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2023-06-30-accounts

THE DORSET HEALTH TRUST LIMITED

REPORT AND ACCOUNTS

FOR THE YEAR ENDED 30 JUNE 2023

Company number: 1327203 Registered Charity: 273413

Chartered Accountants

THE DORSET HEALTH TRUST LIMITED

CONTENTS

Page
Reference and administrative information 1
Report of the trustees 2 - 3
Independent examiner's report 4
Statement of financial activities (including income and expenditure account) 5
Balance sheet 6
Notes to the accounts 7 - 11

THE DORSET HEALTH TRUST LIMITED

REFERENCE AND ADMINISTRATIVE INFORMATION

Charity name The Dorset Health Trust Limited
Registered charity 273413
Company number 1327203
Address PO Box 42
Weymouth, Dorset DT4 8XQ
Registered Office Unity Chambers, 34 High East Street
Dorchester, Dorset DT1 1HA
President Captain Michael Fulford–Dobson CVO OBE KStJ JP DL RN
Trustees
Chairman Mrs L F Barbour (until 20 March 2023)
The Lady Wynford SRN SCM (from 20 March 2023)
Vice Chairman The Lady Wynford SRN SCM (until 20 March 2023)
Mrs L F Barbour (from 20 March 2023)
Secretary Mrs A E W Savva LLB MA
Other trustees Mrs E Brierley FCA
Mr N P Bundy
Dr D Chambler MB ChB FRCA FFICM Pgdip
Dr D H Cove MD FRCP
Mr M Gibbens
Miss S Heath LLB
Mr P J Jeffery MB BS FRCS
Prof D J Leaper MD CHM FRCS FACS DSc (retired 24 March 2023)
Mrs C J Nickinson
Mrs T N Russell
Mr P J Ward FRCS
Dr S J Winterton MA FRCP
Advisors:
Independent examiner Mrs S J Hough FCA
Edwards and Keeping, Chartered Accountants
Unity Chambers, 34 High East Street
Dorchester, Dorset DT1 1HA
Investment managers Rathbones
8 Finsbury Circus
London EC2M 7AZ
Bankers Barclays Bank plc
10 South Street
Dorchester, Dorset DT1 1BT

THE DORSET HEALTH TRUST LIMITED

REPORT OF THE TRUSTEES FOR THE YEAR ENDED 30 JUNE 2023

The trustees present their report and the accounts of The Dorset Health Trust for the year ended 30 June 2023 which are prepared to meet the requirements for a directors’ report and accounts for Companies Act purposes.

The financial statements have been prepared in accordance with the accounting policies set out in notes to the accounts and comply with the charity’s governing document, the Charities Act 2011 and the relevant version of the 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. In preparing this annual report the trustees confirm that due regard has been paid to the public benefit guidance published by the Charity Commission.

Objectives and activities for the public benefit

The Dorset Health Trust Limited is a registered charity which furthers its objectives of promoting the relief of sickness primarily by making grants to organisations and medical providers which it deems worthy of support within West, South and North Dorset.

The trustees meet regularly to review the financial position of the Trust and therefore determine the level of grants to be made to local medical and health related organisations in accordance with the Trust's objects and reserves policy.

The trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the Trust’s aims and objectives and in planning future activities and setting the grant making policy for the year.

Grant-making policy

Trustees with medical qualifications contribute very materially to the process of considering grant applications.

Whilst the trustees aim to operate a flexible and open-minded policy in making grants to achieve the Trust's objectives for the public benefit, their criteria for grant-making include:

The trustees consider regularly the extent to which these objectives are realistic, and are being achieved.

Donations and grants payable agreed by the board during the year were:

Alcohol Education Trust - funding for West Dorset, and Weymouth & Portland area £10,000 Chesil Sailability - to cover annual rent of premises £3,600 Chesil Sailability - purchase of a safety boat £33,533

Dorchester Trust for Counselling and Psychotherapy - core funding £3,000 Family Counselling Trust - funding for West Dorset, and Weymouth & Portland area - £15,000

These are all listed in note 2 to the accounts.

From time to time trustees of The Dorset Health Trust are also trustees of organisations to which grants are made. On such occasions the relevant individuals declare their interest and play no part in the decision.

THE DORSET HEALTH TRUST LIMITED

REPORT OF THE TRUSTEES (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2023

Achievements and performance

The Trustees met three times during the year to review the performance of the Trust's investments, to assess the risks facing the Trust, and to consider and respond to the applications for grant aid.

The Trust ensures, in accordance with its objectives, that the income is used to benefit the health of the people in Dorset. It supports many organisations by giving them financial support towards their running costs, purchase of equipment or the provision of facilities.

During the year the trustees approved grants totalling £65,133 to four charities in accordance with the grantmaking policy.

Financial review

The Trust’s income for the year was £167,003 (2022: £164,482), derived primarily from investments.

During the year grants of £65,133 were committed (2022 - £173,200), investment management costs were £16,649 (2022 £18,718) and other expenditure costs were £3,892 (2022: £2,839).

Net investment gains totalled £105,135 (2022: losses £247,808) resulting in a net surplus for the year of £186,464, compared with a net deficit of £278,083 in 2022.

The financial position of the Trust continues to be sound, with total assets of £5,388,807 (2022: £5,199,814) and liabilities of £113,471 (2022: £110,942); total funds standing at £5,275,336 at the balance sheet date (2022: £5,088,872). The trustees are therefore confident that there are sufficient funds to carry out the Trust's future charitable objectives.

The trustees' policy in general is to apply a proportion of available income after necessary costs to awarding grants in accordance with the objects, whilst increasing reserves to maximise future investment income flows. As investment income accrues evenly throughout the year, running costs are minimal and grants awarded are discretionary, the trustees consider that no target level of reserves is required.

At 30 June 2023 general unrestricted funds were £4,026,464, compared with £3,780,048 at 30 June 2022. There was a revaluation reserve of £1,248,872 and no restricted or designated funds.

During 2022-23, negotiations took place with the tenant of the charity's investment property in respect of a lease variation. It was probable that the charity would receive an amount of £110,000 in respect of this variation but this was subject to ongoing negotiations after the year end and is therefore not reflected in these Financial Statements. Since the year end negotiations were completed and the charity received £110,000.

Structure, governance and management

The Dorset Health Trust Limited is a charitable company limited by guarantee, incorporated on 26 August 1977 and registered as a charity on 26 October 1977. The company was established under a memorandum of association which established the objects and powers of the charitable company, and is governed under its articles of association.

The articles provide that the Trust is managed by not less than five nor more than twenty trustees. The trustees may at any time appoint any member of the charitable company as a trustee, provided that the prescribed maximum is not exceeded. No remuneration is paid to trustees. The trustees consider regularly the constitution of the trustee body, aiming to appoint periodically new trustees with appropriate qualifications in medicine, the law, and financial affairs respectively. No specific policies for the induction and training of trustees is considered to be necessary.

This report has been prepared in accordance with the small companies regime under the Companies Act 2006.

Approved by the trustees for issue on 18 March 2024 and signed on their behalf by

Mrs L F Barbour

The Lady Wynford

THE DORSET HEALTH TRUST LIMITED

INDEPENDENT EXAMINER'S REPORT TO THE TRUSTEES OF THE DORSET HEALTH TRUST LIMITED

I report to the charity trustees on my examination of the accounts of the company for the year ended 30 June 2023, set out on pages 5 to 11.

Responsibilities and basis of report

As the charity trustees of the company (and also the directors of the company for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').

Having satisfied myself that the accounts of the company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your company's accounts as carried out under section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.

Independent examiner's statement

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 company as required by section 386 of the 2006 Act; or

  2. the accounts do not accord with those records; or 3. the accounts do not comply with the accounting requirements of section 396 of the 2006 Act 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; or

  3. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102).

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.

S J Hough, FCA Edwards and Keeping 21st March 2024

Unity Chambers 34 High East Street Dorchester Dorset DT1 1HA

THE DORSET HEALTH TRUST LIMITED

STATEMENT OF FINANCIAL ACTIVITIES (INCLUDING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 30 JUNE 2023

Notes
Income
UK bank interest
Donations and gifts
Total income
Expenditure
2
Accountants' fees
Sundry expenses
Total expenditure
5
5
Net income/(deficit) for the year
3
Reconciliation of funds
Funds brought forward
Funds carried forward
7
Rent receivable from investment property
Dividends and fixed interest income
Depreciation and loss on disposal of assets
Realised gains on investment disposal
Net income/(deficit) before investment gains and losses
Legal and professional fees
Unrealised gains/(losses) on investment revaluation
Donations and grants payable
Investment management fees
Total funds
Total funds
2023
2022
£
£
30,941
25,233
135,657
139,237
405
12
-
-
167,003
164,482
65,133
173,200
16,649
18,718
-
-
3,210
2,340
682
499
-
-
85,674
194,757
81,329
(30,275)
5,259
5,437
99,876
(253,245)
186,464
(278,083)
5,088,872
5,366,955
5,275,336
5,088,872

Company number: 1327203

THE DORSET HEALTH TRUST LIMITED

BALANCE SHEET AS AT 30 JUNE 2023

Notes
Fixed assets
Tangible assets
4
Investments
5
Current assets
Debtors - rent due
Investment - cash deposit
Cash at bank and in hand
Liabilities
Creditors: amounts falling due within one year
6
Net current assets
Net assets
Funds
Unrestricted income funds
General income funds
Revaluation reserve
7
Total funds
Total funds
2023
£
1
5,184,467
5,184,468
8,560
100,000
95,779
(113,471)
90,868
5,275,336
4,026,464
1,248,872
5,275,336
Total funds
2022
£
1
5,050,002
5,050,003
-
100,000
49,811
(110,942)
38,869
5,088,872
3,780,048
1,308,824
5,088,872

For the year ending 30 June 2023 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit of its accounts for the year in question in accordance with section 476;

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

Approved by the trustees for issue on 18 March 2024 and signed on their behalf by

Mrs L F Barbour

The Lady Wynford

THE DORSET HEALTH TRUST LIMITED

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30 JUNE 2023

1 Accounting policies

(a) Basis of preparation

The Dorset Health Trust is a private charitable company limited by guarantee and incorporated in England and Wales. In the event of the Trust being wound up, the liability in respect of the guarantee is limited to £1 per member of the Trust. The address of the registered office is given in the Trust information on page 1 of these accounts.

The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with the relevant version of the 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, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Charities Act 2011, the Companies Act 2006 and UK Generally Accepted Accounting Practice.

The Trust has applied Update Bulletin 1 as published on 2 February 2016 and does not include a cash flow statement on the grounds that it is applying FRS 102 Section 1A.

The accounts are prepared on a going concern basis under the historical cost convention. The accounts are presented in sterling which is the functional currency of the Trust and rounded to the nearest pound.

The significant accounting policies applied in the preparation of these accounts are set out below. These policies have been consistently applied to all years presented unless otherwise stated.

(b) Income

All income is recognised when the Trust has entitlement to the income, there is sufficient certainty of receipt and so it is probably that the income will be received, and the amount receivable can be measured reliably. No expenditure is netted off income.

Investment income is earned through holding assets for investment purposes such as shares and property. It includes dividends, interest and rent. Interest income is recognised using the effective interest method and dividend and rent income is recognised as the Trust’s right to receive payment is established.

(c) Expenditure

Expenditure is recognised on an accruals basis as soon as there is a legal or constructive obligation committing the Trust to the expenditure, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure includes any VAT which cannot be fully recovered.

Donations and grants payable are payments made to third parties in the furtherance of the charitable objects of the Trust. In the case of an unconditional grant offer this is accrued as a commitment once the trustees have approved the application and the recipient has been notified of the grant award.

(d) Tangible fixed assets

Tangible fixed assets purchased for continuing use by the Trust are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:-

Computer equipment over 4 years Other equipment over 10 years

THE DORSET HEALTH TRUST LIMITED

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2023

(e) Investment property

Investment property constitutes land at the Winterbourne Hospital, Herringston Road, Dorchester, measured at fair value at each reporting date with changes in fair value recognised in ‘net gains/(losses) on investments’ in the statement of financial activities. There is no market-based evidence available to establish fair value, due to its specialised nature, therefore fair value is estimated on the future potential net rental income generated under the lease.

(f) Investments

Investments are recognised initially at fair value which is normally the transaction price excluding transaction costs. Subsequently, they are measured at fair value with changes recognised in ‘net gains/(losses) on investments’ in the statement of financial activities if the shares are publicly traded or their fair value can otherwise be measured reliably.

Current asset investments are included at the lower of cost and net realisable value / market value.

(f) Fund accounting

Unrestricted funds are expendable at the discretion of the trustees in furtherance of the objects of the Trust. Unrestricted funds include designated funds which represent monies set aside by the trustees for specific purposes.

The Trust currently has no restricted funds.

2 Donations and grants payable

Approved in the year:
Alcohol Education Trust
Age UK
Chesil Sailability
Dorchester Youth & Community Trust
Dorset County Hospital
Dorset Trust for Counselling and Psychotherapy
Family Counselling Trust
Dorset MIND
Project Linus
Reconciliation of donations and grants:
Commitments at 1 July 2022
Grants approved in the year (as above)
Amounts paid during the year
Commitments at 30 June 2023
2023
£
10,000
-
37,133
-
-
3,000
15,000
-
-
65,133
2023
£
100,000
65,133
(65,133)
100,000
2022
£
11,000
36,000
3,600
7,500
100,000
-
-
14,600
500
173,200
2022
£
-
173,200
(73,200)
100,000

THE DORSET HEALTH TRUST LIMITED

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2023

3 Net income for the year

3 Net income for the year
2023 2022
This is stated after charging: £ £
Depreciation - -
Accountants' fees
Independent examination 600 600
Other services - accountancy 2,610 1,740

No staff were employed during either year and no remuneration was paid to trustees. £28 reimbursed expenses relating to postage, stationery and AGM costs were made during the year (2022 - £Nil).

As stated in the Trustees' Report, from time to time trustees are also trustees of organisations to which grants are made. On such occasions the relevant individuals declare their interest and play no part in the decision.

There were no related party transactions in either year.

4 Tangible fixed assets

4 Tangible fixed assets
Fixtures, fittings
and equipment
£
Cost
At 1 July 2022 and at 30 June 2023 370
Depreciation
At 1 July 2022 and at 30 June 2023 369
Net book value
At 30 June 2023 1
At 30 June 2022 1

THE DORSET HEALTH TRUST LIMITED

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2023

5 Investments
At 1 July 2022
Acquisitions at cost
Disposal proceeds
Realised gains on disposal
Unrealised gains/(losses) on revaluation
Cash deposits held within the investment portfolio
At 30 June 2023
Investment property
Listed investments
Fixed interest securities
UK equities
Overseas equities
Alternatives
Cash deposits held within the investment portfolio
Valuation
Investments at fair value comprise:-
Investment
property
£
630,000
-
-
-
630,000
170,000
800,000
-
800,000
Listed
investments
£
4,268,940
1,146,313
(1,028,088)
5,259
4,392,424
(70,124)
4,322,300
62,167
4,384,467
Total
2023
£
4,898,940
1,146,313
(1,028,088)
5,259
5,022,424
99,876
5,122,300
62,167
5,184,467
2023
£
800,000
952,506
1,294,544
1,448,029
627,221
62,167
5,184,467
Total
2022
£
5,292,443
690,408
(836,103)
5,437
5,152,185
(253,245)
4,898,940
151,062
5,050,002
2022
£
630,000
550,748
1,458,912
1,696,142
563,138
151,062
5,050,002

Investment property comprises freehold land externally valued at £800,000 on a market value investment valuation basis subject to occupational lease by Ms Agnes Sawyer BSc MRICS of Nettleship Sawyer Chartered Surveyors, prepared in March 2024 for a valuation as at 30th June 2023.

Details of the leasing arrangements relating to the investment property are provided in note 8.

All listed investments are carried at their fair value, determined by reference to the quoted price for identical assets in quoted public markets at the balance sheet date.

6 Creditors: amounts falling due within one year

Accruals for grants payable (note 2)
Accruals and receipts in advance
2023
2022
£
£
100,000
100,000
13,471
10,942
113,471
110,942

THE DORSET HEALTH TRUST LIMITED

NOTES TO THE ACCOUNTS (CONTINUED) FOR THE YEAR ENDED 30 JUNE 2023

7 Funds

At 1 July 2022
Income
Expenditure
Net investment gains
At 30 June 2023
Represented by:-
Tangible fixed assets
Fixed asset investments
Net current assets
General
funds
£
3,780,048
167,003
(85,674)
165,087
4,026,464
1
3,935,595
90,868
4,026,464
Designated
revaluation
reserve
£
1,308,824
-
-
(59,952)
1,248,872
-
1,248,872
-
1,248,872
Total
funds
£
5,088,872
167,003
(85,674)
105,135
5,275,336
1
5,184,467
90,868
5,275,336

The designated revaluation reserve fund is required by the Companies Act 2006 and represents the amount by which investments at valuation exceed their historical cost.

The trustees consider that there are sufficient funds to enable the Trust to continue to fulfil its charitable objectives for the foreseeable future.

8 Operating lease - lessor

Total future minimum lease receipts under non-cancellable operating leases are as follows:

Not later than one year
Later than one and not later than five years
Later than five years
2023
2022
£
£
42,354
25,233
169,416
100,933
3,282,435
1,980,790
3,494,205
2,106,956

Rental income is derived from freehold land at the Winterbourne Hospital, Herringston Road, Dorchester held as investment property on a long-term lease expiring in 2106. Rent is reviewed every 14 years in line with RPI.

9 Contingent asset

During 2022-23, negotiations took place with the tenant of the charity's investment property in respect of a lease variation. It was probable that the charity would receive an amount of £110,000 in respect of this variation but this was subject to ongoing negotiations after the year end and is therefore not reflected in these Financial Statements. Since the year end negotiations were completed and the charity received £110,000.