## **Funds Held on Trust**
## **Trustees Annual Report 2020-21**
## **Introduction**
This is the Annual Report of the Milton Keynes Hospital NHS Foundation Trust Charity. Administrative details regarding the management of the Charity are outlined below.
Charity Name Milton Keynes Hospital NHS Foundation Trust Charity (working name Milton Keynes Hospital Charity)
Governing Document/Constitution Statutory Instrument No. 2372, establishing the Trust from 1[st] April 1992
Charity Registration Number 1048297
The Charity has a corporate trustee: Milton Keynes University Hospital NHS Foundation Trust (The Trust). The directors of the Trust who served during the financial year were as follows:
Professor J Harrison Mr J Blakesley Mr S Lloyd (Resigned January 2021) Ms K Jarman Ms A Davis Ms N Burns-Muir Ms E Livesley Mr A Blakeman Mr M Keech (Resigned November 2020) Dr I Reckless Ms H Smart Ms H Travis Mr J Clapman (Resigned June 2020) Ms D Petch Ms N Mcleod Ms S Aldridge (Interim Director of Finance November 2020- February 2021) Mr T Whittle Ms J Collier Mr J Lisle Dr L James Mr H Husain Professor J Tooley Address of Registered Office Milton Keynes University Hospital NHS Foundation Trust Standing Way, Eaglestone Milton Keynes MK6 5LD Name and Address of Bankers Royal Bank of Scotland 402 Lower Twelfth Street Central Milton Keynes MK9 3LF Steve Robinson Name and Address of Mercer & Hole Chartered Accountant Independent Examiners Silbury Court, 420 Silbury Boulevard Central Milton Keynes MK9 2AF Name and Address of Solicitors Foinette Quinn 123-131 Queensway, Bletchley Milton Keynes MK2 2DH
1
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Charity Objectives and Organisation**
Milton Keynes Hospital Charity is the registered charity for Milton Keynes University Hospital NHS Foundation Trust. The charity raises funds for all wards and departments, although it will have fundraising priorities as determined by Trustees.
Thanks to its kind supporters, the charity makes a real difference to the experience of patients, their families and the staff who treat them – benefitting the community in and around Milton Keynes.
Fundraising enables wards and departments to go over and above what the NHS provides – always funding specific, tangible and intangible items such as:
- Comfort items for patients
- Pilots for new patient-care initiatives
- State of the art equipment
- Special advanced training for members of staff
- New welcoming, positive environments for everyone treated in our hospital.
Donors have options to support specific projects or wards or to contribute to a general hospital charitable fund.
The management of these funds is overseen by the Charitable Funds Committee, which reports into the Trust Board. Milton Keynes University Hospital NHS Foundation Trust acts as the sole corporate trustee of Milton Keynes Hospital Charity, in line with the Trust Board’s Standing Orders, and this role is undertaken on its behalf by individual members of the Trust Board.
Each individual fund is managed on a day-to-day basis by three officers designated by the Chief Executive.
The Trust has a general policy of ensuring that income is spent as soon as practicable after receipt. Managers are instructed that unspent funds should not be allowed to accumulate without an agreed plan on how and when they will be used.
The Trustee confirms that it has complied with the duty included in section 4 of the Charities Act 2006 to have due regard to public benefit guidance provided by the Charity Commission when reviewing aims and objectives, when planning future activities and in setting the grant making policy for the year.
The charity carries out these objects by funding activities that benefit NHS patients of Milton Keynes University Hospital NHS Foundation Trust or the staff that deliver care to those patients. Primarily, these activities improve the health of patients and the general patient experience, but also activities that improve the skills of staff, improve working conditions and improve staff morale.
2
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Review of the year**
Due to Covid-19, this particular year was like no other. April 2020 onwards saw our events and fundraising activities cancelled for the foreseeable future as we entered Lockdown One. These did not pick up for the entirety of the financial year.
The charity’s small fundraising team of three then took on the tasks of managing the gifts in kind and huge influx of extremely generous donations that came into the hospital from that point onwards.
The function of the fundraising team changed overnight from a mainly externally focussed team fundraising for patients and families, to one supporting staff within the hospital.
That said, our team continued to not only rise to the challenge of processing donations and supporting hospital staff at one of the most challenging points of their lives; but also fundraise for projects to support patients and families during the year, too.
## **Gifts in Kind**
During the Pandemic the team has been the central point – collection and distribution – for thousands of gifts in kind that have been given to staff and patients.
Whilst making assessments on the use and value of these gifts, the team then made sure these kind donations were distributed as quickly and fairly as possible, meaning all teams, of all disciplines, received items of some kind.
During Lockdown Two, volunteers were drafted in to help cope with the volume of items coming through, mainly supporting with distribution. Following the setting up of an Amazon Wish List, we created care packs for staff, which were then boxed up by the team and distributed to wards. These care packs included items such as snacks, dry goods, hand creams, face packs, soft drinks, magazines, toiletries such as dry shampoo, deodorant and face wash and period products.
Types of items we collected and distributed included PPE (visors, scrubs, masks), hot meals, snacks and cold drinks for staff, toiletries and period products, puzzle books and other books and magazines, toys and equipment for young patients, puzzle books, twiddle muffs, socks, clothes and other items for patients on the wards.
Whilst it is difficult to obtain the exact value of some items, we estimate the total value of gifts donated to the hospital for the period April 2020 to March 2021 to be more than £136,000. More than 27,221 individual items were collected and distributed during the financial year.
## **Fundraising appeals and activities**
Two appeals were successfully organised in 2020-21, for our Covid-19 support, mainly supporting staff, and to fundraise for BabyLeo incubators to be used in the trust’s Neonatal Unit. Both were a success and between them raised almost £300,000.
At the end of March 2020, the charity team created a fundraising appeal to support mainly staff at Milton Keynes University Hospital. Our Covid-19 Emergency Appeal was launched in response to a huge influx of donations coming through to the charity. In just a month the appeal had received more than £100,000 in cash donations from individuals, groups and businesses wanting to support the NHS. Working in a far more agile
3
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
way than previously, the team quickly used funds to pay for items such as a staff hub, mobile phones to enable virtual visiting at the hospital and bespoke care packs for staff and patients including items such as snacks, socks and puzzle books.
The Covid-19 Emergency Appeal raised £190,000 in total and remaining monies have been allocated to a new permanent hub for staff, with 24-hour access and a garden, as well as a Meaningful Activities Co-ordinator role, to support older, vulnerable patients, including those with dementia, by working with patients at the beside to keep them alert and distracted during their stay.
In response to a request from the Women and Children’s Division, in September 2020 we launched a BabyLeo Incubator Appeal for the Neonatal Unit. The appeal set out to raise £80,000 for new and high quality BabyLeos, which would replace current NHS-standard ones.
The BabyLeo Incubator appeal had us working across three income streams – with our major donors, community fundraisers and corporate supporters. We engaged with previous donors to the neonatal unit as well as using the appeal as an opportunity to recruit new donors to the cause – mainly through our Be Seen In Green event, which takes place each year. This way of working made sure we raised the amount needed to purchase three BabyLeo incubators in three months. We ended our financial year knowing the incubators were on order with an expected delivery date of June 2021.
Over the past year, we also continued to support the Milton Keynes Cancer Centre, committed to fundraising and spending funds on – amongst other items – the transformation of the cancer centre gardens and fundraising for additional furniture and electronic tablets for patients.
## **Financial review**
The full financial reports and notes are reflected in pages 10 onwards. During 2020-21:
- Charitable income totals remained relatively the same as last year, with only a slight 3.5% decrease.
- During this financial year we saw a significant 43% decrease in community fundraising due to Covid-19 restrictions.
- However, donations from corporate fundraising increased by 53.7% over the same period.
- We also saw an increase in grants by an incredible 180%, mainly due to grants from NHS Charities Together for Covid-19 staff support.
- Expenditure in the year was £540k compared to £856k last year due to no major capital fundraising projects and a decrease in fundraising staff.
- The expenditure can be broken down into £144k fundraising staff costs, £35k governance costs (made up of £2k audit costs and £33k for administration) and activities in furtherance of charity’s objectives which accounted for £361k.
The charity continues to hold a £300k cash investment portfolio with The Bank of Scotland. The investment is held in an Investment Money Market Account with a short call back period.
The charity holds no other assets other than cash resources that are held in the Trust bank accounts.
In keeping with the Charity Commission regulations and general accounting best practices, the financial statements for 2020-21 were reviewed by independent examiners, Mercer & Hole Chartered Accountants.
4
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Governance**
The charity does not employ any staff, but Milton Keynes University Hospital NHS Foundation Trust provides accounting and administration services.
Our charity has a corporate trustee, Milton Keynes University Hospital NHS Foundation Trust. The Trust Board of directors, which comprises 8 Non-Executive Directors (including Trust Chair) and 9 Executive Directors, represent the NHS Trust in this matter. The Trust Board, as corporate trustee, delegates responsibility to a board committee, the Charitable Funds Committee.
This Charitable Funds Committee meets at least four times a year and the chair of the committee reports to the Trust Board, as corporate trustee, following each meeting.
## **Charitable Funds Committee**
Acting for the corporate trustee, the purpose of the Charitable Funds Committee is to:
- Ensure there are robust processes in place to manage resources and to ensure these processes are implemented.
- Monitor the disposition of resources to ensure funds held on Trust are used in a way which reflects donors’ wishes and that funds are maximised.
- Promote greater awareness of our charity to encourage donations, particularly through demonstrating their impact on patient care.
- Proactively fundraise for Milton Keynes Hospital Charity to support charitable activities and purposes across our three great hospitals.
## **GDPR and Regulation**
We have worked hard to meet our responsibilities under General Data Protection Regulations (GDPR). Supporters can see, via our privacy notice, what they can expect from us and how we collect and manage information about them. They are also invited to change the way we communicate with them at any time. Matters relating to GPDR compliance are reported to the Charitable Funds Committee as required.
We are registered with the Fundraising Regulator to demonstrate our commitment to our donors, supporters and charity management. Supporters have the right to know that they can trust us to be open and honest and that we will treat them and their data with care and respect. Our vision, mission and values are published on our website and explain what supporters can expect from us and what to do if they have any concerns.
No complaints were received regarding the charity or its fundraising practices in 2020-21.
## **Future plans**
The corporate trustee has recently reviewed the objects of the charity and is confident that at present they are appropriate but will continue to keep them under regular review.
In the latter part of the 2020-21 financial year, the charity was developing a three-year fundraising strategy to support fundraising and mitigate any loss of income post-Covid. As part of this strategy some of our priorities in year one include:
5
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
- Exploring the potential of digital fundraising, revising our website and looking at how we can better engage with supporters online, digitally and through social media
- Getting to know our individual donors more, developing a journey for each and every supporter and making them feel valued through a more structured individual giving programme
- Knowing that 67% of our donors are grateful patients or relatives, looking at how we can better promote the charity and charitable giving within the hospital, through branding as well as better engagement with staff.
## **Impact – measuring our success**
Everything we do at the charity enhances the hospital experience for patient, visitors and staff, so it is right that these groups of people will be a key measure of how successful a project has been. On a project-by-project basis we will use the most appropriate medium to actively seek their feedback before, during and after the project - whether in written format, conversation, photographs or video.
In addition to user feedback, the success of projects will also be measured by receiving positive answers to the questions; “Does it provide the expected good value for money” and “Was the project completed within the agreed timescales and with the minimum of disruption to the smooth running of the ward or department”. Yes, impact is about the direct benefit to patients, families and staff – but we must also factor in these questions to measure the overall effectiveness, too.
Some of the items we have funded over the past year include:
- Funding the fitting out and furnishing of rooms in the cancer centre bays and offices; funding special items of equipment including ECG machines and special reclining chairs for use throughout the centre.
- Variable height cots for use on the neonatal unit – especially helpful for mums who have had a c- section and struggle to bend down.
- Supporting our ICU staff with furniture and fittings in their new staff room.
- Playmobil and other play equipment for the children’s wards.
- Recliner chairs for a parent needing to stay overnight on the children’s wards.
- Staff hubs for members of staff to take time out in during first wave of the Pandemic.
- Mobile phones to support virtual visiting as visiting restrictions came into place during Covid-19.
- A special newspaper service for patients, to help keep them entertained on the ward.
- Portable radios and distraction items for patients.
- The curation and management of almost 400 pieces of artwork around the hospital, which benefits patients, visitors and staff; making the hospital environment less intimidating.
- Funding the maintenance of four courtyard gardens within the hospital, helping to manage these calm and relaxing spaces where patients, families and staff can take some time out.
- Making one of our courtyard gardens accessible to dementia patients, so they can spend time outside of the ward and enjoy the peace a beautiful garden brings.
- Funding the transformation of all three gardens in and around the cancer centre.
- Dying Matters packs for our palliative care team, as well as other end of life materials to give to families.
- • Coaching and training for cancer specialists on having difficult conversations with patients and families.
- A bladder scanner for use by our surgery team.
- Recliner chairs for use on the Stroke Ward.
- Cost of room hire so that cancer patients can participate in groups such as the ‘Beyond the C’ choir and Look Good Feel Better sessions.
6
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
- Funding a special online staff wellbeing event called “Event in the Tent” to support and promote better health and wellbeing for #teamMKUH
- Working with local companies, MK Dons and the community in providing gifts to those in hospital over Christmas.
We’re proud of what we’ve achieved over this past financial year and could not have achieved any of this without the generosity – in time as well as money – of our donors, volunteers and supporters, so thank you.
## **Relationships with Other Organisations**
As an NHS Charity, the Board of Trustees are the same as the Trust Board at Milton Keynes University Hospital NHS Foundation Trust.
## **Risk Statement**
The Trustees have identified that placing short term Money Market Investments with highly rated Banking Institutions minimises any risk of loss. All investments placed are monitored for their performance quarterly and reported through the Charitable Funds Committee.
## **Remuneration**
Neither the Trustees nor any persons connected with them received any remuneration for their work for the charity.
7
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Financial Review**
By order of the Trustees
Signed: Name: Haider Husain
Date: 02 November 2021 Trustee
Signed: Name: Terry Whittle
Date: 02 November 2021 Trustee
## **FINANCIAL STATEMENTS for 2020-21**
The accounts of the funds held by Milton Keynes University Hospital NHS Foundation Trust Charity
## **FOREWORD**
These financial statements for the year ended 31 March 2021 have been prepared by the Trustees in accordance with Section 132 of the Charities Act 2011 and comply with the Statement of Recommended Practice (SORP), Accounting and Reporting by Charities issued in 2019 by the Charity Commissioner for England and Wales.
The Financial Statements have been prepared under FRS 102.
## **STATUTORY BACKGROUND**
The Trustees have been appointed under s11 of the NHS and Community Care Act 1990.
The Milton Keynes University Hospital NHS Foundation Trust charitable funds held on trust are registered with the Charity Commission and include funds in respect of Milton Keynes University Hospital.
## **MAIN PURPOSE OF THE FUNDS HELD ON TRUST**
The main purpose of the charitable funds held on trust is to apply income for any charitable purpose relating to the NHS wholly or mainly for the services provided by Milton Keynes University Hospital NHS Foundation Trust.
8
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Statement of trustees' responsibilities**
The Trustees are responsible for:
- Ensuring that proper accounting records are maintained for the charity - disclosing with reasonable accuracy at any time the financial position of the funds held on trust to enable them to ensure that the accounts comply with requirements of the Charities Act 2011 and directions issued by the Secretary of State in respect of the management of Foundation Trusts;
- Establishing and monitoring a system of internal controls and checks to mitigate risk exposure for the funds managed; and
- Establishing arrangements for the prevention and detection of fraud and corruption.
The Trustees are required under the Charities Act 2011 to prepare accounts for each financial year. The Secretary of State, with the approval of the Treasury, and the Charities Commission direct that these accounts give a true and fair view of the financial position of the funds held on trust, in accordance with the Charities Act 2011. In preparing those accounts, the trustees are required to:
- Apply on a consistent basis accounting policies laid down by the Secretary of State with the approval of the Treasury;
- Make judgements and estimates which are reasonable and prudent,
- State whether applicable accounting standards have been followed. Material departures should be disclosed and explained as part of the notes to the accounts.
- Present financial statements for publication in line with the requirements and standards set by the Charity Commission.
The Financial Statements have been prepared on a going concern basis, as the Trustees believe that the charity is able to discharge its liabilities and commitments as they fall due in the foreseeable future
The Trustees confirm that they have met the responsibilities set out above and complied with the requirements for preparing the financial statements. The financial statements set out on pages 10 to 21 below have been compiled from and are in accordance with the financial records maintained by the Trustees. These financial records are open to view by any stakeholders seeking to review such details at the charity’s registered offices listed above.
By Order of the Trustees
Signed: Trustee Date: 02 November 2021 Signed: Date: 02 November 2021 Trustee
9
Milton Keynes University Hospltal
NHS
NHS FoundationTrust
Charity Annual Report and Accounts
For the year ended 31 March 2021
Independent Examiner's Report to the Trustees of Milton Keynes University
Hospital NHS Foundation Trust Charity
I report to the charity tsusiees on my examination of the accounts of the ¢harity forthe yearended J l March 2021
which are set out on pages I to 21.
Responsibilities and basis of report
As the ¢1lty'S trustees you are responsible for the preparation of the a¢¢ounts in accordance with the
requireTnents of the Charities Act 2011 ('the Aci,).
I report in respect of my examination of the charity's accounts carried out under section 145 of the Aci and in
¢anying out my exarnination I have followed all the applicable Directions giv¢n by the Charity Commission under
section 145{5)0)) of the Act.
IndepeDd¢nt txaminer's $tsttmeDt
Since the charity's gross inc¢)me exceeded £250,000 your examiner must be a member of a body listed in section
145 of the Act. l ¢onfirni that l am qualified io undertake the extmination because l arn a member of ICAEW,
which is one of the listed bodies.
I have cornpled my examination. I confirni that no rnaterial matters have come to tny attention in connection
with th¢ exarnination giving me cause to believe that any material respect..
accounting records were not kept in respect of the charity &$ r¢quired by section 130 of the Act" or
the accounts do not accord with those records. or
the accounts do not comply with the applicablerequÈrements ¢on¢¢ming the forni andcontentofaccounts
set out in the Charities (Accounts and Reports) Reoulaiion$ 2008 other than any requirement that the
accounts give a 'trne and fair view, which is not a matter ¢onsid¢red as pan of an independent
exaTnin&ion.
I have no concems and have corne across no other matters in connection with the examination to which attention
should be drawn in this report in (Trrder to enable a proper understanding of the aCllnts io be reached.
obinson FCA
Merter & Hole Chartered Accountsnts
Silbury Court
420 Silbury Boulevard
Central MiSton Keyn¢s
MK9 2AF
8 November 2021
9a
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Statement of Financial Activities for the year ended 31 March 2021**
|Note
**Incoming resources**
2
Donations, Legacies and similar resources
Donations
2.1
Legacies
2.1
Grants receivable:
From other NHS bodies
2.1
Other grants receivable
Total Donations and Legacies
Operating Activities
Investment income
2.2
Other incoming resources
2.3
**Total incoming resources**
**Resources expended**
Costs of generating funds
4.1
Charitable expenditure
Activities in furtherance of charity's objectives
3.1
Governance Costs
3.2
**Total resources expanded**
Net (outgoing)/incoming resources before Transfers
Gross transfer between funds
Transfer between restricted and unrestricted funds
**Net (outgoing)/incoming resources**
**Net movement in funds**
5
Fund balances brought forward at
31 March 2020
**Fund balances carried**
**forward at 31 March 2021**|
Unrestricted
Funds
£000
460
10
0
200
670
0
7
**678**
(144)
(361)
(35)
**(540)**
138
0
2
**140**
**140**
321
**461**|Restricted
Funds
**2020-21**
**Total**
**Funds**
£000
**£000**
0
**460**
0
**10**
0
**0**
0
**200**
0
0
**670**
**0**
0
**7**
**0**
**678**
0
**(145)**
0
**(361)**
0
**(35)**
**0**
**(540)**
0
**138**
0
**0**
(2)
**0**
**(2)**
**138**
**(2)**
**138**
2
**323**
**0**
**461**|Unrestricted
Funds
£000
127
36
0
0
163
1
2
**165**
(44)
(100)
(17)
**(160)**
4
0
0
**4**
**4**
317
**321**|Restricted
Funds
**2019-20**
**Total**
**Funds**
£000
**£000**
267
394
43
79
0
0
71
71
381
1
**544**
2
7
8
**389**
**554**
(209)
(253)
(476)
(576)
(11)
(28)|
|---|---|---|---|---|
|||||**(696)**
**(856)**
(307)
(303)
0
0
0
0
**(307)**
**(303)**
**(307)**
**(303)**
310
**627**
**2**
**323**|
Note 2.1 includes £136k of donations in kind which were gifts received by the charity, which were all distributed by the end of the financial year.
Note 3.1 includes the £136k worth of gifts that were distributed by the charity.
10
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Balance Sheet as at 31 March 2021**
## **Balance Sheet as at 31 March 2021**
|**Fixed Assets**
Notes
Investments
6.2
**Total Fixed Assets**
**Current Assets**
Debtors
7.1
Cash at bank and in hand
**Total Current Assets**
Creditors: Amounts falling due
within one year
8.1
**Net Current Assets/(Liabilities)**
**Total Assets less Current Liabilities**
**Total Net Assets**
**Funds of the Charity**
Income Funds:
Restricted
9.1
Unrestricted
9.2
**Total Funds**|Unrestricted
Funds
£000
300
**300**
0
176|Restricted
Funds
£000
0
**0**
0
0|**Total at 31**
**March 2021**
**£000**
**300**
**300**
**0**
**176**
**176**
**15**
**161**
**461**
**461**
**0**
**461**
**461**|**Total at 31**
**March 2020**
**£000**
**300**|
|---|---|---|---|---|
|||||**300**|
|||||**0**
**81**|
||**176**|**0**||**81**|
||15
**161**
**461**
**461**
0
461
**461**|0
**0**
**0**
**0**
0
0
**0**||**58**|
|||||**23**|
||||||
|||||**323**|
||||||
|||||**323**|
|||||**2**
**321**|
|||||**323**|
11
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **Cashflow for the year ended 31 March 2021**
|**Statement of Cashflow**
**Net cash used in operating activities**
12
**Cash flows from investing activities:**
Dividends, interest and rents from investments
2.2
**Net Cash provided by investing activities**
**Changes in cash and cash equivalent in the reported period**
**Cash and Cash equivalents at the beginning of the period**
**Cash and Cash equivalents at the end of the period**|**2021**
**Total**
**£000**
**2020**
**Total**
**£000**
**95**
**(298)**
0
2|
|---|---|
||**0**
**2**|
||**95**
**(296)**
**81**
**377**|
||**176**
**81 **|
12
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **NOTES TO FINANCIAL STATEMENTS**
## **1. Accounting Policies**
## **1.1 Accounting Convention**
The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) issued in October 2019 and the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. The Financial Statements have been prepared under FRS 102.
## **1.2 Income**
- a) All income is included in full on the Statement of Financial Activities as soon as the following three factors are met:
- i. entitlement - arises when a particular resource is receivable or the charity's right becomes legally enforceable
- ii. probable – it is more likely than not that the economic benefits associated with the transaction or gift will flow to the charity
- iii. measurement - when the monetary value of the incoming resources can be measured with sufficient reliability
- b) Legacies
Legacies are accounted for as income once the receipt of the legacy becomes normally probable. This will be once confirmation has been received from the representatives of the estates that payment of the legacy will be made or property transferred and once all conditions attached to the legacy have been fulfilled.
## **1.3**
## **Expenditure**
The funds held on trust accounts are prepared in accordance with the accruals concept. All expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party.
## a) **Cost of generating funds** :
The cost of generating funds are the costs associated with generating income for the funds held on trust. This will include the costs associated with generating voluntary income, fundraising and managing investments.
## b) **Grants payable**
Grants payable are payments, made to third parties (including NHS bodies) in the furtherance of the funds held on trust's charitable objectives to relieve those who are sick. They are accounted for on an accruals basis where the conditions for their
13
**Charity Annual Report and Accounts For the year ended 31 March 2021**
payment have been met or where a third party has a reasonable expectation that they will receive the grant. This includes grants paid to NHS bodies.
## c) **Governance costs**
These are accounted for on an accruals basis and are recharges of appropriate proportions of the following costs from Milton Keynes University Hospital NHS Foundation Trust and include the costs of governance arrangements which relate the general running of the Charity, for example Management and Audit Fees.
## d) **Activities in furtherance of charity’s objectives**
These are accounted for on an accruals basis and are recharges of appropriate proportions of the following costs from Milton Keynes University Hospital NHS Foundation Trust and includes fundraising and publicity, patient welfare, staff welfare, research, contribution to trust capital and other.
## **1.4 Structure of funds**
Where there is a legal restriction on the purpose to which a fund may be put, the fund is classified in the accounts as a restricted fund. Funds where the capital is held to generate income for charitable purposes and cannot itself be spent are accounted for as endowment funds. Other funds are classified as unrestricted funds. Funds which are not legally restricted but which the Trustees have chosen to earmark for set purposes are classified funds. The major funds held within these categories are disclosed on notes 9.1 to 9.3.
## **1.5**
## **Investment Fixed Assets**
Investment fixed assets are shown at market value.
- a) There are no property assets held by the trust in respect of the Charitable Funds.
- b) Quoted Stocks and shares are included in the balance sheet at mid-market price excluding Dividend
- c) Other investment fixed assets are included at Trustees' best estimate of market value.
## **1.6 Realised gains and losses**
All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (or date of purchase if later). Unrealised gains and losses are calculated as the difference between market value at the year end and opening market value (or date of purchase if later).
## **1.7**
## **Reserves**
A Reserves Policy is in place to support the holding of funds within the Charity Accounts in order to monitor proposed expenditure against future objectives that have been set. The policy is reviewed on an annual basis by the Trust’s Charitable Funds Committee.
14
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **2. Analysis of Income**
|**2.**
**Analysis of Income**||||
|---|---|---|---|
|**Analysis of incoming**
**resources**
**2**
**Donations, Legacies**
**2.1**
Donations
**and similar resources**
Legacies
Grants receivable
Donations In Kind
**Investment income**
**2.2**
Investment Income
**Other Incoming resources2.3**
Other
**Total Incoming resources**
**from charitable activities**|Unrestricted
Funds
£000
324
10
200
136|Restricted
**Total**
Funds
£000
**2021**
**Funds**
£000
0
**324**
0
**11**
0
**200**
0
**136**
**0**
**671**
0
**0**
**0**
**0**
0
**7**
**0**
**7**
**0**
**678**|Total
2020
Funds
£000
394
79
71
0|
||**671**||**544**|
||0||2|
||**0**||**2**|
||7||8|
||**7**||**8**|
|||||
||**678**||**554**|
Other incoming resources includes other sources of income that are not donations, legacies, grants or investment income, including income from fundraising events.
15
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **3. Analysis of Expenditure**
|Unrestricted
Restricted
**Total**
**Resources**
**3.1**
Funds
Funds
**2021**
**Expended -**
**Funds**
**Other**
Other:
£000
£000
**£000**
Patients welfare and amenities
143
0
**143**
Staff welfare and amenities
69
0
**69**
Contributions to Trust's Capital
0
0
**0**
Miscellaneous
13
0
**13**
Gift in Kind
136
0
**136**
**361**
**0**
**361**
**Analysis of**
**3.2**
Unrestricted
Restricted
**Total**
**Governance**
Funds
Funds
**2021**
**Costs**
**Funds**
£000
£000
**£000**
Independent Examiners Fees
2
0
**2**
Management/Admin Fee
33
0
**33**
**35**
**0**
**35**|Total
2020
Funds
£000
**99**
**0**
**476**
**1**
**0**|
|---|---|
||**576**|
||**Total**
**2020**
**Funds**
**£000**
**2**
**26**|
||**28**|
16
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **4. Analysis of total expenditure**
|**Analysis of**
**Total**
**Resources**
**Expended**
**4.1**
Staff
Auditors remuneration:
Audit fee
Bought-in services from NHS
Other|Costs of
Generating
Funds
£000
144
0
0
0
144|Costs of
Activities for
Charitable
Objectives
£000
0
0
0
361
361|Governance
Costs
£000
0
2
20
13
35|**Total**
**2021**
Total
2020
**£000**
£000
**144**
153
**2**
2
**20**
15
**374**
686
**540**
856|
|---|---|---|---|---|
**Analysis of staff costs**
## **4.2**
The Charitable Fund does not directly employ staff but incurred expenses relating to the Fundraising Manager, and two Fundraising Assistants` of £144k (2019-20 £153k). The decrease in staff costs for 2020-21 is due to the fundraising team only having two fundraising assistants for the second half of the year rather than three.
## **Pension Contributions for 4.3 Senior employees**
No pension costs were charged to the charity during the year.
## **5. Net movement in funds**
|Net movement in funds for the year
for future activities|Unrestricted
Funds
£000
138
138|Restricted
Funds
£000
0
0|**Total**
**2021**
**Funds**
**£000**
**138**
**138**|Total
2020
Funds
£000
(303)|
|---|---|---|---|---|
|||||(303)|
17
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **6. Analysis of Fixed Asset Investments**
18
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **7 Analysis of Debtors**
|**Analysis of**|||**31 March 2021**|31 March 2020|
|---|---|---|---|---|
|**Debtors**|**7.1**|Amounts falling due within one year:|**£000**|£000|
|||Trade debtors|**0**|0|
|||Total debtors falling due within one year|**0**|0|
||**7.2**|Amounts falling due over one year:|||
|||Other debtors|**0**|0|
|||Total debtors falling due after more|||
|||than one year|**0 **|0|
|||**Total debtors**|**0**|0|
## **8 Analysis of Creditors**
|**Analysis of**|||**31 March 2021**|31 March 2020|
|---|---|---|---|---|
|**Creditors**|**8.1**|Amounts falling due within one year:|**£000**|£000|
|||Trade creditors|**15**|58|
|||Amounts due to subsidiary and|||
|||associated undertakings|**0**|0|
|||Other creditors|**0**|0|
||||**0**|0|
|||Total creditors falling due within one year|**15**|58|
||**8.2**|Amounts falling due after more than one year:|||
|||Other creditors|**0**|0|
|||Total creditors falling due after more|||
|||than one year|**0**|0|
|||**Total creditors**|**15**|58|
19
## **Charity Annual Report and Accounts For the year ended 31 March 2021**
## **9 Analysis of funds**
|**9.1 Restricted Funds**
Balance
31 March
2020
Incoming Resources
Expended
Material funds
£000
£000
£000
Cancer Centre Appeal
2
0
0
Total
**2**
**0**
**0**
**Comparative year**
Balance
31 March
2019
Incoming Resources
Expended
Material funds
£000
£000
£000
Cancer Centre Appeal
310
390
(698)
Total
**310**
**390**
**(698)**
**9.2 Unrestricted Funds**
Balance
Incoming
Resources
31 March
2020
Expended
£000
£000
£000
Total
**321**
**678**
**540**
**Comparative year**
Balance
31 March
2019
Incoming Resources
Expended
£000
£000
£000
Total
**317**
**171**
**(166)**|**9.1 Restricted Funds**
Balance
31 March
2020
Incoming Resources
Expended
Material funds
£000
£000
£000
Cancer Centre Appeal
2
0
0
Total
**2**
**0**
**0**
**Comparative year**
Balance
31 March
2019
Incoming Resources
Expended
Material funds
£000
£000
£000
Cancer Centre Appeal
310
390
(698)
Total
**310**
**390**
**(698)**
**9.2 Unrestricted Funds**
Balance
Incoming
Resources
31 March
2020
Expended
£000
£000
£000
Total
**321**
**678**
**540**
**Comparative year**
Balance
31 March
2019
Incoming Resources
Expended
£000
£000
£000
Total
**317**
**171**
**(166)**|Transfers
Gains and
Losses
**Balance**
**31 March**
**2021**
£000
£000
**£000**
(2)
0
**0**|
|---|---|---|
||**2**
**0**
**0**|**(2)**
**0**
**0**|
|||Transfers
Gains and
Losses
**Balance**
**31 March**
**2020**
£000
£000
**£000**
0
0
**2**|
||**310**
**390**
**(698)**|**0**
**0**
**2**|
||Balance
Incoming
Resources
31 March
2020
Expended
£000
£000
£000|Transfers
Gains and
**Balance**
Losses
**31 March**
**2021**
£000
£000
**£000**|
||**321**
**678**
**540**|**2**
**0**
**461**|
||Balance
31 March
2019
Incoming Resources
Expended
£000
£000
£000|Transfers
Gains and
Losses
**Balance**
**31 March**
**2020**
£000
£000
**£000**|
||**317**
**171**
**(166)**|**0**
**0**
**321**|
## **Greater than £15k**
**Details of Name of fund Amount £'000 Unrestricted A** General Fund **126 funds greater B** Little Lives Fund **106 than £15k C** MK Cancer Services **71**
|**A**
**B**
**C**
**D**
**E**|**£'000**|
|---|---|
||General Fund
**126**|
||Little Lives Fund
**106**|
||MK Cancer Services
**71**|
||Staff Welfare Fund
**61**|
||BabyBereavement Fund
**17**|
A transfer of £2k was made from restricted funds to unrestricted funds due to the Cancer Centre Appeal being closed down, the £2k was transferred from the Cancer Centre Appeal (restricted) to the MK Cancer Services Fund (unrestricted).
20
**Charity Annual Report and Accounts For the year ended 31 March 2021**
## **10 Trustees and connected persons**
The Trustees did not receive any remuneration or expenses in the year
## **11 Related party transactions**
|Name, nature of connection,|**2020-21**|**2020-21**|**2019-20**|**2019-20**|
|---|---|---|---|---|
|description of activities|Turnover of|Net Profit/|Turnover of|Net Profit/|
|undertaken and details|Connected|Loss for the|Connected|Loss for the|
|of any qualifications|Organisation|Connected|Organisation|Connected|
|expressed by their auditors||Organisation||Organisation|
||**£000**|**£000**|**£000**|**£000**|
|Milton Keynes Hospital NHS|||||
|Foundation Trust|310,121|393|282,045|(5,124)|
Milton Keynes University Hospital is the host Trust and Corporate Trustee of the charity, providing administrative support to the charity, and is its sole beneficiary.
During the year the charity incurred expenditure of £164k (2019-20: £680k) with the host trust. At the balance sheet date, there was a debtor balance of £0k (2019-20: £0k) and a creditor balance due to the host trust of £14k (2019-20: £57k).
## **12 Reconciliation of net movement in funds to net cash flow from operating activities.**
|Net movement in funds
Deduct interest income shown in investing activities
Decrease/ (increase) in debtors
Decrease/ (increase) in creditors
**Net cash used in operating activities**|**2021**
**£'000**
138
0
0
43
**95**|**2020**
**£'000**
(303)
(2)
2
8
**(298)**|
|---|---|---|
21