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2021-03-31-accounts

Hospice UK

Annual report and financial statements – 31 March 2021

Audited annual report and financial statements

For the year ended 31 March 2021

Charity registered in England and Wales No. 1014851

Charity registered in Scotland No. SC041112

Company No. 2751549

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Hospice UK Annual report and financial statements – 31 March 2021

Contents

Page
Acknowledgements 3
Directors and Strategic report 4
Structure, governance and management 20
Reference and administrative information 22
Independent auditor’s report 27
Consolidated statement of financial activities 32
Balance sheets 33
Consolidated statement of cash flows 34
Notes to the financial statements 35

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Hospice UK Annual report and financial statements – 31 March 2021

Acknowledgements

The Trustees would like to thank all our partners and donors for their generous support.

We are extremely grateful to our corporate partners, in particular Aberdeen Standard Capital Limited, Amazon Smile, Anchor Hanover, Deutsche Bank, Dignity UK, Haysmacintyre, Joules Limited, Lottoland, National Garden Scheme, NatWest Tyl, New Look Retailers Limited, Northern Trust, PwC Foundation, Raffolux, St. James’s Place Wealth Management, The Co-operative Bank plc, Towergate Insurance and Unilever.

We would also like to acknowledge the unprecedented support we have received from so many Trusts and Foundations this year who have been invaluable in supporting Hospice UK’s response to the COVID-19 emergency. In addition, we are especially grateful to Julia and Hans Rausing for their generous support of our NHS-aligned work to support clinical teams in palliative care, and our bereavement support services across the hospice network.

Our individual donors and event participants have continued to make a fantastic contribution to our work even in the very trying circumstances of the past year. We are equally grateful to the generous individuals who have left a gift to Hospice UK in their Will, or have pledged to do so in the future.

We would also like to thank our Vice-Presidents, Ambassadors, our Development Board and our London Events committee for their continued and unwavering support, as well as express our thanks to the many staff and trustees of member hospices who contribute so generously with their time and expertise.

Finally, we’d like to thank all of the staff and volunteers of Hospice UK, whose hard work, flexibility and dedication through the COVID-19 pandemic has been remarkable.

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Hospice UK

Annual report and financial statements – 31 March 2021

Strategic report

Who we are

Hospice UK is the national charity working for those experiencing dying, death and bereavement. We work for the benefit of people affected by death and dying, collaborating with our hospice members and other partners who work in end of life care. Our hospice members influence and guide our work to put people at the centre of all we do.

Our vision

We believe that everyone, no matter who they are, where they are or why there are ill, should receive the best possible care at the end of their life. No one should die in avoidable pain or suffering.

Our mission

Our mission is to transform the way society cares for the dying and those around them. To empower individuals, communities and populations to embrace the ethos of hospice care and extend its breadth and reach to improve everyone’s experience of death, dying and bereavement.

Strategic priorities

Hospice UK’s five-year strategy, developed in 2017 and running to 2022, sets out four strategic goals which have continued to guide our work in spite of the significant disruptions caused by the COVID19 pandemic.

Our four strategic goals are:

  1. Extend our reach and enable hospice quality care to be delivered in any setting

  2. Tackle inequality and widen access to hospice care

  3. Work with communities to build capacity and resilience to care for those at the end of life

  4. Empower a strong, dynamic and responsive hospice sector

A version of our strategy which sets out how these priorities translate into the children’s hospice sector is available on our website.

Public benefit

We have referred to the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, we consider how our planned activities will contribute to the aims and objectives we have set.

We are here to support the hospice and palliative and end of life care sector improve people’s end of life experience in the UK. Hospice care is free for however long it is needed, and whether provided in someone’s home, at the hospice or elsewhere in the community.

The following sections give an overview of our activities undertaken this year to meet out charitable objectives, including how we have responded to the COVID-19 pandemic.

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Hospice UK Annual report and financial statements – 31 March 2021

Activities, Achievements and Performance

Responding to COVID-19

The impact of the COVID-19 pandemic on the hospice and end of life sector has been, and continues to be, profound. Our work and priorities were adapted significantly as a result. Cutting across, and guided by, our four strategic priorities, we undertook to support and guide the sector through the pandemic in a number of ways.

Early in the pandemic, Hospice UK made a persuasive case to government about the critical role that hospice services would play in supporting the national response to the virus, providing continuity of care for people affected by terminal illness and, importantly, helping to reduce pressure on stretched NHS services. As a result, the government allocated a total of £257 million across the year to support hospice services in England. Hospice UK worked closely with the Department of Health and Social Care and NHS England and NHS Improvement to rapidly distribute this funding to hospices to ensure frontline services could continue and expand as needed. Thanks to this funding, hospices in England provided around 7,500 beds for patients across inpatient and hospice at home services every single day, along with a further 65,000 community contacts each day.

We worked closely with devolved governments in Scotland, Wales and Northern Ireland to ensure that the consequential funding which was made available to the devolved administrations was used to support hospice and palliative care services in those nations. This totalled £24million in Scotland, £9.3 million in Wales and £13.6 million in Northern Ireland.

As well as securing this critical funding for the sector, we implemented and managed an entirely new national PPE distribution network for hospices in England. With 13 hospices acting as regional distribution hubs, we now co-ordinate the distribution of a million items of PPE each week to hospices, at no charge to them, equating to 50 million items during the year. We are also feeding into discussions to develop a more sustainable and robust system in the future. In addition, we successfully secured access to COVID-19 testing for hospice staff and priority access for hospice staff to the vaccination programme.

We know that without these efforts, the consequences for hospices and their patients could have been devastating. While significant challenges remain for the sector, and the pandemic is far from over, our work, in partnership with our members, ensured that hospice services made a huge contribution to the national COVID-19 response.

The following sections look at projects and activities relating to our four strategic priorities, both where they relate specifically to the COVID-19 response, and where ongoing work continued.

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Hospice UK Annual report and financial statements – 31 March 2021

Strategic priority 1: Extend our reach and enable hospice quality care to be delivered in any setting

Through a growing set of projects, networks and grants, we have continued to facilitate the sharing of knowledge, best practice and training to ensure that high quality end of life care can be delivered throughout the UK, whether in a hospice, care home or other setting. We strive for this work to be driven by the voices of those with lived experience, the experience of frontline practitioners, and the expertise of academic researchers. While some activities were inevitably disrupted by the pandemic, our established work in this area also proved vital in helping the hospice and end of life care community co-ordinate its response to the virus.

Project ECHO

Project ECHO (Extension for Community Healthcare Outcomes) is an ‘all teach, all learn’ methodology that brings palliative care professionals together via virtual peer-support networks, to share knowledge and expertise and determine best-practice solutions for challenging situations and live cases in real time.

ECHO, which Hospice UK has championed in the UK since 2017, has proven a crucial tool during the pandemic. Working with our ‘superhub’ partners in Sheffield and Inverness, we have enabled the sharing of specialist clinical, research and business information during an uncertain time in which the sector had to adapt rapidly with a limited evidence base, and move quickly to radically reconfigure care for patients and families.

Hundreds of attendees joined our two national networks – the Clinical and Business Continuity ECHO networks – in the early months of the pandemic. Through these safe online spaces, chief executives, trustees and other senior managers from across the UK are able to share and learn with their peers about their experiences of what works and what doesn’t, which proved particularly valuable in the rapidly changing environment of spring and summer 2020.

In Northern Ireland, our contract with the Health and Social Care Board has also adapted to meet the demands of COVID-19, supporting transformation in the delivery of healthcare in the nation. Our Project ECHO team in the Hospice UK Belfast office have facilitated 380 sessions with more than 12,000 participants to support projects including the rollout of the vaccination programme in community pharmacies.

Despite the pandemic, the demand for ECHO training from organisations keen to become ECHO hubs did not reduce. With modules revised to a virtual delivery format, we have enabled the training of more than 60 hubs across the four nations, including colleagues from within the NHS, universities and the hospice sector. A significant focus of the new hubs has been to support the care home sector.

The tried and tested ECHO methodology will continue to be a transformational tool for hospices and other organisations dealing with the ongoing issues of the pandemic, and the next challenge of building back better together.

Research and clinical innovation

ECHO methodology has also been the primary conduit for our research and clinical innovation work over the past year. Our aims are twofold: to enable hospices to use research findings to inform their

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clinical practice, and vice versa, to connect leading palliative care academics with the hospice sector to facilitate internationally influential research.

The Clinical ECHO network, with more than 680 registered members, has brought together researchers and clinicians in a mutual learning space, leading to clinically-driven research, the findings of which have in turn been disseminated back to the sector to improve frontline work. Within this network Hospice UK has worked with the Universities of Oxford, Cambridge, Manchester, Lancaster, Kings College London, Hull, Southampton and Bristol.

The research-active hospice and end of life care community we have nurtured has:

In addition, we have an established Research and Evidence Community of Practice that incorporates a separate ECHO group and a bi-monthly bulletin; more than 360 people are registered members. The group, supported by Professor Fliss Murtagh of the Wolfson Palliative Care Institute, aims to facilitate the use of research in practice.

We additionally enable research in the sector by supporting proposals for research submitted to funding bodies such as the National Institute for Health Research and continue to regularly join research project steering groups for projects in line with our strategic aims.

Clinical Communities of Practice

A Community of Practice is a facilitated network bringing together clinicians, managers and practitioners from across the hospice sector and beyond. After a brief pause at the outset of the pandemic, the six Hospice UK Communities of Practice were re-established in June 2020, in direct response to requests from clinicians who were ready to meet virtually to share their experiences, learning and supporting each other to build back better.

The Communities of Practice meet virtually using a webinar format, half-day event or using ECHO methodology on a monthly basis, working to support a participant-led curriculum. Membership of all six groups has increased in the last year across the four nations, with each network participating in their agreed programme of facilitated sessions that support and enhance their area of practice.

1 Rapid evaluation of the COVID-19 pandemic response in palliative and end of life care: national delivery, workforce and - - symptom management (CovPall) - https://www.kcl.ac.uk/cicelysaunders/research/evaluating/covpall study/covpall study

2 https://www.cebm.net/covid-19/how-can-patients-with-covid-19-and-their-family-or-unpaid-carers-be-enabled-andsupported-to-manage-palliative-care-treatment-safely-and-effectively-at-home/

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Annual report and financial statements – 31 March 2021

Feedback has shown the benefit that members feel that they have gained professionally, with a particular emphasis on the value of staying connected during the pandemic.

Our six Communities of Practice are:

Driving up end of life care standards in care homes

This year we joined forces with the Gold Standards Framework (GSF), providing a new home for the leading provider of quality improvement training and accreditation in end of life care for generalist frontline health and social care staff. Our partnership aims to enhance the provision of services in settings such as hospitals, general practice, care homes, domiciliary care, retirement villages and prisons. The training and subsequent accreditation is considered a kite mark of excellence, recognised by the Care Quality Commission.

The Wolfson Foundation agreed to repurpose some of the Wolfson Bursary funds to support GSF’s training and accreditation for care home staff in particular, with the GSF Care Homes Training programme the most widely used training programme for all care homes in the UK, supporting elderly residents as they near the end of their lives.

Listening to the voices of people affected by death, dying and bereavement

The voice of people with lived experience of end of life and palliative care is at the heart of our work to shape and improve care services, thanks to the People in Partnership forum. The forum includes people with personal experience, current and former carers, and professionals with experience of user involvement.

The forum played an important role supporting work undertaken by NHS England and NHS Improvement on the development and revision of guidance on visits during the pandemic, with the forum’s chair, Lesley Goodburn, presenting at the COVID-19 Clinical ECHO.

We have also reviewed and reconsidered the reach and representation on the group with a view to stepping up this work next year, in particular to do much more to listen to the voices of those who often aren’t heard.

The HOLISTIC project (Hospice Led Innovations Study to Improve Care)

Hospice UK continues to lead this important study, commissioned by NHS England in January 2017, examining the impact that hospice intervention can have on hospital stays. The ultimate aim of the research is to reduce the numbers of people who die in hospital when they have no clinical need or wish to be there. The pandemic has inevitably delayed progress on the project, but we hope to publish the findings later in 2021.

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Strategic priority 2: Tackle inequality and widen access to hospice care

The COVID-19 pandemic exposed more than ever before the significant health inequalities that exist in the UK and sadly, end of life care is no different. We know that many people are still not able to access the help and support they need in their final days, and that this inequality reflects wider inequality in society. Our role as Hospice UK is to help drive a structural, system-wide and cultural change, through funding innovative projects to promote equality of access and disseminating the learnings from them. We are also working at a system level to better map what is happening in end of life care and where we are falling short.

Grants programme with Masonic Charitable Foundation

With generous support from the Masonic Charitable Foundation, we have awarded 16 grants totalling £450,000 to run a series of projects across the England seeking to improve access for a range of groups. From a project to build trust among racialised communities in Yorkshire, to promoting knowledge of hospice care among the LGBTQ+ community in south London, to embedding a social prescribing approach for minority groups in Essex, these grants aim to both improve patient care within a locality, while also providing learnings for the whole sector.

Collating better data

Without clear, consistent and national data about what is happening in the end of life sector, promoting equality of access is impossible. This year we have continued our annual benchmarking survey of hospice accounts, published in November 2020, and our quarterly inpatient safety benchmarking exercise. Going beyond this, we have worked with our membership to define the further data it would be useful to collect nationally in order for the sector to widen access. As a result, our newly formed data w

orking group is now driving forward the collation of data on workforce, patient activity and patient acuity. We will report on this work in 2021.

Mapping practice on equity and inclusion

As part of our COVID-19 response work, Hospice UK sought examples from hospice providers across England of ways in which they are proactively reaching out within their communities to meet population need for palliative care – with a particular focus on equity and inclusion. More than 125 hospice leaders shared examples and evidence. The findings are informing a new programme of policy research projects looking in detail at a number of areas where end of life care must improve.

The first of those reports, to be published later in 2021, will examine the experiences of people in prison and detained settings. We are hopeful from early conversations that our recommendations for change will be heard, and that we can continue to work with the Ministry of Justice and other key stakeholders to look at the improvements that can be made.

Transitioning from children to adult services

In September 2019, a three-year project began to consider and address the need of young people with long-term conditions as they make the often difficult transition from children to adult services. We identified three sites that were trained to become ECHO Hubs to facilitate learning and participate in the project. The project was paused in 2020 due to COVID-19 and staff redeployed within participating project sites. With the agreement of our funder the three sites were able to

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recommence development in autumn 2020. Each is establishing an ECHO hub, setting a curriculum with their networks, and launching their first programmes in late spring 2021.

Strategic priority 3: Work with communities to build capacity and resilience to care for those at the end of life

Achieving our goals means working in partnership with communities, companies, employers, health and care staff and the wider public. Our projects under this strategic priority have grown in importance and strength through the pandemic. Partners of all types stepped up, recognising the role they could play in creating a society resilient enough to deal with the huge loss we faced. Whether through our Dying Matters campaign or our work with corporate partners, we aim to foster a culture in which dealing with death and dying is normalised and where those doing so are given all the physical and emotional support they need.

Driving public conversations

While social distancing measures impinged on the traditional range of in-person activities we have seen for Dying Matters Awareness Week, we were pleased that the event went ahead and, given its increased relevance and importance, many thousands of people took to digital media to get involved. There were more than 50 online events, with strong participation, and a surge in visits to our website during the week; more than 90,000 users. We reached more than a quarter of a million people through our Facebook page, compared to just 44,000 in 2019. Our information packs about death, dying and bereavement were downloaded from the Dying Matters site more than 10,000 times. Recognising the growing relevance of and demand for the campaign, we made the strategic decision to expand Dying Matters to year-round activity. The #IRemember digital campaign in late October, in only its second year, proved to be a significant moment for people to remember loved ones they had lost.

Supporting health and social care staff

In spring 2020 we were commissioned by NHSE and DHSC to establish a bereavement support and trauma helpline for any health staff experiencing distress in their personal life or through witnessing multiple deaths in their work as a result of the pandemic. To deliver the service, we partnered with North Yorkshire Hospice Care, expanding their existing local service, Just ‘B’, to a confidential, national telephone helpline. The line offers emotional wellbeing, bereavement and trauma support to NHS, care sector staff and emergency service workers, and is also available to their family members. The service includes a Tagalog language service for Filipino staff. More than 340 staff have used the service since May 2020.

In partnership with Shout, Samaritans, Mind and the Royal Foundation, we launched the Our Frontline campaign in spring 2020 in direct response to COVID. The campaign was set up to provide mental health and wellbeing support to frontline health, social care and emergency workers during the pandemic, signposting the available services – including Just ‘B’ – provided by each partner in a simple and easy way. The Duke and Duchess of Cambridge took time in early 2021 to promote the work of the campaign to health workers, driving significant media and social media coverage and an increased interest in the different services.

Providing information and advice

Our range of information resources for both healthcare professionals and the public remain popular. We are very grateful to a number of Trusts and Foundations whose generous support has enabled this work, including the CSIS Charity Fund and the PwC Foundation.

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Hospice UK Annual report and financial statements – 31 March 2021

Over the course of this year, we provided information to hundreds of thousands of people looking for help and advice on hospice and end of life care, and death and dying in general. More than 75,000 visits were made to our ‘About Hospice Care’ webpage, while in excess of 130,000 visits were made to our pages outlining what happens at the end of life (from UK users alone).

We have supported more than one thousand people with a personal or professional interest in hospice and palliative care via our information lines. People contacted us for advice on issues such as keeping in touch with loved ones, bereavement support, and coping with the fear of dying and loss. We heard from many people eager to support their local community through the pandemic by volunteering.

Working with corporate partners

We have once again received incredible support throughout the year from our corporate partners, who have all stepped up through the pandemic, seeing both the importance of supporting our work financially, and the benefit to their staff of instigating conversations about death, dying and grief.

In January 2020, we launched a two-year partnership with Deutsche Bank in the UK. In spite of the fact that the pandemic restricted activity in Deutsche Bank’s offices, we raised more than £1 million in the first year. Employees fundraised via payroll giving, plus online activities such as yoga, quizzes and online tours. The activity culminates in ‘One Day’, in September 2020, where employees showed enormous generosity by donating a day of their salary to Hospice UK. The Bank’s staff have been hugely engaged in our messages about bereavement and grief, which supports the company’s focus on mental health.

The National Garden Scheme remains one of our largest and most loyal supporters, donating £425,000 in a year like no other. Whether virtually or in-person, garden owners opened their outdoor spaces to provide much-needed support and comfort during the pandemic. To be able to offer hospice staff, patients and families the opportunity to enjoy a garden tour from the safety of indoors, at a time when visits were impossible, was of huge value.

Our partnership with the PwC Foundation raised over £140,000 in its first year. Colleagues across the country have supported Hospice UK through a range of fundraising, volunteering, and skill-sharing initiatives. PwC offices have supported their local hospices and joined in with our national awareness campaigns – we were delighted to see the PwC Embankment office lit up yellow in support of Hospice Care Week 2020.

The Co-operative Bank’s generous customers donated more than £50,000 through their Everyday Rewards accounts, with the Bank donating an additional £75,000 to support our COVID-19 response. The Bank also enabled hospices in Greater Manchester to purchase technology to keep patients connected with their loved ones during lockdown. We’re proud to be working with our retail partners New Look and Joules, who both found innovative ways to continue supporting hospice care through lockdown. New Look created a range of charity T-shirts and face coverings, while Joules enabled their customers to donate to Hospice UK online, as well as donating vital PPE and care packages for frontline staff.

Compassionate Employers

As well as our corporate fundraising partnerships, we offer Compassionate Employers, which is our workplace support programme. Compassionate Employers helps employers support their staff who are affected by terminal illness, caring and bereavement, recognising leading employers through the

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Hospice UK Annual report and financial statements – 31 March 2021

Compassionate Employers Award. Throughout COVID we adapted our resources and training workshops to deliver the programme virtually. Four corporate members are signed up, and we have seen increased demand for our support on how employers can best manage bereavement in the workplace.

Supporting people bereaved by COVID-19

Collectively hospices support 72,000 families and carers each year with bereavement support, and are the largest provider of such assistance in the UK. Since March 2020 the number of people dealing with bereavement caused by an unexpected loss has quadrupled, with almost a million people now coping with the devastating effects of losing a loved one during the pandemic.

In response to this unprecedented need, and coupled with restrictions imposed due to social distancing, Hospice UK launched a pilot project to ensure that hospice-led bereavement support services received the training they needed to make the rapid switch from in-person to virtual delivery.

Ten expert-led training webinars were delivered to participating hospices focusing on the use of virtual technology and remote counselling skills in dealing with trauma and complex grief, so that people affected by a COVID-19 loss were able to access the bereavement support they needed virtually or over the phone.

This project will complete in autumn 2021 with a published report and replication guide for further dissemination across the wider hospice and palliative care sector.

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Hospice UK Annual report and financial statements – 31 March 2021

Strategic priority 4: empower a strong, dynamic and responsive hospice sector

Empowering and supporting the hospice sector to respond to the pandemic was a significant focus of our work, as highlighted throughout this report. We are nonetheless pleased that a series of projects this year have continued to look forward to the future of the sector, working with hospices, government and the wider health and care system with the shared aim of building an end of life care system which will thrive for decades to come.

Building a sector fit for the future

Our Future Vision programme, launched in 2020, aims to build the capability, capacity and confidence of local end of life care providers to participate in system-wide strategic development and planning of end of life care in their area. The first phase of the programme, Discovery, was the start of a collective sector conversation about what a more sustainable future of palliative and end of life care might look like, examining the barriers and challenges that exist to getting there, and what support would be needed. A team from KPMG undertook over 370 conversations and 30 indepth interviews with leaders from across hospices and end of life care to look at the key issues of finance, integration, governance, contracting and commercial, operation and to begin to consider how they might be overcome. The final report, published in September 2020, details the findings from this research and details nine principles for sustainability that offer a framework that hospices, end of life care and commissioners now use to provoke system-wide strategic conversations and reimagine a new approach to end of life care delivery in their area.

The next phase, Progression, commenced early in 2021 is taking that conversation further forward by collating and sharing experience and expertise that will help all end of life care stakeholders – providers and commissioners – explore potential new solutions and initiatives, and build the relationships needed to drive transformation in end of life care for their communities.

Advocating on behalf of the sector across the four nations

Our advocacy work this year was heavily focused on the pandemic response, as noted. Despite the pandemic, 2021 was an election year in Scotland and Wales, and Hospice UK sought to raise the profile of hospice, palliative and end of life care among the parties contesting the elections. We published priorities which called for coordinated action to prioritise palliative care in the next administrations, action to meet growing population need for palliative and end of life care support, and steps to deliver more sustainability and stability in palliative care services. We reached out to all of the main parties contesting the elections, and also encouraged local hospice services to engage with candidates in their areas.

In Scotland, we undertook a major project to explore the future role of hospice care, in partnership with the Scottish Hospice Leaders Group. This involved a range of interviews and workshops with stakeholders from across health and social care, with a report due to be published later in 2021.

We continue to provide the secretariat to the All-Party Parliamentary Group for Hospice and End of Life Care, which held a session on the sector’s response to COVID-19. In Wales, we provide the secretariat to the Cross Party Group of Hospice and Palliative Care, which published a new report on the Welsh Government’s Compassionate Cymru programme.

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Annual report and financial statements – 31 March 2021

Supporting the workforce

Attracting, retaining and sustaining an empowered and professional workforce fit for the future has remained a key focus. This work includes increasing awareness of palliative care nursing careers and apprenticeship routes into nursing, as well as developing clinical leadership capacity across the sector. Of course, supporting staff through the pandemic as they made significant changes to service delivery models has also been a priority.

Our Strategic Leadership Programme with the Westcott Group has continued with a redesigned online format for the sixth cohort of 24 individuals. This award-winning programme, from which 120 hospice leaders have now benefitted, enhances a leader’s ability to lead complex change. We also worked with the Florence Nightingale Leadership Foundation to fund two hospice nurses to join the Nightingale Leadership Programme.

Our bi-monthly palliative and end of life care education network has continued, with a focus on meeting the changing demands of the pandemic and sharing good practice with a focus on communication skills, advance care planning and symptom management. Staff wellbeing and support remains a high priority and we were pleased to launch a partnership project with the Foundation of Nursing Studies to deliver a Resilience Based Clinical Supervision Programme to complement regional wellbeing plans across the sector and provide wider access to staff support. In addition, the Wolfson Bursaries, distributed by Hospice UK, are designed to support the professional development of those working in the sector. Nearly 200 bursaries were awarded this year, totalling £156,359.

Working with strategic and HR leads across the sector we examined the workforce challenges, sharing guidance, training, assessment standards and wider best practice.

At a macro level we have undertaken a snapshot workforce survey in March 2021 to understand the current baseline of clinical workforce across the sector. To support future planning, we will publish a report in autumn 2021.

Practical support for hospices and their teams

COVID-19 impacted considerably on the delivery of our support programmes particularly our programme of courses, conferences and learning events. As noted above, our focus shifted to critical support for hospices through government funding, testing and PPE, as well as delivering ECHO and other knowledge and skills sharing networks.

However, in addition we rapidly reviewed our other programmes of support to bolster hospices’ ability to navigate the challenges of responding to COVID-19 on the frontline:

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Annual report and financial statements – 31 March 2021

Celebrating the sector through Hospice Care Week 2020

In October 2020, we planned and delivered a very different Hospice Care Week, in the midst of the pandemic. Using the same successful theme from 2019, ‘This is What It Takes’, it was encouraging to see very strong participation despite the challenges of social distancing. More than nine in ten member hospices took part, and we saw a growth in both media coverage and web traffic, the latter up by a quarter. Corporate partners particularly got behind the week getting their staff involved to support the week in a range of different activities.

Improving the care environment

We ran two grants programmes focused on improving the physical environment in which care is delivered. A programme of ten grants totalling £112,143 supported by the Rank Foundation focused on enhancing the wellbeing of patients and families in adult hospices, with grants available for projects improving the physical environment. A further capital grants programme for eight projects designed to improve the physical environment of hospices delivering care to patients with dementia or a mental health condition was delivered, with support totalling £200,000 from a Trust that wishes to remain anonymous.

Financial review

Overall Financial Performance

Our net movement on funds, before investment gains, was a surplus of £791,000 (2019/20: deficit £74,000).

The key indicator by which the trustees measure our financial performance is the surplus or deficit on unrestricted general funds, before any investment gains / losses. We recorded a surplus on unrestricted general funds of £1.1M (2019/20: £180,000 deficit) before investment g. The trustees were satisfied with the financial performance.

Our total income for 2020/21 was £264.4M compared to £6.4M in the previous year. The dramatic increase income was due to £257M of exceptional income to ensure hospices could provide vital support to the NHSE during the COVID-19 epidemic.

Total expenditure also rose from £6.5 million in the previous year to £263.5M for similar reasons. We spent over 99% of our expenditure on charitable activities, and less than 1% on fundraising.

Our trading subsidiary Help the Hospices Trading made a profit of £61k (2019-20: £133k), which was donated to the charity under Deed of Covenant. As well as advertising income, the trading subsidiary runs education and training events, and carries out some fundraising activities, all under the control of and for the benefit of the charity. The performance in the year was significantly impacted by the COVID-19 epidemic.

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Hospice UK Annual report and financial statements – 31 March 2021

During the nine months to March 2021, the Gold Standards Framework CIC, which is controlled by Hospice UK since July 2020, made a loss of £47k (loss in previous 15 months: £206k). Hospice UK is implementing a long term plan to return the Gold Standards Framework to profitability.

Investment policy and performance

Our investment performance and holdings are regularly reviewed by the Finance Committee against a benchmark of similar investments. Our investments are held in line with our investment policy, which lays out guidelines for risk and asset mix, as well as ensuring there are appropriate ethical policies in place. Each of our investments performed in line with, or better than, its benchmark, and therefore overall the trustees were satisfied with this performance.

In the financial year under review, our investments increased in value by £406 ,000 (2019/20: £225,000 decrease). We also generated income of £107,000 (2019/20: £114,000) from our investments and cash holdings.

Principal Funding Sources and Fundraising Strategy

The vast majority of the charity’s income comes from fundraising income. More than half of this income is non-recurring, and therefore significant new fundraising income needs to be generated each year. The biggest sources of fundraising income are income from corporate partnerships and charitable trusts. Legacies, payroll giving and fundraising events are also significant sources. Our fundraising strategy focussed on maximising donations from existing income sources, while developing new income streams. To that end, we hope to grow our donations from corporate partners, commercial sponsors, major donors and individuals in future years.

Reserves policy

The trustees have reviewed the reliability of income streams, our commitment to future expenditure and the risks we face as a charity. We are dependent on some volatile forms of fundraising income and much of our income is only committed for one year. However, we do have some forms of more reliable income, and our income streams are becoming more diverse as we seek to reduce our risk.

Based on an analysis of our commitments, and the risks associated with various income streams, the trustees have determined that we should aim to hold free reserves (defined as unrestricted general funds) of at least £3.9M This is to ensure that we can meet our commitments to member hospices, our staff and other stakeholders, should our annual income not meet our expectations. Should our free reserves significantly exceed the levels set out in this policy, we will review our activities appropriately, and authorise additional expenditure on specific projects.

At 31 March 2020, the charity had total funds of £6.4M. Of these, £3.9M represent free reserves and therefore we are holding funds in line with our reserves policy.

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Hospice UK Annual report and financial statements – 31 March 2021

Impact of COVID-19 on our Activities and Finances

In common with all organisations in the UK, we expect our activities and finances in 2021-22 to continue to be significantly impacted by the COVID-19 epidemic.

Our reserves policy has been reviewed in light of the risks associated with the epidemic, and we are believe we are holding sufficient funds to ensure that our activities will not be impacted by any potential funding shortfalls in the short term.

Grant making policy

Hospice UK aims to make a real, practical difference in everything we do. Our grant programmes demonstrate this commitment with a range of grants to hospices, including supporting their staff.

Our grant programmes are funded by the generous donations received from external sources, including trusts and foundations. We are grateful for their support. The criteria for each programme are agreed by the Hospice UK Governance Committee and each respective funder, taking into account any restrictions that funders wish to be included.

Applications for funding for individuals, e.g. through the Professional Development Grants programme, are considered and approved by the Head of Grants.

Applications for funding from major grant programmes are considered by the Major Grants Committee, which makes recommendations for approval as follows:

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Annual report and financial statements – 31 March 2021

Risk assessment

The Trustees, together with the Senior Management Team, regularly identify and monitor risks to which Hospice UK is exposed and ensure that appropriate systems and controls are in place to manage significant risks.

Risks are monitored in five key areas:

Financial risk

The principal risk is that in an increasingly competitive environment, we are not able to raise sufficient funds to carry out our required activities. A fundraising plan is in place and progress is reviewed against this quarterly, and our reserves policy a set out on page 18 mitigates this risk.

Governance issues

The main risks are around ensuring that we have the relevant skills and experience on our Board and various committees, and that conflicts of interest are managed. This is addressed by an election process for the Board and Advisory Council, co-opted places on the Board to address any skills gaps, and by the declaration of conflicts of interests at all meetings.

Operational issues

Risks in this area include loss of key staff and loss of IT infrastructure, and a business continuity plan is in place to address these.

Compliance with laws and regulations

Risks relate to Charity Commission regulations and employment legislation amongst others and the implementation of GDPR (EU General Data Protection Regulation), and are addressed by having policies in place to cover major areas, a clear schedule of delegated authority and by regular updates from our professional advisors.

External risks

The most significant risks relate to not achieving our strategic priorities and events that might have a detrimental impact on our reputation with hospices or the public. These are managed by regular review of activity against our business plan and regular consultation with our members.

As part of this work, we maintain a risk register, which is reviewed and discussed regularly by the full Board of Trustees, and actions are taken to mitigate risk where appropriate.

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Hospice UK Annual report and financial statements – 31 March 2021

Compliance with Fundraising Standards

Staff employed by Hospice UK carry out the majority of our fundraising activities. For some activities, we work with other organisations or individuals to assist with our fundraising. For example, we work with payroll giving agencies to sign up supporters to our payroll giving schemes and specialist organisations to organise charity challenge events. All arrangements are governed by written agreements that cover the responsibilities of both parties, and ensure that anyone working on our behalf adheres to our strict ethical standards.

Hospice UK is registered with the Fundraising Regulator, and complies with the Code of Fundraising Practice and the Fundraising Promise. No instances of non-compliance with any relevant regulations or guidelines have been identified, and nor have we received any complaints about our fundraising activities.

Much of our income is generated from companies or trusts. When seeking to raise money from the public, we only send marketing material to those who have previously said they are happy to be contacted by us (and individuals are free to change their minds at any time). We take great care to ensure that our level of communication with our supporters is proportional and appropriate. In the past year we have not engaged in telephone marketing or in raising money from door to door or street collections

Plans for Future Periods

We have identified six key priorities for 2020-21

  1. Support hospices & the end of life care sector to respond to and recover from the COVID-19 epidemic

  2. Transform Hospice and End of Life Care (through collaboration, integration and resources)

  3. Tackle inequality related to death, dying and bereavement

  4. Improve mental wellbeing related to death, dying and bereavement

  5. Ensure Hospice UK has the resources it needs to thrive

  6. Advocate for the best possible EOLC across the UK

This concludes the strategic report.

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Hospice UK Annual report and financial statements – 31 March 2021

Structure, governance and management

Objectives

The objectives of the charity are:

Governance documents and constitution

Hospice UK is a charitable company limited by guarantee constituted on 29 September 1992 and governed by articles and memorandum of association. The trustees are also directors of the charity for the purposes of the Companies Act. No specific restrictions are imposed by the governing documents.

The charity has a wholly owned trading subsidiary, Help the Hospices (Trading) Ltd, (company number 2000660), which is used as a vehicle for fundraising and controls the Gold Standards Framework (a community interest company, number 07231949).

The Board of Trustees

The charity has a membership for organisations whose primary purpose is to provide and / or support hospice care. Each member can nominate individuals to stand for election as trustees of the charity. Nominations are based on the skills, experience and competencies needed to ensure a representative balance of professional expertise on the Board of Trustees, and voted on by all members.

Hospice UK trustees are detailed on page 22. Two thirds of trustees are elected for a four-year term and can then be re-elected for a further four years. Trustees can co-opt any duly qualified person to serve as a trustee, providing the number of co-opted trustees does not exceed one-third of the total number of trustees. The full Board met eight times during the year.

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Hospice UK Annual report and financial statements – 31 March 2021

New trustees receive a wide-ranging induction information pack and complete conflict of interest and eligibility statements on joining the charity. Trustees are welcomed with at least one familiarisation day visit to Hospice House, to meet with staff and other trustees. Further induction information is supplied as new trustees join Board committees and become involved in the charity’s activities.

A number of trustees serve on Board committees or advisory panels, and the Chair of the Board is an ex-officio member of each. The Board monitors and controls the programme of the charity through at least four Board meetings each year and through a number of Board committees.

 Governance Committee

Responsibilities are to oversee the governance of the organisation including Board composition, associated trustee appointments, election processes, and reviewing Board performance and succession planning. The committee is responsible for overseeing all grant programmes including setting the eligibility criteria for each grant programme, the basis for making awards, and ensuring compliance with these criteria. The committee met two times during the year.

 People Committee

Sets the broad framework for remuneration packages of the leadership team, oversees the HR strategy of the organisation and approves key HR policies. The committee is also responsible for making sure our remunerations policy is appropriate and ensures that we have a consistent, objective and clear process across the charity for how we set individual salaries. The aim is to ensure that the salaries are realistic, sustainable but competitive against the external market and correctly aligned when the role is broken down and evaluated against others in the charity; to help ensure this a service provided by Croner Consulting, which compares salaries with comparative roles in the charity sector, is used. The People Committee approve the Senior Management Team salaries, and salaries of other staff proposed by the Chief Executive Officer. The committee met two times during the year.

 Finance Committee

Responsibilities include advising and monitoring budgets, financial controls and financial reporting, overseeing audit matters and ensuring adequate risk management and compliance. The committee met three times in the year, and the key activity during the year was the setting of the charity’s budget and regular monitoring of performance against it.

Day-to-day management of the charity is delegated to the Chief Executive Officer and then across the organisation through a regularly reviewed schedule of delegation.

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Annual report and financial statements – 31 March 2021

Membership

The membership structure of Hospice UK came into being in April 2007. At 31st March 2021, there were 210 members (31 March 2020: 208)

Members of Hospice UK engage to shape our future programmes and priorities by:

In the event of winding-up, each member is liable to pay a maximum of £1.

The Advisory Council and the Forum of Chairmen

The Advisory Council plays a key role in Hospice UK and is the forum through which members formally communicate with Hospice UK. Member hospices, via elected representatives, advise our Board and Senior Management Team on key issues and priorities relating to hospice philosophy, policy, practice and professional development. Hospice UK communicates the work of the charity back to the members and seeks views.

The Forum of Hospice Chairmen, formerly the Forum of Chairmen of Independent Hospices, is a national network that promotes the role of hospice chairs and trustees and feeds back to Hospice UK issues relating to the governance of hospices in order to help shape our governance support programmes.

The Chairs of the Advisory Council (Tony Collins) and the Forum of Chairmen (Kate Tompkins) each hold a place on the Board of Hospice UK.

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Hospice UK Annual report and financial statements – 31 March 2021

Reference and administrative information

Trustees

Paul Jennings[#] Chloe Chik[#,3]

Tony Collins[ 1] Emma Reynolds[#,] Kate Tompkins[,1 ] John Stephen[#,3]

Tina Swani[ ] Stephen Roberts[1 ] Dr Mike Miller[1,2] Sonia Rees[2,3] Michelle Rollinson[2] Martin Warhurst[1] David Smith[3] John Knight[3]

Chair Appointed November 2020 Appointed September 2021 Deputy Chair Reappointed May2019 Reappointed July 2020 Appointed in February 2017 Appointed July 2016, Resigned July

2020 Retired March 2020 Appointed July 2018 Appointed May 2018 Appointed July 2018, Resigned January 2021 Appointed May 2019 Resigned July 2020 Appointed November 2019 Appointed November 2019

Membership of Board committees as of 31 March 2020

Founder

Anne, Duchess of Norfolk CBE

Vice-Presidents

Baroness Finlay of Llandaff

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Hospice UK

Annual report and financial statements – 31 March 2021

Martyn Lewis CBE Prof. David Clark Lord Howard of Lympne Robert Peston

Senior Management Team (as at date of approval)

Tracey Bleakley Chief Executive Craig Duncan Chief Operating Officer Jonathan Ellis Director of Advocacy and Change Catherine Bosworth Director of Income Generation Rowena Lovell Director of Strategy & Governance Sarah West Director of Campaigns and Communications

Registered office

34-44 Britannia Street London WC1X 9JG

Charity and company registration

Registered charity in England and Wales: 1014851 Registered charity in Scotland: SC041112 Company limited by guarantee: 2751549

Solicitor

Auditors

Bates, Wells and Braithwaite 2-6 Cannon Street London EC4M 6YH

Price Bailey LLP 1 Dane Street Bishop’s Stortford Hertfordshire, CM23 3BT

Bank

Coutts and Co. 440 Strand London WC2 0QS

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Hospice UK Annual report and financial statements – 31 March 2021

Statement of trustees’ responsibilities

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

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and group for that period. In preparing these financial statements, the directors are required to:

The trustees are responsible for ensuring proper accounting records are kept that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as

amended). They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as trustees are aware:

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Hospice UK Annual report and financial statements – 31 March 2021

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

Auditors

Price Bailey LLP have expressed their willingness to continue as the charitable company’s auditors, and a resolution to this effect will be proposed at the AGM.

Approved by the Trustees on 17 September 2021 and signed on their behalf by

Paul Jennings

Chair of Trustees

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Hospice UK Annual report and financial statements – 31 March 2021

Independent Auditor’s Report to the Members of Hospice UK

Opinion

We have audited the financial statements of Hospice UK (the ‘parent charitable company’) and its subsidiaries (the ‘group’) for the year ended 31 March 2021 which comprise of the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheet, the Group Cash Flow Statement and notes to the financial statements, 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:

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 and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the group 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 or parent charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the trustees’ 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.

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Hospice UK Annual report and financial statements – 31 March 2021

Other information continued

In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and the directors’ report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, 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 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

28

Hospice UK Annual report and financial statements – 31 March 2021

liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

We have been appointed as auditor under the Companies Act 2006 and report in accordance with regulations made under those Acts.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We gained an understanding of the legal and regulatory framework applicable to the Charitable Group and the sector in which it operates and considered the risk of the Charitable Group not complying with the applicable laws and regulations including fraud in particular those that could have a material impact on the financial statements. This included those regulations directly related to the financial statements, including financial reporting, and tax legislation. In relation to the operations of the Charitable Group this included compliance with the Charities Act and SORP 2019, GDPR, employment law, safeguarding and health & safety.

The risks were discussed with the audit team and we remained alert to any indications of noncompliance throughout the audit. We carried out specific procedures to address the risks identified. These included the following:

Reviewing minutes of Board meetings, reviewing any correspondence with the Charity Commission, agreeing the financial statement disclosures to underlying supporting documentation, enquiries of management and officers of the Charitable Group and a review of the risk management processes and procedures in place including a review of the risk register maintained by the charitable group. We have also reviewed the procedures in place for the reporting of any incidents to the Trustee Board including serious incident reporting of these matters as necessary with the Charity Commission.

Management override: To address the risk of management override of controls, we carried out testing of journal entries and other adjustments for appropriateness. We reviewed systems and procedures to identify potential areas of management override risk and evaluated the business rationale of significant transactions to identify large or unusual transactions. We reviewed key authorisation procedures and decision making processes for any unusual or one-off transactions.

We also assessed management bias in relation to the accounting policies adopted and in determining significant accounting estimates, including treatment of legacies and grant income, and the valuation of investments.

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Hospice UK Annual report and financial statements – 31 March 2021

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

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company’s trustees, as a body, in accordance the act. Our audit work has been undertaken so that we might state to the charitable company’s members and its trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members as a body and the charitable company’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Helena Wilkinson BSc FCA DChA (Senior Statutory Auditor)

For and on behalf of Price Bailey LLP Chartered Accountants Statutory Auditors 3rd Floor, 24 Old Bond St, Mayfair, London W1S 4AP

Date: 7 October 2021

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Hospice UK

Annual report and financial statements – 31 March 2021

Consolidated statement of financial activities

(Incorporating an income and expenditure account) For the year ended 31 March 2021

General
Designated
Note
£'000
£'000
Income
Donations and legacies:
2
Funds raised for Hospice UK
3,573
0
Government grants to support COVID response
0
0
Funds raised for independent hospices
0
0
Income from other trading activities
43
0
The Coronavirus Job Retention Scheme Income
172
0
Investment income
107
0
Income from charitable activities:
Supporting those providing end of life care
629
0
Total income
4,524
0
Expenditure
Expenditure on charitable activities:
3
Extend our Reach
778
13
Tackle Inequality
244
8
Work with Communities
963
8
Empower a Strong Hospice Sector
259
10
COVID-19 response in England
61
8
Costs of raising funds
3
1,088
16
0
Total expenditure
3,393
63
1,131
(63)
Realised gains on investments
0
0
Unrealised gains/(losses)
10
406
0
Net income for the year
5
1,537
(63)
Net movement in funds
1,537
(63)
Reconciliation of funds
Unrestricted Funds
Net income/(expenditure) before
gains/(losses) on investments		 Unrestricted Funds Unrestricted Funds Restricted
Funds
£'000
1,552
257,808
165
306
0
0
0		 2021
2020
Total
Total
£'000
£'000
5,125
4,992
257,808
0
165
259
349
94
172
0
107
114
629
917
Designated
£'000
0
0
0
0
0
0
0
4,524
778
244
963
259
61
1,088		 0
13
8
8
10
8
16
0		 259,831
409
586
38
973
258,102
0		 264,355
6,376
1,200
1,112
838
1,584
1,009
668
1,242
1,845
258,171
0
1,104
1,241
3,393 63 260,108 263,564
6,450
1,131
0
406		 (63)
0
0		 (277)
0
0		 791
(74)
0
406
(225)
1,537 (63) (277) 1,197
(299)
1,537 (63) (277) 1,197
(299)
Total funds brought forward
1		 2,350 2,817 1,200 6,367
6,666
Total funds carried forward
16		 3,887 2,754 923 7,564
6,367

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed above and in note 16 to the financial statements.

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Hospice UK

Annual report and financial statements – 31 March 2021

Balance sheet

As at 31 March 2021

The group The charity
2021 2020 2021 2020
Note £'000 £'000 £'000 £'000
Fixed assets
Tangible fixed assets 9 1,119 1,176 1,118 1,176
Investments 10 3,523 2,798 3,175 2,798
4,642 3,974 4,293 3,974
Current assets
Debtors 14 41,176 949 41,087 1,285
Cash at bank and in hand 6,014 4,620 5,874 4,206
47,190 5,569 46,961 5,491
Creditors
Amounts due within one year 15 44,268 3,176 43,829 3,114
Net current assets 2,922 2,393 3,132 2,377
Total net assets 13 7,564 6,367 7,425 6,351
Funds 16
Restricted funds 923 1,200 923 1,200
Unrestricted funds
General funds 3,887 2,350 3,749 2,335
Designated funds
Building Repairs Fund 185 191 185 191
Web & Digital 300 300 300 300
Fixed assets 1,119 1,176 1,118 1,176
2017-2022 Strategy 1,150 1,150 1,150 1,150
Total funds 7,564 6,367 7,425 6,351

The notes on pages 35 to 57 form part of these financial statements.

Approved by the trustees 17 September 2021 and signed on their behalf by

Paul Jennings CHAIR OF TRUSTEES

Company number 2751549

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Hospice UK

Annual report and financial statements – 31 March 2021

Consolidated statement of cashflows For the year ended 31 March 2021

Consolidated statement of cashflows
For theyear ended 31 March 2021
2021 2020
£'000 £'000
Cashflows from operating activities:
Net cash generated by operating activities 1,394 75
Cashflows from investing activities:
Payments to acquire tangible fixed assets (76)
Payments to acquire investments 0 0
Receipts on the disposal of investments 0 0
0 (76)
Change in cash and cash equivalents in the reporting period 1,394 (1)
Reconciliation of net movement in funds to net cash flow from operating activities
2021 2020
£'000 £'000
Net movement in funds for the year 1,197 (301)
Non-operating cashflows eliminated
Depreciation 59 45
(Gains)/losses on investments (406) 225
Increase in debtors (40,227) 517
Increase in creditors 41,092 (411)
Transfer of assets from GSF (321) 0
Loss on Disposal of Fixed Assets 0 0
Net cash generated by operating activities 1,394 75
Analysis of cash and cash equivalents
2021 2020
£'000 £'000
Cash in hand at the beginning of the year 4,620 4,621
Increase in cash in hand 1,394 (1)
Cash in hand at the end of the year 6,014 4,620
Analysis of changes in net debt
Cash and cash equivalents 01.04.2020 4,620 4,621
Cash flows 1,394 (1)
Other non cash changes
Cash and Cash equivalents 31.03.2021 6,014 4,620

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Hospice UK

Annual report and financial statements – 31 March 2021

Notes to the financial statements

1. Accounting policies

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the Financial Statements are shown below.

a. Basis of Preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice for charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy.

The financial statements are presented in sterling which is the functional currency of the charity and rounded to the nearest £1000.

b. Legal status of the charity

Hopsice UK is a charitable company limited by guarantee incorporated in England, Wales and Scotland and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per member of the charity. The address of the registered office is 34-44 Britannia Street, London, WC1X 9JG. The principal activity of the charity is to support those providing end of life care.

c. Going concern

At the balance sheet date the Trustees consider that there are no material uncertainties about the charitable company’s ability to continue as a going concern. Future cash flows forecasts and budgets indicate that the charity can continue to operate into 2022.

With regard to the following year, the most significant area of uncertainty is the level of donations which need to be raised each year. This is covered in more detail in the performance and risk sections of the trustees’ annual report. The trustees however believe the charitable company remains a going concern due to the ability of the organisation to settle liabilities as they fall due for a period of at least 12 months from the date of this report.

d. Group financial statements

These financial statements consolidate the results of the charitable company, Hospice UK and its wholly-owned subsidiaries, Help the Hospices (Trading) Limited and The Gold Standards Framework Centre CIC on a line by line basis. A separate Statement of Financial Activities and Income and Expenditure Account for the charitable company has not been presented because the charitable company has taken advantage of the exemption afforded by section 408 of the Companies Act

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Annual report and financial statements – 31 March 2021

1. Accounting policies (continued)

e. Income

Income is included in the Statement of Financial Activities (SoFA) when:

Where income has related expenditure (as with fundraising or contract income) the income and related expenditure are reported gross in the SoFA.

During the period all income arose from within the UK.

Grants and donations

Donations, grants and gifts are recognised when receivable.

In the event that a donation is subject to conditions before the charity is entitled to the funds, the income is deferred and not recognised until it is probable that those conditions will be fulfilled in the reporting period.

Sponsorship from events and events registration fees are recognised when the event takes place.

Revenue grants are recognised when received or receivable whichever is earlier.

Where unconditional entitlement to grants receivable is dependent upon fulfilment of conditions within the charity's control, the income is recognised when there is sufficient evidence that conditions will be met. Where there is uncertainty as to whether the charity can meet such conditions the grant income is deferred.

Legacy income

Pecuniary legacies are recognised on notification. For residuary legacies, entitlement is taken on a case by case basis as the earlier of the date when the charity is aware that probate has been granted, and either:

Receipt of a legacy is only considered probable when the amount can be measured reliably.

Investment income

Investment income represents interest receivable from UK bank deposits and investments. This is included in the accounts when receivable.

Investment gains and losses includes any gain or loss resulting from change in market value at the end of the year and any gain or loss on the sale of investments.

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Annual report and financial statements – 31 March 2021

1. Accounting policies (continued)

f. Expenditure

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis under the following headings:

Costs of raising funds

Costs of raising funds comprises fundraising costs incurred in seeking donations, grants and legacies; costs of fundraising activities including commercial trading; and their associated support costs. Fundraising costs do not include the costs of disseminating information in support of the charitable activities.

Expenditure on charitable activities

Expenditure on charitable activities is analysed by the charity's key charitable objectives as identified in the charity's current strategy.

Expenditure on charitable activities comprises the costs of activities undertaken to further the purposes of the charity and their associated support costs.

Support and governance costs

Support costs comprise those costs which are incurred directly in support of expenditure on the objectives of the charity and include governance cost, finance, and office costs.

Support costs include irrecoverable VAT.

Support costs are allocated to each of the activities on the basis of estimated average headcount deployed supporting each objective in the year.

g. Grants

Grants payable are recognised on approval of the grant by the Grants Committee and notification to its recipient.

h. Taxation

Hospice UK meets the definition of a charitable company for UK corporation tax purposes.

Accordingly, the company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively for charitable purposes.

36

Hospice UK

Annual report and financial statements – 31 March 2021

1. Accounting policies (continued)

i. Pension

Hospice UK contributes towards defined contribution pension plans for employees. Pension costs are recognised when they fall due.

The costs of the defined contribution scheme are included with the associated staff costs and allocated to raising funds, charitable activities, support and governance costs and charged to the unrestricted funds of the charity.

The charity has no liability beyond making its contributions and paying across the deductions for employees' contributions.

j. Fixed Assets

All assets costing more than £1,500 are capitalised at their historical cost when purchased. Assets are reviewed for impairment if circumstances indicate their value in the accounts may exceed their net realisable value and value in use.

Depreciation is incurred at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The annual depreciation rates in use are as follows:

Freehold land nil % Building and improvements 2% of cost Furniture and office equipment 25% of net book value IT equipment and software 33% of cost

k. Investments

Investments are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price, except for the shares in the trading subsidiary which are carried at cost.

The SOFA includes the net gains and losses arising on revaluation and disposals throughout the year.

l. Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Accrued income and tax recoverable is included at the best estimate of the amounts receivable at the balance sheet date.

m. Cash at bank and in hand

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

37

Hospice UK

Annual report and financial statements – 31 March 2021

1. Accounting policies (continued)

n. Creditors

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

o. Fund accounting

Restricted funds are to be used for specified purposes as laid down by the donor. Expenditure which meets these criteria is identified to the fund, together with an agreed allocation of management and support costs.

Unrestricted funds are donations and other incoming resources received or generated to further any of the charitable purposes of Hospice UK.

Designated funds are unrestricted funds which the trustees have decided at their discretion to set aside to use for a specific purpose.

The aim and use of each material designated and restricted fund is set out in the notes to the financial statements.

p. Operating Leases

Operating leases are recognised over the period of which the lease falls due.

q. Judgements and key sources of uncertainty

No judgements (apart from those involving estimates) have been made in the process of applying the above accounting policies.

The key assumptions concerning the future and key sources of estimation uncertainty at the key reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year include:

r. Foreign currencies

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date.

Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.

Exchange gains and losses are recognised in the SoFA.

38

Hospice UK Annual report and financial statements – 31 March 2021

1. Accounting policies (continued)

s. Financial instruments

The charity only has financial assets and liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their fair value as at the balance sheet date. All financial instruments of the charity are measured at cost with the exception of investments in the charity’s portfolio, which are measured at fair value as at the balance sheet date using the closing market value with all realised and unrealised gains included in the statement of financial activities. The value of investments as well as their original cost is stated in note 10. Financial assets include investments in the portfolio, the bank balances, trade debtors, accrued income and other debtors but exclude prepayments and taxation. Financial liabilities include trade creditors, other creditors, accruals and deferred income but exclude social security and other taxes due.

39

Hospice UK

Annual report and financial statements – 31 March 2021

2. Donations and Legacies - Group

Corporate donations
Trusts and other charities
Payroll giving
Challenge events
Campaigns and special events
National Garden Scheme
Legacies
Individual donors
Government and statutory income
COVID-19 response in England
Other voluntary income
Total Donations and Legacies
Donation and legacy income can be analysed as follows:
Income for Hospice UK
Government grants to support COVID response
Income for hospices		 2021
2020
Unrestricted Restricted
Total Unrestricted Restricted
Total
£'000
£'000
£'000
£'000
£'000
£'000
1,576
6
1,582
279
67
346
278
1,064
1,342
155
1,598
1,753
311
165
476
303
192
495
105
0
105
705
0
705
21
0
21
85
0
85
425
0
425
450
50
500
771
0
771
810
0
810
82
0
82
69
0
69
0
482
482
0
484
484
0
257,808 257,808
0
0
0
4
0
4
4
0
4
3,573
259,525 263,098
2,860
2,391
5,251
3,573
1,552
5,125
2,860
2,132
4,992
0
257,808 257,808
0
0
0
0
165
165
0
259
259
3,573
259,525 263,098
2,860
2,391
5,251

40

Hospice UK

Annual report and financial statements – 31 March 2021

3. Analysis of expenditure -
a) 2021
Staff costs (Note 7)
Grants payable (Note 4)
Local hospices donations
Other expenditure
Support and governance
Total expenditure 2021
b) 2020
Staff costs (Note 7)
Grants payable (Note 3)
Local hospices donations
Other expenditure
Support and governance
Total expenditure 2020		 Group Direct Costs: Cha ritable activities £'000
745
0
0
63
Cost of Raising
Funds		 2021
£'000
£'000
864
3,846
0
258,186
0
165
201
1,367
Support and
governance
£'000
825
25
0
132
Reach
£'000
332
384
0
(6)
Inequality		 £'000
334
150
0
397
Communities		 £'000
471
363
165
76
Strong Hospice
Sector		 £'000
275
257,264
0
504
COVID-19 response in England
982
218		 710
128		 881
128		 1,075
167		 258,043
128		 808
296		 1,065
263,564
(1,065)
0
1,200 838 1,009 1,242 258,171 1,104 0
263,564
Direct Costs: C haritable activities £'000
0
0
0
0
COVID-19 response in England		 £'000
589
0
0
306
Cost of Raising
Funds		 2020
£'000
£'000
654
3,240
0
1,130
0
259
732
1,821
Support and
governance
£'000
662
44
0
214
Reach		 306
942
0
144
Inequality		 £'000
311
0
0
165
Communities		 £'000
718
144
259
261
Strong Hospice
Sector
920
192		 1,392
192		 476
192		 1,382
463		 0
0		 895
346		 1,386
6,450
(1,386)
0
1,112 1,584 668 1,845 0 1,241 0
6,450

41

Hospice UK

Annual report and financial statements – 31 March 2021

3. Analysis of expenditure - Group (continued)

Support costs are not attributable to a single activity and have been apportioned on the basis of the number of people employed within an activity.

c. Analysis of support costs - 2021
Finance
Facilities
Governance
Human Resources
Communications
Strategy & Legal
Irrecoverable VAT
IT & Business Systems
Hospice Accounts
d. Analysis of support costs - 2020
Finance
Facilities
Governance
Human Resources
Communications
Strategy & Legal
Irrecoverable VAT
IT & Business Systems
Hospice Accounts		 Charitable activities Charitable activities £'000
51
65
19
52
1
2
11
94
0
Cost of
Raising
Funds		 2021
£'000
183
234
68
188
3
8
40
340
0
£'000
37
48
14
38
1
2
8
70
0
Reach		 £'000
22
28
8
23
0
1
5
41
0
Inequality		 £'000
22
28
8
23
0
1
5
41
0
Communities		 £'000
29
37
11
29
1
1
6
53
0
Strong Hospice
Sector		 £'000
22
28
8
23
0
1
5
41
0
COVID-19
response in
England
218 128 128 167 128 295 1,064
£'000
85
83
22
55
3
2
13
83
0
Cost of
Raising
Funds		 2020
£'000
340
335
87
221
9
8
52
332
1
£'000
47
47
12
31
1
1
7
46
0
Reach		 £'000
47
47
12
31
1
1
7
46
0
Inequality		 £'000
47
47
12
31
1
1
7
46
0
Communities		 £'000
114
111
29
73
3
3
18
111
1
Strong Hospice
Sector		 £'000
COVID-19
response in
England
192 192 192 463 0 346 1,385

42

Hospice UK

Annual report and financial statements – 31 March 2021

4. Grants payable - Group

. Grants payable - Group
Grants given comprise of: 2021
2020
£'000
£'000
Grants to support COVID-19 response in England
Grants to support COVID-19 response in England PPE
Grants for capital projects to enhance wellbeing		 257,098
-
165
-
312
-
Professional development grants
Grants to develop bereavement services in hospices
Other grant programmes
Grants to support conditions other than cancer
Grants to support regional capital projects
Grants to family carers
Provision for grants which may not be claimed
Note 3		 207
172
450
448
228
43
27
44
483
258,460
1,217
(274)
(87)
258,186
1,130

A full list of grants awarded in the year is available from our website at www.hospiceuk.org/grantsawarded.

All 1432 (2020: 311) grants were made to organisations.

5. Net income for the year - Group

This is stated after charging / crediting:
Depreciation
Trustees' indemnity insurance
Auditors' remuneration:
Audit - Hospice UK
Audit - Help the Hospices (Trading) Ltd.
Audit - The Gold Standards Framework Centre CIS
Other services
Operating leases
Note 18		 2021
2020
£'000
£'000
(59)
(45)
1
1
15
14
4
4
6
0
2
1
40
46

6. Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes. The charity's trading subsidiary Help the Hospices (Trading) Limited pays all its available profits to the charity under a deed of covenant. Its charge to corporation tax in the year was nil (2020: £nil).

43

Hospice UK

Annual report and financial statements – 31 March 2021

7. Analysis of staff costs - Group

a) Staff numbers

The average monthly head count was 82 (2020: 72). The average number of employees during the year was as follows:

Extend our Reach
Tackle Inequality
Work with Communities
Empower a Strong Hospice Sector
COVID-19 response in England
Raising Funds
Support and Governance
b) Staff costs
Salaries and wages
Social security costs
Pension contributions
Holiday Pay Accrual
Temporary and agency staff
Total emoluments paid to staff were:		 2021
2020
No.
No.
14
8
8
8
8
8
10
20
19
-
8
14
15
14
82
72
2021
2020
£'000
£'000
3,093
2,686
324
283
231
231
196
0
0
40
3,844
3,240
3,094
2,726

The charity considers its key management personnel to be its trustees and the members of the Senior Management Team (SMT).

The charity's trustees were not paid and did not receive any benefits from employment with Hospice UK in the year (Prior year: £nil). They were reimbursed expenses during the year as stated in note 17.

The value of payments and other benefits, including pension contributions, to members of SMT in the year was £734k (2020: £703k). The charity also offers travel loans to staff (interest free up to the value of £10,000). At the year end, none (2020: two) of the Senior Management Team had outstanding loans (2020: £2,727).

44

Hospice UK Annual report and financial statements – 31 March 2021

7. Analysis of staff costs - Group (continued)

The number of employees whose total employee benefits excluding pension contributions exceeded £60,000 was:

2021 2020
No. No.
£60,000 - £70,000 3 3
£70,000 - £80,000 1 -
£80,000 - £90,000 3 2
£90,000 - £100,000 2 3
£100,000 - £110,000 1 1

Pensions contributions for higher paid employees totalled £107k (2020: £96k).

8. Pension - Group

The charity operates a defined contribution pension plan for its employees. The amount recognised as an expense in the period was £283k (2020: £316k). There was no amounts outstanding at the year end (2020: £nil)

9. Tangible fixed assets - group and charity

Freehold
land
£'000
Cost
At the start of the year
163		 Freehold
land
£'000
Cost
At the start of the year
163		 Building
£'000
1,595		 Furniture
and office
equipment
£'000
337		 IT
equipment
Total
£'000
£'000
154
2,249
Fixed assets acquired on ac
0		 0 0 28
28
Additions
Disposals
At the end of the year
Depreciation
At the start of the year
Charge on acquired assets
Charge for the year
At the end of the year
Net book value
At the end of the year		 0
0		 0
0		 0
0		 1
1
0
0
183
2,278
153
1,074
26
26
2
59
181
1,159
2
1,119
163
0

0
0		 1,595
675
0
33		 337
246
0
24
0 708 270
163 887 67
At the start of the year 163 920 91 2
1,176

45

Hospice UK

Annual report and financial statements – 31 March 2021

10. Investments - group and charity

a) Group

Market value at the start of the year
Investment acquired on acquisition of GSF
Disposal proceeds
Realised gain on disposal
Unrealised gain
Market value at the end of the year
Historic cost at the year end
Investments comprise:
b) Charity
Market value at the start of the year
Disposal proceeds
Realised gain on disposal
Unrealised gain
Market value at the end of the year
Historic cost at the year end
Investments comprise:
UK Common investment funds
UK Common investment funds		 2021
2020
£'000
£'000
2,798
3,023
319
0
0
0
0
0
406
(225)
3,523
2,798
2,361
2,361
2021
2020
£'000
£'000
3,523
2,798
2021
2020
£'000
£'000
2,798
3,023
0
0
0
0
377
(225)
3,175
2,798
2,361
2,361
2021
2020
£'000
£'000
3,175
2,798

46

Hospice UK

Annual report and financial statements – 31 March 2021

11.Subsidiary Undertaking

a) Trading

Help the Hospices (Trading) Limited - company number 02000660 is registered in England and Wales.

An investment of £100 is held by Hospice UK in Help the Hospices (Trading) Ltd. This represents the cost of acquiring the whole of the ordinary share capital of the company. Help the Hospices (Trading) Limited is used for non-primary purpose trading activities.

The results of Help the Hospices (Trading) Limited are shown below and have been consolidated on a line by line basis into group financial statements. Available profits are distributed to the charitable company by deed of covenant.

Turnover
Cost of sales
Gross profit
Administrative expenses
Profit on ordinary activities
Payment under Deed of Covenant
Net result
The aggregate of the assets, liabilities and funds was:
Assets
Liabilities
Funds		 2021
2020
£'000
£'000
489
717
(306)
(390)
183
327
(122)
(194)
61
133
(61)
(133)
0
0
2021
2020
£'000
£'000
173
499
(155)
(481)
18
18

47

Hospice UK

Annual report and financial statements – 31 March 2021

b) GSF

On 1 July 2021 the charitable company became the sole gaurantor of Gold Standards Framework CIC (GSF). Gold Standards Framework CIC - company number 07231949 is registered in England and Wales.

No fee for paid for the accquisition of GSF. The principle activity of GSF is training to professionals who work in a range of settings in providing end of lide care.

The results of GSF are shown below and have been consolidated on a line by line basis into group financial statements since the date of accqusition.

9 months
to 31
March
2021		 2020 as
restated
Turnover
Cost of sales
Gross profit
Administrative expenses
Profit on ordinary activities
Other operating income		 £'000
157
(142)		 £'000
463
(252)
15
(96)		 211
(483)
(81)
56		 (271)
(8)
Operating Deficit (24) (279)
Gains/(losses) on listed investments
Net result
The aggregate of the assets, liabilities and funds was:
Assets
Liabilities
Funds		 1 10
(23)
2021
£'000
517
(540)		 (269)
2020
£'000
620
(620)
(23) (0)~~1~~

48

Hospice UK

Annual report and financial statements – 31 March 2021

12. Parent charity

Hospice UK's gross income and the results for the year are as follows:

Gross income
Net income/(expenditure) before gains/(losses) on investments
3. Analysis of net assets between funds - Group
a) 2021
Group
General
Designated
£'000
£'000
Tangible fixed assets
0
1,120
Investments
3,523
0
Net current assets
364
1,634
3,887
2,754
Charity
General
Designated
£'000
£'000
Tangible fixed assets
0
1,120
Investments
3,175
0
Net current assets
574
1,633
3,749
2,753
b) 2020
Group
General
Designated
£'000
£'000
Tangible fixed assets
0
1,174
Investments
2,798
0
Net current assets
(448)
1,643
2,350
2,817
Charity
General
Designated
£'000
£'000
Tangible fixed assets
0
1,174
Investments
2,798
0
Net current assets
(464)
1,643
2,334
2,817		 Gross income
Net income/(expenditure) before gains/(losses) on investments
3. Analysis of net assets between funds - Group
a) 2021
Group
General
Designated
£'000
£'000
Tangible fixed assets
0
1,120
Investments
3,523
0
Net current assets
364
1,634
3,887
2,754
Charity
General
Designated
£'000
£'000
Tangible fixed assets
0
1,120
Investments
3,175
0
Net current assets
574
1,633
3,749
2,753
b) 2020
Group
General
Designated
£'000
£'000
Tangible fixed assets
0
1,174
Investments
2,798
0
Net current assets
(448)
1,643
2,350
2,817
Charity
General
Designated
£'000
£'000
Tangible fixed assets
0
1,174
Investments
2,798
0
Net current assets
(464)
1,643
2,334
2,817		 Gross income
Net income/(expenditure) before gains/(losses) on investments
3. Analysis of net assets between funds - Group
a) 2021
Group
General
Designated
£'000
£'000
Tangible fixed assets
0
1,120
Investments
3,523
0
Net current assets
364
1,634
3,887
2,754
Charity
General
Designated
£'000
£'000
Tangible fixed assets
0
1,120
Investments
3,175
0
Net current assets
574
1,633
3,749
2,753
b) 2020
Group
General
Designated
£'000
£'000
Tangible fixed assets
0
1,174
Investments
2,798
0
Net current assets
(448)
1,643
2,350
2,817
Charity
General
Designated
£'000
£'000
Tangible fixed assets
0
1,174
Investments
2,798
0
Net current assets
(464)
1,643
2,334
2,817		 2021
2020
£'000
£'000
264,243
5,761
846
(75)
2021
Restricted
Total
£'000
£'000
0
1,120
0
3,523
923
2,921
923
7,564
2021
Restricted
Total
£'000
£'000
0
1,120
0
3,175
923
3,130
923
7,425
2020
Restricted
Total
£'000
£'000
0
1,174
0
2,798
1,200
2,395
1,200
6,367
2020
Restricted
Total
£'000
£'000
0
1,174
0
2,798
1,200
2,379
1,200
6,351
3,887 2,754
Designated
£'000
1,120
0
1,633
General
£'000
0
3,175
574
3,749 2,753
Designated
£'000
1,174
0
1,643
General
£'000
0
2,798
(448)
2,350 2,817
General
£'000
0
2,798
(464)		 Designated
£'000
1,174
0
1,643
2,334 2,817

13. Analysis of net assets between funds - Group

49

Hospice UK

Annual report and financial statements – 31 March 2021

14. Debtors

Trade debtors
Prepayments and accrued income
Amounts due from subsidiary		 The group The group The charity
2021
£'000
262
0
40,914		 2020
£'000
122
0
827		 2021
2020
£'000
£'000
183
49
0
421
40,904
815
41,087
1,285
41,176 949

Within prepayments and accrued income is £280k (2020: £267k) of prepayments relating to fundraising events which will be held after the year end.

15. Creditors: amounts due within one year

2021
2020
£'000
£'000
Trade and other creditors
111
280
Tax and social security
93
10
Amounts due to subsidiary HTH
0
0
Amounts due to subsidiary GSF
0
0
Amounts due to independent hospices
173
7
Grants committed but not yet due
2,069
2,345
Accruals and deferred income
41,822
534
44,268
3,176
The group		 The group The group The charity
2020
£'000
280
10
0
0
7
2,345
534		 2021
2020
£'000
£'000
205
261
67
10
104
0
33
0
173
7
2,069
2,345
41,177
491
43,828
3,114
44,268 3,176

Within accruals and deferred income is £389k (2020: £235k) of deferred income relating to fundraising events which will be held after the year end.

The Charity is part of a group VAT registration and therefore is potentially liable for VAT liabilities of its subsidiaries. As at 31 March 2021 its subsidiary trading company, Help the Hospices had a creditor value relating to value added tax of £59,152 (2020 £39,276).

b) Deferred income reconciliation

Balance brought forward
Amount recognised in year
Amount deferred in the year
Balance carried forward		 The group The group The charity
2021
£'000
370
(178)
817		 2020
£'000
523
(523)
370		 2021
2020
£'000
£'000
337
452
(337)
(452)
389
337
389
337
1,009 370

50

Hospice UK

Annual report and financial statements – 31 March 2021

16. Movements in funds

a) 2021
Group
£'000
Restricted funds
St. James's Place Foundation
0
Health & Wellbeing Alliance
0
NHS England
0
Department of Health and Social Ca
0
Other projects
1,200
At 1 April
2020		 a) 2021
Group
£'000
Restricted funds
St. James's Place Foundation
0
Health & Wellbeing Alliance
0
NHS England
0
Department of Health and Social Ca
0
Other projects
1,200
At 1 April
2020		 Income
£'000
0
60
257,631
177
1,963		 Expenditure
£'000
0
(60)
(257,619)
(165)
(2,264)		 £'000
0
0
0
Unrealised
gains/(losses)		 £'000
0
0
0
Transfers
between
funds		 £'000
0
0
12
12
899
At 31 March
2021
Total restricted funds 1,200 259,831 (260,108) 0 0 923
Unrestricted funds
Designated funds:
Building repairs fund		 191 0 (6) 0 0 185
Fixed assets 1,176 0 (58) 0 0 1,118
Fixed assets acquired on
acquisition of GSF		 0 2 (1) 0 0 1
Fundraising
0
Web & Digital
300
2017-2022 Strategy
1,150
Total designated funds
2,817
General funds
2,350
Total unrestricted funds
5,167
Total funds
6,367
b) 2021
Charity
£'000
Restricted funds
St. James's Place Foundation
0
Health & Wellbeing Alliance
0
NHS England
0
Department of Health and Social Ca
0
Other projects
1,200
At 1 April
2020		 0
300
1,150		 0
0
0		 0
0
0		 0
0
0		 0
0
0		 0
300
1,150
2,817
2,350		 2
4,522		 (65)
(3,391)		 0
406		 0
0		 2,754
3,887
5,167 4,524 (3,456) 406 0 6,641
6,367 264,355 (263,564) 406 0 7,564
Income
£'000
0
60
257,631
177
1,964		 Expenditure
£'000
0
(60)
(257,619)
(165)
(2,264)		 £'000
0
0
0
Unrealised
gains/(losses)		 £'000
0
0
0
Transfers
between
funds		 £'000
0
0
12
12
900
At
Total restricted funds 1,200 259,831 (260,108) 0 0 923
Unrestricted funds
Designated funds:
Building repairs fund		 191 0 (6) 0 0 185
Fixed assets 1,176 0 (58) 0 0 1,118
Fundraising
Web & Digital
2017-2022 Strategy
Total designated funds
General funds
Total unrestricted funds
Total funds		 0
300
1,150		 0
0
0		 0
0
0		 0
0
0		 0
300
1,150
2,817
2,335		 0
3,745		 (64)
(2,708)		 0
377		 0
0		 2,753
3,749
5,152 3,745 (2,772) 377 0 6,502
6,352 263,577 (262,880) 377 0 7,425

51

Hospice UK

Annual report and financial statements – 31 March 2021

16. Movements in funds (continued)

c) 2020

c) 2020
St. James's Place Foundation
Health & Wellbeing Alliance
Other projects
Designated funds:
Building repairs fund
Fixed assets
Fundraising
Web & Digital
2017-2022 Strategy
Total designated funds
General funds
d) 2020
St. James's Place Foundation
Health & Wellbeing Alliance
Other projects
Designated funds:
Building repairs fund
Fixed assets
Fundraising
Web & Digital
2017-2022 Strategy
Total designated funds
General funds
Group
Charity		 £'000
0
0
1,050
At 1 April
2019		 Income
£'000
533
60
1,799		 Expenditure
£'000
(533)
(60)
(1,649)		 £'000
0
0
0
Unrealised
gains/(losses)		 £'000
£'000
0
0
0
0
0
1,200
Transfers
between
funds
At 31 March
2020
1,050
191
1,144
0
300
1,150		 2,392
0
0
0
0
0		 (2,242)
0
(44)
0
0
0		 0
0
0
0
0
0		 0
1,200
0
191
76
1,176
0
0
0
300
0
1,150
2,785
2,831		 0
3,985		 (44)
(4,165)		 0
(225)		 76
2,817
(76)
2,350
5,616 3,985 (4,209) (225) 0
5,167
6,666 6,377 (6,451) (225) 0
6,367
£'000
£'000
0
0
0
0
0
1,200
Transfers
between
funds
At 31 March
2020
£'000
0
0
1,050
At 1 April
2019		 Income
£'000
533
60
1,799		 Expenditure
£'000
(533)
(60)
(1,649)		 £'000
0
0
0
Unrealised
gains/(losses)
1,050
191
1,144
0
300
1,150		 2,392
0
0
0
0
0		 (2,242)
0
(44)
0
0
0		 0
0
0
0
0
0		 0
1,200
0
191
76
1,176
0
0
0
300
0
1,150
2,785
2,813		 0
2,860		 (44)
(3,037)		 0
(225)		 76
2,817
(76)
2,335
5,598 2,860 (3,081) (225) 0
5,152
6,648 5,252 (5,323) (225) 0
6,352

52

Hospice UK

Annual report and financial statements – 31 March 2021

16. Movements in funds (continued)

c) Purposes of restricted funds

NHS England provided funding to Hospice UK to enable it to support hospices in England to faciliate the provision of palliative care and Covid-19 clinical services for the benefit of patients of all ages through both inpatient and community provision.

Department of Health and Social Care provided funding to enable Hospice UK to reimburse hospices in England for additional PPE (personal protective equipment) costs they had incurred as a result of the COVID-19 epidemic.

Health & Wellbeing Alliance - NHE England awarded £60,000 to a consoritum of charities (NCPC, Hospice UK, Marie Curie & Together for Short Lives) in relation to our membership of the Alliance. The Alliance is a partnership of voluntary organisations who work to bring the voice of the sector into policy-making. Hospice UK leads the partnership.

Other projects - represents restricted funds for a variety of programmes supporting hospice care in the UK.

d) Purposes of designated funds

Building Repairs Fund - This fund was set aside in 2015 to cover the costs of maintaining our freehold property. An additional designation of £75,000 was made in 2018 to cover costs expected over the next five years.

Fixed Assets Fund - represents the net book value of the tangible fixed assets. £nil was transferred to the Fixed Asset Fund from General Funds to reflect to cost of fixed asset additions in year (2020: £76k).

Web & Digital Fund -In 2018 the trustees agreed to designate £300k towards future investment in our web and digital capability. It is envisaged that around £100k of this will be spent in the next year replacing our existing website(s) and the remainder over a five year period, including on upgrading our membership, fundraising and grants databases.

53

Hospice UK Annual report and financial statements – 31 March 2021

17. Related party transactions

a) Independent hospices and trustees

Over 80% of the Trustees are closely associated with independent charitable hospices and palliative care. As we have awarded 287 grants during the year to organisations working in palliative care, it is not unusual that some of these grants are to organisations with which our trustees are associated.

Trustees who sit on the awards committee withdraw from all decisions regarding grants to any organisation, or individual within the organisation, with which they are associated and so cannot influence these decisions in any way.

A summary of the grants awarded to organisations, or individuals within the organisation, associated with our trustees is given below. The total value of all grants awarded in the year is disclosed in note 4.

Hospice UK's member hospices also benefit from funding through our national corporate partnerships and our payroll giving scheme. The total value of all local hospice donations in the year is disclosed in note 3.

Saint Michael's
Dorothy House Hopsice Care
Naomi House and Jacksplace
North Devon Hospice
St Andrew's Hospice
LOROS Hospice
Teesside Hospice
Total		 1
1
0
0
0
8
1
Number of
grants		 £'000
10
17
0
0
0
12
33
Value of
grants		 £'000
1,616
2,670
1,196
1,427
1,245
2,678
598
NHSE
Grants		 Hospice Donations
2021
2020
£'000
£'000
0
1,626
0
2,686
1
1,197
0
1,427
0
1,245
1
2,691
0
632
2
11,504
11 72 11,430

Hospice UK paid the cost of travel and expenses incurred by Trustees whilst fulfilling their duties to Hospice UK. This includes the reimbursement of expenses totalling £nil (2020: £4k) for trustees.

Following an open tender process, the group commissioned St Michaels Hospice Harrogate to provide a national telephone support line for NHS staff and other care workers. A trustee of Hospice UK is the Chief Executive of St Michaels Harrogate. £270k was paid to St Michaels Haarrogate for providing this service during the year (2020: nil)

54

Hospice UK

Annual report and financial statements – 31 March 2021

17. Related party transactions (continued)

b) Worldwide Hospice and Palliative Care Alliance (WHPCA)

The Chief Operating Officer of Hospice UK, Craig Duncan, is a trustee of the Worldwide Hospice and Palliative Care Alliance (WHPCA), a charity registered in the UK.

Hospice UK provided various services to WHPCA, including financial and payroll processing, and financial management and reporting support, charged at £11k (2020: £13k).

At the end of the year Hospice UK owed £20k to WHPCA (2020: Hospice UK owed £5k to WHPCA).

The Trustees do not consider WHPCA to be a subsidiary or an associate and the results and net assets of WHPCA have not been included in the group accounts.

There were no other related party transactions in the year.

18. Operating lease commitments

Net income for the Group is stated after charging operating lease payments on equipment of £40k (2020: £46k)

The total future minimum lease payments under non-cancellable operating leases are as follows:

2021 2020
£'000 £'000
No later than one year 40 46
Later than one year and not later than five years 6 46

55

Hospice UK

Annual report and financial statements – 31 March 2021

19. Ultimate controlling party

There is no overall controlling party.

20. Post balance sheet events

There were no post balance sheet events.

21. Contingenct Assets

The charity has been notified of a number of potential legacies which do not meet the conditions for recognition as income at the balance sheet date. The value of these gifts is uncertain, but is esimated at £1.5M The charity is extremely grateful to all the generous donors who support it through gifts in wills.

56

Hospice UK

Annual report and financial statements – 31 March 2021

22. Consolidated statement of financial activities

(Incorporating an income and expenditure account) For the year ended 31 March 2020

Income
Donations and legacies:
Funds raised for Hospice UK
Funds raised for independent hospices
Income from other trading activities
Investment income
Income from charitable activities:
Supporting those providing hospice care
Total income
Expenditure
Expenditure on charitable activities:
Extend our Reach
Tackle Inequality
Work with Communities
Empower a Strong Hospice Sector
Costs of raising funds
Total expenditure
Unrealised (losses)/gains
Net income for the year
Transfer between funds
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward
Net (expenditure)/income before
(losses)/gains on investments		 Unrestricted Funds Unrestricted Funds Restricted
2020
Funds
Total
£'000
£'000
2,132
4,992
259
259
0
94
0
114
0
917
2,391
6,376
553
1,112
1,099
1,584
168
668
421
1,845
0
0
1,241
2,241
6,450
150
(74)
0
(225)
150
(299)
0
0
150
(299)
1,050
6,666
1,200
6,367
General
£'000
2,860
0
94
114
917		 Designated
£'000
0
0
0
0
0
3,985
553
479
494
1,409
1,230		 0
6
6
6
15
11
4,165 44
(180)
(225)		 (44)
0
(405)
(76)		 (44)
76
(481) 32
2,831 2,785
2,350 2,817

All the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds aredosclosed above.

57