2024-03-31-accounts - Woodford Evangelical Church

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WOODFORD EVANGELICAL CHURCH

31 March 2024

Report and Financial Statements

www.woodfordec.org.uk

Tandem Accounting Chartered Accountants 17 Heathville Road London N19 3AL

WOODFORD EVANGELICAL CHURCH

Report and Financial Statements 2024 Contents

	Page
Legal & Administrative Information	2
Report of the Trustees	3
Independent Examiner's report to the Trustees	6
Statement of financial activities	7
Balance sheet	8
Notes to the financial statements	9

WOODFORD EVANGELICAL CHURCH

Legal & Administrative Information For the year ended 31 March 2024

Charity Name	Woodford Evangelical Church.
Charity Registration	1177194
Governing Document	CIO - association registered 16 February 2018 as amended on 29 November 2023.
Objective	The church’s objects are:
	1. To advance the Christian faith in accordance with the statement of beliefs, doctrinal
	distinctives and ethical statements in Woodford, Essex and the surrounding area and
	elsewhere as the members of the church in general meeting may from time to time think
	fit; and
	2. Such other charitable purposes as shall, in the opinion of the members of the church in
	general meeting, further the work of the church; provided that the advancement of such
	purposes must be undertaken in a manner that is consistent with the statement of beliefs
	as may be adopted and amended by the church from time to time in accordance with the
	provisions of the rules.
Affiliation	The Church is a member of the Fellowship of Independent Evangelical Churches.
Principal Address	Prospect Hall, 42 Prospect Road, Woodford Green, Essex, IG8 7NA
Trustees	The Trustees who served during the period or who were serving at the date of this report
	were:
	Jonathan Drane Pastor (resigned 8 June 2023)
	Jeremy Clifton Elder
	Kong Yee Yap Elder
	Trevor Newman Deacon
	Martin Hull Interim Pastor (appointed 1 September 2023)
Key Management	Those in charge of planning, directing, controlling, running and operating the Charity,
Personnel	including those members of staff who are the senior management personnel to whom the
	trustees have delegated significant authority or responsibility in the day-to-day running of
	the charity are the Trustees.
Bankers	Lloyds Bank
	47 High Street
	Brentwood
	Essex CM14 4RN
Independent Examiner	John Helm ACA
	Tandem Accounting Limited
	17 Heathville Road
	London N19 3AL

WOODFORD EVANGELICAL CHURCH

Report of the Trustees For the year ended 31 March 2024

The Trustees submit their report and the financial statements of Woodford Evangelical Church (“the Church”) for the year ended 31 March 2024. The financial statements have been prepared in the format prescribed by the Statement of Recommended Practice: Accounting and Reporting by Charities (SORP2019 (FRS102)) and the Financial Reporting Standard 102. The legal and administrative information set out earlier in this document forms part of this report.

1. Structure, Governance & Management

1.1 The Trustees

The Trustees of the Church are the persons appointed as elders in accordance with the Church Constitution and are responsible for the day-to-day management of the Church’s business in accordance with the Church’s objects. Two of the Trustees, the Pastor, received remuneration.

The induction process for any newly appointed Trustee comprises an initial meeting with the trustees and receipt of copies of the Church Constitution.

1.2 Church Members

Church members share in the responsibility for the finances, administration, maintenance and activities of the Church and elect the Trustees. Church members meet at least 3 times per annum for business meetings and receive reports from the Trustees.

Requirements for Church membership are:

profession of repentance towards God and faith in our Lord Jesus Christ;
baptism;
evidence of God’s grace in a consistent Christian life;
a desire to participate further in the privileges, obligations and fellowship of the church; and
acceptance of the Articles of the church.

1.3 Risk Management

The Church’s primary concern and objective is the glory of God. Whilst it is the Church’s policy to trust wholly in the Lord that He will work out His purpose to this end, the Church also acknowledges that it has a responsibility, both as individual members and as a body of members, for the proper management of the Church in accordance with applicable laws and accepted good practice and for ensuring that the risks faced by the Church in achieving its primary aim are addressed as best as possible. The trustees believe that, by monitoring reserve levels, by ensuring that controls exist over key financial systems, and by examining the operational risks faced by the church, it has established effective systems and procedures to mitigate those risks.

2. Activities & Strategies

The Church is committed to maintaining a Gospel witness in the Woodford area of North East London and beyond.

The Trustees have given due regard to the Charity Commissions’ guidance on public benefit. The Trustees believe that the Church provides benefit to the public by:

providing resources and facilities for public worship, pastoral care and spiritual, moral and educational development, both for the congregation and for anyone else who wishes to benefit from what the Church offers;
promoting Christian values and service by members of the congregation to the community, for the benefit of individuals and society as a whole; and
promoting the initiation and development of additional congregations with the same ethos.

During the period the Church continued to carry out the following activities in order to promote the Gospel in the local neighbourhood and fulfil its main objects:

Sunday morning and evening worship services;
• Prayer meetings and home Bible studies;

WOODFORD EVANGELICAL CHURCH

Report of the Trustees For the year ended 31 March 2024

Sunday school classes for 4-14 year olds;
Young people’s group for 5-11 year olds on Tuesday afternoons;
Toddler group on Thursday mornings;
Community Coffee on Monday mornings open to all in the community;
Half-term Holiday Bible Club in the school autumn term;
Christmas and Easter outreach services;
Evangelistic events; and
Supporting other local evangelical churches.

3. Achievements and Performance

As a church we give thanks to God that He has seen fit to continue to bless our activities.

4. Financial Review

4.1 Financial Activity and Financial Position

The Church’s main sources of funding are the free will offerings of church members.

The Statement of Financial Activities and Balance Sheet can be found on pages 7 and 8 respectively. The Church’s reserves increased by £32,118 (2023: decreased by £34,718) during the year to £452,847 (2023: £420,729).

Included in reserves are amounts totalling £nil (2023: £nil) which are restricted. These monies have either been raised for, and their use restricted to, specific purposes, or they comprise donations subject to donor-imposed conditions.

4.2 Reserves Policy

The Trustees have examined the requirements for free reserves, i.e. those unrestricted funds not invested in tangible fixed assets. The Trustees consider that, given the nature of the church’s work, free reserves should be equivalent to approximately 3 months’ routine general fund expenditure, plus committed future expenditure on other projects, where funds permit. The Trustees are of the opinion that this provides sufficient flexibility to cover temporary shortfalls in incoming resources and will allow the church to cope and respond to unforeseen emergencies whilst specific action plans are implemented. At 31 March 2024 the church had net free reserves of £172,258 (2023: £145,361) as follows:

Total reserves Less: restricted funds Less: fixed assets used for the continuing work of the church Free reserves Free reserves requirement: 3 month’s budgeted routine expenditure (excluding depreciation)	2024	2023
	£	£
	452,847	420,729
	-	-
	(280,589)	(275,368)


	172,258	145,361



	30,000	30,000

4.3 Investment policy

The church currently invests spare funds in an interest-bearing bank account.

4.4 Grants Policy

The Church makes gifts to support missionary endeavours both in the UK and abroad. The policy of the church is to give grants on the basis that they are subject to annual review and only renewed on the basis of meeting set criteria. In addition, the Church makes anonymous gifts, at the discretion of the Trustees, to those in need within, and outside of, the Church fellowship.

WOODFORD EVANGELICAL CHURCH

Report of the Trustees For the year ended 31 March 2024

5. Plans for Future Periods

Continue the main activities of the church;
Continue the support of the new church in a nearby area; and
Support the community through the economic difficulties of the rising cost of living by providing practical and pastoral care.

6. Responsibilities of Trustees for the Financial Statements

The Trustees are responsible for preparing the report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice. Charity law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of its financial activities for that period.

Select suitable accounting policies and then apply them consistently;
Make judgements and estimates that are reasonable and prudent;
State whether the policies adopted are in accordance with the appropriate SORP on Accounting by Charities and the Accounting Regulations and with applicable accounting standards, subject to any material departures disclosed and explained in the financial statements; and
Prepare the accounts on the going concern basis unless it is inappropriate to presume that the church will continue to operate.

The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enables them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

7. Approval

The report of the Trustees was approved by the Trustees on 15 October 2024 and signed on its behalf by:

Jeremy Clifton Trustee

WOODFORD EVANGELICAL CHURCH

Report of the Independent Examiner to the Trustees of Woodford Evangelical Church

I report on the financial statements of Woodford Evangelical Church for the period ended 31 March 2024, set out on pages 7 to 15.

This report is made solely to the Church Council in accordance with section 145 of the Charities Act 2011 (the Act). My independent examination has been undertaken so that I might state to the Trustees those matters I am required to state to them in an independent examiner’s report and for no other purpose. To the fullest extent permitted by the law, I do not accept responsibility to anyone other than the Trust and the Trustees for my independent examination, for this report, or the opinions I have formed.

RESPECTIVE RESPONSIBILITIES OF TRUSTEES AND EXAMINER

The Church Council considers that an audit is not required for this (under section 144(2) of the Act) and that an independent examination is needed.

It is my responsibility to:

Examine the accounts (under section 145 of the Act);
To follow the procedures laid down in the General Direction given by the Charity Commission (under section 145(5)(b) of the Act); and
To state whether particular matters have come to my attention.

BASIS OF INDEPENDENT EXAMINER’S STATEMENT

My examination was carried out in accordance with General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from the Church Council concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not express an audit opinion on the accounts.

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:

accounting records were not kept in respect of the church 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.

John Helm ACA

17 Heathville Road London N19 3AL 15 October 2024

WOODFORD EVANGELICAL CHURCH

Statement of Financial Activities For the year ended 31 March 2024

	Unrestricted	Restricted
Total	Funds	Funds	Total
2024	2023	2023	2023
£	£	£	£

134,021	106,328	-	106,328
23,495	1,510	-	1,510



157,516	107,838	0	107,838




9,870	725	-	725
115,528	116,221	25,610	141,831



125,398	116,946	25,610	142,556



32,118	(9,108)	(25,610)	(34,718)



32,118	(9,108)	(25,610)	(34,718)

420,729	429,837	25,610	455,447



452,847	420,729	0	420,729

WOODFORD EVANGELICAL CHURCH

Balance Sheet As at 31 March 2024

Note Fixed Assets Tangible Assets 5 Current Assets Debtors 6 Cash at Bank and in Hand Creditors – Amounts Falling Due Within One Year 7 Net Current Liabilities Net Assets Represented By: Restricted Income Funds 8 Unrestricted Income Funds 9 Total Funds	Unrestricted Funds 2024 £ 280,589 280,589 11,356 161,827 173,183 925 172,258 452,847 - 452,847 452,847	Restricted Funds 2024 £ - 0 - 0 - 0 0 - - 0
			Total	Total
			2024	2023
			£	£

			280,589	275,368

			280,589	275,368

			11,356	6,209
			161,827	141,702

			173,183	147,911

			925	2,550

			172,258	145,361

			452,847	420,729



			-	-
			452,847	420,729

			452,847	420,729

The financial statements were approved by the Trustees on 15 October 2024 and signed on its behalf by:

Jeremy Clifton Trustee

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

1. Accounting Policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

Basis of accounting

The financial statements have been prepared under the Charities Act 2011 and in accordance with the Charities Statement of Recommended Practice (Charities SORP (FRS 102)) and Financial Reporting Standard 102 (FRS 102). The financial statements are drawn up on the historical cost basis of accounting except for the revaluation of leasehold land and buildings which are shown at fair value.

The financial statements include all transactions, assets and liabilities for which the Church is responsible in law. They do not include the accounts of church groups that owe an affiliation to another body or those that are informal gatherings of church members.

The Church meets the definition of a public benefit entity under FRS 102.

Going Concern

There are no material uncertainties about the charity’s ability to continue as a going concern and accordingly the accounts have been drawn up on a going concern basis.

Income recognition

Voluntary income and donations (including legacies) are accounted for once the Charity has entitlement to the income, it is probable the income will be received and the amount of income receivable can be reliably measured. Income from the recovery of tax on gift aided donations is accounted for in the period in which the relevant donation is received.

The income from other trading activities includes rental income from the letting of the church manse which is accounted for when earned. It is shown gross, with the associated costs included in expenditure on fundraising.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Church; this is normally upon notification of the interest paid or payable by the bank.

Expenditure recognition

Expenditure is accrued as soon as a liability is considered probable, and the amount of obligation can be measured reliably. Longer term liabilities are discounted to present value. The Church is not registered for VAT and accordingly expenditure includes VAT where appropriate.

Charitable expenditure includes those costs in fulfilling the Church’s principal objects, as outlined in the Report of the Trustees. These include grants payable and governance costs:

Grants/gifts payable are payments made to third parties in furtherance of the Church’s objects. In the case of an unconditional grant offer this is accrued once the recipient has been notified of the grant award. The notification gives the recipient a reasonable expectation that they will receive the grant. Grants awards that are subject to the recipient fulfilling performance conditions are only accrued when the recipient has been notified of the grant and any remaining unfulfilled condition attaching to that grant is outside of the control of the Church.
Governance costs comprise all costs involving the public accountability of the Church and its compliance with regulation and good practice. These costs include costs related to the independent examination and legal fees.

Taxation

As a charity, the Church is exempt from tax on income and gains falling within the provisions of the Corporation Taxes Act 2010 or the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charitable objects. No tax charges have arisen on the Church.

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

1. Accounting Policies (continued)

Fixed Assets

Depreciation is provided to write off the cost, less estimated residual values, of all tangible fixed assets evenly over their expected useful lives. It is calculated at the following rates:

Fixtures and fittings - 25% per annum straight line Leasehold property - nil

Depreciation is not provided as the estimated residual value is considered to be the same or higher than the carrying value of the property in the accounts.

The leasehold property is stated at fair value.

Debtors

Debtors are included at the settlement amount due. Prepayments are valued at the amount prepaid.

Cash at bank and in hand

Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of opening of the deposit.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation arising 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 recognised at their settlement amount. Provisions have been calculated at the best estimate of the settlement amount and discounted to present value at the reporting date.

Fund accounting

The funds held by the charity are either:

Unrestricted general funds – these are funds which can be used in accordance with the charitable objects at the discretion of the trustees.
Restricted funds – these are funds that 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.

2. Income

Unrestricted Funds 2024 £ Restricted Funds 2024 £ Donations and legacies Offerings and donations 127,986 - Income tax reclaimed 4,466 - Legacy 1,569 - 134,021 0 Investment income Rental income 20,588 - Bank interest 2,907 - 23,495 0 157,516 0
	Total	Total
	2024	2023
	£	£

	127,986	99,929
	4,466	6,399
	1,569	-

	134,021	106,328

	20,588	1,500
	2,907	10

	23,495	1,510

	157,516	107,838

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

3. Expenditure: Raising Funds

Cost of running Baddow Close Investment Management Fees	Unrestricted Funds 2024 £ 9,755 115 9,870	Restricted Funds 2024 £ - - 0				Total 2023 £ 660 65
			Total
			2024
			£

			9,755
			115

						725
			9,870

4. Expenditure on Charitable Activities

Provision of Pastors Church Life & Outreach Missionary & Charitable Giving Provision of Office & Support Provision of Buildings and Facilities Governance	Unrestricted Funds 2024 £ 60,829 7,271 27,726 2,713 15,705 1,284 115,528	Restricted Funds 2024 £ - - - - - - 0
			Total		Total
			2024		2023
			£		£

			60,829		46,112
			7,271		7,746
			27,726		51,022
			2,713		876
			15,705		35,045
			1,284		1,030


			115,528		141,831

Two Trustees (2023: one) received £868 (2023: £582) in reimbursement for costs incurred on church business (including travel and subsistence, homeworking allowance, and the purchase of books).

4a. Staff Costs

Expenditure on charitable activities includes the following payroll costs in respect of 2 employees:

Unrestricted Funds 2024 £ 58,966 - 494		Total 2023 £ 43,822 503 1,315
	Total
	2024
	£

	58,966

	-
	494

59,460 58,966		45,640
	59,460

		43,822

	58,966

No employee received remuneration in excess of £60,000 during the period.

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

4. Expenditure on Charitable Activities (continued)

4b. Missionary & Charitable Giving.

Expenditure on charitable activities includes the following missionary and charitable giving:

To Organisations Equipping Pastors Worldwide Hope, Health, Action Open Doors International Mission to Jewish People All Nations Church Barkingside and Clayhall Christian Union Outreach Child Evangelism Fellowship of Great Britain Child Evangelism Fellowship of East London Norwich Student Union UFM Worldwide Restoration of Hope, Burundi Salt Church, Spain To Individuals	Unrestricted Funds 2024 £ 6,004 500 200 - 2,120 - 930 11,308 400 2,500 2,000 1,700 64 27,726	Restricted Funds 2024 £ - - - - - - - - - - - - - 0				Total 2023 £ 5,004 - - 1,275 28,610 200 1,172 10,673 - - 2,040 1,700 348
				Total
				2024
				£

				6,004
				500
				200
				-
				2,120
				-
				930
				11,308
				400
				2,500
				2,000
				1,700
				64

						51,022
				27,726

4c. Net income/(expenditure)

Net income is stated after charging:

Net income is stated after charging:
Depreciation Independent examination	Unrestricted Funds £ Restricted Funds £ 2,232 - 1,249 -	Total	Total
		2024	2023
		£	£

		2,232	369
		1,249	995

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

5. Tangible Fixed Assets

Cost At 1 April 2023 Additions Disposals At 31 March 2024 Depreciation At 1 April 2023 Charge for period Disposals At 31 March 2024 Net Book Value At 31 March 2024 At 31 March 2023	Leasehold land & building £ Fixtures, fittings & equipment £ 275,000 28,885 - 7,453 - - 275,000 36,338 - 28,517 - 2,232 - - - 30,749 275,000 5,589 275,000 368

			Total
			£

			303,885
			7,453
			-

			311,338


			28,517
			2,232
			-

			30,749


			280,589

			275,368

6. Debtors

Gift Aid receivable Other debtors		2024		2023 £ 5,979 230
		£

		10,445
		911

				6,209
		11,356

7. Creditors – Amounts Falling Due Within One Year

Accruals Other creditors		2024		2023
		£		£

		900		2,295
		25		255

		925		2,550

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

8. Restricted Funds

8a Current year. There were no movements or balances

8b Prior year	Income £ Expenditure £ - (25,610) 0 (25,610)	At 31
		March
		2023
		£

Clayhall & Barkingside Plant Initiative		0

		0


Clayhall & Barkingside Plant Initiative: Funds	received
Barkingside.

9. Unrestricted Funds

9a Current year General Designated – Christine Chester Fund Designated – tithe of sale of manse Designated – emergency fund		At 1 April 2023 £ 419,079 0 650 1,000 420,729	Income £ Expenditure £ 157,516 (124,748) - - - (650) - - 157,516 (125,398)	Income £ Expenditure £ 157,516 (124,748) - - - (650) - - 157,516 (125,398)	Income £ Expenditure £ 157,516 (124,748) - - - (650) - - 157,516 (125,398)	Transfers £ (55,000) 55,000 - - 0	Gains/ (losses) £ - - - - 0		At 31
									March
									2024
									£

									396,847

									55,000
									0
									1,000


									452,847

The transfer of £55,000 from unrestricted general funds to designated funds - Christine Chester was to recognise separately the residue of the legacy received from Christine Chester (net of certain expenses allocated in 2022).

9b Prior year General Designated – Christine Chester Fund Designated – tithe of sale of manse Designated – emergency fund		At 1 April 2022 £ 428,187 0 650 1,000 429,837	Income £ Expenditure £ 107,838 (116,946) - - - - - - 107,838 (116,946)	Income £ Expenditure £ 107,838 (116,946) - - - - - - 107,838 (116,946)	Income £ Expenditure £ 107,838 (116,946) - - - - - - 107,838 (116,946)	Transfers £ - - - - 0	Gains/ (losses) £ - - - - 0		At 31
									March
									2023
									£

									419,079

									0
									650
									1,000


									420,729

WOODFORD EVANGELICAL CHURCH

Notes to the Financial Statements For the year ended 31 March 2024

The designated fund – tithe sale of manse was set up to recognise the church’s commitment to gifting 10% of the sale proceeds of the manse to worthy causes in furtherance of the church’s objects. The church committed to spending the £10k designated fund by supporting two mission projects over three years (2022-2023): Philip Amos, Christian Witness to Israel and Lynne and Andy Neale, mission amongst ex-pats in Southern Spain.

The designated fund – Christine Chester Fund was set up to honour the legacy received from Christine Chester and to allocate resources toward initiatives that reflect the values and causes she supported.

10. Related Party Transactions

Jon Drane, a Trustee, received gross remuneration of £19,749 (2023: £38,566), an ex-gratia renumeration of £30,000 (2023: nil), and pension contributions of £nil (2023: £1,157) during the period in respect of his services as Pastor.

All Trustees were also Trustees of Woodford Community Centre (charity registration no 1171494) during the year. Woodford Evangelical Church paid £13,500 (2023: £18,000) rent in the period to Woodford Community Centre.

The Trustees donated £8,876 (2023: £9,139) towards the work of the church in 2023/24.