The church is registered as a charity (no. 1133917) and the PCC (as Trustees) are responsible for ensuring that the charity remains financially viable and that the funds are used for the intended purposes of the charity.
As Parish Treasurer, my job is monitor the income and expenditure, ensure that the Restricted and Designated funds are correctly used, and report the current state of the accounts to the PCC and the parish at large.
2020 Financial Position to end May:
The finances have of course been significantly impacted by the COVID-19 crisis. Income has been reduced in several areas, namely plate giving, the letting of church buildings, coffee bar takings and wedding fees. I have written to each person that donates by envelope to ask them to contribute by a different method, and this has had positive results.
Initiatives to reduce expenditure have been made. The heating and all non-essential electrical devices in the churches have been switched off. Some staff are being furloughed. Licences to play music have been extended. Building work and maintenance has been put on hold, but opportunities will be taken to service and mend items where it is beneficial during the lockdown. I have asked that all requests to spend money are sent through me so that I can keep an even tighter grip on outgoings.
Income is down by 16% below budget at £127,729, but expenditure has seen an equivalent reduction to £129,044 thereby showing a small deficit of £1,300.
It is expected that from June onwards there will be more of a strain on the finances. The Finance Committee have prepared a revised budget for the remainder of the year. It is difficult to forecast when certain activities will restart, and so assumptions will have to be made and revised as we go.
If we do look to be heading for a shortfall, the use of Restricted and Designated funds will be considered. These stand at £191,000 and £121,000 respectively.
Building For The Future
The remaining work on the programme will restart when it can. The leaders of the building programme (Paul Jagger, David Balcombe and Ray Tanner) have costed out the remaining work. There is potentially a shortfall of some £7000 to complete the work, and the group are looking at ways to make up the difference.
Away giving by the Mission Action Group is also affected by the drop in donated income. However, the Group have agreed that the 20% not allocated to Mission Partners (£1300) will be split between two local initiatives - the FEAST foodbank and the Kent Domestic Abuse programme.
2019 End of Year Accounts
The PCC have just approved the accounts for the end of 2019.
2019 proved a magnificent year! You, the parishioners, proved remarkable. Not only did you contribute to a surplus on the General Fund and an increase the value of the Restricted and Designated funds, but you also pledged almost £100,000 to support the ‘Building for the Future’ programme.
The Balance Sheet shows that Net Assets have risen by just over £55,000 to £2,176,918 (the majority of which is held as property at a value of £1,765,000). The increase of £55,000 is made up of:
a) £3,405 in the General fund
b) £26,531 in Designated funds
c) £25,161 in Restricted funds
Income was up from £513,00 to over £606,000. However, the majority of the increase was in the money donated to the special funds.
Expenditure rose from £471,000 to over £554,000, mainly due to private donations made to our mission partners.
The value of the parish assets differed little as the revaluation of the property showed no increase. Investments and Debtors showed small increases of just under £3,000 in each case.
Staff costs rose by just over £7,000 because we recruited an assistant to the Youth and Children’s Minister.
The Church Repair Funds (CRFs) were used to fix the car park at St Philips (£3700) and take down the trees at St saviours (£9,800)
The house at 12 Salisbury road was rented out for the whole year. The one at 14 Salisbury Road was let in the 4th Quarter after the curate (Wendy Carr) moved to the Associate Vicar’s house at 13 Dry Hill Park Crescent. This meant that over £30,000 could be transferred to the Repair fund to support the future maintenance of the houses and the church buildings (over and above the CRFs), and to avoid repeated calls upon the parishioners for money to support building projects.
The Mission Action Group were able to distribute over £28,000, of which 80% was given to the Mission Partners and 20% to other charities and causes – see list on Page 20 of the accounts.
The full report can be downloaded HERE.
Les Naylor, Parish Treasurer - email@example.com