**Top Church, Dudley (Dudley Resourcing Churches Trust)** **End of Year Financial Statements** **Year ending 31[st] December 2020** ## **Contents** ||**Page**| |---|---| |Administration|2| |Structure, Governance and Management|2| |**A) Annual Report**|| |Introduction|4| |DRCT Charitable Objects|4| |Top Church 10-Year Strategic Plan|5| |Achievements and Performance|5| |Risk Management|8| |Financial Review|11| |Reserves|11| |Investment Performance|11| |**B) Independent Examiner’s Report**|13| |**C) Annual Statement of Accounts**|| |Statement of Financial Activities|14| |Balance Sheet|15| |Statement of Assets and Liabilities|16| |Fund Movement|17| |Analysis of Income and Expenditure|18| |**D) Notes to the Accounts**|| |Note 1: Basis of Preparation|21| |Note 2: Accounting Policies|21| |Note 3: Funds|22| |Note 4: Income|23| |Note 5: Expenditure|24| |Note 6: Fund Movement|27| |Note 7: Debtors (Accounts Receivable)|28| |Note 8: Creditors (Accounts Payable)|28| |Note 9: Cash in Hand|29| |Note 10: Investments|29| |Note 11: Financial Instruments|30| |Note 12: Remuneration and Related Party Transactions|30| |Note 13: Operating Leases|30| |Note 14: Transfer of Assets|31| |Note 15: Gifts in Kind|32| _1_ ## **i) Administration** Church Leader: Rev James Treasure Church address: St Thomas & St Luke’s Church, High Street, Dudley, DY1 1QD Office address: 3 Parsons Street, Dudley, DY1 1JJ The Dudley Resourcing Churches Trust (DRCT) account is held by Lloyds Bank, The Cross, Worcester, WR1 3PY All other bank accounts are held by Barclays Bank, 47 High Street, Dudley, DY1 1PN All investment funds are held by CCLA, Senator House, 85 Queen Victoria Street, London Top Church has appointed Matthew Vaughan of Donald Insall Associates (30 Harborne Road, Birmingham, B15 3AA) as Inspecting Architect. ## **ii) Structure, Governance and Management** Top Church is part of the Dudley Deanery within the Diocese of Worcester, part of the Church of England. Top Church is a registered Charitable Incorporated Organisation (CIO) under the name ‘Dudley Resourcing Churches Trust’ (DRCT) (charity number 1187653). ‘Top Church’ was registered as a working name for the CIO following approval by trustees on 8[th] March 2021. The CIO was approved in January 2020 and was set up with voting members other than its charity trustees. The DRCT has seven trustees (see Table 1) and 45 members (as of 6[th] April 2021). The first Annual General Meeting (AGM) is scheduled for May 2021. New trustees can be elected by existing trustees at any time. After the first year, all trustees will ‘retire’ at the first AGM and seek re-election by members. Thereafter, one third of trustees are to ‘retire’ at each AGM and may seek re-election by members if they wish to do so. The CIO requires a minimum of three trustees, rising to a minimum of six when there are between 25 and 49 members, and a minimum of nine when there are between 50 and 99 members. An additional three trustees are required for every subsequent 100 members. The number of trustees will not exceed these thresholds (e.g. there cannot be more than nine trustees if there are between 25 and 49 members). No trustees left the DRCT in 2020. All trustees are unpaid positions but may claim business related expenses acquired to perform their role as a trustee. Any expenses are subject to approval from other trustees. The DRCT works closely with the Diocese of Worcester (charity number: 247778) in pursuit of the charity’s objects. In February 2020, a Bishop’s Mission Order (BMO) was approved, which separated Top Church from the Dudley Team Parochial Church Council (PCC) and giving the CIO Board autonomy over its decision making and governance. Furthermore, the BMO expanded the area within which the church can undertake missional activities to the Dudley Metropolitan Borough. Top Church has adopted a four-tiered governance structure to steer and carry out its mission and strategy. The structure is as follows: **The Board:** The Board comprises trustees, clergy, and appointed members (see Table 1). The Board performs a strategic role with responsibility to ensure the vision, mission and charitable objects of the DRCT are achieved. _2_ **Leadership Team:** The Leadership Team comprises Top Church clergy, staff and ordinands / apprentices (see Table 2). The Team is responsible for the day-to-day delivery of the vision and mission of Top Church and charitable objects of the DRCT. Members of the Team have the responsibility for leading ministry sub-teams. The Team meets on a weekly basis. It is accountable to the Board. **Ministry Sub-teams:** The practicable action of the vision, mission and charitable objects is carried out by a number of ministry sub-teams. These sub-teams are led by members of the Leadership Team and comprise mostly of volunteers. **Members:** Members can attend and vote at General Meetings, including AGMs. Anyone wishing to become a member of the DRCT is required to meet the criteria set out the CIO constitution and apply to trustees for approval. A person qualifies to become a member if they are a baptised Christian, aged 16 years or over and one of the following applies: - They are a member of the Church of England or of a Church in communion therewith and have habitually participated in the mission and worship of Top Church during a period of at least six months; or - They are a member in good standing of a Church which subscribes to the doctrine of the Holy Trinity (not being a Church in communion with the Church of England) and are prepared to declare themselves to be a member of the Church of England having habitually participated in the mission and worship of the Top Church during a period of at least six months. Those making up the Board and Leadership Team, as of 31[st] December 2020, are set out in Tables 1 and 2 below. ## **Table 1: Board Members** ||•
Sarah Bardell
•
Ben Coleman (Trustee &
Treasurer)
•
Jen Coleman (Trustee)
•
Carlo Di Terlizzi (Trustee &
Vice Chair)
•
Foluso Enwerem
•
Beth Goymer
•
Nikki Groarke (Trustee)
•
Rachel Newell
•
Steph Pincher (Trustee)
•
Diane Reeves (Trustee)
•
Grace Shaw (Board Secretary)
•
Esther Treasure
•
James Treasure (Trustee and Chair)|| |---|---|---| **Table 2: Leadership Team Members** |**Clergy**|**Staff**|**Ordinands / Apprentices / Lay**
**Leaders**| |---|---|---| |• James Treasure (Church Leader)
• Rachel Newell (Team Vicar)
• Sarah Bardell (Curate)
• Foluso Enwerem (Curate)|• Nathan Conway (Operations Director)
• Kath Poole (Community Minister)
• Dave Shaw (Worship Director)
• Clare Soar (Youth & Children’s Minister)|• Shaun Armstrong (Ordinand)
• Sooz Magee (Apprentice)
• Esther Treasure (Lay Leader)| _3_ ## **A) Annual Report** ## **1) Introduction** The Annual Report and Accounts for the DRCT (Top Church) represent the first year of the church’s operation as a CIO following approval from the Charity Commission on 30th January 2020. This report is for the benefit of trustees of the CIO and its members, as well as any interested third parties. For more information, please contact Nathan Conway (Operations Director) via email: nathan@topchurch.co.uk. Prior to becoming a CIO, the church operated as an Ecclesiastical Trust. Following approval by the Charity Commission, trustees of the Ecclesiastical Trust resolved to close the trust and transfer the assets to the new DRCT CIO at a meeting on 3rd February 2020. The first Board meeting of trustees of the new CIO was held on 4[th] May 2020. In 2020, Top Church was in its third year as a resourcing church following the award of a £2.58m grant from the Church Commissioner’s Strategic Development Fund (SDF) to the Diocese of Worcester for the purpose of establishing a resourcing church in Dudley. As a resourcing church, Top Church has the aim to grow the congregation, actively carry out mission locally, resource other churches and plant new churches. The church is accountable to the Church Commissioners for its achievement against the vision and objectives set out in the church’s 10-Year Strategic Plan (see sub-section 3 below). SDF funding is available for a period of seven years from 2018 to 2024. The grant is claimed by Top Church through the Diocese of Worcester and is restricted to the following purposes: - Staff salaries - Operational costs - Office rent - Reordering building works. ## **2) DRCT Charitable Objects** The charitable objects of the DRCT are: To advance the Christian faith for the benefit of the public in cooperation with the minister in promoting the whole mission of the Church in Dudley and more widely throughout the Diocese of Worcester, in accordance with the beliefs, doctrines and practices of the Church of England (‘the Church’), in particular, but not exclusively by: - Resourcing the Church of St Thomas & St Luke, Dudley as a place of public worship and mission. - Serving and reaching the community of Dudley and wider networks of people connected with that community. - Providing community facilities and activities in Dudley which benefit the community and the neighbourhood by associating together the community and interested organisations, advancing education and learning, addressing social welfare needs, and providing leisure time and recreation occupation. - Improving the conditions of life for the community of Dudley and the neighbourhood by developing the capacity and skills of community members, preventing or relieving poverty, and promoting social inclusion. - Resourcing the mission of the Church more widely by providing training and teams of people for church planting and renewal elsewhere. - Contributing, including financially, to the work of the Church throughout the Diocese of Worcester. _4_ ## **3) Top Church 10-Year Strategic Plan** As a resourcing church, and to further its charitable objects, Top Church has produced a 10-Year Strategic Plan, setting out its vision and a set of objectives to achieve within this timeframe. The vision is to be a thriving Anglican Church which is a blessing to its community and to resource other churches. This driven by the following nine strategic objectives: - 1) Build Ministry and Leadership Teams made up of clergy, staff and volunteers to lead and deliver the vision and mission of Top Church. - 2) Build a young and vibrant Anglican community at the centre of Dudley with an average attendance of 250, 60% of whom are unchurched/dechurched and 70% under 40 (within 5 years). - 3) Establish this as a strong group of disciples (e.g. in prayer, Bible reading, giving, evangelism, service and leadership) with a mission to bring Kingdom life to the area. - 4) Plant into another church in 2022 which by 2024 will have 100 members. - 5) Become a physical and effective sign of Christian witness in Dudley partnering with others and being known for our service to the most vulnerable. - 6) Becoming 100% financially self-sufficient after seven years. - 7) Generate 8 new vocations to ordained ministry. - 8) Provide a training and administrative hub for church plants and renewal teams. - 9) Ensure Top Church, the building, is in optimal condition for the resourcing church and people of Dudley. ## **3) Achievements and Performance** Like many charities and places of worship, 2020 was a year of disruption and upheaval for Top Church as a result of the covid-19 pandemic. This resulted in the closure of church buildings during the first lockdown and a limit on the number of people who could attend worship services, weddings and funerals. The church re-opened two days a week in June 2020 for a couple of hours for private prayer only. In-person worship services on Sunday mornings resumed in September subject to a limit of thirty people as determined by the church’s covid-19 risk assessment. This required multiple services of either two or three to be held on each Sunday. The church made the decision to close the church building again in December 2020 in response to the new peak of the virus. The lockdowns and restrictions due to covid-19 impacted on planned community initiatives, whilst also delaying the commencement of further internal building work. The Top Church team welcomed the arrival of a new curate, Foluso Enwerem, who started her curacy in June 2020. It was also announced that that the team would be expanded further in 2021, with Calum Burke joining as a curate in June 2021. Sarah Bardell (curate) was ordained as a priest in September. ## **Services and Special Events** Prior to the start of the first lockdown, Top Church hosted a theatrical play performed by Saltmine Theatre Company in January 2020. It also hosted the new Bishop of Dudley’s welcome event in February 2020, with local dignitaries and media in attendance. A weekly midweek communion service commenced at the start of the year but has been put on hold since the start of the first lockdown. Two adult baptisms were also held at the end of February. In response to the closure of the church building and restrictions throughout the year, the church took worship services online. Between March and November, services were pre-recorded from people’s homes and edited together for release on Sunday afternoons. From November, services were live-streamed from the church building on Sunday mornings. The response to online services has been overwhelmingly positive and encouraging, with online services having been viewed between 100 and 700 times. _5_ ## **Online Prayer and Small Groups** Daily morning and evening prayer sessions were launched online via Zoom in March 2020 and were held throughout the year, with an average of 15 – 20 people attending. Six small groups were also held in 2020 focusing on different subjects including black theology, Bible study, lessons in leadership, and prayer. An online Alpha course was also held in September and October 2020. ## **Community** New community initiatives were launched at the start of 2020, with the church hosting a weekly ‘Places of Welcome’, which aims to provide people who are lonely with an opportunity to connect with others, along with ‘Tiny Town’ for parents with toddlers to meet together. Unfortunately, these initiatives had to be put on hold when the lockdown and covid-19 restrictions came into place. A fortnightly bereavement group was also due to commence but has had to be put on hold. Despite lockdown and restrictions, the church was able to continue with providing chaplaincy services for staff and those associated with the Churches Housing Association of Dudley and District Limited (CHADD). Likewise, the church provided chaplaincy and pastoral support to Broadway Halls Care Home when restrictions allowed. Church staff and volunteers also assisted the Black Country Food Bank Dudley station one day a week in the summer and also helped Jessons School to deliver food parcels to families in need in the autumn. ## **Kids & Youth** Chaplaincy services for young people at Dudley College and Pegasus Academy continued at the start of the year, with plans to extend the service to other schools in the local area, before the start of the pandemic caused this to be put on hold. An ‘experience Dudley’ day had been arranged with Jessons Primary School for the purpose of engaging children about the story of Dudley and to encourage reflection on how they would like to see the town improved. 900 pupils were signed up to attend but this was cancelled due to the first lockdown. Children’s videos were created and released online within the church’s online services, whilst weekly Zoom groups with youth were held and occasional socials held when restrictions allowed. ## **Worship** Despite the closure of the church preventing in-person worship for most of the year, as well as choir practice and performances, a number of online worship content was created for the church’s YouTube channel. The church worship band recorded a live performance of a several worship songs from inside the church when restrictions allowed. These were released as separate videos. The community choir also moved online with three ‘virtual choir’ videos produced and released on YouTube. These were a rendition of Holy Overshadowing which was viewed 1,300 times since its release in June 2020, followed by videos for Remembrance Sunday and carols by candlelight. Over thirty people participated in the choir videos. ## **Reordering Building Work** Due to the closure of church buildings for a significant part of the year, limited internal building work was undertaken in 2020, with several areas of work pushed back to 2021. Work that was undertaken included snagging repairs to the major reordering work carried out in 2019. Such works were completed in February and March 2020 before the first lockdown commenced. A major upgrade to the Wi-Fi coverage and speed was completed in December 2020. Faculty approval was granted on 30[th] November 2020 for the installation of a new audio/visual system at the church, comprising projectors and screens and speakers in the main body of the church, operating equipment, TV screens in the welcome area, creche, vestry and youth room, and cameras for video relay. A further faculty application was submitted in _6_ December 2020 for the installation of a new heating system, new WC provision and the expansion of a back room to increase capacity for youth activities. As part of the proposed reordering works to the church, it is intended to create a number of items using the remaining wood from the original pews that were removed from the building in 2019. Such items include a communion table, refreshments servery, enclosures for the AV operating desks, and storage cupboard. A church member, Shane Pincher, volunteered his services to construct these items. Due to the inability to accommodate the work at the church, space was rented at the adjacent Provision House to establish a workshop in which the items could be constructed. The workshop was built in partnership with the charity Loaves n Fishes, who occupy Provision House, with the aspiration that once the church items had been completed the workshop would become a training facility for members of the community to learn carpentry skills. Despite a delay due to lockdown restrictions, the workshop was completed in July 2020 with work commencing on the church items. Such work was ongoing at the end of the year. ## **CIO Governance** Following the closure of the Ecclesiastical Trust and approval to become a CIO, a new Board of trustees for the CIO was established. 2020 was a year of formation for the CIO with work undertaken to establish the charity’s governance and policies. The first CIO Board meeting was held in May 2020 in which new trustees were inducted on the responsibilities they have to the DRCT, along with the vision and charitable objects of the CIO. A timetable of Board meetings for the year was established, with meetings taking place bi-monthly thereafter. An induction pack was distributed to trustees prior to the second meeting in July 2020. The pack included a summary document on the CIO charitable objects, Charity Commission guidance on the role and responsibilities of trustees, and the CIO governance process as outlined in the CIO constitution. The pack also included a summary of the CIO’s financial position, a programme of upcoming building work to the Top Church building, a checklist of policies to be adopted, and a copy of the full CIO constitution. Trustees also completed and returned conflict of interest forms included in the Conflict of Interest Policy, as approved by the Charity Commission. A suite of policies for the CIO were approved by trustees at Board meetings throughout the year. Policies approved in 2020 were as follows: - Conflict of Interest Policy (February 2020) - Payments and Expenses Policy (July 2020) - Reserves Policy (September 2020) - Safeguarding Policy (September 2020) - Staff Appraisal Policy (September 2020) - Health & Safety Policy (September 2020) - Data Protection Policy (November 2020) - Fundraising Policy (November 2020) - Procurement Policy (November 2020) ## **National Lottery Heritage Fund Project** The church continued its heritage project with the National Lottery Heritage Fund (NLHF) in 2020. NLHF awarded a grant to fund 70% of the first phase of the project (otherwise known as the Development Phase). This phase includes undertaking assessments into the condition of the church building to identify the extent of conservation work required to take it off Historic England’s Heritage at Risk Register. Such assessments also identify the cost to undertake such work. _7_ This is with a view to submitting a second bid to NLHF to secure funding for the second phase (Delivery Phase) whereby the conservation work is undertaken. Project manage consultants, Greenwood Projects, were appointed by the church in February 2020 to manage the project through to the submission of the Phase 2 application in March 2021. This appointment was funded by the Worcester Diocese Board of Finance (WDBF). Work undertaken in the project during 2020 included the production of architectural drawings, the development of a project business plan and the preparation of a Conservation Management Plan informed by a workshop held by Donald Insall Associates with the church team and volunteers. Furthermore, a methodology for repairing the internal painted window was trailed by Jim Budd Stained Glass. In addition to capital works, NLHF require the local community to be engaged with the story and history of the church in order to ensure maximum public benefit from the project. To deliver this, the church sought to appoint external consultants to undertake activity planning and interpretation design for the project in the summer. However, it was subsequently decided to undertake such work in-house by the Community Minister, Kath Poole, who developed an activity plan setting out how the church would engage the community in the Delivery Phase. In order to support the application for funding for the Delivery Phase and ensure the project is viable through to completion, the church appointed a fundraiser to raise the necessary match-funding. However, due to many grant providers closing funding opportunities in 2020 due to the pandemic, limited match-funding was acquired by the close of the year. A programme of funding opportunities has been produced to identify when grants will be sought in 2021 prior to the commencement of Delivery Phase. Following approval by NLHF at mid-phase review in November to proceed to the submission of an application, the church went out to tender for the capital works in December 2020, with the opportunity advertised to a number of conservation specialist contractors. This was with a view to appointing a contractor to undertake the works subject to a successful application to the NLHF in 2021. Should a grant be awarded, it is expected that the conservation works will commence in August 2021. ## **Safeguarding** Top Church is committed to complying with the House of Bishop’s guidance on safeguarding children and vulnerable adults, as set out in its ‘Promoting a Safer Church’ policy (2017). The House of Bishop’s policy is made available on the Top Church website, alongside the Church of England’s ‘Safer Environment and Activities guidance (2019). Trustees approved the adoption of a new Safeguarding Policy for Top Church in September 2020. This policy is informed by and consistent with the House of Bishop’s policy. Top Church has taken up the online parish safeguarding dashboard, on which its records and monitors its compliance with safeguarding measures. Trustees have also approved all church activities involving children and vulnerable adults. Clare Soar continued as the church’s Safeguarding Officer. Foluso Enwerem undertook C3 safeguarding training upon appointment, whilst trustees undertook C0 safeguarding training. All new volunteers were subject to a Basic DBS check in accordance with the Diocese of Worcester’s safer recruitment policy. ## **4) Risk Management** The DRCT Board continuously review risks to the mission, operation and long-term sustainability of Top Church. Mitigation measures are identified for each risk to reduce adverse impacts as far as possible. Table 3 below sets out the open risks as of the 31[st] December 2020. _8_ **Table 3: DRCT Risk Register** |**RISK**|**CURRENT**
**EVALUATION**|**CURRENT**
**EVALUATION**|**CONSEQUENCE / CONTROL SYSTEM**| |---|---|---|---| ||Probability|Impact|| |R1. Insufficient
matched funding
available for NLHF
Stage 2 bid for Top
Church after
development phase|High|High|It is established that SDF funds cannot be used as match funding for the NLHF
project. Therefore, there is currently no match funding to support a Stage 2
application. Match funding will need to be identified to enable Stage 2 of the
project to proceed.
**Control/Mitigation:**
a) Greenwoods appointed to act as Project Manager and fund raisers.
b) Consider grants and alternative sources of funding
c) Reduce scope of Stage 2 work.
d) Approach the Diocese of Worcester to underwrite the match funding
requirement.| |R2. Failure of
Resource Church
growth in
attendance|Medium /
low|Medium|If growth stalls, Resourcing Church will be unable to resource plants and renewals.
As a result, the church, in its current form, risks becoming financially unsustainable
beyond the end of the SDF funding period in 2024.
**Control/Mitigation**
a) Focus on mission and evangelism approach, applying evidence-based
interventions
b) Recruiting appropriate staff, lay and ordained
c) Ensuring diocesan consultancy supports growth
d) Development of a growth strategy
e) Solution to parish share issue for growing churches
f)
10-year Strategic Plan developed.| |R3. Uncertainty of
governance
arrangements at
Top Church. The
church building
remains part of the
parish of Dudley|Medium|Medium
/ low|Lack of clarity about responsibility for the building. The Dudley PCC owns the
building with the DRCT given delegated authority to make decisions on building
work.
**Control/Mitigation**
a) Creation of a CIO and BMO to add clarity and focus.
b) Arrangement of delegated authority concerning all building matters
from Dudley PCC to the DRCT to be discussed for approval at PCC
meetingin January2021.| |R4. Theft of
important
equipment|Medium|Low|Theft at either the church building or offices would impact church operations and
worship.
**Control/Mitigation**
a) Security measures in place at both locations
b) Important equipment kept locked away
c) Securityalarm inspected annually| |R5. Loss of use of
building|Low|High|Building may become unusable for a temporary period of time in the event of an
unforeseen failure or damage, e.g. the boiler breaking in winter or electrical
failure.
**Control/Mitigation:**
a) Annual inspection of boiler
b) Electrical remedial work undertaken in 2019
c) Relationship established with Provision House opposite the church and
could be used again to host services.
d) Inspection of fire extinguishers to be completed.
e) Health & SafetyPolicyapproved bytrustees in September 2020.| |R6. Impact of
Covid-19 on
operation and
growth of the
church|High|Medium|Risk that church building will need to be closed, or ‘normal’ services prohibited on
long-term basis due to Covid-19 lockdown. Potential for change in how people
respond to church following the lift of the lockdown. Also potential for change in
what social outreach looks like with social distancing. Changes may reduce or
stuntgrowth of the resourcingchurch.| _9_ ||||**Control/Mitigation:**
a) Follow Church of England and diocesan advice
b) Remain in close contact with local authority, charities, and community groups
to understand need and how the church can respond
c) Maintain and grow/evolve online content
d) Redefine metrics for measuring framework
e) Consider learning from previous lockdowns and plan response for possible
future restrictions.
f) Live streaming of services continue, along with daily zoom prayer and launch of
new zoom smallgroups.| |---|---|---|---| |R7. Top Church
Heritage project:
Covid-19: impact
on the consultation
and trialling
necessary to arrive
at robust
Interpretation and
Activity Plans|Medium|Medium
/ Low|Interpretation and activity plans need trialling to arrive at robust plans which are
relevant and engaging to local people. Because of social distancing and the
guidance on use of churches, and possible future local or national lockdowns, this
may not be possible.
**Control/mitigation:**
a) After a round of procurement interviews a decision was taken that activity and
interpretation planning would be taken on internally by Kath Poole (KP)
(Community Minister). NLHF approved and ROSS consultant will mentor KP
b) KP has already completed much of the initial work through delivery of the
community minister brief and will use this work as a basis
c)DudleyMBC have videoed inside TopChurch aspart of a virtual tourproject| |R8. BMO and CIO
need to have same
safeguarding
requirements as a
parish would. DRCT
board and BMO
Visitor to provide
assurance|Medium|High|Focus needs to be kept on safeguarding following local advice from diocesan
safeguarding team and national safeguarding advice.
**Control/mitigation:**
a) Clare Soar appointed as safeguarding lead
b) New Safeguarding Policy approved by trustees in September.
c) Nathan Conway Operations Director trained in safer recruitment
d) DRCT CIO board to receive safeguarding reports at each meeting
e) BMO visitor to seek evidence of appropriate safeguarding practice
f) Safeguarding issues to be reconsidered in light of online activities and social
distancingas a response to Covid 19| |R9. Impact of Covid
19 restrictions on
church planting|High|Medium|Because of social distancing church planting will be interrupted or need to take
place in a different way.
**Control/mitigation:**
a) Church planting strategy to be developed under diocesan transformation
programme
b) Diocesan governance review to be clear about governance framework for
church planting
c) Top Church leadership team to consider its own views on planting
d)Archdeacons to developviews in conjunction with resourcingchurches| |R10. Failure to raise
the necessary
income to cover
operating costs
beyond the SDF
funding period
(2025 onwards).|Medium|High|There is a risk the church is not in a position to be 100% financially self-sufficient,
and as such unable to cover its operating costs, following the conclusion of the
SDF funding period at the end of 2024. This would jeopardise the ability of the
church to carry out mission, cover its running costs, pay Parish Share, and employ
staff.
Control/mitigation:
a) DRCT Board established and inducted on the financial objective/challenge of the
church. The Board has strategic oversight of the church’s finances.
b) 10 Year Strategic Plan in place, which includes financial targets to monitor
progress against the 100% self-sufficient objective
c) New ways for people to give/donate, in addition to the Parish Giving Scheme,
have been set up.
d) New forms of communication regarding the importance of giving have been
produced, including annual ‘thank you’ letters to regular givers and a leaflet
summarisinghowgivingenables the ministryof the church to takeplace.| _10_ e) Strategy needed to explore alternative ways of generating income, e.g. venue hire, training provision etc f) Relaunch of Parish Giving Scheme in January 2021. ## **5) Financial Review** As reflected above, due to the impact of lockdown and covid-19 restrictions, the church’s activities were reduced significantly to what had been planned for the year. As such, both the church’s income and expenditure were lower than budgeted at the start of the year. The most notable aspect of this relates to fewer claims on SDF funding for building reordering work having been made (certainly in comparison to 2019 where significant building work was undertaken) due the resulting delay from church closure. At the close of 2020, Top Church had a total income of £250,468. This is compared to a total income of £658,815 in 2019. A significant majority of income was through SDF funding, which accounted for £162,489 for restricted purposes. The primary purpose of SDF funding claimed was for staff payroll at £113,361 (see Note 4 for the full breakdown). Total expenditure in 2020 amounted to £259,644. This is compared to a total expenditure in 2019 of £504,660. The primary expenditure related to staff payroll which amounted to £110,810 and was fully covered using SDF funding. The net outcome for 2020 was a loss of (£2,334). This loss is due to the significant increase in expenditure associated with the NLHF project, for which match-funding was yet to be resolved and a further drawdown request to NLHF to cover invoices settled in November and December was yet to be submitted. Total funds as of 31[st] December 2020 were £149,954 of which £35,334 was restricted and £96,245 related to endowments. ## **6) Reserves** A Reserves Policy was adopted by trustees in September 2020. The DRCT’s policy is to hold back reserves equivalent to 3 months (25%) of the estimated total annual operating costs in 2025. 2025 will be the first year the church does not receive any funding from the SDF fund and will be required to cover 100% of its operating costs. This represents the largest financial risk to the operation of the church. The purpose of the reserve is to provide a contingency against the risk that the church’s income is insufficient to cover its operating costs following the withdrawal of SDF funding. Prior to this, the reserve will also cover short-term cash-flow deficits in the period between settling invoices and receiving claimed SDF funds. On this basis and on current estimates of operating costs in 2025, the DRCT will hold back reserves of no more than £53,880. At the close of 2020, the DRCT held £33,295 of unrestricted funds that act as the CIO’s reserve. ## **7) Investment Performance** Top Church holds six investment funds, all of which were transferred from the PCC at the beginning of 2019. These pay dividends into three of the church’s Barclays accounts. These investments are with the CCLA: an organisation which solely manages investments for charities, religious organisations and the public sector. Investments are held in the CBF Investment Fund and COIF Charity Investment Fund. The CBF Investment Fund comprises the following: - Three funds from the Preedy Trust (Preedy Trust for Choir 1, Preedy Trust for Choir 2, and Choir Fund) - Dudley St Thomas PCC Church Expenses Fund (Hill Fund) _11_ - Dudley St Thomas PCC Poor Fund (Smart Fund) The COIF Charity Investment Fund comprises: - The Beddington Fund Dividends received as of 31[st] December 2020 were as follows: - CBF Investment Fund = £2,791 - COIF Charity Investment Fund = £201 The value of each fund on 31[st] December 2020, along with a comparison with that on 31[st] December 2019, is provided in Table 4 below. **Table 4: Investment Fund Values** |**Fund**||**Value on 31st**
**December 2019**|**Value on 31st**
**December 2020**|**Total**
**Shareholding**| |---|---|---|---|---| |Preedy Trust|Preedy Trust for Choir 1|1912.60 pence|2044.67 pence|1,474| ||Preedy Trust for Choir 2|1912.60 pence|2044.67 pence|386| ||Choir Fund|1912.60 pence|2044.67 pence|2,254| |Dudley St Thomas PCC Church Expenses Fund (Hill Fund)||1912.60 pence|2044.67 pence|252| |Dudley St Thomas PCC Poor Fund (Smart Fund)||1912.60 pence|2044.67 pence|496| |Beddington Fund||1689 pence|1797.57 pence|388| Approved by DRCT trustees at Board meeting held on 6[th] April 2021 and signed on their behalf by: Rev James Treasure (Church Leader and Board Chair) _12_ BI INDEPENDENT EXAMINEWS REPORT TO THE TRUSTEES OF THE DUDLEY RESOURaNG CHURCHES TRusr I report to the trustee5 on my wrninotion oftha financral ststernents of Dutylèy R•sourdng Churches Trust (tho charltyl for tho yèarended 31 December 2020. R•8pon8lbllttleo and ba•18 of rnport A$ tha trustees of the charity you aro reswnsible for the preparation of th8 finarrial statèmènts in accord8rt8 wrfh thè requirements ol thg Charities Act 2011 (the 2011 Act). I rewrt in respeca of my examination of the tharfty's financial ststements carr￿d out under section 145 of th? 2011 Act In carrying Olrt my èxamination I have followed all thè aKJlicable Directi￿5 gwen by the Charity Cornmission under 5ecbon 14515llbl of the 2011 Ac* Indopond•nt oxamln•fg 8tstsment I have ¢omF4eted my examinaffton. I Confi￿ thai no matters h9Vg come to my attenlkjn in ¢onnec*on with the examination giving me cause to bg1iev8 that in any material respec*'. 4¢¢0unbrYJ reKords w8r8 not kept in respect of th8 ch8rty as ￿Uired by section 130 ofthe 2011 A¢ or thtr fin*)dal stat•ments do nol accord with th088 records,. or the finand81 gtatèmènts do not comply wth the applic8tl8 raqui￿ments CL)nchming the form and c0ntentofac￿unts Set out in CharTbes (Accounts and R•portsl Regulations 2W8 otsr than any r8qusrement that the acc(yJnts give a true and fair view Ithich 18 Th)t a matter o)n9bJer8d 99 part 018n inde￿ndent examination. I have no conc8mB and ha￿ aryo$$ no other matter5 in ￿n￿bOn lh8 examination tu which att•ntion should bo drawn in this repc*l in orderto enable a woper understandirvj of the financid staternents to bè r&8¢hed. Mrs WJ Dawas FCA ICAEW No 4 Casu8 Court2 Ca8tlegate Way Dudley West Mldlands DY14RH Dated". 13 ## **C) Annual Statement of Accounts** ## **Statement of Financial Activities** |**tatement of Financial Activities**|| |---|---| |**Note**|**Combined**
**Unrestricted**
**funds**
**Restricted**
**funds**
**Endowment**
**funds**
**Total funds**
**Prior year**
**total funds**| |**Income and endowments from:**
Donations and legacies
Income from charitable activities
Investments
Other income
**Total income**4
**Expenditure on:**
Expenditure on charitable activities
Other expenditure
**Total expenditure**5
**Net income / (expenditure) resources**
**before transfer**
**Transfers**
Gross transfers between funds - in
Gross transfers between funds - out
**Other recognised gains / losses**
Gains / losses on investment assets
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**
**Represented by**
**Unrestricted**
General fund
**Designated**
Church Utilities
VAT Reclaim
**Restricted**
Beddington Fund
Hill Fund
International Fund
NLHF Drawdown
Preedy Fund
SDF Ancillary Accommodation Fit-out
SDF Ancillary Accommodation Rent
SDF Church Re-ordering
SDF Operations
SDF Staff
Smart Fund
Top Church Fabric Funds
**Endowment**
Beddington Fund
Hill Fund
Preedy Fund
**Total funds carried forward**|£39,630
£183,935
—
£223,565
£649,574
£5,789
—
—
£5,789
£1,904
£7
£2,993
—
£3,000
£3,256
£18,113
—
—
£18,113
£4,081| ||**£63,539**
**£185,928**
—
**£250,468**
**£658,815**
£70,494
£161,529
—
£232,023
£145,373
£13,263
£14,357
—
£27,620
£359,287| ||**£83,758**
**£175,886**
—
**£259,644**
**£504,660**| ||**(£20,218)**
**£11,042**
—
**(£9,176)**
**£154,155**
£33,604
£17,379
—
£50,983
£10,279
(£4,857)
(£30,860)
(£15,266)
(£50,983)
(£10,279)
—
£655
£6,187
£6,842
(£3,237)| ||**£8,529**
**(£1,784)**
**(£9,079)**
**(£2,334)**
**£150,918**| ||**£9,846**
**£37,118**
**£105,324**
**£152,288**
**£1,371**| ||**£18,375**
**£35,334**
**£96,245**
**£149,954**
**£152,288**
£33,295
—
—
£33,295
£5,738
£4,482
—
—
£4,482
£10,279
(£19,403)
—
—
(£19,403)
(£6,172)
—
£398
—
£398
—
—
£285
—
£285
—
—
£400
—
£400
—
—
—
—
—
£17,449
—
£17,233
—
£17,233
—
—
£24
—
£24
£24
—
—
—
—
(£27)
—
£181
—
£181
£917
—
—
—
—
£3,295
—
£143
—
£143
(£322)
—
£14,073
—
£14,073
£13,188
—
£2,597
—
£2,597
£2,595
—
—
£6,974
£6,974
£6,751
—
—
£5,153
£5,153
£4,960
—
—
£84,118
£84,118
£93,613| ||**£18,375**
**£35,334**
**£96,245**
**£149,954**
**£152,288**| _14_ ## **Balance Sheet** |**Note**|**Combined**
**Total funds**
**Prior year**
**funds**| |---|---| |**Fixed assets**
Investments
10
**Current assets**
Debtors
7
Cash at bank and in hand
**Liabilities**
Creditors: Amounts falling due in one year
8
**Net current assets less current liabilities**
**Total assets less current liabilities**
**Total net assets less liabilities**
**Represented by**
**Unrestricted**
General fund
**Designated**
Church Utilities
VAT Reclaim
**Restricted**
Beddington Fund
Hill Fund
Preedy Fund
Top Church Fabric Funds
NLHF Drawdown
International Fund
SDF Ancillary Accommodation Fit-out
SDF Operations
SDF Ancillary Accommodation Rent
SDF Church Re-ordering
Smart Fund
SDF Staff
**Endowment**
Beddington Fund
Hill Fund
Preedy Fund
**Funds of the charity**|£106,386
£99,545| ||**£106,386**
**£99,545**
£16,322
£21,500
£90,590
£127,222| ||**£106,912**
**£148,722**
£63,345
£95,979| ||**£63,345**
**£95,979**| ||**£43,567**
**£52,743**| ||**£149,954**
**£152,288**| ||**£149,954**
**£152,288**
£33,294
£5,738
£4,483
£10,279
(£19,403)
(£6,172)
£398
—
£285
—
£17,233
—
£2,597
£2,595
—
£17,449
£400
—
£24
£24
—
£3,295
—
(£27)
£181
£917
£14,073
£13,188
£143
(£322)
£6,975
£6,751
£5,153
£4,960
£84,118
£93,613| ||**£149,954 **
**£152,288**| Approved by DRCT trustees at Board meeting held on 6[th] April 2021 and signed on their behalf by: Rev James Treasure (Church Leader and Board Chair) _15_ ## **Statement of Assets and Liabilities** ||**Combined**
**General**
**Designated**
**Restricted**
**Endowment**
**This year**
**total**
**Last year**
**total**| |---|---| |**Fixed assets - Investments**
Beddington
Hill Fund
Preedy Fund
Smart Fund
**Totals**
**Current assets - Cash at bank and in**
**hand**
DRCT Lloyds Account
Cash in Hand
PCC Account 1
PCC Account 2
Savings Account
Fabric Fund Account
Smart Fund Account
Preedy Fund Account
**Totals**
**Current assets - Debtors**
Accounts Receivable
**Totals**
**Liabilities - Creditors: Amounts falling**
**due in one year**
Accounts Payable
**Totals**
**Grand total**|—
—
—
£6,975
£6,975
£6,554
—
—
—
£5,153
£5,153
£4,820
—
—
—
£84,118
£84,118
£78,684
—
—
£10,142
—
£10,142
£9,487| ||**—**
**—**
**£10,142**
**£96,246**
**£106,388**
**£99,545**
£32,618
£35,273
(£6,933)
—
£60,958
£95,347
£705
—
—
—
£705
£34
—
£708
£682
—
£1,391
£845
—
£30
—
—
£30
£9
—
£3,745
—
—
£3,745
£9,763
—
—
£2,597
—
£2,597
£2,595
—
—
£3,931
—
£3,931
£3,701
—
—
£17,233
—
£17,233
£14,929| ||**£33,323**
**£39,756**
**£17,510**
—
**£90,591**
**£127,222**
—
—
£16,322
—
£16,322
£21,500| ||**—**
**—**
**£16,322**
**—**
**£16,322**
**£21,500**
£29
£54,676
£8,640
—
£63,345
£95,979| ||**£29**
**£54,676**
**£8,640**
**—**
**£63,345**
**£95,979**| ||**£33,294 **
**(£14,920)**
**£35,334 **
**£96,246**
**£149,954 **
**£152,288**| _16_ ## **Fund Movement by Type** ||**Opening**
**Incoming**
**Outgoing**
**Transfers Gains/losses**
**Closing**| |---|---| |**Beddington Fund**
Restricted
Endowment
**Sub-total**
**Top Church Fabric Fund**
Restricted
**Sub-total**
**NLHF Drawdown**
Restricted
**Sub-total**
**Hill Fund**
Restricted
Endowment
**Sub-total**
**International Fund**
Restricted
**Sub-total**
**SDF Ancillary Accommodation Fit-out**
Restricted
**Sub-total**
**SDF Operations**
Restricted
**Sub-total**
**Preedy Fund**
Restricted
Endowment
**Sub-total**
**SDF Ancillary Accommodation Rent**
Restricted
**Sub-total**
**Reordering - SDF Church Re-ordering**
Restricted
**Sub-total**
**Smart Fund**
Restricted
**Sub-total**
**SDF Staff**
Restricted
**Sub-total**
**Church Utilities**
Designated
**Sub-total**
**VAT Reclaim**
Designated
**Sub-total**
**General fund**
Unrestricted
**Sub-total**
**Grand total**|—
£201
—
£197
—
£398
£6,751
—
—
(£197)
£421
£6,975| ||
**£6,751**
**£201**
**—**
**—**
**£421**
**£7,373**
£2,595
£2
—
—
—
£2,597| ||
**£2,595**
**£2**
**—**
**—**
**—**
**£2,597**
£17,449
£21,045
£16,500
(£21,994)
—
—| ||
**£17,449**
**£21,045**
**£16,500**
**(£21,994)**
**—**
—
—
£145
—
£140
—
£285
£4,960
—
—
(£140)
£333
£5,153| ||
**£4,960**
**£145**
**—**
**—**
**£333**
**£5,438**
—
£400
—
—
—
£400| ||
**—**
**£400**
**—**
**—**
**—**
**£400**
£24
—
—
—
—
£24| ||
**£24**
**—**
**—**
**—**
**—**
**£24**
£3,295
£21,891
£21,614
(£3,572)
—
—| ||
**£3,295**
**£21,891**
**£21,614**
**(£3,572)**
**—**
—
—
£2,362
£57
£14,928
—
£17,233
£93,613
—
—
(£14,928)
£5,433
£84,118| ||
**£93,613**
**£2,362**
**£57**
**—**
**£5,433**
**£101,351**
(£27)
£11,400
£11,400
£27
—
—| ||
**(£27)**
**£11,400**
**£11,400**
**£27**
**—**
**—**
£917
£15,837
£15,451
(£1,122)
—
£181| ||
**£917**
**£15,837**
**£15,451**
**(£1,122)**
**—**
**£181**
£13,188
£285
£55
—
£655
£14,073| ||
**£13,188**
**£285**
**£55**
**—**
**£655**
**£14,073**
(£322)
£113,361
£110,810
(£2,086)
—
£143| ||
**(£322)**
**£113,361**
**£110,810**
**(£2,086)**
**—**
**£143**
£10,279
£675
£11,457
£4,986
—
£4,483| ||
**£10,279**
**£675**
**£11,457**
**£4,986**
**—**
**£4,483**
(£6,172)
£9,167
£38,409
£16,011
—
(£19,403)| ||
**(£6,172)**
**£9,167**
**£38,409**
**£16,011**
**—**
**(£19,403)**
£5,738
£53,697
£33,891
£7,750
—
£33,294| ||
**£5,738**
**£53,697**
**£33,891**
**£7,750**
**—**
**£33,294**| ||**£152,288**
**£250,468**
**£259,644**
**—**
**£6,842**
**£149,954 **| _17_ ## **Analysis of Income and Expenditure** ## **Donations and legacies** |**onations and legacies**|| |---|---| |IN001 - Planned Giving - Parish
Giving Scheme
IN002 - Donations - Contactless
IN003 - Cash Donations
IN004 - Gift Aid
IN005 - Gift Aid - Envelopes
IN006 - One Off Donations
IN011 - DBF Grant
IN012 - SDF Grant - Reordering
Works
IN013 - SDF Grant - Staff Salaries
IN014 - SDF Grant - Operational
IN016 - HLF Grant -
Design/Conservation
IN024 - Standing Order & BACs
IN31 - SDF - Ancillary Office
IN33 - Bank Loyalty Reward
IN37 - Text to Give
IN38 - Investment Funds Inherited
IN39 - PCC Opening Balance
Donation
IN40 - International Travel & Mission
IN41 - Donations - Online
Total|**Combined**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**total**
**Last year**
**total**| ||£22,121
—
—
—
£22,121
£14,219
£928
—
—
—
£928
£770
£1,322
—
—
—
£1,322
£1,091
£5,470
—
—
—
£5,470
£3,478
—
—
—
—
—
£1,424
£1,613
—
—
—
£1,613
£183
—
—
—
—
—
£3,537
—
—
£15,837
—
£15,837
£354,704
—
—
£113,361
—
£113,361
£64,867
—
—
£21,891
—
£21,891
£25,182
—
—
£21,045
—
£21,045
£17,449
£5,950
£665
—
—
£6,615
£1,552
—
—
£11,400
—
£11,400
£10,783
—
£3
£1
—
£4
£44
£32
—
—
—
£32
—
—
—
—
—
—
£102,782
—
—
—
—
—
£47,510
—
—
£400
—
£400
—
£1,526
—
—
—
£1,526
—| ||£38,962
£668
£183,935
—
£223,565
£649,574| ## **Income from charitable activities** |**ncome from charitable activities**|| |---|---| |IN008 - Church Event Income
IN009 - Fees from Weddings and
Funerals
IN35 - Chaplaincy Services
Total|**Combined**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**total**
**Last year**
**total**| ||£951
—
—
—
£951
—
£2,138
—
—
—
£2,138
£1,904
£2,700
—
—
—
£2,700
—| ||£5,789
—
—
—
£5,789
£1,904| ## **Investments** |**Investments**|| |---|---| ||**Combined**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**total**
**Last year**
**total**| |IN32 - Investment Dividends
IN34 - Bank & Building Society
Interest
Total|—
—
£2,991
—
£2,991
£3,221
—
£7
£2
—
£9
£34| ||—
£7
£2,993
—
£3,000
£3,256| _18_ ## **Other income** |**Other income**|| |---|---| |IN020 - Church Sales
IN021 - Refunds from Church
Purchases
IN026 - VAT Reclaim
IN027 - Office Rent
IN36 - Bishop's Parking & Other
Reimbursements
Total|**Combined**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**total**
**Last year**
**total**| ||£1,055
—
—
—
£1,055
£2,700
£442
£9,167
—
—
£9,609
£464
—
—
—
—
—
£917
£5,850
—
—
—
£5,850
—
£1,599
—
—
—
£1,599
—| ||£8,946
£9,167
—
—
£18,113
£4,081| |**INCOME TOTAL**|£53,697
£9,842
£186,928
—
£250,468
£658,815| ## **Expenditure on charitable activities** |EX001 - Church Running -
IT/Communications/Security
EX002 - Church Running - Electricity
EX003 - Church Running - Gas
EX005 - Church Running - Insurance
EX006 - Staff - Salaries
EX007 - Staff - HMRC
EX008 - Staff - Pension Contributions
EX009 - Staff - Expenses
EX010 - Volunteer Expenses
EX011 - Staff and Volunteer Training
EX012 - Church Admin, Postage &
Deliveries
EX013 - Cleaning
EX015 - Event Costs
EX016 - Community Ministry Budget
EX017 - Youth and Children Ministry
Budget
EX019 - Worship Ministry Budget
EX020 - Catering
EX021 - Refreshments for Meetings
& Contractors
EX022 - Resources for services and
home groups
EX023 - Wedding and Funeral Costs
EX024 - Office Supplies
EX025 - HR/Recruitment
EX026 - Accounting
EX027 - IT - Software / Online
Services
EX028 - IT - Hardware
EX029 - Marketing
EX031 - External Premises Rent
EX032 - External Premises - Utilities
EX033 - Legal Fees
EX034 - Parish Share
EX036 - HLF - Engagement
EX037 - HLF - Design/Conservation
EX038 - HLF - Admin|**Combined**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**total **
**Last year**
**total **| |---|---| ||£1,839
£472
£1,385
—
£3,696
£1,409
—
£1,343
—
—
£1,343
£2,110
—
£3,254
—
—
£3,254
£3,363
—
£5,658
£515
—
£6,173
£5,765
—
—
£79,427
—
£79,427
£48,617
—
—
£26,330
—
£26,330
£14,435
—
—
£5,053
—
£5,053
£2,108
£2,834
—
£120
—
£2,954
£4,412
£256
—
—
—
£256
£708
—
—
—
—
—
£458
—
—
£48
—
£48
£70
£56
—
£148
—
£204
—
£975
—
—
—
£975
£50
£1,866
—
—
—
£1,866
—
£1,386
—
—
—
£1,386
—
£565
—
£50
—
£615
£2,480
£846
—
£212
—
£1,058
£2,576
—
—
£15
—
£15
£11
£536
—
£141
—
£677
£563
—
—
—
—
—
£284
£172
—
£199
—
£371
£276
£120
—
£360
—
£480
£2,079
—
—
£2,610
—
£2,610
£221
£415
—
£623
—
£1,038
£1,024
—
—
£1,821
—
£1,821
£2,420
£456
—
£10,996
—
£11,452
£1,165
—
—
£11,400
—
£11,400
£4,850
£440
—
£1,321
—
£1,761
£2,147
—
—
—
—
—
£943
£7,157
—
—
—
£7,157
£4,000
—
£2,743
—
—
£2,743
£6,775
—
£35,666
£18,600
—
£54,266
£19,802
—
—
—
—
—
£450| _19_ |EX39 - Hospitality
EX40 - Furniture
EX41 - Gifts
EX43 - Soft Furnishings
EX45 - Catering - Disposable utensils
EX47 - Printer Lease and Ink
EX53 - Dudley Team Ministry
Total|£94
—
£15
—
£109
£448
£145
—
—
—
£145
£7,357
£435
—
—
—
£435
£580
£12
—
—
—
£12
£507
£124
—
£61
—
£185
—
£29
—
£79
—
£108
£310
—
£600
—
—
£600
£600| |---|---| ||£20,758
£49,736
£161,529
—
£232,023
£145,373| ## **Other expenditure** |EX014 - Building Maintenance and
Repair
EX035 - Reordering Works
EX42 - Misc
EX46 - External Premises Insurance
& Service Ch
EX51 - Service Charges
EX52 - Temporary Accommodation
Rent & Fit-out
EX54 - Bishop's Office
EX56 - Parish Returns
EX57 - Provision House Workshop
Rent
EX58 - Provision House Workshop
Carpentry Expenses
EX59 - Curate Housing & Ordination
Costs
Total|**Combined**
**Unrestricted**
**Designated**
**Restricted**
**Endowment**
**This year**
**total **
**Last year**
**total **| |---|---| ||£5,187
—
£796
—
£5,983
£9,143
—
—
£13,351
—
£13,351
£345,353
£285
—
£62
—
£347
£847
£590
—
—
—
£590
£747
£193
£130
£148
—
£471
£572
—
—
—
—
—
£2,626
£999
—
—
—
£999
—
£580
—
—
—
£580
—
£1,745
—
—
—
£1,745
—
£2,867
—
—
—
£2,867
—
£687
—
—
—
£687
—| ||£13,133
£130
£14,357
—
£27,620
£359,287| |**EXPENDITURE TOTAL**|£33,891
£49,867
£175,886
—
£259,644
£504,660| ||| |**GRAND TOTAL**|£19,806
(£40,024)
£11,042
—
(£9,176)
£154,155| _20_ ## **D) Notes to the Accounts** ## **Note 1: Basis of Preparation** Top Church is a public benefit entity within the meaning of FRS102. The financial statements have been prepared under the Charities Act 2011 and in accordance with the Church Accounting Regulations 2006 governing the individual accounts of PCCs, and with the Regulations’ “true and fair view” provisions, together with FRS102 (2016) as the applicable accounting standards and the 2019 version of the Statement of Recommended Practice, Accounting and Reporting by Charities (SORP(FRS102)). The financial statements have been prepared under the historical cost convention except for the valuation of investment assets, which are shown at fair value. 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 £1. ## **Note 2: Accounting Policies** **Incoming Resources:** Income is recognised when the Charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received. Cash donations are recognised on receipt. Other donations are recognised once the Charity has been notified of the donation, unless performance conditions require deferral of the amount. **Grants and Donations:** Grants and donations are included in the SOFA when any preconditions preventing their use by the PCC have been met. For collections and planned giving this is when the funds are received **Investments:** Investments quoted on a recognised stock exchange or whose value derives from them (CIFs, etc.) are valued at market value at the year end. Other investment assets are included at trustees’ best estimate of market value **Investment income:** This is included in the accounts when receivable. **Investment gains and losses:** This includes any gain or loss on the sale of investments and any gain or loss resulting from revaluing investments to market value at the end of the year. **Cash and cash equivalents:** Cash and cash equivalents includes cash in hand, deposits held at call with banks, and other short-term liquid investments. **Financial instruments:** Financial instruments are recognised in the Charity's balance sheet when the Charity becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. **Basic financial assets:** Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method. Financial assets classified as receivable within one year are not amortised. **Basic financial liabilities:** Basic financial liabilities, including creditors are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. _21_ **Leases:** Rentals payable under operating leases, including any lease incentives received, are charged as an expense on a straight line basis over the term of the relevant lease. **Unrestricted Funds:** These represent the remaining income funds of Top Church that are available for spending on the general purposes of Top Church, including amounts designated by Top Church for fixed assets for its own use or for spending on a future project and which are therefore not included in its ‘free reserves’ as disclosed in the trustees’ report. **Restricted Funds:** These are income funds that must be spent on restricted purposes and details of the funds held and restrictions provided are shown Note 3. **Endowment Funds:** These are restricted funds that must be retained as trust capital either permanently or subject to a discretionary power to spend capital as income, and where the use of any income or other benefit derived from the capital may be restricted or unrestricted. Full details of all their restrictions are shown in Note 3. ## **Note 3: Funds** Top Church has fifteen funds, which are as follows: |**Type **|**Name**|**Purpose**| |---|---|---| |Unrestricted|General|Funds generated by the church with no specific purpose attached to them. These are
held in the DRCT account and cash in hand.| |Designated|Church Utilities|Funds held in the Barclays accounts that have been designated towards covering church
utilities and insurance. These are held in the PCC1,PCC2 and Savings Barclays Accounts.| ||VAT Reclaim|Grants from VAT reclaims received from Listed Places of Worship Grant Scheme (LPOW)
that are owed to the WDBF. It is agreed with WDBF that such funds can be used to
settle invoices related to the heritage project in the short-term but remain as a debt to
be settled. These are held in the DRCT account.| |Restricted|NLHF Drawdown|Grants received from NLHF to cover 70% of all heritage project invoices. These are held
in the DRCT account.| ||SDF Ancillary
Accommodation Fit-
out|SDF grants from the Church Commissioners for the fit-out of the Top Church offices.
These are held in the DRCT account.| ||SDF Ancillary
Accommodation Rent|SDF grants from the Church Commissioners for renting the Top Church offices. These
are held in the DRCT account.| ||SDF Church
Re-ordering|SDF grants from the Church Commissioners for internal work to the Top Church
building. These are held in the DRCT account.| ||SDF Operations|SDF grants from the Church Commissioners for operational costs. These are held in the
DRCT account.| ||SDF Staff|SDF grants from the Church Commissioners for staff salaries, pensions contributions
and PAYE. These are held in the DRCT account.| ||Top Church Fabric
Funds|Inherited funds from the previous church for the purpose of building maintenance
work. These are held in the Fabric Fund Barclays account.| ||Smart Fund|Income from the Rev WH Smart Investment Fund. It is understood that this is to be
used for thepoor. are held in the Smart Fund Barclays account.| ||International Fund|Gifts and grants received by a church curate for the purpose of funding international
travel to provide cover and support to an Anglican Church abroad. These are held in the
DRCT account| |Endowment|Preedy Trust|Endowment from the Preedy Trust. It is understood that this is to be used for the
church choir only. These are held in the PreedyFund Barclays account.| ||Beddington Fund|Endowment from the Beddington Fund. Income is to be used for the benefit of the
parish as the Churchwardens think fit. These are held in the PCC1 Barclays account.| ||Hill Fund|Endowment from the Hill Fund. It is understood that this is to be used for church
expenses. These are held in the PCC1 Barclays account.| _22_ ## **Note 4: Income** **Public Donations –** The church received £33,492 from public donations/giving. Of this, £22,121 was donated via the Direct Debit through the Parish Giving Scheme. Other public donations, amounting to £12,004, were received through alternative methods including standing order, BACs, cash, cheque, text giving, contactless giving and online donations. In response to the closure of the church due to lockdown, the church set up an online donation page through Give a Little, which accounted for £1,526 of ‘other public donations’ received. The Gift Aid claimed on donations in 2020 amounted to £5,470. ## **Strategic Development Fund –** As in 2019, a significant majority of the church’s income in 2020 was from SDF grants. The church was in its third year of seven during which it benefits from SDF funding (such funding concludes at the end of 2024). This funding is restricted to staff salaries, building re-ordering work, operational costs and office rent. A total income of £162,489 was received through SDF grants in 2020, comprising the following: |**Purpose**|**Amount**|**Comment**| |---|---|---| |Staff Salaries|£113,361|For staff salaries,PAYE andpensions contributions.| |Operational Costs|£21,891|For church operational costs. The church submitted a changes request to the
Church Commissioners in April 2020 to reallocate unspent SDF funds in 2019
towards operational costs. This increased funding for this purpose from
£10,000 to £24,199 for 2020.| |Re-ordering Building
Work|£15,837|For the purpose of ongoing improvements to the Top Church building to equip
it for contemporaryworshipand communityuse.| |Office Rent|£11,400|For thepurpose of rentingexternal office space.| **National Lottery Heritage Fund –** The church submitted its second drawdown request to NLHF at the beginning of November 2020. This was to claim from the grant awarded to Top Church by the NLHF to undertake the first phase (development phase) of the heritage project. The second drawdown request captured project invoices settled between December 2019 and October 2020. The drawdown request amounted to £21,045 (70% of project spend in that time period) and was received by the church on 20[th] November 2020. **Listed Places of Worship VAT Grant –** The church applied to the Listed Places of Worship Grant Scheme (LPOW) in June 2020 for a grant to cover the VAT incurred on invoices related to eligible building work and professional fees between December 2019 and May 2020. A grant of £28,198 was awarded on 17[th] June 2020. As the entirety of this VAT was covered by the WDBF it is recorded as a creditor (see Note 8). It was agreed with the WDBF that such funds, along with the first VAT reclaim grant received in December 2019, were needed to be retained by Top Church to cash flow the NLHF project. A Loan Agreement between the WDBF and Top Church was in the process of being formulated and agreed at the close of the year to cover spend on the NLHF project. A condition of the draft agreement is that the full amount of the loan will be converted into a grant should Top Church contribute its full parish share between 2020 and 2023. Once this agreement is finalised, Top Church will settle the creditors of £21,734 and £28,198 (£49,932) to the WDBF (see Note 8). **The Bishop of Dudley’s Office –** From 1st February 2020, the DRCT entered into an agreement with the Bishop of Dudley’s Office to sub-let office space at 3 Parsons Street, Dudley. The Bishop of Dudley’s Office pays a monthly contribution towards rent, utilities, maintenance and parking. Such contributions amounted to £7,499. _23_ **CHADD Chaplaincy –** In December 2019, the DRCT entered into an agreement with CHADD to provide a chaplaincy service for people of all faiths and none across the services and staff of CHADD. Fees received for this service amounted to £2,700. **Other –** Other notable income was received through the following: - Funeral Fees – fees for funerals in 2020 amounted to £2,138. - Credit on architect fees – due to being overcharged by Donald Insall Associates for work undertaken on the NLHF project, two credit notes were issued to the DRCT amounting to £9,167. - Sale of church items – the church received income from the sale of the last remaining pews removed and renovated during the reordering works undertaken in 2019. The church also carried out a mass clean and clear out of items inherited from before the resourcing church started. From this, various items, including chairs and brass were sold at auction. In total, the sale of church items amounted to £1,055. - Special Events – The church received £951 through hosting special events before the first lockdown. Most notably this included a performance of a theatrical play by Saltmine Theatre Company in January 2020. This was a ticketed event from which the church received £710 in ticket sales. The church also hosted a welcome event for the new Bishop of Dudley in February 2020 for which it received a fee of £186 from the WDBF. - Investment Dividends – The church received £2,991 in dividends from its six investment funds. ## **Note 5: Expenditure** **Staff Salaries & Expenses –** There were no changes to staff personnel in 2020, with the DRCT continuing to employ four full-time members of staff. It should be noted that clergy stipends are paid by the WDBF and therefore are not represented in these accounts. Staff payroll was fully funded through the SDF Staff fund. This amounted to a total of £110,810, covering salaries, PAYE and pension contributions. Spend on staff payroll was below that received from SDF due to an overclaim of £2,086 for April to June. The residual amount was transferred to the SDF operations fund (see Note 6). Staff and clergy expenses amount to £2,954. Such expenses comprise claims made by staff and clergy on expenses incurred on non-ministry related items such as supplies for the offices at Parsons Street, refreshments for meetings, office administration, subsistence, mileage, public transport and parking. It also includes contributions towards clergy office running expenses such as mobile phone, broadband and utilities. Expenses were covered using the General and SDF Operational funds. Expenses incurred on items related to ministry, such as resources and refreshments for services, small groups and community activities, were recorded against ministry budgets. The DRCT’s new Payments and Expenses Policy requires all expense claims to be approved by the resourcing church leader before payment is made. No employees received total employee benefits of more than £60,000. **Mission / Ministry –** The church spent a total of £6,872 on its ministry activities. Expenditure associated with carrying out ministry was taken from both the General and SDF Operational funds. The church divided its 2020 budget for ministry into four areas: 1) General Ministry – expenditure associated with putting on services and small groups both in the church and online. This includes resources such as books, catering after services, refreshments for pastoral meetings, costs associated with putting on special events, and equipment/information notices in response to covid-19. This amounted to £3,004. _24_ 2) Community – expenditure on all community focused activities and initiatives led by the Community Minister, such as Places of Welcome, Toddler Town and online resources. Spend on community activities amounted to £1,866. 3) Youth and Children – expenditure on services, midweek activities and online content for the church’s youth and children led by the Youth and Children’s Minister. Spend on this ministry amounted to £1,386. 4) Worship – expenditure associated with facilitating worship at services, online and in the community, such as copyright licence, live streaming licence and recording equipment. Spend on the worship ministry amounted to £616. **Operational Costs –** Spend on operational costs were taken from the General, Church Utilities and SDF Operational funds. The largest operational expenditure was associated with the running costs of the church building. These comprised utilities, insurance, security and network which amounted to a total of £14,467. Building maintenance, repairs work and management of the church building equated to £5,983. This included annual inspections (e.g. mansafe system, clock, boiler), service of key appliances, maintenance of WC facilities (e.g. soap and sanitary provisions), decoration, signage, and annual clearance of gutters, gullies and downpipes. It also included final instalment payments on carpentry work undertaken on the removed pews to get them ready for sale. The total expenditure on establishing the workshop at Provision House and commencing construction of carpentry items for the church amounted to £4,612. It has been agreed by trustees to conclude the lease of the workshop in September 2021. Due to the closure of the church as a result of covid-19 restrictions and the need to commence online services, the church spent £1,821 on IT equipment needed to record, edit and broadcast online content. Other operational costs associated with the running of the church and offices amounted to £5,502. The comprised accountant fees, HR consultant fees, office supplies, administration, printer ink, IT software, cleaning, furniture, soft furnishings, meeting refreshments and banking service charges. **Independent Examination of Accounts** – Top Church paid a total of £2,610 towards accountant fees for the independent examination of its 2019 year end accounts. **Website Development, Branding and Marketing -** The church appointed a graphical and website developer to carry out a branding exercise resulting in the creation of a new logo and graphics for the church. A new website was also created and launched in the Summer. Furthermore, the church carried out targeted advertising and erected temporary external signage to advertise its activities throughout the year. This all amounted to a spend of £11,452. Expenses were covered by the General and SDF Operational funds. **Building Re-ordering Work –** Total expenditure on internal building re-ordering work was £13,351. This comprised snagging repairs following the re-ordering work, lighting repairs, redecoration of the youth room, Wi-Fi upgrades and installation, architectural drawings and AV consultant services for the preparation of faculty applications and the purchase of external signage and litter bin. Re-ordering spend was covered using the General and SDF Re-ordering funds. **Parsons Street Offices –** The church continued with its three-year tenancy of offices at 3 Parsons Street, Dudley. This resulted in expenditure on rent (£11,400), utilities (£1,761), insurance (£590) and costs incurred to sub-let the offices to the Bishop of Dudley’s Office such as repair works and parking. Expenditure was covered using the SDF Ancillary Accommodation, SDF Operational and General funds. **Heritage Project –** Expenditure on the NLHF project amounted to £57,009 (of which £12,634 was yet to be settled as of 31[st] December 2020 – see Note 8). This was broken down into the following: - Design/Conservation – this includes work undertaken by specialist consultants to assess the significance of the church crypt, as well as the condition and methodology for repairs to the internal painted east window. This also _25_ included architect and quantity surveyor fees. This aspect of the project amounted to £54,266. Of this, £16,500 was incorrectly covered using SDF and WDBF funds in 2019 and the start of 2020. As such, this is owed to the WDBF, with the outstanding debt as of 31[st] December 2020 recorded as a creditor (see Note 8). - Fundraising – to support the submission of a Stage 2 application to acquire funding for the second phase of the project, the church appointed a fundraiser to raise the necessary match-funding. Professional fees for the fundraiser amounted to £2,743. Expenditure on the NLHF project was funded using the VAT Reclaim, SDF Re-ordering and NLHF Drawdown funds. **Other –** Other notable expenditure in 2020 were as follows: |**Item**|**Amount**|**Comment**| |---|---|---| |Parish Share|£7,157|The church paid £440 towards its parish share for 2019 before the deadline in February
2020. It then made 3 payments of £2,239 (£6,717 combined) towards its 2020 share of
£8,956,with a final instalment of £2,239 made in January2021.| |Dudley Team
Ministry|£600|Although it separated from the Dudley PCC in February 2020 following approval of the
BMO, Top Church continued to contribute towards the ministry of the Dudley Team for
the rest of 2020.| |Curate Costs|£687|The church incurred costs to redecorate and repair the house provided to the church’s
new curate, Foluso Enweren, to ensure it was suitable to move into. The church also
covered the costs for a chasuble and stole required for Sarah Bardell’s ordination as
priest.| |Parish Returns|£580|This is theproportion of funeral fees owed to the WDBF.| |Gifts|£435|The following gifts were provided by Top Church:
•
£315 – as a ‘thank you’ gift to guest speakers
•
£80 – organist gift to cover expenses and say ‘thank you’
•
£40 – flowers and food gifted to isolated congregation members during lockdown| |Misc.|£285|Miscellaneous expenditure that was considered to not fall into other categories were as
follows:
•
Cash Donations Box = £62
•
Doorbell for Parsons Street = £57
•
Paint for Parsons Street decoration = £35
•
Non-GBP Transaction Fee for purchase of website hosting from Green Geeks = £3
•
ICO Registration = £40
•
Business Rates = £150| |Volunteer
Expenses|£256|The DRCT’s newly adopted Payments and Expenses Policy requires that volunteers
should not be left out of pocket. As such, expense claims from volunteers that were
related to the work of the church were reimbursed.| Costs in 2020 can be split into the following three categories: |**Cost Type**|**2020**|**2020**|**2019**|**2019**| |---|---|---|---|---| ||**Amount**|**Proportion**|**Amount**|**Proportion**| |Direct (costs directly related to delivering charitable activities
e.g. ministry costs, staff salaries, NLHF project, reordering
work)|£221,882|86%|£473,221|93.7%| _26_ |Support (costs that support the delivery of charitable
activities, e.g. utilities, rent, insurance, building maintenance)|£32,672|13%|£30,106|6%| |---|---|---|---|---| |Governance (internal and external audit, legal advice, costs
associated with statutory requirements)|£3,090|1%|£1,333|0.3%| |**Total**|**£259,644**|**100%**|**£504,660**|**100%**| ## **Note 6: Fund Movement** The movement between funds in 2020 was as follows: |**Date**|**From**|**To**|**Amount**|**Purpose**| |---|---|---|---|---| |01.01.20|Preedy Fund
Endowment|Preedy Fund
Restricted|£14,928|Correcting the credit of net income on endowment in
2019.| |01.01.20|Beddington Fund
Endowment|Beddington
Fund Restricted|£197|Correcting the credit of income on endowment in 2019.| |01.01.20|Hill Fund
Endowment|Hill Fund
Restricted|£140|Correcting the credit of income on endowment in 2019.| |08.01.20|VAT Reclaim|General|£1,730|To reimburse general funds used to settle an invoice
associated with the NLHF project for an assessment into
the significance of the church crypt.| |22.01.20|General|Church Utilities|£600|To provide additional funds into the PCC1 account for the
designatedpurpose of coveringchurch utilitycosts.| |04.02.20|General|Church Utilities|£450|To provide additional funds into the PCC1 account for the
designatedpurpose of coveringchurch utilitycosts.| |17.02.20|NLHF Drawdown|VAT Reclaim|£4,586|Excess funds from the first drawdown from NLHF
(following reimbursement of general funds and partial
settlement of debt to WBDF) to reimburse VAT reclaim
funds used to settle invoices associated with the NLHF
project.| |03.03.20|NLHF Drawdown|General|£4,253|To reimburse general funds used to settle invoices
associated with the NLHF project for consultant work on
activity planningand evaluation.| |20.03.20|SDF
Re-ordering|General|£1,122|To reimburse general funds used to purchase TV and
stands for the church aspart of the reordering project.| |27.05.20|General|Church Utilities|£1,050|To provide additional funds into the PCC1 and PCC2
accounts for the designated purpose of covering church
utilitycosts.| |10.06.20|SDF Staff|SDF Operations|£2,086|Transfer of overpayment from WDBF on staff salaries in
April to June that was subsequently deducted from claim
on operational items.| |07.08.20|SDF Operations|General|£3,772|To reimburse general funds used to pay for church
insurance between Januaryand August 2020.| |07.08.20|SDF Operations|Church Utilities|£1,886|SDF funds transferred to PCC1 account to cover church
insurance between September and December 2020.| |02.11.20|General|SDF Ancillary
Accommodation|£27|To cover the deficit in the SDF ancillary accommodation
fund.| |20.11.20|NLHF Drawdown|VAT Reclaim|£13,155|Excess funds from the first drawdown from NLHF
(following reimbursement of general funds and funds set
aside to settle remainingdebtor to WBDF)to reimburse| _27_ |||||VAT reclaim funds used to settle invoices associated with
the NLHFproject.| |---|---|---|---|---| |01.12.20|General|Church Utilities|£1,000|To provide additional funds into the PCC1 accounts for the
designatedpurpose of coveringchurch utilitycosts.| ## **Note 7: Debtors (Accounts Receivable)** |**Fund**|**Receivable From**|**Amount (31st**
**Dec 2020)**|**Combined**
**Amount (31st**
**Dec 2019)**| |---|---|---|---| |SDF Staff|Church Commissioners – SDF funds to cover staff payroll in
December 2020.|£9,780|-| |SDF Ancillary
Accommodation
Rent|Church Commissioners – SDF funds to cover the rent of Parsons
Street between December 25th2020 and 24thMarch 2021.|£2,850|-| |SDF Church
Re-ordering|Church Commissioners – SDF funds to cover the installation of
greater Wi-Fiprovision in the church.|£1,536|-| |SDF Church
Re-ordering|Church Commissioners – SDF funds to cover Donald Insall invoice no.
34089 (exc. VAT) for the preparation of faculty application drawings
for the proposed WC and youth room building work (£625).
LPOW – reimbursement of VAT on the above invoice(£125).|£750|-| |SDF Church
Re-ordering|Church Commissioners – SDF funds to cover Donald Insall invoice no.
34550 (exc. VAT) for the preparation of faculty application drawings
for the proposed WC and youth room building work (£625).
LPOW – reimbursement of VAT on the above invoice(£125).|£750|-| |SDF Church
Re-ordering|Church Commissioners – SDF funds to cover the upgrade of internet
speeds at the church.|£420|-| |SDF Church
Re-ordering|Church Commissioners – SDF funds to cover the purchase of an
external litter bin for the churchgraveyard.|£236|-| |NLHF
Drawdown|NLHF – grant to reimburse 70% of invoices related to the
heritage project that were included in payment drawdown
request submitted December 2019.|-|£17,449| |SDF Church
Re-ordering|Church Commissioners – SDF funds to cover invoice from
Donald Insall Associates for architect fees related to the
buildingwork.|-|£2,100| |SDF Staff|Church Commissioners – SDF funds to cover the shortfall in funding
for staffpayroll in 2019.|-|£1,951| |**Total**||**£16,322**|**£21,500**| ## **Note 8: Creditors (Accounts Payable)** |**Fund**|**Payable For**|**Amount (31st**
**Dec 2020)**|**Combined**
**Amount (31st**
**Dec 2019)**| |---|---|---|---| |VAT Reclaim|WDBF – repayment of VAT originally covered by the WDBF on items
eligible for reimbursement under the LPOW scheme. This applies to
the second claim submitted to LPOW.|£28,198|-| |VAT Reclaim|WDBF – repayment of VAT originally covered by the WDBF on items
eligible for reimbursement under the LPOW scheme. This applies to
the first claim submitted to LPOW.|£21,734|£21,734| _28_ |NLHF
Drawdown|WDBF – repayment of WDBF funds used to pay NLHF invoices.|£7,890|-| |---|---|---|---| |VAT Reclaim|Donald Insall Associates – architectural services undertaken in
support of the NLHFproject.|£4,744|-| |SDF Church
Re-ordering|Donald Insall Associates – for invoice no. 34550 for the preparation
of faculty application drawings for the proposed WC and youth room
buildingwork.|£750|-| |General|Shiloh – line rental for 17/01/2021 – 16/02/2021|£17|-| |General|Vision –printer ink usage|£12|-| |SDF Church Re-
ordering|Stone Edge – final invoice for the internal building work|-|£65,851| |SDF Staff|HMRC – PAYE for December 2019|-|£2,564| |SDF Church Re-
ordering|Donald Insall Associates – architect fees in relation to the building
work.|-|£2,100| |General|Nigel Baker – for archaeological assessment of the crypt as part of
the NLHFproject|-|£1,730| |SDF Church Re-
ordering|Nicholsons – for work undertaken to protect and re-tune the church
organ duringand followingthe buildingwork.|-|£936| |SDF Staff|NEST –pensions contributions for December 2019|-|£457| |SDF Operations|Lord Combustion – for maintenance work undertaken to the church
boiler.|-|£384| |SDF Operations|Cumbria Clock Company – for maintenance work undertaken to the
church buildingclock|-|£222| |**Total**||**£63,345**|**£95,978**| ## **Note 9: Cash in Hand** Top Church held £705 of petty cash that had not yet been banked as of 31[st] December 2020. This was from cash donations received during services, funerals and when the church was open to the public. This is included in the total figure of £90,590 on the Balance Sheet. ## **Note 10: Investments** ||**Beddington**
**Hill Fund**
**(Church expenses)**
**Preedy**
**Smart Fund**
**(Poor Fund)**
**Total**
**Endowment**
**Endowment**
**Endowment**| |---|---| |Fund value b/f @ 01-01-20
Fund growth
Fund value c/f @ 31-12-20
Bid-Market Value
Units Held b/f 01-01-20
Units Held c/f 31-12-20
Bid-Market value of 1 share
Total value|£6,554
£4,820
£78,684
£9,487
**£99,544**
£421
£333
£5,434
£655
**£6,842**| ||**£6,975**
**£5,153**
**£84,118**
**£10,142**
**£106,386**| ||**£6,975**
**£5,153**
**£84,118**
**£10,142**
**£99,544**
388
252
4,114
496
**388**
**252**
**4,114**
**496**
£17.98
£20.45
£20.45
£20.45
**£6,975**
**£5,153**
**£84,118**
**£10,142**| _29_ ## **Note 11: Financial Instruments** ||**2020**|**Combined**
**2019**| |---|---|---| |**Carrying amount of financial assets**
Debt instruments measured at amortised costs
Instruments measured at fair value through SOFA
**Carrying amount of financial liabilities**
Measured at amortised cost|£16,322
£106,386
£122,708
£63,345|£21,500
£99,544| |||£121,044| |||£95,978| ## **Note 12: Remuneration and Related Party Transactions** Trustees received no remuneration in 2020. A trustee of the DRCT, James Treasure, received total payments of £835 during 2020 to cover business related expenses (such as subsistence, refreshments for meetings and services, office running costs (e.g. mobile and broadband), mileage, resources/equipment for church services and printing). Payments to cover such expenses were subject to approval by another trustee of the DRCT. Another trustee of the DRCT, Nikki Groarke, is also an Archdeacon within the Diocese of Worcester. The church contributed £7,157 towards its 2020 parish share as payment to the Diocese. This trustee took no part in the decision making related to this payment. ## **Note 13: Operating Leases** The church leases ancillary offices at 3 Parsons Street, Dudley, on a three-year tenancy. This tenancy commenced in September 2019 at an annual rent of £11,400 (inc VAT). The total lease commitment is as follows: |**Period**|**Commitment (inc VAT)**| |---|---| |< 1 year|£11,400| |2 – 5 years|£11,400| |**Total**|**£22,800**| _30_ **Note 14: Transfer of Assets** **Table A: Analysis of principal SoFA components for the current reporting period** |**Note 14: Transfer of Assets**|**Note 14: Transfer of Assets**|**Note 14: Transfer of Assets**|**Note 14: Transfer of Assets**|**Note 14: Transfer of Assets**|**Note 14: Transfer of Assets**|||| |---|---|---|---|---|---|---|---|---| |**Table A: Analysis of principal SoFA components for the current reporting period**||||||||| |||||||||**Combined**| ||**DRCT**||**DRCT**||**DRCT**|||**Total**| ||**Ecclesiastical Trust**||**CIO**||**CIO**|||| ||**(pre-merger)**||**(pre-merger)**||**(post-merger)**|||| ||**£**||**£**||**£**|||**£**| |Total income|33,122||200||217,145|||250,468| |Total expenditure|13,908||956||244,780|||259,644| |Net
income/(expenditure)|
19,214||(756)||(27,634)|||(9,176)| |Othergains/(losses)|-||-||6,841|||6,841| |**Net movement in**
**funds**|**19,214**||**(756)**||**(20,793)**|||**(2,335)**| **Table B: Analysis of principal SoFA components for the previous reporting period (31[st] December 2019)** |||||||**Combined**| |---|---|---|---|---|---|---| ||||**DRCT**|**DRCT**||**Total**| ||||**Ecclesiastical Trust**|**CIO**||| ||||**(pre-merger)**|**(pre-merger)**||| ||||**£**|**£**||**£**| ||Total income||658,816|-||658,816| ||Total expenditure||504,660|-||504,660| ||Net
income/(expenditure)||154,156|-||154,156| ||Othergains/(losses)||(3,238)|-||(3,238)| ||**Net movement in funds**||**150,918**|**-**||**150,918**| |||||||| ||Total funds B/F||1,371|-||1,371| |||||||| ||**Total funds C/F**||**152,289**|**-**||**152,289**| ## **Table C: Analysis of net assets at the date of merger** |**Table C: Analysis of net assets at the date of merger**|**Table C: Analysis of net assets at the date of merger**|**Table C: Analysis of net assets at the date of merger**|**Table C: Analysis of net assets at the date of merger**|**Table C: Analysis of net assets at the date of merger**|||| |---|---|---|---|---|---|---|---| ||||||||**Combined**| |||**DRCT**||**DRCT**|||**Total**| |||**Ecclesiastical Trust**||**CIO**|||| |||**£**||**£**|||**£**| ||Net assets|171,502||(756)
(725)
(31)
-|||170,747| ||||||||| ||**Represented by:**||||||| ||Unrestricted funds|10,400|||||9,675| ||Restricted funds|71,045|||||71,014| ||Endowment
funds|90,058|||||90,058| ||**Total funds**|**171,502**||**(756)**|||**170,747**| _31_ ## **Note 15: Gifts in Kind** Top Church benefits from a number of people in the congregation giving their time to volunteer towards the ministry of the church. This year has seen many members of the church giving their time to contribute towards producing online content, such as online services and choir videos, in response to the closure of the church building during lockdown. Volunteers also gave their time to in the running of community initiatives, including assisting with the operation of the Dudley food bank and distribution of food parcels in partnership with Jessons School. Additionally, some volunteers also gifted the church with food served after Sunday services prior to lockdown and small takeaway food gift bags at services later in the year. A significant amount of volunteer time was given to the church by Shane Pincher towards establishing the workshop at Provision House and constructing the carpentry items for the building. Neither the time nor food provided by congregation members is accounted for in the accounts. The church received no further gifts. The church is immensely grateful to everyone who volunteered their time and resources in what was a challenging year. _32_