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2021-12-31-accounts

African Pastors’ Fellowship

Trustees’ Report and Financial Statements for the year ended 31 December 2021

Registered Charity number 282756

Karen Hanlan Independent Examiner Limited

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Contents
Page
Report of the trustees 3-8
Statement of Trustees responsibilities 9
Report of the independent examiner 10
Statement of financial activities 11
Balance sheet 12
Principle accounting policies 13-15
Notes to the financial statements 16-28

2

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Report of the trustees

The trustees of the African Pastors’ Fellowship (“the Charity”) have pleasure in presenting their report and financial statements for the year ended 31 December 2021. The financial statements comply with the Charities Act 2011, the Constitution 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 (FRS102) (updated 1 January 2019).

OBJECTIVES AND ACTIVITIES

As set out in its Constitution, the Charity is established for the advancement of the Christian Religion by the provision of financial, spiritual and medical assistance to Church leaders of all denominations and their dependents in Africa, and other such countries as from time to time may be determined, and the training of such leaders. This is achieved by providing:

In shaping the objectives for the year and planning activities, the Trustees have considered the Charity Commission’s guidance on public benefit, including the guidance ‘public benefit: running a charity (PB2)’.

The vision of APF is to empower Christian leaders so as to enable effective ministry that delivers community transformation through the local church.

The mission of APF is to develop the capacity of Christian leaders in partnership with African agencies to provide training, equipment and pastoral care (APF pastor the pastors that pastor the pastors).

The ultimate goal of our charitable objectives is to bring community transformation, mainly in rural sub-Saharan east Africa, through the local church (registered networks, denominations and related partner NGOs). This is achieved largely through investment in capacity building of faith community leaders (both lay and ordained). The future strategy is to resource and release indigenous leaders with vision, capacity and an existing ministry ‘pastoring pastors’ so as to increase, multiply and better culturally contextualise the work. Some projects bring obvious and immediate community transformation (such as sustainable domestic solar technology) while other projects (such as training in family values, entrepreneurship and sustainable farming) will bring lasting benefit in the longer-term.

3

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

ACHIEVEMENTS AND PERFORMANCE

Activity

APF enjoyed another productive year with some key achievements being increased activity in Africa and a return to more regular in-person contact with African friends and partners. There was substantial growth in eVitabu use across Africa and the launch of a UK based individual sponsorship platform to help build sustainability into the eVitabu project. A strategic decision was made at the beginning of the year to prioritise eVitabu both as a core aspect of our vision and operationally which is reflected in the statistics listed below:

4

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Achievements

The activity outlined above represents organisational growth and activity in Africa and a remarkable return on limited resources in exceptionally challenging circumstances. APF has retained a compassionate pastoral response whilst remaining focussed on our strategic priorities to enable effective ministry through training and resourcing leaders.

----- Start of picture text -----
“eVitabu is a library where all the books
I need are in this one app”
Pastor Alex Sokiri, Morobi Refugee Camp
----- End of picture text -----

----- Start of picture text -----
“We have used eVitabu so much and have
seen many lives changed.”
Revd Francis Esomu, Atirir Bible School
----- End of picture text -----

Future

A strategic review took place in September 2021 which confirmed the centrality of training and the importance of eVitabu to the foreseeable future of APF. Trustees agreed to the focussed deployment of resources towards the existing app, the possibility of developing eVitabu to include certified courses and the need to review where and how funds are sought to enable this to happen more efficiently so that future planning can happen with greater confidence and appropriately skilled personnel are more frequently available.

5

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

FINANCIAL REVIEW

Finances in 2021

2021 was a successful year for the charity from a financial perspective. Overall, income was up approximately 10% or £15,000 compared to 2020. This was due to an increase in income from grants and fundraising activities which masked a small reduction in income from gifts and donations compared to the previous year.

During 2020, Covid-19 impacts meant that the Trustees were hesitant to spend restricted project funding as monitoring and financial due diligence was not feasible. This meant that at the beginning of 2021, restricted funds were at a high level. This situation began to be addressed during 2021 and is reflected in the significant increase in charitable expenditure, up by approximately £30,000 compared to 2020. The reduction in Covid-19 restrictions on travel meant that APF staff were able to resume a more normal pattern of work in Africa during 2021.

We remain very grateful for the generosity of our supporters who continue to provide for the work of APF through regular giving, responding to appeals and from gifts in wills. We also continue to benefit from generous gifts from grant making trusts.

Overall, our finances remain satisfactory, enabling us to move forward with our strategic objectives.

Pension Liabilities and Reserves Policy

As explained below, the accounting policies of FRS102 require us to include as a liability agreed deficit contributions to be paid to the Baptist Pension Scheme over the next 7 years. At the year end, that liability was £37,264 (2020: £42,513).

The effect of this in our accounts is to reduce our reserves by this amount leaving us with funds as follows:

s follows:
General un-restricted funds
Designated pension reserve
Total un-restricted funds
Restricted funds
Total funds		 £
38,482
(37,264)
1,218
35,166
36,384

As noted above the pension reserve will crystallise over the next 7 years and consequently the Trustees feel it appropriate to exclude this amount from general funds when making decisions regarding the reserves policy and future expenditure. Therefore, the Trustees have agreed that

6

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

the current policy remains appropriate, which is to maintain, as a minimum, sufficient general funds to cover at least three months’ unavoidable costs, being approximately £25,000.

The Trustees are confident that the charity will have sufficient cashflows to meet the annual liabilities as they become due, and, at this stage, see no reason to curtail charitable expenditure from planned levels in order to maintain reserves sufficient to meet the liability in full over the next 7 years. The Trustees will, however, continue to monitor this situation carefully.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing Document

The African Pastors’ Fellowship is a registered charity (No. 282756) and governed by its Constitution originally adopted on 1 June 1981 and subsequently amended on 27 November 1990, 16 June 1999 and 27 March 2003.

Appointment of trustees, induction & training

New Trustees are appointed by invitation to join the Board given that they have the necessary skills and experience to contribute to the Trust’s activities and to be able to discharge their obligations as Trustees.

Management

The Trustees delegate the day to day running and administering of the Charity and its activities to the CEO and UK staff team.

REFERENCE AND ADMINISTRATIVE INFORMATION

Trustees:

Revd Richard Suffern - Chairman Mr Andrew Richardson - Treasurer Mr John Chambers Revd David J Howard Revd Richard Tucker Revd Andrew North Mrs Florence Anne Lyttle

Chief Executive Officer:

Revd David Stedman

Projects Coordinator: Mr Geoff Holder

Finance Coordinator: Mrs Susan Gollins

Charity Number: 282756

7

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Registered Office: Station House Station Approach Adisham Canterbury CT3 3JE

Independent Examiner: Karen Hanlan, ACA Karen Hanlan Independent Examiner Limited 1 Saracen Close Ettington CV37 7SZ

Bankers: Yorkshire Bank CAF Bank Limited CCLA Investment Management 7-11 High Street 25 Kings Hill Avenue Senator House Coventry Kings Hill 85 Queen Victoria Street CV1 5SB West Malling London ME19 4JQ EC4V 4ET

Approved by the Board and signed on its behalf by:

Revd Richard Suffern Date Chairman of Trustees

8

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Statement of trustees’ responsibilities

The Trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and UK Accounting Standards including Statement of Recommended Practice 2015 ‘Accounting and Reporting by Charities’.

The trustees are required to prepare financial statements for each financial year which give a true and fair view of the state of the affairs of the Charity and of the surplus or deficit incurred by the Charity for that year. In preparing those financial statements the trustees are required to:

The trustees have overall responsibility for ensuring that the Charity has an appropriate system of controls, financial and otherwise.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy, at any time, the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011.

They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide reasonable assurance that:

9

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Independent Examiner’s Report to the Trustees of the African Pastors’ Fellowship

I report to the trustees on my examination of the accounts of the African Pastors Fellowship (‘the Charity’) for the year ended 31 December 2021 which are set out on pages 11-28.

Responsibilities and basis of report

As the charity trustees you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 (‘the 2011 Act’).

I report in respect of my examination of the Charity’s accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner’s statement

I have completed my examination. I can confirm that no material matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:

1) accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or

2) the accounts do not accord with those records; or

3) the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a ‘true and fair’ view which is not a matter considered as part of an independent examination.

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Karen Hanlan, Institute of Chartered Accountants, England & Wales Date Karen Hanlan Independent Examiner Limited

1 Saracen Close, Ettington, CV37 7SZ

10

African Pastors’ Fellowship Financial Statements

for the year ended 31 December 2021

Statement of financial activities

----- Start of picture text -----
||||||| |---|---|---|---|---|---| |Un-|Total|Total| |restricted|Restricted|funds|funds| |funds|funds|2021|2020| |Note £|£|£|£| |INCOME FROM:| |Donations and legacies|1 95,416|61,084|156,500|145,444| |Other trading activities|2 7,096|-|7,096|2,391| |Investments|12|-|12|3| |──────|──────|──────|──────| |TOTAL INCOME|102,524|61,084|163,608|147,838| |──────|──────|──────|──────| |EXPENDITURE ON:| |Raising Funds|(21,400)|-|(21,400)|(19,626)| |Charitable activities|(85,602)|(70,851)|(156,453)|(124,860)| |Other expenditure|(560)|-|(560)|(772)| |──────|───────|─────── ───────| |TOTAL EXPENDITURE|3|(107,562)|(70,851)|(178,413) (145,258)| |──────|──────|─────── ───────| |Net gains on investments| |2,266|-|2,266|2,745| |──────|──────|───────|───────| |Net (expenditure)/ income|(2,772)|(9,767)|(12,539)|5,325| |Transfers between funds|-|-|-|-| |Other recognised gains|12|739|-|739|1,840| |──────|──────|─────── ───────| |NET MOVEMENT IN FUNDS|(2,033)|(9,767)|11,800|7,165| |RECONCILIATION OF FUNDS|──────|─────|──────|──────| |Total funds brought forward|3,251|44,933|48,184|41,019| |──────|───────|─────── ───────| |Total funds carried forward|1,218|35,166|36,384|48,184| |═════|═════|═════|═════|

----- End of picture text -----

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

11

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Balance sheet

alance sheet
Notes
Fixed Assets
Tangible assets
5
Investments
6
Current Assets
Debtors
7
Cash at bank and in hand
Total current assets
Current Liabilities
Creditors: amounts falling due within one year
8
Net current assets
Creditors: amounts falling due in more than one
year
9
Net assets
Funds of the Charity:
Restricted Funds
10
Unrestricted Funds
-
General
10
-
Designated pension liability
10
Total un-restricted funds
Total funds of the Charity		 2021
2020
£
£
-
-
57,415
55,374
57,415
55,374
1,547
18,553
19,495
28,087
21,042
46,640
(9,953)
(16,387)
11,089
30,253
(32,120)
(37,443)
36,384
48,184
35,166
44,933
38,482
45,764
(37,264)
(42,513)
1,218
3,251
36,384
48,184

The accompanying accounting policies and notes form part of these financial statements.

Approved by the Trustees and signed on their behalf by:

Revd Richard Suffern Chairman of Trustees

Date

12

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Principal accounting policies

Basis of preparation

The financial statements have been prepared in accordance with the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (updated 1 January 2019) – (Charities SORP (FRS102)) and the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102).

The Charity meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

Going Concern

The financial statements have been prepared on a going concern basis which assumes that the charity will continue to operate. The validity of this assumption is dependent upon the continuance of support from its donors. The charity’s budget for 2022 shows that the charity will be able to operate in the foreseeable future. Based on this understanding the trustees believe that it remains appropriate to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments, which would result from the basis of preparation being inappropriate.

Funds

General accumulated funds are unrestricted funds available for general purposes and include funds designated for a particular purpose; the use of such funds remains at the discretion of the trustees.

Restricted funds are funds subject to conditions imposed by the donor or by specific terms of the appeal under which the funds are raised. The restrictive conditions are binding upon the Charity.

Income and expenditure

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably. Income relating to future periods is deferred until activity takes place.

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Staff costs are allocated to expenditure categories in accordance with the amount of time spent by staff across the different activities in which the Charity operates.

13

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Principal accounting policies (continued)

Irrecoverable VAT is allocated to the expense heading to which it relates in accordance with standard accounting practice

Donated services and facilities

Donated professional services and donated facilities are recognised as income when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the charity of the item is probable and the economic benefit can be measured reliably. In accordance with the Charities SORP FRS 102, general volunteer time is not recognised.

On receipt, donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay for the for the facilities provided; a corresponding amount is then recognised in expenditure in the period of receipt.

Investment income

Bank interest and dividends are shown on the basis of amounts receivable in the year.

Tangible fixed assets

Depreciation is provided at a rate calculated to write off the cost on a straight-line basis over the estimated useful life of the asset at the following rates:

Office & Computer equipment

Fixed assets are capitalised when their cost exceeds £500.

Investments

Investments are initially recognised at cost and subsequently measured at their market value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

Debtors

Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid net of any trade discounts due.

Creditors

Creditors are recognised when the charity has a present obligation resulting from a past event that will probably result in a transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably.

Taxation

As a registered charity, no provision is considered necessary for taxation.

14

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Principal accounting policies (continued)

Pensions

The Charity makes contributions to a Pension Scheme at rates determined by the rules of the scheme. Contributions are charged to employee costs in the year in which they are payable.

The Charity also participates in the Baptist Pension Scheme and has been notified of the estimated employer debt on withdrawal from the scheme based on the financial position of the scheme as at 31 December 2016. See note 12 for further information.

15

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements

1. Income from donations and legacies

Gifts and donations
Gift Aid receivable
Legacies receivable
Grants
Donated facilities/services
Gifts and donations
Gift Aid receivable
Legacies receivable
Grants
Donated facilities/services		 2021
Un-
restricted
Restricted
Total
£
£
£
73,705
23,534
97,239
11,945
-
11,945
6,366
-
6,366
-
37,550
37,550
3,400
-
3,400
95,416
61,084
156,500
2020
Un-
restricted
Restricted
Total
£
£
£
65,456
33,671
99,127
11,150
-
11,150
1,533
3,572
5,105
-
26,600
26,600
3,462
-
3,462
81,601
63,843
145,444

Donated facilities comprise the use of office space provided free of charge.

2. Income from trading activities

Fundraising events
Fees receivable		 2021
2020
£
£
6,107
1,361
989
1,030
7,096
2,391

16

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

3. Analysis of expenditure

Analysis of expenditure
Investment managers fees
Salaries
Printing & publicity
African project costs - restricted
African visit & travel costs
News & Prayer publications
UK office costs (including in-kind £3,345)
Postage & stationary
UK travel & hospitality
UK Training
Website costs
Independent Examiners' fee
Trustees meetings and expenses
Interest cost on pension liability
Total
Investment managers fees
Salaries (including £8,241 restricted)
Printing & publicity
African project costs - restricted
Africa conference & training
African visit & travel costs
News & Prayer publications
UK office costs (including in-kind £3,345)
Postage & stationary
UK travel & hospitality
UK Training
Website costs
Independent Examiners' fee
Trustees meetings and expenses
Interest cost on pension liability
Total		 2021
Raising
funds
Charitable
activities
Other
Expenditure
Total
£
£
£
£
237
-
-
237
18,455
63,844
-
82,299
2,708
-
-
2,708
-
70,851
-
70,851
-
7,075
-
7,075
-
3,879
-
3,879
-
6,669
-
6,669
-
1,516
-
1,516
-
1,412
-
1,412
-
20
-
20
-
187
-
187
-
1,000
-
1,000
-
-
-
-
-
-
560
560
21,400
156,453
560
178,413
2020
Raising
funds
Charitable
activities
Other
Expenditure
Total
£
£
£
£
233
-
-
233
18,039
59,669
-
77,708
1,354
-
-
1,354
-
46,453
-
46,453
-
517
-
517
-
2,262
-
2,262
-
4,875
-
4,875
-
5,543
-
5,543
-
777
-
777
-
1,160
-
1,160
-
1,950
-
1,950
-
754
-
754
-
900
-
900
-
-
-
-
-
-
772
772
19,626
124,860
772
145,258

17

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

4. Analysis of staff costs, trustee remuneration and expenses

Salaries
National Insurance
Pensions (Baptist Pension Scheme – see note 12)
Pensions (Other schemes)
Total
Average number of employees (full-time equivalent)		 2021
2021
£
£
74,062
70,251
3,278
2,745
4,335
4,250
624
462
82,299
77,708
No.
No.
2
2

No employee had employee benefits in excess of £60,000 (2020: £nil).

Key management personnel comprise the Chief Executive Officer and the Trustees. Employee benefits for key management personnel total £47,681 (2020: £45,677) including pension contributions.

The charity Trustees were not paid nor received any other benefits from employment or provision of professional services in the year (2020 £nil). No Travel expenses or other costs were reimbursed to Trustees (2020 £471.80 to two Trustees).

5. Tangible fixed assets

Cost
At beginning and end of year
Depreciation
At beginning and end of year
Net Book Value
At 31 December 2021 and 2020		 Office
Equipment
£
3,501
3,501
-

18

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

6. Investments

6. Investments
At beginning of the year
Additions
Disposals
Revaluations
At end of year
Historical cost
Investments comprised:
Listed investment funds
Cash awaiting investment
7. Debtors
Prepayments
Gift aid receivable
Legacies receivable
Other income receivable
8. Creditors: amounts falling due within one year
Accruals
Other creditors including taxation and social security
Deferred income
Liability for pension fund deficit contributions (see note 12)		 2021
2020
£
£
55,271
52,526
11
-
(139)
-
2,266
2,745
57,409
55,271
48,000
48,000
57,409
55,271
6
103
57,415
55,374
2021
2020
£
£
333
1,493
560
40
-
17,020
654
-
1,547
18,553
2021
2020
£
£
2,915
1,950
1,894
1,767
-
7,600
5,144
5,070
9,953
16,387

Deferred income relates to grants received for the benefit of the next financial year.

19

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

9. Creditors: amounts falling due in more than one year

Liability for pension fund deficit contributions (see note 12) 2021
2020
£
£
32,120
37,443

10. Funds

0. Funds
Restricted funds
-
Local Language Bibles
-
eVitabu
-
Bicycles
-
Pastoral Care
-
Training
-
St Paul’s TC (Kapsabet)
-
Training Ministry
-
Children’s Workers
Training
-
Growing Greener
-
Jubilee Trees
-
Other Solar projects
-
Wisdom Bible School
-
Atirir Bible School
-
Covid Relief
-
Mozambique
Partnerships
Unrestricted funds
-
General fund
-
Designated pension
reserve
Total		 Balance at
beginning
of year
Income
2021
Expenditure
Transfers
Gains/
(losses)
Balance
at end
of year
£
£
£
£
£
£
11,821
8,150
(8,676)
-
-
11,295
14,991
18,060
(25,688)
-
-
7,363
4,671
1,038
(4,385)
-
-
1,324
3,904
6,271
(9,175)
-
-
1,000
-
1,500
(1,500)
-
-
-
566
2,400
(2,966)
-
-
-
-
4,800
(511)
-
-
4,289
2,651
-
-
-
-
2,651
-
5,450
(5,450)
-
-
-
1,299
474
(1,246)
-
-
527
2,392
-
-
-
-
2,392
-
5,000
(2,500)
-
-
2,500
827
3,898
(2,900)
-
-
1,825
1,571
4,043
(5,614)
-
-
-
240
-
(240)
-
-
-
44,933
61,084
(70,851)
-
-
35,166
45,764 102,524
(107,002)
(5,070)
2,266
38,482
(42,513)
-
(560)
5,070
739
(37,264)
48,184
163,608
(178,413)
-
3,055
36,384

Transfers to restricted funds relate to spending on projects from general funds where project funding was insufficient. Transfers from the pension reserve relate to payments made during the year towards the deficit on the Baptist Pension Fund.

20

African Pastors’ Fellowship Financial Statements

for the year ended 31 December 2021

Notes to the financial statements (continued)

Restricted funds
- Local Language Bibles
- eVitabu
- Bicycles
- Pastoral Care
- Training
- St Paul’s TC (Kapsabet)
- Children’s Workers Training
- Growing Greener
- Jubilee Trees
- Other Solar projects
- Daily Bread (Solar oven)
- Atirir Bible School
- Covid Relief
- Mozambique Partnerships
Unrestricted funds
-General fund
-Designated pension reserve
Total		 Balance at
beginning of
year
Income
2020
Expenditure
Transfers
Gains/
(losses)
Balance
at end
of year
£
£
£
£
£
£
6,278
6,500
(957)
-
-
11,821
2,754
22,723
(10,486)
-
-
14,991
3,872
901
(102)
-
-
4,671
-
5,030
(6,026)
4,900
-
3,904
-
950
(9,701)
8,751
-
-
-
3,000
(2,434)
-
-
566
-
3,572
(921)
-
-
2,651
625
6,000
(7,260)
635
-
-
2,563
1,907
(3,171)
-
-
1,299
1,921
-
(813)
1,284
-
2,392
8,145
-
-
(8,145)
-
-
-
928
(101)
-
-
827
-
12,332
(12,721)
1,960
-
1,571
240
-
-
-
-
240
26,398
63,843
(54,693)
9,385
-
44,933
61,938
83,995
(89,793)
(13,121)
2,745
45,764
(47,317)
-
(772)
3,736
1,840
(42,513)
41,019
147,838
(145,258)
-
4,585
48,184

Transfers to restricted funds relate to spending on projects from general funds where project funding was insufficient.

21

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

Funds are for the following purposes:

Local Language Bibles – Across rural Africa, church leaders have very limited access to Bibles, especially in their own languages. The Local Language Bible fund is used to purchase and distribute Bibles to church leaders serving in remote areas through APF partners. During 2021 beneficiaries included the Northern Ugandan Inter-Church Alliance, Église Évangélique de la Bonne Volonté au Rwanda and Transformational Compassion Network, Kenya. Funding was received from OM Special Projects.

eVitabu – eVitabu is an Android app placing an entire library of text, audio, and video resources into the hands of African church and community leaders. The app contains resources from academic institutions, development agencies, publishers, and prominent Christian leaders in a range of languages. Funding is allocated for research, development, production, and delivery of eVitabu. During 2021 funding for eVitabu came from sponsorships, church and individual donations and grants from the Deo Gloria Trust, Friends of Burundi, Tufton Charitable Trust, Andrew Kane Partnership Trust, Radstock Trust, Seedfield Trust and others.

Bicycles – Bicycles are an invaluable tool in rural Africa enabling church leaders to visit the communities they serve more easily, transport crops to and from market and generate additional household income. In 2021, most funding for this purpose came from an in-memorial gift. During 2021, beneficiaries of bicycle grants included Support for Change Initiative Ministries in Malawi, the Baptist Union of Burundi, the Diocese of Kibondo in Tanzania and the Deliverance Church Network in Uganda.

Pastoral Care – The Pastoral Care Fund enables APF to respond quickly when church leaders and their families experience serious and unforeseen difficulties, require travel grants or educational fees. During 2021, Pastoral Care grants were used to cover emergency costs for individuals and partner organisations in Uganda, Kenya and Rwanda.

Training – Training funds support theological education and pastoral formation training workshops in marginalised communities. During 2021, this fund supported training workshop programmes run by partners in hard-to-reach areas of western Kenya, Liberia, Tanzania and Rwanda in areas where most rural pastors have no formal training. A grant from the River Trust supported this purpose.

St Paul’s TC (Kapsabet) – APF receives funds from St Barbara’s Church in Coventry and manages their transfer and delivery to St Paul’s Theological College in Kapsabet, Kenya. The support is allocated for infrastructure improvements at St John’s Theological College and to make good theological education more accessible across the region.

Training Ministry – Training Ministries supports Cephas Leadership Foundation who provide pastoral mentoring, training and support to church leaders in Uganda. During 2021, funding was received from the Childs Charitable Trust, the Alexis Trust and the Thompson Trust.

22

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

Children’s Workers Training – The Children’s Worker Training fund is used to support children’s and youth leader training in Rwanda. This is achieved through APF partners including the Word of Life Church network in western Rwanda and Église Évangélique de la Bonne Volonté au Rwanda in the north of the country.

Growing Greener – The Growing Greener fund is used to run sustainable agriculture training to help rural communities reduce poverty and adapt to climate change impacts. The training is delivered by church leaders from New Life Christian Church in Malawi and Word of God Ministries in Zambia. During 2021, funding for Growing Greener came from Open Gate Trust and Operation Agri.

Jubilee Trees – In partnership with Cephas Leadership Foundation (previously the Baptist Union of Uganda) and Climate Stewards, the Jubilee Trees project is planting indigenous trees around churches in Uganda to provide shade, timber and fruit, in addition to improving local ecosystems and biodiversity. The trees combat climate change by capturing carbon in the atmosphere. Climate Stewards match fund 50% of the project’s budget.

Other Solar projects – APF works with Morogoro Diocese, Tanzania and Kigeme Diocese, Rwanda to provide church leaders with household solar power for lighting and income from mobile phone charging services. A small percentage of the profits from mobile phone charging services is used by pastors in the project to pay back into the schemes so more solar units can be bought and others can benefit.

Wisdom Bible School – Wisdom Bible School provides training for rural pastors in Gakenke and Rulindo Districts of northern Rwanda. Recent Rwandan government regulations require pastors to have a basic accredited theological qualification and the Wisdom Bible School is supporting the formal training of rural pastors who cannot continue to lead their churches without it. During 2021, funding came from Goodnews Evangelical Mission.

Atirir Bible School – Funding supports theology students attending Atirir Bible School in rural north-eastern Uganda. During 2021, funding for Atirir Bible School included grants from Canterbury Baptist Church and the Ulting Trust.

Covid Relief – The Covid-19 relief campaign continued to attract donor support for a variety of coronavirus and lockdown related support measures during 2021. Grants were made to African partners and contacts who applied for Covid-19 funding of between £50 and £500. Beneficiaries included Mission Evangélique Chrétienne Agape in Mali, the Ganyana Community Project and Judith Heard Foundation in Uganda, Nakuru Relief and Development Consortium in Kenya and New Life Christian Church in Malawi amongst others.

Mozambique Partnerships – The Mozambique Partnerships fund is used to direct support to Mozambique. During 2021, funding was administered by Carlos Tique Jone from the First Baptist Church of Beira and was used to support vulnerable families following Tropical Storm Ana.

23

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

11. Analysis of net assets between funds

Fund balances at 31 December 2021 are represented by:
Fixed Assets
Investments
Current assets
Current liabilities
Long term liabilities
Total		 Unrestricted
Funds
Restricted
Funds
Total
Funds
£
£
£
-
-
-
43,291
14,124
57,415
-
21,042
21,042
(9,953)
-
(9,953)
(32,120)
-
(32,120)
1,218
35,166
36,384
Fund balances at 31 December 2020 are represented by:
Fixed Assets
Investments
Current assets
Current liabilities
Long term liabilities
Total		 Unrestricted
Funds
Restricted
Funds
Total
Funds
£
£
£
-
-
-
55,374
-
55,374
1,707
44,933
46,640
(16,387)
-
(16,387)
(37,443)
-
(37,443)
3,251
44,933
48,184

12. Pension commitments

Baptist Pension Scheme

The Charity is an employer participating in a pension scheme known as the Baptist Pension Scheme (“the Scheme”), which is administered by the Pension Trustee (Baptist Pension Trust Limited). The Scheme is a separate legal entity and the assets of the Scheme are held separately from those of the Employer and other participating employers.

For any month, each participating employer in the Scheme pays contributions as set out in the Schedule of Contributions in force at that time.

The Scheme is considered to be a multi-employer scheme as described in Section 28 of FRS 102. This is because it is not possible to attribute the Scheme’s assets and liabilities to specific employers and means that contributions are accounted for as if the Scheme were a defined

24

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

contribution scheme. The pensions costs charged to the SOFA in the year are contributions payable towards benefits and expenses accrued in that year, plus any impact of deficiency contributions (see below).

One member of staff is eligible to join the Scheme, which is not contracted out of the State Second Pension.

From January 2012, pension provision is being made through the Defined Contribution (DC) Plan within the Scheme. In general, members pay 8% of their Pensionable Income and employers pay 6% of members’ Pensionable Income into individual pension accounts, which are operated and managed on behalf of the Pension Trustee by Legal and General Life Assurance Society Limited. In addition, the employer pays a further 4% of Pensionable Income to cover Death in Service Benefits, administration costs, and an associated insurance policy which provides income protection for Scheme members in the event that they are unable to work due to long-term incapacity. This income protection policy has been insured by the Baptist Union of Great Britain with Unum Limited. Members of the Basic Section pay reduced contributions of 5% of Pensionable Income, and their employers also pay a total of 5%. The further 4% contribution rate is reduced to 3% for Employer contributions made to the Segregated DC Arrangement.

Benefits in respect of service prior to 1 January 2012 are provided through the Defined Benefit (DB) Plan within the Scheme. The main benefits for pre-2012 service were a defined benefit pension of one eightieth of Final Minimum Pensionable Income for each year of Pensionable Service, together with additional pension in respect of premiums paid on Pensionable Income in excess of Minimum Pensionable Income. The Scheme, previously known as the Baptist Ministers’ Pension Fund, started in 1925, but was closed to future accrual of defined benefits on 31 December 2011.

Actuarial valuation as at 31 December 2016

A formal valuation of the Defined Benefit (DB) Plan was performed at 31 December 2016 by a professionally qualified Actuary using the Projected Unit Method. The market value of the DB Plan assets at the valuation date was £219 million.

The valuation of the DB Plan revealed a deficit of assets compared with the value of liabilities of £93 million (equivalent to a past service funding level of 70%). The Charity and the other employers supporting the DB Plan are collectively responsible for funding this deficit.

25

African Pastors’ Fellowship Financial Statements

for the year ended 31 December 2021

The key assumptions underlying the valuation were as follows:

The keyassumptions underlyingthe valuation were as follows:
Type of assumption **%pa **
RPIprice inflation assumption 3.50
CPIprice inflation 2.75
Minimum Pensionable Income increases(CPIplus 1.0%pa) 3.50
Assumed investment returns
-
Pre-retirement		 3.50
-
Post retirement		 2.25
Deferredpension increases
-
Pre April 2009		 3.50
-
Post April 2009		 2.50
Pension increases
-
Main Schemepension Pre-April 2006		 2.70
-
Main Schemepension Post April 2006		 2.00

The next actuarial valuation of the DB Plan within the Scheme is due to take place not later than as at 31 December 2019.

As there are a large number of contributing employers participating in the Scheme, the Charity is unable to identify its share of the underlying as sets and liabilities of the schemes. Accordingly, due to the nature of the Scheme, the profit and loss charge for the period represents the employer contributions payable. The total pension cost for the Charity in relation to this scheme is £4,335 (2020 £4,250), excluding deficiency contributions.

Recovery plan

In addition to the contributions to the DC Plan set out above, where a valuation of the DB Plan reveals a deficit the Trustee and the Council agree to a rate of deficiency contributions from churches and other employers involved in the DB Plan.

Consequent upon the departure of the previous Director in 2010, the Charity had a cessation event under Section 75 of the Pensions Act 1995. This makes the Charity liable for the proportion of the overall deficit (assessed by reference to the cost of securing benefits by the purchase of annuities) applicable to its previous Director who was a member of the Scheme. At present the Charity is paying the ongoing deficiency contributions outlined above, and the balance sheet liability below is based on those deficiency contributions. However, the Pension Scheme Trustee has the right to quantify and seek payment of the debt at any time.

Under the current Recovery Plan dated 16 December 2018, deficiency contributions are payable until December 2028. These contributions are broadly based on employer’s membership at 31 December 2014 and increase annually in lie with increases to Minimum Pensionable Income as defined in the Rules.

26

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

Movement in balance sheet liability

Section 28.11A of FRS102 requires agreed deficit recovery payments to be recognised as a liability. The movements in the provision are set out below:

Balance sheet liability at start of year
Deficiency contributions paid
Interest cost
Other recognised gains *
Balance sheet liability at end of year		 2021
2020
£
£
42,513
47,317
(5,070)
(3,736)
560
772
(739)
(1,840)
37,264
42,513

This liability represents the present value of the deficit contributions agreed as at 31 December 2021 and has been valued using the following assumptions set by reference to the duration of the deficit recovery payments:

Discount rate
Future increases to minimum pensionable income		 2021
2020
1.9%
1.4%
3.3%
2.9%

13. Transactions with related parties

There were the following transactions with related parties during the year:

Donations and gifts, without conditions, from 6 Trustees - £6,025 (2020: £6,160)

14. Controlling Interests

The Charity is controlled by the Trustees.

27

African Pastors’ Fellowship Financial Statements for the year ended 31 December 2021

Notes to the financial statements (continued)

15. Prior Year Comparative Statement of Financial Activities for 2020

Restricted Unrestricted Total
funds funds funds
£ £ £
Income:
Donations and legacies 63,843 81,601 145,444
Other trading activities - 2,391 2,391
Investment income – bank interest - 3 3
────── ────── ──────
Total income 63,843 83,995 147,838
────── ────── ──────
Expenditure on:
Raising Funds - (19,626) (19,626)
Charitable Activities (54,693) (70,167) (124,860)
Other expenditure - (772) (772)
─────── ─────── ───────
Total expenditure (54,693) (90,565) (145,258)
─────── ────── ───────
Net gains on investments - 2,745 2,745
─────── ────── ───────
Net income/(expenditure) 9,150 (3,825) 5,325
Transfers between funds 9,385 (9,385) -
Other recognised gains/losses - 1,840 1,840
────── ───── ──────
Net movement in funds 18,535 (11,370) 7,165
────── ───── ──────
Reconciliation of funds
Total funds at beginning of year 26,398 14,621 41,019
─────── ─────── ───────
Total funds at end of year 44,933 3,251 48,184
══════ ═══════ ══════

28