OpenCharities

This text was generated using OCR and may contain errors. Check the original PDF to see the document submitted to the regulator.

2024-12-31-accounts

Charity Registration No. 1201351

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

CONTENTS

Page
Legal and administrative information 1
Trustees' report 2
Independent auditor's report 6
Statement of financial activities 9
Balance sheet 11
Statement of cash flows 12
Notes to the financial statements 13

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

LEGAL AND ADMINISTRATIVE INFORMATION

Trustees

Dr J M Potter J Cotterill Esq A R Amlot D Boshier Esq Colonel J Carey-Harris TD FRGS The Very Reverend Dr M J Chandler J A Cooper Esq R Cullen Esq M J G Fletcher Esq J Loveless E Salvatore Mrs P Shephard MBE, DL A Whiteley

Chairman Vice Chairman

(Appointed November 2024)

(Retired June 2024)

(Appointed April 2024) (Appointed October 2024) (Appointed January 2025) (Retired December 2024) (Appointed January 2025)

Prior

The Very Reverend Dr M J Chandler

Clerk M J G Fletcher Esq C. Woodroffe

Senior Management Team Robyn Dye

General manager

(Retired March 2024) (Appointed April 2024)

Charity number 1201351

Principal office The Gatehouse Northgate Canterbury Kent CT1 1BG

Independent Auditors

Azets Audit Services 2[nd] Floor 32 – 33 Watling Street Canterbury Kent CT1 2AN

Bankers National Westminster Bank plc 11 The Parade, Canterbury Kent CT1 2DT

Solicitors

Lee Bolton Monier-Williams LLP 1 The Sanctuary Westminster London SW1P 3JT

1

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The Trustees present their report and financial statements for the year ended 31 December 2024.

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011 and UK Generally Accepted Accounting Practice.

OBJECTIVES AND ACTIVITIES

a. Policies and objectives

The object of the charity is to provide affordable residential accommodation for elderly people in need.

b. Strategies for achieving objectives

This object is promoted by the provision of independent flats or cottages occupied at low rents in a relatively secure environment.

c. Main activities undertaken to further the charity's purposes for the public benefit

The Trustees have reviewed the Charity Commission's guidance on the requirement to report on public benefit.

The Board is satisfied that the work of the charity, described below, accords with its stated objects and provides tangible public benefit to a wide section of those who reside within the charity's areas of benefit.

ACHIEVEMENTS AND PERFORMANCE

Review of activities

The Trustees report that the charity has continued to fulfil its function. 3 new residents joined the community during 2024. Residents at St John’s Hospital number 33 and at St Nicholas’ Hospital number 12 at the end of the period. There was 1 vacant flat at 31[st] December 2024 for which a new resident was due to move in.

One flat has been fully upgraded and a further 9 flats have been modernised with improved kitchens and bathrooms.

The General Manager has continued with a dynamic programme of work to overhaul the administration and management of the charity. The management structure has been adjusted to provide 2 part time wardens and a new administrator. The arrangement provides better opportunities for support and cross cover. Enhanced budgetary control continues by greater utilisation of the SAGE system. A comprehensive implementation of IT infrastructure is becoming established.

The Trustees have been developing a strategy to maximise knowledge of the heritage of the charity. Trustee Richard Cullen has led a subgroup, with the invaluable assistance of Mr Justin Ball. They have catalogued and valued the artefacts belonging to the charity. Arrangements have been made for aspects of the collection to be held in the Cathedral to ensure the highest quality of protection and preservation of the artefacts. Arrangements for accommodating those with an academic interest in the artefacts are being facilitated.

In line with enhancing the heritage of the charity, a process has been initiated to establish the exact state of the ancient walls within the charity’s estate and work to stabilise areas that appear to be weathered and eroding.

In line with the stipulations of the incorporated charity, the Trustees have initiated a process of Trustee succession planning. Two long serving Trustees retired and three new Trustees have been appointed. Two further appointments are due in the early new year (2025). The new appointees have a range of expertise and experience which will be beneficial for the charity.

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

The Clerk to the Trustees – Mr Michael Fletcher – retired from the post after some 30 years. He has become a Trustee. His position as Clerk has been taken on by Mr Clifford Woodroffe.

Mr Nigel Curtis resigned as the retained surveyor after 10 years. A process for replacing him is underway.

The Trustees continue with their policy of upgrading residential properties as they become available in order to facilitate accommodation for the charity’s residents. In addition, the Trustees seek to maintain the gardens and grounds as a special feature of the charity. The Trustees continue to be grateful to Mr Jeremy Foad for his commitment to the grounds over more than 30 years.

Similarly, the Trustees invest significantly in maintaining commercial properties to enhance rental income as far as possible and to protect against longer term maintenance costs. The round of quinquennial reviews of properties will continue.

The Trustees increasingly seek to enhance the recognition, protection and awareness of the charity’s heritage.

FINANCIAL REVIEW

Income for the year was £759,780 (2023: £14,276,919 - included the initial assets and liabilities transferred from St John’s Hospital and St Nicholas’ Hospital of £13,559,568 and operating income for the period of £717,351).

Total expenditure for the year was £882,985 (2023: £710,132) which resulted in net expenditure, before valuation adjustments of investments, of £123,205 (2023: Surplus of £7,219 on charitable activities for the period.)

There were net gains on investments of £863,587 (2023: net gains of £224,694) resulting in a net movement in funds of £740,382 (2023: net movement in funds of £13,791,481) for the year.

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason they continue to adopt the going concern basis in preparing the financial statements.

b. Reserves policy

The Trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

The Trustees kept the reserves needs of the charity regularly under review and determined that the appropriate level of free reserves necessary for the efficient management of the charity should have been £800,000 (2023: £700,000) i.e. approximately one year’s normal budgeted expenditure.

Unrestricted funds at 31 December 2024 totalled £811,433 (2023: £787,144).

Designated funds at 31 December 2024 totalled £13,720,430 (2023: £13,004,337).

Total funds at 31 December 2024 totalled £14,531,863 (2023: £13,791,481).

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

c. Future developments

The General Manager’s programme of administrative overhaul will continue with key outcomes being:

The Trustees will develop their plans for fostering the heritage of the charity.

Other future developments

The Trustees will continue to focus on upgrading residences as they become available to ensure all homes are suitable to modern standards.

The Trustees will continue the round of quinquennial reviews to make sure the hospital properties and the commercial properties are appropriately maintained.

STRUCTURE, GOVERNANCE AND MANAGEMENT

a. Constitution

The Trust was formed under an injunction granted by the Archbishop of Canterbury in 2022 and follows the previous injunctions issued to the predecessor charities namely St John’s Hospital and St Nicholas Hospital. The Trust became a registered charity on 15 December 2022. The charity registration number is 1201351. The charity began operations on 1 January 2023.

b. Method of appointment or election of Trustees

The charity is under the overall jurisdiction of the Archbishop of Canterbury who appoints the Trustees, the Prior, the Chaplain and the Indwellers.

c. Policies adopted for the induction and training of Trustees

New Trustees are given training by the Trustees and General Manager as necessary.

d. Organisational structure and decision making

The general direction of the charity is under the control of the Trustees, whose instructions are implemented by the Prior in conjunction with the General Manager, with the assistance of the Administrator and 2 part time Wardens.

e. Risk management

The Trustees have assessed the major risks to which the charity is exposed and are satisfied that systems are in place to mitigate exposure to the major risks.

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

TRUSTEES' REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

TRUSTEES' RESPONSIBILITIES STATEMENT

The Trustees are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that year

In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping sufficient accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. 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.

This report was approved by the Trustees, on 25 June 2025 and signed on their behalf by:

Dr J M Potter, Retired Physician, Chairman Trustee

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

INDEPENDENT AUDITOR’S REPORT FOR THE YEAR ENDED 31 DECEMBER 2024

Opinion

We have audited the financial statements of The Hospitals of St John the Baptist and St Nicholas, Canterbury (the ‘charity’) for the year ended 31 December 2024 which comprise the statement of financial activities, the balance sheet and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis 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

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

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

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

Other information

The 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 contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. 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 themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

INDEPENDENT AUDITOR’S REPORT FOR THE YEAR ENDED 31 DECEMBER 2024

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 Trustee's report.

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of Trustees

As explained more fully in the statement of Trustees' responsibilities, 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 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 cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.

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.

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

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework. Based on this understanding, we 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. This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

INDEPENDENT AUDITOR’S REPORT FOR THE YEAR ENDED 31 DECEMBER 2024

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk 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.

Other matters

Your attention is drawn to the fact that the charity has prepared financial statements in accordance with "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)" (as amended) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has now been withdrawn.

This has been done in order for the financial statements to provide a true and fair view in accordance with current Generally Accepted Accounting Practice.

Use of our report

This report is made solely to the charity’s Trustees, as a body, in accordance with part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's Trustees those matters we are required to state to them in an auditors' 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 Trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Michelle Wilkes FCA (Senior Statutory Auditor) For and on behalf of Azets Audit Services

Chartered Accountants Statutory Auditor

2[nd] Floor 32 – 33 Watling Street Canterbury Kent CT1 2AN

Date : 1 July 2025

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Statement of Financial Activities

(Including Income and Expenditure account) For the year ended 31 December 2024

funds
2024
Notes
£
Income from:
Transfer of funds from:
St John's Hospital
-
St Nicholas' Hospital
-
Donations
-
Charitable activities
2
-
Investments
3
-
Other
-
Total
-
Expenditure on:
Raising funds
-
Charitable activities
-
Total
4
-
Net income
-
Net gains on revaluation of fixed assets
11, 12
-
Net movement in funds
-
Reconciliation of funds:
Total funds brought forward
-
Total funds carried forward
-		 Total
2024
£
-
-
612
224,137
534,842
189
759,780
187,102
695,883
882,985
(123,205)
863,587
740,382
13,791,481
14,531,863		 Total
2023
£
8,690,209
4,869,359
821
205,356
506,135
5,039
14,276,919
160,436
549,696
710,132
13,566,787
224,694
13,791,481
-
13,791,481

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure related to unrestricted funds.

All income and expenditure derive from continuing activities.

9

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Statement of Financial Activities

(Including Income and Expenditure account)

For the year ended 31 December 2024

Comparative - 31 December 2023
Notes
Income from:
Transfer of funds from:
St John's Hospital
St Nicholas' Hospital
Donations
Charitable activities
2
Investments
3
Other
Total
Expenditure on:
Raising funds
Charitable activities
Total
4
Net income
Net gains on revaluation of fixed assets
11, 12
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward		 Unrestricted
funds
2023
£
8,690,209
4,861,643
821
205,356
506,135
5,039
14,269,203
160,436
541,980
702,416
13,566,787
224,694
13,791,481
-
13,791,481		 Restricted
funds
2023
£
-
7,716
-
-
-
-
7,716
-
7,716
7,716
-
-
-
-
-		 Total
2023
£
8,690,209
4,869,359
821
205,356
506,135
5,039
14,276,919
160,436
549,696
710,132
13,566,787
224,694
13,791,481
-
13,791,481

The statement of financial activities includes all gains and losses recognised in the year.

All income and expenditure derive from continuing activities.

10

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Balance Sheet

As at 31 December 2024

Notes
Fixed assets
Tangible assets
10
Investment properties
11
Investments
12
Current assets
Debtors
13
Cash at bank and in hand
Creditors: amounts falling due within
one year
14
Net current assets
Total assets less current liabilities
The funds of the charity:
Restricted funds
17
Designated funds
18
Unrestricted funds
19		 £
£
688,207
5,847,375
7,184,848
13,720,430
31,762
852,152
883,914
(72,481)
811,433
14,531,863
-
13,720,430
811,433
14,531,863
14,531,863
2024		 £
£
701,836
5,397,000
6,905,501
13,004,337
30,662
856,667
887,329
(100,185)
787,144
13,791,481
-
13,004,337
787,144
13,791,481
13,791,481
2023

The financial statements were approved by the Trustees on 25 June 2025 and signed on their behalf

Dr J M Potter, Retired Physician, Chairman Trustee

11

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Statement of Cash Flows For the year ended 31 December 2024

Cash flows from operating activities
Net income for the year
Adjustment for:
Transfer of funds from St John's Hospital
Transfer of funds from St Nicholas' Hospital
Depreciation
Gains on investments
Income from investments
Investment management fees taken from portfolio
Rental income from investment properties
Investment property costs
Increase in debtors
Decrease in creditors
Net cash used in operating activities
Investing activities
Cash withdrawn from portfolio to fund operating costs
Rental income from investment properties
Investment property costs
Change in cash and cash equivalents in the reporting
period
Cash and cash equivalents at the beginning of the
reporting period
Balance brought forward
Cash transferred from St John's Hospital
Cash transferred from St Nicholas' Hospital
Cash and cash equivalents at the end of the reporting
period		 £
£
740,382
-
-
13,629
(863,587)
(177,334)
51,199
(319,652)
264,166
7,800
(25,462)
(308,859)
260,000
308,510
(264,166)
304,344
(4,515)
856,667
-
-
856,667
852,152
2024		 £
£
13,791,481
(8,690,209)
(4,869,359)
13,629
(224,694)
(178,707)
52,134
(299,775)
108,302
(3,584)
(7,820)
(308,602)
163,731
299,726
(108,302)
355,155
46,553
-
521,196
288,918
810,114
856,667
2023

12

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

1. Accounting policies

a. Accounting convention

The financial statements have been prepared in accordance with the charity's governing document, the Charities Act 2011 and “Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)” (as amended for accounting periods commencing from 1 January 2016). The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for charities applying FRS 102 rather than the version of the Statement of Recommended Practice which is referred to in the Regulations but which has since been withdrawn.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of freehold properties and to include investment properties and certain financial instruments at fair value. The principal accounting policies adopted are set out below.

b. Going concern

The financial statements have been prepared on a going concern basis as the Trustees believe that no material uncertainties exist. The Trustees have considered the level of funds held and the expected level of income and expenditure for 12 months from authorising these financial statements. The budgeted income and expenditure is sufficient, with the level of reserves, for the charity to be able to continue as a going concern.

c. Charitable funds

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives unless the funds have been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.

d. Income

Income is recognised when the charity is legally entitled to it after any performance conditions have been met, the amounts can be measured reliably, and it is probable that income will be received.

Legacies

These are recognised on receipt or otherwise if the charity has been notified of an impending distribution, the amount is known, and receipt is expected. If the amount is not known, the legacy is treated as a contingent asset.

Accommodation

Contribution towards maintenance of the flats is based on accommodation of the flats and is recognised when the accommodation is occupied.

Investment property Rental Income

Invoices are raised quarterly based on occupied properties in accordance with the assigned leases. Income is recognised for the periods in which the properties are let.

Investment Income

Investment income from the managed portfolio is recognised upon receipt.

13

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

e. Expenditure

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

Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.

Support costs are those that assist the work of the charity but do not directly represent charitable activities and include office and governance costs. They are incurred directly in support of expenditure on the objects of the charity. Where support costs cannot be directly attributed to particular headings they have been allocated to cost of raising funds and expenditure on charitable activities on a basis consistent with use of the resources..

f. Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in net income/(expenditure) for the year.

Heritage assets are capitalised at their cost. These assets are preserved, and in view of their expected residual value and indeterminate useful life, any periodic depreciation charge would, in the opinion of the trustees, be immaterial.

g. Investment properties

Investment property, which is property held to earn rentals and/or for capital appreciation, is initially recognised at cost, which includes the purchase cost and any directly attributable expenditure. Subsequently it is measured at fair value at the reporting end date. The surplus or deficit on revaluation is recognised in profit or loss.

h. Fixed asset investments

Fixed asset investments are initially measured at transaction price excluding transaction costs, and are subsequently measured at fair value at each reporting date. Changes in fair value are recognised in net income/(expenditure) for the year. Transaction costs are expensed as incurred.

i. Impairment of fixed assets

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

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

k. Employee benefits

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received. Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

l. Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

14

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024

m. Financial instruments

The charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost using the effective interest method.

Financial assets held at amortised cost comprise cash at bank, together with trade and other debtors. Financial liabilities held at amortised cost comprise trade and other creditors.

Investments held as part of an investment portfolio are held at fair value at the Balance Sheet date, with gains and losses being recognised within income and expenditure.

n. Critical accounting estimates and judgements

In the application of the charity’s accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount 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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. The key sources of estimation uncertainty are described in the accounting policies and are summarised below:

Valuation of Investment Properties

These are stated at their estimated fair values based on both a professional valuation and Trustee’s valuations as disclosed in note 12. Commercial Property valuations are prepared by applying an investment yield to the appropriate rental income stream, having regard to the individual asset fundamentals, including inter alia, location, lease length and tenant covenant strength. The relevant investment yield and rental values are determined principally through the use of comparative data.

Useful economic lives of tangible fixed assets

The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on future investments, economic utilisation and the physical condition of the assets. See note 10 for the carrying amount of the tangible fixed assets and note 1(f) for the useful economic lives.

15

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Notes to the Financial Statements

For the year ended 31 December 2024

2.
Charitable activities
Maintenance contributions
Electricity contributions
3.
Investments
Rental income
Commercial property insurance recharges
Income from listed investments
Interest receivable
4.
Expenditure
Staff
costs
£
Cost of raising funds
-
Charitable activity:
Provision of affordable
residential accommodation
146,958
146,958
5.
Cost of raising funds
Investment management fees
Property management fees
Repairs to commercial properties
Other costs related to commercial properties		 fund
£
(10,589)
(8,192)
(18,781)
fund
£
297,290
2,485
178,707
27,653
506,135
Other
direct
costs
£
187,102
416,002
603,104		 £
-
-
-
-
-
Support
costs
£
-
132,923
132,923		 2024
£
205,762
18,375
224,137
2024
£
320,520
-
177,334
36,988
534,842
2024
£
187,102
695,883
882,985
2024
£
51,199
7,643
111,590
16,670
187,102		 2023
£
195,173
10,183
205,356
2023
£
297,290
2,485
178,707
27,653
506,135
2023
£
160,436
549,696
710,132
2023
£
52,134
8,437
53,296
46,569
160,436

16

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Notes to the Financial Statements

For the year ended 31 December 2024

6. Support costs
Telephone
Printing, postage and stationery
Information Technology
Consultancy
St John's Day
Gifts and Honoararia
Miscellaneous expenses
Training costs
Legal fees
Insurance
Depreciation
Governance costs:
Clerk's fees
Legal fees
Audit fees
Audit fees - Under provision in prior year		 2024
£
1,436
2,674
15,648
-
5,471
300
3,655
2,295
9,138
21,527
13,629
36,000
476
11,880
8,794
132,923		 2023
£
3,101
2,256
-
3,995
3,474
2,203
4,537
-
1,514
22,622
13,629
36,000
2,974
10,679
-
106,984

7. Trustees

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year. No Trustee received any amounts for re-imbursement of expenses.

8. Employees

Employment costs
Wages and salaries
Social security costs
Other pension costs
Number of employees
The average monthly number of employees during the year was:
Direct costs
Support costs		 2024
£
131,313
12,852
2,793
146,958
2024
no.
3
2
5		 2023
£
120,597
1,262
3,228
125,087
2023
no.
3
2
5

No employee received remuneration amounting to more than £60,000 (2023: none).

During the year key management personnel received remuneration (including employer's National Insurance and pension contributions) of £60,721 (2023: £46,179) and received benefits of £nil (2023: £nil).

17

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Notes to the Financial Statements

For the year ended 31 December 2024

9. Heritage assets

During the year the trustees arranged for all historical artefacts and heritage assets to be catalogued and valued for insurance purposes. There is no record of either the date these items, the majority of which are many hundred of years old, were acquired or detail of any amounts that may have been paid. In the absence of any record of cost, the trustees have concluded that these should not be recognised in the Financial Statements.

10. Tangible fixed assets

Tangible fixed assets
Cost
At 1 January 2024 and 31 December 2024
Depreciation
At 1 January 2023
Depreciation charge for the year
At 31 December 2024
Net book value
At 31 December 2024
At 31 December 2023
Investment properties
Fair value
At 1 January 2024
Transferred from St Johns Hospital
Transferred from St Nicholas Hospital
Surplus / (deficit) on revaluation
At 31 December 2024		 2024
£
5,397,000
-
-
450,375
5,847,375		 Freehold
property
£
715,465
13,629
13,629
27,258
688,207
701,836
2023
£
-
4,210,000
1,387,000
(200,000)
5,397,000

11. Investment properties

Investment properties were valued by the Trustees at 31 December 2024 at market value.

18

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Notes to the Financial Statements

For the year ended 31 December 2024

12. Fixed asset investments

Market value
At 1 January 2024
Additions
Disposals
Revaluations
Cash and settlements pending
At 31 December 2024
Investments at market value comprise:
United Kingdom
Overseas
Cash on UK deposit
Asset distribution:
Fixed Interest bonds
Equities and Funds
Alternatives
Cash
13.
Debtors
Rentals due on Investment Properties
Other debtors
Prepayments
14.
Creditors: amounts falling due within one year
Accruals and deferred income		 Total
2024
£
6,898,034
656,393
(1,008,893)
413,212
6,958,746
226,102
7,184,848
Total
2024
£
3,924,723
3,034,023
226,102
7,184,848
2024
£
1,622,155
4,598,924
737,666
226,103
7,184,848
2024
£
26,400
1,197
4,165
31,762
2024
£
72,481		 Total
2023
£
6,520,211
1,963,034
(2,002,438)
424,694
6,905,501
36,693
6,942,194
Total
2023
3,450,182
3,455,319
36,693
6,942,194
2023
£
1,698,165
4,316,577
883,292
7,467
6,905,501
2023
£
17,150
9,428
4,084
30,662
2023
£
100,185

19

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS, CANTERBURY

Notes to the Financial Statements

For the year ended 31 December 2024

15.
Deferred income
Deferred income is included within:
Creditors due within one year
Deferred income at 1 January
Release from previous years
Resources deferred in the year
Deferred income at 31 December 2024		 2024
£
42,744
44,986
(44,986)
42,744
42,744		 2023
£
44,986
-
44,986
44,986

At the balance sheet date the charity was holding funds received in advance for Investment Property rental income.

16. Retirement benefit schemes: Defined contribution scheme

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The charge to income and expenditure in respect of defined contribution schemes was £2,793.

17. Restricted funds

Current year

None

Prior year
Chapel fund		 Balance at
1 Jan 23
£
-
-		 Transferred
from St
Nicholas'
Hospital
£
7,716
7,716		 Income
£
-
-		 Expenditure
£
(7,716)
(7,716)		 Balance at
31 Dec 23
£
-
-

Chapel Fund

This fund relates to a bequest from an ex-matron which was to be used for the chapel.

20

THE HOSPITALS OF ST JOHN THE BAPTIST AND ST NICHOLAS,

Notes to the Financial Statements

For the year ended 31 December 2024

18.
Designated funds
Investment Fund
Building Fund		 Balance at
1 Jan 24
£
12,302,501
701,836
13,004,337		 New
designations
£
729,722
-
729,722		 Designations
released
£
-
(13,629)
(13,629)		 Balance at
31 Dec 24
£
13,032,223
688,207
13,720,430

Comparative information in respect of the preceeding period is as follows:

Investment Fund
Building Fund		 Balance at
1 Jan 23
£
-
-
-		 New
designations
£
12,302,501
701,836
13,004,337		 Designations
released
£
-
-
-		 Balance at
31 Dec 23
£
12,302,501
701,836
13,004,337

Investment Fund

This fund represented tangible fixed assets in the form of investment properties and an investment portfolio which were used by the charity for both the purposes of income generation and capital appreciation and thus did not form part of the charity's free reserves.

Building Fund

This fund represented buildings and related fixtures and fittings which were used for charitable use.

19.
Analysis of net assets between funds
Fixed assets
Current assets
Current liabilities
Comparative information in respect of the preceeding period is
Fixed assets
Current assets
Current liabilities		 Designated
funds
£
13,720,430
-
-
13,720,430
as follows:
Designated
funds
£
13,004,337
-
-
13,004,337		 Unrestricted
funds
£
(716,093)
887,329
(100,185)
71,051
Unrestricted
funds
£
-
887,329
(100,185)
787,144		 Total
funds
£
13,004,337
887,329
(100,185)
13,791,481
Total
funds
£
13,004,337
887,329
(100,185)
13,791,481

20. Related party transactions

There were no related party transactions in the period to 31 December 2024 (2023 - None).

21