## Annual Report and Financial Statements 20 November 2020 to 31 December 2021 Churches, Agencies and Christians proclaiming the good news of Jesus Christ together Affinity is a charitable incorporated organisation registered with the Charity Commission for England and Wales with registered charity number 1192455 ## Report of the Trustees Members of the Trust Board have the pleasure of submitting their report and the independently audited financial statements of Affinity for the extended year starting at the formation of the Charitable Incorporated Organisation (CIO) on 20 November 2020 and ending 31 December 2021. The trustees have adopted the Provisions of the Statement of Recommended Practice: Accounting and Reporting by Charities applicable to charities preparing their accounts following the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) published in October 2019 and comply with the charity’s governing document and the Charities Act 2011. Charity name: Affinity Registered charity number: 1192455 Charity’s principal address: PO Box 905, Haywards Heath RH16 9TJ ## Constitution Affinity was constituted in June 1969 as an unincorporated organisation (although it has been a recognised body since 1952) and became a CIO with the same name and charitable purposes within this financial period, November 2020. All assets and funds were transferred to AFFINITY CIO (1192455) and the ‘old’ Affinity (258924) was removed from the charity register in November 2021. This amalgamation was done with the full support of the trustees from both charities. ## Objetives and Activities The main objective of Affinity is to promote the advancement of the Christian religion, as expressed in Affinity’s doctrinal basis, by means of a fellowship of evangelical churches, agencies and individuals. Affinity exists to: **Promote gospel unity** among us by engaging in activities that encourage mutual recognition, understanding and respect and that serve to strengthen each other and to help each other maintain and exhibit the highest standards of godly living and Christian discipleship. **Encourage** all like-minded churches, agencies and individuals to identify themselves with Affinity. To demonstrate unity to the world by supporting and, where possible, promoting the evangelistic enterprises of Members and Associates. In particular, to be committed to supporting the planting and restoration of Bible-centred, evangelical churches. **Represent** our Members and Associates to governments, the media and to those responsible for formulating policy and influencing public morality and social justice. To apply the Word of God to public life and join with others of like persuasion in making representation on these issues where this serves to advance godly, just and wholesome ends. Affinity Annual Report 20 November 2020 to 31 December 2021 **Engage** in theological research and discussion to advance an understanding and acceptance of biblical Christianity. To promote biblical teaching on true ecumenism and to encourage its practice among Members and Associates. **Express** our unity and fellowship with like-minded churches and evangelical agencies worldwide. ## Governance Affinity is governed by five trustees who make up the Trust Board, they are supported by the Advisory Council made up of representatives from Corporate, Church and Agency members. The Trustees meet with the Advisory Council twice a year to discuss matters of strategy and planning and to share information about the work of Affinity. Trustees are appointed by existing Trustees. The Trust Board has considered the general guidance issued by the Charity Commission on public benefit and in particular, its supplementary guidance on the advancement of religion for the public benefit. ## Members of the Trust Board Mr Thomas Brand (Chair) Rev Paul Yeulett Rev David Meredith Rev Mark Thomas Mr John Stevens Each member of the Trust Board was elected at the commencement of the CIO in November 2020. ## Organisational structure The Trust Board is responsible for the governance and policy for Affinity. The implementation of the policy and the day-to-day management is delegated to the Director, who is appointed by the Trust Board. Graham Nicholls has been in post as Director since 2018. The Director is supported in his responsibilities by the Assistant to the Director. Affinity Annual Report 20 November 2020 to 31 December 2021 ## Achievements and Performance Since transitioning to a CIO, Affinity has continued to provide advice, support and services to its member churches and associate agencies in the United Kingdom and Ireland. It provides a focus for co-operation, mutual encouragement and assistance in our united witness. Resources and advice are provided to churches, agencies and individuals through our website and other published materials. Key activities are undertaken by teams which work in the areas of theological advocacy, public engagement, social issues and world mission. In particular, the Director has given considerable time to develop Affinity’s profile through local and national media, to represent the views of its members on matters of concern to evangelical Christians. A theological study conference is held every two years as a focus for discussion and debate on matters of mutual concern to Affinity members. The next Study Conference is scheduled for March 2023 and preparations are underway. The Director and Assistant to the Director have continued to oversee and develop the various ministries of Affinity and have ensured an efficient and cost-effective administration. ## Financial Review Following the amalgamation of the two charities, the newly established CIO remained dormant until 12 July 2021, it was only then that funds were transferred, and Affinity began operation as the CIO (1192455). As this is the first financial review, we do not have previous years to compare it to. However, when compared to the financial accounts of the ‘old’ Affinity, 2021 shows a deficit of £4,920. The Trustees are aware of the need for minor income growth in 2022 to maintain a modest level of reserves. The Trustees confirm they have exercised careful financial oversight of the charity’s resources. ## Income Total income during this period was £57,810 made up of donations from our Corporate members, Churches and Agencies. A significant portion of this income was the transfer of funds from ‘old’ Affinity (258924) (note 3) – £32,560. We are very grateful to all our members who provide financially to the ministry of Affinity. Income was, however, lower than had been expected. This was across all income channels as we saw some members fail to resubscribe to the newly formed CIO. ## Expenditure Total expenditure during this period was £25,364. This was in line with what we had expected. Affinity Annual Report 20 November 2020 to 31 December 2021 ## Reserves policy Affinity aims to maintain free reserves (unrestricted funds less debtors) at a level sufficient to cover three months’ general expenditure, to give Affinity time to respond to unexpected developments. At the end of the period available, unrestricted funds were around eight months’ general expenditure. A deficit budget was planned for 2022 which will reduce the level of the reserves. ## Declaration The Trustees declare that they have approved this Annual Report for 2021. _Signed on behalf of the Trust Board:_ Thomas Brand _Chair_ Date: 22 August 2022 Affinity Annual Report 20 November 2020 to 31 December 2021 ## Independent examiner’s report on the accounts I report to the trustees on my examination of the accounts of Affinity for the year ended 31 December 2021. ## Responsibilities and basis of report As the trustees of Affinity 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 Affinity’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 Affinity 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. ## _Signed:_ Aaron Chen _31 Syresham Gardens, Haywards Heath, West Sussex. RH16 3LB_ Date: 16 September 2022 Affinity Annual Report 20 November 2020 to 31 December 2021 ## Statement of financial activities ## 20 November 2020 to 31 December 2021 |Notes
**Incoming resources**
Donations and Legacies
2)
Charitable Activities
Other
**Transfer of funds from Affinity unincorporated**
3)
**Total**
**Resources expended**
Staff Costs
4)
Charity Management & Administration
Conference and events
Communications
**Total**
Net movement in funds
**Total funds brought forward**
**Total funds carried forward**|Unrestricted
funds
Restricted
income funds
Total 2021
funds
£
£
£
24,517)
0)
24,517)
733)
0)
733)
0)
0)
0)
32,560)
0)
32,560)| |---|---| ||57,810)
0)
57,810)| ||16,957)
0)
16,957)
2,782)
0)
2,782)
0)
0)
0)
5,625)
0)
5,625)| ||25,364)
0)
25,364)| ||| ||32,445)
0)
32,445)
0)
0)
0)| ||32,445)
0)
32,445)| Affinity Annual Report 20 November 2020 to 31 December 2021 ## Balance sheet ## As at 31 December 2021 |Notes
**Current assets**
Bank Balances
4)
Debtors
Total
**Creditors: amounts falling due within one year**
Supplier Accounts Payable
Payroll Liabilities
Total
Total net assets
**Unrestricted funds**
General
Designated
Total funds|31/12/2021
£
34,270)
344)| |---|---| ||34,614)| ||510)
1,659)| ||2,169)| ||| ||32,445)| ||32,445
0| ||32,445| ## **Approved by the trustees on:** 22 August 2022 ## **Signed on their behalf:** ## Thomas Brand **----- Start of picture text -----**
Chair
**----- End of picture text -----**
Graham Nicholls _Company Secretary_ Affinity Annual Report 20 November 2020 to 31 December 2021 ## Notes to the financial statements ## 20 November 2020 to 31 December 2021 ## **1. Accounting principles** The principal accounting policies are summarised below. The accounting policies have been applied consistently throughout the year. ## **a) Basis of accounting** The accounts are prepared in accordance with the historic cost basis of accounting. ## **b) Incoming resources** All incoming resources are included in the statement of financial activities when the charity is entitled to, and virtually certain to receive, the income and the amount can be quantified with reasonable accuracy. Incoming resources from charitable trading activity are accounted for when earned. ## **c) Resources expended** Expenditure is recognised on an accrual basis as a liability is incurred. Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. Charity management costs include those costs associated with meeting the constitutional and statutory requirements of the charity and include costs linked to the strategic management of the charity. All costs are allocated between the expenditure categories of the SoFA on a basis designed to reflect the use of the resource. ## **2. Donations and legacies** **----- Start of picture text -----**
2021 Total
£
Corporate members 16,152
Agency members 3,450
Church members 2,880
Affiliates 1,436
One off donations 300
Grants 0
Gift Aid 299
24,517
**----- End of picture text -----**
## **3. Income of funds from Affinity unincorporated** On 12 July 2021, _Affinity unincorporated_ (charity number: 258924) ceased trading and all assets were transferred to _Affinity CIO._ Affinity Annual Report 20 November 2020 to 31 December 2021 ## **4. Staff costs** |**4. Staff costs**|| |---|---| ||**2021 Total**| ||**£**| |Payroll costs|16,854| |Pension contributions|103| ||16,957| ||| ## **5. Bank balances** |**5. Bank balances**|| |---|---| ||**2021 Total**| ||**£**| |Lloyds Bank|34,270| ||34,270| ||| ## **6. Custodian & charity trustees’ remuneration** During the period the trustees received no remuneration in their capacity as trustees of the charity. Affinity Annual Report 20 November 2020 to 31 December 2021