Registered Charity Number: 264839 CONGREGATIONAL FEDERATION REPORT OF THE TRUSTEES AND AUDITED FINANCIAL STATEMENTS YEAR ENDED 31 OECEMBER 2023
CONGREGATIONAL FEDERATION CONTENTS Page Report of the Trustees Report of the Independent Auditor 15-17 statement of Financial Ath"vrf(ies 18 Comparison Statement of Financial Activities 19 Balance Sheet 20 Statement of Cashfl¢)WS 21 Notes lo the Financial Statements 22-37
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES The Trustees of the Charity present their report wtlh the financial statements of the Charity for the year ended 31 December 2023. The financial ststemenls have been prepared in accordance with the accounting policie$ sel out in note 1 to the financial statements to comply with the Charity'5 trust deed, the Charib'es Act 2011 and Accounb'ng and Reporting by Charities, Ststement of Recommended Practice applicable to the Charities preparing their accounts in a¢cordance with the Financial Reporb'ng Standard applicable in the UK and Republic of Ireland. REFERENCE AND ADMINISTRATIVE DETAILS" Registered Charlty number 264839 Prlncipal office 8 Castle Gate Nottingham NG1 7AS Trusteos MrJALyon Revd O C lfjnchin Mr M Taylor Mrs E Sweeney-smith Revd R Green Mrs S M Austin Revd R D MacRae Miss M M C McGuinness Revd G Simonis Revd T R Wilson Revd C L Gillham Dr B W Mason Mr E P Fenwick Revd C E Booton Mrs E M Benlharn Revd R Leeming Revd F Y Kamara Mrs H Biggin Revd C J Bamforth Damp Revd C J Stott Revd J Holloway Chairpefson President Past Presidenu East Midlands President Elect Chair of CSC Chair of FSSC CF in Scotland CF in Scotland CF in Scotland CF in Scotland CF in Wales CF in Wales Eastern East Midlands North East North East North West North West Midlands South East South West South Wesl Midlands Appointed 13th May 2023 Appointed 22M April 2023 Appointed 2nd September 2023 Resigned 2nd September 2023 Resigned 131h February 2023 Resigned 151h July 2023 Appointed 15UI JU 2023 CF Congregational Fgd&ration FSSC- Flnance and Support Services Commlttee CSC - Church Support Commitiee
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES REFERENCE AND ADMINISTRATIVE DETAILS-continugd Auditors UHY Hackeryoung 14 Park Row Nottingham NG16GR Bankern National Weslminsler Bank PIC Smiths Branch 16 South Parade Nottingham NG12JX Sollcltors Nelsons Solicitors Pennine House 8 Stanford Street Nottingham NG1 7BQ
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES STRUCTURE, GOVERNANCE AND MANAGEMENT The Congregational Federab'on is a voluntary association of Congwational or Independent Churches (plus Pefsonal Members1 that was established by a Constitutional Document I'The Conslitulion'l. The affairs of the Congregational Federation are the responsibility of its Council - who act as Trustees. THE CONSTITUTION Foundation Principle.. In solemn renewal of the declarats'on Made in the Congregational Library, London, on 13 IAay 1831 and affirmed by the Confefence in Lyndhur51 Road Congregational Church, London, on 13 May 1972 and by the Assembly in Westminster Chapel on 14 October 1972, the Federation of continuing Congwalional Churches is founded on a full iecognition of their own distinctive principle, namely, the scriptural right of every separate Church lo maintain perfect independence in the government and administration of its own particular affairs", and therefo that the Federation shall rsot in any case assume legislative authority, or become a court of appeal. ARTICLE 1. NAME The name of this voluntary asso¢iaty'on is the Congregational Federation. ARTICLE 2. MEMBERSHIP Membership of the Federation comprises Congregational or Independent hurches, each having a separate roll of members, and paying an affiliation fee lo the Federation, the amount of such affiliation fee being that ¢0MMended by the Assembly. Personal Membership will be available for individuals who wish to rnainlain the Congregational tradition. The Personal Membership lee is that recommended by the Assembty. ARTICLE 3. OBJECT The object of the Federation is the advancement of the Chn51ian faith and in furtherance thereof bul not otherwise.. {al To spread the knowledge of Chnst throughout the land., (b) To encourage congregations of believers in local places to maintain corporate worship in free assembly alike in ¢onse¢rated buildings and in the homes of the people.. Ic) To spread the knowledge of Christ beyond the seas through the agency of such bodies as the Council for Worfd Mission,. {d) To further the spirit of unity in Christ with all other believers in Him., (el To mediate the call of God to Christian service at home and abroad whether by way of the ordained ministry or otherwise., lfj To do all other such things a5 are necessary to the attainment of this object. ARTICLE 4. RELATIONSHIPS The FoundatÉon Principle of the Federation precludes it from making any decision binding on any Church,. it can do no more than offer recommendatsons. It does not claim lo speak on behalf of Churches unless it is aulhorised by them to do so for a parbcular purpose on a particular occasion. Any obligation accepted by a Chltrch lo another Chrisb'an body is not held by the Federabon as a barrier to fellowship within the Federation. ARTICLE 5. THE ASSEMBLY The Assembly is held at least once in each year on a date and at 8 lime and place fixed by a previous Assembly. At least 56 days notice of an Assembly is given lo each member Church and Personal member.
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES ARTICLE 6. OFFICERS AND COUNCIL lal The Assembly appoints such Officers as it thinks fit. The Council comprises the Officers. Chairs of Commillees, three representatives from the Congregational Federation in Scotland, represenlalives from the Congregab'onal Federation in Wales and one representative from each Area Association in England, the President Emeritus. Chair of Counal. General Secretary, representstives of the Youth Association, a representative from Congregational Federaln Ltd. and a representative for the Personal members. Ibl A quorum at a Council Meeting is 50% of the members of the Council a$ defined at Article 61a). ARTICLE7. FINANCE Officers and members of Council. Committees and Boards are entitled to reimbursement of all necessary Outf-poCkel expenses.. of these only the General Secretary and such others as may be recommended by Council and approved by Assembly may receive a salary. With ils Annual Report, the Council submits to the Assembly a statement of accounts, duly audited, together with a Budget of income and expenditure. When adopting the Budget, the Assembly recommends the minimum amount of the affiliation fees for Churches and individuals. ARTICLE 8 ALTERATION OF CONSTITUTION This Constitution may be altered when the following onditsons are fulfilled.. la) The wording of the proposed alteration must be circulated lo all member churches and personal members al least 56 days lef0 the Assembly. Ib) The resolution embodying the proposed alterab'ons must then be dis¢u$5ed and. if appropriate, amended by the Assembly. In the event of a marked division of opinion al the Assembly. the matter will be referred ba¢k either to the Council or to the churches, otherwise the agreed wording will be sent to eath member church and to each personal member. (cl At least 500h of the member churches must vote on the proposed atteration leach member church has one vote). The period allowed for voting shall be six months. (d) At least 90Qk of the votes cast mLtst be in favour of the proposed alteration. {el The consent of the Charity Commission must be obtained if the proposed alteration ¢oncems the Name or Object of the Federation. Councll and Public Benefit The affairs of The Congregational Federation are the responsibility of the Council of The Congregational Federation who act as Trustees, svho meet throughout the year. Details of the names of the Trustees al the dale of this report are set out on page 1. The Council is mindlul of the Charity Commission's guidance on Public Benefit including the guidance on the advancement of religion. It believes that the services and support il offers are aimed at enabling its member churches lo seNe the WKJest possible sectors of their communities. Beyond that it also enables its members to support and serve communities acros5 the wortd through rts membership of the Council for Wortd Mission and partnerships including Christian Aid.
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES Recrultrnent and appolntment of new Trustges The composition of the Trustee body is shown in article 6a of the constitution above. The Council is the Charity's Trustee body and currenuy comprises.. the Officers as appointed by the annual Assembly following a ballot of all churches and personal members of which are the President, President Elect and Immediate Past President., Chairs of Committees who are nominated by their respective Committee and fatrIed by Assembly,. a representativels) from each Area Association appointed by the Area Association. The Chair of Council is appointed by Council. In each case recruitment is made through the appropriate representative body of either Area, Churches, Committee, or organisab'on. InductSon and training of now Trustees New Trustees receive an induction pack 'The Council Members Handbook, which includes reference lo policy documents in relab'on to the Charity and also various Charity Commission leaflets explaining the overall importance and nature of their Tole. This manual is constantly updated as matters change. In addition, Trustees receive copies of the Charity Commission new5 on a regular basis lo apprise them of current developments within the Charity Sector. The Federation also from ts'me lo time invites its legal advisors to meetings lo address particular topics as a form of training event. particulaAy at times of reviewing major matters. Afi Trustees receive training in safeguarding. Arranggments for settlng staff remuneration Remuneration is considered and approved by the Tnjstees annually, at their November meeting, in Ilne with the staff pay policy in place. Organisational structure Councll The Members of Counryl are the Trustees of the Congregational Federation, and its membership is defined by the Constitution. The Committees are made up of representatives of various aspects of the life of the Federation and Council receives and ratifies the work and decisions of rts Committees. Council's role is to oversee the overall management of the Congregational Federation and to review and determine the strategic direction of the Federation. It does this through receiving reports from Commillees. its ongoing training for Trustees, and in addition initiati'ng consultalK)ns with Churches. It agrees the annual Accounts and reports annually lo Assembly. The Committees which report lo Council are.. Finance and Support Services Committee- {FSSC} Church Support Committee- ICSC) The Committees, work is supported by Boards and Groups. The Investment Trust and Trading Board IIThBI reports to FSSC. The Trustees are responsible for preparing the Trustees, annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Praelicel.
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES Related parties The property and inveslrnent assets of the trust funds are held n the name of The Congregational Federation Limited, which a¢ls as Custodian Trustee. Under Charity Cornmission $cheS there are several trust funds pertaining lo the fomier County Unions. The resources ofthese are restricted lo special areas laid down in the various schemes. Connected Charities The Congregational Federation acts as an umbrella organisats'on for Congregational and Independent churches. These are all considered to be Charilres connected to The Congregational Federats'on. The Congregational Federation Limited has Sha management with the Congregational Federation and as such these are considered connected Charities. Rlsk rnanagement The Council continues lo assess the risks to which the Charity is exposed. in particular in relation to the volatility of the stock market and is satisfied Ihat policies are in force to safeguard the funds. Its Investment Managers, RBC Brewin Dolphin. play a key role in this and report to the Federation on a quarterly basis. The Trustees have a duty to identify and review the risks to which the Charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. Internal and external factors Through it's govemance structure, The Congregats'onal Federation is constantly reviewing the services 11 offers to ils members. It exists to support the member churches who increasingly have lo operate within testing times of the church being relevant in their own communities. Number5 of members have teen declining and the age profile increasing. However, there are signs of new life and fresh expressions of church being relevant lo eurrenl society which the Federation seeks to support and resource. As a result of the Covid pandemic, many member churches established an online presence, and some have continued to provide vanous forms of online worship as an extension lo their ministy. Provision continues to be made for staff to work from home where appropriate.
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TrUSTEES OBJECTIVES AND ACTIVITIES Objectives and Aims The Congregational Federation is a Federation of Independent or Congregational churches. 11 came into being in 1972 following the vole on the formation of the United Reformed Church. The Congregational Federation was formed from churches that decided to continue to follow the Congregational Way. The Federation provides support and guidance to Congregational Churches both financially and otherwise. This is achieved by making grants and loans to indwiduals and churches. and by providing the followin9 services to a very wide range of persons.. support for ¢hurches ministerial and lay training assisting wilh pastoral settlements safeguarding ministry with children and youth work initiatives to support pioneering pension mission initiatives including ils partnership with Council for World Mission ecumenical relationships advice on church administration and finance The wide range of services and support is aimed at enabling the widest possible secbons of our communities to engage with events, opportunities, experien¢es and services or help for a more fulfilled life. It is evident that some of the work churches undertake deal$ with persons at the margins of society, the very young and the elderty. Membership of the Congregational Federation is open to any Congregational or Independent church who desires the support oflhis wider body to better enable them lo serve their community- Voluntee The Congregational Federation recognises the value of voluntary work, especially on committees and boards, without which il woukl be unable lo function at the level it currently does.
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES FINANCE REVIEW Income is received from investments, trading activities, affiliation fees. grants from other trusts and other sources as indicated in the Statement of Financial ActNilies. Income is allocated to support the activities of the Federation. Some investments are restricted for use by Areas (the geographical grouping of member churches) in supporting their individual churches Investment funds which are not qUired for day lo day working capital purposes are invested in the Common Investment Pool. This is overseen by the IThB, which receives independent financial advi from RBC Brewin Dolphin, a financial and investment management company authorised and regulated by Ihe Financial Conduct Authorty. Council continues to monitor investments carefully. Investments are held in accordance with the Trustees. powers. The investments in¢urred unrealised gains of £404,093 {2022'. losses of £976,490). The total rnarkel value of investments is £10,698,103 (2022.. £10.294,010}. The IThB also scrutinises the trading activities undertaken at the Congregational Centre in Nottingham.. these include a conference and meeting venue, for internal use and extemal hire, and the provision of warden-monitored accommodation for university students. Trading activity is intended to generate income for the Congregational Federation's support programmes. Not surprisingty. this was severely affe¢led in 2020121 by the Covid pandemic. exacerbated by dramati¢ changes in the city centre retail environrnenl. but there has been an encouraging renewal in uptake of facilities since then and a reduction in the trading deficit. The Congregational Federation's operations incuired an operating deficit in the year of1£482,7841, offset by C105ed Church receipts of £367.961. along with unrealised investment gains of £404,093. losses on sale of fixed assets of £11,399 resulting in an overall reported suiplus for the year of £277,871 as shown below. This is a good outcome in the light of the economi¢ and political uncertainties and upheavals in 2023. The Trustees manage the deficit to a level which can, in their view. be covered by a sustainable proportion of long-term investment growth. 2023 2022 Operating Deficit Closed Chur¢h Receipts Unrealised Investment GainsllLossesl Realised GainsllLossesl on Sale of Investment Properties Inter-co Loan with CFL Written-off {482,7841 367,961 404,093 {11,3991 {234,3001 807,094 1976,490} 9,116 1,255,342 surplusll0efItI for the year 277.871 860,762
CONGREGATIONAL FEDERATION YEAR ENDED 310ECEMBER 2023 REPORT OF THE TRUSTEES Strategy and Alms Although holding signifrtsnt investment assets, the Congregational Federation continues to remain reliant upon receiving capital receipts each year in order to absorb the operating deficits. Budget deficits are continually monitored lo keep them within realistic ranges. Except where funds are required to balance the budgets, the key principle is that any capital receipts or windfalls are invested lo generate interest which can ultimately be used lo fund new initiatives. In the long term, this Strategy should enable eradicatson of gUlar budget deficits and reduce reliance on exPts'0nal income, such as that from the sale of dosed churches. Pollcles Reserves Pollcy Free Reserves provide the working capital reqU1MentS of the Federation, whilst providing a buffer of liquid funds in ease of any short-term decline in income, unexpected inereases in costs or risk exposure. They are intended lo ensure that contractual obligations to staff, premises and programme commitments can be met along with any grant eommitments to churches and Area Associations. The Federation calculates ils Free Reserves as those held in the General Purpose Fund less specific fund inits'atives less the nel book value of Non-current Assets held in the General Purpose Fund. The Trustees seek to maintain a level of Free Reserves of beeen 8 to 12 months of total annual expenditure. This currently equates to beeen £870,000 and £1,300.000 based upon 2023 actual expenditure. Total expenditure increased slightly in 2023. AI 31 sl Dember 2023. the Free Reserves held, represent 12.6 months12022'. 13.9 mnthsl of expenditure and are therefore al the lop of the band. 11 is envisaged that as likelihood of inflatitsnary pressures and a post Covid increase in charitsble activities Free Reserves should naturally fall during the course of the current year from the amount as stated within the accounts. 2023 2022 General Purposes Fund Less Tangible Non-currenl Assets 1,397.183 125.1451 1,359,344 140.9591 Free Reserves 1,372,038 1,318,385 Months 12.6 13.9
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES Invesljnent Policy The Investment policy is to maintain a balance beeen income and capital growth, lsubjecl to a moderate degree of risk), with up to 5¥0 high risk. There should be no exposure to tobacco, alcohol, amiamenls. gambling, pornography. or high-interest lending. Wlhin these parameters it is further recognised that the emphasis for the Expendable Pool will be on income and for the Permanent Pool on capital growth. The ITTB continue lo actively monitor investment strategy and performance particularfy with regard to ethical negative screening and is satisfied that the investment perlormance has met the investment objectives during the year. The Congregational Federation has continued membership of the Church Investors Group lo monitor its own policy on ethical investments and lo be aware of developments in the Ethical, s(la1 and Govemanee arena. Grant making Policies The Federation makes grants from its resources to various areas including Retired Ministers. WeKare. Education of children of Ministers, Training, Children and Youth inilialives, local church ministry support and mission projects, and the wider Church family through local ecumenical projects and via its membership of the Council for Wodd Mission. For each instance, a sel criteria and application proces$ is followed and reviewed by the appropriate Board and Committee. The application process includes, where appropriate, the consideration of the means available lo the applicant, the viability, and the suitability of any project for which monies are sought. An evaluation process is also part of any grants which are awarded when ftjrther monies are sought for subsequent years. We believe such grants are essential in enabling financial resources to be expended locally so as to best meet the needs of the communities in which the churches are set. Such is our commitment that no grant will be awarded unless the church or project satisfies the best possible practice in terms of our Safeguarding policy in ordei to protect children. young people, and vulnerable adults. Fund Raising No fvndraising is carried out by Congregab'onal Federation. 10-
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES PLANS FOR FUTURE PERIODS The Trustees continue lo review the provision of support for Churches. Children and Youth Work, Learning and Development plus gmnls for new initiatives, mindful that income derived from exeeplional tranches of income is mainly from Closed churches. The Trustees agreed that operations should remain at current budgeted levels for 2024 and that the finance strategy should be rolled forward for the three-year period 2024-2026. wilh continued monitoring of key performance indicators. ACHIEVEMENT AND PERFORMANCE Working from home lo encourage better work-life balance and the expansion of the use of Zoom for online or hybrid meets'ng continues. The latter has enabled participation in meetings and discussion by those at distance, or for whom travel is difficult, with the additional benefit of reducing meeting-associaled expenses. The re$our¢es that the Congregational Federats'on provides to its membership are regulated through Church Support Committee. Finance and Support Services Committee, Council and Assembly. A hhlIght of the year was a very positive May Assembly held in the Tacchi Morns Theatre, Taunton, hosted by the South Wesl Area of churches. Over 150 attended and there was a Children and Youth assembty wn alongside. Council has established a plan of action for providing additional resources to support churches. and progress against this plan was tracked by Council during 2023, with good progress noted. A film was produced lo showcase the work. At the November Council meeting, il was agreed that the work we do and the structures fit the strategic review and for 2024 the focus will be on growth and encouraging new churches to join. CHURCH SUPPORT COMMirrEE Support for churches The President, General Secretary and Church Support Worker regulady visit churches, listen and share ideas and resources. The Church Support Worker also provides encouragement to churches and those with wider roles of mission enabling. Th¢s role is focLtsed on encouraging local churches, supporting children and youth work, supporting them with applications for mission grants and producing monthly newsletters. The focus for 2024 will be on embracing the smaller church. Training The Congregational Institute for Practical Theology runs a suite of courses for the development of personal discipleship and training for the recognised ministries of the Federation, comprising.. The GIFT Programme (Growing in Faith Together) lunaceredited, Level 31 and the Diploma of Practs'cal Theology (Levels 4-51, accredited by York Sl John Universty. A new Manager has been in post Sin Apnl 2023. For the academic year 2023124 there are 21 students enrolled. The Diploma course is free lo members of the Congregational Federation and students who are not members of the Congregational Federation churches may also enrol at a c05t. The GIFT course will be relaunched 2024 and is designed to support local church ministries. Students Corne from all walks of life. with a broad range of prior education, and the widest of age ranges. Special provisions are made available for students with learning or physical difficulties. 11
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES Various one day training events are run throughout the year on topical cOnmS and trends. We had three people complete the course at The Pioneering Hub {launched in 20221 and are delighted that one of these people is now also participating as a coach for some of the new cohort. S•feguardlng and Pastoral Care Pastoral ca within Areas is the responsibility of Pastoral Care Coordinators for each Area but is supported by national training and from the General Secretary. The name has changed lo include Pastoral Care and this year as well as meeting, they organised a visit to the National Arboretum to remember all those lost in the year. The new name is the Accreditation and Pastoral Care Coordinators Group IAPCCGI. The APCCG has responsibility lo oversee the administration of the Roll of Ministries includin9 consideration of applications for inclusion on the Roll and where necessary, to deal with requests to remove a name from the Roll. The group oversees the Pastoral Period for those received onto the Roll of Ministries. Working through its Pastoral Care Coordinators. il also ensures Ihat support is offered lo students on the Training Course {CIPT) and others exploring their vocation. to those who are on the Roll, arsd to retired Ministers, their spouses, widows, and widowers. Working with the Safeguarding Officer is a group of ¢he¢kers who visit churches to look al the church premises offering advice and guidance about Safeguarding plLts health and safety issues. The Congregational Federation will then provide a 'Safeguarding' Certifi¢ate to confirm a level of good practice is in plat£. Safeguarding has been the priority for 2023 and all churches affiliated to the Congregational Federation now have a Safeguarding Cerbficale. The Congregational Federation offer free a Safeguarding course run by 31..8 three times a year which cover Adults and Children and this year also ran Safeguarding training related to Spiritual Abuse. MIs61on Grants Three types of grants are available.. Impact Grant.. Maximum was increased to £18,000 over a 3-year period starter Grants." £400 lup to £600 for specialist equipment) Children and Youth Grants.. £100 Grants have been given to support church mission projects that reach out to the communty, ¢hildren and youths materials, equipment for social media and inlemel, supporting ministry in a variety of rural, urban. and inner-cty settings. This year there have been tsvo new. large. Impact Grant applic8tions, plus several Starter and Mini Grants. In light of the sudden increase in the ¢0MMended annual Stipend due to inflation, the Committee also authorised a special grant lo Churches with Ministers of half of increase which was quickly taken up by many churches. Support for Ministrles We have run Ministry Matters webinars all year to support those in rninisty and established both Travel Grants and Continued Ministerial grants to support those wanting new training. Topics have included Dements'a. Building Successful Relationships, Retreat and Rest. Online Safety and Sight Loss Friendly Churches. Topics for 2024 include Mental Health, Racial Awareness and Fundraising. 12-
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TrUSTEES Commvni¢ation A magazine is produced called Refresh, 3 limes a year, which is independently edited. An 'in house" monthly newsletter called Intouch for all church's news and resOurS and Inform which has a children and youth focus is also produced. Soclal Medla and Webslto The Congregational Federation Facebook and Twitter accounts are updated regulady. re atsonal.o .uk contsins all the information about the Congregational Federation and is updated weekly. www.theresourcehub.co.uk- is a one slop page for resources for Churches. outube.coml Con ationalfederalion this ¢ontsins links to the National Assemb and other events. Ecumenical relationshlps I Inter Church Board The Congregational Federation subscribe lo various e¢umenical groups, arsd value the memberships that are held. There is an active involvement with the Free Churches Group and the Council for World Mission. The Inter Church Board meets once a year, bringing together all those who fepresenl the Congregational Federation on the different bodies. The Congregational Federation contsnues lo support Revd Nigel Lindsay who is serving as a Partner in Mission in Grenada. and we are delighted that 3 members from our churches went Olrt to support the mission work he does in JanuarylFebruary 2024. Congregational Federation continue to support Christian Aid. This is done through prayer and currently looking al Iwo projects for the coming year for which we may possibly raise funds Childron and Youth Unfortunatety. the weekend away planned for February 2023 had to be cancelled. For 2024 the Retreat residential has been planned for Children and Youth leaders. A Care for the Family course called 'Getting your children through Church. will run from January - March 2024. 13-
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 REPORT OF THE TRUSTEES STATEMENT OF TRUSTEES. RESPONSIBILITIES The Trustees are responsible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounts"ng Praclicel. The law applicable to Charities in England and Wales requires the Trustees to ppare financial statements for each financial year which give a true and fair view of the stale of affairs of the Charity and of the incoming resources and application of resourees of the Charity for that period. In preparing these financial slalemenls, the Trustees are required to.. select suitable accounting policies and then apply them consistently,. observe the methods and principles in the Charities SORP IFRS 102)., makejudgemenls and eslimales that are reasonable and prudent., state whether applicable accounting stsndards have been followed, subject to any material departures disclosed and explained in the financial stalemenls.. prepare the financial slalemenls on the going concern basis unless it is inappropriate lo presume that the Charity will continue in operation. The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011. the Charities {Accounls 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 Pfevents'on and detection of fraud and other irregulaaties. The Trustees are responsible for the maintenance and integrity of Ihe Charity's financial inft)rmalion included on the website. Legislatson in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. Approved by the Trustees on ..l.i.11(.4l¥. :Lr*......... and signed on thelr behalf by: MrJALyon Trustee Date 11 R PL4L 2014 14-
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OFCONGREGATIONAL FEDERATION Oplnlon We have audited the financial statements of the Congregational Federation {the 'Charity'l for the year ended 31 December 2023 which comprise the slalemenl of financial activities, balance sheet, statement of cashflows and notes to the financial statements, in¢ltJoling significant accounting policies. The financial reporting framework that has been aPpld in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 The Financial Reporting Stsndard applicable in the UK and Republi¢ of Ireland (United Kingdom Generalty Accepted Accounting Practice). In our opinion the financial stalemenls.. give a true and fair view of the stsle of the Charity's affairs as at 31 December 2023 and of its incoming resources and application of resources plus cashflows for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice,. and have been prepared in accordance with the requirements of the Charities Act 2011. Basis for oplnlon We conducted our audit in accordance with Inlemalional Stsndards on Auditing IUKI {ISAs IUKII and applicable law. Our responsibilities under those standards are further described in the Auditorfs responsibilities for the audit of the financial ststements secb'on of our report. We are independent of the Charity in accordanee with the ethical requirements Ihal are relevant lo 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. Con¢lusions relating to golng concem In auditing the financial slatemenls, we have concluded that the Trustees, use of the going concern basis of a¢¢ounling in the preparation of the financial statement is appropriate. Based on the work we have performed, we have not identified any material UnrtaInlieS relating to events or conditions that, individually or ¢olle¢lively, may cast significant doubt on the Charity's ability to continue as a going concern foi a period of at least Iwelve months from when the financial statements are aulhorised for issue. Our responsibilities and the responsibilities of the Trustees with respect to going nCeM are described in the relevant sections of this report. Other Infomiatlon The other information comprises the infomation included in the annual report other than the financial statements and our auditols report Ihefeon. The Trustees are responsible for the other infomialion contained within the financial statements. OLFr opinion on the financial statements does not cover the other information and, except to the extent olhetwise explicitly slated in our report. we do not express any fom of assurance conclusion thereon. Our responsibility is to ad the other information and, in doing $0, consider whether the other information is materially inconsistent with the financial slalemenls or our knowledge obtained in the course of the audit, or olhetwise appears lo be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required lo detem)ine whether there is a material misstslement in the financial statements or a material misstalemenl of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other infomiation, we are required to report that fact. We have nothing to report In this regard. 15-
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORTTOTHETRUSTEES OFCONGREGATIONAL FEDERATION Matters on whlch we are requlred to report by exception In the light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees. report. We have nothing lo report in respect of the following matters where the Charities Act 2011 requires us to report to you if. in our opinion: adequate accounb.ng records have not been kept, or relums adequate for our audit have not been received from branches not visited by us". or the financial statements are not in agreement with the accounting records and returns., or certain disclosures of Trustees, remuneration specified by law are not made., or we have not rec£ived all the infomiation and explanations we require for our audit. Responslbilities of Trustoes As explained MO fully in the Trustees, responsibilities statement sel out on page 14, the Trustees are responsible for the preparation of the financial statement5 and for being satisfied that they give a true and fair view. and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement. whether due lo fraud or error. In preparing the financial statements. the Trustees a responsible for assessing the Charty's abilty to conts'nue as a going concern, disclosing, as applicable, matters related to going concern and using the going concem basis of accounting unless the trustees either intend lo liquidate the Charty or lo cease operations. or have no realistic altefnalive bul to do so. Auditotrs responsibilities ft>r the audit of the flnanclal statsments Our objectrves are to obtain reasonable assuran about whether the financial slalements os a whole are free from material rnisslatement, whether due lo fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, bul is not a guarantee that an audit conducted in accordan with ISAS IUKI will aayS delecl a material misstatement when il exists. Misstatements can arise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial stslements. Irregularities. including fraud, are instances of non-complian¢e 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 lo which our procedures are ¢apable of detecting irregularities, in¢Juding fraud is detailed below. Based on our understanding of the Charity and the industry in which it operates, we identified Ih8t the principal risks of non-compliance with laws and regulab'ons related to the acts by the Charity, which were contrary to applicable laws and regulations including fraud, and we ¢onsidered the extent to which non- complianee might have a material effect on the financial stalemenls. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011. We evalualed management's incentives and opportunities for fraudulent manipulation ol the financial statements (including the risk of override of contro15}, and delemiined that the principal risks were related lo correelly reflecting revenue and the Charity's net income for the year. In particular, there are risks related to the ¢ompleteness and cut off of income from donations, legacies. lettings. investments and other charitable income. 16-
CONGREGATIONAL FEDERATION YEAR ENDED 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORTTOTHETRUSTEES OFCONGREGATIONAL FEDERATION Audit procedures perfomed by the engagement team included.. reviewing the systems. controls and prOdureS of the Charity relevant to the preparation of the financial statements lo ensure these were in place throughout the year evaluating management's controls designed lo prevent and delect irregularities review of the financial statement disclosures to underlying supporting documentation review of correspondence with and reports lo the regulators, including correspondence with the Charity Commission enquiries of management in so far as they related tr> the financial statements testing of journals in particular joumal entries posted by unusual users, postings with unusual descriptions, postings with unusual times and dates and postings with unusual and material amounts evaluating whether there was evidence of bias by the trustees that represented a risk of material misslalemenl due lo fraud challenging assumptions and judgements made by management in their critical accounting estimates testing a sample of income lo supporting documentation both during the year and after the year end. In addition, analytical procedures were perfomied lo ensure anlicipaled income had been propedy recorded. There are inherent limitstions in the audit prowlures described above and the further removed non- compliance with laws and regulations is from the events and transactions reflected in the financial slatemenls, the less likely we wo¥Jld become aware of it. Also, the risk of not detecting a material misstalemenl due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by. for example, forgery or intentional misrepresentations. or through collusion. A further description of our responsibilitS for the audit of the financial statements is located on the Financial Reporting Council's website at.. http.'Ilwww.frc.org.uklaudilorsresponsibilities. This description forms part of our audilorfs report. Use of our report This report is made Sole lo the Charity's members, as a body, in aecordanee wilh Chapter 3 of Part 8 of the Charities Act 2011 and regulations made under section 154 01 that Act. Our audit work has been undertaken so that we might state lo the Charity's members those matter5 we are required to stale to them in an audilorfs reF)Ort and for no other purpose. To the fullest extent permitted by law, we do not ap1 or assume responsibility to anyone other than the Charity and the Charity's members as a body. for our audit work, for this report, or for the opinion5 we have formed. u4 UHY Hacker Young Stslutory Avditor 14 Park Row Nottingharn NG16GR Dale..... UHY Hacker Young LLP is eligible lo act as an auditor in terms of Section 1212 of the CompanEs Act 2006 17-
CONGREGATIONAL FEDERATION STATEMENT OF FINANCIAL ACTIVITIES YEAR ENDED 31 DECEMBER 2023 Unr¢8trf¢tei1 Fundi R•$tricted Funds Endowment Funds 2023 Totsl Fund8 2022 Totsl Fund$ Note Income Intomè frcfn donat)n6 & legaaes Ineome from tbn9$ Investment income Income Irorn Charitab 8Ctivities otr incorne 412,244 187.287 2S7.651 136.298 2.on 30,986 125.131 39.369 414.317 218.273 382.782 175,667 864.345 220,248 319.940 242,275 66,345 Totsl 993A80 197,559 1,191.039 1,713.163 Expenditure on lettiros Expendable on chartstle 167.081 841,390 167.081 1,138,781 143.858 996.701 297.391 Total 1,008A71 297,391 1.305062 1.140.359 Not IncomellExpgndllurnl 114,991 199,8321 1114M231 572,794 Extr•ordin•ry item 1.2S5,342 Net inc0me1lexndltUreI before oth?r re¢ognlsed galtt$ and lo$#e8 114.9911 199.8321 1114,8231 1.828.138 Other rècognls•d gainslllosse51 Gainslllossesl on investment assets Gainslllossesl on investsnent prowtios 292,239 111,3991 87,566 24,288 404,093 111,3991 1976,4901 9.116 Total other re¢ognl$¢d 9ainslll0e¥I 280M40 87,586 24,288 392,694 1967.3741 N•tmov•m&int In fund¥ 205,849 112.2661 24,288 277,871 860.762 Total funds bmught forward 12AI0,787 3,2S6,727 1.137.686 16WS,180 15.944.418 Totsl Fund$ rjl 12.676.636 3,244,461 1.161.9S4 17.083,051 16.805,180 Thg stat8rn9nt of finanaal actiwlias indudes all gains and losses rethgni8ed during the year. 18-
CONGREGATIONAL FEDERATION STATEMENT OF FINANCIAL ACTIVITIES - COMPARATIVE YEAR ENDED 31 DECEMBER 2022 Unrestrict8d Funds Restrlcted Funds Endowment Funds 2022 Total Funds Incomo Income from donations & legactes Income from lettings Investment income Ineome from charitable activities other income 858,122 194,334 201,875 214,865 6,628 6.223 25,914 118,065 27,410 59,719 864,345 220,248 319,940 242,275 66,345 Totsl 1,47S,822 237.331 1.713.153 nditurè Expenditure on lettings Expendable on charrtable acliwtses 143,658 694,174 143,658 996,701 302,527 Totsl 837.832 302.527 1,140.359 Net IncomollExpgndltur8) bgforo transfers 637.990 165,1961 572,794 Extraordinary item 1,255,342 1,255.342 Gross transfer$ been fvnds 14.263 114,263) Net incomell8xpandltur•l boforè other recognl$*d gain5 and losses 1,907.S95 179.459) 1.828.136 othor rocognls8d galn$llloss•sl Gainslllosses) on Investment assets Gainslllosse31 on investment properti&s 1669,5581 9,116 1234,6481 172.2841 {976.4901 9.116 {660.4421 Total othor rncognl$gd galnsllloss•sl 1234,6481 172.2841 1967,3741 Net movoment Sn lund5 1.247.153 {314,1071 172.2841 860,762 Total fund$ brought forward 11.163.634 3.570,834 1.209.950 15.944.418 Total Funds ¢lf 12,410,787 3.256,727 1,137,666 16.805.180 The statement of financial activities includey all gains and losses recognised during the year. 19-
CONGREGATIONAL FEDERATION BALANCE SHEET AS AT 31 DECEMBER 2023 Vnr8Strf¢t8d Funds Ros¢rf¢tgd Funds Endowmont Fund5 2023 Total Funds 2022 Total Funds Nol¥ Tangible Assets Investment Property Investments 13 14 15 1,026,872 3,035,WO 7,535.676 705,558 229,500 2.265,578 265.105 1,997,535 3,264,500 10 698,103 1,706,262 3.421.397 10,294.010 896.849 11.597.548 3,200.636 1,161,9S4 15,960.138 15A21,869 Current A#$ Debtors Cash at ba & vn deposrt 16 51.137 1,133,266 51.285 1,182,441 35.746 1.437,154 49.175 1.184.403 49,323 1.233.726 1,472.900 CredMoYs Amount$ falling duo VAthin one year 17 83,315 5.498 88,813 78.639 Net Currenl As$ets 1.101.088 4325 1,144,913 1.394.261 Credltors Amounts falling tlue after morn Ihan ons ar 18 122,OCQI (22,0001 110.7501 Net A888ts 12,676,636 3.244.461 1.161.954 17,083,061 16,805,180 Funds Unrestnred Fund$ Restiicted Fun0$ Etxlt)wftnl Fund$ 12,676,636 12.676,636 3,244,461 1,161.954 12,410,787 3,256,727 1.137,666 3,244,461 1.161.9S4 Totsl Fund8 12,676,636 3.244.461 1,161.954 17,083.OS1 16.805.190 The notes on pages 22-37 form part of these financial statements. The financial statements were approved and authorised by the Board of Trustees on .Fl..g.ff4L *.... and were signed on it5 behalf by.. MrJALyon Chair of Tnjslees -20-
CONGREGATIONAL FEDERATION STATEMENT OF CASHFLOWS YEAR ENDED 31 DECEMBER 2023 2023 2022 Cash flow from oporating activities Note 24 155,8291 567,437 Cash flow from Investlng activities Paymenls to acquire tangible assets Payments lo acquire investment properties Proceeds from sales of tsngible 8ssel$ Proceeds from sales of investment properbes Payments to a¢quire investments 1344,799) {31,134} 117,100 169,165 (500.1411 145,915 Net cash flow from Investlng activltlos 1198,8841 1245,0101 Net Increase I Idecreasel in cash and cash oquivalents 1254,713) 322.427 Cash and cash equivalents at 1 January 1,437,154 1,114.727 Ca$h and cash equlvalents at 31 De¢ember 1,182.441 1.437,154 Cash and cash gquivalents conslst of: Cash al bank and in hand 1,182.441 1,437,154 21
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 ACCOUNTING POLICIES Basls of preparation and assessment of going concem The financial statements have been prepared under the historical cost convention as modified by the revaluation of investments. The financial statements have been prepared in accordance with the Slatemenl of Recommended Practice.. Accounting and Reporting by charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS102} issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS102) and the Charrties Act 2011. The financial statements have been prepared to give a 'true and fair, view and have departed from the Charities (Accounts and Reports) Regulations in 2008 gnty to the extent required lo provide a 'lrue and fairf view. This departure has involved following the Accounb"ng and Reporting by Charities.. Statement of Recommended Practice applicable lo charities preparing their accounts in accordan with the Financial Reporting Standard applicable in the UK and Ireland {FRS102) issued on 16 July 2014 rather than the Accounting and Reporting by Chanties.. Slalemenl of Recommended Practice effecb've from 1 April 2005 which has since been withdrawn. The financial statements are prepared on a going ¢oncem basis. The Charity constitutes a publi¢ benefit entity as defined by FRS102. In preparing the accounts, the Trustees have considered whether in applying the accounting policies required by FRS102 and Charits'es SORP IFRS1021 the restatement of comparative items was required. No restslemenls were required. Income from Charitable Legacies and Lettings All income is included on the Statement of Financial Activities on a recovefable basis when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. Closed Church income Income received from Closed Churches is recognised on the dale of receipt. Investment income Investment income is accounted for when receivable. Investment ineome receivable on permanent endowments is treated as expendable. Legacies, grants and donations rnceivable Grants and donations are included within the financial stslemenls when receivable Legacies are treated as receivable in the financial statements when nolificalion has been received ané receipt is virtually certain. Taxatlon The Charity is exempt from tsx on income and gains falling within Sects'on 505 of the Taxes Act 1988 or Section 252 of the Taxation of Chargeable Gains Act 1992 to the exlenl that these are applied to its charitable objects. Gifts In kind The Congregational Federation receives gifts in kind for which it is extremely grateful. Gifts of a eaprtal nature, where material, are capitalised at V8lu8tion. Other gifts in kind, for example. the b'me donated by volunteer workers, are not accounted for in these financial Statements on the grounds that these invaluable resources are nol possible to quantify. Expendtture Expenditure is accounted for on an accrLtals basis and has been classified under headings that aggregate all costs related lo these categories. Where costs cannot be direcuy attributed to particular headings, they have been allocated to activities on a basis consistent with the use of resources. Expenditure is recorded nel of VAT, when applicable, and the irrecoverable VAT is charged through the General Purpose Fund. -22-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 Governance costs Expenditure in relation lo the overall governance of the Charity is allocated lo Governan costs in the year. These costs consist of audil costs, expenditure in relation to Trustee meetlngs. P¢n$ion contrlbutlons The Charity operates a defined contribution pension scheme and the penslon charge represents the amount payable by the Charity to the und in respect of the year. Grants payable Grants a offered subject to conditions whh need to be mel, where such conditions have not been mel at the year*nd date, they are noted as a commitment but not accrued as expenditure. Non4urrent A$5ets Freehold and long leasehold land and buildings are depreciated at 20A per annum. However, no depreeiatson has been provided in the year as the Trustees believe that the carrying value of land and buildings is less than the residual value. Depreciation is provided on the Charity's other assets al the following anrsual rates in order to write off each other asset over ils usefvl economic life. Fixtures and fittings Motor VehleS Computer Equipment 10% on cost 25% on cost 20% on cost Investment properties Property held for the sole purpose of investment are inoluded within the accounts under the heading Investment Properties. These are included at market value,. any changes in market value are recognised within othei recognised gains or losses. Investments Fixed Asset Investments are a form of financial instrument and afe inf(ially recognised at their transaction cost and subsequently measured at fair value at the balance sheet dale. unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as 'Gainslllosses) on investment assets, in the Statement of Financial Acltvilies. Fund accounting Unreslricled Funds can be used in a¢coidance with the charitable objectives al the discretion of the Trustees. Wthin the unrestricted funds a number of Designated Funds have been established as determined by the Trustees as detailed in note 20 to the financial statements. The restrictions applied lo Designated Funds can be reviewed al the Trustee's discretson. Restricted Funds can only be used for particular reslricled purposes within the objects of the Charity. Reslriclions arise when specified by the donor or when fvnds are raised for particular restricted puiposes. Endowrnent Funds held by the Charity can only be used for partular reslricled purposes and only the income generated Can be spent by the Charity. The nature and purpose of each Fund is included in the notes to the financial statements. -23-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 INCOME FROM DONATIONS & LEGACIES 2023 2022 Unrestrictgd Closed Church Receipts Memorial Hall Trust Grants Church Support- Closed Church Receipts Church Support Donations Children & Youth Receipts Legacy Benefact Trust- LiWLighting Grant General Purposes Donations 331,165 32,845 36,796 7,535 726,384 30.870 80.710 9,823 8.724 2,280 1,623 1.611 412,244 858,122 Restricted May Assembly Offering CIPT- Fees CIPT - Course Materials 740 1,290 43 5,170 960 93 2,073 6,223 Total 414,317 864.345 INVESTMENT INCOME 2023 2022 Unrestricted 257 651 201875 Restricted 125 131 118 065 Total 382,782 319,940 -24-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 INCOME FROM CHARITABLE ACTIVITIES 2023 2022 Unre trl¢ted Church Affiliation Fees Minister5, Pension CF 50th Annwersary CFL. Admin Chargas CFL- 10% Management Fee Refre$h Advertl8ing Refresh Subs¢ripb'or Pitton Green Leth'ngs Payroll Serwices ACAT Mernbershp Associate Membership Personal Membership other IncDme 71.858 46.413 292 7,002 71.610 54,867 414 4.81S 73,769 900 723 4.629 1,840 870 305 948 518 3.950 890 210 672 502 136298 214.865 Restrfeted Congregational Institute for Pract1 Theobgy 39,369 27.410 39,369 27,410 Total 175.667 242,276 OTHER INCOME 2023 2022 ProfrtllLo$sl on sale of Fixed Asset¥ Restricted ProfrtllLo$sl on Sale of Wea Property rotsl EXPENDtTURE ON LETTINGS 2023 2022 Staft costs an¢J overhèad¥ Accomrnodation costs Other éxpenditure 73.320 80,887 12,874 S7,795 79,866 5,997 Totsl 167.081 143,668 -25-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 EXPENDITURE ON CHARITABLE ACTIVITIES 26-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 EXTRAORDINARY ITEM The Inter-company loan behveen Congregat¥)nal Fodefation and The Congregation81 Federation Ltd of £1.255,342 was written-gff durin9 2022. CHARITABLE ACTMTIES- GRANTS PAYABLE 2023 Grants to Individua 2022 Grants to Indlvldual$ Qrznts to Institutlon$ Grnntsto Institution8 Payable From.. Sydney Berry Trust Education Fund Other HomelBotsvryht Church Support Grants May Assembty CF Solh Anniversary 2023 Ministers StIP8nd Grants Speckql Appeals- Chri51ian Ad Grft of Grace- Church Grants If Only...Acts"on Grants Travel Grants Gr8nts p8yable from the CF Area Fund5 15,393 21,8S3 67 1,01)0 79.200 740 S.170 21,000 27.376 1,011 5.980 1,700 650 64,258 103,584 Totsl 171A58 17,043 139,651 22.620 10 NET INCOMINGIIOUTGOINGI RESOURGES Net resources are 8tsted after l¢haryin911 crediting". 2023 zoii Depwiation- assgts Auditors remuneration 150.7471 115,0001 162.2241 114.1501 Totsl 165.7471 176,3741 11 TRUSTEES. RENUMERATION AND BENEFITS Members of the Council do not receive any remuneration in their upa¢4ty as membets of Council, atthough bona-fJe expen$8s a 1Mbr8ed. 1 12022.31 Trustees recewed Tutcrfs book grants total of £25012022". £6WI. Expense¥ relatin9 to Counal activitRs during th8 year amounted to £10.65912022.. £8.9971, primarity in r85P8Ct of transport and me•kn'ng costs. 21 TNstees12022..151 ceiVed expenses in the year. The congregats.onal Fedoralion OP8Tate5 a Group Personal P8nsion scheme wlh Royal London forAcuedit8d Ministries, Category M. %tho are serring as a Minister in a FederatKn church. There re 412022..ei Serving Mini%lers on CounGI. forwhom thè Foderaiion paid ns)n contribution8 ot £12.57112022." £21.1341, fortheir rok as a Federation Minr&ter It is not Connect to their rde as o membgr of Coundl. -27-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 12 STAFF COSTS 2023 2022 Wages and salaries Social security costs Pension costs 443.725 36,154 43,533 375.970 29.712 36,954 523,412 442,636 During 2023 the average number of staff employed was 25 12022.. 241 in the central resource. As at the year end the number of stsff employed was equivalent to 1412022.. 12} full b'me Staff. There is 1 employee who received employee benefits (excluding employer pension cosl$l of more than £60,000 during 202312022.. none). Senior management is Comprised of five posts12022'. fivel. The total employee benefits of senior management were £284,53712022.' £238.0401, including pension and National Insuran contributions. One post was vacant for quarter of the year12022'. haK year vacant). -28-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 13 TANGIBLE NON CURRENT ASSETS Freehold property Computer Equipment Flxtures & rittings Motor Vehlcles Total Cost At 1 January 2023 Additions Disposal¥ 1.584.702 300,475 59,657 658,123 44,324 12,7791 22,736 2.325,218 344,799 12,7791 At 31 ¢0Mber 2023 1,885.177 59,657 699,668 22,736 2,667,238 Deprecial'on At 1 January 2023 Charge for the year Disposals 42.807 11,117 573.307 36.308 12,3621 618.956 53.109 12,3621 5,684 At 31 Dec8rnb8r 2023 53,924 607,253 8.526 669,703 Nèt Book Value At 1 January 2023 16,850 19,894 1.706.262 At 31 Dèetymr 2023 1,886.177 5,733 92,415 14210 1,997,536 All assets arè usad for tharitatle purposes. All properts.es ar8 100% ¢)bwed by the Congregatronal Federation. The Custodian Trustee of the properbes is The Congragational Federation Ltd. 14 INVESTMENT PROPERTY 2023 2022 MARKET VALUE At 1 January 2023 Additi$ Diswsal ol Invèstm8nt propety- Oldham DisSaI ol In%estment property- Llanharan Revaluation 3.421.397 3,59),562 1169.1651 1156.8971 3,264,500 3.421,397 At 310g¢ember 2023 Inv•5trnent proFety is staled at the Trustees ests"mat8d cp8n rnarkel value. All prcpgrbes are 1CpYk cy•med by tha Congregational Federats'on exeept for. Dai8y Dormer. Brixton- 51% The CustcMYian Trust86 of tha lnv0strnt propert$ is Th8 Congragational Fedèrabon Ltd. -29-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 15 NON CURRENT ASSET INVESTMENTS 2023 Llsted Investments 2022 Llsted Investments Market Value At 1 January Net Addition51lDr8p03alsl Unrealised ganslllossesl on invèstmtnts 10,294.010 10.770.359 500,141 976.490 404.093 At 31 De¢•mbÈr 10,698,103 10,294.010 Unrealised gainnosg on inveslments is shown net ol investment rnanagement fees of £S0.00012022". £50,000). 16 DEBTORS 2023 2022 Amovnt falllng due withln one year: Trade Debtot5 Prepayments and 8rUed income other Debtors 6.430 43,969 2,55S 32,555 635 Total 51,286 3S.746 17 CREDITORS 2023 2022 Arnount fallln9 due wlthln ono yoar: Trade thértot5 Taxab"on & Soa81 Seujrity Other Creditors Accrua 9,888 12,346 8.886 57.693 22.940 8,395 7,963 39,341 Tgtsl 88,813 78.639 Included in Other Cr8di¢ors of £8.88612022." £7,963) is deferred income relating to Southam Insuran recharges of £2,328 12022.. £2.1601 and CIPT Learning and Development ol £5,49812022." £5,6471. 18 CREDITORS 2023 2022 Amount falllng due after more than on? year. Aeuuals 22,000 10.750 Totsl 22,0fy) 10,760 19 PENSION COMMITMENTS Congregational Federation afft committed to providing a gorKI pension for all staff. Contributh)n$ at a rate of 10% a pakj into a scheme vAth Royal London whith a defined contiibution seherne. A5 such, the Federation ha5 no pension fund liabilthes. 30-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 MoveMeNT IN FUNDS. 2023 At 01.01.23 Incom• Expgndllure GIL R•valuatlon Surpl Transfe At 31.1123 Gera1 PurpD¥es 1.359.344 253,493 1347.5931 28,858 105.081 1,397.183 Desl Propety Trvig Ministers. Ps1On chth &Jpport Grants Chwch gJpport- Depi Chur¢th Support- Safeguardiryj Church Finanaal SeM(z5 Protected Prtyramme CF Area Furts 2,870,571 958.315 286.364 173.645 1,877 1156.8971 2.713,674 896.823 307.632 fj22.5 1.878 125,224 82.058 51,337 26.633 26.633 66.641 357.953 4,508 1186,2981 (72.4001 1102,797) 1159,0341 147.7241 187.3311 11.619 780 132,4Tr) 21.091 901,805 5,8S9.066 35,994 206.007 915.909 6.320,574 1102,4521 777 5.285 12,410.787 993,480 11.008A711 280,140 12,676.636 estrfcted Funds Homes for Relfed MIAsters Educ81ion &dney Berry Church Support- CIPT Spècial Appeals CWM MSP4 CF Area Funds 809.604 39.319 119.514 1,189,055 5,170 50.757 1043,308 23.757 1.154 3,733 10S.945 740 141.7761 2,909 1.469 4,814 38.834 794.494 41.962 112.668 1.164.780 115.3931 1170.0541 15.9101 51.938 1.078.819 60.049 39.520 3.2$6,727 197.559 1297,3911 87,566 4244A61 Porn&n General Purposes Prwrty Homes f(K Retired Ministers CF Area FldS 91,654 173,451 872.561 91.654 173,451 896.849 24,288 1,137.666 28B 1,161,954 Tot Funds 16.805,180 1.191.039 11.305.B021 391694 17.083.051 31
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 Unrestrlctod Fund This represents the free reseNes of the Charity and General Purpose non<urrenl assets. Desl nated Funds Property Fund Property assets indude residential investment properties which are to be sold in the coming years to help finance the Charities operating deficit. Tradlng Fund This provides support to the charitable activities through its student accommodation and conference facilities. Minlsters, Penslon Fund The Fund is intended to hold assets which produce sufficient income to meet the Ministers, pension costs on an annual basis. Federation contributions are protected for Ministers in their employment @ March 2016 at 6.36%. Beyond that, for Ministers changing employment and new Accredited Ministers, the Federation contributions will be at a lower rate of 20A. This fund will then become self-financing. no longer requiring funding from the Protective Programme Fund. Church Support Grants This Fund is to provide Mission and Stsrter Grants to churches lo help support them in their mission initiatives. The Fund receives 10 % of any Closed Church distributf*ns received by the Federation. Church Support- Dept Providing resources and support lo enable the Congregational Federation Churches lo fulfil the commission to share the gospel and make disciples and to engage with society al local, national and international levels. Church Support- Safeguardlng Changes to the Pastoral Care Board were intr0dLed latterly during 2017. 11 was superseded by the Accreditation Group, with a rem(t to oversee the Accreditation process and Safeguarding. Pastoral Care within Areas is now the responsibility of Pastoral Care Coordinators for each Area. Church Financlal Servlces Services include custodian propety and advice services. payroll services, administration seNices for church investments and deposits. ProtOCtgd Programme Fund The Fund where 90¥0 of closed church receipts and all Unfestrted legacies are allocated into along with some inlemal transfer of funds mainty from the General Purposes Property Fund emanating from the disposal of some investment properts'es into money market investments. in order to." al generate investment income to direcuy support specific operational programs and.. b} lo finance specific operational annual deficits through transferring of fund capital at each year end as deemed necessary. Congregational Federatlon Area Fund Comprising of Endowments and Expendable Gapilal. which are invested in order to provide income for the Area Funds. The Accumulated Income derived from those investments is available lo be drawn upon by the Area Associations. 32-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 Restrl¢ted and Endobvment Funds Hornes for Retlred Ministers This Fund provides 8eeommodalion for qualifying Congregational Federation Ministers of no less than 25 years of Congregational Federabon Minister service land to their widows) in their retirement and is dependent upon being on the Roll of Ministrie5 under the Icategory Ml for Minister. Educatlon Fund The income from this Fund is applied for the benefit of the children of Ministers of any of the Federation member churches. The Sldney Berry Trust This is a restricted Fund results'ng from a legacy. Income is tr) be used lo supplement the incomes of poorfy paid Ministers or to supp)rt. in retsrement, Ministers or Ministers, widowslers. Church Support - Congregational Institute for Practical Theology This Fund cover$ 811 the learning and development programmes. The Congregational Instrlute for Practical Theology reserves came mainly through a distribution received from The New College Foundation, London. Speclal Appeal$ This Fund represents the offertory taken al the Congregational Federation National Assembly and the distribution to the nominated charitses. Councll for World Mission MSP4 Funding is being reiVed to finance new inilialives within the Congregational Federation. Congregatlonal Federation Area Funds Endowments and Expendable ¢apital which are being preserved in order to provide income for the Area Funds, subject to market valuations. Accumijlaled income is available for draw down by the area associations. 33-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 Transfer5 Unrestrl General Purpose IGPI The table below is an analysis of the transfers to and from the Fund. From GP Property- 60 Meadow Rise, Llanhafftn To PPF - 60 Meadow Rise. Llanharan From PPF 156,897 1145,9151 94,099 105.081 General Purpose Property Fund To GP Property- 60 Meadow Rise, Llanharan (156,897) 1156,897) Chur¢h Support- Dept The Fund re¢eived £132.400 from the Protected Programme Fund to cover the 2023 progamime operabons. Church Support- Safeguardlng The Fund received £21,091 from the Protected Programme Fund to cover the 2023 programme operations. Protected Programmg Fund IPPF) The table below is an analysis of the transfers to and from the Fund. Fiom GP Propety- 60 Meadow Rise, Llanharan Congregational Federation Area Funds Safeguarding l AreditatiOn Group Church Support Depl GP 145,915 17771 {21,0911 1132,400) 194,099} 1102.452} Congrogational Federation Area Funds The Fund received £777 from Protected Programme Fund to cover the 2023 programme OperatS.
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS MOVEMENT IN FUNDS COMPARISON MOVEMENT IN FUNDS- 2022 At 01.01.22 Income ExpendSture GIL Tran8feT8 At 31.12.22 restrlcted F General Purp05e5 1,442,993 233,335 1318,3471 180,6791 82,042 1,359,344 51 nated Fun Property Trad'ng Min151ers' Pension Churth Support Grants Church Support- Dept Church Supp)rt- Safeguarding Church Financial Services Protected Pro3ramrne CF Area Funds 1,784,395 960,967 314.866 111.876 1.8TT 1,255,342 1169.1881 14,263 2,870,571 956,315 286,364 173,645 1.877 138.563 86,324 91,340 23,155 23,155 130,410 746,871 2,669 1155,4781 184,7831 128,7021 1128,2591 139,4021 {78.2021 130.0431 16691 105,104 16,247 937.052 5.809.608 187.6551 1461,1961 11,605 5,859.066 136.2171 11,163,634 1,475.822 1837.8321 594,900 14,263 12,410,787 I ted Fund8 Homes loi Rth'rgd Ministers Education SKlney Bery Church Support- CIPT Special Appeals CWM MSP4 CSC - if only... MissK)n Inilialwe CSC- CWM Gift of Gra CF kna Funds 769,646 42.078 151.634 1,340,918 1.011 78.276 1,089 4,053 130,795} 17.5231 13.8481 121,8531 114.3201 1137,6041 1105,107} 809,604 39,319 119,514 1.189,055 5,170 50,757 5,170 314 1.700 20.243 1,193,161 11.7001 15,9801 103.564 114,2631 57 581 103,850 1,043,308 3,5TO,834 237,331 1302.52n 1234.648} 114.2631 3,256.727 Pemianent Endowmèn General Purposes Property Homes for Retired Ministers CF Area Funds 91,654 173.451 944.845 91,654 173,451 872,561 72.284 1,209,950 172,2841 1.137.666 Total Funds 15,944,418 1.713,153 11.140,3591 287,968 16.805,180 35-
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 21 ANALYSIS OF NET ASSETS BEtVlEEN FUNDS Unr•striet•d Fund• RtrIcted Funds Peanent Endowrnents Total Fund balances at 31st D9Mb¥r 2023 ar• represented by: Fixed Assets Investment Property Investments Net CurrentAs5ets Creditors more than one year 1,028,872 3,035,000 7,535.676 1,101,088 122.0001 705.558 229.500 2,265.578 43.825 265,105 1,997,535 3,264,500 10,698,103 1,144.913 I22.(0> 896,849 Total 12.676,636 3,244,461 1,161,954 17,083.051 UnrtrIctsd Funds R•$tri¢tsd Fund$ Pewmanenl Endowrnents Total Fund balances at 318t December 2022 are r8pres8ntsd by: FrA8d Assals Investrnent Property Investrnents Net Current A55ets Creditors mor8 than one year 1,035,192 3,191,897 7,233,437 961,011 110,7S01 405.965 9.500 2,188,012 433,250 265,105 1.7¢X8,262 3.421,397 10,294.010 1,394.261 110,7501 872,561 Total 12A10,787 3,256,727 1.137,666 16,805.180 22 OTHER COMMITMENTS At 31 Dècember 2023. the Congregational Federation h&Y NIL caprtal commitments contracted but not provided for in th858 financkgl ststements12022.. NILI. RELATED PARTY DIS¢LOSURE5 The Congregaty'onal Fed?ration Limited acts as Custodian Trustee on beha of the Ccngr8gath)nal FederatKn and others. It is considered that The conggatIOnal Federation Lirnited is a related party through a common Trv$tee board. Transa¢tDns bets¥een Congregational Federation and The Cowregalional Federation L4nited durin9 the year We." 2023 2022 Fund# to The Congregatlonal Federatlon Llmltrd PayThent of Independent Examinatson Fee 3,5CIJ 3.250 Funds from The Congregational Federa0Th Llmlt Costs relatiTra to closed churche$ Closed church sale distribution 20 367,961 91 880,862
CONGREGATIONAL FEDERATION NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2023 RELATED PARTY DISCLOSURES (continued) A joint insurance policy is paid for by Congregational Federation lotalling £18,364 12022.. £17,129) which benefits The Congregational Federation Limited. Congregational Federation provides adminislralive and management seNices to The Congregational Federation Limited. Congregational Federation do not recharge these costs to The Congregational Federation Limited. As a member organisalion, transactions with each of the members of the Charity are not considered related paty transactions for disclosure purposes within the financial slatemenls. 24 RECONCILIATION OF NET MOVEMENT TO NET CASHFLOW FROM OPERATING ACTIVITIES 2023 2022 Nel movement in funds for the year 277.871 860,762 Depfeciation {Profit)Ilosses on disposal of tangible fixed assets {Profit}/losses on disposal of Investment propety (Gainslllosses on investments Investment propety revaluab'on Ilncreaselldecrease in debtors In¢reaselldecreasel in creditors 53,109 417 10,982 1404,0931 62,224 {66.3451 976.490 115,5391 21,424 7,254 11,272,948) Net cashflow from operating actwities {55,8291 567,437 25 RECONCILIATION OF NET DEBT ANALYSIS AT 2023 1 January Cash flows 31 December Cash 1,437,154 1254,7131 1.182.441 1,437,154 {254.713) 1,182.441 26 ULTIMATE CONTROLLING PARTY The Trustees as a Board are consideled to be the ultimate controlling party. -37-