2024-12-31-accounts

THE CHURCH OF ENGLAND DIOCESE OF DURHAM DURHAM DIOCESAN BOARD OF FINANCE ANNUAL REPORT YEAR ENDED 31 DECEMBER 2024 Com Chari an Number". 00192018 Number. 248287

Durham Diocesan Board of Finance IA company Ilmlt•d by guarant4•1 Contents Page Reference and administrative details Trustees. rewt 3-20 Trustees. resF*)nsibilits'es ststement 21 Independent ouditovs report lo the trustees of Durham DKKesan Board of Finance 22-24 Statement of financial acbwties 25 1￿me and expendtiure ac(xMJnl Balance sheet 27 Stslement of cash flows 28 Notes to the finanaal statements 29-62

Durham Diocesan Board of Finance IA company limited by guarante•} Reference and administrative details Year ended 31 December 2024 Ex officlo Members of thè Board The Bishop of Durham- Right Reverend PR Buuer (Chairl (until 29 February 2024) Th6 Bishop of Jarrow- Right Reveren¢J SE Clath IChair} The Dean of Durham- Very ReVe￿nd Dr p pfyrning The Archdeacon of Au¢kland- Venerablè RL Simpso The Archdeacon of Durham - venerab￿ EM Wilkinson The Archdèae4)n of SurKledand- Venerable RG Coc4)er The Chair of the House of Laty- Canon F Stenlake The Chair of the House of Clergy- Canon S Clark (until 31 July 2024): Reverend P Arnold (from 16 November 20241 The Chair of the Finance Gr(w- Canon ML Vaughan (V￿ChaIr) El￿ted M8mbers of tho Boanl Reverend Canon K Bagnall (from 1 November 2024) Mrs A Blackburn Mr F Drake (until 30 April 20241 Mr S Gardiner luntil 31 O¢lober 20241 Mr J Hall Canon Dr JH Harrison Mr P Hobbs Mrs R Hicks (until 31 October 2024" from 19 December 2024) Reverend B Huish Ifrom 19 December 2024) Reverend M Levinsohn Ifrom 19 Decemiw 20241 r SL Pickering (from 1 November 2024) Dr AC Price {unbl 31 October 2024) Canon FA Rogers Mr J Wilders lunlil 31 October 20241 Reverend P Arnold lunlil 16 November 2024 when elected Chair of House of Clargy of D￿San Synod) Reverend L Sulherfand lunb"131 October 2024) Reverend Canon D Tolhurst lunkn"131 O¢lober 2024) Mr N Wyrley-Birch {from 1 November 2024)

Durham Diocesan Board of Finance IA company limited by guarantee) Reference and administratfve delails (¢ontinued) Year ended 31 December 2024 S8cTetsry to the Board Canon JJG M￿gan Diocesan Chan￿lIOr Theworshipful Adrian Iles 56 North Bondgate BishopAu¢kland DL147PG Dlocesan Registrar Mr P Wills Smith RC￿ldaM 56 North Bondgate Bishop Avckland DL14 7PG Indo￿ndent Audittir UNW LLP Chartered Accountsnts ctygale Sl Jame5. Bovlevard Newcastle upon Ty NE1 4JE Gl•be PropgrtyAg0nts Savills Helix The Lumen St James, Boulevard Newcastle upon Tyne NE4 5BZ R•gisteTedOffice Cuthbert House Slon8bridge Durham DH13RY Telephone: Website.. Email.. 01388 604515 rham.an [e-mail] Company registration number 1x1192018 Regist¢r•d charlty numb¢r 248287

Durham Diocesan Board of Finance IA company limit•d by guarante•} Trustses, report Icontinued) Year ended 31 December 2024 The trustees of the Dutham Diocesan Board of Finance11he 008F'I. who are the members of the company 8nd are directors for the purposes of company law, present report together wth the audited financial statements, for the year ended 31 December 2024. This rewt satisfies Ihe legal requirements for the Directors. Report of a charitable company,. a Strategic Report uNJer the Companies Act 2006" and a Trustees, Annual Report under the Charities Act 2011. Ob-•¢tives of the DDBF The DDBF was formed to manag8 the finanual affairs and hold the legal tille to the assels of the Dio¢ese of Durham. It was incorporated on 21 August 1923 as a charitable company limited by membership guarantees (No. 00192018) aThJ is registered the Charity Commission (No. 2482871. Each member of DDBF has a personal liability limited to £1 under tt)eir guaranlee as company members In the evenl of rts beiry wound up. The objectives of the DDBF as set out in the Memorandum and Artides of Association are to hold real and personal propety for the purposes connected with the Church of England in the Dio(se of Dutham. The Board is the financial adviser and eXe￿tive of the Diocesan Synod- it is responsible for the collection. custody, disbursement and account of the Syno(fs lullds. the empwnent of all persons in receipt of salaries paid directly from those funds. The DDBF has delegated resp(M)sibilty for the day-ltrday management of the company lo the Drocesan Secrelary. The Archdeacon of Dutham and Head of Programme Delivery for Diocesan Transfomiation lead the staff team in supports.ng the Dhocesan Bishop to dèvetop the mission of the Church of England in the Dioces8 of Dutham. The ￿"OCeSe of Durham aiso benefts from the services offered on a voluntary basis by a large number of members and suprK)rters of the Church of England. These volunteers give of their b'me and eXPe￿'se in many ways, including membership of the t)ards arbd committees needed lo provide effethe govemance and ensure effective operation of the Diocese. The Board would likè lo ￿ace on record its gratitLKle aNJ Ihanks for all the supwt tt has received from both staff and volunteers over the past year. The Board recognises the continuing challenges facing clergy, parishes and would like lo thank all of those who have supp(vted thi* work. Strate ic Alms and Ob'ectives The Diocese of Dutham has adopted a vision to be." The Church of England from the Tyne to the Tees and the Da￿$ to the Sèa. blessing our communiti•s in Jesus. nam• for the transfomiation of us all. Following the Waymark conference in late 2019, the Diocese has deVe￿ped a mission strategy for 2021-2026. approved al Dio¢esan Synod in January 2021. This focJJsse5 on fcMJr p￿rIt￿.. Ene¥gising Growth.. Engaging with child￿n, Young People and 18-25s- Challenging Poverty- an(J Caring for God's Creation. To support this strategy, the Diocese devel¢)ped a Programme of Di￿San Transformation which supports missK)nal work within our parishes in line with these pr￿n1￿$.

Durham Diocesan Board of Finance {A company limit•d by guarnnt•e) Trustees, report (continued) Year ended 31 December 2024 A¢hl¢vements and rforniance rati al Revi The Christian Presence Clergy, lay leaders and churd) members tAay a central part in the life of churthes and cary out important roles in our communities. This invofves engaging in a ￿lJe variety of communty and church prtlects. and clergy, along wlh licensed lay ministers. cany out numerous y￿dd1r￿. bapbsms and funerals. and provhde chaplaincy in a range of diffgrent settings. In February 2024. the Rt Rev Paul Butber retired from his role as Bishop of Durham, and the discernment of the next Bishop of Durham commenced. The Va(8ncy4n•See Committee, chaired by Ihe Acting Bishop of Durham. mel to prepare the Diocesan Statement of Need, to arrange consullation wth stakehold&Ts from across the Diocese. and to elect six d￿￿e$an members of the Crown Nominations Commission for Dutham ICNC). The CNC met and nominated a candi¢Jale in November 2024. however in Febwary 2025 it was announced that Ihe nominee had withdrawn from the process. Therefore, the CNC will now reconvene in 2025 to nominate a new candidate. Leadership in its many fom)s is essenbal. and we are delwJhted lo have had re81 Suc￿$ in developing both lay and ordained vocations. Numbers of those in training for ordained ministy continue to remain reasonabty strorg. By the end of the year. we had 20 Durham spons¢yed Cand￿ateS in training for ordained ministy (2023." 23). The Diocese, havw r￿nIty been in a position to extw)rt candNJates. has now reverted back to its historic pattem of importing carKIHJates for stipendiary ministy. though cyJr seif-supFX)￿n9 numbers remain slror<J. The numbers in training for reader mini8ty have grown and are rtLY+V al their highest level for many years. Al the end of the year there were 22 ￿aderS in training {2023.' 16). Numbers of vocations to lay pastoral ministry have fallen. with hyo in training (2023.- seven)- Those in training for authorised lay ministy of Ihe word have grown to nine. The authorised lay ¢hildren'5 leader pathway remains popular. and we have tsvefve people in training. Most of the authorised an(1 licensed 18y ministries (reader. pastoral minislry. chaplaincy, and ministry of the word) are being trained through Lindisfame College of Theology. Lay chiklren's leadeTS are trained at courses provided by the DDBF. Dutham Dioce n Board ofEduca DDBE The work of the DDBE covers a wide range of areas: re¥￿enting Ihe Diocése on a variety of committees and statutory bthjies,. liaising with local authority and other 01￿Cers.. supporting schools by providing help and In- service training on a ￿de range of issues induding religiotjs eduGation and school worship, supporting and training governors, legal, land management and governar￿. The DDBE aims to facilitate the working together of govemors, teachers. parents. church and other partners lo ensure that the quality of educalion offered to the children in our church schools is ts best it be. The DDBE seeks to". promote education within the faith aThJ practice of the Clwrch of EnglarKI., promote religious education and (l)I￿t￿e worship in $Ch￿￿s. promote or assist in the promotion of church s¢hrJJls and advise the govemors and trustees of thurch educational endowments and any other b￿JY (Y person concemed on any matter affecting church schools". promote ¢<weralion wth L%yJies C￿ pwsons concwned in any respect Wbth educalicfft in the Diocese; and support parishes in all aspects of work with children and young people. The DDBE meets temly and receives upxjales from the Director of EdLbcation. who leads the Joint Education Team, which operates on behalf of both Dutham and Newcasue Diocesan Boards of Education. The members of the DDBE bring a wide skill-set induding expw1ise from education. business and finance.

Durham Diocesan Board of Finance {A Company limited by guaranto01 Trustees. report (continued) Year ended 31 December 2024 The DDBE has wthed with all 57 church schools in the DI￿Se throughout the year. These consist of 50 primary schools. two junior schools and five secondary s¢htx)Is. one of which has a sixth form. The landscape has continued 10 shift with more schools becomir¥J a¢ademies and joining Church of England or Mixed Multi- Academy Trusts (MATS). There are seven Voluntary Aided Schwls and 14 Voluntsry Controlled Schools within the DI￿ese. and 36 schods now in acmy trusts. or those that have academrLed. one remains as Single Academy Trust and another as a single schod wrthin an'empty MAT,. Inspection outcomes are extremety strong across the Di(xese for h)ih Otsled and SIAMS (Slalulory Inspection of Anglican and Methodist Schools) inspeclk)ns. At the end of 2024, 98% of Church schools were outstanding or good IOf51ed} and 98% were excellenl or ￿ under the previous framework. 100% of the schools inspected under the new SIAMS framewofk, whith commenced in September 2023, have attained a Judgement 1 and a￿ living up to their fournlalw as a church $rt￿. Professional development ¢our5es are made available both online and in person. and cover a range of subjects and topics, including temity support for chairs of gM)vemors and ex-officio governors, and lermty training for new foundation govemors. In addibon. the spring Conference {Eady Years Foundation Stage}. the annual summgr conlerence (Spirituality and Well-Beingl and the autumn conference (Equity. Diversity. Inclusion and Justscel were extremety well attended with delegates from both church and communty schools. as well as both intemal and extemal speakers. This year. the team has fvrther supported schools and governors with the SIAMS framework, induding explorat￿ of what spirituality means in each context and the role of govemance within this. Thrive training. Povwty Proofing, Courageous Advocacy. Christian Dislincliveness and subject leadership wrses have also been offer￿. Uptake is strcM)g for all aspects of continuous professional development ICPDI many c4)UTses bèing repeated due lo demand. The team has also accessed CPD. induding training on Menlal Health and Well-Being. Safeguarding, Equalty, Diversty and Inclusion, and SIAMS and Ofsted updates. The Interim Director of Educabon attend8d Bishop's L8ader5hip Team and Diocesan Synod, sharing the views of school leaders and pupils. as well as nab.onal conferences focusing on SEND and Inclusion. In late 2024. a permanenl D1￿ctOr of Education was successfully appointe(l. commenung in January 2025. Ctjrrent challènges for schools reV￿ve afound dosing the achievement gap. particulaty in Eady Years where the gap befvjeen disadvantaged pupils and non4isadvantaged has MiJened, poverty, EDIJ, recrurtmenl and retention of staff, and improving attendance. particularly for disadvantaged pupils. In addition. the Director of Education is a member of the Diocese's Nel Zero Working Group which is enabling all voluntary aided schools lo move towards being carbon neutral by 2030. Linked to this. there is ongoing work lo support governors with propety issues and with the legal processes invofved in academisation of schods. Finalty, the D1￿ctor of Education has represented the team at the North East Anti-Racist Coal￿"0n which was fornied after the national riots in the summer of 2024. The Joint EducatHJn Team supported the Vacarw-in-see Committee by ensuring that the voice of our children and stsff within our church sch(K)Is was heard. This included a presentatM)n on the key messages shared by pupils and staff, as well as a wsit to one of cxjr primary schools. with Children Youn P&0 e and 18-25s In Summer 2024 our approach to chiklren's and yLNJlh ministy engagement was brought under the new umbrella term of 'Growing Youngerf which encompasses all work engaging wth Os-25s. Much of our key engagement with children and young people has ¢￿ts"￿￿ed within this new fomi, ￿ new missional initiatives being developed alongside. Thè Pulse youth event has continued with 130 joining together in March at Durham Cath8dral for a silent disco. prayer stations, leaching from Cranmer Hall and a blessing from Bishop Sarah. Morè than 60 young people were part of the pilgrimage to Hdy Island in July, alongside 16 from the chiklren's council. 14 young people completed the Growing YcHJng Leaderfs l￿r$e, wilh a celebrat￿ event in April where they were Commissioned by Bishop Sarah. er￿u1391ng them to step further into their leadership joumey. Training in ministry to young people fomis a signfficant part of the Initial Ministerial Education programme, and through courses at Cranmer Hall Theolcfv3ical College and Lindisfame College of Theology. Courses leading to

Durham Diocesan Board of Finance (A company limitod by guaranlw) Trustees, report (continued) Year ended 31 December 2024 the Bishop's Cer1ificate in Youth Ministy and EducatK)nal Chaplaincy have also ￿en provided. mainty to volunteers. We have also seen the first cohort of eNJhl compkele their training to be Authorised Lay Children's Ministers, all taking part in the annual lay mintsty se￿￿ at Dutham Cathedral in September. The annual year 6 leaverfs servKe at Dutham Cathedral look place in June with more than 2,200 children attending across five services. 60 y(xJng people in year 10 from church secondary schools supported the event, which was also an encouragement for them. Following the retirement of our k)ngstsnding Youth Athisor, and using fvnding from the National Church. the Growing Younger leam has increased in capauty. enccmnpassing new roles focused intentionally on young aduhs and training 18aders. alongside Mission Ena￿eT5 continue to supwrt parishes to reach and disciple children aThJ young people. The autumn focused on rec¥uitment and indudion. with implementation of the new Growng Younger programme beginning in eady 2025. isin Growth The DirKese aims to grow in Ihree key dimensions: in re8ch and influe￿. in depth by strengthening di￿lpIe$h¥￿. and in breadth and number. In 2024, the deasion was made lo establish a nwy Growng Churches team to better a(l)ieve the goal of seeirrfJ growlh in each of these three key areas. This has been a naluTal development from the woth of the Cultivate team. previously focussed on the Diocesan vision of establishing 100 new worshipping communities by 2030. It was recognised that to wden the engagement of churches. there is a naed lo -go UP•riverf and SLbPPOrt churche5 WKth the foundational irKJredients of missK)n and disopleship. supporting churches to grow in depth and reach in order that they may then multiply in number. To this en¢J. a new Missional Discipleship Enabler was apw)inted lo work alongshde churches to dèvelop culiures and processes of intentsonal disupkship. An Evangelism Enabler is also being recruited, lo work wlh churthes in developing mis￿Onal Confiden￿ and evangelistic creab'vity. PreparatK)ns have been made lo btsgin learning communty process wth Darfinglon deanery whith whll encompass all three aspects of the Growing Churches pr￿esS Maturity {Discipleshipl. Mission (Evangelism). arml Multiplication (establishing New Worshipping ComMun￿"e$). This pik)t prO￿sS ks a series of leamiThJ communf(ies. huddles and coaching which. over an 18-month peri(xl. supports churche5 in embedding deep cullural change. Growing Durham Dk)cese.' Our ResouruNJ Churches are now approaching the end of the perhod through which they are funded by thè National Church. There have been many positive outcomes in temis of congregational growth and diversity, as well as many new minislries to young people. vulnerable adults and to more economically deprived communities. The next phase of en9agemenl with these churches wll include robust planting plans. as well as disceming the pla¢x of Resour￿n9 Churches in the wider church ecology of the Diocese. Growng Hope: Preparations have taken pla￿ to submil a reset aptAi(3tion to the National Church. embedding the leaming from experience to date. an¢J to allocate resources lo areas of fruitfulness arKI recognising the challenges that have affected projects whith began during CovtyJ-19 restrictions. The￿ are positsve signs from number of projects.. in Hartlepool Ihe recruitment of a new Mission Enabler is giving fresh energy and vision lo the projeci.. Hope4AII in Pennywell conts.nues to eXpar￿ their offer of s()cial action projects to the local community. wilh a number starb.ng to explcKe faith". St Paul's Stockton ￿ntinUeS lo grow and is looking at ministy and outreach OpportunTi￿. Transforming Growlh: All five of the churches invofved in the txJa¢hing and ￿SO￿T￿ng provided through this project have now established New Worshipping Communities,. Magdelene Communty Church in Chopwell and Gather Church in Gainford are tK)th well established and are now In a process of refining and reworking their mission plans to engage more widety and deeply wrth their communities.. The House of Hope al Thomley continu8$ to grow both numerically and in deplh. with sevefal Socal leaders being Klentsfied and equipped. St

Durham Diocesan Board of Finance {A company limited by guarantse) Trustees, report (Continued) Year ended 31 December 2024 ban's, Windy Nook are planning the revitalisalKJn of St Ninian's in Low Fell.. and Sl Andrew's in Haughlon-l Skeme have launched a farnily￿ntred missional communrty that regularly attracts 50-60 attendees. The Lay Plantets AuthOrisa￿n Pathway is ￿rrenty being developed in conjunction with Cranmer Hall. lo provide practic81 and theolog￿al training for lay leaders identified as either being engaged with. or planning towards, estsblishing new worshipping commurbities_ 11 is hoped that this discemmenL training and coathing will enable us to devdop ￿Y planters with missional Conffiden￿. Challe Pove With financial support from Lord Crewes Charity. the Diocese has worked with Communities Together Durham ICTDI lo help churches challenge wverty. The CTD team saw signfftanl change during 2024. There are three areas of focus within the pri¢Nity: Working together lo ad¢Jress chitd and youth povety CTD supported 14 holiday dubs with activities. based around fwd provision. In all, 339 drfferenl individuals partKipated in these clubs, wth 86 volunteers serwng across the dubs. A celebration event in September shared gorxl practKe and stcKies from drfferent dubs in preparation for wder engagement in 2025. Twelve church schools completed audts from Chikdren North Easfs 'Pov8ty Proofing Schools. programme. One leacher observed." We have stopped asking children questKJns related lo Whe￿ they have been after a hdiday. We are not visiting shops when oul on a school trip so that Children do not need lo bring money into school. We a￿ also actwely encouraging pa￿nts to use our unifomi bank." The next steps include sharing the impact of the programme wrth other Sch￿￿$ and considering how the model myhl be exlended to church activities. Responding lo isdation. particularty among the elderty Churches across the Diocese have continued to engage with wami spaces and places of welcome. Christ Church, Felling has operated as a place of welcome for over five years and in 2024 they launched a pilot pmje¢t for a council scheme for adv￿ social ￿re. They are a trusted organisation in thè Community and are seen as a safe pla￿ for peoplè to go for supp(xt. New pla￿$ of wel(y)me a￿ planned for 2025. Churches operated a number of other sthemes for ervJaging with isolation in their communty. The parish nursing scheme in the Durham Dales is now established. and the nurse had sustained (xjntsct with more than 30 individuals over the year. Two parishes used the Know Your Church Know Your NeightrM)urhood tool from Ihe Church Urban Fund to consider how best to serve the need5 of their community. In add￿0￿, CTD faalttsted a networking and training day for chur¢h based communrty workers in November 2024. The event induded an extemal speaker and opportunities for focuse(I conVersat￿n. A5 a result of the feedba￿. ￿l¢e yeady meetings are planned going forward. Reaching out arKI responding to the needs and gTfts of asylum seekers and refugees Churches in all seven bcal authorities CoVe￿d by the Diocese have been involved in supporting refugees and as￿urn seekers located in their area. We wntinue to work to build links between these dtfferent drop ins alongside other agencies. CTD continues to work ck)sety with Dutham County Council lo welcome aNI coordinate support for refugees and asyfum seekers arriving in the authority. In 2024 we conlinued lo raise awareness of the situab.on refugees and asylum sèekers find themselves In. Presentations were made to a number of Syn(xls. Chapters and other groups and three further film showings of 'The Old Oak, engaged 130 people in refle¢b"ve discussions. Partiapants considered the issues faced by asylum seekers and lefugees in practical and thcNJghlful ways. Cann for God s c￿811"0n 11 has now been four years since the adopt￿n of Caring for God's CreatK)n as a dio¢esan prK)rity. In addition lo a Diocesan Environmental Officer {DEOI. we also have a creati(￿ Care Officer ICCOI working on this priority alongside a parish role.

Durham Diocesan Board of Finance (A company Ilmlt•d by guaranleo) Trustees. report (continued) Year ended 31 December 2024 In January 2024. we were awarded the A Rocha Bronz8 Eco Diocese award. This re¢ognises the efforts of churches in our Diocese to be part of the Eco Church scheme, whilst also taking into consideration the Diocesan commitment lo Creation Care aNJ efforts being made towards nel zero carbon. There has been a significant uptake in churthes engaging ¥wth the Eco Church stheme. We now have 102 churches registered. induding 42 bronze awards. seven sifver ar￿ Iwo gold. St Stephen's. Willington r￿ntty becama our sacond Gold Eco Church. The Creation Care 0￿￿er has been wtNiThJ with churches on their Eco Church joumeys and is encouraging new churches to sbjn up to the scheme. The CCO has also been produciry resour￿ for the Diocese and is beginning to set up a bfoader Enwronmental Champions netsyork. Both the CCO and DEO have attended several deanery synods and ¢hapler meetiThJs this year to promote the take-up of ECL) Church. outline the net zero ¢art>on plans and encourJe p)silwe environmental aclion in parish85. The general synod target of Net Zero 2030 remains bigh on the agenda. The DEO continues lo co-ordinate the Net Zero Working Group of representatives from across the Diocese. The group mel quarterly and is proving lo be a useful platforni for enslhring that the ¢JK)¢esan net zero action plan is being adhered to. as well as being forum to discuss updates from the national net zero team. An urxlate on net zero progress i￿luding an updated carbon footprint for 2023, was presented to diocesan syncrfj in November 2024. This showed a reduction lo our carbon footprint by 12% be￿een 2022 to 2023. The DEO and the Buildings for MissK)n Seuetary have w(xked th the churches wth the highest carbon emissions in the Diocese lo produce net zero action plans. Carfoon footprint data is obtsined through the online parish relums using the Energy FootKKI'nt Tool IEFTI. Thts year. we had 93•A of churches respond to the EFT, which is a greal improvement from 62% in 2023. Webinars and workshops were held with churches within the top 200A of carbon emissions to help their representativ&s conshler how to lower their carbon footprint. Both Offi￿rS continue to visit churches on request and advise them on low carbon heating options. Safe uardin The parish dashboard system has now operated for three years and at the erTrd of 2024, 94% of parishes wer8 using the dashboard. The Diocese were earfy a¢Joplers of the safeguarding hub, a lool lo support parishes the requirements of Safer RecnJrtment and People Management. 25 .10 of parishes are now using this tool. The Nats"onal Safeguarding Stsrbdards were launched by the Acting Diocesan Bishop in July, and wortshops were held during October and November across the DKKese. These workshops dernonstrated how the stsndards woul¢J be reflected on the dashboard and enabled an action plan to be formulated encouraging parishes lo focus on one or tsvo stsndards at on￿. The safeguarding team is now able to analyse data from the parish dashboard and provhde tsrgeted supFN)rt to parishes that mtghl be experiencing dIff￿Ulty with com￿lanc￿ in certain areas. Safeguarding Training continues to be deltvered using a hY￿Id apwo*th of face to f8ce and online training. The trainin9 team offer training. espeaalty in relation lo Basic Awareness aTMI Foundations. in parishes on request. In May 2024. in partnership th Durham Cathedral. the Di(￿Se adopted the National Safeguarding Case Management System. Al casework is rewrded electronically on thi5 systsm allowing more advanced reporting and analysis of the types and causes of concems and inGidents. Progress has been made towards moving from a Diocesan Saleguarding Athsor (DSA) to 8 Diocesan Safeguarding Officer IDSO) in accordance with the re¢ommendatson from the Independent Inquiry in Child Sexual Abuse and this took effect in earty 2025. The DSO'S casework will now be professh)nally supeNised by the recendy appointed North East Regional Safeguarding Leal. who is a member of the National Safeguarding Team, having previ(yJsty been professionally supervised by an independent third paty. The Safeguarding Management Group have mel monthty to ensure the CO￿rdInatiOn of our safeguarding work while the Diocesan Safeguarding Adwsory Panel met quarterfy to monitor prog￿$$. In preparation for the INEQE safeguarding audii in May 2025. an audit ta5kforce was formed which has mel monthly.

Durham Diocesan Board of Finance {A Gompany limited by guaranlo01 Trustees, report (continued) Year ended 31 December 2024 Casework throughout the year was managed by the DSA. in collaboration wtth colleagues throughout the Dio¢ese and in line with good practice guidance. as we continued to do all within our pow8r to make our churches safe for all. DD8F staff and collaborattve worki In the interests of delivering the best supr¥)rt sety￿e$ poSs￿le for wr DI￿se. we have continued to develop opportunities lo work in collaboration with other Church of England bod￿S. These include the well-e5tablished Joint Education Team, aspects of ministerial Iraining and retreat house. The joint diocesan communications team has now developed a regional voti to promote the Vol￿ of Ihe Church of England aligned geographically lo regional media Organisatic￿$. The number of staff employed by the DDBF was 47 (2023.. 44J posts. This includes fy¥o (2023.. thr8eJ Chaplains who are employed by the DDBF on behaw of the organisalions in which they serve. This a150 includes 18 (2023." 18) posts whith are grant funded. and mosl of which are fixed tem) with renewal subject to further funding being 8vai18ble. This approach enables the DDBF to luffil a wider range of provision than would be possible through its core staff. whilst allowing unrestricted fur)ds to be fcoJSS￿ on ministry. Improvements have been made to several diocesan c(Ke systems prc¢esses in order to maximise effiuency ar￿ keep costs to a minimum. Following nottfi¢ation from the Church of Enyand Pension Board of their intention to th8 Church Workers Defined Benefrt Pension Scheme to future ￿CTual from 30 April 2024. consuttalion wtth seven 8ffe¢te¢J members of staff was undertaken. and these members were Iransfeffed to the Church Workers Pension Builder Classic Scheme as of 31 January 2024. The Equality, Diversity & Indusion EnabEer coordinates a team of advise￿ and advrtales lo help drive the Diocese lo￿ard in key areas induding: Disabilty ministry Icurrenty in vacan¢y}: UKME: Gypsy, Roma and Traveller Ministy: Women's advocacy: LGBT+ advocacy (cuffenty n Yacancyl". D&af ministy {currenty in vacancy). In late 2024 the Di(xese submitted an 8pplicab.on for fundir7g lo the Ra¢ial Justice Unit for a Racial Justice Officer, which was awarded in early 2025. and whth will support further work in addressing the areas identified in the 'From Lament to Action. rep￿t. Buildin for MiSs￿n nd san Advi mitee DAC The Diocese currently has 257 church buildings open for wwship and of these 247 are under faculty jurisdiction. The Dio¢&se is ¢urrendy responsible for seven dose(I churches of which onè closed during 2024. Four closed churches were sold during 2024. The DAC mel 10 times during 2024 and disujssed a total of 149 proposals from 100 churches. Following discussion of the proposals by the DAC a total of 90 (2023.. 81) facuhies were issued for work to church buildings and churchyards. This induded 10 interim faculi*s that were issued for urgent work including roof repairs and failed heating systems. The knhdeacons aLw issued a total of 115 (2023.. 96) written notices for WO￿ that can be camed out vthhout a faculty. During the year we have been successful in receiving granl awards from the Archbishops. Council tolalling £367,000 to support chur¢h buildings within the D￿Se. This Comprises £187,000 from the Minor Repairs

Durham Diocesan Board of Finance (A company limit¢d by guarantwl Trustees, report (continued) Year ended 31 December 2024 Grant which wll provide additional support for churches for repairs and Mainlenar￿ to their buildings and £59.1)00 from the Quid( Wins Grant whith helps chur(4ws makè chan9èS to help redu￿ their carbon oulpul. This hjnding is allocated for dislribution during 2024-25 and as at the balance sheet date, approximately 60% has been allocated. The remaining £120.0￿ furKls a Church Building supp￿ Ofver for a period of three years. This officer was appointed in Febru￿ 2024 and has w0￿ed 12 PCCS to support maintenance and improvement wod( to Iheir buildings. Looknn ahead In February 2024. we r￿ly￿j Confimiats￿ of the sewid phase of a funding award from thè Nat￿nal Church in support of our Diocesan TransfomiatWb programme. Coupled with the first phase award from 2023, this provides up to £11m lo support the Transftmb"on pr(NJr8mme up to 2028 at which point it is anlicipaled that progress will be evaluated. and a subsequent fvnding applI￿110n will be submitted. This prc¥Jramme has fom)ed a key part of the basis of the Diocese's Slalement of Need wh￿h is used by the CNC in the discemment of thè next Bishop of Durham who will be entrusted wth lea¢Jing the Transfomiation programme. However. anatysis prepared for the Statement of Need #lentified that the historic underfwng trend of d￿line in the number of worshippers conb.nued during the year. During 2024. preparatKTrns have been Unde￿aY for th8 delNery of the Tfansfomiation Programme. This has required a significant amount of recruitment to develop the (3paoty of the Mission Discipleship and Ministry Team so that they can support the Transformation programme in a m(Ye integrated and intenlional way. 11 has also iequir&d some pilol work to ensure thal each of the inlervenb.ons is well understO(xJ and that appropriate support can be provided lo en$￿￿ that these work well. This means that the team is now more Ou￿ard facing in working with our parishes and projects. and is arranged in teams. each ¥Mth a strategic lead, working in the following areas-. Growing Mission: Growing Le8d8rship: Gr￿Ing Churches., and Growing Younger. The DDBF'S missional programme governance has also been aligned with the Diocesan prborities and TrdnsfoTmalK)n prL¥Jramme, whilst ensuring thal JI our funded programmes are govemed and hel¢J accountable in an appropriate way. It is anticipated that Ihe final elements of this preparab.on will be completed in th8 first part of 2025 and wll allow us to implemenl and supwt the changes ouuined in the Transfomiion prcgramme. These are: Missional Discipleship. Transforming Prayer. Church Planting and Revitalisation: Piloting Missional Hubs., O&v8loping mission￿ y￿th Chaplaincy.. R&sour(s for Local ChaThJe.' and Support for Cumure Change. We have begun to see Yrurt. in some of (xjr new worshipping communiiies. Some are already be¢oming significant contributors within their deaneries and we will continue to implement new aspects of the work facilitated by the Transforniation Planning Group. which reports to our Bishop's Leadership Team. This work will develop over the next five years and includes aMbit￿nS to: ant or revilalw 1¢)0 thurches: 10

Durham Diocesan Board of Finance (A company limitod by guaranteo) Trustees, report (continued) Year ended 31 December 2024 establish and resource church-based Miss￿nal chaplaiw teams lo work with the colle9es of further education {connecting us to up lo 130.¢XKI bxal young adults) antl with our Church of Eng18nd secondary schc(Jls'. support clergy to focus rn0￿ fully on mission and disciplesh￿. align appoinknents and defgynay ￿ader training more expli¢iYy to the Diocesan visK)n; and support new ￿lIatMYatiye initiatives in ￿aCeS where devdoping mtssion in isolation would not otherwise be possible. Financial revl Financial conditsons remained ¢hallengiThJ for parishes and the DDBF with parish share continuing to fall in real tems. Despite many parishes using reserves to lurKI parish share, the cash value of the DDBF'S parish share receipts remained consistent at £4.2m (2023.. £4.3rn), being 95% (2023.- 96Yo) of the amount originally pled9ed by parishes. This is £2.7m below Ihe amwnt required to meel the full cost of diocwn ministry induding housing and pension costs during the year. The DDBF agreed a b￿Jgeted operatiThJ deficil of £0.6m for 2024. of which £0.6m was to be drawn from restricted reserves arKI whith irbciuded £1.8m from the Stipends Capital Fund under the Total Return accounlirrfJ policy. The net movement in funds was a surplus of £912k (2023.. £2.7m). which included a £1.1 m unrealised gain on investments (2023.- £3.3m gain). and a gain of £0.5m (2023.. £0.3m) on disposal of property. Excluding these adjustments which are outside of the DDBF'S operational budget, there was an undeTtwng operatsng deficit of £0.7m (2023.. £0.gm), which aftei the transfer of funding for the Tolal Retum on Investment from the Stipends Capital Fund of £1.8m12023= £0.8m) results in a surplus of £1.Jm (2023.- deficit of £0. Im). Grant fvnding of £1.2m (2023.. £0.2m) was received durirwj the year and is yet lo be disbursed. This is mainly a consequence of the receipt of funding in advance from the National Church. Income lexduding income received on the sale of propety) was £12.4m12023.. £12. 1ml, including.. Contn"buhons from parishes "Parish Share" of £4.2m (2023.- £4.3m), £0.3m less than budget. The DKKese is gralefijl lo parishes for their contributions to parish share during a challenging year., £2.Om (2023.. £2.Im) of Lower Income CommunitTres Funding, £1.3ffl (2023." £1.9m) of Strategic Developrnent Funding grants. £0.4m of Strategic Ministry Funding to support the cost of training curates and first incumbents (2023 £0.4m) arhj other grants from the Archbishops, Council- £0.6m (2023.. £0.5mJ of Property Income" £0.3m (2023.. £0.3m) from Lord Crewe's Charity lo fund poverty alleviation. cwnselling and other Proj￿Is. Contributions were also gratefully received from donors induding Benefacl Trust, Hikl Bede Trust. Marshalls Charity and Mercers Trusl. The largest area of expendilure was on supwrbng parish mintstry. comprising the stipends. pension and housing costs of clergy= Stipend and salary related costs were £7.2m (2023.. £7.1kn). Costs of providing dorgy housing were £2.1m (2023." £1.9m).

Durham Diocesan Board of Finance IA company limttod by guarante•) Trustees. report (Continued) Year ended 31 December 2024 Nel assets al the balance sw date were £75.6m (2023.. £74.7mJ. The DDBF'S investments are held across several fvnds managed by CCLA The DDBF administers several restricted and endowment funds which tcxJether compiise 92% {2023.. 92%) of the assets. Investment rfonnance The total value of investments {excluding short-term cash deposits) at the balance sheet date was £37.Om (2023.. £36.8m). During the year. the nèt movement in value was a gain ol £0.2m (2023." gain of £2.6mJ. The glebe land held ty the DDBF has been revalued up￿anJ$ by £0.3m (2023.. £0.4m) to refle￿ th8 market value at the balance sheet date. The Board is cu5tLMJian trustse for tru investrnent assets wth a rnarket value of £13.6m (2023.. £13.6m). Detailed cettificates of holdings are provKled to parishe5 and other managing trust8es of the respective charities annualty. The Board also acts as cuslcMJian trustee for certain Parochial Church Council IPCC} propety. Each PCC is an independent tharity arKJ these assets are not recognised on the balance sheet of the DDBF. Granl-makn'n benefiaa Grants are made to Ihe N8t¥)nal Church in accordance wrth an agr88d fom)ula. to cov8r a proportion of its central Costs and the cost of training for ministy. The totsl paid to the National Church was £0.5m (2023." £0.5mJ. Grants are pahl to PCCS and to other tharilable woi8cts wh￿h appeal to th& Board to support the lurtherance of DDBPS objectives. These are set out in note 17. During the year, a [t￿ranting policy was approved to ensure consislerw in practKe across drfferent grant fuThJing streams. Investment iues The Memorandum and Articles of A8so¢iation of the charity permrt WKle powers of investment. DDBF'S investment policies are based on key poI￿les.. Elhical investment This includes ensuring that wivestmenls a￿ held in companre5 which have high standards of corwr8te govemance and act in a resp(￿SIble way towards stake￿klers. Long4erm responsibilibes The directors a￿ aware of their loThJ-leTm resp￿sibilitieS In respect of endowed ftjnds and as a result follow a prLJderht approach to investmertrt dectsions. These polioes are currently ac￿ved ty holding all fijnds with CCLA Investments Lirnited in London. which invesls in line with the Church of England's Ethical Investrnent Advisory Group's investmenl policies and in accordance wlh the mot￿n passed by syTh)d regarding dNestinent from fossil luels. Investment policy for long-lerm funds is aimed primarily al generating a sustainable income wtth due regard lo the need for the preservation of capital value and the possible need to realise investments lo meet operalKJnal needs. The glebe investments are held for the purpose of raising income lo achieve the maximum contribution possible lo clergy stipends on an on-going basis. Unrestricted and restn.cted trjnd investrnents are invested lo balance income, liquidty, and the maintenance of capital. Funds which may be needed for wor*ing capital in the short term are held as deposits wth CCLA Investments arKI wtth deposit taking banks through an account managed through the Flagstone cash management plarfomi. 12

Durham Diocesan Board of Finance {A ￿mpanY limit•d by guarantee) Trustees, report (continued) Year ended 31 December 2024 Total retums The Stipends Capital Fund is managed according to a pcAicy of Totsl Retum. This approach allows the DDBF flexibility regarding the allocab.on of retum on investrnents from this fijrnl befvleen capital growth and income. Synod agreed that. for 2024. income taken woukj be 5% of the average value of the fund over the p8sI three years with the remainder treated as capital growih. Thk8 polry. in conjunction with the investment manage¢s grovAh largel of CPl+5¢/o. aims to ensure intergenerational equty. At the time of the resolubon adopting th& Total Retum approach, the trust for investrnenl was detemined ai £10.4m based on the 1996 book value of endowed assets, adjusted for inllation and new capital received Sin￿ that date to 31 December 2023. resulting in an unapplied total retum of £24.8m upon adoption of the policy on 1 January 2024. Income from the endowment's investrnents has been alo¢8t8d to the endowment fund. An allo(ation of £0.9m (2023.. £0.8mJ has been made to the trust for investment lo ensure that the capital value of the Trust for investment is maintained over lime. The tnJslees have made an allocation of £1.8m from the unapplied total relum towards the unrestricted running costs of the Diocese. Thi5 amount is shown as a transfer between funds wrthin Ihe ststement of financial a¢tiVit￿. This cost has been allocated to the costs of sbpendiary ministry to satisfy the restriction upon the Stipend Capital Fund. other realis8d and un￿alISed gains arKI losses cffl the dispos￿ ar￿ revaluation of investments and propety amounted 10 8 gain of £0.9m (2023.. £2.44m) whKh has been credited to the unapplied totsl ￿turn carried forward as at 31 0￿mber 2024. Reserves The DDBF has agreed in 2024 a reserves policy to maintsin available free reseryes within a range of two to six months, average unrestricted expenditure in the fonn of unrestricted (irKluding designated) nel cuffent assets plus fixed asset investments to the extent that these can be exchanged for cash al less than one month's notice. The Board estimated that for 2024 this would equate to a range be￿een £1.7m and £5.1 m. Al the balance sheet dale. the DDBF'S unreslricled {induding designated} available free reserves were £4.0 (2023.. £3.9m). Futur ros The Iruslees and diocesan sync#J have approved a b￿t for 2025. which after allowing for further planned investment from resthcted reseryes, leaves a net operating deficit of £0.5m. This is after applying a transfer of £1.1 m under the total Tetum 8¢¢0unting policy from Ihe Stipends Capilal Fur¥J. representing 4°h of the closing value of the fund. averaged over the previous thw years. Parish sharg pledges for 2025 of £4.3m (2024.. £4.4m) have been received, despite CPIH {Consumer Prices Index includin9 owner oc¢upiers' housing costs) inllab.on of 3.5% to December 2024. This in¢￿aseS financial pressures and has required a recognilion that not all posts identsfied in deanery plans can be filled whilst mainiaining a balanced bu¢Jget However. posls conb.nue to be a¢Jvertised not%wthstsnding challenges in recwiting. Against this thallenging financial background. Ihe DDBF continues to deliver and develop the mission and ministy of the Church, and during 2025 will continue lo fund ministry at parish level across the Ditxese. The lack of recovery in parish firhances plus the inability of pledge income lo kèep pace with infialion means that prospects of a medium to long temi recovery to pre£ovKJ ￿velS continues to remain uncertain and further iterations of deanery plans may be required. The Diocese continues to try to address the dedi￿ in Ihe valLbe of parish irKome and the consequent effe upon share, supporting parishes in vacancy through the vacancy audrt process, and offering support with stewardship through the generous giving team. Communication ￿th parishes is ongoing. to ascertain the likely fvlure levels of parish reserves arKI parish share. 13

Durham Diocesan Board of Finance (A company Ilmit•d by guarants•) Trustees, report (continued) Year ended 31 December 2024 The Diocese will wnlrnue to benefft from the National Church's Strategic Development Fund through tho Growng Durham Diocese and Growtng Hope projects. Following its award in 2022. the initial stages of the Transfomiing Growth Project comprising a Resource Church in Darlinglon and the Cultivate Church Planting programme are now underway. The DDBF was successful in its application to the new strateg￿ Mission and Ministry Investment Board for funding for ihe first Iwo phases of its 'Called to Fruitfulness, Transfomalion programme during 2023 and 2024, and delwery of the Transft)rmation programme wll continue during 2025. The DDBF intends to increase support for dergy and lay leaders developing their ministry and discipkship and lo encourage and nurture those exploriry a VtxaI￿n for public minislry in the Church of England with new training pathways under development in conjunction with our tocal Theological Educational Inslituliorts. Further euracies and posts of first responsibility are antr￿pated for through the Strategic Ministry Fund and Post5 of First Responsibility Fund operated by the nalional church. During 2025 the DDBF wll continue lo womote the mission an(1 ministy of the church within the Diocese. The funding streams descriw continue to support this wofk and provide an increasing proportion of staff support. Concems remain over the level of Sha￿ and around the sustainabiltty of the current deanery plans an¢J core se￿1￿. Goi Thg Irustees have considwed the availility of reserves arKI cash upon the going concem basis of proparath)n of these financial statements. Although W￿rtaInty remains. patticularly over the recovery in parish income and the ￿al-term$ reducbon in the value of parish share. it is anlicipaled that reseryes wll remain within the level set out in the reserves policy. Having reviewed frmecasts for the f(M1hcomirrfJ Iwefv& months that are suty'ect lo a range of reasonably possible downside scenarios, the trustees are cx1mf0rta￿e that with the current ￿velS of ￿$h 8nd short-lemi depostts are sufficient to allow the DDBF lo continue to operate as a g(Mng cor￿eM for the foreseeable futuie. though there are several thallenges ahead as ouuined atK>ve the Diocese is confident that these can be managed and is enthusiastic aboLrt thè changes that wll tske place over the next few years facililaled by the transfomation process 8KJed by funding frorn the National Church. Risk mana ement The trustees Gonfirm that the major risks to which DDBF is eX￿)sed have been rewewed and that miligaling actions have been put in pla￿ lo manage tsK￿ risks. The Board maintains a risk register whth is reviewed ￿￿larlY by the Audit and Rtsk Committee. and this register has been UFMJaled during the year. wrth input frorn all DDBF fvn¢t1c￿s. During 2024 the mast significant risks related to the operations of the DDBF were: Church attendance and kJn*term financial sustainabdty" and Safeguarding. Church atlendance andlon -tem1 financial sustainatsl" These two risks are intrinsically linked and relate to the ability of Paro¢hial Church Councils to maintain their own operations. In the face of national trends around dedining congregation numbers this is a Signif￿nt risk to the DDBF. It is increasingty drffjcult for parishes to maintain share pledges and payments lo the Diocese. which a￿ finan￿d through g￿ing and fund-raising by church members, when PCCS are also facang increases in 14

Durham Diocesan Board of Finance (A company limitod by guarantee) Trustees. report lcontinued) Year ended 31 December 2024 Alongside inllalion, this has exacerbated the extent lo which the level of conth"bulion from parishes 15 insufficient lo maintsin the current cost base of the DDBF. The parish share system introduced during 2020 was reviewed during 2023. with some thanges being inlroduced in lime for 2024. This system continues to provide a 'GuKled Pledge. to each parish. to give an ind￿alK>n of the level of pledge which would be required lo ensure the DDBF wikl break even. This system was designed to mÉtigate the dedine in parish share that has been seen in real terrns over the preceding decade. Parish share pledges have dedined slighty from £4.5m in 2021 to £4.4m in 2024. however this is over £0.5m lower than prwandemi¢ levels. and does rbot keep pace vthh rising kveLs of inllation. Certain exlemal fadors affect the Board's abilty to meet its finaTh￿al obligations, in particular the level of inflation, which leads to increases in stiperKIs, $8L3ries arKI building maintenance costs-, Despite some stipendiary and stsff posts remainiTrJ vacant. there was a cA>ntinuing operational deficit although finanual restraint and challenges in rewitment for some posts led to this being within the bUdget￿j d&ficit. Recruitment has taken place, following apPI￿a￿"0n of a vacarw audit Pr￿$S in the case of each parish vacancy. However. the trustees are aware that lengthy vacancies can place strain ¢)n dergy and stsff, and efforts are being made to increase the rate of ￿¢ruItMent. The drfficulty of recnJÉtment is not limited to our Diocese", it is a challenge faced across muth of the county. We are tsking steps to support the welfare of our clergy who are hamng to operate in these di￿lt circumstances by providing advi￿ and counselling as and when necessary. S8fe rdin It is of key importance to the DDBF to ensufe appropriate mitigalw)n of safeguarding risks arising from potential abusers largeling church seth.ngs wrthin the Diocese. There is a risk that slrain on parish andlor diocesan rtrsources may lèad to vulnerability. and w)tenbal non-compliance wlh Housè of Bishop's Safeguarding Policy. Appointment processes are documented to ensure Compliance with Ihe requirements of Safer Recruitment and People Management. The Board continued to be aware of the potential fc￿ safeguarding matters to be raised due to increased reporting and awareness of safeguarding issues (both cuffent and historicall. The DTrocesan Safeguarding Advisory Panel meets regularty to ensure that the DDBF maintsins appropriate controls to prevent, as well as idenb.fy and resofve, any issues that arise, and the Board welcomes the safeguarding audrt from INEQE as part of the natsonal programme of safeguarding audits. in May 2025 which will provide an independent review of the DDBF'S safeguarding processes and practs.￿. Other nsks The schrK)Is agenda, managed thrLwh the DDBE. also poses potential risk lo the DD8F, both in temis of the challenges of maintaining high standards of educatK)n in Church of England s¢hoois during a period of significant change across the schcds The DDBE effectivety manages sch￿1 stsndards through the Joint Education Team. All of Ihese factor5 are included in the Board's Risk Register. Structure overnance and mana ment The Diocese of Durham is one of th8 41 Engli%h DIC￿eseS that. along wrth the Diocese in Europe. make up the Church of England. The Church of England is episcopally led Ilhere are 108 bishops) and synodically govemed. The General Syncmj consists of three houses, one of whith comprises ¢JK)cesan bishops and elected representatives from suffragan and area bishops, and fv40 of whKh are elected from the laity and clergy of each Diocese. It meets in London OT York at least annually to consider legislation for the good of the ChuTCh. 15

Durham Diocesan Board of Finance IA company limitad by guarant80} Trustees, report (continued) Year ended 31 December 2024 Further detsils on the structure and govemance of Ihe Churth of England can be found ￿ ils website.. Sw￿.Church en tand. The financial transactions of the nath)nal churth do not form part of these financial slatements. The Diocese ol Dutham stretches from the Tyne to the Tees and the Dales to the Sea o)vering an area of 2,530 square kilometres. There 8re 253 Anglican churches across 205 parishes and these are giouped into 13 deaneries and three archdeac￿rieS. The missK)n of the Church of EThJland is mainty carried out at parish level and the DDBF provKles pastoral and financ4al support lo the parishes. Each parish is govemed by a Parochial Church Council {PCC}. which is 8 corporate chartty. Therefore, except where indicated otherwise, the transactions of PCCS do r￿1 f(m) part of these finanLxal staten￿)ts. Durham Cathedral is the mother church of the Di)cese of Dutham 8fKI legalty is constituted as a separate registered charity with its own govemance strndures. Its finanaal transac￿n$ do not fomi part of these financial statements. Govemance The Diocese elects a Dtocesan Synod. with representation from each deanery in aCCordar￿e with the church representation rules and is govemed by the Diocesan Bishop in synod. The Diocesan Synod n(￿laIrY meets ice a year. Many of the DicKesan Syncrfs reSp￿sIbl1rtieS have been delegated to the Bishop's Council, which acts as the Di0￿san Synod's Stsnding Committee. The day to day running of operations is delegated lo the staff t63m lead by the dio¢esan secretary and other key management personnel as set out in note 17. AJI key management personnel repjrt to thè Diocesan Bishw. ommittee s The Diocese is govemed by the Bi8h¢Jp's Coun(il, which co-ordinates the Irf8 and work of the Diocese in support of the mission of the Church, in aCC(dan￿ wth the P¥KJrities set by the Bishop and the Diocesan Synod. In the D￿ese of Durham. the membership of the Bishop's Council is cotsm)inous with that of the DDBF and also the Di¢xesan Mission and Pastoral Committee. The Oiocesan MissK)n and PastLYal Committee Is re$r￿sIble for the task of apwoving pastoral reorganisation in the Diocese. taking account of available derJ¢ y numbers and makiThJ use of new pattems of ministy. This arran9emenl means that the trustees of the DDBF have responsibility and oversight of all aspects of di￿£san life and are therefore able to c￿Ordinate strategic. financial and operalional decisions. The Bishop's Council ts supwted by committees thai can infiuence the operations of the Board. Finan￿ Grou The DDBF de￿ateS certain dub.es and resp¢￿$1b1l￿eS to ts Finance Group including.. Assisting the Board lo deal wth financial strategy and management: Authorising legal propety or inveslmenl strategy conducted on behaw of the Board: Conducting urgent business of the Boar¢J between Boafd meetings.. Overseeing the P￿para"On ol the annual DDBF bl￿et and financial stslemenls for submission to the Board.. Recoiviry regular management accounting infcxmation: Acting as the DDBF'S HR Commitlee. overseang the tem￿ and conditions of the DDBF emFAoyees. Audit and Risk Committge 16

Durham Diocesan Board of Finance {A company limit￿ by guarant¢o) Trustees, report (continued) Year ended 31 December 2024 The DDBF Audit and Risk Committee maintains an oversight of the Diocese's 9ovemance and risk management including: o Adopting a risk-based approach and undertakiThJ a planned pr￿ramme of wort examining areas of diocesan activity,. Ovefseeing the extemal audil of the DDBPS trustees. reprmt and financial ststements.. Considering intemal control and slewardship of the DDBFS resources,. and o Reporting its findings annualty lo the Bishop's Council as a critical element of the Bishop's Council's annual rewtrng requirements. Investment Committee DDBF has reSpOn￿bIlity lor the management of glebe propety and investments wh￿h generate income to support the (x)st of stspends. It 15 also the diocesan autlK>rity for parochial and other trusts aNJ incorporales the functions and responsibilities of the DitKesan Parsonages Board. With the exception of major Iransaclions, the DDBF delegates these respon￿bill[leS lo ￿ Investment Committee. D￿San Sa uardin Adviso Panel The Diocesan Safeguarding Adviwry Panel is chaired independenty and r￿nitOrS safeguarding practice. including casework and training within the Diocese. Its membership includes the Local Authority Designated Officer. Police and w￿￿mIS￿ry￿0r Voice rgwesentation. Church Buildin Panel The Church Buildings Pan81 is a r￿￿StatUtory group. which offers grants and loans lo Parochial Church Councils for works to churth buildings. Closed Churches Uses Panel The Close¢J Churches Uses Commrttee is a non-statut¢Ny group. which was c￿ated lo acl on behalf of the Diocesan Mission and Pastoral Commrttee. It seeks appropriate aKematNe uses for churches in the Diocese which have been declared closed for regular public worship. Strate ic miss￿￿ DelNe The Strategic Mission Delivery Board provides Strateg￿ oversight for mission programmes. It champions and monitors progress. acts as an escalation point for key issues. approves s￿nIficant changes. approves communications ar￿ ensures rèrx)rts are made to B1$￿p.S Council. In addition, there are three statutory Committees and Boards that are nol diredy answerable to the Bishop's Council, but influence its operation= Diocesan Adviso CoMM￿ee The Diocesan Advisory Committee advises on matters affecling churches and pla￿5 of worship in the Diocese, such as.. the granb.ng of facutties. architecture. archaeology, art and the history of pla￿$ of worship," the use and care of pla￿$ of worship and their contents.. and the care of Churthyards. Diocesan Board ofPatrona The Diocesan Board ol Patronage, which is constituted under the provisions of the Patronage IBeneficesl Measure 1986, 15 501e patron of one beneffi￿ in the DI￿ese. D￿eSan Board ofEdUCat￿n The Diocesan Board of EduCat￿n has resporbsibilrty for 57 church schools across the Diocese {9 of which a￿ Vdunlary Aided. 15 are Voluntary Controlled. and 33 are Academies, wf(h one academy being a Free School). 11 provKJes both educational and pastoral leadership support lo all rts schools and has a particular commitment lo enhancing Ihe quality of prOVi￿On fix re1w￿S education. collective worship and the

Durham Diocesan Board of Finance IA ¢ompany limit8d by guarantw) Trustees, report (continued) Year ended 31 December 2024 spiritual. moral. swal, arKI oJttural devdopment of all pupils. The Board of Education is not incorporated and ther8fore finan(yal attountabilty for the education aggnda rests ￿ the DDBF. The Board of Education operates as a statutory ￿1)Mittee ofthe DDBF. Pu efit stslem8nl The directors and trustees are aware ol the Charity CommissKJn's guidan￿ on public ￿nefrt in The Advancement of RelwJion for the Publ￿ Benefit and have had regard to rt in their administration of the DDBF. The directors believe that. by promoting Ihe Work of the Churth of England in the DI￿Se of Durham. il helps to promote the whole mission of the Church (pastoral. evangelistic. social and e¢vmeni(zll more effectively, both in the Diocese as a whole and in its indNidual parishes. and that in doing so it provwjes a benefit lo the public b￿. Providing faolthes for public worship, pastoral care and sp4ritiJal. moral and intellectual development. both for ils members and for anyone who wshes to benefit from what the Church offers; and Promoting Christian values. and service by members of the Church in and to their communities. to the benefrt of indivKluals and scoety as a Nthole. The trustees are ojstodian trust￿$ in relation lo certain PCC prowty. ee recruitmen se nd induction Trustees are also Membe￿ of the Bishop's Ccwncil arvj are e￿cted or appointed by the mgmb&rs of the Diocesan Synod in accordance with the njles for election. AJI Injstees ￿Ceive induction at the start of their term of Offi￿ and re￿1ve additional induction where appropriale. Trustees are registered as directors al Companies House and are r￿Uired to complete a declaration that they a￿ el¥Jible to serve as a director as well as an annual declarab'on of interest. muneration of ke mana ement rsonn As the DDBF has delegate(J responsibility for human resource iss￿$ lo the Finance Group, this gTOUP IS responsible for agreeing the salary scales for all DD8F employees and for setling the remuneration for senior employees. Related arties The DDBF has one wholty owned subsidiary, the 0￿xeSe of Durham Educational Trust. not trade during the year and was dissdved shortty after the balance sheet date. anisations with which the DDBF rates in lurtherin its aims The DDBF works with a range ol organisations whith are erther part of or as50cialed with the Church ol England, or othef chriSt￿n denominations to achieve rt5 Ofy'ectives. Somè of those are set out b8low. and in some cases, there are a non-¢xJntrolling number of shared Irustees betsveen these organisalions and the DDBF. The DDBF ensures Ihal such commm Irusleeships are appropnalefy declared and conflicts of interest are mitigated when making decisions relabng to such organisations. General S od Church Commiss nd Archbish The DDBF has to comply with Measures passed by the General Synod of the Church of England and is required to make certain annual payments to Ihe Archbishops, Ci)uncil towards the running (x)sts of the National Church. The DDBF is a recipient of funding from several different grant funding streams operate¢J by the Archbishops, Council. The stipends and certain other costs of the Di(wan and Suffragan Bishops are borne by the Church Commissioners. 18

Durham Diocesan Board of Finance IA company limit8d by guaranto0) Trustees, report (continued) Year ended 31 December 2024 Parochial ncils The DDBF is required by Measure to be cust(MJian twstee in relation to PCC property, but has no control over PCCS. which are independent chartbes. The a¢¢ounts of PCCS do not fomi part of these financial statements. PCCS are able to irbffiuerKe the d￿lS1on-makin9 wrthin DDBF and at D￿n Synod levèl through representslions to those bcKlies and through the input of their Deanery SYD￿￿S. Multi Academ Trusts IAA Ts The DDBF is a member of several MATS. including the Durham and New¢asUe Diocesan Learning Trust. Until 1 September 2024. the Diocesan Direclor of Education was a direGtor of the Durham and Newcastle Diocesan Leaming Trust al which point he restgned as Director of EducalK)n to take up the role of CEO of the Trust as a full time role. Newcastle Diocesan EduCat￿n 8oard Limited The Newcastle Dio¢esan Education Board Limited INDEB) has respLMsibility for 49 church sthools (plus 2 affiliated schools with an anglican foundation) across the Di￿eSe of Newcastle. Unlike its counterpart in Dutham, NDEB is an incorporated charitabk company and registered Gharity. The tsvo dioceses operate a joint education team to manage the delNery of their obJ'ecb"ves auos5 the two dioceses. and until 1 September 2024. when they We￿ transfer￿ to the Joint Education Team LLP, this charity employed a team of 9 employees working ioinuy for NDEB and the DDBF. Joint Education Team LLP The Joint Education TeaTn LLP is a Limited Liabih'ty Partnership befv￿en the DDBF arKi NDEB, which from 1 September 2024 jointly employs 9 employees lo carry Thjt the work of the di￿esan boards of education in both Durham and Newcastle Dioceses. Sfirlin Newall T A registered charity whose objective is the advancement of the Christian religion by the provision of a house of retreat (Shepherds Dene Relreat House at ￿'dIng Mill. Northumberfandl for members of the Church of England whether derical or lay who are re$￿ent or wod(ing in the area comprising the Dioceses of Durham and Newcasue. Lindisfame Col of Theol and CTrnmer Hall St John s Cdl The region's theological educational institution5. both are registered charities whose objects included the promotion and delNery ol education for both lay and ordained members of participating Christian churches and the provision of other theologi￿1 and ministerial training lo both lay and ordained people. Northumbrian Industnal MISSK A registered charity which organises the actNiiies of around 40 a$s￿￿￿te chaplains who engage with people in their places of wort. It also Wofks ministries in other sectors. in kxal churchgs and wilh other agencies. Hos rfal ofGod at Grealham A registered tharity whith prowdes residential ￿re aThJ alms-hcMJses for ol¢Jer people and makes grants to other charities within the area of benefit Lord Crewe s Cha A r￿isterSd charity. one of whose prinapal aims is to assist n￿SsI10￿$ clèrgy and their dependents in the Dioceses of Ourham and Newcastle, particularty for Ihe education of their children. and lo assist them in other demonstrable finanoal need. and which provides grant funding used by the DIc￿eSe lo fund Challenging Poverty priority and lo provNJe a dergy ￿￿nSel11Th3 seNice. Sl H￿d and St Bede Trust 19

Durham Diocesan Board of Finance (A Gompany Ilmltod by guarante•} Trustees, report (continued) Year ended 31 December 2024 A charitable trust whose 0tr4'ectives indude the adv8￿ment of fvrther and hKJher educalion in the Oio¢eses of Dutham and New¢asde. wilh a focus on the advancement of education in accordance wtth the doctrines of the Churd) of England. Communifyes T ether oUrt￿M charity which works wth churthes aThJ coThmunities to thallenge social injustice and lo enable commLtnities to ftourish. am Lesotho DI￿8$an Link A ￿giStered charity whth aims to develop educational. AIDS awareness and income generating projects in Lesotho. It also develcps educational proiecls for schools and to raise awareness and support for inilialives in the D*)cese of Durham which foster doser spiritual links befv￿n the Anglican Church in Lesotho and Durham. North East Churches Acti ether A charity which works ecumenically to ser¥e the thurches of the North East thr(wh improving communication ￿ developing partnerships and connections belween churches of different denominatsons. North East Reli ious Leami Resource Centre A registered charrty which aims to supp(xt relwjious educalion. literacy and learning in schools and churches across the North East of England through the [￿ViSIon of ￿$0￿[ce$, training and networking op(thuniiies. Political contributions No political contributions have been made during the year (2023.. none). Statement of disclosure to the auditor So far as the trustees are aware: there is no relevant audrt infomiatKK) of the tharitable Compan￿$ audrtor is unaware, and we have tsken all the steps that we ought to have taken as trustees in order to make oursefves aware of any relevant audrt infoffnation and to eslablish thal the charitsble company's audf(or is aware of than infom)ation. Auditor A resolution lo reappoint UNW LLP as 8￿J]I￿ for 2025 financ￿1 year was talJed al the Board's Annual General Meeting. In approving th8 directors. and trustees, repcmt the of the o)mpany are also appromng th& stratagic report as required under the Companies Act 2006. On behatf of the Board on 29 April 2025. Rt. Revd. Sarah Clark Chair 20

Durham Diocesan Board of Finance IA company 11rnit￿ by guarante0} Statement of trustees. responsibilities Year ended 31 December 2024 The Irustees are responsible for preparing the Annual Rewt which irKx)rporales the Stralegi¢ Report. and thg financial statements in accordance with applicable law arKI regulatk)ns. Company law requires the trustees las directors) to prepare financial statements for each financial year. Under that law the trustees have elected to prepare the financial slatements in accordance with United Kingdom Generaliy Accepled Accounting Practice Iunited KIn￿￿rn Accounting Standards and applicable lawl. Under company law the trustees musl not approve the financial stslements unless they are satisfied Ihal they gwe a true and fair view of the stale of the affair5 of Ihe charitable company and of the surplus or deficit of the charitable company fw that period. In prepariThJ these financial statements the trustees are required to". Select suitable accounting pjltcies and appty them consistently: Observe the melh(xJs and win¢ipaJs in the Charthes SORP: Make judgements and estimates that a￿ reasonable and prudent" State whether appli(able UK AcccKJnling Standards have been foNowed. subject to any material departures disclosed and explair&J in Ihe financial Staterr￿nts.. Prepare the financial statements on the going cOr￿M basis unless it is Inappropriate to presume that the charitable company will continue in business.. The directors are responsibte for keepiw adequate acwnb.ng records that are sUff￿•ent to show and explain the charitsble company's transacbons and disck)se wrth reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the ffinan(yal statements compty with the Companies Act 2006. They are also resFm)nSi￿e for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevenlK)n and deledion of fraud and other irregularities. 21

Independent auditorfs report to the members of Durham Diocesan Board of Finance (continued) Oplnlon Wts havg audited the finanaal statements of Durham DK)cesan Board of Finance Ithg 'charitable ￿mPan￿) for the year ended 31 December 2024 which comprise the Statement of financkAI activities. the Income and expenditure account. the balance sheet. ihe slatemenl of cash flows and the related Th)tes, including a summary of swJnrficant accx)unling ￿1Cles. The financial reporting framewoT1( that has been applied in their preparation is applicable law and United I￿r￿d0M Accounting Standards, induding Finanual Reporting Stsndard 102 The Finanaal Rew)￿n9 SlarKlard applicatAe in thè UK and Republic of Ireland, {Uniled Kingdom Generalty Accepted Acwinting F¥8Cli￿l. In our (winion the financial statements.. gNe a true fair view of the stale of the tharttatAe U)Mpan￿S affairs as at 31 December 2024 and of its incoming resourc*s and application of r&sources. ir￿lUding its income aThJ exp￿Ny11￿re for the year then ended,. have been property prepared in a(￿rdan￿ with United Kingdom Generally Accepted Accounting Practice; and have been prepared in a(tordance wilh the requirements of the Companies Act 2006. Basis for opinion We conducted our au¢Jit in accDrdance with Intemational Standards on Al￿Ibn9 (UK} I'ISAS IUKI.) and applicable law. Our responsibilities undef ihose standards are further described in the'Auditorfs responsibilities for the audit of the finanoal statements. sectN)n of our report. We a￿ indepen¢Jent of the charitsble company in accordance with the 8thical fequirements that ar8 relevanl to our audri of the financial statements in the Unit8d Kingdom, including the Financial Re￿￿n9 Councifs Ethical Standard. and we have futfilled ¢xJr other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sUffiC￿nt and appropriate to Pfovwje a basis for our opinion. Conclusions rnlatlng to going ¢onc8m In auditing the financial statements. we have concluded Ihat the trustees, use of the going concern basis of accounting in the preparatson of the financial statements is appropriats. Based on Ihe WO￿ we have ￿rf{¥med. we have not idenlfvd any matsrial uncertainties relaling to events or conditions that, individually or colleclively. may casl signifKant doubt on the charitable companls ability to continue as a going concem for a pgriod of at least tsvelve months from when the financial statements aro aulhorisad for issue. Our responsibilities and Ihe responsiknltlies of the trustees ￿th respecl to g￿Trg concem are deS￿bed in the relevant Sections of this repo Othgr inf0M￿tIon The olher infomation comprises the informatK)n induded in Ihe annual report other than the financial statements and our auditorfs report thereon. The tnjstee are responsible for thè other information contsined wiihin the annual report. Our O￿nIOn on ihe financial stalemenls does not cover the other information and. except lo the extent othe￿iSe eXpl￿rtlY stated in our report, we do not express any form of assurance conclusion the￿On. Our responsibility is lo read the other inforniabon and. in doing so, consider whether the olher infomiatbon is materially incDnsistènt wilh the finanual ststements or our knowledge obtsined in the course of the audit, or otheN•Ase appears to be materialty misstaled. If we idenlify such materia5 inconsistencjes or apparent material misstatements, we a￿ required lo determine whether this gives rise to a material misststemenl in the financial slatemenls Ihemsefves. If. based on the work we have perfomd, we conclude that there is a material misslatemenl of this other inf￿ation. we are required lo report that fad. We have nothing lo report in this regard. 22

Independent auditorfs report to the members of Durham Diocesan Board of Finance (continued) Oplnlon on other matters pre$¢rIb￿ by the Companies Act 2¢)06 In our opinion, basad on the work undertaken in the course of the audit: the infonnatwm given in the Trustees. rep(￿ including Ihe Strategic re￿rt for the financial year for which the fin8nual statements are prepared 15 consistent with the financkal statemènts. the Tnjstees. report and the Strategic repcrft have been wepared in accordance with applicable legal requirements. Matters on whl¢h we are requirèd to report by éxc•ption In the lighl of our knowledge and understanding of the charitable company arHJ ils environment obtained in the COUf5e of the audrt. we have not wjenlified malerial misstatements in the Trustees, repM)rt includirrfj the Strategic repDrL We have nothing to report in resK*Ct of the folknwwig maliers in relation to whth Companies Act 2006 requires us lo report to you rf, in our wnion: adequate accounts.ng records have not been kept. or ￿tUrnS adequ81e for our aLKlit have not been received from branches rK)t visited by us: or the financial ststements are not in agreement WElh the accounb.ng records and retums: or certain disclosures of trustees. remuneration Spec1￿ by law are not made.. or we have not received all the information explanations we require for our audit. Responsibilities of trust¢ As explained more fulty in the tnjstees. responsibilities statement, the trustees (who are also the directors of the charitsble company for the puwes of company lawl are resp￿sIble for the preparation of the financial slalements and for being satisfied that they give a tnje and fair wew, and for suth inlemal control as the trustees determine is necessary to enable the preparatK)n of financial stslements that are free from material misstatement, whether due lo fraud or eThoT. In preparing the finanaal stslements. the trustees are responsible for assessing the charitstAe compan￿$ abilrty lo continue as a going concem, disclosing. as app￿1¢able. matters ￿lated lo going concern and usin9 the going c4)ncem basis of accounting unless the truslees ether intend to Iw4u￿a¢e the chaiitab18 r￿MpanY or to cease operations. or have no realistic altemalive but to do so. Auditorfs responslbllities for the audlt of the finan¢lal statements Our objedives are lo obtain reasonable assurance about whether the finanaal statements as a whole are free from material misststement, whether due to fraLwJ or error, and to issue an auditorfs retK)rt that includes our opinion. Reasonable assuran¢e is a hNJh level of assurance. but is not a guaranlee that an audit conducted in a¢¢￿ance with ISAS (UK} will always delect a material misslalemenl 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 de(isions of users taken on the basis of these finanual statements. Irregularities, induding fraud, are instsnces of non•Gompliance wlh laws and regulations. We design prO￿d￿leS in line with our responsi￿"11t￿e5, ouuined above, to detect material misstatements in respect of irregularities, including fraud. The extent to vthith our wocedures are capable of detecting irregularibes, including fraud is detaibed bekyw: We identified a￿a$ of law and rwJulations that could reasOna￿Y be expecied lo have a material eff￿t on the rinancial statements from our general and sector exper and through dtscussions with the trustees and other marhagement {as requirèd by Audrting Standards) arKI from inspection of the charitsblg company's legal correspondence, and we discussed ￿th the trustees and other management the policies and procedures re9arding compliance wlh law5 and regulations. We communicated identified laws and regulations throughout our team and remained alert to any indications of rThpcomplIar￿ throughout the audil. 23

Independent auditorfs report lo the members of Durham Diocesan Board of Finance (continued) Firstty. th& tharttable company is subject to laws and regulations that directy affect the finanual statements including ffinanrial reporting ￿lsIation (including related companies and charities legislation) and taxation legislalhjn and we assessed the extent of complh?nce with Ihese Laws and regulations as part of our procedures on the related financial statement ilems. Secondly. th8 charitable company is 5ubie¢t lo many other laws and regulati￿$ where the consequences of non-compliance could have a material effect on amounts or disclosures in Ihe ffinancral ststements. for instan through the impx)silion of fines or lrtigalN)n. We idenbfied the following areas as those most likety to have such an effect," data protection. safe guarding and certain a$p￿ts of company legislatK)n. recognising the nature of the Charitable companvs activities. Auditing Stsndards limit the ￿quired audit procedures to identify non-compliance with these laws and regulatK)ns lo eThJuiry of the trustees and other management and inspection ol regiJlal(vy and kgal corresp0n¢Jer￿. rf any. Thrwgh these procedures, we did not bgwme aware of any actual or suspected n¢M-complla￿ material to the finanual statements. Because of the inherent limttations of an aJri. there is a risk that we will not detect all Kregularitios. including those leading to a material misstatement in the financial stslemenl or n0n-wmpllan￿ with regulation. This risk in￿easeS the MO￿ that wTrpliance with a law or wulatjon ts removed from the events and transactk)ns reflecled in the financial statements. as we will be less likety to become aware of instances of non-compliance. The risk ￿ also greater regardirKJ irregularits.es occurring due lo fraud rather than error. as frawj involves intents.onal concealment. forgery, collus￿n. omission or misrepresenlation. A further description of our responsibilibes for the audit of the financial slalemers is located on the Finanlial Reporting Counafs website at.. wM.frc.org.ukJauditorsresponsibilities. This description forms part of our audrtorfs reF Use of our report This report is male solely to the charitsble CoMpan￿S members. as a body, in accordance ￿th Chapter 3 of Part 16 of the Companies Act 21XJ6. Our audit w(￿k has been undertaken so that we might stale lo the charitable compan￿$ rnembers those matters we are wuired to stale lo them in an auditors report and for no other purpose. To the fullest extent pemtited by law. we do not accept or assume responsibilty to anyone other than the charitable company and its members. as a b(NJy. for our audit work, for this report or for the opinions we have fomied. Anne Hallowell Bsc FCA DChA (Senlor Statutory Audltor) for and on b¢half of UNW LLP. Statutory Auditor Chartered Accountants NewCaS￿e upon Tyne 29 April 2025 24

Durham Diocesan Board of Finance IA company limited by guarante•} Statement of financial actlvltles Year ended 31 December 2024 Unrnstricted Restrl¢ted Endowment funds funds funds 2024 2024 2024 Total funds 2024 Total funds 2023 Note £¢)00 £000 £000 £000 Income and endowm¢nts from: Donatiorbs.. Parish contribub.ons Archbishops. Council Other Charitable actNilies Other trading activit￿S Investments Other income 4,230 1,998 174 631 561 243 21 4,230 4.393 626 631 574 1,096 1,357 4.255 4,712 875 641 638 1.036 241 2,395 452 13 266 814 587 S22 10 Total income and endowments Expendltur• on: Raising funds Charitable activities.. Contributions to ￿ch￿"shOps, Council Resourcing mirbislry and missK)n Resour¢ing education 7.858 1,109 12,907 12,398 11 55 79 13 14 15 514 8,992 241 514 697 12,282 11.933 241 288 3.279 Total expenditure 9.799 3.279 14 13,092 12,997 Net {expenditurellincome before n•t gains on investments (1.941) 661 1.095 {185) 1,097 (599} 3.310 Net gains on inves1m￿ts 209 820 Net In¢omellexpendllur•) 11.873) 870 1,91S 912 2.711 Transfers belween fund5 30 1.995 (2.559} Nét movement in funds 122 912 2.711 Reconciliation of funds- Total lunds brought fO￿ard Nel movemenl in lunds 5.805 122 11.963 56,952 (644) 74,720 912 72,009 2.711 Totsl funds carried forwaTd 27 5.927 13,397 56,308 75.632 74,720 The notes on pages 29 to 62 form part of these financial statements. 25

Durham Diocesan Board of Finance {A company limltad by guaranlo0} Summary income and expendi￿re account Year ended 31 December 2024 Total funds 2024 £000 Total funds 2023 £￿0 Note Incom8 11.798 11,819 Gainslllo&sesl on investments 871 Gross Income In the rnporting p•rlod Less." Totsl expenditure 12,075 113.078} 12,6 (12,9741 Not Incom*l{•xpendltuTe> for the reporting period other ¢¢mpr•h¢n$lve Income Net assets transferred from eThJowments (1.003} 1284} 30 2,559 925 Net comprehensive income for the year 1.556 641 The income and expenditure account is derived from the ststemenl of financial acttvities with movements in endowment funds exduded lo compty wilh c￿mpanY ￿w. AJI inc47me and expenditufe is derived from continuing activities. The notes on pages 29 to 62 form part of Ihese finanual stslements. 26

Durham Diocesan Board of Finance IA company limited by guarante•) Balance sheet Year ended 31 December 2024 2024 £000 2023 Nota Fix•d a$$ets Tangible assets Investments 20 21 36,017 37.034 35.758 36,812 73.051 72.570 Current assets Oeblors Cash on deposit Cash al bank arKI in hand 2.505 1,368 634 1,731 23 1.106 4.782 3,733 Credilors.. amounts falliro due within one year 24 2.152 Net current assots 2.630 2.199 Total assets less current Ilabllftles Creditors.. amounts falling due after more than one year 7&681 74.769 25 149) {491 Total net assets 75,632 74,720 Charlty funds Endowment funds 27 56.308 56,952 Restricted funds 27 13,397 11.963 Unrèstrfcted funds Designale¢J funds General fund5 27 27 5.920 5.798 Totsl un￿Stricted funds 27 5,927 5,805 Totsl funds 75.632 74,720 The trustees athnowledge their reSp￿sibIl￿9 f¢x complying wth the requirements of the Act with respect to accounting records arKI preparation of financial statements. financial slalements were approved and aLrthorised for issue by the trustees on 29 April 2025 and signed on th￿r beh8K by. Rt. Revd. Sarah Clark Chair Company ￿gIStered number.. ￿192018 The notes on pages 29 to 62 fomi part of these finar￿1￿ slalements. 27

Durham Diocesan Board of Finance IA company limlt•d by guarante81 Statemenl of cash flows Year ended 31 December 2024 2024 £000 2023 £i)00 Note Cash flows from operatlng acti¥rb•s Nel cash used in operating actNrties 31 12,301} 1990) Cash flows from Investlng adlvrtles Dividends. interests and rents from investments Proceeds from the sale of larwjible frxed assets Purchase of tangible fLxed assets Proceeds from sale of invesbnents Purchase of investments 1.096 1.543 (1,302) 875 1.036 996 12.7381 677 (10) Net ¢￿h provided byl (us8d inl inv•sting a¢tivlti•s 2.212 1391 Cash flows from financlng a¢tfvlties New loans advanced Repayment of loans affvan(*d 121) {2921 Ngt cash provlded byl (used Inl financing activities 1292) Change in cash and cash equfvalents In the year Cash and (Ssh equNalents al the beginnirvJ of the year 188) 2.365 {1.3211 3,686 Cash and ￿$h equivalents at th• •nd of the year 32 2.277 2.365 The notes on pages 29 to 62 fom) part ofthese financial statements 28

Durham Diocesan Board of Finance IA ¢ompany limited by guarants•} Notes to the financial statements Year ended 31 December 2024 General inforniation Durham DK)cesan Board of Finance is a Charitable company limiled by membership guarantee and incorporated and domialed in England. The registered office address is Cuthbert House. Stonebridge, Durham. DH13RY. A¢¢ounting polici•s 2.1 Basls of preparatlon of Ilnan¢lal Statemonts The financial statements have been wepared in a¢￿Idance 7Mih the Charities SORP IFRS 102} - Acwunting and Reporting by Charities.. Statement of ReLY)mmended Practice appI￿able to charrties preparing their accounts in accordance with the Financial Rewrting Standard applicable in th8 UK and Republic of Ireland IFRS 102) (effective 1 January 20191. the Financi81 Reporting Stsndard applicable in the UK and ReputAic of Ireland IFRS 102) and the Companies Act 20Cfj. Ourham Diocesan Board of Finance meets the definition of a public benefrt entrty under FRS 102. Assets and Liabil[i￿$ are initialty re¢(YJnised at hislorical cost or transaction value unless othe￿ise slated in the relevant accounts.ng policy. financial statements are presented in Founds steding wh￿h is the fvn¢t￿naI currency of the ccnpany aThY are rounded to the nearest £1.C￿. 2.2 Exemption from preparing group a¢counts The charitable company is Ihe controlling paty of Diocese of Durham Educati￿81 Trust. a domiant subsidiary undertaking_ In the opinion of the directorsltrustees, the size and assets of the subsidiary undertaking mean that the presentstion of the combined resutts and financAal posits.on in consolidated financAal slalements is rK)t materi81 for the purpose of gNing a true and fair view. These financial statements present the results and the position of the charitsble company as single entity and not as a group. This company was dissofved in January 2025. 2.3 Going ¢on¢em The trustees have u)nsKlered the availability of reserves and cash upon the going concern basis of preparation of these finanoal statements. Although uncertainty rernains. particularly over the recovery in parish income and thè real-temis reduction in the value of parish share. it is anticipated that reserves will remain wilhin the ￿Ve1 sel (xjl in the reseThes policy. Having reviewed forecasts for the forthLx)ming twelve m(hths that are subject to a ran9e of Teasonabty possible downsKle scenarios. the Irustees are cL)mfortable that with the current levels of cash and short-terni deposits a￿ suffiaent to allow Ihe DDBF lo ccMtinue to operate as a going concein for the foreseeable (ulure.

Durham Diocesan Board of Finance {A company Ilmited by guarante•l Notes to the financial statements Year ended 31 December 2024 Accounting policies (continued) 2A In¢¢>m¢ l income is recognised orKe the company has entiuemenl lo the income, it is probable that the income will be recetved and the amount of incoTh re￿Vable can be measured reliably. Grants are included in the ststement of financial a¢tiv[t￿ on a recetV8ble basis. The balance of income reoEivwJ for spectfic purposes but not expended during the periLNJ is shown in the relevant frjnds on the balar￿e sheet Where income is receNed in advance of entiuement of receipl. ils recognition is deferred and induded in creditors as def6¥red income. Where antitlement occurs before income is received, the inc(Mne ts acwed. The prinopal sources of income of the DDBF are C(￿tributIOnS from Arthbishops. Council and parish share. The share monies are recoJnised in the statement of financial activities in the period in which they are receivable. although arrears are not shown as debtors Sin￿ only constructive pressure can be applied to encourage parishes lo pay any outstsnding sums. Debts for parish share are not enfc￿ceab￿. The Stipends Capital Fund is govemed by the Dio¢esan Stipends, Fund Measure 1953, as amended. and the use of the income is restricted for dergy stipends. However, the income is fully expended within the year of receipt and tt)e legal reStr￿￿OnS, the￿fore. are satssfied. The Dioc8se adopts a lotsl retum approach to Ihe investments in this fund and consequenuy recognises the income and any direcl expenditure as eThlowed. and transfers an amount each year to unreslricled funds lo cover the expendilure on stipends whth this is hel¢J for. Selective alIC￿atIonS from the Church Commissioners are credited to the Stipends and General FuThJ on a rtv)nthty basis and rewntsed in the SOFA as incomir¥J resources. Lega¢ies. ￿ntribUtionS and other donations are acc(wnled for when o)ndrtions for thgir receipt hav8 been met. Investment income is accounted for when receivable. Rentsl income for glebe and other property is shobvn separately. Incoming resources from charitable act5Vities indLKling clergy fees. chaplaincy Incon￿ ond guaranteed annuities are receiva￿ on a monthty basis. Other sundry income, indudry gains on disposal of propwties. is racognis8d in th8 s¢%A in the 8ccounting perKKI in which monies are receNabJe. 2.5 Expenditure Expenditure is induded on the accruals basts and has been dassified under headings that aggregate all costs related to Ihe SOFA categcKy. ExpendTiure is staled inclusive of iffecoverable VAT. Costs of raising fvnds are constrained to costs ￿lating to the lemporary renting out of parsonages and inveslment management costs of glebe and any other investsments held. Grants payable are charged in the year when the offer is Conveyed to the re¢ipient except in those cases where the offer is COnd￿"0nal on the recIp￿￿t satisfying perfOrrnan￿ or other discretionary requirements lo the Satisfaction of the Board. such granls being ￿CogniSed as expenditure when the condrtions attaching are futrilled. Grants offered subject to such cnnditions have not been met at the year end are noted as a wmmitmenL bul not acwed as expenditure.

Durham Diocesan Board of Finance IA company limited by 9uaranteel Notes to the financlal statements Year ended 31 December 2024 Accounting policies (continued) 2.5 Expondlturn {o>ntlnuodl Payments in support of semces provKJed by the Archbishop5' Courril are ￿garded as grants and the annual amounts payable are divided into monlhty instalrnents. Resour(ing minislry and mission costs are the costs inwrred by Ihe Board in maintaining resident Clergy in numerous parishes through(yJl the Dwse. These indude stipends. national insurance, housing, rebcatKTrn. and a range of supFK)rt (x)sts. Support costs corysisl of central management. administration and governance costs. The amount spent on raising funds and other actNibes is considered to- be immaterial and all support costs are allocated lo the purpose of charitable activities. Costs are allocated wherever possible directty to the activity to Wh￿ they retate. but where suth direct alk)calK)n is not possible, the remainder is allocaled on an appr0￿mate staff time basis. 2.6 Pension ¢ontrllMrtlons The DDBF'S staff are members of the Church Workers Pension Fund and Clergy are members of the Church of England Funded Pension Scheme. The pension costs charged as resources expended ￿present the DDBPS ¢ontribubons payable in rosp8ct of the accounting period, in a¢¢ordan¢e vthh FRS 102. DefKit lu1￿1ng for the pension s¢J)emes to which the DDBF participates is accrued at current value in credrtors disliThJuished between contn"butions falling due within one year and after more than one year. The DDBF *0 operates a stakeholder scheme ar￿ cnntributes lo personal pensitM schemes for which conlrtjutions are charged to the SOFA as they fall due. 2.7 Tanglble fixed assets and depreclallon Tangible fLxed asseis are initially rwnised al cost. Freehold and leasehold ljuildings It is the DDBF'S policy that in respect of many of its buildings, no depreciation is charged as any provisK)n would r￿[ be malerial due to the very kjng expected remaining useful economic life in each case. and because their expected residual value is not Materially less than their carrying value. The DDBF has a policy of regular structurdl inspectvjn. Tepair and maintenance, which in the case of residual properties is in accordan￿ wilh the Repair of Benefices Building Measure 1972 and properties are therefore unlikely to deteriorate or suffer from obsolescence. In addition, disposals of properties wcur well before the end of their economic INes and ¢Jisposal proceeds are usualty not less than thwr carrying value. Annual impaim)ent ￿vIewS are perf0m￿d in accordance wth the requirements of FRS102 to ensure that the carrying value is not more than the ￿cOverable amount. Where the recoverable amount is estimated to be less Ihan Ihe carying amount. depreciation is charged in the financial statements. 31

Durham Diocesan Board of Finance IA Company Ilmitod by guarant•o) Notes to the financial statements Year ended 31 December 2024 School buildings Schwl buildings are occuw&J and, in the case of Vduntary Mded schcols. improved. extended and repaired by the school govemors. The nature of the occupation of these buisdings by these exempl and excepted charities means that DDBF trustees do r￿t have the power to dispose of the buildings until the schrxA ceases its ocrupation. which in lum would require the aFffyroval of the Secretary of stste. Any F¥oceeds of sale would be su￿.8¢1 to claw-ba￿, by the Seuetary of State. of related grant aid provKled. The tn1st￿ consmler tho Board's ownership to be in the nature of custodianship of the assets and these are thèrefore not capitalised in th8 financial statements. Details of the Voluntary Aided schcc4s can be obtsined fr¢xn the Jwt Educati￿] Team. Depreciation on other tangibb fixed assels Depreciation is [￿v￿je￿ in ryder lo write off the cost {less any residual value) of other fixed assets over their currenty expected useful eo)norrMc lives at the following inilial rates.. Freehold arKI loasehdd FOPth - shorter of SO years or lemi Furnitu￿ and Offi￿ gjuipment 33% per annum stra￿ah1 line 2.8 Total rètum Investment policy The board passed a resolulion on 1 December 2022 to adopt a total relum policy in respect of the stipends ￿pItal endowed funds. Thts approach allows any Fnuease in the value of an investment to be used as income. The decision was taken lo ensure th8t Diocese invests in a way that has approwale regard to the furtherance of tis aims both now and in the luture. The board identified the re￿an1 funds and apkxxt'oned it into the value of the original endowment {which forms the Investrnent FuThJl and the unapplied investment retum (which forms the unapplied total reluml. The calculation of the value of the investment fund on Ihe date of adoption was based upon the book value of assets at 1 January 1997. adjusted for inllation and additions since that date. Al en¢Yowed investment retums are deswJnated as unapplied totsl retum unb"l Trustees de¢id8 how it i8 lo be used. At the discrelKJn of the btsard. some of the totd unapplied retum may bè allocated to the income fund each year to be spent on its aims. Trusteas may all¢xe an amount of thg unapp11￿ total relum to the investrnent funds. The am(￿nt that can be allcKated to the investment fund is capped. The cap is calculated by using the rise in inflatKJn from a parb¢ular date. being either Ihe date of resolubon if no previous allocation has been made or date of the last allocation lo the inves1m￿t fund. 2.9 Investments Investments in agrityjllural IK4dings. (#)mmercial propertiès an¢J investrnent securities are shown at their market value on the balance sheet date. AJI gains and losses on investments are recognised in the SOFA. Investments held by the DDBF as custodian trustee are not included in Ihese accounts. Investments in unlisted investsnents and the subsidiary are stated at cost ￿s$ provision for impaimienl. Investments also irtlud& l(w temi loans made by the DDBF uThJer concessionary tefms. 32

Durham Diocesan Board of Finance IA company limited by guarant••l Notes to the financial statements Year ended 31 December 2024 2.10 Finanelal Instruments Loans Loans made by the DDBF lo further its charitable purposes at rates below prevailing market rates are daSSif￿ as concess￿nary loans an(J accounled for in accordance with Sèction 34 of FRS 102. Such loans are initialty rec(w)nised arKI measured at the amount received and subsequently Jjusled to reflect any repaymenls. actyued interest and any subsequent impaim)enl. Debtors Debtors are rec(¥Jnised at the settlement amwnt due. Cash and cash equivalenls Cash on deposit indude5 cash held in short terrn highly IkiuKI ts)vestrnents wrth a short maturity of three months or less from the dale of acquisition or opening of the deposit or sirnilar account. Creditors andprovisit￿S CreditC¥5 and provisions are rec4)gnised where the DDBF has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due lo settle the obligation can be measured or esb'mated reliably. Creditors and provisions are normally reCOgn￿e￿ at their settknient amount after allwng for any trade discounts due. Equrty share loan The DDBF has one loan for whth Ihe setljement prcKeeds are based on the value of the equity in a opety- As this consblutes a non-basic finanoal instnjment under FRS 102 this loan has been recognised at fair value an¢J 15 revalued at eath reporting date. Any gains and k)sses arising at each year-end are recognised in the SOFA. 2.11 Operating leases Rentals paid under operating leases are charged lo the statement of finanual actimks on a straight line basis over the lease lem). 2.12 Fund a¢¢ountlng General fvnds represent funds which are expendable at the discretion of the directors in the rtherance of the objeclNes of the charity. Suth funds may be held in order to finance both working capital and capital investrnenl. Designated funds a￿ amounts which have been put aside at the discretion of Ihe directors and are thwefore not available for other purposes. All of the unrestricled fund5 apart from the General Fund are now r8garde(l a5 designated. These are included wth the unrestricted funds Column in the SOFA. . Restrlcted lunds repr￿n1 grants, d(¥)ations. ￿cleS and assets which are allocated by the donor for speofic purposes. The largest restrided lund is the Pastoral Account. 33

Durham Diocesan Board of Finance (A company Ilmit•d by guarant•e) Notes to the financlal statements Year ended 31 December 2024 2.12 Fund accountlng (¢ontinued} . End¢wment fur￿$ are those held cffi trust to be retained for the benefit of the charity as a capital fund. In the case of the end(rwmenl fvnds administered by the Board {Stipends Capitsl FLsnd, 8ThJ Parsonage Houses Fund}. there are discreiionary powers to convert casytal into income and, as a resutt. these funds are classrfied as expendable endtrwment. Endowment funds where th8te is no provision for expenditure of capital are ￿3￿ffied as pem)anent endowmenL The board has adopted a total retum approath to investments held within the Stipends Capital Fund. Assets are investthj to pr(Klu¢e an investment retum wtthout regard to whether that relum is in the form of income or capital appwiation. An alknation is made each year from unapplied lotsl retum to trust for investment to ensure that the capital value of assets in trust are not eroded over time. Trusts where the DDBF acts merety as cust(Klian trustee ￿ no control over the management of the furKJs are not induded in the ffinancial statements but are summarised in the notes to the fmancial statements. Critical accounting estlmat•s and areas ol Judgment Estimates and judgments are continualty evaluatsd and are based on historical experien￿ and other factors, induding expectations of future events that are believed to be reasonable undèr the ¢ircumstsnces. Key areas sufy'e¢t to estimation are as fdlows: Fair value on inv8slmentproperty The DDBF hohjs investment Prop￿ (x)mprising agn￿K￿ra1 land al fair value. The DDBF uses an independent external qualthed surveyor to assess the value of this land based on a site by sile consideration of the assets and the market condilKJns exiskn"w at the balarKe sheet date. Fair values estimated for equity share loan The DDBF has one loan for which the seffiemenl proceeds are based on the value of the equity in a property. As required by FRS102 this loan has been stated in accordance wth an estimate of fair value. The DDBF makes use of intemal experts in arriving at this fair value. This loan is repayable on th8 eadier of the death of the borrower or the sale of the related property and therefore the timing of its ￿paYment is uncertain. Therefore, Ihis k)an is measured as a proportbon of the fair value al each repcKting dale and has not been discounled. Other estimates inclLKled wrfhin these financial statements indude depreciation charges. None of the estimates made are considered to carry s￿nrf￿ant ests'mats"on uncertainty, nor to bear signtficant risk of causing a material adjustrnent to carying amounts of assets and liabilrties wrthin the next financial year. In preparing these financial ststements the trustees do not consKler there were any significant areas of judgement that were required in apptying the charrtvs accounting p(Ai(>es as set out above.

Durham Diocesan Board of Finance IA company limil•d by guarant••l Notes to the financial statements Year ended 31 December 2024 Parlsh contribution$ Total funds Total funds 2024 2023 £000 £000 Unrestrictsd general fund - parish shar• contribub.ons pledg8d ar7d paid Contributions from previous years 4,181 49 4,227 28 4,230 4,255 Cuttent year parish share receipts lexduding contribut￿$ from prior years) as a proportion of total amounts pledged 95.OY. 95.2% Archblshops. Council Unrestrictgd Restricted funds funds 2024 2024 £000 £000 Total funds 2024 £000 Lower inL*me communities fund Strategic development fund Diocesan investment programme Moving towaids net zero Strategic minislry funding Ordinands, training grant Other national church furKling 1.998 1.998 1.269 332 74 429 28 263 1.269 332 74 429 28 263 1,998 Unrestricted funds 2023 2.395 4,393 Total funds 2023 £000 Restricted funds 2023 Lower inc4)me communrties fiJnd Strategic development fund Energy and cost of liwng grants Strategic ministy ftjnding Ofdinands. training grant 2.067 48 2,067 1,873 40 383 349 1,825 40 383 349 2.115 2.597 4,712 35

Durham Diocesan Board of Finance (A ¢ompany limit•d by guarantee) Notes to the financial statements Year ended 31 December 2024 Othw donatlon$ Unrestrl¢tsd Restrfctsd funds funds 2024 2024 £000 £000 Total funds 2024 £000 Benefact Trust Lord Crewe's Charity Sl Hild and St Bed& Trust Other grants and donatiw 135 195 13 39 13 78 39 174 452 626 Unrestricted funds 2023 £(X>O Restricted funds 2023 £000 Total funds 2023 £000 Benefaet Twst Lord Crewe's Charity Sl Hild and St Bede Tntsi Other grants and donations 157 23 353 180 353 15 327 15 57 270 229 646 875 I￿orne from ¢haritable activlu Total funds Total funds 2024 2023 £000 £000 Slalutory fees Chaplaincy St Hild and Sl Bede Trust Mis¢ellaneous inwme 387 45 494 50 190 76 631 628

Durham Diocesan Board of Finance (A Company limited by guarant••) Notes to the financial statements Year ended 31 December 2024 Income from other a¢¢lvities Unrnstri¢ted Restrlet funds funds 2024 2024 £000 £000 Total funds 2024 £000 Rental income from parsonages Education servrE level agreements mis¢ellar￿￿S income 557 15 11 561 13 574 Unrestricted funds 2023 Restricted funds 2023 £000 Total funds 2023 £000 Rental income from parsonages Education service level agreements iscellaneous income 508 127 508 130 635 638 Income from Investments Unrestrlcted funds 2024 £000 Restricted Endowment lund$ funds 2024 2024 £000 £000 Total fund$ 2024 £000 Income from UK listed invests))ents Inleresl ￿¢eNable Rents receivable 250 16 587 921 118 102 266 587 1,096 Unrestricted fijnds 2023 Restricted ftjnds 2023 £000 Endowment fijnds 2023 £000 Total funds 2023 £000 Inu)me Irom UK listed investsiwits Interest receivable Rents receivable 411 17 55 211 338 960 21 55 215 338 1.036 37

Durham Diocesan Board of Finance (A o>mpany limitsd by guaran￿) Notes to the financial statements Year ended 31 December 2024 10. Oth•r Incom• Unrestricted funds 2024 Restrlcted funds 2024 Endowment funds 2024 Total funds 2024 £000 £000 £000 Gain on disposal of properties Pension surplus on scheme cb)sure (see note 21 522 371 814 814 814 21 522 1,357 UnreslTicled funds 2023 Restricted funds 2023 Endowm8nt nds 2023 Total funds 2023 £000 Gain on disposal of properties 241 241 11. Fundraising costs Unr•stricted Endowment nds funds 2024 2024 £000 £000 Total funds 2024 £000 Glebe agents fees Glebe investment costs 19 33 52 19 36 55 UnrestrKled Endowment fvnds lunds 2023 2023 £000 £000 Total funds 2023 £000 Glebe agents fees Glebe investrnenl costs 31 31 48 79 79 38

Durham Diocesan Board of Finance (A Company limlted by guarants•l Notes to the financial ststements Year ended 31 December 2024 12. Analysis of •xpenditur• by a¢tivili•s Athltles undertaken directly 2024 Grant funding of activities Support costs 2024 Total fund$ 2024 £000 2024 £000 Contributions to thhbishops, cour￿11 (note 131 Resourcing ministy and miSSK￿ {note 141 Resourcing EdLKat*)n (note 151 514 514 9.950 241 358 1,974 12.282 241 10.191 872 1,974 13,037 Activitbes undertaken dire¢Uy 2023 £000 Grant funding of actNities 2023 Support costs 2023 £000 Total funds 2023 £000 Contributions lo Arthbishops. Cwncil (note 131 ResOu￿•ng mini51ry and mission (note 14) Resourcing Education (note 15) 697 697 9.760 710 1.463 11.933 288 10,048 1.407 1.463 12.918 13. C¢)ntributions to Ar¢hbish¢w' Council Unrestricte(J Restricted fvnds funds 2024 2024 £(M)O £(K)O Total funds 2024 £000 Training for ministy National Church responsibilrties Grant5 and promsions Pooling of ordinand candidates 223 249 120 (78) 223 249 120 1781 514 514 39

Durham Diocesan Board of Finance (A Company limltsd by guarant••) Notes to the financ5al ststements Year ended 31 December 2024 13. Contrlbutions to Archbishops. Councll (continued) Unrestricled Restricted fijnds funds 2023 2023 £000 Total funds 2023 £000 Training for ministy National Church responsibiliknes Grants and provisions Pooling of ordinand candidates 224 250 228 (91 224 250 232 19) 693 697 14. Exp•ndlture on r¢tthircing minlstry and mlsslon Unrestricted R•stricted Endowment funds funds funds 2024 2024 2D24 £000 £000 Total funds 2024 £oDo Stipends and national insuran(* Clergy pension Housing costs Removal, resetdemenl and other grants Mission.. sbpendk4ry. stsff and actNity costs Lindisfame Regional Training Partnership grant Strategic development costs Other expenses and grants Support for parish ministry (see noie 16> 3.496 791 2.076 $49 130 26 11 1,571 36 200 276 480 4.045 921 2.102 125 2.123 74 200 718 1,974 552 442 1.483 8,992 3,279 11 12,282 40

Durham Diocesan Board of Finance {A company limltod by guarantse) Notes to the financial statements Year ended 31 December 2024 14. Expenditure on r*xiurcing rninislry and mission {¢ontinu•dl Unrestricted Resiricted Endowment funds fvnds fijnds 2023 2023 2023 £000 £000 £000 Total funds 2023 £000 Stipends and nab.onal insuranc Clergy pension Housing costs Removal. resetuement and other grants Mission.. stipendiary. staff and activty Costs Lindisfame Regional Training Partnership grant strateg￿ development costs Other expenses and grants Support for parish ministy (see note 16) 3.463 581 917 1,892 188 1,994 367 297 771 1,463 1.881 175 10 13 1.498 307 297 230 317 541 1.133 13 8.610 3.300 23 11,933 15. R•sourclng education Unrestricted Restrictsd nds funds 2023 2023 £000 £000 Total funds 2023 £000 Administration Closed schools 241 241 241 241 Unrestricled funds 2023 £(M)O Restric¢ed fvnds 2023 £000 Total funds 2023 £000 Administration osed schooL% 278 278 10 10 278 10 288 41

Durham Diocesan Board of Finance (A Company Ilmit￿ by guarantw) Notes to the financial statements Year ended 31 December 2024 16. Analysls of support costs Totsl funds 2024 Total funds 2023 £000 Central staff c4)sls Central office and premises Technology arKI communicalion Depreciatson Legal and registry costs Synod, Board and Commitlee expenses Exiemal audit Other support costs Other costs 936 255 179 750 89 45 150 53 25 66 119 169 60 29 196 107 1.974 1.463 17. Anatysis of grants mad¢ Totsl 2024 £000 Individuals Institutions £000 £000 From unr•slrid¢d funds lor Natlonal Church r•sponsibilities: Contributions to Archbishops. Coun Other grants mad•: NECAT Northumbfian IrKlustrial Mission Lesotho Training for Ministry Grants Resettlement and Fwst Appointment Grants Ordinands. Grants Basi¢ Clergy Development Grants Mission Fund Grants Church building commitiee granls PCCS 394 394 25 74 114 120 19 27 74 114 120 19 27 25 25 354 518 872 42

Durham Diocesan Board of Finance (A Company lirnit8d by guarantw) Notes to the financial statements Year ended 31 December 2024 17. Anatysls of grants made {contlnued} Total 2023 £000 lThJividuals Institutions £000 From unrestricted funds for Natlonal Church responslbllities: Contributions to ￿ChbIShOpS. Counc Other grants mad•: NECAT Lesotho Resettlement and Fitsl Appointment Grants Ordinan¢Js' Grants Basic Clergy Development Grants sp&￿al CMD & Sabbabcal Grants issi¢)n Fund Grants Church building committee grants Ministry Hardship Grant Energy Support Grant funding Lindisfame College of Theor￿jY 466 25 25 157 231 18 157 231 18 23 23 34 367 907 367 1.407 500 18. Auditorfs rgmuneration 2024 £000 2023 £000 Fees payable to the Charrtable company's auditor for the audrt of the charitsble company's annual accounts Fees payable lo the charitsble company's audrior in respect ot I nc¥Faudit seryKes not induded above 30 24 19. Staff costs 2024 £000 2023 £000 Employee ¢osts during the year were as follows- Wages and salaries Natsonal insurance contribulM)ns Pension costs 1.796 179 300 2.275 1,649 165 219 2,033 43

Durham Diocesan Board of Finance (A company Ilmltsd by guaranto•) Notes to the financial ststements Year ended 31 December 2024 19. Stsff costs Icontinu¢d) 2024 £000 2023 Th¢ averng¢ monthly numboT of •mployees during th• year wern as follows: Staff 47 The number of hKJher paid emP￿ee$ was: 2024 No. 2023 In the band £60.(bJ1 - £70.CMX) In the band £80.001- £90.(M)O R•mun•ration of koy management porsonnel Key management personnd are deemed to be those having aUth￿ty arKI responsibility. delegated lo them by the trustees, for ￿0￿nIr￿j, dirgcbng and contrdling the ac￿"V￿eS of Ihe Oioce58. During 2024 they were.. Diocesan Secretary Mr J James G Morgan Director of Mission. Discipleship & Ministy Head of Transfomiational DelNery Remuneration. pensions and employerfs na￿nal Insuran￿ contributions for the above empioyegs amounted to £221.868 (2023.. £157.904). The Venerable Elizabeth M Wilkinson Mrs Amy H Bums (from 1810412024}

Durham Diocesan Board of Finance IA company limited by guarant8•1 Notes to the financial statements Year ended 31 December 2024 19. Staff ¢osts {¢ontinued) T￿sta•S. •molunwnts No trustee recewed any remuneratK)n for seryi(*s as trustee (2023." £nilJ. During the year. 7 Iruslees (2023.. 7) received travelling, subsislence and incidentsl costs, totslling £12,644 (2023.- £15,510) in fespect of General Synod duties. dthies as archdeacon or arealrural dean. and other duties as Iru5tees. During the yeai Ihe Board made LX)ntributrons to the Churth Commissioner5 al the standard rale agreed by Dio¢esan Synod towards the stipends. national Insuran￿ and pensR)n conlribubons of the licensed clergy who are directors of the Board and provided houses. including payment of council tsx and maintenance costs, as part of nom)al dergy remuneration. The following table gwes detrils of the trustees who were in receipt of a stipend andlor housing provided by the DDBF duwing the year: The Bishop of Durham- RpJhl RevereThJ PR Buller {Chair} (until 29 February 2024} The Bishop of Jarrow- RvJht Reverend SE Clark The Archdeacon of Auckjand - Venerable RL &mpson The Archdeacon of Dutham- Venerable EM Wilkinson The Archdeacon of SunderfarwJ- Venerable RG Cwr Reverend P Amold Reverend L Sutherland (unb"131 October 2024) Canon D Tolhursl (until 31 October 20241 Reverend 8 Huish (from 19 December 2024) Reverend M Lewnsohn {from 19 Dttember 2024} Stlpend Housing No No Yos Yas Yes Yes No Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes The DDBF is responsible for fijnding via the Church Commissioners the stipends of licensed stipendiary clergy in the Diocese, other than bishops and cathedral staff. The DDBF is also responsib￿ for the provish)n of housing for sbpendiary clergy in the Drocese induding the Sufftagan Bishop. The DDBF pai¢J an average of 135 {2023.- 739) stipendiary clergy al￿ lay ministers as office-holders holding parochial or d￿eSa￿ appointments in the Diocese. and the costs were as fcAIows'. 2024 £000 2023 £000 Stipends National insurance contributions Pension costs - current year contribJ￿ns 3,736 335 853 3.722 325 952 4.924 4,999 45

Durham Diocesan Board of Finance IA company limited by guarantee) Notes to the financial statements Year ended 31 December 2024 20. Tanglble fixed assets Glebo Property Property equlpment Parsonages Total £000 Cost or valuatlon At 1 January 2024 Addttions Disposals At 31 De￿rnber 2024 3.702 101 20.081 339 1661) 19.759 11819 594 (1291 13,284 36.703 1,302 (1.0161 36.989 (226) Depreclation At 1 January 2024 Charge fi)r the year On disposals At 31 December 2024 185 97 417 246 945 (13) 407 {31 250 (161 972 217 Net book value At 31 December 2024 3.628 19.352 13.034 36.017 At 31 D￿ember 2023 3.517 19.664 12.573 35,758 46

Durham Diocesan Board of Finance (A company limit•d by guarnntse) Notes to the financial statements Year ended 31 December 2024 21. Fixad asset invostments Listed investments Loans to Agrlcultural associatss land Total £000 Cost or valuation At 1 January 2024 Additions Disposals Revaluations At 31 December 2024 33.468 3.315 36,812 {652) 776 33.592 (218) 316 3,413 18701 1,092 37.034 Net book value At 31 December 2024 33.592 3,413 37.034 At 31 December 2023 33.468 29 3.315 36,812 Historic cost at 31 December 2024 26.482 398 26,909 Agrlcultural land held as inve5tmenl wopertles The estimate of the value of Gle￿ land and Properties held as investments at the end of the year has been prepared by Savills on a Desk Top valuation as at 31 December 2024. Long temi loans The DDBF loaned £15.(KKI to Stirling Newall Twst for Ihe installalion of a new fi￿ alami system in 2021 with an additional loan of £10,000 being made during 2023. 80th loans are repayable in annual inslalments over 10 years interest charged al 3% annum. Subsldlary und•rtakings Unlisted investments are hekl al cosl and relate lo DDBPS vtholly owned subsidiary undertaknng, The Diocese of Durham Educational Trust, a cornpany limited by guarantee (company registration number 088165271. The Diocese of Durham Educational TnJst was incorporated in 2013 to provide the Di￿eSe with a vehicle lo manage its education responsibilth"e5. It was a domianl company whrch acted as a corporate member for a number of mults academy trusts, bLrt was wound up in January 2025. Jolnt venture The company has a joint venture limited liabilty partnership wrth Newcastle Diocesan Education Board INDEBI. The new entity, Joint Education Team LLP. commenced trading on 1 September 2023. 47

Durham Diocesan Board of Flnance {A ¢ompany limit¢d by guarant•e) Notes to the financial statements Year ended 31 December 2024 22. Debtors 2024 £000 2023 Duè after more than year Church Buildings kjan Church workers pension sc4wne surplus (see note 37) Equity share loan 140 451 134 725 139 134 273 Due withln one year Church Buildings loans Church workers penshon scheme suryAus (see note 37) Othèr debtors Prepayments and ac¢n￿l incom8 257 1,408 477 615 1,095 1,368 1,780 2,505 Total The historic cost of the equtty share loan induded in loans receivable is £16.000 {2023: £16,000). 23. Current asset investments 2024 £000 2023 £000 Short term investments 634 24. Creditors: amounts falling due within one year 2024 2023 £000 Trade creditors Other creditors Accruals and deferred income 166 18 1.968 2,152 315 1,216 1.534 2024 £000 2023 £000 Deferred income at 1 January Resources deferred during the year Amounts re￿Se￿ from p￿V￿u$ periods 1,116 1.897 {1,116) 1,897 33 1,116 133) 1,116

Durham Diocesan Board of Finance (A Company limit￿ by guarnnto01 Notes to the financial statements Year ended 31 December 2024 25. Cr•dltors: amounts fallirkg due aftw more than one y￿r 2024 2023 £000 Loans 49 49 Loan5 induded in (xeditors due in MO￿ than one year comprise £49.(￿ {2023." £49,000) owing lo Church Commissioners relating to propety purchased to house dergy spouses, which becomes repayable on sale of the property On￿ it tsjts vacant. 26. Summary 0f￿ndS Summary of funds- current yèar Balance at l January 2024 Balan￿ at 31 Galnsl O•cember (Losses) 2024 £000 £000 Transfers inlout £OOD Income Exp•nditur• DeS￿nated furKJs General fvnds Endowment funds Restricted fund5 {71 {9.792) 114) 13.2791 {13,0921 5,798 56.952 11.963 74,720 7.851 1,109 3.940 12.907 1.995 12.5591 5.920 56,308 13,397 75,632 820 209 1.097 Summary of funds - prior year Balance at 1 January 2023 Balan￿ at 31 Decembef 2023 £000 Transfers inlout Gainsl {Lossesl Ir￿?￿￿ Expendrture DeswJnaled fvnds General funds Endowment fijnds Restn'cled ftjnds 25 5.839 54.882 11.263 72,009 118} 19,6421 {231 {3.314) 112,997) 8.358 579 3.461 12.398 1,017 {9251 (921 226 2,439 645 3,310 5.798 56,952 11,963 74,720 49

Durham Diocesan Board of Finance {A company limlt8d by guarants•) Notes to the financial statements Year ended 31 December 2024 Statem•nt of fvnds- Current y•ar Balanc• at 31 Doctmb8r 2024 £0 Balancè at 1 Januwy 2024 Trnnsf•rs Galnsl Income Eupendlture Inlloutl ILossos1 £000 D•slgnated fvnds 8equests Fund Unr•strict•d funds General Restrlcted funds Parsonages Buildiry Fund Dutharn Closed sd￿ls Fund Pastoral Fund Ministry and Pre￿dInall Train#ig Fund Lord Crewe's Charity Strategic Devdoprnent FuTrJ- Resourung Churthes Strategic Develop￿￿nt Fund 11- Communsties for H Strategic De¥eiopment FuThJ111- Transforrnlng Growth Restru¢iurirvJ Fund. Renwal & Reform Misc Restricted Fund (Kthsc Inoyne for proj&tsl t￿rhaM Capaixty FUTr Strategic C8paiity Grant fuThJ Strategi¢ Ministry Fwd Archbishops. &wThcil- Nel ZerD Archbishops. Cwncil- Clled to 7.8S1 (9.7921 1.995 5,920 1.741 49 39 20 138 1,829 1205} 769 215 11741 9,028 146 {1741 142 142 (4671 27 1601) {4) 173 31 12n 177 (3) {31 429 14291 25 25 {3321 Afchtmshops. ￿￿1- BuildiNJ for Mission 88n•fact Tru5t- Cthtivate fvnding Archbishops, Councl- GMThJ Adviser fundir Archbr6Ws' Counol- Net z Quick Wins Grants Archbi$hops' Counril- Net Z9ro Carbon House DernL¥)strator Pens￿ surplus Testiicted fund (361 190) 13 1241 12 19 {19) 814 74 708 560 13,397 550 11.963 1761 13.2791 12 209 Endowmfj￿ fund$ Parsonages Houses FuThJ Sts"pends Capital FuThJ 19.662 37.290 $6.952 432 67T 1,109 {31 (7691 11.7901 11559) 19,322 36,986 820 820 Totsl of fund$ 74,720 12.907 {13,0921 1.097 75,fj32

Durham Diocesan Board of Finance IA company limited by guarante81 Notes to the financial statements Year ended 31 December 2024 27. Statemènt of funds (continued) Bequests Fund This fund represents the balance from an ar￿YmouS donor during 2019 whith the Board decided should be held within a separate designated fund to support the di￿eS#n priority of'challenging Poverty,. General fvnd The general fvnd is avaikble for any wrpose wtthin the objecls of the Board. It is principally used for payment of stipends, national insurance. pensKTrn contributions and housing costs of clergy and licensed lay-workers in parish ministry. It also provides the assets and liquid4ty for the DDBF to carry out its obj'ectives, including ststutory com￿lan￿ and administrat￿n of ftjnds. Parstinages Buildings fund The Parsonages Buildings furKI is held by the DDBF to pay for repairs and maintenance of parsonage houses. This fund also hdds the not pr(Keeds from the sale of any previous parsl￿ageS which have been ng fenced for the provision of a repla￿men1 parsonage as and when necessary. Durham aosed S¢hcK)Is Fund The Closed S¢hods Improvements Fund ￿preSentS the PQKded sale pr(Keeds of cbsed church schools in the Di0￿Se in accordan￿ with Secbon 287121 of the Education Act 1993. The capital and income can be used for the building. extension and maintenance of church sthools. The incwie alone can be spent on the management and administration of church S(*￿ts. Pastoral Fund The pastoral account includes the proceeds of redundanl churche5 and parsonages and was sel up under the provisions of the Pastoral Measure 1983. The restricted purposes for which the account may be used -to defray costs incurred for the purposes of the Measure or any scheme or order made under the Measure except for salaries of regular dKxesan employees -lo make loans or grants for the pmviwon. resloratK)n. improvement or repair of churches and parsonage houses in the DI0￿SE -other purposes of the Diocese or any beneffice or parish in the Diocese -to rnake grants or loans to any other Di(￿se -lo transfer fijnds to the ditKesan stipends fund income or capital ac(%)unls. Ministry and Preordinats"on Training Fund This is a ￿$triCted fund set up lo provmje assistan￿ for ministy and training. Lord Crewe's Charty Resbicled Fund This funij provtdes support for necessitous clergy aThJ gives resources for the mission and ministry of parishes in the most deprived parts of the Di￿eSe Slralegic Development Fund- Resourung Churches This national church funded project set up the first four Resourong Churches in major population centres thin the DI￿ese, and supports training of ministy experience volunteers.. Restructuring Fund The Church Commissioner5 awarded the Diocese a one￿ff allocation lo alk)w the DK)cese to adapt to a reduction in funding ￿$￿Iling from tt)e replacement of Selective All￿ation by Lower Ir￿me Communities Funding_ This funding is restricted as it must be used in line with an a9ieed plan. 51

Durham Diocesan Board of Finance IA company limit¢d by guarante•) Notes to the financial statements Year ended 31 December 2024 27. Statement of funds (contlnued) Strategic Development Fund- Gmwing Hope Th5s national church furKJed project is to develop communit￿ of Hope. which are Christian small scale sLKial entorprise projects in areas with hvJh leveb of social deprivation, alongsNJe further Resourung Churches and ministy experience vdynleers. Miscellaneous Restricted Income Fund This restricted lund relates to grants receNed for one off SMal￿r actsvibes whth have been made availthe for speafic reslrKted activitw ￿1h1n the D￿Se. Durham Capacity Fund This fijnd provides support for the Diocese throwjh the prtws of develoF4ng a transf¢ymational strategy and missM)nal design. SlrategK Capacity Fund- Churchplanling Provides capacty for the administration and management of church plantiThJ within the Diocese. tegic Ministry Fund ProvKles support to assist wsth lunding the i>Jrat8S. Strategic De￿lopment Fund- Tr8nsfom?ing Growlh This national church ftJnd8d project supwts a R8sourcaThJ Churth in Darlingion church planting activty across Ihe DNese. chbishops. Council- GNing Adwser Fund National church funding lo diocesan support for parishes arourKI generous giving and stewardship. ArchbAshops' Council- Nel Zero Awarded towards helping the DiLwe wort towards their net zero targets. Archbishops. Council- Called to Fruitfvlness Increasing capacity, regeneration of parishes for mission. miss￿1 chaplaincies Benefa¢l Tn￿- Cuftivate Funding lo support the Diocese's 'CuhNate' church planting strategy. Archbishops. Council- Nel Zero Quick Grants ms lo suptM)rt churches and thur¢h halls in delNering sm811 scale net zero (arbon works in churches. ArchbAshops' Council- Nel Zert) Cartjon House Demonstrator2024-2025 To support a route map lo enefgy effia"enGy and decarbonizalion woths adopting a clergy house project covering ventilation and air tightsws. fabric themial efficiency and fossil ftjel free heating system. Pension A fund holding the pension asset arising from the closure of Ihe Church Wort(er Defined Benefit Scheme to be offset against future stsff pension Ik4bilities. 52

Durham Diocesan Board of Finance (A ¢ompany limited by guaran1••) Notes to the financial statements Year ended 31 December 2024 27. Statement of funds (continued) Other 9rants This restricted fund relates to grants which supp)rt a w¥Je range of prqects related lo the ft)ur Dio(%san priorities. Parsonage Houses Fund The Parsonage Houses FuThl represents the value of the benefv￿ houses {parsonagesl in the Diocese after deducting loans outstan(Jing in respect of such fv)uses. Sbpends Capital Fund The Stipends Capital Fund is goveme¢J by the Di(Kesan Stipends Measure 1953. The income of the fijnd can only be used for clergy sb"pends buL &nce 1993. ￿pital can be applied for improvements lo PaTSonage hwses. Transfèrs betwe•n funds Further detsib are given in nole 30. 53

Durham Dlocesan Board of Finance IA company Ilmhed by guaranleo) Notes to the financial statements Year ended 31 December 2024 27. Statement of fvnds (¢ontlnued) Statemont of fisnd$- wior year 8alane• at 31 Trnnsf•r¥ Galnsl D•cembor inlout ILoss0$1 2023 £000 Balanu at 1 January 2023 Incom• EX￿￿lIu￿ £000 Deslgnated funds Bequests Fund Unr85tr1cted funds General Restrictsd frjnds Parsonages Building Fund Durham Closed sChTh￿S FuThJ Pastoral Fund Ministry and Preordination Traini￿ Fu￿1 Lord Crew8's Charity Strategi¢ Devebpment Fund- ReSourcW￿ Churches RestnthrirwJ Fund- Renew* & Refo Strategic Devebpment Fund11- Comrnunities for Hope Misc Restricted Fund (Misc Income for projects) Durham Capacity Fund IRestricted} Strategic Capaiity Gfanl frjnd Strategic Ministry Fund Strategic tlevekjpment Fund- Transfrmtion GrovAh Arthbishcp5' Coun(il- GNiThJ Adviser rchbish￿s. Couniyl- Nel Zwo Archbishops, Couni71- Calkd to FrurtfuI￿sS Be￿fact Twusl- Cullwate fvrtd￿g Other 25 (181 5.839 8.358 19,6421 1.017 226 5,798 2,042 14671 357 112 1.741 1,030 8,080 61 227 1101 11911 {307} 7.052 104 349 146 172 353 13831 16171 142 615 27 63 (58) 663 16641 52 (44) 173 (2(X)} 153) 1&331 12971 131 53 333 297 115) 25 49 1491 157} 113 13.3141 43 550 11,963 16221 1921 51 645 11.263 3.461 Endowm?nt fund$ Parsonages Houses Fw Sb"pends capit￿ Fund 19,674 35,208 15) 1181 1231 12521 16731 19251 245 2,194 2,439 19,662 37.290 56,952 579 579 Total of funds 72.rm 12.398 {12.997) 13,3101 74,720

Durham Diocesan Board of Finance (A company limit•d by guarant80) Notes to the financial statements Year ended 31 December 2024 28. Total r•tum on inv•slment Total Trust for Unapplled Stipènd Investrnent total retum Capltal fund 2024 2024 2024 £000 As at 1 January 2024 Moveménts in year Ajlocation lo trust for investrnent Investment ￿turn.. dividends and interest Investment return: gains on sale of pror Investment retum: realised and unrealised gains and Ik>ssesl Addrtion of capital Less.. costs of maintaning proper 11.372 25,918 37,290 18541 854 587 587 90 820 820 111) 2,340 {1,7901 550 26,468 111} 1.486 {1.7901 (304) 36,986 (8541 Unapplied total r8tum allocated lo income Net movement in the year As at 31 December 2024 {8541 10.518 On 1 December 2022 the Trustees agreed to adopl a total retum approach lo arxounting for the stipend capital endowments of the Diocese. The fvll delaib of p￿icIeS adopted are set out in the accounting policies in note 1. The dale of adoption for the purw)ses of calculating the original value of the Trust for investment was 1 January 1997, with all a¢JditK)nal gifts since that dale added and inflation induded to arrive al the value of the Trust investment as al 1 January 2023. On 31 December 2024 a proportion of the resulb'ng unapplied totsl retum was allocated to income for the year. as shown above. 55

Durham Diocesan Board of Flnance (A company Ilmited by guarantee) Notes to the financial ststements Year ended 31 December 2024 29. Analysls of net ass•ts ￿tween funds Analy$ls of net •ssats b•twtsn funds . Current year Unf￿1cted Restrlct•d Endowm•nt funds funds funds 2024 2024 2024 £000 £000 Total funds 2024 £000 Tangible fixed assets Fixed asset investments Debtors due after more than one year Current assets Creditors due within one year Creditors due in more than one y￿r 1.666 9.176 133 3.621 (1.199) 32.386 23,572 36.017 37.034 725 4,057 (2.1521 149) 4.286 591 (953) (49) Total 5.927 13.397 56,308 75,632 Analysls of net assets between funds - prlor year Unrestricted ReslrKted ErKlowment funds fund5 fijnds 2023 2023 2023 £000 Total funds 2023 Tangible fixed assets Fixed asset investments Debtors due after more than one y Current assets Creditors due within one year Creditors due in more than one year 1.895 2.979 142 1.140 (351) 1.627 9.067 131 2.320 (1.1821 32.236 24,766 35.758 36,812 273 3,460 (1,5341 1491 (1} 149) Total 5,805 11.963 56.952 74,720

Durham Diocesan Board of Finance IA company Ilmited by guarantee} Notes to the financial statements Year ended 31 December 2024 Anatysls of significant transfers between funds Analysls of significant transfe￿ between funds- currenl year Unrestrict•d Restricted Endowment funds funds funds 2024 2024 2024 £000 £000 Total funds 2024 £000 Transfer of Parsonage Houses to Pastoral Account Transfer of restricted Cknsed School fvnd to unrestn.cted Total Return Iransf8r from Stipends Capital 769 17691 205 {205) 1.7 (1,7901 Total 1,995 12,5591 Anatysls of slgnlfiwit transfe￿ between funds- prior year Unrestricled lunds 2023 Reslricted Endowment fun¢J5 funds 2023 2023 £000 £000 Total fvnds 2023 £000 Transfer of Parsonage Houses to General Transfer of PaT50nage Houses to Pastml Account Release of Escomb Parsonage Building Fund to Parsonage Houses Transfer to Parsonage HLNJses Fund to purthase land at St Peterfs Vicarage Transfer from Parsonage Building Fund to Sts"pend Capital Fund Total Retum transfer from Stipends Capital Dividend release 76 (76) 542 15421 (3461 346 (20) 20 196> 769 172 1769} 1172) Total 1.017 1921 {9251 57

Durham Diocesan Board of Flnance (A company limited by guarantee) Notes to the financial statements Year ended 31 December 2024 Analys15 of $lgnlflcant transf•rs between fvnds Icontlnu•d) Transfers from end¢)wment funds of £769k represent transfeF5 Irom the Parsonage Houses fund to unrestri¢tad and restricted funds follwng the sale of certain prOpe￿eS. ac£ording to the tern￿ imposed on Iho endowed asset. Transfer of £205k from the restricted Durham cbsed schoL4s lurKI to unrestricted funds were made to fund educational spend, in line with the tem￿ of the reStrKttI￿. In addition a transfer of £1.790.OIXI has been made from endovment funds lo unrestricted funds representing the allocation of unapplied totsl retums (see note 28). 31. Roconclllatlon of net movement In funds to net cash fl¢>w from operatlng adlvlt16S 2024 £000 912 2023 £000 2.711 Net inLY)me for the year las per Statement of Financial Activities) Adjustment5 for. Depreciation charges Gains on investments Dividends. interests and rents from investrnents Incxease in debtors Increase in creditors Profit on sale of fix￿1 assets 45 {3.3101 11.0361 12881 1,129 {2411 {1.09n {1,0961 11,1381 618 1543) Net cash used In operatln9 actsvities {2,3011 19901 32. Analysi$ of cash and ¢ash equlva￿nts 2024 £000 2023 £000 Cash in han(J Noti￿ deposts {less than 3 months) Total cash and ush equivalents 1,171 1,106 2,277 1,731 634 2,365

Durham Diocesan Board of Finance {A Company Ilmlt•d by guaranteel Notes to the financial statements Year ended 31 December 2024 33. Analysls of chang¢$ in net debt At1 January 2024 Cash flows £000 £000 At31 December 2024 £000 Cash at bank and in hand Debt due after 1 year Lkiuid investments 1.731 149) 634 2.316 (625) 1.106 149) 1,171 2,228 537 {88) Operating leas• commitments At 31 December 2024 the Charitab￿ company had commitments to make future minimum lease payments under nonwcan￿lIa￿e operalirrfJ leases as follo￿.. 2024 £000 2023 £000 Not later than 1 year Later than 1 year and not tater than 5 year5 10 35. Pensions The DBF paflicipales in tsvo pension schemes administered by the Church of England PensFons Board, which holds the assets ol Ihe s¢hemes separately from those of the DBF and the other participating employers. Ofte of these is the Church of England Funded Pensions Scheme for slipendiary clergy. The other 15 the Church Workers Pensions Fund for lay staff. Church of England Fund•d Pensions S¢h•m¢ Each p￿￿¢1pating Responsible Body in the Church of EngL4nd Funded Pensions Scheme pays contributions at a ￿mmOn contribubon rale apPl￿d to pensionab￿ stipends. The scheme is corksidered to be a multi*mployer scheme as describefj in secb.on 28 of FRS 102. 11 is not possitAg lo altribute the Scheme's assets and liabilities to each specffic Responsible Body, and this means contributions are accounted for as rf the Scheme were a defined contribution scheme. The pensions costs charged to the SOFA irs the year are contribubons payable towards benefits and expenses accrued in that year. which were £853.000 in 2024 (2023.- £952.OOOJ. plus any figures arising from ¢ontributions in respect of the Scheme's deficit (see bek)wl. The 2021 valu8lion showed the Scheme lo be fully funded and as such in 2024, fdlowir¥J the valuation results being agreed, the defKil contributions paid were £nil f2023.' Enil). A valuation of the Scheme is carried out once every three years. The most re￿nt Scheme valuation completed was carried out at as 31 December 2021. The 2021 valuation revealed a surplus of £560m, based on assets of £2.720m and a furmjing target of £2.160m. assesse(J using the following assumptions.. 59

Durham Diocesan Board of Finance (A company limited by guarant￿) Notes to the financial statements Year ended 31 December 2024 35. Pensions {contlnuedl An average disujunt rate of 2.7% p.a.. RPI Inflat￿ of 3.6% p.a. land pension increases LX)nsistent wtih this}: CPIH inflation in line with RPI kn 0.8% pre 2030 moving to RPI with rn 8tljuslment from 2030 e￿wardS. Increase in pensionable stipends in line with CPIH" Mortality in accordance with 90% of the S3NA tsbles. Y￿h allowance for improvements in mortality rates in line with Ihe CM12020 extended m(xJel wilh a loThJ temi annijal rate of improvement of 1.50/ts, a smwthing parameter of 7. an inrtial addilK)n to [r￿rtalitY improvements of 0.5°h pa and an allowance for 2020 data of 0% li.e. w2020= 0%). Followng finalisalion of the 31 December 2021 valuation. ￿er￿li contributions c£ased with effect from 1 January 2023. since the Scheme was lulty fundwj. Church w0￿ets Pension Fund DDBF part￿Pate$ in the Oefined Benèffts Scheme section of CWPF for lay stsff. which is now closed to future accrual. The Scheme is a¢Jminislered by the Church ol England Pensw)ns Board. which holds the assets of the scheme separately from Ihose of the Employer and the other participating employers. CWPF has fvvo sections". the Defined Beneffts Scheme the Pension Builder Scheme. Wh￿ has sub$￿tKInS.. a deferred annuty section known as Pension Builder Classic, and a cash balance section known as Pension Builder 2014. D¢fin¥d B¢n•ffts Scheme The Defined Benefits Scheme I"DBS"I section of the Church wc￿kerS Pens￿ Fund provKles benefits for lay staff based on final pensionable salaries. For funding purposes, OBS is diwded into Sub-p(￿ in re$￿t of eath partirypating employer as well as further sutrTrwol. known as the Life Risk Pool. The Lrfe Risk Pool exists to share certain risks be￿een employers, irKJuding Ihose relating to mortality and post¥rekn"remenl investrnent r&tums. The division of the DBS into sul>p(KJls is nolK)nal is for the purpose of calcul8bng ongoing contribulions. This does not alter the fact that the assets of the DBS are held as a single trust fund out of which 811 the benefts are lo be provided. From lime lo time. a Th)lional premium is transferred from employers, sutrTrpwls lo the Lrfe Risk Pcd and nsK)n5 and death b&nefits are paid from the Life Risk Pool. If, followng an acluarial valualKJn of the Lrfe Risk Pr￿￿. there is a SLsrplus or deficit in the pool, further transfers may be made from the Lrfe Risk Pool to thè employers. SU￿poOls, or VI￿ versa. The am¢Nnls lo be transferred land their allocation belween the sUb-F￿h$) will b8 settlad by Ihe Church of England Pensions Board having taken ad￿ from the A¢tuary. A valuation of DBS is carried out On￿ every three years. At the most r￿nt valuation al 31 December 2022 there was a surplus of£73.6m_ The next actuarial valuation is due at 31 December 2025. 60

Durham Diocesan Board of Finance IA company limit•d by guarantee} Notes to the financial statements Year ended 31 December 2024 35. Penslons {¢ontlnufjd) Since 31 December 2023. the Board has entered into a full bLry4n agr8ement with Aviva to insure all accrued benefrts within the DBS of the CWPF. The Church of EnglarKI PensK)ns Board agreed that def￿rt contributions should cease with effect from 31 December 2022 for eM￿0yerS whose pools wete e5ts"mated to be materially in surplus. As a result, there is no obligalK)n rÈ¢ognised as a liats.lrty wthin the Employerfs ffinancial stslements as at 31 December 2023 or 31 De￿mber 2024. Pension Builder Schème Both sections of the Pension BuildeT Sc￿le are dassed as defined benefit schemes. Pension Bullder Classic provides a pension. ac(yJmulated from contributions paid and converted into a deferred annuity during employmenl based on terms set and rev￿ed by the Church of England Pensions Board fr¢)m time to b'me. Discretionary increases may also be added. depeThJing on investment relums and other factors. Penslon Builder 2014 is a cash balance scheme Ihat provrd&s a rump Sum which members use to provide benefits at retirement. Pension contn"butions are ￿COr¢Yed in an account for each memb9r. Discrelv)nary bonuses may be added before retirernenL depending on investsnent retums and other factors. The ￿cOUnt. plus any bonuses declared is payable, unreduced, from age 65. There is no sulHJivision of assets between employers in each section of the PenS￿n Buikler Scheme. The scheme is constdered to be a mUlt￿emploYer stheme as described in Section 28 of FRS 102. This is because il is not y)ssiblg to attribule the Pension Builder Scheme's assets and liabilities to specrfic employer5 and means that contributions a￿ accounted for as rf the Scheme were a defined contribution scheme. The pension costs charged lo the SOFA in the year are the contributions payable 2024.. £300k (2023." £219kJ. A valuation of the Pension Builder Scheme 15 carried out once every three years. The most recent valuation was canied out as at 31 December 2022. For the Pension Builder Classic sèction, th& valuation ￿vealed a surplus of £34.8m on the ongoing assumptions used. At the most recent annual rewew effeth.ve 1 January 2025. the Board chose lo grant a discretionary bonus of 6.7% to both pensions not yet in payment and pensions in payment in respecl of service prior lo April 1997," and a t)onus on pensions in payment in respect of post April 2006 service so that the pension irtcrease was 2.7% (Whe￿ usualty it would be calculated based on inflation up to 2.50/&}. This followed improvemenls in Ihe ful￿1ng position over 2024. There is no requirement for deficit payments at the current lime. The next valuation is due as al 31 De(￿ber 2025. For the Pension Builder 2014 seclK)n. the valuation revealed a surplus of £8.5m on the ongoing assumptions used. There is no requirement for defiat payments at the current time. The legal structure of the scheme is such that rf another empkjyer fails. DDBF couhj becLJme ￿sPOnSible for paying a share of the failed empkjyef's pension liabilities. 61

Durham Diocesan Board of Finance (A company limitsd by guarantee) Notes to the financlal statements Year ended 31 December 2024 Custodian lund$ The Board act as custodian tsuslee responsibb for trust fvnds held on behaw of others. Th& movem&nt on these funds during the year Is set out belovr. 2024 £000 2023 £0 Balance al 1 January Funds recewj Payments made RevalualK)n of investments 13.578 834 {1.0131 132 12,763 577 {5441 782 Balance at 31 December 13,531 13.578 The funds held by the DDBF as cust￿lian trustees c(Mnprise deposrts 8rTrd investments. The funds are held on behalf of the PCCS within the Diocese. in separate bank and investmeni funds. 37. Continynt ass•t During Ihe pri(Y year, the Church of Eng18nd Pensions Board indicated that they intended lo close the Church WoTkeT5 Define(l Benefrt Scheme to fLrture accrual. Thts led to the DDBF takin9 the decision in December 2023 to transf&r all employees who were members of this scheme to the Pension Builder Classic stheme as of 31 January 2024. The Pen5tons Board indicaled Ihat the ODBF'S section of the Church Workers Defined 8enefit Scheme was in an asset position on dosure. During 2024, the Pensions Board confimied usable assets attributed to the DDBF of £814k. which have been recognised as income in the year and shown as debtors to be dTrwn down against future pension liabilities. There is a ¥)ssibility of further assets being attn"buted lo the DDBF once final scheme liabilrties have been setuod. bul this arnwnt cannot yet be acc#Jrdlely q￿antrr￿. Related party transactlons As set out in note 21. the DNKese 15 8 member of j￿nI Educatit￿ Team LLP, a joint venture with Newcastle D￿Ce$an Educa1ion Board in whith il has a 50Yo Stake. DurirKJ the year to December 2024 the DDBF contn"buted £120.000 f2023.. £nil) to the running costs of this entity. At the year end £36.664 12023 £56,664) is included in debtors owing from JET LLP. 62