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2026-03-31-accounts

Company number: 02588395 Charity Number: 1002856

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Report and financial statements For the year ended 31 March 2026

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Reference and administrative information 1
Trustees’ annual report 3
Independent auditor’s report 31
Statement of financial activities (incorporating an income and expenditure account) 35
Balance sheet 36
Statement of cash flows 37
Notes to the financial statements 38

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Company number 02588395 Country of incorporation United Kingdom Charity number 1002856 Country of registration England Registered office and Basil de Ferranti House, operational address Aldermaston Road BASINGSTOKE, Hampshire RG24 9NB Patrons Val Buckley Hugo Cubitt DL Honorary Life President Andrew Soundy

Trustees Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: D Bowden Chairman C Aldous C Baugh (Practising as O’Keeffe) H Brooker Appointed 4 August 2025 S Goddard Resigned 10 November 2025 J Lyons A May Appointed 4 August 2025 C Pelling (Practising as Jones) D Salisbury Resigned 10 November 2025 C Swart (Practising as Hutchings) V Simpson E Strange Appointed 10 November 2025

Key management I Cameron Chief Executive K Drake Clinical Director G Grace Finance Director C Griffiths Operations Director L Pink Director of Income Generation J Storrar Medical Director E Wilkinson HR Manager

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Bankers Lloyds Bank PLC 2, Winchester Street BASINGSTOKE, RG21 1EB Auditor Sayer Vincent LLP Chartered Accountants and Statutory Auditor 110 Golden Lane LONDON EC1Y 0TG Investment LGT Wealth Management Managers 14 Cornhill LONDON EC3V 3NR

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

SECTION 1: Chief Executive Foreword

The Financial Year 2025/26 has been one of significant progress, transformation, and achievement for St. Michael’s Hospice. Against a backdrop of continued pressure across the health and social care system, the Hospice has strengthened its position both operationally and strategically, whilst remaining firmly focused on delivering outstanding care to patients and families across North Hampshire.

Throughout the year, demand for our services continued to increase as more people than ever before accessed specialist palliative and end of life care through the Hospice. Clinical activity remained exceptionally high across both the In-Patient Unit and Hospice at Home services, reflecting not only the growing needs of our community, but also the increasing confidence placed in the Hospice by healthcare partners across the system.

One of the most significant developments during the year has been the continued evolution of our clinical services, particularly the transition towards a 24/7 Hospice at Home model. This work represents a fundamental shift in the way specialist palliative care is delivered within our community and aligns directly with both national healthcare priorities and the strategic ambitions of the Hospice. Whilst the transition has brought challenge and complexity, particularly in relation to workforce pressures and recruitment, considerable progress has been made, and the foundations are now firmly in place for further development during the coming year.

Alongside this, I am incredibly proud of the development of the Meerkat Service at St. Michael’s, supporting children and young people experiencing, or anticipating, grief. Through collaboration with Rowans Hospice and the exceptional work of those leading the service, we have already seen the profound impact this support can have on families facing some of the most difficult circumstances imaginable. The demand and need for this service has become immediately apparent and we look forward to its launch, and growth in the coming years.

The Hospice also underwent an unannounced inspection by the Care Quality Commission during the reporting period. Following this inspection, we were incredibly proud to receive confirmation that St Michael’s Hospice had been rated ‘Outstanding’. This is a tremendous reflection of the professionalism, compassion, and commitment demonstrated every day by our staff and volunteers. The fact that the Hospice scored so highly across all domains should give Trustees, supporters, and the wider community enormous confidence in the quality of care being delivered.

Financially, the organisation has completed the year in a strong and stable position. Following many years of underfunding across the hospice sector, the substantial increase in support secured from the Hampshire & Isle of Wight Integrated Care Board represents a landmark moment for St. Michael’s Hospice. More importantly, it serves as recognition of the vital role the Hospice plays in supporting the wider health system, reducing pressure on acute hospitals, and enabling more people to receive care in the place they choose. This increased investment has enabled the

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Hospice to plan with greater confidence for the future, whilst continuing to focus on financial discipline, sustainability, and value for money. As a charity, we remain acutely aware of our responsibility to ensure that every pound donated or commissioned is used effectively and in direct support of patient care.

Our Income Generation teams have once again delivered exceptional results during a challenging economic period. Fundraising performance has remained strong, retail growth has outperformed many sector trends, and the opening of our new Alresford store has further strengthened our presence within the local community. Without the support of our community, volunteers, corporate partners, and fundraising participants our work would simply not be possible.

This year has also seen continued investment in our estate and infrastructure, supported through funding from the Department of Health & Social Care. Major improvements across the Hospice site will enhance the environment for patients, families, staff, and volunteers, whilst also improving sustainability and long-term operational efficiency.

The collaborative relationship between St. Michael’s and Rowans Hospice has continued to strengthen considerably throughout the year. What began as a shared leadership arrangement has evolved into a highly effective partnership, enabling both organisations to share expertise, align strategic thinking, and enhance the consistency of service delivery across Hampshire. The experience and knowledge brought by members of the Senior Leadership Team working across both hospices has already delivered significant benefits, not only through greater operational collaboration, but also by strengthening the collective voice and profile of hospice care within the wider healthcare system. Most importantly, this developing relationship is helping to ensure that local people receive the high-quality, sustainable end of life care they deserve, regardless of geography.

Perhaps most importantly, throughout a year of significant activity and change, our staff and volunteers have continued to demonstrate remarkable resilience, professionalism, and compassion. Whether providing direct patient care, supporting families, fundraising, maintaining the estate, or working behind the scenes, every individual associated with St. Michael’s Hospice contributes to the special culture that defines this organisation.

As we now look ahead, the Hospice enters the next phase of its development from a position of strength, stability, and ambition. Our strategic direction is clear, our partnerships continue to strengthen, and our role within the wider healthcare system has never been more important. Whilst challenges undoubtedly remain for the hospice sector nationally, I remain confident that St. Michael’s Hospice is exceptionally well placed to continue evolving, extending its reach, and delivering outstanding care for the communities we serve.

Iain Cameron Chief Executive

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

The Trustees are pleased to present their report and the audited financial statements for the year ended 31 March 2026.

Reference and administrative information set out on pages 1 and 2 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association, the requirements of a directors’ report as required under company law, and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

St. Michael’s Hospice is registered under the Health and Social Care Act 2008 (Regulated Activities) and the Care Quality Commission (Registration) Regulations 2009.

Objectives and activities

The Trustees review the aims, objectives and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The Trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps Trustees ensure the charity's aims, objectives and activities remain focussed on its stated purposes.

The Trustees refer to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives that have been set.

Purposes and Aims

St. Michael’s Hospice provides free, compassionate care to people in North East Hampshire who have a life-limiting illness, need end-of-life care or are experiencing bereavement. Our purpose is to bring specialist palliative care, interventions and treatment to our patients, as well as extending care to their families, friends and carers by providing bereavement support and advice when a loved one has died.

Everyone deserves a good death – but this will look different for each of our patients. Some patients request to be cared for at home, surrounded by loved ones and in a familiar environment – for those patients we have our Hospice at Home service, where we provide our specialist care in their homes. We also have our 10-bedded In-Patient Unit, which provides 24-hour care onsite for those who cannot be, or do not want to be cared for at home. No matter which their choice is, we are there for our patients whenever and wherever they need us across North East Hampshire.

It is important to us that the days before dying are filled with as much living as possible. That is why we focus on ensuring that our patients are as comfortable, pain-free and independent as they can be. Our teams are trained and skilled in providing holistic care including treatment of

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

side effects, strain, tension and breathlessness. Our aim is about putting life into days – making sure the days that do remain are as normal as they can be. We want our patients to continue making memories with their loved ones, whether that is playing a game together, renewing wedding vows, seeing a beloved pet or simply spending time together.

We know that hospices can be seen as daunting places; however, we know this is not true. We pride ourselves on having a friendly environment filled with kindness and compassion, where our staff and volunteers are there for the needs of our patients and their families, whether providing medical care, making a cup of tea, or giving an empathetic ear or warm smile.

Our mission is simple. St. Michael’s Hospice aims to enable anyone faced with a life-limiting illness, their families and carers, to attain the highest possible quality of life by providing a choice of specialist care and support.

To achieve this purpose, we have a clearly defined set of aims:

We meet our aims through the following activities:

Principal activities and performance

Care Services provision

Specialist palliative and end-of-life care is provided both in patients’ own homes and at the Hospice in either our In-Patient Unit or, for visiting day-patients, in our Living Well Centre.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Measuring performance of care provision can be difficult but we monitor key indicators from our various feedback pathways and report on those. More details on how we collect feedback is available later in the report.

In-Patient Unit (IPU)

The IPU provides 10 beds for those patients whose conditions are critical and complex and who would benefit from a period of intensive support.

For some, admission to the IPU enables the clinical team to treat and relieve complex symptoms associated with their illness, which means patients can then return home. This year, 97 patients were able to return home after a period in the IPU, a slight decrease from previous year when 99 patients were discharged home.

The IPU medical and nursing team continue to initiate, what we call, “parallel planning” for discharge, from the start of an admission; this means we are planning for a patients’ discharge from day 1, no matter what the final outcome might be. This planning necessitates early discussions with patients and families about what needs to be in place before discharge. We are then prepared for if/when the patient is well enough. Discharge planning involves the wider Hospice team, as well as our colleagues in Health and Social Care, enabling the arrangement, for example, of fast-track funding from NHS Continuing Heath Care for packages of care in the home. There is also often a referral to the Community Nursing Team, the Community Palliative Care Team or the Hospice at Home Team to ensure continuity of care and specialist nurse involvement when the patient reaches home.

One of our aims is to ‘ensure that all people with a life-limiting illness have access to the very best medical and nursing care and support wherever and whenever they require it, allowing them to be as free as possible from unpleasant symptoms and pain’. We strive to treat our patients and their loved ones with the utmost respect and dignity. Recent feedback has been:

‘The children and I are so grateful for the care St Michael's gave us during the course of my husband's terminal illness. We engaged with St Michaels Hospice quite early on in my husband’s prognosis of only 12-15 months and their counselling, support, kindness and reassurance were outstanding, making this dreadful journey towards death more bearable. At the end, my husband spent 3 weeks at St Michaels. He was always listened to, treated with dignity and kindness and all his needs, medical, physical, emotional were met by the exceptional team. During his final weeks,

the hospice became our second home, and the staff became our second family. Everyone, the cleaners, the cooks, the nurses, the occupational health practitioners, the volunteers, the chaplains and of course the palliative care doctors, all showed us kindness and compassion, making the end of my husband’s life less lonely and scary for all of us. Thank you so so much’.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Another of our aims is to ‘allow our patients to die with dignity in a place of their choice’. Achieving this can be difficult as the end of life may not always proceed in the way it was expected. In the year 2025/26 our In-Patient Unit supported 87% of patients to achieve their preferred place of death, a slight drop from 94% from the previous year.

Over the last few months, the In-Patient Unit has started to embrace some new challenges and has been looking at ways of improving processes. This has included the implementation of the Patient Safety Incident Response Framework (PSIRF) which allows for a full contextual review of any incidents that occur in clinical areas. Use of this Framework brings the Hospice in line with the wider NHS and enables us to focus on learnings to put into practice. The ward continues to use Quality Improvement methodology to ensure the focus is always on continuous improvement.

Hospice at Home

The Hospice at Home service is provided 365 days a year from 07:30 to 20:00. This service enables patients to remain in their home environment, where the majority want to be, while still receiving the Hospice’s specialist palliative nursing care.

The Hospice at Home service is developing a 24-hour visiting service to provide registered nurse and senior health care support overnight to patients known to the St. Michaels Hospice Service. The development of this service has meant an increase in staffing numbers and a focus on recruitment, retention, training and development of both new and current staff members.

Alongside supporting patients and families known to St. Michaels Hospice, the Hospice at Home team has provided professional advice and support to other healthcare professionals, including community nurses, GPs, paramedics, nursing homes and specialist settings such as Thornford park and Parklands hospital. The Hospice at Home team has also supported nursing and

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

paramedic students through placements, educating, de-stigmatising and encouraging a passion for good palliative care to be delivered in whichever setting these students go on to work.

The Hospice at Home team, and wider SMH community teams are supported by the Administrative team who answer all calls into the service, 7 days a week during core working hours (08:0018:00), as well as supporting with administrative tasks such as booking appointments, sending information guidance and linking with other health care providers to gain clinical detail. This telephone support provides a very responsive service to all callers (patients, families and professionals) into this community telephone hub. The Administrative team are able to selfmanage some of the calls, that do not require a clinician to respond, which then releases clinical time for the clinician to concentrate on providing clearer triage and response to those in need of clinical advice and in turn allowing for a greater clinical presence in the community. During the out of hours periods the In-Patient Unit team answer and triage incoming calls, assessing need during the call and responding as appropriate – this will soon be managed fully by the Hospice at Home 24/7 service. The Administration team are often the first point of contact for a patient, relative or healthcare professional calling to ask for support and advice and there have been many positive comments received verbally regarding the help and reassurance that has been provided from this team.

Feedback received from relative survey:

“ From the moment the nurse arrived we felt completely reassured by everything she told us and the care delivered by the team. They were there when we called and visited promptly when needed. During and after our loved one passed they still cared about how we all were and if we needed to speak to anyone. I only have praise for the hospice care team.”

“The service my husband received at home was exceptional. We couldn't have had better if it had been private care. My husband was kept comfortable at all times and told what was happening and the treatment he would get. He was treated like a person and not just a job. It made what was an awful time for us all more bearable and we just couldn't have managed by ourselves, and he died peacefully in his own bed with all his family there just as he wanted. We can never find the words to express how grateful we are for all the help we received. Also, the ongoing help I have been given. The service my husband received at home was exceptional. We couldn't have had better if it had been private care.”

Therapies

This year, 335 referrals were made to the Therapy team, compared to 328 the previous year. Despite challenges with recruitment, the Therapy team has reviewed its workload and has prioritised the service that it provides to work more efficiently, releasing more clinical time, which has helped increase activity, despite reduced staffing levels. Success in the recruitment to the Occupational Therapist vacancy alongside the recruitment of a 30hr physio in December 2025 and to a further 15hr Physio post in March 2026 has already improved the overall therapy

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

specialist service clinical offer to patients, aiming to help patients manage their symptoms better, optimise their independence and quality of life, and support them in achieving their preferred place of death.

Therapy in the In-Patient Unit

The Therapy team undertook a total of 559 face-to-face contacts with patients on the Inpatient Unit, compared to 399 last year, already showing the impact of the recruitment. We aim to help patients with; assessing moving and handling, mobility, balance and transfers; discharge planning, including home assessment to help adjust to new routines to enable patients to return home for a period of time or for end-of-life care. We also spend time with patients to help manage breathlessness and anxiety. This is often done jointly with other members of the wider MultiDisciplinary Team. The Therapy team also discusses end-of-life wishes, care, and future planning, needing to work quickly to support patient’s wishes of EOLC at home. Patients are provided with equipment, alterations, and adaptations to enable them to be supported in their home environment, maintaining a level of independence. Once patients are discharged, they are kept on the caseload for monitoring, support and intervention as necessary.

Therapy in Living Well Service - Therapy plays a large part in the Living Well Service by leading four groups and actively providing support to all other groups run within the LWS.

Therapy support with Motor Neurone Disease (MND) patients – St. Michael’s provides practical, emotional and psychological support which includes holding a monthly MND clinic as well as visits to patients’ homes and access to 24/7 advice. The Therapy team helps to complete applications for specialist equipment and grants, which are funded through the MNDA (MND Association). Basic equipment is accessed via the Hampshire equipment store. Moving and handling advice is given, and the Hospice provides posture, seating and pressure relief equipment, which plays a key role with this particular patient group. The Therapy team works closely with the wider MDT to review and assess each MND patient regularly.

Therapy’s role in the Neurological Conditions Service – St. Michael’s holds a Neuro Clinic four times a year in the Living Well service. Therapists review patients’ needs and concerns at the clinic but also arrange follow-up visits if required. It is important to regularly review, as their needs are constantly changing.

Therapy in the community - The Therapy team received 279 community referrals and completed 743 community visits (compared to 622 visits in 24/25). A community visit enables a true picture of how a patient is managing in their environment and helps to build a better understanding of the patient. A similar assessment is completed to that we would undertake for a patient in IPU. Advice and support are given to patients and families making difficult decisions related to future deterioration in ability - for instance one-level living. Outpatient appointments are offered where patients can visit the Hospice gym to try equipment and complete prescribed exercises with a physiotherapist.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Patient and Family Support Team

The Patient and Family Support team covers pre and post bereavement services, chaplaincy, counselling, and complementary therapy. The focus this year has been on further developing the services and extending our reach to more patients and their families.

The Bereavement Service for family members is provided by both staff and volunteers. The number of attendees at our Bereavement Support Groups has increased to 586 compared with 394 the previous year.

The monthly Bereavement Coffee Mornings in Basingstoke and Alton continue to be popular and well attended. The total number of attendees in the year was 282, compared to 175 last year.

“I think the coffee mornings are so, so good. In day-to-day life one gets to the point where one feels you are “boring” people, so you tend to keep it to yourself. These coffee mornings give you the space to talk to people who have been through the same journey. Thank you.”

Bereavement Evenings, held on alternate months to support newly bereaved relatives, has attracted fewer attendees with 34 attending this year compared to 54 last year and is one aspect of the service that will be reviewed in 2026 to improve attendance and accessibility. Despite fewer attendees the feedback remains positive and those attending have reported it to be helpful in a number of ways:

To realise what I'm going through is 'normal'. To hear similar experiences from others.

Feeling validated. Learning more about grief. Feeling less isolated. Hearing others' share.

Meeting other people who've experienced loss of a loved one recently and people with similar stories to our family.

Understanding the theory has helped me to realise just how well I am doing on the grief journey.

The Bereavement Walk and Talk continues to be held on the third Friday of the month and growing in popularity with the number of attendees increasing from 29 to 48. The group supported by a member of staff and a dedicated volunteer lead the group on a 45-minute walk, providing compassionate listening and empathy before returning to the hospice for refreshments, where the conversation and support continue.

Following the success of the first Bereavement Journey Course held in February 2024, a further 3 courses were run during the year, providing support to a total of 22 bereaved relatives. The course, which is run over 7 weeks, provides a safe place to talk with others who have been bereaved, or just to hear how others are experiencing and dealing with similar issues. Once

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

again feedback following each course is positive with 100% of those attending recommending the course to others.

“A wonderful course by truly amazing people”.

“Really surprised how helpful it is”.

“I enjoyed the course, one of the best elements was meeting others in the same situation. The course helped me to have a better understanding of what bereavement is.”

The Young and Widowed Support (YaWS) Group is another group that continues to thrive. The group, which is run on a monthly basis, provides an open forum where members can meet with others to provide peer support facilitated by a bereavement counsellor. The group currently has 12 active members and has recently undergone its first annual review demonstrating its positive impact on those attending.

The Counselling Service is offered to all those affected by a life-limiting illness, as well as those who are coping with grief. Our counsellors received 146 referrals in the year and provided 548 one-to-one counselling sessions to patients, carers and bereaved relatives.

“Amazing to be able to offload and just cry to someone completely independent and non judgemental and work through all the horrendous things that happened”.

“It gave me a safe space to talk about how I was feeling without feeling judged or unwanted”.

“Someone professional who I could talk to about my feelings and receiving specialist support. An opportunity to return to Hospice and feel comfortable in familiar surroundings”.

The availability of a Chaplain to provide listening, emotional and spiritual support has proved greatly beneficial to our patients and the service. The Chaplain service is available 5 days a week with out of hours support provided where required by the HHFT chaplaincy team. Our Chaplaincy Service, including one contracted member of staff and two volunteers, is designed to cater for all faiths and includes those who do not see themselves as having a faith. During the year, 883 chaplaincy visits were made compared with 672 the previous year. The chaplain continues to lead sessions on Emotional and Spiritual Care in the Living Well Service, record patient “Stories for Life” and lead the two hospice memorial events, Light up a Life and Summer Memories.

To support staff with the emotional demands of working in end-of-life care, the Patient and Family Support Lead, along with a counsellor and the chaplain are now trained to deliver Resilience Based Clinical Supervision to clinical staff and will resume group sessions in April 2026.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

The Complementary Therapy Team has continued to be busy during the year and have appointed two new volunteers to extend the service. The therapists work alongside the nursing and medical staff offering treatments to help symptom management and improve well-being for both Inpatients and Out-patients. This year the team have provided 720 treatments including massage, reflexology and Reki.

“At a time you are feeling vulnerable and wouldn't have the confidence to go to a public therapist this service is invaluable. It’s lovely to keep a link with the hospice and the therapists are wonderful and become friends. Thank you”.

“It is a time to completely relax - a "feel good" time and a time of pampering, which is so appreciated. Makes you feel positive”.

“I have benefited greatly from the treatments I have been given both physically and mentally”.

Living Well Service

The aim of the Living Well Service (LWS) is to enable people to remain as independent as possible, to manage the impact of their illness, and to help support them through any future changes.

An important part of our service is to dispel any myths and stigmas associated with the hospice and show patients we can provide important support and guidance much earlier in their diagnosis. Since the relaunch of the service in September 2024, we are continuing to grow and shape the service to fit the needs of our community. We continue to offer a range of clinical and social programmes, held in the Turner Centre. Together with the therapy team, the service offers the following programmes:

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

As part of the Living Well Service, we also provide the following services:

Over the past year we have received a total of 134 referrals to the Living Well Service.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

The LWS lead continues to work to promote the service to healthcare providers so that we can continue to grow and reach patients earlier, so SMH can have an even greater impact on patients and their families.

Below is a couple of quotes from patients and their loved ones who have accessed the hospice through our Living Well Service:

‘Having been given a terminal cancer diagnosis and shown the door, I (and my partner) felt abandoned by the hospital system and alone with no-one to turn to. Life was already limited and the future looked

less than bleak. Then I was referred to the living well service at St. Michael’s hospice. At first it was daunting, our perception, like most people, is it is a place where people go for end of life care, but now we know the hospice offers so much more.

‘The support, care and guidance we have received from the team at the Living Well Service has been unmeasurable. They have helped empower me to live well with a terminal illness, how to navigate those difficult conversations and how to not let your illness define who you are.

More than anything, the team have given us a sense of community so that we no longer feel alone. They really are the most amazing people, and we tell anybody who will listen about the incredible work that they do. The team at the Living Well Service have in effect given us our “lives” back and we thank them from the bottom of our hearts.’

‘Coming to the Living Well Service and being shown around the hospice, we saw what a lovely place it is. We thought it was only a place for your last days, but there is so much they can do for you. From the minute we walked in we felt warmth and calm – I feel it every time I come back. We met other couples in similar situations to us. We were able to sit down and talk with them. You know their thoughts and feelings are the same. We met as strangers, but after the first session of ‘Living Well Together’ we became friends – we are still meeting up now. I now can’t imagine life without St Michael’s Hospice – and I don’t think people realise how important it is as a living environment, not a dying environment.’

Other related activities

Education and Training

This year has seen significant development in education, training and workforce capability at St. Michael’s Hospice, reflecting both service expansion and our continued commitment to delivering high-quality, compassionate care.

Alongside maintaining strong foundations in mandatory training and professional development, there has been a focus on enhancing clinical capability, supporting staff wellbeing, and preparing the community team for transition to a 24/7 Hospice at Home model.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Engagement with Bluestream, an online training platform, remains strong, ensuring compliance with mandatory training standards. This is complemented by a structured approach to professional development, with annual appraisals and regular one-to-one meetings enabling staff to reflect on performance, identify development opportunities, and align their progression with organisational priorities.

A key development this year has been the establishment of an Education Committee, providing strategic oversight of education and workforce development. This has strengthened governance and ensures that education is aligned with service priorities, workforce growth, and the evolving needs of patients and families. The committee also provides a forum to review the quality and impact of education provision.

St. Michael’s Hospice continues to play an important role in developing the future workforce. We host Nursing, Medical and Allied Health Professional students from the Universities of Southampton, Winchester, and Surrey, alongside providing rotational opportunities for resident doctors. These placements offer valuable learning experiences within specialist palliative care and strengthen our relationships with academic institutions and partner organisations. We are in the process of expanding these opportunities to include the University of Chichester.

Workforce growth, particularly within the Hospice at Home service, has been underpinned by a consistent and structured approach to clinical competency. The Competency Skills Passport for registered nurses is now well established within the Inpatient Unit and is being embedded across the Hospice at Home team as new staff are recruited, promoting consistency and high standards of practice.

In preparation for the transition to a 24/7 Hospice at Home service, staff have undertaken targeted development opportunities with external out-of-hours providers, including NHS 111 (NHUC), Primary Health Limited (PHL), and South Central Ambulance Service (SCAS). These experiences have broadened understanding of the wider healthcare system and increased confidence in autonomous decision-making in the out-of-hours setting.

Clinical supervision has been further developed over the past year, with the introduction of a resilience-based model available to all clinical staff. Six trained supervisors now facilitate closed supervision groups, promoting continuity, trust, and psychological safety. This approach reinforces the Hospice’s commitment to reflective practice, enabling staff to process the emotional impact of their work while fostering a culture of openness and shared learning.

Promoting a positive and respectful workplace culture has also remained a priority. All clinical staff have participated in sessions from the Civility Saves Lives campaign, recognising the impact of incivility on communication, team functioning, and patient outcomes within healthcare environments.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

In addition, the majority of clinical staff have now completed the Oliver McGowan Mandatory Training in Learning Disability and Autism through three dedicated training days. This has enhanced awareness of the needs of individuals with learning disabilities and autistic people, enabling more personalised, equitable, and compassionate care, and reinforcing the Hospice’s commitment to reducing health inequalities.

Staff continue to attend two mandatory clinical away days each year. One focuses on core mandatory requirements, including resuscitation, moving and handling, infection control, and incident investigation, ensuring safe and effective practice alongside regulatory compliance. The second day this year focused on recognising and managing distress in patients and their families, with all staff participating in simulated learning experiences. This experiential approach has strengthened confidence and capability in managing complex and emotionally challenging situations.

The Hospice has also strengthened its contribution to the wider health and social care system through the delivery of end-of-life care and syringe driver training to nursing homes across the local area. This has enhanced the confidence and capability of care home staff, supporting patients to remain in their usual place of residence and promoting collaborative working across services.

The Hospice has maintained a strong external presence with staff presenting work at national conferences, including Hospice UK, and attending conferences to ensure practice reflects the latest evidence and innovation in palliative care. Learning from these opportunities is shared across teams, contributing to ongoing improvements in clinical practice.

The development of extended and specialist roles remains central to workforce capability and professional development. Staff have been supported to undertake further training in areas such as non-medical prescribing, History Taking and Physical Assessment, and the European Certificate in Palliative Care.

Education and training continue to be informed by clinical governance processes, including audit, incident review, and feedback, ensuring that education remains responsive to service needs and continues to drive improvements in patient care.

Transformation

Alongside continued investment in digital infrastructure, estates and operational resilience, St. Michael’s Hospice has delivered another year of strong progress, building on the momentum of previous transformation work and creating firmer foundations for the future.

Energy efficiency and sustainability have remained a major focus. Continued optimisation of heating, ventilation and building controls, alongside wider infrastructure improvements, has helped the Hospice maintain significant reductions in energy consumption (47% reduction), carbon emissions and running costs compared with the 2022 baseline. This work continues to

17

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

support both environmental objectives and long-term financial sustainability and is also attracting interest across the hospice sector as an example of practical innovation in challenging times.

The Hospice has also continued to strengthen its digital infrastructure and cybersecurity in response to an increasingly complex threat landscape. Improvements to system security, monitoring, user access and device management have enhanced resilience and reduced organisational risk. Alongside this, further progress has been made in modernising core systems and exploring new technologies, including automation and artificial intelligence, to improve efficiency and support staff in their day-to-day work.

Communications infrastructure has also been modernised, forming part of a wider programme of IT improvement designed to ensure that the Hospice has secure, modern and reliable systems in place.

Across the estate, a number of important improvement projects have progressed during the year. Plans for the redevelopment of the Margaret Weston Conservatory have moved forward, creating the opportunity for a more welcoming, comfortable and energy-efficient space for patients and families. Reception improvements have also been developed to create a more private, accessible and welcoming arrival experience, with a layout better suited to the needs of patients, visitors and staff. In addition, car parking and access arrangements have been improved to enhance safety, flow and capacity on site.

The Hospice has also invested in site security and infrastructure resilience. Improvements to perimeter security, access control and related systems have strengthened the safety of the site while helping ensure the Hospice remains a secure and well-managed environment for all who use it.

Within the In-Patient Unit, further enhancements have been made to improve the environment for patients and those closest to them. Refurbishment and redecoration have helped create a more therapeutic and welcoming setting, while the introduction of cuddle beds has enhanced comfort, dignity and the ability for loved ones to remain close at the most important times.

Taken together, these developments reflect a continued commitment to improvement across the organisation. By investing in sustainability, infrastructure, digital capability and the physical environment, St. Michael’s Hospice is ensuring it remains resilient, efficient, and able to provide the best possible experience for patients, families, staff and volunteers.

Staff engagement and support

Each month, we hold an online Staff Forum, chaired by the CEO, which all staff are welcome and encouraged to attend. To ensure accessibility for all, the Forum is recorded, allowing staff who are unable to attend to view the recording and revisit the content as required.

18

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

We continue to run an Employee Recognition Scheme based on the Hospice values THRIVE – Trust, Honesty, Respect, Integrity, Value, and Evolve. Engagement with the scheme continues to be strong, with 108 nominations received this year, a 6% increase on the previous year. These successes are celebrated at the monthly Staff Forum, and an annual winner is chosen from all nominations each December.

We also acknowledge the commitment and loyalty of our long-serving staff through Long Service Awards, recognising milestones at 5, 10, 15, 20, and 25-year intervals and celebrating their dedication to the Hospice.

As part of our commitment to supporting the health, wellbeing, and financial resilience of our staff, we provide employees with a Health Cash Plan, which helps cover essential everyday healthcare costs, and an Employee Assistance Programme (EAP), which offers advice, guidance, and support for health and wellbeing.

Organisational engagement activities remain a key part of our staff support. Annual organisational away days are well attended by all staff, complemented by clinical away days held twice yearly and an income generation focused away day. Social events such as the summer staff BBQ and Christmas quiz continue to foster team spirit and connection.

We undertook a staff survey in October 2025 to gather feedback from our workforce, achieving a 77% response rate, reflecting strong engagement. The purpose of the survey was to understand what staff feel is working well, identify areas for improvement, and inform future initiatives to ensure staff feel supported, valued, and able to develop within the organisation.

The results show that staff remain strongly connected to the Hospice’s mission and values, with high levels of pride in their work, good alignment with organisational goals, and positive relationships with managers and colleagues. Wellbeing support and staff benefits were also viewed favourably, highlighting a supportive and caring culture.

However, the survey also identified key challenges. Staff morale was the lowest-scoring area, linked to workload pressures and staffing shortages. Concerns were also raised around career development, including limited progression opportunities, access to training, and the need for more competitive pay aligned to NHS Agenda for Change. Steps have since been taken to review pay and benefits ensuring they are aligned with industry standards and remain competitive to support staff recruitment, retention, and recognition.

Equality Diversity and Inclusion

The Hospice is committed to creating an inclusive and equitable work environment that values and supports all individuals. This means that we seek to ensure anyone connected with the Hospice, from patients and families to donors, supporters, volunteers and staff, are treated fairly and appropriately. We will not accept unfavourable treatment on the grounds of any protected characteristics.

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

A full review of our Equality Policy was completed in October 2025 to ensure compliance with the requirements of the Equality Act 2010 and to ensure alignment to best practice. All staff and volunteers, including Trustees must complete mandatory equality, diversity and inclusion training to ensure that these principles are embedded across the organisation. Training compliance is monitored regularly to support consistent understanding and application across the Hospice.

During the year, the Hospice continued to promote inclusive recruitment practices to encourage fair access to employment and volunteering opportunities, and we continue to ensure Hospice services are accessible and equitable for all members of the community.

The Hospice reviews organisational policies and procedures through an EDI lens to ensure they remain fair, inclusive and reflective of best practice. Clear policies and processes are in place to support whistleblowing and to address bullying and harassment concerns appropriately and confidentially. The Hospice also recognises the importance of staff wellbeing and promotes flexible working practices and wellbeing support to help create a supportive and inclusive working environment.

Safeguarding

The Hospice has a nominated Healthcare Professional for Safeguarding and a Deputy Healthcare Professional for Safeguarding, both of whom have received training at the highest level which is level 5. This year the SMH safeguarding committee has been established for the first time in the organisation, chaired by the SMH Nominated Healthcare Professional for Safeguarding. The committee has both clinical and non-clinical representation, it meets quarterly and the committee takes responsibility for all aspects of safeguarding related to the whole organisation.

To date the committee have reviewed and updated all the organisational safeguarding related policies and produced a new combined Adult and Child Safeguarding Policy. The adult and child safeguarding training requirements for all staff have been reviewed so they now are aligned with the updated national recommendations. The safeguarding incident recording process has been reviewed and refined so going forward the committee will have robust systems to review and record all safeguarding activity.

Patient and Family Feedback

Gathering feedback from those who use our services is vital for continued learning, growth and the promotion of a culture of transparency.

Feedback results are monitored on an ongoing basis by our Patient and Family Support Team Lead so that any important issues are immediately passed for follow up to senior members of the Clinical Team and the Senior Leadership Team where necessary. All the results are collated annually and published on our website.

There are two ways that we collect data:

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

The Your Experience Matters Postcard provides a means of collecting real-time feedback. The postcards at available at various locations in the In-Patient Unit and in the Living Well Service. Between 1 April 2025 and 31 March 2026 a total of 52 postcards were completed with 92% of responders rating their experience at St Michael’s Hospice as Very Good and 8% rating it as Good.

Our Relative’s Survey is sent out to all families 10 weeks following a bereavement. This survey gives relatives the opportunity to provide retrospective feedback based on their experience of the In-Patient Unit, Hospice at Home Service and an overall rating ranging from Very Good to Very Poor. Between 1 April 2025 and 31 March 2026, a total of 325 surveys were sent out and 115 were returned for analysis giving a 35% response rate. 94% of those taking part in the survey rated their experience of St. Michael’s Hospice as Very Good or Good.

“From the moment you walk through the doors into reception you immediately feel welcomed and relaxed. The hospice is set up so clean, tidy and modern that the reason why you are there doesn't seem so scary. The rooms are all like a cruise ship cabin, were the words I used to reassure my Dad the first time he had to be cared for, which put him at ease. All the staff were absolutely without exception amazing. From reception staff, cleaners, building workers, nurses, doctors, kitchen staff, everyone, you never felt uncomfortable or in the way. The comfort and always there to listen totally reassured you that when you did have to leave your loved one, they were in very good hands. The staff really do go above and beyond your expected expectations. The second time that my Dad had to go into the hospice and we knew the last, we were welcomed back, remembering our names, putting us at ease. The care my Dad received in his final days were exceptional. My heart smiles when I think of the wonderful care my Dad received in his time at the hospice”.

Friends and Family Test , as measured via the Your Experience Matters Postcards and the Relatives Survey. Of the 198 responses collected between 1st April 2025 to 31st March 2026, 97% of respondents rated the service as Very Good or Good.

The clinical teams also receive numerous thank you cards and letters which are displayed in departments for staff to read.

Hospice User Group continues to be held on a quarterly basis and is made up of 12 members. The purpose of the group is to give those service users a voice in how we develop our services for the future and identify areas of improvement. During 2025 the group were consulted about a range of projects including the CQC inspection, fundraising events, and once again assisted with the undertaking of the 15 Steps Challenge, a method for measuring service quality from a user’s perspective. Members of the HUG have also played a pivotal role in sharing their stories for marketing purposes and featuring in promotional films for the hospice.

21

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Income generation

Income-generating activities fund the majority of our services. In 2025/26, statutory funding from the North Hampshire Integrated Care Board (ICB) covered just 22% of costs, highlighting the importance of community support for St. Michael's Hospice. We are deeply grateful for this support and never take it for granted.

Despite an increase in ICB funding this year, we must generate 78% of our income to meet the majority of our current and future costs. This is crucial for developing future services and delivering our strategy.

Fundraising

The community’s ongoing support and generosity are vital to our success. The trust we build through regular communications and social media helps us achieve our goals.

We regularly assess the costs and time required for each fundraising activity to maximise the impact of every donation.

In 2025/26, income from donations and events reached £1,822,000, a 4% increase from the previous year. Some notable successes were our Cuddle Bed Appeal, which helped fund a cuddle bed in each of our ten patient rooms, the reintroduction of our cycling event, Big Wheel, which generated £53,000, and the Moonlight Walk, which raised £56,000.

Legacy income was £362,000 (2025: £320,000), a slight increase from last year. As legacies are inherently unpredictable, we will continue our Legacy Marketing Strategy in 2026 to raise awareness among supporters of their vital role in funding end-of-life care.

Income from the Lottery and scratch cards was £168,289 (2025: £189,000), lower than last year. However, our net contribution increased to £158,000 (2025: £126,000), reflecting the benefits of our partnership with Local Hospice Lottery. This collaborative model reduces overheads and enhances marketing, and we are optimistic that income will grow as participation increases.

The Friends of St. Michael's Hospice, who have supported us since our inception, contributed £291,000 this year (2025: £156,000). This significant increase was due to a highly successful fundraising ball.

Retail

The Hospice's retail shops, including e-commerce, performed strongly, with income rising to £2,346,000 (2025: £2,276,000). After costs, the retail contribution was £822,000 (2025: £812,000). We recognise the dedication of our retail employees and volunteers in achieving these results, especially in a challenging retail environment.

22

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Our portfolio includes 12 retail stores, one specialising in furniture, and an e-commerce department. We also operate a Donation Centre for drop-off and sorting. The recently opened Alresford store has been well-received by the local community.

Code of Fundraising Practice

St. Michael's Hospice is registered with the Fundraising Regulator and complies with all relevant standards in the Code of Fundraising Practice, including those relating to the protection of vulnerable persons. This report covers the requirements charities must meet under the Charities Act 2016.

The Hospice works only with professional fundraising agencies that follow proven sector best practices and comply with the Fundraising Regulator.

Compliance with the General Data Protection Regulations (GDPR) is ensured by regularly reviewing policies and practices relating to personal data. Legitimate interest is relied upon as the legal basis for processing data, and the Hospice follows the principle of communicating only with supporters about activities we believe they would be interested in. All supporters have clear, straightforward opportunities to change their communication preferences at any time. Our Privacy Notice is available on our website.

The fundraising team receives weekly reports from the Fundraising Preference Service, enabling prompt action for individuals who have requested not to be contacted. In 2025, we received one notification, which was addressed promptly.

Financial review, Reserves Policy and Going Concern

The Hospice made an operating surplus, before investment gains and losses of £315,472 which included £350,111 DHSC Capital Funding, making the underlying result a deficit of £34,639 compared to a £190,274 deficit budget and an operating deficit of £375,626 (£461,965 excluding capital funding) for the year ended 31 March 2025.

Investments

Partway through the financial year the Hospice carried out a process to review its investment management arrangements. As a result CCLA, which has managed the Hospice’s funds for a number of years, was replaced by LGT Wealth Management. The Investment Committee meets with the investment manager annually to review the investment performance and the continued suitability of both the investment approach used and the investment manager itself. The total returns for the financial year as a whole were:

23

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Return Benchmark
Investment Portfolio (equities) 10.70% 10.30%
Bond portfolio
 -1.70% 3.30%

The discrete returns for the period after LGT Wealth Management took over the portfolios (13[th] August 2025) up to the end of the financial year were:

Return Benchmark
Investment Portfolio (equities) 9.35% 6.34%
Bond portfolio
 1.62% 1.52%

Reserves Policy

General Reserves

The charity aims to hold sufficient general reserves to protect against a sudden short-term decline in income so that essential services can continue to be provided to our patients and their families. If the level of income is not restored, the Trustees have time to plan and implement change in a controlled way. The Trustees have reviewed the risks associated with income and expenditure and believe that cover for six months’ expenditure, net of guaranteed income, should be sufficient to allow this to happen.

We review this policy annually, considering the current challenges the Hospice is facing and the ongoing investment priorities which may require designated funds. Further consideration is also given to the impact of a deficit budget and existing capital commitments. The budget for the coming year, considering all these factors, is then used to work out the level of general reserves required to fund Hospice services for six months, and any designated reserves necessary to support our strategic priorities. This minimum target level of reserves is calculated as £3,053,000 on 31 March 2026. Our general reserves at the year-end excluding designated reserves were £3,589,000, slightly higher than this target but broadly in line with the reserves policy representing 7 months running costs. In addition, we held £1,287,000 designated reserves including £320,375 fixed asset fund and £967,000 other funds that form part of our general reserves and are at the discretion of our trustees.

The Finance and General Purposes Committee meets quarterly to review the financial performance of the charity, future forecasts and review our performance against our reserves target.

Designated Reserves

Designated reserves are funds set aside by Trustees to meet essential future spending, including operational and capital projects. Annually, based on the priorities included within the budget for the coming year, the Trustees agree funds which should be designated for the coming year. The designated funds on 31 March 2026 were:

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St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Restricted Reserves

Restricted reserves represent donations or grants received for a specific purpose and do not form part of General Reserves. There are three main types of restricted funds:

Property

Restricted donations were received for various large building projects which were all completed by April 2014. Restricted reserves are held to cover the depreciation costs of these buildings.

Department for Health & Social Care

This was funding provided by the Government to the Hospice sector to be spent on capital projects in the year ended 31 March 2025 and 31 March 2026.

Equipment and support programmes

Where funding has been received for specific use and has not been expended in the year.

Funds received and spent in the same year

Most funds received in the year are expended during the year on the day-to-day operation of the Hospice, particularly staff costs (which are over 70% of the total cost of operating the Hospice).

Patient Room Refurbishment

This was a project for 2023/24, this fund will be written down over 5 years in line with the depreciation accounting policy.

25

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Investment Policy

The Investment Policy was updated in March 2025 following the review of investment managers. The charity has three requirements from its Endowment Fund:

The Hospice has total net assets of £5.7m, of which £1.1m is fixed assets including property, £3.8m is investments and £0.8m is net current assets. Of the net current assets we have £0.8m of cash held in our operational bank accounts and by the investment managers which is readily available to support operating activity.

The Hospice’s cash objective is to hold a minimum of £200,000 in cash after month-end payments. Total cash including current and deposit accounts on 31 March 2026 was £816k, the forecast for the 12 months to 31 March 2027 sees this reducing slightly to £579k over the 12 months.

Going Concern

The Trustees are satisfied that the Hospice is a Going Concern; the Hospice is holding sufficient reserves at the year end and, having considered the impact of a 10% drop in income, they are satisfied that charity could continue in operation for a period of at least 18 months from the signing of these accounts.

Principal risks and uncertainties

The Hospice has monitoring systems in place for financial, clinical, and organisational risk. The CEO and Trustees continuously review the Risk Management Register during the year. High level risks, defined as those which have a risk of 15/25, are reported to the Board, by the CEO, on a quarterly basis. The SLT regularly monitor risks and work constantly to mitigate impact, on 31 March 2026, no risk was rated ‘Red’ scoring above 15.

26

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

Structure, governance and management

The company was established on 5 March 1991 under a Memorandum of Association which set down the objects and powers of the charitable company and is governed under its articles of association and was registered as a charity on 10 May 1991.

Governance

St. Michael’s Hospice is governed by the Board with each member in accordance with the Charities Act serving as a Trustee. The Board is responsible for approving the strategic plan and the annual budget and ensuring that sufficient resources are provided to allow the Hospice to fulfil the purpose for which it was established.

All Trustees give their time voluntarily and receive no benefits from the charity. The Trustee Board meets quarterly and there are three Board sub-committees: Finance & General Purpose (including remuneration and investment committee), Income Generation, and Clinical Governance. Other specialist committees are formed as needed.

Appointments to the Board are approved by the current Trustees and confirmed at the subsequent Annual General Meeting.

The current and future Trustee base is seen as representing a good cross-section of accounting, medical, business and corporate governance, and local community input.

Management

Operational activities are delegated to employed staff via the Chief Executive who is responsible to the Board for overall management of the business and the provision of care and services which in the role of Responsible Individual meet the requirements of the Health and Social Care Act 2008 and comply with guidance provided by the Care Quality Commission.

The Senior Leadership Team at St. Michael’s Hospice ensures strategic direction is maintained and is led by the Chief Executive. Members of the team are:

The Clinical Management Team (CMT) is responsible for dealing with the day-to-day clinical operations of St. Michael’s Hospice. CMT includes the Medical Director, Clinical Director, Hospice at Home Lead, Patient and Family Support Lead, Therapy Lead, IPU Lead and Senior Speciality Doctor.

27

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

The Governance Team oversees the development and implementation of clinical governance within the Hospice and ensures legal and operational responsibilities are fully discharged. Roles represented on the team are:

The Chief Executive meets regularly with the Chair and other Trustees to discuss issues and progress against objectives.

Appointment of Trustees

New Trustees are identified through the use of a skills matrix necessary to support all areas of St. Michael’s as both a charity and provider of healthcare services. Three new Trustees were recruited during the year and two retired following the end of their Terms of Office.

New Trustees are proposed by either internal or external recommendation or recruitment and are generally interviewed by the Chair, Vice-Chair, and, usually, an appropriate sub-committee Chair; they also meet with the Chief Executive. All Trustees are then invited to comment on suitability prior to a vote of the Board of Trustees being taken.

Trustee induction and training

Trustees receive a comprehensive briefing on the role and have access to an induction pack along with documentation on the Hospice’s policies and procedures. Trustees are expected to attend an away day, focussed on training and effectiveness which is held annually.

Related parties and relationships with other organisations

St. Michael’s Hospice works closely with Hampshire Hospitals NHS Foundation Trust and the Hampshire and Isle of Wight Integrated Care Board.

St Michael’s Hospice worked collaboratively with Rowans Hospice during year through the sharing of management resources including the CEO, Finance and Operations Director all year, and the PA to the Chief Executive, Quality Lead and Director of Income Generation from January/ February 2026. A total of £223,663 (2025: £85,339) was received from Rowans Hospice during this period including £9,996 (2025: £4,590) of expense payments.

28

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

St. Michael’s Hospice works in partnership with Odiham Cottage Hospital (OCH) to provide enhanced Hospice at Home care within that area. OCH provided a total of £15,000 (2025: £20,000) of income to the Hospice during the year. In the past, St. Michael’s also provided befriending services through OCH but this service is now managed by that Trust.

As a member of Hospice UK, the Hospice works with regional hospice Chief Executives, sharing data and experiences. In addition, the Chief Executive plays an active role in supporting a regional independent hospice network through communication and collaboration.

The Operations Director is tasked with stakeholder engagement and management and works collaboratively with organisations across the local healthcare system such as Hampshire Hospitals Foundation Trust, the Integrated Care Board and Southern Health.

The Medical Director is a member of Hampshire and IOW Palliative and End of Life Board which informs decision making for the Integrated Care System.

The Director of Income Generation is a trustee of the Hospice Income Generation Network.

Remuneration policy for key management personnel

The Board meets to consider the Chair’s recommendation for the Chief Executive’s remuneration package on an annual basis, considering the achievements of the last 12 months, any change in role or responsibility, and the market. Board approval is necessary before any changes are implemented.

Overall salary approval is part of the annual budget process when the % pay uplift for all staff is agreed. As part of the budget commentary, the Chief Executive will highlight any staff getting an award outside the approved percentage rise or normal clinical pay progression, and the reason for this.

Statement of responsibilities of the Trustees

The Trustees (who are also directors of St. Michael’s Hospice for the purposes of company law) are responsible for preparing the Trustees’ annual report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing these financial statements, the Trustees are required to:

29

St. Michael’s Hospice (North Hampshire)

(Company Limited by Guarantee)

Trustees’ annual report

For the year ended 31 March 2026

The Trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the Trustees are aware:

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £10 to the assets of the charity in the event of winding up. The total number of such guarantees for 2026 was 30 (2025: 27). The Trustees are members of the charity but this entitles them only to voting rights. The Trustees have no beneficial interest in the charity.

Auditor

Sayer Vincent LLP was re-appointed as the charitable company's auditor during the year and has expressed its willingness to continue in that capacity.

The Trustees’ annual report which includes the strategic report has been approved by the Trustees on 3 August 2026 and signed on their behalf by:

D Bowden Chairman

30

Independent auditor’s report

To the members of

St Michael’s Hospice (North Hampshire)

Opinion

We have audited the financial statements of St Michael’s Hospice (North Hampshire) (the ‘charitable company’) for the year ended 31 March 2026 which comprise the statement of financial activities, balance sheet, statement of cash flows 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 FRS 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:

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 charitable company 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 Trustees' 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 St Michael’s Hospice’s (North Hampshire) 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 Trustees with respect to going concern are described in the relevant sections of this report.

31

Independent auditor’s report

To the members of

St Michael’s Hospice (North Hampshire)

Other Information

The other information comprises the information included in the Trustees’ annual report, including the strategic report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information contained within the annual report. 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.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ annual report including the strategic report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our

opinion:

Responsibilities of Trustees

As explained more fully in the statement of Trustees’ responsibilities set out in the Trustees’ annual report, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being

32

Independent auditor’s report

To the members of

St Michael’s Hospice (North Hampshire)

satisfied that they give a true and fair view, and for such internal control as the Trustees 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 Trustees are responsible for assessing the charitable company’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 Trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the 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 extent to which our procedures are capable of detecting irregularities, including fraud are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

33

Independent auditor’s report

To the members of

St Michael’s Hospice (North Hampshire)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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 charitable company's members as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members 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 charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Fleur Holden (Senior statutory auditor)

12 August 2026

for and on behalf of Sayer Vincent LLP, Statutory Auditor 110 Golden Lane, LONDON, EC1Y 0TG

34

St. Michael's Hospice (North Hampshire)

Statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2026

Note
Income from:
2
3
4
4
5
6
6
7
Reconciliation of funds:
Retail
Lottery and Events
Charitable activities
Other trading activities
Specialist palliative care
Donations and legacies
Total expenditure
Net income/(expenditure) before net
gains/(losses) on investments
Charitable activities
Specialist palliative care
Net gains/(losses) on investments
Total funds brought forward
Total funds carried forward
Net income/(expenditure) for the year and
net movement in funds
Investments
Total income
Expenditure on:
Cost of raising funds
Raising funds
Retail		 Unrestricted
£
2,063,315
1,745,680
2,346,283
347,290
108,262		 Restricted
£
233,940
350,111
-
-
-		 2026
Total
£
2,297,255
2,095,791
2,346,283
347,290
108,262		 Unrestricted
£
1,906,271
1,096,887
2,276,382
306,673
136,119		 Restricted
£
207,745
86,339
-
-
-		 2025
Total
£
2,114,016
1,183,226
2,276,382
306,673
136,119
6,610,830 584,051 7,194,881 5,722,332 294,084 6,016,416
1,733,447
917,405
3,885,054		 -
-
343,503		 1,733,447
917,405
4,228,557		 1,668,369
784,934
3,687,753		 -
-
250,986		 1,668,369
784,934
3,938,739
6,535,906 343,503 6,879,409 6,141,056 250,986 6,392,042
74,924
308,431		 240,548
-		 315,472
308,431		 (418,724)
(161,381)		 43,098
-		 (375,626)
(161,381)
383,355
4,492,640		 240,548
583,500		 623,903
5,076,140		 (580,105)
5,072,745		 43,098
540,402		 (537,007)
5,613,147
4,875,995 824,048 5,700,043 4,492,640 583,500 5,076,140

All the above results, other than those stated under discontinued operations, continued throughout the year.There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 21 to the financial statements.

35

St. Michael's Hospice (North Hampshire)

Company no. 02588395

Balance sheet

As at 31 March 2026

Note
Fixed assets:
12
13
Current assets:
Stock
14
Liabilities:
15
18
19
Total unrestricted funds
General funds
Designated funds
Total funds
Unrestricted income funds:
Creditors: amounts falling due within one year
Net current assets
Funds:
Restricted income funds
Total net assets
Investments
Cash at bank and in hand
Tangible assets
Debtors		 2026
£
1,134,183
3,752,348		 2025
£
887,909
3,436,570
4,886,531
9,012
536,381
815,802		 4,324,479
-
559,076
681,507
1,361,195
(547,683)		 1,240,583
(488,922)
813,512 751,661
5,700,043 5,076,140
824,049
1,287,375
3,588,619		 583,500
1,765,771
2,726,869
4,875,994 4,492,640
5,700,043 5,076,140

Approved by the trustees on 3 August 2026 and signed on their behalf by

D Bowden Chairman

36

St. Michael's Hospice (North Hampshire)

Statement of cash flows

For the year ended 31 March 2026

Reconciliation of net income / (expenditure) to net cash flow from operating activities

Net (expenditure)/income for the reporting period
(as per the statement of financial activities)
Depreciation charges
Loss on disposal of Fixed Assets
(Gains)/Losses on investments
Dividends and interest from investments
Decrease/(increase) in debtors
Increase/ (decrease) in creditors
Net cash provided by/(used in) operating activities
Note
£
£
443,990
5
108,262
12
(410,610)
13
(3,477,093)
13
3,469,746
(309,695)
134,295
681,507
815,802
Proceeds from sale of investments
Purchase of investments
Cash and cash equivalents at the beginning of the
year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Cash flows from operating activities
Net cash (used in)/ provided by investing activities
Net cash (used in)/ provided by operating activities
Cash flows from investing activities:
Dividends and interest from investments
Purchase of fixed assets
2026		 Net (expenditure)/income for the reporting period
(as per the statement of financial activities)
Depreciation charges
Loss on disposal of Fixed Assets
(Gains)/Losses on investments
Dividends and interest from investments
Decrease/(increase) in debtors
Increase/ (decrease) in creditors
Net cash provided by/(used in) operating activities
Note
£
£
443,990
5
108,262
12
(410,610)
13
(3,477,093)
13
3,469,746
(309,695)
134,295
681,507
815,802
Proceeds from sale of investments
Purchase of investments
Cash and cash equivalents at the beginning of the
year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Cash flows from operating activities
Net cash (used in)/ provided by investing activities
Net cash (used in)/ provided by operating activities
Cash flows from investing activities:
Dividends and interest from investments
Purchase of fixed assets
2026		 Net (expenditure)/income for the reporting period
(as per the statement of financial activities)
Depreciation charges
Loss on disposal of Fixed Assets
(Gains)/Losses on investments
Dividends and interest from investments
Decrease/(increase) in debtors
Increase/ (decrease) in creditors
Net cash provided by/(used in) operating activities
Note
£
£
443,990
5
108,262
12
(410,610)
13
(3,477,093)
13
3,469,746
(309,695)
134,295
681,507
815,802
Proceeds from sale of investments
Purchase of investments
Cash and cash equivalents at the beginning of the
year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Cash flows from operating activities
Net cash (used in)/ provided by investing activities
Net cash (used in)/ provided by operating activities
Cash flows from investing activities:
Dividends and interest from investments
Purchase of fixed assets
2026		 2026
£
623,903
156,898
7,438
(308,431)
(108,262)
13,683
58,761		 2025
£
(537,007)
133,871
-
161,381
(136,119)
(236,378)
(7,184)
443,990 (621,436)
134,295
681,507		 (121,298)
802,805
815,802 681,507

37

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

a) Statutory information

St. Michael's Hospice (North Hampshire) is a charitable company limited by guarantee and is incorporated in England.

The registered office address is Basil de Ferranti House, Aldermaston Road, Basingstoke, Hampshire, RG24 9NB.

b) Trading subsidiary

St. Michael's Hospice (North Hampshire) has one wholly owned subsidiary, St Michael's Hospice (North Hampshire) Trading Limited (17081187), incorporated in England and Wales on 10 March 2026. The company was dormant to 31 March 2026 and as a result group accounts are not required to be prepared.

c) Basis of preparation

The financial statements have been prepared in accordance with 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)- (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

In applying the financial reporting framework, the trustees have made a number of subjective judgements, for example in respect of significant accounting estimates. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The nature of the estimation means the actual outcomes could differ from those estimates. Any significant estimates and judgements affecting these financial statements are detailed within the relevant accounting policy below.

d) Public benefit entity

The charitable company meets the definition of a public benefit entity under FRS 102.

e) Going concern

The trustees consider that there are no material uncertainties about the charitable company's ability to continue as a going concern.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

f) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

Income from insurance claims is recognised when the income criteria is met and the value is considered measurable.

38

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

For legacies, entitlement is taken as the earlier of the estate accounts have been drafted and notification has been made by the executor(s) to the charity that a distribution will be made or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is a treated as a contingent asset and disclosed if material.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

i) Fund accounting

Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which meets these criteria is charged to the fund.

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are funds allocated by the trustees for specific projects, risks or costs.

j) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

39

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

k) Allocation of support costs

Resources expended are allocated to the particular activity where the cost relates directly to that activity. Where information about the aims, objectives and projects of the charity is provided to potential beneficiaries, the costs associated with this publicity are allocated to the cost of raising funds. Costs which cannot be directly attributed are allocated based on the head count in each department, which works out as the following percentages for both this and the previous year:

22% (prior year 26%) 10% (prior year 9%) 68% Prior year 65%)

Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities. They are allocated on the following basis which is representative of the estimated time spent on each area of the business:

 Retail 25%

 Cost of raising funds 25%

 Specialist palliative care 50%

l) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

m) Tangible fixed assets

Tangible fixed assets are capitalised where the purchase price exceeds £10,000. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Depreciation is provided on all tangible fixed assets other than land, at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The useful lives are as follows:

n) Investments

Listed investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. Any change in fair value will be recognised in the statement of financial activities and any excess of fair value over the historic cost of the investments will be shown as a fair value reserve in the balance sheet. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Net gains/(losses) on investments’ in the statement of financial activities. The charity does not acquire put options, derivatives or other complex financial instruments.

o) Stocks

Stocks of donated goods for resale in the shops are not included in the accounts. It is deemed that the effort required to value the high volume and low individual value of the stock outweighs any benefit of including stock in the financial statements. Stock of new goods is valued at the lower of cost and net realisable value.

40

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

1 Accounting policies (continued)

p) Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.

q) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.

r) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

s) Pensions

The charity contributes to the NHS Superannuation pension scheme for certain qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The pension charge represents contributions payable by the charity to the fund. It is a multi-employer scheme and the charity is unable to identify its share of the underlying assets and liabilities. It is therefore accounted for as though it were a defined contribution scheme.

The charity also provides a defined contribution pension scheme for employees other than those within the NHS superannuation pension scheme and contributes up to 6% of basic salary. Contributions are recognised when due.

41

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

2026 2025
Unrestricted Restricted Total Unrestricted Restricted Total
£ £ £ £ £ £
Donations and grants 1,700,700 233,940 1,934,640 1,585,539 207,745 1,793,284
Legacies 362,615 - 362,615 320,732 - 320,732
2,063,315 233,940 2,297,255 1,906,271 207,745 2,114,016

In addition to the legacies above, we had a contingent legacy assets at 31.03.26 which could be reasonably valued at £430,000 (2025: £100,000). This relates to two estates where we are a named beneficiary, probate had been granted and property is in the process of being sold.

3 Income from charitable activities

Income from charitable activities
Income from Hampshire Integrated Care Board
Income from Odiham Cottage Hospital
Other income
Department for Health & Social Care - Capital
Grant
Total income from charitable activities		 Unrestricted
£
1,462,327
15,000
-
268,353		 £
-
-
350,111
-
Restricted		 2026
Total
£
1,462,327
15,000
350,111
268,353		 Unrestricted
£
955,548
20,000
-
121,339		 £
-
-
86,339
-
Restricted		 2025
Total
£
955,548
20,000
86,339
121,339
1,745,680 350,111 2,095,791 1,096,887 86,339 1,183,226

Other income includes £234,227 income received from Rowans Hospice in relation to St Michael's staff working across both hospices as part of a collaborative agreement (2025: £80,749).

Income from other trading activities
Retail
Lottery
Events		 Unrestricted
£
2,346,283
168,289
179,001		 £
-
-
-
Restricted		 2026
Total
£
2,346,283
168,289
179,001		 Unrestricted
£
2,276,382
188,768
117,905		 £
-
-
-
Restricted		 2025
Total
£
2,276,382
188,768
117,905
2,693,573 - 2,693,573 2,583,055 - 2,583,055

5 Income from investments

Income from investments
Bank interest
COIF Charities Investment Funds		 Unrestricted
£
101,191
7,071		 £
-
-
Restricted		 2026
Total
£
101,191
7,071		 Unrestricted
£
131,340
4,779		 Restricted
£
-
-		 2025
Total
£
131,340
4,779
108,262 - 108,262 136,119 - 136,119

42

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

6a Analysis of expenditure (current year)

Staff costs (Note 8)
Direct care costs
Direct cost of generating funds
Premises
Legal and professional services
Equipment, supplies and consumables
Depreciation & dilapidations
Other costs
Support costs
Governance costs
Total expenditure 2026
Total expenditure 2025		 Raisingfunds Raisingfunds Charitable
activities		 Support and
governance
costs
£
645,174
-
-
11,720
22,814
71,232
32,353
47,749		 2026
Total
2025
Total
£
£
5,104,249
4,744,833
151,417
152,991
371,839
344,059
457,083
481,435
137,211
133,803
400,102
315,962
176,143
147,646
81,365
71,313
6,879,409
6,392,042
-
-
-
-
6,879,409
6,392,042
Retail
£
923,609
-
141,964
375,287
17,518
58,047
24,332
6,183		 Cost of
raising funds
£
526,493
-
229,875
23,400
8,019
34,788
-
3,340		 Specialist
palliative care
£
3,008,973
151,417
-
46,676
88,860
236,035
119,458
24,093
1,546,940
170,031
16,476		 825,915
75,014
16,476		 3,675,512
520,094
32,951		 831,042
(765,139)
(65,903)
1,733,447 917,405 4,228,557 -
1,668,369 784,934 3,938,739 -

43

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

6b Analysis of expenditure (prior year)

Staff costs (Note 8)
Direct care costs
Direct cost of generating funds
Premises
Legal and professional services
Equipment, supplies and consumables
Depreciation & dilapidations
Other costs
Support costs
Governance costs
Total expenditure 2025		 Raisingfunds Raisingfunds Charitable
activities		 Support and
governance
costs
2025
Total
£
£
546,833
4,744,833
-
152,991
-
344,059
8,736
481,435
22,538
133,803
49,643
315,962
14,830
147,646
40,383
71,313
682,963
6,392,042
(623,738)
-
(59,225)
-
-
6,392,042
Retail
£
851,080
-
158,027
400,298
10,395
55,456
23,821
8,734		 Cost of
raising funds
£
450,044
-
186,032
23,400
13,508
32,435
-
2,546		 Specialist
palliative care
£
2,896,876
152,991
-
49,001
87,362
178,428
108,995
19,650
1,507,811
145,751
14,807		 707,965
62,162
14,807		 3,493,303
415,825
29,611
1,668,369 784,934 3,938,739

44

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

This is stated after charging/ (crediting):

This is stated after charging/ (crediting):
2026 2025
£ £
Depreciation 156,898 133,871
Operating lease rentals:
Property 302,659 326,889
Other 65,881 49,795
Auditor's remuneration (excluding VAT):
Audit 17,300 16,675
Other services - tax advice/ services - 325

Staff costs were as follows:

Staff costs were as follows:
Salaries and wages
Social security costs
Employer’s contribution to pension schemes
Other forms of employee benefits
Termination costs - paid		 2026
£
4,220,280
450,932
397,626
35,410
-		 2025
£
4,018,726
298,594
381,275
37,831
8,407
5,104,248 4,744,833

The following number of employees received employee benefits (excluding employer pension costs and employers national insurance), of over £60,000 during the year as follows:

2026 2025
No. No.
£60,000 - £69,999 2 1
£70,000 - £79,999 1 2
£80,000 - £89,999 - -
£90,000 - £99,999 - -
£100,000 - £109,999 - -
£110,000 - £119,999 1 1

Four members of the Senior Leadership Team worked under a collaboration agreement with Rowans Hospice during the year. The salary banding details above, and the key management personnel disclosure below are the net cost to the Hospice for the time spent managing St Michael's Hospice matters.

The total employee benefits including pension contributions and national insurance of the key management personnel were £495,554 (2025: £615,766). The Medical Director is paid via a Service Level Agreement (SLA) with Hampshire Hospital Foundation Trust (HHFT). The HHFT SLA costs are included in the above figures and disclosures.

There were no redundancy payments during the year (2025: £8,407).

The charity trustees were not paid or receive any other benefits from employment with the charity in the year (2025: £nil). No charity trustee received payment for professional or other services supplied to the charity (2025: £nil). During the year, no expenses were reimbursed to trustees (2025: £nil).

45

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

9 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was as follows:

Support
Specialist palliative care
Raising funds
Governance		 2026
No.
44.9
93.1
10.4
0.6		 2025
No.
43.8
96.7
11.0
0.6
149.0 152.1

10 Related party transactions

During the year donations of £31,507 (2025: £24,249) were received from trustees, of which £909 (2025: £1,269) was from a company for which a trustee is a director. None of the income was restricted.

St Michael’s Hospice worked collaboratively with Rowans Hospice during year through the sharing of management resources including three members of the Senior Leadership Team all year, plus the Director of Income Generation, PA to the CEO and Quality and Governance Lead from February 2026. A total of £223,663 (2025: £86,929) was invoiced to Rowan’s Hospice during this period including £12,238 (2025: £4,590) of expense payments.

Caroline Baugh (practising as O'Keeffe) is the Clinical Lead of the NHS Hampshire & Isle of Wight Integrated Care Board who are the commissioning body of the Hospice who paid £1,462,327 (2025: £955,548) to the Hospice during the year in accordance with the NHS Contract for services.

11 Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.

46

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

Tangible fixed assets
Additions in year
Disposals in year
At the start of the year
Charge for the year
Depreciation
At the end of the year
Eliminated on disposal
Cost
At the end of the year
At the start of the year
At the end of the year
Net book value
At the start of the year		 Freehold
land
£
182,049
-
-		 Freehold
buildings
£
2,996,786
212,355
(51,909)		 Fixtures,
fittings and
equipment
£
765,299
198,255
(114,871)		 Total
£
3,944,134
410,610
(166,780)
182,049 3,157,232 848,683 4,187,964
-
-
-		 2,592,877
65,885
(44,471)		 463,348
91,013
(114,871)		 3,056,225
156,898
(159,342)
- 2,614,291 439,490 3,053,781
182,049 542,941 409,193 1,134,183
182,049 403,909 301,951 887,909

The freehold land shown above at cost of £182,049 (2025: £182,049) is not depreciated.

All of the assets shown above are used for charitable purposes.

47

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

Investments
Those held at fair value
Investments comprise:
Additions at cost - opening of account with LGT
Fair value at the end of the year
Cash
UK Common investment funds
Listed Investments
Fair value at the start of the year
Disposal proceeds - closure of account with CCLA
Net gain/(loss) on change in fair value		 2026
£
3,436,570
3,477,093
(3,469,746)
308,431		 2025
£
4,097,951
-
(500,000)
(161,381)
3,752,348 3,436,570
3,752,348 3,436,570

The charity owns the whole of the issued ordinary share capital of St Michael's Hospice (North Hampshire) Trading Limited, a company registered in England and Wales. The company number is 17081187. The registered office address is Basil de Ferranti House, Aldermaston Road, Basingstoke, Hampshire, RG24 9NB. The subsidiary will be used for nonprimarly purpose trading activities from 1 April 2026.

The company was incorporated on 10 March 2026 and was dormant to 31 March 2026. Daniel Bowden and Elizabeth Strange are director of the subsidiary.

14 Debtors

Debtors
Prepayments
Other taxation
Other debtors
Trade debtors		 2026
£
14,914
130,616
231,016
159,835		 2025
£
21,781
114,507
274,664
148,124
536,381 559,076

48

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

Creditors: amounts falling due within one year
Accruals
Trade creditors
Deferred income (note 16)		 2026
£
234,945
199,913
112,825		 2025
£
132,784
248,443
107,695
547,683 488,922

16 Deferred income

Deferred income comprises income received in respect of events being held after the year end and lottery income received in advance of the draw.

Balance at the beginning of the year
Amount released to income in the year
Amount deferred in the year
Balance at the end of the year		 2026
£
107,695
(107,695)
112,825		 2025
£
50,498
(50,498)
107,695
112,825 107,695

49

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

17 Pension schemes

The charity operates a defined contribution pension scheme for certain qualifying employees and contributes up to 6% of basic salary matching employee contributions. The total pension contributions payable in the year were £226,417 (2025: £ 216,484). There were £nil outstanding contributions at the year end, (2025: £17,121).

Past and present employees are covered by the provisions of the NHS Pension Schemes. Details of the benefits payable and rules of the schemes can be found on the NHS Pensions website at www.nhsbsa.nhs.uk/pensions. Both the 1995/2008 and 2015 schemes are accounted for, and the scheme liability valued, as a single combined scheme. Both are unfunded defined benefit schemes that cover NHS employers, GP practices and other bodies, allowed under the direction of the Secretary of State for Health and Social Care in England and Wales. They are not designed to be run in a way that would enable NHS bodies to identify their share of the underlying scheme assets and liabilities. Therefore, each scheme is accounted for as if it were a defined contribution scheme: the cost to the NHS body of participating in each scheme is taken as equal to the contributions payable to that scheme for the accounting period.

In order that the defined benefit obligations recognised in the financial statements do not differ materially from those that would be determined at the reporting date by a formal actuarial valuation, the FReM requires that “the period between formal valuations shall be four years, with approximate assessments in intervening years”.

An outline of these follows:

a) Accounting valuation

A valuation of scheme liability is carried out annually by the scheme actuary (currently the Government Actuary’s Department) as at the end of the reporting period. This utilises an actuarial assessment for the previous accounting period in conjunction with updated membership and financial data for the current reporting period, and is accepted as providing suitably robust figures for financial reporting purposes. The valuation of the scheme liability as at 31 March 2026, is based on valuation data as at 31 March 2024, updated to 31 March 2026 with summary global member and accounting data. In undertaking this actuarial assessment, the methodology prescribed in IAS 19, relevant FReM interpretations, and the discount rate prescribed by HM Treasury have also been used.

The latest assessment of the liabilities of the scheme is contained in the Statement by the Actuary, which forms part of the annual NHS Pension Scheme Annual Report and Accounts. These accounts can be viewed on the NHS Pensions website and are published annually. Copies can also be obtained from The Stationery Office.

b) Full actuarial (funding) valuation

The purpose of this valuation is to assess the level of liability in respect of the benefits due under the schemes (considering recent demographic experience), and to recommend the contribution rate payable by employers.

The latest actuarial valuation undertaken for the NHS Pension Scheme was completed as at 31 March 2020. The results of this valuation set the employer contribution rate payable from 1 April 2024 to 23.7% of pensionable pay. The core cost cap cost of the scheme was calculated to be outside of the 3% cost cap corridor as at 31 March 2020. However, when the wider economic situation was taken into account through the economic cost cap cost of the scheme, the cost cap corridor was not similarly breached. As a result, there was no impact on the member benefit structure or contribution rates.

The 2024 actuarial valuation is currently being prepared and will be published before new contribution rates are implemented from April 2027.

50

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

18a Analysis of net assets between funds (current year)

18b
19a
At the start of
the year
£
471,912
75,674
35,915
Total restricted funds
583,501
700,000
33,785
370,486
-
661,500
Total designated funds
1,765,771
General funds
2,726,869
4,492,640
5,076,141
Total unrestricted funds
Fixed asset fund
Operating fund
Net current assets
Investments
Tangible fixed assets
Net assets at the end of the year
Analysis of net assets between funds (prior year)
Net assets at the end of the year
Movements in funds (current year)
Investments
Tangible fixed assets
Legacy contingency fund
Insurance fund
Capital projects fund
Designated funds:
Building projects
Net current assets
Restricted funds:
Department for Health & Social Care
Unrestricted funds:
Total funds
Donations/Grants expended		 18b
19a
At the start of
the year
£
471,912
75,674
35,915
Total restricted funds
583,501
700,000
33,785
370,486
-
661,500
Total designated funds
1,765,771
General funds
2,726,869
4,492,640
5,076,141
Total unrestricted funds
Fixed asset fund
Operating fund
Net current assets
Investments
Tangible fixed assets
Net assets at the end of the year
Analysis of net assets between funds (prior year)
Net assets at the end of the year
Movements in funds (current year)
Investments
Tangible fixed assets
Legacy contingency fund
Insurance fund
Capital projects fund
Designated funds:
Building projects
Net current assets
Restricted funds:
Department for Health & Social Care
Unrestricted funds:
Total funds
Donations/Grants expended		 General
unrestricted
£
-
3,588,619
-		 Designated
funds
£
320,375
163,730
803,270		 Restricted
funds
813,807
-
10,242		 Total
funds
£
1,134,182
3,752,349
813,512
3,588,619 1,287,375 824,049 5,700,043
General
unrestricted
£
-
2,726,869
-		 Designated
funds
£
370,486
709,701
685,584		 Restricted
funds
£
517,423
-
66,077		 Total
funds
£
887,909
3,436,570
751,661
2,726,869 1,765,771 583,500 5,076,140
Income &
gains
£
38,980
350,111
194,960		 Expenditure &
losses
£
(101,213)
(21,657)
(220,633)		 Transfers
£
-
-
-		 At the end of
the year
£
409,679
404,128
10,242
583,501 584,051 (343,503) - 824,049
700,000
33,785
370,486
-
661,500		 -
-
-
-
(195,500)		 (630,000)
(33,785)
(50,111)
-
-		 -
-
-
431,000
-		 70,000
-
320,375
431,000
466,000
1,765,771 (195,500) (713,896) 431,000 1,287,375
2,726,869 7,114,761 (5,822,011) (431,000) 3,588,619
4,492,640 6,919,261 (6,535,907) - 4,875,994
5,076,141 7,503,312 (6,879,410) - 5,700,043

51

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

19b Movements in funds (prior year)

Movements in funds (prior year)
Total restricted funds
Total designated funds
General funds
Restricted funds:
Building projects
Fixed asset fund
Capital projects fund
Insurance fund
Legacy contingency fund
Total unrestricted funds
Total funds
Department for Health & Social Care
Designated funds:
Unrestricted funds:
Donations/Grants expended
Operating fund		 At the start of
the year
£
523,084
-
17,318		 Income &
gains
£
-
86,339
207,745		 Expenditure &
losses
£
(81,335)
(10,665)
(158,986)		 Transfers
£
-
-
-		 At the end of
the year
£
441,749
75,674
66,077
540,402 294,084 (250,986) - 583,500
76,000
54,045
362,715
1,160,000
858,000		 -
-
7,771
-
(196,500)		 (76,000)
(20,260)
-
(533,720)
-		 700,000
-
-
(626,280)
-		 700,000
33,785
370,486
-
661,500
2,510,760 (188,729) (629,980) 73,720 1,765,771
2,561,985 5,911,061 (5,672,457) (73,720) 2,726,869
5,072,745 5,722,332 (6,302,437) - 4,492,640
5,613,147 6,016,416 (6,553,423) - 5,076,140

Funds - current and prior years

Purposes of restricted funds

Building projects: Donations were received for building projects to provide for the expansion and refurbishment of the Hospice buildings. As the final project was completed in April 2014, all of the outgoings relate to depreciation.

Department for Health & Social Care - Capital Grant: This was used for capital purchases in the 24 months to 31 March 2026.

Donations/Grants expended: The income is for a medical salaries grant, energy project and various other small projects.

Wessex GP Education Trust: Funding to enable additional staff to attend History Taking course.

Patient Room Refurbishment: This represents donations from Trusts towards the refurbishment of all patient rooms and will be written down over 5 years in line with our depreciation accounting policy.

52

St. Michael's Hospice (North Hampshire)

Notes to the financial statements

For the year ended 31 March 2026

19 Funds - current and prior years (continued)

Purposes of designated funds

Capital projects fund: Reserves have been designated of £70k (2025: £700k) towards the long-term strategic aim to improve the main hospice premises with improved Living Well and office spaces.

Insurance fund : during 2021 a successful claim for business interruption was made. However, this resulted in a significant increase in insurance premium. This fund was to cover the additional cost of insurance for a five year period. As we have seen a significant decrease in insurance costs as of August 2025 we have now released this fund.

Fixed asset fund: This is the value of fixed assets in the balance sheet owned by the Hospice and not covered by restricted funds. These assets cannot be readily realised into cash so are therefore excluded from our general reserves.

Operating fund: This represented the reserves needed to cover the forecast deficits for the three years to 31.03.29 while the hospice returned to a breakeven position.

Legacy Contingency fund: the legacy contingency fund represents the gap between two years legacy budget and the known legacy pipeline. Annually the trustees consider the risks within the legacy budget and adjust amount held in the legacy contingency fund.

Fair value reserve: This fund represents the excess of fair value over the historic cost of the investments (no longer used).

20 Operating lease commitments

The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:

following periods:
Less than one year
One to five years		 2026
2025
£
£
222,859
159,700
589,136
344,363
811,995
504,063
Property		 2026
2025
£
£
58,363
52,591
52,402
74,937
110,765
127,528
Equipment
811,995 504,063 110,765 127,528

The above equipment lease commitments include company cars provided to qualifying staff under a salary sacrifice arrangement.

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £10.

53