intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.
Income received in advance of provision of services is deferred until criteria for income recognition are met.
28
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **1. Accounting policies**
## **e) Investment income**
Interest on funds held on deposit, dividends and other investment income are included when receivable and the amount can be measured reliably by the charity. This is normally upon notification of the amounts paid or payable by the bank or investment managers.
## **f) Funds accounting**
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particularly areas of the charity's work or for specific projects being undertaken by the charity.
## **g) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **h) Allocation of support costs**
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the activities. These costs have been allocated in full to charitable activities in the current and prior year on the basis that most fundraising activity is carried out by the trading subsidiary and allocated directly.
## **i) Grants payable**
Grants payable are charged in the year in which the offer is conveyed to the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attached have been fulfilled. Grants offered subject to conditions at the year end are noted as commitment but are not accrued as expenditure.
## **j) Tangible fixed assets**
Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:
|Buildings|100 years|
|---|---|
|Fixtures and fittings|4 years|
|Plant and machinery|10 years|
Items of equipment are capitalised where the purchase price exceeds £1,000.
29
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **k) Investment property**
Investment property is property (land or a building, or both) held to earn rentals or for capital appreciation or both.
Investment property is initially measured at cost, including transaction costs. Investment property is subsequently measured at fair value at the reporting date. This method of valuation
Gains or losses arising from changes in the fair value of investment property are included in net profit or loss on the face of the Statement of Financial Activities for the period in which they arise.
## **l) Listed investments**
Listed investments traded on a recognised stock exchange are stated at fair value at the reporting date, which is deemed to be their market value. Any gain or loss, whether realised or unrealised, is taken to the Statement of Financial Activities.
## **m) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **n) Current asset investments**
Current asset investments consists of cash equivalents held on deposit for investment purposes with a maturity date of less than one year and more than three months from the date of acquisition or opening of the deposit or similar account.
## **o) 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.
## **p) Creditors**
Creditors and provisions are recognised where there is 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. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **q) Financial instruments**
The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.
30
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **r) Accounting estimates and key judgements**
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below.
## **Depreciation**
As described in note 1j to the financial statements, depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life.
## **Investment properties**
The valuation is of investment property is deemed to be the market value of the land, as determined by a RICS registered surveyor.
31
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **2. Prior period comparatives: statement of financial activities**
|**Income from:**
Donations and legacies
Charitable activities
Other trading activities
Investments
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
**Total expenditure**
**Net expenditure before gains on investments**
Net gains on investments
**Net expenditure**
Transfers between funds
**Net movement in funds**|Restricted
£
£
40,223
208,521
-
1,013
-
71,869
-
53,481
40,223
334,884
-
475,024
41,184
96,653
41,184
571,677
(961)
(236,793)
-
132,655
(961)
(104,138)
(127)
127
(1,088)
(104,011)
Unrestricted|Restated
2021
Total
£
248,744
1,013
71,869
53,481|
|---|---|---|
|||375,107|
|||475,024
137,837|
|||612,861|
|||(237,754)
132,655|
|||(105,099)
-|
|||(105,099)|
32
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **3. Income from donations and legacies**
|Collections and other donations
Donations to local meetings and summer school
Covid support grants
**Total income from donations and legacies**
**Prior period comparative:**
Collections and other donations
Covid support grants
**Total income from donations and legacies**|Restricted
£
£
41,210
44,326
-
12,377
-
80,767
41,210
137,470
Restricted
£
£
40,223
41,426
-
167,095
40,223
208,521
Unrestricted
Unrestricted|**2022**
**Total**
**£**
**85,536**
**12,377**
**80,767**|
|---|---|---|
|||**178,680**
Restated
2021
Total
£
81,649
167,095|
|||248,744|
The prior period comparative has been restated to include covid support grants, previously included within income from other trading activities.
## **4. Income from charitable activities**
|Listed Places of Worship grants
Residential income
**Total income from charitable activities**|Restricted
£
£
-
1,657
17,460
560
17,460
2,217
Unrestricted|**2022**
**Total**
**£**
**1,657**
**18,020**
**19,677**|2021
Total
£
1,013
-|
|---|---|---|---|
||||1,013|
All income from charitable activities was unrestricted in the prior year.
33
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **5. Income from other trading activities**
|Lettings and other subsidiary trading income|**2022**
**Total**
**£**
**310,248**|Restated
2021
Total
£
71,869|
|---|---|---|
All income from trading activities was unrestricted in the current and prior year. The prior period comparative has been restated to reclassify covid support grants within donations and income from investment properties within investment income.
## **6. Income from investments**
|Dividends and interest
Income from investment properties
**Total income from investments**|**2022**
**Total**
**£**
**12,166**
**42,622**
**54,788**|Restated
2021
Total
£
9,133
44,348|
|---|---|---|
|||53,481|
All income from investments was unrestricted in the current and prior year. The prior period comparative has been restated to include income from investment properties, previously included within income from other trading activities.
## **7. Government grants**
The group receives government grants, defined as funding from the UK Government to fund charitable activities during the Covid-19 pandemic. The total value of such grants in the period ending 31 March 2022 was £80,767 (2021: £167,095). There are no unfulfilled conditions or contingencies attaching to these grants in 2021/22.
34
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **8. Total expenditure**
|**Total expenditure**|||||
|---|---|---|---|---|
|Investment management costs
Subsidiary trading costs
Grants payable (note 11)
Other direct costs
Property costs
Depreciation
Office and admin costs
Staff travel, training and recruitment
Governance costs
**Sub-total**
**Total expenditure**
**Prior period comparative**
Investment management costs
Subsidiary trading costs
Grants payable (note 11)
Other direct costs
Property costs
Depreciation
Office and admin costs
Volunteer costs
Governance costs
**Sub-total**
**Total expenditure**
Allocation of support and
governance costs
Allocation of support and
governance costs
Salary costs (including subsidiary)
(note 10)
Salary costs (including subsidiary)
(note 10)
Local meetings and summer school
expenditure|Raising
funds
£
248,036
6,075
162,436
-
-
-
-
4,284
-
-
-
420,831
-
**420,831**
Raising
funds
£
334,886
5,061
126,885
-
-
-
8,192
-
-
-
475,024
-
475,024|Charitable
activities
£
-
-
-
40,351
27,865
10
-
-
-
-
-
68,226
105,252
**173,478**
Charitable
activities
£
-
-
-
47,129
232
-
-
-
-
-
47,361
90,476
137,837|Support and
governance
costs
£
41,446
-
-
-
-
-
10,355
42,944
1,166
470
8,871
105,252
(105,252)
**-**
Support and
governance
costs
£
35,063
-
-
-
-
3,692
42,945
681
160
7,935
90,476
(90,476)
**-**|**2022 Total**
**£**
**289,482**
**6,075**
**162,436**
**40,351**
**27,865**
**10**
**10,355**
**47,228**
**1,166**
**470**
**8,871**|
|||||**594,309**
-|
|||||**594,309**
2021 Total
£
369,949
5,061
126,885
47,129
232
3,692
51,137
681
160
7,935|
|||||612,861
-|
|||||612,861|
35
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **9. Net movement in funds**
This is stated after charging:
**----- Start of picture text -----**
||||
|---|---|---|
|2022|2021|
|£|£|
|Depreciation|47,228|51,137|
|Operating lease payments|657|-|
|Trustees' remuneration|Nil|Nil|
|Trustees' reimbursed expenses|40|1,501|
|Auditors' remuneration:|
|Statutory audit and accounts preparation (excluding VAT)|8,200|4,800|
|Other services|300|756|
**----- End of picture text -----**
In the year one trustee received a total of £40 to reimburse them for training course fees. In the prior year, two trustees received a total of £70 to reimburse them for training course fees and expenses and one trustee received a total of £1,431 to reimburse them for other out of pocket expenses related to their Quaker work.
**10. Staff costs and numbers**
Staff costs were as follows:
**----- Start of picture text -----**
||||
|---|---|---|
|2022|2021|
|£|£|
|Salaries and wages|256,528|329,821|
|Social security costs|14,124|18,716|
|Pension costs|18,830|21,412|
|289,482|369,949|
**----- End of picture text -----**
No employee earned more than £60,000 during the current or prior year.
The key management personnel of the charity comprise the Trustees, Chief Executive Officer, and Senior Management Team. The total employee benefits of the key management personnel were £110,685 (2021: £104,384).
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|2022|2022|2021|2021|
|No.|FTE|No.|FTE|
|Average number of employees|18|13|19|14|
**----- End of picture text -----**
36
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **11. Grants making activities**
Total grants committed to during the year were as follows:
|Britain Yearly Meeting
Northern Friends Peace Board
Grants via Quaker Work Fund
Small Grants and Donations
Total grants payable to institutions|**2022**
**£**
**32,218**
**1,929**
**1,500**
**4,704**
**40,351**|2021
£
35,599
1,954
3,750
5,826|
|---|---|---|
|||47,129|
No support costs were allocated to grant-making activities.
Grants and donations are made to support Quaker work or to other organisations whose work advances Quaker concerns.
The charity does not actively invite applications, but responds as it is able in ways which support the concerns of the friends.
## **12. Conduit funding**
|**Conduit funding**|||
|---|---|---|
|Balance at start of year
Funding received during year
Funding distributed during year
Balance at end of year|**2021**
2020
**£**
£
**-**
-
**5,000**
-
**(5,000)**
-
**-**
-
**The group and charity**||
|||-|
Conduit funds are monies received for third parties and do not belong to the charity. The charity passes them through the accounts under a unique project code as a service to other charities to help their charitable purposes, but does not claim gift aid nor has control over their use. The receipts and payments referred to above have been excluded from the Statement of Financial Activities. There were no amounts outstanding at the year end. Conduit funding was received on behalf of and distributed to Conflict Minerals Campaign.
## **13. Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes. The charity's trading subsidiary, Quaker Trading (Manchester and Warrington) Limited donates available profits to the parent charity under the gift aid scheme.
37
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
|**14.**
**Tangible fixed assets**
**Group**
**Cost**
At 1 April 2021
Transfer to investments
At 31 March 2022
**Depreciation**
At 1 April 2021
Charge for the year
Depreciation on transfer to investments
At 31 March 2022
**Net book value**
**At 31 March 2022**
At 31 March 2021
**Charity**
**Cost**
At 1 April 2021
Transfer to investments
At 31 March 2022
**Depreciation**
At 1 April 2021
Charge for the year
Depreciation on transfer to investments
At 31 March 2022
**Net book value**
**At 31 March 2022**
At 31 March 2021|£
£
6,460,000
221,433
(200,000)
-
6,260,000
221,433
293,625
206,496
40,500
6,728
(12,000)
-
322,125
213,224
**5,937,875**
**8,209**
6,166,375
14,937
£
£
6,460,000
165,750
(200,000)
-
6,260,000
165,750
293,625
159,025
40,500
2,445
(12,000)
-
322,125
161,470
**5,937,875**
**4,280**
6,166,375
6,725
Land and
buildings
Furniture and
equipment
Land and
buildings
Furniture and
equipment|**Total**
**£**
**6,681,433**
**(200,000)**|
|---|---|---|
|||**6,481,433**|
|||**500,121**
**47,228**
**(12,000)**|
|||**535,349**|
|||**5,946,084**
6,181,312
**Total**
**£**
**6,625,750**
**(200,000)**|
|||**6,425,750**|
|||**452,650**
**42,945**
**(12,000)**|
|||**483,595**|
|||**5,942,155**
6,173,100|
Included in land and buildings is land valued at £2,410,000, which is not subject to depreciation.
Following the introduction of FRS102 and adoption of the Charity SORP based on it, freehold land and buildings were restated at their deemed cost at 1 January 2014 based on a professional valuation.
38
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **15. Investments**
|Market value at 1 April 2021
Additions
Transfer from fixed assets
Disposals proceeds
Gains / (losses)
Transfer to current investments cash
**Market value at 31 March 2022**|£
629,609
53,552
-
(61,947)
31,856
(7,572)
645,498
Listed
investments|£
490,000
-
188,000
-
(93,000)
-
585,000
Investment
properties|**Group Total**
**2022**
**£**
£
**1,119,609**
240,000
**53,552**
45,000
**188,000**
-
**(61,947)**
-
**(61,144)**
-
**(7,572)**
-
**1,230,498**
285,000
Loans to group
undertakings|**Charity Total**
**2022**
**£**
**1,359,609**
**98,552**
**188,000**
**(61,947)**
**(61,144)**
**(7,572)**
**1,515,498**|Group Total
2021
**£**
984,397
128,917
-
(126,360)
132,655
-
1,119,609|Charity Total
2021
£
984,397
368,917
-
(126,360)
132,655
-|
|---|---|---|---|---|---|---|
|||||||1,359,609|
Investment properties include income generating portions of 5 meeting houses owned by the charity. All properties were valued at the year end by Fifield Glyn Chartered Surveyors, with the valuation of four of the five investment properties being based on market value. The valuation for the fifth property, being a portion of the basement at 6 Mount Street, was based on the investment method, thereby basing the value on existing income streams at the property.
See note 26 for a description of the inter-company loan terms.
39
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **16. Subsidiary undertaking**
The Charitable Incorporated Organisation is the owner and sole member of Quaker Trading (Manchester & Warrington) Limited, a company limited by guarantee and registered in England. The company registration number is 03094920 and the registered office is Friends' Meeting House, 6 Mount Street, Manchester, M2 5NS. The subsidiary is used for non-primary purpose trading activities.
Available profits are gift aided to the charitable incorporated organisation. A summary of the results of the results of the subsidiary are shown below:
|Turnover
Gross profit
Administrative expenses
Other operating income
Operating profit / (loss)
Interest receivable
Interest payable
Profit / (loss) for financial year
The aggregate of the assets, liabilities and funds was:
Assets
Liabilities
Funds|**2022**
**£**
**352,647**
**352,647**
**(414,754)**
**80,984**
**18,877**
**6**
**(5,796)**
**13,087**
**2022**
**£**
**181,635**
**(356,633)**
**(174,998)**|2021
£
115,629|
|---|---|---|
|||115,629
(469,963)
167,683|
|||(186,651)
-
(1,864)|
|||(188,515)
2021
£
96,624
(284,709)|
|||(188,085)|
## **17. Parent charity**
The parent charity's gross income and the results for the year are disclosed as follows:
|Gross income
Results for the year|**2022**
**£**
**135,552**
**(105,147)**|2021
£
351,896
208,998|
|---|---|---|
40
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
|**18.**
**Debtors**
Accrued income
Trade debtors
Prepayments
**19.**
**Current asset investments**
Cash held in deposit accounts
Cash held in investment portfolio
**20.**
**Creditors: amounts due within 1 year**
Trade creditors
Accruals
VAT liability
Deferred income (see note 21)
**21.**
**Deferred income**
At 1 April 2021
Deferred during the year
Released during the year
At 31 March 2022|**2022**
2021
**£**
£
**23,393**
41,143
**70,025**
17,674
**8,033**
4,035
**101,451**
62,852
**2022**
2021
**£**
£
**132,692**
131,499
**20,756**
-
**153,448**
131,499
**2022**
2021
**£**
£
**21,452**
10,469
**46,507**
55,856
**5,484**
-
**22,346**
9,503
**95,789**
75,828
**2022**
2021
**£**
£
**9,503**
30,089
**22,346**
9,503
**(9,503)**
(30,089)
**22,346**
9,503
**The group**
**The group**
**The group**
**The group**|**2022**
2021
**£**
£
**20,186**
15,054
**-**
211
**310**
180
**20,496**
15,445
**2022**
2021
**£**
£
**132,692**
131,499
**20,756**
-
**153,448**
131,499
**2022**
2021
**£**
£
**2,975**
188
**20,873**
30,930
**-**
-
**310**
-
**24,158**
31,118
**2022**
2021
**£**
£
**-**
-
**310**
-
**-**
-
**310**
-
**The charity**
**The charity**
**The charity**
**The charity**|**2022**
2021
**£**
£
**20,186**
15,054
**-**
211
**310**
180
**20,496**
15,445
**2022**
2021
**£**
£
**132,692**
131,499
**20,756**
-
**153,448**
131,499
**2022**
2021
**£**
£
**2,975**
188
**20,873**
30,930
**-**
-
**310**
-
**24,158**
31,118
**2022**
2021
**£**
£
**-**
-
**310**
-
**-**
-
**310**
-
**The charity**
**The charity**
**The charity**
**The charity**|
|---|---|---|---|
||||-|
Deferred income relates mainly to advance bookings and rental fees in advance.
41
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
|**22.**
**Analysis of net assets between funds**
£
Tangible fixed assets
-
Investments
-
Net current assets
13,608
**Net assets at 31 March 2022**
**13,608**
**Prior year comparative**
£
Tangible fixed assets
-
Investments
-
Net current assets
7,085
**Net assets at 31 March 2021**
7,085
Restricted
funds
Restricted
funds|£
-
856,491
-
**856,491**
£
-
856,851
-
856,851
Designated
funds
Designated
funds|£
2,227,502
239,357
-
**2,466,859**
£
2,298,668
174,357
-
2,473,025
Revaluation
reserve
Revaluation
reserve|£
3,718,582
134,650
421,561
**4,274,793**
£
3,882,644
88,401
395,805
4,366,850
General
funds
General
funds|**£**
**5,946,084**
**1,230,498**
**435,169**
**Total**
**funds**|
|---|---|---|---|---|
|||||**7,611,751**
Total
funds
£
6,181,312
1,119,609
402,890|
|||||7,703,811|
42
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **23. Movements in funds**
|**Movements in funds**|||||||
|---|---|---|---|---|---|---|
|**Restricted funds**
Contributions BYM
Winifred Locke legacy
Ditton Trust
DSEI funds
Bursary fund
Summer School fund
**Total restricted funds**
_Designated funds:_
Cost contingency
Legacies funds
Quaker work fund
Local meeting accounts
Summer school
_Total designated funds_
General funds
Revaluation reserve
**Total unrestricted funds**
**Total funds**
Contributions small
groups
Refugees and asylum
seekers
Sinking funds for
maintenance
**Unrestricted funds**|At 1 April
2021
£
-
-
473
5,990
450
-
172
-|Income
£
8,434
32,218
-
-
545
13
-
17,460|£
(8,434)
(32,218)
-
(368)
-
(172)
-
(13,222)
Expenditure|£
-
-
-
-
-
-
-
-
Gains /
(losses)|£
**£**
-
**-**
-
**-**
-
**473**
-
**5,622**
-
**995**
159
**-**
-
**172**
2,108
**6,346**
2,267
**13,608**
-
**616,588**
-
**191,000**
-
**25,369**
4,500
**11,864**
(212)
**11,670**
(2,108)
**-**
2,180
**856,491**
(4,447)
**4,274,793**
-
**2,466,859**
(2,267)
**7,598,143**
-
**7,611,751**
Transfers
between
funds
**At 31 March**
**2022**||
||7,085|58,670|(54,414)|-||**13,608**|
||616,588
191,000
24,369
8,864
13,922
2,108|-
-
1,000
-
12,937
-|-
-
-
(1,500)
(14,977)
-|-
-
-
-
-
-||**616,588**
**191,000**
**25,369**
**11,864**
**11,670**
**-**|
||856,851
4,366,850
2,473,025|13,937
490,786
-|(16,477)
(523,418)
-|-
(54,978)
(6,166)||**856,491**
**4,274,793**
**2,466,859**|
||7,696,726|504,723|(539,895)|(61,144)||**7,598,143**|
||7,703,811|563,393|(594,309)|(61,144)||**7,611,751**|
43
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **23. Movements in funds (continued) Purposes of restricted funds**
Contributions small For contributions to other Quaker connected charities. groups Contributions BYM For contributions to the Britain Yearly meeting. Winifred Locke legacy For assistance to attend conferences aimed at spiritual development, particularly for young people, including residential Yearly Meeting. Ditton Trust For the Warrington Meeting, for the relief of the necessitous poor, the assistance of Friends in need and the education of children of Friends. Refugees and asylum To support work with refugees and asylum seekers. seekers DSEI funds Funds collected to help pay travel and other expenses for Friends protesting at the biennial DSEI Arms Fair. Bursary fund To provide bursaries for education. Summer school fund Monies for the running costs of Friends' Summer School. **Purposes of designated funds** Sinking funds for Reserves set aside for payment of substantial or unplanned maintenance maintenance expenses. Cost contingency Reserves set aside to cover short-term excess of expenditure over income and to cover all potential redundancy costs. Legacies funds Monies donated in the form of legacies. Quaker work fund For the giving of grants to worthy causes. Local meeting accounts Monies held for local use. Summer school fund Monies for the running costs of Friends' Summer School.
## **Purposes of transfers between funds**
Transfers between funds a small transfer from unrestricted general funds to the DSEI fund to compensate for previous transfers out. The DSEI fund is now extinguished. A second transfer relates to the reclassification of the Summer School fund brought forward from designated to restricted. A final transfer relates to the designation of additional funds towards the Quaker Work Fund.
44
## **Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **23. Movements in funds (continued)**
|**Prior year comparative**
**Restricted funds**
Small groups
Contributions BYM
Winifred Locke legacy
Ditton Trust
DSEI funds
Bursary fund
Other
**Total restricted funds**
_Designated funds:_
Cost contingency
Legacy funds
Quaker work fund
Local Meeting accounts
Summer school
_Total designated funds_
General funds
Revaluation reserve
**Total unrestricted funds**
**Total funds**
Sinking fund -
maintenance
**Unrestricted funds**
Refugees and asylum
seekers|At 1 April
2020
£
-
(15)
473
6,253
1,290
-
172
-|Income
£
3,617
35,599
-
-
440
37
-
530|£
(3,617)
(35,599)
-
(263)
(1,280)
-
-
(425)
Expenditure|£
-
-
-
-
-
-
-
-
Gains /
(losses)|£
-
15
-
-
-
(37)
-
(105)
(127)
-
-
-
-
-
-
-
127
-
127
127
-
Transfers
between
funds|£
-
-
473
5,990
450
-
172
-
At 31 March
2021|
|---|---|---|---|---|---|---|
||8,173|40,223|(41,184)|-||7,085|
||616,588
191,000
24,369
4,114
13,310
1,496|-
-
-
8,500
10,721
1,112|-
-
-
(3,750)
(10,109)
(500)|-
-
-
-
-
-||616,588
191,000
24,369
8,864
13,922
2,108|
||850,877
4,476,835
2,473,025|20,333
314,551
-|(14,359)
(557,318)
-|-
132,655
-||856,851
4,366,850
2,473,025|
||6,949,860|314,551|(557,318)|132,655||6,839,875|
||7,800,737|334,884|(571,677)|132,655||7,696,726|
||7,808,910|375,107|(612,861)|132,655||7,703,811|
45
**Manchester and Warrington Area Quaker Meeting (Religious Society of Friends)**
## **Notes to the financial statements**
## **For the year ended 31 March 2022**
## **24. Financial instruments at fair value**
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|The group|The charity|
|2022|2021|2022|2021|
|£|£|£|£|
|Financial assets measured at fair value|645,498|645,498|629,609|629,609|
**----- End of picture text -----**
Financial assets measured at fair value comprise listed investments.
## **25. Operating lease commitments**
The group and charity had operating leases at the year end with total future minimum lease payments as follows:
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|The group|The charity|
|2022|2021|2022|2021|
|£|£|£|£|
|Amount falling due:|
|Within 1 year|657|657|-|-|
|Within 1 - 5 years|1,971|2,628|-|-|
|-|-|
|2,628|3,285|
**----- End of picture text -----**
## **26. Related party transactions**
Since 1 May 2017 Quaker Trading (Manchester & Warrington) Limited and Manchester and Warrington Area Quaker Meeting have been working with one another under a Hospitality and Facility Agreement. Quaker Trading is responsible for undertaking all the trading activity (primarily room hire and the provision of catering and audio-visual equipment) and for managing the buildings and grounds on behalf of the charity.
In the prior year, the charity formally agreed a loan facility of up to £300,000 available to Quaker Trading (Manchester & Warrington) Limited. At the prior year end, the subsidiary had drawn down £240,000 of this facility. During the current year, the subsidiary drew down a further £45,000, giving a balance at the current year end of £285,000 (included within investments in the charity's accounts).
The intercompany loan is repayable upon 24 months' notice and the annual rate of interest payable on the loan is 2% above the base rate then prevailing of the Bank of England. Total interest paid by the subsidiary to the charity in the year was £5,796 (2021: £1,864).
46