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← Friends Of The William Harvey Hospital

2023-12-31-accounts

FRIENDS OF THE WILLIAM HARVEY HOSPITAL (A COMPANY LIMITED BY GUARANTEE)

REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

Registered Charity No: 1122585 Registered Company No: 06261808 (England and Wales)

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

CONTENTS

Page No
Charity Reference and Administrative Details 1
Trustees' Annual Report 2 - 5
Independent Auditors' Report 6 - 8
Statement of Financial Activities (including Income and Expenditure Account) 9
Balance Sheet 10
Statement of Cash Flows 11
Notes to the Accounts 12 - 20

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

CHARITY REFERENCE AND ADMINISTRATIVE DETAILS

Charity registration number 1122585
Company registration number 6261808
President Marion Dinwoodie
Chairman Mrs Susan Heritage
Vice Chairman Mrs Margaret Moore
Treasurer Mrs Nicola Curd
Trustees Mrs Joan Bower
Mrs Susan Heritage
Mr John Kennedy
Mrs Valerie Kennedy
Ms Joy McCue
Mrs Margaret Moore
Mrs Ruth Trent
Secretary Mrs Jill Barringer
Key Management Personnel Mrs Jill Barringer
Mr Darren Sprules
Registered Office William Harvey Hospital
Kennington Road
Willesborough
Ashford
Kent
Independent Auditors Cassidys Chartered Accountants
South Stour Offices
Roman Road
Mersham
Ashford
Kent
TN25 7HS
Bankers The Royal Bank of Scotland Barclays Bank
17/25 New Rents High Street
Ashford Ashford
Kent Kent
CafCash Metro Bank
25 Kings Hill Avenue 72-76 High Street
Kings Hill Bromley
West Malling Kent
Kent
Solicitors Kingsfords
2 Elwick Road
Ashford
Kent

1

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

TRUSTEES' ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

The Trustees (who are also directors of the charity for the purpose of the Companies Act 2006) present their report and audited financial statements of the charity for the year ended 31 December 2023. The Trustees have adopted the provisions of the Statement of Recommended Practice (SORP) “Accounting and Reporting by Charities” (FRS 102) in preparing the annual report and financial statements of the charity.

The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and 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 Republic of Ireland (FRS 102) (effective 1 January 2019).

Objectives and activities

The main objective of the charity is to relieve patients and former patients of the William Harvey Hospital and its associated hospitals and other invalids in the community who are sick, convalescent, disabled, infirm or in need of financial assistance, and, generally to support the charitable work of the hospital.

Public benefit statement

Friends of the William Harvey Hospital meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.

The Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future activities.

Achievements and Performance

The main objective of the charity is to raise funds to facilitate the donation of equipment to the hospital. The charity achieves this objective by operating a shop in the hospital, staffed by both volunteers and paid employees, which primarily sells goods to patients, visitors and hospital staff. It also undertakes fundraising activities. All profits from the hospital shop, donations, legacies, gift aid, investment income and fundraising activities provide our income.

The majority of funds are raised via the Friends' shop in the foyer of the hospital. The shop expansion and refurbishment undertaken at the beginning of 2022 has provided much needed space for stocking additional lines and movement around the shop. This has facilitated the increase in turnover and profits of the shop for 2023. The shop turnover has increased by £298,087 during 2023. During the year £190,657 (2022: £175,689) was donated to the hospital as detailed in note 6.

The hospital shop continues to be popular and provides not only a much needed and reasonably priced service to our patients, visitors and staff, but has also provided an excellent profit to our funds. The shop is professionally run by our shop managers, Darren Sprules and Kimberley Cunningham, who continue to improve the efficient running of the shop. Morale is good and profits improved which has allowed for more funds to be available for the purchase of equipment and services for the hospital.

Financial support from donations and legacies has increased in 2023. During the year legacies of £112,910 were received (2022:£nil).

The charity owned an investment property in Addlestone, Surrey, which had been bequeathed to the charity. It was decided by the Board that it would not be disposed of until the sitting tenant no longer required the property. In December 2023 the property was sold following the vacation of the property by the tenant. Net proceeds amounts to £413,624. The investment property had previously been included in the accounts at a valuation of £485,000. The accounts therefore show a loss on disposal of £71,376.

2

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

TRUSTEES' ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

Achievements and Performance (continued)

In December 2023 the charity wrapped hundreds of gifts for patients on the wards at Christmas.

As reported in the accounts, gifts to the hospital are accounted for when the charity has committed to the expenditure. On this basis gifts totalling £248,221 (2022: £175,689) have been recognised in the accounts. During the year, a review of outstanding equipment pledges was undertaken. This resulted in previously written off pledges being reinstated. Pledges were increased by £5,531 (2022: decreased by £82,114). Commitments outstanding at the year end totalled £294,773 (2022: £305,958) and includes amounts recognised in previous years but not yet paid for.

The charity depends largely on unpaid volunteers for fundraising and for staffing the hospital shop. We would also like to acknowledge the contribution made by the paid staff in the office and shop for their dedicated service and for ensuring that we always present a professional image. We would like to thank them all for their hard work during the year.

Risk factors

The Trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to them. The Trustees continue to review and monitor the systems for managing the major strategic, business and operational risks which the charity faces.

The principal risk to which the charity is exposed is the withdrawal of the space occupied by the Friends' shop in the foyer of the hospital. Should the space be withdrawn, the charity would need to increase the funds of the charity through alternative fundraising.

Financial review

Income amounted to £1,401,103 (2022: £969,201), an increase of approximately £432,000. Expenditure amounted to £1,357,312 (2022: £946,500) an increase of approximately £410,000. This has resulted in a surplus for the year of £43,791 (2022: surplus of £22,701). As at 31 December 2023 total funds amounted to £941,115 (2022: £897,324).

Reserves policy

It is the policy of the charity to maintain unrestricted funds, which are the free reserves of the charity to provide sufficient funds to meet future expenditure. There are no significant commitments to meet recurring donations with the majority of donations being one-off payments based on individual applications. The charity has unrestricted funds as at 31 December 2023 of £930,261 (2022: £406,603) to meet future expenditure of at least 3 months expenditure which would be in the region of £339,000 (2022: £236,000). The Trustees have achieved this target and are in constant discussions with the Hospital to identify areas where charitable donations can be pledged to utilise the excess reserves.

Investment policy

Investment activities are managed in line with the requirements of the Trustee Act 2000. The Trustees, having regard to the liquidity requirements of operating the charity and to the reserves policy, have operated a policy of keeping available funds in interest bearing deposit accounts.

Plans for the future

The majority of funds are raised via the Friends’ shop in the foyer of the hospital. As such the charity will continue to ensure the shop provides goods that meet the needs and desires of its customers, who are primarily patients, visitors and hospital staff. The charity will continue to meet its main objective by donating equipment requested by the hospital.

3

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

TRUSTEES' ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

Going concern

The trustees have considered the level of funds held and the expected level of income and expenditure for at least 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. The trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future and are unaware of any material uncertainties facing the charity that could impact on this conclusion.

Structure, governance and management

Governing document

Friends of the William Harvey Hospital was incorporated as a company limited by guarantee and not having a share capital under the Companies Act 1985 on 29 May 2007. Friends of the William Harvey Hospital is a registered charity, number 1122585 with effect from 4 February 2008 and is established under its Memorandum and Articles of Association dated 29 May 2007.

On 12 May 2016 a Special Resolution was passed to amend the Articles of Association, modifying the quorum of Trustees to be 3 Trustees (previously 6 Trustees). The Trustees must hold at least 4 meetings each year. Decisions are made by a simple majority of votes cast at a meeting. Except for the chairman of the meeting, who has a second or casting vote, every Trustee has one vote on each issue. At the meetings the Trustees are presented with a shopping list by hospital staff, from which the Trustees agree to purchase equipment for the hospital.

Trustees of the charity

The directors of the charity are its Trustees for the purposes of charity law. The Trustees who have served during the year and since the year end were as follows:

Mrs Anna Bishop (Resigned 9 July 2023)
Mrs Joan Bower
Mrs Susan Heritage
Mr John Kennedy
Mrs Valerie Kennedy
Mr Michael Lyons (Resigned 9 January 2024)
Ms Joy McCue
Mrs Margaret Moore
Mr Philip Sims (Resigned 13 March 2023)
Mrs Ruth Trent (Appointed 13 February 2023)

The charity has no share capital and the members of the board of Trustees have no interest in its surplus or assets and receive no remuneration. No Trustees have any contract or arrangement of a material nature with the charity during the period under review.

Appointment of Trustees

Trustees are appointed at Board Meetings and must consist of a minimum of 3 Trustees and not more than 24 individuals (unless otherwise determined by ordinary resolution).

Recruitment of Trustees

Prospective Trustees are recommended by existing Trustees to join the board of Trustees or advertisements are placed in the local press.

Key management personnel

The Trustees consider the Trustees, the treasurer and the senior management team comprise the key management personnel of the charity in charge of directing and controlling, running and operating the charity on a day to day basis. All Trustees give of their time freely and no Trustee received remuneration in the year. The Trustees approve the remuneration for the key management personnel following recommendations by the Remuneration Committee. The Remuneration Committee consists of the Chairman, Treasurer and one other Trustee.

4

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

TRUSTEES' ANNUAL REPORT FOR THE YEAR ENDED 31 DECEMBER 2023

Trustees' responsibilities

The Trustees (who are also directors of the Friends of the William Harvey Hospital for the purposes of company law) are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year, which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement as to disclosure of information to auditors

So far as each Trustee is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the charitable company's auditors are unaware; and each Trustee has taken all the steps that he ought to have taken as a trustee in order to make himself aware of any relevant audit information and to establish that the charitable company's auditors are aware of that information.

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

By Order of the Board Date: 19 September 2024

Mrs Margaret Moore, Vice Chairman

5

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

Opinion

We have audited the financial statements of Friends of the William Harvey Hospital ('the 'charitable company') for the year ended 31 December 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flows and Notes to the Statement of Cash Flows, Notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis of opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Other matter

The financial statements of the charitable company for the year ended 31 December 2022 were not audited, as the charitable company took the available exemptions from the requirement to obtain an audit it was entitled to. Therefore, the corresponding figures are unaudited.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the trustees’ annual report , other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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 knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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 fact.

We have nothing to report in this regard.

6

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report included within the trustees' annual report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement set out on page 5, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

7

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

Auditor’s responsibilities for the audit of the financial statements (continued)

We assessed the susceptibility of the charitable company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:

To address the risk of fraud through management bias and override of controls, we:

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

S G Whorlow South Stour Offices (Senior Statutory Auditor) Roman Road For and on behalf of Mersham Cassidys Chartered Accountants Ashford And Registered Auditors Kent TN25 7HS Date:

8

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2023

----- Start of picture text -----
2023 2022
Note Unrestricted Restricted Total Unrestricted Restricted Total
Funds Funds Funds Funds
£ £ £ £ £ £
Income from:
Donations and legacies 2 135,825 7,346 143,171 9,379 4,047 13,426
Other trading activities 3 1,246,339 - 1,246,339 946,493 - 946,493
Investments 4 11,593 - 11,593 9,282 - 9,282
Total income 1,393,757 7,346 1,401,103 965,154 4,047 969,201
Expenditure on:
Raising funds 5 1,109,091 - 1,109,091 770,811 - 770,811
Charitable activities 6 246,008 2,213 248,221 173,512 2,177 175,689
Total expenditure 1,355,099 2,213 1,357,312 944,323 2,177 946,500
Net movement in funds 38,658 5,133 43,791 20,831 1,870 22,701
Reconciliation of funds:
Total funds brought forward 891,603 5,721 897,324 870,772 3,851 874,623
Total funds carried forward 930,261 10,854 941,115 891,603 5,721 897,324
----- End of picture text -----

All transactions are derived from continuing activities.

All recognised gains and losses are included in the Statement of Financial Activities.

9

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

BALANCE SHEET AS AT 31 DECEMBER 2023

----- Start of picture text -----
Note 2023 2022
£ £ £ £
Fixed assets:
Tangible assets 12 17,391 23,143
Investment property 13 - 485,000
17,391 508,143
Current assets:
Stocks 14 31,758 31,451
Debtors 15 69,308 20,667
Cash at bank and in hand 1,192,738 713,920
1,293,804 766,038
Liabilities:
Creditors falling due within one year 16 (370,080) (376,857)
Net current assets 923,724 389,181
NET ASSETS 941,115 897,324
The funds of the charity:
Restricted funds 17 10,854 5,721
Unrestricted Funds 17 930,261 406,603
Designated funds 17 - 485,000
TOTAL FUNDS 18 941,115 897,324
----- End of picture text -----

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of accounts.

The accounts have been prepared and delivered in accordance with the special provisions applicable to companies subject to the small companies regime.

The financial statements were approved and authorised for issue by the Board of Trustees on 19 September 2024 and signed on its behalf by:

Mrs Margaret Moore Vice Chairman

The notes on pages 12 to 20 form part of these financial statements

Company Number: 06261808

10

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023

----- Start of picture text -----
Note 2023 2022
£ £
Net cash flow from operating activities 19 53,697 30,949
Cash flow from investing activities
Payments to acquire tangible fixed assets (96) (26,023)
Receipts from sales of tangible fixed assets 413,624 -
Interest received 9,733 1,842
Rents received from investment properties 1,860 7,440
Net cash flow from investing activities 425,121 (16,741)
Net increase/(decrease) in cash and cash equivalents 478,818 14,208
Cash and cash equivalents at 1 January 2023 713,920 699,712
1,192,738 713,920
Cash and cash equivalents at 31 December 2023
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11

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies

1.1 Basis of accounting

Friends of the William Harvey Hospital is a registered charitable company in the United Kingdom. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is given in the charity information on page 1 of these financial statements. The nature of the charity’s operations and principal activities is to relieve patients and former patients of the William Harvey Hospital and its associated hospitals and other invalids in the community who are sick, convalescent, disabled, infirm or in need of financial assistance, and, generally to support the charitable work of the hospital.

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with 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 Republic of Ireland (FRS 102) (effective 1 January 2019), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The financial statements are prepared on a going concern basis under the historical cost convention, modified to include certain items at fair value. The financial statements are prepared in sterling which is the functional currency of the charity.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

1.2 Income recognition

All income is included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income after any performance conditions have been met, the amount can be measured reliably and it is probable that the income will be received.

For donations to be recognised the charity will have been notified of the amounts and the settlement date in writing. If there are conditions attached to the donation and this requires a level of performance before entitlement can be obtained then income is deferred until those conditions are fully met or the fulfilment of those conditions is within the control of the charity and it is probable that they will be fulfilled.

No amount is included in the financial statements for volunteer time in line with the SORP (FRS 102). Further detail is given in the Trustees’ Annual Report.

Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.

Investment income is earned through holding assets for investment purposes such as cash deposits and property. It includes interest and rent. Interest income is recognised using the effective interest method and rent income is recognised as the charity’s right to receive payment is established.

1.3 Expenditure recognition

All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. Irrecoverable VAT is charged as an expense against the activity for which the expenditure arose. It is categorised under the following headings:

12

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies (continued)

1.4 Support costs

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office costs, governance costs, administrative payroll costs. They are incurred directly in support of expenditure on the objects of the charity.

The bases on which support costs have been allocated and the analysis of these costs is included in note 7.

1.5 Funds

Unrestricted general funds are funds which can be used in accordance with the charitable objects at the discretion of the trustees.

Designated funds represent unrestricted funds that have been set aside by the trustees for particular purposes. The designated fund balance has been represented to ensure that the fund balance accurately reflects the designation policy adopted by the trustees.

Restricted funds are funds that can only be used for particular restricted purposes within the objects of the charitable company. Restriction arises when specified by the donor or when funds are raised for particular restricted purposes.

1.6 Tangible fixed assets and depreciation

Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Fixed assets below £200 are not capitalised. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost less estimated residual value, of each asset on a systematic basis over its expected useful life, as follows:

Fixtures and fittings 25% reducing balance Shop fixtures 25% reducing balance Computer equipment 25% reducing balance

Impairment

Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset’s cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

1.7 Investment property

Investment properties are measured at fair value at each reporting date with changes in fair value recognised in ‘net gains / (losses) on investments’ in the SoFA.

1.8 Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in, first-out formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate.

1.9 Debtors and creditors receivable / payable within one year

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in expenditure.

13

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

1 Accounting policies (continued)

1.10 Tax

The charity is an exempt charity within the meaning of schedule 3 of the Charities Act 2011 and is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes.

1.11 Going concern

The financial statements have been prepared on a going concern basis. The trustees have considered the level of funds held and the expected level of income and expenditure for at least 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient with the level of reserves for the charity to be able to continue as a going concern. The trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future and are unaware of any material uncertainties facing the charity that could impact on this conclusion.

1.12 Judgements and key sources of estimation uncertainty

Accounting estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

ii. Investment property

A key area of judgement is the valuation of land and buildings held for investment purposes. The valuation of the property is reassessed annually. It is amended when necessary to reflect current estimates.

1.13 Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value.

2
Members subscriptions
Income tax reclaimable
Income from donations
Donations and legacies		 2023
2022
£
£
141,080
11,412
990
1,000
1,101
1,014
143,171
13,426

The charity benefits greatly from the involvement and enthusiastic support of its volunteers, details of which are given in our annual report. In accordance with FRS 102 and the Charities SORP (FRS 102), the economic contribution of general volunteers is not recognised in the accounts.

3
4
Rental income
Interest - deposits
Kennington Fayre
Income from investments
Easter raffle
Cake sales
Shop sales
Income from other trading activities
Victoria Park Fayre
Christmas raffle		 2023
2022
£
£
1,243,103
945,016
-
10
372
-
1,131
740
1,169
-
564
727
1,246,339
946,493
2023
2022
£
£
1,860
7,440
9,733
1,842
11,593
9,282

14

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

----- Start of picture text -----
|||||| |---|---|---|---|---| |5|Expenditure on raising funds|2023|2022| |Direct costs|Support|Total|Total| |Costs| |£|£|£|£| |Shop expenses|810,132|190,326|1,000,458|741,109| |Other fundraising expenses|744|34,823|35,567|24,346| |-| |Investment property costs|73,066|73,066|5,356| |810,876|298,215|1,109,091|770,811| |6|Expenditure on charitable activities|2023|2022| |Total|Total| |£|£| |Unrestricted expenditure| |-| |Obstetrics Sonography Samsung W10 Ultrasound System|57,283| |Echo Machine/Ultrasound for AMU/SDEC|53,110|-| |4 x Accuvein AV500|23,642|-| |-| |Sonosite S II Ultrasound System|20,447| |Charge Box for charging mobiles and devices|13,351|18,000| |8 x Kwikscreens (2022:9)|10,400|20,412| |-| |Baby Pod for transfer of infants|7,066| |10 x Over bed tables|5,125|-| |-| |Hip Spica table|4,998| |Li-LAC MMC Milk Scanners x 3 (2022: 4)|4,709|4,700| |Bariatric Dialysis Chair|3,800| |-| |Nasogastric (NG) Training Mannequin|3,540| |8 x Patient Chairs|3,496|-| |-| |Contribution towards refurbishing female showers in Theatres|3,300| |2 x Medela Calesca Breast Milk Warmers|3,273|-| |-| |Supine Exercise Bike|2,961| |-| |30 x Colourful bedding for children’s ward|2,099| |-| |Echo Couch – Medi-Plinth ECG03T Echocardiology Plinth|1,958| |-| |Child-friendly Kwikscreen and Mural|1,614| |-| |Doppler – Ankle Brachial Index Kit|1,518| |Kim's boxes|1,370|-| |-| |Fridge for TPN for nutrition of patients|1,161| |-| |2 x Bristol Maid Equipment Trolleys and document holders|1,038| |-| |Retinal Imagine System for Premature Babies|69,000| |-| |MRI Conditional Patient Monitoring Device|52,457| |Switchable Glass Films for new A&E Cubicles|-|39,678| |Vascular Ultrasound Machine|-|18,604| |-| |Supine Exercise Bike|9,500| |LP20e Defibrillator|-|5,298| |Continuous Passive Motion Machine|-|3,750| |-| |Respiratory Handheld Ultrasound|3,734| |-| |Blackout Blinds for NICU Nursery Area|3,359| |-| |Reclining Chairs for Fragile Patients x 3|1,740| |Christmas presents for wards|2,409|2,080| |Other items less than £1,000|6,809|3,315| |240,477 255,626| |Old pledges written off and adjustments to pledges from previous years|5,531|(82,114)| |246,008|173,512| |Restricted expenditure| |Other items less than £1,000|2,213|2,177| |248,221|175,689|

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15

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

7 Allocation of governance and support costs

The charity initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs together with the governance costs are apportioned between the charitable activities undertaken and the raising of funds in the year. The support costs below are directly attributable to the various raising funds activities. Governance costs are allocated pro-rata to income.

income.
Raising funds
Shop Other Investment 2023 2022
expenses fundraising property Total Total
expenses costs
£ £ £ £ £
Staff costs 124,757 31,072 - 155,829 101,948
Training 1,179 288 - 1,467 644
Rates 191 - - 191 422
Insurance 933 - 420 1,353 519
Repairs and maintenance 1,752 - 1,253 3,005 8,257
Printing, postage and telephone - 491 - 491 2,295
Marketing - - - - 416
Book-keeping 13,692 - - 13,692 13,005
Computer expenses 120 353 - 473 918
Bank charges and interest 1,637 - - 1,637 1,579
Debit/credit card charges 25,809 - - 25,809 18,836
Sundry expenses 2,798 989 - 3,787 1,423
Travel 587 - - 587 357
Depreciation 5,630 172 - 5,802 7,718
Loss on disposal of assets - 46 71,376 71,422 205
Governance costs (Note 8) 11,241 1,412 17 12,670 8,730
190,326 34,823 73,066 298,215 167,272
8 Governance costs 2023 2022
Advertising £
-		 £
-
Legal and professional fees 1,170 -
Audit fee 3,800 -
Independent examiner's fee (75) 2,375
Accountancy 7,775 6,355
12,670 8,730
9 Grant commitments 2023 2022
As at 1 January 2023 £
305,958		 £
311,233
New commitments 240,477 255,626
Paid in year (257,193) (178,787)
Old pledges written off and adjustments to pledges from previous years 5,531 (82,114)
As at 31 December 2023 294,773 305,958

10 Staff costs and employee benefits

The average number of employees during the year was 9 (2022: 8), all of which related to raising funds for the charity.

There are no employees with emoluments above £60,000 (2022: None).

The total staff costs and employees benefit’s was as follows
Gross wages
Employer's National Insurance
Employer's pension contributions		 2023
2022
£
£
144,939
103,300
6,902
(2,968)
3,988
1,616
155,829
101,948

16

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

FOR THE YEAR ENDED 31 DECEMBER 2023

NOTES TO THE ACCOUNTS

11 Trustees' and key management personnel remuneration and expenses

The trustees neither received nor waived any remuneration during the year (2022: £Nil).

The total amount of remuneration received by the two staff who are the key management personnel is £64,894 (2022: £50,898). The Trust considers its key management personnel compromise the shop manager and office secretary.

During the year, no trustees received reimbursement of expenditure incurred on behalf of the charitable company (2022: none).

12
Tangible Assets
Cost
As at 1 January 2023
Additions
Disposals
At 31 December 2023
Depreciation
As at 1 January 2023
Charge for period
On disposals
At 31 December 2023
Net book values
At 31 December 2023
At 31 December 2022
13
Investment property
Valuation
As at 1 January 2023
Disposal
Revaluation
At 31 December 2023
Historical cost		 Shop fixtures
and fittings
Office
fixtures and
fittings
Total
£
£
£
48,706
434
49,140
(407)
503
96
(276)
-
(276)
48,023
937
48,960
25,746
251
25,997
5,630
172
5,802
(230)
-
(230)
31,146
423
31,569
16,877
514
17,391
22,960
183
23,143
£
485,000
(485,000)
-
-
25,000

The investment property relates to 5 Meadway Drive, Addlestone. Rental income was received on this property at a market rate. The property was sold in December 2023.

14
Stocks
Goods for resale
15
Debtors
Trade debtors
Income tax reclaimable
Other debtors
Prepayments and accrued income		 2023
2022
£
£
31,758
31,451
31,758
31,451
2023
2022
£
£
10,096
14,029
880
936
57,692
4,967
640
735
69,308
20,667

17

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

16
Creditors: amounts falling due within one year
Trade creditors
Grant commitments (Note 9)
Ward funds
Other taxes and social security
Other creditors
Accruals and deferred income		 2023
2022
£
£
62,971
61,652
294,773
305,958
-
2,249
4,992
233
879
-
6,465
6,765
370,080
376,857

17 Fund reconciliation

Unrestricted funds 2022

Unrestricted
Designated:
Revaluation reserve
Investment property
Unrestricted funds 2023
Unrestricted
Designated:
Revaluation reserve
Investment property		 As at 1
January
2022
Income
Expenditure
Transfers
As at 31
December
2022
£
£
£
£
£
385,772 965,154 (944,323)
- 406,603
460,000
- - - 460,000
25,000
- - - 25,000
485,000
- - - 485,000
870,772 965,154 (944,323)
- 891,603
As at 1
January
2023
Income
Expenditure
Transfers
As at 31
December
2023
£
£
£
£
£
406,603 1,393,757 (1,355,099) 485,000
930,261
460,000
- - (460,000)
-
25,000
- - (25,000)
-
485,000
- - (485,000)
-
891,603 1,393,757 (1,355,099)
- 930,261

The Designated Funds attributable to the investment property have been transferred to Unrestricted Funds as a result of the disposal of the investment property which took place during the year.

18

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

17
Fund reconciliation (continued)
Restricted funds 2022
Cambridge J Ward
Cambridge K Ward
CCU
Celia Blakey
EEG machine
ICU Garden
ITU
Kim's Box
Kings C1
Kings D Staff
NICU
Padua Ward
Portable ECG machine
The Closet Project
Theatres
Toiletries and underwear
Restricted funds 2023
Bosom Buddies
Cambridge J Ward
Cambridge K Ward
CCU
Celia Blakey
Channel Day Surgery Centre
EEG machine
ITU
Kings A2
Kings C1
Kings D Staff
NICU
Padua Ward
Portable ECG machine
The Closet Project
Theatres		 As at 1
January
2022
Income
Expenditure
Transfers
As at 31
December
2022
£
£
£
£
£
105
-
-
-
105
100
-
-
-
100
-
192
-
-
192
100
-
-
-
100
280
-
-
-
280
135
-
(135)
-
-
240
-
-
-
240
-
20
(20)
-
-
1,300
-
(537)
-
763
25
-
-
-
25
-
737
-
-
737
-
2,763
(1,185)
-
1,578
631
-
-
-
631
818
70
(300)
117
705
-
265
-
-
265
117
-
-
(117)
-
3,851
4,047
(2,177)
-
5,721
As at 1
January
2023
Income
Expenditure
Transfers
As at 31
December
2023
£
£
£
£
£
-
150
-
-
150
105
-
-
-
105
100
(100)
-
-
-
192
-
-
-
192
100
-
-
-
100
-
499
(262)
-
237
280
-
-
-
280
240
-
-
-
240
-
1,220
-
-
1,220
763
730
(46)
-
1,447
25
10
(35)
-
-
737
210
-
-
947
1,578
4,327
(1,570)
-
4,335
631
-
-
-
631
705
300
(300)
-
705
265
-
-
-
265
5,721
7,346
(2,213)
-
10,854

19

FRIENDS OF THE WILLIAM HARVEY HOSPITAL

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2023

17 Fund reconciliation (continued)

Fund descriptions

(a) Unrestricted funds

(b) Designated funds

Revaluation reserve

Investment property

This represents the general funds which can be used in accordance with the charitable objects at the discretion of the trustees.

Designated funds represent unrestricted funds that have been set aside by the trustees for particular purposes.

This represents the unrealised gains on the investment property which are not considered to be free reserves.

This represents the original cost of the investment property.

Restricted funds are funds that can only be used for particular restricted purposes within the objects of the charitable company. Restriction arises when specified by the donor or when funds are raised for particular restricted purposes.

Frequently, the amount donated for a specific purpose exceeds the cost of the equipment purchased and a small balance remains in the restricted fund. The trustees actively seek to spend the remaining balance or contact the donor to ask permission to transfer the remaining balance into the general funds. On occasion, a balance can remain unspent for several years, after which the trustees approve the transfer to the general funds of the charity to further the objectives of the charity.

18 Analysis of net assets between funds

2022 Tangible Net current 2022
fixed assets assets Total
£ £ £
Unrestricted funds 23,143 383,460 406,603
Designated funds 485,000 - 485,000
Restricted funds - 5,721 5,721
508,143 389,181 897,324
2023
Unrestricted funds
Restricted funds		 Tangible
fixed assets
£
17,391
-		 Net current
assets
£
912,870
10,854		 2023
Total
£
930,261
10,854
17,391 923,724 941,115
Reconciliation of net income to net cash flow from operating activities
Increase in debtors
Increase in stock
(Decrease)/increase in creditors
(Profit) / loss on disposal of fixed asset investments
Rents received from investment properties
Depreciation and impairment of tangible fixed assets
Interest receivable
Loss on disposal of tangible fixed assets
Net income for the year		 2023
£
43,791
(1,860)
(9,733)
5,802
-
71,422
(307)
(48,641)
(6,777)		 2022
£
22,701
(7,440)
(1,842)
7,718
205
-
(8,310)
(7,241)
25,158
Net cash flow from operating activities 53,697 30,949

19 Reconciliation of net income to net cash flow from operating activities

20 Related party transactions

During the year the charitable company entered into no transactions with related parties or trustees (2022: None).

20