Parish of St Mary’s Charlbury with All Saints’ Shorthampton
2023 Financial Review and Financial Statements
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FINANCIAL REVIEW
OVERVIEW
2023 had the makings of a very difficult year given the impact that global events were having on the UK economy and the cost of living. In particular, the soaring cost of energy prices at the turn of the year meant that it was anticipated that the annual utility bills would treble from previous years and, to balance the forecast budget for the year, a very ambitious fundraising target had been set which far surpassed anything that had been achieved in the past. On top of this, a new kitchen was to be built in St Mary’s and a separate fundraising initiative was also required.
In the event, a variety of factors meant that the church finances at the end of the year were little changed from those at the start of the year. Overall, the value of parish funds fell by 5.8% but the General Fund, which covers the day to day operational costs of the parish, actually rose by 14% -- -although a number of commitments for 2023 have had to be carried forward to 2024 (including a Q4 electricity bill for St Mary’s and a grant for redecoration of the vicarage) and so the true picture is more one of “no change” to the General Fund. Even so, once these additional charges are taken into account, the General Fund continues to meet the PCC policy of maintaining a balance equating to 3 months operational expenditure.
UNRESTRICTED FUNDS
Unrestricted Funds comprise: (1) the General Fund for day-to-day expenditure and (2) designated funds, which finance particular church activities.
General Fund
A number of factors led to expenditure, somewhat unexpectedly, being less than anticipated. Not having a parish priest not only meant that our Parish Share was reduced by 10% but that clergy expenses were dramatically reduced. Perhaps associated with this, spending on church and outreach activities, and on parish administration, was also reduced. These savings were partly offset by some unplanned bills for churchyard maintenance and, of course, for the anticipated increased costs for electricity and gas. Fortunately, the prohibitively expensive utility contract, arranged for us through the Parish Buying scheme, ended in September and a new, 2-year contract, promises to be much more acceptable.
Income from planned giving and other sources remained pretty much as normal although it was a little disappointing to note that bookings for the use of the churches – both for wedding/funeral services and for other events – were down from previous years. However, these losses were more than offset by a wonderful fundraising effort throughout the year – culminating in a hugely successful Christmas Tree Festival -- which more than met the, already ambitious, target set in the budget.
Designated Funds
Designated Funds comprise:
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-
The Font Fund receives takings from the weekly Font Café. This is now a regular fixture on the Church’s weekly calendar and is well supported.
-
The Commemoration Flowers Fund raises money for the purchase of flowers in memory of loved ones and has been little used throughout the year.
-The Legacies Fund established in 2019 to ensure legacies were used in line with the wishes of the donors to sustain and strengthen the Church ministry and facilities, has not been used in 2023.
- St Mary’s Projects Fund , which had been dormant for a year or two, was used to consolidate paying for the building of a new kitchen in St Mary’s. The work, which is more or less completed, has largely been funded through grants from a variety of agencies, topped up with donations raised from the local community. Some additional funds can be anticipated from VAT reimbursements and any remaining shortfall will be covered by payments from the St Mary’s Fabric Fund and, where appropriate, the Legacies Fund.
RESTRICTED FUNDS
Restricted Funds comprise:
-
St Mary’s Fabric Fund has been used to pay for the installation of a defibrillator at the church and for the purchase of an oven for the new kitchen. These were largely paid for from individual donations. The Fund remains available to make good any shortfall in funding for the kitchen.
-
All Saints’ Fabric Fund has benefitted from the resurrecting of The Friends of Shorthampton, which encourages regular donations from parishioners, and from a very successful fundraising concert held at the Church. Money has been spent on the purchase of new benches, minor repairs to the organ and on a tree to commemorate the King’s coronation.
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Organ Fund was used to purchase sheet music for use by the choir at St Mary’s.
-Memory Fund continues to run a regular café to provide support and counselling for those members of the local community with memory loss or dementia.
- Cornerstone Fund has, again, been well supported by individuals and by a number of grant-making organizations. As a result, it has been able to expand the scope of the support it can offer to those in need within the town of Charlbury. As well as continuing to run a community shop, where local or excess produce is available to all, and continuing to help children through its Learning Café and grants for the purchase of school uniforms, it has also made some much needed grants to help families pay the cost of soaring utility bills during the winter months.
OUTLOOK FOR 2024
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It is anticipated that the coming year will continue to provide financial challenges that will require considerable fundraising efforts if we are to meet all our commitments, and this is reflected in a new budget for 2024 which awaits input from our new vicar and subsequent PCC approval.
P J DURRANT PCC Treasurer
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Parish of St. Mary’s Charlbury with All Saints’ Shorthampton
Financial Statements for the Year Ended 31 December 2023
STATEMENT OF FINANCIAL ACTIVITIES
| Unrestricted | Funds | Restricted Funds | Total | Total | |
|---|---|---|---|---|---|
| General | Designated | 2023 | 2022 | ||
| Income from : | |||||
| Donations + legacies | 85762 | 42050 | 40850 | 168662 | 109215 |
| Income from Charitable activities | 18907 | 18907 | 15770 | ||
| Investments | 799 | 799 | 197 | ||
| Other income | 1138 | 1960 | 3098 | 26497 | |
| Charitable donation | -125 | -125 | |||
| Total income from : | 106481 | 44010 | 40850 | **191341 ** | 151679 |
| Expenditure on : | |||||
| Raising funds | 1041 | 1041 | 302 | ||
| Expenditure on Charitable Activities | 96751 | 44522 | 141273 | 161373 | |
| Other Expenditure | 5570 | 50154 | 55724 | 13990 | |
| Total Expenditure on : | 103362 | 50154 | 44522 | **198038 ** | 175665 |
| Net Income/Expenditure | 3119 | -6144 | -3672 | **-6697 ** | -23986 |
STATEMENT OF ASSETS AND LIABILITIES
| Total 2023 | Notes | 2022 | |
|---|---|---|---|
| Current Assets - Cash at Bank and in Hand | |||
| Santander - Current Account | 33719 | 24947 | |
| CAF Bank Current Account | 52897 | 71357 | |
| CAF Bank Gold Account | 4001 | ||
| CCLA (CBF) - deposit account | 16531 | 16531 | |
| Cash in Hand | 0 | 1010 | |
| Agency Collection/Opening Balance | 126 | 126 | |
| TOTAL | 107274 | 113971 | |
| Liabilities -Agency accounts | |||
| Agency collections | 0 | 0 | |
| TOTAL | 0 | 0 | |
| Net Total Assets | 107274 | 113971 |
The attached notes form part of these financial statements:
See Note 3 for movements in unrestricted and restricted funds during the year.
See Note 4 for details of agency collections.
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See Notes 5-7 for more detailed breakdowns of income and expenditure.
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Parish of St. Mary’s Charlbury with All Saints’ Shorthampton
Financial Statements for the Year Ended 31 December 2023
NOTES
Note 1. The financial statements have been prepared in accordance with the Church Accounting Regulations 2006 using the Receipts and Payments Basis.
Note 2. Figures shown for 2023 have been revised to be consistent with the revised nominal accounts categories that were introduced in 2009.
Note 3. The distribution of monetary assets between unrestricted and restricted funds and the movement in funds during 2023 is shown in Table 1 below.
Table 1 : Movement in Restricted and Unrestricted Funds (excluding Agency operations)
| Fund Type and Title | Fund Balance B/F |
Restated after prior year adjustment |
Restated after prior year adjustment |
Notes | Incoming Resources |
Outgoing Resources |
Fund Balance C/F |
|---|---|---|---|---|---|---|---|
| Unrestricted funds | |||||||
| General Fund | 29328 | 106481 | 103362 | 32447 | |||
| SM Projects Fund (Kitchen) | 0 | 42050 | 49867 | -7817 | |||
| Legacies Fund | 4453 | 0 | 0 | 4453 | |||
| Font Fund | 10817 | 1960 | 122 | 12655 | |||
| Commemoration fowers Fund | 21 | 0 | 165 | -143 | |||
| Sub-Totals - Unrestricted Funds | 44619 | 0 | 150491 | 153516 | 41595 | ||
| Restricted Funds | |||||||
| SM Fabric Fund | 18291 | 2107 | 3719 | 16679 | |||
| AS Fabric Fund | 9939 | 8909 | 4065 | 14783 | |||
| Organ Fund | 491 | 0 | 204 | 287 | |||
| Cornerstone | 39335 | 29834 | 36253 | 32916 | |||
| MemoryFund | 1296 | 0 | 281 | 1015 | |||
| Sub Totals Restricted Funds | 69352 | 0 | 40850 | 44522 | 65680 | ||
| TOTALS ALL FUNDS | 113971 | 0 | 191341 | 198038 | 107275 |
Note 4: Agency operations are activities that are not included in the Financial Statements since money received is paid over in full to a third party. In previous years, this has included money collected by the PCC on behalf of the Diocese for wedding and funeral fees as well as fees for the vergers, organist and gravediggers. This year, there are no agency operations’ transactions and the amount of £126 carried forward from last year, and shown as “Agency Collection/Opening Balance” in the Statement of Assets and Liabilities will be cleared in 2024.
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Parish of St. Mary’s Charlbury with All Saints’ Shorthampton
Financial Statements for the Year Ended 31 December 2023
Note 5: Table 2 shows income and expenditure during 2023 broken down between the different fund groups. The General Fund is used primarily to finance the PCC’s operational costs.
Table 2 : Income and Expenditure by Group
| Unrestricted | Funds | Restricted | |||
|---|---|---|---|---|---|
| General | Desgnated | Funds | Total 2023 | Total 2022 | |
| Income | |||||
| Planned Giving | 61120 | 61120 | 58604 | ||
| Other Giving | 10895 | 6675 | 5011 | 22581 | 13549 |
| Gift Aid Recovery | 13746 | 375 | 785 | 14906 | 15835 |
| Grants | 0 | 35000 | 286~~9~~ | 37869 | 8405 |
| Fund Raising Activities/Events | 15343 | 2351 | 17694 | 15769 | |
| Fees Income | 2889 | 2889 | 7170 | ||
| Legacies | 0 | 0 | 0 | ||
| Cornerstone Initiative | 29834 | 29834 | 32150 | ||
| Other income | 2488 | 1960 | 4448 | 197 | |
| Total Income | 106481 | 44010 | 40850 | 191341 | 151679 |
| Expenditure | |||||
| Parish Share | 51966 | 51966 | 58985 | ||
| Clergy Expenses | 357 | 357 | 4763 | ||
| Church and Outreach | 1740 | 287 | 513 | 2540 | 3078 |
| Parish Administration + Ofce Expenses | 13567 | 13567 | 20351 | ||
| Utilities and Insurance | 16785 | 16785 | 9498 | ||
| Church and Churchyard | 14794 | 14794 | 8287 | ||
| Cleaning/Maintenance | 2008 | 2008 | 7542 | ||
| Major Building Repairs + Improvements | 49867 | 7756 | 57623 | 33285 | |
| Fund Raising Costs | 1042 | 1042 | 301 | ||
| Cornerstone | 36253 | 36253 | 29135 | ||
| Other Expenditure | 1103 | 1103 | 438 | ||
| Total Expenditure | 103362 | 50154 | 44522 | 198038 | 175663 |
| Funds Balance | 3119 | -6144 | -3672 | -6697 | -23984 |
Note 6: Table 3 shows the distribution of capital spending on building repairs and improvements.
Table 3: Capital Expenditure by Fund
| General Fund | SM Project/ | SM Fabric | AS Fabric | Total Capital | Total Capital | ||
|---|---|---|---|---|---|---|---|
| Reserves | Kitchen Fund | Fund | Fund | Expenditure | Expenditure | ||
| 2023 | 2023 | 2023 | 2023 | 2023 | 2022 | ||
| St Mary's Charlbury | |||||||
| Building Repairs and improvements | 49867 | 3719 | 53586 | 5298 | |||
| All Saints Shorthampton | |||||||
| Building Repairs and improvements | 4065 | 4065 | 27986 | ||||
| 49867 | 7784 | 0 | 57651 | 33284 |
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Parish of St. Mary’s Charlbury with All Saints’ Shorthampton
Financial Statements for the Year Ended 31 December 2023
Note 7: The General Fund is used primarily to finance the operational budget of the PCC. Table 4 provides a more detailed breakdown of General Fund income and expenditure by category.
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| Table 4: General Fund - Operational Income and Expenditure (Detailed) | Table 4: General Fund - Operational Income and Expenditure (Detailed) | |
|---|---|---|
| Operational Income (General Fund) | 2023 | 2022 |
| Planned Giving | 61120 | 58605 |
| Parish Giving Scheme | 48485 | 48206 |
| Standing Orders | 12185 | 7445 |
| Envelopes | 646 | |
| Other Plannd giving | 450 | 2308 |
| Other Giving | 10895 | 10862 |
| One of donations | 3395 | 4371 |
| Collections at Services | 5466 | 5043 |
| Wall Boxes and Card Reader | 2034 | 1448 |
| Gift Aid Recovery | 13746 | 15707 |
| Grants | 0 | 6838 |
| Fund Raising Activities | 15343 | 9795 |
| PCC Fees (Weddings + Funerals) | 2889 | 4881 |
| Hire and use of Church Facilities | 676 | 2290 |
| Investment Income | 799 | 197 |
| Other Receipts | 1013 | 0 |
| Total Operational Income | 106481 | 109175 |
| Operational Expenditure (General Fund) | ||
| Parish Share | 51966 | 58985 |
| Clergy and Assistants Expenses | 357 | 4763 |
| Church and Outreach Actiivities | 1740 | 3078 |
| Parish Administration | 13567 | 18054 |
| Administrators' Services | 10453 | 9687 |
| Ofce Equipment + Consumables | 2504 | 6032 |
| Photocopying + Printing + IT support | 0 | |
| Other Ofce Costs | 610 | 2335 |
| Utilities | 11215 | 6499 |
| Elctricity | 2541 | 1088 |
| Gas | 7829 | 3114 |
| Telephone + Internet | 845 | 2297 |
| Church Cleaning | 2008 | 1424 |
| Building Maintenance + Minor Repair | 6813 | 10762 |
| Equipment Repairs /Maintenance | 0 | 0 |
| Churchyard Maintenance | 7981 | 3642 |
| Insurance | 5570 | 5297 |
| Fundraising Costs | 1042 | 301 |
| Other PCC expenses | 1103 | |
| Total Operational Expenditure | 103362 | 112805 |
| Excess of Income over Expenditure | 3119 | -3630 |
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Parish of St. Mary’s Charlbury with All Saints’ Shorthampton
Financial Statements for the Year Ended 31 December 2023
Independent Examiner’s Report to the PCC of St. Mary’s Charlbury
with All Saints’ Shorthampton
This report on the financial statements of the PCC for the year ending 31[st] December 2023, which are set out in Appendix 1 to the PCC Annual Report for 2023, is in respect of the examination carried out in accordance with Church Accounting Regulations and Section 43 of the Charities Act 1991.
Respective Responsibilities of the PCC and the Examiner
As members of the PCC you are responsible for the preparation of the financial statements. You consider that the audit requirement of the Regulations and the Section 43(2) of the Act do not apply (income/expenditure above £250,000). It is my responsibility to issue this report to those financial statements in accordance with the terms of the Regulations.
Basis of this Report
My examination was carried out in accordance with the directions given by the Charity Commission under section 43(7)b of the Act to be found in the Church Guidance 2006 edition issued by the Archbishop’s Council. The examination includes a review of the accounting records kept by the PCC. It also includes considering any unusual terms or disclosures in the financial statements and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the view given by the accounts.
Independent Examiner’s Statement
In connection with my examination, no matter has come to my attention:
(i) which gives me cause to believe that in any material respect the requirements to keep accounting records in accordance with Section 41 of the Act and to prepare financial statements which comply with the Act have not been met; or
(ii) to which in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to have been reached.
Mr Tony Morgan
Independent Examiner 30 January 2024