THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL … · The church is situated on Ivy House Lane in Berkhamsted, Hertfordshire and is part of the Diocese of St.Albans. The vicar

OF ST MICHAEL AND ALL ANGELS, BERKHAMSTED

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH

ANNUAL REPORT AND ACCOUNTS

FOR THE YEAR ENDED 31 DECEMBER 2018

Registered Charity Number 1132230

(Also known as SUNNYSIDE CHURCH)



ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2018

A message from Rebecca …….

Ephesians 3.20-21

Rebecca

'Now to him who by the power at work within us is able to accomplish abundantly far more than all we can ask or imagine, to him be glory

in the church and in Christ Jesus to all generations, forever and ever. Amen.'

With love and prayers.

As I look back over the past year, we have an enormous amount to thank God for both as individuals and as a church family. Although it

has been a year with sad days in which we have said farewell to much loved members of Sunnyside and hard days for some of our

community, God has blessed us too with days of joy and new additions to our family.

It is a blessing and encouragement to see how the body of Christ works together at Sunnyside, to witness so many people working to

enable us to continue to worship and serve here. I would like to say a huge thank you to all who support the work of God at Sunnyside and

to those who have supported and encouraged me over the past year. In particular, I would like to thank our churchwardens Chris and Tony.

The role of churchwarden is varied and comes with great responsibility. We all benefit from the prayerful dedication with which Chris and

Tony undertake their role and I thank God for them.

For me, perhaps the two highlights of 2018 were Thy Kingdom Come and our church weekend away. We experienced something of the

power of prayer when we courageously accepted the vision for ten days of continuous prayer during Thy Kingdom Come in May. The prayer

room was a wonderful way to inaugurate the newly refurbished Breukleman Room. Then in November over 130 of us went to High Leigh

for the weekend. It was a joy to spend time together exploring who God is calling us to be and what he is calling us to do. Some themes

emerged through the weekend which we will continue to explore in the months to come. These included a desire to strengthen our

relationships with one another; a need for better communication; a wish to become more prayerful.

My prayer for us is that we would continue to be courageous and step into the vision that God is giving us, even if it feels a bit daunting at

the time. We can do so because God is faithful, he has called us and he has good plans for us. I am thankful for what God has done and

am excited to see what he will do in us, through us and for us in the year ahead.



ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2018 PAGE 1

CONTENTS AND CHARITY INFORMATION

Contents and Charity Information 1

Report of the Trustees 2 - 6

Independent Examiner's Report 7

Statement of Financial Activities 8

Balance Sheet 9

Statement of Cash Flows 10

Notes to the Accounts 11 - 19

INCUMBENT Rev'd Rebecca Fardell

OFFICE ADDRESS Ivy House Lane

Berkhamsted

Herts

HP4 2PP

CHARITY REGISTRATION NUMBER 1132230

INDEPENDENT EXAMINER Geoff Mann FCIE

Geoff Mann Limited

Dee House

Highworth Avenue

Cambridge

CB4 2BQ

BANKERS NatWest Bank plc

199 High Street

Berkhamsted

Herts

HP4 1BH




REPORT OF THE TRUSTEES

OBJECTIVES AND ACTIVITIES

ADMINISTRATIVE INFORMATION

THE PCC

AIMS AND PURPOSES

The Parochial Church Council ('the PCC') of St. Michael and All Angels, known widely both in Berkhamsted and to those in the parish as Sunnyside

Church ('the church'), has the responsibility of co-operating with the incumbent, in promoting in the ecclesiastical parish the whole mission of the church;

pastoral, evangelistic, social and ecumenical. The PCC is also responsible for the maintenance of the church and the church hall building of St. Michael

and All Angels, Sunnyside.

The PCC is committed to encouraging as many people as possible to worship at Sunnyside and become part of the Sunnyside Church family. All

Sunnysiders are encouraged to become actively involved both practically and financially. The aim is to enable all members to love God and each other,

grow in faith and serve the community by supporting each other through worship, prayer and pastoral care. The PCC maintains an overview of worship

and suggests how services can be developed to 'Love, Grow and Serve' the diverse groups that live in and around the parish.

When planning activities for the year and in compiling this report, the PCC have considered the Charity Commission’s guidance on public benefit and, in

particular, the specific guidance on charities for the advancement of religion. The aim is to enable ordinary people to live out their faith as part of our

parish community through:

• worship and prayer, learning about the gospel, and developing their knowledge and trust in Jesus;

New PCC members are issued with a handbook and are given training to explain their duties and roles. Time is also devoted at PCC meetings to relevant

trustee training topics.

The PCC is made up of the vicar, churchwardens and elected members from the electoral roll. Anyone 16 years and over who regularly attends any of the

church services and is on the electoral roll is welcome to put themselves forward for the PCC. There is also one co-opted place, which in the past has

been filled by youth representatives and is currently vacant. Members of the PCC are trustees of the charity and together have responsibility for the

management of the church including practical and spiritual matters, decisions which affect church members and the upkeep of the church buildings.

• provision of pastoral care for people living in the parish; and

• support of Christian mission work at home and overseas.

The PCC also maintains the fabric of the Church of St. Michael and All Angels, Sunnyside and the church hall, as well as having responsibility for 23

Kestrel Close, a house acquired in 1999, specifically to house successive Youth Team Leaders.

The church is situated on Ivy House Lane in Berkhamsted, Hertfordshire and is part of the Diocese of St.Albans. The vicar and readers are shared with St

John the Evangelist, a small village church a mile down the road in Bourne End.

The PCC is a body corporate governed by the PCC Powers Measure 1956 and Church Representation Rules 2011.




REPORT OF THE TRUSTEES (continued)

PCC MEMBERSHIP

PCC members, who have served during 2018 and until the date this report was approved, are as follows:

Incumbent: Rev’d Rebecca Susan Fardell

Churchwardens: Chris Stewart re-elected APCM 2018 until APCM 2019

Tony Wager elected APCM 2018 until APCM 2019

Representatives on John Cartwright until APCM 2020

the Deanery Synod: Charis Geoghegan until APCM 2020

Jane Lines until APCM 2020

Tony Wager until APCM 2020

Other Elected Members: Shawn Baggs (Treasurer) until APCM 2021

Richard Coles until APCM 2020

Marguerite Craig until APCM 2021

Lesley Culley until APCM 2021

Nigel Eckert until APCM 2019

Penny Harrison until APCM 2021

Lucia White until APCM 2020

Fiona Wilcock until APCM 2020

Co-opted Members: Vacant

Attendees without Sharon Fowler Children's and Families Team Leader

voting rights: Jonathan Hall Youth Team Leader (from November 2018)

Kath Jones PCC Secretary

PCC MEETINGS

CHURCHWARDENS

ELECTORAL ROLL

SUNNYSIDER SUPPORT

The PCC has met five times during the last 12 months to consult on promoting the mission of the church, to Love, Grow and Serve. Much of the work goes

on in the sub committees known as mission groups, which each deal with a particular aspect of church life. Elected members of the PCC are typically

allocated to one of the mission groups, which each report back to the full PCC. The heads of these mission groups have continued to meet informally with

the vicar, the churchwardens and the treasurer, collectively 'the Standing Committee', prior to each PCC meeting. The Standing Committee also deals with

any urgent items which arise between the scheduled PCC meetings.

The Churchwardens, who are elected annually, are automatically members of the PCC. Chris Stewart was re-elected in April 2018 to serve for a further 12

months and Tony Wager was elected to serve for 12 months also. Evelyn Wotherspoon served as churchwarden until April 2018.

PREACHERS & LEADERS

There were no changes in the preachers and leaders team during the year.

The electoral roll is revised at each PCC meeting and during the first half of 2019 the roll is being renewed as required by the Church of England. At the

previous APCM in April 2018, there were 212 members, of whom 53 were resident in the parish.

In addition to the staff employed as detailed in Note 4, there are a significant number of Sunnysiders from the congregation contributing their talents and

time in all sorts of ways to further the objectives of the church. The PCC members are extremely thankful for all the work performed, some of which is

outlined in the mission group sections that follow later in this report. The PCC members appreciate the commitment and dedication of those that contribute

in whatever way they do so and however large or small.





STEWARDSHIP, FABRIC & FURNISHINGS

YOUTH, CHILDREN & FAMILIES

A great deal of work has been completed again this year, the main focus being the re-roofing of the church hall, which other than some minor snagging

works with regards to the gutter downpipes that are being addressed , was completed in March 2018. This was followed by work on refurbishing the

Breukleman Room, which now has a refreshed interior resulting in a bright, contemporary and welcoming space for a range of church activities. In

addition, the church hall floor was sanded and resealed during the summer, bringing that surface back to life.

The vacation of 23 Ketrel Close during the summer provided the opportunity for the general redecoration of the property, which had not been done for

some six years and followed a replacement of the bathroom earlier in the year. The walls and ceilings were painted and new carpet laid in the three

bedrooms, landing and stairs. The existing lounge and hall flooring were replaced with a laminate covering to provide a robust surface, which is easy to

clean and suitable for church youth activities. In addition, a large conifer tree in the garden of the house was felled due to its size and location.

Whilst these ‘big’ things were going on, the more routine business of running the church continued as normal, including the day to day maintenance of the

church grounds, car park, guttering and tiles, pathways, hedges, and trees. In addition to the routine maintenance of the church yard, the large hedge on

the border with the allotments was cut back to an appropriate size, a significant undertaking by the gardening team and upkeep of the vicarage garden

was also carried out. Cleaning remains an important aspect of caring for the church buildings and continues to be carried out using a mix of paid staff and

volunteers. The Electrical Installation Condition Report was signed off during the year with some ongoing work in this area and the Fire Safety Certificate

was also approved.

Looking forward to 2019, a very generous legacy has made it possible to consider the refurbishment of the church lobby. A working group has been

formed to review the activities which take place in the lobby and to develop a proposal to provide a welcoming space which is practical for a variety of

uses. It was noted during 2018 that the kitchen has begun to look ‘tired’ and there have been constant maintenance issues. This has prompted the

Stewardship Committee to begin to review the use of the kitchen and its requirements to ensure it continues to be a safe and appropriate workspace.

The main issues involving children, families and youth activities currently run at Sunnyside were discussed at regular mission group meetings during the

year.

Tom Hodkinson left his role as youth team leader in July to follow his calling to ordination. Joe Rudd, the part time intern, continued to run events until

September, when Sunnyside said goodbye to him as he pursues a full time position with another church in Berkhamsted. Jonathan Hall joined in October

as youth team leader, bringing with him a wealth of experience in youth work. The team has strived to communicate effectively to those it serves by

updating the church website and Facebook pages and is using lots of different ways of communicating as appropriate to the different groups. The team

attended the HTB leadership conference. There are now only two employed youth leaders in the town and no other employed children and families

workers, which therefore puts more demands on the team that remains.

The youth mission group continues to address whether the activities provided meet the needs of the children and youth involved and consider the age

range of the Sunday morning groups accordingly. There is currently 'Pebbles' running from two and a half to reception age, 'Rocks' is year one and two,

years three to five are in 'Boulders' and year six and above are in 'Shift' on Sunday, which is a new Sunday morning group for youth. Shift itself runs on

Friday evening which is jointly run by the Youth Team Leader and Children's and Families Team Leader to help facilitate the transition from the children’s

groups to the youth programme. Smarties, Messy Church, the church picnic, the Refract weekend away, the Edge, the WOW group and the church

weekend away have continued to help relationships to grow. A new evening group called 'Connect' was started which provides an opportunity for mothers

who have gone back to work and other women to stay connected, to love, grow and serve together. Refract events included Sunday evening services, hot

chocolate at the Festival of Light, a visit to Soul Survivor, breakfast club at Ashlyns, detached youth work and various other events across the churches

have taken place.

Outreach highlights have included the very successful mini Messy Church run for the first time at the Festival of Light, school trips and assemblies at a

variety of schools across the town. The 'Space' group has also helped some of the youth grapple with deeper issues and pressures of life but has not run

since the end of the school year in July. The responsibility of being the lead on safeguarding, which had previously been held by the youth team leader,

has been handed over to a new safeguarding officer, but the team continue to review and update the relevant safeguarding policies for children, youth and

families and ensure volunteers' DBS checks are up to date.





PASTORAL

DEANERY SYNOD

Ten groups report to the Pastoral mission group, all of which have outreach into the community and all try to build up the community. The name of

'Pastoral Visiting for the Housebound and Elderly' has been changed to 'Home Visiting' and 'Pastoral Events' has changed to 'Songs of Praise'. Both

groups do the same as before.

An average of eight people, who are elderly or housebound, have been visited each month. A few people have died this year and a few visitors stepped

down but eight visitors are continuing. There have been visits to younger people who are housebound and there are a few elderly who have refused help

but are looked out for by various members of the congregation. Many more people are visited by the caring congregation and there are at least three

people who had official visitors but were visited by five others as well. The guidelines for official visitors are strict and some extra guidelines have been

added which are required by the new checks from the diocese.

The Bereavement Group has an average of eight people being visited at any one time but three more are being offered support at present. The group has

attended hospice training including a session especially for Sunnyside on boundaries, with the offer of a follow up to come. Songs of Praise has been well

supported with 61, 63 and 97 attendees at Easter, Harvest and Christmas respectively. The children from Little Gaddesden School sang as usual and it

was pleasing that some of their families came as well.

Lunch Club has undergone some changes due to the retiral of Barbara Driver. Sally Bright has taken over and has added new helpers, some new people

for the devotional spot and new drivers. As well as the weekly lunches, the group were also invited to afternoon tea at Ashlyns School.

Girl’s Allowed and Men@Home continue to thrive with around 14 meeting each fortnight at each group. Men@Home also has the occasional breakfast,

lunch or dinner out, as well as outings, which this year have been to The Canal Museum, RAF Museum at Hendon and The Triumph Museum at Hinckley.

Various men organize these events and some of them also drive for lunch club. Many of the men are not church attenders.

There are ten active house groups. There have been a few changes in the leaders of the groups and the list of those attending is being brought up to date.

During August the vicar ran an afternoon and an evening group, which were very well attended with some people attending who were not in house groups.

There was no 'Week of Guided Prayer' this year as it takes place every 18 months, but plans are well underway for the next week in the Autumn of 2019.

The Deanery Synod met twice during 2018 and two further meetings are planned for 2019. Deanery lectures are open to everyone and the next one is

scheduled for Thursday May 23rd, 2019 at St Mary's Northchurch when the speaker will be Reverend Lucy Winkett (the first female priest at St Pauls).

The meeting in May 2018 was the Annual Deanery Lecture and over 100 people heard Terry Waite CBE outline his life to date and events leading to his

being taken hostage by Hezbollah in 1987 and imprisoned for five years. It was explained that in 1980 he was recruited by Archbishop Robert Runcie and

became a trouble shooter, successfully negotiating the release of many hostages during the 1980s. In 1987 whilst negotiating a hostage release in Beirut

he was taken hostage himself and spent 1763 days in solitary confinement. The talk also covered his charity work (Why Care International, Able Child

Africa and Emmaus UK), which is supported by the proceeds from his numerous books.

The meeting in October 2018 was with Tim Lomax, the Director of Mission for ‘Fresh Expressions’, started by Bishop Alan to reach out to people of all

ages, particularly people who have never been to church or who have drifted away. He is leading a new initiative reaching new people which runs courses

for those wanting to learn more. Those in attendance were enthused by the subject and hoped that there were things that could be applied at Sunnyside.

The Excursion Group went to Matthew Bourne’s ballet, Cinderella, in February and had a visit to New College, Oxford in the summer. This tour was

followed by evensong in the college Chapel. A visit to The Royal Hospital at Chelsea is also taking place early in 2019. All the outings have been well

supported, with waiting lists for each trip and they fulfil the task of bringing the church family together and introducing new people to the church community.

The Walking Group continues to successfully attract groups on walks of varying degree of difficulty, which usually include afternoon tea and great

discussions. Various members organise the walks and some non-church goers join the group.

Joy Wright continues to take cards and flowers to everyone who is 80 years old or over.

The Pastoral Care Mission Group has continued to work well together as a team, encouraging, helping and supporting each other.





FINANCE

THOMAS CORAM CHURCH OF ENGLAND SCHOOL

RESERVES POLICY

SAFEGUARDING

RISK REGISTER

CONCLUSION

Approved by the Parochial Church Council on 18 March 2019 and signed on its behalf by Chris Stewart, Chairman of the PCC:

In closing this report, the Trustees acknowledge here the invaluable contributions made by the staff and also the many unsung church members in

Sunnyside that contribute in many ways by providing help, prayer and practical support. For this we are truly grateful to God.

2018 was a good year from a financial point of view. Unrestricted income exceeded unrestricted expenditure by £10,700. This outcome was better than

expected by £5,700, largely due to the fact that Sunnyside was without a worship leader all year and did not have either an assistant treasurer or a youth

team leader for part of the year. Despite additional spending to refurbish the Breukleman room, replacing the bathroom and refurbishing 23 Kestrel Close

and sanding and resealing the hall floor, the capital fund remains at £25,000 and reserves remain at £30,000. A major action last year was the

replacement of the church hall roof. The cost of this work was very close to the anticipated spend, with only a few minor items still being addressed before

the project can be closed. Repayment of loans related to this project has proceeded as planned during the year.

Gift Day was again successful during 2018, with the total donated being similar to 2017, although the number of households contributing was slightly

lower.

Other topics covered during the year included the development and introduction of a newcomers finance pack, some revision of staff hours and

remuneration to reflect the evolving needs of the fellowship, investment of some of the church reserves and a review of record keeping and document

storage.

Net assets at the year-end were £415,000, of which £385,000 was in relation to 23 Kestrel Close. This compares with net assets of £515,000 a year ago,

the main major difference relating to the roof project. Cash funds remained healthy with unrestricted cash being £88,660 at 31 December 2018 (2017:

£80,382) of which £57,978 is designated (2017: £58,380). Restricted cash was £32,940 (2017: £211,000).

In 2012, the PCC drew up and adopted a comprehensive register of risks to record the ways in which the more important ones were being mitigated and to

highlight key areas on which attention needed focussing. A periodic review in 2019 is planned.

Since last year’s report, Victoria and Thomas Coram schools have completed their federation process, and they now comprise Castle Church of England

Federation. Whilst the schools remain separate legal entities, with their own identities, the merger of the two governing bodies became effective at the

start of May 2018. This initiative has been particularly exciting as it means that the church, for the first time, now has an active interest, and influence, in

an infant school as well as a junior school. After a busy period of activity, the joint governing body and the new leadership team (under executive

headteacher Rob Halls) is working well across the two schools, benefitting pupils, parents and staff.

The vision and aims of the federation were reviewed at its outset, and the two schools’ common vision is now “to flourish in learning and love, within a

happy, Christian family.” Both schools are “proud to be an inclusive family in which to belong; a place to explore and go deeper in learning; a place to

pray, grow and serve.” The complementary Christian values at Victoria School are “Friendship, Respect and Perseverance”, and at Thomas Coram

School they are “Respect, Responsibility and Friendship”.

Last summer’s results showed that the federation’s pupils continue to achieve high standards, with Victoria School’s results showing pupil attainment

outcomes consistently above the county and national averages for Early Years and at Key Stage 1. Likewise, for Thomas Coram School, the Key Stage 2

results are strong in reading and maths, being well above national averages, whilst a slight deficit in writing has been identified and is being addressed

across the school through a number of initiatives. Aside from these academic successes, Victoria and Thomas Coram’s pupils have engaged in a wide

range of sporting, music and arts activities, events and trips, and each school has an active parents’ association running events and raising vital funds for

the schools.

The current policy is to hold in reserve for emergency or unforeseen expenditure, the equivalent of one to two months of general running costs, which

includes staff costs. In addition, an amount is held for likely building or structural costs. The reserves policy is reviewed annually.

The PCC has complied with the duty under section 5 of the Safeguarding and Clergy Discipline Measure 2016, 'duty to have due regard to the House of

Bishops’ guidance on safeguarding children and vulnerable adults.' In addition, all new PCC members are appointed subject to a DBS check and

safeguarding training is mandatory from the outset.




INDEPENDENT EXAMINER'S REPORT

TO THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL PARISH OF ST MICHAEL ALL ANGELS, BERKHAMSTED

I report on the accounts of the PCC for the year ended 31 December 2018, which comprise the Statement of Financial Activities, the Balance Sheet,

the Statement of Cash Flows and the related notes.

RESPECTIVE RESPONSIBILITIES OF THE PCC AND THE EXAMINER

As members of the PCC you are responsible for the preparation of the accounts. You consider that the audit requirements in the Charities (Accounts

and Reports) Regulations 2008 ("the Regulations") and section 144(2) of the Charities Act 2011 ("the Act") do not apply. It is my responsibility to

issue this report on those accounts in accordance with the terms of the Regulations.

BASIS OF INDEPENDENT EXAMINER'S REPORT

My examination was carried out in accordance with the General Directions given by the Charity Commissioners under section 145(5)b of the Act

and to be found in the Church Guidance, 2006 edition. That examination includes a review of the accounting records kept by the PCC and a

comparison of the accounts with those records. It also includes considering any unusual items or disclosures in the accounts and seeking

explanations from you as members of the PCC concerning any such matters. The procedures undertaken do not provide all the evidence that would

be required in an audit and consequently I do not express an audit opinion on the view given by the accounts.

INDEPENDENT EXAMINER'S STATEMENT

In connection with my examination, no matter has come to my attention:

(1) which gives me reasonable cause to believe that in any material respect the requirements

- to keep accounting records in accordance with section 130 of the Act: and

- to prepare accounts which accord with the accounting records and to comply with the accounting requirements

of the Act and the Regulations have not been met; or

(2) to which, in my opinion, attention should be drawn in order to enable a proper understanding of the accounts to be reached.

Geoff Mann FCIE

Geoff Mann Limited

Dee House

Highworth Avenue

Cambridge

CB4 2BQ

18 March 2019




STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Funds

Designated

Funds

Restricted

Funds Total Funds

Prior Year Total

Funds

Notes £ £ £ £ £

Donations 2 188,713 90 57,810 246,613 357,219

Charitable activities 2 10,964 15,460 1,458 27,882 17,144

Other trading activities 2 13,913 - - 13,913 14,844

Other income 2 965 136 34,922 36,023 3,928

-------------- ----------- ----------- ----------- -----------

TOTAL INCOME 214,555 15,686 94,190 324,431 393,135

----------- ----------- ----------- ----------- -----------

EXPENDITURE

Charitable activities 3 203,859 17,018 203,385 424,262 319,298

----------- ----------- ----------- ----------- -----------

TOTAL EXPENDITURE 203,859 17,018 203,385 424,262 319,298

----------- ----------- ----------- ----------- -----------

NET INCOME 10,696 (1,332) (109,195) (99,831) 73,837

TRANSFERS

Transfers between funds 9, 10 - (582) 582 -

----------- ----------- ----------- ----------- -----------

NET MOVEMENT IN FUNDS 10,696 (1,914) (108,613) (99,831) 73,837

RECONCILIATION OF FUNDS

TOTAL FUNDS BROUGHT FORWARD 401,682 59,890 53,377 514,949 441,112 ----------- ----------- ----------- ----------- -----------

TOTAL FUNDS CARRIED FORWARD 412,378 57,976 (55,236) 415,118 514,949

----------- ----------- ----------- ----------- -----------




BALANCE SHEET

2018 2017

Notes £ £ £ £

FIXED ASSETS

Property, equipment and furnishings 5 385,000 385,000

CURRENT ASSETS

Debtors 6 2,275 5,006

Cash at bank 121,600 291,382

----------- -----------

123,875 296,388

CREDITORS

Amounts falling due within one year 7 31,757 82,128

----------- -----------

NET CURRENT ASSETS 92,118 214,260

----------- -----------

477,118 599,260

CREDITORS

Amounts falling due after one year 7 62,000 84,311

----------- -----------

NET ASSETS 415,118 514,949

----------- -----------

FUNDS

Unrestricted funds - General funds 127,335 116,639

Unrestricted funds - Revaluation reserve 285,043 285,043

----------- -----------

412,378 401,682

Designated funds 9 57,976 59,890

Restricted funds 10 (55,236) 53,377

----------- -----------

ACCUMULATED FUNDS 415,118 514,949

----------- -----------

Approved by the Parochial Church Council on 18 March 2019 and signed on its behalf by

Chairman Member




STATEMENT OF CASH FLOWS

2018 2017

Notes £ £

Cash flows from operating activities

----------- -----------

11 (147,471) 140,444

----------- -----------

Cash flows from financing activities

(Decrease) / increase in loans (22,311) 77,627

----------- -----------

Net cash provided by financing activities (22,311) 77,627

----------- -----------

Change in cash and cash equivalents in the reporting period (169,782) 218,071

Cash and cash equivalents at the beginning of the reporting period 291,382 73,311

----------- -----------

Cash and cash equivalents at the end of the reporting period 12 121,600 291,382

----------- -----------




NOTES TO THE ACCOUNTS

1 ACCOUNTING POLICIES

(a) BASIS OF PREPARATION OF ACCOUNTS

The accounts include the results of the PCC's operations, which are described in the Report of the Trustees and all of which are

continuing. They have been prepared in accordance with the provisions of the Charities Statement of Recommended

Practice (SORP) issued by the Charities Commission in its role as the SORP-making body recognised by the Financial

Reporting Council, effective 1 January 2015.

The Accounts have also been prepared in accordance with the Financial Reporting Standard applicable in the UK (FRS102).

The Accounts do not include the accounts of church groups that owe their main affiliation to another body, nor those that

are informal gatherings of church members.

The trustees expect to have adequate resources for the foreseeable future. Accordingly, they continue to adopt the going

concern basis in preparing the accounts.

(b) INCOME

Income is recognised in the accounts when there is an entitlement to that income such that control over the rights or access

to the economic benefit has passed to the charity. Income is only recognised when it is more likely than not that economic

benefit associated with a transaction or gift will flow to the charity and where the monetary value or amount of the income

can be measured reliably and the cost incurred for the transaction and the costs to complete the transaction can be measured

reliably.

(c) EXPENDITURE

Liabilities and related expenditure are recognised when a present legal or constructive obligation exists at the reporting date

as a result of a past event, where it is more likely than not that a transfer of economic benefits will be required in settlement.

(d) FUNDS

Unrestricted funds

These are funds which can be spent by the PCC in furtherance of the church's objects at the discretion of the trustees.

Designated funds

These are an integral part of the unrestricted funds, earmarked by the PCC for a particular project, activity or use. The

designation does not legally restrict the trustees and may be cancelled by the PCC if it decides not to proceed or continue

with that project, activity or use.

Restricted funds

These are specific funds held under charity law and may be declared by the donor when making a gift or may result from

the terms of an appeal for funds, created by the donor(s) or with their authority. They can only be spent by the PCC for

the particular purpose that they were given for in the first place.





1 ACCOUNTING POLICIES (continued)

(e) FIXED ASSETS

Consecrated land and buildings and moveable church furnishings

Consecrated and beneficed property is excluded from the accounts in accordance with the Charities Act.

Moveable church furnishings held by the vicar and churchwardens on special trust for the PCC, and which require a

faculty for disposal, are accounted for as inalienable property unless consecrated. They are listed in the church's inventory

which can be inspected at any reasonable time. For inalienable property acquired prior to 2001 there is insufficient cost

information available and therefore such assets are not valued in the accounts. Items acquired since 1 January 2001 have

been capitalised and depreciated in the accounts over their currently anticipated useful economic life on a straight line basis.

All expenditure on individual items under £2,000 incurred in the year on consecrated or beneficed buildings, or on the repair

of moveable church furnishings acquired, is written off.

Other fixtures, fittings and office equipment

Equipment used within the church premises is depreciated on a straight line basis over four to ten years. Expenditure on

individual items of equipment with a purchase price of £2,000 or less is written off in the period in which they are incurred.

Renewable energy project

PV panels are depreciated on a straight line basis over ten years.

Other land and buildings

Other land and buildings held on behalf of the PCC for its own purposes are carried at fair value. No depreciation is charged

against the value of such properties, but any expenditure on maintenance or improvement is written off as incurred.

(f) CURRENT ASSETS

Amounts owing to the PCC at 31 December in respect of fees, rents or other income are shown as debtors, less any

provision for amounts that may prove uncollectable.

(g) RESERVES POLICY

The trustees' present aim is to hold unrestricted free reserves in the range of £22,000 to £39,000, being the equivalent of:

- 1-2 months of general running costs, which includes salary costs - this broadly equates to £17,000 to

£34,000 based on unrestricted expenditure for the year ended 31 December 2018; and

- an amount for likely building or structural costs arising from the quinquennial inspection of the

church of £5,000.

This policy is revisited annually.





2 INCOME

Unrestricted Designated Restricted Total Funds

Funds Funds Funds 2018 2017

£ £ £ £ £

(a) Donations and legacies

Bankers orders 144,361 - - 144,361 149,106

Envelope scheme - - - - 10

Gift day - - 40,577 40,577 37,946

Income tax recoverable 35,404 90 11,324 46,818 61,577

Plate collection 3,798 - - 3,798 3,513

Sundry donations 5,150 - 5,909 11,059 105,067

----------- ----------- ----------- ----------- -----------

188,713 90 57,810 246,613 357,219

----------- ----------- ----------- ----------- -----------

(b) Charitable activities

Evangelistic and social events 3,490 - 1,327 4,817 3,800

Parish weekend away - 15,420 - 15,420 -

PCC fees 6,030 - - 6,030 6,155

Youth work 1,444 - - 1,444 2,777

Other - 40 131 171 4,412

----------- ----------- ----------- ----------- -----------

10,964 15,460 1,458 27,882 17,144

----------- ----------- ----------- ----------- -----------

(c) Other trading income

Church hall hire 13,642 - - 13,642 13,714

Electricity 30 - - 30 810

Internet sales 15 - - 15 97

Stewardship income 226 - - 226 223

----------- ----------- ----------- ----------- -----------

13,913 - - 13,913 14,844

----------- ----------- ----------- ----------- -----------

(d) Other income

Events - - 2,773 2,773 3,894

Miscellaneous income 965 136 32,149 33,250 34

----------- ----------- ----------- ----------- -----------

965 136 34,922 36,023 3,928

----------- ----------- ----------- ----------- -----------

TOTAL INCOME 214,555 15,686 94,190 324,431 393,135

----------- ----------- ----------- ----------- -----------





3 EXPENDITURE ON CHARITABLE ACTIVITIES



£ £ £ £ £

(a) Grants

Home missions - - 19,550 19,550 19,500

Overseas missions - - 31,375 31,375 28,000

----------- ----------- ----------- ----------- -----------

- - 50,925 50,925 47,500

----------- ----------- ----------- ----------- -----------

(b) Activities directly relating to the work of the church

Ministry

Assignment fees 1,898 - - 1,898 1,675

Organist and verger costs 1,365 - - 1,365 1,415

Parish share 98,312 - - 98,312 97,166

Vicar's expenses 2,555 - - 2,555 3,153

Vicarage maintenance 2,961 - - 2,961 2,407

Stewardship

Church property costs 6,121 - - 6,121 832

Church & church hall running costs 24,829 - - 24,829 17,373

Churchyard upkeep 1,109 - - 1,109 729

Pastoral care

Pastoral care and church events 1,879 17,018 2,900 21,797 4,503

Worship

Music costs 745 - - 745 1,089

Other worship costs 7,462 - - 7,462 2,462

Youth work

Youth intern costs 75 - - 75 2,211

Youth events - - 2,354 2,354 6,700

Youth training 567 - - 567 2,527

Youth work - general expenses 4,411 - - 4,411 7,376

----------- ----------- ----------- ----------- -----------

154,289 17,018 5,254 176,561 151,618

----------- ----------- ----------- ----------- -----------





3 EXPENDITURE ON CHARITABLE ACTIVITIES (continued)



£ £ £ £ £

(c) Church management and finance

Salaries & pensions 48,037 - - 48,037 52,422

Administration expenses 647 - - 647 3,928

Depreciation - - - - 3,418

Other financial costs 382 - 147,206 147,588 60,145

----------- ----------- ----------- ----------- -----------

49,066 - 147,206 196,272 119,913

----------- ----------- ----------- ----------- -----------

(d) Governance

Independent examiner 504 - - 504 267

----------- ----------- ----------- ----------- -----------

TOTAL EXPENDITURE 203,859 17,018 203,385 424,262 319,298

----------- ----------- ----------- ----------- -----------

4 STAFF COSTS

No remuneration was paid to any member of the PCC with voting rights in the year, nor were any expenses reimbursed

to them.

The staff costs were: 2018 2017

£ £

Wages and salaries 47,117 51,472

Pension costs 920 950

----------- -----------

48,037 52,422

----------- -----------

During the year, the PCC employed a part time administrator, a full time youth team leader, a part-time children's

and families team leader, a part-time assistant treasurer, a part-time caretaker and a youth intern.





5 FIXED ASSETS

Renewable

Freehold Moveable Energy

property Equipment Furnishings Project Total

£ £ £ £ £

Cost or valuation

Balance at 1 January 2018 385,000 17,881 3,487 26,124 432,492

Additions - - - - -

Disposals - - - - -

Revaluations - - - - -

----------- ----------- ----------- ----------- -----------

Balance at 31 December 2018 385,000 17,881 3,487 26,124 432,492

----------- ----------- ----------- ----------- -----------

Depreciation

Balance at 1 January 2018 - 17,881 3,487 26,124 47,492

Charge for the year - - - - -

Disposals - - - - -

----------- ----------- ----------- ----------- -----------

Balance at 31 December 2018 - 17,881 3,487 26,124 47,492

----------- ----------- ----------- ----------- -----------

Net book value

At 31 December 2018 385,000 - - - 385,000

----------- ----------- ----------- ----------- -----------

At 1 January 2018 385,000 - - - 385,000

----------- ----------- ----------- ----------- -----------

The freehold property is vested in the St Albans Diocesan Board of Finance on trust for the PCC and comprises of the

youth team leader's house. The property was professionally valued in January 2017.

The property was acquired in 1999 and had the historical cost model been applied, the carrying amount recognised

would have been £99,957.

6 DEBTORS 2018 2017

£ £

Other debtors and prepayments 894 2,309

Tax recoverable 1,381 2,697

----------- -----------

2,275 5,006

----------- -----------





7 CREDITORS 2018 2017

Due within Due after Due within Due after

one year one year one year one year

£ £ £ £

Individual loans (note 8) 21,500 62,000 27,556 84,311

Other creditors and accruals 10,257 - 54,572 -

----------- ----------- ----------- -----------

31,757 62,000 82,128 84,311

----------- ----------- ----------- -----------

8 LOANS

A number of loans were made in 2010 and prior relating to 23 Kestrel Close. These were either made as interest free

loans or loans with no specific terms. These loans were fully repaid during 2018.

In October 2017, a number of interest free five year loans totalling £95,000 were made in relation to repairing the church

hall roof. In addition, £11,500 of short term loans were made for the same purpose; £11,000 of which were repaid in 2018.

2018 2017

Due within Due after Due within Due after

one year one year one year one year

£ £ £ £

Roof loans 21,500 62,000 23,500 83,000

Kestrel Close loans - - 4,056 1,311

----------- ----------- ----------- -----------

21,500 62,000 27,556 84,311

----------- ----------- ----------- -----------

9 DESIGNATED FUNDS Brought Incoming Resources Transfers Carried

Forward Resources Expended Forward

£ £ £ £ £

Capital fund 25,000 - - - 25,000

Memorial 50 136 - - 186

Parish weekend away 902 15,550 16,413 - 39

Reserves 30,000 - - - 30,000

Sunnyside outreach 2,101 - 605 - 1,496

Youth mission 1,837 - - (582) 1,255

----------- ----------- ----------- ----------- -----------

59,890 15,686 17,018 (582) 57,976

----------- ----------- ----------- ----------- -----------





10 RESTRICTED FUNDS Brought Incoming Resources Transfers Carried

Forward Resources Expended Forward

£ £ £ £ £

Lunch Club 404 100 - - 504

Miscellaneous 1,229 3,544 4,773 - -

Outings & events 2,714 175 2,940 - (51)

Outreach Support Group 1,156 19,903 19,550 - 1,509

Overseas Partnership Committee 2,105 29,864 31,375 - 594

Pastoral 104 (104) - - -

Roof 46,755 37,849 142,396 - (57,792)

Youth (1,090) 2,859 2,351 582 -

----------- ----------- ----------- ----------- -----------

53,377 94,190 203,385 582 (55,236)

----------- ----------- ----------- ----------- -----------

11 RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES

2018 2017

£ £

Net income for the reporting period (99,831) 73,837

Depreciation charges - 3,418

Decrease / (increase) in debtors 2,731 (777)

(Decrease) / increase in creditors (50,371) 63,966

----------- -----------

Net cash provided by operating activities (147,471) 140,444

----------- -----------

12 ANALYSIS OF CASH AND CASH EQUIVALENTS

2018 2017

£ £

----------- -----------

Cash at bank and in hand 121,600 291,382

----------- -----------





13 OPERATING LEASES

There are outstanding commitments for future minimum lease payments under non-cancellable operating leases at

the reporting date as follows:

2018 2017

£ £

Operating leases which expire:

- Within one year 1,933 1,933

- Within two to five years 1,128 3,061

- Later than five years - -

----------- -----------

3,061 4,994

----------- -----------

14 RELATED PARTY TRANSACTIONS

There have been no related party transactions during the period.

Documents

THE PAROCHIAL CHURCH COUNCIL OF THE ECCLESIASTICAL … · The church is situated on Ivy House Lane in Berkhamsted, Hertfordshire and is part of the Diocese of St.Albans. The vicar