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2024-03-31-accounts

THE BLACK STORK CHARITY (The DNRC Charity)

Annual Report and Financial Statements for the ended 31 March 2024 year

Registered Charity in England and Wales no. 1141934 Registered Company in England and Wales no. 07619703

THE BLACK STORK CHARITY

Report and Financial Statements 31 March 2024

Contents

1
2
Officers and professional advisers 3
Review of achievements and plans for the future
4
Financial review 5
Structure, governance and management 7
Financial statements 11
Independent 12
Consolidated statement of financial activities
16
Balance sheets 17
Consolidated cashflow statement 18
Notes to the financial statements 19

THE BLACK STORK CHARITY

In my last report I indicated that the ensure that the significant second component of the overall D N RC Programme occurred on time i.e. the National Rehabilitation Centre (NRC construction funded by government and planned to start in early 2023 in order to take the first patients at the end of 2024). I also remarked that much of its activity had been affected by NHS processes and that remains the case with processes having by now occupied 5½ now at an end and construction is well underway but, perhaps inevitably, is behind schedule. That, of course, has delayed the moment when the first patients will be admitted, but the Charity is also now positive about that happening in mid-2025 probably in August. The NRC itself has significant clinical matters to attend to given the novelty of what is about to be undertaken i.e. this is the first clinical rehabilitation establishment in the NHS. Consequently, developing a workforce from scratch is no mean task and is being made possible, in part, by diverting £1.5M firmly on the agenda in this period. It has not been a straightforward task but should be in place when patients arrive. in the period March 2023 to March 2024 a total of 8,443 patients benefitted from DMRC care of whom 8,207 were outpatients and 236 were in-patients. In addition, the DMRC staff provided considerable support to Ukraine through training Ukrainian personnel, fitting prosthetics and supporting the building of rehabilitation hospitals in Ukraine.

Whilst the second element of the overall DNRC Programme is likely to draw to a close next year, it is not the end of the journey. The vital third phase will be the realisation of the conceptual basis (conceived at country in the following decades. a legacy which promises to transform totally the way in which specialist rehab is done in this country with huge benefits for individuals and the national workforce not least, as it turns out, in the changed circumstances following BREXIT and COVID. The ambitious target is set for the first spoke(s) to have been identified is 2030. The period 2026/7 will be when the newly established NRC sets out to prove its eed of development (and where a new NRC Research Director has recently been appointed). Thus qualified,

Mark Preston 17 October 2024

1

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

The Trustees are pleased to present their annual report and the audited consolidated financial statements 4.

The Defence rehab establishment on the eastern side of the estate The NHS rehab facility on the western side of the estate under operational since 2018 construction and expected to be operational in mid-2025

2

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Officers and professional advisers

Trustees and directors

Mark Preston (Chairman) Annabel Farbon

Registered office

70 Grosvenor Street London W1K 3JP

Registered company number

07619703

Registered charity number

1141934

Senior management

Director of the DNRC Programme Construction Executive Finance and Administrative Director

General Sir Timothy Granville-Chapman Stephen Brewer Catherine Fradley

Auditor

UHY Hacker Young Thames House Roman Square Sittingbourne ME10 4BJ

Legal advisor

Boodle Hatfield 240 Blackfriars Road London SE1 8NW

Bankers

National Westminster Bank Public Sector and Charities team Parklands 3 De Havilland Way Horwich Bolton BL6 4YU

3

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Review of achievements and plans for the future

The Defence Facility fully established

There is little new to report on the activities of the DMRC as the establishment continues to function in its fully developed state, having taken its first patients in 2018. It also continues to be active in the research field manifest, not least, in the activity of its Academic Department of Military Rehabilitation (ADMR).

satisfaction of the MoD. As also reported, there remains the possibility of fire regulatory compliance issues having to be attended to in the light of the Grenfell Tower Inquiry.

The National opportunity - ongoing

As the Chairman has outlined in his introduction, the NHS process to ensure construction of the NRC has taken 5½ years rather than the estimated 2 years but it is now very likely that the first patients will be treated in the new NRC in mid-2025. the NRC Board developing the full concept for the NRC which is the establishment over the next decades of now being constructed on the Stanford Hall Estate (SHRE).

The aerial architectural impression of the NRC viewed from the south is shown below:

and from the north:

4

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Review of achievements and plans for the future (continued)

The basis on which the estate is managed

To fulfil the DNRC concept of 2 rehab establishments operating close by on the same site, the Defence facility (opened in 2018) has been granted a 50 year lease on a peppercorn rent to operate the facility within a defined curtilage. A similar arrangement will be made with the NUH in relation to the space it will occupy 400 metres away, but on this occasion the lease will be for 65 years with an opportunity at the 60 year point for a new lease for a further 34 years to be considered. The 65 year lease will be granted to NUH in the first instance as an Agreement for Lease (AfL) following the exchange of contracts between NUH and its construction partner when the Charity will assign planning rights to allow NHS construction to proceed. The actual lease will not be granted until construction is complete and the NHS is about to accept its first patients (anticipated as occurring in mid-2025).

The running of the rehabilitation estate, including the maintenance of the specific rehabilitation facilities (such as trim trails, cycle tracks etc), falls to the Charity. A service charge is levied against the MoD (and in future the NUH as well) to help defray the cost of such maintenance. The relationship with the existing tenant (the MoD) is currently managed by BS Stanford Limited (BSS) through regular meetings on site and is outlined in the lease (the BSS task will be assimilated in the Charity from mid-2025 onwards). A similar arrangement will be instituted with NUH when it also becomes a tenant but some change to the governance arrangements may occur.

Financial review

Total income for the year decreased by £2.4m to £1.6m (2023: £4m).

Donations of £1m (2023: £1.6m) decreased by £0.6m due to delays in receipt of outstanding pledges in respect of the DNRC Programme. A donation of £150k received (2023: £150k) will be applied towards educational provision in connection with the NRC and has been accounted for as a restricted donation as in prior accounting periods.

Income from charitable activities was £0.5m (2023: £1.1m). This income is received from the MOD, as tenant, towards maintenance of the Defence facility and Stanford Hall Rehabilitation Estate (SHRE) grounds to ensure they remain in excellent condition for the rehabilitation of patients of the facility. It is treated as restricted income and recognised to the extent relevant expenditure is incurred. Amounts received from the MoD which are not spent during the year are held as a creditor until used to fund future expenditure. The decrease from 2023 reflects lower expenditure on maintenance during the year pending agreement of a revised maintenance programme which was agreed shortly after the year end.

Income from trading activities decreased by £1.2m to £0.1m (2023: £1.3m). £1.2m of NRC enablement costs were invoiced to NUH in the prior year being NRC entrance works undertaken by BS Stanford Limited as contractor but reimbursable in full by NUH. The work had largely been completed by the end of the prior year.

Expenditure on raising funds increased slightly to £3k (2023: £2k), being ongoing costs relating to stewardship of major donors and collection of pledge instalments following the closure of the DNRC fundraising campaign in 2019.

£1.1m expenditure on charitable activities was £2.1m lower (2023: £3.2m). The decrease is mainly due to £1.2m lower NRC entrance works construction costs as noted above, £0.6m lower life cycle maintenance also noted above, £0.5m lower NRC enabling expenditure (£0.4m staff training and educational provision in advance of the facility opening was paid in 2023), offset by £0.1m increased estate running costs and a contribution of £0.1m paid towards neuro ward remedial works in the DMRC.

5

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Financial review (continued)

Consolidated net assets of £269.2m (31 March 2023: £268.8m) represent the investment in fixed assets and the reserves necessary to continue the delivery of the DNRC Programme and therefore fulfils the responsibilities for maintaining the Stanford Hall Rehabilitation Estate for use by the Defence, and in due course, NHS patients.

Reserves policy

The Trustees review reserves policy annually, taking into account planned activities and forecast expenditure required to deliver these plans. Following the completion of the Defence Facility, the Charit main objectives are collection of outstanding fundraising pledges (which will be used to repay the balance remaining under the loan facility), liaising with the MoD as tenant to ensure the DMRC is able to operate with continued success, and working with the NHS to enable the NRC.

The general reserve held of £3.1m (31 March 2023: £2.2m), together with anticipated donation pledges, will be used to deliver these objectives and associated overhead costs. The Trustees have agreed that a minimum cash reserve of £1m be held, which is deemed sufficient to meet two years running costs excluding expenditure which is funded by income received under the MoD lease. The trustees have assessed the level of future Charity expenditure required to enable the NRC and for ongoing management of the Stanford Hall Rehabilitation Estate and consider that the year end general reserve balance is more than sufficient.

Going concern

The trustees have recently considered forecast cashflows to March 2029. The Charity receives sufficient income from the MoD as tenant to meet expenditure on the Defence Facility and wider Stanford Hall Rehabilitation Estate. As the construction costs of the NRC are being funded by the NHS, the Charity has no significant financial commitments or operating costs.

The trustees have considered the level of unrestricted funds and facilities available and have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future, being at least 12 months from the date of signing these accounts. Accordingly, the accounts have been prepared on the basis that the Group is a going concern.

Post balance sheet events

Other than the completion of the sale of Rowan House, which was classified as an asset held for sale in the Balance Sheet at 31 March 2024, there have been no significant events affecting the Charity since 31 March 2024.

6

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Structure, governance and management

Charity governance

The Black Stork Charity is a UK company limited by guarantee (not having share capital) and a registered charity in England and Wales, governed by its Articles of Association dated 3 May 2011. It is registered with Companies House and the Charity Commission and must comply with the Companies Act 2006 and the Charities Act 2011.

The Charity has one wholly owned subsidiary at 31 March 2024, the details of which are given in note 15 of the financial statements.

The Charity is also known as The DNRC Charity .

Charitable objects

The objects of the Charity, as set out in the Articles of Association, are the advancement of health through:

Board of Trustees

The Board of Trustees is responsible for the governance of the Charity and ensuring that its activities comply with UK law and its agreed charitable objects. It sets the strategy for the Charity, the responsibility for the execution of which is delegated to the senior management team of the Charity (detailed on page 3) principally through the Programme Director. The Board convened three times during the financial year and it receives reports from the Senior Management team covering all financial and Programme governance matters.

The Memorandum and Articles of Association provide that the Charity has a minimum of three and a maximum of twelve trustees.

The Charity has a sole member who approves trustee appointments.

The trustees and directors who served during the year and since the year end are noted below.

Mark Preston Chairman Anna Bond Resigned 29 March 2024 Annabel Farbon

All new trustees undertake a comprehensive induction process designed to enable them to contribute effectively as soon as possible. The induction covers all aspects of the role and the organisation and also includes information required to fulfil their legal duties. Training is also available to Trustees if required.

7

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Statement of

The trustees (who are also directors of The Black Stork Charity for the purposes of company law) are responsible for preparing the Trustees' Annual Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".

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 charitable company and the Group and of the incoming resources and application of resources, including the income and expenditure of the charitable group for that period. In preparing these financial statements, the trustees are required to:

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

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable c and dissemination of financial statements may differ from legislation in other jurisdictions.

DNRC Programme governance

The Programme is unusual in involving a charity working directly with Government and is run on OGC (The Office of Government Commerce) lines to make the interaction as straightforward as possible. The interface with Government now principally involves the Ministry of Defence (MoD), Department of Health and Social Care (DHSC), NHS England (NHSE), and the New Hospital Programme (NHP).

There is also engagement with the appropriate local government in the East Midlands Region, notably the Rushcliffe planning authority and Nottinghamshire County Council relating to the development of the SHRE and now the NRC.

The Charity owns the freehold title to the SHRE which was purchased by the 6[th] Duke of Westminster in 2011 and subsequently gifted to the Charity specifically to permit fulfilment of the DNRC Programme. It created its own operating company BS Stanford Ltd (BSS) in the same year to allow it to develop the estate in planning and construction terms. The DNRC Programme Director together with BSS are fully

8

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Structure, governance and management (continued)

Risk management

Significant risks to which the trustees believe the Charity is exposed have been reviewed and systems and procedures established to identify, evaluate and manage those risks. The senior team who lead on the assessment and management of risk have developed an assurance framework for reporting to the Board. Risk registers are updated with a formal review of the main high level risks also undertaken by the Board. The Programme Director's report, considered at each trustee meeting, includes an update on the significant risks actively being managed by the team. The trustees have designed this cascading approach to ensure that risks are managed as effectively as possible.

Principal risks and uncertainties

delayed somewhat by COVID, is now complete. The risk of delay to the NRC construction programme has now materialised and it is known that the first patients will not be treated until mid-2025 as opposed to late 2024.

Senior management remuneration policy

One of the three members of the senior management team was employed by the Charity throughout the year. The other two senior managers were donated free of charge additional disclosure is made in the notes to the financial statements.

The remuneration policy covers all employees and is the responsibility of the Trustees. It takes into account factors such as performance and salaries paid in comparable organisations.

Investment policy

The investment principle is to achieve the secure investment of excess cash resources of a short term nature, diversified to ensure limited concentration of investment. The principle has been achieved during the year.

Assets are safeguarded by investing with approved counterparties. Investments are risk averse and nonspeculative and the Charity places no income reliance on interest earned. The Charity has met its investment return objective which is to ensure that investments earn a market rate of interest consistent with its investment principle.

Public benefit

The trustees confirm that they have paid due regard to the public benefit guidance published by the Charity Commission and have referred to this guidance when reviewing their aims and objectives and in planning future activities.

In preparing this report and the accounts, the trustees have demonstrated their compliance with the requirements set out in the guidance by:

9

THE BLACK STORK CHARITY Report for the year ended 31 March 2024

Structure, governance and management (continued)

Disclosure of information to the auditor

The t

trustee has taken all the steps that he/she ought to have taken as a trustee to make himself/herself aware of any relevant information and to establish that the Charity information is given and should be interpreted in accordance with the provisions of Section 418 of the Companies Act 2006.

Auditor

A resolution for the reappointment of UHY Hacker Young as the Charit auditor will be proposed at a future Trustee meeting.

capacity as company directors) on 17 October 2024 and signed on its behalf by:

Mark Preston - Chairman

10

THE BLACK STORK CHARITY

Financial statements for the year ended 31 March 2024

11

THE BLACK STORK CHARITY

THE BLACK STORK CHARITY

Opinion

We have audited the financial statements of its subsidiary (the G for the year ended 31 March 2024 which comprise the Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, the Charity Group Balance Sheet, Consolidated Statement of Cash Flows and notes to the financial statements, including 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:

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 Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the F 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

of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Group or parent charitable financial statements are authorised for issue.

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

Other information

The other information comprises the information included in the annual report other than the financial contained within the financial statements. 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.

12

THE BLACK STORK CHARITY

TO THE TRUSTEES OF

THE BLACK STORK CHARITY (continued)

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 course of 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 this gives rise to a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified any material misstatements in the strategic report or the trustees

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

Responsibilities of trustees

statement set out on page 10, the trustees 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 G going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

13

THE BLACK STORK CHARITY

TO THE TRUSTEES OF

THE BLACK STORK CHARITY (continued)

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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

How the audit was considered capable of detecting irregularities, including fraud:

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

obtaining an understanding of how fraud might occur, by:

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

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

14

THE BLACK STORK CHARITY

THE BLACK STORK CHARITY (continued)

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of noncompliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the trustees and other management and the inspection of regulatory and legal correspondence, if any.

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

A further description of our responsibilities for the audit of the financial statements is located on the http://www.frc.org.uk/auditorsresponsibilities. This description

Use of our report

of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to r audit work, for this report, or for the opinions we have formed.

Allan Hickie BSc FCA (Senior Statutory Auditor) For and on behalf of UHY Hacker Young

Thames House Roman Square Sittingbourne Kent. ME10 4BJ

Date: 18 October 2024

15

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (including consolidated income and expenditure account) Year ended 31 March 2024

Notes
INCOME FROM:
Donations
3
Charitable activities
4
Investments - bank interest
Trading activities
5
TOTAL INCOME
EXPENDITURE ON:
Raising funds
6
Charitable activities
7
TOTAL EXPENDITURE
NET INCOME
9
OTHER RECOGNISED
GAINS/(LOSSES):
Losses on revaluation of fixed
assets
14
NET MOVEMENT IN FUNDS
Total funds brought forward
Total funds carried forward
23/25		 Unrestricted
funds
£
814,792
-
21,094
116,661
952,547

(2,893)
(650,573)
(653,466)
299,081
(32,830)
266,251
268,604,553
268,870,804		 Restricted
funds
£
150,000
476,059
5,588
-
631,647

-
(481,647)
(481,647)
150,000
-
150,000
173,232
323,232		 Total funds
2024
£
964,792
476,059
26,682
116,661
1,584,194

(2,893)
(1,132,220)
(1,135,113)
449,081
(32,830)
416,251
268,777,785
269,194,036		 Total funds
2023
£
1,570,976
1,074,227
9,677
1,306,285
3,961,165
(2,193)
(3,249,682)
(3,251,875)
709,290
-
709,290
268,068,495
268,777,785

There were no other recognised gains or losses other than those listed above and the net income for the year. All income and expenditure derives from continuing operations.

See note 20 for comparative consolidated statement of financial activities analysed by funds.

16

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

BALANCE SHEETS

At 31 March 2024

At 31 March 2024
Notes
Fixed assets
Tangible assets
12
Investments
social investments
13
Investments
investment
property
14
Investments
subsidiary
undertakings
15
Current assets
Asset held for sale
14
Debtors: amounts falling due
within one year
16
Cash at bank and in hand
17
Creditors: amounts falling due
within one year
18
NET CURRENT ASSETS
Creditors: amounts falling due
after one year
19
NET ASSETS
FUNDS
Unrestricted funds
General funds
Designated funds
Total unrestricted funds
23
Restricted funds
24
TOTAL FUNDS		 2024
Group
Charity
£
£

890,730
891,164
271,306,246
279,000,421
600,000
600,000
-
114,623
272,796,976
280,606,208


497,170
497,170
58,476
32,646
10,264,758
10,147,334
10,820,404
10,677,150
(2,425,861)
(2,397,231)
8,394,543
8,279,919
(11,997,483)
(11,997,483)


269,194,036
276,888,644


3,073,828
2,959,204
265,796,976
273,606,208
268,870,804
276,565,412
323,232
323,232
269,194,036
276,888,644		 2023
Group
Charity
£
£
916,861
917,295
271,306,246
279,000,421
1,130,000
1,130,000
-
120,000
273,353,107
281,167,716

-
-
276,719
45,604
8,095,898
8,044,624
8,372,617
8,090,228
(2,041,917)
(1,876,841)
6,330,700
6,213,387
(10,906,022)
(10,906,022)

268,777,785
276,475,081

2,251,446
2,134,133
266,353,107
274,167,716
268,604,553
276,301,849
173,232
173,232
268,777,785
276,475,081		 2023
Group
Charity
£
£
916,861
917,295
271,306,246
279,000,421
1,130,000
1,130,000
-
120,000
273,353,107
281,167,716

-
-
276,719
45,604
8,095,898
8,044,624
8,372,617
8,090,228
(2,041,917)
(1,876,841)
6,330,700
6,213,387
(10,906,022)
(10,906,022)

268,777,785
276,475,081

2,251,446
2,134,133
266,353,107
274,167,716
268,604,553
276,301,849
173,232
173,232
268,777,785
276,475,081
281,167,716
-
45,604
8,044,624
8,090,228
(1,876,841)
6,213,387
(10,906,022)
276,475,081
2,134,133
274,167,716
276,301,849
173,232
276,475,081

The surplus of the parent charity for the year ended 31 March 2024 for Companies Act purposes is £446,393 (2023: £711,976).

The financial statements of The Black Stork Charity, Charity Number 1141934, Company Number 07619703, were approved by the Board of Trustees and authorised for issue on 17 October 2024.

They were signed on its behalf by:

Mark Preston (Chairman of Trustees)

17

THE BLACK STORK CHARITY

Financial Statements for the year ended 31 March 2024

CONSOLIDATED CASHFLOW STATEMENT Year ended 31 March 2024

Notes

Net cash flow from
operating activities
21
Cash flows from investing
activities
Interest received
Purchase of vehicles, plant
& equipment
Purchase of social
investment related property
Net cash used in investing
activities
Cash flows from financing
activities
Cash outflows from loans
repaid
Net cash used in financing
activities
Net increase in cash and
cash equivalents
Cash and cash equivalents
at beginning of year
Cash and cash equivalents
at end of year
17
Analysis of changes in net debt
Cash at bank and in hand
Debt:
Loans falling due after more
than one year
Total		 Unrestricted
Restricted
Total funds
Total funds
funds
funds
2024
2023
£
£
£
£
1,992,178
150,000
2,142,178
4,667,146
26,682
-
26,682
9,677
-
-
-
(4,850)
-
-
-
(50,000)
26,682
-
26,682
(45,173)
-
-
-
(3,000,000)
-
-
-
(3,000,000)
2,018,860
150,000
2,168,860
1,621,973
7,922,666
173,232
8,095,898
6,473,925
9,941,526
323,232
10,264,758
8,095,898
At
1 April 2023
Cashflows
At
31 March
2024
£
£
£
8,095,898
2,168,860
10,264,758
(7,000,000)
-
(7,000,000)
1,095,898
2,168,860
3,264,758		 Total funds
2023
£
4,667,146
9,677
(4,850)
(50,000)
(45,173)
(3,000,000)
(3,000,000)

18

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

1. ACCOUNTING POLICIES

(a) Company and charitable status

The Black Stork Charity, a public benefit entity, is incorporated in the United Kingdom and registered in England and Wales as a company limited by guarantee not having a share capital. At the end of the year there was a sole member and two Trustees of the Charity. The member has undertaken to contribute to the assets in the event of winding up a sum not exceeding £1. The Charity is a registered charity under the Charities Act 2011. The registered office is given on page 3.

(b) Basis of accounting

The financial statements are prepared under the historical cost convention, modified to include certain items at fair value Reporting by Charities (SORP FRS102 second edition accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102), effective 1 January 2019 and the Companies Act 2006.

The principal accounting policies are set out below.

(c) Preparation of financial statements going concern basis

The G together with the factors likely to affect its future development, performance and position are set out in the Trustees Report which also describes the financial position of the Group including its net assets and reserves policy. Taking these into consideration, and having reviewed future cashflows, the level of unrestricted funds and loan facilities available, the Trustees have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. Therefore, they continue to adopt the going concern basis of accounting in preparing the annual report and financial statements.

(d) Basis of consolidation

The financial statements have been prepared in respect of the Charity and its wholly owned subsidiary undertaking BS Stanford Limited, a company incorporated and registered in England and Wales. These financial statements have been consolidated on a line-by-line basis and the results of the subsidiary undertaking are disclosed in note 15. G has taken advantage of the exemption in section 408 of the Companies Act from disclosing its individual statement of financial activities.

(e)

Statement of cash flows

The Charity has taken advantage of the exemption in FRS 102 from preparing a statement of cash flows, on the basis that it is a qualifying entity and the Group statement of cash flows included in these financial statements includes the cash flows of the Charity.

(f) Fund accounting

The Charity maintains restricted and unrestricted funds.

furtherance of the objectives of the Charity.

Designated funds are unrestricted funds that are set aside at the discretion of the Trustees for specific purposes.

Unrealised investment gains are unrestricted funds resulting from fair value movements on investment properties.

Restricted funds represent grants and donations received which are to be used in accordance with specific restrictions imposed by the donor. Funds received from the use of Social Investment assets also have restrictions applied to them and are therefore accounted for as restricted funds.

19

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS 588 Year ended 31 March 2024

1. ACCOUNTING POLICIES (continued)

(g) Income

Income is recognised when the Group and the Charity has entitlement to the funds, any performance conditions attached to the items of income have been met, it is probable that the income will be received and the amount can be measured reliably.

The following accounting policies are applied to income:

Donations and all other receipts from fundraising are included in income when received, as until this point the Charity is not considered to have entitlement to these sources of income.

Donated services and donated facilities are recognised as income when the Charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use by the Charity of the item is probable and that economic benefit can be measured reliably.

On receipt, donated professional services and donated facilities are recognised on the basis of the value of the gift to the Charity which is the amount the Charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

Income from charitable activities represents two charges payable by the MoD under the lease of the Defence facility. The Estate Service Charge, which represents a contribution towards the costs of maintaining the Stanford Hall Rehabilitation Estate grounds, is accounted for when receivable. The Life Cycle Charge, which relates to the maintenance of the Defence facility buildings, is accounted for when the Charity is entitled to the income which occurs when the corresponding expenditure is incurred. Payments in advance of entitlement to the income are included as a restricted fund creditor.

Trading activities includes rental income from investment properties, other parkland income and BS Stanford turnover largely comprising NRC enabling expenditure reimbursed by Nottingham University Hospitals (NUH).

Investment income in the form of bank interest is accounted for when receivable.

(h) Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Expenditure on raising funds includes the costs incurred in collecting outstanding pledges from the fundraising campaign and ongoing stewardship of major donors.

Expenditure on charitable activities includes direct costs related to the objectives of the Charity.

Support costs are those functions that assist the work of the Charity but do not directly undertake charitable activities. Support costs include finance, personnel and governance costs which support the between cost of raising funds and expenditure on charitable activities. The bases on which support costs have been allocated are set out in note 8. Governance costs comprise costs relating to the public accountability of the Charity and its compliance with regulation and good practice including audit and legal fees.

(i) Taxation

The parent company is a registered charity and has no liability to corporation tax on its charitable activities under the Corporation Tax Act 2010 (chapters 2 and 3 of part ii, section 466 onwards) or Section 256 of the Taxation for Chargeable Gains Act 1992, to the extent surpluses are applied to its charitable purposes.

Current tax for the subsidiary company, including UK corporation tax, is provided at amounts expected to be paid (or recovered) using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events that result in an obligation to pay more tax in the

20

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

1. ACCOUNTING POLICIES (continued)

(i) Taxation (continued)

future or a right to pay less tax in the future have occurred at the balance sheet date. Timing differences financial statements that arise from the inclusion of gains and losses in tax assessments in periods different from those in which they are recognised in the financial statements.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of the timing difference.

(j) Tangible Fixed Assets

Tangible fixed assets are stated at cost, net of depreciation and any provisions for impairment. Depreciation is provided on all tangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset on a straight line basis over its expected useful life, as follows:

Freehold buildings: residential lodges 2% per annum Freehold buildings: Stanford Hall Rehabilitation Estate office 2.5% per annum Vehicles, plant and equipment - 25% per annum

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

(k) Fixed Asset Investments

Social investment

Social investments include programme related investments which are held specifically to enable a third purposes. The Charity holds a social investment property to fulfil its charitable objectives. The social investment property is stated at cost net of depreciation and any provisions for impairment. Depreciation is provided at rates calculated to write off the cost, less estimated residual value, of each asset over its expected useful life. Residual value represents the estimated fair value of the asset expected at the end of its useful life. No depreciation is provided for on the social investment due to the anticipated high residual value which would result in immaterial depreciation for the asset. An impairment review is carried out annually.

Investment properties

Investment properties are held to earn rental income or for capital appreciation and are measured at fair value annually with any change recognised in the Statement of Financial Activities.

Investment in subsidiary

In the parent charity balance sheet, investments in subsidiary undertakings are measured at cost less impairment.

(l) Assets held for sale

Assets held for sale are carried at fair value less costs to sell. Impairment is considered at the point of classification of

(m) Foreign Currency

The functional currency of the Charity and Group is pound sterling. Transactions denominated in foreign currencies are recorded at the exchange rate ruling on the date of the transaction.

21

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

1. ACCOUNTING POLICIES (continued)

(n) Financial instruments

Financial assets and financial liabilities are recognised when the Group becomes a party to the contractual provisions of the instrument.

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

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. Creditors and provisions are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

(o) Leases

Rental income from operating leases is recognised on a straight-line basis over the term of the relevant lease.

2. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The Trustees do not consider there are any critical accounting judgements, other than those noted below involving estimations, applied in the preparation of the accounts.

Key sources of estimation uncertainty

a) Valuation of investment property

An independent external valuation of the investment properties was undertaken in December 2019 on the basis of market value for existing use in accordance with the Royal Institution of Chartered Surveyors (RICS) Valuation Global Standards 2017. A desk top valuation by the same valuer was undertaken for the purposes of these financial statements which considered market data for property in the locality. As a result, the Trustees consider the carrying valuation of investment property to be appropriate.

22

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

2. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY (continued)

b) Residual value of social investment property

The lease of the social investment property contains provisions for the payment of an annual Life Cycle Charge, the purpose of which is to ensure that the individual elements of Defence Establishment are maintained and/or replaced at appropriate intervals. Maintenance of the Defence Establishment in this manner should ensure that no material dilapidations will have accrued at the end of the lease term and that there is no significant reduction in value of the social investment property. Not providing for depreciation is therefore considered necessary for the accounts to give a true and fair view. The Trustees have reviewed the buildings for factors which would indicate that the carrying value of social investment property is impaired. No such factors have been identified.

c) Classification of life cycle creditor

The life cycle creditor comprises cumulative annual life cycle receipts from the MoD less maintenance/replacement expenditure incurred since the start of the lease plus interest received on ringfenced unspent funds. In determining the split of the creditor between less than and more than one year, expenditure forecasts prepared by the MoD are used as a best estimate.

3. ANALYSIS OF INCOME FROM DONATIONS

2024
Donations
Donated services
2023
Donations
Donated services		 Unrestricted
funds
£
503,095
311,697
814,792
Unrestricted
funds
£
1,117,379
303,597
1,420,976		 Restricted
funds
£
150,000
-
150,000
Restricted
funds
£
150,000
-
150,000		 Total funds
£
653,095
311,697
964,792
Total funds
£
1,267,379
303,597
1,570,976

The donated services reflect the provision of professional services and facilities by organisations keen to support the Charity.

23

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

4. ANALYSIS OF INCOME FROM CHARITABLE ACTIVITIES

2024
Life Cycle Charge
Estate Service Charge
2023
Life Cycle Charge
Estate Service Charge		 Unrestricted
funds
£
-
-
-
Unrestricted
funds
£
-
-
-		 Restricted
funds
£
17,305
458,754
476,059
Restricted
funds
£
657,469
416,758
1,074,227		 Total funds
£
17,305
458,754
476,059
Total funds
£
657,469
416,758
1,074,227

The provision of the DMRC to the Mo facilitating charitable activities at the site. The lease also generates income from charitable activities for the Charity in the form of charges payable by the MoD. The above charges were receivable and are restricted as required under the lease. The Life Cycle Charge was applied against maintenance costs at the Defence facility and the Charity recognises this income as costs are incurred. The Estate Service Charge was receivable towards the upkeep of the Stanford Hall Rehabilitation Estate grounds which provide an important part of the treatment process for Defence facility patients.

5. ANALYSIS OF INCOME FROM TRADING ACTIVITIES

2024
Turnover
Rental & parkland income
2023
Turnover
Rental & parkland income		 Unrestricted
funds
£
59,669
56,992
116,661
Unrestricted
funds
£
1,250,702
55,583
1,306,285		 Restricted
funds
£
-
-
-
Restricted
funds
£
-
-
-		 Total funds
£
59,669
56,992
116,661
Total funds
£
1,250,702
55,583
1,306,285

Prior year turnover principally reflected expenditure reimbursed by Nottingham University Hospitals (NUH) during the year in respect of NRC enabling activity. This continued into 2023/24 but to a lesser extent.

24

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

6. ANALYSIS OF EXPENDITURE ON RAISING FUNDS

The following expenditure has been incurred with the aim of raising funds, largely through the collection of pledge instalments relating to the DNRC Programme which enabled construction of the Defence Establishment.

Support costs (see note 8)
Other fundraising costs		 2024
£
-
2,893
2,893		 2023
£
22
2,171
2,193

The cost ratio to income for the period is 0.2% (2023: 0.1%).

7. ANALYSIS OF EXPENDITURE ON CHARITABLE ACTIVITIES

of the DNRC Programme and the establishment of the NRC, as explained in the Trustees Annual report. Current year costs include £26k (2023: £1,222k) expenditure incurred by the subsidiary company, BS Stanford Limited, in respect of NRC entrance works which is reflected in income from trading activities.

Direct charitable costs
Support costs (see note 8)		 2024
£
1,034,506
97,714
1,132,220		 2023
£
3,154,972
94,710
3,249,682

Included in these costs are donated services of £312k (31 March 2023: £304k), £44k (31 March 2023: £44k) of which are support costs.

25

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

8. ANALYSIS OF SUPPORT COSTS

2024
Governance
Finance
Office, secretarial and HR
2023
Governance
Finance
Office, secretarial and HR		 Raising
funds
£
-
-
-
-
Raising
funds
£
22
-
-
22		 Direct
charitable
£
15,646
41,600
40,468
97,714
Direct
charitable
£
15,280
41,305
38,125
94,710		 Total
Basis of allocation
£
15,646
In line with activity
41,600
Allocated on time
40,468
Allocated on time
97,714
Total
Basis of allocation
£
15,302
In line with activity
41,305
Allocated on time
38,125
Allocated on time
94,732

Included in the above support costs are donated services of £44k (2023 : £44k). Governance costs largely

of the external audit.

9. NET INCOME FOR THE YEAR

Net income is stated after charging:

2024 2023
£ £
Depreciation of tangible fixed assets
owned		 26,131 44,484
financial statements 12,400 11,940
3,100 2,850

26

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

10. ANALYSIS OF STAFF COSTS, TRUSTEE REMUNERATION AND EXPENSES, AND THE COST OF KEY MANAGEMENT PERSONNEL

The average monthly number of employees was:

Group and Charity
Charitable activities
Their aggregate remuneration comprised:
Group and Charity
Wages and salaries
Social security costs		 2024
No.
2
2
2024
£
97,419
5,769
103,188		 2023
No.
2
2
2023
£
92,183
6,807
98,990

No employee earned total employee benefits in excess of £60,000 during either the current or prior year.

The key management personnel of the Group and Charity comprise the Trustees and senior management, who are listed on page 3. The total remuneration of those individuals totalled £336k (2023: £325k), of which £273k (2023: £265k) was not directly incurred by the Charity as their services were donated.

No Trustee received any remuneration or benefits in kind during the year or prior year. During the year to 31 March 2024 no Trustee received reimbursement of expenses (2023: £nil).

27

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

11. TAX ON LOSS OF TRADING SUBSIDIARY

2024 2023
£ £
UK corporation tax at 19% (2023: 19%) based on loss for the
year		 - -

FACTORS AFFECTING TAX CHARGE FOR THE YEAR

The tax assessed for the year is lower than (prior year: lower than) the standard rate of corporation tax of 19% (31 March 2023: 19%) for small companies . The differences are explained below:

----- Start of picture text -----
2024 2023
£ £
Loss before tax
(2,689) (2,688)
Current tax charge for the year:
Loss at standard rate of corporation tax of 19% (2023: 19%)
(512) (511)
Unprovided deferred tax
512 511
- -
----- End of picture text -----

The small profits rate of 19% has been used in the above calculation, as it is not anticipated that the company will make future profits in excess of £50,000.

A deferred tax asset has not been recognised in respect of certain timing differences relating to losses carried forward as there is insufficient evidence that the asset will be recovered. The amount of the asset not recognised is £1,022 (2023: £672).

There is no expiry date on timing differences, unused tax losses or credits. There are no factors that may affect future tax charges.

28

THE BLACK STORK CHARITY Financial Statements for the year ended 31 March 2024

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

12. TANGIBLE FIXED ASSETS

Group
Cost
At 1 April 2023 and 31 March 2024
Depreciation
At 1 April 2023
Charge for year
At 31 March 2024
Net book value
At 31 March 2024
At 31 March 2023
Charity
Cost
At 1 April 2023 and 31 March 2024
Depreciation
At 1 April 2023
Charge for year
At 31 March 2024
Net book value
31 March 2024
31 March 2023		 Freehold land
and buildings
£
1,034,532
123,338
23,493
146,831
887,701
911,194
Freehold land
and buildings
£
1,034,966
123,338
23,493
146,831
888,135
911,628		 Vehicles /
Plant and
Equipment
£
208,672
203,005
2,638
205,643
3,029
5,667
Vehicles /
Plant and
Equipment
£
153,161
147,494
2,638
150,132
3,029
5,667		 Total
£
1,243,204
326,343
26,131
352,474
890,730
916,861
Total
£
1,188,127
270,832
26,131
296,963
891,164
917,295

Freehold land and buildings consist of properties occupied by the Charity for its own purposes.

29

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

13. SOCIAL INVESTMENTS

Group
Cost
At 1 April 2023 and 31 March
2024
Depreciation
At 1 April 2023 and at
31 March 2024
Net book value
31 March 2024
31 March 2023
Charity
Cost
At 1 April 2023 and 31 March
2024
Depreciation
At 1 April 2023 and at
31 March 2024
Net book value
31 March 2024
31 March 2023		 Defence
Establishment
£
266,935,076
-
266,935,076
266,935,076
Defence
Establishment
£
274,601,489
-
274,601,489
274,601,489		 Stanford Hall
Rehabilitation
Estate
£
4,371,170
-
4,371,170
4,371,170
Stanford Hall
Rehabilitation
Estate
£
4,398,932
-
4,398,932
4,398,932		 Total
£
271,306,246
-
271,306,246
271,306,246
Total
£
279,000,421
-
279,000,421
279,000,421

The Defence establishment asset is leased to the Ministry of Defence under an operating lease with peppercorn annual rent. Borrowing costs amounting to £4.4m (31 March 2023: £4.4m) have been included in the cost of the Defence establishment. The Stanford Hall Rehabilitation Estate asset comprises the remainder of the estate on which the Defence facility is situated. This land includes running tracks and outdoor exercise areas on varied terrain and is an important element in the treatment process for Defence establishment patients.

30

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

14. INVESTMENT PROPERTY

Valuation
At 1 April 2023
Impairment provision
Transfer to current assets
At 31 March 2024		 Group
£
1,130,000
(32,830)
(497,170)
600,000		 Charity
£
1,130,000
(32,830)
(497,170)
600,000

Investment property consists of two properties (2023: three properties) on which rental income is earned. During the year, the Trustees agreed to market one of the properties for sale with the property being sold in April 2024. This property has been transferred to current assets after adjustment for impairment to reflect the net proceeds received from the sale.

The investment properties were valued as at 31 December 2019 by independent external valuers. The valuations were carried out on the basis of market value for existing use in accordance with the Royal Institution of Chartered Surveyors (RICS) Valuation Global Standards 2017 and were performed by Strutt & Parker. Trustees deem that investment property values will not have changed materially by 31 March 2024 and the properties therefore continue to be carried at the valuation amounts.

15. SUBSIDIARY UNDERTAKING

Charity
Subsidiary undertaking
at cost 1 April 2023
Impairment provision
Valuation at 31 March 2024		 2024
£
120,000
(5,377)
114,623		 2023
£
120,000
-
120,000

The investment relates to the entire ordinary share capital of BS Stanford Limited, a company incorporated in the United Kingdom and registered in England and Wales (registration number 7489494). The registered office of BS Stanford Ltd is 70 Grosvenor Street, London, W1K 3JP. The principal activity of the company is to provide Managing Contractor services to the Charity in relation to the design, management and construction of the DNRC. During the year, the Charity has impaired the investment so that the carrying value represents the subsidiary undertakings net asset value. A summary of the results of the trading company for the year ended 31 March 2024 are shown below.

Profit and loss account

Profit and loss account
Turnover
Cost of sales
Gross profit
Administrative expenses
Operating loss
Net interest receivable
Retained loss
Balance brought forward
Balance carried forward		 2024
£
64,211
(64,079)
132
(3,100)
(2,968)
279
(2,689)
(2,688)
(5,377)		 2023
£
1,254,317
(1,254,212)
105
(2,856)
(2,751)
63
(2,688)
-
(2,688)

31

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

15. SUBSIDIARY UNDERTAKING (continued)

Balance sheet as at 31 March 2024:

Current assets
Creditors: Amounts falling due within one year
Net assets
Share capital
Profit and loss account		 2024
£
147,796
(33,173)
114,623
120,000
(5,377)
114,623		 2023
£
287,721
(170,409)
117,312
120,000
(2,688)
117,312

16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Prepayments and accrued income
Taxation and social security		 2024
Group
Charity
£
£
45,516
19,686
12,960
12,960
58,476
32,646		 2023
Group
Charity
£
£
268,960
33,683
7,759
11,921
276,719
45,604

17. RESTRICTIONS ON CASH AND CASH EQUIVALENTS

Total cash and cash equivalents included cash amounting to £7.3m (2023: £5.7m) which was held in restricted accounts under the lease with the MoD to be spent on maintenance of the Defence facility and the Stanford Hall Rehabilitation Estate.

18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Trade creditors
Accruals and deferred income
Life Cycle Charge creditor
Taxation and social security
Amount owed to subsidiary
undertaking		 2024
Group
Charity
£
£
10,074
10,074
81,468
53,312
2,325,843
2,325,843
8,476
3,459
-
4,543
2,425,861
2,397,231		 2023
Group
Charity
£
£
176,906
14,820
645,865
641,704
1,215,870
1,215,870
3,276
3,276
-
1,171
2,041,917
1,876,841

Amount owed to subsidiary undertaking is repayable on demand with no interest being charged on the balance.

32

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR (continued)

The Life Cycle Charge creditor represents restricted funds held by the Charity to be applied against future expenditure, estimated to be falling due within one year, in relation to the Defence facility as required under the lease with the MoD.

19. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2024 2024 2023
Group Charity Group Charity
£ £ £ £
Other loans: repayable between
one and five years		 7,000,000 7,000,000 7,000,000 7,000,000
Life Cycle Charge creditor 4,997,483 4,997,483 3,906,022 3,906,022
11,997,483 11,997,483 10,906,022 10,906,022
Creditors falling due after more than one year includes one loan (2023: one loan), which is unsecured
(2023: unsecured). This loan is interest free, non-recourse and for a period to 6 July 2027.
The Life Cycle Charge creditor represents restricted funds held by the Charity to be applied against
future expenditure, estimated to be falling due after more than one year, in relation to the Defence facility
as required under the lease with the MoD.
COMPARATIVE CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES
Note Unrestricted
funds		 Restricted
funds		 Total funds
2023
£ £ £
INCOME FROM:
Donations 3 1,420,976 150.000 1,570,976
Charitable activities 4 - 1,074,227 1,074,227
Investment income - bank interest 8,025 1,652 9,677
Other trading activities 5 1,306,285 - 1,306,285
TOTAL INCOME 2,735,286 1,225,879 3,961,165
EXPENDITURE ON:
Raising funds 6 (2,193) - (2,193)
Charitable activities 7 (1,703,354) (1,546,328) (3,249,682)
TOTAL EXPENDITURE (1,705,547) (1,546,328) (3,251,875)
NET INCOME FOR THE YEAR BEING NET
MOVEMENT IN FUNDS		 1,029,739 (320,449) 709,290
Total funds brought forward 267,574,814 493,681 268,068,495
TOTAL FUNDS CARRIED FORWARD 268,604.553 173,232 268,777,785

Creditors falling due after more than one year includes one loan (2023: one loan), which is unsecured (2023: unsecured). This loan is interest free, non-recourse and for a period to 6 July 2027.

The Life Cycle Charge creditor represents restricted funds held by the Charity to be applied against future expenditure, estimated to be falling due after more than one year, in relation to the Defence facility as required under the lease with the MoD.

20. COMPARATIVE CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES

33

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

21. CASHFLOW STATEMENT

Reconciliation of net income to cash generated by operations:

Net income for the year
Adjustments for:
Interest receivable
Depreciation
Operating cashflow before movement in working capital
Decrease in debtors
Increase in creditors
Cash generated by operating activities
Restricted funds
Unrestricted funds
Cash generated by operating activities		 2024
£
449,081
(26,682)
26,131
448,530
218,243
1,475,405
2,142,178
150,000
1,992,178
2,142,178		 2023
£
709,290
(9,677)
44,484
744,097
2,235,597
1,687,452
4,667,146
(307,590)
4,974,736
4,667,146

22. FINANCIAL INSTRUMENTS

Financial assets measured at fair
value through income and
expenditure		 2024
Group
Charity
£
£
1,097,170
1,097,170		 2023
Group
Charity
£
£
1,130,000
1,130,000

Financial assets measured at fair value through income and expenditure comprise investment properties and assets held for sale.

34

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

23. MOVEMENT IN UNRESTRICTED FUNDS

2024

Group
General reserves
Designated fund:
Fixed assets
Total unrestricted funds
Charity
General reserves
Designated funds:
Fixed assets
Total unrestricted funds		 At
1 April
2023
£
2,251,446
266,353,107
268,604,553
At
1 April
2023
£
2,134,133
274,167,716
276,301,849		 Income
£
952,547
-
952,547
Income
£
1,374,248
-
1,374,248		 Expenditure
and losses
£
(660,165)
(26,131)
(686,296)
Expenditure
and losses
£
(1,079,177)
(31,508)
(1,110,685)		 Transfers
£
530,000
(530,000)
-
Transfers
£
530,000
(530,000)
-		 At
31 March
2024
£
3,073,828
265,796,976
268,870,804
At
31 March
2024
£
2,959,204
273,606,208
276,565,412

The fixed asset fund is an unrestricted designated fund and represents net resources invested in tangible fixed assets and fixed asset investments, less the bridging facilities utilised to acquire those fixed assets and fixed asset investments. The fund is therefore not readily available for other purposes.

The unrestricted general reserve represents surplus funds at the year-end held for investment by the Trustees into the ongoing DNRC Programme.

Analysis of transfers:
Transfer to general reserves		 Group
£
530,000
530,000		 Charity
£
530,000
530,000

The above transfer from the designated fixed asset fund to the unrestricted general reserve reflects the reallocation of one of the investment properties to assets held for sale.

35

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

23. MOVEMENT IN UNRESTRICTED FUNDS (continued)

2023
Group
At
1 April
2022
£
General reserves
4,244,932
Designated fund:
Fixed assets
263,329,882
Total unrestricted funds
267,574,814
Charity
At
1 April
2022
£
General reserves
4,124,933
Designated funds:
Fixed assets
271,144,491
Total unrestricted funds
275,269,424
Analysis of transfers:
Transfer to designated fund		 Income
£
2,735,286
-
2,735,286
Income
£
1,484,521
-
1,484,521		 Expenditure
£
(1,673,922)
(31,625)
(1,705,547)
Expenditure
£
(420,471)
(31,625)
(452,096)		 Transfers
£
(3,054,850)
3,054,850
-
Transfers
£
(3,054,850)
3,054,850
-
Group
£
(3,054,850)
(3,054,850)		 At
31 March
2023
£
2,251,446
266,353,107
268,604.553
At
31 March
2023
£
2,134,133
274,167,716
276,301,849
Charity
£
(3,054,850)
(3,054,850)

The above transfers from the unrestricted general reserve to the designated fixed asset fund results from social investment additions in the year as well as the £3m repayment of bridging facilities in the year.

36

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

24. MOVEMENT IN RESTRICTED FUNDS

2024

Group and Charity
DNRC Programme
Life Cycle Charge
Estate Service Charge
Total restricted funds		 At 1 April
2023
£
173,232
-
-
173,232		 Income
£
150,000
17,305
464,342
631,647		 Expenditure
£
-
(17,305)
(464,342)
(481,647)		 At 31
March
2024
£
323,232
-
-
323,232

During the year, a donation of £150k was received which was added to the DNRC Programme restricted fund. The donor has specified that these donations are used towards educational provision in connection with the NHS facility. No expenditure was incurred during the year, with the year end balance of £323k being carried forward for allocation in the next financial year and beyond.

The Life Cycle Charge fund and the Estate Service Charge fund represent charges payable by the MoD in respect of the Defence facility and the wider estate grounds, and are restricted as required by the lease.

2023

Group and Charity
DNRC Programme
Donated fixed asset
Life Cycle Charge
Estate Service Charge
Total restricted funds		 At 1 April
2022
£
480,822
12,859
-
-
493,681		 Income
£
150,000
-
657,469
418,410
1,225,879		 Expenditure
£
(457,590)
(12,859)
(657,469)
(418,410)
(1,546,328)		 At 31
March
2023
£
173,232
-
-
-
173,232

One donor had contributed fixed assets to the Charity in 2019 in the form of machinery to be utilised on the Stanford Hall Rehabilitation Estate. The assets had been fully depreciated by the end of the year.

37

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended March 2024

25. ANALYSIS OF ASSETS AND LIABILITIES BETWEEN FUNDS

2024

Group
Fixed assets
Current assets
Creditors: amounts due < 1 year
Creditors: amounts due > 1 year
At 31 March 2024
Charity
Fixed assets
Current assets
Creditors: amounts due < 1 year
Creditors: amounts due > 1 year
At 31 March 2024		 Unrestricted funds
General
Designated
£
£
-
272,796,976
3,173,846
-
(100,018)
-
-
(7,000,000)
3,073,828
265,796,976
Unrestricted funds
General
Designated
£
£
-
280,606,208
3,030,592
-
(71,388)
-
-
(7,000,000)
2,959,204
273,606,208		 Restricted
funds
£
-
7,646,558
(2,325,843)
(4,997,483)
323,232
Restricted
funds
£
-
7,646,558
(2,325,843)
(4,997,483)
323,232		 Total
£
272,796,976
10,820,404
(2,425,861)
(11,997,483)
269,194,036
Total
£
280,606,208
10,677,150
(2,397,231)
(11,997,483)
276,888,644

38

THE BLACK STORK CHARITY

NOTES TO THE FINANCIAL STATEMENTS Year ended 31 March 2024

25. ANALYSIS OF ASSETS AND LIABILITIES BETWEEN FUNDS (continued)

2023

Group
Fixed assets
Current assets
Creditors: amounts due < 1 year
Creditors: amounts due > 1 year
At 31 March 2023
Charity
Fixed assets
Current assets
Creditors: amounts due < 1 year
Creditors: amounts due > 1 year
At 31 March 2023
FINANCIAL COMMITMENTS
Capital commitments are as follows:
Group
Contracted for but not provided for		 Unrestricted funds
General
Designated
£
£
-
273,353,107
2,457,886
-
(206,440)
-
-
(7,000,000)
2,251,446
266,353,107
Unrestricted funds
General
Designated
£
£
-
281,167,716
2,175,497
-
(41,364)
-
-
(7,000,000)
2,134,133
274,167,716		 Restricted
funds
£
-
5,914,731
(1,835,477)
(3,906,022)
173,232
Restricted
funds
£
-
5,914,731
(1,835,477)
(3,906,022)
173,232
2024
£
-		 Total
£
273,353,107
8,372,617
(2,041,917)
(10,906,022)
268,777,785
Total
£
281,167,716
8,090,228
(1,876,841)
(10,906,022)
276,475,081
2023
£
23,180

26. FINANCIAL COMMITMENTS

The prior year commitment reflects a final retention payable under the main contract for the NRC entrance by the

27. RELATED PARTY TRANSACTIONS

All transactions between the Charity and subsidiary, BS Stanford Limited, are eliminated on consolidation.

No Trustee received payment for professional or other services supplied to the Charity during the year (2023: £nil).

There are no related party transactions in the reporting period that require disclosure (2023: nil).

39

THE BLACK STORK CHARITY

Bust of the 6[th] Duke in the DMRC patient area

40