## Trustee’s Annual Report & Financial Statements
**For the Year to 31 March 2021**
Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund
also known as ‘WUTH Charity’
## WUTHUavity Reaistered charitv no.
1
WUTHOwvity Annual Report and Accounts for the year ended 31 March 2021
## Patient Wish
## **Contents**
**----- Start of picture text -----**
|||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|Contents ........................................................................................................ 2|
|Reference and administrative details .......................................................... 4|
|Foreword ....................................................................................................... 5|
|Ways to donate .............................................................................................. 6|Ways|to|donate......cscsceeeeeeeeeeneneeeeeeeeeeeeeeeeeeeeeeeeeeeeeeee|ee|seen eeeeeeeeeeeeeeeeeeeeeeseeesesees|©|
|Aims and objectives ...................................................................................... 7|AiMS|and|Objectives. ........cccceeeseeeeeeeeee ee|eeeeee|e|e|e|e|n|eeeeeeeeeeeeeneeeeee|e|ecee|eeee|e|e|e|s|
|Fund structure ............................................................................................... 9|Un)|SCRUC|HUME. coccaccnsennsaceecoussucnsanwecescecsasncesusneccussssaayecsnesececsescnuunsacesresuansenasy|
|Governance and management .................................................................... 10|Governance|and|management......c:ceceeeeeseeeeeeeeeeeeeeeeeeeeeeeeeeeeeeeseseseeeeeeesesesees|10|
|Risk management ....................................................................................... 13|REIS NAAGO|NNNG INE|eee cee concen ee|ee|ne ee eee cee|eeem er|en|ences|reese|renee|er|eens ee cee eect eeacs cases eeeeeeeet8|
|Reserves policy ........................................................................................... 13|ass|7)|ore)|||Pe|||eee|se|eee|ee|ae ee|ee|eee|eee|ene|eer|ea|epee|taoc|eer eeee|sa|eecereeeeererees|1)|
|Investment policy........................................................................................ 14|Investment PoliCy........cncnnnssstere|ee Seen ne|ieee|ils|eee|ee ee|pemeee|ee|eee eats|eaele|oe|eee ee eee|eee eee|mee|
|Achievements in 2020/21 ............................................................................ 15|Achievements|in|2020/21|_.____........2----- 2222-22-22|2a|nnn|nn|ee eee ee eee|eee eee n eee e ee eeeeeees|WHS|
|Head of Fundraising’s review of the year .................................................. 19|
|Finance and performance review ............................................................... 23|
|Future plans ................................................................................................ 25|
**----- End of picture text -----**
2
## Patient Wish¥®
## **Contents continued**
Corporate Trustee’s responsibilities in relation to the financial statements .................................................................................................. 26 Independent examiner's report to the corporate trustee of Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund .... 27 Statement of Financial Activities ............................................................... 29 Balance Sheet ............................................................................................. 30 Notes to the accounts ................................................................................ 31
**1. Accounting policies .............................................................................................................. 31 2. Related party transactions ................................................................................................... 35 3. Income: Donations and legacies ......................................................................................... 35 4. Income: Other trading activities - raising funds................................................................. 36 5. Income: Investments ............................................................................................................ 36 6. Expenditure: Raising funds ................................................................................................. 36 7. Expenditure: Charitable activities ....................................................................................... 37 8. Analysis of grants ................................................................................................................. 37 9. Analysis of staff costs .......................................................................................................... 38 10. Costs of audit / independent examination .......................................................................... 38 11. Fixed asset and current asset investments ........................................................................ 38 12. Current assets: Debtors ....................................................................................................... 38 13. Current assets: Cash ............................................................................................................ 39 14. Current liabilities: Creditors ................................................................................................ 39 15. Contingent assets and liabilities ......................................................................................... 39 16. Commitments ........................................................................................................................ 39 17. Non-adjusting events after the end of the reporting period .............................................. 40 18. Analysis of material funds ................................................................................................... 40**
3
Annual Report and Accounts 2020/21
## Reference and administrative details
## **Registration**
Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund (‘WUTH Charity’), registered charity number 1050469, was entered onto the Register of Charities on 8 November 1995. Registered administrative details and overview are available on the Charity Commission website: www.charitycommission.gov.uk
## **Principal office Donations & fundraising**
WUTH Charity Trust Headquarters Arrowe Park Hospital Arrowe Park Road Upton Wirral CH49 5PE
WUTH Charity Office Arrowe Park Hospital Arrowe Park Road Upton Wirral CH49 5PE wuth.charity@nhs.net i=) ~~a~~ i) 0151 482 7788
Ej W WuTtCharity
## **Administration and records**
The accounting records and day-to-day administration of the funds are handled by the Trust’s Financial Services department, located at Willow House, Clatterbridge Hospital, Bebington, Wirral CH63 4JY.
## **Advisors**
The following services were retained by the Charity during 2020/21.
## **Banks**
Barclays Bank PLC Leicester LE87 2BB
Government Banking Services National Westminster Bank PLC 280 Bishopsgate London EC2M 4RB
Nationwide Building Society Kings Park Road Northampton NN3 6NW
**Independent Examiner** Azets Audit Services 6[th] Floor Bank House Cherry Street Birmingham B2 5AL
**Legal Advisor** Hill Dickinson LLP No. 1 St Paul’s Square Liverpool L3 9SJ
4
Annual Report and Accounts 2020/21
## Report of the Trustee for the year ended 31 March 2021
## **Foreword**
The Corporate Trustee is pleased to present the Annual Report of Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund (‘the Charity’, also known as ‘WUTH Charity’) together with the independently examined financial statements for the year ended 31 March 2021. Under Part 8 section 145 of the Charities Act 2011, the Corporate Trustee has exercised the Charity’s exemption from audit. External scrutiny through _independent examination_ is permitted and deemed appropriate for the Charity, as its gross income is below a statutory threshold.
This ‘Annual Report and Accounts’ document has been prepared by the Corporate Trustee in accordance with the _Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland_ (FRS 102), _Accounting and reporting by charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)_ (effective 1 January 2019), Charities Act 2011 and Charities (Accounts and Reports) Regulations 2008 (see Note 1 to the accounts). It addresses all the separately established funds for which Wirral University Teaching Hospital NHS Foundation Trust (‘the Corporate Trustee’, ‘the Trust’, or ‘WUTH’) is the major beneficiary.
## **Acknowledgement**
The activities of the Charity have been achieved through the support and generosity of the local people of Wirral and the surrounding areas, and by the tireless efforts and resources of volunteers and active fundraisers in the community, and the Trust’s staff. Many of our donors have contributed in times of personal difficulty.
We would like to take this opportunity to extend sincere thanks, on behalf of the patients and Trust staff, to everyone who kindly gave to the Charity, as well as any supporters who gave their time and effort. Their contributions, imagination and enthusiasm are greatly appreciated.
## **Public interest benefit**
The Corporate Trustee ensures that the _public benefit_ criteria, as detailed in the Charities Act 2011, are met by demanding that each funding application is critically assessed against those criteria. This process is achieved through compliance with the Charity’s _Expenditure Guidance_ policy document. Applications are prioritised and rejected or pursued based on the availability of funds, compliance with the _Expenditure Guidance_ , and the quality of the application – _‘how much benefit is generated for each pound spent?’_
Where possible, funds are used to provide benefit to a wide range of patients. Further descriptions of purchases made by the Charity during the year under review are included in _Achievements in 2020/21_ (pages 15 to 18).
5
Annual Report and Accounts 2020/21
## **Ways to donate**
There are a number of ways to make a donation in confidence to WUTH Charity.
## Over the Phone
Credit and debit card payments can be received over the phone by calling the Charity Office, at Arrowe Park Hospital on 0151 482 7788.
## JustGiving
Donors a can create a personal JustGiving fundraising page for their own fundraising, or pay securely through the Charity’s own page, with the option to consent to Gift Aid for both single donations and regular giving.
## Standing order
Regular donors can submit a _standing order form_ (website, or by request) to the Charity Office.
## Bank transfer
Direct transfers can be made into the WUTH Charity bank account. Sort code: 60 – 70 – 80
Account number: 10029753
## Cash
Cash donations can be received at the Trust’s cash offices at the Arrowe Park or Clatterbridge sites, or be paid to the Charity through a local bank or post office, with account details as above.
## Cheque
Cheques can be posted or handed in to the Charity Office or cash offices, made payable to **WUTH Charity.** The postal address of the Charity Office is on page 4.
## Gift Aid
Gift Aid forms are available (website, or by request) to accompany any donation to WUTH Charity. The form seeks consent from the donor for the Charity to reclaim tax amounts that the donor has paid as a UK tax payer, maximising the power of a donation.
WUTH Chavity
6
Annual Report and Accounts 2020/21
## **Aims and objectives**
Income received by the Charity is accepted, held and administered as funds and property held on trust for purposes relating to the Health Service in accordance with the National Health Service Act 2006. These funds are held on trust by the Corporate Trustee.
On an everyday basis, the Charity exists to support the Trust. The Trust delivers patient care at Arrowe Park Hospital, Clatterbridge Hospital, and Wirral Women and Children’s Hospital, as well as at a number of community locations throughout Wirral.
## **Individual funds**
Throughout 2020/21, WUTH Charity had the following active funds.
Patient Wish is a general purposes fund.
The 7 other specialty funds are an expression of the Corporate Trustee’s objectives for WUTH Charity. The Tiny Stars Neonatal Appeal was launched in 2019/20. More details can be found in the _Fund structure_ section (page 9).
## **Statute**
The Charity is committed to spend in line with the statutory public interest benefit criteria, discussed in the previous section. It is additionally guided by its objects, below.
## **Objects**
The principal objects of WUTH Charity as set out in the Declaration of Trust deed as follows.
_To provide ‘for any charitable purpose or purposes relating to the National Health Service.’_
7
Annual Report and Accounts 2020/21
## **Mission Statement**
WUTH Charity’s Mission Statement, adopted in 2016, is as follows.
_“To further improve the quality of WUTH’s patient care, by issuing grants for the purchase of medical equipment, improvement of Trust facilities and for the direct enhancement of the patient experience in other imaginative ways. This is achieved through the spontaneous generosity of the general public and by fundraising activities, events and appeals.”_
This Mission Statement is the cornerstone of the Charity’s _Expenditure Guidance_ policy, and explains the Charity’s main activities.
## **Individual funds’ purposes and decision-making**
Decision-making is governed by the Charity’s Decision-making is governed by the Charity’s _Expenditure Guidance_ Expenditure Guidance policy, with compliance policy, with compliance managed by the Trust’s Financial Services Department on behalf of the Charitable Funds Committee. managed by the Trust’s Financial Services Department on behalf of the Charitable Funds Committee. Within this framework, fund-holders are involved in delegated decision-making for the purposes of Within this framework, fund-holders are involved in delegated decision-making for the purposes of each individual fund’s specialty area, or, in the case of Patient Wish, for the general purposes of the each individual fund’s specialty area, or, in the case of Patient Wish, for the general purposes of the Trust. Trust.
For Patient Wish, the fund-holder is the Trust’s Director of Nursing and Midwifery (Chief Nurse), who For Patient Wish, the fund-holder is the Trust’s Director of Nursing and Midwifery (Chief Nurse), who receives, considers and approves applications. For the other specialty funds, this is undertaken by receives, considers and approves applications. For the other specialty funds, this is undertaken by the relevant senior Trust team comprising the most senior divisional the relevant senior Trust team comprising the most senior divisional _clinician, nurse and manager_ clinician, nurse and manager. . Any member of staff can submit an application for consideration. Any member of staff can submit an application for consideration.
In decision-making, there is always due regard for legal trusts imposed. Moreover, staff do attempt In decision-making, there is always due regard for legal trusts imposed. Moreover, staff do attempt to acknowledge any non-binding ‘expressions of wish’ from donors about the particular area, function, to acknowledge any non-binding ‘expressions of wish’ from donors about the particular area, function, department or specialty which should ideally benefit from their generosity. department or specialty which should ideally benefit from their generosity.
WUTH Charity’s strong governance measures have been put into place so that donors and grantors can be assured that _every pound spent_ generates the highest standards of public benefit, and so that the Trust and the Charity can be proud of each and every project undertaken.
## **Achievement of aims and objectives**
As a grant-giving charity, WUTH Charity’s aims and objectives are expressed through purchases made for the benefit of the Trust’s patients and their carers. Details of some key funds’ activities and achievements are set out on pages 15 to 18.
8
Annual Report and Accounts 2020/21
## **Fund structure**
The Charity has one unrestricted Patient Wish general fund and eight specialty funds which includes the Tiny Stars Neonatal Appeal fund which was established in 2019/20.
During 2020/21 the Charity also set up a COVID-19 fund which benefited from donations from the national appeal organised by NHS Charities Together as well as significant contributions from the general public through JustGiving and contributions from the Wirral Globe. This fund is earmarked for the purposes of staff welfare.
Designation (earmarking) is merely a record of the Corporate Trustee’s intention at a point in time. It is not the same as a legal restriction on the funds, as this is a legal trust imposed on how and where the funds are spent. The Charity held no designated funds in 2020/21 or 2019/20 but the Corporate Trustee periodically considers earmarking.
Further fund details are included in Note 18 to the accounts.
9
Annual Report and Accounts 2020/21
## **Governance and management**
## **Corporate Trustee**
The sole trustee of WUTH Charity is Wirral University Teaching Hospital NHS Foundation Trust. This is a ‘corporate trustee’, and the Charity’s primary beneficiary; the public is the ultimate beneficiary. The address of the Trust’s principal office is the same as that of the Charity.
The Corporate Trustee is managed by its Board of Directors which consists of executive and nonexecutive directors. It has responsibility for ensuring that the NHS body fulfils its duties in managing the charitable funds. Members of the Trust Board are not individual trustees under Charity Law, but act as agents on behalf of the Corporate Trustee. They fulfil the Trustee’s legal duty by ensuring that funds are spent in accordance with objects and in pursuit of patient benefit, and independently determine the Charity’s strategy through meetings of the Charitable Funds Committee.
The voting members of the Board of Directors of the Corporate Trustee (‘Trust Board’) who served during the financial year were as follows:
Chairman
Sir David Henshaw*
Chief Executive Chief Finance Officer Deputy CEO / Medical Director Chief Operating Officer Director of Strategy & Partnership Chief Nurse Executive Director of Workforce Executive Director of Workforce Director of Communications and Engagement Director of Governance and Quality
Janelle Holmes* Claire Wilson* Dr Nicola Stevenson* Anthony Middleton Matthew Swanborough* Hazel Richards Helen Marks _[1]_ Jacqui Grice _[2 ]_ Sally Sykes* Paul Moore _[3]_
Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director Non-Executive Director
John Sullivan* Steve Igoe* Chris Clarkson* John Coakley OBE _[4]_ Jayne Coulson Sue Lorimer* Steve Ryan* _[5]_
_1 to June 2020 2 from September 2020 3 to July 2020 4to December 2020 5from January 2021_
All of the members were in post for the 12 month period to 31 March 2021 except where indicated.
Trust Board members who were also in post on the date of approval of this report are labelled above with an asterisk. Directors joining the Trust Board after 31 March 2021 and in post on the date of approval of this report are as follows:
Director of Workforce - Debs Smith Director of Corporate Affairs – David McGovern DL
10
Annual Report and Accounts 2020/21
## **Charitable Funds Committee**
This is a Committee of the Trust Board, established to ensure that the Corporate Trustee’s duties are discharged.
The formal purposes of the Charitable Funds Committee can be summarised as follows.
- i. To agree the purpose, strategy and policies of the Charity.
- ii. To oversee the Charity’s financial and treasury management processes.
- iii. To control expenditure from the funds.
- iv. To control fundraising initiatives.
- v. To recommend an Annual Report and Accounts to the Corporate Trustee, outlining all of the Charity’s key achievements.
Decisions are made and approved at meetings of the Charitable Funds Committee, in which only Charity business is conducted. Board members do not receive any additional remuneration or payment for expenses whilst serving on the Charitable Funds Committee.
The Charitable Funds Committee is continuously improving the objectives and effectiveness of WUTH Charity. This activity includes ongoing review of the following areas.
- Governance arrangements.
- Expenditure compliance and effectiveness - value for money.
- Income generation strategy.
- Risk management arrangements.
- Investment and reserves review.
Due to the Covid-19 pandemic there were only two formal meetings of the Charitable Funds Committee in August and November 2020. The members of the Charitable Funds Committee who served during the financial year were as follows.
Non-Executive Director & Chair of Committee
Sue Lorimer
Chief Finance Officer Medical Director Chief Nurse Director of Communications and Engagement
Claire Wilson Dr Nicola Stevenson Hazel Richards Sally Sykes
Non-Executive Director Non-Executive Director Non-Executive Director
John Coakley OBE _[1]_ Jayne Coulson Steve Ryan _[2]_
_1 to December 2020_
_2 from January 2021_
All of the members were in post for the 12 month period to 31 March 2021 except where indicated. When unable to attend, a nominated deputy is expected to attend. The Trust’s Chair and all nonexecutive directors have a right to attend the Committee. The Chief Finance Officer is the Executive Lead for the Committee.
11
Annual Report and Accounts 2020/21
## **Corporate Trustee’s appointments**
Non-executive directors of the Trust Board are appointed by the Trust’s Council of Governors. Executive directors are recruited by the Trust Board. Further details regarding appointment to the key governance roles within the Trust Board and the Council of Governors of the Corporate Trustee are reported in the Corporate Trustee’s Annual Report and Accounts 2020/21, and are contained within the Corporate Trustee’s Constitution. Copies of these documents can be obtained by contacting the Trust (see Reference and administrative details), and the Trust’s Annual Report and Accounts can be viewed on the Trust website.
Trust staff including executive and non-executive directors, are required to complete a corporate induction programme, which includes a briefing on Charity responsibilities. Directors are encouraged towards continuous professional development through the Trust’s on-going performance management arrangements, and they are able to seek individual professional advice or training at the Trust’s expense in the furtherance of their duties.
Governors’ knowledge is refreshed through a range of briefing sessions and workshops. The Trust Board, Charitable Funds Committee and governors all have had the benefit of access to advice from the Board Secretary and the Assistant Director of Finance – Financial Services, who were responsible throughout 2020/21 for ensuring that the Corporate Trustee’s procedures are followed, and that applicable regulations are complied with.
## **Constitution of the Charity -** _including the reservation and delegation of the powers of the Corporate Trustee_
The unrestricted general umbrella fund was established using the Charity Commission’s model Declaration of Trust, dated 18 October 1995. This Declaration of Trust was amended by Supplemental Deed, dated 1 November 2007, which reflected the Trust’s new status as an NHS foundation trust. A number of ‘special purpose trusts’ were individually registered with the Charity Commission as constituent/subsidiary charities in 1997, and were ‘linked charities’ under the Charity’s single registration number. WUTH Charity applied for full dissolution of all linked charities within 2017/18 and Charity Commission records have been amended accordingly.
Any member of Trust staff can make a grant application. Delegated ‘fund-holders’ for each fund may approve an application, up to a specified financial limit. Above this limit, further approvals are required by the Corporate Trustee. The Trust’s Financial Services department is responsible for the financial administration of the Charity and undertakes the ‘technical approval’ of all applications, ensuring compliance with the _Expenditure Guidance_ policy and charity law on behalf of the Corporate Trustee.
Although the Corporate Trustee has delegated some day-to-day decision-making in terms of grant approvals, the Corporate Trustee and its Charitable Funds Committee reserve the power to apply any funds to any purpose in any area of the Trust’s hospitals in accordance with the Health Service Act 2006, subject to any imposed restrictions.
The full current name of the Charity is Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund. It is also known as ‘WUTH Charity’, which is a registered ‘working name’. The Charity’s registration number is 1050469.
12
Annual Report and Accounts 2020/21
## **Risk management**
The Charity’s key systems are designed and implemented by Wirral University Teaching Hospital NHS Foundation Trust, and the Charity therefore benefits from the Trust’s robust internal control framework. Risks to which the Charity is exposed are identified, and mitigating actions are considered, in meetings of the Charitable Funds Committee.
As at 31 March 2021, the Corporate Trustee has determined that the Charity did not have any significant residual risks.
## **Reserves policy**
## **Background**
In accordance with Charity Commission guidance, the Corporate Trustee acknowledges that there is a requirement to hold a minimum reserve balance. This is to allow freedom to initiate expenditure when required, in advance of donations, and to mitigate the impact of any unforeseen circumstances.
Conversely, the Charity Commission asserts that charities should not hold substantial unspent reserves as a matter of course. The Corporate Trustee recognises its statutory obligation to ensure that funds should be spent effectively and promptly.
## **Level of reserves**
As at 31 March 2021, the Charity did not have any staff-based obligations or large ongoing projects, which might generate significant unforeseen obligations, and the Charity has the ability to reactively scale back expenditure to trivial levels, as discussed in the Charity’s _Going concern_ policy (page 31). Therefore, the Corporate Trustee cannot identify any need to hold high levels of reserves to March 2021.
Reserves are that part of a charity’s unrestricted funds that is freely available to spend on any of that charity’s purposes. The actual level of reserves held is usually calculated as the total funds of a charity, less restricted funds and any other funds earmarked against, or committed to, future projects. Because, with the exception of one fund, the funds held are classed as restricted, the actual reserves figure for WUTH Charity at 31 March 2021 was £338k (2019/20 £244k). This level of reserves is consistent with the reasoning above.
The Charity’s restricted funds have narrower objects than those of the Charity and so are not ‘freely available’. However they still have broad objects within their own areas, are subject to the apportionment of overheads, and are not often subject to very narrow restrictions from imposed trusts. This means that, for internal management purposes only, an ‘operational reserves’ figure might be alternatively broadly expressed as the total funds held. It could be argued that this represents a high level of ‘operational reserves’, given the very low risk of unforeseen obligation, and the growing needs of the Charity’s beneficiary trust.
The Corporate Trustee is committed to ensuring that high fund balances are not held unnecessarily, and that the Charity’s funds are put to prompt and prioritised use for the benefit of the Trust’s patients.
13
Annual Report and Accounts 2020/21
## **Investment policy**
## **Background**
By law, the Charity must ensure it spends any income received within a ‘reasonable time of receipt’. Charities should not hold substantial unspent reserves as a matter of course. However, where NHS charitable funds have surplus monies not needed to fund immediate charitable activities, the Corporate Trustee may elect to invest some (or all) of this surplus in order to generate additional income to fund future activities.
All investment decisions
- must comply with the Trustee Act 2000 and have regard to the Act’s standard investment criteria; and
- must be informed by appropriate professional investment advice.
The Charity avoids investments involving alcohol, arms and tobacco.
The overriding objective, as expressed through the Charity’s Treasury Management Policy, is to safeguard the Charity’s assets and minimise risk, whilst maximising returns net of administrative expense.
## **Investments summary**
In prior years the Charity has held _common investment funds_ (CIFs) managed by CCLA Investment Management Limited, which were disposed of within the 2017/18 financial year. As a consequence, the total value of the investment assets of the Charity as at 31 March 2021 was nil (2019/20 nil).
In 2020/21 investment income of £1.5k (2019/20 £5k) was earned. This income now solely relates to bank interest.
14
Annual Report and Accounts 2020/21
## Achievements in 2020/21
Despite charity activity refocusing to staff, community and patient support in response to the COVID19 pandemic, the impact of the Charity however was still felt as a number of excellent projects were supported. Some key stories are described below.
## Patient Wish Fund
## **Heart in their hands**
The Palliative Care team has launched a ‘Hearts in their Hand’ initiative across the Trust to support patients who are at end of life. WUTH Charity funded 250 of the silver hearts.
‘Hearts in their Hands’ are a special silver keyring (pictured). It contains a pop-out heart in the middle which is placed in the hand of a patient at end of life. The remainder of the keyring is then passed on to a loved one as a keepsake. The idea is
that both patients and loved ones have a piece of the same heart, offering a special connection and memory at that important time.
The Palliative Care Team started using them at the start of the COVID-19 pandemic. They described how giving one piece to a patient and the other to relatives has been an “honour” and that loved ones have been extremely grateful, especially during the first wave of the pandemic when families may not have been able to see patients for a variety of reasons. The team has even sent the keyrings as far as Australia.
One relative commented that: “I feel that although I wasn’t there, a piece of me was.”
Head of Fundraising Victoria Burrows said “Little things that mean a lot is often what we talk about to our donors and these keyrings are a very special example of this. It is wonderful to see Charity funds supporting such a valuable project for our Palliative Care team, their patients and loved ones.”
15
Annual Report and Accounts 2020/21
## Children’s Ward Sensory Room and Fish Tank upgrades
A popular focal point on the Children’s ward, the fish tank encourages discussion and provides distraction and opportunities for learning. The improvements included new lighting, repairs to the display stand and new ornaments.
The sensory space helps children be more at ease while they are in hospital. It's especially beneficial for children with sensory issues, autism, developmental delays and mental health conditions. The room includes projector lamps, ladder lights, hurricane columns and more. All make the ward’s sensory space an amazing place for children who need somewhere peaceful and calming.
“The Children’s Ward have benefited from generous donations made to the Children’s Fund. This year our sensory room and fish tank have both been upgraded. They provide our patients and their families with something to focus on other than why they are with us. They really do have a calming and relaxing influence. We’d like to thank everyone who supports the Children’s Fund; your donations really do make a difference. We really are truly grateful”
## **Michelle Lee-Jones, Ward Manager, Children’s Ward**
## Heart Care fund
## **2 x echocardiogram machines - Heart Care fund**
The largest grant of the year of £194,000 was made to the Cardiology outpatients’ department. This new equipment has allowed the department to help hundreds of patients access high quality diagnostic echocardiograms, which are the cornerstone of the diagnosis of several very prevalent and common heart diseases, such as heart failure, heart disease and coronary artery disease.
The equipment has been used to run inpatient lists of transoesophageal echocardiogram, allowing diagnostic precision and early detection of infections on the heart.
The machines also help our outpatient population to access a diagnosis of several conditions.
For the first time, the department has been able to set a specific clinic for 3 D echocardiogram, to increase the precision of our diagnosis by using the 3 D software for the most challenging patients.
16
Annual Report and Accounts 2020/21
## Christmas gifts for patients
Christmas was very different for so many people this year, including vulnerable patients in our hospitals, who faced the festive season isolated from loved ones and happy family traditions.
This year, with the generous donations of our community, WUTH Charity purchased a variety of small gifts which were shared with patients on Christmas Day. We also had donations of toys and gifts for the children we cared for over Christmas. The incredible support of our donors really helped to lift spirits in what was a Christmas like no other.
“2020 was an extraordinary year, our staff and hospital had to make changes and adapt like never before. It also meant that Christmas 2020 was very different for all of us. The generosity of our charity supporters really made a difference to our patients on Christmas Day. I would like to thank everyone who has supported our Charity this year”
## **Hazel Richards, Chief Nurse**
## Staff support and thanks
In November 2020, the Charity received a generous grant of £50,000 from NHS Charities Together (National Charity leading on the COIVD-19 Urgent appeal). This discretionary funding provided staff with a number of different items and activities to boost morale and recognise their outstanding efforts during the year.
During December, the Charity team coordinated the sourcing and distribution of 220 staff room hampers, approximately 7000 Christmas gifts and cards to all staff on behalf of the Trust, and delivered 2 free breakfasts and ensured regular supplies of drinks, snacks and treats were readily available to all wards, the Emergency Department and Critical Care. The support of drinks, snacks and additional breakfasts continued through to February 2021.
Activities such as virtual Comedy Bingo and magic shows were also arranged.
## Every penny makes a difference
This section has outlined some key impacts made by the Charity throughout the year. Other items funded also include
- Adult Dental Intraoral Radiopaque simulator mannequin
- Micro-Ultrasound Imaging System
- Transit wheelchair, Invacare 18x17 Ben NG Attendant propelled chair.
- Various therapy items including putty and hand exercise equipment for the Stroke and Rehabilitation teams.
17
Annual Report and Accounts 2020/21
On many occasions, significant benefit has been achieved with very modest spend, using care and imagination in selecting projects that are suitable for grants from the Charity; and also seeking in kind contributions. The Corporate Trustee wishes to acknowledge the significant contribution made to patient benefit by such projects.
More information about our projects can be found at
www.wuthcharity.org/how-your-donations-have-helped
18
Annual Report and Accounts 2020/21
## Head of Fundraising’s review of the year A year like no other
I ended last year’s review with some uncertainty with what the year ahead would entail. Throughout the year, the Charity Office at Arrowe Park continued to be a hub for community donations for the staff. The outpouring of support was phenomenal. The Charity team have met many new people as they showed support for staff in our hospitals and I would like to thank everyone one for their generosity, messages of support and kindness.
In April 2020 the Wirral Globe was instrumental in launching the COVID-19 support fund. They have throughout last year been extremely supportive with front page coverage of fundraising milestones reached, but also in paying tribute the level of activity in the community. We are incredibly grateful for their support and really hope to continue this valued partnership as we move forward, especially as we’ve been nominated as one of two beneficiaries for the Wirral Mayor’s annual charity appeals.
‘More than 2000 donations were made to over 200 individuals completing challenges for the appeal’
Of the many people who completed challenges in aid of the appeal, I would like to make a special thanks to one of our youngest. Will Ritchie was our top fundraiser, aged 6. . During lockdown Will’s parents set him a little challenge for June to increase his tolerance to exercise - Will’s Marathon Month. Each day they aimed to complete 1.5km with him equalling 45km (28miles) in 30 days. They decided to fundraise for the WUTH Charity Covid-19 Support fund, to help the hospital which has offered so much support to the family over the last 6 years.
Will completed 30 miles and raised an amazing £14,000. He featured on BBC North West and was a huge inspiration to staff and the whole community with his achievements. I was extremely proud to
successfully nominate Will as our NHS Hero. He was featured in a special tribute installation as an ‘NHS Hero’ at Blackpool Illuminations throughout the autumn of 2020.
19
Annual Report and Accounts 2020/21
The level of support in the community really was exceptional and the local appeal passed £150,000 in March 2021. ‘A year of support’ has been captured more fully on the Charity website wuthcharity.org
## Supporting Staff
As mentioned the Charity team was diverted to supporting staff as part of the Trusts COVID-19 response for a significant part of the year. With the support of some exceptional new volunteers (who contributed over 2500 hours) the Charity team were involved in the following activities
- Sourcing and distributing of gifts in kind including refreshments, hand creams and other small gestures including 16,000 Easter eggs.
- Salute the NHS meal scheme. The team co-ordinated the delivery of over 700 meals and booster snacks per day to staff working directly within COVID-19 areas of the Trust. This generous food programme set up by Ron Dennis CBE continued for 12 weeks throughout the first lockdown. A total of 76,000 meals were delivered by the team and volunteers.
20
Annual Report and Accounts 2020/21
## Corporate Support – Improving outdoor spaces
The Charity team approached SP Energy Networks and partners David T Hughes Contractors Ltd to request support to clear overgrown areas at the front of the Arrowe Park Hospital site. The week long project included approximately 100 volunteers from both companies attending to complete the project which resulted in landscaped areas, remarked visitors’ car park and thankyou messages to staff painted on the exits.
## Fundraising Activity
As the first lockdown restrictions eased the team did resume some fundraising activity through the summer and into the autumn. Key activities are as follows
The **Wirral Rainbow flower** was our biggest project for the year. A bespoke metal rainbow daisy was commissioned by the British Iron Works centre in Shropshire. Hundreds of flowers were sold to patients, families and staff. Many were bought in memory of loved ones, others to mark the care they had received from staff.
**Challenge 100** , in September, we saw people find imaginative ways to raise money by doing various things 100 times. For example a staff member raised a fantastic £1,800 for a 100minute silence; others walked 10 kilometres or swam 100 lengths of their local pool.
The team along with other staff from Pharmacy and community supporters completed the **virtual London marathon** in October and raised over £6,000 for the COVID appeal.
21
Annual Report and Accounts 2020/21
## **Critical Care Team Lands’ End to John O’Groats challenge**
55 staff from the Critical Care unit took part because the wanted to remember each and every one of the patients they had cared for. The team had an amazing week completing 1090 miles in just 5 days and raised over £8,000.
## **NHS Charities Together Urgent Appeal Grants**
We successfully applied for all grants made available from NHS Charities together (NHS CT). NHS CT ran the national urgent appeal, which includes the funds which Sir Captain Tom Moore raised. Approximately £150,000 million has been raised nationally of which 68million has been allocated. We have received £182,000 to date and look forward to learning about new funds to be released from these national funds.
## Finally…
In what has been a challenging year the Charity team has met many colleagues from across the Trust whilst carrying out the activities described. We have had the privilege to be part of an exceptional team at Wirral University Teaching Hospital. I would finally like to personally thank our charity volunteers, Jo Roberts and Phil Crawford our Community and Events Fundraisers who quickly adapted and embraced a new challenge of supporting our colleagues whilst exploring new and safe ways to also fundraise. We have been overwhelmed by the generosity of supporters locally and nationally. A scheme of work is currently being developed for both the local and national funds combined. Following consultation with staff the funds will be used to enhance rest and relaxation facilities to support staff recovery and build resilience for the future.
Looking forward future activity is still uncertain. We hope to relaunch the Tiny Stars Neonatal Appeal when we can resume normal activity. The team continues to plan new activities and is looking forward to being able invite all our supporters to our events again as soon as possible.
## **Victoria Burrows – Head of Fundraising**
22
Annual Report and Accounts 2020/21
## Finance and performance review
## Income summary
The Charity relies upon donations and legacies as its main source of income. Total income for 2020/21 was £610k (2019/20 £333k). The following chart analyses this year’s income by source.
## Analysis of income
## **Donations - £519k**
Many of our on-site donors give to the Charity in times of personal difficulty, whilst other donors may be motivated to say ‘thank-you’ after returning home from an experience as a patient or carer, which leads to postal donations, JustGiving collections and external (third party) fundraising events.
The Charity was one of the beneficiaries of the national COVID-19 urgent appeal organised by NHS Charities Together.
Fundraising activities and events are a wonderful way for the local community to contribute and get involved. They are usually more effective if undertaken with the knowledge and approval of the Corporate Trustee, and the Charity’s fundraising team (page 4) can offer advice and help.
We thank all donors for their kindness and effort.
## **Legacies - £89k**
We are very fortunate to be remembered through wills by kind legacy donors, and we extend our thoughts and thanks to their families and friends. The Charity benefited from two legacies in 2020/21.
23
Annual Report and Accounts 2020/21
## **Other trading activities - £1k**
The income relates to income received in exchange for supplying goods and services to raise funds for the Charity which was primarily generated by lottery activities. The vast majority of income generated by fundraising events is currently technically classified as donations.
## **Investment income - £1.5k**
In order to maximise the benefit of every penny donated, the Charity seeks to invest any funds which are not likely to be used in the short-term subject to the requirements of the Reserves Policy. Recent investment market conditions are such that investment income was modest in 2020/21; investment opportunities are subject to ongoing review.
## Expenditure analysis
Of the total expenditure of £463k (2019/20 £446k), £349k (2019/20 £335k) was spent on charitable activities across a range of programmes for patient benefit.
The allocation of support costs to these charitable activities is detailed in Note 7 to the accounts.
## **Patient comforts and welfare - (£59k)**
This charitable expenditure relates to a mixture of Trust-wide projects and ‘the little things that mean a lot’ – enhancing the patient (and carer) experience and supporting discharge. During 2020/21 the Trust experienced two significant periods of COVID-19 demand which meant that, whilst the Charity wasn’t able to support patient comfort and welfare in the same way it has done in previous years, every effort was made to ensure that patients were supported as and when possible.
## **Medical equipment - (£290k)**
This expenditure represents tangible benefits to patients which will be felt for years to come. The Charity has provided an array of modern and innovative equipment to be used in the direct delivery of healthcare. This included the purchase of two ultrasound monitors.
## **Raising funds - (£114k)**
This category includes budgeted fundraising services and resources, which will underpin future income growth.
24
Annual Report and Accounts 2020/21
## **Future plans**
The Trust, as a body operating within the NHS, is subject to uncertainty due to changes in government policy, departmental and regulatory reforms, and local developments. The Corporate Trustee is therefore committed to flexibility in the Charity’s spending decisions, to accommodate the changing needs of its major beneficiary.
## **The Charity therefore did not require or compile comprehensive future spending plans in 2020/21.**
As the Charity grows, this position will adapt to incorporate the spending plans associated with appeals schemes.
As a general rule, the Corporate Trustee is committed to utilising funds as soon as is practical, based on patient benefit priorities. At the time of compilation of this Annual Report and Accounts, the most significant grant-funded projects in 2020/21 are as follows.
- 2x Cardiac Ultrasound Monitors (Heart Fund) £193,400
Other future plans for the development of the Charity’s activities and incomes are outlined in the _Head of Fundraising’s review of the year_ (page 19).
25
Annual Report and Accounts 2020/21
## **Corporate Trustee’s responsibilities in relation to the financial statements**
The Corporate Trustee is responsible for preparing the Trustee Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) including the _Financial Reporting Standard applicable in the UK and Republic of Ireland_ (FRS 102).
The law applicable in England and Wales requires the Trustee to prepare financial statements for each financial year which give a true and fair view of the Charity’s financial activities during the year, and of its financial position at the end of the year. In preparing financial statements that give a true and fair view, the Trustee should follow best practice and:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the applicable Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the _going concern_ basis unless it is inappropriate to presume that the Charity will continue in operation; keep proper accounting records, which disclose with reasonable accuracy at any time the financial position of the Charity, and which enables the Trustee to ensure that the financial statements comply with the requirements in the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations (see Note 1 to the accounts) and the provisions of the trust deed; and safeguard the assets of the Charity, therefore taking reasonable steps in the prevention and detection of fraud and other irregularities.
The Corporate Trustee confirms that it has met the responsibilities set out above and complied with the requirements for preparing the accounts. The financial statements (including notes) set out on pages 29 to 41 have been compiled from, and are in accordance with, the financial records maintained by the Corporate Trustee.
The Corporate Trustee is responsible for the maintenance and integrity of the general and financial information included on the Charity's webpages. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
## **Statement as to disclosure to our independent examiners**
So far as the Corporate Trustee is aware, at the time of approving this Annual Report and Accounts, there is no relevant information of which the Charity’s independent examiner is unaware. The Corporate Trustee has taken all the steps that it ought to have taken to make itself aware of any relevant information and to establish that the Charity’s independent examiner is aware of that information.
## **By delegated authority on behalf of the Corporate Trustee:**
**Sue Lorimer** Date 13 December 2021 Chair - Charitable Funds Committee / Non-Executive Director of the Corporate Trustee
**Claire Wilson** Date 13 December 2021 Executive Lead - Charitable Funds Committee / Chief Finance Officer of the Corporate Trustee
26
Annual Report and Accounts 2020/21
## Independent examiner's report to the corporate trustee of Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund
I report to the charity Trustees on my examination of the accounts of the charity for the year ended 31 March 2021.
## **Responsibilities and Basis of Report**
As the Trustees of the charity you are responsible for the preparation of the accounts in accordance with the requirements of the Charities Act 2011 ('the 2011 Act').
I report in respect of my examination of the charity's accounts carried out under section 145 of the 2011 Act and in carrying out my examination I have followed all the applicable Directions given by the Charity Commission under section 145(5)(b) of the 2011 Act.
An independent examination does not involve gathering all the evidence that would be required in an audit and consequently does not cover all the matters that an auditor considers in giving their opinion on the accounts. The planning and conduct of an audit goes beyond the limited assurance that an independent examination can provide. Consequently, I express no opinion as to whether the consolidated accounts present a ‘true and fair’ view and my report is limited to those specific matters set out in the independent examiner’s statement.
## **Independent Examiner’s Statement**
Since the charity’s gross income exceeded £250,000 your examiner must be a member of a body listed in section 145 of the Act. I confirm that I am qualified to undertake the examination because I am a member of the Association of Certified Chartered Accountants, which is one of the listed bodies.
I have completed my examination. I can confirm that no matters have come to my attention in connection with the examination giving me cause to believe that in any material respect:
1. accounting records were not kept in respect of the charity as required by section 130 of the 2011 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the applicable requirements concerning the form and content of accounts set out in the Charities (Accounts and Reports) Regulations 2008 other than any requirement that the accounts give a 'true and fair' view which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities.
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in other to enable a proper understanding of the accounts to be reached.
27
Annual Report and Accounts 2020/21
## **Use of this report**
This report is in respect of an examination carried out under section 145 of the Charities Act 2011. This report is made solely to the charity's corporate trustee, as a body, in accordance with the regulations made under section 154 of the Charities Act 2011. My work has been undertaken so that I might state to the charity's trustees those matters I am required to state to them in an independent examiner's report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity's trustee, as a body, for my work, for this report or for the opinions I have formed.
Name: Laura Hinsley FCCA
Association of Certified Chartered Accountants
Azets Audit Services 6[th] Floor Bank House 8 Cherry Street Birmingham B2 5AL
Date: 13 December 2021
28
Annual Report and Accounts 2020/21
## Statement of Financial Activities
## For the year ended 31 March 2021
||**Note**|**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|---|
|||**2020/21**|**2020/21**|**2020/21**|**2019/20**|**2019/20**|**2019/20**|
|||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|**INCOME from**||||||||
|Donations and Legacies|3|124|484|608|228|99|327|
|Other trading activities - raising funds|4|1|0|1|1|0|1|
|Investments|5|0|1|1|1|4|5|
|**Total Income**||**125**|**485**|**610**|**230**|**103**|**333**|
|**EXPENDITURE on**||||||||
|Raising Funds|6|(27)|(87)|(114)|(18)|(93)|(111)|
|Charitable activities||||||||
|Patient comforts and welfare|7|(4)|(55)|(59)|(263)|(43)|(306)|
|Medical equipment|7|0|(290)|(290)|(8)|(21)|(29)|
|**Total Expenditure**||**(31)**|**(432)**|**(463)**|**(289)**|**(157)**|**(446)**|
|Net realised gains / (losses)on investments||0|0|0|0|0|0|
|**NET INCOME / (EXPENDITURE)**||**94**|**53**|**147**|**(59)**|**(54)**|**(113)**|
|**Transfers between funds**|8|0|0|0|(260)|260|0|
|**Net Movement in Funds**||**94**|**53**|**147**|**(319)**|**206**|**(113)**|
|**Reconciliation of funds**||||||||
|Total funds brought forward||244|665|909|563|459|1,022|
|**TOTAL FUND CARRIED FORWARD**||**338**|**718**|**1,056**|**244**|**665**|**909**|
29
Annual Report and Accounts 2020/21
## Balance Sheet
## As at 31 March 2021
||**Note**|**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|---|
|||**2020/21**|**2020/21**|**2020/21**|**2019/20**|**2019/20**|**2019/20**|
|||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|**Current Assets**||||||||
|Debtors|12|100|95|195|10|0|10|
|Cash|13|273|770|1,043|237|669|906|
|**Total current assets**||**373**|**865**|**1,238**|**247**|**669**|**916**|
|**Current Liabilities**||||||||
|Creditors|14|(35)|(147)|(182)|(3)|(4)|(7)|
|**Net Current Assets**||**338**|**718**|**1,056**|**244**|**665**|**909**|
|**Total assets less current liabilities**||**338**|**718**|**1,056**|**244**|**665**|**909**|
|**NET ASSETS**||**338**|**718**|**1,056**|**244**|**665**|**909**|
|**Total funds of the charity**||||||||
|**TOTAL CHARITY FUNDS**||**338**|**718**|**1,056**|**244**|**665**|**909**|
The notes on pages 31 to 41 form part of these accounts.
Approved by the Corporate Trustee and signed on its behalf:
## **Sue Lorimer**
Date 13 December 2021
Chair of the Charitable Funds Committee Non-Executive Director of the Corporate Trustee
## **Claire Wilson**
Date 13 December 2021
Executive Lead for the Charitable Funds Committee Chief Finance Officer of the Corporate Trustee
30
Annual Report and Accounts 2020/21
## **Notes to the accounts**
## **1. Accounting policies**
## **a. Basis of preparation**
Wirral University Teaching Hospital NHS Foundation Trust Charitable Fund (‘the Charity’) is a public benefit entity.
The Charity’s financial statements have been prepared under the going concern basis and historical cost convention as modified by the revaluation of assets, and in accordance with applicable United Kingdom accounting standards and _Accounting and reporting by charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)_ issued on 1 January 2019 (‘Charities SORP (FRS 102)’), its published updates and amendments pertaining to _small entities_ , the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), Charities (Accounts and Reports) Regulations 2008, and Charities Act 2011.
The accounts (financial statements) have been prepared to give a ‘true and fair’ view and have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a ‘true and fair view’. This departure has involved following Charities SORP (FRS 102) issued on 1 January 2019, rather than _Accounting and Reporting by Charities: Statement of Recommended Practice_ effective from 1 April 2005, which has since been withdrawn.
## **b. Going concern**
The Corporate Trustee has satisfied itself that there are no material uncertainties about the Charity’s ability to continue as a going concern for a period of at least 12 months from the date these financial statements are approved. This is because the Charity’s expenditure and obligations are with Wirral University Teaching Hospital NHS Foundation Trust. The Charity has the ability to scale costs back, in line with available cash / funds. There are no contractual staff obligations, and no long-term programmes or projects to create unfunded obligations. Grants are committed after assessing fund balances, and grant commitments can, in certain circumstances, be reversed, are short-term, and are non-recurrent in nature.
The Corporate Trustee has therefore adopted the going concern basis of accounting in preparing the financial statements and a material uncertainty is not considered to exist in relation to going concern.
## **c. Funds structure**
Unrestricted income funds comprise those funds which the Corporate Trustee is free to use for any purpose in furtherance of the charitable objects. After a significant restructure, as at 31 March 2018, the Charity has a single unrestricted general purposes Patient Wish fund, and seven restricted specialty funds. Restricted funds are to be used in accordance with their specific restrictions, which could be imposed by the donor through a written trust, or through ‘appeals’ fundraising.
The major funds held are disclosed in Note 18.
31
Annual Report and Accounts 2020/21
## **d. Income**
All income is recognised once the Charity has entitlement to it, it is probable that it will be received, and its monetary value can be measured with sufficient reliability.
Given the absence of a reliable measurement basis, the significant voluntary contribution of Trust staff members is not included as Charity income in these accounts.
## **e. Income from legacies**
Legacy sums notified but not received at year end will be recognised as in-year income if their receipt is considered to be ‘probable’ (more likely than not), in line with d., above.
Therefore, legacies are accounted for as income upon cash receipt, or where the receipt of the legacy meets each of the following ‘probable’ criteria.
- Confirmation has been received from the representatives of the estate(s) that probate has been granted.
- The executors have established that there are sufficient assets in the estate, after settling liabilities, to pay the legacy.
- All of the conditions attached to the legacy have been fulfilled or are in the control of the Corporate Trustee, and payment is unlikely to be challenged.
If the Charity is notified of a legacy after the reporting date but before the accounts are authorised for issue, then the legacy is accrued as income within the accounting period only if it can be shown that the ‘probable’ criteria are met as at the reporting date, and the legacy can be reliably measured.
If there is uncertainty as to the amount of the legacy (for example, if it is challenged) and it cannot be reliably measured by the date on which the accounts are authorised for issue, or there are unmet conditions not wholly within the control of the Charity, then the legacy is shown as a contingent asset until all of the conditions for income recognition are met.
## **f. Expenditure**
All expenditure is accounted for on an accruals basis, and is recognised once there is a legal or constructive obligation, as a result of a past event, committing the Charity to the expenditure. In addition, settlement must be ‘probable’ – that is, it must be more likely than not that a transfer of cash will occur, and the amount of the obligation must be able to be measured or estimated reliably.
When transacting directly with third parties, contractual obligations are recognised as goods or services are supplied to the Charity. When funding Trust expenditure, constructive grant obligations are recognised by the Charity when the conditions of each grant are met. Grant conditions for day-to-day transactions are deemed to be satisfied when the Trust fully completes the purchase transaction correctly and promptly, and the details of the purchase can be demonstrated to match the original grant claim, which has itself been approved by the Corporate Trustee or delegated officer(s).
Extraordinary grants may be issued in advance of grantee expenditure. Such grants are only issued if they are contractually required and/or are directed by the Corporate Trustee.
32
Annual Report and Accounts 2020/21
## **g. Expenditure on irrecoverable VAT**
Irrecoverable VAT is charged against the same category of _resources expended_ as the underlying purchases.
## **h. Expenditure on raising funds**
These are costs associated with generating incoming resources, and are recognised as per the Charity’s other expenditure. The costs of budgeted fundraising services and resources have been included. Unless directly attributable to a particular fund, such costs are split across the Charity’s 10 funds.
## **i. Charitable activities and apportionment**
The costs of charitable activities include all costs incurred in the pursuit of the charitable objects of the Charity.
_Charitable activities_ costs comprise the direct and grant-funding expenditures of charitable projects, and all overheads (administration and governance costs), charged directly to funds. The apportionment of the overheads (‘support costs’) across the different categories of charitable activity is usually then achieved using the value of expenditure transactions undertaken within the financial year in each category.
Governance costs comprise the costs of independent examination and the element of the administration fee which is deemed attributable to supporting the Charitable Funds Committee and for providing policies, papers, advice and recommendations, in addition to the creation of this Annual Report and Accounts.
The apportionment of support costs across the different categories of charitable activity is disclosed in Note 7.
## **j. Fixed asset and current asset investments**
Any investments held would be stated at market value as at the Balance Sheet date. The Statement of Financial Activities would include the net gains and losses arising on revaluation and disposals throughout the year. The Charity held no investments within 2020/21 or in the prior year.
## **k. Realised gains and losses from investment**
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 market value at the start of the year (or purchase cost if bought in year). Unrealised gains and losses are calculated as the difference between market value at the year end and opening market value (or purchase cost if bought in year).
In line with the principles of fund accounting, all gains (or income) and losses (or expenditure) pertaining to treasury activity are allocated back to each individual ‘originating’ fund.
The Charity had no such gains/losses in 2020/21 or in the prior year.
33
Annual Report and Accounts 2020/21
## **l. Financial instruments**
Financial assets and financial liabilities are recognised when the Charity becomes a party to the contractual provisions of the instrument. All financial assets and liabilities are initially measured at transaction price (including transaction costs). The Charity’s financial instruments comprise balances from across the Balance Sheet: _Debtors, cash and creditors_ .
The Charity’s financial assets and financial liabilities qualify as ‘basic financial instruments’. These basic financial instruments are initially recognised at transaction value and are subsequently measured at amortised cost which equates to settlement value.
## **m. Contingent assets and liabilities**
A contingent asset is a possible asset that arises from a past event, but which is not recognised in the Charity’s Balance Sheet as its existence can only be confirmed by future events which are not within the Charity’s control.
If receipt of a legacy is probable, but it cannot be reliably measured by the date of compilation of these accounts, then the legacy is shown as a contingent asset until all of the conditions for income recognition are met.
A contingent liability is either a possible but uncertain obligation, or a present obligation that is not recognised in the Charity’s Balance Sheet because
- a transfer of economic benefit to settle the possible obligation is not probable; or
- the amount of the obligation cannot be estimated reliably.
Grants approved in principle but with unmet application or performance conditions are disclosed as contingent liabilities.
## **n. Critical accounting judgements and key sources of estimation uncertainty**
In the application of the Charity’s accounting policies described above, the Corporate Trustee is required to make judgements, estimates and assumptions about carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and any other factors that are considered to be relevant. Actual results may differ from these estimates.
In assessing whether conditions have been met such that a grant claim is formally fully agreed and therefore recorded as expenditure, judgement is applied by delegated officers of the Corporate Trustee. Similarly, when applying the Charity’s accounting policies to the recognition of legacies, judgement is required to assess the circumstances surrounding each legacy. The Corporate Trustee’s going concern judgement is discussed in section b..
The Corporate Trustee does not consider that there are any other significant judgements, nor has it identified sources of estimation uncertainty, which present a significant risk of causing a material adjustment to the accounts within the next reporting period.
34
Annual Report and Accounts 2020/21
## **2. Related party transactions**
The Charity is a subsidiary of Wirral University Teaching Hospital NHS Foundation Trust and the Trust is therefore a related party. The Trust’s ‘place of business’ is Trust Headquarters, as detailed in the _Reference and administrative details_ section of the Annual Report. The Trust is a public benefit corporation established under the NHS Act 2006, and is both the Corporate Trustee and the primary beneficiary of the Charity. The Charity’s ultimate parent is HM Government.
The Charity provides funding to the Trust for approved expenditure made on behalf of the Charity. All of the Charity’s non-treasury expenditures, other than the costs of independent examination, bank charges and JustGiving fees, are with the Trust. During the year, the Charity made cash payments totalling £287k (2019/20 £505k) to Wirral University Teaching Hospital NHS Foundation Trust.
At 31 March 2021, the Charity owed the Wirral University Teaching Hospital NHS Foundation Trust £172k (2019/20 £5k) for support services delivered but not yet paid. All transactions entered into during the year were conducted on an arm’s length basis.
During the year, none of the members of the Trust Board, Charitable Funds Committee or senior Trust staff, or parties related to them, were beneficiaries of the Charity, and none of these individuals have undertaken any material transactions with the Charity or received honoraria, emoluments or expenses in the year which were funded by the Charity.
Board members, and other senior staff, take decisions on both Charity and Trust matters, but endeavour to keep the interests of each discrete, and do not seek to benefit personally from such decisions. Declarations of personal interest have been made in both capacities and are available to be inspected by the public. The Corporate Trustee purchases _Directors and Officers liability insurance_ which covers both the Charity and the Trust under a shared limit, and separate trustee indemnity insurance has therefore not been deemed necessary.
Prior to 31 March 2013, NHS charitable funds considered to be subsidiaries were excluded from accounts consolidation (‘group accounts’), in accordance with a Treasury accounting direction issued by Monitor (now NHS Improvement). This dispensation is no longer available and NHS foundation trusts need to consolidate any material NHS charitable funds. The Trust reviewed the figures contained in the single-entity financial statements within this Annual Report and Accounts, and has determined that they are immaterial to the ‘Trust group’. Consolidation has therefore not occurred in 2020/21, nor did it occur in any previous year.
## **3. Income: Donations and legacies**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**2020/21**|**2020/21**|**2020/21**|**2019/20**|**2019/20**|**2019/20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Donations|35|484|519|228|99|327|
|Legacies|89|0|89|0|0|0|
|**Total donations and legacies**|**124**|**484**|**608**|**228**|**99**|**327**|
35
Annual Report and Accounts 2020/21
## **4. Income: Other trading activities - raising funds**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**2020/21**|**2020/21**|**2020/21**|**2019/20**|**2019/20**|**2019/20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Fundraising events, sales, raffles and lottery|1|0|1|1|0|1|
|**Total**|**1**|**0**|**1**|**1**|**0**|**1**|
This income category only includes raised income for which there is an exchange; for example, monies collected due to ticket sales for official events, or the selling of goods. In 2019/20, this income primarily related to lottery activities.
This figure therefore does not capture the flow of income generated by the ongoing and ad hoc representation of the Charity to patients and visitors by Trust staff, or the donations collected at any of the Charity’s many events held in 2020/21, which would be included under _Donations_ in Note 3.
## **5. Income: Investments**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**2020/21**|**2020/21**|**2020/21**|**2019/20**|**2019/20**|**2019/20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Bankings|0|1|1|1|4|5|
|**Total**|**0**|**1**|**1**|**1**|**4**|**5**|
## **6. Expenditure: Raising funds**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**2020/21**|**2020/21**|**2020/21**|**2019/20**|**2019/20**|**2019/20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Fundraising services / resources|(26)|(87)|(113)|(18)|(92)|(110)|
|JustGiving fees, licenses and related charges|(1)|0|(1)|0|(1)|(1)|
|**Total**|**(27)**|**(87)**|**(114)**|**(18)**|**(93)**|**(111)**|
The Corporate Trustee has approved the recharge of service and resource costs from the Trust to the Charity, on a recurring basis.
36
Annual Report and Accounts 2020/21
## **7. Expenditure: Charitable activities**
The Charity grants funding to support Wirral University Teaching Hospital NHS Foundation Trust, through the purchase of goods and services for the Trust, consistent with the charitable objects of the Charity.
Support costs (overheads) comprise the Charity’s administration fee, which is explained in Note 9, legal fees and the costs of audit / independent examination, detailed in Note 10.
Support costs can be split between administration costs and governance costs, which have been separately disclosed below. The basis for the apportionment of overheads is detailed in Note 1.
Expenditure due to charitable activities is analysed as follows.
|~~[~~|~~[~~|**Grant Funding**|**Grant Funding**||**Support costs**
**Administration costs**
**Governance costs**
~~[OT~~|**Support costs**
**Administration costs**
**Governance costs**
~~[OT~~|**Support costs**
**Administration costs**
**Governance costs**
~~[OT~~|**Support costs**
**Administration costs**
**Governance costs**
~~[OT~~|**Combined totals**
~~[OT~~|**Combined totals**
~~[OT~~|**Combined totals**
~~[OT~~|
|---|---|---|---|---|---|---|---|---|---|---|---|
|**Unrestricted**|||**Restricted**||**Unrestricted**
**Restricted**|**Unrestricted**
**Restricted**|||**Unrestricted**|**Restricted**|**Total**|
|||**£000**|**£000**||**£000**
**£000**||**£000**
**£000**||**£000**|**£000**|**£000**|
|Patient comforts and welfare||(4)|(55)||0
0||0
0||(4)|(55)|(59)|
|Medical equipment||0|(290)||0
0||0
0||0|(290)|(290)|
|**Total**||**(4)**|**(345)**||**0**
**0**||**0**
**0**||**(4)**|**(345)**|**(349)**|
|**Analysis of Charitable Activities - 2019**|**Analysis of Charitable Activities - 2019/20**|||||||||||
|**Grant Funding**
~~[~~|||||**Support costs**
**Administration costs**
**Governance costs**
~~[ ~~||||**Combined totals**
~~[~~|||
|**Unrestricted**|||**Restricted**||**Unrestricted**
**Restricted**|**Unrestricted**
**Restricted**|||**Unrestricted**|**Restricted**|**Total**|
|||**£000**|**£000**||**£000**
**£000**||**£000**
**£000**||**£000**|**£000**|**£000**|
|Patient comforts and welfare||(237)|(24)||(13)
(10)||(13)
(9)||(263)|(43)|(306)|
|Medical equipment||(8)|(12)||(0)
(5)||(0)
(4)||(8)|(21)|(29)|
|**Total**||**(245)**|**(36)**||**(13)**
**(15)**||**(13)**
**(13)**||**(271)**|**(64)**|**(335)**|
Further details regarding expenditure due to charitable activities are included in the _Achievements in 2020/21_ and _Finance and performance review_ sections of the Annual Report.
## **8. Analysis of grants**
Grants are made to support Wirral University Teaching Hospital NHS Foundation Trust in its purchase of revenue goods or services and fixed assets. This expenditure is described in Note 7, and in the descriptions of management arrangements and performance reporting within the Annual Report.
The Charity does not make grants to individuals or third parties.
37
Annual Report and Accounts 2020/21
## **9. Analysis of staff costs**
The Charity does not directly employ staff. Instead, the resources of Wirral University Teaching Hospital NHS Foundation Trust are used, and an administration fee is levied by the Trust in order that the Trust can recover estimated costs incurred. This administration fee is subject to the approval of the Charitable Funds Committee.
The staff who perform administrative and fundraising functions work within Trust policy and under Trust direction, with identical terms and conditions to all other Trust staff, and their workload may be covered by colleagues interchangeably. These points would all suggest that these staff have not been seconded into the Charity, and that the supply is one of service, not of staff.
The Charity therefore does not require separate staff costs disclosures, and the service expenditure (administration fee) is contained within Note 7. The fundraising service charge is additionally disclosed in Note 6.
## **10. Costs of audit / independent examination**
The independent examiner’s fee of £7,200 (2019/20 £1,800) including VAT relates solely to the independent examination of these accounts. No other additional services have been provided by the independent examiner. This fee is included wholly within _Charitable activities_ in the Statement of Financial Activities, through the apportionment of governance costs within total support costs (Note 7).
## **11. Fixed asset and current asset investments**
No fixed asset or current asset investments have been held by the charity during the financial year, or prior year.
There have been no direct investments made outside the UK by the Charity, and further details of the Charity’s treasury activity are contained within the _Investment policy_ section of the Annual Report.
## **12. Current assets: Debtors**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**31-Mar-21**|**31-Mar-21**|**31-Mar-21**|**31-Mar-20**|**31-Mar-20**|**31-Mar-20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Accrued legacy income|98|0|98|8|0|8|
|Other debtors|2|95|97|2|0|2|
|**Total**|**100**|**95**|**195**|**10**|**0**|**10**|
Due to the balance and nature of the Charity’s debtors, exposure to credit risk is negligible. No debts are past due or impaired.
38
Annual Report and Accounts 2020/21
## **13. Current assets: Cash**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**31-Mar-21**|**31-Mar-21**|**31-Mar-21**|**31-Mar-20**|**31-Mar-20**|**31-Mar-20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Government Banking Service - deposit account|5|243|248|0|494|494|
|Barclays Bank - deposit account|183|527|710|152|175|327|
|Nationwide Building Society - savings account|85|0|85|85|0|85|
|**Total**|**273**|**770**|**1,043**|**237**|**669**|**906**|
The carrying value of _financial assets measured at amortised cost_ is measured as the total of balances in Notes 12 and 13.
## **14. Current liabilities: Creditors**
||**Unrestricted**|**Restricted**|**Total funds**|**Unrestricted**|**Restricted**|**Total funds**|
|---|---|---|---|---|---|---|
||**31-Mar-21**|**31-Mar-21**|**31-Mar-21**|**31-Mar-20**|**31-Mar-20**|**31-Mar-20**|
||**£000**|**£000**|**£000**|**£000**|**£000**|**£000**|
|Other creditors - amounts due to|||||||
|Wirral University Teaching Hospital NHS FT|(32)|(140)|(172)|(1)|(4)|(5)|
|Accruals|(3)|(7)|(10)|(2)|0|(2)|
|**Total**|**(35)**|**(147)**|**(182)**|**(3)**|**(4)**|**(7)**|
Amounts owed to Wirral University Teaching Hospital NHS Foundation Trust relate to unpaid obligations for services delivered, and grants issued but not yet paid. The carrying value of _financial liabilities measured at amortised cost_ equates to the accruals row above.
## **15. Contingent assets and liabilities**
If receipt of a legacy is probable at 31 March, but it cannot be reliably measured by the date of compilation of these accounts, then the legacy is disclosed as a contingent asset until all of the conditions for income recognition are met. The Charity had no contingent assets as at 31 March 2021 (31 March 2020 £84k).
Grants approved in principle but with unmet application or performance conditions are disclosed as contingent liabilities. If the conditions are not met within six months, the conditional approval expires. As at 31 March 2021 the estimated contingent liability was £100k (2019/20 £201k).
## **16. Commitments**
The Charity has no other undisclosed commitments.
39
Annual Report and Accounts 2020/21
## **17. Non-adjusting events after the end of the reporting period**
During the final quarter of the financial year the emergence of the Covid-19 pandemic began to significantly affect the Charity’s ability to operate and raise funds in traditional means. Fundraising activity was paused following the national ‘lockdown’ and the focus of the Charity Team shifted to supporting the Trust through the pandemic.
Due to the cancellation of fundraising activity the decision was taken to temporarily suspend the ‘time limited’ Tiny Stars Neonatal Appeal, and relaunch the appeal as soon as restrictions allow in the 2021/22 financial year.
A local COVID-19 appeal was launched in response to the public wish to support the NHS through the pandemic with the specific aim of supporting the wellbeing of the Trust’s staff. It has received significant donations locally and also from the national appeal via NHS Charities Together.
## **18. Analysis of material funds**
The objectives of all of the Charity’s funds are disclosed in the _Aims and objectives_ section of the Annual Report. A summary of 2020/21 fund movements is as follows.
||||||
|---|---|---|---|---|
|Heartcare|217|1
(198)||20|
|Children's|43|2
(17)||28|
|Stroke
Respiratory|14|2
(4)||12|
|Respiratory|39|10
(3)||46|
|Breastcare
coach
Criticalcare|70|3
(3)||70|
|Critical care|11|20
(3)||28|
|cancer
ven
te und|16|97
(98)||15|
|Patientwish|245|125
(31)||338|
||254|16
(8)||263|
|**COVID-19**|0|334
(98)||236|
|~~ee~~|909
~~ee~~|610
(463)
~~ee~~||1,056
~~ee~~|
|~~ee~~|||||
40
Annual Report and Accounts 2020/21
## A summary of 2019/20 fund movements is as follows
|**Fund**|**Opening**
**Balance**
**1 Apr 19**|**Fund**
**Transfers**|**Income**|**Expenditure**|**Closing**
**Balance**
**31 Mar 20**|
|---|---|---|---|---|---|
||**£k**|**£k**|**£k**|**£k**|**£k**|
|||||||
|Breastcare®|74|0|3|(7)|70|
|cancer®
vera neyCattPUA|14|0|6|(4)|16|
|Children’s ®&
CianeT|77|(10)|2|(26)|43|
|HeartCare|219|0|2|(4)|217|
|Criticalcare®
arteePAA|11|0|4|(4)|11|
|Respiratory*|49|0|4|(14)|39|
|stroke ®
eesti
CE
AAS|16|0|5|(7)|14|
|PatientWish¥&®|562|(258)|231|(290)|245|
|Cancer®
serra nemney orice Band|0
268
76
(90)
254
1,022
0
333
(446)
909
~~ee~~|||||
41 41