2023-12-31-accounts

PARISH OF EAST BLATCHINGTON, SEAFORD

ANNUAL REPORT AND FINANCIAL STATEMENTS OF THE PAROCHIAL CHURCH COUNCIL

Registered Charity number 1173506

for the year ended 31 December 2023

CONTENTS

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Page
Annual Report 1
Statement of financial activities 2
Balance Sheet 3
Notes to the accounts 4-9
Report of the independent examiner 10
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Church of St. Peter, Blatchington Hill, Seaford

Rector Revd Arwen Folkes, The Rectory, 86 Belgrave Road, Seaford BN25 2HE Independent M I Spencer Ltd, 4 Farmland Way, Hailsham examiner :- East Sussex BN27 1SP Bankers :- Santander, Bootle, Merseyside, L30 4GB

Note: whilst enrolled members are free to discuss the annual report and financial statements at the annual parochial church meeting on 28th April 2024 it would be very much appreciated if any questions on the financial statements could be sent in writing to the Treasurer, Mr C Reynolds, 4 Dutchess Drive, Seaford, E Sussex, BN25 2XL as soon as possible before the meeting.

East Blatchington PCC

The Treasurer’s 2023 Financial Report

Our day to day financial performance was heavily impacted by the continuance of the extraordinarily high energy costs but generous giving through collections at services, donations and appeals, and increases in Hall Letting income have ameliorated the position to a certain extent. The Chapel Rooms had a long overdue refurbishment with new toilets and redecorating throughout at a cost of £44,295 towards which we were successful in obtaining grants of £15,100.

Income including grants rose 25% to £134,963 whilst Expenditure was up 16% at £178,453 which created a deficit of £43,490 but increases in the value of our investments has reduced this figure to a final deficit of £13,140.

Income

Planned Giving has increased 2% to £43,543. This is an excellent and tax effective way of supporting St. Peter’s and I would urge any new parishioners to join the scheme. Income from general fund raising activities rose 35% and Donations & Appeals 80% to £5,779 and £12,034 respectively. Hall lettings income has risen 54% to £16,123. The refurbishments should ensure that income at this level continues.

Expenditure

Total expenditure was £178,453. Church running costs were up 53% at £27,823 of which Heat & Light was £11,242. Chapel Rooms running cost was up 49% at £16,793 Heat & Light accounted for £11,023. Upkeep of services saw a 21% increase to £9,508 whilst Churchyard Upkeep costs fell 30% to £2,077

Reserves

We started the year with £70,074 on Deposit with CCLA. It has been necessary to withdraw £55,000 to fund R & R activity and energy costs but we have received £12,316 in interest income from stock market investments, so at 31 December 2023 these deposits stood at £27,390

Longer Term Investments

These are stock market funds managed on our behalf by CCLA as mentioned below. The investment market saw an uplift in growth during the year with the result that the value of these funds grew from £347,137 to £377,487

Restricted Funds

When St. John’s Hall was sold in 2007 it was believed that the proceeds were controlled by a stipulation contained in a 1914 deed when the land was originally purchased. Thus when the sale proceeds of £220,000 were invested with CCLA Investment Management the subsequent use of these funds was determined as restricted.

However, following enquiries made of the Diocese it was discovered that the land which related to the 1914 deed was in fact sold in 1948. The then PCC sought a legal opinion in 1951 which determined that the funds could be used without restriction.

On 20[th] June 2023 the PCC passed a resolution that these funds could be regarded as unrestricted and at the same time passed a resolution to create a Reserves Policy which stated that we should always hold one year’s income by way of a reserve. Nominally £100,000.

Conclusion

It is very pleasing that the long overdue refurbishment of the Chapel Rooms has taken place and it now offers wonderful facilities not only for church activities but also to a growing number and range of hirers. This should see the strong increase in rental income continue. As in previous years, the PCC is extremely grateful for the generous financial help it has received by way of donations big and small, and for the support and attendance at all the fund raising activities.

Despite the difficult financial conditions that continue around us, I believe that our finances and controls are in good order.

Chris Reynolds Treasurer

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STATEMENT OF FINANCIAL ACTIVITIES

Notes Income and Endowments Voluntary income 2a Activities for generating funds 2b Income from investments 2c Church activities 2d Other income 2a(i) Total income and endowments Expenditure Church activities 3a Costs of generating funds 3b Other resources expended 3c Total expenditure Net incoming/(outgoing) resources for the year Other recognised gains /losses 1c Gains/(losses) on revaluation of fixed assets Gains/(losses) on investment income 5b (Net) Funds Vired During Year (i) Total funds b/fwd at 1st January 2023 6 Total funds c/fwd at 31st December 2023	UNRESTRICTED RESTRICTED TOTAL FUNDS FUNDS FUNDS 31.12.23 £ 68,905 23,801 92,705 5,779 0 5,779 12,316 0 12,316 24,162 0 24,162 0 0 0 111,162 23,801 134,963 155,246 16,850 172,096 1,006 0 1,006 1,824 3,528 5,352 158,075 20,378 178,453 -46,913 3,423 -43,490 0 0 0 0 0 0 30,350 30,350 -16,563 3,422 -13,140 0 428369 242681 671048 411805 246103 657909	TOTAL FUNDS 31.12.22 £ 69,963 4,276 11,514 16,130 5,614
		107,497
		151,146 501 1,956
		153,603
		-46,106 0 0 -46,309
		-92,415
		0 763463
		671048

(i) There were no funds vired during the year due to the change of practice regarding the restricted funds from St Johns.

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BALANCE SHEET Fixed Assets Tangible fixed assets Investment Current Assets Debtors (Inc. Payment in Advance) Short term deposits Unrestricted Short term deposits Restricted Cash at bank St Peters Cash in hand Creditors due within one year Net current assets TOTAL NET ASSETS Funds Unrestricted Funds Restricted Funds	Notes 5(a) 5(b) 8 9 7 7	6,204 27,390 0 8,050 12		2023 2022 £ £ 245,041 247,773 377,487 347,137 4,991 8,963 61,111 8,069 22 83,157 -7,019 35,381 76,138 657,909 671,048 411805 17,970 246103 653,078 657,909 671,048 NOT RESTATED	2023 2022 £ £ 245,041 247,773 377,487 347,137 4,991 8,963 61,111 8,069 22 83,157 -7,019 35,381 76,138 657,909 671,048 411805 17,970 246103 653,078 657,909 671,048 NOT RESTATED
		41,656 -6,275
					671,048
					17,970 653,078
					671,048

Approved by the Parochial Church Council on .....17th April......2024 and signed on its behalf by:

Rev. Arwen Folkes A Folkes Chairman

The accompanying notes form a part of these financial statements

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NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

1. Accounting policies

a Accounting convention

The financial statements have been prepared under the Charities Act 2011 and Charities Act 2016 and in accordance with the Church Accounting Regulations 2006 together with applicable accounting standards and the 2016 update of the Statement of Recommended Practice, Accounting and Reporting by Charities [SORP (FRS102)]

The financial statements have been prepared under the historical cost convention except for the valuation of investment assets, which are shown at fair value. The financial statements include all transactions, assets and liabilities for which the PCC is responsible in law. They do not include the accounts of church groups that owe their affiliation to another body, nor those which are informal gatherings of church members.

b Funds accounting

Funds held by the PCC are:

Unrestricted funds - general funds which can be used for PCC ordinary purposes.

Designated funds - monies set aside by the PCC out of unrestricted funds for specific future purpose or projects.

Restricted funds -

a) income from trusts or endowments which may be expended only on those restricted objects provided in the terms of the trust or bequest;

b) donations or grants received for a specific object or invited by the PCC for a specific object. The funds may only be expended on the specific object for which they were given.

Any balance remaining unspent at the end of the year is carried forward as a balance on that fund.

c Income and Endowments

These are included in the Statement of Financial Activities [SOFA] when:

1. the PCC becomes legally entitled to the use of the resources;

2. and the inflow of economic benefit is probable; and

3. the monetary value can be measured with sufficient reliability.

Voluntary Income

Funds raised from events and trading activities are reported gross in the SOFA Collections and Planned Giving receivable is recognised only when received.

Gift Aid and other tax claims are included in the SOFA at the same time as the cash donations to which they relate.

Grants and donations are included in the SOFA when any preconditions preventing their use by the PCC have been met.

Income from investments

Dividends and interest entitlements are included in the accounts when receivable

All other income

All other income is recognised when it is receivable.

Gifts in kind are accounted for at a reasonable estimate of their fair value at the time of the gift.

Gains and losses on investments

Realised gains are recognised when the investments are sold. Unrealised gains and losses are accounted for on revaluation on 31 December each year.

The Recognised Gain from the sale of St Johns in 2007 is no longer held within the Restricted Funds following confirmation during the year from the Diocese that the funds are not restricted in any way.

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NOTES TO THE FINANCIAL STATEMENTS (Continued) FOR THE YEAR ENDED 31 DECEMBER 2023

d Expenditure

Expenditure is accounted for on an accruals basis and is accounted for gross.

Grants

Grants payable are recognised in the accounts when a commitment has been made externally and there are no pre-conditions still to be met for entitlement to the grant which remain within control of the PCC.

Church Activities

The diocesan parish contribution is accounted for when paid. Any parish contribution unpaid at 31 December is provided for in these accounts as an operational (though not a legal) liability and is shown as a creditor in the Balance Sheet

e Fixed Assets

Tangible fixed assets

As consecrated and beneficial property of any kind is excluded from the statutory definition of "charity" by Section 10(2) (a) and (c) of the Charities Act 2011 such assets are not capitalised in the financial statements.

Movable church furnishings held by the Rector and Churchwardens on special trust for the PCC and which require a faculty for disposal, are accounted as inalienable property unless consecrated. They are listed in the church's inventory which can be inspected. For inalienable property acquired prior to 31st December 1990 there is insufficient cost information available and therefore such assets are not valued in the accounts. Individual items acquired since 1st January 1991 have been capitalised in the accounts and depreciated over their useful economic life (see depreciation note below).

All expenditure on consecrated or beneficed buildings and individual items under £1000 are written off in the year they were incurred.

Depreciation

Depreciation is calculated to write down the cost of tangible fixed assets, excluding freehold properties, over their expected useful lives. The rates generally applicable are:

Organ write off at the rate of £1000 per annum Fixtures, Fittings& Moveable Furnishings 25% straight line basis Electronic Equipment 25% straight line basis

No depreciation is provided on buildings as the currently estimated residual value of the properties (discounted for monetary inflation since their capitalisation) is not less than their carrying value and the remaining useful life of these assets currently exceeds 50 years, so that any depreciation charges would be immaterial.

An impairment review is carried out each year and any resultant loss identified included in expenditure for the year.

f Current Assets

Amounts owing to the PCC at 31 December in respect of fees, rents or other income are shown as debtors less provision for amounts that may prove uncollectible.

Short-term deposits include cash held on deposit either with the CBF Church of England, or at the bank.

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NOTES TO THE FINANCIAL STATEMENTS (Continued) FOR THE YEAR ENDED 31 DECEMBER 2023

2 Income and Endowments

			**UNRESTRICTED **	RESTRICTED	TOTAL	TOTAL
		Note	FUNDS	FUNDS	FUNDS	FUNDS
					31.12.23	31.12.22
					£	£
a	Voluntary income
	Planned giving		43,543	0	43,543	42,715
	Collections at all services		5,384	903	6,287	4,142
(i)	Other Income		1,858	3,527	5,385	5,614
	Grants		0	15,100	15,100	6,416
	Sundry donations and appeals	6	7,763	4,271	12,034	6,439
	Income tax recoverable		10,357	0	10,357	10,251
			68,905	23,801	92,705	75,577
(i)	Other income includes curate expenses reimbursed (£1858).
	The monies in other income restricted funds relates to the income temporarily held for				the
	College of Catholic Anglican Women - repaid in full before 31.12.23
b	Activities for generating funds
	Fairs, bazaars and other fund-
	raising events		5,779	0	5,779	4,276
			5,779	0	5,779	4,276
c	Investments income
	Interest & dividends		12,316	0	12,316	11,514
			12,316	0	12,316	11,514
d	Income from Church Activities
	Church hall lettings etc		16,123	0	16,123	10,415
	Fees from weddings etc		8,039	0	8,039	5,715
			24,162	0	24,162	16,130
	Total income & Endowments		111,162	23,801	134,963	107,497

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NOTES TO THE FINANCIAL STATEMENTS (Continued) FOR THE YEAR ENDED 31 DECEMBER 2023

3 Expenditure

UNRESTRICTED RESTRICTED TOTAL FUNDS FUNDS FUNDS 31.12.23 £ £ £ a Church Activities Missionary and charitable giving Overseas 0 0 0 Home 1,110 384 1,494 1,110 384 1,494 Ministry costs Diocesan parish contribution 52,359 0 52,359 i other clergy costs 9,037 0 9,037 ii Church running expenses 27,573 250 27,823 Wedding & Funeral Expenses 0 0 0 Church maintenance 2,625 0 2,625 Upkeep of services 9,508 0 9,508 Upkeep of churchyard 2,077 0 2,077 Church hall running costs 16,793 0 16,793 Church hall Major repairs 31,152 13,143 44,295 Depreciation 3,012 3,074 6,086 155,246 16,851 172,097 i includes council tax and water charges for St Andrews curate ii includes recharge of admin staff member from St Andrews b Costs of generating funds 1006 0 1,006 1,006 0 1,006 c Other resources expended iii College of Catholic Anglican Women 3528 3,528 Independent examination fee 1,824 0 1,824 1,824 3,528 5,352 Total expenditure 158,075 20,378 178,453

TOTAL FUNDS 31.12.22 £ 806 1,519 2,325 53,187 8,555 18,092 ) 65 ) 35,384 7,835 2,986 11,276 5,920 5,521 151,146 501 501 0 1,956 1,956 153,603

iii The monies in other resources expended relates to the income temporarily held for the College of Catholic Anglican Women - repaid in full before 31.12.23

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NOTES TO THE FINANCIAL STATEMENTS (Continued) FOR THE YEAR ENDED 31 DECEMBER 2023

4 Staff Costs

2023 2022

a Wages and Salaries

The St Peters PCC did not employ any staff during 2023. Self-employed organists, cleaners and gardeners were hired to supply these services. There is a shared admin assistant employed by St Andrews and this is recharged to St Peters.

b Payments to PCC members

No payments or expenses were made to any member of the PCC which were not in the nature of reimbursed expenses. Total of expenses reimbursed to PCC members during the year was £889 (2022 £1095)

5	(a)	Tangible fixed assets	UR & R	R	R	UR	UR & R
			Freehold land	Organ	Plant	Electrical	Fixtures
			and		&	Equipment	&	Total
			buildings		Equipment		Fittings
		Cost as at 1st January 2023	228417	36530	5480	1473	16613	288513
		Additions			1958		1397	3355
		Cost as at 31st December 2023	228417	36530	7438	1473	18010	291868
		Depreciation as at 1st January 2023		25000	5480	1105	9157	40741
		Charge for the year		1000	489	368	4228	6086
		Depreciation as at 31st December 2023	0	26000	5969	1473	13384	46827
		Net book value at 31st December 2023	228417	10530	1468	0	4625	245041
		Net book value at 31st December 2022	228417	11530	0	368	7456	247772

The freehold land and buildings comprise the Chapel Rooms. For accounting purposes the historical cost of this property was £228,417.

5 (b)

Investments Market value 1st January 2023 Purchases at Cost Revaluation Gain/(Loss) Market value 31st December 2023	Investment Property Total 332,275 14,862 347,137 0 0 0 31,262 -912 30,350
	363,537 13,950 377,487

During 2007 two investments were purchased, £200,000 in the CBF Church of England Investment Fund Income Shares and £20,000 in the CBF Church of England Property Fund. Their market values at the balance sheet date is indicated above.

8

NOTES TO THE FINANCIAL STATEMENTS (Continued) FOR THE YEAR ENDED 31 DECEMBER 2023

6 Sundry Donations and Appeals

Within the restricted sundry donations and appeals were monies for the chair appeal (£2,500), Father Eric birthday collection (£125) and the Christmas Collection (£903).

Within the unrestricted fund were monies from the Winter Warmer and received from PayPal giving.

Unrestricted Restricted 2023 7 Analysis of Net assets by fund Funds Funds TOTAL Fixed Assets 4,381 240,661 245,042 Investments 377,487 377,487 Current Assets 36212 5,442 41,654 Current Liabilities (6,275) (6,275) 411,805 246,103 657,908 8 Debtors 2023 Trade Debtors & Church hall letting fees due 492 0 492 PGS & tax refunds due from HMRC 5712 0 5712 Sundry debtors & Payments in Advance 0 0 0 6204 0 6204 9 Creditors: amounts falling due within one year 2023 Accruals for utilities and other costs 6275 0 6275 6275 0 6275	2022 247,773 347,137 83,157 (7,019)	2022 247,773 347,137 83,157 (7,019)
	671,049
		2022
		0 4991 0
		4991
		2022
		7019
		7019

10 Events in the year

The PCC members have received from the Diocese a copy of a historic letter, which indicates that it is entitled to spend monies (or a portion thereof) arising from the sale of land, which previously resided within the Restricted Fund, together with the income derived from such Fund(s) on the fabric of the Church and hall. The PCC have agreed that the proceeds from the sale of St Johns will now be treated as unrestricted. A new financial and reserves policy will be created to reflect this.

The comparatives for 2022 prepared under the previous policy have not been restated.

9

Independent examiner’s report to the PCC of St Peter’s, East Blatchington.

I report on the accounts of the PCC of St Peter’s, East Blatchington for the year ended 31[st] December 2023, which are set out on pages 2 to 9.

I report to the trustees on my examination of the accounts of the PCC of St Peter’s, East Blatchington (the PCC) for the year ended 31[st] December 2023.

Responsibilities and basis of report

As the charity trustees of the PCC you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2022 (‘the Act’).

I report in respect of my examination of the PCC’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.

Independent examiner’s statement

I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect: -

1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or

2. the accounts do not accord with those records; or

3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

However, it is noted that the substantial deficit experienced in 2022 has been significantly reduced in 2023 due to the hard work to increase income to cover the day to day running costs of the church and hall. Confirmation was received in 2023 to allow the monies previously held in restricted funds to be moved to unrestricted funds and new policies are being put in place to make provision for how this money should be handled.

Signed: C Jones Name: Clare Jones

Professional qualifications: FCIPD

Address: M I Spencer Ltd 4 Farmland Way Hailsham East Sussex BN27 1SP

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