**REGISTERED CHARITY NUMBER: 1189318**
## **REPORT OF THE TRUSTEES AND UNAUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022**
## **FOR**
## **DAVID PAWSON MINISTRY CIO**
HPCA Limited Chartered Accountants Station House Connaught Road Brookwood Woking Surrey GU24 0ER
**DAVID PAWSON MINISTRY CIO**
## **CONTENTS OF THE FINANCIAL STATEMENTS for the year ended 31 March 2022**
||**Page**|
|---|---|
|**Report of the Trustees**|1 to 3|
|**Independent Examiner's Report**|4|
|**Statement of Financial Activities**|5|
|**Balance Sheet**|6|
|**Cash Flow Statement**|7|
|**Notes to the Cash Flow Statement**|8|
|**Notes to the Financial Statements**|9 to 15|
|**Detailed Statement of Financial Activities**|16 to 17|
## **DAVID PAWSON MINISTRY CIO**
## **REPORT OF THE TRUSTEES**
## **for the year ended 31 March 2022**
The trustees present their report with the financial statements of the charity for the year ended 31 March 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The principal objective of the charity is the promotion of Christian teaching throughout the world.
## **Significant activities**
In seeking to fulfil its principal charitable objective the trustees have focussed on the provision of books and pre-recorded material by the Reverend David Pawson M.A., BSc. In more recent years the trustees have recognised the opportunities provided by new technology, and investment has been made to create digital copies of many of David's works to make them available for download from the internet.
## **Public benefit**
The Trustees have complied with the duty in section 17 of the Charities Act 2011 to have due regard to public benefit guidance published by the Commission.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
The Trust has continued its trajectory to provide teaching at the highest possible quality, to the highest number of people at the lowest possible cost. Free of charge wherever possible.
## **FINANCIAL REVIEW**
## **Financial position**
At the balance sheet date the charity had accumulated funds of £901,620 (2021: £480,828). Of these amounts £35,085 (2021: £52,423) related to restricted funds.
The funds of the charity are primarily held in the form of bank balances. During the year donations to the charity increased by £349,364 and total expenditure has decreased by £38,064.
## **Reserves policy**
Total reserves at the Balance sheet date amounted to £901,620 of which £35,085 was Restricted Funds. The Trustees have considered that there should be sufficient unrestricted funds to cover at least 6 months of operations should the need arise, that is approximately £100,000.
Current reserves are considerably in excess of this figure as a result of some substantial donations received in the past. The trustees are giving consideration as to these funds can be best applied in order that the actual reserves held will be nearer to the stated reserves policy.
Page 1
**DAVID PAWSON MINISTRY CIO**
## **REPORT OF THE TRUSTEES for the year ended 31 March 2022**
## **FUTURE PLANS**
The current priority for the Trust is to do with future proofing. This involves looking at upgrading our digital platform and our media into formats that will survive into the future. This includes video, eBooks and audiobooks.
The work of translating, digitising and sub titling continues at good pace as well as the growing move towards eBooks. We are currently looking into the development of audiobooks.
The Trustees remain very thankful for all its staff, volunteers and supporters.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document**
The Charity is controlled by its governing document, a CIO-Foundation.
On 4 May 2020 David Pawson Ministry CIO was registered under charity number 1189318 at the Charity Commission and on 30 September 2020 it took over all assets and activities of The David Pawson Teaching Trust. As the charity's objects and trustees are the same the Trustees have taken advantage of the concession in the Charities SORP to use merger accounting and present the accounts for the full year including the six months to 30 September 2020 when the activities were carried out by the predecessor charity. Similarly the comparatives are shown as if this was carried out by David Pawson Ministry CIO.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
1189318
## **Principal address**
Wishing Well Cottage The Ridges FINCHAMPSTED Berkshire RG40 3HS
## **Trustees**
D Rebbettes M Tinling S C Dally Company Director
## **Independent Examiner**
L Redman FCCA HPCA Limited Chartered Accountants Station House Connaught Road Brookwood Woking Surrey GU24 0ER
Page 2
**DAVID PAWSON MINISTRY CIO**
## **REPORT OF THE TRUSTEES for the year ended 31 March 2022**
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Solicitors**
Barlow Robbins LLP Concord House 165 Church Street East Woking Approved by order of the board of trustees on 3 December 2022 and signed on its behalf by:
D Rebbettes - Trustee
Page 3
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF DAVID PAWSON MINISTRY CIO**
## **Independent examiner's report to the trustees of David Pawson Ministry CIO**
I report to the charity trustees on my examination of the accounts of David Pawson Ministry CIO (the Trust) for the year ended 31 March 2022.
## **Responsibilities and basis of report**
As the charity trustees of the Trust 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 Trust's accounts carried out under Section 145 of the Act and in carrying out my examination I have followed all applicable Directions given by the Charity Commission under Section 145(5)(b) of the Act.
## **Independent examiner's statement**
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a registered member of FCCA which is one of the listed bodies.
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 Trust as required by Section 130 of the Act; or
2. the accounts do not accord with those records; or
3. 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.
L Redman FCCA HPCA Limited Chartered Accountants Station House Connaught Road Brookwood Woking Surrey GU24 0ER
8 December 2022
Page 4
## **DAVID PAWSON MINISTRY CIO**
## **STATEMENT OF FINANCIAL ACTIVITIES**
## **for the year ended 31 March 2022**
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
2
606,577
Investment income
3
27
Other income
8,741
**Total**
615,345
**EXPENDITURE ON**
**Charitable activities**
4
Direct Charitable Expenses
142,985
Administration
34,230
Other
-
**Total**
177,215
**NET INCOME/(EXPENDITURE)**
438,130
**RECONCILIATION OF FUNDS**
Total funds brought forward
428,405
**TOTAL FUNDS CARRIED FORWARD**
866,535|Restricted
funds
£
-
-
-
-
17,338
-
-
17,338
(17,338)
52,423
35,085|2022
Total
funds
£
606,577
27
8,741
615,345
160,323
34,230
-
194,553
420,792
480,828
901,620|2021
Total
funds
£
109,570
265
20,365
130,200
224,138
8,479
-
232,617
(102,417)
583,245
480,828|
|---|---|---|---|
The notes form part of these financial statements
Page 5
## **DAVID PAWSON MINISTRY CIO**
## **BALANCE SHEET**
## **31 March 2022**
|Unrestricted
fund
Notes
£
**FIXED ASSETS**
Intangible assets
9
4,520
**CURRENT ASSETS**
Debtors
10
174,093
Cash at bank
704,363
878,456
**CREDITORS**
Amounts falling due within one year
11
(16,441)
**NET CURRENT ASSETS**
862,015
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
866,535
**NET ASSETS**
866,535
**FUNDS**
12
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|Restricted
funds
£
-
-
35,085
35,085
-
35,085
35,085
35,085|2022
Total
funds
£
4,520
174,093
739,448
913,541
(16,441)
897,100
901,620
901,620
866,535
35,085
901,620|2021
Total
funds
£
6,026
23,247
469,214
492,461
(17,659)
474,802
480,828
480,828
428,405
52,423
480,828|
|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 3 December 2022 and were signed on its behalf by:
## D Rebbettes - Trustee
The notes form part of these financial statements
Page 6
## **DAVID PAWSON MINISTRY CIO**
## **CASH FLOW STATEMENT**
## **for the year ended 31 March 2022**
|Notes
**Cash flows from operating activities**
Cash generated from operations
1
Net cash provided by/(used in) operating activities
**Cash flows from investing activities**
Interest received
Net cash provided by investing activities
**Change in cash and cash**
**equivalents in the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the**
**end of the reporting period**|2022
£
270,207
270,207
27
27
270,234
469,214
739,448|2021
£
(103,430)
(103,430)
265
265
(103,165)
572,379
469,214|
|---|---|---|
The notes form part of these financial statements
Page 7
## **DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE CASH FLOW STATEMENT for the year ended 31 March 2022**
## **1. RECONCILIATION OF NET INCOME/(EXPENDITURE) TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**Net income/(expenditure) for the reporting period (as per**
**the Statement of Financial Activities)**
**Adjustments for:**
Depreciation charges
Interest received
Increase in debtors
(Decrease)/increase in creditors
**Net cash provided by/(used in) operations**|2022
£
420,792
1,506
(27)
(150,846)
(1,218)
270,207|2021
£
(102,417)
1,506
(265)
(9,508)
7,254
(103,430)|
|---|---|---|
## 2. **ANALYSIS OF CHANGES IN NET FUNDS**
|**Net cash**
Cash at bank and in hand
**Total**|At 1.4.21
Cash flow
At 31.3.22
£
£
£
469,214
270,234
739,448
469,214
270,234
739,448
469,214
270,234
739,448|
|---|---|
The notes form part of these financial statements
Page 8
**DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 March 2022**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
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 a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **Intangible fixed assets**
Depreciation is provided at the following annual rates in order to write off intangible assets.
Website - 3 years Repurchase of rights to written works - 10 years
After the passing of David and Enid Pawson, all rights and royalties are owned by David Pawson Ministry CIO.
## **Taxation**
The charity is exempt from income tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
Page 9
continued...
## **DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2022**
|**2.**
**DONATIONS AND LEGACIES**
Donations
Gift aid
Exceptional items
**3.**
**INVESTMENT INCOME**
Deposit account interest
**4.**
**CHARITABLE ACTIVITIES COSTS**
Direct Charitable Expenses
Administration
**5.**
**SUPPORT COSTS**
Management
£
Direct Charitable Expenses
481
Administration
2,629
3,110|2022
£
115,283
1,294
490,000
606,577
2022
£
27
Support
Direct
costs (see
Costs
note 5)
£
£
159,842
481
-
34,230
159,842
34,711
Governance
Finance
costs
£
£
-
-
5,921
25,680
29,521
2,080|2021
£
105,921
3,649
-|2021
£
105,921
3,649
-|2021
£
105,921
3,649
-|
|---|---|---|---|---|
|||109,570|||
|||2021
£
265
Totals
£
160,323
34,230||2021
£
265|
|||194,553|||
||||Totals
£
481
34,230||
||||34,711||
Page 10
continued...
**DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2022**
## **6. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 March 2022 nor for the year ended 31 March 2021.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 March 2022 nor for the year ended 31 March 2021.
## **7. EXCEPTIONAL ITEMS**
David and Enid Pawson left a legacy of 50% of their net estate to David Pawson Ministry CIO. The current estimate of the final net value of the estate, is approximately £985,000, Of this, £340,000 was received during the year by the trust. Therefore, we have included a debtor of £150,000 for the remainder.
## **8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|Unrestricted
fund
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
109,570
Investment income
265
Other income
20,365
**Total**
130,200
**EXPENDITURE ON**
**Charitable activities**
Direct Charitable Expenses
224,138
Administration
8,479
**Total**
232,617
**NET INCOME/(EXPENDITURE)**
(102,417)
**RECONCILIATION OF FUNDS**
Total funds brought forward
530,822
**TOTAL FUNDS CARRIED FORWARD**
428,405|Restricted
funds
£
-
-
-
-
-
-
-
-
52,423
52,423|Total
funds
£
109,570
265
20,365
130,200
224,138
8,479
232,617
(102,417)
583,245
480,828|
|---|---|---|
Page 11
continued...
## **DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2022**
## **9. INTANGIBLE FIXED ASSETS**
|Patents
and
licences
£
**COST**
At 1 April 2021 and 31 March 2022
15,064
**AMORTISATION**
At 1 April 2021
9,038
Charge for year
1,506
At 31 March 2022
10,544
**NET BOOK VALUE**
At 31 March 2022
4,520
At 31 March 2021
6,026
**10.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Other debtors
**11.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade creditors
Other creditors|Website
costs
£
17,688
17,688
-
17,688
-
-
2022
£
174,093
2022
£
4,014
12,427
16,441||Totals
£
32,752|
|---|---|---|---|
||||26,726
1,506|
||||28,232|
||||4,520|
||||6,026|
||||2021
£
23,247|
||||2021
£
-
17,659|
||||17,659|
Page 12
continued...
## **DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2022**
## **12. MOVEMENT IN FUNDS**
|At 1.4.21
£
**Unrestricted funds**
General fund
428,405
**Restricted funds**
Work of the Trust in China
52,423
**TOTAL FUNDS**
480,828
Net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
615,345
**Restricted funds**
Work of the Trust in China
-
**TOTAL FUNDS**
615,345
**Comparatives for movement in funds**
At 1.4.20
£
**Unrestricted funds**
General fund
530,822
**Restricted funds**
Work of the Trust in China
52,423
**TOTAL FUNDS**
583,245|Net
movement
in funds
£
438,130
(17,338)
420,792
Resources
expended
£
(177,215)
(17,338)
(194,553)
Net
movement
in funds
£
(102,417)
-
(102,417)|At
31.3.22
£
866,535
35,085
901,620
Movement
in funds
£
438,130
(17,338)
420,792
At
31.3.21
£
428,405
52,423
480,828|
|---|---|---|
Page 13
continued...
## **DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2022**
## **12. MOVEMENT IN FUNDS - continued**
Comparative net movement in funds, included in the above are as follows:
|Incoming
Resources
resources
expended
£
£
**Unrestricted funds**
General fund
130,200
(232,617)
**TOTAL FUNDS**
130,200
(232,617)
A current year 12 months and prior year 12 months combined position is as follows:
Net
movement
At 1.4.20
in funds
£
£
**Unrestricted funds**
General fund
530,822
335,713
**Restricted funds**
Work of the Trust in China
52,423
(17,338)
**TOTAL FUNDS**
583,245
318,375|Movement
in funds
£
(102,417)
(102,417)
At
31.3.22
£
866,535
35,085
901,620|
|---|---|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Work of the Trust in China
**TOTAL FUNDS**|Incoming
resources
£
745,545
-
745,545|Resources
expended
£
(409,832)
(17,338)
(427,170)|Movement
in funds
£
335,713
(17,338)
318,375|
|---|---|---|---|
Page 14
continued...
**DAVID PAWSON MINISTRY CIO**
## **NOTES TO THE FINANCIAL STATEMENTS - continued for the year ended 31 March 2022**
## **13. RELATED PARTY DISCLOSURES**
A significant channel of distribution for the works of David Pawson is David Pawson Publishing Limited (DPPL), a charitable company (registered charity no : 224579). The charity met DPPL's accountancy costs and Independent Examination fees up to 2019. It has now been agreed that the charity will make an annual contribution to DPPL to contribute towards its costs of distributing the works of David Pawson. The total paid in the year to 31 March 2022 was £79,000 (2021: £91,667).
Royalties received from DPPL totalled £7,774 (2021: £11,246) in the financial year. At the balance sheet date the charity was owed £19,158 by DPPL (2021: owed £17,390 by DPPL).
## **14. CHARITABLE INCORPORATED ORGANISATION**
On 4 May 2020 David Pawson Ministry CIO was registered under charity number 1189318 at the Charity Commission and on 30 September 2020 it took over all assets and activities of The David Pawson Teaching Trust. As the charity's objects and trustees are the same the Trustees have taken advantage of the concession in the Charities SORP to use merger accounting and present the accounts for the full year including the six months to 30 September 2020 when the activities were carried out by the predecessor charity. Similarly the comparatives are shown as if this was carried out by David Pawson Ministry CIO.
The income and expenditure of the charity accrue fairly evenly throughout the year so it is reasonable to assume that approximately 50% of the income and expenditure would have been attributable to the first 6 months when the activities were carried out by David Pawson Teaching Trust. Therefore the net assets transferred at 30 September 2020 would have been approximately £530,000.
Page 15
## **DAVID PAWSON MINISTRY CIO**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES for the year ended 31 March 2022**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
Gift aid
Exceptional items
**Investment income**
Deposit account interest
**Other income**
Royalty income
Other income
**Total incoming resources**
**EXPENDITURE**
**Charitable activities**
Website costs
Telephone
Other Charitable Gifts
Printed media
Video
Transcription costs
Travelling
Equipment costs
Television broadcast
Computer and software
Distribution costs
Royalties
**Support costs**
**Management**
Insurance
Carried forward|2022
£
115,283
1,294
490,000
606,577
27
7,774
967
8,741
615,345
3,730
-
79,000
43,107
11,111
394
-
5,951
9,360
1,797
5,392
-
159,842
1,123
1,123|2021
£
105,921
3,649
-|
|---|---|---|
|||109,570
265
20,365
-|
|||20,365|
|||130,200
1,083
484
92,049
37,415
4,738
-
1,878
4,406
37,440
374
19,713
20,365|
|||219,945
-
-|
This page does not form part of the statutory financial statements
Page 16
## **DAVID PAWSON MINISTRY CIO**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES**
## **for the year ended 31 March 2022**
|**Management**
Brought forward
Sundries
Title amortisation
**Finance**
Bank charges
Legal fees
Accountancy
**Governance costs**
Independent Examination fee
Total resources expended
**Net income/(expenditure)**|2022
£
1,123
481
1,506
3,110
1,739
23,600
4,182
29,521
2,080
194,553
420,792|2021
£
-
1,793
1,506
3,299
1,922
-
5,406
7,328
2,045
232,617
(102,417)|
|---|---|---|
This page does not form part of the statutory financial statements
Page 17