2023-12-31-accounts

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TOGETHER AGAINST POVERTY

Church Urban Fund

0203 752 5655 hello@cuf.org.uk www.cuf.org.uk

Church Urban Fund is a registered charity in England and Wales (297483). A company limited by guarantee (02138994)

Annual report 2023

Registered address: The Foundry, 17 Oval Way, London SE11 5RR.

Printed on recycled paper August 2024

Our priorities in 2023 Building identity Building relationships Building connections Building resources Building blocks Headline news Trustees, offcers and advisors Report of the trustees Review of 2023 Financial Review Structure, governance and management Fundraising Plans for the future Trustees’ statements Independent Auditor’s report Financial statements Notes to the Financial statements	Our priorities in 2023 Building identity Building relationships Building connections Building resources Building blocks Headline news Trustees, offcers and advisors Report of the trustees Review of 2023 Financial Review Structure, governance and management Fundraising Plans for the future Trustees’ statements Independent Auditor’s report Financial statements Notes to the Financial statements	Our priorities in 2023 Building identity Building relationships Building connections Building resources Building blocks Headline news Trustees, offcers and advisors Report of the trustees Review of 2023 Financial Review Structure, governance and management Fundraising Plans for the future Trustees’ statements Independent Auditor’s report Financial statements Notes to the Financial statements	Our priorities in 2023 Building identity Building relationships Building connections Building resources Building blocks Headline news Trustees, offcers and advisors Report of the trustees Review of 2023 Financial Review Structure, governance and management Fundraising Plans for the future Trustees’ statements Independent Auditor’s report Financial statements Notes to the Financial statements	Our priorities in 2023 Building identity Building relationships Building connections Building resources Building blocks Headline news Trustees, offcers and advisors Report of the trustees Review of 2023 Financial Review Structure, governance and management Fundraising Plans for the future Trustees’ statements Independent Auditor’s report Financial statements Notes to the Financial statements			6 11 14 16 18 22 24 30 31 33 35 37 38 41 42 43 48 52






					advisors

FOREWORD

Dear friends and supporters of Church Urban Fund,

Thank you for reading this report about our work. I count it a privilege and blessing to chair the Board of Trustees of Church Urban Fund (CUF). The Board comprises a skilled and experienced group of people who quietly and materially contribute to the mission and work of CUF. I am regularly blown away by their thoughtful resourcefulness and wisdom in the face of challenges and opportunities.

Thanks also to the Trustees who left us in the past year including Robert Hallam, Bishop Anderson Jeremiah, Alec Spencer and the Revd Christina Rees CBE for their invaluable contributions to CUF over many years. A special thanks to the previous Chair, Andrew Barnett OBE, who led CUF through the very challenging COVID period, enabling CUF to come through stronger and more focused on its mission. I also want to thank our extraordinary Senior Leadership Team, now led by the visionary and energetic +Rob Wickham, who get things done in a collaborative and partnering manner.

Set up nearly 40 years ago in response to the publication of the then controversial Faith in the City report, Church Urban Fund continues to work with local communities in the battle against poverty. To continue to be impactful, we have revised and refocussed our objectives to encourage and support faith based social action in the most deprived areas in England. We do this through working in partnership with local churches, government agencies and other charities. We draw on the experience of those with lived experience and are guided by those who best understand local communities. Church Urban Fund works mainly through

equipping and enabling local people and churches, and by providing training and other resources to assist in our goal to end poverty together. To this end, CUF works with more than 21 faithbased partnerships tackling local issues such as food poverty and homelessness across England through the Together Network; has nurtured Near Neighbours, which provides training and resources for community-based groups; and incubated the Just Finance Foundation, which provides financial education to primary schools and supports parents and families. Our impact reports provide further insights into our work, emphasizing not only what we do but also how we do it and the importance of collaboration.

We are looking ahead with clarity of vision and a focus on three key objectives that together will have a significant impact in the communities with whom we engage. To that end, we continue to seek the collaboration of the Church of England and other faith groups, the government of Britain, and many other charities and organisations who are also focussed on alleviating and ending poverty.

We continue to have hope for a better world. Our hope is our unwavering belief that together, positive change for the benefit of human flourishing and well-being is possible. This is what drives us – to end poverty together.

Many people support the work of CUF in different ways and I extend my heartfelt thanks to them for all for their work, encouragement, financial support and prayers. Your work is often not visible, but we are immensely thankful for all that you do. Reader, if you are willing and able, please support our work through partnership, skills sharing, prayer or through making a financial gift to support our work.

Katherine McPherson, Chair

EXECUTIVE SUMMARY

Dear friends,

In 2023 we continued to support churches and communities emerging from COVID and the costof-living crisis. We are very grateful to The Rev’d Adam Edwards, who was interim CEO following Rachel Whittington’s departure at the end of 2022 (Adam remains as Deputy CEO).

On my arrival as CEO in July, there was an intensive period of listening to staff, diocesan teams, stakeholders, bishops and church and project leaders, and those who use the projects. Already by the end of 2023 it became clear that there was a growing need for a confident and simplified Church Urban Fund to work with and learn from churches and community groups who are responding to growing inequality and poverty in their contexts.

As a result of this, two significant pieces of work have been put in place. The first of this is a Governance Review that will look at the structure of the CUF Group, and provide recommendations for how we can improve and simplify our governance to ensure that we are fully compliant with charity law and best practice, but that our structures allow us to get on with the vital work of supporting churches and communities to respond to the issues of poverty in their local areas.

The second piece of work is a reshaped vision, mission statement, values and strategy that will underpin and guide the work of CUF for the next three years.

2023 saw significant changes in our Trustee body. Andrew Barnett stood down as Chair in October, and has been replaced by Katherine McPherson, Chief Strategy Officer at Fieldfisher. During 2023, three other CUF Trustees stepped down, and five new Trustees joined our Board.

This has created an exciting Board to help take CUF on the next stage of its journey.

At Just Finance Foundation, Sir Douglas Flint stood down as Chair, and was replaced by Chris Cummings, Chief Executive of the Investment Association.

This report demonstrates the amazing work that has happened across the CUF Group in 2023, and I would like to thank all of our staff, Trustees, partners and groups with which we work for doing such important work to tackle poverty in all of its forms.

This is a strong base from which CUF will continue to serve in 2024 and beyond.

The Right Reverend Rob Wickham, Group Chief Executive

4 CHURCH URBAN FUND ANNUAL REPORT I 2023

Tackling all aspects of poverty

Our priorities in 2023

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14.4 million people live in
poverty in the UK
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Our vision is a future where everyone in England can access a community of support when they need it most.

In 2023 we remained committed to tackling complex challenges like poverty and exclusion across England by mobilising people, churches, and whole communities to make a positive difference.

The government’s most recent figures state that 14.4 million people live in poverty in the UK, including 4.3 million children. That is over 1 in 5 people[1] . In England, the number of homeless people has increased by a deeply concerning 14%, reaching 309,000, including almost 140,000 children[2] .

With the complex and ever-evolving aspects of poverty and ongoing impact of the cost-of-living crisis, it was a critical time to address all aspects of poverty holistically and create lasting change for the people and communities who need it most.

Inspired by that factor that unites many people of faith, that of seeking the common good and the best possible lives for all people, our focus remained on transforming lives and building stronger communities by reducing loneliness, boosting confidence, and fostering meaningful connections.

14.4 million people live in poverty in the UK, including 4.3 million children

House of Commons Library Briefing Paper, ‘Poverty in the UK: Statistics’, Brigid Francis-Devine 8 April 2024
Shelter, December 2023 https://england.shelter.org.uk/media/press_release/ at_least_309000_people_homeless_in_england_today

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9
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6 CHURCH URBAN FUND ANNUAL REPORT I 2023

Key objectives in 2023:

1. Equip people of all ages, backgrounds and beliefs to make a bigger difference in their local community.

n Expand the Growing Good Toolkit by providing additional resources that help churches connect social action with discipleship and growth.
n Work with local partners across England to provide personal care to those facing homelessness.
n Develop and support teachers to empower children with the financial education they need to thrive as adults.
n Listen to churches and communities to understand their developing needs and provide relevant tools to support them.

2. Amplify community voices and the distinctive value of faith-based social action.

n Amplify the voices of local communities, highlighting their struggles, and celebrate the crucial role churches play in supporting them.
n Showcase the unique value of faith-based social action and advocate for systemic change to influence policy and decisionmakers.

3. Build and mobilise a national movement of faith-based partners serving their community.

n Continue to support the Together Network, building a movement of faith-based social action that serves local communities.
n Support the Places of Welcome network by offering practical advice and resources to empower them to make a bigger difference in their local community.

How we understand and tackle poverty

At CUF we address the complex, interconnected factors of poverty through a holistic approach. Our programmes target:

n Poverty of identity: Enhancing self-worth and confidence.
n Poverty of relationships: Building strong, supportive networks.
n Poverty of resources: Ensuring access to essential resources like food, shelter, education, and healthcare.

We help individuals escape or avoid this web of poverty by identifying and filling gaps through our local partners. Our faith-based approach addresses all dimensions of poverty, fostering a sense of belonging, trust, and hope within the community, and creating a supportive environment where everyone can thrive.

“We believe loving and knowing your community is a vital first step in best understanding how to reach out and make a difference. It’s first and foremost living in a loving community that makes a place and people feel connected and valued.”

Bishop Rob Wickham, CUF Group CEO

8 CHURCH URBAN FUND ANNUAL REPORT I 2023

Building identity

Key objectives

n Showcase the unique value of faith-based social action.
n Expand the Growing Good Toolkit by providing additional resources that help churches connect social action with discipleship and growth.
n Continue to support the Together Network, building a movement of faith-based social action that serves local communities.
n Work with local partners across England to provide personal care to those facing homelessness.

A strong sense of identity, and confidence, is crucial to individual well-being and social contribution. When people lack self-worth, they struggle to overcome challenges, which can lead to exclusion and poor mental health.

In 2023, we focused on empowering individuals through initiatives like Wayfinder, Positive Pathways, Catalyst, and the Growing Good Toolkit. By nurturing a strong sense of self and community, we help people overcome isolation, building the resilience and purpose necessary for a fulfilling life.

OUR IMPACT

Positive Pathways instances of 2,728 support given (over 5 years)

Wayfinder 100% of participants increased their confidence

Growing Good 600+ churches used resources, 100% increase on 2022

68% of churches felt more confident about sharing their faith through social action

Catalyst 90 young people took part

(since launch Oct 2021)

10 CHURCH URBAN FUND ANNUAL REPORT I 2023

Positive Pathways

Positive Pathways is an outreach programme offering personalised support to people experiencing homelessness. The original project came to an end in 2023 after five years, with support being delivered to people experiencing homelessness 2,728 times and signposting being delivered 2,028 times across our partners.This tailored support helps individuals restore their self-worth and develop a clearer pathway to stability and independence, transforming their sense of identity and future prospects.

Positive Pathways is now in its next phase using the expertise of CUF and its partners to transition away from the immediate need support, to a focus on sustaining tenancies for those clients that are at that point in their journey.

Wayfinder

The Wayfinder programme supports people affected by homelessness by building strong connections with volunteer mentors. These mentors, often with personal experience of homelessness, provide relational support, boosting participants’ sense of identity, selfconfidence and emotional health. Many participants reported initial struggles due to trauma, grief, substance misuse, and poor physical health but found renewed confidence through the programme. In 2023 90% of participants named improved emotional wellbeing as the outcome they most wanted to work on.

Catalyst

Catalyst is a transformative leadership programme aimed at developing young leaders as positive role models in their communities. In 2023, Catalyst engaged a diverse group of 90 young people, helping participants build confidence, overcome self-doubt, recognise their potential and inspire change in their communities.

Growing Good

In 2023, the Growing Good Toolkit had significant positive impacts on participating churches by enhancing their understanding of their local communities, boosting their confidence in their local mission, and cultivating relationships. A series of local and national training events and webinars equipped churches with locally rooted knowledge and overarching and skills.

Churches reported increased awareness of community needs and strengths, with 79% and 80% respectively acknowledging this growth. Additionally, 68% of churches felt more confident about sharing their faith through social action, and many took steps to integrate social action and discipleship, leading to holistic growth in both spiritual and numerical aspects.

Tamim’s Story

BUILDING CONFIDENCE AND BREAKING STIGMAS

Tamim, from Luton, found new confidence and purpose through the Catalyst, a transformative young leaders programme aimed at developing creative leaders to act as positive role models in their communities.

Meeting this diverse group with different backgrounds and faiths on Catalyst and having the opportunity to hear their experiences really lifted “ me up,” Tamim recalls. “Before, I wasn’t really the type of person to socialise with new people and feel comfortable, and I’ve often been quite shy. However, going on the course, my mind was blown really, I’ve gained a lot of confidence through this opportunity.”

Catalyst’s dynamic sessions enabled Tamim to connect with others. “It was great to get to know different people and connect, developing leadership skills and also hearing about their experiences, particularly with mental health. I’ve seen how more awareness around mental health has risen in places of faith and community spaces in Luton, as well as with families at home. I think in order to support people, there needs to be more of this awareness without stigma.”

Motivated by their experiences and the pandemic’s impact on their peers’ mental health, Tamim and his group built their alumni project around advocating for mental health awareness across different faiths and backgrounds. They took part in a Mental Health First Aid training programme funded by Near Neighbours.

The programme’s impact on Tamim was profound. “After Catalyst, I certainly feel more confident in sharing what I have learnt and in my leadership skills. I think people can see the way I have developed over this time.”

Catalyst has not only empowered Tamim but also inspired him to be a positive role model in his community. His journey highlights the importance of community support and the power of developing confidence and leadership skills to transform lives, cultivating a sense of belonging and hope for the future.

12 CHURCH URBAN FUND ANNUAL REPORT I 2023

Building relationships

Key objectives

n Amplify the voices of local communities, highlighting their struggles, and celebrate the crucial role churches play in supporting them.
n Support the Places of Welcome network by offering practical advice and resources to empower them to make a bigger difference in their local community.
n Continue to support the Together Network, building a movement of faith-based social action that serves local communities.

Strong and supportive relationships are the cornerstone of individual, family, and community life. When these connections are absent or strained, people often face loneliness and isolation, making it difficult to grow and thrive.

In 2023, we focused on transforming lives and strengthening communities through initiatives like Near Neighbours, Places of Welcome, and the Together Network. These programmes created opportunities for people to connect and support each other, helping individuals build the supportive relationships necessary for a thriving community, where they find belonging, resilience, and hope.

OUR IMPACT

Near Neighbours Places of Welcome Estimated 128 new partnerships 20,7000 facilitated between people are reached faith and community every week organisations

Together Network 552 + projects supported inc. 149 new initiatives

Together Network

The Together Network, with its 15 core Christian charities and 16 associate members, is committed to helping communities tackle local issues such as food poverty and homelessness. In 2023, the network supported over 600 churches and 500 projects, including initiatives like Warm Hubs and Feast of Fun, which addressed food insecurity and provided safe spaces during the winter. These efforts significantly improved community cohesion, offering support and friendship to those in need.

Places of Welcome

With almost 700 venues across England in 2023, Places of Welcome are safe and inclusive spaces where people of all ages, genders, and ethnicities can connect, share their skills and find a sense of belonging. As well as free refreshments and good conversation, many offer additional activities such as dance classes, baby clubs, and support drop-ins, serving as a vital community hub for engagement and support. By bridging gaps in fragmented communities and reducing loneliness, Places of Welcome create an inclusive environment where relationships can thrive, helping individuals and families build a stronger, more connected community.

Near Neighbours

Near Neighbours has been instrumental in building cohesive communities by breaking down barriers of mistrust and prejudice. This programme works in diverse areas across England, building resilient relationships through social integration. In 2023, Near Neighbours facilitated numerous projects that connected people from different backgrounds, promoting understanding and collaboration. The programme equipped grassroots leaders with the skills and confidence needed to address local issues effectively, enhancing community cohesion and reducing isolation.

14 CHURCH URBAN FUND ANNUAL REPORT I 2023

Building connections through cooking

In 2023, St. George in the East Food Hub launched Community Cooking Classes in Tower Hamlets to foster cultural understanding and bridge new connections in the community.

These classes offered a diverse group of local women a space to learn new cooking skills, form friendships, enhance their well-being and learn to cook affordable, healthy food.

Across the four workshops, 36 women participated,” says Katie, one of the coordinators. “We wanted to do something to tackle food insecurity in a “ sustainable way.” Participants were diverse, including young mothers, older women with grandchildren. “I’ve attended all three workshops and they’ve been great,” shares Isra. “I already enjoyed cooking but have liked learning something new and meeting others.” Lisa, a participant, found the workshops beneficial beyond cooking. “It helps me with my mental health and gets me out of the house. It would be really nice to do this more often.” The programme addresses significant local issues. Tower Hamlets has the highest level of child poverty in the UK, with over 50% of children living below the poverty line. By teaching budgeting and cooking skills, the workshops provided a sustainable approach to reducing food insecurity. “Lots of the local parents told us they don’t know how to cook Western food but that’s what their kids want to eat,” explains Katie. “People also told us they struggle with budgeting.”

The cooking classes also fostered social cohesion. “I didn’t cook before at home,” says Charlotte. “It’s been good to learn new skills, meet new people, and get out of the house.” Janice, a school support worker, facilitated the sessions, creating a welcoming atmosphere. “She makes everyone feel comfortable,” noted one participant.

St. George in the East Food Hub successfully created a supportive environment where women from different backgrounds connected, shared experiences, and built lasting friendships, demonstrating the power of community initiatives in addressing both immediate and long-term needs.

16 CHURCH URBAN FUND ANNUAL REPORT I 2023

Building resources

Key objectives

n Develop and support teachers to empower children with the financial education they need to thrive as adults.
n Work with local partners across England to provide personal care to those facing homelessness.

Access to essential resources is fundamental to achieving a good standard of living and participating fully in society. Without adequate food, shelter, education, money, qualifications, or health, individuals struggle to thrive, facing barriers to opportunities and choices.

In 2023, individuals, families and communities were forced to make difficult decisions as the impact of the cost-of-living crisis continued to be felt across the UK. This year we focused on ensuring access to essential needs and building children’s confidence to talk about and relate to money through the Refugee Support Small Grants Programme and the Just Finance Foundation. These programmes create opportunities for people to access the resources they need, helping individuals build a stable foundation for a thriving life, where they find security, growth, and opportunity.

“I set out to help people financially, socially, to help them not feel so alone.”

Souzan Yousif, Bridgeway Mission

18 CHURCH URBAN FUND ANNUAL REPORT I 2023

Refugee Support Small Grants Programme

In 2023, the Refugee Support Small Grants Programme, funded by Benefact Trust, provided crucial assistance to refugees arriving in England from Ukraine and Afghanistan. The programme allocated small grants ranging from £500 to £5,000 to churches and Christian organisations addressing a variety of needs including personal items, volunteer expenses, language support, and integration activities. These grants supported 16 projects focusing on Ukrainian refugees, 10 projects focusing on Afghan refugees and 11 projects serving both Afghan and Ukrainian refugees. The grants enabled these organisations, many of which had not previously received funding, to expand their support and services.

OUR IMPACT

Grants Supporting refugees in England 4,562 refugees benefited

Just Finance Foundation (JFF)

Against a backdrop of economic insecurity, young children are beginning to develop habits and values around money. The skills and values we use to manage money are developed as early as ages 3 to 7, but fewer than 40%[3] of young people say they recall having learned about money in school, and financial education is often not taught meaningfully until secondary school. We are focused on closing this education gap by supporting teachers with quality resources, training and ongoing support from education experts.

Aaisha’s[4] story

REBUILDING LIVES THROUGH COMMUNITY SUPPORT

Aaisha, an Afghan refugee, found support in Colchester, Essex, after fleeing her homeland. With help from Bridgeway Mission through a Church Urban Fund Refugee Support Small Grant, Aaisha and her family received vital assistance to rebuild their lives.

In 2023 the LifeSavers programme engaged 49,502 new students and served 184 new schools. Our partnerships allowed us to innovate and broaden our impact, while our new Moneybox Productions kit and Money Help Hub provided essential resources for schools and communities. We also conducted research to better support “ financial education in Alternative Provision settings, ensuring that our efforts are inclusive and far-reaching.

I arrived in August 2021 and the team came and helped me with food “ deliveries, and also supported my children and husband. It has been very good for me and very helpful. I am very happy.” Bridgeway Mission assisted Aaisha and her family financially and socially, providing “food, clothing, computer access, and friendship”. They supported her children and husband, helping them settle into their new community. Aaisha felt the support was personal and warm, saying, “It feels like a family.”

“I asked the coordinator if there could be some sports available for women. She organised for a sports coach to come and do some sessions for us and it was really good. It’s really good for your health.”

The project has supported 80 Afghan refugee women, offering activities like pamper sessions and social gatherings that reduce loneliness and isolation. These initiatives have helped Aaisha feel more settled in Colchester, strengthened her sense of community, and provided opportunities for social interaction and integration. Aaisha is eager to continue her involvement with Bridgeway Mission. She expressed a desire to stay in Colchester, stating, “I would like to keep coming to this project as I really like it. I would like to stay in Colchester; I like it here.”

Just Finance Foundation 49,502 new students engaged with 1,931 teachers trained

Aaisha’s story highlights the power of community support and resilience in overcoming displacement challenges. With Bridgeway Mission’s help, Aaisha and her family have found a sense of belonging and hope for the future, inspiring others to face adversity with courage and determination.

https://maps.org.uk/2022/11/11/talking-money-with-children-and-young-people-during-talk-money-week-and-beyond/
Name changed to maintain confidentiality

CHURCH URBAN FUND ANNUAL REPORT I 2023

Building blocks

Key objectives

n Growth in unrestricted funding to ensure CUF is financially sustainable, able to support our core objectives and reach more people.

As Christians we are called to extend care and compassion to one another and to actively pursue justice in the face of suffering, injustice and poverty. Here at CUF, we recognise that this is only something we can do together, inspired and sustained by God’s presence and love.

We are hugely grateful to the individuals, churches, trusts and corporate partners who support us in our vison of a future where everyone in England can access a community of support when they need it most.

14 new legacies worth £510,096

87 churches donated £34,522

1,112 regular donors made gifts of £242,758 (including Gift Aid)

£114,220 (including Gift Aid) from campaigns including Advent, Harvest, Lent, and in memory

Alastair’s story

WALK TOWARDS HOPE

I was looking for a way to play a part in helping “ people and the Walk Towards Hope felt like an answer. I was saying my evening prayers, thinking about how I could help people, came down and opened my phone and an ad was right there. I felt that I’d sort of been directed to get involved.

I hadn’t heard of CUF before but looked on the website and liked this idea of helping communities to meet the needs of local people. The support for people facing homelessness and refugees really inspired me. I liked the theme of walking the 90 miles like Mary and Joseph’s walk to Bethlehem.

I worked out that I’d need to cover eight miles using my days off each week to reach the target on Christmas eve. I find walking is a good opportunity for reflection and thinking about things. It was a challenge to reach the 90 miles, but knowing I was raising money to help people spurred me on when my legs were tired, and wanting to honour the donations of people who supported me was part of that too.

I asked my friends and family to donate and they were really generous. I work as a fishmonger at Burnham Market, so I printed out a poster for the shop. I’d speak to people about what I was doing and they were really enthusiastic. I was nervous asking at first but I always had a positive response and people had questions for me and wanted to support a good cause.

Things are pretty tough for people at the moment and it’s been fairly tough for our family also. I think that experience makes you want to help other people who are less fortunate than yourselves. The strength of church communities gives me hope. Prayer is also a really strong thing and that gives me hope. I haven’t done any sort of fundraising before so the Walk Towards Hope was a new experience for me, I really enjoyed it and will definitely do something like this again.”

22 CHURCH URBAN FUND ANNUAL REPORT I 2023

Headline News

OUR FACTS AND FIGURES IN 2023

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Building identity
Positive Pathways
Wayfinder (Across 5 years to 2023)
100% 2,728
participants reported instances of support
increased confidence given
100% 2,028 [instances of ]
believed that their signposting
volunteer offered Evaluation of Church Urban Fund ‘Positive Pathways’:
A relational approach to homelessness, University of York
practical help to achieve
their goals
Catalyst
(including Gift Aid) 90
young people took part
40%
5 cohorts
of participants
reported an improvement
5 locations
to their accommodation
situation
90% FAITH
of volunteers
confident building
relationship with people from
different backgrounds
Wayfinder Year one evaluation report, Eido Research
11.1% 17.8% 4.4% 43.3% 14.4% 4.4% 4.4%
CHURCH URBAN FUND ANNUAL REPORT I 2023I 2023 2023
NOT TO SAY 1 BUDDHIST, 3 CATHOLIC
NO RELIGION CHRISTIAN HINDU MUSLIM SIKH PREFER OTHER
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Just Finance Foundation
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184 new LifeSavers Schools and 49,502 new students engaged with Trained teachers 1,931 to deliver financial education REACH 26.7% of students born outside of the UK 80% of students agreed or strongly agreed that ‘Participating in Catalyst prepared me to take a more active leadership role within my community’

260 Active LifeSavers Schools engaging 71,293 pupils 4 new organisations partnered with (Jigsaw, Bookmark, GamCare and Picture News) 47[educators & ][75] primary-age children across 20 AP Primary School settings 85.6% of students agreed or strongly agreed that ‘Participating in Catalyst gave me a more positive view of diversity’

95.3%

of respondents rated their Catalyst experience as good or very good

CHURCH URBAN FUND ANNUAL REPORT I 2023I 2023 2023

Headline News

OUR FACTS AND FIGURES IN 2023

Building resources

Windrush Day Grant Scheme

Grants: Refugee Support Small Grants Programme

£738,998 to support 44 community led projects across England

Places of Welcome* Building relationships

Near Neighbours*

37 projects awarded £129,500 4,562 people reached

----- Start of picture text -----
681
registered venues
3 161
[grants awarded to the ] new PofW opened
value of people
£5,000 Estimated reached
20,700
(Low due to the funding gap from April 2023)
(Funded projects: BEY Home Ed Community Fun Day, Estimate of
3,966
Growing Resilience, CATS Out and About)
volunteers mobilised
68%
of venues reporting
128 at least one new participant
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Growing Good

(Since launch October 2021)

----- Start of picture text -----
URC CHURCH: 1
ORTHODOX CHURCH: 1
METHODIST CHURCH: 1 1,602 people signed
ANGLICAN
REGISTERED CHRISTIAN CHARITIES: 2 CHURCHES up to access the toolkit
15
BAPTIST CHURCHES: 3
CATHOLIC CHURCHES: 3
PENTECOSTAL CHURCHES: 4 FREE
CHURCHES 619 people attended people attended
7
----- End of picture text -----

68% of venues reporting at least one new participant that week

619 people attended people attended workshops Over 600 churches have now used the resources 84% used at least 5 sessions*

new partnerships facilitated between local organisations 144 (including Gift Aid)[ grassroots ] leaders equipped with practical skills and confidence to make a bigger difference in their neighbourhoods (projects supported or mentored)

11 Both Afghan and Ukrainian refugees 16 Ukrainian refugees 10 Afghan refugees

93% of venues report that participant helped somehow

*Estimates drawn from Snapshot Survey (Nov 2023, 85 venue responses)

*100 survey respondents in 2023

878+ organisations have been part of the networks of Together Network members across 2023

Together Network

Fundraising

15 Core members

14 new legacies worth £510,096 87 churches donated £34,522

16 Associate members

634+ individual churches supported 552+ individual projects supported, of these 149 were new initiatives

TOP THREE THEMES OF WORK ACROSS 2023: l Supporting individual churches l Coordinating networks l Food insecurity

400 volunteers mobilized and 5,950 volunteer hours to strengthen communities

1,112 regular donors made gifts of £242,758 (including Gift Aid) £114,220 (including Gift Aid) including from campaigns Advent, Harvest, Lent, and In memory

71% agreed that being part of the Together Network had improved the effectiveness of their organisation

*Sum of NN9 Jan-March 23 and NN10 Sept-Dec 23 26 CHURCH URBAN FUND ANNUAL REPORT I 2023

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Trustees, officers and advisers

Patron

The Rev’d Adam Edwards, Acting Group CEO (from 01.01.2023 to 10.07.2023), Group Deputy CEO (from 11.07. 2023) The Rev’d Elizabeth Carnelley, Director of Partnerships Sarah Wallace BEM, Director of Programmes and Innovation Vinyo Aidam, Director of Finance and Governance

His Majesty, King Charles III

Co-presidents

The Most Reverend and the Right Honourable the Lord Archbishop of Canterbury, Justin Welby The Most Reverend and the Right Honourable the Lord Archbishop of York, Stephen Cottrell

Advisers

Trustees

Andrew Barnett OBE, Chair (to 10.10.2023, Trustee to 31.10.2023)

Bankers

Katherine McPherson, Chair (from 10.10.2023, Trustee from 18.07.2023)

National Westminster Bank Plc Victoria (B), PO Box 1357, 169 Victoria Street, London SW1E 5NA

Rev’d Catherine Allison

Jacqueline Broughton (from 01.11.2023) Sue Chalkley OBE

Christopher Cummings (from 08.03.2023) Chandru Dissanayeke (from 01.11.2023) Matthew Girt (from 01.11.2023)

Investment Managers

CCLA Investment Management Ltd One Angel Lane, London EC4R 3AB

Alison Grieve

Robert Hallam (to 03.03.2023) Rev’d Dr Anderson Jeremiah (to 26.02.2024) Rev’d Christina Rees CBE (to 12.12.2023) Alec Spencer (to 12.03.2023)

LGT Wealth Management UK LLP 14 Cornhill, London EC3V 3NR

Auditors

Finance and administration committee

Forvis Mazars LLP 6 Sutton Plaza, Sutton Court Road, Sutton, Surrey, SM1 4FS

Alison Grieve, Chair (Trustee) Sue Chalkley OBE (Trustee, from 28.06.2023) Pierre Claude (to 13.01.2023) Robert Hallam (Trustee, to 03.03.2023) Sarah King (from 28.11.2023) Christopher Reeve (from 28.11.2023) Nick Thomas

Solicitors

Anthony Collins Solicitors LLP 134 Edmund Street, Birmingham B3 2E

Farrer & Co LLP

Principal officers

66 Lincoln’s Inn Fields, London WC2A 3LH

The Rt Rev’d Rob Wickham, Group CEO (from 10.07.2023)

Report of the trustees for the year ended 31st December 2023

has been our practice for two years, and it will be reviewed again in 2024. The Chairs of NN, CUF and the Just Finance Foundation (JFF) also now meet on a regular basis with the Group CEO.

The Trustee Board presents their Annual Report and Financial Statements of the charity group for the year ended 31 December 2023. The Financial Statements have been prepared in accordance with the accounting policies set out in note 1 to the accounts and comply with the charity’s Memorandum and Articles of Association, the Companies Act 2006, 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.

The relationship between CUF and the Together Network has continued to develop and mature during 2023 to one of mutuality and creative support, partnership and collaboration, and has offered the opportunity to expand the Together Network beyond the original members.

The Rt Rev’d Rob Wickham was appointed as Group CEO in January 2023 and began his role in July 2023. The Rev’d Adam Edwards was the Acting CEO in the interim period. Bishop Rob began by undertaking a six-month listening exercise, which will report back to the Trustees in 2024. This will refine the strategy and operational plan for the next three years. The previous strategic plan was detailed for the period 2021-2024.

Overview

Church Urban Fund (CUF) is a charitable company limited by guarantee. It was established by the Church of England in June 1987 as a practical response to unmet need, and has been active in local communities for over 35 years.

Andrew Barnett stepped down as Chair of Trustees in the autumn of 2023 after five years. This contribution was celebrated in a service of thanksgiving at Lambeth Palace Chapel. We then welcomed and prayed for Katherine McPherson as the new Chair of Trustees.

Our national vision is a future where everyone in England can access a community of support when they need it most.

We will help achieve this through our mission to tackle complex challenges like poverty and exclusion across England by mobilising people, churches, and whole communities to make a positive difference.

During the year to 31 December 2023 we have continued to look at governance structures and processes. Following the Governance Review, led by Lucent Consulting in 2021 we have implemented many of the recommendations of this review. We keep governance under regular review, focusing in particular on the most effective way to manage the CUF family of charities to maximise their impact. We currently operate the CUF and Near Neighbours (NN) boards co-terminously. This

30 CHURCH URBAN FUND ANNUAL REPORT I 2023

Legal structure and basis of consolidation

n Near Neighbours (NN) was established on 15 June 2011 and has been funded principally by the Department for Levelling Up, Housing and Communities (DLUHC) (formerly Ministry of Housing, Communities and Local Government) and CUF, bringing together people who are near neighbours in communities that are religiously and ethnically diverse, so that they can get to know each other better, build relationships of trust, and collaborate on initiatives that improve the community they live in.
n The Just Finance Foundation (JFF) was established as a charity on 15 March 2017, and was registered as a charity in Scotland in January 2024. JFF promotes a fairer financial system and equips people to manage their money better. A key focus is on helping primaryaged children, through their schools, develop a positive relationship with money and embed habits, learning and behaviours that build financial resilience into adulthood. We also develop ‘train the trainer’ community finance programmes to help people budget, save and spend wisely. It is funded by a number of trusts, grants and corporates.
n The Together Network is a network of individual charities, large and small, set up in partnership with CUF and the Church of England dioceses. It promotes collaborative, local social action through network building, strengthening of relationships, sharing of best practice and the development and delivery of programmes to tackle social issues including food poverty, loneliness and homelessness. Since the disaggregation of the joint ventures in 2021/22, CUF remains the convening member of the Together Network.

Transactions between the groups

During the year, CUF undertook the following transactions with Near Neighbours (NN) and the Just Finance Foundation (JFF):

n CUF received the full amount of grant from DLUHC of £415k (2022: £500k) and passed this over to Near Neighbours to deliver the programme.
n Near Neighbours paid CUF a grant of £4k (2022: £110k) to administer the Small Grants Programme.
n Near Neighbours made a contribution of £187k (2022: £187k) to CUF for the administration of the overall programme.
n At the year end, the CUF/NN intercompany balance was £199k (2022: £123k) owed by CUF.
n During the year Just Finance Foundation made a contribution of £50k (2022: £50k) to CUF towards the shared central service costs provided by CUF.
n At the end of the year, the CUF/JFF intercompany balance was £6k owed to CUF (2022: £10k owed by CUF).

In the group accounts these transactions are eliminated on consolidation.

Review of 2023

As we review 2023 and look ahead to 2024, CUF has a strong basis from which to work.

Numbers using the Growing Good toolkit continue to rise, with a number of different dioceses hosting local workshops looking at bespoke application. Our recent evaluation shows that the Growing Good Toolkit is helping churches grow in three key ways: in knowledge about their local community; confidence in their local mission; and hospitality and relationships. Churches who have used Growing Good have found it an encouragement for the work they are already doing, and a challenge to try new ways of doing things as they grow stronger in faith and deeper in love for their communities.

We continued to develop the Places of Welcome network, registering 161 new venues (of a total 681) with an estimated reach of 20,700 participants and 3,966 volunteers mobilised. 68% of venues reported at least one new participant per week, and 93% of venues reported that a participant was helped in some way. Highlights from 2023 centre on support for those experiencing bereavement, opportunities to develop employment skills and Places of Welcome bringing different groups of people together from across the community. During his initial six-month listening exercise, Bishop Rob visited a number of Places of Welcome throughout the country, and heard some of the moving stories about the impact that attending has had on people’s lives and wellbeing.

We visited the Greenbelt Festival in the summer of 2023. With the campaign, ‘We know where you live, but you know best’, we engaged in hundreds of conversations about the importance of place and local knowledge, and alongside the Trussell Trust curated a number of Places of Welcome at the venue, both demonstrating and equipping visitors with information about the benefits and impact of the network.

The Together Network (TN) continues to be an important part of CUF. Our 15 Core members and 16 Associate members supported more than 634 individual churches and over 552 individual projects in 2023. Of these 149 were reported as new initiatives. More than 870 organisations have been part of the network. Across the Network, the top three themes of work were noted as supporting individual churches, coordinating networks, and food insecurity. Furthermore, 71% agreed that being part of the Together Network had improved the effectiveness of their organisation.

Near Neighbours, in conjunction with the Department for Levelling Up, Housing and Communities (DLUHC) continued to work to bring about social cohesion in some of our most diverse and divided communities, helping grassroots organisations with small grants to initiate projects of hope and change. An external evaluation conducted by Common Vision identified four defining features of Near Neighbours’ work that drive our impact in communities: emphasis on piloting and testing new partnerships and collaborations; building sustained relationships; understanding faith and cultural nuances; and iterative development. In the calendar year 2023 we awarded three grants to the value of £5,000 (this amount accounted for by the DLUHC funding gap from April 2023 to the year end). We mobilised 400 volunteers contributing 5,950 hours, investing skills and energy to strengthen local communities; and equipped 144 grassroots leaders with practical skills and confidence to make a bigger difference in their neighbourhoods.

Our Catalyst Programme continued to support the development of young leaders, securing £13,000 in extra funding from the Tudor Trust and the National Lottery Community Fund. 90 young people took part, from a variety of faith backgrounds, in five cohorts, in five locations.

32 CHURCH URBAN FUND ANNUAL REPORT I 2023

Review of 2023 continued

Furthermore, in partnership with The Benefact Trust, we administered grants for refugee projects in England to 37 projects from many denominations. £129,500 was awarded and an estimated 4,562 people reached.

With the arrival of Bishop Rob Wickham as Group Chief Executive Officer in the summer of 2023, the staff team was guided in an away day to reflect on the themes of leadership from the book of Esther (Esther 4:13-16) and what it means for CUF to play a leadership role in the mission of the Church ‘for a season such as this’, taking into consideration new leadership across CUF, and the changing nature of poverty being experienced across England. During this day, and in sessions that followed on from this, we reflected on our posture of power and not doing to communities, but we recognised our uniqueness as a Charity to journey with communities, and equip communities in their ability to lean into the web of poverty in all of its forms (material, relational and identity). We recognised our task in seeking the welfare of the city (to use the example in Jeremiah 29) and the Biblical imperative to ‘feed my lambs’, as Jesus spoke with Peter at the end of John’s Gospel. These themes will be explored in a refreshed strategy for CUF from 2024 onwards.

Given the backdrop of the economic impact of the pandemic and the onset of the cost-of-living crisis, the work of the Just Finance Foundation in both preventive and reactive financial education programmes proved vital to many people nationally, and the team proved as creative and adaptable as ever. In figures, 184 new LifeSavers Schools and 49,502 new students were engaged with. We trained 1,931 teachers to deliver financial education. There are now 260 active LifeSavers Schools, engaging 71,293 pupils. We partnered with four new organisations to help develop our financial education work with young people (Jigsaw, Bookmark, GamCare and Picture News).

Our homelessness prevention and support programme, Positive Pathways, went from strength to strength, in supporting people who have experienced homelessness to have a more sustainable and secure future, in its fifth year. We also continue to support our Wayfinder programme, which is funded by the Benefact Trust.

Financial Review

Overview

The four ways talked about in the accounts relate to:

The Together Network’s programme of activities is delivered through a network of churches, faithbased organisations and secular groups. It works ecumenically and relationally to ensure that:
n Social action by churches and community groups – delivered directly by the Together Network – increases in its extent, effectiveness, and faithfulness, as best practice is shared, resources are leveraged, and appropriate opportunities are identified.
n Collaboration for the common good grows, including across sectors (state, private, and voluntary), faiths, church denominations and within neighbourhoods.
n Social policy, public opinion and public service design and resourcing are increasingly informed by real-life experiences in local communities.
The Near Neighbours programme whose aim is to:
n Build a network of people across particular geographical areas and develop relationships across faiths and ethnic boundaries through presence and engagement Hubs.
n Create engagement through provision of a small grants programme and by supporting local action.
n Build capacity of community and leadership delivery partners, broadening skills of individuals and organisations.
The Just Finance Foundation, which aims to create a fairer financial system focused on servicing the whole community, where everyone has access to responsible credit, savings and other essential financial services.
Research, evaluation, promotion and dissemination of information to network participants and the wider public, to influence awareness, consideration and response to issues affecting the flourishing of individuals and communities.

Income and Expenditure

Total income for 2023 was £3.97m (2022: £4.57m).

Unrestricted income received in the year was £1.5m (2022: £2.5m).

Restricted income includes funds for Near Neighbours £492k (2022: £526k), Just Finance Foundation £489k (2022: £347k), and the Together Network £nil (2022: £6k).

Total Expenditure for 2023 was £3.4m (2022: £3.3m).

The Balance Sheet funds for the group shows a slightly improved closing position for 2023, with restricted funds at £1.05m (2022: £0.73m) and unrestricted funds of £2.77m (2022: £2.57m). The cash position at the end of the year had increased to £1.58m (2022: £1.46m) with net assets of the group being £3.83m (2022: £3.30m) at 31 December 2023.

The main difference in unrestricted funding in 2023 is that the investments from a significant legacy kindly left to CUF which were included in the 2022 Debtors have been transferred into CUF’s name and are shown under Fixed Asset Investments.

CUF gratefully acknowledges the many contributions, both small and large, received from individuals, churches and legacies, without which its work would not be possible. The continued support from the Archbishops’ Council of £0.2m (2022: £0.2m) is also recognised as an important contribution, as is the funding from various trusts and foundations.

34 CHURCH URBAN FUND ANNUAL REPORT I 2023

Reserves policy

We aim to maximise the funds we can spend in line with our charitable aims. The Trustees annually review our reserves policy and the level of required reserves, due to the highly volatile context in which the charity operates. The Trustees’ aim is to maintain the correct balance between a growth strategy and the desire to achieve a prudent level of reserves. They have considered a target level for unrestricted free reserves of between £560k and £700k, based on the scale of CUF’s activities and resource base, to provide operational cover to ensure a timely and orderly transition (or winding up) of the organisation, if necessary; including in the event of the winding up of either Near Neighbours or the Just Finance Foundation.

Based on this target the year end reserves are well above the level assessed by the Trustees. Plans and active monthly monitoring were instigated during 2020 to address the shortfall incurred during that year to ensure that the charity could meet its liabilities as they fall due. The increase back to sufficient levels was in part due to large and unexpected legacy income received in 2022. As such, the monthly monitoring by the Board was revised to quarterly monitoring.

Investment policy and performance

Our investment policy is to focus on capital security and liquidity, and to invest in short term funds to achieve this. All investment decisions will be aligned with CUF’s values and mission. Trustees will act with best endeavours to avoid making investments in companies because of their practice on

environmental, social and governance (ESG) factors, in line with the Church of England’s Responsible and Ethical Investment Policy. At the year-end £0.777m (2022: £0.753m) was held with CCLA Investment Management Limited’s ‘’The CBF Church of England Deposit Fund”. CCLA Investment Management Limited invests in accordance with the Church of England’s ethical policies.

The legacy referred to above was received as an investment portfolio managed by LGT Wealth Management UK LLP and has been retained in that form whilst the Trustees determine the optimal strategy for utilising it. The portfolio was valued at £1.74m as at 31 December 2023.

Delivering public benefit

CUF’s primary aim is to tackle social and economic disadvantage, and this is done in ways set out in the ‘Review of 2023 and Plans for the Future’ section of this document. We are also working for the renewal of civil society and encouraging the development of the charitable sector.

We work through Church of England structures, but focus our activity on people and organisations of all faiths and denominations. Beneficiaries are not restricted by faith, gender, ethnic origin, disability, age or sexual orientation. The Trustees consider the guidance on public benefit each year, issued by the Charity Commission and are confident that CUF aims and objectives, as set out above, fulfil the criteria. The Trustees do not anticipate any future change to this operational approach.

Structure, Governance and Management

Any Trustee expenses reclaimed are set out in note 11 to the financial statements.

Governing documents

CUF is both a company limited by guarantee subject to the Companies Act 2006 and a charity registered with the Charity Commission. It is governed by its Memorandum and Articles of Association which were last updated on 19 May 2011. The company registration number is 02138994 and the charity number is 297483. The Directors of the company are known as Trustees.

Trustee induction and training

There is an induction programme for all Trustees on appointment, which is being reviewed and strengthened over 2024.

Management and organisational structure

Governance structure

The day-to-day management and the responsibility for the implementation of strategy and planning are delegated to the Group Chief Executive Officer (CEO). Formal reporting to the Trustee Board takes place regularly throughout the year. The Group CEO is supported by a team of Principal Officers, set out on page 30. These are collectively the Senior Leadership Team.

The Articles of Association allow for up to twelve Trustees and provide that the Archbishop of Canterbury is President. Four Trustees are nominated jointly by the Archbishops of Canterbury and York; three by the Church Commissioners; two by the Archbishops’ Council; one by the Finance Committee of the Archbishops’ Council and two are co-opted by the Trustees after consultation with the Archbishops. The current composition of the Trustees and the Senior Leadership Team is set out on page 2.

The Trustees have established board subcommittees which support CUF work throughout the year and report fully to the Trustees Board:

n A Finance and Administration Committee – which operates under their designated authority and oversees and advises on financial, risk management and administrative matters.

Membership of each of these Committees is agreed by the Trustees and comprises a mix of Trustees and co-opted members whose function is specific to the sub-committees on which they serve. The membership of each sub-committee is set out on page 2. The main Board meets five times a year to review overall strategy operational and financial performance and ensuring our statutory responsibilities are fulfilled.

36 CHURCH URBAN FUND ANNUAL REPORT I 2023

Fundraising

Our fundraising strategy focuses on aligning with individuals, churches and organisations who share our values and want to contribute funds to supporting local communities across England. To raise funds and awareness of our work in a sustainable way, and to allow supporters to get involved in a way that suits them best, we rely on a range of different fundraising activities. Our core fundraising streams are:

n Legacies

n Individual giving – namely direct appeals and regular giving
n Church giving
n Trusts and Foundations.

CUF is an organisational member of the Fundraising Regulator and undertakes regular reviews of our fundraising activities, policies and processes to ensure they align with the Code of Fundraising Practice, and guidance from the Charity Commission. Our staff undertake regular training, both internally and externally, and are connected to the broader fundraising sector through organisations and interest groups such as the Chartered Institute of Fundraising.

All our fundraising communications must reflect our vision, mission, and values. Fundraising communications will be transparent and truthful, stating whether funds raised will be used for our general charitable purposes or for a specific purpose.

Whilst it is not a main focus of our fundraising strategy, we do also support churches and members of the public to fundraise on our behalf. This is done through church giving or sponsored fundraising activities. To maintain our fundraising standards, our internal staff work closely with these individuals, providing relevant guidance and support throughout the fundraising process. This guidance assists fundraisers to identify and protect people in vulnerable circumstances.

Data collected by CUF is strictly confidential and we do not share this data with any third party without consent. CUF is compliant with GDPR and data protection regulations. Our staff, trustees and volunteers do not accept commissions or bonuses for fundraising activities on behalf of CUF. We do not currently employ external professional fundraisers to raise funds on our behalf through telephone or door-to-door fundraising. However, we do seek the support of fundraising grant writers and other creative suppliers to assist our internal fundraising team. We require our suppliers to adhere to our fundraising policies and standards and this is included in our contracts with them.

Our supporters are at the heart of all our fundraising activities and processes. We are pleased to have received no formal fundraising complaints in 2023. If someone does want to make a complaint or provide feedback regarding our fundraising, we encourage them to do so in writing and we provide helpful and clear instructions on how to do so.

Protecting people in vulnerable circumstances when fundraising

We are committed to ensuring every individual that engages with CUF feels informed, valued, and inspired about our work. We will always treat donors and prospective donors with respect. This includes striving to respect the wishes and preferences of the donor. We will respond appropriately to the needs of our donors and make all reasonable efforts to adapt our approach to meet the requirements of the donor. All our fundraising staff are trained to take special care to protect people who may be in vulnerable circumstances. Our internal training includes how to identify signs of vulnerability, whether engaging with someone via telephone, face-to-face, or written correspondence. If our fundraisers identify potential signs of vulnerability, they will respond appropriately and according to our donations acceptance and refusal policy. This aligns with the Chartered Institute of Fundraising’s Treating Donors Fairly Guidance, and the Charities Act 2016.

CUF Principal Risks

RISK TYPE RISK MITIGATION Governance Complexity The CUF group has complex Governance arrangements. In 2022, CUF and Near Neighbours boards began to meet co-terminously. The impact and success of this continues to be monitored. Regular meetings are held between the chairs of the three charities within the group to ensure joint working across senior leadership.A Governance Review is being conducted in 2024 to address the issues around complexity of governance. Financial Sustainable Programmes require full funding before proceeding to avoid excess financial model demands on unrestricted income. Conscious financial modelling without reliance on government funding. A cost recovery model was implemented The dependence from 2022 onwards to reduce the requirement for unrestricted income to of Near support restricted grant activity. A fundraising review is being conducted Neighbours on in 2024 by Action Planning to review our funding models and present predominantly ideas for a more sustainable funding model. single source public sector funding Governance New Chair / CEO In 2023 a new Chair and CEO of CUF were appointed, along with new / Trustees in 2023 Trustees. The Chair and CEO are overseeing a refresh of the strategy and vision for CUF, which will add cohesion and understanding of the direction of travel which can be shared across Trustees and staff teams. Reputation Reporting Keeping funders informed of future programme delivery and reports priorities monitored and prioritised to maximise opportunities to secure future funding. Management of Strong relationships have been developed with key partners, and key partners agreements are in place which guide collaborative ways of working and shared values. Operational Diversity Significant improvements made with regards to internal organisational awareness awareness, training complete. Practical progress to recruit broader representation at board level to be prioritised for greater diversity and lived experience. Other Employment Employment in the charity sector is volatile. CUF benchmarking was uncertainty and undertaken to understand market position. Review of non-financial external benefits to take place during 2024 and strengthen the reason to stay at competition CUF longer term. We are aware that there has been staff turnover in 2023 and early 2024 which can be destabilising. Work is happening to ensure that vacant posts are reviewed and filled as swiftly as possible, while making sure there is a sound business case for the recruitment to the role and that roles are made as attractive as possible to the market. Displacement as Structural and strategic review clarifies the specific remit and unique other charities positioning for CUF. The CEO is conducting widespread stakeholder emerge engagement to understand the landscape and do horizon scanning.

38 CHURCH URBAN FUND ANNUAL REPORT I 2023

Going concern

The Trustees have reviewed the charity’s financial position, considering the levels of reserves, cash position and strategic plan, in addition to its financial and risk management systems. The Trustees and Senior Leadership Team have continued with a number of measures such as a detailed budget and cashflow forecast, expenditure controls and the close monitoring of cashflow. Accordingly, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the annual Financial Statements.

Key management personnel remuneration

The Trustees consider the Board of Trustees, and the Directors (listed in note 10) as comprising the key management personnel of the charity in charge of directing and controlling the charity and running and operating the charity on a day-to-day basis. The Trustees gave of their time freely and were not remunerated in the year. Details of Trustees and related party transactions are disclosed in note 23 to the accounts.

The senior staff salaries are reviewed annually and normally increased in accordance with inflation. In 2021, an organisation-wide benchmark against pay awards in similar charitable organisations took place and all salaries were reviewed accordingly, including those of senior staff. This will be repeated in 2024. The 2023 and 2024 pay increases were based on sector trends. All staff are paid above the National Living Wage.

Plans for the future

2024 aims and objectives

To help realise our unique potential as the linchpin connecting and amplifying the work of local leaders, churches and other faith groups all over England we are aiming to build the shape and soul of CUF, based upon the findings of the CEO’s listening exercise. This will include a refreshed vision and strategy, underpinned by new organisational values.

We will strengthen our impact in building a movement of love, to help shape social action and social justice across England. To do this we are planning to:

n Refine and simplify our strategy
n Review our Governance arrangements
n Review the fundraising strategy and our internal and external communications processes
n Review our Safeguarding arrangements
n Review our policies
n Across the whole team, discern our charity values, and renew Vision and Mission statements
n Then, to seek to develop a new three year operational plan to embed this strategy.

We will continue to develop our work in the following three key areas:

Church-facing work

n Continue to grow and diversify the Growing Good resources.
n Refresh and renew the Look Up Tool, ensuring that the data that the resources draw in is as up to date as possible. This will be accompanied by a suite of resources to help churches maximise the use of the Look Up Tool in understanding the context in which they minister and utilise the data in mission action planning.
n Liaise with and support Church of England Bishops on the way clergy (and lay leadership)

are resourced and supported in our areas of greatest deprivation. This will be through a pilot of a new CUF Academy, that will explore new ways in which we can equip churches to make a difference in the communities which they serve.

Network-facing work

n Carry out bespoke strategic work around Near Neighbours, reviewing the funding options for this important work.
n To grow the network of Places of Welcome, encouraging more churches and other venues to sign up.
n To review the nature of the relationship between the Together Network and CUF – to agree in greater clarity the offer of the support that CUF gives to the Network and to grow the membership of the Network within other denominations and charities.
n To grow the number and diversity of schools who embrace Lifesavers, particularly looking into Special Educational Needs and Disability (SEND) and Alternative Provision (AP) provision. We will also develop work across Scotland.
n To support the work of Positive Pathways and Wayfinders as our tackling homelessness provision.

Advocacy and voice work

n To refresh our relationship with the Lords Spiritual and Faith and Public Life across the Church of England.
n To look at voice and advocacy work with Trussell Trust, the Good Faith Partnership, and others with whom we may work.
n To develop plans for the commemoration of the 40th anniversary of Faith in the City.
2024 will be a very exciting year for CUF, with
some key pieces of work being developed that will provide the CUF group with a refreshed vision and strategy that will help is define our work over the next 3-5 years.

40 CHURCH URBAN FUND ANNUAL REPORT I 2023

The Trustees’ responsibility statements for preparing annual financial statements

The Charity’s Trustees are responsible for preparing a Trustees’ Annual Report and Financial Statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Each of the Trustees at the date of approval of this Trustees’ report confirms that:

The law applicable to charities in England and Wales requires the Trustees to prepare annual financial statements for each financial year that give a true and fair view of the Charity’s financial activities during the year, its surplus or deficit for the year and its financial position at the end of that year. In preparing annual financial statements, the Trustees have followed best practice and:

n In so far as the Trustees are aware, there is no relevant audit information of which the Charity’s auditors are unaware; and
n The Trustees have taken all the steps that they are obliged to take as Trustees in order to make themselves aware of any relevant audit information and to establish that the Charity’s auditors are aware of that information.
n Selected suitable accounting policies and applied them consistently;
n Observed the methods and principles in the applicable Charities SORP;

Small Company exemption

The company has taken advantage of the small companies’ exemption as annual income and total gross assets is below the threshold. The accounts have been prepared in accordance with the special provision contained in the Companies Act.

n Made judgments and estimates that are reasonable and prudent;
n Followed applicable Accounting Standards and Statements of Recommended Practice; and
n Prepared the annual financial statements on the going concern basis.
The entity’s Financial Statements comply with FRS102.

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 accounts comply with the Companies Act 2006. They are also responsible for safeguarding the Charity’s assets and for taking reasonable steps to detect and prevent fraud and other irregularities. The Trustees have overall responsibility for ensuring that the Charity has appropriate systems of control, financial and otherwise.

Auditors

The Trustees reappointed Forvis Mazars LLP as auditors at the Board Meeting on 17th July 2024.

Approved by the Trustees on 17th July 2024 and signed on their behalf by:

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company

Katherine McPherson - Chair of Trustees

Independent Auditor’s report to the members of Church Urban Fund

Opinion

our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

We have audited the financial statements of Church Urban Fund (the ‘charity’) for the year ended 31 December 2023 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Charity Balance Sheets, the Consolidated Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s or the parent charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

In our opinion, the financial statements:

n Give a true and fair view of the state of the group’s and of the parent charity’s affairs as at 31 December 2023 and of its income and expenditure for the year then ended;

Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.

n Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

Other information

n Have been prepared in accordance with the requirements of the Companies Act 2006.

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s 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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with

42 CHURCH URBAN FUND ANNUAL REPORT I 2023

the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

n The information given in the Trustees’ Report which includes the Directors’ Report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and
n The Directors’ Report included within the Trustees’ Report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In light of the knowledge and understanding of the group and the parent charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Directors’ Report included within the Trustees’ Report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

n Adequate and proper accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
n The financial statements are not in agreement with the accounting records and returns; or

n Certain disclosures of Trustees’ remuneration specified by law are not made; or

n We have not received all the information and explanations we require for our audit.

n The Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemption in preparing the Trustees’ Report and from the requirement to prepare a Strategic Report.

Responsibilities of Trustees

As explained more fully in the Trustees’ responsibilities statement set out on page 42, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the group and parent charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.

Based on our understanding of the charity and its activities, we considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation, and anti-money laundering regulation.

To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect to non-compliance, our procedures included, but were not limited to:

n Inquiring of management and, where appropriate, those charged with governance, as to whether the charity is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations;
n Inspecting correspondence, if any, with relevant licensing or regulatory authorities;
n Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and
n Considering the risk of acts by the charity which were contrary to applicable laws and regulations, including fraud.

We also considered those laws and regulations that have a direct effect on the preparation of the financial statements, such as tax legislation, pension legislation, the Companies Act 2006 and the Charities Statement of Recommended Practice.

In addition, we evaluated the Trustees’ and management’s incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of management override of controls, and determined that the principal risks related to income recognition and significant oneoff or unusual transactions.

Our audit procedures in relation to fraud included but were not limited to:

n Making enquiries of the Trustees and management on whether they had knowledge of any actual, suspected or alleged fraud;
n Gaining an understanding of the internal controls established to mitigate risks related to fraud;
n Discussing amongst the engagement team the risks of fraud; and
n Addressing the risks of fraud through management override of controls by performing journal entry testing.

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls.

44 CHURCH URBAN FUND ANNUAL REPORT I 2023

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Use of the audit report

This report is made solely to the charity’s members as a body in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s members as a body for our audit work, for this report, or for the opinions we have formed.

Signed:

Nicola Wakefield (Aug 7, 2024 16:08 GMT+1)

Nicola Wakefield (Senior Statutory Auditor) for and on behalf of Forvis Mazars LLP Chartered Accountants and Statutory Auditor 6 Sutton Plaza, Sutton Court Road, Sutton, Surrey, SM1 4FS

Date:

07-Aug-2024

46 CHURCH URBAN FUND ANNUAL REPORT I 2023

Consolidated Statement Of Financial Activities for the year ended 31st December 2023


	er 2023
Note Income & Expenditure Income Donations & Legacies 3, 4 Trusts Income 3, 5 Statutory Income 3, 6 Income from Charitable Activities Near Neighbours Programme 2 Together Network Just Finance Foundation 3 Other Income 7 Investment income 8	Unrestricted Funds 2023 £’000 1,095 13 82 - - - 213 113	Restricted Funds 2023 £’000 15 822 729 492 - 396 - -	Total 2023 £’000 1,110 835 811 492 - 396 213 113	Unrestricted Funds 2022 £’000 2,176 11 57 - - - 213 10	Restricted Funds 2022 £’000 12 875 679 526 6 4 - -	Total 2022 £’000 2,188 886 736 526 6 4 213 10
Total Income	1,516	2,454	3,970	2,467	2,102	4,569
Expenditure Expenditure on Raising funds 9 Expenditure on Charitable activities 9 Building and mobilising a national movement of faith-based partners Together Network 9a Network Development 9b Equipping people to make a bigger difference Just Finance Foundation 9c Windrush Day/Refugee/ Other Grants 9d Delivery Programmes 9e Near Neighbours Building Networks 9f Creating Engagement 9g Building Capacity 9h Amplifying grassroots voices 9i Disaggregation of Together Network subsidiary	458 - 287 - 53 235 - - - 280	- - 20 408 877 447 146 86 140 11	458 - 307 408 930 682 146 86 140 291	406 - 292 - 61 160 - - - 265	- 65 - 258 627 415 244 180 96 30	406 65 292 258 688 575 244 180 96 295
	855	2,135	2,990	778	1,915	2,693
	-	-	-	-	198	198
Total Expenditure	1,313	2,135	3,448	1,184	2,113	3,297
Net income / (expenditure) Transfers between funds Balance brought forward at 1 January	203 - 2,571	319 - 733	522 -- 3,33,304	1,283 - 1,288	(11) - 744	1,272 - 2,032
Balances carried forward 31 December	2,774	1,052	3,826	2,571	733	3,304

Consolidated Balance Sheet as at 31st December 2023

Company number: 02138994

Note Fixed Assets Investments 13 Current Assets Cash held on deposit 14 Bank Debtors 15 Current Liabilities Amounts falling due within one year: 16 Grants awarded but not yet due for payment CUF NN Other creditors Net Current Assets	2023		2022	2022
	£’000 1,739	£’000 1,739 2,343 256	£’000 -	£’000 - 3,581 277 3,304 3,304 376 201 156
	777 802 764		753 708 2,120
	- - 256		5 47 225

		2,087
Net Assets		3,826
Funds Restricted 18 Church Urban Fund (CUF) Just Finance Foundation (JFF) Near Neighbours (NN) Unrestricted		504 282 266
		1,052 2,774		733 2,571 3,304
Total Funds 22		3,826

These financial statements have been prepared in accordance with the provisions applicable to the Companies Act 2006 subject to the small companies regime.

Approved by the Trustees on 17th July 2024 and signed on their behalf by:

Alison Grieve:

Katherine McPherson:

The notes on page 52 to page 66 form part of these financial statements.

The charity has no recognised gains or losses other than the net movement in funds for the year shown above. The statement of financial activities also complies with the requirements for an income and expenditure account under the Companies Act 2006. All items relate to continuing operations with the exception of the Together Network subsidiary. The notes on page 52 to page 66 form part of these financial statements.

48 CHURCH URBAN FUND ANNUAL REPORT I 2023

Charity Balance Sheet as at 31st December 2023

Company number: 02138994

Note Fixed Assets Investments 13 Current Assets Cash held on deposit 14 Cash at bank Debtors 15 Current Liabilities Amounts falling due within one year: 16 Net Current Assets	2023		2022	2022
	£’000 1,739	£’000 1,739 1,977 438	£’000 -	£’000 - 3,344 397
	777 462 738		753 471 2,120

		1,539		2,947
Net Assets		3,278		2,947
Funds Restricted 18 Unrestricted		504 2,774		376 2,571
Total Funds		3,278		2,947

Approved by the Trustees on 17th July 2024 and signed on their behalf by:

Alison Grieve:

Katherine McPherson:

Consolidated Statement Of Cash Flows for the year ended 31st December 2023

Reconciliation of net movement in funds to net cash fow from operating activities Net income for the reporting period (as per statement of fnancial activities) Adjustments for: Decrease / (Increase) in debtors (Decrease) / Increase in creditors	2023 £’000	£’000	2022 £’000 £’000	2022 £’000 £’000
	1,356 (21)	522 1,335	(1,488) 110	1,272 (1,378)

Net cash provided by / (used in) operating activities		1,857		(106)
Adjustments for: Transfer of investments Investment income		(1,664) (75)		- -
Net cash (used in) investing activities		(1,739)		-
Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the start of the reporting period Cash held on deposit Bank Cash and cash equivalents at the end of the reporting period		118 1,461		(106) 1,567
		1,579 777 802		1,461 753 708
		1,579		1,461

The notes on page 52 to page 66 form part of these financial statements.

50 CHURCH URBAN FUND ANNUAL REPORT I 2023

Notes to the Financial Statements for the year ended 31st December 2023

1. Accounting policies

a . Basis of preparation

The financial statements have been prepared under the historical cost convention and in accordance with the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities”, applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) effective 1 January 2019, Charities SORP and the Companies Act 2006.

The consolidated financial statements of the Group incorporate the financial statements of the Charity Church Urban Fund and its subsidiaries, Near Neighbours and Just Finance Foundation.

No separate Statement of Financial Activities is presented for the Charity, as permitted by the Companies Act 2006. Net movement in funds for the Charity alone for the year was a surplus of £331k (2022: £1,435k).

The Trustees have reviewed the charity’s financial position, considering the levels of reserves, cash position and strategic plan, in addition to its financial and risk management systems. The Trustees and Senior Management Team have continued with a number of measures such as a detailed budget and cashflow forecast, expenditure controls, and the close monitoring of cashflow. Accordingly, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus, they continue to adopt the going concern basis of accounting in preparing the annual Financial Statements.

b. Income recognition

All income is recognised in the SOFA when the charity has entitlement to the income, it is probable

that the income will be received and the amount of income receivable can be measured reliably. The following specific policies apply to the categories of income:

Donations include tax recoverable where applicable, and are recognised when receivable and also when the charity has been notified in writing of both the amount and settlement date.

Legacies are recognised on a case by case basis following the granting of probate when the administrator or executor for the estate has communicated in writing both the amount and settlement date.

Grants receivable and Trust Income are accounted for in the year to which they relate.

c. Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that 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 that category. All expenses including support costs and governance costs are allocated or apportioned to the applicable expenditure headings.

Grants payable are payments made to third parties in the furtherance of the charity’s objectives. Grants are charged to the Statement of Financial Activities when they are awarded.

Grants to Near Neighbours Delivery Partners are charged to the Statement of Financial Activities when the funds have been transferred to the recipient’s account.

d. Support costs

The support costs for grants include the costs of assessing, reporting on, facilitating the use of and paying grants.

Support costs relating to charitable activities have been apportioned based on the staff time spent on each activity and analysed in note 12.

f. Cost of raising funds

The cost of fundraising comprises costs incurred in encouraging churches, individuals, and trusts to contribute to its activities.

g. Charitable activities

Costs of charitable activities includes grants made and apportionment of support costs as shown in note 12.

h. Investment returns

Investment income is accounted for when receivable.

i. Pensions costs

The charity operates a defined pension scheme, Church Urban Fund Pension Plan with Legal and General for all employees. The contributions to the defined contribution schemes are accounted for in the year to which they relate. Costs of the contributions to the scheme is accounted for in the year to which they relate and included within staff costs (note 10).

The charity has no liability beyond making its contributions and paying across the deductions for the employee’s contributions.

j. Fund structure

Unrestricted funds represents funds received that are available for use at the discretion of the trustees for any purpose in furtherance of the objectives of the charity.

Restricted funds represents funds received that are subject to specific restrictive conditions imposed by donors (see note 18 for more details of restricted funds).

k. Operating lease

Rentals payable under operating leases are charged against income on a straight-line basis over the term of the lease.

l. Tangible fixed assets and policy on capitalisation

Capital additions which do not exceed £10,000 are expensed in full in the year of purchase.

There were no tangible fixed assets in 2023 or 2022.

52 CHURCH URBAN FUND ANNUAL REPORT I 2023

2. Results of subsidiary - Near Neighbours

Near Neighbours is a charitable company limited by guarantee that builds associations and relationships across faith and ethnic divisions and creates a context where people can come together to develop common values and address community issues. The Board of Trustees is appointed by Church Urban Fund and the Archbishops’ Council. The company registration number 7603317 and charity number 1142426.

Near Neighbours receives funding from the Department for Levelling Up, Housing and Communities (DLUHC) which is paid to Church Urban Fund and passed over to Near Neighbours.

Income Income from Charitable Activities - DLUHC via Church Urban Fund Income from Charitable Activities - Other Expenditure Charitable activities Building Networks Creating Engagement Building Capacity: Young Leaders Real People Honest Talk Places of Welcome Transfer to Just Finance Foundation Total expenditure Net income Balance brought forward at 1 January Balance carried forward at 31 December	2023 2022 £’000 £’000 415 500 77 26 492 526 146 244 86 180 85 56 48 34 7 6
	372 520 10 -
	382 520 110 6 156 150 266 156

Income
Income from Charitable Activities - DLUHC via Church Urban Fund
Income from Charitable Activities - Other
Expenditure
Charitable activities
Building Networks
Creating Engagement
Building Capacity:
Young Leaders
Real People Honest Talk
Places of Welcome
Transfer to Just Finance Foundation
Total expenditure
Net income
Balance brought forward at 1 January
Balance carried forward at 31 December

2023
2022
£’000
£’000
415
500
77
26
492
526
146

244
86
180
85
56
48
34
7
6

372
520
10
-

382
520
110
6
156
150
266
156

3. Results of subsidiaries - Just Finance Foundation

Just Finance Foundation is a charitable company limited by guarantee promoting a fairer financial system and equipping people to manage their money better. It is funded predominantly by a number of trusts, and grants from corporate sponsors and the Money and Pensions Service. Company Number 10204667 and Charity Number 1172050.

Income Income from Individuals and Legacies Income from Trusts Income from Charitable Activities: Money and Pensions Service Corporates Transfer from Near Neighbours Total income Expenditure Charitable activities Financial Capacity LifeSavers (including Milo’s Money) Money Help Hub (Covid Cash Recovery) Total expenditure Net income Balance brought forward at 1 January Balance carried forward at 31 December	2023 2022 £’000 £’000 8 10 75 148 148 4 248 185
	479 347
	10 -
	489 347
	385 241 23 17
	408 258
	81 89 201 112
	282 201

4. Income from donations and legacies - CUF

Donations: Individual, Church and Community Donations Legacies	2023 2023 2023 2022 £’000 £’000 £’000 £’000 Unrestricted Restricted Total Total 460 7 467 457 635 - 635 1,721
	1,095 7 1,102 2,178

54 CHURCH URBAN FUND ANNUAL REPORT I 2023

5. Income from trusts - CUF


The Albert Gubay Charitable Foundation Benefact Trust The Liz and Terry Bramall Foundation Sir Halley Stewart Trust Other Trusts	2023 2023 2023 2022 £’000 £’000 £’000 £’000 Unrestricted Restricted Total Total - 50 50 50 - 390 390 440 - 250 250 213 - 37 37 22 13 20 33 13
	13 747 760 738

6. Statutory income - CUF

Public Funds: DLUHC	2023 2023 2023 2022 £’000 £’000 £’000 £’000 Unrestricted Restricted Total Total 82 729 811 551
	82 729 811 551

7. Income from other activities - CUF

Archbishops’ Council Together Network members	2023 2023 2023 2022 £’000 £’000 £’000 £’000 Unrestricted Restricted Total Total 203 - 203 203 10 - 10 10 213 - 213 213

9. Expenditure

Staff	costs	Programme	Other direct	Support	2023	2022
		costs	costs	costs
	£’000	£’000	£’000	£’000	£’000	£’000
(Note 10)		(Note 9a-i)		(Note 12)
Expenditure on Raising Funds	260	-	95	103	458	406
Expenditure on Charitable Activities
Building and mobilising a national
movement of faith-based partners
Together Network (9a)	-	-	-	-	-	65
Network Development (9b)	203	18	4	82	307	292
Equipping people to make a
bigger difference
Just Finance Foundation (9c)	259	55	52	42	408	258
Windrush Day/Refugee/
Other Grants (9d)	77	852	1	-	930	688
Delivery Programmes (9e)	263	306	7	106	682	575
Near Neighbours Programme
Building Networks (9f)	50	64	18	14	146	244
Creating Engagement (9g)	50	4	18	14	86	180
Building Capacity (9h)	64	34	24	18	140	96
Amplifying grassroots voices (9i)	160	-	67	64	291	295
Total charitable activities	1,126	1,333	191	340	2,990	2,693
Disaggregation of Together
Network Subsidiary	-	-	-	-	-	198
Total expenditure	1,386	1,333	286	443	3,448	3,297

9a. Building and mobilising a national movement of faith-based partners: Together Network

8. Investment income - CUF

Bank Interest - NatWest Deposit Interest - CCLA Investment Income - LGT Wealth Management	2023 2023 2023 2022 £’000 £’000 £’000 £’000 Unrestricted Restricted Total Total 4 - 4 1 35 - 35 37 74 - 74 - 113 - 113 38

Programme costs Staff costs Support costs	2023 2022 £’000 £’000 - 32 - 26 - 7
	- 65

56 CHURCH URBAN FUND ANNUAL REPORT I 2023

9b. Building and mobilising a national movement of faith-based partners: Network development

Capacity Building through resources & events Staff costs Support costs	2023 2022 £’000 £’000 18 19 18 19 203 191 86 82
	307 292

9c. Equipping people to make a bigger difference: Just Finance Foundation

Programme costs Staff costs Support costs	2023 2022 £’000 £’000 55 68 259 147 94 43
	408 258

9d. Equipping people to make a bigger difference: Windrush Day/Refugee/Positive Pathway grants

Grants awarded to projects during the year (see note 20a for details) Less writebacks of awards Net grant awards Staff costs Support costs	2023 2022 £’000 £’000 887 620 (35) - 852 620 77 65 1 3
	930 688

Writebacks of awards represent grants awarded in previous years that have been unclaimed.

9e. Equipping people to make a bigger difference: Delivery programmes

Positive Pathways Wayfinder Growing Good Staff costs Support costs	2023 2022 £’000 £’000 172 161 124 133 10 11 306 305 263 185 113 85
	682 575

Equipping people to make a bigger difference: Near Neighbours programmes

9f. Building networks

9g. Creating engagement Funding Delivery Partners Thrive Together Birmingham St Philip’s Centre, Leicester Transforming Notts Together, Nottingham Centre for Theology and Community, East London Wellsprings Together, Bradford, Leeds & Dewsbury King’s Centre, West London Transforming Communities Together, Black Country Greater Together Manchester, Rochdale & Bury Building Bridges Burnley Grassroots, Luton Peterborough Staff costs Other direct costs Support costs Grants awarded to projects during the year (see note 21a for details) Less writebacks of awards Net grant awards Staff costs Other direct costs		2023 2022 £’000 £’000 14 25 6 12 - 7 14 31 14 24 - 13 - 12 - 13 2 13 14 25 - 10 64 185 50 45 18 2 14 12
		146 244
		2023 2022 £’000 £’000 5 126 (1) (16) 4 110 50 54 32 16 86 180

Writebacks of awards represent grants awarded in previous years that have been unclaimed.

9h. Building capacity

9h. Building capacity
Funding Delivery Partners Young Leaders capacity building Catalyst Programme Community capacity building Real People Honest Talk Leadership Training Leadership for Effective Change Staff costs Other direct costs Support costs		2023 2022 £’000 £’000 13 7 12 7 3 - 6 - 34 14 64 64 24 2 18 16

		140 96

58 CHURCH URBAN FUND ANNUAL REPORT I 2023

9i. Amplifying grassroots voices

Web development and digital Promotion and production Research and evaluation Staff costs Support costs	2023 2022 £’000 £’000 1 1 43 59 23 71 67 131 160 119 64 45
	291 295

10. Staff costs

Salaries Social Security Pensions	2023 2022 £’000 £’000 1,158 956 118 94 110 83
	1,386 1,133

11. Staff numbers

The average monthly headcount for the group was 32 staff (2022: 29). The average monthly number of full-time equivalent employees (including casual and part-time staff) during the year was 27 (2022:25):

Direct Charitable Fundraising Communications Management and Administration		2023 2022 17 15 4 4 1 1 5 5
		27 25

Writebacks of awards represent grants awarded in previous years that have been unclaimed.

None of the Trustees received any benefits from employment with the charity or its subsidiaries in the year (2022: £nil). Appropriate expenses incurred in attending meetings and on other business of CUF were reimbursed to Trustees as follows:

Travel, subsistence and other expenses	2023 2022 No. £’000 No. £’000 4 4 2 2

The amount waived by trustees for the year was £nil (2022: £nil).

The key management personnel of the charity is comprised of the Trustees, the Group Chief Executive Officer (from July 2023), Deputy Group CEO, Director of Partnerships,

Director of Programmes and Innovation, and Director of Finance and Governance. The total redundancy costs during the year across the group was £0k (2022: £3k).

The total employment benefits of the key management personnel of the charity, including employer pension contributions were £423k (2022: £356k).

The number of staff whose emoluments for the year exceeded £60,000 were:

Normal emoluments (£60,000 - £70,000) (£70,000 - £80,000) (£100,000 - £110,000)	2023 2022 2 1 - 1 1 - 3 2

12. Allocation of support costs

The breakdown of support costs and how these were allocated is shown below:

Professional Costs Audit Accommodation Trustees expenses Other (Recruitment, office costs, travel and subsistence)	2023 2022 £’000 £’000 201 106 35 32 39 41 4 2 164 183
	443 364

13. Investments

3. Investments
		Cash held for
	Listed investments	investment	Total	Total
Group and Charity	2023	2023	2023	2022
	£’000	£’000	£’000	£’000
Market Value
Balance brought forward	-	-	-	-
Additions	1,549	115	1,664	-
Revaluations	75	-	75	-
Balance of Investments	1,624	115	1,739	-

Listed investments with market value of £110k are held in Findlay Park US equities, which equates to 6% of the total portfolio managed by LGT Wealth Management.

60 CHURCH URBAN FUND ANNUAL REPORT I 2023

14. Cash held on deposit

Group and Charity CCLA The CBF Church of England Deposit Fund - current assets	2023 2022 £’000 £’000 777 753
	777 753

15. Debtors

Prepayments and accrued income Other debtors Legacies Donations (vouchers, credit cards) Other Debtors Intercompany account (Just Finance Foundation)	Group 2023 2023 2023 2022 £’000 £’000 £’000 £’000 17 9 15 9 600 2,003 600 2,003 16 21 16 21 131 87 101 87 764 2,120 732 2,120 6 - Charity
	764 2,120 738 2,120

16. Current Liabilities

Amounts falling due within one year: Grants payable CUF (note 17) Grants payable NN (note 17) Taxation & Social Security Accruals Other creditors Intercompany account (Near Neighbours) Intercompany account (Just Finance Foundation)	Group 2023 2023 2023 2022 £’000 £’000 £’000 £’000 - 5 - 5 - 47 - 47 10 8 10 8 94 31 83 21 152 186 146 183 256 277 239 264 - - 199 123 - - - 10 Charity
	256 277 438 397

17. Money for local action

	Windrush Day, Refugee and Positive	Windrush Day, Refugee and Positive	Creating Engagement	Creating Engagement
	Pathways CUF Programme
	Total	Total	NN Programme
	2023	2022	2023	2022	2023	2022
	£’000	£’000	£’000	£’000	£’000	£’000
Balance brought forward	5	-	47	9	52	9
Grants awarded (note 20 & 21)	887	620	5	126	892	746
Writebacks	(35)	-	(1)	(16)	(36)	(16)
	857	620	51	119	908	739
Less
Grants paid during year	892	645	52	86	944	731
Returned Grants	(35)	(30)	(1)	(14)	(36)	(44)
	857	615	51	72	908	687
Balance of grants payable	-	5	-	47	-	52

18. Restricted funds

CUF Programme Windrush Day Grant Refugee Grant Network Development Delivery Programmes Near Neighbours Programme Near Neighbours - Catalyst Just Finance Foundation	Balance at Income Expenditure Transfers Balance at 2022 between funds 2023 £’000 £’000 £’000 £’000 £’000 - 729 720 - 9 6 140 146 - - - 20 20 - - 370 594 469 - 495 376 1,483 1,355 - 504 99 415 319 (14) 181 57 77 53 4 85 156 492 372 (10) 266 201 479 408 10 282
	733 2,454 2,135 - 1,052

The Windrush Day Grants support groups to commemorate, celebrate and educate people on, the contribution of the Windrush Generation in communities.

The Refugee Grants, funded by the Benefact Trust, provide small grants to support Ukrainian and Afghan refugees.

The Network Development costs are to support and help develop the Together Network. The Delivery Programmes costs are to support programmes work across the network.

The Near Neighbours programme costs enables the work of bringing faith based communities together. The Near Neighbours Catalyst Programme funds are to run the Catalyst Young People’s Leadership Courses.

62 CHURCH URBAN FUND ANNUAL REPORT I 2023

19. Operating lease

9. Operating lease
1 year	Land and Building 2023 2022 2023 2022 £’000 £’000 £’000 £’000 Other
	14 12 - -

CUF’s office is at The Foundry and the lease agreement requires four months notice to vacate the office space. The amount paid in rent to The Foundry during 2023 was £39k (2022: £35k)

20a. Equipping people to make a bigger difference: Windrush Day/Refugee/Positive Pathways grants Grants awarded in 2023 by sector

Grants Windrush Day: Community Refugees & Asylum Seekers Homeless/Housing Community Total Grants Awarded before writebacks (see Note 9d)	2023 2022 £’000 £’000 750 494 130 126 4 - 3 -
	887 620

Newcastle Oxford Peterborough Rochester St Albans St Edmundsbury & Ipswich Salisbury Sheffield Southwark Southwell & Nottingham Winchester Worcester York Total Grants Awarded before writebacks (see Note 9d)	2023 2022 £’000 £’000 - 5 3 - 2 27 8 - 18 17 32 7 5 - 8 14 110 92 13 21 19 - 15 3 4 9
	887 620

21a. Near Neighbours programme - creating engagement in 2023 by activity

Local Initiatives Near Neighbours Small Grants Total Grants Awarded before writebacks (see Note 9g)	2023 2022 £’000 £’000 5 126
	5 126

20b. Grants awarded in 2023 by region (diocese)

	2023	2022
	£’000	£’000
Bath & Wells	24	23
Birmingham	67	24
Blackburn	3	-
Bristol	67	39
Canterbury	5	-
Carlisle	-	3
Chelmsford	107	68
Chester	5	8
Chichester	5	7
Coventry	5	11
Durham	8	-
Ely	1	5
Exeter	24	21
Guildford	4	3
Hereford	5	-
Leicester	6	13
Leeds	88	49
Lichfield	29	-
Lincoln	-	5
Liverpool	10	8
London	159	126
Manchester	28	12

21b. Near Neighbours programme - creating engagement in 2023 by region

Regional Centre Centre for Theology and Community, London St Philip’s Centre, Leicester Thrive Together Birmingham Wellsprings Together Bradford King’s Centre, West London Grassroots, Luton Greater Manchester Building Bridges Burnley Transforming Notts Together Total Grants awarded before writebacks (see Note 9g)	2023 2022 £’000 £’000 - 22 - 14 1 17 - 25 2 3 2 20 - 2 - 16 - 7 5 126

64 CHURCH URBAN FUND ANNUAL REPORT I 2023

22. Net analysis of assets and liabilities by fund

Fixed asset investments Current assets Current liabilities Church Urban Fund Near Neighbours Just Finance Foundation Together Network	Unrestricted Restricted 2023 2022 £’000 £’000 £’000 £’000 1,739 - - - 3,012 1,070 4,082 3,581 (238) (18) (256) (277)
	2,774 1,052 3,826 3,304
	2,774 504 3,278 2,947 - 266 266 156 - 282 282 201 - - - -
	2,774 1,052 3,826 3,304

23. Related parties

The charity’s key relationship in the pursuit of its charitable objectives is with the Church of England. During the year Church Urban Fund received a grant from the Archbishops’ Council of £203k (2022: £203k).

During the year CUF undertook the following transactions with its subsidiary Near Neighbours: CUF received the full amount of grant from DLUHC of £415k (2022: £500k) and passed this over to Near Neighbours to deliver the programme.

Near Neighbours paid CUF a grant of £4k (2022: £110k) to administer the Small Grants programme. Near Neighbours made a contribution of £187k (2022: £187k) to CUF for the administration of the overall programme.

At the year end, the intercompany balance was £199k (2022: £123k) owed by CUF.

During the year Just Finance Foundation made a contribution of £50k (2022: £50k) to CUF towards the shared central service costs provided by CUF. At the end of the year intercompany balance of £6k was owed to CUF (2022: £10k owed by CUF).

There are no other outstanding balances with related parties.

24. Legal Form of the Entity

CUF was established by the Church of England in England 1987, registration number 2138994 and charity number 297483. The charity is located at The Foundry, 17 Oval Way, London, SE11 5RR.

66 CHURCH URBAN FUND ANNUAL REPORT I 2023

TOGETHER AGAINST POVERTY

Church Urban Fund

CONTENTS

FOREWORD

EXECUTIVE SUMMARY

Tackling all aspects of poverty

Our priorities in 2023

Key objectives in 2023:

1. Equip people of all ages, backgrounds and beliefs to make a bigger difference in their local community.

3. Build and mobilise a national movement of faith-based partners serving their community.

How we understand and tackle poverty

Building identity

Key objectives

OUR IMPACT

Positive Pathways

Wayfinder

Catalyst

Growing Good

Tamim’s Story

BUILDING CONFIDENCE AND BREAKING STIGMAS

Building relationships

Key objectives

OUR IMPACT

Together Network

Places of Welcome

Near Neighbours

Building connections through cooking

Building resources

Key objectives

Refugee Support Small Grants Programme

OUR IMPACT

Just Finance Foundation (JFF)

Aaisha’s[4] story

REBUILDING LIVES THROUGH COMMUNITY SUPPORT

Building blocks

Key objectives

Alastair’s story

WALK TOWARDS HOPE

Headline News

OUR FACTS AND FIGURES IN 2023

Headline News

OUR FACTS AND FIGURES IN 2023

Building resources

Windrush Day Grant Scheme

Trustees, officers and advisers

Patron

Co-presidents

Advisers

Trustees

Bankers

Investment Managers

Auditors

Finance and administration committee

Solicitors

Principal officers

Report of the trustees for the year ended 31st December 2023

Overview

Legal structure and basis of consolidation

Transactions between the groups

Review of 2023

As we review 2023 and look ahead to 2024, CUF has a strong basis from which to work.

Review of 2023 continued

Financial Review

Overview

Income and Expenditure

Reserves policy

Investment policy and performance

Delivering public benefit

Structure, Governance and Management

Governing documents

Trustee induction and training

Management and organisational structure

Governance structure

Fundraising

n Legacies

Protecting people in vulnerable circumstances when fundraising

CUF Principal Risks

Going concern

Key management personnel remuneration