REGISTERED CHARITY NUMBER: 253762
Report of the Trustees and
Financial Statements for the Year Ended 31 December 2020
for
St Mary's with St George's German Lutheran Church
Peter Upton Bridge House 2 Bridge Avenue Maidenhead Berkshire SL6 1RR
St Mary's with St George's German Lutheran Church
Contents of the Financial Statements for the Year Ended 31 December 2020
| Page | |||
|---|---|---|---|
| Report of the Trustees | 1 | to | 8 |
| Report of the Independent Auditors | 9 | to | 10 |
| Statement of Financial Activities | 11 | ||
| Balance Sheet | 12 | ||
| Notes to the Financial Statements | 13 | to | 21 |
| Detailed Statement of Financial Activities | 22 | to | 23 |
St Mary's with St George's German Lutheran Church
Report of the Trustees
for the Year Ended 31 December 2020
The trustees present their report with the financial statements of the charity for the year ended 31 December 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
OBJECTIVES AND ACTIVITIES
Objectives and aims
The objects of St Mary's with St George's are those of a normal church, including, but not solely, those of worshipping God, preaching the good news of His love in Jesus Christ, celebrating and administering the sacraments, spiritual care for people, and supporting the work of the wider Church of Christian mission and the relief of suffering. For St Mary's with St George's this also includes a particular concern for those who need or wish to worship in the German language, and for the Evangelical Lutheran Church's understanding of the Christian faith.
The object of the John Christian Schreiber Charity for Widows of Ministers is to provide financial support from an investment fund to widows of clergymen or officiating ministers of St Mary's German Lutheran Church. When there is no such widow the income is available by order of the Charity Commission for the purposes of the Church.
The objects of the Benevolent Fund are to make grants of money or gifts in kind, to such persons approved by the Trustees as are in conditions of need, hardship or distress having regard to but not exclusively those who are members of St Mary's German Lutheran Church.
Grantmaking
Grants made to individuals from the charities are now merged in the Benevolent Fund on the grounds of financial needs. Usually there is a budgeted transfer from the general funds of the Church to the Benevolent Fund to supplement the dividend income of the Fund.
Volunteers
With the exception of the Pastor, who is remunerated by the Synod, and the Pastoral Assistant, all services are given on a voluntary basis by the Church Council, who receive no remuneration.
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St Mary's with St George's German Lutheran Church
Report of the Trustees
for the Year Ended 31 December 2020
ACHIEVEMENT AND PERFORMANCE Charitable activities
Services, Membership and Attendance
Services statistics for the last five years are:
| 2020 | 2019 | 2018 | 2017 | 2016 | |
|---|---|---|---|---|---|
| Number of services: | 49 | 44 | 40 | 43 | 44 |
| Average attendance: | - | 26 | 27 | 31 | 25 |
There were no Christenings during 2020, and no Confirmations of youngsters and 2 Funerals.
In addition to the above, the congregation took part in joint services of the London German Churches on the first Sunday of the month, usually held at Christ Church in Knightsbridge or also on Zoom.
At 31 December 2020 the congregation had 87 registered members.
All (main) services normally include the celebration of the Lords Supper. The normal schedule are three services per month. Since 29th March 2020 all congregation join a weekly Zoom service on Sunday (the average attendance of this joined service is between 50-60 participant - this equals 70 persons on average, but from all congregations).
Special Activities
The whole structure of our congregational work changed during the pandemic. From having two groups meeting on a monthly basis, we now moved to the following scheme:
Every Monday: Short video message to be downloaded for a week Every Wednesday: 9am Bible reflection (average attendance: 15)
Every Friday, 6pm: Study and Discussion group "Tabletalks" (average attendance: 20)
All weekends away for the congregation in Hoddesdon based High Leigh Christian conference center and for families (Youth hostel Medway) had to be cancelled.
Daily meetings were scheduled in the weeks before Christmas to celebrate the time of advent ("digital advent calendar").
Together with the International Lutheran Student Center we organised the "World Day of Prayer" , and the Ash Wednesday Service and agreed, after the ILSC was forced to close early in summer 2020, to continue to work together as student chaplaincy and German Church. A memorandum of understanding was produced.
Several Synod meetings were held in Sandwich Street before they also were organised on Zoom. The church council also agreed that the German Synod rents office space in the Church in order to relocate its business address from Tavistock Square to 10 Sandwich Street.
Fundraising activities
The Christmas Bazaar at St Mary’s sadly couldn't take place on the Sunday of Advent this year due to the Covid pandemic.
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St Mary's with St George's German Lutheran Church
for the Year Ended 31 December 2020
Report of the Trustees
ACHIEVEMENT AND PERFORMANCE
Investment performance
Financial activity has remained at a level consistent with previous years. Income from investments representing unrestricted reserves will continue to be used to finance the day-to-day running of the church.
Funds are invested in medium risk COIF Charity Funds, which are exclusively available to charities and are designed to meet the specific investment needs of charities. 76% (2019 - 76%) of the value of investments is held in the COIF Investment Income Fund; 5% (2019 - 5%) in the COIF Charities Fixed Interest Fund; 19% (2019 - 18%) in the COIF Charities Investment Accumulation Fund; and 1% (2018 - 1%) is invested with National Savings.
The value of a unit in the COIF Charities Investment Income Fund rose by 6.42% (2019- Rise of 17.90%) , the value of a unit in the COIF Charities Fixed Interest Fund rose by 3.3% (2019 - Rise of 3.13%) and the value of a unit in the COIF Charities Investment Accumulation Fund rose by 9.8 % (2019 - Rose by 21.67%).
The COIF Charities Deposit Fund paid an average interest rate over the year of 0.13%, which reflects the current period of low interest rates. Cash balances held in COIF Reserve accounts have increased during the year and are at £1,740,411 (2019 at £340,411).
The income from investments remains in line with low interest rates. The Church Council sees the investments and long term assets and fully appreciate that values may fall and rise again in the future. There are no immediate plans to withdraw from COIF Funds as these are still considered to be suitable long-term low risk investments and the charity is reliant on the income from these investments to carry out its activities.
The reserves are mainly represented by endowment funds, resulting not only from the large legacy in 2002 but also from the declaration by the Congregational Meeting at its session of 25 March 2001 pursuant to section 19 of the Church Order deeming certain assets to be church capital. Unrestricted funds available for general use by the church include interest earned on the legacy from Dr Walter Sonnenberg-Norten since 1991.
Internal and external factors
The fluctuating exchange rate is expected to effect the financial position of the charity as although most of its transactions are in Sterling the Pastor's salary is set in Euros so the annual contribution payable to the Synod is expected to increase in future.
Parish House
After the new pastor moved into the manse no major refurbishment was done.
Synod
The 67th Synod Assembly took place on Zoom last year (23/24 October) for the first time. The Synod service was also held on zoom on the Friday and was badly hit by " Zoom bombing". We brought this incident to the attention of the police.
Lutheran Council's "Augustana Centre"
The Augustana Centre no longer exists. We got no income from renting out the premises from the Lutheran Council as they stopped this business.
FINANCIAL REVIEW
Principal funding sources
The most significant financial transaction occurring for many years was the receipt in 2002 of a legacy amounting to around £850,000 (including interest but before tax reclaim). The receipt of such a significant sum of money increased reserves, and provides a substantial annual revenue stream from investments and deposits.
The ongoing activities of the church are funded mainly from income from its investments.
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St Mary's with St George's German Lutheran Church
for the Year Ended 31 December 2020
Report of the Trustees
FINANCIAL REVIEW
Investment policy and objectives
The Church Council only considers what it perceives to be low risk investments which provide constant income streams. These are usually COIF Charities Funds providing both dividend and interest income, but may include cash deposits and National Savings Bonds. The reserves policy is regularly reviewed since there are significant cash balances being held in bank deposit accounts.
Investment Powers
Investment and withdrawal of funds of the Church and of the associated charities shall be decided by the Church Council as a whole with the concurrence of the majority of Trustees.
There are no specific restrictions on the way the charity can operate.
Reserves policy
The Church Council maintains capital and endowment reserves in accordance with the restrictions placed upon them. Income reserves are maintained at levels which are considered to be necessary to cover future expenditure in the furtherance of the charity's objects.
STRUCTURE, GOVERNANCE AND MANAGEMENT
Governing document
The charity is controlled by its governing document, a deed of trust and constitutes an unincorporated charity.
St. Mary's was founded in 1694 in the Savoy Palace. After many vicissitudes (including destruction of its church and school buildings by bombing in 1941) it completed in 1978, in co-operation with the Lutheran Council of Great Britain as lessee, a joint building which houses the latter's International Lutheran Student Centre as well as St. Mary's fifth church premises.
St. George's German Lutheran Church was founded in 1762 and its church building, completed in 1763, still stands in Alie Street, Whitechapel, London E1. The congregation having become too small to bear the cost of maintaining the building, it decided to join up with St. Mary's, the two having shared the same pastor since 1986, and to hand over its church building to the Historic Chapels Trust. The services have been celebrated jointly in St. Mary's Church since Advent 1996, and the merger was completed with the adoption of the joint constitution on 28 March 1999.
The governing document of St. Mary's with St. George's is the Constitution (Kirchenordnung). It provides inter alia that preaching and teaching in the congregation is to conform to the Confessional Writings of the Evangelical Lutheran Church and that St. Mary's with St. George's is a member of the German-speaking Evangelical Lutheran Synod in Great Britain ("the Synod").
Associated Charities
The charities associated with this Church and administered as part of its work are:
(1) The Benevolent Fund in connection with St.Mary's with St. George's German Lutheran Church, registered number 253765
(2) The Charity of John Christian Schreiber for Widows of Ministers, registered number 253763
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St Mary's with St George's German Lutheran Church
Report of the Trustees
for the Year Ended 31 December 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT Organisational structure
Governing Body
The governing bodies of St. Mary's with St. George's are the Congregational Meeting and the Church Council which is the executive body. Its members are the (Managing) Trustees of the Church and of all its property; they elect the holders of the offices mentioned below (other than the Pastor), including three Custodian Trustees.
The land and buildings of the Church are, however, vested in the Official Custodian for Charities.
Among the functions of the Congregational Meeting are the election of the Pastor, the Church Councillors, the appointment of the auditors, the approval of the annual financial statements / Management Accounts, and adoption of the budget.
Among the functions of the Church Council are the adoption of the orders of divine service (with the concurrence of the Congregational Meeting), and decisions on special offerings (such as those for causes outside the congregation).
The Church Council is also responsible for the administration of the church finances, investment decisions (with the concurrence of the majority of the custodian trustees), the keeping of financial records, and the preparation of the budget.
The church does not remunerate any member of the Church Council for their services and is therefore dependent on the services of unpaid volunteers who freely donate their time to the church.
Members of the Church Council
The members of the Church Council, serving from commencement of the financial year until the approval of the accounts were: 1. The Rev. Bernd Rapp, Chairman
- Mrs. Bärbel Grange 3. Dr Matthias Klammer , honorable treasurer since May 2016 4. Dr Martin Liebscher 5 Ms Anne Meyer (Appointed November 2019) 6. Dr. Gudrun Stenbeck, Minutes' Secretary 7. Mr George Little 8. Mrs Barbara Boelmann (Resigned November 2019)
The Congressional meeting on 22nd November 2020 elected all Trustees unanimously for another 3 year term.
The Trustees of the two Linked Charities were the same as the above.
The Congregation is affiliated to the Synod of German Speaking Lutheran, Reformed and United Congregations in Great Britain (the Synod) and to the Lutheran Council of Great Britain (LC).
The member representing us at the Synod has been Mrs Frauke Constable until November 2020. The Congregational meeting elected Dr Matthias Klammer as our new representative; Pastor Bernd Rapp represented the congregation at the Synod and at the LC (since September 2020 Pastor Rapp serves as a Trustee on the Board of the LC).
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St Mary's with St George's German Lutheran Church
Report of the Trustees
for the Year Ended 31 December 2020
STRUCTURE, GOVERNANCE AND MANAGEMENT
Decision making
Among the functions of the Congregational Meeting are the election of the Pastor, the Church Councillors, the appointment of the independent examiner, the approval of the annual financial statements / Management Accounts, and adoption of the budget.
Among the functions of the Church Council are the adoption of the orders of divine service (with the concurrence of the Congregational Meeting), and decisions on special offerings (such as those for causes outside the congregation).
The Church Council is also responsible for the administration of the church finances, investment decisions (with the concurrence of the majority of the custodian trustees), the keeping of financial records, and the preparation of the budget.
The church does not remunerate any member of the Church Council for their services and is therefore dependent on the services of unpaid volunteers who freely donate their time to the church.
St. Mary's with St. George's shares the Pastor with the German Lutheran Congregation of St. Albans/Luton and the German Church Sydenham (Dietrich Bonhoeffer Church).
The German pastors are seconded from the regional churches (Landeskirchen) in Germany via their federation, the Evangelische Kirche in Deutschland (EKD). Their stipends are paid by the Synod. At present there are two Pastors serving in London and the Southeast.
Pastor Bernd Rapp started as Pastor on the 1st of August 2016.
The Church Council decided (as part of the pastoral region London East) to adopt the system of employing a "10-months-minister" offered by the German Church (EKD), which is a program that allows retired pastors to work abroad on a 50% basis. Pastor Manfred Kuhn served from September 2019 until July 2020 in this role! His successor is Pastor Andreas Volke, who started the post 1st October 2020 until July 2021. Both pastors applied successfully for the (pre-)settled status.
Since 1st June 2016 we were fortunate to employ Sabine Seidl on an hourly basis and with up to 5 hours per week to help us as a financial administrator. As Sabine moved back to Germany we are very happy to employ Gabriele Schönfeld since 1st April 2020 under the same conditions and with the same workload.
The Congregational Meeting met twice in 2020 (8th July and 22nd November, both times on Zoom due to the pandemic situation), to deal mainly with finances, the 2019 accounts and the 2020 budget and to hear about the latest Lease negotiations with the Lutheran Council and to receive plans to purchase a small part of the building for our sole use and to further develop and renovate the place. For this task we are working together with Uberraum Architects, London.
The Church Council met 10 times (since March also on Zoom) and there were several meetings of a joint sub committee (comprising members of the three congregations) to organize the work that affects all 3 congregations together.
Major points on the Church Councils agenda was of course the newly evolved situation with the new lease holder Scape and the plans to improve and develop the church into a "Lutheran Hub". It was also decided to bring in someone in an administrative role on a freelance basis for up to 6 hours a week. This was postponed due to the fact that we couldn´t use the church building.
We had several meetings with the new leaseholders Scape to discuss details of their plans for the building. Our legal team from RadcliffesLesBrasseur and Robert Qvist from Danielwatney served as legal advisors and building consultant ("Party Wall Agreement").
Activities during the year
St. Mary's with St. George's shares the Pastor with the German Lutheran Congregation of St. Albans/Luton and the German Church Sydenham (Dietrich Bonhoeffer Church).
The German pastors are seconded from the regional churches (Landeskirchen) in Germany via their federation, the Evangelische Kirche in Deutschland (EKD). Their stipends are paid by the Synod. At present there are two Pastors serving in London and the Southeast:
Pastor Bernd Rapp started as Pastor on the 1st of August 2016.
We have been fortunate to have a Pastoral Assistant working in our parish area until May 2019: an additional pastor, financed by the three above named congregations with the help of grants from St. Paul's Reformed Church. Pastor Barbara Killat is serving as pastoral assistant. She returned back to Germany in May 2019 and we thank her for her exceptional service.
The Church Council decided (as part of the pastoral region London East) to adopt the system of employing a "10-months-minister" offered by the German Church (EKD), which is a program that allows retired pastors to work abroad on a 50% basis. Pastor Manfred Kuhn serves from September 2019 until July 2020 in this role!
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St Mary's with St George's German Lutheran Church
for the Year Ended 31 December 2020
Report of the Trustees
STRUCTURE, GOVERNANCE AND MANAGEMENT
Public benefit
The Trustees are aware of the Charity Commission's guidance on public benefit in the Advancement of Religion for the Public Benefit and have considered the Public Benefit requirement and believe that the Charity's current activities are in line with the Charity Commission guidelines.
The trustees believe that promoting the work of the wider Christian Church within the Parish provides a public benefit through: - Providing facilities for public worship, pastoral care and spiritual, moral and intellectual development for its members and the wider community without exception. - Promoting Christian values and service by members of the Church in and to their communities, to the benefit of individuals and society as a whole.
- Providing assistance, in the forms of special offerings for causes outside the congregation locally, nationally and internationally.
REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number
253762
Principal address
10 Sandwich Street London WC1H 9PL
Trustees
Rev Bernd Rapp Mrs Bärbel Grange Mr Matthias Klammer Mr Martin Liebscher Mrs Monika Schiffer Dr Gudrun Stenbeck Mr George Little Ms Anne Meyer
Auditors
Peter Upton Peter Upton Bridge House 2 Bridge Avenue Maidenhead Berkshire SL6 1RR
Solicitors
The charity's solicitors are RadcliffesLeBrasseur of 85 Fleet Street, london, EC4Y 1AE
Bankers
The charity banks with Barclays Bank PLC, Temple Fortune Branch, Edgware Group, 126 Station Road, Edgware, Middlesex, HA8 7RY and Commerzbank AG, Filiale Fulda, Universitaetsstrasse 7, 36037 Fulda.
Enquiries
Ms Gabriele Schoenfeld, St Mary's with St George's German Lutheran Church, 10 Sandwich Street, London WC1H 9PL, Tel: 07428614309
Parsonage
The Parsonage address is 22 Downside Crescent, London, NW3 2AR.
STATEMENT OF TRUSTEES' RESPONSIBILITIES
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
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St Mary's with St George's German Lutheran Church
for the Year Ended 31 December 2020
Report of the Trustees
STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing those financial statements, the trustees are required to
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charity SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the board of trustees on 5 August 2021 and signed on its behalf by:
Rev Bernd Rapp - Trustee
Page 8
Report of the Independent Auditors to the Trustees of St Mary's with St George's German Lutheran Church
Opinion
We have audited the financial statements of St Mary's with St George's German Lutheran Church (the 'charity') for the year ended 31 December 2020 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
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In our opinion the financial statements:
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give a true and fair view of the state of the charity's affairs as at 31 December 2020 and of its incoming resources and application of resources, for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Charities Act 2011.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
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the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or
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sufficient accounting records have not been kept; or
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the financial statements are not in agreement with the accounting records and returns; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
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Report of the Independent Auditors to the Trustees of St Mary's with St George's German Lutheran Church
Our responsibilities for the audit of the financial statements
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We exercise professional judgement and maintain professional scepticism throughout the audit. It is our responsibility to identify and assess the risks of material misstatement in the financial statements, whether due to fraud or error, to design and perform audit procedures responsive to those risks and to obtain evidence that is sufficient and appropriate to provide a basis for our opinion.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
Use of our report
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Peter Upton Bridge House 2 Bridge Avenue Maidenhead Berkshire SL6 1RR
31 August 2021
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St Mary's with St George's German Lutheran Church
Statement of Financial Activities
for the Year Ended 31 December 2020
| Notes INCOME AND ENDOWMENTS FROM Donations and legacies 2 Other trading activities 3 Investment income 4 Total EXPENDITURE ON Raising funds 5 Charitable activities 6 Grants Staffing Church premises House Church work Total Net gains/(losses) on investments NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted funds £ 9,825 1,989,963 86,515 2,086,303 - 26,000 17,085 9,945 8,506 38,452 99,988 (473,873) 1,512,442 2,083,962 3,596,404 |
Restricted funds £ - - - - - - - - - - - 54 54 13,341 13,395 |
Endowment funds £ - - - - - - - - - - - 702,986 702,986 1,923,133 2,626,119 |
31.12.20 Total funds £ 9,825 1,989,963 86,515 2,086,303 - 26,000 17,085 9,945 8,506 38,452 99,988 229,167 2,215,482 4,020,436 6,235,918 |
31.12.19 Total funds £ 26,369 3,159 84,484 |
|---|---|---|---|---|---|
| 114,012 296 27,050 23,181 - 10,015 24,475 |
|||||
| 85,017 494,596 |
|||||
| 523,591 3,496,845 |
|||||
| 4,020,436 |
The notes form part of these financial statements
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St Mary's with St George's German Lutheran Church
Balance Sheet
31 December 2020
| Unrestricted funds Notes £ FIXED ASSETS Tangible assets 11 69,464 Investments 12 1,732,253 1,801,717 CURRENT ASSETS Debtors 13 17,959 Cash at bank 1,778,304 1,796,263 CREDITORS Amounts falling due within one year 14 (1,576) NET CURRENT ASSETS 1,794,687 TOTAL ASSETS LESS CURRENT LIABILITIES 3,596,404 NET ASSETS 3,596,404 FUNDS 15 Unrestricted funds Restricted funds Endowment funds TOTAL FUNDS |
Restricted funds £ - 899 899 - 12,496 12,496 - 12,496 13,395 13,395 |
Endowment funds £ 784,080 1,847,898 2,631,978 - - - (5,859) (5,859) 2,626,119 2,626,119 |
31.12.20 Total funds £ 853,544 3,581,050 4,434,594 17,959 1,790,800 1,808,759 (7,435) 1,801,324 6,235,918 6,235,918 3,596,404 13,395 2,626,119 6,235,918 |
31.12.19 Total funds £ 251,283 3,351,880 3,603,163 6,692 414,030 420,722 (3,449) 417,273 4,020,436 4,020,436 2,083,962 13,341 1,923,133 4,020,436 |
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 25 August 2021 and were signed on its behalf by:
Mr Matthias Klammer - Trustee
The notes form part of these financial statements
Page 12
St Mary's with St George's German Lutheran Church
for the Year Ended 31 December 2020
Notes to the Financial Statements
1. ACCOUNTING POLICIES
Basis of preparing the financial statements
The financial statements of the charity, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
Financial reporting standard 102 - reduced disclosure exemptions
The charity has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
- the requirements of Section 7 Statement of Cash Flows.
Income
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
Expenditure
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Tangible fixed assets
Tangible fixed assets are capitalised at cost. Revaluation surpluses are taken to reserves. Depreciation, where provided, is calculated to write off tangible fixed assets on an appropriate basis over their estimated useful lives as follows:
Freehold property is stated at cost. No depreciation is provided on the land element as it is deemed to have an infinite useful life. Depreciation is not provided on buildings on the basis that net realisable value exceeds the carrying amount in the accounts.
Equipment includes church plate, church organs, and other fixtures and fittings owned by the church and is stated at cost less depreciation. Depreciation is provided on a straight line basis on cost less residual value at the following rates:
| Church Plate | - 20% per annum |
|---|---|
| Other Fixtures and Equipment | - 20% per annum |
| Hymn Books, Service Orders, etc | - 20% per annum |
| Computer Equipment | -25% per annum |
Motor vehicles are stated at the church's share of cost less depreciation, which is provided at 20% per annum on a reducing balance basis.
Taxation
The charity is exempt from tax on its charitable activities.
Fund accounting
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
continued...
Page 13
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
1. ACCOUNTING POLICIES - continued
Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.
Financial instruments
The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments, which are initially recognised at transaction value and subsequently measured at their settlement value.
2. DONATIONS AND LEGACIES
3.
| Offerings Donations Gift aid Legacies OTHER TRADING ACTIVITIES Bazaar Other events Exceptional items |
31.12.20 £ 145 8,821 859 - 9,825 31.12.20 £ - 442 1,989,521 1,989,963 |
31.12.19 £ 1,142 13,288 1,939 10,000 26,369 31.12.19 £ 826 2,333 - |
|---|---|---|
| 3,159 |
During the year the charity received £1,989,521 regarding the sale of part of the building at 30, Thanet Street and 10 Sandwich Street London.
4. INVESTMENT INCOME
| INVESTMENT INCOME | ||
|---|---|---|
| 31.12.20 | 31.12.19 | |
| £ | £ | |
| Ground rents received | 471 | 930 |
| Dividends | 83,524 | 80,773 |
| Deposit account interest | 2,520 | 2,781 |
| 86,515 | 84,484 |
continued...
Page 14
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
5. RAISING FUNDS
Other trading activities
| Purchases CHARITABLE ACTIVITIES COSTS Grants Staffing Church premises House Church work GRANTS PAYABLE Grants Church work |
31.12.20 31.12.19 £ £ - 296 Grant funding of activities Support Direct (see note costs (see Costs 7) note 8) Totals £ £ £ £ - 26,000 - 26,000 17,085 - - 17,085 1,387 - 8,558 9,945 - - 8,506 8,506 14,388 625 23,439 38,452 32,860 26,625 40,503 99,988 31.12.20 31.12.19 £ £ 26,000 27,050 625 - 26,625 27,050 |
31.12.20 31.12.19 £ £ - 296 Grant funding of activities Support Direct (see note costs (see Costs 7) note 8) Totals £ £ £ £ - 26,000 - 26,000 17,085 - - 17,085 1,387 - 8,558 9,945 - - 8,506 8,506 14,388 625 23,439 38,452 32,860 26,625 40,503 99,988 31.12.20 31.12.19 £ £ 26,000 27,050 625 - 26,625 27,050 |
|---|---|---|
| 27,050 |
6. CHARITABLE ACTIVITIES COSTS
7. GRANTS PAYABLE
8. SUPPORT COSTS
| SUPPORT COSTS | |
|---|---|
| Governance Management costs £ £ Church premises 8,558 - House 8,506 - Church work 2,535 20,904 19,599 20,904 |
Totals £ 8,558 8,506 23,439 |
| 40,503 |
Page 15
continued...
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
9. TRUSTEES' REMUNERATION AND BENEFITS
No remuneration was received during the year by the Trustees, apart from the Pastor, who is paid by the Synod. Total contributions to the Synod towards key management remuneration during the year totalled £26,000 (2019 - £25,500).
Trustees' expenses
During the year £387.64 (2019: £1,102) was reimbursed to the trustees for expenses incurred on behalf of the charity.
10. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES
| INCOME AND ENDOWMENTS FROM Donations and legacies Other trading activities Investment income Total EXPENDITURE ON Raising funds Charitable activities Grants Staffing House Church work Total Net gains on investments NET INCOME RECONCILIATION OF FUNDS Total funds brought forward TOTAL FUNDS CARRIED FORWARD |
Unrestricted funds £ 26,369 3,159 84,484 114,012 296 27,050 23,181 10,015 24,475 85,017 264,300 293,295 1,790,667 2,083,962 |
Restricted funds £ - - - - - - - - - - 128 128 13,213 13,341 |
Endowment funds £ - - - - - - - - - - 230,168 230,168 1,692,965 1,923,133 |
Total funds £ 26,369 3,159 84,484 |
|---|---|---|---|---|
| 114,012 296 27,050 23,181 10,015 24,475 |
||||
| 85,017 494,596 |
||||
| 523,591 3,496,845 |
||||
| 4,020,436 |
Page 16
continued...
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
11. TANGIBLE FIXED ASSETS
| COST At 1 January 2020 Additions At 31 December 2020 DEPRECIATION At 1 January 2020 Charge for year At 31 December 2020 NET BOOK VALUE At 31 December 2020 At 31 December 2019 |
Freehold property £ 181,769 602,311 784,080 - - - 784,080 181,769 |
Fixtures and fittings £ 112,810 - 112,810 43,616 923 44,539 68,271 69,194 |
Motor Computer vehicles equipment £ £ 5,750 3,913 - 1,378 5,750 5,291 5,750 3,593 - 505 5,750 4,098 - 1,193 - 320 |
Totals £ 304,242 603,689 |
|---|---|---|---|---|
| 907,931 | ||||
| 52,959 1,428 |
||||
| 54,387 | ||||
| 853,544 | ||||
| 251,283 |
All assets owned by the church are held for charitable use in the furtherance of the church's objectives.
Freehold Property comprises the church premises of St Mary's and the Parish House. The church premises of St George's is owned by the Historic Chapels Trust and does not form part of the church's assets. The land element included in Freehold Property cannot be reliably estimated and a valuation of the total market value of freehold land and buildings owned by the church is deemed unrealistic as the church property is regarded as unmarketable due to the very long renewable lease held by the Lutheran Council.
Fixtures and Equipment include church plate stated at cost or valuation totalling £67,125, which is based on a professional valuation in 2000 as most items are hundreds of years old and the actual cost of these items is unknown. No depreciation is provided on church plate due to the high residual value of these items. Candle holders and an altar cross which the St George's congregation brought to St Mary's when joining are now being kept at the newly refurbished St George's premises, but they remain the property of St Mary's and are insured by the Historic Chapels Trust.
12. FIXED ASSET INVESTMENTS
| MARKET VALUE At 1 January 2020 Revaluations At 31 December 2020 NET BOOK VALUE At 31 December 2020 At 31 December 2019 |
Listed investments £ 3,322,880 229,170 3,552,050 3,552,050 3,322,880 |
Unlisted investments £ 29,000 - 29,000 29,000 29,000 |
Totals £ 3,351,880 229,170 |
|---|---|---|---|
| 3,581,050 | |||
| 3,581,050 | |||
| 3,351,880 |
There were no investment assets outside the UK.
continued...
Page 17
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
| Other debtors 14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors 15. MOVEMENT IN FUNDS Unrestricted funds General reserve Fixed asset reserve Repairs reserve Commitments reserve Restricted funds The Benevolent Fund Outside causes Endowment funds Church endowments Church s19 Church St George's s19 The Benevolent Fund Schreiber for Widows Fund TOTAL FUNDS |
At 1.1.20 £ 1,157,560 251,283 618,204 56,915 2,083,962 8,455 4,886 13,341 402,125 1,189,736 263,390 21,805 46,077 1,923,133 4,020,436 |
31.12.20 £ 17,959 31.12.20 £ 7,435 Net movement in funds £ 809,709 602,278 100,455 - 1,512,442 54 - 54 617,511 75,388 5,726 1,401 2,960 702,986 2,215,482 |
31.12.19 £ 6,692 31.12.19 £ 3,449 At 31.12.20 £ 1,967,269 853,561 718,659 56,915 |
|---|---|---|---|
| 3,596,404 8,509 4,886 |
|||
| 13,395 1,019,636 1,265,124 269,116 23,206 49,037 |
|||
| 2,626,119 | |||
| 6,235,918 |
continued...
Page 18
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued for the Year Ended 31 December 2020
15. MOVEMENT IN FUNDS - continued
Net movement in funds, included in the above are as follows:
| Unrestricted funds General reserve Fixed asset reserve Repairs reserve Restricted funds The Benevolent Fund Endowment funds Church endowments Church s19 Church St George's s19 The Benevolent Fund Schreiber for Widows Fund TOTAL FUNDS |
Incoming resources £ 2,086,303 - - 2,086,303 - - - - - - - 2,086,303 |
Resources expended £ (99,988) - - (99,988) - - - - - - - (99,988) |
Gains and losses £ (1,176,606 ) 602,278 100,455 (473,873) 54 617,511 75,388 5,726 1,401 2,960 702,986 229,167 |
Movement in funds £ 809,709 602,278 100,455 |
|---|---|---|---|---|
| 1,512,442 54 617,511 75,388 5,726 1,401 2,960 |
||||
| 702,986 | ||||
| 2,215,482 |
Comparatives for movement in funds
| Unrestricted funds General reserve Fixed asset reserve Repairs reserve Commitments reserve Restricted funds The Benevolent Fund Outside causes Endowment funds Church endowments Church s19 Church St George's s19 The Benevolent Fund Schreiber for Widows Fund TOTAL FUNDS |
At 1.1.19 £ 844,255 252,585 607,012 86,815 1,790,667 8,327 4,886 13,213 366,203 1,011,572 257,615 18,494 39,081 1,692,965 3,496,845 |
Net movement in funds £ 281,603 - 11,192 500 293,295 128 - 128 35,922 178,164 5,775 3,311 6,996 230,168 523,591 |
Transfers between funds £ 31,702 (1,302) - (30,400) - - - - - - - - - - - |
At 31.12.19 £ 1,157,560 251,283 618,204 56,915 |
|---|---|---|---|---|
| 2,083,962 8,455 4,886 |
||||
| 13,341 402,125 1,189,736 263,390 21,805 46,077 |
||||
| 1,923,133 | ||||
| 4,020,436 |
continued...
Page 19
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
15. MOVEMENT IN FUNDS - continued
Comparative net movement in funds, included in the above are as follows:
| Unrestricted funds General reserve Repairs reserve Commitments reserve Restricted funds The Benevolent Fund Endowment funds Church endowments Church s19 Church St George's s19 The Benevolent Fund Schreiber for Widows Fund TOTAL FUNDS |
Incoming Resources resources expended £ £ 114,013 (85,001) (1) (16) - - 114,012 (85,017) - - - - - - - - - - - - - - 114,012 (85,017) |
Gains and Movement losses in funds £ £ 252,591 281,603 11,209 11,192 500 500 264,300 293,295 128 128 35,922 35,922 178,164 178,164 5,775 5,775 3,311 3,311 6,996 6,996 230,168 230,168 494,596 523,591 |
Gains and Movement losses in funds £ £ 252,591 281,603 11,209 11,192 500 500 264,300 293,295 128 128 35,922 35,922 178,164 178,164 5,775 5,775 3,311 3,311 6,996 6,996 230,168 230,168 494,596 523,591 |
|---|---|---|---|
| 293,295 128 35,922 178,164 5,775 3,311 6,996 |
|||
| 230,168 | |||
| 523,591 |
Capital and Endowment Funds
Church Endowments Church s19 Capital Church s19 St George's The Benevolent Fund Schreiber for Widows Fund
Capital funds generate income to be used for the work of the church in achieving the objectives of the charity. These capital amounts are restricted and cannot be used for current expenditure. The Church s19 Capital fund was created under the Church Order to protect the capital and help ensure adequate income would be created for the future to fulfil the church's obligations, and likewise the Church s19 St George's fund was created to protect the capital received on the merger with St Mary's. This group of funds also includes the two specific funds from the linked charities.
Restricted Income Funds
The Benevolent Income Outside Causes Fund
Restricted income funds relate to income which can only be used for specific purposes. The Benevolent Income Fund combines the income from the corresponding capital fund with additional funds, to be used for grants to persons in need. The Outside Causes Fund was created by the Congregational Meeting to enable the church to make gifts to causes in addition to those on the church's monthly list.
General Unrestricted Funds
General reserve
General unrestricted reserve is a residual reserve for use in the furtherance of the charity's objectives without any specific restriction. This currently includes a notional separate reserve for the income accumulated on the capital legacy from Dr WS Norten while the church seeks advice on permitted uses of these funds.
Designated Asset Funds
Fixed asset reserve
continued...
Page 20
St Mary's with St George's German Lutheran Church
Notes to the Financial Statements - continued
for the Year Ended 31 December 2020
15. MOVEMENT IN FUNDS - continued
Designated asset reserves mostly represent funds accumulated for replacing assets at the end of their life at the prices then expected to prevail. This expenditure does not occur annually and is expected to be significant so reserves are grown to ensure adequate funds will be available when required.
Other Designated Funds
Repairs reserve Commitments reserve
Other designated reserves are created for significant non-capital expenditure expected in future years. As with the reserves for capital items, these are grown annually to ensure adequate funds will be available when required.
16. RELATED PARTY DISCLOSURES
There were no related party transactions for the year ended 31 December 2020 or 2019.
Page 21
St Mary's with St George's German Lutheran Church
Detailed Statement of Financial Activities for the Year Ended 31 December 2020
| INCOME AND ENDOWMENTS Donations and legacies Offerings Donations Gift aid Legacies Other trading activities Bazaar Other events Exceptional items Investment income Ground rents received Dividends Deposit account interest Total incoming resources EXPENDITURE Other trading activities Bazaar Charitable activities Cleaner Insurance Motor expenses Travel postage & stationery Telephone Pastor's Assistant Seminars Social work Subscriptions Community work Cost of services Bank charges Special Project Public relations Children/confirmations Consumables Carried forward |
31.12.20 £ 145 8,821 859 - 9,825 - 442 1,989,521 1,989,963 471 83,524 2,520 86,515 2,086,303 - 50 1,387 1,452 203 201 289 17,035 - 39 167 1,936 2,714 119 4,153 1,360 - 327 31,432 |
31.12.19 £ 1,142 13,288 1,939 10,000 |
|---|---|---|
| 26,369 826 2,333 - |
||
| 3,159 930 80,773 2,781 |
||
| 84,484 | ||
| 114,012 296 - 1,551 1,826 1,079 375 412 22,221 437 730 280 5,482 3,497 127 - 1,700 59 - 39,776 |
This page does not form part of the statutory financial statements
Page 22
St Mary's with St George's German Lutheran Church
Detailed Statement of Financial Activities for the Year Ended 31 December 2020
| Charitable activities Brought forward Plant and machinery Synod contributions To individuals & charities Support costs Management Rates and water Insurance Light and heat Office costs Repairs and maintenance Archive and storage Governance costs Auditors' remuneration Independent examiner's fees Legal fees Exchange rate differences Bookkeeping fees Total resources expended Net income |
31.12.20 £ 31,432 1,428 26,000 625 59,485 1,617 5,051 180 70 10,326 2,355 19,599 3,000 - 16,030 - 1,874 20,904 99,988 1,986,315 |
31.12.19 £ 39,776 1,305 25,500 1,550 68,131 1,555 4,652 - 265 1,555 2,300 10,327 - 2,400 1,980 (2) 1,885 6,263 85,017 28,995 |
|---|---|---|
This page does not form part of the statutory financial statements
Page 23