## Union Church, Sheffield ## Report and Accounts Period commencing 26 January 2021 and ending 31 March 2022 1 Lamb's Passage, London EC1Y 8AB www.stewardship.org.uk ## **UNION CHURCH, SHEFFIELD** ## **LEGAL & ADMINISTRATIVE DETAILS** ## **FOR THE PERIOD ENDED 31 MARCH 2022** |ADDRESS FOR CORRESPONDENCE|ADDRESS FOR CORRESPONDENCE|41 Granby Road| |---|---|---| |||Sheffield| |||S5 6WD| |GOVERNING DOCUMENT||Constitution for a CIO dated 26 January 2021| |CHARITY REGISTRATION NUMBER||1193249| |TRUSTEES RESPONSIBLE|FOR|Fraser Davies| |MANAGING THE CHARITY||Christopher Richardson (appointed 7 November 2021)| |||Dr David Hillson| |||Dr Sarah Goodwin| |||Samuel McWhirter| |||Charles Allison (resigned 1 August 2021)| |||(except as noted, all of the above trustees served for the| |||whole period)| |INDEPENDENT EXAMINER||Ajay Rajani FCIE| |||Stewardship| |||1 Lamb's Passage| |||LONDON| |||EC1Y 8AB| |||**INDEX**| |Page 1|Legal & Administrative Details|| |Pages 2-5|Trustees' Report|| |Page 6|Independent Examiner's Report|| |Page 7|Receipts and Payments Account|| |Page 8|Statement of Assets & Liabilities|| |Page 9|Notes to the Accounts|| Page 1 ## **UNION CHURCH SHEFFIELD** ## **REPORT OF THE TRUSTEES** ## **FOR THE PERIOD END 31 MARCH 2022** The Trustees have pleasure in submitting the Report and Accounts for the charity’s first period of account, which commenced on 26 January 2021 and ended on 31 March 2022. The charity’s activities were undertaken by Sharrowvale Wesleyan Reform Church until 31 March 2021 when these activities were then transferred to the charity. ## Objects of the charity The charity, which is a church, is governed by a constitution and is constituted as a charitable incorporated organisation. The charity's principal objects, as set out in its governing document, are: - the advancement of the Christian faith in accordance with the Basis of Faith primarily but not exclusively within Sheffield and the surrounding neighbourhood; and - 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 recreation 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. ## Summary of the charity's main activities and achievements To further the above objects and vision, the charity's main activities and achievements were as follows: This past year Union Church Sheffield has: - provided opportunities for church members to deepen their understanding of the Christian faith and also for the wider public to be introduced to Christian faith through online (during COVID) and in-person meetings (i.e. weekly Sunday gatherings & midweek small groups). We have recently been thinking and learning about topics such as living wisely and making meaningful connections. - been particularly glad to recognise three of our young people as Christian believers in their own right through their decisions to be baptised. Page 2 - given pastoral care and training for church members as they seek to live according to the Christian faith enabling them to serve and enrich wider society through their places of employment and education. - enabled some church members to access theological and pastoral training from other Christian ministries (i.e. Bible Training Yorkshire & Biblical Counselling UK). - seen church members developed and given responsibility within the church; with the appointment of 1 new Elder and 7 new Deacons. These men and women are being supported to take leadership and pastoral responsibility for others. - grown overall in membership; with 8 new members becoming actively involved in the church in the past year. - seen small groups within the church begin to find their feet post-covid. Groups are actively looking for, and taking, opportunities to support their local communities. They are also beginning to find good ways of helping non-members to understand Christian beliefs. - organised and run activities for youth and children that deepen their understanding of the Christian faith through a weekly youth club, bible studies, weekend away and holiday bible club. We were especially happy to see our lively holiday bible club cater for our children, their friends, children from the Chinese Church, and children from the general public. Many of our members and teenagers helped with this club in a variety of roles and it was great to see them all working together. - supported financially and pastorally individuals (i.e. mission partners) who are serving churches overseas; in particular two church members who are involved in bible translation in Nigeria. In planning the activities the Trustees have applied the guidance on public benefit issued by the Charity Commission. ## Financial review This is the first year of operating as an independent CIO. We do have comparatives from the previous charity, which are included here. Overall, income in this first period was £159,235. During the year unrestricted income from recurring sources increased by £10,663, to £79,882. In addition the charity received £44,402 from Sharrowvale Wesleyan Reform Church when Union Church commenced operating and it received restricted income of £34,951 from Grace Church, Waco to fund the employment of one of the church’s ministers. Page 3 Overall, expenditure in this first period was £93,202. Unrestricted expenditure increased by £519, to £61,857 and the charity incurred restricted expenditure of £31,345 on the employment of the minister funded by Grace Church, Waco. As a result the charity has reported a surplus of £61,665 on unrestricted funds (or £18,025 if the cash received from Sharrowvale is deducted). From this surplus, £13,842 has been set aside in a designated reserve fund. The surplus on restricted funds was £4,368. Overall cash held by the church at the year end for its activities increased by £21,631 to £66,033. ## Reserves policy The trustees have determined that the charity should aim to hold unrestricted cash of no less than £13,842 (which equates to three months payroll and mission partner expenditure) so that the charity could continue to operate should income and / or expenditure vary adversely. At the year-end, the charity held unrestricted cash of £61,665 and the charity is complying with its reserves policy. ## COVID-19 The COVID-19 pandemic did limit some of our activities earlier on in the year due to restrictions and our desire to limit the spread of infection. We only began to meet indoors, in-person from September 2021. Whilst this did impact how we delivered on our activities, we were still able to meet our overall charitable aims by providing online meetings (via Zoom) and teaching and training through smaller groups. We even ventured to have some meetings outside, when guidance allowed, which was well received (and surprisingly dry!). We also managed some creative ways of connecting with friends and neighbours through online activities, such as a Zoom craft group. We had to adapt our management of staff by meeting online but digital ways of meeting did enrich our ways of working as there was a greater availability for working together. We also found that there was great benefit in moving a regular prayer meeting online as standard. There was little impact of COVID-19 on our finances, and there were some savings related to the cost of venue hire, and other costs related to running in-person meetings. Page 4 ## Governance Responsibility for setting policy and for making operating decisions rest with the trustees, who meet regularly to monitor the activities of the charity. They are familiar with their legal duties and the respective Charity Commission 5-minute guides. Responsibility for the day-today operation of the charity has been delegated to the elders. New trustees are recruited and appointed by the existing trustees, subject to a vote indicating approval by 75% of church membership. A more detailed account of the procedure can be found in our church handbook. ## Risk statement The charity is exposed to various risks - be they operational, financial or reputational. The trustees review the charity's activities regularly to identify significant risks and, where possible, they take appropriate measures to monitor and manage those risks. ## Financial responsibilities of trustees Charity law requires us as Trustees to prepare financial statements for each accounting year which record the receipts and payments of the charity for the year. We are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and enable us to ensure that the financial statements comply with the Charities Act 2011. We also have a responsibility to safeguard the assets of the charity and to take reasonable steps to prevent fraud or any other irregularities. ## Approval This report was approved by the trustees and signed on their behalf by: **Fraser Davies Samuel McWhirter** Fraser Davies Samuel McWhirter Chair of Trustees Pastor/Elder/Trustee Date: 26 June 2022 Date: 26 June 2022 Page 5 ## **INDEPENDENT EXAMINER'S REPORT** ## **TO THE TRUSTEES OF** ## **UNION CHURCH, SHEFFIELD** I report to the trustees on my examination of the accounts of Union Church, Sheffield ('the charity') for the period ended 31 March 2022 on pages 7 to 9 following. ## **Responsibilities and basis of report** As the trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the 2011 Act’). I report in respect of my examination of the charity’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 2011 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 accordance with section 130 of the 2011 Act; or 2. the accounts do not accord with the accounting records. I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in order to enable a proper understanding of the accounts to be reached. Ajay Rajani FCIE Stewardship 1 Lamb's Passage LONDON EC1Y 8AB Date: 30 June 2022 Page 6 ## **UNION CHURCH, SHEFFIELD** ## **RECEIPTS AND PAYMENTS ACCOUNT** ## **FOR THE PERIOD ENDED 31 MARCH 2022** |Notes
**_Income receipts_**
Donations
Gift aid receipts
Grants from Sharrowvale Christian Fellowship
Grants from Grace Church, Waco
Bank interest
Other income
**_Total receipts_**
**_Payments_**
2
3
**_Total payments_**
Transfers between funds
5
**Net movement in funds**
Cash funds as at last year end
**Cash funds at this year end**
A
Net of receipts / (payments) before transfers
Grants paid in
relation to
charitable activities
undertaken by others
Payments
in
relation
to
charitable
activities
undertaken directly|General
Designated
Funds
Funds
£
£
67,050
-
12,613
-
43,640
-
-
-
69
-
150
-
123,522
-
54,943
-
6,914
-
61,857
-
61,665
-
(13,842)
13,842
47,823
13,842
-
-
47,823
13,842
Unrestricted Funds|Restricted
Funds
£
-
-
762
34,951
-
-
35,713
31,345
-
31,345
4,368
-
4,368
-
4,368|2021
£| |---|---|---|---| ||||67,050
12,613
44,402
34,951
69
150| ||||159,235| ||||86,288
6,914| ||||93,202| ||||66,033
-| ||||66,033
-| ||||66,033| The notes on page 9 forms part of these accounts. Page 7 ## **UNION CHURCH, SHEFFIELD** ## **STATEMENT OF ASSETS AND LIABILITIES** ## **FOR THE PERIOD ENDED 31 MARCH 2022** ||||Unrestricted|Funds|||| |---|---|---|---|---|---|---|---| ||||General|Designated||Restricted|| ||||funds||funds|funds|2021| |||Notes|£||£|£|£| |**A**|**Cash funds**||||||| ||Bank current account||17,206||-|4,368|21,574| ||Bank deposit account||30,617|13,842||-|44,459| ||||**47,823**|**13,842**||**4,368**|**66,033**| |**B**|**Other monetary assets**||-||-|-|-| |**C**|**Liabilities**||-||-|-|-| ## **D Assets retained for charity's own use** |**ets retained for charity's own use**||| |---|---|---| |Equipment fund|Fund to
which asset
belongs
Unrestricted|Current
value
£| |||4,000| The trustees have used insurance value as an approximation for current value. ## **E Guarantees and secured debts** The charity has not given any guarantees and has not provided its assets as security for any liabilities. The accounts were approved by the trustees and signed on their behalf by: ## **Samuel McWhirter Fraser Davies** Samuel McWhirter - trustee Fraser Davies - trustee Date: 26 June 2022 The notes on page 9 forms part of these accounts. Page 8 ## **UNION CHURCH, SHEFFIELD** ## **NOTES TO THE ACCOUNTS** ## **FOR THE PERIOD ENDED 31 MARCH 2022** ## **1 Accounting policies** The accounts have been prepared on a receipts and payments basis and comprise a statement that shows the charity's receipts and payments, a statement that summarises the charity's assets and liabilities and related notes. The accountancy profession have determined that only accounts prepared in accordance with applicable accounting standards present a 'true and fair' view and, as these receipts and payments accounts have not (and cannot) be prepared in accordance with accounting standards, these accounts do not present (and are not intended to present) a 'true and fair' view of the charity's financial activities and state of affairs. General funds are unrestricted funds which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity. Designated funds comprise unrestricted funds that have been set aside by the trustees for particular purposes. Restricted funds are donations which are to be used in accordance with specific restrictions imposed by donors; they include donations received from appeals for specific activities or projects. |**2**
**Payments in relation to charitable activities undertaken directly**
Staff costs
Venue hire and other meeting expenses
Training
Outreach
Administrative expenses
IT & communications
**3**
**Grants paid in relation to charitable activities undertaken by others**
Giving to mission partners
Giving to other partners||Unrestrict|Designated
funds
£
-
-
-
-
-
-
-
-
-
-
ed Funds|Restricted
Funds
£
28,512
-
-
-
2,833
-
31,345
-
-
-|Total
2021
£| |---|---|---|---|---|---| |||General
funds
£
44,335
5,190
3,402
80
1,479
457
54,943
5,866
1,048
6,914|||| ||||||72,847
5,190
3,402
80
4,312
457| ||||||86,288| ||||||5,866
1,048| ||||||6,914| ## **4 Transactions with related parties** Samuel McWhirter served as church leader and was paid employment benefits totalling £36,000 for serving in that capacity, not for serving as a trustee; these payments are permitted by the charity's governing document. ## **5 Movement on funds** |_Unrestricted general funds_
_Unrestricted designated funds_
Reserve fund
_Restricted funds_
Residency fund
Total funds|Opening
balance
£
-
-
-
-|Receipts
£
123,522
-
35,713
159,235|Payments
£
(61,857)
-
(31,345)
(93,202)|Transfers
£
(13,842)
13,842
-
-|Closing
balance
£
47,823
13,842
4,368| |---|---|---|---|---|---| ||||||66,033| The **Reserve** fund represents fund set aside by the trustees to help cover spending commitments (in particular staff employment and mission partner support) for a period of time should income vary adversely. The **Residency** fund was created from grants received from Grace Church Waco to employ a Church Planting Resident. Page 9