2021-03-31-accounts - The Churches Of God In UK

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Company registered number 2350280

THE CHURCH OF GOD IN UK (Formerly known as Overseas Mission Christian Fellowship Ltd) (Company registered by guarantee no. 2350280, registered charity no. 298835)

ANNUAL REPORT AND UNAUDITED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2021

NfP Accountants Ltd

THE CHURCH OF GOD IN UK

(Company limited by guarantee no. 2350280, registered charity no. 298835)

REPORT AND FINANCIAL STATEMENTS For the year ended 31 March 2021

CONTENTS
	Page
Reference and administrative Information	1
Trustees' Annual Report	2
Independent Examiner's report	5
Statement of financial activities	6
Balance sheet	7
Statement of cash flows	8
Notes to the financial statements	9

THE CHURCH OF GOD IN UK

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS For the year ended 31 March 2021

Registered name The Church of God in UK Company reg. no. 2350280 Charity reg. no. 298835 Registered office 141 Elm Park Tulse Hill London SW2 2EE Trustees Tsz Lai Choy Oi Wang Tam (appointed 01 June 2021) Kam Yiu Tsang (appointed 01 June 2021) Choi Kwai Lam (appointed 12 October 2021) Kam Tong Lau (appointed 12 October 2021) Wai Kwong Leung (appointed 12 October 2021) Lawrence Hon Mon Tang (resigned 12 October 2021) Simon Hon Ming Wong (resigned 12 October 2021) Tommy Kam Wing Ng (resigned 01 June 2021) Hayley Lin Hy Liu (resigned 12 October 2021) Nancy Ung (resigned 12 October 2021) Company secretary Kenny Weng Seng Lock Independent Examiner Charles Ssempijja, FCA NfP Accountants Ltd Chartered Accountants 3rd Floor, 86-90 Paul Street London EC2A 4NE Bankers HSBC Bank plc 512 Brixton Road London SW9 8ER

THE CHURCH OF GOD IN UK

TRUSTEES' ANNUAL REPORT

For the year ended 31 March 2021

The trustees present their annual report and financial statements of the charity for the year ended 31 March 2021. Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the charity's governing document, and the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014, as updated on 2 February 2016 (SORP 2015), and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102).

Taking advantage of the small charities provision in Section 4.6 and 4.22-4.26 of the same SORP, the trustees have reported income and expenditure on a natural basis.

STRUCTURE, GOVERNANCE, AND MANAGEMENT

The charity is a charitable company limited by guarantee and is governed by a memorandum and articles of association dated 25 October 1988.

Purposes and aims, and principal activities

The objective and principal activity of the charity is the advancement of the Christian religion, for the public benefit, through faith-based activities, including congregations, visits, cell groups, youth development, Sunday school, and other charitable activities.

Policies adopted for the induction and training of Board of Trustees

Where need is identified, new trustees are selected mainly from within the Matured Christians in the congregtaion. Current Trustees identify other members of the congregation who are considered to have the necessary skills, interests, and spiritual understanding of our Christian teaching in furthering the fatih of Christianinty through various charitable work.

Related party relationships

The charity has considered the disclosure requirements of the SORP for related party relationships. The charity has no related party connections with other organisations. The trustees consider that the members of the board and their close connections to be the only related parties of the charity. Details of trustee expenses and related party transactions are disclosed in notes 4 and 5 to the accounts.

Risk management

The Trustees have considered the key risks affecting the charity and are satisfied that there measures are in place to mitigate those risks.

Achievements and Performance

The activity of the charity continues to be that of missionary work and advancement of the Christian faith.

The year 2020-21 was a year of Cov-19. With the closure of all worship and meeting places, and restriction placed on social interactions, we have been able to conduct all meetings and worship virtually by using Zoom. This enables the Charity to continue to provide moral, social and spiritual interactions, and support our Church congregations who joined on-line throughout the UK.

THE CHURCH OF GOD IN UK

TRUSTEES' ANNUAL REPORT

For the year ended 31 March 2021

With the introduction of the new special class Hong Kong BNO visa by the UK around July 2020, many from Hong Kong have migrated to the UK, including a very large number from our related Churches in Hong Kong who have also taken this opportunity to migrate to various cities and towns throughout the UK. As a result our congregations have now exceeded well over 250.

With the help of our fantastic group of dedicated and cheerful volunteers, the Charity was able to provide much needed help to many immigrant families from Hong Kong that came to the UK during the restriction period as much as it was legally permissible. Services and help from where to live, renting or buying houses, purchase of cars, how to register with a GP and finding schools to offering church services and various social activities were available online or through various WhatsApp groups. Hopefully these services would provide a head start and help with easing the huge burden of migration on families, especially with young children so that they are able to re-settle and integrate into the UK way of living smoothly.

In response to the increasing demand of many new Hong Kong immigrants for our local knowledge and services to re-settle in the UK, our Charity is expanding and opening up new worship places and centres in most cities and towns within the UK including Manchester, Leeds, Nottingham, Edinburgh, Bolton, Warrington, Milton Keynes, Reading plus others.

These expansions will be funded by our associate parent Church in Hong Kong via multiple generous five year interest free and initial five year non repayment loan schemes to a sum of over £2 million.

A loan of £500,000 for the purchase of a new meeting place at 236 Longbridge Lane, Birmingham B31 4RD was received in December 2020.

Hopefully 2021-22 will be a year where we are able to provide local knowledge and services to help these new immigrants to re-settle no matter where they are in the UK.

Statement of Public benefit

The Board of Trustees confirm that they have complied with their duty to have due regard to the guidance on public benefit published by the Charity Commission in exercising their powers or duties.

FINANCIAL REVIEW

Financial Position

During the year the charity achieved net income of £3,517 (compared to net income of £12,835 last year), increasing total funds from £558,323 to £561,840. Restricted funds, representing project funds received but not yet expended, increased from £20,421 to £3,159. Unrestricted funds reduced from £537,902 to £558,681, from which the trustees have designated £441,225 to represent the value of fixed assets, and £, for a summer activity fund. The trustees consider this position to be adequate and aim to build and retain reserves to cover six months operating costs.

Reserves Policy

The charity currently has no reserves policy.

Going Concern

After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concerns basis in preparing the financial statements.

THE CHURCH OF GOD IN UK

TRUSTEES' ANNUAL REPORT

For the year ended 31 March 2021

TRUSTEES' RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS

The charity 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).

The law applicable to charities in England and Wales requires the charity trustees to prepare financial statements for each year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, of the charity for that period. In preparing the financial statements, the trustees are required to:

Select suitable accounting policies and then apply them consistently;
Observe the methods and principles in the applicable Charities SORP;
Make judgments and estimates that are reasonable and prudent;
State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
Prepare the financial statements on the going concern basis unless it is inappropriate to assume that the group will continue in business.

The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Charity's governing document. They are also responsible for safeguarding the assets of the charity and taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website in accordance with legislation in the United Kingdom governing the preparation and dissemination of financial statements.

PREPARATION OF THE REPORT

This report has been prepared taking advantage of the small companies exemption of section 415A of the Companies Act 2006.

APPROVAL OF THE REPORT

This report was approved by the Board of Trustees on ……………………… and signed on their behalf by:

………………………………………………… Joshua Tsz Lai Choy

Trustee

THE CHURCH OF GOD IN UK

INDEPENDENT EXAMINER'S REPORT TO THE BOARD OF TRUSTEES For the year ended 31 March 2021

I report on the accounts of the charity for the year ended 31 March 2021.

Responsibilities and basis of report

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

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

Independent examiner's statement

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

(a)1. accounting records were not kept in respect of the Trust as required by section 130 of the Act; or

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

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

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

Disclosure: Departure from the 2008 Regulations

Your attention is to drawn to the fact that the Company has prepared the financial statements in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice, published on 16 July 2014 in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has since been withdrawn.

We understand that this has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

………………………………..

Charles Ssempijja, FCA

NfP Accountants Ltd 3rd Floor, 86-90 Paul Street London

EC2A 4NE Date: …………………………………….

THE CHURCH OF GOD IN UK

STATEMENT OF FINANCIAL ACTIVITIES

(incorporating Income and Expenditure Account & Statement of Total Realised Gains and Losses) For the year ended 31 March 2021

Unrestricted Funds Note 2021 £ INCOME FROM Gifts, grants and donations 41,613 Gift aid recovered 11,269 Rental income 4,430 25 TOTAL INCOME 57,337 EXPENDITURE ON Rent and meeting room hire - Council tax 1,525 Water 1,226 Insurance 2,074 Light and heat 3,006 Telephone / fax / internet 783 Repairs and renewals 1,849 Legal and professional fees 7,369 Depreciation 10,954 Sundry expenses - Independent examiner's fees 720 Donations to other charities 7,052 TOTAL EXPENDITURE 36,558 20,779 NET MOVEMENT IN FUNDS 20,779 RECONCILIATION OF FUNDS TOTAL FUNDS AT 1 APRIL 2020 537,902 TOTAL FUNDS AT 31 MARCH 2021 558,681 £ Net income / (expenditure) Other income	Restricted Funds 2021 £ 17,847 - - -	Total Funds 2021 £ 59,460 11,269 4,430 25	Unrestricted Funds 2020 £ 47,228 5,958 5,000 10	Restricted Funds 2020 £ 16,331 - - -	Total Funds 2020 £ 63,559 5,958 5,000 10
57,337	17,847	75,184	58,196	16,331	74,527
- 1,525 1,226 2,074 3,006 783 1,849 7,369 10,954 - 720 7,052	- - - - - - - - - - - 35,109	- 1,525 1,226 2,074 3,006 783 1,849 7,369 10,954 - 720 42,161	10,515 2,408 1,145 1,974 3,722 534 140 - 10,503 31 720 30,000	- - - - - - - - - - - -	10,515 2,408 1,145 1,974 3,722 534 140 - 10,503 31 720 30,000
36,558	35,109	71,667	61,692	-	61,692

20,779	(17,262)	3,517	(3,496)	16,331	12,835

20,779	(17,262)	3,517	(3,496)	16,331	12,835
537,902	20,421	558,323	541,398	4,090	545,488
558,681 £	3,159 £	561,840 £	537,902 _£ _	20,421 _£ _	558,323 _£ _

The annexed notes form part of these financial statements

THE CHURCH OF GOD IN UK

(Company limited by guarantee, number 2350280; Registered charity number 298835)

BALANCE SHEET As at 31 March 2021

Notes 2021 £ £ FIXED ASSETS Tangible assets 6 441,225 CURRENT ASSETS Cash at bank and in hand 621,335 CREDITORS: amounts falling due within one year 7 (720) NET CURRENT ASSETS 620,615 TOTAL ASSETS LESS CURRENT LIABILITIES 1,061,840 CREDITORS: amounts falling due after one year 8 (500,000) NET ASSETS 561,840 £ FUNDS Restricted funds 9 3,159 Unrestricted funds: Designated funds 9 441,225 General fund 9 117,456 TOTAL CHARITY FUNDS 561,840 £	£ 130,675 (720)	2020 £ 428,368 129,955

		558,323 -
		558,323 _£ _
		20,421 428,368 109,534
		558,323 _£ _

For the year ended 31 March 2021 the Company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

(i) The members have not required the Company to obtain an audit of its accounts for the year in question in accordance with section 476;
(ii) The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

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

The financial statements were approved, and authorised for issue, by the Board of Trustees on ……………………… and signed on their behalf by:-

Joshua Tsz Lai Choy, Trustee

The annexed notes form part of these financial statements

THE CHURCH OF GOD IN UK

STATEMENT OF CASH FLOWS For the year ended 31 March 2021

£ £ Cash flows from operating activities Net income / (expenditure) for the year 3,517 Add back depreciation 10,954 14,471 Net cash provided by / (used in) operating activities (Increase)/decrease in debtors - Increase/(decrease) in creditors - - Cash flows from investing activities (23,811) Cash flows from financing activities Loan from sister Church in Hong Kong 500,000 Change in cash and cash equivalents in the year 490,660 Cash and cash equivalents at the beginning of the year 130,675 Cash and cash equivalents at the year end 621,335 2021	2020	2020
	£ 12,835 10,503 - -	£ 23,338 - - -
		23,338 107,337
		130,675

THE CHURCH OF GOD IN UK

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021

1. ACCOUNTING POLICIES

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued on 16 July 2014, as updated on 2 February 2016 (SORP 2015), and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011.

Income and expenditure have been analysed on a 'natural basis, taking advantage of section 4.6 of the SORP.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair view'. This departure has involved following SORP 2015 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 (SORP 2005) which has since been withdrawn.

Public benefit entity

The charitable company meets the definition of a public benefit entity under FRS 102.

Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.

Key judgements that the charity has made which have a significant effect on the accounts include estimating income and expenditure for the next 12 months.

Income

Income is recognised when the charity has entitlement to the funds: this is when any performance conditions attached to the income have been met, it is probable that the income will be received, and that the amount can be measured reliably.

Income is only deferred when: The donor specifies that the grant or donation must only be used in future accounting periods; or for performance related grants, where these are received in advance of the performances or specific event to which they relate.

Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

THE CHURCH OF GOD IN UK

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021

Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is considered all to relate to Charitable activities and includes the costs of delivering services undertaken to further the purposes of the charity and their associated support costs.

Tangible fixed assets and depreciation

Tangible fixed assets (excluding investments) are stated at cost less depreciation. Fixed assets with an expected life of more than one year are included at cost and depreciated over four years.

Debtors

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

Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

NET INCOME / (EXPENDITURE)	2021	2020
	£	£
Net income / (expenditure) is stated after charging:-
Depreciation	10,954	10,503
Independent Examination	720	720

3. STAFF SALARIES AND NUMBERS

The charity did not have employees or consultants during the year (2020 - the same). General administration and running of the charity was delegated to one of the trustees who does this work on a voluntary basis.

THE CHURCH OF GOD IN UK

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021

4. TRUSTEES' REMUNERATION AND EXPENSES

During the year, no trustees received any remuneration for their service as Trustees, or for any other services provided to the charity (2020 - the same).

During the year, no trustees received any benefits in kind (2020 - the same).

During the year, no trustees received reimbursements for out of pocket expenses incurred on the charity's behalf (2020 - the same).

5. RELATED PARTY TRANSACTIONS

Other than the trustees and their close connections, there are no other reportable related parties or related party transactions to disclose for 2021 (2020 - none).

6. TANGIBLE FIXED ASSETS

TANGIBLE FIXED ASSETS
Cost At 1 April 2020 Additions At 31 March 2021 Depreciation At 1 April 2020 Charge for the year At 31 March 2021 Net book value At 31 March 2020 At 31 March 2021	Freehold property £ 520,066 23,811	Furniture, fixtures & equipment £ 15,028 -	Total £ 535,094 23,811
	543,877	15,028	558,905
	92,003 10,878	14,723 76	106,726 10,954
	102,881	14,799	117,680
	428,063 _£ _	305 _£ _	428,368 _£ _
	440,996 £	229 £	441,225 £

THE CHURCH OF GOD IN UK

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021

7. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

	2021	2020
	£	£
Other creditors and accruals	720	720

8. CREDITORS: AMOUNTS FALLING DUE AFTER ONE YEAR

Loan from sister church in Hong Kong (all due after more than 5 years)	2021 £ 500,000	2020 £ -

As explained more fully in the Trustees' Annual Report, a loan of £500,000 for the purchase of a new meeting place at 236 Longbridge Lane, Birmingham B31 4RD was received in December 2020. This loan is part of a bigger plan for the charity to purchase more property with interest-free loan funding from its sister church in Hong Kong. The loan terms include non-repayment terms for the first five years.

9. STATEMENT OF FUNDS

Brought Forward £ 428,368	Incoming Resources £ -	Resources Expended £ -	Transfers and investment gains/(losses) £ 12,857	Carried Forward £ 441,225
428,368 £	Nil £	Nil £	12,857 £	441,225 £
20,421	17,847	(35,109)	-	3,159
20,421 £	17,847 £	(35,109) £	Nil £	3,159 £
428,368 109,534	- 57,337	- (36,558)	12,857 (12,857)	441,225 117,456
537,902 20,421	57,337 17,847	(36,558) (35,109)	- -	558,681 3,159
558,323 £	75,184 £	(71,667) £	Nil £	561,840 £

The Summer Activity Fund represents surplus in relation to previous summer activities held by the charity. The surplus fund is designated for future summer activities to be held by the charity. The fund balance at the year end was represented by cash in the bank.

The Fixed Assets Fund has been set up to assist in identifying those funds that are not free funds and it represents the net book value of tangible fixed assets.

THE CHURCH OF GOD IN UK

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021

The Light and love funds represent donations received for Light and Love Home Worldwide Charity Services. The fund balance of 3,159 at the year end was represented by cash in a separate bank account for holding the restricted funds. No payments were transferred to Light and Love Home Worldwide in the year (2020 - £11,330).

The General fund represents the free funds of the charity which are not designated for particular purposes. The fund balance at the year-end was represented by cash at the bank.

STATEMENT OF FUNDS - 2020

STATEMENT OF FUNDS - 2020
DESIGNATED FUNDS Fixed Assets Fund Summer Activity Fund RESTRICTED FUNDS SUMMARY OF FUNDS Designated Funds General Funds Restricted Funds Light and Love Fund	Brought Forward £ 459,945 285	Incoming Resources £ - -	Resources Expended £ - -	Transfers and investment gains/(losses) £ (31,577) (285)	Carried Forward £ 428,368 -
	460,230 £	Nil £	Nil £	(31,862) £	428,368 _£ _
	4,090	16,331	-	-	20,421
	4,090 _£ _	16,331 _£ _	Nil £	Nil £	20,421 _£ _
	460,230 81,168	- 58,196	- (61,692)	(31,862) 31,862	428,368 109,534
	541,398 4,090	58,196 16,331	(61,692) -	- -	537,902 20,421
	545,488 _£ _	74,527 _£ _	(61,692) £	Nil £	558,323 _£ _

THE CHURCH OF GOD IN UK

NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 March 2021

10. ANALYSIS OF NET ASSETS BETWEEN FUNDS

Unrestricted Funds	Unrestricted Funds	Restricted Funds £ - 3,159 -	Total Funds £ 441,225 620,615 (500,000)
Designated Funds £ 441,225 - -	General Funds £ - 617,456 (500,000)
441,225 £	117,456 £	3,159 £	561,840 £
		Restricted Funds £ - 20,421	Total Funds £ 428,368 129,955
Designated Funds £ 428,368 -	General Funds £ - 109,534
428,368 _£ _	109,534 _£ _	20,421 _£ _	558,323 _£ _

11. OTHER INFORMATION

The Church of God in UK is a charitable company limited by guarantee and without share capital, registered in England with registration number 2350280. Its registered office address is 141 Elm Park, Tulse Hill, London, SW2 2EE. The accounts are presented in GBP rounded to £1.