REGISTERED COMPANY NUMBER.. 03716992 {England and Wales) REGISTERED CHARITY NUMBER: 1074732 Report of the Trustees and Flnancial Statements for the Year Ended 31st March 2024 The Charles Hastings Education Centre (A Company Limited by Guarantee)
Tho Charfes Hastlngs Education Centre Cont8nts of the Financlal Statèments for the Year Ended 31st March 2024 Page Reference and Admlnlstrative Details Report ofth¢ Twstees Report of the Independent Auditors statoment of Flnancial AGtivitio5 Balance Sheet 10 Cash Flow SLit•mont Notes to the Cash Flow Statement 12 Noles lo the Financial Ststemenls 13 to 22 tailod Statemant of Flnan¢ial Acllvltles 23
The Charles Hastlngs Education Centre Raference and Administratlve Dgtails for the Year Ended 31st March 2024 TRUSTEES Mr J Black Mr R Dudley Mr A G Duncan Dr N Hudson Dr S lfjng Dr J M Mather Mr J A Yglland QBE FCA (resigned 31.7.23) Dr L Tulloch Mrs D Niwl Drs F Murphy {signed 28.7.23) Mr A G Braml8y lappoinled 28.7.23) Dr H CarNvrfght (appointed 1.12.231 COMPANY SECRETARY Mr PJ MorTTS REGISTERED OFFICE Thè Chades Hastings Education Centre worSterShI Royal Hospital Charles Hastings Way Worcester Worcestershire WR51DD REGISTERED COMPANY NUMBER 03716992 (England and Wales) REGISTERED CHARrrY NUMBER 1074732 SENIOR STATUTORY AUDITOR Melissa Godwin ACA ACCA INDEPENDENT AUDITORS Richards Sandy Audit Services Limited (Statutory Auditor) Thomek)e House 25 Barboume Road Worcester WR11RU soucrroRS Hallmark Whatley Hulme 3,4 & 5 Sansome Place Worcester WR1 1UQ BANKERS Uoyds Bank PIC 4 The Cross Worcester WR13PY Page 1
Th& Charles Hastlngs Education Centre Report of the Trustees for tho Year Ended 31st March 2024 The truslees tho a also directors of the charty for the purposes of the Companies Act 2006, psent their report with the financial stalem8nls of thg charity for the year endèd 31st March 2024. The Iruslees have adopted the provisions of Acwunting and Reporting by Charities.. Ststement of Recommended Practice applicable lo chari116s preparfng their a¢¢ounts in accordance with the Financial Reporting Standaid applicable in the UK and Republic of Ireland IFRS 102) (effective 1 January 20191. OBJECTIVES AND ACTIVITIES Principal objects The charitys objects are the advanrnent of educalon in matters relating to medicine and health care, with particular referen to: th8 Odueation and training of doctors and other staff employed in the National Health Service (or any organisation that may repla it),. th6 provision of library and infomiation servi8 tor medical and heatth care staff,. to provide a venue for meetings, conferences and lectures for doctovd and other health care staff,. and to establish and maintain a mvseum which collects, documents, preserves, interprets and exhibits to a wider public material infom1811on relating to the history of medicine and health care in and around WoTrster and in particular the books and artrfacts relating lo the founding of the British Medical Association in Worcester. Public benefft The Trustees Ix)nfinn that they have CoMled with the duty in Section 17 (5} of the 2011 Charilles Act to have due regard to guidance on public benefit, published by the Cha17ty Commission when reviewng the charity's objectives and planning futu activities. Poll¢y To operate The Charles Hastlngs Educalion Centre lo enable the advanment of education in matters relating to medicine and health¢are. Objectives of tho charity and strategl•s for achhving them The prfmary objective of the charity is lo maintain the infrastructure of the buildings and equipment within the buildings to a standard consistent with a leadlng educational inslilution. The Centre continues lo work closely with the locd community to improve access to museum cllectIOns, to raise awareness of what the museum and other herilage organisations can offer people and to inspire people to leam more about their heritsge and the history of medicine. ACHIEVEMENT AND PERFORMANCE Revlow of charltable a1vItIeS in the yèar Essential building repairs and redecoratSon were completed and equipment replaced during the year under th8 annual Lrfe Cyde Maintenants Programme. The Infimiary Museum, a Heritage Lott8ry nded Joint project the UnIvety of Worcester, continued to be operdled and open lo the public during the year. Fundraising activitigs In the year under review the charity did not cany out any fundraising activ*tie8 (as dofined by section 162A of Charities Act 2011 }. Plans forthe future The charity will continue lo build financial reserves so thal the equipment and facilities can be improved over time. The charity will cL)nlinue to market the Centre so that any spare capacity can be used to generate income. FINANCIAL RErfIEW Financlal re$uhs The charivs unrestricted incoming resources increased to £594,208 12023 £428.2071. Unrestricted resources expended increased to £533,48712023 - £414,861) and the net unrestricted incoming resourc85 for Ihe year amounted to a surplus of £60,721 (2023 - surplus of £13,346>. The charity prepares an annual budget which is monitored by the Irustees. Variances from the budget are acted upon as appropriate. The charivs management accounts are discussed at gUlar trustee's me8tings. The principal source of funding sources is the letting of the charity's premises to its subsidiary, the Worcestershire Healthcare Education Company Ltd IWHEC) and, through WHEC, to the Worcestershire Acute Hospitals NHS Trusl. acting as agent for all NHS bodies in the wunty. Page 2
The Charles Hastings Education Centre Report of the Trustees for th• Year Ended 31st March 2024 FINANCIAL REVIEW Reserves poll¢y The charity's policy for the level of income reserves was reviewed in Febnjary 2018 and il wa5 decided that a minimum serve of £250,000 be maintsined between The Ch8des Hastings Education Centre and its Subsidiary, The Worceslershire Healthcare Education Company. The truslees believe that this level of reserves would be enough to ca)ver any significant IDSS of inrne, or any large repairs to the cenlre. After deducting fixed assets and designated funds. unrestricted general reserves were £323,900 at 31 March 2024 (2023- £352,886). The designated development fund was established in the year ended 31 March 2018 in order to build reserves for future development projects, induding a possible extension to the Chades Hastings Educats"on Centre. The balance of this fund al 31 March 2D24 w85 £154,00012023- £154.000). Rèstricted reserves A restricted re5etve was est8blished in respect of the development and construction of the buildings to house The Ch8rfes Hastings Education Centre. That building was completed during Ihe year ended 31 March 2003. The balan of thal fund at 31 March 2024 was £1,804,71412023- £1.869,504) representing the depreciated cost of the building. A restricted reseNe was established in respect of the provision of fixed assets for the Medical Museum and the developrnent of educational resources. The balance of that fund at 31 March 2024 was £968,232 {2023 - £275,568). representing the depreci21ed cost of those assets and Ihe grant income available lo spend on future educational resour. A restricted reserve was also established for the provision of an audivISUal link beeen oparating theatres in the hospital and the lecture theatre in the Education Centre and for the provision of Clinical skills equipment in the Centrg. The fund balanGe of £4,437 {2023 - £20.419} represents the depreciated cost of Ihose assets. A further restricted fund was established in 2010 to develop a new museum exhibition within the former Worcester Royal Infimiary at Castle Street which has received Herilage Lottery Funding. The fund balance at 31 March 2024 was £18,588 12023 - £24,385)., the project was completed on 31 October 2014 and Ihe balance represents the depreciated cost of the assets held within the exhibition, as adjusted for the debiors ar bank balance. Two further restricted funds were established from income received in 2020121 for a Cardiology Educatlonal Fund and Paediatric Trainlng Fund. Each of the above restricted reserves relate to specific grants received from third parties and lotall8d £2,812,900 8t 31 March 2024 (2023- £2,208,418). Investment Powèrs The inveslmenl powers are govemed by the Trustee Investment Act 1961 (8s amended) and the Charities Act 2011. STRUCTURE, GOVERNANCE AND MANAGEMENT Constitution The tharity is a company limiled by guarantee which is governed by its Memorandum and Artides of Assoclation. The Charity is regIsted with the Charity Commission. The charity gIStratIon number is 1074732 and the limited company numbei is 03716992. Recruitment and appointment of nèw trustees The Stees. being eligible, offer thernselves in rot8tion for r&electii)n every three years al the Annual General Meeting. The appointment of the trustees is rnade by thB members in the annual general rneets'ng on the recommendalion of existing trustees based on personal re(x)mmendations. Organisational structure The Chades Hastings Education Centre is a registered charrfy and a private limited company. There is a Board of Trusleesl Directors which manages the organisation at a strategic level. The conduct of the Board is governed by Standing Orders, a Scheme of Delegation of Interest and Standiro Financial Instrudions. The Scheme of Delegation provides that the fo]IowFng powers are retained solely by the Board.. Poiicy detemiination.. Approval of business plan., Appointments of offi¢ers', Financial and performance rnonitoring.. Approval of audit arrangements.. and Approval of organlsation structures, induding committees and sub-committees. Page 3
Thè Charles Hastlngs Education Centre Roport of the Trusteos for the Year Ended 31st March 2024 STrUCTURE, GOVERNANCE AND MANAGEMENT The 8oard has approved the committee slructurè as follows.. Reporting to the Board is the Management CommFttee which has an agreed constitution covering membership and terms of referen., and ReFK)rtFng to the Management Committee is one sub-committee Ihat meets Dn the same cycte as the Board and Management Committee, i.e. at least three limes per annum. This is Ihe Museum Sul>Committee and as with the Management Committee, this sutFcommittee has PS¢bed mernbership and terms of reference. decision-making of the Management Committee and the sub-committee is prescribed by the Scheme of Delegation and their terms of reference. The Chairman, Secretary and Treasurer have prescrfbed duties and responsibilities under the Scheme of Delegation. The Secretary, P J Morris, is responsible for the daY-tdaY management of the organisation. Induction and trainlng of new trustees Trustees are inducted by meeting with the Chaimian and Secretary. Twstees, skills are regulady reviewed and updated where nSsary. Related parties The Worcestershire Healthcare Education Company Limited is the wholly-owned subsidiary of The Chades Hastings Education Centre. It is a private limited company and exists to undertake the commercial activities of The Charles Haslings Education Cenlre. It ha5 the same board of director5 and the same officers and. as with The Charles Hastings Education Centre, the Secretary is responsible for the day-t¢>day Nnning of The Worcestershire Heallhcare Education Company Limited. Any profit of The Worcestershire Healthcare Education Company MIted is gift aided lo The Charfes Hastings Education Centre,. during the y8ar ended 31 March 2024 £281,109 (2023- £166,971) was grfted lo the charity. Rlsk assèssment Thè Trustees regularly assess the risks lo which the charity is exposed and take apPpriate action to mitigalè tho58. QUALIFYING THIRD PARTY INDEMNITY PROVISION Per the charitable companys Arb'cles of Association, subject to the provisions of the Act every trustèe or other officer of the Charity shall be indemnified out of the assets of the Charity against any liabilty incurred by him in that capacity in defending any proceedings, whether clvil or criminal. in which judgement is given in his favour or in which he is acquitted or in connection with any application In which relief is granted lo him by the court from liablIty or negligence, default, breach of duty or breach of trust in relation to the affairs of the Charity. STATEMENT OF TRUSTEES, RESPONSIBILITIES The twstees (who are also the directors of The Charfes Haslings Education Centre for the purposes of company lawl are responsible for preparing the Report of the Trustees and the financial stat8ments in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally A¢pted Accounting Practice). Company law requires the trustees lo prepare financial statements for each financial year which give a tnje and fair view of the stste of affairs of the charitable company and of the in(x)ming resources and application of resources, including the income and expendrture. of the chafitable company ft)r Ihat period. In preparing those financt81 stat8ments, the trustees are required to select Suitable accounting policies and then apply them cortsistenuy. observ8 the methDds and principles in the Charity SORP. make judgements and eslimales that are reasonable and pwdenl- prepare the financi81 statements on the going eoncem basis unless rt is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting rerdS which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure thal the financial statements comply with the Companies Act 2006. They are also responsible tor safeguar(ling the assets of the charitable company and hence for taking reasonable steps ft)r the prevention and delection of fraud and other irregularibes. In so far as the trustees are aware.. there is no relevant audit infomiation of which the charitable companls auditors are unaware., and the trustees have taken all steps that they ought tr) have taken to make themselves aware of any relevant audit infomiation and to establish that the auditors a aware of that information. Page 4
The Charles Hasting$ Educatlon Centre Report of the Truste8s for th• Yoar Endéd 31st March 2024 This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies. of the board of trustees on l2- Approved by or and signed on its behalf by= MrJ Black Page 5
Report of the Independent Audltors to the Members of The Charfes Hastings Education Centre Opinion We have audited the financial statements of The Chades Hastings Education Centre (the '¢haritable companW) for Ihe year ended 31st March 2024 which comprise the Ststement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notas to the financi81 statements, including a summary of significant accounting pollcies. The financi81 report¢ng framewo that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted AccountFng Practice). In our opinion the financial slalements.. give a true and fair view of the state of th8 charitable companrfs affairs as al 31st March 2024 and of its incoming resources and application of resources, induding its income and expenditure, for the year then ended.. have been properly prepared in accordan with United Kingdom Generally Accepted Atxounling Piaclice,. and have been prepared in accordan with the requirements oflhe Companies Act 2006. Basis for opinion We conducted our audit in accordance with Internation Standards on Auditing IUKI IISAS IUK}} and applicable law. Our responsibilities under those standards are fijrther described in the Auditors, responsibilities for the audit of Ihe ffinancial statements section of our report. We are independent of the charitable cornpany in accordance with the ethical requirements that are relevant to our audit of the financial st8tements in the UK, including the FRC's Ethical Standard. and the provisions 8v8ilable for small entities. in the Circumstan set out in nDte 20 to the financial statements, and we have fvlfilled our other ethical responsibilities in accordan with these requirements. We believe that the audrt eviden we have obtained is suff1cient and appropriate to provide a basis for our opinion. Con¢lu5ions relating to going concem In auditing the financial statements, we have concluded that the trustees, us8 of the going concern basis of accounting in the preparation ol the financial slalemenls is appropriale. Based on the work we have performed, we have not identified any mateiial uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to conlinue as a going concem for a period of at least e1ve monlhs from when the financial statements ao authorised for issue. Our responsibilities and the re$ponsibililies of the trustees with respect to going concern are described in the relevant sections of this report. Qlher Infonnation The Itee$ are responsibla for the other information. The other Information comprises the informatlon Included in the Annual Report, other than the finarycial statements and our Report o! the Independent Auditors thereon. Our opinion on thè financial statements does not cover the other information and, except to the extent otheMis6 expliduy stated in our report, we do not express any fonn of assurance condusion thereon. In connectioft with our audit of the financial statsments, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knovAedge obtained in the audit or otherwise appears to be materially misstaled. If we identify such matertal inconsistencies or apparent material misslatemenls, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. 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 facL We have nothing lo repcfyrt in this regard. Oplnlons on other matters prescrlbed by the Companies Act 2006 In our opinion. based un the work undertaken in the course of the audit". the information given in the Report of the TTUStees for the financial year for which the financial statements are prepared is consistent with the financial slatemen15- and the Report of the Trustees has been prepared in accordance wtth applicable legal requirements. atters on whi¢h we are required to report by exception In the light of the knowledge and underst8nding of the charitable company and its environment Obtained in the course of the audit. we have not identifi8d material misstatements in the Report of the Trustegs. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us lo report to you rf, in our opinion- adequate accounting racords have not been kept or retums adequate for our audit have not been received from branches not Vlsiled by us., or the finana81 statements are not in agreement with the accounting records and returns., or certain disdosures of trustees, remuneration specified by law a not made,. or we have not received all th8 infomiation and explanalions we require for our audit., or the trustees were not entitted to lake advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Trustees. Page 6
Report of the Independent Audhors to the Members of The Charles Hastings Edu¢atlon Centre Rosponslbllitles of trust•95 As explained more fully In the Ststernent of Trustees. Re$ponsibilibes, the trustee$ (who are also the director$ of the charitable company for th6 purposes of company law) are responsible for the preparation of the financial statèments and for being satisfied that they give a true and fair view. and for such intemal control as the trustees determine is necessary to enable the preparation of financial Statements that are fre8 from material misstatement, whether due lo fraud or error. In preparing the financial slat8ments, the Iwstees are responsible for assessing the charitable companys abilty lo o)ntinue as a going concem, disclosing, as applicable. matters related to going concern and using the going concem basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations. or have no realistic allemative bul lo do so. Qur responsibilities for the audlt of the financlal statements Our objectives are lo obtain reasonable assurance aboul whether the financial statements as 8 whole are fre& from rnatsrlal misstalemenl, whether due lo fraud or error, and to issue a Report of the Independent Auditors that indudes our oplnlon. Reasonable assurance Is a high level of assurance, but is not a guaranleg that an 8udit conducted in accordance with ISAS {UKI will aayS detect a material misstatement when11 exlsls. Misstslemenls can arrse from fraud or error and are considered materlal If, individualty or in the aggregate, they Could reasonably be expecteii to influence the economic dec*sions of users taken on the basis of these financial ststements. Itregularibes, inctuding fraud, ar8 instances of nort-compliance with laws and regulations. We design proc&dures in line . with our responsibilities, outlined above, to detect material misstatements in respect of legUlarl11es, induding fraud. However, it Is tha piimary responsibility of management, with the oversight of those charged with govemane8. to ensure that the entity's operations are conducted in accordance with the pmvisions of law8 and regulations and for the prevention and detection of fraud. In idèntifying and assessing risks of material misstatement in respect of irregularities, includin9 fraud, we have.. oblained an understanding of the nature of the industry and sector, including the legal 8nd regulatory framework that th8 company operates in and how the company is complying the leg81 and regulatory framework., and inquired of management, and those charged with governan, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud. As a result of these procedures we consider the most signffic8nt laws and regulations that have a direct impact on Ihe financial statements are the Charities SORP {FRS 102) 'Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Rapublic of Ireland IFRS 102) (effective 1 January 2019),, Financial Reporting Standard 102 'Thg Financi81 Reporbng Standard applieAble in the UK and Republic of Ireland,. the Companies Act 216 (and related legislalionl, the Charities Act 2011 {and related legislalion) and laws and regulation regarding VAT. We performed audit procedures to delect nofv¢ompliances which may have a material impact on th8 financial ststemenls, which included reviewing the financial statement disclosures and reviewng the calculations of VAT retums, including testing a sample of income and expendtture transactions to ensure that VAT on such transactions have been cAJrredy accounted for and considered the application of partial VAT exemptions. We have considered the basis that legacy income has been bolh recognised and measured in the financial statements. induding the cognItion and calculatlon of the year end accTued income provision. This has included obtainlng and revlewing infomiation provided to us by the solicttor handling the estate of the deceased individual who has left ihe legacy lo the charity. We have confirmed that thi5 solicitor is registered with the Solicitors Regulallon Authorty. Because of the inherent limilatlons of an 8ud¢ th8re is a risk that we will not d8tecl all irregularities, induding those leading to a material misstal8m8nt in the financial slalements or non-compliance with regulation. This risk increases the more that complianc8 Wth a law or regulation is removed from the events and tfftnsactions reflected in the financlal statements, as we will be less likely to become aware of instances of non•compliancÈ. The risk is 81so grealer regarding irregularities occurring due to fraud rather Ihan error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A furlher description of our responsibilities for the audit of the financial slatemenls is located Dn the Financial Reporting Councd's website al www.frc.org.uk18uditorsresponsibilities. This des(xiption forms part of our Report of the Independent Auditors. Page 7
Report of the Independènt Audhors to the Members of The Charles Hastlngs Education Centre Use of our report This report is made solely to the charitable company's members. as a body. in accordan WFth Chapter 3 of Part 16 of the Companies Act 2006. Our audit wotk has been undertaken so that we might stale to the charitable (x)mpanS members those matters we are required to state to them in an auditors. report and for no other purpose. To the fullest extent pemrtted by law, we do nol 8ccepl or assume responsibilty to anyone other than the charitable company and the charFtable companys members as a tjody, for our audit work. for this report, or for the opinions we have fom)ed. Melissa Godwin ACA ACCA (Senior Statutory Auditor) for and on behalf of Richards Sandy Audit SeN1$ Limited {StalLrtory Auditor) Thomeloe House 25 Barboume Road Worcester WR11RU Date.. Page 8
The Charles HaSngS Education Centre Slatement of Flnancial Activities (Incorporating an Incomo and ExpendlturB Account) for the Year Ended 31st March 2024 2024 Total funds 2023 Total nds Unrestricted fijnds Restricted funds Notes INCOME AND ENDOWMENTS FROM Donations and legacies 287.042 702.500 989.542 180,324 Charilablg activitles The Chartes Hastings Education Centre George Marshall Medical Museurn 288,872 2.488 288,872 2,988 253.752 1,519 500 Investment income 15.806 15,806 4.612 Totsl 594,208 703.000 1,297,208 440,207 EXPENDITURE ON Charitable actlvities The Chartes Haslings Education Centre George Marshall Medical Museum 502.190 31.297 97,368 1.150 599.558 32.447 498.613 22.945 Total 533.487 98,518 632,005 521.558 NET INCOMEI(EXPENDITURE) 60,721 604,482 665,203 181,351) RECONCIUATION OF FUNDS Totsl funds brought foiward 593,883 2,208,418 2,802,301 2,883,652 TOTAL FUNDS CARRIED FORWARD 654.604 2,812,900 3,467,504 2.802.301 The notes fomi part of thèse ffnancial statements Page g
The Charles Hasllngs Education Centre (Reglstered number: 03716992) Balanco Sheet 31st March 2024 2024 Total lunds 2023 Total funds Unrestricted funds Restricted funds Noles FIXED ASSETS Tangible assets Inveslmenls 13 14 176,703 2,094,121 270,824 2,276,873 176,704 2.094,121 2,270,825 2,276.874 CURRENT ASSETS Debtors Cash at bank and in hand 15 380,974 303.742 300,000 418,779 680,974 722,521 242.636 399,740 684.716 718,T19 1,403,495 642,376 CREDtfoRS Amounts falling due wilhin Dn8 year 16 (206,8161 {206.816) {116,9491 NET CURRENT ASSETS 477,900 718.779 1,196,679 525,427 TOTAL ASSETS LESS CURRENT LIABILITIES 654,604 2.812,900 3,467,504 2.802,301 NET ASSETS 654,604 2,812,900 3,467,504 2,802,301 FUNDS Unrestricted fiJnds Restricted funds 18 654,604 2,812,900 593,883 2,208,418 TOTAL FUNDS 3,467,504 2,802,301 These flnancial statements have been prepared in accordance with the provisions applicable to chaTitable (MpanIeS subpct to the Sm1 companies regimè. The_ fi ancial statements were approved by the Board of Trustees and authorised for issue on rustee The notes fomi part of these financial statements Page 10
The Charles Haslings Education Centre Cash Flow Statement for the Year Ended 31st March 2024 2024 2023 Notes Cash flows from operatlng activities Cash generated from operations 424,618 78,798 Net cAsh Provid by operating activities 424.618 78.798 Cash flows from Investing activitigs Purchase of langible fixed assets Interest received {114.709) 12,872 (37.732) 4,612 Net cash uséd in investing activilies (101,837) (33.120) Change in cash and cash equivalents in the reporting period Cash and cash equivalants at the beginning of the reporting period 322.781 45.678 399.740 354,062 Cash and cash equivalents at the end ot tho rgporting perfod 722,521 399.740 The notes fomi part oflhese financial statements Page 11
The Charfes Haslings Educatlon C•ntre Noles to the Cash Flow Statement fof the Year Ended 31st March 2024 RECONCILIATION OF NET INCOMEI(EXPENDITURE} TO NET CASH FLOW FROM OPERATING ACTivrriES 2024 2023 Net incomel(expenditure) for the reporting period (as per the Stalement of Financial Activities) Adjustments for: Depreciation charges Interest received (Increaseydecrease in debtors Increase in creditors 665.203 (81,351) 120.758 (12,872) (438,338) 89.867 106,793 14,6121 21,131 36,837 Net cash provlded by operatlons 424,618 78,798 AMALYSIS OF CHANGES IN NET FUNDS At 1.4.23 Cash flow At 31.3.24 Net ca¥h Cash at bank and in hand 399,740 322,781 722.521 399,740 322,781 722.521 Total 399,740 322,781 722,521 The notes form part of these financial statements Page 12
The Chartes Hastlngs Educatlon Centre N8$ to the Flnancial Statements for the Year Ended 31st Mar¢h 2024 STATUTORY INFORMATION The charity is a company limited by guarantee. The members of the company are the trustees named in the 'Reference and Administrative Details, on page 1. In the event of the company being WOLsnd up, the liability in respect of the guarantee is limited to £10 per member of the charity. The charttable company's regist&red number and registered office address can be found on page 1. ACCOUNTING POLICIES BASIS OF PREPARING THE FINANCIAL STATEMEHtS The financial statements of the charitable company, which is a public benefit entity under FRS 102. have been prep8red in accordance with the Charities SORP (FRS 102} 'Accounling and Reporting by Ch8rities: Statement of Recommended Practice applicable to chaTities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ire18nd (FRS 102) (effective 1 January 2019), Financial Reporting Standard 102 'Th8 Financial Reporting Slandarcl applicable in the UK and Republic af Irelanrf and the Companies Act 2006. The financial statements have been prepared under Ihe historical cost convention. The financial information presented is for Ihe charity alone and does not incorporate the results of the trading subsidiary undert8kinq Thè Worcestershire Healthcare Education Company. The accounts are prepared in sterling. which is Ihe functional currency of tho charity. Monetary amounts in these financial stalem8nts are rounded lo the nearest £. PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS The financial statements contain infomiation about The Chades Haslings Education Centre as an Individual Company and do not contain consolrdated financ5al Infonnallon as the parent of a group. S8parale Consolidated financial statements have been prepared for Th8 Charfes Hastings Educalk)n Cenlre. INCOME All incom8 is recognised in the Statement of Financial Actimties On the ch8rity has entitlement to fhe fijnds, it is probable that the income will be received and the amount can be measured reliably. Grants and donatlons receivable Income from grants and donations is recognised in the peri1 in which the charity is entitled lo ceipt and the amount can be measured with Easonable certainty. Income from grants is only deferred when the charity has to fulfil coriditicns not yet mel before becoming entitled to it or Whe the donor has specified that the income is to be expended in a future period. Restricted grants and donations reiVed for capitsl expenditure are shown 85 a Restricted ReseThe and the expenditure to which they relate is ¢pitalISed as a tangible fixed asset and depreciated in accordan with accounting policy. Legacy income Legacies are recDgnised when probate is granted and there is sufficient infomialiorTr to measure them. Vvhere there is insufficient information lo reliably measure any outstanding legacies, these are instead treated as contingent assets land details of any such legacies will be disclosed in the notes to these financial statements). Letting income Letting income is recognised of a straight line basis over the term of the lease. Income from charitable activities Course income and museum takings are recc¥Jnised in the period in which the income relates to. Museum lakings are recognised al point of sale. Course income is recognised in the period in which the course OCCUTS. EXPENDITURE Liabilities a recognised as expenditure as soon as there is a le9al or ¢onstruclive obligation cornmitting the tharity to that expenditure, it is probable that a Iransfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. ivhere costs cannot be directly attn'buted to particular headings they have been allocated to activities on a basis consistent with the use of resources. Page 13 continued...
The Charles Hastlngs Education Centre Noles to th• Financial Statements - continued for th& Year Endéd 31st March 2024 ACCOUNTING POUCIES - contlnued TANGIBLE FIXED ASSErs Depreciation is provided on all tangible fixed assets, stated at cost, at the followng annual rates in order to write off each asset over its estimated usefvl life. Assets are included at cost and any capital expenditure less that £100 is not capitalised. Long leasehold buildings Improvements to leasehold buildings Plant and equipment Audio visual equipment - on cost - 20/0 on cost 1511k on redu(xng balance - 12.5% on cost Leasehold property rented out in fvrtheran of the charivs objects (and not primarily for the purpose of generating rental income) are classed as tangible fixed assets (and not 8s investrnont propety). Thi8 indudes leasehold property held by the parent chanty th8t is leased to its subsidiary. TAXATION The tharity is exempt from coryxiration tax on its charitable activities. FUND ACCOUNTING Unrestricted funds can be used in accordance wilh the charitable objoctives at the dis¢reliDn of the tfustees. Restricted funds can only be used for particular restricted purposes within the objects of Ihe charty. Restriclions arise when specified by the donor or when funds are raised for particular restricted purposes. Furkngr explanation of the nature and purpose of each fund is incjuded in the notes to the finan¢ial 5taiements. DONATED SERVICES The charitable company leases from Worc8Stershire Acute Hospitals NHS Trust the land upon which it has erected the premises known as the Chartes Hastings Educaknon Centre at Worcestershire Royal Hospital. The lease is for a pertod of 99 ye8rs from 8 March 2002 and a pepp8rcom rent is payable if demanded. The fair value of this donated 8eNice cannot be measur8d reliably and as such no value of the donated land has been included within the aci>)unts. INVESTMENTS The investrnent in the subsidiary company, The Worcestershire Healthcare Education Company Limited, Is induded at cost FINANCIAL INSTRUMENTS The charity has elected to apply the provislons of Sectlon 11, Basic Financi81 Instruments. and Section 12 '01her Financial Instruments Issues, of FRS 102 to all of its financi81 instwments. Financial instruments are recognised when the charity becomes party to contractual provisions of the instrument. Financial assets are offset, th the net amounts presented in the accounts where there is a legally enforceable Tight to sel off the recognised amounts and there is an intention to setNe on a net basis or to realise the asset and settle the liability simultaneously. Basic financial assets Basic financial assets. which include trade and other receivables and cash and bank balances. are initially measured at transacb.on price induding transaction costs and are subsequently Izrried at amortised cost using the effective interest methtKI uniess the arrangement constitutes a financing transaction. where the transaction is measured at the present value of the fijtute receipts discounted at a market rate of interest Basic financial liabilities Basic financial liabilities. induding trade and other payables. are initially recognised at transaction price unless th8 arrangement constitutes a financing transaction. where the debt instrument is measured at the present value of future receipts, discounted at a market rate of interesl. Debl instruments are subsequenlFy Gaffie(J at amortised cost. using the effective interest rate method. Trade payables are obligations to pay for goods or services that have been acquId in th8 ordinary course of the operations from suppliers. Accounts payable are dassified as current liabilities rf payment is due within one year or less. 11 not, they are presented as noTrcurrent liabilities. Trade payables are recognised initially at transactton cost. Page 14 conlinued...
The Charfes Hastlngs Educatlon Centre Notes to the Financial Statemgnts - continued for the Year Ended 31$t March 2024 CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY The charity makes estimates and assumptions concerning the future. The resulling estimates will. by definition, seldom equal the actual results. The estimates and assumptions that have a signfficant llsk of causing material adjustment to the carying amounts of assets and liabilÈties within the next financial year are addressed below. D_eDreciation The annual depreciation charge for tangible fixed assets is sensIve to d)anges in the estimated useful lives and residual values of the assets. The useful lives and residual values are re-a55es5ed annually. They are amended when necessary to reflect the current estimates. based on the technological advancement. future investrnent, economic utilisation and the physical condition of the assets. Rates of depreciab'on are considered on a ling by line basis and disdosed within the accounting poticy for depreciation. LeLacJ.income Legacy incom8 indudes an element of accrued inojme for future cash to be reiVed by the char(ly after the year end as part of the totsl legacy re¢eivable. The value of additional cash receivable by the charity under the legacy is based on information provided by the solicitor handling the estate of the deceased regarding the estimated value of the estatè, including a number of assets to ba sold included at their expected selling price, less an estimate of additional administration fees to be paid out of the estate, and the charity's expected share of this. The total value of the legacy recognised in the ye8r is £700,000 12023 - £nill and accrued legacy income at the year end was £300.00012023- £nill. DONATIONS AND LEGACIES 2024 2023 Legacies Donations Grants Gift Aid Donation- The Worcestershire Healthcare Education Company Limited 700.000 5,933 2,500 13.353 281,109 166,971 989,542 180,324 Grants received. induded in the above. are as follows.. 2024 2023 Art5 Council England - National Lottery Projecl Grant 2,500 INVESTMENT INCOME 2024 2023 Bank inlerest receivablo Other interest receivable 15,802 4,612 15,806 4.612 Page 15 continued...
The Charfes Hastings Educatlon Centre Notes to the Financial Statements - continued forthe Yoar Ended 31$t March 2024 INCOME FROM CHARITABLE ACTIVITIES 2024 2023 The Ch8rfes Hastings Education Centre George Marshall Medical Museum Total activities Total activities Letting to The Worce9tershire He8lthc2re Education Company Limited Museum tsklngs 288,872 288,872 2,988 253,752 1.519 2,988 288.872 2.988 291,860 255,271 CHARITABLE ACTIVITIES COSTS Direct Costs (see note 81 The Charles Hastings Education Centre George Marshall Medical Museum 599.558 32,447 632,005 DIRECT COSTS OF CHARITABLE ACTMTIES 2024 2023 Rates and water Insuran Light and heat Telephone Postsge and stationery SundTies Estate maintenance Cleaning, security and associated cosis Museum costs Company secretary fees Bookkeeper Repairs and renewals Audio visual equipment repairs Auditors remuneration Conference costs Accountancy fees Professional fees Bank charges Deprecialion 11.771 16,911 183.187 447 11,861 17.440 168,665 380 240 252 96,532 71,603 22,945 10,000 1,831 687 3,995 3,040 3,954 1.310 259 109,452 81,277 32.447 13,500 1,228 45,792 4.125 3,040 2,594 1,13S 4.106 1251 120.759 30 106,793 632,005 521,558 Page 16 continued..
The Charles Hastings Education Centre Notes lo the Financial Statements . Continued for tho Yoar Ended 31st March 2024 NET INCOMEIIEXPENDrruRE} Nel in¢omel(expenditure) is stated after chargingllcrediting}- 2024 2023 Deprecialion - owned asso19 Amounts payable to audf(or for slalutory audit Amounts payable to auditor for other financial services 120,758 3,040 1,135 106,793 1,310 10. TRUSTEES, REklUNERATION AND BENEFrrs There were no trustees, remuneration or other banefits for the year ended 31st March 2024 nor for the year ended 31st March 2023. TRUSTEES. EXPENSE8 There were no trustees, expenses paid for the year ended 31st March 2024 nor for the year en(led 31st Mar¢h 2023. 11. STAFF COSTS There were no 8mployees durin9 the year ended 31 March 2024 nor during the year ended 31 March 2023. COMPARATIVES FOR THE STATEMEKf OF FINANCIAL ACTNITIES Unrestricted funds 12. Restricted funds Total funds INCOME AND ENDOWMENTS FROM Donations and legacies 168.324 12,000 180,324 Charitable activities Th6 Chades Hastings Education Centre George Marshall Medical Museum 253.752 1,519 253,752 1.519 Investm8nt income 4,612 4,612 Total 428,207 12,000 440,207 EXPENDITURE ON Charitable activiti The Chades Haslings Education Centre George Marshall Medlcal Museum 397.221 17,640 101,392 5,305 498.613 Total 414,861 106,697 521,558 NEf INCOMEI(EXPENDITURE 13,346 (94,6971 181,3511 RECONCILIATION OF FUNDS Total fijnds brought ft)rward 580,537 2,303,115 2,883.652 TOTAL FUNDS CARRIED FORWARD 593,883 2,208,418 2,802,301 Page 17 continued..
The Charles Hastlngs Education Centre Notes to the Financial Statemonts - continued for the Year Ended 31sl March 2024 13. TANGIBLE FIXED ASSETS ImprovemeTts to leasehold buildings Long leasehold buildings Audio visual equipment Plant & equipment Totals COST At 1$1 April 2023 Additions 3,730,109 2,160 516,127 114709 351,625 4,600,021 114.709 At 31st March 2024 3,730,109 2,160 630,836 351,625 4.714,730 DEPRECIATION At 1st April 2023 Charge for year 1,565.888 74,603 215 43 454027 26,516 303,018 19,596 2,323.148 120,758 At 31st March 2024 1,640,491 258 480,543 322,614 2,443,906 NET BOOK VALUE Al 31st March 2024 2,089.618 1,902 150.293 29,011 2.270.824 At 31st March 2023 2.164,221 1,945 62,100 48,607 2,276.873 Leasehold prop8ty is rented to the charitys subsldiary in furtherance of the Chari8 objects {and not primanly for the purpose of generating rental income). FIXED ASSET INVESTMENTS 14. Shares in group undertakings COST At 1s1 ApY¢l 2023 and 31st M8r¢h 2024 NET BOOK VALUE At 31st March 2024 At 31st March 2023 The Worcestershire Healthcare Education Company Limited The charity owns 100 /0 of Ihe ordinary shares of The w0stershir8 Healthcare Education "Company Limit8d (company number 03885017). The registered office of The Worcestershire Healthc8re Education Company Limited is The Charfes Hasbngs Education Centre Worcestershire Royal Hospital, Chartes Hastings Way, Woreester, Worcestershire. United Kingdom. WR5 1 DD. The principal activity of the subsidiary is that of letting the Charles Hastings Education Centre to the Worcester Acute Hospitals Trust and phaM8UtiCal companies. The trading results of The Worcestershire Healthcare Education Company Limited was as folli)ws: 2024 2023 Turnover Administrative expenses Other operating income Interest receivable 559.524 1298.440) 20,000 25 409,264 {262,293) 20.000 Profil for the financial year Gift aid distributions to the charity Net retsined earnings for the year 281,109 1281,1091 166,971 1166,971) Page 18 continued...
Tha Charles Hastlngs Education Centre Notes to the Flnanclal Ststements . continued for thè Year Ended 31s1 March 2024 14. FIXED ASSET INVESTMENTS - ¢ontinuod At the year end the balance sheel of The Worcestershire Healthcare Education Company Limited was as follows: 2024 2023 Total current assets Total current liabilities 353,742 1353,7411 238,422 1238.421) Share capital Dunng Ihe year the charity received from The Worcestershire Healthcare Edut81ion Company Limited rerrtal income of £288,872 12023 - £253,752} and gift aid distributions of £281,109 12023 - £166,971)- At the year end the charity had debtors owing from The w0estershire Healthcare Education Company Limited of £338,681 (2023- £225,003). 15. DEBTORS: AMOUNTS FALLING DUE wrrHIN ONE YEAR 2024 2023 Trade debtors The Worcestershire Healthcare Education Company Limited VAT Prepayments and accrued income 152 338,681 23,528 318.613 118 225,003 2,083 15,432 680,974 242.636 16. CREDITORS: AMOUNTS FALLING DUE wrrHIN ONE YEAR 2024 2023 Trade creditors Other creditors AccnJa15 37,256 64,716 1.250 50.983 169,560 206,816 116.949 17. LEASING AGREEMENTS The charity leases the land upon which it has erected the premises known as the Chades Haslings Education Centre at Worcestershire Roy81 Hospital. Newtown Road. worSter from Worcestershire Acute Hospilals NHS TrnsL The lease is for a period of 99 years from 8 March 2002. A peppercom rent is payable ti demanded. The rharity lea8es the pr8mises known as the Chad8s Haslings Education Centre at Worcestershire Royal Hospital. Newtown Road, Worc8Ster to The Worcestershire Healthcare Education Company Limited. Th8 lease is for a period of 25 years from 11 March 2004. The rent re1V3b1e in the first year of. this lease was £183,750. Subsequent rent re1vable is increased annually by reference to the Index of Retail Prices. Renl received during the year anded 31 March 2024 amounted to £288.87212023- £253,752}. Page 19 ntinued...
The Charles Hastings Education Centre Notes to the Financial Statements . contSnued for the Year Ended 31st March 2024 18. MOVEMENT IN FUNDS Nel movement in funds At 31.3.24 At 1.4.23 Unrestricted funds General fund Development Fund 439,883 154,000 60,721 500,604 154,000 593.883 60.721 654,604 Restricted funds Education Centre Medical Museum Audio Visual Equipment HLF Museum Cardiology Department Educal¢onal Fund Paediatric Training Fund 1,869,504 275,568 20,419 24385 17,389 1.153 164.790) 692.664 {15,982) (5,797) (1,613) 1.804,714 968,232 4,437 18,588 15,776 1.153 2.208,418 604,482 2,812.900 TOTAL FUNDS 2,802,301 665,203 3,467,504 Net movement in funds, induded in the above are as follows.. Incoming resources Resources expended Movement in fvnds Unrestricted funds General fund 594,208 {533,487) 60,721 Restrlcted funds Education Centre Medical Museum Audio Visual Equipment HLF Museum Cardiology Departrnent Educational Fund (64,790 (10.336 (15.982 {5,797 11,613) 164,790) 692,664 115.982) (5,797) (1.613) 703.000 703,000 198,518) 604,482 TOTAL FUNDS 1.297,208 1632.005) 665,203 Page 20 continued...
The Charfes Hastings Education Centre Notes to the Financial Slaternents - contlnued for the Year Endèd 31st March 2024 MOVEMENT IN FUNDS - contlnued Comparatives for movement In funds Nel movement in funds At 31.3.23 At 1.4.22 Unrestricted funds General fund Development Fund 426,537 154,000 13,346 439.883 154,000 580,537 Restricted funds Education Centre Medical Museum Audio Visual Equipment HLF Museum Cardiology Department Educational Fund Paediatric Training Fund 13,346 593,883 1,934,294 290,059 36,401 31,208 10,000 1,153 {64.790) (14,4911 (15,982) 16,823} 7,389 1,869.504 275,568 20,419 24,385 17.389 1.153 2,303,115 (94.697) 2.208.418 TOTAL FUNDS 2,883.652 181,351) 2,802,301 Comparative net rnovemenl in funds, included in the above are as foilows." Incoming resources Resources expended Movement in funds Unrèstrlcted funds Genoral fijna 428,207 1414,861) 13,346 Restri¢ted funds Education Contre Medical Museum Audio Visual Equipment HLF Museum Cardlology Department Educational Fund 164,79)) 114,491 } {15,982} 16.8231 {4,6111 164,790) (14,491) {15.9821 (6.823) 7,389 12.000 12,000 1106,697} 194,6971 TOTAL FUNDS 440,207 (521.5581 181.351) Unre6trl¢ted Funds Unrestricted funds include a general fund and a designated fund. The total tsnreslrtcted fund balance at 31 March 2024 was £654,604 {2023 - £593,883), but 8fter deducting fixed assets was £477,900 (2023 - £493,967) representing approximatety 10 months operating costs. General Fund The general fund can be used for any charitable purpose wlhin the charitys objects and, per the reserves policy Identified by the trustees. a minimum of £250,000 is to be held in this fund. Al the year end the balance of the General Fund was £323,90012023 - £352,886) after deducting red assets. Develo meat Fund In view of the considerable increase in demand, a designated Development Fund was established in 2018 In order lo build reseryes for future developm8nl projects (the exact liming of which is CUTrenlly not known). induding a possible extension to the Charles Haslings Education Centre. The balanc8 of this fund at 31 March 2024 was £154,00012023- £154,000>. Page 21 continu6d...
The Charles Hastlngs Education Centre Notes to the Financial Statements - continued for the Year Ended 31st March 2024 18. MOVEMENT IN FUNDS - continued Restrf¢t8d Funds Education Centre The restricted fund re Education Centre was established in respect of the development and construction of the building to house The Chades Hastings Education Cenlre. That building was completed during the year ended 31 March 2003. The balance of that fund at 31 March 2024 was £1,804,714 12023 - £1,869,504) and has arisen from restrtcted donations. Medical M seum The restricted fund re Medical Museurn was established in respect of the provision of fixed assets for the Medical Museum and the devglopment of educational resources. The balance of that fund at 31 MaTch 2024 was £968,232 (2023- £275,568). Again the fund has arisen from restricled donations. Audio Visual E The restricted fund re Audio Visual Equipment was also established for the provision of an audio-visual link beeen operating theatres in the hospital and the lecture theatre in the Education Centr8 and lor the provision of clinical skills equipment in the Cenlre. The balance of that fund at 31 March 2024 was £4,437 12023 £20,419). Her ge Lotte Fund- Mus8um The restriued fvnd r8 Heritage Lottery Fund (HLF) Museum was establlshed in 2010 to develop a new museum exhibition within the form8r Warcesler Royal Infirmary at Castle Slre&t. The fund arose from a restricted fund grant from the Heritage Lottery Fund and the balance at 31 March 2024 was £18,588 12023 £24,385)- The project was completed on 31 October 2014 and pemiission was granted by the grant provider to allow this lump sum to be transferred irfo a separate restricted fund to provide educational workshops. Cardiolo D artm8nt Educational Fund The restricted fund re the Cardiology Department Educational Fund was established for the promotion of education throughout the Cardiology department by ftfnding staff courses and scientific meetings. The fund balance as at 31 March 2023 was £15,77712023 - £17,389)- aediatric Trainin Fund The reslricled fund the Paediatric Trainirtg Fund was established for funding fvture paediatri¢ training. The fund balance as at 31 March 2024 was £1,153 {2023- £1,153), RELATED PARTY DISCLOSURES 19. There wore no related paty transactions for the yèar ended 31 st Marth 2024. 20. FRC ETHICAL STANDARD - PROVISIONS AVAILABLE FOR SMALL ENTITIES In common with many othèr businesses of our size and nature we usa our auditors to assist wilh the preparation of the financial statements. Page 22
Tho Charles Hastlngs Educ*ion Centre Detalled Statemgnt of Finan¢ial Actlvltles for the Year Ended 31st March 2024 2024 2023 INCOME AMD ENDOWMENTS Donatlons and legacies Legacies Donations Grants Gift Aid Donation - The Worcestershire Healthcare Education Company Limited 71)0,1)00 5,933 2,500 13,353 281,109 166,971 989,542 180,324 Investmgnt income Bank interest re(xivable Other interest receivable 15,802 4.612 15,806 4.612 Charitable activities Letting lo The Worcestershire Healthcare Education Company Limited Museum takings 288.872 2,988 253.752 1,519 291.860 255,271 Total incorning resources 1.297,208 440,207 EXPENDITURE Charitab19 adivities Rates and water Insurance LvJht and heat Tdephone Postage and stationery Sundries Eslale maintenance Cleaning, security and associated cost5 Museum wsts Company secretary fees Bty)kkeeper Repairs and renewals Audio visual equipment rep8ir5 Auditors remuneration conferen costs Accountancy fees Professional fees Bank charges Long leasehold Improvernents to propety Plant and machinery Computer equipment 11,771 16,911 183,187 447 11,861 17,440 168,665 380 240 252 96,532 71,603 22.945 10.000 1,831 687 3.995 3.040 3.954 1,310 259 109,452 81.277 32.447 13.500 1,228 45.792 4.125 2,S94 1,135 4.106 125) 74,603 74,603 43 10.960 21,187 26.517 19,596 632,005 Total resources expendeil 632.005 521,558 Not Incomèl{expendlture) 665.203 (81,351) This page does not fOn part of the statutory financial statements Page 23