CHESTER CATHEDRAL THE CATHEDRAL CHURCH OF CHRIST AND THE BLESSED VIRGIN MARY IN CHESTER ANNUAL REPORT OF THE CHAPTER AND ACCOUNTS YEAR ENDED 31 DECEMBER 2023 Charlty Number 1203715 CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 CONTENTS Annual Report ofthe ChapTrr Independent Audl¢orf$ R•port 12-14 S¢atement of Flnancial Activlties 15 Consolidatd Balance shee¢ 16 Ca¢hedral Balance sheet 17 Statement of Cash Flow5 N¢)tes ¢0 th• Nnandal Statements 20-43 CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 The member5 of Chap¢er. (who are the Trv5tee5 of th¢ charity of the purposes of thè Charitie5 Act) present their annual report together with the financial s¢a¢ements of The Cathedral Church ¢f Chrlst and the Blessed VlrySn Mary In the Di¢xese o( Chester (kntswn as Chester Cathedrai) for the year ended 31 December 2023. The report has been prepared in accordance Part 8 of the Charities Ac¢ 201 l. The ffinanci￿ stactments have been prepared In accordance with the accounting policies set out on pages 20 to 22 01 the attached financia] s¢atemen¢5 and comply with the Charioe5 A¢¢ 201 l and ACCOUn￿n8 and Reporring by Charities.. Statement of Recommended Practice applicable to charities preparing thelr accounts in accordance wlth the Financlal Reporring Standard applicable in the Vni¢ed Kingdom and Republic of Ireland IFRS 102). Annual Chairman'i Report 2023 Ex¢¢¢dlng Expertatlons Settin8 a realistic and sustainable bud8e¢ at the beginning of 2023 was by no means an easy lea¢. Even wlth a challenglng (arget to stretch and grow Sncome generition whilst malntsSnlng ti8ht cost controls. the eady forecasts sugg¢sted 4 5ignifi¢ant d¢fi¢iL Thi$ was based on sSmilar customer sèntimènt to 2022 and on increased os¢s due to bo¢h inflatyon and the Cathedral's commitment to malntainin8 the real living wage as a minimum for ail employee5. The story at the end of the yearls mi551onally and Inancially very much bètter than the best start- of-year scenarSos. The numbers of people accessing the building far worship, even¢5. exhibitlons. and as genernl visitors grew larger than anticipated and thelr ftnanclal contribution was bètter. The Cathedral'5 intention ¢0 be a free-¢Q-ent¢r space for those who are intriKuÈd by the sacred space. heritage and architecture remains strong. Ther4 is long his¢ory of thi5 belng valued at Chestèr Cathedral stretthing back to former Dean Frank 8ennett11920.1937) who wa5 a ploneer In arguing for Cathedra15 to be open without fe• or fence. 1¢ 15 led by the Chapter's purpose statement establlshing the Carhadral as a place for DISCOVERY, ENCOUNTER and FAITH. Whils¢ makin8 an entry charge ¢onstraJns the nUm￿r of people who access the si operatlng wlthout a fee gives a greater number of Ylsitor5 Insight into the Cathedral's signlficance and relevanc promotes morè donations, and Increases shop I refectory spendin8 a5 well as other commercial income. Total foodall over the course of the year was almos¢ 800.000 about half of whom were general Yi5itors. This sets cheS￿r Cathedral very much In the top set of places to vlslL encournln¥ many people to step into a lI￿ni Chr15tJan Church and *xplore wha¢ It Is ab¢uL The good financial outcomes for the year are the result of very good performan¢es Irom the commarcSal team5 and good management across all departments. Properry value5 and rental incomes convnued to steadily increase year-on-y•ar which éntourws the Chaptèr to maintain Its Investment in the quality and condltion of the ¢$rare. The large array of solar panels ins￿led at the end of 2022 wa5 dedicated by Blshop and Dean at the start of the year which led to much fun on Social media with pictures of fully robed elerics on the nave roof. Over the course of2023 the panels generated 34MWh ofelectricity, signthcandy cutting bills and improving the Cathedral's qnvironmental performance. The Cathedral also hope this will act as an exemplar installation encouraging others to do the samè no matter how challenging the building. Few settings are more challenyng than this. Expansi¢)n of the 501ar panel array in the coming years remains one of the most technically and financially viable opvons for the Cathedral ¢0 make further progress towards being net carbon zero by 2030. Cath•drals M•asur• 2021 The Church Commissioners gave thelr certification earfy in the year to the Cathedral's revised Constitution and Statue5 and, in compliance with the Cathed￿$ Measure 2021, these came into force on I st February 2023. The Cathedral became a registered charity under che c¢>regulation of Chari¢y Commissioners and Church Commissioners on 30 June 2023. reglstered charity number 120371 S. Through it5 newly formed Nominations Commitiel the Chapter began the process of repopulating it5 membership and I￿ committee5 at the start of the year. Thi5 Party￿lY completed by De¢emb¢r. Along with change5 in personnel among the clergy, who are ox-officio execuuve members of the Chapter. thi5 led to changes in three of the four executive members CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNT5 FOR THEYEAR ENDED 31 DECEMBER 2023 Cathedrals Measur• 2021 (contlnued) and three of the four nOn￿ecU￿Ve members In the flrst fftlve months of the new constitutSon. There have been no other changes In the Cathedral Leadership Te4m, however, whose non-cleryy members form thè executive non-voting volces at Chapter meetings. At the Start of 2024, MartSn Smith. who has been the new Chapter's first SNEM {Senior Non-Executiv6 Member). will a150 Step down having previously served nine years on the predecessor body. Chaptsr has con5equendy given a great deal of yme to inducty¢n of new personnel. The f¢Jll repopulation of Chapter and its commi¢¢ee should be Complete by mid-2024. This will enable the now Chapter. including its new SNEM. to play a full part in preparation of the Cathedral'$ next five-year strategic plan due to be publlshed next autumn. Whilst the College of Canons is no longer a part of the corpor400n as a ¢ansequence of the new Cathedrals Measure, ir remains an important constltuent part of the Cathedrnl's embodiment as 'Mother Church of the Diocese" The composition of the College has been significandy revised during the re-writlng of the new Consti¢u¢ion and Statuces. Mose importandy tht numbtr of ordained Honorary Canon5 ha5 been reduced and the number of Lay Canons has been increased so that they both stsnd at fourteen. Repopulation of the Colleg• wlll be complete in mid-2024. At a tlme whén the Church of England 15 5h¢)wlng the strain of disagreemenL It is provlng very helpful for the Cathedral to includ• a non4kcision-making body. of leading figures from across the dloce5e. who can demonstrate fellowship togethèr wlthout having to make compromi5e5 by havlng responslbili to agree partlcular resalutions. Culture and Safegu#rdlng In line with leaming from acros5 th8 Church of England, the Cathedral Leadership Team has been worklnK to develop good safeguarding practyce to a higher lèvèl by further promotyng a good safeguarding culture. There is a growing degreè of seeurtry across all departments In dealinx with issues as they arrive. Mostly thi5 involve5 provldlngthe right 50r¢ ol rtsponse to vulnerable people when they present with a variety of day-to4ay concern5 to froni-facing colleague5 In the Cathedral such as Retail. Food & Beverage, Admis5ion5, Guide¥ Vergers. Seriou5 ase5 that reach the threshold of formal safèguardlng practice 8uidance are le$5 common, and although they are handled by the CSO (Cathedral Safeguarding Officèrl in the first Instance. they are always referred to th• Diocesan Safeguarding Team and public authorities. The Cathedral Safeguarding Ad￿Sary Group has continued to work well under its independent chair over the course of the year. Its Quality As5uran¢É subgroup has provided Invaluable assistance to the CSO and has also led the way in independendy revlewing over 11)0 Cathedral cases that were nor part of the PCR2 (Pas¢ Cases Revlew number tw9} audit All these casos have now beerh discussÈd and the vast majority closed. The CSO continues to work closety with rhè Dioeesan safeguarding team a150 to bring thÈ PCR2 cases 10 a closure and to capwre all recommendations and theme5. It is èxpÈcted that thls work will be completed during 2024. Over the perfod of the last five-year strateOc plannlnK pèriod rhe L•adershlp Team and Chapter have srru¥gled to find a way of arriculating culture more generally in the Cathèdrnl. Thèrè have been several attemp¢s, bu¢ none gained the traction they needed to be adopted across thÈ Cathedrnl community. In the course 012023 three words have emeryed from the safeguarding work that are provingto be quite powerful in coalescing assent across the wider irbSt6tutlon to describe the culture in a way that renects the Cathedral's value5-. GRACI LOVE, and WELCOME. A cul¢urnl influencers group has be￿ esrknlishad to help promote these V￿UeS ind they will form thè starting point for the next iteration of the Strategic Plan along with DISCOVERY, ENCOUNTEIL and FAITH as the basis of the Cithedral's purpose. Projert Discovery Final agreement with Barclay5 Bank and Cheshire West & Cherter Covncll to return the use 0130 SL WÈrburgh Street to the Cathedrdl was signed in May. By the time of publicauon. the Cathedral wlll have begun to occupy the building and re-animate IL This is primarily intended to help the Cathedral be more visiblè and present on the high street hiving been hidden behind a building branded and used as a retail bank for the past 5iXty years. It will occupy a large amount of leadership capacity in the coming years. Whilst the instant impatt of the deal will CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 ProSett Dlscovery {contynuedl Crea￿ an uplift in the Ca¢hedral's balance sh¢et of several £million& the tot￿ projétt is likely to cost many more £millions. It will only reach its fijllest potenual benefi¢ to the city rf It achieves the supporr of some large grant making bodies such as NLHF {Na￿onI1 Lottèry Heritage Fund). The project's prSmary benefits arè currendy understood in the way 1¢ wlll improve visltor readability of the City Centrq make better use of the beautiful l*h cenwry former Krng's School buildings improve interpret&tion and orientation in5id¢ and outside of the Cathedral. provide better cultural amenity and Kdllery space, the possibiliry of a secure Treasury, community use and conferencing spaces, volunteering hub. educauon rooms and no¢ lea5¢ tollets. This project will p05è thè Challenge in the course of 2024 to achieve 5uffici¢nt funding to develop a high qvallty. attractSve and well researched proposal. This will rely on the Cathedral's exi5vng supporters who more readlly understand its value to raise a relatively small sum wlth th• prospect that ie will, in turn. lever mu¢h more funding. Tht Publ1¢ Squar• Chester Cathedral's most important work Is not done in its daily busin¥s meetings but in its ¢ontrlbutlon to soclery, the diocese and ci¢y. Sometim¢5 thls Is through hosting worship. civic events, graduations. concerc5, and dinners. It 15 a150 done thrcu¥h the Intsntional and prophetic spaces that the Cathedral curates to speak into the public squar•. Over the course ol the last year Chester cthedr￿ has for èxample: provided opportunitiès for the people of ChÈstÈr to lament the murders and harni ol babie5 in the clty's hospital bx an Individual woth'ng there as a nursè., made provision lor people to gather and celebrate the coronatyon of a new king,. hosted the Gala Installa￿0Th glvln8 a chance for vlsltors ¢0 sit und•r a lobe and refiect on the wonder and fragllity of the creatlon w¢ Inhabi¢ 5uppor¢ed ¢he Che5tsr Mystery Plays Compny ¢0 th• largest community thoatr• •v•nt in Europe and a most vlvid sell.ouc pre5entatlon of the Chrtstlan G95p¢I in the nave and qulr?,, offered a lull programm* ol worship marking key moments in the civi¢ talèndar; produced the worship and litury for BBC TV ind radio Easter Day broadcasts- ¢¢ntynued to hos¢"Making Tracks" as both a commerclal aC￿VitY and In5t*llatlon that wlden5 a¢¢es$ and celebrates local enwneering prowoss., Sn&ugurnt8d ASSEMBLE as a lorum for public debata including large scale dlscusslons about UK Imperial Iycies and Iu5¢ S¢op Oil tacti All of this is supported by a growing and able team of staff and volunwr colleagues who make this cathedral the InSpira￿Onal and vibrant plao it is. Every m¢mber, wheth•r supporting the Cathedral s¢ratewcally in governance mee¢ings or operavonally in the en¢rance5 and corridors. plays an important par¢ in a community that aspires to the mbodiment of grace, love and welcome. My thanks to each and ￿ery one. The Very Reverend im Strarford Dean and Chair of Chapter. CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 Financial overview Financi21 perforniance during 2023 improyed considerably as thè progressed and, despite anticipating an overall deficic we achieved x small operating surplus before revaluations. This financial improvemen¢was genernted by increaslng income from our Commerci￿ a¢uVI￿*$, partl¢ularly from very succe55ful Summer and Christmas exhibi¢ion5, the very popular Gaia installation. greater numbers of visitors from overseas, and an increast in the number ol events and concerts. In 2024, we have planned an exciting programme ol exhibition5 and evÈnt$ which we hope will generate in¢ome as wèll as being thouxht-provoklng for our visitors and contlnue to dNer5ify the Cathedrdl's audience. The Cathedral is now operating a¢ full capacity. with thÈ dlary fully booked for more than twelve months in advdnce. We currenty receive many more enquirie5 than we can accommodate due to lack of available Spaces though we expert the new building we have r￿cquIred to provlde fvrther in¢om¢ growth In the longer-term. Ono arta requlrlng lurther conslderati¢n is stewwdshlp ThSs has slgnificantly reduced from prtrpandeml levels. One rèason Is our congregations no longer carry the same lèv•ls of cash they dld prevSou51y. To counter this, we have added extra èlectronlc glvlng points, Introduced ori code5 and prowded addl￿onI1 inlorn)atlon for donors to transfer funds electronlcally. ThSs has Sncr•as•d Ivlng 51Wdy we rKognise that there Is 5ty1150m• way to Xo befor• w• reach previous year5, lev•l$. We are pleased that reports from the Church of England Pensions 8tsard condnue w show that our Defined Benefit Pension Scheme remains in surplus and so no charyes are noted for 2023. Our investment properties are revalued annually by our Managlng Agen¢ DN Surveyors Ltd, and the capltal value ol our investments hèld wlth CCLA at the end Of 2023 ha5 improved Irom thè 2022 hzurè, Reserves It is our policy to hold 5ufficlent cash reserves to cover salaries. utyl1￿es and borrowin¥ cos¢s for b•￿tèn six and twelve mon¢hs. plus a Sum of bLTheen £330,000 and £550.000 for regular and ernergency m￿nt•nance work. We wlll also hold cash reserves for the purposè of funding planned development work that 15 undertsken over more than one calendar year. A¢ the year-end an amount of £949,700 was held in unrestricted cash reserves. Fundr•iiing¥ Partnershlps and Support With the Support of partners Including thq Cathedrals Workshop Fell¢)wship, Historic England and Cheshlr• West and Chester Council. we havÈ lurther developed our training programmes for heritage ski115. Thi5 has enabled us to make excellen¢ progress with our maintenance backlog despiie our Yery small bud8et allocatyons. whilÈ ac the same tlme providlng very hi8h-qulity trairbing for those ￿dntIng to develop a career in herit We have also been supported by the Cathedrals Music Trusc which has enabled u5 to appoint i HÈad of Music outreach. While thls role is not expected to generate large profits, lunds Kenerated should cover the cos¢ of thi5 Important aspect of our charitable mission. The Cathedrtl empl¢)yS two part-time fundraising 5raff who support￿ ty ¥olunteers. CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 Rlskg Inllation remains one of our prlmary risks. While recent decreases in the rate go some way to alleviats our ¢on¢ems. we have seen huge increase5 in our core COSL% over the last few years which will put immense pressure on our finances for a long tyme to come. We are committed ¢0 adapting and innovating our offer, to minimi5e costs and increase income streams, but thls will be an ongoing process of development over se¥eral years. We beneffit from a highly committed and passionate workforce but due to our limited financial resource5, Wè olten find it difficult to offer the most c?mpe¢itive saiariek Thi5 Can make It difficult for us to attract and retaln the skills and experience we need. Thè range of cornpliance costs we incur each year 15 growing and changes to Iwslatian can have far-reachlng impatts on our work We monltor these changes dosely and parti¢ipate in consultation processès as fully as we can to ensure we can adapt qul¢kty when r¢qulred. Looklng forward 2024 and beyond offers many opportunities for us. Despite our ongoing ddi¢it budget loreca5L we are assessing a range of income generdtlon Initiadves and ar* moni¢orlng n•w d•v•lopments in 501tyrfarn and system5 which may save dme and funds in the lon8er-term. WÈ start 2024 in a stron8 Posltion and can ￿ ways that our deficit budget can be improved over the course of the next five years. These plans In¢ludfj Pralec¢ Dlscovery, whlch will require financial support to establish but which should generdtt substantial new income s¢reams ov•r ￿Me. and further dèvtlopmene of our wid¢r •ndowad èstatL Charitablt Purpose The Chapter are the trustees ofthe tharity and have due regard as ¢ru5tee5 to the guldance Issued by the Charity Comml551on on public benefiL A¢ the yearvend date, under th¢ new constityjtion and stawces, the charitabl• purposes of the orDni5auon a) w advance the Chrlstlan religion In accordance wlth the I￿th and prattlc• ol the Church of England, in par¢icular by furthering the mission of the Church of England., b) to caré for and conserve thè fabrit and structurè of the Cathedral Church buildinr, c} to advanc¢ any other charl¢able purp¢*se5 which are anclllary to the furthèrance of the purposes r•ferrad to In sub-paraardph a) or bl. The Cathedral ddivers a wlde range of att+vltSes in pursuit of thi5 purpose whlch durln¥ the year have Induded: A regular pattern of pubilc worship across all 365 days of the year. A programme of educauon and life-long learning activ4tlÉs covering Chri5¢ianlty, re14glon. history. ethlcs sclence and practical skills. A range of exhibition5 and events aimed at drawing att•nuon to the church or wlder spir1w￿1ty. Conunued development of training programme5 to build the hèrltage s￿115 and experience roquired adequately maintain our historic buildings. A programme of regular maSntenance and developmen¢ work to the hlstoric buildings. The CathedTrl ha5 reported in accordance with the Charity Commlsslon for England and Wales guidance on public benefit aD.d the Cbarryes 201 ! for the year ended 31 December 2023. CHESTER CATHEDRAL ANNUAL REPORT AND ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 Structure. Gov¢mance and Management FollowSng the introdvcvon of the Cathedrnls Measure 2021. the Cathedrnl was abl• to apply for formal charity rew'stration and received its w5tered charlty number. 1203715. injun¢ 2023. Thè naw Chapter member5 were appointed. and thelr s￿￿0mMIttee5 are gradually belnl populated supporod in thls process by our nèwly created Nominations and Development Committee. The Cathedral can now be found on the charity commlssion webslte. and our constlurtlon and statut•s can also be found on our own website Iwww.chestercathedrnl.com). Chapter It is the duty of Chapter to dirett and oversee the admlnlstrntion of the affalr5 of the cathedrdl Chapter meet a¢ leas¢ 51x ￿m*S each year and meetlnKs ar¢ ittèndad by th• Senlor Leadership T￿rn and any tsther member of staff. office holdèr or volunteer, as necessary. Subrd- Dean of Ch￿thr HESTER CATHEDRAL STATEMENT OF CHAPTER'S RESPONSIBILITIES IN RELATION TO THE ACCOUNTS FOR THEYEAR ENDED 31 DECEMBER 2023 The member5 of Chapter are responsible Ic* prwrlng the annual report and accounts in accorthnce with applicable law and United Kingdom Generally Accepted Accounting Prattise. Under the provisions of the Cathedrals Measure 2021 and ConstltLttlon of Chestsr Cathedral, Chapter is required to prepare atcounts for each financial year, which gSve a true and falr vSew of the Sta￿ of the CathedrI5 affairs and of its financial activities during the year. In preparing those accounts members of Chapter are required to.. selec¢ suitable accounung poli¢ies and then applying them conslrtendr, comply with appllcable accoun¢ing standards. namely the Charitie5 SORP {FRS102) and In accordance with the AcCoUn￿ng and Reporting regulations for En￿1$h Anglican Cathedra15 specified by the Church CommlssSoner under Sec￿on 30 of the Cathedra15 Meas41re 2021, subject to any departures disclosed and explained In the accounts. prepare and publish an annual report and audlted accounts whlth Ov• *true and falr vlew of the financlal actyvitle5 for éach financial year and of the assets liabillties and funds a¢ th• end of •ach financlal year of the cathedral and its connected entities: s¢ate ¢ha¢ they have complied in all mit•rlal respects with these regulatyons or des¢dbinx which regulation5 have no¢ beèn complied with and w'ving r￿tsnS for th• non-compliance., make judgements and éstlmat•s that are reasonable and prud¢n( keep proper a¢c¢untlng records from which, the ftnanclal posltlon of the Cathedr￿ be asc¢rwned wlrh reasonable accuracy a¢ any tim•,. and safeguard the asset5 of ¢h¢ uthedral and taklnK rea50nabl¢ stws for th• prnvèntion and detection of Iraud and other irregularitles. APPr￿d by the Chapter on 256 024 and slgned as authorf5ed on thèir behall by. The Very Reverend Dr Ti St arford- D•an of Ch•st•r 10 CHESTER CATHEDRAL INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CATHEDRAL CHAPTER OF CHESTER FOR THEYEAR ENDED 31 DECEMBER 2023 Opinlon We have audited the financi￿ statements of Chester Ca¢hednl for the year ended 31 December 2023 which COWIIPri5e the Consolidated Statement of Financial Attivitre5. the Consolidated and Cathèdral Balance she￿ the Consolidated Cash Flow statrrnen¢ and the no￿ to the financi￿ Statements, Including a summary of significant accounting policies. The financial report4n8 framework that has been applied in their preparation Is applicable law and United Kingdom Accounting Standard& inclvding Financial Reporting S¢andard 102 The Finan(iol Reportsng Stonddrd opplttable in the UK und Republic of Irehnd (United Kingdom Generdlly Accepted Accounung Practice). In our opinion, the financial statements.. give a true and fair vlew of the state ol the Cathedral and the group's affairs as at 310ecember 2023 and th•ir n•t mov•m•nt in funds for the year then ended., have been propedy prepared in accordance wth Unlted Kln%dom Generally Accep¢￿ Accountyn8 Prattlce,. and havè béÈn prtpared in accordanc¢ with thè regulaoons specified by the Church Comm15sionèrs under the powers given to them by settion 30 of the Cathtdrals Mèasure 2021. have bten pr¢pared in a¢cordanc¢ wlth the rnqulrements of the Charltyes Act 2011. Ba515 lor oplnion W¢ have b￿n appoSnt¢d as audlt¢r under sectlon 144 01 the charl￿e3 Att 2011 and report in accordance with the k¢ and relevant re¥ulation5 made or havlnx effec¢ thereunder. We conduaed our audit in itcordance with International S¢andard5 on Audityng {UK) (ISAS (UK)} and appllcable law. Our responsibilitie5 under those stsndards are lurther described in the Audltor's responsibllloe5 for the audlt of the fln￿¢111 statements Section of our rÈporL Wè art Independent of thè group in accordance wlth the ethical requirements thac are relevant ¢0 our audit of the financial sutement5 In the UL including the FRC'S Ethi￿ Standard, and we have fulfilled our other ethlcal responsibilitles In accordance with these requlrem¢nts. We believe that thè audSt evidence WÉ have obtatned is sufficl•nt and approprlate to provide a ba515 for our oplnlon. Concluslons Mlatln8 to 8oln8 conctrn In auditing tha financial stat•m•nts we have conduded that th¢ Chapterfs use of the golng concern basls of a¢¢oun¢ing in ¢he preparatyon ol ¢h¢ financlai rtat•m•nts is appropria¢e. Based on work we ha￿ perform•d, wt have not identrfed any matsrlal uncertalnties relatlng to ￿eftrs or ondivon5 thal individually or collectyvely. may tast significant doubt on the cathedral's ability to continue as a going concern for a period ol a¢ least tylelve months Irom when the financial statements are authgrised for Issue. Our responsibiliue5 and the re5pon5ibili¢ies of tho Chapter with respect to ￿ng concern are described in thé relevant sectyons of this reporL CHESTER CATHEDRAL INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CATHEDRAL CHAPTER OF CHESTER FORTHEYEAR ENDED 31 DECEMBER 2023 Other Infom7atlon The Chaptrr are responsible for the ather Inforn)atlon. Th• other Infornia¢ion tt*mprisès thé inforniadon included in the annual reporL Other than the financial statements and our audbtor's report thereon. Our opinion on ¢he ffinanclal Statements does not cover the other infomiat*on and, except to th• extent otherwise explici¢ly stated in our reporL we do not express any form of assurance conclusion thèr￿n. In connettion with our audit of the financial stat•ment& our responsibllity15 to read the other infomiaoon and, in doing so. con51der whether the other informavon 15 materially inconsistent wlth the financial statement5 or our knowledge ob¢ained In the audit or otherwise appear5 to be rnaterially mlsstated. If we Identify such material Inconsistencies or apparent ma*Aal mlss¢atements. we are required to determlne whether there is a material mis5¢atement In the financial statements or a materlal mlsstaternent of the other inforniation. If. based gn the work we have perfornbed, we conclude that there Is a rnaterlal miss¢atement of thls other..Information. we are required to report that fatt. We haye nothinx to report in this regard. Matt•rs on which we ar• r•qulMd to rèport by •xception We have nothing to report In respect of the follo￿n8 marters In relatlon to which the Charitles (Accounts and Report5} Re8ulatians 2008 requlre us tLI report ¢0 you if. in our opinlon.. sufflcient accoundng rncords have not been kept by th* Cathedrnl or group., the Cathedral and 8roup'5 flnancial 5tatomen¢s ar• not In agr••m•nt wlth th• accountlng records; or we have not received all the Informatlon and •xplanatlons w• r•qulr• for our audit Responslbiliti•s of th• m•mb•n of Chapt•r As explalned more fully In the Chapter Responslbllitl•s statement Set ou¢ on page 10, the Chaptèr 1$ responslbl• for the preparation of the finin¢ial statèments and for bein8 satysfied that they 8ive a true and fair view, and for Such Internaj control as the Chapter deterniin¢ is nÈcèssary to •nable the preparatlon of financial 5tatemen¢5 that are free Irom materlal mlsstatemenL whether due w fraud or érror. In preparlng the ffinanclal statements, the Chapter Is responslble for assessing thè Cathedral's abillcy to continu¢ a5 a golng concern. disclosin& a5 applicable, marters related to going concern and usln8 the going concern basi$ of accounting unless the Chapter either In￿ndS to liquidate thé Cathedrdl or to cease operatlons. or have no realistic alternative but to do so. 12 CHESTER CATHEDRAL INDEPENDENT AUDITOR￿ REPORT TO THE MEMBERS OF THE CATHEDRAL CHAPTER OF CHESTER FOR THEYEAR ENDED JI DECEMBER 2023 Auditor's respoTrsibilitieJ for the audlt of the fln•ncial statements Our objettives are to ob¢ain rea3¢nable tssurartce about whether the financial ststements as a whole are free from material misstatsmenL whether due ¢0 fraud or error, and to issue an auditor's ￿pOrt that includes our opinion. Reasonable assurance is a high level of assurance bu¢ is not a guarantee tha¢ an audit conduc¢ed Sn accordance with ISAS {UK} will always detect a material misstatsment when It exists. Misstatements can arise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on th¢ basis ol these financial Statements. Irre8ularities, including fraud. are instances of non-compliance with laws and regulations. We dèslgn procedures in line with our responsibilities. oudined above, to det•tt material miss¢a¢ements In respect of irregularities. Including fraud. The extent to which our procedure5 are capabl• of detecung irre8ularl¢les, including fraud Is detailed below. a5ed on our unders¢andin8 of the group and its clrcumstance4 we identified that the principal risks of non- complSanc• wlth laws and regulations related to the requlrements of the Charlties Ac¢ 2011 and Cathedrals Measure 2021 and we considered the ¢xtert¢ ¢0 whlch non.compliance mlght have a maorial effect on the financial s¢atement5. We also con51dered those laws artd regUla￿onS that have a dlroct Impact on the preparauon of the financlal st2￿MentS such as income tsx, payroll wand sales ¢ax. We evaluated management'5 Incentyves and opportunities for fraudulent manipulatlon of the flnanciil statements (including the risk of override of contro151 and determined that the Princip￿ rlsks werè rÉlaEed to management bias in account)nz estimates and to manual accountin8 journa15. Audit procedures perforni¢d by the engagemert C￿rn included- Inspecdng corr•spond•nc• wlth ttx authoriwes; DIscus51ons wSth management including con$ideraoon of known or 5uspecred ins¢ancès ol non- ¢ampllanc• wlth laws and regulats'on and fraud., Evaluatin8 mana8em•nt's contro15 designed w prevent and detec¢ Irregularitlès. Identifying and tèsting lournals, In partlcular lournal entri•5 P05¢ed wlth unusual account comblnations, postings by unusual u5er5 or with Unusu￿ dèscrlptions,. and Challenyng as5umpdons and judgements made by managemen¢ in thelr critical accounong esumate Because of the inherent limltations of an audi( there Is a risk that we ￿11 not detett all irregularityes. includlng those leading to a material mi55taternent in the financial statements or non-compllance with regulaiion. This risk increases the more that compliance with a law or regulation is removed from the events 74nd tyansacuon5 reflected in the financial statemènts, as WÈ will bè l•ss likely to become aware of instances of non-compliance. The risk is also greater regarding irr¢gulariti¢S occurring due to fraud rather than error. as fraud involves Intention￿ ConC￿lMen( fcrgery, collusion, omission or misrÈpr•s•ntauon. A further descrfpdon of our responslbilitSes for the wdit of the financial 5tstements is located on the Financial Reporring C*)un(il'5 Websi￿ aL wwI.frc.or .ukJauditors This d85cripuon forms part of our auditor's reporL 13 CHESTER CATHEDRAL INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CATHEDRAL CHAPTER OF CHESTER FOR THEYEAR ENDED 31 DECEMBER 2023 Use ol our r¢port Thi5 report Is made solely to the Chapter, as a body. in accordanc• with section 144 of the Charites Act 2011 and regulations made under seaion 154 01 that Att. Our 3u&it work has been undertaken so that we might stats to the Chaptèr those matters we Ire requlred to state to them in an Auditor's report and for no oth purposè. To the fulles¢ ext¢nt permltted by law. we do not accept or assume respon5ibrlity to anyone other thJn the Cathedral and the Ca¢hedryal Chapt•r as a body, for our audit worK for this repoo ar for the opinions we have fomied. l-•L LLf Haysmacinryre LLP Ststutory Auditor 10 QuÈ•n S￿eet Ilace London EC4R IAG 31 July 2024 14 **CHESTER CATHEDRAL** ## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES** ## **FOR THE YEAR ENDED 31 DECEMBER 2023** |**Note**
**Income and endowments from:**
Donations, grants and legacies
2
Other trading activities
3
Investments
4
Other income
5
**Total:**
**Expenditure on:**
Raising funds
7
Ministry
8
Music
9
Cathedral and precincts upkeep
10
Education and outreach
11
Other expenditure
12
**Total:**
Net income before gains/(losses)
Net gains (losses on listed
investments
16
Unrealised Pension Gain 21
Net gains on investment property
15
**Net income**
Transfers between funds
**Net Movement in funds**
Funds brought forward as previously
stated
Prior year adjustment
**Funds brought forward as**
**restated**
25
**Funds carried forward**|**As restated**
**Unrestricted**
**2023**
**£**
**Restricted**
**2023**
**£**
**Endowed**
**2023**
**£**
**TOTAL**
**2023**
**£**
**TOTAL**
**2022**
**£**| |---|---| ||746,581
430,159
-
1,176,740
1,757,272
1,849,634
7,782
-
1,857,416
1,385,609
-
1,806
946,553
948,359
936,303
28,421
-
-
28,421
459
----------------
----------------
----------------
----------------
----------------
**2,624,636**
**439,747**
**946,553**
**4,010,936**
**4,079,643**
1,548,601
10,362
470,215
2,029,178
2,171,807
374,518
204,693
-
579,211
698,205
367,634
14,830
-
382,464
370,564
794,835
149,761
-
944,596
1,134,410
34,253
26,944
-
61,197
53,431
-
899
-
899
716
----------------
----------------
----------------
----------------
----------------
**3,119,841**
**407,489**
**470,215**
**3,997,545**
**4,429,133**
(495,205)
32,258
476,338
13,391
(349,490)
-
35,457
81,110
116,567
(146,853)
-
-
-
-
150,609
-
-
714,285
714,285
1,222,631
----------------
----------------
----------------
----------------
----------------
**(495,205)**
**67,715**
**1,271,733**
**844,243**
**876,896**
373,182
103,156
(476,338)
-
-
**(122,023)**
**170,871**
**795,395**
**844,243**
**876,896**
------------------
------------------
------------------
------------------
------------------
1,150,121
-
1,150,121
462,611
-
462,611
19,419,675
(600,000)
18,819,675
21,032,047
(600,000)
20,432,407
19,555,510
-
19,555,510
-------------------
------------------
---------------------
---------------------
---------------------
**1,028,098**
**633,482 19,615,070 21,276,650 21,032,047**
**============**
**===========**
**=============**
**=============**
**=============**| The accompanying notes form part of the financial statements. 15 CHESTER CATHEDRAL CONSOLIDATED BALANCE SHEET FOR THEYEAR ENDED 31 DECEMBER 2023 As restated 2022 2023 FIX￿ assets Tangible assets Investment properties Other investments 1,525.867 18.787.237 1,274,958 1,551.414 18,071952 I,IS8,391 15 Total fixed asjets 21.588.062 20,781757 Curmnt *s$•ts Stacks Debtors Banlc and osh 61.979 384,201 949,7th) 61.278 224.688 ,014121 Total current 1.395.880 1.301087 Cr*di¢ors', amounts fallini due wlthln on• y•ar 1808,0471 {1,366,S87) N•t current assets 587,833 (04.500) Totsl less curr•nt Ilabllltl•s 22.17S,895 20,718.257 Credltors.. amounts failing due after one year (899.245) 1285.850> Tot41 net •ss•ts 21,276,650 20,432,407 Th• funds of the cathedrnl Endowrnen¢ funds Restricted funds Ur)restricted funds 19.615,070 633,482 1,028.098 18,819,675 462.611 22 Total net assets 21,276,650 20,432.407 Approved by Chapter on 024 and signed on their behalf b Dean Member of Chaw 16 CHESTER CATHEDRAL BALANCE SHEET FOR THEYEAR ENDED 31 DECEMBER 2023 As restated 2022 2023 Not•s Fixed usets Tanyble assrfs Investment propenl¢s Other investments 14 15 16 1,464,251 18,787.237 942,247 1,481.372 1&071952 861,137 Totsl flx•d ass•ts 21.193.n5 20,415,461 Currnnt asi•ts Stocks Debtor5 Bank and cash 17 530.440 696,498 4S&942 709,623 Total restat•d Freehold land & Bulldlngs Plant and •quipm¢nt Fixtures & Flttln IT Equipment Co¥t of Valuatlon At I lanvary 2023 Addltions Revaluatlon 1.415,143 226,640 6.891 {16.807) 33&473 1961 1,983.217 6,891 (16.807) At 31 Dèc•mbèr 2023 1,415,143 116,724 338,473 1961 1.973,301 D*pr•cladon At l January 2023 Cha Dlsposal 156,599 14,270 (1 5,760) 271244 1961 431.804 31,391 (1 5,7601 At 310•c¢mb•r 2023 155,109 289.365 2,961 447,435 Net Book Value at 31 D¢c•mber 2023 ,415.143 61.610 49.108 1,52S,867 Net Book at 31 December 1022 ,415,143 70.041 66.229 30 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THEYEAR ENDED 31 DECEMBER 2023 14. Tangible Fixed Assets cath*dr￿ Only As restated Freehold land & BulldiThgs Flxtur•s & Fittln85 IT Equipment Total Cost of Valuatlon At I january 2023 Additlons Revaluatlon ,415,143 338,473 2.961 1.756,577 At 31 Dec•mber 2023 1,415.143 33&473 2,961 1.756.$77 Depreclation At I january 2023 Charge 2n.244 2,961 275.205 At 31 D•c•mb•r 2023 289,365 2,961 292,326 Net Book Valu¢ at J l December 2023 1,415,143 49,108 1.464,251 Net 8ook Valu• at 31 December 2022 .415,143 66.229 1,481.372 31 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THEYEAR ENDED 31 DECEMBER 2023 15. Investment Property Group and Cathedral Ag rnstat•d Falr value At l January 2023 Disposa15 Revaluation 18,071952 714,285 At31 Dec•mb•r 2023 18,787,237 Investmen¢ proper¢ies are held at falr value whlch Is assessed annually by the Chip¢er. A revaluation exercise was undertaken a5 at 31 st December 2023. following a full prop•rty revaluation, by our Managini Agenc Neil Tunks of DN Surveyors Ltd on the basls of open marke¢ and an Increase In th• luation ha5 been r￿ected In th• financial sutemen¢$ 4$ Shown above. The hlstorlc cos¢ Of th• properties is no¢ known. 10. Group Ust•d Invertm¢nts Oth•r Investments Total Cost or valuatlon At l January 2023 Addltjons Dlsposals Reyaluauon 1,158,391 1,15&391 116.567 11&567 At 31 Dec¢mb•r 2023 1,274,958 1.274,9S8 Cathedral only Lrst investments Other Inv•stments Totsl Cost or valuatlon At l January 2022 Addition5 Disposals Rèvaluadon 861,037 861.137 81,110 At 31 De¢¢mber 2023 942,147 100 941247 32 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THEYEAR ENDED 31 DECEMBER 2023 D•btors: amount I￿liNg du• within one year 2023 2022 Group Trdd• debtors Chester Cathedral Enterprises Ltd Prepayments and accrued Inccme Other debtor (VAT) 361.113 197,473 23,088 27,140 75 384,201 224,688 C*th•dral only Trade d•btors Chester Cathedrnl Enterprtses Ltd Pryyments and attrud income Other debtor (VAD 265,869 241371 22.200 204,358 226,082 26.427 75 530.440 456,942 33 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (condnu•d) FOR THEYEAR ENDED J I DECEMBER 2023 Credltors: amourts fallin8 du• vAthin one year Group 2023 2022 Bank5 loan5 Trnde creditors Other ¢wtlon and soclal securlty Accruals and deferred Income Penslon deficit Other credl¢ors l Tl.327 67,970 113,613 332,391 907,507 80.417 51.163 265.375 116,746 62.125 808,047 1,366,587 Def•rr•d Incom• Optning posltlon Resourc￿ deferr•d durfng th• y•ar Amounts released from prlor p¢rtod$ 137,290 229,131 (137,290) 99.643 137.290 {99,643) 229,131 137,290 Defe￿#d Income relat¢s to monle5 recefv•d In réntsL Income rec•lv•d In advance lor the following nanclal year. 18. cr￿ltOrS. amounts falllng du• wSthSn one year C•th•drnl only 2023 2022 Banks loans Trdde credltors Othèr taxatlon and soclar security Cr￿15 and deferred Income Pension deficlt Other credltors 176,815 42.911 80.825 902,446 50,418 28.654 331,461 265,375 94.034 51,365 726,046 1.298.258 34 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THEYEAR ENDED 31 DECEMBER 2023 Creditors: amounts falling due within one year (contlnu•d) Cath*dral only D•f•rr•d incom• Opening position Resources deferred during the year Amounts rdeased from prlor perlods 137,290 229.131 {137,2901 99.643 137,290 (99.6431 229,131 137.290 Delèrrnd Incom• rd2t•s to monles rnc•Sv•d In rental Incom¢ recolvod In advance for the foll¢>wlng ffinancial yéar. 19 Crediton: *mounts fallin8 du• aft•r on• 2023 2022 Group and Cathedral only Bank loans Penslon defic1¢ 899,245 285,850 285,850 285,850 20 Bank loan$ and ov•rdraft Group 2023 2022 Payable withln anè year Payable alter one year 177.327 899.245 907,507 285,850 1,076.572 1.193,357 cathedr￿ only Payable within one y•ar Parabl¢ afw one yw 17&815 899,245 902,446 285.850 1,07&060 1,188.296 35 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THEYEAR ENDED 31 DECEMBER 2023 20 Bank loans and oyerdraft (¢¢)ntlnu¢d) Included in loans figures are five loans Loan of £513.000 provided a¢ 2% over base rate, ov•r 15 years and is repayable 74¢ £49.505 per annum. maturity date February 2027. Loan of £481,000 provided a¢ 2.65% over base rat•, over 13 years and is repayable a¢ £54.535 per annum, maturity date October 2036. Loyln of £75,000 provided at 2.65% over bise rate, over 5 y#rs, rnfinanclng In 2024 and is repayable at £8,195 per annum, maturity date is September 2033. CBIL loan of £150,000 provided at 3% over base rao. Over 5 years and Is reparable at £30,OCQ per annurn, maturiry date Is Augvst 2026. Bank Loan of £305.000 provided at 165% over base rat& ¢)ver I S yèars and Is repayable at £34.580 per annvm. maturfty is December 2038. 21 Ponslon commltmenti Chester Cathedral {DBS) particlpate5 in the Defined Benèfits Scheme sKtyon of CWPF lor lay stsff. The Schem¢ 15 administered by the Church of England Pen51ons Board. whlch holds the assets of the scheme separately from ¢hose 91 the Employer and ch• other particlpatlng employèr> CWPF has two sectyons.. l. ¢he Defined Benefits Scheme 2. the Pen5i0n Buildtr Schème, whlch has tsvo subsectS0 & a deferred annulty sectyon known a5 Penslan Buildèr ClassSc, and, b. a cash balanc• sectlon known as Pension Bullder 2014. Defined Benefits Schème The Defined Benefits Scheme {"DBS') settion of thè Church Workers P•nsion Fund pmwdes benefits for lay staff based on final pensionable salarie& For funding purposes, DBS is dlvSded Snto sub-pools in respect of each p4r¢lclpxting ernployèr as well as a further sub-pool, known as the Lilt Risk P¢Xsl. Thè Llfe Risk Pool exists to share certain rlsks between employers. includlng those relating to mortality and post-rttirèmenr InvÉsth)ent returns. The division of tht DBS Into su&pools is notlonal and is for the purp05e of clculatlng ongoing contrfbutlon& They do not al￿r the fatt that the a55et5 of the DBS are held as a single trust fund out of whlch all the benefits are to be provided. From time to time, a notional premlum is transferred from employers, sub-poo15 ¢0 the Life Risk Pool and all pensions and death benefits are paid from the Llfe Risk Pool. The Scheme is # multi-employer scheme as described in Secty+Jn 28 of FRS 102. It is n¢X possible to attrlbute DBS assets and liabilities to specific ernployers, Sin￿ each employer, through the Life Risk Seaion, r5 exposed ¢0 actuarial risks a550ciated with the current and former employees of other entities parvcipating in DBS. This mean5 that contributions are accounted for as if DB5 were a defined contribution scheme. Payments made to the scheme in year were £Nil (2022.. £41,392) which includes contributions in respett of deficits arising in earlier years and administrative costs. The SOFA credit or charye arising from past deficits is shown in the table below. If. following an actuarial valuation of the Life Risk Pool. there is a surplus or deficit in the pool, further transfers may be made from the Lile Risk Pool to the •mployers' sub-pools or vice ver5a. The amovnts to be transferred {?nd their allocation between the sub-poo15} will be setded by the Churth of England Pensions Board on the adwce of the Actuary. 36 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (¢ontinu•d) FOR THEYEAR ENDED 31 DECEMBER 2023 21 P•nslon commltments (Contlnu¢d) A valuation of the OBS scheme is carried out once every three year$. The most recent valuation as at December 2023 showed the scheme in an overall surplus and thus no payments into the scheme will be mad¢ golng forwards while t￿S remains the case. Sectyon 28.1 IA of FKS 102 requires agreed deficit recov•ry payments to be re¢ognSsed as a liablllty. The movemen¢ in the provision is Set ou¢ below: 2013 2022 lancè sheét l*ability a¢ I january Unreallsed galn op penslon assets Rèmaining Chan￿ to the balano sheèt Ilablll¢ IrKognised In SOFA) Interest Costs Deldc contrSbutlon p￿d 192.000 (150.6091 (41.3911 Balance sheet liability at 31 December Th¢ lepl Structure of the Khem• is su¢h that if *noth•r employw f￿1$, th• employ•r could become rnsponslble for paying a share of that employer's pension Ilabilitle5. 37 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FORTHEYEAR ENDED 31 DECEMBER 2023 22. Restricted funds Cath￿ra1 onty and group Inco Expendrture Trahsftrs Wes¢ door¥ CAB Debt Chor[s￿r FrieTrd5 Grant Bellringers Fund G McPhate Fund Grdnd Orpn Fund CaTh¢n Chancellor Award Fund Needlework Fund Education Irom Mlsslon Musk Sololsts Fwd Vlce Dean Fund Hardsh￿ Fund 2020 Anon. glft 2019 Church CommSMioners Grants StonerrrfdSOnS Trnnsforniirw Lhf•5 together All Churchès 3,935 3,138 9,225 {3,935) {3,138 1113001 {59) 2,138 1138 13.0751 17.525 4.305 46.532 1970 4,146 7.816 3.910 1378 22,565 4,618 44,997 3.340 4.255 695 11093 683 (S,541) 25 13701 11091 1.232 (&1831 11,7STJ 11,0001 3,785 13331 1136.6901 21,326 242.2 26,329 37,225 2,6C 1225,S601 1243291 137,3741 6001 (9931 134.295 (21,3261 14,325 11491 1600 993 J8 Di¥er51ty Cathedral Muslc Gr¥nt Oldfield Cholr Educatlon LuThche5 prol•rt Sclentlsts in Congrerdtlor* Dean's Breakfast I Churches 500 {500) 11.829) 1019 7,793 s￿32 3.812 7.770 1820 30.375 (U605) 4,373) AHF PVG Grart Solar Panels 4.373 12.160 iicoo 36 {12.1601 {12.OC#)) 1361 Nave Furnitur• Other Nave Cholr hjnd Gaia 2023 1.384 116,0761 P8,5581 {I,(wJl 13201 6841 (2141 16.076 CC Dig A55istsnt S23 Icon Fund 26,188 11370) 3,OC Deaf support Fund Savlng Pknnet Works Recharye Cty w￿1$ Trena Cox CCCSG 580 1741 57 1214) soo 1439) 61 Toral: Cathetral Onty Subsidiary ch•ritses 29.095 433,516 42S,044 14,703 {405,(e21 36n 103,156 35,457 151213 481.309 Total group 461611 439,747 {407.489) 138,613 633.482 38 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (continuod) FOR THEYEAR ENDED 31 DECEMBER 2023 22. Restricted funds Prior year comparative- Cathedral only and 8roup Inwme Expendi¢ur• Transfw$ Clf CAB Debt Bdlringers Fund G M¢Phat¢ Fund Grand Orrdn Fund Canon Chancellor Award Fund Needlework Fund Education from Mission Music Soloists Fund Vl¢• D*4n Fund Hardship Fund 2020 Anon. wft 2019 Churth Commissioners Granu Stonemasons All Churches J8 Diversity Education Lunches prolett Sdentists in Congregatlon AHF PVG Gran¢ Solar Panels Nav• Furniturn Oth•r 1138 18,763 4,757 22.041 4,002 4,255 &174 1 &374 683 1138 21565 4,618 44.997 3.340 4,255 6,695 12,093 683 3,802 1139) (3,5451 1662) 21501 1,057 15361 (4.281) 71.350 1208,040) (136,690> 21.326 21.326 2.600 414 898 8,215 3,943 12.160 12.000 36 1,461 3,735 {882) IZ614) (422) {19.430) 993 1019 7,793 4.373 12,160 12,C 19,860 36 Total: cathed￿ Only Subsidiary ¢h4rity•s 141.880 357,857 127.766 108,347 (240,S51) 1316881 29,095 433.516 Total group 499,737 236,113 (273,2391 461611 Transfers theyear follow a detalled revlew of re5trlctlons. 39 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (contlnued) FOR THEYEAR ENDED J I DECEMBER 2023 23 End0wm￿t fund Cl¢rgy-Use property Trnst for Investment Unyplied total return Totsl ¢ndowm¢nt At l January 2023 GSft component Unapplied total re¢urn .415.143 2,678.756 4.093.899 14.725.776 18,819.675 14.725.776 14.ns,776 1.415,143 1678.756 Movement In reportlns pèrlod InvestmÉnc return - net income 946.553 765,395 (387.230) 182.985) 1105,29T) 1,161436 94&553 765.395 1387,2301 {82,98SI Investment return . net galns Less Investment managemen¢ ¢osts LÈSS: flnanCI￿ costs CPI In¢roase 105,297 105.297 1,271.733 Unapplied total return •lIotat￿ ¢0 income Net mov•m•nt In the perlod (476,6381 {476,6381 105,297 690,098 79S.395 At 31 D•c¢mb•r 2023 Gift component Un•pplled totsl return ,415,143 1784.053 4,199,196 15,415.874 19,615,070 15.415.874 1 S.415.874 2.784,053 Endowment repr¢s¢nted by Tangible fixed assets InYe5tmen¢s Investment proper¢y Net current assets 1.415.143 941247 18,787,237 {630,3121 {889.2451 19,615,070 40 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS (condnued) FOR THEYEAR ENDED 31 DECEMBER 202J 24. Analys15 01 net asset between funds - Group unrestrIrt￿ Restricted funds funds 2023 2023 Endowment funds 2023 Total 2023 TanJble fixed a55ets Inves¢ment property Investments Net current assets Long term liabiliues 110,723 .415,143 1.525,866 18.787.237 1&787,237 942,247 1,274,958 1630,312) 587.834 1899.245) {899.245} 331711 300.771 917.375 1,028,098 633.482 19,615.070 21,271650 Unrestrlrt•d R•stAct fundj funds 2022 2022 Endowm•nt funds 2022 Total 2022 Ta￿bIl fix•d asstts Investment property Investment5 Net current assets Lory tem liabiliti¢s 136,271 ,415.143 18.on.952 861,137 (1,243,707) {285,8501 1,551,414 18.072.952 1.15&391 164,5001 1285,8501 297,254 165,357 1.013,850 462,611 1&819,675 20,432.407 41 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENTS {continued> FORTHEYEAR ENDED 31 DECEMBER 2023 24. Analysis of asset b•tween funds- C*th¢dral Only Unrestrlct¢d Restrirted funds nds 2023 2023 EndoTMm¢nt funds 2023 2023 Tangtble fixed assets Invdtment propery Inves¢m¢n¢s Net current assets LonK term Ilabiliues 49,108 .415.143 1.4fA.251 1&787,237 942,247 (500,892) (899,245) 1&787,237 942.247 293,361 {899,2451 978,989 151215 1,028,097 152.215 20,795,382 20.587.851 Unrestrictèd R•strict•d funds fundi 2022 2022 Endowment funds 2022 Total 2022 Tanglble flxed assets Investmènt property Investments Ne¢ current assets Long term liabilities 6&229 1,415.143 18.072,952 861,137 11,243,707) 1285.850) 1,481,372 18,on,952 861.137 (183.5381 (285,8501 1,081919 29.096 1,149.148 29.096 18,819,675 19,997,919 25. Subsidlary company The Cathedrdl owns 100% of the share Cap1￿ of Chesw Cathedral Enterprfs•s knmited, a coMp￿Y rÈ8iStered in England {regis¢ered company number 013829051. The Cathedral controls three charitable ¢rus¢s whlch are wholly for the benefit of the cath￿ra1. The Chester Cathedral Education Trust {re&stered charity number 1147915), The Chetter cathedr￿ Dtvelopmw￿rrust (registered charity number 257123) and the Chestsr Cathednl Music Trust {reOstsred charity number 115457). 26. Related party transactions Four membÈrs of Chapter receive stipend5 within the Church of England strutture. Detals are provided in no* 6. The Dean's spouse is employed as an Educatsonal Officer withln the Cathedral. 42 CHESTER CATHEDRAL NOTES TO THE FINANCIAL STATEMENT5 (¢ontiny•d) FOR THEYEAR ENDED 31 DECEMBER 2023 27. Prior p•rlod adjustm•rt Following a review of the prope￿¢5 It was found that due to a r*¢a￿orISaV0n error, on• propeny had been included in functyonal and iThves¢ment Properti￿ in the financial statements for the year ended 31 December 2022. A lu51 remew has been undertaken ofthè propertyes following the findings and the error has been reversed, by way of prior period adjuscmenL There is no impact on thÈ periods prlor to 2021 therefore the adjusunent is solely to unreallsed gains in 2021 There Is no impact on the figures reported In the 2023-year end. Summary of the prfor year ac¢ountins impact Prevlously R•ported 2022 Prlor perlod Adjustment 2022 Re5tat•d 2022 Tr4nsf•rs Tan￿bla fixed assets 1045,143 1630.OLXI) .415,143 Investment propwty 18,042,592 630.OLVJ 1600.0001 600.000 {1,222,6311 18,072,592 Galns on Inve5tmants 11,822,631) 43