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2024-03-31-accounts

Trustees’ Report and Accounts for the year to 31[st] March 2024

King’s Road Church Charitable Incorporated Organisation

Charity registration number: 1186968

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Table of Contents

Trustees’ Report .................................................................................................................... 3 Structure, Governance and Management ................................................................................ 4 Objectives and Activities ........................................................................................................ 5 Achievements and Performance ............................................................................................. 8 Financial Review .................................................................................................................... 9 Statement of Trustees’ Responsibilities ................................................................................ 14 Statement of Financial Activities........................................................................................... 15 Balance Sheet ..................................................................................................................... 16 Statement of Cash Flows ..................................................................................................... 17 Notes To The Accounts......................................................................................................... 18 Independent Examiner’s Report ........................................................................................... 31

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Trustees’ Report

For the year to 31[st] March 2024

King’s Road Church is a Charitable Incorporated Organisation registered with the Charity Commission, registered charity number 1186968.

Trustees

Mr Stephen Ronald White (Chair) Dr Hilary Willard Dr Richard Walker Mr Robert Alexander (Treasurer) (from 12 November 2023) replacing Mrs Fiona Nicolle at the end of her term

Principal address

Kings Road Berkhamsted Herts HP4 3BD

www.krc.org.uk admin@krc.org.uk

Bankers

CAF Bank Ltd 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

Independent Examiner

David Green MA (Cantab) FCA Azets Suites B & D Burnham Yard Beaconsfield Bucks HP9 2JH

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Structure, Governance and Management

Incorporation of King’s Road Church

King’s Road Church (the charity) was registered with the Charity Commission on 16 December 2019 as a Charitable Incorporated Organisation (CIO). The charity’s activities began on 1 September 2020 when it took over the activities of the unincorporated chari ty, King’s Road Evangelical Trust (registered charity number 1039585). The membership and activities of the church have remained the same and the purposes and beneficiaries of the two charities are materially the same.

The purpose of the change of legal form from unincorporated charity to CIO was to establish the charity as a legal entity in its own right and to reduce the personal liability of the trustees.

Trustee selection details

Trustees must be members of the church. Trustees are appointed on agreement of a majority of existing trustees in accordance with the procedures in the constitution. Proposed new trustees are presented to the church and a period of one month is given for church members to feed back on the proposed appointment.

Related parties

There were no transactions with related parties in the year, except donations and offerings from trustees and their relatives in their capacity as church members.

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Objectives and Activities

Summary of the purposes of the charity

The purposes of the charity as set out in its constitution are:

To advance the Christian religion in accordance with the Statement of beliefs in Schedule 1 of the constitution, for the benefit of the public, mainly but not exclusively by:

The trustees confirm that they have had regard to the Charity Commission guidance on public benefit.

Summary of activities during the period

During 2023-24 the church has continued to meet on Sundays at Bridgewater School with numbers continuing to grow. There continues to be opportunity for members to join the meeting online, and one of our missionary partners regularly joins us from Cambodia. This facility also allows the volunteers in the creche room to see and hear the service. Sunday morning musical worship is flourishing and strengthening and the team has grown.

The Tuesday night “Upper Zoom” prayer meeting continues with up to 10 people logging on.

In June 2023 a follow up Women’s Weekend Away had 40 participants held at Letton Hall conference centre and was a great success.

‘The Big Red Bus’ Barbecues in the summer have provided a good stepping stone event to introduce new people into the church family. Overall church membership has grown in the year reflected in Newcomers lunches and Baptism classes & baptisms.

Home Groups each week continue to be very important to the life of the church.

There is now a monthly Convergence meeting for everyone at the Kings Road Building to focus on prophecy, prayer and worship. This has been the source of much encouragement for many church members.

The Christmas Fair in December was a great success bringing together a wide number of people in the town community. The funds raised were given to the missionaries that the church supports.

Various Creative Initiatives took place helping members to value and affirm the creative talent within the church and involving the local community. These included Christmas Wreath Making Workshop, Cooking workshops, Upcycling Workshop, Exploring Work & Creativity course and “Knit & Natter” twice each month.

Various health and fitness related groups took place in the year including inter alie: Fit for Purpose Pilates, weekly, Fit for Purpose Running Group, weekly PAWS walk monthly.

In support of spiritual growth there was a ‘Discover Your Spiritual Gifts’ course for women and a number of “Soul Care” Retreat Days.

As part of growing the church community, and connecting with the town community, social events included, Movie nights for men & women groups, Men & Women’s breakfast events a Barn Dance, Cheese & Wine tasting evening, the Annual Garden Party and Bring & Share lunches

During 2023- 24 the Men’s group was established with regular events during the year culminating in March 2024 with the Men’s Weekend Away which had 25 participants at West Watch near Haywards Heath. It was considered a great success.

During the year a 24-hour prayer event was held in the KRC building - a time of creativity, inspiration and reflection.

The ministry with children and young people took several forms. On most Sundays there was a children’s talk before they left for their classes. Meeting at Bridgewater has provided much more space to run activities for children and young people and we have been able to make use of the outdoor space. The ‘Rise’ group for older ones met at various homes on Sunday afternoons, and further (often outdoor) activities were held on some Saturdays. Much creativity was evident in these activities. Several of the churc h’s children attended excellent residential camps in the summer.

The Ark Baby and Toddlers’ group , is held regularly on Tuesday mornings with a strengthened team, and attracted good numbers of adults and children. This has provided many opportunities for pastoral contact. The reputation of the toddler group is high within the town.

The Foodbank ministry continues to make a significant difference to people in need locally. It provided regular support to over 30 individuals, couples or families, who received a package of food each week that they needed it. There were a total of 253 visits to collect food or deliveries of food during the period. The £7,009 food distributed, was a combination of donated food from church members and members of the public and £3,285 from collections from harvest festivals at local schools. The remainder was funded by financial donations from church members, members of the public and a contribution from church general fund.

DivorceCare continues to be a much-needed and valuable support group for many struggling with the consequences of marital breakdown. Being online the course attracts participants both local and international, and continues to grow to meet the increasing need, particularly via word of mouth.

The church continued in its support of several ministries around the world, with connection and support being primarily via the Kings Road Church International team. In person and via Zoom it was possible to have overseas missionaries taking part in church services; a wonderful blessing to many and a great step forward in recognising and appreciating the valuable work being done so far away. The annual Christmas Fair was held as usual in December and raised significant funds to help support these ministries.

Following the outbreak of war in Ukraine in February 2022 there was a great desire to help families at risk in the conflict. A team was set up and so far three families have come to the

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area and become part of the fellowship, hosted and supported by members of the church. They have contributed to musical worship, women’s ministry and children’s and youth work, and engaged in the men’s groups. Each family now has members in work in Berkha msted and the surrounding area.

The project to demolish and rebuild the church building in Kings Road progressed during the year. The architect has designed a building with much greater capacity which would accommodate much larger church services as well as space for children’s work, community outreach and offices. After various reports, surveys and other pre-planning consultation with local planning officers had taken place a design was submitted for planning approval. The decision on this was awaited at the year end.

Various Summer activities were organised or participated in with support from volunteers including; Children’s summer camps, Summer open air services & picnic at a local pond made available by a member, New Wine national event was well attended by members and families.

We have also launched a new website krc.org.uk which aims to connect people to the church.

Gifts given to Mission partners totalled £12,504 (Note 4) - previous year: £11,501.

Contribution made by volunteers

The church had three employees throughout the year: two full time Pastors (one moved from part to full time during the year), and a part-time administrator. Volunteers continued to be integral to every ministry and initiative, and indicative of the health and vigour of the church.

All church activities were run with extensive volunteer support, mainly from members of the church. Activities undertaken by volunteers included:

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Achievements and Performance

Summary of the main achievements of the charity

The church has helped new and existing members to practice and develop their faith. Through its various outreach activities, it has helped those without a firm faith to explore and understand Christianity. There were many new faces in church over the year, and numbers steadily grew, enriching and extending the spiritual life of the body. Opportunities for service increased and much effective discipleship took place, particularly in the smaller ministry contexts.

The church continued to be outward looking, and the decision to appoint Sue Gorst as Community Pastor from 1 April 2022 reflected this desire to reach out to the community and in March 2024, she moved from part to full time employment.

The foodbank and support for missionaries overseas have helped to provide food, advice, improved housing, medical support and education for those in need.

The DivorceCare group has provided emotional support and fellowship for those experiencing marital breakdown, and was open to all, whether they had a Christian faith or not.

Achievements against objectives set

The main objectives for the period and the achievements against them were:

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Performance of fundraising activities against objectives set

The principal fund-raising objective was to maintain sufficient revenue to cover the costs of running the church, including staff salaries, and to continue supporting the overseas missionaries. There was also a fundraising drive for the new building continued which resulted in pledges for ongoing and one-off donations, of which £265,375 were paid in 2023-24.

The majority of the church’s income is from voluntary donations from church members and most funds raised were from church members. The only exceptions were the Christmas fair, which was open to members of the public, and donations to the food bank.

Most fundraising events have the dual purpose of bringing church members, guests, and the wider community together as well as raising money. The main events in 2023-24 were:

Investment performance against objectives

As planned, cash not immediately required was invested in deposit accounts with banks and building societies in accounts with up to two years' notice to maximize interest obtained. The funds were split between different accounts to ensure that all were covered by the FSCS guarantee. In March 2024 a decision was made to open a CAF-introduced savings platform operated by Flagstone. This has the twin benefit of obtaining a higher net rate as well as well as maintaining the FSCS guarantee.

The interest obtained from these investments was in line with expectations.

Financial Review

Financial position at the end of the period

Surplus and income sources:

King’s Road Church (KRC) reported a surplus of £434,796 for the year ending 31 March 2024 (2022-23: £91,009). Of this, £435,598 is related to unrestricted funds, and £(801) to restricted funds. Additionally, there was a £45,754 correction to the fund balance, related to capitalised costs. As a result, the total net funds carried forward were £480,550 (2022-23: £91,009). See SOFA for more information.

The total income was £625,066 (2022-23: £249,642). The main source of income remained donations and gifts, with a total, including Gift Aid, of £591,387 (2022-23: £228,124). The majority of these gifts were designated to the church building extension project, totalling £286,453 (2022-23: £108,004). KRC also received a gift of £137,537 (including Gift Aid), designated for funding pastoral staff costs (2022-23: £nil). Unrestricted and non-designated donations totalled £151,212 (2022-23: £108,004). The charity also received gifts-in-kind, including goods, facilities, and services, valued at £35,195 (2022-23: £9,132).

In addition, interest income totalled £20,074. £11,076 was derived from long-term deposits classified as investments (2022-23: £7,714). In addition, £8,998 was earned as interest from

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short-term deposits (investments convertible into cash within 90 days). See account note 3c for more details.

The church also generated income through charitable activities, including fundraising events primarily attended by church members. These events raised a total of £13,605 (2022-23: £13,804) to support various areas such as the building project, missionary work, and the costs of the toddlers' group, foodbank, events, and away days. See note 3b.

Expenditure:

The total expenditure was £190,270 (2022-23: £158,633). See note 4 for more details.

The main areas of expenditure were:

Fixed Assets:

The fixed assets consist of freehold land and buildings (Freehold), fixtures and fittings (F&F), and asset under construction (AUC). See note 6.

Freehold and F&F: These refer to KRC church and Manse land and buildings, including capital improvements to the Manse building. Fixtures and fittings represent the refurbishment of the Manse. There were no additions or disposals during the year, and the only change in value was due to depreciation. The net book value on 31 March 2024 was £492,514 (2023: £502,679).

AUC: The addition was £114,179 (2022-23: £nil). These are relevant costs spent over two financial years, 2022-23 and 2023- 24, including architect’s fees and other surveys, fees, and advice relating to the new extension building project.

The total net book value on 31 March 2024 was £606,693 (2023: £502,679)

Current Assets and Current Liabilities:

Cash, cash deposits, and cash equivalents totalled £919,100 compared to £608,173 at 31 March 2023. This is split between cash at bank and in hand, and current asset investments. The cash was held in a current account, various deposit accounts, and the Flagstone savings platform.

The main items of other current assets are prepayments and accrued income, totalling £80,532 (2023: £9,225), which includes £73,995 of gift aid accrued at the year-end. The foodbank stock was valued at £2,554 (2023: £1,850).

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Accruals and deferred income totalled £12,898 (2023: £2,403), consisting of £8,168 in deposits for planned awaydays and £4,730 of accrued costs/expenses. Other creditors amounting to £5,706 (2023: £9,822) mainly due to the timing of HMRC direct debits, related to payroll.

Reserves policy and reserves held at period end

The charity had total reserves of £1,590,275 (£1,109,724 on 31 March 2023). Of this, restricted funds were £nil (£288,207 on 31 March 2023).

During 2023-24, the Trustees approved an updated policy for managing Restricted and Designated reserves, effective from 1st April 2024. This policy was discussed and agreed upon with The Examiner. In summary, Restricted giving will primarily apply to donations intended for immediate or short-term distribution. For other donations, designated (donor) or specific Restricted funds will have clearly defined alternative uses, should there be insufficient or surplus funds, or if circumstances and priorities change.

The trustees also reviewed the total restricted funds, £288,207, bought forward from 202223:

The Unrestricted designated funds totalled £1,429,759 (2022-23: £706,274). The main reasons for this increase were the transfer of freehold asset-related funds from Restricted funds and donations designated for the KRC building project and pastoral staff costs. See note 10 for further details. Key highlights are as follows:

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The General Fund balance was £160,516 (2022-23: £115,243), including an adjustment of £45,753 (2022-23: £nil).

Historically, the trustees’ policy has been to hold an unrestricted reserve of a minimum of three months’ non -discretionary expenditure to cover committed monthly outgoings, the main one being salaries. This figure is 2023-24 is £27,000. During 2024-25 this policy is to be reviewed with a view to increasing the amount.

The main source of income for the church is tithes and offerings. These are voluntary donations which fluctuate according to the number of people attending church and their individual circumstances. The trustees monitor the donations received monthly and these do vary, although in practice never drop below a certain threshold. The reason for holding the reserves is to cushion against a drop in income and allow time to raise further funds and/or reduce expenditure, including meeting any one-off costs to reduce ongoing expenditure.

The current level of reserves exceeds the target level. The trustees plan to spend these funds on charitable activity, including the planned redevelopment of the church building.

Going concern

The trustees consider that the charity is a going concern. The forecast for 2024-25 forecasts surplus position on unrestricted income and expenditure. In addition, there are substantial free reserves which would comfortably cushion even a significant deterioration in this position. The charity is fortunate that it is not heavily dependent on fundraising activities. The trustees anticipate that the church’s recent growth will continue but are mindful of the potential impact of inflation on church members’ ability to give and on rising costs and will monitor the position closely.

Investment policy and objectives

In setting their investment policy and strategy, the trustees operate within statutory provisions and the requirements of the constitution.

The funds available for investment are the proceeds of the sale of assets and any balance on the restricted and unrestricted general funds.

The main investment objectives are to preserve the capital value of funds and ensure they are available for use when needed.

The charity does not currently have significant funds to be held for the long term for the purpose of providing income or funding future activity. Therefore, the charity will not invest in any investment that has risk of significant capital fluctuations, such as stocks and shares, or corporate bonds.

The balance on the unrestricted general fund is held to meet any shortfalls of income over expenditure and any balance up to £30,000 should be held in an instant-access account because it may be needed at short notice.

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Funds above this level will be held in the deposit accounts or bonds with banks and/or building societies, or National Savings and Investments to the extent that they accept deposits from charities. The current preferred approach is to place deposits with the Flagstone Deposit Platform for charities to whom we were introduced via CAF (only investment institutions where the funds will be protected by the Financial Services Compensation Scheme (FSCS) will be used).

The trustees will aim to maximise the interest rates working within these parameters, whilst maintaining prudent cash flow management to meet operating overheads, larger events and the ongoing building project.

The amount invested with each banking institution must not exceed the amount protected by the FSCS.

Principal risks

The main risks facing the charity are:

The trustees are satisfied that adequate measures are in place to reduce these risks to an acceptable level within their risk appetite.

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Statement of Trustees’ Responsibilities

Charity law requires the trustees to prepare financial statements for each financial year, which show a true and fair view of the state of affairs of the charity, and its financial activities for that period. In preparing those financial statements, the trustees are required to:

Declarations

The trustees declare that they have approved the trustees’ report above.

Signed on behalf of the charity’s trustees by

Stephen Ronald White, Chair of Trustees

6[th] January 2025

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ACCOUNTS FOR KING’S ROAD CHURCH CIO FOR THE YEAR TO 31 MARCH 2024

Statement of Financial Activities

Unrestricted
Funds
Restricted
Funds
Year to 31
March
2024
Year to 31
March
2023
Not
e		 £
£
£
£
INCOMING RESOURCES
Donations
3a
Charitable Activities
3b
Other trading
Other Income
3c
Investment income
3d
Total Income
RESOURCES EXPENDED
Charitable Activities
4, 5
Total Expenditure		 580,028
11,359
591,387
228,124
13,605
13,605
13,804
8,998
8,998
11,076
11,076
7,714
613,707
11,359
625,066
249,642

178,109
12,161
190,270
158,633
178,109
12,161
190,270
158,633
NET INCOME/(EXPENDITURE) 435,598
(801)
434,796
91,009
Transfers between funds
10
Fund balance correction
(capitalised costs)		 287,406
(287,406)

45,754
45,754
NET MOVEMENT IN FUNDS 768,758
(288,207)
480,550
91,009
RECONCILIATION IN FUNDS:
Funds brought forward
10		 821,517
288,207
1,109,724
1,018,715
FUNDS CARRIED FORWARD
10		 1,590,275
0
1,590,275
1,109,724

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Balance Sheet

Unrestricted
Restricted
Year to 31 March
2024
Year to 31 March
2023
Tangible assets
6
606,693
606,693
502,679
Total fixed assets
606,693
0
606,693
502,679
CURRENT ASSETS
Stock
2,554
2,554
1,850
Debtors
8
80,532
80,532
9,247
Investments
7
271,870
271,870
485,810
Investments convertible into cash within 90
days
7
497,310
497,310
Cash in bank and in hand
149,921
149,921
122,363
Total current assets
1,002,186
0
1,002,186
619,270
Creditors: amounts falling due within one
year
9
18,605
18,605
12,225
Net current assets
983,581
983,581
607,045
Total net assets
1,590,275
0
1,590,275
1,109,724
Restricted Income Funds
2b,10
288,207
Unrestricted Income Funds
2b,10
1,590,275
1,590,275
821,517
TOTAL CHARITY FUNDS
1,590,275
0
1,590,275
1,109,724
Note
£
£
£
£
FIXED ASSETS
FUNDS OF THE CHARITY		 Unrestricted
Restricted
Year to 31 March
2024
Year to 31 March
2023
Tangible assets
6
606,693
606,693
502,679
Total fixed assets
606,693
0
606,693
502,679
CURRENT ASSETS
Stock
2,554
2,554
1,850
Debtors
8
80,532
80,532
9,247
Investments
7
271,870
271,870
485,810
Investments convertible into cash within 90
days
7
497,310
497,310
Cash in bank and in hand
149,921
149,921
122,363
Total current assets
1,002,186
0
1,002,186
619,270
Creditors: amounts falling due within one
year
9
18,605
18,605
12,225
Net current assets
983,581
983,581
607,045
Total net assets
1,590,275
0
1,590,275
1,109,724
Restricted Income Funds
2b,10
288,207
Unrestricted Income Funds
2b,10
1,590,275
1,590,275
821,517
TOTAL CHARITY FUNDS
1,590,275
0
1,590,275
1,109,724
Note
£
£
£
£
FIXED ASSETS
FUNDS OF THE CHARITY		 Unrestricted
Restricted
Year to 31 March
2024
Year to 31 March
2023
Tangible assets
6
606,693
606,693
502,679
Total fixed assets
606,693
0
606,693
502,679
CURRENT ASSETS
Stock
2,554
2,554
1,850
Debtors
8
80,532
80,532
9,247
Investments
7
271,870
271,870
485,810
Investments convertible into cash within 90
days
7
497,310
497,310
Cash in bank and in hand
149,921
149,921
122,363
Total current assets
1,002,186
0
1,002,186
619,270
Creditors: amounts falling due within one
year
9
18,605
18,605
12,225
Net current assets
983,581
983,581
607,045
Total net assets
1,590,275
0
1,590,275
1,109,724
Restricted Income Funds
2b,10
288,207
Unrestricted Income Funds
2b,10
1,590,275
1,590,275
821,517
TOTAL CHARITY FUNDS
1,590,275
0
1,590,275
1,109,724
Note
£
£
£
£
FIXED ASSETS
FUNDS OF THE CHARITY
606,693
0
606,693
502,679
2,554
2,554
1,850
80,532
80,532
9,247
271,870
271,870
485,810
497,310
497,310
149,921
149,921
122,363
1,002,186
0
1,002,186
619,270
18,605
18,605
12,225
983,581
983,581
607,045
1,590,275
0
1,590,275
1,109,724
288,207
1,590,275
1,590,275
821,517
1,590,275
0
1,590,275
1,109,724

The notes at pages 18 to 30 form part of these accounts.

Approved by the Trustees on 6[th] January 2025 and signed on their behalf by:

Stephen White Trustee

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Statement of Cash Flows

Cash flows from operating activities:
Note
Net cash provided by operating activities
13
Cash flows from investing activities:
Purchase of fixed asset
Purchase of long-term deposits
Sale of long-term deposits
Interest from investments convertible into cash within 90 days
Interest from long-term deposits
Net cash provided by investing activities:
Change in cash or cash equivalents in reporting period:
Cash and cash equivalents at 1 April
Cash and cash equivalents at 31 March
14		 Year to 31
March 2024
Year to 31
March 2023
£
£
381,779
96,082
(68,423)
(271,870)
(485,810)
485,810
8,998
11,076
7,714
165,591
(478,096)
524,868
(382,013)
122,363
504,376
647,231
122,363

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Notes To The Accounts

1 Accounting Policies

(a) Basis of preparation and assessment of going concern

The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The charity constitutes a public benefit entity as defined by FRS 102.

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these financial statements.

Comparatives

The charity was established as a CIO on 16 December 2019 as a successor charity to the unincorporated King’s Road Evangelical Trust (registered charity number 1039585). The accounts for the period to 31 March 2024 cover the 12 months from 1 April 2023.

Assessment of going concern

The financial statements are prepared on a going concern basis. The trustees do not consider that there are any material uncertainties related to events or conditions that cast significant doubt on the charity’s ability to continue as a going concern.

(b) Funds structure

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donor or trust deed.

Unrestricted funds can be spent or applied at the discretion of the trustees to further any of the charity’s purposes. Unrestricted funds include designated funds where the trustees, at their discretion, have created a fund for a specific purpose.

Further details of each fund are disclosed in note 10.

(c) Income recognition

Income is recognised in the accounts when:

Gift Aid receivable is included in income when there is a valid declaration from the donor. Any Gift Aid amount recovered on a donation is considered to be part of that gift and is treated as an addition to the same fund as the initial donation unless the donor or the terms of the appeal have specified otherwise.

Interest income is included in the accounts when receipt is probable and the amount receivable can be measured reliably.

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(d) Donated goods and gifts in kind

Donated goods are measured at fair value (the amount for which the asset could be exchanged) unless impractical to do so.

The cost of any stock of goods donated for distribution to beneficiaries is deemed to be the fair value of those gifts at the time of their receipt and they are recognised on receipt. In the reporting period in which the stocks are distributed, they are recognised as an expense at the carrying amount of the stocks at distribution.

Gifts in kind for use by the charity are included as income from donations when receivable.

(e) Expenditure recognition

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 settlement will be required and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings.

(f) Support and governance costs

Support and governance costs for the charity include all costs involving the public accountability of the charity and its compliance with regulation and good practice. These costs include costs related to fees payable for the independent examination of the accounts together with other administrative expenses.

All these costs are met out of unrestricted funds.

Further details of these costs can be seen in note 4.

(g) Pension costs

The charity contributes to defined contribution pension schemes for its employees. Contributions are expensed in the period in which they are earned. Any contributions unpaid at the period end are recognised as a liability.

Pension expenses are allocated to unrestricted and restricted funds on the same basis as other employee related costs. These are all allocated to unrestricted reserves.

(h) Volunteer help

The value of any voluntary help received is not included in the accounts but the contribution of volunteers is described in the trustees’ annual report.

(i) Irrecoverable VAT

Irrecoverable VAT is charged against the expenditure heading for which it was incurred.

(j) Fixed Assets

Fixed Assets are capitalised if they can be used for more than one year and cost at least £3,000. Fixed assets are measured at cost less accumulated depreciation.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Buildings, including extensions: 50 years straight line Fixtures and fittings: 10 years straight line Assets under construction: Depreciate on completion are depreciated when they are completed

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Land is considered to have an indefinite useful life.

(k) Cash and investments

Cash at bank and in hand is held to meet short-term cash requirements as they fall due. It includes cash on deposit with a maturity date of less than three months.

Cash on deposit and cash equivalents with a maturity date of less than one year from the balance sheet date are classified as current asset investments.

Cash on deposit and cash equivalents with a maturity date of more than one year from the balance sheet date are classified as fixed asset investments.

(l) Stock

Stock consists of purchased or donated food held for distribution at the balance sheet date. It is valued at the lower of net realisable value adjusted for any impairment and replacement cost.

(m) Financial instruments

The charity accounts for basic financial instruments on initial recognition as per paragraph 10.7 FRS102 SORP. Subsequent measurement is as per paragraphs 11.17 to 11.19, FRS102 SORP.

(n) Debtors

Debtors are recognised at the settlement amount less any trade discounts due.

(o) Creditors

Creditors are recognised at their settlement amount less any discounts due.

(p) Provisions and contingent liabilities

Provisions for liabilities are recognised when the charity has a legal or constructive obligation and either the timing or the amount of the future expenditure required to settle the obligation is uncertain. The amount recognised as a provision is the best estimate of the expenditure required to settle or to transfer it to a third party at the reporting date.

Contingent liabilities are recognised when there is a possible but uncertain obligation or a present obligation that is not recognised because:

20

Note 2 Prior year SOFA

Statement of Financial Activities

Note
INCOMING RESOURCES
Donations
3a
Other trading
3b
Investment income
3c
Total Income
RESOURCES EXPENDED
Charitable Activities
4, 5
Total Expenditure
NET INCOME/(EXPENDITURE)
Transfers between funds
10
NET MOVEMENT IN FUNDS
RECONCILIATION IN FUNDS:
Funds brought forward/ transferred from unincorporated
charity on 1 September 2020
10
FUNDS CARRIED FORWARD
10		 Unrestricted
Funds
Restricted
Funds
Year to
31 March
2023
Year to
31 March
2022
£
£
£
£
108,004
120,120
228,124
113,631
4,796
9,008
13,804
3,870
7,013
701
7,714
4,496
119,813
129,829
249,642
121,997
117,237
41,396
158,633
99,632
117,237
41,396
158,633
99,632
2,576
88,433
91,009
22,365
-
-
-
2,576
88,433
91,009
22,365
818,941
199,774
1,018,715
996,350
821,517
288,207
1,109,724
1,018,715

21

Note 3 Analysis of income

3a DONATIONS
Donations and gifts
Gift aid
Donated goods, facilities and services
Other
Total
3b CHARITABLE ACTIVITIES
Hire out property
Toddlers group
Fundraising
Events and awaydays
Total
3c INCOME FROM INVESTMENTS
Interest from investments convertible
into cash within 90 days
Interest from investments- long-term
deposits
TOTAL INCOME		 General
Designated
Funds
Restricted
Funds
Year to 31
March 2024
Year to 31
March 2023
£
£
£
£
£
119,125
323,248
970
443,343
178,574
32,088
80,667
94
112,849
40,418
24,900
10,295
35,195
9,132
151,212
428,815
11,359
591,387
228,124
General
Designated
Funds
Restricted
Funds
Year to 31
March 2024
Year to 31
March 2023
£
£
£
£
£
2,301
2,301
1,845
1,381
1,381
875
2,516
3,841
6,357
10,234
3,566
3,566
850
9,764
3,841
0
13,605
13,804
General
Designated
Funds
Restricted
Funds
Year to 31
March 2024
Year to 31
March 2023
£
£
£
£
£
8,998
8,998
0
11,076
11,076
7,714
20,074
20,074
160,976
452,731
11,359
625,066
249,642

22

Note 4 Analysis of expenditure

Staff costs
Utilities, insurance and cleaning
Repairs and maintenance
Support to missionaries
IT costs
Foodbank
Foodbank GiK Expense
Church services, events and outreach
Professional fees
Facilities and services GiK Exp
Telephone and internet
Pastoral support
Pastor expenses
Hire of property
Toddlers
KRC rebuilding project
Fundraising
Other admin costs
Depreciation
TOTAL EXPENDITURE		 General
Designated
Funds
Restricted
Funds
Year to 31 March
2024
Year to 31 March
2023
£
£
£
£
£
82,284
82,284
68,975
9,838
9,838
8,766
428
428
989
8,663
3,841
12,504
11,501
1,955
1,955
1,828
444
1,865
2,309
11,875
10,295
10,295
12,880
12,880
4,033
2,891
2,891
888
24,900
24,900
1,283
1,283
1,184
0
1,800
2,047
2,047
1,447
7,490
7,490
7,665
219
219
289
23,256
1,532
1
1,533
7,250
7,250
3,973
10,164
10,164
10,164
149,367
28,741
12,161
190,270
158,633

Included in professional fees is £858 for independent examiner’s fees (£780 for the period to 31 March 2023).

23

Note 5 Staff costs

Salaries and wages
Social security costs(ER NI)
Pension costs
Other employee benefits
Total		 General
Designated
Funds
Restricted
Funds
Year to 31 March
2024
Year to 31 March
2023
£
£
£
£
£
76,208
76,208
62,289
1,751
1,751
91
4,325
4,325
6,595
82,284
82,284
68,975

The charity claims employment allowance which covered all but £1, 751 of Employers’ National Insurance Contributions in 2023-2024.

The charity claims employment allowance which covered all but £91 of Employers’ National Insurance Contributions in 2022-2023.

There were 3 employees in current year (3 in previous year)

24

Note 6 Fixed assets

Note
Cost
As at 1 April 2023
Additions
Disposals
Transfers
6a
As at 31 March 2024
Depreciation
As at 1 April 2023
Charge for the period
Disposals
As at 31 March 2024
Net book value
As at 1 April 2023
As at 31 March 2024		 Freehold land
and buildings
Fixtures and
fittings
Asset under
construction
As at 31 March
2024
As at 31 March
2023
£
£
£
£
£
485,699
41,067
526,766
526,766
114,179
114,179
485,699
41,067
114,179
640,945
526,766
14,848
9,240
24,088
13,924
6,057
4,107
10,164
10,164
20,905
13,347
34,252
24,088
-
470,851
31,827
502,678
512,842
464,794
27,720
114,179
606,693
502,678

Note 7 Investments

As at 31 March 2024, £250,010 had been transferred to the Flagstone deposit platform in order to access higher interest rates. There the funds are placed with various different financial institutions each maintained at a figure of less than £85,000 - allowing the church to maintain the FSCS guarantee for each institution. This transfer process is planned to continue during 2024/5 as existing investments outside Flagstone mature.

The total investments were £769,179 (2023: £485,810). Of this, £497,310 was convertible into cash within 90 days (2023: £Nil).

25

Note 8 Debtors

Prepayments and accrued income
Other debtors
Total		 As at 31 March 2024
As at 31 March 2023
£
£
80,532
9,225
22
80,532
9,247

All debtors were receivable within one year.

Note 9 Creditors

Accruals and deferred income
Other creditors
Total		 As at 31 March 2024
As at 31 March 2023
£
£
12,898
2,403
5,706
9,822
18,605
12,225

All creditors were due within one year.

26

Note 10 Charity Funds

Note
RESTRICTED FUNDS
Kings Road Church
a
Building fund
b
Foodbank
Christmas fair
Total restricted funds
UNRESTRICTED FUNDS
Designated funds
Manse
c
Manse improvements
d
Building fund
e
Building fund-KRC
f
Pastoral Staff Fund
g
Missionary Fund
h
Gift-in-kind facilities and
services
i
Asset Fund - Freehold
j
Asset Fund - Under
construction
k
Total designated fund
Non-designated funds
General fund
l
Total unrestricted funds
TOTAL FUNDS		 Balance
at 1 April
2023
Income/additions
Expenditure
Transfers
Adjustment
Balance
at 31
March
2024
£
£
£
£
£
£
195,481
(195,481)
0
91,925
(91,925)
0
800
11,359
(12,160)
0
1
(1)
0
288,207
11,359
(12,161)
(287,406)
(0)
160,738
(160,738)
0
146,460
(146,460)
0
399,077
399,077
286,453
286,453
137,537
137,537
3,841
(3,841)
0
24,900
(24,900)
0
(10,164)
502,679
492,515
114,179
114,179
706,274
452,731
(38,905)
309,660
1,429,759
115,243
160,976
(139,204)
(22,254)
45,754
160,516
821,517
613,707
(178,109)
287,406
45,754 1,590,275
1,109,724
625,066
(190,270)
0
45,754 1,590,275

27

a) The Kings Road Church Fund had brought forward (b/f) balance represents the net book value of the Kings Road Church land and building. This has been transferred to the Freehold Asset Fund.

b) The Restricted Building Fund was fully spent on the rebuilding of Kings Road, and the costs were capitalised. The b/f fund balance has been transferred to the Freehold Asset Fund.

c) The Manse Fund b/f balance represented the net book value of the Manse land and buildings. It has been transferred to the Freehold Asset Fund.

d) The Manse Improvements Fund holds the net book value of the Manse extension, fixtures, and fittings. It has been transferred to the Freehold Asset Fund.

e) The Designated Building Fund consists of the proceeds from the sale of Beulah Chapel. It is designated for the purpose of capital development of buildings.

f) The Designated KRC Building Fund is made up of donations, gift aid, and interest income designated for the current new extension project of the church building.

g) The Designated Pastoral Staff Fund comprises donation income designated to fund pastoral staff.

h) The Designated Freehold Asset Fund holds the net book value of the Kings Road Church freehold fixed assets. The expenditure from this fund is for depreciation during the period, which is then added back to the general fund.

i) The Designated Asset Under Construction Fund holds the capitalised costs related to the Kings Road Church extension.

j) The General Fund holds unrestricted funds that can be applied to any of the charity’s purposes.

k) The Designated Missionary Fund is made up of donation income designated for missionary salaries. This fund was fully expensed during the year.

l) The Gift-in-kind Facilities and Services Fund represents the value of office space and professional fees received. It always carries a nil balance, as the benefits are fully utilised during the year.

28

Note 11 Analysis of net assets between funds

Fund balances at 31 March 2024 are represented by:
Fixed assets
Current assets
Liabilities
Total
Fund balances at 31 March 2023 are represented by:
Fixed assets
Current assets
Liabilities
Total		 General
Designated
Funds
Restricted
Funds
As at 31 March
2024
£
£
£
£
606,693
606,693

179,120
823,066
1,002,186
(18,605)
(18,605)
160,515
1,429,759
0
1,590,275
General
Designated
Funds
Restricted
Funds
As at 31 March
2023
£
£
£
£
307,197
195,481
502,679
117,869
582,927
(81,525)
619,270
2,625
9,600
12,225
115,244
890,124
104,357
1,109,724

Note 12 Trustees’ expenses and remuneration

The Trustees all give freely their time and expertise without any form of remuneration or other benefit in cash or kind (prior period: £nil). The Trustees donated £213,430 of unrestricted donations to the charity in the year - 2023: £93,661 (of which £55,326 was restricted to the Building fund and £265 was restricted to the Foodbank respectively). No trustees have incurred expenses that were reimbursed by the charity (2023: £nil).

29

Note 13 Reconciliation of net movement in funds to net cash flow from operating activities

Net income / (expenditure) for the reporting period
(as per Statement of Financial Activities)
Adjustment for:
Depreciation
Interest income from non-operating activities
(Increase)/decrease in debtors
(Increase)/decrease in foodbank stock
Increase/(decrease) in creditors
Net cash provided by /(used in) operation activities
Note14 Analysis of cash and cash equivalents
Cash at bank and in hand
Investments convertible into cash within 90 days
Total cash and cash equivalents		 Year to 31
March 2024
Year to 31
March 2023
£
£
434,796
91,009
10,164
10,164
(20,074)
(7,714)
(71,285)
(5,443)
(704)
(717)
6,380
8,783
359,277
96,082
Year to 31
March 2024
Year to 31
March 2023
£
£
149,921
122,363
497,310
647,231
122,363

30

Independent Examiner’s Report

TO THE TRUSTEES OF KINGS ROAD CHURCH CIO

I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 March 2024 which are set out on pages 15 to 30.

Responsibilities and basis of report

As the charity’s trustees 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 charity’s accounts carried out under section 145 of the 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 charity as required by section 130 of the Act; or 2. the accounts do not accord with those records; or

  2. 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.

David Green MA (Cantab) FCA

Azets

Suites B & D Burnham Yard

Beaconsfield

Bucks HP9 2JH

31