Pretty much.
Children make cards and presents for those in hospital.
Said hospital includes some prison inmates, some of whom were convicted of sexual offences against children.
Hospital staff are unaware of their patients convictions (as per the Telegraph article in the tweet).
Hospital staff distribute presents at random (as per Telegraph article).
So this isn't "children making presents for paedophiles", this is a prison officer not keeping a close enough eye on their charges in hospital.