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2021-03-31-accounts

Sisters of the Cross and Passion

Annual Report and Accounts

31 March 2021

Charity Registration Numbers 1038483 (England and Wales) SC038416 (Scotland) 20015893 (Republic of Ireland)

Reference and administrative details of the Charity, its trustees and advisers 1

PART ONE: Report of the trustees

PART ONE: Report of the trustees
CHAPTER ONE WHO WE ARE 4
Introduction
Mission and Objectives
CHAPTER TWO ACTIVITIES, ACHIEVEMENTS, FUTURE PLANS 6
1 Education

Teacher’s Enterprise in Religious Education Religious Orders in Education (ROE) Le Chéile Trust

Newbridge Youth Training and Development Centre Leeds Trinity University St Gabriel’s Hall

2 Health Care

Communities of Care St Gemma’s Hospice

3 Pastoral and Spiritual Care

Retreat Ministry: Briery Retreat Centre Drumalis Retreat and Conference Centre Minsteracres Retreat Centre Tearmann Spirituality Centre Parish Work Associates Hospital Chaplaincy Spiritual Direction L’Arche Community Marriage Tribunal

4 Social Care

Poverty, Homelessness, Hunger Asylum Seekers, Refugees and Migrants Counselling and Community Care

5 Activities supported by our Crisis Fund

Asylum Seekers Homelessness, Hunger, Destitution People with Physical or Mental Health needs General Areas of Need Other

6 Missions

7 Future Plans

CHAPTER THREE

FINANCIAL REVIEW 25 Income Expenditure Tangible Fixed Assets Results for the year Investment performance Reserves policy Financial position

CHAPTER FOUR POLICIES AND COMPLIANCE WITH POLICIES AND COMPLIANCE WITH 29
CHARITY REQUIREMENTS
1 Property
Sales and Donations
Ongoing Development
Maintenance
2 Policies, Reports and Plans
3 Safeguarding
4 Archives
5 General Data Protection Regulation (GDPR)
6 Investment Policy
7 Insurance
8 Crisis Fund
9 Fundraising Policy
10 Continued Professional Development
CHAPTER FIVE GOVERNANCE, TRUSTEES’ RESPONSIBILITIES, GOVERNANCE, TRUSTEES’ RESPONSIBILITIES, 34
RISK MANAGEMENT
1 Governance
Sisters of the Cross and Passion
St Gemma’s Hospice
2 Trustees’Responsibilities Statement
3 Risk Management
Sisters of the Cross and Passion
St Gemma’s Hospice
4 Summary and acknowledgments

PART TWO: Independent auditor’s report and accounts

Independent Auditor’s Report
41
Accounts
Consolidated statement of financial activities
45
Charity statement of financial activities
46
Balance sheets
47
Consolidated statement of cash flows
48
Principal accounting policies
49
Notes to the accounts
57

Reference and administrative details of the Charity, its trustees and advisers

Trustees Sister Eileen Fucito
Sister Carmel Gorman
Sister Anne Hammersley
Sister Therese O’Regan
Sister Máire Ni Shúilleabháin
Sister Savio Steed
Province Leader Sister Therese O’Regan
Province Bursar Mrs Sakina Lowe
Principal address Cross & Passion Convent
299 Boarshaw Road
Middleton
Manchester
M24 2PF
Telephone 0161 655 3184
Email pltcpsisters@gmail.com
Website www.crossandpassion.com
Charity Registration Number -
England and Wales 1038483
Charity Registration Number -
Scotland SCO38416
Charity Registration Number -
Republic of Ireland 20015893
Accountants Buzzacott LLP
130 Wood Street
London
EC2V 6DL
Auditor RSM UK Audit LLP
Bluebell House
Brian Johnson Way
Preston
Lancashire
PR2 5PE

Sisters of the Cross and Passion 1

Reference and administrative details of the Charity, its trustees and advisers

Investment managers Sarasin & Partners LLP
Juxon House
100 St Paul’s Churchyard
London
EC4M 8BU
Charles Stanley & Co Limited
55 Bishopsgate
London
EC2N 3AS
Rathbone Investment Management Limited
8 Finsbury Circus
London
EC2M 7AZ
Principal bankers The Royal Bank of Scotland plc
1 Dale Street
Liverpool
L2 2PP
Bank of Ireland Limited
2 College Green
Dublin 2
Solicitors England and Wales Wrigleys Solicitors LLP
19 Cookridge Street
Leeds
LS12 3AG
Solicitors Northern Ireland Conway, Todd & Co
22 Market Square
Antrim
BT41 4DT
Edwards & Co
28 Hill Street
Belfast
BT1 2LA
Solicitors The Republic of Mason Hayes + Curran
Ireland South Bank House
Barrow Street
Dublin 4
Finance and General Elizabeth Wilson, Wrigleys Solicitors LLP
Purposes Committee Amanda Francis, Buzzacott LLP
Andrew Mather, CS2 Chartered Surveyors

Sisters of the Cross and Passion 2

Reference and administrative details of the Charity, its trustees and advisers

Insurance Brokers Steve Burns, Marsh Commercial, UK Liam Conlon, Arachas Ireland Energy Broker Charles Lowe, EnergyFlowe Limited, UK

Sisters of the Cross and Passion 3

Report of the Trustees Year to 31 March 2021

The Trustees present their statutory report, together with the accounts of the Sisters of the Cross and Passion (the ‘Charity’), for the year ended 31 March 2021.

The accounts have been prepared in accordance with the accounting policies set out on pages 49 to 56 and comply with the Charity’s Trust Deed, the Charities Act 2011, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Irish Charities Act 2009. The accounts also comply 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 the Republic of Ireland (FRS 102).

PART ONE

CHAPTER ONE – Who we are

Introduction

The Sisters of the Cross and Passion is an international Roman Catholic Religious Congregation founded in industrial England in 1852. It is divided into a number of individual provinces under the authority of the Congregational Leadership Team, members of which reside in the UK, Republic of Ireland, the USA and Argentina and their offices are in Larne, Antrim, Northern Ireland.

The Sisters from St Paul’s Province live in England and Ireland. The accounts accompanying this report are those of the charitable trust on which the assets of St Paul’s Province were held during the year to 31 March 2021 and include the Congregational assets (the Charity). The Charity is governed by a Trust Deed dated 25 March 1994 and is registered with the Charity Commission:

Charity Registration Number England and Wales 1038483
Charity Registration Number Scotland SC038416
Charity Registration Number Republic of Ireland 20015893

The Trustees have been working for some time on a project to de-merge the Province and the Congregation and simultaneously to incorporate the Province.

With effect from midnight on 31 March 2021, in accordance with a legal transfer of undertakings dated 31 March 2021 and a resolution of the trustees, certain of the activities, assets and liabilities of the Charity relating to the Province were transferred as a going concern into a newly formed Charitable Incorporated Organisation (CIO), Sisters of the Cross and Passion CIO, Charity Registration Number 1185348 (the ‘successor charity’). See note 25 for more detail. Other Congregational assets and liabilities remain in the Charity for the time being, together with some Province assets which the trustees have been advised to leave in the Charity. The Sisters of the Cross and Passion CIO will be the main vehicle for delivering Province activities going forward. The Charity ceased to be CQC-registered on 1 April 2021 (as the CQC registration transferred to the CIO on that date), and therefore ceased CQC registered activities at midnight on 31 March 2021.

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Report of the Trustees Year to 31 March 2021

Mission and Objectives

The corporate mission of the Sisters of the Cross and Passion is to witness to the reconciling, forgiving and compassionate love of God through openness to the needs of the world and especially those of the poor and marginalised.

The Sisters of the Cross and Passion identify with Christ in his Passion, Death and Resurrection. We aspire to a more just and compassionate world, where the rights and dignity of the whole of creation is upheld and respected.

What follows is an account of the work of the Charity from April 2020 – March 2021. Benefits are identifiable and touch the lives of the people whom the sisters seek to serve in all their ministries.

The objectives of the Sisters of the Cross and Passion, as stated in the Trust Deed, are the relief of poverty, the provision of relief assistance and comfort to the sick, the provision of education and the advancement of the teachings of the Roman Catholic Church (or other such charitable purposes as are lawfully authorised from time to time by the constitutions of the Congregation) by such means as are suited to the time and place in which the provision is to be made.

To fulfil these objectives, the sisters regularly evaluate their pastoral activities in the light of their charism, present day needs and requests for help in new ministries and new localities. They continue to evaluate their pastoral activities in the light of their diminishing numbers, increasing age profile and decreasing financial resources. Policies and procedures are reviewed and updated regularly in accordance with statutory regulations and Congregational objectives.

As Sisters of the Cross and Passion we hope that our lives witness to the reconciling, merciful and compassionate love of God. We are covenanted to be bearers of the mercy of God by responding to the needs of the world in our time, as Elizabeth Prout, our Foundress, did in hers.

While Justice, Peace and the Integrity of Creation remain an integral part of our Spirituality, two major issues evolved from our Province Chapter in August 2016. They were:

1. A deep concern for the many crises of our times and how we can best use our diminishing resources to respond with compassion to these crises.

At our Province Assembly on 29 March 2017 there was a further development regarding this issue. We agreed to set aside a Crisis Fund to support projects, undertaken by others, which are compatible with our vision and which we ourselves are no longer able to undertake.

2. How we can provide quality care for our increasing number of elderly sisters.

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Report of the Trustees Year to 31 March 2021

Mission and Objectives (continued)

In fulfilment of the objectives of the Charity it is the policy of the Province to enable its members to undertake a broad range of charitable activities. The principal areas in which the members of the Congregation are involved are set out below.

CHAPTER TWO – Activities, Achievements, Future Plans

1 Education

Whilst the apostolate of the sisters in earlier years was very strongly based in teaching, sisters who have vast experience in education now bring their skills to the administration of pastoral care and community development.

Teacher’s Enterprise in Religious Education

“The mission of the Teachers’ Enterprise in Religious Education (TERE) is to support teachers in Catholic schools and in the wider Christian community in their daily task of unfolding for teachers and pupils the mystery of God, the teaching of the Church and its application to daily life.”

Its objectives are to:

One sister is involved as a full-time director in this project.

Covid-19

The current worldwide effects of the spread of Covid-19 had a direct effect on the work of TERE. When schools were closed for several months in 2020-2021, teachers requested home-learning resources for Religious Education. Within a matter of weeks a wide range of resources, for all age groups, were put on their website www.tere.org. In addition, permission was granted to schools that had purchased The Way, the Truth and the Life CD/DVD ROMs to put the contents on their own website provided access was available only to their pupils.

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Report of the Trustees Year to 31 March 2021

1 Education (continued)

Covid-19 (continued)

Between September and November 2020 in-service training was provided, on Zoom, for primary teachers of Early Years Foundation Stage, Years 1-6. This was much appreciated as it enabled teachers from all over the United Kingdom to participate.

Support to the Religious Education Service

The Bishop’s Conference of England and Wales has put in train the possible revision of the Curriculum for Religious Education in Catholic schools. As one of the leading providers of materials for Religious Education, The Teachers’ Enterprise for Religious Education (TERE) is one of the stakeholders in this process and has been heavily involved in the consultations. Currently they are anticipating some possible changes to the Religious Education curriculum, which will involve the development of some new resources. This is a work in progress.

In the words of Cardinal Nichols, “ This is a group of teachers working hard to improve classroom RE, especially in Catholic Schools. This enterprise has my full support and encouragement .”

Religious Orders in Education, ROE

This Association was initiated in July 2019 to enrich Catholic Education in England and Wales by supporting religious orders in their mission as trustees or founders of schools and colleges. To this end the Association celebrates and builds on a rich heritage

of religious orders in education and supports them in continuing to work together collaboratively. One sister attended the meetings held on Zoom in 2020.

Le Chéile Trust

The Le Chéile Trust mission is to “ promote Catholic education as an option within the Irish education system and to develop the schools given to the Trust in the service of their local communities . “

The Trusteeship of Maryfield College, Dublin and the donation of its land to Le Chéile Trust was completed in 2019. The process of donating Cross and Passion College, Kilcullen, Co Kildare is almost complete. The delay in this project is due to the Covid-19 restrictions, which curtailed meetings and mapping that needed to be done.

Two sisters are members of Le Chéile (Enterprise) and Siol (Property and Finance). As Trustees, we attend meetings of Le Chéile for Congregational representatives and the annual conferences of Le Chéile and Siol Boards.

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Report of the Trustees Year to 31 March 2021

1 Education (continued)

Le Chéile Trust (continued)

Both schools celebrate their heritage and the pupils are invited to participate in the life of the sisters by supporting their Mission. Sisters are regularly invited to attend functions at both schools when lockdown restrictions permit.

Newbridge Youth Training and Development Centre (YTDC)

YTDC in Kildare, Ireland offers educational and training opportunities to young people, between the ages of 16 and 21, who have left formal education without achieving the Leaving Certificate. One sister is a director of this Board.

Leeds Trinity University

Leeds Trinity University (LTU) was co-founded by the Sisters of the Cross and Passion and the Catholic Education Service as a Teacher Training College in 1967. In the fifty-four years since its foundation it has

transformed itself into a university renowned for teaching excellence and has been ranked by the Times and Sunday Times as the sixth best university in the country for teaching quality. Leeds Trinity offers undergraduate, postgraduate, foundation and top-up courses, as well as apprenticeship and work based learning.

In accordance with the Articles of Association, the trusteeship of the University remains with the Charity as well as the Diocese of Leeds. While the sisters are no longer actively involved in the day-to-day life of LTU they have a representative on the Board of Governors. The Congregation also has the right to nominate up to five people to be independent directors on the Board.

“ Our mission is guided by our catholic identity and faith foundation…We are committed to the promotion of dignity, respect, social justice and equality in order to deliver positive social and economic impacts .” (LTU Mission Statement.)

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Report of the Trustees Year to 31 March 2021

1 Education (continued)

St Gabriel’s Hall

St Gabriel’s Hall was an all-female hall of residence for Manchester University which had been leased to the University on a peppercorn rent for the past thirty five years. This lease expired in 2018, which was also the centenary year of its foundation. An extension to the lease was agreed with the University until September 2019, when the premises were vacated. The Trustees, with the help of their advisors, are now in the process of marketing this property. Money received from the sale will be invested to enable the Charity to continue its work into the future.

2 Health Care

Communities of Care

Jesus said, “I have come that you may have life, life in all its fullness.”

John 10 10

It is our desire that sisters in communities of care will be encouraged, and have the opportunity, to live life as fully as possible in both its human and spiritual dimension for as long as possible. (Province Chapter Mandate 2016)

In order to provide this care the Province owns and manages four care communities.

Elmleigh , Yorkshire, is located in the residential town of Ilkley, in Wharfdale. This is a non-registered, residential care community. The majority of the sisters are ambulant but in need of assisted living.

East Holme, Lancashire, is located in Lytham-StAnne’s on the Fylde coast. It is a registered Nursing Home with two levels of care: independent living upstairs and a 10 bed full nursing unit downstairs, with four beds dedicated to dementia care. We were very happy when the home received an

overall rating of Good from the CQC inspection, which took place in November 2018. In 2019 the Care Manager and Administrator both retired. They were replaced with minimum disruption to the home. Our new Care Manager received her CQC registration on 31 March 2020. It has been a challenging year because of Covid restrictions, but the manager has been highly recommended by the CQC Engagement and Support Call Team, who did an online inspection in June 2020. An extract from the report reads:

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Report of the Trustees Year to 31 March 2021

2 Health Care (continued)

Communities of Care (continued)

“We were assured there was effective management of the service during the pandemic. The Registered Manager and Deputy Manager were accessible and had introduced processes to keep people and staff safe. You sought guidance and delivered care and treatment to ensure the threat of Covid-19 had diminished. Staffing levels were good, allowing Cross and Passion Convent to provide a resilient service with continuity of care being embedded within the service.”

Another major change initiated in 2020 was to terminate our contract with the outside catering and cleaning service. Over time this will result in savings. It will bring the catering and cleaning services in-house under the one management, giving a more satisfactory outcome for all concerned. After many meetings with staff and management the contract was amicably terminated in October 2020. The staff transferred across to be employed in East Holme. As there was no management post available, the manager from the catering service took redundancy payment.

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Report of the Trustees Year to 31 March 2021

Our Communities of Care had beautiful gardens for our Sisters to enjoy during lockdown.

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Report of the Trustees Year to 31 March 2021

2 Health Care (continued)

Communities of Care (continued)

Villa Pacis, Belfast, Northern Ireland was opened in June 1995 as a non-registered retirement convent for sisters. It is now a 15 bed care community for our sisters, with five sisters receiving full nursing care. The other sisters living there are ambulant but require assisted living.

Marino, Dublin, Ireland, is also a non-registered residential care community for sisters in need of assisted living. During the past year we have had the mammoth task of totally evacuating the building because it failed to reach Fire Safety Standards. This has involved finding alternative accommodation for 15 residents, ranging in age from 84 to 99, making most of the staff redundant and undertaking a complete refurbishment of the building to make it a safe place for both residents and staff.

The fire report arrived late in August 2020 and by the end of October, at very great human and financial costs, the building had been evacuated. All of this happened at the time when Covid was increasingly adding to the difficulty of finding nursing home spaces for the residents. The work of refurbishing the building has also been delayed because of Covid restrictions, but planning permissions have been obtained and plans drawn up to commence this work as soon as the restrictions are lifted.

Three sisters requiring specialist care are resident in other care homes; one in Sybil Hill Nursing Home, one in Catherine McAuley Nursing Home and one in Highfield Healthcare; all in Dublin.

There are currently 51 sisters in these communities, but this number fluctuates because of deaths or sisters needing respite care.

Each of our care communities has a managerial structure which employs appropriate staff. Each community has a pastoral sister, who organises the spiritual care and liaises between the sisters and the management.

The Province Leadership Team (PLT) is in weekly contact with the care communities by phone. During this past year, because of Covid restrictions, meetings with the managers and sisters have taken place on Zoom. In this current crisis we greatly appreciate the way in which our managers and staff have coped and are still coping; complying with government regulations and doing all they can to protect the sisters in their care. To date our care communities have been Covid-free and the residents and staff have now been vaccinated. Managers are encouraged to keep in touch with each other to share ideas, and sometimes find solutions to problems together, thus creating a strong support system for good management of our care communities.

Looking to the future management of our care homes, we have had input from three HR Consultancy Services. After consultation with our managers we hope to engage one or two of these agencies to give additional support to our managers in terms of employment, health and safety and risk assessment.

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Report of the Trustees Year to 31 March 2021

2 Health Care (continued)

Communities of Care (continued)

Pastoral care of the sisters has continued, but again implementing the Covid restrictions, which has meant using live-streamed religious service and Zoom contact with priests when needed.

Normally regular visits are carried out by the named sisters for safeguarding in the province, to ensure the statutory safeguarding norms are adhered to. This has been reduced to telephone conversations this past year.

The total expenditure of our care homes was financed by the Charity and going forward will be financed by the new CIO. This is part of the cost of maintaining members of the Congregation.

St Gemma’s Hospice

St Gemma’s Hospice in Leeds, founded by the Sisters of the Cross and Passion in 1978, is a charitable company and a subsidiary of the Sisters of the Cross and Passion. In September 2017, St Gemma’s Academic Unit of Palliative Care was the first in Britain to be recognised as a University Teaching Hospice. This prestigious national status reflects the substantial research and teaching activity undertaken in collaboration with the University of Leeds. Health care professionals from across the city receive training here and the research helps to improve patient care.

In line with other health and social care providers, St Gemma’s is regulated by the Care Quality Commission and is subject to inspection. Their current rating is O utstanding. They are also regulated by the Charity Commission. St Gemma’s is currently listed in the Sunday Times Top 100 Best Companies for recognising their commitment to staff satisfaction and engagement. The Hospice is also in the UK’s top 50 Inclusive UK Employers. The list acknowledges organisations for ”harnessing a truly diverse workforce” and recognises “the significant efforts of organisations nationwide that excel in their commitment to equality and inclusion across all strands of diversity.”

From its inception St Gemma’s Hospice has provided care on the basis of need, regardless of age, gender, race, religion, disability or sexual orientation. The philosophy of St Gemma’s centres on care, compassion and respect for the life and dignity of each person . St Gemma’s is for people who have life–threatening illnesses with difficult symptoms to manage. Care is based on a simple idea – that the person is more than the illness. Each of us - whether sick or well – has unique physical, emotional, social and spiritual needs. St Gemma’s tries to respond to these needs in ways that place the highest value on respect, choice and empowerment. They offer a wide range of expert services to support patients, their families and friends, not just in the hospice building, but also in people’s own homes, including nursing homes across the Leeds community.

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Report of the Trustees Year to 31 March 2021

2 Health Care (continued)

St Gemma’s Hospice (continued)

The past year has been a very challenging one and St Gemma’s has responded to the Covid-19 pandemic with flexibility and resilience. Even in these very difficult times they have delivered their core service of compassionate care. They have also seen significant transformation of their clinical and support services in a very short period of time, including remote consultations with patients, support of families and the provision of more tele-education. Staff wellbeing is vitally important and wellbeing initiatives have been expanded to increase health promotion, support for working carers and, in light of Covid-19, providing safe spaces for the staff to discuss their fears and concerns.

The Covid-19 pandemic has made drastic changes to our world and has highlighted further the importance of a good death and support for the bereaved. It is very reassuring to

know that the ethos upon which St Gemma’s was founded is still alive and actively reaching out to people who are in need of care, especially in this time of crisis.

The Sisters of the Cross and Passion retain ultimate control of the company, and as such its accounts, and those of its own subsidiary trading company, are included in the accounts attached to this report. As Trustees of the Hospice, the Sisters attend all board and strategy meetings.

3 Pastoral and Spiritual Care

Retreat Ministry

Retreat work has been one of the earliest works of our Congregation. Given the levels of stress in today’s society, this work helps people to have rest, respite and spiritual renewal and as such, is an invaluable source of wellbeing for people from all walks of life. Sisters are involved in, and work directly with, three retreat centres – The Briery and Drumalis, which we own and manage and Tearmann Spirituality Centre. One sister sits on the board of Minsteracres Retreat Centre.

Briery Retreat and Conference Centre is a place of spiritual renewal, where those who come can find God in an atmosphere of love, prayer, healing and peace ~ where all are valued, encouraged to discover their gifts and challenged to use them in the service of others ~ where the poor, the suffering and the lonely can experience the power of the cross and the hope of resurrection in Christ.

However, like all places of hospitality in the country, the Briery went into lockdown on 23 March 2020. Retreats, which had been booked in March, had been cancelled by the organisers as people became more aware of the rapid spread of Covid-19.

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Report of the Trustees Year to 31 March 2021

3

Pastoral and Spiritual Care (continued)

Retreat Ministry (continued)

Fortunately, the Chancellor brought in the Furlough Scheme, so all the contracted staff were happy to be offered furlough. The Province Trustees agreed to top up the remaining 20% of their salaries from the Province Crisis Fund.

Although the Briery was in lockdown, they began to think of ways in which they could reach people using technology such as Zoom. A Thursday meditation group was set up in April 2020 and has continued on a weekly basis with an attendance of 25 to 40 people each week. This is run by the lay retreat leaders, who take it in turn to lead the sessions.

Realising how isolated people were becoming in lockdown, they also set up an Ilkley Catholic WhatsApp group, to which people posted reflections, poetry and pictures or simply asked for prayers. It began with Ilkley Catholics but very soon became ecumenical, reaching far and wide.

Towards the end of March 2020, one of the retreat leaders suggested setting up some kind of support system for many people who were bereaved and isolated due to the Covid-19 restrictions. After consultation with the Bishop of Leeds, Rt Rev Marcus Stock, and many online meetings with people who were interested, a core group has worked hard to set up the Elizabeth Prout Bereavement Support Group, under the patronage of the Foundress of the Sisters of the Cross and Passion. This is a joint venture with the Diocese of Leeds and the Briery Retreat Centre. This group will operate as a separate charity, but is supported by online training from the Briery, and a grant of £1,000 has been given by the Province to cover their initial expenses.

In December the retreat leaders worked with a group, Growing Old Gracefully , and prepared two very beautiful online liturgies; Christmas being the theme of the first one and the second was remembering those who had died during this Covid year. When the lockdown restrictions were lifted at the beginning of July 2020 they were prepared to open up again, but the Preached Retreat was cancelled. However, on 3 August an eight day Individually Guided Retreat with 22 participants did go ahead. The Briery has ensuite rooms, plus a large dining room and chapel, which enabled social distancing to be maintained. An enormous amount of work went into the preparation for this retreat; risk assessments with the necessary signage, sanitisers, serving and cleaning systems were put in place. The evaluation of the retreatants was a wonderful testimony to the hard work which had been done to ensure everyone was safe. However, there was only one other booking, a Mindfulness day on 25 August, before the next lockdown.

Online work continued, with weeks of guided prayer given by recently trained prayer guides, supervised by the Briery retreat leaders. With the success of online retreats reaching a much wider number of people it is seen that one way forward is to provide hybrid retreats. With that in view, an IT specialist was hired to fit cameras in the conference room and chapel to facilitate live-stream events.

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Report of the Trustees Year to 31 March 2021

3 Pastoral and Spiritual Care (continued)

Retreat Ministry (continued)

In the words of the Retreat Director; “as we go forward the future is uncertain, but thanks to the Government Furlough Scheme and the Province Crisis Fund, we have our well-trained staff ready and waiting to return to work. During the year the 3- bedroomed cottage received a make-over and our first guest arrived on 12 April 2021, the very day that restrictions for self-catering establishments was lifted!! Our admin staff have arranged for lateral flow tests so that our staff can have regular in-house tests. Hopefully, as more people have their vaccine and gain confidence, we will once again be faced with a full diary of events.”

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Report of the Trustees Year to 31 March 2021

RETREAT CENTRE ACTIVITY DURING LOCKDOWN

The BRIERY – final NHS clap in the rain, and an Elizabeth Prout afternoon with tea!

The two sisters and staff in DRUMALIS planted the trees as the centre remained closed.

Celebrating the ending of the old year and the beginning of the new Celtic year at TEARMANN, Glendalough .

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Report of the Trustees Year to 31 March 2021

3 Pastoral and Spiritual Care (continued)

Retreat Ministry (continued)

Drumalis Retreat and Conference Centre is

situated in Larne, Co Antrim, Northern Ireland. The Retreat Centre is located on a height above Larne overlooking Larne Harbour with easy access to the Antrim coast road and its stunning coastal scenery .

Drumalis Retreat and Conference Centre

closed on a temporary basis on 23 March 2020, acting on medical advice and government guidance at the time. The housekeeping and dining room staff were put on furlough from 1 April 2020. Groundsmen, administrative and household management staff continued to work as normal. Where possible, those members of staff who could, worked from home. On 28 July 2020, a meeting was held to inform the staff on furlough that they were to be made redundant. The length of notice was in proportion to their years of service. All redundant staff received redundancy payments.

As many of the activities as possible were transferred to virtual access via Zoom. This was done in order to:

As time passed it became obvious that loneliness and isolation were problems that many people were experiencing. The Retreat Team therefore focussed on regular events, which built on the already existing sense of community among the Drumalis service users. These included virtual gatherings on a fortnightly basis for prayer and fellowship. The Drumalis Team have been available to offer pastoral care and support through telephone and other forms of communication within the restrictions in place. Keeping in mind the three focuses of the Drumalis mission statement - Spirituality, Ecology and Community Relations - the following are a selection of online events which were provided in relation to each focus:

Spirituality

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Report of the Trustees Year to 31 March 2021

3 Pastoral and Spiritual Care (continued)

Spirituality (continued)

Ecology

Community Relations: Public Theology

In the words of one of the Retreat Team;

“Our experience was that we were largely successful in sustaining contact with many of the people who normally avail of Drumalis retreats, courses and conferences. Whereas there was a general consensus that the virtual experience was not the equivalent of the real experience, it seemed that

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Report of the Trustees Year to 31 March 2021

3 Pastoral and Spiritual Care (continued)

Community Relations: Public Theology (continued)

many people appreciated it as a good second best. We completed the courses which were underway at the time of closure and have recruited new in–takes for the academic year 2020-21. We did, however, lose participants who were unable to transfer to Zoom.

We significantly expanded our outreach in that people signed up for various events from the USA, all over England, Scotland and Ireland, South Africa and Switzerland. As a result we feel that our profile has been raised quite significantly.

In an unexpected way it could be said that the global pandemic has opened up new possibilities for us and called us into new ways of responding to the needs of our world today and expanding our outreach.”

One of the Trustees sits on the Drumalis Board, along with the two sisters who work there. Serious consideration is being given as to how the work of Drumalis can be carried into the future.

Minsteracres Retreat Centre is a

Passionist, community-based retreat centre situated in Northumberland. Minsteracres, like the other retreat centres, provides a space where people are enabled to find healing and wholeness in their relationship with God, themselves, others and creation.

The Retreat Centre runs a large Outreach programme, which provides respite days/weekends for people on the margins of society. Some of the groups who come to Minsteracres on a regular basis are Kinship Carers, Blue Sky Trust, Free the Way, Cancer Support, Justice First, Freedom from Torture , to name but a few. This year we have given some financial support to the Outreach programme from our Crisis Fund, but in the past year all residential activity has ceased since March 2020.

One sister sits on the Board of Trustees. Meetings have taken place via Zoom.

Tearmann Spirituality Centre situated in Glendalough, Co Wicklow, is a small, self-catering Retreat Centre. Glendalough is a valley steeped in the Celtic monastic tradition and is a popular place of pilgrimage.

At Tearmann a number of different retreat programmes are offered. One sister has been involved with the retreat work here since its founding in 1993. However, like all retreat centres, any activity this past year has been done online, as the Centre has been closed to visitors.

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3 Pastoral and Spiritual Care (continued)

Parish Work

The work done by parish sisters - visiting the sick and elderly, liturgical services, faith sharing groups, bereavement groups and programmes for preparation for Baptism and Confirmation - was affected by the lockdown restrictions which were put in place in March 2020. When churches were closed, a lot of parish work was done online and the sisters joined in as best they could. Some kept in touch with the elderly by telephone, WhatsApp, Zoom or email. There has been a noticeable increase in requests for prayers coming into all our sisters, who see this as an invaluable service to the wider community. Parish sisters are in Belfast, Ballycastle, Halifax, Liverpool and Sutton St Helens.

Associates

Like our parish sisters the work of our associates has also been curtailed by lockdown restrictions. Congregational events, at which we would normally meet, had to be cancelled. One such event, which had been planned, was the celebration of the bicentenary of our Foundress’ birth in September 2020. Sisters have kept in touch with our associates and look forward to the time when we can resume meetings and gatherings.

Hospital Chaplaincy

Three sisters work as hospital chaplains in Bolton, Sutton St Helens and London, two of whom are voluntary and one receives a stipend. This work had been curtailed because of the pandemic.

Spiritual Direction

A number of sisters have been trained in Spiritual Direction and offer their services in our retreat centres. When the retreat centres closed they continued to offer spiritual direction online. One sister is a Spiritual Director and Counsellor at St Luke’s Centre, Manchester – “the Church’s ministry of wellbeing and healing”. Again, this sister has been working from home, in keeping with government guidance.

4 Social Care

At the heart of our Charism is a call to respond to the crises of our day which afflict the people around us, especially the poor or marginalised. Our Chapter mandated each sister to respond as well as she can to the needs of the area in which she lives and to grow in awareness of the global mission of the Congregation and support it, among other ways, in prayer. Given our age profile, we are no longer involved in social care as we once were. However, we do give financial support to this kind of work from our Crisis Fund. (See section 5)

A number of sisters are still involved directly, in a voluntary capacity, reaching out to people in need.

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4 Social Care (continued)

Poverty, Homelessness, Hunger

One sister works as a volunteer in Dublin at the Capuchin Centre for the homeless and people with addictions. Another sister works with an inner city community development project, of which she was a founding member. Still in Dublin, another sister helps at the Barnardo Children’s’ Home. In Belfast a parish sister supports St Patrick’s Soup Kitchen and Rosemount, a project which operates from the parish to assist the hungry, homeless and addicted people of that area. Again these activities have been curtailed by the pandemic restrictions.

Asylum Seekers, Refugees and Migrants For many years two sisters helped in the Destitute Project at the Victoria Hall in Bolton. Because of age and ill health they have both had to withdraw from the heavier work. Sadly Sister Barbara Sexton CP, one of the founding members, passed away in June 2020. She is missed and remembered with great affection. This is one of the projects we continue to support financially and we were happy to hear that at the beginning of June 2020, during Volunteers Week, the Team at the Destitute Project was awarded the prestigious Queen’s Award for Voluntary service (see photo above). Congratulations to all concerned. In spite of lockdown restrictions, they managed to distribute food parcels to the most needy. One of our Trustees attended the online AGM.

Another sister, who recently returned from our mission in Peru, helps in a refugee centre in Tallaght, Dublin. One sister teaches English at HELP (Harehills English Language Project). Some teaching has continued online.

Counselling and Community Care

Two sisters – trained psychotherapists – work as counsellors in their communities; one in Ballycastle, Co Antrim, and one with WAVE, Belfast, which provides support for those bereaved or traumatised by the “troubles”. In London one sister – a retired medical doctor - works as a bereavement counsellor. Again, most of this work has been done online or by telephone because of Covid restrictions.

5 Activities supported by our Crisis Fund

In 2017, when one of our houses became vacant, there were suggestions that we use the house for asylum seekers or homeless people. Considering the decline in numbers of our active sisters and on the advice of our financial team, it was decided to ring-fence the money from the sale of the property to support projects, run by others, which are trying to alleviate the sufferings of asylum seekers, the homeless and crisis situations which are brought to our attention.

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5 Activities supported by our Crisis Fund (continued)

From this Crisis Fund we continue to support needs that are in line with our Charity Objectives and meet the guidelines we set out in our Financial Support Policy. At our Trustee meeting in March 2020, we agreed to extend our area of concern to the relief of needs created by the Covid-19 pandemic.

Asylum Seekers

During the year £10,000 was donated to projects helping asylum seekers with special care for:

6 Missions

Our mission outreach has always been a part of our Charism. Almost half of our sisters in the Province have had experience of working and living on our Missions. These Missions are now the responsibility of the CLT (Congregational Leadership Team). Our contributions to the Missions will therefore be channelled through the CLT.

However, a few years ago we received a legacy of £40,000 with specific instructions that it was to be used to help young people in Africa. With the emergence of Covid19 we agreed the urgency of getting this bequest to a project to help people working in this pandemic situation. We did the necessary research and identified Tariro, a charity in Zimbabwe under the trusteeship of the Mirfield Anglican Community in West Yorkshire, which helps underprivileged children with care, education and training in life skills. We took advice from our F&GP committee and had their approval. We felt the work of this charity fulfilled the donor’s wishes. It is also our experience that smaller, Church-based charities, who have people working in the places they are supporting, generally make good use of funding. At our Trustee meeting on 6 April 2020 we approved the funding of this charity and the money was transferred on 27 April 2020.

A report sent to us on 30 December 2020 reads: “During the lockdown restrictions itself 17 young people in the house in Harare managed quite well – motivating each other to study and doing various common activities to keep mentally and physically fit. It helped that one of them is a sports coach and another just finishing off training as a doctor. In the rural areas, where the young people are more scattered, it was harder to keep in touch, though our colleagues did their best. Since the children went back to school we have provided them with extra books, coaching and IT equipment. This cost quite a bit, but it is worth the money. Despite the pandemic, we have some happy events to report: one young woman, Rumbidzai, finished her training as an occupational therapist and a young man Kundai, qualified as a doctor. Another young woman from the rural area, Talent, completed a University degree and is now doing a course in digital advertising. Her younger sister, Valentine, is doing well in an accountancy course at Mutare Polytech. One of our poorest areas is in Shurugwi, a very dry area in the centre of the country. We are delighted that four girls from there have done well enough to get into boarding school and are doing very well in their studies. We are pleased that a young man, Lameck, who got good A levels and could

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6 Missions (continued)

have gone to University, has elected instead to go to an excellent agricultural college so that he can learn to farm properly. Another young man, Dumisani, who graduated last year in food sciences, likewise wants to grow food so that people can eat better. With all the problems the world has with the climate change and the effects of Covid, it is really good that youngsters see they need to concentrate on feeding their people and taking care of them. Tariro has already started a piggery to help do this and to enable the charity to become more sustainable. They also hope to start a vegetable project once the restrictions allow. There is much more that could be said but I hope this will help assure you that the most generous legacy you gave us earlier this year is being put to good use and contributing to the transformation of many young people’s lives.”

7 Future Plans

The Charity’s goals, and those of its successor charity, for 2021/22 are as follows:

♦ To continue to live out our Organic Participative Model of Leadership in the Province through Links and Priority Group meetings and through consultation and discernment. To support the way of communication agreed at our Chapter and which is so vital to this form of Leadership. Given our age profile, which in many cases restricts our ability to travel, to encourage and enable as many sisters as possible to use social media as a means of communication. One positive outcome of the Covid-19 restrictions was the installation and use of online facilities in our retreat centres and care communities. Since March 2020 this has become the main way of keeping in touch with our Sisters.

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CHAPTER THREE – Financial Review

Income

Income is generated through:

The majority of the sisters have given most of their working lives to the charitable activities of the Congregation. Where this work is for organisations independent of the Charity, any earnings are covenanted to the Charity and, in the future, will be covenanted to the successor charity.

Expenditure

Expenditure of the Charity comprises:

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Financial Review (continued)

Tangible fixed assets

Tangible fixed assets consist mostly of buildings with their furniture, fittings and plant in our convents. As of March 2021 members of the Province and Region lived in 25 houses/flats, some of which were rented properties. These properties are in England and Ireland.

Results for the year

The consolidated statement of financial activities shows net expenditure before investment gains and prior to the transfer to the CIO of £3,219,391 (2020 - £1,401,842) with total income amounting to 14,502,031 (2020 - £15,501,415) and expenditure prior to the transfer amounting to £17,721,422 (2020 - £16,903,257). £48,103,832 was transferred to the CIO on 31 March 2021, giving total expenditure for the year of £65,825,254 and a net decrease in funds of £45,273,576.

Total income includes £1,520,750 (2020 - £1,636,711) of salaries and pensions of individual members of the Congregation which are donated to the Charity either by deed of covenant or by gift aid, £3,801,204 (2020 - £3,487,673) of other donations, legacies and similar income, £1,100,551 (2020 - £2,987,330) of income from charity shops and £5,839,403 (2020 - £3,970,022) being St Gemma’s income from the Clinical Commissioning Group and Health Foundation. Other major categories of income include investment income and interest receivable, fundraising events and lotteries, and retreat and conference offerings.

Total expenditure includes expenditure on St Gemma’s Hospice. The main expense of the hospice is staff costs which totalled £8,564,739 (2020 - £8,001,165) representing payments to the average staff count of 230 (2020 - 222). Other expenditure includes the personal and living costs of the members of the Congregation and their ministry, donations paid and the costs of administering the Charity.

Deducting expenditure from income for the year gives net income after investment gains for the year and prior to transfer to the CIO of £2,830,256 (2020 - net expenditure after investment losses £4,111,950).

Investment performance

The purpose of holding listed investments is to earn income to be used by the sisters in their ministries while carrying out the charitable work of the Congregation now and in the future.

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Financial Review (continued)

Investment performance (continued)

The Congregation has discretionary investment agreements with Charles Stanley & Co Limited, Sarasin & Partners LLP and Rathbone Investment Management Limited. The trustees meet with the fund managers and financial advisers during the year to ensure that the funds are managed in accordance with the investment policy and the religious and ethical principles of the Congregation. The objective of the fund managers is to achieve a reasonable return of both income and capital growth with no more than a conservative to moderate level of risk.

The performance and structure of the principal portfolios continues to be closely monitored by the Finance and General Purposes Committee.

An income yield of 2.9% and a capital yield of 19.6% was achieved. At the end of the year the Charity’s portfolio of listed investments comprised 46.01% unit funds, 26.36% UK equities, 6.44% UK fixed interest stocks, 16.45% overseas unit trusts, 3.59% alternative investments and 1.15% property.

The value of the listed investments prior to transfer to the CIO increased by £3,461,335 from a market value of £27,447,584 at the end of March 2020 to a value of £30,908,919 at the end of March 2021, a rise of 12.6%. Net investment disposals during the year amounted to £2,008,509 (2020 - £3,071,097). After transfer to the CIO on 31 March 2021 the overall value of the listed investments as at 31 March 2021 is £6,778,911.

Reserves policy

The Charity had, and now the successor charity has, a commitment to support members of the Congregation, many of whom continue to carry out charitable work long past the normal age of retirement. The sisters retire only because of ill health and/or old age and frailty. The trustees of the CIO accept responsibility for establishing an appropriate reserves policy to cater, in the first instance, for the medical care of the sisters now and in the future.

Prior to the transfer to the CIO, the funds set aside to provide for the sisters in later life, none of whom have resources of their own, were re-assessed during the year. The calculations, based on actuarial methods, indicate that £19.5 million is needed to be set aside in order to provide £20,000 per annum for sisters over 65 years of age and, because of the greater health needs, £30,000 to £40,000 per annum for sisters over 75 years of age and £40,000 to £50,000 for those over 90 years of age. However, the amount designated has been limited by the resources available and the fund, prior to the transfer to the CIO has been reduced by £4 million to £19 million.

The board of management of St Gemma’s Hospice has adopted a reserves policy to maintain a minimum level of resources to ensure that the hospice can continue to provide its current level of services, having regard to possible fluctuations in income and expenditure. These reserves should exclude those amounts designated for the upkeep and renovation of the hospice and those funds already invested in tangible fixed assets.

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Financial Review (continued)

Reserves policy (continued)

Total reserves of St Gemma’s at 31 March 2021 were £12,886,778 (2020 - £11,744,272) of which £4,279,138 (2020 - £3,979,809) had been designated by the Board of Management for the continuing upkeep and renovation of the hospice.

The trustees have examined the need for free reserves i.e. those unrestricted funds not invested in tangible fixed assets, designated for specific purposes or otherwise committed. The trustees consider that, given the nature of the Charity’s work and its commitments, the level of free reserves should be up to an amount equal to annual unrestricted expenditure.

Financial position

Before the transfer to the CIO, the consolidated balance sheet showed total reserves of £67,331,820 at 31 March 2021 (2020 - £64,501,564). After the transfer to the CIO of £48,103,832 on 31 March 2021, the consolidated balance sheet shows total reserves of £19,227,988 at 31 March 2021.

Before the transfer to the CIO, included in total funds was an amount of £12,886,782 (2020 - £11,744,276) which is restricted. These funds, which include all funds relating to St Gemma’s Hospice, include other monies that have either been raised for, and their use restricted to, specific purposes or they comprise donations subject to donor imposed conditions. Full details of these restricted funds can be found in note 16 to the accounts, together with an analysis of movements in the year.

Before the transfer to the CIO, an amount of £19,000,000 (2020 - £23,000,000) represented the future healthcare of sisters fund, which has been designated to provide for sisters in their retirement. The fund was transferred to the CIO.

Before the transfer to the CIO, an amount of £160,305 (2020 - £165,305) represented the funds designated for making donations at times of crisis. The fund was transferred to the CIO.

Before the transfer to the CIO, an amount of £2,044,592 (2020 - £2,049,323) represented the programme related investments fund. After transfer to the CIO of £134,646, £1,909,946 remains in the Charity at the year end. More details can be found in note 17.

Before the transfer to the CIO, the tangible fixed assets fund totalled £27,829,713 (2020 - £25,825,835) and represented those tangible fixed assets not financed out of restricted funds or used by St Gemma’s Hospice. After transfer to the CIO of £18,263,260, £9,566,453 remains in the Charity at the year end.

Funds which are available to support the work of the sisters in the future are those shown on the consolidated balance sheet as general funds. Before the transfer to the CIO, these amounted to £8,208,324 at 31 March 2021 (2020 - £1,716,825). £456,735 was transferred to the CIO, leaving £7,751,589 remaining in the Charity at 31 March 2021. These are deemed adequate in the case of both the charity and its successor charity in the light of current economic and political uncertainties and the challenges presented by Covid-19.

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CHAPTER FOUR – Policies and Compliance with Charity Requirements

1 Property

Sales and Donations

Two houses, one in London and one in Ballycastle, Northern Ireland are currently on the property market and have been retained by the Charity rather than transferred to the successor charity.

The transfer of Cross and Passion College, Kilcullen land to the Le Chéile Trust, is nearing completion.

St Gabriel’s Hall and Woodthorpe

These are two adjoining properties. These properties had been leased as Halls of Residence to Manchester University until September 2019 when the lease was not renewed and the properties were vacated. We received £385,000 in dilapidations from the University. On the advice of our property advisor and solicitors we engaged Cushman and Wakefield to review how this resource could best be used to meet the objects of the Charity going forward. It was decided that the best option was to sell this property. Negotiations are in progress. We have identified a buyer and are preparing to exchange contracts for the purchase of the site. These properties have been retained by the Charity rather than transferred to the successor charity.

St David’s Hall

St David’s Hall is also a vacant property adjoining St Gabriel’s Hall and has been retained by the Charity rather than transferred to the successor charity. We are including this property in the same sale.

Ongoing development

St Gemma’s Hospice

A long term lease for the transfer of the whole property from the Charity to the Hospice, including the convent, is nearing completion.

Maintenance

By its nature this is never ending.

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1 Property (continued)

Maintenance (continued)

Sisters are encouraged to be vigilant in the maintenance of houses for health and safety reasons, as well as general upkeep. PAT (Portable Appliance Testing) and Fire Risk assessments are carried out in our properties on a regular basis.

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2 Policies, Reports and Plans

We reviewed our: Risk Management Policy Disaster Plan Safeguarding Policy Crisis Fund Policy GDPR Policy

We ensured that our Care Communities and our Retreat Centres all have Health and Safety Policies in place.

We compiled our: Annual Appraisal Province Action Plan Charity Annual Report and Accounts (UK) Charity Commission Annual Report (Republic of Ireland)

3 Safeguarding

The Trustees of the Charity and successor charity are committed to implementing the policies and procedures of the Catholic Safeguarding Advisory Service (CSAS) and the National Board of Safeguarding Children in the Catholic Church in Ireland (NBSCCC). Two sisters in Ireland (North and ROI) are delegated to represent the Province. Two sisters are delegated in England to represent the Province. They attend the meetings relating to safeguarding in their respective areas. We ensure that our policies and procedures are in accordance with statutory regulations of State and Church. Following the publication of the IICSA Report on Child Sexual Abuse in the Catholic Church in November 2020, there have been a number of commentaries and webinars – aids to understanding the Report. We continue to draw the attention of our sisters, in particular our Safeguarding leads, to these.

4 Archives

One sister is engaged full-time in preserving the archives of the Province. She ensures that all collections are sorted, carefully stored and remain confidential. She is also the archivist for the entire congregational archives. Finding a permanent home for the storage of our archives still remains one of our goals. 2020 was a year of cancelled events relating to celebrating the bicentenary of the birth of our Foundress, Elizabeth Prout. However, in January 2021 we received the good news from Rome that she has been declared Venerable, a public acknowledgment of her sanctity. Our archivist has been busy with publicity about this good news.

5 General Data Protection Regulation (GDPR)

With the help of our solicitors, we have drawn up an umbrella Data Protection Policy for the Charity and its successor charity, which covers the processing and control of data from four main areas: employment data; data relating to sisters in care; data relating to the users of our retreat centres and data kept on individual sisters in the province office. This policy is reviewed on an annual basis.

St Gemma’s Hospice has its own Data Protection Policy. An IT security audit was completed in February 2018. All high-level remediation advice from the previous assessment has been actioned and none of the vulnerability discovered during the latest assessment is considered an immediate threat to the security of St Gemma’s Hospice.

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6 Investment Policy

The Charity’s investments are managed by Sarasin & Partners LLP, Charles Stanley & Co Limited and Rathbone Investment Management Limited. Certain of the investments managed by Sarasin & Partners LLP and those managed by Rathbone Investment Management Limited have been retained by the Charity rather than transferred to the successor charity. There are no restrictions on the Charity’s power or that of its successor charity to invest.

The Investment Strategy is set by the Trustees and takes into account income requirements, the risk profile and Investment Manager’s views of the market prospects in the medium term. The policy is to maximise total return through diversified portfolios whilst providing a level of income advised by Trustees from time to time. During the year we were advised to move more stocks to equities as returns were more profitable.

There is also an Ethical Policy precluding any investment in any company which, after reasonable enquiry, clearly has significant profits from any activity whose objectives are contrary to ours and considered to be unjust or damaging to health and wellbeing. Serious consideration is being given to investing in “green energy” as a proactive way of disinvesting in fossil fuels.

The performance of the portfolios and the Charity’s Investment Strategy are reviewed by the Trustees, who meet with the Investment Managers twice yearly. This will be continued by the successor charity.

7 Insurance

A review of the major risks to which the Province is exposed and of systems established to mitigate those risks is undertaken annually by the Trustees. The Province Bursar is in regular contact with insurers for Ireland (Arachas) and United Kingdom (Marsh Commercial).

8 Crisis Fund

Donations given to projects from our Crisis Fund are discussed, approved and recorded at our Trustee meetings. The agreement of three Trustees is needed to approve a donation. Due diligence is observed in checking the background details of the projects and those managing them. This includes alertness to possible scams. Acknowledgement is requested and accountability for any money given. At our annual Assembly sisters are appraised of donations which have been made and information shared on the projects which are supported.

Requests are sometimes made from the Congregational Leadership Team to assist the work of the Congregation in other parts of the world.

The sisters acknowledge, with gratitude, those who have given donations towards our Mission projects. Restricted donations go straight to the project for which the money has been given.

Whilst the Trustees give support to United Kingdom organisations, whose work is within the objects of the Charity or its successor charity, neither the Charity or its successor charity regard themselves as grant making entities and applications for grants are not invited.

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9 Fundraising Policy

Income generation at St Gemma’s is conducted by a team of fundraisers and retail staff directly employed by the Charity and led by the Director of Income Generation. No external professional fundraisers have been utilised during the year. The Hospice benefited from some relatively low value commercial participation partnerships with local companies which were managed by the Senior Fundraiser (Corporate) and governed by written agreements. St Gemma’s Hospice is registered with the Fundraising Regulator. The Director of Income Generation is a member of the Institute of Fundraising and the whole Income Generation team are members of the National Association of Hospice Fundraisers. There have been no failures to comply with the standards set by these organisations.

The Trustees of the Hospice monitor the activities of the Income Generation Team via quarterly meetings of the Finance and Business Committee. The Chair of the Committee also meets monthly with the Chief Operating Officer and the Director of Income Generation.

Policies to protect vulnerable individuals are in place and all fundraisers are aware of their responsibilities in this area.

10 Continued Professional Development

For our own professional development and to keep ourselves updated with changes we have attended the following online courses and Zoom meetings:

COREW, Leaders’ Conference: AMRI, Dublin – AGM: English Bursar’s Conference, Hertfordshire: Irish Bursar’s Conference, Dublin: Safeguarding (UK): Safeguarding Dublin: Insurance Meeting, Manchester:

October 2020 September 2020 October 2020 November 2020 Sept 2020; Feb, Mar 2021 March 2021 January, March 2021

Trustee Training

CRA, Dublin:

September 2020

Meetings for our own needs: F&GP Committee with input from Investment Manager:

July & Nov 2020; February 2021

Solicitors:

March, April, June, August, Sept, Oct 2020; Jan, Feb, March 2021

Auditors: Pre Audit Audit Audit Clearance: Pre-Audit

May 2020 July 2020 September 2020 March 2021

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10 Continued Professional Development (continued)

Meetings related to our Ministry St Gemma’s Hospice, Leeds: All Board meetings & 2 Strategy meetings Le Chéile Trust, Dublin: Religious Orders in Education (ROE), London Drumalis AGM Minsteracres Board, Northumberland

Leeds Trinity Patronal Feast Global Catholic Climate Movement: CCLA Investment:

AGM - Dec 2020

Oct 2020; Feb 2021 December 2020 September 2020 May, July, Sept, Oct, Dec 2020; Feb 2021 November 2020 Feb, March 2021 January 2021

Investec Investments:

March 2021

Internal Province Meetings

Trustee and PLT meetings Monthly CLT/ACC Links Sisters with PLT PLT/Managers of Care Communities: July 2020 Province Zoom with Sisters: Monthly

July, Sept, Nov, Dec 2020; Jan, March 2021 July, Nov 2020; Feb 2021 July 2020

CHAPTER FIVE: Governance, Trustees’ Responsibilities, Risk Management

1 Governance

Sisters of the Cross and Passion

In terms of Canon Law, at international level the Congregational Leadership Team (CLT) is the major spiritual and administrative body of the Congregation of the Sisters of the Cross and Passion. The administration of the CLT continues to be centred in the United Kingdom.

In keeping with the charitable work envisaged by the Trust Deed, the CLT often make donations to other charitable organisations. The finances of the CLT also incorporate the administrative and financial costs and the expenses incurred by the members of the team.

The Province Leadership Team (PLT) consists of the Provincial Leader and her Councillors, who are elected at a Provincial Chapter by members of the Province for a term of five years. The Province Leader is the highest authority in the Province and is its official representative. Her authority extends to all the sisters, communities and properties of the Province. The Provincial Leader and team are assisted in their work by the Provincial Bursar, who is now a lay woman, newly appointed in October 2019, and a group of sisters (Links Sisters), who represent smaller clusters of sisters. They meet the PLT three times annually and plan an annual assembly for all the sisters who can attend. This system allows for maximum participation in decision-making by all sisters throughout the Province.

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1 Governance (continued)

Sisters of the Cross and Passion (continued)

In terms of Civil law, the Charity is governed by its own Trust Deed dated 25 March 1994 and is a registered Charity under the Charities Act 2011, Charity registration No 103843 (England and Wales). It is also a registered Charity in Scotland, Charity registration No SCO 38416 (Scotland) and in the Republic of Ireland, Charity registration No 20015893.

The Trustees of the Charity are the Congregational Leader, the Provincial Leader and Provincial Councillors, plus one Trustee appointed by the Congregational Leader. As all Trustees are members of the Congregation they have a detailed knowledge of the work of the Charity and of its structure. The Trustees, one of whom is the Canonical Bursar, are members of the Congregation and whilst their living and personal expenses are borne by the Charity, they receive no remuneration or reimbursement of expenses in connection with their duties as Trustees. On being appointed, new Trustees spend time with those Trustees leaving office. They also meet with the Congregation’s legal, accounting, investment and property advisors in order to obtain a full briefing of their responsibilities and the Charity’s position. They attend training courses and seminars where appropriate.

The names of the Trustees who served during the year are set out as part of the reference and administration details on page 1 of this annual report and accounts.

St Gemma’s Hospice

St Gemma’s Hospice was a subsidiary charity of the Charity until 31 March 2021, when membership was transferred to the CIO. It has its own Board of Governance. All six Trustees of the Sisters of the Cross and Passion are Trustees on the Board of St Gemma’s. The Board is responsible for the overall direction and management of the Hospice, approves strategy and oversees its implementation.

The Board has approved a scheme of delegation under which the majority of operational management and decision making is delegated to the Chief Executive. The Chief Executive has a key role in the management and monitoring of service delivery, patient satisfaction, financial performance, the assessment and control of risk, and the prioritisation and allocation of resources.

The Chief Executive of the Hospice leads a Hospice Leadership Team (HLT) consisting of the Director of Nursing and Deputy Chief Executive, Director of Income Generation, Director of Medicine, Consultant in Palliative Care and Director of Corporate Services. The HLT has a strategic role in driving forward the Hospice and assisting the Chief Executive in discharging the duties delegated by the Board. It is the HLT that is in charge of challenging, leading, running and supporting the Hospice to achieve its aims.

The pay of the HLT is reviewed by the Board of Trustees, through the Remuneration Committee. The amount paid to members of the HLT is carefully considered, comparable to other roles in the market, and is benchmarked against other local hospices and national hospice reward and charity reward surveys and data. Best practice recommendations on setting remuneration, including those of the National

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1 Governance (continued)

St Gemma’s Hospice (continued)

Council for Voluntary Organisations (NCVO), are also taken into consideration. The levels paid are those necessary to ensure a well-run effective organisation in line with regulatory requirements. Competitive salaries also help the Hospice to attract, recruit and retain the best possible calibre of staff, in a fiercely competitive environment.

2 Trustees’ Responsibility Statement

The Trustees are responsible for preparing the report of the Trustees and the Accounts in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales, and in Scotland and the Republic of Ireland, requires the Trustees to prepare accounts for each financial year which give a true and fair view of the state of affairs of the Charity and the Group and of the income and expenditure of the Group for that period. In preparing these accounts, the Trustees are required to:

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the accounts comply with the Charities Act 2011, applicable Charity (Accounts and Reports) Regulations, the Charities and Trustees Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006, the Irish Charities Act 2009 and the provisions of the Charity’s Trust Deed. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees confirm that they have complied with their duty under the Charities Act 2011 to have regard to the Charity Commission’s guidance on public benefit. Throughout this report, in particular in Chapter Two, the Trustees have demonstrated how the Charity has been faithful to this. The activities of the Charity can be divided into five main areas, namely: education; health; pastoral and spiritual care; social care and projects we support financially.

Sisters of the Cross and Passion 36

Report of the Trustees Year to 31 March 2021

3 Risk Management

Sisters of the Cross and Passion

The key risks for the Charity and its successor charity, as identified by the trustees, are described below, together with the principal ways they are mitigated:

Key elements of the management of this risk are:

♦ The value of investments and properties.

The value of listed investments is dependent on movements in UK and world stock markets. The investments are managed by reputable investment managers, who adhere to a policy agreed by the trustees. The investment strategy is assessed regularly to ensure it remains appropriate to the Charity’s needs and those of its successor charity, both now and into the future.

♦ Reliance on key staff and the need for succession planning.

A review of major risks to which the Province is exposed and the systems established to mitigate those risks is undertaken annually by the Trustees. The Province Bursar is in regular contact with our insurers: Marsh Commercial in the UK and Arachas in the Republic of Ireland. A Zoom meeting was held with Marsh Commercial in Manchester in February 2021.

Sisters of the Cross and Passion 37

Report of the Trustees Year to 31 March 2021

3 Risk Management (continued)

Sisters of the Cross and Passion (continued)

During their pastoral visits, the Trustees continue to monitor the major risks to which the Charity and its successor charity may be exposed and systems are investigated and established to mitigate these risks. Since the lockdown in March 2020, meetings with sisters and staff have been conducted by Zoom. The Trustees attended various online courses during the year to keep abreast of any developments. See Chapter Four for a list of those courses.

St Gemma’s Hospice

The Trustees of the Hospice undertake an annual review of the principal risks and uncertainties that the Hospice faces, categorising them under the following headings:

Governance and management – this includes the risks involved in changes in the Hospice Leadership Team or the Board which might create a lack of direction; lack of skills and training among members of staff and the poor use of its resources.

Operational – these are risks inherent in the Hospice activities including the operation of the Hospice; the unsuitability of buildings; poor maintenance, shortcomings in the services provided, difficulties with staff; poor health and safety; lack of disaster recovery plan etc.

Financial – these risks include those arising as a result of poor budgetary control; inappropriate spending; poor accounting; inappropriate investment policy etc.

Reputational – these are risks that might result from damage to the Hospice’s

reputation.

Regulatory – these include those risks outside the Hospice’s control such as changes in government policies; and non-compliance with laws and regulations.

The Board of St Gemma’s Hospice assesses and reviews the management of the major risks to which the Hospice is exposed. There is a risk framework to support the identification and management of key risks and ensure risk management is an integral part of planning, decision-making and the day-to-day operations of service delivery. This framework incorporates procedures and processes and identifies clear roles and responsibilities in the reporting and management of key risks.

The risk register is developed by the Hospice Leadership Team and is scrutinised by the relevant Committees and Board on a quarterly basis. The Chief Executive prepares an Annual Governance Statement (AGS) which identifies how the Hospice ensures effective governance and risk management in compliance with the Voluntary Code of Good Governance framework.

Sisters of the Cross and Passion 38

Report of the Trustees Year to 31 March 2021

3 Risk Management (continued)

Sisters of the Cross and Passion (continued)

From a Covid-19 perspective, risk mitigation has centred on limiting the introduction of the virus to the Hospice, including the management of patients admitted with potential infection, the infection or potential infection of staff, and staff shortages due to isolation procedures. Controls have been introduced to significantly reduce footfall. This has meant not permitting visitors to inpatients other than one person at the end of life, and not allowing any commercial visitors or volunteers.

Securing adequate PPE has been challenging across the healthcare sector, but St Gemma’s has been able to procure sufficient supplies through a number of means such as active campaigning through the media, the support of the local community, and through some NHS commercial channels.

Sisters of the Cross and Passion 39

Report of the Trustees Year to 31 March 2021

4 Summary and Acknowledgements

This report is a summary of the work of the Congregation. The accounts accompanying this report show the movement of funds for the year ended 31 March 2021.

We, the Trustees, acknowledge with gratitude the professionalism and commitment of all our staff, volunteers and the individual members of the Congregation. Their dedication, support and positive approach are very encouraging for us.

We wish also to record our thanks to the professional bodies on whose advice and expertise we rely.

Approved by the Trustees and signed on their behalf by:

Sr Therese O’Regan

Trustee

Approved by the Trustees on: 17/01/2022

Sisters of the Cross and Passion 40

Independent auditor’s report 31 March 2021

Independent auditor’s report to the trustees of Sisters of the Cross and Passion

Opinion

We have audited the financial statements of Sisters of the Cross and Passion (the ‘parent charity’) and its subsidiaries (the ‘group’) for the year ended 31 March 2021 which comprise the Consolidated statement of financial activities, the Charity statement of financial activities the Group and parent charity Balance Sheets, the Consolidated Cash Flow Statement and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We have been appointed auditors under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under section 151 of the Charities Act 2011 and report in accordance with regulations made under those Acts.

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the [group and parent charity/charity] in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s or parent charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Sisters of the Cross and Passion 41

Independent auditor’s report 31 March 2021

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

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters where the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Charities Act 2011 require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out on page 36 the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group and parent charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or parent charity or to cease operations, or have no realistic alternative but to do so.

Sisters of the Cross and Passion 42

Independent auditor’s report 31 March 2021

Auditor’s responsibilities for the audit of the financial statements

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

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

Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the group audit engagement team and component auditors:

As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are Charities SORP (FRS 102), Companies Act 2006, Charities and Trustee Investment (Scotland) Act 2005, regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended), the Charities Act 2011, the parent charity’s governing document and tax legislation. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements including the Trustees’ Report, remaining alert to

Sisters of the Cross and Passion 43

Independent auditor’s report 31 March 2021

new or unusual transactions which may not be in accordance with the governing documents, inspecting correspondence with local tax authorities and evaluating advice received from external advisors.

The most significant laws and regulations that have an indirect impact on the financial statements are those in relation to the CQC. We performed audit procedures to inquire of management and those charged with governance whether the group is in compliance with these law and regulations and inspected correspondence with regulatory authorities.

The group audit engagement team identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the normal course of business and challenging judgments and estimates.

All relevant laws and regulations identified at a Group level and areas susceptible to fraud that could have a material effect on the financial statements were communicated to component auditors. Any instances of non-compliance with laws and regulations identified and communicated by a component auditor were considered in our audit approach.

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

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005, and regulation 10 of the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Charities Act 2011. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Karen Musgrave RSM UK Audit LLP Karen Musgrave Statutory Auditor Bluebell House Brian Johnson Way Preston PR2 5PE Date: 18/01/22

RSM UK Audit LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

Sisters of the Cross and Passion 44

Consolidated statement of financial activities Year to 31 March 2021

Notes Un-
restricted
funds
£		 Restricted
funds
£		 Total
funds
2021
£		 Un-
restricted
funds
£		 Restricted
funds
£
Total
funds
2020
£
Income from:
Donations and legacies
1
Investment income and interest
receivable
2
Charitable activities
. Provision of hospice care
3
. Retreat and similar income
. Grants receivable
Other trading activities
. Income from charity shops
. Room hire and rental income
. Fundraising events and lotteries
Other sources
. Surplus on disposal of fixed assets
. Miscellaneous income
Total income
Expenditure on:
Raising funds
. Cost of raising donations
. Fundraising activities including
charity shops
. Investment management costs
Charitable activities
. Provision of hospice care
4
. Donations and support of overseas
missions
5
. Support of members of the
Congregation and their ministry
6
Transfer to Sisters of the Cross and
Passion CIO (Charity Registration
Number 1185348) and its subsidiary
25
Total expenditure

Net expenditure before net
investment gains (losses)
Net investment gains (losses)
Net expenditure and net movement
in funds
8
Reconciliation of funds:
Fund balances at 1 April 2020

Fund balances at 31 March 2021
1,695,592
731,718

—
44,547
385,000
—
2,066
—
9,198
148,528
3,626,362

174,166
5,839,403

—

—
1,100,551

—
695,819

—

49,081

5,321,954

905,884


5,839,403
44,547
385,000


1,100,551
2,066

695,819

9,198

197,609		 1,732,742
903,749
—
666,757
126,587
—
155,445
—
206,795
75,917

3,391,642

219,069

3,970,022

—

—

2,987,330

24,644

1,040,716

—

—
5,124,384

1,122,818

3,970,022

666,757

126,587

2,987,330

180,089

1,040,716

206,795

75,917
3,016,649 11,485,382
14,502,031		 3,867,992 11,633,423 15,501,415
—
—
28,220

—
117,510
5,985,996		 2,123,859
1,231,466

27,282
8,207,089

—

—



2,123,859

1,231,466

55,502


8,207,089
117,510
5,985,996		 —
—
43,128
—
136,614
5,623,607
1,284,620

2,302,714

28,251

7,484,323

—

—
1,284,620

2,302,714

71,379

7,484,323

136,614

5,623,607
6,131,726
35,217,050		 11,589,696
12,886,782
17,721,422

48,103,832		 5,803,349
—		 11,099,908

—		 16,903,257

—
41,348,776 24,476,478
65,825,254		 5,803,349 11,099,908 16,903,257
(38,332,127)
4,802,827		 (12,991,096)

1,246,820
(51,323,223)


6,049,647		 (1,935,357)
(2,064,020)
533,515
(646,088)		 (1,401,842)
(2,710,108)
(33,529,300)
52,757,288		 (11,744,276)
11,744,276
(45,273,576)



64,501,564		 (3,999,377)
56,756,665
(112,573)
11,856,849		 (4,111,950)
68,613,514
19,227,988
—		 19,227,988 52,757,288 11,744,276 64,501,564

All recognised gains and losses of the Charity and its subsidiary are included in the above statement of financial activities.

All of the charity’s activities derived from continuing operations until 31 March 2021. With effect from midnight on 31 March 2021, certain of the activities, transactions, assets and liabilities of the charity were transferred as a going concern to Sisters of the Cross and Passion CIO (the ‘successor charity’), a Charitable Incorporated Organisation (CIO), Charity Registration Number 1185348 (see note 25).

Sisters of the Cross and Passion 45

Charity statement of financial activities Year to 31 March 2021

Notes Un-
restricted
funds
£		 Restricted
funds
£		 Total
funds
2021
£		 Un-
restricted
funds
£		 Restricted
funds
£
Total
funds
2020
£
Income from:
Donations and legacies
1
Investment income and interest
receivable
2
Charitable activities
. Retreat and similar income
. Grants receivable
Other trading activities
. Room hire and rental income
Other sources
. Surplus on disposal of fixed assets
. Miscellaneous income
Total income
Expenditure on:
Raising funds
. Investment management costs
Charitable activities
. Donations and support of overseas
missions
5
. Support of members of the
Congregation and their ministry
6
Transfer to Sisters of the Cross and
Passion CIO (Charity Registration
Number 1185348)
Total expenditure

Net expenditure before net
investment gains (losses)
Net investment gains (losses)
Net expenditure and net movement
in funds
8
Reconciliation of funds:
Fund balances at 1 April 2020

Fund balances at 31 March 2021
1,695,592
731,718
44,547
385,000
2,066
9,198
148,527
—

—

—

—

—

—

—
1,695,592

731,718

44,547
385,000

2,066

9,198
148,527		 1,732,742
903,749
666,757
126,587
155,445
206,795
75,917

—

—

—

—

—

—

—
1,732,742

903,749

666,757

126,587

155,445

206,795

75,917
3,016,648
—		 3,016,648 3,867,992
—
3,867,992
28,220
117,510
5,985,996
—

—

—


28,220

117,510
5,985,996		 43,128
136,614
5,623,607
—

—

—
43,128

136,614

5,623,607
6,131,726
35,217,049
—

4		 6,131,726

35,217,053		 5,803,349
—
—

—
5,803,349

—
41,348,775
4
41,348,779		 5,803,349
—
5,803,349
(38,332,127)
4,802,827
(4)

—
(38,332,131)

4,802,827		 (1,935,357)
(2,064,020)
—
—		 (1,935,357)
(2,064,020)
(33,529,300)
52,757,288
(4)

4
(33,529,304)



52,757,292		 (3,999,377)
56,756,665
—

4		 (3,999,377)
56,756,669
19,227,988
—		 19,277,988 52,757,288
4		 52,757,292

Sisters of the Cross and Passion 46

Balance sheets 31 March 2021

Notes Group Group Charity Charity
2021
£		 2020
£		 2021
£		 2020
£
Fixed assets:
Tangible assets
12
Investments
. Listed investments
13
. Programme related investments
13
Total fixed assets
Current assets:
Stocks
Debtors
14
Investments
Cash at bank and in hand
Total current assets
Liabilities:
Creditors: amounts falling due
within one year
15
Net current assets
Total net assets
The funds of the Charity:
Restricted funds
16
Unrestricted funds
. Designated funds
17
. Tangible fixed assets fund
18
. General fund		 9,566,453
6,778,911
1,909,946		 28,997,543
28,424,642
2,049,323		 9,566,453
6,778,911
1,909,946		 25,825,835
23,104,241
2,049,323
18,255,310 59,471,508 18,255,310 50,979,399
—
339,937
—
647,085		 17,361
1,571,100
2,013,491
2,464,165		 —
339,937
—
647,085		 —
337,656
—
1,610,786
987,022 6,066,117 987,022 1,948,442
(14,344) (1,036,061) **(14,344) ** (170,549)
972,678 5,030,056 972,678 1,777,893
19,227,988 64,501,564 19,227,988 52,757,292
—
1,909,946
9,566,453
7,751,589		 11,744,276
25,214,628
25,825,835
1,716,825		 —
1,909,946
9,566,453
7,751,589		 4
25,214,628
25,825,835
1,716,825
19,227,988 64,501,564 19,227,988 52,757,292

Approved by the trustees and signed on their behalf by:

Sr Therese O’Regan Trustee

Approved on: 17/01/2022

Sisters of the Cross and Passion 47

Consolidated statement of cash flows Year to 31 March 2021

A Notes
2021
£		 2020
£
Cash flows from operating activities:
Net cash used in operating activities
A
Cash flows from investing activities:
Investment income and interest received
Proceeds from the disposal of tangible fixed assets
Purchase of tangible fixed assets
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 transferred to Sisters of the
Cross and Passion CIO (Charity Registration 1185348)

Cash and cash equivalents at 1 April 2020
B
Change in cash and cash equivalents due to exchange rate
movements
Cash and cash equivalents at 31 March 2021
B
**(2,395,691) **		 (2,000,659)


905,884
6,000
(259,628)
4,252,495
**(1,685,233) **		 1,122,818
329,822
(733,719)
3,464,263
(994,631)
3,219,518 3,188,553

823,827

(5,622,842)


5,454,714

132,636
 1,187,894
—
4,348,000
(81,180)

788,335		 5,454,714
Net movement in funds (as per the statement of financial activities)
Adjustments for:
Depreciation charge
(Gains) losses on investments
Investment income and interest receivable
Net deficit (surplus) on disposal of tangible fixed assets
(Increase) decrease in stocks
Decrease (increase) in debtors
Increase in creditors
Transfer to Sisters of the Cross and Passion CIO
Net cash used in operating activities		 (45,273,576)
1,196,123
(6,049,647)
(905,884)
119,247
(865)
345,049
70,030
48,103,832		 (4,111,950)
1,210,772
2,710,108
(1,122,818)
(200,232)
1,065
(580,224)
92,620
—
(2,395,691) (2,000,659)

B Analysis of cash and cash equivalents

Analysis of cash and cash equivalents
2021
£		 2020
£
Cash at bank and in hand
Cash held by investment managers
Current asset investments
Total cash and cash equivalents		 647,085
141,250
—		 2,464,165
977,058
2,013,491
788,335 5,454,714

No separate reconciliation of net debt has been prepared as there is no difference between the net cash (debt) of the charity and the above cash and cash equivalents.

Sisters of the Cross and Passion 48

Principal accounting policies 31 March 2021

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 March 2021 with comparative information given in respect to the year to 31 March 2020.

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 the principles set out 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 United Kingdom and Republic of Ireland (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 pound.

Critical accounting estimates and areas of judgement

Preparation of the accounts requires the trustees and management to make significant judgements and estimates.

The items in the accounts where these judgements and estimates have been made include:

As set out in these accounting policies under “assessment of going concern”, the trustees have considered the impact of the pandemic on the Charity and have concluded that although there may be some negative consequences, it is appropriate for the Charity to continue to prepare its accounts on the going concern basis.

Sisters of the Cross and Passion 49

Principal accounting policies 31 March 2021

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 at least one year from the date of approval of these accounts and have included in their assessment the fact that with effect from midnight on 31 March 2021 certain of the activities, assets and liabilities were transferred on a going concern basis to Sisters of the Cross and Passion CIO, Charity Registration Number 1185348 (the ‘successor charity’). The transfer was in accordance with a legal transfer of undertakings dated 31 March 2021.

On the basis that certain of the activities of the charity will continue within Sisters of the Cross and Passion CIO and that the assets and liabilities were transferred on a going concern basis, the trustees of the charity have concluded that it is appropriate for the accounts to be prepared on a going concern basis.

The trustees acknowledge and recognise the potential impact of the Covid-19 pandemic on the Group and the Charity and have concluded that there may be some negative consequences such as greater volatility in the value of the Charity’s listed investment portfolio and related income, loss of income from retreat centres, charity shops and fundraising events. However, the trustees are of the opinion that the Group and Charity will have sufficient resources to meet their liabilities as they fall due. The most significant areas of judgement that affect items in the accounts are detailed above. With regard to the next 12 months, the most significant areas that affect the carrying value of the assets held by the Group, Charity and successor charity are the level of investment return and the performance of the investment markets (see the investment policy and the risk management sections of the trustees’ report for more information).

Consolidated accounts

The accounts consolidate, on a line by line basis, the results of the Charity and its charitable subsidiary, St Gemma’s Hospice, and the hospice’s subsidiary, St Gemma’s Hospice Services Limited, made up to the balance sheet date.

Income recognition

Income is recognised in the period in which the Charity has entitlement to the income, the amount of income can be measured reliably and it is probable that the income will be received.

Income comprises donations and legacies, investment income and interest receivable, income from the provision of hospice care, retreat income, grants receivable, income from trading activities (including the operation of charity shops and income from fundraising events and lotteries) and miscellaneous income.

Sisters of the Cross and Passion 50

Principal accounting policies 31 March 2021

Income recognition (continued)

Donations, including salaries and pensions of individual religious received under Gift Aid or deed of covenant, are recognised when the Charity has confirmation of both the amount and settlement date. In the event of donations pledged but not received, the amount is accrued for where the receipt is considered probable. In the event that a donation is subject to conditions that require a level of performance before the Charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the Charity and it is probable that those conditions will be fulfilled in the reporting period.

In accordance with the Charities SORP FRS 102 volunteer time is not recognised.

Gifts in kind and donated services are included at the lower of their value to the Charity and their estimated market value.

Legacies are included in the statement of financial activities when the Charity is entitled to the legacy, the executors have established that there are sufficient surplus assets in the estate to pay the legacy, and any conditions attached to the legacy are within the control of the Charity.

Entitlement is taken as the earlier of the date on which either: the Charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor to the Charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the Charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the Charity, or the Charity is aware of the granting of probate, but the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title of the asset having being transferred to the Charity.

Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the bank.

Contracts and service agreements in respect to the provision of hospice care are recognised to the extent that it is probable that the economic benefits will flow to the Charity and the revenue can be reliably measured. It is measured at fair value of the consideration received or receivable, excluding any relevant value added tax.

Income from the provision of retreats is recognised to the extent that it is probable that the economic benefits will flow to the Charity and the revenue can be reliably measured. It is measured at fair value of the consideration received or receivable, excluding any relevant value added tax.

Sisters of the Cross and Passion 51

Principal accounting policies 31 March 2021

Income recognition (continued)

Grants from government, NHS bodies, Clinical Commissioning Groups and from trusts and foundations have been included as income from charitable activities i.e. the provision of healthcare and related services where they amount to a contract for services but as donations where the money is given in response to an appeal or grant application or with greater freedom of use, e.g. for core purposes. Deferred income includes amounts received in respect of grants received for work to be carried out in the next financial year.

Funding from the Coronavirus Job Retention Scheme and other Covid-19 related grants is credited to the statement of financial activities when the Charity becomes entitled to the monies and when the amount receivable has been quantified.

Income received by way of fundraising events, lotteries and other trading receipts are credited in the accounts when the Charity is legally entitled to the income and the amount can be quantified with reasonable accuracy. These are shown gross before deductions of related expenses and net of VAT.

The surplus on the disposal of tangible fixed assets is calculated as the difference between the sale proceeds net of sale costs and the net book value of the asset immediately prior to disposal. It is accounted for once legal completion of the disposal has taken place.

Expenditure recognition

Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the Charity to make a payment to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

All expenditure is accounted for on an accruals basis. The classification between activities is as follows:

Sisters of the Cross and Passion 52

Principal accounting policies 31 March 2021

Expenditure recognition (continued)

All expenditure is stated inclusive of irrecoverable VAT.

Allocation of indirect costs and governance costs

Indirect costs represent indirect charitable expenditure. In order to carry out the primary purposes of the Charity and Group it is necessary to provide support in the form of personnel development, financial procedures, provision of office services and equipment and a suitable working environment.

Governance costs comprise the costs involving the public accountability of the Charity and Group (including audit costs) and costs in respect to its compliance with regulation and good practice.

Indirect costs and governance costs are able to be allocated to the specific charitable activities to which they relate.

Tangible fixed assets

All assets costing more than £1,000 and with an expected useful life exceeding one year are capitalised.

Depreciation is provided at 2% per annum on a straight line basis to write the buildings off over their estimated useful life to the Charity.

Sisters of the Cross and Passion 53

Principal accounting policies 31 March 2021

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.

The Charity does not acquire put options, derivatives or other complex financial instruments.

As noted above the main form of financial risk faced by the Charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities and within particular sectors or sub sectors.

Realised gains (or losses) on investment assets are calculated as the difference between disposal proceeds and their opening carrying value or their purchase value is 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.

Programme related investments

Programme related investments comprise the following:

Stocks

Stocks are valued at the lower of cost and net realisable value. Items donated for resale are not included in the accounts until they are sold.

Debtors

Debtors are recognised at their settlement amount, less any provision for non-recoverability. Prepayments are valued at the amount prepaid. They have been discounted to the present value of the future cash receipt where such discounting is material.

Sisters of the Cross and Passion 54

Principal accounting policies 31 March 2021

Current asset investments

Current asset investments represent monies invested in short-term liquid money market instruments.

Cash at bank and in hand

Cash at bank and in hand represents such accounts and instruments that are available on demand or have a maturity of less than three months from the date of acquisition.

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 estimated reliably. Creditors are recognised at the amount the Charity anticipates it will pay to settle the debt. They have been discounted to the present value of the future cash payment where such discounting is material.

Fund structure

The general fund comprises those monies which may be used towards meeting the charitable objectives of the Charity and which may be applied at the discretion of the trustees.

The tangible fixed assets fund represents the net book value of the tangible fixed assets excluding those used by St Gemma’s Hospice.

The designated funds are monies set aside out of general funds and designated for specific purposes, although the trustees may ultimately use such funds for other purposes.

The restricted funds are monies raised for, and their use restricted to, a specific purpose, or donations subject to donor imposed conditions.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the average rate of exchange for the year. Exchange differences are taken into account in arriving at the net movement in funds.

Pension costs

Charity:

The Charity offers its employees membership of a defined contribution pension scheme administered by the National Employment Savings Trust (NEST). Contributions to the scheme are debited to the statement of financial activities in the year in which they are payable to the scheme. The assets of the scheme are held by an independent corporate trustee, whose activities are governed by the National Employment Savings Trust Order 2010, made by the Secretary of State in exercise of powers confirmed under the Pensions Act 2008.

Sisters of the Cross and Passion 55

Principal accounting policies 31 March 2021

Pension costs (continued)

St Gemma’s Hospice operates two pension schemes:

Services provided by members of the Congregation

For the purpose of these accounts, no monetary value has been placed on the care, administrative and other services provided by the members of the Congregation.

Operating leases

Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the statement of financial activities on a straight line basis over the lease term.

Sisters of the Cross and Passion 56

Notes to the accounts 31 March 2021

1 Donations and legacies

Donations and legacies
Group
Salaries and pensions of individual
religious received under Gift Aid or deed
of covenant
Legacies
Donations
Grants
Other voluntary income
Total funds		 Unrestricted
funds
£


Restricted
funds
£		 Total
funds
2021
£



Unrestricted
funds
£		 Restricted
fund
£		 s

Total
funds
2020
£

1,636,711

1,479,109

1,285,998

710,885

11,681

5,124,384
1,520,750
—
163,369
—
11,473
—
1,253,818
1,220,396
1,152,148

—		 1,520,750
1,253,818
1,383,765
1,152,148
11,473
1,636,711

—

84,350

—

11,681		 —
1,479,109
1,201,648
710,885
—
1,695,592 3,626,362 5,321,954
1,732,742		 3,391,642

All unrestricted funds for 2021 and 2020 relate to the Charity only. The Charity received no restricted donations and legacies in either year.

In 2021, grants include government grants of £270,781 (2020 - £450,000) relating to the Covid-19 retail grant scheme and Coronavirus Job Retention Scheme grants of £477,240 (2020 - £nil).

2 Investment income and interest receivable

Group Unrestricted
funds
£		 Restricted
funds
£		 Total
funds
2021
£		 Unrestricted
funds
£		 Restricted
funds
£

192,054

27,015

—

27,015

219,069		 Total
funds
2020
£
Income from listed investments
Interest receivable
. Bank interest
. Interest on cash held by investment
managers
Total funds		 729,891 161,915 891,806
901,395		 1,093,449
1,191
636		 12,251
—		 13,442
636
951
1,403		 27,966
1,403
1,827 12,251 14,078
2,354		 29,369
731,718 174,166 905,884
903,749		 1,122,818

All unrestricted funds for 2021 and 2020 relate to the Charity only. The Charity received no restricted investment income and interest receivable in either year.

3 Income from the provision of hospice care

Group Unrestricted
funds
£		 Restricted
funds
£		 Total
funds
2021
£
3,692,231
2,014,904

92,369

32,077

7,822
5,839,403		 Unrestricted
funds
£		 Restricted
funds
£


Total
funds
2020
£
Clinical Commissioning Group income
NHS England – COVID 19
Education and research
Bistro
Other income
Total funds		 —
—
—
—
—		 3,692,231
2,014,904
92,369
32,077
7,822
—

—

—

—

—
3,567,310

—

141,382

88,811

172,519
3,567,310

—

141,382

88,811

172,519
— 5,839,403
—
3,970,022
3,970,022

Sisters of the Cross and Passion 57

Notes to the accounts 31 March 2021

4 Expenditure on the provision of hospice care

Group
In-patient care
Community care
Day hospice
Bereavement support
Education and research
Total funds		 Unrestricted
funds
£		 Restricted
funds
£


Total
funds
2021
£		 Unrestricted
funds
£		 Restricted
funds
£
5,041,526
1,158,045
611,685
191,375
481,692
7,484,323		 Total
funds
2020
£
—
—
—
—
—
5,639,547

1,286,881

564,859

196,473

519,329
5,639,547

1,286,881

564,859

196,473

519,329
—

—

—

—

—		 5,041,526
1,158,045
611,685
191,375
481,692
—
8,207,089
8,207,089
—		 7,484,323

5 Donations and support of overseas missions

Group and Charity Unrestricted
funds
£


Restricted
funds
£

—		 Total
funds
2021
£
117,510



Unrestricted
funds
£


Restricted
fund
£		 s

Total
funds
2020
£

136,614
Total funds:Grants to the
Congregation’s overseas missions		 117,510
136,614
—

6 Support of members of the Congregation and their ministry

Group and Charity Unrestricted
funds
£		 Restricted
funds
£
—
—
—
—
—
—
—
—		 Total
funds
2021
£		 Unrestricted
funds
£		 Restricted
funds
£


Total
funds
2020
£
Sisters’ living and personal expenses
Premises
Education, training and spiritual
renewal
Administrative and similar costs
Other costs
Foreign exchange (gains)/losses
Governance costs (note 7)
Total funds		 956,433
3,274,163
255,907
1,103,239
161,916
166,011
68,327		 956,433
3,274,163
255,907
1,103,239
161,916
166,011
68,327		 916,798
3,363,746
588,405
676,550
107,555
(89,759)
60,312		 —
—
—
—
—
—
—
916,798

3,363,746

588,405

676,550

107,555

(89,759)

60,312
5,985,996 5,985,996 5,623,607 —
5,623,607

7 Governance costs

Governance costs
Group Unrestricted
funds
£		 Restricted
funds
£


Total
funds
2021
£		 Unrestricted
funds
£


Restricted
funds
£

—

19,900

2,200

40,824

—

62,924		 Total
funds
2020
£
Accountancy
Auditor’s remuneration
. Statutory
. Non-statutory
Other St Gemma’s costs
Bank fees and charges		 41,661
15,375
—
—
11,291
—

20,300
3,330
51.526

—		 41,661

35,675

3,330

51,526
11,291		 34,820
13,800
—
—
11,692		 34,820
33,700
2,200
40,824
11,692
68,327
75,156
143,483		 60,312 123,236

Sisters of the Cross and Passion 58

Notes to the accounts 31 March 2021

7 Governance costs (continued)

The above governance costs have been allocated to the following activities:

Unrestricted
funds
£


Restricted
funds
£		 Total
funds
2021
£		 Unrestricted
£

Restricted
£		 Total
2020
£
Raising funds
In-patient care
Community care
Day hospice
Bereavement support
Education and research
Support of members of the
Congregation and their ministry		 —
—
—
—
—
—
68,327		 16,914
45,961
4,900
3,883
1,321
2,177

—		 16,914
45,961
4,900
3,883
1,321
2,177
68,327
—

—

—

—

—

—
60,312
14,802

38,999

4,884

1,570

986

1,683

—		 14,802
38,999
4,884
1,570
986
1,683
60,312
68,327
75,156		 143,483
60,312
62,924		 123,236

8 Net expenditure and net movement in funds

This is stated after charging:

Group Total
2021
£
10,867,026
35,675
2,200
1,130
1,196,123
482,929
11,223		 Total
2020
£
10,350,779
33,700
1,100
1,100
1,210,772
491,614
11,021
Staff costs (note 9)
Auditor’s remuneration
. Statutory
. Non statutory – taxation services
Non statutory– reporting to Group auditors
Depreciation
Operating lease rental - land and buildings
Operatinglease rental - equipment
Charity Total
2021
£		 Total
2020
£
2,349,614
13,800
640,731
Staff costs (note 9)
Auditors’ remuneration
. Statutory
Depreciation		 2,302,287
15,375
610,478

9 Staff costs and remuneration of key management personnel

Group
Staff costs during the year were as follows:
Wages and salaries
Social security costs
Other pension costs		 2021
£
9,462,932
783,792
620,302
10,867,026		 2020
£
9,043,552
725,631
581,596
10,350,779

Sisters of the Cross and Passion 59

Notes to the accounts 31 March 2021

9 Staff costs and remuneration of key management personnel (continued)

Charity 2021
£		 2020
£
Staff costs during the year were as follows:
Wages and salaries
Social security costs
Other pension costs		 2,145,598
133,019
23,670		 2,197,879
129,146
22,589
2,302,287 2,349,614

The number of employees who earned £60,000 per annum or more (excluding employer’s pension contributions but including taxable benefits) during the year is shown below. All were employed at St Gemma’s Hospice.

Group Total
2021
No.		 Total
2020
No.
£60,001 – £70,000
£70,001 – £80,000
£80,001 – £90,000
£100,001 – £110,000
£140,001 – £150,000
£150,001 – £160,000		 1
3
1
1
1
—		 —
3
—
1
—
1
7 5

As shown above, St Gemma's Hospice employs seven (2020 – five) individuals who have salaries over £60,000. Three (2020 – two) of these are medical consultants who are directly employed on NHS equivalent contracts, in line with national agreements. The others are members of the Hospice Leadership Team, responsible for running the Hospice. The Chief Executive is not the highest paid employee.

The average number of full time equivalent employees during the year was:

2021
No.		 2020
No.
St Gemma’s Hospice
Support of sisters and their ministry		 230
134		 222
140
364 362

The Trustees consider that they together with the Province Bursar comprise the key management personnel of the Charity in charge of directing and controlling, running and operating the Charity on a day to day basis.

In terms of St Gemma’s Hospice, the Charity’s subsidiary, the board of St Gemma’s Hospice is responsible for the overall direction and management of the hospice. The board has overall responsibility for ensuring the hospice is managed efficiently, approves the strategy and oversees its implementation. At 31 March 2021 there were five members of the board who were representatives of the Sisters of the Cross and Passion.

Sisters of the Cross and Passion 60

Notes to the accounts 31 March 2021

9 Staff costs and remuneration of key management personnel (continued)

As explained in note 10 below, all Trustees and the Province Bursar are members of the Congregation and whilst their living and personal expenses are borne by the Charity they receive no remuneration or reimbursement of expenses in connection with their duties as Trustees.

The total remuneration (including taxable benefits, employer's pension contributions and employers’ national insurance contributions) of the key management personnel of St Gemma’s Hospice for the year was £494,000 (2020 - £496,000).

10 Trustees' expenses and remuneration and transactions with trustees

The Charity's Trustees are all members of the Congregation and consequently their living and personal expenses, all of which are consistent with the amounts paid in respect to other members of the Congregation, are borne by the Charity. No Trustees received any remuneration or reimbursement of expenses in connection with their duties as Trustees (2020 – none).

As members of the Congregation, none of the Trustees have resources of their own as all earnings, pensions and other income have been donated to the Charity under a Gift Aid compliant deed of covenant. During the year, the total amount donated by the Trustees to the Charity was £66,704 (2020 - £46,352).

The Trustees of St Gemma’s Hospice did not receive any remuneration (2020 - none).

No Trustee of St Gemma’s Hospice was reimbursed expenses during the year (2020 - £nil).

Indemnity insurance is provided for the Trustees of St Gemma’s Hospice. Premiums paid during the period were £1,210 (2020 - £1,240). The cover is £5,000,000 (2020 - £5,000,000).

11 Taxation

The Sisters of the Cross and Passion is a registered charity and, therefore, is not liable to income tax or corporation tax on income or gains derived from its charitable activities, as they fall within the various exemptions available to registered charities.

The trading subsidiary of St Gemma’s Hospice is liable to corporation tax on its taxable profits. Current tax, including UK corporation tax and foreign tax, is provided at amounts expected to be paid (or recovered) using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Sisters of the Cross and Passion 61

Notes to the accounts 31 March 2021

12 Tangible fixed assets

Tangible fixed assets
Group Freehold
land and
buildings
£		 Improvements
to leasehold
property
£		 Plant,
furniture and
equipment
£		 Motor
vehicles
£		 Total
£
Cost or valuation
At 1 April 2020
Additions
Disposals
Exchange movement
Transfer to Sisters of the Cross
and Passion CIO
At 31 March 2021
Assets at historic cost
Depreciation
At 1 April 2020
Charge for year
On disposals
Exchange movement
Transfer to Sisters of the Cross
and Passion CIO
At 31 March 2021
Net book values
At 31 March 2021
At 31 March 2020		 29,377,567
—
(120,000)
(119,222)		 6,670,892
—
—
—		 5,558,242
235,448
(184,049)
(3,513)		 576,181
24,180
(57,343)
(3,504)		 42,182,882
259,628
(361,392)
(126,239)
29,138,345 6,670,892 5,606,128 539,514 41,954,879
(18,023,202) (6,670,892) (5,490,634) (436,752) (30,621,480)
11,115,143 — 115,494 102,762 11,333,399
11,115,143 — 115,494 102,762 11,333,399
11,115,143 — 115,494 102,762 11,333,399
4,053,652
529,249
(17,402)
(15,659)		 4,521,514
354,208
—
—		 4,219,007
274,956
(171,743)
(2,110)		 391,166
37,710
(47,000)
(2,381)		 13,185,339
1,196,123
(236,145)
(20,150)
4,549,840 4,875,722 4,320,110 379,495 14,125,167
(2,922,327) (4,875,722) (4,248,871) (311,301) (12,358,221)
1,627,513 — 71,239 68,194 1,766,946
9,487,630 — 44,255 34,568 9,566,453
25,323,915 2,149,378 1,339,235 185,015 28,997,543
Charity Freehold
land and
buildings
£		 Plant,
furniture and
equipment
£		 Motor
vehicles
£		 Total
£
Cost or valuation
At 1 April 2020
Additions
Disposals
Exchange movement
Transfer to Sisters of the Cross
and Passion CIO (see note 25)
At 31 March 2021
Assets at historic cost
Depreciation
At 1 April 2020
Charge for year
On disposals
Exchange movement
Transfer to Sisters of the Cross
and Passion CIO (see note 25)
At 31 March 2021
Net book values
At 31 March 2021
At 31 March 2020		 29,377,567
—
(120,000)
(119,222)		 1,669,810
23,611

(184,049)
(3,513)		 516,454
24,180
(57,343)
(3,504)		 31,563,831
47,791
(361,392)
(126,239)
29,138,345 1,505,859 479,787 31,123,991
(18,023,202) (1,390,365) (377,025) (19,790,592)
11,115,143 115,494 102,762 11,333,399
11,115,143 115,494 102,762 11,333,399
11,115,143 115,494 102,762 11,333,399
4,053,652
529,249
(17,402)
(15,659)		 1,314,932
51,424

(171,743)
(2,110)		 369,412
29,805
(47,000)
(2,381)		 5,737,996
610,478
(236,145)
(20,150)
4,549,840 1,192,503 349,836 6,092,179
(2,922,327) (1,121,264) (281,642) (4,325,233)
1,627,513 71,239 68,194 1,766,946
9,487,630 44,255 34,568 9,566,453
25,323,915 354,878 147,042 25,825,835

Sisters of the Cross and Passion 62

Notes to the accounts 31 March 2021

12 Tangible fixed assets (continued)

Group and Charity

Properties located in Great Britain and owed by the Charity at 1 April 2016 were revalued by Feather, Smailes & Scales, Auctioneers and Valuers, using an existing use value or depreciated replacement cost basis during March 2002, November 2003, April 2007, October 2008, August 2009, March 2011, March 2012, March 2013, March 2014 and March 2015. The basis of valuation was dependent on the nature of the property. The chief valuer was Michael Hare Bsc LLM Dip Est Man (Tech) FRICS, FNAEA, FICBA.

Properties located in Ireland and Northern Ireland were revalued by Lisneys, Auctioneers and Valuers, using an existing use value basis during 2012.

The revaluations were part of a rolling programme that resulted in each property being revalued at least every five years. As explained under principal accounting policies, freehold land and buildings are included in the accounts at whatever their valuation was as at 1 April 2016 based on the above valuation. This valuation has been deemed cost under the transitional arrangements set out in FRS 102 and will apply going forward with additions as of 1 April 2016 or later accounted for at cost.

13 Investments

At 31 March 2021 fixed asset investments comprised:

Group Group Charity Charity
2021
£		 2020
£		 2021
£		 2020
£
Programme related investments (see a
below)
Listed investments and cash held for
re-investment (see b below)
Transfer to Sisters of the Cross and
Passion CIO (see note 25)
At 31 March 2021		 2,044,592
31,943,092		 2,049,323
28,424,642		 2,044,592
25,406,899		 2,049,323
23,104,241
33,987,684 30,473,965 27,451,491 25,153,563
(25,298,827) — (18,762,634) —
8,688,857 30,473,965 8,688,857 25,153,564

a. Programme related investments

Two of the properties are not used directly by the Charity but they are used by other charitable and not-for-profit organisations for purposes consistent with the Charity’s objectives. In some cases, rents are received but in other cases no formal rental agreement is in place. Therefore, the Trustees are of the opinion that the relevant land and buildings should be classified as programme related investments. In addition, the Charity holds units managed by Oikocredit International Share Foundation (Oikocredit) (see further information below).

Sisters of the Cross and Passion 63

Notes to the accounts 31 March 2021

13 Investments (continued)

a. Programme related investments (continued)

Group and Charity 2021
£		 2020
£
At 1 April 2020
Additions
Exchange movements
Transfer to Sisters of the Cross and Passion CIO (see note 25)
At 31 March 2021		 2,049,323
11,270
(16,001)		 2,045,274
1,777
2,272
2,044,592 2,049,323
(134,646) —
1,909,946 2,049,323

Immediately prior to transfer to the Sisters of the Cross and Passion CIO, programme related investments comprised:

investments comprised:
Group and Charity 2021
£		 2020
£
St Gabriel’s Hall
The Imani Centre
Oikocredit		 134,430
1,775,516
134,646		 134,430
1,775,516
139,377
2,044,592 2,049,323

As explained under principal accounting policies, the properties included above are included in the accounts at a value equal to their depreciated cost immediately prior to reclassification. Further details in respect to the programme related investments and their use is given below.

St Gabriel’s Hall

St Gabriel’s Hall was used during both 2020 and 2019 as a hall of residence by Manchester University. During both of these years it was a catered, all-girls hall comprising of about 100 residents, along with five tutors and the hall warden forming the pastoral team. The hall admitted undergraduate and postgraduate students. The lease on the property expired in 2018. On the advice of the Charity’s property advisor and solicitors the Trustees engaged Cushman and Wakefield to negotiate with the University of Manchester and the lease was extended until September 2019, when the properties were vacated.

The Imani Centre

The Imani Centre was used during both 2020 and 2019 by the Imani Community Association, to promote the benefit of the inhabitants of Manchester and the neighbourhood together with local authorities, voluntary and other organisations and so advance education and provide facilities in the interests of social welfare. Specific activities include regular self protection sessions, fundraising functions, young people’s groups and play schemes.

The property used by the Centre adjoins St Gabriel’s Hall and is now also vacant following the expiry of the lease.

Sisters of the Cross and Passion 64

Notes to the accounts 31 March 2021

13 Investments (continued)

a. Programme related investments (continued)

Oikocredit

At 31 March 2021, prior to the transfer to the CIO, the Charity held units in funds managed by Oikocredit International Share Foundation (Oikocredit). Oikocredit is incorporated as a foundation under the laws of the Netherlands and has its registered office in Amersfoot, Netherlands. The trustees consider it to be a suitable vehicle in which to invest, being a world-wide co-operative society, promoting global justice by challenging people, churches and others to share their resources through socially responsible investments and by empowering disadvantaged people by providing them with credit. Oikocredit offers a dual return to the investor: social and financial. In addition to earning modest financial returns, investors are secure in the knowledge that their money is being used to fight poverty, promote fair trade and respect our planet’s natural resources. As a result, the trustees believe it appropriate to regard these funds as programme related investments and they are included on the balance sheet at cost. The cost of the funds held at 31 March 2021 prior to transfer to the CIO was £134,646 (2020 - £139,377).

b. Listed investments and cash held for re-investment

b. Listed investments and cash held for re-investment
Group 2021
£		 2020
£
Listed investments
Market value at 1 April 2020
Additions at cost
Disposals at book value (proceeds: £4,252,495; gains: £570,023)
Exchange movements
Net unrealised investment gains (losses)
Market value at 31 March 2021
Cash held by investment managers for reinvestment
Transfer to Sisters of the Cross and Passion CIO (see note 25)
Cost of listed investments
Transfer to Sisters of the Cross and Passion CIO (see note 25)
Cost of listed investments at 31 March 2021		 27,447,584
1,673,963
(3,682,472)
(9,780)
5,479,624		 32,623,856
992,854
(4,063,951)
5,245
(2,110,420)
30,908,919
1,034,174		 27,447,584
977,058
31,943,093 28,424,642
(25,164,182) —
6,778,911 28,424,642
20,896,555
(16,149,452)		 22,153,562
—
4,747,103 22,153,562

Immediately prior to transfer to the Sisters of the Cross and Passion CIO, listed investments held, all of which were dealt in on a recognised stock exchange, comprised the following:

Group 2021
£		 2020
£
Fixed interest based common investment funds
Equities
Unit trusts
Alternative investments
Property
Overseas funds		 1,990,213
8,148,391
14,219,943
1,110,910
355,376
5,084,086		 1,985,162
7,460,743
12,703,302
1,925,359
436,584
2,936,434
30,908,919 27,447,584

Sisters of the Cross and Passion 65

Notes to the accounts 31 March 2021

13 Investments (continued)

b. Listed investments and cash held for re-investment (continued)

Included in the investment portfolio was the following holding which, at 31 March 2021, had a market value which was deemed material in comparison with the market value of the total portfolio at that date:

Group 2021
Market
value
£		 2021
Percentage
of portfolio
%		 2020
Market
value
£
12,703,302		 2020
Percentage
of portfolio
%
Sarasin Endowments Fund(Income Units) 14,219,943 46.01 46.28
Charity 2021
£		 2020
£
Listed investments
Market value at 1 April 2020
Additions at cost
Disposals at book value (proceeds: £2,946,598; gains: £378,987)
Exchange movements
Net unrealised investment gains (losses)
Market value at 31 March 2021
Cash held by investment managers for reinvestment
Transfer to Sisters of the Cross and Passion CIO (see note 25)
Cost of listed investments
Transfer to Sisters of the Cross and Passion CIO (see note 25)
Cost of listed investments at 31 March 2021		 22,208,169
744,097
(2,567,611)
(9,779)
4,423,838		 26,715,312
364,707
(2,718,921)
5,245
(2,158,173)
24,798,714
608,185		 22,208,170
896,071
25,406,899 23,104,241
(18,627,988) —
6,778,911 23,104,241
16,228,541
(11,481,438)		 17,485,548
—
4,747,103 17,485,548

Immediately prior to transfer to the Sisters of the Cross and Passion CIO, listed investments held, all of which were dealt in on a recognised stock exchange, comprised the following:

Charity 2021
£		 2020
£
Fixed interest based common investment funds
Equities
Unit trusts
Alternative investments
Property
Overseas funds		 1,088,781
5,371,773
14,220,313
674,340
168,806
3,274,701		 1,248,959
4,934,935
12,703,301
599,821
173,279
2,547,875
24,798,714 22,208,170

Sisters of the Cross and Passion 66

Notes to the accounts 31 March 2021

13 Investments (continued)

b. Listed investments and cash held for re-investment (continued)

Included in the investment portfolio were the following individual holdings which, at 31 March 2021, had a market value which was deemed material in comparison with the market value of the total portfolio at that date:

Charity 2021
Market
value
£
14,219,943		 2021
Percentage
of portfolio
%
57.34		 2020
Market
value
£
12,703,302		 2020
Percentage
of portfolio
%
57.20
Sarasin Endowments Fund(Income Units)

14 Debtors

Debtors
Group Charity
2021
£		 2020
£		 2021
£		 2020
£
Trade debtors
Income tax recoverable
Other debtors
Prepayments and accrued income
Transfer to Sisters of the Cross and
Passion CIO (see note 25)		 2,428
121,974
590,911
510,738		 3,763
185,408
899,822
482,107		 —
—
8,519
341,919		 —
—
—
337,656
1,226,051 1,571,100 350,438 337,656
(886,114) — (10,501) —
339,937 1,571,100 339,937 337,656

15 Creditors: amounts falling due within one year

Group Group Charity Charity
2021
£		 2020
£		 2021
£		 2020
£
Expense creditors
Taxation and social security costs
Other creditors
Accrued expenditure
Transfer to Sisters of the Cross and
Passion CIO (see note 25)		 50
29,614
640,567
435,860		 106
21,050
701,832
313,073		 —
29,614
30,580
178,878		 —
21,050
21,735
127,764
1,106,091 1,036,061 239,072 170,549
(1,091,747) — (224,728) —
14,344 1,036,061 14,344 170,549

Sisters of the Cross and Passion 67

Notes to the accounts 31 March 2021

16 Restricted funds

The income funds of the Group and Charity include restricted funds comprising the following unexpended balances of donations and grants held on trust to be applied for specific purposes. With effect from midnight on 31 March 2021, the funds were transferred to Sisters of the Cross and Passion CIO.

of the Cross and Passion CIO.
Group and Charity At 1
April
2020
£		 Income
£		 Expenditure
£
Transfers
£		 At 31
March
2021
£
Funding for missions – Misean Cara
Charity total
Hospice funds
Hospice general funds
Earmarked funds
. Maintenance of the Hospice
. SOCP – future building plan
. IT development fund
. Service transformation fund
. Leadership and development
. Staff wellbeing
Tangible fixed assets fund
Digital development reserve
Covid response reserve
NHSE Covid fund
HMRC Job Retention Scheme
City wide education project
Clinical Commissioning Group funds
Other funds
Transfer to Sisters of the Cross and
Passion CIO (see note 25)
At 31 March 2021		 4 — —
—		 — 4
4
7,472,575
453,999
150,000
9,438
141,634
46,479
6,552
3,171,707
—
—
—
—
12,138
29,358
250,392		 —
10,119,586
—
—
—
—
—
—
—
—
—
2,014,904
417,641
—
—
180,071		 —
(8,344,172)
—
—
—
(27,529)
(4,525)
(585,645)
—
—
(2,014,904)
(417,641)
—
(1,548)
(193,732)		 —

(862,923)
(35,371)
200,000
(9,438)

248,506
(46,479)

(2,027)

211,837
250,000
100,000

—

—
—

(1,441)
(52,664)		 4
8,385,066
418,628
350,000
—
362,611
—
—
2,797,899
250,000
100,000
—
—
12,138
26,369
184,067
11,744,276 12,732,202 (11,589,696)
—		 12,886,782
(11,744,276) (12,732,202)
11,589,696		 — (12,886,782)
— — — — —
Groupand Charity At 1
April
2019
£		 Income
£		 Expenditure
£		 Transfers
£		 At 31
March
2020
£
Funding for missions – Misean Cara
Charity total
Hospice funds
Hospice general funds
Earmarked funds
. Investing in people
. Maintenance of the Hospice
. SOCP – future building plan
. IT development fund
. Service transformation fund
. Leadership and development
. Staff wellbeing
Tangible fixed assets fund
IPU refurbishment fund
City wide education project
Clinical Commissioning Group funds
Other funds		 4 — — — 4
4
7,329,374
881
499,805
—
38,550
237,361
50,000
25,000
3,425,694
23,148
32,332
93,241
101,459		 —
10,489,506
—
—
150,000
—
—
—
—
—
—
—
—
347,829		 —
(10,236,440)
(881)
—
—
—
(84,798)
(3,521)
(18,448)
(570,041)
—
(14,719)
(43,439)
(127,621)		 —
(109,865)
—
(45,806)
—
(29,112)
(10,929)
—
—
316,054
(23,148)
—
(20,444)
(76,750)		 4
7,472,575
—
453,999
150,000
9,438
141,634
46,479
6,552
3,171,707
—
17,613
29,358
244,917
11,856,849 10,987,335 (11,099,908) — 11,744,276

Sisters of the Cross and Passion 68

Notes to the accounts 31 March 2021

16 Restricted funds (continued)

The specific purposes for which the funds are to be applied are as follows:

The IPU refurbishment money was raised from a fundraising appeal in 2010/11. The fund will be used to improve the In-Patient Unit.

The funds held by St Gemma’s Hospice are for use specifically for the purposes of providing palliative care. As such funds should be deemed restricted in the consolidated accounts regardless of how they have been classified in the accounts of St Gemma’s Hospice.

Sisters of the Cross and Passion 69

Notes to the accounts 31 March 2021

17 Designated funds

The income funds of the Charity included designated funds which had been set aside out of unrestricted funds by the trustees for specific purposes. With effect from midnight on 31 March 2021, the funds were transferred to Sisters of the Cross and Passion CIO.

Group and Charity At 1
April
2020
£



New
designation
£


Utilised/
released
£		 Transfer to
CIO (note
25)
£		 At
31 March
2021
£
Future healthcare of sisters
Crisis donations
Programme related
investments fund		 23,000,000
165,305
2,049,323
—

—

11,270		 (4,000,000)

(5,000)

(16,001)		 (19,000,000)
(160,305)
(134,646)		 —
—
1,909,946
25,214,628
11,270		 **(4,021,001) ** (19,294,951) 1,909,946
Groupand Charity At 1
April
2019
£		 New
designation
£
Utilised/
released
£		 At
31 March
2020
£
Future healthcare of sisters
Crisis donations
Programme related investments fund		 23,000,000
213,905
2,045,274		 —
—
1,777
—

(48,600)

2,272		 23,000,000
165,305
2,049,323
25,259,179 1,777
(46,328)		 25,214,628

The future healthcare of sisters fund consisted of monies which the Trustees set aside in order to provide for the sisters in later life. The calculations, based on actuarial methods, indicated that £23 million is needed to be set aside in order to provide £20,000 per annum for sisters over 65 years of age and, because of greater health needs, £30,000 to £40,000 per annum for sisters over 75 years of age and £40,000 to £50,000 per annum for those over 90 years of age. The amount designated has been limited by the resources available and the fund, prior to the transfer to the CIO has been reduced by £4 million to £19 million.

The crisis donations fund consisted of monies which the trustees set aside from the proceeds of the disposal of a property in Liverpool. The fund will be used to fund donations to projects, run by others, which are trying to alleviate the suffering of asylum seekers, the homeless and crisis situations.

The programme related investments fund has been designated to represent the carrying value of the Charity’s programme related investments. The amount has been set aside from the Charity’s general funds in recognition of the fact that the assets have been made available to the Imani Community Association, Manchester University and invested in Oikocredit International Share Foundation and therefore cannot be regarded as funds that would be available to meet future contingencies.

Sisters of the Cross and Passion 70

Notes to the accounts 31 March 2021

18 Tangible fixed assets fund

Tangible fixed assets fund
Group and Charity 2021
Total
£
25,825,835
(794,021)
25,031,814
(15,465,359)
9,556,453		 2020
Total
£
At 1 April 2020
Net movement in year
Transfer to Sisters of the Cross and Passion CIO (see note 25)
At 31 March 2021		 26,104,828
(278,993)
25,825,835
—
25,825,835

The tangible fixed assets fund represents the net book value of the tangible fixed assets excluding those used by St Gemma’s Hospice. A decision was made to separate this fund from the other funds of the Group and Charity in recognition of the fact that the tangible fixed assets are essential to the day to day work of the Group and Charity and as such their value should not be regarded as funds that would be realisable with ease, in order to meet future contingencies.

19 Analysis of net assets between funds

Group General
fund
£		 Tangible
fixed
assets
fund
£		 Designated
funds
£		 Restricted
funds
£		 Total
2021
£
9,566,453
8,688,857
972,678
19,227,988
Fund balances at 31 March
2021 are represented by:
Tangible fixed assets
Investments
Net current assets
Total net assets
—
6,778,911
972,678		 9,566,453
—
—		 —
1,909,946
—		 —
—
—
7,751,589 9,566,453 1,909,946 —
Group General
fund
£		 Tangible
fixed
assets
fund
£		 Designated
funds
£		 Restricted
funds
£		 Total
2020
£
28,997,543
30,473,965
5,030,056
64,501,564
Fund balances at 31 March
2020 are represented by:
Tangible fixed assets
Investments
Net current assets
Total net assets		 —
104,241
1,612,584		 25,825,835
—
—		 —
25,049,323
165,305		 3,171,708
5,320,401
3,252,167
1,716,825 25,825,835 25,214,628 11,744,276

Sisters of the Cross and Passion 71

Notes to the accounts 31 March 2021

19 Analysis of net assets between funds (continued)

Charity General
fund
£		 Tangible
fixed
assets
fund
£		 Designated
funds
£		 Restricted
funds
£		 Total
2021
£
Fund balances at 31 March
2021 are represented by:
Tangible fixed assets
Investments
Net current assets
Total net assets
—
6,778,911
972,678		 9,566,453
—
—		 —
1,909,946
—		 —
—
—		 9,566,453
8,688,857
972,678
7,751,589 9,566,453 1,909,946 — 19,227,988
Charity General
fund
£		 Tangible
fixed
assets
fund
£		 Designated
funds
£		 Restricted
funds
£		 Total
2020
£
Fund balances at 31 March
2020 are represented by:
Tangible fixed assets
Investments
Net current assets
Total net assets		 —
104,241
1,612,584		 25,825,835
—
—		 —
25,049,323
165,305		 —
—
4		 25,825,835
25,153,564
1,777,893
1,716,825 25,825,835 25,214,628 4 52,757,292

The total unrealised gains as at 31 March 2021 constitute movements on revaluation and are as follows:

Group
2021
£		 Group
2020
£


Charity
2021
£


Charity
2020
£
Unrealised gains included above:
On investments
Total unrealised gains at 31 March 2021
Reconciliation of movements in unrealised gains (losses)
Unrealised gains at 1 April 2020
Less: in respect to disposals in the year
Net gains (losses) arising on revaluation in the year
Total unrealisedgains at 31 March 2021		 10,012,364 5,294,021
8,570,174
4,722,622
10,012,364 5,294,021
8,570,174
4,722,622
5,294,021
(751,501)		 8,949,866
(1,550,670)
4,722,622
(566,507)
7,662,707
(787,158)
4,542,520
5,469,844		 7,399,196
(2,105,175)
4,156,115

4,414,059
6,875,549
(2,152,927)
10,012,364 5,294,021
8,570,174
4,722,622

20 Pension commitments

Charity:

The Charity offers its employees membership of a defined contribution pension scheme administered by the National Employment Savings Trust (NEST). Contributions to the scheme are debited to the statement of financial activities in the year in which they are payable to the scheme. The assets of the scheme are held by an independent corporate trustee, whose activities are governed by the National Employment Savings Trust Order 2010, made by the Secretary of State in exercise of powers confirmed under the Pensions Act 2008.

Sisters of the Cross and Passion 72

Notes to the accounts 31 March 2021

20 Pension commitments (continued)

St Gemma’s Hospice operates two pension schemes:

The charge to the consolidated statement of financial activities of £596,632 (2020 - £559,007) represents contributions to funds during the year. Contributions payable to the schemes at the year end date totalling £24,474 (2020 - £23,807) are included in creditors.

21 St Gemma’s Hospice

The Charity had a wholly owned subsidiary, St Gemma’s Hospice, a charitable company constituted as a company limited by guarantee, Charity Registration No. 1015941 and Company Registration No. 02773867 (England and Wales). The charitable company operates a hospice in Leeds providing palliative care, treatment or relief of people with active, progressive and advanced illnesses without regard to their means, culture, faith or belief. A summary of its results for the year is shown below. Audited accounts will be filed with both the Registrar of Companies and the Charity Commission.

Unrestricted
funds
£		 Designated
funds
£		 Restricted
funds
£		 2021
Total
funds
£
Income:
Donations, legacies and trusts
Other trading activities
Investment income
Charitable activities
Total income
Expenditure:
Cost of raising funds
Charitable activities
Total expenditure
Losses on investments
Net income (expenditure) before transfers
Transfers
Net movement in funds
Reconciliation of funds:
Fund balances at 1 April 2020
Fund balances at 31 March 2021		 3,028,650
1,845,450
174,166
3,824,499		 —
—
—
—		 597,712
—
—
2,014,904		 3,626,362
1,845,450
174,166
5,839,403
8,872,765 — 2,612,616 11,485,381
3,284,316
5,059,857		 98,292
519,407		 —
2,627,825		 3,382,608
8,207,089
8,344,173 617,699 2,627,825 11,589,697
1,246,821 — — 1,246,821
1,775,414
(862,923)		 (617,699)

917,028		 (15,209)
(54,105)
1,142,506

—
912,491
7,472,574		 299,329
3,979,809		 (69,314)
291,889
1,142,506
11,744,272
8,385,065 4,279,138 222,575 12,886,778

Sisters of the Cross and Passion 73

Notes to the accounts 31 March 2021

21 St Gemma’s Hospice (continued)

St Gemma’s Hospice(continued)
Unrestricted
funds
£		 Designated
funds
£		 Restricted
funds
£		 2020
Total
funds
£
Income:
Donations, legacies and trusts
Other trading activities
Investment income
Charitable activities
Total income
Expenditure:
Cost of raising funds
Charitable activities
Total expenditure
Losses on investments
Net (expenditure) income before transfers
Transfers
Net movement in funds
Reconciliation of funds:
Fund balances at 1 April 2019
Fund balances at 31 March 2020		 3,123,814
4,052,690
219,069
3,740,022		 —
—
—
150,000		 267,828
—
—
80,000		 3,391,642
4,052,690
219,069
3,970,022
11,135,595 150,000 347,828 11,633,423
3,517,606
6,718,834		 97,979
579,710		 —
185,779		 3,615,585
7,484,323
10,236,440 677,689 185,779 11,099,908
(646,088)
—		 — (646,088)
253,067
(109,865)		 (527,689)

230,207		 162,049
(120,342)		 (112,573)

—
143,202
7,329,372		 (297,482)
4,277,291		 41,707
250,182		 (112,573)
11,856,845
7,472,574 3,979,809 291,889 11,744,272

St Gemma’s Hospice has an arrangement with Sue Ryder Care (Wheatfields) to operate a joint lottery for fundraising purposes, which is administered by Sterling Lotteries. The net income received during the year from the lottery was £92,323 (2020 - £107,802).

22 St Gemma’s Hospice Services Limited

St Gemma’s Hospice has a wholly owned subsidiary, St Gemma’s Hospice Services Limited, a company incorporated in the United Kingdom and registered in England and Wales Company No. 03739423. The company undertakes trading activities including the sale of goods and the provision of room hire. A summary of its trading results for the year is shown below, the company donates its taxable profit to St Gemma’s Hospice under Gift Aid. Audited accounts will be filed with the Registrar of Companies.

2021
£		 2020
£
Profit and loss account
Turnover
Cost of sales
Gross profit
Administrative expenses
Management charge
Operating profit
Amount gift aided to St Gemma’s Hospice
Retained in subsidiary
Aggregate capital and reserves		 49,081
(12,514)		 88,472
(36,260)
36,567
(634)
(18,987)		 52,212
(1,832)
(30,717)
16,946
(16,946)		 19,663
(19,663)
— —
2 2

Sisters of the Cross and Passion 74

Notes to the accounts 31 March 2021

23 Leasing commitments

Operating leases

At 31 March 2021, the Group and Charity had the following total future minimum lease payments under non-cancellable operating leases relating to land and buildings and office equipment:

Group and Charity Land and buildings Office equipment Office equipment
2021
£		 2020
£		 2021
£		 2020
£
Within one year
Between one and five years		 395,986
680,165		 435,083
758,651		 6,539
7,327		 11,223
13,866
1,076,151 1,193,734 13,866 25,089

24 Ultimate control

The Charity, which is constituted as a trust, was controlled throughout the period by St Paul’s Province of the Sisters of the Cross and the Passion by virtue of the fact that the members of the Congregation appoint the Trustees. The Province does not hold any assets, incur liabilities or enter into any transactions in its own right. Assets and liabilities of the Province are vested in the Trustees of the Charity, who undertake all transactions entered into in the course of the Province’s charitable activities.

25 Transfer to Sisters of the Cross and Passion CIO

With effect from midnight on 31 March 2021, certain of the activities, assets and liabilities of the Charity were transferred to the Sisters of the Cross and Passion CIO, Charity Registration No. 1185348 in accordance with a legal transfer of undertaking deed dated 31 March 2021. The net assets at that date comprised:

2021
£
Tangible fixed assets (note 12)
. Cost
. Depreciation
Fixed asset investments (including cash held by investment managers
of £466,935) (note 13)
Debtors (note 14)
Cash at bank and in hand
Creditors: amounts falling due within one year (note 15)		 19,790,592
(4,325,233)
15,465,359
18,762,634
10,501
1,203,287
(224,728)
35,217,053

Sisters of the Cross and Passion 75

Notes to the accounts 31 March 2021

25 Transfer to Sisters of the Cross and Passion CIO (continued)

The assets and liabilities were represented by the following funds:

Transfer to Sisters of the Cross and Passion CIO(continued)
The assets and liabilities were represented by the following funds:
2021
£
Tangible fixed assets fund (note 18)

General funds
Restricted funds (note 16)
Designated funds (note 17)

 15,465,359
456,739
4
19,294,951
35,217,053

26 Related parties

Other than the transactions detailed in note 10, there are no related party transactions that require disclosure.

27 Post balance sheet events

In July 2021, one of the charity’s properties in Ballycastle, Northern Ireland was sold for gross proceeds of £286,000. In November 2021, one of the charity’s properties in London was sold for gross proceeds of £1,650,000. The combined net book value included in these accounts in respect to the two properties disposed of was £1,115,200.

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