**Charity number: 213213**
## **The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Unaudited**
**Trustees' report and financial statements**
**for the year ended 29 February 2024**
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Contents**
||Page|
|---|---|
|**Reference and administrative details of the Charity, its Trustees and advisers**|1 - 2|
|**Trustees' report**|3 - 11|
|**Independent examiner's report**|12 - 13|
|**Statement of financial activities**|14|
|**Balance sheet**|15|
|**Notes to the financial statements**|16 - 26|
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Reference and administrative details of the Charity, its Trustees and Advisers for the year ended 29 February 2024**
|**Trustees**|Major N Wood, Deputy Chairman3|
|---|---|
||Wg Cdr P H Gilbert QVRM TD DL VR MB BCh MRCGP DRCOG DCH, Chair of
Welfare and Admissions Committee3|
||Lt Cdr S Small RNR, Chairman3|
||Cdre B Bryant, Representative of the Lord High Admiral of the United Kingdom1|
||Capt S M Gobbi MA LLB, Appointed by Corporation of Trinity House2|
||Dr M L Morgan, Appointed by Lord Bishop of Rochester2|
||Mr C H Reynolds, Chair of Premises Committee. Appointed by Royal Naval
Benevolent Trust2|
||Capt N A M Butler (resigned 14 June 2023)3|
||Mrs P Lowton, Chair of Finance and General Purposes Committee3|
||Lt Col R Meakins, Appointed by the Royal School of Military Engineering (resigned
8 March 2023)2|
||Lt Col A. Pick (appointed 8 March 2023, resigned 6 March 2024)2|
||Mr J P O'Kane (appointed 1 February 2024)|
||Mr J Gamp, Member of Finance and General Purposes Committee (appointed 8
March 2023)|
|1
Ex-Officio Governors
2
Nominated Governors
3
Co-Optative Governors
**Charity registered**
**number**
213213
**Principal office**
High Street
Chatham
Kent
ME4 4EW
**Deputy Governor**
Ms K Miller
**Website address**
www.hawkinshospital.org
**Accountants**
Kreston Reeves LLP
Chartered Accountants
Montague Place, Quayside
Chatham Maritime, Chatham
Kent, ME4 4QU||
Page 1
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Reference and administrative details of the Charity, its Trustees and Advisers (continued) for the year ended 29 February 2024**
|**Bankers**|NatWest Bank PLC|
|---|---|
||PO Box 166|
||40 High Street|
||Rochester|
||Kent|
||ME1 1LJ|
|**Solicitors**|DGB Solicitors LLP|
||The Captain's House|
||Central Avenue|
||Pembroke|
||Chatham Maritime|
||Kent ME4 4UF|
|**Investment Managers**|Charles Stanley & Co. Limited|
||55 Bishopsgate|
||London|
||EC2N 3AS|
||CCLA|
||Senator House|
||85 Queen Victoria Street|
||London|
||EC4V 4ET|
|**Independent Examiners**|Samantha Rouse FCCA DChA|
||Kreston Reeves LLP|
||Chartered Accountants|
||Montague Place, Quayside|
||Chatham Maritime, Chatham|
||Kent, ME4 4QU|
Page 2
## **The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Trustees' report for the year ended 29 February 2024**
The Trustees present their annual report together with the financial statements of the Charity for the year from 1 March 2023 to 29 February 2024.
## **Objectives and activities**
## **a. Policies and objectives**
The purpose of the Charity is to provide almshouse accommodation for the relief of needy and disabled mariners and shipwrights in service of the realm. The 1983 Scheme, as amended, extends the class of beneficiaries to needy or disabled persons who have served either in the Royal Navy, the Royal Marines, the Women's Royal Naval Service, the Queen Alexandra's Royal Naval Nursing Service, the Army, the Royal Air Force or who have served and have been mobilised for active service in any of the Reserve Forces or bodies or who have been employed in any of Her Majesty's Dockyards or Naval Bases directly on the construction, maintenance, re fitting or repair of Her Majesty's ships and vessels or have served in the Royal Fleet Auxiliary or British Merchant Navy.
There have been no changes to the objects in the year.
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)'.
## **Achievements and performance**
## **a. Review of activities**
• COVID Response. Despite the COVID alert status having been downgraded by HMG to endemic within the general population most of our beneficiaries are within the “at risk” category and continue to be encouraged to take up COVID booster vaccinations along with seasonal flu and shingles as and when offered by their general practitioners.
• Advice on general health matters and precautions is a regular item within the Hospital's newsletter which is sent out to residents four times per year. It is also a topic of conversation in the monthly duty governor meeting with beneficiaries.
## **Cost of Living/Energy Costs:**
• Whilst in the previous year the Governors considered the potential to offer subsidies to residents, routine monitoring throughout this year established that beneficiaries were able to cope within their means. The Hospital has continued with its very generous charitable discount of the valuations provided by the government’s valuation office (discussed elsewhere) and most beneficiaries have their WMC found by local authority benefit payments. Energy prices stabilised by mid-year and there was not the continued uptick in prices that had been forecast.
• The previous year’s enhancement of already generous layers of loft insulation has improved heat retention within the flats generally and consequently eased the heating burden. Beneficiaries have remained comfortable throughout what proved to be a relatively cold winter period.
• Governors have continued to encourage beneficiaries to engage with the authorities to ensure that they are receiving appropriate levels of benefit for their circumstances. Offers have been made to support those who find it difficult to navigate the online claims system.
• Our beneficiaries managed well throughout the relatively cold winter although sadly we did have one death just prior to Christmas. This was age related (96) and a general decline in health, not attributable in any way to fuel or food poverty.
Page 3
**The Hospital of Sir John Hawkins, Knight, in Chatham**
**Trustees' report (continued) for the year ended 29 February 2024**
## **Achievements and performance (continued)**
## **Maintenance:**
## • **General –**
• Buildings remain in a good state of general repair other than routine repairs and maintenance throughout the year. A water leak in the loft space caused damage to a bedroom ceiling in flat 5 but, following repair, this has been corrected as part of the redecoration once the flat was vacated.
• The quinquennial survey of the property was carried out in December 2023 and the report received just prior to the end of the reporting year. In general terms the buildings remain in sound condition and most recommendations are upgrading as opposed to essential remedial actions. The surveyor has recommended a fresh fire survey be carried out and this is already planned for the start of the next reporting year.
## • **Improvements –**
• Following advice from British Gas new gas cut off valves were fitted at the entranceways to flats 7 and 8 to comply with revised gas safety regulations. The other flats already have internal cut off valves fitted as their meters are located within the flat as opposed to externally as with flats 7 and 8. Improvements to the ventilation and air flow of the meter cupboard for flats 7 and 8 has also been made in accordance with advice given by British Gas.
• A fresh independent asbestos survey has been carried out across the Hospital and no asbestos has been discovered. Several suspicious structures required samples being sent off for external analysis, however, were identified as benign. As with all asbestos surveys this does not mean that where intrusive works are undertaken there might not be asbestos within internal building structures and consequently an asbestos register is maintained on site and available to any contractor undertaking intrusive works.
• Flat 7 was redecorated, recarpeted and additional mains supply sockets fitted in the kitchen area as part of the preparation for occupancy following the passing of our eldest resident.
• Several of the flats have had upgrades to the electric shower units.
• Where practicable energy efficient alterations have been made to electrical circuits.
## **Raising Awareness -**
• General: The consolidated programme to raise the profile of the Hospital has continued apace with support from national sponsors and funding from local government.
• The Governors continue to support the National Garden Scheme and the open weekend remains popular with a very good footfall of visitors. The cream teas offered were once again very popular and sold out on both days.
• The two Heritage Weekends were once again very well attended with visitors from all over the Southeast of England. As with the Open Garden weekend, creams teas are a vital attraction. Visitors are very appreciative of the opportunity to visit the Hospital, and this is witnessed by the positive comments recorded in the visitors book.
• The Hospital has benefited from the Council’s review of the Chatham Intra area and in particular the heritage zone of which we are at the epicentre. The review document which has been out to consultation has provided very positive publicity but more importantly a road map for protecting and developing the area in keeping with its many historic buildings. This has been particularly important in preventing a grossly overbearing development of the land adjacent to the Hospital. The Council’s interest in Chatham Intra has permitted them to continue to fund events locally and as the Hospital is prominently placed it has benefited from both publicity and interest.
• The Coronation of the Hospital’s ex-officio chair, the Lord High Admiral, His Majesty the King was celebrated at the Hospital and as it was across the land. This did garner local publicity and has helped significantly to raise local awareness of the significance of the charity.
Page 4
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Trustees' report (continued) for the year ended 29 February 2024**
## **Achievements and performance (continued)**
• Engagement with the new Council’s Armed Forces Champion was sought at the earliest opportunity, and this has had positive outcomes in respect of signposting to local ward councillors as both a local and national resource.
• The Governors have continued the programme of briefings, particularly to those who provide nominee Governors to the board and to supportive organisations who are seen as beneficial to the charity.
## • Collective Action:
• The Hospital continues to support and benefits from its membership of the Canterbury-based East Kent Consortium of Almshouses. This has proved a very useful forum and small almshouses, such as the Hospital, gain significant expert advice from the professional managers who run larger charitable entities.
• More locally, there are four sets of almshouses in the Medway catchment. The Hospital has been pivotal in setting up informal meetings and this has continued on a quarterly basis to share ideas, experiences and solutions to common problems.
## **Impact Statement:**
• The Hospital of Sir John Hawkins, Knight, in Chatham, continues its founder’s charitable objective by providing comfortable and secure housing for service veterans in need. The charity has devoted its funds to ensuring that the buildings are maintained to a high standard, that all relevant safety standards are achieved through a cycle of tests and inspections and that a quiet a restful garden is provided to the beneficiaries as a place of enjoyment and retreat. The vital theme is to permit beneficiaries to maintain their independence whilst acting as a safety net should the need arise.
• As well as focussing effort upon the core objectives throughout the reporting year, the charity has continued to support local initiatives for the improvement of local amenities, raise the ambiance of the area and to support national appeals such as the National Garden Scheme by opening is very picturesque garden for fundraising.
• The Hospital is a Grade 2 listed Georgian building that is significant element of Chatham’s heritage. The Governors have meticulously maintained its historic character whilst ensuring that internally beneficiaries enjoy comfortable and modern amenities.
• The aim of the charity is to maintain the Hospital at full capacity with all eight flats occupied. That aim was achieved for all but the last month of the reporting period when our eldest beneficiary, at 96 years of age, passed away. The full occupancy factor is always a significant factor in the impact that we make within the local area and the ex-service charitable sector.
## **b. Investment policy and performance**
The principal objective is to invest funds to maximise income without placing at undue risk the capital value of the investment such that the income produced is at least sufficient to assist in meeting the expenditure of the Charity. To assist in the objective, the Governors appoint advisors upon such terms as are deemed appropriate to make recommendations as to the sale and/or purchase of investment holdings. The Governors consider that given the very difficult economic climate, the performance of the investment managers was satisfactory.
## **Financial review**
Page 5
**The Hospital of Sir John Hawkins, Knight, in Chatham**
**Trustees' report (continued) for the year ended 29 February 2024**
## **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**
(1) General The Governors consider that the level of free reserves, excluding Endowment Fund, is appropriate having regard to future maintenance and refurbishment costs. With this in mind the combined levels of the Cyclical Maintenance and Extraordinary Repair funds should be kept at an overall balance in excess of one year’s running costs.
(2) Endowment Fund This comprises the permanent endowment of the Charity and amounted to £426,409 (2023: £392,509) at 29 February 2024.
(3) Cyclical Maintenance Fund Established voluntarily under the Charity Commissioner’s Scheme to provide for the ordinary maintenance and repair of the almshouses. The balance at 29 February 2024 was £43,006 (2023: £43,006).
(4) Extraordinary Repair Fund Established compulsorily under the Charity Commissioner’s Scheme to provide for the extraordinary repair, improvement, extension or rebuilding of the almshouses. The balance at 29 February 2024 was £24,534 (2023: £24,534).
(5) Income Fund This comprises the unrestricted income of the Charity. Free reserves at 29 February 2024 were £483,264 (2023: £453,197).
(6) Property Fund This is an unrestricted fund and comprises the value of the property owned by the Charity. The balance at 29 February 2024 was £41,038 (2023: £41,038).
## **c. Voluntary income**
• Donations are only sought to help meet the cost of major projects, the Hospital having sufficient funds to meet its routine funning costs. There have been no major projects within year and accordingly no grants have been applied for.
• As in previous years, the Medway Mission to Mariners Trust and the Chatham Naval Officers' Association have both contributed significant donations for the general purposes of the Hospital which helped recover costs of repairs to shower rooms in several of the flats and to enhance the Christmas experience for beneficiaries.
Page 6
**The Hospital of Sir John Hawkins, Knight, in Chatham**
**Trustees' report (continued) for the year ended 29 February 2024**
## **d. Weekly Maintenance Contributions (WMC) Review**
• The completion of the biennial review was reported upon last year whilst indicating that it would come into effect within this reporting period. By way of reminder, the Governors sought fair rent assessments from the Valuation Agency and then by a process of means testing for each beneficiary in order to establish the level of subsidy they should receive from the charity.
• The Governors established several years ago that the charity support for WMC was excessively generous when compared with the almshouse sector in general. This review cycle saw a reduction to 60% charitable subsidy being attracted by almost all beneficiaries. Whilst undertaking the review cycle last year, Governors took into consideration the rising cost of living and general inflation as well as almost all the beneficiaries receiving housing benefits. We are conscious that our trust deed mandates that we, as a charity, should not be subsidising the common duty of the local authority. This conscious reduction of 4%, ahead of our original planning, was taken to mitigate the impacts upon the Charity of high levels of general inflation within the economy. Monitoring throughout the fiscal year has identified no detrimental impact upon any beneficiary by dint of the Governors sound fiscal decision making.
• The Governors have encouraged beneficiaries to review with the Benefits Agency what benefits they may be entitled to and have offered help with the claims process if required. Assistance has been given in several cases to align housing benefit payments by the local authority.
Page 7
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Trustees' report (continued) for the year ended 29 February 2024**
## **Structure, governance and management**
## **a. Constitution**
The Charity was founded by Royal Charter of 27 August 1594, upon the petition of Queen Elizabeth I's Treasurer of the Navy, Sir John Hawkins. It was further regulated by Statutes and Ordinances of 25 May 1598 and a Scheme of the Charity Commissioners dated 4 February 1876. These regulations have now been replaced by a Scheme of the Charity Commissioners dated 18 December 1983, as amended on 1 November 1999.
## **b. Organisational structure and decision-making policies**
## Composition of the governing body
• It was reported last year that both ex-officio Governors, the Lord High Admiral, Her Majesty the Queen and the Lord Warden of the Cinque Ports, Admiral of the Fleet Lord Boyce had died within weeks of each other. His Majesty the King has assumed the title of Lord High Admiral and confirmed his ex-officio status with the Hospital. During this reporting period the appointment of Lord Warden has remained vacant and awaits His Majesty’s pleasure.
• The RSME nominated governor appointment was for much of the reporting Lt Col Pick, however, service priorities saw him taking on a more challenging appointment and consequently he has been replaced by Lt Col O’Kane. We were notified that the Bishop of Rochester’s nominee would be standing down following his taking Holy Orders. The Bishop is yet to make a new appointment.
Major Neil Wood reached the end of his tenure as Chairman of Governors and Lt Cdr Stephen Small was elected as Chairman. Major Wood agreed to continue to a further year in the role of Vice Chairman.
The Board remains stable and a highly effective, well able to deliver the high standards of decision making and governance required.
Board Meetings. The four board meetings per annum cycle has continued uninterrupted and meetings have been well attended. Our new technology has permitted attendance virtually where otherwise it would not have been possible. The governing body view it an important duty to see and be seen and have been conscientious in their efforts to attend in person.
## Sub-Committees.
The Finance and General Purposes Committee meets four times per annum, ahead of each of the full board meetings. This committee provides current financial information, formulates budgets and makes recommendations regarding income and expenditure.
The Welfare and Admissions Committee meets on an as required basis, normally biannually and monitors the well-being of the residents and screens potential new beneficiaries. The interface with beneficiaries is supplemented by a duty Governor visit to speak with residents on the afternoon of the first Friday of each month.
The Premises Committee usually meets just once in a non-quinquennial inspection year to monitor the progress of planned maintenance and works. In quinquennial years that increases to twice in order to plan the response to the inspection outcomes and prepare a briefing and recommendations for the full Board of Governors' meeting. That said, members of the committee liaise on a regular basis to ensure effective control and monitoring.
The Chairman would like to record at this point his gratitude and appreciation to all members of the governing body for their time and effort and the diligence they demonstrate to their duties and the Hospital in general. These are busy people, some like the Lt Col integral to keeping this nation safe. It is always heartening to chair such effective and decisive meetings.
The Governors took the opportunity to send loyal greetings to His Majesty the King upon his accession and coronation. May he long reign over us and continue his personal interest as Lord High Admiral and ex-officio Governor. God Save the King.
Page 8
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Trustees' report (continued) for the year ended 29 February 2024**
## **Structure, governance and management (continued)**
The Deputy Governor role continues to be filled through a business support contractor and this has bedded in well over the past twelve months.
The Hospital’s Caretaker and gardener plus his partner provide invaluable service to the charity, striking a delicate balance between being accessible whilst giving residents privacy and autonomy. They continue to be excellent ambassadors for the charity and as local residents have engaged within the local community networks to raise the profile of the charity and to ensure its place as a significant asset, one that has delivered its primary welfare objectives on the same site for over 430 years.
## **c. Risk management**
The Governors continue to be ever mindful of the major risks to which the charity is exposed, regularly consider them and have developed standing policies, regularly reviewed to ensure they remain relevant, to manage and mitigate their effects. These considerations and procedures are built into the Governors' operational and strategic plans.
The principal risks facing the charity are assessed to be: **Governance** – adherence to the terms of the scheme **Operations** – principally relating to maintenance and statutory requirements **Awareness** – raising the profile of the charity in order to effectively reach potential beneficiaries **Finance** – managing a lumpy cash flow
**Compliance** – working within statutory requirements and managing effectively to address emerging changes and new legislation. Observing Health and Safety and Data Protection legislation.
**Local Development** – impact of any proposed regeneration schemes that could impact upon the Hospital and the quality of life of beneficiaries.
Risks and hazards that occur or are identified beyond those foreseen are addressed initially by relevant Governors who have locus alongside the Deputy Governor and Caretaker. Key to this effective system of working is sound communication. Longer term solutions and policy changes are discussed and implemented as necessary through the sub-committees and ultimately the full Board for consideration and approval.
## **Future Developments**
The quinquennial survey was completed in the later part of this reporting year, and this will influence the business of the board in the year ahead.
Whilst the fabric of the Hospital remains in good order there are several areas where further work is required to better understand the complexities of working as a charity within the almshouse sector. Already penned into the work programme for the year ahead are
- Fire Risk Assessment
- Energy Performance Certification for each flat (considering the recent report to government compiled by English Heritage on the competing challenges of EPC legislation within Listed Buildings). The drawing up of plans for the refurbishment of all kitchens, bathrooms and ancillaries as a project within the next two to five years.
## **Review of Investment Managers.**
This process had been undertaken prior to COVID, however the Board decided to place their decision on hold whilst the world was in the grips of a pandemic and markets were volatile.
During this reporting period a review was undertaken by Governors in order to place all invested funds under management by just one company as opposed to the two at present. This was principally an exercise to ensure best possible return on our investments and to reduce the fees being incurred by having two separate fund managers.
Page 9
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Trustees' report (continued) for the year ended 29 February 2024**
## **Future Developments (continued)**
Upon completion of an open competition between a number of investment houses the Governors reached a unanimous decision and are in the process of moving of moving from Charles Stanley and CCLA to one anager, Rathbones. This transition is a complex one and will be cmpleted within the coming year.
## **Review of Bankers:**
Whilst the Governors very much wished to embrace electronic banking it was found that our existing bankers were unable to provide with their platform the level of governance security and authorisation that we required.
The Board has reviewed the banking options and has unanimously agreed that the charities accounts will be moved to the Charity Aid Foundation Bank (CAF Bank) once we have completed the transition of investment managers.
The migration of banking to CAF is in keeping with recommendations made by the Almshouse Association and we firmly believe provides the levels of internal authority and governance necessary for sound fiscal management.
## **Succession Planning:**
The Vice Chairman, Major Neil Wood, will stand down and leave the charity at the 2024 AGM having previously served with great distinction as Chairman for over ten years.
In preparation for this eventuality the Board have already identified a willing successor as a Co-opted Governor and to fill the appointment of Vice Chairman of the Charity. Mr John Gamp, a former MoD Civil Servant who was appointed, until his retirement, to Greenwich Hospital and is already a Co-opted Governor of the Charity, will take the role of Vice Chairman from the 2024 AGM.
Identifying potential beneficiaries:
The Welfare and Admissions Committee has completed a review of organisations that work within the charitable and welfare sectors of the exservice communities.
A comprehensive data base of contacts has been compiled. With the sad passing of our eldest beneficiary at the very end of this reporting period, we will be going out to our contacts nationally to advertise the vacant twobedroom flat with a couple in mind.
## **Policy Review:**
The Residents' Handbook was reviewed and updated in 2022/23.
The Governors' Handbook has been reviewed during this reporting year and was updated and republished prior to the end of the reporting period.
## **Neighbouring Development:**
Development of the former car dealership, immediately to the east of the Hospital has remained stalled following two failed bids for planning permission and as a result of significant objections not least from Historic England.
The Council have this year carried out a full review of the area known as Chatham Intra, of which the Hospital is at the historic epicentre.
The review has been out to consultation and is very positive in the way it views any change or development within this unique quarter of Medway.
Once ratified by the Council, and that is expected soon, the planning authority will be bound by decisions that future development will be in keeping with existing buildings and that growth above three stories will not be permitted.
Page 10
The H05pilal of Sir John Hawklns Knlgh( In Chatham
Trust8as' report {conlinued)
for the yaar anded 29 F8bruary 2024
Future Developmgnls (Gontlnued)
As a result of thes8 factors, the empty Wds leased in January 2024 for a period of three years lo the
Gilllngham Street Angels charty.
Whilst this does not mean that development Is off the table Il does provide some comfort that any future
development ¥11 be in keeping with the area and not overbearing grossly dethmental to the Hospltal b)Ih in
terms of visual aspect bul also the risk of serious damage to th6 Georglan fabric of Ihe Hospital due lo ground
works and modern ¢onstructlon techniques.
statement of Trustees. responsil>ilities
The Trusteas are respMsle for prepariThJ the Trustees, rewt and the ffinanclal stal8ments In 8rdanGe th
appllcable law and Unlled Kingdom Accounting Standards (United King¢kn Gengrally Aepted A¢¢ounllng
Practice).
The law applicable lo ¢harSlles In England & Wdes requires Ihe Trustees to prepare financlai slatem8nls for
8a¢h financlal year. which glve a true and falr wew of the stale of affairs of th8 Charity and of its income and
applicallon of re8our¢es. Includlng its income and expenditure. for that perlod. In preparing these financlal
statements, Ihe Tru$lees are required lo:
select suitable accounting policies and then apply them conslsl8ntly.
observe the methods and prirKiples of the Charilies SORP {FRS 102)..
make judgements and accounting estirnales that are reasonable and prudenL'
state whether applicable UK Accounting Standards (FRS 102) have been followed, $ubJect lo any matèrial
departure5 disclosed and 8xplained in the financiat statements;
prepare the finanrAal statement8 on th8 going concern b$ unless It18 In8pproprfat• to pr88ume that th&
Charity thrfll contlnue In buslness.
The Tru8te88 arè r6sponslble lor keeplng adequate aCcoUntw records that are sufficient lo show and explaln
Ihe Charitys Iransacllons and di$¢l0$8 b%rylh reasonabie accuracy at any time the financlal posltlon of the Charfty
and enable them to ensure that the fmancial $talements comply with the Charilles Act 2011. the Charity
(Accounts and Reports) R8gulatlon$ 2008 and the provisions of the Royal Charter. They aro also re8ponslble for
safeguardlng the assets of the Charlty and hence takuw reasonabl8 Step$ for the pr9vention and detecllon of
fraud and other irf¢gularilies.
Approved by rder of the rnembgrs of the Board ofTwslee5 and si Iheir behalf by.
Lt Cdr S Small RNR
Chalrman
Mr J Gamp
Twstee
Major N Wood
Deputy Chairman
Date: 21 st November.2024
Page11
## **The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Independent examiner's report**
## **for the year ended 29 February 2024**
## **Independent examiner's report to the Trustees of The Hospital of Sir John Hawkins, Knight, in Chatham ('the Charity')**
I report to the Charity Trustees on my examination of the accounts of the Charity for the year ended 29 February 2024.
## **Responsibilities and basis of report**
As the Trustees of the Charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the Charity's accounts carried out under section 145 of the Act and in carrying out my examination I have followed the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
## **Independent examiner's statement**
Your attention is drawn to the fact that the Charity has prepared the accounts in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) 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.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the Charity as required by section 130 of the 2011 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Page 12
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Independent examiner's report (continued) for the year ended 29 February 2024**
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. My work has been undertaken so that I might state to the Charity's Trustees those matters I am required to state to them in an Independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the Charity and the Charity's Trustees as a body, for my work or for this report.
Signed: Dated: 21 November 2024 Samantha Rouse FCCA DChA
## **Kreston Reeves LLP**
Chartered Accountants Montague Place, Quayside
Chatham Maritime, Chatham
Kent, ME4 4QU
Page 13
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Statement of financial activities for the year ended 29 February 2024**
|**Note**
**Income and endowments from:**
Donations and legacies
**4**
Charitable activities
**5**
Investments
**6**
**Total income and endowments**
**Expenditure on:**
Charitable activities
**7**
**Total expenditure**
**Net (expenditure)/income before net**
**gains/(losses) on investments**
Net gains/(losses) on investments
Transfers between funds
**12**
**Net movement in funds**
**Reconciliation of funds:**
Total funds brought forward
Net movement in funds
**Total funds carried forward**|**Endowment**
**funds**
**2024**
**£**
**-**
**-**
**-**
**-**
**2,827**
**2,827**
**(2,827)**
**16,426**
**20,301**
**33,900**
**392,509**
**33,900**
**426,409**|**Unrestricted**
**funds**
**2024**
**£**
**11,250**
**28,678**
**27,287**
**67,215**
**49,728**
**49,728**
**17,487**
**32,881**
**(20,301)**
**30,067**
**561,775**
**30,067**
**591,842**|**Total**
**funds**
**2024**
**£**
**11,250**
**28,678**
**27,287**
**67,215**
**52,555**
**52,555**
**14,660**
**49,307**
**-**
**63,967**
**954,284**
**63,967**
**1,018,251**|Total
funds
2023
£
10,025
25,248
25,821|
|---|---|---|---|---|
|||||61,094
50,637|
|||||50,637
10,457
(30,489)
-|
|||||(20,032)
974,316
(20,032)|
|||||954,284|
The Statement of financial activities includes all gains and losses recognised in the year.
The notes on pages 16 to 26 form part of these financial statements.
Page 14
The Hospital of Slr John Hawklns. KnlgK In Chatham
Balance sheet
as at 29 Febwary 2024
29 February
2024
28 February
2023
Fixed assets
Tangible assèts
Inve5tm8nts
41,038
941,488
41,038
860,464
982,526
901,502
Curr¢nt a$$ets
Cash 81 bank and In hand
38.102
54,744
Creditors: amounts falUrrfJ due wbthln on8
year
11
(277)
{1.962)
Net CUTrent assets
35,725
52.782
Total net assets
1,01B251
954,284
CharSty funds
Endowmenl funds
Unrestrlcted funds
12
12
426,409
591,842
392,509
561,775
Total funds
1,018,251
954,284
The finala1 Statements wwé approved and authorIs for Issue by the Trusie&s and slgned on Ihelr behalf by:
Mr S small
Chairman
MrJGa
Trustee
Major N Wood
Deputy Chairman
Dale: 21 st November 2024
The notes on pag8s 16 to 26 fo part of these financial statements.
Page 15
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **1. General information**
The Charity is an unincorporated charity, registered in England and Wales, with the charity number 213213. The Charity's registered office is shown on page 1.
The Charity's objects can be found in the Trustees report on page 3.
## **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 on 16 July 2014 rather than the Accounting and Reporting by Charities: Statement of Recommended Practice effective from 1 April 2005 which has since been withdrawn.
The Hospital of Sir John Hawkins, Knight, in Chatham 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.
The financial statements are presented in UK sterling, which is the Charity's functional currency, and rounded to the nearest pound.
## **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 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 notes to the financial statements.
Endowment funds comprise the permanent endowment of the Charity.
Investment income, gains and losses are allocated to the appropriate fund.
Page 16
**The Hospital of Sir John Hawkins, Knight, in Chatham**
**Notes to the financial statements for the year ended 29 February 2024**
## **2. Accounting policies (continued)**
## **2.4 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.
Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.
## **2.5 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 charitable activities is incurred on directly undertaking the activities which further the Charity's objectives, as well as any associated support costs.
All expenditure is inclusive of irrecoverable VAT.
## **2.6 Interest receivable**
Interest on funds held on 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 institution with whom the funds are deposited.
## **2.7 Taxation**
The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **2.8 Tangible fixed assets and depreciation**
Freehold property is not depreciated. Its estimated useful life is in excess of fifty years and the estimated residual value is more than the carrying value in the Balance sheet. Any depreciation would therefore be immaterial and no provision has been made in the financial statements.
## **2.9 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 ‘Gains/(Losses) on investments’ in the Statement of financial activities.
## **2.10 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.
Page 17
**The Hospital of Sir John Hawkins, Knight, in Chatham**
**Notes to the financial statements for the year ended 29 February 2024**
## **2. Accounting policies (continued)**
## **2.11 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.
## **2.12 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.
## **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.
Page 18
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **4. Income from donations and legacies**
|Donations
Total 2023
**Income from charitable activities**
Weekly maintenance contributions
Total 2023
**Investment income**
Investment income
Deposit interest
Total 2023|**Unrestricted**
**funds**
**2024**
**£**
**11,250**
10,025
**Unrestricted**
**funds**
**2024**
**£**
**28,678**
25,248
**Unrestricted**
**funds**
**2024**
**£**
**26,393**
**894**
**27,287**
25,821|**Total**
**funds**
**2024**
**£**
**11,250**
10,025
**Total**
**funds**
**2024**
**£**
**28,678**
25,248
**Total**
**funds**
**2024**
**£**
**26,393**
**894**
**27,287**
25,821|Total
funds
2023
£
10,025|
|---|---|---|---|
||||Total
funds
2023
£
25,248|
||||Total
funds
2023
£
25,575
246|
||||25,821|
|||||
## **5. Income from charitable activities**
## **6. Investment income**
Page 19
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **7. Analysis of expenditure by activities**
|Charitable activities
Total 2023|**Direct**
**costs**
**2024**
**£**
**30,480**
28,626|**Support**
**costs**
**2024**
**£**
**22,075**
22,011|**Total**
**funds**
**2024**
**£**
**52,555**
50,637|Total
funds
2023
£
50,637|
|---|---|---|---|---|
||||||
## **Analysis of direct costs**
|Heating and lighting
Insurance
Council tax and water rates
Repairs and maintenance
Medway helpline
425 Event costs
QuinquennialSurveyWorks|**Total**
**funds**
**2024**
**£**
**2,000**
**1,980**
**2,055**
**21,466**
**1,179**
**-**
**1,800**
**30,480**|Total
funds
2023
£
1,343
2,179
1,382
22,617
1,080
25
-|
|---|---|---|
|||28,626|
## **Analysis of support costs**
|Printing, postage and stationery
Investment manager's fees
Honorarium
Sundries
Garden
Resident's Christmas lunch and gratuities
Legal and professional fees
Accountancy and independent examination charges
Website costs|**Total**
**funds**
**2024**
**£**
**337**
**4,360**
**6,616**
**1,086**
**4,896**
**2,323**
**100**
**2,357**
**-**
**22,075**|Total
funds
2023
£
888
4,396
5,965
2,159
3,925
2,574
37
1,962
105|
|---|---|---|
|||22,011|
Page 20
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **7. Analysis of expenditure by activities (continued)**
## **Analysis of support costs (continued)**
Direct costs, in both 2024 and 2023, were all from unrestricted funds, and of the support costs, £2,786 were from endowment funds (2023 - £2,973) and £19,038 were from unrestricted funds (2023 - £19,038).
## **8. Trustees' remuneration and expenses**
During the year, no Trustees received any remuneration or other benefits (2023 - £NIL).
During the year ended 29 February 2024, no Trustee expenses have been incurred (2023 - £NIL).
## **9. Tangible fixed assets**
|**Cost or valuation**
At 1 March 2023
At 29 February 2024
**Net book value**
At 29 February 2024
At 28 February 2023|**Freehold**
**property**
**£**
**41,038**|
|---|---|
||**41,038**|
||**41,038**|
||41,038|
Page 21
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **10. Fixed asset investments**
|**Cost or valuation**
At 1 March 2023
Additions
Disposals
Revaluations
At 29 February 2024
**Net book value**
At 29 February 2024
At 28 February 2023|**Listed**
**investments**
**£**
**860,464**
**89,843**
**(58,126)**
**49,307**|
|---|---|
||**941,488**|
||**941,488**|
||860,464|
The historical cost of the Charity's fixed asset investments is £545,724.
All of the Charity's fixed asset investments are listed investments held in the UK.
## **Material investments:**
|COIF Charities Investment Fund - Income Units
COIF Charities Investment Fund - Capital Units|**29 February**
**2024**
**£**
**310,689**
**98,847**|28 February
2023
£
317,973
85,572
403,545|
|---|---|---|
||**409,536**||
## **11. Creditors: Amounts falling due within one year**
||**29**|**February**|28|February|
|---|---|---|---|---|
|||**2024**||2023|
|||**£**||£|
|Accruals||**2,377**||1,962|
Page 22
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **12. Statement of funds**
## **Statement of funds - current year**
|**Unrestricted**
**funds**
**Designated**
**funds**
Extraordinary
repairs fund
Cyclical
maintenance
fund
**General funds**
General fund
Property fund
**Total**
**Unrestricted**
**funds**
**Endowment**
**funds**
Endowment fund
**Total of funds**|**Balance at 1**
**March 2023**
**£**
**24,534**
**43,006**
**67,540**
**453,197**
**41,038**
**494,235**
**561,775**
**392,509**
**954,284**|**Income**
**£**
**-**
**-**
**-**
**67,215**
**-**
**67,215**
**67,215**
**-**
**67,215**|**Expenditure**
**£**
**-**
**-**
**-**
**(49,728)**
**-**
**(49,728)**
**(49,728)**
**(2,827)**
**(52,555)**|**Transfers**
**in/out**
**£**
**-**
**-**
**-**
**(20,301)**
**-**
**(20,301)**
**(20,301)**
**20,301**
**-**|**Gains/**
**(Losses)**
**£**
**-**
**-**
**-**
**32,881**
**-**
**32,881**
**32,881**
**16,426**
**49,307**|**Balance at**
**29 February**
**2024**
**£**
**24,534**
**43,006**|
|---|---|---|---|---|---|---|
|||||||**67,540**|
|||||||**483,264**
**41,038**|
|||||||**524,302**|
|||||||**591,842**|
|||||||**426,409**
**1,018,251**|
Page 23
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **12. Statement of funds (continued)**
## **Statement of funds - prior year**
|**Unrestricted**
**funds**
**Designated**
**funds**
Extraordinary
repairs fund
Cyclical
maintenance
fund
**General funds**
General fund
Property fund
**Total**
**Unrestricted**
**funds**
**Endowment**
**funds**
Endowment fund
**Total of funds**|Balance at
1 March
2022
£
24,534
43,006
67,540
469,090
41,038
510,128
577,668
396,648
974,316|Income
£
-
-
-
61,094
-
61,094
61,094
-
61,094|Expenditure
£
-
-
-
(47,664)
-
(47,664)
(47,664)
(2,973)
(50,637)|Transfers
in/out
£
-
-
-
(14,896)
-
(14,896)
(14,896)
14,896
-|Gains/
(Losses)
£
-
-
-
(14,427)
-
(14,427)
(14,427)
(16,062)
(30,489)|Balance at
28 February
2023
£
24,534
43,006|
|---|---|---|---|---|---|---|
|||||||67,540|
|||||||453,197
41,038|
|||||||494,235|
|||||||561,775|
|||||||392,509
954,284|
Page 24
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **13. Summary of funds**
## **Summary of funds - current year**
|Designated
funds
General funds
Endowment
funds|**Balance at 1**
**March 2023**
**£**
**67,540**
**494,235**
**392,509**
**954,284**|**Income**
**£**
**-**
**67,215**
**-**
**67,215**
Income
£
-
61,094
-
61,094|**Expenditure**
**£**
**-**
**(49,728)**
**(2,827)**
**(52,555)**
Expenditure
£
-
(47,664)
(2,973)
(50,637)|**Transfers**
**in/out**
**£**
**-**
**(20,301)**
**20,301**
**-**
Transfers
in/out
£
-
(14,896)
14,896
-|**Gains/**
**(Losses)**
**£**
**-**
**32,881**
**16,426**
**49,307**
Gains/
(Losses)
£
-
(14,427)
(16,062)
(30,489)|**Balance at**
**29 February**
**2024**
**£**
**67,540**
**524,302**
**426,409**|
|---|---|---|---|---|---|---|
|||||||**1,018,251**|
|||||||Balance at
28 February
2023
£
67,540
494,235
392,509|
|**Summary of funds - prior year**|||||||
|Designated
funds
General funds
Endowment
funds|Balance at
1 March
2022
£
67,540
510,128
396,648
974,316||||||
|||||||954,284|
Page 25
**The Hospital of Sir John Hawkins, Knight, in Chatham**
## **Notes to the financial statements for the year ended 29 February 2024**
## **14. Analysis of net assets between funds**
## **Analysis of net assets between funds - current period**
|Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
**Total**|**Endowment**
**funds**
**29 February**
**2024**
**£**
**-**
**425,998**
**411**
**-**
**426,409**|**Unrestricted**
**funds**
**29 February**
**2024**
**£**
**41,038**
**515,490**
**37,691**
**(2,377)**
**591,842**|**Total**
**funds**
**29 February**
**2024**
**£**
**41,038**
**941,488**
**38,102**
**(2,377)**|
|---|---|---|---|
||||**1,018,251**|
## **Analysis of net assets between funds - prior period**
|Tangible fixed assets
Fixed asset investments
Current assets
Creditors due within one year
**Total**|Endowment
funds
28 February
2023
£
-
392,509
-
-
392,509|Unrestricted
funds
28 February
2023
£
41,038
467,955
54,744
(1,962)
561,775|Total
funds
28 February
2023
£
41,038
860,464
54,744
(1,962)|
|---|---|---|---|
||||954,284|
## **15. Related party transactions**
Lt Cdr S Small, Chairman of the Board of Governors, is also a Trustee of The Medway Mission to Mariners. During the year this Charity has made donations amounting to £10,000 to The Hospital of Sir John Hawkins, Knight, in Chatham (2023 - £10,000). At the year end there is no balance outstanding between the two charities (2023: £Nil).
During the year, the Trustees made no donations to the Charity (2023: £25).
There are no other related party transactions in the current or prior year.
Page 26