2020-08-31-accounts - Portsmouth Methodist Church

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PORTSMOUTH

METHODIST CHURCH

TRUSTEES’ ANNUAL REPORT

for the year ending

31 AUGUST 2020

PORTSMOUTH METHODIST CHURCH Year ended 31 August 2020

1 Objectives and activities

In setting our objectives and planning our activities, the Church Council meets at least three times in each year, and gives careful consideration to the Charity Commissioners’ general guidance on public benefit and, in particular, to its supplementary public benefit guidance on advancing our objectives and conforms to the Charities Act 2011.

Our Mission is to follow the calling of the Methodist Church, to respond to the gospel of God’s love in Christ and to live out its discipleship in worship and mission. We do this by pursuing the mission of God through worship, learning and caring, service and evangelism.

This is done for as many people as possible within the geographical area the Church serves by providing Christian worship, spiritual development, and pastoral care both to church members and to the wider communities in which they are located.

The Church supports the advancement of the Christian Faith through ecumenical liaison with other Christian groups.

2 Achievements and performance

This year the church has continued its focus on Mission and Outreach with regular Christian Sunday Worship at our three centres (Copnor, Eastney and Trinity, Southsea). In addition, there have been Bible Study Groups and Fellowship Groups including Toddler Groups, Coffee Mornings, a Lunch Club, Ladies Groups and a Zimbabwe Fellowship. The Church also sponsors a lively Boys and Girls Brigade. The church has also sought to creatively engage with the community in new ways such as the walking nativity in the Copnor area of Portsmouth that was attended by over four hundred people.

The Church also encourages the use of its premises by other faiths and the wider community. Users include Springwood Preschool, Kings Youth Theatre , Phoenix Players, The Ethiopian Orthodox Tewahedo Church, Christ Central Church, National Childbirth Trust, the Lithuanian Community of the South Coast, Jade Dance School, Various Keep Fit Classes, Brass and Woodwind Ensemble, Brownies and Guides, Choirs, the Women’s Institute and other occasional users.

We were pleased that we were able to support with personnel and premises the ecumenical Open Church initiative to provide overnight accommodation for the homeless in Portsmouth. Much was learned from the experience and it is hoped that this will be an ongoing project for future years.

Physical attendance has been restricted by the guidance issued by the Government because of Covid. During this period, we have found other ways to maintain our Christian Witness using the full range of social media and online communication processes.

2.1 Plans for future years

To continue to focus on mission activity that will lead new people into faith and so grow the number of Christians and to work with the Methodist Church on its new evangelical programme. To focus on worship and spiritual development by a series of workshops and training events. To continue to make the best use of our buildings and support local initiatives.

3 Financial review

During the year, the Church received total income of £127,814 and dispersed £109,790, the balance being carried forward to reserves. Total reserves carried forward were £186,492 of which £102,054 is designated, £81,740 restricted and £2,698 in an endowment.

The trustees of the Church have every reason to believe that the Church is a going concern. There are no subsidiary undertakings. Trustees foresee a reduction in income and reserves due to the Covid pandemic that will significantly affect the financial performance or position in the next year or two.

The Church has the following sources of funds: Regular donations from members and adherents, interest on investments and income from lettings which are uncertain for next year.

These sums are used to fulfil the mission of the Church by bringing more people to Christ or by providing facilities that might enable this to happen.

3.1 Staff.

The church does not employ any staff directly. Presbyters, Deacons and Lay workers are employed by the Circuit and allocated to specific churches. Portsmouth Methodist Church pays an assessment to cover the Circuit cost.

3.2 Investment Policy and Performance

To comply with Methodist Standing Orders, monies for long term investment are lodged with the Trustees for Methodist Church Purposes (TMCP). TMCP acts as custodian trustee for all large (over £20,000) bequests. These sums are invested in unitised investments or held on deposit. The investment returns are close to tracking the movements in the FTSE100 index. The deposit income mirrors the deposit rates available elsewhere. Portsmouth Methodist Church trustees’ investment policy is aligned with that of the CFB and TMCP because these organisations take into consideration the social, environmental and ethical considerations, both negatively and positively, that make investments suitable for the Methodist Church.

Short term deposits are lodged directly with the Central Finance Board (CFB).

It is the Church’s policy to manage the cash and investment resources of the Church so that a rate of return on investment – both by way of dividend and capital appreciation – is obtained at least as good as market rate considering the Church’s low appetite for risk.

3.3 Reserves level and policy

The unrestricted reserves readily available total £102,054 within which £49,174 has been designated for maintenance and repairs, £6442 for mission with young people, £2,766 for organ maintenance, £968 for the Portsmouth Open Church Project to the homeless and £583 for Benevolent Purposes.

The Church has a reserves policy covering all its unrestricted funds which is reviewed annually. Our Reserves Policy is to hold at least six month’s expenditure in hand; this would amount to £55,000. Some of the restricted funds can be reallocated to make up the shortfall of about £13,000.

4 Trustees’ responsibilities

For each financial year ending on 31st August the Trustees are required to prepare financial statements that give a true and fair view of the Church’s financial activities during the year and of its financial position at the end of the year. In preparing these financial statements, the Trustees must: • select suitable accounting policies and apply them consistently • make judgements and estimates that are reasonable and prudent • follow applicable accounting standards • prepare accounts to comply with the Charities SORP

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

4.1 Risk

The Church is largely risk averse. Risks are managed by being aware of them, quantifying their impact not only in cost terms but in possible reputational or structural damage, minimising them by not taking them or by setting up control systems that report any significant change in the risk. The three significant risks that have been identified are: 1. Failure to meet the Circuit Assessment. This is managed by giving careful attention to balancing income and expenditure. 2. The Church ‘s main source of funding is from donations and lettings and there is a risk that either or both might fall. This risk is managed by holding sufficient reserves and continually monitoring expenditure against budget. 3. Safeguarding children and vulnerable adults. The Church’s policy is to adhere to the Methodist Church’s policy on Safeguarding Children and Vulnerable Adults and to require all centres to comply with the Methodist Church’s Safeguarding policy. Regular safeguarding training is accessed from the Circuit to support the Church in complying with the policy.

5 Structure, governance, and management

The Church is an unincorporated association and is governed by the Methodist Church Act 1976, the Deed of Union and the Model Trust Deeds of the Methodist Church and was registered with the Charity Commissioners on 11 June 2018.

5.1 Structure

The Church is the co-ordinating charity for the three local centres based in Copnor, Eastney and Southsea. The Church is part of the East Downs and Solent Circuit which is the co-ordinating charity for local groups of churches, some of which are registered as independent charities and the balance of which are excepted charities. The Circuit is part of the Southampton District which is the co-ordinating charity for a group of contiguous Circuits. District decisions are made at the half yearly synod to which the Circuit appoints both lay and ordained representatives. The Methodist Conference meets once each year as the supreme denominational body for all Methodist Churches.

Overall regulatory authority rests with the Methodist Conference. 2. The Connexional Office implements decisions made by Conference and is also responsible for the stationing of presbyters and deacons (collectively known as ministers) in individual Circuits. 3. Connexional decisions are passed via Districts to Circuits for local implementation by the Superintendent Minister, ministerial staff and Circuit Stewards, and authority is delegated to the Circuit Meeting for certain matters. 5. The Circuit Meeting passes regulatory control down to Church Councils for local implementation by the presbyter, the Church Stewards, and other officers, and this regulatory authority is then exercised by Church Councils as Managing Trustees of their charity.

5.2 Purpose of the Church

The Church is an expression within Portsea Island, Portsmouth of the Connexional character of the Methodist Church.

The purposes of the Methodist Church are and shall be deemed to have been since the date of the union the advancement of:

a. the Christian faith in accordance with the doctrinal standards and the discipline of the Methodist Church, b . any charitable purposes for the time being of any Connexional, District, Circuit, local or other organisation of the Methodist Church, c . any charitable purpose for the time being of any society or institution subsidiary or ancillary to the Methodist Church and d. any purpose for the time being of any charity being a charity subsidiary or ancillary of the Methodist Church.

The primary purpose of this Church is to advance the mission of the Church in Portsmouth

5.3 Governance

The Church operates within a statutory framework of regulation and seeks to ensure that it follows Methodist Standing Orders. It relies on the Connexional Office at 25 Marylebone Road, London NW1 5JR to provide guidance on changes that could affect the Circuit.

The Church Council meets at least three times each year and is the decision-making body for the Church. Membership of the Church Council is made up of Presbyters Supernumerary Ministers and Deacons who are allocated to the Church by the Circuit, representatives from each Centre and Forum Groups chosen annually by

each church, Circuit Stewards who are appointed annually to ensure that all areas of the Church’s work is appropriately represented.

There are specific groups within the Church that focus on Mission and Outreach, Worship and Spirituality, Pastoral and Property and Finance who report to and are accountable to the Church Council. They also formulate policies and proposals that will advance the Mission of the Church and bring to the Church Council for approval.

The Church Council has delegated day to day operations of each centre to local Centre Managements Teams.

6 Reference and Administrative Details

6.1 Name of the charity

Portsmouth Methodist Church.

6.2 Charity registration number

1178715, registered in England and Wales

6.3 Principal Office

c/o The Manse, 16 Cousins Grove, Southsea. PO4 9RP. Telephone 01243 371806

6.4 Church Presbyter

Reverend John Mills

6.5 Church Treasurer

Mr Alan Haynes

6.6 Names of Trustees

The following served as trustees throughout part or all of the year 2019-2020 or were trustees at the time of this report being approved:

Mrs L Adamson, Mrs R Ashman, Mr T De-Graft Estun, Mrs D Foster, Mr A Haynes, Mrs S Haynes, Mrs B Hayward, Mrs F Jenkins, Miss J Mason, Mrs C Matthews, Reverend J Mills, Mrs B Noakes, Mr S Pomeroy, Mr A Riley.and Mrs Diane Williamson

No trustee claims exemption from disclosure of his or her name here.

CHURCH RECEIPTS AND PAYMENTS ACCOUNTS THE METHODIST CHURCH STANDARD FORM OF ACCOUNTS PORTSMQUTH METHODIST Church FQR THE YEAR ENDED 31 August 2020 e88t Solent and Downs M•thodi8t Circuit Clrcuit no 2W07 R•oistered Charlty. Gfv8rkty ReyL8tratlon numbgr If not a registered tharity Her Ma55 Rwgnuo and Gustoms Glft Aid number (The HMRC number is eq1valent ta a registsred charity number In temis of ewidere of tharitable 5tatU5 and may used to give to donors or grant fvnders wishing to see evidenrx of the organkation's charitable status. Methodi charrties in Engl8nd and Wales that are not gist&red charities ore ex¢eptsd from registration under Statutory In8trument 2014 No.2421 Minister.. 117871$ Revd John Mi118 ChurGh Stewafds. Bafbsra Hayward Fran Jenkin5 Shiitay Hayne8 TreasuTrr'. ALgn HayrEs R#r P2015th 1oF5

PORTSMOUTH METHODIST AccouNfs FOR THE YEIR ENDED)I AUGUST 20ZO ehur Unr•Btrf6tsd D•swTrit•a 7AICP Tc4aknthki Funds Fund Fund SECnON A RECDPT8 otlenn $anOTaxrÉcoverBd Bart CFB IntrtAnd Inve5menl 3£.639 43,425 319 432 576 1,327 31.W 5B,221 127,814 31.627 5.130 73.719 53,D$7 Other recews TOTALRECEIPTS 4,140 472 48,1 49,627 132,957 SE¢TItsN B PAYWEIITS c1YAt¢s¥M&)tQrShèffr b1 b2 58,410 1,075 16.8 10 C>otthons 3.747 33.299 115 $nd Maintenance Ub1thes Ilnsuran¢e5, vJr 17.351 bs 23.789 b7 othw TOTAL PAyINv 5.87Q 105,371 8.725 f26,136 b8 4307 112 109,T90 SE¢O+J C NET RECEIPTSIPAYMEi¥rs ¢1 a6 285 49,415 IiOZ4 6.2 TotslfLrndg Dfwhtforwgrdftt l¥tyeaf 35.024 t46? 161.637 5sJbtotal ¢1+c2 37.894 64.t60 84.439 186.493 Tr&n51ets and ad u5trneA 6.852 6.BS2 TOTALFUNDS AT ENDQFYEAR I•¢4) 31,042 71,012 84,438 18A492 IE8,A69 Ic6) SECTION D FOR INFORMAIVYIIJILY.. MOIIÉY RECESVED PASSEDON TO ExfERNALQTrGANISAllONS thpsearn(wntsar¢llotto ¢nts)i*l r¢cel d1 Bala htfonYardfI8st 02 Offert SlG1ft5.rewvedtreAwnai o d3 - passed ¢tMl BALANCE STILL TO BÉ PAID Id1+d2431 2of6

PORTSMOUTH METHODIST 8ECTIDP4E $UMrnOIeCumBnr5frDarVAO 31 A4QUSt2020aITrtsrn¥0wnwUw$eWthe(UCXVCwpA an Th1&SBc cndtO8UthugThSin¢CffiJew¢1WTeI&fthechUh INTERMAL 2-tut41BtuTr lQ4790 18 I$B 186 eYGHURCH 127 It6492 TgTALRE¢ETS TOTAL PAYMEMrs SE) F ¢LOSWO CHVRtH.¢1SHFiKIDSL03I u&tX20 Inmnd 10.972 TrIGP 1Q25F TrACP114 49.249 b311¢yAlTflY}i8t2> TOTCA% FUIIDSNELDBYCHiII 18&492 I sb20t9

Name of ChuTCh ... No... 111É74 Declarations and Scrutiny I confimi that these ReIpt and Payment bas8d account8 for the year to 31 August 2020 have been pièpared frorn thtr rscords of Ihe Church 8nd that they tnclude all fvnds undei the control of the Church trustees. Sthgnature of treasurer... Name and addres$ of treasuier.... Pr•sentatlon to the Church trust•as I conflmi that thè annual rewrt and accounts for the year ended 31 August 2020 werèlwthw presented lo the meetinq ol the Church trustees held on ...] lièwq &'AI 8ignaluttr ol the Chair ol the meeting b5•ma of th• Ch&)ir of m8atino Independont Examiner's Report to the Trustees of the Portsmouth Methodist Church CharÉty NUmr11787l5 Responslbllltle8 and bas18 of report I retxjrt lo the trustees on my examination ol the ac¢ounls of the Portsmouth Methodist Chur¢h for the year ended 31 August 2020 set out on pages 2 to 3. As the Church'5 ttustees, you are re8ponsible for the preparation ol the accoLnts in accordance with the requirernents of the Charit*s Act 20111'the A¢VI. I report in SPeCt of my exarnirabon of the Church's accounts ¢arried out under section 145 of the Act and, in carrying out my examination, I have followÈd all the appluble Directions gNen by the Charity Commission under Section 14515llbl of the Act. ' delete or circle as appropriafr 2015tthtth R th1P. 4of5

Narne of Church Portsmouth Mèthodist Church Charity No 1178715 Ind•p•ndont Examinerfs Stst•m•nt I have completed my examinM)n. I confim that no material matters have come lo my attention in connection with the éxamination (other than that disclosed belovfi which give ma txuse to believe that in, any malertal resp8¢t." the aOUntinQ records wer8 not kept in accordance with Section 130 of the Act,. or the accounts do not acw¥d with th£ accounting records. I have no ConmS arKJ have come across no other matters in connectton with the examination to which attention should be drawn in this report in Order lo enable a proper understanding of the accoL¢nts to be reached. I have not obtair1 independent ve1rficatn of all invethents with the Trustees fot Melhodisl Church PoSe5 or htsld in other trusts. bank balances and funds al the Central Finanix B03rd of Methodist Church which are individually in exce88 of £10,000 Ilen taousand pounds) at the balance she8t date. Signature of indepèndent examineT Name of independent examiner Revant professional qualrfication of indeptrndènt examinef Name of fi'rm (where appropriatel Address ..... Post Code f oio 714 delete or urcle 8$ 8ppropMe 3015 Chuth 5of5