BARNSLEY HOSPITAL CHARITY ANNUAL REPORT Including ANNUAL ACCOUNTS Y•ar and￿ 31 Mareh 2021 Charlty Reg18tratlon Number. 1058037 AS INCORPORATED BY DEED IN THE FORM OF THE MODEL DECLARATION OF TRUST DATED 15 AUGUST 1996 BARNSLEY HOSPITAL CHARITY ANNUAL REPORT REGISTERED CHARITY NUMBER 1058037 FOREWORD The Barnsley H05Pital Charity Annual Report and Accounts for the year ended 31 March 2021 have been prepared by the corporate trustee in accordance with the Charities Act 2011. The annual report and accounts include all the separately established funds for which Bamsley Hospital NHS Foundation Trust ('The Trusv) is the corporate trustee. The Ttust provides a fvll range of district hospital services to the local community and surrounding area. Throughout the financial year, the Covid-19 pandemic continued to have an impact on the Charity as the Trust changed its operations to focus on treats'ng infected patients and we started to discuss how we could support this fast-developing area. The Trust is the key related party of the Charity (refer note 18 of Financial Statements for further details). Details of all the Directors of the Trust for the year are listed below.. CHAIRMAN: Mr T Lake CHIEF EXECUTIVE: Dr R Jenkins EXECUTIVES: MrSNed Dlrector of Workfo￿8 Mr C Thickett Dlrector of Finance Ms J Murphy Director of Nurnlng and QualSty Mr R Kirton Chiof D•llvery Officer and Deputy Chlef Ex•cutlve Dr S Enright Medlcal Dlrector NON. EXECUTIVES: Mr N Mapstone Ms R Moore Mr F Patton (left 31 December 2020) Ms S Ellis Mrs K Firth Mr P Hudson Mr K Clifford OBE (from 1 December 2020) REFERENCE AND ADMINISTRATIVE DETAILS All charitable funds administered by the Trust were registered with the Charity Commission on 15 August 1996 as an °umbrella Chari￿. registration number 1058037., this registration is in accordance with the Charibes Act 2011. The fund comprises both general and special purpose nds. Charitsble funds received by the Charity are accepted, held and administered as funds and propety held on trust for purposes relating to the health Servi￿ in accordance with the relevant guidance and legislation by the corporate trustee. The Charity is constituted of 31 individual funds. being 8 restricted and 23 unrestricted as at 31 March 2021. The notes to the financial statements distinguish the types of fund held and disclose separately all material funds. TRUSTEE The Trust is the corporate trustee of the charitsble fijnds governed by the law applicable to Trusts, principally the Trustee Act 2000 and the Charits'es Act 2011. OUR OBJECTIVES ACTIVITIES AND PUBLIC BENEFIT By raising new money and V•ith carefvl management of our existing furKls, the Charity provides a public benefit by making grants to Barnsley Hospital NHS Foundats'on Trust and the organisations it works with in order to fulfil the objectives, being.. The main purpose of the charitable funds held on trust is to apply income for charitable purposes relating to the general or any specific purposes of the Bamsley Hospital NHS Foundation Trust or to purposes relating to the Health Service. Grants are made in accordan￿ with Chanty law, our constitution and the wishes and directions of donors. In making granis we endeavour to reflect the wshes of patients and staff by directing funds towards areas they tell us are most in need. During the year 2020121 grants totslling £233,000 were made. When considering where to focus our attention our corporate trustee, board have regard to the Charity Commission's guidance on public benefit and vthat this mean$ for the Charity. Prlnclpal Office: Barnsley Hospltal NHS Foundatlon Trust Gawber Road Barnsley South Yorkshire S75 2EP Prlnclpal Professlonal Advlsers: Banker: Lloyds TSB PI Market Hill Bamsley S70 2PP Investment Advisor: ' Investec Wealth and Inveslment 30 Gresham Street London EC2V 7QN Audltor KPMG LLP 1 Sovereign Square Leeds LS14DA STRUCTURE, GOVERNANCE AND MANAGEMENT The Charty was incorporated by deed in the form of the model dedaration of trust dated 15 August 1996. The Trust is the corporate trustee of the Charitsble FurKls govemed by law applicable to Trust. principally the Trustees Act 2000 and also the law applicable to Charities, which is governed by the Charities Act 2011. Until March 2021, the Board of Trustees managed the fijnds on behalf of the corporate trustee. Effective from March 2020 a Charitable Trusteeship Committee was fomied with agreed terms of reference, this committee was subsequentiy renamed to the Charitable Funds Committee in March 2021. Accordingly, from March 2021, the Charitable Funds Committee manages the funds on behalf of the corporate trustee. The Board of Trustees and the Charitable Funds Committee consist of Executive and Non-Executive Directors. Non-Exe¢utive Directors are appointed by the Council of Govemors and Executive Directors are subject to the Trust's recruitment policies. The corporate trustee, as trustee of the funds, has an overall responsibility for the administration and distnbution of the monies. The charitable fvjnds available for spending are allocated to specialties within the Trust's clinical business unit management structure. The Gorporate trustee fulfils its legal duty by ensuring that fvnds are spent in accordance with the objects of each fvjnd. The corporate trustee respects the wishes of our generous donors to benefit patient care and advance the good health and welfare of pab'ents, carers and staff. In the year the committees met on a quarterfy basis where requests for expenditure were discussed and approved. A quarterfy report is received from the Charitable Fund'5 investment brokers on the performance of the portfolio. Under the scheme of delegated authority, approved by the Board of Directors, the Director of Finance has responsibility for the day-to-day management of the Charitsble Fund. Administratively, a senior member of staff from the Finan￿ Departrnent supported the Charttable Trusteeship Committee and the Charitable Funds Committee from March 2021. The accounting re￿rdS and the day-to-day administrab.on of the funds are dealt with by the Financial Accounts Department TRAINING FOR THE CORPORATE TRUSTEE Members of the Board of Directors are subject to an induction programme on appointment to the Board. Further training is available on request and is provided as and when required. EXPENDITURE AND RESERVES POLICY The expenditure of donated funds shall be conditional upon the goodsl ServI￿S being within the terms of the appropriate fvnd and also that the expenditure does not lead the Charitable Funds into further payments, which have not been agreed and funded. The Charity is funded by donations andlor legacies received from patients, relats'ves, and the general public and other extemal organisations. The overall strategy is to meet its charitable objectives by the following means.. Patients amenities and welfare purchase of small equipment. provision of services and the provision of facilities not nonnally provided by or in addib'on to the normal NHS provision., Stsff amenits'es and welfare- providing stsff facilib'es that improves staff well*eing and also the education of stsff over and above Ythat would nonnally be provided by the NHS; Contributs'ons to NHS expenditure - anything which does not fit in to the above, e.g. capitsl equiprnent {over £5,000)., arml Research and Developmént. Reserves are held by the Charity to meet the future potential commitments of the Funds held. The overall policy aim is that donated monies should be spent as soon as practicable In line with the purpose of the charity, as opposed to a deliberate programme of building up capital investments. In practice, this will ensure that the Charitable Funds will aim to spend, each year, all income received including investment income. The corporate trustee considers the total funds of the Charitable Funds should be at a minimum of £200,000 whilst the reserves should not reduce below £95,000. At 31 March 2021 the Charitable F,unds currently has total funds of £1,980,000 including reserves of £1,528,000 and accordingly holds an excess over the minimum reserves. The aim is that the level of expenditure is to increase over and above new donabons during the course of a reasonable timeframe to achieve these levels of minimum protected investrnents. In 2021r22 the corporate trustee agreed £1,330,000 of the existing unrestricted funds to be designated funds. The expenditure and reserves policy will continue to be reviewed in the future as conSide￿d ne￿$Sary. In addition, where it is prudent to do so, the Charitable Funds will agree to fund one off projects from reserves. This policy over time will reduce the size of the investment portfolio, assuming the continuance of the past level of donations. The corporate trustee will be advised on the level of investments the Charitable Funds needs to protec( in order to support the recurrent expenditure from such sources. The following athhorisation limits were applied during the year. All expenditure on Charitable Funds was approved by the Charitable Trusteeship Committee or the Chantable Funds Committee. A bid had to be submitted on the approved documentation and signed by the authorised signatory depending on the fund. signatories include.. a Clinical Director, General Manager, Chief Operating Officer. Associate Director of Operations, Director of Operations, Director of Finance, Associate Director of Nursing, Head of Midwifery, Director of Nursing and Quality. Chief Executive and members of the Executive team who are not Executive Directors nor Non Executive Directors of the Trust. PARTNERSHIP WORKING AND NETWORKS The Trust is the main beneficiary of the Charity and is a related paty by virtue of being the corporate trustee of the Charity. By working in partnership with the Trust, the Charitable Funds are used to best effect. When deciding upon the most beneficial way to use Charitable Funds, the corporate trustee has regard to the main activits'es. objecbves, strategies and plans for the Trust. RISK MANAGEMENT POLICY The corporate trustee is responsible for managing risk issues for the Charity, which 18 underpinned by the internal policies and proCedU￿S of the Trust, induding.. Code of Conduct and Code of Accountsbility., Standing Orders; Standing Financial Instructions and Scheme of Delegab'on; and Fraud Policy and Response Plan. The Charity has agreed ongoing to adopt all Trust policAes where relevant. This list of documents is not exhaustive but govems how the corporate trustee must operate and the issues it must consider. However, the corporate trustee must also be aware of the statutory framework in which it operates, specifically in relation to the charitable status as well as the wider NHS environment. wrth regards to investments. the corporate trustee adopts a managed frjnd approach by engaging a professional advisor. This is detailed further in the Investment Policy below. In addition to these, the corporate trustee considers speofic risk issues on a regular and on-going basis. As part of the business planning exercise carried out during the year, the corporate trustee has considered the major risks to which Barnsley Hospital Charity is exposed. Systems have been reviewed and steps identified to mib.gate those risks. Consideration of k%vo risks within the Covid- 19 climate are detailed below.. l) Future levels of Income The Charty is reliant on donations to allow tt to make grants to NHS bodies. If income falls, then the charity would not be able to make as many grants or enter into longer term commitments with the NHS bodies it supports. The committee mitigates the risk that income will fall by engaging with the Fundraising Department. That Department comprises dedicated fundraising experts vtho wort with the Trust as well as the Charrty to provide a co-ordinated approach to raising funds. Fundraising activity is gularly benchmarked against our peers and thorough rewews are undertaken after major campaigns and events to understand what worked well and how things could be done better. The public's support of the NHS has been demonstrated through increased donations during the Covid-19 pandemic, particularly the nats'onal emergency appeal managed by NHS Charities Together. ii) Fall In Investment returns The Charity generates additional income from investing elements of its cash balances so the committee considers the loss of investment income to be a major financial risk. This risk is increased as a result of the impact of the Covid-19 pandemic on the stock market. The risk is mitigated by retsining expert investrnent managers, hamng a diversified investment portfolio and regularly reviewing that portfolio. The committee makes use of benchmarking Info￿atiOn vthen reviewing the portfolio. INVESTMENT POLICY The corporate trustee reviews the investment policy on 8 regular basis and considers that the most appropriate policy to adopt is one which is consistent V￿th the Standing Financial Instructions of the Trust and as such the Investment Policy of the Charity has been produced in line with these instructions, Donated Funds pending their expenditure" shall b8 invested by the Director of Finance subject to statutory requirements. principally, the 1961 Trustee Investment Act as superseded by the Trustees Act 20IJO implemented from 1 Feb 2001. This Act imposes a duty on the corporate trustee when exercising its powers of investment to consider the need for diversification in order to reduce the risk of loss should an investment fail. In addition, the corporate trustee, in line with the ethos of promoting patient care, attempts to ensure that all investments are ethically and environmentally sound, and are not opposed to the 'purpose' of the Charity. In particular, the corporate trustee requires that no investment be made directly into companies involved in the tobacco industy. This restriction exdudes collectsve investments. In all other respects, the corporate trustee considers that it should adopt a balanced attitude to investment risk. In adopting this profile, the corporate trustee is aware that capital and income will ffluctuate in value in order to obtain the potential for greater medium to long-tenn benefits. The Charitable Funds have a designated fund Trhthereby the investment advisors are responsible for the day-to-day movements in investments (this is subject to review every three years or sooner). The advisors for the last financial year were Investec Wealth and Investment. The policy is to seek a balanced retum from income and capital growth at a moderate level of risk. The portfolio was moved into the Master Portfolio se￿￿ of Investec Wealth and Investment Ltd on 14 March 2016. In 2020121 as the portfolio value ex￿eded £150.000, it was transferred into the Bespoke Discretionary Managed Service in De￿rnber 2020. As at 31st March 2021, the portfolio was valued at £338,375 (as at 31 MarGh 2020 £267,660). This represented a gross retum of 300kn compared to 21% for the benchmark. On a net basis, the portfolio delivered 28.8Yo. ACTIVITIES. ACHIEVEMENTS AND PERFORMANCE FOR THE YEAR ENDED 31 MARCH 2021 Our key aim is to seNe the NHS patients of Bamsley Hospital NHS Foundation Trust for the public benefit. By funding research. services and equipment we are able to help the NHS body and other organisations we work with to provide care to their patients which goes beyond that which they are funded to provide. The finances of the Chartty are primarily dependent upon donations and legacies. The income is detailed in the table below, together wth the main expenditure headings. An adequate cash balan￿ and financial investment portfolio is maintained in order to continue to support the Chanty. The main achievements of the chanty induded consolidating the fuThJraising function, which consequently has contributed to charitable income and enabling expenditure to further the objectives. Accordingly. the Charib'es work has made a difference to the circumstances of its beneficiaries and given wider benefits to society as a whole. Examples of achievements to contribute to income and facilitate expenditure are detailed below which are explanatory in regard8 the main activities undertaken to further the charity's purposes for the public benefit. During the year the Charity consolidated the fundraising strategy which has been developed to continue to support the fundraising infrastructure to support the charity fundraising, to build existing revenue streams, to identify new opportunities, to drive capital project funding, to further engage staff in both applying for and raising Charitable funds for their working area and to assure the Board of Trustees and the Charitable Funds Committee on charity perft)rmance. sustsinability and risk management. Charltable Income Key fundraising and public engagement initi'atives contributing to income in the year included income streams to the Covid-19 and Make a Memory Appeal. INCOME The Charity continues to rely on donations from the general public as its main source of income. The sources of income are detsiled below: TYPE OF INCOME Donations and le acies Investments Other SoUr￿S TOTAL 1,525 000 4,000 12,000 1541000 EXPENDITURE During the financial year. the Charty has continued to be adive in committing funds in supporting a wide range of charitsble and health related activits.es beneffting both patients and stsff. In summary these are detsiled below: TYPE OF EXPENDITURE Patients, education and welfare Purchase of new e ment for benefit of atients Staff Education and Welfare 28,000 35,000 184,000 97,0 8,000 352,000 Cost of Generatin Miscellaneous TOTAL Funds Note 1-Support costs of £38.000 have been allocated to the above expenditure rows as fiJrther detailed in the Financial Ststements. At the end of the reporting period as at 31 March 2021 there was a positive net movement in funds for the year of £1,262.000 which resulted in a period end total fund value of £1,980,000 and cash equivalents of £1.915,000. Examples of Expendlture In Year Examples of expenditure in the year are as follows: Some examples of the Suc￿Ss￿l bids made to the Board of Trustees and the Charitable Trusteeship Committee of Bamsley Hospital Charity in the last year for use of the Charitable Funds induded.. £310 for relaxing music and lighting in support of the labour ward. £197,OW - from the Covid-19 Fund - to support. recognise and benefit stsff and patients needs. £1,300 gifts for Children'5 ward. £14,838 bereavement project- to support bereaved families on various projects. £598 Y￿lIbeIng first aid kits for Worfd Mental Health Day. £ 5,000 for a paediatrics - children and young people video to improve patient experience for children and young people. £13,000 was expended from the Tiny Hearts fund which has the objective of funds used solely for the purpose of creating, fumishiNJ and equipping a brand new, state of the art, special care baby unit at Bamsley Hospitsl. PLANS FOR FUTURE PERIODS Barnsley Hospital Charity launched our new Make A Memory Appeal on national Dementia Action Week - 17 May 2021. For the forthcoming year our fundraising plans will be focused on engaging supporters to help us kickstart the appeal. The Appeal will enable us to transfomi our care of the elderly ward by prowding a homely, cAlm and relaxing enwronment which supports all pab'ents particularfy those living with dements'a. We will be commenung on and off-site fvndraising in Covid-19 secure way, whilst also building on the wrtual fundraising activities which have been undertaken in 2020. We will be undertaking various seasonal fvndraising actiwties throughout the period which are in line with the Fundraising Regulator's Code of Fundraising Practice. We also celebrate our 25th year anniversary in 2021. being first registered as a Charity on 15 Au9USt 1996. We will mark the occasion with a series of fundraising activities and a celebration of all our achievements in supporting staff, volunteers and patients of Bamsley Hospital. EXPRESSION OF GRATITUDE On behalf of the stsff and patients have benefited from the improved services due to donations and legaaes, the corporate trustee would like to thank all members of the public. patients, relatives and staff who have made charitable donations. Your support makes these plans possible and to help the Chanty please do consider making donation. You can fir¥J out more infomiation and make a donation on our website at http:II¥Y4YW.bamsleyhosprtalcharity.co.uk. The corporate trustee would also like to pay trilxrte to our volunteers for their time, support and cK)mmitrnent to the Charity. 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Cth*ty*il be0￿￿￿•d ol G•Atw Ro•d. 87fy%P. kpmg ## **Independent auditor’s report to the Trustees of Barnsley Hospital Charity** ## **Opinion** We have audited the financial statements of Barnsley Hospital Charity (“the charity”) for the year ended 31 March 2021 which comprise the Statement of Financial Activities, Balance Sheet and related notes, including the accounting policies in note 1. In our opinion the financial statements: - give a true and fair view of the state of the charity’s affairs as at 31 March 2021 and of its incoming resources and application of resources for the year then ended; - have been properly prepared in accordance with UK accounting standards, including FRS 102 _The Financial Reporting Standard applicable in the UK and Republic of Ireland_ ; and - have been prepared in accordance with the requirements of the Charities Act 2011. ## **Basis for opinion** We have been appointed as auditor under section 149 of the Charities Act 2011 (or its predecessors) and report in accordance with regulations made under section 154 of that Act. We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities are described below. We have fulfilled our ethical responsibilities under, and are independent of the charity in accordance with, UK ethical requirements including the FRC Ethical Standard. We believe that the audit evidence we have obtained is a sufficient and appropriate basis for our opinion. ## **Going concern** The trustees have prepared the financial statements on the going concern basis as they do not intend to liquidate the charity or to cease its operations, and as they have concluded that the charity’s financial position means that this is realistic. They have also concluded that there are no material uncertainties that could have cast significant doubt over its ability to continue as a going concern for at least a year from the date of approval of the financial statements (“the going concern period”). In our evaluation of the trustees’ conclusions, we considered the inherent risks to the charity’s business model and analysed how those risks might affect the charity’s financial resources or ability to continue operations over the going concern period. Our conclusions based on this work: - we consider that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate; - we have not identified, and concur with the trustees’ assessment that there is not, a material uncertainty related to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for the going concern period. However, as we cannot predict all future events or conditions and as subsequent events may result in outcomes that are inconsistent with judgements that were reasonable at the time they were made, the above conclusions are not a guarantee that the charity will continue in operation. ## **Fraud and breaches of laws and regulations – ability to detect** To identify risks of material misstatement due to fraud (“fraud risks”) we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures included: 22 ## kpmg - Enquiring of directors and inspection of policy documentation as to the Charity’s high-level policies and procedures to prevent and detect fraud, as well as whether they have knowledge of any actual, suspected or alleged fraud; and - Reading Board minutes We communicated identified fraud risks throughout the audit team and remained alert to any indications of fraud throughout the audit. As required by auditing standards, we perform procedures to address the risk of management override of controls, in particular the risk that management may be in a position to make inappropriate accounting entries. We did not identify any additional fraud risks In determining the audit procedures we took into account the results of our evaluation and testing of the operating effectiveness of some of the Charity-wide fraud risk management controls. ## **Identifying and responding to risks of material misstatement due to non-compliance with laws and regulations** We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and discussed with the directors the policies and procedures regarding compliance with laws and regulations. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. The potential effect of these laws and regulations on the financial statements varies considerably. The Charity is subject to laws and regulations that directly affect the financial statements including financial reporting legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. Whilst the Charity is subject to many other laws and regulations, we did not identify any others where the consequences of non-compliance alone could have a material effect on amounts or disclosures in the financial statements. ## **Context of the ability of the audit to detect fraud or breaches of law or regulation** Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non- compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained a higher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations. ## **Other information** The trustees are responsible for the other information, which comprises the Trustees’ Annual Report. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except as explicitly stated below, any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether, based on our financial statements audit work, the information therein is materially misstated or inconsistent with the financial statements or our audit knowledge. We are required to report to you if: - based solely on that work, we have identified material misstatements in the other information; or - in our opinion, the information given in the Trustees’ Annual Report is inconsistent in any material respect with the financial statements. 23 kpmg We have nothing to report in these respects. ## **Matters on which we are required to report by exception** Under the Charities Act 2011 we are required to report to you if, in our opinion: - the charity has not kept sufficient accounting records; 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. We have nothing to report in these respects. ## **Trustees’ responsibilities** As explained more fully in their statement set out on page 11, the trustees are responsible for: the preparation of financial statements which give a true and fair view; such internal control as they determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error; 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 they either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so. ## **Auditor’s responsibilities** 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 our opinion in an auditor’s report. Reasonable assurance is a high level of assurance, but does not 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 aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of the financial statements. A fuller description of our responsibilities is provided on the FRC’s website at www.frc.org.uk/auditorsresponsibilities. ## **The purpose of our audit work and to whom we owe our responsibilities** This report is made solely to the charity’s trustees as a body, in accordance with section 149 of the Charities Act 2011 (or its predecessors) and regulations made under section 154 of that Act. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees, as a body, for our audit work, for this report, or for the opinions we have formed. ## **Clare Partridge** ## **for and on behalf of KPMG LLP, Statutory Auditor** 1 Sovereign Square Leeds LS1 4DA 15 December 2021 24