## Annual Report and Financial Statements
1 January 2023 to 31 December 2023
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 year starting on 1 January 2023 and ending 31 December 2023. 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 the current CIO with the same name and charitable purposes in November 2020.
## 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.
**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.
Affinity Annual Report
1 January 2023 to 31 December 2023
**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
Rev Dr Thomas Brand (Chair)
Rev Paul Yeulett
Rev David Meredith
Rev Mark Thomas (re-elected in March 2023)
Rev John Stevens (re-elected in March 2023)
## 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 an Executive Assistant.
## Achievements and Performance
Throughout 2023, Affinity continued to provide advice, support, and services to its member churches and associate agencies in the United Kingdom and Ireland. It remains a central focus for cooperation, mutual encouragement, and assistance in our united gospel witness.
We offer resources and advice to churches, agencies, and individuals through our website, events, and published materials. In 2023, we produced several key resources, including Challenging Leaders, a practical guide for churches aimed at preventing or navigating accusations of pastoral malpractice.
Affinity has also strengthened partnerships with other evangelical organisations, participating in joint initiatives that address pressing societal concerns, such as the Greater Love Declaration, a vital resource on marriage, gender and sexuality in these challenging times.
Key initiatives are undertaken by teams working in the areas of theological advocacy, public engagement, and social issues. The Director has devoted considerable time to enhancing Affinity’s profile through local and national media, representing the views of its members on issues of concern to evangelical Christians.
Affinity Annual Report
1 January 2023 to 31 December 2023
A biennial theological study conference serves as a focus for discussion and debate on matters of mutual concern to Affinity members. The most recent conference took place in March 2023, with preparations well underway for the next one in March 2025.
The Director and Executive Assistant have continued to oversee and develop Affinity’s ministries, ensuring efficient and cost-effective administration of its operations.
## Financial Review
In God’s goodness, Affinity ended 2023 with a surplus of £7,523. This surplus was largely due to unplanned income and actions taken by the trustees earlier in the year. A deficit budget had originally been planned for 2023, so we are thankful to God for providing the necessary means to remain financially sustainable throughout the year. The Trustees confirm they have exercised careful financial oversight of the charity’s resources and provide the following overview.
## Income
Income increased significantly in 2023 to £85,616 (2022: £54,228). This rise was due to several factors, including higher contributions from our Corporate and Agency members compared to previous years. Additionally, we received two generous grants, as well as income from other exceptional sources, as outlined in the finance report below. We continue to see a growing number of evangelical Christian organisations affiliating with Affinity by becoming Agency members. We are deeply grateful to all our Corporate, Agency, and Church members, as well as individuals who regularly support our ministry financially.
## Expenditure
Expenditure rose in 2023 to £78,574 (2022: £62,298), largely due to the costs associated with hosting the biennial Theological Study Conference in 2023. While we aim to recoup some costs through ticket sales, we subsidise the event to make it as accessible as possible to a broad audience. As a result, hosting the 2023 conference cost Affinity over £4,000. General operational expenditure has remained stable and sustainable.
## Reserves policy
Affinity aims to maintain free reserves (unrestricted funds less debtors) at a level sufficient to cover three months’ general expenditure, allowing us to respond to unexpected developments. At the end of the year, unrestricted funds were £31,898 (2022: £24,375), equivalent to around five months’ general expenditure. A surplus budget has been planned for 2024, which will help sustain this level of reserves.
## Declaration
The Trustees declare that they have approved this Annual Report for 2023. _Signed on behalf of the Trust Board:_
Thomas Brand Date: 26 September 2024 _Chair_
Affinity Annual Report
1 January 2023 to 31 December 2023
## 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 2023.
## 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:_
## _Name: Aaron Chen_
_Address: 31 Syresham Gardens, Haywards Heath, West Sussex. RH16 3LB._
Date:
10 October 2024
Affinity Annual Report
1 January 2023 to 31 December 2023
## Statement of financial activities
## 1 January 2023 to 31 December 2023
|Notes
**Incoming resources**
Donations
2
Charitable Activities
3
Other
4
**Total**
**Resources expended**
Charitable Activities
5
**Total**
**Operating gain/(loss)**
_Correcting error from previous year_
6
**Net movement in funds**
**Total funds brought forward**
**Total funds carried forward**|Unrestricted
funds
Restricted
funds
Total 2023
funds
Total 2022
funds
£
£
£
£
68,413
0
68,413
47,228
13,830
0
13,830
7,000
3,373
0
3,373
0|
|---|---|
||85,616
0
85,616
54,228
78,574
0
78,574
62,298|
||78,574
0
78,574
62,298|
||7,042
0
7,042
(8,070)|
||481
481
0|
||7,523
0
7,523
(8,070)|
||24,375
0
24,375
32,445|
||31,898
0
31,898
24,375|
Affinity Annual Report
1 January 2023 to 31 December 2023
## Balance sheet
## As at 31 December 2023
|||2023|2022|
|---|---|---|---|
|||£|£|
|**Current assets**||||
|Debtors||10|117|
|Cash at bank and in hand||35,554|26,300|
||Total|35,564|26,417|
|**Creditors**||||
|Supplier Accounts Payable||(2,025)|(44)|
|Payroll Liabilities||(1,640)|(1,998)|
||Total|(3,665)|(2,042)|
|**Total net assets**||31,898|24,375|
|**Total fund balances**||||
|Unrestricted funds||31,898|24,375|
|Restricted funds||0|0|
|||31,898|24,375|
**Approved by the trustees on:** 26 September 2024
**Signed on their behalf:**
Thomas Brand _Chair_
Affinity Annual Report
1 January 2023 to 31 December 2023
## Notes to the financial statements
## 1 January 2023 to 31 December 2023
## **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**
|**2. Donations**|||
|---|---|---|
||2023|2022|
||£|£|
|Corporate members|36,791|28,912|
|Church members|3,905|4,963|
|Agency members|9,070|7,875|
|Affiliates|3,683|2,219|
|Grants received|11,000|0|
|Other one off donations|3,398|3,017|
|Gift Aid reclaimed|566|242|
||68,413|47,228|
||||
## **3. Charitable Activities - Income**
|**3. Charitable Activities - Income**|||
|---|---|---|
||2023|2022|
||£|£|
|Sale of resources|3,543|0|
|Recuperated costs from Council meeting|185|1,304|
|Training and events|942|0|
|Theological Study Conference|9,060|5,696|
|Speaker honorarium|100|0|
||13,830|7,000|
||||
Affinity Annual Report
1 January 2023 to 31 December 2023
## **4. Other income**
|**4. Other income**||
|---|---|
||2023
2022|
|Administrative secondment
Interest earned|£
£
3,325
0
48
0|
||3,373
0|
## **5. Charitable Activities - Expenditure**
||Notes|2023|2022|
|---|---|---|---|
|||£|£|
|Employee costs|a|38,102|37,279|
|Public and media engagement||6,005|6,000|
|Publications||5,877|3,513|
|Partnership initiatives||2,021|3,798|
|Training and events||1,461|247|
|Communications||1,920|6,461|
|Charity management costs||3,299|3,201|
|Theological Study Conference||19,889|1,800|
|||78,574|62,298|
|||||
## **5a. Employee costs**
||2023|2022|
|---|---|---|
||£|£|
|Payroll costs|36,831|35,500|
|Pension contributions|1,271|1,779|
||38,102|37,279|
||||
## **6. Correcting an error from the previous financial year**
In the 2022 financial statements, employer pension contributions were incorrectly recorded. Specifically, these contributions were erroneously doubled in the expense account without being properly deducted from the liability account, resulting in an overstatement of expenses by £481. This error has been rectified in the current accounts, ensuring that the financial records are now accurate.
## **7. Custodian & charity trustees’ remuneration**
During the period payments of £256.36 (2022 - £118.60) were made to 3 trustees (2022 - 1 trustee(s)) in respect of the reimbursement of travelling expenses incurred by trustees attending meetings or events on behalf of Affinity.
During 2023, 1 trustee (2022 - 0) recieved remuneration of £300 (2022 - £0) for speaking at an Affinity event.
The trustees received no other remuneration in their capacity as trustees of the charity.
Affinity Annual Report
1 January 2023 to 31 December 2023