OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2023-12-31-accounts

The Yorkshire Baptist Association (Incorporated)

Company Number: 00181581 Charity Number: 247173

THE YORKSHIRE BAPTIST ASSOCIATION (INCORPORATED)

(A Company Limited by Guarantee)

TRUSTEES’ REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023

The Yorkshire Baptist Association (Incorporated)

Contents

Page Charity Information ............................................................................................................ 1 Report of the Trustees ........................................................................................................ 2 Independent Auditor’s Report .............................................................................................. 8 Statement of Financial Activities ......................................................................................... 11 Balance Sheet .................................................................................................................. 12 Statement of Cash Flows ................................................................................................... 13 Notes to the Financial Statements ...................................................................................... 14

Charity Information The Yorkshire Baptist Association (Incorporated)

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, submit their report, which also meets the requirements of a Directors Report for the purposes of Company Law, and financial statements for the year ended 31 December 2023.

These financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1 January 2019) as detailed in the accounting policies.

Reference and administrative details of the charity, its trustees and advisors

Charity name: The Yorkshire Baptist Association (Incorporated) Charity registration number: 247173 Company registration number: 00181581

Registered office and principal operating address

17-19 York Place, Leeds, LS1 2EX

The following trustees have held office since 1 January 2023:

Revd Kenneth Brown (appointed 17 January 2023) Revd Charlotte Henard Mrs Gill Knowles Mr Dean Thorpe

Mr John Crosse Revd Joseph Kapolyo Mr Kevin Quinton

Our bankers are: Virgin Money 94-96 Briggate Leeds LS1 6NP

The Charities Official Investment Fund 80 Cheapside London EC2V 6DZ

Our auditor is: Azets Audit Services Limited 12 King Street Leeds LS1 2HL

Our investments advisers are: LGT Vestra LLP 14 Cornhill London EC3V 3NR

Our solicitors are:

The Association does not currently have an appointed legal adviser. When legal services are required, we have access to different firms depending on the area of work required and the appropriate firm is appointed on a task specific basis. During 2023 the following firms were appointed:

Anthony Collins Solicitors LLP 134 Edmund Street Birmingham B3 2ES

Shakespeare Martineau LLP 1[st] Floor, One Colton Square Leicester LE1 1QH

Page 1 of 31

The Yorkshire Baptist Association (Incorporated) Report of the Trustees

The Yorkshire Baptist Association (YBA) has a governing document which contains our Articles of Association. It was updated in 2014 and accepted by both the Charity Commission and Companies House.

The YBA is served by the Executive (trustees and directors) and by three working groups who are appointed by the Executive: Finance, Ministry and Trust groups. Each working group has a Standing Order which outlines the role of the working group and its areas of work. The groups report to the Executive on a regular basis as the Executive has overall responsibility for strategy and policies, financial practice, and partnership. Copies of the governing document and working group Standing Orders can be provided upon request.

Trustees

Our trustees are elected by the member churches of the Association in a way that gives balance of representation and meets agreed criteria. Some trustees are co-opted to facilitate good balance. The trustees are also directors of the YBA. Trustees are usually appointed for a three-year term resulting in some stepping down each year. A nomination and appointment process is undertaken in consultation with member churches to seek new trustees. Trustees are shown on page 1. We have adopted a practice of proactively seeking out potential new trustees from amongst our member churches and inviting suitable people to attend 2/3 Executive meetings as observers. This enables them to better understand the work of our trustees and directors before they are nominated by their home church or co-opted to the Executive.

Trustees are given a copy of the Association’s governing document and the Staff & Trustees Handbook which contains information about their roles and responsibilities. The Handbook includes relevant information from the Charity Commission. An away day for the trustees and Regional Ministers is held to provide more time for prayer and discussion for the vision and work of the YBA as distinct from the “business” matters considered during Executive meetings.

Association Team

The Association is served by:

Julie Crabtree Administration Assistant until 31 May 2023
Dan Morrell Communications and Digital Lead until 28 February 2023
Revd Dr Adenike Adebajo Regional Minister
Revd Ann Chesworth Trust, Property & Legal Officer
Iris Cheung Administrator from 1 January 2023
Hilary Dockerill Administrator from 17 July 2023
Revd Peter Dunn Discipleship Enabler
Revd Graham Ensor Regional Minister Team Leader
Naomi Fennell Young Adult Lead
Debbie Gamble Office Manager
Revd Alex Harris Regional Minister Pioneering & Church Planting
Hannah Harris Finance Officer
Revd Kez Robinson Regional Minister
Jodie Thorpe Children, Youth & Families Enabler
Dean Thorpe Treasurer

Partnerships and Related Parties

The Association works in partnership with Northern Baptist College, St Hild College, Biglife Europe, BMS World Mission, other Regional Baptist Associations, and ecumenical bodies across Yorkshire. In April 2023, we engaged BECreative (Social We Talk Limited) to provide a communications consultancy to the Association through Ben Elliott.The Association is a member of the Baptist Union of Great Britain (BUGB) as our related party which means that we receive national guidance on various matters.

In the interest of transparency and probity, the Association maintains a register of trustees’ interests and those of close family members. All members of the Executive are invited to declare any matters which might influence their conduct in respect to the Association’s business. This register is open to public inspection. Declaration of interests is also included as a standing item at every Executive meeting.

Page 2 of 29

The Yorkshire Baptist Association (Incorporated) Report of the Trustees (continued)

Partnerships and Related Parties (continued))

During 2023 we have continued to develop these partnerships in practical ways, seeking to be collaborative whilst at the same time bringing YBA focus to the partnerships.

Objectives & Activities

The objects of the YBA are the advancement of the Evangelical Christian faith and its practice in Yorkshire or elsewhere according with the principles of the Baptist denomination.

The YBA is a network of nearly 100 churches, individually and collectively committed to participating in the mission of God. Our vision is to ‘make disciples by multiplying healthy churches across Yorkshire’. We do this by relating with, renewing, and resourcing the local church, which is the primary agent for God’s mission, and also through investing in the YBA’s six priorities which are:

When reviewing the aims and objectives of the charity and in planning future activities, the Trustees have complied with the duty in section 17 of the Charities Act 2011 and have due regard to the public benefit guidance published by the Commission.

Achievements and Performance

During 2023 we have continued to focus on our long-term vision of ‘making disciples by multiplying healthy churches across Yorkshire’ and the six priorities (above) which are always at the forefront of our decisions and actions. Reflecting on our plans for the year which were identified in our 2022 Trustees Report, we are pleased to report that out of the eight actions identified, five were achieved and the remaining three are either in progress or scheduled for 2024.

Much of the work of the Association relates across more than one of our priorities, and we hope that the highlights shared below provide an overview of key achievements during 2023.

Team – we were sad to say farewell to Dan Morrell in February 2023 as he concluded his Comms & Digital role with us, and to Julie Crabtree who retired in May 2023. Along with the arrival of Administrator Iris Cheung in January, the team was further strengthened with the appointment of Administrator Hilary Dockerill in July. Following Dan leaving we reviewed our Comms & Digital requirements, and the decision was made to work with Ben Elliott through his consultancy BECreative. This partnership has developed during 2023 and will continue into 2024 as a key aspect of our priority to support digital development .

During the year, the Staff Team have sought to deepen their prayer life together and to pray into the vision and priorities of the Association. Along with a time of prayer on Monday and monthly Prayer & Fasting Days, each Wednesday members of the Team meet online with a minister to hear from them and to pray for them and their ministry. We know that this has been greatly appreciated by those who have been involved and this will continue into the coming year.

Our partnership with St Hild College has continued to grow during 2023. After the disappointment of a refused application in 2022, in partnership with the East Midlands Baptist Association a new application for St Hild College to be accepted as a member college of BUGB was made through the formation of the St Hild College for Baptist Ministry (St Hild CBM) . After significant collaborative work between the two Associations, relevant BUGB team members and St Hild College, we were thrilled that BU Council was able to make an agreement in principle at their October 2023 meeting to admit St Hild CBM as a member college subject to the relevant legal work being undertaken. This is a huge encouragement as we prioritise leadership development and supporting younger missional leaders .

Page 3 of 29

The Yorkshire Baptist Association (Incorporated) Report of the Trustees (continued)

Achievements and Performance (continued)

Another strand of our partnership with St Hild College is through the St Hild Centre for Church Planting ; in recognition of the YBA’s planting priority, our Regional Minister for Pioneering and Church Planting, Alex Harris, has been seconded for a proportion of his time to the role of Director of Baptist Planting.

Reflecting on planting , the Association has provided significant support – training and development, financial and compliance - to both The Well at Woodseats (a plant out of The Well Church, Sheffield) and to All Nations Church, Fir Vale (a plant out of St Thomas Crookes, Sheffield). Both have developed to the point of exploring autonomy as churches and we would welcome receiving their membership applications as appropriate for each context.

Under our reimagining priority , there has been work in exploring and developing new models of church that might be effective at reaching and discipling people. Often called micro churches, scattered models, or missional community, we have invested time and energy into these opportunities for Christ. An example of this is the re-launch of Beauchief Baptist Church. From being at the point of closure, they have called a new leader, financially supported by the YBA, into a scattered approach of church, launching three new congregations across their community. They work in collaboration and unison with each other whilst reaching and discipling specific groups of people. Bentley Baptist Church is also being supported to reimagine what church might look like; they have launched two new church hubs alongside their established Sunday morning gathering. Both these and others are significantly catalysed and supported by the YBA in terms of vision, strategy, training, and finance.

As a member Association of the Baptist Union of Great Britain (BUGB), we are ever mindful of the potential impact of national issues on the Association and our member churches. One such significant issue is the ongoing BUGB Ministerial Recognition Rules Consultation. Following discussions with a number of ministers and leaders in the YBA, we invited Fresh Streams to run a theology day in the region entitled “ A Conversation on Human Sexuality ”. The aim of this day which took place in July was to provide a safe space to encourage healthy, biblical, theological, and pastoral conversation which would then enable ministers to have conversations with their own churches about human sexuality. As a follow up we offered a number of Listening Spaces during the early Autumn where a small group of ministers could meet together and talk further about this key issue. Feedback showed that both the theology day and the Listening Spaces were much appreciated by those who participated.

Along with the Consultation mentioned above, there is also an ongoing Financial Review being undertaken by BUGB. Both of these national issues have impacted and will continue to impact the YBA. As trustees we have considered both and will monitor developments as matters progress.

Two key events held during 2023 were our Assembly and AGM which took place at New North Road Baptist Church, Huddersfield in April and our Ministers Conference which was held in Scarborough in October. Both were well attended, and feedback will be used to inform our planning for these key gatherings in the future. A new gathering was a Pioneers and Planters Family Weekend which was held in March. It was a real joy to meet with and get to know families of all ages to explore the challenges and highlights of a whole variety of pioneering contexts.

A key area of church life which can be overlooked is work with children, youth and families (CYF) . Our CYF Enabler has had another busy year supporting a number of our member churches in exploring how to grow in confidence to create missional opportunities amongst CYF in their communities. Sharing in and leading intergenerational worship and exploring how worship can be inclusive and appropriate for all has been well received. And alongside a Leeds based minister, BigLife DMM principles have been used in toddler groups and family ministry settings.

Ministry Matters remain a core activity for the Regional Ministers. This includes supporting member churches when ministries end and facilitating their access to the settlement process when seeking new ministers. We are also involved in supporting those who are exploring a call to Baptist ministry, those who are in training and ministers who are in the newly accredited phase of their ministry. During 2023, two on-line Explore Your Call sessions were facilitated, and we look forward to supporting the individuals who connected with these as they seek God’s call on their lives into the future. In total, 14 individuals were supported by the Regional Ministers as they explored ministry during 2023.

Page 4 of 29

The Yorkshire Baptist Association (Incorporated) Report of the Trustees (continued)

Achievements and Performance (continued)

Aligned with our priority of developing a pipeline of younger missional leaders , 2023 has seen the first fruits of our investing in young adults, specifically through our Young Adult Lead and also through the work of our Regional Ministers more generally. We have been identifying where young adults are located in our churches and reaching out to connect with them in meaningful and practical ways. Three specific gatherings of Gen Z (18–25-year-old) young adults took place during the year, meeting for prayer and worship together supported by the YBA. And from September 2023, there have been 7 interns from 4 YBA churches serving in the region. We have also launched a Discipleship Hub which provides an opportunity for young adults to connect for teaching and worship together; the first day gathering brought together 25 young adults from 5 of our YBA member churches.

Ministerial Development Groups continued where a small group of ministers meet together facilitated by a Regional Minister. The purpose of these groups is to encourage relationship amongst ministers, and to share in learning and reflective practice together – a vital aspect of Continuing Ministerial Development .

The Regional Ministers have worked alongside several new or existing churches who are exploring membership of the Association and of BUGB. In 2023, one of these was Anchor Church in Leeds who we were pleased to welcome into YBA membership in September 2023; they were subsequently welcomed into BUGB membership by BU Council in October 2023.

As always Safeguarding continues to be a key area of work for the Association with our Safeguarding Trustee supporting the Regional Team Leader and Office Manager. Alongside providing general advice and guidance to our member churches and ministers, the Association is available to support churches should a safeguarding incident occur. Safeguarding training is also offered using the excellent training resources provided through BUGB. During 2023 18 training sessions were held and more than 300 training places were taken up.

Our Regional Ministers continue to provide Vision and Review days for member churches as requested and several fellowships benefitted from this provision.

Financial Review

During the year to 31 December 2023 the YBA had a total income of £722,152 (2022: £388,532). There were gains on the valuations of investments of £92,992 (2022: losses of £312,999). The total expenditure was £665,149 (2022: £483,145). The net result of the year was net movement in funds of £149,995 (2022: (£407,612)). The trustees are mindful that the closed church buildings and burial grounds carry with them significant but largely unquantifiable costs for repair and maintenance. During 2023 we were pleased to be able to transfer ownership of three significant burial grounds to an appropriate sexton.

The trustees acknowledge with gratitude financial support received from The Harry Bottom Charitable Trust of £30,000 (2022: £30,000).

The YBA has been blessed through many financial and other generous gifts of time and expertise.

The YBA’s reserves policy continues to comprise of two elements: firstly, the YBA maintains a general reserve equivalent to approximately six months’ General Fund expenditure (approximately £240,000), and secondly, the YBA only maintains restricted reserves where the purpose is evidently practical. If any restricted reserve ceases to be active the YBA takes the appropriate administrative, legal and/or regulatory steps to wind up the reserve and then transfer remaining balances into the general fund. Target reserves will be achieved by maintaining a significant cash balance in addition to invested assets of relatively easily realisable nature. The charity’s free reserves at 31 December 2023 excluding restricted funds and fixed assets totalled £743,574 (2022: (£22,289)).

The YBA’s Executive group is responsible for annually reviewing and approving an investment policy statement which sets out a strategy and policies for risk, ethics, delegation of authority, reporting and training and guidance, with respect to the YBA’s cash management and investments. The policy, which complies with the Charity Commission recommended best practice ensures that the YBA is able to control and utilise its funds effectively in a controlled framework. The YBA’s objective is to generate income and capital returns, which will enable the YBA to at least maintain the real capital value of the portfolio so that the base from which income is derived is maintained in real terms. The YBA seeks to employ investment managers to ensure proper management of the assets and to obtain the returns required within acceptable levels of risk.

Page 5 of 29

The Yorkshire Baptist Association (Incorporated) Report of the Trustees (continued)

Financial Review (continued)

The YBA engages in effective treasury management (maximisation of the short-term cash balance through effective management of debtors, creditors, and payroll) so as to identify surplus cash available for investment, and to maximise the return on that money while minimising the associated risk. The overriding principle of the YBA’s investment policy is to avoid risk rather than to maximise return, whilst meeting the liquidity needs of the YBA. The key criteria for assessing the desirability of any potential investment, therefore, is security, liquidity and yield respectively. All short-term investments are placed with organisations that have a credit rating of A1/A+ or above and no single investment is placed for a period greater than 2 years. Total investments with any one organisation will not normally exceed £1 million. Investments for periods in excess of three months will be placed to provide a spread of maturity throughout the year to meet liquidity.

Plans for 2024

Looking to the future, our key plans for 2024 will include:

As always, the trustees wish to say a big thank you to the many people who contribute to Association life during the year. Without the support of the many volunteers who serve on our groups and who support the work of the Association Team in practical and prayerful ways, we would not be able to report on such a diverse and wide-ranging scope of activity and work.

Funds Held as Custodian Trustee

The YBA, as Custodian Trustee, holds certain assets for member churches and associated charities. The trustees do not have any direct title to the funds but administer these investments within the framework of the Charities Act in consultation with our investment advisers and the objectives of the individual churches. The objectives of the churches and charities are in line with the objectives of the Association shown in this Trustees’ Report.

The details of the assets of each custodian fund held on behalf of the church or charity are set out in Note 20 in the financial statements.

Auditor

The auditor, Azets Audit Services Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

Page 6 of 29

The Yorkshire Baptist Association (Incorporated) Report of the Trustees (continued)

Statement of Responsibilities of the Trustees

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the company as at the end of the financial year and of the surplus or deficit of the charitable company for that year.

In preparing those financial statements the trustees are required to:

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

Small Company Rules

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. It was approved by the Board on ………………… and signed on its 27/04/2024 behalf by:

Dean Thorpe

…………………………………………… ………………………………………………

Kevin Quinton Trustee and Chair of Trustees

Dean Thorpe Trustee and Treasurer

Page 7 of 29

The Yorkshire Baptist Association (Incorporated) Independent Auditor's Report to the Trustees of The Yorkshire Baptist Association (Incorporated)

Opinion

We have audited the financial statements of The Yorkshire Baptist Association (Incorporated) (the 'charitable company') for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and the related 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 FRS 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 charitable company 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 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

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual 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. 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 course of 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 this gives rise to a material misstatement in the financial statements themselves. 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 in this regard.

Page 8 of 29

The Yorkshire Baptist Association (Incorporated) Independent Auditor's Report to the Trustees of The Yorkshire Baptist Association (Incorporated ) (continued)

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ report.

We have nothing to report in respect of the following matters where 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, the trustees 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 charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the 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.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Extent to which the audit was considered capable of detecting irregularities, including fraud Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework. Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

Page 9 of 29

The Yorkshire Baptist Association (Incorporated) Independent Auditor's Report to the Trustees of The Yorkshire Baptist Association (Incorporated ) (continued)

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which 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 of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

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.

Jessica Lawrence

Jessica Lawrence 08/05/2024 For and on behalf of Azets Audit Services Limited …………………………………………… Chartered Accountants 12 King Street Senior Statutory Auditor Leeds LS1 2HL

Page 10 of 29

The Yorkshire Baptist Association (Incorporated)

Statement of Financial Activities for the year ended 31 December 2023 (Including Income and Expenditure Account)

Note Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds Funds Funds Funds Funds
2023 2022
£ £ £ £ £ £
Income from:
Donations and legacies 2 30,000 - 30,000 30,000 - 30,000
Charitable activities 3 638,200 - 638,200 322,493 - 322,493
Investments 52,170 1,782 53,952 34,966 1,073 36,039
Total income 720,370 1,782 722,152 387,459 1,073 388,532
Expenditure on:
Raising Funds 4 161,039 - 161,039 36,235 - 36,235
Charitable activities 5 503,203 907 504,110 446,196 714 446,910
Total expenditure 664,242 907 665,149 482,431 714 483,145
Net (expenditure)/income before
other recognised(losses)/gains		 56,128 875 57,003 (94,972) 359 (94,613)
Other recognised gains
Net gains /(losses) on investments 10 90,920 2,072 92,992 (312,580) (419) (312,999)
Net movement in funds 13/14 147,048 2,947 149,995 (407,552) (60) (407,612)
Balance brought forward
13/14		 3,818,055 155,334 3,973,389 4,225,607 155,394 4,381,001
Balance carried forward 13/14 3,965,103 158,281 4,123,384 3,818,055 155,334 3,973,389

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The notes on pages 14 to 30 form part of these statement. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006.

Page 11 of 29

The Yorkshire Baptist Association (Incorporated)

Balance Sheet as at 31 December 2023

2023 2023 2022 2022
Note £ £ £ £
Fixed assets
Tangible assets 9 915,919 1,508,419
Investments 10 2,428,911 2,450,494
3,344,830 3,958,913
Current assets
Debtors 11 197,759 94,659
Cash at bank and in hand 921,726 163,552
1,119,485 258,211
Liabilities
Creditors: Amounts falling due within
oneyear		 12 (340,931) (243,735)
Net current assets 778,554 14,476
Total assets less current liabilities 4,123,384 3,973,389
Total net assets 4,123,384 3,973,389
Funds
Restricted funds 13/14 158,281 155,334
Unrestricted funds 13/14 3,965,103 3,818,055
4,123,384 3,973,389

The financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 applicable to small companies.

27/04/2024

These financial statements were approved by the board on ……………………….. and signed on its behalf by:

Dean Thorpe

Kevin Quinton Dean Thorpe Trustee and Chair of Trustees Trustee and Treasurer

The notes on pages 14 to 30 form part of these financial statements.

Company number: 00181581

Page 12 of 29

The Yorkshire Baptist Association (Incorporated)

Statement of Cash Flows for the Year Ended 31 December 2023

2023 2022
Note £ £
Cash Flows from operating activities:
Net cash used in operating activities 18 (96,218) (188,181)
Cash Flows from investing activities:
Dividends, interest and rents from investments 53,952
 36,039
Proceeds from the sale of fixed assets 685,865
 -
Proceeds from sale of investments 1,284,656
 972,939
Purchase of investments (1,170,081)
 (1,066,464)
Net cash provided by / (used in) investing
activities 854,392 (57,486)
Change in cash and cash equivalents in the
year		 758,174
 (245,667)
Cash and cash equivalents at the beginning
of theyear 163,552
 409,219
Cash and cash equivalents at the end of the
year 921,726
 163,552

The Charity had no debt in this or the previous year.

The Charity also holds cash in investments of £69,601 (2022: £45,359), this is held for investing purposes and accordingly is not included in the cash balances above.

Page 13 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

Accounting policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

Charity Information

The Yorkshire Baptist Association is a charitable company. The registered office is 17-19 York Place, Leeds, LS1 2EX. The organisation’s Charity Number is 247173 and its company number is 00181581.

Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) (“Charities SORP (FRS 102)”), the Companies Act 2006 and the Charities Act 2011.

The Yorkshire Baptist Association meets the definition of a public benefit entity under FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £1.

The financial statements have been prepared under the historical cost convention, modified to include certain financial instruments at fair value. The principal accounting policies adopted are set out below.

Going concern

The trustees have prepared financial projections, taking into consideration the current economic climate and its potential impact on the sources of income and planned expenditure. They have a reasonable expectation that adequate financial resources are available to enable the charity to continue in operational existence for at least 12 months from the date of signing this report and have adequate contingency plans in the event that income streams are reduced. Consequently, the financial statements have therefore been prepared on the basis that the charity is a going concern. Whilst there is considerable economic uncertainty particularly over the impact of inflation, the charity continues to maintain considerable cash reserves, more than sufficient to meet its immediate requirements, and the ability to reduce grants awarded in the future. Thus, the trustees have continued to adopt the going concern basis of accounting in preparing the financial statements.

Income

Income is recognised when the charity has entitlement to the funds, any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably.

Income from closed churches represents the fair value of assets transferred to the charity upon closure of a church. Any excess or deficit on sale is recognised as Profit on Sale of Closed Church Buildings.

Income from Government and other grants, whether ‘capital’ grants or ‘revenue’ grants is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Entitlement to legacies is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Page 14 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

Accounting policies (continued)

Donated services and facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, and the receipt of economic benefit can be measured reliably. In accordance with the Charities SORP (FRS102), general volunteer time is not recognised. Refer to the trustees’ annual report for more information about their contribution.

Investment income is included when receivable and the amount can be measured reliably by the charity.

Fund accounting

Unrestricted funds are available to spend on the activities that further any purposes of charity;

Restricted funds represent income which the donor has specified to be solely used for particular areas of the Charity’s work.

Expenditure

Expenditure, which includes irrecoverable VAT, is recognised once there is a legal or constructive obligation to make payment to a third party, it is probable that settlement will be required and the amount of the obligations can be measured reliably.

Expenditure is classified under the following activity headings:

All costs are allocated between the expenditure categories of the SOFA on a basis designed to reflect the use of the resource. Costs relating to a particular activity are allocated directly, others are apportioned on an appropriate basis.

Grants payable are commitments (including payments) made to third parties in the furtherance of the charitable objectives of the charity.

Allocation of support costs

Support costs are those functions that assist the work of the charity but do not directly relate to charitable activities. Support costs include back-office costs, finance, personnel, payroll and governance costs which support the Trust’s activities. These costs have been allocated between cost of raising funds and expenditure on charitable activities. The basis on which support costs have been allocated are set out in note 6.

Operating leases

Rentals applicable in respect of operating leases where substantially all the benefits and risks of ownership remain with the lessor are charged to the Statement of Financial Activities as incurred.

Staff Costs

The costs of short-term employee benefits are recognised as a liability and an expense where settlement of obligations does not fall within the same period.

Pensions

The charitable company contributes to the Baptist Pension Scheme which is a multiemployer defined benefit pension scheme. As explained in note 17, the Yorkshire Baptist Association is unable to identify the assets and liabilities attributable to them in the scheme and there is no formal deficit recovery plan in place. In accordance with FRS 102 amounts paid to the Scheme are accounted for as if they were those of a defined contribution scheme.

Page 15 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

Accounting policies (continued)

Tangible fixed assets and depreciation

Individual fixed assets costing £1,000 or more are capitalised. Tangible fixed assets are stated at cost less accumulated depreciation. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value over their expected useful lives as follows:

Freehold & Leasehold land and buildings Not depreciated Closed churches Not depreciated

Freehold & Leasehold land and buildings comprise two manses and three closed church buildings which are held with a view to furthering the objects of the charity. No depreciation is charged against these assets on the basis that the trustees consider that the residual value is at least equal to the carrying value.

Fixed asset investments

Investments are a form of basic financial instrument.

Listed investments are stated at market value at the balance sheet date. The listed investment portfolio is held to generate returns and gains for the charity and accordingly is designated as fair value through profit and loss (“FVTPL”). Under this designation, the portfolio is revalued at each period end to its fair value, as determined by reference to quoted market prices and values determined by independent fund managers, with any gains or losses going through the SOFA.

Loans to churches

Loans made by the YBA to member churches are accounted for as mixed motive investments which are measured at historical cost less impairment, subsequent repayments and any accrued interest. These investments are mixed motive in nature and in accordance with the Charities SORP (FRS 102) amounts expensed are accounted for as grants to churches.

Where interest is charged on loans made to churches, the rate is 0.5% lower than that published by the Baptist Union Corporation. The rate at 31 December 2023 was 7.25% (2022: 6.0%).

Stock

No account is taken of the stock of books and pamphlets, which are written off in the year of purchase and are of minimal value.

Financial Instruments

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a maturity within the 12 months after the balance sheet date.

Debtors

Debtors are recognised at the settlement amount. Prepayments are valued at the amount prepaid net of any discounts due.

Creditors and Provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfers of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement value after allowing for any discounts which may be due.

Financial liabilities are only derecognised when, and only when, the charity’s obligations are discharged, cancelled or they expire.

Page 16 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

Accounting policies (continued)

Amounts recognised as provisions are best estimates of the consideration required to settle the present obligation at the reporting end date, taking into account the risks and uncertainties surrounding the obligation.

Taxation

The Yorkshire Baptist Association is a registered charity and as such is a charity within the meaning of schedule 6 of the Finance Act 2010. Accordingly, the Charity is potentially entitled to tax exemption under part 11 of the Corporation Tax Act 2010 or section 256 of the Taxation of Chargeable Gains Act 1992 in respect of income and gains arising.

Critical Accounting Estimates and Judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

No depreciation is charged on freehold land and buildings including closed church buildings which are held with a view to furthering the objects of the charity. No depreciation is charged against these assets on the basis that the trustees consider that the residual value is at least equal to the carrying value.

2. Income from donations and legacies

2023 2022
£ £
Sundrydonations and legacies(unrestricted) 30,000 30,000
Donations and legacies in the year ended 31 December 2023 include:
Harry Bottom Charitable Trust 30,000 30,000
30,000 30,000

The Charity benefits greatly from the involvement and enthusiastic support of a number of volunteers, details of which are given in our annual report. In accordance with FRS 102 the economic contribution of volunteers is not recognised in the financial statements.

Page 17 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

3. Income from charitable activities

2023 2022
£ £
BUGB core funding 158,900
 218,112
Interest on loans to churches 32,534
 19,925
Income from churches for services rendered 49,650
 3,648
Closed churches income 292,271
 75,867
Profit on sale of closed church buildings 28,084 -
Other income 76,761
 4,941
638,200 322,493

All income from charitable activities is unrestricted in both the current and previous financial year.

4. Expenditure on raising funds

2023 2022
£ £
Office costs 13,113 13,298
Closed church property costs 147,926 22,937
161,039 36,235

5. Expenditure on charitable activities

Activity or programme Activities
undertaken
directly		 Grant
funding
of
activities		 Support
Costs
(note 6)		 2023
£ £ £ £
Ministry 27,413 - 364,158 391,571
Mission - 112,539 - 112,539
27,413 112,539 364,158 504,110
Activity or programme Activities
undertaken
directly		 Grant
funding
of
activities		 Support
Costs
(note 6)		 2022
£ £ £ £
Ministry 3,358 - 310,199 313,557
Mission - 133,353 - 133,353
3,358 133,353 310,199 446,910

Page 18 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

5. Expenditure on charitable activities (continued)

Charitable Activity costs include the following grants: 2023 2022
£ £
Grants to institutions:
Mission Grants 118,961 112,855
Biglife 13,100 11,498
NCPRIR, Blackley 4,000 9,000
136,061 133,353

Expenditure on charitable activities was £504,110 (2022: £446,910) of which £503,203 was unrestricted (2022: £446,196) and £907 was restricted (2022: £714).

6. Support costs

2023 2022
£ £
Staff costs (note 8) 285,420 250,261
Regional Minister 20,909
 23,835
Trust officer 11,314 10,624
Legal expenses 8,258 3,151
Governance 8,874 8,314
Other 29,383 14,014
364,158 310,199

7. Net income for the year is stated after charging:

2023 2022
£ £
Auditor's remuneration - Audit (excluding VAT) 6,300 5,800
- Accountancy (excluding VAT) 2,300 2,150
8,600 7,950

8. Analysis of staff costs, staff numbers, financial statements remuneration and expenses and the cost of key management personnel

The average monthly number of employees analysed by function was:

2023 2022
Mission 4 2
Ministry 5 6
9 8

The average number of full-time equivalent employees during the period was as follows:

2023 2022
Mission 2 2
Ministry 4 4
6 6

Page 19 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

8. Analysis of staff costs (continued)

Staff costs during the year were as follows: 2023 2022
£ £
Salaries 213,218 183,698
Social security costs 13,289 11,660
Pension costs 23,444 25,529
Other costs (Council Tax, Water charges, Accommodation) 35,469 29,374
285,420 250,261

No employees earned £60,000 or more during the year (2022: no employees).

Pension Costs are allocated to activities in proportion to the related staffing costs incurred and are wholly charged to unrestricted funds.

The Executive are in charge of directing and controlling the charity, with the Chairs of the working groups and the Regional Minister Team Leader comprising the key management personnel and running and operating the charity on a day-to-day basis. The total employee benefits of the key management personnel of the charity are made up of gross pay, employer’s pension and employer’s national insurance contributions of £48,669 (2022: £44,447) plus allowances associated with housing of £14,804 (2022: 15,097).

No trustees received remuneration for their services during the current or previous financial year. Two trustees received reimbursed expenses during the year of £83 (2022: two trustees, £255).

In addition to the staff costs shown, the part time YBA Trust Officer, is on secondment from Harrogate Baptist Church and has been charged at £11,295 (2022: £10,519).

9. Tangible assets

Closed
Church
Properties		 Freehold Land &
Buildings		 Total
£ £ £
Cost or valuation:
At 1 January 2023 477,500 1,030,919 1,508,419
Disposals (262,500) (330,000) (592,500)
At 31 December 2023 215,000 700,919 915,919
Depreciation:
At 1 January 2023 and 31 December 2023 - - -
Net book value:
At 31 December 2023 215,000 700,919 915,919
At 31 December 2022 477,500 1,030,919 1,508,419

Included within land and buildings is one ‘restricted’ freehold property with a historical cost of £93,761 (2022: £93,761). This represents restricted funds used towards providing a manse for Buttershaw Baptist Church.

Page 20 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

9. Tangible assets (continued)

At 31 December 2023 there were two closed church properties under the stewardship of the Yorkshire Baptist Association, Longley and Lowerhouses Baptist Church and Cowling Hill. An additional closed church at Woodseats is included as Freehold Land & Buildings as it is now home to a newly planted church. At the balance sheet date, the market value of the properties have been included at a value of £215,000.

10. Investments

Listed
Investments		 Bonds
Mixed Motive
Investments
Mixed Motive
Investments		 Cash 2023
£ £ £ £ £
Cost/value brought
forward		 1,824,410 80,000 500,725 45,359 2,450,494
Additions 578,593 - - 591,488 1,170,081
Disposals (567,210) - (162,907) (554,539) (1,284,656)
Realised and unrealised
gains		 105,699 - - (12,707) 92,992
Cost/value carried
forward		 1,941,492 80,000 337,818 69,601 2,428,911
Listed
Investments

Bonds
Mixed Motive
Investments
Cash		 2022
£ £
£		 £ £
Cost/value brought forward 1,992,810
80,000
407,198		 189,960 2,669,968
Additions 917,423 -
149,041		 - 1,066,464
Disposals (786,767) -
(55,514)		 (130,658) (972,939)
Realised and unrealised
gains		 (299,056) -
-		 (13,943) (312,999)
Cost/value carried
forward		 1,824,410
80,000
500,725		 45,359 2,450,494

At 31 December 2023 £162,799 (2022: £49,571) is included in debtors in respect of the mixed motive investments. These amounts represent loans to churches which total £500,617 (2022: £550,296). The historical cost of listed investments is £1,807,826 (2022: £1,830,011). Bonds and mixed motive investments which comprise loans to churches are carried at cost less any provision for impairment.

11. Debtors

2023 2022
£ £
Trade debtors 34,960 45,088
Short term element of mixed motive loans to churches 162,799 49,571
197,759 94,659

Page 21 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

12. Creditors amounts falling due within one year

2023 2022
£ £
Accruals 8,600 7,950
Other Creditors 332,331 235,785
340,931 243,735
13. Analysis of movement in charitable funds
Balance Net gains Balance
1 on 31
Year ended 31 December January Incom Expenditur investmen Decembe
2023 2023 e e t r 2023
£ £ £ £ £
Unrestricted Funds
General 3,818,05
5		 720,370 (664,242) 90,920 3,965,103
Restricted Funds
Temperance 2,100 - - - 2,100
Closed Churches 153,234 1,782 (907) 2,072 156,181
Total restricted funds 155,334 1,782 (907) 2,072 158,281
Total funds 3,973,38
9		 722,152 (665,149) 92,992 4,123,384
Net
Balance (losses) Balance
1 on 31
Year ended 31 December January Incom Expenditur investmen Decembe
2022 2022 e e t r 2022
£ £ £ £ £
Unrestricted Funds
General 4,225,60
7		 387,459 (482,431) (312,580) 3,818,055
Restricted Funds
Temperance 2,100 - - - 2,100
Closed Churches 153,294 1,073 (714) (419) 153,234
Total restricted funds 155,394 1,073 (714) (419) 155,334
Total funds 4,381,00
1		 388,532 (483,145) (312,999) 3,973,389

Page 22 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

13. Analysis of movement in charitable funds (continued)

Purpose of Restricted Funds:

Temperance Fund – the Temperance Fund was established for the purposes of making grants to churches for purposes of temperance.

Closed churches - the Closed Churches Fund arises from churches which have closed and now have no members. The assets have, in accordance with the Trust Deed, been transferred into the control of the Association within the restrictions placed upon the Association by reason of the Trust Deed or order of the Charity Commissioners. In some cases, the only restriction is for purposes connected with the Baptist denomination, as the Association shall direct, in which case these are treated as unrestricted funds.

14. Analysis of net assets by fund

Year ended 31 December 2023 General Restricted 2023
£ £ £
Fixed assets - Tangible assets 822,158 93,761 915,919
Investments 2,399,371 29,540 2,428,911
Net current assets 743,574 34,980 778,554
3,965,103 158,281 4,123,384
Year ended 31 December 2022 General Restricted 2022
£ £ £
Fixed assets - Tangible assets 1,414,658 93,761 1,508,419
Investments 2,425,686 24,808 2,450,494
Net current assets (22,289) 36,765 14,476
3,818,055 155,334 3,973,389

15. Related party transactions

Baptist Union of Great Britain

The Association is a member of the Baptist Union of Great Britain (BUGB). During the year, it received grants from the BUGB as shown:

2023 2022
£ £
BUGB Core Funding 158,900 218,112

The YBA is not beneficially entitled to these funds but is merely acting as agent for BUGB and accordingly the charitable company does not recognise these amounts in income or expenses. The monies are held in a separate bank account and paid over to the BUGB periodically during the year.

Page 23 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

15. Related party transactions (continued)

The money collected and paid over during the year is detailed below:

2023 2022
£ £
Donations to the BUGB Home Mission Fund from Association
member churches		 173,654 180,492

Baptist Churches in Yorkshire

Baptist Churches in Yorkshire are in most cases members of the YBA and the transactions that took place between the YBA and those churches, during the year, are detailed below.

2023 2022
£ £
When the Association carries out work for such churches, fees
are charged and the resulting income is shown as_Income from_
churches for services rendered. 49,650 3,648
Loans made to churches during the year - 151,301
Loan repayments received from churches during the year 46,679 63,414
Interest on loans received from churches during the year 32,534 19,925
Fee paid to a church in respect of trust officer secondment 11,295 10,519
Grants made to churches during the year 93,920 99,988

Kevin Quinton is a trustee of St Thomas Crookes. During the year, The Yorkshire Baptist Association received income of £260 (2022 - £145) from St Thomas Crookes in addition to their BUGB Home Missions contributions.

16. Legal status of the charitable company

The charitable company is limited by guarantee, the liability of each member of the company being wound up while they are members or within one year after they cease to be a member shall not exceed £10.

17. Pension costs

The YBA is a participating employer in the Baptist Pension Scheme (“the Scheme”), which is a separate legal entity administered by the Pension Trustee (Baptist Pension Trust Limited). The assets of the Scheme are held separately from those of the YBA and the other participating employers.

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

In July 2022 an agreement was reached with Just Group to secure the Defined Benefit Plan Members’ pension benefits. From that date Just provided financial backing for all defined benefit pensions provided through the scheme. Deficit recovery contributions reduced to £1 a month from August 2022. It is planned to fully transition the responsibility for the defined benefits to Just during 2024.

From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Broadstone Corporate Benefits Ltd.

Page 24 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

17. Pension costs (continued)

In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members if they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Aviva Limited.

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

Actuarial valuation as at 31 December 2019

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

The key financial assumptions underlying the valuation were as follows:

The key financial assumptions underlying the valuation were as follows:
Type of assumption % p.a.
RPI price inflation assumption 3.20
CPI price inflation assumption 2.70
Minimum Pensionable Income Increase Adjustment (above CPI) 0.50
Pre-retirement assumed investment returns (gilt yield plus 1.75% p.a.) 2.95
Post retirement assumed investment returns (including benefits
matched by the insurance policy) (gilt yield plus 0.5% p.a.) 1.70
Minimum Pensionable Income increases (CPI plus 0.5%) 3.20
Deferred pension increases (based on RPI)
Pre April 2009 3.20
Post April 2009 2.50
Pension increases based on CPI with an annual floor of 0% and annual cap of 5% 2.70

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

Pension cost for the year

DC contributions
DB deficit contributions		 2023
2022
£
£
23,432
20,121
12
5,408
23,444
25,529

At the year end the estimated debt is £nil (2022: £nil).

The Scheme has provided an estimate of the costs to leave the scheme, which would equate to £1,000. This is for information only, as it is not payable until the YBA ceases to employ any active members of the Scheme or leave the scheme, which eventuality is considered to be extremely unlikely.

Page 25 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

18. Reconciliation of Net Movements in funds to Net Cash Flow from Operating Activities

2023 2022
£ £
Net movement in funds 149,995 (407,612)
(Gains) / losses on investments (92,992) 312,999
Investment income (53,952) (36,039)
(Profit) on the sale of fixed assets (93,365) -
Purchase of tangible fixed assets - (114,067)
(Increase)/decrease in debtors (103,100) 14,109
Increase/(decrease) in creditors 97,196 42,429
(96,218) (188,181)

19. Post balance sheet events

Subsequent to the year end, two loans to Churches were repaid at a total of £121k. A new loan to Church was taken out by Beauchief Baptist Church for £25k.

Page 26 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

20. Custodian trust assets

The Association holds as Custodian Trustees certain assets for the churches and associated charities within the Association. The Trustees do not have any direct title to these funds but administer their investments within the general framework of the Charities Act in consultation with their Financial Advisors, Brewin Dolphin and the objectives of the individual churches.

The objects of the churches and charities are in line with the objects of the Association shown in the Trustees’ report. The investments are kept in safe custody and controlled by means of an Investment Register and the Cash Deposits controlled by means of a Financial Statements Ledger, which are periodically reconciled.

The following schedule shows the assets of each custodian fund held on behalf of the church or charity. Investments are shown at their market value at 31 December 2023 and 2022:

Investments Cash Deposits Total Investments Cash Deposits Total
2023 2023 2023 2022 2022 2022
£ £ £ £ £ £
Barnsley - Sheffield Road - 20,581 20,581 - 19,915 19,915
Barnsley‐Ward Green - 279,930 279,930 - 270,873
 270,873
Bingley 6,875 4,075 10,950 6,265 5,995 12,260
Blackley - 137,063 137,063 - 101,116
 101,116
Bradford‐Clayton 3,209 8,023 11,232 3,273 7,763 11,036
Bradford‐Tetley Street - 42,644 42,644 - 41,264 41,264
Bradford‐Westgate 9,844 21,104 30,948 10,081 20,421 30,502
Bridlington - 9,871 9,871 - 9,551 9,551
Conisbrough - 1,316 1,316 - 1,273 1,273
Dewsbury 39,380 - 39,380 39,457 14,108 53,565
Carried Forward 59,308 524,607 583,915 59,076 492,279 551,355

Page 27 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

20. Custodian trust assets (continued)

Investments Cash Deposits Total Investments Cash
Deposits		 Total
2023 2023 2023 2022 2022 2022
£ £ £ £ £ £
Brought forward 59,308 524,607 583,915 59,076 492,279 551,355
Doncaster‐Chequer Road - 16,597 16,597 - 16,060 16,060
Earby - - - - 17 17
Farsley 7,950 626,332 634,282 8,141 605,675 613,816
Golcar 7,149 6,245 13,394 6,757 5,532 12,289
Guiseley - 3,413 3,413 - 3,302 3,302
Hebden Bridge – Hope - 19,376 19,376 - 2,651 2,651
Huddersfield‐Birkby - 49,338 49,338 - 76,944 76,944
Huddersfield‐Milnsbridge - 10,683 10,683 - 10,337 10,337
Huddersfield‐New North Road - - - - 14,709 14,709
Huddersfield‐Oakes - - - - 33,885 33,885
Huddersfield – Salendine Nook 163,815 7,928 171,743 163,792 7,671 171,463
Hull‐Boulevard - 52,655 52,655 - 50,951 50,951
Hull‐Priory - 29,142 29,142 - 28,197 28,197
Keighley - - - 44,409 36,347 80,756
Leeds‐Armley - - - 16,851 1,871 18,722
Leeds‐Blenheim - 308,103 308,103 - 298,133 298,133
Leeds‐Bramley - 4,813 4,813 - 4,657 4,657
Leeds‐Moortown - 52,971 52,971 - 51,257 51,257
Leeds‐Revive - 4,902 4,902 - 4,743 4,743
Carried Forward 238,222 1,717,105 1,955,327 299,026 1,745,218 2,044,244

Page 28 of 29

The Yorkshire Baptist Association (Incorporated)

Notes to the Financial Statements for the Year Ended 31 December 2023

20. Custodian trust assets (continued)

Investments Cash Deposits Total Investments Cash Deposits Total
2023 2023 2023 2022 2022 2022
£ £ £ £ £ £
Brought forward 238,222 1,717,100 1,955,322 299,026 1,745,218 2,044,244
Leeds‐York Road - 3,905 3,905 - 3,779 3,779
ME Iredale Trust - 13,813 13,813 - 13,366 13,366
Meltham - 10,998 10,998 - 10,998 10,998
Mexborough - 7,725 7,725 - 7,476 7,476
Mirfield 20,635 74,319 94,954 21,132 71,915 93,047
Normanton - 114,140 114,140 - 110,446
 110,446
Queensbury - 45,968 45,968 - 44,480 44,480
Rawdon - 45,342 45,342 - 43,875 43,875
Rotherham - 5,494 5,494 - 5,316 5,316
Rothwell - 39,917 39,917 - 38,626 38,626
Salterforth - 1,269 1,269 - 3,730 3,730
Scapegoat Hill 259,259 56,164 315,423 - 318,278
 318,278
Scarborough‐Albemarle - 14,915 14,915 - 21,225 21,225
Sheffield‐Cemetery Road 11,000 39,973 50,973 11,000 409,846
 420,846
Sheffield‐Darnall Road - 18,932 18,932 - 18,319 18,319
South Craven 122,027 21,353 143,380 121,793 20,662
 142,455
Todmorden‐Roomfield - - - - 4,567 4,567
Todmorden‐Vale - 27,077 27,077 - 26,201 26,201
Total 651,143 2,258,409 2,909,552
 452,951 2,918,323 3,371,274

Page 29 of 29