**REGISTERED CHARITY NUMBER: 326395**
**The John Charnley Trust Report of the Trustees and**
**Audited Financial Statements**
**for the Year Ended 30 June 2024**
**The John Charnley Trust**
## **Contents of the Financial Statements**
**for the year ended 30 June 2024**
||**Page**||
|---|---|---|
|**Report of the Trustees**|1 to|8|
|**Report of the Independent Auditors**|9 to|11|
|**Statement of Financial Activities**|12||
|**Balance Sheet**|13||
|**Notes to the Financial Statements**|14 to|22|
## **The John Charnley Trust**
## **Report of the Trustees for the year ended 30 June 2024**
The trustees present their report with the financial statements of the charity for the year ended 30 June 2024.
The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) FRS 102 'Accounting and Reporting by Charities' effective 1 January 2019.
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and activities**
The object of the Charity is the promotion of research, education and training for or into the relief of pain, suffering and disability arising out of or associated with joints of the human skeleton and in particular (but without prejudice to the generality of the foregoing) in the field of Low Friction Arthroplasty of the hip and related areas of surgery.
The principal activities of the charity continue to be those of funding research in the field of joint replacement, research fellowships, and lectures, conferences and seminars to further the technique of Low Friction Arthroplasty.
Page 1
## **The John Charnley Trust**
## **Report of the Trustees**
**for the year ended 30 June 2024**
## **OBJECTIVES AND ACTIVITIES Significant activities**
The objectives for the year were to continue the promotion of research, education and training in the field of orthopaedic surgery. In achieving these aims the charity was able to carry out the following;
The charity promoted education and training by creating The Charnley Latta Fellowship in 2010 from the gift of the late Mrs Doreen Latta, a patient who underwent reconstructive surgery at Wrightington Hospital and thereafter had over 30 years of pain-free walking and led a normal life.
Applications continue to be invited from committed orthopaedic surgeons for the unique opportunity to visit centres of excellence in reconstructive hip and knee surgery world-wide.
The charity promoted education by creating the Patient Information Centre at Wrightington. Due to redevelopment work at Wrightington Hospital the historical collection was largely placed in temporary storage although plans are being currently developed for a new site.
The Memorial Lecture was by Derek Bennett in February 2024 at the BOA in Belfast.
The charity promoted education and research by making grants including: -
|SM Graham
Wrightington Wigan and Leigh NHS|On behalf of Malawi National Joint Register|
|---|---|
|Trust|Research and education coordination by H Wynn Jones and|
||T Board assisted by H Divecha and S Panchani,|
|Wrightington Wigan and Leigh NHS||
|Trust|Origin Study by T Board|
|K Malik-Tabassum|The Charnley Latta Travelling Scholarship|
|M Clark|The Charnley Latta Travelling Scholarship|
|S Madanipour|The Charnley Latta Travelling Scholarship|
|M Zeiton|The Charnley Latta Travelling Scholarship|
|Z Hamoodi|MD Studies|
|M Hague|The Charnley Latta Travelling Scholarship|
|H Magill
The Charnley Latta Travelling Scholarship||
|J Barrow
Future Leaders Programme||
The funding from the Charity facilitates the growth and development in Hip and Knee research and Lower Limb Education at Wrightington Hospital.
Research and Education activity continues to thrive with the help of funding and secretarial support from the Trust.
## **Public benefit**
The trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Charity's aims and objectives.
Page 2
## **The John Charnley Trust**
## **Report of the Trustees**
**for the year ended 30 June 2024**
## **OBJECTIVES AND ACTIVITIES**
## **Grantmaking**
The charity receives applications for the funding of projects through its website and publications and applicants are invited to submit a summary of their proposals in a standard format. The applications are reviewed against specific criteria and research objectives. As a condition of the grant the charity requests a copy of the final report on each piece of research or fellowship. All research is made publicly available as soon as possible and all those supported refer to the financial assistance provided by the charity.
Page 3
## **The John Charnley Trust**
## **Report of the Trustees**
**for the year ended 30 June 2024**
## **ACHIEVEMENT AND PERFORMANCE**
## **Achievements and performance**
The trustees are pleased to record their appreciation of the receipt in the year of general donations of £Nil (2023: £1,280) and a legacy of £10,000 (2023: £Nil).
## **Education and Courses.**
Courses held in 2023 and 2024 include:
Lower Limb FRCS Courses were held on January, March and September in the Wrightington Conference Centre organised by Sunil Panchani, Chris Whelton and Henry Wynn Jones. Northwest Deanery Teaching was held on 13th October 2023 and organised by Chris Whelton.
The Northwest Periprosthetic Fracture Course was held on 22nd and 23rd November 2023 and organised by Henry Wynn Jones and Sunil Panchani.
VELYS Robotic-Assisted Solution Sawbone Workshop was held on 28th November 2023 and organised by Henry Wynn Jones.
The BHS Forum held in Glasgow was organised with Satish Kutty on 15th and 16th January 2024.
The Low Friction Society dinner was organised at the British Hip Society in Belfast by Chris Whelton on 29th February 2024.
The Northwest Regional Revision Knee Audit Meeting was held on 15th March 2024 in Manchester and organised by Anil Gambhir.
The Acetabular Revision Masterclass was held on 26th March 2024 organised by Henry Wynn Jones and Sunil Panchani.
The John Charnley Gold Medal Research Day was held in the Wrightington Conference Centre on 28th June 2024 organised by Henry Wynn Jones and Sunil Panchani.
The American Hip Society/ British Hip Society Travelling Fellows spent two days visiting Wrightington in September 2024 organised by Anil Gambhir.
BHS Principles of Hip Arthroplasty for ST3/4, organised by Chris Whelton, was held on 11th October 2024. The Wrightington International Arthroplasty Meeting was held at Old Trafford Cricket Club on the 11th and 12th November 2024. This was a major international meeting with speakers from Europe and USA with video link organised by Henry Wynn Jones and Sunil Panchani.
## Courses planned for 2025 include:
Lower Limb FRCS Viva Courses will be held in January, March, September 2025 BHS Hip Forum to be held at Wrightington on the 13th and 14th January 2025 Casting Course to be held in February 2025
Acetabular Revision Masterclass will be held on Friday 21st March 2025 John Charnley Gold Medal Research Day in June 2025
Northwest Deanery Teaching to be held in October
BHS Principles of Hip Arthroplasty for ST3/4 to be held in October 2025 Visitations/Electives
There have been many visitations/electives through 2023 and 2024 with further planned for 2025.
## **Research**
Lower limb research activity has continued to progress.
In 2024 we published 7 papers on research relating to hip and knee arthroplasty, biomechanics and data analysis. Some highlights include output on wound closure in hip and knee arthroplasty, assessment of modern surgical helmets and influence of surgeon volume on outcome of revision hip replacement
## Progress with a number of clinical studies is summarised below:
1. HAPI - NIHR portfolio. Completed recruitment and surgeries. In patient follow-up stage
2. ORIGIN - JCT/ Symbios joint funded. Recruitment finished and data capture complete. Data analysis ongoing.
3. RESULT-Hip - NIHR portfolio study in hip fracture surgery. Recruiting from Acute trauma site. Hiren Divecha has supported/ mentored the research development of an allied healthcare professional through the NIHR Associate PI Scheme (Amy Atkinson, Orthogeriatric Practitioner).
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## **The John Charnley Trust**
## **Report of the Trustees**
## **for the year ended 30 June 2024**
4. HIPPY trial - NIHR portfolio trial. We received the green light for this study just recently and the first patient underwent surgery in early December 2024. This is a 3 arm RCT of cemented vs uncemented vs hybrid fixation in THR and requires over 7,000 patients. It has a 10 year follow up period and will be the largest trial ever completed in THR.
There have been multiple presentations at the British Hip Society, British Orthopaedic Association and the International Hip Society meetings.
We continue to support the Registrars and Fellows in their projects, running regular meetings (now face to face) which have also included meetings for practicing presentations in the lead up to a formal presentation at an Orthopaedic meeting.
Projects in development include a collaborative project with Edge Hill that is under development is planned for submission to the MRC in the new year. This project will be assessing functional outcome of total hip replacement using gait analysis and relating this to 3-dimensional reconstruction of hip biomechanics and other factors. The first application on this project was rejected but following positive feedback we have widened the team and rewritten the application. This will be submitted in January 2025. Following successful presentation of our experience of paediatric hip arthroplasty at the International Hip Society meeting we have submitted this work for publication. We are now working up a proposal to RfPB NIHR for a qualitative and health economic study on the impact of hip replacement in the paediatric population.
## **Investment performance**
2024 proved to be a strong year for asset returns, with economic growth consistently surprising to the upside and many central banks beginning to walk interest rates down from the highs of late 2023. The US led the way, with the S&P500 index returning 25% over the year. Notably the lion's share of this performance was provided by the 'Magnificent 7' stocks, which were up 67% over the year.
Despite strong headline figures from several of the main global indices, 2024 was not as smooth as the figures might suggest. Rate cuts in the US, UK and Europe, whilst welcome, came far more reluctantly than many had hoped and indeed forecast at the outset of the year. Politically there were also a number of potential stumbling blocks, with significant elections in the UK and US, and the collapse of a French Government in early December followed closely by the collapse of the German government a couple of weeks later.
Slightly further back, there was a sharp global market sell off in August, triggered by weak economic data from the US coinciding with an unexpected interest rate hike from the Bank of Japan. This turmoil fortunately proved to be short lived.
It is likely however that 2024 will be remembered more for the global equity rally which followed Donald Trump's US election victory in November. The S&P500 recorded it's best month of the year, up 5.9%, and the Russell 2000 index of small cap US equities returned 11%. This momentum persisted for much of the latter part of the year, though notably a hawkish pivot by the FED in December dampened enthusiasm somewhat. The FED expects to make interest rate cuts amounting to 50 basis points over the course of 2025, significantly lower than previous forecasts. This news, coupled with fears surrounding the potential ramifications of the many tariffs Donald Trump has so far suggested, may prove to be a setback to global markets as they enter a new year.
In terms of top performers, a number of the UK stocks have performed strongly, namely Keyword and DS Smith which were bid for. US equities also positively contributed together with Tech which saw strong returns over the past year, with no significant contributors.
Performance versus ARC continues to be strong, with 2023 returns slightly ahead of the benchmark whilst 2024 has been slightly behind. Long term performance in absolute and relative terms continues to be positive, with the portfolio returning 120.58% since October 2011 (after fees and charges), ahead of the ARC Sterling Steady Growth benchmark up 117.17%.
## **Internal and external factors**
There are many internal and external factors which will affect the future performance of the charity. The trustees meet regularly and conduct regular reviews to safeguard the charity.
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## **The John Charnley Trust**
## **Report of the Trustees**
## **for the year ended 30 June 2024**
## **FINANCIAL REVIEW**
## **Financial position**
The financial position of the charity as set out in the financial statements. The charity maintains a healthy cash balance to deal with any circumstances as they arise.
## **Principal funding sources and fundraising**
.The charity derives its' income from three main sources;
- Legacies and donations.
- Investment returns from investment assets.
- Training income and sale of merchandise.
The amount of any legacies received in any year is outside the control of the charity and is purely dependant upon the generosity of the donors. Investment income is dependent upon general economic and investment market conditions whilst the provision of training and courses is dependent upon take-up.
## **Investment policy and objectives**
The trustees have engaged Brooks MacDonald as investment managers who operate within guidelines agreed with the trustees. The trustees have asked the investment managers to consider social, environmental and ethical criteria when managing the portfolio. There are no restrictions on the charity's power to invest. The investment strategy is set by the trustees and takes account of the demand for funds. The trustees consider the income requirements, the risk profile and the investment managers' view of the market prospects in the medium term. This strategy is set within an overall policy to invest in medium risk investments with an aim of overall income and capital growth. The strategy is reviewed with the investment managers at each trustees meeting. The value of the investments is in line with the investment strategy which aims to provide gross income (including cash on deposit with investment manager) of some £30,000 per annum insofar as is compatible with the investment objective of a balanced return from income and capital growth.
## **Reserves policy**
In order that the trustees can meet the aims set out above they need to be able to provide longer-term certainty to projects that are supported by the charity. It is for this reason that the trustee's reserves policy is to continue to accumulate funds so as to maintain investments to give an aim of annual investment income of some £30,000 towards grants continuing to be made.
The funds in the financial statements are defined as:
## **General Fund and Charnley Latta Fellowship**
This fund is unrestricted and is used for all charitable purposes without restriction in accordance with the governing documents. Amounts held in these funds as at 30 June 2024 were £1,590,236. The Charley Latta Fellowship Fund completed during the year.
## **Restricted Fund: Wrightington Upper Limb Research**
This fund is for the promotion of research, education and training for or into the relief of pain, suffering and disability arising out of or associated with joints of the human skeleton and in particular (but without prejudice to the generality of the foregoing) in the field of upper limb arthroplasty and related areas of surgery. The amount held in this fund as at 30 June 2024 was £28,921.
## **Funds in deficit**
There are no funds in deficit.
## **FUTURE PLANS**
The trustees intend to carry on with the objectives and policies as they stand at present which in their opinion have lead to both a successful management of resources and the furthering of medical knowledge.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The John Charnley Trust is an unincorporated charity, constituted under a trust deed dated 27 June 1983.
Page 6
## **The John Charnley Trust**
## **Report of the Trustees**
**for the year ended 30 June 2024**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees**
The trustees who have served during the year are set out below and their appointment is based on their knowledge of the aims of the charity.
New trustees are recruited by contact with appropriately qualified individuals and appointed as required in line with the Charity's objectives. Appropriate induction and training will be given to any new trustees. The trustees generally meet twice a year, but a sub group meets more frequently to assess grant applications and then report to the full board of the Trustees.
## **Organisational structure and decision making**
The management of the charity is vested in the trustees who meet at least twice a year to consider matters such as the performance of the investment portfolio and to decide both the value and recipients of grant expenditure.
## **Related parties**
The charity has paid Wrightington Wigan and Leigh NHS Trust for the part time services of various consultants that it employs who are also trustees of the charity. The amounts paid are disclosed in the notes to the financial statements.
## **Risk management**
The trustees have examined the major strategic, business and operational risks which the charity faces and confirm that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
326395
## **Principal address**
28 Eaton Avenue Matrix Office Park Buckshaw Village Chorley Lancashire PR7 7NA
## **Trustees**
JC Faux FRCS T Charnley BA I Paterson OBE TD FCIB (resigned 20/10/2023) ML Porter FRCS Chairman AC Ross MB FRCS JP Hodgkinson FRCS H Wynn Jones FRCS(Tr&Orth) Professor AC Watts FRCS(Tr&Orth) RW Parkinson FRCS(EdOrth)
## **Auditors**
A I Cherry Limited Chartered Accountants and Statutory Auditors 26 Winckley Square Preston PR1 3JJ
Page 7
## **The John Charnley Trust**
## **Report of the Trustees**
**for the year ended 30 June 2024**
## **REFERENCE AND ADMINISTRATIVE DETAILS Secretaries and Financial Advisers**
McMillan & Co LLP Chartered Accountants 28 Eaton Avenue Matrix Office Park Buckshaw Village Chorley Lancashire PR7 7NA
Telephone 01772 299888 E-mail mail@mcmillanaccountants.com Website www.johncharnleytrust.org
## **Bankers**
HSBC Bank plc.
## **Investment managers**
Brooks MacDonald Asset Management, Manchester
## **FUNDS HELD AS CUSTODIAN FOR OTHERS**
The charity does not hold any funds as a custodian.
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
The trustees are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
The law applicable to charities in England and Wales, the Charities Act 2011, Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charity for that period. In preparing 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.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Approved by order of the board of trustees on 4 April 2025 and signed on its behalf by:
ML Porter FRCS - Trustee
Page 8
## **Report of the Independent Auditors to the Trustees of The John Charnley Trust**
## **Opinion**
We have audited the financial statements of The John Charnley Trust (the 'charity') for the year ended 30 June 2024 which comprise the Statement of Financial Activities, the Balance Sheet and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
- In our opinion the financial statements:
- give a true and fair view of the state of the charity's affairs as at 30 June 2024 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, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion**
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
## **Other information**
The trustees are responsible for the other information. The other information comprises the information included in the Annual Report, other than the financial statements and our Report of the Independent Auditors thereon.
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
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**Report of the Independent Auditors to the Trustees of The John Charnley Trust**
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees' report.
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- adequate and proper accounting records have not been kept, or returns adequate for our audit have not
- been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit; or
- the information given in the Trustees' Annual Report is inconsistent in any material respect with the
- financial statements.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees' Responsibilities, the trustees are responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
## **Our responsibilities for the audit of the financial statements**
We have been appointed as auditors under Section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Independent Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.
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## **Report of the Independent Auditors to the Trustees of The John Charnley Trust**
## **Use of our report**
This report is made solely to the charity's trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's trustees as a body, for our audit work, for this report, or for the opinions we have formed.
A I Cherry Limited Chartered Accountants and Statutory Auditors 26 Winckley Square Preston PR1 3JJ
7 April 2025
Page 11
## **The John Charnley Trust**
## **Statement of Financial Activities**
## **for the year ended 30 June 2024**
|Unrestricted
funds
Notes
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
3
**10,000**
**Charitable activities**
5
Education
**44,752**
Investment income
4
**28,512**
**Total**
**83,264**
**EXPENDITURE ON**
Raising funds
6
**13,500**
**Charitable activities**
7
Grants
**82,467**
Memorial Lecture
**57**
Education
**32,596**
Other
**17,019**
**Total**
**145,639**
Net gains on investments
**154,531**
**NET INCOME/(EXPENDITURE)**
**92,156**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**1,498,080**
**TOTAL FUNDS CARRIED FORWARD**
**1,590,236**|Restricted
funds
£
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**28,921**
**28,921**|**2024**
**Total**
**funds**
**£**
**10,000**
**44,752**
**28,512**
**83,264**
**13,500**
**82,467**
**57**
**32,596**
**17,019**
**145,639**
**154,531**
**92,156**
**1,527,001**
**1,619,157**|2023
Total
funds
£
1,280
56,280
28,786
86,346
10,755
60,186
612
27,468
17,000
116,021
20,969
(8,706)
1,535,707
1,527,001|
|---|---|---|---|
## **CONTINUING OPERATIONS**
All income and expenditure has arisen from continuing activities.
The notes form part of these financial statements
Page 12
## **The John Charnley Trust**
## **Balance Sheet**
## **30 June 2024**
|Unrestricted
funds
Notes
£
**FIXED ASSETS**
Investments
13
**1,560,436**
**CURRENT ASSETS**
Debtors
14
**4,480**
Cash at bank
**65,727**
**70,207**
**CREDITORS**
Amounts falling due within one year
15
**(40,407)**
**NET CURRENT ASSETS**
**29,800**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**1,590,236**
**NET ASSETS**
**1,590,236**
**FUNDS**
16
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|Restricted
funds
£
**-**
**-**
**28,921**
**28,921**
**-**
**28,921**
**28,921**
**28,921**|**2024**
**Total**
**funds**
**£**
**1,560,436**
**4,480**
**94,648**
**99,128**
**(40,407)**
**58,721**
**1,619,157**
**1,619,157**
**1,590,236**
**28,921**
**1,619,157**|2023
Total
funds
£
1,410,504
2,430
132,554
134,984
(18,487)
116,497
1,527,001
1,527,001
1,498,080
28,921
1,527,001|
|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 4 April 2025 and were signed on its behalf by:
ML Porter FRCS - Trustee
The notes form part of these financial statements
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## **The John Charnley Trust**
## **Notes to the Financial Statements**
## **for the year ended 30 June 2024**
## **1. GENERAL INFORMATION**
The charity is a registered charity in England and Wales and is unincorporated. The address of the registered office and principal office is 28 Eaton Avenue, Matrix Office Park, Buckshaw Village, Chorley, Lancashire, PR7 7NA.
The presentational currency of the financial statements is the Pound Sterling (£). The amounts in the financial statements have been rounded to the nearest £1.
## **2. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, 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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention, with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
The accounts 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 Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) (issued October 2019) rather than the Accounting and Reporting by Charities: Statement of Recommended Practice (effective from January 2019).
The financial statements have been prepared under the historical cost convention with the exception of investments which are included at market value, as modified by the revaluation of certain assets.
The financial statements cover the Charity as an individual entity.
There are no material uncertainties about the Charity's ability to continue as a going concern. The balance of funds as at 30 June 2024 was £1,619,157, an increase of £92,156 in the financial year.
The Trustees concluded that the financial statements give a true and fair view.
## **Financial instruments**
Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument. Basic financial assets, which include debtors, prepayments and bank balances, are initially measured at transaction price and are subsequently carried at cost unless the arrangement indicates otherwise and then the asset is measured at the present value of the future receipts discounted at a market rate of interest. Basic financial liabilities, which include creditors, accruals, bank loans and group borrowings, are initially recognised at transaction price and are subsequently carried at cost unless the arrangement indicates otherwise and then the liability is measured at the present value of the future obligations discounted at a market rate of interest.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, 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 is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Page 14
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued for the year ended 30 June 2024**
## **2. ACCOUNTING POLICIES - continued**
## **Expenditure**
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
Governance costs comprise amounts for the running of the charity itself as an organisation.
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **Realised gains and losses**
All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities.
## **Investments**
The investments are included at closing mid-market value at the balance sheet date. The cost of investments includes commission paid to the investment managers. Any gain or loss or revaluation is taken to the Statement of Financial Activities.
## **3. DONATIONS AND LEGACIES**
## **4.**
|Other donations and gifts
Legacies
**INVESTMENT INCOME**
Dividends received
Interest received|**2024**
**£**
**-**
**10,000**
**10,000**
**2024**
**£**
**28,035**
**477**
**28,512**|2023
£
1,280
-
1,280
2023
£
28,318
468
28,786|
|---|---|---|
Page 15
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued**
**for the year ended 30 June 2024**
|**5.**
**INCOME FROM CHARITABLE ACTIVITIES**
**2024**
Activity
**£**
Training & course income
Education
**43,682**
Sale of books
Education
**1,070**
**44,752**
**6.**
**RAISING FUNDS**
**Raising donations and legacies**
**2024**
**£**
Investment managers' fee
**13,500**
**7.**
**CHARITABLE ACTIVITIES COSTS**
Grant
funding of
activities
Direct
(see note
Costs
8)
£
£
Grants
**-**
**82,467**
Memorial Lecture
**57**
**-**
Education
**25,156**
**7,440**
**25,213**
**89,907**
**8.**
**GRANTS PAYABLE**
**2024**
**£**
Grants
**82,467**
Education
**7,440**
**89,907**
The total grants paid to institutions during the year was as follows:
**2024**
**£**
WWL - Origin Study
**2,800**
WWL - Education and courses
**26,925**
WWL - Training
**12,704**
WWL - Research
**14,204**
**56,633**|2023
£
55,180
1,100
56,280
2023
£
10,755
Totals
£
**82,467**
**57**
**32,596**
**115,120**
2023
£
60,186
2,900
63,086
2023
£
4,200
17,696
12,009
13,760
47,665|
|---|---|
Page 16
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued**
## **for the year ended 30 June 2024**
## **8. GRANTS PAYABLE - continued**
The total grants paid to individuals during the year was as follows:
|**2024**
**£**
S M Graham
**8,000**
Z Ahmand - Charnley Latta Travelling Scholarship
**-**
C Whelton - Future Leaders
**-**
K Malik-Tabassum - Charnley Latta Travelling Scholarship
**2,000**
M Clark - Charnley Latta Travelling Scholarship
**728**
S Madanipour - Charnley Latta Travelling Scholarship
**3,750**
M Zeiton - Charnley Latta Travelling Scholarship
**6,800**
Z Hamoodi - MD Studies
**4,611**
M Hague - Charnley Latta Travelling Scholarship
**2,000**
H Magill - Charnley Latta Travelling Scholarship
**1,665**
J Barrow - Future Leaders
**3,720**
**33,274**
**9.**
**SUPPORT COSTS**
Information
Governance
technology
costs
£
£
Other resources expended
**208**
**16,811**
**Governance costs**
**2024**
£
Auditors remuneration
4,800
Postage and stationery
159
Secretarial and support services
11,334
Paypal fees
518
16,811
**10.**
**AUDITORS' REMUNERATION**
**2024**
**£**
Fees payable to the charity's auditors for the audit of the charity's
financial statements
**4,800**|**2024**
**£**
S M Graham
**8,000**
Z Ahmand - Charnley Latta Travelling Scholarship
**-**
C Whelton - Future Leaders
**-**
K Malik-Tabassum - Charnley Latta Travelling Scholarship
**2,000**
M Clark - Charnley Latta Travelling Scholarship
**728**
S Madanipour - Charnley Latta Travelling Scholarship
**3,750**
M Zeiton - Charnley Latta Travelling Scholarship
**6,800**
Z Hamoodi - MD Studies
**4,611**
M Hague - Charnley Latta Travelling Scholarship
**2,000**
H Magill - Charnley Latta Travelling Scholarship
**1,665**
J Barrow - Future Leaders
**3,720**
**33,274**
**9.**
**SUPPORT COSTS**
Information
Governance
technology
costs
£
£
Other resources expended
**208**
**16,811**
**Governance costs**
**2024**
£
Auditors remuneration
4,800
Postage and stationery
159
Secretarial and support services
11,334
Paypal fees
518
16,811
**10.**
**AUDITORS' REMUNERATION**
**2024**
**£**
Fees payable to the charity's auditors for the audit of the charity's
financial statements
**4,800**|**2024**
**£**
S M Graham
**8,000**
Z Ahmand - Charnley Latta Travelling Scholarship
**-**
C Whelton - Future Leaders
**-**
K Malik-Tabassum - Charnley Latta Travelling Scholarship
**2,000**
M Clark - Charnley Latta Travelling Scholarship
**728**
S Madanipour - Charnley Latta Travelling Scholarship
**3,750**
M Zeiton - Charnley Latta Travelling Scholarship
**6,800**
Z Hamoodi - MD Studies
**4,611**
M Hague - Charnley Latta Travelling Scholarship
**2,000**
H Magill - Charnley Latta Travelling Scholarship
**1,665**
J Barrow - Future Leaders
**3,720**
**33,274**
**9.**
**SUPPORT COSTS**
Information
Governance
technology
costs
£
£
Other resources expended
**208**
**16,811**
**Governance costs**
**2024**
£
Auditors remuneration
4,800
Postage and stationery
159
Secretarial and support services
11,334
Paypal fees
518
16,811
**10.**
**AUDITORS' REMUNERATION**
**2024**
**£**
Fees payable to the charity's auditors for the audit of the charity's
financial statements
**4,800**|**2024**
**£**
S M Graham
**8,000**
Z Ahmand - Charnley Latta Travelling Scholarship
**-**
C Whelton - Future Leaders
**-**
K Malik-Tabassum - Charnley Latta Travelling Scholarship
**2,000**
M Clark - Charnley Latta Travelling Scholarship
**728**
S Madanipour - Charnley Latta Travelling Scholarship
**3,750**
M Zeiton - Charnley Latta Travelling Scholarship
**6,800**
Z Hamoodi - MD Studies
**4,611**
M Hague - Charnley Latta Travelling Scholarship
**2,000**
H Magill - Charnley Latta Travelling Scholarship
**1,665**
J Barrow - Future Leaders
**3,720**
**33,274**
**9.**
**SUPPORT COSTS**
Information
Governance
technology
costs
£
£
Other resources expended
**208**
**16,811**
**Governance costs**
**2024**
£
Auditors remuneration
4,800
Postage and stationery
159
Secretarial and support services
11,334
Paypal fees
518
16,811
**10.**
**AUDITORS' REMUNERATION**
**2024**
**£**
Fees payable to the charity's auditors for the audit of the charity's
financial statements
**4,800**|**2024**
**£**
S M Graham
**8,000**
Z Ahmand - Charnley Latta Travelling Scholarship
**-**
C Whelton - Future Leaders
**-**
K Malik-Tabassum - Charnley Latta Travelling Scholarship
**2,000**
M Clark - Charnley Latta Travelling Scholarship
**728**
S Madanipour - Charnley Latta Travelling Scholarship
**3,750**
M Zeiton - Charnley Latta Travelling Scholarship
**6,800**
Z Hamoodi - MD Studies
**4,611**
M Hague - Charnley Latta Travelling Scholarship
**2,000**
H Magill - Charnley Latta Travelling Scholarship
**1,665**
J Barrow - Future Leaders
**3,720**
**33,274**
**9.**
**SUPPORT COSTS**
Information
Governance
technology
costs
£
£
Other resources expended
**208**
**16,811**
**Governance costs**
**2024**
£
Auditors remuneration
4,800
Postage and stationery
159
Secretarial and support services
11,334
Paypal fees
518
16,811
**10.**
**AUDITORS' REMUNERATION**
**2024**
**£**
Fees payable to the charity's auditors for the audit of the charity's
financial statements
**4,800**||2023
£
8,000
4,521
2,900
-
-
-
-
-
-
-
-
15,421
Totals
£
**17,019**|2023
£
8,000
4,521
2,900
-
-
-
-
-
-
-
-
15,421
Totals
£
**17,019**|
|---|---|---|---|---|---|---|---|
||||**2024**
£
4,800
159
11,334
518|||2023
£
2,500
197
7,650
491||
|||||||||
||||16,811|||10,838||
|||||||||
|||||**2024**
**£**
**4,800**|||2023
£
2,500|
Page 17
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued for the year ended 30 June 2024**
## **11. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 30 June 2024 nor for the year ended 30 June 2023.
## **Trustees' expenses**
Trustees' expenses amounting to £Nil (2023: £Nil) were reimbursed in the year.
## **12. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|Unrestricted
funds
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
1,280
**Charitable activities**
Education
56,280
Investment income
28,786
**Total**
86,346
**EXPENDITURE ON**
Raising funds
10,755
**Charitable activities**
Grants
60,186
Memorial Lecture
612
Education
27,468
Other
17,000
**Total**
116,021
Net gains on investments
20,969
**NET INCOME/(EXPENDITURE)**
(8,706)
**RECONCILIATION OF FUNDS**
Total funds brought forward
1,506,786
**TOTAL FUNDS CARRIED FORWARD**
1,498,080|Restricted
funds
£
-
-
-
-
-
-
-
-
-
-
-
-
28,921
28,921|Total
funds
£
1,280
56,280
28,786
86,346
10,755
60,186
612
27,468
17,000
116,021
20,969
(8,706)
1,535,707
1,527,001|
|---|---|---|
Page 18
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued**
**for the year ended 30 June 2024**
## **13. FIXED ASSET INVESTMENTS**
**----- Start of picture text -----**
Listed
investments
£
MARKET VALUE
At 1 July 2023 1,410,504
Additions 223,111
Disposals (217,490)
Revaluations 144,311
At 30 June 2024 1,560,436
NET BOOK VALUE
At 30 June 2024 1,560,436
At 30 June 2023 1,410,504
The market value of investments at the end of the year is analysed as follows:
2024 2023
£ £
UK Investments:
Corporate bonds and preference shares 492,774 453,250
Ordinary shares 344,838 328,687
837,612 781,938
Overseas investments:
Investment/Unit Trusts 722,824 628,567
1,560,436 1,410,504
Historical cost at end of year 1,279,379 1,286,446
14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£ £
Trade debtors 4,480 2,430
**----- End of picture text -----**
Page 19
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued**
## **for the year ended 30 June 2024**
|**15.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Other creditors
Accruals and deferred income
Grants payable
**16.**
**MOVEMENT IN FUNDS**
At 1/7/23
£
**Unrestricted funds**
General fund
**1,482,461**
Charnley Latta Fellowship
**15,619**
**1,498,080**
**Restricted funds**
Wrightington Upper Limb Research
**28,921**
**TOTAL FUNDS**
**1,527,001**|**2024**
**£**
**-**
**23,356**
**17,051**
**40,407**
Net
movement
in funds
£
**107,775**
**(15,619)**
**92,156**
**-**
**92,156**|2023
£
4,599
4,800
9,088
18,487
At 30/6/24
£
**1,590,236**
**-**
**1,590,236**
**28,921**
**1,619,157**|
|---|---|---|
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**|Incoming
Resources
resources
expended
£
£|Gains and
losses
£|Movement
in funds
£|
|---|---|---|---|
|General fund|**83,264**
**(124,085)**|**148,596**|**107,775**|
|Charnley Latta Fellowship|**-**
**(21,554)**|**5,935**|**(15,619)**|
||**83,264**
**(145,639)**|**154,531**|**92,156**|
|**TOTAL FUNDS**|**83,264**
**(145,639)**|**154,531**|**92,156**|
Page 20
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued for the year ended 30 June 2024**
## **16. MOVEMENT IN FUNDS - continued**
## **Comparatives for movement in funds**
|At 1/7/22
£
**Unrestricted funds**
General fund
1,487,773
Charnley Latta Fellowship
19,013
1,506,786
**Restricted funds**
Wrightington Upper Limb Research
28,921
**TOTAL FUNDS**
1,535,707
Comparative net movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
**Unrestricted funds**
General fund
85,242
(111,500)
Charnley Latta Fellowship
1,104
(4,521)
86,346
(116,021)
**TOTAL FUNDS**
86,346
(116,021)|Net
movement
in funds
£
(5,312)
(3,394)
(8,706)
-
(8,706)
Gains and
losses
£
20,946
23
20,969
20,969|At 30/6/23
£
1,482,461
15,619
1,498,080
28,921
1,527,001
Movement
in funds
£
(5,312)
(3,394)
(8,706)
(8,706)|
|---|---|---|
The Wrightington Upper Limb Research fund is a restricted fund and the future planned use of this fund is for the promotion of research, education and training for or into the relief of pain, suffering and disability arising out of or associated with joints of the human skeleton and in particular (but without prejudice to the generality of the foregoing) in the field of upper limb arthroplasty and related areas of surgery.
The Charnley Latta Fellowship fund is a designated fund and the future planned use of this fund is for the promotion of research, education and training for or into reconstructive hip and knee surgery. The fund completed during the year.
## **17. RELATED PARTY DISCLOSURES**
The charity has paid Wrightington Wigan and Leigh NHS Trust for the part time services of various consultants that it employs, including Mr H Wynn Jones.
During the year payments amounting to £6,933 (2023: £6,768) have been made in respect of services provided by Mr H Wynn Jones.
Page 21
continued...
## **The John Charnley Trust**
## **Notes to the Financial Statements - continued for the year ended 30 June 2024**
## **18. COMMITMENTS**
At 30 June 2024, the Trustees have approved the following grants to be paid in future years:
||**2024**|2023|
|---|---|---|
||**£**|£|
|Wrightington Wigan and Leigh NHS Trust|**43,410**|42,750|
||||
There are no performance conditions for the grant to be paid, and the expenditure will be incurred in the nine month period from the year end to 31 March 2025.
|S M Graham|**2024**
**£**
**-**|2023
£
8,000|
|---|---|---|
There are no further amounts due to S M Graham.
Page 22