Ebenezer Reformed Chapel, Luton
Report and Accounts Year ended 26 March 2023
EBENEZER REFORMED CHAPEL, LUTON
CHARITY INFORMATION
FOR THE YEAR ENDED 26 MARCH 2023
Trustees Dr Garry John Williams Paul James McEachran James Geoffrey Thomas Rhodes Benedict Bird All the trustees were appointed 20 May 2021 when the charity was registered. Governing Document Constitution dated 20 May 2021 Charity Registration Number 1194544 Principal Address 125 Farley Hill Luton LU1 5EQ Independent Examiner Ajay Rajani FCIE Stewardship 1 Lamb's Passage London EC1Y 8AB Bankers National Westminster Bank plc
| Contents | Page |
|---|---|
| Charity Information | 1 |
| Trustees' Annual Report | 2-4 |
| Independent Examiner's Report | 5 |
| Statement of Financial Activities | 6 |
| Balance Sheet | 7 |
| Notes to the Accounts | 8-12 |
| Detailed Statement of Financial Activities with Comparatives | 13 |
Page 1
Ebenezer Reformed Chapel, Luton
Trustees’ Annual Report for the period 27[th] March 2022 to 26th March 2023
Charity name: Ebenezer Reformed Chapel, Luton Charity registration number: 1194544 Charitable Incorporated Organisation (CIO) number: CE025182
Objectives
The objects of the CIO are:
(a) To advance the Christian religion in accordance with the Statement of Beliefs of Ebenezer Reformed Chapel in Luton and in other parts of the United Kingdom or the world as the trustees from time to time think fit and to fulfil such other purposes which are exclusively charitable according to the law of England and Wales and are connected with the charitable work of the Trust.
(b) To relieve persons who are in conditions of need or hardship or who are aged or sick and to relieve the distress caused thereby in Luton and in such other parts of the United Kingdom or the world as the trustees may from time to time think fit.
Activities
The CIO was incorporated and registered as a charity on 20[th] May 2021.
The financial year ending on 26[th] March 2023 was the second year of the CIO’s existence and as such the activity involved the final stages of preparing for the normal operation of the CIO. There were two main areas of activity: the core of the new congregation met monthly for planning meetings, and work continued toward the purchase of the Ebenezer Chapel buildings in south Luton.
In this preparatory work the trustees have had regard to the guidance issued by the Charity Commission on public benefit. They consider that the preparations have all been necessary to facilitating the activity of the CIO in the community in Luton and thereby to provide significant public benefit.
Achievements and Performance
Significant progress was made during this year, in three main areas: exploring the character of the new church with the core group, advancing toward the purchase of the Chapel buildings, and employing the Minister.
The core group continued to grow, largely through word of mouth. Garry Williams and Paul McEachran, trustees, continued to spend time meeting with individuals and speaking to them about the new church. The monthly pre-launch meetings began on 19[th] June 2022. They included updates on progress, singing praise to God, prayer, and teaching on the nature and role of the Christian church. The topics covered included: the Bible as the basis for Ebenezer Chapel; the theocentric character of the church; the centrality of the death and resurrection of Christ for the church; the necessity of repentance and faith; the content of corporate worship services; the church as the body of Christ, and being all things to all men in Chapel Langley and Farley Hill.
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We maintained good relationships and open communication with the owners of Ebenezer Chapel. By God’s grace enough money was given in response to fundraising to make the purchase of the buildings viable, the resulting responsibility for them sustainable, and some improvements possible.
Regular giving from within the core group was sufficient to sustain employing Revd Dr Garry Williams for two days a week as the Minister from January 2023.
Financial Review
The CIO had close to zero funds in the account at the start of the 2022-23 financial year having previously raised and spent money on surveying and inspecting the building.
During the year the Lord graciously provided £410,000 through fundraising for the building purchase, repairs, and improvements. From this the CIO spent £9,000 on building related professional fees and, at the year end (26[th] March 2023), the unspent balance on the restricted building fund was £401,000. In the new financial year the CIO has completed the purchase of the Ebenezer Chapel buildings for approximately £300,000 and undertaken some essential renovation work which so far has cost about £20,000.
During the 2022-23 financial year the CIO also received unrestricted income of £22,000 from its supporters. From this the charity spent £10,000 on its other activities; this included employment costs totalling £5,000. At the year end the unspent balance on unrestricted funds was £12,000.
The charity ended the year with net assets of £413,000. This comprised cash of £405,000 (of which £391,000 was held by the restricted building fund) and other net current assets of £8,000 (represented mainly by a right to reclaim gift aid).
Reserves Policy
The trustees have determined that the CIO should aim to hold free reserves (which the trustees define to be unrestricted cash) of no less than £10,000 so that the charity could continue to operate smoothly should income and / or expenditure vary unexpectedly. At the year end, the CIO held unrestricted cash of £14,000 and the CIO is complying with its reserves policy. The policy for holding reserves will be revisited once the CIO is more established.
Structure, Governance and Management
The charity is a CIO governed by its Constitution.
All of the trustees in the year 2022-2023 were its first trustees. Subsequent appointments will include such people as may from time to time be appointed as Elders of the Chapel in accordance with the provisions of the Ebenezer Reformed Chapel Book of Church Order. Charity trustees who are not Elders of Ebenezer Reformed Chapel but are Elders of another church and who uphold the Statement of Beliefs of Ebenezer Reformed Chapel may be appointed. Charity trustees who are not Elders but who uphold the Statement of Beliefs of Ebenezer Reformed Chapel may be appointed, provided that such appointment does not result in non-Elder trustees constituting 50% or more of the trustees. The Minister of Ebenezer Reformed Chapel for the time being shall automatically be a charity trustee.
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Responsibilities of trustees under charity law
The trustees are responsible for preparing the trustees' annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Charity law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the charity as at the balance sheet date and of its incoming resources and application of resources for the financial year. In preparing these financial statements, the trustees are required to:
-
select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether the applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011 and the Charity (Accounts and Reports) Regulations 2008. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approval
This report was approved by the trustees and signed on their behalf by:
Signature: Garry John Williams
Full name: Garry John Williams Position: Chair Date: 24 January 2024
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INDEPENDENT EXAMINER'S REPORT
TO THE TRUSTEES OF
EBENEZER REFORMED CHAPEL, LUTON
('the Charity')
I report to the charity trustees on my examination of the accounts of the Charity for the year ended 26 March 2023 on pages 6 to 13 following, which have been prepared on the basis of the accounting policies set out on pages 8 and 9.
Responsibilities and basis of report
As the charity’s trustees of the Charitable Incorporated Organisation 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 Charity’s accounts carried out under section 145 of the 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
Since the Charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a Fellow of the Association of Charity Independent Examiners, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
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accounting records were not kept in respect of the Charity as required by section 130 of the Act; or 2. the accounts do not accord with those records; or
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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.
Ajay Rajani
Ajay Rajani FCIE Fellow of the Association of Charity Independent Examiners Stewardship 1 Lamb's Passage London EC1Y 8AB
Date: 24 January 2024
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EBENEZER REFORMED CHAPEL, LUTON
STATEMENT OF FINANCIAL ACTIVITIES
FOR THE YEAR ENDED 26 MARCH 2023
| Note INCOME AND ENDOWMENTS FROM: Donations and legacies 3 Investments 4 Total income and endowments EXPENDITURE ON: Charitable activities 5 Total expenditure Net income/(expenditure) Reconciliation of funds: Total funds brought forward Total funds carried forward 12 |
Unrestricted Funds £ 21,729 - 21,729 (9,884) (9,884) 11,845 209 12,053 |
Restricted Funds £ 409,790 125 409,915 (8,876) (8,876) 401,039 - 401,039 |
Total Funds 2023 £ 431,519 125 431,644 (18,761) (18,761) 412,883 209 413,092 |
Total Funds 2022 £ 3,090 - |
|---|---|---|---|---|
| 3,090 | ||||
| (2,881) | ||||
| (2,881) | ||||
| 209 - |
||||
| 209 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing operations.
The notes on pages 8 to 13 form part of these accounts.
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EBENEZER REFORMED CHAPEL, LUTON
BALANCE SHEET
AS AT 26 MARCH 2023
| Note CURRENT ASSETS Debtors 8 Cash at bank and in hand 9 CREDITORS: Amounts falling due within one year 10 TOTAL NET ASSETS FUND BALANCES 12 Unrestricted Funds General funds Designated funds Restricted Funds |
Unrestricted Funds £ 780 13,553 14,333 (2,280) 12,053 12,053 - 12,053 - 12,053 |
Restricted Funds £ 9,812 391,227 401,039 - 401,039 - - - 401,039 401,039 |
Total Funds 2023 £ 10,592 404,780 415,372 (2,280) 413,092 12,053 - 12,053 401,039 413,092 |
Total Funds 2022 £ - 209 |
|---|---|---|---|---|
| 209 - |
||||
| 209 | ||||
| 209 - |
||||
| 209 - |
||||
| 209 |
The financial statements were approved by the Board of Trustees and were signed on its behalf by:
Garry John Williams
Dr Garry John Williams - chair
Date: 24 January 2024
Charity number: 1194544
The notes on pages 8 to 13 form part of these accounts.
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EBENEZER REFORMED CHAPEL, LUTON
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 26 MARCH 2023
1 Statutory Information
The charity is a charitable incorporated organisation registered with the Charity Commission in England & Wales. The charity's registered number and principal address can be found on the Charity Information page.
2 Accounting Policies
These financial statements are prepared on a going concern basis, under the historical cost convention.
These financial statements have been prepared in accordance with the "Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) ("the Charities SORP"), with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland ("FRS 102") and with the Charities Act 2011. The charity meets the definition of a public benefit entity as set out in FRS 102.
The Charities (Accounts and Reports) Regulations 2008 (the '2008 Regulations') requires charities to prepare their accounts in accordance with 'Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005' but this accounting standard has since been withdrawn and has been replaced by the Charities SORP mentioned in the preceding paragraph. The charity has prepared these financial statements in accordance with the new Charities SORP; this departure from the 2008 Regulations is believed to be necessary for these financial statements to give a 'true and fair view'.
The previous year's accounts were prepared using the receipts and payments basis but this year, because the charity's income was more than £250,000, the charity was obliged to prepare its accounts using the accruals basis. Apart from it's bank balances, the charity did not have any other significant assets and liabilities at the previous balance sheet date (being the end of the charity's first reporting period) and the results reported previously have not had to be restated.
The principles adopted in the preparation of the financial statements are set out below.
a) Going concern
The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the charity to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the charity's forecasts and projections and the possible implications should projected income and / or expenditure vary unexpectedly. The trustees have concluded that there is a reasonable expectation that the charity has adequate resources to continue to operate for the foreseeable future. The charity therefore continues to adopt the going concern basis in preparing its financial statements.
b) Income
Income including investment income is recognised in the period in which the charity becomes entitled to receipt, the amount receivable can be measured with reasonable certainty, and receipt is probable. For the most part, income is generally recognised when it is received. Income is only deferred when the charity has to fulfil conditions before becoming entitled to it or where the donor has specified that the income is to be expended in a future period.
Income from donations includes recoverable gift aid, which is recognised when the related donation is received. Gift aid that has not been recovered by the balance sheet date is included as a debtor.
The charity relies on volunteers to carry out many of its activities, particularly meeting activities. However, in accordance with the SORP, the value of these services has not been included in these financial statements as they cannot be reliably measured.
Investment income represents income generated by the charity's assets and represents income from bank interest.
c) Expenditure
Expenditure, including irrecoverable VAT, is recognised when it is incurred or, if earlier, when a legal or constructive obligation for a payment arises provided that it is probable that settlement will be required and the amount of the obligation can be measured reliably.
The charity makes grants to other institutions and individuals to further its charitable objectives. Grants payable are recognised as constructive obligations arise, which is generally when the charity expresses a commitment to the recipient that can be measured reliably and then only to the extent that any conditions associated with the grant are outside of the control of the charity.
The cost of raising funds is not significant and has not been separately disclosed.
Governance costs, which are included in expenditure on charitable activities but are identified separately in the notes to the accounts, includes costs associated with the independent examination of the financial statements, compliance with constitutional and statutory requirements and any other expenditure incurred on the strategic management of the charity.
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EBENEZER REFORMED CHAPEL, LUTON
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 26 MARCH 2023
d) Fund accounting
- 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.
e) Pension scheme arrangements
The charity operates defined contribution pension schemes for its employees. Obligations for contributions to these schemes are recognised as an expense when the liability arises. The assets of these schemes are held separately from those of the charity in independently administered funds.
- f) Taxation The charity has taken advantage of the various reliefs from taxation available to charities and no tax is payable on the charity's income.
g) Financial instruments
The charity's financial assets and financial liabilities all qualify as basic financial instruments, as defined by FRS102. Except for loans, creditors and debtors are measured at their expected settlement value (normally the amount of cash that the charity expects to pay or receive). The charity recognises liabilities for the principal of those loans that remains outstanding at the year end (i.e. the liabilities exclude any interest chargeable on the loans in future years).
h) Exemption from preparing a cashflow statement
The charity has taken advantage of an exemption conferred by the Charities SORP and has not prepared a cash flow statement.
i) Critical accounting estimates and areas of judgement
The trustees do not consider that there are any material sources of estimation or uncertainty at the balance sheet date that could result in a material adjustment to the carrying values of assets and liabilities in the next reporting period.
3 Donations
| Donations of cash and similar Gift Aid claims 4 Investment income Bank interest 5 Charitable expenditure a Costs incurred directly on church activities Salaries and pensions Venue hire Miscellaneous expenses b Costs incurred on support & administration Governance costs Independent examiner's fee Printing, postage and stationery Travel expenses Bank charges Insurance c Preliminary expenditure on Chapel purchase and renovation Total expenditure |
2023 £ 393,444 38,075 431,519 2023 £ 125 2023 £ 5,039 960 624 6,623 2,040 141 172 (24) 153 2,482 9,656 9,656 18,761 |
2022 £ 3,090 |
|---|---|---|
| 3,090 | ||
| 2022 £ - |
||
| 2022 £ - - - |
||
| - | ||
| - - - 1 - |
||
| 1 | ||
| 2,880 | ||
| 2,880 | ||
| 2,881 |
The fee payable to the independent examiner for examining the accounts was £1,700 (2022: £nil): in addition the charity paid £276 (2022: £nil) to Stewardship for payroll bureau services.
Bank charges are negative due to the receipt of compensation.
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EBENEZER REFORMED CHAPEL, LUTON
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 26 MARCH 2023
6 Analysis of staff costs, the cost of key management personnel and trustee remuneration
| ysis of staff costs, the cost of key management personnel and trustee remuneration | ||
|---|---|---|
| Gross wages and salaries Pension costs |
2023 £ 4,731 142 4,873 |
2022 £ - - |
| - |
The average monthly number of employees during the year was 0.25 (2022: nil). Most of the charity's activities are carried out by volunteers.
No staff received salaries at a rate of more than £60,000 per annum.
The charity's key management comprise the trustees named on the Charity Information page. Total employment benefits payable to key management for the year were as follows:
| Other Employer Wages & employment pension salaries benefits contributions Dr Garry John Williams, who is a trustee 4,731 - 142 |
2023 £ 4,873 |
|---|---|
| 4,873 |
No employment benefits were paid to key management in the previous year.
Dr Garry John Williams served as Minister and received the above payments for serving in that capacity, not for serving as a trustee; these payments are permitted by the charity's governing document.
7 Tangible fixed assets
The charity did not own any fixed assets at the balance sheet date (2022: £nil).
8 Debtors
| Gift Aid recoverable Prepayments 9 Cash at Bank and in Hand Cash at bank with immediate access Notice deposits (with a term of three months or less) 10 Creditors: liabilities falling due within one year Accrued expenses |
2023 £ 10,550 42 10,592 2023 £ 204,655 200,125 404,780 2023 £ 2,280 2,280 |
2022 £ - - |
|---|---|---|
| - | ||
| 2022 £ 209 - |
||
| 209 | ||
| 2022 £ - |
||
| - |
11 Pension commitments
During the year employer’s pension contributions totalling £142 (2022: £nil) were payable to defined contribution personal pension schemes.
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EBENEZER REFORMED CHAPEL, LUTON
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 26 MARCH 2023
12 Funds
During the year the movements in the charity's funds were as follows:
| Designated Funds General Unrestricted Funds Total Unrestricted Funds Restricted Funds Building fund Aggregate of funds |
Opening balance 2023 £ - 209 209 - - 209 |
Incoming resources 2023 £ - 21,729 21,729 409,915 409,915 431,644 |
Outgoing resources 2023 £ - (9,884) (9,884) (8,876) (8,876) (18,761) |
Transfers in the year 2023 £ - - - - - - |
Gains and losses 2023 £ - - - - - - |
Closing balance 2023 £ - 12,053 |
|---|---|---|---|---|---|---|
| 12,053 | ||||||
| 401,039 | ||||||
| 401,039 | ||||||
| 413,092 |
Analysis of net assets by fund
The assets and liabilities of the various funds were as follows:
| General Designated funds funds £ £ Debtors 780 - Cash at bank and in hand 13,553 - Creditors falling due within one year (2,280) - 12,053 - In the previous period the movements in the charity's funds were as follows: Opening Incoming Outgoing Transfers balance resources resources in the year 2022 2022 2022 2022 £ £ £ £ Designated Funds - - - - General Unrestricted Funds - 210 (1) - Total Unrestricted Funds - 210 (1) - Restricted Funds Building fund - 2,880 (2,880) - - 2,880 (2,880) - Aggregate of funds - 3,090 (2,881) - Unrestricted Funds |
Restricted funds £ 9,812 391,227 - 401,039 Gains and losses 2022 £ - - - - - |
2023 £ 10,592 404,780 (2,280) |
|---|---|---|
| 413,092 | ||
| Closing balance 2022 £ - 209 |
||
| 209 | ||
| - | ||
| - | ||
| 209 |
Analysis of net assets by fund
In the previous year, the assets and liabilities of the various funds were as follows:
| Cash at bank and in hand | General Designated funds funds £ £ 209 - 209 - Unrestricted Funds |
Restricted funds £ - - |
2022 £ 209 |
|
|---|---|---|---|---|
| General funds £ 209 209 |
||||
| 209 |
Restricted funds have to be spent in line with a particular purpose or project, usually specified by the donor or a fundraising campaign for a specific project or activity. In this respect, the restricted Building fund can only be used for the purchase and renovation of Ebenezer Chapel and the School Room that forms part of the property.
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EBENEZER REFORMED CHAPEL, LUTON
NOTES TO THE ACCOUNTS
FOR THE YEAR ENDED 26 MARCH 2023
13 Transactions with related parties During the year the charity:
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a) received donations totalling £17,571 (2022: £210) from related parties (which includes trustees, any other members of key management and anyone closely connected to them).
-
b) paid expenses totalling £172 (2022: £nil) for trustees for travel to the presbytery whilst carrying out duties associated with being trustees; reimbursements for expenses incurred when acting as agent for the charity or incurred when undertaking employment duties not connected with serving as a trustee are not included in this disclosure.
14 Events since the year end
In July 2023 the charity completed the purchase of Ebenezer Chapel for approximately £300,000. Subsequently, a further £20,000 has been spent on repairing and renovating the property.
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EBENEZER REFORMED CHAPEL, LUTON
DETAILED STATEMENT OF FINANCIAL ACTIVITIES WITH COMPARATIVES
FOR THE YEAR ENDED 26 MARCH 2023
| Note INCOME AND ENDOWMENTS FROM: Donations and legacies 3 Investments 4 Total income and endowments EXPENDITURE ON: Charitable activities 5 Total Expenditure Net income Reconciliation of funds: Total funds brought forward Total funds carried forward 12 |
General Designated 2023 2023 £ £ 21,729 - - - 21,729 - (9,884) - (9,884) - 11,845 - 209 - 12,053 - Unrestricted funds |
Restricted 2023 £ 409,790 125 409,915 (8,876) (8,876) 401,039 - 401,039 |
Total 2023 £ 431,519 125 431,644 (18,761) (18,761) 412,883 209 413,092 |
General Designated 2022 2022 £ £ 210 - - - 210 - (1) (1) - 209 - - - 209 - Unrestricted funds |
Restricted 2022 £ 2,880 - 2,880 (2,880) (2,880) - - - |
Total 2022 £ 3,090 - 3,090 (2,881) (2,881) 209 - 209 |
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|---|---|---|---|---|---|---|---|---|---|
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