Future Care Capital (a company limited by guarantee)
Annual Report and Financial Statements
31 August 2023
Company Registration Number 02887166 Charity Registration Number 1036232
Contents
| Reports | |
|---|---|
| Reference and administrative details | 1 |
| Trustees’ report | 2 |
| Independent examiner’s report | 10 |
| Accounts | |
| Statement of financial activities | 11 |
| Balance sheet | 12 |
| Statement of cash flows | 13 |
| Principal accounting policies | 14 |
| Notes to the accounts | 17 |
Future Care Capital
Reference and administrative details 31 August 2023
| Patron | Her Late Majesty, The Queen |
|---|---|
| Trustees | Andrew Whelan – Chair |
| Irene Gray | |
| Neil Churchill | |
| Lise Pape | |
| Jonathan Steel | |
| Michael Dumigan | |
| Jonthan Huggett (resigned 2 June 2023) | |
| Rohit Talwar (resigned 23 September 2022) | |
| Principal address and registered office | Thomas House, |
| 84 Eccleston Square, | |
| Pimlico, | |
| London, | |
| SW1V 1PX | |
| Charity number | 1036232 |
| Company number | 02887166 |
| Independent Examiner | Buzzacott LLP |
| 130 Wood Street | |
| London | |
| EC2V 6DL | |
| Legal advisers | Anthony Collins |
| 134 Edmund Street | |
| Birmingham | |
| B3 2ES |
Future Care Capital 1
Trustees’ report 31 August 2023
The Trustees of Future Care Capital present their statutory report together with the financial statements for year to 31 August 2023.
The report has been prepared in accordance with Part 8 of the Charities Act 2011 and equates to a directors’ report for the purpose of company legislation.
The financial statements have been prepared in accordance with the accounting policies on pages 14 to 16 of the attached financial statements and comply with the charitable memorandum and articles of association, applicable laws and the requirements of Statement of Recommended Practice “Accounting and Reporting by Charities: Statement of Recommended Practice” applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102).
Governance, Structure and Management
Governance
Future Care Capital is a charitable company limited by guarantee. It is governed by its Memorandum and Articles of Association adopted 11 March 1984 and last amended in January 2021.
Trustees
The Trustees of Future Care Capital (“the Charity”) are the charity’s Trustees under charity law and the directors of the charitable company. The Trustees who served in office as Trustees during the period and subsequently are:
Trustees
Andrew Whelan – Chair Irene Gray Neil Churchill Lise Pape Jonathan Steel Michael Dumigan Jonathan Huggett (resigned 2 June 2023) Rohit Talwar (resigned 23 September 2022)
Future Care Capital benefits from a committed Board of Trustees who bring a breadth of managerial experience and give their time generously to serve on the Board as well as to help promote the charity. The Board of Trustees sets the vision, strategic goals, plan, and budget - monitoring their implementation, determining the policy for investment of Future Care Capital’s reserves, and ensuring the organisation complies with relevant legislation and regulations.
During the financial year the Board of Trustees met eight times. The Board of Trustees continued to elect to suspend the regular activities of its sub-committees and deal with all matters as a full Board.
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Trustees’ report 31 August 2023
Governance, Structure and Management (continued)
Trustees (continued)
New trustees, including the Chair, are appointed for a four-year period, and they can be reappointed at the end of their term of office for a further four years. In January 2021, the Articles of Association were amended to allow the current Chair, Andrew Whelan, to remain as a trustee and chairperson until February 2025. The Charity follows an induction process for all new trustees.
The Chair and Trustees do not receive remuneration for their work with the Charity, however they are entitled to reimbursement of expenses solely connected with the discharge of their duties. In the financial year expenses totalling £357 were claimed by Trustees (2022 – £nil).
At each Board meeting, trustees make declarations regarding any conflict of interest. During the financial year there were no declarations of activities with related parties, or co-operation with other organisations connected with the Charity from which trustees had received benefits. The Charity’s policy regarding conflicts of interest is set out in its Articles of Association and it acts in full compliance with Charity Commission Guidelines and best practice.
Third party professional indemnity insurance is provided for the trustees to cover them against claims that may arise from their legitimate actions as trustees.
Operational management
Key decisions are managed through the Board of Trustees. However, authority relating to the day-to-day organisation of the Charity is delegated to the Chief Executive Officer (CEO) who is responsible for developing and implementing plans, products and services within the overall guidelines and policies set by the Trustees.
Following the resignation of the previous CEO in April 2022, the Board of Trustees engaged an Adviser to the Board pending recruitment of a permanent CEO in-line with the organisation’s strategy.
Risk management
The Risk Register was maintained and updated during the year in line with the detailed risk management framework. This involves identifying the risks faced by the organisation, prioritising these in terms of potential impact and likelihood of occurrence and identifying means of mitigating the risks. Risk management is an integral part of decision making and routine management.
Risks are categorised under reputational, operational, financial, governance, and environmental/external. The day-to-day management of risk is delegated to the executive team, with regular reviews by the Board of Trustees.
Public benefit
In formulating Future Care Capital’s strategy and planning future activities, the Trustees have given careful consideration to the Charity’s public benefit aims and have complied with the duty in Section 17 of the Charities Act 2011 to have regard to public benefit guidance published by the Charity Commission.
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Trustees’ report 31 August 2023
Governance, Structure and Management (continued)
Public benefit (continued)
Continuous monitoring ensures the Charity’s operations and activities remain in line with public benefit. Furthermore, the Charity has built on its existing measures of impact and introduced a new framework to track how it achieves its wider goals and objectives. All charitable functions are linked and regularly reviewed to ensure they continue to meet public benefit regulations.
Future Care Capital’s vision and mission show that it is committed to facilitating and leading the beneficial transformation of health and care provision for its beneficiaries – all those in receipt of care.
Financial review
Results for the period
A summary of the period’s results is given on page 11 (SOFA) of the financial statements.
The principal funding source for Future Care Capital is the Investment Portfolio managed by Evelyn Partners. This included net investment losses of £319k (2022 – losses of £655k) and other income from the investment portfolio and cash holdings of £211k (2022 - £138k). £25k (2022 – £39k) was received in revenue from grants and consultancy. Despite challenges in delivering operational revenue, Trustees remain confident that this will not materially impact the Charity’s operations going forward, given the size of the Charity’s Investment Portfolio.
In the year ended 31 August 2023 total expenditure was £830k (2022 - £999k), of which £73k (2022 - £152k) was related to expenditure on the Innovation Fund start-up activities. Expenditure in the period supported the key objectives as set out on page 5.
Pension fund
The Charity has a historical pension liability with The Camden Pension Fund. This liability relates to a former member of staff and has been revalued by an actuary as at 31 August 2022. Further explanation can be found within the principal accounting policies on page 14.
Reserves policy
Future Care Capital held free reserves of £8,415k (2022 - £9,308k) at the year end.
The Charity’s reserves policy is determined using a risk-based approach that considers current reserves, forecast income & expenditure and the degree of certainty other future income.
In setting the reserves policy the Board has agreed to hold a minimum of the sum of the total outstanding planned capital exposure for the investment plan, totalling £2m, plus a 12-month forecast of operating expenditure based on the approved annual budget. Reserves are currently significantly above the level required by the policy.
Future Care Capital 4
Trustees’ report 31 August 2023
Investment policy and performance
The Trustees have invested Future Care Capital’s assets in accordance with the Trustees’ powers and responsibilities under the Charities Act 2011 and in accordance with the Memorandum and Articles of Association. The Charity’s reserves continue to reside in a managed portfolio administered by Evelyn Partners. The Evelyn Partners’ investment mandate incorporates provisions around ethical investing, including restrictions on the types of investments held - for example alcohol, tobacco, gambling, and armaments through negative screening.
The Charity continues to hold a direct, mixed motive investment in Healthera valued at £250k. Following the year end as part of the Charities investment strategy, £3m was committed to an investment in the RYSE Special Opportunities Fund of which £1m has been drawn; the remaining £2m has be ring-fenced for future drawdown calls.
Charity objectives
The advancement of health and relief of sickness by promoting or facilitating the improvement of health and care provision. The charity will achieve this primarily, but not exclusively, through:
-
the promotion of collaboration between stakeholders including policymakers, commissioners, researchers, practitioners and recipients of care to design and test better health and care solutions;
-
understanding the experience of beneficiaries and devising ways to improve their experience in the sector;
-
the promotion of practical improvements in the provision of health and care including supporting and encouraging innovation;
-
the education of commissioners, providers, regulators and the wider public in relation to best practice and health and care provision.
Mission
Our mission is to address the question of what a functioning, fit-for-purpose health and care system should look like and how we get there.
Future Care Capital’s voice
Our voice will convey the perspective of our beneficiaries, through emotive, human storytelling of lived experience using plain language.
Strategic approach
Our approach will be to follow the thread from research / analysis to impact initiatives through to articulating a Future Care Capital point of view tied to our overall Mission and Beneficiaries.
Our research and analysis is centred on synthesis, being at the forefront of thinking, building on the extensive work of stakeholders. Any new proprietary research shall ‘fill the gaps”. Future Care Capital’s approach is differentiated and credible, bringing a value adding perspective to a problem.
Future Care Capital 5
Trustees’ report 31 August 2023
Strategic approach (continued)
Our impact initiatives draw on best practice and/or Exemplars demonstrated by other parties as well as running our own to address new issues or fill the knowledge gaps. We will do this by convening a (unique) set of people to inform a better solution. Crossing boundaries and connection drives innovation by opening mindsets to consider different models. This can be achieved by cross-selling existing solutions to other geographies, upselling the power of convening to solve other problems, using other Exemplars and Future Care Capital’s methodology.
Future Care Capital should have a point of view on the big issues of the day and be able to articulate that, whether or not it has undertaken research, analysis, or Exemplars itself. Many issues of the day are a function of boundaries within (and between) the system. We aim to be at the forefront of accelerating the development of appropriate products and services, and/or their commissioning.
Through investment, Future Care Capital aims to reinvest profit and capital to further it’s organisational Mission and achieve a commercial return.
FCC builds credibility to effect change in health and care by convening a (uniquely) relevant set of perspectives to create solutions that don’t just rely on the same answers; demonstrating to the system that solutions are possible and can work, drawing on ideas of what works from our own body of work and that of others, avoiding the risk of the system talking to itself, enabling. NHS and social care stakeholders respond to specific, practical support on real issues, real insights, and real solutions rather than high level insight and perspectives, and sparking a movement that people support and moves without us.
Medium-term objectives
The national debate has changed to be more focused on people rather than budgets and funding, for example. People are supported by appropriate health and care constituents, which/who in turn are enabled by the system. Today, too often, it feels that people are not well supported, and health and care professionals are effective despite the system not because of it. This needs to change to enable Practitioners to be empowered to do the right thing. Future Care Capital will have the skills and competencies to deliver on its Mission at any point in time.
Review of significant activities undertaken to achieve charitable objectives
Community of Practice Collaboration with the Health Foundation
Future Care Capital concluded its work with the Health Foundation with the project achieving its aim of connecting practitioners, policymakers, academics, and innovators on the use of social care data.
Health and Social Care Workforce: Wellbeing, Integration and Sustainability
Future Care Capital, Talent for Care and Care England, along with senior leaders in the NHS and Social Care, have been working together over the past year to improve wellbeing, integration and sustainability of the Health and Social Care workforce. This highly interactive, in-person event, offered Health and Social Care leaders the opportunity to share what works and what doesn’t, challenge artificial boundaries and explore much-needed innovation for the sustainability of the Health and Social Care workforce.
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Trustees’ report 31 August 2023
Review of significant activities undertaken to achieve charitable objectives (continued)
Digital Health & Care Innovation Centre (Scotland)
The Digital Health and Care Innovation Centre (DHI) and Future Care Capital have agreed a multi-year innovation partnership to encourage and nurture collaboration with developers of digital technologies, starting with a focus on the promotion of mental wellbeing and supporting those with mental health challenges. DHI is part of the Scottish Funding Council’s Innovation Centre Programme and one of seven innovation centres funded by the Scottish Government and Scottish Funding Council, which supports transformational collaboration between universities and businesses.
Innovation support for implementation of immersive technologies
Future Care Capital has identified how to reduce the barriers by adopting innovation solutions for mental health diagnosis and treatment, utilising immersive technologies. Using this knowledge, Future Care Capital has further developed the role and implementation of immersive technologies in health and social care education to accelerate closure of the skills gap. By bringing together key stakeholders (clinical, academic and third parties) through accelerators, panel discussions and other opportunities in all the devolved nations.
Innovation fund set-up and direct investment
As a precursor to establishing our own commercial investment fund, the Charity has now partnered and invested in the RYSE Special Opportunities Fund. This fund is focused on investing in innovative companies aligned to our mission and vision.
Current year objectives
The Charity’s priority for the 2023/2024 financial year is to develop and prove a sustainable revenue-generating operational model aligned to its mission and vision. Future Care Capital is becoming recognised as being a capable partner, enabling others to succeed alongside us. Our approach allows us to be flexible but focused. We shall centre on three themes within which we have identified a number of project opportunities, right across the UK. These are:
-
Accelerated Development and Implementation of Innovative Solutions
-
Improving Access to and Efficacy of Care and Support
-
Advocacy
While technology can appear as a threat to many, at Future Care Capital we believe it offers much potential.
We shall continue to be responsive to impact opportunities and by the end of the 2023/2024 financial year, we aim to:
-
Generate impact for commissioners, providers and critically, patient service users with specific examples that will fuel additional opportunities in 2025 and beyond.
-
Launch a funded, sustainable, and collaborative campaign to tackle the stigma of mental health.
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Trustees’ report 31 August 2023
Current year objectives (continued)
-
Facilitate the development of innovation centres in the devolved nations, building on relationships we established in 2023 in Scotland, Wales, and Northern Ireland where the barriers are somewhat lower than England.
-
Use our relationships to amplify our voice dramatically increasing the charity’s profile.
FCCs approach has three core characteristics:
-
We are a great collaborative facilitator breaking down boundaries.
-
We are highly nimble and pragmatic in our approach to address unmet needs.
-
We are independent in our thinking and in our approach.
As part of our business development and strategic approach we tender for appropriate opportunities as they arise. Following our associate model, we have secured the services of a bid manager to work with us.
Going concern
The Trustees have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the Charity to continue as a going concern. The Trustees are of the opinion that the Charity will have sufficient resources to meet its liabilities as they fall due over the next 12 months. Whilst the reserves of the Charity are linked to the Investment Portfolio and there is ongoing uncertainty around investment values, following consideration of the portfolio and the level of reserves, Trustees have concluded that the Charity will have sufficient resources to satisfy it as an ongoing concern. For further detail please refer to the Going Concern note on page 14 of the accounts.
Diversity
Future Care Capital recognises the importance of an inclusive society that brings opportunities and access, not barriers to individuals.
The Charity appreciates the benefits of a diverse workforce and is committed to building a team that captures a range of experiences that bring benefit to individuals and our beneficiaries.
Future Care Capital encourages all people it works with and for, to contribute to an environment in which people feel comfortable expressing how they feel and what they need, knowing they will be treated with fairness and respect and that their contribution will be valued.
The work culture within Future Care Capital reflects the Vision, Mission and Values of the Charity and places inclusion of all abilities and backgrounds at the heart of everything it does. The Charity’s diversity policy complements its organisational values.
Future Care Capital will make reasonable adjustments to support staff, and where appropriate, will offer additional support to individuals to ensure they are able to fully participate in the Charity’s work.
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Trustees’ report 31 August 2023
Fundraising
Future Care Capital does not actively solicit donations directly from the public and therefore is not registered with the Fundraising Regulator and does not subscribe to any fundraising codes of practice. If donations from individuals or trusts and foundations were received, the Charity would ensure personal data is appropriately protected.
Statement of Trustees’ responsibilities
The Trustees (who are also directors of Future Care Capital for the purposes of company law) are responsible for preparing the Trustees’ report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and of the income and expenditure of the charitable company for that period.
In preparing these financial statements, the Trustees are required to:
-
select suitable accounting policies and then apply them consistently;
-
observe the methods and principles in Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102);
-
make judgements and estimates that are reasonable and prudent;
-
state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in operation.
The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies.
Chair of the Board of Trustees - Andrew Whelan 21 March 2024
Future Care Capital 9
Independent examiner’s report 31 August 2023
Independent examiner’s report
I report to the charity trustees on my examination of the financial statements of the charitable company for the year ended 31 August 2023.
Responsibilities and basis of report
As the trustees of the charitable company (and also its directors for the purposes of company law) you are responsible for the preparation of the financial statements in accordance with the requirements of the Companies Act 2006 (‘the 2006 Act’).
Having satisfied myself that the financial statements of the charitable company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity’s financial statements as carried out under section 145 of the Charities Act 2011 (‘the 2011 Act’). In carrying out my examination I have followed the Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
Independent examiner’s statement
I have completed my examination. I confirm that no matters have come to my attention in connection with my examination giving me cause to believe:
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accounting records were not kept in respect of the charitable company as required by section 386 of the 2006 Act; or
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the financial statements do not accord with those records; or
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the financial statements do not comply with the accounting requirements of section 396 of the 2006 Act other than any requirement that the financial statements give a ‘true and fair view’ which is not a matter considered as part of an independent examination; or
-
the financial statements have not been prepared in accordance with the methods and principles of “Accounting and Reporting by Charities: the Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)”.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Hugh Swainson Buzzacott LLP Chartered Accountants 130 Wood Street London EC2V 6DL
25 March 2024
Future Care Capital 10
Statement of financial activities (including income and expenditure account) 31 August 2023
| Notes | 2023 Total funds £000 |
2022 Total funds £000 |
|---|---|---|
| Income from: Charitable activities 1 . Consultancy and grants Other income Investments 2 Total income Expenditure on: Raising funds 3 Charitable activities 4 . Innovation Fund . Policy and insight . Advocacy Total expenditure Deficit for the year before investment gains Net (losses) gains on the revaluation and disposal of investments 9 Net income (expenditure) Other recognised losses: Actuarial gain on revaluation pension liability 13 Net movement in funds 5 Reconciliation of funds Balances brought forward at 1 September 2022 Balances carried forward at 31 August 2023 |
25 9 211 |
39 — 138 |
| 245 | 177 | |
| 61 73 422 274 |
66 152 547 234 |
|
| 830 | 999 | |
| (585) (319) |
(822) (655) |
|
| (904) — |
(1,477) 5 |
|
| (904) 9,466 |
(1,472) 10,938 |
|
| 8,562 | 9,466 |
All other activities of the charity during the above two financial periods were derived from continuing operations.
All recognised gains and losses are included in the above statement of financial activities.
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Balance Sheet 31 August 2023
| Notes | 2023 £’000 |
2023 £’000 |
2022 £’000 |
2022 £’000 |
|---|---|---|---|---|
| Fixed assets Tangible assets 8 Fixed asset investments 9 Mixed motive investment 10 Current assets Debtors 11 Cash at bank and in hand Creditors: amounts falling due within one year 12 Net current assets Total assets less current liabilities Provision for liabilities and charges 13 Total net assets The funds of the charity Unrestricted funds . General funds 15 . Designated funds 15 Total funds |
10 200 |
— 8,320 250 |
7 240 |
— 9,239 250 |
| 8,570 139 |
9,489 135 |
|||
| 210 (71) |
247 (112) |
|||
| 8,709 (147) |
9,624 (158) |
|||
| 8,562 | 9,466 | |||
| 8,415 147 |
9,308 158 |
|||
| 8,562 | 9,466 |
For the year ended 31 August 2023, the company was entitled to exemption from audit under Section 477 of the Companies Act 2006 relating to small companies. The members have not required the company to obtain an audit of its accounts for the year in question in accordance with Section 476.
The trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved and authorised for issue by the Board of Trustees on 21 March 2024.
Chair of the Board of Trustees - Andrew Whelan
Company Limited by Guarantee Registration Number 02887166 (England and Wales)
Future Care Capital 12
Statement of Cashflows 31 August 2023
| Notes | 2023 £’000 |
2022 £’000 |
|---|---|---|
| Cash flows from operating activities: Net cash used in provided by operating activities A Cash flows from investing activities: Purchase of tangible fixed assets Investment income Proceeds from the disposal of investments Purchase of investments Net cash provided by investing activities Change in cash and cash equivalents in the year Cash and cash equivalents at 1 September B Cash and cash equivalents at 31 August B |
(851) | (935) |
| — 211 2,833 (2,624) |
— 138 3,529 (2,176) |
|
| 420 | 1,491 | |
| (431) 741 |
556 185 |
|
| 310 | 741 |
The Charity had a net cash outflow from operating activities of £851k (2022 – outflow of £935k). Cash outflows in 2022 relating to Policy and Insight and associated Advocacy activities as well as set-up activity for the Innovation Fund were not offset by inflows in-year. The charity achieved a net cash inflow from investing activities of £420k (2022 – £1,491k) primarily as a result of the receipt of investment income of £211k (2022 – £138k) and proceeds from investment disposals of £2,833k (2022 - £3,529k) outweighing purchases of £2,624k (2022 - £2,176k). Together, this resulted in a net decrease in cash and cash equivalents in the year of £431k (2022 – net increase of £556k).
Notes to the statement of cash flows for the year to 31 August 2023:
A Reconciliation of net movement in funds to net cash used in operating activities
| 2023 £’000 (904) — 319 (211) — (3) (41) (11) (851) |
2022 £’000 (1,472) (5) 655 (138) 8 64 (37) (10) (935) |
|
|---|---|---|
| Net movement in funds (as per the statement of financial activities) Adjustments for: Actuarial gain Net losses on investments Investment income Depreciation charge (Increase)/decrease in debtors Decrease in creditors Decrease in provision for liabilities Net cash used in operating activities |
||
| Analysis of cash, cash equivalents and net debt | 2023 £’000 |
2022 £’000 240 501 741 |
| Cash at bank and in hand Cash held by investment managers Total cash and cash equivalents |
200 110 310 |
B Analysis of cash, cash equivalents and net debt
Future Care Capital 13
Principal accounting policies 31 August 2023
The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the accounts are laid out below.
Basis of preparation
These accounts have been prepared for the year to 31 August 2023.
The accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant accounting policies below or the notes to these accounts.
The accounts have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) (Charities SORP FRS 102), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
The Charity constitutes a public benefit entity as defined by FRS 102.
The accounts are presented in sterling and are rounded to the nearest £’000.
Assessment of going concern
The Trustees have assessed whether the use of the going concern assumption is appropriate in preparing these accounts. The Trustees have made this assessment in respect to a period of one year from the date of approval of these accounts.
The Trustees of the Charity have concluded that there are no material uncertainties related to events or conditions that may cast significant doubt on the ability of the charity to continue as a going concern. The Trustees are of the opinion that the Charity will have sufficient resources to meet its liabilities as they fall due over the next 12 months and have considered future revenue generation and the Investment Portfolio in forming this opinion. Whilst the reserves of the Charity are linked to the Investment Portfolio and there is can be a level of uncertainty around investment values, taking into account the positioning of the portfolio and the level of reserves Trustees have concluded that the Charity will have sufficient resources to satisfy it as an ongoing concern.
Income recognition
All income is included in the statement of financial activities when the charity is legally entitled to the income and the amount can be quantified with reasonable accuracy.
Interest receivable
Interest income is included when receivable and the amount can be measured reliably by the charity.
Investment income
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
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Principal accounting policies 31 August 2023
Income recognition (continued)
Consultancy income
Income in relation to contracts with third parties for consultancy or project work, is recognised in line with the proportion of the work which is complete.
Grant income
Income in relation to grants is recognised when the charity becomes entitled to the monies and there are no unfulfilled conditions attached to their receipt.
Expenditure recognition
Expenditure is accounted for on an accruals basis and is recognised in the period to which it relates.
Support costs are those costs which enable fund generating and charitable activities to be undertaken. Where activities incurred relate to more than one cost category, it is appointed on the most appropriate basis and on a reasonable and consistent basis.
Facilities, IT and Recruitment costs are allocated between Direct and Support costs based on headcount and apportioned to spend categories within support based on time spent on each charitable activity.
Cost allocation
Irrecoverable VAT is charged against the category of expenditure for which it was incurred.
Tangible fixed assets
Tangible fixed assets with a cost over £250 are capitalised. Fixed assets are initially recognised at cost and are depreciated by equal annual instalments over their estimated useful lives.
The current estimated rates of depreciation are:
| The current estimated rates of depreciation | are: |
|---|---|
| Computer equipment | 33.3% |
| Office equipment, fixtures, and fittings | 20% |
Fixed asset investments
Listed investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price.
Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value at that date. Realised and unrealised investment gains (or losses) are combined in the statement of financial activities and are credited (or debited) in the year in which they arise.
Mixed motive investments
The charity recognises as mixed motive investments those assets which provide funding to an organisation in order to generate a financial return for the charity as well as furthering the charity’s objects and charitable purposes.
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Principal accounting policies 31 August 2023
Mixed motive investments (continued)
Where the investment takes the form of ordinary, or preference shares it is measured on the balance sheet at the reporting date either:
-
At its fair value, if this can be measured reliably; or
-
If its fair value cannot be measured reliably, at its cost less impairment.
Where the investment is measured at cost less impairment, the Trustees assess the investment for objective evidence of impairment at the end of each reporting period.
Debtors
Debtors are recognised at the settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid.
Cash at bank and in hand
Cash at bank and in hand represents such accounts and instruments that are available on demand.
Creditors
Creditors 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 the settlement can be measured reliably.
Provision for pension of ex-employee
As disclosed in note 13 the charity has a commitment to make payments to the Camden Pension Scheme in relation to an historic pension liability. At the Charity’s request, the liability at 31 August 2022 was valued by a qualified actuary, which it discloses in the financial statements as a provision. This will be next be reassessed and revalued on 31 August 2025, and every three years thereafter. Payments in relation to the liability are recognised as an operating expense. Changes in the actuarial valuation of the provision are represented as an actuarial gain or loss on the statement of financial activities.
Fund accounting
Unrestricted funds comprise those funds which the Trustees are free to use for any purpose in furtherance of the charitable objects. Unrestricted funds include designated funds where the Trustees, at their discretion, have created a fund for a specific purpose or project.
Restricted funds comprise those funds given by donors to use for a specific purpose.
Transfers between funds are made as determined by the Board of Trustees.
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Notes to the accounts 31 August 2023
1 Income from charitable activities
| Income from charitable activities | ||||
|---|---|---|---|---|
| Unrestricted funds £’000 |
Restricted funds £’000 |
2023 £’000 |
2022 £’000 |
|
| Consultancy and grants | 25 | — | 25 | 39 |
| 25 | — | 25 | 39 |
2 Income from investments
| Income from investments | ||||
|---|---|---|---|---|
| Unrestricted funds £’000 |
Restricted funds £’000 |
2023 £’000 |
2022 £’000 |
|
| Income from investments | 211 | — | 211 | 138 |
| 211 | — | 211 | 138 |
| 3 | Expenditure on investment funds | Unrestricted funds £’000 |
Restricted funds £’000 |
2023 £’000 |
2022 £’000 |
|---|---|---|---|---|---|
| Investment manager’s fees | 61 | — | 61 | 66 | |
| 61 | — | 61 | 66 |
4 Expenditure on charitable activities
| Charitable activities | Innovation fund £’000 |
Policy and Insight £’000 |
Advocacy £’000 |
2023 £’000 |
|---|---|---|---|---|
| Direct costs . Staff . Other Support costs 2023 Total funds |
12 — 61 |
26 2 394 |
84 24 166 |
122 26 621 |
| 73 | 422 | 274 | 769 | |
| Charitable activities | Innovation fund £’000 |
Policy and Insight £’000 |
Advocacy £’000 |
2022 £’000 |
| Direct costs . Staff . Other Support costs 2022 Total funds |
50 21 81 |
179 77 291 |
76 33 125 |
305 131 497 |
| 152 | 547 | 234 | 933 |
Support costs have been allocated on the basis of time spent on each charitable activity, with Facilities, IT and Recruitment costs reallocated to direct costs based on headcount. The Charity has an adopted an Associate Business Model whereby it contracts with subject matter experts on a flexible basis to support and deliver our project work. In so doing, the Charity broadens the range of capabilities it is able to offer without increasing its fixed costs whilst maintaining a strong core internal staff compliment.
Future Care Capital 17
Notes to the accounts 31 August 2023
4 Expenditure on charitable activities (continued)
Support costs are broken down as follows:
| 2023 £’000 |
2022 £’000 |
|
|---|---|---|
| IT Facilities Staff Governance Other support costs Total support costs |
12 32 67 18 492 |
21 108 124 43 201 |
| 621 | 497 |
5 Net movement of funds
This has been arrived at after charging:
| Depreciation of tangible fixed assets Operating lease rentals Independent Examiner / Auditor’s remuneration (including VAT) . Independent Examination – current year . Audit – previous year . Non-audit |
2023 £’000 |
2022 £’000 |
|---|---|---|
| — — 4 — 3 |
8 83 — 7 3 |
6 Trustees
During the year travel and subsistence expenses totalling £357 were reimbursed to trustees (2022 - £nil).
No Trustees received remuneration in respect of their services as trustees.
During the year, Trustee indemnity insurance was purchased. The premium is not separately identifiable within total insurance costs. The policy provides cover of £5,000,000.
7 Staff costs
| Staff costs | ||
|---|---|---|
| 2023 £’000 |
2022 £’000 |
|
| Wages and salaries Social security costs Pension costs Total staff costs |
165 15 9 |
377 31 21 |
| 189 | 429 |
Staff costs have been allocated to direct and support costs as follows:
| 2023 £’000 |
2022 £’000 |
|
|---|---|---|
| Direct costs Support costs |
122 67 |
305 124 |
| 189 | 429 |
Future Care Capital 18
Notes to the accounts 31 August 2023
7 Staff costs (continued)
| Average number of employees duringtheyear | 2023 No. 3 |
2022 No. |
|---|---|---|
| 7 |
The number of employees earning over £60,000 in the period excluding pension contributions was:
| £140,001 - £150,000 | 2023 No. — |
2022 No. |
|---|---|---|
| 1 |
No employees (2022 – One) earning over £60,000 participated in the company’s defined contribution scheme and contributions of £nil (2022 - £6,886) were made on their behalf.
Total remuneration for key management personnel, including employer’s pension contributions and employer’s national insurance, was £188,890 (2022 - £377,504). Key management personnel within the Charity represents staff members who have authority and responsibility for planning and decision making.
During the previous year, one employee received employment termination payments for loss of office totalling £28,941. This amount has been settled in full.
8 Tangible fixed assets
| Computer equipment £’000 |
Office equipment, fixtures and fittings £’000 36 36 — 36 — — |
Total £’000 66 66 — 66 — — |
|
|---|---|---|---|
| Cost At 1 September 2022 and 31 August 2023 Depreciation At 1 September 2022 Charge for the year At 31 August 2023 Net book values At 31 August 2023 At 31 August 2022 |
30 30 — |
||
| 30 | |||
| — | |||
| — |
Future Care Capital 19
Notes to the accounts 31 August 2023
9 Fixed asset investments
| Fixed asset investments | ||
|---|---|---|
| 2023 £’000 |
2022 £’000 |
|
| Market value at 1 September Additions at cost Disposals at carrying value Net unrealised (losses) gains Market value at 31 August Cash held in short term deposits and by investment managers Value of listed investments at 31 August 2023 Cost of listed investments at 31 August 2023 |
8,738 2,624 (2,981) **(171) ** |
10,746 2,176 (3,529) (655) |
| 8,210 110 |
8,738 501 |
|
| 8,320 | 9,239 | |
| 7,538 | 7,657 |
All listed investments were dealt with on a recognised stock exchange. Listed investments held at 31 August 2023 comprised the following:
| 2023 £’000 |
2022 £’000 |
|
|---|---|---|
| UK bonds UK fixed interest Overseas index linked UK equities Overseas equities Alternative investments |
711 1,244 434 1,169 3,193 1,459 |
321 564 695 1,592 3,582 1,984 |
| 8,210 | 8,738 |
10 Mixed motive investment
This consists of one holding of ordinary shares in a UK registered company, Healthera Limited (company no. 09609198).
The charity measures the investment at cost less impairment given that reliable data cannot be obtained regarding its fair value. This value at the reporting dates is shown below:
| 11 | 2023 £’000 |
2022 £’000 |
|
|---|---|---|---|
| At 1 September and at 31 August | 250 | 250 | |
| Debtors | 2023 £’000 |
2022 £’000 |
|
| Prepayments and accrued income Trade debtors |
7 3 |
7 — |
|
| 10 | 7 |
Future Care Capital 20
Notes to the accounts 31 August 2023
12 Creditors
| Creditors | ||
|---|---|---|
| 2023 £’000 |
2022 £’000 |
|
| Amounts falling due within one year Trade creditors Other creditors Accruals and deferred income |
5 16 50 |
30 26 56 |
| 71 | 112 |
13 Provision for liabilities and charges
| Provision for liabilities and charges | ||
|---|---|---|
| 2023 £’000 |
2022 £’000 |
|
| At 1 September Released in the period Actuarial valuation At 31 August |
158 (11) — |
173 (10) (5) |
| 147 | 158 |
The Company has a commitment to make a payment to Camden Pension Scheme in relation to enhanced pension benefits granted to an ex-employee as compensation for the years of prospective service that he was not able to earn. At the Charity’s request, the liability at 31 August 2022 was valued by a qualified actuary who calculated that the value of the relevant liability value as at that date was £158,000. This resulted in a decrease in the provision required at the balance sheet date of £5,000. The provision will be reassessed and revalued at 31 August 2025 in line with the established policy.
14 Pension schemes
Defined contribution scheme
The Future Care Capital Pension Plan started in April 2017 and is managed by Smart Pension. The total contribution by the charity during the period was £9,256 (2022 - £21,037). £1,308 was owing to the pension fund at 31 August 2023 (2022 - £1,144).
15 Statement of funds
| Statement of funds | ||||
|---|---|---|---|---|
| Restricted fund £’000 |
Unrestricted general fund £’000 |
RCP Pension Fund £’000 |
2023 Total funds £’000 |
|
| At 1 September 2022 Income Expenditure Gains and losses Balance at 31 August 2023 |
— — — — |
9,308 245 (819) (319) |
158 — (11) — |
9,466 245 (830) (319) |
| — | 8,415 | 147 | 8,562 |
Future Care Capital 21
Notes to the accounts 31 August 2023
15 Statement of funds (continued)
| Statement of funds(continued) | ||||
|---|---|---|---|---|
| Restricted fund £’000 |
Unrestricted general fund £’000 |
RCP Pension Fund £’000 |
2022 Total funds £’000 |
|
| At 1 September 2021 Income Expenditure Gains and losses Balance at 31 August 2022 |
— — — — |
10,765 177 (989) (645) |
173 — (10) (5) |
10,938 177 (999) (650) |
| — | 9,308 | 158 | 9,466 |
The RCP Pension Fund represents the commitment to make a payment to the Camden Pension Scheme in relation to enhanced pension benefits granted to an ex-employee, and is equal to the provision included on the balance sheet.
16 Analysis of net assets between funds
| Restricted fund £’000 |
Unrestricted general fund £’000 |
RCP Pension Fund £’000 |
2023 Total funds £’000 |
|
|---|---|---|---|---|
| Fixed assets Net current assets Provisions |
— — — |
8,570 (155) — |
— 294 (147) |
8,570 139 (147) |
| — | 8,415 | 147 | 8,562 | |
| Restricted fund £’000 |
Unrestricted general fund £’000 |
RCP Pension Fund £’000 |
2022 Total funds £’000 |
|
| Fixed assets Net current assets Provisions |
— — — |
9,489 (181) — |
— 316 (158) |
9,489 135 (158) |
| — | 9,308 | 158 | 9,466 |
17 Related parties
Other than the transactions relating to trustees outlined in note 6, there were no related party transactions in the period.
Future Care Capital 22