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2024-12-31-accounts

Annual Report and Financial Statements

For the Year Ended 31st December 2024

The Salisbury Diocesan Board of Finance Company no. 17442 Registered charity no. 240833

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

THE DIOCESE OF SALISBURY

From the North Wessex Downs to the Channel Islands, the Diocese of Salisbury is a Christian community of people in churches, schools and chaplaincies serving one million people, stretching over 2000 square miles. We’re one of the most geographically diverse Anglican Dioceses, covering a wide range of landscapes, from villages on the Wiltshire Plains to Poole and North Bournemouth and the Channel Islands. For more than 1,300 years we have been a regional presence of the Church of England, with a history of serving our communities through prayer and practical action. Our vision, Making Jesus Known, inspires us to continue this work of prayer, hope and service into the future, seizing new opportunities for evangelism and mission, nurturing and supporting all forms of ministry.

The purpose of the Diocesan Board of Finance (DBF) is to promote and assist the work and purposes of the Church of England in the Diocese, principally through the provision and support of local ministry across the hundreds of parishes of the Diocese. The DBF also provides a range of resources to clergy, laity and parishes in support of the life of the Church and the advancement of Christ’s Kingdom.

The DBF takes account of the Charity Commission general guidance on public benefit when considering how planned activities meet that aim. Throughout this report we endeavour to explain how the DBF’s purpose, objectives and activities benefit the public. As part of the Church of England, we aim for our mission, ministry and worship to be open to all.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

WHAT IS OUR VISION?

Making Jesus Known – the vision for the next decade.

The diocesan vision to ‘Make Jesus known’, that all may flourish and grow, seeking his kingdom, here and now’ was at the heart of the work of the DBF during 2024. Staff focused on working with clergy and volunteers to find new ways to bring the vision to life in each of the five paths, from forming a new justice network for people passionate about seeking justice, working with treasurers to develop the new Share system, supporting the launch of a new church plant, working with the army to develop vocations, placing children and young people’s voice at the heart of all we do, and supporting parishes to work towards net zero. Much is happening and God’s grace is evident in all things!

Find out more about the vision HERE

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

HOW ARE WE ACHIEVING OUR VISION?

Making Jesus Known is an invitation and call to action for everyone across the Diocese. Implementing a shared vision and strategy recognises that God is already at work in our lives and communities, in our places and our time. With prayerful intent it is an opportunity to step into new ways of doing things and partnerships with others.

Our new visual brand opened 2024 conveying the importance of our places and echoing the Easter story which transforms all of life. It has been a year of laying the foundations to build our ability to Make Jesus Known.

The five paths were offered to the local church as a basis for reflection on mission. Vision events took place in four locations with the bishops and DBF staff. The DBF started to refocus resources seeking to equip and enable the local church in mission.

The Church Changemakers campaign diversified people participating in governance. A new Diocesan Synod and Bishops Council were elected. In all areas we look to increase the voice and participation of younger people.

Reducing church attendance and post holding reinforced the need for courageous Christian leadership. We mapped out an approach to leadership formation and now seek external funding.

Growing Faith research gave a range of avenues, placing children, young people and families at the heart of our work. We launched Flourish where church and school teams work in partnership to build a worshipping community. We delivered the first regional programme for church and school leaders.

Climate action was inspired by the 'Eco Church in an Hour' campaign. We secured national funding for a Decarbonisation Officer and the offer of free energy audits was taken up in a first cohort or churches.

Financing the future sustainably led to the launch of a new Parish Share approach with full transparency about the costs of being church and therefore the choices we now need to make.

DBF staff now work from Emmaus House, Wilton as the registered office (previously Church House in Salisbury), a place for meeting and encounter.

“Making Jesus Known remains based on an encounter with Christ which upturns expectations for us as much as it did for the first disciples.”

David Pain – Diocesan Secretary

Read our Full Annual Review and Impact report HERE

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

FINANCING THE FUTURE SUSTAINABLY

During 2024 the DBF team has worked hard to make progress towards our strategic objective, financing the future sustainably.

Although - despite our efforts - we ended the year with an operational deficit, this was smaller than we have experienced in recent years and was offset by the profit on sale of assets and investment returns.

We have now rolled out our new Share scheme and are going through a transition period as this beds in. We received more Share in 2024 than we did in the previous year, reversing the trend we have seen for some time.

The DBF team have done everything they can to control central costs and to ensure that services are configured in the way that is most useful to the parishes we support.

Thank you for the positive feedback we have had about our fundraising team who have successfully helped achieve new levels of digital giving across the Diocese.

I would like to thank all the team but in particular Antony Macrow-Wood, Archdeacon of Dorset who retires in 2025. Antony stepped in, bravely, as our Finance Director for the last couple of years and has done a great deal of work on Share, management of our assets and our finance systems which will help us be even more effective at managing our finance in the future.

Mrs Jane McCormick – DBF Chair

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

FINANCIAL REVIEW 2024

Diocesan Balance sheet:

During the year, total funds increased by £0.7m to £131.3m, primarily driven by strong investment performance and the realised gain on sales of property. The DBF recorded an operating deficit of £0.9m, reflecting the ongoing financial pressures across the sector; however, this was offset by gain on property disposal and unrealised investment gains, helping to stabilise the overall financial position.

General Reserves:

Decreased by £0.3m to £1.6m, highlighting the need for continued careful management of unrestricted funds to ensure financial sustainability. Despite the deficit on core activities, the increase in total funds underscores the value of strategic asset management and long term investment planning

Investment Performance:

The DBF has the power to invest surplus funds in appropriate investments and to this end, principally makes use of the investment funds managed by CCLA Investment Management and Sarasin & Partners, the latter in their Active Climate Endowment fund. This was chosen for its more environmentally friendly portfolio. The total value of Investments increased by £0.9m, which was below our target (CPI plus 4% over a 5-year horizon) for growth and a bit low compared to the previous year, £1.2m. Our investments have performed well since the year end, despite being faced with challenges in the global market.

Custodian trusteeship:

The trustees are custodian trustees for trust financial assets with a market value of approximately £32m (2023: £35m). These assets are held for parishes in the Diocese and other charities whose area of benefit is the Diocese of Salisbury. Certificates detailing all holdings and balances as at 31st December 2024 have been sent to parishes. The trustees are also custodian trustee for all parish real property. As custodian, the trustees are responsible for the safe custody of all trust assets but do not control them. Trust assets are held separately from the assets of the DBF.

Reserves policy:

The trustees' policy is to have a general reserve equating to three months of expenditure at any one time to maintain working capital requirements and to provide adequate safeguards in respect of unforeseen deficits. At 31st December 2024 the general fund unrestricted reserves were £1.6m. This equates to under three months of expenditure, which is why the trustees have agreed the use of Total Return if necessary but to date no resolution to transfer funds from the Unapplied Total Return (UTR) to the General Fund has been agreed by trustees. The trustees have procedures in place to monitor Parish Share collection and any deviation from agreed budgets in the year.

Grant making policies:

The trustees make a variety of grants to the clergy and parishes of the Diocese, the Archbishops' Council and the Episcopal Church of the Sudan, all in furtherance of its charitable objects.

Fundraising activities:

The charity undertakes very limited fundraising activities directly with individuals. The majority of the SDBF’s income comes from other charitable entities. The SDBF does not use third party professional fundraisers and did not receive any complaints about its fundraising practices during 2024.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document:

The DBF is a company incorporated under the Companies Acts (section 1 Diocesan Boards of Finance Measure 1925 as amended). It is registered under the Companies Act 2006 and constituted by the Diocesan Synod which elects the directors/trustees. Its memorandum and articles provide that the Bishop of the Diocese is a member, and that the majority of the members shall be lay persons. The DBF is also a charity registered under the Charities Act 2011..

Recruitment of Trustees:

New trustees are elected by Diocesan Synod from its membership and a newly created Nominations Committee endeavours to find people with the requisite experience and key skills needed. Trustees are elected for terms of three years, with an extension of up to two further terms. All trustees give of their time freely. Details of trustee expenses and related party transactions are disclosed in note 14 to the accounts.

Training and Induction:

On appointment, new trustees follow a formal induction programme, and the provision of key governance documentation. Ongoing training is provided for trustees as relevant throughout their term. Training has been provided to ensure trustees are aware of their responsibilities as both company directors and charity trustees..

Organisational structure:

The Bishop’s Council provides leadership and governance to the Diocese. This is a strategic role that involves ensuring oversight, compliance and performance management. The Council meets at least four times per year. Day-to-day responsibility for the running of the DBF is delegated to the Diocesan Secretary. The Diocesan Secretary is supported by an executive management team which contains the appropriate range of skills to ensure competent management of the DBF.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

RISK MANAGEMENT

The DBF is committed to maintaining a robust risk management framework, which complies with the Charity Commission’s regulatory and good practice requirements. Our risk management is an organisation-wide function that is embedded within the culture of the DBF.

The main risks identified in 2024 were:

Ongoing decline of worshippers, particularly among those aged 50 and under, threatens the DBF’s missional impact and financial sustainability:

The DBF continues to face financial pressures due to the ongoing annual decline of approximately 1,000 worshippers across the Diocese, particularly among those aged 50 and under. This presents a significant risk to both the missional impact and financial sustainability of the DBF and Diocese. A growing number of parishes are struggling to meet Parish Share commitments as evidenced by the increase in under-payment of Parish Share and reduction of those parishes paying by direct debit. This is exacerbated by the 25% clergy vacancy rate that has led to perceptions among some parishes that they are not receiving the level of support they contribute toward. Although the new Parish Share system aims to relieve the burden for some, others may face sharp increases in contribution requests. Without sufficient income, the DBF risks being unable to deliver its charitable objectives to provision ministry and support services for parishes across the Diocese..

Mitigating activities:

Inadequate leadership and ambition prevent effective implementation of the Making Jesus Known strategy, limiting the DBF and diocese’s ability to achieve intended change.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

This risk may materialise if leaders across the DBF and the Diocese fail to successfully engage courageously with local communities, if there is a lack of willingness on the part of local communities to commit to action or if the DBF fails to develop a coherent mission and people plan underpinned by and supported by key stakeholders. This then would lead to significant further decline in church attendance and a lack of financial sustainability at both DBF and parish level.

Mitigating activities:

The burden of church building faculty processes and low confidence in the Diocesan Advisory {DAC) hinder mission and lead local leaders to bypass statutory procedures.

Feedback from the 2024 DBF services survey highlights significant challenges with the church building Faculty processes. Many local volunteer teams lack understanding of the legislation and confidence to navigate the burdensome application procedures. This, combined with the Church Buildings Team being under-resourced by over 50% until autumn 2024, has strained the process, leading to delays. In addition, several DAC members were not readily available to attend site visits which added further delays to processes and created inconsistency in DAC members’ engagement with local parishes. As a result, trust in the DAC has eroded, and some local leaders may bypass statutory processes. Church buildings, while valuable assets to communities, represent a financial burden for aging and declining congregations, particularly in rural areas with already fragile communities

Mitigating activities:

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Disaffection over the Church’s position on the ‘Prayers of Love and Faith’ reduce congregational engagement and financial giving from both sides of the debate.

This recognises that there are those who are opposed to the proposals emerging out of the House/College of Bishops although the exact nature of those proposals are yet to be made known. There is a danger that disaffected individuals will reduce their own contributions to the local Church. Conversely there is also a risk of disaffection amongst individuals who see the Church as failing to be inclusive.

Mitigating activities have included:

Safeguarding

Whilst not perceived as a principal risk, the publication of national reviews such as Makin, Scolding, Wilkinson and Jay, the General Synod Future of Safeguarding debate and decision and the resignation of high-level Church figures due to safeguarding failures created the potential for negative impacts for victims and survivors, churches and congregations. The risks were identified as retraumatising victims and survivors, possible loss of confidence in Church leadership, guidance not being followed and positive safeguarding initiatives not being implemented, decreased numbers of people going to church and loss of Share.

Considering the high profile of these issues nationally there was an increase in people contacting the safeguarding team either with disclosures of abuse or simply seeking information and reassurance. The Diocesan safeguarding team responded rapidly, taking forward actions from the 2024 INEQE audit and focused on safeguarding prevention measures (carry on doing the right things), providing reassurance through good systems and processes, openness and transparency and communication (wider messages and collaboration with the Communications Team).

The DBF trustees responded to questions from the Charity Commission regarding any impediment to their fulfilment of charity trustee responsibilities.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

DIRECTORS AND TRUSTEES DURING 2024

The members of Bishop's Council are the directors and trustees of the DBF. The members of Salisbury Diocesan Synod are the members of the DBF.

The following are the directors and trustees who served during 2024 and up to the date of signing the report:

Principal Officers of the DBF: Mrs E J McCormick Chair of the DBF Mr D Pain Diocesan Secretary The Ven A C MacRow-Wood Ex officio, Archdeacon of Dorset, Chair Diocesan Board of Education, Director of Finance & Asset management

Trustees & Directors of the DBF: The Rt Revd S Lake Bishop of Salisbury The Rt Revd K Gorham Ex officio, Bishop of Sherborne The Rt Revd Dr A Rumsey Ex officio, Bishop of Ramsbury The Very Revd N Papadopulos Ex officio, Dean of Salisbury Cathedral The Very Revd T Barker Ex officio, Dean of Guernsey The Very Revd M Keirle Ex officio, Dean of Jersey The Ven A P Jeans Ex officio, Archdeacon of Sarum The Ven P Sayer Ex officio, Archdeacon of Sherborne Revd A Perry Ex officio, Chair House of Clergy Revd G Osborne Elected clerical member Revd L Holt Elected clerical member Mr R Chitty Elected lay member, Chair House of Laity (appointed 1[st] August 2024) Mrs S Stevens Elected lay member Lady S Gooch Elected lay member Mr D Robilliard Elected lay member (appointed 1[st] August 2024) Revd C Beaumont Elected clerical member (appointed 1[st] August 2024) Mr K Peto Bostick Elected lay member (appointed 1[st] August 2024) Mr D Elliott Elected lay member (appointed 1[st] August 2024) Mr K Leslie Elected lay member (appointed 1[st] August 2024) Mrs R Macdonald Elected lay member (appointed 1[st] August 2024) Mrs T Shaw Elected lay member (appointed 1[st] August 2024) Mr S Vandeleur Elected lay member (appointed 1[st] August 2024) Mr C Pierce Elected lay member (appointed 1[st] August 2024) The Ven S Groom Ex officio, Archdeacon of Wilts (resigned 31[st] May 2024) Revd D Baldwin Elected clerical member (resigned 31[st] July 2024) Canon G Clarke Elected lay member and Ex officio Chair House of Laity (resigned 31[st] July 2024) Mrs D McIsaac Elected lay member (resigned 31[st] July 2024) Mrs R Cook Elected lay member (resigned 31[st] July 2024) Mr D Howshall Elected lay member (resigned 31[st] July 2024) Mrs J Jackson Elected lay member (resigned 31[st] July 2024) Revd J Curtis Co-opted clerical member (resigned 31[st] July 2024)

In approving this Trustees' Report, the trustees are also approving the purposes and aspirations within their capacity as company directors.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

TRUSTEES’ RESPONSIBILITIES

The trustees are responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the trustees (as Directors) to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of the affairs of the DBF and of the surplus or deficit of the DBF for that period. In preparing these financial statements the trustees are required to:

The trustees are also responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the DBF and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the DBF and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to the auditors

So far as the trustees are aware: there is no relevant audit information of which the charitable company's auditors are unaware, and we have taken all the steps that we ought to have taken as trustees in order to make ourselves aware of any relevant audit information and to establish that the charitable company's auditors are aware of that information..

By order of Trustees:

........................................................................................ Mrs Jane McCormick - DBF Chair 12th July 2025

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Office: Emmaus House
The Avenue
Wilton, Salisbury, SP2 0FG
Company Registration No.: 17442 (in England and Wales)
Charity Registration No.: 240833
Website: www.salisbury.anglican.org
Auditors: HaysMac LLP
10 Queen St Place, London EC4R 1AG
Solicitors: Wilsons LLP
Alexandra House, St Johns St,
Salisbury SP1 2SB
Diocesan Registrar: Batt Broadbent
Minster Chambers, 42/44 Castle
Street
Salisbury SP1 3TX
Bankers: Lloyds PLC
38 Blue Boar Row, Salisbury SP1 1DB
Insurers: Ecclesiastical Insurance Office plc
Beaufort House, Brunswick Road
Gloucester GL1 1JZ
Investment Managers: CCLA Investment Management Ltd Sarasin & Partners
Senator House, 85 Queen Victoria Juxon House, 100 St Paul's
Street Churchyard
London EC4V 4ET London EC4M 8BU
Glebe Property & Land Agents: Strutt & Parker
41 Milford Street, Salisbury SP1 2BP

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

INDEPENDENT AUDITOR’S REPORT

Independent auditor's report to the members of the Salisbury Diocesan Board of Finance.

Opinion:

We have audited the financial statements of the Salisbury Diocesan Board of Finance for the year ended 31st December 2024 which comprise the Group Statement of Financial Activities. the Group Income and Expenditure Account, the Group and Parent Charitable Company Balance Sheets. the Group Statement of Cash Flow and notes to the financial statements. including a summary of significant accounting policies.

The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion:

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK. including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern:

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and parent charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information:

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

The trustees are responsible for the other information. The other information comprises the information included in the Trustee's Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements. our responsibility is to read the other information and in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report on in this regard.

Opinions on other matters prescribed by the Companies Act 2006:

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception:

In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report (which incorporates the strategic report and the directors' report).

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees for the financial statements:

As explained more fully in the trustees' responsibilities statement set out on page 24, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group's and parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements:

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement 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 the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.

Based on our understanding of the charitable company and the environment in which it operates. We identified that the principal risks of non-compliance with laws and regulations related to safeguarding vulnerable beneficiaries, health and safety, and employment (including taxation), and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, the Charities Act 2011 and Church of England Measures.

We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to fund accounting, including transfers between funds, and revenue recognition.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Audit procedures performed by the engagement team included:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibillities. This description forms part of our auditor’s report.

Use of our report:

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Adam Halsey (senior Statutory Auditor) For and on behalf of HaysMac LLP, Statutory Auditor Date: 29 September 2025

10 Queen Street Place London EC4R1AG

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted funds Restricted Endowment Total Total
General Designated funds funds funds funds
2024 2023
INCOME AND ENDOWMENTS FROM Notes £'000 £'000 £'000 £'000 £'000 £'000
Donations:
Parish Share 2 10,418 - - - 10,418 10,009
Archbishops' Council & Church 3
Commissioners - - 608 - 608 639
Other donations 4 174 - 216 - 390 1,507
Charitable activities 5 103 - 452 - 555 786
Other activities 6 834 - 141 - 975 772
Investments 7 226 35 333 393 987 909
TOTAL 11,755 35 1,750 393 13,933 14,622
EXPENDITURE ON
Raising Funds 8 224 - 88 - 312 257
Charitable activities 9 12,544 134 1,710 43 14,431 14,376
SDBF BC Ltd 10 150 - - - 150 185
TOTAL 12,918 134 1,798 43 14,893 14,818
NET (EXPENDITURE)/INCOME BEFORE (1,163) (99) (48) 350 (960) (196)
INVESTMENT GAINS
Net gains/(losses) on 11 321 520 251 569 1,661 5,238
investments/property/Glebe
NET (EXPENDITURE)/INCOME (842) 421 203 919 701 5,042
GROSS TRANSFERS BETWEEN FUNDS 564 284 (455) (393) - -
NET MOVEMENT IN FUNDS (278) 705 (252) 526 701 5,042
TOTAL FUNDS BROUGHT FORWARD 26 1,897 20,018 8,330 100,384 130,629 125,587
TOTAL FUNDS CARRIED FORWARD 26 1,619 20,723 8,078 100,910 131,330 130,629

The notes on the following pages form an integral part of the financial statements.

The company has taken the exemption allowed by section 408 of the Companies Act 2006, not to prepare a company only statement of financial activities.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

INCOME AND EXPENDITURE ACCOUNT

2024 2023
£'000 £'000
TOTAL INCOMING RESOURCES 13,540 14,227
RESOURCES EXPENDED (14,850) (14,818)
OPERATING DEFICIT FOR THE YEAR (1,310) (591)
Net gains on investments 1,092 915
NET INCOME/(EXPENDITURE) FOR THE YEAR (218) 324
OTHER COMPREHENSIVE INCOME:
Net assets transferred from endowments 393 395
TOTAL RECOGNISED GAINS FOR THE YEAR 175 719

The income and expenditure account is derived from the Statement of Financial Activities with movements in endowment funds excluded to comply with company law.

All income and expenditure is derived from current activities.

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SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

CONSOLIDATED BALANCE SHEET
Group Parent Group Parent
2024 2024 2023 2023
Notes £'000 £'000 £'000 £'000
FIXED ASSETS:
TANGIBLE ASSETS 16 90,419 90,419 91,983 91,983
INVESTMENTS 18 34,876 34,876 35,316 35,316
PROGRAMME RELATED INVESTMENTS 19 264 264 89 89
125,559 125,559 127,388 127,388
CURRENT ASSETS:
CURRENT ASSETS EXC CASH 20 969 1,024 858 1,056
CASH AT BANK AND IN HAND 21 6,048 6,006 3,231 3,011
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 22 (971) (975) (573) (560)
NET CURRENT ASSETS 6,046 6,055 3,516 3,507
TOTAL ASSETS LESS CURRENT LIABILITIES 131,605 131,614 130,904 130,895
CREDITORS: AMOUNTS FALLING DUE IN MORE THAN ONE YEAR 23 (275) (275) (275) (275)
NET ASSETS 131,330 131,339 130,629 130,620
REPRESENTING:
GENERAL 1,619 1,628 1,897 1,888
DESIGNATED 20,723 20,723 20,018 20,018
ENDOWMENT 100,910 100,910 100,384 100,384
RESTRICTED 8,078 8,078 8,330 8,330
TOTAL FUNDS 28 131,330 131,339 130,629 130,620

The DBF does not have a separate revaluation reserve as the historic cost of most historical assets is not known. Valuation gains or losses are added to or deducted from the appropriate fund.

During the year, the deficit for the parent company at 31 December 2024 was (£7k) (2023 Surplus £9k)

........................................................................................................................... Mrs Jane McCormick - DBF Chair Date: 12 July 2025

The notes on the following pages form an integral part of the financial statements.

20

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

CASH FLOW STATEMENT
NET CASH OUTFLOW FROM OPERATING ACTIVITIES
CASH FLOWS FROM INVESTING ACTIVITIES:
Dividends, interest and rent from investments
Proceeds from the sale of:
Tangible fixed assets
Fixed asset investments
Purchase of:
Tangible assets for the use of DBF
Investments
Repayment of bank loan
NET CASH PROVIDED BY INVESTING ACTIVITIES
CASH FLOWS FROM FINANCING ACTIVITIES:
Loans advanced
NET CASH PROVIDED BY / (USED IN) FINANCING ACTIVITIES
CHANGE IN CASH & CASH EQUIVALENTS IN THE REPORTING PERIOD
CASH AND CASH EQUIVALENTS AT 1ST JANUARY		 2024
£'000
(2,083)
987
3,153
2,814
(1,054)
(1,000)
-
4,900
-
-
2,817
3,231
6,048
2024
£
701
99
(987)
(111)
(398)
275
(1,661)
(2,082)		 2023
£'000
(487)
909
2,365
373
(731)
-
(1,878)		 2023
£'000
(487)
909
2,365
373
(731)
-
(1,878)
- - 1,038
-
551
2,680
CASH AND CASH EQUIVALENT AT 31ST DECEMBER 3,231
RECONCILIATION OF NET MOVEMENTS IN FUNDS TO NET CASH FLOW
FROM OPERATING ACTIVITIES
NET MOVEMENT IN FUNDS FOR THE YEAR ENDED 31ST DECEMBER
ADJUSTMENTS FOR:
Depreciation charges
Dividends, interest and rent from investments
Decrease/(increase) in debtors
Increase in creditors
Non Cash-Staff Pension Surplus movement
Movement in investments and fixed assets		 2023
£
5,042
78
(909)
698
(158)
-
(5,238)
NET CASH USED IN OPERATING ACTIVITIES (487)
ANALYSIS OF CHANGES IN NET DEBT
CASH AND CASH EQUIVALENTS:
Cash and deposit accounts
BORROWINGS:
Debt due within one year
Debt due after one year
TOTAL		 at 1st Jan
Cashflows
Other
at 31st Dec
2024
£
£
changes
£
2024
£
3,231
2,817
-
6,048
3,231
2,817
-
6,048
-
-
-
-
(275)
-
-
(275)
(275)
-
-
(275)
2,956
2,817
-
5,773

21

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

STATEMENT OF COMPLIANCE:

Salisbury Diocesan Board of Finance is a company limited by guarantee (registered number 17442) and a charity (registered number 240833) registered in England & Wales.

The registered office and principal place of business is Emmaus House, The Avenue, Wilton, Salisbury SP2 OFG

The principal activities of the charitable company are set out in the Trustees' Report.

The financial statements, comprising of:

constitute the individual financial statements of Salisbury Diocesan Board of Finance for the year ended 31st December 2024.

The financial statements have been prepared in compliance with FRS102 as it applies to the financial statements of the charitable company for the year end ended 31st December 2024.

Salisbury Diocesan Board of Finance meets the definition of a public benefit entity under FRS102.

The financial statements have been presented in Pound Sterling as this is functional currency of the DBF and all values are rounded to the nearest thousand pounds (£'000) except when otherwise indicated.

BASIS OF PREPARATION:

The financial statements have been prepared under the historical cost convention, except for fixed asset investments, which are included at their market value at the balance sheet date.

The financial statements have been prepared in accordance with the Statement of Recommended Practice for Charities (SORP 2019, second edition), the Companies Act 2006 and applicable accounting standards (FRS102), and Diocesan Financial Statements Guide 5th edition 2015 (the DFS guide).

GOING CONCERN:

The trustees have reviewed the anticipated performance for a period of at least twelve months from the date of approval of the financial statements which demonstrate that there is no material uncertainty regarding the DBF's ability to meet its liabilities as they fall due, and to continue as a going concern.

This is because mitigating measures have been taken to ensure liquidity. On this basis, the trustees consider it appropriate to prepare the financial statements on a going concern basis.

22

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

INCOME:

Including legacies, is generally included in the Statement of Financial Activities (SoFA) when the DBF is entitled to the income, where receipt is probable, and the amount can be quantified with reasonable accuracy. The categories of incoming resources in the SoFA are those set down in the DFS guide.

EXPENDITURE:

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. The categories of resources expended in the SoFA are those set down in the DFS guide augmented to reflect the Diocese's Sudan and Latvia links and Milton Abbey Church.

Expenditure on raising funds is the costs attributable to generating incoming resources from all sources other than undertaking charitable activities.

Expenditure on charitable activities comprises all the resources applied by the DBF in undertaking its work to meet its charitable objectives.

Governance costs are the costs which relate to the strategic planning and the public accountability of the DBF and its compliance with legislation and regulations.

Support costs are those costs incurred in the administration of the DBF, which whilst not themselves delivering a charitable activity are necessary to its proper administration and are apportioned on an estimated basis of staff time engaged in such support activities.

Grants payable are charged in the year when the offer is conveyed to the recipient except in those cases where the offer is conditional, such grants being recognised as expenditure where the conditions attaching are fulfilled.

23

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

FUNDS:

The DBF's funds have been grouped under the following headings:

Unrestricted Funds are available for use at the discretion of the trustees. The general fund is the principal fund for use in furtherance of the general objectives of the DBF. There are also several other designated funds established by the DBF for particular purposes.

Restricted Funds are funds which are to be used in accordance with specific restrictions imposed by donors or restricted by Measure. The cost of raising and administering such funds are charged against the specific fund.

Endowment Funds are a category of restricted funds the capital of which may be either expendable or permanent.

The purpose of every fund under each heading is set out in the financial statements. All income, expenditure and gains and losses are allocated to the appropriate fund.

TANGIBLE FIXED ASSETS AND DEPRECIATION:

Tangible fixed assets costing more than £lk are capitalised and included at cost including any incidental expenses of acquisition. All freehold properties are included in the balance sheet at cost, properties acquired before the date of transition to FRS102 have been recognised using the revaluation as deemed cost exemption. The previous GAAP valuation was performed on 31st December 2012. Mixed-use property held by the DBF comprises the offices at Church House (sold during the year)

The DBF has decided no depreciation is required on the freehold properties as:

As a result of the policy of non-depreciation, the DBF performs annual impairment reviews in accordance with the requirements of FRS102 to ensure that the carrying value of the properties is not more than the recoverable amount.

Depreciation on furniture, fittings and office equipment is charged on a straight-line basis at a rate of 33.3% to write off assets over their useful lives.

A full year's charge is made in the year of acquisition. Other equipment includes photovoltaic solar installations, which are depreciated over their useful economic life as defined by the contracts for feed-in payments.

24

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

FIXED ASSET INVESTMENTS:

Unlisted investments are stated at market value at the balance sheet date. The SoFA includes the net gains and losses arising on revaluations and disposals during the year.

Land and properties that are held for investment purposes have been included at their fair value.

Programme related investments are included at the sum originally invested, less any impairments and, in the case of loans, repayments.

PENSION COSTS:

The DBF participates in a pension scheme for employees. The assets of the scheme are held separately from those of the company. Contributions are assessed by a qualified actuary so as to spread the cost over employees working lives.

Details of clergy pensions are given in the notes to the accounts.

FINANCIAL INSTRUMENTS :

The DBF only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of loans, which are subsequently measured at amortisation cost using the effective interest method.

PUBLIC BENEFIT ENTITY CONCESSIONARY LOANS :

The DBF initially measures public benefit concessionary loans at the amount received or paid. Subsequently, the carrying amount of concessionary loans are adjusted to reflect any accrued interest payable or receivable. To the extent that a loan that has been made is irrecoverable, an impairment loss is recognised in income and expenditure.

JUDGEMENTS & KEY SOURCES OR ESTIMATION UNCERTAINTY:

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and amounts reported for income and expenditure during the year. However, the nature of estimation means that actual outcomes could differ from those estimates. The following judgements (apart from those involving estimates) have had the most significant effect on amount recognised in the financial statements:

CLERGY PROPERTIES HELD AS TANGIBLE FIXED ASSETS:

These are held at deemed historical cost. Each year consideration is given to the need for an impairment provision. No such provision is required for 2024 due to favourable market conditions and the fact that four out of the five properties were sold at a profit.

FAIR VALUE OF INVESTMENT PROPERTIES:

Investment properties are included at fair market value, as assessed by Strutt & Parker who manage these properties. The properties are revalued triennially with adjustments for impairment included each year if necessary.

25

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

PENSION AND OTHER POST-EMPLOYMENT BENEFITS:

Pension provisions relating to lay staff and clergy are valued every three years on an actuarial basis. Any shortfall in funding pensions and post-retirement benefits is recognised as a liability in the accounts. Further details can be found in the notes to the accounts.

BENEFICE HOUSES RECOGNITION:

Benefice houses are legally vested in the incumbent of the benefice. However, the DBF has recognised these as functional assets on the basis that the DBF carries both obligations in terms of maintenance and improvement and object related benefits of ownership.

DEPRECIATION OF FREEHOLD PROPERTIES:

The DBF does not depreciate its freehold properties, as it judges any depreciation charge to be immaterial because of the long life of the asset and high residual value based on the DBF policy of regular maintenance. The DBF conducts an impairment review when signs of impairment exist.

26

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

2
3
4
5
6
**7 **		 INCOME NOTES
PARISH SHARE
Share Request
Less: provision for shortfall in contributions
Plus: arrears for previous years		 Unrestricted Funds
Restricted
Endowment
Total
Total
General
Designated
funds
funds
funds
2024
funds
2023
£'000
£'000
£'000
£'000
£'000
£'000
11,862
-
-
-
11,862
11,298
(1,553)
-
-
-
(1,553)
(1,400)
10,309
-
-
-
10,309
9,898
109
-
-
-
109
111
PARISH SHARE 10,418
-
-
-
10,418
10,009
THE NATIONAL CHURCH INSTITUTIONS
The Archbishops' Council
Strategic Ministry Funding
The Church Commissioners		 -
-
391
-
391
290
-
-
55
-
55
96
-
-
162
-
162
253
THE NATIONAL CHURCH INSTITUTIONS -
-
608
-
608
639
OTHER DONATIONS & GRANTS
All Churches Trust
Other Grants
Sudan Donations
Donations
Gift Aid		 90
-
-
-
90
104
81
-
27
-
108
1,197
-
-
187
-
187
194
1
-
2
-
3
12
2
-
-
-
2
-
OTHER DONATIONS & GRANTS 174
-
216
-
390
1,507
CHARITABLE ACTIVITIES
Statutory fees
Management Fees
Chaplaincy Income		 -
-
278
-
278
489
103
-
-
-
103
97
-
-
174
-
174
200
CHARITABLE ACTIVITIES 103
-
452
-
555
786
OTHER ACTIVITIES
Rental income from let clergy houses
Other Income
Fee income from property projects		 691
-
17
-
708
578
-
-
124
-
124
-
143
-
-
-
143
194
OTHER ACTIVITIES 834
-
141
-
975
772
INVESTMENT INCOME
Dividends receivable
Interest receivable
Rents from investment properties
Rents from other properties		 110
12
130
388
640
608
116
23
20
5
164
95
-
-
183
-
183
179
-
-
-
-
-
27
INVESTMENT INCOME 226
35
333
393
987
909
TOTAL INCOME 11,755
35
1,750
393
13,933
14,622

27

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

Unrestricted Funds Unrestricted Funds Restricted Endowment Total Total
General Designated funds funds funds funds
2024 2023
EXPENDITURE NOTES £'000 £'000 £'000 £'000 £'000 £'000
8 FUND RAISING COSTS
Glebe Fees - - 52 - 52 63
Agents' fees on other let property 82 - 2 - 84 64
Other expenses on other let property 69 - 4 - 73 46
Fund Raising 73 - 30 - 103 83
FUND RAISING COSTS 224 - 88 - 312 257
9 CHARITABLE ACTIVITIES
Stipends, national insurance, A Levy & Pensions 6,221 - 79 - 6,300 6,379
Clergy expenses 379 - 56 - 435 440
Maintenance of clergy property 1,812 - 611 43 2,466 2,248
DIRECT MINISTRY COST* 8,412 - 746 43 9,201 9,067
*Part of clergy deployment recharged to parishes. - - 174 - 174 201
Ministry support team 615 105 328 - 1,048 865
Communications 103 - 65 - 168 148
Ordinands colllege costs - - - - - 155
National Church - training for Ministry VOTE 1 & pooling 507 - - - 507 487
Parish support; pastoral, patronage & admin 373 - 77 - 450 347
Rural Hope - - - - - 25
Church Buildings 269 - 69 - 338 234
Safeguarding 281 - - - 281 273
Registrar & Chancellorship and other professional fees 129 - 58 - 187 186
Area Offices 103 - 78 - 181 156
Milton Abbey - - 50 - 50 39
Supporting Parish Trusts 25 - - - 25 22
Support for children and young people 22 - 8 - 30 -
MINISTERIAL SUPPORT AND SUPPORT TO PARISHES 2,427 105 733 - 3,265 2,937
WORK WITH CHILDREN AND YOUNG PEOPLE 337 - - - 337 321
Investment in IT 45 - - - 45 235
Central Costs 554 29 51 - 634 780
SDBF BC Expenses 20 - - - 20 -
Human Resources 144 - 1 - 145 149
CENTRAL COSTS AND IT INVESTMENT 763 29 52 - 844 1,164
National Church - central costs (votes 2-5) 500 - - - 500 506
Supporting the Sudans - - 179 - 179 196
Share discount 25 - - - 25 27
Interest payable 3 - - - 3 100
OTHER NON PARISH-COSTS 528 - 179 - 707 829
Audit Fees 49 - - - 49 44
Synod costs and meetings 9 - - - 9 4
General Synod Expenses 19 - - - 19 10
GOVERNANCE 77 - - - 77 58
CHARITABLE ACTIVITIES 12,544 134 1,710 43 14,431 14,376
10 OTHER RESOURCES EXPENDED 150 - - - 150 185
TOTAL EXPENDITURE 12,918 134 1,798 43 14,893 14,818

28

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

Unrestricted Funds Unrestricted Funds Restricted Endowment Total Total
General Designated funds funds funds funds
2024 2023
11 GAINS/(LOSSES) £'000 £'000 £'000 £'000 £'000 £'000
Movement in value of investments 173 30 85 604 892 1,220
Realised Gain/(Loss): Sale of clergy property 152 490 (8) - 634 818
Realised Gain/(Loss): Sale of Glebe - - - (13) (13) 160
Realised Loss: Sale of Investments (4) - (1) (22) (27) -
Revaluation: Property - - - - - 3,040
Revaluation: Investments - - 175 - 175 -
GAINS/(LOSSES): INVESTMENTS, PROPERTY & GLEBE 321 520 251 569 1,661 5,238
12 Activities
undertaken
directly
Grant
funding of
activities
Support
costs
Total
funds
2024
Total
funds
2023
ANALYSIS OF RESOURCES EXPENDED
£'000
£'000
£'000
£'000
£'000
Raising funds
163
24
-
187
257
Direct Ministry cost
9,219
106
-
9,325
9,333
Ministerial support and support to parishes
2,512
755
-
3,267
2,850
Support for Children and Young people
-
337
-
337
321
Central costs, HR and IT
-
24
845
869
1,164
National Church central costs
500
-
-
500
506
Supporting the Sudans
178
-
-
178
196
Interest payable
3
-
-
3
100
Governance
-
-
76
76
58
ANALYSIS OF RESOURCES EXPENDED INC. SUPPORT COSTS
12,575
1,246
921
14,742
14,785
ALLOCATION OF SUPPORT COSTS
£'000
£'000
£'000
£'000
£'000
Central Support and Administration
746
-
-
746
687
Audit
-
-
48
48
45
Synodical Costs
-
-
28
28
14
Governance Total
-
-
76
76
59
Depreciation
-
-
99
99
78
Supporting the Sudans
-
-
-
-
1
ALLOCATION OF SUPPORT COSTS
746
-
175
921
825

29

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

13 2024
2023
ANALYSIS OF GRANTS PAYABLE
£'000
£'000
TO INSTITUTIONS:
National Church Responsibilities
The Archbishops Council
1,007
992
Salisbury Diocesan Board of Education
337
321
TOTAL TO INSTITUTIONS
1,344
1,313
DIOCESAN LINKS OVERSEAS:
SUDANESE DIOCESES / SCHOOLS / COLLEGES
177
195
WITHIN THE DIOCESE:
PCCs
32
31
Other mission bodies
156
48
County ecumenical bodies
6
6
TOTAL WITHIN THE DIOCESE
194
85
TO INDIVIDUALS:
Individual training for ministry
108
149
First appointment, resettlement and removal
262
244
TOTAL TO INDIVIDUALS
370
393
ANALYSIS OF GRANTS PAYABLE
2,085
1,986

30

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

14 STAFF AND STIPENDIARY COSTS
2024
£
2023
£
STAFF COSTS:
Salaries Gross
1,988
1,783
Staff National Insurance
189
165
Staff Pensions
(4)
287
Casual/Temp/Freelance
89
57
Redundancy
19
6
TOTAL STAFF COSTS
2,281
2,298
SPLIT OF STAFF COSTS
SDBF BC Ltd
97
149
Rural Hope and fully reimbursed under Strategic Development Funding
-
13
Chaplaincy & Safeguarding costs: reimbursed under external funding
112
181
Grant funded staff
397
141
Remaining DBF Staff
1,675
1,814
TOTAL STAFF COSTS
2,281
2,298
STIPENDIARY COSTS:
Gross Stipends
4,793
4,790
Clergy National Insurance
401
387
Clergy Pension
1,130
1,181
Clergy Apprenticeship Levy
22
22
PEV Housing
4
-
TOTAL STIPENDIARY COSTS
6,350
6,380
SPLIT OF STIPENDIARY COSTS
Externally funded Stipendiary Costs
174
201
Remaining Stipendiary Costs
6,176
6,179
TOTAL STIPENDIARY COSTS
6,350
6,380
STAFF AND STIPENDIARY COSTS
8,631
8,678

31

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

The numbers of staff whose emoluments (but excluding Pension Contributions) amounted to more than £60,000 were as follows:

2024 2023
£60,001 - £70,000 1 2
£70,001 - £80,000 2 -
£80,001 - £90,000 1 1
£ £
Pension payments made for these employees: 48 30

REMUNERATION OF KEY MANGEMENT PERSONNEL

Key management personnel are deemed to be those having authority and responsibility delegated to them by the trustees, for planning, directing and controlling the activities of the diocese.

Diocesan Secretary David Pain
Director of Mission & Ministry and Deputy Diocesan Secretary Jonathan Triffit
Director of Strategy & Operations Elizabeth Harvey
Director of Finance & Asset management Antony MacRow-Wood
Director of Communications & Engagement Rebecca Paveley
Diocesan Surveyor Derek Bolt
2024 2023
Remuneration, pensions and expenses for these employees amounted to: 491 470
STAFF HEADCOUNT: STAFF HEADCOUNT:
The average numbers of employees 58.82 56.75
STAFF FULL TIME EQUIVALENTS (FTE):
The average numbers of employees 50.74 46.19
SPLIT OF STAFF HEADCOUNT:
SDBF BC Ltd 2.25 3.04
Rural Hope and fully reimbursed under Strategic Development Funding - 4.00
Chaplaincy & Safeguarding costs: reimbursed under external funding 3.20 3.20
Grant funded staff 7.39 3.38
Remaining DBF Staff 45.98 43.13
Total Headcount 58.82 56.75
SPLIT OF STAFF FULL TIME EQUIVALENTS (FTE):
SDBF BC Ltd 2.25 3.15
Rural Hope and fully reimbursed under Strategic Development Funding - 2.45
Chaplaincy & Safeguarding costs: reimbursed under external funding 1.60 1.60
Grant funded staff 7.22 3.38
Remaining DBF Staff 39.67 35.61
Total FTE 50.74 46.19

32

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

14 STAFF AND STIPENDIARY COSTS continued

TRUSTEES REMUNERATION AND RELATED PARTIES

The table below identifies Trustees who were in receipt of a stipend funded by the Board and/or housing provided by the Board in the year.

Stipend
The Rt Rev K Gorham No
The Rt Rev Dr A Rumsey No
The Ven A P Jeans Yes
The Ven P Sayer Yes
The Ven S Groom Yes resigned 31st May 2024
The Ven A C MacRow-Wood Yes
Canon D Baldwin Yes resigned 31st July 2024
Canon A Perry Yes
Canon L Holt Yes
Canon J Curtis Yes resigned31st July 2024
Revd C Beaumont Yes appointed 1st August 2024

One trustee is also serves as a trustee of Sarum College, an institution which the Diocese Board of Finance has had regular transactions with during the year. The Board paid £38,797 (2023: £97,138) to Sarum College during the year, in relation to to training services and conference/venue hire. These transactions were conducted at arms length and in the normal course of Business. The trustee did not participate in any decisions relating to transactions with Sarum College , in accordance with the Board's conflict of interest policy. One trustee received remuneration in the range £20,001 - £25,000 for specific expertise exercised as Director of Finance and Asset Management.

2024 2023
Trustees travel and out-of pocket expenses in their capacity as trustees: - -
Trustees travel & out-of pocket expenses in respect of Gen Synod/Archdeacon duties: 15 20

The Board is responsible for funding via the Church Commissioners the stipends of licensed stipendiary clergy in the diocese, other than bishops and

The Board paid an average of 167 (2023 - 162) stipendiary clergy as office-holders, and the costs were as follows:

The annual rate of stipend paid to Archdeacons and other clergy who were Trustees was:

were Trustees was:
2024 2023
Archdeacons:
Ranges From 41 38
To 44 40
Other Clergy:
Ranges From 27 26
To 40 29
Housing Allowance
Ranges From 10 10
To 16 16

33

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

15 CONNECTED CHARITIES

The trustees consider that Salisbury Diocesan Board of Education Ltd (SDBEL) is a connected charity. The work of education in the Diocese is undertaken by the DBF through the Board of Education. SDBEL employs no staff of its own, though its trading subsidiary, SALED Ltd, does. SDBEL makes grants to, and receives grants from, the DBF for education work in the Diocese.

2024 2023
£'000 £'000
Transactions with SDBEL and SALED Ltd
Charged to DBF:
by SALED Ltd for office services 58 57
Grants made by DBF to SDBEL 337 321
CONNECTED CHARITIES 395 378

34

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

16 TANGIBLE ASSETS
COST OR VALUATION
At 1st January 2024*
Additions
Disposals
Transfer		 Unrestricted
Designated
Restricted
Endowment
Totals		 Unrestricted
Designated
Restricted
Endowment
Totals		 Unrestricted
Designated
Restricted
Endowment
Totals
Property
Equipment
Unfinished
Assistant
Biddlecombe
Team
Benefice
Building
staff houses
Retired
Vicarages
Houses
Costs
and other
Clergy
property
Fund
£'000
£'000
£'000
£'000
£'000
£'000
£'000
£'000
1,815
1,170
143
18,322
404
14,824
56,241
92,919
383
64
184
423
-
-
-
1,054
(1,625)
-
-
(490)
(404)
-
-
(2,519)
-
-
-
(300)
300
-
-
-
AT 31ST DECEMBER 2024 573
1,234
327
17,955
300
14,824
56,241
91,454
ACCUMULATED DEPRECIATION
At 1st January 2024
Charge for the year
-
936
-
-		 -
-
-		 936
-
99
-
-		 -
-
-		 99
AT 31ST DECEMBER 2024 -
1,035
-
-		 -
-
-		 1,035
NET BOOK VALUE
AT 31ST DECEMBER 2024 573
199
327
17,955
300
14,824
56,241
90,419
AT 31ST DECEMBER 2023 1,815
234
143
18,322
404
14,824
56,241
91,983

*Two properties have been purchased with the help of value-linked loans from the Church Commissioners; when disposed of, the appropriate share of the net sale proceeds will be remitted to the Commissioners, and the related loan liability extinguished.

The value of the properties included above amounts to £355K (2023: £355K).

The DBF owns Milton Abbey Church which has a nil valuation attributed to it because of its restricted use, its restricted access and the long term maintenance liabilities which attach to it.

35

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

18 2024
2023
FIXED ASSET INVESTMENTS
£'000
£'000
INVESTMENTS WITH FUND MANAGERS
Market value at 1st January
20,318
19,098
Additions at cost
1,000
-
Disposals at carrying value
(1,668)
-
Net investment gains
892
1,220
Market value at 31st December
20,542
20,318
INVESTMENT PROPERTIES
Carrying value at 1st January
14,998
12,201
Revaluation at 31st December
-
3,040
Disposals at carrying value
(664)
(243)
Carrying value at 31st December
14,334
14,998
TOTAL INVESTMENT FIXED ASSETS AT 31ST DECEMBER
34,876
35,316
For both investments and investment properties the historical cost is not known.
CBF Church of England
570,173.84 Investment Fund shares (2023- 505,075)
13,184
11,417
Nil Property Fund shares (2023 - 1,792,094)
-
2,195
605.80 Accumulation Shares(2023 282.36 shares)
38
17
CCLA INVESTMENTS:
13,222
13,629
Sarasin General Fund
1,863
1,701
Sarain DSF Capital
5,402
4,933
SARASIN INVESTMENTSTOTAL: (5,536,725 UNITS)
7,265
6,634
Clergy Mutual Credit Union Deferred Shares
5
5
Community Solar projects
40
40
Schools Energy Cooperative
10
10
OTHER INVESTMENTS:
55
55
INVESTMENTS WITH FUND MANAGERS:
20,542
20,318
Investment Property
14,334
14,998
INVESTMENT PROPERTIES:
14,334
14,998
TOTAL INVESTMENTS
34,876
35,316

INVESTMENT PROPERTIES:

a) All land and buildings held on 31st December 2024 are held on a freehold basis

b) Investment properties were professionally valued at 31st December 2023 by Strutt and Parker ( Estate agents and Consultants). Trustees consider the carrying value appropriate, with no adjustment required this year due to ongoing uncertainity around IHT treatment of farm holdings.

c) Investment properties are held to provide an investment return, rather than as programme investments.

d) Investment properties form part of the Stipends Capital fund and Unapplied Total Return note 28.

36

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

2024 2023
19 PROGRAMME RELATED INVESTMENTS £'000 £'000
Programme related investments 264 89

Programme related investments comprise a total of £264k equity share loans in three properties for clergy at retirement. These investments were initially recognised at cost and have now subsequently been revalued and a gain of £175k has been recognised in the SoFA.

These investments are made directly in pursuit of the DBF charitable purposes rather than for financial investment purposes. The loans are not expected to be repaid in the short term.

20 2024
DEBTORS
£'000
2024
£'000
2023
£'000
2023
£'000
Group
Parent
Group
Parent
Loans to parishes
41
41
159
159
Parish Share
201
201
152
152
Accrued income and Prepayments
374
362
246
235
Sundry debtors
353
420
301
510
TOTAL DEBTORS
969
1,024
858
1,056

Included in debtors are £41k loans to parishes due in more than one year (2023 £159k)

2024 2024 2023 2023
21 CASH AND DEPOSIT ACCOUNTS £'000 £'000 £'000 £'000
Group Parent Group Parent
CASH AT BANK AND IN HAND 6,048 6,006 3,231 3,011
2024 2024 2023 2023
22 CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR: £'000 £'000 £'000 £'000
Group Parent Group Parent
HM Revenue & Customs 50 50 47 47
Accruals 483 478 222 216
Other creditors 438 447 304 297
CREDITORS - AMOUNTS FALLING DUE WITHIN ONE YEAR 971 975 573 560

37

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

2024 2024 2023 2023
23 CREDITORS - AMOUNTS DUE AFTER MORE THAN ONE YEAR £'000 £'000 £'000 £'000
LOANS:
Talbot Village Trust 117 117 117 117
Church Commissioners 158 158 158 158
TOTAL LOANS 275 275 275 275
CREDITORS - AMOUNTS DUE AFTER MORE THAN ONE YEAR 275 275 275 275

Loans from the Talbot Village Trust and the Church Commissioners are value linked loans on two properties and are due to be repaid on sale of the properties.

The value of the loan was increased in March 2022 to match the market value of the property.

24 FINANCIAL COMMITMENTS

The DBF approved a capital spend on its new registered office, Emmaus House, Wilton, to the value of £253k (2023 £580k )

25 2024
FINANCIAL INSTRUMENTS
£'000
2024
£'000
2023
£'000
2023
£'000
Group
Parent
Group
Parent
Cash
6,049
6,006
3,231
3,011
Financial assets held at fair value
35,139
35,139
35,405
35,405
Financial assets held at amortised cost
714
768
648
847
Financial liabilities held at amortised cost
(931)
(925)
(519)
(513)
Financial liabilities held at fair value
(275)
(275)
(275)
(275)
NET FINANCIAL ASSETS
40,696
40,713
38,490
38,475

a) Financial assets held at fair value include listed and unlisted investments.

b) Financial assets held at amortised cost includes accrued income, loans to parishes and other debtors but excludes prepayments.

c) Financial liabilities held at amortised cost includes trade creditors, accruals, loans and other creditors but excludes deferred income and statutory taxes and valued linked loans.

d) Financial liabilities measured at fair value are value-linked loans to the charity.

38

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

26 FUND MOVEMENTS IN THE YEAR Opening
Balance		 Income Expenditure Pension
movement		 Transfers Gains &
Losses		 Revaluations Closing
Balance
UNRESTRICTED FUNDS £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
General Fund 1,897 11,755 (12,918) - 564 321 - 1,619
TOTAL GENERAL 1,897 11,755 (12,918) - 564 321 - 1,619
Aldhelm Mission Fund 270 27 - - - 25 - 322
Clergy conference fund 108 - - - - - - 108
Crompton Fund 197 8 - - - 5 - 210
Diocese Investment Fund - - (29) - 264 - - 235
Designated Property (DPA) 19,443 - - - (85) 490 - 19,848
Ordinands Support - - (105) - 105 - - -
TOTAL DESIGNATED 20,018 35 (134) - 284 520 - 20,723
TOTAL UNRESTRICTED FUNDS 21,915 11,790 (13,052) - 848 841 - 22,342
RESTRICTED FUNDS
Aldhelm Restricted fund 1,000 - (100) - - - - 900
Retired Clergy Housing 1,260 39 (18) - 332 186 - 1,799
Biddlecombe for Ordinand 403 12 - - - 9 - 424
Pastoral & Development Fund (DPA) 4,290 204 (660) - - 39 - 3,873
Milton Abbey Fund - 3 (50) - 47 - - -
Music - 19 (7) - - - - 12
Restricted: Ministry in parishes 1,074 23 (7) - (268) 17 - 839
Resourcing Ministerial Formation (RMF) 111 17 (138) - 10 - - -
Diocesan Stipends Fund Income Account - 636 (61) - (576) - - (1)
THE SUDAN FUNDS
Sudan General 155 74 (85) - - - - 144
Sudan Juba School 13 38 (30) - - - - 21
Sudan Medical Link Fund 24 86 (64) - - - - 46
OTHER RESTRICTED FUNDS - 599 (578) - - - 21
TOTAL RESTRICTED FUNDS 8,330 1,750 (1,798) - (455) 251 - 8,078
EXPENDABLE ENDOWMENT
Benefice Houses 55,849 - - - - - - 55,849
PERMANENT ENDOWMENT
Diocesan Stipends Capital 40,751 288 (43) - (288) 482 - 41,190
Endowment: Ministry in parishes 3,784 105 - - (105) 87 - 3,871
TOTAL PERMANENT ENDOWMENT 44,535 393 (43) - (393) 569 - 45,061
TOTAL ENDOWMENT FUNDS 100,384 393 (43) - (393) 569 - 100,910
TOTAL FUNDS 130,629 13,933 (14,893) - - 1,661 - 131,330

OTHER RESTRICTED FUNDS: Primarily comprise grants received from National Church institutions. These grants are restricted in nature and are designated specifically for staffing,employment related costs,repairs on church buildings and net zero projects, in accordance with the terms of the respective grant agreements. The funding supports roles that contribute directly to the DBF charitable objectives, including mission,ministry development, and community engagement.

39

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

27 PERMANENT ENDOWNMENT
OPENING FUNDS
INCOME
Investment Income
Movement Clergy Pension Deficit
Legal and professional fees
TOTAL INCOME
EXPENDITURE
Improvements to houses
TOTAL EXPENDITURE
TRANSFERS BETWEEN FUNDS
3% from Stipend capital to cover indexation
Profit on sale of property
Transfer Investment income used for stipends
TOTAL TRANSFERS BETWEEN FUNDS
GAINS & LOSSES
Profit loss sale of Glebe Property
Revaluation
Investments
TOTAL GAINS & LOSSES
CLOSING FUNDS		 Diocesan Stipends Capital
Stipends Capital
Account
Unapplied
Total Return
£'000
£'000
19,513
21,238
-
288
-
-
-
-		 Diocesan
Stipends Capital
Endowments
for ministry in
parishes
2024
Total
2023
Total
£'000
£'000
£'000
£'000
40,751
3,784
44,535
40,212
288
105
393
395
-
-
-
-
-
-
-
-
-
288		 288
105
393
395
(43)
-		 (43)
-
(43)
-
(43)
-		 (43)
-
(43)
585
(585)
-
-
(288)		 -
-
-
-
-
-
-
399
(288)
(105)
(393)
(395)
585
(873)		 (288)
(105)
(393)
4
-
(13)
-
-
-
495		 (13)
-
(13)
160
-
-
-
3,041
495
87
582
723
-
482		 482
87
569
3,924
20,055
21,135		 41,190
3,871
45,061
44,535

The trustees adopted a Total Return accounting approach under the Diocesan Stipend Funds (Amendment) measure 2016 with effect from December 2021 to give more options for release of funds towards appropriate expenditure.

The Fund was split into capital funds and Unapplied Total Return.(UTR)

In order to establish the UTR, indexation was applied from 31st December 1995 to 31st December 2021 on Investments and 31st December 2014 for Team Vicarages as Team Vicarages did not get revalued under SORP 2015 FRC 102.

40

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

28 Fixed assets
Creditors
SUMMARY OF ASSETS BY FUND
Tangible
Investments Current Assets
excl cash
Cash
Indexation
Current
liabilities
Long term
liabilities
Net assets
UNRESTRICTED FUNDS
General Fund
£'000
1,099
£'000
2,548
£'000
434
£'000
(1,606)
£'000
-
£'000
(698)
£'000
(158)
£'000
1,619
TOTAL GENERAL
1,099
2,548
434
(1,606)
-
(698)
(158)
1,619
Aldhelm Mission Fund
-
811
-
(489)
-
-
-
322
Clergy conference fund
-
-
-
108
-
-
-
108
Crompton Fund
-
207
-
32
-
(29)
-
210
-
-
-
264
-
(29)
-
235
Designated Property
17,955
-
-
1,893
-
-
-
19,848
Ordinands Support Fund
-
-
(51)
51
-
-
-
-
TOTAL DESIGNATED
17,955
1,018
(51)
1,859
-
(58)
-
20,723
TOTAL UNRESTRICTED FUNDS
19,054
3,566
383
253
-
(756)
(158)
22,342
RESTRICTED FUNDS
Aldhelm Restricted Fund
-
-
-
900
-
-
-
900
Biddlecombe for Retired Clergy
300
1,146
-
356
-
(3)
-
1,799
Biddlecombe for Ordinand
-
401
-
22
-
-
-
423
Evreux
-
-
-
-
-
-
-
-
Bishops Office
-
-
3
(3)
-
-
-
-
Pastoral & Development Fund [DPA]
-
2,149
175
1,695
-
(31)
(117)
3,871
Milton Abbey Fund
-
-
4
(3)
-
(1)
-
-
Music
-
-
-
11
-
1
-
12
Restricted funds for ministry in parishes
-
830
-
11
-
-
-
841
RME
-
-
-
58
-
(58)
-
-
Strategic Development Funding
-
-
53
(74)
-
21
-
-
Diocesan Stipends Fund Income Account
THE SUDAN FUNDS
Sudan General
-
-
-
-
-
6
-
289
-
-
-
(151)
-
-
-
144
Sudan Juba School
-
-
8
13
-
-
-
21
Sudan Medical Link Fund
-
-
5
41
-
-
-
46
OTHER RESTRICTED FUNDS
-
-
332
(318)
-
7
-
21
TOTAL RESTRICTED FUNDS
300
4,526
586
2,998
-
(215)
(117)
8,078
Benefice Houses
56,241
-
-
(392)
-
-
-
55,849
PERMANENT ENDOWMENT
Diocesan Stipends Capital
14,824
23,174
-
3,192
-
-
-
41,190
Endowments for ministry in parishes
-
3,874
-
(3)
-
-
-
3,871
TOTAL PERMANENT ENDOWMENT
14,824
27,048
-
3,189
-
-
-
45,061
TOTAL ENDOWMENT FUNDS
71,065
27,048
-
2,797
-
-
-
100,910
TOTAL FUNDS
90,419
35,140
969
6,048
-
(971)
(275)
131,330
OUT
OUT

41

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

Description Diocese Investment Fund
Designated Property
Endowment: Min in Parishes
Evreux
General
Latvia
Milton Abbey
Ordinands Support
Resourcing Ministerial Formation (RMF)
Restricted: Min in Parishes
Retired Clergy Housing
Stipend Capital
Stipend Income
Sudan: General
Unalied Total Return		 pp
Grand Total
Transfers of Funds
2024
£'000
Pension Surplus 264
-
-
-
(264)
-
-
-
-
-
-
-
-
-
-		 -
Pension Surplus YE Pension Surplus transferred to Diocesan Investment Fund 264
-
-
-
(264)
-
-
-
-
-
-
-
-
-
-		 -
Transfer Investment Income -
-
(105)
-
416
-
-
-
-
(23)
-
-
-
-
(288)		 -
Transfer Investment Income
Transfer Investment Income
Transfer Investment Income		 Investment Inc Endown Min in Parishes to Gen
Investment Inc Restricted Min in Parishes to Gen
Investment Income from UTR to Gen		 -
-
(105)
-
105
-
-
-
-
-
-
-
-
-
-
-
-
-
-
23
-
-
-
-
(23)
-
-
-
-
-
-
-
-
-
288
-
-
-
-
-
-
-
-
-
(288)		 -
-
-
Transfers within the year -
(85)
-
-
(162)
-
47
105
10
(245)
330
-
-
-
-		 -
Transfers within the year
Transfers within the year
Transfers within the year
Transfers within the year
Transfers within the year
Transfers within the year
Transfers within the year
Transfers within the year
Transfers within the year		 Transfer of funds from Gen to Ordinands fund for support
Transfer Gen to Milton Abbey for support
Transfer from Gen to RMF fund to clear balance
Transfer funds from LAT to SUG to clear balance
Transfer DPA to Retired Clergy for Glenview in Lieu of revaluation
Correct Dep 635D fund from Rest Min in Par to Retired Clergy
Correct Dep 702D fund from Rest Min in Par to Retired Clergy
Correct Program Investments Rest Min in Par. to Retired Clergy
Transfer from Gen to Everex to clear balance		 -
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(105)
(47)
(10)
-
-
-
-
-
-
47
-
-
105
-
-
-
-
-
10
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(85)
-
-
-
-
-
-
-
-
85
-
-
-
-
-
-
-
-
-
-
-
-
-
(156)
156
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
(89)
89
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-

-

-

-

-

-
Transfer Income to Gen Fund -
-
-
-
574
-
-
-
-
-
-
-
(574)
-
-		 -
Transfer Income to Gen Fund Transfer Income to Gen Fund from Stipend Income account -
-
-
-
574
-
-
-
-
-
-
-
(574)
-
-
-
Unapplied Total Return (UTR) -
-
-
-
-
-
-
-
-
-
-
585
-
-
(585)		 -
Unapplied Total Return (UTR) 3o annual transfer from UTR to SCA for indexation -
-
-
-
-
-
-
-
-
-
-
585
-
-
(585)		 -
Grand Total 264
(85)
(105)
-
564
-
47
105
10
(268)
330
585
(574)
-
(873)		 -

42

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

DESCRIPTION OF FUNDS

UNRESTRICTED FUNDS

Unrestricted funds comprise those funds which are available for application for the general purposes of the DBF as set out in its governing document.

The General Fund:

Meets or receives the balance on activities funded by the Parish Share through the Diocesan budget. These activities include principally the costs of stipendiary ministry in the parishes of the Diocese, including clergy housing, as well as all Diocesan activities in support of parish ministry. The general fund also meets all governance costs.

The Clergy Conference Fund:

Meets the costs of the clergy residential conference, which is held every three or four years, with the most recent being held during 2017. The Diocesan budget includes a provision each year which is then used to meet the conference costs.

The Aldhelm Mission Fund:

Established in 2004, to commemorate, in 2005, the 1300th anniversary of the consecration of Aldhelm as first Bishop of Sherborne. The purpose of the fund is to support new expressions of church in the Diocese and to help fund mission posts. Applications are invited from within the Diocese for projects that connect the church to the wider community for the purpose of proclaiming the gospel.

The Ordinands’ Support Fund:

Established by the DBF in 2005, to provide a fund out of which the unpredictable costs of supporting ordinands and their families being sponsored by the Diocese can be met.

The Crompton Fund:

Established by the DBF in 2005, from a generous bequest from Col John Crompton. The fund is used for clergy work-based learning, ministry skills development and special situations.

The Designated Property Fund:

Created in 2021 to hold all properties that are not team vicarages or benefice houses.

ENDOWMENT FUNDS

Endowment funds represent those assets which must be held either long term or permanently by the DBF.

EXPENDABLE ENDOWMENTS

Benefice Houses

This represents the value of the benefice houses in the Diocese. When, following pastoral reorganisation, benefice houses are no longer required they are transferred either to the Pastoral and Development fund or to the Stipend Capital account according to the decision of Bishop’s Council.

PERMANENT ENDOWMENTS

The DBF holds a number of permanent endowments to support parochial ministry.

Stipend Capital Account

Adoption of total return in principle with regards to investments held in the endowment fund Stipend Capital Account was agreed by Bishop’s

Council in 202I. Under the Diocesan Stipends Fund (Amendment) Measure SI04b of Charities Act 20II the Stipend Capital account may be split into capital funds and unapplied total return.

The DBF is permitted to allocate monies from the unapplied total return element, such sums as the DBF see appropriate for the benefit of stipends or stipend-related costs provided that the DBF exercises its statutory duty to be even-handed as between present and future beneficiaries and that it maintains its unapplied total return at a level to ensure it remains positive after having due regard to the volatility of the investment markets. The DBF’s objective is also to maintain the value of capital funds in real terms.

Unapplied Total Return (UTR)

A transfer of £0.59m has been made to the Stipends Capital Account (SCA) from the Unapplied Total Return (UTR) to cover indexation, leaving

£2I.Im in UTR. This consists of an investment gain on the permanent endowment of £0.50m and loss on sale of Glebe £0.0Im.

43

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

RESTRICTED FUNDS

The income funds of the DBF include restricted funds comprising the following unexpended balances of donations, grants and investment income to be applied for specific purposes:

Pastoral & Development Fund (DPA)

its purposes are laid down in the Pastoral Measure I983, the main ones being:

The DBF uses the fund principally for capital housing costs, redundant churches and for grants and loans to parishes for capital projects.

Stipend Income Account:

receives the income arising from the Stipends Fund Capital Account and other income restricted to provide for stipends of clergy in the Diocese. As so far this has always been less than the cost of stipends, the income has always fully expended with no balance carried forward.

Retired Clergy Housing Fund

Created in 20I2 for the purpose of providing assistance, continued support and housing for retired clergy.

Biddlecombe for Ordinand

Created in 20I2 funds assistance, support and housing for Ordinands.

Milton Abbey Fund

Used to fund general maintenance costs of Milton Abbey and St Catherine at Milton Abbas. Grant income is sought for larger projects.

Other Restricted Funds

These funds represent restricted grants received primarily from National Church Institutions,designated for specific programs and projects in accordance with grant terms. The restrictions typically relate to the purpose and timing of expenditure. Activities funded through these grants include mission development,clergy training, community outreach activities,and specific diocesan strategic priorities. The funds are moinitored to ensure compliance with donor conditions and are not available for general operational use.

The Sudan Funds:

Constitute the funds of the DBF established to promote and manage the link between the Diocese of Salisbury and the Episcopal Church of the Sudan (ECS) which was established in 1973. The detailed management of the Sudan Funds is delegated to the Diocesan Sudan Committee which reports to the DBF and is represented on it. The Committee’s activities are channelled through three separate funds:

Sudan General:

The primary purpose is the theological education and education more generally of Sudanese, both through supporting individuals in their training for ministry, and also the institutions and schools providing such training and education. The general fund also receives and passes on donations from parishes in the Diocese of Salisbury which have established links with the Church in Sudan, mainly through visits from Sudanese bishops and other clergy.

Sudan Medical Link Fund:

Established in 1986 through an initiative of Mrs Jill Baker. It funds and ships medical supplies into clinics in Sudan and supports training for health workers.

Sudan Juba Fund:

Supports the Juba School, channelling money into support of the school.

44

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

PRIOR YEAR STATEMENT OF FINANCIAL ACTIVITIES

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31st DECEMBER 2023

Unrestricted funds Restricted Endowment Total Total
General Designated funds funds funds funds
2023 Notes 2023 2022
INCOME AND ENDOWMENTS FROM £'000 £'000 £'000 £'000 £'000 £'000
DONATIONS:
Parish Share 2 I0,009 - - - I0,009 9,903
Archbishops' Council & Church Commissioners 3 406 - 233 - 639 750
Other donations 4 30I - I,206 - I,507 960
Charitable activities 5 97 - 689 - 786 84I
Other activities 6 772 - - - 772 965
Investments 7 168 26 320 395 909 855
TOTAL 11,753 26 2,448 395 14,622 14,274
EXPENDITURE ON
Raising Funds 8 195 - 63 - 258 197
Charitable activities 9 I3,320 I9I 864 - I4,375 I4,7I4
SDBF BC Ltd 10 I85 - - - I85 263
TOTAL 13,700 191 927 - 14,818 15,174
NET (EXPENDITURE)/INCOME BEFORE INVESTMENT (I,948) (I65) I,522 395 (I96) (90I)
GAINS
NET GAINS/(LOSSES) ON INVESTMENTS/PROPERTY/GLEBE 11 II3 6I4 I88 4,323 5,238 (2,4I8)
NET GAINS/(LOSSES) ON INVESTMENTS/PROPERTY/GLEBE (1,835) 449 1,710 4,718 5,042 (3,319)
Gross transfers between funds 1,038 148 (791) (395) - -
Movement in clergy pension creditor - - - - - 3I0
NET MOVEMENT IN FUNDS (797) 597 919 4,323 5,042 (3,009)
TOTAL FUNDS BROUGHT FORWARD 26 2,694 I9,42I 7,4II 96,06I I25,587 I28,439
TOTAL FUNDS CARRIED FORWARD 26 1,897 20,018 8,330 100,384 130,629 125,430

45

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

30 PRIOR YEAR FUND MOVEMENTS

2023 Opening Balance Income Expenditure Pension
movement		 Transfers Gains & Losses Revaluations Closing Balance
UNRESTRICTED FUNDS £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
General Fund 2,694 11,752 (13,700) - 1,039 112 - 1,897
TOTAL GENERAL 2,694 11,752 (13,700) - 1,039 112 - 1,897
Clergy conference fund 108 - - - - - - 108
Aldhelm Mission Fund 275 13 (43) - - 25 - 270
Ordinands Support Fund - - (148) - 148 - - -
Crompton Fund 160 13 - - - 24 - 197
Designated Property 18,878 - - - - 565 - 19,443
TOTAL DESIGNATED 19,421 26 (191) - 148 614 - 20,018
TOTAL UNRESTRICTED FUNDS 22,115 11,778 (13,891) - 1,187 726 - 21,915
RESTRICTED FUNDS
Aldhelm Restricted fund - 1,000 - - - - - 1,000
Biddlecombe for Retired Clergy 1,284 23 (5) - 32 (72) - 1,262
Biddlecombe for Ordinand 358 11 - - - 34 - 403
Evreux (1) - - - 1 - - -
Bishops Office - - - - - - - -
Choral fund - - - - - - - -
Pastoral & Development Fund [DPA] 4,480 78 (425) - - 157 - 4,290
Latvia Fund - - - - - - - -
Milton Abbey Fund - 8 (39) - 30 - - (1)
Music 1 - (3) - 2 - - -
Restricted funds for ministry in parishes 1,053 22 - - (72) 71 - 1,074
RME 52 214 (155) - - - - 111
IME pilgrimage - - - - - - - -
Strategic Development Funding - 19 (23) - 4 - - -
Diocesan Stipends Fund Income Account - 870 (81) - (789) - - -
THE SUDAN FUNDS
Sudan General 117 119 (78) - (3) - - 155
Sudan Juba School 13 28 (28) - - - - 13
Sudan Medical Link Fund 54 57 (90) - 3 - - 24
Sudan Relief & Development Fund - - - - - - - -
TOTAL RESTRICTED FUNDS 7,411 2,449 (927) - (792) 190 - 8,331
EXPENDABLE ENDOWMENT
Benefice Houses 55,849 - - - (399) 399 - 55,849
PERMANENT ENDOWMENT
Stipends Capital Account 18,945 - - - 568 - - 19,513
Unapplied Total Return 17,811 291 - - (460) 555 3,040 21,237
Endowments for ministry in parishes 3,456 104 - - (104) 328 - 3,784
TOTAL PERMANENT ENDOWMENT 40,212 395 - - 4 883 3,040 44,534
TOTAL ENDOWMENT FUNDS 96,061 395 - - (395) 1,282 3,040 100,383
TOTAL FUNDS 125,587 14,622 (14,818) - - 2,198 3,040 130,629

46

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

31 PRIOR YEAR SUMMARY OF ASSETS BY FUND

Fixed assets Fixed assets Creditors Creditors
Current
2023 Tangible Investments Assets excl
cash		 Cash Indexation Current
liabilities		 Long term
liabilities		 Net assets
UNRESTRICTED FUNDS £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000
General Fund 2,192 2,508 694 (2,940) - (400) (158) 1,896
TOTAL GENERAL 2,192 2,508 694 (2,940) - (400) (158) 1,896
Clergy conference fund - - - 108 - - - 108
Aldhelm Mission Fund - 286 - (16) - - - 270
Ordinands Support Fund - - (51) 51 - - - -
Crompton Fund - 282 - (55) - (29) - 198
Designated Property 18,322 - - 1,121 - - - 19,443
TOTAL DESIGNATED 18,322 568 (51) 1,209 - (29) - 20,019
TOTAL UNRESTRICTED FUNDS 20,514 3,076 643 (1,731) - (429) (158) 21,915
RESTRICTED FUNDS
Aldhelm Restricted Fund - - - 1,000 - - - 1,000
Biddlecombe for Retired Clergy 404 842 - 16 - (1) - 1,261
Biddlecombe for Ordinand - 393 - 11 - - - 404
Evreux - - - - - - - -
Bishops Office - - 3 (3) - - - -
Choral fund - - - - - - - -
Pastoral & Development Fund [DPA] - 1,936 155 2,327 - (13) (117) 4,288
Latvia Fund - - - - - - - -
Milton Abbey Fund - - 4 (2) - (1) - 1
Music - - - (1) - 1 - -
Restricted funds for ministry in parishes - 900 - 174 - - - 1,074
RME - - - 110 - 1 - 111
IME pilgrimage - - - - - - - -
Strategic Development Funding - - 53 (74) - 21 - -
Diocesan Stipends Fund Income Account - - - - - - - -
THE SUDAN FUNDS
Sudan General - - - 329 - (152) - 177
Sudan Juba School - - - 13 - - - 13
Sudan Medical Link Fund - - - 1 - - - 1
Sudan Relief & Development Fund - - - - - - - -
TOTAL RESTRICTED FUNDS 404 4,071 215 3,901 - (144) (117) 8,330
EXPENDABLE ENDOWMENT
Benefice Houses 56,241 - - (392) - - - 55,849
PERMANENT ENDOWMENT
Stipends Capital Account 8,773 9,931 - 567 1,120 - (310) 20,081
Unapplied Total Return 6,051 14,539 - 889 (1,120) - 310 20,669
Endowments for ministry in parishes - 3,788 - (3) - - - 3,785
TOTAL PERMANENT ENDOWMENT 14,824 28,258 - 1,453 - - - 44,535
TOTAL ENDOWMENT FUNDS 71,065 28,258 - 1,061 - - - 100,384
TOTAL FUNDS 91,983 35,405 858 3,231 - (573) (275) 130,629

47

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

PENSIONS

LAY STAFF

CHURCH WORKERS PENSION FUND (CWPF)

DBF participates in the Pension Builder Scheme section of CWPF for lay staff. CWPF is administered by the Church of England Pensions Board, which holds the CWPF assets separately from those of the Employer and other participating employers.

CWPF has two sections:

Pension Builder Scheme

Both sections of the Pension Builder Scheme are classed as defined benefit schemes.

Pension Builder Classic provides a pension, accumulated from contributions paid and converted into a deferred annuity during employment based on terms set and reviewed by the Church of England Pensions Board from time to time. Discretionary increases may also be added, depending on investment returns and other factors.

Pension Builder 2014 is a cash balance scheme that provides a lump sum which members use to provide benefits at retirement. Pension contributions are recorded in an account for each member. Discretionary bonuses may be added before retirement, depending on investment returns and other factors. The account, plus any bonuses declared is payable, unreduced, from age 65.

There is no sub-division of assets between employers in each section of the Pension Builder Scheme.

The scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This is because it is not possible to attribute the Pension Builder Scheme’s assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined contribution scheme. The pensions costs charged to the SoFA in the year are the contributions payable (2024: £0, 2023: £46K).

A valuation of the Pension Builder Scheme is carried out once every three years. The most recent valuation was carried out as at 31st December 2022.

For the Pension Builder Classic section, the valuation revealed a surplus of £34.8m on the ongoing assumptions used. At the most recent annual review effective 1st January 2025, the Board chose to grant a discretionary bonus of 6.7% to both pensions not yet in payment and pensions in payment in respect of service prior to April 1997; and a bonus on pensions in payment in respect of post April 2006 service so that the pension increase was 2.7% (where usually it would be calculated based on inflation up to 2.5%). This followed improvements in the funding position over 2024. There is no requirement for deficit payments at the current time.

The next valuation is due as at 31st December 2025.

For the Pension Builder 2014 section, the valuation revealed a surplus of £8.5m on the ongoing assumptions used. There is no requirement for deficit payments at the current time.

The legal structure of the scheme is such that if another employer fails, employer could become responsible for paying a share of the failed employer’s pension liabilities.

48

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

CLERGY PERSONNEL

CHURCH OF ENGLAND FUNDED PENSION SCHEME (CEFPS)

The DBF participates in the Church of England Funded Pensions Scheme for stipendiary clergy, a defined benefit pension scheme. This scheme is administered by the Church of England Pensions Board, which holds the assets of the schemes separately from those of the Responsible Bodies.

Each participating Responsible Body in the scheme pays contributions at a common contribution rate applied to pensionable stipends.

The scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This means it is not possible to attribute the Scheme’s assets and liabilities to each specific Responsible Body, and this means contributions are accounted for as if the Scheme were a defined contribution scheme. The pensions costs charged to the SoFA in the year are contributions payable towards benefits and expenses accrued in that year, which were £1.130m in 2024 (2023: £1.181m), plus any figures arising from contributions in respect of the Scheme’s deficit (see below). The 2021 valuation showed the Scheme to be fully funded and as such in 2024, following the valuation results being agreed, the deficit contributions paid were £0 (2023: £0).

A valuation of the Scheme is carried out once every three years. The most recent Scheme valuation completed was carried out at as 31st December 2021. The 2021 valuation revealed a surplus of £560m, based on assets of £2,720m and a funding target of £2,160m, assessed using the following assumption:

Following finalisation of the 31st December 2021 valuation, deficit contributions ceased with effect from 1st January 2023, since the Scheme was fully funded.

The deficit recovery contributions under the recovery plan in force at each 31st December were as follows:

% of pensionable stipends

31st December 2021 7.1 % payable from Janaury 2021 to December 2022 31st December 2022 Nil 31st December 2023 Nil 31st December 2024 Nil

An interim reduction to deficit contributions to 3.2% of pensionable stipends was made with effect from April 2022, and remained in place until December 2022.

49

SALISBURY DIOCESAN BOARD OF FINANCE Annual Report and Financial Statements

For the Year Ended 31st December 2024

Notes To The Financial Statements

For senior office holders, pensionable stipends are adjusted in the calculations by a multiple, as set out in the Scheme’s rules.

Section 28.11A of FRS 102 requires agreed deficit recovery payments to be recognised as a liability. However, as there were no deficit recovery payments from 1st January 2023 onwards, the balance sheet liability as at 31st December 2023 and 31st December 2024 is nil. The movement in the balance sheet liability over 2023 and over 2024 is set out in the table below.

PERCENTAGE OF PENSIONABLE STIPENDS
BALANCE SHEET LIABILITY AT 1ST JANUARY
DEFICIT CONTRIBUTION PAID
INTEREST COST (RECOGNISED IN SOFA)
REMAINING CHANGE TO THE BALANCE SHEET LIABILITY (RECOGNISED IN SOFA)
BALANCE SHEET LIABILITY AT 31ST DECEMBER*		 2024
£'000
-
-
-
-
-		 2023
£'000
-
-
-
-
-

*Comprises change in agreed deficit recovery plan, and change in discount rate and assumptions between year-ends.

This liability represents the present value of the deficit contributions agreed as at the accounting date and has been valued using the following assumptions. No assumptions are needed for December 2022 as there are no agreed deficit recovery payments going forward. No price inflation assumption was needed for December 2021 since pensionable stipends for the remainder of the recovery plan were already known.

The legal structure of the scheme is such that if another Responsible Body fails, DBF could become responsible for paying a share of that Responsible Body’s pension liabilities.

50