Registered Company Number: 1141676 (England & Wales) REPORT OF THE TRUSTEES AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 FOR FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE)
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) NTS OF THE FINANCIAL STATEMENTS HE YEAR ENDED 31 DECEMBER 2023 (A CONT FOR Page Report of t e Trustees and Strategic Report Repo of the Independent Auditors 12-15 Stat ment of Financial Activities 16 Balance Sheel 17-18 Cash Flow Statement 19 Note to the Cash Flow Statement 20 Note to the Financial Statements 21-30
FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES AND STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The Trustees, who are also directors of the Company for the purposes of the Companies Act 2006, present their Annual Report together with the Financial Statements for the year ended 31 st December 2023. Fairfield Independent Hospital (the Company} is a charitable Company limited by guarantee eslablished under a Memorandum of Association and governed by its Articles of Association. The Company operates Fairfield Independent Hospital in order to meet its objectives. The Trustees confirm that the Annual Report and Financial Statements of the Company comply with the current statutory requirements, the requirements of the Company's governing document and the provisions of the Charities SORP (FRS102). REFERENCE AND ADMINISTRATIVE DETAILS Registered Company number 1141676 (England and Wales) Reglstered Charity number 502791 Registered and principal offlce Fairfield Independent Hospital Crank St Helens Merseyside WA117RS Trustees Mr C Barratt Ms C Dodwell Mr C Bridge Mr RG Hammond Drcslnce Mr L Marlow Ms S Watson Mr A Appleton Mr MRPA Manning Chair of Trustees & Chair of Finance and Audit Committee Deputy Chair and Chair of the Capital Developments Committee Chair of the Integrated Governance Committee Chair of the Workforce and Remuneration Committee Chair of the Finance and Audit Committee Key Management Personnol: Ms C Nolan Chief Executive Officer Ms J Taylor until October 2023 Ms J Gallagher Director of Clinical Services and Quality Mr S Smith Director of Hospital Services Mr I Campbell Director of Finance, IT and Performance Medlcal Advi80ry Chairman Mr R Gudena Page 1
RFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEEI THE TRUSTEES AND STRATEGIC REPORT HE YEAR ENDED 31 DECEMBER 2023 (A REPORT O FOR REFERENCE AND ADMINISTRATI E DETAILS continued Company Secretary Ms C Nolan Ms Nolan is also the Hospital's Regi the Care Quality Commission. tered Manager which is one element of the Hospital's Registration with Bankers National Westminster Bank plc 5 Ormskirk Street St Helens Merseyside WA10 1DR Auditors Cfowe U.K. LLP 3rd Floor St George's House 56 Peter Street Manchester M2 3NQ Solicitors Tickle Hall Cross Carlton Chambers 25 Hardshaw Street st Helens WA10 1RP Page 2
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE REPORT OF THE TRUSTEES AND STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 Objectlves and Aims The charitable company's objectives are to promote, manage and maintain a hospital to relieve sickness. injury, poor health and old age amongst the sick, convalescent, disabled, and infirm and to promote and preserve good physical and mental health. Our principle activities are to provide a broad range of clinical and health services to the public. We provide consulting rooms, imaging and scanning funclions, treatment rooms, operating facilities and the ancillary facilities necessary to fulfil this role. Our Framework for the Future is made up of.. Our Mission: To improve the health and quality of life through the provision of a high quality and affordable service lo the people of Merseyside and the North West of Englard. Our Vision: To offer a workforce committed to providing a service of excellent patient care within a safe and appropriate environment. Our Values underpin everything we do and describe the way we expect our staff to behave towards our patients, their families and carers, colleagues and staff. Our Hospital has identified five core values. These are.. Working togeth8r for patients - Patients come first in everything we do at Fairfield. Everyone at Fairfield should act and collaborate in the interests of patients, putting patient interest before organisational interest and uniting in the patients, best interests. Working with each other, patients and carers and involving local communities, we can ensure we are providing services that meet local needs. Respect and dignity- Every individual who comes into contact with Fairfield will be treated with respect and dignity We will value and respect different needs. cultures, aspirations and priorities. We will foster a spirit of candour admitting our mistakes when they happen and work within a culture of humility, openness and honesty where staff communicate clearly and openly with patients, relatives and carers. Commitment to quality care - We will aspire to the highest possible standards of excellence and professionalism in the provision of high quality, safe care. Quality will not be compromised in the pursuit of safe and compassionate care. It will be a collective endeavour at every level of the system. We will continue to actively pursue and welcome feedback from patienls and staff to identify and drive forward areas of improvemenl, showing patients that we care about them as individuals. Compassion Patients, their carers and relatives will be Irealed at all times with sensitivity and kindness. Our services extend beyond providing clinical care and include alleviating pain and distress and making people feel valued and recognising that their concerns are important. We will also show compassion and care to each other. Improving lives - This is our core function. We will continue to seek to help improve the health and wellbeing of our patients, our staff and our local communities, ensuring that we help people and their communities take responsibility for living healthier lives Governing Document Fairfield Independent Hospital (the Company) is a charitable company limited by guarantee established under a Memorandum of Association and governed by its Articles of Association, The charitable company has no share capital being a company limited by guarantee. The guarantee of each member is limited to £1. Page 3
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED B Y GUARANTEE) THE TRUSTEES AND STRATEGIC REPORT HE YEAR ENDED 31 DECEMBER 2023 (A REPORT O FOR Trustees The Trustees may appoint replacem Annual General Meeting must fom set out on the Company Information nt or additional directors at any time. However, the Members at the next Ily elect these directors. The Trustees who served during the year are page at the start of the Annual Report. hs or more often in periods of challenge and change - during 2023 the tor Appointments Committee assists the Board in assessing its skills and stees spend time with the hospital management having the aims and dures of the charitable company explained to them and are issued with ory Committee (MACI and an Adverse Events Committee also form part I there are five Board committees and these are the Directors who serve The Trustees meet every three mo Board met more regularly. The Dire identifying new Trustees. New Tr objectives and the policies and pro an induction pack. A Medical Advi of the governance framework. In to on them. Director Appointments tegrated vernance Finance and Audit Capital Workforce and Remuneration Medical Advisory Committees Mr C Barratt Mr C Bridg.e MSC Dodwell MrRG Hammond Drcslnce Mr L Marlow MSS Watson Chair Chair Chair Chair Chair A leton Mrm Mannin Board members may also meet interest or opportunity. utside the formal meetings to review and advise on particular areas of Organisational Structure The Chief Executive has responsi organisation. The Chief Executiv and objectives. The Chief Execut skills, expertise and competencie ility for the leadership and implementing the Board's strategic plans for the ensures that the organisat50n is financially stable and that it meets Its aims ve will ensure that the staff team is recruited and supported to provide the required in order to run and develop a successful organisation. company is the responsibility of the Board with support from the Medical utive. The Board provides independent oversight and stewardship for the oard monitors the discharge of its responsibilities via its regular meetings es that make up the framework for integrated governance. The framework our services and means that we put our patients at the heart of everything rs and have experience ol this or other hospitals as professionals or users The governance of the charitable Advisory Committee and the Exe range of services delivered. The and the other Board sub committ of integrated governance spans a we do. The Board are all volunte of services. Procedures for identifying and assessment of these reviews ens identifies where controls could be ssessing risks are in place and are reviewed at Board Meetings. The res that the charitable company has the ability to deliver its objectives and strengthened. optimising outcomes for patients and we have created an integrated ng excellence and the best possible clinical results. We work in partnership imum care for our patients. Our core business is health a governance framework for delive with our consultanls to ensure op Page 4
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEEI REPORT OF THE TRUSTEES AND STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The Workforce and Remuneration Committee reviews the pay, reward and organisation structure for all the Hospital staff The arrangements for setting pay and remuneration of key management personnel is similar to that applied to the whole staff team and the Committee uses benchmarks provided by the salary levels set in the National Heallh Service The Workforce and Remuneration Committee makes recommendations to the Board on the setting of salaries for the whole staff team including the key management personnel. The Trustees are responsible for preparing the annual report and financial statements. Company law requires Trustees to prepare financial statements for each financial year which give a true and fair view of the charitable company's affairs. Trustees, responsibilities extend to ensuring that the assets of the organisalion are safeguarded and that all reasonable steps have been taken to protect the organisalion against fraud or other irregularities. Public Beneflt The Trustees have considered the extent to which their activilies and plar)s meet the objectives (If the charitable company, contribule lo the public benefit and the Charity Commission's published guidani:e on public benefit. As part of the processes of review, the Trustees have considered in detail the services currently provided and their accessibility and affordability to all members of the public. The Trustees are satisfied that the activities of the charitable company are consistent with the public benefit criteria. As a result of their review they identified the following as key areas by which the charitable company meets its objectives and serves the public benefit. Patients who are members of friendly societies and other mutual societies are able to access services at Fairfield Independent Hospital by making modest weekly or monthly contributions, which are not relaled to their medical needs or their financial means. Similarly patients funded by the NHS also benefit from the same levels of care and treatment but do not pay directly for the treatment they receive. In addition, the Company participates in local health Initiatives, the training of health workers and the planning of new health services. During 2023 the Hospital continued to support the national effort to provide medical services to the Nalional Health Service and provided a range of services including diagnostics and both inpatient and outpatient services. Rl8k Management The Company has a strong culture of risk awareness. All activities, both new and continuing, are regularly subjected to a risk assessment which includes issues of clinical matters, health and safety, financial impact, operational effectiveness, continuity and reputation thfeats. There are clear policies and guidelines in place as part of the Company's risk management framework. We participate in our own local clinical audits and also participate in national reviews and there is a clear incident reporting mechanism and analysis of adverse events. Risk management training has been rolled out lo all members of staff and forms part of the induction process. The Trustees acknowledge that they have a duty to Identify and review the risks to which the Company is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error. IT risk managemenl is a key area for the organisation and in 2023 we continued lo improve our IT environment, security Systems and quality systems. We retained our ISO 27001 standard and invested in new equipment to ensure our systems are efficient, effective, secure and supported. We use a variety of consultants and companies to ensure our systems are monitored, external back-ups are taken and risks are managed efficiently and effectively The Hospital has a pandemic flu policy that has been adapted for the Covid19 pandemic and beyond. It provides guidance for the Hospital's staff to manage the organisalion during the challenging times it has faced over 2023. The policy has been updated and improved as the Hospital has operated throughout the year. Page 5
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) THE TRUSTEES AND STRATEGIC REPORT HE YEAR ENDED 31 DECEMBER 2023 IA REPORT O FOR ACHIEVEMENTS AND PERFORM NCE Introduction This report has been prepared as t the biggest challenge to the Charity Trustees have to recognise that th performance of delivering the charit Our financial situation continues t requires investment in software tha making opportunities. The Trustee of the charity On completion of the to be completed no later than the e the going concern basis. Many services have moved to an o appropriate, are being held virtuall In order to support the local NHS a with NHS England to provide treat treatment. The numbers of people Our Trustees and Directors feel ve we can. organisation emerged from the Covid19 pandemic which has provided in its history While it Is right to reflect on the achievements of 2023, the reader of the report will be looking at those items that have affected the ble services. improve. Our longer-term operating model and financial performance will help lower costs and provide improved planning, control and decision have signed an asset purchase agreement to sell the trade and the assets sale the charity will continue as a grant giving body The sale is expected d of January 2025. Our tinancial statements for 2023 were prepared on line delivery model and many of our patient consultstions, where clinically d provide services for patients the Hospital is now an accredited provider ent and care for patients who have been waiting for some time for their aiting for treatment will be a key driver in the work-flow for the Hospital. strongly that as a local charity it is our duty to support the NHS as best The formal and informal links that and importance. In addition, the i within the NHS, will help deliver n e Hospital has developed with the NHS Trust in 2023 will improve its role ternal developments at the Hospital. in response to the long waiting lists services for the NHS such as new specialty surgery in the years ahead. Governance Whilst the role of the Board encom has a major role in ensuring effec personal behaviour. It is important competence and business acume As a registered charity and a co requirements of running a not-for- to demonstrate public benefit., adh all times. asses overseeing the implementation of all the organisation's plans, it also ve stewardship and ensuring high standards of corporate governance and hat the Hospital has a highly effective and efficient Board that has the skills. to drive the strategic agenda. pany limited by guarantee without share capital we have to balance the rofit business with the need to achieve our charitable aims and objectives re to the values of our charity, adopt best practices and act with integrity at Our governance provides a frame our high standards of care. We d environment and support our ISO procedures have been re-written different ways of working, protect take account of Covid19 precauti The risk register continues to be the aclions that have been put i structure around our risk manag aspects of governance including The Board has reviewed the Cha The Board has put in place syste corporate governance framewor The Charity has also implement persons regulations for directors ork for continuously improving the quality of our services and safeguarding velop and review our policies and procedures to enhance our governance 9001 accredited quality Systems. Following the pandemic many of our ISO further enhance our infection control precautions to the pandemic and the ng patients and staff, many of our ISO procedures have been re-written to ns. opulated and reported lo the Board, identifying the m05t pressing risks and place to mitigate those risks. The hospital Board ensures there Is formal ent framework, KPI reporting dashboard, providing sUPPOrt for staff on all he CQC inspection regime and the improvement of clinical systems. ity Governance Code and considered the Charity's compliance to the Code. s and procedures to ensure it complies with the Care Quality Commission's and that it is also meeting the seven principles which make up this Code. procedures and policies which mean that it conforms to the fit and proper r equivalents. Page 6
FAIRFIELD iTrJDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES AND STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The Integrated Governance Committee meets quarterly. The Committee looks at all aspects of governance across the organisation, promoting good risk management and ensuring effective governance, both clinical and non-clinical, across all services. The Committee provides assurance to the Board and other stakeholders that processes are in order and that the Hospital is compliant with ils statutory requirements and able to ensure sound internal control arrangements. Leadershi and Trainin The Executive Team, headed by the Chief Executive, Continue to access continuing professional development and other opportunities relevant to their roles Including membership of other charitable boards. Wherever possible. staff have been accessing on-line training and development lo ensure that their skills and competencies have been kept up to date Investment in training will continue. Training forms part of the individual departments. suite of key performance indicators and 15 monitored to ensure compliance. Wherever possible we will utilise e-learning for staff and secure opportunities to visit otlier organisations and do some internal programmes such as 'walk in my shoes,. Training and education continues 10 be actively monitored to ensure that it is up to date, current and relevant. ualit and safet In 2023 we maintained our externally validated quality assurance standards. We were re-accredited for IS027001 and during 2023 we maintained our IS09001 standard. In common with many other UK organisations and charities, the current regulatory and legislative landscape in which we operate continues to be subject to increasing change. Failure lo recognise, adapt to and comply with the above may cause additional costs, penalties or other sanctions and damage lo our Hospitals reputation. Our Quality Assurance Framework supports the planning, delivery. monitoring and continuous Improvement of all the care and support we provide. As a charity, we always put quality, safety and patient care above financial performance and everything we do is evaluated against the following factors, Safety - our aim is to meet Ihe highest possible standards and avoid harm. We expect all of staff to uphold professional standards and act with care compassion and integrity at all times Effectiveness- providing evidence based health and wellbeing expertise and services that lead to excellent outcomes. Experience- We want all of our patients lo have a positive experience and our aim is to make that care as personalised as possible. We continually audit and benchmark our services and we are continually reviewing how we provide our services. We participate in the NHS Friends and Family Test and we also participate in the Private Health Information NeOrk Friends and Family Test. Our scores on all these tests are high but we know that we can only maintain these scores by continual improvement, attention to detail and investment in staff development, medical equipment, and the fabric of the Hospital. All our internal patient questionnaire responses are reviewed by the Chief Executive on a daily basis which means our results are assessed quickly and any actions that are needed can be taken promptly. We are delighted that patients rate our services highly. As well as our own internal questionnaire we do ad hoc audits where members of the team speak with patients, ask questions about how their experience has been, if we are getting it right and if there could be any improvements. We obtain the views of our consultants and discuss areas of good praGtiGe and concerns via the Medical Advisory Group {MAC}. The MAC has a direct line of accountability to the Board and the Chairman of the Board of Directors meets regularly with the MAC Chair. The MAC Chair is also in attendance at the Board. The MAC provides advice and guidance on how we take specific areas of the business forward and they also advise on development opportunities for the Hospital and implementing new initiatives based on best practice. Page 7
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) THE TRUSTEES AND STRATEGIC REPORT HE YEAR ENDED 31 DECEMBER 2023 (A REPORT O FOR We are extremely proud of our low testament to how seriously all our s nfection rates. The fact that we are maintaining such good low rates is ff take the issue of ensuring that our Hospital is free from infection_ Refurbishments and New E me tPro ramme 2023 st in all areas of the Haspital. which includes medical and non-medical rmation technology. Our capital programme has been reactive during The Hospital has continued to inv equipment, patient facilities and in 2023. NHS Work Fairfield have registered to provide The hard working staff at Fairfield acros5 all departments to provide s class seice to patients. Fairfield has a contract with local I xtra elective capacity in order to help reduce the NHS elective backlog. aintained the infection rate below 1 % . Staff worked collaboratively pport to colleagues in house to ensure we continued to provide a first Bs for direct referrals from GPS for their patients, treatment FINANCIAL REVIEW AND STRA EGIC REPORT e 2023 accounts adjustments came to light. One was for a pension t up error on the payroll system in the year 2014. This error excluded the t used for pension contribution calculations. The total value of this shortfall other was for an erroneous double counting of x-ray sales in 2022 which sales value adjustment is £145,726. These two adjustments have been this set of accounts. loss of £42,674 12022 a surplus of £137,934). The Hospital's income 4,387,636) and its costs increased to £15,800.370 {2022, £14,249,702) e around the extent to which it could operate safely and usefully with a high ystems requiring upgrade. During the year the Board repaid the balance ness Support Loan issued in December 2020. The Hospital is continually elivery to all its commissioners and to self-pay patients and while there are s that can be treated. The general financial position for 2023 has been 2 once the adjustments described above are taken into account. In 2024 during the audit work on t contribution shortfall caused by a s lower earnings limit from the amou is £271,761 to the end of 2023. T had been recognised in 2021. Th accounted for in the 2023 figures i The charilable company made a increased to £15,757,696 {2022'. The key issues for the Hospital we administration cost and computer on the £600,000 Coronavirus Bus reviewing the services and cost of still limits to the number of patie maintained at a similar level to 20 Policies Reserves policy The movement in reserves in the 2023 were £6,476,070 {2022 £6, to acquire and develop the Hospi end of the year some £1,787,963 to 2.55 months12022 2.4 months) to manage the risks involved in activities. However, only £801. requirements of the charitable co The Trustees aim to maintain t expenditure, meet liabilities whe of an unforeseen emergency T presented annually to the Boar financial strength during the chall and maintain its activities throug ear is set oul in Note 20 to the accounts. Total reserves al 31 December 18,7441. Note 21 analyses how the Trustees have allocated past reserves l. To the extent that past reserves have been used for this purpose, at the 2022 £1 .741.141) is held as unallocated or free reserves which is equivalent of fixed costs. The charitable company's policy is to hold reserves suff icient Providing Its medical services and to Provide resources to invest In new 91 {2022 £767,842) of that sum is held as cash to cover the short-term pany. e cash and free reserves at levels which enable them to fund capital they fall due and provide an appropriate level of risk protection in the event e charitable company reviews Ils reserves policy in the light of the budgets and planned future activities. The Hospital has been able to rely on its nges of 2023 and has made use of its cash reserves to manage its business the year. Page 8
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES AND STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 Investment policy The investment policy of the charitable company is not lo deposit reserves with recognised banking organisations in an interest bearing account during this time of uncertainty. Strategic Report The charitable company continues to see more patient5 year on year. Fairfield engages with patients to provide a re-assurance and a positive experience and oulcome. Engagement with Health Watch St Helens provides feedback to Fairfield to improve service delivery wherever possible. Truslees continue to seek higher rates of patient survey feedback in order to help the hospital charity improve processes around risk management and incident reporting. In terms of our charity s approach to the Lise of the buildings and energy supplies the Board continues to improve the i)rganisation's realistic Green Plan. The Trustees are planning lo find a new investor. The quality of its services are assessed and evaluated every day by the patients who are treated in the Hospilal, by the professional, clinical and administrative staff who provide part or all of those services and by the commissioners who order and pay for the services provided at the Hospital. In addition, it has corporate and specific regulators who monitor and inspect the seNices throughout the year. The charitable company's main strengths are its links to the local communities that it serves through its connections with General Praclitioners, to the local health commissioners and its role with the major private health Insurers as their local provider. The Hospital's ethos of continuous improvement ensures it can respond to changes in clinical standards or clinical practice quickly and efftJctively. The major risks the charitable company faces are. growth in alternative providers as an example, we have seen local clinics opening up to provide limited services in specific areas while these will not individually threaten the charitable company's existence, the cumulative effect of the services they offer may reduce the need for the Hospital's services., increases in the cost of service provision and regulatory requirements - against a background of low increase in Income the Company has to commit more of its incoming resources to meeting these demands, The minimum wage cost increase has been felt in 2023. In other social and charitable sectors, for example the care industry, the cost of higher standards can force a withdrawal of provision by the high quality providers., retention and recruitment of high calibre staff and consullanls. The Hospital has had to rely on agency staff in some of its clinical areas as the NHS offers higher consultant fees to meet their backlog of treatments Worry and uncertainty from patients regarding waiting times and treatment delays Increases in energy costs and costs in general which all have to be funded Lack of capital in order to fund investment The Board considers the fulure of the charitable company is in need of investment as it continues la provide a high quality, valued and popular service to people from the local area and across the North West. The Board's strategic intention is that the charitable company should.. Seek support from a new investor the Charity has exchanged contracts and signed an asset purchase agreement with expected completion by the end of February 2025 invest in new techniques and treatments to provide the latest health treatments and support., extend our provision into early diagnosis and support for GP services-, enhance our role in providing a complete package of health cafe for the people of the North West so that we can meet most of their health needs at this location. Page 9
FA (A RFIELD INDEPENDENT HOSPITAL MPANY LIMITED BY GUARANTEE THE TRUSTEES AND STRATEGIC REPORT HE YEAR ENDED 31 DECEMBER 2023 REPORT O FOR Future Plans Once the hospital sale is completed operational activities of the charity i for NHS and private patients for the for the Charity. this will be drawn up and care charities he proceeds of the sale will be used for the formal winding down of the terms of appropriate disbursements for such as run off insurance cover levant time period of cover. Whilst there is currently no formal strategy nd in the fullness of time, will include a mechanism to support local health Fundraising The charity had no fundraising activ ies requiring disclosure under S162A of the Charities Act 2011. Contingent Liabilities The Hospital has been under inves inquiry in July 2022. The initial inqu 19 pandemic via its contract with N However, the initial inquiry has bro igation from HMRC regarding its potential liability for VAT since an initial ry was as a result of the hospitals inclusion in the response to the COVID S England. dened in its scope to include other aspects of the hospitals business. internal analysis has been carried out and responses have been sent to Solicitors have been engaged and HMRC, this work is ongoing. The investigation is multifacted an liability and this will not be known outcome could be in the region of is dependent on emerging case law. Whilst the value of this potential until further work and discussions have been completed the worst case 1.5M. Events after the balance sheet d te Following on from the boards strat contracts and signed an asset pur The final value of the sale is still t will allow the continued high level gic intention to secure a new investor, the Charity has exchanged hase agreement with expected completion by the end of February 2025. be agreed The sale will secure the investment in hospital activities that f care provided to patients. st sale will be limited to supporting local health and care charities The intended charitable activities STATEMENT OF TRUSTEES, R SPONSIBILITIES tors of Fairfield Independent Hospital for the purposes of company law are ncial statements in accordance with applicable law and United Kingdom actice. s to prepare financial statements for each financial year which give a true of the charitable company and of the incoming resources and application of d expenditure, of the charitable company for that period. In preparing those re required to.. policies and then apply them consisteTrtly', principles in the Charity Statement of Recommended Practice (SORP)., imates that are feasonable and prudent., The trustees, who are also the dir responsible for preparing the fin Generally Accepted Accounting P Company law requires the truste and fair view of the state of affair resources, including the income a financial statements. the trustees select suitable accountin observe the methods an make judgements and e Page 10
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE) REPORT OF THE TRUSTEES AND STRATEGIC REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any lime the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other 1rregularities. STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS So far as the trustees are aware, there is no relevant information (as defined by Section 418 of the Companies Act 2006) of which the charitable company's auditors are unaware, and each trustee has taken all the steps that they ought to have taken as a trustee in order to make them aware of any aL,dit Information and to establish that the chafitable company's auditors are aware of that information. AUDITORS The auditors will be proposed for appointment at the forthcoming Annual General Meeting. The Report of the Trustees and the Strategic Report were approved by the Board and signed on its behalf. C Barratt Trustee Date. 301n December 2024 Page11
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED B Y GUARANTEE) T AUDITOR'S REPORT TO THE MEMBERS OF IRFIELD INDEPENDENT HOSPITAL (A INDEPENDE Opinion We have audited the financial state 2023 which comprise the Statemen Notes to the Financial Statements, reporting framework that has bee Accounting Standards. including applicable in the UK and Republic In our opinion the financial stateme give a true and fair view of of its incoming resources a have been properly prepa Practice.. and have been prepared in acc ents of Fairfield Independent Hospital for the year ended 31 December of Financial Activities, the Balance Sheet. the Cash Flow Statement and including a summary of s5gnificant accounting policies. The financial applied in their preparation is applicable law and United Kingdom inancial Reporting Standard 102, The Financial Reporting Standard Ireland (United Kingdom Generally Accepted Accounting Practice). ts-. e state of the charitable company s affairs as at 31 December 2023 and d application of resources for the year then ended., d in accordance with United Kingdom Generally Accepted Accounting rdance with the requirements of the Companies Act 2006. Basis for opinion We conducted ouraudit in accorda law. Our responsib51ities under th audit of the financial statements accordance with the ethical requir including the FRC'S Ethical Standa these requirements. We believe provide a basis for our opinion. ce with International Standards on Auditing (UK) ISAS (UK}l and applicable e standards are further described in the Auditor's responsibilities for the ction of our report. We are independent of the charitable company in ments that are relevant to our audit of the financial statements in the UK. d, and we have fulfilled our other ethical responsibilities in accordance with at the audit evidence we have obtained is sufficient and appropriate to Conclusions relating to going c ncern In auditing the financial statemen accounting in the preparation of th Based on the work we have perfo conditions that. individually or col continue as a going concern for authorised for issue. we have concluded that the trustee's use of the going concern basis of financial statements is appropriate. ed, we have not identified any material uncertainties relating to events or ctively. may cast significant doubt on the charitable company's ability to period of at least twelve months from when the financial statements are Our responsibilities and the resp relevant sections of this report sibilities of the trustees with respect to going concern are described in the Other Information The trustees are responsible for t comprises the information includ report thereon. Our opinion on th extent otherwise explicitly stated e other information contained within the annual report. The other information in the annual report, other than the financial statements and our auditor's financial statements does not cover the other information and, except to the our report, we do not express any form of assurance conclusion thereon. her infomiation and. in doing so. consider whether the other information is nancial statements or our knowledge obtained in the audit or otherwise ted. If we identify such material inconsistencies or apparent material determine whether this give5 rise to a material misstatement in the financial on the work we have performed. we conclude that there is a material tion, we are required to report that fact. Our responsibility is to read the materially inconsistent with the appears to be materially misst misstatements, we are required t statements themselves If. bas misstatement of this other infom Page 12
FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE> INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FAIRFIELD INDEPENDENT HOSPITAL We have nothing to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 In our opinion based on the work undertaken in the course of our audit. the information given in the trustees, report. which includes the directors, report and the strategic report prepared for the purposes of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements., and the strategic report and the directors, report included within the trustees, report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by exception In light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report included within the trustees, report. We have nothing to report in respect of the following matters in relation to which the Companies Act 20C6 requires us to report to you if, in our opinion.. adequate accounting records have not been kept., 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. Responsibilities of trustees As explained more fully in the trustees, responsibilities statement set out on page 10. the trustees (who are also Ihe directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial ststements and for being satisfied that they 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 charitable company'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 charitable company or to cease operations. or have no realistic alternative but to do so. Page 13
RFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) AUDITOR'S REPORT TO THE MEMBERS OF IRFIELD INDEPENDENT HOSPITAL (A INDEPENDE Auditor's responsibilities for the dit of the financial statements le assurance about whether the financial statements as a whole are free due to fraud or error, and lo issue an auditor's report that includes our high level of assurance, bul is not a guarantee that an audit conducted ays detect a material misstatement when it exists. Misstatements can idefed material if, individually or in the aggregate. they could reasonably Ic decisions of users taken on the basis of these financial statements. it was considered capable of detecting irregularities, including fraud and tions are set out below ilities for the audit of the financial statemenls is located on the e at. This description forms part of our auditor's report sidered capable of detecting irregularities, including fraud tances of non-compliance with laws and regulations. We identified and tement of the financial statements from irregularities, whether due to eleen our audit team members We then designed and perfomed e risks, including obtaining audit evidence sufficient and appropriate to Our objectives are to obtain reasona from material misstatement. whethe opinion. Reasonable assurance is in accordance with ISAS (UK) will al arise from fraud or error and are con be expected to influence the econo Details of the extent to which the au non-compliance with laws and regul A further description of our responsi Financial Reporting Council's websi Extent to which the audit was co Irregularities, including fraud, are in assessed the risks of material miss fraud or error. and discussed these audit procedures responsive to tho provide a basis for our opinion. We obtained an understanding of t operates, focusing on those laws a amounts and disclosures in the fin were the Companies Act 2006, the assessed the required compliance related financial statement items In addition, we considered provisio rinancial statements but complianc operate or to avoid a material pen within the charitable company for f operations were CQC Regulations Auditing standards limit the requir regulations to enquiry of the Trust correspondence, if any. We identified the greatest risk of fraud, to be within the timing of re the override of controls by manag of management and the Audit Co irregularities. sample testing on th regulatory correspondence with t with governance. Owing to the inherent limitations some material misstatements in t performed our audit in accordanc compliance with laws and regulat financial statements, the less like identify it. In addition, as with any these may involve collusion, forg controls. We are not responsible compliance with all laws and reg e legal and regulatory frameworks within which the charitable company d regulations that have a direct effect on the determination of material ncial statements. The laws and regulations we considered in this context Charities Act 2011 together with the Charities SORP (FRS 102) We ith these laws and regulations as part of our audit procedures on the s of other laws and regulations that do not have a direct effect on the with which might be fundamental to the charitable company's ability to Ity We also considered the opportunities and incentives that may exist aud The laws and regulations we considered in this context for the UK audit procedures to identify non-compliance with these laws and es and other management and inspection of regulatory and legal aterial impact on the financial statements from irregularities, including ognition of income, recording the impact of the CQC regulatory review and ment. Our audit procedures to respond to these risks included enquiries mittee about their own identification and assessment of the risks of posting of journals, reviewing accounting estimates for biases, reviewing Charity Commission and reading minutes of meetings of those charged an audit, there is an unavoidable risk that we may not have detected e financial statements, even though we have properly planned and with auditing standards. For example. the further removed non- ns (irregularities) Is from the events and transactions reflected in the the inherently limited procedures required by auditing standards would audit, there remained a higher risk of non-detection of irregularities. as ry, intentional omissions, misrepresentalions, or the override of internal r preventing non-compliance and cannot be expected to detect non- lations. Page 14
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FAIRFIELD INDEPENDENT HOSPITAL Use of our report This report Is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company s members as a body, for our audit work, for this report, or for the opinions we have formed. Vicky Szulist Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor 3rd Floor St George's House 56 Peter Street Manchester M2 3NQ Date 30 December 2024 Page 15
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) MENT OF FINANCIAL AcfiviTIES NG AN INCOME AND EXPENDITURE ACCOUNT) HE YEAR ENDED 31 DECEMBER 2023 (A STAT IINCORPORAT FOR 2023 Unrestricted funds 2022 Unrestricted funds Notes INCOME Donations and legacies Investment income 496 Incoming resources from chari ble activities 14,272,560 115,076 Medical services provided Other income 15,669.012 88,684 Totsl income 15,757,696 14,387,636 EXPENDITURE Charitable activities 14,249,702 Medical services provided 15,800,370 14,249,702 Total expenditure 15.800,370 NET {EXPENDITURE)IINCOME 142,674) 137,934 Total funds brought forward 6,518,744 6,380,810 TOTAL FUNDS CARRIED FO WARD 6,476,070 6,518,744 CONTINUING OPERATIONS All incoming resources and resou es expended arise from continuing activities. The notes o pages 21 to 30 form part of these financial statements Page 16
FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE) Registered Number: 1141676 BALANCE SHEET AT 31 DECEMBER 2023 2023 2022 Unrestricted funds Unrestricted funds Notes FIXED ASSETS Intangible assets Tangible assets 13 1.234 6,177,077 7,726 6,513,544 14 Total Fixed Assets 6,178,311 6,521.270 CURRENT ASSETS Stocks 15 435,301 313,565 Debtors.. amounts falling due within one year 16 2,034,243 1,966,350 Cash at bank 801,192 767,843 3,270,736 3,047,758 CREDITORS Amounts falling due within one year 17 (2,077,477> (1,861,084) NET CURRENT ASSETS 1.193,259 1,186.674 TOTAL ASSETS LESS CURRENT LIABILITIES 7,371,570 7,707,944 CREDITORS Amounts falling due after more than one year 18 (895,5001 (1,189,200) NET ASSETS 6,476.070 6,518,744 FUNDS Unrestricted funds 20 6,476,070 6.518,744 The financial stalements were approved and authorised for issue by the Board of Trustees and were The notes on pages 21 to 30 fomi part of these financial statements Page 17
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) egistered Number: 1141676 BALANCE SHEET AT 31 DECEMBER 2023 {A signed on its behalf by.. C Barratt Trustee Date.. 30tb December 2024 The notes o pages 21 to 30 form part of these financial statements Page 18
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE) CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER 2023 CASH FLOW STATEMENT FOR THE YEAR ENDED 31 DECEMBER Z023 2023 2022 Net cash (used in} / Provided by operating activities 416,772 538,383 Cash flow from investing activities Purchase of fixed assets 189,723) 180,360) Net cash used in investing activities (89,7231 180,360) Cash flow from financing activities Repayment of CBIL5 loan Sales of bungalow leases 1300,0001 6,300 1150,CKiOI Net f rom financin8 activities 1293,700) I150,¢) Chan8e in cash and cash equivalents in the reporting period 33.349 308.023 Cash and cash equivalents at the beginning of the reporting period 767.843 459.820 Cash and cash equivalents at the end of the reporting period 801.192 767.843 Page19
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE ES TO THE CASH FLOW STATEMENT HE YEAR ENDED 31 DECEMBER 2023 IA NO FOR RECONCILIATION OF NET I COME TO NET CASH INFLOW FROM OPERATING ACTIVITIES 2023 2022 Net lexpenditure)lincome f ststement of financial acti Amortisation of intangible as Depreciation charges Interest received (Increase)Idecrease in stoc Decreasel(increase) in debt {Increasel in prepayments (Decrease)lincrease in cred. r reporting period (as per the ities) ets (42,674) 137,934 7,745 422.670 6,492 426,190 (121,736) 362.443 {430.3351 216.393 (33,146) (40.466) {159,5251 203,171 rs ors Net cash provided by ope ting activities 416,772 538,383 ANALYSIS OF CASH AND ASH EQUIVALENTS 2023 2022 801,192 767.843 Cash ANALYSIS OF CHANGES NET DEBT At 1 January 2023 At31 December 2023 Cash flow Net cash: Cash at bank Bank Loan due ID greater t 767,843 33,349 801,192 an one year 767,843 33,349 801,192 Page 20
FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 ACCOUNTING POLICIES The principal accounting policies adopted, judgments and key sources of estimation uncertainty in the preparation of the financial statements are as follows. Company infomiation The Charity is a company limited by guarantee (registered number 11416761 which is incorporated and domiciled in the UK. The address of the registered office is Crank, St. Helens, Merseyside, WA117RS. Basis of preparation The financial statements have been prepared in accordance with Accounting and Reporting by Charities.. Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) (effective 1 January 20191 (Charities SORP IFRS 10211, The Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 102) and the Companies Act 2006. Fairfield Independent Hospital meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note. Going concern On 51h June 2024. the Charity entered into an agreement in principle with a third paty for the sale of the trade and assets of the hospital. The agreement is subject to conditions precedent, being the approval from the Home Office on the transfer of the medical dispensation licence and the arrangement of an insurance policy to cover operations performed by the Charity prior to the date of the change in ownership, before the change agreement becomes legally binding. The Trustees are confident that these conditions will be completed at the start of 2025 and expect the transfer of the assets and trade to occur by the end of Febnjary 2025. The Charity is currently working with the potential owner of the hospital in respect of the change in the IT systems and the change in the slaff employment contracts and therefore this reflects the level of confidence that the Charity and the potential new owners have on the completion of the agreement. In forming their assessment of the Charities ability to continue as a going concern for a period of at least 12 months from the date of signing the financial statements l-the going concern period"), the Trustees have considered the following scenarios.. That the sale of the hospital trade and assets is completed in early 2025 and the charity will have sufficient cash to fulfil its objects by supporting local health and care charities. The Trustees consider Ihat this is the most likely and plausible scenario given the status of conditions precedent and the actions taken to date. 2. That, in the unlikely scenario, that the sale of the hospital trade does not occur in early 2025, that the activities of the hospital are able to continue and sufficient cash is available throughout the going concern period to fund these activities The Charity maintains its position as an approved provider with all the private and mutual health insurers and with the NHS. The Charity has a waiting lisl of consultants who are seeking practicing privileges. The trustees are satisfied that under both scenarios that the Charity has sufficient cash to continue to meet its liabilities as they fall due throughout the going concern and as a result that it is appropriate to continue to prepare the financial ststements on a going concern basis. Incoming resources Voluntary income including donations, gifts, legacies and grants provide core funding or are of general nature are recognised where there is entitlement, probability of receipt and the amount can be measured with sufficient reliability. Such income is only deferred when. The donor specifies that the grant or donation must only be used in future accounting periods., or The donor has imposed conditions which must be met before the Company has unconditional 21 b)
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE S TO THE FINANCIAL STATEMENTS HE YEAR ENDED 31 DECEMBER 2023 IA NOT FOR entitlement. Donations received are acco entitlement is legally enforcea Income from medical servic provided. Income from ch entitlement to grant funding i the related goods or services Investmerst income is recogni nted for when the resources are receivable or when the Company s le. No gifts in kind are feceived. s is recognised as earned when the related goods and services are ritable activities includes income received under contract or where subject to specific performance conditions is recognised as earned (as re provided). ed on a receivable basis. Resources expended Expenditure is accounted for grants are recognised as go incurred in attracting volunta n an accruals basis Contractual arrangements and performance related ds or Services as supplied. Costs of generating funds afe those costs income, and those incurred in charitable activities. Chantable activities include penditure with the operation of the Charity. ose incurred in the governance of the Charily and its assets and are titutional and statutory arrangements. Governance costs include t primarily associated with con Intangible Assets Intangible fixed assets are identifiable and are controlle the Charity comprise acqui enhancing patienl services. economic benefit to the Ch category and does not inclu systems may be significant. Depreciation is provided at t useful life. on-financial fixed assets that do not have physical subslance but are by the charity through custody or legal rights. Intangible fixed assets for Ition of software licenses and external sofvare development time in Although such assets lack physical substance, they provide a continuing rity. The Charity only includes payments to third parties in this asset e staff costs even though their contribution to the implementation of these e following annual rates in order to write off each asset over its estimated Software 25 % straight line Tangible fixed assets Tangible assets are stated of transition to FRS 1021 le t cost lor deemed cost for land and buildings held at valuation al the date accumulated depreciation. he following annual rates in order to write off each asset over its estimated Depreciation is provided at useful life. Freehold property Fixtures, fittings & equipm Individual assets costing £1,000 or more are capitalised at Gost 2°/D on cosuvaluation 100/0 to 250/0 Straight line Stocks stocks are valued al the lo and slow moving items. er of cost and net realisable value, after making due allowance for obsolete Taxation As a registered Charity the Company is not liable to corporation tax on its income. 22
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Fund accounting Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees. All the Charity's funds are unrestricted income funds. No separate stalement of changes in reserves has been included in these financial statements as there is no movement on reserves except for the surplus for the year. Pension costs and other post-retirement benefits The Charity operates a defined contribution scheme approved by the Pension Schemes Office of the Inland Revenue. The Charity also runs a stakeholder pension scheme for the benefit of the employees. Conlributions are charged to salaries and wages in the Statement of Financial Activities as they become payable. The assets of the tsvo schemes are held separately from the assets of the company. Irrecoverable VAT All resources expended are classified under activity headings that aggregate all costs related to the category. Irrecoverable VAT is charged against the category of resources for which it was incurred. Financial Instruments Fairfield Hospital has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured ai amortised cost. JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY In the application of the Charity's accounting policies, which are described in note 1, Trustees are required to make judgements, estimates, assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affecls only that period, or in the period of the revision and future periods if the revision affects the current and future periods. The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described in the accounting policies and are summarised below. The Charity holds provisions for bad debt. out of date stock and pension contribution shortfall. The provisions have been created by making Charges against income. The likelihood and quantum of any potential liability aring from the VAT inspection. DONATIONS AND LEGACIES 2023 2022 Legacies and Donations 496 23
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE S TO THE FINANCIAL STATEMENTS HE YEAR ENDED 31 DECEMBER 2023 (A NO FOR INVESTMENT INCOME 2023 2022 None INCOMING RESOURCES F OM CHARITABLE ACTIVITIES 2023 2022 Medical services provided 15,669,012 14,272,560 CHARITABLE ACTIVITIES OSTS Support costs (see note 12) Governance Costs (see note 8) Total Total Direct Medical costs (see note 7) 2023 2022 Medical services 11,286,34 4,469.428 44,597 15,800,370 14,249.702 Provided DIRECT COSTS OF CHA TABLE ACTIVITIES 2023 2022 Staff costs Direct medical costs Insurance Patient services 3,205,391 7.387,600 233.313 163.468 3,025,257 7,128,055 294.796 140,020 Medical Equipment Maint nance and Repair 296,573 194.310 11.286,345 10,782,438 GOVERNANCE COSTS 2023 2022 Auditors, remuneration 44,597 30,619 24
FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 NET IEXPENDITURE)IINCOME Net (expenditure>lincome is stated after chargingllcrediting).. 2023 2022 Amortisation of intangible assets Depreciation of owned assets 6,492 426,190 7,745 422,670 10. TRUSTEES, REMUNERATION AND BENEFITS There were no trustees, remuneration or other benefits for the year ended 31 December 2023 nor for the year ended 31 December 2022. Payments of £0 (2022.. £0) were made in the year ended 31 December 2023 for trustee travel expenses. 11. STAFF COSTS AND THE COST OF KEY MANAGEMENT PERSONNEL 2023 2022 Salaries and wages.. Nursing and other clinical staff Housekeeping, catering and maintenance Management and administration 3,205,390 621,350 1,539,861 5,366,601 2,707,680 511,061 1,288,326 4.507,067 Wage and salaries Social security costs Pension costs 4,626,084 360,581 379,936 5,366,601 4,068,916 337,813 100,338 4,507,067 The following number of employees received remuneration falling within the following ranges.. Bands 2023 2022 Number Number £60,CQl to £70.000 £70,001 to £80,000 £80,001 to £90,000 £90,001 to £lOO,000 £IOO,001 to £llO,000 £IIO,001 to £120,¢JJO £120,001 to £130,000 £130,001 to £140.000 25
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) S TO THE FINANCIAL STATEMENTS HE YEAR ENDED 31 DECEMBER 2023 (A NOT FOR 11. STAFF COSTS AND THE C One of the higher paid employees amounts paid to defined contributio ST OF KEY MANAGEMENT PERSONNEL- continued 2023.. 1) accrued benefits under a defined contribution scheme. The schemes on behalf of this employee were £5,905 {2022.' £5,537). The key management personnel of Report of the Trustees and Strate personnel of the Company were £4 Average number employed li the charity comprise the Hospital Executive and are listed in the c Report. The total employee benefits of the key management 3,447 {2022. £400.0111 cluding temporary staffj. 2023 98 92 190 2022 94 98 192 Nursing and other clinical Management, clerical and do estic 12. SUPPORT COSTS Support costs incurred in the year in relation to charitable activities were as follows.. 2023 2022 Management Finance 3,009,832 257,532 2,118,681 238.135 Infomation Technology 331,897 289,815 790,014 3,436,645 Property 870,167 4.469,428 13. INTANGIBLE FIXED ASSE Total Software COST At 1 January 2023 Additions At 31 December 2023 118,503 118,503 DEPRECIATION At 1 January 2023 Charge for year At 31 December 2023 110,777 -6.492 117,269 NET BOOK VALUE At 31 December 2023 At 31 December 2022 1,234 26
FAIRFIELD INDEPENDENT HOSPITAL IA COMPANY LIMITED BY GUARANTEE NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 14. TANGIBLE FIXED ASSETS Medical Equipment, Flxtures, Fittings, Computer Equipment Freehold land Freehold property Total COST At 1 January 2023 Additions Impairment 1,590,167 4,159,833 3.378,614 89,723 9,128.614 89,723 At 31 December 2023 1,590,167 4,159,833 3,468,337 9,218,337 DEPRECIATION At 1 January 2023 Charge for year Impairment 83,197 83,196 2,531,873 342,994 2,615,070 426,190 At 31 December 2023 166,393 2,874,867 3,041,260 NET BOOK VALUE At 31 December 2023 At 31 December 2022 L&90,167 On adoption of FRS102 we have elected to apply the fair value of land and buildings at March 2023 as the deemed cost. 6.513 544 15. STOCKS 2023 2022 Consumable medical supplies Pharmacy 411,413 23,888 435,301 289,865 23.700 313,565 16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR 2023 2022 Trade debtors 1.291,762 742,481 2.034,243 1,654,204 312.146 Prepayments and accrued income 1,966,350 27
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) S TO THE FINANCIAL STATEMENTS HE YEAR ENDED 31 DECEMBER 2023 (A NOT FOR 17. CREDITORS: AMOUNTS F LLING DUE WITHIN ONE YEAR 2023 2022 Trade creditors 1,011,463 984,145 Social security and other ta 105.189 es 388,085 Accruals and deferred inco 677,929 621,750 CBILS Loan (Note 19) 150,000 2,077,477 1,861,084 18. CREDITORS: AMOUNTS F LLING DUE AFTER MORE THAN ONE YEAR 2023 2022 C81LS Loan (Note 19) Lease deposits 300.000 889,200 1.189.200 895.500 895.500 Lease deposits are amount security for their leases. property advanced by tenants of the bungalows at Fairfield Gardens as ey are repayable on termination of the leases or sale of the 19. LOANS The Charity took out one lo provided under the Govern on the loan is 2.34°1D above rate applicable during that life is paid by the Governm loan. Security for the loan July 2023 the loan was re assets was relinquished. n on 24 December 2020. The loan was for £600,000 and was ent's Coronavirus Business Support scheme. The interest rate base rate. In relation to the first 12 months the annual interest riod is, in effect 00/0 I nterest on the loan in the first year of its nt and no repayments are due until the first anniversary of the s a first legal charge over the hospital's property and assets. In id in full and the legal charge over the hospital's property and As recorded in Note 18, th interest is due on Ihese de Charity does have £8g5.500 in repayable lease deposits No sits. 28
FAIRFIELD INDEPENDENT HOSPITAL (A COMPANY LIMITED BY GUARANTEE) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 20. MOVEMENT IN FUNDS At January 2023 Galns and Losses Incoming Resources Resources Expended Funds transferred At December 2023 Unrestricted funds General fund 6,518,744 15,757,696 15.800,370 Total Funds 6,518,744 15.757,696 15,800,370 6,476,070 6.476,070 No separate statement of changes in reserves has been included in these financial statements as there is no movement on reserves except for the surplus for the year. All funds of the Charity are unrestricted,. therefore, all assets and liabilities relate to unrestricted funds. 21. ANALYSIS OF RESERVES 2023 2022 Total reserves Less.. Land and buildings Adcl.. Lease deposits relating to land and buildings Freely available reserves 6,476,070 -5,583,607 895,500 1,787,963 6,518,744 -5,666,803 889,200 1,741,141 22. FINANCIAL INSTRUMENTS 2023 2022 Financial assets measured at amortised cost 2,092,953 2,422,046 Financial liabilities measured at amortised cost 2,972,977 3,050.284 Financial assets consist of cash and trade debtors. Financial liabilities consist of loans, trade creditors and other creditors. 23. RELATED PARTY TRANSACTIONS During the year, some trustees of the Company were patients at the Hospital. The trustees were treated on the same terms as all other patients There are no other related party transactions that need to be disclosed in the financial statements. 29
IRFIELD INDEPENDENT HOSPITAL OMPANY LIMITED BY GUARANTEE) S TO THE FINANCIAL STATEMENTS HE YEAR ENDED 31 DECEMBER 2023 (A NOT FOR 24. OPERATING LEASES Amounts committed 2023 2022 Within one year 276,797 335,041 Within two to five years 1,709 278,506 25. CONTINGENT LIABILITIES The Hospital has been unde initial inquiry in July 2022. Th the COVID 19 pandemic via investigation from HMRC regarding its potential liability for VAT since an initial inquiry was as a result of the hospitals inclusion in the response to s contract with NHS England. broadened in its scope to include other aspects of the hospitals business. However, the initial inquiry h Solicitors have been engage to HMRC, this work is ongoi and internal analysis has been carried out and responses have been sent The investigation is multifa potential liability and this will worst case outcome could b ed and is dependent on emerging case law. Whilst the value of this not be known until further work and discussions have been completed the in the region of £1.5M. 26. EVENTS AFTER BALANC SHEET DATE Following on from the board contracts and signed an as 2025 at the latest. The final strategic intention to secure a new investor, the Charity has exchanged t purchase agreement with expected completion by the end of January alue of the sale Is still to be agreed. The intended charitable acti ities post sale will be limited to supporting local health and care charities. 30