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2023-07-31-accounts

Shirley Baptist Church, Solihull

REPORT and ACCOUNTS for the year ended 31 July 2023

SHIRLEY BAPTIST CHURCH, SOLIHULL

REFERENCE AND ADMINISTRATIVE INFORMATION

FOR THE YEAR ENDED 31 JULY 2023

Principal Address Stratford Road
Shirley, Solihull B90 3BD
Status The church is a Registered Charity No. 1197996
It is a member of the Baptist Union of Great Britain &
The Heart of England Baptist Association.
Governing Document Constitution dated 9th February 2022
Charity Registration Number 1197996 (from 21st February 2022)
Ministry Team
Senior Minister Rev Mat Wilson
Church Ministry Lead Miss Alysen Merrill (from September 2023)
Youth Specialist Mr Martin Knott
Families & Children Mrs Jacquie Knott
Specialists Mrs Emma Willis
Pastoral Worker Mrs Amanda Crocker
Diaconate (trustees)
Senior Minister Rev Mat Wilson
Church Secretary Glynis Spiller (until November 2022)
Church Secretary Peter Close (from November 2022)
Church Treasurer Richard Millington (until November 2022)
Church Treasurer Lynne Russell (from November 2022)
Trustee Christine Canty (until November 2023)
Trustee Neil Aston
Trustee Evan Winter (until November 2022)
Trustee Sharon Davidson (until November 2023)
Trustee Peter Close (until November 2022)
Trustee David Rose
Trustee Jonathan Hibbs (until November 2023)
Trustee Stuart Fisher
Trustee Lynne Russell (until November 2022)
Trustee Chris Jones
Trustee Helen Read (from November 2022)
Trustee Uday Chinnathambi (from November 2022)
Trustee Ian McDonald (from November 2022 to September 2023)
Trustee Nick Carter (from November 2023)
Trustee Sofia Waghmare (from November 2023)
Trustee Vlamir Reis (from November 2023)
Custodian Trustee The Baptist Union Corporation Ltd
Independent Examiner Ajay Rajani FCIE
Stewardship
1 Lamb's Passage, London EC1Y 8AB
Principal Bankers CAF Bank Ltd

Conversion to Charitable Incorporated Organisation (CIO)

The church has converted its legal status from an unincorporated charity (registration number 1127354) to a Charitable Incorporated Organisation (CIO). The conversion effectively took place on 1st August 2022 and followed a process guided by the Baptist Union and solicitors Anthony Collins.

A Special Church Meeting of the unincorporated charity on 19th January 2022 agreed to change the Church's legal status from an unincorporated charity to a Charitable Incorporated Organisation (CIO) and approved a constitution for the CIO based on the Baptist Union model constitution for baptist churches. The new CIO was registered (registration number 1197996) with the Charity Commission on 21st February 2022 and a Special Church Meeting of the unincorporated charity on 9th March 2022 approved a resolution to transfer the assets, property interests, employees and activities of the unincorporated charity to the CIO with an effective date of 1st August 2022. The CIO accepted all existing members into membership of the CIO on 5th July 2022.

This report and accounts is therefore the first report of this CIO and, as permitted by the Charities SORP, the CIO has adopted the provisions of merger accounting. Under merger accounting, the unincorporated entity and the new CIO are treated as always existing as one combined entity. Further information about the use of merger accounting in the preparation of these accounts is given in accounting policy 1(a) 'Use of merger accounting'.

The unincorporated charity is dormant and will be legally closed once the linkage between the old and new charity registered numbers has been formally recorded and is expected to occur by July 2024.

CONTENTS
Reference and Administrative Information Page 2
Annual Report of the Diaconate (Trustees) Page 3-7
Report of the Independent Examiner Page 8
Statement of Financial Activities Page 9
Balance Sheet Page 10
Notes to the Accounts Page 11-21

Page 2

Shirley Baptist Church, Solihull Report of the Trustees For the year ended 31 July 2023

The Diaconate has pleasure in presenting the Annual Report for the year ended 31 July 2023.

Organisational Structure and Decision making processes

The Church is managed by the Diaconate who are the managing trustees. The Constitution governs the appointment of Deacons who are elected from the Church Membership by ballot of Church Members. They are appointed for a three year term and can serve one further term if elected again. The Church Secretary and Treasurer are eligible to serve for up to three terms if elected. On appointment new Deacons, as part of their induction, are made aware of the responsibilities of a trustee.

In planning the activities the Deacons have had regard to the guidance issued by the Charity Commission on Public Benefit. This is clearly demonstrated in the range of activities that we provide for the benefit of various sectors of our immediate community, and the provision of use of our buildings to a growing number of outside organisations and local individuals over the reporting year, following two years impacted by Covid 19 that forced closure or restricted use of the church estate.

All members are encouraged to take an appropriate part in the spiritual and practical tasks in furtherance of the charitable objectives. The members' Church Meeting is held regularly and is the discussion and major decision making forum for the Church. Relevant matters are submitted to the Church Meeting by the Diaconate or can be raised by members. Though the Constitution permits decisions to be made by appropriate majorities, the Church seeks to work by consensus wherever possible. The current membership at the end of the reporting year stood at 192.

Objectives and Activities

The Church operates primarily, but not exclusively in Shirley.

In order to fulfil its purpose and vision the Church provides a wide variety of activities both to its membership and to the community generally. The aim is to show the love of Jesus Christ in both word and action and to bring people into closer relationship with Him.

During the last year the church has appointed and inducted a new Senior Minster. Sunday service is the main time for the church to gather, to worship and to enjoy fellowship. There continues to be many groups and activities that support the ongoing life and purpose of the church. Children’s and Youth groups on Sunday and in the week, Women’s fellowship, prayer meetings, Home Groups (now called Life Group), Girls Brigade and Boys Brigade, Women’s and Men’s breakfast times, walking groups, Kairos coffee shop, supporting Yardley Food Pantry and Crossroads outreach to the homeless in Birmingham.

Achievements and Performance

The achievements against the four priorities are reviewed in turn below.

Inspire…our community of believers to grow in a loving commitment to God and each other discovering renewed joy, peace, rest and love – and do this through strengthening existing, and exploring new creative approaches

Growth in a passion and commitment to God is evidence through our Sunday morning attendance having increased by approximately 50 people per Sunday. This has been in part due to an influx of people from Hong Kong. The church has become much more culturally diverse and it has been enriched through this. Many new nationalities are represented such as Brazilian, Ukrainian, Nigerian, Hong Kong, Rwandan, Caribbean, American, Indian and Iranian. We have responded by initiating a ‘Crossing Cultures: Building Friendship’ evening to share worldviews, understand differences and build connections. We hosted a ‘Food from around the world’ Sunday to encourage the sharing of cultures which was hugely successful and very enjoyable.

The church has sought to deepen fellowship as new people have joined. A new initiative called ‘Connect Lunch’ was pioneered in November and March. This was held in Kairos and proved very popular. The purpose is to introduce new people to the church and a booklet was produced to share the life and activity of SBC. A response sheet was given too for people to sign up to how they might want to get connected to the church.

In October we had a church weekend away which had a large attendance. Our new Senior Minister was the speaker for the weekend (having already been booked in) and the theme focussed on worship, welcome and witness.

Page 3

Another new venture in the past year was the introduction of a monthly service called ‘Dwell’. The purpose for this was to allow time for extended worship and prayer ministry. A brief ‘thought for the day’ style talk is given too. Between 60 to 80 people have attended and we are now starting to see people from other churches attend.

We wanted to be visibly welcoming so we purchased banners for the front and back of the church and also bought a ‘welcome desk’ where people serve anyone who wants to find out more about the church. The Welcome Desk is a permanent feature now and has proved very useful on Sundays as new people are present each week.

On Saturday 19th June we held our first ever ‘Celebration Evening’ which was organised by the staff team. The purpose of this was to celebrate everyone who serves the church and to honour their commitment and to thank them for the contribution they make to helping the church continue to be such a beacon of hope in the community.

Embrace… those who are on the edge, drifting away or have disparate views within our community to feel encouraged, listened to, prayed for, loved and drawn back into fellowship with everyone.

We are aware there are people on the edge of church life and this is impacted by a changing demographic in the church and the growth in certain areas. The preaching theme through the year has been on ‘togetherness’ with the aim of encouraging everyone to belong and to participate. It is hoped that everyone can find their place.

Our Life Groups (formerly home groups) are the ideal environment to get to know others and develop friendship. New groups need to be formed and more emphasis on providing this opportunity.

The nature of pastoral care is changing. In recent months the emergence of a pastoral team has begun and, although it is in its early stages, the idea is to communicate with the church the availability of a team who will share responsibility for visiting and supporting people on the edge of church life or in need.

This Pastoral Team is part of a new strategy of pastoral care to reach out to those on the fringe of church life.

Another new initiative is ‘The Fringe’ on the second Sunday of each month. This is held in Kairos café and is a space given for people who may find the Sunday service a little too much or overbearing.

Alongside being inspired by and embracing new cultural diversity we have also developed a growing awareness to neurodiversity. Training and educational events have been provided to enable greater understanding of how we as a church can embrace this.

Staff and deacons will participate in the Baptist Union Equality and Diversity Training and this will help with our awareness and understanding of minority groups and those who are on the edge of church life and community.

Connect…with those who are not yet believers through relational compassion to share the radical message of Jesus and his gospel of forgiveness, life and hope.

Throughout the past year there has been an emphasis on Mission. We have enjoyed having visiting speakers from BMS World Mission, Evangelical Alliance and Route 61 as well as our partnership with India being strengthened through Charley Tom’s visit. Our connection with global mission inspires our sharing of Jesus with the local community too.

Kairos café has blossomed as a place where people meet, share life and are impacted by the love the church shows. This is practically shown through the staff’s attention and care to all who enter Kairos. We also have a listen team, a Memory café and a warm hub in the winter too.

Each Monday the church is open for English Language Classes. This is an extension of our Sunflower Café community engagement with people who need support to integrate in to UK life.

Our two Tuesday groups have struggled for volunteers and a decision was taken to change this to one group on Tuesday called, ‘Place of Welcome’ which is a nationwide initiative based on the 5 p’s which are Place – People – Presence - Provision – Participation. This is in its early stages but a good group of volunteers have taken on responsibility for this which is encouraging.

Following baptismal classes we had five baptisms this year and all of them were conducted on Easter Day. A young person was particularly impacted having attended Oasis Youth camp in the summer. One baptism was a spontaneous response from an invitation given on the day!

We have launched our first in person Alpha for a couple of years and there has been 34 people signed up. A team of 9 people has been formed to serve and help with hospitality, welcoming, hosting discussions and clearing up.

We have hosted one off events and mission activities such as the Light Party in autumn, Walk through the Nativity, Community Carols and Christmas Eve services in winter, Youth Mission week and the Good Friday stations of the cross in spring. In the summer we served alongside B90 churches to have a presence at the Shirley Carnival.

Page 4

Discern…the will of God and the leadership requirements for our church to enable and equip us for whatever is emerging now and in the future.

The Deacons are Trustees of the church and have spiritual oversight for the continuation and development of church life. They support and encourage the staff team and are involved in all aspect of the church. Leadership is also given through the Support Service.

The usual regular pattern of meetings for the staff team is Monday morning. For the deacons it is bi-weekly. Added to this there have been the following occasions.

• Staff reflection day in September at Woodbrooke in Selly Oak. This was an opportunity for the new Senior Minister to hear from staff and gain an overview of church life. • October 2023, all staff, including the Kairos steam and church administration team, attended a Strength-finders Day with Alysen Merrill • January - Leadership away day for all staff and deacons. This was led by Neil Le Tissier from HEBA and Mat Wilson.

• Staff annual review have been completed.

The deacons have also been discussing the question, ‘What kind of leadership is needed for a growing church?’ This has been helpful and work is ongoing to produce clear guidance for future deacons team to know their role, responsibility and specific engagement with an area of church ministry.

Financial Review

Overall, the financial position remains strong with total income (£434,195) exceeding total expenditure (£428,155) by £6,040, although this included a net gain of £26,582 associated with the change of manse from Yoxall Road to Sansome Road.

General Fund income was £315,299 which was £77,357 higher than the previous year primarily due to higher donations (£24,144), bank interest (£14,536) and gains on the disposal of the Yoxall Road manse (£33,867). Income was £65,699 better than budget . Expenditure was £322,910 (£59,745 higher than the previous year and £40,310 over budget) of which £10,200 was for the porch door replacement that was covered by a fund transfer from the Legacy Fund. The underlying deficit, after excluding the porch door and change of manse gains and rent, was £7,793 which was smaller than the budget anticipated mainly due a gift day in July that raised £5,750. Kairos Coffee is primarily an outreach activity of the church which aims to breakeven and had a good year as it increased its income by £18,022 to £75,627 and produced a net surplus of £700.

The Ukraine Fund was established at the end of the previous year and was initially focused upon providing the Moreton Road manse as a home for Ukrainian refugees for one year but then extended activities to include very popular English lessons later in the year. Restricted donations exceeded costs by £2,522 and the fund has £8,522 carried forward for ongoing work with asylum seekers and refugees.

The Mission Delivery Fund, effectively equates to the Richmond legacy (received in 2020-2021) was used to upgrade the manses by the sale of Yoxall Road and purchase of Sansome Road manses at a net cost of £162,918 and fund the porch door replacement (£10,200) leaving £384,683 for future uses of which £129,405 has been set aside for the new Church Ministry Lead for 3 years whilst the Church Trustees and Members consider options for the remaining funds.

At the end of the year total funds amounted to £3,240,398 the majority of which related to buildings and the Richmond legacy. The General Fund balance ended on £83,987 which is in line with the minimum reserves target of £84,000.

A budget for the General Fund for 2023/24 was set at £337,400 which is £54,000 less than currently projected income. The Church Meeting when agreeing to the creation of the Church Ministry Lead position also agreed to fund the position from the Mission Delivery Fund for its initial three years and therefore £39,000 will be allocated to the General Fund in 2023/24 leaving a residual deficit of £15,000 that trustees are confident will be covered by increased donations as the church grows during the year.

The detailed financial results, together with a summary of the accounting policies adopted, are set out in the accompanying financial statements.

Reserves

It is policy to maintain unrestricted general funds, which are the free reserves of the Church, at a level which takes into account variable general giving, future repair needs of the church and manses, and also meet the regulatory requirement to be able to fund an orderly closure of a charity. The Diaconate reviews reserves each year and resolved that the minimum free reserves should be £84,000 whilst the actual free reserves at 31 July 2023 amounted to £83,987. In addition, the designated Mission Delivery Fund, funded by a legacy of £558,000 (received or accrued over the last three years), has £255,000 not yet committed by the deacons.

Risk Management

The Diaconate annually reviews the major strategic, business and operational risks faced by the church. These mainly surround people visiting and using our open premises and to a lesser extent risks relating to employment. It is considered that systems are in place to monitor and manage these risks and to take necessary steps to mitigate them.

The Diaconate consider that the systems for monitoring budgets, approving payments, banking receipts, payroll and taxes provide robust controls. The medium term sources of funds have been reviewed and are considered stable.

Page 5

Going Concern

The charity ended the year with unrestricted net current assets of £510,000, and the church is in a good position financially. After reviewing the charity's results in this new financial year and expectations for the next 12 months, the deacons confirm that they believe that the Church remains a 'going concern' for at least 12 months from the date of this report.

Partnerships

The Church is affiliated to the Baptist Union of Great Britain and paid subscriptions of £980 (2022: £958).

Trustees and Related Parties

No trustee expenses were paid. Payments to trustees in the course of their employment are included in Note 6 of the accounts. Donations by trustees and their close families are reported in Note 6.

Future Plans

The Church remains committed to its vision and objectives and the deacons regularly review activities and initiatives to enable the members to achieve their ambition without overstretching our capacity and capability.

Below are some of the future plans for the coming year

Worship (UP) - Passion for God in everything we do (John 10:10 & Romans 12:1-2). Jesus offers abundant life and everyone who follows Jesus does so through a lifestyle of worship. We seek to encourage and equip people to worship not only on Sunday but through whole life discipleship. Seeking God in personal and corporate prayer, being inspired through scripture and gathering together for encouragement and spiritual growth are some of the ways we worship.

Welcome (IN) - Passion for God’s people, living in community (John 15:12-17 & Philippians 2:1-11). Jesus is the Good Shepherd who is full of compassion and love. We seek to love God’s people and this love knows no boundary. Everyone is valued, has worth and should discover acceptance and friendship. Pastoral care is about connection with all age groups, with generous hospitality and a warm welcome.

Witness (OUT) - Passion for God’s world with a message of hope (John 20:21-22 & Acts 1:8). Jesus sends us in the power of the Holy Spirit to be people of hope because of his death and resurrection. We seek to inspire the church to share the good news in a broken world. Everyone who follows Jesus, participates in God’s mission of love, rescue and new life. This is both on our door step as we engage with all cultures and also beyond the UK as we partner with global mission workers.

Worship

Welcome

Witness

• Attention will be given to supporting and investing in the church staff team. Staff will benefit from retreat days, skills and character based training days and attending conferences. Look at the possibility of role titles and reflect on how they best describe the roles they do and how this fits in the overall developing strategy of Worship – Welcome – Witness

Page 6

Diaconate Responsibilities

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, including income and expenditure, for the financial year. In preparing these financial statements, the trustees are required to:

o Select suitable accounting policies and apply them consistently o Observe the methods and principles in the Charities SORP o Make judgements and estimates that are reasonable and prudent o State whether the applicable accounting standards have been followed, subject to any material departures disclosed and explained in the accounts.

o Prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charity will continue in business.

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.

Independent Examiner

The Diaconate intend to ask the existing examiners to undertake the independent examination of the Church in the following year.

Approval

This report was approved by the Diaconate on 7th February 2024 and signed on its behalf by

Peter Close, Church Secretary

Page 7

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF

Shirley Baptist Church, Solihull ('the Charity')

I report to the charity trustees on my examination of the accounts of the Charity for the year ended 31 July 2023 on pages 9 to 21 following, which have been prepared on the basis of the accounting policies set out on pages 11 to 13.

Responsibilities and basis of report

As the charity 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 material matters have come to my attention in connection with the examination giving me cause to believe:

  1. 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

  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.

Ajay Rajani FCIE

Date 19th March 2024

Fellow of the Association of Charity Independent Examiners

Stewardship 1 Lamb's Passage London EC1Y 8AB

Page 8

Shirley Baptist Church, Solihull

Statement of Financial Activities for the year ended 31 July 2023

Notes
INCOME AND ENDOWMENTS FROM
Donations and Legacies
Charitable activities
Other trading activities
Investments
Other
Total income
2
EXPENDITURE ON
Charitable Activities:
Church Activities
5
Coffee shop outreach
4
Depreciation
7
Total expenditure
Net income / (expenditure)
Transfers between funds
12
Net income after transfers
Other recognised gains and losses:
7
6
Net movement in funds
Funds brought forward at 1 August 2022
Funds carried forward at 31 July 2023
Gains/(losses) on revaluation of fixed assets
Actuarial gains / (losses) on defined benefit
pension schemes
Unrestricted
Restricted
Endowment
Total
Total
Funds
Funds
Funds
2023
2022
£
£
£
£
£
244,388
32,136
-
276,524
247,781
105,749
-
-
105,749
74,363
-
-
-
-
4,042
18,055
-
-
18,055
3,462
33,867
-
-
33,867
-
402,059
32,136
-
434,195
329,648
335,113
13,040
-
348,153
281,590
72,408
-
-
72,408
54,400
4,228
-
3,366
7,594
7,472
411,749
13,040
3,366
428,155
343,462
(9,690)
19,096
(3,366)
6,040
(13,814)
16,200
(16,200)
-
-
-
6,510
2,896
(3,366)
6,040
(13,814)
-
-
-
-
48,800
-
-
-
-
72,513
6,510
2,896
(3,366)
6,040
107,499
1,401,271
24,081
1,809,006
3,234,358
3,126,859
1,407,781
26,977
1,805,640
3,240,398
3,234,358

Movements on reserves and all recognised gains and losses are shown above. A comparison with the previous year for each fund type is provided in Note 15. The notes on pages 11 to 21 form part of these accounts.

Page 9

Shirley Baptist Church, Solihull

Balance Sheet at 31 July 2023

Notes
FIXED ASSETS
Tangible fixed assets
7
CURRENT ASSETS
Debtors
8
Bank balances
9
Total current assets
LIABILITIES
Creditors: Amounts falling due within
one year
10
Net current assets
Total assets less current liabilities
Creditors: Amounts falling due after
more than one year
11
Net assets excluding pension liability
Defined benefit pension scheme liability
11
TOTAL NET ASSETS
THE FUNDS OF THE CHARITY
Unrestricted funds
Designated revaluation reserve
Other designated funds
General unrestricted funds
Restricted funds
Endowment funds
12
Total Funds
Prior Year
2023
2022
£
£
2,698,164
2,516,259
18,100
17,152
532,419
709,338
550,519
726,490
8,285
8,391
542,234
718,099
3,240,398
3,234,358
-
-
3,240,398
3,234,358
-
-
3,240,398
3,234,358
210,000
435,000
1,113,794
831,126
83,987
135,145
1,407,781
1,401,271
26,977
24,081
1,805,640
1,809,006
3,240,398
3,234,358

Approved by the Diaconate on 7th February 2024

and signed on its behalf by Lynne Russell and Peter Close

The notes on pages 11 -21 form part of these accounts.

Page 10

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

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.

  1. Accounting Policies

These financial statements are prepared on a going concern basis, under the historical cost convention as modified by the revaluation of certain assets, which are measured at fair value through the Statement of Financial Activities.

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 principles adopted in the preparation of the financial statements are set out below.

a) Use of merger accounting

The charity (the 'CIO') was dormant until 1 August 2022 and, until that date, the CIO's activities were undertaken by an unincorporated charity with the same name (Shirley Baptist Church, Shirley, Solihull, with charity registration number 1127354). On 1 August 2022 the unincorporated charity transferred its net assets and its activities to the CIO. As permitted by the Charities SORP, these accounts have been prepared using merger accounting because it qualifies as a charity reconstruction (whereby the charity has simply changed its legal form). Under merger accounting, the unincorporated entity and the new CIO are treated as always existing as one combined entity. The comparative figures in the Statement of Financial Activities are just the results of the unincorporated charity for the year to 31 July 2022 because the CIO was dormant during that period and the results presented for 2023 are just the results of the CIO for the year to 31 July 2023 (the unincorporated charity was dormant after the transfer on 1 August 2022). The balance sheet on 31 July 2022 is just that of the unincorporated charity on 31 July 2022 because the CIO did not have any assets on that date and the balance sheet on 31 July 2023 is just that of the CIO (the unincorporated charity did not have any assets after the transfer on 1 August 2022).

b) 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, including the impact of Covid-19 or similar events. 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.

c) 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 and legacies includes: i) Recoverable gift aid. This 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.

ii) Donated facilities, services and goods. Goods donated for distribution to beneficiaries are recognised as income when receivable at fair value (being an estimate of the amount it would cost to purchase those items). Goods donated for resale are recognised as income at the point of sale (as the sale proceeds cannot be estimated reliably before the goods are sold). Facilities, services and goods donated for the charity's own use are recognised as income when receivable at their value to the charity.

The charity relies on volunteers to carry out many of its activities, particularly outreach 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.

When donated goods, services and facilities are distributed or consumed, an expense in respect of those items is included in the Statement of Financial Activities. At the year end any goods that have not been distributed or consumed are recognised as stock; donated fixed assets are capitalised.

iii) Legacies. Income from legacies is recognised when a distribution is received from the estate or, if earlier, when the charity has been notified that a distribution will be made and the amount receivable can be measured reliably.

Income from charitable activities represents income receivable from goods, services and facilities supplied in furtherance of the charity's charitable objects. It includes income from church retreats and other events and courses and Kairos Coffee.

Income from other trading activities represents income receivable from activities undertaken to generate funds for the charity.

Investment income represents income generated by the charity's assets and includes income from bank interest.

Other income comprises gains arising from the disposal of tangible fixed assets / social investments.

Page 11

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

d) 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.

Reporting on an activity basis

The Charities SORP requires larger charities (those charities with annual income of more than £500,000) to separately report the results of its principal activities and the charity is below that threshold. However, the trustees consider that the charity has two distinct activities, being the ordinary activities associated with operating as a church (which comprises the vast majority of the church's income and expenditure) and the operation of the Kairos Coffee shop. Details of the income and expenditure attributable to the Kairos coffee shop is disclosed in discretionary note 14 'Kairos Coffee'; the remainder of the charity's income and expenditure is attributable to the usual activities of a church.

e) 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. Endowment funds are donations that are retained as capital in accordance with the donor's wishes. The nature of the restriction determines whether the endowments represent permanent endowments or expendable endowments.

Unrestricted General Fund

General Fund - the principal operating fund covering the cost of ministry, support for Christian missions, church activities, buildings and administration, with income mainly coming from regular giving by members of the congregation (plus gift aid where applicable), rental income from the Yoxall Road manse and other one-off donations from users of the rooms.

Unrestricted Designated Funds:

Kairos Coffee - This is the operating income (sales) and costs of Kairos Coffee and associated net assets (acquired from 2020/21).

Designated Mission Delivery Fund - Originally this was funds set aside from unrestricted general funds to repay Building Fund loans if there was a shortfall of restricted (including endowment) giving for that purpose. Following the repayment of loans and the receipt of a substantial legacy (see note 2 'Analysis of income') the trustees have redesignated this fund for the delivery of the programmes and projects driven by the vision and mission review, utilising the legacy and residual building funds. The balance on the fund in 2023 represents the unused portion of the Richmond legacy.

Church Organisations Designated Fund - This is the aggregate of the funds of the church organisations that run much of the outreach to the community. It includes Womens Fellowship, Brigades, pre-school mid-week groups, Tuesdays group and youth clubs.

Manse fund - This comprises the cost of the charity's manses (which amount to £679,500) and subsequent revaluations (which amount to £210,000).

Pension Debt - This represents funds set aside to help meet the charity's estimated share of a funding deficit reported by a defined benefit pension scheme operated by the Baptist Pension Scheme. The pension scheme deficit was eliminated in June 2022 and therefore the balance on this fund is £Nil and the fund will be closed in July 2024. Restricted Funds:

Dickens Heath Fund - This was set up by a specific gift from the Dickens Heath Community Church prior to its closure in 2019. The fund is to be used for specific mission in Dickens Heath. Fellowship Fund - This fund was originally set up by a specific gift and used at the sole discretion of the Senior Minister to provide small grants to members of the fellowship who have severe and specific financial needs. Mission Fund - This was created from donations received to help support mission activities undertaken by other charities. Generally, the on-going gifts are donated during activities organised by the church, including the Harvest Appeal.

Student Fund - The fund supports a Families and Children Specialist or Worker, Internships and students training for mission by covering course fees, travel and sundry expenses claimed, small personal allowances and food and accommodation provided by a hosting member.

Ukraine Fund - The fund supports the use of the Moreton Road manse for accommodating refugees through the Homes for Ukraine scheme. The fund covers the cost of utilities and the commercial rental income foregone that would normally be achieved through renting out an unused manse.

Endowment Funds:

Building Endowment Fund - This is the main fund for the redevelopment of the halls in 2013. Over 90% of the fund has been provided by gifts from the congregation, with the balance from charitable trusts and Shirley Advance. All of the capital has been invested in the new buildings for the use of the church and community. Loans from church members and the Baptist Union of Great Britain were taken to complete the project and were repaid in full by February 2021.

f) Fixed assets are for the use by the church in fulfilling its objects and are capitalised and depreciated. Depreciation is provided at rates considered appropriate to reduce book values to estimated residual values over the useful lives of the assets concerned. As permitted by FRS102, properties are revalued at every balance sheet date to their estimated market value; there is no separate charge for depreciation. Furniture and fittings are depreciated at 10% p.a. , Kairos and computer equipment at 33% p.a. and musical instruments at 25% p.a. all on the straight line balance basis. Small items of equipment are written off on purchase.

Page 12

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

g) 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.

The charity is a participating employer in the Baptist Union Pension Scheme which, prior to January 2012, was a multi-employer defined benefit pension scheme. The charity is unable to identify its share of this scheme's assets and liabilities therefore, as permitted by FRS 102, the entire scheme is being treated as if it were a defined contribution scheme. Obligations to make future contributions towards any funding deficit reported by this scheme are included as a liability in the financial statements. Further information about this defined benefits scheme is disclosed elsewhere in the notes to these accounts.

h) 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.

i) Critical accounting estimates and areas of judgement

ln preparing financial statements certain judgements, estimates and assumptions have to be made that affect the amounts recognised in the financial statements. The most significant of these are the valuations included in these account for charity's properties and, in particular, the church premises for which there is no ready market. These estimates are reassessed annually and, when necessary, adjusted to reflect current circumstances.

  1. Analysis of Income
Analysis of Income
Donations and Legacies
Gifts & offerings
Legacy
Income tax recoverable
Mission giving
Government grants:
Homes for Ukraine Scheme
Local authority business support grant
Charitable Activities
Room usage voluntary contribution
Kairos Coffee
Sundry income
Self-funding Charitable Activities
Church Organisations
Church Events
Church Weekend
Other trading activities
Rental Income Yoxall Road Manse
Rental Income Moreton Road Manse
Note 3
Investment Income
Interest received
Other Income
Gains/(losses) on asset disposals
Total Income
Total
Total
2023
2022
£
£
220,691
179,868
-
7,802
45,301
40,038
7,032
16,323
3,500
-
-
3,750
276,524
247,781
4,653
1,165
75,442
53,852
1,544
2,142
11,133
9,653
7,144
6,081
5,833
1,470
105,749
74,363
-
4,042
-
-
-
4,042
18,055
3,462
33,867
-
434,195
329,648

Following the death of a member of the church in a previous year, the charity was notified that it had been named as a beneficiary of a large legacy. This comprised a pecuniary legacy of £100,000 (recognised in the 2019/20 accounts) and a share in the residue of the estate after all other payments have been made which was estimated to be £450,000 and accrued in the 2020/21 accounts. The actual final distribution received during 2021/22 included a further £7,802 which has been recognised in that year.

3. Moreton Road Manse

The Moreton Road manse was used for the Homes for Ukraine scheme from September 2022 which resulted in the loss of £16,200 of income. This was offset by donations to the Ukraine Fund and subsequent funds transfer of £16,200 from that fund to the General Fund.

Page 13

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

4. Analysis of Coffee Shop Outreach Expenditure

4.
Analysis of Coffee Shop Outreach Expenditure
Kairos Coffee
Kairos employment costs
Kairos office costs
Cleaning & caretaking
Light, heat & water
Kairos set up costs
Kairos cost of sales
Other costs
Total Kairos
5. Analysis of Church Activities Expenditure
Ministry
Stipends
Pension & NI contributions
Manse costs
Other costs of Ministry
Children's/Youth work ministries
Mission & evangelism
Worship, pastoral & discipleship
Mission - Grants Payable
Institutions:
BMS World Mission
Baptist Home Mission
Mercy Mission Welfare Society
Christian Aid
Baptist Union Corporation
TEAR Fund
Agape
Oasis Holiday Club
ShowerBox (Xmas)
Yardley Wood Food Pantry (Xmas)
Disasters Emergency Committee (Xmas)
Eurovangelism
The Navigators
Interserve
Trussell Trust
RESTORE
Other gifts< £1,000 each
Individuals:
Short Term Missions
Fellowship Fund
Homes for Ukraine
Support
Office employment costs
Office costs
Cleaning & caretaking
Light, heat & water
Repairs & maintenance
Insurance
Other costs
Governance Costs:
Independent Examination
Legal and Professional Fees
Self-funding Charitable Activities
Church Organisations
Church Events
Church Weekend
Total Church Activities Expenditure
2023
2022
£
£
34,998
27,463
1,180
2,020
2,353
2,018
6,436
5,211
3,489
1,700
23,892
16,124
60
(136)
72,408
54,400
2023
2022
£
£
125,851
96,071
17,991
24,496
6,699
3,521
10,208
8,714
5,670
3,826
3,280
251
7,726
3,667
177,425
140,546
15,849
17,697
12,900
15,000
6,004
6,741
120
235
2,023
-
-
5,265
1,800
1,900
1,763
2,761
-
1,750
-
1,750
-
1,750
-
324
-
1,200
2,400
2,400
1,615
-
1,615
-
371
409
2,400
1,800
26
-
7,774
-
56,660
60,982
13,199
13,347
11,138
8,745
9,483
7,913
14,686
14,545
19,230
13,765
3,958
3,431
-
200
2,540
2,380
3,031
-
77,265
64,326
13,390
7,238
9,602
8,498
13,811
-
36,803
15,736
348,153
281,590

Page 14

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

6.
Staff cost and Trustees expenses
Salaries
Social security costs
Pension costs
Benefits of Manse utilities
BU Pension Debt b/fwd
Contributions to BU Pension Debt
(Gains)/Losses in Debt valuation
BU Pension Debt c/fwd
The average number of employees in the year was
Full time
Part time
2023
2022
£
£
173,080
135,303
6,149
4,977
12,810
20,838
711
3,252
192,750
164,370
-
77,700
-
(5,187)
-
(72,513)
-
-
2
3
10
7
12
10

No employee received emoluments in excess of £60,000 during the year (2022: none).

One of the Trustees, Mat Wilson, was an employee, and as permitted by the governing document, received emoluments of £48,361 (2022 £Nil) and benefited from pension contributions by the church of £3,735 (2022 £Nil), and for 6 months lived in housing owned and provided by the church with a deemed pensionable pay benefit of £3,568 (2022 £Nil). These emoluments were paid in his capacity as minister, and not as trustee, and are allowed for in the church constitution. He was the only member of staff who is defined as performing a key management role within the charity and his stipend was a fixed ratio of the Baptist Union recommended stipend for Home Mission. One Kairos Coffee staff member was paid £8,695 (2022 £8,404) and is a close relative of a trustee, Neil Aston; the latter did not participate in the appointment or management processes.

No sums were reimbursed to the Trustees for their work as Trustees (2022 none). Trustees and their close family members donated £41,843 (2022: £41,051) to the Church.

There are no other related party transactions in the reporting period that require disclosure.

Pension Schemes

The Church is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”). The Scheme is a separate legal entity which is administered by the Pension Trustee (Baptist Pension Trust Limited). The assets of the Scheme are held separately from those of the Employer and the other participating employers.

The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011. Prior to this date the main benefit provided through the Defined Benefit (DB) Plan was a pension of one eightieth of final minimum pensionable income for each year of pensionable service together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income.

From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members if they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva Limited.

The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. Because it is not possible to attribute the Scheme’s assets and liabilities to specific employers, the scheme is accounted for as if the Scheme were a defined contribution scheme.

The Minister and some members of the church staff are eligible to join the Scheme.

Actuarial valuation as at 31 December 2019 and the previous Recovery Plan

A formal valuation of the DB Plan as at 31 December 2019 was carried out by a professionally qualified Actuary using the Projected Unit Method. At the valuation date the market value of the DB Plan assets was £298 million, whilst the level of assets needed to pay benefits was £316m, giving a deficit of £18m (equivalent to a past service funding level of 94%). The Church and the other participating employers in the DB Plan are collectively responsible for funding this deficit.

responsible for funding this deficit.
The key financial assumptions underlying the valuation were as follows:
RPI price inflation assumption 3.20%
CPI price inflation assumption 2.70%
Minimum Pensionable Income increases 3.20%
Assumed investment returns - pre retirement
2.95%
Assumed investment returns - post retirement
1.70%
Deferred pension increases - Pre April 2009 3.20%
Deferred pension increases - Post April 2009 2.50%
Pension increases: 2.70%

Mortality is assumed in accordance with 80% of the S3NA standard mortality table. Future improvements projected from 2013 in line with the “CMI 2019” projection with a long-term rate of improvement of 1.75% p.a. for males and 1.5% p.a. for females with the core smoothing parameter and with additional initial mortality improvement factor A=0.5%

The next actuarial valuation of the DB Plan within the Scheme commenced in 2023 to reflect the position as at 31 December 2022.

Page 15

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

Developments since the 2019 actuarial valuation and the new Recovery Plan

On 30th June 2022 the Baptist Pension Scheme signed an agreement with the insurance company Just Group (“Just”) to secure DB Plan members’ pension benefits. Just are now providing financial backing for all pensions provided through the Scheme’s DB Plan and following this transaction, the Scheme no longer has a shortfall. An updated Recovery plan was then signed in August 2022 under which recovery contributions from each participating employer in the DB Plan reduced to £1 per month from August 2022.

Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. The trustees however assert that the monthly nominal contribution of £1 per month renders the liability to be negligible and immaterial and accordingly the entire liability was written down to zero in the previous financial year and remains at this level in the current financial year.

Total pension contributions paid in year
Contributions to Baptist Pension Scheme DC plan
Total pension contributions consist of:
Contributions to other defined contribution schemes (which comply with pensions auto-enrolment legislation)
Contributions to Baptist Pension Scheme DB plan deficit
2023
2022
£
£
11,354
19,684
1,456
1,154
12,810
20,838
11
5,187
12,821
26,025
7.
Tangible Fixed Assets
Cost or valuation
at 1st August 2022
Revaluations
Additions during the year
Disposals during the year
at 31st July 2023
Accumulated Depreciation
at 1st August 2022
Charge for the year
Eliminated on disposal
at 31st July 2023
Net Book Value
at 31st July 2023
at 31st July 2022
Original cost
Revaluation Reserve
Church
Furniture
Musical/Sound
Computers
Total
Premises
Manses
& Fittings
Equipment
& Equipment
£
£
£
£
£
£
1,922,420
743,912
229,620
30,875
20,605
2,947,432
-
-
-
-
-
-
-
539,500
-
-
-
539,500
-
(393,912)
-
-
-
(393,912)
1,922,420
889,500
229,620
30,875
20,605
3,093,020
122,420
43,912
214,691
30,875
19,276
431,174
-
-
6,570
-
1,024
7,594
-
(43,912)
-
-
-
(43,912)
122,420
-
221,261
30,875
20,300
394,856
1,800,000
889,500
8,359
-
305
2,698,164
1,800,000
700,000
14,929
-
1,329
2,516,258
679,500
210,000

The church’s Moreton Road manse was valued in April 2022 by Black & Gold estate agents at its estimated market value of £350,000. The Yoxall Road manse was valued by Carpenters Surveyors at £350,000 but was sold in November 2022 for a £390,000. Sansome Road manse was purchased in February 2023 for £539,500. The trustees have adopted the valuations by Black & Gold of Moreton Road and the purchase price of Sansome Road and will review their valuations in 2027 and 2028 respectively.

The church building was valued at £2.0 million at 31 July 2017 and this was reduced to £1.8 million at 31 July 2021. There is no competitive market for the church building and the current valuation reflects the trustees' estimate of the amount they would hope to receive if the property were to be sold. The quality of the building (which takes into account wear and tear since the valuation in 2017) has been balanced against the uncertainty of what it may fetch on the open market. The trustees believe there is now a smaller pool of churches who might be interested in purchasing and continuing to use the building as it is and it may be that most potential buyers would be more interested in the site's re-development potential.

During the year capital expenditure was incurred on the purchase of Sansome Road.

At 31 July 2023 there were no outstanding capital commitments (2022 £Nil).

An insurance valuation exercise took place in 2018 which resulted in a replacement insurance valuation of £5,161,489 for the church premises.

Page 16

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

  1. Debtors and Prepayments

Tax recoverable Other debtors & prepayments

  1. Cash at Bank & in Hand Current accounts Cash/Bank (Church Organisations and Kairos Cash Float) Deposit Accounts

  2. Creditors: amounts falling due within one year Sundry creditors and accruals Independent examination PAYE & NIC Accruals

  3. Creditors: falling due after more than one year None

2023 2022
£ £
8,439 12,043
9,661 5,109
18,100 17,152
2023 2022
£ £
49,072 60,359
6,837 9,265
476,510 639,714
532,419 709,338
2023 2022
£ £
1,657 1,080
2,500 2,300
- 1,528
4,128 3,483
8,285 8,391
2023 2022
£ £
- -

Page 17

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

12. Summary Statement of Funds 2022 Transfers Income Expenditure Gains and 2023
(Losses)
Unrestricted Funds £ £ £ £ £ £
Kairos Café 42,674 - 75,627 74,927 - 43,374
Mission Delivery (prev.Building) Fund 514,437 (129,753) - - - 384,684
General Fund 135,145 (43,547) 315,299 322,910 - 83,987
Church Organisations 9,015 - 11,133 13,912 - 6,236
Pension Debt Fund - - - - - -
Manse Fund 700,000 189,500 - - - 889,500
1,401,271 16,200 402,059 411,749 - 1,407,781
Restricted Funds
Dickens Heath Fund 9,969 - - - - 9,969
Fellowship Fund 548 - 400 26 - 922
Mission Fund - - 2,584 2,584 - -
Student 7,564 - - - - 7,564
Ukraine 6,000 (16,200) 29,152 10,430 - 8,522
24,081 (16,200) 32,136 13,040 - 26,977
Endowment Funds
Building Fund 1,809,006 - - 3,366 - 1,805,640
Total Funds 3,234,358 - 434,195 428,155 - 3,240,398
Comparative data in the form of the equivalent table for the previous year is below:
Summary Statement of Funds 2021 Transfers Income Expenditure Gains and 2022
(Losses)
Unrestricted Funds £ £ £ £ £ £
Kairos Café 41,865 - 57,605 56,796 - 42,674
Mission Delivery (prev.Building) Fund 514,437 - - - - 514,437
General Fund 86,880 73,488 237,942 263,165 - 135,145
Church Organisations 7,898 (975) 9,653 7,561 - 9,015
Pension Debt Fund - (72,513) - - 72,513 -
Manse Fund 651,200 - - - 48,800 700,000
1,302,280 - 305,200 327,522 121,313 1,401,271
Restricted Funds
Dickens Heath Fund 9,969 - - - - 9,969
Fellowship Fund 563 - - 15 - 548
Mission Fund - - 12,558 12,558 - -
Student 7,314 - 250 - - 7,564
Ukraine - - 6,000 - - 6,000
17,846 - 18,808 12,573 - 24,081
Endowment Funds
Building Fund 1,806,733 - 5,640 3,367 - 1,809,006
Total Funds 3,126,859 - 329,648 343,462 121,313 3,234,358

The Mission Delivery Fund balance at the beginning of the year equated approximately to the value of the Trevor Richmond legacy and was then fully aligned to the legacy by the transfers of £43,365 from the General Fund; It then transferred £162,918 to the Manse Fund to cover the net cost of swapping Yoxall Road for Sansome Road, and £10,200 to the General Fund to cover the repair and replacement of the sanctuary doors. £26,582 was transferred from the Manse Fund to the General Fund to cover costs associated with the swapping of manses. £16,200 was transferred from the Ukraine Fund to the General Fund to cover the foregone rent at Moreton Road resulting from its use to house Ukrainian refugees.

Page 18

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

13.
Analysis of Net Assets Between Funds
Unrestricted Funds
Kairos
Mission Delivery (prev.Building) Fund
General Fund
Church Organisations Fund
Pension Debt Fund
Manse Fund
Restricted Funds
Dickens Heath Fund
Fellowship Fund
Mission Giving
Student
Ukraine
Endowment Funds
Building Fund
Total Funds
Tangible
Bank
Debtors
Short Term
Long Term
Total
Fixed Assets
Balances
Balances
Liabilities
Liabilities
2023
£
£
£
£
£
£
2,243
39,735
1,692
(296)
-
43,374
-
384,684
-
-
-
384,684
6,421
69,329
15,415
(7,178)
-
83,987
-
6,236
-
-
-
6,236
-
-
-
-
-
-
889,500
-
-
-
-
889,500
898,164
499,984
17,107
(7,474)
-
1,407,781
-
9,969
-
-
-
9,969
-
922
-
-
-
922
-
528
8
(536)
-
-
-
7,564
-
-
-
7,564
-
7,812
985
(275)
-
8,522
-
26,795
993
(811)
-
26,977
1,800,000
5,640
-
-
-
1,805,640
2,698,164
532,419
18,100
(8,285)
-
3,240,398
note 7
note 9
note 8
note 10
note 11

Comparative data in the form of the equivalent table for the previous year is found below:

Unrestricted Funds
Kairos
Mission Delivery (prev.Building) Fund
General Fund
Church Organisations Fund
Pension Debt Fund
Manse Fund
Restricted Funds
Dickens Heath Fund
Fellowship Fund
Mission Giving
Student
Ukraine
Endowment Funds
Building Fund
Total Funds
Tangible
Bank
Debtors
Short Term
Long Term
Total
Fixed Assets
Balances
Balances
Liabilities
Liabilities
2022
£
£
£
£
£
£
4,762
36,431
2,117
(636)
-
42,674
-
514,437
-
-
-
514,437
8,130
119,693
14,867
(7,545)
-
135,145
-
9,015
-
-
-
9,015
-
-
-
-
-
-
700,000
-
-
-
-
700,000
712,892
679,576
16,984
(8,181)
-
1,401,271
-
9,969
-
-
-
9,969
-
548
-
-
-
548
-
42
168
(210)
-
-
-
7,564
-
-
-
7,564
-
6,000
-
-
-
6,000
-
24,123
168
(210)
-
24,081
1,803,367
5,639
-
-
-
1,809,006
2,516,259
709,338
17,152
(8,391)
-
3,234,358

Page 19

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

14 Kairos Coffee

Kairos Coffee shop was established in 2014 using £30,150 of gifts specifically provided (Restricted) for that purpose together with loans from members (£68,000) and the Heart of England Baptist Association (HEBA) (£55,000). The initial funds were placed in a Restricted fund and used to fit out and equip the coffee shop (£120,161 fixed assets), cover set up expenses (£8,883) and provide working capital (£24,106).

Kairos is now operating unincumbered by its set up loans and with the original fixed assets written off. It made a small surplus of £700 (2022: £809) after spending £325 on repairing and maintaining equipment. The financial objective is for Kairos to generate sufficient funds from its operations to gradually replace equipment and fittings and to specifically fund-raise should extensive refurbishment be required rather than rely upon the General Fund.

Kairos Cafe Funds

Kairos Cafe Funds
SOFA
Sales
Covid-19 related grants
Cost of Sales
Operating Surplus
Depreciation
Voluntary donations
Surplus / (deficit) for year
Balance Sheet
Fixed Assets
Debtors
Cash in bank and float
Trading creditors
Net Assets
2023
2022
£
£
75,502
53,855
-
3,750
(72,409)
(54,400)
3,093
3,205
(2,518)
(2,396)
125
-
700
809
2,243
4,762
1,692
2,117
39,735
36,340
(296)
(545)
43,374
42,674

Page 20

Shirley Baptist Church, Solihull

Notes to the Accounts for the year ended 31 July 2023

15 Comparative Year Analysis

The comparison of the SOFA by fund types between this year and the previous year is shown below.

SOFA
INCOME AND ENDOWMENTS FROM
Donations and Legacies
Charitable activities
Other trading activities
Investments
Other
Total income
EXPENDITURE ON Charitable Activities
Church Activities
Coffee shop outreach
Depreciation
Total expenditure
Net income / (expenditure)
Transfers between funds
Net income after transfers
Net movement in funds
Funds brought forward at 1 August
Funds carried forward at 31 July
Gains/(losses) on revaluation of fixed
Gains/(losses) DB pension schemes
Unrestricted
Unrestricted
Restricted
Restricted
Endowment
Endowment
Funds
Funds
Funds
Funds
Funds
Funds
2023
2022
2023
2022
2023
2022
£
£
£
£
£
£
244,388
223,333
32,136
18,808
-
5,640
105,749
74,363
-
-
-
-
-
4,042
-
-
-
-
18,055
3,462
-
-
-
-
33,867
-
-
-
-
-
402,059
305,200
32,136
18,808
-
5,640
335,113
269,017
13,040
12,573
-
-
72,408
54,400
-
-
-
-
4,228
4,105
-
-
3,366
3,367
411,749
327,522
13,040
12,573
3,366
3,367
(9,690)
(22,322)
19,096
6,235
(3,366)
2,273
16,200
-
(16,200)
-
-
-
6,510
(22,322)
2,896
6,235
(3,366)
2,273
-
48,800
-
-
72,513
6,510
98,991
2,896
6,235
(3,366)
2,273
1,401,271
1,302,280
24,081
17,846
1,809,006
1,806,733
1,407,781
1,401,271
26,977
24,081
1,805,640
1,809,006

Page 21