Charlty repirtralion number 1161904 Company reglstratlon number08966275 (England and Wales) JAMES HIRONS ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2025 JAMES HIRONS LEGAL AND ADMINISTRATIVE INFORMATION Trustees Mrs B Beal Mr D Eccleston Mr A Givens Mrs N S3wdon Mrs A Stevens Mrj Mace Mr G Dryden Dr P Cullen (Appointed 17 July 20241 (Appointed 2 September 20251 (Appointed 2 September 20251 (Appointed 2 September 20251 Charlty nurnber 1161904 Company numbef 08966275 Reglstered office 53 Lillington Road Leamington Spa Warwlckshlre CV32 6LD Audltor Bur815 & Bullock 23-25 Waterloo Place Leamington Spa Warwlckshlre CV32 SLA Banker5 Handelsbanken Myton House 40 Holly Walk Leamin8ton Spa CV32 4HY Inve5tmert advlsors Evelyn Partners 9 Colmore Row Birmingham B3 2BJ JAMES HIRONS CONTENTS Pale Trustees, report Statement of tru5tee5' re5pon5ibilities Independerrt auditor's report 9-12 Consolldated ststement of financial attivities 13-14 Group balance sheet 15 Balance sheet 16 Statement of cash flow5 17 Note5 to the financial statements 18-34 JAMES HIRONS TrUSTEES' REPORT IINCWDING DIRECTORS, REPORTI FOR THE YEAR ENDED 31 MARCH2025 The trustees present their annual report and financial statements for the year ended 31 March 2025. The James Hirons Care Home 15 a voluntary organisation having charitable statu5, adminlstered by a Board of Trustees to provide residential and convalescent accommodation mainly for the elderly. It was established with the endowment of the late James Hirons in 1953. The james Hirons charity is governed by a Charity Commi55ion Scheme dated 16 December 1986. The Compary Limited by Guarantee is governed by the Artides of Kssociation dateil 28 March 2014. An elegant and spaciou5 Edwardian bulldin& the James Hirons Home today provides a warm and welcoming home for persons requiring lon8 term or respite ca￿. The Home is registered for twenty-three residents. The James Hirons Home is rated by the Quality Care Commisslon ICQCI as 'GOOD' both Overall and in all 5 Kev Question Area5. In line wlth CQC requirements we submltted our annual Provlder Informatlon Request In June 24. The financial statements have been prepared In accordance with the accounting politie5 set out in note I to the financial statements and comply with the charity's parent charitable cornpany's article5 of association dated 14 March 2014 as amended by speoal resolutlons dated 17 September 2015 as amended on 31 July 2023, the Companles Act 2006 and "Accounting and Reporting by Charitles: 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 IFRS 1021 (effective l January 20191. Objectives and actlvlths The Charity exists to provide accommodation, together with residential care, whilst primarily for the eldeAv in Leamington Spa and the surrounding dlstrlcts, we can now take residents from further afield. Prospective residents are encouraged to enter the Home for a trial period befo￿ taking up residence, to ensure that it 15 suited to their needs. Respite care is also offered. We are also reviewing our 5 year Strategy to consider how best to meet the changlng health and social care needs of our older population. The Charity's overall aims and objettives a￿.. To provide a high level of care for mainly elderly people in a Safe. Te5ponsive, warm and friendly environment; to treat them wlth respe¢ and ensure that every day is a day worth living. It is their home. To observe current requirements of health and safety arsd other wulatlons for resldents and staff. To constsntly upgrade the fabric of the Home and surrounding gardens. The Trustees, and staff objective of providin8 a high level of care has been borne out by regular assessments by the CQC that rated us as good In 202212023. Work continues to maintaln the good rating as a minimum and ideally moving towards an outstanding rating In future. During the year to 31 March 2025, we have welcomed new residents and staff. Throughout thls time our residents, their families and our staff have worked with us to prevent hami and keep our residents. families and staff safe, and we are pleased to report that there were no outbreaks of COVID durin8 this perlod. Our dillgence and focus on safety continues. JAMES HIRONS TRusfEES' REPORT {INCWDING DIRECTORS, REpoKf) (CONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 The Trustees are responsible for monthly Provider Visits to the Home and contlnue. In turn, to cornplete a Report Form that ensures feedback and learning on all CQC Key Lines of Enquiry. However, these have recently been reviewed and are currently OLrt for consultation by the CQC. Once finalised by the CQC, we will update our quality aSSUfance framework to refiect these. The Trustees have also complied wlth the commrtment for a full Independent Evaluation of the Home annually. Approaches to obtaining feedback from residents, their families and staff continue to be progressed and le550ns learrkt. The Trustees confirm that, to the best of their knowled8e and belief, they have complied with Section 4 of the Charities Art 2006 in respect to having due regard to Publlc 8eneflt Guidance published by the Charity Commls51¢)n. In addition to the James Hlrons Home itself, 5UPPOrt ha5 been provided for continued financial support to the Admiral Dementia Care Community Nurse service at the local hospltal Trust. The charity has not engaged In any fundraislng programmes. Covld-19 Trustees are very aware that Covld 19 continues to present ongolng cOn￿rn5 and rlsks for resldents and for its staff. The Trustees and managing staff continue to comply stringently with all related Government directives. Goln8 Concem The Home has enjoyed a good year after the challenges of the past four years. Occupancy has increased including continued Increase in respite care. The Home is fortunate to have a substsntlal Investment portfolio which continues to generate signifitant income to Supplement income from occupancy. Lower than anticipated occupancy is stlll our blggest rlsk and we have put plan5 in place to mitigate this. These Include creating MO￿ bed5 for resplte, offerlng Ilay care whilst a150 reviewing and strengthening the marketing of our Service to the Leamington community. We are fortunate that many referra15 come through personal recommendation5 but we are also pursuing Other avenues of local advert15ing induding the funding to secure a new ¢Jisabled-friendly people carrier later in 2025 with the Home being advertised on the side, new slgna8e, a refreshed web51te with an enhanced interface an(1 Ilnks for those looking at potential care homes. Many of our residents continue to participate in social activities against the backilrop of keeping safe with plan to appolnt an additional artivity co-ordinator, bringing us up to two later in 2025. arranging an array of drfferent activitles, Outlngs and exercises. Trustees recognise that the world is chan8in8 as people a￿ living longer and potential residents a￿ increa5in8ly a55e55ed a5 requiring more significant moblllty and cognltlve support than might have been the case a few years ago. For this reason, and despite the potential, albeft hopefully temporary impact this may have on income from resident fees, the Trustees have and will continue to 5UPPOrt the Home Manager's judgement when balancin8 healthy cKcupancy targets with professional and clinical judgement about resident referrals, particularly Sn the context of an ageing intake, dementia, a more dependent population and pressures on health and social care. The Trustees are confident that there are Sufficient assets to finance day to day opeTations for the foreseeable future, being a period of ￿1Ve months after the date on which this Report and the Financial Statements a￿ signed and. therefore. continue to adopt the going concern basls. JAMES HIRONS TRUSTEES, REPORT IINCWDING DIRECTORS, REPORT) ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Rlsk Mana8ernent The Trustees review the internal controls, risk management and compliance systems of the Charity and implement risk management strategies. Thi5 involves identifying the types of ri5k5 the Charity faces, Pfioritising them In terms of potential impact and likelihood of occurrence and providing means of mitigating the risks. Prfnclpal rlsks and un¢ertalntles The Charity tske5 an artive approach to managing risk. Key risks are identified, rated and mitigation strategles devlsed using the Charity'5 risk register. The Trustees wiew the risk register on an a bi-monthly basis. Financial rlsks are stress tested to understand what level of financial management 15 required, what impact the risk will have and how severe the 51tuation would have to become before the risk could no longer be managed. On the risk register the likelihood of all rlsks Is then assessed, where likelihood and impact are eath assessed on a Scale of I Ilowl to 5 Ihighl. For each risk the Ilkelihood and impact scores are multiplied by each other to give a risk ratin8 score between l and 25 where S is a risk of low priority and 25 15 a fundamental risk. In the 202412025 financial year, the primary risk5 to the charity continued to be: Residential otcupation. b. Any event Causing damage to reputation. Retslnlng staff and market difFicultie5 in recruiting appropriate permanent stsff. d. Income. Volatillty of global stock market5 and the potential adverse impact on capltal walues and investrnent. Results The Charity continue5 to be recognised as providing '8ood' services to its residents by the CQC 055essments, provider assessments, and by Feedback received from resldents and families. In 24125 the bed occupancy rate was 82%123124 71%). The Governmenvs continued policy of care in the community has meant more people are staying in their own homes longer and the requirement for residential care is delayed or no longer appropriate. However, relaxation of the criteria laid down by CQC as regards to keepin8 a ￿Sident when they become more dependent continue5 to have a positive impact on occupancv. It has been a successful year in appointing staff of the calibre we ￿ quire to maintain the high 5tandard5 that have been set in the Home. JAMES HIRONS TRUSfEES' REPORT (INCLUDING DIREcfoRS' REPORT) (CONTINUED) FOR THE YEAR ENDED 31 MARCH2025 March 2025 March 2024 Income from Charitable Actlvities 1,225,038 883,326 Investment Income 125.406 131,337 Total Income 1,352,660 1,015,2CKI Total Expenditure 1,425,034 1,350,359 Investment Policy The Charity continues to employ Evelyn Partners as Investment manager to manage the Charlty's Investment portfolio on a discretionary basis. The Charlty has set out the following objeciives for Evelyn Partners in its Statement of Investment Principles. The creation of a sufficient financial return to enable the Charity to carry out its purp05e5 effectively and without interruption The maintenance and enhancement of the investment funds over the long term To obtain a reasonable balance between capital growth and income so th* the Charlty can meet future as well as current needs To maintain a medium risk profile The Trustees. pollcy Is to Invest in an approprlate rnlx of real assets l.e., equltles. flxed interest securities, alternatlve assets and monetary assets. The Trustees recognise that the returns on equities, while expected to be greater over the longer term than those of fixed interest and monetary assets. are likely to be more volatile. Investment In a mlx of asset classes should nevertheless provide to mltlBate volatility for the Charity to achieve its objettives. The Trustee5 asked Evelyn Partners to move the investments from a stage 5 to a stage 6 risk. Thi5 is only a marginal chan8e but 15 likely to increase investment income. Our Investments have performed well in what have been challenglng market condition5. Valuatlons and reports are produced by Evefyn Partners on a quarterly basls to colndde with the Charity's financlal year end. Investment meetings are convened with Evelyn Partners on a yearly basis involving both the Finance committee and the Full Board of Trustees. The Trustee5 have the power to invest in such investments as they see fit. Evelyn Partners. Investment Manager, continues to advise the Charity on its investments. The Board's pollcy Is to maxlmlse Income whllst preseNing the ￿al value of endowments. JAMES HIRONS TRUSTEES. REPORT (INCLUDING DIREcfoRS' REPORT) ICONTINUEOI R>R THE YEAR ENDED 31 MARCH 2025 March 2025 March 2024 Portfolio value Investment Income 4,357,389 125,406 4.373,599 131,337 Geographical asset allocation: UK Equitie5 Overseas Equitie5 Alternative and Multi-Asset Fixed Inte￿$t Cash 18 57 13 li 23 49 13 14 The investment portfolio is overseen by the Finan￿ sub-committee. which meet5 the Charitv's advisor on an annual basis. Investments are measufed against the market as a whole. Included within the Statement of Flnanclal Actlvotles is a gain on revaluation of £10.248 compared to a gain of £308.041 in 2024. The Charity has a pollcy of malntslnlng a level of surplus liquid tsJnds in short-term deposits and investments to meet liabilities as they arise and planned eKpenditure. The aim is to use investment income to meet larger repair bills and capitsl items as they arise and to support residents, whose funds rnay become depleted, renderlng them unable to afford the full cost of their care. Whilst worklng towards its target of athleving break-even on its operations, the Home also uses its investment income to make good any shortfall. Re5erve5 Pollcv The Trustees have reviewed the reserves of the Charity and intend to maintain reserves in excess of 51X months expenditure. In the last 12 months expenditure totalled £1,404,576 and the Trustees confirm that reserves are at an adequate level to provide a buffer for interruptions to Servi￿$, Includlng periods where income 8enerating artivities may be suspended temporarily. Total unrestritted reserves being £1,375,137 12024- £1,459,334) an(1 totsl entlowment fund reserve5 being £4,246,37512024- £4.230,3371. The Charity remains low geared with an annual Income of £1,352,660 and a toLIl balance sheet of £5,621.512. Future Plans As Trustees, we continue to explo￿ ways to improve the quality of our Services and scope of our care provided by the home. We continue to work on implementing a day care facility. In addition, our eth05 of 'Making Everyday a Day Worth Living, has been implemented during the year. Alongside current surveys and feedback questionnalres. Trustees an(1 staff continue to consult with residents. famllles and staff about what could usefully be added to the Home's cur￿nt offer - from 'extra mile, to bigger ideas. The Trustees will continue to prioritise and action a5 marhy of these as posslble over the coming year. JAMES HIRONS TRUSTEES, REPORT (INCWDING DIREcfoRS' REPORn ICONTINUED) FOR THE YEAR ENDED31 MARCH 2025 Strurture, 8overnan¢e and management A Board of Trustee5 comprising of volLtnteer members dur6n8 the year meets at least On￿ every tsvo months to admlnisterthe Charity. The Board is supported through a contract wSth Bur81s and Bullock. A Home Manager IRN Dip H Ed. RMAI, Deputy Home Manager and offi￿ Manager are appointed by the TrLrstees to manage the day-to-day operations of the Charity, supervise the staff and ensure that all operatlonal ￿gUlatOry requirements are met. They liaise closely with the Trustees, and report to the full Committee of Trustees and sub-committees for advice. support and overall decisions. The trustees, who are also the directors for the purpose of company law, and who Served during the year and up to the date of signature of the financial statements were- Mr5 B Beal Mr D Eccleston Mr A Givens Mrs M Stark Mrs N Sawdon Mr D Poynton Mrs A Stevens Mrj Mace Mr G Dryden Dr P Cullen (Resigned 20 May 20251 (Resigned 19 September 20251 (Appointed 17 July 20241 (Appointed 2 September 20251 (Appointed 2 September 20251 (Appolnted 2 September 20251 Trustee5 are appointed for a term of th￿e year5. Conslderation is given when recruiting new Trustees to preserving the balance of ski115 on the Board that a￿ required for the running of the organisation. Prospective Trustees are drawn from the local community, and all are individuals who hold or held positions of responslbllity and have relevant skills and knowledge. Inltlal contsct with prospertive Trustees leads to an informal meeting with existing Trustees Whe￿ they are given key basic informatlon. On appointment. a full pack of information on the Charity is provided. All new and estsblished Trustees a￿ enwuraged to tske advantage of training and development opportunltles. During the ￿PortIng year, the National Care Forum INCFI that represents care sertor members, continues to provide extensive up-to-date informatiorb on policy 3nd guidan￿. training. net-working and support. All Trustees re￿&Ve natlonal updates and briefings weekly and also link into dedicated Fora includin8 Finance. Governance, HR, Prartlce and Qualtty. In addition to meetings of the full Board, the￿ are five subrfommittees:_ Finance Personnel Rlsk Management Servlce Improvement IT Finance Including investments HR Internal controls, risk management and compllance Wems of the Charity Quality and Safety Information Technologyl Cyber Securityl Digital A combination of Trustees and Management sit on these committees which all report to the main 8oard. JAMES HIRONS TRusfEES' REPORT IINCWDING DIREcfoRS' REPORT) ICONTINUED) FOR THE YEAR ENDED 31 MARCH 2025 Arrangements for settlng pay and rernuneratk*n, and staff retentlon Led by the Personnel Sub-committee, Trustees review salarie5 and other benefits of key management personnel and other staff annually, taking account of relevant market data, induding a review of the manager's job description and appraisal. To Improve further our staff benefits packagei the Discretionary Slckness Pay Policy was reviewed and applied in line with Legislative Guidance and Best Practice. Staff retentlon at James Hiron5 is high and. unlike across the sector. the satisfactory recruitment of 5uitsble new carers and senior carer5 has been successfijl. There is also a wish to become less reliarrt on agency staff. During the reporting year, therefore, the Personnel and Finance sub