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2022-12-31-accounts

REGISTERED COMPANY NUMBER: 00101685 (England and Wales) REGISTERED CHARITY NUMBER: 248796

REPORT OF THE TRUSTEES AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

FOR

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

Annatrice Limited Statutory Auditor 10 The Thoroughfare Harleston Norfolk IP20 9AX

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

Page
Reference and Administrative Details 1
Report of the Trustees 2 to 10
Report of the Independent Auditors 11 to 13
Statement of Financial Activities 14
Balance Sheet 15
Cash Flow Statement 16
Notes to the Cash Flow Statement 17
Notes to the Financial Statements 18 to 34
Detailed Statement of Financial Activities 35 to 37

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 DECEMBER 2022

TRUSTEES Mr A L East
Mr G Heathcote
Mr K R Hounsome
Mr C N Patten
Revd Prof D M Thompson
Revd Dr J E Tollington
Mr D J Bird (appointed 28/2/2023)
REGISTERED OFFICE The Eastern Synod Office
The United Reformed Church
36 Duxford Road
Whittlesford
Cambridgeshire
CB22 4ND
REGISTERED COMPANY 00101685 (England and Wales)
NUMBER
REGISTERED CHARITY 248796
NUMBER
AUDITORS Annatrice Limited
Statutory Auditor
10 The Thoroughfare
Harleston
Norfolk
IP20 9AX
PROFESSIONAL ADVISORS Legal Advisors:
Veale Wasbrough Vizards
Second Floor, 3 Brindley Place
Birmingham
B1 2JB
Accountants:
Hardcastle Burton
90 High Street
Newmarket
Suffolk CB8 8FE
SYNOD OFFICERS Moderator - Revd L Nevard
Synod Clerk - Revd D Coaker
Synod Treasurer - Mr G Heathcote
Finance Officer - Mrs F Paulding
Resources Officer - Mrs P Davies-Brown

Page 1

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 December 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and aims

The charitable company's purpose as set out in the objects contained in the company's Memorandum and Articles of Association is the advancement of the Christian religion especially by the means of, and in accordance with, the principles of the United Reformed Church as set out for the time being in 'The Manual'.

The aims of the charity are to support local churches in their outreach and mission and to share the vision of the URC's General Assembly with the local churches.

Significant activities

The United Reformed Church (Eastern Province) Trust has two distinct roles. The first is to act as the corporate Trustee of local churches, manses and other local church land. The second is to act as the holding Trustee of the collective financial assets of the Eastern Synod.

In relation to the first role, the Trust acts according to the United Reformed Church Acts 1972, 1981 and 2000: particularly the 1981 Act. Local URC churches operating in the Eastern Synod area are separate and independent charities. There is no common control or unity of administration with any of these bodies and they are not deemed to be connected charities within the understanding of the Charities SORP (FRS 102). None of the financial assets or liabilities of these bodies are incorporated in the Trust's financial statements as the Trust is not the beneficial owner and there is neither parent nor subsidiary relationships.

In relation to the second role, the Trust's responsibility is to exercise ultimate oversight over the finances of the Synod (including its budget and accounts), as set out below. The Trust is also responsible for employment of most remunerated Synod staff.

Achieving delivery of the Trust's aims and public benefit

The strategy for achieving the Trust's aims and objectives is to provide pastoral, educational and mission, technical and financial support. All these forms of support are designed to promote and share the Christian faith and, in particular, the principles of the URC in each area where a local congregation operates. The Trustees review the aims, objectives and proposed future activities on a regular basis. The Trustees follow the general guidance issued by the Charity Commission on public benefit when doing so and the following sections of this report describe how the Trustees have carried out the purposes of the Trust for the public benefit. It is important to note that the Trust's functions are generally exercised through the Eastern Synod of the United Reformed Church and its committees (see section headed 'Structure, Governance and Management').

Page 2

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

OBJECTIVES AND ACTIVITIES

Pastoral Support

The Pastoral Committee works with and through the Synod Moderator and others to provide spiritual, pastoral and strategic leadership, care and challenge to local churches and their ministers. They have a particular role in encouraging conversations about pastorates' needs, ensuring effective but sympathetic deployment of ministerial resources as well as overseeing churches during ministerial vacancies. They also monitor the progress of those applying for, and undertaking, various types of ministerial training and work to develop ecumenical relations in the area covered by the Synod as well as encouraging local churches to "think ecumenically" when planning all their initiatives.

Educational and Mission Support

The Mission & Discipleship Committee works with and through the Moderator, Mission and Training Officer and Children and Youth Development Officer to provide or encourage training and development for ordained and lay people; organise and support activities for, and work with, children and young people; and encourage mission and outreach activities to be undertaken primarily by local churches in their own towns or villages. The Synod has a Mission Grant Scheme which through an accompanied process seeks to encourage and enable mission activities. Through the Faith in Action group of the Mission & Discipleship Committee, the Synod and local churches are made aware of need and injustice locally, nationally and internationally and challenged to respond in ways which make a difference.

Technical Support

Synod officials are a resource available to help local churches understand and keep up to date with their obligations as charities, employers, providers of services to the public and occupiers of buildings. Where necessary, Trustees and Synod officials also help local churches through the process of considering the acquisition, modification or disposal of premises and issues of trust, property and charity law. The Listed Buildings Advisory Committee (as constituted by the Ecclesiastical Exemption [Listed Buildings and Conservation Areas] [England] Order 2010) offers independent advice to the Synod Property Committee, together with assisting local churches occupying 'Listed' buildings through the complexities of the legal processes governing these types of buildings, including offering advice on their care and maintenance.

Financial Support

A range of grants (and, sometimes, loans - constituting some Programme Related Investments) is made available to local churches and ministers to assist with children and young people engagement, IT, mission and outreach, maintenance and improvement (including environmental) of properties to enhance interaction with their communities and ministerial and lay training and development. (This year included a utility grants scheme as energy costs rose.) In most cases this support is provided through the Resources/Property Committee, which meets four times a year and oversees financial and property-related matters for the Synod. The delegated powers of the Resources Committee and its interaction with the Trust and Trustees are set out in the Synod Financial Policy which is revised periodically by Synod. The Finance Policy sets out the charity's investment policy and ethical constraints under which it operates. For further details see the section headed 'Investment Policy' (below).

Churches are encouraged to invest capital whenever possible and to fund new building works, redevelopments, maintenance works and pastoral assistance from their investment income. Where there are insufficient funds, grants or loans may be made available to Churches, in the case of loans for periods normally not exceeding five years.

Page 3

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

STRATEGIC REPORT

Achievement and performance

Mission & Discipleship Committee

The Faith in Action Group continues to arrange events and present matters of concern to Synod and gives links to websites that provide further information on issues such as social justice, racial justice, the environment and rural matters.

Through the Synod's Mission and Training Officer mission (including worship) resources have been provided to churches and a range of training and related on-line programmes have been provided for Elders and others.

Through the Synod's Children and Youth Development Officer training, advice and consultancy is provided to those working with children and young people, as well as advice and training related employment issues and safeguarding. The CYDO also organises or helps at events for youngsters, both Synod-wide and in local churches.

Through the Synod's Green Advocate and a Working Group that includes members of the Resources Committee, we have been awarded Bronze Eco Synod and encourage churches to seek Eco Church Awards.

Reports are received on the Synod's large-scale Mission Project, Loves Farm in Cambridgeshire, and explorations of other possibilities (e.g. Northstowe).

The Committee has developed and increased its programme for providing financial support for mission activities within churches; in particular it has moved away from simply providing grants based on a fixed percentage of the costs to adopting a flexible approach that takes account of the local church's ability to contribute.

The Committee has generally been very heartened by all the great mission work going on in churches.

Pastoral Committee

This Committee's work is largely of an ongoing nature, in particular supporting the Moderator as she considers ministerial vacancies and the challenges of deployment and explores new ways of ministerial deployment.

The Committee is progressing the implementation of the principles of Mission Partnership.

The Committee is receiving reports of mission reviews carried out in local churches.

It also oversees the process for authorising lay persons to preside at the Sacraments.

The Committee also links with the work of the six Area Partnerships and one United Area.

The Committee has noted with sadness the closures of Newport URC, Long Melford URC. and Westcliff URC.

Resources Committee

The Synod Finance Policy has been updated in a small number of ways.

The Committee continues to provide a range of property-related grants as well as grants for children's and youth work and also to support the making of larger mission-related grants. It also recognises the need to support churches with their eco-related works.

The Committee set a budget of £300,000 to assist churches with increased utility costs for the period 1st October 2022 - 31st March 2023 arising from the removal of the energy price cap.

Page 4

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

The Committee continues to support the work of the Ministry and Mission Advocates in their work overseeing the Fair Share scheme through which local churches contribute to the provision of ministry throughout the denomination. In this respect, the Committee continues to be grateful to local churches for generally how well they have done in maintaining their commitment at what has continued to be a most difficult time for church communities but has been content to meet what would otherwise be a shortfall in the Synod's contribution to the national fund.

Officers and Convenors Committee

The Committee's work is mainly concerned with organising Synod meetings, ensuring vacancies on Synod Committees are filled, co-ordinating the work of the committees and overseeing staff matters.

Financial review

Financial Statements

The financial statements, including the notes, have been prepared in compliance with the Statement of Recommended Practice (SORP) 'Accounting and Reporting by Charities' (FRS 102). The analysis of income and expenditure reflects the classification of activities, together with costs relating to administration. The Synod and Trust Company do not sell goods or services, nor are there any other trading activities.

A financial review document is made available to all members of Synod, and local churches if requested. This document highlights the main features of these financial statements. The review includes a comparison between the budget and the final operating income resources and expenditure.

Statement of Financial Activities

The Statement of Financial Activities is shown on page 14, with a more detailed analysis of income and expenditure on pages 34 to 36.

The total income for the year was £1,257,992 (2021: £2,992,118). This includes income from church sales and other transfers from church funds of £652,363 (2021: £2,186,580). The majority of the remaining income is investment income.

This year the church property grants totalled £427,202 (2021: £171,101). This is a positive development in so much as churches had been struggling to find the match funding to proceed with projects.

Overall the funds have decreased by £1,269,345 (2021: increased £41,587). The deficit is mainly due to the decrease in value of the investments.

Programme Related Investments total £756,981 (2021: £755,765) comprising 1 outstanding loan (considerably reduced) and 8 property investments (2021: 1 loans and 8 property investments). These investments represent funds invested by Synod to provide accommodation for retired ministers.

Principal funding sources

The main sources of regular income are investment and rental income. In addition, in some years, substantial sums become available to the Trust as a result of church closures. No fundraising activities are carried out at Synod or Trust level. Also, until 2021, the Synod meeting authorised a 'levy' to be raised for Synod administration purposes from local churches together with their contributions to the denominational Ministry and Mission Fund. However, it has been agreed that this 'levy' will be abandoned with effect from 2023 and that in respect of the contributions made by churches in 2022 the overall amount was reduced by £78,000, this being the total amount of the 2022 'levy'.

Page 5

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

STRATEGIC REPORT

Financial review

Investment policy and objectives

The policy seeks to achieve as high an income as possible, subject to protecting the capital value of the funds against inflation. The investments include sharing in some churches' property developments but are otherwise a mixture of fixed interest and equity marketable securities. The Synod seeks to ensure that none of its investments can be seen to support practices which are against the conscience of Christians following the Ethical Investment Guidelines approved by the URC General Assembly from time to time. These Common Investment Funds are governed by Charity Commission Schemes.

A number of local churches have asked the Synod to hold, and invest, certain funds on their behalf. Such funds are not Synod funds and are not included in the Trust financial statements.

Reserves policy

The Trust holds funds under a number of different terms. Funds which are restricted may only be used as directed by the funder at the time they were granted to the Trust. Details of the specific restrictions of those individual funds are disclosed in note 21 to the financial statements.

Other funds are unrestricted and can be used at the discretion of the Trustees in furtherance of the Trust's objects. It is the policy of the Trustees to designate certain funds for particular purposes as agreed from time to time and details of the purpose and use of those designated funds can be found in note 21 to the financial statements.

The Synod seeks to recognise the needs of both the present generation and future generations within the Church by retaining those one-off capital receipts to which it from time to time becomes entitled under the provision of the URC Acts. It is the present policy that, normally, only the income on these reserves is expended upon charitable purposes but an exception is made in relation to money going into the Pioneer Fund or a small mission support budget.

The remaining general unrestricted funds are required to cover the support costs and grants awarded. The Synod Finance Policy specifies that, typically, sufficient cash should be held on short or medium term deposits to cover at least one full year's anticipated revenue expenditure and also allow for the capital purchase of a manse or similar building - though the exercise of discretion is permitted in deciding how much cash it would be advisable to hold at any particular time.

At the year-end general unrestricted funds amounted to £1,202,715 (2021: £965,379, excluding designated amounts. The Trustees are satisfied this is sufficient to meet day to day objectives.

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THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

STRATEGIC REPORT

Financial and risk management objectives and policies

The Trustees are responsible for the management of the risks faced by the charity. Risks are identified, assessed and controls established throughout the year. A formal review of the charity's risks was undertaken in 2023, and reported to the Trust Directors. The main change is the risk that there may be a very large shortfall on pensions.

The most serious risk facing the charity would be the Synod failing to achieve its strategic and charitable objectives, either through resources being put into programmes which do not meet those objectives or through failure of Trustees and other Committees to consider the charity's objectives when making decisions.

To manage and mitigate this risk, the Trustees consider the 'Aims and Objectives' section of their annual report each year to ensure this remains appropriate and, in so doing, are reminded of the objectives which they must constantly keep in mind.

Another principal risk is business interruption: either through absent personnel or a disaster causing restricted or no access to the Synod office. A Business Continuity Plan was approved by Synod Trust Directors in the spring of 2013 and reviewed and updated in November 2015.

Among the key risk controls used by the charity are:

Through the risk management process established for the charity, the Trustees are satisfied that the major risks identified have been adequately mitigated where necessary. It is recognised that systems can only provide reasonable but not absolute assurance that major risks have been adequately managed.

Future plans

In 2023, the Synod will continue to strengthen missional discipleship establishing Mission Partnerships and exploring the Grove resource 'Leading a Whole-life Disciple-making Church' and will provide a range of resources for local churches to grow more committed in their faith and more able to reach out to help others discover their need for God.

The Mission & Discipleship Committee will continue to have a prominent role to play in enthusing congregations and facilitating the provision of resources. Efforts to reach out to children and young people within the Synod will be pursued and we hope to make progress in building greater awareness of, and commitment to, the World Church as well as promoting justice, peace and the integrity of creation. And, together with the Resources Committee, it will take forward the work required to develop as an Eco Synod and for local congregations to develop as Eco Churches.

The Pastoral Committee will continue to support the pastoral work of the Moderator as appropriate and reviewing the Synod's deployment strategy. It will also continue to oversee the process of declaring and filling vacancies, identifying and training candidates for ministry (both ordained and lay) and for promoting health and healing.

The Resources Committee will continue to act in conjunction with and on behalf of the Synod Trustees in administering its various grant awarding processes and safeguarding the Synod's finances and investments. It will also participate in the review of the denomination's pension schemes, recognising that all Synods have a part to play in ensuring the schemes meet the requirements of the Pensions Regulator. And it will oversee a review of the level of contributions sought from churches to the national Ministry and Mission Fund.

Page 7

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES

FOR THE YEAR ENDED 31 DECEMBER 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

The United Reformed Church (Eastern Province) Trust ("the Trust") is a company limited by guarantee formed on 20 March 2007 and is a registered charity, number 248796. It is governed by its Memorandum and Articles of Association as revised in 2008. All of the financial assets and liabilities of the Eastern Synod of the United Reformed Church ("Synod") are shown in the Trust's Financial Statements.

However, while the Trust holds the assets and liabilities of Synod, it is the Synod which is the decision making body, except in relation to matters relating exclusively to the business of the Trust for which the Trust Directors are responsible. The Trust is corporate Trustee for most land and buildings utilised by local URC Churches.

The Finance Officer and the Resources Officer attend Trustee meetings but are not themselves Trustees.

Constitution of the Synod

Eastern Synod is one of thirteen Synods of the United Reformed Church ('URC') within the United Kingdom. It is constituted in accordance with the Scheme of Union and the United Reformed Church Acts of 1972, 1981 and 2000 (see www.urc.org.uk). It has oversight of the URC in the East of England, covering Norfolk, Suffolk, most of Essex, most of Cambridgeshire and part of Hertfordshire.

In accordance with 'the Structure of the United Reformed Church' it is responsible for:-

The Eastern Synod, which is made up of ministers and lay representatives of each local church together with Synod officers, meets to transact business routinely twice a year but has delegated various powers to a number of committees as well as the Trust. The following committees are responsible for specific elements in the life of the Synod:-

Recruitment and appointment of new trustees

The Trustees nominate members to serve as Trustees of the Trust and Synod meeting ratifies the appointments.

There is an informal programme for the induction of Trustees.

Organisational Structure

Day-to-day financial and property activities are dealt with by the Finance Officer and Resources Officer. In accordance with the URC Acts, many decisions need a Church Meeting resolution, a Synod approval (at present Synod has delegated its power of approval to Resources Committee) and a decision by the Trust Directors before actions can be taken by, or on behalf of, the Trust as Trustee.

Page 8

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

STRUCTURE, GOVERNANCE AND MANAGEMENT

Related parties

During 2010 a subsidiary company - United Reformed Church (Eastern Province) Design & Build Limited - was established. This company has remained dormant throughout the year.

There have been no significant related party transactions between the Trust and any of its Trustees or Synod officials during the year.

Use of Volunteers

Most Ministers of Word and Sacrament receive a stipend directly from the Finance Office of the United Reformed Church in London. The URC Trust (acting at denominational level) is a separate charity, again not under common control. The Clerk, Finance Officer, Resources Officer, Moderator's PA, Administrator,Mission & Training Officer, Children's & Youth Development Officer, and Safeguarding Officer are paid by the Synod. Other than that, all members of Synod Committees and other supporting and enabling Synod activities are volunteers, almost all being members of their local URC or Local Ecumenical Partnership.

Key Management Personnel

The key management group within the Synod structure is made up of the Synod Moderator, the Synod Clerk and the Synod Treasurer. The first of these receives a stipend from the denomination centrally at the same rate as all stipendiary Ministers of Word and Sacrament serving the denomination. The Synod Clerk role moved from a voluntary to a paid post funded by the Synod in 2022. The Treasurer is entitled to claim a small honorarium.

STATEMENT OF TRUSTEES' RESPONSIBILITIES

The trustees (who are also the directors of The United Reformed Church (Eastern Province) Trust for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to

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

In so far as the trustees are aware:

Page 9

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 DECEMBER 2022

AUDITORS

The auditors, Annatrice Limited, will be proposed for re-appointment at the forthcoming meeting of the Synod Council.

Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on ............................................. and signed on the board's behalf by: 29/09/2023

gheathcote gheathcote (Sep 29, 2023 15:41 GMT+1) ........................................................................ Mr G Heathcote - Trustee

Page 10

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

Opinion

We have audited the financial statements of The United Reformed Church (Eastern Province) Trust (the 'charitable company') for the year ended 31 December 2022 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In our opinion the financial statements:

Basis for opinion

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

Conclusions relating to going concern

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

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

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

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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

Opinions on other matters prescribed by the Companies Act 2006

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

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

Matters on which we are required to report by exception

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

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

Responsibilities of trustees

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

In preparing the financial statements, the trustees are responsible for assessing the charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Our audit procedures included analytical techniques, third party confirmation of balances and verification of transactions on a sample basis to provide sufficient appropriate evidence that the accounts show a true and fair view and are free from material irregularities including fraud, error and non-compliance with applicable laws and regulations. In designing these procedures and in particular we considered the risk of fraud over completeness and presentation of income, occurrence and presentation of expenditure, valuation and existence of assets and completeness of liabilities.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

Use of our report

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

Mr Anthony James Brice FCCA (Senior Statutory Auditor) for and on behalf of Annatrice Limited Statutory Auditor 10 The Thoroughfare Harleston Norfolk IP20 9AX 29/09/2023 Date: .............................................

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THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022

Notes
INCOME AND ENDOWMENTS FROM
Donations and legacies
2
Charitable activities
4
Ministry & Mission
Property
Investment income
3
Other income
5
Total
EXPENDITURE ON
Raising funds
6
Charitable activities
7
Ministry & Mission
Training
Property
General
Total
Net gains/(losses) on investments
NET INCOME/(EXPENDITURE)
RECONCILIATION OF FUNDS
Total funds brought forward
TOTAL FUNDS CARRIED FORWARD		 Unrestricted
funds
£
5,749
1,417
160,863
292,955
652,137
1,113,121
117,811
787,905
135,884
552,514
-
1,594,114
(805,185)
(1,286,178 )
14,086,288
12,800,110		 Restricted
funds
£
-
-
78,487
66,094
-
144,581
39,851
-
-
-
-
39,851
(87,897)
16,833
8,758,996
8,775,829		 2022
Total
funds
£
5,749
1,417
239,350
359,049
652,137
1,257,702
157,662
787,905
135,884
552,514
-
1,633,965
(893,082)
(1,269,345 )
22,845,284
21,575,939		 2021
Total
funds
as restated
£
112,582
1,501
232,347
392,854
2,252,834
2,992,118
184,350
4,341,015
158,294
266,395
-
4,950,054
1,999,523
41,587
22,803,697
22,845,284

The notes form part of these financial statements

Page 14

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

BALANCE SHEET 31 DECEMBER 2022

Notes
FIXED ASSETS
Tangible assets
16
Investments
Investments
17
Investment property
18
Social investments
19
CURRENT ASSETS
Debtors
20
Cash at bank
CREDITORS
Amounts falling due within one year
21
NET CURRENT ASSETS
TOTAL ASSETS LESS CURRENT
LIABILITIES
CREDITORS
Amounts falling due after more than one year
22
NET ASSETS
FUNDS
24
Unrestricted funds
Restricted funds
TOTAL FUNDS		 Unrestricted
funds
£
889,322
8,587,220
2,156,000
360,300
11,992,842
285,740
3,480,210
3,765,950
(2,813,104 )
952,846
12,945,688
(145,578)
12,800,110		 Restricted
funds
£
6,128,401
1,805,723
-
396,681
8,330,805
20,123
429,279
449,402
(4,378)
445,024
8,775,829
-
8,775,829		 2022
Total
funds
£
7,017,723
10,392,943
2,156,000
756,981
20,323,647
305,863
3,909,489
4,215,352
(2,817,482 )
1,397,870
21,721,517
(145,578)
21,575,939
12,800,110
8,775,829
21,575,939		 2021
Total
funds
as restated
£
7,019,849
11,625,556
2,019,000
755,765
21,420,170
89,317
3,454,759
3,544,076
(1,978,533 )
1,565,543
22,985,713
(140,429)
22,845,284
14,086,288
8,758,996
22,845,284

The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by: 29/09/2023

gheathcote

gheathcote (Sep 29, 2023 15:41 GMT+1)

............................................. Mr G Heathcote - Trustee

The notes form part of these financial statements

Page 15

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2022

Notes
Cash flows from operating activities
Cash generated from operations
1
Net cash provided by/(used in) operating activities
Cash flows from investing activities
Purchase of tangible fixed assets
Purchase of fixed asset investments
Sale of tangible fixed assets
Sale of fixed asset investments
Repayment of programme related loans
Interest received
Net cash provided by investing activities
Change in cash and cash equivalents in
the reporting period
Cash and cash equivalents at the
beginning of the reporting period
Cash and cash equivalents at the end of
the reporting period		 2022
£
330,117
330,117
(5,679)
(593,997)
-
338,177
361,047
25,065
124,613
454,730
3,454,759
3,909,489		 2021
as restated
£
(3,985,010 )
(3,985,010 )
(26,365)
(149,000)
65,142
1,575,563
63,880
24,577
1,553,797
(2,431,213 )
5,885,972
3,454,759

The notes form part of these financial statements

Page 16

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2022

1. RECONCILIATION OF NET (EXPENDITURE)/INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

OPERATING ACTIVITIES
Net (expenditure)/income for the reporting period (as per the
Statement of Financial Activities)
Adjustments for:
Depreciation charges
Losses/(gain) on investments
Profit on disposal of fixed assets
Interest received
Loan Interest
Loans written off
Donated Assets
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Net cash provided by/(used in) operations		 2022
£
(1,269,345 )
7,806
893,082
-
(25,065)
(1,417)
97,504
-
(216,546)
844,098
330,117		 2021
as restated
£
41,587
6,538
(1,999,523 )
(1,584)
(24,577)
(1,501)
-
(1,003,000 )
581,588
(1,584,538 )
(3,985,010 )

2. ANALYSIS OF CHANGES IN NET FUNDS

Net cash
Cash at bank
Total		 At 1/1/22
£
3,454,759
3,454,759
3,454,759		 Cash flow
£
454,730
454,730
454,730		 At 31/12/22
£
3,909,489
3,909,489
3,909,489

The notes form part of these financial statements

Page 17

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022

1. ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.

Preparation of consolidated financial statements

The company is the parent undertaking of a small group and as such is not required by the Companies Act 2006 to prepare consolidated financial statements. It has also taken advantage of the exemption under the SORP not to prepare consolidated financial statements on the grounds of materiality. These financial statements present information about the individual company only and not the group.

Income

All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

Fixed asset gifts in kind are recognised when receivable and are included at fair value. They are not deferred over the life of the asset.

The charity receives grants which are recognised at fair value when the charity has entitlement after any performance conditions have been met, it is probable that the income will be received and the amount can be measured reliably. If entitlement is not met then these amounts are deferred.

Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends, interest and rent. Where it is not practicable to identify investment management costs incurred within a scheme with reasonable accuracy the investment income is reported net of these costs. It is included when the amount can be measured reliably. Interest income is recognised using the effective interest method and dividend and rent income is recognised as the charity’s right to receive payment is established.

Expenditure

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. It is categorised under the following headings:

Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.

Grants payable to local churches, organisations and individuals are within the charitable objectives. Where unconditional grants are offered, this is accrued as soon as the recipient is notified of the grant, as this gives rise to a reasonable expectation that the recipient will receive the grants. Where grants are conditional relating to performance then the grant is only accrued when any unfulfilled conditions are outside of the control of the charity.

continued...

Page 18

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

1. ACCOUNTING POLICIES - continued

Allocation and apportionment of costs

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include premises costs, office costs, governance costs, and salary costs. They are incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery - Straight line over 5 years Fixtures and fittings - Straight line over 10 years Motor vehicles - Straight line over 5 years Computer equipment - Straight line over 5 years

No amounts under £500 are capitalised. The Trustees conduct an annual impairment review.

Freehold properties includes some burial grounds. Due to the nature of this land, they are included at £Nil value.

Individual church property

The Trust is sole Trustee of the land and buildings of most local URCs but they are not the property of the Synod and are not shown in the financial statements. Sale proceeds from redundant properties or from part thereof which come into Synod funds are treated as unrestricted income from general funds. The income is recognised when the amount can be measured reliably and it is probable that the income will be received.

Social investments

Programme related investments are those held to further our charitable purposes. Programme related investments include investment in a percentage share of properties and bridging or other loans.

Related investments in properties are stated at cost subject to any adjustment arising from impairment which is considered on an annual basis. Gains on disposal of these investments are shown as other income in the SoFA. Investments by way of loans are stated at cost. Interest is charged on the loans at the COIF rate of interest, being the rate of interest the Trust would otherwise have earned.

Investments

Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in the Statement of Financial Activities.

Listed investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value with changes recognised in 'net gains/(losses) on investments' in the SoFA if the shares are publicly traded or their fair value can otherwise be measured reliably.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Description and use of funds

The financial statements show the combined income, expenditure, assets and liabilities of the following funds which are administered for the benefit of the United Reformed Church within the Eastern Synod:-

Synod Administration Fund Church Life and Mission Fund

continued...

Page 19

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

1. ACCOUNTING POLICIES - continued

Description and use of funds

Retired Ministers Housing Fund Retired Ministers Holiday Fund Manse Funds Pioneer Fund Heritage Fund Ten Per Cent Fund

Funds administered on behalf of local churches are not included.

Description and use of funds

Restricted income funds are funds whose use is restricted to specific purposes according to the terms on which the funds were received.

Unrestricted income funds may be spent generally for furthering the Christian and charitable work of the United Reformed Church in the Eastern Province. The main fund in this category is the Church Life & Mission Fund. Certain funds have been allocated by the Resources Committee but the committee retains authority to re-allocate such funds and so they are treated as Designated Funds within Unrestricted Income Funds.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Pension costs and other post-retirement benefits

The charity participates in a defined benefit scheme, The Pensions Trust Defined Benefit Scheme, which is a multi employer scheme where the underlying assets and liabilities are not separately identifiable. In accordance with the SORP, it is accounted for as a defined contribution scheme. Contributions are charged as expenditure as they become payable in accordance with the rules of the scheme.

The charity also operates a defined contribution scheme. Contributions are charged as expenditure as they become payable in accordance with the rules of the scheme.

Going concern

The financial statements have been prepared on a going concern basis. The Trustees have considered relevant information, including the annual budget and forecast future cash flows in making their assessment. The current economic environment has not had a significant impact on the charity’s operations although adaptations have been made to reflect changes in working practices. The Trustees are monitoring the impact on future revenue streams and the impact on our beneficiaries and any support they may require. Based on these assessments and having regard to resources available to the charity, the Trustees have concluded that there is no material uncertainty and the financial statements can continue to be prepared on a going concern basis.

Provisions

Provisions are recognised when the charity has an obligation at the balance sheet date as a result of a past event, it is probable that an outflow of economic benefits will be required in settlement and the amount can be reliably estimated.

Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

Critical accounting estimates and areas of judgement

continued...

Page 20

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

1. ACCOUNTING POLICIES - continued

Going concern

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and judgements relevant to the financial statements are:

Investments - estimate of fair value

Fixed assets - estimate of useful life and estimate of impairment Support costs - allocation to activities

2. DONATIONS AND LEGACIES

Local church contributions
Donations
Grants		 2022
a
£
-
750
4,999
5,749		 2021
s restated
£
104,000
3,082
5,500
112,582

Grants received, included in the above, are as follows:

Other grants
3.
INVESTMENT INCOME
Rents received
Investment income
Deposit account interest		 2022
a
£
4,999
2022
a
£
-
333,984
25,065
359,049		 2021
s restated
£
5,500
2021
s restated
£
15,541
352,736
24,577
392,854

continued...

Page 21

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

4. INCOME FROM CHARITABLE ACTIVITIES

Activity
Loan interest
Ministry & Mission
Rental
Property
OTHER INCOME
Other income
Sale of church properties and transfers of church's funds		 2022
£
1,417
239,350
240,767
2022
£
65
652,072
652,137		 2021
as restated
£
1,501
232,347
233,848
2021
as restated
£
66,254
2,186,580		 2021
s restated
£
1,501
232,347
233,848
2,252,834

5. OTHER INCOME

6. RAISING FUNDS

Raising donations and legacies

Legal & Professional costs
Synod manse scheme
Leasing of premises
Investment manager charges
Share of support costs		 2022
a
£
22,508
42,495
15,948
1,403
75,308
157,662		 2021
s restated
£
5,208
102,593
18,276
1,465
56,808
184,350

7. CHARITABLE ACTIVITIES COSTS

Ministry & Mission
Training
Property		 Direct
Costs
£
49,598
110,781
-
160,379		 Grant
funding of
activities
(see note
8)
£
713,204
-
427,002
1,140,206		 Support
costs (see
note 9)
£
25,103
25,103
125,512
175,718		 Totals
£
787,905
135,884
552,514
1,476,303

continued...

Page 22

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

8. GRANTS PAYABLE

Ministry & Mission
Training
Property
9.
SUPPORT COSTS
Ministry & Mission
Training
Property		 2022
£
713,204
-
427,002
1,140,206		 2021
as restated
£
575,025
13,377
171,101
759,503
Management
£
25,103
25,103
125,512
175,718
10. NET INCOME/(EXPENDITURE)
Net income/(expenditure) is stated after charging/(crediting):
2022 2021
as restated
£ £
Depreciation - owned assets 7,805 6,538

11. TRUSTEES' REMUNERATION AND BENEFITS

There were no trustees' remuneration or other benefits for the year ended 31 December 2022 nor for the year ended 31 December 2021.

Trustees' expenses

Reimbursed expenses were paid to three Trustees of the Synod in aggregate of £1,096 (2021: £2,077). Synod recognises an honoraria of £1,500 (2021: £1,500) for the Treasurer in respect of their role within the Synod. During the year the charity acquired services of £11,386 (2021: £8,012) from Lewis Patten Chartered Architects, a company in which Mr C Patten is a director and owner. No other remuneration or expenses were paid to the Trustees or members of the Resources Committee, other than the reimbursement of travel expenses.

continued...

Page 23

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

12. STAFF COSTS

Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Synod Administration
No employees received emoluments in excess of £60,000.
13.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
funds
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
112,582
Charitable activities
Ministry & Mission
1,501
Property
167,304
Investment income
329,505
Other income
2,249,874
Total
2,860,766
EXPENDITURE ON
Raising funds
81,097
Charitable activities
Ministry & Mission
4,341,015
Training
158,294
Property
266,395
General
-
Total
4,846,801
Net gains on investments
1,649,583
NET INCOME/(EXPENDITURE)
(336,452)		 Wages and salaries
Social security costs
Other pension costs
The average monthly number of employees during the year was as follows:
Synod Administration
No employees received emoluments in excess of £60,000.
13.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
Unrestricted
funds
£
INCOME AND ENDOWMENTS FROM
Donations and legacies
112,582
Charitable activities
Ministry & Mission
1,501
Property
167,304
Investment income
329,505
Other income
2,249,874
Total
2,860,766
EXPENDITURE ON
Raising funds
81,097
Charitable activities
Ministry & Mission
4,341,015
Training
158,294
Property
266,395
General
-
Total
4,846,801
Net gains on investments
1,649,583
NET INCOME/(EXPENDITURE)
(336,452)		 2022
£
238,406
26,005
40,575
304,986
2022
8
Restricted
funds
£
-
-
65,043
63,349
2,960
131,352
103,253
-
-
-
-
103,253
349,940
378,039		 a
a
 s
2,992,118
184,350
4,341,015
158,294
266,395
-
4,950,054
1,999,523
41,587

continued...

Page 24

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

13.
COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued
Unrestricted
Restricted
funds
funds
£
£
RECONCILIATION OF FUNDS
Total funds brought forward
As previously reported
13,766,740
8,171,312
Prior year adjustment
656,000
209,645
As restated
14,422,740
8,380,957
TOTAL FUNDS CARRIED FORWARD
14,086,288
8,758,996		 Total
funds
as restated
£
21,938,052
865,645
22,803,697
22,845,284

14. PRIOR YEAR ADJUSTMENT

The Trustees have reviewed the presentation of the financial statements and have made significant adjustments to the way they are shown compared to the previous year. In the Trustees' opinion this presentation is more appropriate for the Trust and the other users of these accounts going forward. The comparatives have been restated accordingly, however, the amendments to the prior year has no impact on the balances brought forward.

15. NET GAINS/(LOSSES) ON INVESTMENTS

The Trust had losses arising from the revaluation of listed investments £1,488,433 (2021: gain £1,640,970) and gains on Social Investments property of £458,352 (2021: £nil) and Investment properties of £137,000 (2021: gain 358,553). The loss from the revaluation of listed investments includes losses of £87,897 (2021: loss £389,608) of restricted funds.

Page 25

continued...

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

16. TANGIBLE FIXED ASSETS

COST
At 1 January 2022
Additions
Disposals
At 31 December 2022
DEPRECIATION
At 1 January 2022
Charge for year
Eliminated on disposal
At 31 December 2022
NET BOOK VALUE
At 31 December 2022
At 31 December 2021
COST
At 1 January 2022
Additions
Disposals
At 31 December 2022
DEPRECIATION
At 1 January 2022
Charge for year
Eliminated on disposal
At 31 December 2022
NET BOOK VALUE
At 31 December 2022
At 31 December 2021		 Freehold
property
£
6,985,670
-
-
6,985,670
-
-
-
-
6,985,670
6,985,670
Motor
vehicles
£
20,045
-
-
20,045
1,003
4,008
-
5,011
15,034
19,042		 Plant and
machinery
£
4,542
3,732
(1,927)
6,347
3,983
526
(1,927)
2,582
3,765
559
Computer
equipment
£
21,931
1,947
(4,103)
19,775
15,195
2,146
(4,103)
13,238
6,537
6,736		 Fixtures
and
fittings
£
17,758
-
-
17,758
9,916
1,125
-
11,041
6,717
7,842
Totals
£
7,049,946
5,679
(6,030)
7,049,595
30,097
7,805
(6,030)
31,872
7,017,723
7,019,849

At the year end the Synod Manse Scheme had beneficial ownership of 22 properties valued at approximately £7.8 million registered in the name of URC (Eastern Province) Trust. Of this, 17 properties totalling £6.5 million are included within tangible and investment properties.

Page 26

continued...

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

17. FIXED ASSET INVESTMENTS

MARKET VALUE
At 1 January 2022
Additions at cost
Disposal proceeds
Revaluations
At 31 December 2022
NET BOOK VALUE
At 31 December 2022
At 31 December 2021
There were no investment assets outside the UK.
Cost or valuation at 31 December 2022 is represented by:
Valuation in 2022		 Listed
investments
£
11,625,556
593,997
(338,177)
(1,488,433 )
10,392,943
10,392,943
11,625,556
Listed
investments
£
10,392,943

If the investments had not been revalued they would have been included at the following historical cost:

2022 2021
as restated
£ £
Cost 7,888,224 7,575,241

Fixed asset investments were valued on an open market basis on 31 December 2022 by CCLA and Epworth.

The company's investments at the balance sheet date in the share capital of companies include the following:

Subsidiary

The United Reformed Church (Eastern Province) Design & Build Limited

Registered office: Eastern Synod Office, 36 Duxford Road, Whittlesford, CB22 4ND. Nature of business: Dormant

Nature of business: Dormant
%
Class of share: holding
Ordinary 100
2022 2021
£ £
Aggregate capital and reserves 1 1

continued...

Page 27

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

17. FIXED ASSET INVESTMENTS - continued

Associated company

Lewis Gibson Limited

Registered office: Downing Place, United Reformed Church, Downing Street, Cambridge, CB2 3EL. Nature of business: Letting of property

Nature of business: Letting of property
%
Class of share: holding
Ordinary 33
2022 2021
£ £
Aggregate capital and reserves (180,609) (180,640)
Profit for the year 31 84

The Investments are invested within a number of Charity Investment Funds managed by CCLA and Epworth.

18. INVESTMENT PROPERTY

FAIR VALUE
At 1 January 2022
Revaluation
At 31 December 2022
NET BOOK VALUE
At 31 December 2022
At 31 December 2021
Fair value at 31 December 2022 is represented by:
Valuation in 2021		 £
2,019,000
137,000
2,156,000
2,156,000
2,019,000
£
358,553

If the properties had not been revalued it would have been included at the following historical cost:

2022 2021
as restated
£ £
Cost 1,660,447 1,660,447

continued...

Page 28

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

19. SOCIAL INVESTMENTS

Programme related investments

MARKET VALUE
At 1 January 2022
Repayments in year
Other movements
Revaluations
At 31 December 2022
NET BOOK VALUE
At 31 December 2022
At 31 December 2021		 Loans
£
458,210
(361,047)
(96,089)
-
1,074
1,074
458,210		 Other
investments
£
297,555
-
-
458,352
755,907
755,907
297,555		 Totals
£
755,765
(361,047)
(96,089)
458,352
756,981
756,981
755,765

Loans are subject to the Epworth rate of interest that would otherwise have been received.

The Synod has no contingent liability arising from any undertaking to guarantee the repayment of loans made by the General Assembly of the URC to congregations in the Synod.

In relation to the residential properties, no interest is charged on the initial value of the investment. A proportion of the costs of repair are met by the Trust during the period of investment but the benefit should arise on disposal of the properties when the Trust receives a proportion of the proceeds relating to the investment proportion of the original cost.

Cost or valuation at 31 December 2022 is represented by:

Programme related investments

Other
investments
£
Valuation in 2022 755,907

If the residential properties had not been revalued they would have been included at the following historical cost:

2022 2021
as restated
£ £
Cost 297,555 297,555

Social Investments were valued on an open market basis on 31 December 2022 by The trustees.

continued...

Page 29

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

20. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022
£
Other debtors
280,483
Prepayments
25,380
305,863
21.
CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2022
£
Grants approved
541,290
Social security and other taxes
5,075
Other creditors
2,088,919
M&M Reserve fund
166,951
Accrued expenses
15,247
2,817,482
22.
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2022
£
Grants approved
141,883
Other creditors
3,695
145,578		 2021
as restated
£
87,970
1,347
89,317
2021
as restated
£
330,964
4,430
1,446,980
127,775
68,384
1,978,533
2021
as restated
£
49,991
90,438
140,429
a

23. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

Within one year
Between one and five years
In more than five years		 2022
as
£
-
2,404
-
2,404		 2021
restated
£
2,517
629
12,240
15,386

The office used by the the company is situated on land that is registered in the name of The United Reformed Church (Eastern Province) Trust and held on statutory trust in favour of Whittlesford United Reformed Church. The agreement has lapsed however the trust continues to pay a sum of £1,183 per month for the use of the building and this is included in the figures above.

continued...

Page 30

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

24. MOVEMENT IN FUNDS

MOVEMENT IN FUNDS
Unrestricted funds
General fund
Church Life & Mission fund
Manse fund
Herritage fund
Pioneer fund
10% Property sale
Restricted funds
Church Life & Mission fund
Ret'd Ministers Housing fund
Ret'd Ministers Holiday fund
Manse fund
TOTAL FUNDS
Net movement in funds, included in the above a		 At 1/1/22
£
965,379
9,245,059
744,395
1,691,350
1,440,105
-
14,086,288
1,371,950
1,053,012
12,573
6,321,461
8,758,996
22,845,284
re as follows:		 Net
movement
in funds
£
(325,062)
(1,154,759 )
942
26,610
(55,480)
221,571
(1,286,178 )
(96,352)
116,663
(806)
(2,672)
16,833
(1,269,345 )		 Transfers
between
funds
£
562,398
(71,790)
(490,608)
-
-
-
-
-
-
-
-
-
-		 At
31/12/22
£
1,202,715
8,018,510
254,729
1,717,960
1,384,625
221,571
12,800,110
1,275,598
1,169,675
11,767
6,318,789
8,775,829
21,575,939
Unrestricted funds
General fund
Church Life & Mission fund
Manse fund
Herritage fund
Pioneer fund
10% Property sale
Restricted funds
Church Life & Mission fund
Ret'd Ministers Housing fund
Ret'd Ministers Holiday fund
Manse fund
TOTAL FUNDS		 Incoming
resources
£
41,676
545,583
942
292,937
10,412
221,571
1,113,121
30,243
18,897
264
95,177
144,581
1,257,702		 Resources
expended
£
(198,742)
(1,176,622 )
-
(174,033)
(44,717)
-
(1,594,114 )
-
(1,554)
(3)
(38,294)
(39,851)
(1,633,965 )		 Gains and
losses
£
(167,996)
(523,720)
-
(92,294)
(21,175)
-
(805,185)
(126,595)
99,320
(1,067)
(59,555)
(87,897)
(893,082)		 Movement
in funds
£
(325,062)
(1,154,759 )
942
26,610
(55,480)
221,571
(1,286,178 )
(96,352)
116,663
(806)
(2,672)
16,833
(1,269,345 )

continued...

Page 31

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

24. MOVEMENT IN FUNDS - continued

Comparatives for movement in funds

Unrestricted funds
General fund
Church Life & Mission
fund
Manse fund
Herritage fund
Pioneer fund
Restricted funds
Church Life & Mission
fund
Ret'd Ministers Housing
fund
Ret'd Ministers Holiday
fund
Manse fund
TOTAL FUNDS		 At 1/1/21
£
1,365,320
10,136,614
443,395
742,777
1,078,634
13,766,740
1,131,613
953,445
11,216
6,075,038
8,171,312
21,938,052		 Prior
year
adjustment
£
-
-
301,000
-
355,000
656,000
-
-
-
209,645
209,645
865,645		 Net
movement
in funds
£
(419,940)
(871,556)
-
948,573
6,471
(336,452)
240,337
99,567
1,357
36,778
378,039
41,587		 Transfers
between
funds
£
20,000
(20,000)
-
-
-
-
-
-
-
-
-
-		 At
31/12/21
£
965,380
9,245,058
744,395
1,691,350
1,440,105
14,086,288
1,371,950
1,053,012
12,573
6,321,461
8,758,996
22,845,284

Comparative net movement in funds, included in the above are as follows:

Unrestricted funds
General fund
Church Life & Mission fund
Herritage fund
Pioneer fund
Restricted funds
Church Life & Mission fund
Ret'd Ministers Housing fund
Ret'd Ministers Holiday fund
Manse fund
TOTAL FUNDS		 Incoming
resources
£
148,301
1,589,772
1,113,455
9,238
2,860,766
30,555
18,849
262
81,686
131,352
2,992,118		 Resources
expended
£
(178,633)
(4,371,202 )
(254,806)
(42,160)
(4,846,801 )
-
(11)
(3)
(103,239)
(103,253)
(4,950,054 )		 Gains and
losses
£
(389,608)
1,909,874
89,924
39,393
1,649,583
209,782
80,729
1,098
58,331
349,940
1,999,523		 Movement
in funds
£
(419,940)
(871,556)
948,573
6,471
(336,452)
240,337
99,567
1,357
36,778
378,039
41,587

continued...

Page 32

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

24. MOVEMENT IN FUNDS - continued

Church Life & Mission Funds

This fund has been created from the asset apportionment of former Trustee bodies and the sale of proceeds of redundant churches. Income only is used for grants and training support but the capital can be loaned to churches in accordance with the Synod Finance Policy.

Synod Manse Funds

In October 2005 the Synod Manse Policy was endorsed. A number of property sales were recognised and set aside as initial funding. The fund is designed to allow churches to release their interest in a property to the Synod’s control thereby allowing Synod to position manses where they are required and to ensure that the houses within the manse scheme are kept in a good state of repair.

Retired Ministers’ Housing Fund

The fund is available to help in housing ministers in retirement.

Retired Ministers’ Holiday Fund

The fund was established from the sale proceeds of the Synod caravan and is used to benefit ministers

Heritage Fund

The fund has been set up specifically to support those churches who have the responsibility of maintaining buildings which are listed on the National Register. Grants of up to 50% of the cost will be awarded up to a maximum of £25,000 providing churches can demonstrate that they have regularly maintained their properties up to a reasonable standard. The money to support such grants comes from part of the proceeds of sales of redundant Listed buildings.

Pioneer Fund

The Pioneer Fund was approved by Synod in October 2008 with the sole purpose to support churches envisioned with a pioneer project costing in excess of £250,000. In March 2013, Synod meeting amended the normal minimum project cost to £100,000. The money in this fund comes from part of the proceeds of sales of redundant buildings which are not Listed.

The Pioneer Love's Farm Fund is a sub-fund of the work of the Pioneer Fund set aside to support a five year project in the St Neots area.

25. EMPLOYEE BENEFIT OBLIGATIONS

The Trust contributed £12,154 (2021: £13,208) to The United Reformed Church Final Salary Scheme, a pension scheme principally for lay staff which is administered by TPT Retirement Solutions Trust (formerly The Pensions Trust). The scheme is a defined benefit scheme but the Trust is unable to identify its share of the underlying assets and liabilities - each member in the scheme pays a common contribution rate - and accordingly it has accounted for its contributions as if it were a defined contribution scheme

. The most recent formal actuarial review of the scheme was at 30 September 2019, when the scheme had a surplus of £2,689,000. The assumptions underlying that valuation include:

The employer contribution rate is 26%.

continued...

Page 33

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 DECEMBER 2022

25. EMPLOYEE BENEFIT OBLIGATIONS - continued Defined contribution scheme

A defined contribution scheme has also been opened for more recently appointed staff. Contributions for the year to this scheme were £28,422 (2021: £27,983).

26. CONTINGENT LIABILITIES

The Trust has a mortgage charge over freehold land which is held in trust under the URC Acts and therefore does not appear in the balance sheet of the Trust. The loan was advanced to Lewis Gibson Limited, a company in which the Trust holds one third of the share capital, in connection with construction on the land. Loan repayments are made by Lewis Gibson Limited and there is a charge in place between the lender and Lewis Gibson Limited. In the event that Lewis Gibson Limited were to default on the loan and its security was insufficient then the Trust security could be called upon. The balance outstanding on the loan in the financial statements of Lewis Gibson Limited at 31 December 2022 was £321,541 (2021: £373,626).

27. RELATED PARTY DISCLOSURES

There were no related party transactions for the year ended 31 December 2022.

28. CONTINGENT ASSETS

At the year end, the property of five churches are held on Statutory Trusts in accordance with the United Reformed Church Acts of 1972, 1981 and 2000 by the Company following church closures. The proceeds of sale will revert to the Trust on sale in accordance with the Statutory Trusts on which the properties are held.

Page 34

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022

INCOME AND ENDOWMENTS
Donations and legacies
Local church contributions
Donations
Grants
Investment income
Rents received
Investment income
Deposit account interest
Charitable activities
Rental
Loan interest
Other income
Other income
Sale of church properties and transfers of
church's funds
Total incoming resources
EXPENDITURE
Raising donations and legacies
Legal & Professional costs
Synod manse scheme
Leasing of premises
Investment manager charges
Share of support costs
Charitable activities
Wages
Carried forward		 2022
£
-
750
4,999
5,749
-
333,984
25,065
359,049
239,350
1,417
240,767
65
652,072
652,137
1,257,702
22,508
42,495
15,948
1,403
75,308
157,662
115,967
115,967		 2021
as restated
£
104,000
3,082
5,500
112,582
15,541
352,736
24,577
392,854
232,347
1,501
233,848
66,254
2,186,580
2,252,834
2,992,118
5,208
102,593
18,276
1,465
56,808
184,350
149,163
149,163

This page does not form part of the statutory financial statements

Page 35

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022

Charitable activities
Brought forward
Social security
Pensions
Pension deficit
Sundries
Motor vehicles
Grants to institutions
Grants to individuals
Support costs
Management
Wages
Social security
Pensions
Rates and water
Insurance
Telephone
Postage and stationery
Sundries
Rent
Gas & Electricity
Cleaning
Property repairs
Computer costs
Refreshment & office cons
Staff travel, subs & training
Staff events
Year book & communication
Photocopier costs
Moderator expenses
Synod Council and general asse
Synod treasure and clerk costs
Honoraria
Audit & accountancy
Committee and office holder co
Legal & Professional cost
Bank charges and interest
Support costs allocated to raising funds
Depreciation of tangible and heritage assets
Total resources expended
Net expenditure before gains and losses		 2022
£
115,967
15,325
16,836
-
8,242
4,009
1,140,206
-
1,300,585
122,439
10,680
23,739
223
4,426
2,423
1,926
372
15,212
1,612
1,828
5,287
9,642
221
1,637
-
-
3,452
109
3,196
700
1,500
17,340
2,509
16,575
181
(75,308)
3,797
175,718
1,633,965
(376,263)		 2021
as restated
£
149,163
14,714
22,194
3,676,967
7,106
3,102
757,974
1,529
4,632,749
91,894
7,803
18,996
164
4,305
2,850
2,487
2,629
11,220
1,028
2,469
586
7,133
282
1,365
451
883
3,235
1,974
3,357
1,258
1,500
3,506
2,958
11,994
-
(56,808)
3,436
132,955
4,950,054
(1,957,936 )

This page does not form part of the statutory financial statements

Page 36

THE UNITED REFORMED CHURCH (EASTERN PROVINCE) TRUST

DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2022

Realised recognised gains and losses
Realised gains/(losses) on fixed asset investments
Realised gains/(losses) on investment property
Net (expenditure)/income		 2022
£
(893,082)
-
(1,269,345 )		 2021
as restated
£
1,544,488
455,035
41,587

This page does not form part of the statutory financial statements

Page 37

A11 URC 22 final

Final Audit Report

2023-09-29

Created: 2023-09-29 By: Anthony Brice (anthonyjbrice@gmail.com) Status: Signed Transaction ID: CBJCHBCAABAAHq44gOGwIL5ysLdIDvuCfrZ_bVH-g_7I

"A11 URC 22 final" History

Document created by Anthony Brice (anthonyjbrice@gmail.com)

2023-09-29 - 2:25:59 PM GMT- IP address: 82.132.231.152

Document emailed to gheathcote@hotmail.com for signature

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