CARLISLE DIOCESAN BOARD OF FINANCE LIMITED FINANCIAL STATEMENTS for the YEAR ENDED 31 DECEMBER 2024 God forAII Company Registration No 39625 Registered Charity No 251977 CARLISLE DIOCESE CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT FOR THE YEAR ENDED 31°, DECEMBER 2024 God forAII The Directors. who are a150 Trustees for the purposes of charity law, present their combined Directors, report, Trustees, report and Strategic report, together with the audited financial statements, for the vear ended 31" December 2024. The report is separated into the following sections- Legal objetts Strategic aim5 Activities Objectives set forthe year Strategic report containing: 5.1. Activities in the year 5.2. Achieveménts and performance 5.3. Financial review 5.4. Plans for future periods Principal ris￿ and uncertainties Structure, governance and management Fund5 held.as custodian trustee for'others Reference and administrative details of the Carlisle Diocesan Board of Finance Icarlisle DBFI Auditors LEGAL OBJE￿5 objectlve The princlpal objective of the Carlisle Diocesan Board of Finance Icarlisle DBFI is to promote and assist the work, objectives and purposes of the Church of England for the advancement of the Christian religlon In the Diocese of Carlisle and elsewhere by acting as the financial executive i)f the Diocese. Carlisle DBF act5 in conjunction with the Church Commissioners, Archbi5hops' Council, Bishop's Council, Diocesan and Deanery Synods and Parochial Church Councils to support the work of the Church of England, particularly in the Diocese of Carlisle. The major part of Carlisle DBF'5 activlty Is to Drganjse and provide funds for the training, housing and stipends of clergy and other ministers within the Diocese of Carlisle and to 5UPPOrt the related activities of the other Boards, Counclls and Committees of the Diocesan Synod. Statutory Functlons Carllsle DBF has responsibility for the management of Elebe property and Investments to generate income to support the cost of stipends. It is the Diocesan Authority for parochlal and other tntsts and incorporates the functions and responsiblllties of the Diocesan Parsonages Board. C3rlisle DBF is Custodian trustee in relation to PCC property {see Section 71. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 continued The Trustees are aware of the Charity Commission's guidance on public benefit in Yhe Advancement of Religion for the Public Benefit" and have had regard to it in their administration of Carlisle DBF. The Trustees believe that, by promoting the work of the Church of England in the Diocese of Carlisle, it helps to promote the whole mission of the Church Ipastoral, evangelistic, social and ecumenicall more effectively, both in the Diocese a5 a whole and In it5 individual parishe5. and that in doing 50 it provides a benefit to the public bv.. providing facilltles for public worship, pastoral care and spiritual, moral and intellectual development, both for its members and for anyone who wishes to benefit from what the Church offers,. and promoting Christian values, and services by members of the Church in and to their communities, to the benefit of individua15 and society as a whole. STRATEGIC AIMS Carli51e DBF'S strategy for achievlng its objectives is to maintsin the sound financial struclure needed to enable it to continue supporting the clergy through the payment of stipends, managing parsonages and other mlnlsterial housing and also by providing other facilitie5 and resources irb SUPPOrt of the ministry of both clergy and lay people in parishes acros5 the Dlocese. Since 2015 (refreshed in 20191 Carlisle DBF ha5 sought to allocate it5 reSoUr￿S in the most effective way to 5UPPOrtthe strategy'God for All" which is shared by Carlisle Diocese and the Cumbrian Methodist, United Reformed and Salvation Army Churches. This is an umbrella term that encapsulates the Church's offer to Everyone in Cumbria of loving service and an opportunity to explore, join and grow in the Christian faith. In term5 of resourcin81 the strategy require5 the DBF to invest in lay and ordained ministry development, includlng pioneer minister5; SUPPOrt the misslon and organisational structure of some 35 Mission Communities across the Diocese- enable the creation of "Fresh Expression5 of Church" such 35 Network Youth Churche5: SUPPOrt Church Schools to be effective and dlstlnctively Christian. and oversee subsidiaries in support of the Misslon of the church. including a Retreat House and Conference Centre at Rydal Hall and local community Resource and Recycling retail centres through "Restore (Cumbrial" as far as may be financially viable. The Trustees have referred to the guidance contained in the Charity Commission'5 general guidance on public benefit in reviewing the charitable company's aims and objectives and in planning future activities. In particular, the Trustees consider the planned activitie5 will contribute tts the aims and objectives they have seL The Trustees confirm that public benefit has been provided by the advancement of its objectives. AcfiviTIES The key activltles may be summarised as-. Mission and minlstry In the local church Ilncludes all clergy and lay training, housing. Stipends and pension costs and support for locally-ba5ed mini5try),' Education funding (includes support services and capital expenditure support for Church of England 5choolsl,' Provision of a Diocesan Retreat House and Conference Centre; Contributions to the Archbishops, Council (mainly by grant) to support the National Church. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 contlnued OBJEcfivES FOR THE YEAR As part of Carli51e DBF'S overall strategy, and subject to Annual Review, the Trustees have Set the following specific objertives for the current and following years.. To resource Diocesan needs, as determined by Diocesan Synod and informed by local and National Church institution5. To maximise the return from Diocesan asset holding5 to support the costs of Diocesan Mission and Ministry, parlicularly in those area5 that cannot fund It themselve5, while retainir$8 the overall pollcy of a balanced budget auoss the period from 2017 to 2027 intlusive. To constrain increases in income needed from parishes in orderlo allow funds to be Spent on mission activity locally. To invest in local ministry including greater emphasis on learnlng and development for lav ministry, everyday-faith and self-supporting ordairied ministers in addition to the stipendiary clergy. STRATEGIC REPORT 5.1. Actlvltles In the year 5.1.1. specific Activities Specific activities during 2024 in support of this Strategy Included: Full reimbursement to the Church Commissloners for the direct payroll costs of stipendiary clergy, together with the DBVS share of the trainlng costs for ordinands and curates. The DBF also funded the provision of housing for all stipendiary and house for duty clergv. Funding the continued growth in outreach and evangelism throughout the Diocese as a key element of God for All (see above). including further support for the creation and growth of Fresh Expressions of Church, innovative digital outreach and other initiative5. Learnlng and thinistry development work to support cler8y and laity, by a combination of Diocesan Staff, our own Northern Mlsslon Centre, and by the 'Emmanuel Theological College" for ordination and reader training. serving Dioceses in North West England. A focus upon embedding Stewardship principles to increase awareness within our Ecumenical Mission Communities of the mutual inter-dependence of them and their Individual Parishes with the Oiocese's ability to provide necessary and appropriate Anglican Ministerial Resource and Support Services, the larger part of which continued to be funded through an efficientlv structured system of "Ministry Offerf,. In the last three years this has resulted in a continuing overall increase in Ministry Offer after many years of decline, and It is to be hoped that thi5 will continue in coming years. Contlnued monitoring by the Investment Sub-committee, reporting to the Finance Committee, of the mix and performance of the Diocese's investment portfollo and its professional advisors, to ensure an appropriately prudent balance of risk and reward generation associated with each class of asset. Preparing for a substantial grant application to the Church Commissioners/Archbishops' Council's 'Diocesart Investment Programme, to support church plantlng and ploneerlng initiatives in the Diocese. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 continued 5.1.2. Grant-maklng (Beneficlary4electionl Pollry Most of the financial sUPPOrt from the DBF goes to fund the costs of clerical ministiy in local churches, along with support se¥vlces to those churches. The level of support reflects the Diocesan responsibility. as the institutional church in Cumbria, to provide for the 'cure of souls, right across the Diocese. Specific grants are made to the National Church to cover a proportlon of its central costs Isee Note 11 to the financial statementsl. Grants are paid to parlshe5 and to retired clergy and to other charitable project5 which appear to the Trustee5 to support the furtherance of Carlisle DBF'S objects (see Note 14 to the finandal statements). Parishes wlthln the Diocese are also able to apply to the D&F for grants towards the costs of mlssion activities and for improvements to Church buildings. 5.1.3. Programme Related Investment5 Loans can be made available to parlshes in the Diocese at a preferential rate of interest, to enable them to undertake projects which further the objects of Carlisle DBF including improving and malntaining their buildings.15ee note 24 to tho financlal statements). 5.1.4. Volunteers The Trustees recognlse and are gratefu5 for the enormous contribution that volunteers throughout the Diocese give of their time for the work of the Diocese in many different ways. Retired clergy also give freely of their time. Churthwardens, Parochial Church Council Treasurers, Secretaries and Safe8uafding Officers contlnue to enable the local church to provide mission and mlnlstry to local communltles across Cumbria. The success of the onEoing God for All project continues to be conditional upon a substantial growth In setf-supportin8 Ivolunteerl lay and ordained mlnistry the future, with stipendiary clergy roles being increasingly to discerrb, equlp and support those minister5. 5.2. Achievements aEalnst obJe¢tlvlties 5.2.1. Achlevements in 2024 The budget for 2024. approved by Dlocesan Synod in October 2023, assumed that income from Ministry Offers would see a revers81 in real terms following many years of decline. so that after planned cost adjustments and increases in income from investments and grants, a break-even outturn tould be expected before the proposed designation o* £250,000 towards future 'net zero, related housing costs. In the event, the Increase In Parish Offer lin cash terms) of some 2.3% compared to 2023 and shortfa115 in some aspects of budgeted Investment income a result of delayed land & property sales - was largely offset by: Delays in appointinE cler8y in spite of strenuous efforts to fill vacancles promptlv Underspends on some tralning and project actlvities Higher than budgeted income from renting vacant parsonage5 and investments in the Rydal and Scandale hydro-electric schemes The receipt of a significant legacy Gains from a surplus on a now-closed lay penslon scheme Underspends on some training and project activitles CARLSSLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 contlnued Thi5 resulted in a surplus of income over expenditure In the charity general fund of some £519,000, before adJLtsting for unrealised galn5 in the value of quoted Investments and transfers to other funds. The Board of Finance designated £586,000 into the Sustainability Fund to help finance future mission and ministry, as well as the planned £259.000 added tD the 'net zero, fund for housing. This is considered to be a very satisfactory finarbCi31 achievement, and the hard work, patience, generosity, imagination and tommitment of so many people, particularly in our local churches, is greatly appreciated by the Trustees. Rydal Hall achieved an improved operational outcome, but still showed a loss of £70,000. Forward forecasts indicate a continuing reduction In operatlng deficits, despite the challenges faclng the Hospitality and Tourism industry generally. The Trustees continue to rigorously pursue a programme of rationalisation of its property portfolio, selling surplus parsonage5 and other under-yielding assets, to maximise returns from re-invested capital in support of the costs of the Diocese's Mission and Ministry. The Trustees fully fecognlse the challenges faced by parishes to maintain their Ministry Offer, and are very aware of, and thankful for, the sacrificial givlng throughout the Diocese that makes that possible. 5.2.2. Operational Performance The operational performance of Carlisle DBF In 2024 helped to achieve most of the strategic aim5 Set out above. Total group expenditure on resourcing ministry and mission amounted to £8,680,000, up from £7,991,000 in 2023. Together with expenditure on edvcation ar)d the Diocesan retreat house at Rydal, the expenditure on charltable activities accounted for 97% of total expenditure. Expenditure on local clergy (primarily stipends, pension and hou5ingl, chaplalns and Network Youth Church leaders accounted for 69% of the total group expenditure from general funds. Stipendiary c5ergy remain the bedrock of local churches, mission and ministry, supporting congregations in over 300 churches and 250 parishes. Thé'ir role extends beyond leading wor5hlp to enabling, encourdging and.overseeing church members to join in the wlder mlsslon & ministry of the church as It serves communities right atross Cumbria. Work conilnued In 2024 to establish new patterns of ministry in Ecumenical Mission CommunitSes. Across the budget period 2023 to 2027, better alignment of clergy numbers and costs, with the contributions from local churchÈs towards those costs, is helping to ensure a balanced budget. Progress has however been slower than expected, and with the 2024 end year posltion remaining close to planned long term clergy numbers, there would appear to be limlted scope forfurther internal Cost saving to offset any further frdlls In income. The remaining element5 of backlog of malntenance and improvement of clergy property following Covld were cleared durlng the year and the 2024 programme of quinquennial parsonage works was very substantially completed. Adaptations to, or replacement of existingi parsonages to improve energy and environmental efriciency were actively pursued including at Grasmere, Torpenhow and Wigton with plans and feasibility work elsewhere. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS. & TRUSTEES. ANNUAL REPORT 2024 contlnued 2024 saw the continued implementation of the five year 'Reachlng Deeper, project drawing down Strategic Development Funding from the Church Commissioner5 for investment in new pioneering mlssion work. The project made further pmgre5s during the year, especially through the growth of a new congregation attached to the Restore shop irb Penrith, the 'Men in Sheds, projert in Carlisle and pastoral support forindividua15 in Barrow. Other specific areas of work that have been funded or otherwise supported by.the Diocesan Board of Finance In 2024 Snclude,. Chaplaincies, including those in schools, hospitals, hospSces,"workplaces, Restore shops, sports clubs, old people's homes. unifomied organisations, emergency Services and the Anna Chaplaincy for older people the Northern Mission Centre, providing training, support and inspiration to pioneer ministers across the North of England Restore Wellbeing cafe5 provided by local churches which open spaces of welcome and inclusion In partnership with mental health teams to improve mental and emotlonal wellbelng Healthy Healing Hub5 through which churche5 become places of healinE for their whole community A Christmas media campaign on radio and social media Network Youth Churches for well over a thousand teenager5 across Cumbria Ecochurch awards for the Diocesan Office and churche5 which comtTbit to actions to safeguard the environment and tackle the climate crisis Spending on Tralnlng & Ministry Development activities was £526,000. This included under.writinE funding for Emmanuel Training College in support of ordination and reader training, contributing £282,0(X) towards the national c05t5 of ordination trainln& implementing the Diocesan Vocations Strate8y, training stipendiary and non-stipendiary curates, lay minlstry development especially through the third year of the 'Disciple5hip Project, and leadership development in Mi55ion Communities. In 2024 further work was undertakerF through the NortheTn Mission Centre in partnership wlth the Church Mlssion Society, providing advice ènd mentoring support for church members starting up new outreach and social action initiatives and continuing to dellver a550Clated traininE and network support. £5,000 in donatlons and collection5 from parishes and £63,000 investment income were added to the Diocesan Growth Fund. Out of this, we recorded another record year of grants being paid to parishe5 and deaneries totalljng £73,000 for a range of project5 Including youth and children's work, outreach through art and culture and local wellbeing. The balance on the Growth Fund. which is available to support the establishment of network youth church congregatlons and help parishes and deaneries initiate new work designed to achieve church growth, stood at £2,204,000 (note 281 at 31" December 2024. In addition to these grants, a further 2 micro grants, each of £250 were paid to parishes wanting to experiment with new approaches to mission and outreach. In 2024 the Diocese completed Its "LED Challenge., encouraglng parishes, clergy, schools and employee5 to switch to LED lighting. A total of over £36,000 of support was provided by the DBF across this scheme, and 2024 saw additional grants totalling £51,000 supporting wider carbon net zero projects. The Diocese continues to partner with the Diocese5 of Blackburn and Manchester in a joint half milllon pound project (funded by the Archbishop's Council) helpSngto meet the costs of producing decarbonlsation plans for Church Schoo15 and the 20% highest emltting churches. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 ontinugd Throughout the year the DBF funded the Diocesan Safeguarding team's work to develop and promote good practice in respect of the safeguarding of children and vulnerable adults involved in local churche5 and church-sponsored artivities. This included completing 3 pathfinder project initiated In response to the findings of the national Independent Inquiry into Child Sexual Abuse with related accreditation from the Archbishop's Council, the development and ongoing dellvery of a safeguardlng learning and development strategy, the roll out of Parish Safeguardlng Dashboard5 and the implementation of a new national Safeguarding Case Management System Imyconcernl. The team also contlnued to undertake a substantial volume of case work and safeguarding risk assessments. Extra resources were provided to develop the safeguarding team. During 2024. the Diocese as a whole prepared for an audit to be carried out in January 2025 by the INEQE Safeguarding consultancy as Part of a natlonal programme of independent scrutlny of safeguarding culture and practice in all English Diocese5 and Cathedrals. The audit included aspects of safeguarding that fall within the DBF's responsibiltiies including overall resourcing, recruitment and employment of local lay ministers and performance management of the safeguarding team. The audit report was received in March 2025 and noted that" The culture is healthy. safeguardlng is prioritised, support 15 valued and individua15 across the Diocese feel able to report, question and ohallenge... This progress is also due to the 5terllng work of the highly credible and experienced DSA/O... The development of policy, investment in trainln& use of technology, and victim / survivor - centred approaches evidence a genuine desire to create a safer and more supportive environment., Thè Bo3rd for Education spent £368,000 to support education in Cumbria wlth its support for Church schools. The Good Shepherd Multi Academy Trust, which aims to support the provision of excellent education wlthln a caring and Christian ethos in academies in Cumbria remains of strategic importance as the debate over the academisation of schools continues. It currently includes 12 schools. Feaslbility work in respect of e5tabli5hing a second Multl Academy Trust was undertaken with encouragement from the Department for Education. This has continued Into 2025 with an emphasis on mitigating the ri5k5 associated with reduttlons in DfE fundlng for the conversion costs of schools wlshing to Joln MAT5. "Restore Icumbrial". our wholly owned but Independently governed subsidiary comp3ny, continued to implement its business plan, designed to achieve a more secure and sustainable long-term future, by providing communlty SUPPOTt, recytlinE and re-use service5. and Christian ministry in partnership with local churches in Carlisle and Penrith. The company reported a surplus of £34,000 for the year includlng grant income, and this major outreach initiative continues to benefit from the hard work of many volunteers. 2024 saw an increase of £4,000 to £597,000 in income from the Archbishop< Council's Lowest Income Communities Funding which Is used to provlde minlstry in places that could not otherwise afford'to fund bt. An addltional £318,000 was received in 2024 from the Archbishopg Council, being claims for fourth year of 'Strategic Development Fund, grants in relatlon to the 'Reaching Deeper, project, and a further £503,OL)D of funding, to cover ordination training, capacity building for mlnlstry work, additlonal curate and clergy support, net-zero work and funding for our Stewardship work. CARLISLE DIOCESAN BOARD OF FINANCE LIMrrED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 contlnued Work to prepare a major funding application to the national Diocesan Investment Programme continued through the year, with a bid for E6.8m submitted in January 2025 for Yhe Cumbrian Waf, a programme of work to plant new churches and revitalise existing ones in Barrow, Carlisle and the rural area between Ke5wick and Cockermouth. along with promoting pioneering mi55ion across the wider diocese, leadership development, promoting vocations, encouraging greater outreach to hildren, families and young people. and pilotinE approaches to rural mission. In March 2025 the diocese was notified that its bld had been 5ucce55ful. Some restructuring of roles will be required as part of the implementation of t.he programme and systems will need to be estsblished to monitor and account for the use ot substantial investment. The statutory feesfor occasional offices conducted by the Church, which face a grodual reduction over time, amounted to £341,000, Rents recelved from letting parsonages during vacancles increased to £364,000 as a result of the Diocese'5 active approach to renting out propertie5 wherever possible, whilst a150 pursulng a pollcy of disposal where future need to retain tttem is not justified and re- investment returns are potentlally better. Overall total charity income increased by 17.8%. Rydal Hall Ltd is the wholly-owned subsldlary company of Carlisle DBF operating the Diocesan Conference Centre and Retreat House in South Lakeland. It experienced an improved operational result, but still recorded a deficit of £70.000, but with further work to ensure break-even results in the future. There are elements of encouragement with growing income in most areas, and many opportunities Eoin£ forward, both in terms of mlssion and minlstry, and to Smprove financial stability golng forward. The Board continue to implement an updated five-year plan covering both the commercial and mSs5ion aspects of the Hall's work. The DBF again sUPPOrted the Churches Tnjst for Cumbria through a grant of £25,400, to enable their work to provide external support for the care, conservation and development of church buildings acr055 Cumbria. It continued to be a part of ChurchesTogether in Cumbria with £18,700 being pald in support of their work. 5.2.3. Investment Performante Investments are held in both restricted and unrestricted funds, managed by CCLA. Performance in 2024 saw modest improvement, in line with general market conditions, with the price of ihe CBF Investment Fund shares increasing by 2.3%,12023 increase 9.4%), while the CBF Property Fund shares Increased by 0.6% 12023 decrease of 6.1%). Total unrealised gain5 on investments for the year were £378,000,12023 £1,560,000). These gains are notional- they do not alter the number of shares held, hence the future Income streams for which these shares are held are unaffected directly by both Increases and falls. The two hydro-electric plants withirk Cumbria in which the DBF has invested ontinued to perform well in 2024, benefitting frorn a particularly strong 'forward pricing agreement covering April 2023 to March 2024. Income from the schemes was £227,000 higher than in 2023 as a re5uIt, and they should both provide a strong, long-term Income stream for many years to come. The Bank of England's Base Rate fell from 5.25% to 4.75% during 2024, but with these still relatively high resulting CBF Dep051t Fund rates. £128,000 of IriteTest was earned during the year. Dividend5 received from the CBF Property Fund and Investment Fund were 6.64p and 63.13p per share respectively In the year, and the declared yields were 5.27% and 2.71% based on the year-end valuatlons. The total Income frorn CBF Fund dividends for the year rose to £1,075,DOO 12023 £934.0illl, and investment of recelpts from property sale proceeds was prudently continued. CARLISLE DIOCESAN BOARD OF FINANGE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 contlnued Efforts continued to obtain planning consent for residential development on low yielding agricultural land holdings on the edge of settlements. A number of such developments have come to market in the year. All sale proceeds from these during 2024 have been invested to generate a sustainable long- temi revenue stream to fund the work of the Diocese in the future. The totsl return on investment- net receipts and voluation gains on investments as a percentage of the investment valuations at year-end, wa5 4.8% 12023 7.0%) followlng relatively flat. market .condltions in the year. Average yield (net receipt5 a5 a percentage of the investment valuation5 at year-endl was 4.0%12023 3.6Yol. 5.2.4. External Factors Affecting Performance There are a number of external factors continuing to affect the performance of Carllsle DBF, The fall over tlme in real term5 in the pre-covid level of Ministry Offers made to Carlisle DBF from parishes is evidence of lower irbcomes in the parishes, reflecting a dec5ine in church membership and the burden of local costs such as church repair5 and energy bills. There 15 presently little indication that Ministry Offer5 wlll recover to pre-pandemic levels despite the resumption of normal patterns of traditional worship in local churches. This emphaslses the continuing downwards trend away from time- honoured Church, albelt replaced to some extent by new forms of pioneering (but less cash- generative) outreach and ministry. It was encouragillg to note that a national review of weekly glvinB per person has seen average giving In Carli51e Dloce5e increase from £8.00 to £11.60 over 6 years- although these fiEures remain low bv national standards, thi5 increase was the highest in the country and is a testament to the work of our Stewardship Team and hard work across the Diocese encouraging generosity. The difficulty in filling vacancie5 in clergy p05t5 has contlnued during the year and the Northern Province of the Church of England is reportedly not seen to be attractive to potential appllcants. Although this reduces financial pressure in the short term, it represents an operational concern as the leadership and pastoral WDrk of clergy is key in recruitlng and developlng self-supporting lay and ordained ministry and helping the local church to contir>ue to evolve. Flnanclal Revlew 5.3.1. Review of the Flnancial Posltlon The Consolidated Statement of Financial Activitles ISOFAI for the year shows net incoming resources of £1,436.00012023: £314,000} before net gains on investments and other recognised gains and losses. After revaluation adjustments, the net increase in funds amounted to £1,814.000 {2023: £1,874,000). Total fund balances aTe rhow £87,144,000, of which £81,237,000 193.2¥al is restricted. mainly by ecclesiastical measures, and a further£3,705,000 has been deslgnated for specific use by the Trustees. Overall there was a net cash inflow for the year of £1,493,00012023: £1,190,000). Total net current assets increased by £1,478,000 to £3.772,000, with those relating to general funds increasing by £830.000. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS. & TRUSTEES. ANNUAL REPORT 2024 conttnued Going Concern The Trustees are satSsfied that Carlisle DBF has adequate resources to continue to operate as a going concern for the foreseeable future and have prepared the financial statements on that basis. 5.3.2. Reserves Pollcv Due to the anticipated regularity and predictability of its Income and Costs, the Diocese policy has been to hold a level of free reseNes equivalent to at least two months eKpenditure. The Trustees keep the position under review at thelr bl-monthSy meeting5 and are currently confident that cash flows carb be managed to ensure that sufficient free reserves are held to enable Carlisle DBF'S normal commitmentsto be met. 5.3.3. Investment Policies Carlisle DBF'S power to Invest its funds is governed by the Memorandum and Artlcles of A550ciation. It exercises these powers having due regard to the provisions of the Trustee Act 2000 in so far as it applies to Carlisle DBF as a company. Carllsle D8F's investment policies, which are reviewed annually. are based on two key principles: Ethical investment- Carlisle DBF seeks to pursue an investment policy conslstent wlth the values of the Christian religion. Thus, it adheres to the policy as developed by the Church Commissioners and CCLA Investment Management Ltd for their Central Board of Finance Church of England Funds. Long-term responsibilitie5 - Investment pollcy for long-term fund5 seeks to strike the light balance between providing an Income to help the Diocese to carry out its purposes effeclively in the short term and maintain and enhance the value of the invested funds 50 as to enable the Diocese effectively to continue to carry out its purposes in the longtemi. The glebe investments are held for the purpose of raising income to achleve the maximum contribution possible to clergy stipends on an ongoing basis. Unrestrlcted and restricted fund investment5 are invested to balance Income. liquidity and the maintenance of capital. Investments Glebe property investment5 are held by Carlisle DBF in agricultural land, commercial and residential land and buildings. They are managed by the DBF'S agent5, Penrith Farmers, & Kidd's, Walton Goodland Ltd and 5avills and account for 32% of the totsl glebe investments. A ￿rther 65% of the glebe assets are invested through CCLA Investment Management Ltd in the CBF Church of England Funds or held on depostt. They are spllt between holdlngs in equities and property via common investment funds to spread risk, and deposits. The remaininE 3% consists of shares In a hydro-electric scheme in South Cumbrla. The other DBF fund5 are also mainly Invested in CBF Church of En8land deposlt accounts. investment and property funds, with shares also being held in a second hydro-electric scheme within the grounds of the Diocesan Resldential Conference Centre and Retieat at Rydal Hall. South Lakes. 10 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 continued Other Funds Funds which may be needed for working capital in the short term are held as deposits with the Central Board of Finance. The performance of all the DBF'S investments is monitored regularly by the Trustees at their bi-monthly board Tneetings, and by the Investment Sub-committee. 5.3.4. Remuneratlon Policy The Board operates a set salary scale and employees are placed on this With regard to benchmarking against comparable roles In this and other diocese5 and the external employment market. Cost of living Increases are determined a9 part of the process of setting the budget which Is approved by the Finance Committee and the Members. Remuneration of higher-paid employees 15 determined in consultation between the Chair of the Finance Committee, the Diocesan Secretary and the Head of HR & Governance. 5.4 Plan5 for Future Periods The DBF'S ongoing objective is to resource Diocesan needs, as determined by Synod and informed by local and national Church institutions and in particular to Invest to meet the objectives Set out in the Diocese's updated "God for All" Strategy. The Diocesan Development Plan for the period beyond 2024 Is Integrated into resource and budget planning forthe period 2023-2027, which was approved by Diocesan Synod in October 2024 and which is reviewed annually at Diocesan Synod. Prlnclpal Rlsks and Uncertainties The Trustees confirm that the major risks, to which Carlisle DBF and its subsidiary companies are exposed are regularly revlewed and that Systems and procedures have been established to manage those risks. The principal financial risks and uncertainties which face Carlisle DBF relate to.. the reliablllty and timing of the income it receives from local churches which is voluntary in nature, Ministry Offer accounting for 53% of total charity general fund income,. investment performance,. clergy numbers which may vary above or below assumption5 With consequential impact on ministry and costs; and the longer term financial effects of inflation and demography upon core Income streams and operating cost5. The principal risks are reviewed regularly by the Trustees and, where necessary, further information and data are gathered to enable a more detailed examinatlon of the risks to be made ènd decisions taken on the basi5 of the probabllity and likely impact of the risks occurring. We encourage good stewardship in the local church and the work of the Stewardship Team 15 seen a5 keyway in which the Diocese can support parishes and mission communities in raising income locally which, in turn, will empower them to identify the optimum affordable deployment of avallable trained mlnlstry resource both lay and ordained. Carlisle DBF provides its Trustees, officer5 and employees with Indemnity Snsurance against any Ilabllbtles that might arise during the provision of services operated under the authority of the Diocesan Bishop 4nd Synod. ARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 contlnued stru¢ture, Governance and Management Organisational Structure The Diocese of Carlisle w35 founded in 1133. It covers an area of 2,480 square miles and includes all of Cumbria, except for small areas in the east of the CDunty which are included in the neighbouring Diocese of Newcastle. The overall population of the Diocese is around 500,000. The Dlocese Is one of the 42 English dioceses of the Church of England vihlch is organised as two province5, The Diocese of Carlisle is part of the Northern Province led by the Archbishop of York. The southern Provlnce Is led by the Archbishop of Canterbury. The Diocese of Carlisle was led luntil retirement in August 20231 by the Diocesan Bishop. the Rt Revd James Newcome. Slnce that date, leadership has been undertaken las Actlng Diocesan Bishopl, by the Suffragan Bishop of Penrlth, the Rt Revd Rob Saner~Haigh. It was announced on 9 May 2025 that Bishop Rob was nominated by the Crown Nominatlons Commission to be the next Bishop of Carli51e. He will take up his role later in 2025. The Dlocese Is arranged into three Archdeaconries.. Carlisle covering the northern and eastern part with 4 deaneries, West Cumberland in the western part with 3 deanerie5 and Westmorland and Furness In the southern part with 4 deaneries. In total there are 228 parlshes198 beneficesl with 74 full-time equivalent Stipendiary parochial clergy and 5 5ervirbg in house for duties posts. Together with 36 non-5tipendiary ministers, 94 readers, 65 local lay ministers and many other retired clergy and lay members they provide ministry in 325 churches in the Di0￿Se. The Diocese is in Covenanted Partnership wlth three other denominations Methodlst, United Reformed Church and Salvation Arniy. With those denominations the Diocese is establishing ecumenical Mission Communities, groups of churches that collaborate over misslon and share resources, increasingly including ministry and buildlngs. In the course of 2024, a number of church buildings were put forward for closure at the request of their local Parochial Church Councils. Dlocesan Governance Dlocesan Synod The Diocese is governed by Standing Orders approved in 1969 and a5 subsequently amended. Its 5t3tutory governing body15 the Diocesan Synod, which is an elected body with representation from all parts of the DSocese. Membershlp consists of Bishops and Archdeacons lex officio members), clergy members elected by the Hou5e5 of Clergy in Deanery Synods, lay persons elected by the Houses of Laity in Deanery Synods, up to five persons who may be co-opted by each of the Houses of Clergy or Laity and a maximum of ten member5 nominated by the Diocesan Bishop. The Diocesan Synod normalty meets three times a year. Its role is to: consider, anil make decisions on, matters affecting the Church of England in the Diocese; act as a forum for debate of Christian oplnion on matters of rellglous or public interest; advise the Bishop where requested,- deal with matters referred by General Synod,- provide for the financing of the Diocese by approving the Diocesan Budget. CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 ¢ontlnued Deanery Synod5 Each deanery in the Diocese ha5 Its own Deanery Synod which ha5 two houses, laity and clergy. Its role 15 to.. respond to requests from General Synod; glve effect to the decisions made by the Diocesan Synod: consider matters affecting the Church of England by drawing tOEether the views of the parlshes within the deanery,. act as a channel of communication to express the views of parishes to Dlocesan Synod and thence to General Synod; raise with Diocesan Synod such matters a5 It considers approprlate,. and elect members of the deanery to the Diocesan Synod and of the Diocese to General Synod. Bishop's Council and Standlng Committee Bishop's Council￿)nsIStS of 9 ex officio members, includlng the Diocesan and Suffragan Blshop and the three Archdeacons, three clergy elected by the House of Clergy from among their number and six lay persons elerted by the members of the House of Laity. A maximum of three members may also be nominated by the Diocesan Blshop. Under the constitLrtion of the Oiocesan Synod, Bishop's Council ha5 the following functions: To plan the business of the Synod. to prepare the agenda for its sessions and to circulate to members information about matters for discussion Idelegated to the Steering Commlttee),. To initiate proposals for action by the Synod and to advise it Dn matters of policy,. To advise the President of Synod on any matter; Subject to the directions of the Synod, to transact the business of the Synod when the Synod is not in session,. SubjeEI to the directions of the Synod, to appoint members of committees or nominate Individuals for election to committee5,' and To carry out such functions as the Synod may dele8ate to it. Carllsle Diocesan Board of Flnance The company, Carlisle Dlocesan Board of Finance Ltd (Carlisle DBFI, was formed to manage the financial affairs and hold the assets of the Diocese. It was incorporated on 22 September 1893 as a charitable company limited by membership guarantees (No. 396251 and its governlng documents are the Memorandum and Article5 of Association. Carlisle DBF has been reglstered wSth the Charity Commission since I" May 1967 (No. 2519771. The Memorandum and Articles of Associatlon have been altered by Speclal Resolutions the latest of which were passed Dn 19 October 2024, 15 June 2021, 1 May 2018 and 12 July 2006. The changes in October 2024 Telated specifically to allow for longer terms of offlce for Trustees/Directors of the DBF, with any extensions to be approved by both the Trustee Board and the wider membership of the DBF. Following the Introduction of these changes the term of the current Chair was extended for a period of up to 18 months from l January 2025 to allow for continuity through the period of the appolntment and induction of a new Bishop of Carlisle. From Ilth November 2006 every memberofDiocesan Synod Is a member ofcarfisle DBFforcompany law purposes, unless they are excluded by reason of being appointed to any salaried office of the Company or any office of the Company paid by fees. Each member has a personal liabiltty limited to f l under thelr Euarantee as company member5 In the event of its being wound up. 13 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 contlnued Trustees From 1st January 2007 the Blshop of Carllsle and the three Archdeacons have served as ex-officio Directors of the Company. A furtherflve Directors are elected by the members of Carlisle DBF and the Directors have power to co￿pt up to another four Directors. Mr Jim Johnson served as Chalr throughout the year. All the Dlrertors are a150 the Trustees and, when newly appointed, are given Induction training. All Trustees are offered ongoing trainin& as appropriate. Trustees, Responslbilltles The Trustees {who are also the Directors of Carlisle Diocesan Board of Finance Limited forthe purposes of company lawl are responsible for preparing the Trustees, Report and the financlal statements in accordance with applicable law and Unlted Kingdom Accounting Standard5 (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare flnanclal statements for each financial year whlth give true and fair view of the statè of affairs of the charitable company and the group and of the incoming resources and application of resources, includlng the income and expenditure of the charitable group, for that year. In preparing these financial statements the Trustees are required to: Select Sultable accounting policies and apply them Consistently; Observe the methods and prlnclples In the Charities SORP,. Make judgements and estimates that are reasonable and prudent; stste whether applicable UK accounting standard5 have been followed, subject to any material departures disclosed and explained in the financial statements,. and Prepare the financial statements on the going concern basis unle55 it is inappropriate to presume that the charltable company will continue in buslness. The Trustees are responslble for keeping proper accounting record5 which dlsc105e with reasonable accuracy at any time the financi31 position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguardin8 the corporate and trust assets of the charitable company and group ensuring thelr proper application under charity law and hence for taking reasonable steps for the prevention and detectlon of fraud and other irregularities. The Trustees are also responslble for the malntenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dlssemination of financial statements may differ from legislation in otherjurisdictions. 14 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED continued DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 Deci5ion-making Structure Di0￿San Synod has delegated the following functions to Carlisle DBF: Management of the funds and property ofthe Diocese: Preparatlon of annual estimates of expenditure,. Advising on action needed to ralse the income necessary to finance expenditure- Oversight of expenditure by bodies in receipt of Diocesan Synod's funds against estimates 0% expenditure approved by Diocesan Synod; Advlsing Diocesan Synod of the financial aspects of its pollcy and on any other matters referred or delegated to it by Diocesan Synod. Finance Committee The Trustees met as the Finance Committee of Carlisle DBF 6 times duringthe year. At these meetln8S they received regular reports from the officers of the DBF and considered any matters for which they are responsible. The number of meetln8s land proportion of those eligible for attendance) that each Trustee attended in 2024 was: The Ven. Richard Pratt The Ven Vernon Ros5 The Ven Stewart Fyfe The Ven Ruth Newton Mr Derek Bradley Miss Janet Busk Mr Rob Cook Mr David Dalgoutte Mrjohn Edwards Mr Jim Johnson Mr Nigel Robson Mr Peter Yates lex officiol lex officlol lex officiol lex officiol lelectedl lelectedl lelectedl (co-opted) Ico-optedl lelected) lelectedl Ico-opted 21IOO%I (Retired 31 March 20241 4166%) 4166%) 21IOO%I IAppoir4ted 18 September 20241 61100%) 61100%) 5183%} 5183%) IRetired 31 Oecember 20241 61IOO%I (Retired 31 December 20241 61100%) 6 (IOO%I (Retired 31 December 2024) 41100%) (Appointed 15 May 2024, Retired 31 December 20241 Since the retirement of The Rt Revd James Newcome as Bishop of Carli51e in August 2023, The Rt Revd Rob Saner-Haigh Isuffragan B15hop of Penrith and Acting Bishop of Carlisle) has been In attendance at Board meeting5 when other commitments have permitted- however he is not a member of the Trustee Board. He will be appointed to the Board when he Starts in his new role of Bishop of Carlisle, later in 2025. The Trustees have delegated responsibility for the day-to-day man3Eement of the company to the Diocesan Secretary who is supported by a small team of staff. Commlttee Structure There are a number of statutory Diocesan Synod committees that, althosjgh not sulTrcommittees of Carlisle D8F, can influence Its operations: 15 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS. & TRUSTEES, ANNUAL REPORT 2024 contlnued Carlisle Dloee5an Board of Educatlon has responsibility for 104 Church schools across the Diocese, provides pastoral and professional support to all its schoo5s and has a particular commitment to enhancing the quality of provision for religious education, collectlve worship and the spiritual, moral, social, and cultural developmerbt of all pupils. The Par50nages Board is responsible ftir determining policy concerning the management of parsonage houses in each benefice, including setting the policy for buyin81 repairinE, maintaining and disposing of all parsonage houses, team vicarages and house5 owned by Carllsle DBF. In the Diocese the Carlisle DBF is designated as the Diocesan Parsonages Board. A number of Its functions are delegated to Archdeaconry Sub-committees under the terms of a scheme passed by Diocesan Synod on 12 October 2013. The Dlotesan Pastoral Commlttee is responsible for the task of approving pastoral reorganisBtion, taking account of available clergy numbers and making use of new patterns of ministry. It also has re5ponslbility for finding appropriate alternative uses for churche5 whlch have closed. M05t of its functions are delegated to Archdeaconry sub committees. The Dlo¢esan Advisory Committee advises on matters affectinE churches and places of worship such as the 8ranting of faculties, architecture, archaeology, art and the hlstory of places of worship. the use and care of places of worship and their contents and the care of churchyard5. In 2023 the DAC dealt with 39 faculty applications from local churches. Carlisle Dloces3n Board of Patronage is constltuted under the provisions of the Patronage (Beneficesl Measure 1986 and is sole patron or joint patron of a number of benefices. Related Partles General Synod Carllsle D8F has to comply with Measures passed by the General Synod of the Church of England. General Synod is the legislative and deliberative body at national level, making decisions on matter5 of doctrine, the holding of church services and relatlons with other churches. General Synod passes measures which, if occeptsd by Parliament, have the effect of Act5 of Parliament. It is made up of three groups or houses of members.. the Houses of Bishops, of Clergy and of Loity. and meets in London or York at least twice annually to consider legislation for the broader good of the Church. Archbishops, Counul The Archblshops, Council was established in 1999 to co-ordlnate, promote, aid and further the misslon of the Church of England. Its task Is to give a clear sense of direction to the Church nationally and support the Church locally by acting as a pollcy dlscusslon forum.. Carllsle DBF is required to make certain annual payment5 to the Archbishops. Councll towards the nning costs of the National Church accordln8 to a formula agreed by General Synod. Ch￿rth Commissk)ners The Church Commissioner5 manage the historic assets of the Church of England, funding clergy pensions for service priorto 1998, The payroll costs of eplscopal leadershlp through the Diocesan and Suffragan Bishops are met by the Church Commissioners, along wlth the housing costs of the Diocesan 16 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 continued Bishop. Further grant5 are also paid towards the staffing costs of cathedrals. The Church Commissioners also make a number of grants to the Archbishops, Council including Low Income Communities funding for ministry in poorer dloceses and parishes and Strategic Development Fund and Diocesan Investment Programme grants for new mission initiatives. Although Carlisle DBF 15 responsible for the funding of its clergy stlpend costs, the national clergy payroll is administered by the Church Commi551oners. Carlisle DBF reimburses the Church Commissioners monthly for the costs of stipendiary clergy deployed in the Diocese. Church of England Penslons Board The Church of England Penslons Board wa5 established by the Church Assembly In 1926 a5 the Church of England's pensiDns' authority and to administer the pension scheme ft*r the clergy. Subsequently it has been given wider powers, in respect of discretionary benefits and accommodation both for those retired from stipendiary mln15try and for widows and widowers of those who have seryed in that minlstry, and to admlnlster pension Schemes for lay employees of Church organisations. The Pensions Board, which reports to the General Synod, is trustee of a number of pension funds and charitable funds. Whilst the Church has drawn together under the Pensions Board its central responsibilities for retirement welfare, the Pensions Board works in close cooperation both wlth the Archbishops, Council and with the Church Commis5ioner5. Carlisle DBF contributes monthly to the Pensions Board for both the clerEy and the lay pension schemes. The Cathedral The Cathedral Church of the Holy and Undivided Trinity is the mother church of the Dlocese of Carllsle and legally is constituted as a separate charity currently exempt from Charity Commission registration and supervision. Coples of its Trustees, report and financial statements may be obtained from the Cathedral Office, 7 The Abbey, Carlisle, CA3 8TZ. Parishes and Paro¢hlal Church Counclls (Ficcsl The PCC is the elected governing body of an individual p8rlsh which broadly Is the smallest pastoral area in the Church of England. Each PCC is an independent charity and m05t 3re currently exempt from registration wlth the Charity Commission. However, under the terms of the Charities Act 20LI those PCCS whose gross income for the year is above £1(￿,000 are required to register. PCCS are able to Influence the decision-making withSn Carlisle DBF and at Diocesan Synod level through representations and input of their Deanery Synods. The main income of Carlisle DBF is the contribution, by way of the Minlstry Offer, from the 228 parishe5 of the Diocese,. which system has been based on voluntary offers made by Mission Communities and parishes towards the cost5 of mlni5try incurred throughout the whole of the Diocese of Carllsle. Except where shown, the transactlons of PCC¥ do not form part of these financial statements. Financlal statements of an Indbvidual PCC can be obtained from the relevant pcc treasurer. 17 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 ontTnued Sub51di?ry Undert¥kinBs Rydal Hall Llmlted Carlisle DBF is responsible for the operation of the Dlocesan Conference Centre and Retreat House, Rydal Hall. Thi5 is achieved through Rydal Hall Limited, a wholly owned subsidiary charity of Carlisle DBF. The activities of the subsidiory are included in the consolidated financial statements. Restore (Cumbria) Restore Icumbrial 15 a registered charity which operates a charlty shop and resource network in North Cumbrla, as part of the Diocese'5 Outreach Inltlatlves. The DBF 15 the $0Se member of the charitv. Rydal Hydro Limited Carlisle DBF owns 50% of the Issued share capital of Rydal Hydro Limited, wlth Ellergreen Hydro Limited and Gilkes Hydro Limited the other 50%. The joint venture company has constructed a hydroelectricity generatlng plant within the grounds of Rydal Hall Limited providiTbg a renewable source of elettricity for Rydal Hall and the surrounding area as well as providing a significant return on the DBF'5 investment. Other Connected Companies Carllsle DBF together with four other dioceses from the North West of England and with York Diocese have equal shares In DBE Services Limited, a company formed to provide various services to schools. These include inspectlOllS, teathing and curriculum support, administrative services, building equlpment and construction support and Insurance. DBE 5ervice5 Limited has several employees with otherstaff employed by the participating dioceses who invoice the company fortheir time. The profits of DBE Services Limited are distributÈd to the shareholders by means of gÉft aid donations. The Six North West Dioceses are sponsors of Emmanuel College which trains ordinand5 for ministry in the Church of England aer05s and beyond the region. The Diocesan Board of Flnance Is a Corporate Member of the College. Funds Held as Custodlan Trustee for Others Carllsle DBF is required by Meosure to be custodian trustee in relation to PCC property. Carlisle DBF also holds funds on behalf of Church of England schools in the Diocese. All assets held 05 Custodlan trustee are kept independently from the Company's own assets and their details are recorded in a separate trust ledger. The assets are m2inly invested through CCLA Investment Management Limited In their range of CBF Church of England Funds or on dep051t with major UK clearing banks. At 31 December 2024 the totsl value of these funds was £12,716,0(MJ. Reference and Administrative Details of the Carllsle Diocesan Board of Flnance In accordance with the Companles Act 2006 and the Statement of Recommended Practice: Accounting and Reporting by Charitie5 issued in 2019 ISORP 20191, the Directors Ifor the purposes of company lawl and the Trustees (for the purposes of charity lawl during the year and as at the date of signing follow.. 18 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORS, & TRUSTEES, ANNUAL REPORT 2024 continued Ex-officio Directors The Venerable Dr Richard Pratt, Archdeacon of Carlisle IRetired 31 March 2024) The Venerable Vernon Ros5, Archdeacon of Westmorland and Furne55 The Venerable Stewart Fyfe. Archdeacon of West Cumberland The Venerable Ruth Newton, Archdeacon of Carlisle (Appolnted 18 September 20241 . Elected b the Member5 Derek Bradlev janet Busk Rob Cook Jim Johnson (Chalrl Nigel Robson (Retired 31 December 2024) Rev. Charles Hope (Elected l January 2025 Co-o ed b the Directors David Dalgoutte (Retired 31 December 20241 John Edwards (Retired 31 December 20241 Trevor Hebdon (Appointed 26 March 20251 Peter Yates (Appointed 15 May 2024: Retired 31 December 202411 The Right Reverend Rob Saner-Hai8h, Suffragan Blshop of Penrith, 15 not a Trustee Director, but plays an active role in Board meetings whlle he covers for the vacant Bishop of Carlisle position. Secretarv Head of Finance Dlrertor of Edutatlon Mr Derek Hurton Mr Ric Jaque5 Mrs Charlotte Tudway Registered Office Diocesan Church House, 19-24 Friargate, Penrlth, CAII 7XR Telephone 01768 807777 Website e-mail www.carlislediocese.or uiries carlislediocese.or en -uk Company reglstration number Charity registration number 39625 (England & Wales) 251977 Audltors Dodd & Co Audit Llmlted, FIFTEEN Rosehill. Carlisle. CAI 2RW Bankers HSBC plc, City Office, 29 English Street, Carlisle, CA3 8JT 19 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED DIRECTORSY & TRUSTEES, ANNUAL REPORT 2024 ontinued Legal Adviser Ms Laura Peace Sintons. The Cube, Barrack Road, Newcastle Upon Tyne, NE4 60B Investment Advisers CCLA Investment Management Ltd, Senator House 85 Queen Victoria Street London EC4V 4ET Glebe Property Agents Penrith Farmers, & Kldd's plc, Skirsgill. Penrith, CAII ODN Savllls, 64 Warwick Road, Carfisle CAI IDR Walton Goodland Ltd, 10 Lowther Street, Carlisle, CA3 8DA Auditors The Trustees as a Board confirm that to the best of their knowledge there is no information relevant to the audit of which the auditors are unaware. In addition. the Trustees have taken all reasonable steps to ensure that they themselves are aware of all relevant audit information and that this information has been cornmunicated to the auditors. A resolution to reappoint Dodd & Co Audit Limited as auditors to the Company and to authorise the Trustees to fix their remuneration will be proposed at the Annual General Meeting. The Directors, and Trustees. annual report, together with the strdtegSc report which is itkcorpor8ted into the Directors, and Trustees, annual report, have been approved by the DirertorslTrustees and signed on their behalf bfr: Irector and Trustee 8 July 2025 20 Independent auditor's report to the members of Carllsle Dlocesan Board of Finance Limited Opinlon W& have audited the fin8ncial slalemenls of Cartlsle Diocesan Board of Finance Limltedj fthe¢h8ritable company,) for the year ended 31 [)e￿mber 2024 which comprise Consolidated Stalemenl of FinancA81 Adiviiies. Charity Slatemerst of Finanual Activities, Consolid3ted Summary Income and Expenditure Account. Consolidated Balance Sheel, ChaTlly Balancg She&t, CoDsolid3ted Cash Flow Sl8tement and nol8S to the financial ststerlltsnls. Includlng significant accounting poliGies. The financlal reporting framework Ihal has been Èpplied in thelr pieparalion is applic8ble18w and UnSled Kingdom A￿Ounting Standards. including ￿FRs L2 The Financial Reporting Slendard applic8ble in Ihe UK and Republi¢ of Ireland (United Kingdom Gènerally Accept￿ Accounting Praciicel. In our oplnion, the financlal slatemenls- give a true and fair view ol tho 51ale of the group's and parent chatli8ble Companls affairs as al 31 Dec8mber 2024 and of it3 incoming r8sour¢8s and appliration of resource8 for the year Ihen ended., . have been propèrly prepared In aCUJTd8n¢e ￿th Unlled Kingdom Generally Awepled Accounting PrBctio#: and b have been prepared in accorda￿ with the requiremenis of thé Companies Ad 2006. Basts for oplnlon We condu¢ied QLkr audlt in accord9nee wilb Intemalional Stsndards on Auditing (UK) IISAS (UK)) and applScaTrAe law. Our FeSpon8lb￿lties under th05è Standards are further de5cribBd in the Auditorfs rnspon5ibililiès forthe auclit of lfve I￿a1]cIals1o1eMenIs seCt￿n of our report. We arè independent of tho chaTitable cc)mpany in accordawKe with the ethical requirements that are felevanl to our atKlit of Ihe finanual sts18menls in the UK. induding thè FRC'5 Ethic81 star￿ard. and the provi8ions available for small entities, and we have fulfillèd our other ethical responsibili1195 in accordance with these requirenEnts. We believe Ihal th8 audil evidence we ha￿e obtairhed 15 sufficient and appropriate to providE a basls for our opinton. Conclu8lons relating to going concein In auditlng the financial siatemenls, we have concluded thal the Iruslee5' Use of the going concern basls of aGcounling in the preparation of the flnanry81 statements Is appropriate. Based on the work wè havo performed. we have not identified any maletial uncertain11es rel8llng lo events OT eondillonsthat, individually orcolleGtively, may easl8ignificantdoubl onthe chaTilabl8 ¢￿￿panY'S abililyto continue as a going Goncgm for a period of at least 12 mnlhs from wh8n the ffinancial Slalempnts are authoriseil for isstse. Our re8ponsibiiities and thè resw>nsibllil¢es of the trustees with respect to going COn￿M are described in Ihe relevant seclions bf Ihis report. other Information The other information oomprises the Infomialion in¢ltJded In the annual report, indllding the trustees. report. other thanthefinandal stalemenls and ourauditorfs reportthereon. Thetwslees are respDnsibleforthe olherlnfoimatSon contained within Ihe 8nnu31 report. OUT opinion on the ffinanclal statement8 does not cover the olhgr Information and, except to Ihè extent olhevwise explicitty slated In our report, Wg do not express any ftjrm of assursne ¢onclusion Ihereon. Our re3ponsibllfjiy is to read tho other inforn)alk)n and, in'doing 80. consider wh8lheT the other Inform8Uon 18 matertally inconsistent with Ihe financial slalements or our knowledge obtained in the course of tho audit, othe￿iS8 appears to be malerf8lly mi5s(3ted. If we Identify such material in¢onsSs18nde$ or apparent maleri81 mi5slaternents, we are required lo detemiin8 vdh8thei Ihls gives ri59 to a material misslatemenl in the financAal stalÈments thernselves. If, based on the work we have pèrformed, we condude that there 18 a material misstalernenl of this other informatbn, vle are required lo report that facl. We have nothing lo report In this Jpgard. 21 Oplnlons on other matters prescribed by the Companles Act 2006 In our opinion. bBsed on the work undertaken in the Course of the a￿lit. . the infomiatDn gwen in the Iruslees, report, whlch includes Ihe d1￿clor￿. report and the slrateg'c ieport prepa￿￿ for the purposes of company law, forlhe fingncial yearforwhich Ihe financial statements are prepared i8 conslstent with thg financial slalemenls., and • the difectors, report and the straleglc rgport includ8d wilhin Iru51ee5' report has been prepared in accordance with applicable legal requirements. Matters on which we are requlrèd to roport by excgptlon In the light of the kno￿edge and understanding of the company and its envlronmenl obtsined ir? Ihe course of the autht. we have nol idenlrfied maleré81 misstatements in the direclors, report included within the Iwstees. report. We h3ve nothing lo rèport In respect of tho fullowng matters in relation lo whKh the Comp8ni8s Act 2006 Tequires us Io Teport to you if, in our opinion.. • adequate and proper 8ccountlng records h8ve not been kept, or retums &lequate for our audii have not been gived from branches rhtst Vi51ted by us.. or • the fina￿101 ststements ore not In agreemént with the gccounling recor(18 and relum6'. or * certain disclosur•s of tru51ees' remuner81ion speclfied bylaw are not made,. or ' we have not re￿1V&￿ all the information and explanations wè require for our audlt ResponsibllltS8s of trusté#s As explained MO￿ fully in Ihe trustees, ￿sponsIbl1111eS slaletnenl. thè trustees (who are also the director5 of the charil&ble company forlhe purposes of company IBW) are responsiblg for Ihe prgparalion of Ihefjnancial 3tstements and for being satisfied th81 they give a true and fgir view. and for SLJch inlemal control as the Iiuslees delermine is nec&ss8ry to enable the prepafallon of financial st8tements that are free frorn material mis5talemènt, whether due to fraud or error. In Prepa￿ng the financial ststeM8nls, the trusleos are responslble for assesslng the company's abilily lo continue 8s a going concem, disclosing, as applicable. m8tters related to going concern and using Ihe going concern basis of accounling Un￿88 the truslees ellherirttènd to li4uidate the ¢ompsny orto cea80 operationg. or have no realistic allemalive bul lo do 39. Auditor's rosponsibllttles for the audlt of the financial statements Our objectives ale to obtaln reasonable assurnnce abEJul whetherthe financial statements as a whole aro free from material misstslemenl. wh8ther duo to fraud or error, and to Issue an auditorfs report that indudes wr opinion. Reasonat4e assurance is a high18v81 of assuronce bul is not a guarBntee that an a￿lIt conduded in acwrdancè wrth ISAS (UK) will aK¥ays delecl a m81Èrial mls8lalemenl ¥Men It exists. Missl8lements i*n arise from fraud or error ond are consldered maleripl if. indivldLJally or in the aggiegale, they could reasonably be expecled lo inffluenc£ the economlc decislons of users laken on Ihe b8sis of these fina￿78￿ slatem6nl$. Irregvlarfties. includSng fraud, are instances of non-compli8nce withlows and regulatk)ns. We design procedure8 itb Ilne with OUT rèsponsibilities, outlined abDVè, to delect material missl8temenls in respect of Irre9￿ontie$. includingfraud. The 8xlenltowhlch ourproceduTes are rapable of dBlecling irreguiarilie$, including fraud is detsiled below.. In Iden￿rng and assessing rlsks of rn8lerial mi88talement In.re8pect of irregularities, including fraud and non- coM￿lance wlth laws and regu18tions, we considered the following.. 22 the nature of the Industry and sector, ¢(x)trol &nvironm&nl and ch8dl8ble comp8ny s perfofmance: results of our enqubries ol management ab￿1 Ihelr own identification and assessment of the risks of any malters we idenlified having oblained and reviewod Ihe chawltable o)mpany's docLKnenlation of their policies and procedures relating to-. identifying. evaluati￿ and cornptying with laws and regul81ions and whether they were aware of any instan￿5 of non-compllance", delecling and responding lo the risks of frdud and whether they have kn￿edge of any actual, suspecl8d or alleged fraud. the inlemal controls establisl*d lo millgate ri%ks of frdud or non-COrnKAl8nce wllh laws and regulations.. Ihe Tll811ers discussed among the audit ongagemenl team and involving relevant Intern81 spedalists. Induding pensions regarding how and where fraud might occur in e financial ststeJnents and any potenlial indKators of Ir8ud. As a result of these procedures. we consldered th8 OPPOrturilles and inconlives Ihal m8y exist within Ihe Drganis8tion for fr8ud and id8ntified the greatest polernll85 for ftaud to te in ielatlon to Tevenue recognitson and management override which. in eommon ¥￿th all audlts under ISAS (UKI. we a¥e required lo perfoTrn 8peafic procedures to respond to this rfsk. We also obtainEd an understanding of the leg81 and ￿gulatOry framework that Ihe cha￿table company operdle8 Ill, focusing on provislons of those laws and regulations Ihat had a dire¢l effect on the determination of m8leriBI amounts and di￿o5ureS in the financtal statements. The key laws and regulations WÈ considered in this context indud8d the UK Companio$ Acl. Chairfo8 Acl. ￿nSIonS leglslation and tsx legislation. A¥ 8 result of performing the abov8, in resptsnse to Ihe rtsks identified. we did nol identify. any key audit matters Tel8led lo the polenlial rtsk of fraud or non-c(ynpg8n￿ wilh laws and regulations. In addition lo the above..our procedu￿$ lo respond to risks idenllfied included Ihe fcllowing". Teviemng the financial stslemenl dlsdosures and lesling to supporting doCuff￿ntatiOn to 8sse56 compliance with provisions of relevant laws 8nd reg¢Jlatsork8 desrlibed AS havlng a direct effect gn the rinancial slalem8nts", enquiiing of management ctsncernlng actugl and polenllal IrtVJ8tSon anfl daims., performing analytical procedU￿S lo id¢ntfy any unusual or unexpected rel8tionships that may indlcate risks of mBlerial misslalemenl due lo fraud.. reading minutes ol meetings of thoso charged wtth g0Ven￿nCe. revi￿￿1￿9 wrrespondènce with HMRC.. snd In addressing th8 risk ol fraud through management override of Controls, losting the appYoprialene5s of journal entries 8nd other adjustmenis,. assessing W￿ther tho judgements tnade in mBking attounting limales are Indtcative of a potentl81 bias., and evaluating the business Tationale of any signifkanl trBnsa¢tions Ihal are unusual or outsid& the nomal course ol business. We also communicated relevant identifr8d laws and regulations and potèntial fraud risks lo all 8ngagement team members and ramained alert to any indication5 of fraud or non-tt)mpliance with laws and regulation5 throughout Ihe 8udit. A further description of our regponslyllties 15 avail0￿8 on ihe Flnknual Reportlng Council's websi18 81.. w￿.frc.ts -uklaudilors¥es onslb4ilies. This description form5 part of our audllor's report. 23 Use of our report This report is mado solely to the ch8rtt8ble Company's members, as a ￿dy, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work h85 been undertaken 50 that we might state to the charitable company's members Ihose malleTS we are required lo stale to them in an audiloT'S report and lor no other purpose. To Ihefullesl exlenl p&milled by law, we do not accepl or aSSLme iesponsibilily lo anyone otherlhan the chafllable COmP8ny and the charitsble company's member8 a5 a body, for our audil work, for this report. or for the opinions we have foffligd. Faye Amistrong ISenKsr Slatuiory Auditor) For and on I￿ha￿ of Dodd & Co Audit Limited, Stslulory Auditor FIFTEEN Rosehill Montgomery Way R05ehill Estate CARLISLE CA1 2RW Ilsli 24 CARLISLE DIOCESAN BOARD OF FINANCE UMITEO CONSOLIOATED STATEMENTOF FINANCIALACTIVITIE5 For thE year ended 31 Detembey 2024 Unrestrlcted funds fjeneral Designated £'ooo £'ooo Restilcted EThdowmÈnt ds Funds f'OOO £'o Totol funds 2024 2023 E'OOD £'ooo Note Income ond endowments frorn Donations Parlsh contrlbutlons Archblshop's Councll Other rjonations aritable actlvities Fee5 & chaplalncy income Rydal Hall Sales of goods & service5 other acknvltles InvÈstmeThts Other souice5 4,276 915 329 4,276 1,418 459 4,180 1,235 185 503 84 501 501 1,320 402 521 1,236 345 395 1,749 695 15 1.320 345 57 364 1.415 261 70 585 129 2.075 1,444 L054 Total 8,118 1,781 1.301 1,059 12,259 10,541 ExpendThurÈ on Raislngfund5 Charltable actNltles fiesourcing min15try & m15Ston Eduratlon Rydal Hall other purposes 213 15 228 186 547 1,129 33 8,680 401 1,414 loo 7,991 376 1,373 301 368 14 15 io 1.400 ICKI Total 12 7,599 1,947 L177 100 IOA23 10,227 Net inwmellexpendlturel before Investment gain5 519 11661 124 959 1,436 314 Net 8aln5lllossesl cn investments 13 48 43 274 378 i.5￿1 NEt incomejlexpendlturel 532 167 1,233 1,814 1,874 Translers betwe•n funds 22 14251 844 1,420 IL8391 other recognised ¥•insll105sesl Gainslllogsesl on revaluatlon of flxÈd assets Actsjarlal gain51110$5esl on defined benefit penslon 5chÈmes Net movement in fundj 107 726 1,587 16061 1.814 1,874 Total fund$ brought forward 2,095 2,979 23,366 56.890 85,330 83,456 Totalfvnd5 t•rrfed lonvard 2,202 3.705 24,953 56.2B4 87.144 85,330 All ¥tlvlties derwe from contlTruinKadl¥ltles. The notes on pa8e$ 33 to 65 form partolthe fina￿681 statements. 25 CARUSLE DIOCESAN BOARD OF FINANCE LIMITED CON50LIDATED STATEMENT OF FINANCIAL ACTIVITIE5 For the year ended 31 De¢ember2023 Unrestrkted funds. General Deslgnated £'ooo VODD RÈstrlrted Endowment Funds Fund5 £'ooo £'ooo Total funds 2023 2022 £'oou £'ooo Note Income and endowment5 trom Donations Parlsh contrlbytlons Archblshop's Council other donations Charitable activitles Fees & chaplaincy Income Rydal Hall S?le5 0¢ goods & serv1￿$ other actfvitles Investmenls oihersources 4,180 945 128 4,180 1,235 185 4,124 1,366 201 290 13 44 521 521 1,236 345 395 1,749 69S 583 798 764 345 1,533 626 15 1,236 305 395 L153 65 527 172 523 Totsl 7.362 1,650 I,(X)2 527 10.541 10,340 Expenditure on Raising funds Charttableactfvftles Resourdng mlntstry & mlsslon Education Rydal Hall Other purpD5es 174 12 IBS 207 6.745 325 12 446 7,991 376 1.373 301 7.613 310 1,445 12 51 15 io 1,361 299 Totsl 12 7,256 1,809 863 299 10.227 9,587 Net Income/lexpeDdlturel before Invesiment8aln5 106 11591 139 228 314 753 NetEalNslllosse51 on Investments 20 178 542 820 L560 13.5051 Not incorne/lexpendTrturel 126 19 681 L048 L874 12,7521 Transfers betweenlunds 22 11971 570 IJ041 12691 other reco8nlsed 8alnsllJ055esl Galrss/l105sesl on revaluation Df fixed assets Actuari81 gainslllossesl on detlnÈd beThefft penslon schemes 42 61 Net movement In fvnds 577 779 1,874 12.6491 Totalfunds broughtforward 2,166 2.3￿) 22,789 56,IlJ 83.456 86,105 Totalfunds carr5ed forward 2.095 2,979 23,366 56,890 85.330 83.4S6 All actlvltles derlve frorn ￿ntInuIng aCtivitlÈs. The rKJtes on page5 33 to 65 fom part of the flnancial statements. 26 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED CHARITY STATEMENTOF FINANCIAIAcnviTIES Forthe year ended 3J De￿Mber20l4 Unrestrirled lund5 General Designated £'OOD £'ODD Restricted Endowment Funds Funds É'ooo É'ooo Total funds 2024 2023 £'.o £'ooo te Income and endowments from Donatlons Parish contributlons Archbi$hop's Councll OtIEr donatlons Charltable aCtI￿lIeS Fees & ch3plalncy Income Rydal Hall Sale5 of goo(k & setvices Other actpiitles InvestFTrents Other 4,276 915 329 4.276 1.418 418 4.180 1,235 146 503 501 501 521 15 57 57 364 2,068 1,444 395 1.743 695 1.415 261 585 129 1,054 Totsl 8,118 68 1,301 1.059 10,546 8,955 Expenditure on Raislng funds Charltable athltle5 Be50Ufcing minlstry & misslon Education Rydal Hall other 213 15 228 186 7,￿4 368 14 205 1,129 33 8,338 401 14 i(x> 7,670 376 52 299 15 io i(x> Total 7,599 205 1,177 100 9,081 8,5É3 Net 1ncomellexpendltu￿j before Investment Bains 519 11371 124 959 1.465 372 Net gaIn￿(k)s$eSI on Investments 13 43 274 378 1,560 Net InwrnellpxpEnditurel 532 1891 167 1,233 1,843 1,932 Tra￿ferS betweenfunds 22 14251 1,420 11,8391 Othor recognlsed galns/llosse51 Galnslllos5esl on revaluation of flxed assets Acluarlal Bainslllossesl on defined beneflt pension schemes Net rnov?ment Inlunds 107 755 1,587 IW3 1,932 .TDtal funds brought forward 2,095 2.920 23.3G6 56, 85,271 83.339 Toialfunds ¢arrledfon¥ard 2,202 3,675 24,953 56.284 87,114 85.271 l aCtI￿tieS derive from contimJir¥ aciivlUes.7he notes on pages 33 to 65 fomi partotthe financlal ststemenls. 27 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED CMARITh STATEMENTOF FINANCIAL ACTIVITIES For the year ended 31 December 2023 LlnrestrfGted lunds General Deslgnated £'ooo £'ooo Re5tfltted Funds £'ooo Endowmpnt Fund5 £'uoo Yotsl funds 2023 2022 gooD E'OOO Note In¢ome and endowmentsfrom Donatlons Parlsh ¢ontrlbutlons Arthblshop's Coll￿11 oth2r donatlons Charrcable èctlvltle Fee5 & chaplainty income Rydal H311 les ol goDds & serv1￿S OthÈr actwltles Imie5tments Other 4.180 945 128 4,180 1,235 146 4,124 1,366 151 290 13 521 521 583 53 28 345 1,530 617 15 395 1,153 395 1.743 695 S9 527 172 523 Total 7,362 64 1,002 S27 8,955 8,797 Expenditure on RaisinE funds Charitable attlvltie5 Resourclng mlnLstry & mlsslon Erf￿at1Dn Rydal Hall Other 174 12 186 207 6,745 325 12 125 800 51 7.670 376 52 299 7,376 310 38 12 15 ID 40 299 70ts1 7,256 165 863 299 8,583 7.943 Net incomellexpendlturel before investment 8ains 106 lioii 139 228 372 854 Netgalnslllossesl on Investments 20 178 542 820 1,550 13,5051 Nel Incomellexpendlturel 126 77 1.048 1.932 12,6511 Transfers between funds 22 11971 570 11041 12691 Other reco8nSsed galnslllosse51 Gain5llk)ssesl on revaluatlon of fixed assets Actuarial Bain5111055esl on dellned benefit penslon schernés 42 61 Net movement In funds 1711 647 577 779 1,932 12,5481 Total funds brought forward 2.166 2,273 22.789 56,111 83,339 85.8B7 Total funds carrled forwartl 2,095 2,920 23,366 56,890 85,271 83,339 All attfvltles derfve from tontinuingactlvltles. ThE notes on pa8es 33 to 65 form part of the fftnanclal statements. 28 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED CON50LIDATED SUMMARY INCOME AND EXPENDITURE ACCOUWT For the year ended 31 December 2024 Total 2024 £'ooo TDtal 2023 £'ooo Total Intome per reconciliation below Resources expended per reconciliation below 12,865 110,7231 10,217 19,9281 Operatlng SUTplus for the year Interest receivable Net galnslllossesl on Investments 2,142 174 104 289 66 740 Net Income forthe year 2,420 1,095 Other comprehen51￿ Income: Revaluatloll of lixed assets Actuarlal gainslllossesl on defined benefit penslon schemes Total comprehen51ve Incomefor the year 2,1120 1,095 The Income and expèndllure account is derived from the Statement of Financial Activitles wilh movements in endowment fvnd5 excluded to comply wlth company law. All income and expenditLtre is derived from contifiuln8 activlties. Reconclllation ol Summary Income and Expendlture to SOFA Total 2024 E'OOO Total 2023 fOOQ Total incomin8 resources per SOFA Less.. interest receivable tolal endowment additions Add: endowment capital transferred to incorne funds 12,259 11741 11.0591 1,839 10,541 1661 15271 269 Total Income per above 12,865 10,217 Resources expended per SOFA Less.. expendlture eharged to endowrnent capltal Add.. Income funds Tecla5slfied as èndowment capital 10,823 10,227 12991 Tolal expendtture per above 10,723 9,928 29 CARLISLE DIOCESAN BOARD OF FINANCE LIMtTED CONSOLIDATED BALANCE SHEET At 31 Oecember 2024 Company Numbei-39625 2024 2023 NDte vooo £'ooo £'ODO rooo FIXED ASSETS Tangible assets Investments 23 24 40,408 42,964 41,241 41,795 83.372 83,036 CURRENT ASSETS stock D8btors Cash on depD51t Cash at bank and in hand 25 26 2,656 4.812 797 4,462 3.637 479 8,273 8,587 CREDITORS.. amounts falling due within onè year 27 14,5011 16,2931 NETCURRENT ASSErs 3,772 2,294 TOTALASSEfs LESS CURRENT LIABIUTIES 87,114 85.330 NET ASSErs 87,114 85,330 FUNDS Endowment funds Including investment revaluation reserve of £34,459,000 12023.. £34,215,000) Restricted Income funds Includlng InV￿tment revaluation ieseive of £7,474,000 12023.. £7,433,000) Unrestricted incorne fund5: General fund5- Induding revaluation reserve of £544,000 12023.. £531.0001 Designated funds- IncludinE revaluation reserve of £941,0orJ 12023.. £935,000) 56,284 56,890 24.953 23,366 2,202 2,095 3,7D5 2,979 TOTALFUNDS 28&29 87,114 85,330 The Cash Flow Statement and the Notes form part of these financial 5tstements. The financlal statements were approved by the Trustee5 and authorised far i55ue on and signed on behalf of the Board by. nson hjuly 2025 30 CARLISLE DIOCESAN BOARD OF FINANCE LIMITE CHARITY BALANCE SHEET At 31 December 2024 Company Number- 39625 2024 2023 Note 000 £'ooo £'ooo £'ooo FIXED AssErs Tangible assets Investments 23 24 40,208 42,964 41,079 41,795 83.172 82,874 CURRENT AsS￿s DebtOTS Subsidiary companie5 Cash on deposit Cash at bank and in hand 25 2,631 287 4,710 576 4,430 171 3,540 342 26 8,204 8,483 CREDrroRS'. amounts falling due wlthin one year 27 14,2621 16,0861 NET CURRENT ASS 3,942 2,397 TOTAL ASS￿5 LESS CURRENT LIABILITIES 87,114 85,271 ASSEfs 87,114 85,271 FUNDS Endowrnentfund5 Includlng investment revaluation reserve of £34,459,ODD 12023.. £34,215.0001 Re5tritted incorne funds IncludSng investment ￿valUa￿on reserve of £7,474,000 12023.. £7,433,(KMJI Unrestricted income funds.. Genpral funds- IncludlnE rpvaluation ￿seNe of £544,000 12023.. £531,￿0) Deswnated funds- IrKludlng revaluation reserve of £941,OCKI 12023.. £935.th01 56,284 56,890 24,953 23,366 2,202 2,095 3,675 2,920 TOTAL FUNDS 28&29 87,114 85,271 Thè Cash Flow Stat@m@nt and the Notes form part of these financial statements. The financial statements were approved by the Trustee5 and authorised for issue on 3nd sign￿d on behalf of the Board bv.. son uly 2025 31 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED CONSOLIDATED CASH FLOW STATEMENT For the year ended 31 De￿mber 2024 2024 2023 £'ooo £'ooo 11,4291 £'ooo Net cash Inflowlltyjtflowl from operatlng a£tlvlile$ Cash flows from inv0511ng attlvltles Dividends, intÈrest and Tent from investments Interest paid Proceeds from the sèle of.. TanElble fvxed assets Inve5tment5 PuTchase of.. Tangible thed assets FlxÈd asset Investments 11.9571 2,075 161 1,749 1121 2.572 304 612 2,282 11,0901 18331 18591 14751 Net r4$h provlded byllused Inl SnvestlnB attlvltle5 3.022 3,297 Cash flows from flnoncing activitie5 Repayment DI loans iiooi 11501 Nei ¢a5h provlded byllused inl flnanclng a¢tMtles 11501 Change In tash and ¢o5heqvi¥alents Inthe reportlng perlod 1,493 1,190 Cash and cash equfvalents at ljanuary 4,116 2,926 Cash and cash equlvalents at 31 December 5.fj09 4,116 Reconclllatlon of net movements Infundstonetcash flow from operatlng act¢vttle5 Net movement in funds for the year ended ai December Adlustmentsfor épreclatlon charges Dfvldends, Interest and rentfrom Investments Inte￿5t paid Repayment of loansathanced Advancement of loaft5 Loss/lprofitl on sale of Itsnc￿Dnal asset5 tuarial galns on defined beneflt ￿nSIOnS Decreaselllncreasel In stock Dec¥easelllntrÈasel In debtors IDecreasel/increase In eredltor5 1,436 314 66 12,0751 49 11,7491 12 18 19771 1,806 lJ,6941 16811 76 Net cash (used In) operallwd actlvhl#s IL429 11.9571 Analysls of cash and tash equlvalonts Cash In hand Not1￿ depos￿$ Ilessihan 3 months) 797 4,812 479 3,637 5,609 4,116 32 CARUSLE DIOCESAN BOARD OF FINANCE LIMITEO NOTES TO THE FINANCIAL STATEMENTS For the year Ended 31 December 2024 I. ACCOUNTING POLICIES The financial statements have been prepared under the historical cost convention, with the exceptlon of freehold properties, which are included as determined under the applicable valuation method as detailed in dl, and fixed asset investments, which are included at their market value at the balance sheet date. The financial statements have beeD prepared in accordance wtth the Statement of Recommended Practice for Charitie5 ISORP 2019), the Companies Act 2006 and appllcable accounting standards IFR51021. The princip31 accounting policles and estimation techniques are as follows: a) Consolidation Consolldated financial statements have been prepared on a Ilne by line ba515 in accordance with FR5102. The con501idated financial statements incorporate the accounts of: Parent, The Carli51e Diocesan Board of Financè Limited Icarfisle DBFI; and The wholSy owned subsidlary company* Rydal Hall Limited,. and The wholly owned subsidiary company. Cumbria Christian Learning,. and The wholly owned subsidiary company, Restore (Cumbrial bl Intome All income 15 included in the Statement of Financial Actlvitie5 ISOFAI when the DBF is legally entitled to It as income or capital respectively, ultimate receipt is probable and the amount to be recogni5ed can be quantified with reasonable accuracy. 11 Ministry Offer Iprevlously known as Parish Offer) and parochial fees are recognised as income of the year in which they are received or within one month after the financi31 year end to whlch they relate. ill Rent receivable is recognised a5 income In the period with respect to whlch it re5ates. illl Interest and dlvldends are recognised as income when recelvable. iv) Grants received which are subject to pre-conditions for entr(lement specified by the donor which have not been met at the year-end are included in creditors to be carried forward to the following year. vl Donatlon5 Other than grants are recognlsed when recelvable. vil Galns on dlsposal of fixed asset5 for the DBVS own use11.e. non-investment assets) are accounted for as other income. Losses on disposal of such asset5 are accounted for as other expenditure. 33 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 I. ACCOUNTING POLiaES Icontlnued) vill Stlpends fund income. The Stipends Fund Capital account is governed by the Diocesan Stipends, Fund Measure 1953, as amended, and the use of the income is restricted for clergy stipends. However, the income is fully expended within the year of receipt and the legal restrictions, therefore, are satlsfled. It is on this basis that the income and the Inormally much larger) related expenditure are both included in the unrestricted column of th2 Statement of Financial Actlvitles for the sake of greater clarity and Simplicity in flnancial reportlnE. viiil Governrnent Grants. Grants for the purpose of givlng immedlate financial sUPPOrt with no future related costs to be incurred are recognised In the profit and loss account when the grant proceeds become receivable. Other grants relating to revenue are recognised in the profit and loss account on a systematic basis over the period5 in which the related costs are recognlsed for whlch the grant is intended to compensate. c) Expendlture Expenditure 15 included on the accruals basis and has been classified under headings that aggregate all costs related to the Statement of Financial Actlvity category. il Costs of ralslng funds include investment management costs of glebe and any other investment propertles and interest costs on deflned benefit pension scheme liabilities. ill charltable expendlture is analysed between contributions to the Archblshopg Council, expenditure on resourcing misslon and ministry in the parishes of the diocese, expenditure relating to the running of the diocesan retreat centre. and expenditure on education and Church of England Schools in the diocese. iii} Grants payable are charged in the year when the offer is conveyed to the recipient except in those cases where the offer 15 conditiL)nal on the recipient satisfyin8 performance or other discretionary requirements to the satisfaction of the DBF, such grants belng recognised as expenditure when the condition5 attachlng are fulfilled. Grants offered subject to such condltlons which have not been met at the year-end are noted as a commitment, but not accrued as expenditure. iv) Support Costs conslst of central management, administration and governance c05t5. Costs are allocated wherever possible directly to the activity to which they relate, but where such direct allocation is not possible, the remainder is allocated on an approximate staff time basis. vl Penslon contrlbutions. The DBF'S staff are members of the Church Workers Pension Fulld and Clergy are members of the Church of England Funded Pensions scheme (see note 311. The pension costs charged as resources expended represent the DBF'S contrlbLrtions payable in respect of the accountlng perlod. in accordance with FRS102. Deficit funding for the pension schemes to which DBF participates is accrued at current value in creditors distinEL(ished between contribution5 falling due wtthin one year and after more than one year where appropriate. 34 CARUSLE DIOCESAN BOARD OF FINANCE UMITED NOTES TO THE FINANCIAL STATEMENTS For the year ènded 31 December 2024 I. ACCOUNTING POLICIES (continued) d) Tangible fixed assets and depreciation Freehold propertres Depreciation is fbot provided on buildings as any provision (annual or cumulativel would not be material due to the very long expected remaining useful economic Ilfe in each case, and because their expected residual value is not materially less than their carrying value. The DBF ha5 a policy of regular structural inspection, repair and maintenance, which in the case of residentlal propertie5 15 in accordance with the Repair of Benefices Building5 Measure 1972 and properties are therefore unlikely to deteriorate or suffer from obsolescence. In addition, disposals of propertie5 occurwell before the end of theireconomic Ilve5 and disposal proceeds are usually not less than their carrying value. The Trustees perform annual impairment reviews in accordance with the requirements of FRS102 to ensure that the carrying value is not more than the recoverable amount. Investmentproperties Glebe properties which are held for investment purposes and rented out have been included at their fair value. The fair value of the properties is usually considered to be their market value and the most recent revaluation of the charity's investment property was as at 31 December 2022, being £12,140,150. This valuation was carrled out by an independent valuer and the directors consider this valuation to remain appropriate for the current year. Por50noge houses The fiBF has followed the requirements of FR5102 in its accounting treatment for benefice houses Iparsonagesl. FR5102 require5 the accounting treatment to follow the substance of rrangements rather than thelr strict legal form. The DBF Is formally re5pon5ible for the maintenance and repair of such properties and has some jurisdiction over their fvture use or poteDtlal sale if not requlred as a benefice house, but in the meantime legal title and the right to beneficial occupation Is vested in the incumbent. The Trustees therefore consider the most suitable accounting pollcy is to capitallse such propertie5 as expendable endowment assets and to carry them at thelr deemed cost at a fair valuation at l January 2014. e) Other tangible fixed assets All capital expendlture over £1,000 is capltalised and depre¢lated. Depreciation is provlded in order to write off the cost (less any expected ultimate disposal proceed5 at prices rulinE at the time of the asset's acquisition) of other fixed assets over their currently expected useful economic lives at the followlng initial rates-_ DBF furniture, fittinE5, equipment and computers IO% to 20% per annum on a straight line basis; 10-25% per annum on a straight line basis. Rydal Hall furniture, fittings, equipment and plant 35 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 I. ACCOUNTING POLICIES (continued f) Other accountln£ policie5 il Flxed asset Investments are included in the balance sheet at market value and the gain or loss taken to the Statement of Flnancial Activities. Subsidiaries (where shares are heldl are valued atfair value based on balance sheetvalue. Jointly controlled entities are valued at fair value uslng the net assets of the entlty and the share held, ill Leases. The DBF has entered into operating lease arrangements for the use of certain assets, the rental for whlch is charged in full a5 expendlture in the year to which it relates. Where rent free period5 are given as part of an operatlng lease, the impact ot thls rent free period 15 reflected in the Statement of Financial Activities over the shorter of the overall lease term orthe period to the first break clause. g) Fund balances Fund Balances are split between unrestritted (general and designated). restricted and endowment funds. Unrestrlcted funds are the DBF'5 corporate funds and are freely available for any purpose within the charitable company's objects, at the discretion of the DBF. There are two types of UF)re5trlcted funds.. General funds which the DBF intends to use for the general purposes of the DBF; and Designated fund5 Set aside out of unrestrlcted funds by the DBF for a purpose specified by the Tru5tee5. Restrlcted funds are funds subject to conditions Imposed by the donor as specific terms of trust, or else by legal measure. Endowment funds are those held on trust to be retsined for the benefit of the charitable company as a capital fund. In the case of the endowment funds administered by the DBF (Parsonage Houses Fund and Retired Clergy and Dependants Fundl, there are discretionary powers to convert capital into income and, as a result. these funds are classified a5 expendable endowment. Endowment funds where there is no provision for expenditure ot capitsl are classified as permanent endowment. "Special trusts" las defined by the CharitSes Act 20111 and any other trusts where the company act5 as trustee and controls the management arid use of the funds, are included in the company's own financial Statements a5 charity branches. Trusts where the DBF acts merely as Custodian trustee with no control over the management of the funds a￿ not included in the financlal statements but are summarised in the notes to the financial statements. 36 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAI STATEMENTS For the year ended 31 December 2024 I. ACCOUNTING POLICIES (continued) h} Going Concern The charlty ha5 considered whether the use of the going concern basls for accounting is appropriate. To do this, they have considered whether there are any material uncertainties a5 to the Charity's abllity to continue as a going concern. The trLtstees have prepared detailed budgets covering the cominE three-year period, based on actual experience and taking into account church finances in Ilght of recovery from the 2020 pandemic and the current financial challenges facing churches. As a result of thls work, the trustees remain confident that there are financial resources available to fund their work, and are satisfied that there are no material uncertaintle5 aboutthe charity's abilltyto continue as a going concern. 37 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 DONATIONS Par15h Contrlbutions The majority of donations are collected from the parlshes of the dloeese through the parish offer system Inow known as'minlstry Offer'l. Unrestrlcted funds General Deslgnated Restrlded EnthwffteDt Funds Fund5 vooo £'ooo Tot81 funds 2024 £'ooo 2023 £'ooo £'ooo £'ooo Current year Offer Shortfall ln contrlbutlons 4,327 1931 4,327 1931 4,208 1551 4,234 4,234 4,153 Recelpts for prevloLt5 year5 42 42 27 Totsl Income 4,276 4,276 4,180 Total receipts (including for previou5 ye81$1 represent 98.8% of the mirbistry offer12023- 99.3%). Arrhbi5hop's Council Unrertrlcled funds General Design3ted Restrlcted EndowmEnt Funds Funds Total fund5 2024 £'rJoo 202a £'ooo LINC allocatton strateglc Development Gfdnt Strateglc Minlstry Fund Di0￿53n Investment Furbd Icapècltyl Other grants 597 318 597 318 183 248 592 353. 162 30 183 248 72 72 98 915 503 1.418 1.235 Other donatSons Unrestrf¢ted fund5 General Designated £,￿0 £'ooo Remrltted End¢)wfflent Fund5 Funds vooo rooo Total funds 2024 £'ooo 2023 £'ooo Benefact Trust Ministry Partners Donatk)ns Le8acles 68 114 48 188 79 46 21 30 43 188 84 CompanyTotal 329 418 146 Rydal Hall Resto￿ lQtmbrfal 16 23 38 GroupTotal 329 84 459 185 38 CARLISIE DIOCESAN BOARD OF FINANCE UMITED NOTES TO THE FINANUAL STATEMENTS For thÈ yèar ended 31 December 2024 CHARITABLE ACTIVITIES Fees a•KI chaplainry Income Ut)restrirted funds General De51gnoted £'ooo . £'ooo Restrltted Endowment Funds Funds É'ooo E'ODD Total funds 2024 £'ooo ZDZ3 £'ooD Statlrtoryfees chapla￿(¥ Supportfor Mlnlstry Course and othei fees 341 12 341 12 148 354 27 130 io CompanyTotal soi 50J 521 Course and other fee5 GroupTotsl 501 501 521 other sale5 Unrestrirted funds General De518nated É'ooo f¢e$trlcted Endowment Funds Fund5 £'OOD £'ooo rotalfunds 2024 vooo 2023 Edvcatlon servlces 57 57 40 ComphnyTotsl 57 57 40 Rydal Hall Restore Icumbrlal 345 345 305 GroupTotsl 57 345 402 345 4. OTHER TRADING ACTIVITIES Unrestrl¢ted funds General Deslgnat8d £'4)00 £,￿0 Re51rlcled Endowmenl Funds Funds Totalfunds 2024 £'wo 2023 Parsonage rents 364 364 395 364 364 395 INVESTMENT INCOME Unre5tricled funds General Deslgnated £'ooo £'D Restrlcted Endowment Funds Funds É'ooo £'ooo rotal fund5 2024 £'o 2023 É'ooo Dividends recelvable Interest recelvable Rents recelvable 1,102 53 260 57 490 64 31 1.649 128 291 ¥347 49 347 C¢Mhpany total 1,415 585 2,068 1,743 Subsldlarfs Interest Consolldated tot41 1.415 70 585 2,075 1,749 39 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended ai December 20Z4 . OTHER INCOMING RESOURCES Unre5trictedlund5 Gpneral Deslgnated £'ooo £'ooo Restrlcted Endowment Fund5 Funds £'ooo £'th)o Total funds 2024 £'oo 2023 É'ooo Gain Dn sale of propertle$ Insurance Recelpts Incorne from £105ed penslon $urplu5 Sales of redundantchurche5 114 1,062 i( 147 4(K) 106 261 261 15 15 148 CompanyTotal 261 129 1,054 1,444 695 Rydal Hall Restore Icumbrlal GroupTotal 261 129 1.054 1,444 695 7. RAISING FUNDS Unrestricted funds General DesFgnated £'ooo Re5trr¢ied endowment Funds Funds £'ooo Total lunds 2024 £'ooo 2023 £'ooo Investment m&nagement Generatlrvd voluntary incotne 147 66 15 162 66 56 213 15 228 RESOURCING MISSION AND MINISTRY Mlnlstry In the communltles-stlpend costs Unrestrkted funds General Deslgnated £'ooo Restrlrted Endowment Fund$ Fund5 £'uoo eo Totsl funds 2024 £'ooo 2023 £'oTh) Stlpend5 National insurancelAp. Levv Penslon costs Reffloval, ¥esettlement & othergrant5 OtheF costs 2,137 190 450 iii 2.248 197 489 2.162 39 513 115 231 115 231 152 322 3,123 157 3.280 3,329 40 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 8. RESOURCING MISSION AND MINisfRY lcontinuedl Mlnlstry In the communltles- houslng costs Unresrrlcted fund5 Genero1 DesSgnated 'ooo RestrStted Endowment Funds Funds £'OOD £'ODO Totsl funds 2024 £'ooo Z023 Repairs & Improvernent5 Council tax Water charBes Insurarte ReThi payable Other costs 651 247 65 38 53 360 1.064 247 65 811 250 35 240 240 220 J,245 53 360 1,658 1,378 Total minlstry Sh) the communltles 4,368 53 517 4,938 4.707 Support for mln5stry Lay mlnlstry & chaplalndes Nètwork Youth Mlnlsters and Interns Chaplalns 355 355 306 27 27 31 382 382 337 TraInI￿ & Mlnlstry development Ordalned minlstry.'_ Ordlnands Curates MinTr5try development Lay t¥alning Northern Mlsslon Centre 313 13 52 12 133 316 13 52 12 133 385 14 20 18 129 523 526 566 Restore Icumbylal ?s 25 35 Gad ForAII stratezv Support for loEal Ihurthes Reach Team Pioneerlng minlstrles 214 214 272 127 321 662 214 272 357 252 275 700 127 321 1,148 Caroforchurch bulldlngs 85 226 311 207 41 CARLISLE DIOCESAN BOARD OF FINANCE UMITED NOTES TO THE FINANCIAL 5TATEMENT5 For the year ended 31 December 2024 8. RESOURCING MISSION AND MINISTRY IcontSnuedl Unrestrlcled funds GenÈral Deslgnated £'ooo £'o Restrlcted Funds £'ooD EndowmeDt Funds £'ooo Total funds 2024 £'ooo 2023 Mln15trysupporl Natlonal Church Dlocesan Church Partnershlps Retlred cler8y 270 655 21 270 65S 21 62 270 19 45 62 946 62 1.008 934 Total supportfor mlnlstry 2,636 152 612 3,400 2.963 rotal Company resourdnB m155knn & mln15lry 7,004 205 1,129 8,338 7,670 TralnlhK & ministry development- Mln15try development 342 342 321 Total Group re50urdng mlsslon & mlnlstry 7,004 547 1,129 8,680 7.991 EDUCATION Unf¢Strld*d funds General esi8noted £'ooo £'ooo Restrtcted Endowment Funds Funds £'o¢Jo £'ooo Totalfunds 2024 £'ooo 20Z3 £'ooo Support for church schools Grant5 to church schools 368 22 390 li 376 368 376 10. OTHER RESOURCES EXPENDED ilnrestrirted lunds General De5ignatEd £'ooo Remilded Endowment Funds Funds eooo Total funds 2024 eooD 2023 Defidt on flxed asset5 loo l(M) 299 Compèny total 100 299 Deflclt OD fixed assets Consolldated total loo ILK) 301 42 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TOTHE FINANCIAL STATEMENTS Forthe year end￿ 31 December 2024 11. ANALYS15 OF CONTRIBUTIONS TO ARCHBISHOPS. COUNUL Unre5trlcted funds General De5ignaied £'ooo Restrlcled Endowmenl Fund$ Funds £'ooo' Total funds 2024 £'ooo 2023 £'ooo £'ooo N&t￿n31 Church Grants & prov15Ions M1551Dn Agency pensions Retlred clergy housing 127 22 127 22 124 22 88 237 237 237 12. ANALYSIS OF EXPENDITURE INCLUDING ALLOCATION OF SUPPORT COSTS Grant Funding of AttlvltSE$ £'ooo Undertaken Dlrettlv £'ooo Support Costs £'ooo Total costs 2024 £'OOD 2023 £'ooo Paislng funds Charttable acbvltles: Resourcing Mission & Mlnlstry Edutation Rydal Hall Other 122 106 228 7,409 292 1,400 i￿) 693 io 578 99 14 8,680 401 1,414 100 7,991 376 1,375 299 9.323 703 797 10.823 10.227 13. ANALYSIS OF SUPPORT cosrs Unre5trl¢tÉd funds General Dpsl8nated E'OOO Restrlrted Endowment Funds Funds É'ooo Tolalfund5 2024 £'ooo Flnance and adminlstratlon Management cost5 Human resources Audltor's ternunEratb)n Goverr¥arKe 376 148 190 24 59 376 299 112 167 23 190 24 S9 797 797 670 Goverrhance cost5 include the cost of preparlng annual aca)unts. and the cost of Board meetlngs, Bishop's Councll and Diocèsan Synod. 43 CARLISLE DIOCESAN BOARD OF FINANCE.LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 14. ANALYSIS OF GRANTS MADE Grantsto IDstltutlon5 £'ooo Grants tt) rndlvldua15 £'ooo rotal 2024 Total 2023 £'ooo From unre$triLted funds-. Contribut10115 to Archblshops. Countll From restrr£ted funds: Resourcing min15try and mi5$10n-. Giant5 to parlshes Grants lor ordlnands Grants lo c5erÉy Grants to retired clergy Educatlon Grants to church schoo15 237 237 237 230 70 230 76 115 60 347 88 152 43 115 60 li li 548 181 729 44 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year end￿ 31 December 2024 15. RYDAL HALL Rydal Hall Lid is a wholly owned 5ub5idla¥y comparby incorporated in England. On 21 December 2017 it became a registered chaflty. It Is the sole owner of a trading company, Rydal Hall Tradlng Ltd. Its principal actlvlty Is the opèratlon of the Carllsle Diocesan Retreat House and Conference Centre at Rydal Hill, Ambleside. Rydal Hall is owned by the Carlisle DBF and leased to the subsidiary. Any taxable profits made by the subsidiary are donated to the DBF. Audited accounts ale filed annually with Companles House. A summary of the consolldaled trading resulis of Ryda5 Hall Lid and It5 subsidiar¥ Is shown below. Unrestrlcted I￿ndS General Desi8nated £'ooo Restrlcted Endowment Funds Funds vooo £,￿0 Totsl funds 2024 £'ooo 2023 Turrb)ver other opeTating income Government Grènts 1,324 1.324 1,292 1.324 1,324 1,292 Interest receivaue Totsl Income 1.330 1.330 1.298 Cost of sales Admlnlstrative expenses 213 1,187 213 1,187 1,155 Total expenditure 1.400 1.400 1.363 PTollt/ Ilossl on ordlnary ¥Ltlvltles befor• 1701 1701 1651 Taxation Prof￿/{105$1 on oidlnary a¢tlvltles after tax 1701 1701 1651 Retalned prollts blf 13101 13101 12451 Retained proflts clf 13801 13801 13101 Other reserves 269 269 269 Total lund5 carried foNard Iiiil Iiiii 1411 Flxed assets Neicurrent assets / 167 12781 167 12781 142 11831 N¢t assets Iiii Iiiil 1411 Included In administratlve costs above are payments to the DBF of £17,00012023'. £16,(￿10) a5 a Mlnlslry Offer contribulion In support of Its Chaplain. Company Number 02561024 Charity Number 1176419 45 CARLISLE DIOCESAN BOARD OF FINANCE IIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 16. RVDAL HYDRO LIMITED Car1151e DBF owns 3 50% share of Rydal Hydro LimSted as a loint venture after investing £700,tKM) In the Issued share ¢apltal of the company. Rydal Hydro Llmited wa5 incorporated in England on 26 February 2014 in order to construct a hydroelectric plant on Rydal Beck in the giounds of Rydal Hall to generate renewable electrlcity. The DBF'S share of the results and net assets of Rydal Hydro Limlted are shown below. Unie5trlttod funds 6eneral Deslgnated £'ooo É'ooo Re5trf£led Endowment Funds Funds £'ooo £,(￿0 Total funds 2024 £'ooo 2023 £'ooo Turr￿er Costof sales 471 1121 471 1121 309 1161 Gr055 pro*lt Admlnlstratlve expenses 459 459 11181 293 1951 Opeiatlng profit IntÈrÈst recelvab 341 341 ProfltllL055) on Drdlrbary activitle5 before tax Taxation 344 1871 344 1871 199 1481 PYofft/llossl forthey•ar Retalned proffts blf D￿lde￿Il5 pald 257 104 12711 257 151 128 11751 12711 RetBlned proffts ￿f 90 104 Called up share capiial Sh8re premlum OttOLint 693 693 693 Total fund$ ¢AnledfornTard 790 790 Flxed assÈt$ Net current assets Credltors falllng dueafter morethan one year 821 72 821 72 841 65 IID31 11031 11021 Net assÈts 790 790 Cornpany Number 08912230 46 CARLISLE DIOCESAN 8OARO OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 De￿mber 2024 17. REsfoRE ICUM8RIAI Restore Icumbrlal had historically been a dormant company. On I july 2020. the staff. net assets and activities of the Dlocese's OPSHOPS network of charity shops and ministTy were transferred to Restore (Cumbrial. subsidiary rharity of the Carli51e DBF. Unrestrirted fund5 General DÈslKrtated E'OOQ Resblcted Endowment Funds Fvnds £'ooo £'oco 2024 'ooo 2023 Income from.. Turnove Grant5 ènd Donatlon5 Governrr*nt Grants 341 341 92 305 57 83 Total Income 350 83 433 362 Resour￿$ expended: C05t5 of sales Admlnistratfve Expen5e5 347 52 399 351 Total resource5 expended 347 52 399 351 Nel Income forthe year 31 li Tran5fer5 between Funds 31 1311 Retalned funds blf 52 52 104 93 R•t4ln•dfunds clf 86 52 138 ID4 FIKed a￿ts Net current a55ets Crediiors fallln8 dve after fflore tban one year 19 52 i(K) Net assets 86 52 138 104 Included In grants and donation5 above Is a grant from Cadi51e DBF of £55.00012023'. £35,000). The above-named charity- Restore {Cumbrial- Is entltled to and is uslng an audlt exemptlon under Sectictn 479A of the Companles Act 2(MJ61'Yhe ACVI. The member5 have not requlred the charlty to obtain an audlt for the year In question in accordan￿ wlth Section 476 of the Act. In accordance with Sectlon 479C of the UK Companles Act 2006, the charity - Carlisle DBF - has irrevocab guaranteed the Ilablllties of its above-named subsidiary in respect of the financial year ended 31 December 2023. Company Number 08146662 Charity Number 1187078 47 CARLISIE DIOCESAN BOARD OF FINANCE UMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 18. TAXATION Carlisle OBF Is a registered charity and has no liability to corporation tax. 19. ￿AFF COSTS 2024 £.￿0 2023 E'OOO Empbyeecosts durinE the yearwere as follows: Wages and salaries Natlonal InsurarKe rontrlbution5 Empbyerfs contrlbutionsto penslon schemes 2,710 253 343 2,476 220 325 3,306 3,021 The aveFa8e number of person5 eTnplDyÈd by the group during the yeaY- Number Number Re5ourcln8 mlnistiy and mlsslon Educatlo Restore Cumbrts (Thr15tlan Le3rTrlng Rydal Hall 12 io 24 36 98 loo Of these p05ts, 26 were externally funded thiough erants recelved from the Archblshop's Councll and other mlssion partners. The average number of persons employed by thÈ group dudng the year based on full-time e4uivalènts'. Number Numbor Re50urtlng mlni5tryand mlsslon Educètlon Re5tote Rydal Hall 47 39 io 30 22 82 The numbers of staff whose emoluments Ilncluding beneflts in kind but extludsng penslon contrlbution51 amounted to mole than £60,000 were as follows- Number Number E60.(M)0-£70,000 £90,ODO-£I￿,000 48 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTESTO THE FINANCIAL STATEMENTS For the year ended 31 Decernber 2024 20. COSTS OF STIPENDIARY CLERGY Carllsle D8F Is re5ponslble for fundln& vla the Church Commissioners, the stlpends of licensed stipendlary clergy in the diocese. other than bishops and cathedral staff. The DBF is also responsible for the provisson of housing for stipendlary cleT8Y In the diocese induding the Suffragan Bishop but excludln8 the Dloce5an Blshop and cathedral staff. The stipends of the Diocesan Bishop and Suffragan Bishop, funded by the Church Commi55ioneTS, are in the range £60,000- £65,00012023 range £60,000- £65.000I. The annu31 rate of stipend, funded by Carlisle DBF, paid to Aichdeacons In 2024 was £41,72812023- £39.6961. The Diocesan standard stipend for 2024 was £30,54412023- £29,056). Carllsle DBF paid an average of 7712023- 741 stipendiary dergy a5 offtce-holders holdlng parochial or diocesan appoSntments In the diuce5e and the costs were as follows.. 2024 2023 £'ooo stlpends Naiional Insurancp tonlilbutions and apprentlceshlp levy Employe15 ¢ontribut¥)ns to defined beneftt pension 5chernes'. Cuirentyear Delicit reduction 2,332 197 2,237 182 516 3,045 2.964 21. REMUNERATION OF TRusfEES AND OTHER KEV MANAGEMENT PERSONNEL Trustees, emoluments No Trustee received any remuneration foi services as Trustee. The Trustees recelved tr3velling and out of pocket expenses, totallin8 £19,000 I2023- £23,0001 in respect of General Synod dutie5. duties as archdeacon and other dutles as Trustee5. The following table gnies details of the T¥ustees who v4ere in reieipt of a stipend andlor housing provided bv the DBF durirtg the year.. stipend Houslng The Venerable R Newton The Venerable Dr R Pratt The VeneTable V Ross The Venerable S J Fyfe Yes Yes Yes Ves Yes Yes Yes YÈS Xey management personnel are deerned to be those havlnB authorlty and re5pon5ibility, delegated to them by the trustees, for plannin& directin8 and controlling the activities of the diocese. DuTing 2024 they were: Diocesan Secretary and Company Secretary DlrectOT of Education Depury DSocesan Secretary & Head of Flnance Deputy Dlocesah Secretary & Head of Human Ae50urces and Governance Remuneration, pensions and expenses for these 4 employees12023'. 31 amounted to E385.000 12023.. £288,000). 49 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 2Z. ANALYSIS OF TRANSFERS BETWEEN FUNDS Unrestrlcted funds General De55gnated f'OOO £'ooo Restrlrted Endowment Funds Fund5 £'ooD £'wo From 8arche5ter FundfoT Educ3lioTral 5UPPOrt Transfer from Pastoral alc for houslng costs Pèr50nage HousÈs Fund to Paswral Account FroTn General Fund to NEt2ero PropErty FunLI From General Fund to Su5talnabillty Fund From Resource Centre Fund to General Fund 197 222 11971 12221 I￿yj 11,8391 12591 15861 259 586 Net transfers betweenfund5 14251 844 1,420 1,18391 23. TANGIBLE FIXED ASSETS eonsolldated Freehold Land and BuildlnKS Parsonages Houses Freehold Improvefflents Fumiwre and Equlpmgni Total £'oo £'ooo £'ooo Cost or¥aluallon At J&lJanvary 2024 Additlon5 Transfers DI&p05als Revaluatior 8.691 992 32,372 87 16 291 82 41,441 1,090 11,8571 11,8571 At 3111 December 2024 9.683 30515 103 373 40,674 Depreciation At irtjanuary 2024 Dlsposa15 DepreclatKJn for theyear 43 157 200 io 56 At Jilt D¢￿rnber 2024 53 213 266 Net Book Valuè,, Al 31# December 2024 9.683 30,515 50 160 40A08 At >iil December 2023 8.591 313T2 44 134 41,241 50 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TOTHE FINANCIAL sTATEmE￿r5 For the year ended 31 December 2024 23. TANGIBLE FIXED ASSETS Icontinuedl CompaThy Freehold Land and Bulldln65 £'ooo Parsona8es Houses Freehold Improvements Furn5ture and Equipment Total £'ooo £'ooo E'WO C05t or valuation At 151January 2024 Addltlon5 Translers Dlsposals Revaluatlons 8,691 992 32,372 41.154 992 11,8571 11,857 At 31A DKember Z024 9,683 30,515 91 40,289 Deprec13tlon At isl January 2024 Dlswsals Depreclatlon for the year 75 75 At 31* December2024 81 .81 Net Book Value= At 31* December 20 9,$83 30.515 io 40,208 At 311t DÈcember 2023 8.691 32,372 16 41,079 All olthe propèrties in the balance sheet are freehold and arÈ vested In CarlSsle DBF, except for benefice houses whlch are vested in the incumbent. Land and buildlngs at 31 ￿e￿mber 2024 are valued at falf value a5 deemed cost as at 1st January 2014 or subsequent cost. Propertles are subject to a five-year cycle of SUNev and CDnsÈquent repair5 are charged as expendlture. 51 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTESTO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 24. INVEsfMENTS FIXEO ASSET INvE￿mENTs Con5011dated and Companv Value at Addliions i*lJanuary 2024 £'ooo Dlsposals TransfeY5 Change In Market ValuÈ £'ooo Value at 311t December 2024 £'t)00 ro É'ooo £.￿0 Unrestrirted Funds Investment Inlolnt vÈnture5 CBF Investment Fund 1121 25 792 1,131 I,Jos 1310 13 1,923 DesFgnated Funds CBF Investment Fund 2.072 48 2,120 ion 48 2,120 REstricted Funds Investment propertles C8F Property Fund CBF Investmert Fund 2,455 3,595 9,056 11831 20 206 2,272 3,615 9,307 45 15,106 45 43 15,194 Endowment Funds Investment proL*rties Hydroelectric Scheme5 C8F Property Fund CBF Irwestment Fund 7,440 798 2,34D 12,11S 1401 1141 io 278 784 3,183 12.349 833 1451 22,694 833 1401 1451 274 23.716 Total 41.782 833 1401 378 42,953 Total HIstorl￿1 Cost 21,117 833 95 22,045 SOCIAL INVESTMENTS Con5015dated and Company Vahje at Ill January New loans Repald Transfers Adlu$tment on Value at 31rt December 2024 £'QDO 2024 E'orKI settlement £'ooo £,¢￿0 UnreStr￿￿d Fund5 Loansto parishes Loan to Emmanuel Col io io 13 li TOTAL INVESTMENTS Total Consolldated Invesknents 41,79S 833 1421 378 42,964 52 CARLISLE DIOCESAN BOARD OF FINANCE IIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 De￿mber 2024 INVESTMENTS Icontinuedl The soclal invèsiments of Carli51e DBF conslst of conce5sionary loans made to parishes and Ernrnanuel College, for charitable purposes. All the investments relate to the Company. The Company also has an Inve5tment- book value £nll (2023 £nS11- origlnal cost £250,10012023: £250,100) in Rydal Hall Limited. On 31 December 2022, a market value valuailon of the investmenl property was carrled out by David Stout, for and bèhalf of PFK, and Deborah Goodland, for ond on behalf of Walton Goodland- both are RICS Registered Valuers. No formal valuation has been completed Since and the dlrectors consider this valuatlon to remain approprtate at the reportlng date based on recent Imfestment properly sale5 and purchases. Any Income or sales proceed5 arising from Investment Propertles are restrlcted for use of the partlcular re5tri¢ted fund in which they are held. DEBTOR5 Consolldaied 2024 2023 ro Company 20YI 20Z3 £'ooD Duewlthln one year Unre5trftted funds Trade debtors Intef fund balance5 Other debtors 82 1.860 82 84 34 64 IA60 82 64 182 2.024 182 2.024 Destgnatedlunds Trade debtor5 Interfund balances otherdebtors IA63 22 759 32 759 1,488 791 1,463 759 Restrlcted fund$ ol debto Inter fund balance5 Other debtors 383 457 354 383 457 354 42 42 425 811 425 811 EndowrneAt Funds Interfund balances Other Oebtors 497 64 394 497 442 561 836 561 836 Total debtors due wlthin one year 2,656 4,462 2,631 4.430 53 CARLISLE DIOCESAN BOARD OF FINANCE IIMlfED NOTES TO THE FINANCIAL STATEMENTS For the year ended 310e￿Mber 2024 26. DEposrrs Con5011dated 2024 2023 £'ooo £'ooo Company 2024 £'orJo 2023 Unre5trkted fund5 CBF Deposlt Funds 377 305 377 305 Designated funds CBF Deposlt Fund5 194 186 92 89 Flestrlrtedfund$ CBF Deposlt Funds Deposltswlth Church Commlssloners 2,776 119 2,024 22 2,776 119 2,024 220 2,895 2,244 2,895 2.244 EndDwmÈnt fLtnds C8F Depostt Funds 1,346 902 1,346 Total deposlts 4,812 3.637 4,710 3.510 27. CREDITORS: amounts falllng due w5thin one year Cwwlldatsd 2024 Camparby ZO23 Éwoo 20Z4 £￿0 2023 Llnre5twktedlvnd$ Suffjdry ¢redltorsand occruJ15 Interfvnd balances Loan repayment lnsts1men￿. Central Bo3r410l Flnance lJ)33 1506 1.032 1.506 i(M> 639 2,639 De51in*ted lunds Twade Eredlto 46 193 Sundrycreditors4ndiccruJ15 187 23Y 207 BÉstrlctsd fund5 Intprfvnd balan￿$ Sundrycredltois and 3¢tru 1,42 4587 1,424 1,587 3,lJ18 3.388 3A18 3.388 Endowmentfvr*s Interfund 59 59 59 59 Totsl¢redltorshllln8 du8vAthlrtethé year 6.293 4.262 6,086 CARL15LE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENT5 For the year ended 31 December 2024 27. CREDITORS: amounts falling due wlthln one year Icontinued) thln unrestrlcted sundry credltors and accruals, thÈrÈ Is £462,00012023- £445,000) defeTred Income. The one material balance of £330,OOOhas been deferred as proceeds from the sale of a school bulldin8 require Bovemment approval before they can be retained by the charlty. £1 million was borrowed from the Central Board of Finan￿ Deposlt Ftsnd Dloce5an Loèn Stheme In 2014 In order to finance the Investment In Rydal Hydro Llmbted. It was repayable in equal annual Instalments of £IOO,QOO over ten years with interest charged at 0.55% above the CBF Depos*t Fund rate (currently 5.80%1. The final instalment was paid in 2024. 28. SUMMARY OF FUND MOVEMENTS Unre5trlcted Funds-2024 balance al 1slJanuary 8alance 311t December 2024 £'ooo Galns and losses Income £'ooo Expendlture E'OC¥) Transfers £'ooo £'ooo Gener41 funds Reallsed reserve RevaluètlDn reseive I,S64 531 8,118 17,5991 14251 1,658 544 13 2.095 8.118 17,5991 14251 13 2,202 DeslBnated Funds Dloce5an Growth Fund Resources Centre Rydal Hall Sustalnablllty Fund Net Zero Propeny Fund Restoie 2.161 68 48 2.204 210 309 214 25 210 841 420 1531 1251 259 Total Compat)v De51gnated 2,920 12051 844 3,675 Restore Icumbrlal Rydal Hall Llmited 100 1411 383 1,330 13421 11,40)) 141 Iiiii Total Group Deslxnated Funds 2,979 1,781 11,9471 .844 48 3,705 Totsl Group Unrestricted Funds 5,074 9,899 19,S461 419 61 5,907 55 CARLISLE DIOCESAN BOARD OF ¥INANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 Unrestricted Funds-ZOZ3 Balaft￿ 4t 13t January 2023 £'ooo Balance 31rt December Galns and losses £'ooo Income £'ooo Expendlture £'ooo Transfers £'ooo 2023 £'ooo General fund5 Reallsed resÈrve Revaluatlon reserve 1.655 511 7,362 17.2561 1197 1,564 531 20 2,166 7.362 P.2561 11971 2.095 DesSgnated Funds OIDcesan Growth Fund Resoutces Centre Rydal Hall Sustalnablnty Fund Net Zero Property Fund Restore 1,973 1541 178 2,161 100 19g 1401 1351 1361 150 145 250 25 210 309 214 25 Total Company De518nated 2,273 11651 $70 178 2.920 Restore ICumbr¢al Rydal Hall Llmlted 93 24 327 1,259 13201 11.3241 100 1411 Total fjroup Deslgnated Funds 2.390 1.650 11,8091 570 178 2.979 rtst￿ Group Unrestrkted Funds 4,556 9,012 19,0651 373 198 5,074 The Dlo¢esan Growth Fund wa5 created from a legacy from the late Miss A F Hope. It has been S￿pplemented from the Mission Development grants from the Church Commi55ioners 3nd transfer5 from General Funds. The Fund15 used to support the establlshment of youth conÈregatiorss and help parlshes and deanerie5 initlate new work designed to achleve church growth. The Rydal Hall Fund represents the balance of Carlisle DBV5 investment in the 5ubsidiaTy company, Rydal H311 Umited. The Net Zero Property Fund was created in 2023, to bulld a ￿nd to help finance the work requlrèd to reducè the carbon emlsslons In propèrty owned by the DBF. in line with the Church of En8land'5'2030 Net Zero, target. The Restore Icumbila} Fund represents the investment in the network of local shop5 through which thi5 subsldiary charity, and lotal churche5, provide cornmunity support and outreach for the local communities. The Sustalnablllty Fund was created to.buSld a fund towards the expendlture Ilkely to be requlred In future years to fund changes to bring about more sustalfiable mode15 of mission and ministry across the Diocese. 56 CARLISLE DIOCESAN BOARD QF FINANCE LIMITED NOTES TO THE FINANCIALSTATEMENTS For ihe year ended 31 De￿￿be1 2024 Restrfcied SncomeFunds-2024 Balance 3111 Deomber 2024 Galns arKI losses January 2024 lrtcomo ExpendltUTe Transfers 'ooo £.￿0 £'o £,￿0 arche5ter Fund stlpends Fund P8storalAccount Dlocesan Houses Fund Parish Property Fund Retired Clergy & Depentlants lThcoThe Fund Church Commlssloners Fufid5 OtherRestricted Income Funds 7.615 379 1471 11971 1681 7,682 60 8,235 8,081 6,672 8,081 413 264 13891 'l.S96 92 16 1731 21 li 56 541 1621 15411 io io 509 45 1651 497 Tolal Group Restrlcted Income Funds 23,366 1,301 11.177) 1.420 43 24,953 A￿lrIttpd Income Funds- 2021 Balance at IitJanu8ry 2023 £'ooo Balante 3111 De¢ember Z023 ro Galns and losses Ino)mg Expendlture Transfers £'ooo £'ooo 8a¥chester Fund stipends Income Fund Pastoral Account Dbcesan House5 Fulld Parlsh Property Fund Retlred Clergy & Dependants Income Fursd ChLTrrch Commlssloners Funds other Restricted Income Funds 7.240 241 1631 11541 351 7,615 60 6,672 8,081 413 6.334 8,065 417 369 16 14 (J931 114 44 59 217 1451 14361 229 io 452 1621 33 509 T¢xal Group Restrl¢(•d Incom4 Funds 22,789 1.002 18631 11041 542 23,366 The Barchester Fund comprises closed schools and school houses and their sale proceeds. These are held bv the DBF and administered by the Diocesan Board of Education to 5UPPOrt rellglous education and the work of ChuTch schools in the Dlocese. School Funds, of which Carlislp DBF is Custodian Trustee, are not Included wlthin the Barchester Fund as the DBF recelves no benefit from these funds. The Stipends Income Fund is Boverned by the Di0￿50n Stipends Measure 1953, as subsequently amended, and is used to augment the clerBY Stipends. Its income comes from glebe and other StlpenLts Capital Account investments, asslgned fee5 and the Chur¢h Commlssloners. The Income 15 included In the DBF'S General Funds in accordance with the stated accountlng pollcy where It contributes towards the total cost of stipends which ale pald from Gerteral Fund5. 57 CARLISLE DIOCESAN 80ARD OF FINANCE LIMITÉD NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 The Dlocesan Pastoral Account receives the sale proceeds of Churches and Parsonages which have become redundant undeT pastoral reorganisation. Its uses are governed by Section 94 of the Pastoral Measure 2011, and In¢lude grants and loans for Parsonage and Church provision, restoration, Improvement or repair and other purposes of the Diocese or any benefice or parlsh. The reserves are represènted by investments with the Central Board of Finance and by loans to parishes. These assets are Included under the approprlate headings lft the DBF'S Balan￿ Sheet. The Dlocesan Houses Fund consists of those propeltles In the legal ownershlp of Catlisle DBF las distinct from benefice houses) other than InvestmÈnt propertles. ThÈ purchase of such propertles Is funded primarily from the Pastoral Account. The Parish Property Fund Iformerfy Dlocesan Loan Fund) 55 used to provlde loans and grants to parSshe5 for impTovements and repalrs to thurches and other parlsh property. The Church Commissioners Funds relate to grant fvnding from the National Church, reslricted for specific projects. Endowment Funds-2024 Balance at lit lanuary Balance 31* December Galns and losses 2024 £'ooo In¢cme E'OOO Expendllure Transfers f'ooo 2024 £'ooo Permanent Endowment Funds Stipend5 Captt31 Fund Educatlon PWM World M15slon Readers Board General 22.360 45 70 717 242 23.467 46 72 118 119 22.595 148 717 246 23,706 Expendable Endowment Funds Par50nages House5 Fund Retlred Clergy & DepeTKlants Fund 32,867 911 12,5561 31.122 1,428 28 1,4S6 34,295 911 IIINJI 12,5561 28 31578 Total Group Endowment Funds 56,890 1,059 iiooi 11,8391 274 56,284 58 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TOTHE FINANCIAL STATEMENTS For the year ended 31 December 2024 Ernlowment Fund5- 2023 8818nce at IitJanu/ry E023 £'ooo Balance 31st 0¢￿mber 202a rooo Galn5 and losses I￿orne £'ooo Expendlture £'ooo TraTh5fers £tyOO Pernianenl Endowmenl Funds Stipends Capital Fund Educatlon PWM World M1551on Readers Board General 21,611 41 94 1591 714 22,360 45 70 126 181 118 21,844 94 1591 716 22.595 Expendable Endowment Ful￿$ Parson4ge5 Houses hjnd Retlred Clergy & Dependants Fund 32,943 433 12401 12691 32.867 1.324 104 1,428 34,267 433 12401 12691 104 34,295 Totsl Group Endowment Furttts 56,111 527 12991 12691 &20 56.890 The Permanent Endtswment Funds are held where the DBF has no power to convert the capital into Income. The capltal is invested and the incorne used for the purposes as Indlcated. The Diocesan Stlpends Fund Capltal Account is governed by Section 38 of the ChuT¢h Property Measure 2018. It conslsts of investments with the Central Board of Flnance and glebe propertTre5 and is held to Pfoduce income for cler8Y Stipènds. These o55ets are Induded under the appropriate headlngs in the DBVS Balan sheet. The Parsonages Houses Fund represents those house5 which are benefice propertyi vested in the incumbents. Carlisle DBF nèverthele55 has financial responslblllty for parsonaÉes and they have been induded in the Balan￿ Sheet valued at deemed cost based on valuations at 31 December 2013. The Retired CleTgy and Dependant5 Fund provides for the relief of poverty by a5slstlng retired clergy, Ilcensed lay workers or deserted spouses of dergy who reside or served In the Diocese, and their dependants. 59 CARLISLE DIOCESAN BOARD OF FINANCE LIMrrED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2024 29. SUMMARY OF ASSETS BY FUND Company Flxed Asseis Tanglble Imvestmenls £'ooo Net Curient Assets Liabilities fter I year É'uoo NÈt Assets ZQ24 £'ODD Net Assets 2023 £'ooo £'ooo Unre51rlcted Funds General Funds io 1,934 258 2,202 2.095 OesFgnated Funds Dlocesan Growth Fund Resovrces CetbttE Rydal Hall Su5tainabllity Fund Netzero Property Fund Restore 2.120 2,204 2,161 210 841 420 210 ?io 420 214 25 2,120 1,555 3,675 2,920 Restricted Fund5 Barche5ter Fund 5tlpends Income Fund Pastoral k¢O￿nt Dlc*esan Houses Fund Paw15h Property Fund Retired Clergy Incorne thurch Commissbners other Funds 7,343 339 7,682 60 8,235 8,081 388 7.615 6.280 7SO 408 22 1,955 12,2071 1201 1221 io 106 6,672 8,081 4L3 9,538 io 497 io 509 391 9,538 15,194 221 24,953 23,366 Perni4nent Endowment Funds stlpend5 Capltal Fuhd Education PWM World Mlsslon Readers 6oard General 22,226 46 72 1,241 23,467 46 72 22,360 45 70 119 119 118 22,465 1.241 23,706 22.595 Exp•ndable Endowment Funds Parsonages Houses Fund RetlTed Clergy & Oependant5 Fund 30,515 607 31,122 32,867 145 1.251 60 1,456 1,428 30,660 1,251 667 32,578 34.295 Totsl Endowrnent Funds 30,660 23,716 1,908 56,284 56.890 Total CompatFy Funds 40,208 42.964 3.942 87,114 85.271 Unre5trlcted Fund5 Resto Rydal Hall Ltd 38 162 103 12731 141 iiiii l(K) 1411 Total Consolldated Funds 40,408 42,964 3.772 87,144 85,330 60 CARLISLE DIOCESAN BOARD OF FINANCE UMITED NOTE5 TO THE FINANCIALSTATEMENTS For the year ended 31 December 2024 PENSIONS The DBF partidpate5 in two pension scheme5 administered by ihe Church of England Pensions Board, which hold5 the asset5 of the schème5 separately from those of the DBF and the other participating employers. One olthese Is the church of En8land Funded Penslons Stheme for stipendlary Elergy. The other Is the Church Workers Penslon Fund. The Church Worker5 Pension Fund has a sectlon known a5 thè Deftned Benellts Scheme, a deferred annuity section known as Penslon Bullder CJas5ic and a cash balan￿ sectlor* known as Penslon Bullder 2014. These scheme5 are multi-employer last man standln8defined benefit pension schemes forwhich the DBF Ss unable to Identify its share of the undÈrlylng assets and liabillties as each ernployer Is exposed to actuarial risk5 assodated wlth the current and former employee50f otherentitle5 participating in thescheme. For multl*mployer scheme5 where this is the case, paragraph 28.11 of FRS102 requlres the DBF to account for pen51on cost5 on the basss of contributions actually payable to the scheme In the year and. where contrlbvtions are affected by a surplus or deficit in the scheme, to disclose Information about the surplus or deftclt and the implications gf the surplus or deficlt for the DBF. A valuation of each scheme Is carried out On￿ every threeyears. Church ot England Funded PensSon Scheme With effect from I January 1998, dlocesan clèrBy became members of the Church of England Funded Pension5 Scheme. Thls defined benefit scheme provide5 benefit5 lJ3sed on the National Mlnlmum Stipend in the year before thelr dale of retirement and provldes for that part of the benefit that relate5 to pensionable service aftet ljènuary 1998. BenÈfils are currently beingattrued on the basis of half of the National Mlnlmum Stlpend INMSI belng pald as the normal perhsion on reaching thè agè 0168 on completion of maxlmum servlce of 41.5 years, or 1.25 tlmes thls amount for archdeacons, plus a lump sum of three times the pension based on the previous yearfs NMS payable from the scheme. Pensions in respect of pensionable 5eivlce befoTe l January 1998 will be provided for by the Church CoMmi￿10ners under the prevlous arrangements. At the end of the year the DBF wa5 paying contributiot)s for 81 mèmbers of the scheme out of a total membership of approxlmately 8.500 active members. Each participating employer in the scheme pays contributions at a common contributlon rète applied to the previous yearfs National Minlmum Stlpend. As this is a multi-employer scheme and it is not possible to attribute thè scheme's assets and Ilabilitles to speciflc employer5, the scheme pension costs are accounted for 35 Sf the scheme were a definèd contrlbutlon scheme and the penslon cost charged to the Statement of Financial Activitie5 15 the contributions payable for the year towards beneflts earned in that year plus the impact of any deficit contribution5 (see below). The most recent scheme valuatSon completed was carrled out at as 31 December 2021. The 2021 valuatlon revealed a surplu5 of £560 milllon, based on a55ets of £2,720 mlllion and a fundlng target of £2,160 mllllon, asse55ed uslt)8 the following assumptlons: An average dlscount fate of 2.7% p,a., RPI Inflatlon of 3.6% p.a. land pension increase5 conslstent wlth thi51,' CPIH inflation In Ilne with RPI less 0.8% pre 2030 movlng to RPI wlth no adjustment from 2030 onwards" Increase In pensionable stlpends In line with CPIH,. Mortallty In accordance wlth 90% of the S3NA VL tables, with allowance for improvements in mortallty rates in line wlth the CM12020 Èrtended model with a long term annual rate of improvement of 1.5%, smoothlng parameter of 7, an initial addltlon to mortality irnprovements of 0.5% p.a. 8nd an allowan￿ for 2020 data of 0% lie 2020- 0%) 61 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December Z024 Followlng finalls3tion of the 31 December 2021 valuatlon, deflcit contributions ceased wilh effect from I January 2023. slnce the Stheme was fu51y funded. The defic5t recovery contrlbjjtlons under the recovery plan in force at each 31 December were as follow5: % of pensionable stipends 7.1% payable from January 2021 to December 2022 Nll13.2% payable from Aprll 2022 to December 20221 31 Decernbw 2021 31 December 2022 31 December 2023 310ecember 2024 5ectlon 28.IIA of FRS 102 requlres agreed deficit recovery payments to be re¢ognised as a fiabiliiy. However, as there are no agreed defidt recovery payments from l January 2023 onwards, the baS3nce sheet Ilability as at 31 De￿mber 2023 and 2024 is nil. The movement In the balance sheet liablllty over 2023 and over 2024 Is set out In the table below. A reconclllatlon of the balance sheet Ilabillty., 2024 £'ooo 2023 £'ooo Palance Sheet liab111ty as at I january Deficit contribution paid Interest cost Irecognised In the SOFAI Re-measuiement of the balan￿ sheet liability Balance sheet liability a5 at 31 December Thls Siabllliy represent5 the present value of the deficit contributions agreed a5 at the accounting date and has been valued uslng the followlng assumptlons. No assumptlons are needed for December 2024 as there are no agreed defic1t recovery payments golng forward. No prlce Inflatlon assumption was needed for December 2023 or 2022 slnce pensionable stipends for the remaindei of the recovery plan were already known. December Oecember December 2024 2023 2022 Dlscount Rate nla nla nla nla nla nla nla nla Price Inflatbon Increase to total pensionable salary nla The legal structure of the scheme is such that If another Responslble Body fai15, Carllsle DBF could become responsible for paying a share of that falled Responsible Bodvs pen51on Ilabllitles. 62 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTESTO THE FINANCIALSTATEMENTS For the year ènded 31 December 2024 Church Workers Penslon Fund- Defined 8eneflts Sthemè The Defined Benefit5 Stheme I'DBS"15ection of the Church Workers Pension Fund provides benefits for lay staff based gn final pensionable salaries. At 31 December 2024. the DBF has no actlve members, 11 defeired and 38 pensloner members in the scheme. It is not posslble to attribute the schernE'S assets and liabllities to spedfic employers, slnce each employer. through the Life Rlsk Pool, Is exposed to actuarial risks associated WTth thè current and former employee5 of other entities p3rticipating in the DB5. In such cases FRS102 requires the scheme penslon costs to be accounted for a5 if the scheme were a defined tontributlon scheme and thÈ pension cost charged to the Statement of Flnanaal Activitles is the contrlbutions payable for ihe year towards benefits earned In th3t year IE67,000 over 2024 compared to E43,000 over 20231 plus the impart of any deficit contributions (see below). For fundlng purposes, the DBS is dlvided Into sub-pools in respeci of each participating employer as wèll as a fvrther sub-pool, known a5 the Life Risk Pool. The Life Risk Pool exists to shale certain rlsks between employers, including those relatlng lo mortallty and post-retlrement investment returns. The division of the D8S Into sub-po0￿ Is notional and Is for the purpose of calcvlating tsngolng contributiOn5. They do not alter the fact that the assets of the D8S are held as a slngle trust fund out of which all the benefrts re to be provided. From time to tim&, a notional premlum Is transferred from employers, sub-pools to the Llfe Rlsk Pool and all pensions and death benèfits are paid from the Life Risk PODI. If, following an acluarial valuatlon of the Life Risk Pool. there 15 a surplu5 or deficlt In the pool and the Actuary so recommends, further tran5fer5 may be rnade from the Llfe Risk Pool t¢> the employers, sub-pools, or vlce ver5a. The amounts lo be transferred land their allocation between the sub-ptsolsl will be settled by the Church ol England Pensions Board on the adviee of the Actuary. A valuation of the DBS is carrled out once every three yEars, the rTK)St recent having been carried out as at 31 December 2022. The overall Surplus in the OBS was £73.6m. sIn￿ 31 December 2023, Ihe Board has entered into a full buy-in agreement wlth Aviva to Insu￿ a15 accrued benefits wfjthln the DBS of the CWPF. Following the valuation. the DBF entered Into an agrèement with the Church Workers Penslon Fund to a contrlbution rate of 37.9% of pensionable salarles. 2024 ¢ooD 2023 Balance sheet Ilabillty a5 at l January Contributions paid Interest cost Ireco8ni5ed In the SOFA) Re-mea5ureinent of the balance sheet Ilability Balance Sheet liability a% at 31 December A5 a result of a consultation, it was decided to discontinue the pensSon scheme with a buy-out and actlve membeTS having their pension provision changed. As a re5Ltlt of the current invèstment market, the scheme 15 sat In an excèss asset posltlon and so a declsion was laken to allow employers such as Carllsle Diocesan Board of Finan￿ to access a notional proportion of the surplus. Scheme valuatlons were undertaken, deductlons made for expecting scheme closure wsts, contlnBency funds and other deduction5 as a result of o￿OI￿g case law. A notSonal 5UTplus wa5 attributed to the ¢harlty of £535,000 however this is Subject to change as the scheme c105e down Is finallsed. 63 C4RLISLE DIOCESAN BOARD OF FINANCE UMJTED NOTES TO THE FINANCIAL STATEMENTS For the year ended al Decèmber 2024 This notlonal surplu5 can only be accessed throuBh a deduction against employer penslon contributions as they fall due and a5 sud), only amounts deducted in the reporting Per￿0￿ have been recognised as income in the pÈriod (see note 321. 31. CAPITAL COMMITMENTS Group expenditure contracted for but not provided on the flnanclal statements was £nil12023.. £12,000- Charity £nill. 32. RELATED PARTY TRANSAclloNS Details of transactlons with the maln relèted parties of Carllsle DBF are given In the appropriate note5 to the financial statements. Ar¢hblshops' Councll and the Church CommlssSone As detalled in note 2 CarllsSe DBF received grants from the Archbishops, Council totalling £1,418,00012Q23'. £1,235,000). £37,0(K)12023-. £49,0001 was received from the Church Ctsrnmlssioners for rent tsf the 8Sshop's House. Payments were made to the Archbishopg Council for contributions to the National Church and for trainlng of OTdinands totalling £519,00012023'. £514,OODI. Payments of £2,540.OIX)12023.. £2,486.OWI were made to the Church Commissioners for clergy stlpends and the Church of En8land Pensions Board was pald £516.00012023'. £545,000) for clergy pensions. £nil12023.. £52,(K)01 ol der8y penslons was outstanding at the year end. Further payments were made to the Penslons Board for lay pensions of £116,00012023: £320,ocKII. The balance due to the Pensions Board at the year-end for December's contrlbutions wa5 £1,000 12023.. £21.0001. Penslon contiibutlons were grossed up In staff cost5 and other Income with the £262,00012023 £nill of penslon contributlons covered by the pensions tontrlbutlon holiday (see note 301 Rydal Hall Ltd15ee ftote 151 Durlng the year Rydal Hall Ltd paid £17,(XJO12023.' £16,000} to Carlisle DBF as Its Minlstry Offer contrlbution, in svppoit of bts Chap13in. Carlisle D8F made grants of £nil12023'. E43,0001 to Rydal Hall Ltd. At the year-end Rydal Hall Ltd owed £282,(￿K}I2O23- £175,IKJOI for outstandlng staff salarfe5 and expen5e5. Rydal Hydro Ltd15ee note 161 Rent of £40,00012023'. £24,000) and divldends of £255,00012023- £I75,C￿l wère received from Rydal Hydro Ltd. Scartdale Hydro Ltd Dividènds of £319,IKJO12023'. £187,LKQI were re¢elved from Scandale Hydro Ltd. of whlch Carllsle DBF owns one-lhlrd of the shares. Cumbrla Chrlstlan Learnln8 Llmlted Curnbyla Christian Leaming has been dormant SIn￿ l January 2022 and no transactlons occurred nor ye3r-end balances existed at 31 December 2024 or 2023. 64 CARLISLE DIOCESAN BOARD OF FINANCE LIMITED NOTES TO THE FINANCIAL STATEM£NTS For the year ended 31 December 2024 32. RELATED PARTYTRANSACTIONS Icontlnuedl Restore ICumbri4}-15ee note 171 In 2024, grants of £55,00012023'. £35,(K)01 were made from the Carlls1e D8F to AÈstore. Al the year-end, Aestore owed £5,00012023: £5,000) to Carllsle D8F. DBE Servl¢es Ltd Carli51e DBF received glftaSd dlstribution5 from DBE Serv1￿ (which Isjointly owned by the North West Dioceses) totalling £15.00012023'. £50,000). Ernmanuel Tralnlng Colle8e At year-end, £IO,00012023., EIO,CMN)I was owed to Carllsle DBF by Emmanuel Trainlng College (which Is jointly owned by the North West Dlocesesl. 65