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2022-12-31-accounts

Company registration number: 00209503 Charity registration number: 247113

North Western Baptist Association

(A company limited by guarantee)

Annual Report and Financial Statements

for the Year Ended 31 December 2022

North Western Baptist Association

Contents

Reference and Administrative Details 1
Trustees' Report 2 to 7
Independent Examiner's Report 8
Statement of Financial Activities 9 to 10
Balance Sheet 11
Notes to the Financial Statements 12 to 21

North Western Baptist Association

Reference and Administrative Details Trustees Reverend Z Adeleye Reverend G Ayoma Mrs K Banks-Lyon Reverend J Bradbury Reverend E Cirtina Reverend P Jump Mrs D Landriau Mrs S Nutter Reverend S Oxley Mr R Pengelly - Phillips Ms L Quigley Secretary Mr M R Heaton Principal Office Independent Methodist Resource Centre Fleet Street Pemberton Wigan WN5 0DS Registered Office 1st Floor Block C The Wharf Burnley BB11 1JG The charity is incorporated in England. Company Registration Number 00209503 Charity Registration Number 247113 Bankers Unity Trust Bank Four Brindley Place Birmingham B1 2JB Independent Examiner Champion TLL Limited 7-9 Station Road Hesketh Bank Preston Lancashire PR4 6SN

Page 1

North Western Baptist Association

Trustees' Report

The trustees, who are directors for the purposes of company law, present the annual report together with the financial statements of the charitable company for the year ended 31 December 2022.

OBJECTIVES AND ACTIVITIES

Objects

The objects of the charity as set out in its Memorandum of Association are:

The advancement of the Christian religion especially by the means of and in accordance with the principles of the Baptist denomination as set out for the time being in the Declaration of Principle of the Baptist Union of Great Britain.

Public Benefit

The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.

Report on 2022 Objectives

In our 2021 Annual Report, the Trustees agreed 11 key objectives. These were slightly less than usual in recognition of ongoing uncertainties and the need for the team to remain flexible and responsive to changing needs. Of these 9 were fully met and 2 were partially met:

Monitor and evaluate the ongoing role, structure and operations of NWBA in the light of the challenges, opportunities and lessons offered through the impact of the Covid-19 Pandemic. –

MET: Regional team worked with churches offering diverse support as required. As indicated elsewhere in this report, we sense we have now reached a phase of “reset”, so can return to a more structured approach.

Continue to develop our work with Renew Wellbeing – supporting churches in establishing recognised “Renew Spaces” and also considering how the values and intent of Renew Wellbeing might impact local church life more generally.

MET: A growing number of churches have expressed interest. 10 Renew spaces are now operational in NWBA churches. We are also exploring the theme of “Wellbeing” as the foundation of the 2023 Ministers’ Conference.

Consolidate the initial work done by Carey Baptist church in establishing a North West BUEN (Baptist Union Environmental Network) group. – NOT MET

PART MET: For various reasons, discussions with BUEN did not advance as rapidly as hoped. An online gathering is planned for Spring 2023.

Further develop the work being done to introduce Transitional Ministry, into a working team with clear good-practice guidelines and resources. - MET

MET: A recognisable team is now in place with regular gatherings for peer learning and development. Opportunities for further development will be explored in the coming year.

Audit and re-implement the Leadership Development hub programme begun in 2018.

MET: Several groups have been re-convened. The programme has also been used as the framework for the Latchford Learning Community in Academic Year 2022/23

Page 2

North Western Baptist Association

Trustees' Report

Organise and offer the NWBA annual Ministers Conference while also managing a significant review of purpose, approach and content for future conferences and support.

MET: A residential conference was re-introduced for 2022, with greater use of online technologies both within the programme as to share key elements further. Review process has been scoped and operated. It was recognised that significant change can only be realistically introduced in 2024 onwards so plans for a 2023 event continued along previous lines.

Develop a Digital Strategy for NWBA intended to both directly inform the Association’s work and develop our capacity to support churches in digital transformation and mission.

MET: Significant research and idea sharing was undertaken in 2022. This was a key contributor to the 2023 theme “Sharing God’s Treasure” which also reflects a somewhat different outcome to what was originally anticipated. Trustees have also approved the appointment of a Communications Lead to take core work forward in 2023.

Appoint and establish a Church Life Minister for Cheshire – NOT MET

PARTIALLY MET: An appointment offer was made in December 2022, but postholder is unlikely to be in place until March 2023

Work with NBA (Northern Baptist Association) to develop a partnership approach to Safeguarding support and training.

MET: NWBA Team members have offered significant support to NBA churches moving forward. Clearly this can only move at a pace the is viable for both associations. Further discussions are continuing to explore broader collaborative working, including joint representation at key BUGB gatherings.

Regroup the NWBA Pioneer Network and explore appropriate support structures moving forward.

MET: Two Pioneer gatherings have been arranged in 2022 for peer support and learning. NWBA team re-structure has also enabled Regional Ministers to engage more intentionally with individual pioneers. We have also appointed a voluntary co-ordinator.

Maintain our established core activities including IMPACT Weekend, {DISCIPLE} programme, Safeguarding support and training, MR, NAM development and oversight, Latchford Leaders’ Programme etc. –

MET: A successful full-day event was arranged in partnership with Fresh Streams, helping churches and leaders to explore “grace-filled conversations” around issues of human sexuality. The IMPACT weekend was successfully held with over 100 young-people, young leaders, leaders and team members on site. Young Adults are continuing to enrol in the {Disciple} programme. A significant programme of Safeguarding Training has been provided, M.R. & NAM programme continues to be offered. Latchford Leaders Group has continued to flourish with a steady stream of newcomers.

NWBA Objectives 2023

After spending two years journeying with our churches through some quite unprecedented disruptions and challenges, there is a sense that we enter 2023 in something of a “reset” mode. This is more than simply “putting everything back the way it was” – but bringing together the lessons we have learned through that period with the desire to reclaim aspects of our identity and shared life. Two strands of this are particularly evident:

It has been a season when, stripped of regular activities and responsibilities, many have re-discovered a re-embraced our underlying identity and purpose as disciples of Jesus Christ. Many churches and leaders are expressing a clear desire to re-center local church life around this reality.

Page 3

North Western Baptist Association

Trustees' Report

Circumstances have confronted many with the benefits, challenges and opportunities that new technologies bring, to begin to recognise how they are shaping wider society, and to realise that they can be harnessed for the benefit of local church life. It is not so much the technology itself, but the accompanying realisation that change is possible, and that change is happening around us, that is leading many congregations to re-imagine their activities and priorities in the coming decades.

On particular reality that has emerged, is that many congregations are struggling to maintain the necessary institutional structures of local church, or have come to recognise that these things have absorbed capacity and resources that are better invested in mission and discipleship. Our Key objective for 2023 is to seriously explore and begin to introduce a parallel organisation that can take the administrative, financial and legal burdens from those churches that are struggling to maintain these. Discussions at local church level have revealed a growing appetite and need for this kind of organisation. Moving forward, NWBA Trustees have re-structured the staff team appointing Jane Henderson to work alongside our existing Team Leader, so as to release Phil Jump to focus on this. They will operate as Joint Team Leaders on a permanent basis.

Alongside this, we will seek to maintain the ongoing activities of NWBA, in particular:

Introduce and develop annual focus on discipleship, incorporating and supporting Tim Presswood’s presidential theme. This would include working with appropriate partners to encourage churches to develop as “Disciple Forming Communities”.

Develop NWBA Team and embed new appointments in the light of changing staff members, operational circumstances, and local needs.

Work with Renew Wellbeing to develop further “Renew Spaces” and explore a “culture of Wellbeing” across our churches.

Arrange a physical gathering/AGM in early summer 2023 as part of an exploration of how we meet and relate moving forward.

Further consolidate and develop the Transitional Ministry Team initiative.

Continue to offer and expand Leadership Development Hubs.

Continue to offer and develop the work of the Latchford Learning Hub – exploring potential partnership and participation in NBA “Edify” programme.

Develop NWBA’s communications capacity and strategy through the appointment of a part-time Communications & Digital Lead.

Explore more effective participation and partnership with BUEN – Baptist Environmental Network.

Complete review of Ministers’ Conference and begin implementation of any identified changes and developments.

Continue to support and enable the work of Pioneers through the NWBA Pioneer Network.

Re-explore the development of “hub churches” to act as key support and resource centres to smaller churches and missional communities.

Support churches and congregations in engaging with the ongoing BUGB consultations and reflections around issues of human sexuality and identity.

Work with Ecumenical Partners to develop a sustainable operating future for the Skelmersdale Ecumenical Centre.

Page 4

North Western Baptist Association

Trustees' Report

Continue and Develop our Young Leaders {Disciple} programme, particularly seeking to connect with BUGB Young Leaders initiative.

Maintain our established core activities including IMPACT Weekend, Safeguarding support and training, MR, NAM development and oversight, promotion of CMD and other responsibilities and opportunities emerging from our wider engagement with BUGB.

Monitor and participate where appropriate in the ongoing BUGB finance review, and develop a sustainable operational plan for NWBA going forward as this becomes necessary.

Review and develop as appropriate NWBA’s Safeguarding resources in the light of ongoing responsibilities and legislation.

FINANCIAL REVIEW

The Charity's main source of annual recurring income is a grant from the Baptist Union of Great Britain. BUGB income consists of Home Mission giving, legacies and other income. Our grant is a predetermined percentage of total income of BUGB in the financial year. This source has reduced by 20% this year, amounting to £54,947, a significant amount, offset by income from two churches that closed during the year amounting to £136,697. Other sources of income include individual and church donations. Although there is a review of BUGB finances currently underway, the trustees of NWBA are looking at alternative ways to fund our activities and reduce reliance on our main funding source due to the uncertainty in the final amount due.

Expenditure is mainly in grants and staff costs, with 11 in the team employed or seconded in different roles across the region, mainly in part time posts. £149,346 of grant payments to churches and projects were made in the year. The Baptist Pension scheme deficit contributions are now £1 per month and the designated reserve for the shortfall is no longer required.

Investment portfolio losses amounted to £39,338.

Overall a deficit arose on the unrestricted fund of £23,323 in 2022 - thankfully the charity has significant reserves to cover this, and the trustees will continue to run a deficit budget into 2023 by continuing to invest in staffing and support for our member churches and their congregations.

.

Page 5

North Western Baptist Association

Trustees' Report

Funds

Unrestricted funds

The Charity's unrestricted reserve consists of a general fund and four designated funds, which at the year-end amounted to £805,469 (2021 £828,792) which the Trustees have allocated as follows: General fund £213,285 Social investment Property £300,906 One year's running costs £200,000 East Lancashire fund £91,278 Pension reserve £Nil

The pension reserve is to cover the calculated deficit that would be due to the Baptist Ministers Pension Fund for NWBA current and former employees. The fund is in surplus and the reserve is no longer required.

The improvements in the property owned by the charity in Melling and used for the work undertaken there is complete. It is considered that the current valuation of the property will be in excess of the acquisition cost and improvements, with a market assessment to be made, although there is no intention of disposing of the asset.

Restricted fund:

Ministerial Emergency Fund:

This is funded by donations and is used to enable study grants and financial support for ministers in need. Grants of £1,300 (2021 - £Nil) have been made during the year.

Investment Powers and Restrictions

The Association uses the services of an investment manager for both Association and Church investments. The policy is to maximise return on investment within a secure base, on a sound ethical platform.

Loans and grants

The Association does not make loans available to churches.In addition to Home Mission grant funding, we do on occasion award grants to churches on application for Mission and Equipment and to cover deficits on the Baptist Ministers Pension Fund (defined benefit scheme).

Reserves policy

The charity has set aside £200,000 as a designated fund to cover one year's running costs of the charity (excluding grant payments) due to the uncertainty of the amount of grant funding from BUGB, which in itself is dependent on gifts and legacies for its own income. The remaining reserves held in the general fund are available for future projects.

Page 6

North Western Baptist Association

Trustees' Report

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The Company is governed by its Articles of Association dated 28th March 2019, as approved at the Special General Meeting of member churches.

Supporting the Articles are procedures on electing trustees.

Trustees serve for up to a three year period and a maximum nine years.

Further sub committees are appointed when and if required by Council for specific purposes.

Risk Assessment

The Trustees have introduced a risk management process to assess business risks and implement systems to mitigate these risks. The procedures will be periodically reviewed to ensure that they still meet the needs of the Charity.

Custodian trusteeship

The NWBA is a Custodian Trustee for many churches in its membership. It holds property, stocks and shares and bank accounts in its position as trustee. Deeds to properties are held with the Baptist Union Corporation, other assets are held separately from Association own assets.

Small companies provision statement

This report has been prepared in accordance with the small companies regime under the Companies Act 2006.

The annual report was approved by the trustees of the charity on 11 May 2023 and signed on its behalf by:

......................................... Reverend S Oxley Trustee

Page 7

North Western Baptist Association

Independent Examiner's Report to the trustees of North Western Baptist Association

I report to the charity trustees on my examination of the accounts of the charity for the year ended 31 December 2022 which are set out on pages 9 to 21.

Respective responsibilities of trustees and examiner

As the charity’s trustees of North Western Baptist Association (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).

Having satisfied myself that the accounts of North Western Baptist Association are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s accounts as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner’s statement

Since North Western Baptist Association's gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the 2011 Act. I confirm that I am qualified to undertake the examination because I am a member of the ACCA, which is one of the listed bodies.

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

  1. accounting records were not kept in respect of North Western Baptist Association as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or

  3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the accounts give a ‘true and fair view' which is not a matter considered as part of an independent examination; or

  4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities [applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)].

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

...................................... P A Bell ACCA Champion TLL Limited 7-9 Station Road Hesketh Bank Preston Lancashire PR4 6SN

17 August 2023

Page 8

North Western Baptist Association

Statement of Financial Activities for the Year Ended 31 December 2022 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)

Note
Income:
Donations
3
Charitable activities
4
Investment income
5
Other income
6
Total income
Expenditure on:
Raising funds
7
Charitable activities
8
Total expenditure
Net gains on investments
Net (expenditure)/income
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
17
Unrestricted
funds
£
274,038
25,401
2,883
179,257
481,579
(4,673)
(460,891)
(465,564)
(39,338)
(23,323)
(23,323)
828,792
805,469
Restricted
funds
£
60
-
-
-
60
-
(1,300)
(1,300)
-
(1,240)
(1,240)
4,113
2,873
Total
2022
£
274,098
25,401
2,883
179,257
481,639
(4,673)
(462,191)
(466,864)
(39,338)
(24,563)
(24,563)
832,905
808,342
Unrestricted
funds
£
326,851
(14,503)
1,386
63,608
377,342
(3,854)
(403,239)
(407,093)
25,868
(3,883)
(3,883)
832,675
828,792
Restricted
funds
£
60
-
-
-
60
-
-
-
-
60
60
4,053
4,113
Total
2021
£
326,911
(14,503)
1,386
63,608
377,402
(3,854)
(403,239)
(407,093)
25,868
(3,823)
(3,823)
836,728
832,905

Page 9

North Western Baptist Association

Statement of Financial Activities for the Year Ended 31 December 2022 (Including Income and Expenditure Account and Statement of Total Recognised Gains and Losses)

All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 17.

Page 10

North Western Baptist Association

(Registration number: 00209503) Balance Sheet as at 31 December 2022

Note
Fixed assets
Other investments
14
Social investments
14
Current assets
Debtors
15
Cash at bank and in hand
Creditors: Amounts falling due within one year
16
Net current assets
Net assets
Funds of the charity:
Restricted income funds
Restricted funds
Unrestricted income funds
Unrestricted funds
Total funds
17
2022
£
379,984
300,906
680,890
138,005
306,259
444,264
(316,812)
127,452
808,342
2,873
805,469
808,342
2021
£
494,812
291,820
786,632
15,116
36,287
51,403
(5,130)
46,273
832,905
4,113
828,792
832,905

For the financial year ending 31 December 2022 the charity was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

These accounts have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements on pages 9 to 21 were approved by the trustees, and authorised for issue on 11 May 2023 and signed on their behalf by:

......................................... Reverend S Oxley Trustee

Page 11

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

1 Charity status

The charity is limited by guarantee, incorporated in England, and consequently does not have share capital. Each of the trustees is liable to contribute an amount not exceeding £10 towards the assets of the charity in the event of liquidation.

The address of its registered office is: 1st Floor Block C The Wharf Burnley BB11 1JG The principal place of business is: Independent Methodist Resource Centre Fleet Street Pemberton Wigan WN5 0DS

These financial statements were authorised for issue by the trustees on 11 May 2023.

2 Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). They also comply with the Companies Act 2006 and Charities Act 2011.

Basis of preparation

North Western Baptist Association meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.

Exemption from preparing a cash flow statement

The charity is exempt from preparing a cash flow statement..

Page 12

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

Income and endowments

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.

Donations

Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.

Grants receivable

Grants are recognised when the charity has an entitlement to the funds and any conditions linked to the grants have been met. Where performance conditions are attached to the grant and are yet to be met, the income is recognised as a liability and included on the balance sheet as deferred income to be released.

Expenditure

All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.

Raising funds

These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.

Charitable activities

Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.

Grant provisions

Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.

Governance costs

These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s meetings and reimbursed expenses.

Taxation

The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.

Page 13

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

Programme related investments

Programme related investments are made in furtherance of the charity's objects and any investment return is secondary to the charitable purpose supported by the investment. Such investments are included at their cost. Any loss or impairment arising from such investments is charged as part of charitable activities within the Statement of Financial Activities.

Fixed asset investments

Fixed asset investments, other than programme related investments, are included at market value at the balance sheet date. Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the Statement of Financial Activities in the period of disposal.

Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value at the year end.

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.

Fund structure

Unrestricted income funds are general funds that are available for use at the trustees's discretion in furtherance of the objectives of the charity.

Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.

Pensions and other post retirement obligations

The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

Page 14

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

3 Income from donations

Donations
Grants
Grants received, included in the above, ar
Baptist Union of Great Britain
Others
Unrestricted
funds
General
£
55,226
218,812
274,038
e as follows:
218,812
-
218,812
Restricted
funds
£
60
-
60
-
-
-
Total
2022
£
55,286
218,812
274,098
218,812
-
218,812
Total
2021
£
37,152
289,759
326,911
273,759
16,000
289,759

4 Income from charitable activities

Unrestricted funds

Youth activities, events, rresources
Ministers conference
General
£
14,989
10,412
25,401
Total
2022
£
14,989
10,412
25,401
Total
2021
£
(14,788)
285
(14,503)

5 Investment income

Unlisted investment income
Listed investment income
Unrestricted
funds
General
£
200
2,683
2,883
Total
2022
£
200
2,683
2,883
Total
2021
£
200
1,186
1,386

Page 15

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

6 Other income

Closed Churches
Staff costs reimbursed
Employment Allowance
Miscellaneous
Unrestricted
funds
General
£
136,697
34,613
5,000
2,947
179,257
Total
2022
£
136,697
34,613
5,000
2,947
179,257
Total
2021
£
-
27,804
4,000
-
31,804

7 Expenditure on raising funds

a) Investment management costs

Investment management costs
8
Expenditure on charitable activities
Unrestricted
funds
Note
General
£
Home Mission Grants
121,154
NWBA Grants
28,192
Staff costs
11
243,915
Other direct costs
67,630
Ministerial Emergency
Fund grants
-
460,891
Unrestricted
funds
General
£
4,673
4,673
Restricted
funds
£
-
-
-
-
1,300
1,300
Total
2022
£
4,673
4,673
Total
2022
£
121,154
28,192
243,915
67,630
1,300
462,191
Total
2021
£
3,854
3,854
Total
2021
£
118,450
5,538
231,504
47,747
-
403,239

Page 16

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

9 Net incoming/outgoing resources

Net outgoing resources for the year include:

Independent Examiner’s remuneration 2022
£
1,080
2021
£
900

10 Trustees remuneration and expenses

Rev P Jump (who as Regional Minister is also a trustee of NWBA): salary of £37,422 (2021: £37,045) authorised by the Memorandum and Articles.

Housing payments of £11,909 (2021: £11,562) and travelling and other expenses of £6,908 (2021: £4,094) were also incurred in the year.

11 Staff costs

The aggregate payroll costs were as follows:

Staff costs during the year were:
Wages and salaries
Social security costs
Pension costs
2022
£
217,693
13,843
12,379
243,915
2021
£
207,194
12,357
11,953
231,504

The monthly average number of persons (including senior management team) employed by the charity during the year expressed as full time equivalents was as follows:

the year expressed as full time equivalents was as follows:
Mission and evangelism
Administration
2022
No
10
1
11
2021
No
10
1
11

No employee received emoluments of more than £60,000 during the year.

12 Taxation

The charity is a registered charity and is therefore exempt from taxation on it's charitable activities.

Page 17

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

13 Fixed asset investments

Cost
At 1 January 2022
Revaluation
Disposals
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021
Listed
investments
£
490,807
(39,338)
(75,490)
375,979
375,979
490,807
Unlisted
investments
£
4,005
-
-
4,005
4,005
4,005
Total
£
494,812
(39,338)
(75,490)
379,984
379,984
494,812

14 Programme related investments

Cost
At 1 January 2022
Additions
At 31 December 2022
Provision
At 31 December 2022
Net book value
At 31 December 2022
At 31 December 2021
15 Debtors
Other debtors
Other
investments
£
291,820
9,086
Total
£
291,820
9,086
300,906
-
300,906
-
300,906 300,906
291,820 291,820
2022
£
138,005
2021
£
15,116

Page 18

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

16 Creditors

Other creditors
Accruals
17 Funds
Unrestricted funds
General Fund
Social investments - property
One year's running costs
East Lancashire Fund
Pension reserve
Restricted funds
Ministerial Emergency Fund
Total funds
Balance
at 1
January
2022
£
198,194
291,820
200,000
91,278
47,500
828,792
4,113
832,905
Incoming
resources
£
481,579
-
-
-
-
481,579
60
481,639
Resources
expended
£
(465,564)
-
-
-
-
(465,564)
(1,300)
(466,864)
2022
£
312,852
3,960
316,812
Transfers
£
Other
recognised
gains/(losses)
£
38,414
(39,338)
9,086
-
-
-
-
-
(47,500)
-
-
(39,338)
-
-
-
(39,338)
2021
£
-
5,130
5,130
Balance
at 31
December
2022
£
213,285
300,906
200,000
91,278
-
805,469
2,873
808,342

Page 19

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

Unrestricted funds
General Fund
Social investments -
property
One year's running costs
East Lancashire Fund
Pension reserve
Restricted funds
Ministerial Emergency
Fund
Total funds
Transfers between funds
Balance at
1 January
2021
£
266,222
203,275
200,000
91,278
71,900
832,675
4,053
836,728
Incoming
resources
£
377,342
-
-
-
-
377,342
60
377,402
Resources
expended
£
(407,093)
-
-
-
-
(407,093)
-
(407,093)
Transfers
£
Other
recognised
gains/(losses)
£
(64,145)
25,868
88,545
-
-
-
-
-
(24,400)
-
-
25,868
-
-
-
25,868
Balance
at 31
December
2021
£
198,194
291,820
200,000
91,278
47,500
828,792
4,113
832,905

Transfers between funds in 2022 are:

£9,086 from general fund to property - amount of general funds invested in the Melling property £47,500 from pension reserve to general - reduction in provision

Funds are described in the Trustees Report.

18 Analysis of net assets between funds

Fixed asset investments
Programme related investments
Current assets
Current liabilities
Total net assets
Unrestricted
funds
General
£
379,984
300,906
441,391
(316,812)
805,469
Restricted
funds
£
-
-
2,873
-
2,873
Total funds
at 2022
£
379,984
300,906
444,264
(316,812)
808,342

Page 20

North Western Baptist Association

Notes to the Financial Statements for the Year Ended 31 December 2022

Fixed asset investments
Programme related investments
Current assets
Current liabilities
Total net assets
Unrestricted
funds
General
£
494,812
291,820
47,290
(5,130)
828,792
Restricted
funds
£
-
-
4,113
-
4,113
Total funds
at 2021
£
494,812
291,820
51,403
(5,130)
832,905

19 Related party transactions

There were no related party transactions in the year, except as disclosed in Note 9.

20 Baptist pension scheme

The Association is an employer participating in the Baptist Pension Scheme (BPS). This is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limited).

The Ministers employed by the Association are eligible to join the Scheme.

From January 2012, pension provision has been made through the Defined Contribution plan within the BPS. Other employees pension provision is with companies external to the BPS.

Benefits for one employee (2021: 1) in respect of service prior to 1st January 2012 are provided through the Defined Benefit (DB) Plan within the BPS. The main benefits: a defined benefit pension of 1/80th of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on pensionable income in excess of minimum pensionable income. The BPS closed to future accrual of defined benefits on 31st December 2011.

A formal valuation of the DB plan relating to all employers was performed at 31 December 2020 by a professionally qualified Actuary using the Projected Unit Method. The market value of DB Plan assets at the valuation date was £298m.

The valuation of the DB plan revealed a deficit of assets compared with the value of liabilities of £18m (equivalent to a past funding level of 94%). As a result of the valuation the standard rate of deficiency contributions payable by churches and other employers involved in the DB Plan would remain at 12% of pensionable income. The recovery plan envisages deficiency contributions continuing until 30 June 2026.

The deficit contributions have reduced to £1 per month in 2022.

The expenditure for the year represents the employer contributions payable.

Designated fund

At the year end date the BPS has calculated an estimated employer debt of the Association of £Nil (2021: £47,500) assuming cessation on that date. A designated fund has been established to cover this estimated debt. The assumptions on which this calculation is based are not directly comparable with the above.

Page 21