Sitting beside the ancient table, a small boy could just be made out with a knife and wood 
in his hands. Twisted and misshapen, his small body shivered in the cold night air. Lying on the table, beside the rather grotesque figure, were three intricate wooden carvings: a woman, a boy and a man. On his partially bald head was an old, peaked hat. Below his hat was a large, bulbous growth, which closed his left eye. His nose dominated his face but irregular nostrils made it hard for the ‘little freak’ to breathe.
Although his face and most of his body was hideous, the boy’s hands were perfect. Careful as ever, his gentle fingers let the knife slip along the beech wood carving a baby in a crib to complete his beautiful collection. Despite the pouring rain outside, he was calm – nothing like the dreadful posters on the trees outside.
This is a very effective character description. I especially love your verb choices and your adjectives (‘gentle fingers let the knife slip along the beech wood…’). Your imagery of the three intricate carvings and the baby to complete the set is beautifully imagined.