When Sarah Annabella Lady Boughey (of Aqualate) died in 1914 she left £15,000 to the town to purchase a site on which to build a Hospital. She made provision in her will for the Trustees to take action if the Hospital became supported at public expense. The Trustees invested this money skilfully bringing in interest and capital growth. In 1930 the Annabelle Lady Boughey Cottage Hospital was built at a cost of £20,000 and the balance of the fund was used for running the Hospital. The National Health Service took over the Cottage Hospital in 1948.
The Trustees of the Cottage Hospital formed the Charity of the Annabelle Lady Boughey in 1951 when the endowment was released. The application of capital endowments and income to be used for such charitable purposes connected with or for the benefit of the Parish of Newport and since amended by the Charity Commission to the TF10 postcode area. The capital endowments or income of the charity shall not in any case be applied in relief of rates, taxes or other public funds.
Recent grants given by the Charity have included Newport Carnival, Newport Youth Café, Victim Support Scheme, Gap year students and local Schools.