Ken Hawley Collection Trust - Charities report - 22.2

REGISTERED COMPANY NUMBER: 02925721 (England and Wales)

REGISTERED CHARITY NUMBER: 1049003

Report of the Trustees and

Unaudited Financial Statements for the Year Ended 31 October 2022

for

Ken Hawley Collection Trust

Page

Report of the Trustees

1

to

8

Independent Examiner's Report

9

Statement of Financial Activities

10

Statement of Financial Position

11

to

12

Notes to the Financial Statements

13

to

20

The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 October 2022. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).

OBJECTIVES AND ACTIVITIES

Objectives and Aims

Public Benefit Statement

The area of benefit for the charity is primarily Sheffield and its environs where it seeks to advance the education of the public in the history and development of tools and toolmaking in Sheffield and its environs. The charity seeks to effect public benefit through a range of objects which include the following key elements:

(a) To preserve, maintain, house, repair and secure curatorship and exhibition of the collection of tools and related objects

(b) To provide for the establishment, acquisition, management, maintenance, improvement, extension and support of museums, galleries, libraries and other places within Sheffield and its environs where educational research and enquiry and the exchange and dissemination of relevant views and information may happen

(c) To acquire, conserve, restore and repair exhibits, objects, and collections

(d) To present, promote, organise, provide, manage, and produce exhibitions, etc which are conducive to the advancement of education

(e) To promote, encourage or undertake research and to collect and disseminate information on all matters affecting the said objects and to exchange such information with other bodies having similar objects whether in this country or overseas and to publish the useful results thereof

(f) To promote, encourage or undertake research and to collect and disseminate information on all matters affecting the said objects and to exchange such information with other bodies having similar objects whether in this country or overseas and to publish the useful results thereof

The Trust does not have any paid employees in furtherance of those objects

it has sought to have a work programme supported by approximately 20-25 volunteers which seeks to deliver a range of services providing a wide range of benefits in accordance with the charity's objects.

Since moving to the site of Kelham Island Museum in 2010 the Trust has been able to provide open access to its Collection for all who wish to access it.

Involvement in the Collection's development and maintenance has also been encouraged locally through opportunities for volunteering. The Trust does not charge directly for access to the Collection save where access might be for commercial purposes.

The review below provides information as to how the Trust has sought to support its principal objects during the year.

In the previous year, the trustees had agreed to seek the nomination by the volunteers of one of their number to the Board of Trustees, with the aim of improving communication and linkages between the volunteers and trustees. This was given effect by the addition of Bob Harris to the trustees, and he has sought to ensure better two way communication with the volunteers. It was also agreed to pursue changes to reduce the present workload of the Chair, but this continues to be an issue.

OBJECTIVES AND ACTIVITIES

As in previous years, the ability of the Trust to focus on the Collection and its public interface was greatly aided by the supportive cooperation from the trust operating Kelham Island Museum. In return for being able to make the Collection available as an addition to the public offer from Kelham Island Museum, they continue to provide the housing, insurance and associated infrastructure costs for the Collection. The novated agreement with Sheffield Museums Trust has ensured the continuation of the relationship albeit both sides have agreed that the arrangement should be reviewed at some stage.

General fundraising continues to provide a challenge but our general needs outside of the lottery funded projects have been sustained. With the recognition of the successful digitisation parts of our work and the

increasing size of our collection database there have been consequential impacts in our need to invest more in IT and associated costs. We were pleased to receive generous support once again from the Worshipful Company of Builders Merchants.

Review of the Year

The year started with a return to full normality following the previous two years of pandemic affected service. Thankfully the Trust did not see any loss of volunteers during the pandemic, but the passing of time meant that two or three volunteers ceased regular attendance through ill health from other causes or because they felt they had reached a point where 'full retirement' beckoned. Sadly during the year one of our volunteers of long standing, Mike McVeigh, died suddenly. He was also a trustee and his contribution to both roles is sadly missed.

Although slightly delayed by the pandemic our HLF project, Name on the Knife Blade reached its conclusion on 31 December 2021 which was the agreed revised project end date with the Heritage Lottery Fund. The outcomes of the project were reported in our report last year as the evaluation report was available. This was accepted by HLF, and the grant retention sum was paid over quickly at the end of the project.

The successful project had identified that there was still work to do in completing the work on the knives we held in the Collection. The project had focused solely on the table knife element of the collection, and it was felt that we should submit a further bid for lottery support to both celebrate the city's knife heritage as well as digitising the remaining data covering essentially spring and pocket knives. The opportunity was also taken to tie in the forthcoming 200th anniversary of the first element of the Joseph Rodgers' Year Knife being created. This knife is regarded as one of the treasures if Sheffield with its c2,000 blades incorporated in the one knife and has been in the care of the trust as a loan item from Stanley Black & Decker for a number of years. The desire to ensure that the knife remained within the city led to discussions being initiated with the owners about the long term ownership of the knife and we were pleased that the result of those discussions led to the transfer of ownership to the trust after Stanley Black & Decker agreed to gift the Year Knife to the trust.

A further bid for support from what was now known as the National Lottery Heritage Fund (NHLF) was submitted during the spring of 2022 and it proved to be quickly supported by the NLHF with the award of over £40k for a project entitled 'Sheffield Treasures' for the period 1 September 2022 to 31 July 2024. The approved project focuses on a range of outcomes:

- celebrating the Bi-centenary of world-famous Stanley Year Knife originally made by Joseph Rodgers and other significant multi blade knives made in the city

- launch the cataloguing the pen and pocket knife collection to enable the sharing of Sheffield excellence digitally to a wider audience.

- commission a modern-day sculpture built to enable c2,000 participants identify what they find excellent in the city today

- run a series of talks and open events during its duration exploring the history of an industry which is a keystone of its continuing reputation for industrial excellence

Side by side with this project work the general activities of the trust in ensuring that it is able to use the collection to meet its overall objectives has continued and this is illustrated below.

ACHIEVEMENT AND PERFORMANCE

Activities and Collection Development

The Collection's MODES database continued to grow as a result of the lottery projects but also through other elements of the Collection having been a focus for some of our volunteers. We have for example integrated the records concerning the Toolbank Collection which is entrusted to our care as well as the Barley Saw Collection curated by its owner, Simon Barley and another of our volunteers. The work on the Barley collection continues adding in saws owned by the Trust itself. We have also sought to add further access to some of the film we have on elements of the collection through editing material for addition to our YouTube channel.

The Hawley Collection YouTube channel expanded in content. It features the video and presentation material around the knife project, and also other video material in the Collection showing craft skills related to tool manufacture and information about the Collection. By the year end the channel had 75 videos available with a total of 77,896 views recorded (previous year 2020/21 was 93,185) and watch time of 7,030 hours (previous year 2020/21 was 8,458). The year saw an increase in subscribers to the channel of 92 (previous year 2020/21 was 1,115), so that by the end of the year subscriber numbers totalled 2,698. The reach of the channel continued to show a large percentage of views from overseas locations, particularly from the USA (33%). 66% of the watch time was by people aged 45 and older although this was down from 73% in the previous year.

As in previous years, the most popular video in terms of number of views was Making Files by Hand featuring a demonstration by Ken Hawley; it attracted 10,319 views during the year. However the video attracting the longest average viewing time was a film of a lecture given by Barry Chambers entitled 'A Tale of Two Diamonds' which featured William Marples & Sons; it also had the most views in the year for a lecture - 722.

The online version of the knife database continued to build up its audience with a total of 40,811 users during the year across 49,922 sessions. From the database website going live in May 2020 to 31 Oct 2022 it registered 118,254 users and 145,000 sessions. As with the YouTube channel there were significant numbers of users from overseas locations, especially from the USA, Australia, and Canada. It is also clear from the increasing enquiries we are receiving that the knowledge of the database is now quite widespread and has led to an increase in our enquiry volume but also in the offer of donations to the Collection. As the additional entries being made as part of the 'Sheffield Treasures' project we feel the database will grow to become the definitive source on Sheffield knives.

These successes will inform our future strategy with respect to making the Collection more widely available and we are actively starting to consider how the lessons learned from the knife database n particular might be applied to our wider collection holdings, in particular there is a need to consider how we might make the contents of our MODES collection database more publicly available.

Material from the Collection continues to be loaned and on display in the Millennium Gallery Metalwork Gallery, in the Weston Park Museum and at the Ironbridge Gorge Museum.

Visitors and enquiries

Our public interface at the Museum has also been high on our concerns and the volunteers are keen to ensure that our combination of temporary exhibitions supported by lectures is refreshed on a regular basis to expose the scale and width of our Collection. During the year our temporary exhibitions programme included:

" Tale of Two Diamonds the story of the Bayliss family at Marples

" Micrometers

" File Making

The permanent display area now dedicated to knife making was also completed following the lottery project.

There is a surprising appetite still for formal lectures and presentation on aspects of the collection, but we are not limited to it being hear by the 40-60 who might attend in person; recording and adding the lectures as a film on our YouTube channel opens up the content to hundreds of other listeners/viewers who are not just local but worldwide.

As noted in previous years, we were delighted to receive positive comments about the Collection and the access now afforded to the Collection by being displayed at Kelham Island Museum. Post pandemic physical visits have picked up and it is pleasing that visitors often comment on the enthusiasm of our volunteers when they have the opportunity to engage with them.

Clearly web access to knowledge of our work and other visitor information has grown in importance and the trust are conscious that the website is now dated and in need of upgrade when resources are available to address that challenge. There is still an interest in more traditional means of communication and to that end a Trust Newsletter was put together by one of our trustees for wider circulation to our stakeholders.

FINANCIAL REVIEW

Reserves policy

The policy of the trust is to ensure adequate reserves are held to ensure the continuation of the trust's basic operations for future years. Within the current needs of the Trust such reserves need only to be modest as there are limited contractual liabilities given we have no paid staff, and our buildings overheads are supported by our arrangement with Sheffield Museums Trust.

STRUCTURE, GOVERNANCE AND MANAGEMENT

Governing document

The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.

Recruitment and appointment of new trustees

At present the Trust does not have a formal written policy for the recruitment and appointment of new trustees, but the Board of Trustees has established the practice of reviewing its membership from time to time. The membership of the Board comprises a wide variety of experience drawn from industry, higher education, local government, commerce and the heritage sector, and includes senior management and operational expertise which matches the knowledge and skills required to support delivery of the Trust's operations.

Following a number of changes to trustees it has also been agreed in principle to move towards retirement by rotation and amendments to the governing document will be brought forward in due course to give effect to the principle.

Organisational structure

The day to day management of the charity is delegated by the trustees to Mr Keith Crawshaw.

Induction and training of new trustees

An induction programme for new trustees' endeavours to develop personalized opportunities and sessions with experienced trustees and volunteers to introduce the work of the Trust.

Future development of the Trust's governance

There is a continuing concern that as the Trust has grown, the work of the Chair has grown and that there is a need to consider a better distribution of duties and responsibilities. Support has been sought from Museums Development Yorkshire to provide external input and that was intended to proceed in the new financial year.

Future development of the Trust's governance

The Trust has begun a review its governance to ensure effective succession planning and management of the affairs of the Trust, including the role, duties and responsibilities of the Chair.

The trustees confirm they have complied with the duty in section 17(5) of the 2011 Charities Act to have due regard to guidance published by the Charity Commission.

REFERENCE AND ADMINISTRATIVE DETAILS

Registered Company number

02925721 (England and Wales)

Registered Charity number

1049003

Registered office

Kelham Island Museum

Alma Street

Sheffield

South Yorkshire

S3 8RY

Trustees

D E Eaton

D Hawley

Mrs J Tear

K Crawshaw

M Pye (resigned 4.4.23)

R Jewitt

J Warner

M McVeigh (deceased 6.4.22)

E Hawley

C Petty (resigned 9.5.23)

F Elliott

N Duggan (appointed 24.5.22)

B Harris (appointed 1.5.22)

Independent Examiner

Royston Parkin Limited

2 President Buildings

Savile Street East

Sheffield

South Yorkshire

S4 7UQ

Bankers

CAF Bank Ltd

25 Kings Hill Avenue

Kings Hill

West Malling

Kent

ME19 4JQ

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.

Approved by order of the board of trustees on 18 July 2023 and signed on its behalf by:

K Crawshaw - Trustee

Independent examiner's report to the trustees of Ken Hawley Collection Trust ('the Company')

I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 October 2022.

Responsibilities and basis of report

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

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

Independent examiner's statement

I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:

1.	accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or

2.	the accounts do not accord with those records; or

3.	the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or

4.

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

I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.

Mrs L Pridmore

Royston Parkin Limited

2 President Buildings

Savile Street East

Sheffield

South Yorkshire

S4 7UQ

18 July 2023

2022

2021

Unrestricted

Restricted

Total

Total

funds

fund

funds

funds

Notes

£

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

2

3,895

-

3,895

2,981

Charitable activities

4

Sharpening Links

-

3,935

3,935

240

Sheffield Treasure

-

22,136

22,136

-

Other trading activities

3

552

(1

)

551

468

Total

4,447

26,070

30,517

3,689

EXPENDITURE ON

Raising funds

20

-

20

229

Charitable activities

Charitable Activity Costs

5,373

-

5,373

2,245

Sharpening Links

-

1,745

1,745

7,733

Other

-

415

415

4,257

Total

5,393

2,160

7,553

14,464

NET INCOME/(EXPENDITURE)

(946

)

23,910

22,964

(10,775

)

RECONCILIATION OF FUNDS

Total funds brought forward

15,485

8,711

24,196

34,971

TOTAL FUNDS CARRIED FORWARD

14,539

32,621

47,160

24,196

2022

2021

Unrestricted

Restricted

Total

Total

funds

fund

funds

funds

Notes

£

£

£

£

FIXED ASSETS

Tangible assets

8

-

415

415

830

Heritage assets

9

-

10,950

10,950

10,950

-

11,365

11,365

11,780

CURRENT ASSETS

Cash at bank and in hand

14,569

21,256

35,825

18,015

CREDITORS

Amounts falling due within one year

10

(30

)

-

(30

)

(5,599

)

NET CURRENT ASSETS

14,539

21,256

35,795

12,416

TOTAL ASSETS LESS CURRENT LIABILITIES

14,539

32,621

47,160

24,196

NET ASSETS

14,539

32,621

47,160

24,196

FUNDS

12

Unrestricted funds

14,539

15,485

Restricted funds

32,621

8,711

TOTAL FUNDS

47,160

24,196

The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 October 2022.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 October 2022 in accordance with Section 476 of the Companies Act 2006.

The trustees acknowledge their responsibilities for

(a)	ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.

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

The financial statements were approved by the Board of Trustees and authorised for issue on 18 July 2023 and were signed on its behalf by:

K Crawshaw - Trustee

1.	ACCOUNTING POLICIES

Basis of preparing the financial statements

The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Income

All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.

Expenditure

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Fixtures and fittings

-

Straight line over 3 years

Computer / Software

-

Straight line over 3 years

All tangible fixed assets are included at cost. No valuation has taken place, nor is a valuation expected to take place in the foreseeable future.

Any item deemed to have a useful life of at least 1 year is considered for capitalisation. The charity does not use a de minimis threshold for the purposes of identifying fixed asset additions.

Heritage assets

The Charity purchased Designated Collection Acquisitions of specific value during the year. These are shown on the Statement of Financial Position at cost price and have not been depreciated as the Charity does not believe that there is likely to be a decrease in value.

Taxation

The charity is exempt from corporation tax on its charitable activities.

Fund accounting

Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.

Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

2.	DONATIONS AND LEGACIES

2022

2021

£

£

Donated services and facilities

3,895

2,981

3.	OTHER TRADING ACTIVITIES

2022

2021

£

£

Shop income

551

468

4.	INCOME FROM CHARITABLE ACTIVITIES

2022

2021

Sharpening

Sheffield

Total

Total

Links

Treasure

activities

activities

£

£

£

£

Grants

3,935

22,136

26,071

240

The Heritage Lottery Funded project, Sharpening Links, which started in 2019 and was scheduled to end in July 2021 was extended with approval to complete by 31st December 2021. The evaluation report was submitted and approved enabling the release of the final 10% (£3,581) of the total approved grant of £36,700 (50% was received in 2019 and a further 40% in 2020). A further project entitled Sheffield Treasures was approved by what is now the National Lottery Heritage Fund in July 2022 for a total grant of £44,192 to cover a period from 1 September 2022 to 31 July 2024. The first 50%, £22,096 was paid in advance during the year with the remaining grant to be paid in two further instalments as for the previous project.

5.	NET INCOME/(EXPENDITURE)

Net income/(expenditure) is stated after charging/(crediting):

2022

2021

£

£

Depreciation - owned assets

415

4,257

6.	TRUSTEES' REMUNERATION AND BENEFITS

Trustees' expenses

There was reimbursements for expenses in the year 2022 totalling £65 (2021 - £44).

7.	COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES

Unrestricted

Restricted

Total

funds

fund

funds

£

£

£

INCOME AND ENDOWMENTS FROM

Donations and legacies

2,981

-

2,981

Charitable activities

Sharpening Links

-

240

240

Other trading activities

468

-

468

Total

3,449

240

3,689

EXPENDITURE ON

Raising funds

229

-

229

Charitable activities

Charitable Activity Costs

2,245

-

2,245

Sharpening Links

-

7,733

7,733

Other

-

4,257

4,257

Total

2,474

11,990

14,464

NET INCOME/(EXPENDITURE)

975

(11,750

)

(10,775

)

RECONCILIATION OF FUNDS

Total funds brought forward

14,510

20,461

34,971

TOTAL FUNDS CARRIED FORWARD

15,485

8,711

24,196

8.	TANGIBLE FIXED ASSETS

Fixtures

and

Computer

fittings

/ Software

Totals

£

£

£

COST

At 1 November 2021 and 31 October 2022

14,385

6,000

20,385

DEPRECIATION

At 1 November 2021

13,555

6,000

19,555

Charge for year

415

-

415

At 31 October 2022

13,970

6,000

19,970

NET BOOK VALUE

At 31 October 2022

415

-

415

At 31 October 2021

830

-

830

9.	HERITAGE ASSETS

Total

£

MARKET VALUE

At 1 November 2021 and 31 October 2022

10,950

NET BOOK VALUE

At 31 October 2022

10,950

At 31 October 2021

10,950

10.	CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2022

2021

£

£

Bank loans and overdrafts (see note 11)

-

3,069

Trade creditors

30

2,530

30

5,599

11.

LOANS

An analysis of the maturity of loans is given below:

2022

2021

£

£

Amounts falling due within one year on demand:

Bank overdrafts

-

3,069

12.	MOVEMENT IN FUNDS

Net

At

movement

At

1.11.21

in funds

31.10.22

£

£

£

Unrestricted funds

General fund

15,485

(1,418

)

14,067

Designated Fund

-

472

472

15,485

(946

)

14,539

Restricted funds

Restricted Fund

8,711

23,910

32,621

TOTAL FUNDS

24,196

22,964

47,160

Net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

3,895

(5,313

)

(1,418

)

Designated Fund

552

(80

)

472

4,447

(5,393

)

(946

)

Restricted funds

Restricted Fund

26,070

(2,160

)

23,910

TOTAL FUNDS

30,517

(7,553

)

22,964

Comparatives for movement in funds

Net

At

movement

At

1.11.20

in funds

31.10.21

£

£

£

Unrestricted funds

General fund

14,510

491

15,001

Designated Fund

-

484

484

14,510

975

15,485

Restricted funds

Restricted Fund

20,461

(11,750

)

8,711

TOTAL FUNDS

34,971

(10,775

)

24,196

Comparative net movement in funds, included in the above are as follows:

Incoming

Resources

Movement

resources

expended

in funds

£

£

£

Unrestricted funds

General fund

2,981

(2,490

)

491

Designated Fund

468

16

484

3,449

(2,474

)

975

Restricted funds

Restricted Fund

240

(11,990

)

(11,750

)

TOTAL FUNDS

3,689

(14,464

)

(10,775

)