Parochial Church Council of St. Andrew's Corbridge with Halton and

Newton Hall.

Financial Statements for the Year Ending 31st

December 2014

1. Independent Examiner's Report

2. Treasurer's Report

3. Summarised Balance Sheet at 31st

December2014

4. Summarised Statement of Financial Activities

5. Notes to Financial Statements

6. Grants & Donations

ST ANDREW'S CHURCH, CORBRIDGE

INDEPENDENT EXAMINER'S REPORTTO THE PAROCHIAL CHURCH COUNCIL OF ST ANDREW'S CHURCH, CORBRIDGE

I report on the accounts of the Parochial Church Council for the year ended 31 December 2014 which are attached.

Respective responsibilities of trustees and examiner.As the members of the Parochial Church Council, you are responsible for the preparation of the accounts; you consider thatthe audit requirement of section 43(2) of the Charities Act 1993 (the Act) does not apply. It is my responsibility to state, onthe basis of the procedures specified in the General Directions given by the Charity Commissioners under section 43(7)(b) ofthe Act, whether particular matters have come to my attention.

Basis of independent examiner's report.My examination was carried out in accordance with the General Directions given by the Charity Commissioners and to befound in the church guidance 2006 edition, An examination includes a review of the accounting records kept by the ParochialChurch Council and a comparison of the accounts presented with these records. It also includes consideration of any unusualitems or disclosures in the accounts, and seeking explanations from you as members concerning any such matters. Theprocedures undertaken do not provide all the evidence that would be required in an audit, and consequently I do not expressan audit opinion on the view given by the accounts.

Independent Examiner's statementIn connection with my examination, no matter has come to my attention:

(a) which gives me reasonable cause to believe that in any material respect the requirements:(i) To keep accounting records in accordance with section 41 of the act; and(ii) To prepare accounts which accord with the accounting records and to comply with the accounting requirements

of the Act;

have not been met; or

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

Roger Jones

Dated:~March 2014

Parochial Church Council of Corbridge, with Halton and Newton Hall.

TREASURER'S REPORT

For the year ending 31st December 2014

1. Accounting Changes

There were 2 significant developments during the year:

Classification of Income & Costs - The way in which the Fabric Fund is used has been rationalised and it nowincludes all significant repair and maintenance costs. In addition, income from fundraising activities, unlessotherwise specified, is no longer included in the Fabric Fund.This switch has no effect on the overall result but it provides breathing space for the main operating bankaccount (General Fund Account).

Related Activities' In previous years, financial transactions linked to related activities have not been includedwithin the main body of the results but shown separately as memorandum items. These activities fall within thejurisdiction of the church and from 2014 the associated financial transactions are consolidated within the results.In 2014 this consolidation provides a windfall boost to the accounts as the bank balances for these activities areincluded for the first time.

The activities, together with the windfall gain are shown below:

Parish Magazine· £1918. The magazine no longer operates in it's previous form. This is the closingbalance.

Womens Fellowship· £415.

Church Choir (including Chilcott Fund) • £1639.

Musical Events (FIESTA)· £6921.

Junior Church - £239.

One inevitable effect of these changes for 2014 is to distort some of the comparisons with the previous year.

2. Results for 2014

Net Assets· Increased by almost £41,000 over the year. The Fabric Fund bank account increased by £31,000and other bank accounts by £12,000 as a result of the windfall gain arising from the inclusion of the accountsnoted above. Current liabilities increased by £3000 with the debt owed to the Dominic Abrahams Trust,

Movement in Net Assets in 2014

35

30 I25 )

20

5

o-5

(£OOO's) 15

10

Investments FabricFund RelatedActs -G FundEtc r- Liabilities' -t

Fabric Fund Account - Legacies totalling £40,000 boosted the account in 2014. This was offset by repairand maintenance work and, in particular, by instalments paid on the Altar Frontal project of £4366. Theproject is now complete at a total cost of £13066.

Consolidation of Related Activities - See comments above.

General Fund Account - This includes the operating activities of the Church. The result last year wasbroadly neutral. The main features were:

Pledged Giving - This is our biggest source of revenue. In 2014 it had fallen by 21% compared to2011 when income peaked following the last campaign. The 2014 result was lower than in 2009, theyear before the last campaign began. The chart below shows the recent history.

Pledged Giving (lncl Tax)100 - -- --~~ -" --- - -

(£OOO's)

90 "8070605040 --3D

20

10o

----_----

2009 2012-~~ ~~----,----

20142010 2011 2013

Fund Raising - The various initiatives raised a remarkable £9652 last year and this is to the greatcredit of the individuals and teams involved and the imagination and commitment they demonstrated.The comparable figure for last year was £2284. The chart below provides a view of the contributingevents.

Fund Raising 2014£815

£'s

57

III Open Gardens

• Organ Recitals

• Wedding Festival

• Grand Draw

III Christmas Tree Festival

III Christmas Cards

m FIESTA

In addition, income from votive candles, sale of literature etc in the church at £5234 was 33% up on2013.

Charitable Giving - Payments made in 2014 meant that we were able to meet our objective ofdonating 10% of pledged income to charity for 2013" Similarly, PCC agreed in January that we wouldmake payments in the first quarter of this year to achieve the same objective for 2014.

Conclusion - Financially, 2014 was a satisfactory year for St Andrew's. As a result of generous legacies, theFabric Fund now has over £76,000 to address capital and major repair & maintenance issues. Bringing in, forthe first time, the accounts of directly related activities provided a one off boost of more than £11,000. TheGeneral Fund account broke even and we have been able to meet our charitable giving target for 2013 and2014.This is all good news but we must not lose sight of the weakness of pledged giving which, for the last 3 years,has been on a clear downward curve. This is a significant underlying problem that was disguised, last year, byan outstanding fund raising performance.

3. Prospects for 2015

The situation with the Fabric Fund seems relatively comfortable but this is not the case with the General Fundaccount. The Parish Share cost for 2015 is likely to be about £4,000 more than for 2014 and the pledgedincome downward trend will continue it's course until the fruits of the new campaign are realised and that isunlikely to be until the second half of the year. There are no potential one-off benefits, such as the merging ofrelated activities, in view. The fund raising result for 2014 was commendable but matching that result, let aloneimproving on it, will be a tough challenge. Much will depend on the success of the 2015 funding campaign.

There are likely to be more "downs" than "ups" in 2015 and we can expect to lose money on the General Fundaccount in 2015. The level of activity on fund raising last year was high. In challenging circumstances we needto maintain or increase that level in 2015 and beyond.

Parocial Church Council of Corbridge with Halton and Newton Hall

SUMMARISED BALANCE SHEET - at 31st December 2014

Note 2014 2013£ £

INVESTMENTS

Investment assets 5

CBF Fund (CCLA 1S 853.05 shares) 11391 10,815

M & G Fund (3033 units) 43620 43,650

55011 54,465

CURRENT ASSETS

CBF Fund (CCLA 10 + CCLA 20) 10688 10635

Cash at bank and In hand 7 114907 71850

Halton General 5224 5,109

130819 87,594

ADD ACCRUED INCOME & PREPAYMENTS 6 4276 4,287

LESS LIABILITIES FALLING DUE WITHIN ONE YEAR 8 5352 2,284

NET CURRENT ASSETS 129743 89598

NET ASSETS 184754 144,062

FUNDS 10

Unrestricted 86861 63,719

Restricted 97893 80,343

184754 144,062

The attached notes form part of these financial statements.

Approved by the PCC onand signed on their behalf

Unrestricted FundsRestricted TOTAL FUNDS

Funds 2014 2013

Note £ £ £ £

INCOMING RESOURCES

Incoming resources from donors 2a 81,389 2,919 84,308 89,117

Other voluntary Income resources 2b 1,292 22,794 24,086 11,257

Income from charitable and anclillary trading 2c 4,603 5,180 9,783 13,846

Other ordinary Incoming resources 2d 0 13,917 13,917 16,141

Extraordinary Income 2e 1,918 5,788 7,706 0

Income from Investments 21 2,458. 45 2,503 2,353

Total incoming resources excl Legacies: 91,661 50,643 142,304 132,713

RESOURCES EXPENDED

Grants 3a 4,233 13,515 17,748 15,142

Activities related to the activities of church 3b 81,338 27,084 108,422 111,176

Fund-raising and publicity 3c 0 2,477 2,477 0

Church management and administration 3d 4,168 0 4,168 6,099

Repairs & Maintenance 3e 0 4,977 4,977 5,190

Projects 31 0 4,366 4,366 3,900

Expenditure In relation to prior years 0 0 0 0

Total resources expended: 89,740 52,418 142,158 141,507

INCOMING/OUTGOING RESOURCES 1921 -1775 146 (8,794)

Legacies Received 29 0 40,000 40,000 22,365

GAINS fLOSSES ON INVESTMENTS 546 0 546 8,451

(Gains on M&G + 1S + 10 + 20 + Gift Aid)

NET MOVEMENT IN FUNDS 2467 38225 40692 22,022

Transfer between funds 20,674 (20,674) 0 0

BALANCES BROUGHT FWD AT 1 JAN 2014 63,719 80,343 144,062 122,041

BALANCES CARRIED FWD86,861 97,893 184,754 144,062

AT 31 DECEMBER 2014

1 ACCOUNTING POLICIESThe financial statements have been prepared in accordance with the Church Accounting Regulations 2006 together with applicable accountingstandards and the Charities SORP,

The financial statements have been prepared under the historic cost convention,

FundsThe General Fund represents the funds of the PCC that are not subject to any restrictions regarding their use and are available for application on thegeneral purposes of the PCC, The Fabric and other Funds are generally restricted,

The financial statements Include all transactions, assets and liabilities for which the PCC is responsible in law, They Include the financial transactionsof directly related church groups but not those of church groups that owe their main affiliation to another body nor those which are informal gatheringsof church members,

Incoming ResourcesVoluntary income and capital resources

Collections are recognised when received by or on behalf of the PCC,

Planned giving receivable under gift aid is recognised only when received,

Income tax recoverable on covenants/gift aid donations is recognised when the Income tax is reclaimed,

Grants and legacies to the PCC are accounted for as soon as the PCC is notified of its legal entitlement and the amount due.

Income from fund raising events Is accounted for gross,

Sales of books, magazines, postcards, etc. from the church bookstall are accounted for gross.

Other ordinary income

Rental income from the letting of church premises is recognised when the rental is due,

Income from investments

Dividends and Interest are accounted for when receivable, Tax recoverable on such Income is recognised In the same accounting year.

Resources expendedAll expenditure Is accounted for on an accruals basis, All costs have been directly attributable to the expenditure categories used In the statement offinancial activities. The church is not registered for VAT, accordingly expenditure is shown gross of unrecoverable VAT.

Grants and donations are accounted for when paid over, or when awarded, if that award creates a binding obligation on the PCC.

The parish share Is accounted for when payable, Any share unpaid at 31 December is provided for in these accounts as an operational (though not alegal) liability and is shown as a creditor in the Balance Sheet

Fixed assetsConsecrated land and buildings and church furnishings

Consecrated and beneficed property Is excluded from the accounts by s.96(2)(a) of the Charities Act 1993,

No value is placed on movable furnishings held by the churchwardens on special trust for the PCC and which requires a faculty for disposal since thePCC considers this an Inalienable property. All expenditure incurred during the year on consecrated or benefice buildings and movable churchfurnishings, whether maintenance or Improvements, is written off as expenditure In the SOFA and separately disclosed.

InvestmentsInvestments are Included at market value at 31 December. The statement of financial activity Includes the net gains and losses ariSing on revaluationsand disposals during the year.

Current assetsAmounts owing to the PCC at 31 December In respect of fees, rent and other income are shown as debtors less the provision for amounts that mayprove uncollectable.

Short-term deposits include cash held on deposit either with the CBF Church of England Funds or at the bank.

2. INCOMING RESOURCES

Unrestricted Restricted TOTAL FUNDSIncome Income 2014 2013

£ £ £

Incoming resources from donors2a Bankers orders to Personal Giving account 55,123 0 55,123 59,606

Tax refunds from all gift aid donations to StA 16,939 500 17,439 17,423

Planned giving made with weekly envelopes 2,933 0 2,933 3,285

Cash collections at all services 6,394 2,419 8,814 8,803

Total: 2a 81,389 2,919 84,308 89,117

Other voluntary income resources2b Donations 1,292 5,245 6,537 5,011

Votive Candles/LileralurelWalibox 0 5,234 5,234 3,948

Fund raising 0 12,129 12,129 2,053

Sundries 0 15 15 0

Halton 2b Church Box 0 171 171 245

Total: 2b 1,292 22,794 24,086 11,257

Income from charitable & anciliary trading2c Fees 4,603 2,250 6,853 11,332

SI Andrew's Cottage 0 2,930 2,930 2,514

Total: ze 4,603 5,180 9,783 13,846

Other ordinary incoming resources2d Funeral collections 0 10474 10,474 9,433

Special collections 0 916 916 4,162

RC contribution 0 2,528 2,528 2,545

Total: 2d 0 13,917 13,917 16,141

Extraordinary items2e Fiesta Opening Bank Balance 0 5,788 5,788 0

Bridge Magazine· funds transferred 1,918 0 1,918 0

Total: 2e 1,918 5,788 7,706 0

Income from investments21 Dividends and interest 2,458 45 2,503 2,353

Total: 2f 2,458 45 2,503 2,353

Total Incoming resources before Legacies: 2a·f 91,661 50,643 142,304 132,714

Legacies 29 Total: 29 0 40,000 40,000 22,365

Total incoming resources: 2a-g 91,661 90,643 182,304 155,078

3. RESOURCES USED Unrestricted Restricted TOTAL FUNDSexpenditure Expenditure 2014 2013

£ £ £ £

Grants3a

PCC donations 0 916 916 2,787

PCC grants 4233 2125 6,358 2,921

Funeral services 0 10474 10,474 9,434

Total: 3a 4,233 13,515 17,748 15,142

Activities directly related to the activities of the church3b Ministry

- Parish Share + Dioc Serv Fees 70,906 0 70,906 70,385

- Vicarage 2,640 0 2,640 2,166

-Vicar 2,945 0 2,945 3,930

- Other Clergy 2,359 0 2,359 2,138

Church and Services

- Building + building Insurance 0 14,178 14,178 16,179

- Cleaning 0 1465 1,465 1,473

- Service requisites 2,601 0 2,601 2,968

- Music

Organ/Pianos 0 166 166 844

Choir 0 2078 2,078 3,653

Organists 0 4775 4,775 3,915

Junior Church + Women's Fellowship -504 0 -504 290

St Andrew's Cottage 0 3543 3,543 2,338

- Cleaning 0 879 879 807

Flowers + equipment+ catering 0 0 0 90

Memorial Garden Engraving 392 0 392 0

Total: 3b 81338 27084 108,422 111,176

Fund-raising and publicity3c Cost 01events 0 2477 2,477 0

Total: 3c 0 2477 2,477 0

Church management and administration3d Copying, stationery and telephone 3266 0 3,266 2,812

Relund 01parish magazine sales 0 0 0 373

Bank charges + prof lees + mlsc 902 0 902 2,914

Total: 3d 4168 0 4,168 6,099

Repairs and maintenance3e Rool 0 420 420 0

Lighting 0 2617 2,617 0

Tower 0 0 0 4,374

Miscellaneous 0 1940 1,940 816

Total: 38 0 4977 4,977 5,190

Projects3f Altar Frontal purchase 0 4366 4,366 3,900

Total: 3t 0 4366 4366 3900

Expenditure In relation to prior years 0 0 0 0

Total resources used: 3a-f 69740 52418 142158 141507

3 RESOURCES USED - ADDITIONAL NOTES

Grants

3a PCC Donations in 2013 included a donation of £2000 which was handed on to Fiesta which was then aseparate entity. Fiesta is now included within the St Andrew's accounts.

PCC Grants in 2014 included £3295 that related to the 2013 target.

Activities directly related to the activities of the church3b Ministry - Vicar - Costs for 2013 included £641 which related to 2012.

Church and Services - Building + building Insurance - Significant repair and maintenance costs nowappear in 3e (below).

Church and Services - Music - Choir - The cost for 2014 includes £1 ,639 windfall gain when the ChoirFund account is ccnsollcated.

Jumlor Church + Women's Fellowship - The 2014 result Includes the windfall gain of £654 fromconsolidating the bank accounts of these 2 activities.

St Andrew's Cottage - Heating costs were up by £799 following a series of estimated reads in 2013.

Fund-raising and publicity3c Cost of events- 2014 includes costs associated with Fiesta which was not included in the accounts in

2013. The general level of fund-raising activity was much higher in 2014 than 2013.

Church management and administration3d Bank charges + prof fees + mlsc - The 2013 charge Included £720 for the examination of the 2012

accounts. In addition, 2013 included £858 for a projection screen.

4 STAFF COSTS£ £

Wages and Salaries 7,495 6,615

During the year, the PCC employed a cleaner for the Church, a cleaner for the Cottage and paid fees for organists, a trumpeter and formusicians playing at the Music Festival weekend.None of the recipients were paid more than £50,000.No member of the PCC received any remuneration or benefit during the year.

5 INVESTMENTS

CBF CCLA lS Investment Fund:. Units = 853.05 Historic cost = £3,519. Market value at 31 Dec 2014 = £11390.69(31 Dec 2013 = £10814.80).

M&G Investment Fund. Units = 3033 Historic cost = £12,000. Market value at 31 Dec 2014 = £43620.00(31 Dec 2013 = £43649.72).

6 DEBTORS

Prepayments and Accrued Income

Other Debtors

- General Catholic Church

Prepayments

2,528

1,749

2,545

1,742

4,276 4,287

7 CASH AT BANK AND IN HANDBank

- Corbridge PCC

- Planned Giving

- Choir (Incl Chilcott Fund)

- Womens Fellowship

- Musical Events (fomnerly FIESTA)

- Fabric

25,258

4,284

1,639

415

6,921

76,389

21,819

4,415

45,617

114,907 71,850

8 LIABILITIES: FALLING DUE WITHIN ONE YEAR

Accruals 5,352 2,284

5,352 2,284

Accruals for 2014 include £3219 representing the proceeds (including gift aid) from the funeral collection of the late Dominic Abraham. Thefunds are being held by St Andrew's pending the establishment of a trust fund in memory of Mr Abraham.

9 FUND DETAILS

There are restricted funds including Fabric Fund (St Andrew's) and Halton as well as those associated with specific fund raising initiativesand donations. Financial transactions in which the church Is simply an intemnediary, receiving and passing on charitable donations as in thecases of funeral services or "bucket" collections, are aso treated as restricted funds. Transactions in the General Fund are not restricted.

10 ANALYSIS OF NET ASSETS BY FUNDUnrestricted Restricted

TotalFunds Funds

£ £ £

Investments 55,011 55,011

Current Assets 32,598 98,220 130,819

Current Debtors 435 3841 4,276

Current Liabilities (1,183) (4,168) (5,352)

86,861 97,893 184,754

Restricted funds:

Outgoing At 31At 1 January 2014 Incoming resources resources Transfers December 2014

£ £ £ £ £

Fabric Fund 45668 40160 9343 8892 85377

Other Restricted (St Andrew's) 29566 50312 43019 -29566 7293

Halton Fund 5109 171 56 0 5224

80343 90643 52418 -20674 97893

'The values shown In ''Transfers'' represent adjustments and corrections to the starting position following a review.

PCC Grants & Donations2013 2014

£ £

Buque Family - Support for medical studies 648 938

NDBF - Botswana Diocesan Link Projext 824

Tearfund 824

Tynedale Hospice at Home 824

Corbridge Youth Initiative 824

Christian Aid 427 622

Newcastle Licensed Readers Association 50

Musicians Benevolent Fund 338

The Peoples Kitchen 362 452

Royal British Legion 503 629

The Children's Society 257 261

Womens World Day of Prayer 253

Operation Christmas Child 33

Tom Collins- Contribution to voluntary work overseas 100

Philippines Typhoon Appeal 459

Great North Chlldrens Hospital 335

MacMillan Cancer Support 435

3431 6966

Note that pee grants of £3295 paid in 2014 related to the 2013 objective of donaffng 10% of pledged giving to charity. Similarly,£2585 has been paid out In the first quarter of 2015 relating to the 2014 objective. In both years, therefore, the objective has beenachieved.