THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD Charity Number: 239238
ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2022
THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD CONTENTS FOR THE YEAR ENDED 31 MARCH 2022
| Page | |
|---|---|
| Legal and Administrative Information | 1 |
| Trustees Annual Report | 2 - 9 |
| Independent Examiners Report | 10 |
| Statement of Financial Activities | 11 |
| Balance Sheet | 12 |
| Notes to the financial statements | 13 - 18 |
THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
LEGAL AND ADMINISTRATIVE INFORMATION FOR THE YEAR ENDED 31 MARCH 2022
Trustees The Lord Bishop of Chelmsford The Right Reverend of the Bishop of Barking The Right Reverend of the Bishop of Bradwell The Right Reverend of the Bishop of Colchester The Very Reverend the Dean of Chelmsford The Venerable the Archdeacon of Barking The Venerable the Archdeacon of Chelmsford The Venerable the Archdeacon of Colchester The Venerable the Archdeacon of Harlow The Venerable the Archdeacon of Stansted The Venerable the Archdeacon of Southend The Venerable the Archdeacon of West Ham The Lay Chair of Chelmsford Diocesan Synod Barking Episcopal Area Lay Representative Barking Episcopal Area Clergy Representative Bradwell Episcopal Area Lay Representative Bradwell Episcopal Area Clergy Representative Colchester Episcopal Area Lay Representative Colchester Episcopal Area Clergy Reprentative LMDC Charity Hon Secretary LMDC Charity Hon Treasurer LMDC Charity Hon Assistant Secretary Principal address Guy Hardings 53 New Street Chelmsford Essex CM1 1AT Charity Registration Number 1093240 Independent Examiner Community360 Winsley's House High Street Colchester Essex, CO1 1UG
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
The trustees present their report and financial statement for the year ended 31[st] March 2022
This is my final annual report, as I am stepping down from my role as Honorary Secretary in May 2022. It has been a privilege to serve this great charity for the last five years, during which time we have been able to help many clergy, and, latterly, some lay ministers with financial challenges. We have also changed our name, amended our objects, and created a brand-new website. I have had wonderful support over the last year from my fellow officers – John Fry, our treasurer who ably manages our finances, and Simon Law, our assistant secretary who, equally ably, administers the Summer Round of Grants.
All three of us know what a valuable service the charity gives to the ministers of Essex. Indeed, it helped me and my wife on a number of occasions in the 1980s, when we had a young family, and struggled to afford a family holiday. Today, the archdeacons administer the money we give to help with family holidays. We also give many other grants to young families in our Summer Round of grants. We help at the beginning and the end of life, and we can offer help when ministers face an emergency or a crisis. Full details of the grants that we offer can be found in the ‘how can we help’ section of our website at https://www.lmdccharity.org.uk/grants
We have significant historic assets, invested in an endowment fund administered by Sarasin. One of our trustees Richard Wyber, has valuable expertise in investments, and I am grateful to him for the help he gives us in making sure that our historic assets are wisely invested. However, in the current economic climate, the trustees have been advised that the income we receive from these assets will drop by 7.6% in the coming months, which is a matter of some concern and will result in the Charity relying more on donations and collections to maintain its level of grants.
I would like to express my grateful thanks to everyone who has supported the charity over the past year, whether by giving a donation or by serving as a trustee or as a deanery rep. Your generosity and service are very gratefully acknowledged; and, in particular, thank you to my fellow officers, Revd John Fry, for whom this has been the first year as our treasurer, a role that he has quickly and very ably picked up and Revd Simon Law (assistant secretary) who has worked for many years for the Charity. Finally, I would like to thank Claire Hazell, accountant with Community 360, for her bookkeeping for the charity.
The Revd Canon N. Martin Wood Honorary Secretary
Objectives and activities
Scope and function of the Charity
The purpose of the charity continues to be to provide financial assistance to those in licensed or beneficed ministry in the Chelmsford diocese when they face financial crisis or challenge.
At the start of the school year we make a general round of payments to help with the cost of bringing up children. An annual award is also made to the Archdeacons' holiday assistance funds, used to help ministers with family holidays. Licensed and beneficed ministers, and their surviving dependants, may be considered for immediate assistance to help with exceptional expenditure
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
We also address issues faced by single people and those whose own parents are now among their dependants. We can help all who are licensed or beneficed within the Diocese of Chelmsford, whether self-financing, employed or stipendiary, single or married, with dependants or without.
Our support for stipendiary ministers extends into retirement and continues after death to provide grants for surviving spouses and dependent children. By this means we maintain links with all who have served here even if they retired to other places. Those who move into this diocese without a qualifying appointment are not eligible for financial help, even if granted ‘Permission to Officiate’.
Public benefit
The Charity has fully complied with its obligation under section 4 of the Charities Act 2006 to have regard to the guidance on public benefit published by the Charity Commission. Although our beneficiaries constitute a defined set, their work touches upon the life of the whole communities represented by the Diocese of Chelmsford. Ministers, in the Church of England, are expected – and, in some instances, legally required – to respond to the pastoral and social needs of all who live within their parish. This may include members of other faiths and those with no visible evidence of religious observance. At the service of welcome held for a newly-arrived parish priest, leaders from the local community step forward to offer a few words of greeting. They look forward to working in partnership with the new minister, and it is important for ministers to receive affirmation in their broader civic role, with freedom from acute financial concerns that may arise through illness, hardship or other personal distress.
Financial review
The LMDC Charity receives income from its historic assets and from donations. The historic assets are invested in an endowment fund, managed by Sarasin who, despite fluctuations in the financial markets, has ensured a good return. The income from these investments, however, may be affected by falling dividend rates.
Donations to the charity come from four sources
-
Donations from PCCs: Many PCCs faced a fall in income this year due to the ongoing COVID 19 pandemic. There were periods of closure, and when churches were open, some found that numbers failed to return to pre-pandemic levels. Income has been affected, and, consequently, the amount donated to the Charity
-
Collections at special services (e.g. to welcome a new vicar): This source of income is picking up, but is not yet at pre-pandemic levels.
-
Donations from individuals
-
Donations from charitable trusts
We know that the activities of the charity would be significantly curtailed without donations, and we are immensely grateful for the generosity of many parishes, individuals, and charitable trusts in these difficult times. Donations in 2020-21 were a little over £18.5k; donations in 2021-22 were a little over £20.5k.
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
We give grants in a number of different circumstances, as follows
-
Fixed grants at the birth of a child to those in stipendiary ministry
-
Fixed grants, to the next of kin, at the death of a minister whose last post was in the diocese and who received a stipend
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Grants can be applied for by those retiring from stipendiary ministy
-
Means-tested grants are made in our ‘Summer Round’ to ministers’ families in a variety of different ways – children’s grants, children’s clothing, school outings, and visits to universities or colleges. The form is available to download from the Resources section of our new website in late spring each year
-
We give an agreed amount (£15,000 in 2022-23) to the archdeacons for them to distribute grants to help towards the costs of ministers’ family holidays
-
We help the widows or widowers of those who were in stipendiary ministry and whose last post was in Chelmsford Diocese
-
We give compassionate and emergency grants in times of crisis
The Charity no longer gives automatic grants to those retiring from stipendiary ministry, or Christmas gifts to the widows of stipendiary ministers whose last post was in the diocese. However, we are anxious to make sure that those in need of our help are encouraged to get in touch, either directly, or through their area bishop or archdeacon.
The Summer Round of grants to clergy families was also slightly down. This might be because some of our clergy families no longer meet our means-testing criteria; or it might mean that there are fewer clergy families in the diocese. It might also be because some of our Summer Round grants are for children in specific school years, which, of course, varies year by year. We get a good number of applications from all across the diocese, which suggests that the availability of this set of grants is widely known.
The amount that we gave in emergency and compassionate grants was down on the previous year.
Policies in place during the year under report were as follows:
Reserves policy
The expenditure of the Charity should be set at a level such that, in the long term, the assets of the charity are maintained in real terms, thus preserving grant making capability for future beneficiaries.
Investment policy
The Trustees of the Charity intend that the real value of their assets be maintained and enhanced over the long term by investment in a portfolio comprised of equities, fixed income stocks, other assets, and cash, offering periodic income distribution and scope to tap into accumulated capital growth on occasions where this can be done without favouring the interests of present beneficiaries at the expense of future beneficiaries over the longer term.
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
Ethical policy
We look to our investment managers to pursue a socially responsible investment policy. We encourage them to favour organisations that act with sensitivity towards the communities within which they operate, and display a good track record in terms of employment practices, corporate governance, environmental practices, and respect for humanity. We wish to avoid investments that would bring us into conflict with the ethical ethos of the Church of England. In particular, we want to avoid drawing any significant income from tobacco, pornography, armaments, gambling, alcoholic beverages, employee exploitation or adversely affecting climate change
Risk assessment policy
The trustees examine the major risks that the Charity faces in each financial year when preparing and updating its budget. The Charity has developed systems to monitor and control those risks to mitigate any impact that they have on the operations of the Charity in the future – our 'blue skies' thinking reaches out to a risk horizon of 2028.
We have successfully implemented a number of internal checks to deliver full compliance with public expectations, and the annual exchange of ideas and opinions during the course of the Annual General Meeting and Trustees meetings is valued by all concerned. The Trustees have encouraged the officers to continue codifying their systems of monitoring and control, to secure compliance with best practice within the charitable sector.
Privacy policy
The processing of personal data is governed by the General Data Protection Regulation (the “GDPR”), and the trustees have adopted a privacy policy and good practise to comply with the regulations. The full policy is set out on the charity’s website https://www.lmdccharity.org.uk/privacypolicy
Safeguarding
The trustees are committed to Safeguarding Children, Young People, Victims/perpetrators of Domestic Abuse and Vulnerable Adults. The trustee body has adopted the Church of England’s policies and best practice on safeguarding which may be found on the Church of England’s website: https://www.churchofengland.org/more/safeguarding
In conclusion
In recent years, up until the pandemic, we had become the charity of choice at inductions and other services of welcome, with generous collections being made. This can also happen at other special
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
In those deaneries that we have deanery reps, we are grateful for the good work that they do. However, as will be seen below, ten of our deaneries only have one deanery rep, and the following deaneries do not, as far as we are aware, have any deanery rep: Waltham Forest, Harlow, Maldon & Dengie, Hadleigh, Southend, Colchester, Hinkford, Dunmow & Stansted, and Saffron Walden. This is worrying, as our deanery reps not only keep the needs of the charity on the deanery and parish agenda, but they also make aware those who might be eligible for our help.
Our core team of officers works hard to ensure that grants are made with care and sensitivity to those who need them most, following the guidelines set by the trustees and subject to the formal
Deanery representatives
| Deanery representatives | ||
|---|---|---|
| Deanery | Clergy representative | Lay representative |
| Barkingand Dagenham | Chris Bolster | Vacancy |
| Havering | Vacancy | Lynne Bennett |
| Newham | David Haokip | John Meadway |
| Redbridge | Richard Wyber | Vacancy |
| Waltham Forest | Vacancy | Vacancy |
| EppingForest and Ongar | Charlie Kosla | Vacancy |
| Harlow | Vacancy | Vacancy |
| Brentwood | Vacancy | David Tee |
| Chelmsford | TerryBrown | Christine Horton |
| Maldon and Dengie | Vacancy | Vacancy |
| Basildon | Vacancy | Sarah Law |
| Hadleigh | Vacancy | Vacancy |
| Southend | Vacancy | Vacancy |
| Thurrock | Vacancy | Pam Kirby |
| Rochford | Nick Rowan | Vacancy |
| Witham | Simon Garwood | Isabel Adcock |
| Colchester | Vacancy | Vacancy |
| St Osyth | David Lower | Vacancy |
| Harwich | Vacancy | Nigel Dyson |
| Hinkford | Vacancy | Vacancy |
| Braintree | Tim Barnes | Chris Hutton |
| Dunmow and Stansted | Vacancy | Vacancy |
| Saffron Walden | Vacancy | Vacancy |
Structure, Governance and management
The charity was founded in 1747 and re-constituted by Act of Parliament in 1917, following the creation of the Diocese of Chelmsford in 1914. From 1st April 2018, following a review of Governance, and with the approval of the Charity Commission, the governors became trustees. On 25th February 2020, the Charity Commission accepted the trustees’ scheme to change the name of the charity to the Charity for Licensed Ministers in the Diocese of Chelmsford, and to change its objects so that we can now also help some ministers that are licensed but not ordained, as well as
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
The trustees who served during the year were:
The Lord Bishop of Chelmsford The Right Reverend the Bishop of Barking The Right Reverend the Bishop of Bradwell The Right Reverend the Bishop of Colchester The Very Reverend the Dean of Chelmsford The Venerable the Archdeacon of Barking The Venerable the Archdeacon of Chelmsford The Venerable the Archdeacon of Colchester The Venerable the Archdeacon of Harlow The Venerable the Archdeacon of Stansted The Venerable the Archdeacon of Southend The Venerable the Archdeacon of West Ham The Lay Chair of Chelmsford Diocesan Synod Barking Episcopal Area Lay Representative Barking Episcopal Area Clergy Representative Bradwell Episcopal Area Lay Representative Bradwell Episcopal Area Clergy Representative Colchester Episcopal Area Lay Representative Colchester Episcopal Area Clergy Representative LMDC Charity Hon Secretary LMDC Charity Hon Treasurer LMDC Charity Hon Assistant Secretary Co-opted trustee (as of 11th January 2022)
Rt. Revd Guli Francis-Dehquani Rt. Revd Lynne Cullens (from March 2022) Rt. Revd John Perumbalath Rt. Revd Roger Morris Very Revd Nicholas Henshall Ven. Christopher Burke Ven. Elizabeth Snowden Ven. Ruth Patten Ven. Vanessa Herrick Ven. Robin King Ven. Mike Lodge (until October 2021) Ven. Elwin Cockett Canon Robert Hammond Mr. John Meadway The Revd Richard Wyber F.C.A. Canon Christine Horton The Revd. Canon Nick Rowan Mr. Nigel Dyson Post vacant The Revd Canon N. Martin Wood The Revd John Fry The Revd Simon Law
The trustees met four times in 2020-21, with meetings in, June, September, November and January. The officers met a week or two before each trustee meeting.
The accounts follow the tax year, to March 31st. The investments are managed by Sarasin.
The annual meeting was on 12[th] October 2021. The annual meeting was open to all, and the trustees specifically invited the deanery representatives.
The trustees
The Trustee Body, responsible for the administration and management of the charity, shall, when complete consist of
Ex-officio
The Lord Bishop of Chelmsford (president) and the Area Bishops of the Diocese The Dean of Chelmsford The Archdeacons of the Diocese
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
Nominated
The president of the charity can nominate up to four trustees
Representative trustees
Two representative trustees shall be appointed for each of the three Episcopal Areas by the Area Bishop. Each Area Bishop may, if so desired, signify their own person as one of the two appointments in their gift
Co-opted trustees
The trustees can co-opt up to four persons, who shall be members of the Church of England, and can be lay or ordained
This is the 273[rd] annual report of the charity. After it has been adopted by the annual meeting it will be posted on the website of the charity www.lmdccharity.org
The trustees report was approved by the trustees on 13[th] September 2022
Signed
Malcolm Dulwich Trustee
Date: 13th September 2022
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
TRUSTEES ANNUAL REPORT FOR THE YEAR ENDED 31 MARCH 2022
Statement of the trustees’ responsibilities
The trustees are responsible for preparing the Trustees Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice)
In preparing these financial statements, the trustees are required to:
Select suitable accounting policies and then apply them consistently
Observe the methods and principles in the Charities SORP
Make judgements and estimates that are reasonable and prudent
State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation
The trustees are responsible for keeping sufficient 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, the Charity (Accounts and Reports) Regulations 2008 and the provision of the trust deed. They are also responsible for safeguarding the assets of the charity and hence taking responsible steps for the prevention and detection of fraud and other irregularities.
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD INDEPENDENT EXAMINER'S REPORT FOR THE YEAR ENDED 31 MARCH 2022
I report on the accounts of The Charity for Licensed Ministers in the Diocese of Chelmsford for the year ended 31 March 2022 which are set out on pages 11 to 18.
Respective responsibilities of trustees and examiner
The Charity’s Trustees are responsible for the preparation of the accounts. The Charity’s Trustees consider that an audit is not required for this year (under section 144 (2) of the Charities Act 2011 (The Act) but that an independent examination is needed.
It is my responsibility to:
-
Examine the accounts under section 145 of the Charities Act,
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To follow the procedures laid down in the General Directions given by the Charity Commissioners (under section 145(5)(b) of the Charities Act, and
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To state whether particular matters have come to my attention.
Basis of independent examiner’s Statement
My examination was carried out in accordance with the General Directions given by the Charity Commissioners. An examination includes a review of the accounting records kept by the Charity and a comparison of the accounts presented with those records. It also includes considerations of any unusual items or disclosures in the accounts, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently I do not express an audit opinion on the view given by the accounts.
Independent examiner’s statement
In the course of my examination, no material matters have come to my attention which gives me cause to believe that in, any material respect:
-
the accounting records were not kept in accordance with section 130 of the Charities Act; or
-
the accounts did not accord with the accounting records; or
-
the accounts did not comply with the applicable requirements concerning the form and content of the 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 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.
Shelley-Marie Rudling FMAAT AATQB for and on behalf of: Community360
Winsley’s House, High Street, Colchester, Essex Date 18/10/2022
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2022
| Notes Incoming resources Incoming resources from generating funds: Donations 3 Investments 4 Total incoming resources Resources expended Costs of charitable activities 7 Total resources expended Net income/(expense) for the year Net gains/(losses) on investments Net movements in funds Reconciliation of funds Total Funds B/Fwd Total Funds C/Fwd |
2022 £ 20,531 18,848 Unrestricted Funds |
2022 £ - 187 Restricted Funds |
2022 £ 20,531 19,035 Total Funds |
2021 £ 18,648 21,826 Prior period Total Funds |
|---|---|---|---|---|
| 39,378 | 187 | 39,566 | 40,474 | |
| 40,012 | - | 40,012 | 47,196 | |
| 40,012 | - | 40,012 | 47,196 | |
| (633) 14,678 |
187 1,345 |
(446) - 16,023 |
(6,722) 127,039 |
|
| 14,044 741,590 |
1,532 36,054 |
15,576 777,644 |
120,317 657,327 |
|
| 755,634 | 37,586 | 793,220 | 777,644 |
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities
Notes on pages 13 to 18 are part of these accounts
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
BALANCE SHEET AS AT 31 MARCH 2022
| Notes Fixed assets Investments 12 Current assets Debtors 13 Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total assets less current liabilities Funds of the charity: Unrestricted income funds Unrestricted funds Restricted funds Total funds 17 |
£ £ 731,495 - 62,450 62,450 725 61,725 793,220 755,634 37,586 793,220 2022 |
£ £ 716,230 - 61,573 61,573 159 61,414 777,644 741,590 36,054 777,644 2021 |
£ £ 716,230 - 61,573 61,573 159 61,414 777,644 741,590 36,054 777,644 2021 |
|---|---|---|---|
| 777,644 | |||
| 741,590 36,054 |
|||
| 777,644 |
The financial statements were approved by the Trustees on ….. 13th September 2022...................
……………………………………..
Name: Trustee Malcolm Dulwich
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
1 Accounting policies
Charity information
The Charity for Licensed Ministers in the Diocese of Chelmsford is an unincorporated charity.
1.1 Accounting convention
The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended for accounting periods commencing from 1 January 2019). The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principle accounting policies are set out below.
The financial statements do not include a cash flow statement because the charity, as a small reporting entity, is exempt from the requirement to prepare such a statement under Financial Reporting Standard 1 "Cash flow statements".
1.2 Going concern
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt to adopt the going concern basis of accounting in preparing the financial statements.
1.3 Charitable funds
Unrestricted funds are available for use at the discretion of the Trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
1.4 Income
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amount can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
1.6 Resources expended
Expenditure is accounted for on an accrual basis and is recognised in the statement of financial activities when there is a legal or constructive obligation to pay. Expenditure has been classified under headings that aggregate all costs related to that category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of those resources.
Charitable activities include all the costs incurred in activities directed at achieving the charitable objects of the charity.
Governance costs include all those costs relating to the governance infrastructure which allows the charity to operate and to generate the information required for the public accountability.
Support costs comprise those costs relating to the direct management and general running of the charity. They are allocated across the expense category on a basis which reflects their effective contribution to that expense category.
1.7 Cash and cash equivalents
Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months of less, bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8 Tangible fixed assets and depreciation
The charity has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including ransaction costs and are subsequently carried at amortised cost using the effective interest mathodess the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities, including creditors and bank loans are initially recognised at
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Derecognition of financial liabilities
Financial liabilities are derecognised when the charity's contractual obligations expire or are discharged or cancelled.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.9 Taxation
The charity activities fall within the exemptions afforded by the provision of the Income and Corporation Taxes Act 1988. Accordingly, there is no taxation charge in these accounts.
2 Critical accounting estimates and judgements
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of asset and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlaying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
| 3 Grant Income Donations and gifts Total 2021 |
Unrestricted 2022 £ 20,531 20,531 18,648 |
Restricted 2022 £ - - - |
Total 2022 £ 20,531 20,531 18,648 |
Total 2021 £ 18,648 |
|---|---|---|---|---|
| 18,648 | ||||
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THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 4. Investments Income from listed investments Income from unlisted investments Total 2021 5. Charitable Activities Emergency and compassionate grants Children grants Further education grants Other grants Support costs (see note 6) Governance costs (see note 6) Total 2021 6. Support costs Committee expenses Bank charges Audit fees Printing fees Admin wages Subscriptions Meeting expenses Bookkeeping fees Website costs Analysed between charitable activities Total 2021 |
Unrestricted 2022 £ 18,848 - 18,848 21,007 Unrestricted 2022 £ 16,400 11,560 5,200 5,045 197 1,610 40,012 47,196 Support costs 2022 £ 86 111 - - - - - - - 197 51 |
Restricted 2022 £ - 187 187 819 Restricted 2022 £ - - - - - - - - Governance costs 2022 £ - - 680 107 - - 240 538 45 1,610 5,012 |
Total 2022 £ 18,848 187 19,035 21,826 Total 2022 £ 16,400 11,560 5,200 5,045 197 1,610 40,012 47,196 Total 2022 £ 86 111 680 107 - - 240 538 45 1,807 5,063 |
Total 2021 £ 21,007 819 |
|---|---|---|---|---|
| 21,826 | ||||
| Total 2021 £ 18,950 11,020 7,200 4,963 51 5,012 |
||||
| 47,196 | ||||
| Total 2021 £ 11 40 2,394 285 - 85 - 313 1,935 |
||||
| 5,063 | ||||
There is a balance of £86 included in the above (2021: £11) relating to expenses paid to the trustees during the year for administration costs and travel expenses. Governance costs includes payments to the examiners of £500 (2021: £2,394) for audit fees.
16
THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
7. Trustees
No trustees (or any persons connected with them) received any remuneration from the charity during the year.
8. Net gains/(losses) on investments
| Unrestricted 2022 £ Revaluation of investments 14,678 14,678 Total 2021 122,263 9. Fixed assets investments Cost or valuation At 1 April 2021 Valuation changes At 31 March 2022 Carrying amount At 31 March 2022 At 31 March 2021 10. Debtors Other debtors 11. Creditors: amounts falling due within one year Accruals and deferred income |
Restricted 2022 £ 1,345 1,345 4,776 |
Total 2022 £ 16,023 16,023 127,039 Total 2022 £ - - Total 2022 £ 725 725 |
Total 2021 £ 127,039 |
|---|---|---|---|
| 127,039 | |||
| Unlisted investments £ 716,230 16,023 |
|||
| 732,253 | |||
| 732,253 | |||
| 716,230 | |||
| Total 2021 £ - |
|||
| - | |||
| Total 2021 £ 159 |
|||
| 159 |
12. Restricted funds
Included in investments is an amount which is treated as a restricted fund.
17
THE CHARITY FOR LICENSED MINISTERS IN THE DIOCESE OF CHELMSFORD
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2022
| 13. Analysis of net assets between funds Unrestricted funds 2022 £ Fund balances at 31 March 2022 are represented by: Investments 731,495 Current assets/(liabilities) 61,725 Total net assets 793,220 |
Restricted funds 2022 £ - - |
Total 2022 £ 731,495 61,725 793,220 |
Total 2021 £ 716,230 61,414 |
|---|---|---|---|
| - | 777,644 |
14. Related party transactions
There were no disclosable related party transactions during the year (2021 - none).
| 15. Cash generated from operations Surplus/(deficit) for the year Adjustments for: Investment income recognised in statement of financial activities Fair value gains and losses on investments Movements in working capital: Decrease in debtors Increase in creditors Cash absorbed by operations |
2022 £ 15,576 (19,035) (16,023) - 566 (18,915) |
2021 £ 120,317 (21,826) (127,039) 338 50 |
|---|---|---|
| (28,160) |
18