**Charity Registration No. 250285**
## **CHURCH ESTATE TRUST**
## **ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 DECEMBER 2022**
**Fawley Judge & Easton Chartered Certified Accountants**
**12 Pavement Pocklington York YO42 2AX**
## **CHURCH ESTATE TRUST**
## **LEGAL AND ADMINISTRATIVE INFORMATION**
|**Trustees**|Rev Caroline Pinchbeck|
|---|---|
||Mr Andrew J Frankland-Barber -|
||Treasurer|
||Mrs Margaret Oakes|
||Mrs Irene Pittaway|
||Mr David Millican - Lay Chair|
||Mr David Rudd|
||Mr Christopher Clubley|
||Mr S J King|
|**Charity number**|250285|
|**Independent examiner**|Fawley Judge & Easton|
||Chartered Certified Accountants|
||12 Pavement|
||Pocklington|
||York|
||YO42 2AX|
## **CHURCH ESTATE TRUST**
## **CONTENTS**
||**Page**|
|---|---|
|Trustees' report|1 - 2|
|Independent examiner's report|3|
|Statement of financial activities|4|
|Balance sheet|5|
|Notes to the financial statements|6 - 13|
## **CHURCH ESTATE TRUST**
## **TRUSTEES' REPORT**
## _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
The trustees present their annual report and financial statements for the year ended 31 December 2022.
The accounts have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the Charities Act 2011 and the Statement of Recommended Practice, "Accounting and Reporting by Charities", issued in March 2005.
## **Objectives and activities**
The charity's objects are the maintenance and repair of the parish church. The policies adopted in furtherance of these objects are the continuing investment in land and property to maximise the funding available for the maintenance and repair of the parish church, there has been no change in these during the year.
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
## **Achievements and performance**
The aim of the Trust is the "maintenance and care of the fabric and ornaments of All Saints Church Market Weighton". In accordance with this aim the Tust made a grant towards the cost of the insurance, gas, churchyard and repairs of £17,094.
## **Financial review**
The charity's restricted income was £38,163 for the period with governance and support costs of £18,939 and a grant made to All Saints Church of £17,094 This resulted in an increase in restricted funds of £2,130 in the year. Given this the trustees are pleased that all other income and expenditure were within budget expectations.
The properties during the year were fully let with the exception of three voids, tow voids relate to the letting of the flat and the other was a minor void in relation to 108 Wictsun Way. The properties continue to be managed day to day by the agents in conjunction with the Secretary and Treasurer.
The Investments have returned a decrease in market value of £22,548 during the year.
The review of the reserve structure has been completed and together with the investment review it has enabled a structure to be implemented that meets the requirements of the Trust in future years.
A review of the property valuations was carried out by the Trustees' together with a valuation carried out by Hornseys Estate Agents. It was determined that the value of the properties had increased by £96,150. It was decided to reflect this uplift this year as it is a material amount.
It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to between three and six month’s expenditure. The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.
The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.
## **Structure, governance and management**
The charity was established by a charitable trust deed on scheme of 19/11/1886 and varying scheme of 27/07/1966.
- 1 -
## **CHURCH ESTATE TRUST**
## **TRUSTEES' REPORT (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
The trustees who served during the year and up to the date of signature of the financial statements were: Rev Caroline Pinchbeck
Mr Andrew J Frankland-Barber - Treasurer Mrs Margaret Oakes Mrs Irene Pittaway Mr David Millican - Lay Chair Mr David Rudd Mr Christopher Clubley Mr S J King
The latter scheme provided for a body of 9 trustees. As vacancies arise efforts are made to recruit suitable individuals who through residence, occupation or employment or otherwise have special knowledge of the benefit area.
Rev Caroline Pinchbeck is the Chair during the year under review, the Treasurer is Mr Andrew Frankland-Barber and the Secretary is Mr David Millican. The Board met 1 time during the year.
As Mr Andrew Frankland-Barber is Treasurer for All Saints Church Market Weighton he is not a signatory to the Trust bank accounts.
There are no related party transactions to report on in the year.
The trustees' report was approved by the Board of Trustees.
Mr Andrew J Frankland-Barber - Treasurer
## **Trustee**
19 July 2023
- 2 -
## **CHURCH ESTATE TRUST**
## **INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF CHURCH ESTATE TRUST**
I report to the trustees on my examination of the financial statements of Church Estate Trust (the charity) for the year ended 31 December 2022.
## **Responsibilities and basis of report**
As the trustees of the charity you are responsible for the preparation of the financial statements in accordance with the requirements of the Charities Act 2011 (the 2011 Act).
I report in respect of my examination of the charity’s financial statements carried out under section 145 of the 2011 Act. In carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Your attention is drawn to the fact that the charity has prepared financial statements in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.
I understand that this has been done in order for financial statements to provide a true and fair view in accordance with Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
- 1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
- 2 the financial statements do not accord with those records; or
- 3 the financial statements do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the financial statements to be reached.
## **Jonathan Leathley Fawley Judge & Easton Chartered Certified Accountants**
12 Pavement Pocklington York YO42 2AX
Dated: 19 July 2023
- 3 -
## **CHURCH ESTATE TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
|||**Restricted**|**Restricted**|
|---|---|---|---|
|||**funds**|**funds**|
|||**2022**|**2021**|
||**Notes**|**£**|**£**|
|**Income from:**||||
|Investments|**3**|38,163|41,958|
|**Expenditure on:**||||
|Charitable activities|**4**|36,033|11,614|
|Net gains/(losses) on investments|**9**|(22,548)|23,636|
|**Net incoming/(outgoing) resources**||(20,418)|53,980|
|**Other recognised gains and losses**||||
|Revaluation of tangible fixed assets||96,150|-|
|**Net movement in funds**||75,732|53,980|
|Fund balances at 1 January 2022||1,726,271|1,672,290|
|**Fund balances at 31 December 2022**||1,802,003|1,726,270|
The statement of financial activities includes all gains and losses recognised in the year.
All income and expenditure derive from continuing activities.
- 4 -
## **CHURCH ESTATE TRUST**
## **BALANCE SHEET**
## _**AS AT 31 DECEMBER 2022**_
|**Notes**
**Fixed assets**
Tangible assets
**10**
Investments
**11**
**Current assets**
Cash at bank and in hand
Net current assets
**Total assets less current liabilities**
**Income funds**
General restricted funds
Revaluation reserve
**12**
Unrestricted funds|**2022**
**£**
**£**
1,480,750
224,588
1,705,338
96,665
96,665
1,802,003
1,705,853
96,150
1,802,003
-
1,802,003|**2021**
**£**
**£**
1,384,600
247,135
1,631,735
94,535
94,535
1,726,270
1,726,270
-
1,726,270
-
1,726,270|**2021**
**£**
**£**
1,384,600
247,135
1,631,735
94,535
94,535
1,726,270
1,726,270
-
1,726,270
-
1,726,270|
|---|---|---|---|
||||1,631,735
94,535|
||||1,726,270|
||||1,726,270
-|
||||1,726,270|
The financial statements were approved by the Trustees on 19 July 2023
Mr Andrew J Frankland-Barber - Treasurer Mr David Millican - Lay Chair **Trustee Trustee**
- 5 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
## **1 Accounting policies**
## **Charity information**
Church Estate Trust is a Charity.
## **1.1 Accounting convention**
The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 and "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)". The charity is a Public Benefit Entity as defined by FRS 102.
The charity has taken advantage of the provisions in the SORP for charities applying FRS 102 Update Bulletin 1 not to prepare a Statement of Cash Flows.
The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, [modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value]. The principal accounting policies adopted are set out below.
## **1.2 Going concern**
At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.
## **1.3 Charitable funds**
Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Endowment funds are subject to specific conditions by donors that the capital must be maintained by the charity.
## **1.4 Income**
Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Legacies are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.
- 6 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
## **1 Accounting policies**
**(Continued)**
## **1.5 Expenditure**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.
Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.
## **1.6 Tangible fixed assets**
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Land and buildings
Impairment review is carried out by the trustees
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
## **1.7 Fixed asset investments**
Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.
## **1.8 Impairment of fixed assets**
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
## **1.9 Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
## _**Basic financial assets**_
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
- 7 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
## **1 Accounting policies**
**(Continued)**
## _**Basic financial liabilities**_
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
## _**Derecognition of financial liabilities**_
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
## **1.10 Employee benefits**
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
## **2 Critical accounting estimates and judgements**
In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
## **3 Investments**
||**Restricted**|Restricted|
|---|---|---|
||**funds**|funds|
||**2022**|2021|
||**£**|£|
|Rental income|38,163|41,958|
- 8 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
## **4 Charitable activities**
||**All Saints**|**All Saints**|
|---|---|---|
||**Church,**|**Church,**|
||**Market**|**Market**|
||**Weighton**|**Weighton**|
||**2022**|**2021**|
||**£**|**£**|
|Grant funding of activities (see note 5)|17,094|3,150|
|Share of support costs (see note 6)|13,208|3,455|
|Share of governance costs (see note 6)|5,731|5,009|
||36,033|11,614|
|**Grants payable**|||
||**All Saints**|All Saints|
||**Church,**|Church,|
||**Market**|Market|
||**Weighton**|Weighton|
||**2022**|2021|
||**£**|£|
|Grants to institutions:|||
|All Saints Church, Market Weighton|17,094|3,150|
## **5 Grants payable**
## -
## **6 Support costs**
|**Support**
**costs**
**Governance**
**costs**
**£**
**£**
Insurance
2,801
-
Repairs and
maintenance
8,308
-
Utilities
2,099
-
Accountancy
-
276
Legal and professional
-
5,455
13,208
5,731
Analysed between
Charitable activities
13,208
5,731|**2022**
**Support**
**costs**
**Governance**
**costs**
**£**
**£**
**£**
2,801
2,568
-
8,308
887
-
2,099
-
-
276
-
270
5,455
-
4,739
18,939
3,455
5,009
18,939
3,455
5,009|**2021**
**£**
2,568
887
-
270
4,739|
|---|---|---|
|||8,464|
|||8,464|
Governance costs includes payments to the auditors of £270 (2021- £270) for audit fees.
- 9 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
## **7 Trustees**
None of the trustees (or any persons connected with them) received any remuneration during the year.
## **8 Employees**
The average monthly number of employees during the year was:
|Total
There were no employees whose annual remuneration was more than £60,000.
**9**
**Net gains/(losses) on investments**
Revaluation of investments
**10**
**Tangible fixed assets**
**Cost**
At 1 January 2022
Revaluation
At 31 December 2022
**Carrying amount**
At 31 December 2022
At 31 December 2021|**2022**
**2021**
**Number**
**Number**
-
-
**Restricted**
Restricted
**funds**
funds
**2022**
2021
**£**
£
(22,548)
23,636
**Land and buildings**
**£**
1,384,600
96,150
1,480,750
1,480,750
1,384,600|**2021**
**Number**
-|
|---|---|---|
|||Restricted
funds
2021
£
23,636|
|||1,480,750|
|||1,480,750|
|||1,384,600|
## **11 Fixed asset investments**
- 10 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
|**11**|**Fixed asset investments**|**(Continued)**|
|---|---|---|
|||**Unlisted**|
|||**investments**|
|||**£**|
||**Cost or valuation**||
||At 1 January 2022|247,135|
||Valuation changes|(22,547)|
||At 31 December 2022|224,588|
||**Carrying amount**||
||At 31 December 2022|224,588|
||At 31 December 2021|247,135|
- 11 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
## **12 Restricted funds**
The income funds of the charity include restricted funds comprising the following unexpended balances of donations and grants held on trust for specific purposes:
|||**Movement in funds**|**Movement in funds**|**Movement in funds**||**Movement in funds**|**Movement in funds**|**Movement in funds**||
|---|---|---|---|---|---|---|---|---|---|
||**Balance at**|**Incoming**|**Resources**|**Revaluations,**|
**Balance at**|**Incoming**|**Resources**|**Revaluations,**|**Balance at**|
|**1**|**January 2021**|**resources**|**expended**|**gains and**|
**1 January 2022**|**resources**|**expended**|**gains and**|**31 December**|
|||||**losses**||||**losses**|**2022**|
||**£**|**£**|**£**|**£**|**£**|**£**|**£**|**£**|**£**|
||1,672,290|41,958|(11,614)|23,636|1,726,271|38,163|(36,033)|73,602|1,802,003|
- 12 -
## **CHURCH ESTATE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)** _**FOR THE YEAR ENDED 31 DECEMBER 2022**_
|**13**
**Analysis of net assets between funds**
**Restricted**
**funds**
**2022**
**£**
Fund balances at 31 December 2022 are represented by:
Tangible assets
1,480,750
Investments
224,588
Current assets/(liabilities)
96,665
1,802,003|Restricted
funds
2021
£
1,384,600
247,135
94,535
1,726,270|
|---|---|
## **14 Related party transactions**
There were no disclosable related party transactions during the year (2021 - none).
- 13 -