Trustees' Report and Statement of Accounts Financial Year Ended 31 March 2023
Page 1
| Contents | |
|---|---|
| Trustees' report | 3 |
| Legal and administrative information | 5 |
| Independent examiner's report | 6 |
| Statement of receipts and payments | 7 |
| Statement of assets and liabilities | 8 |
| Notes to the accounting statements | 9 |
Page 2
Trustees' Report
The Trustees present their report, along with the financial statements of the church, for the financial year ended 31 March 2023. The financial statements have been prepared in accordance with the accounting policies set out on page 9 and in compliance with the church's constitution, rules and applicable law.
Trustees responsibilities
Law applicable to charities in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the church’s financial activities during the year and of its financial position at the end of the year. In preparing those financial statements, the trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
make judgements and estimates that are reasonable and prudent;
-
state whether applicable accounting standards and statements of recommended practice have been followed subject to any departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the church will continue to operate.
The trustees are responsible for keeping accounting records which disclose with reasonable accuracy at any time the financial position of the church and enable them to ensure that the financial statements comply with the Charities Act 1993. They are also responsible for safeguarding the assets of the church and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Organisation
The managing trustees of the church are the church elders.
The names of the trustees holding office during the year to which these accounts relate are given on page 5.
The elders meet together on a regular basis during the year to discuss and administer the affairs of the church. Reports on church activities are made to the church at quarterly members’ meetings.
Charity objects
The purposes of the church, as set out in paragraph 3 of the constitution are twofold:
1) the advancement of the Christian faith, in accordance with the basis of faith, primarily, but not exclusively within Bridgend and the surrounding neighbourhood;
2) such other charitable purposes as shall, in the opinion of the charity trustees, put into practice the Christian faith in accordance with the Basis of Faith, including, but not limited to: the prevention and relief of need, hardship and sickness; the advancement of education; and the provision of facilities in the interests of social welfare for recretaion or other leisure time occupation of individuals who have need of such facilities by reason of their youth, age, infirmity, or disability, financial hardship or social circumstances, with the object of improving their conditions of life.
REVIEW OF ACTIVITIES
The purposes of the church, as set out above, are fulfilled through the core activities in the life of the church, namely, weekly Sunday worship services and a mid‐week prayer meeting.
During this last reporting year the church continued with its activities and ministries, with many having a public benefit to the wider community, such as a mother and toddlers group, as well as meetings for children and young people. In relation to public benefit, a café was launched for Ukrainians who had moved into the locality as well as their host families. This proved to be a welcome provision for the many Ukrainians who attended and who continue to do so.
FUTURE DEVELOPMENTS
The trustees keep the activities of the Church under review. At present, there are no future developments planned.
Page 3
FINANCIAL SUMMARY
The Church's core income is from gifts and donations given by the Church's members and adherents. In the 2022‐23 financial year, these totalled £125,667 (2021‐22 £104,161).
In addition, the church received donations of £1,400 to its restricted Welfare fund.
Direct charitable expenditure for the financial year was £104,850 (2021‐22 £72,658) including earmarked gifts and payments from the welfare fund.
RESERVES
The Church's policy is to maintain sufficient unrestricted funds (the free reserves of the church) for the effective day to day management of the church’s finances, such as to cover administration and support costs, as well as being able to respond to emergency needs which may arise from time to time. The Church aims to maintain general reserves at between 3 and 6 months of direct charitable expenditure and administration costs.
At 31 March 2023, the Church held £41,217 (2021‐22 £102,901) in general reserves.
This balance includes £4,500 held for the purchase of additional audio visual equipment and works to the new hall.
This expenditure was expected to be incurred in 2023‐24.
Risk management
The trustees have put in place a number of policies and procedures relating to areas of risk in connection with various aspects of the church’s activities. These are periodically reviewed. The Safeguarding and Catering policies were reviewed during 2022‐23.
Trustees approval of accounts
This annual report and the accounting statements on pages 7 to 11 were approved by the trustees at their meeting on 15th December 2023.
Dr A.I. Davies
Date
Page 4
Legal and administrative information
Trustees
Trustees during the financial period ended 31 March 2023 were:
Name Position Appointed Arfon Ieuan Davies Elder/Treasurer 16/09/2020 Iwan Rhys Jones Elder/Secretary 16/09/2020 Mark Pickett Elder 16/09/2020 James Sibley Pastor 01/11/2021
REGISTERED OFFICE
Freeschool Court Church, Freeschool Court, Bridgend, CF31 3AG
Charity registration
The Church is a charity registered with the Charities Commission for England and Wales. Registered charity number 1191312.
Page 5
Independent Examiner's Report to the Trustees
I report to the trustees on my examination of the accounts of Freeschool Court Church for the year ended 31 March 2023, which are set out on pages 7 to 10.
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 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the Act.
Independent examiner’s statement
I have completed my examination. I confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
(1) accounting records were not kept in respect of the Church as required by section 130 of the Act; or
(2) the accounts do not accord with those records.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
David Rees CPFA 16 Plas y Llan Cardiff CF14 2AF
Page 6
Statement of Receipts and Payments
| Note Receipts Transfer from FSCEC Charity No 1144795 3 Gifts and donations Gift Aid Tax Rebate Rental income 4 Miscellaneous Total receipts Payments Direct Charitable expenditure Ministry 5 Mission 6 Events and outreach 7 Running costs and maintenance 8 Welfare 2 Other Expenditure 16 Brackla Street Utilities 4 Asset purchases 9 Management and administration 10 Total payments Net Receipts/(Payments) Balance brought forward as at 1 April Receipts during the year Payments during the year Transfers between funds Closing balance at 31 March |
General Fund Welfare Fund Total Funds Y/E 31 March 2022 £ £ £ £ 0 0 0 66,863 125,667 1,400 127,067 104,711 243 0 243 29,849 7,950 0 7,950 2,793 2,798 0 2,798 932 |
|---|---|
| 136,658 1,400 138,058 205,148 |
|
| 34,563 0 34,563 22,083 49,665 0 49,665 38,841 6,629 0 6,629 1,069 8,143 0 8,143 5,951 0 5,850 5,850 4,800 |
|
| 99,000 5,850 104,850 72,744 |
|
| 493 0 493 778 88,019 0 88,019 24,393 6,380 0 6,380 4,332 |
|
| 94,892 0 94,892 29,503 |
|
| 193,892 5,850 199,742 102,247 |
|
| (57,234) (4,450) (61,684) 102,901 |
|
| 102,901 0 102,901 0 136,658 1,400 138,058 205,148 (193,892) (5,850) (199,742) (102,247) (4,450) 4,450 0 0 |
|
| 41,217 0 41,217 102,901 |
Page 7
Statement of Assets and Liabilities
| Current Account Deposit accounts Cash in hand Other monetary assets The church held the following monetary assets at the period end: HM Revenue and Customs: Gift Aid Rebate |
General Fund Welfare Fund Total Funds 31 March 2022 £ £ £ £ 40,938 0 40,938 102,858 1 0 1 1 278 0 278 42 |
|---|---|
| 41,217 0 41,217 102,901 |
|
| General Fund Welfare Fund Total Funds 31 March 2022 £ £ £ £ 36,162 256 36,418 16,908 |
Investment assets
The Church owns a property at 16 Brackla Street, Bridgend. The property is let on a commercial rental.
Liabilities as at 31 March 2023
The Church held no further significant liabilities as at 31 March 2023.
Assets retained for the church's own use
The church holds the following assets for its use:
Valuation basis Value Land and buildings Historic cost/valuation £1,135,297 Media equipment Depreciated historic cost £1,513 Furniture and fittings Depreciated historic cost £6,304
Dr A.I. Davies
Date
Page 8
Notes to the Accounts
1. Basis of accounts
The accounts have been prepared under the historical cost convention and are in accordance with the Charities (Accounts and Reports) Regulations 2005 and guidance issued by the Charity Commission.
2. Fund accounting
Under the Church’s governing document, the trustees of the Church are free to apply the unrestricted general funds for any of the Church’s charitable purposes set out in the governing document. Except for donations specifically for the restricted funds set out below, all funds held by the Church are unrestricted.
The Church operates a restricted welfare fund. The Welfare Fund is used to provide support for individuals in need as identified by the trustees.
3. Transfer from Freeschool Court Evangelical Church
On its dissolution on 31 May 2021, Freeschool Court Evangelical Church (Registered Charity 1144795) transferred its residual assets to the Church.
| 2022‐23 | 2021‐22 | |
|---|---|---|
| 4. Rental property | £ | £ |
| The Church lets its property at 16 Brackla Street at an annual rental of: | 7,950 | 2,793 |
| Total costs incurred related to the property were: | 493 | 778 |
| 5. Ministry | £ | £ |
| Pastor salary, pension and allowances including employer contributions | 33,131 | 17,628 |
| Visiting speakers | 1,432 | 4,455 |
| 34,563 | 22,083 | |
| 6. Mission | £ | £ |
| SIM | 24,072 | 19,060 |
| Other | 25,593 | 19,781 |
| 49,665 | 38,841 | |
| 7. Events and outreach | £ | £ |
| Young People's Work | 2,226 | 751 |
| Ukraine Café | 2,089 | |
| General outreach | 2,314 | 318 |
| 6,629 | 1,069 | |
| 8. Running costs and maintenance | £ | £ |
| Utilities | 3,937 | 2,404 |
| Cleaning and supplies | 3,244 | 3,461 |
| Repairs and maintenance | 962 | 86 |
| 8,143 | 5,951 | |
| 9. Asset purchases | ||
| During the year, the Church purchased additional furnishings and equipment; and made | payments related to | |
| the building of the annexe to the church building totalling: | £88,019 | £24,393 |
| 10. Management and administration of the church | £ | £ |
| Legal and accounting fees | 727 | 1,365 |
| Insurance | 1,568 | 1,448 |
| Licences | 1,180 | 288 |
| Miscellaneous | 2,905 | 1,231 |
| 6,380 | 4,332 |
Page 9
| 11. Employee remuneration Salaries Employers National Insurance Employer's pension contributions |
2022‐23 2021‐22 £ £ 28,277 11,808 3,475 2,489 1,141 693 |
|---|---|
| 32,893 14,990 |
The Church appointed Rev James Sibley as its pastor in November 2021. Rev Sibley is also a trustee.
12. Related party transactions
Except as noted in Note 11. Employee remuneration, no trustees were employed by the Church. Payments to the Trustees and their related parties during the year were:
| Payments to the Trustees and their related parties during the year were: Except as noted in Note 11. Employee remuneration, no trustees were employed by the Church. |
|
|---|---|
| Preaching Contribution towards costs incurred in outside ministry Welfare payments Payments to family members (contribution to costs) |
Dr M Pickett £ 775 250 400 150 |
| 1,575 |
Page 10