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2024-12-31-accounts

Charity number: 212828

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report and financial statements

for the year ended 31 December 2024

Richard Watts and the City of Rochester Almshouse Charities

Contents

Page
Reference and administrative details of the Charity, its Trustees and advisers 1 - 2
Trustees' report 3 - 9
Independent auditor's report on the financial statements 10 - 13
Statement of financial activities 14
Balance sheet 15
Statement of cash flows 16
Notes to the financial statements 17 - 37

Richard Watts and the City of Rochester Almshouse Charities

Reference and administrative details of the Charity, its Trustees and advisers for the year ended 31 December 2024

Trustees

Alex Clarabut Barrie James Fewtrell (resigned 25 January 2024) Shirley Gurteen Liz Janz (resigned 31 December 2024) Colin McCarthy Keith Povey Linda Reay Peter James Smith Kamaldeep Tesse (resigned 31 December 2024) Timothy Newman Carolyn Mary Sims (appointed 5 December 2024) Richard Patteson-Knight (appointed 19 September 2024) Ruth Curry (appointed 25 July 2024)

Charity registered number

212828

Principal office

Administrative Offices Watts Almshouses Maidstone Road Rochester Kent ME1 1SE

Chief executive officer

Martin Sissons

Independent auditor

Kreston Reeves LLP Chartered Accountants Statutory Auditor Maritime Place Quayside Chatham Maritime Chatham Kent ME4 4QZ

Bankers

Barclays Business Banking 263-265 High Street Chatham Kent ME4 4BZ

CCLA Investment Management 1 Angel Lane London EC4R 3AB

Page 1

Richard Watts and the City of Rochester Almshouse Charities

Reference and administrative details of the Charity, its Trustees and advisers (continued) for the year ended 31 December 2024

Solicitors

Brachers LLP Somerfield House 59 London Road Maidstone Kent ME16 8JH

Stockbrokers

Canaccord Genuity Wealth Ltd 41 Lothbury London EC2R 7AE

Building Surveyors

Consult Construct Ltd Gunpowder Works Off Bysing Wood Road Faversham Kent ME13 7UD

Chartered Valuation Surveyors

Sibley Pares Chartered Surveyors 1 Ashford Road Maidstone Kent ME13 5BJ

Insurance Brokers

Erskine Murray Ltd MW House 1 Penman Way Grove Park Leicester LE19 1SY

Page 2

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report for the year ended 31 December 2024

The Trustees present their annual report together with the audited financial statements of the Richard Watts and the City of Rochester Almshouse Charities (the "Charity") for the year ended 31 December 2024.

Objectives and activities

a. Policies and objectives

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit, including the guidance 'Public benefit: running a charity (PB2)'.

The charity is regulated by a Scheme of the Charity Commissioners (see "Constitution" section on page 7), which provides for the net income, after payment of certain specified expenses, to be applied by the Trustees for the benefit of the residents of the Almshouses or for relief in sickness or in need of persons resident in the area formerly known as the City of Rochester (hereafter called "the City"). A subsequent Charity Commission Scheme dated 23 August 2016 states that "the City" includes those who are resident in postcode areas ME1 and ME2.

There have been no changes in the Charity's objectives since the last annual report.

b. Grant-making policies

The Scheme states that the Charity can only accept applications for funding of projects and grants from within the ME1 and ME2 postcode areas and from those assisting persons resident in these postcode areas.

Achievements and performance

a. Key performance indicators

Key Performance Indicators, also known as KPIs, help to define and measure progress toward organisational goals. KPIs have been identified for each of the Board Committees. These will be monitored across the year and reported on annually.

The following represents our performance against our KPIs in the accounting period of 2024.

Page 3

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report (continued) for the year ended 31 December 2024

Achievements and performance (continued)

b. Review of activities

The Charities, which have now been in operation in the ME1 and ME2 area of Medway in Kent for almost 450 years, continue to thrive under the governance of a Board of mostly local Trustees.

The aims and objectives of the organisation are to help those in need to have access to affordable housing when they reach state retirement age and that those in need in the local community are supported either directly or indirectly through other organisations.

The organisation manages 67 Almshouses which are on four different sites in central Rochester. To qualify for the Almshouses, applicants need to meet the following criteria.

In addition, the organisation supports local people through the delivery of a number of different services for those most in need in ME1 and ME2. These include:

We are incredibly proud of our 450-year history and of our benefactor, Richard Watts, who set up the first charity during the reign of Queen Elizabeth I. The charities have continued to evolve during our long history and we are now taking further steps to modernise the charities, adopting the latest governance structure recommended by the Charity Commission, thereby ensuring we are fit for another 450 years. Concurrently, we have reviewed our Strategy and have applied to the Charity Commission to extend our geographical reach to the whole of Medway, to allow us to try and help more beneficiaries while ensuring our services are still relevant and needed in the local community.

Richard Watts and the City of Rochester Almshouse Charities is planning on transferring all operations, assets, contracts, and staff to a newly created Charitable Incorporated Organisation (CIO) on 1 April 2025. The new incorporated charity registered in September 2024 is called Richard Watts Charities CIO, but will operate under the name of Richard Watts Charities. This process of change is referred as the incorporation process and creates a legal identify for the charity, with much limited liability for individual trustees, and the foundation on which to develop our services further across the wider geographical area of Medway

The incorporation process will involve a new charity being established to which the staff and assets of the old charity will be transferred. Ultimately, we will continue to provide Almshouse accommodation, as we always have, albeit under a slightly different name – Richard Watts Charities CIO. We hope this modernisation and renewed focus will allow us better to support our existing beneficiaries while allowing us to extend our services into the wider Medway area.

Operational Delivery

The CEO and his team of staff manage the charities’ operations. These staff include:

Page 4

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report (continued) for the year ended 31 December 2024

Achievements and performance (continued)

In addition, there are teams of wardens, gardeners, home helps and domestic staff to ensure the smooth running of all services.

Overview

The results for the year show a deficit on unrestricted funds before investment gains of £169,239 and a decrease on endowment funds of £203 meaning that there is an overall deficit before investments gains amounting to £169,442 (2023: £3,924).

Incoming resources increased from £1,416,871 in 2023 to £1,544,562 in 2024. Investment income increased by £87,543 to £1,052,721 whilst income from charitable activities increased to £402,637.

Total resources expended increased from £1,420,795 to £1,714,004 in 2024.

At year end the charity's investments comprised investment properties of £15,028,278 and listed investments of £7,338,801.

Gains in the above investments together with the deficit for the year, resulted in a surplus of £845,919 to be added to total funds brought forward, meaning the total net assets at 31 December 2024 were £27,283,087. Endowment funds totalled £25,555,310 (2023 - £22,4709,391 as restated), designated funds totalled £607,873 (2023 - £635,279) and general funds totalled £1,119,904 (2023 - £1,209,408).

Funding our work

The organisation is self-funding through investments. These investments take a variety of forms and range from stocks and shares to commercial properties. The investment income funds the services we deliver to the local community and support the operations of the Almshouses, the provision of which is heavily subsidised by the organisation.

The attached Accounts provide detailed information about the organisation’s financial performance.

c. Safeguarding

Prioritising safeguarding is fundamental to the way the Charity operates. Whether it is how residents are treated by staff with daily checks on their wellbeing or looking after their long term best interests when they are facing illness, including dementia, or whether it is the attitude of Trustees and the decisions they take when assessing grant applicants or even the way Site staff deal with tenants at rental properties who are experiencing difficulties, safeguarding and protecting people come first. Health and safety permeates every aspect of the organisation.

d. Investment policy and performance

The principal objective is to invest funds for capital growth whilst maintaining income levels sufficient to assist in meeting the expenditure of the Charity and the minimum level of reserves. To assist in the objective, the Board of Trustees appoints advisers upon such terms as deemed appropriate to make recommendations as to the sale and/or purchase of investment holdings. Should the likely income be more than sufficient to meet the above requirements then consideration may be given to investing a proportion of the available funds in more growth orientated funds with a switch back to greater income producing funds should the need arise.

The Trustees regularly review the investment returns and actual income and expenditure against budgets.

Page 5

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report (continued) for the year ended 31 December 2024

Financial review

a. Going concern

After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the accounting policies.

b. Reserves policy

The 'reserves' of the Charity are the resources that are available to spend on the Charity's purposes once all commitments have been met and planned expenditure covered. They do not include the Endowment or Designated Funds.

The balance of the reserves is maintained in the Unrestricted Income Funds as adjusted for the surplus for the year after transfers. The Charity has a commitment to maintain its properties in good repair, to apply the Charity's income for the benefit of the Almshouse residents and to meet reasonable requests under grant making provisions. To ensure that those commitments may continue to be met should there be a temporary fall in Property and/or Investment Income and/or the need for unplanned expenditure, it is the Trustees' policy that the balance of the Unrestricted Income Funds be maintained between 6 months' and one year's running costs.

Such range is based on past experience and forward financial projections over the next five year period. It is the responsibility of the Finance and Investment Committee to consider that range annually based on the updated five year projections and any agreed development plans and make any appropriate recommendations to the Board of Trustees.

At 31 December 2024 the general reserves amounted to £1,119,904 (see note 20) which is slightly lower than one year's running costs.

Endowment Funds

These comprise the Permanent Endowments of the Charity.

Designated Funds

Cyclical Maintenance Fund

Established under the Charity Commissioner's Scheme to provide for the ordinary maintenance of the Poor Traveller's House and the Almshouses belonging to the Charity.

Extraordinary Repairs Fund

Established compulsorily under the Charity Commissioner's Scheme to provide for the extraordinary repair, improvement or rebuilding of the Poor Traveller's House and the Almshouses.

General Repairs Fund

Established voluntarily under the Charity Commissioner's Scheme to provide for the extraordinary repair, improvement or rebuilding of the property belonging to the charities other than the Almshouses.

Planned Maintenance Fund

Established in 1985 in accordance with provisions in the leases to provide for the maintenance, major repair and refurbishment works to certain properties in the High Street, Chatham. The fund comprises leaseholders' service charge payments.

Memorial Fund

Established voluntarily in 2014, this fund comprises legacies and in memoriam gifts to be applied to projects for the enjoyment of residents and staff.

Page 6

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report (continued) for the year ended 31 December 2024

Financial review (continued)

Poor Travellers' House Fund

This fund comprises donations received at the House which are applied to the acquisition of small items for the House and garden.

Apprenticeship Support Fund

This fund comprises a grant received towards work with apprentices.

Structure, governance and management

a. Constitution

The Charity was originally founded under the will of Richard Watts in 1579. It is regulated by a Scheme of the Charity Commissioners dated 29 November 1977 when the Charities of Richard Watts, Sir John Hayward's Almshouses and St. Catherine's Hospital were grouped for administration purposes. The Charity is linked with the Sir John Hayward and Richard Watts Educational Charities and the William Mantle Trust following an order issued by the Charity Commission in 2015. The Charity Commission amended the Scheme on 23 August 2016 to clarify that any reference to the City of Rochester includes those who are resident in postcode areas ME1 and ME2. Finally, in January 2018, the Charity Commission agreed that those people who wished to return to Rochester to be close to their friends and family in their old age, but who at the time of applying do not themselves live within ME1 or ME2, could be considered.

b. Methods of appointment or election of Trustees

The management of the Charity is the responsibility of the Trustees who are elected and co-opted under the terms of the Charity Commission Scheme.

c. Organisational structure and decision-making policies

The current governance structure is based on a committee structure which is outlined below.

In addition to full board meetings and an AGM, the following committees met at regular intervals through the year.

The full list of Trustees is below.

Trustees - 2024

Page 7

Richard Watts and the City of Rochester Almshouse Charities

Trustees' report (continued) for the year ended 31 December 2024

Structure, governance and management (continued)

Trustees - Resigned

We would like to extend our sincere thanks to Barrie, Kam and Liz for their magnificent help and guidance over many years.

Each Committee focusses on a specific area of operation for the organisation and advises both the Board and the CEO regarding major operational and strategic decisions. The organisation also employs a number of professional advisors to provide expert and relevant advice regarding operations and strategy.

d. Policies adopted for the induction and training of Trustees

All Trustees are encouraged to attend training courses and seminars on a regular basis. All Trustees have Trustee Handbooks that they keep up to date with all relevant policies, accounts and other background information about the Charity.

e. Related party relationships

Trustees regularly “declare an interest” as appropriate and all have completed the questionnaire.

f. Risk management

The Trustee Board monitor risks at every Board and Committee Meeting with new risks being identified and agreed mitigation being reported upon. Each quarter one particular risk on the risk register is reviewed in detail to ensure organisational risks are being monitored and managed effectively.

Operational risks are managed through the senior management team for the organisation.

Plans for future periods

The new CIO has been established and on 1 April 2025 all assets were transferred to it from Richard Watts and the City of Rochester Almshouse Charities. As part of this process the objects for the organisation have been reviewed which have informed the plans for the new organisation.

All of the above changes should help us to meet our agreed Key performance Indications which are around supporting the local community.

In order to help us deliver on our plans we will also be reviewing the resources we have allocated to each area of our work to ensure we can continue to deliver and develop the services to our local community now that our reach has expanded to include the whole of the Medway Unitary Authority.

We are also planning to work in partnership with other organisations to achieve our goals.

Page 8

Richard Watts and the Clty of Rochestor Almshouse Charitie$ Trustees. report Icontinuedl for the year endgd 31 Decembor 2024 Statement of Trustws. responslblllties The Trustees are responsiblg for preparing the Trustees. report and th8 financial statement$ in accordance with applicabte I￿ and Uniled Kingdom Accounting Standards (United Kingdom Generally A￿epted Accounting Praclicel. The law applicable to charitie5 in England & Wales requires the Trustees to prepare financial ststements for each financial which give a true and fair view of the slate of affairs of the Charrty and of rts incoming resources and application of resour￿$, including it8 income and expenditu￿, for that period. In preparing these financial statements, the Trustees are required to.. select suitable ac¢ounling policies and then apply them consistently, observe the methods and principles of the Charities SORP {FRS 1021,. make judgements and aecounling estimales that are reasonable and prudent.. state whether applicable UK Accounting Stsndards {FRS 1021 have been followed. subject to any materia departures disclosed and exp18ined in the financial slalemenls., prepare the financial statements on the going conGem basis unless it is inappropriate to presume that the Charity will ¢ontinue in business. The Trustees are responsible for keeping adequate accounting records that ar8 sufficient to show and explain the Chartys Iransa¢lion$ and discbse wlh reasonable accuracy at any lime the financial position of the Charity and enable them lo ensure that the financial slalements ¢omply with the Charities Act 2011, the Charity IAccounls and Reports) Regulations 2008 and the provisions of the InJsl deed. They are also responsible for safeguarding the a$sets of the Charty and hence for taking reasonable steps for the prevèntion and detection of fraud and other irregularities. Audltor The audrtors, Krgston Reeves LLP. hav8 indicated their willingness to continue in office. The designated Trustees wll propose i motion r8appoinling the auditors al a meeting of the Trustees. Approved by or(ler of th8 memt*rs of the board of Trustees and signed on their behalf by.. Keith Povey Date: Irlosf J Page 9

Richard Watts and the City of Rochester Almshouse Charities

Independent auditor's report to the Trustees of Richard Watts and the City of Rochester Almshouse Charities

Opinion

We have audited the financial statements of Richard Watts and the City of Rochester Almshouse Charities (the 'charity') for the year ended 31 December 2024 which comprise the Statement of financial activities, the Balance sheet, the Statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn.

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015.

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

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

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

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

Page 10

Richard Watts and the City of Rochester Almshouse Charities

Independent auditor's report to the Trustees of Richard Watts and the City of Rochester Almshouse Charities (continued)

Other information

The other information comprises the information included in the Annual report other than the financial statements and our Auditor's report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

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 (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Trustees' responsibilities statement, set out on page 10, the Trustees are responsible for the preparation of financial statements which give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.

Page 11

Richard Watts and the City of Rochester Almshouse Charities

Independent auditor's report to the Trustees of Richard Watts and the City of Rochester Almshouse Charities (continued)

Auditor's responsibilities for the audit of the financial statements

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

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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:

Capability of the audit in detecting irregularities, including fraud

The objectives of our audit are to identify and assess the risks of material misstatement of the financial statements due to fraud or error; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud or error; and to respond appropriately to those risks.

Based on our understanding of the charity and the charitable sector generally, and through discussion with the trustees and other management (as required by auditing standards), we identified that the principal risks of noncompliance with laws and regulations related to health and safety, GDPR and employment law. We considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charity SORP 2019 and other charity legislation. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. We evaluated Trustees' and management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks related to fraudulently or erroneously amending income and expenditure levels. Audit procedures performed by the engagement team included:

Page 12

Richard Watts and the City of Rochester Almshouse Charities

Independent auditor's report to the Trustees of Richard Watts and the City of Rochester Almshouse Charities (continued)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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

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

Use of our report

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

Kreston Reeves LLP

Kreston Reeves LLP

Chartered Accountants Statutory Auditor Chatham

Date: 16 May 2025

Kreston Reeves LLP are eligible to act as auditors in terms of section 1212 of the Companies Act 2006.

Page 13

Richard Watts and the City of Rochester Almshouse Charities

Statement of financial activities for the year ended 31 December 2024

Note
Income and endowments from:
Donations and legacies
4
Charitable activities
5
Investments
6
Other income
7
Total income and endowments
Expenditure on:
Raising funds
8,9
Charitable activities
11
Total expenditure
Net expenditure before net gains on
investments
Net gains/(losses) on investments
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2024
£
39,204
402,637
1,043,064
50,000
1,534,905
408,981
1,295,163
1,704,144
(169,239)
52,329
(116,910)
1,844,687
(116,910)
1,727,777		 Endowment
funds
2024
£
-
-
9,657
-
9,657
-
9,860
9,860
(203)
846,122
845,919
24,709,391
845,919
25,555,310		 Total
funds
2024
£
39,204
402,637
1,052,721
50,000
1,544,562
408,981
1,305,023
1,714,004
(169,442)
898,451
729,009
26,554,078
729,009
27,283,087		 As restated
Total
funds
2023
£
396
361,297
965,178
90,000
1,416,871
298,345
1,122,450
1,420,795
(3,924)
1,346,854
1,342,930
25,211,148
1,342,930
26,554,078

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

The notes on pages 17 to 37 form part of these financial statements.

Page 14

Richard Watts and th9 City of Ro¢h￿ter Almshouse Charitie5 Balance sheel as at 31 December 2024 As restsled 2023 2024 Note Fixod assets Tangible assgls Investments Inveslmenl property 14 3.476,123 7.338,801 15,028,278 3,476,123 7,310,513 14.444,628 16 15 25,843.202 25,231,264 Current assets DebtQTS Cash al bank and in hand 17 388,371 1.339.011 310,952 1,334,895 24 1,727,382 1,645,847 Creditors.. amounts falbng due within one 18 (243.003) 1292,802) Net eurront ass•ts 1 A84,379 1,353.045 Creditors". amounts falling due after more than one year 19 144.494) 130,231 Net assets 27.283,087 26,554,078 Charity funds Endowment funds Unrestncted funds 20 20 25.555,310 1.727,777 24,709.391 1.844,687 Tolal funds 27.283.087 26,554,078 The financial StsI￿entS were approved and auth0ri58d for issue by the Trustees and signed on their behall by.. Dale.. i ¥lo sl > s The notes on pages 17 10 37 form part of these financial slalemenls. Keith Povey Page 15

Richard Watts and the City of Rochester Almshouse Charities

Statement of cash flows for the year ended 31 December 2024

Note
Cash flows from operating activities
Net cash used in operating activities
23
Cash flows from investing activities
Dividends, interests and rents from investments
Proceeds from sale of investments
Purchase of investments
Proceeds from sale of investment property
Purchase of investment property
Net cash provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year
24		 2024
£
(1,335,118)
1,052,721
2,465,474
(2,178,961)
-
-
1,339,234
4,116
1,334,895
1,339,011		 As restated
2023
£
(1,060,454)
965,178
693,242
(297,202)
361,000
(5,000)
1,717,218
656,764
678,131
1,334,895

The notes on pages 17 to 37 form part of these financial statements

Page 16

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

1. General information

Richard Watts and the City of Rochester Almshouse Charities is a Charity registered in England. The Charity's registered address is Administrative Offices, Watts Almshouses, Maidstone Road, Rochester, Kent ME1 1SE.

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The financial statements have been prepared to give a 'true and fair' view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a 'true and fair' view. This departure has involved following the Charities SORP (FRS 102) published in October 2019 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.

Richard Watts and the City of Rochester Almshouse Charities meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

2.2 Going concern

The Trustees assess whether the use of going concern is appropriate, i.e., whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements and have concluded that the Charity has adequate resources to continue in operational existence for the foreseeable future and there are no material uncertainties about the Charity's ability to continue as a going concern, thus they continue to adopt the going concern basis of accounting in preparing the financial statements.

2.3 Income

All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably.

The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability to estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Charity has sufficient evidence that a gift has been left to them (through knowledge of the existence of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. Receipt of a legacy must be recognised when it is probable that it will be received and the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Charity, can be reliably measured.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service.

Page 17

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

2. Accounting policies (continued)

2.4 Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit 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.

Expenditure on raising funds includes all expenditure incurred by the Charity to raise funds for its charitable purposes and includes costs of all fundraising activities events and non-charitable trading.

Expenditure on charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.

Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure.

All expenditure is inclusive of irrecoverable VAT.

2.5 Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and presented as ‘Net Gains/(Losses) on investments’ in the Statement of financial activities.

2.6 Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

2.7 Cash at bank and in hand

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

2.8 Liabilities and provisions

Liabilities 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.

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide.

Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised in the Statement of financial activities as a finance cost.

Page 18

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

2. Accounting policies (continued)

2.9 Financial instruments

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

2.10 Pensions

The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.

2.11 Fund accounting

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity and which have not been designated for other purposes.

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

Endowment funds comprise the permanent endowments of the Charity.

2.12 Freehold properties - Almshouses

Freehold properties are included at valuation as at 1 January 1973 or 31 December 1977 or at subsequent cost as detailed in note 14 to the financial statements.

Freehold properties are not depreciated. In no case is the estimated useful life of the building less than fifty years and the estimated residual value is likely to be more than the amount at which the properties are carried in the balance sheet. Any depreciation would, therefore, be immaterial and no provision has been made in the financial statements.

2.13 Investment properties

Investment properties are long-term assets, which generate income. They are included at market value in accordance with the Statement of Recommended Practice on accounting by charities. Please see note 15 to the financial statements.

2.14 Furniture and equipment

The cost of furniture and equipment has been charged to the Statement of Financial Activities on acquisition.

Page 19

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements

for the year ended 31 December 2024

3. Critical accounting estimates and areas of judgement

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions:

The Charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical areas of judgement:

Investment properties at Market value

The Charity holds investment property with fair value of £13,292,500 at the year end (see note 15). In order to determine the fair value of investment property the Charity has engaged independent valuation specialists with experience in the location and nature of the property being valued. They have used a valuation technique based on comparable market data. The determined fair value of the investment property is most sensitive to fluctuations in the property market.

Tangible fixed assets - Cost model

The Charity has recognised tangible fixed assets with a carrying value of £3,476,123 at the reporting date (see note 14). These assets are stated at their cost less provision for depreciation and impairment. The Charity's accounting policy sets out the approach to calculating depreciation for immaterial assets acquired. For material assets such as land and buildings the Charity determines at acquisition reliable estimates for the useful life of the asset, its residual value and decommissioning costs. These estimates are based upon such factors such as the expected use of the acquired asset and market conditions. At subsequent reporting dates the Trustees consider whether there are any factors such as technological advancements or changes in market conditions that indicate a need to reconsider the estimates used.

Where there are indicators that the carrying value of tangible assets may be impaired the Charity undertakes tests to determine the recoverable amount of assets. These tests require estimates of the fair value of assets less cost to sell and of their value in use. Wherever possible the estimate of the fair value of assets is based upon observable market prices less incremental cost for disposing of the asset. The value in use calculation is based upon a discounted cash flow model, based upon the Charity’s forecasts for the foreseeable future which do not include any restructuring activities that the Charity is not yet committed to or significant future investments that will enhance the asset’s performance. The recoverable amount is most sensitive to the discount rate used for the discounted cash flow model as well expected future cash flows and the growth rate used for extrapolation purposes.

Page 20

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

4. Income from donations and legacies

Unrestricted
funds
2024
£
Donations
2,157
Legacies
37,047
39,204
Total 2023
396
Income from charitable activities
Unrestricted
funds
2024
£
Residents' maintenance contributions
366,396
Home Help income
36,241
402,637
Total 2023
361,297		 Total
funds
2024
£
2,157
37,047
39,204
396
Total
funds
2024
£
366,396
36,241
402,637
361,297		 Total
funds
2023
£
396
-
396
Total
funds
2023
£
330,562
30,735
361,297

5. Income from charitable activities

Page 21

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

6. Investment income

Unrestricted
funds
2024
£
Rents receivable
715,613
Service charges receivable
22,521
Income from listed investments
271,152
Insurances recoverable
33,778
1,043,064
Total 2023
951,449		 Endowment
funds
2024
£
-
-
9,657
-
9,657
13,729		 Total
funds
2024
£
715,613
22,521
280,809
33,778
1,052,721
965,178		 Total
funds
2023
£
680,132
16,283
256,397
12,366
965,178

7. Other incoming resources

Profit on disposal of investment property
Dilapidation income
Total 2023		 Unrestricted
funds
2024
£
-
50,000
50,000
90,000		 Total
funds
2024
£
-
50,000
50,000
90,000		 Total
funds
2023
£
90,000
-
90,000

Page 22

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

8. Property expenditure

Costs of raising voluntary income

Unrestricted
funds
2024
£
Commercial property repairs and maintenance
89,017
Residential property repairs and maintenance
95,149
Voids expenditure
21,734
Rent payable
1,471
Insurances
48,122
Land and estate agents
16,643
Solicitors
24,046
Surveyors
21,251
Bad debts
47,569
Sundry expenses
2,383
H&S Consultancy
713
HR Advisors
5,781
373,879
Total 2023
283,903		 Total
funds
2024
£
89,017
95,149
21,734
1,471
48,122
16,643
24,046
21,251
47,569
2,383
713
5,781
373,879
283,903		 Total
funds
2023
£
42,702
120,448
(16,663)
1,471
25,250
20,178
57,991
26,756
(14,627)
12,540
3,687
4,170
283,903

Page 23

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

9. Investment management costs

Unrestricted
funds
2024
£
Stockbroker's fees
35,102
Total 2023
14,442		 Total
funds
2024
£
35,102
14,442		 Total
funds
2023
£
14,442

10. Analysis of grants

Grants paid
Total 2023		 Grants to
Institutions
2024
£
86,900
75,301		 Grants to
Individuals
2024
£
3,894
6,118		 Total
funds
2024
£
90,794
81,419		 Total
funds
2023
£
81,419

Page 24

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

11. Analysis of expenditure by activities

Almshouse
Outpensions
Home Help
Poor Traveller's House
Total 2023		 Direct costs
2024
£
684,432
22,400
73,638
10,867
791,337
658,582		 Grants
payable
(note 10)
2024
£
90,794
-
-
-
90,794
81,419		 Support
costs
2024
£
422,892
-
-
-
422,892
382,449		 Total
funds
2024
£
1,198,118
22,400
73,638
10,867
1,305,023
1,122,450		 Total
funds
2023
£
1,039,935
26,515
40,827
15,173
1,122,450

Analysis of direct costs

Staff costs
General and
water rates
Insurances
Oil, gas and
electricity
Repairs,
maintenance
and cleaning
Garden upkeep
Telephone
Sundry expenses
Outpensions
Health and safety
Total 2023		 Almshouse
2024
£
247,538
17,471
26,250
100,638
250,923
7,859
6,155
9,035
-
18,563
684,432
576,067		 Out-
pensions
2024
£
-
-
-
-
-
-
-
-
22,400
-
22,400
26,515		 Home Help
2024
£
73,448
-
-
-
-
-
-
190
-
-
73,638
40,827		 Poor
Traveller's
House
2024
£
-
3,281
2,242
616
1,760
-
798
2,170
-
-
10,867
15,173		 Total
funds
2024
£
320,986
20,752
28,492
101,254
252,683
7,859
6,953
11,395
22,400
18,563
791,337
658,582		 Total
funds
2023
£
265,561
16,887
23,830
74,164
182,699
6,852
4,903
15,607
26,515
41,564
658,582

Page 25

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

11. Analysis of expenditure by activities (continued)

Analysis of support costs

Staff costs
Printing, stationery and advertising
General and water rates
Telephone
Oil, gas and electricity
Insurance
Furniture
Repairs
Office machinery
Legal and professional fees
Sundry expenses
Computer equipment
Health and safety
Auditors' remuneration
Auditors' remuneration - non audit		 Total
funds
2024
£
285,683
4,705
775
4,967
4,206
8,989
614
3,858
22,115
53,091
2,064
13,382
683
15,846
1,914
422,892		 Total
funds
2023
£
258,119
4,986
910
3,234
4,171
14,654
16
3,507
16,104
29,379
1,269
30,355
745
13,200
1,800
382,449

Page 26

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

12. Staff costs

Wages and salaries
Social security costs
Other pension costs		 2024
£
516,188
42,698
47,783
606,669		 2023
£
446,805
36,072
40,803
523,680

The average number of persons employed by the Charity during the year was as follows:

2024 2023
No. No.
26 25

The average headcount expressed as full-time equivalents was:

2024 2023
No. No.
15 15

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2024 2023
No. No.
In the band £60,001 - £70,000 1 1

During the year, the five (2023 - five) key management personnel received remuneration and benefits, including employer's national insurance contributions, of £265.952 (2023 - £223,186).

13. Trustees' remuneration and expenses

During the year, no Trustees received any remuneration or other benefits (2023 - £NIL).

During the year ended 31 December 2024, no Trustee expenses have been incurred (2023 - £NIL).

Page 27

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

14. Tangible fixed assets

Cost or valuation
At 1 January 2024
At 31 December 2024
Net book value
At 31 December 2024
At 31 December 2023		 Freehold
property
£
3,476,123
3,476,123
3,476,123
3,476,123

Cost and valuation figures include valuations made by the Clerk to the Trustees as at 1 January 1973 and 31 December 1977. The valuation at 1 January 1973 revalued all properties held at that date (£103,200) and the valuation at 31 December 1977 comprised the properties held within Sir John Hayward's Almshouses and St Catherine's Hospital following the amalgamation of the Charities on 29 November 1977 (£130,000). The balance of £3,242,923 comprises subsequent additions at cost.

Page 28

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

15. Investment property

Valuation
At 1 January 2024 (as restated)
Gain on revaluation
At 31 December 2024		 Freehold
investment
property
£
14,444,628
583,650
15,028,278

The investment properties were valued in 2020 by an independent firm of Chartered Surveyors on an open market value for existing use basis. A formal valuation is to be undertaken during 2025. In the interim internal valuations have been completed.

16. Fixed asset investments

Cost or valuation
At 1 January 2024
Additions
Disposals
Revaluations
At 31 December 2024
Net book value
At 31 December 2024
At 31 December 2023		 Listed
investments
£
7,310,513
2,178,961
(2,431,242)
280,569
7,338,801
7,338,801
7,310,513

Page 29

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

17. Debtors

Due within one year
Trade debtors
Other debtors
Prepayments and accrued income
Insurance recoverable
18.
Creditors: Amounts falling due within one year
Trade creditors
Other taxation and social security
Accruals and deferred income
Deferred income at 1 January 2024
Income deferred during the year
Amounts released from previous periods
Deferred income at 31 December 2023
19.
Creditors: Amounts falling due after more than one year
Other creditors		 2024
£
122,274
113
209,917
56,067
388,371
2024
£
17,267
2,584
223,152
243,003
160,384
137,767
(139,322)
158,829
2024
£
44,494		 2023
£
74,650
-
182,168
54,134
310,952
2023
£
38,090
1,900
252,812
292,802
141,538
139,467
(120,621)
160,384
2023
£
30,231

Page 30

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

20. Statement of funds

Statement of funds - current year

Designated
funds
Cyclical
Maintenance
Fund
Extraordinary
Repairs Fund
General Repairs
Fund
Planned
Maintenance
Fund
Memorial Fund
Poor Travellers
House Fund
Apprenticeship
Support Fund
General funds
General Income
Fund
Total
Unrestricted
funds		 As restated
Balance at 1
January
2024
£
71,890
121,862
253,776
123,493
57,868
451
5,939
635,279
1,209,408
1,844,687		 Income
£
3,902
7,548
10,832
21,644
40,384
-
-
84,310
1,450,595
1,534,905		 Expenditure
£
-
(135,651)
(27,123)
(13,678)
(3,143)
-
-
(179,595)
(1,524,549)
(1,704,144)		 Transfers
in/out
£
5,500
91,848
(41,931)
12,462
-
-
-
67,879
(67,879)
-		 Gains/
(Losses)
£
-
-
-
-
-
-
-
-
52,329
52,329		 Balance at
31
December
2024
£
81,292
85,607
195,554
143,921
95,109
451
5,939
607,873
1,119,904
1,727,777

Page 31

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

20. Statement of funds (continued)

Endowment
funds
Richard Watts
Chatham Intra
Sir John
Hayward's
Charitable
Fund
St Catherine's
Hospital
Sir John
Hayward's
Educational
Charity
William Mantle
Trust
Total of funds		 23,192,390
1,514
593,713
640,461
26,985
254,328
24,709,391
26,554,078		 -
-
-
-
18
9,639
9,657
1,544,562		 -
-
-
-
(200)
(9,660)
(9,860)
(1,714,004)		 -
-
-
-
-
-
-
-		 850,368
1
2
(1)
71
(4,319)
846,122
898,451		 24,042,758
1,515
593,715
640,460
26,874
249,988
25,555,310
27,283,087

Page 32

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements

for the year ended 31 December 2024

20. Statement of funds (continued)

Statement of funds - prior year (as restated)

Designated
funds
Cyclical
Maintenance
Fund
Extraordinary
Repairs Fund
General Repairs
Fund
Planned
Maintenance
Fund
Memorial Fund
Poor Travellers
House Fund
Apprenticeship
Support Fund
General funds
General Income
Fund
Total
Unrestricted
funds		 Balance at
1 January
2023
£
65,950
148,846
275,436
120,605
57,513
451
5,939
674,740
1,157,235
1,831,975		 Income
£
5,940
1,130
7,699
15,673
355
-
-
30,797
1,372,345
1,403,142		 Expenditure
£
-
(70,629)
(35,676)
(25,945)
-
-
-
(132,250)
(1,278,685)
(1,410,935)		 Transfers
in/out
£
-
50,000
15,000
13,160
-
-
-
78,160
(78,160)
-		 As restated
Gains/
(Losses)
£
-
(7,485)
(8,683)
-
-
-
-
(16,168)
36,673
20,505		 As restated
Balance at
31
December
2023
£
71,890
121,862
253,776
123,493
57,868
451
5,939
635,279
1,209,408
1,844,687

Page 33

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

20. Statement of funds (continued)

Endowment
funds
Richard Watts
Chatham Intra
Sir John
Hayward's
Charitable
Fund
St Catherine's
Hospital
Sir John
Hayward's
Educational
Charity
William Mantle
Trust
Total of funds		 21,855,907
1,575
593,950
646,857
25,800
255,084
23,379,173
25,211,148		 -
-
-
-
796
12,933
13,729
1,416,871		 -
-
-
-
(200)
(9,660)
(9,860)
(1,420,795)		 -
-
-
-
-
-
-
-		 1,336,483
(61)
(237)
(6,396)
589
(4,029)
1,326,349
1,346,854		 23,192,390
1,514
593,713
640,461
26,985
254,328
24,709,391
26,554,078

Page 34

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

21. Summary of funds

Summary of funds - current year

Designated
funds
General funds
Endowment
funds		 As restated
Balance at 1
January
2024
£
635,279
1,209,408
24,709,391
26,554,078		 Income
£
84,310
1,450,595
9,657
1,544,562
Income
£
30,797
1,372,345
13,729
1,416,871		 Expenditure
£
(179,595)
(1,524,549)
(9,860)
(1,714,004)
Expenditure
£
(132,250)
(1,278,685)
(9,860)
(1,420,795)		 Transfers
in/out
£
67,879
(67,879)
-
-
Transfers
in/out
£
78,160
(78,160)
-
-		 Gains/
(Losses)
£
-
52,329
846,122
898,451
As restated
Gains/
(Losses)
£
(16,168)
36,673
1,326,349
1,346,854		 Balance at
31
December
2024
£
607,873
1,119,904
25,555,310
27,283,087
Balance at
31
December
2023
£
635,279
1,209,408
24,709,391
Summary of funds - prior year
Designated
funds
General funds
Endowment
funds		 Balance at
1 January
2023
£
674,740
1,157,235
23,379,173
25,211,148
26,554,078

22. Analysis of net assets between funds

Analysis of net assets between funds - current period

Unrestricted
funds
2024
£
Tangible fixed assets
-
Fixed asset investments
1,057,239
Investment property
-
Current assets
958,035
Creditors due within one year
(243,003)
Creditors due in more than one year
(44,494)
Total
1,727,777		 Endowment
funds
2024
£
3,476,123
6,281,562
15,028,278
769,347
-
-
25,555,310		 Total
funds
2024
£
3,476,123
7,338,801
15,028,278
1,727,382
(243,003)
(44,494)
27,283,087

Page 35

Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

22. Analysis of net assets between funds (continued)

Analysis of net assets between funds - prior period (as restated)

Tangible fixed assets
Fixed asset investments
Investment property
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Unrestricted
funds
2023
£
-
1,012,932
-
1,154,788
(292,802)
(30,231)
1,844,687		 Endowment
funds
2023
£
3,476,123
6,297,581
14,444,628
491,059
-
-
24,709,391		 Total
funds
2023
£
3,476,123
7,310,513
14,444,628
1,645,847
(292,802)
(30,231)
26,554,078

23. Reconciliation of net movement in funds to net cash flow from operating activities

Net income for the period (as per Statement of Financial Activities)
Adjustments for:
Gains on investment property
Gains on investments
Dividends, interest and rents from investments
Increase in debtors
Increase/(decrease) in creditors
Profit on disposal of investment property
Net cash used in operating activities
24.
Analysis of cash and cash equivalents
Cash in hand		 2024
£
729,009
(583,650)
(314,801)
(1,052,721)
(77,419)
(35,536)
-
(1,335,118)
2024
£
1,339,011		 As restated
2023
£
1,342,930
(1,152,128)
(194,726)
(965,178)
(43,459)
42,107
(90,000)
(1,060,454)
2023
£
1,334,895

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Richard Watts and the City of Rochester Almshouse Charities

Notes to the financial statements for the year ended 31 December 2024

25. Analysis of changes in net debt

At 1 At 31
January December
2024 Cash flows 2024
£ £ £
Cash at bank and in hand 1,334,895 4,116 1,339,011

26. Operating lease commitments

At 31 December 2024 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2024
£
732
-
732		 2023
£
976
732
1,708

27. Related party transactions

During the year the Charity paid a grant of £Nil (2023 - £100) to Rochester Grammar School for Girls Charity, of which Mr M Bailey was also a trustee. There were no amounts outstanding at the balance sheet date (2023 - £Nil).

During the year the Charity paid grants totalling £Nil (2023 - £9,000) to Thinking Schools Academy Trust, of which Mr M Bailey was also a trustee. There were no amounts outstanding at the balance sheet date (2023 - £Nil).

28. Post balance sheet events

Richard Watts and the City of Rochester Almshouse Charities has transferred all operations, assets, contracts, and staff to a newly created Charitable Incorporated Organisation (CIO) on 1 April 2025. The new incorporated charity registered in September 2024 is called Richard Watts Charities CIO, but will operate under the name of Richard Watts Charities.

29. Prior year adjustment

A prior year adjustment has been made to adjust for the fair value of the investment property as of 31 December 2023 based on a internal valuation. The adjustment was for a cumulative gain of £1,152,128, bringing the closing fair value of investment property as of 31 December 2023 to £14,444,628.

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