Charity Registration No. 250285
CHURCH ESTATE TRUST
ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
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 - 12 |
CHURCH ESTATE TRUST
TRUSTEES' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
The trustees present their annual report and financial statements for the year ended 31 December 2023.
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.
Public benefit
The trustees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake.
Achievements and performance
Significant activities and achievements against objectives
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 £10,060.
Financial review
The charity's restricted income was £43,047 for the period with governance and support costs of £9,366 and a grant made to All Saints Church of £10,060. This resulted in an increase in restricted funds of £23,621 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 increase in market value of £24,659 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.
Reserves policy
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.
Major risks
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.
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CHURCH ESTATE TRUST
TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
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
Recruitment and appointment of trustees
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.
Organisational structure
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.
Relationship with related parties
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
22 May 2024
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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 2023.
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:
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1 accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
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2 the financial statements do not accord with those records; or
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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: 22 May 2024
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CHURCH ESTATE TRUST
STATEMENT OF FINANCIAL ACTIVITIES INCLUDING INCOME AND EXPENDITURE ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2023
| Restricted | Restricted | ||
|---|---|---|---|
| funds | funds | ||
| 2023 | 2022 | ||
| Notes | £ | £ | |
| Income from: | |||
| Investments | 3 | 43,047 | 38,163 |
| Total income | 43,047 | 38,163 | |
| Expenditure on: | |||
| Charitable activities | 4 | 19,426 | 36,033 |
| Total expenditure | 19,426 | 36,033 | |
| Net gains/(losses) on investments | 10 | 24,659 | (22,548) |
| Net income/(expenditure) | 48,280 | (20,418) | |
| Other recognised gains and losses: | |||
| Revaluation of tangible fixed assets | - | 96,150 | |
| Net movement in funds | 7 | 48,280 | 75,732 |
| Reconciliation of funds: | |||
| Fund balances at 1 January 2023 | 1,802,002 | 1,726,271 | |
| Fund balances at 31 December 2023 | 1,850,282 | 1,802,003 |
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
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CHURCH ESTATE TRUST
BALANCE SHEET
AS AT 31 DECEMBER 2023
| Notes Fixed assets Tangible assets 12 Investments 13 Current assets Cash at bank and in hand Creditors: amounts falling due within one year 14 Net current assets Total assets less current liabilities Net assets excluding pension liability The funds of the charity Restricted income funds 15 |
2023 £ £ 1,480,750 249,244 1,729,994 133,201 (12,913) 120,288 1,850,282 1,850,282 1,850,282 1,850,282 |
2022 £ £ 1,480,750 224,588 1,705,338 96,665 - 96,665 1,802,003 1,802,003 1,802,003 1,802,003 |
2022 £ £ 1,480,750 224,588 1,705,338 96,665 - 96,665 1,802,003 1,802,003 1,802,003 1,802,003 |
|---|---|---|---|
| 1,705,338 96,665 |
|||
| 1,802,003 | |||
| 1,802,003 | |||
| 1,802,003 | |||
| 1,802,003 |
The financial statements were approved by the trustees on 22 May 2024
Mr Andrew J Frankland-Barber - Treasurer Trustee
Mr David Millican - Lay Chair Trustee
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023
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 or grantors 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.
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
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.
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
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 Income from investments
| Restricted | Restricted | |
|---|---|---|
| funds | funds | |
| 2023 | 2022 | |
| £ | £ | |
| Rental income | 43,047 | 38,163 |
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
4 Expenditure on charitable activities
| Heading | Heading | ||
|---|---|---|---|
| #ac982 | #ac982 | ||
| 2023 | 2022 | ||
| £ | £ | ||
| Direct costs | |||
| Grant funding of activities (see note 5) | 10,060 | 17,094 | |
| Share of support and governance costs (see note 6) | |||
| Support | 4,273 | 13,208 | |
| Governance | 5,093 | 5,731 | |
| 19,426 | 36,033 | ||
| Analysis by fund | |||
| Restricted funds | 19,426 | 36,033 | |
| 5 | Grants payable | ||
| All Saints | All Saints | ||
| Church, | Church, | ||
| Market | Market | ||
| Weighton | Weighton | ||
| 2023 | 2022 | ||
| £ | £ | ||
| Grants to institutions: | |||
| All Saints Church, Market Weighton | 10,060 | 17,094 | |
| - | |||
| 6 | Support costs allocated to activities | ||
| 2023 | 2022 | ||
| £ | £ | ||
| 3,100 | 2,801 | ||
| 1,173 | 8,308 | ||
| - | 2,099 | ||
| Governance costs | 5,093 | 5,731 | |
| 9,366 | 18,939 | ||
| Analysed between: | |||
| Heading #ac982 | 9,366 | 18,939 |
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
| 7 | Net movement in funds | 2023 | 2022 |
|---|---|---|---|
| £ | £ |
The net movement in funds is stated after charging/(crediting):
8 Trustees
None of the trustees (or any persons connected with them) received any remuneration during the year.
9 Employees
The average monthly number of employees during the year was:
| Total There were no employees whose annual remuneration was more than £60,000. |
2023 Number - |
2022 Number - |
|---|---|---|
Remuneration of key management personnel
The remuneration of key management personnel was as follows:
10 Gains and losses on investments
| Restricted | Restricted | |
|---|---|---|
| funds | funds | |
| 2023 | 2022 | |
| Gains/(losses) arising on: | £ | £ |
| Revaluation of investments | 24,659 | (22,548) |
11 Taxation
The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.
12 Tangible fixed assets
| Tangible fixed assets | |
|---|---|
| Cost At 1 January 2023 At 31 December 2023 Carrying amount At 31 December 2023 At 31 December 2022 |
Land and buildings £ 1,480,750 |
| 1,480,750 | |
| 1,480,750 | |
| 1,480,750 |
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
13 Fixed asset investments
| Unlisted | |||
|---|---|---|---|
| investments | |||
| £ | |||
| Cost or valuation | |||
| At 1 January 2023 | 224,588 | ||
| Valuation changes | 24,659 | ||
| At 31 December 2023 | 249,247 | ||
| Carrying amount | |||
| At 31 December 2023 | 249,247 | ||
| At 31 December 2022 | 224,588 | ||
| 14 | Creditors: amounts falling due within one year | ||
| 2023 | 2022 | ||
| £ | £ | ||
| Other creditors | 12,913 | - |
15 Restricted funds
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
| At Previous year: At |
1 January 2023 Incoming resources Resources expended Gains and losses At 31 December 2023 £ £ £ £ £ - - (12,914) - (12,914) 1,802,002 43,047 (6,512) 24,659 1,863,196 1,802,002 43,047 (19,426) 24,659 1,850,282 1 January 2022 Incoming resources Resources expended Gains and losses At 31 December 2022 £ £ £ £ £ 1,726,271 38,163 (36,033) 73,602 1,802,003 |
|---|---|
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CHURCH ESTATE TRUST
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023
16 Analysis of net assets between funds
| Unrestricted Restricted funds funds 2023 2023 £ £ At 31 December 2023: Tangible assets - 1,480,750 Investments (1) 249,245 Current assets/(liabilities) (12,913) 133,201 (12,914) 1,863,196 Per balance sheet - 1,850,282 Balance to allocate 12,914 (12,914) Unrestricted Restricted funds funds 2022 2022 £ £ At 31 December 2022: Tangible assets - 1,480,750 Investments - 224,588 Current assets/(liabilities) - 96,665 - 1,802,003 |
Total 2023 £ 1,480,750 249,244 120,288 |
|---|---|
| 1,850,282 | |
| 1,850,282 - Total 2022 £ 1,480,750 224,588 96,665 |
|
| 1,802,003 |
17 Related party transactions
There were no disclosable related party transactions during the year (2022 - none).
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