## **Nightingale Hammerson**
## **Annual Report and Financial Statements**
30 September 2021
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
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Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
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## **CONTENTS**
|**Reports**||
|---|---|
|Reference and administrative information|4|
|Professional advisors|5|
|Chairman’s report|6|
|Report of the directors of the corporate trustee|7|
|Independent auditor’s report|25|
|**Accounts**||
|Consolidated statement of financial activities|29|
|Charity statement of financial activities|30|
|Balance sheet|31|
|Consolidated statement of cash flow|32|
|Notes to the financial statements|33|
## **Additional information**
About the directors 62
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
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## **REFERENCE AND ADMINISTRATIVE INFORMATION**
**Registered Name** Nightingale Hammerson **Registered Charity Number** 207316 governed by a scheme made by the Charity Commission on 30 March 2012 **Principal office** 105 Nightingale Lane London SW12 8NB **Telephone** 020 8673 3495 **Facsimile** 020 8675 2258 **Website** www.nightingalehammerson.org **Life Patron** Dame Vivien Duffield DBE **President** Harvey Rosenblatt **Vice Presidents** Patricia Beecham Susan Grant (from 1 April 2022) **Corporate Trustee** Nightingale Hammerson Trustee Company Limited **Non-Executive Directors and Board Members: Chairman** Melvin Lawson **Honorary Treasurers** David Winton (Retired 31 March 2022) John Reizenstein Paul Althasen (from 1 April 2022) **Other directors** Carolyn Balcombe Colin Green (Retired 31 March 2022) Daniel Dayan Gill Livingston (Appointed 17 February 2022) Harvey Rosenblatt (Retired 31 March 2022) Jacqueline Morris (Retired 16 December 2021) Joanne Black Keith Barnett Paul Althasen (Appointed 28 July 2021) Rosalind Taylor MBE Susan Grant (Retired 31 March 2022)
**Senior Leadership Team:** Helen Simmons - Chief Executive Officer Abiola Yusuf - Director of Finance, Property and ICT Florian Jourdhier - Director of Hospitality and Operations Kevin Noble - Director of People Nuno Santos Lopes - Director of Care
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
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## **PROFESSIONAL ADVISORS**
**Auditor** Buzzacott LLP 130 Wood Street London EC2V 6DL **Principal bankers** National Westminster Bank plc 98 Wandsworth High Street London SW18 4ZD **Investment managers** Veritas Investment Management LLP 90 Long Acre London WC2E 9RA Cazenove Capital 1 London Wall Place London EC2Y 5AU **Solicitors** Bircham Dyson Bell LLP 50 Broadway London SW1H 0BL
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## **CHAIRMAN’S REPORT**
2021 has provided another milestone in our charity’s 181 year history. The senior leadership team continued to guide our skilled and committed care team throughout the pandemic. Their management ensured our provision of outstanding care was maintained and our exceptional care team worked with great compassion to keep residents safe. We sincerely thank everyone for their ongoing commitment to providing our high standard of care during this pandemic; it has not been an easy journey, but everyone’s hard work and dedication is truly commendable and appreciated.
In May, we were honoured to welcome Chief Rabbi Mirvis to Hammerson House, Wohl Campus, to perform the ceremony of Chanukat Habayit (a dedication to the house), ahead of the home’s opening later that month. At the time, the country was observing the ‘rule of six’, as lockdown restrictions were beginning to ease for group gatherings. This small event, however, was extremely memorable and did not distract from marking this a great achievement for our charity.
None of this could have been realised without our hugely supportive and generous donors, patrons and friends of Nightingale Hammerson. The financial security they afford us, year on year, enables us to bridge the ever-growing gap between inadequate local authority funding and meeting our actual costs. This deficit is only be balanced with the generous support of the community, to whom we are incredibly grateful.
Regardless of what the future holds or what the new norm is, we have great trust and confidence that the Nightingale Hammerson team will keep delivering exceptional standard of care. We will continue to focus on our staff and their well-being, attracting the best in our sector, to address the ever growing shortfall in meeting the costs of quality care provision where our residents are in receipt of state funding. Our continued and heartfelt thank you to everyone in the Nightingale Hammerson team.
I would like to offer my thanks to Jacqueline Morris, who retired from the Trustee Board during the year, for her contributions to Nightingale Hammerson. Also retiring from the Trustee Board after the year end date are Harvey Rosenblatt, Colin Green, David Winton and Susan Grant. Their contributions to the charity over the years have been truly invaluable. Harvey will remain the President of the charity while Susan will be joining Patricia Beecham as co Vice President. Also, I would like to welcome Paul Althasen to the Board and as a co Honorary Treasurer.
Furthermore, it is with both sadness and immense gratitude that Helen Simmons will be leaving Nightingale Hammerson as the CEO, after 8 years. Helen has led the team to position the charity as the outstanding and dynamic organisation that it is today, ready for many challenges and opportunities facing the residential care sector. I would like to thank Helen and wish her every success in her next endeavour.
As the country continues to ease its lockdown measures, our priority is to make sure Nightingale Hammerson remains a crown jewel in the community, extending the exceptional care we provide.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE**
The directors of the corporate trustee of Nightingale Hammerson (herein referred to as ‘directors’ or ‘trustees’), who act as the Trustee Board of the Charity, present the statutory report and accounts for the year ended 30 September 2021. These accounts have been prepared in accordance with the accounting policies set out on pages 33 - 38 and comply with the charity’s governing document, applicable laws 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 United Kingdom and Republic of Ireland (FRS 102).
## **Our Corporate Structure**
Nightingale Hammerson’s corporate structure comprises two active entities, both ultimately controlled by the directors of Nightingale Hammerson and included in the consolidated accounts. These are:
- Nightingale Hammerson, a registered charity, providing residential and nursing home facilities at two London sites, Nightingale House, in Clapham, and Hammerson House Wohl Campus, in Hampstead Garden Suburb; and
- Chalkford Limited, a company registered in England and Wales, whose business is property construction.
The Charity also has two dormant entities namely, Camden Jewish Society and The Friends of Nightingale House.
## **Our Charitable Purpose**
Nightingale Hammerson exists to be a leading provider of quality relationship-centred care for older Jewish people. We provide residential, dementia, nursing and palliative care services and treat all our residents with respect and dignity.
Our aim is to provide holistic care and support in a safe and stimulating environment using dedicated and trained staff and volunteers. We do this through the operation of two residential and nursing care homes – Nightingale House, in Clapham, and Hammerson House, Wohl Campus, in Hampstead Garden Suburb.
Nightingale House traces its origins back to 1840 in the East End of London. It moved to its current site in Clapham in the early 1900s and has continued to deliver excellent care. Hammerson House, WOHL Campus, was purpose-built to serve residents with residential, dementia, nursing and palliative care needs, either on a permanent basis or respite. During the year, the Board of trustees agreed a refurbishment budget, for the coming year, to modernise the home and implement some energy efficiency measures in the facility.
Nightingale House currently has 5 active households with the following maximum bed capacity:
|**Households**|**Dedicated Service**|**Maximum Bed**
**Capacity**|
|---|---|---|
|Wine|Residential|45|
|Sherman|Residential Dementia|45|
|Osha|Residential|15|
|Wohl|NursingDementia|40|
|Ronson|Nursing /Palliative Needs|26|
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
Hammerson House was established some 60 years ago, thanks to an exceptional gift from Mrs Sue Hammerson CBE in memory of her late husband Lewis W Hammerson. For many years it was primarily a residential home although offering some nursing beds and sheltered housing. It was closed for redevelopment in 2017 and re-opened in 2021. Hammerson House , Wohl Campus, will provide care to those with residential, dementia, nursing and palliative care needs. Hammerson House, Wohl Campus, has 6 households with the following maximum bed capacity:
|**Households**|**Dedicated Service**|**Maximum Bed**
**Capacity**|
|---|---|---|
|Isaac Wolfson|Residential|20|
|Edith Wolfson|Residential|18|
|Audrey|Residential Dementia|18|
|Pat|Residential Dementia/NursingDementia|20|
|Wigoder|NursingDementia|20|
|Ronson|Nursing /Palliative Care Needs|20|
## **Our Vision**
Our vision is to be an internationally recognised centre of care, excellence and innovation; a jewel in the crown of the Jewish community.
## **Our Mission**
Our mission is to be the leading organisation recognised for providing the best relationship-centred care in the UK and to share what we know with key stakeholders.
## **Our Values**
Our values are Compassion, Respect, Excellence, Dignity, Integrity and Teamwork.
## **Our Statement of Public Benefit**
In setting the aims of the charity, the directors have had regard to the guidance published by the Charity Commission in respect to the provision of public benefit by charities. Nightingale Hammerson is committed to providing the quality level of care to all older Jewish people in need, regardless of their personal financial status. A substantial proportion of residents are in receipt of local authority or other government funding and the charity raises funds from its donors and benefactors in order to meet the ever-growing shortfall between government funding and the costs of quality care provision.
## **Our Trustees**
The directors of the corporate trustee act as the Trustee Board of the Charity and are as set out on Page 4 with brief autobiographies at the end of this report. The Trustee Board meets formally at least five times a year. Between meetings, directors engage with the charity, its volunteers and staff in many and varied ways, such as providing guidance on projects, raising funds, serving formally on committees or supporting new initiatives. Directors are appointed via proposal to the Nominations and Governance Committee and serve 3-yearly terms up to a maximum of 10 years (the first year of service is deemed an induction year).
No director received any remuneration or expenses from the charity during the year.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Our Committees**
During the year, the Trustee Board reviewed its committee structure so as to ensure it can adapt and adequately respond to the evolving challenges facing the charity and the adult social care sector, as a whole.
The main committees of the Board are:
- Nominations and Governance Committee: Provides guidance on governance, lead on the recruitment of new directors (or trustees), reviews terms of office, and leads on directors’ induction, appraisal and training.
- Finance Committee: Oversees all financial matters including the financial risk register, budget setting financial performance and financial planning. This Committee is led by the Joint -Treasurers.
- Care Committee (formerly known as Care Quality Improvement Board): Oversees all care-related matters to ensure that all regulatory requirements are met and care standards adhered to. Our clinical standards and practices are regulated by the Care Quality Commission (CQC).
- Audit and Risk Committee: Oversees the organisational risk assurance framework. It is also responsible for ensuring that the Board is apprised of the principal risks and plans are put in place to mitigate those risks. The membership of this committee includes the Chair of the Care Committee and a Joint Treasurer.
- Property Committee: This committee oversees all major capital projects and property compliance matters, with budgetary oversight from the Treasurers.
- Investment Committee: Oversees the investment portfolio and provides instruction to the investment managers in line with the charity’s investment policy.
- Technology and Innovation Committee (formerly known as the Technology and Innovation Advisory Board): oversees the development and implementation of the ICT strategy.
- Occupancy Committee: Created to oversee residents’ admissions, occupancy levels, service offerings and pricing policy across both homes.
- Service & Quality Committee: Responsible for undertaking service quality audits, reporting and implementation of recommendations to enhance service quality.
- People and Remuneration Committee: Created to oversee the people strategy, recruitment and retention issues, as well as, the appointment and remuneration of the CEO.
- Fundraising & Marketing Committee: Oversees the planning and implementation of fundraising plans, marketing materials and communications externally to boost voluntary donations and capital fundraising income.
In addition to the above, there are other groups set up to provide additional support to the main committees. These are the Fee Subsidy Group, Major Donor Group, Relationship Centred Care Group, Education & Development Group and the Care Risk / Safeguarding Group. The Board of trustees may also on occasion, set up a task and finish group to provide support to the executive team and oversee the delivery of specific tasks, over a specific period of time.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Our Committees (continued)**
Directors, who served during the year, also served on the various committees of the Board as set out below. Every committee and group is supported by lay leaders who are also members of the committees and contribute a wealth of experience and expertise to their respective committees and / or groups.
## **Our People**
This year, we had an average of 346 staff, across both homes. As a result of the Coronavirus (Covid-19) outbreak, both our frontline and office-based teams have had to work in a more flexible way. On occasions, the office-based teams were deployed to provide support to the frontline team so as to ensure there is adequate resources to cover care needs. Recruitment and retention were particularly challenging this year following the pandemic and the introduction of the vaccination law. Whilst we are grateful that we can draw from our pool of ever-supportive volunteers, the senior leadership team developed a renewed approach to pay packages and increased the retention benefits. In addition to attracting new talents at competitive rates, we implemented a new Application Tracking System (ATS) to make our recruitment process more efficient. We continue to explore innovative ways of attracting and retaining talents including enhancing our learning and development programme, offering flexible shifts and seizing opportunities for overseas recruitment.
Our approach to infection control remained strong throughout the year with an increased focus on measures to prevent the re-introduction of the virus into our care homes. These included limiting staff from working across multiple households, creating separate rest rooms for household teams to prevent households mixing and robust PCR and Lateral Flow testing regimes for staff, volunteers, residents and visitors alike.
## **Our Volunteers**
2021 arrived with incredible challenges which impacted the charity and our residents. However we were innovative in the use of volunteers during the pandemic for which we received the award for Innovation in Volunteering during the Covid-19 Pandemic by the Jewish Volunteer Network.
Overall we had 49 active volunteers in Nightingale House with an additional 52 applications from new volunteers for Hammerson House, Wohl Campus, during the months from June to September. This illustrated a positive community response and support for what we do. The volunteers provide an extra layer of support with 4,500 hours of volunteering to further support our residents with engagement activities, religious services, telephone and in-house befriending. Our volunteers also provide administrative support to our teams.
We are indebted to our volunteers, long-standing and new, for their continued support.
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**REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Remuneration of Our Senior Team**
Our Senior Leadership Team (SLT) form the key management personnel of the charity and are responsible for the charity’s affairs on a day to day basis. Remuneration is benchmarked and set with reference to current market conditions so to ensure that the charity can recruit and retain high calibre staff. Annual pay reviews are approved by the Finance Committee following recommendation from the People and Remuneration Committee.
## **Employment Policy**
We strive to be an equal opportunity employer and apply objective criteria to assess merit. We aim to ensure that no job applicant or employee receives less favourable treatment on the grounds of age, race, colour, nationality, religion, ethnic or national origin, gender, marital status, sexual orientation or disability. Selection criteria and procedures are reviewed to ensure individuals are selected, promoted and treated on the basis of their relevant merits and abilities. All employees are given equal opportunity and, where appropriate, special training to enable them to progress. Volunteers are coordinated by the Volunteer Development Manager, with recruitment, management, training and supervision policies in place.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Our Achievements**
## **An Award-Winning Care Home Completed**
In May 2021, Hammerson House, Wohl Campus, our stunning new care home opened its doors to its first residents. Ahead of receiving our first residents, we were honoured to have the Chief Rabbi Mirvis perform the Chanukat Habayit, the dedication of the house, affixing a mezuzah to the main front door. This world class care home provides 116 bedrooms arranged in clusters to create 'households'. Households offer a sense of community and have their own lounges, library spaces, kitchen areas, resident dining areas, Namaste rooms and balconies. As well as being home to its residents, the building was designed to play an important part within the community such as the provision of mixed use spaces for events, an inter-generational space for local nursery children to come together with the care home’s residents, café, hairdresser, shop, therapy suites, commercial catering and laundry facility. This wellthought through setting represents a new standard for older age care. The building was presented with the Best Social Care Development award at the 2021 Building Better Healthcare Awards.
## **Maintained Outstanding Care despite Covid-19**
2021 was not without its challenges. We were pleased we were the first care homes in London to start administering Covid-19 vaccinations to residents and team members in December 2020. We also overcame the impact of the second wave of Covid-19 effectively, with the entire organisation working as one team. Although we had high levels of sickness amongst frontline staff, we were able to deploy our crisis management plan and redeploy office staff to provide support on the front line. We also ensured we maintained a human approach with our infection control measures, in line with government guidance, so as to maintain the health and wellbeing of our residents. We adopted at a very early stage, essential care giver role to support the emotional, social and spiritual wellbeing of our residents during the pandemic. We also managed to deliver a safe visitation programme without the use of visiting screens which many relatives find very restrictive. During a CQC inspection in July 2021, our robust infection control measures were commended.
## **Retained Platinum Rating in End of Life Care**
We continue to hold the highest accreditation, Platinum, in the Gold Standard Framework for End of Life Care. Our aim is always to allow, where humanly possible, every resident who wishes to reach the end of their life in our home rather than in the hospital to do so. We are proud of the fact that we continue to achieve this for the majority of our residents, with about 90% choosing to spend their final moments at Nightingale House.
## **Shared Insights through Researches**
The Network of Care Home Researchers (NoCHR) undertook some research at Nightingale House during the year. A systematic review of intergenerational programmes for people living with dementia and children aged 0-5 was completed, learning from the successes of our intergenerational activities. Furthermore, we launched our inaugural care home research forum in November 2021. The forum welcomed many professionals from within the sector, in person and virtually, sharing real insights on good care practice and leading quality palliative care.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Our Achievements (continued)**
## **Adapted Residents’ Activities**
Over the last year, we have continually adapted our activity programmes responding to the personal choices and preferences of our residents. We risk assessed every activity and put in place protocols to maintain high safety and health standards. We embraced the challenge of finding alternative arrangements, creative and safe enough to promote residents’ engagement. We explored new ways to instil joyfulness, entertain and provide engaging sessions which went a long way in keeping the flame of optimism alive across the organisation.
We were one of the first care homes in the country to break away from Zoom concerts. Through the risk assessed commitment of our musical partners, Live Music Now, Lost Chord and the Jewish Music Institute, we were able to reconnect in person with a wide range of talented musicians and delivered 30 concerts across both sites. One of our donors generously presented us with a beautiful Bechstein Piano and sponsored a series of monthly piano recitals, drawing on the astonishing musical talents of students from the Royal Academy of Music. These events attract an audience of between 50 – 60 residents and help to keep them connected with the wider cultural scene in London.
## **Promoted Individualised Engagement**
Our dedicated team of eight Engagement Leads and our Religious Advisor have prioritised time to meet with residents individually, to address their personal needs. At least 25% of the team’s time was spent engaging with people on a one-to-one basis. Time and again over the last year, our residents have demonstrated their capacity to be resilient, adaptable and strong in the face of the necessary social restrictions and changing protocols. However, after months of staying inside, it has been particularly noticeable that a number of our older people have lost confidence in going out to busy places or areas where they may be at higher risk of contracting Covid-19. This is clearly demonstrated by a 50 per cent reduction in the number of residents who might have previously participated in external outings. We however continue to tailor our engagement activities, addressing the physical, social, spiritual and emotional needs of every resident, encouraging group interactions and outings as suitable.
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**REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Our Plans**
We have been providing exceptional care for over 180 years, yet we hear time and time again from members of the Jewish Community that we are a ‘Hidden Jewel’ in the crown of the community when it comes to care. Nightingale House is the only Jewish Home for older people in the UK to be classified ‘Outstanding’ by the CQC. We therefore want to build on our strengths and successes whilst improving on our weaknesses. We also want to seek opportunities to intentionally remain the centre of excellent care. Our strategic priorities, as approved by the Board, are as follows:
## **1. We will extend our exceptional care**
- By recruiting and retaining an exceptional staff and volunteer team at Hammerson House, Wohl Campus, to deliver care to Nightingale Hammerson's high standards
- By developing a Customer Service Strategy across the organization.
## **2. We will embed Continuous Improvement & Share Expertise globally**
- By embedding our Care Home Education Centre across both sites
- By following the cycle of 'Plan, Do, Study, Act' in all that we do
- By developing a passionate and inspiring Communications Strategy.
## **3. We will be the exemplar for Relationship-Centred Care (RCC)**
- By developing an education programme for RCC
- By listening and responding to what matters most to the 4 key relationship groups - residents, staff, families & volunteers
- By practicing what we preach every day
## **4. We will generate the greatest impact for our residents from our resources**
- By setting a fundraising strategy to increase donations (including a legacy campaign)
- By setting a marketing strategy to increase resident numbers
## **5. We will expand our Innovation programme including the reach of our intergenerational work and use of technology**
- By expanding our intergenerational work to include more age groups and developing an education programme for Intergenerational work
- By working with innovative external partners
- By participating in successful research projects and investing in their implementation in our homes.
## **6. We will be a first class employer**
- By implementing a new people strategy that includes - wellbeing and enhanced staff engagement, pay and reward benchmarking, literacy and technology support, diversity and inclusion
- By striving to achieve Investors in People Gold Award
- By defining career paths for all staff team members including through our own development programme.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Financial Review**
This review focuses on the year ended 30 September 2021. It remained a challenging year for us with the ongoing impact of the pandemic on the community we serve, our operations and our supporters. At the end of the year, our total income from our charitable activities was £10.4m. This was slightly more than last year. Although, there was a decline in resident number at Nightingale House, the re-opening of our second care home, Hammerson House, Wohl Campus, contributed to the increase in income, as well as, the increase in one-to-one care provision. At the year end, we had 121 residents at Nightingale House and 43 at Hammerson House, Wohl Campus.
In May 2021, we welcomed our first residents to Hammerson House, Wohl Campus. Our operational costs increased as a result including staffing costs, catering and accommodation costs. Our average staff number increased from 333 last year to 346. The majority of the increase was to support direct care provision and frontline services. Our vision continues to be extending exceptional care services to Hammerson House, Wohl Campus, and delivering personalised Relationship Centred Care across both homes. To maximise resources, we adopted a cross-site working policy for some administrative staff and the SLT.
Our operating deficit at the end of the year was £4.2m (2020: £3.4m), a 24% increase on last year’s performance. This was to be expected given it was the first year of opening our second care home. We received £0.6m (2020: £0.5m) in government grants to mitigate the increased cost of infection control across both homes and to support payment to staff isolating in line with HMRC Coronavirus Job Retention Scheme. Keeping abreast with government guidelines, we maintained a balance between the health and well-being of our residents and staff, upholding service standards in an infection-controlled environment. We continued with our rigorous testing regimes and redeployed some of our administrative staff to support essential services, enabling us to emerge as a stronger organisation.
||**2021**|2020|
|---|---|---|
||**£m**|£m|
|Income from care provision|**10.4**|10.0|
|Cost of care provision including depreciation|**(15.6)**|(14.0)|
|Government related infection control and furlough grants|**0.6**|**0.5**|
|Other operatingincome|**0.4**|**0.1**|
|**Operating deficit**|**(4.2)**|**(3.4)**|
|Net fundraising income (excluding emergency appeal, legacies & capital
donations)|**1.0**|1.8|
|Legacies|**0.9**|0.3|
|Net income from investments|**0.2**|0.3|
|**(Deficit) before investmentgains and capital fundraising**|**(2.1)**|**(1.0)**|
|Coronavirus Jewish Homes Emergency Appeal|-|
0.8|
|Capital donations for Hammerson House, WOHL Campus|1.7|2.4|
|Realised gains / (losses) from investments|0.3|(0.3)|
|Unrealised gains from investments|3.1|1.6|
|Actuarial gains from pension scheme|0.8|-|
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Financial Review (continued)**
We received a net fundraising income of £1m in the year which was 44% less than prior year mainly resulting from not holding the biennial charity dinner and the cancellation of fundraising events. We however saw a significant increase in legacy income from £0.3m to £0.9m (including accrued legacies). There was a decline in investment income to £0.2m (2020: £0.3m) and the deficit before investment gains and capital donations was £2.1m (2020: £1m).
## _**Where our income came from**_
**----- Start of picture text -----**
Income from care
services
66%
**----- End of picture text -----**
**----- Start of picture text -----**
Government grant
4%
Other sources
2%
Fundraising income
15%
Restricted donations
11%
Investment income
2%
**----- End of picture text -----**
## _**Where the money was spent**_
**----- Start of picture text -----**
Catering, Medical & Welfare
11%
Accommodation costs
9%
Administrative & Support
13%
Direct staff costs
52% Depreciation
11%
Fundraising costs
3%
Investment fees
1%
**----- End of picture text -----**
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Investment Policy and Performance**
It was a very favourable year for the charity’s investments. Realised and unrealised gains on investment totalled £3.4m (2020: £1.3m). Income realised from investment was however low at £0.2m, in comparison to the £0.3m realised in 2019/20. The main reason for the drop in investment income can be attributed to the withdrawal of funds from money markets and short term deposits to complete the Hammerson House, Wohl Campus, development. Over £20m of the charity’s long term investments was divested, over a 4 year period, to fund the design and build of Hammerson House, Wohl Campus, with the remaining £20m raised from generous donations within the community.
As part of maintaining good financial stewardship of the charity’s resources, the Board of Trustees appoints two fund management firms with complementary approaches to manage its investment portfolio. The Board sets the investment mandate, which is aimed at achieving real returns over the long term, on a total return basis with an emphasis on capital growth. The Board’s risk appetite is set as medium risk. The fund managers have full discretion to invest the charity’s funds according to the investment mandate and the set target of attaining (or outperforming) UK CPI +3%, net of all fees, on an annualised basis over the long term. The Investment Committee receives periodic updates from both fund managers and provides an update on performance at every Trustee Board meeting.
Although the results in the year were good, there is some caution as to whether the fund managers could continue to deliver such strong growth given the likely returns from financial assets in the coming years. The managers made various changes to the positioning of their respective portfolios over the year, in accordance with the mandate and their views of the outlook for markets, sectors and the underlying performance of the businesses and funds in which the portfolios are invested. The portfolios remain broadly diversified, although one of the managers has a greater exposure to the technology and healthcare sectors, which has helped enhance their portfolio returns in recent years.
Total investment portfolio as at 30 September 2021 was £28.1m (2020: £24.5m), excluding the managed investment property valued at £0.33m (2020: £0.3m). Asset allocation is illustrated below:
## Asset Allocation
**----- Start of picture text -----**
18% Fixed Interest
69% Equities
9% Alternatives
2% Multi-assets Funds
2% Cash
**----- End of picture text -----**
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**REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Free Reserves**
An important role for our Board of Trustees is to manage the long-term sustainability of the charity. We have therefore set our reserves policy to:
1. partly fund the funding gap between fee income and cost of care
2. ensure we are resilient and have the financial capability to momentarily respond to unforeseen financial difficulties; a pandemic outbreak being a case in point
3. provide resources to fund the operational start-up costs at Hammerson House, Wohl Campus
4. allow investment in the refurbishment of Nightingale House, technological advancement, energy efficiency schemes and estates and facilities management
5. enable future expansion of our services to the elderly members of the community.
We have calculated our free reserves as that part of the charity’s unrestricted income funds that is freely available after taking account of the tangible fixed assets, restricted, endowment and designated funds earmarked for specific projects. We have considered that given the nature of the charity’s work, the continuing fight against the Covid-19 pandemic, political uncertainty around social care funding, economic uncertainties, impact on disposable income, stock market volatilities and the growing demand for elderly care, the level of free reserves should be equivalent to at least 6 to 12 months’ expenditure.
We are also of the opinion that the free reserves should afford the charity the flexibility to cover temporary shortfalls in incoming resources either due to the timing difference in cash flow and funding shortfall. For the purpose of assessing the adequacy of the free reserves, we have taken into account the full run rate expenditure for Hammerson House, Wohl Campus, of £11m and the 2021/22 operating costs at Nightingale House of £12m. Therefore, free reserves as at the end of 2020/21 of £21m (2020: £18.1m) were in line with requirement.
## **Going Concern**
The global outbreak of the Covid-19 virus pandemic has led to unprecedented uncertainty for all organisations. We have however taken this situation, difficult as it is, as an opportunity to review our strategic focus and business assumptions. An extensive financial modelling exercise was done in prior year, and more recently refreshed, taking into account the charity’s current operating landscape (such as rising costs due to staff wages, inflation and energy costs, refurbishment cost for Nightingale House and challenges with recruitment and retention). Despite the financial risks, the charity continues to benefit from support from the community, high performing investment portfolios and government social care grants. The 3 and 10-year financial forecasts shows the charity’s ability to meet its financial commitment for the foreseeable future. As such, the Board of Trustees is comfortable that the accounts have been prepared on a going concern basis.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Fundraising for our Charitable Objectives**
With the ever more complex care needs and the impact of government initiatives such as the National Living Wage and the pension reform, the need to fund-raise to support core funding has never been greater. Local authorities and the NHS, who fund a substantial proportion of our residents, are operating under ever-tightening budgetary constraints. In order to provide the same level of care to all residents, we have to raise in the region of £2.5m per annum through fundraising activities and legacies. This amount will only increase as the differential grows between costs of care on the one hand and government funding on the other.
Our donors and benefactors have continued to give generously, for which we are very grateful. We raised £1.4m (gross fundraising income) in the year to support day to day operations with an additional £1.7m received in respect of the Hammerson House, Wohl Campus, building project. The publicity within the community surrounding the Hammerson House, Wohl Campus, development created a natural opportunity for us to raise awareness of what makes Nightingale Hammerson special.
Our heartfelt thanks go to all our donors.
## **Our Commitment to the Fundraising Code of Practice**
Nightingale Hammerson is registered with the Fundraising Regulator and adheres to the Code of Fundraising Practice. We aim to achieve best practice in the way we communicate with our donors and other supporters. Our supporters are at the heart of our ability to fulfil our mission. Following continued scrutiny of fundraising practices across the sector, we have reviewed our systems to ensure that formal consent is gained from all those whom we wish to contact for fundraising purposes. By reviewing our processes, we aim to achieve the standards set out in the Fundraising Code of Practice and ensure compliance with the General Data Protection Regulation. We do not employ third party professional fundraisers or commercial organisations to fundraise on our behalf. We recently undertook a crowd funding fundraising event where the service of a third party charity was employed to provide the technology and campaign expertise needed to make the event a success. We remained the Data Controller and ensured appropriate due diligence were undertaken prior to engaging that firm.
Also in compliance with the Fundraising Code of Practice, we do not take part in any intrusive or highpressure fundraising activities such as street fundraising, door-to-door or cold-calling. We listen to feedback and investigate any complaints regarding our fundraising activities. During the year, we received no complaints about our fundraising activities.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Principal Risks and Uncertainty**
## **Our Approach to Risk Management**
Risk is inherent in our operations and the decisions we make in pursuit of our charitable goals. The Board of Trustees is responsible for the nature and extent of the principal risks that we are willing to take. It reviews the principal risks to the organisation and ensures that risks are effectively managed through our governance structure. The Board delegates the detailed review of operational risks to the Audit and Risk Committee. Clinical risk assessments continue to be overseen by the Care Committee whilst financial and investment risks are overseen by the Finance and Investment Committees, respectively. Looking ahead, a new risk governance structure and a revised approach to risk management will be put in place. The revised approach will ensure both financial and non-financial risk registers are reviewed by the Audit and Risk Committee. Our principal risk portfolio will continue to be reviewed by the Board as relating to our strategic priorities. The sub-committees of the Board will also continue to have focus on more in-depth management of our day-to-day responses to risks. Our principal risks with mitigating actions are:
## **Coronavirus**
The Covid-19 pandemic remains the most significant external risk facing the charity - impacting on our residents, staff and volunteers. Multiple aspects of our operations have had to be adapted in keeping with government’s guidelines on infection control, safety, hygiene and social distancing. The use of PPE remained compulsory and we maintained a robust Covid-19 testing. SLT held on a weekly basis Covid19 meetings reviewing infection control risk assessments, outcomes from the testing regimes, changes in government guidance and evaluating the effectiveness of the extra measures put in place. Regular updates from the Covid-19 meetings were also discussed at the Care Risk Committee and the Board. We kept our residents and relatives up to date regularly via the fortnightly Relatives Newsletters and we also held a virtual meeting with the relatives of our residents. We have embraced the opportunity for our workforce (staff and volunteers) to receive the booster jab and continue to monitor its uptake amongst residents as well.
## **Recruitment and Retention**
Recruitment and retention, although it is a known challenge within the care sector, became a bigger risk to us with the introduction of the compulsory vaccination for care homes and the opening of Hammerson House, Wohl Campus. This impacted on our ability to take on new residents as planned, resulting in loss of income opportunities. We also saw an increase in the use of agency staff and overtime payments. To mitigate this risk, the SLT has reviewed and proposed a new pay and reward structure. This will enhance the starting wage of our frontline staff and also offer new benefits to enhance retention and staff referral. A new People Strategy was also developed and presented to the Board. This will build on the new pay and reward structure as well as promote wellbeing at work to reduce absenteeism, diversity and inclusion and developing career pathways.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Principal Risks and Uncertainty (continued)**
## **Fire**
With a large number of frail and often immobile residents, managing fire risk is a key priority for us. Detailed fire risk assessments are undertaken at all levels across the organisation. This includes monthly fire drills in households, fire safety awareness for all staff, periodic fire risk assessments and ensuring the designated fire marshals have the necessary training. During the year, three fire risk assessments were completed at both homes, two at Hammerson House, Wohl Campus, (pre-occupational and occupational) and one at Nightingale House. Recommendations from both reports have been looked into and either have been implemented or are to be implemented. A follow-up review is, however, necessary at Nightingale House and this has been commissioned to take place in early 2022. Furthermore, each resident has a Personal Emergency Evacuation Plan (PEEP) which takes into account their particular needs in relation to fire evacuation. Fire alarms are tested weekly and periodic fire drills are done. Reports on fire drills, fire incidents and fire risk assessments are reported at the Audit and Risk Committee.
## **Financial**
The pandemic has impacted both our ability to fill bed spaces and generate fundraising income through the well-known and well-tested pre-pandemic fundraising activities. Furthermore, with the launch of the Adult Social Care Reform White Paper, there may be some financial challenges in addition to the budgetary squeeze on local government funding. A detailed financial risk register is maintained and overseen by the Finance Committee. Falling levels, in real terms, of government funding create a significant risk for the charity and the Finance Committee continues to review ways to improve our financial resilience in order to ensure sustainability. Energy prices have also surged post balance sheet date, amongst other rises in operational costs. We continue to assess the impact of these on the bottomline through the 3 and 10 year financial model. Furthermore, our fundraising and marketing strategy has been revised to ensure the charity can adapt its fundraising approach.
## **Health and Safety**
Our approach to maintaining a good Health and Safety practice at work is very hands-on. We established three core Health and Safety groups to focus each on operations, care and property maintenance. These core groups hold quarterly meetings and provide updates to the Principal Health and Safety Committee which also meets quarterly. Due to the Covid-19 pandemic, the focus of the core groups and committee was more on mitigating the spread of the virus and ensuring the recommended hygiene practices were adopted across the organisation. Regular risk assessments are carried out and remedial action taken where needed. Code-operated doors protect all residents from areas which may be hazardous, such as open staircases. Areas of high risk, such as laundry and kitchen, are only accessible by authorised staff. All staff receive health and safety training specific to their areas of responsibility.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Streamlined Energy and Carbon Reporting**
We remain committed to measuring and reducing our energy consumption and the carbon impact of our operations on the physical environment. Whilst we acknowledge that this is a journey for us and would require some initial investments, we are investing in launching our net zero carbon strategy in 2022. We recognise the need to first look within our own direct operations in order to understand and reduce indirect emissions. We therefore appointed a leading carbon and energy management company to independently assess our Greenhouse Gas (GHG) emissions in accordance with the UK Government’s ‘Environmental Reporting Guidelines: Including Streamlined Energy and Carbon Reporting Guidance’.
The GHG emissions have been assessed following the ISO 14064-1:2018 standard and has used the 2021 emission conversion factors published by Department for Environment, Food and Rural Affairs (Defra) and the Department for Business, Energy & Industrial Strategy (BEIS). The assessment follows the location-based approach for assessing Scope 2 emissions from electricity usage. As part of the required disclosure, the scope of emission were categorised as:
- Scope 1: comprises direct emissions associated with the combustion of fuel (natural gas) as well as additional emissions sources such as refrigerants and owned transport (the minivan).
- Scope 2: comprises primarily indirect energy consumption including consumption of purchased electricity.
- Scope 3: relates to other indirect emissions occurring as a consequence of activities not owned or controlled by the charity e.g. service-related travel.
This was our second carbon footprint analysis and we have used last year’s analysis as the base year. It is however important to note that last year’s analysis was only about Nightingale House. The table below shows the combined emissions for both Nightingale and Hammerson House in 2020/21 and for Nightingale House only in 2019/20.
||Activity|Activity|2020-21|2019-20|
|---|---|---|---|---|
|Scope|||Tonnes CO2e|Tonnes CO2e|
|Scope 1|Sitegas||1030|580|
||Refrigerants||-|17|
||Van travel||6|0.2|
||Scope 1 total||1,036|597.2|
|Scope 2|Electricity generation||427|402|
||Scope 2 total||427|402|
|Scope 3|Energytransmission and distribution||37|35|
|||Scope 3 total|37|35|
|**Total tonnes of CO2e**|||**1,500**|**1,035**|
|Tonnes of CO2eper employee|||4|3|
|Tonnes of CO2eper £m turnover|||103|42|
|Total energyconsumption(kWh)*|||7,105,661|4,882,296|
CO2e = Carbon O2 Emission
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **Streamlined Energy and Carbon Reporting (continued)**
The data shows our energy consumption increased from 1,035tonnes to 1,500 tonnes CO2e at the end of September 2021. One of the main contributing factors being the inclusion of Hammerson House, WOHL Campus, in this year’s analysis. As part of our journey to an energy efficient organisation, the design and build of Hammerson House, Wohl Campus, incorporated a Combined Heat and Power (CHP) system; lighting sensors fully DALI addressable with daylight dimming, Shabbat setting and full programming; low level hand dryers; Electrical Vehicle Charging points for electric vehicles and low Specific Fan Power (SFP) within the air handling units to reduce energy usage.
The data also shows that natural gas consumption represents 69% of the total emissions, whilst electricity consumption represents a further 31% of the emissions. Therefore, site energy consumption contributes to the bulk of the total footprint at 99.6%. We have therefore developed our energy efficiency and sustainability policy to focus on:
- _**Measuring our carbon footprint:**_
- We will continue to measure our carbon footprint and report this as part of the charity’s annual reports, annual review and on our website. Measuring our emissions will enable us to analyse our consumption levels and set SMART targets to reduce levels year on year.
## _**Going green:**_
We will seek ways of making our homes and offices more environmentally friendly such as choosing an energy provider that uses renewable energy or use low carbon alternatives where safe. As part of our property refurbishment programme, we will replace our fluorescents with LED lighting, install lighting controls and sensors and promote switching off lights when not needed. We will also encourage staff to switch off computers and any other appliances, improve our Heating, Ventilation and Air-Conditioning (HVAC) systems and look to re-schedule timing of some activities, where practicable, to conserve energy.
##
## _**Reduce, reuse, recycle:**_
We will recycle what we can, reduce what we use and reuse or upcycle items. We promote recycling by ensuring there are recycling bins around the homes and offices. We will also seek to move away from single use plastics as best as possible.
##
## _**Our Stakeholders:**_
We will maximise our residents’ access to the natural environment for the benefit of health and wellbeing. We will seek donors and partners with energy efficiency focus to support us on our journey to net zero carbon. Where net zero carbon emission cannot be achieved, we will invest in projects that allow the charity to offset its net emissions. We will ask our suppliers and contractors about how they are demonstrating their commitment to energy efficiency and sustainability as part of our procurement processes.
##
## _**Reduce your digital footprint:**_
We will endeavour to reduce our digital footprint too by assessing how environmentally friendly our website and digital products are, promoting a digital culture above print, using recycled papers for our printing and embracing other digital energy efficiency initiatives. We will embrace new technologies and enhance existing technologies wherever possible.
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## **REPORT OF THE DIRECTORS OF THE CORPORATE TRUSTEE (CONTINUED)**
## **STATEMENT OF DIRECTORS’ RESPONSIBILITIES**
The directors are responsible for preparing the report of the directors of the corporate trustee and accounts 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 directors to prepare accounts for each financial year which give a true and fair view of the state of affairs of the charity, of the incoming resources and application of resources of the charity for that period.
In preparing these accounts, the directors are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their financial statements in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102);
- make judgements and estimates that are reasonable and prudent;
- state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts; and
- prepare the accounts on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The directors are responsible for keeping proper accounting records that are sufficient to show and explain the charity’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the accounts comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the charity’s governing document.
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.
Director: Melvin Lawson
Date of approval: 31 March 2022
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## **INDEPENDENT AUDITOR’S REPORT**
Independent auditor’s report to the directors of the corporate trustee of Nightingale Hammerson
## **Opinion**
We have audited the accounts of Nightingale Hammerson (the ‘parent charity’) and its subsidiaries (the ‘group’) for the year ended 30 September 2021 which comprise the group and parent charity statement of financial activities, the group and charity balance sheets, the consolidated statement of cash flows, the principal accounting policies and the notes to the accounts. 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 accounts:
- give a true and fair view of the state of the group’s and of the parent charity’s affairs as at 30 September 2021 and of their income and expenditure for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **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 accounts section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the accounts 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 accounts, we have concluded that the directors of the corporate trustee's use of the going concern basis of accounting in the preparation of the accounts 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 and parent charity’s ability to continue as a going concern for a period of at least twelve months from when the accounts are authorised for issue.
Our responsibilities and the responsibilities of the directors of the corporate trustee with respect to going concern are described in the relevant sections of this report.
## **Other information**
The directors of the corporate trustee are responsible for the other information. The other information comprises the information included in the annual report and consolidated accounts, other than the accounts and our auditor’s report thereon. Our opinion on the accounts does not cover the other information and we do not express any form of assurance conclusion thereon.
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## **INDEPENDENT AUDITOR’S REPORT (CONTINUED)**
In connection with our audit of the accounts, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the accounts or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the accounts 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.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters in relation to which the Charities Act 2011 requires us to report to you if, in our opinion:
- the information given in the report of the directors of the corporate trustee is inconsistent in any material respect with the accounts; or
- sufficient accounting records have not been kept by the parent charity; or
- the parent charity accounts are not in agreement with the accounting records and returns; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of directors of the corporate trustee**
As explained more fully in the directors’ responsibilities statement, the directors of the corporate trustee are responsible for the preparation of the accounts and for being satisfied that they give a true and fair view, and for such internal control as the directors of the corporate trustee determine is necessary to enable the preparation of accounts that are free from material misstatement, whether due to fraud or error.
In preparing the accounts, the directors of the corporate trustee are responsible for assessing the group’s and the parent 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 directors of the corporate trustee either intend to liquidate the group or the parent charity or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the accounts**
Our objectives are to obtain reasonable assurance about whether the accounts 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 accounts.
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:
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## **INDEPENDENT AUDITOR’S REPORT (CONTINUED)**
Our approach to identifying and assessing the risks of material misstatements in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; and
- we obtained an understanding of the legal and regulatory frameworks that are applicable to the charity and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework (Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011).
We assessed the susceptibility of the charity’s financial statements to material misstatement, including obtaining and understanding of how fraud might occur, by:
- making enquiries of management as to their knowledge of actual, suspected and alleged fraud; and
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
To address the risk of fraud through management bias and override of controls, we:
- performed analytical procedures to identify any unusual or unexpected relationships;
- reviewed the new bad debt provision made in the year to ensure all transactions provided for were reasonable to provide for;
- carried out substantive testing of expenditure including the authorization thereof;
- tested journal entries to identify unusual transactions; and
- assessed whether judgements and assumptions made in determining the accounting estimate for the property valuations were indicative of potential bias.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
- review of the minutes of meetings of those charged with governance; and
- enquiring of management as to actual and potential litigation and claims.
## **Auditor’s responsibilities for the audit of the accounts (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 directors of the corporate trustee and other management and the inspection of regulatory and legal correspondence, if any.
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## **INDEPENDENT AUDITOR’S REPORT (CONTINUED)**
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 accounts is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
## **Use of our report**
This report is made solely to the directors of the corporate trustee, as a body, in accordance with section 144 of the Charities Act 2011 and with regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the directors of the corporate trustee those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the directors of the corporate trustee as a body, for our audit work, for this report, or for the opinions we have formed.
**Buzzacott LLP Statutory Auditor 130 Wood Street London**
**----- Start of picture text -----**
27 April 2022
**----- End of picture text -----**
**EC2V 6DL**
Buzzacott LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006
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## **CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES**
For the year ended 30 September 2021
||**Unrestricted Funds**|
|---|---|
||**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021**
**Total**
**Funds**
**2020**
**Total**
**Funds**|
|Note|£'000
£'000
£'000
**£'000**
£'000|
|**Income from:**||
|Donations and legacies||
|Revenue purposes (including Emergency Appeal)
2|2,104
-
180
**2,284**
3,542|
|Capital purposes
2|-
-
1,669
**1,669**
2,415|
|Investments and short term deposits
3|290
-
44
**334**
489|
|Charitable activities||
|Provision of residential and nursing care
4|10,365
-
-
**10,365**
9,975|
|Government's infection control and furlough
grants|24
-
589
**613**
486|
|Other sources|360
-
-
**360**
76|
|**Total Income**|13,143
-
2,482
**15,625**
16,983|
|**Expenditure on:**||
|Raising funds||
|Generating donations and legacies
5|399
-
-
**399**
637|
|Investment management costs|160
-
**-**
**160**
142|
|Charitable activities||
|Provision of residential and nursingcare
6|13,100
1,159
1,277
**15,536**
13,993|
|**Total expenditure**|13,659
1,159
1,277
**16,095**
14,772|
|||
|Net (expenditure) / income for the year before
transfers and gains (losses) on investments|**(516)**
**(1,159)**
**1,205**
**(470)**
**2,211**|
|Transfers between funds
19|(15)
3,821
(3,806)
**-**
-|
|Gains on investments||
|Realised gains on disposal of investments
16|350
-
-
**350**
(322)|
|Unrealisedgains on investments
16|3,114
-
-
**3,114**
1,637|
|**Net income(expenditure) for theyear**|**2,933**
**2,662**
**(2,601)**
**2,994**
**3,526**|
|||
|**Other recognised gains and losses**||
|Actuarialgains onpension scheme|770
-
-
**770**
(29)|
|**Net movement in funds**|**3,703**
**2,662**
**(2,601)**
**3,764**
**3,497**|
|||
|Funds brought forward at 1 October 2020|19,270
52,662
17,498
**89,430**
85,933|
|||
|**Funds carried forward 30 September 2021**
21|**22,973**
**55,324**
**14,897**
**93,194**
**89,430**|
The consolidated statement of financial activities includes the results of Nightingale Hammerson, The Friends of Nightingale House, Chalkford Limited and Camden Jewish Society.
All of the figures included in the above consolidated statement of financial activities derive from continuing activities of the charity and its subsidiaries.
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## **CHARITY STATEMENT OF FINANCIAL ACTIVITIES**
For the year ended 30 September 2021
## **Unrestricted Funds**
||**Unrestricted Funds**|
|---|---|
||**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021**
**Total**
**Funds**
**2020**
**Total**
**Funds**|
|Note|£'000
£'000
£'000
**£'000**
£'000|
|**Income from:**||
|Donations and legacies||
|Revenue purposes (including Emergency
Appeal)
2|2,346
-
180
**2,526**
4,410|
|Capital purposes
2|-
-
1,669
**1,669**
2,415|
|Investments and short term deposits
3|295
-
44
**339**
494|
|Charitable activities||
|_Provision of residential and nursing care_
4|10,365
-
-
**10,365**
9,975|
|Government's infection control and furlough
grants|24
-
589
**613**
486|
|Other sources|377
-
-
**377**
116|
|**Total Income**|13,407
-
2,482
**15,889**
17,896|
|**Expenditure on:**||
|Raising funds||
|Generating donations and legacies
5|399
-
-
**399**
637|
|Investment management costs|160
-
-
**160**
142|
|Charitable activities|-
-
-|
|Provision of residential and nursingcare
6|13,100
1,159
1,277
**15,536**
13,993|
|**Total expenditure**|13,659
1,159
1,277
**16,095**
14,772|
|||
|Net (expenditure) / income for the year before
transfers and gains (losses) on investments|**(252)**
**(1,159)**
**1,205**
**(206)**
**3,124**|
|Transfers between funds
19|(302)
4,108
(3,806)
-
-|
|Gains on investments||
|Realised gains on disposal of investments
16|350
-
-
**350**
(322)|
|Unrealisedgains on listed investments
16|3,114
-
-
**3,114**
1,637|
|**Net income(expenditure) for theyear**|**2,910**
**2,949**
**(2,601)**
**3,258**
**4,439**|
|||
|**Other recognised gains and losses**||
|Actuarialgains onpension scheme|770
-
-
**770**
(29)|
|**Net movement in funds**|**3,680**
**2,949**
**(2,601)**
**4,028**
**4,410**|
|||
|Funds brought forward at 1 October 2020|19,271
54,597
17,509
**91,377**
86,967|
|||
|**Funds carried forward 30 September 21**
21|**22,951**
**57,546**
**14,908**
**95,405**
**91,377**|
All the figures included in the above statement of financial activities derive from continuing activities of the charity.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
30
## **BALANCE SHEET**
As at 30 September 2021
||**2021**
**2020**|
|---|---|
||**Group**
**Charity**
Group
Charity|
|Note|**£'000**
**£'000**
£'000
£'000|
|**Fixed assets**||
|Tangible assets
14|**52,056**
**54,291**
46,524
48,473|
|Investments
16|**28,441**
**28,442**
24,804
24,805|
||**80,497**
**82,733**
71,328
73,278|
|**Current assets**||
|Debtors
17|**3,888**
**4,531**
5,867
6,211|
|Short term deposits|**4,518**
**4,518**
8,825
8,825|
|Cash at bank and in hand|**5,351**
**5,312**
6,311
6,292|
||**13,757**
**14,361**
21,003
21,328|
|**Creditors**:||
|amount falling due within one year
18|**(2,976)**
**(3,605)**
(4,047)
(4,375)|
|||
|**Net current assets**|**10,781**
**10,756**
**16,956**
**16,953**|
|||
|**Total assets less current liabilities**|**91,278**
**93,489**
88,284
90,231|
|||
|Pension scheme asset
23|**1,916**
**1,916**
1,146
1,146|
|**Total net assets**|**93,194**
**95,405**
**89,430**
**91,377**|
|||
|**Funds and reserves**||
|**Charitable funds**||
|Restricted funds
19|**14,897**
**14,907**
17,498
17,509|
|Unrestricted funds||
|Designated funds||
|Hammerson House building fund
20|**-**
**-**
3,549
3,549|
|Nightingale House building fund
20|**8,500**
**8,500**
8,500
8,500|
|Maintenance fund
20|**3,500**
**3,500**
3,500
3,500|
|Tangible fixed assets fund|**43,324**
**45,546**
37,113
39,048|
||**55,324**
**57,546**
52,662
54,597|
|||
|General fund|**21,057**
**21,036**
18,124
18,125|
|Pension reserve
23|**1,916**
**1,916**
1,146
1,146|
|21|**93,194**
**95,405**
**89,430**
**91,377**|
Approved by the directors of the corporate trustee And signed on their behalf by: Melvin Lawson
Director of corporate trustee Approved on: 31 March 2022
Nightingale Hammerson Charity Reg. No. 207316
31
Trustees Report and Annual Accounts for Year Ended 30 September 2021
## **CONSOLIDATED STATEMENTS OF CASH FLOW**
For the year ended 30 September 2021
|||**2021**|**2020**|
|---|---|---|---|
|||**£'000**|£'000|
|**Cash flows from operating activities**||||
|Net Cash (used in) provided by operating activities|A|**335**|168|
|||||
|**Cash flows from investing activities**||||
|Investment income||**347**|641|
|Income from capital fundraising||**3,806**|3,439|
|Purchase of tangible fixed assets||**(9,585)**|(17,928)|
|Proceeds from disposal of investments||**6,367**|22,299|
|Purchase of investments||**(6,342)**|(21,940)|
|**Net cashflow from investment activities**||**(5,407)**|**(13,489)**|
|||||
|Change in cash and cash equivalents in the year||**(5,072)**|(13,321)|
|Cash and cash equivalents at 1 October 2020||**15,621**|28,942|
|**Cash and cash equivalents at 30 September 2021**|B|**10,549**|**15,621**|
## **Notes to the consolidated statement of cash flows for the year to 30 Sept 2021**
A Reconciliation of net movement in funds to net cash (used in) provided by operating activities
||||
**2021**|**2020**|
|---|---|---|---|---|
||||**£'000**|£'000|
||**Net movements in funds (as per the statement of financial activities)**||**3,764**|3,497|
||Adjustments for:||||
||Depreciation charge||**1,840**|1,023|
||Gains on listed investments||**(3,464)**|(1,315)|
||Investment income||**(334)**|(489)|
||(Increase) decrease in value of pension asset||**(770)**|29|
||Income from capital fundraising||**(1,669)**|(2,415)|
||(Increase) decrease in debtors||**(173)**|(77)|
||Increase(decrease)in creditors||**1,141**|
(85)|
||**Net cash(used in) provided by operating activities**||**335**|**168**|
||B Analysis of cash and cash equivalents|||||||
|---|---|---|---|---|---|---|---|
||||||**2021**||**2020**|
||||||**£'000**||£'000|
||Cash at bank and in hand||||**5,351**||6,311|
||Short term deposits||||**4,518**||8,825|
||Cash held with investment managers||||**680**||485|
||**Total cash and cash equivalents**||||**10,549**||**15,621**|
No separate reconciliation of net debt has been prepared as there is no difference between the net cash (debt) of the group and the above cash and cash equivalents
Nightingale Hammerson Charity Reg. No. 207316
32
Trustees Report and Annual Accounts for Year Ended 30 September 2021
**NOTES TO THE FINANCIAL STATEMENTS**
## **1. PRINCIPAL ACCOUNTING POLICIES**
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.
## **Basis of preparation**
These accounts have been prepared for the year to 30 September 2021 with comparative information given in respect to the year to 30 September 2020.
The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.
The accounts 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 United Kingdom and Republic of Ireland (Charities SORP FRS 102) first issued on 16 July 2014 with second edition issued in October 2019, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The charity constitutes a public benefit entity as defined by FRS 102.
The accounts are presented in sterling and rounded to the nearest thousand pounds.
## **Going Concern**
The directors, after reviewing the charity’s financial performance, operating budget, investment plans, fundraising strategy and financial forecasts, consider that the charity have sufficient funding to continue to provide residential, nursing, dementia and palliative care for the foreseeable future. Given the impact of Covid-19 on the charity, the directors have assessed the prospects of the charity over a three-year period to September 2024. This has taken into account the business models, strategic aims, risks and mitigations of the micro and macro-economic factors as affecting the charity. Based on this assessment, the directors continue to adopt the going concern basis in preparing the accounts.
In determining the going concern basis of preparing the accounts for the year ended 30 September 2021, the directors are required to consider whether the charity can continue in operational existence for a period of at least 12 months from the approval of the accounts. As at 30 September 2021, the total assets less current liabilities was £91m while the total net assets was £93m. Liquidity as at that date was £10.5m made up of £5.3m cash and cash equivalents, £4.5m of short term deposits and £0.7m cash held with investment managers. The decrease in liquidity from prior year reflects the conversation of cash to capital with the completion of Hammerson House, Wohl Campus. The charity’s new 116 bed care home means an increased income growth capacity.
In addition to the increased operational growth capacity, the charity:
- does not have or intend to have long term borrowings over the assessed period. Gearing ratio and interest cover in nil
- secured £0.6m from the government’s covid grants in 2020-21 with additional funding announced for 2021-22
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
33
## **NOTES TO THE FINANCIAL STATEMENTS**
## **1. PRINCIPAL ACCOUNTING POLICIES (continued)**
- Generated £1.5m proceeds from the disposal of Belmont Lodge post balance sheet date
- Created an Occupancy Committee to give greater focus on occupancy levels at both Nightingale and Hammerson House. The committee also manages the admissions waiting lists and expressions of interest lists for both care homes
- Set up a People and Remuneration Committee to oversee the implementation of the pay, reward, recruitment and retention strategy.
- Has also reviewed its fundraising plan for 2021-22, launching a matched funding campaign in the New Year.
- Has an investment portfolio, including investment property, of £28.4m as at 30 September 2021.
The directors have reviewed the continually evolving situation relating to Covid-19 and considered its longer term impacts for the next 12 months. The operating model also included some downside scenarios such as occupancy numbers falling below budget, higher pay rates, higher costs or lower fundraising income than projected. The impact of the downside scenarios were reviewed against the charity’s projected cash position and investments. Should the worst case scenario occur, mitigating actions will include divesting part of the charity’s investments to maintain the ideal liquidity level and financially viable in the going concern assessment period.
## **Basis of consolidation**
The statement of financial activities and balance sheet consolidate the accounts of the charity and its group undertakings (listed below) made up to the balance sheet date.
- Chalkford Limited, a UK trading subsidiary which is a property construction company.
- Friends of Nightingale House, a charitable trust no longer operational but having had the purpose of raising funds on behalf of Nightingale Hammerson.
- Camden Jewish Society, a charitable company limited by guarantee whose sole activity, until 31st December 2017, was the provision of sheltered accommodation and which is now dormant. Since 30 April 2015, Nightingale Hammerson has had management and voting control of Camden Jewish Society.
Intra-group transactions are eliminated in full.
## _**Critical accounting estimates and areas of judgement**_
Preparation of the accounts requires the directors of the corporate trustee and management to make significant judgements and estimates.
The items in the accounts where these judgements and estimates have been made include:
- assessing the probability of the receipt of legacy income
- estimating accrued expenditure
- determining the apportionment of expenditure between governance and support costs and between support costs and the various categories of expenditure
- estimating the useful economic life of tangible fixed assets for the purposes of determining a depreciation charge
Nightingale Hammerson Charity Reg. No. 207316
34
Trustees Report and Annual Accounts for Year Ended 30 September 2021
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **1. Principal Accounting Policy (continued)**
- estimating the market value of investment property
- assessing the recoverability of outstanding debtors for residential and care home fees
- assessing the appropriateness of the assumptions made by the actuary in arriving at the actuarial valuation of the charity’s defined benefit pension scheme
- determining the value of designated funds set aside at the year end.
## **Income recognition**
Income is recognised in the period in which the group and/or charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.
The group’s main income source of income is from its charitable activities including care home residential, dementia and nursing fee income. Other income sources include donations, legacies, income from fundraising events, income from investments and interests from short term bank deposits and other sources.
Donations are recognised when the charity and/or group has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amounts are only accrued once formal pledge agreements are in place; if no such agreements exist the donations are recognised on receipt. In the event that a donation is subject to conditions that require a level of performance before the Charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the Charity and it is probable that those conditions will be fulfilled in the reporting period.
Legacies are included in the statement of financial activities when the Charity is entitled to the legacy, the amount can be reasonably estimated, the executors have established that there are sufficient surplus assets in the estate to pay the legacy, and any conditions attached to the legacy are within the control of the Charity.
Entitlement is taken as the earlier of the date on which the Charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor to the Charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured, or estimated, reliably and the Charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity and/or group, or the charity is aware of the granting of probate, but the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title of the asset having being transferred to the Charity.
Investment income is recognised once the dividend or similar income has been declared and notification has been received of the amount due.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
35
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **1. Principal Accounting Policy (continued)**
Interest on funds held on short term deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank. Interest on fixed interest, fixed term deposits is recognised evenly across the deposit term.
Fees for residential and nursing care are recognised to the extent that it is probable that the economic benefits will flow to the charity and the revenue can be reliably measured. They are measured at the fair value of the consideration received or receivable based on agreements with residents and funding agencies, excluding any relevant value added tax.
Income from other sources is measured at fair value and on an accruals basis.
## _**Expenditure recognition**_
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
All expenditure is accounted for on an accruals basis. Expenditure comprises direct costs and support costs. All expenses, including support costs, are allocated or apportioned to the applicable expenditure headings as described in Note 7. The classification between activities is as follows:
• Expenditure on raising funds includes: the salaries, direct costs and overheads associated with generating donated income and legacies; the fees paid to investment managers in connection with maintaining the portfolio of listed investments; and the expenditure of the Charity’s trading subsidiary in the UK.
• Expenditure on charitable activities includes all costs associated with furthering the charitable purposes of the charity through the provision of charitable activities i.e. the provision of holistic quality care to older Jewish people. This includes expenditure on residential and nursing care and the depreciation of those assets used for care purposes.
All expenditure is stated inclusive of irrecoverable VAT.
## **Allocation of support and governance costs**
Support costs represent indirect charitable expenditure. In order to carry out the primary purposes of the Charity, it is necessary to provide support in the form of personnel development, financial procedures, provision of office services and equipment and a suitable working environment.
Governance costs comprise the costs involving the public accountability of the Charity (including audit costs) and costs in respect to its compliance with regulation and good practice. Support costs and governance costs are apportioned based on the allocation basis as described in Note 7 to these accounts.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
36
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **1. Principal Accounting Policy (continued)**
## **Tangible fixed assets**
|**Tangible fixed assets**|**Tangible fixed assets**|
|---|---|
|All items of furniture, fittings and equipment with a value in excess of £10,000 and which have an||
|expected useful life exceeding one year are capitalised and depreciated. Depreciation|is not charged on|
|buildings under construction or on freehold land. The directors decided during the year to review its||
|depreciation policy and apply component accounting to Hammerson House, Wohl Campus,||
|development costs where costs could be componentised and measured. The depreciation charges||
|applied to assets on a straight line basis over their estimated useful life are as below:||
|Property (Freehold and Leasehold):
Development substructure|100 years|
|Development super structure|65 years|
|Freehold property|25 to 50 years|
|Development external works|30 years|
|Development Mechanical and Engineering|25 years|
|Development finishes, fittings (not loose)|20 years|
|Café and kitchen|15 years|
|Plant:
Plant|10 years|
|Furniture, Equipment & Vehicles:
Loose fixtures and fittings|5 years|
|Motor vehicles|4 years|
## **Investments**
Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The charity does not acquire put options, derivatives or other complex financial instruments.
The main form of financial risk faced by the charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.
Properties held for investment are included in the accounts at their estimated current market value as determined by the directors of the corporate trustee after consultation with their professional property advisers.
Investments in UK trading subsidiaries are included in the accounts at cost with provision being made for any permanent diminution in value.
Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise.
## **Debtors**
Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
37
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **1. Principal Accounting Policy (continued)**
## **Cash at bank and in hand**
Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition. Deposits for more than three months but less than one year have been disclosed as short term deposits. Cash placed on deposit for more than one year is disclosed as a fixed asset investment. Cash held by investment managers as part of their management strategy is included in fixed asset investments.
## **Creditors and provisions**
Creditors and provisions are recognised when there is an obligation at the balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Creditors and provisions are recognised at the amount the charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.
## **Fund structure**
The general fund comprises those monies which may be used towards meeting the charitable objectives of the charity and which may be applied at the discretion of the directors.
The designated funds are monies or assets set aside out of general funds and designated for specific purposes by the directors.
The tangible fixed assets fund represents the net book value of the tangible fixed assets used for the support of the work of the charity and/or group.
The restricted funds are monies raised for, and their use restricted to, a specific purpose, or donations subject to donor imposed conditions.
Non-charitable trading funds consist of the retained assets of activities conducted through noncharitable trading subsidiary.
## **Pension contributions**
The charity has a defined benefits pension scheme which is closed to new members. The assets of the scheme are held and managed separately from those of the charity. Pension scheme assets are measured at fair value at each balance sheet date. Liabilities are measured on an actuarial basis using the projected unit method. The net of these two figures is recognised as an asset or liability on the balance sheet. Any change in the asset or liability between balance sheet dates is reflected in the statement of financial activities in recognised gains and losses for the period.
The charity also contributes to the defined contributions scheme and contributions to the scheme are charged to the statement of financial activities in the year in which they are payable to the scheme.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
38
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **2. INCOME FROM DONATIONS AND LEGACIES**
||**General**|**Restricted**|
**2021 Total**|**2020 Total**|
|---|---|---|---|---|
|**Group**|**Fund**|**Fund**|
**Funds**|**Funds**|
||£'000|£'000|
**£'000**|£'000|
|Donations:|||||
|Revenue donations (excludes gift aid)|1,206|180|
**1,386**|3,222|
|Hammerson House capital fund|-|1,669|
**1,669**|2,415|
|Legacies|||||
|Revenue donations|898|-|
**898**|320|
|Capital fund|-|-|
**-**|-|
|**2021 Total Funds**|**2,104**|**1,849**|
**3,953**|5,957|
|2020 Total Fund|3,304|2,653|
5,957||
||**General**|**Restricted**|**2021 Total**|**2020 Total**|
|---|---|---|---|---|
||**Fund**|**Fund**|**Funds**|**Funds**|
|**Charity**|£'000|£'000|**£'000**|£'000|
|Donations:|||||
|Revenue donations|1,448|180|**1,628**|4,090|
|Hammerson House capital fund|-|1,669|**1,669**|2,415|
|Legacies|||||
|Revenue donations|898|-|**898**|320|
|Capital fund|-|-|**-**|-|
|**2021 Total Funds**|**2,346**|**1,849**|**4,195**|**6,825**|
|2020 Total Fund|4,172|2,653|6,825||
## **3. INCOME FROM INVESTMENTS**
||**General**|**Restricted**|
**2021 Total**|**2020 Total**|
|---|---|---|---|---|
||**Fund**|**Fund**|
**Funds**|**Funds**|
|**Group**|£'000|£'000|
**£'000**|£'000|
|Income from listed investments by fund manager|||||
|Investment Income Veritas|96|-|
**96**|144|
|Investment Income Schroders|142|44|
**186**|193|
|Investment Income Goldman Sachs|-|-|
**-**|44|
||238|44|
**282**|381|
|Rental income|8|-|
**8**|8|
|Interest receivable|44|-|
**44**|100|
|**2021 Total Funds**|**290**|**44**|
**334**|489|
|2020 Total Fund|458|31|
489||
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
39
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **3. INCOME FROM INVESTMENTS (CONTINUED)**
||**General**|
**Restricted**|
**2021 Total**|**2020 Total**|
|---|---|---|---|---|
||**Fund**|
**Fund**|
**Funds**|**Funds**|
|**Charity**|£'000|
£'000|
**£'000**|£'000|
|Income from listed investments by fund manager|||||
|Investment Income Veritas|96|
-|
**96**|144|
|Investment Income Schroders|142|
44|
**186**|193|
|Investment Income Goldman Sachs|-|
-|
**-**|44|
||238|
44|
**282**|381|
|Rental income|8|
-|
**8**|8|
|Interest receivable|49|
-|
**49**|105|
|**2021 Total Funds**|**295**|
**44**|
**339**|494|
|2020 Total Fund|463|
31|
494||
## **4. INCOME FROM PROVISION OF RESIDENTIAL CARE AND NURSING**
||**General**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**|
|---|---|
|**Group and charity**|£'000
£'000
**£'000**
£'000|
|Maintenance contributions receivable|10,365
-
**10,365**
9,975|
|||
|**Total maintenance contributions receivable**|**10,365**
**-**
**10,365**
**9,975**|
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
40
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **5. EXPENDITURE ON GENERATING DONATIONS AND LEGACIES**
|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**|
|---|---|
|**Group and Charity**
£'000
£'000
£'000
£'000|£'000|
|Staff costs
208
-
-
**208**|313|
|Fundraising, legacy and appeal expenses
163
-
-
**163**|285|
|Support costs(Note 7)
28
-
-
**28**|39|
|**2021 Total Funds**
**399**
**-**
**-**
**399**|**637**|
|2020 Total Fund
637
-
-
637||
## **6. EXPENDITURE ON PROVISION OF RESIDENTIAL CARE AND NURSING**
|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**|
|---|---|
|**Group**
£'000
£'000
£'000
**£'000**|£'000|
|Staff costs
7,848
-
530
**8,378**|7,821|
|Catering and food
1,221
-
-
**1,221**|1,087|
|Premises day to day costs
1,472
-
7
**1,479**|1,219|
|Medical, care and welfare costs
488
-
59
**547**|832|
|Support costs (Note 7)
2,071
-
-
**2,071**|2,011|
|Depreciation(Note 14)
-
1,159
681
**1,840**|1,023|
|**2021 Total Funds**
**13,100**
**1,159**
**1,277**
**15,536**|**13,993**|
|2020 Total Fund
12,619
339
1,035
13,993||
|||
|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**||
|**Charity**
£'000
£'000
£'000
**£'000**|£'000|
|Staff costs
7,848
-
530
**8,378**|7,821|
|Catering and food
1,221
-
-
**1,221**|1,087|
|Premises day to day costs
1,472
-
7
**1,479**|1,219|
|Medical, care and welfare costs
488
-
59
**547**|832|
|Support costs (Note 7)
2,071
-
-
**2,071**|2,011|
|Depreciation(Note 14)
-
1,159
681
**1,840**|1,023|
|**2021 Total Funds**
**13,100**
**1,159**
**1,277**
**15,536**|**13,993**|
|2020 Total Fund
12,619
339
1,035
13,993||
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
41
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **7. SUPPORT COSTS**
The support costs and the basis of their allocation were:
||**Generating**
**donations**
**and**
**legacies**
**Provisions**
**of**
**residential**
**and nursing**
**care**
**Total**
**Basis of apportionment**|
|---|---|
|**Group and Charity**|£'000
£'000
**£'000**|
|Support Staff Cost|14
1,196
**1,210**
Head count|
|Administrative and Governance costs|2
130
**132**
Head count|
|Information and Communication
Technology|4
244
**248**
Head count|
|Insurance|3
188
**191**
Head count|
|Human Resources and Volunteering|5
313
**318**
Head count|
|**2020 Total - Group and Charity**|**28**
**2,071**
**2,099**|
## **8. UK TRADING SUBSIDIARY**
Nightingale Hammerson owns the entire called up ordinary share capital of Chalkford Limited, a property construction company (company registration number 01001396).
||**2021**
**2020**|
|---|---|
||**£'000**
£'000|
|**Chalkford Limited**||
|Turnover|**5,718**
19,192|
|Cost of sales|**(5,450)**
(18,271)|
|Administrative expenses|**(21)**
(48)|
|Operating profit|**247**
873|
|Interestpayable|**(5)**
(5)|
|Profit before Gift Aid|**242**
868|
|Amount donated to Nightingale Hammerson|**(242)**
(868)|
|Retained profit|**-**
-|
At 30 September 2021, Chalkford Limited had retained losses of £1k (2020: retained losses of £1k) and called up share capital of £1k (2020: £1k). The results and the balance sheet figures have been consolidated on a line by line basis within the accounts of Nightingale Hammerson.
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
42
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **9. NET EXPENDITURE ON INCOMING RESOURCES FOR THE YEAR**
This is stated before transfers but after charging:
|This is stated before transfers but after charging:|This is stated before transfers but after charging:|
|---|---|
|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**||
|**Group**
£'000
£'000
£'000
**£'000**|£'000|
|Staff costs (Note 10)
9,266
-
530
**9,796**|9,237|
|Auditor's remuneration:||
|Audit services- relating to current year
34
-
-
**34**|33|
|Audit services- relating to prior year
8
-
-
**8**|33|
|Other services
5
-
-
**5**|5|
|Depreciation (Note 14)
-
1,159
681
**1,840**|1,023|
|||
|||
|**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2021 Total**
**Funds**
**2020 Total**
**Funds**||
|**Charity**
£'000
£'000
£'000
**£'000**|£'000|
|Staff costs (Note 10)
9,266
-
530
**9,796**|9,237|
|Auditor's remuneration:||
|Audit services- relating to current year
31
-
-
**31**|30|
|Audit services- relating to prior year
8
-
-
**8**|-|
|Other services
4
-
-
**4**|4|
|Depreciation (Note 14)
-
1,159
681
**1,840**|1,023|
## **10. STAFF COSTS**
||**2021**|
**2020**|
|---|---|---|
|**Group and charity**|**£'000**|
£'000|
|Wages and salaries|**7,984**|
7,732|
|Social security costs|**734**|
706|
|Other Pension costs|**222**|
222|
||**8,940**|
8,660|
|Payments to agency|**832**|
517|
|Redundancycosts|**24**|
60|
||**9,796**|
9,237|
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
43
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **10. STAFF COSTS (Continued)**
Of payments to agency staff, £520k (2020: £380k) represents payments in respect of one to one care provision. These costs were covered by one to one care fee income.
The number of employees who earned £60,000 per annum or more (including taxable benefits but excluding employer's pension contributions) were as follows:
||**2021**|
**2020**|
|---|---|---|
|£60,000 - £70,000|**3**|
2|
|£70,001 - £80,000|**-**|
2|
|£80,001 - £90,000|**2**|
1|
|£90,001 - £100,000|**1**|
1|
|£110,001 - £120,000|**1**|
1|
Of those employees who earned £60,000 or more during the year (as defined above), employer contributions totalling £33,321 (2020: £31,625) were made to defined contribution schemes in respect of six (2020: seven) of them. No contributions were made to defined benefit schemes (2020: £nil).
The total remuneration, including benefits, employers pension contributions and employers national insurance contributions, paid to key management personnel in the year was £535k (2020: £647k).
The average number of employees, excluding agency staff, analysed by function, was:
||**2021**
**2020**|
|---|---|
|Generating funds|4
6|
|Residential and nursingcare services|342
327|
||346
333|
## **11. TRUSTEES’ REMUNERATION AND EXPENSES**
No director received any remuneration or expenses from the group or charity during the year (2020 - £nil).
The nature of the charity’s activities means that from time to time relatives of the directors of the corporate trustee or staff may be cared for by the Charity. In 2021, one director of the corporate trustee had a relative cared for by the charity and all fees were set at arm’s length (2020: one).
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
44
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **12. INDEMNITY INSURANCE**
The insurance provides cover up to £5 million (2020 - £10 million) and the total premium paid in respect of such insurance was £39.2k (2020 - £18.5k). The cost of this insurance is included in the total insurance cost.
## **13. TAXATION**
Nightingale Hammerson and Camden Jewish Society are registered charities and therefore are not liable to income tax or capital gains tax on income or gains derived from their charitable activities, as they fall within the various exemptions available to registered charities.
Chalkford Limited donates any taxable profits to Nightingale Hammerson via Gift Aid each year.
## **14. TANGIBLE FIXED ASSETS**
||**Property**||||**Furniture,**||
|---|---|---|---|---|---|---|
||**(freehold &**|**Assets under**|||**Equipment**||
||**leasehold)**|**Construction**||**Plant**|**and Vehicles**|**2021 Total**|
|**Group**|£'000||£'000|£'000|£'000|**£'000**|
|**Cost**|||||||
|At 1 October 2020|45,725||33,685|1,437|1,819|**82,666**|
|Additions|-||5,454|316|1,602|**7,372**|
|Transfer from WIP to|||||||
|Property|39,139||(39,139)|-|-|**-**|
|At 30 September 2021|84,864||-|1,753|3,421|**90,038**|
|**Depreciation**|||||||
|At 1 October 2020|34,134||-|624|1,384|**36,142**|
|Charge|1,436||-|132|272|**1,840**|
|Disposals|-||-|-|-|**-**|
|At 30 September 2021|35,570||-|756|1,656|**37,982**|
|**Net book values**|||||||
|At 30 September 2021|49,294||-|997|1,765|**52,056**|
|At 30 September 2020|11,591||33,685|813|435|**46,524**|
Of the Property (freehold & leasehold) cost, £39m represents leasehold property.
Assets under construction comprise the major development of Hammerson House, Wohl Campus, which was completed during the year. No value has been attributed to the leasehold land of the Hammerson House, Wohl Campus, site as lease covenants require its use as a residential care facility.
Within the fixed assets is a property, Belmont Lodge, with net book value of £690k. Prior to the balance sheet date, trustees decided to market it for sale as it is surplus to requirement. This sale was completed post year end (see Note 25).
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
45
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **14. TANGIBLE FIXED ASSETS (CONTINUED)**
||**Property**||||**Furniture,**||
|---|---|---|---|---|---|---|
||**(freehold &**|**Assets under**|||**Equipment**||
||**leasehold)**|**Construction**||**Plant**|**and Vehicles**|**2021 Total**|
|**Charity**|£'000||£'000|£'000|£'000|**£'000**|
|**Cost**|||||||
|At 1 October 2020|46,075||35,271|1,498|1,860|**84,704**|
|Additions|22||5,718|316|1,602|**7,658**|
|Transfer from WIP to|||||||
|Property|40,989||(40,989)|-|-|**-**|
|At 30 September 2021|87,086||-|
1,814|3,462|**92,362**|
|**Depreciation**|||||||
|At 1 October 2020|34,158||-|650|1,423|**36,231**|
|Charge|1,436||-|132|272|**1,840**|
|Disposals|-||-|-|-|**-**|
|At 30 September 2021|35,594||-|782|1,695|**38,071**|
|**Net book values**|||||||
|At 30 September 2021|51,492||-|1,032|1,767|**54,291**|
|At 30 September 2020|11,917||35,271|848|437|**48,473**|
Of the Property (freehold & leasehold) cost, £41m represents leasehold property.
## **15. FINANCIAL COMMITMENTS**
At 30 September 2021, the charity had £4m financial commitment that had been authorised but not contracted for to refurbish Nightingale House (2020: £nil). There was no financial commitment contracted for but which had not been provided for (2020 – £8.4m, in relation to Hammerson House, Wohl Campus).
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
46
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **16. FIXED ASSET INVESTMENTS**
||**Investment**|**Listed**|**2021**|
**2020**|
|---|---|---|---|---|
||**Property**|**Investments**|**Total**|
**Total**|
|**Group**|£'000|£'000|**£'000**|
£'000|
|Market value at 1 October 2020|300|24,019|**24,319**|
23,363|
|Additions at cost|-|6,342|**6,342**|
21,940|
|Disposals at book value (proceeds:£6.3m|||||
|with realised gain of £0.35m)|-|(5,995)|**(5,995)**|
(22,621)|
|Reclassification from cash||-|**-**|
-|
|Net unrealised investmentgains|30|3,084|**3,114**|
1,637|
|**Market value at 30 September 2021**|**330**|**27,450**|**27,780**|
**24,319**|
|Cash awaiting investment||661|**661**|
485|
|**Market value at 30 September 2021**|**330**|**28,111**|**28,441**|
**24,804**|
|Cost of Investments at 30 September 2021|238|21,176|21,414|
20,585|
||**Shares in**|||||
|---|---|---|---|---|---|
||**subsidiary**|**Investment**|**Listed**|**2021**|
**2020**|
||**company**|**Property**|**Investments**|**Total**|**Total**|
|**Charity**|£'000|£'000|£'000|**£'000**|£'000|
|Market value at 1 October 2020|1|300|24,019|**24,320**|23,364|
|Additions at cost|-|-|6,342|**6,342**|21,940|
|Disposals at book value (proceeds:£6.34m||||||
|with realised gain of £0.35m)|-|-|(5,995)|**(5,995)**|(22,621)|
|Reclassification cash|-|-|-|**-**|-|
|Net unrealised investmentgains|-|30|3,084|**3,114**|1,637|
|**Market value at 30 September 2021**|**1**|**330**|**27,450**|**27,781**|**24,320**|
|Cash awaiting investment|||661|**661**|485|
|**Market value at 30 September 2021**|**1**|**330**|**28,111**|**28,442**|**24,805**|
|Cost of Investments at 30 September 2021|1|238|21,176|21,415|20,586|
## **Listed Investments**
All listed investments are dealt in on a recognised stock exchange.
Listed Investments held at 30 September 2021 comprised the following:
||**Listed**
**Investments**
**2021**
**Total**
**2020**
**Total**
**2020**
**Total**|
|---|---|
|**Group and Charity**|%
**£'000**
£'000
%|
|Fixed Interest|18%
**5,060**
4,963
21%|
|Equities|69%
**19,397**
15,913
66%|
|Alternatives|9%
**2,530**
2,455
10%|
|Multi-assets funds|2%
**463**
402
2%|
|Cash Instalments and unit funds|2%
**661**
286
1%|
||100%
**28,111**
24,019
100%|
Nightingale Hammerson Charity Reg. No. 207316
Trustees Report and Annual Accounts for Year Ended 30 September 2021
47
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **16. FIXED ASSET INVESTMENTS (CONTINUED)**
At 30 September 2021, the following investments holdings had a material value when compared to the market value of the total portfolio of listed investments as at that date.
||At 30 September 2021, the following investments holdings had a material value when compared to the market
value of the total portfolio of listed investments as at that date.|
|---|---|
||**Listed**
**Investments**
**2021**
**Total**
**2020**
**Total**
**2020**
**Total**|
||**Group and Charity**
%
**£'000**
£'000
%|
||Vanguard FTSE All-World UCITS ETF
4.5%
**1,273**
2,588
22%|
## **Investment property**
Investment property comprises of a long leasehold flat in a property situated in North London purchased by the charity during the year ended 30 September 2014. The directors of the corporate trustee have valued the property based upon information publicly available relating to similar properties in the same location.
## **Subsidiary Undertaking**
At 30 September 2021, Nightingale Hammerson owned the entire called up share capital of the following company:
|**Company**|**Country of incorporation**|**Principal activity during theyear**|
|---|---|---|
|Chalkford Limited|England|Property development|
## **17. DEBTORS**
||**2021**
**2020**|
|---|---|
||**Group**
**Charity**
**Group**
**Charity**|
||**£'000**
**£'000**
£'000
£'000|
|Maintenance contributions|**1,345**
**1,345**
689
689|
|Amount due from subsidiary undertaking (Note 24)|**-**
**643**
-
1,268|
|Legacies receivable|**669**
**669**
101
101|
|Donations pledged|**1,522**
**1,522**
3,659
3,659|
|Other accrued income|**-**
**-**
14
14|
|Other debtors|**265**
**265**
504
419|
|Prepayments|**53**
**53**
61
61|
|VAT debtor|**34**
**34**
839
-|
||**3,888**
**4,531**
**5,867**
**6,211**|
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
48
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **18. CREDITORS – AMOUNT FALLING DUE WITHIN ONE YEAR**
||**2021**
**2020**|
|---|---|
||**Group**
**Charity**
**Group**
**Charity**|
||**£'000**
**£'000**
£'000
£'000|
|Amounts held on behalf of residents|**670**
**670**
473
473|
|Maintenance contributions received in advance|**517**
**517**
310
310|
|Expense creditors|**399**
**399**
187
187|
|Capital creditors|**-**
**-**
2,212
-|
|Social security and other taxation|**219**
**219**
184
184|
|Other creditors|**66**
**66**
311
311|
|Accruals|**1,105**
**498**
370
370|
|Amount due to subsidiaryundertaking (Note 24)|**-**
**1,236**
**-**
2,540|
||**2,976**
**3,605**
4,047
4,375|
## **19. RESTRICTED FUNDS**
The income funds of the group and charity include restricted funds comprising the following balances of donations and grants held on trusts to be applied for specific purposes:
||**At 1**
**October**
**2020**
**Income**
**Expenditure**
**Transfer**
**At 30**
**September**
**2021**|
|---|---|
|**Group**|£'000
£'000
£'000
£'000
**£'000**|
|Nightingale House Fixed Assets
Fund|9,412
-
(681)
-
**8,731**|
|Nightingale House Capital Fund|600
-
-
-
**600**|
|Hammerson House Capital Fund|3,659
1,669
-
(3,806)
**1,522**|
|Weinberg Funds|3,219
44
-
-
**3,263**|
|Donations Special Purpose|304
168
-
-
**472**|
|Janet and Howard Bloch funds|233
-
-
-
**233**|
|Nursery fund|3
-
(3)
-
**-**|
|Intergenerational fund|31
-
-
-
**31**|
|Infection control Grant|-
589
(589)
-
**-**|
|Other restricted funds|37
12
(4)
-
**45**|
||**17,498**
**2,482**
**(1,277)**
**(3,806)**
**14,897**|
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
49
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **19. RESTRICTED FUNDS (continued)**
||**At 1**
**October**
**2020**
**Income**
**Expenditure**
**Transfer**
**At 30**
**September**
**2021**|
|---|---|
|**Charity**|£'000
£'000
£'000
£'000
**£'000**|
|Nightingale House Fixed Assets
Fund|9,426
-
(681)
-
**8,745**|
|Nightingale House Capital Fund|600
-
-
-
**600**|
|Hammerson House Capital Fund|3,659
1,669
-
(3,806)
**1,522**|
|Weinberg Funds|3,219
44
-
-
**3,263**|
|Donations Special Purpose|304
168
-
-
**472**|
|Janet and Howard Bloch funds|232
-
-
-
**232**|
|Nursery fund|3
-
(3)
-
**-**|
|Intergenerational fund|31
0
-
-
**31**|
|Infection control Grant|-
589
(589)
-
**-**|
|Other restricted funds|35
12
(4)
-
**43**|
||**17,509**
**2,482**
**(1,277)**
**(3,806)**
**14,908**|
## **Nightingale House Fixed Assets Fund**
This fund comprises the net book value of buildings and equipment used for the operation of Nightingale House, purchased with restricted funds. Each year the depreciation on these assets is charged to the fund.
## **Nightingale House Capital Fund**
This fund comprises monies donated specifically towards the construction and development of new building projects on the site of Nightingale House which are as yet unspent.
## **Hammerson House Capital Fund**
This fund comprise donations pledged specifically for the redevelopment of Hammerson House and as yet unspent.
## **Weinberg Funds**
These funds were donated by The Harry and Jeanette Weinberg Fund and are held for the purpose of substantially upgrading the charity’s care homes for the elderly at both Nightingale House and Hammerson House.
## **Donations Special Purpose**
These funds comprise donations received towards a specific purpose.
## **Janet and Howard Bloch funds**
These funds comprise monies to be used to provide additional services for the residents, specifically in terms of activities, and the provision of training.
## **Nursery Fund**
This fund comprises the proportion of the construction costs of the Apples & Honey Nursery building that have been funded by Apples & Honey. Depreciation on the nursery building is charged to the fund each year.
## **Intergenerational Fund**
This comprises monies received specifically for operation of the intergenerational programme. **Infection control Grant**
Government grant received to provide support with Covid-19 infection control costs
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
50
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **20. DESIGNATED FUNDS**
The income funds of the group and charity include the following designated funds which have been set aside for major capital projects:
||**At 1**
**October**
**2020**
**New**
**designations**
**and transfers**
**Utilised /**
**released**
**At 30**
**September**
**2021**|
|---|---|
|**Group**|£'000
£'000
£'000
£'000|
|Hammerson House building fund|3,549
(1,648)
(1,901)
**-**|
|Nightingale House building fund|8,500
-
-
**8,500**|
|Maintenance fund|3,500
-
-
**3,500**|
||15,549
(1,648)
(1,901)
**12,000**|
|Hammerson House tangible fixed assets fund|33,685
5,454
(632)
**38,507**|
|Nightingale House tangible fixed assets fund|3,428
1,916
(527)
**4,817**|
|||
||**52,662**
**5,722**
**(3,060)**
**55,324**|
|||
|||
||**At 1**
**October**
**2020**
**New**
**designations**
**and transfers**
**Utilised /**
**released**
**At 30**
**September**
**2021**|
|**Charity**|£'000
£'000
£'000
£'000|
|Hammerson House building fund|3,549
(1,912)
(1,637)
**-**|
|Nightingale House building fund|8,500
-
-
**8,500**|
|Maintenance fund|3,500
-
-
**3,500**|
||15,549
(1,912)
(1,637)
**12,000**|
|Hammerson House tangible fixed assets fund|35,271
5,718
(632)
**40,357**|
|Nightingale House tangible fixed assets fund|3,777
1,939
(527)
**5,189**|
|||
||**54,597**
**5,745**
**(2,796)**
**57,546**|
Nightingale Hammerson Charity Reg. No. 207316 Trustees Report and Annual Accounts for Year Ended 30 September 2021
51
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **20. DESIGNATED FUNDS (CONTINUED)**
## _**Hammerson House building fund**_
This was fund set aside by the directors for the redevelopment of Hammerson House, Wohl Campus. This was duly allocated or released at the year-end given the completion of Hammerson House, Wohl Campus development
## _**Nightingale House building fund**_
This comprises monies set aside by the directors to provide funds for redevelopment at Nightingale House.
## _**Maintenance fund**_
This comprises monies set aside by the directors to provide funds for the ongoing building maintenance of our homes.
## _**Hammerson House tangible fixed assets fund**_
This fund comprises the net book value of the fixed assets related to Hammerson House, used for the operation and designated. Every year, depreciation charges is allocated against this fund.
## _**Nightingale House tangible fixed assets fund**_
The tangible fixed assets fund comprises the net book value of the charity’s tangible fixed assets (excluding those accounted for the Nightingale House Fixed Assets Restricted Fund). A decision was made by the directors to separate this fund from the general fund in recognition of the fact that the tangible fixed assets are used in the day to day work of the charity and group and hence the fund value would not be easily realisable if needed to meet future contingencies.
## **21. ANALYSIS OF NET ASSETS BETWEEN FUNDS**
|**General funds**
**Designated**
**funds**
**Restricted**
**funds**
**2021 Total**|**General funds**
**Designated**
**funds**
**Restricted**
**funds**
**2021 Total**|
|---|---|
|**Group**
£'000
£'000
£'000
**£'000**||
|**Fund balances at 30 September 2021 are represented by:**||
|Tangible fixed assets|-
43,325
8,731
**52,056**|
|Investments|24,033
1,145
3,263
**28,441**|
|Current assets|-
10,854
2,903
**13,757**|
|Current liabilities|(2,976)
-
-
**(2,976)**|
|Pension scheme asset|1,916
-
-
**1,916**|
|**Total net assets**|**22,973**
**55,324**
**14,897**
**93,194**|
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52
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **21. ANALYSIS OF NET ASSETS BETWEEN FUNDS (CONTINUED)**
|**General funds**
**Designated**
**funds**
**Restricted**
**funds**
**2021 Total**|**General funds**
**Designated**
**funds**
**Restricted**
**funds**
**2021 Total**|
|---|---|
|**Charity**
£'000
£'000
£'000
**£'000**||
|**Fund balances at 30 September 2021 are represented by:**||
|Tangible fixed assets|-
45,547
8,744
**54,291**|
|Investments|24,641
538
3,263
**28,442**|
|Current assets|-
11,461
2,900
**14,361**|
|Current liabilities|(3,605)
-
-
**(3,605)**|
|Pension scheme asset|1,916
-
-
**1,916**|
|**Total net assets**|**22,952**
**57,546**
**14,907**
**95,405**|
## **22. ANALYSIS OF UNREALISED GAINS / LOSSES**
||**General**
**funds**
**Designated**
**funds**
**Restricted**
**funds**
**2021**
**Total**|
|---|---|
|**Group and Charity**|£'000
£'000
£'000
**£'000**|
|Accumulated gains on listed investments|6,140
-
795
**6,935**|
|Accumulatedgains onproperty|92
-
-
**92**|
|**Total**|**6,232**
**-**
**795**
**7,027**|
|||
|Reconciliation of movements in unrealised gains (losses)||
|Unrealised gains at 1 October 2020|5,159
-
315
**5,474**|
|Less: cumulative unrealised losses released from disposals|(1,382)
-
(179)
**(1,561)**|
|Add: Net unrealised gains on listed investments unrealised gains in
year|2,757
-
357
**3,114**|
|Reallocation between funds inyear|(302)
302
**-**|
|**Accumulated unrealised gains**|**6,232**
**-**
**795**
**7,027**|
## **23. PENSION COMMITMENTS**
Nightingale Hammerson operates a defined benefit scheme for certain former employees, providing benefits based on final pensionable pay. It also contributes to personal pension plans for current employees.
The defined benefit scheme is a separate trustee administered fund holding the pension scheme assets to meet long term pension liabilities. A full actuarial valuation was carried out at 31 March 2020 and updated to 30 September 2021 by a qualified actuary and in line with FRS 102. The major assumptions used by the actuary are shown below.
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**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **23. PENSION COMMITMENTS (CONTINUED)**
This most recent actuarial valuation showed a shortfall of £15,000 (2020: surplus of £350,000) however, no additional contributions were required to correct the shortfall. This is because it was estimated that the Scheme was in surplus at the date of recovery plan. As there are no active members accruing benefits within the scheme, no further contributions are payable. The employer has agreed to meet all expenses of the scheme and levies to the Pension Protection Fund, other than investment management charges which are borne by the Scheme.
|**Present values of defined benefit obligation, fair value of assets and defined**
**benefit asset**|**2021**
**£’000**
**2020**
**£’000**|
|---|---|
|Fair value of plan assets
Present value of defined benefit obligation
Defined benefit asset at 30 September|**5,507**
5,107
**(3,591)**
(3,961)|
||**1,916**
1,146|
|||
|---|---|
|**Reconciliation of opening and closing balances of the defined benefit**
**obligation**|**2021**
**£’000**
2020
£’000|
|Defined benefit obligation at start of period
Interest expense
Actuarial losses
Benefits paid and expenses
Losses due to past service costs
Defined benefit obligation at end of period|**3,961**
3,961
**62**
70
**(309)**
50
**(123)**
(120)
**-**
-|
||**3,591**
3,961|
Following the judgement of the High Court on 20 November 2020, transfers out of the Scheme between May 1990 and October 2018 need to be revisited and equalised for GMP (if applicable). To be consistent with last year’s disclosures, a 1.61% GMP equalisation has been applied to the liabilities to allow for the impact on liabilities from the GMP equalisation ruling. Post the year end date, the Pension Trustees engaged the actuary to estimate the potential increase liabilities, in line with IAS 19, as a result of the GMP ruling. It was concluded that as there have been no transfers out during the period, no allowance for the impact of GMP Equalisation for historic transfer values will be required going forward.
|**Reconciliation of opening and closing balances of the fair value of plan assets**|
**2021**
**£’000**|**2020**
**£’000**|
|---|---|---|
|Fair value of plan assets at start of period
Interest income
Actuarial gains / (losses)
Benefits paid and expenses
Fair value ofplan assets at end ofperiod|**5,107**
**81**
**442**
**(123)**
**5,507**|5,136
91
-
(120)|
|||5,107|
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**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **23. PENSION COMMITMENTS (CONTINUED)**
The actual return on the plan assets over the period ended 30 September 2021 was £523k (2020: £91k).
|**Defined benefit costs recognised in other comprehensive income**|**At 30**
**September**
**2021**
**£’000**
**At 30**
**September**
**2020**
**£’000**|
|---|---|
|Gain / (loss) on plan assets (excluding amounts included in net interest cost)
Experience gain arising on plan liabilities
Gain resulting from changes in the demographic and financial assumptions
underlying the present value of plan liabilities
Gain / (loss) from changes in the amount of surplus that is not recoverable
(excluding amounts included in net interest cost
Total gain recognised in other comprehensive income
**Assets**|**442**
-
**316**
17
**(7)**
(67)
**(751)**
50|
||**-**
-|
||**At 30**
**September**
**2021**
**£’000**
**At 30**
**September**
**2020**
**£’000**|
|UK Equities
Overseas Equities
Corporate Bonds
Government Bonds
Alternatives
Cash / Other
**Total Assets**|**1,676**
828
**1,637**
1,719
**-**
2,312
**1,740**
229
**384**
-
**70**
19|
||**5,507**
5,107|
In the year, changes were made to the pension fund managers and new managers appointed. As at the balance sheet date, all assets had been liquidated and transferred to the new fund managers. None of the fair values of the assets shown above include any direct investments in the employer’s own financial instruments or any property occupied by, or other assets used by, the employer.
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**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **23. PENSION COMMITMENTS (CONTINUED)**
||**At 30**||**At 30**|
|---|---|---|---|
|**September**||**September**||
||**2021**||**2020**|
|**Assumptions**|**%**||**restated**|
||||**%**|
|Discount Rate|**2.00**||1.60|
|Inflation (RPI)|**3.60**||3.00|
|Salary growth||||
|Allowance for revaluation of deferred pensions of RPI or 5% if less|**3.60**||3.00|
|Allowance for revaluation of deferred pensions of RPI or 2.5% if less|**2.50**||2.50|
|Allowance for pension in payment increases of RPI or 5% if less|**3.40**||2.90|
|Allowance for pension in payment increases of RPI or 2.5% if less|**2.20**||2.00|
|Allowance for commutation of pension for cash at retirement|**25% of**
**capitalised**|25% of
capitalised value||
||**value of**||of member’s|
||**member’s**||pension|
||**pension**||commuted for|
|**commuted for**|||cash|
||**cash**|||
|The mortality assumptions adopted at 30 September 2021 imply the following life|**2021**||**2020**|
|expectancies at age 65:||||
|**Retiring today / current pensioners**||||
|Males|**22.3**||
21.8|
|Females|**24.1**||
23.7|
|**Retiring in 20 years / future pensioners**||||
|Males|**23.6**||
23.1|
|Females|**25.6**||
25.2|
The best estimate of contributions to be paid by the employer to the scheme for the period commencing 1 October 2021 is £nil (2020: £nil). Any expenses of the scheme, other than investment management costs, are expected to be met directly by the employer or reimbursed by the employer if paid by the scheme.
## **Personal Pension Plans and auto enrolment Schemes**
The total pension cost in respect to personal pension plans and auto enrolment schemes for the year was £0.22m (2020 - £0.22m).
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**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **24. RELATED PARTY TRANSACTIONS**
## **Chalkford Limited**
Chalkford Limited became a wholly owned subsidiary of Nightingale House on 2 March 2004 and continues as a wholly owned subsidiary of Nightingale Hammerson post-merger. Two directors of Nightingale Hammerson Trustee Company Limited, Harvey Rosenblatt and David Winton are also directors of Chalkford Limited.
Chalkford Limited made charitable contributions of £0.24m to Nightingale Hammerson during the year to 30 September 2021 (2020 - £0.87m). At 30 September 2021 Chalkford Limited owed Nightingale Hammerson £0.40m (2020: £0.40m) in accordance with a loan facility and a further £0.24m (2020: £0.87m) being charitable contributions payable to Nightingale Hammerson in respect to the year ended 30 September 2021. At 30 September 2021, Nightingale Hammerson owed Chalkford Limited £1.24m (2020: £2.54m) under a contract for the construction of property.
## **Camden Jewish Society**
Camden Jewish Society was amalgamated into Nightingale Hammerson under a deed of collaboration on 1 May 2015 and remains as such. On 31 December 2017, the activities, assets and liabilities of Camden Jewish Society were transferred to Nightingale Hammerson Trustee Company. The charity has remained dormant from this date.
## **Trustees donations**
During the year the charity received donations totalling £478,746 from 11 of the charity’s Trustees and organisations to which they are connected (2020 - £228,726 from 12 trustees and connected organisations). In addition, £53,000 (2020 - £127,500) was received from the Vice President and organisations to which she is connected.
## **25. POST BALANCE SHEET EVENTS**
After the balance sheet date, the charity completed the sale of Belmont Lodge for £1.5m.
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**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **26. COMPARATIVE FIGURES WITH FULL ANALYSIS BETWEEN FUNDS**
## **Consolidated Statement of Financial Activities**
|**Consolidated Statement of Financial Activities**||
|---|---|
||**Unrestricted Funds**|
||**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2020**
**Total**
**Funds**|
||£'000
£'000
£'000
£'000|
|**Income from:**||
|Donations and legacies||
|Revenue purposes (including Emergency Appeal)|3,304
-
238
**3,542**|
|Capital purposes|-
-
2,415
**2,415**|
|Investments and short term deposits|458
-
31
**489**|
|Charitable activities||
|_Provision of residential and nursing care_|9,975
-
-
**9,975**|
|Government's infection control and furlough grants|156
-
330
**486**|
|Other sources|76
-
-
**76**|
|**Total Income**|13,969
-
3,014
**16,983**|
|**Expenditure on:**||
|_Raising funds_||
|Generating donations and legacies|637
-
-
**637**|
|Investment management costs|142
-
**-**
**142**|
|Expenditure of UK trading subsidiary|-
-
**-**
**-**|
|_Charitable activities_||
|Provision of residential and nursingcare|12,619
339
1,035
**13,993**|
|**Total expenditure**|13,398
339
1,035
**14,772**|
|||
|**Net income / (expenditure) for the year before**
**transfers and gains (losses) on investments**|**571**
**(339)**
**1,979**
**2,211**|
|Transfers between funds|(1,487)
4,926
(3,439)
**-**|
|Gains (losses) on investments|-|
|Realised (losses) on disposal of investments|(322)
-
-
**(322)**|
|Unrealised gains on listed investments|1,637
-
-
**1,637**|
|FX movements on currency swaps|-
-
-
**-**|
|**Net income(expenditure) for theyear**|**399**
**4,587**
**(1,460)**
**3,526**|
|||
|**Other recognised gains and losses**||
|Actuarial(losses)onpension scheme|(29)
-
-
**(29)**|
|**Net movement in funds**|**370**
**4,587**
**(1,460)**
**3,497**|
|||
|Funds brought forward at 1 October 2019|18,900
48,075
18,958
**85,933**|
|||
|**Funds carried forward 30 September 2020**|**19,270**
**52,662**
**17,498**
**89,430**|
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**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **26. COMPARATIVE FIGURES WITH FULL ANALYSIS BETWEEN FUNDS (CONTINUED)**
## **Charity Statement of Financial Activities**
|**Charity Statement of Financial Activities**||
|---|---|
||**Unrestricted Funds**|
||**General**
**Fund**
**Designated**
**Fund**
**Restricted**
**Fund**
**2020 Total**
**Funds**|
|Note|£'000
£'000
£'000
£'000|
|**Income from:**||
|Donations and legacies||
|Revenue purposes (including Emergency Appeal)
2|4,172
-
238
**4,410**|
|Capital purposes
2|-
-
2,415
**2,415**|
|Investments and short term deposits
3|463
-
31
**494**|
|Charitable activities||
|_Provision of residential and nursing care_
4|9,975
-
-
**9,975**|
|Government's infection control and furlough grants|156
-
330
**486**|
|Other sources|116
-
-
**116**|
|**Total Income**|14,882
-
3,014
**17,896**|
|**Expenditure on:**||
|_Raising funds_||
|Generating donations and legacies
5|637
-
-
**637**|
|Investment management costs|142
-
-
**142**|
|_Charitable activities_|-
-
-|
|Provision of residential and nursingcare
6|12,619
339
1,035
**13,993**|
|**Total expenditure**|13,398
339
1,035
**14,772**|
|||
|Net income /(expenditure) for the year before
transfers and gains (losses) on investments|**1,484**
**(339)**
**1,979**
**3,124**|
|Transfers between funds
19|(2,397)
5,836
(3,439)
-|
|Gains (losses) on investments||
|Realised (losses) on disposal of investments
16|(322)
-
-
**(322)**|
|Unrealised gains on listed investments
16|1,637
-
-
**1,637**|
|FX movements on currencyswaps|-
-
-
**-**|
|**Net income(expenditure) for theyear**|**402**
**5,497**
**(1,460)**
**4,439**|
|||
|**Other recognised gains and losses**||
|Actuarialgains/losses onpension scheme|(29)
-
-
**(29)**|
|**Net movement in funds**|**373**
**5,497**
**(1,460)**
**4,410**|
|||
|Funds brought forward at 1 October 2019|18,898
49,100
18,969
**86,967**|
|||
|**Funds carried forward 30 September 20**
21|19,271
54,597
17,509
**91,377**|
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59
**NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **26. COMPARATIVE FIGURES WITH FULL ANALYSIS BETWEEN FUNDS (CONTINUED)**
## **Income from donations and legacies**
|**Income from donations and legacies**|||||
|---|---|---|---|---|
||||**2020 Total**||
|**Group**|**General Fund**|**Restricted Fund**|**Funds**||
||£'000|£'000|**£'000**||
|Donations:|||||
|Revenue donations (excludes gift aid)|2,984|238|**3,222**||
|Hammerson House capital fund|-|2,415|**2,415**||
|Legacies|||||
|Revenue donations|320|-|**320**||
|Capital fund|-|-|**-**||
|**2020 Total Funds**|**3,304**|**2,653**|**5,957**||
|2019 Total Fund|1,413|11,509|12,922||
||||**2020 Total**||
||**General Fund**|**Restricted Fund**|
**Funds**||
|**Charity**|£'000|£'000|
**£'000**||
|Donations:|||||
|Revenue donations|3,852|
238|
**4,090**||
|Hammerson House capital fund|-|2,415|
**2,415**||
|Legacies|||||
|Revenue donations|320|
-|
**320**||
|Capital fund|-|-|
**-**||
|**2020 Total Funds**|**4,172**|
**2,653**|
**6,825**||
|2019 Total Fund|1,964|
11,509|
13,473||
## **Income from investments**
|**Income from investments**||||
|---|---|---|---|
||||**2020 Total**|
||**General Fund**|**Restricted Fund**|**Funds**|
|**Group**|£'000|£'000|**£'000**|
|Income from listed investments by fund manager:||||
|Investment Income Veritas|144|-|**144**|
|Investment Income Schroders|168|25|**193**|
|Investment Income Goldman Sachs|38|6|**44**|
||350|31|**381**|
|Rental income|8|-|**8**|
|Interest receivable|100|-|**100**|
|**2020 Total Funds**|**458**|**31**|**489**|
|2019 Total Fund|697|68|765|
||||**2020 Total**|
|---|---|---|---|
||**General Fund**|**Restricted Fund**|**Funds**|
|**Charity**|£'000|£'000|**£'000**|
|Income from listed investments by fund manager:||||
|Investment Income Veritas|144|-|**144**|
|Investment Income Schroders|168|25|**193**|
|Investment Income Goldman Sachs|38|6|**44**|
||350|31|**381**|
|Rental income|8|-|**8**|
|Interest receivable|105|-|**105**|
|**2020 Total Funds**|**463**|**31**|**494**|
|2019 Total Fund|702|68|770|
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60
## **NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)**
## **26. COMPARATIVE FIGURES WITH FULL ANALYSIS BETWEEN FUNDS (CONTINUED)**
## **INCOME FROM PROVISION OF RESIDENTIAL CARE AND NURSING**
|**INCOME FROM PROVISION OF RESIDENTIAL CARE AND NURSING**||
|---|---|
||**General Fund**
**Restricted Fund**
**2020 Total**
**Funds**|
|**Group and charity**|£'000
£'000
**£'000**|
|Maintenance contributions receivable|9,975
-
**9,975**|
|||
|**Total maintenance contributions receivable**|**9,975**
**-**
**9,975**|
## **EXPENDITURE ON GENERATING DONATIONS AND LEGACIES**
||**General**|**Designated**|**Restricted**|**2020 Total**|
|---|---|---|---|---|
||**Fund**|**Fund**|**Fund**|**Funds**|
|**Group and Charity**|£'000|£'000|£'000|**£'000**|
|Staff costs|313|-|-|**313**|
|Fundraising, legacy and appeal expenses|285|-|-|**285**|
|Support costs(Note 7)|39|-|-|**39**|
|**2020 Total Funds**|**637**|**-**|**-**|**637**|
|2019 Total Fund|467|-|3|470|
## **Expenditure on provision of residential and nursing care**
|||**Designated**|**Restricted**|**2020 Total**|
|---|---|---|---|---|
||**General Fund**|**Fund**|**Fund**|**Funds**|
|**Group**|£'000|£'000|£'000|**£'000**|
|Staff costs|7,524|-|297|**7,821**|
|Catering and food|1,087|-|-|**1,087**|
|Premises day to day costs|1,198|-|21|**1,219**|
|Medical, care and welfare costs|799|-|33|**832**|
|Support costs (Note 7)|2,011|-|-|**2,011**|
|Depreciation(Note 14)|-|339|684|**1,023**|
|**2020 Total Funds**|**12,619**|**339**|**1,035**|**13,993**|
|2019 Total Fund|13,208|315|833|14,356|
|||**Designated**|**Restricted**|**2020 Total**|
||**General Fund**|**Fund**|**Fund**|**Funds**|
|**Charity**|£'000|£'000|£'000|**£'000**|
|Staff costs|7,524|-|297|**7,821**|
|Catering and food|1,087|-|-|**1,087**|
|Premises day to day costs|1,198|-|21|**1,219**|
|Medical, care and welfare costs|799|-|33|**832**|
|Support costs (Note 7)|2,011|-|-|**2,011**|
|Depreciation(Note 14)|-|339|684|**1,023**|
|**2020 Total Funds**|**12,619**|**339**|**1,035**|**13,993**|
|2019 Total Fund|13,208|338|833|14,379|
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## **TRUSTEE BRIOGRAPHIES**
## **Melvin Lawson - Chairman**
Melvin is an investor in technology and property. He was a director of A. Beckman plc, and is currently a Non-Executive Director of Telecom Plus plc, Satellite Information Services (holdings) Ltd and Catalyst Media Group plc. He is also Vice-Chairman of Central Synagogue and has been a Director of Nightingale Hammerson for the past ten years.
## **John Reizenstein – Honorary Joint Treasurer**
John joined the Board of Nightingale Hammerson in 2018. He is also Chairman of Farm Africa, a member of the Boards of Scottish Widows and of Beazley plc (specialist insurers) and a member of the Panel on Takeovers and Mergers. John has had a long career in finance, most recently as Chief Financial Officer of Direct Line Insurance Group plc, from which he retired in 2018.
## **Carolyn Balcombe**
Carolyn was responsible for the retail division of the Chinacraft Group of Companies which consisted of a number of high street stores selling fine china and glass to an international customer base. She was one the first women to be elected onto the Western Marble Arch Synagogue Board of Management where she stayed for over 10 years. Carolyn has a long standing family association with Nightingale Hammerson and in 2015, she co-chaired the last stages of the Nightingale Hammerson Campaign Dinner. In 2018 and 2020 she co-chaired both dinners from initial concept to implementation. She joined the Board in 2020.
## **Daniel Dayan**
Daniel is a professional mechanical engineer and business executive, who has spent many years in manufacturing industry worldwide. His experiences in recent years have been as Chief Executive and Chair, of both private and public companies. He has been a charity trustee for many years, including becoming Deputy Chair of Freedom from Torture, and co-founded the Wimbledon Synagogue Ark Project, which has supported a family of Syrian refugees to settle in the UK
## **Gill Livingston**
Gill works is an academic working as a professor in UCL and a doctor working as a consultant psychiatrist, Camden & Islington NHS Foundation Trust. She works to make a difference and help people with dementia and their families, from investigating mechanisms and then devising and testing interventions to implementation.
## **Joanne Black**
Joanne is a director of the Regatta Group where she holds a variety of key roles. This includes heading up an extensive social responsibility program. She is particularly proud of the Regatta school for disabled children and the women’s health education program that she runs in Bangladesh. Alongside this role she is Vice Chair of the Outdoor Industry Association.
## **Keith Barnett**
Keith is a partner and Head of Real Estate at City law firm, Taylor Wessing LLP. Prior to that he was a founding partner of Andersen Legal. He has been listed in The Lawyer magazine's list of top 100 lawyers. Active in the Jewish Community, he has chaired the Hampstead Garden Suburb Synagogue and has been a Trustee and Vice-President of the United Synagogue. Keith is a Trustee of the Chief Rabbinate Trust and is an external adviser to a number of Jewish and non-Jewish charities. He brings extensive property, legal and community knowledge to the Board.
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## **TRUSTEE BIOGRAPHIES (CONTINUED)**
## **Paul Althasen**
Paul holds business interests in a variety of businesses comprising insurance, property investment, financial transaction processing and football. He is a Board Director of Euronet Worldwide Inc, Powerleague, Pier Insurance Managed Services and Lodwick Homes Ltd. Paul sits of the Finance and Audit committee of CST and has been a trustee of Nightingale Hammerson since 2021.
## **Rosalind Taylor MBE**
Ros is a palliative care physician who has worked many years in the hospice world, most recently in the palliative care team at the Royal Marsden Hospital. She was CEO and Medical Director at the Hospice of St Francis in Berkhamsted, Herts for 18 years and then Clinical Director at Hospice UK, a national charity supporting the development of palliative care throughout the UK. She has a particular interest in care home medicine and chairs Nightingale Hammerson’s Care Quality Improvement Board. She received an MBE for services to hospice care in 2014, and remains in clinical practice at the Michael Sobell Hospice at Mount Vernon Hospital.
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