Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

**THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II** 

**REPORT AND FINANCIAL STATEMENTS For the year ended 31 August 2025** 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

|**Contents**||
|---|---|
||**Page**|
|Annual Report of the Feoffees|1|
|Independent Auditors’ Report|14|
|Consolidated Statement of Financial Activities|17|
|Balance Sheets|18|
|Consolidated Cash Flow Statement|19|
|Notes to the Cash Flow Statement|20|
|Notes to the Financial Statements|21|





Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES** 

**For the year ended 31 August 2025** 

The Feoffees and School Governing Body present their annual report for the year ended 31 August 2025 under the Charities Act 2011, together with the audited financial statements for the year and confirm that the latter comply with the requirements of the Act, the Charity Commission Scheme dated 27 May 1952 and amended Scheme dated 22 October 1969 and the Charities SORP 2015. 

## **Reference and administrative details** 

The Feoffees who served during the year and up to the date of signing the accounts were as follows: 

(Chairman Resigned 8 June 2026) 

P.A. Lee, Esq. (Chairman Resigned 8 June 2026) H. Ross, Esq. (Vice Chairman) Mrs. V. Torevell M. Edge, Esq. (Treasurer) The Rt. Hon. The Earl of Derby Mrs V. Goldstone The Very Reverend R. Govender Dr. D. Hill (resigned 23 August 2025) J. Langridge, Esq. N. MacInnes, Esq. Prof. L. Merrick (resigned 17 March 2025) T. Newns, Esq. R. Websdale J, Healey-Brown (appointed 17 March 2025) Dr. J Hodgson (appointed 3 November 2025) A. Gregory                                                             (Chair appointed 8 June 2026) 

1 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **School Governing Body** 

Under the terms of the Charity Commission Scheme, there is a School Governing Body managing the School of the Foundation, which, when complete, comprises nineteen members. 

Those who served during the year and up to the date of signing the accounts were as follows **:** 

(Chair and Treasurer) 

M. Edge, Esq. (Chair and Treasurer) Mrs. C. Baxendale Prof. B. Brennan (Appointed by the School Governing Body) Councillor J. Davies (Resigned 16 April 2025) Mrs. E. Halstead K. Jaquiss, Esq. (Resigned 8 May 2025) Prof. L. Merrick (Appointed by the School Governing Body) L. Pratt, Esq. (Resigned 27 February 2026) H. Ross, Esq. Ms. K. Russell (Resigned 16 May 2026) N. Shepherd, Esq. L. Stephens, Esq. M. Corran Mrs V. Torevell (Resigned 20 May 2025) Cannon I. Jorysz (Appointed 9 September 2024) Mrs S Pike (Appointed 9 September 2024) 

## **Library Committee** 

Those who served on the Library Committee during the year and up to the date of signing the accounts were as follows: 

Mrs V. Goldstone (Chair) N. Barker, Esq.                                                                  (Resigned May 2026) Professor M. Schmidt Dr J. Hodgson N. MacInnes, Esq. Dr. R. Oates N. Brooks-Sykes, Esq. Professor S. Handley Mr R. Johns, Esq. Ms M. McHugh Ms L. Evans Dr. L. Campion Mr C. Norwood Ms A. Ada Ogolo 

(Resigned November 2024) (Appointed November 2024) (Appointed November 2024) (Appointed November 2024) (Appointed November 2024) (Appointed November 2024) (Appointed November 2024) (Appointed November 2024) 

2 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **Officers** 

Joint Principal Joint Principal Director of Finance The Librarian The Clerk to the Feoffees 

T. Redmond, Esq. Ms. N. Smith Mr P. Oberg Ms J. Simpson J. Aldersley, Esq. 

## **Principal Office Address** 

Chetham’s Hospital School and Library Long Millgate Manchester M3 1SB 

## **Advisers** 

## **Bankers** 

National Westminster Bank plc 182 Deansgate Manchester M3 3LY 

## **Solicitors** 

Butcher & Barlow LLP 3 Royal Mews Gadbrook Park Northwich Cheshire CW9 7UD 

Veale Wasbrough Vizards LLP Narrow Quay House Narrow Quay Bristol BS1 4QA 

## **Auditors of the Charitable Foundation** 

Saffery LLP 71 Queen Victoria Street London EC4V 4BE 

## **Investment Managers** 

Rathbone Brothers PLC Port of Liverpool Building Pier Head Liverpool L3 1NW 

## **Insurance Brokers** 

Marsh Commercial Kabel House 15 Quay Street Manchester M3 3HN 

3 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES** 

**For the year ended 31 August 2025** 

## **Structure, governance and management** 

## **Governing document and structure** 

The full name of this charitable foundation is “The Hospital and Library in Manchester founded by Humphrey Chetham, Esq. and Incorporated by King Charles II” (Registered Charity Number 526702). 

The Foundation, including the School, is regulated by a Charity Commission Scheme dated 27 May 1952, and amended by a Scheme dated 22 October 1969. 

Chetham’s Hospital, Chetham’s School of Music and Chetham’s Library are separate charities but are registered under one Charity Number, following a Uniting Direction issued by the Charities Commission in 2004 for registration and accounting purposes. 

The Trustees of the Hospital and Library charities, who are known as the Feoffees, are a Body Corporate, pursuant to Letters Patent of King Charles II, dated 10 November 1665. 

Chetham’s Hall Limited is a subsidiary undertaking that is a wholly owned subsidiary of Chetham’s Hospital. 

Chetham’s Trading Limited is a subsidiary undertaking that is a wholly owned subsidiary of Chetham’s School of Music. 

## **Governing bodies** 

The Feoffees are the governing body of the Hospital and Library charities. The School Governing Body of Chetham’s School of Music is the governing body of the School. The Library Committee acts as the management committee of the Library charity and approval for that Committee’s recommendations is given by the Feoffees. 

## **Recruitment and training** 

## _**Chetham’s Hospital**_ 

Feoffees are appointed under the terms of the Will of Humphrey Chetham. The Chairman, Vice Chairman and Treasurer are elected annually. 

The term of office is 5 years and Feoffees may be re-elected. 

New Feoffees are chosen from a wide variety of academic and business backgrounds to ensure that the essential level of knowledge and experience is maintained and they are inducted into the working of the Hospital on appointment. Continuing training for existing Feoffees is arranged on an on-going basis as necessary. 

## _**Chetham’s School of Music**_ 

The appointment of members of the School Governing Body is confirmed by the Feoffees except where otherwise stated. The term of office is three years. All members may be re-elected. 

New Governing Body members are chosen from a wide variety of academic, musical and business backgrounds and are inducted into the workings of the School by the Joint Principals. Safer recruitment procedures are followed for all School Governors including DBS checks. Continuing training for existing members is organised on an ongoing basis as necessary. At each meeting of the Governing Body the opportunity is taken to update members on various aspects of School life and current educational issues. The School’s Designated Safeguarding Lead and Joint Principal provide safeguarding training to all trustees annually. 

4 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## _**Chetham’s Library**_ 

New members of the Library Committee are selected by the Library Committee and their appointments are confirmed by the Feoffees. Members serve for a three year period with the opportunity for re-election at the end of that time if appropriate. New members are chosen from a wide variety of academic and business backgrounds and are inducted into the workings of the Library by Chetham’s Librarian who also arranges for ongoing training for existing members as necessary. 

## **Organisational management** 

The Feoffees are legally responsible for the overall management and control of Chetham’s Hospital and of Chetham’s Library. The Feoffees meet formally at least twice a year. The Investment Sub-Committee oversees the investment portfolio and works with the Investment Managers. 

The day to day running of Chetham’s Hospital is delegated to the Joint Principals in collaboration with the Finance Director (financial matters) and the Facilities and Site Manager (for building matters). 

The day to day running of Chetham’s Library is delegated to the Library Committee and to the Librarian. 

The School Governing Body is legally responsible for the overall management and control of the School. The Governing Body meets formally at least three times a year. There are two sub-committees of the Governing Body, the Resources Committee and the Safeguarding Committee. 

The day to day running of the School is delegated to the two Joint Principals. 

The Remuneration Sub-Committee sets the remuneration packages for the Joint Principals and Director of Finance. The remuneration package of the Librarian is set by the Feoffees. Remuneration packages are informally benchmarked against comparable organisations’ pay structures. 

## **Principal risks and uncertainties** 

The Feoffees and the School Governing Body are responsible for the management of the risks faced by the Hospital, School and Library. Detailed considerations of risk are delegated to the Joint Principals, Librarian and Director of Finance and to the Resources Committee which identifies and assesses risks and establishes controls throughout the year. 

The Feoffees deem the major risk faced by the Hospital to be the risk that fundraising achievements are insufficient to provide the necessary resources to properly maintain the buildings and resource the activities to which the organisation has committed. The Development Department is monitored on an on-going basis directly by the Feoffees and its reports are scrutinised closely at their regular meetings. 

The School Governing Body maintains a comprehensive risk register. Key risks include the impact of a change in the Music and Dance Scheme which is the major source of ongoing fee income for the School, reputational damage, safeguarding and health and safety risks. All of these risks are mitigated by careful planning, thorough checks and reviews being in place and regular monitoring by senior staff and Governors. 

The Feoffees deem the major risk to the Library is its financial sustainability. Whilst the Hospital charity is in a position to financially support the Library on an ongoing basis, the Library staff, Feoffees and Library Committee members are committed to sourcing alternative financial resources to provide a sustainable future for the Library. 

5 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

The key controls used by the Foundation include: 

- formal agendas for the Committee meetings; 

- detailed terms of reference for all Committees; 

- comprehensive budgeting and management accounting; 

- established organisational structure and lines of reporting; 

- formal written policies; 

- clear authorisation and approval levels; and 

- vetting procedures as required by law for the protection of the vulnerable. 

Through the risk management processes established for the Foundation the Feoffees and School Governors are satisfied that the major risks have been adequately managed. It is recognised that systems can only provide reasonable, but not absolute, assurance that major risks have been adequately managed. 

## **Objects, aims, objectives and activities** 

## **Charitable objects** 

The Feoffees are required, under the terms of the Charity Commission Scheme, to apply the annual income of the Hospital to the maintenance and improvement of the School, Library and Hospital premises, including provisions for extension and improvement of those premises and purchase of additional land and in the payment of grants and allowances and the award, inter alia, of scholarships, maintenance allowances and other financial assistance. 

The object of the School is to give a liberal education with due regard to the theory and practice of music. 

The object of the Library is to provide, under the Will of Humphrey Chetham, “A Library within the Town of Manchester, for the use of scholars, and others well affected, to resort unto”. 

## **Public benefit aims and intended impact** 

The Public Benefit aims of the Hospital are to provide the optimum resources to enable Chetham’s Library and Chetham’s School of Music to excel in their respective fields of expertise and to facilitate wide public access to the services offered by both entities. The Feoffees and School Governors have had regard to the Charity Commission’s guidance on Public Benefit. 

The Public Benefit aims of the School are as follows: 

- To educate musically gifted children between the ages of 8 and 18 whatever their social, racial and cultural background and financial circumstances; 

- To provide as broad an academic curriculum as is possible within a specialist school; and 

- To develop the whole person, furthering the spiritual, moral, social and cultural development of each student. 

6 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

The Public Benefit aims of the Library are to maintain the provisions of the Humphrey Chetham Will, and to make improvements to the Library whenever possible. It aims to advance the education of the public by the provision of opportunities to study historical and contemporary literature, specialising in the history of the North West of England. 

## **Objectives for the year** 

The overarching objective has been to ensure that the charities and the services provided to beneficiaries are maintained at the highest possible level. 

The major objective for the Hospital this year has been to continue to fulfil its stated aims of supporting the Library and School. 

The main objectives of the School were as follows: 

- To ensure that the School’s Safeguarding Policy and practices are exemplary and fulfil all regulatory and statutory requirements. 

- To continue to achieve consistently high results in musical and academic fields. 

- Working with the Feoffees to create a Master plan for the site to reduce our carbon footprint whilst developing the further Long Millgate external area, the Whiteley Hall refurbishment and the School Gym. 

- To continue to provide opportunities to the public via the Stoller Hall, the Creative Engagement Programme and Music Courses widening access to the School. 

The major objective for the Library this year has been to continue to fulfil its stated aims of the provision of a Library. Fundraising and Library Tours have been prioritised to help to ensure the Library’s activities are sustainable. 

## **Strategies to achieve the year’s objectives** 

The strategies used to achieve the Hospital's objective this year include continuing in aiming to raise the necessary funding to cover the funding gaps incurred during the on-going Site Development Project. 

The School's strategies included: 

- The School's Safeguarding Committee monitors safeguarding matters at each of its meetings. The Safeguarding Policy is updated and reviewed at least annually by the School and Governors. This is overseen by the Independent Safeguarding Commission. The School was also inspected in April 2025 and was found to be compliant in all areas of safeguarding. 

- Identifying and working with potential providers of Bursary funding. 

- Continuing to employ and invest in the best possible staff in all departments in the School. 

- Providing opportunities for Chetham's students and the public to participate in high quality events including masterclasses, recitals, orchestral concerts and numerous specialist teacher and student days throughout the year. 

- Major works have been completed on the Long Millgate pavement areas to improve the down light into the Gym, whilst reducing fire risk. The Master plan was created with a vision to make the site more environmentally sustainable, whilst also looking at areas to improve over the next few years. 

- Refurbishment of the Whiteley Hall continued throughout the year and was completed after the year end. 

7 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **Principal activities of the year** 

The principal activities of the Hospital were the provision of premises to house the School and Library and associated activities, together with the awarding of grants to students of the School. 

The principal activity of the School was the provision of a musical and academic education to young people between the ages of 8 and 18. The School also provides an extensive outreach programme to encourage wider community access to the excellent teaching resources of the School. 

The principal activity of the Library was the provision of a library and associated activities. 

## **Foundation buildings** 

Under the Will of Humphrey Chetham who died in 1653, College House was purchased for the foundation of a hospital (school) and a library. The accounts of the Foundation do not incorporate any value of College House. 

The value of land and buildings shown in the financial statements is the purchase price of the Millgate Building, and the construction costs of New College House, the Millgate extension, the School Building, the conversion costs for the Nicholls Building re-development, the construction costs of the Stoller Hall and of the redevelopment of the boys' boarding accommodation in the Milgate Building, all net of depreciation where relevant, together with the purchase price of the parcel of land at Walkers Croft. The buildings are insured for £162 million on a rebuilding basis. 

The Hospital is responsible for the external repair and maintenance of the Foundation’s buildings, and the costs are charged to its annual accounts as incurred. The School and Library pay for internal repairs and maintenance within their own respective accounts. 

## **Grant making policy** 

The Feoffees make awards on the basis of an individual's financial position. Any particular conditions imposed by donors are taken into account when making awards. 

Around 80% of the students at Chetham's are eligible for means-tested support through the Music and Dance Aided Pupil Scheme, funded by the Department for Education (DfE). This Scheme ensures that families are only asked to contribute towards the fees of the School at a level that they can afford. For a number of reasons, usually because the Scheme is for UK residents, a small number of students are not eligible for financial support through the DfE scheme. A significant part of the School's activities is the provision of bursaries to these students, to facilitate the widening of access to the School. Bursaries are based on the School's assessment of financial need. Detailed means testing is carried out by the School to ensure that its funds are directed towards those who would otherwise not be able to afford to come to Chetham's. This year the School contributed £769,900 (2024: £619,160) from Restricted Funds to support students financially. The amount contributed each year varies according to specific need in each particular year. 

8 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **Review of achievements and performance for the year** 

## **Review of activities** 

## _**Chetham’s Hospital**_ 

The major activity of the Hospital during the year has been to undertake feasibility studies, designs and work with the conservation team to increase public access to the medieval estate by the opening of the South Gate Entrance to the site. This will enable there to be increased visitor activity in College House – the Medieval Buildings. This part of the Site Development Project is subject to the securing of the necessary funding. 

We have continued to look at the technical possibility of a water source heat pump that could help de-carbonise the site and reduce energy consumption. This is a long term strategy that will require funding from external sources to achieve. We are considering the use of the Palatine Folly Building and its future as part of the Chetham’s estate. 

Safeguarding matters are always at the forefront of any changes to how we use our buildings and the activity that takes place here. 

## _**Chetham’s School of Music**_ 

At the start of the academic year, the School had 340 students on roll (2024: 333), including twelve Choristers as part of its role as Choir School for Manchester Cathedral. The cohort comprised 191 girls and 149 boys: 135 in the Sixth Form, 171 in Years 7–11, and 34 Juniors. Approximately 60% of students were boarders. 

Admission is based solely on musical ability, assessed through a rigorous audition process. For entry in September 2024, there were 144 applications, 137 auditions, and 83 students admitted. The School also provides free advisory auditions to support prospective applicants. 

A total of 263 places are funded through the Department for Education’s Music and Dance Scheme (MDS), which offers means-tested fee support. Additional bursaries were available for students not eligible for MDS or experiencing financial hardship. Choristers receive over 60% fee remission. The School remains committed to widening access to its specialist provision. 

Academic outcomes remain strong. A-level results showed a 98% pass rate, with 60.3% achieving grades A*–B. At GCSE, 93.2% of grades were 9–4, with 51% at 7–9. Leavers’ destinations were diverse, with 80% progressing to music study—often with scholarships—at leading institutions including the Royal College of Music, Royal Academy of Music, RNCM, Guildhall, and Cambridge. Others pursued subjects such as Nursing, Engineering, and military careers. 

The School delivered an extensive programme of musical activity, including three annual music courses, with a growing emphasis on diversity of repertoire and composers. International collaboration expanded through partnerships with institutions in Helsinki, Beijing, Oslo, and Barcelona. 

Highlights include collaboration with the BBC Philharmonic, including recording a new work by Cassie Kinoshi for BBC Ten Pieces and live broadcast performances. There were also visits from distinguished alumni and professional musicians, including Wayne Marshall and Peter Moore. The School hosted international exchange students and developed reciprocal opportunities abroad as well as holding specialist events such as the Brass and Woodwind Academy Days, masterclasses, and student-led performance initiatives. Students performed regularly in a wide range of settings, including community venues such as ESSA Academy, broadening access to live orchestral music. 

Major performance highlights included a full-scale production of Ravel’s L’Enfant et les sortilèges, involving the entire vocal department and large-scale staging; joint performances with the BBC Philharmonic as part of a new three-year partnership and concerts at major venues including Stoller Hall, Manchester Cathedral, and Victoria Hall, Bolton. There were also international performances, including a tour to Ischia, Italy. The School also maintained a rich calendar of concerts, ensemble performances, and outreach activity throughout the year. 

9 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

A new three-year partnership with the BBC Philharmonic will provide further side-by-side performance opportunities. The School has also secured funding from the Association of British Orchestras to support programming of works by historical women composers. 

Despite delays to the redevelopment of Whiteley Hall, performance activity has continued successfully across alternative venues. Following the academic year, the School hosted a range of residential programmes, including the Chetham’s Summer School, International Piano Summer School, and National Youth Concert Band, alongside external courses and events. These initiatives brought significant additional engagement to the campus. 

## _**Chetham’s Library**_ 

Chetham’s Library is widely recognised as the oldest surviving public library in the English speaking world, remaining in continuous use from its opening in 1655 to the present day. It forms a resource that has few parallels, being a major research library, heritage complex and arts organisation. Its significance has been recognized by Arts Council England through Designation of its collection as being of national and international importance. 

Regular tours (Mon-Sat) are now the main source of income, supported by our team of volunteers. There also continues to be a wide range of activities during the year. In March we celebrated the 350[th] anniversary of Chetham’s opening with an open day as part of Heritage is Open supported by the National Lottery Fund. The Library also participated in Manchester Libraries Festival in June with an afternoon devoted to poetry in the collections, especially the poets who met at the Sun Inn on Long Millgate in the mid nineteenth century. 

In February conservation work was undertaken on the Gorton Chest which included repair of recent damage to one of the doors and rehanging both doors as they were originally. One of the Library’s more significant medieval manuscripts was also conserved with support from a donation by Brenda and Arnold Bradshaw. The manuscript, a fifteenth century English astrological calendar, was in very poor state from heavy use and an unsuitable binding. 

The Library works in partnership with the University of Manchester and other North West universities to support research and teaching with our collections. We are hosting an AHRC funded collaborative project on “Early Modern Reading Cultures in North West England” and have secured funding for a new project to start in October 2025 entitled “The Hidden Voices of Early Modern Books in Chetham’s Library”. 

Fundraising for the Library’s work continues. The Patrons of Chetham’s Library scheme raised £387 this year (2024: £247). 

## **Fundraising performance against objectives** 

During the year £626,675 (2024: £1,037,901) was donated or bequeathed to the Foundation. The Feoffees and School Governing Body have set general targets for the Development Department, both for unrestricted and restricted income and consider that the year’s results are more than satisfactory in the circumstances. 

Chetham’s is registered with the Fundraising Regulator and is committed to delivering the Fundraising Promise, as outlined on the Fundraising Regulator’s website, and the high standards set for fundraising, as outlined in the Regulator’s Code of Fundraising. There were no complaints received by the charity for the purpose of fundraising. 

The charity does not use third party canvassers for fundraisers and is mindful of the need to protect vulnerable people in any direct approaches to individuals. 

10 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **Investment performance against objectives** 

The investment powers of the Foundation are subject to statutory provisions, in particular the Trustees Investments Act 2000. 

The policy is to maintain income whilst preserving the real value of endowed investments and to maximise income on temporarily invested funds. 

Rathbone Brothers PLC acting as Investment Managers have discretionary powers to manage the portfolio and their performance is monitored on a regular basis against agreed benchmarks by the Investment Sub-Committee. The Feoffees and School Governing Body consider that the year’s results are satisfactory. 

The Foundation’s annualized total return on investment assets was a gain of £694,693 (2024: £843,114). 

Investment income in the Hospital decreased during the year to £14,132 (2024: £33,979) and realised gains were £2,078 (2024: £84,678 losses). 

Investment income in the School increased during the year to £214,541 (2024: £140,349) and realised investment gains were £84,783 (2024: £413,353 losses). 

Investment income in the Library increased during the year to £96,841 (2024: £78,938) and realised investment gains were £67,136 (2024: £32,473). 

## **Financial Review** 

The Foundation recorded an overall deficit on unrestricted funds of £490,012 (Restated 2024: £1,404,078) and its total Unrestricted Funds now stand at £8,368,092 (Restated 2024: £8,858,104). 

The Hospital recorded a surplus on unrestricted funds for the year of £278,106 (2024: £363,919) and its total Unrestricted Funds now stand at £3,088,013 (2024: £2,809,907). This includes a deficit of £228,907 (2024: £228,907) in Designated Funds. 

The School recorded a deficit on unrestricted funds for the year of £701,631 (Restated 2024: £1,771,370) and its total Unrestricted Funds now stand at £5,010,092 (Restated 2024: £5,711,723). This includes £451,610 (2024: £1,195,783) which is designated for a variety of specific purposes. 

The Library recorded a deficit on unrestricted funds for the year of £66,487 (2024: surplus £3,373) and its total Unrestricted Funds now stand at £269,987 (2024: £336,474). This includes £110,000 (2024: £110,000) in Designated Funds. 

## **Going concern** 

The Department for Education continues to support the school through the Music and Dance Scheme. Student places are oversubscribed and visitors to the Library and Stoller Hall continue to increase. The Feoffees and School Governors do not consider that there are any issues for the organisation as a going concern. 

11 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **Reserves policy** 

## _**Introduction**_ 

Notes 16 to 19 of the financial statements set out an analysis of the assets attributable to the various Funds together with a description of the major components of those Funds. These assets are sufficient to meet the financial obligations on a fund by fund basis. 

The Hospital which owns the buildings, is primarily dependent on rent from the School for its income. The Feoffees aim to increase the balance of free reserves each year, to bring the level up to an amount felt to be appropriate in the circumstances. At the present time, the Feoffees' target for free reserves for the Hospital is equivalent to around a year's expenditure. 

It is the policy of the School Governing Body to aim to increase reserves each year when there is no call on the reserves to cover unexpected costs. The Governing Body's aim is to bring the level of reserves to a higher level than at present to safeguard against income deterioration or unexpected costs. 

The Feoffees and Library Committee aim to ensure that the free reserves of the Library cover approximately one year's expenditure. 

## _**Review of policies**_ 

These policies will be reviewed every three years by the Treasurer and Director of Finance and brought to the attention of the Feoffees and the School and Library Committees as part of the review of all policies. These policies were reviewed by the Resources Committee in December 2025. 

## _**Level of Reserves**_ 

Unrestricted reserves of the Foundation held at 31 August 2025 were £8,368,092 (Restated 2024: £8,858,104) of which £332,703 (2024: £1,076,876) is designated for specific purposes. 

The unrestricted reserves are substantially invested in the tangible fixed assets of the Foundation. In the year to 31 August 2025 the surplus on free reserves increased to £8,035,389 (Restated 2024: £7,781,228). 

Restricted reserves of the Foundation were £31,752,707 (2024: £32,810,998). Of this balance £28,035,944 (2024: £28,806,947) is represented by fixed assets. 

## _**Hospital**_ 

Free reserves of the Hospital are £3,316,920 (2024: £3,038,814). 

Restricted reserves are £26,366,740 (2024: £27,190,481). Two (2024: two) capital project funds are in deficit at the year end by £1,785,340 (2024: £1,792,751) as expenditure has been incurred in advance of income being received for the projects. 

## _**School**_ 

Free reserves of the School are £4,558,482 (Restated 2024: £4,515,940). At present, the level of reserves is equivalent to over four month’s unrestricted expenditure. The Governors’ aim to increase the level of free reserves to at least 9 months’ expenditure, which at the current time would be approximately £9.9 million. 

Restricted reserves are £5,355,732 (2024: £5,610,639) and are held for a variety of purposes. 

## _**Library**_ 

Free reserves of the Library are £159,987 (2024: £226,474). This is just over 9 months’ operating costs and is deemed to be sufficient at present. 

Restricted reserves are £30,235 (2024: £9,878) and are held for a variety of purposes. 

12 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **THE HOSPITAL AND LIBRARY IN MANCHESTER FOUNDED BY HUMPHREY CHETHAM ESQ AND INCORPORATED BY KING CHARLES II ANNUAL REPORT OF THE FEOFFEES For the year ended 31 August 2025** 

## **Plans for future periods** 

The Feoffees and School Governing Body aim to support continuation and progression of the excellent work carried out by the staff of the School and Library. 

The Site Master Plan will continue as funding allows, with exciting exploratory work into river source heating. The current aim of the Feoffees and Governors is to source funding for repairs of the medieval buildings. 

## **Disclosure of information to the auditors** 

So far as each person who was a Feoffee at the date of approving this report is aware, there is no relevant audit information, being information needed by the auditors in connection with preparing their report, of which the auditors are unaware. Having made enquiries of fellow Feoffees and the charity’s auditors each Feoffee has taken all the steps that he or she is obliged to take as a Feoffee in order to make himself or herself aware of any relevant audit information and to establish that the auditors are aware of that information. 

## **Statement of Feoffees’ responsibilities in respect of the financial statements** 

Charity law requires the Feoffees to prepare financial statements for each year which give a true and fair view of the charity’s financial activities during the year and the financial position at the end of the year. In preparing those financial statements, the Feoffees are required to: 

- Select suitable accounting policies and then apply them consistently; 

- Make judgments and estimates that are reasonable and prudent; 

- Observe the methods and principles in the Charities SORP (FRS102); 

- State whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and 

- Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. 

The Feoffees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity. 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 the Feoffees on 30 June 2026 

2026 and signed on their behalf by: 


A. Gregory Chair of Feoffees M. Edge, Esq. Chair of School Governing Body 

13 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **Independent Auditor’s Report to the Members of The Hospital and Library in Manchester Founded by Humphrey Chetham Esq and Incorporated by King Charles II** 

**For the year ended 31 August 2025** 

## **Opinion** 

We have audited the financial statements of The Hospital and Library in Manchester Founded by Humphrey Chetham Esq and Incorporated by King Charles II (the ‘parent charity’) and its subsidiary (the ‘group’) for the year ended 31 August 2025 which comprise the Statement of Financial Activities, the Balance Sheet, the Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). 

In our opinion the financial statements: 

- give a true and fair view of the state of the group and parent charity’s affairs as at 31 August 2025 and of the group’s and the parent charity’s incoming resources and application of resources for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Charities Act 2011. 

## **Basis for opinion** 

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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent 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 feoffees’ 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 group or the parent 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 feoffees with respect to going concern are described in the relevant sections of this report. 

## **Other information** 

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The feofees are responsible for the other information. 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. 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 course of 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. 

14 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **Independent Auditor’s Report to the Members of The Hospital and Library in Manchester Founded by Humphrey Chetham Esq and Incorporated by King Charles II For the year ended 31 August 2025** 

## **Matters on which we are required to report by exception** 

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion: 

 the information given in the Feofees’ Annual Report is inconsistent in any material respect with the financial statements; or 

- the parent charity has not kept sufficient accounting records; or 

- the parent charity’s financial statements are not in agreement with the accounting records and returns; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of Feoffees** 

As explained more fully in the Feofees’ Responsibilities Statement set out on page 13, the feoffees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the feoffees 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 feoffees are responsible for assessing the group and the parent 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 feoffees either intend to liquidate the group or the parent charity or to cease operations, or have no realistic alternative but to do so. 

## **Auditor’s responsibilities for the audit of the financial statements** 

We have been appointed as auditors under the Charities Act 2011 and report in accordance with regulations made under that Act. 

Our objectives are to obtain reasonable assurance about whether the group and parent financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report 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. 

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. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below. 

Identifying and assessing risks related to irregularities: 

We assessed the susceptibility of the group and parent charity’s financial statements to material misstatement and how fraud might occur, including through discussions with the feoffees, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements.  We identified laws and regulations that are of significance in the context of the group and parent charity by discussions with feoffees and updating our understanding of the sector in which the group and parent charity operate. 

Laws and regulations of direct significance in the context of the group and parent charity include the Charities Act 2011, the Charities (Accounts and Reports) Regulations 2008 and guidance issued by the Charity Commission for England and Wales. 

15 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **Independent Auditor’s Report to the Members of The Hospital and Library in Manchester Founded by Humphrey Chetham Esq and Incorporated by King Charles II** 

## **For the year ended 31 August 2025** 

## **Auditor’s responsibilities for the audit of the financial statements (continued)** 

## Audit response to risks identified: 

We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the parent charity’s records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the parent charity’s policies and procedures for compliance with laws and regulations with members of management responsible for compliance. 

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud. 

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. 

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report. 

## **Use of our report** 

This report is made solely to the parent charity’s feoffees, 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 parent charity feoffees 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 parent charity and the parent charity’s feoffees as a body, for our audit work, for this report, or for the opinions we have formed. 


## **Saffery LLP** 

Statutory Auditors 71 Queen Victoria Street London EC4V 4BE 

Date: 30 June 2026 

Saffery LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006 

16 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES For the year ended 31 August 2025** 


**----- Start of picture text -----**<br>
Notes  Hospital Funds School Funds Library Funds 2025 Restated 2024<br>£ £ £ £ £<br>Income from:<br>Charitable activities:<br>School fees  2  - 11,207,362 - 11,207,362 10,234,331<br>Ancillary activities  6  45,124 1,250,806 - 1,295,930 1,125,325<br>Other trading activities:<br>Activities for generating funds 3 - 794,503 123,942 918,445 915,221<br>Investments:<br>Investment income  4  14,132 214,541 96,841 325,514 253,266<br>Voluntary sources:<br>Bequests and donations 5 7,423 585,333 33,919 626,675 1,037,901<br>Grants received  - 45,680 - 45,680 11,418<br>Total incoming resources  66,679 14,098,225 254,702 14,419,606 13,577,462<br>Expenditure on:<br>Raising funds:<br>Fundraising  - 202,759 - 202,759 231,285<br>Publicity - 21,293 - 21,293 60,281<br>Conference, facility hire and trading costs  - 955,963 - 955,963 837,859<br>Financing costs 88,639 6,723 - 95,362 128,130<br>Investment management costs  3,267 38,573 16,655 58,495 58,620<br>91,906 1,225,311 16,655 1,333,872 1,316,175<br>Charitable activities:<br>Teaching costs – academic  - 2,379,500 - 2,379,500 2,369,482<br>Teaching costs – music - 4,345,266 - 4,345,266 4,419,713<br>Welfare - 2,133,200 - 2,133,200 2,067,341<br>Premises  1,132,954 3,618,706 - 4,751,660 4,609,921<br>Scholarships and Bursaries  - 800,417 - 800,417 619,160<br>Grants, awards and prizes - 10,471 - 10,471 8,600<br>Library running costs - - 202,484 202,484 214,616<br>Support and Governance costs 10,852 220,764 2,094 233,710 144,518<br>1,143,806 13,508,324 204,578 14,856,708 14,453,351<br>Total resources expended 9  1,235,712 14,733,635 221,233 16,190,580 15,769,526<br>Net income/(expenditure)  (1,169,033) (635,410) 33,469 (1,770,974) (2,192,064)<br>Transfer between funds  10  627,000 (627,000) - - -<br>Realised gains and losses  12 2,078 84,783 67,136 153,997 (465,558)<br>Unrealised gains and losses  12  3,080 221,089 (8,987) 215,182 1,055,406<br>Net movement in funds  (536,875) (956,538) 91,618 (1,401,795) (1,602,216)<br>Fund balances at 1 September 2024 as<br>30,832,331 11,688,351 3,130,463 45,651,145 46,887,372<br>previously stated<br>Restatement of opening balances 1 September  - - -<br>2024 (365,989) (365,989)<br>Fund balances brought forward at 1 September<br>30,832,331 11,322,362 3,130,463 45,285,156 46,887,372<br>2024 restated<br>Fund balances at 31 August 2025  30,295,456 10,365,824 3,222,081 43,883,361 45,285,156<br>**----- End of picture text -----**<br>


17 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II BALANCE SHEETS As at 31 August 2025** 

|_Note_<br>**_Fixed assets_**<br>Heritage assets<br>11<br>Tangible fixed assets<br>11<br>Investments<br>12<br>Investments in subsidiaries<br>**_Current assets_**<br>Stock<br>Debtors<br>13<br>Cash at bank and in hand<br>**Creditors:**amounts falling due within one year<br>14<br>**_Net current assets_**<br>**_Total assets less current liabilities_**<br>**_Creditors_**: amounts falling due after more than one<br>year<br>15<br> <br>**_Total net assets_**<br>16<br>**_Endowment funds_**<br>17<br>**_Restricted funds_**<br>18<br>**_Unrestricted funds_**<br>19<br>**_Total funds_**<br>Hospital funds<br>School funds<br>Library funds<br>**_Total funds_**<br>16|GROUP<br>_2025_<br>_£_<br>_Restated_<br>_2024_<br>_£_<br>115,000<br>115,000<br>31,729,306<br>32,640,041<br>11,100,222<br>10,910,767<br> -<br> -<br>42,944,528<br>43,665,808<br>16,322<br>7,082<br>725,532<br>438,635<br>3,400,113<br>4,123,892<br>4,141,967<br>4,569,609<br>(3,203,134)<br>(2,950,261)<br>938,833<br>1,619,348<br>43,883,361<br>45,285,156<br> -<br> -<br>43,883,361<br>45,285,156<br>3,762,562<br>3,616,054<br>31,752,707<br>32,810,998<br>8,368,092<br>8,858,104<br>43,883,361<br>45,285,156<br>30,295,456<br>30,832,331<br>10,365,824<br>11,322,362<br>3,222,081<br>3,130,463<br>43,883,361<br>45,285,156|CHARITY<br>_2025_<br>_£_<br>_Restated_<br>_2024_<br>_£_<br>115,000<br>115,000<br>31,729,306<br>32,640,041<br>11,100,222<br>10,910,767<br>200<br>200<br>42,944,728<br>43,666,008<br>9,240<br>-<br>1,157,622<br>1,897,583<br>2,857,977<br>3,116,661<br>4,024,839<br>5,014,244<br>(2,940,018)<br>(3,401,849)<br>1,084,821<br>1,612,395<br>44,029,549<br>45,278,403<br> -<br> -<br>44,029,549<br>45,278,403<br>3,762,562<br>3,616,054<br>31,752,707<br>32,810,998<br>8,514,280<br>8,851,351<br>44,029,549<br>45,278,403<br>30,302,536<br>30,839,411<br>10,504,932<br>11,308,529<br>3,222,081<br>3,130,463<br>44,029,549<br>45,278,403|
|---|---|---|



The financial statements were approved and authorised for issue by the Feoffees on and signed on their behalf by: 


A. Gregory Chair of Feoffees 


M. Edge, Esq Chair of School Governing Body 

30 June 2026 2026 

18 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II CONSOLIDATED CASH FLOW STATEMENT** 

## **For the year ended 31 August 2025** 

|_Cash flow_<br>_statement_<br>_notes_<br>_2025_<br>**_Net cash inflow/(outflow) from operations_**<br>_£_<br>_Net cash provided by/(used by) operating activities_<br>1<br>(626,640)<br>**_Cash flows from investing activities_**<br>Investment income<br>325,514<br>Payments to purchase buildings and other fixed assets<br>(288,333)<br>Payments to acquire investments, including cash awaiting investment<br>(1,222,585)<br>Receipts from sales of fixed asset investments<br>1,291,005<br>Increase in cash held by investment advisors<br>111,304<br>**Net cash provided by/(used in) investing activities**<br>216,905<br>**_Cash flow from financing activities_**<br>Bank loan and interest payable<br>(95,362)<br>Bank loan repayments<br>(218,682)<br>**Net cash used in financing activities**<br>(314,044)<br>**_Change in cash and cash equivalents in the reporting period_**<br>(723,779)<br>_Cash and cash equivalent at the beginning of the period_<br>4,123,892<br>_Cash and cash equivalent at the end of the period_<br>2<br>3,400,113|_2024_<br>_£_<br>(2,406,050)<br>253,266<br>(490,486)<br>(3,442,730)<br>2,917,096<br>183,040<br>(579,814)<br>(128,130)<br>(124,706)<br>(252,836)<br>(3,238,700)<br>7,362,592<br>4,123,892|_2024_<br>_£_<br>(2,406,050)<br>253,266<br>(490,486)<br>(3,442,730)<br>2,917,096<br>183,040<br>(579,814)<br>(128,130)<br>(124,706)<br>(252,836)<br>(3,238,700)<br>7,362,592<br>4,123,892|
|---|---|---|
|||4,123,892|



19 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE CASH FLOW STATEMENT For the year ended 31 August 2025** 

## 1. **Reconciliation of net expenditure to net cash flow from operating activities** 

|Net incoming/(outgoing) resources<br>Depreciation<br>Investment income<br>Bank and loan interest payable<br>(Increase)/Decrease in stock<br>(Increase)/Decrease in debtors<br>Increase/(Decrease) in creditors<br>Net cash inflow/(outflow) from operating activities|_2025_<br>_£_<br>_Restated_<br>_2024_<br>_£_<br>(1,770,974)<br>(2,192,064)<br>1,199,068<br>1,254,039<br>(325,514)<br>(253,266)<br>95,362<br>128,130<br>(9,240)<br>(7,082)<br>(286,897)<br>397,515<br>471,555<br>(1,733,322)<br>(626,640)<br>(2,406,050)|
|---|---|



## 2. **Analysis of cash and cash equivalent** 

|Cash at bank and in hand<br>Cash on deposit|_2025_<br>_£_<br>1,835,218<br>_2024_<br>_£_<br>4,082,782<br>1,564,895<br>41,110<br>3,400,113<br>4,123,892|
|---|---|



## 3. **Reconciliation of net debt** 

|Cash at bank and in hand<br>Bank loan due in less than one year<br>Bank loan due in greater than one year|_Restated_<br>_At 1 September_<br>_2024_<br>_Cash_<br>_movements_<br>_Non-cash_<br>_movements_<br>_At 31 August_<br>_2025_<br>_£_<br>_£_<br>_£_<br>_£_<br>4,123,892<br>(723,779)<br>3,400,113<br>(1,499,468)<br>218,682<br>-<br>(1,280,786)<br>-<br>-<br>-<br>-<br>2,624,424<br>(505,097)<br>-<br>2,119,327|
|---|---|



20 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 1. **Statement of accounting policies** 

## _**Basis of preparation of accounts**_ 

The consolidated financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Charities Act 2011 and the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - effective 1 January 2019. 

The accounts present the Consolidated Statement of Financial Activities (SOFA), the Consolidated Cash Flow Statement, and the Consolidated and Charity Balance Sheets, comprising the consolidation of the Charity with its wholly owned subsidiaries. 

No separate charity only Statement of Financial Activities has been prepared by the Charity. The Charity’s total income for the year was £13,625,102 (Restated 2024: £13,386,636) and the net (expenditure) / income for the year was -£1,248,854 (Restated 2024: -£1,763,227). 

The Foundation has taken advantage of the exemption available to a qualifying entity in FRS 102 from the requirement to present a charity only Cash Flow Statement within the consolidated financial statements. The functional currency of the Foundation is considered to be GBP because that is the currency of the primary economic environment in which the Foundation operates. 

The accounts are drawn up on the historical cost basis of accounting, as modified by the revaluation of investment properties and other investments. 

The Foundation is a Public Benefit Entity registered as a charity in England and Wales. It is registered as a charity on the Charity Commission website (charity number: 526702). 

No material uncertainties that may cast significant doubt about the ability of the Foundation to continue as a going concern have been identified by the Feoffees or School Governing Body. 

A significant proportion of fee income for the School is receivable from the Department for Education (DfE) under the Music and Dance Aided Pupil Scheme (MDS). In the current year £7,697,243 was receivable (2024: £7,339,609). The DfE have provided assurances to the School that they foresee the MDS Scheme being continued in its current form for the foreseeable future. 

21 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 1. **Statement of accounting policies (continued)** 

## _**Uniting direction**_ 

A Uniting Direction was issued by the Charities Commission on 25 June 2004. This links the Chetham’s Hospital, School and Library charitable strands for the purposes of registration and accounting under the Charities Act 2011. The Charity Commission has agreed to the adapted format of the Statement of Financial Activities wherein funds are categorised by component charitable strand rather than by type. 

Chetham’s Hall Limited is a subsidiary undertaking that is a wholly owned subsidiary of the Hospital. Chetham’s Trading Limited is a subsidiary undertaking that is a wholly owned subsidiary of the School. The results of the subsidiaries are included within the relevant component strands of the overall charity. 

## _**Fees and similar income**_ 

Fees receivable and charges for services and use of premises are accounted for in the period in which the service is provided. Fees receivable are stated after deducting Bursaries granted by the School, but include contributions received from Restricted Funds towards fees. 

## _**Donations and bequests**_ 

Donations and bequests received for the general purposes of the Foundation are credited to unrestricted funds. Donations and bequests subject to specific wishes of the benefactors are credited to restricted funds, or to endowment funds where the amount is required to be held as permanent capital. 

Donations and bequests are accounted for as and when entitlement arises, the amount can be reliably qualified and the economic benefit to the school is considered probable. 

## _**Investment and covenant income**_ 

Credit is taken for investment and covenant income, including related taxation, on an accruals basis. The income from COIF Accumulation units is automatically reinvested and this income is not disclosed as such in the accounts because there is a corresponding increase in the valuation of the original subscribed units. 

## _**Resources expended**_ 

Expenditure is accrued as soon as a liability is considered probable, discounted to present value for longer- term liabilities. Overheads and other costs not directly attributable to particular functional activity categories are apportioned over the relevant categories on the basis of management estimates of the proportions of individuals’ time attributable to that activity in the year. The irrecoverable element of VAT is included with the item of expense to which it relates. 

Governance costs comprise the costs of running the charity, including strategic planning for its future development, also external audit, any legal advice for the Feoffees and School and Library Committees, and all costs of complying with constitutional and statutory requirements, such as the costs of meetings of the Feoffees, the School Governing Body and the Library Committee and of preparing statutory accounts and satisfying public accountability. 

## _**Tangible fixed assets and depreciation**_ 

The Foundation’s Collections and Management Plan, available from Chetham’s Librarian upon request, details the Foundation’s policy for the acquisition, preservation, management and disposal of its heritage assets. 

College House and the Collections are deemed to have indeterminate lives and therefore the Feoffees do not consider it appropriate to charge depreciation. 

22 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 1. **Statement of accounting policies (continued)** 

## _**College House**_ 

The site of Chetham’s, on a sandstone outcrop at the confluence of the Rivers Irwell and Irk, has been of strategic importance and occupied since Roman times. College House, in 1421, was the largest building in the medieval town of Manchester. The buildings have been used to house the School since 1653 and are Grade 1 listed. 

The Feoffees consider that, owing to the incomparable nature of the buildings, conventional valuation approaches lack sufficient reliability and even if valuations could be obtained, the costs of doing so would be onerous compared with the additional benefits derived by the Foundation and users of the accounts. As a result, no value is reported for this asset in the Balance Sheet. 

## _**The Library’s Collections (Heritage assets)**_ 

The Library’s Collections were started in 1655. From illuminated manuscripts made for kings and queens to the minutiae of personal life – diaries, letters, account books – the Library has a wealth of special items and collections. Chetham’s holds over forty medieval manuscripts, including the thirteenth century _Flores Historiarum_ of Matthew Paris. The Collections are mainly concerned with the history of the North West of England and include the first ever census of Manchester compiled in 1773-74. There are well over 120,000 printed items, over half of which were published before 1850. 

It is considered that obtaining valuations for the vast majority of the Collections would involve disproportionate cost due to the size and diversity of the items and so these assets are therefore not recognised in the Balance Sheet. Significant acquisitions from September 2009 onwards will be reported at cost, where the item is purchased, or if donated, at the current value if it is readily discernible, for example by using a probate value. 

The Feoffees will very occasionally approve the disposal of items of the Collections, for example when an item is of doubtful provenance or is a duplicate of an item already in a Collection. Where items that are not recognised as fixed assets are disposed of, the proceeds are reported in the Statement of Financial Activities. Disposal proceeds are also disclosed separately in the notes to the accounts. 

The Collections are deemed to have indefinite lives and therefore no depreciation is charged. 

## _**Preservation costs**_ 

Expenditure which, in the Feoffees’ view, is required to preserve or clearly prevent further deterioration of College House or individual Collection items is recognised in the Statement of Financial Activities when it is incurred. 

## _**Other assets**_ 

The cost of freehold buildings which are not classed as heritage assets is written off by annual instalments over their expected useful lives as follows: 

23 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 1. **Statement of accounting policies (continued)** 

Freehold buildings: 40 - 60 years 

The cost of the land acquired in 2008 is not written off but is kept in the accounts as a capital item matched by a restricted Capital Fund as its purchase was funded by a grant from the NWDA for that specific purpose. 

Expenditure on instruments, furniture and equipment etc. costing less than £1,000 is written off as an expense in the year incurred. 

Depreciation is provided on the cost of tangible fixed assets, to write them down in equal instalments to their estimated residual values based current market prices over their expected useful lives as follows: 

Furniture, fittings and equipment: 5 years Instruments: 3 years 

Grants received towards capital expenditure are credited to the appropriate restricted fund upon entitlement thereto; any depreciation of the grant-funded proportion of such fixed assets expenditure is charged to the related restricted fund. 

## _**Investments**_ 

Investments are valued in the balance sheet at their mid-market value at the balance sheet date. Investment management fees are accounted for as incidental costs of the acquisition or disposal where transaction-based. Other management fees are disclosed separately as Resources Expended in the Statement of Financial Activities. 

Investment in subsidiaries are valued at cost less provision for impairment. 

24 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 1. **Statement of accounting policies (continued)** 

## _**Pension schemes**_ 

Contributions are made to the multi-employer defined benefit Teachers’ Pension Scheme at rates set by the Scheme Actuary and advised by the Scheme Administrator. Contributions are also made to the Greater Manchester Pension Fund, a multi-employer defined benefit pension scheme, for a small number of non-teaching staff, and also to a money purchase pension scheme for other non-teaching staff. In accordance with FRS 102 all schemes are accounted for as defined contribution schemes and contributions therefore are charged in the Statement of Financial Activities as they become payable. 

## _**Operating leases**_ 

Rentals applicable to operating leases are charged to the Statement of Financial Activities as they fall due. 

## _**Taxation**_ 

As a registered charity, the Foundation and its associated funds are not subject to taxation on its surpluses. However, provision is made for corporation tax on any trading profits generated by Chetham’s Hall Limited and Chetham’s Trading Limited after provision for Gift Aid payment. 

## **Financial instruments** 

Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost with the exception of investments which are held at fair value. Financial assets held at amortised cost comprise cash at bank and in hand, together with trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except social security and other taxes and provisions. Assets and liabilities held in foreign currency are translated to GBP at the balance sheet date at an appropriate year end exchange rate. 

## **Critical accounting judgements and key sources of estimation uncertainty** 

In the application of the accounting policies, Feoffees and School Governors as trustees are required to make judgement, estimates, and assumptions about the carrying value 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 ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affected current and future periods. 

In the view of the Feoffees and School Governors, no assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year. 

25 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 2. **School fees** 

|Gross fees receivable<br>Less: total Bursaries, grants and allowances<br>Scholarships and Bursaries financed from restricted and<br>endowment funds<br>The total educational awards financed from restricted funds<br>comprise:<br>Scholarships and Bursaries<br>Grants, awards and prizes<br>3.<br>**Other trading activities**<br>Trading income, summer schools and facility hire|_2025_<br>_£_<br>_Restated 2024_<br>_£_<br>11,207,362<br>10,234,331<br>(800,417)<br>(619,160)<br>10,406,945<br>9,615,171<br>800,417<br>619,160<br>11,207,362<br>10,234,331<br>_2025_<br>_2024_<br>800,417<br>619,160<br>10,471<br>8,600<br>810,888<br>627,760<br>_2025_<br>_£_<br>_2024_<br>_£_<br>918,445<br>915,221|
|---|---|
|||



Trading income includes £794,503 (2024: £817,865) in relation to Chetham’s Trading Limited. 

The School owns the whole of the ordinary share capital, consisting of 100 ordinary shares of £1 each, of Chetham’s Trading Limited, which carries out the commercial activities of the School. The subsidiary donates the taxable profits of the previous year to the School each year through Gift Aid. Its trading results for the year, as extracted from the audited financial statements, are summarised below. The registered office of this entity is the same as for the School. 

|Turnover<br>Cost of Sales<br>Gross (loss)/profit<br>Administrative expenses<br>Operating (loss)/profit<br>Retained earnings brought forward<br>Gift aid to parent company<br>Retained earning carried forward|_2025_<br>_£_<br>794,503<br>(859,433)<br>(64,930)<br>(74,280)<br>(139,210)<br>13,733<br>(13,733)<br>(139,210)|_2024_<br>_£_<br>817,865<br>(772,172)|
|---|---|---|
|||45,693<br>(31,960)|
|||13,733<br>150,102<br>(150,102)<br>13,733|



26 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 4. **Investment income** 

|Income from UK listed investments (gross)<br>Interest on funds deposited on bank reserve<br>accounts|_2025_<br>_£_<br>283,285<br>42,229<br> <br>325,514|_2024_<br>_£_<br>252,138<br>1,128<br>253,266|
|---|---|---|



## 5. **Bequests and donations** 

During the year significant bequests and donations were gratefully received from the following: 

The Estate of the late J Gilbert, the Estate of the late D Blamires, Purposeful Ventures, The Leverhulme Trust, The Oglesby Charitable Trust, The LHR Charitable Foundation, The Haworth Trust, The Zochonis Charitable Trust, The Albert and Eugenie Frost Charitable Trust CIO, Hulme Trust Estates, The Beaverbrooks Charitable Trust, Association of British Orchestras (Sirens Fund), Mr D Gaskill, Mr & Mrs B & N Doyle, Mr & Mrs P & J Folkman, Mr & Mrs P & R Jackson. Donations and bequests were also received from many other sources and the Feoffees and School Governors wish to express their sincere gratitude to all donors. 

## 6. 

## **Ancillary activities** 

|**Charitable activities**<br>Concert income<br>Summer Music School<br>Piano Summer School<br>Sundry income<br>Insurance claims|_2025_<br>_£_<br>9,798 <br>115,490 <br>322,920 <br>40,577 <br>807,145 <br>1,295,930|_2024_<br>_£_<br>7,960<br>28,097<br>306,400<br>82,868<br>700,000<br>1,125,325|
|---|---|---|



## 7. 

## **Expenditure** 

||_2025_|_2024_|
|---|---|---|
||_£_|_£_|
|Charitable expenditure includes:|||
|Depreciation of fixed assets|1,199,068|1,254,038|
|Auditors’ remuneration: audit services|38,145|24,390|
|Non-audit services|(5,050)|6,322|
|Operating lease costs|30,256|30,659|



The above excludes rent of £627,000 (2024: £627,000) paid by Chetham’s School of Music to Chetham’s Hospital which is eliminated by way of transfers between funds (note 10). 

27 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 8. **Employment costs** 

|Wages and salaries<br>Social security costs<br>Pension contributions|_2025_ <br>_£_ <br>6,951,140 <br>699,922 <br>1,168,247<br>8,819,309|_2024_<br>_£_<br>7,006,031<br>631,217<br>1,122,773<br>8,760,021|
|---|---|---|



The average monthly number of employees in the year was 334 (2024: 339) of which 150 (2024: 164) were teaching staff. 

The key management personnel comprise the two Joint Principals, the Director of Finance, and Chetham’s Librarian. 

The total employment benefits of the key management personnel were £488,579 (2024: £463,317). Total employment benefits include gross salaries, employer’s National Insurance Contributions, employer’s pension contributions, benefits in kind and Class 1A National Insurance Contributions on those benefits in kind. 

During the year, there were Feoffees expenses totalling £456 (2024: £Nil). 

The number of employees whose emoluments exceeded £60,000 was as follows: 

||_2025_|_2024_|
|---|---|---|
||_No._|_No._|
|£60,001 to £70,000|14|18|
|£70,001 to £80,000|9|9|
|£80,001 to £90,000|6|3|
|£90,001 to £100,000|4|3|
|£100,001 to £110,000|4|2|



Contributions paid in the year for the provision of defined benefit schemes for higher paid employees were £482,999 (2024: £401,031) and for money purchase pension schemes for higher paid employees were £78,911 (2024: £51,651). There are 8 (2024 – 6) higher paid employees to whom retirement benefits are accruing under money purchase schemes and 29 (2024: 29) higher paid employees in defined benefit schemes. 

28 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

**For the year ended 31 August 2025** 

## 9. **Analysis of total resources expended** 

|**_Cost of generating funds_**<br>Fundraising<br>Publicity<br>Conference, facility hire and<br>trading costs<br>Financing costs<br>Investment management costs<br>**_Charitable activities_**<br>Teaching costs – academic<br>Teaching costs - music<br>Welfare<br>Premises<br>Scholarships & Bursaries<br>Grants, awards & prizes<br>Library costs<br>Governance costs|_Staff_<br>_costs_<br>_£_<br>_Other_<br>_costs_<br>_£_<br>139,754<br>63,005<br>-<br>21,293<br>483,442<br>472,521<br>95,362<br>-<br>58,495|_Depreciation_<br>_£_<br>_Total_<br>_2025_<br>_£_<br>_Total_<br>_2024_<br>_£_<br>-<br>202,759<br>231,285<br>-<br>21,293<br>60,281<br>-<br>-<br>955,963<br>95,362<br>837,859<br>128,130<br>-<br>58,495<br>58,620|
|---|---|---|
||623,196<br>710,676|-<br>1,333,872<br>1,316,175|
||2,149,282<br>230,218<br>3,899,572<br>445,694<br>983,443<br>1,149,757<br>992,230<br>2,560,362<br>-<br>800,417<br>-<br>10,471<br>170,012<br>32,472|-<br>2,379,500<br>2,369,482<br>-<br>4,345,266<br>4,419,713<br>-<br>2,133,200<br>2,067,341<br>1,199,068<br>4,751,660<br>4,609,921<br>-<br>800,417<br>619,160<br>-<br>10,471<br>8,600<br>-<br>202,484<br>214,616|
||8,194,539<br>5,229,391|1,199,068<br>14,622,998<br>14,308,833|
||1,574<br>232,136|-<br>233,710<br>144,518<br>1,199,068<br>16,190,580<br>15,769,526|
||8,819,309<br>6,172,203||



Conference and facility hire includes £Nil (2024: £2,824) in relation to Chetham’s Hall Limited and £951,433 (2024: £772,172) in relation to Chetham’s Trading Limited. 

29 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 9. **Analysis of total resources expended (continued)** 

Total resources expended is £1,233,775 (2024: £1,177,477) in respect of support costs detailed below, that have been allocated to the above expense headings. 

|**Support Costs**<br>Management<br>Administration<br>Recruitment<br>Office costs<br>IT<br>Legal and professional<br>Insurance|_Hospital_<br>_£_<br>_School_<br>_£_<br>_Library_<br>_£_<br>_Total_<br>_2025_<br>_£_<br>_Total_<br>_2024_<br>_£_<br>-<br>100,072<br>-<br>100,072<br>276,204<br>-<br>392,119<br>170,012<br>562,131<br>355,365<br>-<br>34,853<br>-<br>34,853<br>38,239<br>-<br>46,082<br>3,111<br>49,193<br>3,481<br>444<br>82,695<br>13,730<br>96,869<br>148,763<br>10,378<br>84,156<br>-<br>94,534<br>186,924<br>171,338<br>124,785<br>-<br>296,123<br>168,501<br>182,160<br>864,762<br>186,853<br>1,233,775<br>1,177,477|
|---|---|



## 10. **Transfers between funds** 

|**_Hospital_**<br>Rent from School<br>**_School_**<br>Rent paid to Hospital<br>**TOTAL**|_Unrestricted Funds_<br>_Restricted_<br>_Endowment_<br>_Total_<br>_General_<br>_£_<br>_Designated_<br>_£_<br>_Funds_<br>_£_<br>_Funds_<br>_£_<br>_Funds_<br>_£_<br>627,000<br>-<br>-<br>-<br>627,000|
|---|---|
||627,000<br>-<br>-<br>-<br>627,000|
||(627,000)<br>-<br>-<br>-<br>(627,000)|
||(627,000)<br>-<br>-<br>-<br>(627,000)|
||-<br>-<br>-<br>-<br>-|



30 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 11. **Tangible fixed assets** 

Group and Charity 

|Cost:<br>At 1 September 2024<br>Additions<br>At 31 August 2025<br>Depreciation:<br>At 1 September 2024<br>Charge for the year<br>At 31 August 2025<br>Net book value:<br>At 31 August 2025<br>At 1 September 2024|_Heritage_<br>_Freehold_<br>_Furniture,_<br>_Assets_<br>_£_<br>_Property_<br>_£_<br>_Fittings,_<br>_Plant &_<br>_Equipment_<br>_£_<br>_Instruments_<br>_£_<br>_Total_<br>_£_<br>115,000<br>45,474,619<br>1,115,028<br>667,575<br>47,372,222<br>-<br>101,210<br>187,123<br>-<br>288,333|
|---|---|
||115,000<br>45,575,829<br>1,302,151<br>667,575<br>47,660,555|
||-<br>13,361,028<br>831,201<br>424,952<br>14,617,181<br>-<br>955,786<br>100,303<br>142,979<br>1,199,068|
||-<br>14,316,814<br>931,504<br>567,931<br>15,816,249|
||115,000<br>31,259,015<br>370,647<br>99,644<br>31,844,306<br>115,000<br>32,113,591<br>283,827<br>242,623<br>32,755,041|



The cost of tangible fixed assets includes the cost of land at Walkers Croft, which was purchased in March 2008 with the support of a grant from the North West Development Agency (NWDA). This piece of land is secured by legal charges in favour of NatWest as security for the 2011 bank loan. 

The Heritage assets are predominantly the Library Collection as in Note 1. There were no heritage asset additions or donations during the year (2024: none). 

31 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 12. **Investments** 

Group and Charity 

||_Restricted_|_Unrestricted_|_Endowment_||
|---|---|---|---|---|
||_Funds_|_Funds_|_Funds_|_Total_|
||_£_|_£_|_£_|_£_|
|Balance at 1 September 2024|5,882,399|1,421,978|3,606,390|10,910,767|
|Additions|628,219|160,735|433,631|1,222,585|
|Disposals|(626,423)|(182,153)|(328,432)|(1,137,008)|
|Revaluation gains/(losses)|192,732|34,832|(12,382)|215,182|
|Change in amounts awaiting|||||
|investment|(38,407)|(6,636)|(66,261)|(111,304)|
|Balance at 31 August 2025|6,038,520|1,428,756|3,632,946|11,100,222|
|Historical cost of listed<br>investments|4,416,355|1,534,025|2,627,454|8,577,834|
|Listed on stock exchange|6,000,113|1,422,120|3,566,685|10,988,918|
|Cash holding|38,407|6,636|66,261|111,304|
||6,038,520|1,428,756|3,632,946|11,100,222|



All investments are held to provide an investment return. 

## 13. **Debtors** 

|Debtors – Fees<br>Other debtors<br>Prepayments<br>Accrued income<br>Amounts due from group undertakings|_Group_<br>_2025_<br>_£_<br>257,088<br>147,061<br>62,262<br>259,121<br>-<br>725,532|_Restated_<br>_Group_<br>_2024_<br>_£_<br>284,244<br>47,899<br>106,492<br>-<br>-<br>438,635|_Charity_<br>_2025_<br>_£_<br>257,088<br>108,530<br>51,673<br>6,305<br>734,026<br>1,157,622|_Restated_<br>_Charity_<br>_2024_<br>_£_<br>223,328<br>47,664<br>95,655<br>-<br>1,530,936<br>1,897,583|
|---|---|---|---|---|



A total of £21,123 (2024: £Nil) was written off in the year for bad debts and a £Nil increase was made in the provision (2024: £Nil). 

32 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

## **NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 14. **Creditors:** amounts falling due within one year 

|14.<br>**Creditors:**amounts falling due within one year|||||
|---|---|---|---|---|
|Trade creditors<br>Accruals<br>Social security and other taxes<br>Other creditors<br>Amounts due to group undertakings<br>Bank loans<br>15.<br>**Creditors:**amounts falling due after more than one year<br>Bank loans|_Group_<br>_2025_<br>_£_<br>941,175<br>267,530<br>224,617<br>489,026<br>-<br>1,280,786|_Restated_<br>_Group_<br>_2024_<br>_£_<br>615,323<br>84,933<br>38,662<br>711,875<br>-<br>1,499,468|_Charity_<br>_2025_<br>_£_<br>849,214<br>114,494<br>210,407<br>305,684<br>179,433<br>1,280,786|_Restated_<br>_Charity_<br>_2024_<br>_£_<br>612,698<br>-<br>14,999<br>611,001<br>663,683<br>1,499,468|
||3,203,134<br>_Group_<br>_2025_<br>_£_<br>-<br>-|2,950,261<br>_Restated_<br>_Group_<br>_2024_<br>_£_<br>-<br>-|2,940,018<br>_Charity_<br>_2025_<br>_£_<br>-<br>-|3,401,849|
|||||_Restated_<br>_Charity_<br>_2024_<br>_£_<br>-<br>-|



A bank loan of £3,000,000 was taken out in May 2011 for a 20 year period to help to finance the construction of the New School Building. The loan interest is fixed at 6.4% for the life of the loan. 

The loan is secured by first legal mortgages over the freehold land on the north side of Long Millgate, Manchester and over the freehold property of the Hospital and Library, together with the land on Walkers Croft where the New School Building is situated. 

The total bank loans outstanding at 31 August 2025 amounted to £1,280,786 (2024: £1,499,468). 

The charity breached a covenant attached to its bank loan facility. As a result of the breach, the lender had the contractual right to demand immediate repayment of the outstanding balance at the reporting date. In accordance with FRS 102, the outstanding loan balance of £1,280,786 (Restated 2024: £1,499,468) has been classified as a current liability in the balance sheets. 

Subsequent to the year end, the charity engaged with the lender regarding the covenant breach. On 6 January 2026, the lender confirmed that the agreement will continue as originally agreed. As at the date the financial statements were authorised for issue, the covenant breach had not been formally remedied and no waiver had been received from the lender, however the lender has agreed not to exercise its right in relation to the breach to demand repayment of the loan and all other sums payable under the agreement. 

33 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 16. **Allocation of the charity’s net assets** 

The net assets are held for the various funds as follows: 

|Group<br>**_Hospital_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_School_**<br>Unrestricted<br>Restricted<br>**_Library_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_Total_**<br>Unrestricted<br>Restricted<br>Endowment|_Fixed_<br>_Assets_<br>_Investments_<br>_Net current_<br>_assets/_<br>_(liabilities)_<br>_Long term_<br>_liabilities_<br>_Total_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>1,761,300<br>-<br>1,326,713<br>-<br>3,088,013<br>28,035,944<br>399,463<br>(2,068,667)<br>-<br>26,366,740<br>-<br>807,042<br>33,661<br>-<br>840,703|
|---|---|
||29,797,244<br>1,206,505<br>(708,293)<br>-<br>30,295,456|
||1,932,062<br>1,399,256<br>1,678,774<br>-<br>5,010,092<br>-<br>5,639,057<br>(283,325)<br>-<br>5,355,732<br>-|
||1,932,062<br>7,038,313<br>1,395,449<br>-<br>10,365,824|
||115,000<br>29,500<br>125,487<br>-<br>269,987<br>-<br>-<br>30,235<br>-<br>30,235<br>-<br>2,825,904<br>95,955<br>-<br>2,921,859|
||115,000<br>2,855,404<br>251,677<br>-<br>3,222,081|
||3,808,362<br>1,428,756<br>3,130,974<br>-<br>8,368,092<br>28,035,944<br>6,038,520<br>(2,321,757)<br>-<br>31,752,707<br>-<br>3,632,946<br>129,616<br>-<br>3,762,562<br>31,844,306<br>11,100,222<br>938,833<br>-<br>43,883,361|



34 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

**For the year ended 31 August 2025** 

## 16. **Allocation of the charity’s net assets (continued)** 

|Charity<br>**_Hospital_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_School_**<br>Unrestricted<br>Restricted<br>**_Library_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_Total_**<br>Unrestricted<br>Restricted<br>Endowment|_Fixed_<br>_Assets_<br>_Investments_<br>_Net current_<br>_assets/_<br>_(liabilities)_<br>_Long term_<br>_liabilities_<br>_Total_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>1,761,300<br>100<br>1,333,693<br>-<br>3,095,093<br>28,035,944<br>399,463<br>(2,068,667)<br>-<br>26,366,740<br>-<br>807,042<br>33,661<br>-<br>840,703|
|---|---|
||29,797,244<br>1,206,605<br>(701,313)<br>-<br>30,302,536|
||1,932,062<br>1,399,356<br>1,817,782<br>-<br>5,149,200<br>-<br>5,639,057<br>(283,325)<br>-<br>5,355,732<br>-|
||1,932,062<br>7,038,413<br>1,534,457<br>-<br>10,504,932|
||115,000<br>29,500<br>125,487<br>-<br>269,987<br>-<br>-<br>30,235<br>-<br>30,235<br>-<br>2,825,904<br>95,955<br>-<br>2,921,859|
||115,000<br>2,855,404<br>251,677<br>-<br>3,222,081|
||3,808,362<br>1,428,956<br>3,276,962<br>-<br>8,514,280<br>28,035,944<br>6,038,520<br>(2,321,757)<br>-<br>31,752,707<br>-<br>3,632,946<br>129,616<br>-<br>3,762,562<br>31,844,306<br>11,100,422<br>1,084,821<br>-<br>44,029,549|



## 17. **Endowment funds** 

Group and Charity 

|**Hospital**<br>Investment<br>Replacement Sinking<br>Funds<br>EF Jacob Endowment<br>Fund<br>**Library**<br>Grants from Heritage<br>Lottery Fund<br>**Total**|_Balance at 1_<br>_September_<br>_Incoming_<br>_Resources_<br>_Investment_<br>_Transfers_<br>_between_<br>_Balance at_<br>_31 August_<br>_2024_<br>_Resources_<br>_expended_<br>_gains/(losses)_<br>_funds_<br>_2025_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>686,360<br>5,789<br>-<br>2,971<br>-<br>695,120<br>145,583<br>-<br>-<br>-<br>-<br>145,583|
|---|---|
||831,943<br>5,789<br>-<br>2,971<br>840,703|
||2,784,111<br>96,841<br>(16,655)<br>57,562<br>-<br>2,921,859|
||3,616,054<br>102,630<br>(16,655)<br>60,533<br>-<br>3,762,562|



35 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

**NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## **Hospital** 

## _**Investment Replacement Sinking Funds**_ 

Under Schemes approved by the Charity Commissioners, Hospital investments worth £183,340 were sold between 1981 and 1992 in order to provide finance for major capital purposes, subject to the restoration of the original sums by means of annual investments through Sinking Funds. This was achieved during the year to 31[st ] August 2014 and the Schemes have been discharged. 

## _**E F Jacob Endowment Fund**_ 

A fund for the general benefit of the Hospital. Any income generated is credited to unrestricted reserves. 

## **Library** 

## _**Endowment Fund**_ 

The Heritage Lottery Fund grants were given in order to provide substantially improved investment income and thereby to enable improved facilities in the Library. Accordingly, investment income and realised gains, together with expenditure therefrom, are included as part of General Fund movements in the Statement of Financial Activities. 

36 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 18. **Restricted funds** 

|Group and Charity<br>**Hospital**<br>Capital Fund - Millgate Extension<br>Capital Fund - New Land<br>Capital Fund - New School Building<br>Capital Fund – Nicholls Conversion<br>Capital Fund – Concert Hall<br>Improvements Fund<br>New School Development Fund<br>Concert Hall Fund<br>Instrument Fund<br>Nicholls Fund<br>Miscellaneous Fund<br>**School**<br>Vernon Farley Fund<br>Hazel Smith Fund<br>Ida Carroll Fund<br>Hospital Prize Fund<br>Kolbert Music Prize Fund<br>Academic Prizes Fund<br>Music Prizes Fund<br>David Hartigan Memorial Piano<br>Fund<br>Neil Vint Bursary Fund<br>Milne Fund<br>Bursary Fund<br>Bateson Family Bursary Fund<br>Leverhulme Trust Bursary Fund<br>Oglesby Bursary Fund<br>2022 matches Funding Bursary<br>Fund<br>Tony and Tania Music Prize Fund<br>Hospitallers Camp Fund<br>Mellor Endowment Fund<br>Amy Watson Endowment Fund<br>Stoller Bursary Fund<br>Ethel Kerry Bursary Fund<br>Hardship Fund<br>Co-op Fund<br>Miscellaneous Restricted Fund<br>Opera Vocal Course<br>David Gaskill Fund<br>Friends of Chetham's Fund<br>Chets in London Fund<br>Stoller Hall Fund<br>50thAnniversary Fund<br>Confucius Classroom Fund<br>Piano Summer School Fund<br>Capital Fund - Instruments<br>Grants and Other Income Fund<br>Leverhulme Trust Summer School<br>Bursary|_Balance at 1_<br>_Incoming_<br>_Resources_<br>_Transfers_<br>_between_<br>_Investment_<br>_gains/_<br>_Balance at 31_<br>_September 2024_<br>_resources_<br>_expended_<br>_funds_<br>_(losses)_<br>_August 2025_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>816,516<br>-<br>(39,670)<br>-<br>-<br>776,846<br>4,500,000<br>-<br>-<br>-<br>-<br>4,500,000<br>16,408,975<br>-<br>(585,832)<br>-<br>-<br>15,823,143<br>542,409<br>-<br>(18,506)<br>-<br>-<br>523,903<br>6,457,048<br>-<br>(197,664)<br>-<br>-<br>6,259,384<br>22,569<br>-<br>-<br>-<br>-<br>22,569<br>(1,595,765)<br>7,411<br>-<br>-<br>-<br>(1,588,354)<br>(196,986)<br>-<br>-<br>-<br>-<br>(196,986)<br>202,820<br>8,333<br>-<br>-<br>2,187<br>213,340<br>32,601<br>-<br>-<br>-<br>-<br>32,601<br>294<br>-<br>-<br>-<br>-<br>294|
|---|---|
||27,190,481<br>15,744<br>(841,672)<br>-<br>2,187<br>26,366,740|
||12,287<br>-<br>(600)<br>-<br>-<br>11,687<br>-<br>-<br>-<br>-<br>-<br>-<br>(2,769)<br>-<br>(3,000)<br>-<br>-<br>(5,769)<br>81,525<br>-<br>(1,545)<br>-<br>-<br>79,980<br>1,968<br>-<br>-<br>-<br>-<br>1,968<br>325<br>-<br>-<br>-<br>-<br>325<br>101<br>1,338<br>-<br>-<br>(1,795)<br>-<br>-<br>-<br>-<br>-<br>(1,694)<br>1,338<br>29,570<br>-<br>(1,000)<br>-<br>-<br>28,570<br>247,103<br>-<br>(309)<br>-<br>-<br>246,794<br>2,107,217<br>134,639<br>(349,755)<br>-<br>257,017<br>2,149,118<br>595,309<br>-<br>-<br>-<br>-<br>595,309<br>19,046<br>80,000<br>(99,046)<br>-<br>-<br>-<br>3,255<br>18,796<br>-<br>5,146<br>-<br>-<br>-<br>-<br>-<br>-<br>3,255<br>23,942<br>5,000<br>-<br>-<br>-<br>-<br>5,000<br>9,613<br>-<br>-<br>-<br>-<br>9,613<br>5,345<br>-<br>-<br>-<br>-<br>5,345<br>24,551<br>-<br>-<br>-<br>-<br>24,551<br>14,304<br>-<br>-<br>-<br>-<br>14,304<br>1,620,222<br>65<br>(322,317)<br>-<br>-<br>1,297,970<br>55,945<br>5,496<br>(22,965)<br>-<br>-<br>38,476<br>415<br>-<br>-<br>-<br>-<br>415<br>95,912<br>7,500<br>3,190<br>-<br>(250)<br>-<br>-<br>-<br>-<br>-<br>98,852<br>7,500<br>32,084<br>25,000<br>-<br>-<br>-<br>57,084<br>19,522<br>925<br>-<br>-<br>-<br>20,447<br>2,339<br>-<br>-<br>-<br>-<br>2,339<br>40,127<br>-<br>-<br>-<br>-<br>40,127<br>34,758<br>-<br>(3,056)<br>-<br>-<br>31,702<br>114,892<br>3,620<br>(5,025)<br>-<br>-<br>113,487<br>235,872<br>-<br>(860)<br>-<br>-<br>235,012<br>7,083<br>-<br>-<br>-<br>-<br>7,083<br>170,084<br>45,680<br>(4,162)<br>-<br>-<br>211,602<br>-<br>-<br>-<br>-<br>-<br>-|
||5,610,639<br>303,761<br>(815,685)<br>-<br>257,017<br>5,355,732|



37 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II** 

## **NOTES TO THE FINANCIAL STATEMENTS** 

## **For the year ended 31 August 2025** 

## 18. **Restricted funds (continued)** 

|**Library**<br>J Paul Getty Fund<br>Miscellaneous Restricted Fund<br>Library Patrons Fund<br>Arts and Heritage Fund<br>Heritage Compass Fund<br>Conservation Project Fund<br>Peter Folkman Fund<br>Total|_Balance at 1_<br>_Transfers_<br>_Balance at_<br>_September_<br>_Incoming_<br>_Resources_<br>_Between_<br>_Investments_<br>_31 August_<br>_2024_<br>_resources_<br>_expended_<br>_funds_<br>_gains/(losses)_<br>_2025_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>-<br>-<br>-<br>-<br>-<br>-<br>1,710<br>-<br>-<br>-<br>-<br>1,710<br>138<br>387<br>-<br>-<br>-<br>525<br>2,470<br>-<br>-<br>-<br>-<br>2,470<br>710<br>-<br>-<br>-<br>-<br>710<br>4,850<br>-<br>-<br>-<br>-<br>4,850<br>-<br>20,000<br>(30)<br>-<br>-<br>19,970|
|---|---|
||9,878<br>20,387<br>(30)<br>-<br>-<br>30,235|
|||
||32,810,998<br>339,892<br>(1,657,387)<br>-<br>259,204<br>31,752,707|



38 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 18. **Restricted funds (continued)** 

## **Hospital** 

## _**Building Funds**_ 

## _Capital Fund - Millgate Extension_ 

A fund which represents the depreciated capital cost of the Millgate Extension. 

## _Capital Fund – New Land_ 

A fund which represents the capital value of the new land purchased in 2008 (note 11). 

## _Capital Fund – New School Building_ 

A fund which represents the depreciated capital value of the New School Building. 

## _Capital Fund – Nicholls Conversion_ 

A fund which represents the depreciated capital value of the Nicholls Conversion. 

## _Capital Fund – Concert Hall_ 

A fund which represents the depreciated capital value of the Concert Hall. 

## _Improvements Fund_ 

A fund established from the proceeds of donations from a major anonymous Trust, for use at the discretion of the Feoffees for major improvements. 

## _New School Development Fund_ 

An appeal fund for use in furthering the New School Development Project. This fund is in deficit at 31 August 2025 as expenditure has been incurred in advance of expected income being received. The Feoffees intend to clear this deficit with the receipt of relevant donations and by annual transfers from the Hospital’s Unrestricted Fund. 

## _Concert Hall Fund_ 

A fund established for the construction of the School’s New Concert Hall. This fund is in deficit at 31 August 2025 as expenditure has been incurred in advance of expected income being received. The Feoffees intend to clear this deficit with the receipt of relevant donations and by annual transfers from the School’s Unrestricted Fund. 

## _**Other Funds**_ 

## _Instrument Fund_ 

A fund established to give financial assistance to parents of students at the School wishing to purchase new instruments. 

## _Nicholls Fund_ 

A fund that can be used either to give hardship awards to parents in financial difficulties, or towards the maintenance of the Foundation’s buildings. 

## _Miscellaneous Restricted Fund_ 

This fund comprises various miscellaneous and small funds, to be used for a variety of charitable purposes. 

39 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## **Restricted funds (continued)** 

## **School** 

## _Vernon Farley Fund_ 

A fund established in order to make annual prizes for piano-playing and sight-reading. 

## _Hazel Smith Fund_ 

A prize or Bursary awarded annually to a Lower School student who plays piano, woodwind or a string instrument and whose family is in financial need. 

## _Ida Carroll Fund_ 

Prizes awarded annually to double bass players. 

## _Hospital Prize Fund, Kolbert Music Prize Fund, Academic Prizes Fund, Music Prizes Fund_ 

Prizes awarded to students each Speech Day under the terms of a variety of trust funds established by various donors. 

## _David Hartigan Memorial Piano Fund_ 

A fund established in order to make annual awards to deserving piano students of Chetham’s School. 

## _Neil Vint Bursary Fund_ 

A Bursary awarded annually to former students of Chetham’s School aged between 18 and 25, to help develop their careers. 

## _Milne Fund_ 

This fund was established to help students in financial difficulty and to support the development of the School’s facilities. 

## _Bursary Fund_ 

This fund was established to help students who are in need of financial assistance. 

## _Bateson Family Bursary Fund_ 

A fund established for the estate of the late Michael Bateson to provide Bursaries for students at the School who are in financial need. 

## _Andrew Lloyd Webber Foundation Bursary Fund_ 

A fund established to support students at Chetham’s who require financial assistance. 

## _Leverhulme Trust Bursary Fund_ 

A fund established to support students at Chetham’s who require financial assistance. 

## _Oglesby Bursary Fund_ 

A fund established by the Oglesby Charitable Trust, providing Bursary support to Chetham’s students. 

## _2022 Matched Funding Bursary Fund_ 

A fund established to support Ukrainian students at the school. 

## _Tony and Tania Music Prize Fund_ 

A fund established to provide Bursary support to school students. 

## _Hospitallers “Camp” Fund_ 

A fund established in order to assist extra-mural activities. 

_Mellor Endowment and Amy Watson Endowment Funds_ These funds are to provide benefits for the School. 

40 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 18. **Restricted funds (continued)** 

## _John Shaw Bursary Fund_ 

A fund to provide Bursary support to students from Lancashire or Yorkshire. 

## _Stoller Bursary Fund_ 

A fund established by the Stoller Charitable Trust to support students who live in Oldham. 

## _Ethel Kerry Bursary Fund_ 

A fund established from the estate of the late Ethel Kerry, to provide Bursaries for students who live in Lancashire, Yorkshire, Cumbria and Scotland. 

## _Hardship Fund_ 

A fund established to provide support to students at the School who are in financial need. 

## _Co-op Fund_ 

A fund established to help the School. 

## _Miscellaneous Restricted Fund_ 

This fund comprises miscellaneous small restricted funds for a variety of uses. 

## _David Gaskill Fund_ 

A fund established for 2024/25 and 2025/26 to support creative engagement projects (specifically online workshops, increasing participation and skills development). 

## _Brendan and Nicola Doyle (Opera Project)_ 

A fund established for 2 years to support Opera and Stagecraft courses for Chetham’s students (2023/24 and 2024/25). 

## _Friends of Chetham’s Fund_ 

A fund to support the advancement of education of students at Chetham’s by funding projects and facilities as the School requires. 

## _Chets in London Fund_ 

A fund to support the School. 

## _Stoller Hall Fund_ 

A fund to support the costs of running the Stoller Hall. 

## _50[th ] Anniversary Fund_ 

A fund established to support the work of the School in a variety of ways. 

## _Capital Fund – Instruments_ 

A fund representing the depreciated capital value of instruments purchased using the Instrument Fund. This fund is now fully expended. 

## _Confucius Classroom Fund_ 

A fund established for the costs of establishing the Confucius Classroom. 

## _Piano Summer School Fund_ 

A fund established from the surplus generated by the running of the annual Piano Summer School. The fund is to enable the Piano department to facilitate further Summer Schools, to support piano students and to purchase instruments. 

41 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 18. **Restricted funds (continued)** 

## _Grants and Other Income Fund_ 

This fund shows grants and other restricted income received for specific charitable purposes such as outreach events and conferences, and specific support for individual students. 

## **Library** 

## _J Paul Getty Fund_ 

This is a fund for the conservation of Library material. This fund is now fully expended. 

## _Miscellaneous Restricted Fund_ 

This is a fund established for miscellaneous restricted donations. 

## _Library Patrons Fund_ 

This fund is for donations made by Library Patrons and the income is transferred each year to the unrestricted General Fund. 

## _Karl Marx Recording Project Fund_ 

This is a fund established with a grant from the Lipman Miliband Trust for digitising and making facsimiles of the books used by Marx when he visited the Library.- This fund is now fully expended. 

## _Arts and Heritage Fund_ 

This is a fund established for an art installation in the Library. 

## _Booth Charities Fund_ 

This is a fund established for a project on the history of Salford. This fund is now fully expended. 

## _Hills Archive Fund_ 

This is a fund established to meet the expenses of cataloguing the Hills Archive Collection. This fund is now fully expended. 

## _HLF Project Fund_ 

This is a fund established to support the HLF application for the visitor attraction project. This fund is now fully expended. 

## _Heritage Compass Fund_ 

A fund established to provide training support for two development departments. 

## _Conservation Project Fund_ 

A fund established to support the conservation work of the library. 

## _Peter Folkman Fund_ 

A fund established to support the Creative Engagement work at Chetham’s Library. 

42 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 19. **Unrestricted funds** 

|Group<br>**_Hospital_**<br>General Fund<br>Designated funds:<br>Palatine Demolition<br>Fund<br>**_School_**<br>General Fund<br>Designated funds:<br>Chiller Unit Fund<br>Millgate Building<br>Refurbishment Fund<br>Dining Room<br>Refurbishment Fund<br>Chesters Bequest<br>Fund<br>Organ Cash<br>Settlement Fund<br>Whiteley Hall Fund<br>Music Department &<br>Tour Fund<br>**_Library_**<br>General Fund<br>David Blamires Fund|_Restated_<br>_Balance at 1_<br>_September_<br>_2024_<br>_£_<br>_Incoming_<br>_resources_<br>_£_<br>_Resources_<br>_expended_<br>_£_<br>_Transfers_<br>_between_<br>_funds_<br>_£_<br>_Investment_<br>_gains/_<br>_(losses)_<br>_£_<br>_Balance at_<br>_31 August_<br>_2025_<br>_£_<br>3,038,814<br>(228,907)<br>672,145<br>(394,039)<br>-<br>-<br>-<br>-<br>-<br>3,316,920<br>(228,907)|
|---|---|
||2,809,907<br>672,145<br>(394,039)<br>-<br>-<br>3,088,013|
||4,515,940<br>13,181,198<br>(13,931,684)<br>744,173<br>48,855<br>4,558,482<br>30,000<br>-<br>-<br>-<br>-<br>30,000<br>-<br>-<br>-<br>-<br>-<br>-<br>91,725<br>-<br>-<br>-<br>-<br>91,725<br>257,173<br>-<br>-<br>(257,173)<br>-<br>-<br>487,000<br>-<br>-<br>(487,000)<br>-<br>-<br>330,790<br>-<br>-<br>-<br>-<br>330,790<br>(905)<br>-<br>-<br>-<br>-<br>(905)|
||5,711,723<br>13,181,198<br>(13,931,684)<br>-<br>48,855<br>5,010,092|
||226,474<br>137,473<br>(204,548)<br>-<br>588<br>159,987<br>110,000<br>-<br>-<br>-<br>-<br>110,000|
||336,474<br>137,473<br>(204,548)<br>-<br>588<br>269,987|
|||
||8,858,104<br>13,990,816<br>(14,530,271)<br>-<br>49,443<br>8,368,092|



43 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 19. **Unrestricted funds** 

|Charity<br>**_Hospital_**<br>General Fund<br>Designated funds:<br>Palatine Demolition<br>Fund<br>**_School_**<br>General Fund<br>Designated funds:<br>Chiller Unit Fund<br>Millgate Building<br>Refurbishment Fund<br>Dining Room<br>Refurbishment Fund<br>Chesters Bequest<br>Fund<br>Organ Cash<br>Settlement Fund<br>Whiteley Hall Fund<br>Music Department &<br>Tour Fund<br>**_Library_**<br>General Fund<br>David Blamires Fund|_Restated_<br>_Balance at 1_<br>_September_<br>_2024_<br>_£_<br>_Incoming_<br>_resources_<br>_£_<br>_Resources_<br>_expended_<br>_£_<br>_Transfers_<br>_between_<br>_funds_<br>_£_<br>_Investment_<br>_gains/_<br>_(losses)_<br>_£_<br>_Balance at_<br>_31 August_<br>_2025_<br>_£_<br>3,045,894<br>(228,907)<br>672,145<br>(394,039)<br>-<br>-<br>-<br>-<br>-<br>3,324,000<br>(228,907)|
|---|---|
||2,816,987<br>672,145<br>(394,039)<br>-<br>-<br>3,095,093|
||4,502,107<br>12,372,962<br>(12,970,507)<br>744,173<br>48,855<br>4,697,590<br>30,000<br>-<br>-<br>-<br>-<br>30,000<br>-<br>-<br>-<br>-<br>-<br>-<br>91,725<br>-<br>-<br>-<br>-<br>91,725<br>257,173<br>-<br>-<br>(257,173)<br>-<br>-<br>487,000<br>-<br>-<br>(487,000)<br>-<br>-<br>330,790<br>-<br>-<br>-<br>-<br>330,790<br>(905)<br>-<br>-<br>-<br>-<br>(905)|
||5,697,890<br>12,372,962<br>(12,970,507)<br>-<br>48,855<br>5,149,200|
||226,474<br>137,473<br>(204,548)<br>-<br>588<br>159,987<br>110,000<br>-<br>-<br>-<br>-<br>110,000|
||336,474<br>137,473<br>(204,548)<br>-<br>588<br>269,987|
|||
||8,851,351<br>13,182,580<br>(13,569,094)<br>-<br>49,443<br>8,514,280|



44 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS** 

**For the year ended 31 August 2025** 

## 19. **Unrestricted funds (continued)** 

## **Hospital** 

## _Palatine Demolition Fund_ 

A fund established for the costs of demolishing the Palatine Building. This fund is in deficit at 31 August 2025 as expenditure has been incurred in advance of expected income being received. The Feoffees intend to clear this Fund’s deficit with the receipt of relevant donations and by annual transfers from the Hospital’s Unrestricted Fund. 

## **School** 

## _Chiller Unit Fund_ 

A fund established to provide resources for replacing the Chiller Unit in the New School Building at the end of its useful life. 

## _Millgate Building Refurbishment Fund_ 

A fund established for the refurbishment of the boys’ boarding accommodation and improvements to other areas in the Millgate Building. 

## _Dining Room Refurbishment Fund_ 

A fund established for the refurbishment of the School’s dining room. 

## _Chesters Bequest Fund_ 

A fund established from a bequest to support developments at the school. 

## _Organ Cash Settlement Fund_ 

A fund established to hold the insurance cash settlement for the fire damaged Whiteley Hall Organ. 

## _Music Department Tour Fund_ 

A fund established to manage the costs of overseas Music Department tours. 

## 20. **Pensions arrangements** 

The School participates in the Teachers’ Pension Scheme (“the TPS”) for its teaching staff. The pension charge for the year includes contributions payable to the TPS of £914,330 (2024: £971,982), and at the year-end £120,213 (2024 - £187,881) was accrued in respect of contributions to this scheme. 

The Teachers' Pension Scheme (TPS) is a statutory, contributory, defined benefit scheme, governed by the Teachers’ Pension Scheme Regulations 2014. Membership is automatic for teachers. All teachers have the option to opt-out of the TPS following enrolment. 

The TPS is an unfunded scheme to which both the member and employer makes contributions, as a percentage of salary - these contributions are credited to the Exchequer. Retirement and other pension benefits are paid by public funds provided by Parliament. 

The Government Actuary, using normal actuarial principles, conducts a formal actuarial review of the TPS in accordance with the Public Service Pensions (Valuations and Employer Cost Cap) Directions 2014 published by HM Treasury every 4 years. The aim of the review is to ensure scheme costs are recognised and managed appropriately and the review specifies the level of future contributions. 

45 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS** 

**For the year ended 31 August 2025** 

## 20. **Pension arrangements (continued)** 

Actuarial scheme valuations are dependent on assumptions about the value of future costs, design of benefits and many other factors. The latest actuarial valuation of the TPS was carried out as at 31 March 2020. The valuation report was published by the Department for Education on 27 October 2023, with the SCAPE rate, set by HMT, applying a notional investment return based on 1.7% above the rate of CPI. The key elements of the valuation outcome are: 

- Employer contribution rates set at 28.68% of pensionable pay (including a 0.08% administration levy). This is an increase of 5% in employer contributions and the cost control result is such that no change in member benefits is needed. 

- Total scheme liabilities (pensions currently in payment and the estimated cost of future benefits) for service to the effective date of £262,000 million and notional assets (estimated future contributions together with the notional investments held at the valuation date) of £222,200 million, giving a notional past service deficit of £39,800 million 

The result of this valuation was implemented on 1 April 2024.The next valuation result is due to be implemented from 1 April 2027. 

A copy of the valuation report and supporting documentation is on the Teachers’ Pensions website. 

Under the definitions set out in FRS 102, the TPS is an unfunded multi-employer pension scheme. The School is unable to identify its share of the underlying assets and liabilities of the plan. 

Accordingly, the School has taken advantage of the exemption in FRS 102 and has accounted for its contributions to the scheme as if it were a defined contribution scheme. The School has set out above, the information available on the scheme. 

In addition, a small number of employees are members of the Greater Manchester Pension Fund (“GMPF”). The GMPF is a multi-employer final salary defined benefit scheme and the assets of the School are pooled with similar institutions for actuarial valuation purposes. Accordingly, under FRS 102 the Scheme is accounted for as a defined contribution scheme. 

The pension cost is assessed every three years in accordance with the advice of an independent qualified actuary. The latest actuarial valuation of the scheme was at 31 March 2025 when the market value of the assets of the Scheme was £32,200 million, being 128% of members’ accrued benefits. 

The pension contributions made to the Scheme for the year ended 31 August 2025 were £10,106 (2024: £8,356). The employee contribution rate varied between 5.5% and 6.8% depending upon actual pay levels. The employer contribution rate was 25.4%. 

In addition to the above, the contributions to money purchase schemes amounted to £243,811 (2024: £142,435). 

46 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

**The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 21. **Capital commitments** 

At the year end, the Foundation had capital commitments of £36,000 (2024: £720,970). 

## 22. **Operating lease commitments** 

The School has minimum lease payments under non-cancellable operating leases as follows: 

|Within one year<br>Between two and five years<br>After five years|_Equipment_<br>_2025_<br>_£_<br>_2024_<br>_£_<br>22,883<br>26,175<br>82,034<br>83,491<br>44,801<br>66,227<br>149,718<br>175,893|
|---|---|



## 23. **Financial Instruments** 

|Financial assets measured at amortised cost (a)<br>Financial assets measured at fair value (b)<br>Financial liabilities measured at amortised cost (c)<br>Net financial assets measured at amortised cost|Group<br>2025<br>£000<br>4,126<br>11,100<br>(3,203)<br>12,023|Restated<br>Group<br>2024<br>£000<br>4,563<br>10,911<br>(2,950)<br>12,524|Charity<br>2025<br>£000<br>4,016<br>11,100<br>(2,940)<br>12,176|Restated<br>Charity<br>2024<br>£000<br>5,014<br>10,911<br>(3,402)<br>12,523|
|---|---|---|---|---|



- (a) Financial assets include cash, trade and fee debtors, staff loans, other debtors accrued income and amounts due from subsidiaries 

- (b) Financial assets held at fair value include assets held as investments 

- (c) Financial liabilities include deposits, fees in advance, trade creditors, and other creditors 

Impairment losses charged to financial assets measured at amortised cost in the year amounted to £Nil (2024: £Nil). 

## 24. **Related party transactions** 

During the year, there were Feoffees expenses totalling £456 (2024: £Nil) relating to subsistence. No trustees were reimbursed for these expenses. 

During the year, there were donations from Feoffees totalling £35,000 (2024: £Nil). 

47 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

**The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 25. **Comparative figures from previous financial year** 

## **Statement of financial activities** 

|Transfer between funds<br>10<br>Gains/(losses) on investment assets:<br>Realised gains and losses<br>Unrealised gains and losses<br>**Net movement in funds**<br>Fund balances at 1 September 2023<br>**Fund balances at 31 August 2024**<br>_Notes_<br>**Income from:**<br>**_Charitable activities:_**<br>School fees<br>2<br>Ancillary activities<br>6<br>**_Other trading activities:_**<br>Activities for generating funds<br>**_Investments:_**<br>3<br>Investment income<br>4<br>**_Voluntary sources:_**<br>Bequests and donations<br>5<br>Grants received<br>**Total incoming resources**<br>**Expenditure on:**<br>**_Raising funds_: **<br>Fundraising<br>Publicity<br>Conference, facility hire and trading costs<br>Financing costs<br>Investment management costs<br>**_Charitable activities:_**<br>Teaching costs – academic<br>Teaching costs – music<br>Welfare<br>Premises<br>Scholarships and Bursaries<br>Grants, awards and prizes<br>Library running costs<br>Support and Governance costs<br>**Total resources expended**<br>9<br>**Net income/(expenditure)**|_Hospital_<br>_Funds_<br>_Restated_<br>_School_<br>_Funds_<br>_Library_<br>_Funds_<br>_Restated_<br>_2024_<br>_£_<br>_£_<br>_£_<br>_£_<br>-<br>10,234,331<br>-<br>10,234,331<br>972<br>1,124,353<br>-<br>1,125,325<br>-<br>817,865<br>97,356<br>915,221<br>33,979<br>140,349<br>78,938<br>253,266<br>50,569<br>864,060<br>123,272<br>1,037,901<br>-<br>11,418<br>-<br>11,418|
|---|---|
||85,520<br>13,192,376<br>299,566<br>13,577,462|
||-<br>231,285<br>-<br>231,285<br>-<br>60,281<br>-<br>60,281<br>2,824<br>835,035<br>-<br>837,859<br>102,664<br>25,466<br>-<br>128,130<br>4,500<br>37,700<br>16,420<br>58,620|
||109,988<br>1,189,767<br>16,420<br>1,316,175|
||-<br>2,369,482<br>-<br>2,369,482<br>-<br>4,419,713<br>-<br>4,419,713<br>-<br>2,067,341<br>-<br>2,067,341<br>994,747<br>3,615,174<br>-<br>4,609,921<br>-<br>619,160<br>-<br>619,160<br>-<br>8,600<br>-<br>8,600<br>-<br>-<br>214,616<br>214,616<br>2,995<br>139,022<br>2,501<br>144,518|
||997,742<br>13,238,492<br>217,117<br>14,453,351|
||1,107,730<br>14,428,259<br>233,537<br>15,769,526|
||627,000<br>(627,000)<br>-<br>-<br>(84,678)<br>(413,353)<br>32,473<br>(465,558)<br>126,959<br>742,537<br>185,910<br>1,055,406<br>(1,022,210)<br>(1,235,883)<br>66,029<br>(2,192,064)|
||(352,929)<br>(1,533,699)<br>284,412<br>(1,602,216)<br>31,185,260<br>12,856,061<br>2,846,051<br>46,887,372<br>30,832,331<br>11,322,362<br>3,130,463<br>45,285,156|



48 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

**For the year ended 31 August 2025** 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS** 

## 25. **Comparative figures from previous financial year (continued)** 

## **Analysis of total resources expended** 

|**_Cost of generating funds_**<br>Fundraising<br>Publicity<br>Conference, facility hire and<br>trading costs<br>Financing costs<br>Investment management costs<br>**_Charitable activities_**<br>Teaching costs – academic<br>Teaching costs - music<br>Welfare<br>Premises<br>Scholarships & Bursaries<br>Grants, awards & prizes<br>Library costs<br>Governance costs|_Staff_<br>_costs_<br>_£_<br>_Other_<br>_costs_<br>_£_<br>184,930<br>46,355<br>-<br>60,281<br>455,992<br>381,867<br>128,130<br>-<br>58,620|_Depreciation_<br>_£_<br>_Total_<br>_2024_<br>_£_<br>_Total_<br>_2023_<br>_£_<br>-<br>231,285<br>148,721<br>-<br>60,281<br>118,083<br>-<br>-<br>837,859<br>128,130<br>505,330<br>113,120<br>-<br>58,620<br>48,333|
|---|---|---|
||640,922<br>675,253|-<br>1,316,175<br>933,587|
||2,041,462<br>328,020<br>4,009,512<br>410,201<br>917,042<br>1,150,299<br>961,019<br>2,394,864<br>-<br>619,160<br>-<br>8,600<br>176,132<br>38,484|-<br>2,369,482<br>2,141,324<br>-<br>4,419,713<br>4,241,419<br>-<br>2,067,341<br>1,784,120<br>1,254,038<br>4,609,921<br>3,513,791<br>-<br>619,160<br>634,364<br>-<br>8,600<br>22,542<br>-<br>214,616<br>226,835|
||8,105,167<br>4,949,628|1,254,038<br>14,308,833<br>12,564,395|
||13,932<br>130,586|-<br>144,518 <br>118,202<br>1,254,038<br>15,769,526<br>13,616,184|
||8,760,021<br>5,755,467||



Conference and facility hire includes £2,824 (2023: £4,357) in relation to Chetham’s Hall Limited and £772,172 (2023: £483,852) in relation to Chetham’s Trading Limited. 

Total resources expended is £1,177,477 (2023: £1,156,128) in respect of support costs detailed below, that have been allocated to the above expense headings. 

|**Support Costs**<br>Management<br>Administration<br>Recruitment<br>Office costs<br>IT<br>Legal and professional<br>Insurance|_Hospital_<br>_£_<br>_School_<br>_£_<br>_Library_<br>_£_<br>_Total_<br>_2024_<br>_£_<br>_Total_<br>_2023_<br>_£_<br>-<br>100,072<br>176,132<br>276,204<br>294,896<br>-<br>355,365<br>-<br>355,365<br>300,599<br>-<br>38,239<br>-<br>38,239<br>40,264<br>-<br>3,481<br>-<br>3,481<br>88,142<br>-<br>148,763<br>-<br>148,763<br>153,770<br>3,737<br>181,278<br>1,909<br>186,924<br>66,366<br>80,584<br>87,485<br>432<br>168,501<br>212,091<br>84,321<br>914,683<br>178,473<br>1,177,477<br>1,156,128|
|---|---|



49 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 25. **Comparative figures from previous financial year (continued)** 

## **Allocation of the charity’s net assets** 

The net assets are held for the various funds as follows: 

|_Group 2024_<br>**_Hospital_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_School_**<br>Unrestricted<br>Restricted<br>**_Library_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_Total_**<br>Unrestricted<br>Restricted<br>Endowment|_Fixed_<br>_Assets_<br>_Investments_<br>_Restated_<br>_Net current_<br>_assets/_<br>_(liabilities)_<br>_Restated_<br>_Long term_<br>_liabilities_<br>_Restated_<br>_Total_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>1,761,300<br>3,447<br>1,045,160<br>-<br>2,809,907<br>28,806,947<br>394,953<br>(2,011,419)<br>-<br>27,190,481<br>-<br>807,146<br>24,797<br>-<br>831,943|
|---|---|
||30,568,247<br>1,205,546<br>(941,462)<br>-<br>30,832,331|
||2,071,794<br>1,389,366<br>2,250,563<br>-<br>5,711,723<br>-<br>5,487,446<br>123,193<br>-<br>5,610,639|
||2,071,794<br>6,876,812<br>2,373,756<br>-<br>11,322,362|
||115,000<br>29,165<br>192,309<br>-<br>336,474<br>-<br>-<br>9,878<br>-<br>9,878<br>-<br>2,799,244<br>(15,133)<br>-<br>2,784,111|
||115,000<br>2,828,409<br>187,054<br>-<br>3,130,463|
||3,948,094<br>1,421,978<br>3,488,032<br>-<br>8,858,104<br>28,806,947<br>5,882,399<br>(1,878,348)<br>-<br>32,810,998<br>-<br>3,606,390<br>9,664<br>-<br>3,616,054<br>32,755,041<br>10,910,767<br>1,619,348<br>-<br>45,285,156|



50 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS** 

**For the year ended 31 August 2025** 

## 25. **Comparative figures from previous financial year (continued)** 

|_Charity 2024_<br>**_Hospital_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_School_**<br>Unrestricted<br>Restricted<br>**_Library_**<br>Unrestricted<br>Restricted<br>Endowment<br>**_Total_**<br>Unrestricted<br>Restricted<br>Endowment|_Fixed_<br>_Assets_<br>_Investments_<br>_Restated_<br>_Net current_<br>_assets/_<br>_(liabilities)_<br>_Restated_<br>_Long term_<br>_liabilities_<br>_Restated_<br>_Total_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>1,761,300<br>3,547<br>1,052,140<br>-<br>2,816,987<br>28,806,947<br>394,953<br>(2,011,419)<br>-<br>27,190,481<br>-<br>807,146<br>24,797<br>-<br>831,943|
|---|---|
||30,568,247<br>1,205,646<br>(934,482)<br>-<br>30,839,411|
||2,071,794<br>1,389,466<br>2,236,630<br>-<br>5,697,890<br>-<br>5,487,446<br>123,193<br>-<br>5,610,639|
||2,071,794<br>6,876,912<br>2,359,823<br>-<br>11,308,529|
||115,000<br>29,165<br>192,309<br>-<br>336,474<br>-<br>-<br>9,878<br>-<br>9,878<br>-<br>2,799,244<br>(15,133)<br>-<br>2,784,111|
||115,000<br>2,828,409<br>187,054<br>-<br>3,130,463|
||3,948,094<br>1,422,178<br>3,481,079<br>-<br>8,851,351<br>28,806,947<br>5,882,399<br>(1,878,348)<br>-<br>32,810,998<br>-<br>3,606,390<br>9,664<br>-<br>3,616,054<br>32,755,041<br>10,910,967<br>1,612,395<br>-<br>45,278,403|



## **Endowment funds** 

|Group and Charity<br>**Hospital**<br>Investment<br>Replacement<br>Sinking Funds<br>EF Jacob<br>Endowment Fund<br>**Library**<br>Grants from<br>Heritage Lottery<br>Fund<br>Total|_Balance at 1_<br>_September_<br>_Incoming_<br>_Resources_<br>_Investment_<br>_Transfers_<br>_between_<br>_Balance at 31_<br>_August_<br>_2023_<br>_Resources_<br>_expended_<br>_gains/(losses)_<br>_funds_<br>_2024_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>583,668<br>46,140<br>-<br>56,552<br>-<br>686,360<br>145,583<br>-<br>-<br>-<br>-<br>145,583|
|---|---|
||729,251<br>46,140<br>-<br>56,552<br>-<br>831,943|
||2,503,210<br>78,938<br>(16,420)<br>218,383<br>--<br>2,784,111|
||3,232,461<br>125,078<br>(16,420)<br>274,935<br>--<br>3,616,054|



51 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 25. **Comparative figures from previous financial year (continued)** 

## **Restricted funds** 

|Group and Charity<br>**Hospital**<br>Capital Fund - Millgate Extension<br>Capital Fund - New Land<br>Capital Fund - New School Building<br>Capital Fund – Nicholls Conversion<br>Capital Fund – Concert Hall<br>Improvements Fund<br>New School Development Fund<br>Concert Hall Fund<br>Instrument Fund<br>Nicholls Fund<br>Miscellaneous Fund<br>**School**<br>Vernon Farley Fund<br>Hazel Smith Fund<br>Ida Carroll Fund<br>Hospital Prize Fund<br>Kolbert Music Prize Fund<br>Academic Prizes Fund<br>Music Prizes Fund<br>David Hartigan Memorial Piano<br>Fund<br>Neil Vint Bursary Fund<br>Milne Fund<br>Bursary Fund<br>Bateson Family Bursary Fund<br>Leverhulme Trust Bursary Fund<br>Oglesby Bursary Fund<br>2022 matches Funding Bursary<br>Fund<br>Tony and Tania Music Prize Fund<br>Hospitallers Camp Fund<br>Mellor Endowment Fund<br>Amy Watson Endowment Fund<br>John Shaw Bursary Fund<br>Stoller Bursary Fund<br>Ethel Kerry Bursary Fund<br>Hardship Fund<br>Co-op Fund<br>Miscellaneous Restricted Fund<br>David Gaskill Music Week Fund<br>Opera Vocal Course<br>David Gaskill - Balance Sheet<br>Friends of Chetham's Fund<br>Chets in London Fund<br>Stoller Hall Fund<br>50thAnniversary Fund<br>Confucius Classroom Fund<br>Piano Summer School Fund<br>Capital Fund - Instruments<br>Grants and Other Income Fund|_Balance at 1_<br>_Incoming_<br>_Resources_<br>_Transfers_<br>_between_<br>_Investment_<br>_Balance at 31_<br>_September 2023_<br>_resources_<br>_expended_<br>_funds_<br>_gains/(losses)_<br>_August 2024_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>856,184<br>-<br>(39,668)<br>-<br>-<br>816,516<br>4,500,000<br>-<br>-<br>-<br>-<br>4,500,000<br>16,994,807<br>-<br>(585,832)<br>-<br>-<br>16,408,975<br>560,915<br>-<br>(18,506)<br>-<br>-<br>542,409<br>6,654,713<br>-<br>(197,665)<br>-<br>-<br>6,457,048<br>22,569<br>-<br>-<br>-<br>-<br>22,569<br>(1,609,084)<br>13,319<br>-<br>-<br>-<br>(1,595,765)<br>(196,986)<br>-<br>-<br>-<br>-<br>(196,986)<br>194,008<br>23,083<br>-<br>-<br>(14,271)<br>202,820<br>32,601<br>-<br>-<br>-<br>-<br>32,601<br>294<br>-<br>-<br>-<br>-<br>294|
|---|---|
||28,010,021<br>36,402<br>(841,671)<br>-<br>(14,271)<br>27,190,481|
||12,587<br>-<br>(300)<br>-<br>-<br>12,287<br>-<br>-<br>-<br>-<br>-<br>-<br>(769)<br>-<br>(2,000)<br>-<br>-<br>(2,769)<br>81,525<br>-<br>-<br>-<br>-<br>81,525<br>1,968<br>-<br>-<br>-<br>-<br>1,968<br>325<br>-<br>-<br>-<br>-<br>325<br>300<br>2,588<br>1,101<br>-<br>(1,300)<br>(1,250)<br>-<br>-<br>-<br>-<br>101<br>1,338<br>29,170<br>400<br>-<br>-<br>-<br>29,570<br>247,824<br>-<br>(721)<br>-<br>-<br>247,103<br>1,622,752<br>423,387<br>(317,671)<br>-<br>378,749<br>2,107,217<br>735,375<br>-<br>(140,066)<br>-<br>-<br>595,309<br>755<br>80,000<br>(61,709)<br>-<br>-<br>19,046<br>9,863<br>13,796<br>27,741<br>5,000<br>(34,349)<br>-<br>-<br>-<br>-<br>-<br>3,255<br>18,796<br>5,000<br>-<br>-<br>-<br>-<br>5,000<br>9,613<br>-<br>-<br>-<br>-<br>9,613<br>5,345<br>-<br>-<br>-<br>-<br>5,345<br>24,551<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>24,551<br>-<br>14,304<br>-<br>-<br>-<br>-<br>14,304<br>1,684,019<br>-<br>(63,797)<br>-<br>-<br>1,620,222<br>56,222<br>-<br>(277)<br>-<br>-<br>55,945<br>415<br>-<br>-<br>-<br>-<br>415<br>104,077<br>-<br>7,500<br>4,735<br>-<br>-<br>(12,900)<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>-<br>95,912<br>-<br>7,500<br>33,334<br>-<br>(1,250)<br>-<br>-<br>32,084<br>18,684<br>838<br>-<br>-<br>-<br>19,522<br>2,521<br>-<br>(182)<br>-<br>-<br>2,339<br>33,546<br>6,581<br>-<br>-<br>-<br>40,127<br>45,733<br>25<br>(11,000)<br>-<br>-<br>34,758<br>103,585<br>11,878<br>(571)<br>-<br>-<br>114,892<br>184,251<br>51,621<br>-<br>-<br>-<br>235,872<br>7,083<br>-<br>-<br>-<br>-<br>7,083<br>275,126<br>226,439<br>(9,553)<br>(321,928)<br>-<br>170,084|
||5,372,968<br>839,746<br>(658,896)<br>(321,928)<br>378,749<br>5,610,639|



52 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 25. **Comparative figures from previous financial year (continued)** 

## **Restricted funds (continued)** 

|**Library**<br>J Paul Getty Fund<br>Miscellaneous Restricted Fund<br>Library Patrons Fund<br>Arts and Heritage Fund<br>Heritage Compass Fund<br>Conservation Project Fund<br>Total|_Balance at 1_<br>_Transfers_<br>_Balance at_<br>_September_<br>_Incoming_<br>_Resources_<br>_Between_<br>_Investments_<br>_31 August_<br>_2023_<br>_resources_<br>_expended_<br>_funds_<br>_gains/(losses)_<br>_2024_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>_£_<br>-<br>-<br>-<br>-<br>-<br>-<br>1,710<br>-<br>-<br>-<br>-<br>1,710<br>-<br>138<br>-<br>-<br>-<br>138<br>2,470<br>-<br>-<br>-<br>-<br>2,470<br>710<br>-<br>-<br>-<br>-<br>710<br>4,850<br>-<br>-<br>-<br>-<br>4,850|
|---|---|
||9,740<br>138<br>-<br>-<br>-<br>9,878|
|||
||33,392,729<br>876,286<br>(1,500,567)<br>(321,928)<br>364,478<br>32,810,998|



## **Unrestricted funds** 

|Group<br>**_Hospital_**<br>General Fund<br>Designated funds:<br>Palatine Demolition<br>Fund<br>**_School_**<br>General Fund<br>Designated funds:<br>Chiller Unit Fund<br>Millgate Building<br>Refurbishment Fund<br>Dining Room<br>Refurbishment Fund<br>Chesters Bequest<br>Fund<br>Organ Cash<br>Settlement Fund<br>Whiteley Hall Fund<br>Music Department &<br>Tour Fund<br>**_Library_**<br>General Fund<br>David Blamires Fund|_Balance at 1_<br>_September_<br>_2023_<br>_£_<br>_Restated_<br>_Incoming_<br>_resources_<br>_£_<br>_Resources_<br>_expended_<br>_£_<br>_Transfers_<br>_between_<br>_funds_<br>_£_<br>_Investment_<br>_gains/_<br>_(losses)_<br>_£_<br>_Restated_<br>_Balance at 31_<br>_August 2024_<br>_£_<br>2,674,895<br>(228,907)<br>630,015<br>-<br>(266,096)<br>-<br>-<br>-<br>-<br>-<br>3,038,814<br>(228,907)|
|---|---|
||2,445,988<br>630,015<br>(266,096)<br>-<br>-<br>2,809,907|
||6,620,706<br>11,800,128<br>(14,177,257)<br>321,928<br>(49,565)<br>4,515,940<br>30,000<br>-<br>-<br>-<br>-<br>30,000<br>-<br>-<br>-<br>-<br>-<br>-<br>91,725<br>-<br>-<br>-<br>-<br>91,725<br>254,567<br>2,606<br>-<br>-<br>-<br>257,173<br>487,000<br>-<br>-<br>-<br>-<br>487,000<br>-<br>700,000<br>(369,210)<br>-<br>-<br>330,790<br>(905)<br>-<br>-<br>-<br>-<br>(905)|
||7,483,093<br>12,502,734<br>(14,546,467)<br>321,928<br>(49,565)<br>5,711,723|
||333,101<br>110,490<br>(217,117)<br>-<br>-<br>226,474<br>-<br>110,000<br>-<br>-<br>-<br>110,000|
||333,101<br>220,490<br>(217,117)<br>-<br>-<br>336,474|
|||
||10,262,182<br>13,353,239<br>(15,029,680)<br>321,928<br>(49,565)<br>8,858,104|



53 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

## **The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 25. **Comparative figures from previous financial year (continued)** 

## **Unrestricted funds** 

|Charity<br>**_Hospital_**<br>General Fund<br>Designated funds:<br>Palatine Demolition<br>Fund<br>**_School_**<br>General Fund<br>Designated funds:<br>Chiller Unit Fund<br>Millgate Building<br>Refurbishment Fund<br>Dining Room<br>Refurbishment Fund<br>Chesters Bequest<br>Fund<br>Organ Cash<br>Settlement Fund<br>Whiteley Hall Fund<br>Music Department &<br>Tour Fund<br>**_Library_**<br>General Fund<br>David Blamires Fund|_Balance at 1_<br>_September_<br>_2023_<br>_£_<br>_Restated_<br>_Incoming_<br>_resources_<br>_£_<br>_Resources_<br>_expended_<br>_£_<br>_Transfers_<br>_between_<br>_funds_<br>_£_<br>_Investment_<br>_gains/_<br>_(losses)_<br>_£_<br>_Restated_<br>_Balance at 31_<br>_August 2024_<br>_£_<br>2,679,151<br>(228,907)<br>630,015<br>-<br>(263,272)<br>-<br>-<br>-<br>-<br>-<br>3,045,894<br>(228,907)|
|---|---|
||2,450,244<br>630,015<br>(263,272)<br>-<br>-<br>2,816,987|
||6,770,708<br>10,832,161<br>(13,373,125)<br>321,928<br>(49,565)<br>4,502,107<br>30,000<br>-<br>-<br>-<br>-<br>30,000<br>-<br>-<br>-<br>-<br>-<br>-<br>91,725<br>-<br>-<br>-<br>-<br>91,725<br>254,567<br>2,606<br>-<br>-<br>-<br>257,173<br>487,000<br>-<br>-<br>-<br>-<br>487,000<br>-<br>700,000<br>(369,210)<br>-<br>-<br>330,790<br>(905)<br>-<br>-<br>-<br>-<br>(905)|
||7,633,095<br>11,534,767<br>(13,742,335)<br>321,928<br>(49,565)<br>5,697,890|
||333,101<br>110,490<br>(217,117)<br>-<br>-<br>226,474<br>-<br>110,000<br>-<br>-<br>-<br>110,000|
||333,101<br>220,490<br>(217,117)<br>-<br>-<br>336,474|
|||
||10,416,440<br>12,385,272<br>(14,222,724)<br>321,928<br>(49,565)<br>8,851,351|



54 



Docusign Envelope ID: 80E2D0ED-9D56-89A5-82DA-DCF03114C040 

**The Hospital and Library in Manchester founded by Humphrey Chetham Esq and incorporated by King Charles II NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 August 2025** 

## 26. **Prior year restatement** 

During the year the Foundation reviewed the brought forward debtors, resulting in prior year adjustments to recognise historic debts that were recorded incorrectly and that should have been expensed through the Consolidated Statement of Financial Activities (SOFA). There was also a prior year adjustment to reclassify £1,328,101 in relation to the bank loan facility from long term liabilities to current liabilities, details of which are in Note 15. These adjustments have no impact on net cash flow. 

||_31 August 2024_||_31 August_|
|---|---|---|---|
||_As previously_||_2024_|
||_stated_|_Adjustments_|_As restated_|
||_£_|_£_|_£_|
|Group||||
|Income|13,943,451|(365,989)|13,577,462|
|Expenditure|15,769,526|-|15,769,526|
|Debtors|650,233|(365,989)|284,244|
|Creditors: amounts falling due|(1,622,160)|(1,328,101)|(2,950,261)|
|within one year||||
|Creditors: amounts falling due after|(1,328,101)|1,328,101|-|
|more than one year||||
|Opening unrestricted reserves|10,262,182|-|10,262,182|
|Closing unrestricted reserves|9,224,093|(365,989)|8,858,104|
|Opening total reserves|46,887,372|-|46,887,372|
|Closing total reserves|45,651,145|(365,989)|45,285,156|
||_31 August 2024_||_31 August_|
||_As previously_||_2024_|
||_stated_|_Adjustments_|_As restated_|
||_£_|_£_|_£_|
|Charity||||
|Income|13,752,625|(365,989)|13,386,636|
|Expenditure|14,962,570|-|14,962,570|
|Debtors|589,317|(365,989)|223,328|
|Creditors: amounts falling due|(2,073,748)|(1,328,101)|(3,401,849)|
|within one year||||
|Creditors: amounts falling due after|(1,328,101)|1,328,101|-|
|more than one year||||
|Opening unrestricted reserves|10,416,440|-|10,416,440|
|Closing unrestricted reserves|9,217,340|(365,989)|8,851,351|
|Opening total reserves|47,041,630|-|47,041,630|
|Closing total reserves|45,644,392|(365,989)|45,278,403|



55