F or the year ended 31 March 2024 A nnu al R eport and F inancial S tatements
© Making the most of short and precious lives Registered Charity No. 1003314 Company No. 02620879 (England and Wales) www.chsw.org.uk
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Charlton Farm 2023
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Little Bridge House 2021
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Little Harbour 2013
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Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
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Welcome to our Annual Report 2023 to 2024
At Children’s Hospice South West (CHSW) we believe that every baby, child, young person, and family deserves the highest quality of care. I n the 2023/ 2024 year, we focused on increasing our activity to meet the individual needs of those families we support. Whether in hospice, at home, or virtually, we have worked tirelessly to be there when they need us most, o�ering them choice and �exibility in their care�
Our commitment to continuous improvement is evidenced by the considerable progress across our service. We have maintained our robust system of governance, fostering an open culture throughout our teams� We have encouraged collaborative working across our 3 hospices to develop an infrastructure of holistic support, increase levels of daycare and support of the launch of a pilot 24- hour end of life care service in the Bristol, North Somerset and South Gloucestershire area, in collaboration with other agencies.
Despite the national challenges with nurse recruitment, we saw an improvement in our Care �eam numbers, thanks to a concerted e�ort to support the recruitment and retention of all CHSW sta�, particularly nurses� Our strategy for 2024�202� will focus on further strengthening our work force to maintain the high standards of care for which we are k nown.
From a �nancial standpoint we have faced rising costs due to in�ation, increased care activities, and statutory wage increases, with expenditure on care
rising over 23% . Consequently, our income largely matched our expenditure� We generated a surplus for the year due to an increase in the mark et value of our investments and one-o� disposal of a piece of land, which had been generously donated to the charity as a legacy gi�� �his surplus will be crucial in ensuring the sustainability of vital care services amid ongoing economic challenges. While this strengthens our �nancial stability, continued support and ongoing donations remain crucial to maintaining and expanding our services to reach even more families.
As Royal Patron of CHSW since 201�, we were delighted to welcome Her Majesty The Queen to Charlton F arm, being the last of CHSW’s 3 hospices for her to visit. We are tremendously grateful for Her Ma�esty’s o�cial patronage and continued commitment to our vital work .
We extend our hear�elt thanks to our incredible sta�, dedicated volunteers, generous supporters and the wider community, whose unwavering commitment and compassion continue to make a profound di�erence in the lives of the babies, children, young people and families we support.
Eddie F arwell MBE Co- ounder and Chief Executive O�cer (CEO)
Tricia Morris Chair of Trustees
A personal message from Tricia, our Chair of Trustees
�his year has been a pivotal time for CHSW, marked by re�ection and planning as Eddie announced his retirement, e�ective from April 202�, a�er more than 30 years of dedicated service as Co- ounder and CEO. Together with his late wife, Jill, Eddie and his family have built the charity’s compassionate care vision into 3 hospices providing critical support across the region� �he Board of �rustees has expressed deep gratitude for their remarkable service and leadership over the years.
As we move into the next phase of CHSW’s �ourney, our priorities include ensuring a smooth leadership transition and expansion of our vital services to respond to the needs of families.
We remain committed to our mission and will strive to build on the solid foundation laid over the past decades.
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
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Contents
Trustees’ report (including the strategic report) for the year ended 31 March 2024..............................5 Our objectives and activities........................5 Our purpose, vision and ethos ........................................... � Organisational principles ..................................................... � Our core values and behaviours ........................................ 6 Our strategy ............................................................................ 7 Public bene�t .......................................................................... 7 Our achievements in 2023 to 2024 .................................. 8 Our key ob�ectives for 2024 to 202� ............................... 9 CHSW hospice activity levels from April 2023 to March 2024 .......................................10 How our 3 hospices support the whole family ............11 �he di�erence CHSW makes ...........................................14 Income generation ..............................................................16 Our financial performance.......................... 18 Our �nancial reserves ........................................................20 Our investment approach .................................................20 How we manage risks and uncertainties .......................21 Statement of �rustees’ responsibilities ..........................23 Financial statements ......................................24 Accounting policies.........................................47 Audit report .......................................................... 51 I ndependent auditor’s report to the members of CHSW ................................................. �1 Structure, governance and management............................................54 Reference and administration...................58 Fundraising standards.................................... 59 aluing our supporters and upholding high standards ..................................................��
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
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Trustees’ report (including the strategic report) for the year ended 31 March 2024
Our objectives and activities
Our purpose, vision and ethos
Our purpose is to mak e the most of short and precious lives and to put babies, children, young people and their families at the centre of all we do.
Our vision is to provide high quality care to every baby, child and young person in the South West who may not live to their 18th birthday.
Our ethos
and volunteers) places babies, children, young people To achieve this, everyone will be expected to promote a and their families at the centre of the organisation. strong, caring, community environment, characterised by a culture of sensitivity, trust, consideration and respect for others.
Organisational principles
Our ethos gives rise to a set of principles which determine how CHSW as an organisation operates on a day to day basis. We will:
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Be an organisation which places babies, children, young people and their families at the heart of all that we do
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Continually engage with and listen to our children, young people and families, employees, volunteers and supporters
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Ensure that diversity, integrity, quality and respect are an integral part of all that we do
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Ensure that everyone has the tools to do their job and is provided with appropriate opportunities to develop and gain new sk ills
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Be ethical, open, honest and compliant in all that we do
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Be one organisation with common goals while tailoring services to individual families, and according to individual need
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Work collaboratively with our colleagues and external partners
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Spend the money we raise wisely with our focus being on the care we provide
valued and appreciated
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Our core values and behaviours
Everyone work ing for, or on behalf of CHSW will act to or with:
are and respect C or each oth er: Recognising and accepting our responsibility for safeguarding babies, children, young people and adults, protecting them from harm
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Acting fairly and with consideration, treating others as we would wish to be treated ourselves
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inding out what
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other colleagues do, encouraging them and recognising the value that each brings to the organisation
Embracing and recognising the importance of di�erence and diversity.
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H onestyand accou, openness ntab ility S trivex cellence:e f or Behaving with Seek ing to openness, integrity continuously develop and honesty and improve for Communicating your own bene�t swi�ly and openly and the charity and listening Always protecting to the views of the reputation of others respec�ully the charity
- Always protecting the reputation of the charity Celebrating success�
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Tak ing responsibility for your own actions and being accountable for them Sorting out mistakes and concerns swi�ly and without fuss.
W orktog eth er:
Ensuring dynamic and harmonious team work ing to achieve success Work ing with and involving our families, supporters and volunteers, understanding who they are and what their needs might be Mak ing the best use of organisational resources; having regard for sustainability, e�ciency and respect for the environment.
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Our strategy
In July 2024 a review and revision of our strategic objectives was undertaken by the Board of Trustees, recognising the transitional period the charity was entering with the retirement of Eddie Farwell, our Co-Founder and CEO, and the recruitment and introduction of his replacement.
The Board of Trustees identified several key strategic priorities extending from 2024 to 2026 with an intended review early in 2026.
These key priorities include:
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To embed, define and communicate our current and developing care offer to all staff, current (and potential) families and referring professionals
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To define, measure and evaluate the effective use of our hospice sites and people resources to enable us to develop further plans to continue to give responsive, effective, safe and high-quality care to babies, children, young people and their families
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To produce a revised and responsive income generation strategy which maximises new opportunities and maintains and grows commitment to our communities
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Make the best use of digital and integrated data capture processes to robustly and accurately report the impact of our work to all internal and external stakeholders, while informing plans for the future
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Understand and qualify the extent of the ‘unmet need’ across the South West by undertaking authentic and wide-reaching consultation with families, healthcare professionals and providers
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To have a key voice as one of the UK’s leading providers of palliative care for babies, children and young people, by actively engaging in, driving and participating in research, sector-wide review and the shaping of future provision.
Public benefit
The Board of Trustees confirm that they have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing the charity’s aims and objectives. The benefits are clearly set out in the achievement section on page 8 to 9. The Board of Trustees review the activities of the charity against its aims and objectives on an ongoing basis and are satisfied that all activities continue to
be related to its purpose. The beneficiaries are babies, children and young people living with life-limiting and life-threatening conditions and their families. A referral process is in place, with clear guidance on criteria, to ensure that those who meet the criteria are offered support by the charity. Our public services are supplied free of charge.
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Our achievements in 2023 to 2024
| 2023 to 2024 objectves | What we achieved |
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| 1We will develop and grow our clinical expertse to meet the changed nature of demand. We will ofer families more fexibility about how they access our care and where they wish to be at the end of life. We will contnue to develop and increase the ways we engage with families and increase mechanisms to gather service user feedback. |
With the appointment of a Lead for Clinical and a Lead for Educaton and Development, we have ensured that our care and support remains safe, up to date and responsive. Our Senior Care Leadership Team has strengthened and collaboratve working at all 3 hospices has provided strong, robust leadership, enhancing the development of the workforce. Senior Team Leaders have supported a comprehensive competency training programme. |
| 2During the year, we will implement a digital clinical records system as part of the Care Clinical Informaton System (CIS) programme. |
Our new Care Digital Team have successfully implemented a digital CIS. This has enabled data transfer, staf engagement and training, evaluaton and feedback. In doing so, we have helped NHS England to achieve 80% of service providers using CIS by April 2024. |
| 3We will progress our recruitment and retenton strategy, with a focus on nurses. We will promote and evaluate the success of our changes to terms and conditons; extend our search outside the South West by atending recruitment fairs out of the region; and promotng lifestyle relocaton. |
Following our new Recruitment and Retenton Strategy, we are pleased to report a doubling in the number of nurses recruited last year. We atended 2 recruitment fairs and targeted social media campaigns and on-site nurse recruitment events, supported by our improved Terms and Conditons and the Refer a Nurse Friend Scheme. |
| 4To contnue to develop and evolve our workplace health, safety and wellbeing plans with partcular focus this year on workplace culture. To do this we will respond proactvely to the relevant fndings from our bi-annual staf survey, and work collaboratvely to assess our strengths and where change will be positve. |
Following the Staf Survey in June 2023, we have been working with staf to explore the meaning of culture and the impact of change at CHSW. We have held sessions across the charity to hear and understand what our staf and Trustees value about CHSW. Our fndings will be the foundatons of our CEO recruitment process this Autumn. |
| 5We will develop and embed new stewardship plans across all fundraising methodologies, from event partcipaton, business partnerships and community engagement, to individual giving, lotery subscriptons and gifs in wills. |
We have tested a range of approaches throughout the year to ensure that thanking our supporters (across all areas of fundraising) remains central to all we do in fundraising. We will contnue to develop these programmes moving forward. |
| 6We will develop new tools to share our impact, enabling people and organisatons to see the diference their support is making. |
We have created a full suite of ‘money handles’ that demonstrate the diference donatons make. These have been well received and will be revised and shared annually. |
| 7Contnue to support individual relatonship development with our growing supporter base, through the implementaton of a website and database sofware upgrade. |
A website and database sofware upgrade have been completed during 2023 to 2024, these upgrades will allow greater opportunites for individualised and targeted communicatons. |
| 8To complete our shop refurbishment and relocaton programme, utlising the new open plan format where possible. To roll out a new Electronic Point of Sale (EPoS) system aimed at improving Gif Aid recovery. Under a new retail strategy, we plan to start a programme of new shop openings. |
We completed 6 shop refurbishments taking the total under this strategic objectve to 10. We have 4 more to complete in 2024 to 2025 which will fnish this strategic program. We implemented a new EPoS system. Which has helped to increase retail Gif Aid recovery now up to 45%. In the second half of 2024 to 2025 we are planning to open 2 new shops taking the CHSW retail feet to 40 shops. |
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Our key objectives for 2024 to 2025
We plan to achieve the following key objectives:
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1 Define and publish our care offer to all stakeholders
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2 Review and improve the way we capture care activity and report progress against newly defined Key Performance Indicators (KPIs)
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3 To research and test new opportunities for income generation which will feed into a new income generation strategy
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4 Setup a management information project to define business reporting needs and begin to develop a centralised, real-time information hub
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5 To extend the end of life at home pilot project in the Bristol area for a further year to allow time for meaningful evaluation. Alongside this we will conduct a feasibility project to investigate how end of life in the home could be delivered across the region
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6 Develop a framework and strategy to inform our research ambitions.
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CHSW hospice activity levels from April 2023 to March 2024
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parents or carers
supported by CHSW
9 0 7
5 2 4
b ab ies, ch ildren
and y ou ng people
supported by CHSW
sib ling s
supported by CHSW
8 7 9
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CHSW cares for babies, children and young people of all ages, from neonates to teenagers, and can continue to care for some very poorly young adults who are in the end stages of their life. Below details the care and support activity in the hospices from 1 April 2023 to 31 March 2024�
, 9 total h ospice b ed nig ts and v isits , 3 , 1 amily memb er ab ies, ch ildren day v isits tarb orn nig ts* ed nig ts or y ou ng people ed nig ts Starborn is the name given to the temperature controlled room in CHSW hospices that babies, children or young people stay in a�er they have died�
, 7 , 9 parent or carer ospice b ed ed nig ts nig ts , 5 sib ling emerg ency ed nig ts ed nig ts
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How our 3 hospices support the whole family
Family support, holistic care and wellbeing support
During the past year, the focus has been on continuing the holistic support provided to babies, children, young people and their families. We appointed a Lead for Children and Families, who works alongside the Deputy Director of Care (Children and Families), and takes a safeguarding lead, along with the Team Leaders for Family Support in each hospice. These
appointments were made in recognition of the wideranging care and support offered to families who are supported by CHSW, and the aspiration to develop them further. It is anticipated that these roles will provide a clear infrastructure, and an overarching offer of support, while ensuring that the needs of families in the South West are met.
Music Therapy
Our Music Therapists offer time to support babies, children and young people receiving care, their parents, siblings and CHSW staff. They engage in co-composing music and co-creating lyrics, using music as a means of engagement (such as with bereaved siblings) and providing an opportunity for relationship building and access to support and safety to explore grief. Music Therapists can be responsive, having the freedom to work flexibly to meet the needs of individual children, young people and their families.
Alex, opposite, had a wonderful jamming session at Little Harbour and demonstrates how music is really effective at allowing children and young people to express themselves.
Examples of how Music Therapy has been used during the past 12 months include:
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Joining in with a toddler group in the hospice, providing an inclusive and accessible opportunity to experience Music Therapy
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Offering relaxation sessions in groups for bereaved parents
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Using music as a means of responding to low mood, anxiety, and reluctance to attend school
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Using music to provide a sense of achievement in the face of extensive chemotherapy
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Entertainment, distraction and fun
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Access to a medium that might otherwise be unattainable
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To enable movement through rhythm that is otherwise limited or restricted
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Working collaboratively with other holistic team members, in the hospice, at home or virtually (such as in-reach when babies, children or young people are in hospital)
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Using technology to enable young people with even the most significant of physical immobility to create music by way of manoeuvring an electric wheelchair across the sensors of a ‘sound beam’
Music Therapy sessions at our 3 children’s hospices open up wonderful possibilities for engagement and interaction. Children will often leave the sessions with a big smile on their face, having achieved something they never thought they could. Ceridwen, CHSW Lead Music Therapist _ Engaging the Care Team in music-based activity continues to bring joy to the wider teams, particularly around Christmas
- Providing bereaved parents with video footage of their children engaging in music sessions can bring positive memories of them accessing emotion, physicality, spirituality, psychological wellbeing and social engagement.
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ib ling S pport T eams
I n each hospice, we have a dedicated team who work to meet the needs of the siblings of babies, children and young people receiving care. They provide an opportunity for siblings to meet others who understand their unique family situation, who have been bereaved following the death of a sibling or who
live with a sibling who has a life-limiting condition and has complex needs that tak e up much of the family’s
concerns and worries, and feeling understood can enable the development of meaningful connections and friendships.
is a Teenage Week end.
During a weekend stay at Charlton Farm, 2 siblings (left) who had never met before struck up a friendship. They spent lots of time playing in different areas, them to write a song, and perform it for the Care including the music room and soft play. This inspired Team, about their stays at Charlton F arm, and how much they both love spending time there. This example of peer relationships is part of what the Sibling Support Team offer and encourage.
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_ \
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eedback received by the Sibling Support —— SN
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Teams during the past year include: I am writing to you and just want to say a huge thank you for helping me get through this difficult time, and for making the knickerbocker glory with me. Thank you for being my friend.
- During our stay there was another family with the same number of siblings and our children all played together. The Sibs Team were fantastic and went with the flow making sure they had opportunities to have the best time together.
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A huge thank you for the chat the other day, it has calmed my mind greatly. Thanks too for sending the wonderful package for my sibling, she was a bit blown away by it!
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| Se,
with siblings of babies, children and young people receiving care from CHSW, mak Our Sibling Support Teams develop ing and maintaining relationships connections in the hospice, at home and virtually, work ing to understand individual needs and enable
might arrange to meet in another venue in the community if this better meets the needs of the baby, child or young person.
grieving children following the death of their sibling, offering
advice and a listening ear when the grief feels overwhelming. This invaluable support is also available to schools. They also join with Care Team visits to babies, children and young people in hospital, providing time-out for siblings.
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Bereavement support
The teams at the 3 hospices continue to respond to the needs of bereaved family members. This includes individual or group support, advice, help with navigating funeral arrangements, hand casting, remembering events and activities, and continued contact with CHSW.
The ‘Dads in the Loop’ group for bereaved dads and male carers is a walking and talking group. This beautiful photograph was taken on a recent walk in Cornwall, 2 beautiful rainbows as 2 bereaved dads took in the sight. A dad in this group commented:
- I know we were only a small group, but it was a chance to reset, recharge and recalibrate with nature, coffee and cake - a great combination!
Our teams take time to understand the spiritual needs of families. One of our nurses refers to the following quote to define how we do this:
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Spirituality is recognising and celebrating that we are all inextricably connected to each other by a power greater than all of us, and that our connection to that power and to one another is grounded in love and compassion. Practicing spirituality brings a sense of perspective, meaning and purpose to our lives. 99
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This might manifest in several ways in our hospices: © Meeting the faith-based and religious needs of families by connecting with faith leaders and welcoming key members of families’ faith groups into the hospice
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Enabling christenings and other meaningful rituals to take place, where possible
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Encouraging and welcoming support from local communities, granting wishes to children and young people where we can
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Finding ways of connecting with children, young people and families using sensory methods rather than words
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Supporting parents, siblings and other family members through their bereavement
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Opportunity for informal contact with faith leaders, such as during lunch. This is of benefit to both families and staff
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Attending funerals at the family’s request, providing music, songs and art created by their child
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Remembering days and events, in 1 hospice bubbles are released for each baby, child or young person who has died.
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The difference CHSW makes
Permission has been sought and obtained from the parents to tell their child’s story.
Kelvin and his family visit Little Bridge House
The Care Team tell Kelvin’s story:
Back in the Summer of 2019, the Care Team organised a day of
a Bear Hunt.’ We bak ed biscuits for our picnic lunch, and we put up a big black tent and made it into the Bear’s Cave and acted out the Bear Hunt story with
as a team we all embraced and enjoyed the day.
Kelvin and his family joined us that day. His family made a biscuit with Kelvin using his handprint, they decorated it and wrote his name on it using icing. It look ed
member if they would lik e to mak e a handprint on paper. These were then used
to make a beautiful family tree picture which we framed and gave to the family to hang at home. They absolutely loved it, the smiles on their faces and the gratitude expressed gave us great pride.
“It ’s just great, thank you so much! It ’s an amazing thing to have with all of us in
Corey, took it home and k ept that biscuit safely in a drawer. When the family came in for a visit in June 2023, almost 4 years later, we ask ed if they would lik e to do some music again, they said they would love to, and Georgina and Corey immediately remembered and recalled all the wonderful activities they did with us
that she had k ept Kelvin’s biscuit safe for 3 years! One day, not long ago, Georgina took it out of the drawer just to look at it, and she dropped it and sadly the biscuit brok e, Georgina was devastated. She felt guilty that she had not made something more permanent, such as a picture using Kelvin’s handprint.
We, as a team here at Little Bridge House, immediately sprang into action and shared ideas about how we could help Mum
We agreed on our plan, having come up with the idea of ask ing each family
to hang it.”
One of our Care Team was also able to mak e an imprint of Kelvin’s hand and foot using air- dry clay which we then framed for Mum and Dad as a lasting memory for years to come.
our music sessions with our wonderful Music Therapist and team. As a team, we laid out a Jungle Trail Treasure Hunt outside, and the whole family went
treasure while making beautiful music as we went around. It was great fun, and Kelvin ended up with all the treasure animals! ! Another wonderful memory for the family (and us) to cherish in years to come.
These memories are a daily reminder of the special impact we have in the everyday
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Arlo and his family visit Little Harbour
Mum, Kate, tells Arlo’s story:
What Little Harbour means to me and my family. As a family, we’ve been using Little Harbour since Arlo was diagnosed back in August 2022. For us it’s been a place where you can recoup your thoughts and express your worries without judgment, it’s a place to get that much needed missed sleep. It’s a place where you can switch off from all the medical care and know that your child is being cared for by the most wonderful staff. It’s a place where you don’t need to cook, and you can focus on that much needed self-care.
It’s a place where Arlo’s big brother can just have fun, feel safe and have quality family time. We’re extremely thankful for all the support Little Harbour has given us as a family and continues to give us in the future.
Emily and her family visit Charlton Farm
Mum, tells Emily’s story:
In June 2023, we had a family hospice stay at Charlton Farm, our first since September 2022. From the moment we arrived, Emily looked around, gave the hugest grin ever and squealed with excitement! This continued as we went inside, and Emily promptly marched up to the bedrooms in her walking frame and then proceeded to explore the whole house, her grin never moving from her face, she was definitely happy to be back. I don’t think she stopped smiling the entire time we were there!
The rest of us were equally happy to be back, the sense of relief that hits you as you walk through the door, knowing you can switch off from all the caring and just be yourselves for the weekend is quite amazing. Seeing Emily so happy and relaxed, engaging with all the wonderful staff who looked after her, really helped me to relax which is something I am rarely able to do at home. I even found time to read a whole book, and James and I got out for a lovely walk around Portishead Marina, not needing to worry about what
time we got back, a rare treat for us indeed! When back at Charlton Farm, James relaxed in the best way he knows, playing the piano, much to the delight of the staff!
Bethan had a
wonderful time with the Sibling Support Team, with the bonus of a day looking after baby bunnies, which made it worth having had a day off school! She did some lovely activities and had some good chats; we could see it had done her an awful lot of good. A family session in the hydrotherapy pool was also very much enjoyed by us all.
We all went home feeling rejuvenated. It is hard to put into words how much our stay meant, I think we all felt a little lighter in our step, just having been looked after, having had time to relax and seeing the girls both having fun. Thank you Charlton Farm!
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Income generation
ank y ou f or mak ing s o mu ch p ossib le!
Once again, this past year has been characterised by the overwhelming support of the people and organisations of the South West, and beyond� Together, we have ensured that we can be there to support babies, children, young people and their families when they need us most.
We have enjoyed a full calendar of events, including the CHSW Bear Hunt that saw 25 brightly coloured bears bringing �oy to people across �orth Devon throughout the summer. Our Ride for Precious Lives had a record- break ing year with more th an 1 cy clists raising m ore th an £ , 0 !
Our local fundraising continues to be the beating heart of CHSW, and we are so grateful for every community group, school and local organisation that has played their part this year� Our particular thanks go to our incredibly committed Friends Groups who continue to �y the �ag for CHSW with such gusto�
This year has seen the relaunch of our CHSW Business Club and we have been delighted to continue our work with so many committed companies across the South West as well as welcoming many new friends. I n addition, companies have given their support through event sponsorship, volunteering days, Charity of the ear partnerships and longer term pledges of support.
I n a year where the cost of living crisis impacted many people, we have been grateful for the generous support of individuals with one-o� donations and
regular gi�s� We are also delighted to report that we now have more than , 0 play ers in ou r w eek ly R�ise � s�i�e �o�er��
Gi�s in wills continue to play an important part in funding the care we o�er, now and in the future�
Our shops have continued to en�oy the fantastic support of our local communities from donors and customers and have generated a record income of £ . 6 m during the year. This was helped by the refurbishment of a number of our shops during the year and the introduction of our new till system which now means that customers are aware of the CO2 being saved from their purchase alongside the contribution to the care of the hospices!
ere are some of th e h ig lig ts:
m received from generous donations from Charitable �rusts and Foundations�
. 5 m received from people who chose to remember CHSW with a gi� in their Will�
Over players in our Raise a smile Lottery raising more than m .
. 6 m raised in our 38 charity shops, turning pre- loved clothes and goods into precious memories.
. 8 m raised from voluntary fundraising. This includes . 2 m from supporters making donations of all si�es, and raised through CHSW events.
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Thank you to our wonderful volunteers, young and old!
We simply couldn’t do all that we do without our fabulous volunteers! This year hundreds of you have been part of the action in our shops, at our events, shouting about CHSW in your community, supporting bucket collections and much more!
From the very youngest to the very oldest, including 90 year old Helston shop volunteer Pearl! We are so grateful for all you do.
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Our financial performance
�he consolidated �nancial statement comprises the results of the charity together with those of C H S W Promotions Limited, a wholly owned subsidiary, which donates its pro�ts to the charity� �he consolidated statement of �nancial activities is set out on page 24�
Donations and legacies amounted to , 3 , 0 (2023 restated: £ 11,871,619), income raised from charitable activities (statutory income sources) amounted to , 7 , 2 (2023: �2,32�,3��), trading activities (including retail and Raise a smile Lottery) generated income of , 5 , 4 (2023: £ 6,122,948), investment income was , 1 (2023: £ 712,423) and other income , 7 (2023: £ 48,422).
Total income for the year was , 6 , 5 (2023 restated: £ 21,080,807).
Total expenditure for the year amounted to , 5 , 8 (2023: £ 16,824,702). This resulted in an operational surplus of , 7 (2023 restated: 4,256,105). Total net gains on investments, property and land was , 4 , 0 (2023: net gains £ 118,375) and therefore net income for the year was , 5 , 7 (2023 restated: £ 4,374,480).
Consolidated in the above �gures C H S W Promotions Limited, a trading subsidiary, has a turnover which amounted to , 3 (2023: �3�3,3��) and a pro�t
a�er taxation of , 3 (2023: £ 22,657). The company will donate this amount to the charity.
During 2023 to 2024, we were very grateful to receive a continued high level of legacy donations albeit this was £ 1.9m lower than the previous year. Our legacy income in 2023 to 2024 amounted to , 5 , 0 (2023 restated: £ 6,418,035) which is more than 23% of all our income. I n 2023 to 2024 we changed our legacy accounting policy and now include legacies within any �nancial year based on the earlier of the date funds are received or the date of receipt of �nal estate accounts� The new methodology reduces the judgement around legacy recognition and is common practice for similar not for pro�t organisations�
The impact of the UK cost of living crisis impacted some areas of CHSW’s fundraising throughout the year and we noted a fall in individual donations from the previous year of just over £ 1 million. This was felt across some of the community events and activities that are o�en staged in support of local charities including CHSW. With costs rising some of these long-standing events were cancelled or the pro�ts available to distribute to local causes were much lower. In addition, this year-on-year fall was due to having 2 exceptionally large in memoriam gi�s, the value of which was not replicated in 2023 to 2024.
----- Start of picture text -----
rading
eg acies
ru sts olu ntary
ndraising
tatu tory
income
I nv estment income
----- End of picture text -----
ere w e receiv ed ou r income
�rading - lottery and shops
6.6 million - 34%
Legacies 4.5 million - 23%
oluntary fundraising 3.8 million - 19%
Statutory income 2.7 million - 14%
Trusts 1 million - 5%
I nvestment income 1 million - 5%
Total - £ 19.6 million
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 18
Trustees' report including the strategic report
Our shops have continued to trade very strongly as they benefit from fantastic local community support together with the ever increasing public interest in making sustainable purchases. Total shop income (including related Gift Aid receipts) achieved its highest levels ever at nearly £5.6 million as compared to £5.2 million in 2023 to 2024.
Following investment in lottery canvassing activity we are pleased that our Raise a smile Lottery income reached more than £1 million for the first time in 2023 to 2024 (2023: £895,727).
In February 2024, land in Yatton, North Somerset that had been gifted to the charity in 2000, was sold to a housing developer for £4.1 million. The land had been revalued upwards by £1.5 million in 2022 to 2023 from its agricultural value to reflect its hope value following obtaining planning permission on the land. Following its disposal, a gain of £2.4 million was created in the 2023 to 2024 accounts. The charity retains ownership in one property in the new housing development alongside a strip of land bordering the development site. We are very grateful to the donor of the land and following their wishes have restricted the funds generated to care of babies, children, young people and families at Charlton Farm.
During the year, the market value of investments held by the charity increased by more than £2 million
reflecting the global upturn of equities and bonds during 2023 to 2024. This gain was particularly welcome following a significant loss on investments of £1.4 million during the previous financial year.
Our expenditure during the year in relation to the care and support we provide, increased by more than 23% on the previous year. This reflects the investment in new professional care roles together with increased activity and support given at all 3 hospices. Costs for the charity have inevitably increased with global inflationary pressures, cost of living demands and the impact of National Living Wage statutory increases.
Notably, during the year our operating income and costs have largely been matched, with a relatively small net income of £83,704 generated. However, the significant overall positive movement of funds of £4.5 million during the year has been the result of gains in our investments as previously mentioned.
While this is a very positive financial position, we are very mindful of the continuing impact of the cost of living crisis and the corresponding pressure on the wage inflation forecast for the coming years. It is anticipated that the surplus generated in 2023 to 2024 will be used to support the charity during the ongoing economic challenges and to ensure the continuance and investment of its care delivery into the future.
Where we spent our income
----- Start of picture text -----
Charlton Farm
Trading
activities
Little Harbour
Raising funds
Little Bridge
House
Investment costs
----- End of picture text -----
Trading activities £5.1 million - 26%
Charlton Farm £4.5 million - 23%
Little Harbour £3.9 million - 20%
Little Bridge House £3.6 million - 18%
Raising funds £2.3 million - 12%
Investment costs £0.1 million - 1%
Total - £19.5 million
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
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Trustees' report including the strategic report
Our financial reserves
We recognise our commitment and moral obligation to the babies, children, young people and families who currently use our hospices, will extend many years into the future� It is imperative, therefore, for us to maintain unrestricted general reserves at a level that will ensure the continuity of the unique care provided by the charity while recognising that the charity is facing a period of signi�cant economic uncertainty�
I n establishing the CHSW reserves policy, we have tak en guidance from the Charity Commission’s guidance CC19, to use an integrated approach for an organisation with complex activities and structures� �his involves pro�ecting cash �ows during the next 3 years and identifying key risks associated in this period, with income and expenditure, while also considering already committed expenditure� From this work , look ing forward to 2024 to 2025, it has been determined that CHSW should maintain a target range of unrestricted general reserves between , 1 , 3 and , 7 , 2 .
The charity’s unrestricted general funds (free reserves) were at a level of , 4 , 3 (note 23) as of 31 March 2024 (2023 restated: , 7 , 4 ). We note that
Our investment approach
The charity’s investment policy requires CHSW to invest funds in such a manner that the risk pro�le re�ects planned expenditure and future plans�
I n 2019, we secured the services of an external independent investment advisor to undertak e an investment risk pro�le review and to provide an ongoing expert assessment of the performance of our appointed investment managers. At the beginning of the 2020 to 2021 �nancial year, as part of good governance, a formal retendering process in relation to investment management services was undertak en, which included a review of investment performance and charges. As a result of this work , LGT Wealth Management and Sarasins & Partners LLP were appointed as CHSW investment managers. As part of this restructuring of investment managers, CHSW investments were rebalanced and divided into a lower and higher equity exposure fund allocation� �he minimum performance requirements of these invested funds have been set as Consumer Price I ndex (CPI ) 3% for the lower equity exposed fund and CPI + 4% for the higher equity exposed fund. CHSW review the long term performance of investments in line with this policy to ensure targets are met.
the group’s unrestricted general funds are within the target range set above.
Unrestricted designated capital funds are , 6 , 1 (2023: £ 19,504,312) and represent the net book value of the unrestricted tangible and intangible �xed assets of the group.
On 14 July 2022, the CHSW Care Endowment F und (CCEF ) was formally and legally set up to provide an additional income stream from long-term investments to support future care developments and reduce future dependence on fundraising and trading activity� The need for this fund had been highlighted during the CO�ID-1� crisis where voluntary and trading incomes were vulnerable. The CCEF is expendable and will be used to �nance operational and developmental opportunities in care if unrestricted general reserves fall below their required lower target level. On 31 March 2024, the CCEF amounted to , 3 , 6 . During the year �1,713,��7 was designated to the CCEF in the 2023 to 2024 year.
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
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Trustees' report including the strategic report
How we manage risks and uncertainties
CHSW has a clear Risk Management Framework in place, overseen by the Trustee Governance Assurance Committee, as delegated by the Board of Trustees. CHSW undertake a continual assessment of the principal risks facing the charity and is satisfied that adequate preventative and mitigating measures are in place to reduce the risks to an acceptable level.
All risks identified are recorded on the CHSW Strategic Risk Register and scored based on impact and likelihood in line with the Charity Commission’s guidance CC26; based on the scores, the risks are prioritised using a Red, Amber or Green rating.
The CHSW agreed process for reviewing risk, is as follows:
-
The Senior Management Team (SMT) will meet weekly to monitor and review current risks; and share, record and escalate any new or emerging risks as appropriate
-
SMT will meet with the Risk Management Committee every quarter where the risk register is reviewed and updated. Identified risks may be added to the register at any time
-
Each item on the risk register is owned and overseen by the relevant Assurance Committee as a standing item at each of their meetings (currently 3 times per year)
-
The Governance Assurance Committee will take assurance from the Chairs of each Committee that their relevant risks have been reviewed and mitigated to satisfactory levels
-
Where assurance cannot be given, further review/ oversight or Internal Audit may be recommended or pursued
-
The Governance Assurance Committee will report to the Board of Trustees annually.
We are currently being supported by an external partner to review and improve our risk management processes.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
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Trustees' report including the strategic report
Current red risks
Recruitment: The recruitment and retention of children’s nurses remains an ongoing and challenging red risk for CHSW despite seeing significant improvements in the last 12 months. The 2024 to 2025 strategy includes:
-
Closer liaison with our Heads of Care to hear the messages from the different hospices to create bespoke recruitment plans to meet the differing environments
-
Refresh adverts accordingly
-
Review the job descriptions for potential barriers
-
Extend the on-site recruitment open days to all 3 hospices
-
Progress with our social media options
-
Progress with our ‘grow your own’ strategy currently in development.
Risk of safeguarding issues arising: Safeguarding is the top priority at CHSW with stringent policies, procedures and mandatory training for all staff up to Safeguarding Level 5. A whole day was given to safeguarding during our annual 2023 to 2024 Care Conference, and Trustees have spent time with our new Safeguarding Lead to seek assurance following the change in leadership. We continue to:
Risk of cyber security: We are aware of the proliferation of sophisticated cyber attacks using artificial intelligence. This has made detection of attacks much harder as they appear to be genuine. In response, we are taking the following action:
-
Successful completion of the annual NHS Data Security Toolkit
-
Completion and passing of the government standard Cyber Essentials.
We are currently working on:
- The enhanced Cyber Essentials Plus certification Onboarding the Arctic Wolf cyber security operation centre, which includes staff training exercises and a cyber risk management system.
A further risk identified in 2023 to 2024 is that of our suppliers being compromised leading to data loss or proliferation of malware from seemingly safe partners. Increased staff awareness and enhanced detection will help to keep us safe as well as carrying out checks on our suppliers to ensure they meet the necessary standards, such as Data Protection Impact Assessments, ISO 27001 or Cyber Essentials.
-
Be vigilant and diligent
-
Audit our policies and practices carefully
-
Embed our values and behaviours to reflect our ethos, legal responsibilities and duty of care.
Included on page 54 to 57 are the charities structure, governance and management, reference and administrative detail and fundraising disclosures which also form part of this report.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 22
Trustees' report including the strategic report
Statement of Trustees’ responsibilities
�he �rustees (who are also Directors of CHSW for the purposes of company law) are responsible for preparing the Trustees’ Annual Report (including the Strategic Report) and the �nancial statements, in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (�nited Kingdom Accounting Standards).
Company law requires the Trustees to prepare �nancial statements for each �nancial year� �nder company law the �rustees must not approve the �nancial statements unless they are satis�ed that they give a true and fair view of the state of a�airs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. I n preparing these �nancial statements, the �rustees are required to:
Select suitable accounting policies and then apply them consistently
-
Observe the methods and principles in the charity’s Statement of Recommended Practice
-
Make �udgements and estimates that are reasonable and prudent
-
State whether applicable �K accounting standards have been followed, subject to any material departures disclosed and explained in the �nancial statements
-
Prepare the �nancial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The Trustees are responsible for k eeping adequate accounting records that are su�cient to show and explain the charitable company’s transactions, disclose with reasonable accuracy at any time the �nancial position of the charitable company and enable them to ensure that the �nancial statements comply with the Companies Act 2006 and the provisions of the charity’s constitution� �hey are also responsible for safeguarding the assets of the charity and the group and hence for tak ing reasonable steps for the prevention and detection of fraud and other irregularities�
Disclosure of information to Auditors
I nsofar as each of the Trustees of the charity at the date of approval of this report is aware, there is no relevant audit information (information needed by the charity’s auditor in connection with preparing the audit report) of which the charity’s auditor is unaware. Each Trustee has tak en all of the steps that he/ she should have tak en as a Trustee in order to mak e himself/ herself aware of any relevant audit information and to establish that the charity’s auditor is aware of that information�
pprov al
�his report, incorporating the strategic report, was approved by the Board of Trustees on 10 October 2024 and signed on its behalf:
ricia M orris Chair of Trustees
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 23
Financial statements
Consolidated statement of financial activities
I ncluding income and expenditure account for the year ended 31 March 2024
| ote | nrestricted **nds ** |
estricted **nds ** |
n do ment **nds ** |
otal nds |
otal nds as restated |
|
|---|---|---|---|---|---|---|
| ncome rom | ||||||
| Donatons and legacies | 1 | 7,861,143 | 1,483,924 | 11,871,619 | ||
| Charitable actvites | 2 | 38,453 | 2,662,800 | 2,325,395 | ||
| �rading actvites | 3 | 6,594,414 | 6,122,948 | |||
| Investments | 4 | 919,113 | 56,005 | 712,423 | ||
| Other income | 5 | 7,491 | 6,214 | 48,422 | ||
| otal income | ||||||
| pendit re on | ||||||
| Raising funds | 6 | 2,340,530 | 2,034,869 | |||
| �rading actvites | 6 | 5,077,090 | 4,928,079 | |||
| Investment management fees |
7 | 112,689 | 107,385 | |||
| Charitable actvites | 8 | 7,606,400 | 4,409,144 | 9,754,369 | ||
| otal e pendit re | ||||||
| et income e pendit re e ore net ains on in estments |
||||||
| �et gain on investments | 13 | 1,288,695 | 2,349,343 | 779,000 | 118,375 | |
| et income | ||||||
| Transfers between funds | 23 | (8,701,863) | (3,838) | 8,705,701 | ||
| et mo ement in nds | ||||||
| Reco�ci�i��o� o� ���ds� | ||||||
| Total funds brought forward as previously stated |
44,461,461 | 2,679,243 | 5,535,244 | 47,879,495 | ||
| Prior year adjustment | 22 | (313,648) | (108,325) | |||
| Total funds brought forward as restated |
44,147,813 | 2,570,918 | 5,535,244 | 47,879,495 | ||
| �et movement in funds | (7,129,263) | 2,145,304 | 9,484,701 | 4,374,480 | ||
| otal nds carried or ard |
�he Consolidated Statement of Financial Activities includes all gains and losses recognised in the year� �he notes on pages 27 to 4� form part of these �nancial statements�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 24
F inancial statements
Consolidated and charity balance sheet
Company number: 02620879
As at 31 March 2024
| Company number 02620879 As at 31 March 2024 |
|||||
|---|---|---|---|---|---|
| ote | **ro p ** | ro p as restated |
**C arit ** | C arit as restated |
|
| i ed assets | |||||
| ntangible assets | 14 | 48,363 | 48,363 | ||
| �angible �xed assets | 15 | 19,835,946 | 19,835,946 | ||
| Investments | 16 | 24,631,547 | 24,631,647 | ||
| otal | |||||
| C rrent assets | |||||
| Stoc s | 17 | 62,502 | |||
| Debtors | 18 | 1,794,737 | 1,833,153 | ||
| Cash at ban and in hand | 9,466,376 | 9,462,977 | |||
| otal | |||||
| Creditorsamounts falling due within 1 year |
19 | (1,919,330) | (1,914,602) | ||
| et c rrent assets | |||||
| �ot�� �ssets �ess c�rre�t �i��i�i�es | |||||
| Provisions for liabilites | 21 | (1,666,166) | (1,666,166) | ||
| otal net assets | |||||
| C arit nds | |||||
| Unrestricted designated funds | 23 | 26,394,329 | 26,394,329 | ||
| Unrestricted general funds | 23 | 17,753,484 | 17,730,827 | ||
| Restricted funds | 23 | 2,570,918 | 2,570,918 | ||
| Endowment funds | 23 | 5,535,244 | 5,535,244 | ||
| otal nds |
�he charity’s net movement in funds for the year was £ , 5 , 7 (2023 restated: �4,374,4�0)�
�he �rustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of �nancial statements�
�he �nancial statements were approved and authorised
for issue by the Board of Trustees on 10 October 2024 and signed on its behalf:
ricia M orris Chair of Trustees
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 25
F inancial statements
Consolidated cash flow statement
or the year ended 31 March 2024
| N otes | 2 0 2 4 £ |
2 0 2 4 £ |
2 0 2 3 ( as restated) £ |
||||
|---|---|---|---|---|---|---|---|
| Cash flowsfrom operating activities | |||||||
| Net cash (used in)/provided by operating activities | 26 | **( 5 9 2 , 9 2 7 ** | 7,650,694 ) |
||||
| Cash flowsfrom investing activities | |||||||
| Dividends, interests and rents from investments | **9 7 ** | 5 , 1 1 667,137 8 |
|||||
| Proceeds from the sale oftangible fixed assets | 4,000 - |
||||||
| Purchase of intangible assets | **( 4 8 6 , 4 2 0 ** | (39,333) ) |
|||||
| Purchase of tangible fixed assets | **( 7 1 8 , 9 6 4 ** | (923,895) ) |
|||||
| Receipts from investments | **7 , 9 6 ** | 3 , 9 7 500,844 4 |
|||||
| Payments for investments | **( 9 , 8 6 6 , 7 6 8 ** | (4,000,000) ) |
|||||
| Net cash used in investing activities | **( 2 , 1 3 3 , 0 6 0 ** | ( 3 , 7 9 1 , 2 4 7 ) ) |
|||||
| Change in cash and cash equivalents in the year | **( 2 , 7 2 5 , 9 8 7 ** | ) 3,859,447 |
|||||
| Bank and cash balances brought forward | **9 , 4 6 ** | 6 , 3 7 5,606,929 6 |
|||||
| Cash and cash eq u iv alents at th e end of th e y ear | 2 7 |
**6 , 7 4 ** | 0 , 3 8 9 , 4 6 6 , 3 7 9 6 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 26
F inancial statements
Notes to the financial statements
or the year ended 31 March 2024
� ��co�e �ro� do���o�s ��d �eg�cies
| � ��co�e �ro� do���o�s ��d �eg�cies | ||||
|---|---|---|---|---|
| nrestricted **nds ** |
estricted **nds ** |
otal nds |
otal nds as restated |
|
| Individual donatons | 2,066,371 | 277,661 | 3,345,525 | |
| riends Group fundraising | 183,515 | 1,331 | 177,791 | |
| Other voluntary income | 1,188,787 | 49,336 | 1,001,309 | |
| Legacies | 4,072,288 | 464,732 | 6,418,035 | |
| Grants and donatons from Charitable �rusts | 350,182 | 690,864 | 913,820 | |
| Government Grant - �HS England CO�ID-1� funding |
15,139 | |||
| **otal ** | ||||
| Total 2023 | 9,684,168 | 2,187,451 | 11,871,619 |
���he �HS England awarded funding to allow the hospice to make available bed capacity and community support from April 2020 to March 2022 to provide support to people with complex needs in the context of CO�ID-1��
� ��co�e �ro� c��rit���e �c��i�es
| � ��co�e �ro� c��rit���e �c��i�es | ||||
|---|---|---|---|---|
| nrestricted **nds ** |
estricted **nds ** |
otal nds |
otal nds |
|
| unding from regional ntegrated Care Boards | 38,453 | 1,264,566 | 1,147,401 | |
| NHS England Children s Hospice grant | 1,364,434 | 1,144,194 | ||
| �HS England Superannuaton grant | 33,800 | 33,800 | ||
| **otal ** | ||||
| Total 2023 | 977,346 | 1,348,049 | 2,325,395 |
CHSW acknowledges the award of grants for Little Bridge House, Charlton Farm and Little Harbour from �HS England Children’s Hospice grant� �he pro�ect undertakes to sustain and develop existing high quality hospice care for babies, children and young people receiving palliative care, their siblings and parents� It promotes education and learning needs of all those working in the sector in a responsive and �exible way� �he funding and associated expenditure have been treated as movements in restricted funds�
I n 2010 the charity succeeded in establishing contractual arrangements with the I CBs whose areas the charity covers� �here are no unful�lled conditions in respect of these contractual arrangements�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 27
F inancial statements
| � ��co�e �ro� �o��c��rit���e tr�di�g �c��i�es | � ��co�e �ro� �o��c��rit���e tr�di�g �c��i�es | � ��co�e �ro� �o��c��rit���e tr�di�g �c��i�es | � ��co�e �ro� �o��c��rit���e tr�di�g �c��i�es | � ��co�e �ro� �o��c��rit���e tr�di�g �c��i�es |
|---|---|---|---|---|
| radin income | nrestricted **nds ** |
estricted **nds ** |
otal nds |
otal nds |
| Lotery and ra�es | 1,032,807 | 895,727 | ||
| Donatons relatng to the sale of goods where the shops acted as agent |
1,679,117 | 1,459,259 | ||
| Gi� Aid received on donatons where the shops acted as agent |
407,753 | 350,710 | ||
| Shops turnover | 3,117,432 | 3,063,856 | ||
| C H S W Promotons Limited | 357,305 | 353,396 | ||
| **otal ** | ||||
| Total 2023 | 6,122,948 | 6,122,948 |
I ncome f rom inv estments
| ncome rom in estments | ||||
|---|---|---|---|---|
| nrestricted **nds ** |
estricted **nds ** |
otal nds |
otal nds |
|
| Rental income | 8,994 | 6,606 | ||
| UK | 132,814 | 192,971 | ||
| Overseas | 245,269 | 79,161 | ||
| Mult-asset funds | 382,162 | 56,005 | 348,515 | |
| ncome from cash deposits | 149,874 | 85,170 | ||
| **otal ** | ||||
| Total 2023 | 656,256 | 56,167 | 712,423 |
t er income |
t er income |
t er income |
t er income |
t er income |
|---|---|---|---|---|
| nrestricted **nds ** |
estricted **nds ** |
otal nds |
otal nds |
|
| Other income | 7,491 | 6,214 | 48,422 | |
| **otal ** | ||||
| Total 2023 | 40,422 | 8,000 | 48,422 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 28
F inancial statements
----- Start of picture text -----
|||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
|nrestricted|estricted|otal f|nds|otal f|nds|
|aising|f|nds|nds 2|nds 2|
|£|
|Direct costs|448,536|-|, 5|6|435,641|
|Staff|costs|1,882,100|-|, 8|, 1|)|1,595,099|
|Depreciation|9,894|-|, 8|4|4,129|
|otal 2|4|, 3|, 5|0|-|, 3|, 5|(0)|, 0|, 8|9|
|Total 2023|2,034,869|2,034,869|
|Trading|activities|
|C H S W Promotions Limited|352,974|-|, 9|4|330,739|
|Lottery|and|raffles|397,155|-|, 1|5|354,264|
|Shops|1,474,091|-|, 4|, 0|1|1,418,639|
|Dilapidation provision|328,392|
|Staff|costs|2,554,049|-|, 5|, 0|9|2,238,345|
|Depreciation|298,821|-|, 8|1|257,700|
|otal 2|4|, 0|, 0|(e)|-|, 0|, 0|(e)|, 9|, 0|
|Total 2023|4,928,079|4,928,079|
----- End of picture text -----
E penditu re on inv estment manag ement f ees
----- Start of picture text -----
||||||||||
|---|---|---|---|---|---|---|---|---|
|nrestricted|estricted|otal f|nds|otal f|nds|
|nds 2|nds 2|
|££|
|Investment management fees|112,689|-|, 6|9|107,385|
|otal 2|4|, 6|9|-|, 6|9|, 3|5|
|Total 2023|107,385|107,385|
----- End of picture text -----
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 29
F inancial statements
| � ���e�dit�re o� c��rit���e �c��i�es | � ���e�dit�re o� c��rit���e �c��i�es | � ���e�dit�re o� c��rit���e �c��i�es | � ���e�dit�re o� c��rit���e �c��i�es | � ���e�dit�re o� c��rit���e �c��i�es | � ���e�dit�re o� c��rit���e �c��i�es |
|---|---|---|---|---|---|
| nd t pe | nrestricted **nds ** |
estricted **nds ** |
otal nds |
otal nds |
|
| Care of babies, children, young people and families | 7,606,400 | 4,409,144 | 9,754,369 | ||
| **otal ** | |||||
| Total 2023 | 6,593,562 | 3,160,807 | 9,754,369 | ||
| e pendit re t pe | �t�� costs |
�e�reci��o� |
t er costs |
otal nds |
otal nds |
| Care of babies, children, young people and families |
9,257,417 | 777,920 | 1,980,207 | 9,754,369 | |
| **otal ** | |||||
| Total 2023 | 7,527,988 | 725,404 | 1,500,977 | 9,754,369 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 30
F inancial statements
----- Start of picture text -----
� ���e�dit�re �� �c��i�es
Direct costs pport otal f nds otal f nds
costs 2
Care of babies, children, young people and families 9,952,628 2,062,916 , 0 , 5 9,754,369
otal 2 , 9 , 6 , 0 , 9 , 0 , 5 , 7 , 3
Total 2023 8,006,177 1,748,192 9,754,369
otal f nds otal f nds
Direct costs
Sta� costs , 0 , 7 6,460,393
Depreciation , 9 609,520
Other costs , 2 , 9 936,264
otal , 9 , 6 , 0 , 1
pport costs
Sta� costs , 2 , 6 1,067,595
Depreciation , 9 115,884
Other costs (see below) , 3 564,713
otal , 0 , 9 , 7 , 1
otal 2 otal 2
Detailed su pport costs
Communications and I� , 9 562,963
Human resources , 1 383,812
Governance , 7 39,747
inance , 2 421,425
Head o�ce support , 6 425,129
Retail grant provision ( 8 , 8 (84,884)
otal su pport costs , 0 , 9 , 7 , 1
Less sta� costs included in above costs ( 1 , 2 , 6 (1,067,595)
Less depreciation included in above costs ( 1 , 9 (115,884)
th er su pport costs total , 3 , 7
----- End of picture text -----
Governance costs comprise the costs of running the charity� �his includes insurance of , 4 (2023: £ 1,860), external audit fees , 6 (2023: £ 17,147), internal audit fees , 6 (2023: £ 3,004), consultancy fees and legal advice for the �rustees , 6 (2023: �17,��1) and all costs of complying with constitutional and statutory requirement such as the costs of board and committee meetings , 2 (2023: �14�)�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 31
F inancial statements
| T otal 2 0 2 4 £ |
T otal 2 0 2 3 £ |
|
|---|---|---|
| F ees payable to the charity' s auditor and its associates for the audit of the charity' s annual accounts |
1 7 , 7 2 fe) |
16,560 |
| **F ees pay ab le to th e ch arity ' s au ditor and its associates in respect of ** | ||
| The auditing of accounts of associates of the charity | 3 , 1 5 ) |
2,950 |
| Taxation compliance services | 3 , 7 5 0 |
950 |
| Accounts preparation | 4,350 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 32
F inancial statements
----- Start of picture text -----
�� �t�� costs
rou p 2 rou p 2 Ch arity 2 Ch arity 2
Salaries and wages , 4 , 2 9,635,610 , 4 , 2 9,635,610
Social security costs , 0 , 5 884,048 , 0 , 5 884,048
Contribution to de�ned contribution pension
, 1 , 7 841,774 , 1 , 7 841,774
schemes
otal , 6 , 5 , 3 , 4 , 6 , 5 , 3 , 4
----- End of picture text -----
During the year, redundancy and settlement payments were made totalling , 0 (2023: �1�,21�)� At 31 March 2024 the payments outstanding were il (2023: ��il)�
| era e n m er o persons emplo ed | ro p o |
ro p o |
|
|---|---|---|---|
| Hospice services | 200 | 178 | |
| undraising and publicity | 62 | 54 | |
| Trading | 123 | 113 | |
| Management and �nance | 29 | 27 | |
| otal | |||
| ��er�ge �e�dco��t e��ressed �s ���� ��e e��i���e�ts | |||
| Hospice services | 162 | 144 | |
| undraising and publicity | 55 | 47 | |
| Trading | 79 | 74 | |
| Management and �nance | 24 | 22 | |
| otal | |||
| ����o�ees ��ose e���o�ee �e�e�ts �e�c��di�g e���o�er �e�sio� costs� | |||
| **e ceeded ** | |||
| n the band 60,001 to 70,000 | 8 | 7 | |
| n the band 70,001 to 80,000 | 6 | 2 | |
| n the band 80,001 to 90,000 | 5 | 4 | |
| n the band 90,001 to 100,000 | |||
| n the band 100,001 to 110,000 | 1 | ||
| n the band 110,001 to 120,000 | 2 | 2 | |
| n the band 120,001 to 130,000 |
All �rustees and certain senior employees who have authority and responsibility for planning, directing and controlling the activities of the charity are considered to be key management personnel� �otal employment costs (including social security and pension contributions) in respect of these senior employees is , 6 (2023: ��2�,���)�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 33
F inancial statements
�� �r�stees re���er��o� ��d re��ted ��rt� tr��s�c�o�s
During the year, no �rustees received any remuneration or other bene�ts (2023: ��IL)�
During the year ended 31 March 2024, expenses totalling , 1 were reimbursed or paid directly to 5 T ru stees (2023: �1�� to 2 �rustees) for travel and subsistence�
N et g ain/ ( loss) on inv estments
| et ain loss on in estments | |||||
|---|---|---|---|---|---|
| nrestricted **nds ** |
estricted **nds ** |
n do ment **nds ** |
otal nds |
otal nds |
|
| Net gain on property and land | 2,349,343 | 1,559,900 | |||
| �et gain�(loss) on investments | 1,288,695 | 779,000 | (1,441,525) | ||
| **otal ** | |||||
| Total 2023 | (1,282,841) | 1,401,216 | 118,375 |
| ntan i le assets | ntan i le assets |
|---|---|
| Cost | Comp ter so���re |
| At 1 April 2023 | 498,797 |
| Additons | 486,420 |
| Disposals | (24,635) |
| Reclassi�caton from �xed assets | 10,563 |
| t arc |
|
| ��or�s��o� | |
| At 1 April 2023 | 450,434 |
| Charge for the year | 39,550 |
| Disposals | (24,635) |
| t arc |
|
| et oo al e | |
| t arc |
|
| At 31 March 2023 | 48,363 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 34
F inancial statements
| Cost | F reeh old property and land L easeh old property otor v eh icles F u rnitu re, and oth er eq u ipment T otal 2 0 2 4 M fittings y ¢ £ £ £ £ |
|
|---|---|---|
| At 1 April 2023 | 21,924,002 551,950 289,818 5,100,284 2 7 , 8 6 6 , 0 5 4 |
|
| Additions | 99,691 89,490 529,783 7 1 8 , 9 6 -~~4~~ |
~~4~~ |
| Disposals | (6,204) (15,534) (1,627) (497,974) ( 5 2 1 , 3 3 9 ~~)~~ |
~~)~~ |
| Reclassification to intangible fixed assets |
(10,563) ( 1 0 , 5 6 3 : : : ) |
|
| A t 3 1 M arch 2 0 2 M 2 4 |
2 2 , 0 1 7 , 4 8 6 2 5 , 9 0 2 8 8 , 1 9 5 , 1 2 1 , 5 3 2 8 , 0 5 3 , 1 1 9 6 1 0) 6 |
|
| Depreciation | ||
| At 1 April 2023 | 3,553,450 430,773 245,463 3,800,422 8 , 0 3 0 , 1 0 8 |
|
| Charge for the year | 410,812 54,313 14,945 567,015 1 , 0 4 7 , 0 8 5 |
|
| On disposals | (6,204) (15,134) (1,627) (484,496) ( 5 0 7 , 4 6 1 ) |
|
| A t 3 1 M arch 2 0 2 3 , 9 5 8 , 0 5 4 6 9 , 9 5 2 5 8 , 7 8 3 , 8 8 2 , 9 4 8 , 5 6 9 , 7 3 ~~M~~ ~~2~~ ~~4~~ ~~8~~ ~~2~~ ~~1~~ ~~1~~ ~~2~~ |
||
| N et b ook v alu e | ||
| A t 3 1 M arch 2 0 2 1 8 , 0 5 9 , 4 3 1 5 5 , 9 5 2 9 , 4 1 1 , 2 3 8 , 5 8 1 9 , 4 8 3 , 3 8 ~~M~~ 2 4 1 4 0) 9 4 |
||
| At 31 March 2023 | 18,370,552 121,177 44,355 1,299,862 19,835,946 |
|
| Included in the above is land totalling | Included in the above is land totalling£ 2 , 9 4 7 , 6 8 (2023:£2,947,681)whichisnotdepreciated. |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 35
F inancial statements
| n estments | n estments | n estments | n estments | n estments | n estments |
|---|---|---|---|---|---|
| �ro�� cost or ������o� | isted in estments |
Donated land eld or in estment p rposes |
Cas eld as part o in estment �or�o�io |
**otal ** | |
| At 1 April 2023 | 20,852,571 | 1,600,000 | 2,178,976 | ||
| Additons | 11,292,615 | 335,466 | |||
| Disposals | (4,178,936) | (1,600,000) | |||
| Revaluatons | 2,232,000 | ||||
| �et movement of cash held | (1,761,313) | ||||
| t arc |
|||||
| ro p net oo al e | |||||
| t arc |
|||||
| At 31 March 2023 | 20,852,571 | 1,600,000 | 2,178,976 | 24,631,547 | |
| ���rit� cost or ������o� | n estment in s sidiar compan |
isted in estments |
Donated land eld or in estment p rposes |
Cas eld as part o in estment �or�o�io |
**otal ** |
| At 1 April 2023 | 100 | 20,852,571 | 1,600,000 | 2,178,976 | |
| Additons | 11,292,615 | 335,466 | |||
| Disposals | (4,178,936) | (1,600,000) | |||
| Revaluatons | 2,232,000 | ||||
| �et movement of cash held | (1,761,313) | ||||
| t arc |
|||||
| et oo al e | |||||
| t arc |
|||||
| At 31 March 2023 | 100 | 20,852,571 | 1,600,000 | 2,178,976 | 24,631,647 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 36
F inancial statements
----- Start of picture text -----
otal 2 otal 2
isted inv estments at mark et v alu e comprise
�K equities and bonds , 2 , 8 5,533,346
Overseas equities and bonds , 2 , 1 4,530,528
Multi fund assets , 7 , 2 10,788,697
otal , 1 , 2 , 8 , 5
----- End of picture text -----
Investments are held in a diverse por�olio of funds, managed by LG�, Sarasin � Partners and other fund managers, and in Government stocks�
rincipal su sidiaries
The following was a subsidiary undertak ing of the charity
| ame | Compan n m er |
Registered ofce | Registered ofce | Class o s ares |
oldin |
|---|---|---|---|---|---|
| C H S W Promotons Limited | 02645823 | Litle Bridge House, Redlands Road, Barnstaple E 31 2P |
rdinar | 100 | |
| �he �nancial results of the subsidiary for the year were: | |||||
| ame | ncome | pendit re | �ro�t���oss� or t e ear |
et assets | |
| � � � � �ro�o�o�s �i�ited |
�he principal activity of C H S W Promotions Limited is the sale of bought in goods for the bene�t of CHSW� �he company pays its taxable pro�ts to the charity under Gi� Aid�
During the year the charity recharged expenses of , 0 (2023: �1�2,��7) to CHSW Promotions Limited and remittances were , 1 (2023: �172,242)� At the year end C H S W Promotions owed CHSW , 4 (2023: �3�,4�1)� Included within this is management recharges of , 5 (2023: �1�0,311)�
| toc s | toc s | toc s |
|---|---|---|
| **ro p ** | **ro p ** | |
| inished goods and goods for resale | 62,502 |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 37
F inancial statements
| De tors | De tors | De tors | De tors | De tors |
|---|---|---|---|---|
| **ro p ** | ro p as restated |
**C arit ** | C arit as restated |
|
| Amounts owed by group underta ings | 38,451 | |||
| Other debtors | 870,763 | 870,763 | ||
| Prepayments and accrued income | 595,371 | 595,336 | ||
| Legacies receivable | 328,603 | 328,603 | ||
| otal |
| Creditors | Creditors | Creditors | Creditors | Creditors |
|---|---|---|---|---|
| mo nts allin d e it in ear |
**ro p ** | **ro p ** | **C arit ** | **C arit ** |
| Trade creditors | 351,928 | 351,861 | ||
| Other taxaton and social security | 219,582 | 219,582 | ||
| Other creditors | 207,146 | 207,146 | ||
| Accruals and deferred income | 1,140,674 | 1,136,013 | ||
| otal | ||||
| De erred income | ||||
| Deferred income at 1 April 2023 | 669,719 | 669,719 | ||
| Resources deferred during the year | 504,449 | 504,449 | ||
| Amounts released from previous periods | (669,719) | (669,719) | ||
| De erred income at arc |
Deferred income includes income relating to registrations and sponsorship for upcoming events , 1 (2023: �14�,4�2), lottery subscriptions for future draws , 4 (2023: ��4,�3�)�
| inancial instr ments | inancial instr ments | inancial instr ments | inancial instr ments | inancial instr ments |
|---|---|---|---|---|
| **ro p ** | **ro p ** | **C arit ** | **C arit ** | |
| Financial assets measured at fair value through income and expenditure |
22,452,571 | 22,452,571 |
Financial assets measured at fair value through income and expenditure comprise listed investments and investment property�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 38
F inancial statements
�� �ro�isio�s �or �i��i�i�es
| �� �ro�isio�s �or �i��i�i�es | |||
|---|---|---|---|
| �i���id��o� pro isions |
etail rant pro isions |
**otal ** | |
| At 1 April 2023 | 1,581,282 | 84,884 | |
| Amounts used | (84,884) | ||
| otal |
Dilapidation provisions are a provision for anticipated costs of dilapidation across the charity’s retail operations�
Retail grant provisions are a provision for claw back on its retail grant income�
P rior y ear adj u stment
In 2024 the charity has changed its accounting policy for the recognition of legacies� Previously the charity accounted for residuary legacies when amounts were received or when an accurate �gure could be determined� Legacies are now accounted for based on settlement of the estate or receipt of payment, whichever is earlier� Pecuniary legacies are recognised at the point of noti�cation� �he 2023 comparatives have been restated to take account of a prior year ad�ustment and a change to the legacy accounting policy� �he impact of this ad�ustment means that the charity debtors represented by legacies receivable, surplus for the period and funds at 31 March 2023 have decreased by £ 421,973�
- �he e�ects of the change are summarised below:
| Reco�ci�i��o� o� �eg�c� de�tors | **ro p ** | **C arit ** |
|---|---|---|
| Legacies receivable (as previously stated) | 750,576 | 750,576 |
| Legacy accrual change in basis | (421,973) | (421,973) |
| e acies recei a le as restated | ||
| Reco�ci�i��o� o� ���ds | ||
| Funds (as previously stated) | 52,675,948 | 52,653,291 |
| Legacy accrual change in basis | (421,973) | (421,973) |
| nds as restated | ||
| Reco�ci�i��o� o� ���� s�r���s �or �eriod | ||
| 2023 surplus (as previously stated) | 4,796,453 | 4,785,493 |
| Legacy accrual change in basis | (421,973) | (421,973) |
| s rpl s as restated |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 39
F inancial statements
| tatement o nds | tatement o nds | tatement o nds | tatement o nds | tatement o nds | tatement o nds | tatement o nds |
|---|---|---|---|---|---|---|
| **to ** | alance at pril as restated |
ncome | pendit re | rans ers in o t |
ains osses |
alance at arc |
| nrestricted desi nated nds | ||||||
| Designated capital funds |
19,504,312 | (1,086,635) | 1,191,500 | |||
| Designated care endowment fund |
6,890,017 | (6,890,017) | ||||
| otal nrestricted desi nated nds |
||||||
| nrestricted eneral nds | ||||||
| Unrestricted general funds |
17,753,484 | 15,420,614 | (14,050,074) | (3,003,346) | 1,288,695 | 17,409,373 |
| otal nrestricted eneral nds |
||||||
| estricted nds | ||||||
| Litle Harbour capital |
380,000 | |||||
| NHS England grants | 1,398,234 | (1,398,234) | ||||
| Litle Bridge House funds |
123,883 | 311,049 | (272,858) | (3,776) | ||
| Charlton arm funds | 1,906,484 | 925,799 | (1,193,405) | 76,550 | 2,349,343 | |
| Litle Harbour funds | 29,257 | 225,379 | (214,347) | (14,843) | ||
| CHSW funds | 131,294 | 1,348,482 | (1,330,300) | (61,769) | ||
| otal restricted nds |
||||||
| ndo ment nds |
||||||
| CHSW Care Endowment und (CCE ) |
3,987,446 | 8,702,222 | 656,026 | |||
| Bayliss Endowment und |
1,547,798 | 3,479 | 122,974 | |||
| otal endo ment nds |
||||||
| **otal nds ** |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 40
F inancial statements
| **to ** | alance at **pril ** |
ncome | pendit re | rans ers in o t |
ains osses |
alance at arc as restated |
|---|---|---|---|---|---|---|
| nrestricted desi nated nds | ||||||
| Designated capital funds |
19,538,065 | (987,232) | 953,479 | |||
| Designated care endowment fund |
7,972,315 | (1,082,298) | ||||
| otal nrestricted desi nated nds |
||||||
| nrestricted eneral nds | ||||||
| Unrestricted general funds |
18,116,361 | 17,481,140 | (12,676,663) | (3,884,513) | (1,282,841) | |
| otal nrestricted eneral nds |
||||||
| estricted nds | ||||||
| Litle Harbour capital |
380,000 | |||||
| NHS England grants | 1,363,188 | (1,363,188) | ||||
| Litle Bridge House funds |
59,187 | 395,520 | (318,168) | (12,656) | ||
| Charlton arm funds | 79,389 | 710,130 | (371,892) | (25,143) | 1,514,000 | |
| Litle Harbour funds | 38,449 | 941,299 | (931,915) | (18,576) | ||
| CHSW funds | 52,501 | 189,530 | (175,644) | 64,907 | ||
| otal restricted nds |
||||||
| ndo ment nds |
||||||
| CHSW Care Endowment und (CCE ) |
4,000,000 | (12,554) | ||||
| Bayliss Endowment und |
1,643,228 | 4,800 | (100,230) | |||
| otal endo ment nds |
||||||
| **otal nds ** |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 41
F inancial statements
Desig nated f nds
Capital F nds
�he �rustees have established designated capital funds which are equivalent to the net book value of unrestricted tangible and intangible �xed assets used to enable CHSW to carry out its charitable work�
Of the net transfer between funds , 8 (2023: £ 72,419) represent the amount spent on capital assets from restricted funds where the restrictions on the donations for assets have been ful�lled� In the year , 1 , 5 (2023: £ 890,809) was spent on capital from general unrestricted funds and was transferred to designated capital funds�
ndow ment F nd
Funds designated for transfer to the CHSW Care Endowment Fund are included within endowed funds below�
ndow ed f nds
CH W C are En dow ment F nd ( CCE
�he CCEF exists to support the management of excess unrestricted reserve holdings which usually arrive in the form of unexpected and unpredictable windfalls from legacies� �he fund is available to be spent (expendable endowment) to support the long term sustainability, stability and resilience of the charity and the long term continuation of the delivery of care services and to ensure that future care expenditure and investment can be �nanced even during periods of lower anticipated income� Established in 2022 following expert legal advice tak en by the CHSW Board of Trustees on the form, nature and compliance with regulatory law and guidance of the fund� During the year to 31 March 2024 � do���o�s met the CCEF criteria totalling , 7 , 9 (2023: � donations totalling �2,�17,703) and ���,21� (2023: nil) of investment income was reinvested into the CCEF�
ay liss En dow ment F nd
�he Bayliss Endowment Fund is to be retained for the bene�t of the charity as a capital fund� �he income from the capital is restricted due to the wishes of the donor� �his income funds care sta� costs at Charlton Farm and in particular, the post of Head of Care� Income in 2024 is , 0 (2023: £ 56,167) and is included in restricted funds income on the Statement of Financial Activities� �he gain in 2024 is , 9 (2023: loss �100,230)� �he fund is an expendable endowment�
estricted f nds
�he Little Harbour capital fund relates to the valuation of the land donated in 200� to CHSW on which the hospice site has been built�
�HS England grant fund is the �HS England Children’s Hospice grant which was given to sustain and develop the existing high quality hospice care for babies, children and young people receiving palliative care, their siblings and parents�
�he Little Bridge House, Charlton Farm, Little Harbour and CHSW funds include donations towards speci�c pro�ects at each hospice and across the whole charity, including Music �herapy, equipment, rooms and gardens, parties and presents, play equipment and materials, salary and other revenue costs, and funding of mums and dads groups�
Other legacies and donations were restricted to be spent at a speci�c hospice� restricted leg acies (2023: 7) were more than £ 50,000, of which a total of , 3 (2023: £ 234,366) was donated for Charlton F arm and il (2023: �4��,122) was donated for Little Harbour�
Last year, agricultural land being held by the charity was revalued with a gain of �1,�14,000 following the granting of planning permission to build residential homes on it� In 2023 to 2024 this land was disposed of to a housing developer and an investment gain of �2�4 million was recognised� As the land had originally been donated by a supporter of care at Charlton Farm, the bene�t of this revaluation and disposal has been restricted to this hospice�
�ransfers between funds represent the amounts spent on capital assets from revenue funds� Only assets with a continuing restriction are maintained as restricted funds�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 42
F inancial statements
----- Start of picture text -----
||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|S|mmary|of|f|nds|
|alance at|alance at|
|ransf|ers|ains/|
|A|pril 2|ncome|penditu|re|M|arch|
|to 2|4|in/|ou|t|( L|osses)|M|
|( as restated)|
|£|£|£|¢|¢|)|£|4|
|Unrestricted|
|:|
|26,394,329|(1,086,635)|(5,698,517)|, 6|, 1|
|designated funds|
|Unrestricted|
|17,753,484|15,420,614|(14,050,074)|(3,003,346)|1,288,695|, 4|, 3|
|general funds|
|Endowment funds|5,535,244|:.|8,705,701|779,000|, 0|, 9|
|Restricted funds|2,570,918|4,208,943|(4,409,144)|(3,838)|2,349,343|, 7|, 2|
|otal|, 2|, 9|5|, 6|, 5|7|( 1|, 5|, 8|, 4|, 0|, 7|, 7|
|alance at|
|alance at|ransf|ers|ains/|M|arch|
|ncome|penditu|re|
|to 2|3|A|pril 2|2|in/|ou|t|( L|osses)|
|£|f|£|£|£|( as restated)|
|£|
|Unrestricted|
|.|
|27,510,380|(987,232)|(128,819)|, 3|, 3|
|designated funds|
|Unrestricted|
|18,116,361|17,481,140|(12,676,663)|(3,884,513)|(1,282,841)|, 7|, 4|
|general funds|
|Endowment funds|1,643,228|--|4,004,800|(112,784)|, 5|, 2|
|Restricted funds|609,526|3,599,667|(3,160,807)|8,532|1,514,000|, 5|, 9|
|otal|, 8|, 4|5|, 0|, 8|7|( 1|, 8|, 7|)|=|, 3|5|, 2|, 9|5)|
----- End of picture text -----
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 43
F inancial statements
| nal sis o net assets et een nds | nal sis o net assets et een nds | nal sis o net assets et een nds | nal sis o net assets et een nds | nal sis o net assets et een nds |
|---|---|---|---|---|
| **to ** | nrestricted **nds ** |
estricted **nds ** |
n do ment **nds ** |
otal nds |
| �angible �xed assets | 19,103,384 | 380,000 | ||
| Intangible �xed assets | 505,796 | |||
| Fixed asset investments | 15,595,968 | 335,466 | 15,019,945 | |
| Current assets | 4,899,266 | 4,000,756 | ||
| Creditors due within one year | (1,504,582) | |||
| Provisions for liabilites and charges | (1,581,282) | |||
| otal | ||||
| **to ** | nrestricted **nds ** |
estricted nds as restated |
n do ment **nds ** |
otal nds as restated |
| �angible �xed assets | 19,455,946 | 380,000 | ||
| Intangible �xed assets | 48,363 | |||
| Fixed asset investments | 19,096,303 | 5,535,244 | ||
| Current assets | 9,132,697 | 2,190,918 | ||
| Creditors due within one year | (1,919,330) | |||
| Provisions for liabilites and charges | (1,666,166) | |||
| otal |
| �� Reco�ci�i��o� o� �et �o�e�e�t i� ���ds to �et c�s� �o� �ro� o�er���g �c��i�es | �� Reco�ci�i��o� o� �et �o�e�e�t i� ���ds to �et c�s� �o� �ro� o�er���g �c��i�es | �� Reco�ci�i��o� o� �et �o�e�e�t i� ���ds to �et c�s� �o� �ro� o�er���g �c��i�es |
|---|---|---|
| **ro p ** | **ro p ** | |
| �et i�co�e �or t�e �eriod ��s �er �t�te�e�t o� �i���ci�� �c��i�es | ||
| Adjustments for | ||
| Depreciaton and amortsaton charges | 987,233 | |
| Gains on property and land | (1,559,900) | |
| (Gains)�losses on investments | 1,441,525 | |
| Dividends, interests and rents from investments | (605,036) | |
| Loss on the sale of �xed assets | 5,750 | |
| Decrease (increase) in stoc s | (36,910) | |
| ( ncrease) decrease in debtors | 2,873,895 | |
| Decrease in creditors | (73,851) | |
| (Decrease)�increase in provisions | 243,508 | |
| �et c�s� ��sed i����ro�ided �� o�er���g �c��i�es |
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 44
F inancial statements
A naly sis of cash a nd cash e iva lents
| **ro p ** | **ro p ** | |
|---|---|---|
| Cash in hand | 9,466,376 | |
| otal cas and cas e i alents |
A naly sis of ch ang es in net deb t
| nal sis o c an es in net de t | |||
|---|---|---|---|
| t pril |
��s� �o�s | t arc |
|
| Cash at ban and in hand | 9,466,376 | (2,725,987) | |
| otal |
P ension commitments
CHSW employees belonged to 2 principal pension schemes during the year� �he �HS pension scheme for eligible sta� is a de�ned bene�t scheme� �on eligible members of sta� are o�ered a de�ned contribution scheme administered by Sco�sh Widows�
sch eme
Only ex �HS quali�ed doctors and nurses are eligible to �oin the �HS scheme� �he �HS scheme is a multi employer de�ned bene�t pension scheme� As the charity is unable to identify its share of the assets and liabilities of the scheme on a consistent and reliable basis, the scheme is treated by the charity as if it were a de�ned contribution scheme, in accordance with Financial Reporting Standard (FRS 101)�
Following advice from the Government Actuary’s Department as part of the 201� valuation process, the Department of Health and Social Care (DHSC) con�rmed that �HS employer contribution rate will increase to 20���� with e�ect from 201�� �he government has committed to cover this cost increase for a certain category of employers, including CHSW, recurring annually until 31 March 2024�
�ot�� �e�sio� co�tri���o�s ��d �i��i�i�es
The total pension costs, excluding salary exchange, charged in the year represent the charity’s contributions to all the schemes and amounted to , 1 , 7 (2023: ��41,774)� �he charity contributions outstanding at 31 March 2024 were , 1 (2023: �12�,�73)� �he assets and liabilities of both schemes are held separately from those of the charity, in independently administered pension schemes�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 45
F inancial statements
�� ��er���g �e�se co��it�e�ts
At 31 March 2024 the group and the charity had commitments to mak e future minimum lease payments under non cancellable operating leases as follows:
----- Start of picture text -----
rou p 2 rou p 2 Ch arity 2 Ch arity 2
Not later than 1 year , 9 672,319 , 9 672,319
Later than 1 year and not later than 5 years , 1 , 2 913,109 , 1 , 2 913,109
Later than 5 years , 5 63,262 , 5 63,262
otal , 8 , 8 , 6 , 6 , 8 , 8 , 6 , 6
----- End of picture text -----
- �he following lease payments have been recognised as an expense in the Statement of �nancial activities:
| **ro p ** | **ro p ** | **C arit ** | **C arit ** | |
|---|---|---|---|---|
| ��er���g �e�se re�t��s |
�� ��de��i�es
eg acies
�he charity has indemni�ed the executors of 3 estates in respect of residuary legacies distributed to the charity� �he maximum liability under the indemnities at the date the accounts were approved is , 2 (2023: �27,437)�
olicitors u nclaimed client f nds
Following the passing of relevant legislation, solicitors are now permitted to distribute to charities certain unclaimed client funds, however an indemnity is required from those charities to inde�nitely commit to refund any funds that are subsequently claimed� �he total of the charity’s indemnities is , 9 (2023: �104,�1�)�
P ost b alance sh eet ev ents
As at 31 March 2024, the charity had been noti�ed of a number of residuary legacies, the values of which were uncertain, as the executors were awaiting con�rmation of other claims on the estate and may also be in the process of realising assets such as residential property� �he estimated total of these legacies could be up to �1,�00,000�
�one of these legacies have been accrued in the �nancial statements�
- �here are no other post balance sheet events that require reporting�
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 46
Accounting policies
�� �e�er�� i��or���o�
Children’s Hospice South West is a company limited by guarantee (registered number 02620879), which is incorporated and registered in England and Wales.
Its charity registration number is 1003314� �he registered o�ce is Little Bridge House, Redlands Road, Fremlington, Barnstaple, Devon, EX31 2PZ�
�he liability of each member in the event of winding up is limited to �1 per member�
�� �cco����g �o�icies
��� ��sis o� �re��r��o� o� ����ci�� st�te�e�ts
�he �nancial statements have been prepared in accordance with the charity’s Statement of Recommended Practice (FRS 102) Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the �K and Republic of Ireland (FRS 102) (e�ective 1 January 201�), Financial Reporting Standard applicable in the �K and Republic of Ireland (FRS 102), Companies Act 200� and the Charities Act 2011�
Children’s Hospice South West meets the de�nition of a public bene�t entity under FRS 102� Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy�
�he consolidated statement of �nancial activities (SOFA) and consolidated balance sheet consolidate the �nancial statements of the charity and its subsidiary undertaking� �he results of the subsidiary are consolidated on a line by line basis and intercompany balances are eliminated on consolidation�
�he charity has taken advantage of the exemption allowed under section 40� of the Companies Act 200� and has not presented its own statement of �nancial activities in these �nancial statements� �he charity has taken advantage of the exemptions in FRS 102 from the requirements to present a charity only cash �ow statement and certain disclosures about the charity’s �nancial instruments�
��� �oi�g co�cer�
�he Group has cash resources and no requirement for external funding to fund normal operating activities� �he �rustees believe that there are no material uncertainties about the Group’s ability to continue in operating existence for the foreseeable future, having reviewed our �nancial position, reserves levels and future plans� �hey continue to believe the going concern basis of accounting appropriate in preparing the annual �nancial statements�
. 3 I ncome
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably�
Income from voluntary sources is received by way of donations and gi�s and is included in full in the consolidated statement of �nancial activities when receivable�
Income from Gi� Aid tax reclaims is recognised for all donations made prior to the year end, where valid Gi� Aid declarations are held and allocated to the same fund as the underlying donation�
�o��ted ser�ices ��d ��ci�i�es
Properties, investments and other �xed assets donated to the charity are included as income and recognised as assets or investments at market value at the time that the charity takes control of the item� Donated services, if material, are recognised at their estimated value to the charity when received, and under the appropriate expenditure heading depending on the nature of the service provided, at the same value and time� Although it is of signi�cant value to the charity, time donated by the charity’s volunteers and Friends Group members is not recognised in the accounts as it cannot be reliably valued and is speci�cally exempted by the Statement of Recommended Practice� Details of the roles played by volunteers and the nature of their contribution can be found in the �rustee’s report�
Stocks of donated goods for resale cannot be measured reliably in a cost e�ective manner, due to the high volume of low value items received� �herefore donated goods for resale are not recognised on receipt, but their value is recognised as income when sold.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 47
Accounting policies
�eg�c� i�co�e
Legacies are recognised when the charity is entitled to the funds (when there is a valid will and they are noti�ed of the benefactor’s death), when receipt is probable (indicated by grant of probate) and the charity can reliably estimate the legacy income receivable�
Recognition is therefore dependent on the type of legacy:
-
Pecuniary legacies are recognised when noti�cation is received
-
Residuary legacies are recognised on settlement of the estate or receipt of payment, whichever is earlier�
Where legacies have been noti�ed to the charity but the criteria for income recognition have not been met the legacy is treated as contingent assets and disclosed if material in note 32�
��co�e recei�ed i� �d���ce
Income received in advance of an event or provision of another speci�c service, is deferred until the criteria for income recognition are met�
�r��ts
Grants received for speci�c purposes are accounted for as restricted funds� Grants that provide core funding or are of a general nature provided by charitable foundations are recorded as donations� �he grants detailed in note 2 have been included as income from charitable activities as they relate to the provision of care� Grants are recognised in full when the entitlement is established�
���est�e�t i�co�e
Investment income is credited to income on an accruals basis.
��terest recei�ed
Interest on funds held on deposit is included when receivable�
��� ���e�dit�re
Expenditure is accounted for on an accruals basis and recognised once there is a legal or constructive obligation to transfer economic bene�t to a third party, it is probable that a transfer of economic bene�ts will be required in settlement and the amount of the obligation can be measured reliably� Expenditure is classi�ed by activity� �he costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity� Direct costs attributable to a single activity are allocated directly to that activity� Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources� Central sta� costs are allocated on the basis of time spent, and depreciation charges allocated on the location of the asset’s use�
�he costs of raising funds are those incurred in encouraging individuals and organisations to make voluntary contributions and donations to the charity� �his includes the costs of the charity’s fundraising offices and supporter groups, the cost of trading and investment management fees
Charitable expenditure comprises direct expenditure including direct staff costs attributable to its care activities and support costs�
All expenditure is inclusive of irrecoverable �A��
Support costs include central functions and are allocated to activity costs categorised on a basis consistent with the use of resources� �his allocation is carried out on a substantive activity basis and does not take account of incidental use�
Governance costs are included within support costs and comprise the costs of running the charity� �his includes external audit, any legal advice for the �rustees and all costs of complying with constitutional and statutory requirements such as the costs of Board and Committee meetings�
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 4�
Accounting policies
��� ��t��gi��e �ssets ��d ��or�s��o�
Intangible assets costing , 0 (2023: ��00) or more are capitalised and recognised when future economic bene�ts are probable, and the cost or value of the asset can be measured reliably.
Intangible assets are initially recognised at cost� A�er recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses�
Amortisation is provided on intangible assets at rates calculated to write o� the cost of each asset on a straight line basis over its expected useful life�
Amortisation is provided on computer so�ware over 4 years�
��� ���gi��e ��ed �ssets ��d de�reci��o�
�angible �xed assets costing , 0 (2023: ��00) or more are capitalised and recognised when future economic bene�ts are probable and the cost or value of the asset can be measured reliably�
�angible �xed assets are initially recognised at cost� A�er recognition, under the cost model, tangible �xed assets are measured at cost less accumulated depreciation and any accumulated impairment losses� All costs incurred to bring a tangible �xed asset into its intended working condition should be included in the measurement of cost�
Depreciation is charged so as to allocate the cost of tangible �xed assets less their residual value over their estimated useful lives, using the straight line method� reehold land is not depreciated.
Depreciation is provided on the following bases:
-
Freehold property: � to �0 years
-
Leasehold property: life of lease
-
Motor vehicles: 4 years
-
Furniture, ��ngs and other equipment: � to 10 years
Computer equipment: � years�
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Consolidated statement of �nancial activities�
and losses, whether realised or unrealised, are combined and presented as �Gains�(Losses) on investments’ in the Consolidated statement of �nancial activities�
Investments in subsidiaries are valued at cost less provision for impairment�
��� �toc�s
Stocks are valued at the lower of cost and net realisable value a�er making due allowance for obsolete and slow moving stocks�
��� �i���ci�� i�str��e�ts
�he Group only has �nancial assets and �nancial liabilities of a kind that qualify as basic �nancial instruments� Basic �nancial instruments are initially recognised at transaction value and subsequently measured at their settlement value�
�e�tors
Other debtors, legacies receivable and accrued income are recognised at the settlement amount a�er any trade discount o�ered� Prepayments are valued at the amount prepaid net of any trade discounts due�
��s� �t ���� ��d i� ���d
Cash at bank and 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�
�reditors
Liabilities and provisions are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic bene�t will be required in settlement, and the amount of the settlement can be estimated reliably�
���� �e�sio�s
�he charity contributed to 1 de�ned bene�t scheme in the year but also operates a de�ned contribution pension scheme� Pension costs charged to the statement of �nancial activities represent the contributions payable by the charity in respect of the accounting period� Both schemes are accounted for as de�ned contribution schemes� �ote 2� provides a detailed explanation�
��� ���est�e�ts
Fixed asset investments are a form of �nancial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairment� Investment gains
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 4�
Accounting policies
2.11 Operating leases
Rentals paid under operating leases are charged to the Consolidated statement of financial activities on a straight line basis over the lease term.
2.12 Fund accounting
General funds are unrestricted funds which are available for use at the discretion of the Trustee in furtherance of the general objectives of the Group and which have not been designated for other purposes.
Designated funds comprise unrestricted funds that have been set aside by the Trustee for particular purposes. The aim and use of each designated fund is set out in the notes to the financial statements.
Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The aim and use of each restricted fund is set out in the notes to the financial statements.
The aim and use of each endowed fund is set out in the notes to the financial statements.
Investment income, gains and losses are allocated to the appropriate fund.
2.13 Taxation
The charity is exempt from Corporation Tax on its charitable activities.
The charity is registered for VAT. Irrecoverable VAT is allocated to the areas in which it is incurred.
3. Critical accounting estimates and areas of judgement
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.
Critical accounting estimates and assumptions:
The charity makes estimates and assumptions concerning the future.
Impairment of debtors
The Group makes an estimate of the recovery of debtors. When assessing the impairment of debtors, management considers factors including the current credit rating of the debtor, the ageing profile of debtors and historical experience.
Provisions
The Group has estimated the anticipated costs of dilapidation’s across its retail operations based on the age of the lease and the fit out costs.
The Group has estimated the potential maximum claw back on its retail grant income based on legal advice received and detailed calculations.
Useful economic lives of tangible and intangible assets The annual depreciation and amortisation charges for the tangible and intangible assets are sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are amended when necessary to reflect current estimates and the physical condition of the assets. See notes 14 and 15 for the carrying amount of the intangible and tangible assets and policy (i) for the useful lives for each class of asset.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 50
Audit report
Independent auditor’s report to the members of CHSW
Opinion
We have audited the financial statements of Children’s Hospice South West (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the year ended 31 March 2024 which comprise the Consolidated statement of financial activities, the Consolidated balance sheet, the charity balance sheet, the Consolidated statement of cash flows and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 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:
-
Give a true and fair view of the state of the Group’s and of the parent charitable company’s affairs as at 31 March 2024 and of the Group’s incoming resources and application of resources, including its income and expenditure for the year then ended
-
Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice
-
Have been prepared in accordance with the requirements of the Companies Act 2006.
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 Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the Financial Reporting Council’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 Trustee’s 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 the Group’s or the parent charitable company’s ability to continue as a going concern for a period of at least 12 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.
Other information
The other information comprises the information included in the Annual 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.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 51
Audit report
Opinions on other matters prescribed by the Companies Act 2006
In our opinion based on the work undertaken in the course of our audit:
-
The information given in the Trustee’s Report and Strategic Report for the financial year for which the financial statements are prepared are consistent with the financial statements
-
The Trustee’s Report and Strategic Report have been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In light of our 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 Trustee’s Report or Strategic Report.
Responsibilities of Trustees
As explained more fully in the statement of Trustee’s responsibilities, 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 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 Group’s and the parent 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 Group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.
We have nothing to report in respect of the following matters in relation to which Companies Act 2006 requires us to report to you if, in our opinion:
-
The parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or
-
The parent charitable company financial statements are not in agreement with the accounting records and returns; or
-
Certain disclosures of Trustee’s remuneration specified by law are not made; or
-
We have not received all the information and explanations we require for our audit.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 52
Audit report
��ditor�s res�o�si�i�i�es �or t�e ��dit o� t�e ����ci�� st�te�e�ts
Our ob�ectives are to obtain reasonable assurance about whether the �nancial 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 (�K) 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 in�uence the economic decisions of users taken on the basis of these �nancial 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� �he extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We obtained an understanding of the legal and regulatory frameworks within which the Group and charitable company operates, focusing on those laws and regulations that have a direct e�ect on the determination of material amounts and disclosures in the �nancial statements� �he laws and regulations we considered in this context were the Companies Act 200�, the Charities Act 2011 together with the charity’s Statement of Recommended Practice (FRS 102)� We assessed the required compliance with these laws and regulations as part of our audit procedures on the related �nancial statement items�
In addition, we considered provisions of other laws and regulations that do not have a direct e�ect on the �nancial statements but compliance with which might be fundamental to the Group and charitable company’s ability to operate or to avoid a material penalty� We also considered the opportunities and incentives that may exist within the Group and charitable company for fraud� �he laws and regulations we considered in this context were Care �uality Commission (C�C) Regulations, General Data Protection Regulation (GDPR), Anti fraud, bribery and corruption legislation, environmental protection legislation, Health and safety legislation, �axation legislation and Employment legislation�
Auditing standards limit the required audit procedures to identify non compliance with these laws and regulations to enquiry of the �rustees and other management and inspection of regulatory and legal correspondence, if any�
We identi�ed the greatest risk of material impact on the �nancial statements from irregularities, including fraud, to be in the following areas: timing of recognition of income (speci�cally legacy income and grant income other than �HS income)� the override of controls by management, including posting of unusual �ournals� inappropriate treatment of non routine transactions and areas of estimation uncertainty�
Our audit procedures to respond to these risks included enquiries of management about their own identi�cation and assessment of the risks of irregularities, review and discussion of non routine transactions, sample testing on the posting of �ournals and income streams noted above and review of accounting estimates for biases�
A further description of our responsibilities for the audit of the �nancial statements is located on the Financial Reporting Council’s website at: www�frc�org�uk�auditorsresponsibilities �his description forms part of our Auditor’s report�
�se o� o�r re�ort
�his report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 1� of the Companies Act 200�� 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� �o the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its members, as a body, for our audit work, for this report, or for the opinions we have formed�
Guy Biggin Senior Statutory Auditor
For and on behalf of Crowe ��K� LLP Statutory Auditor 4th Floor, St James House, St James Square, Cheltenham GL�0 3PR
Date: 2� October 2024
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page �3
Structure, governance and management
CHSW is a registered charity with the Charity Commission in England and Wales (charity number 1003314) and was incorporated as a private company limited by guarantee (company number 02�20�7�), on 17 June 1��1� Legal and company information is set out on page �� and lists the Directors, �rustees, Senior Management �eam (SM�) and the principal advisors, and forms part of this report�
e principal ob j ect of th e ch arity
The charity was established ‘ to promote the relief of illness and su�ering in such ways as the Association shall from time to time think �t, and particularly in the South West counties of England and ad�acent areas and in particular:
�rg��is��o��� str�ct�re
�he charity is constituted as a company limited by guarantee, and, therefore, is governed by a Memorandum and Articles of Association and has no share capital.
- By establishing, maintaining and conducting residential nursing homes for the reception and care of young persons who are su�ering from any chronic or terminal illness or any other physical or mental in�rmity, disability or disease and for the reception and care of the members of the family of such persons whether adult or otherwise, and so that any such home may be restricted to patients (and the families of patients) of under a certain age limit or to patients su�ering from any particular types of illness, disability, disease or in�rmity, and by providing medical or other treatment or attention for any such persons and their families as aforesaid in their own homes
�he charity has a wholly owned subsidiary, C H S W Promotions Limited� �he principal activity of the subsidiary is the sale of promotional and bought in goods in support of CHSW.
�he Directors of this subsidiary throughout the year, unless otherwise stated, are as follows:
-
�icola Mason, CHSW �rustee
-
Jessica Patel, CHSW Director of Marketing and Communications and Deputy Chief Executive David �urner, CHSW �rustee
-
By conducting, promoting or encouraging research into the care and treatment of persons su�ering from any such illness, disability, disease or in�rmity as aforesaid and particularly into the care and treatment of persons su�ering from terminal illness and the care of the families of such persons and by providing for the dissemination of the results of such research
-
Jonathan Webber, CHSW Director of Finance and Retail.
All Directors of CHSW, (excluding the SM�), are also Trustees of the charity and there are no other Trustees.
The charity is organised so that the Trustees meet collectively at least 4 times a year to direct the management of its a�airs� Strategy days are also held periodically. The members (the members of the charity include all �rustees and 3 other individuals) of the charity may, by ordinary resolution, appoint persons willing to act as a Trustee.
- By promoting, encouraging or assisting in the teaching or training of Doctors, �urses, Physiotherapists, Administrators, Social Workers, and other persons engaged in any branch of medicine, surgery, nursing or allied services, and in the teaching or training of students in any branch of medicine, surgery, nursing or allied services
�ss�r��ce �o��i�ees
In addition to regular Board meetings, with the attendance of all �rustees and the SM�, delegated authority has been given to Assurance Committees to assist the Board in several functional and risk areas of the charity� �hese Assurance Committees are attended by �rustees with relevant skills and experience, meet at least 3 times per year and report directly to the Board� �hey currently include:
- By providing, assisting or encouraging spiritual help and guidance for any resident (baby, child, young person or their family) or associated with any such home or homes as aforesaid.
In pursuing the principal ob�ectives of the charity, activities that CHSW provides to the families in the South West are detailed on page 7.
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 54
Structure, governance and management
Care Assurance Committee
-
Income Generation and Marketing Assurance Committee
-
Investment and Finance Assurance Committee Governance Assurance Committee (incorporating risk and remuneration).
Appointment of Trustees
The Board of Trustees, listed on page 58, is responsible for confirming the appointment of a new Trustee following a clear recruitment and selection policy and procedure. The term of office is 3 years after which period a Trustee must seek re-appointment by the Board if he or she wishes to continue as a Trustee. There is currently a 3 term maximum on the number of terms of office a Trustee can serve.
CHSW will ensure it maintains and enhances its own accountability and wider public confidence in its work by:
Engaging effectively with the community it serves
-
Responding equitably to the needs of its users
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Endeavouring to ensure a mix of Trustees that reflects the mix of CHSW beneficiaries and its local communities.
New Trustees are offered a programme of induction which includes reading a certain amount of literature, meeting with some of those who lead the charity, and gaining some first-hand experience of situations in which we work. The programme of induction contains the following elements:
A document pack including:
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Charity structure chart
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Governing documents and governance policies
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Strategic plan
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Latest annual report
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Latest management accounts
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Risk register
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Annual meeting schedule
Meeting key personnel including the chair of Trustees and individual members of the SMT
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Taking a tour of one of our hospices and meeting with the Head of Care
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Attending a welcome day with other new staff Spending time on a shift, working with the Care Team, pending restrictions
Management
The day-to-day operation of the charity is carried out by SMT, listed on page 58, who have delegated responsibility and are employees of the charity.
All members of SMT report to the Chief Executive Officer (CEO), Eddie Farwell, who oversees all operational and strategic matters. In June 2024 Eddie Farwell announced his intention to retire from the charity in March 2025 after leading the charity for the last 20 years. The Trustees are working on a succession plan and are looking to announce his replacement as soon as they are able.
Care throughout the charity was provided under the direction of the Director of Care, Allison Ryder until her leaving CHSW in February 2024. This position is currently being covered on an interim basis by Claire Kilby (CHSW Deputy Director Care, Clinical) and Dr Alison Stephens (CHSW Deputy Director Care, Children, Families and Psychological Services).
The Director of Marketing and Communications and Acting CEO, Jessica Patel, oversees marketing and communication issues together with IT services. As Acting CEO, Jessica provides interim ongoing cover and responsibility for the CEO position.
The finance function is overseen by the Director of Finance and Retail, Jonathan Webber. Jonathan is also the Company Secretary and is responsible for retail trading operations. The Director of HR, Daphne Sands, is also responsible for facilities management and health and safety. The Fundraising Team work under the direction of the Director of Fundraising, Paul Courtney.
SMT remuneration, including that of the CEO, is reviewed annually by the Governance Assurance Committee. Senior management remuneration is established and reviewed periodically based on the Hay Group methodology in respect to job evaluation and having due regard to CHSW’s duty to ensure the best value and after taking advice on pay levels, market conditions and other relevant factors.
Other than allowable business expenses, CHSW makes no payments in addition to the basic salary to the CEO and SMT for undertaking their core role. Any authorised additional hours will be subject to the conditions in line with all staff.
- Attending other key events, fundraising events and a Friends Group conference.
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
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Structure, governance and management
����o�ees
CHSW is committed to the principle of equal opportunities in employment and recognises its obligations under the Equality Act 2010� CHSW declares its opposition to any form of less favourable treatment, whether through direct or indirect, associated or perceived discrimination accorded to CHSW sta�, or �ob applicants, on the grounds of their race, nationality or ethnic origin, disability, sex, age, sexual orientation and gender reassignment, marital and civil partnership status, pregnancy and maternity, religion or belief, (otherwise known as �protected characteristics’ as de�ned by the Equality Act 2010), including Human Rights.
CHSW is committed to creating a positive culture of respect for all CHSW sta�, promoting positive practices and valuing the diversity of all individuals and communities�
CHSW embraces and recognises the importance of diversity, that di�erent people bring di�erent perspectives, ideas, knowledge and culture, and that this di�erence brings great strength as well as contributes to employee wellbeing and engagement.
CHSW aims to create a culture that respects and values each person’s di�erences, promotes dignity, equality, diversity and inclusivity, and that encourages individuals to develop and maximise their true potential�
We expect commitment and involvement from all CHSW sta�, partners and providers of goods and services in working towards the achievement of our aim� Continued close attention is paid to the health and safety of employees while at work, and all employees are provided with appropriate training in compliance with our CHSW Health and Safety Policy.
Employee views are sought through several forums including 121s, team meetings, steering groups, sta� surveys and the Sta� Council� CHSW’s strong �Speaking �p’ culture is also supported by a team of Freedom to Speak �p Champions from across the charity which includes a �rustee� �o concerns were raised via the Whistleblowing Policy this year. Information concerning the charity and its activities and performance are shared with employees through several channels including Internal Communications via email, the Sta� Intranet, and Site Meetings�
��g�gi�g �it� o�r st��e�o�ders
�he CHSW �rustees set out to de�ne discrete stakeholder groups and recognise many of them have complementary interests and shared priorities� Stakeholders include babies, children and young people living with life-limiting conditions, their families, donors, sta�, volunteers, ICBs, local communities, contractors, suppliers, and our Patron�
�he �rustees have a strategy for regular and e�ective communication with these stakeholders about the charity’s purposes, values, work and achievements� Examples of this include marketing strategies and a family engagement programme.
The Trustees communicate how the charity is governed, who they are, and decisions made through the CHSW website and the Trustee Annual Report. �he �rustees ensure that stakeholders have an opportunity to hold the board to account through agreed processes and routes such as F riend’s Group Conferences, �olunteer Appreciation days, Parent Forums, Parent Feedback �uestionnaires, Sta� Council and regular Sta� Surveys�
�he �rustees make sure there is suitable consultation with stakeholders about signi�cant changes to the charity’s services or policies.
�e��ers�i�s
�o assist in its decision-making and to ensure current and best practices are always followed, the charity is an active participant in the membership of several not for pro�t organisations� �hese include the following:
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Hospice �K
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�ogether for Short Lives
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undraising Regulator
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Charity Retail Association Hospice Lottery Association
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Gambling Commission
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�he Lotteries Council�
Re��ted ��r�es
CHSW has a trading subsidiary C H S W Promotions Limited which is responsible for the sale of all new goods, including Christmas cards. The relationship between the 2 organisations is set out in a memorandum of understanding.
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
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Structure, governance and management
Governance Code for larger charities was adopted into our new Governance Framework, which was completed in March 2021. The code sets out the principles and recommended practices for good governance and is a tool for continuous improvement towards the highest standards.
Our governance and risk frameworks were reviewed and updated last year. Our focus for this year will
Phase 3 of the Government Energy Savings and Opportunities Scheme (ESOS) was completed in
quarter 4. Action planning to respond to the ESOS
recommendations are in motion and will form part of
In the year ended 31 March 2024, the charity’s annual energy usage was 1,585,776kWh (2023:
stakeholder’s voice reviews to support the strategic development of our care.
charity’s charitable spend of , 0 , 5 this gives an intensity ratio of 1 CO2e: charitable spend.
CHSW completed its second Annual Green Agenda Report for 2023 to 2024. The achievements and actions taken against our stated ambitions include:
-
Installation of electric vehicle charging points at Charlton F arm
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Making steps towards improving our impact of travel include updates to our company travel policies to include mileage allowance for travel by
and a move to hybrid company cars for our Area
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Retail Managers
-
: © Completing the LED lighting upgrade at Little Bridge House and continuing this at Charlton Farm
-
J| | © and Little Harbour ESOS Phase 3 compliance.
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
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Reference and administration
----- Start of picture text -----
Company nu mb er 02620879
Ch arity nu mb er 1003314
ru stees Stephen Hindley CBE, DL
David Turner
Karen Rogers (resigned 10 October 2024)
Nicola Mason
Patricia Morris
Alan Broughton
Roger Knight (Treasurer)
Elizabeth Childs (resigned 12 January 2024)
Kate Martin (resigned 7 March 2024)
Stewart Davidson
Andrew Gould
Ethna Bashford (appointed 10 October 2024)
Jessica Steevens (appointed 10 October 2024)
Caroline Tilley (appointed 10 October 2024)
Samuel Bedford (appointed 10 October 2024)
r patron Her Majesty The Queen
ecretary Jonathan Webber
Registered office Little Bridge House, Redlands Road, Fremington, Barnstaple EX31 2PZ
enior M anag ement Chief Executive (CEO): Eddie Farwell MBE, Hon LLD
eam ( S
Director of Marketing and Communications and Acting CEO: Jessica Patel
Director of Care: Allison Ryder (resigned February 2024)
Deputy Directors of Care: Alison Stephens and Claire Kilbey
Director of Finance and Retail: Jonathan Webber
Director of HR: Daphne Sands
Director of Fundraising: Paul Courtney
dv isors Principal Bankers: Barclays Bank Plc, 3rd Floor, 3 Bedford Street,
Exeter EX1 1LX
Principal Solicitors: Burges Salmon LLP 1 Glass Wharf, Bristol BS2 0ZX
Investment Managers: LGT Wealth Management UK LLP
15 Queen Square, Bristol, BS1 4NP
Investment Managers: Sarasin & Partners LLP
Juxon House, 100 St Paul’s Churchyard, London EC4M 8BU
Independent Auditor: Crowe U.K. LLP Statutory Auditor
4th Floor, St James House, St James Square,
Cheltenham GL50 3PR
----- End of picture text -----
Children’s Hospice South West - Annual Report and Financial Statements year ended 31 March 2024
Page 58
Fundraising standards
Valuing our supporters and upholding high standards
Children’s Hospice South West is committed to ensuring that all our wonderful and varied fundraising
Everyone at CHSW is committed to behaviour and communications that ensure no potential or existing supporter ever feels under undue pressure to support
the F undraising Regulator which enables people
and ongoing training underpin and help us maintain
regulatory updates and developments are acted upon and shared with all F undraising Teams and V olunteers, with a commitment to a consistent training and i, i. _. monitoring programme. This includes annual training
on the Code of Fundraising Practise. In addition to regulatory compliance, we actively encourage and provide opportunities for our Fundraising and
Marketing Teams to attend conferences and training (in- person and online) that k eeps them up to date with sector trends, developments and innovations
The high standards of fundraising that we expect of our teams also extend to those acting on behalf of
they are up to date with the standards set out in the Code and any agencies or commercial participators to whom we entrust the CHSW brand must demonstrate their commitment to and active compliance with the Code both before work commences and during
While we are committed to very high standards, there are times when we do receive complaints and people
| Department | Complaint | Concern raised |
|---|---|---|
| Head Office | 1 (2023: 0) | 0 (2023: 0) |
| F undraising | 2 (2023: 1) | 1 (2023: 3) |
| Marketing | 0 (2023: 4) | 1 (2023: 0) |
| Lottery | 4 (2023: 5) | 4 (2023: 1) |
| Database Administration |
2 (2023: 0) | 1 (2023: 2) |
All complaints and concerns were reviewed and resolved in line with CHSW’s Complaints policies and no further escalation or involvement of external
In the year to March 2024, CHSW was supported by 2 external agencies to increase the membership
All canvassers employed by both agencies receive rigorous training that is monitored and consolidated by annual training delivered by CHSW’s Director
of Fundraising. Regular reviews of agency activity, quality assurance calls and questionnaires, and a spot- check mystery shopping framework all help to
ensure that CHSW’s highest standards are reflected by those employed by these Professional F undraising
During the year, there were several Cause Related Marketing (CRM) agreements with companies
were reviewed regularly to ensure companies are acting in line with the standards expected at all times are entered into without due diligence and adherence to CHSW’s Ethical Fundraising and Donation and represented no reputational risks. No agreements
Children’s Hospice South West - Annual Report and F inancial Statements year ended 31 March 2024
Page 59
Redlands Road, Fremington, Barnstaple, Devon EX31 2PZ 01271 325 270
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