**Newcastle Hospitals Charity Annual Report and Accounts**
**2023-2024**
## **A message from the Charity Director**
**As we reflect on another year of helping our hospitals to go further, we are humbled by the generosity of our many volunteers and supporters. It is astounding to see that, thanks to the generosity of our supporters and fundraisers, we have been able to support more than 625 individual projects, with a total value of more than £7,600,000. This helps further our aim to improve the health and wellbeing of the staff, people and the wider communities of Newcastle Hospitals.**
## **Contents**
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|A Message from the Charity Director|Pg 3|
|Newcastle Hospitals Charity – Who we are|Pg 4|
|Review of the year|Pg 5-11|
|Structure and governance|Pg 12|
|A look forward|Pg 22|
|Financial review of the year|Pg 24|
|Annual Accounts 2022/23|Pg 30|
|Independent auditor’s report|Pg 42|
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Photo credit:
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Thanks to our amazing volunteers, supporters, donors and fundraisers we have been able to support projects such as The People First Cafe, a liver perfusion device to ensure that more donated livers are suitable for transplant, the refurbishment of the resident doctors facilities at the RVI and many, many more.
During the last year we have continued to invest in our Arts Programme growing audiences and participation with Trust staff, patients, visitors and the wider community. We have delivered over 110 creative engagement sessions which have reached over 200,000 people during the last 12 months, covering a range of activities, such as photography, printmaking, pottery, creative writing, crafting and live music.
In 2023/24 we continued to build on our ongoing partnerships with external organisations including New Writing North, Live Well with Cancer, The Sick Children’s Trust and Healthworks, to name but a few. We also continued our popular charity engagement forums, a friendly, informal session to exchange experiences, learning and ideas and to discuss collaborations with other charities in the healthcare sector who support Newcastle Hospitals.
**With all the very best**
**Teri Bayliss** Charity Director
We have been able to strengthen our dedicated charity team this year, building capacity to grow our Arts Programme; to support and engage volunteers and the local community, and to raise awareness and income from national funders.
Looking forward, Newcastle Hospitals Charity will continue to work in partnership with Newcastle Hospitals to complement their world-class healthcare services. Building on what has already been achieved, the Charity’s ambition is to further strengthen its role as a key partner for the Trust and to increase the impact that it can make on improving the health of the region and beyond.
We remain incredibly grateful to every single supporter of Newcastle Hospitals Charity, and we are committed to delivering our future strategy to continue making a positive difference for the patients, staff and communities of Newcastle Hospitals.
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## **Review of the year**
## **Who we are**
Newcastle Hospitals Charity is the official charity of Newcastle Hospitals, which includes the Royal Victoria Infirmary, the Freeman Hospital, the Great North Children’s Hospital, the Northern Centre for Cancer Care, Newcastle Dental Hospital, Northern Genetics Service and many community services.
Our overall objective is outlined in the Charity’s governing document and as such, funds are used “for any charitable purpose or purposes relating to the National Health Service or to general or specific purposes of The Newcastle upon Tyne Hospitals NHS Foundation Trust.”
We have a set of aims, which benefit the public through our support for Newcastle Hospitals (‘the Trust’). These aims ensure that the Trustee complies with the duty to have due regard to public benefit guidance published by the Charity Commission and set out in section 4 of the Charities Act 2006.
In 2023/24, our main aim has been to provide funding for a range of initiatives that support the health of the community by continually enhancing the excellent patient care and experience across the hospitals and beyond. This includes providing additional equipment; supporting staff and their development; funding new and innovative research projects and working in partnership with other organisations to support community health initiatives. To achieve this aim we continue to support:
- l **the purchase of equipment for use in patient care and treatment**
- l **projects and initiatives aimed at making the patient stay in hospital as comfortable as possible**
- l **staff training and development which ultimately translates into better care and treatment for patients**
- l **medical research that aims to increase the knowledge and understanding of a range of illnesses/diseases to provide cures or better treatment for patients**
- l **partnership working to tackle health inequalities.**
pottery, creative writing, crafting and live music. The Arts Programme has included visual arts exhibitions and museum displays across Trust sites and continues to work with the Trust’s estates teams to enhance the hospital environment.
Partnership working continues to be an important part of our strategy and, while a large proportion of the funding we have provided has been awarded within the Trust, we are growing partnerships with external organisations who make a real difference to the lives of people while they are in hospital and when they are at home. These partnerships include New Writing North, Urban Green Newcastle, Live Well with Cancer, Child Brain Injury Trust, Healthworks, The Sick Children’s Trust, Young Lives vs Cancer and Ways to Wellness, to name just a few.
This year has also seen the continuation of a strategic partnership between the Arts Programme and our city parks authority, Urban Green Newcastle, through the Springbank Pavilion project. Together, with local arts organisations, Chilli Studios, Curious Arts and GemArts, the Charity has funded free artistled workshops that all centre around creative practice in nature. This led to the project being highlighted in the new national publication ‘Creative Health Review: How Policy can Embrace Creative Health.’
We have been continuing to expand our Arts Programme, growing audiences and participation in creative health initiative for patients, Trust staff, visitors and the wider community, reaching over 200,000 people during the past 12 months.
Feedback and evaluation across the Arts Programmes has shown it continues to reduce isolation, create new connections and understanding, while improving wellbeing for those who have engaged with arts activities.
It has been proven that engagement within creative health (or arts and health) has the potential to aid recovery, address health inequalities and help to meet the challenges facing healthcare, including ageing, long-term conditions, loneliness, isolation and mental health. With over 110 creative engagement sessions in Trust sites and community settings, the Arts Programme has offered a range of activities, such as photography, printmaking,
Over the course of the year, we have supported more than 625 individual projects, with a total value of more than £7,600,000, all in line with the mission to improve the health and wellbeing of the patients, staff and wider communities of Newcastle Hospitals.
## **All support has been directly linked to four of our strategic goals:**
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5.31%
13.6%
25.3% 55.85%
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- Improve the patient and visitor experience, enhancing care for patients and the wider community **£4,241135 (55.85%)**
- Improve staff health, wellbeing and development **£1,916547 (25.3%)**
- Fund major developments and health related clinical research and evaluation **£1,033,387 (13.6%)**
- Tackle health inequalities and key health issues for the region and nationally **£403,192 (5.31%)**
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**As well as supporting patients and hospital staff directly, the larger projects the Charity has been able to support often play an enabling role in funding research and innovation, tackling health inequalities, and creating healthier communities across Newcastle and the wider region.**
**£51,000** for the running costs of The People First Cafe in the Northern Centre for Cancer Care, North Cumbria, which is staffed by a team of young people with learning disabilities and hospitality professionals.
Once again, staff from across the Trust brought a wide range of ideas for projects and equipment to the Charity, which included a number of small gestures that made a big difference to the experiences of patients in our hospitals.
Of the 625 individual projects that were supported over the year, the Charity allocated more than £850,000 in easy to access, small project funding in 2023/24. Much of this was focused on initiatives that improved the everyday experience of Newcastle Hospitals patients, and the development and wellbeing of Trust staff.
## **Examples of some of these smaller projects included:**
**£79,000** to support patients with a learning disability by working with Skills for People, and patients with lived experience, to review patient literature to ensure all materials were accessible and understandable.
**£100,000** to purchase a liver perfusion device, to ensure that more donated livers are suitable for transplant.
**£129,000** to create a specialist public health nurse for the 0-19 Service to both identify and respond to health needs in refugee families and those seeking asylum.
**£209,000** to refurbish the chemotherapy day unit, known as the Henderson Suite, at West Cumberland Hospital, Cumbria.
**£621,000** to amalgamate and expand the existing Newcastle Orthopaedic Retrieval Service (NRC) and the Tissue and Explant Analysis of Medical Implant Failure (TEAM) services.
- **£50** for a tea set for relatives to **£4,930** for technology to enable staff to
- enjoy refreshments with patients create video diaries for the families of
- in ward 6, Freeman Hospital. patients on the Paediatric Intensive Care Unit.
- **£100** to create memory boxes **£4,995** to enable cardiothoracic transplant following the death of a loved one. patients to receive complementary
- **£4,995** to enable cardiothoracic transplant patients to receive complementary therapies.
- **£8,000** to fund a project to introduce reminiscene interactive therapy activities to dementia patients, which uses archival footage of world events and entertainment to assist with communication.
- **£930** for new starter welcome packs in the maternity department.
- **£1,120** to create workbooks to support parents to relieve some **£9,290** to purchase 60 re-usable of the anxiety associated with laryngoscopes to allow the Day Treatment their child undergoing medical Centre at the Freeman Hospital to procedures. transition away from single use items.
**£700,000** to refurbish the resident doctors facilities at the RVI.
- **£700,000** towards the purchase of a state-of-the-art solid-state scanner for use in nuclear medicine that will provide high quality images in a faster time.
- **£3,380** to create a staff wellbeing room on ward 18, RVI.
**£3,750** for hair care books for breast cancer patients following chemotherapy.
- **£16,460** to fund a week-long visit of the Dentaid Bus to bring urgent dental treatment to children and adults in the west end of Newcastle.
**£706,000** to purchase a spinal surgical robotics system to further expand the Trust’s robotic assisted surgery programme.
**£1.4m** to run a new scheme across hospital wards to develop the best possible patient and staff focused culture.
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## **We are incredibly grateful to the continued and very generous support of our many supporters throughout 2023/24. Below are just some highlights of the amazing commitment that our supporters have shown.**
## **Community fundraising**
We achieve all that we do through the generosity of the many individuals willing to help raise vital funds, often undertaking their own personal challenges to show their appreciation for the work of staff at Newcastle Hospitals. The creativity, energy and dedication, from all parts of our community, has been incredible. Some examples of this fundraising include:
Talia Oatway raised more than **£10,000** for ward 2a at the Great North Children’s Hospital where her son Oakley received treatment, enabling the ward to purchase reclining chairs and sensory lights that improves the experience of patients and their families while they are in hospital.
Martyn Haughan, and his wonderful family and friends, have been fundraising for the last 10 years, raising an incredible
**£100,000** in total. This year they raised
**£26,000** walking from Newcastle to Penrith for the Sir Bobby Robson Foundation.
Lucas, Teddy, Josh and Zach raised **£576.83** making and selling cakes, pictures and keyrings for ward 4, a children’s cancer inpatient ward at the Great North Children’s Hospital.
Kingston Park Cubs and Beavers raised **£250** in memory of Stephen Duck through a super fundraising day to support Haven, a quiet space dedicated to families dealing with end-of-life care.
Louise Bean-Davison and Chris Davison raised more than **£7,000** for Newcastle Cardiovascular Trials and Research (NECTAR), cycling from Land’s End to John O’Groats, in memory of Louise’s father.
Northumbria University NMC Competence Test Centre raised **£1,055** in their “Biking to Belgium” fundraising event, cycling 600km as a collective force within 2 hours.
Individual support is shown in many different ways including spend in the Charity retail shops, regular monthly donations, or philanthropic donations, each contributes to how the Charity can better support Newcastle Hospitals.
In terms of particularly significant gifts from individuals, Newcastle Hospitals Charity received over **£680,000** from 17 individuals, funding a wide range of projects from clinical research fellowships to renal equipment for children.
We also want to give special thanks to those donors that chose to remain anonymous; their philanthropic support continues to help shape the future of healthcare.
## **Corporate support**
We have been fortunate enough to develop key relationships with businesses across the region that share our vision, developing meaningful partnerships that help support business need and Charity objectives, as highlighted below.
Northern Gas and Power showed incredible generosity over the festive period as they donated **£12,000** to the Great North Children’s Hospital as well as **£2,500** worth of toys for the young patients.
Stephen Hope Wealth Management and Bespoq Finance raised **£3,750** for ward lb at The Great North Children’s Hospital through their annual “Golf Day Fore Sophie” event at Wearside Golf Club. In May 2019, Sophie, aged 2, was diagnosed with an ependymoma brain tumour, requiring 3 brain operations, totalling 20 hours, 7 weeks of revolutionary proton beam therapy in Germany and finally chemotherapy back home in the UK. Now, at 6 years old, Sophie is nearing full recovery.
Newcastle NE1 partnered with Newcastle Hospitals Charity in support of the Great North Children’s Hospital for their first Dragon Boat Race Corporate Day, where 15 businesses signed up to take part in the race, raising **£10,056.**
Northumbrian Water colleagues support the Sir Bobby Robson Foundation every year after losing their friend, Mick Clark, to cancer in 2011. This year they cycled a circular route from Washington, via Consett and Newcastle and back to Washington, to raise **£3,349,** bringing the total raised in Mick’s memory to over **£60,000.**
FP Mccann continued their support with a very generous **£10,000** donation to Newcastle Hospitals Charity in support of the Great North Children’s Hospital.
Home Group colleagues of Newcastle United fan, Angela Armstrong, organised a wonderful football-themed fundraising event in her memory, raising **£3,458** for the Sir Bobby Robson Foundation.
Fenwick Newcastle provided tickets to their much-anticipated Christmas window reveal, inviting a mixture of long-term patient families and valued young supporters of the Charity, as well as providing patients staying in hospital over the festive period with toys and gifts.
Bradley Hall kindly chose Newcastle Hospitals Charity as a charity partner for their Festive Fundraiser 2023 - their seventh annual festive charity fundraiser, raising **£16,500** for the Great North Children’s Hospital.
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The festive season proved to be a highlight in terms of fantastic charitable support from companies who helped to fund gifts for patients in hospital over the festive period; visits and events to create some festive cheer and a series of projections, illuminations and festive decorations that brought some muchappreciated brightness into the lives of patients, visitors and staff at Newcastle Hospitals.
Special thanks to: **Medical Architecture, Geoffrey Robinson Limited and Robertson CE Limited** who all contributed to our outdoor illuminations and the 21 businesses that supported the festive period, including:
> l **lNE Logistics**
> l **Albany Contract Furniture**
> l **Armstrong Rhead Limited**
> l **Coolcheck Refrigeration Ltd**
> l **DTA Consulting Engineers**
> l **GT Cleaning Machines**
> l **Identity Consult**
> l **IE Signs Ltd**
> l **Keenan Processing Limited**
> l **McNally & Thompson UK Contracts Ltd**
> l **Naylors Gavin Black**
> l **Nearby Group**
> l **Opus Building Services Ltd**
> l **P+HS Architects**
> l **RBC Brewin Dolphin Ltd**
> l **Rentokil Specialist Hygiene**
> l **RidEH Hunt**
> l **Sharpsmart Ltd**
> l **Sintons LLP**
> l **Starbucks Jesmond / Kingston Park**
> l **T3 Security Ltd**
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## **Charitable objects**
Newcastle Hospitals Charity was formed by a Declaration of Trust on 16 July 1996 as The Freeman Group of Hospitals NHS Charity which was amended by a Supplemental Deed dated 17 March 1999 to the Newcastle upon Tyne Hospitals NHS Charity, Registration Number 1057213.
## **Trust and Foundations**
We continue to develop relationships with key local, regional and national Trust and Foundation bodies, to work collaboratively on key initiatives that improve healthcare provision for staff, patients and their families.
A significant and important grant was pledged from the Harrison Foundation to Newcastle Hospitals Charity to create a Sensory Garden in the heart of the Royal Victoria Infirmary.
## **Legacies**
A gift to Newcastle Hospitals Charity in the form of a legacy is the greatest honour the Charity can receive and this year it received 68 legacy donations. Some examples of the generous individuals who chose to support the work of hospitals, from cancer care to the special care baby unit, through Newcastle Hospitals Charity with a legacy donation are:
## l Ann Tait
> l John Widdowson
> l Colin Watson
> l Martin and Elaine Raeburn
> l Elizabeth Taylor
> l Doris Livingstone
> l Sheila Elsie Naylor
> l Rita Matthewson
> l Gordon Begg
A Supplemental Deed dated 1 February 2016, which applies to the Charity today, refined the Charity’s objects. Newcastle Hospitals Chairty is constituted with a sole Corporate Trustee, which is the Board of Directors of The Newcastle upon Tyne Hospitals NHS Foundation Trust. With effect from 1 April 2016, the Corporate Trustee was appointed as Trustee of the charitable funds formerly held on behalf of the NHS Trust by Newcastle Healthcare Charity (Reg.502473) under a scheme formally approved by the Charity Commission for England & Wales on 21 March 2016. The funds were subsequently merged under the umbrella of the Trust’s appointed charitable body, Newcastle upon Tyne Hospitals NHS Charity (Reg. 1057213) and have subsequently formed part of Newcastle Hospitals Charity’s financial accounts from 2016/17 onwards.
The objects of Newcastle Hospitals Charity are to support any charitable purpose or purposes relating to the National Health Service or to general or specific purposes of The Newcastle upon Tyne Hospitals NHS Foundation Trust.
## **Corporate Trustee**
The Trustee(s) are the people and/or body who govern any charity. The trustee(s) have ultimate responsibility to ensure that legal or regulatory requirements and duties are complied with, and that good practice is followed and applied.
As defined by the Charities Act (2022) the sole Corporate Trustee of Newcastle Hospitals Charity has the responsibility for ensuring that the Trustee duties defined by the Charity Commission are upheld. There are no individual trustees of NHC, only the single voting body of the NHS Foundation Trust.
## **Structure and governance**
Good governance is fundamental to Newcastle Hospitals Charity’s continued success and enables us to continue to manage risks appropriately and deliver all charitable activities to the best possible standard and in compliance with all relevant legislation.
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## **Charity Committee**
The Charity Committee has delegated authority from the Corporate Trustee as a statutory Committee established by the Board of Directors to manage, on behalf of the Board, “all charitable funds of the Trust Charity, considering the requirements and regulations of the Department of Health and Social Care and the Charity Commission for England and Wales”.
## **The Charity Committee membership for 2023-2024 comprised:**
## **Statement of Trustee responsibilities**
The Trustee is responsible for ensuring that the Annual Report and Accounts are prepared in accordance with all applicable laws and regulations and company law requires financial statements are prepared annually.
Under that law, the Corporate Trustee has prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS 102 before “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, and applicable law (United Kingdom Generally Accepted Accounting 26 Practice). Under company law, the Trustee must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of the affairs of the charitable company.
## **In preparing this Annual Report and Accounts, the Trustee is required to:**
## l **select suitable accounting policies and apply them consistently**
## l **observe the methods and principles in the Charities Statement of Recommended Practice (SORP)**
## l **make judgments and estimates that are reasonable and prudent**
## l **state whether FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” has been followed**
## l **prepare the financial statements on a ‘Going Concern’ basis unless it is inappropriate to presume that the Charity will continue in business.**
The Trustee is responsible for ensuring that adequate accounting records are kept that are sufficient to show and explain Newcastle Hospitals Charity’s transactions. The Trustee is also responsible for disclosing, with reasonable accuracy at any time, the financial position of Newcastle Hospitals Charity to ensure compliance with the Companies Act 2006. It is also responsible for safeguarding the assets of Newcastle Hospitals Chairty and for taking reasonable steps for the prevention and detection of fraud and other irregularities. Finally, the Trustee is responsible for the maintenance and integrity of Newcastle Hospitals Charity’s website.
Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
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Gillian Baker Lucia Pareja-Cebrian
Joint Medical Director
Non-Executive Director and
(from March 2024)
Chair of the Charity Committee
Graeme Chapman Michael Wright
Non-Executive Director Joint medical Director
(from March 2024)
Bill MacLeod Mr Andy Welch
Non-Executive Director Medical Director/Deputy Chief
Executive (to January 2024)
Jackie Bilcliff Caroline Docking
Chief Finance Officer Director of Communications and
Corporate Affairs
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All members of the Committee receive training and development support both before joining, and on a continuing basis, to ensure their effectiveness as members. This is supported by the process of annual appraisal for all Non-Executive Directors.
The Charity Committee has an annually reviewed Terms of Reference and meets a minimum of four times per year and agendas are set for each meeting utilising an agreed Schedule of Business. This provides assurance to the Board of Directors in its capacity as Corporate Trustee that robust processes are in place to enable statutory duties to be discharged, to enable the Trust’s strategic objectives to be met, and to address and mitigate risk.
The quorum required for the transaction of business is three members, which includes at least one Executive and at least one Non-Executive Director.
## **Newcastle Hospitals Charity team**
We have a dedicated team who develop and deliver the Charity Strategy and provide administrative, financial, and fundraising resource. Newcastle Hospitals Charity does not directly employ staff, team members are employees of The Newcastle upon Tyne Hospitals NHS Foundation Trust and Newcastle Hospitals Charity is recharged for costs incurred in relation to both staffing and non-pay related expenditure incurred directly in relation to charity activities.
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## **Donor promise**
Without the generosity of supporters, we would not be able to continue our work to enhance and improve the experience of patients and their families, as well as the amazing staff across all sites.
Our ambition is to make the biggest difference, so we promise to make sure we look after supporters in the best way possible.
## **Charity funds**
There are over 200 individual unrestricted funds which make up Newcastle Hospitals Charity. Work continues to rationalise funds where possible to ensure that donor wishes are respected, and funds are available for use both Trust wide and in specialty areas.
Newcastle Hospitals Charity also manages a significant restricted fund, the Sir Bobby Robson Foundation. The Sir Bobby Robson Foundation works to help find more effective ways for the Sir Bobby Robson Cancer Trials Research Centre team to detect and treat cancer for patients across the North East, Cumbria and beyond. The Foundation funds clinical trials and cancer research, pioneering cancer treatment and innovative cancer support services, such as acupuncture, complementary therapies and counselling.
## **We are honest and open**
- l We value donor generosity and will inform donors of where their fundraising will make the biggest difference.
- l We will be clear about what we are fundraising for.
- l We will be clear about how much of a certain donation goes straight to frontline services and how much is spent on the administration of the Charity.
- l We will respect donor privacy and will never sell personal details to a third party.
## **Donor care**
We will always aim to:
## **We are committed to high We are respectful standards**
- l We promise to communicate in a way that suits our donors/ fundraisers and will be respectful of any changes they wish to make to this decision.
- l We will do all we can to ensure that fundraisers and volunteers abide by the Fundraising Regulator’s Fundraising Promise.
- l We will comply with the law, the Charity Commission and the Fundraising Regulator, including guidance around data protection and health and safety.
- l We will treat every donation respectfully, and if a donor does not wish to continue their relationship with us, that will be respected.
> l We are a member of the Fundraising Regulator and are proud to have committed to their Fundraising Promise, which delivers the highest standards possible across the Charity. We promise that our fundraising is always legal, open, honest and respectful.
- l Donor and fundraiser opinions matter to us. We are keen to help if they are unhappy with anything we have done. Complaints can be made via the contact details on the Charity website: https://charity. newcastle-hospitals.nhs. uk/contact-us/
- l respond to all enquiries within two working days
- l thank each donation within one working week of receipt
## **Code of Fundraising Practice**
- l ensure all supporters’ details are recorded accurately and efficiently on the database
- l make sure we record supporters’ contact preferences.
Newcastle Hospitals Charity fully adheres to the Code of Fundraising Practice, which sets the standards that apply to fundraising carried out by all charitable institutions and third-party fundraisers in the UK.
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## **Policy**
All Newcastle Hospitals Charity policies and associated procedures are designed to provide guidance that ensures consistent, ethical and professional standards are maintained in relation to charitable donations and fundraising, and that they are compliant with charity law and the regulations and standards set out by the Charity Commission, the Fundraising Regulator and the Healthcare Financial Management Association.
The Corporate Trustee considers that Newcastle Hospitals Charity has the necessary practices currently in place to assess all associated risks. A detailed risk register is continually maintained and monitored which identifies risk areas, the potential impact of those risks, and the steps taken to mitigate them. Further information on Newcastle Hospitals Charity risk management processes can be found in section 5 of this report: Risk Management and Internal Control.
All working practices and procedures conform to the Charity Commission’s guidelines and are subject to scrutiny by internal and external audits.
Newcastle Hospitals Charity follows The Newcastle upon Tyne Hospitals NHS Foundation Trust’s stance and efforts to prevent modern slavery and human trafficking in its supply chain. The Trust has reviewed and met its requirements in line with Section 54 of the Modern Slavery Act 2015.
## **Reserves**
The Newcastle Hospitals Charity reserves policy intends to ensure an appropriate balance between enabling the Charity to fund strategic and transformational priorities in the medium term and to provide a financially sustainable approach to ensuring the meaningful role that the Charity can continue to provide in the long term.
## **Financial reserves are split into four areas:**
> l **Operational reserve** Used to finance the day-to-day operating activities of Newcastle Hospitals Charity.
> l **Grant reserve** Held in anticipation of financing approved grants.
> l **Endowment reserve** Used to provide returns to safeguard the long-term financial sustainability of Newcastle Hospitals Charity.
> l **General reserve** Financial resources in excess of those required by the operational, grant, and endowment reserves.
We work with two Investment Management companies who operate within the requirements of Newcastle Hospitals Charity’s investment policy and within agreed risk appetite. The performance of the portfolio is reviewed each quarter.
**The total reserves at 31 March 2024 stood at £36,685m of which £17,882m are restricted and £18,804m are unrestricted but held in ring-fenced funds.**
## **Privacy statement**
We are committed to protecting and respecting personal information and always ensure transparency about how data will be used. Newcastle Hospitals Charity is fully compliant with the European General Data Protection Regulation and the UK Data Protection Act 2018.
Newcastle Hospitals Charity has a Privacy Statement, which sets out how we collect and use personal information and why it is important in enabling us to fulfil our charitable objectives. The statement is available in full on our website: **https://charity.newcastle hospitals.nhs.uk/privacy/**
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## **Risk management and internal control**
## **Principal risks**
## **Key controls**
## **Principal risks**
Newcastle Hospitals Charity has adopted The Newcastle upon Tyne Hospitals NHS Foundation Trust (the Trust) risk management policy and procedures.
The Risk Management Policy sets out the structures and processes for the identification, evaluation, and control of risk, as well as the system of internal control.
## **The key elements of the Risk Management Policy are:**
- l a clear framework for the accountability and delegated responsibility for the management of risk
**Key governance principles are not robust enough and may not satisfy the requirement of regulatory good governance.**
- l Following the completion of the Charity Governance Working Group, the risk now sits with Charity Committee.
- l Further recruitment underway for additional Charity posts.
- l Ongoing development of shared resources SLA between the Charity and Trust.
- l an integrated document that sets out the overall purpose and processes, as well as an associated annual plan
- l a clearly defined committee structure that supports robust and timely decision making around key charity risks
- l robust systems for the identification, analysis, prioritisation and actions in relation to risks affecting all areas of activity
- l risk management processes that are integrated and embedded into the day-to-day activities of the Charity
**Regular monitoring of KPl’s to achieve the** l Annual completion of Charity Commission **Charity Strategy in its entirety.** Connected Charities Guide.
- l Review of Financial Management completed and actions underway.
- l Regular monitoring of KPl’s.
- l Monthly KPI meetings arranged.
- l Receive quarterly assurance from Charity Committee.
- l a tailored training programme to address key risk areas, and
- l comprehensive communication processes for risk management policies and procedures, and the dissemination of learning from lessons learned.
A charity risk register has been maintained throughout 2023/2024, which records when a risk has been identified, who owns it, likelihood of occurrence, potential impact, and mitigating action.
Newcastle Hospitals Charity continues to review risks on a quarterly basis. A risk report is presented to the Charity Committee on a quarterly basis to provide assurance that charity risks continue to be managed effectively. The Charity Committee is chaired by a Non-Executive Director and has Trust Board of Directors membership.
**Current reserves exceeding appropriate levels and restrict the ability to fundraise.**
**Operational effectiveness of the Charity team if unable to recruit staff due to insufficient office space which could impact on fundraising targets.**
- l There is an enhanced focus on funding strategic priorities for Newcastle Hospitals with a proactive approach to use of funds to support and help our hospitals go further.
- l A reserves policy was updated and approved in March 2024.
- l A process of finding suitable accommodation for the Charity was undertaken in 2023/24 and should conclude in early 2024/25.
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## **A look forward**
Newcastle Hospitals Charity has an ambitious strategy to 2026 which puts people at the heart of all our activities and is united with the aim of Newcastle Hospitals to make a real difference to the health and care of the people across the Trust and beyond. Our ambition is to strengthen our role as a key partner for the Trust and to increase the impact that we can make on improving the health of our region and beyond.
We will continue to strengthen our support for the many volunteers across the Trust and further develop the hospital Arts Programme, by building capacity and using innovative methods to work across the Trust, harnessing creative approaches to improving health and wellbeing.
A major fundraising campaign will begin in 2024/25, focusing on the creation of visionary new clinical centre.
## **Working in close partnership with the Trust, our goals are to:**
> l improve the patient and visitor experience, enhancing patient centred care
- l improve staff health, wellbeing and development
> l tackle health inequalities and key health issues for our region and nationally.
## **Strategic priorities**
## **In meeting this ambitious strategy, we will focus on delivering the following strategic priorities:**
## **1) To enhance the patient experience and environment:**
- a. Delivering an effective, accessible grants programme to support Trust improvements to services and the patient environment.
- b. Establish a grant programme dedicated to supporting patients and families experiencing severe financial difficulty during their treatment.
- c. Grow the Charity arts engagement programme for patients, staff and the local community.
## **2) To support the health, wellbeing and professional development of the staff at Newcastle Hospitals:**
- a. Generate financial support for the Trust’s flagship wellbeing and recognition programmes.
- b. Generate financial support for staff initiatives within ‘Sustainable Healthcare in Newcastle’ (SHINE).
- c. Fund a research fellowship programme for staff, supporting career progression while supporting the Trust to be at forefront of health innovation and research.
## **3} To fund major developments and health related clinical research and innovation:**
- a. Fund, and fundraise for, major projects within the Trust, and where the Trust is a key partner.
- b. Provide financial support for cutting edge clinical research and innovation, particularly when there is no other source widely available.
- **4} To develop place-based partnerships to tackle health inequalities and to create healthier communities:**
- a. Build and strengthen partnerships with key health and VCSE organisations to deliver greater impact.
- b. Establish Newcastle Hospitals Charity as a regional partner for Collaborative Newcastle prevention initiatives.
- c. Support micro-communities through Collaborative Newcastle to improve health and wellbeing and reduce inequalities.
- d. Work with the NHS Charities Together network to influence national NHS charity funding priorities.
## **5) To be a trusted charity partner with connected and engaged supporters and volunteers:**
- a. Ensure excellent governance and ethical standards of charity practice.
- b. Develop and resource professional, ethical fundraising programmes to deliver our ambition.
- c. Develop brand to ensure that our ability to deliver impact is understood.
- d. Focus fundraising on initial key themes:
> l Green and healthy hospitals
> l Research and innovation
> l Child health
> l Cancer
**22**
**23**
## **Income and expenditure**
## **Expenditure from all sources was £8.1 million summarised as follows -**
## **Financial review of the year**
## **This section provides a financial summary of Newcastle Hospitals Charity for 2023-2024. A full copy of the audited accounts is included in this report.**
There was a decrease in income from £8.4m (2022-23} to £6.1m (2023-24) in the year due to limitations on fundraising capacity and the planning stages of a major fundraising campaign, with expenditure closely matching income for the year at £6m {2023-24}. Income for the year remains in line with the Charity’s plan to increase income and invest in fundraising.
As at 31 March 2024 the net movement on investments (realised and unrealised} stood at £3.5m gain, against a loss of £1.4m in 2022-23. The net movement in funds for the year was a £1.5m surplus, against a £1.5m deficit in 2022-23.
||**£’000**|
|---|---|
|Activities to Generate Income|904|
|Patient Education and Welfare|2,490|
|Purchase of new Equipment|1,274|
|Staff Education and Welfare|2,684|
|Medical Research|759|
|**Total Expenditure**|**111**|
The stock exchange and economy continue to fluctuate due to market forces. Movement in the value of investments has generated a surplus this year.
Total expenditure of £8.1m in 2023-24 was comparable with that of £8.5m in 2022-23 which was made possible due to the higher level of income secured in 2022-23.
## **Income and expenditure**
## **Income from all sources was £6.1 million summarised as follows –**
|—|**£’000**
en|
|---|---|
|Voluntary Income|4,260|
|Grants received
Other Trading Activities
Investments
0
596
1,256
~~ce~~ ~~ee~~
~~eeRS~~||
|**Total income**
~~eee~~
eee~~beeen~~ eee eee eee eeeeee|**121**
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**24**
**25**
## **Fund organisation**
Newcastle Hospitals Charity comprises 289 ring-fenced funds, 2 of which are restricted in purpose and 1 of which is designated for general purposes. The remaining 286 funds are legally unrestricted but linked to individual wards or clinical services, research into clinical areas, and specific schemes/projects in accordance with the wishes of donors and charity objectives.
## **This includes the following 2 Restricted Funds:**
**The Sir Bobby Robson Foundation** which is held to
‘provide assistance to any charitable or public body active in the North East of England which participates in the treatment of/ or research into cancer or which provides care in the community for cancer sufferers and/ or their dependants/carers’.
## **Investment policy**
Newcastle Hospitals Charity invests any funds not required immediately for expenditure through portfolios managed by two investment Managers CCLA and BNY Mellon Newton Investment Management thus providing a mechanism for comparing performance and reducing the levels of risk. The CCLA element is held in their Ethical Investment Fund whilst Newton’s is held in their Growth & Income Fund for Charities.
The portfolios are chosen by the Investment Managers and comprise of equities, property, and cash. The equities comprise shareholdings in public companies with stock market quotations; however, both portfolios refrain from the direct investment in companies that derive a substantial amount of their profit from investment in tobacco.
## **CCLA** — a
The investment objective of the Ethical Investment Fund is to provide an average return over a business cycle of inflation plus 5%, whilst maintaining income in real terms. The Responsible Investment Policy of CCLA has three strands:
**The Fleming and Watson Children’s Fund** which is held for the ‘care, treatment and relief by way of research or otherwise of sick children attending any of the hospitals or other facilities managed by or otherwise in any way connected with The Newcastle upon Tyne Hospitals NHS Foundation Trust, or any successor to that body’.
- l Engagement on issues of corporate social responsibility with a view to optimising long term economic returns.
- l Engagement on corporate governance including proxy voting on issues to protect and enhance shareholder value.
- l Setting appropriate constraints on investment and exposure to activities considered unacceptable by an independent Board.
Use of the restricted funds by the Charity Committee is based on the recommendations of Committees connected to those funds. Use of the unrestricted funds is based on applications from members of Trust staff.
The funding approval process is managed via ‘SmartApprove’ which ensures all funding requests are assessed and evaluated. Funding requests must demonstrate why it is appropriate to use charity funds in terms of additional benefit or enhancement to the service. This provides an assurance that expenditure is appropriate and can demonstrate benefit to the service, and to patients, and meets the Charity’s objects.
The Committee approves all funding request of over £20,000 within a scheme of delegation to transfer authority to individual Committee Members or other members of staff as appropriate.
Newcastle Hospitals Charity has a policy of turning-over the balance of any fund in 5 years, staff are encouraged to use at least 20% of the available funds per annum. Newcastle Hospitals Charity can apply to the Charity Commission to re-organise funds that are no longer relevant or cannot be usefully used.
During 2023/24 625 applications for funding from staff and external partners were considered. That includes a very wide range of proposals some of which will span several years, and funding has been reserved.
## **Newton Investment Management Ltd**
The objective of the Growth & Income Fund for Charities is to generate capital and income growth over a period of 5-7 years by investing at least 70% of the Sub-Fund’s assets in a global portfolio of equities (company shares) and fixed income securities.
Newton’s established Charities team actively manages the fund. There are no investments in derivatives, no underwriting and distributions are made on a quarterly basis.
Newcastle Hospitals Charity’s investment objectives are to take a medium-term view and generate income and growth from low-risk investments. The Investment Managers report to the Charitable Funds Committee quarterly on performance, provide a market review and projection, and make appropriate investment recommendations.
During 2023/24, Newcastle Hospitals Charity received £1,265 in dividends and interest from investments. That sum has been calculated and allocated as pro-rata to the sum of fund values and commitments held as creditors in the balance sheet.
**26**
**27**
## **Charitable fund management costs**
Newcastle Hospitals Charity does not directly employ staff. Employees of The Newcastle upon Tyne Hospitals NHS Foundation Trust are designated to management of the Charity and it’s fundraising, financial management and administration. The Charity is recharged for costs incurred in relation to both staffing and non-pay related expenditure incurred directly in relation to charity activities, such as governance costs; office accommodation and IT.
During 2023/24 the Trust recharge for Charity operations was £1.1m or 2.96% of the aggregate value of the funds.
The charitable fund management cost includes £12,000 for external audit fees.
The charitable fund management costs are allocated between funds as follows - a fixed 1% (of income) against the Sir Bobby Robson Fund, then as pro-rata to the sum of fund values and commitments held as creditors in the balance sheet for the other restricted fund, and the balance against the general purposes fund.
## **Principal professional advisors**
## **Investment Management**
## **Bankers**
CCLA Investment Management Ltd, Senator House, 85 Queen Victoria Street, London, EC4V 4ET
HSBC PLC, 110 Grey Street, Newcastle upon Tyne, NEl 6JG
Yorkshire Bank, Quayside House, 110, Quayside, Newcastle upon Tyne, NEl 3DX Barclays Bank PLC 71 Grey Street, Newcastle upon Tyne NE99 lJA
## **Registered Charity Name and Number**
## **External Auditors**
## **Internal Audit**
## **Counter Fraud Services**
Robson/ Laider Accountants, Fernwood
House,·Fernwood Road, Jesmond, Newcastle upon Tyne NE2 lTJ
AuditOne, Northumbria House, Unit 7/8 Silver Fox Way, Cobalt Business Park, Newcastle upon Tyne, NE27 0QJ
Corporate Finance, Regent Point, Regent Farm Road, Gosforth, Newcastle upon Tyne NE3 3HD
## **Newcastle upon Tyne Hospitals NHS Charity (1057213)**
Registered Address Charity Office Peacock Hall Royal Victoria Infirmary Newcastle upon Tyne NE1 4LP
Telephone: 0191 2137235 Website: https://charity.newcastle-hospitals.nhs.uk/
## **Philip Kane**
## **Solicitors**
Withers LLP 16 Old Bailey, London EC4M 7EG
**Non-Executive Director; Chair, Newcastle Hospitals Charity Committee) Date: 5 November 2024**
**28**
**29**
## **NEWCASTLE UPON TYNE HOSPITALS NHS CHARITY (Reg. 1057213) STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 MARCH 2024**
**----- Start of picture text -----**
|||||||
|---|---|---|---|---|---|
|NOTE|2024|2024|2024|2023|
|Unrestricted|restricted|Total|Total|
|£000|£000|£000|£000|
|INCOME from:|
|Voluntary Income|3-4|2,365|1,895|4,260|6,353|
|Grants Received|5|0|0|0|583|
|Other Trading Activities|589|8|596|371|
|Investments|13 (d)|743|522|1,265|1,125|
|Total Income|3,697|2,425|6,121|8,431|
|EXPENDITURE on:|
|Generating income|8|854|50|904|662|
|Charitable activities:|9|
|Patient education and welfare|2,344|146|2,490|2,664|
|Purchase of new equipment|1,257|17|1,274|2,973|
|Staff education and welfare|2,699|(15)|2,684|1,878|
|Medical research|775|(16)|759|378|
|Total Expenditure|7,929|182|8,111|8,554|
|Net Income/(Expenditure)|(4,233)|2,243|(1,990)|(123)|
|Net Gain on Revaluation of Property|12|0|0|0|0|
|Net Gains/(Losses) on Investments|13 (a)|2,057|1,446|3,503|(1,396)|
|Transfer Between Funds|17|(1,084)|(1,084)|
|Net Movement in Funds|(3,260)|4,773|1,513|(1,518)|
|Reconciliation of Funds|
|Total Funds brought forward|17|21,141|14,031|35,172|36,691|
|Total Funds carried forward|17|17,882|18,804|36,685|35,172|
**----- End of picture text -----**
## **NEWCASTLE UPON TYNE HOSPITALS NHS CHARITY (Reg. 1057213) BALANCE SHEET AS AT 31 MARCH 2024**
**----- Start of picture text -----**
|||||||
|---|---|---|---|---|---|
|NOTE|2024|2024|2024|2023|
|Unrestricted|restricted|Total|Total|
|£000|£000|£000|£000|
|Fixed Assets|
|Property|12|0|0|0|0|
|Investments|13|33,302|10,873|44,175|40,672|
|Total Fixed Assets|33,302|10,873|44,175|40,672|
|Current Assets|
|Stocks and work in progress|41|0|41|59|
|Debtors|14|292|(8)|284|282|
|Cash and cash equivalents|15|(1,115)|9,517|8,402|9,910|
|Total Current Assets|(782)|9,509|8,727|10,251|
|Creditors: Amounts falling due|16|(10,034)|(929)|(10,963)|(11,296)|
|within one year|
|Net Current Assets/(Liabilities)|(10,816)|8,580|(2,236)|(1,045)|
|Total assets less current liabilities|22,486|19,453|41,940|39,627|
|Creditors: Amounts falling due|16|(4,605)|(649)|(5,254)|(4,455)|
|after more than one year|
|Net Assets|17,882|18,804|36,685|35,172|
|Total Charity Funds|17|17,882|18,804|36,685|35,172|
**----- End of picture text -----**
All of the amounts relate to continuing activities.
The Charity has no recognised gains and losses other than those included in the results above, and therefore no separate statement of recognised gains and losses has been presented.
**30**
**31**
**NEWCASTLE UPON TYNE HOSPITALS NHS CHARITY (Reg. 1057213) STATEMENT OF CASH FLOW FOR YEAR ENDED 31 MARCH 2024**
## **NEWCASTLE UPON TYNE HOSPITALS NHS CHARITY (Reg. 1057213) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024**
Net operating income / (expenditure)
lncrease)/decrease in Stock
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Dividends, interest and rents from investments
(Gains)/losses on investments
**Net cash generating from / (used in) operations**
**Cash flows from investing activities:**
Dividends, interest and rents from investments
**Net cash generating from / (used in) investing activities**
**Net cash generating from / (used in) financing activities**
Change in cash and cash equivalents in the reporting period
Cash and cash equivalents at the beginning of the reporting period
**Cash and cash equivalents at the end of the reporting period**
|2024
Unrestricted
£000|Unrestricted
2024
restricted
£000|**2024**
**Total**
**£000**|**2023**
Total
£000|
|---|---|---|---|
|(2,176)|3,689|**1,513**|(1,518)|
|(1,073)|1,092|**19**|(16)|
|(109)|107|**(2)**|18|
|2,284|(1,819)|**465**|(39)|
|(743)|(522)|**(1,265)**|(1,125)|
|(5,535)|2,032|**(3,503)**|1,396|
|**(7,351)**|**4,578**|**(2,773)**|**(1,284)**|
|743|522|**1,265**|1,125|
|**743**|**522**|**1,265**|**1,125**|
|**0**|**0**|**0**|**0**|
|**(6,609)**|**5,101**|**(1,508)**|**(160)**|
|5,494|4,416|9,910|10,070|
|**(1,115)**|**9,517**|**8,402**|**9,910**|
## **The Trustee (The Newcastle upon Tyne Hospitals NHS Foundation Trust) is the ultimate parent and controlling party**
GENERAL INFORMATION
The Newcastle upon Tyne Hospitals NHS Charity is registered as a Charity under the Charities Act 2011. The address of its registered office is: Charitable Funds Office, Peacock Hall, Royal Victoria Infirmary, Newcastle upon Tyne, NE3 4LP. **1**
## **(a) Basis of preparation**
These financial statements have been prepared under the historical cost convention as modified by the inclusion of investments at market value, in accordance with the ‘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 (FAS 102)’ effective from 1 January 2015.
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
FAS 102 allows a qualifying entity certain disclosure exemptions, subject to certain conditions, which have been complied with, including notification of, and no objection from, the Charity Trustee. The charity constitutes a public benefit entity as defined by FAS 102.
The Trustee considers that there are no material uncertainties about the Charity’s ability to continue as a going concern.
The uncertain economic outlook and the variability in income from donations and legacies year-to-year, represents a significant area of financial uncertainty for the Charity. These represented 70% of income in 2023/24 (75% in 2022/23). The Charity mitigates this risk through maintaining diversity in its income streams and upholding expenditure authorisation controls to prevent over-commitment of Funds, therefore this is not anticipated to represent a risk to going concern.
The Charity’s functional and presentation currency is the pound sterling.
A significant area of uncertainty that affects the carrying value of assets held by the Charity is the performance of investment markets. The Charity holds fixed asset investments which were valued at £44,175k at 31 March 2024, which represented a increase in value of £3,503k from £40,672k at 31 March 2023. Income from investments in 2023/24 was £1,265k and is an increase of £140k compared to £1,125k in 2022/23. The Charity utilises Investment advisors and regularly reviews their performanc;e in line with the Charity Investment Policy.
The Accounts include investments valued at market value at 31 March. That valuation was undertaken by the Charity’s Investment Advisors.
The Newcastle upon Tyne Hospitals NHS Charity is a registered charity, and as such is entitled to certain tax exemptions on income and profits for investments, and surpluses on trading activities carried out in furtherance of the Charity’s primary objectives, if these profits and surpluses are applied solely for charitable purposes.
## **(b) Funds structure**
Where there is a legal restriction on the purpose to which a fund may be put, the fund is classified in the financial statements as a restricted fund. Other funds are classified as unrestricted funds. Funds which are not legally restricted but which the Trustee has chosen to earmark for set purposes are designated funds. The major funds held within these categories are disclosed in note 18.
## **(c) Income**
All income is included in full in the Statement of Financial Activities as soon as the following three factors can be met:
i) entitlement - arises when a particular resource is receivable or the charity’s right becomes legally enforceable;
ii) probable - when it is more likely than not that the income will be received;
iii) measurement - when the monetary value of the income can be measured with sufficient reliability and the costs incurred for the transaction can be measured reliably.
## **(d) Income-legacies**
The notes on Pages 33 to 35 are an integral part of these financial statements
The financial statements on pages 30 to 41 were approved by the Trustees on 19 September 2024 and signed on its behalf by
**Philip Kane (Non-Executive Director) Date: 5 November 2024**
Legacies are accounted for as income once the receipt of the legacy becomes probable or are within the control of the Charity. This will be once confirmation has been received from the representatives of the estate that payment of the legacy will be made or property transferred and once all conditions attached to the legacy have been fulfilled.
## **(e) 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.
Grants payable are payments, made to third parties (including NHS bodies) in the furtherance of the Funds held on Trust’s charitable objectives wholly or mainly for the service provided by The Newcastle upon Tyne Hospitals NHS Foundation Trust (patient welfare, staff welfare, equipment and research). They are accounted for on an accruals basis where the conditions for their payment have been met or where a third party has a reasonable expectation that they will receive the grant.
**32**
**33**
## **(f) Allocation of overhead and support costs**
Support costs and overhead charges from The Newcastle upon Tyne Hospitals NHS Foundation Trust are allocated as direct costs or apportioned on an appropriate basis. The cost attributable to Charitable Activities are calculated as prorata to the sum of fund values and commitments held as creditors in the balance sheet.
## **(g) Expenditure on Generating Income**
These are costs associated with generating income for funds held on Trust and include the Charity’s Director, Fundraising Manager and Communication/Development Officer and costs relating specifically to the Charlie Bear & Sir Bobby Robson Foundation. There are no direct investment management costs levied by CCLA Investment Management and Newton’s Investment Management for administering the units, as management charges are absorbed by the overall fund, of which the charity holds a share.
## **(h) Governance costs**
Governance costs are those costs incurred in the governance of the Charity, including statutory audit. These are now split between expenditure on generating income and support costs. There is no effect on the total expenditure for 2023/24 or 2022/23. (See Note 9 )
## **(i) Fixed Asset Property**
The Charity does not own any fixed assets.
## **2 Related Party Transactions Continued…**
During the financial year payments of £7,196k (2022/23 : £7,553k) were made to the Newcastle upon Tyne Hospitals NHS Foundation Trust in respect of grants and other charges made to the Trust. A further sum of £720k was due for payment at 31st March 2024 (This was £964k in 2022/23).
These charges made by The Newcastle Upon Tyne Hospitals NHS Foundation Trust (£928k) for administrative support and overheads, include the provision of staff and office accommodation, which enables the charity to fulfil its statutory duties and provide support for the day-to-day running of the charity. This was (£712k 2022/23).
The Newcastle upon Tyne Hospitals NHS Foundation Trust is the ultimate parent entity as Corporate Trustee. The Corporate Trustee maintains control of the Charity via a Committee - the Charitable Funds Committee - which comprises executive and non-executive Directors of the Trust.
The consolidated accounts of The Newcastle Upon Tyne Hospitals NHS Foundation Trust are available from: Charitable Funds (Finance) Office, Regent Point, Regent Farm Road, Newcastle upon Tyne, NE3 3HD.
There were no expenses or remuneration paid to the Trustees during the year (2022-23 Nil).
There were no transactions with Trustees or connected persons for the year to 31 March 2024 (2022-23 Nil). No indemnity insurance was provided to the Trustees in the year to 31 March 2024 (2022-23 Nil).
There were no loans or guarantees secured against assets of the Charity in the year to 31st March 2024 (2022-23 Nil).
## **(j) Fixed Asset Investment**
Investments are a form of basic financial instrument. They are recognised initially at their transaction value and subsequently at their fair value (market value) as at the Balance Sheet date.
## **(k) 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 sale proceeds and opening market value (or date of purchase if later). Unrealised gains and losses are calculated as pro-rata to the sum of fund values and commitments held as creditors in the balance sheet. Market value is reflected in the Balance Sheet as quoted by the investment manager.
## **(l) Pooling Scheme**
There is no official pooling scheme operated for investments.
## **(m) Stocks**
Stocks are valued at the lower of cost and net realisable value.
## **(n) Cash and cash equivalents**
Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts.
Previously investments held in a 90-day access savings account and money-master held accounts had been shown on the face of the balance sheet. As they are very liquid funds they are classified as cash equivalents and are shown as part of cash & cash equivalents on the balance sheet. There is no impact on the total funds of the charity and an analysis of cash and cash equivalents is provided in Note 16.
## **(o) Debtors**
Debtors are amounts owed to the Charity. They are measured on the basis of their recoverable amount.
## **(p)Creditors**
Creditors are amounts owed by the charity. They are measured at the amount that the charity expects to have to pay to settle the debt. Amounts which are owed in more than one year are shown as long-term creditors.
## **2 Related Party Transactions**
The Trust Board of The Newcastle upon Tyne Hospitals NHS Foundation Trust acts as Corporate Trustee for The Newcastle upon Tyne Hospitals Charity. The principal purpose of The Newcastle upon Tyne Hospitals NHS Foundation Trust is the provision of NHS healthcare. The charitable trust has made revenue and capital payments to The Newcastle upon Tyne Hospitals NHS Foundation Trust. During the year none of the members of the Corporate Trustee Board, key management staff or parties related to them has undertaken any material transactions with The Newcastle upon Tyne Hospitals NHS Charity.
**34**
**35**
**8 Allocation of overhead and support costs**
## **NEWCASTLE UPON TYNE HOSPITALS NHS CHARITY (Reg. 1057213) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2023**
## **3 Donations**
**----- Start of picture text -----**
|||
|---|---|
|2024|2023|
|£000|£000|
|1,456|1,907|
|0|10|
|386|556|
|1,842|2,473|
**----- End of picture text -----**
General purposes Charlie Bear Sir Bobby Robson Foundation
## **Total Income**
Donations from individuals are gifts from members of the public, relatives of patients and staff.
Support and overhead costs have been analysed to identify
## **Costs of generating income:**
Apportioned across all funds as pro-rata to the sum of fund values and commitments held as creditors in the balance sheet throughout 2023-24 activities
Apportioned across all funds as pro-rata to the sum of fund values and commitments held as creditors in the balance sheet in support of charitable activities.
## **Costs in support of charitable activities:**
Bought-in services from NHS includes Internal Audit and a recharge from The Newcastle upon Tyne Hospitals NHS Foundation Trust for finance support and overheads.
The Auditor’s remuneration of £12k (2022-23 : £11k) related solely to the year-end audit with no additional work being undertaken. There were no governance costs.
## **4 Legacies**
**----- Start of picture text -----**
|||
|---|---|
|2024|2023|
|£000|£000|
|909|2,068|
|0|9|
|1,509|1,803|
|2,418|3,880|
**----- End of picture text -----**
General purposes Charlie Bear Sir Bobby Robson Foundation
## **Total Income**
Legacies are gifts included in Wills, which are for the benefit of services within our local hospitals.
## **5 Grants received**
In this Financial year a grant totalling £430 was received. The Charity received £430 from NHS Charities Together to help with COVID recovery and wellbeing of the staff at the Trust.
## **6 Donated facilities and services, including volunteers**
The Charity recognises the contribution of volunteers who supplement the Charity Retail Manager at the Freeman NHC Shop, the Charlie Bear Shop (now NCCC Shop), and the GNCH Pop up stand. It also notes the contribution at charitable events, such as Great North Run, Festive Light switch-on, Bradley Hall Festive Fundraiser, Christmas and Easter stalls, World Health Day, NHC presents discussions. However the lack of a reliable method of measuring, and the volume of volunteers used, has meant that this contribution is not financially recognised in the accounts.
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|2024|2024|2024|2023|
|7 Movements in funding commitments|Current|Non- Current|Total|Total|
|Liabilities|Liabilities|
|£000|£000|£000|£000|
|Opening balance at 1 April|11,296|4,455|15,751|15,790|
|Additional commitments made during the year|4,599|1,327|5,926|7,002|
|Amounts paid during the year|(4,933)|(528)|(5,461)|(7,041)|
|Closing balance at 31 March|10,962|5,254|16,216|15,751|
**----- End of picture text -----**
There are no staff employed directly by the Charity, the Charity purchases services from The Newcastle upon Tyne Hospitals NHS Foundation Trust. In the following table the bought-in NHS salaries includes employer’s national insurance and pension contributions.
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|2024|2024|2024|2023|
|ae|
|Costs of|Costs in|Total|Total|
|Generating|Support of|
|Income|Charitable|
|Activities|
|a|£000|£000|£000|£000|
|Auditors’ remuneration - audit fees|0|12|12|12|
|Other fees & services|156|82|238|171|
|Bought-in services from NHS-salaries|294|734|1,028|827|
|Bought-in services from NHS-accommodation/|0|60|60|54|
|office/IT|
|Goods for resale|410|12|422|214|
|Promotion/publicity/events|22|14|36|92|
|Bank charges|20|8|28|22|
|Miscellaneous|2|6|8|(13)|
|Total|904|928|1,832|1,380|
**----- End of picture text -----**
**36**
**37**
**----- Start of picture text -----**
|||||||
|---|---|---|---|---|---|
|9 Charitable activities|2024|2024|2024|2023|oy|
|Grant|Support|Total|Total|
|Funded|Costs|
|Activities|
|a|£000|£000|£000|£000|
|Patient education and welfare|2,129|361|2,490|2,664|
|Purchase of new equipment|1,072|202|1,274|2,973|
|Staff education and welfare|2,376|308|2,684|1,878|
|Medical research|701|57|759|377|
|Total grants payable|6,279|928|7,207|7,892|
**----- End of picture text -----**
## **9 Charitable activities**
Grants are made in support of services provided by The Newcastle upon Tyne Hospitals NHS Foundation Trust, with the exception of fourteen awards to:
- (i) **72k - Together in Music CIC, Funding for a Music Therapist for Great North Children’s Hospital**
- (ii) **55k - Ways to Wellness, SPACE Pilot - Phase 2**
- (iii) **52k - People First, The People First (PF) Cafe: a place of ‘happiness and hope’**
- (iv) **50k - Radio Tyneside, Digital technology studio upgrade**
- (v) **42k - Sick Childrens Trust, House Manager and carpet replacement project**
- (vi) **29k - Healthworks, The continuation of Long Covid service**
- (vii) **25k - New Writing North, Writer in Residence, Newcastle Hospitals**
## **13 Fixed asset investments**
**----- Start of picture text -----**
2024 2023
£000 £000
40,672 42,067
3,503 (1,396)
44,175 40,672
**----- End of picture text -----**
## **a) Movement in fixed asset investments**
Market Value at 1 April 2021 Add Acquisitions at Cost Net gain/(loss) on Revaluation
## **Market Value at 31 March 2023**
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|2024|2024|2024|2023|
|b) Fixed asset investments|Held in UK|Held Outside|Total|Total|
|UK|
|£000|£000|£000|£000|
|Investments in a Common|
|Investment Fund (CCLA)|21,508|0|21,508|19,555|
|Investments Listed on Stock|22,667|0|22,667|21,116|
|Exchange (Newton)|
|Total|44,175|0|44,175|40,672|
**----- End of picture text -----**
- (viii) **25k - Child Brain Injury Trust, Acquired brain Injury support service**
- (ix) **25k - Urban Green Newcastle, Springbank Pavilion art workshops**
- (x) **11k - Live Well With Cancer, Cancer and sleep education for patients and professionals**
- (xi) **8k - Coping With Cancer, Counselling for children affected by cancer in the family**
## **c) Cash and cash equivalents**
A sum of £8,402k (2022/23: £9,910k) is held between a HSBC Endowment Account, HSBC Moneymaster Deposit Account, Virgin Money Bank Deposit Account, Barclays Current Account and a Barclays Business Savings Account.
- (xii) **6k - Northumbria Healthcare NHS Foundation Trust, International Burns Project (Tanzania)**
- (xiii) **4k - Niina Kolehmainen, Child Health Methodology Prioritisation Project**
- (xiv) **4k - Young Lives vs Cancer, Supporting parents with children going through treatment at GNCH**
## **10 Analysis of grants**
All grants are made directly to The Newcastle upon Tyne Hospitals NHS Foundation Trust via a scheme of delegation operated by the Corporate Trustee.
All grant funded activity by fund advisors in accordance with standing orders and financial instructions.
## **11 Analysis of staff costs/pension contributions**
There are no staff employed directly by the charity, the Charity purchases services from The Newcastle Hospitals NHS Foundation Trust. Within the staff employed to provide a service to the Charity, the Trust employs one member of staff with a salary over £60k {cost in 2023/24 was in the band £120K to £130k including on costs).
## **12 Fixed asset property**
**----- Start of picture text -----**
||||||
|---|---|---|---|---|
|d) Analysis of gross income|2024|2024|2024|2023|
|from investments|Held in UK|Held Outside|Total|Total|
|UK|
|£000|£000|£000|£000|
|Investments in a Common Investment Fund (CCLA)|607|0|607|592|
|Other Investments (HSBC & Virgin Money Bank Interest))|156|0|156|46|
|Investments Listed on Stock Exchange (Newton)|501|0|501|486|
|Interest from Treasury Deposit /Business|0|0|0|0|
|Premium Account|
|Total Income from Investments|1,265|0|1,265|1,125|
**----- End of picture text -----**
## **d) Analysis of gross income**
The Charity does not hold any freehold land and buildings.
Dividend income totalled £1,108k in 2023/24, (2022/23 : £1,079k)
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## **14 Debtors**
**----- Start of picture text -----**
2024 2023
£000 £000
284 282
284 282
**----- End of picture text -----**
Amounts falling due within one year: Prepayments and Accrued Income **Total**
**15 Analysis of cash and cash equivalents** Cash at Bank and in Hand Notice Deposits (less than 3 months)
|**2024**
**£000**|2023
£000|
|---|---|
|119|633|
|8,283|9,278|
|**8,402**|9,910|
Cash deposits are split between an HSBC Moneymaster, Virgin Money (95 day Notice Account) and a Barclays Business Savings Account to primarily reflect the Trustees decision to hold liquid funds to meet grant expenditure incurred initially by the Newcastle upon Tyne Hospitals NHS Foundation Trust.
## **16 Creditors**
**----- Start of picture text -----**
2024 2023
£000 £000
720 964
10,242 10,333
10,963 11,296
**----- End of picture text -----**
Amounts falling due within one year : Trade Creditors * Accruals and deferred income #
## **Total**
**----- Start of picture text -----**
2024 2023
£000 £000
5,254 4,455
5,254 4,455
**----- End of picture text -----**
Amounts falling due within one year: Accruals and deferred income # **Total**
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**Analysis of**
**charitable funds**|Balance
1st April 2023
£000
—
>|Income
£000|Expenditure
£000|Transfers
£000|Gains and
Losses
£000|Balance 31st
March 2024
£000
os
'|
|---|---|---|---|---|---|---|
|**RESTRICTED FUNDS**|||||||
|Sir Bobby Robson|12,507|2,419|(77)|2,372|1,446|18,668|
|Foundation|||||||
|Charlie Bear|642|0||(642)||0|
|Children’s Services|918|5|(104)|(683)||136|
|(Fleming/Watson Fund)|||||||
|NHS Charities Together|(37)|0|0|37||0|
|**Total**|**14,031**|**2,424**|**(182)**|**1,084**|**1,446**|18,804|
||Balance
1st April 2023
£000
a|Income
£000|Expenditure
£000|Transfers
£000|Gains and
Losses
£000|Balance 31st
March 2024
£000
—=|
|---|---|---|---|---|---|---|
|**UNRESTRICTED FUNDS**|||||||
|General purposes|21,141|3,697|{7,929)|{1,084)|2,057|17,882|
|**Total**|**21,141**|**3,697**|**(7,929)**|**(1,084)**|**2,057**|17,882|
**----- Start of picture text -----**
— Balance Income Expenditure Transfers Gains and Balance 31st a
1st April 2023 Losses March 2024
£000 £000 £000 £000 £000 £000
TOTAL FUNDS 35,172 6,121 (8,111) (0) 3,503 36,685
**----- End of picture text -----**
Notes:
**A -** No endowment funds are held.
- **B -** Funds are shown at Market Value as at 31 March 2024.
* Trade Creditors represents the amount owed to a related party- The Newcastle upon Tyne Hospitals NHS Foundation Trust, for costs incurred on behalf of the charity in the furtherance of the Charity’s objects.
# Accruals of £15,496k (2022/23: £14,787k) have been included in the above figures which the Trustees considers to be a legal or constructive obligation because of ongoing or future schemes agreed with the Trust (see Annual Report for details).
## **C -** The purpose of the restricted funds is explained on page 31 of the Annual Report.
The unrestricted fund balance incorporates c230 funds that the Trustee has historically agreed to treat as designated funds attached to a specific ward of service. A process of rationalising these funds appropriately is underway.
## **18 Events after the reporting period**
There were no significant events after the reporting period.
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## **Independent auditor’s report to the Corporate Trustee of Newcastle upon Tyne Hospitals NHS Charity**
## **Opinion**
We have audited the financial statements of Newcastle upon Tyne Hospitals NHS Charity (the ‘charity’) for the year ended 31 March 2024 which comprise the Statement of Financial Activities, the Balance Sheet, the Statement of Cash Flow and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
- give a true and fair view of the state of the charity’s affairs as at 31 March 2024 and of its income and expenditure for the year then ended;
## **Other information**
The other information comprises the information included in the Charity Annual Report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information.
If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- have been prepared in accordance with the requirements of the Charities Act 2011.
## **Basis for opinion** ee
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs {UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the Trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
## **Matters on which we are required to report by exception**
We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion:
- the information given in the financial statements is inconsistent in any material respect with the Charity Annual Report; or
- sufficient accounting records have not been kept; or
- the financial statements are not in agreement with the accounting records; or
- we have not received all the information and explanations we require for our audit.
## **Responsibilities of Trustees**
As explained more fully in the statement of Trustee’s responsibilities set out on page 23, the Trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Our responsibilities and the responsibilities of the Trustees with respect to going concern are described in the relevant sections of this report.
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**43**
## **Auditor’s responsibilities for the audit of the financial statements**
We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
The risk of material misstatement due to error or fraud has been assessed in conjunction with how internal controls may mitigate any such risk. These controls are reviewed as part of the audit by performing systems walkthroughs to ensure they are operating effectively. Analytical review and substantive testing is also performed on all material balances and therefore any instances of non-compliance should be identified or considered as insignificant.
## **Use of the audit report**
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the audit engagement team;
- obtained an understanding of the nature of the industry and sector, including the legal and regulatory framework, in which the charity operates and how the charity complies with that legal and regulatory framework.
- inquired with management and those charged with governance about their own identification and assessment of the risks of irregularities, including any know actual, suspected or alleged instances of fraud.
- discussed with management and those charged with governance any non-compliance with laws and regulations and how fraud might occur including assessments of how and where the financial statements may be susceptible to fraud.
The risk of management override of controls was also considered an area of potential misstatement due to fraud. Audit procedures performed included testing of manual journal entries and other adjustments and evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the normal course of business.
There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.
This report is made solely to the charity’s trustees, as a body, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
## **Signed:**
## **Nicholas Cunningham MSc BSc ACCA (Senior Statutory Auditor) For and on behalf of Robson Laidler Accountants Limited Statutory Auditor**
Fernwood House, Fernwood Road, Jesmond, Newcastle upon Tyne NE2 lTJ
Robson Laidler Accountants is eligible as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website **www.frc.org.uk/auditorsresponsibilities.**
This description forms part of our auditor’s report.
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**46** or
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## **Contact us**
Newcastle Hospitals Charity, Peacock Hall, Royal Victoria Infirmary, Newcastle upon Tyne, NE1 4LP
E: nuth.charity@nhs.net | T: 0191 213 7235
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Charity Reg. 1057213