REGISTERED CHARITY NUMBER: 1176592
MOORLANDS CHURCH
REPORT OF THE TRUSTEES AND
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2022
Scott & Wilkinson Dalton House
9 Dalton Square LANCASTER LA1 1WD
MOORLANDS CHURCH
CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
| Page | |||
|---|---|---|---|
| Reference and Administrative Details | 1 | ||
| Report of the Trustees | 2 | to | 3 |
| Independent Examiner's Report | 4 | ||
| Statement of Financial Activities | 5 | ||
| Balance Sheet | 6 | ||
| Cash Flow Statement | 7 | ||
| Notes to the Financial Statements | 8 | to | 15 |
MOORLANDS CHURCH
REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 AUGUST 2022
| Trustees | Mr S J Tomlinson |
|---|---|
| Mr D A Rurlander | |
| Mr A C Blain | |
| Principal address | Moorlands Church |
| Trinity Community Centre | |
| Middle Street | |
| LANCASTER | |
| LA1 1JZ | |
| Registered charity number | 1176592 |
| Independent examiner | Scott & Wilkinson |
| Dalton House | |
| 9 Dalton Square | |
| LANCASTER | |
| LA1 1WD | |
| Bankers | Cumberland Building Society |
| 26-28 Cheapside | |
| St Nicholas Arcades | |
| LANCASTER | |
| LA1 1LZ |
Page 1
MOORLANDS CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2022
The trustees present their report with the financial statements of the charity for the year ended 31 August 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
Objectives and activities
Objectives and aims
The object of Moorlands Church is to advance the Christian Faith, to relieve persons who are in conditions of hardship or need or who are aged or sick and to relieve the distress caused thereby and to promote and fulfil such other charitable purposes beneficial to the community.
Significant activities
The main activities in relation to those objects are the regular meetings of the church. These include the main gathering of the church on Sunday mornings, as well as regular mid-week groups for church members there are separate events for students, overseas students, children and young people. In addition, throughout the year the church runs various courses, training and outreach events.
Public benefit
All activities are offered free of charge to ensure they are accessible to all, and are regularly promoted and publicised in the local community.
The Trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
Volunteers
The Church benefits from many voluntary hours and unclaimed out of pocket expenses, contributed by a large number of people. It would be impossible to place a value on these gifts in kind, for which the Trustees are extremely grateful.
Achievement and performance
Charitable activities
During the course of the year the Church has run its full range of activities and each has been a source of encouragement. The regular Sunday gatherings of the church have been well attended, both by partners of the church and those exploring the Christian Faith. The work with children and young people has been a source of encouragement with record attendance. The student work, both with students from United Kingdom and overseas is also close to pre-coronavirus levels of activity. A range of training courses on subjects such as marriage and parenting have been held as well as, for the first time, a regular English as a Second Language course for people living in Lancaster who have just arrived in the country.
Staff
The Charity employed four full time and one part time staff throughout the year to meet the objectives listed above.
Financial review
Principal funding sources
The Charity's principal source of funds is voluntary donations from the congregation and membership of Moorlands Church, including the underlying income tax rebate. Funds are also received from individuals and trusts external to the charity's congregation and membership.
Investment policy and objectives
The Charity's policy is to hold surplus funds in a High Street Building Society account to minimise the risk of capital losses.
Page 2
MOORLANDS CHURCH
REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 AUGUST 2022
Financial review
Reserves policy
The Charity's policy is to maintain a cash balance that is sufficient to meet the obligations of the restricted income funds in full and provide adequate cover for general running costs. This will have the effect of ensuring the General Fund remains in surplus. Free reserves at the year end were £234,716 (2021 - £245,171).
The Charity transfers funds from the General Fund to ensure no other fund is materially in deficit.
Funds in deficit
No funds are in deficit.
Future plans
The Church will continue with its vision of sharing the Christian Faith with people of Lancaster. In doing so it will seek to equip its members for a life-time of service, including caring, supporting, teaching and encouraging its members and those from the wider community who take advantage of the Church's activities. To further this vision the Church plans to develop and refurbish its buildings on High Street in Lancaster, with the expectation that work on site will commence in the next financial year.
Structure, governance and management
Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
The main governing document of the Charity is set out in CIO document registered 9 January 2018.
Recruitment and appointment of new trustees
New Trustees are appointed by existing Trustees. The Trustees meet regularly to review management, financial and operational risk matters.
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
........................................................................
Mr D A Rurlander - Trustee
Page 3
INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF MOORLANDS CHURCH
Independent examiner's report to the trustees of Moorlands Church
I report to the charity trustees on my examination of the accounts of Moorlands Church (the Trust) for the year ended 31 August 2022.
Responsibilities and basis of report
As the charity trustees of the Trust you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the Act').
I report in respect of my examination of the Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.
Independent examiner's statement
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of ACCA which is one of the listed bodies.
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:
-
accounting records were not kept in respect of the Trust as required by Section 130 of the Act; or
-
the accounts do not accord with those records; or
-
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.
T M Preece F.C.C.A ACCA Scott & Wilkinson Dalton House 9 Dalton Square LANCASTER LA1 1WD
Date: .............................................
Page 4
MOORLANDS CHURCH
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 AUGUST 2022
| Notes Income and endowments from Donations and legacies 2 Investment income 3 Total Expenditure on Charitable activities 4 Church activities NET INCOME/(EXPENDITURE) Transfers between funds 15 Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward |
Unrestricted funds £ 234,786 1,501 236,287 246,292 (10,005) (400) (10,405) 370,450 360,045 |
Restricted funds £ 397,746 - 397,746 25,895 371,851 400 372,251 1,121,262 1,493,513 |
2022 Total funds £ 632,532 1,501 634,033 272,187 361,846 - 361,846 1,491,712 1,853,558 |
2021 Total funds £ 633,751 1,962 |
|---|---|---|---|---|
| 635,713 | ||||
| 255,539 | ||||
| 380,174 - |
||||
| 380,174 1,111,538 |
||||
| 1,491,712 |
Continuing operations
All income and expenditure has arisen from continuing activities.
The notes form part of these financial statements
Page 5
MOORLANDS CHURCH
BALANCE SHEET 31 AUGUST 2022
| Notes Fixed assets Tangible assets 10 Current assets Debtors 11 Cash at bank Creditors Amounts falling due within one year 12 Net current assets Total assets less current liabilities Creditors Amounts falling due after more than one year 13 NET ASSETS Funds 15 Unrestricted funds Restricted funds Total funds |
Unrestricted funds £ 125,329 48,961 198,567 247,528 (12,812) 234,716 360,045 - 360,045 |
Restricted funds £ 643,890 49,778 806,870 856,648 (2,025) 854,623 1,498,513 (5,000) 1,493,513 |
2022 Total funds £ 769,219 98,739 1,005,437 1,104,176 (14,837) 1,089,339 1,858,558 (5,000) 1,853,558 360,045 1,493,513 1,853,558 |
2021 Total funds £ 725,206 55,294 734,280 789,574 (18,068) 771,506 1,496,712 (5,000) 1,491,712 370,450 1,121,262 1,491,712 |
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. Mr S J Tomlinson - Trustee
The notes form part of these financial statements
Page 6
MOORLANDS CHURCH
CASH FLOW STATEMENT FOR THE YEAR ENDED 31 AUGUST 2022
| Notes Cash flows from operating activities Cash generated from operations 17 Net cash provided by operating activities Cash flows from investing activities Purchase of tangible fixed assets Interest received Net cash used in investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period |
2022 £ 317,058 317,058 (47,402) 1,501 (45,901) 271,157 734,280 1,005,437 |
2021 £ 381,901 381,901 (27,609) 1,962 (25,647) 356,254 378,026 734,280 |
|---|---|---|
The notes form part of these financial statements
Page 7
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 AUGUST 2022
1. Accounting policies
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 33% Straight line Motor vehicles - 40% Reducing balance Computer equipment - 33% Straight line
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Pension costs and other post-retirement benefits
The charity operates a defined contribution pension scheme. Contributions payable to the charity's pension scheme are charged to the Statement of Financial Activities in the period to which they relate.
Concessionary loans
Concessionary loans include those payable to a third party / parties which are interest free or below market interest rates and are made to advance charitable purposes. All loans are measured at cost, less impairment.
Page 8
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
| 2. Donations and legacies Internal giving Gift aid Gift aid - building fund Building fund External giving Gifts for ministry trainees Firstfruits Foundation Graduate alumni 3. Investment income Deposit account interest 4. Charitable activities costs Church activities 5. Grants payable Church activities The total grants paid to institutions during the year w FIEC Friends International Belgian Bible Institute Bethel Church Otley The Northwest Partnership NISCU Oak Hill |
Direct Costs £ 258,379 as as follows: |
Grant funding of activities (see note 5) £ 10,252 |
2022 £ 193,241 39,966 47,155 318,389 2,420 8,190 20,000 3,171 632,532 2022 £ 1,501 Support costs (see note 6) £ 3,556 2022 £ 10,252 2022 £ 3,252 2,750 2,000 - 1,000 - 1,000 10,002 |
2021 £ 200,295 35,249 42,709 288,082 2,905 12,049 49,976 2,486 |
2021 £ 200,295 35,249 42,709 288,082 2,905 12,049 49,976 2,486 |
|---|---|---|---|---|---|
| 633,751 | |||||
| 2021 £ 1,962 Totals £ 272,187 |
|||||
| 2021 £ 11,364 |
|||||
| 2021 £ 3,252 2,500 2,012 2,000 1,000 100 500 |
|||||
| 11,364 |
Page 9
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
6. Support costs
| Support costs | |||
|---|---|---|---|
| Governance | |||
| Finance | costs | Totals | |
| £ | £ | £ | |
| Church activities | 364 | 3,192 | 3,556 |
| Support costs, included in the above, are as follows: | |||
| Governance costs |
| Governance costs | |||
|---|---|---|---|
| 2022 | 2021 | ||
| Church | Total | ||
| activities | activities | ||
| £ | £ | ||
| Independent examiners fee | 3,192 | 1,848 | |
| 7. | Trustees' remuneration and benefits | ||
| 2022 | 2021 | ||
| £ | £ | ||
| Trustees' salaries | 38,430 | 37,294 | |
| Trustees' social security | 3,117 | 2,826 | |
| Trustees' pension contributions to money purchase schemes | 4,892 | 4,892 | |
| 46,439 | 45,012 |
No Trustee received any remuneration or had any expenses reimbursed in respect of their position as Trustees. Mr D A Rurlander is an employee of the CIO and received remuneration and expenses in respect of his employment.
Mr D A Rurlander received remuneration of £38,430 (2021 - £37,294) in respect of his employment by the CIO. The Charity made pension contributions on behalf of Mr D A Rurlander in the sum of £4,892 (2021 - £4,892).
Trustees' expenses
There were no Trustees' expenses paid for the year ended 31 August 2022 nor for the year ended 31 August 2021.
8. Staff costs
| Wages and salaries Social security costs Other pension costs |
2022 £ 150,260 10,146 14,202 174,608 |
2021 £ 146,989 10,584 13,886 |
|---|---|---|
| 171,459 |
The average monthly number of employees during the year was as follows:
| 2022 | 2021 | |
|---|---|---|
| Charitable activities | 5 | 5 |
No employees received emoluments in excess of £60,000.
Page 10
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
9. Comparatives for the statement of financial activities
| Income and endowments from Donations and legacies Investment income Total Expenditure on Charitable activities Church activities NET INCOME Transfers between funds Net movement in funds Reconciliation of funds Total funds brought forward Total funds carried forward 10. Tangible fixed assets Cost At 1 September 2021 Additions At 31 August 2022 Depreciation At 1 September 2021 Charge for year At 31 August 2022 Net book value At 31 August 2022 At 31 August 2021 |
Freehold property £ 720,427 43,963 764,390 - - - 764,390 720,427 |
Fixtures and fittings £ 2,063 3,439 5,502 2,063 1,146 3,209 2,293 - |
Unrestricted funds £ 237,684 1,634 239,318 227,891 11,427 16,941 28,368 342,082 370,450 Motor vehicles £ 18,995 - 18,995 17,520 591 18,111 884 1,475 |
Restricted funds £ 396,067 328 396,395 27,648 368,747 (16,941) 351,806 769,456 1,121,262 Computer equipment £ 4,956 - 4,956 1,652 1,652 3,304 1,652 3,304 |
Total funds £ 633,751 1,962 |
||
|---|---|---|---|---|---|---|---|
| 635,713 | |||||||
| 255,539 | |||||||
| 380,174 - |
|||||||
| 380,174 1,111,538 |
|||||||
| 1,491,712 | |||||||
| Totals £ 746,441 47,402 793,843 21,235 3,389 24,624 769,219 725,206 |
Page 11
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
| 11. | Debtors: amounts falling due within one year | ||
|---|---|---|---|
| 2022 | 2021 | ||
| £ | £ | ||
| Other debtors | 88,751 | 48,752 | |
| Prepayments | 9,988 | 6,542 | |
| 98,739 | 55,294 | ||
| 12. | Creditors: amounts falling due within one year | ||
| 2022 | 2021 | ||
| £ | £ | ||
| Trade creditors | 6,354 | 14,114 | |
| Accrued expenses | 6,458 | 1,504 | |
| Deferred income | 2,025 | 2,450 | |
| 14,837 | 18,068 | ||
| 13. | Creditors: amounts falling due after more than one year | ||
| 2022 | 2021 | ||
| £ | £ | ||
| Concessionary loans payable (see note 14) | 5,000 | 5,000 | |
| 14. | Loans | ||
| An analysis of the maturity of loans is given below: | |||
| 2022 | 2021 | ||
| £ | £ | ||
| Amounts falling between one and two years: | |||
| Concessionary loan | 5,000 | 5,000 |
Loans include interest free loans in the sum of £5,000 (2020 - £5,000).
Page 12
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
15. Movement in funds
| Unrestricted funds General fund Building project Church planting Restricted funds High Street Site Ministry trainees Crosslands TOTAL FUNDS Net movement in funds, included in the above are |
At 1/9/21 £ 318,190 50,000 2,260 370,450 1,099,930 21,282 50 1,121,262 1,491,712 as follows: |
Net movement in funds £ (10,005) - - (10,005) 365,543 5,995 313 371,851 361,846 |
Transfers between funds £ (400) - - (400) - - 400 400 - |
At 31/8/22 £ 307,785 50,000 2,260 |
|---|---|---|---|---|
| 360,045 1,465,473 27,277 763 |
||||
| 1,493,513 | ||||
| 1,853,558 | ||||
| Unrestricted funds General fund Restricted funds High Street Site Ministry trainees Crosslands TOTAL FUNDS |
Incoming resources £ 236,287 365,543 28,390 3,813 397,746 634,033 |
Resources Movement expended in funds £ £ (246,292) (10,005) - 365,543 (22,395) 5,995 (3,500) 313 (25,895) 371,851 (272,187) 361,846 |
|---|---|---|
Page 13
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
15. Movement in funds - continued
Comparatives for movement in funds
| Unrestricted funds General fund Building project Church planting Restricted funds High Street Site Ministry trainees Crosslands TOTAL FUNDS |
At 1/9/20 £ 289,822 50,000 2,260 342,082 769,456 - - 769,456 1,111,538 |
Net movement in funds £ 11,427 - - 11,427 330,474 38,523 (250) 368,747 380,174 |
Transfers between funds £ 16,941 - - 16,941 - (17,241) 300 (16,941) - |
At 31/8/21 £ 318,190 50,000 2,260 |
|---|---|---|---|---|
| 370,450 1,099,930 21,282 50 |
||||
| 1,121,262 | ||||
| 1,491,712 |
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General fund Restricted funds High Street Site Ministry trainees Crosslands TOTAL FUNDS |
Incoming resources £ 239,318 331,120 62,025 3,250 396,395 635,713 |
Resources Movement expended in funds £ £ (227,891) 11,427 (646) 330,474 (23,502) 38,523 (3,500) (250) (27,648) 368,747 (255,539) 380,174 |
|---|---|---|
The specific purposes for which the funds are to be applied are as follows:
The building project fund relates to funds set aside by the Church to be used for the future development of the High Street Site.
The High Street Site fund represents monies raised from donations and fundraising to develop the High Street Site.
Transfers between funds
In 2020 a transfer was made from the unrestricted general fund to the ministry trainee restricted fund to eliminate the deficit in the ministry trainee fund. In 2021 this transfer has been reversed due to the significant surplus generated in the ministry trainee fund during 2021. The scale of this surplus reflects ministry trainee donations received in 2021 to support the 2020 ministry trainee program.
Page 14
MOORLANDS CHURCH
NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 AUGUST 2022
16. Related party disclosures
Trustees and their families made total donations to the charity during the year in the sum of £41,888 (2021 - £41,365), of which £11,053 (2021 - £2,630) was donated to the restricted building fund in order for the charity to develop the High Street Site.
The Charity pays rent to a Trustee, Mr D A Rurlander in the sum of £12,720 (2021 - £12,720).
17. Reconciliation of net income to net cash flow from operating activities
| Net income for the reporting period (as per the Statement of Financial Activities) Adjustments for: Depreciation charges Interest received Increase in debtors (Decrease)/increase in creditors Net cash provided by operations Analysis of changes in net funds At 1/9/21 £ Net cash Cash at bank 734,280 734,280 Debt Debts falling due after 1 year (5,000) (5,000) Total 729,280 |
2022 £ 361,846 3,389 (1,501) (43,445) (3,231) 317,058 Cash flow £ 271,157 271,157 - - 271,157 |
2021 £ 380,174 2,637 (1,962) (7,050) 8,102 381,901 At 31/8/22 £ 1,005,437 1,005,437 (5,000) (5,000) 1,000,437 |
|---|---|---|
18.. Analysis of changes in net funds
Page 15