``` REGISTERED CHARITY NUMBER: 229942 ``` ## **`Report of the Trustees and`** ``` Financial Statements for the Year Ended 31 December 2020 ``` ## **`for`** ``` The Hospital of King James in Gateshead ``` ``` Inspire Compliance Limited Chartered Accountants Registered Auditors 6 Queens Court Third Avenue Team Valley Gateshead Tyne and Wear NE11 0BU ``` ``` The Hospital of King James in Gateshead ``` ``` Contents of the Financial Statements for the Year Ended 31 December 2020 ``` ||**`Page`**| |---|---| |**`Report of the Trustees`**|`1 to 4`| |**`Report of the Independent Auditors`**|`5 to 8`| |**`Statement of Financial Activities`**|`9`| |**`Balance Sheet`**|`10 to 11`| |**`Notes to the Financial Statements`**|`12 to 21`| |**`Detailed Statement of Financial Activities`**|`22 to 23`| ``` The Hospital of King James in Gateshead ``` ## **`Report of the Trustees`** ## **`for the Year Ended 31 December 2020`** ``` Thetrusteespresenttheirreportwiththefinancialstatementsofthecharityfortheyearended31December 2020. ThetrusteeshaveadoptedtheprovisionsofAccountingandReportingbyCharities:Statementof Recommended PracticeapplicabletocharitiespreparingtheiraccountsinaccordancewiththeFinancialReportingStandard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). ``` ## **`OBJECTIVES AND ACTIVITIES`** ## **`Objectives and aims`** ``` Thecharity'smainobjectiveis theprovisionof accommodationtoalmspeopleintheGatesheadarea.Itadministers the runningofshelteredflatsandmanagesseveralresidentialproperties.Thecommitteeofthetrusteesmeetregularly to consider all matters regarding the running of the charity. ``` ## **`How we benefit the public`** ``` Asanalmshouse,thecharityexiststoprovideaccommodationforthosewhoareelderlyordisadvantagedin the Gatesheadarea.Keytoachievingthisisprovidingasafeandcaringenvironmentforthosewholiveatthe hospital. Thereis a fulltimewardenwholivesonsitewhois theretoensurethewellbeingof all residents.Regularsocial events and activities are held for the enjoyment of the residents. ``` ``` Whilstthecharitychargesitsresidentsweeklymaintenancecontributionsforstayingatthehospital,thisrentis very much below market rates of accommodation for a similar standard of accommodation with warden support. ``` ## **`ACHIEVEMENT AND PERFORMANCE`** ## **`Charitable activities`** ``` Incomingresourcesfortheyeartotalled£260,886(2019:£283,296),whichincludedrentsof£109,241 (2019: £120,256)andotherinvestmentincomeof£7,187(2019:£20,912).IncomefromtheHospitalitselfamounted to £144,242 (2019: £142,110). ``` ``` Thecharityrecordedadeficitof£24,262(2019:surplus£150,738)fortheyear.Thisincludesnetrecognisedloss of £115,844 (2019: gain £72,866) in respect of changes in the values of properties and investments. ``` ``` Thetrusteesconsiderthecharity'sfinancialperformancetobesatisfactory.Investmentsmadebythecharityare held in accordance with the trustees' powers. ``` ## **`FINANCIAL REVIEW`** ## **`Reserves policy`** ``` The reserves of the charity totalled £2,461,020 at the end of the year. These reserves are used as follows:- ``` ``` £1,764,539oninvestmentpropertywhichareareheldtogenerateincometoreplacethealmshousewhenitneeds to be rebuilt, and also help towards running costs. ``` ``` £232,393ininvestmentsrepresentingtherecoupmentfunds.Thesefundsareusedtobuildupcapitalforwhen the almshouse needs to be rebuilt or major refurbishment work is needed. ``` ``` £6,878 invested for the Extraordinary Repair fund to be used for major repairs, improvement or rebuilding. ``` ``` £311,312ininvestmentsrepresentingthegeneralfund.Thesefundsareusedtoholdunrestrictedreservestobe used in the general running of the charity. ``` ``` Page 1 ``` ``` The Hospital of King James in Gateshead ``` ## **`Report of the Trustees`** ## **`for the Year Ended 31 December 2020`** ## **`FUTURE PLANS`** ``` Manyoftheunitsinthealmshousehavenowbeenrefurbished,andwhilethebuildingwillbekeptingoodrepair, no substantive improvements will be made while our development plan is under way. ``` ``` WehavecompletedourfeasibilitystudyforthenewAlmshousefacilitytobebuiltontheRecreationGround we already own, and intend to apply for Registered Provider status in 2022. ``` ## **`STRUCTURE, GOVERNANCE AND MANAGEMENT`** ## **`Governing document`** ``` Thecharitywasformedinoraroundtheyear1245andisconstitutedbyvariousgoverningdocumentsoverthe years, including its current governing document, a charity scheme of 1970. It is a registered charity, number 229942. ``` ## **`Recruitment and appointment of new trustees`** ``` Thecurrenttrusteesandotherdetailsofthecharityareshownbelow.TheMasterofthecharityisan ex-officio trusteebyvirtueofherpostasRectoroftheParishofGateshead.TwotrusteesarenominatedbytheBishop of Durham, and one by Gateshead Council. A further three trustees are co-opted by the existing trustees. ``` ## **`Organisational structure`** ``` ThecharityisrunonadaytodaybasisbytheMasterofthecharityandtheWarden.TheTrusteesmeetatleast four times a year, and more regularly as necessary to deal with strategic matters and to authorise expenditure. ``` ## **`Estate Management`** ``` EstatemanagementservicestotheHospitalofKingJamesareprovidedbySarahMainsPropertyConsultants, who undertakethedaytodaymanagementoftheprivateresidentialportfolioofbehalfofthecharity.Thisincludesbut is not limited to dealing with all tenant enquiries, rent collection and property issues such as statutory testing. ``` ## **`Induction and training of new trustees`** ``` Changeintrusteesarerareinthecharity,however,whentheydooccurthenewtrusteereceivescopiesof recent minutesandaccountstobringthemuptospeedwiththecharityanditsactivities,aswellasacopyofthetrust deed. Newtrusteesalsoreceivea tourofthealmshouse,detailsofthehistoryofthecharityandareencouragedtorefer to "Standards of Almshouse Management" which is published for members on line. ``` ## **`Future structure`** ``` The Trustees wish to change the structure of the Charity to achieve limited liability status for the Trustees. ``` ## **`REFERENCE AND ADMINISTRATIVE DETAILS`** ## **`Registered Charity number`** ``` 229942 ``` ## **`Principal address`** ``` Sunderland Road Gateahead Tyne and Wear NE8 3EY ``` ``` Page 2 ``` ``` The Hospital of King James in Gateshead ``` ## **`Report of the Trustees`** ## **`for the Year Ended 31 December 2020`** ## **`Trustees`** ``` A James K Brown Cllr A Douglas (resigned 15.9.20) Dr A Scott Rev M Mackay B Kitching Rev D Snowball N Graham (appointed 15.9.21) ``` ## **`Auditors`** ``` Inspire Compliance Limited Chartered Accountants Registered Auditors 6 Queens Court Third Avenue Team Valley Gateshead Tyne and Wear NE11 0BU ``` ## **`Advisors Bankers`** ``` Lloyds Bank 102 Grey Street Newcastle Upon Tyne NE99 1SL ``` ## **`Property Agents`** ``` Sarah Mains Property Consultants 4 Beaconsfield Road Low Fell Gateshead NE9 5EU ``` ## **`STATEMENT OF TRUSTEES' RESPONSIBILITIES`** ``` ThetrusteesareresponsibleforpreparingtheReportoftheTrusteesandthefinancialstatementsinaccordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). ``` ``` Page 3 ``` ``` The Hospital of King James in Gateshead ``` ## **`Report of the Trustees`** ## **`for the Year Ended 31 December 2020`** ## **`STATEMENT OF TRUSTEES' RESPONSIBILITIES - continued`** ``` ThelawapplicabletocharitiesinEnglandandWales,theCharitiesAct2011,Charity(Accountsand Reports) Regulations2008andtheprovisionsofthetrustdeedrequiresthetrusteestopreparefinancialstatementsfor each financialyearwhichgiveatrueandfairviewofthestateofaffairsofthecharityandoftheincomingresources and applicationofresources,includingtheincomeandexpenditure,ofthecharityforthatperiod.Inpreparing those financial statements, the trustees are required to ``` - `select suitable accounting policies and then apply them consistently;` - `observe the methods and principles in the Charity SORP;` - `make judgements and estimates that are reasonable and prudent;` - `prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.` ``` Thetrusteesareresponsibleforkeepingproperaccountingrecordswhichdisclosewithreasonableaccuracyat any timethefinancialpositionofthecharityandtoenablethemtoensurethatthefinancialstatementscomplywith the CharitiesAct2011,theCharity(AccountsandReports)Regulations2008andtheprovisionsofthetrustdeed. They arealsoresponsibleforsafeguardingtheassetsofthecharityandhencefortakingreasonablestepsforthe prevention and detection of fraud and other irregularities. ``` ``` Approved by order of the board of trustees on 26 October 2021 and signed on its behalf by: ``` ``` A James - Trustee ``` ``` Page 4 ``` ## **`Report of the Independent Auditors to the Trustees of`** ## **`The Hospital of King James in Gateshead`** ## **`Opinion`** ``` WehaveauditedthefinancialstatementsofTheHospitalofKingJamesinGateshead(the'charity')fortheyear ended 31December2020whichcomprisetheStatementofFinancialActivities,theBalanceSheetandnotestothe financial statements,includingasummaryofsignificantaccountingpolicies.Thefinancialreportingframeworkthathas been appliedintheirpreparationisapplicablelawandUnitedKingdomAccountingStandards(UnitedKingdom Generally Accepted Accounting Practice). ``` ``` In our opinion the financial statements: ``` - `give a true and fair view of the state of the charity's affairs as at 31 December 2020 and of its incoming resources and application of resources, for the year then ended;` - `have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and` - `have been prepared in accordance with the requirements of the Charities Act 2011.` ## **`Basis for opinion`** ``` WeconductedourauditinaccordancewithInternationalStandardsonAuditing(UK)(ISAs(UK))andapplicable law. OurresponsibilitiesunderthosestandardsarefurtherdescribedintheAuditors'responsibilitiesfortheauditof the financialstatementssectionofourreport.Weareindependentofthecharityinaccordancewiththe ethical requirementsthatarerelevanttoourauditofthefinancialstatementsintheUK,includingtheFRC'sEthical Standard, andwehavefulfilledourotherethicalresponsibilitiesinaccordancewiththeserequirements.Webelievethat the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ``` ## **`Conclusions relating to going concern`** ``` Inauditingthefinancialstatements,wehaveconcludedthatthetrustees'useofthegoingconcernbasisof accounting in the preparation of the financial statements is appropriate. ``` ``` Basedontheworkwehaveperformed,wehavenotidentifiedanymaterialuncertaintiesrelatingtoevents or conditionsthat,individuallyorcollectively,maycastsignificantdoubtonthecharity'sabilitytocontinueasa going concern for a period of at least twelve months from when the financial statements are authorised for issue. ``` ``` Ourresponsibilitiesandtheresponsibilitiesofthetrusteeswithrespecttogoingconcernaredescribedinthe relevant sections of this report. ``` ## **`Other information`** ``` Thetrusteesareresponsiblefortheotherinformation.Theotherinformationcomprisestheinformationincluded in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon. ``` ``` Ouropiniononthefinancialstatementsdoesnotcovertheotherinformationand,excepttotheextent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. ``` ``` Inconnectionwithourauditofthefinancialstatements,ourresponsibilityistoreadtheotherinformationand, in doingso,considerwhethertheotherinformationismateriallyinconsistentwiththefinancialstatementsor our knowledgeobtainedintheauditorotherwiseappearstobemateriallymisstated.Ifweidentifysuch material inconsistenciesorapparentmaterialmisstatements,wearerequiredtodeterminewhetherthisgivesrisetoa material misstatementin thefinancialstatementsthemselves.If,basedontheworkwehaveperformed,weconcludethat there isamaterialmisstatementofthisotherinformation,wearerequiredtoreportthatfact.Wehavenothingto report in this regard. ``` ``` Page 5 ``` ``` Report of the Independent Auditors to the Trustees of ``` ## **`The Hospital of King James in Gateshead`** ## **`Matters on which we are required to report by exception`** ``` WehavenothingtoreportinrespectofthefollowingmatterswheretheCharities(Accountsand Reports) Regulations 2008 requires us to report to you if, in our opinion: ``` - `the information given in the Report of the Trustees is inconsistent in any material respect with the financial statements; or` - `sufficient accounting records have not been kept; or` - `the financial statements are not in agreement with the accounting records and returns; or` - `we have not received all the information and explanations we require for our audit.` ## **`Responsibilities of trustees`** ``` AsexplainedmorefullyintheStatementofTrustees'Responsibilities,thetrusteesareresponsibleforthe preparation ofthefinancialstatementswhichgiveatrueandfairview,andforsuchinternalcontrolasthetrusteesdetermine is necessarytoenablethepreparationoffinancialstatementsthatarefreefrommaterialmisstatement,whetherdue to fraud or error. ``` ``` Inpreparingthefinancialstatements,thetrusteesareresponsibleforassessingthecharity'sabilitytocontinueas a goingconcern,disclosing,asapplicable,mattersrelatedtogoingconcernandusingthegoingconcernbasis of accountingunlessthetrusteeseitherintendtoliquidatethecharityortoceaseoperations,orhaveno realistic alternative but to do so. ``` ``` Page 6 ``` ## **`Report of the Independent Auditors to the Trustees of`** ## **`The Hospital of King James in Gateshead`** ## **`Our responsibilities for the audit of the financial statements`** ``` WehavebeenappointedasauditorsunderSection144oftheCharitiesAct2011andreportinaccordancewith the Act and relevant regulations made or having effect thereunder. ``` ``` Ourobjectivesaretoobtainreasonableassuranceaboutwhetherthefinancialstatementsasawholearefree from materialmisstatement,whetherduetofraudor error,andtoissuea Reportof theIndependentAuditorsthat includes ouropinion.Reasonableassuranceisahighlevelofassurance,butisnotaguaranteethatanauditconducted in accordancewithISAs(UK)willalwaysdetectamaterialmisstatementwhenitexists.Misstatementscanarise from fraudorerrorandareconsideredmaterialif,individuallyorintheaggregate,theycouldreasonablybeexpected to influence the economic decisions of users taken on the basis of these financial statements. ``` ``` Irregularities,includingfraud,areinstancesofnon-compliancewithlawsandregulations.Wedesignproceduresin line withourresponsibilities,outlinedabove,todetectmaterialmisstatementsinrespectofirregularities,including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: ``` ``` Basedonourknowledgeofthecharity,weidentifiedthattheprincipalrisksofnoncompliancewithlaws and regulationsrelatedtonon-compliancewiththeCharitiesAct2011andweconsideredwhateffectnoncompliance may have a material effect on the financial statements. ``` ``` Weevaluatedmanagement'sincentivesandopportunitiestocarryoutfraudulentmanipulationofthe financial statements and determined that the principal risk was the reduction in rental income being received. ``` - `Audit procedures carried out by the engagement team included:` - `Analytical review of rents received comparing total income to possible potential income.` - `Review of individual transactions for a sample of properties.` ``` Afurtherdescriptionofourresponsibilitiesfortheauditofthefinancialstatementsislocatedonthe Financial ReportingCouncil'swebsiteatwww.frc.org.uk/auditorsresponsibilities.ThisdescriptionformspartofourReport of the Independent Auditors. ``` ``` Page 7 ``` ## **`Report of the Independent Auditors to the Trustees of The Hospital of King James in Gateshead`** ## **`Use of our report`** ``` Thisreportis madesolelytothecharity'strustees,as a body,inaccordancewithPart4 of theCharities(Accounts and Reports)Regulations2008.Ourauditworkhasbeenundertakensothatwemightstatetothecharity'strustees those matterswearerequiredtostatetotheminanauditors'reportandfornootherpurpose.Tothefullest extent permittedbylaw,wedonotacceptorassumeresponsibilitytoanyoneotherthanthecharityandthe charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed. ``` ``` Inspire Compliance Limited Chartered Accountants Registered Auditors 6 Queens Court Third Avenue Team Valley Gateshead Tyne and Wear NE11 0BU ``` ``` 26 October 2021 ``` ``` Page 8 ``` ## **`The Hospital of King James in Gateshead`** ## **`Statement of Financial Activities`** ## **`for the Year Ended 31 December 2020`** |`Notes`
**`INCOME AND ENDOWMENTS FROM`**
`Donations and legacies`
**`Charitable activities`**
`4`
`Residental care`
`Investment income`
`3`
`Other income`
**`Total`**
**`EXPENDITURE ON`**
`Raising funds`
**`Charitable activities`**
`Residental care`
**`Total`**
`Net gains/(losses) on investments`
**`NET INCOME/(EXPENDITURE)`**
**`RECONCILIATION OF FUNDS`**
**`Total funds brought forward`**
**`TOTAL FUNDS CARRIED FORWARD`**|`Unrestricted`
`funds`
`£`
`-`
`144,242`
`111,676`
`216`
`256,134`
`35,690`
`133,614`
`169,304`
`(51,429)`
`35,401`
`2,186,348`
`2,221,749`|`Restricted`
`funds`
`£`
`-`
`-`
`4,752`
`-`
`4,752`
`-`
`-`
`-`
`(64,415)`
`(59,663)`
`298,934`
`239,271`|`31.12.20`
`Total`
`funds`
`£`
`-`
`144,242`
`116,428`
`216`
`260,886`
`35,690`
`133,614`
`169,304`
`(115,844)`
`(24,262)`
`2,485,282`
`2,461,020`|`31.12.19`
`Total`
`funds`
`£`
`4`
`142,110`
`141,167`
`14`| |---|---|---|---|---| |||||`283,295`
`55,185`
`150,239`| |||||`205,424`
`72,867`| |||||`150,738`
`2,334,544`| |||||`2,485,282`| ``` The notes form part of these financial statements ``` ``` Page 9 ``` ## **`The Hospital of King James in Gateshead`** ## **`Balance Sheet`** ## **`31 December 2020`** |`Notes`
**`FIXED ASSETS`**
`Tangible assets`
`9`
**`Investments`**
`Investments`
`10`
`Investment property`
`11`
**`CURRENT ASSETS`**
`Debtors`
`12`
`Cash at bank and in hand`
**`CREDITORS`**
`Amounts falling due within one year`
`13`
**`NET CURRENT ASSETS`**
**`TOTAL ASSETS LESS CURRENT`**
**`LIABILITIES`**
**`CREDITORS`**
`Amounts falling due after more than one year`
`14`
**`NET ASSETS`**|`Unrestricted`
`funds`
`£`
`112,675`
`311,312`
`1,764,539`
`2,188,526`
`11,891`
`105,169`
`117,060`
`(12,110)`
`104,950`
`2,293,476`
`(71,727)`
`2,221,749`|`Restricted`
`funds`
`£`
`-`
`239,271`
`-`
`239,271`
`-`
`-`
`-`
`-`
`-`
`239,271`
`-`
`239,271`|`31.12.20`
`Total`
`funds`
`£`
`112,675`
`550,583`
`1,764,539`
`2,427,797`
`11,891`
`105,169`
`117,060`
`(12,110)`
`104,950`
`2,532,747`
`(71,727)`
`2,461,020`|`31.12.19`
`Total`
`funds`
`£`
`116,560`
`605,675`
`1,764,539`
`2,486,774`
`6,152`
`83,626`
`89,778`
`(16,798)`
`72,980`
`2,559,754`
`(74,472)`
`2,485,282`| |---|---|---|---|---| ``` The notes form part of these financial statements ``` ``` continued... ``` ``` Page 10 ``` ``` The Hospital of King James in Gateshead ``` ## **`Balance Sheet - continued`** ## **`31 December 2020`** |**`FUNDS`**
`16`
`Unrestricted funds`
`Restricted funds`
**`TOTAL FUNDS`**|`2,221,749`
`239,271`
`2,461,020`|`2,186,348`
`298,934`| |---|---|---| |||`2,485,282`| ``` ThefinancialstatementswereapprovedbytheBoardofTrusteesandauthorisedforissueon26October2021 and were signed on its behalf by: ``` ``` A James - Trustee ``` ``` The notes form part of these financial statements ``` ``` Page 11 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements`** ## **`for the Year Ended 31 December 2020`** ## **`1. STATEMENT OF COMPLIANCE`** ``` HospitalofKingJamesisanunincorporatedcharity)charitynumber:229942).Theregisteredofficeisbased at Gateshead Rectory, 91 Old Durham Road, Gateshead, Tyne and Wear, NE8 4BS. ``` ## **`2. ACCOUNTING POLICIES`** ## **`Basis of preparing the financial statements`** ``` Thefinancialstatementsofthecharity,whichisapublicbenefitentityunderFRS102,havebeenprepared in accordancewiththeCharitiesSORP(FRS102)'AccountingandReportingbyCharities:Statement of RecommendedPracticeapplicabletocharitiespreparingtheiraccountsinaccordancewiththe Financial ReportingStandard102'TheFinancialReportingStandardapplicableintheUKandRepublicofIreland'and the CharitiesAct2011.Thefinancialstatementshavebeenpreparedunderthehistoricalcostconventionwith the exception of investments which are included in market value. ``` ``` Thefinancialstatementshavebeenpreparedonagoingconcernbasisonthegroundsthatcurrentand future sourcesoffundingorsupportwillbemorethanadequateforthecharity'sneeds.TheTrustees have consideredaperiodof12monthsfromthebalancesheetdateandconsidernofurtherdisclosurerelating to the charity's ability to continue as a going concern need to be made. ``` ``` HospitalofKingJamesmeetsthedefinitionofapublicbenefitentityunderFRS102.Assetsandliabilities are initiallyrecognisedathistoricalcostortransactionvalueunlessotherwisestatedintherelevant accounting policy note(s). ``` ``` The financial accounts are prepared in Sterling (£). ``` ## **`Significant estimates and judgements`** ``` ThepreparationofthefinancialstatementsrequirestheTrusteestomakejudgementsandestimates.The main areas where such judgements and estimates are made are in respect of recognition of income. ``` ``` The charity has applied the following accounting policies: ``` ## **`Financial reporting standard 102 - reduced disclosure exemptions`** ``` Thecharityhastakenadvantageofthefollowingdisclosureexemptionsinpreparingthesefinancial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland': ``` - `the requirements of Section 7 Statement of Cash Flows.` ## **`Income`** ``` AllincomeisrecognisedintheStatementofFinancialActivitiesoncethecharityhasentitlementtothefunds, it is probable that the income will be received and the amount can be measured reliably. ``` ## **`Expenditure`** ``` Liabilitiesarerecognisedasexpenditureassoonasthereisalegalorconstructiveobligationcommitting the charitytothatexpenditure,itisprobablethatatransferofeconomicbenefitswillberequiredin settlement andtheamountoftheobligationcanbemeasuredreliably.Expenditureisaccountedforonanaccruals basis andhasbeenclassifiedunderheadingsthataggregateallcostrelatedtothecategory.Wherecostscannot be directlyattributedtoparticularheadingstheyhavebeenallocatedtoactivitiesonabasisconsistentwith the use of resources. ``` ``` continued... ``` ``` Page 12 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements - continued`** ``` for the Year Ended 31 December 2020 ``` ## **`2. ACCOUNTING POLICIES - continued`** ## **`Tangible fixed assets`** ``` Depreciationisprovidedatthefollowingannualratesinordertowriteoffeachassetoveritsestimated useful life. ``` ``` Hospital- 2% on cost ``` ## **`Investment property`** ``` Investmentpropertiesarevaluedona currentmarketvaluebasisasvaluedbya firmofCharteredSurveyors in 2014. ``` ## **`Taxation`** ``` The charity is exempt from tax on its charitable activities. ``` ## **`Fund accounting`** ``` Generalfundsareunrestrictedfundswhichareavailableforuseatthediscretionofthetrusteesin furtherance of the general objectives of the charity and which have not been designated for other purposes. ``` ``` Restrictedfundsarefundswhicharetobeusedinaccordancewiththespecificrestrictionsimposedby donors orwhichhavebeenraisedbythecharityforparticularpurposes.Thecostofraisingandadministering such fundsarechargedagainstthespecificfund.Theaimanduseofeachrestrictedfundissetoutinthenoteto the financial accounts. ``` ## **`Investments`** ``` Investments are stated in the Balance Sheet at market value. ``` ## **`Trade debtors`** ``` Trade debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid after taking account of any trade discounts due. ``` ## **`Cash at bank and in hand`** ``` Cashatbankandcashinhandincludescashandshorttermhighlyliquidinvestmentswithashortmaturity of three months or less from the date of acquisition or opening of the deposit or similar account. ``` ## **`Creditors and provisions`** ``` Creditorsandprovisionsarerecognisedwherethecharityhasapresentobligationresultingfromapast event thatwillprobablyresultin thetransferof fundstoa thirdpartyandtheamountduetosettletheobligation can bemeasuresorestimatedreliably.Creditorsandprovisionsarenormallyrecognisedattheir settlement amount after allowing for any trade discounts due. ``` ``` continued... ``` ``` Page 13 ``` ## **`The Hospital of King James in Gateshead`** ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** ## **`3. INVESTMENT INCOME`** |`Rents received`
`Dividends received`
**`4.`**
**`INCOME FROM CHARITABLE ACTIVITIES`**
`Hospital rental income`
**`5.`**
**`SUPPORT COSTS`**
`Information`
`Management`
`Property`
`technology`
`£`
`£`
`£`
`Residental care`
`36,570`
`62,050`
`2,368`
`Support costs, included in the above, are as follows:`
**`Management`**
`Cleaner and cleaning material`
`Warden and deputy`|`31.12.20`
`£`
`109,241`
`7,187`
`116,428`
`31.12.20`
`Residental`
`care`
`£`
`144,242`
`Human`
`resources`
`£`
`21,149`
`31.12.20`
`Residental`
`care`
`£`
`11,499`
`25,071`
`36,570`|`31.12.19`
`£`
`120,256`
`20,911`|`31.12.19`
`£`
`120,256`
`20,911`| |---|---|---|---| |||`141,167`|| |||`31.12.19`
`Total`
`activities`
`£`
`142,110`|| |||`Totals`
`£`
`122,137`|| |||`31.12.19`
`Total`
`activities`
`£`
`14,185`
`26,713`
`40,898`|| ||||`40,898`| ``` continued... ``` ``` Page 14 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** ## **`5. SUPPORT COSTS - continued Property`** |**`SUPPORT COSTS - continued`**
**`Property`**||| |---|---|---| ||`31.12.20`|`31.12.19`| ||`Residental`|`Total`| ||`care`|`activities`| ||`£`|`£`| |`Rates and water`|`7,595`|`9,299`| |`Insurance`|`2,851`|`5,872`| |`Light and heat`|`19,453`|`32,496`| |`Community care alarm`|`9,817`|`9,624`| |`Equipment and repairs`|`18,449`|`22,962`| |`Depreciation freehold property`|`3,885`|`3,885`| ||`62,050`|`84,138`| |**`Information technology`**||| ||`31.12.20`|`31.12.19`| ||`Residental`|`Total`| ||`care`|`activities`| ||`£`|`£`| |`Telephone`|`2,109`|`2,012`| |`Postage and stationery`|`129`|`49`| |`Subscriptions`|`130`|`537`| ||`2,368`|`2,598`| ## **`6. TRUSTEES' REMUNERATION AND BENEFITS`** ``` Trusteeremunerationamountedof£3,000(2019:£3,000).Thisremunerationisastipendpaidtothe Master in accordance with the charity's trust deed. ``` ## **`Trustees' expenses`** ``` Therewerenotrustees'expensespaidfortheyearended31December2020norfortheyear ended 31 December 2019. ``` ``` continued... ``` ``` Page 15 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** ## **`7. STAFF COSTS`** ||`2020`|`2019`| |---|---|---| ||`£`|`£`| |`Cleaners`|`3,490`|`8,665`| |`Warden and deputy`|`33,080`|`26,713`| |||| ||`36,570`|`35,378`| |||| ``` The average monthly number of employees during the year was as follows: ``` |`31.12.20`
`Cleaner`
`1`
`Warden and deputy`
`2`
`3`
`No employees received emoluments in excess of £60,000.`
**`COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES`**
`Unrestricted`
`Restricted`
`funds`
`funds`
`£`
`£`
**`INCOME AND ENDOWMENTS FROM`**
`Donations and legacies`
`4`
`-`
**`Charitable activities`**
`Residental care`
`142,110`
`-`
`Investment income`
`130,892`
`10,275`
`Other income`
`14`
`-`
**`Total`**
`273,020`
`10,275`
**`EXPENDITURE ON`**
`Raising funds`
`55,185`
`-`
**`Charitable activities`**
`Residental care`
`150,239`
`-`
**`Total`**
`205,424`
`-`
`Net gains on investments`
`37,032`
`35,835`
**`NET INCOME`**
`104,628`
`46,110`|`31.12.19`
`1`
`2`
`3`
`Total`
`funds`
`£`
`4`
`142,110`
`141,167`
`14`|`31.12.19`
`1`
`2`
`3`
`Total`
`funds`
`£`
`4`
`142,110`
`141,167`
`14`| |---|---|---| |||`283,295`
`55,185`
`150,239`| |||`205,424`
`72,867`| |||`150,738`| ## **`8. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES`** ``` continued... ``` ``` Page 16 ``` ## **`The Hospital of King James in Gateshead`** ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** |**`8.`**
**`COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES - continued`**
`Unrestricted`
`Restricted`
`funds`
`funds`
`£`
`£`
**`RECONCILIATION OF FUNDS`**
**`Total funds brought forward`**
`2,081,720`
`252,824`
**`TOTAL FUNDS CARRIED FORWARD`**
`2,186,348`
`298,934`
**`9.`**
**`TANGIBLE FIXED ASSETS`**
**`COST`**
`At 1 January 2020 and 31 December 2020`
**`DEPRECIATION`**
`At 1 January 2020`
`Charge for year`
`At 31 December 2020`
**`NET BOOK VALUE`**
`At 31 December 2020`
`At 31 December 2019`
**`10.`**
**`FIXED ASSET INVESTMENTS`**
**`MARKET VALUE`**
`At 1 January 2020`
`Funds invested`
`Disposals`
`Change in value`
`At 31 December 2020`
**`NET BOOK VALUE`**
`At 31 December 2020`
`At 31 December 2019`||`Total`
`funds`
`£`
`2,334,544`| |---|---|---| |||`2,485,282`| ||`Hospital`
`£`
`194,260`
`77,700`
`3,885`
`81,585`
`112,675`
`116,560`
`Listed`
`investments`
`£`
`605,675`
`438,340`
`(539,707)`
`46,275`
`550,583`
`550,583`
`605,675`|| ``` continued... ``` ``` Page 17 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** ## **`10. FIXED ASSET INVESTMENTS - continued`** ``` Investments are held in common investment funds. There were no investment assets outside the UK. ``` ## **`11. INVESTMENT PROPERTY`** |**`FAIR VALUE`**
`At 1 January 2020`
`and 31 December 2020`
**`NET BOOK VALUE`**
`At 31 December 2020`
`At 31 December 2019`|`£`
`1,764,539`| |---|---| ||`1,764,539`| ||`1,764,539`| ``` The investment properties held consist of the following: ``` ``` King James Cottage 89 Old Durham Road No's 1 to 8 King James Street No's 25 to 35 (odd numbers) and 39 Cemetery Road No's 72, 74, 84 and 86 Wordsworth Street Recreation ground, Sunderland Road ``` ``` Propertieswithacarryingvalueof£1,010,000werevaluedon12February2014byKnightFrank LLP, CharteredSurveyorsonanopenmarketvalueassumingvacantpossession.Theremainingproperties were revaluedovervariousdatesbetweenApril2007andSeptember2007byMcIntoshThompson, Chartered Surveyors,onthebasisofacurrentmarketvaluation.ThetrusteeshaveusedtheNationwideHouse Price Index during the prior year to adjust for the chance in value at 31 December 2018. ``` ``` The recreation ground is not valued for accounts purposes due to its nature, as is permitted by the SORP. ``` ## **`12. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR`** ||`31.12.20`|`31.12.19`| |---|---|---| ||`£`|`£`| |`Other debtors`|`696`|`2,722`| |`Prepayments and accrued income`|`11,195`|`3,430`| ||`11,891`|`6,152`| ``` continued... ``` ``` Page 18 ``` ## **`The Hospital of King James in Gateshead`** ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** |**`13.`**|**`CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR`**|||| |---|---|---|---|---| |||`31.12.20`||`31.12.19`| ||||`£`|`£`| ||`Trade creditors`||`1,561`|`144`| ||`Other creditors`|`10,549`||`16,654`| |||`12,110`||`16,798`| |**`14.`**|**`CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE`**|**`YEAR`**||| |||`31.12.20`||`31.12.19`| ||||`£`|`£`| ||`Other creditors`|`71,727`||`74,472`| ||`Interest is charged on the loan from Gateshead Council at 7.9% per annum.`|||| |**`15.`**|**`LOANS`**|||| ||`An analysis of the maturity of loans is given below:`|||| |||`31.12.20`||`31.12.19`| ||||`£`|`£`| ||`Amounts falling due within one year on demand:`|||| ||`Loan - Gateshead Council`||`1,400`|`1,400`| ||`Amounts falling between one and two years:`|||| ||`Loan - Gateshead Council -1-2`||`1,400`|`1,400`| ||`Amounts falling due between two and five years:`|||| ||`Loan - Gateshead Council - 2-5`||`4,200`|`4,200`| ||`Amounts falling due in more than five years:`|||| ||`Repayable by instalments:`|||| ||`Loan - Gateshead Council due after more than 5 years`|`66,127`||`68,872`| ``` continued... ``` ``` Page 19 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** ## **`16. MOVEMENT IN FUNDS`** |**`Unrestricted funds`**
`Unrestricted funds`
**`Restricted funds`**
`Restricted Funds`
**`TOTAL FUNDS`**
`Net movement in funds, included in the above are a`
**`Unrestricted funds`**
`Unrestricted funds`
**`Restricted funds`**
`Restricted Funds`
**`TOTAL FUNDS`**
**`Comparatives for movement in funds`**
**`Unrestricted funds`**
`Unrestricted funds`
**`Restricted funds`**
`Restricted Funds`
**`TOTAL FUNDS`**|`s follows:`
`Incoming`
`resources`
`£`
`256,134`
`4,752`
`260,886`|`At 1.1.20`
`£`
`2,186,348`
`298,934`
`2,485,282`
`Resources`
`expended`
`£`
`(169,304)`
`-`
`(169,304)`
`At 1.1.19`
`£`
`2,081,720`
`252,824`
`2,334,544`||`Net`
`movement`
`in funds`
`£`
`35,401`
`(59,663)`
`(24,262)`
`Gains and`
`losses`
`£`
`(51,429)`
`(64,415)`
`(115,844)`
`Net`
`movement`
`in funds`
`£`
`104,628`
`46,110`
`150,738`|`At`
`31.12.20`
`£`
`2,221,749`
`239,271`
`2,461,020`
`Movement`
`in funds`
`£`
`35,401`
`(59,663)`
`(24,262)`
`At`
`31.12.19`
`£`
`2,186,348`
`298,934`
`2,485,282`| |---|---|---|---|---|---| ||||||| ||||||| ||||||| ``` continued... ``` ``` Page 20 ``` ``` The Hospital of King James in Gateshead ``` ## **`Notes to the Financial Statements - continued`** ## **`for the Year Ended 31 December 2020`** ## **`16. MOVEMENT IN FUNDS - continued`** ``` Comparative net movement in funds, included in the above are as follows: ``` |**`Unrestricted funds`**
`Unrestricted funds`
**`Restricted funds`**
`Restricted Funds`
**`TOTAL FUNDS`**|`Incoming`
`resources`
`£`
`273,020`
`10,275`
`283,295`|`Resources`
`expended`
`£`
`(205,424)`
`-`
`(205,424)`|`Gains and`
`Movement`
`losses`
`in funds`
`£`
`£`
`37,032`
`104,628`
`35,835`
`46,110`
`72,867`
`150,738`|`Gains and`
`Movement`
`losses`
`in funds`
`£`
`£`
`37,032`
`104,628`
`35,835`
`46,110`
`72,867`
`150,738`| |---|---|---|---|---| |||||`150,738`| ## **`Extraordinary Repair Fund`** ``` Byasupplementalorderdated4October1979bytheCharityCommission,thehospitalwasrequiredto set asideoutofincomeanannualsumof£1,395inrespectofextraordinaryrepairfund.Thefundandits income therefrom shall be invested in the name of the Official Custodian. ``` ## **`Property Equity Reserve`** ``` Byordersdated28February1972and2November1972,expenditurewassanctionedfromcapitalof the Charityof£83,124fordefrayingpartofthecostoferectingnewAlmshouses.Theorderdirectedthatthe sum expendedberecoupedtocapitalfromincome.Ayearlysumof0.35percentshallbeinvestedina separate accountwiththeOfficialCustodianforaperiodof60years.Dividendsaccruingshallbeinvestedthereon by way of accumulation until twelve months after the last payment. ``` ## **`17. RELATED PARTY DISCLOSURES`** ``` There were no related party transactions for the year ended 31 December 2020. ``` ## **`18. ULTIMATE CONTROLLING PARTY`** ``` The charity is under the control of the trustees. ``` ``` Page 21 ``` ## **`The Hospital of King James in Gateshead`** ## **`Detailed Statement of Financial Activities for the Year Ended 31 December 2020`** ||`31.12.20`|`31.12.19`| |---|---|---| ||`£`|`£`| |**`INCOME AND ENDOWMENTS`**||| |**`Donations and legacies`**||| |`Gifts`|`-`|`3`| |`Donations and legacies`|`-`|`1`| ||`-`|`4`| |**`Investment income`**||| |`Rents received`|`109,241`|`120,256`| |`Dividends received`|`7,187`|`20,911`| ||`116,428`|`141,167`| |**`Charitable activities`**||| |`Hospital rental income`|`144,242`|`142,110`| |**`Other income`**||| |`Deposit account interest received`|`216`|`14`| |**`Total incoming resources`**|`260,886`|`283,295`| |**`EXPENDITURE`**||| |**`Raising donations and legacies`**||| |`Insurance`|`4,672`|`4,661`| |`Sundries`|`546`|`32`| |`Management fees`|`17,087`|`16,708`| |`Repairs`|`13,385`|`33,784`| ||`35,690`|`55,185`| |**`Charitable activities`**||| |`Audit fees`|`2,640`|`3,138`| |`Stipend - Diocese of Durham`|`3,000`|`3,000`| |`Gateshead loan interest`|`5,792`|`5,847`| |`Bank charges`|`45`|`191`| ||`11,477`|`12,176`| ``` This page does not form part of the statutory financial statements ``` ``` Page 22 ``` ## **`The Hospital of King James in Gateshead`** ## **`Detailed Statement of Financial Activities`** ## **`for the Year Ended 31 December 2020`** ||`31.12.20`|`31.12.19`| |---|---|---| ||`£`|`£`| |**`Support costs`**||| |**`Management`**||| |`Cleaner and cleaning material`|`11,499`|`14,185`| |`Warden and deputy`|`25,071`|`26,713`| ||`36,570`|`40,898`| |**`Property`**||| |`Rates and water`|`7,595`|`9,299`| |`Insurance`|`2,851`|`5,872`| |`Light and heat`|`19,453`|`32,496`| |`Community care alarm`|`9,817`|`9,624`| |`Equipment and repairs`|`18,449`|`22,962`| |`Depreciation freehold property`|`3,885`|`3,885`| ||`62,050`|`84,138`| |**`Information technology`**||| |`Telephone`|`2,109`|`2,012`| |`Postage and stationery`|`129`|`49`| |`Subscriptions`|`130`|`537`| ||`2,368`|`2,598`| |**`Human resources`**||| |`Accountancy and bookkeeping`|`5,472`|`6,745`| |`Professional fees`|`15,677`|`3,684`| ||`21,149`|`10,429`| |`Total resources expended`|`169,304`|`205,424`| |**`Net income before gains and losses`**|`91,582`|`77,871`| |**`Realised recognised gains and losses`**||| |`Realised gains/(losses) on fixed asset investments`|`(157,367)`|`72,867`| |**`Net (expenditure)/income`**|`(65,785)`|`150,738`| ``` This page does not form part of the statutory financial statements ``` ``` Page 23 ```