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FINANCE REPORT
Accounting
principles:
The accounts are prepared on a receipts and payments
basis. Transactions are recognised in the accounts when
cheques are written or deposits are made. Those being
processed by the bank at the reporting date are
identified as uncleared. No provision is made for any
liability. The figures given in this report are assets.
Reserves Policies:
Designated
funds are used for projects agreed from time to time by
the PCC but which are not covered by the Restoration or
General Funds, within which there are various Restricted
and an Unrestricted accounts. The reserves policies and
adherence to them are as follows. Unrestricted funds:
to have six months’ payments available in the reserves.
(comment: at the end of 2009 the unrestricted General
Fund was £11,414 (2007: £11,414); payments in the year
were £32,050, which included £1,602 of purchases largely
covered by donations. This reserve policy continues not
to be met.) Restricted and Designated funds: to have
sufficient resources available to meet the perceived
need; in the case of the Restoration Fund, to build it
at a rate of at least £2,500 per annum. (comment: at
the end of 2009 the Restoration Fund held £56,501
(2008: £43,536); Designated reserves were £21,948
(2008: £21,880). The other smaller funds were
satisfactory.) CBF deposit accounts are used for funds
surplus to the day-to-day management of the church.
Unrestricted funds:
The deficit in
the year was £(2,059) before an exceptional transfer
(2008: surplus £427).
2009 was a difficult
year, in which the PCC faced the likelihood of not
paying its full Parish Share. In the event, £2,059 of
the £9,238 remaining at the end of the heating pipes
project was used to cover the deficit. This exceptional
action was taken with the agreement of the PCC and a
particular donor. Further, the PCC changed the
arrangements for the allocation of wedding fees so that
it will be far less likely to incur an unrestricted
deficit in future years.
Collections (cash) was
£877 lower than last year, reflecting possibly the
reduced average Sunday attendance (2009 28; 2008 32).
Planned Covenants/gift aid was £4,390 with the balance
being donations in support of other activities; 2008
was similar. Fund raising showed a welcome improvement
as highlighted elsewhere in this report. Other Giving
(U), which included a £900 donation in 2008, reduced by
£1,976. PCC Fees, as expected, were the largest
contributor but £2,454 less than last year because of
fewer funerals and weddings, which affected their
collections in Sundry Donations. In summary, the PCC’s
overall financial performance continues to be influenced
substantially by the number of weddings.
Tithe Giving reduced,
which reflected the investment income. Third party
giving reduced by 23% in 2009 (and a further 20% in
2008). The Church Maintenance increase was due to
timing. On Church Running Expenses, electricity
consumption increased by 28% and its unit cost by 17%;
gas consumption in the last three months almost halved,
an effect, no doubt, of the mild weather and the new
heating pipes. Five issues of the Parish Magazine were
paid for in 2009 as against three in 2008. Purchases
were once again covered largely by donations. The
increase in Salaries was due to timing. Support Costs
have reduced because of the change of secretarial
procedures. Upkeep of Churchyard has reduced because
fewer cuts were necessary; this work is now being
carried out by the Probation Service at no cost to the
PCC.
Restricted funds:
The deficit in
the year was £(20,509)
(2008: surplus £13,189).
The project to replace
the heating pipes was completed at a cost of £25,411.
The Seward Room account, administered to date by the
Diocese, has been closed and the balances used to update
the crockery/cutlery/etc.. Bank Interest was noticeably
lower than in 2008. Gift Day went towards the cost of
repairing the north roof.
Designated funds:
The surplus in
the year was £67 (2008: surplus £1,390).
Outreach (home) included
the costs of the Big Question meetings. The costs of
setting up the Post Office in the Seward Room have been
met by a donor and the Buriton Shop Association, for
which assistance the PCC is most grateful. Outreach
(overseas) continues to be concerned exclusively with
Dominase in Ghana; investigations continue into the
whereabouts of £200, which was intended to be used for
new vestments.
Ian Johnston (262293) |