Solent Evangelical Church
Report and Accounts Year ended 28 February 2023
1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk
Solent Evangelical Church LEGAL & ADMINISTRATIVE DETAILS
FOR THE YEAR ENDED 28 FEBRUARY 2023
| ADDRESS FOR CORRESPONDENCE | ADDRESS FOR CORRESPONDENCE | 365A Forton Road |
|---|---|---|
| Gosport | ||
| PO12 3HF | ||
| GOVERNING DOCUMENT | CIO Constitution Registered 18 December 2018 | |
| CHARITY REGISTRATION NUMBER | 1181249 | |
| TRUSTEES RESPONSIBLE | FOR | David Hugh Stanford (Pastor) |
| MANAGING THE CHARITY | Ronald Philip Bygrave | |
| Paul David Williams | ||
| BANKERS | Santander Business Banking | |
| Bridle Road | ||
| Bootle | ||
| Merseyside | ||
| L30 4GB | ||
| INSURERS | Ansvar Insurance | |
| Ansvar House | ||
| St Leonards Road | ||
| Eastbourne | ||
| BN21 3UR | ||
| Fellowship of Independent Evangelical | ||
| AFFILIATIONS | Churches (FIEC) | |
| Solent Gospel Partnership (SGP) | ||
| INDEPENDENT EXAMINER | Sarah Crispin (ACA) | |
| Stewardship | ||
| 1 Lamb's Passage | ||
| LONDON | ||
| EC1Y 8AB | ||
| INDEX | ||
| Page 1 | Legal & Administrative Details | |
| Pages 2-6 | Trustees' Report | |
| Page 7 | Independent Examiner's Report | |
| Page 8 | Receipts | and Payments Account |
| Page 9 | Statement of Assets & Liabilities | |
| Page 10 | Notes to the Accounts |
Page 1
Solent Evangelical Church
Trustees’ Annual Report and Financial Statement
Reporting Period: 1 March 2022 to 28 February 2023
Page 2
Governance
The managing trustees of the charity are the elders, who are appointed by members in accordance with the Church Handbook. The current elders are listed above. Ron Bygrave and Paul Williams were re-elected for a 5 year term at a Church Members Meeting held on 6 November 2019. David Stanford as an employed elder / pastor is not appointed for a fixed term of office but his appointment as elder (managing trustee) would terminate with his employment were that to cease according to the proper processes.
Deacons are also appointed in support of the elders and to take responsibility for various roles in the life of the church which would otherwise distract the elders from the primary leadership role. Paul Bassett had served well as a deacon in two short year terms from January 2020 through to January 2022. He continued in the role de facto, and was reappointed / elected for a full 3 year term at the AGM in November 2022. His special responsibilities are for the tech equipment and for publicity.
Charity Objectives
As set out in our Constitution, the objectives of Solent Evangelical Church are:
The advancement of the Christian faith in accordance with the Basis of Faith primarily but not exclusively within Gosport and the surrounding neighbourhood; and such other charitable purposes as shall, in the opinion of the charity trustees, put into practice the Christian faith in accordance with the Basis of Faith.
Activities in fulfilment of the Objectives
The church is committed to helping any who we can to come to know and follow Jesus and leading people to faith in Jesus is core to the advancement of the Christian faith. This is of huge benefit to those who come to trust in God in this way, and we believe it is therefore a great public benefit to give people the opportunity to hear about the Christian faith.
The period March 2022 – February 2023 is the first full year without government restrictions due to the Covid 19 pandemic. However, we have found that it has taken some time to restart our activities and return to something like the level of activity prior to the pandemic.
-
Regular Sunday morning services, including singing, prayer, Bible reading and preaching. These are our primary gathering of the week, and have been our consistent opportunity for regulars and members to meet together, and for outsiders to come and hear about the Christian faith.
-
The morning services have been normally livestreamed (except in a few rare cases) and it is our intention to continue with this indefinitely. We see this as an excellent way for the Christian faith to be accessible to those unfamiliar with its message, and it also provides a way for members of the community who are not able to physically attend to have access to the service online.
-
Regular midweek Bible studies and prayer meetings have been restarted, especially from October, although currently these are in one group meeting at the church, rather than in separate small groups in homes which would be our preference. These have seen a fairly small but consistent core of individuals attending, a subset of our regular congregation.
Page 3
-
Since October, roughly once a month we have held evening church, which has been for the purpose of teaching the Bible in more depth on issues which are of particular relevance and controversy in the current culture.
-
Coffee Pot (a coffee shop) runs once every 2 weeks in term time, and has continued to run throughout the current year, with a good number of regular visitors from the community surrounding the church, providing a welcoming and friendly atmosphere for friends to gather and for the church to make contact with people and help where possible. This continues to be much appreciated by local people who attend. We would like to run this more regularly (once per week), but are limited in that by available volunteers.
-
We ran a Christianity Explored class over several weeks in the early part of the year for people interested in understanding the Christian message better.
-
At Christmas we ran a number of Christmas related events including an informal all age church event, and a carol service in the lead up to Christmas. We met as we usually do on Christmas day. All these services are open to visitors to attend and we saw a number of new visitors at these meetings.
-
We ran occasion youth events for the fairly small number of teenage young people in the church, including Bible studies and social events – a highlight being the “barbecue in the woods”.
-
Other one off special events and services occurred during the year – including a church meal, a family fun day, a dedication, and a wedding.
-
We have supported two individuals from the church who have moved away to undertake theological training with a view to future full time Christian work.
-
We have continued to support financially outside organisations who share our ethos and desire to advance the Christian faith.
Leadership and Employment developments
In May of 2022, we took on a part time administrator to work as “Financial Administrator, Best Practice Administrator, Evangelism Worker and Events Co-ordinator”. It has been a long term aim to be able to employ someone to give time to these areas in the life of the church and we have been very pleased to be able to finally take the step of employing someone.
This has proved to be a successful move, and the church has benefited greatly.
Also during this year, David Stanford took 4 months of long service leave from June to September, after having been continuously employed in his role as pastor at Solent for nearly 15 years. This was undertaken as part of the church’s responsibility to care for its employees and to provide an opportunity for David to be refreshed and rested in a way that is not normally possible in regular employment.
This had a significant effect on the church (doubtless both positive and negative), as visiting preachers came to take Sunday services, and other leadership activities usually handled by David in his regular employment were put on hold. However, we believe this was a valuable and necessary provision to make.
Page 4
Achievements and Performance
We have successfully continued to tell people about the message of Jesus Christ, both locally and beyond, through our regular activities, and are glad that some have come to believe in Jesus during this period.
We are pleased that some return to pre-pandemic levels of activity has occurred, although are not able to do as much as we would like, and want to see development in other areas as people-power enables it.
A number of individuals have faced life difficulties during this time and have received significant support both practical and moral from the church which has significantly helped them in those difficulties.
The trustees have considered the guidance issued by the Charity Commission on public benefit and believe that we have fulfilled our objectives in this regard.
Financial Policies
It is our general policy to hold reserves in place equal to at least the running costs of the church for a three month period, considered in the scenario of a catastrophic loss of income.
This figure is currently estimated to be £10,000. At the end of the current year (end of February 2023) we held £23,399 in reserve which is well above the required reserves level.
Financial Summary
The big change to the church finances during this period has been the employment of our part time administrator which has been of great benefit. As expected this has meant we have used significant amounts of our reserves which had been earmarked for this purpose, so diminishing reserves are not initially a cause for concern.
However, we have not yet seen an increase in giving which would enable us to be reassured of our ability to continually employ a part time administrator on the current terms. Note also that the part time administrator was employed for 10 months of the year – from May – so the increased costs of employment are not representative of a full 12 months.
The income levels for this year are slightly up from the previous year - £43,503 compared to previous year figure of £42,674.
Actual expenditure has reduced from £61,826 (2022) to £55,108 (this year). However, 2022 figures were inflated due to building refurbishment costs of around £17K so are not a fair comparison. In effect, with the refurbishment costs taken out, general expenditure has increased year to year by around £10K. This increase is due to a combination of factors. The main increase is in our employment costs as previously mentioned, but as well as that there are additional costs in the following: support of two individuals in theological training; church website redesign; additional costs of outside speakers during the pastor’s long leave; increases to insurance and utilities; additional janitorial costs (actually part of finishing toilet refurb).
Page 5
Although some of these costs will continue in the next year, and employment costs are expected to increase by around £2,500, a number of these costs were one offs which will not recur in the next year. Approximately £3,000 of these increases in expenditure could be considered one off expenses.
The next financial year will be a real test of our ability to fulfil our current financial obligations and similar analysis at this point of next year will be critical. Although at this point there is not immediate cause for concern, the finances at this year’s close do provide an impetus to the church to increase giving to match our commitments and support our charitable work in the way we believe it should best be done.
We shall also have to consider our outgoings and take care expenditure is kept as low as possible. It may be that expenses we would like to incur (for instance for upgraded equipment) will need to be delayed until funds are available.
Responsibilities of Trustees
Charity law requires us as Trustees to prepare financial statements for each accounting year which record the receipts and payments of the charity for the year.
We are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable us to ensure that the financial statements comply with the Charities Act 2011.
We also have a responsibility to safeguard the assets of the charity and to take reasonable steps to prevent fraud or any other irregularities.
Approval
This report was approved by the trustees and signed on their behalf by:
David Stanford:
D Stanford
Date: 18 September 2023
Page 6
INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF
Solent Evangelical Church
I report to the trustees on my examination of the accounts of Solent Evangelical Church ('the charity') for the year ended 28 February 2023 on pages 8 to 10 following.
Responsibilities and basis of report
As the trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the 2011 Act’).
I report in respect of my examination of the charity’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 2011 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:
-
accounting records were not kept in accordance with section 130 of the 2011 Act; or
-
the accounts do not accord with the accounting records.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the accounts to be reached.
S Crispin
Sarah Crispin (ACA)
Stewardship 1 Lamb's Passage LONDON EC1Y 8AB
Date:
Page 7
Solent Evangelical Church
RECEIPTS AND PAYMENTS ACCOUNT
FOR THE YEAR ENDED 28 FEBRUARY 2023
| Notes Income receipts Donations Gift aid receipts Income from letting of facilities Interest received Total receipts Payments 2 Total payments Transfers between funds 4 Net movement in funds Cash funds as at last year end Cash funds at this year end A Net of receipts / (payments) before Grants paid in relation to charitable activities undertaken by others Payments in relation to charitable activities undertaken directly Purchase of fixed assets |
General Designated Funds Funds £ £ 34,990 670 6,045 - 1,563 - 35 - 42,633 670 40,820 10,888 3,200 - 44,020 10,888 - - - - 44,020 10,888 (1,387) (10,218) 1,892 1,892 - 504 (12,109) 21,395 12,810 21,899 701 Unrestricted Funds |
Restricted Funds £ 200 - - - 200 - 200 200 - - 200 - - - - - |
2023 £ 35,860 6,045 1,563 35 43,503 51,708 3,400 55,108 - - 55,108 (11,605) - (11,605) 34,205 22,600 |
2022 £ |
|
|---|---|---|---|---|---|
| General Funds £ 34,990 6,045 1,563 35 42,633 40,820 3,200 44,020 - - 44,020 (1,387) 1,892 504 21,395 21,899 |
|||||
| 36,451 5,696 525 2 |
|||||
| 42,674 | |||||
| 59,626 2,200 |
|||||
| 61,826 | |||||
| - | |||||
| - | |||||
| 61,826 | |||||
| (19,152) - |
|||||
| (19,152) 53,357 |
|||||
| 34,205 |
The notes on page 10 form part of these accounts.
Page 8
Solent Evangelical Church
STATEMENT OF ASSETS AND LIABILITIES FOR THE YEAR ENDED 28 FEBRUARY 2023
| Notes A Cash funds Cash at bank with immediate access Petty cash B Other monetary assets Gift aid due to charity C Liabilities Falling due within one year HMRC payroll taxes due Fee for Independent Examination Accrued expenses Total D Assets retained for charity's own use Freehold of church building Computers and IT Furniture |
General Designated funds funds £ £ 21,899 610 - 91 21,899 701 5,714 - 5,714 - 1,025 - 930 - 952 - 2,907 - 2,907 - Unrestricted Funds |
Restricted funds £ - - - - - - - - - - |
2023 £ 22,509 91 22,600 5,714 5,714 1,025 930 952 2,907 2,907 Cost £ - 2,599 5,000 7,599 |
2022 £ |
|---|---|---|---|---|
| 34,093 112 |
||||
| 34,205 | ||||
| 6,045 | ||||
| 6,045 | ||||
| - 840 - |
||||
| 840 | ||||
| 840 | ||||
| Current value £ |
||||
| 315,790 932 - |
||||
| 316,722 |
The trustees have used insurance values for the church building as the trustees are unable to reliably estimate current values; insurance values may differ materially from current values.
E Guarantees and secured debts
The charity has not given any guarantees and has not provided its assets as security for any liabilities.
The accounts were approved by the trustees and signed on their behalf by:
D Stanford
David Stanford
Date: 18 September 2023
The notes on page 10 form part of these accounts.
Page 9
Solent Evangelical Church
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 28 FEBRUARY 2023
1 Accounting policies
The accounts have been prepared on a receipts and payments basis and comprise a statement that shows the charity's receipts and payments, a statement that summarises the charity's assets and liabilities and related notes. The accountancy profession have determined that only accounts prepared in accordance with applicable accounting standards present a 'true and fair' view and, as these receipts and payments accounts have not (and cannot) be prepared in accordance with accounting standards, these accounts do not present (and are not intended to present) a 'true and fair' view of the charity's financial activities and state of affairs.
General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects.
| 2 Payments in relation to charitable activities underta Employment costs (see note 3) Ministry expenses Coffee Pot expenses IT equipment Refurbishment costs Small equipment Building maintenance & repair Utilities Insurance Legal & Professional fees Office & IT costs Other costs Contribution to FIEC |
Unrestricted Fun General funds £ ken directly 28,033 2,885 - - 136 - 1,418 1,812 1,449 1,517 2,195 655 720 40,820 |
ds Designated funds £ 10,377 - 511 - - - - - - - - - 10,888 |
Restricted Funds £ - - - - - - - - - - - - - - |
Total 2023 £ 38,410 2,885 511 - 136 - 1,418 1,812 1,449 1,517 2,195 655 720 51,708 |
Total 2022 £ |
|---|---|---|---|---|---|
| 33,940 1,489 255 - 17,794 220 286 1,316 1,242 960 1,340 65 720 |
|||||
| 59,626 |
3 Transactions with related parties
David Stanford served as church leader and was paid £32,988 inclusive of pension (2022: £32,992) for serving in that capacity, not for serving as a trustee; these payments are permitted by the charity's governing document.
Rhiannon Stanford who is related to David Stanford, received £720 (2022: £300) towards her support at Bible College.
4 Movement of funds
| 28 General funds Designated funds Betchworth special projects Local Evangelical Legacy Snapdragons Coffee Pot Restricted funds Mission appeals Total funds |
Balance at February 2022 £ 21,395 10,377 1,634 258 542 12,810 - - 34,205 |
Receipts £ 42,633 - - - 670 670 200 200 43,503 |
Payments £ (44,020) (10,377) - - (511) (10,888) (200) (200) (55,108) |
Transfers 2 £ 1,892 - (1,634) (258) - (1,892) - - - |
Balance at 8 February 2023 £ 21,899 - - - 701 |
|---|---|---|---|---|---|
| 701 | |||||
| - | |||||
| - | |||||
| 22,600 |
Designated Funds
Betchworth special projects fund was set aside for the kitchen refurbishment and employment costs and this year has be spent on employme Local Evangelical Legacy was set aside for livestream facility and development of unisex toilets. These projects are now complete so the remainder has been transferred to General funds
Snapdragons fund represents money held for the toddler group. This is no longer running so funds have been transferred to general. Coffee Pot fund represents money held for this activity.
Restricted Funds
Mission appeals are fund raised for specific one-off appeals
Page 10