Tommy's Trustees, Report and Financial statements For the year ended 31 March 2024 Reglstered Company number: 3266897 Reglstered Charfty number: 1060508 Charlty Registered In Scotland number: SC039280
Index to financial statements 31 March 2024 Page Trustees and advisors Trustees, report 2-12 Independent Auditor's report 13-16 Consolidated statement of flnancial actlvltles 17 Balance sheet 18 Consolldated statement of cash flows 19 Notes to the financlal statements 20-42 TOMMY'S
Trustees and advisors Constitution Registered Company No. 3266897 - Company limited by guarantee Registered Charity No. 1060508 Charity Registered in Scotland No. SC039280 Trustees Anita Charlesworth Hayley Tatum Davld Logan Bjorn Saven Joe Chambers - Chair Trudi Boardman Kate Smaje Professor Anna Davld Aedamar Comiskey Robert Stirling Dr Sonjl Clarke Dr Shema Tarlq Paul Rowllnson Vanora Hundley Resigned 19 September 2023 Reslgned 19 September 2023 Resigned 19 September 2023 Appointed 10 May 2023 Appointed 19 September 2023 Chief Executive Kath Abrahams Prlnclpal Address Nicholas House 3 Laurence Pountney Hlll London EC4R OBB Auditor Saffery LLP 10 Wellington Place Leeds LSI 4AP Solicitor Foot Anstey LLP Senate Court Southernhay Gardens Exeter EXI INT Bankers National Westminster Bank plc 91 Westminster Bridge Road London SEI 7HW I TOMMY'S
Trustees, Report The Board of Trustees of Tommy's presents its Trustees, Report and Financial Statements for the year ended 31 March 2024. The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Art 2006. Chair's Statement This year has seen a continued recovery in fundraising conditions following the restrictlons of covid. Income has exceeded £llm for the first time. This recovery has enabSed the charity to open its new, fourth, research centre specialising in understanding the causes of, and finding ways to prevent, premature birth. This fills an important gap in the Charity's research portfolio. We have also continued to provide vital support through our pregnancy information service. During the year we have launched and started to implement a new strategy, which will guide our work for the next ten years. To support thls, we have developed a detailed theory-of change to ensure decision making Is effective and we have reshaped some of our Information support to ensure we are reaching those communities who currently have the poorest maternal outcomes. We are also Investlng In new marketing and fundraising activities to help us grow our reach, engagement, and income levels, which In turn will allow us to make faster progress towards delivering our strategy. We want to acknowledge and thank all our supporters whose fundraising efforts have enabled our achievements this year. We also want to thank our staff and researchers, who join with us in our unfailing commitment to make pregnancy and blrth safe for all. Objectives and Activities The Charity's objectives are the advancement of educatlon In and the practlce of gynaecology and obstetrics by all charltable means and In particular by: Funding research and the publlcation of its results; Promoting the education of both those engaged in the practice of gynaecology and obstetrics and the public care of mothers and babies before and after birth. Providing equipment; and Such other charitable purposes as the Trustees in their absolute discretion determine. In setting our objectives and planning our activities the Trustees have considered the Charity Commission's general guidance on public benefit. The Trustees consider that the Charity has complied with the duty in section 17 of the Charities Act 2011 regarding public benefit guidance issued by the Charity Commission. The Charity is working to benefit the public in several ways.. Losing a baby or having a baby who starts life at a disadvantage, has a devastating impact on parents and families. Babies born too soon, too small, or too large often have increased costs of health and social care throughout their lifetime; and We want to reduce the inequity of outcomes and access to care experienced by some people in the UK inc5uding people from some mlnoritised ethnic communities and those on low incomes. 2 TOMMY'S
Trustees, Report (continued) Research Programmes Tommy's funded research aims to: Identify those most at risk of having a pregnancy Issue; Find ways to diagnose problems early in pregnancy before they become medical emergencles; Test treatments and interventions that are safe and effective for women and birthing people during pregnancy and disseminate those flndlngs to the medical community. Develop best models of clinical practice, evidence the impact on improved patient care and outcomes and disseminate this widely in the NHS. Develop Tommy's Pathway- a clinical decision support too5 to assist in personalising risk Assessments and ensurlng optlmal care is given to all women and blrthlng people; and Provide evidence-based information to people on their pregnancy journey to improve their pregnancy outcome, Tommy's has awarded core medical research grants of £2,107,027 this year. Funding went to the Charity's four research centres: Tommy's Manchester Stillblrth Research Centre (Manchester Unlverslty/St Mary's Hospltal, Manchester) £500,000; Tommy's Natlonal Centre for Mlscarrlage Research (based at Birmingham Unlversltyi Warwick University, Imperial College London and four major NHS hospitals) £500,000. Tommy's Natlonal Centre for Maternlty Improvement (a collaboration with the Royal College of Obstetriclans and Gynaecologlsts (RCOG), the Royal College of Midwives (RCM) and UK Universities) - £607,027; and Tommy's Natlonal Centre for Preterm Birth Research (a collaboration with Imperial College London, Klng's College London, University College London, Queen Mary Universlty of London, and Leeds University) £500,000. This new research centre was formally opened in March 2024. We also retain a Chair of Maternal and Fetal health at King's College London/St Thomas, Hospltal London whlch Is funded in perpetuity. Results from Tommy's funded studies help the research centres to attract funding for further and larger projects, effectively multiplying our contribution above the Inltial Investment. We estimate that every £1 donated by Tommy's will leverage at least £5 of funding in five years, tlme. Thls leverage impact of our fundlng remalns a key objectlve of our strategy. Each research centre produces an annual report and key performance Indicators which are circulated to the Trustees. In addition, every year, each centre is peer reviewed by external experts together with three Trustees with expertise in this area. Details of all the projects funded by Tommy's are on the website ww.to Driving Improvements in Outcomes Our investment in implementation Scien via the National Centre for Maternity Improvement seeks to translate the findings of our research centres (and discoveries by other researchers), Into evidence-based practice and drive further improvernents in care by working with and within our health system. Tommy's undertakes campaigning, influencing and advocacy work to speed up the time it takes breakthroughs to be translated into improvements in care. Tommy's has established a Joint Poli Unit in partnership with Sands, the stillbirth and neonatal death charity, working together towards halving the number of UK baby deaths by ensuring decision makers have access to up-to-date 3 TOMMY'S
Trustees, Report (continued) information, and maternity policy is informed by robust evidence. We are collaborating with Sands to collate evidence and identify the key changes needed to save babies, lives, reduce inequities, and improve outcomes. Annually over 5,000 babies in the UK are stillborn or die within the first four weeks of life, with l in 5 pregnancies ending in miscarriage and around 60,000 babies are born prematurely each year. Tommy's also provides a pregnancy Informatlon service, the long-term goal of which is to reach pregnant women and birthing people with pre-pregnancy and pregnancy information designed to glve them the information and support to make the best possible decisions during pregnancy to help improve pregnancy outcomes. Our service particularly targets women and birthing people who are most at risk of a poor pregnancy outcome, which includes people from more deprived communities and women from minoritised ethnic backgrounds. The Charity has focused on providing content and reach through our website, Tommy's Midwives, on social media and via telephone and through pregnancy campaigns. These campaigns are informed by our research outputs and centre experts. The information Tommy's provides is also PIF accredited, an independently assessed quallty mark for print and dlgltal health information. Equity, Diversitvi and Inclusion We are working to embed equity, diversity and Incluslon across all aspects of Tommy's to make us an organisatlon whose work and culture reflects the people and communities that we work with. This includes drlving a greater focus on addresslng Inequlties In pregnancy research and growlng a more diverse research community, as well as building relationships wlth diverse communlties and organisations so that we can reach those most in need of support. Future Plans Tommy's launched its new strategy in April 2023. Our Vision To stop the heartbreak and devastation of baby loss and make pregnancy and birth safe everyone. for Our goals are to: Grow evidence, because baby loss and pregnancy complications are not 'Just one of those things,. We will fund research to find evidence that stops pregnancy complications and saves babies, lives. Improve care, because everyone should be provided with the best care and support. We will work to make sure good, safe, and evidence-based care is available to all throughout their pregnancy journey. Tackle inequities, because everyone desenies the same opportunities for a healthy pregnancy and birth, We will partner with communities and experts to reduce health disparities for those most at risk of pregnancy complications and baby loss. Mobilise for change, because together, we will make pregnancy safer and save babies, lives. We will build and nurture a passionate supporter community, bring people together and use our collective voices and diverse experiences to make effective progress with greater impact for all. We look forward to implementing the strategy, which will include developing a detailed set of measures by which its impact and effectiveness can be tracked and monitored over the next ten years. 4 TOMMY'S
Trustees, Report (continued) 202412025 will be a year of significant developments at Tommy's, with a number of strategic investments being made in marketing activities (to grow the Charity's reach, engagement and income and ensure as many people as possible are aware of the services we offer): the development of our research programme (including to ensure that it fully supports the Charity's commitment to tackling inequities); the building of key new partnerships to extend our reach to those most in need; and the modernisation of some of the Charity's back office functions (to increase efficiency). Activities and Performance Fundraising Fundraising Statement The Charity seeks to diversify its income streams and balance the risk inherent to each channel. As such, it undertakes fundraising actlvities via sponsored fundraising and challenge events, applications to trusts and philanthropists, relationships with corporate partners and individual public donations. Commercial fundraising partners must be able to demonstrate that they abide by the rules establlshed by the Fundraising Regulator, of which the Charity is a member. The Charity has invested In the recruitment of supporters and donors via digital marketing, telemarketing and direct mail but does not currently participate in face-to-face fundraising activities. The number of complaints received in the financial year was 61 (2023: 29). Complaints were investigated, and procedures and processes amended accordingly. The increase in complaints was driven by social media activity (these complaints were generally not upheld) and data-selection for fundraising marketing activities (which prompted a review and adjustment to selection processes). Recording, Investigation and reporting of complaints continues to be a key consideration for management and has led to changes in processes when necessary. Fundraising Review Our heartfelt thanks go to everyone who has helped Tommy's raise funds, including: Companies: Besins Healthcare UK, Bloomberg LP, Bloom & Wild, Careys Foundation, Chiesi Limited, Hologic, MAM UK Ltd, Mondelez UK, Newline, Never Fully Dressed, Norgine Pharmaceuticals Ltd, The Poundland Foundation and Poundland's colleagues, customers and suppllers, Plexus Corp UK, Plum & Ashby in collaboration with Elle Wright of Feathering the Empty Nest, Smyths Toys, Teneo, TFP Fertility UK, The Positive Birth Company, Thrive Tribe, Tufton Investment Management and Water Bables. We are grateful to the companies that provided grants to support our information service. These companies had no editorial control or input into our servlces. Trusts & Foundations: Dreamchasing, Edith Murphy Foundation, lan Mactaggart Trust, John Armitage Charitable Trust, Peter Sowerby Foundation, Sandra Charitable TrLJSt, The Sir Jules Thorn Charitable Trust, Teddy's Wish, Tioc Foundation, The Albert Gubay Charitable Foundation, The Annandale Charitable Trust, The Betty Messenger Charitable Foundation, The Boltini Trust, The Childwick Trust, The J Davy Foundation, The James Tudor Foundation, The Jon Moulton Charity Trust, Michael Guest Charitable Foundation, The Ness Fund, The P F Charitable Trust, The 5 TOMMY'S
Trustees, Report (continued) Reed Foundation, The Thriplow Charitable Trust, William A Cadbury Charitable Trust and The Zochonis Charitable Trust. Individuals: Paulo & Melinda Almeida, Kate & David Beck, Trudi & Gareth Boardman, Gerald Carroll & Sasha Wright, Joe Chambers, Sir Ron Dennis, Kalpana Desai, Steve Edge & Jane Foggi Dominic & Claire Freemantle, Nikki & Bruce Hodges (Metrow Foods), Oliver & Johanna Hudson, Chloe & Archie Hunter, Richard & Hannah Jeens, Brian Meredith, Stephen & Benetta Morant, Lesley Norris, James O'Brien, loannis Papagiannakopoulos & Michaela Vergottis, Dominic & Lindsay Proctor, Julia Rosier, Bjorn Saven CBE, lan & Carol Sellars and Kassie Smith KC. We would also like to thank Marina Fogle and her committee for organising the Tommy's Children's Carols. statutory grants: The Medical Research Council (MRC), part of UK Research and Innovation COVID Medical Research Charity Support Fund UK Government VCSE Health and Wellbeing Alliance Health Securlty Agency Department of Health & Soclal Care, NHS England and UK VCSE Health and Wellbeing Fund Department of Health & Soclal Care, NHS England and UK Health Securlty Agency UK Research and Innovation Thank you to Mindshare UK for thelr pro bono support of our marketing activity. We are very grateful to all our donors who prefer to glve anonymously. Landmark Events The London Landmarks Half Marathon took place on the 2rtd Aprll 2023 and was our biggest yet with over 17,000 participants. A new event, the London Landmarks Skyscraper Challenge, was launched In the year but due to technical difficulties on the day there are no current plans to stage it again. The Charlty would like to thank everyone Involved In the events, especlally colleagues at Westminster City Council, the City of London Corporation, Transport for London, the Great Run Companyi The Leadenhall Building and 30 St Mary Axe. Financial Review Group income this year increased to £11,638,239 which was £657,080 higher than the previous year. The charity has enjoyed a recovery in mass participation fundraising this year, with average fundraising and participation levels exceeding expectation. Philanthropy has also performed strongly. However, these hide continuing challenges in Individual Giving fundraising, where the ongoing cost of living crisis, along with staff shortages causing delays in fundraising initiatives, has resulted in weaker than planned performance. A significant part of the charitable activities that Tommy's fund is outsourced to university-based research centres. The Charity acts as a fundraising vehicle to create the funding for grants. A consequence of this Structure is that a higher proportion of 5UPPOrt Costs are attributed to fundraising rather than charitable activities, inflating the cost/income ratio compared to many other charities. Tommy's fundraising structure is unusual because we invest heavily in events, which have a high associated cost/income ratios and normally receive little income from statutory funding or legacies which have a low cost/income ratio. 6 TOMMY'S
Trustees, Report (continued) Nevertheless, the Group made a surplus of £793,236 (2023: surplus of £1,599,603) due to stronger than anticipated mass-participation and statutory fundraising and a continued focus on controlling costs. It is expected that these funds will be accessed in the financial year ending 31st March 2025 to enable the Charity to invest in activities which align with and help deliver the new strategy. Tommy's trading subsidiary, The Baby Fund Trading Limited, made a profit of £95,016 (2023.. £45,457) and transferred distributable reserves of £95,016 to the Charity (2023: £23,950). LLHM Limited made a profit of £530,495 (2023: £478,545) and transferred distributable reserves of £530,495 to the Charity (2023.. £4,883). The Trustees believe that the Charity's reserves level, strong cash holdings and disciplined approach to budgeting mean that the immediate future of the Charity over the next 12 to 18 months is secure and that on this basis the Charity Is a golng concern. Reserves Policy Tommy's holds reserves for several reasons, including: Ensuring we can continue to fund our vltal work should our Income fall below target. Tommy's has significant income concentratlon risk, with large tranches of income coming from slngle events such as London Landmarks Half Marathon, or from material Individual donors and partners. The last few years of covid have shown that these income sources carry risk. The Charity Is seeking to mitigate this risk via investment in dlversification, but until that has been delivered our reserves should give time to adjust expenditure without causing undue disruption to the Charity's research programme5, campaigns and public health information. To provide resource for investment, for example developing servlces, ensuring we maximise outreach by developing virtual offerings and our ability to engage people at scale, and testing new fundraising activities to drive the future growth of the organisation. To reassure our research centres of our intention to provide long term financial support. While budgets are approved and the Ilability recognised one year at a time, research centre activity planning is undertaken on a five-year cycle and the charity recognlses a contingent liabil ity on this basis. To provide working capital to meet upfront expendlture durlng the year before income is recelved. Following on from the new strategy that the Charity launched in the year, Tommy's risk register and risk management approach were reconsidered, which in turn has resulted in the reserves policy being reviewed and updated. The new target reserves level has been calculated considering the different risk factors that the organisation faces, and the trustees have determined that free reserves should be held to cover between six and eight months of forecast expenditure, giving a range of between £5.8m and £7.7m. On 31., March 2024, Tommy's held free reserves of £8,484,847 (2023: £8,549,030), which exceeds the top end of the target holding. The charity is currently evaluating how to spend down these excess reserves in ways that are both sustainable and strategically impactful. The Trustees will review the reserves policy on an annual basis, as part of the budget approval process. 7 TOMMY'S
Trustees, Report (continued) Financial Key Performance Indicators KPI Income ExDenditure: Cost of raising funds arget £10,557,000 Result Ell,638,239 £5,804,208 £4,875,055 Charitable £5,452,351 £5,969,948 Cost/income ratio 550/0 20/0 Income exceeded target by £1,081,239 due to stronger than expected fundraising activity from mass-participation events (the budget had been based on prior year performance which was lower than historic trends as a result of the cost-of-living-crisis and the lingering cultural Impact of covid) and an unexpected grant from UKRI of £512,000 which was awarded just a few days before year end. The Charlty achieved a fundraising cost-to-income ratio of 420/0, compared to 32010 in the prlor year. It Is Important to note that this change is partly due to the dlstorting influence of a £1 milllon legacy glft received In the prior year (if the prior year figure were adjusted for this it would be 360/0). The remalnlng Increase Is due to Investment In testing new fundraising actlvities, such as Tommy's Walk for Hope and Tommy's Weekly Win, the income for which would be expected to grow over time as they become more established. Charitable expenditure was £517,597 above target, as the Charity received more restricted statutory grants to fund charitable projects than had been expected. Structure, Governance and Management The Charlty operate5 in the UK, with its headquarters in central London. The Charity and trading subsidiaries are governed by Artlcles of Associatlon, a Board of Trustees, and subsidiary Boards of Dlrectors. The Trustees are supported by an Audlt Committee and a Scientific Advlsory Group. The Landmarks events business is accounted for in the trading subsidiary, LLHM Limlted. The Board of Director5 of LLHM contalns two Trustees of Tommy's, two Senior managers of Tommy's and three external members. The Baby Fund Trading Limited is the Charity's other trading subsidiary, which conducts the Group's trading activities. Its Board of Directors consists of nine Trustee5 af Tommy's and one external member. Every year one third of the Trustees retire by rotation and can be nominated for re-election. Trustees met four times during the accounting year. Joe Chambers has chaired the Trustees since l. April 2016 and will be stepping down in autumn 2024, to be replaced as chair by Emma Parry. The information on page I forms part of this report. New Trustees are identified via an open recruitment process, reviewed by the Nominations Committee, and approved by majority vote. All new Trustees are provided with a comprehensive induction programme which cover5: A meeting with the Chair, The role of a Trustee including a copy of the articles of association, A meeting with the Chief Executive, Tommy's goals, strategy, and main activltles, How Tommy's assesses and manages risk, 8 TOMMY'S
Trustees, Report (continued) Financial reporting and current performance of the Charity including reserves policy, Primary areas of fundraising, Our pregnancy information programme, Our approach to communicating with our supporters and beneficiaries, Our medical research programmes, and Completion of Companies House documentation. A Scientific Advisory Group comprising three Trustees, together with external reviewers, has met during the year to peer review the three existing research centres, activities. The Audit Committee, comprising two Trustees and three external members, meets regularly with the Chief Executive Officer and the Chief Operating Officer to review policies, risk, and ensure controls are in place and oversee the external audit arrangements. The Trustees have delegated the day-to-day management of Tommy's to the Chief Executive Officer who, together with the Chief Operating Officer, report on performance against the budget, which is approved each year by the Trustees. Management accounts are reviewed at each Trustee meeting. Between Trustee meetings the CEO reported to Joe Chambers, Chair of the Trustees, on regular basis. In addition to the CEO, staff are employed and contracted to work on pregnancy informatlon, policy, medical research governance, fundraising, marketing, finance, compliance, IT support, data management and office management duties. The Charlty's Trustees and the senior leadership team comprise the key management personnel of the Charity In charge of directing and controlling, running, and operating the Charity. All Trustees give their time freely and no remuneration was paid in the year. Details of directors, expenses and related party transactions are disclosed in notes 11 and 23 to the accounts. Charity Corporate Governance Code The Charity monitors the Charlty Corporate Governance Code and pollcies are regularly reviewed and revised and new policies Instlgated where necessary. The Charity alms to follow the Code, as a key source of best practice. Pay Policy for Senior Staff The pay of all staff Is vIewed against sector benchmarks annually by Human Resources and agreed with a Trustee with relevant experience. The salaries of the senior leadershlp team, comprising the CEO, COO, Fundraising Director, Landmark Events Director, Marketing Director, and Research, Policy and Pregnancy Information Director are reviewed and approved on behalf of the Board of Trustees by the Chair. An interim benchmarking review is conducted in the sprlng to check that salaries remain appropriate and fair. 9 TOMMY'S
Trustees, Report (continued) Internal Financial Control and Risk Assessment The Trustees confirm that the Charity's internal financlal controls conform to guidelines issued by the Charity Commission. The systems of financlal control are deslgned to provide all reasonable but not absolute assurance against material misstatement or loss. They include: An annual budget approved by the Trustees, Monthly management accounts and re-forecasting, Regular consideration by the Trustees of actual financlal results compared with budgets and forecasts, Authority to spend within defined limits, Segregation of duties, Consideration of risks by Trustees and line managers, and Internal reviews of reporting compliance for high value statutory grants. Risk Management The Trustees have a rlsk management strategy whlch comprises: An annual review of the principal risks and uncertalntles of the Charity and Its subsldlaries, The Baby Fund Trading Limited and LLHM Limited, Subsequent, regular review of identified risks by the CEO, COO, and key staff, with actions documented for follow-up, The establishment of policies, systems, and procedures to mitigate those risks identified in the annual review; The implementation of procedures designed to minimise or manage any potential impact on the Charity should those risks materialise. and The appointment of an operational Compliance Champion group to ensure that staff throughout the organisation understand what is required in terms of managing risk. Key rlsks have been Identlfled as: The Macro Envlronment The wider environment in which Tommy's operates is unstable and difficult to predict, with unprecedented cost-of-living pressures, unexpected world events and changes to government. Further to this, the charity sector is highly competitive, with many similar charities and equally deserving rival causes. All these risk factors can have a negative impact on the charity's ability to accurately plan and deliver its activities and revenue generation. The risk is controlled via frequent Trustee and Senior Leadership Team meetings, the budgeting and reforecasting cycles, a strategy which promotes the diversification of income, an annual review of the charity's reserves policy (which is linked to strategy and risk) and the annual review of the marketing strategy to ensure it resonates with potential supporters. Income Sources and Returns Tommy's has significant income concentration risk, be it from a few large key funders, or on specific fundraising events such as the London Landmarks Half Marathon. This leaves the Charity's income vulnerable to changes in funder policies, competition from other charities and causes and shocks from unforeseen cancellations. This risk is managed via the deliberate diversification of revenue streams and budgeting based on conservative forecasts that are scrutinised and challenged by the Trustees prior to their sign off to confirm that they are reasonable. Management accounts, along with a reforecast of the expected year-end position, are 10 TOMMY'S
Trustees, Report (continued) reviewed by senior management monthly, with Trustees receiving regular updates on progress at the quarterly Trustees meetings. The Charity also has a prudent resenies policy to ensure that activity can continue for a period if income does not meet expectations. Information Technology The adequacy of the charity's IT systems and business recovery plans are key to protecting it from the risk of cyber breach and system failure, which could result in the loss of data, business interruption and reputational damage. The Charity has implemented information security policies, security systems and staff training to protect its own networks and reviews key IT suppliers to ensure that they have suitable accreditation. Statement of Trustees. Responsibilities The trustees (who are also directors of Tommy's for the purposes of company law) are responsible for preparing the Trustees, Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accountlng Practice). Company law requires the trustees to prepare financial statements for each financlal year whlch glve a true and fair view of the state of affalrs of the charitable company and the group and of the incoming resources and application of resources, Includlng the Income and expendlture, of the charitable group for that period. In preparing these financial statements, the trustees are required to: select suitable accounting policies and then apply them consistently; observe the methods and principles in the Charities SORP (FRS 102); make judgements and estimates that are reasonable and prudent; state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and prepare the financial statements on the going concern basis unless it Is Inapproprlate to presume that the charity will continue in buslness. The trustees are responsible for keeplng proper accounting records that disclose with reasonable accuracy at any time the financial positlon of the charltable company and enable them to ensure that the financial Statements comply with the Companies Act 2006 and the Charities and Trustee Investment (Scotland) Act 2005, and the Charities Accounts (Scotland) Regulations 2006 (as amended). They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the trustees are aware.. there is no relevant audit information of which the charitable company's auditor is unaware; and the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Leglslation in the United Kingdom governing the reparation and dissemination of financial statements may differ from legislation in other jurisdictions. Auditors Saffery LLP have continued as auditors during this year. The Trustees, Report, which includes the Strategic Report, was approved by the Board of Trustees on 24th September 2024 and signed on its behalf by: 11 TOMMY'S
Trustees, Report (continued) Joe Chambers Chair 12TOMMY'S
Independent Auditor's Report to the Members and Trustees of Tommy's Opinion We have audited the financial statements of Tommy's (the 'parent charitable company,) and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the consolidated statement of financial activlties, the consolidated and charity balance sheets, the consolidated statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and Republlc of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinlon the financlal statements.. glve a true and fair view of the state of the affairs of the group and the parent charitable company as at 31 March 2024 and of the group's incoming resources and application of resources, Includlng Its income and expenditure, for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance wlth the reqU1MentS of the Companies Att 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (as amended). Basls for opinion 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 responsibilitles for the audit of the financial statements section of our report. We are independent of the group and parent charitable company 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 belleve that the audit evidence we have obtalned is sufficient and appropriate to provide a basis for our opinion. Conclusions relating to going concern In audltlng the financial statements, we have concluded that the trustees, use of the going concern basis of accounting in the preparatlon of the financlal statements is appropriate. Based on the work we have performed, we have not identified any material uncertalntles relating to events or conditions that, individually or collectively, may cast significant doubt on the group or the parent charitable company's abillty to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responslbilities of the trustees with respect to going concern are described in the relevant sections of this report. Other information The other information comprises the information included in the annual report, other than the financial statefflents 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, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 13TOMMY'S
Independent Auditor's Report to the Members and Trustees of Tommy's 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 aLJdit or otherwise appears to be materia15y misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information; we are required to report that fart. We have nothing to report in this regard. Other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit: the information given in the Trustees, Annual Report which includes the Directors, Report and the Strategic Report for the financial year for which the financial statements are prepared is consistent with the financial statements. and the Trustees, Annual Report which includes the Directors, Report and the Strategic Report has been prepared in accordance with applicable legal requirernents. Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Trustees, Annual Report and Strategic Report. We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) require us to report to you if, In our oplnlon.. adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or the parent charitable company's financial statements are not in agreement with the accounting records and returns; or certain disclosures of trustees, remuneratlon specified by law are not made. 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 Trustees, Responsibilities set out on page 11 the trustees (who are also the directors of the parent charitable company for the purposes of company law) 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 the financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the group and the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charitable company or to cease operations, or have no realistic alternative but to do so. 14 TOMMY'S
Independent Auditor's Report to the Members and Trustees of Tommy's Auditor's responsibilities for the audit of the financial statements We have been appointed as auditors under the Companies Act 2006 and under the Charlties and Trustee Investment (Scotland) Act 2005 and report in accordance with regulations made under those Acts. Our objectives are to obtain reasonable assurance about whether the group and parent 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 mlsstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, includlng fraud, are Instances of non-compliance with laws and regulations. We design procedures in line with our responsibllltles, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to whlch these are capable of detecting irregularities, includlng fraud are detailed below. Identifylng and assessing risks related to irregularlties: We assessed the susceptibility of the group and parent charitable company's financial statements to material misstatement and how fraud might occur, including through discussions with the trustees, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunlties for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the group and parent charitable company by discussions with trustees and updating our understanding of the sectors in which the group and parent charitable company operate. Laws and regulations of direct slgnlflcance In the context of the group and parent charitable company include The Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005, the Charlties Accounts (Scotland) Regulations 2006 (as amended) and guidance issued by the Charity Commlssion for England and Wales and the Office of the Scottlsh Charity Regulator. Audit response to risks Identlfied: We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of financial statement disclosures. We reviewed the parent charitable company's records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the parent charitable company's policies and procedures for compliance with laws and regulations with members of management responsible for compliance. During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any signlficant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner's review included ensuring that the team had approached their work with appropriate 15TOMMY'S
Independent Auditor's Report to the Members and Trustees of Tommy's professional scepticlsm and thus the capacity to Identify non-compliance with laws and regulations and fraud. There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud Is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. A further descrlptlon of our responsibilities Is available on the Flnancial Reportlng Council's website at: .frc audltorsres onslbilities. Thls descrlption forms part of our audltor's report. Use of our report This report Is made solely to the parent charltable company's members, as a body, in accordance wlth Chapter 3 of Part 16 of the Companies Act 2006, and to the parent charitable company's trustees, as a body, in accordance wlth Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the parent charitable company's members and 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 parent charitable company, the parent charltable company's members and trustees as a body, for our audit work, for this report, or for the opinions we have formed. 1.(4 LLe Sally Appleton (Senlor Statutory Auditor) for and on behalf of Saffery LLP Chartered Accountants Statutory Auditors 10 Wellington Place Leeds LSI 4AP Date: 2 October 2024 Saffery is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006. 16 TOMMY'S
co cn Ln o) TJ vi TJ th 4 CO O Ln Q) ¢J Ln ¢y) o) tj Ln 7J C fn Ln J N o co r4J Ln J m c£ U
Balance sheet As al 31 March 2024 Registered Company number 3266897 Group 2024 Charity 2024 Notes 2023 2023 Fixed assets Intangible assets Tangible assets Investments 13 55,382 122,238 164,651 146,284 53,610 122,238 139,330 146,284 14 15 177,620 310,935 175,851 285,617 Current assets Debtors Short term deposits Cash at bank and In hand 16 1,384,089 11,062,364 5,973,523 2,485,802 10,618,710 4,166,084 2,393,004 11,062,364 1,797,251 2,125,556 10,618,710 1,300,546 18,419,976 17,270,596 15,252,619 14,044,812 Creditors: amounts falling due withln one year 17 (8,796,948) (8,574,119) (5,627,818) (5,323,017) Net current assets 9,623,028 8,696,477 9,624,801 8,721,795 Total net assets 9,800,648 9,007,412 9,800,652 9,007,412 Funds 19 Restrlcted funds 1,315,801 8,484,847 458,382 8,549,030 1,315,801 8,484,851 458,382 8,549,030 Unrestritted funds Funds 9,800,648 9,007,412 9,800,652 9,007,412 The financial statements were approved and authorised for issue by the Trustees on 24th September 2024. As permitted by s408 Companies Act 2006, the parent Charity has not presented its own income and expenditure account and related notes. The parent Charity recorded a surplus in the year of £793,240 (2023: £1,104,436). Joe Chambers Chair 18TOMMY'S
Consolidated statement of cash flows For the year ended 31 March 2024 Notes 2024 2023 Cash flows from operating activitles: Net cash provided by operating activities 24 1,679,146 2,017,611 Cash flows from investing activities: Interest Income Purchase of tangible and Intangible fixed assets 613,053 (41,106) 194,299 (35,700) Net cash provided by/{used in) investing activities 571,947 158,599 Change In cash and cash equlvalents in the year 2,251,093 2,176,211 Cash and cash equlvalents at the beginning of the year 25 14,784,794 12,608,583 Total cash and cash equivalents at the end of the year 25 17,035,887 14,784,794 The accompanying notes on pages 20-42 form an Integral part of the financial statements. 19 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 l Accounting policles Tommy's is a charity registered in England and Wales and a registered company limited by guarantee incorporated in England and Wales, The registered oflice is Nicholas House, 3 Laurence Pountney Hill, London, EC4R OBB. Tommy's meets the definition of a public benefit entity under FRS 102. The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows: a) Basis of preparation The financlal statements have been prepared in accordance wlth Accounting and Reportlng by Charities: Statement of Recommended Practlce appllcable to charlties preparlng thelr accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The accounts are prepared in sterling, which is the functional currency of the group. Monetary amount5 In these financial statements are rounded to the nearest £. Assets and liabilitle5 are Initially recognised at historical cost or transaction value unless otherwise Stated in the relevant accounti ng policy note(s). The accompanying notes on pages 20-42 form an integral part of the financial statements. b) Preparation of th8 accounts on g going concern b8SIS The Trustees, having considered the Charity's and the Group's reserves levels, strong cash holdings, and disciplined approach to budgetingi are of the view that the immediate future of the Charlty and the Group Is secure. Addltlonallyi management and the directors have undertaken a thorough review of the Charity's and the Group's business plans, which cover a period of three years, Includlng financlal pmjections and stre55 testing under a range of scenarios, to assess their viability In the foreseeable future, Based on thls comprehenslve evaluatlon, the Trustees are confident that the Charity and the Group have adequate resources to continue operating and meet their obligations for the foreseeable future, and accordinglyi they consider the Charity and the Group to be a going concern. c) Gmup financial statements The Group financial staternents include the results for the year ended 31 March 2024 of Tommy's and its wholly owned subsidiary companies The Baby Fund Trading Limited and LLHM Limited. The results of the subsidiaries are consolidated on a line-by-line basis and their own profit a nd loss accounts and balance sheets are shown in notes 21 and 22. 20 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 d) Fund 8Gcounting Unrestricted general funds are available for use at the discretion of the Trustees in furtherance of the general objectives of the Charity. Restricted funds a funds subject to restrictions imposed by donors or the nature of the appeal. The purpose and use of the restricted funds is set out in note 19. Accountlng policies (contlnued) 8) Incom8 Income is recognised when the Charity has entitlement to the funds, any performance conditions attached to the item(s) of Income have been met, It is probable that the Income wlll be recelved, and the amount can be measured lIablY. Income from government and other grants, whether'capital. grants or 'revenue' grants, Is cOgniSed when the Charity has entitlement to the funds, any performance conditions attached to the grant5 have been met, it is probable that the income will be received, and the amount can be measured reliably and is not deferred. For legacie5, entitlement is the earlier of the Charity being notified of an impendlng d istribution from an estate and of the legacy being received. Deferred income comprises amounts recelved in respect of fundraising events to be held in the following financial year, or amounts awarded from a funding body in respect of the following flnancial year. Accrued income comprlses amounts due in respect of fundralslng and contractual events held in the financial year, which had not been received by the year-end date. Interest Income on investments Is recognlsed on an accrual basls. Interest Is allocated between unrestricted and restrlcted funds on a proportional basis only where interest income is specifically restricted. Q Donat8d servi¢e$ Donated services are recognlsed when the benefit to the Charity is asonablY quantifiable and measurable. The value placed on these services Is the estimated value to the Charity of the Service received. The value is included in income and a corresponding amount is shown as expenditure under the relevant charitable activity. g) Gifts in kind Gifts in kind are assets donated to the Charity for its own use or for distribution to beneficiaries. They are included at third party market value and recognised as income only when they are used or distributed. 21 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 Accounting policies (continued) h) Expenditurg and irrecoverable VA T Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required, and the amount of the obligation can be measured reliably. Expend iture is classified under the following activity head ings: Costs of raising funds comprise the costs of commercial tradingi donation orientated campaigns, donor recruitment and general fundraising costs. Expenditure on charitable activities includes the costs of medical research grants, cause related marketing and pregnancy information and education services, Other expenditu re represents those Items not falllng Into any other head ing. Where costs cannot be d irectly attrlbuted, they have been allocated to actlvlties on a utilisation basls, assessed by staff time on each activity. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred. i) Allocation of support costs Support costs are those functions that assist the work of the Charity but do not directly undertake charitable activities. Su pport costs include back-office costs, finance, personnel, payroll, and governance costs. These costs have been allocated between the cost of raising funds and expenditure on charitable activities on a utili5ation basis, assessed by staff time on each activity. J) Medical research grants Each year, the Maternal and Fetal Research Unlts present thelr proposed research and budgets for the following year to gain authorisation for the funding from the Trustees. Once authorised and communicated to the recipient, the costs are recognised by the Charity as expenditure in the current financial year. k) Creditors and provlslons Creditors and provisions are recognlsed where the Charlty has a present obllgation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. l) Taxation To the extent that it does not exceed the accounting profit for the period, any taxable profit of the subsidiaries, The Baby Fund Trading Limited and LLHM limited, is eliminated by gift aid payment in favour of the Charity. The Charity is considered to pass the tests set out in paragraph I Schedule 6 of the Finance Act 2011 and therefore meets the definition of a charitable company for UK corporation tax purposes. 22 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 Accounting policies (continued) m) Pen&on policy Tommy's operates a deflned contribution pension scheme. The assets of the scheme are held separately from those of the Charity in an independently administered scheme. Contributions to the Charity's stakeholder pension scheme are charged to the Statement of Financial Artivlties in the year In which they become payable. n) Tangible fixed assots Furniture and equipment are capitalised and depreciated between two and six years to reflect their estimated useful economic lives to the Charity. The minimum cost for capitalisation is £1,000. o) Intangible fixed asset5 Website development and other software costs are capitalised in line with FRS 102, where there are reasonable grounds for supposing that the economic benefits will be more than costs incurred. Such tems are amortised between three and six years to reflect their estimated useful economic lives. The minimum cost for capitalisation is £1,000. p) Debtors Trade and other debtors are recognised at the settlement amount. Prepayments are valued at the amount prepald net of any trade discounts due. q) Operating leases Operating lease rental costs are charged to the Statement of Financial Activities on a 5traight-line basis over the lease term. r) Financlal Instruments The Charlty only has financial assets and financial Ilabllltles of a klnd that qualify as baslc flnancial instruments. Basic financlal Instruments are Initlally recognised at transaction value and subsequently measured at their settlement value. s) Critical estimates and areas of significant judgement In the application of the Charity'5 accounting policies, the Trustees a required to make judgment5, estimates and assumptions about the carrying amounts of assets and liabilitie5 that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are relevant. Actual results may differ from these estimates. The estimates and underlying assumptlons are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. 23 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 Accounting policies (continued) There are no area5 of significant judgement to consider. Critical estimates include the followlng: The value of donated services, detailed further in note l(f). The recoverability and useful economic lives of tangible and intangible fixed assets, detailed further In note l(n) and note l(0). The recognition of deferred income in respect of fundraising events to be held in the following flnancial year, detailed further in note l(e). 2 Income from donations Unrestrlcted Restricted funds funds Total 2024 Unrestrlcted Restricted funds funds Total 2023 Glfts Legacies Donated servlces 6,105,724 1,619,664 7,725,388 5,433,598 1,581,977 7,015,575 I,Iii,000 I,iii,000 475,506 475,506 605,291 605,291 Total 6,581,230 1,619,664 8,200,894 7,149,889 1,581,977 8,731,866 3 Income earned from tradlng actlvltles Unrestricted Restricted funds funds Total 2024 Unrestricted Restrlcted funds funds Total 2023 Corporate sponsorship and promotions 301,006 301,006 199,793 199,793 Events 2,523,286 2,523,286 1,855,201 1,855,201 Total 2,824,292 2,824,292 2,054,994 2,054,994 4 Investment income and interest All the Group's investment income of £613,053 (2023: £194,299) arose from money held on deposit account. 24 TOMMY'S
Notes to the financial ststements For the year ended 31 March 2024 5 Grants for medical research The charge for the year for research includes the following Grants awarded during the year: 2024 2023 Core grants: Maternal and Fetal Research Unlt, st Mary's Hospital, Manchester Tommy's National Centre for Miscarriage Research Tommy's National Centre for Maternity Improvement Tommy's National Centre for Preterm Birth Research Prevlous years grants (not fully taken up)/exceeded 500,000 607,027 500,000 500,000 (16,687) 500,000 500,000 500,000 421,000 16,914 2,090,340 1,937,914 Non-core grants: Fetal monltoring vest research, St Mary's Hospital, Manchester PARROT study, St Thomas. Hospital, London GUARD MEC Trlal, Kings College Hospltal, London MIFEMISO Dissemination project, Tommy's National Centre for Miscarriage Research DCMS Tampon Tax Fund Miscarriage Tool, Tommy's National Centre for Maternity Improvement Other research costs 18,908 30,722 40,950 32,070 324,026 23,625 36,690 2,200,050 2,335,195 Outstanding grants at 1st April Grants awarded during the year Paid during the year 2,759,980 2,090,340 (1,345,315) 2,817,064 1,937,914 (1,994,998) Outstandlng grants at 31 March falling due withln one year 3,505,005 2,759,980 £440,358 (2023: £1,106,382) of medlcal research expenditure was funded by restricted funds during the year. The DCMS Tampon Tax Fund Miscarriage Tool grant expenditure Includes £nil (2023: £72,827) of staff costs. 25 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 6 Expenditure on education, information, and policy 2024 2023 Pregnancy accreditation General health information provislon Midwife pregnancy helpline Public relations, cause awareness and campaigns Policy Website and tech development Supporter e-newsletter and channels Advertising and media 385,356 415,349 222,745 633,510 294,933 639,401 216,658 673,203 273,814 426,168 77,622 596,544 292,235 481,123 239,592 739,696 3,481,155 3,126,794 7 Analysls of expenditure Allocated support & Direct governance costs costs Total 2024 Staff costs Cost of raising funds Donations and legacies Corporate sponsorship, promotions and events 874,457 886,729 268,775 2,029,961 799,214 1,858,585 187,295 2,845,094 1,673,671 2,745,314 456,070 4,875,055 Charitable expendlture Medical research 235,897 1,616,236 2,193,981 1,429,852 58,915 435,067 2,488,793 3,481,155 Educatlon, Inforrnation and policy 1,852,133 3,623,833 493,982 5,969,948 Total 3,525,804 6,369,147 950,052 10,845,003 26 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 Analysis of expenditure - previous year Allocated support & Direct governance costs osts Total 2023 Staff costs Cost of raising funds Donations and legacies Corporate sponsorship, promotions and events 673,185 698,114 260,416 1,631,715 601,211 1,101,025 231,863 1,934,099 1,274,396 1,799,139 492,279 3,565,814 Charitable expenditure Medical research 336,926 1,225,391 2,262,368 1,422,361 89,655 479,041 2,688,949 3,126,793 Education, information and policy 1,562,317 3,684,729 568,696 5,815,742 Total 2,836,713 5,483,868 1,060,975 9,381,556 Details of allocated support costs are set out in note 8. 8 Analysis of allocated support and governance costs Office operating Governance costs corts Information technology Human resources Total 2024 Cost of ralslng funds Donatlons and legacies Corporate sponsorshipi promotions and events 88,322 41,177 128,574 10,702 268,775 61,547 28,694 89,596 7,458 187,295 149,869 69,871 218,170 18,160 456,070 Charitable expenditure Medical research 19,360 9,026 28,183 2,346 58,915 Education, information and policy 142,967 66,653 208,123 17,324 435,067 162,327 75,679 236,306 19,670 493,982 Total 312,196 145,550 454,476 37,830 950,052 27 TOMMY'S
Notes to the financial statements For the yearended 31 March 2024 Analysis of allocated support and governance costs- previous year Office Human operating Governance resources osts costs Information technology Total 2023 Cost of raising funds Donations and legacies Corporate sponsorship, promotions and events 61,263 23,080 L67,017 9,056 260,416 54,546 20,549 148,705 8,063 231,863 115,809 43,629 315,722 17,119 492,279 Charitable expenditure Medical research Educatlon, information and pollcy 21,091 7,946 57,500 3,118 89,655 112,695 42,455 307,233 16,658 479,041 133,786 50,40L 364,733 19,776 568,696 Total 249,595 94,030 680,455 36,895 1,060,975 Included in the office operating costs are the office rent, service charges, rates and associated equipment running costs, The costs are allocated based on time spent by the staff on the associated activities. 9 Net income Net income Is stated after charging: 2024 2023 AUdit0S remuneratlon audit fees (over)/under accrual of prior year's audit fees non-audit fees Depreciation and amortisation charge Operating lease rentals 32,460 (70) 5,440 166,088 120,352 30,950 180 8,906 166,929 231,515 28 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 10 Group staff costs 2024 2023 Salaries and wages Social security costs Pension costs Temporary staff and volunteer costs 2,930,574 293,753 129,665 171,812 2,363,088 247,077 99,555 126,993 3,525,804 2,836,713 Temporary staff and volunteer costs include the costs of contractors and consultants. The key management personnel comprlse the Trustees, the Chlef Executive Officer, Chief Operating Officer, Landmark Events Director, Fundraising Director, Marketing Direttor, and Research, Pollcy and Information Dlrector. The total remuneration of the key management personnel, including pensions and benefits in kind, was £576,570 (2023: £656,315). The number of employees whose emoluments exceeded £60,000 for the year was: 2024 Number 2023 Number Within the range of £130,000 to £139,999 Within the range of £120,000 to £129,999 Withln the range of £80,000 to £89,999 Within the range of £70,000 to £79,999 Within the range of £60,000 to £69,999 The average weekly number of persons employed durlng the year by department was: 2024 Number 34 34 2023 Number 25 26 Charitable activities Cost of generating funds Management and administration of the Charity 76 60 These numbers exclude temporary agency staff, contractors and consultants. One redundancy was made in the year (2023.. one). The aggregate cost of redundancy payments was £10,312 (2023: £1,713). 29 TOMMYS
Notes to the financial statements Forthe year ended 31 March 2024 11 Trustees The Trustees received no remuneration or reimbursed expenses during the year (2023: £Nil). 12 Operating lease and other commitments The charity's total future minimum lease payments under non-cancellable operating leases are as follows for each of the following perlods with regards to property: 2024 2023 Less than one year More than one year and less than five years More than one year and less than five years 120,352 268,730 120,352 361,055 28,027 389,082 509,434 A new lease for office space at Nicholas House was signed in 2023. There are no flnanclal commltments other than those shown In the accounts and accompanylng notes. 13 Intangible fixed assets Software and website Group Charity Cost l April 2023 Addltions Dlsposals 404,067 330,539 (15,000) 31 March 2024 389,067 330,539 Depreciation l April 2023 Charge for the year Disposals 239,416 100,936 (6,667) 191,209 85,720 31 March 2024 333,685 276,929 Net book value l April 2023 164,651 139,330 31 March 2024 55,382 53,610 30 TOMMY'S
Notes to the financial statements For the year ended 31 March 2024 14 Tangible fixed assets Office equipment Group Charity Cost l April 2023 Additions Disposals 320,076 41,106 (15,558) 320,076 41,106 (15,558) 31 March 2024 345,624 345,624 Depreciation l April 2023 Charge for the year Dlsposals 173,792 65,152 (15,558) 173,792 65,152 (15,558) 31 March 2024 223,386 223,386 Net book value l April 2023 146,284 146,284 31 March 2024 122,238 122,238 15 Fixed asset investments The Charity owns the whole of the Issued share capltal of £2 in The Baby Fund Trading Llmited, company Incorporated in the UK. This company was formed to carry on the trading activities of the Charity and profits are covenanted to the Charlty. The results of the tradlng subsldlary are shown in note 21. The Charity owns the whole of the issued share capltal of £1 in LLHM Limited, a company incorporated in the UK. This company was formed to hold the London Landmarks Half Marathon and other fundraising events that the Charity may seek to develop in the future, and profits are covenanted to the Charity. The results of the trading subsidiary are shown in note 22. 31 TOMMY'S
Notes to the financial statements Forthe yearended 31 March 2024 16 Debtors Group 2024 Charity 2024 2023 2023 Trade debtors Taxation recoverable Amounts owed by subsidiary companies Prepayments and accrued income Other debtors 65,296 341,507 23,775 41,971 251,637 23,775 1,787,642 838,422 563,391 1,011,698 24 1,318,793 2,120,496 24 1,384,089 2,485,802 2,393,004 2,125,556 17 Creditors: amounts falling due wlthln one year Group 2024 Charity 2024 2023 2023 Trade creditors VAT payable Medical grants outstanding Deferred income Accruals and other creditors 1,287,575 9,685 3,505,005 3,717,112 277,572 1,193,373 10,195 2,759,980 4,316,708 293,863 451,582 10,214 3,505,005 913,843 747,174 562,826 10,196 2,759,980 1,099,705 890,311 8,796,949 8,574,119 5,627,818 5,323,018 Deferred income at 1st April 4,316,708 2,676,360 1,099,705 887,881 Amount released to income in the year (4,316,708) (2,676,360) (1,099,705) (887,881) Income received during the year 11,038,643 12,653,890 8,869,234 9,493,342 Amount released to income in the year (7,321,531) (8,337,182) (7,955,391) (8,393,637) Deferred Income at 31 March 3,717,112 4,316,708 913,843 1,099,705 18 Financial commitmentsi guarantees and contingent liabilities At the balance sheet date, the Charity had non-current contingent liabilities totalling £6m (2023: £8m) payable to its medical research centres over a five-year period. These liabilities will crystalise subject to the research centres meeting performance conditions at the annual review cycle and final Trustee approval. This is in addition to the core grant provision payable within one year of £2,090,340 (2023: £1,937,914) shown in note 5 to the accounts. This contingent liability has arisen as the Charity is now rnanaging its medical research activities on a five-year planning cycle which will enable the research centres to take a longer term, more strategic view of their activities and deliver greater impact. 32 TOMMY'S
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Notes to the financial statements Forthe year ended 31 March 2024 Restrirted funds These are donations for specific projects as directed by the donors. Funds restricted to Maternal and Fetal Health Research Centre in Manchester, the National Centre for Miscarrlage Research, National Centre for Maternity Improvement and National Centre for Preterm Birth Research are primarily used to cover staff, research costs and device and technical infrastructure development at these four Tommy's research centres. The Maternal and Fetal Health Research Centre In Manchester funds are also held for projects relating to bereavement counselling and fetal monitoring vest research and development. The National Centre for Miscarriage Research funds are also held for projects relating to pre- pregnancy endometrial tests for the predlctlon and prevention of mlscarrlage, cllnical trial platforms for miscarriage research and research Into a mlscarrlage care package. Restricted funds relating to Information services contrlbuted to the production and distributlon of a range of Tommy's resources, providing information on subjects such as the promotion of pregnancy health, management of pregnancy complications, induttion of labour and bereavement. A grant of £40,000 was awarded by the Poundland Foundation, restricted to supporting Tommy's Miscarriage Support Tool and online support services to give tailored information, advice and support to help more families brlng a healthy baby home The Department of Health and Social Care provided two grants to Tommy's In the year: •One is restrlcted to the Voluntary Community and Soclal Enterprise (VCSE) Health and Wellbeing Alllance, a partnership between sector representatives and the health and care system, which enables each sector to share its expertlse with the alm of improving services. One is restricted to the VCSE Health and Wellbelng Fund for development and promotlon of Tommy's Parenting and Pregnancy at Work programme for small and medium slzed enterprlses. The UKRI grant "Happymums" was awarded under the UK Government's Horizon Europe Guarantee. It is restricted to Tommy's contribution to the project 'Under5tanding, predicting, and treating depression in pregnancy to improve mothers, and offspring's mental health outcomes. Norgine provided funding of £7,000 to support the creation and provision of pregnancy information on induction of labour. In 2023, Tommy's received a grant from UK Research and Innovation Medical Research Charity Support Fund in the year to fund early career researchers (ECRS) working on projects acros5 Tommy's Research Centres and a grant from the Scottish Government to develop and improve miscarriage care resources for families in Scotland. 34TOMMY'S
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Notes to the financial statements For the yearended 31 March 2024 21 Subsidiary company: The Baby Fund Trading Limited The statement of financial attivities and the consolidated balance sheet include the results, assets and liabilities of the Charity's wholly owned subsidiary, The Baby Fund Trading Limlted (a company registered in England and Wales, registration number 2557706, registered at Nicholas House, 3 Laurence Pountney Hill, London, EC4R OBB), which undertakes fundraising activities on behalf of Tornmy's. The results of the subsidiary, which are consolidated on a line-by-line basis, are". 2024 2023 Turnover 226,929 (52,123) 194,795 (66,790) Cost of sales Gross profit Interest receivable Adminlstration costs 174,806 2,292 (82,082) 128,005 309 (82,857) Profit/(Loss) for the year 95,016 45,457 Retained earnings At l April Results for the year Distrlbution to Tommy's (21,507) 45,457 (23,950) 95,016 (95,016) At 31 March Balance sheet Non-current assets Current assets Current Ilabilitles 1,772 257,994 (259,764) 12,406 147,734 (160,138) Net assets Called up share capital Retained earnings Equity shareholders, funds 38TOMMY'S
Notes to the financial statements Forthe year ended 31 March 2024 22 Subsidiary company: LLHM Limited The statement of financial activities and the consolidated balance sheet include the results, assets and liabilities of the Charity's wholly owned subsidiary, LLHM Limited (a company registered in England and Wales, registration number 10584979, registered at Nicholas House, 3 Laurence Pountney Hill, London, EC4R OBB), which develops and organises fundraising events on behalf of Tommy's. The results of the subsidiary, which are consolidated on a line-by-line basts, are: 2024 2023 Turnover Cost of sales 3,120,743 (1,639,877) 2,233,203 (971,856) Gross profit 1,480,866 1,261,347 Interest receivable Administration costs 61,427 (1,011,798) 12,704 (795,506) Proflt on ordlnary activities before taxation 530,495 478,545 Taxatlon on ordinary activities Profit for the financial year 530,495 478,545 Retained earnings At l April Results for the year Distribution to Tommy's (473,662) 478,545 (4,883) 530,495 (530,495) At 31 March Balance sheet Non-current assets Current assets Current liabi lities 12,917 3,916,465 (3,929,381) 4,879,988 (4,697,538) Net assets/(liabil ities) Called up share capital Profit and loss account Equity shareholders, funds 39 TOMMY'S
Notes to the financial statements Forthe yearended 31 March 2024 23 Related party transactions Trustees made donations totalling £51,110 (2023: £51,860), none of whlch was restrirted Professor Anna Davld 15 a member of the successful bid to be Tommy's National Research Centre for Premature Birth, which has been awarded £500,000 (2023.. £421,000). The potential conflict of interest was identified before the tender process began and Professor David has recused herself from all discussions relatlng to the new research centre. During the year the Charity charged management fees of £66,195 (2023: £63,109) to The Baby Fund Trading Limited in respect of support services. The Baby Fund Trading Limited also paid Gift Aid to the Charity of £95,015 (2023: £23,950). As of 31 March 2023, The Baby Fund Trading Limited owed the Charity £252,713 (2023: £133,430). During the year the Charity charged management fees of £808,637 (2023.. £654,634) to LLHM Llmlted In respect of support servlces. LLHM Llmited charged the Charlty £530,495 (2023: £378,002) in respect of fundralsing events. As of 31st March 2023, LLHM Limited owed the Charlty £1,352,478 (2023,, £704,991). 24 Reconciliation of net movement In funds to net cash flow from operating activlties 2024 2023 Net movement in funds Add back depreciation and amortisation charge Add back loss on dlsposal of fixed asset Deduct interest Income shown in investing actlvltles Decrease/(Increase) in debtors Increase in creditors 793,236 166,088 8,333 (613,053) (194,299) 1,101,713 (1,169,966) 222,829 1,615,345 1,599,603 166,928 Net cash provided by operating activlties 1,679,146 2,017,611 40 TOMMY'S
Notes to the financial statements Forthe year ended 31 March 2024 25 Analysis of cash and cash equivalents 2024 2023 Short term deposit Cash at bank and in hand 11,062,364 5,973,523 10,618,710 4,166,084 Total cash and cash equivalents 17,035,887 14,784,794 2024 2023 Cash and cash equivalents at l April Movement 14,784,794 2,251,093 12,608,583 2,176,211 Cash and cash equivalents at 17,035,887 14,784,794 The Group had no debt durlng the current or prevlous year and therefore net funds are equal to cash and cash equivalents. 26 Analysis of Group net assets between funds Unrestricted Restricted funds funds Total 2024 Fixed assets Cash at bank and In hand Other net current liabilities 177,620 15,720,086 (7,412,859) 177,620 1,315,801 17,035,887 (7,412,859) Total 8,484,847 1,315,801 9,800,648 Analysis of Group net assets between funds - previous year Unrestricted funds Restricted funds Total 2023 Fixed assets Cash at bank and in hand Other net current liabilities 310,935 14,326,412 (6,088,317) 310,935 458,382 14,784,794 (6,088,317) Total 8,549,030 458,382 9,007,412 41 TOMMY'S
Notes to the financial statements Forthe yearended 31 March 2024 27 Analysis of Charity net assets between funds Unrestricted Restricted funds fund$ Total 2024 Fixed assets Cash at bank and in hand other net current Ila billties 175,851 11,543,814 (3,234,814) 175,851 1,315,801 12,859,615 (3,234,814) Total 8,484,851 1,315,801 9,800,652 Analysis of Charity net assets between funds - previous year Unrestricted Restricted funds funds Total 2023 Flxed assets Cash at bank and In hand other net current liabilities 285,617 11,460,874 (3,197,461) 285,617 458,382 11,919,256 (3,197,461) Total 8,549,030 458,382 9,007,412 28 Company Limited by Guarantee The company Is a company Ilmlted by guarantee and does not have share capital. In the event of winding up, the Ilablllty of each member Is Ilmlted to £10. 42 TOMMYS