Registered number: 02906838 Charity number: 1035600 NIGHTINGALE HOUSE HOSPICE TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 ¥YWR Protecting your future.
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) CONTENTS Page Reference and administrativ8 detalls of the Charity, its Trustses and advlsers Trustees. report Independent auditors, report on the flnanclal statements Consolidated statement of fInancial activities 3-11 12-15 16 Consolidated balanca sheet 17 Charity balance sheet (statement of financial position) Consolidated statement of cash flows 18-19 20 Notes to the financial statemont8 21-45
NIGHTINGALE HOUSE HOSPICE (A company IlmSted by guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER2023 Trustees Mrs E Griffiths, Chair Dr N Braid. Vice Chair Mrs A Bbner Mr C Burgoyne Mr R Cole Dr J Duguid Mr G Greasley His Honour R P Hughes Mrs C Jones (appointed 8 June 2023. resigned 10 Jun8 2024) Mrs J Lowe Mr A Morse (resigned 24 May 2023} Mr R C Thomas Mrs C Varley (resigned 7 May 2024) Mr P R Weslon Company registered number 02906838 Charity registered number 1035600 Registered office Nightingale House Chester Road Wrexham LL112SJ Key Management Personnel Steve Pa - Chief Executive Offic8r Lauren Emberton - Deputy Chief Executive Offir Mandy Cunningham - Director of Clinical and Patient Services Laura Parry- Director of In(x)me Generation Robert Cole - Director of Finance Samantha Scott - Director of Operations Melissa Everett - Medical Director Independent auditors WR Partners Chartered Accountsnts Belmont House Shrewsbury Business Park Shrewsbury Shropshire SY2 6LG Page 1
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) REFERENCE AND ADMINISTRATIVE DEfAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Bankers Balay$ Bank plc Raymond Court Princes Drive Colwyn Bay LL29 8HT Solicitors DTM Legal Archway House station Road Chester Cheshire CH13DR Investment Managers Brewin Dolphin 1 Th8 Avenue Spinningfields Square Manchester M3 3AP Page 2
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 DECEMBER 2023 The Trustees present their Annual Report together with the audited financial statements of the Charity for the year from 1 January 2023 to 31 Dernber 2023. The Annual Report serves the purposes of both a Trustees, Report and a Directors, Report under company law. The Trustees confirm that the Annual Report and financial statements of the charitable company comply with the current statutory requirements, the requ1mentS of the charitable company's governing document and the provisions of Ihe Send edition Statement of Recommended Practice (SORP) applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (October 2019). Objectives and activities a. Policies and objectives The object of the Charity is to provide servlces for Indlvlduals and their families living within North East Wales and the border areas who are living with a diagnosis of progressive andlor life limiting illness, delivered. when possible, in the location of their choice and always withln the resources availab18 to Nightingale House Hosplce. In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commlssion relating to public benefit, including Ihe guidance 'Public benefit: running a charity {PB2)'. b. Strategles for achieving objectives To monitor standards of patient and family care and establish a programme of continual review and improvement in line with local, regional and national specialist palliative care strategles and standards. To ensure all services are provided in safe. pleasant and well maintained premises appropriate and fit for purwse in collaboration with other h8alth and social care providers. To 8nsure equity of a$$ to hospice seNices for patients and families identified within our organisations, aims. The strategies employed to achieve the Chariws objectives and lo ensure we deliver public benefit are: Maintenance of a suitably qualified and experienced multi disciplinary team Corporate and clinical g0Veman monitoring Quality assurance audits locally and nationally peer reviewed A programme of stsff development and training c. Activities undertaken to achieve objectives Following an assessment of physical, emotional. social and spiritual needs. services will be delivered by a multi-disciplinary team, trained and competent to meet the needs of all pat18nts. including those with complex, specialist needs. To provide the highest quality of health care in an appropriate and safe environment and through developing collaborative working partnerships with Health and Social Care providers within the local community. Page 3
NIGHTINGALE HOUSE HOSPICE {A company Ilmlted by guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Objectlves and activities (continued) d. Volunteers The Charity is dependent on the help of approximately 441 active volunteers who provide inGredible levels of support. Volunteers assist in all areas of the hospice and income generation. and are a very important Part of Ihe organisation. e. Main activities undertaken to further the Charity's purposes for the public benefit Monitor standards of patient and family care and estsblish a programme of continual review and improvement in line with local, regional and national specialist palliative care strategies and standards. The Trustees have given due consideration to the Charity Commission's guidance on public benefit when reviewing the objectives and in deciding what activities the Charity undertakes. The Trust8es are satisfled that the achievements and planned activities contribute to the objectives they have set. Strateg1¢ report Achievements and perfomiance a. Key perfomiance indicators Financial performance is monitored monthly by th8 8X8CUtiV8 management team. It is also reviewed and dlscussed at quarterly flnance committee meetings and at all formal board meetings. b. Review of activities The Hospice met ils objeclive of providing a comprehensive range of quality services to its patients free at the point of delivery. c. Investment policy and perfomiance According to the Memorandum and Articles of Association, the Trustees have the power to invest such part of the funds as Ihey may see fit. Current fvnds are invested to generate income and (zpital growth with diversified risk The portfolio therefore comprises of cash and fixed interest investments and global equities. Funds are managed by Brewin Dolphin under their Income and Growth Return Category. This category is well diversified by asset dass. The portfolio will be generally measured against the APCIMS Balanced Index but will be managed to our individual needs. Interest and dividend income of £32K {2022: £27K) eamed in the year was reinvested in Ihe portfolio. It is the policy of the Board to invesl reserves where possib18 in order to augment income and offset inflationary trends. Funds are invested so as to generate income and capital growth within a "Balanced" benchmark and a low Risk Category of 6. Pag8 4
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Strateglc report (contlnued) Financial review . Going concern The Trustees have a reasonable expectation that the Charity has adequate resources to continue in op&rational exist8nc8 for the fores8eabl8 futur8. For this r8ason, they continue to adopt the going concern basis in preparing the financlal statements. Further details regarding the adoption of the going concern basts can be found in the accounting policies. b. Reserves policy It Is the policy of the Board to maintaln free cashlquasl cash reseNes at a minimum level equating to 6 months expenditure in order to ensure continuity of service in view of variable receipts, fundlng levels and the uncertain times we are operating in. At the year end the total funds are £8,833,945 (2022." £7,903,989) of which £2,144,447 {2022: £1,694,196) are restricted funds, consisting primarily of fixed assets, and £6,689.498 (2022: £6,209,793) relate to unrestricted reserves. These unrestrlcted reseNes have been designated as follows: 2023 General reserrfes Less designatedfvnds." Tangible fixed assets Hosplce Subsldlaries Propety maintenance and repair Modernisation fund for planned development Balance 6.689,498 £ 3.607,516 110,348 50,000 229,129 £ 2.692.505 The balance of unrestricted reserves is to Cover 7 months running costs at the Hospice. Page 5
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Result for the Year The Charity reported a positive income for the year before movement in investment assets of £847k. Positive movements in the stock market valuations resulted in a n8t gain on our investment of £83k whlch In turn created an overall sury)lus of £930k at year end. Fixed Asset Investrnents held at 31 December 2023 were valued at £1.35 million. The figure includes income of £32k whlch was reinvested in the fund. Total Income for 2023 of £6.48 million was up £997k on the amount in 2022 The principal fijnding sources for the year aside from the trading subsidiaries were Local Health Board Core funding of £917k, grants of £669k and legacies and bequests of £955k. Expenses increased by £381 k in the year to £5.6 million - equivalent to 7.2Yo. Staff costs equate to 63% of the total expenditure. The average number of employees during the year was 121. which is 7 higher on the level in 2022 {114). During 2023 our total charitable expenditure was at £4 million equivalent to 710/• of ti)tsl expenditur8. Group net assets stand at £8.8m which is an increase of £930k compared to 2022. Cash held as working capital at the year end was £1.1 million. Subsidiary Companies: Nlghtingale House Lottery Limited achieved a net profit of £471 k compared to £497k in 2022. The profits were gifted to the charity under the Gift Aid scheme. Nightingale House Promotions Limited made a profit of £198k for the year (£57K profit in 2022). c. Prlncipal risks and uncertainties Primary risks involve a failure to set a budget which is both achievable and ensures that the objectives of the Charity are met, a failure to accurately report the ongoing financial performance of the Charity in a timely fashion. reserves being jeopardised by poor cash management and investment losses due to unforeseen severe market conditions. and financial loss caused by fraud or thefL The Trustees have assessed the major risks to which the Charity and the Group is exposed. in particular those related to the operations and finances of the Charity and the Group, and are satisfied that systems and procedures are in pla to manage our exposure to the major risks. The Gurrenl cost of living Grisis continues to impact the UK and Nightingalo House Hospice during 2023, and like many other charities and businesses throughout the UK, our income streams have been impacted however the innovative fundraising initiatives and changes to retail have meant that there was no shortfall during the year. 2024 will continue to be a challenge with a budgeted small surplus and every effort will be made to mitigate losses. The Trustees and Executive Management Team have always been prud8nt with regards to financial management. and it rs anticipated that Ihis economic stomi will continue to be weathered. If difficult trading conditions continue, then the services offered will be reviewed and realigned within budgets available. Page 6
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) TRUSTEES. REPORT {CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 d. Financial risk management objectives and policies The primary financial risk manag8m8nt obj8CtiV8s and policies centre on robust budgetary control and financial reporting, a robust reserve, cash management and investment policy. and a strong anti fraud and error infrastructure. e. Princlpal fundlng The principal sources of funding in the year have been Restricted Grants, Fundraising (which includes Donations. Campaigns and Events). followed by Statutory income. Lottery income, Retail. Gifts in Wills. and Gift Aid. Strncture. governance and management a. Constitution The Charity and the Gn)up is registered as a Gharitable (private) company limited by guarantee and was set up by a Memorandum of Association on 4 March 1994. The Gompany was incorporated in Wrexham, UK. The Charity and the Group is constituted under a Memorandum of Association dated 4 March 1994 and is registered charity (number 1035600). EaGh member undertakes to contribute a maximum of £10 to the Charity's assets should it be wound up. b. Methods of appointment or electlon of Trustees As set out in the Articles of Association no person shall be appointed a Trustee unless they have attained the age of 18 years and been recommended by the trustees not less than fourteen nor more than thirty five days before the date appointed for the general meeting. Trustees nominated are representative of the skills and experien needed by the Trustee Board lo ensure a balance of professional expertise. In accordance with the Artides of Association any Trustee appoinled outside of this time period can only hold Offi to the following general meeting at which they have to stand for election. Trustees are elected for a period of three years. Prior to the annual general meeting the Trustees nearing the end of their term are asked whether they wish to continue for a further period of three years. Those willing are reappointed at the annual general meeting. The minimum number of trustees shall not be less than five. All Trustees give their time voluntsrily and receive no benefits from the Charity. c. Policies adopted for the induction and trainlng of Trustees Upon being appointed, Trustees are provided with induction training as are staff and volunteers. Half day Board of Trustees meetings which are held twi a year provide opportuniiy for Trust8e training updates on regulatory compliance and service d8velopm8nts. Additional information is supplied upon appointment. by means of the New Trustee Folder whlch is issued to all new Trustees. Page 7
NIGHTINGALE HOUSE HOSPICE (A company limitod by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Structure• governance and management (contlnued) d. Organisational structure and declslon maklng The organisation is commonly known as Nightingale House Hospi and is governed by a Board of Trustees which is r8sponsible for setting the strategic direction of the organisation and for estsblishing policy. The Board meets quarterly, as do other committees which cover: Strategy (meet every six months) Clinical Finance Human Resources Fundraising and Lottery Retail and Catering There are also quarterly sub-committees for Health and Safety, Facilities and Inft)miation Govemance & IT. e. Pay poliGy for key management personnel The remuneration of s8nior staff is bas8d on market rates and is reviewed annually by the Trustees. f. Related party relationship8 The Charity has subsidiaries Nighting8le House Lottery Limited and Nightingale House Promotions Limited. Nightingale House Lottery Limited and Nightingale House Promotions Limited gift aid their profits to the charity. Nightingale House Lottery Llmlted admlnlsters a weekly lottery and other raffles and draws. Nightingale House Promotions Limit8d operates the charity shops. caf8s, e commerce, gift shop and sale of merchandise. g. Flnancial risk management The Trustees have assessed the major risks to which the Group and the Company are exposed, in particular those ralated to the operations and financ8s of th8 Group and the Company. and are satisfied that systems and procedures are in place to mitigate exposure to the major risks. h. Trustees. indemnitles Trustee indemnity insurance is in place for the Trustees. Plans for future periods Hospice 5 Year Strategic Plan {2024- 2029) The Strategic Plan for the hospice from 2024- 2029 inGludes-. Increasing the number of individuals able to access hospice services Improve the patient environment Increase communty presence to increase more palliative care patients Increase Fundraising Income and develop new ideas to maintain lottery contribution Increase community engagement and grow corporate partnerships To deliv8r the R8tsil sales plan that achieves budgeted contrlbution through the exlsting retail estate Page 8
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) TRUSTEES, REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Plans for future periods (contlnued) Clinical During 2023, the Hospice modernisation program continued and focused completing the final phase which is our Inpatient Ward. The exciting new plans include 12 individual patient rooms created across 2 wings and will provide an excellent environment and up to date facilities for the delivery of exceptional patient care to our community. Nightingale House has a strong partnership with Supportive Care UK to deliver the highest level of Gonsultant support for our patients. As an independent charitable Hospice. it is imperative that we are able to continue to develop skills and provide the very best Ca to those that need it. This exciting partnership with Supportive Care UK continues to ensure that Nightingale House has access to the very best consultant support for a sustsinable model for the future delivery of patient services. The HospiGe has continuously reviewed and adapted to ensure the safety of our vulnerable patients has been protected and it remains a significant achievement Ihat we have continued to provide all of our services throughout the inpatient refurbishment during 2023. Our direct referral service has proved to be a huge success, easing the burden on professional colleagues and providing timely support to Ihose in need. The Patient Flow Team continues to trlage all referrals and ensure tim81y intervention and support is provided. The Hospice really has b88n a hiv8 of activity for our patients across all of our outpatient and inpatient services throughout the year and we remain committed to providing exceptional patient care to our communty in newly refurblshed facilities. Information on fundralslng practices All fundraising activities are completed by the Nightingale House Fundraising Team apart from the sale of Lottery entries where 1 part time, seffemployed canvasser is Involved, although canvassing activity has been limited with venues throughout 2023. We comply with the Code of Fundraising Practice issued by the Fundraising Regulator. The Lottery canvassers are issued with guidelines laid out by Nightingale House and they also must abide by the Gambling Commission regulations. All activities of Lottery canvassers are monitored - dates worked, locations attended. sales made. All Lottery sales are followed up by the Nightingale House Lottery Team to ensure quality standards are maintained. No Lottery complaints were received during 2023 (Nil in 2022). Our Privacy Policy (https:Ilwww.nightingalehouse.co.uklprivacy policy4 includes the use of personal data for fundraising purposes. This Policy also includes details of the hospice's Data Proledion Officer should individuals have any concerns regarding the use of their data. All fundraising dCUrnentatIOn i.e. gift aid forms. flyers, registration forms, standard letters. etc. contsin a link to the Privaw Policy and instructions of how to opt out of future communication. We also review annually the personal data we hold regarding our supporters to ensure that. where possible, the data is accurate, up to date and not retained longer than necessary. Future fundraising plans include: New fundraising events to increase community 5UPPOrt l engag8ment Deslgnated resource to build relationshlps wlth corporate supporters I donors Continued development of ov8rs8as challenge events Page 9
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 310ECEMBER 2023 Plans for future periods (contlnued) Continued development of on line giving facilities The fundamental principles upon which the Charity carri8S Out fundraising activilies are as follows: Legal Open Honest Respectful Funds held as Custodlan There were no funds held as custodlan. Retail As stated earlier in this report (under subsidiary companies) Nightingale House Promotions Limited made a profit of £198k for th8 y8ar. Following a review of our retail premises in 2021, we have seen improved performance year on year despite the challenging financial environment. we expect this to continue into 2024. The ongoing performance of all our retail outlets will continue to be dosely monitored. There are no plans in place for any new retail premises unless a suitable opportunity presents itself. Page 10
NIGHTINGALE HOUSE HOSPICE (A Gompany limlted by guarantse) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2023 Statement of Trustees. responsibilities The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the TNstees' Report induding the Strategic Report and the financial statements in accordan with applicsble law and United Kingdom Ac(xiunting Standards (United Kingdom Generally Accepted Accounting Practice}. Company law requires the Trustees to prepare financial statements for each financial year. Under company law. the Twstees 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 Group and the Charity and of their incoming resources and application of resources. including their income and expenditure. for that period. In preparing th8S8 financial statements. the Tnjstees are required to: select suitsble accounting policies and then apply them consistently; observe the methods and principles of the Charities SORP (FRS 102)., make judgments and accountlng estimates that are reasonable and prudent. state whether applicable UK Accounting Standards (FRS 102) have been followed. subject to any material departures disclosed and explained in the financial statements,. and prepare the financial statements on the going concem basis unless it is inappropriate to presume that the Group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to sW and explain the Group and th8 Charitys transactions and disdose with reasonable accuracy at any time the financial position of the Group and the Charily and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and the Charity and hence for taking reasonable st8ps for the prevention and detection of fraud and olher irregularib'es. Disclosu of infomiation to auditors Each of the persons who are Trustees at the time when this Trustees, Report is approved has confirmed that: so far as that Trustee is aware. the is no relevant audit information of which the charitable group's auditors are unaware. and that Trustee has taken all the steps that ought to have been taken as a Twstee in order to be aware of any relevant audit infomiation and to establish that the Gharitab18 group's auditors are aware of th8t infomiation. Audltors The auditors, WR Partners, have indi(3ted their WFllingness to continue in office. Th8 designated Trustees will propose a motion reappointing the auditors at a meeting of the Trustees. Approved by order of the members of the l)oard of Trustees and signed on their behalf by: Mrs E Griffi Chair of Trustees Date: Page11
NIGHTINGALE HOUSE HOSPICE (A Gompany limlted by guarantee) INDEPENDENT AUDrroRS' REPORTTO THE MEMBERS OF NIGHTINGALE HOUSE HOSPICE Opinion We have audited the financial stalements of Nightingale House Hospice (the 'parent charitable Gompanl) and its subsidiaries (the 'group') for the year ended 31 December 2023 [ch comprise the Consolidated Statement of Financial Activities. the Consoliijated Balance Sheet. the Company Balance Sheet, the Consolidated Statement of Cash Flows and the related notes, including a summary of signfficant 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 Stsndard applicable in the UK and Republic of Ireland. (United Kingdom Gènerally A¢pted Accounting Practi}. In our opinion the financial statements: give a tru8 and fair view of the state of the Group's and of the parent charitable company's affairs as at 31 December 2023 and of the Group's incoming resources and application of resources, includlng Its income and expenditure for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Companies Act 2006. Basls for oplnlon We conducted our audlt In accordance with International Standards on Auditing (UK) (ISAS {UK)) and applicable law. Our responsibilities under those stsndards are further described in the Auditors. responsibilities for the audit of the financial slatements section of our report. We are independent of the Group in accordance with the ethiGal requirements thal are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclusions lating to golng Concern In auditing the financial statements. V have concluded that the Trustees. use of the going COnM basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have perfomied. we have not identified any material unc8rtainti88 relating to events or conditions that, individually or collectively, may cast significant doubt on the Group's or the parent charitable company's ability to continu8 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. Page 12
NIGHTINGALE HOUSE HOSPICE (A Company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF NIGHTINGALE HOUSE HOSPICE {CONTINUED) Other infonnation The other infomation comprises the information included In the Annual report other than the financial statements and our Auditors. report thereon. The Trustees are responsib18 for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other Infonnation and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion ther8on. Our responsibility Is to read the other information and, in dolng so, consider whether the 0th8r information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit. or oth8rwise appears to be materlally misstated. If we id8ntify such mat8rial inconsistencies or appar8nt material misstatements, we are required to detemiine whether this gives rise to a material misstatement In the financial stat8m8nts themselves. If, based on the work we have performed. we condude that there is a material misstatement of this other information. we are required to report that fact. We have nothing to reF)Ort in this regard. Opinion on other matters prescrlbed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the audit: the infomiation glven in the Trustees, Report including the Strategic Report for the financial year for which the financial statements are prepared is consistent with the financial statem8nts. the Trustees, Report and the Strategic Report have been prepared in accordance with applicable legal quirements. Matters on which we are required to report by exceptlon In the light of our knowledge and und8rstanding of the charitable company and its environment obtained in the course of the audit, we have not identlfled material misstatements in the Trust8es' Rewrt including the Strategic Report. We have nothing to report In respect of the following matt8rs in relation to which Companies Act 2006 requires us to report to you if, in our opinion: the parent Charitable company has not kept adequate and sufficient accountlng records. or retums adequate for our audit have not been received from branches not visited by us" or the parent charitab18 company financial statements are not in agreement with the accounting records and returns; or rtain disclosures of Trustees, remuneratlon specified by law are not made. or we have not received all the infomiation and explanations we require for our audit. Page 13
NIGFrriNGALE HOUSE HOSPICE (A company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF NIGHTINGALE HOUSE HOSPICE (CONTINUED) Responsibilities of tru8tee8 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 financlal statements and for belng satlsfled 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 ar8 responsib18 for assessing the Group's and the parent charitable company's ability to continue as a going concem, disclosing, as applicable, matt8rs related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the parent charilable company or to cease operations, or hav8 no realistic altemative but to do so. Auditors. responsibilities for th8 audit of tha financial ststements Our objectives are to obtain reasonable assurdnce about whether the financial statements as a whole are free from material misstatement, whether due to fraud or eOr, and to ISSU8 an Auditors, report that Includes our opinion. Reasonable assuran Is a hlgh 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 exlsts. Mlsstatements can arise from fraud or eor and are considered material if, individually or in the aggregat8, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial stat8m8nts. Irregularities, including fraud, are Instsnces of non-complian with laws and regulations. We design procedures in line with our responsibilities. outlined above, to detect material misstatements in r8spect of irregularities, including fraud. The exlent to which our procedur8s are capable of detectlng irregularities, including fraud is detailed below.. The audit team obtained an und8rstanding of the legal and regulatory frameworks that are applicable to the Group and detemiined that the most significant are those that relate to the r8POrting framework (FRS102 and the Compani&s Act 2006). the relevant tax compliance regulallons, employment law, H8alth and Safety Regulations and the EU General Data Protection Regulation (GDPR). We understood how the Group is complylng wlth these frameworks by making enquiri8s of management and those responsible for legal and compliance Produres. We reviewed board minutes to identify any r8corded instances of irregularity or non compliance thal might have a material impact on the financial statements. We assessed the susceptibility of the Group's financial statements to material misstat8ment, including how fraud might occur by meeting with k8y management to understand where they are considered ther8 was susceptlblllty to fraud. Based on our understanding our procedures involved enquiries of management and those charged with gov8mance, manual joumal testing, cashbook reviews for large and unusual items and the challenge of significant estimales used in preparing financial ststements. Because of the inherent limitstions of an audit, there is a risk that we will not detect all irregularities, including those leadlng to a materfal 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 transaotions reflected in the financial statements, Ss we wll be less likely to become aware of instances of non-compliance. The risk is also greater regarding Irregularltles occurring due to fraud ralher than error, as fraud Involves intentional concealment, forgery, collusion. omission or misrepresentation. A further description of our responsibilities for the audit of the flnancial statements is locat8d on the Financial Reporting Counal's website at: www.frc.or .uklauditorsres nsibilities. This descrlptlon forms part of our Auditors, report. Page 14
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) INDEPENDENT AUDITORS. REPORT TO THE MEMBERS OF NIGHTINGALE HOUSE HOSPICE (CONTINUED) Use of our report This report is made solely to the charitable company's members, as 8 body. in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable companws m8mb8rs those matters w8 ar8 r8quir8d to stat8 to them in an Auditors, 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 its members, as a body, for our audit work, for thls report, or for the opinions w8 hav8 fomied. Andrew Malpass BSC FCA (Senior statutory auditor) for and on behalf of WR Partners Chartered Accountants Statutory Auditors Belmont House Shrewsbury Business Park Shrewsbury Shropshire SY2 6LG Date.. k 2oL4 Page 15
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES {INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 DECEMBER 2023 Unrestricted funds 2023 Restricted funds 2023 Total funds 2023 Total funds 2022 Note Income from: Donations and legacies Charitable activities Other trading activities Investments 3.305.296 3,305,296 669.164 2,408,033 9&184 3,021,878 48,938 2.368,840 44,364 669.164 2,408.033 98.184 Total income 5,811,513 669,164 6,480,677 5,484,020 Expendlture on: Raislng funds Charltable activities 1,630,688 3,783,891 1,630,688 4,002,804 1,597,382 3.654,668 218,913 Total expenditure 5,414,579 218,913 5,633,492 5.252,050 Net gainsl{losses) on investmenls 82.771 82.771 (187.344) Nel movement in funds 479.705 450,251 929,956 44.626 Reconciliation of funds: Totsl funds brought forward Net movement in funds 6.209.793 479.705 1,694.196 450,251 7,903,989 929,956 7.859.363 44,626 Total funds carrled forward 6,689.498 2,144,447 8,833,945 7.903,989 The Consolidated statement of financial activities includes all gains and losses rewgnlsed In the year. The notes on pages 21 to 45 form part of th8S8 financial ststements. Page 16
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) REGISTERED NUMBER: 02906838 CONSOLIDATED BALANCE SHEET AS AT 31 DECEMBER 2023 2023 2022 Note Flxed assets Tangible assets Investments 13 14 5.847.604 1,345.146 4.049.389 1,245,325 7.192,750 5,294,714 Current assets Stocks Debtors Cash at bank and in hand 15 16 17,213 1,181,132 1,124094 13,053 568,238 2,619,751 2.322.439 3,201.042 Creditors: amounts falling due within one year 17 {671,659) (581,917) Net current ass8ts 1,650,780 2,619, 125 Tolal assets less current liabilities 8.843,530 7,913,639 Provisions for liabilities 18 (9,585) (9,850) Total net assets 8,833,945 7,903,989 Charlty funds Restricted funds Unrestricted funds 19 19 2,144,447 6,689.498 1,694, 196 6,209, 793 Total funds 8,833,945 7, 903, 989 The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting reGords and preparation of financial stat8ments. Th8 financial statements were approved and authorised for issug by Ihe Trustees and signed on their behalf by: Mrs E Grifflths (Chalr of Trustees) Date: 31 The notes on pages 21 to 45 fom part of these financial statements. Dr N Braid (Trustee) 1712* Page17
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) REGISTERED NUMBER: 02906838 CHARI BALANCE SHEET AS AT 31 DECEMBER 2023 2023 2022 Nots Flxed assets Tangible assets Investments 13 14 5,737,257 1,345,148 3,914,019 1,245,325 7,082,403 5.159.344 Current assets Stocks Debtors Cash at bank and in hand 15 16 3.605 1.360.017 610.336 3,344 1,358,876 1,657.960 1.973,958 3,020, 180 Cr8ditors: amounts falling due within one year 17 (519.679) (374.969) Net current assets 1,454279 2,645,211 Total assets less current Ilabllltles 8,536,682 (9,585) 7,804,555 Provisions for liabilities (9,850) Total net assets 8,527,097 7, 794. 705 Page 18
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) REGISTERED NUMBER: 02906838 CHARITY BALANCE SHEET (CONTINUED) AS AT 31 DECEMBER 2023 2023 2022 Note Charity funds Restricted fvnds Unrestricted funds 19 19 2,144,447 6.382,650 1,694, 196 6. 100.509 Total funds 8.527.097 7, 794, 705 The CharitS net movement in funds for the year was £732,392 (2022- £(12. 708)). The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting COrdS and preparation of financial statements. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by: Mrs E Griffiths (Chair of Trustees) Date: Dr N Brald rustee) 31)7)9tr The notes on pages 21 to 45 fomi part of these financial statements. Page 19
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2023 2023 2022 Note Cash flows from operatlng activities Net cash used in operating activities 21 598.612 539,002 Cash flows from investing activlties Dividends, interests and rents from investments Proceeds from the sale of tangible fixed assets Purchase of tangible fixed assets 98,184 44,364 14,647 (2.192,453) (273,843) Net cash used in investing actlvltles (2,094,269) (214,832) Change in cash and cash equlvalents In the year Cash and cash equivalents at the beglnnlng of the year {1.495,657) 2,619.751 324,170 2.295.581 Cash and cash equivalents at the end of the year 22 1,124,094 2,619,751 The notes on pages 21 to 45 form part of these financial statements Page 20
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarantae) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 General Infomiation The Charity Is a company limited by guarantee incorporated in England and Wales. The registered address and the members of the company are named on page 1. In the event of the Charity being wound up. th8 liability in respect of the guarantee is limited to £10 per member of the Charity. Accountlng policies 2.1 Basls of preparation of financlal ststements The financial statements have been prepared in accordance with the second edition Chariti88 SORP {FRS 102) Accounting and Reporting by Charities: Ststement of Recommended Practice applicable to charities preparing th8ir accounts in accordance with th8 Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) {October 2019), the Financial R8POrting Stsndard applicable in the UK and Republic of Ireland {FRS 102) and the Companies Act 2006. Nighlingale House Hospice meets the definition of a publlc benefit entity under FRS 102. Assets and liabilities are initially recconised at historical cost or transaction value unless otherwlse stated in the relevant acLounting policy. The Consolidated Ststem8nt of Financial Activitl8s (SOFA) and Consolidated Balance Sheet consolidate the financial statements of the Group and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis. The Group has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements. 2.2 Basis of consolldatlon The financial statements consolidate the accounts of Nightingale House Hospice and all of its subsidiary undertakings {'subsidiaries'). The Charity has taken advantage of the exemptlon contained within section 408 of the Companies Act 2006 not to present its own income and expenditure account. The Income and expendlture account for the year dealt wlth In the accounts of th8 Charity was a surplus of £658,640 (2022: deficit of £12.708). 2.3 Golng concern After making appropriate enquiries, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the forseeable fijture. For this reason they continue to adopt the going concem basis in preparing the financial ststements as explained In the Trustees, Report. Page 21
NIGHTINGALE HOUSE HOSPICE (A company limlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Accounting policies {continued) 2A Income All income is recognised once the Charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. The recognition of income from legacies is dependent on establishing entitlement, the probability of receipt and the ability ta estimate with sufficient accuracy the amount receivable. Evidence of entitlement to a legacy exists when the Charity has sufficient evidence that a gift has been left to them {through knowledge of the existence of a valid will and the dealh of the benefactor) and the executor is satisfied that the property in question will not be required to satlsfy claims in the estate. Receipt of 8 legacy must be recognlsed when it is probable that it wlll be received end the fair value of the amount receivable, which will generally be the expected cash amount to be distributed to the Charity, can be reliably measured. Grants are includsd in the Consolidated Statement of Financial Activities on a receivable basis. The balance of income received for specific purposes but not expended during the period is shown in the relevant funds on the Balance sheet. Where income is received in advance of entitlement of r8C8iPt, its recognition is deferred and included in creditors as def@rr8d income. Where entitlement occurs before income Is recelved, the Income Is accrued. Gifts in kind donated for distribution are included at valuation and recognised as income when they are distributed to the projects. Gifts donated for resale are included as income when they are sold. Where the donated good is a fixed asset, it is measured at fair value, unless it is impractical to measure this reliably, in which case the cost of the item to the donor should be used. The gain is recognised as income from donations and a corresponding amount is included in the appropriate fixed asset class and depreciated over the useful economic life in accordance with the Charity's accounting policies. On receipt. donated professional serviGes and facilities are recognised on the basis of the value of the gift to the Charity which is the amount it would have been willing to pay to obtsin ServIS or facilities of equivalent economic benefit on the open market., a corresponding amount is then recognised in expendilure in the period of receipt. Incom8 tax r8COV8rabl8 in relation to donations raceived under Gift Aid or deeds of covenant is recognised at the time of the donation. Income tax recoverable in relation to investment incorne is r8cognised at the time the investment income Is re1Vable. Other income is recognised in the period in which it is receivable and to the extent the goods have been provided or on completion of the service. Page 22
NIGHTINGALE HOUSE HOSPICE (A company limitsd by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Accountlng pollcies (Gontinuod) 2.5 Expendlture Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefft to a third paty. it is probable that a transfer of economic beneflts will be required in settlement and the amount of th8 obligation can b8 measur8d reliably. Expenditure is classified by activity. The costs of each acttvity are made up of the totsl of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attrlbutsble to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attrfbutable to a sirKJle activity are apportioned between those activities on a basis consistent with the use of rèsourc8s. Central staff costs are allocated on the basis of time spent. and depreciation charges allocated on the porlion of the asset's use. Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs. All exp8nditur8 is inclustV8 of irrecoverable VAT. 2.6 Interest receivable Interest on funds held on deposlt Is Included when receivable and the amount can be measured reliably by the Group. this is normally upon notification of the interest paid or payable by the institution with whom the funds are deposited. 2.7 Tangible red assets and depreciation Tangible fixed assets costing £500 or more are capitalised and recognlsed when future economic benefits are probable and the cost or value of the asset can be m8asured reliably. Tangibl8 fixed assets are initially recognised at cost. After recognition, under the cost model, tangible fixed assets are measured at cost less accumulated depr8ciation and any accumulated impairment losses. All costs incurred to bring a tanglble fixed asset into its intended working condition should be included in the m6asurem8nt of cost. Depreciation is charged so as to allocate the cost of tsngible fixed assets less their residual value over their estimated useful lives, using the straight-line method. Depreciation is provided on the following bases: Freehold propety Long-term leasehold property 50 years Ov8r th8 shorter of the remaining lease term or remaining lease term or remaining expected useful life of the asset on a straight line basis Modernisation Project- Over 20 years Over 5- 10 years straight line Over 3-5 years on a straight line basis Over 3-10 years on a Straight line basis Over 3 years on straight line basis Plant and machinery Motor vehicles Fixtures and fittings Office equipment Page 23
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Accounting poliGies {continued) 2.8 Investments Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance sheet date, unless the value cannot be measured reliably in which case it is measured at cost less impairmenl. Investment gains and losses, whether realised or unrealised, are combined and presented as 'Gainsl(Losses) on investments, in the Consolidated Statement of Financial Activities. Investments in subsidiaries are valued at cost less provision for impairment. 2.9 stocks stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads. 2.10 Debtors Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 2.11 Cash at bank and in hand Cash at bank and in hand Includes cash and short-temi highly liquid investments with a short maturity of thr88 months or less Irom the date of acquisition or opening of the deposit or similar aunt. 2.12 Liabilities Liabilities and provisions are recognised when there is an obligation at the Balance sheet date as a result of a past event. it is probable that a transfer of economic benefit will be required in settlement, and the amount of Ihe settlement can be estimated reliably. Liabilities are recognised at Ihe amount that the Chartty anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to Ihe liability. The unwinding of th8 discount is recognised in the Consolidated Statement of Financial Activities as a finance cost. 2.13 Flnanclal Instruments The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognis8d at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortis@d cost using the effective interest method. Page 24
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guaranfee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Accountlng policies (Gontlnued) 2.14 Penslons The Charity contributes to the National Health Service Pension Schem8 (a defined contribution scheme) for those employees who are eligible. a defined contribution group pension plan und8r auto enrolment and contributes to the personal pension plans of other participating employees. 2.15 Fund accounting General funds are unrestricted funds vthich ar8 available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and 8dministering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. Investment income, gains and losses are allocated to the 8ppropriat8 fund. Critical accounting estimates and areas of judgment Estirnales and judgments are continually evaluated and are based on historical experience and other factors, induding expectations of future events Ihat are believed to be reasonable under the circumstances. Critical accounting estimates and assurnptions: The Charity makes estimates and assumptions conceming the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. In the oplnlon of the trustees there are no estimates and assumptions that have a slgnlflcant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. Page 25
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR TrIE YEAR ENDED 31 DECEMBER 2023 InGorno from donations and legacles Unrestrictsd Restricted funds funds 2023 2023 Total funds 2023 Total fvnds 2022 Gift Aid on Donations Donations GAYE (donations via companies) Challenge Activilies Legacies and Bequests Collections Covenants 157.477 533.286 2,030 142,264 880.945 34.991 2,103 73,752 157,4n 782,345 2,030 142,264 880,945 34,991 2,103 73,752 109.326 482.382 1.980 212,081 1, 025,129 38,574 1,828 249,059 Legacies Betsicadwaladr University LHB - Core funding Profits Transferred Under Gift Aid 916,708 312.681 916,708 312,681 931,675 218.903 Total 2023 3.305.296 3,305,296 3,021,878 Tot812022 2,963,017 58,861 3,021,878 Income from charitable activities Restricted funds 2023 Total funds 2023 Total funds 2022 Grant income 669,164 669,164 48,938 Total 2023 669,164 669.164 48.938 Total 2022 48,938 48.938 Page 26
NIGHTINGALE HOUSE HOSPICE {A Gompany limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2023 Income from other trading activities Income from non charitable trading activities Unrestrlcted funds 2023 Total funds 2023 Total funds 2022 Cat8ring services Fundraising Merchandise 3.096 254.246 10.476 12,000 10,635 56,370 1,297,374 763,836 3,096 254.246 10.476 12,000 10,635 56,370 1,297,374 763,836 2,581 198,892 17,705 12,000 66.517 65, 779 1,202,161 803,205 Rental Miscellaneous Income Campaign income Income from Nightingale House Promotions Income from Nightingale House Lottery Total 2023 2,408,033 2.408.033 2,368.840 Total 2022 2,368,840 2,368,840 Page 27
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2023 Investment income Unrestri¢ted funds 2023 Total funds 2023 Total fvnds 2022 Dividends Bank Inter8St Feed in Tariff 32,069 47.510 18.605 32,069 47.510 18,605 27,191 1,450 15.723 Total 2023 98,184 98,184 44,364 Total 2022 44,364 44,364 Expenditure on raising funds Other charitable trading exponses Unrestricted funds 2023 Total funds 2023 Total fvnds 2022 Nightingale House Hospice- fundraising expenses Nightingale House Promotions - expenses Nightingale House Lottery - expenses Subsidiary companies - staff costs Subsidiary companies - depreciation 212.361 537,540 249,302 600,968 30,517 212,361 537,540 249.302 600.968 30.517 145,971 586,471 251,350 581,940 31,650 Total 2023 1.630,688 1,630,688 1.597,382 Total 2022 1,597,382 7.597,382 Page 28
NIGHTINGALE HOUSE HOSPICE (A company limited by guaranlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Analysis of expenditure by activities Activities undertaken directly 2023 Support costs 2023 Total funds 2023 Total funds 2022 Charltable activities 403,484 3,599.320 4.002,804 3,654.668 Total 2023 403,484 3,599,320 4,002.804 3.654,668 Total 2022 354,239 3.300,429 3, 654,668 Analysis of direct costs Charltsble actlvltles 2023 Total funds 2023 Total funds 2022 Travel Ambulance running costs & other Hospice vehicles Educational training Repairs and renewals Insurance Audit and accountancy Legal and professional Equipment lease Bank charges & interest 1,040 11,121 26,888 99,320 13.828 22.896 150,671 60,946 16,774 1,005 9, 583 15,841 78,391 17,728 18,969 146,667 50.393 15,662 11,121 26,888 99,320 13,828 22.896 150,671 60,946 16,774 Total 2023 403,484 403,484 354,239 Total 2022 354,239 354,239 Page 29
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Analysis of expenditure by activities (contlnued) Analysis of support costs Charitable activities 2023 Total funds 2023 Total fvnds 2022 Stsff costs (includes ag8ncy costs) Depreciation General running costs Catering provisions 2.928,755 265,173 378.183 27.209 2,928,755 265,173 378,183 27,209 2, 780.381 265.299 229,216 25,533 Total 2023 3.599.320 3,599,320 3,300.429 Total 2022 3.300,429 3,300.429 10. Auditors. remuneration 2023 2022 Fees payable to the Group's auditor for the audit of the Group's annual accounts Accounts preparation and other services 15,650 3,950 14,500 3,650 11. Stsff c¢y3ts Group 2023 Group 2022 Charity 2023 Charity 2022 Wages and salaries Social security costs Contribution to defined contribution pension schemes 3,131.570 253,021 3,030, 708 227. 729 2,584292 212.484 2,497,943 190,928 145,132 103.884 131,979 91,510 3,529,723 3,362,321 2,928.755 2, 780,381 Page 30
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 11. Staff costs (continued) The average numb&r of persons employed by the Charity during the year was as follows: Group 2023 Group 2022 Charity 2023 No. Chai7ty 2022 No. Clinical and domiciliary Fundraising Commercial trading operations Administration and maintenance 56 15 30 20 53 14 30 17 56 53 15 14 20 17 121 114 91 The number of employees whose 8mploy8e benefits {excluding employer pension costs> exceeded £60,000 was: Group 2023 Gmup 2022 No. In the band £60,001- £70,000 Total remuneration of the personnel considered to be key management of the group was £292,109 (2022: £232.531). 12. Trustees. remuneratlon and expenses During the year, one Trustee has been paid remuneration or has received other benefits from an employment with the Charity. The remuneration was paid to the Trustee for th8ir role as Director of Finance following approval from the Charity Commission. Remuneratlon of £12.968 (2022 - £3,019) and national insurance contributions of £534 (2022 - £108) were paid to the Twstee in spect of his employment. During the year ended 31 December 2023. no Twstee expenses have been incUed (2022 - £Nil). Page 31
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarantoe) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2023 13. Tangible fixed assets Group Leasehold Plant, Freehold property & Motor Flxtures and Assets under property Improv8m8nts vehicles Equipment construction Total Cost or valuatlon At 1 January 2023 Additions Disposals 5,000 5,513.861 5.407 (161,474) 60.025 1,437,870 12,991 (191,182) 85,650 7,102,406 2,174.055 2,192,453 (352,656) At 31 December 2023 5,000 5,357,794 60,025 1,259,679 2,259,705 8.942,203 Depreciation At 1 January 2023 Charge for the year On disposals 1,878,943 46.164 1.127,910 3,053,017 197.953 (67.831) 7,852 89,888 (186,280) 295,693 (254,111) At 31 December 2023 2.009,065 54.016 1,031,518 3.094,599 Net book value At 31 December 2023 5.000 3,348,729 6,009 228,161 2,259.705 5,847.604 At 31 December 2022 5, 000 3,634,918 13,861 309.960 85, 650 4,049,389 Page 32
NIGHTINGALE HOUSE HOSPICE {A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 13. Tanglble flxed assels (contlnued) Charity Laasehold Plant, Freehold property & Motor Fixtures and Assets under property improvoments vehicles Equipment constructlon Total Cost or valuation At 1 January 2023 Additions Disposals 5,000 5,513,091 5,407 (161,474) 39.692 1,084,264 7,496 {191,182) 85.650 6,727,697 2,174.055 2,186,958 (352,656) At 31 December 2023 5,000 5,357,024 39.692 900,578 2,259.705 8.561,999 Depreciation At 1 January 2023 Charge for the year On disposals 1,878,173 197,953 (67,831) 25,831 7,852 909,674 59.370 (186,280) 2,813,678 265,175 (254,111) At 31 December 2023 2.008,295 33.683 782.764 2,824,742 Net book value At 31 December 2023 5,000 3,348,729 6,009 117,814 2,259,705 &737,257 At 31 December 2022 5,000 3,634,918 13,861 174,590 85.650 3,914.019 Page 33
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 1& Fixed asset investments Listed investments Group Cost or valuatlon At 1 January 2023 Additions Disposals Revaluatlons 1,245,325 484,931 (446,811) 61,701 At 31 D8C8mber 2023 1,345.146 Nel book value At 31 December 2023 1,345,146 At 31 December 2022 1.245,325 Llsted investments Charity Cost or valuatlon At 1 January 2023 Additions Dlswsals Revaluations 1,245,325 484,931 (446,811) 61,701 At 31 December 2023 1,345,146 Net book value At 31 December 2023 1,345.146 At 31 December 2022 1,245,325 Page 34
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER2023 15. Stocks Group 2023 Group 2022 Charlty 2023 Chsrity 2022 Finished goods and goods for resale 17,213 13,053 3,605 3,344 16. Debtors Group 2023 Group 2022 Charlty 2023 Charity 2022 Due within one year Trade debtors Amounts owed by group undertakings Other debtors Prepayments and accrued income Tax recoverable 48,601 27,188 48.601 215,914 1,004,036 48,247 43.219 27, 188 832.877 440,500 41.035 1T.276 1.004.719 84.593 43,219 440,502 83,272 17.276 1.181.132 568,238 1,360.017 1,358,876 17. Creditors: Amounts falling due within one year Group 2023 Group 2022 Charlty 2023 Charity 2022 Payments received on account Trade creditors other taxation and social security other creditors Accruals and deferred income 76,075 115,599 82.889 38.777 358.319 90.169 135.226 91,886 34,719 229.917 520 100,667 71,363 38.777 308,352 12,817 114,226 81,077 34,719 132, 130 671,659 581.917 519,679 374,969 Payments on account relate to Lottery stakes received in advance. These are released in full to the profit and loss account as and when players are entered into the weekly cash prlze draw. Page 35
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarnntee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 18. Provisions Group Penslon provision At 1 January 2023 Amounts used 9,850 (265) At 31 December 2022 9,585 Charity Penslon provision At 1 January 2023 Amounts used 9,850 (265) At 31 December 2022 9,585 Penslon Provlslon The calculation of the cost of the earfy retirement is based on the capital cost of providing enhanced P8nsions with allowanc8 for futur8 inv8Stm8nt retums in excess of price inflation. Page 36
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 19. Statement of funds Statement of funds - current year Balance at 31 Galnsl December (Losses} 2023 Balance at January 2023 Transfers Inlout Income Expenditure Unrestrlcted funds Deslgnated funds Tanglble fixed assets Propety maintenance and repair Subsidiaries- tangible fixed assets 2,268,323 1,339,193 3,607,516 50,000 so,000 135,370 5,495 (30,517} 110.348 Modemisation Fund 1,500,000 (1.270,871) 229,129 3,953,693 SA95 (30.517) 68,322 3,996,993 General funds Charity Funds 2.256,100 5,806.018 (5,384,062) {68,322} 82,771 2.692,505 Total Unrestricted funds 6,209,793 5.811,513 {5,414,579) 82,771 6,689,498 Page 37
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 19. Ststement of funds (contlnued) Restricted funds Hospice Property Fund Welsh Assembly Grant - capital Phase 1 Development Income Phase 2 Development Income Phase 3 D8V8lopment Income Phase 4 Development income Sundry Restricted Funds (<£5k) CIN The Albert Hunt Trust In memory donation Welsh Govemment 984,735 {56,304> 928,431 155,461 (22,672) 132,789 153,858 (9,140) 144,718 341,892 (19,087) 322,805 9,750 {500) 9,250 594224 12.476) 591,748 19,636 5,159 33,200 (18.953) (33,200) 5,842 8,864 8.864 20.000 {20,000) 36,$81 (36.581) 1,694,196 669,164 {218,913) 2,144,447 Total of funds 7,903,989 6,480,677 (5,633,492) 82,771 8.833.945 Page 38
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarantge) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 19. Statement of funds (continued) Statement of funds - prlor year Balance at 31 December 2022 8alance at l January 2022 Transfers in/out Gains/ (Losses) Income Expenditure Unrestricted funds Deslgnated funds Tangible fixed assets Property maintenan and repalr Subsldlades- tangible fixed assets Modemisation Fund 2, 176.121 92,202 2,268,323 100,000 (50,000) ,000 161,700 (26.330) 135,3TO 580.927 919.073 1,500,000 3.Oq8. 748 934,945 3.953,693 General funds Charity Funds 3,067, 755 5,376,221 (5,070.587) (929,945) (187,344) 2,256,100 Total Unrestricted funds 6.086,503 5,3T6.221 (5.070.587) 5,000 (187.344) 6,209, 793 Page 39
NIGHTINGALE HOUSE HOSPICE {A company Ilmltsd by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 19. Statement of funds (continued) Restrlcted funds Hospice Propety Fund Welsh Assembly Grant - capital Stsff Fund Phase 1 Development Income Phase 2 Development Income Phase 3 Development Income Children in Need Awyr Las SLrndry Restricted Funds (<£5k) . The Albert Hunt Trust Screwfix Foundation DTCC Corporate Donation In memory donation Welsh Govemment 1.041.039 (56,304) 984, 735 178,133 280 (22,672) (280) 155,461 162,998 (9, 140) 153,858 360,979 (19,087) 341,892 10,000 30.000 (250) (30.000) (3.036) 9. 750 3,036 6.395 28.861 (15.620) 19,636 10.000 (7,136) 8,864 5.000 (5,000) 5,000 (5,000) 20,000 20,000 18,938 (18,938) 1,772,860 107, 799 (181,463) (5,000) 1,694, 196 Total of funds 7,859,363 5,484,020 (5,252,050) {187,344J 7.903,989 Page 40
NIGHTINGALE HOUSE HOSPICE (A company Ilmlted by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Restricted Funds The Hospi Propety Fund was set up initially in 1994 from grants received for the constnjction of the Hospice building. Since 1994 additional grants have been received for refurbishment and improvements of the building and also the building of a new annex. These grants have been fully spent and the value carried fOard relates to the value within Fixed Assets - Long Leasehold Property. Welsh Assembly funding was part of a three year developrnent plan for the Hospice. Grants reiVed relate to specific capital projects. The amount carried fOard relates to capital expenditure. For all capital expenditure the amounts carried forward relate to either the net book value of the assets purchased or monies unspent at the year end. If a grant or donation was received towards the capital cost and the monies have been fully spent, then so long as no other restrictions are outstanding, Ihe net book value may b8 transferred out of restricted funds to unrestricted funds. Phase 1 fund relates to grants and donations received towards Phase 1 of the redevelopment. Phase 2 fund relates to grants and donations received towards Phase 2 of the redevelopment including a significant contribution from The Bradbury Foundation. Phase 3 fund relates to grants and donations received towards phase 3 of the redevelopment. Phase 4 fund relates to grants and donations received towards phase 4 of the redevelopment including slgnificant contributions from The Bradbury Foundation, The Bemard Sunley Foundation and The Sir Donald and Lady Edna Wilson Charitsble Trust. Sundry restricted funds represent a number of smaller donations (= to or <£5k) received in the year for specific purposes. The Albert Hunt Trust fund is towards Here lo Help Community information points. Welsh Govemment income relates to a bereavement support grant. Designated Funds The property Maintenan and repair fund was established in 2005 to provide towards future repair costs. Tangible fixed assets represents the net book value of tangible fixed assels at 31 D8C8mber 2023 purchased using unrestricted funds. The modernlsation fund represents the contrfbution to be made by the Hospi to th8 thase 4 modernisation. General Fund Th8 General Reserve includes the reserves of the Promotions Company which amount to £298.699 and the reserves of the Lottery Company which amount to £8,149. Page 41
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Analysls of net assets between funds Analysis of net assets between funds - current year Unrestricted Restrlcted funds funds 2023 2023 Total funds 2023 Tangible fixed assets Fixed asset investments Current assets Creditors due within one year Provisions for liabilities and charges 3,717,863 1,345,146 2,307,733 (671,659) (9,585) 2,129,741 5,847,604 1,345.146 2,322A39 (671.659) (9,585) 14,706 Totsl 6,689,498 2,144,447 8,833.945 Analysis of net a8sets between funds - prior year Unrestricted runds 2022 Restricted funds 2022 Tot81 funds 2022 Tangible fixed assets Fixed asset investments Currenl assets Creditors due within one year Provisions for liabilities and charg8S 2,403, 693 1,245,325 3, 152,542 (581,917) (9,850) 1. 645, 696 4,049,389 1,245,325 3,201,042 (581,917) (9,850) 48,500 Total 6,209, 793 1,694, 196 7,903,989 Page 42
NIGHTINGALE HOUSE HOSPICE (A company limitsd by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 Reconciliation of net movemgnt in funds to net cash flow from operating activities Group 2023 Gmup 2022 Net incorne for the year (as per Statement of Financial Activities) 929,956 44,626 Adjustments for: Depreciation charges Dividends, int8r8Sts and rents from investments Lossl(profit) on the sale of fixed assets Decreasel{incr8as8) in stocks Decreasel(increas8) in debtors Increase in cr8ditors & provisions (Gainyloss on disposal of investments 295.693 (98,184) 98,545 (4.160) {612.894) 89,477 199,821) 296.950 (44,364) (6, 173) 7,506 34.644 29,108 176. 705 Net cash provided by operating activlties 598.612 539.002 22. Analysis of cash and cash equivalents Group 2023 Gmup 2022 Cash in hand 1,124,094 2,619.751 Total cash and cash equlvalents 1.124,094 2,619,751 23. Analysis of changes In net debt At1 January 2023 Cash flows At31 December 2023 Cash at bank and in hand 2.619,751 (1,495.657) 1,124,094 2.619.751 {1,495,657) 1,124,094 Pag8 43
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 24. Contlngent Ilabllhles A restricted grant of £300,000 was received in 2007 from the Big Lottery towards the cost of the new annex at the Hospice. The terms and Conditions of the grant remain in for for the remaining tenn of the lease which 8xpir8s in 2119 and included the requirement to potentially r8nd th8 grant if the annex is sold or no longer used for charltable purposes. The land is held under Ilcence from Betsi Cadwaladr University Local Health Board. 25. Penslon commitments The charitable company makes contributions to certain pensions scheme for its employees. One of the schemes for eligible employees is the NHS Superannuation Scheme (a d8fin8d contribution scheme). The level of contributions to this scheme is detemlned annually by the NHS Pensions Agency. Th8 hospice has no further liability beyond the contributions determined. The rate of employer contribution during the year was 14.380/0 and the charge for the year was £89,335 (2022: £48,259). The amount outstandlng relatlng to thls scheme at 31 Dernber 2023 was £15,462 (2022: £10,497> and this was paid in January 2024. The Hospice also contributes to a group scheme under auto-enrolment with NOW Penslons and to c@rtain participating employees, personal pension plans. The charg8 for the period was £54.516 (2022: £54,099). The amount outstanding at 31 December 2023 was £12,886 (2022: £14.667) and this was paid in January 2024. The Hospice also contributes to a a private penslon for tsrtaln participating employees. The charge for the period was £1.630 (2022: £3.212). The amount outstanding at 31 December 2023 was £75 (2022: £827) and this was paid in January 2024. 26. Operating lease commitments At 31 December 2023 the Group and the Charity had commitm8nts to make future mlnlmum lease payments under non-cancellable operatlng leases as follows.. Group 2023 Group 2022 Charity 2023 Charity 2022 Not later than 1 year Later than 1 year and not later than 5 years Later than 5 years 121,757 262,993 46,395 146,843 376,083 52,396 21,049 2,576 21,049 23,625 431,145 575,322 23,625 44,674 Page 44
NIGHTINGALE HOUSE HOSPICE (A company limited by guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2023 27. Related party transactlons During the year. the Charity made purchases of £Nil (2022.. £70) from Cutting Edge Landscape Maintenance IWM) Ltd. The managing director of this company is married to a Trustee. The balance outstanding at year end was £Nil (2022.. £Nil). During the year. the Charity made purchases of £3,627 (2022.. £Nil) from DTM Legal LLP for the provision of legal SeNIS. A Trustee of the Charity and his spouse are Designated Members of thls company. The balance outstanding at year end was £Nil (2022: £Nil). The Charity has not entered into any other related party transaction during the year. nor are there any outstanding balances owing between related parties and the Charity at 31 December 2023. Page 45