Crossroads Church, Ashington Report and Unaudited Accounts
30 September 2023
## **Crossroads Church, Ashington Report and accounts Contents**
||**Page**|
|---|---|
|Trustees' Annual Report|1 to 5|
|Statement of Trustees' Responsibilities|6|
|Independent Examiner's Report|7|
|Statement of Financial Activities|8|
|Balance Sheet|9|
## **Crossroads Church, Ashington Trustee's Annual Report For The Year Ended 30 September 2023**
The Trustees present their Annual Report and the unaudited financial statements for the year ended 30 September 2023
## **Objectives and Activities**
The principle objectives of the Charity are the advancement of the Christian Faith and the relief of persons who are in need, hardship or distress, or who are aged or sick.
The provision of instruction in the Christian Faith at any educational establishment, and to give practical support and service to the local communities in Ashington and surrounding areas.
To promote life skills and healthy living options. To work with children and young people and promote and organise any other charitable activity which the trustees may from time to time decide.
The Charity is committed to achieving results for the public benefit and due regard is always given to this objective in all its work it undertakes in the community.
## **Vision**
Inspiring and supporting the local community. Vision that guides us.
We will promote our Christian aims and ideas through our engagement with people in our community
## **Mission Statement**
To encourage the development of the Christian Faith in Church Members. To serve the local community through practical help and support.
## We will achieve this:
Through teaching and pastoral support that will encourage, strengthen individuals and groups that will empower them to make and give help and support to others.
We will work in partnership with other churches.
We will work in partnership with the local authority, charity groups and educational establishments.
## **Our Values/Beliefs**
We are committed to the values of the Christian Faith, and we have a passion to share this with others.
We believe that its message can and does make a difference to a person’s life.
## **Summary of Main Activities**
The Church was constituted by a Declaration of Trust on 8 December 1982. A new Declaration of Trust dated 23 June 2005 supersedes this.
There are currently three Church Elders along with the Treasurer, Trustees, Pastoral Team and Administration Team who deal with the practical affairs of the Church with additional pastoral support from the Rev. Brian Howell.
The year from October 2022 to September 2023 has been a continued year of change for the church. Post Covid the church has settled back into regular Sunday meetings using the Salvation Army premises in Ashington each week. Numbers attending the church have been fairly consistent although not at pre covid levels. We went into this financial year having already made the decision that Crossroads Church coffee shop couldn’t continue in its present form. We continued to open two days per week until December 2022 when the shop finally closed with the redundancy of our one remaining employee. Later in the same month we reopened the shop as a Warm Space to meet the continued need in the community for somewhere to go and have a warm drink and some food. This was staffed entirely by volunteers and has continued to operate twice a week over the past year. Some small set up grants and donations by people using the service has meant the facility can continue to meet the needs of our local community while now running on a financially sustainable basis.
1
## **Summary of Main Activities (continued)**
Several Church members are actively involved with voluntary work within their local community. The Church supports and is involved with the local partnership of Churches Together in Ashington and Newbiggin.
The Church has had a settled period using the Salvation Army meeting hall during the period of reporting however after this year end due to the hall closure it has been necessary to move venues again.
.
## **Plans for Future Development**
The Church objectives continues to be met together for worship, prayer, teaching and support whilst encouraging others to join us. We are delighted with the way the Warm Space has gone, taking over from the coffee shop, meeting many needs in the community. This has been due in no small part to the efforts of a small but dedicated group of volunteers both from Crossroads Church and from others, headed up by Christine Rogers. We plan to continue with this in the foreseeable future.
## **Activities for the Public Benefit**
The trustees confirm that they have complied with the duty to have due regard to the Charity Commission’s general guidance on public benefit when reviewing aims and objectives and in the planning of future activities. The trustees are committed to ensuring that all its acts of worship services are available to all in the local community. No individual is excluded from playing an active part in the affairs of the Church because of race, ethnicity, gender or disability or sexuality or by geographic location unless there are restrictions on them following a DSB check for those who want to work within the children and youth department, this also applies to anyone who wants to become involved with visiting the elderly, sick or a person with a disability within the church fellowship or in the local community.
The venues that the Church rents for its Sunday services and for the mid-week meetings and for its other activities during the year are fully accessible. Its meetings are advertised on a regular basis and are promoted on the Church web site.
## **Achievements and Performance**
The trustees would like to record their thanks to the church members for their continued generous support financially and otherwise .
2
## **Achievements and Performance (continued)**
Usually ,interactive, positive services are held with modern songs and music, and those attending the service are encouraged to participate in the various meetings.
The Church continues to support various missionary or aid works at home or overseas, and during the current year it has contributed from its funds £4,094 to various organisations and cases of individual need (up from £4,699 the previous year). We will continue to look for opportunities to provide support in the future.
## **Financial Review**
Surplus for the year £7,293.
Income from the church ahs fallen slightly over the last year. The costs of closing down the coffee shop in December had been provided for in the previous accounts and were as anticipated. The generous donations made at the Warm Space together with no longer having an employee to pay has meant that the year end has resulted in a small surplus and this shows it is financially viable to continue with the Warm Space.
## **Review of Financial Results and Reserves**
The surplus/deficit for the year has been credited/debited to reserves as follows:-
|Unrestricted funds
Restricted funds
Total surplus/deficit
General reserves
Fixed assets fund
Total reserves carried forward
**Income and Expenditure**
Church
2023
£
Gross Income (&grants)
18,800
Expenditure
12,207
Surplus/(Deficit)
6,593
As a result of this the total reserves at the 30thSeptember|Unrestricted funds
Restricted funds
Total surplus/deficit
General reserves
Fixed assets fund
Total reserves carried forward
**Income and Expenditure**
Church
2023
£
Gross Income (&grants)
18,800
Expenditure
12,207
Surplus/(Deficit)
6,593
As a result of this the total reserves at the 30thSeptember|2023
£
7,293
-
_______
7,293
_______
72,207
55,000
_______
127,207
_______
Coffee
Shop/ Warm Space
2023
£
14,319
22,646
2023 which are to be c|2022
£
-4,197
-
_______
-4,197
_______
64,914
55,000
_______
119,914
_______
Coffee
Church
Shop
2022
2022
£
£
19,559
7,232
10,655
24,320
arried forward are|
|---|---|---|---|
||6,593|-8,387|8,904
-17,088|
The Church transferred £12,563 from its funds to support the Coffee Shop during the year.
3
|**Summary of Results**
Church surplus
Coffee Shop deficit/surplus
Add:
Bank interest received
Other – Redundancy provision/stock revaluation
Less:
Governance costs
Net Surplus
The Net Assets of the Charity
as at 30 September 2022 were|2023
£
6,593
(8,322)
731
8,746
7,743
450
7,293
127,207|2022
£
8,904
(17,088)
106
4,331|
|---|---|---|
|||(3,747)
450|
|||(4,197)|
|||119,914|
## **Trustees Expenses**
Exepenses of £330 were refunded to D Todd for items purchased during the year.
## **Structure, Governance and Management**
Crossroads Church was constituted by a Declaration of Trust on 8 December 1982. A new Declaration of Trust dated 23 June 2005 supersedes this.
Crossroads Church is a membership organisation and is managed by appointed Elders and with other appointed Church Officials and Trustees. Regular formal management meetings are held throughout the year. The Church has its own constitution for the governance of the spiritual and moral welfare of its religious activities The Church holds an Annual General meeting and also other regular meetings. The members receive details of the business meetings through the publishing of the minutes.
## **Staffing**
The Church employed a full-time manager and one part time catering assistants at its Coffee Shop. The part time member of staff resigned due to ill health just before the year end. As at the year end the manager was serving a twelve week redundancy period. They also retain the freelance services of the Rev B Howell for pastoral support and other ministry duties.
## **Report of a Serious Incident**
The trustees confirm that they have not had to report any serious incident or issue to the Charity Commission in this financial year.
The Church members responsible for safeguarding issues are Mrs C. Rogers assisted by Mr D.Bruce
## **Policy for Monitoring and Review**
The level of reserves and the financial affairs of the Charity are monitored on a regular basis. An annual review is also undertaken to ensure that the overall level of reserves continues to meet the needs of the Charity.
## **Risk Strategy**
The major risks to which the Charity is exposed to is reviewed on a regular basis, and the Trustees are aware that with an ageing congregation, that new robust initiatives need to be put in place over the next few years to address this problem. The Trustees along with other Church officials are continuing to review its policies and procedures to ensure that they comply with current legislation. Over the last few years it has become clear that running the coffee shop in its existing form could not be sustained financially and therefore the decision was taken to close this. So far, as previously shown the Warm Space we have set up in its place has been a great success. We will continue to review the viability of this going forward.
4
**Reference and Administration Details** Charity Name Crossroads Church Charity Number 513430 Principal Address 109 Front Street Newbiggin by the Sea Northumberland NE64 6AD Board of Trustees W G S Rogers D Todd M J Graham Independent Examiner Walsh & Co Chartered Accountants 103 Station Road Ashington Northumberland NE63 8RS Bankers Unity Trust Bank plc Nine Brindley Place Birmingham B1 2HR
The Trustees conclude their Annual Report in recording their sincere thanks to the staff at the Coffee Shop, the volunteers at the Warm Space, the volunteers, the Church officials, the worship and musical teams and all other participants who have contributed to the church activities during the last financial year.
## **Approval**
This report was approved by order of the Board of Trustees on and signed on its behalf by
W G S Rogers Trustee
M J Graham Trustee
5
**Crossroads Church, Ashington** STATEMENT OF THE TRUSTEES RESPONSIBILITIES
Charity law requires the Trustees to prepare Financial Statements for each financial year which give a true and fair view of the state of affairs of the Charity and of its financial activities for that period. In preparing those Financial Statements the Trustees are required to:
- Select suitable accounting policies and apply them consistently.
- Make judgements and estimates that are reasonable and prudent.
- State whether applicable accounting standards have been followed.
- State whether applicable statements of recommended practice have been followed.
- Prepare the Financial Statements on the going concern basis.
The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the Charity and to enable them to ensure that the accounts comply with current legislation. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud or other irregularities.
6
**Crossroads Church, Ashington**
## **INDEPENDENT ACCOUNTANTS REPORT TO THE TRUSTEES OF CROSSROADS CHURCH, ASHINGTON FOR THE YEAR ENDED 30 SEPTEMBER 2023**
I report on the accounts of the Charity for the year ended 30 September 2023, which are set out on pages 9 to 15.
## **Respective responsibilities of trustees and examiner**
The charity’s trustees are responsible for the preparation of the accounts. The charity’s trustees consider that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.
It is my responsibility to:
examine the accounts under section 145 of the 2011 Act;
to follow the procedures laid down in the general Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act; and
to state whether particular matters have come to my attention.
## **Basis of independent examiner’s report**
My examination was carried out in accordance with the general directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the accounts presented with those records. It also includes consideration of any unusual items or disclosures in the accounts and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the accounts present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.
## **Independent examiner’s statement**
In connection with my examination, no matter has come to my attention which gives reasonable cause to believe that in any material respect the requirements:
to keep accounting records in accordance with section 130 of the 2011 Act; and to prepare accounts which accord with the accounting records and comply with the accounting requirements of the 2011 Act, have not been met; or
To which in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.
Walsh & Co Chartered Accountants 103 Station Road Ashington Northumberland NE63 8RS
20 May 2024
7
## **Crossroads Church, Ashington Statement of Financial Activities for the year ended 30 September 2023**
|**Note**
**Unrestricted**
**Funds**
**£**
**Incoming Resources**
Income and Endowment From:-
Donations and legacies
18,800
Charitable Activities
15,050
Investments
-
Other
-
**Total**
3
33,850
**Resources Explained**
**Expenditure on:**
Charitable Activities
34,853
Governance Cost
450
Redundancy Provision/Stock Revaluation
(8,746)
**Total**
4
26,557
**Net Income/ (expenditure)**
7,293
**Reallocation of funds:**
Total Funds brought forward
119,914
**Total Funds carried forward**
10
127,207|**Restricted**
**Income**
**Funds**
**£**
-
-
-
-
-
-
-
-
-
-
-
-|**2023**
**£**
18,800
15,050
-
-
33,850
34,853
450
(8,746)
26,557
7,293
119,914
127,207|**2022**
**£**
19,559
7,338
-
-|
|---|---|---|---|
||||26,897|
||||34,975
450
(4,331)|
||||31,094
(4,197)
-
-
124,111|
||||119,914|
The statement of financial activities includes all gains and losses in the year. All incoming recourses expended derive from continuing activities.
8
## **Crossroads Church, Ashington Balance Sheet as at 30 September 2023**
||**Notes**||**2023**||**2022**|
|---|---|---|---|---|---|
||||**£**||**£**|
|**Fixed assets**||||||
|Tangible assets|6||55,000||55,000|
|Investments|||-||-|
||||55,000||55,000|
|**Current assets**||||||
|Stocks||300||300||
|Cash at bank and in hand|8|74,947||73,810||
|||75,247||74,110||
|**Creditors: amounts falling due**||||||
|**within one year**|5|(3,040)||(9,196)||
|**Net current assets**|||72,207||64,914|
|**Total assets less current**||||||
|**liabilities**|||127,207||119,914|
|**Net assets**|||127,207||119,914|
|**Funds of the Charity**||||||
|Unrestricted funds|||127,207||119,914|
|**Total Funds**|10||127,207||119,914|
The financial statements were approved by the Board of Trustees on and were signed on its behalf by:
W G S Rogers Trustee
The notes on pages 11 to 15 for part of these financial statements.
9
**Crossroads Church, Ashington Notes to the unaudited financial statements for the year ended 30 September 2023**
## **1 Basis of Preparation**
## _**Basis of Accounting**_
The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain financial assets and liabilities and properties measured at fair value through the statement of financial activities. 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 (FRS102) issued on 16 July 2014 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS102) and the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS102. The financial statements have been prepared on the going concern basis which assumes that the Charity will continue in operational existence for the foreseeable future.
## Transition to FRS102
The entity transitioned from previous UK GAAP to FRS 102 as at 1 October 2015.
## **2 Accounting Policies Income**
The main source of income is from Church donations and Coffee shop sales with provision being made for any outstanding accounts at the end of the financial year.I the last year government and local government grants have supported the coffee shop finances during the covid pandemic.
## _**Expenditure**_
This includes Expenses of the Charity with provision being made for any outstanding accounts at the end of the financial year.
Expenditure on items of equipment are written off in the Income and Expenditure Account in the year of purchase.
## _**Depreciation**_
The Coffee Shop freehold and property improvements have not been depreciated as fair value has been applied.
## _**Stocks**_
Stock items are valued at cost.
## _**Fund Accounting**_
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
10
## **Crossroads Church, Ashington NOTES TO THE UNAUDITED FINANCIAL STATEMENTS for the year ended 30 September 2023**
_This schedule does not form part of the statutory accounts_
|**3 ANALYSIS OF INCOME**
Donations from church services
Gift aid reclaimed
Coffee shop sales /Warm Space donations
Bank interest
Other/grant support
**TOTAL INCOME**
**4 ANALYSIS OF EXPENDITURE**
The analysis of the total resources expended is:
Church Running Costs
Ministry Cost
Charity Giving
Premises Rent and Equipment
Administration
Coffee Shop
Wages
Purchases
Premises Running Cost
Administration
Amendment to redundancy provision
Stock write down
Total Resources expended on charitable activities
The analysis of the Governance cost is:
Independent Examiner’s Remuneration
Total unrestricted resources expended|**2,023**
**£**
15,450
3,350
13,319
731
1,000
33,850
2,633
4,094
4,155
1,325
12,207
12,647
4,359
3,729
1,911
8,746
-
-
13,900
26,107
450
26,557|**2,022**
**£**
15,744
3,815
6,339
106
893|
|---|---|---|
|||26,897|
|||1,490
4,699
3,119
1,347|
|||10,655|
|||18,981
428
3,403
1,508
4,331
-
-|
|||19,989|
|||30,644|
|||450|
|||31,094|
11
**Crossroads Church, Ashington NOTES TO THE UNAUDITED FINANCIAL STATEMENTS for the year ended 30 September 2023** _This schedule does not form part of the statutory accounts_
## **6 TANGIBLE FIXED ASSETS**
|Cost or Valuation
As at 1 October 2022
Disposals
As at 30 September 2023
Depreciation
As at 1 October 2022
Charge for the year
Disposals
As at 30 September 2023
Net Book Value at 30 September 2023|**Freehold**
**Property**
**2023**
**2022**
**£**
**£**
**£**
55,000
55,000
55,000|
|---|---|
||55,000
55,000
55,000|
||-
-
-
-
-
-
-
-
-|
||-
-
-|
||55,000
55,000
55,000|
The charity owns the freehold property of the Church Coffee Shop at 4 Myrtle Street, Ashington. The gross cost was £51,900; a grant of £25,000 was received from the Coalfields Regeneration Trust leaving a net cost of £26,900. Some improvements have been carried out to the premises and the net cost to Church funds after grants received was £11,817. The net investment in property is therefore £38,717. The property was assessed in April 2018 by an independent professional valuer. The fair value of the property is estimated to be £55,000 and an appropriate adjustment has been made in the accounts. No depreciation charge is necessary.
12
## **Crossroads Church, Ashington NOTES TO THE UNAUDITED FINANCIAL STATEMENTS for the year ended 30 September 2023**
_This schedule does not form part of the statutory accounts_
|7 Debtors
Coffee Shop Accounts
8 CASH AT BANK
The bank balances at 30 September 2023 were as follows:
Church deposit account
Church main account
Coffee Shop Account
Cash in hand|2023
2022
£
£
0
0|
|---|---|
||36362
35631
28686
35106
9799
2973
100
100|
||74947
73810|
13
## **Crossroads Church, Ashington NOTES TO THE UNAUDITED FINANCIAL STATEMENTS for the year ended 30 September 2023**
_This schedule does not form part of the statutory accounts_
## 9 CREDITORS
|Sundry Coffee Shop/ Warm Space account
Sundry Church accounts
Redundancy Liability
10 CHARITY FUNDS
Analysis of net assets between funds
Fund Balances at 30 September 2023
are represented by:-
Tangible Fixed Assets
Net Current Assets
Total Net Assets|s
Unrestricted
Funds
Restricted
Funds
£
£
55000
0
72207
0|2590
0
450
450
0
8746|
|---|---|---|
|||3040
9196|
|||
Designated
Funds
Total
£
£
0
55000
0
72207|
||127207
0|0
127207|
## 11 CHARITABLE RATES RELIEF
The Charity has received the statutory 80% rates relief in respect of its freehold property at 4 Myrtle Street, Ashington.
## 12 CAPITAL COMMITMENTS
There were no capital commitments as at 30 September 2023
## 13 PENSIONS
A workplace pension scheme with auto enrolment for eligible staff until the closure of the coffee shop and the redundancy of the last employee.
## 14 RELATED PARTY TRANSACTIONS
There were no material transactions with related parties during the year.
14
## **Crossroads Church, Ashington NOTES TO THE UNAUDITED FINANCIAL STATEMENTS for the year ended 30 September 2023**
_This schedule does not form part of the statutory accounts_
## 15 CHARITABLE GIVING
The gifts made by the Church during the year were £4,094 (2022 £4,699). They were made to the following:
|Samaritan’s Purse
Compassion
Open Doors
Premier Radio
Salvation army
External gifts
In House Gifts
TOTAL|£
600
28
600
600
400
1000
866|
|---|---|
||4094|
## 16 UNLIMITED CONTROLLING PARTY
In the opinion of the trustees, although they have the legal responsibility for the safeguarding of the assets of the Charity, the ultimate control of the Charity is with the membership of the Church.
15