Charity registration number- 273854 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES ANNUAL REPORT AND FINANCIAL STATEMENTS 31 DECEMBER 2024 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES CONTENTS (CONTINUED) Reference and administrative details Tru5tees' Report 2to9 Statement of Trustees, Responsibilities io Independent Auditors, Report Ilto14 ststement of Financial Activities 15to16 Balance Sheet 17 Notes to the Financial Ststements 18to33 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES REFERENCE AND ADMINISTRATIVE DETAILS YEAR ENDED 31 DECEMBER 2024 Registered charity name Unaffiliated Congregational Churches Charities Charity number 273854 Principal office l The Sycamores Riddlesden Keighley BD20 5EF Banker5 National Westminster Bank plc 16 South Parade Nottingham NGI 2JX Solicitors Anthony Collins Solicitors 134 Edmond Street Birmingham B3 3ES Auditors Horsfield & Smith Chartered Accountants & Statutory Auditor Tower House 269 Walmersley Road Bury Lancashire BL9 6NX UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES, REPORT YEAR ENDED 31st DECEMBER 2024 The Trustees are pleased to present their Report and the Financial Statements of the Charity for the yearended 31st December 2024. The financial statements have been prepared in accordance with the accounting policles set out in the notes to the accounts and comply with the Charity governing document, the Charities Act 2011 and Accounting and Reporting by Charities= Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published on 16 July 2014. THE TRUSTEES The Trustees who served the Charity during the period 1st January to 31st December 2024 were as follows= Co-optatlve from the Unaffiliated Congregational Churches {UCCI Mrs L Perry (Honorary Chair of Trustees) Revd G. Cooke (Appointed November 20241 Pastor M J Valentine Nominative Trustees from the Con8regational Federation {CF) Mr D M Tucker Revd C Damp MrJALyon Nomin3tive Trustees from the Evangellcal Fellowshlp of Congregational Chu￿he5 IEFCC) Dr D L James IHonorary Secretary of Trusteesl Mr P Kwalker Mr K l Davies Achievements and performance During 2024 the Trustees met on four occasion5 in order to consider and fulfil the business of the Charity. The March and September Meetings were held on Zoom, the June Meeting was held at Gladstone's Library in Hawarden and the November Meeting held at Friends Meeting House in Manchester. where 6 Trustee5 were present in person the remaining 3 Trustees were present on Zoom, unable to travel because of weather conditions. The September Meeting, held on Zoom wa5 held to di5CUSS the finding5 and recommendations of an interview panel that had taken place earlier that month to appoint a new Executive Officer to replace Revd Frank Wroe who was due to retire on the 3151 December 2024. Of the nirie appointed Trustees.. Five Trustees attended four Meetings Three Trustees attended three Meetings One Trustee attended one Meeting The present Executive Officer attended all four meetings and the newly appointed Executive Officer attended one Meetir¢g. The Board were pleased to welcome one new Co-optative Trustee, Reverend Gordon Cooke. mirTri5ter of New Inn Con8re8ational Church. Pontypool. The Executive Officer issued all the relevant UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES, REPORT YEAR ENDED 31st DECEMBER 2024 information concerning the resporTrsibilitie5 and of Charity Trusteeship as provided by the Charity Commission to the new Trustee prior to attending his first Trustee Meeting in November. In March 2024 the Executive Officer informed the Chair of Trustees that he would be retiring from the UCCC at the end of the year. The background work to appoint a new Executive Officer was begun almost immediately and the interview format I process and time scale for the appointment was discussed and agreed by the Trustees at their June Meeting. Interviews were held in September and the Trustees were pleased to appoint Revd Fredrik Rich to the role of Executive Officer from I, November 2024 with a view to assuming the full role from l January 2025. Revd Rich is the minister of the Allerton CongreEational Church in Bradford. a listed Unaffiliated Congregational Church. Revd Frank Wroe offered to remain employed by the UCCC Trustees until 315t March 2025 in order for a smooth and orderly handover to take place and to complete and present the 2024 Annual Report and Accounts for the Trustees approval at their March 2025 Meeting. This was agreed by the Trustees. The situation with the Wiltshire church, which closed in 2019 continues with no real solution in sight. At the beginning of the yearthe Charity Commission had been dealing with the members of the Village Hall Committee and other locals direct, as they had expressed an interest in forming a charity to deal with the land and building and distribution of a55ets. By November the Charity Commission had contacted the UCCC. the EFCC ond the Congregational Federation Ltd asking for further view5. The Sltuation is ongoing. No progress has been made with the Charity Commission on the possibilities of amal8amating two of the main UCCC Funds- The Ministerial Training Fund and The Maintenance of the Ministry Fund. A further approach to the Charity Commission for permission, to make the changes, will be made in 2025. Once again thls year the Trustee5 were pleased to be able to award the Dewi Rowlands Bursary and after considering three applications, the Trustees decided to support all three individual applicants with equal grants. Three Trustee5 made a visit to Union Croft Chapel in West Yorkshire to a55e55 the sltuation concerning the current state of the buildings and the ongoing work taking place. In addition they were able to speak in depth to the minister and deacons about the Continuing development of the fellowship through the present ministry. They were greatly impressed with the continuing work of the fellowship and the ongoing building work and decided to continue to support both in the short term with grants for the ministry and certain building work. As part of the support of churches experiencing problems with older buildings, the Trustees responded to a grant application from a church in Kent by awarding them a grant to assist with the installation of damp proofing. The church returned the grant, later in the year, with a letter of thanks to the Trustees for their willingness to help with the work, but the grant was unused as the work had been put on hold for the time being. The Tru5tee5 agreed to continue with the services of the Churches Ministerial Counselling Service5. A review of the UCCC Due Diligence policies was carried out and slight changes were made to the Statement on Equality and Diversity, the Health and Safety and the General Data Protection policies. UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES. REPORT YEAR ENDED 31st DECEMBER 2024 The Trustees felt that the Safeguarding Policy needed to be reviewed further and the final draft will be presented to the Trustees for their approval at their March 2025 Meeting. The Trustees reviewed and made slight changes to the Grant Application Form in order to simplify the application process. It is ten years Sin￿ the UCCC papers and records have been reviewed and archived and the Trustees agreed that the archive should be brought up to date and if possible Mr Paul Sillitoe. the archivist who carried out the last exercise. will be asked to bring the UCCC archives up to date. STRUCTURE, GOVERNANCE AND MANAGEMENT Nature of 8o¥ernlng document The Unaffiliated Congregational Churches Charitie5 came into being to enable churches that remained independent and did not join either the Congregational Federation or the Evangelical Fellowship of Congregational Churches to receive a fair allocation of the assets of the fomier Congregational Church in England and Wales, 32 County Union Incorporated Bodies ènd other apportionable funds. The restrictions to the various funds are laid down in the governing instruments. The original Charities were founded by the creation of trust funds under a CharFty Commission scheme dated 4th January 1977 and in the Charity Commission Scheme the expression "Unaffiliated Congregational Churches" means: al Congregational Churches which were in membership with the fomier Congregational Church in England and Wale5 or were members of the Congregational Union of England and Wales in the year 1966 and which on the 31st December 1975 were not member churches of the Congregational Federation or of an Evangelical Fellowship of Congregational Churches and bl Congregational Churches in England and Wales formed after 5th October 1972 which are not members of the Congregational Federation or of an Evangelical Fellowship of Congregational Churches. Further charities were created by a succession of Charity Commission schemes from 1980 onwards. In August 2008 the Charity Commission approved a new scheme, which amalgamated all the County Union Funds into the 7 main funds of the Unaffiliated Congregational Churches Charitie5. Recruitment and appointment of new Trustees The Charity has nine Trustees of which six are Nominative Tru5tee5: three by the Committee of the Evangelical Fellowship of Congregational Churches IEFCCI and three the Council of the Congregational Federation ICFI. These Trustees are nominated by their own grouping for a period of fouryears on the basis of providing a wide range of skills and experience that will add to and enhance the Charit￿5 existing skill base. The remaining three Trustees are co-opted, through a ballot of all the listed Unaffiliated Churches, for a period of five years. When a vacancy arises all such churches are contacted and given a specified date by which to submit names of suitable candidates to the Revd Frank Wroe, the Executive Officer. A profile of each candidate is then obtained and circulated to each listed Unaffiliated Church to enable each church to elect a new Trustee by way of ballot. UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES, REPORT YEAR ENDED 31st DECEMBER 2024 At the end of their term the Trustees representing the Unaffiliated Churches are required to confirm whether they wish to continue to act or not. If they express a wish to continue this is ratified by the other serving Trustees at the next scheduled Trustees, Meeting. If they do not wish to continue the process of recruiting a new Trustee begins again. Indurtion and training of new Trustees Most newly elected or appointed Trustees will already be familiar with the practical work of the Charity and they are encouraged to read a copy of the Charity's Handbook as well a5 being provided with copies of minutes of Trustee meetings for the past year. All new Trustees are provided with details of 'CC3 The Essential Trustee.. What you need to knoW' accessed from the Charity Commission web51te. Thi5 document provides guidance to all Trustees, and those who are about to become Trustees, on what 15 involved in being a charity trustee. Prospective new Trustees are also encouraged to attend TrLtstees' meetings as an obseNer prior to them being appointed as a Trustee. This is designed to give a practical insight into the issues that arise during Such meetings and to introduce them to otherTrustees. Before attending their first meeting all new Trustees are asked to sign an automatic disqualification form, confirming their eligibility to serve as the Trustee of a tharity. Organisational structure Staff The Charity has no full time staff but does employ a part-time Executive Officer. Revd Frank Wroe continued in the position of Executive Officer of the Charity and worked an average of three day5 per week for the Charity. Revd Fredrik Rich will fully take over this role from l January 2025 and Revd Wroe will be on hand to assist if required. His main role will be to prepare the 2024 Trustees Report and Accounts for presentation to the March 2025 Trustee Meeting before fully retiring on 31, March 2025. Trustees Mrs L. Perry was elected by the Trustee Board to serve as Chalr of Trustees for 2024. Or D L James was elected by the Trustee Board to serve as Secretary for 2024. Major risks and managernent of those risks Investments The Charity has no property other than its Stock Market investments. These investments are held in four charity investment funds, each with a wide spread portfolio of holdings. The funds comprise a roughly equal split between fixed interest and equity funds, with a slight bias toward5 equitie5, and they provide a regular quarterly income to the Charity. The Trustees undertake periodic reviews of the Charitys investments. Pollcy on control of fraud The Trustee5 have an agreed policy of continuing to use professional charity experienced accountants to audit the Charitys accounts in orderto ensure that they remain in line with the Charity Commission ccounting and reporting standards. UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES, REPORT YEAR ENDED 31st DECEMBER 2024 The policy will ensure that any loan repayments to the Charity are paid in full and within the agreed time scales. This is achieved by the Trustees, through the Executive Officer, obtaining a detailed analysis of income and expenditure. including outstanding and paid loans at each Trustee Meeting. Financial Revlew Incoming resources amounted to £109,289. This is an increase of £2,958 on the previous year. Investment income has increased £3,683 and other income decreased £725. Resources expended amounted to £114,041, a decrease of £13,633 on the previou5 year. Grants have reduced by £19,121. Most grants have remained consistent but here have been no building grants awarded this year12023.. £26,585). Management and administrative costs have incrèased £5,488. This has resulted in a net deficit of £4,75212023 . £21,343) prior to investment revaluation. The market value of investments at the year end have increased by £57,453 resLrlting in an overall 5urplu5 for the year of £52,70112023 £105,788). Total funds carried forward were £2,842,148 12023 £2,789,447), spllt £877,024 12023 £846,795) unrestricted. £666,17412023 £670,522) restricted and £1,298,95012023 £1.272,1301 endowment. OBJECTIVES AND ACTIVITIES Objects and alms To sUPPOrt through grants and Iow-cost interest loans, personal contact, and encouragement where possible the listed Unaffiliated Congregational Churches, their members, serving ministers, and, where appropriate, retired ministers or their widows or widowers. Public benefit The Charity has seven specific funds that allow the Trustees to distribute its income in the form of grants and/or loans where necessary to a5slst and maintain ministry in individual churches and to assist with the relief of hardship for retired ministers or their widows and widowers. Other areas of assistance include grants for the education of ministers, their children, and students training for the ministry. Grants and loans are also available to ¢hurche5 for repairs and the ongoing maintenance of buildings or expansion of church buildings and assistance to comply with legal building requirements in order to meet current building legislation. Where appropriate, grants for regeneration are also considered to assist churches on the point of closure to remain open. Churches are invlted to apply to the Tru5tee5 for 5UPPOrt by completing an application form, which gives the Trustees specific details of the assistance required by the church. This application will usually be accompanied by two years audited account5 of the church and, in the case of building work, two or three estimates from different builders to support the application. In the case of a grant for maintenance of the ministry or additional ministerial training the minister must possess a clear and current Criminal Record Disc105ure Certificate. UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES, REPORT YEAR ENDED 31st DECEMBER 2024 The Trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance PLfblished by the Charity Commission of England and Wales. Grant maklng policles The Charitys main objectlve is to assist churches and Indlvlduals with grants as made from appropriate funds. During 2024 the UCCC Trustees were able to award grants to 3 UCCC listed churches and 32 individuals a550ciated with UCCC listed churches. In addition the following Congregational organisations and groupings were assisted with grants- Congregational History Society, the Congregational Partnership Ltd, the Congregational Federation Ltd, the Evangelical Fellowship of Congregational Churche5 Trust Corporation Ltd. Also the Trustees were pleased to be able to award the Dewi Rowlands Bursary to three theological student5. The grants were made from the Charivsfollowing Funds- Fund Amount General Purposes Fund Maintenance of the Ministry Fund Ministerial Training Fund Church Extension Fund Welfrdre Fund Homes for retired Mini5ter5 Fund Education Fund Sydney Berry Trust £ 4,370 £ 20,721 £ 15,050 £ 48CKJ £ 14,984 £ 900 Total £67287 The Trustees awarded grants in the following ways.. Grants totalling £900 from the Education Fund were awarded to the Six children of two UCCC ministers to assist with their education. One church in South Wales and another one in West Yorkshire, received grants totalling £20,721 for the support of ministerfs stipends. Both these grant5 came from the Maintenance of the Ministry Fund. £1,000 from the General Purposes Fund was awarded to the Congregational History Society to assist with the administration costs of the Society. Other grants from the General Purposes Fund amounted to £3,370 for: The three Congregational Trust Companie5,' Congregational Partnership Ltd 1£3601, Congregational Federation Ltd1£12001 and the EFCC Trust Corporation Ltd (£1201 were given grants to assist them with costs involved in their role of Custodian Trusteeship for fourteen listed UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES, REPORT YEAR ENDED 31st DECEMBER 2024 Unaffiliated churches. The Trustees were also able to a5SlSt thirteen UCCC ministers and pastors with a resource grant of £130 each. Grants totalling £5,248 were made from the Dr Sydney Berry Trust to four retired ministers and the widows of four ￿tired minister5 of Unaffiliated Churches. Grants totalling £14,984 were awarded to four retired ministers and the widows of four retired mini5ter5 of Unaffiliated Churches from the Homes for Retired Ministers Fund to assist, with the payment of Council Tax & Water Rate demands. Grants totalling £48CK) for the relief of hardship were made to four retired ministers and the widows of four former retired ministers of UnafFiliated Churches, which came from the Welfare Fund. The Trustees awarded grants totalling £15,050 from the Ministerial Training Fund= Three grants of £2,[￿ each to each of three students1£6,IK)01 as the Dewi Rowlands Bursary. In 2023 one church in Hertfordshire receNed an initial grant of £3120 to assist with the costs of fees for a distance learning course for one of their members. This year a further grant of £9050 was awarded to the same church for the same memberwhen the original distance learning course wa5 converted to a residential only B.A. theology course at the Union School of Theology, Bridgend. Loans From time to time the Charity is able to make low-cost interest loans to churches, to be repaid over a set period of 2, 3 or 5 years, or longer if required, to assist with ongoing repairs or renovations to church property. The Trustees did not make any loans during 2024 and there were no outstanding loan5 due for repayment in the year. CharFtsble commitments As part of the policy of continually reviewing all the regular grants, as outlined in the Report of the Trustees the following grant structure for Maintenance of the Ministry, Welfare and various other regular grants 15 in place. These future grants have been notified to the churches and individuals concerned and with the exception of the grants from Dr Sydney Berry Trust for retired ministers ond retired ministerfs widows. which have not been guaranteed. Year 2025 2026 2027 44,874 51,514 48.028 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES TRUSTEES. REPORT (CONTINUED) YEAR ENDED 31 DECEMBER 2024 Flnancial instruments Objertives andpoliciTe5 The Charit¢s activities expose it to a number of financial risks including credit risk. cash flow risk and liquidity risk. CashAlow n'sk The Charity's activitles expose it primarily to the financial risks of changes in interest rates. Interest bearing assets are held at fixed rate to ensure certainty of cash flows. c￿dit nsk The Charivs principal financial a55ets are bank bolance5 and investments. The credit risk on liquid funds is limited because the counterparties are banks with high credit-rating5 assigned by international credit-r3ting agencies. The Charity has no significant concentration of credit risk, with exposure spread over a number of counterparties. Llquldlty risk In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the Charity uses investments in charity-managed funds and deposits which are reviewed on a regular basis. Disclosure of information to auditor Each trustee ha5 taken steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware. The annual report was approved by the trustees of the charity on 19 June 2025 and signed on thelr behalf by: Mrs L Perry Trustee UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES STATEMENT OF TRUSTEES, RESPONSIBILITIES YEAR ENDED 31 DECEMBER 2024 The trustees are responsible for preparing the trustees, report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practicel and applicable law and regulations. The law applicable to charities requires the trustees to prepare flnancial 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 re50urce5 of the charity for that period. In preparing these financial statements, the trustees are required to: select suitable accounting policies and then apply them consistently,. observe the methods and principles in the Charitie5 SORP; make judgements and estimates that are reasonable and prudent; state whether applicable accounting standards have been followed. subject to any material departures disclosed and explained in the financial statements- and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in bu5ines5. 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 (Accounts and Reports1 Regulations 2008. and the provisions of the constitution. The trustees 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 irregularitie5. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's webslte. Legislation governing the preparation and dissemination of financial statements may differ from legislation in otherjurisdictions. Approved by the trustees of the charity on 19 June 2025 and signed on their behalf by= Mr5 L Perry Trustee io UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES INDEPENDENT AUDITOR'S REPORTTOTHE MEMBERS OF UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES Opinion We have audited the financial statements of Unaffiliated Congregational Churches Charities (the 'charity'l for the year ended 31 December 2024, which comprise the Statement of Flnancial Activities, Balance Sheet, 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 United Kingdom Accounting Standards, comprising Charities SORP- FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, and applicable law Iunited Kingdom Generally Accepted Accounting Practice). In our opinion the financial 5tatements'. give a true and fair view of the state of the charity's affairs as at 31 December 2024 and of its incoming resources and applicatSon of resources. including its income and expenditure, 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. Basls for oplnlon We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the auditor 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 OLrr other ethical responsibilities in actordance with these requirements. We believe that the audit evidence we have obtained is suffficient and appropriate to provide a basis for our opinion. Concluslons relating to going concern In auditing the financial statements, we have conclLEded that the trustees use of the 80ing 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 uncertaintie5 relating to events or conditions that. individually or collectively. may cast significant doubt on the charity's bility to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue. Our responsibilitie5 and the responsibilities of the trustees with respect to going concern are described in the relevant sections of thi5 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 auditorfs report thereon. Our opinion on the financial statements doe5 not cover the other informatlon and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. li UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES INDEPENDENT AUDITOR'S REPORTTO THE MEMBERS OF UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES (CONTINUED) 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 materialty 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 there is a material misstatement in the finar)cial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of thls other information, we are requlred to report that fact. We have nothing to report in this regard. Matters on which we are required to report by exceptlon In the light of our 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 to report in respect of the following matters where the Charities IAccounts and Report) Regulations 2008 requires us to report to you if, in our opinion: adequate accounting records have not been kept, or return5 adequate for our audit have not been received from branches not Vi51ted 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 received all the information and explanations we require for our audit. Responslbllltles of trustees As explained more fully in the Statement of Trustees, Responsibilities Iset out on page 101, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair vlew, 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 preparin8 the financial statements. the trustees are responslble for assessing the charity's ability to continue a5 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. Auditorfs responsibilitie5 for the audit of the Ilnanclal statements Our objectives are to obtain reasonable assurance about whether the financial statements as whole are free from material misstatement, whether due to fraud or error, and to issue an auditorfs report that includes our opinion. Reasonable assurance is a high level of a55urance, but Is not a guarantee that an audit conducted in accordance with ISAS IUKI 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. 12 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES INDEPENDENT AUDITOR'S REPORTTO THE MEMBERS OF UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES (CONTINUED) Irregularities, Including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilitles, outlined above. to detect material mi5Statements in respert of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below= The extent to whlch the audit was considered capable of detectln8 irregularities includlng fraud Our approach to identifying and assessing the risks of material mi55tatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: the engagement partner ensured that the engagement team collectively had the appropriate competen￿, capabilities and skills to identify or recognise non-compliance with applicable law5 and regulations we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the charity; and we assessed the extent of compliance with the laws and regulations through making enquiries of management. We assessed the susceptibility of the charity's financial statements to material misstatement. Including obtaining an understanding of how fraud may occur, by.. making enquiries of management as to where they consldered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud,. and considered the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. To address the risk of fraud through management bias and override of controls, we: performed analytical procedures to identify any unusual or unexpected relationships. In response to the risk of irregularities and non-compliance wrth laws and regulations, we designed prcedures which included, but were not limited to: agreeing financial statement disclosures to underlying sUPPOrting documentstion: reading the minutes of meetings of those charged with governance; and enquiring of managment as to actual and potential litigation and claims. There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions. the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedure5 required to identify non-compliance with laws and regulations to enquiry of the trustees and other mana8ement and the inspection of regulatory and legal correspondence. if any. Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion. A further description of our responsibilities is available on the Financlal Reporting Council's website at.. www.frc.org.uvauditorsresponsibilities. This description forms part of our auditorfs report. 13 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES (CONTINUED) Use of our report This report is made solely to the charity trustees, as a body, in accordance with section 145 of the Charities act 2011 and regulations made under sertion 154 of that Act. Our audit work has been undertaken so that we might state to the trustees those matters we are required to state to trustees in an auditor5, report and for no other purp05e. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and it5 trustees as a body. for our audit work, for this report, or for the opinions we have formed. Horsfield & Smith is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a Company under section 1212 of the Companies Act 2006. Peter G Nicol BSC FCA (Senior Statutory Auditor} For and on behalf of Horsfield & Smith, Statutory Auditor Tower House 269 Walmersley Road Bury Lancashire BL9 6NX Date:........... J))£ 14 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES STATEMENT OF FINANCIAL ACTIVITIES (INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT) YEAR ENDED 31 DECEMBER 2024 Unrestricted funds Restrlcted fund5 Endowment funds Total 2024 Note Ineorne and Endowments from: Investment income 31,409 1,812 24,063 190 51,815 107,287 2,002 Other income Total Income 33,221 24,253 51,815 109,289 Expenditure on: Raising funds Charitable activities 123.0891 112,6311 118,2651 160,0561 141,3541 172,6871 Total Expenditure 135,7201 178,3211 1114,0411 Net lexpenditurel/income Gains/losses on investment assets {2,4991 154.0681 51,815 14,7521 17,208 13,425 26,820 57,453 Gross transfers between funds 15,520 36,295 {51,8151 Net movement in funds 30.229 14,3481 26.820 52,701 Reconciliation of funds Total funds brought forward 846,795 670,522 1,272,130 2,789,447 Total funds carried forward 16 877,024 666,174 1,298,950 2,842,148 15 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES STATEMENT OF FINANCIAL AcfiviTIES (INCORPORATING THE INCOME AND EXPENDITURE ACCOUNT) YEAR ENDED 31 DECEMBER 2024 (CONTINUED) Prlor year Statement of Financial Artivltles Total 2023 Unrestricted Restrlcted Endowment Note Income and Endowments from: Investment income 30,987 2,632 23,541 95 49,076 103.604 2.727 Other income Total Income 33.619 23,636 49,076 106.331 Expenditure on: Raising funds Charitable activities 118,0471 113,6591 116,1311 179,837} 134,1781 193,4961 Total Expenditure 131,7061 195,9681 1127,6741 Net income/lexpenditurel Gains/losses on investment assets 1,913 172,3321 49,076 121,3431 37,147 28,977 61,007 127,131 Gr055 transfers between funds 17,792 31,284 149,0761 Net movement in funds 56,852 112,0711 61,007 105.788 Reconciliation of fund5 Total funds brought forward 789,943 682,593 1.211.123 2,683.659 Total funds carried forward 16 846,795 670,522 1,272,130 2,789,447 All of the charity's activities derive from continuing operations during the above two period5. The funds breakdown for 2023 is shown in note 16. 16 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES BALANCE SHEET 31 DECEMBER 2024 2024 2023 Note Fixed assets Investments 13 2,779,520 2.722.067 Current assets Debtors Cash at bank and in hand 14 36,200 34,425 37,200 38,867 18 70,625 76,067 Creditors: Amounts falllng due wlthin one year 15 17.9971 18,6871 Net current assets 62.628 67,380 Net assets 2,842,148 2,789,447 Funds of the eharity: Endowment fund5 1,298,950 1,272,130 Restrirted income funds Restricted funds 666,174 670,522 Unrestrlcted Income funds Unrestricted funds 877,024 846,795 Total fvnds 16 2.842.148 2,789,447 The financial statements on pages IS to 33 were approved by the trustees, and authorised for issue on 19 June 2025 and signed on their behalf by-. Mrs L Perry Trustee 17 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 l Accountlng policies Statement of compliance The financial statements have been prepared in accordance with the second edition of the Charities Statement of Recommended Practice issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 1021 and the Charities Act 2011. Basis of preparation The financial statements have been prepared in accordance with 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 IFRS 1021 lettective l January 20191 Icharities SORP IFRS 10211, the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021, the Charities Act 2011, and UK Generally Accepted Practice as it applies from l January 2019. The financial statements have been prepared to give a 'true and fair, view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view,. This departure has involved following Accounting Reporting by Charities peparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 issued in October 2019 rather than the Accounting and Reporting by Charities:5tatement of Recommended Practice effective from l April 2005 which has since been withdrawn. Unaffiliated Congregational Churches Charities meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless othenvi5e stated in the relevant accounting policy notes. The financial statements are presented in £ sterling. Golng concern The trustees consider that there are no material uncertainties about the charity'5 ability to continue as a going concern. Income and endowments All incoming resources are included on the Statement of Financial Activities when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. Donotions andlegocies Cash donations, gifts, legacies ar)d grants are accounted for in full as they are received. The value of voILTrntary help is not included in the accounts. 18 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENT5 YEAR ENDED 31 DECEMBER 2024 (CONTINUED) Investment income Bank interest is accounted for on receipt. Other investment income is accounted for when receivable. The Statement of Financial Activities includes net gains and losses arising on revaluations and disposals throughout the year. Expenditure All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it Is probable settlement is required and the amount can be measured reliably. All costs are allocoted to the appliable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources. The irrecoverable element of VAT is included within the Item of expense to which it relates. Grants offered subject to conditions, which have not been met at the year end date, are noted as commitment but not accrued as expenditure. Roisingfvnd5 These are costs incurred in the mana8ement of investments. Chantable artivities Charitable expenditure comprises those costs incurred by the Charity in the delivery of its activities and servites for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them. Governance costs These include the costs attributable to the Charitys compliance with constitutional and statutory requirements. Taxation The charity is exempt from tax on its charitable activities. Fixed asset investments Fixed asset investments, other than programme related investments, are included at market value at the balance Sheet date. Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the Statement of Financial Activities in the period of disposal. Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value at the year end. 19 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) Debtors Are amounts due from customers for merchandise sold or services performed in the ordinary course of business. Are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of is established when there is objective evidence that they will not be able to collert all amounts due according to the original terms of the receivables. Cash and cash equivalents Cash and cash equivalents comprise cash on hand and call deposits, and other short-temi highlv liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value. Borrowings Interest-bearing borrowing5 are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised a5 a charge to the Statement ot Financial Activities over the period of the relevant borrowing. Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges. Borrowings are classified 35 current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date. Fund strurture 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. Endowment funds represent assets which must be held permanently by the Charity. Income from those assets may be used to support the objectives of the Charlty. Further explanation of the nature and purpose of each fund is included in the notes to the financial statements. 20 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) Financial instruments Classification Financial assets and financial liabilities are recogni5ed when the Charity becomes a party to the contractual provisions of the instrument. Financial liabilities are classified according to the substance of the contractual arrangements entered Into. Recognition ondme05urement All financial assets and liabilities are initially measured at transaction price (including transaction Costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the Charity Intend5 either to settle on a net basis, or to realise the asset and settle the liability simultaneou51y. Financial asset5 are derecognised when and only when al the contractual rights to the cash flows from the financial asset expire or are settled, bl the Charity transfers to another party 5ub5tantially all of the risks and rewards of ownership of the financial asset, or cl the Charity, despite having retained some, but not all, significant risks and rewards of ownership. has transferred control of the a55et to another party. Flnancial liabilities are derecognised only when the obligation specified in the contract is dlscharged, cancelled or expires. Pensions and other post retlrement obligations The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods. Contribution5 to defined contribution plans are recogni5ed in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for seryice. the excess is recognised as a prepayment. 21 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) 2 Investment income Unrestricted funds General Endowment funds Expendable Restrirted funds Ti)tsl funds Interest receivable and similar income: Interest receivable on bank deposits Other income from fixed asset investments 563 563 30,846 24,063 51.815 106,724 Total for 2024 31,409 24,063 51,815 107,287 Total for 2023 30,987 23,541 49,076 103,604 3 Other Income Unrestricted funds General Restrirted funds Total fund5 Other income 925 190 1,115 887 Rental income 887 Totsl for 2024 1,812 190 2,002 Totsl for 2023 2,632 95 2,727 4 Expenditure on raising funds a) Administrative costs Unrestricted funds General Restricted funds Total funds Staff Costs 17,609 5,480 13,943 4,322 31,552 9,802 Administrative expenses Total for 2024 23,089 18,265 41,354 Total for 2023 18,047 16,131 34.178 22 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 {CONTINUED) 5 Expenditure on charitsble actlvities Unrestrlrted funds General Restricted funds Total funds Note Grant funding of activitles Governance costs 9,618 3,013 57,669 2,387 67,287 5,400 Total for 2024 12,631 60,056 72,687 Total for 2023 13,659 79,837 93,496 6 Analysis ofgovernance and support costs Raising funds expenditure Governance costs Unrestricted funds General Restrirted funds Totsl funds Audit fees Audit of the financial statements Other fees paid to auditors 1,674 1,339 1,326 1,061 3,000 2,400 Total for 2024 3,013 2,387 5,4 Totsl for 2023 3,803 3,285 7,088 23 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) 7 Grant-maklng Analysis of grants Grants to institutlons 2024 2023 Grants to Individuals 2024 2023 Analysis General Purposes Maintenance of the Ministry Ministerial Training Church Extension Homes for Retired Ministers 2,680 21,971 9,050 3,345 20,029 4,680 26.585 6,938 6,511 5,000 14,948 4,800 900 14,013 5,345 900 Welfare Education 33,701 54,639 33.586 31,769 8 Net Sncomlngloutgolng resources Net out8oin8 resources for the year include.. 2024 2023 Audit fees 3,0(KJ 9 Trustees remuneratlon and expenses During the year the charity made the following transactions with trustees: £4.41712023= £1,674) of expenses were reimbursed to the trustees during the year. During the year ten trustees were paid expenses in relation to reimbursed meeting expenses. No trustees, nor any persons connected with them, have received any remuneration from the charity during the year. No trustees have received any other benefits from the charity during the year. 24 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) 10 Staff costs The aggregate payroll costs were as follows.. 2024 2023 Staff costs during the year were: Wages and salaries Pension costs 29,061 2,491 25,159 2,335 31,552 27,494 The monthly average number of persons (including senior management / leadership team) employed by the charity during the year expressed as full time equivalents was a5 follows.. 2024 No 2023 No Executive officer No employee received emoluments of more than £60,000 during the year 11 Auditors, remuneratlon 2024 2023 Audit of the finantial statements 3,000 3.OC4) Other fee5 to auditor5 All other non-audit setvices 2.4(X) 4,088 12 Taxation The charity 15 a registered charity and is therefore exempt from taxation. 25 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) 13 Flxed asset investments 2024 2023 Other investment5 2,779,520 2,722,067 Other investments Fixed interest investments Managed funds Total Cost or Valuation At l January 2024 Revaluation 1.057,238 14.330 1,664,829 2,722,067 43,123 57,453 At 31 December 2024 1,071.568 1.707,952 2,779,520 Net book value At 31 December2024 1.071,568 1,707,952 2,779,520 At 31 December 2023 1,057,238 1,664,829 2,722,067 Analysis of investments at 31 December 2024 between funds Unrestrlcted Restricted Endowment Total Funds Totsl Funds Fund5 Funds Funds 2024 2023 Llsted and other investments Fixed interest investments 297,003 534,741 231,685 417,141 542,880 756,070 1,071,568 1,707.952 1,057,238 1,664.829 Managed funds 831,744 648,826 1,298,950 2,779,520 2.722,067 26 UNAFFILIATED CONGREGATIONAL CHURCHES CHARITIES NOTES TO THE FINANCIAL STATEMENTS YEAR ENDED 31 DECEMBER 2024 (CONTINUED) The investments representing more than 5% of the total value are as follows= Endowed Expendable Units Market Value Units Market Value Charinco 55354.057 82,113 349,688 12.6 23674.980 406,382 14.6 29207.441 464,4￿ 16.7 133036.060 2.9 82708.374 122,691 4.4 480,443 17.3 471,436 17.0 411.427 14. COIF 17231.700 Charifund 27600.000 COIF Ethical Investment5 150164.920 1,298,951 1,480,569 14 Debtors 2024 2023 Prepayments Other debtor5 Amounts falling due after more than one year.. Interest in property Amounts falling due after more than one year.. Loans to churches 2CXJ 2CN) I,ocKJ 11,000 25,CXXI ii,(xx) 25,CXJO 36,200 37,200 The interest in property figure includes loans to churches made on the following basis- In March 1992. a loan was made to the Congregational Federation Limited to purchase the freehold reversion of Bethesda, Brynmawr, amounting to £ll,O(K). This loan represented 22% of the value of the building at that time. Repayment of the loan will be expected if and when the church is sold with 22% of the sale price. Loans to churches carry an interest rate set by the Trustees. All such loans are considered recoverable. In November 2016 the trustees agreed a loan of £25,OCKI to the Union Croft Chapel. This loan will only be repayable in the event of the closure of the chapel or if the pastor leaves the chapel. 15 Creditors: amounts falling due within one year 2024 20Z3 Other taxation and social security Accruals 995 1.685 7,002 7,002 7,997 8,687 27 rx) w (n UJ in E7) tr5 0 o ￿￿ fvJ o ID ￿ C ¢Ys (n o ¢m ) o J ID (n co ( U) O (n UJ (n LU ) uj o a) ts) O S& UJ Ln PJ c w o ¢ z c 00 Lll c¢ u)