THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM TRUSTEES, AND DIRECTORS, REPORT AND AUDITED FINANCIAL STATEMENTS 31 DECEMBER 2023 (Reglstered Company Number: 001139121 (Re8iStered Charity Number.. 702637) *AD8ty27BDty 2410712024 COMPANIES HOUSE A15
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 REFERENCE AND ADMINISTRATIVE INFORMATION Charity name The Christadelphian Hall & Buildings Society, Birmingham. also known as CHBS Charlty reglstratlon number 702637 (England and Wales) Company registration number 00113912 (England and Wales) Reglstered and prlnclpal office 15 Church Close Dunston Stafford ST18 9AF Trustees and Dlrectors A S Firth- Secretary D C Gouldingay- Treasurer S J Ashton M G Green S P Griffiths K H Rawlings J Thompson Bankers HSBC plc 130 New Street Birmingham 82 4JU Solicitors Shakespeare Martineau LLP I Colmore Square Birmingham B4 6AA Investment adv5ser Portcullls Financial Planning Limited Office 10 GreenBox Westonhall Road Stoke Prior Bromsgrove B60 4AL R C Brown Investment Management PLC l The Square Temple Quay. Temple Back E Redcliffe, Bristol 8SI 6DG Auditor BK Plus Audit Limited Azzurri House Business Park Walsall Road Walsall WS9 ORB
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 TRUSTEES, AND DIREcfoRS' REPORT The Directors have pleasure in presenting their annual report and the financial statements of The Christadelphian Hall & Buildings Society, Birmingham for the year ended 31 December 2023. All Directors of the Society are also Trustees for the purposes of charity law; accordingly, in this report and in the financial statements 'Trustees" means both Trustees and Directors. This report and the accompanying financial statements have been prepared in accordance with the accounting policie5 set out in the notes to the financial statements and comply with the Society's governing document, the Charities Act 2011 and Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland, Charities SORP {FRS 1021 (second edition). Strurture, Governance and Management The Christadelphian Hall & Buildings Society, Birmingham is a company Ilmited by shares with charitable status. It has a Board of seven Trustees who are responsible for the governance of the charity in accordance with the Charities Act 2011 and under the Societvs governing document, Articles of Association, prepared in accordance with the Companies Act 2006. The governing document was last amended on IS February 2021. Trustees are typically elected for a three-year period by the Society's members having regard to their professional skills and experience. When a vacancy on the Board arises, nominations for a replacement may be made either by the other Trustees or by members for election at the next Annual General Meeting. By way of training, all Trustees are encouraged to read relevant available literature on charity law, practices and accounting including updates published by the Charity Commission on its website. New Trustees are additionally encouraged to attend Trustee meetings as observers before taking office. Relevant training course5 are also encouraged and occasionally arranged in-house. Day to day running of the charity is delegated by the Trustees to the Secretary, Alistair Firth, who is assisted in overseeing the CharItS operations and finances by the Treasurer. David Gouldingay, and Simon Griffiths, who takes the lead in property acquisitions and disposals. Internal controls appropriate to the size of the charity are exercised, including division of duties (to the extent feasible) and an internal audit is undertaken annually by one of the Trustees. The principal risks to which the charity is exposed, as identified by the Trustees, have been reviewed and systems or procedures have been established to manage those risks. These risks are primarily financial risk5 arising from the management of the charitvs properties, loan book and treasury operations. The Trustees meet online at least four times a year and, between regular meetings, remain in regular email or telephone communication with the Secretary and Treasurer over new loan and grant applications and any other business arising. Objectlves and Activities The objects of the charity are to promote and advance the religious work of the Christadelphian community for the public benefit, in particular through the provision or purchase of properties, and the lending (where legally permissible) or granting of funds. mainly towards the cost of purchasing, building or maintaining premises and land, in each case for the use of the Christadelphian community in providing access for the public to worship and Bible-based preaching and teaching. Grant support for the running costs of Christadelphian ecclesias may also be provided.
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 TRUSTEES, AND DIREcfoRS' REPORT- continued The Trustees review activities each year to ensure the charity remains focused upon delivering its stated objects for the public benefit. Public Benefit Com liance Statement In the exercise of their powers and duties for the Society's charitable objectives the Trustees have reviewed and had regard to the Charity Commission general guidance on public benefit. The grants, concessionary loans and rent-free property provided by the charity continue to benefit the access of the general public, regardless of race, religion, gender, ethnic or social background, to the Bible-based worship, teachings and Christian love of the Chrlstadelphian community throughout the UK and, to a lesser extent, overseas. These help to promote a fuller understanding of the human condition, relative to the eternal things of God, and sende to provide members of the public with direction, balance and purpose in today's complex world. Achievements and Performance The way applications arise for financial support makes it difficult for the Trustees to set meaningful objectives against which performance can be measured. However, an annual budget Is prepared and, as applications arise, the Trustee5 respond promptly other than where policy .decisions arise which require the decision of a full meeting of the Trustees. The provision of this sUPPOrt helps to ensure that appropriate premises remain available for promoting and advancing the religious work of the Christadelphian communitv. During the year donations received included non-cash donations in kind of 5 (2022 6) Christadelphian halls, and one other property (2022 - Nil), with total FRS102 gift values of £992,619 (2022 £1,061,745). Net gains on the sale of 3 (2022 2) vacated ecclesial halls reali5ed further income of £171.000 (2022 - £105,8621. No new loans were advanced to ecclesias in the year12022 - £Nil). Grants from unrestricted funds were made with a total value of £339,240 (2022 £240,387). Grants from restricted funds in the year were made with a total value of £286.085 {2022 - £Nil). Loan repayments received in the year amounted to £5,666 (2022 - £18,320). A further £Nil (2022 £63,056) of loan balances were settled by non-cash grants from the Society. At the year end, the Society owned 10 {2022 8) fixed asset properties, let rent-free to their ecclesial occupiers under its charitable objects. The Society continues to be in discussion with l {2022- a number of) ecclesias expressing interest in gifting their ecclesial halls to the Society for nil consideration and then leasing back that hall, for continued ecclesial use, on a rent-free basis. Discussions are currently in progress with l {2022 - number of) eccle5ias considering a possible future property gift to the Society for resale. The interest of certain ecclesias in offering the Society property 8ifts is driven by two main factors: (l} a shortage of willing property holding trustees; and {2) ageing ecclesial membership which foresees ecclesial closure within the medium term and wishes to protect property proceeds from tax risks for the long-term benefit of the Christadelphian community. At 31 December 2023, 1 (2022 - 5) proposed property gifts were at a sufficiently advanced stage to warrant noting as a Contingent Asset in Note 17 to the Financial Statements. ,At the end of the year the charity had outstanding loans to Christadelphian ecclesias of £21,467 {2022 - £27,133).
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY. BIRMINGHAM 31 DECEMBER 2023 TRUSTEES, AND DIREcfoRS' REPORT- continued Flnanclal Revlew The charity receives voluntary income donations, including periodic legacies or other lump sums. together with investment income. During 2023 the charity received unrestricted donations (including property gifts) of £706,630 (2022 - £1,061,946>. Restricted donations received in 2023 amounted to £286,025 (2022 Nil). The charity has no employees (2022 Nil) and no emoluments were paid to the Trustees during the year {2022- Nil). Income and ex enditure Net income for the year was £381,672 (2022 - £811,072) and there were net realised and unrealised gains on investments of £185,93812022 - £112,794). This included exceptional gains on sale of investment properties of £171,000 (2022 - £105,862). This resulted in a total increase in unrestricted funds of £561,185 (2022 - £922.908) and a total increase in restricted funds of £6,515 (2022 - £958). The Society is prohibited by its Articles of Association from paying dividends. Transfers between reserves During the year there was no {2022 - 1) transfers from restricted income funds to unrestricted funds for Nil (2022 £8,3471 upon reaching the date when donor restrictions ceased to apply. Transfers between the unrestricted general fund and the unrestricted revaluation reserve are set out in note 15 to the financial statements and arnounted to £178 to revaluation reserve (2022 £10,200 from revaluation reserve). In the year £455,068 (2022 £747,816) was also transferred to the unrestricted non-distrlbutable reserve from unrestricted general fund in relation to property gifts received in the year. Reserves ollc General reserves are required to fund: la) the charity's core loan-making activities, which may be up to £250,000 {2022- £250,0001' Ibl up to three years, running costs of around £670,00012022 - £590,0001 assuming annual grant payments of around £200,000 {2022 - £175,000): and (3) up to £250,000 (2022 - £250,000) to fund the prospective purchase of a hall for an ecclesia having many members or visitors who are asylum seekers or refugees with little or no income. Any reserves in excess of this level are applied to making further grants, which meet the grant-making criteria of the Charity Commission and the charity, at the earliest practicable date. Free reserves at the year-end comprised the general fund of £1,103,292 (2022 - £997,353), which are currently below the level of general reserves required. Transfers from restricted income funds to unrestricted income funds are only made when the conditions imposed by the relevant donor have been met. Gains arising from property gifts in kind to the charity are transferred to the non-distributable reserve until realised. Revaluation gains on quoted investments are transferred to unrestricted revaluation reserve until realised. New property gifts in kind are valued in the accounts after deducting from current professional valuation net present value discounts relative to the estimated future dates on which values can be realised in cash. These gift values are then transferred from general fund to a non- distributable reserve until realised. Annual reductions in discount relative to future realisation dates are treated as revaluation gains in the general fund and then transferred to the non- distributable reserve. The amounts of restricted, unrestricted, revaluation and non-distributable reserves held at the end of the year are respectively set out in notes 14 and 15 to the financial statements.
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 TRUSTEES, AND DIREcfoRS' REPORT- continued Investment erties held for resale Investment properties periodically held for resale and are marketed for onward sale at the time, and in the manner, recommended by professional advisers. ro Investment olic and return5 Investments are managed by the Trustees in conjunction with Portcullis Financial Planning Ltd and by R C Brown Investment Management PLC, on a discretionary basis within prescribed criteria. Investments are held in medium term balanced risk investments, for funds not required in the short term, and in fixed interest term deposits or interest-bearing instant access bank accounts, for other funds, so that approved new loans and grants can be paid promptly. Net assets At 31 December 2023, the Society held net assets of £2,596,704 (2022 - £2,029,004) available for appropriate ongoing charitable activities, subject to the donor restrictions set out in note 14 to the financial statements. The ear ahead Based on its financial forecasts the Trustees anticipate having sufficient financial resources to continue delivering the Society's charitable objects, God willing. Fixed Assets: Programme Related Investments Programme related investments are carried in the financial statements at either the FRS102 value gifted or the amount paid less, in the case of concessionary loans, repayments received, and less any impairment arising. In the opinion of the Trustees no such irnpairment had arisen at 31 December 202312022 - Nil). Responsibilities of the Trustees Company 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 charitable company as at the balance sheet date and of its income and expenditure for the financial year. In preparing those financial statements, the Trustees should follow best practice and.. select suitable accounting policies and then apply them consistentlyi make judgements and estimates that are reasonable and prudent; and prepare the financial statements on a going concern basis unless it is not appropriate to assume that the company will continue on that basis. The Trustees are re5pon5ible for maintaining proper accountin8 records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. The Trustees are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 TRUSTEES, AND DIRECTORS. REPORT~ continued Trustees and their Share Interests The Trustees who held office during the year and their beneficial share interests (including fathilii, interests) at the end of the year were as follows: Non-voting directors, shares of £1 2023 Non-voting directors, share of £1 Ordinary shares of £1 2023 Ordinary shares of £1 2022 2022 S J Ashton ASFirth D C Gouldingay M G Green S P Griffith5 K H Rawlings J Thompson 12 13 13 13 12 13 12 347 348 348 348 347 348 347 12 13 13 13 12 13 12 347 348 348 348 347 348 347 The companvs Articles of Association require each Trustee to own a minimum share qualification of S Ordinary shares of £1 each. None of the Trustee-owned shares have any dividend or capital entitlements so are of no economic value to their holders. Trustees and their Share Interests The Trustees approaching the conclusion of their three-year appointments under the Society's governing document are Mr S J Ashton and Mr S P Griffiths who will offer themselves for re- election at the 2024 Annual General Meeting, God willing. Small company provislon5 This report has been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies, regime. This report was approved by the Board on 30 May 2024 and signed on its behalf by.. ASFirth Secretary
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM I'the Companv) Opinion We have audited the financial statement5 of The Christadelphian Hall & Buildings Societv, Birmingham (the 'charitable company,) for the year ended 31 December 2023 which comprise the Statement of Financial Activities, Balance Sheet and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financiol Reporting Stondord opplicable in the UK and Republic of Irelond (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements: give a true and fair view of the state of the charitable company's affairs as at 31 December 2023, and of. its incoming resources and application of resources, including it5 income and expenditure, for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Companies Act 2006. Bas15 for opinion We conducted our audit in accordance with International Standards on Auditing {UK) (ISAS IUKI) 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 charitable company 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 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. Concluslons relatlng to EolnE 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 charitable company'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. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM ('the CompanV)- continued Other information The trustees are responsible for the other information. The other information comprises the information included in the trustees, annual report, other than the financial statements and our auditor's report thereon. 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. In connection with our audit of the financial statement5, our responsibility is to read the other inforrnation and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there Is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Oplnlons on other matters prescrlbed by the Cornpanles Art 2006 In our opinion, based on the work undertaken in the course of the audit: the information given in the trustees, report (incorporating the directors, report) for the financial year for which the financial statements are prepared is consistent with the financial statements; and the directors, report has been prepared in accordance with applicable legal requirements. Matters on whlch we are required to report by exceptlon In the light of our knowledge and understandin8 of the charitable company and its environrnent obtained in the course of the audit. we have not identified material misstatements in the directors, 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: adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us: or the financial statements are not in agreement with the accounting records and returns,. or certain disclosures of directors, remuneration specified by law are not made; or we have not received all the information and explanations we require for our audit; or
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY. BIRMINGHAM 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM ('the CompanV)- continued 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 directors, report Responsibilities of trustees As explained more fully in the trustees, responsibilities statement set out on page 13, 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 charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and uslng the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so. Audltorfs responslbllltles for the audlt of the flnanclal statements We have been appointed auditor under the Companies Act 2006 and report in accordance with this Act. Our objectlves 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 these financial statements. 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'5 report, Extent to which the audlt was consldered capable of detertlng Irregularltles, Includlng fraud 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. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below. 10
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM {'the CompanV)- continued From the preliminary stage of the audit, we ensure our understanding of the entity is up to date. This includes, but is not limited to, current knowledge of their activities, the business and control environments, and their compliance with the applicable legal and regulatory frameworks. This information supports our risk identification and the subsequent design of audit procedures to mitigate those risks. ensuring that the audit evidence obtained is sufficient and appropriate to support our opinion. In response to the risks identified, specific to this entity, we designed procedures which included, but were not limited to: Enquiry of management and those charged with governance around actual and potential litigation and claims. Reviewing minutes of meetings of those charged with governance, if available; Reviewing financial statement disclosures and testing to supporting documentatlon to assess compliance wlth applicable laws and regulations; Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale for Significant transactions outside the normal course of business. Use of our report This report is made solely to the charitable company's members, a5 a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we mlght state to the charitable companws 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 assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. 3kFI. Chrlstopher Hesslon C.A, (Senlor Statutory Audltor Date: 30 May. 2024 For and on behalf of BK Plus Audit Limited Azzurri House Walsall Road Aldridge Walsall WS9 ORB 11
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 STATEMENT OF FINANCIAL ACTIVITIES including Income and Expenditure Account for the year ended 31 December 2023 Unrestritted Restricted funds funds Total 2023 Unrestricted Restricted funds funds Total 2022 Note Income from: Donations and legacies Charitable actlvities: Insurance rechar8es receivable Investments-. Bank interest receivable Dlvldends and other bonuses receivable Rent receivable 706,630 286,085 992,715 1,061,946 1,061.946 9,678 9,678 6.419 6.419 12,152 6,515 18.667 1,138 958 2,096 6,828 3,170 6,828 3,170 2.731 20 2,731 20 Total income 738,458 292,600 1,031,058 1.072.254 958 1,073,212 Expendlture on: Cost of ralsing funds Investment mana8ers fees Charitable activitie5'. - Grants payable Insurance payable -support costs 1,859 1,859 1,963 1,963 339,240 11,788 10,324 286,085 625,325 11,788 10,324 240.387 7,30S 12,485 240,387 7.305 12,485 Total expenditure 363,211 286.085 649,296 262,140 262,140 Net Income before Investmenl 8alns 375,247 6,515 381,762 810,114 958 811.072 Net gains on investments 185.938 185,938 112,794 112,794 Net Incom• and net movement In funds 561,185 6,515 567,700 922,908 958 923.866 Release of restricted funds to unrestricted funds 8,347 {8.3471 Reconcillatlon of funds: Total funds brought forward 1.865,439 159,565 2.025,004 934.184 166,954 1,101,138 Total funds carried forward 2,426,624 166,080 2,592,704 1.865.439 159.565 2.025,004 The statement of financial activities is not materially different from the income and expenditure account required by the Companies Act 2006; accordingly, no separate income and expenditure account is presented. There are no recognised gains and losses for the current or prior financial years other than as stated above. Accordingly, no statement of total recognised gains and losses has been prepared. All of the activities of the company are continuing. 12
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 Company Reglstration Number: 00113912 BALANCE SHEET at 31 December 2023 Note 2023 2022 FIXED ASSETS Programme related Investments: Land and buildings Loans Investments: Investment Pfopertv Quoted Bank term deposits 1,273,508 21,467 908,396 27,133 118,781 322,101 255,000 1,990,857 187,632 170,000 1,293,161 io CURRENT ASSETS Debtors Cash at bank 11 14,658 595,704 610,362 4,515 15,404 730,618 746,022 10,179 CREDITORS.. AMOUNTS FALLING DUE WITHIN ONE YEAR 12 NET CURRENT ASSETS 605,847 735,843 TOTAL ASSETS LESS CURRENT LIABILITIES 2,596,704 2,029,004 THE FUNDS OF THE CHARITY Called up share capital Accumulated income funds". Restricted funds Unrestricted funds: General fund Revaluation reserve Non-distributable reserve Total unrestricted funds 13 4,000 4,000 14 166,080 159,S65 15 15 15 1,103,292 32,935 1,290,397 2,426,624 997,3S3 32.757 835,329 1,865,439 TOTAL CHARITABLE FUNDS 2,596,704 2,029,004 The Trustees acknowledge their responsibilities for: (11 ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006; and (2) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements. so far as applicable to the charitable companv. 13
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 BALANCE SHEET At 310ecember 2023 - continued These financial statements have been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 applicable to companies subject to the small companies, regime. The financial statements were approved by the Board of Trustees on 30 May 2024 and were signed on its behalf by: D C Gouldlngay Director 14
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY. BIRMINGHAM 31 DECEMBER 2023 NOTESTO THE FINANCIAL STATEMENTS for the year ended 31 December 2023 ACCOUNTING POUCIES Legal Status of the Charity The Christadelphian Hall & Buildings Society, Birmingham is a company limited by shares registered in England and Wales and a charity registered with the Charity Commission in England and Wales. Basls of Preparatlon These financial statements have been prepared in accordance with the Statement of Recommended Practice applicable to tharities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland, Charities SORP {FRS1021 (second edition - October 20191. The detailed accounting policies in use are described below: The charity meets the definition of a public benefit entity under FRS102. Assets and liabilities are initially recogni5ed at historical cost or transaction value unless otherwise stated in the relevant. accounting policy notes. Management judgements about the net present value of certain property gifts in kind may significantly affect gift values recognised in the financial statements- see Gifts in kind below. The charity maintains financial forecasts which indicate that it will have sufficient resources to meet its liabilities as they fall due and, on that basis, the Trustees are satisfied it is appropriate to prepare the financial statements on a going concern basis. Recognltlon of Income All income is included in the Statement of Financial Activities when the charity is legally entitled to the income, its receipt is probable and the amount can be measured reliably. Investment income receivable is allocated between restricted and unrestricted funds by reference to the individual income-producing assets which make up those funds. Gifts In klnd Fixed and current assets donated for use by the charity are recognised as income at their current value when receivable. The external valuations of some gifts are discounted to net present value relative to future dates, either 5 or 25 years ahead, when management estimates that realisation will take place. Investment properties held for onward sale are stated at independently advised selling prices less estimated acquisition costs and estimated disposal costs still to be incurred. Unrealised gains on fixed and current assets are transferred to a non-distributable reserve until realisation takes place. The charitvs balance sheet includes certain freehold land and buildings which were valued at their cost to the charity prior to the adoption of the present accounting policy. Their value has not been restated as the Trustees consider that the cost of ascertainin8 their values, when gifted long ago, is not justified by the additional benefit such information would provide to users of the financial statements. Recognition of Expenditure Expenditure is included in the Statement of Financial Activities on an accruals basis when, and to the extent that, a liability, legal or constructive, is incurred and can be reliably measured. 15
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTESTO THE FINANCIAL STATEMENTS for the year ended 31 December 2023 ACCOUNTING POLICIES- contlnued Recognltion of Expenditure - continued A constructive liability for a grant is considered to have been incurred when a grant offer has been issued to the recipient ecclesia and all grant conditions have been satisfied. Flxed Assets Investments: Programme Related Investments Programme related investments are made to further the objects of the charity and not for financial return. They comprise freehold properties held by the charity, let rent-free to an occupying Christadelphian ecclesia as part of the charitvs primary work, and concessionary loans to Christadelphian ecclesias for the acquisition, repair or improvement of premises and land for use by the Christadelphian community. Concessionary loans are unsecured and interest-free and are repayable within a 12 year period from inception. Programme related investments are measured in the balance sheet at the amount paid or FRS102 value gifted less, in the case of concessionary loans, repayments received, and less any impairment arising. Investments Investment properties held for onward sale are stated at their net realisable value on the balance sheet.. Where these properties derive from gifts in kind, unrealised gains are transferred to a non-distributable reserve. Investment properties held for income, pendlng eventual sale of a connected programme related investment property, are measured in the balance sheet at the amount paid or FRS102 value gifted less any impairment arising. Investments in quoted assets are stated at their fair value on the balance sheet date. Gains or losses on revaluation and investment assets disposals are shown in the Statement of Financial Activities. Unrealised gains are transferred to the revaluation reserve. Long terrn investments are classified as fixed assets. Short term investments are classified as current assets. Fund Accounting Funds which may be used in accordance with the charity's objects, at the discretion of the Trustees, are held in unrestricted income funds. Restricted funds may only be used for the purpose specified by the donor within the objects of the charity. Cash at Bank Cash at bank includes instant access deposit accounts and, unless shown separately on the balance sheet, term deposits maturing within 12 months of the balance sheet date. 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 required to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amounts after allowing for any trade discounts due. 16
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2023 ACCOUNTING POLICIES- cont5nued Financlal Instruments The charity's financial assets and liabilities all qualify as basic financial instruments. DONATIONS AND LEGACIES Unrestricted Restricted funds funds Total 2023 Unrestricted Restricted funds funds Total 2022 These arose from the followin8 sources: Barnet Ecclesia - hall gift for leaseback at nomlnal rent Bath Ecclesla - hall gift for leaseback at nominal rent Portsmouth Ecclesia- h311 gift for resale on closure Macclesfleld Eccle51a - hall Eift for leaseback at nominal rent West Leed5 Ecclesia - hall gift for resale on closure Northampton Ecclesia- hall gift for resale on closure St Albans Ecclesla hall glft for resale on closure Aylesbury Ecclesia- hall gift for resale on closure Shipley Ecclesia- hall glft for leaseback at nominal rent Macclesfield Ecclesia- house gift for letting Shrewsbury Ecclesia - hall gift for leaseback at nominal rent Ellwood Ecclesla - hall gift ' for leaseback at nominal rent Total under £7,500 546,533 546.533 220,328 220,328 106,060 106,060 212.120 178,007 178,007 170,744 170,744 10,000 180,025 190,025 123,638 123,638 119,797 119.797 132,492 132.492 109,231 109,231 38,896 38,896 12.553 12.553 96 96 201 201 706,630 286,085 992,715 1,061,946 1.061.946 17
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2023 CHARITABLE ACTIVITIES - GRANTS PAYABLE Unrestrirted Restrirted funds funds Total 2023 Unrestricted Restricted funds funds Total 2022 Grants to Institutions within charitable objects comprised: Exceptional grants to other Christadelphian charities (see Note 141 Llanelli Ecclesia Asia-Pacific Christadelphiarn Bible Mission Ashton-under-Lyne Ecclesi Porthleven Ecclesia Christadelphian Bible Misslon overseas ecclesias IAfrical Clevedon Ecclesia Sale Ecclesia Glas8ow Kelvin Ecclesia Spalding Ecclesia Sutton Coldfield Ecclesla Kings Heath Ecclesia Betws Ecclesia Redditch Ecclesla Christadelphlan ALS Hereford Ecclesia Blackheath Ecclesia Ooncaster Ecclesia Under £7,500 286.085 286.025 57.800 57,800 24,294 24,294 45,601 4S,601 45,000 45,000 37,000 37,000 33,899 33,310 28,000 33,899 33,310 28,000 71,146 71.146 25,000 25.000 23,984 23,940 23.984 23.940 15,750 12,600 15,750 12.600 12,480 10,000 12,480 10,000 3,500 7,740 7,592 27,765 3,500 7,740 7.592 27,765 33,226 33,226 339,240 286,085 625,325 240.387 240.387 SUPPORT COSTS 2023 2022 Audit fees Legal and professional expenses Trustee indemnity and personal accident insurance Utility costs on investment properties Financial Conduct Authority - annual fee Trustee expenses Miscellaneous expenses 4,215 3,676 1,403 481 4,500 2,230 2,337 1,520 1,109 483 306 298 251 10,324 12,485 18
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTES TO THE FINANCIALSTATEMENTS for the year ended 31 December 2023 TRUSTEES, DIREcfoRS AND EMPLOYEES The company has no employees. All members of the board act in an unpaid capacity so none of the Trustees and Directors received any remuneration for the year (2022 - Nil). No expenses were claimed by any Trustee with the exception of secretarial expenses and/or travelling expenses incurred by and reimbursed or accrued for reimbursement to: A S Firth Nil {2022- £83}and D C Gouldingay £298 (2022 - £232) A T Collinge Nil12022 - £168). FIXED ASSETS INVESTMENTS- PROGRAMME RELATED INVESTMENTS: LAND AND BUILDINGS Programme related investments: land and buildings comprise the following freehold properties let at peppercorn rents to occupying ecclesias. 2023 2022 Cost or valuatlon At l January Additions,. Donations in the year at Day I net present value Acquisition costs Net present value revaluations since acquisition 908,396 5,808 310,499 21,605 33,008 818,309 67,259 17,020 At 31 December 1,273.508 908.396 Impalrment At l January and 31 December Net book value At 31 December 1,273,508 908,396 The occupying eccleslas and net book values at 31 Decernber were: Barnet Ecclesia Bath Ecclesia Macclesfield Ecclesia Shipley Ecclesia Shrewsbury Ecclesia Ellwood Ecclesia Bournville Ecclesia Old Trafford Ecclesia East Ham Ecclesia Kings Heath Ecclesia 591,028 237,174 193,569 144,465 74,343 27,121 2,232 2,290 1,286 573,813 230,266 72,178 26,331 2,232 2,290 1,286 Net book value at 31 December 1,273,508 908,396 Freehold buildings are insured by the charity, the relevant PTOPOrtion of the premiurn being recharged at cost to each occupying ecclesia. 19
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIEff, BIRMINGHAM 31 DECEMBER 2023 NOTESTO THE FINANCIAL STATEMENTS for the year ended 31 December 2023 FIXED ASSETS INVESTMENTS- PROGRAMME RELATED INVESTMENTS: CONCESSIONARY LOANS Programme related investments: conces5ionary loans comprise advances made to ecclesias for the acquisition, repair or improvement of premises and land for use by the Christadelphian Comrnunity. Loans are unsecured and interest-free and repayable within a period of up to twelve years from inception. Movements in the year were as follows: 2023 2022 Loans at l January New loans advanced 27,133 108,509 27,133 108,509 Less: New or existing loans repaid Loans waived by CHBS- treated as additional grants 5,666 18,320 63,056 Loans at 31 December 21,467 27,133 Out5tandln8 loans at year end: Birmingham, Kings Heath Ecclesia Manchester, Old Trafford Ecclesia Barton-under-Needwood Ecclesia 13,500 5,467 2,500 15,300 7,333 4,500 21,467 27,133 £5,667 {2022 - £5,6671 Is due for repayment within 12 months of the balance sheet date. At 31 December 2023 the charity had committed Nil {2022 - Nil) to new ecclesial loan advances, subject to contract, and accordingly not taken up at the reportin8 date. FIXED ASSETS INVESTMENT PROPERTY 2023 2022 Cost or valuatlon At l January Additions: Donations in the year at Day I net present value Acqulsltion costs Net present value revaluations since acquisition 109,231 7,221 2,329 At 31 December 118,781 Impalrment At l January and 31 December Net book value At 31 December 118,781 20
THE CHRISTAOELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTESTO THE FINANCIALS2TATEMENTS for the year ended 31 December 2023 FIXED ASSET INVESTMENTS: QUOTED INVESTMENTS 2023 2022 Market value at start of year Acquisitions at cost Disposal proceeds Realised gains/(losses) Unrealised (losses)/ gains Market value at end of year 187,632 156,836 (1,968) 196,951 2,731 {1,963) (20,399> 322,101 {10,087) 187,632 Historic cost of investments held at year end 310,688 155,547 The Investment portfolio comprises: Discretionary fund manager Equlty income funds Managed growth bonds Property bonds 156,620 76,622 63,944 24.915 322,101 70,S89 62,693 54,350 187,632 10. FIXED ASSET INVESTMENTS: BANK TERM DEPOSITS Maturing in January 2025 Maturing in February 2025 Maturing in February 2026 85,000 8S.000 85,000 255,000 85,000 85,000 170,000 11. DEBTORS Prepaid acquisition costs- investments Accrued income - interest on deposits 5,981 8,677 14,658 15,375 29 15,404 12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR Other creditors 4,515 10,179 13. SHARE CAPITAL Authorised, called up, allotted and fully paid: 1,567 Ordinary shares of £1 each 2.433 Non-voting directors, shares of £1 each 1.567 2,433 4,000 1,567 2,433 4,000 None of the shares are dividend-bearing. 21
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTES TO THE FINANCIAL STATEMENTS for the year ended 31 December 2023 14. RESTRicfED FUNDS The income funds of the charity include restricted funds comprising the following unexpended balances of donations and legacies held on trust for specific purposes: Opening balance Movement in funds Income Expenditure Transfers Closing balance Donations from former ecclesias: - Northampton - Portsmouth - Tenby Anonymous legacy 180,025 106,060 3,909 2,606 180,025 106,060 95,738 63,827 99,647 66,433 159,56S 292,600 286,085 166.080 The restricted donations received in the year from Northampton and Portsmouth Ecclesias were paid to the following donor-speclfied Christadelphian organisations: Northampton Portsmouth Total Christadelphian Care Homes Chri5tadelphian Blble Misslon IPortsmouth. IncludlnB £15.909 welfare) Chrlstadelphian Meal a Day Fund Christadelphian Benevolent Fund Christadèlphian Auxiliary Lerturing Society christadelphian1501ation Lea8ue Chrlstadelphian Sèmèfitan Fund Other donations under £7.500 each 56.708 23.403 14.402 31.504 21,603 17,102 26,515 21.212 26,515 5,303 10.606 5,303 10.606 83,223 44.615 40.917 36.807 32.209 22.405 10,606 15.303 15.303 Total 180.025 106,060 286,085 The restricted donation from the former Tenby Ecclesia is conditional upon a grant of up to £90,000 (plus net income) being made available by the charity, within its objects, toward5 the property needs of any recognised new Christadelphian ecclesia that may in future be established in a donor-prescribed area on or before 30 April 2029. Should such Brant be required £20.000 would be payable after 60 days, a further £20,000 after 6 months and the balance of £50,000 (plu5 any net income) after 2 years. With effect from l May 2029 any unused funds will be transferable to unrestricted income funds. The restricted anonymous legacy is conditional upon a grant of up to £60,000 (plus net income) being made available by the charity, within its objects, towards the property needs of any recognised Christadelphian ecclesia that may in future be established in an estate- prescribed area on or before 31 March 2025. Should such grant be required £20,000 would be payable after 60 days, a further £20,000 after 6 months and the balance of £20,000 (plus any net income) after 2 years. With effect from l April 2025 any unused funds will be transferable to unrestricted income funds. 22
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIETY, BIRMINGHAM 31 DECEMBER 2023 NOTESTO THE FINANCIALSTATEMENTS for the year ended 31 December 2023 15. UNRESTRICTED FUNDS Opening balance Galns and losses Closing balance 31 December 2023 Income Expenditure Transfers General fund Revaluation reserve Non-distributable reserve 997.353 32.757 738,458 1363,211) 185,938 (455,2461 178 1,103,292 32.935 835,329 455,068 1,290,397 1,865.439 738,458 {363,211) 185,938 2,426,624 Opening balance Gains and losses Closing balance 31 December 2022 Income Expendlture Transfers General fund Revaluation reserve Non-distributable reserve 803,714 42,957 1,072,254 (262,1401 112,794 (729,269) (10,200) 997,353 32,757 87,513 747.816 835,329 934,184 1,072,254 1262,140 112,794 8,347 1,865.439 The revaluation reserve comprises unrealised gains on the charitvs fixed assets investments portfolio. The non-distributable reserve comprises unrealised gains on certain of the charitls investment properties. 16. ANALYSIS OF NET ASSETS BETWEEN FUNDS Restricted Funds General Funds Total At 31 December 2023.. Fixed assets: programme related investments Fixed assets: investments Current assets Creditors: amounts falling due within one year 1,294,975 1,294,975 695,882 695.882 444,282 610,362 14,515) (4,515) 166,080 Total net assets 166,080 2,430,624 2,596,704 At 31 December 2022.. Fixed assets: programme related investments Fixed assets: investments Current asset5 Creditors: amounts falling due within one year 935,529 357,632 586.457 (10,179) 935,529 357,632 746.022 (10.179) 159,565 Total net assets 159,565 1,869,439 2,029,004 23
THE CHRISTADELPHIAN HALL & BUILDINGS SOCIEfi, BIRMINGHAM 31 DECEMBER 2023 NOTESTO THE FINANCIAL STATEMENTS for the year ended 310ecember 2023 17. CONTINGENT ASSErs Fixed assets- ro ramme related investments.. land and buildin At 31 December 2023 the charity had been advised of l (2022 - 5) proposals to gift properties to the Society with a view either to leasing them back forthwith from the charity at peppercorn rents or for the charity to hold or resell. Whilst these hall gifts seem probable and the charity can measure their value with reasonable accuracy, at 31 December 2023 aspects of legal and other due diligence were still to be completed so legal entitlement had not passed. Accordingly, these proposed gifts and leasebacks cannot be included in the Societvs 2023 income or assets. At the balance sheet date, the Trustees estimate the accounting value of these gifts to be £19,000 (2022 £590,000). 18. CONTINGENT.LIABILITIES At 31 December 2023 the charity had issued no (2022 - 11 offers of grant funding to an ecclesia where the satisfaction of remaining conditions for the payment of loans and grants lay outside the actions of the charity. Accordingly, contingent liabilities of £Nil {2022 £30,522) were outstanding at the balance sheet date. 19. TAXATION The company is a registered charity and as such is exernpt from tax on income and gains arising from activities within its charitable objects. No tax charges have arisen in the charitv. 20. RELATED PARTY TRANSACTIONS There were no related party transactions (2022 - None). 24