2020-10-31-accounts

Registered Charity No 1123540 Company No 6533385 A Limited Company Registered in England and Wales

The Hospital of God at Greatham

Trustees’ Annual Report and Accounts for the year ended 31 October 2020

A place to live, a place to love, a place to belong

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Contents

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INTRODUCTION	Page
o Message from the chair	3
o Message from the director	4
o Organisational details	6

TRUSTEES’ ANNUAL REPORT (INCLUDING THE STRATEGIC REPORT)	TRUSTEES’ ANNUAL REPORT (INCLUDING THE STRATEGIC REPORT)	TRUSTEES’ ANNUAL REPORT (INCLUDING THE STRATEGIC REPORT)
o	About	the charity
	−	Our charitable objectives	7
	−	Our vision, mission, and values	7
	−	Our aims	8
	−	What we do, why we do it and how we do it	8
o	Our impact
	−	What we delivered and achieved during the year	10
	−	Our strategy for the future	17
	−	What we intend to achieve over the next 12 months	20
o	Financial review of the year
	−	Summary	23
	−	Results from charitable activities	25
	−	Results from investment activities	26
	−	Financial position	27
o	Structure, governance and management
	−	Formation, legal structure and objectives	31
	−	Governing body and governance	31
	−	Statement of public benefit	33
	−	Risk management and principal risks	34
	−	Statement of trustees’ responsibilities	36
	−	Statement of disclosure to auditors	36
INDEPENDENT AUDITOR’S REPORT			37
FINANCIAL STATEMENTS
o	Statement of financial activities		40
o	Statement of financial position		41
o	Statement of cash flows		42
o	Notes	to the financial statements	43

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

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Introduction Message from the chair

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Welcome to our report for November 2019 until October 2020, a year in which the charity has had to demonstrate significant flexibility and adaptability to maintain the services for those who depend upon us. I should like to extend the thanks of the board of trustees to the staff, volunteers, our beneficiaries and their families for their stoicism, dedication, cooperation, and generosity during this very trying time. This has been a period of real challenge for the charity, but it has been more so for individuals. We mourn the tragic loss of life, the impact on health and the grief caused during the pandemic. Maintaining a safe environment has been our first priority, especially challenging during the early days when there was limited reliable guidance. I should like to acknowledge the support from the local NHS and authorities who have been our partners throughout.

Even with the pressures of the pandemic, the charity has made progress in the development of support services such as the major upgrade of the IT system and the works to the almshouses. The provision of the “hospital to home” services, adapting how we deliver our day-to-day residential and community-based services demonstrated the flexibility and resilience of all our staff: front line and support services, administrative and finance. Their efforts provided vital services both to the community and individuals; we thank them all.

I am pleased to report that we have improved our governance. The decision about the breadth of our future services has yet to be finalised but the trustees have a clear plan and are working towards a conclusion. We have strengthened our succession arrangements and our new structure should guarantee a more stable future.

It will be a long haul out of this turbulent period and the trustees recognise the reliance upon our staff demonstrated by the pay rise this year. The charity will change in some areas as a result of this last year but we will continue to be dedicated in providing care and support services to older people and the dementia community in the North East Region.

Christopher Dickinson Chair of trustees 15 July 2021

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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Introduction Message from the director

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We started this reporting period with our vision day in October 2019, where we were joined by people who use our services, staff team members, trustees, and colleagues from the local authority. We discussed the impact of dementia and in particular early onset dementia, using the “butterfly model” to develop our person-centred care approach in our care homes and day services. It is here we made a positive commitment to seeking to develop our services, doing everything we can to be truly person centred, outcomes focused and in addition to tackle loneliness and to make the best use of our assets. We sought to build on this by holding full staff team events, revisiting our values, focusing on what is important to the people who live in our homes, houses or who access our services and to be able to better connect. This was just before lockdown.

Whilst our commitment is maintained to deliver excellent services, develop, and support our team members, Covid-19 meant we have had to change from a viewpoint of development to managing the risks that emerged. We knew that our general direction of travel was still right, but were acutely aware of the potential financial impacts of Covid-19 on the charity and therefore amended our strategic objectives to reflect the need to move our focus away from seeking to develop and invest in new services to making sure we navigate through the crisis and build our financial sustainability across the charity, managing the new risks that Covid-19 presents.

We took steps early on to “lockdown” our care homes and services to reduce the risk of transmission, these were difficult and necessary decisions. We continue to adapt our services so they can safely resume in this changed environment. Safe to say this has been the most challenging working year of our lives.

Our staff team adapted to new ways of working, we all became key workers, some key staff needed to work in our offices for administration and finance purposes, while others have been able to work from home. As lockdown eases, we are now working on a “hybrid” model. Every staff member has had to adapt in their own ways, and we are thankful for their adaptability, flexibility, commitment, continued professionalism and indeed resilience. We committed early on to ensuring that anybody who was unable to come into the workplace because they had suspected Covid-19 symptoms, including those who were shielding would continue to receive their normal pay. This was later identified within national guidelines as good practice.

We sought to mobilise our staff team to be prepared to ensure that we were able to maintain staffing levels in our care homes. Staff committed to working in our care homes to support their colleagues. Simple innovations like providing transport helped with this. Our staff were and still are fantastic, it was a scary time for us all, but they delivered.

We invested in providing computers for residents in our care homes to enable communications with families during lockdown and to access resources on the web.

Covid-19 has impacted on every aspect of the charity’s operations and activities, dealing with many emerging situations, testing every part of the charity’s operations. Our earlier decision to invest in the development of our IT systems has been so valuable, people have been able to work from home, and we have been able to meet virtually, including with the board of trustees. Many of our systems and processes have continued to move from paper-based systems to online and IT based systems. A transition that we are still driving forward.

We also sought to support our local community businesses in the village of Greatham where we are situated, many faced closing due to lockdown, and we worked with them to minimise the financial impact. We also took steps to use our small grants programme to support the local voluntary and community

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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sector during this crisis and quickly established an emergency fund providing much needed resources to local organisations when they most needed it.

Like many in the adult care sector we faced the challenge of sourcing personal protective equipment (“PPE”) for our staff members during a time of unprecedented worldwide demand. We did everything we could to ensure that our staff never went without appropriate PPE.

We took the decision to suspend all but essential recruitment, and where possible deferred spending to all but essential items.

Through the crisis we still sought to innovate, running our services virtually, providing daily telephone support to people, supporting people with essential tasks and when in crisis. Over 10,000 calls have been made.

Working with partners in the local authority and the NHS we developed an emergency “home from hospital” service within our Gretton Court Nursing Home providing nursing care for older people who have been in hospital, most recovering from Covid-19 infection, enabling them to receive nursing care, recover and return home or to residential care to meet their needs. This transformation has been a bright spot in our response to Covid-19.

After a hiatus caused by Covid-19 we have now continued with our plans for the digital transformation of the charity with several applications that will change how we work, the aim to give more time to spend with the people we care for and support.

Our board of trustees has met with the director on a regular basis, sometimes every two weeks as we navigated our way through this. These regular communications meetings have helped keep everyone informed, provide support to the director, and has facilitated swift decision making. The commitment of trustees throughout this has been second to none.

Lawrence McAnelly Director 15 July 2021

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

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Organisational details

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The Hospital of God at Greatham is a registered charity (registration number 1123540) and a company limited by guarantee (registration number 6533385, England and Wales).

The registered office is The Estate Office, Greatham Hall, Greatham, Hartlepool, TS25 2HS.

The trustees of The Hospital of God at Greatham are directors for the purposes of company law and trustees for the purposes of charity law (hereinafter referred to as “the trustees”). The trustees who served during the year and up to the date this report was approved (15 July 2021) are:

Co-opted : Christopher Dickinson (chair) Margaret Bousfield Robert Eden Lois Neal Kai Sander (appointed 28 April 2020) Patricia Hancock (appointed 28 April 2020) Annette Nylund (resigned 28 April 2020) Mike Taylerson (resigned 28 April 2020)

Ex-officio:

The Venerable Richard Simpson (appointed 20 December 2020) The Venerable Mark Wroe (resigned 23 October 2020)

The Venerable Robert Cooper (appointed 28 April 2020, resigned 23 September 2020) Philippa Sinclair (nominee of The Bishop of Durham)

The charity director (chief executive and company secretary) is Lawrence McAnelly.

The names and addresses of the principal professional advisers are:

Auditors : William Fortune & Son, Chartered Accountants, Collingwood House, Hartlepool, TS24 7EN

Banker : Barclays Bank PLC, Stockton Business Centre, The Tees Group North, PO Box 7, Stockton on Tees, TS18 1AH

Investment Manager : JP Morgan Private Wealth Management Ltd, PO Box 68214,1 Knightsbridge, London SW1P 9UH

Solicitors : Archers Law LLP, Lakeside House, Kingfisher Way, Stockton on Tees, TS18 3NB

Solicitors : Ward Hadaway, Sandgate House, 102 Quayside, Newcastle upon Tyne, NE1 3DX

Pension Scheme Adviser : Barnett Waddingham, Pinnacle, 67 Albion Street, Leeds, LS1 5AA

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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TRUSTEES’ ANNUAL REPORT (INCLUDING THE STRATEGIC REPORT)

About the charity

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Our charitable objectives

The objectives of the charity, as stated in its memorandum of association are:

“The provision of housing accommodation and extra-care accommodation for beneficiaries

“The provision of grants not exceeding £5,000 in any one year for such parochial and charitable purposes within the parish of Greatham as the trustees think fit

“The relief of persons who are in conditions of need, hardship, or distress, including but not limited to sufferers of Alzheimer’s disease and related disorders. The charity may relieve persons in need by making grants of money to them or for their benefit; by providing or paying for goods, services or facilities for them; or by making grants of money to other persons or bodies who provide goods, services or facilities to those in need

“The appropriation of bungalows, alms houses and other property belonging to the charity for the use of residents and brethren of the charity

“The maintenance of the chapel which is devoted to the performance of divine service for the benefit of the brethren and residents of the charity.”

Our vision, mission and values

Our vision...

Our vision is that older people live independently, live well and enjoy life, that people living with a dementia, their families, and carers live life to the full and that our communities are strong, full of hope and resilient

Our mission…

We will deliver excellent quality care and support, placing people at the heart, be forward thinking, caring, dynamic, a great place to be and we will support and empower communities

Our values…

We will be kind, caring and compassionate, that everybody matters all of the time. We Listen, learn and strive for excellence and put people at the heart of everything we do

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Our guiding principles…

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Excellent,
outstanding
services
Our people are
A good grants
key- a great
programme
building place to work
resilience in our and belong,
Our values and ethos
communities excellent
at the core of every
leadership
decision, every
relationship, every
transaction, every
intervention
Strengthening
Sustainability and
foundations-a
development,
dynamic forward-
thinking organisation income generation
with a fit for purpose and making the very
infrastructure & best use of our
structure, good investments and
governance and
resources
leadership
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What we do

We work to develop and provide excellent care, support and housing services for people, particularly older people and those living with a dementia.

We also support the voluntary and community sector and those not-for-profit organisations which make a difference to the lives of people in our communities through a grants programme.

The main charitable activities of the charity are:

• ➢ Residential care for older people at Stichell House, in the village of Greatham, near Hartlepool

• ➢ Residential and nursing care for older people living with dementia at Gretton Court in Hartlepool

• ➢ Day care and community support services for people living with dementia, and their families, delivered through our day centres, our community-based pastimes service and our family support services throughout Hartlepool and East Durham

• ➢ Support, information, and advice through our regular “memory lane” cafés and our dementia advisory service based in Hartlepool

• ➢ Supported living for older people in our almshouses located in Greatham, Norton, Stockton and the wider north east area

• ➢ The making of grants to other charitable organisations in the North East.

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Why we do it

To enable people to live their life to the full, experiencing happiness, contentment, fulfilment and belonging.

To empower people and communities by being an excellent provider of care and support for older people, including those living with a dementia and their families and carers.

To make a difference to peoples’ lives by:

• ➢ enabling people to be happy, content, and to live life to the full,

• ➢ by building a sense of belonging, reducing feelings of loneliness and isolation, and ➢ by promoting and maintaining peoples’ independence and spirit.

How we do it

We work to achieve this by

• ➢ Empowering people at every level of the organisation-listen, learn, value, respect, lead

• ➢ Collaborating - engaging with, listening to and working with key stakeholders to develop good solutions and achieve great outcomes

• ➢ Investing - making the best use of our resources, our buildings, our assets and our funds

• ➢ Transforming our systems and processes to minimise waste, making the best use of good technology in order to get the best deals and always achieve good value

• ➢ Focusing on outcomes which serve to driving our performance, our decision making, and our accountability

• ➢ Remembering our values - underpinning every relationship, every intervention, every transaction

How we achieve our objectives

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

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Our impact

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What we delivered and achieved in the year

This year has been like no other experienced due to the impact of Covid-19 on our communities and in particular older people. We have quickly adapted and changed how our services have been delivered to keep people safe, to keep providing care and support. This included taking the decision to focus our day services in East Durham, establishing the East Durham Dementia Hub in Horden and closing our two other day centres in Wheatley Hill and Seaham. At the beginning of lockdown we focused on providing telephone support, doorstep visits, carrying out essential shopping visits and pharmacy visits. Building on our investment in upgrading the charity’s IT infrastructure in the previous year we quickly learnt how to use several platforms. We were able to provide in our homes tablets and free WiFi so families could at the least connect with their loved ones. We produced a regular newsletter, with updates, quizzes, and activities, most of all wherever possible we tried to ensure that people did not feel alone.

“The Bridge” – our dementia advisory service

“With the pandemic it was as though everything had shut down, but you were still there” -comment from a client of The Bridge

The Bridge dementia advisory service provides information and support for people living with a dementia, including early onset dementia, and their families. Based in central Hartlepool, our team at The Bridge supported on average every month 75 people living with a dementia and 118 of their carers. Over the course of the 12 months we welcomed 105 people new to the service, people living with a dementia and their family carers.

The delivery of support has been extended this year, finding new ways of work, making regular weekly calls to support people and importantly their carers through an incredibly difficult time. The service adapted, building people’s confidence in using “zoom”, running regular groups.

Through the year the service provided 4,131 interventions, with over 2,877 regular support calls and mailings . There was over a 400% increase in these activities as lockdown hit families hard.

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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“They have been marvellous, checking on me all the time to see if I needed anything at all, gave me the feeling of security” -comment from a client of The Bridge

The service continued to refer and signpost people to other services, to support them through this difficult period.

“Knowing there is regular contact from a genuine caring service that I can share progress and problems with give me the courage to continue caring each and every day”

“The weekly phone calls/ quizzes and the dementia newsletters are something we look forward to. These are very uplifting, and it keeps us in touch with the outside world. Many thanks for all the work you do for the dementia community it’s very much appreciated.”

“The ladies from The Bridge have been most supportive during lockdown, they have phoned regularly, and although we did not need support during this time, their interest and care had been very much appreciated. It is reassuring to know that help is available when required. I am very grateful for their cheerfulness and concern.”

-c omments from clients of The Bridge

“I am a support worker with Mental health services for older people (MHSOP) in Hartlepool. I wanted to let everyone know what a fantastic job the advisors at the bridge do. I have worked closely with the advisors over the past few years and can't tell you how valuable they have been and still are to me in my role and to the clients I work with. Once you visit the Bridge you will realise how knowledgeable the advisors are, they have endless information about what is available in the area for people living with dementia and their carers. They know who to contact with any problems you may be experiencing. The carer support they offer is amazing they encourage people living with dementia and their family and friends to call in and talk to them”

-feedback from a mental health professional

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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“ The last six months have been difficult for us all, but for the people you support, infinitely more so. The work you have undertaken during lockdown has highlighted the dramatic impact Covid has had on those living with dementia, and how in many cases, the condition has been accelerated because of lockdown conditions. It also demonstrated the importance of cross service working and the work that has been done to develop excellent relationships with other CVS and statutory service providers, and the positive effect such working relationships have had during lockdown ”

-feedback from Healthwatch

Hartlepool Day Services – for people living with a dementia and family member carers

Gretton Court Day Centre provides therapeutic care and support for people living with a dementia at Heather Grove in Hartlepool. This service at the beginning of the reporting period provided therapeutic group and social activities for people living with a dementia and support for family carers through the charity’s family support service. The service was delivered six days per week, with an average of 10 people attending each day.

With lockdown, the service closed and changed to a combination of telephone support, essential calls, and doorstep visits. In turn the service worked closely with partners, including the local authority, other voluntary and community sector organisations and those from the private sector. One of the initiatives was working with Mecca Bingo which provided cooked meals for older people in Hartlepool. The activity, coordinated by the service provided a lifeline to people, giving them something to look forward to, and helped to connect and build relationships. Over 2,800 calls and essential visits carried out.

During the period March to August 2020 the following interventions were recorded:

The service re-opened its doors, in a safe, reduced format, to enable people to access the centre in October, when lockdown initially eased. We feel that the service has transformed and now is even more person centred and bespoke to the people who use it. Coupled with family support for carers, strong links with the local community we are confident that this approach will continue to enable positive outcomes for people living with a dementia.

“The support offered has been brilliant. We are lucky to have a good family support. But we have been grateful for the calls offering support during these times”

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

“We cannot thank you all enough for your support, you have us feel cared for as we did not know anyone when we moved here. Just to know that there was someone at the end of the phone if needed help was a comfort to us. We thank each and everyone of you, for all that you have done and do for us and everyone else. God bless you all and stay safe”

• comments from clients of our Hartlepool Day Services

Community Pastimes – providing one to one community support for people living with a dementia

The Community Pastimes service provides bespoke one to one community-based support for people living with a dementia. Up to the first week in March 2020 the service provided a total of 1,716 and 975 hours of support in Hartlepool and East Durham, respectively. In early March, the decision was taken to postpone services and we quickly moved to a new style of delivery. During lockdown emotional welfare calls were made over seven days per week by services in Hartlepool and East Durham - in some cases twice per day for those clients who lived alone and for those more vulnerable. Numerous support calls were made for shopping and prescriptions. At the beginning of this period of lockdown there were 162 calls per week and at the end 139.

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Community Pastimes Hartlepool Telephone
Support 30th March 2020 - 1st August 2020
2000 1892
1800 1623
1600
1400
1200
1000
800
600
400
200 69 5 21
0
Total interventions
Telephone calls Shopping Prescriptions Emotional Other Intervention
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In August 2020, the service was able to resume the provision of one-to-one service, again an adapted model in line with guidelines. Between August and October, the service delivered 1,359 and 429 inperson calls in Hartlepool and East Durham respectively.

“We engaged in community pastimes to support my mum, the staff involved have been consummate professionals and taken great pride and care in taking care of her, thank you to all involved, this is a wonderful service”

“I had two calls every day I looked forward to the calls as I live alone. It was nice to know someone cared for me. I enjoyed talking to the girls”

“It allowed me to leave the house for short periods of time without concern for **’s (their family member) wellbeing”

“My Dad enjoys time out with the carer. It has helped with his physical and mental health he loves his days out”

-comments from families of clients of our Community Pastimes service

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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East Durham Day services - for people living with a dementia and family member carers

At the start of the year, we operated three East Durham day centres, located at Wheatley Hill, Seaham and Horden - each of which provided therapeutic care and support for people living with a dementia and support for family carers through the charity’s family support service. On average, there were 24 attendances a day across all three centres up until lockdown in March 2020.

When the country went into lockdown the services quickly changed to provide telephone support, doorstep visits, essential shopping, and pharmacy trips. Many of the day services clients, were told to shield in their own homes. Our East Durham services made more than 2,800 calls and essential visits, proving someone to talk to and emotional support through these challenging times.

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East Durham Day Centres Telephone Support
30th March 2020 - 1st August 2020
3000
2664
2475
2500
2000
1500
1000
500
82 95 54
0
Total interventions
Telephone calls Shopping Prescriptions Emotional Other Intervention
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As the situation continued the charity took the decision to close the centres at Wheatley Hill and Seaham and establish the East Durham Dementia Hub at Minerva House in Horden. We were acutely aware that it was unlikely that the traditional model of day service delivery would be right for people in a Covid-19 world. We consulted with clients and their families about the changes at the time and felt this was the best move. Sadly, a number of team members were made redundant at this time.

“Got me through the day to know that someone is there for me. I could not have got through without (name of worker)” - comment from a family member

East Durham Dementia Hub

As lockdown eased and more vulnerable people were able to access vaccines, we took the decision to safely re-open the day services. This meant significantly reducing the numbers accessing the service on a daily basis, becoming a one-to-one service so social distancing could be maintained. The development of the East Durham Hub at Minerva House in Horden has been a real positive, making the best use of the building at Minerva House to provide a range of person-centred activities for people living with a dementia. Our staff team has responded to these challenges magnificently, developing new ways of working, which are very individually outcome focused. For all it was with a sense of relief that we were able to return.

The East Durham Dementia Hub is also the base for our team of family support workers, which provides vital support for family members who care for loved ones living with a dementia.

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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The development of the Hub, which provides a focal point for our dementia services in East Durham, has proved to be a positive move, making better use of the building whilst providing bespoke support for people living with a dementia. We look forward to seeing the service continue to prosper.

“A much-needed change of scenery and different people to talk to and engage with. My loved one comes home with something to talk about and smile” - comment from a family member

Stichell House and Gretton Court - providing residential and nursing care for people in Hartlepool

The charity has two homes in the Hartlepool area, in total providing 24,749 days of residential and nursing care in this reporting period. It is testimony to the staff teams that throughout the year, this most difficult period, they have continued to provide care, support for residents and their families. They have been carer, family and friend, their resilience and dedication there to see. While we faced many challenges, including procuring PPE at the beginning of the pandemic, adapting our practices our staff team have proved to be dogged, determined and incredibly resilient. Their dedication and commitment unquestionable.

Stichell House residential care home situated in Greatham, near Hartlepool, provides residential care for 35 people . The home had 96.4% average occupancy throughout the year providing 12,354 days of residential care.

Gretton Court nursing home in Hartlepool provides nursing care for 37 people who are living with a dementia and often with complex health needs. The home had an 91.5% occupancy rate throughout the year providing , 12,395 days of residential nursing care .

Occupancy levels for Gretton Court and Stichell House (combined)

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Trustees Annual Report and Accounts for the year ended 31 October 2020

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Both homes are rated by the Care Quality Commission as “Good” and continue to achieve a level 1 standard approved by Hartlepool Borough Council as part of its annual Quality Standards Framework.

Almshouses - supporting older People to live independently

The charity owns and manages 123 almshouses , providing accommodation, with the support of a warden. The properties in Stockton on Tees, Norton and Hartlepool all benefit from a call system 24 hours a day providing residents with responsive help needed. The combination of accommodation, a sense of community and belonging, suitably adapted properties, warden support and 24hour access to the one call system means that our residents can continue to live independently in the community . We had to adapt our service as many residents were asked to shield due to health conditions, access to community areas and social activities stopped to reduce the risk of transmission of Covid-19. Our two wardens delivered a combination of telephone support, door stop calls and essential shopping and pharmacy calls.

----- Start of picture text -----
Almshouses - Telephone Support
30th March 2020 - 1st August 2020
4000
3445
3500 3155
3000
2500
2000
1500
1000
500 34 158 81
0
Total interventions
Telephone calls Shopping Prescriptions Emotional Other Intervention
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Trustees Annual Report and Accounts for the year ended 31 October 2020

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Grants – supporting the community

The Board of Trustees agreed to adapt the grants programme to offer small emergency grants to local organisations, in order to reduce the impact on the community of the Covid-19 pandemic.

Through our small grants programme we supported 38 voluntary and community sector organisations with grants totalling £53,000 . Charities and Community Interest Companies supported included:

• the making and distribution of face masks for charity staff, including hospice and carer organisations in the local area

• supporting babies and expectant mothers

• support packs for unpaid carers

• car park karaoke for care homes to raise the spirts of care home residents at that time unable to have visitors

• waste food collected and made into meals for home delivery, food parcel delivery and meals for people in isolation

• benefit and income advice

• working with NHS and volunteers to identify need and provide fuel and food vouchers

• domestic violence refuge and support

• mental health support and bereavement support.

Our strategy for the future

The charity’s strategic plan is in year three of its three-year cycle. It cannot be understated the impact of the last year due to Covid-19. Covid-19 has impacted on every aspect of the charity's services and people’s lives. The long-term effects on the charity’s services, and the financial impact are not yet clear. The forthcoming period also remains unfamiliar territory and there are still uncertainties ahead, as we seek to recover, repair, and rebuild.

We recognise that there are significant challenges ahead for the charity not only to recover, repair and re-build from Covid-19, but to continue to meet its aims, regulatory requirements, mitigate against significant risk and to consider, with vision and vigour, its longer-term strategy and development to meet its objectives, continue to make a difference and have an impact.

The key drivers are to mitigate risk; to continue to modernise, review, and restructure the charity; support and develop the people who work and volunteer for the charity; to plan ahead, taking a longerterm view; and to continue to provide excellent quality care and support to the many people who use our services or live in our properties. We aim to achieve this within clear financial parameters where we make the best use of the charity's resources and assets.

Over the years the charity has grown and developed whilst the core infrastructure has not done so, with increased and additional responsibilities shouldered by a small number of people. Investment has been in supporting the services, which is admirable, but the time is right to review the core infrastructure and plan.

The trustees have identified that the charity has limited capacity to support its strategic development, that developing a succession policy for business-critical posts is of increasing importance.

We have made good steps forward with values-based recruitment. We work in an industry where staff turnover is quoted at 40% annually; there is more we can do around embedding good HR practices, including induction, the delivery of training, appraisal and succession planning. The Hospital of God at Greatham

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The welfare of our team members is more important than ever, the recruitment of the chaplain and the development of this role can be a key element in supporting our colleagues, through what have been and could continue to be challenging times.

We have moved in advancing the use of technology across the charity, a critical investment. This has served us well during Covid-19 - without this investment in our IT infrastructure day to day activity would have been even more difficult. Across our services we are using care planning and staff rostering applications with real time recording using tablets, instead of pen, paper, post its. There is still work to do but this is the right direction. There is a large piece of work to consult with staff members to seek to change the historical contractual pay period so it can be aligned with the IT system in real time. IT as an asset needs to be maintained and the technology kept on top of.

In our regulated residential care services there is a need to focus on the workforce, providing excellent leadership and management and support,

Our day services have been transformed, particularly our day centres, absolutely person-centred, and outcome focused. We can build on this, achieve good outcomes for people and seek to work with partners to develop our services further. Services like The Bridge have proven to be a lifeline to people living with a dementia and their families.

There is opportunity to further consider the development of 21[st] century alms-houses, potentially accessing grant monies to maximise our impact. Imagine modern day, warm, energy efficient houses for older people, tied into a community that cares and is connected.

We are thinking ahead and considering how we can be part of the conversation about potential changes and developments in providing residential and nursing care. The much-promised social care reforms may or may not significantly change the landscape. As for our care home buildings age, notably Gretton Court, we are considering our longer-term options and examining the best way to meet our charitable objectives.

Our board of trustees have demonstrated their commitment and support for the charity throughout the pandemic with regular operational updates and further developing thinking around the future development and focus of the charity, looking further ahead and considering how we can best meet our charitable objectives, how we can make best use of our assets and investments.

Our strategic plan details our five principal strategic objectives:

• 1 To deliver excellent, outstanding services to people who need them

• 2 To provide a great place to work for those people on whom we rely to deliver these services – our people are key

• 3 To plan and invest for future sustainable solutions and growth

• 4 To run an effective grants programme which empowers communities and the people who live in them

• 5 To strengthen our foundations by building a fit-for-purpose infrastructure.

Strategic objective 1 – to deliver excellent, outstanding services, which are focused on outcomes and with people at the heart; services which are effective, welcoming, accessible and valued by our communities

How we will achieve this objective:

• Back on track-quality, improvement and governance - governance audit and improvement review/annual action plan agreed, quarterly audits and actions/refreshed proprietors visits

• Be prepared for CQC interim inspection both homes, our aim being “Good” or “Outstanding”

• Transition from Covid-resolved beds at Gretton Court and Stichell House

• Strengthen person centred care ethos throughout - full commitment to person centred care and the principles and values of the butterfly model

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• Day centres - the new model - focus on individual outcomes, needs, strengths and aspirations and whole family support-continued transition out of lockdown

• Day centres and day services - continued liaison with commissioners and develop demand from the private market

• Maintain excellent Covid-19 infection control practices

• Develop the East Durham Dementia Hub at Minerva House

• Continue contract delivery in Hartlepool - Hartlepool Day Centre and community pastimes service

• Service user and their family’s feedback - annual survey all services

• Day Services - introduce proprietors visits as part of governance, audit and improvement review

Strategic objective 2 – our people are key - we want to provide them with a great place to work and belong, supported by excellent leadership and governance How we will achieve this objective:

• Recruit new registered managers for Stichell House and Gretton Court to lead, manage the team and develop the services

• Strengthen management structure at Gretton Court and Stichell House

• Invest to develop all staff to reach for their potential, including identifying future leaders to facilitate good succession planning

• Get the terms and conditions review done (pay staff in real time/remove reliance on timesheets)

• Development of dementia training in partnership with University of the Highlands and Islands

• Maintain values-based recruitment - training for recruiters.

• Develop appraisal system, linking to achievement of charity and service goals within the charity’s value base

• Develop staff forum and communications - support for governance, audit and improvement policy

• Support staff wellbeing

• Follow all Covid-19 guidelines and practices

Strategic Objective 3 – to plan and invest for future sustainable solutions and growth, to be a force for good which is here for everyone

How we will achieve this objective:

• Research development of 21[st] century almshouses as part of charity’s long-term strategy

• Address voids at Trinity Gardens - monthly costs (maintenance contributions), affordability and demand

• Almshouse programme of repairs - Trinity Gardens/Fox Almshouses

• Keep occupancy levels high and on target - all services

• Reduce the reliance on agency staff by 80% - break this practice

• Review financial sustainability of the Durham community pastimes service

• Produce report on the long-term future of Gretton Court Nursing home

• Estate properties programme of maintenance

• Review investment strategy to meet the charity’s plans and objectives

• Monitor potential contract opportunities.

• Successful tender for The Bridge dementia advice service

• Agree partnership development Greatham Beck Project - restoring natural habitat/generating income

• Support research as part of sustainable villages initiative - sustainable energy development

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Strategic Objective 4 – to strengthen our foundations by building a fit for purpose infrastructure to support the achievement of our mission

How we will achieve this objective:

• Review and restructure - core infrastructure - finance team, HR, IT and administration, strategy and development, gardening and maintenance

• Underpin values with branding - “A place to live, a place to love, a place to belong”

• Review terms of reference of the Finance and Property sub-committee and the Grants subcommittee

• Implement technology – “People planner” (staff rostering) system and “Care Planner” are the norm second nature

• Programme of policy review - care services

• Maintain and make best use of skills level of board of trustees

• Consider friends and associates to complement board membership

• Review investment strategy in line with charity vision and objectives

• Good governance practice - board level

• Review pension trust arrangements

• Review risk register

Strategic Objective 5 – an effective grants programme which empowers communities in the north east and the people who live in them, and can also support the achievement of outcomes for our residents, guest and clients

How we will achieve this objective:

• Review grants giving

• Update Grants sub-committee terms of reference.

What we intend to achieve over the next 12 months

Our aims moving forward are summarised below:

Stichell House – enabling older people to live independently, live well and enjoy life

• ➢ A manager to lead and support the team – to recruit a registered manager who will lead the team, putting people at the heart, who will live our values and take us to achieving outstanding care - this is what our residents deserve

• ➢ Being person centred – to pilot a “being person centred” quality approach, establishing a “quality” team to support learning and development with a focus on quality and improvement. Emphasising a value driven approach and attention to detail. To deliver truly person-centred care always and continuing to put people at the heart of everything we do

• ➢ Striving for outstanding – to prepare for a full CQC inspection, through fully understanding the key lines of enquiry – “Safety, Effective, Caring, Responsive and Well-led”. Self-assessment to learn and improve

• ➢ Keeping people safe – to continue to maintain the highest standards of infection control, working with residents, their families and all other professionals

• ➢ Transform how we work – to fully implement electronic time rostering and care planning systems in the home, developing our systems so we can work better and spend more quality time with residents.

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Gretton Court – where people living with a dementia, and their families and carers, can fulfil their potential and live life to the full

• ➢ Getting back on track – to manage the transition from the emergency “home from hospital” service back to nursing care for people living with a dementia, achieving outstanding care and maintaining good occupancy levels

• ➢ Being Person Centred - building from the learning of “The Butterfly Model” and emphasising a value driven approach with attention to detail. To deliver truly person-centred care always and continuing to put people at the heart of everything we do

• ➢ Keeping people safe – to continue to maintain the highest standards of infection control, working with residents, their families and all other professionals.

• ➢ Build a resilient team – to reduce the use of agency staff to cover for staff absences.

• ➢ Transform how we work - to fully implement electronic time rostering and care planning systems in the home, developing our systems so we can work better and spend more quality time with residents.

Day services – enabling people living with a dementia in their own homes, and their families and carers, to live life to the full

• ➢ Adapt our day services to meet the needs of people living with a dementia in a Covid-19 world as we transition out of lockdown

• ➢ Be person centred - adopting the best of “The Butterfly Model” and keeping people safe by putting people at the heart of everything we do

• ➢ To offer the best dementia advisory servic e - excellence throughout

• ➢ To provide safe spaces - buildings and day centres

• ➢ Transform how we work - to fully implement electronic time rostering and care planning systems developing our systems so we can work better and spend more quality time with residents.

Our almshouses – providing independent supported living where older people live well, live independently and enjoy life

• ➢ Enable people to live independently and safely

• ➢ Adapt our service -transition towards a post Covid-19 model and way of working which maintains visibility, on site and telephone/internet support

• ➢ Safe spaces – our houses, flats, gardens and communal areas

• ➢ Maximise occupancy and income across all our almshouse locations

• ➢ To continue to improve our buildings – including the completion of structural repairs at our Stockton on Tees development and a window replacement programme at our listed properties at Norton.

Charity wide aims

• ➢ Our employees – a complete review of pay, terms and conditions to update and unify throughout the charity

• ➢ Transform how we work – to complete the digital transformation work including new HR and recruitment systems

• ➢ Review core infrastructure capacity and support – to ensure resilient support functions including finance and administration

• ➢ Finance – to monitor and review the ongoing financial viability and sustainability of our services particularly in the light of Covid-19

• ➢ Leadership at all levels across the charity - working to maintain culture, mission, vision and values

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• ➢ Develop Succession planning across the charity

• ➢ Underpin Values with branding – “A place to live, a place to love, a place to belong”

• ➢ Better health at work – ensuring the health, safety and well-being of our people, particularly in the light of Covid-19

• ➢ Review, learn and improve board governance - review induction, training and terms of reference for our trustees

• ➢ Financial training and understanding – developing and strengthening the role of the Finance and Property committee

• ➢ Review grants giving – developing and strengthening the role of the Grants Committee.

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Financial review

__________

Summary

This financial year has been dominated by the impact of the Covid19 pandemic upon the charity’s operations. The charity responded by adapting and adjusting its service delivery models to ensure continuity of services for the benefit of residents and clients. This secured the continuity of several key funding streams which meant that income levels were maintained at largely pre-pandemic levels. Expenditure, particularly in the residential and nursing services, increased as the charity faced higher costs around staffing and PPE, but operations largely continued, and no staff were furloughed. Previous investments in technology and digital applications proved instrumental in enabling the charity’s support functions to continue to operate uninterrupted throughout this time.

Despite the impact of the pandemic upon the charity’s operations, its financial position was largely unaffected, principally due to the health of the reserves and the strength and performance of the endowment. Total income for the year was £5,022,000 and total expenditure on operations was £5,375,000. The operating deficit of £353,000 was funded from unrestricted reserves. Alongside this, the charity’s endowment and other investments generated unrealised gains exceeding £1,057,000, reflecting strong market and portfolio performance. As a result, the charity reports an overall increase in its total funds of £608,000 during the year. The health of the charity’s reserves, together with the resilience and stability afforded by its endowment, are enabling the charity to weather the current storm by bridging the gap between income and expenditure and allowing it to continue investing in services for the future.

The following pie charts illustrate the charity’s operating income and expenditure during the year:

----- Start of picture text -----
Donations and
Income from legacies, £115,000,
financial 2% Charitable -
investments, other, £7,000,
0%
£264,000, 5%
Charitable income -
almshouses,
£553,000, 11%
Income from
investment
Charitable income
properties,
- residential care,
£574,000, 12%
£2,663,000, 53%
Charitable income
- community
services, £846,000,
17%
Income for the year ended 31 October 2020
----- End of picture text -----

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----- Start of picture text -----
Charitable
Financial Charitable
expenditure -
investment expenditure -
grants , fundraising,
management costs,
£74,000, 1% £12,000, 0%
£141,000, 3%
Investment Charitable - other,
property £2,000, 0%
management costs,
£305,000, 6%
Charitable
expenditure -
almshouses,
£570,000, 10%
Charitable
expenditure -
residential care,
£2,995,000,
56%
Charitable
expenditure -
community
services,
£1,276,000, 24%
----- End of picture text -----

Analysis of expenditure for the year

The following chart illustrates how the charity’s different activities contributed to the net operating deficit of £353,000:

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Results from charitable activities

The principal source of funding for the charity’s activities is income from the provision of its services - predominantly fees, contract payments and grants. These income streams remained largely intact throughout the year, despite the disruption caused by the pandemic, and overall income from charitable services was broadly in line with the previous year.

Income from residential care amounted to £2,663,000 representing an increase of approximately 7% over the previous year. Occupancy in the charity’s residential care homes was adversely affected by Covid19related restrictions imposed on the admission of new residents. The two care homes achieved a combined average occupancy rate of 94% during the year, compared with 98% in the previous year. Both income and occupancy for these services were supported by a partnership arrangement with the local authority for the provision of rooms to accommodate the discharge from hospital of Covid19-resolved patients. Without this arrangement, the average combined occupancy in the homes during the year would have been 85%. The funding during the year associated with this arrangement totalled £283,000.

The charity’s continuing policy is to maintain the fees charged for its residential care services in line with the rates set by the local authority so that the service remains affordable to all. The trustees continue to believe that these fee levels remain incompatible with the provision of high-quality, safe and compassionate residential care, and recognise the continuing and increasing need for the charity to subsidise this activity from its own resources in the face of increasing costs.

During the year expenditure (including support costs) on residential care services increased by approximately 4% - exceeding income by around £332,000. The deficit for the year represents a subsidy by the charity equivalent to approximately 11% of the full cost of this service.

Income from the charity’s day and community services amounted to £846,000, a reduction of 16% compared with the previous year. The level of day and community service delivery was significantly curtailed by the pandemic. In particular, the number of day service clients who could be accommodated safely in our buildings was severely restricted by the need to ensure appropriate social distancing. Steps were taken to adapt the model of service delivery, for example through a temporary move towards telephone support. This was all carried out in close liaison with the local authorities and the NHS who are the principal funders of these services, and as a result key funding streams remained in place during the year. The reduction in income is largely due to the loss of privately funded individual service users where it was not possible to provide the service in the format specified in their private contracts.

Expenditure on day and community services (including support costs) decreased by approximately 2.5% to £1,276,000. The charity continued to pay all staff throughout the pandemic - in some cases redeploying to other services - and no staff were furloughed. Towards the end of the financial year, it became apparent that some of the charity’s buildings were unsuited to the adapted model of service delivery and so the decision was taken to close two of the charity’s smaller day centres on the grounds that a viable service would not be possible from these locations in the foreseeable future. Now, as restrictions ease and the pandemic starts to recede, the focus is on rebuilding a sustainable set of day and community services for the future.

Income from the provision of supported almshouse accommodation amounted to £552,000, a decrease of approximately 2% from the previous year. Voids were more difficult to fill during the latter part of the year due to the pandemic and some properties remained vacant for significant periods. Total costs, including support costs, of providing this service was £570k during the year, compared with £826k in the previous year (which included the £250,000 cost of a replacement heating system).

During the year, the charity awarded grants totalling £52,000 to other charities and voluntary organisations, and a further £1,000 grant to the Newcastle Diocese. These grants, and the associated support costs, continue to be entirely funded from the charity’s own resources.

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Results from investment activities

The charity holds investments in financial and property assets which generate income and capital gains for use in meeting its charitable objects.

The trustees employ investment fund managers to manage the financial investment portfolio on a discretionary basis within broad investment parameters set by the trustees which take account of trustees’ views on acceptable levels of risk. The fund managers have been instructed that the charity has an ethical investment policy relating to directly held securities which encourages investment in companies which are sensitive to the communities in which they operate, can demonstrate success in business and financial matters and adopt responsible corporate governance, employment and environmental policies. Performance of the fund managers is measured against appropriate industry benchmarks. Trustees and senior management meet regularly with the fund managers to review performance and consider changes to the portfolio in response to changes in market conditions.

The investment objective of the endowment fund’s financial investment portfolio is to achieve sustained growth over the medium to long term whilst accepting a moderate level of risk.

During the year ended 31 October 2020 the charity’s financial investments generated net income after fees of £93,000 and unrealised gains of £1,091,000, reflecting strong market performance throughout the financial year.

Under a total return order granted by the Charity Commission in 2010 the charity is permitted to draw upon capital growth in the endowment’s financial investment assets in order to support its charitable activities provided always that the real value of the trust for investment is maintained. In this way trustees ensure that due consideration is given to the needs of both present and future beneficiaries of the charity. Details of the total return approach to the investment of the charity’s permanent endowment is given in Note 17 to these accounts which shows that the value of the “trust for investment” at 31 October 2020 was £18,035,000 and the value of unapplied total return at that date was £2,270,000. Unapplied total return represents that part of the accumulated unrealised gains on the financial investments which is available for trustees to spend in meeting the charity’s objectives or to replenish general reserves.

Due to the continued sufficiency of its unrestricted reserves the charity has not drawn down any funds from endowment growth during the year.

The charity’s portfolio of investment properties comprises houses, farms, commercial and other properties located in and around the village of Greatham. The portfolio is managed in-house. The properties are maintained to a high standard and the charity endeavours to be a good landlord. The net income generated from these properties during the year was £269,000, after deducting maintenance and other costs including support costs. Overall, rental income increased by 1.4% during the year, but this was adversely affected by a number of property voids which proved difficult to fill during the pandemic restrictions. Expenditure on these properties, principally pre-let repairs and upgrades, decreased by 18%, largely due to an inability to carry out such work during the pandemic. It is likely that expenditure in future years will be higher as a result of this deferred work.

The following chart shows how the charity’s total funds increased during the year due to the unrealised gains on the financial investments:

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Financial position

The charity’s overall financial position remains strong, with total funds at 31 October 2020 amounting to £44,543,000, increased from £43,934,000 at the previous year end largely due to the unrealised gains on the financial investments during the year.

Of these total funds 91% is represented by the charity’s endowment fund assets, primarily its financial and property investments. Of the remaining funds, approx. 2% represents funds held on trust in a restricted fund for the Charity of Emma Simpson for Almshouses. The remaining 7% of funds comprise the charity’s unrestricted reserves. This is illustrated graphically in the chart below:

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----- Start of picture text -----
Unrestricted
Funds,
£3,079,000 , 7%
Restricted Funds,
£1,059,000 , 2%
Endowment
Fund,
£40,405,000 ,
91%
Total funds as at 31 October 2020
----- End of picture text -----

The assets in which the endowment fund is held are indicated in the chart below:

----- Start of picture text -----
Inter-fund balances,
£552,000 , 1%
Tangible fixed
assets, £7,992,000 ,
20%
Financial
investments,
£20,443,000 , 51%
Investment
properties,
£11,418,000 , 28%
Endowment Fund assets at 31 October 2020
----- End of picture text -----

As discussed above, the value of the financial investments held in the Endowment Fund at 31 October 2020 includes unapplied total return of £2,270,000 which is available for transfer to unrestricted funds.

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The restricted fund represents the assets of the Charity of Emma Simpson for Almshouses which are held and managed by the charity as corporate trustee of the linked charity. The composition of the assets of this restricted fund is illustrated in the chart below:

----- Start of picture text -----
Restricted fund assets at 31 October 2020
Financial
investments,
£54,000 , 5%
Inter-fund
balances,
£128,000 ,
12%
Tangible fixed
assets, £876,000 ,
83%
----- End of picture text -----

The assets and liabilities of the charity’s unrestricted funds are illustrated in the following chart:

Net current assets at 31 October 2020 amounted to £3,127,000. The operating deficit arising during the year has reduced net current assets from £3,313,000 at the previous year end. The impact of the charity’s operations during the year on the charity’s cash balances is shown in the Statement of Cash Flows included at page 42.

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The charity maintains sufficient liquidity to fund its day-to-day activities. At 31 October 2020, the charity’s net assets included bank and cash balances totalling approximately £3,115,000.

The trustees have established a reserves policy to ensure that in the unlikely event of all sources of income ceasing at once the charity could operate for a period of three months. Consequently, the minimum level of unrestricted reserves which is considered acceptable is £1,250,000. At 31 October 2020 the charity’s unrestricted funds totalled £3,079,000. The trustees of the charity have discretion over how all unrestricted funds are used in furtherance of the charitable objectives and retain the ability to redesignate any of the unrestricted funds.

In view of the overall strength of the charity’s financial position, available cash and unrestricted reserves, and its plans for the forthcoming year, the trustees confirm that they consider the reserves to be sufficient to enable the charity to continue with its operations and to fulfil its obligations as they fall due.

The charity has a long-term financial obligation in respect of The Greatham Hospital Pension Scheme, a legacy defined benefit pension scheme for which the charity is the sponsoring employer. This pension scheme is closed to new members but remains open to future accrual for the remaining active members. The most recent comprehensive actuarial valuation of the scheme was carried out as at 31 October 2019, which indicated an actuarial deficit of £230,000 at that date. The charity, as sponsoring employer, has agreed with the trustees of the scheme a deficit recovery plan involving additional contributions which is expected to eliminate the shortfall by November 2024. For the purposes of the financial statements as at 31 October 2020 the valuation of the charity’s net obligation, calculated in accordance with Financial Reporting Standard 102, is £204,000.

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Structure, governance and management

__________

Formation, legal structure and objectives

The charity was first founded in 1273 by the Bishop of Durham, Robert de Stichell, and was subsequently re-founded in 1610 by King James 1.

The present charity governing document is the scheme of the Charity Commission dated 27 June 2002 as amended by the uniting order of the Charity Commission of 26 March 2009 which appointed the charitable company as the corporate trustee of the charity. The Hospital of God at Greatham charity holds the permanent endowment on behalf of the company.

The present governing document of the charitable company is the memorandum and articles of association dated 13 March 2008 which sets out its charitable objectives:

• “the provision of housing accommodation and extra care accommodation for beneficiaries;

• the provision of grants, not exceeding £5,000 in any one year, for such parochial or charitable purposes within the parish of Greatham as the trustees think fit;

• the relief of persons who are in conditions of need, hardship or distress, including but not limited to people living with Alzheimer’s disease and related disorders, by providing grants of money to them or for their benefit; by providing or paying for goods, services or facilities for them; or by making grants of money to other persons or bodies who provide goods, services or facilities to those in need;

• the appropriation of bungalows, almshouses and other property belonging to the charity for the use of residents and brethren of the charity; and

• the maintenance of the chapel which is devoted to the performance of divine service for the benefit the brethren and residents of the charity.”

These objects are achieved through the provision of residential and nursing care for older people and people living with dementia; community support services for older people and people living with a dementia, and their carers; the provision of supported housing for older people; and the making of grants to other charities and voluntary organisations.

Governing body and governance

The trustees, who are also directors of the charity for the purposes of the Companies Act, have overall responsibility for the strategy, management and control of the charity. There is provision for eight coopted trustees, and they are elected by the existing trustees at a general meeting as vacancies arise and in accordance with the needs of the charity. There is a one-year trial period for new co-opted trustees. Each co-opted trustee may serve for two periods of five years.

There are three ex-officio trustees, namely the Archdeacons of Durham and Northumberland and the Bishop of Durham. The archdeacons take up the role of trustee by virtue of their position and hold office for as long as they remain in post. The Bishop of Durham holds office for as long as he or she remains in post. The Bishop may, and historically has, nominated someone to act on their behalf for a five-year period which can be repeated.

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The trustees are required to elect a chair of their meetings at the first meeting of each calendar year. As part of their induction and training new trustees receive the following documents:

• the trustee handbook

• the latest set of audited accounts

• the scheme of the charity

• the memorandum and articles of association

• the budget for the current financial year

• the trustee code of conduct

• the trustee declaration of interests which is updated annually

• relevant Charity Commission publications via their website

• the latest timetable of meetings

The board of trustees meets four times each year and is responsible for establishing structures for the proper governance and management of the charity and the development of the vision and strategy of the charity in accordance with its objects.

The trustees have established several committees to consider issues in greater depth and to advise the Board. These committees, which are accountable to and report to the Board, are as follows:

• Finance and Property committee which meets four times a year to provide oversight of the charity’s finances and investments, financial strategy, objectives, plans and policies

• Grants committee which meets three times a year to consider and approve grant applications.

The trustees ensure that the charity has a development strategy in place and that effective monitoring and governance arrangements are in place. The day to day running of the charity and the exercise of executive responsibility is delegated to the charity director and the management team.

The charity is not part of a formal network of other charities. It does, however, have contractual and working relationships with local authorities for the provision of social care services and housing support services and contractual relationships with the local clinical commissioning groups for the funding of community services and nursing services.

The charity has an arrangement with another charity, The Waddington Street Charity to provide a house that is managed by Waddington Street Centre in Durham city as a halfway house for people recovering from mental ill health.

The Hospital of God at Greatham has absorbed or been formally linked with other charities in recent years as follows:

• Fox Almshouses Trust – absorbed on 1 February 2008

• Hartlepool and East Durham Alzheimer’s Trust – absorbed on 1 April 2008

• Stockton Almshouses Charity and Stockton Relief in Need Fund – both absorbed on 12 July 2010

• Charity of Emma Simpson for Almshouses – linked by Charity Commission order on 28 July 2017.

Further information is given in the Notes to the Financial Statements which accompany this report.

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Statement of public benefit

The trustees give due consideration to Charity Commission guidance on public benefit under the Charities Act 2011.

The Hospital of God at Greatham provides public benefit by virtue of its objects which are to relieve need, hardship and distress. We work to ensure the independence, health, wellbeing and social integration of the people we work with. Where individuals are not able to pay fees, for example in our residential homes, because they cannot afford them, the charity would encourage them to seek state funding. The charity to a greater or lesser extent subsidises all its services from its own resources and this is considered by trustees to be an appropriate use of the charitable endowment in accordance with the legal objectives of the charity.

Examples of how charitable funds are used to create public benefit are:

• the use of the charity’s property and financial assets to support the delivery of its charitable services;

• the use of charity funds to subsidise the cost of service delivery to ensure that the charity’s services remain affordable and accessible to all;

• the use of charity funds to enhance the quality and variety of the services in our care home, nursing home and day centres;

• the operation of a transport service in our day centres, the cost of which is subsidised by the charity, which enables people to attend who would otherwise not be able to do so;

• the expenditure of capital in order to modernise and improve our supported almshouses for the benefit of beneficiaries;

• the use of charitable funds to provide carer support services and memory cafes free of charge to the public;

• the making grants to other charities and voluntary organisations in need throughout the north east of England with the objective to relieve need, hardship or distress.

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Risk management and principal risks

The trustees have overall responsibility for the management of risk within the charity and view the management of risk as an essential discipline to support the charity in achieving its goals.

The trustees have conducted a review of the major risks to which the charity is exposed. A risk register has been established and is updated annually. Control systems have been put in place to mitigate such risks. The charity director reports to trustees on any new risks that might arise during each year. These five major risks that have been identified and the measures taken to mitigate them are detailed below. They are included within a full and comprehensive register which is monitored and revised as is necessary.

Identified risk	Mitigating action
Budgetary control and financial reporting	• budgets to business planning and objectives • monitor and report in a timely and accurate way through Finance and Property sub- committee • costing procedures for product or service delivery in place • adequate skills base to produce and interpret budgetary and financial reports • agreed procedures to review and action budget/cash flow variances and monitor and control costs, monitoring of accounts for adverse balances. • use of guarantors, licence support agreements, clarity regarding deputyship, Lasting Power of Attorney etc. • regularly review reserves and investment
Employment issues	• review recruitment processes – values based recruitment • safe recruitment in place-agreed reference and qualification checking procedures, job descriptions, contracts of employment, appraisals and feedback procedures. • job training and development • health and safety training in place operational and monitoring • employment law requirements updated via our external HR professional advisors and annual refresh of employee handbook. • implemented safe recruitment staff vetting and legal requirements (eg Disclosure and Barring Service checks) whistleblowing and raising concerns policy agreed. • employee assistance programme in place accessible by all staff and families • external HR professional support service in place • adapt workspaces - Covid-19

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

35

	35
	• improved communications with all staff members through select HR and staff conferences • agreed support for staff who are shielding or caring during Covid-19 • Covid-19 safe-risk assessments in place
Procedural and systems documentation	• properly documented policies and procedures in place • further developed induction and annual refresh of health and safety and employee information. • clear lines of authority • development of IT and shared information systems • planned audit and review of systems. • partnership with external HR professional advisors - update policies and practice specific to care industry.
Disaster recovery and planning – major IT system failure or loss of data; destruction of assets through fire, flood or similar; impact of major health crisis such as a global viral pandemic	• developed IT recovery plan working with our external IT advisors and support service • data backup procedures and security measures in place and updated • annual review of insurance cover • business continuity/disaster recovery plan in place • updated risk assessments, policies and procedures in place • infection control measures in place • liaison with stakeholders • regular review of measures in place in response to the changing environment and government laws and guidelines.
Compliance with legislation and regulations around social care and housing	• identified key legal and regulatory requirements. • allocated responsibility for key compliance procedures • put in place compliance monitoring and reporting including development of governance, audit and improvement policy and procedure • prepare for compliance visits. • compliance reports obtained from regulators (CQC) and local authority for care homes and service commissioners for other services. • Investment in specialist social care support package provided by external professional advisors

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

36

Statement of trustees’ responsibilities

The trustees are responsible for preparing the annual report and the financial statements in accordance with applicable law and UK 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 surplus or deficit of the charity for that period. In preparing these financial statements, the trustees are required to:

• select suitable accounting policies and then apply them consistently;

• make judgements and estimates that are reasonable and prudent; and

• prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which 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.

Statements of disclosure to auditors

In so far as the trustees are aware:

• there is no relevant audit information of which the charity’s auditors are unaware; and

• the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.

Wm Fortune & Son are deemed to be reappointed in accordance with Section 487(2) of the Companies Act 2006.

This Trustees’ Annual Report, which incorporates the Strategic Report and the Directors’ Report required under the Companies Act 2006 (Strategic Report and Directors Report) Regulations 2013, was approved by the Board on 15 July 2021 and signed on its behalf by:

Christopher Dickinson Chair of trustees

Lawrence McAnelly Chief Executive Company Secretary

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

37

Hospital of God at Greatham

Independent Auditor’s Report to the Members of the Hospital of God at Greatham

Year ended 31 October 2020

__________

Opinion

We have audited the financial statements of The Hospital of God at Greatham (the 'charity') for the year ended 31 October 2020 which comprise the statement of financial activities (including income and expenditure account), statement of financial position, statement of cash flows and the related notes, 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 FRS 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:

• give a true and fair view of the state of the charity's affairs as at 31 October 2020 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;

• have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice;

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for 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 charity 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.

Conclusions relating to going concern

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

• the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

• the trustees have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the charity's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

We draw your attention to disclosures made in Note 26 relating to the impact of Covid 19 since the year end. Our opinion is not modified in respect of this matter.

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information. 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

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

38

The Hospital of God at Greatham

Independent Auditor’s Report to the Members of the Hospital of God at Greatham (continued)

Year ended 31 October 2020

_________

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.

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the trustees’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the trustees’ report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ 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:

• adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

• the financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of trustees’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit.

Responsibilities of the trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors 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 charity'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 charity 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 an auditor’s report 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.

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

39

The Hospital of God at Greatham

Independent Auditor’s Report to the Members of the Hospital of God at Greatham (continued)

Year ended 31 October 2020

_________

As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees.

• Conclude on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the charity to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Use of our report

This report is made solely to the charity'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 charity'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 charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.

Thomas Atkinson (Senior Statutory Auditor)

For and on behalf of Wm Fortune and Son, Chartered Accountants & Statutory Auditors Collingwood House Church Square Hartlepool, TS24 7EN

15 July 2021

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

40

The Hospital of God at Greatham

Statement of Financial Activities (including income and expenditure account)

Year ended 31 October 2020

__________

					2020	2019
		Unrestricted	Restricted	Endowment
		funds	funds	funds	Total funds	Total funds
	Note	£		£	£	£
Income and endowments
Donations and legacies	5	115,271	–	–	115,271	31,020
Charitable activities	6	4,033,237	35,635	–	4,068,872	4,070,427
Investment income	7	600,660	–	237,528	838,188	821,958
		-----------------------------------------	-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Total income		4,749,168	35,635	237,528	5,022,331	4,923,405
		=========================================	=======================================	================================	=========================================	=========================================
Expenditure
Expenditure on raising funds:
Investment management costs	8	(304,929)	–	(141,241)	(446,170)	(504,306)
Expenditure on charitable activities	9,10	(4,879,602)	(46,734)	(3,000)	(4,929,336)	(5,165,603)
		-----------------------------------------	-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Total expenditure		(5,184,531)	(46,734)	(144,241)	(5,375,506)	(5,669,909)
		=========================================	=======================================	================================	=========================================	=========================================
Total income less total
expenditure		(435,363)	(11,099)	93,287	(353,175)	(746,503)
Net unrealised gains/(losses) on
investments	11	(26,526)	(7,016)	1,091,140	1,057,598	1,286,606
Realised gains/(losses) on disposal of
fixed assets		-	-	14,042	14,042	-
		-----------------------------------------	-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Net income/(expenditure)		(461,889)	(18,115)	1,198,469	718,465	540,102
Transfers between funds	23	99,854	–	(99,854)	–	–
Other recognised gains and losses
(Increase)decrease in pension fund deficit21		(110,000)	–	–	(110,000)	(2,000)
		-----------------------------------------	-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
Net movement in funds		(472,035)	(18,115)	1,098,615	608,465	538,102
Reconciliation of funds
Total funds brought forward		3,551,232	1,076,516	39,306,610	43,934,358	43,396,256
		-----------------------------------------	-----------------------------------------	----------------------------------------------	----------------------------------------------	----------------------------------------------
Total funds carried forward	23	3,079,197	1,058,401	40,405,225	44,542,823	43,934,358
		=========================================	=======================================	==============================================	==============================================	==============================================

The statement of financial activities includes all gains and losses recognised in the year. Income and expenditure derive from continuing activities.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

41

The Hospital of God at Greatham

Statement of Financial Position

Year ended 31 October 2020

__________

		2020	2019
		£	£
Fixed assets
Tangible fixed assets	15	8,898,200	9,168,870
Investments	16	32,814,363	31,640,445
		----------------------------------------------	----------------------------------------------
		41,712,563	40,809,315
Current assets
Debtors	18	407,558	488,283
Cash at bank and in hand		3,114,696	3,340,596
		-----------------------------------------	-----------------------------------------
		3,522,254	3,828,879
Creditors: amounts falling due within one year	19	394,892	515,751
		-----------------------------------------	-----------------------------------------
Net current assets		3,127,362	3,312,828
		----------------------------------------------	----------------------------------------------
Total assets less current liabilities		44,839,925	44,122,443
Creditors: amounts falling due after more than one year	20	93,102	94,085
Provisions for liabilities	21,22	204,000	94,000
		----------------------------------------------	----------------------------------------------
Net assets		44,542,823	43,934,358
		==============================================	==============================================
Funds of the charity
Endowment funds		40,405,225	39,306,610
Restricted funds		1,058,401	1,076,516
Unrestricted funds		3,079,197	3,551,232
		----------------------------------------------	----------------------------------------------
Total charity funds	23	44,542,823	43,934,358
		==============================================	==============================================

These financial statements were approved by the board of trustees and authorised for issue on 15 July 2021, and are signed on behalf of the board by:

Christopher Dickinson Chair of trustees

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

42

The Hospital of God at Greatham

Statement of Cash Flows

Year ended 31 October 2020

__________

	2020	2019
	£	£
Cash flows from operating activities
Net income/(expenditure)	718,465	540,102
Adjustments for:
Depreciation of tangible fixed assets	239,067	244,506
Net movement on investments	(1,057,598)	(1,286,606)
Net gains on tangible fixed assets	(14,042)	-
Dividends, interest and rents from investments	(838,188)	(821,958)
Interest payable and similar changes	10,541	10,612
Increase/(decrease) in accrued liabilities	(39,495)	25,194
Changes in:
Trade and other debtors – (increase)/decrease	80,725	(78,351)
Trade and other creditors – increase/(decrease)	(81,464)	55,790
	--------------------------------	--------------------------------
Cash generated from/(used in) operating activities	(981,989)	(1,310,711)
Interest paid	(10,541)	(10,612
	--------------------------------	--------------------------------
Net cash generated from/(used in) operating activities	(992,530)	(1,321,323)
	================================	================================
Cash flows from investing activities
Dividends, interest and rents from investments	838,188	821,958
Purchase of tangible assets	-	-
Proceeds from sale of tangible assets	45,645	-
Purchases of other investments	(116,320)	(185,158)
Proceeds from sale of other investments	-	-
	--------------------------------	--------------------------------
Net cash from investing activities	767,513	636,800
	================================	================================
Cash flows from financing activities
Proceeds from borrowings	(883)	(810)
	-------------------------------	--------------------------------
Net cash used in financing activities	(883)	(810)
	=========================	=======================
Net increase/(decrease) in cash and cash equivalents	(225,900)	(685,333)
Cash and cash equivalents at beginning of year	3,340,596	4,025,929
	----------------------------------------	----------------------------------------
Cash and cash equivalents at end of year	3,114,696	3,340,596
	=========================================	=========================================

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

43

The Hospital of God at Greatham

Notes to the Financial Statements

Year ended 31 October 2020

__________

1. General information

The charity is a private company limited by guarantee, registered in England and Wales and a registered charity in England and Wales.

The charity constitutes a public benefit entity as defined by FRS 102.

As corporate trustee the company administers the endowment fund of the Hospital of God at Greatham which is an unincorporated charity. The endowment funds thus do not form part of the corporate assets of the company but are instead held on trust by the charitable company. In accordance with Charity Commission recommendations the endowment fund held on trust is included in the financial statements of the charitable company but is distinguished from the charitable company's other funds. In accordance with the Charity Commission Scheme of 27 June 2002 income generated from investments within the charity's endowment fund becomes available for use by the charitable company in furtherance of its objectives as does capital growth on the financial investments covered by the order for total return dated 15 November 2010 referred to in Note 17 of this report.

Under an Order of the Charity Commission dated 28 July 2017 the charitable company was appointed sole trustee of the Charity of Emma Simpson for Almshouses (charity reg. 222517, now 1123540-2), an unincorporated charity. The charitable company, as corporate trustee, thereby administers the endowment and other funds of the Charity of Emma Simpson for Almshouses, which do not form part of the corporate assets of the company but are instead held on trust by the charitable company in a restricted fund. In accordance with the Order, the Charity of Emma Simpson for Almshouses is treated as forming part of The Hospital of God at Greatham for the purpose of Part 8 (accounting) of the Charities Act 2011.

2. Statement of compliance

These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland', the 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) (Charities SORP (FRS 102)) and the Charities Act 2011.

3. Accounting policies

Basis of preparation

The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure.

The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

There are no material uncertainties about the charity's ability to continue.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

44

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

3. Accounting policies (continued)

Fund accounting

Unrestricted funds are available for use at the discretion of the trustees to further any of the charity's purposes.

Designated funds are unrestricted funds earmarked by the trustee for particular future projects or commitments.

Restricted funds are subjected to restrictions on their expenditure declared by the donor or through the terms of an appeal and fall into one of two sub-classes: restricted income funds or endowment funds. The charity's restricted funds comprise its permanent endowment, the Stockton Relief in Need endowment fund and restricted funds relating to The Charity of Emma Simpson for Almshouses as referred to in Note 1.

Income recognition

Income is included in the statement of financial activities when entitlement has passed to the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following points are applied to particular categories of income:

• Income from donations or grants is recognised when there is evidence of entitlement to the gift, receipt is probable, and its amount can be measured reliably.

• Donated facilities and services are recognised in the accounts when received if the value can be reliably measured. No amounts are included for the contribution of general volunteers.

• Income from contracts for the supply of services is recognised upon the delivery of the contracted service. This is classified as unrestricted funds unless there is a contractual requirement for it to be spent on a particular purpose and returned if unspent, in which case it may be regarded as restricted.

Expenditure recognition

Expenditure is recognised on an accruals basis as a liability is incurred. Expenditure includes any value added tax which cannot be fully recovered, and is classified under headings of the statement of financial activities to which it relates:

• Expenditure on raising funds includes the costs of all fundraising activities, events, non-charitable trading activities, and the sale of donated goods.

• Expenditure on charitable activities includes all costs incurred by the charity in undertaking activities that further its charitable aims for the benefit of its beneficiaries, including those support costs and costs relating to the governance of the charity apportioned to charitable activities.

• Other expenditure includes all expenditure that is neither related to raising funds for the charity nor part of its expenditure on charitable activities.

All costs are allocated to expenditure categories reflecting the use of the resource. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs are apportioned between the activities they contribute to on a reasonable, justifiable and consistent basis.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

45

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

3. Accounting policies (continued)

Tangible assets

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

Increases and decreases in the carrying amount of assets as a result of revaluation are recognised in the Statement of Financial Activities.

Depreciation

Depreciation is calculated in order to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

Freehold property - 2.5% reducing balance Equipment - 20% reducing balance

Investments

Listed investments are measured at fair value with changes in fair value being recognised in income or expenditure.

Investment property

Investment property is revalued to its fair value at each reporting date and any changes in fair value are recognised in income or expenditure.

Financial instruments

A financial asset or a financial liability is recognised only when the charity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the amount receivable or payable including any related transaction costs.

Current assets and current liabilities are subsequently measured at the cash or other consideration expected to be paid or received and not discounted.

Where investments in shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in income and expenditure.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

46

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

3. Accounting policies (continued)

Defined contribution pension schemes

Contributions to defined contribution pension schemes are recognised as an expense in the period in which the service is provided.

4. Limited by guarantee

The charity is a company limited by guarantee and has no share capital. 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.

5. Donations and legacies

	Unrestricted	Total Funds	Unrestricted	Total Funds
	Funds	2020	Funds	2019
	£	£	£	£
Donations
Donations and legacies	100,055	100,055	16,705	16,705
Sponsorship and other
Sponsorship and other income	15,216	15,216	14,315	14,315
	----------------------------	----------------------------	----------------------------	----------------------------
	115,271	115,271	31,020	31,020
	= = ==========================	= ===========================	============================	============================

6. Income from charitable activities

	Unrestricted	Restricted	Total Funds
	Funds	Funds	2020
	£	£	£
Residential care	2,663,237	-	2,663,237
Community services	845,808	-	845,808
Supported almshouses	517,023	35,635	552,658
Other charitable activities	7,169	-	7,169
	-----------------------------------------	-----------------------------------------	-----------------------------------------
	4,033,237	35,635	4,068,872
	=========================================	=========================================	=========================================
	Unrestricted	Restricted	Total Funds
	Funds	Funds	2019
	£	£	£
Residential care	2,485,359	-	2,485,359
Community services	1,010,099	-	1,010,099
Supported almshouses	533,522	32,118	565,640
Other charitable activities	9,329	-	9,329
	-----------------------------------------	-----------------------------------------	-----------------------------------------
	4,038,309	32,118	4,070,427
	=========================================	=========================================	=========================================

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

47

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

7. Investment income

	Unrestricted	Endowment	Total Funds
	Funds	Funds	2020
	£	£	£
Income from investment properties	574,245	–	574,245
Interest and dividends	26,415	237,528	263,943
	--------------------------------	--------------------------------	--------------------------------
	600,660	237,528	838,188
	================================	================================	================================
	Unrestricted	Endowment	Total funds
	Funds	Funds	2019
	£	£	£
Income from investment properties	566,278	–	566,278
Interest and dividends	33,068	222,612	255,680
	--------------------------------	--------------------------------	--------------------------------
	599,346	222,612	821,958
	================================	================================	================================

8. Investment management costs

	Unrestricted	Endowment	Total Funds
	Funds	Funds	2020
	£	£	£
Portfolio management	–	141,241	141,241
Property repairs and maintenance charges	232,771	–	232,771
Support costs	72,158	–	72,158
	--------------------------------	----------------------------	--------------------------------
	304,929	141,241	446,170
	================================	============================	================================
	Unrestricted	Endowment	Total Funds
	Funds	Funds	2019
	£	£	£
Portfolio management	–	133,154	133,154
Property repairs and maintenance charges	301,318	–	301,318
Support costs	69,834	–	69,834
	--------------------------------	----------------------------	--------------------------------
	371,152	133,154	504,306
	================================	============================	================================

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

48

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

_________

9. Expenditure on charitable activities by fund type

	Unrestricted	Restricted	Endowment	Total Funds
	Funds	Funds	Funds	2020
		£	£	£
Residential care	2,547,650	–	–	2,547,650
Community services	955,033	–	–	955,033
Supported almshouses	354,743	34,839	–	389,582
Grants	50,000	–	3,000	53,000
Fundraising fund costs	12,008	–	–	12,008
Support costs	958,099	11,895	–	969,994
Other charitable activities	2,069	–	–	2,069
	----------------------------------------	----------------------------------------	--------------	----------------------------------------
	4,879,602	46,734	3,000	4,929,336
	================================	=========================================	==============	=========================================
	Unrestricted	Restricted	Endowment	Total Funds
	Funds	Funds	Funds	2019
	£	£	£	£
Residential care	2,430,020	–	–	2,430,020
Community services	993,049	–	–	993,049
Supported almshouses	603,180	40,479	–	643,659
Grants	94,200	–	5,000	99,200
Fundraising fund costs	27,209	–	–	27,209
Support costs	957,274	10,741	–	968,015
Other charitable activities	4,451	–	–	4,451
	----------------------------------------	----------------------------------------	--------------	----------------------------------------
	5,109,383	51,220	5,000	5,165,603
	=========================================	=================================	=======================	=========================================

10. Expenditure on charitable activities by activity type

	Activities
	undertaken	Support	Total funds	Total fund
	directly	costs	2020	2019
	£	£	£	£
Residential care	2,547,650	447,434	2,995,084	2,877,886
Community services	955,033	321,010	1,276,043	1,309,173
Supported almshouses	389,582	180,692	570,274	826,157
Grants	53,000	20,858	73,858	120,727
Fundraising fund costs	12,008	–	12,008	27,209
Other charitable costs	2,069	–	2,069	4,451
	-----------------------------------------	--------------------------------	-----------------------------------------	-----------------------------------------
	3,959,342	969,994	4,929,336	4,689,380
	=========================================	================================	=========================================	=========================================

All grants made were awarded to organisations and no grants were made to individuals. The highest grant awarded to any organisation during the year was £2,000 and no single organisation received more than £2,000 in grants during the year. All grants awarded are unconditional.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

49

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

_________

11. Net unrealised gains on investments

	Unrestricted	Restricted	Endowment	Total Funds
	Funds	Funds	Funds	2020
	£	£	£	£
Unrealised gains/(losses) on listed
investments	(26,526)	(7,016)	1,091,140	1,057,598
	================================	============================	================================	================================
	Unrestricted	Restricted	Endowment	Total Funds
	Funds	Funds	Funds	2019
		£	£	£
Unrealised gains on listed investments	79,095	4,121	1,203,390	1,286,606
	================================	===============================	================================	================================

12. Net income

Net income is stated after charging:
	2020	2019
	£	£
Auditor’s remuneration	8,100	7,800
Depreciation of tangible fixed assets	239,067	244,506
	================================	================================

13. Staff costs

The total staff costs and employee benefits for the reporting period are analysed as follows:

	2020	2019
	£	£
Wages and salaries	2,841,260	2,685,357
Social security costs	182,660	172,460
Employer contributions to defined contribution pension schemes	51,239	45,734
Employer contributions to defined benefit pension schemes	78,738	81,048
Operating costs of defined benefit pension scheme	43,315	41,360
	-----------------------------------------	-----------------------------------------
	3,197,212	3,025,959
	=========================================	=========================================

Included in employer contributions to defined benefit schemes is a payment of £48,000 to the Greatham Hospital Pension Scheme under the agreed deficit recovery plan. Further details are given in Note 22 to these accounts.

The average head count of employees during the year was 182 (2019: 177), analysed as follows:

	2020	2019
	No.	No.
Management and administration	11	11
Care services	168	163
Estate	3	3
	--------------	--------------
	182	177
	==============	==============

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

50

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

The number of employees, whose remuneration for the year fell within the following bands, was:

		2020	2019
		No.	No.
£70,000	to £79,999	1	1
		--------------	--------------

Key Management Personnel

Key management personnel include all persons that have authority and responsibility for planning, directing and controlling the activities of the charity. The total compensation paid to key management personnel for services provided to the charity was £213,331 (2019: £209,146).

14. Trustee remuneration and expenses

No remuneration was paid to the trustees.

15. Tangible fixed assets

	Freehold
	property	Equipment	Total
	£	£	£
Cost
At 1 November 2019	13,089,483	210,109	13,299,592
Additions at cost	-	-	-
Transfer from other charity	-	-	-
Revaluation of almshouse properties	-	-	-
		-
Disposals	(56,908)	-	(56,908)
	----------------------------------------------	--------------------------------	----------------------------------------------
At 31 October 2020	13,032,575	210,109	13,242,684
	==============================================	================================	==============================================
Depreciation
At 1 November 2019	3,962,568	168,154	4,130,722
Charge for the year	227,383	11,684	239,067
Disposals	(25,305)	-	(25,305)
	----------------------------------------------	--------------------------------	----------------------------------------------
At 31 October 2020	4,164,646	179,838	4,344,484
	==============================================	================================	==============================================
Carrying amount
At 31 October 2020	8,867,929	30,271	8,898,200
	==============================================	================================	==============================================
At 31 October 2019	9,126,915	41,955	9,168,870
	==============================================	================================	==============================================

During the year one leasehold property was disposed of. The net proceeds from the sale amounted to £45,645 and this sum was added to the Building Fund during the year.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

51

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

16. Investments

	Listed	Investment
	investments	properties	Total
	£	£	£
Cost or valuation
At 1 November 2019	20,222,195	11,418,250	31,640,445
Additions	116,320	–	116,320
Disposals	–	–	–
Fair value movements	1,057,598	–	1,057,598
	----------------------------------------------	----------------------------------------------	----------------------------------------------
At 31 October 2020	21,396,113	11,418,250	32,814,363
	=======================================	========================================	==========================================
Impairment
At 1 November 2019 and 31 October 2020	–	–	–
	==================================	=================================	=========================================
Carrying amount
At 31 October 2020	21,396,113	11,418,250	32,814,363
	==========================================	==========================================	===========================================
At 31 October 2019	20,222,195	11,418,250	31,640,445
	==========================================	==========================================	===========================================

All investments shown above are held at valuation.

Listed investments

The charity's listed investments are largely held within a portfolio of investments managed by the charity's professional fund managers with some additional direct holdings in common investment funds. The managed portfolio holds investments in the form of equities, fixed income securities, hedge funds and commodities all of which are part of publicly traded markets where trading is based upon quoted prices. The fair value of all holdings is based upon the quoted market prices of the various holdings. The managed portfolio also includes foreign currency contracts which act as a hedge against the effect of currency fluctuations within the portfolio. The fair value of foreign currency forward contracts within the managed portfolio is based on the difference between the exchange rate agreed at the inception of the forward contract and the exchange rate prevailing at the reporting date.

An analysis of listed investments by fund is as follows:	2020	2019
	£	£
Permanent endowment fund	20,322,857	19,088,073
Non-permanent endowment funds	120,256	147,596
	----------------------------------------------	----------------------------------------------
Total endowment funds	20,443,113	19,235,669
Restricted funds	53,858	60,854
Unrestricted funds	899,142	925,672
	----------------------------------------------	----------------------------------------------
	21,396,113	20,222,195
	================================	================================

Investment properties

All fixed asset investments are held within the United Kingdom. The investment properties are stated at open market valuation. A full professional valuation was carried out at 31 October 2013 by Thomas Stevenson, Chartered Surveyors. The trustees are of the opinion that this valuation continues to represent the open market value of the portfolio at the balance sheet date. The investment properties are assets of the charity’s permanent endowment fund.

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

52

Year ended 31 October 2020

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

__________

17. Total return approach to investment of permanent endowment

The charity’s listed investments include the charity's managed endowment fund investment portfolio. This portfolio is accounted for on a total return basis in accordance with an order for total return received on 15 November 2010 from the Charity Commission.

During the year the charity made a transfer from unapplied total return to the trust for endowment in order to maintain the real value of the trust for investment. The amount transferred each year is based on an average of the RPI and CPI indices prevailing during the period since the trust value for endowment was established in 2010.

The movements in the trust for investment and the unapplied total return during the year are as follows:

Endowment investments subject to total return	Trust for investment £	Unapplied total return £	Total £
At 31 October 2019
Gift component of the permanent endowment	17,860,522	-	17,860,522
Unapplied total return	-	1,227,549	1,227,549
	___	___	___
Total at 31 October 2020	17,860,522	1,227,549	19,088,071
	======================================	======================================	======================================
Movements in the reporting period
Investment returns - dividends and interest	-	232,372	232,372
Investment returns – realised and unrealised gains and (losses)	-	1,100,354	1,100,354
Additions to trust for investment	-	-	-
Income repaid to unapplied total return in year	-	25,179	25,179
Less: Investment management costs	-	(141,241)	(141,241)
	_	__	__
Total movements in the reporting period before transfers	-	1,216,664	1,216,664
Transfer from unapplied total return to maintain real value of trust for investment	174,708	(174,708)	-
	__	__	__
Net movements in the reporting period	174,708	1,041,956	1,380,191
	======================================	======================================	=======================================
At 31 October 2020
Gift component of the permanent endowment	18,035,230	-	18,035,230
Unapplied total return	-	2,269,505	2,269,505
	___	___	___
Total at 31 October 2020	18,035,230	2,269,505	20,304,735
	======================================	======================================	======================================

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

53

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

18. Debtors

		2020	2019
		£	£
	Trade debtors	326,626	402,109
	Prepayments and accrued income	80,932	86,174
		--------------------------------	--------------------------------
		407,558	488,283
		================================	================================
19.	Creditors: amounts falling due within one year
		2020	2019
		£	£
	Mortgage loan	982	882
	Trade creditors	236,051	323,318
	Accruals and deferred income	113,321	152,816
	Social security and other taxes	44,538	38,735
		--------------------------------	--------------------------------
		394,892	515,751
		================================	================================
20.	Creditors: amounts falling due after more than one year
		2020	2019
		£	£
	Mortgage loan	93,102	94,085
		============================	============================

The mortgage loan was transferred to the charity from the Stockton Almshouses Charity during the year ended 31 October 2010. The mortgage loan is secured by a legal charge over the property at Trinity Gardens, Stockton on Tees.

21. Provisions for liabilities

	Pensions and
	similar
	obligations
	Note 22
	£
At 1 November 2019	94,000
Increase in provision during the year	110,000
	--------------------------------
At 31 October 2020	204,000
	================================

The Hospital of God at Greatham

Report of the trustees (incorporating the directors’ report) for the year ended 31 October 2020

54

Year ended 31 October 2020

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

__________

22. Pensions and other post-employment benefits

Defined contribution plans

The amount recognised in expenditure as an expense in relation to defined contribution plans was £51,239 (2019: £45,734).

Defined benefit plans

The charity operates and is the sole sponsoring employer of the Greatham Hospital Pension Scheme (“the scheme"), a defined benefit pension scheme which provides benefits based on final salary and length of service on retirement, leaving service or death. The pension scheme was closed to new members on 14 December 2005.

The scheme is managed by a board of trustees appointed in part by the charity and in part from elections by scheme members. The trustees have responsibility for obtaining valuations of the fund, administering benefit payments and investing the scheme’s assets. The trustees delegate some of these functions to their professional advisers where appropriate.

The scheme is subject to the statutory funding objective under the Pensions Act 2004. A valuation of the scheme is carried out at least once every three years to determine whether the statutory funding objective is met. As part of the process the employer must agree with the trustees of the scheme the contributions to be paid to meet the statutory funding objective.

The most recent comprehensive actuarial valuation of the scheme was carried out as at 31 October 2019. This valuation calculated an actuarial deficit of £230,000 as at that date. To eliminate this funding shortfall the trustees and the scheme have jointly agreed a recovery plan whereby the charity makes an additional contribution of £48,000 to the scheme each year, with the first payment in November 2020 and the final payment in November 2024. These contributions are expected to eliminate the shortfall by November 2024.

The next valuation of the scheme is due as at 31 October 2022. In the event that this valuation reveals a larger deficit than expected the charity may be required to increase contributions above those set out in the existing schedule of contributions. Conversely if the position is better than expected, it is possible that contributions may be reduced.

As the scheme remains open to future accrual, the employer pays contributions to the scheme for future service benefits. During the year ended 31 October 2020 the employer paid contributions at the rate of 29.6% of gross pensionable salary for active members in accordance with the schedule of contributions. Employees who are active members are not required to make any contribution.

The charity expects to pay contributions of around £75,000 to the scheme in the year to 31 October 2021, including the agreed deficit recovery payment.

The charity administers the scheme and meets all running costs of the scheme.

The following disclosures have been provided by the scheme actuary to meet the requirements of FRS 102 for the purposes of these accounts.

At 31 October 2020 there was a deficit of £204,000. This compares to a deficit of £94,000 at the previous review date. The increase in the deficit over the period is primarily due to the fall in corporate bond yields over the period which has reduced the discount rate assumption used.

There were no plan amendments, curtailments or settlements during the period.

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

55

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

Explanation of amounts in the financial statements

The amount recognised in the Statement of Financial Position is as follows:

Amounts recognised in the Statement of Financial Position	As at 31 October 2020 £’000	As at 31 October 2019 £’000
Fair value of assets	3,361	3,290
Present value of funded obligations	(3,565)	(3,384)
Deficit recognised in the Statement **of Financial Position **	(204)	(94)

The fair value of the scheme’s investment assets at 31 October 2020 analysed by major asset class is as follows:

Asset class	31 October 2020 £’000
Diversified growth fund	1,903
Corporate bonds	1,434
Cash	24
Total	3,361

The actual return on the scheme’s assets during the year was a gain of £102,000 (2019 gain of £284,000).

The change in the fair value of the scheme’s assets over the year is as follows:

Change in fair value of scheme assets	As at 31 October 2020 £’000	As at 31 October 2019 £’000
Fair value of scheme assets at the beginning of theyear	3,290	3,083
Interest on assets	65	88
Employer contributions paid to scheme in year	79	81
Contributions by scheme participants	0	0
Benefits paid by scheme in year	(110)	(158)
Administration costs	0	0
Change due to settlements	0	0
Return on scheme assets less interest	37	196
Fair value of scheme assets at the end of theyear	3,361	3,290

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

56

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

The change in the present value of the scheme’s funded defined benefit obligations over the year is as follows:

Change in present value of defined benefit obligations	As at 31 October 2020 £’000	As at 31 October 2019 £’000
Defined benefit obligations of the scheme at the beginning of theyear	3,384	3,175
Current service cost	31	28
Contributions by scheme participants	0	0
Past service cost	0	0
Interest cost	67	90
Benefits paid by scheme in year	(110)	(158)
Change due to settlements	0	0
Experience (gain)/loss on defined benefit obligation	0	(45)
Changes to assumptions	193	294
Defined benefit obligations of the scheme at the end of the year	3,565	3,384

The net amount recognised in the Statement of Financial Activities is as follows:

Net amount recognised in the Statement of Financial Activities	Year ended 31 October 2020 £’000	Year ended 31 October 2019 £’000
Total income/(costs) recognised in the year, asdetailedbelow	(33)	(30)
Total re-measurement gains/(losses) in the year, asdetailedbelow	(156)	(53)
Employer contributions	79	81
Net amount recognised in the Statement of Financial Activities	(110)	(2)

The Hospital of God at Greatham Trustees Annual Report and Accounts for the year ended 31 October 2020

57

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

__________

The income and costs recognised in the year are as follows:

Costs/(income) recognised in the year	Year ended 31 October 2020 £’000	Year ended 31 October 2019 £’000
Current service cost	31	28
Administration costs	-	-
Interest on liabilities	67	90
Interest on assets	(65)	(88)
Past service cost	-	-
Settlement cost	-	-
Total costs/(income) recognised in the **year **	33	30

The re-measurement gains and losses recognised in the year are as follows:

Re-measurement losses/(gains) recognised in the year	Year ended 31 October 2020 £’000	Year ended 31 October 2019 £’000
Loss/(gain) on scheme assets in excess of interest	(37)	(196)
Experience losses/(gains) on liabilities	(0)	(45)
Losses/(gains) from changes to assumptions	193	294
Total re-measurement losses/(gains) **recognised inthe year **	156	53

The Hospital of God at Greatham Trustees Annual Report and Accounts for the year ended 31 October 2020

58

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

_________

Principal assumptions

The principal assumptions used to calculate scheme liabilities in accordance with FRS102 are as follows:

	31 October 2020	31 October 2019
Discountrate	1.70% pa	2.00% pa
Inflation(RPI)	3.00% pa	3.00% pa
Inflation(CPI)	2.10% pa	2.10% pa
Salaryincreases	3.00% pa	3.00% pa
Pension increases- discretionary	1.05% pa	1.05% pa
Pension increases-CPI max5%	2.10% pa	2.10% pa
Pension increases- RPI max 2.5%	2.10% pa	2.10% pa
Post retirement mortality	S3NA tables with CMI 2018 projections using a long term improvement rate of 1.50% pa	S3NA tables with CMI 2018 projections using a long term improvement rate of 1.50% pa
Commutation	Members are assumed to as cash at	take 20% of their pension retirement
Life expectancy at age 65 of male aged 45	24.0	23.9
Life expectancy at age 65 of male aged 65	22.3	22.3
Life expectancy at age 65 of female aged 45	26.4	26.3
Life expectancy at age 65 of female aged 65	24.7	24.6

The Hospital of God at Greatham Trustees Annual Report and Accounts for the year ended 31 October 2020

59

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

_________

23. Analysis of charitable funds

Unrestricted funds

	At				Gains and		At
	1 Nov 2019	Income	Expenditure	Transfers	losses	31 Oct 2020
	£	£	£		£		£
General fund	838,376	4,726,782	(4,814,280)	(350,563)	(136,526)		263,789
Fundraising fund	42,918	15,216	(12,008)	-	-		46,126
Building Fund	426,611	-	-	45,645			472,256
Development fund	676,580	-	(63,456)	-	-		613,124
Extraordinary
repair fund	1,566,747	7,170	(294,787)	404,772	-		1,683,902
	-----------------------------------------	-----------------------------------------	-----------------------------------------	--------------------------------	--------------------------------		-----------------------------------------
	3,551,232	4,749,168	(5,184,531)	99,854	(136,526)		3,079,197
	=========================================	=========================================	=========================================	======++++================	================================		=========================================
Restricted funds
	At				Gains and		At
	1 Nov 2019	Income	Expenditure	Transfers	losses	31 Oct 2020
	£	£	£		£		£
The Charity of
Emma Simpson for
Almshouses	1,076,516	35,635	(46,734)	-	(7,016)		1,058,401
	===============================	===============================	-===============================	===============================	===============================		===============================
Endowment funds
	At				Gains and		At
	1 Nov 2019	Income	Expenditure	Transfers	losses	31 Oct 2020
	£	£	£		£		£
Permanent
Endowment Fund	39,149,456	232,961	(141,241)	(99,854)	1,113,502		40,254,824
Stockton Relief in
Need Fund	157,154	4,567	(3,000)	-	(8,320)		150,401
	----------------------------------------------	--------------------------------	----------------------------	----------------------------	--------------------------------		----------------------------------------------
	39,306,610	237,528	(144,241)	(99,854)	1,105,182		40,405,225
	==============================================	================================	============================	========================	================================		==============================================

Restricted funds

Endowment funds

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

60

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

_______

24. Analysis of net assets between funds

				2020
	Unrestricted	Restricted	Endowment
	funds	funds	funds	Total funds
	£		£	£
Fixed assets
Tangible fixed assets	30,277	875,883	7,992,040	8,898,200
Investments – investment properties	-	-	11,418,250	11,418,250
Investments – listed investments	899,144	53,837	20,443,132	21,396,113
	-----------------------------------------	-----------------------------------------	-----------------------------------------	-----------------------------------------
	929,421	929,720	39,853,422	41,712,563
	=========================================	=======================================	================================	=========================================
Net current assets
Debtors	407,558	–	–	407,558
Cash at bank and in hand	3,114,696	–	–	3,114,696
Creditors due within one year	(394,892)	–	–	(394,892)
Inter-fund balances	(680,484)	128,681	551,803	–
	-----------------------------------------	-----------------------------------------	--------------------------------	-----------------------------------------
	2,446,878	128,681	551,803	3,127,362
	=========================================	=======================================	================================	=========================================
Total assets less current
liabilities	3,376,299	1,058,401	40,405,225	44,839,925
Creditors: amounts falling due after
more than one year	(93,102)	–	–	(93,102)
Provisions for liabilities	(204,000)	–	–	(204,000)
	---------------------------------------------	---------------------------------------------	---------------------------------------------	---------------------------------------------
Net assets (total funds)	3,079,197	1,058,401	40,405,225	44,542,823
	==============================================	==============================================	==============================================	==============================================
				2019
	Unrestricted	Restricted	Endowment
	funds	funds	funds	Total funds
	£		£	£
Fixed assets
Tangible fixed assets	41,961	898,341	8,228,568	9,168,870
Investments – investment properties	-	-	11,418,250	11,418,250
Investments – listed investments	925,672	60,854	19,235,669	20,222,195
	-----------------------------------------	-----------------------------------------	-----------------------------------------	-----------------------------------------
	967,633	959,195	38,882,487	40,809,315
	=========================================	=======================================	================================	=========================================
Net current assets
Debtors	488,283	–	–	488,283
Cash at bank and in hand	3,340,596	–	–	3,340,596
Creditors due within one year	(515,751)	–	–	(515,751)
Inter-fund balances	(541,444)	117,321	424,123	–
	-----------------------------------------	-----------------------------------------	--------------------------------	-----------------------------------------
	2,771,684	117,321	424,123	3,313,128
	=========================================	=======================================	================================	=========================================
Total assets less current
liabilities	3,739,317	1,076,516	39,306,610	44,122,443
Creditors: amounts falling due after
more than one year	(94,085)	–	–	(94,085)
Provisions for liabilities	(94,000)	–	–	(94,000)
	---------------------------------------------	---------------------------------------------	---------------------------------------------	---------------------------------------------
Net assets (total funds)	3,551,232	1,076,516	39,306,610	43,934,358
	==============================================	==============================================	==============================================	==============================================

The Hospital of God at Greatham

Trustees Annual Report and Accounts for the year ended 31 October 2020

61

The Hospital of God at Greatham

Notes to the Financial Statements (continued)

Year ended 31 October 2020

_______

25. Trustee related party transactions and interests

Robert Eden, who served as trustee during the year, was during the year an employer-nominated trustee of the Greatham Hospital Pension Scheme, of which the charity is the sponsoring employer.

Trustees are reimbursed for their travel on a mileage basis. During the year two trustees were reimbursed mileage costs totaling £255.

26. Going concern

The trustees consider that the charity is a going concern and that there are no material uncertainties or events which cast doubt upon its ability to continue as a going concern. In assessing the going concern position of the charity for the year ended 31[st] October 2020 the trustees have considered the future outlook and in doing so looked at the future operating results, cash flows and facilities available. Based on these facts the going concern basis has been adopted in the preparation of the financial statements. The trustees have considered the impact of the Covid-19 pandemic on the charity and at the present time there are adequate resources to continue in operational existence for the next twelve months.

END

The Hospital of God at Greatham Trustees Annual Report and Accounts for the year ended 31 October 2020