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Registered Charity No: 1061384

Annual report 2022/23

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 1

	CONTENTS	CONTENTS
	Statement from the Chair ..........................Page 3
	The difference YOU make ........................Page 4
	Helping our NHS go further .....................Page 5
	The Fern Centre ...............................................Page 6
	Our hospital heroes .......................................Page 7
	Future plans ........................................................Page 9
	Our objectives and activities ................Page 10
	Reference and administration .............Page 12
	Structure, governance
	and management ........................................Page 13
	Financial overview .........................................Page 15
	Auditor’s report ..............................................Page 18
	Statement of financial activities .........Page 20
	Balance sheet ................................................Page 21
	Statement of cash flows ..........................Page 22
	Notes to the accounts ..............................Page 23

Statement from the Chair

Welcome to the first ever Annual Report and Audited Financial Statements for the newly-formed Royal Devon Hospitals Charity for the year ending 31 March 2023.

As I write, it’s a very exciting time for the Charity, as we look to publicly unite the Trust’s two hospital charities, Over and Above and the RD&E Charity, following the merger of the Royal Devon and Exeter NHS Foundation Trust and Northern Devon Healthcare NHS Trust in April 2022.

Ahead of the public launch in December 2023, a huge amount of work has been going on behind the scenes to bring the two charities together in terms of branding, processes and information governance. The Charity has welcomed new members to the team, and both the eastern and northern fundraising teams are working more closely than ever. The Charity is also strengthening its links to the Trust’s community hospitals.

While all this is happening in the background, it’s been business as usual from a fundraising perspective, with just over £2.5million raised during the last financial year. That means the Charity has been able to provide exceptional support to the Royal Devon University Healthcare NHS Foundation Trust, delivering vital funding for 20 acute, general and community hospitals, and 16 specialist health and social care services across north, mid, central and eastern Devon.

The Charity has helped fund the big things, as well as the small things that make a difference.

A total of 877 grants were issued, including £10,982 for Stargazer Sleeper chairs on Caroline Thorpe Ward at North Devon District Hospital (NDDH); £5,800 for recliner chairs for cancer patients at the Royal Devon and Exeter Hospital (RD&E); £4,298 to purchase monitors on Clyst Ward at the RD&E; and £1,093 to buy wigs for cancer patients at NDDH.

Meanwhile, our two charity shops in Barnstaple and Westward Ho! have had their best ever year of trading, raising £222,865 through sales – that’s up 37% on 2021-22 figures.

And there are ambitious plans for 2023-24 too! The Charity is launching appeals to help fund a new children’s emergency department area at the RD&E, and new birthing pools at NDDH. It also hopes to complete work on the Fern Centre garden project.

The Charity is incredibly proud of the wellbeing support that The Fern Centre continues to offer cancer patients in North Devon. In 2022-23, the centre supported 346 patients, providing invaluable access to a whole range of information, complementary therapies, counselling and support.

Underpinning all this fundraising activity are impact stories from grateful patients who have directly benefitted thanks to people putting a pound in the pot. People like cancer patient Arlette from Braunton, who told us that she doesn’t think she’d be here today without the support of the Fern Centre.

This has only been possible thanks to the extraordinary support of ordinary people across the county. From skydives to golf days and cake sales, the local community has rallied for its local hospitals in many incredible ways. Despite the current financial climate, £40,599 has been raised for the Starfish Appeal to improve facilities for young hospital patients at the RD&E, and £500,000 was donated towards the new South Molton Eye Centre.

I am incredibly proud of the staff and volunteers who champion the charity so well in the local community. Together, they’re doing brilliant things for local patients and their families when they need it the most.

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ALASTAIR MATTHEWS
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Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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The difference YOU make...

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£2,234
raised for our
HelpUsHelpYou
Fund
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£117,300
donated by North Devon
Cancer Care Centre Trust
for complementary therapy
and counselling services
in the Fern Centre
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Legacies received
in 2022/23
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£539,815
Legacy income
in 2022/23
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£2,049,000
spent in 2022/23
supporting our
NHS
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£40,599
raised for Starfish Appeal
to improve facilities for
young RD&E hospital
patients
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£46,935
raised for RD&E Children’s
Emergency Department
Appeal launched
this year
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£2,517,000
Income for
2022/23
Total income stands at £3,628,000
including £1,111,000 funds transferred
from the northern Devon charity
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£222,865
Donations from
charity shop sales
in 2022/23
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£44,004
donated by Bideford League
of Friends to fund
equipment for the Stroke
Unit at Bideford
Hospital
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Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Helping our NHS go further

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£1,093
wigs for cancer
patients at
NDDH
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£5,800
recliner chairs for
cancer patients
at RD&E
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for the Lower Limb hospitals
Therapy Service in Ottery
St Mary, Exmouth and
Axminster community
hospitals
£4,965 £3,836
equipment and Portable Monitoring
£9,977
toys for Caroline Machine for Staple
for sofas on
Thorpe ward at Ward at NDDH
NDDH maternity unit
£10,982
at RD&E
Stargazer
Sleeper chairs
at NDDH £2,900
to upgrade
Hospital Radio
studio at
RD&E
£6,122
Fern Centre £7,631
garden project refurbishments
at NDDH
at Ilfracombe
£2,495 Hospital
furniture for staff
break room at
RD&E
£40,920
£4,656 pantry at Sidmouthnew kitchen and
picnic benches Community
for staff at Hospital
NDDH
Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023 Page 5
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Page 5

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12 face to face
780 financial advice
counselling 150 appointments
appointments accommodation
72 wig fitting
bookings
appointments
309 complementary
therapy appointments
3,078 contacts 346 patients
to the centre
supported
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Wellbeing support for local cancer patients

We are incredibly proud of the support that The Fern Centre continues to offer cancer patients in North Devon in 2022-23. Opened in 2020 following a £1.5m appeal by Over and Above, the cancer and wellbeing centre at North Devon District Hospital offers invaluable access to a whole range of information, complementary therapies, counselling and support. The Charity continues to provide ongoing funding to ensure the centre is there for local people at a time when they need it the most.

3,078 contacts to the centre

346 patients supported

8 singing club workshops

36 art & craft classes 74 yoga classes

10 Look Good Feel Better sessions

"The Fern Centre has been absolutely fantastic and offered me counselling, as well as complementary therapies including massage and reiki, crystal healing workshops and mindfulness pain management sessions. I don’t think I’d still be here were it not for the Fern Centre and Terry." – Arlette Blewett, Braunton

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Our hospital heroes...

Golfers giving back

Geoff Fidler was successfully treated for prostate cancer at the Royal Devon and Exeter Hospital more than a decade ago, and again, when his cancer returned last year.

This year, as men’s captain of Exeter Golf and Country Club he’s raising money to support the oncology department that helped save his life. Together with ladies’ captain Vicki Rogers, Geoff is hoping to raise £20,000 through a series of events at the golf club.

He said: “Throughout my time in radiotherapy, I met many other cancer patients who were also being treated by the marvellous team of radiologists, and like myself, had nothing but praise and admiration for the staff who cared for us.

“I really want to give something back by raising funds to help further improve the facilities within the oncology department.”

'Miracle’ man Richard

Richard Barnes, from Ilfracombe, spent seven weeks in the intensive care unit at North Devon District Hospital and is only here today thanks to the quick-thinking, care and treatment of staff at the hospital.

He survived necrotising fasciitis, leukaemia, sepsis, a brain seizure, left leg amputation at the hip, and a stroke after walking into A&E with a sore leg in June 2018.

Richard has since raised thousands of pounds to help the hospital go even further for local patients. His fundraising challenges have included walks and cycles along the Tarka Trail.

In June 2023, he completed a one-legged walk along the coast path from Ilfracombe to Lee to celebrate his 5-year ‘ampuversary’.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Our hospital heroes...

Brave Louise bares scars

Louise Butcher has run two virtual London Marathons to support the Fern Centre at North Devon District Hospital. In October 2022, she took on the 26.2 miles just days after finishing her treatment for breast cancer. In April 2023 she made national and international news when running the distance again – this time going topless, proudly displaying the scars of her double mastectomy.

Louise, who continues to be supported by the cancer and wellbeing centre, said: “The Fern Centre has been such a lifesaver for me. It provided the connection with other people going through the same thing, and the opportunity to talk to people like counsellors.

Even a little thing like a massage, just to make you feel a bit better when you’ve been through horrendous things can make a massive difference.”

Louise is not only doing incredible things to help normalise the scars of mastectomies, she is raising vital awareness and thousands of pounds for the Fern Centre, which offers cancer patients in North Devon free access to information, complementary therapies and counselling.

Louise continues to support the Royal Devon Hospital Charity as a volunteer ambassador and will be taking her fundraising to new heights when she does a skydive later this year.

School's 'crazy hair' day for Sue

When primary school project coordinator Sue Manley returned to work in June 2023 after many months of cancer treatment, she visited each class to explain to the children why she had no hair.

Sue has worked at Orchard Vale Community School in Barnstaple since it opened in 1999 and was diagnosed with endometrial cancer in November 2022.

She has undergone chemotherapy at North Devon District Hospital, following a hysterectomy and radiotherapy at the Royal Devon and Exeter Hospital.

Pupils decided to welcome Sue back and normalise her hair loss by holding a ‘Crazy Hair Day’ in aid of the Fern Centre, which is supporting Sue.

In July, Sue visited the Fern Centre with some of the staff and pupils to present a cheque for £1,243.70. Pupils were given a tour of the cancer and wellbeing centre and told more about how the centre is supporting Sue.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Future Plans REVENUE BY STORE

RD&E Children’s Emergency Department Appeal

We’ve launched a £250,000 appeal to help fund a world-class children’s emergency department (ED) area at the Royal Devon and Exeter Hospital’s (RD&E). The plans are part of a multi-million-pound transformation of the ED by the Royal Devon University Healthcare NHS Foundation Trust, which started in March 2021 and is due to be completed in September 2024.

We want to create a calm and welcoming space for more than 35,000 young patients who visit ED each year. It will have a separate reception and larger waiting area, with colourful wall art, bespoke comfortable seating and ‘sky’ ceiling panels, as well as child-friendly interactive equipment, including USB charging points. It will also feature paediatric bays and a new Paediatric Assessment Unit (PAU),

The funding mean children and young people needing urgent medical attention will no longer have to sit alongside adults in an often-cramped waiting room at what can be a scary and upsetting time for families.

Water Babies Appeal

Fern Centre Garden Project

Work continues to complete a £75,000 landscaping project at the Fern Centre. Hedges, paths and potting shed are now in, and we’re hoping to complete the project with some soft landscaping, raised beds and seating very soon. Once it’s finished, the garden will be a wonderful outside haven at the cancer and wellbeing centre for patients to be able to enjoy.

We’re hoping to raise £50,000 for two new birthing pools in the maternity unit at North Devon District Hospital. The existing pools at the hospital are now more than 30 years old and in desperate need of replacement.

With more than 1,000 babies born at the hospital every year, we want to be able to offer mothers the best possible experience and the choice of being able to birth their babies in water.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Our Objectives and Activities

When two become one...

2023 marks an exciting year for the charity as we look to unite the Trust’s hospital charities, Over and Above and the RD&E Charity, following the merger of the Royal Devon and Exeter NHS Foundation Trust and Northern Devon Healthcare NHS Trust in April 2022.

We'll be launching Royal Devon Hospitals Charity in December 2023. The Charity’s new name and branding concept has been approved by the Trust’s Charity Sub-Committee after receiving positive feedback from staff, volunteers, patients and public.

It’s a big project for a small team but we’ve been fortunate to have secured a £60k grant from NHS Charities Together to make it possible.

And while the public face of the Charity has been receiving lots of TLC, a huge amount of work has also been going on behind the scenes to bring the two charities together.

Lots of work has also been done to bring the eastern and northern fundraising teams closer together, with the sharing of ideas, support and successes helping to strengthen and motivate a more united team.

Together, we can do brilliant things for our local hospitals. Expert medical care …every day, every night, every patient, every condition, every ward, every step of the way.

Our Objectives

The Charity has the following objective:

“For any charitable purpose and purposes relating to the National Health Service.”

The funds relating to specific wards and departments include objectives relevant to those wards and departments. The objectives of funds relating to research include education and investigation into the causes, prevention, treatment and cure of sickness and disability.

The overall policy of the Charity is to provide support to the Royal Devon

University Healthcare NHS Foundation Trust by the following means:

Patients’ expenditure - p urchase of small equipment and the provision of services and facilities not normally provided by, or in addition to, the normal NHS provision.

Staff expenditure - a) motivation of staff, by improving staff facilities and by providing services that improve staff wellbeing, b) education of staff by providing education over and

above that normally provided by ........the Trust.

Capital equipment - purchase of equipment in addition to that normally provided by an NHS trust.
Research expenditure - resources to allow staff to undertake noncommercial research and educational activities.

The objectives of each of the individual funds state whether the use of the fund is for patients, staff, and provision of equipment or research.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Our Objectives and Activities

Roya l Devon University Healthcare NHS Foundation Trust Profile

The Royal Devon University Healthcare NHS Foundation Trust was established in April 2022, bringing together the expertise of both the Royal Devon and Exeter NHS Foundation Trust and Northern Devon Healthcare NHS Trust.

Stretching across Northern, Eastern and Mid Devon, the Trust has a workforce of over 15,000 staff, making it the largest employer in Devon. Its core services, provided for more than 615,000 people, cover more than 2,000 square miles across Devon, while some of its specialist services cover the whole of the peninsula, extending its reach as far as Cornwall and the Isles of Scilly.

The Trust delivers a wide range of emergency, specialist and general medical services through North Devon District Hospital in Barnstaple and the Royal Devon and Exeter Hospital in Wonford. Alongside the two acute hospitals, the trust provides integrated health and social care services across a variety of settings including community inpatient hospitals, outpatient clinics, and within people’s own homes. The Trust also offers primary care services, a range of specialist community services, and Sexual Assault Referral Centres (SARC).

Both acute hospitals are renowned for their research, innovation and links to universities.

In 2004, the Royal Devon and Exeter NHS Foundation Trust was one of the first Trusts nationally to achieve NHS Foundation Trust status. This means that the Trust is directly accountable to local citizens through its Members and Governors. This enables the Trust to connect more closely to the people and communities we serve and are better able to respond to local needs

Commitment to the highest standards

The Charity adheres to the NHS Safeguarding policies of the Royal Devon University Healthcare NHS Foundation Trust and a safeguarding declaration can be found online on the following link:

www.rdehospital.nhs.uk/aboutus/publications/declarations

Donors to our Charity can be assured that we comply with the regulatory standards for fundraising. We are registered with the Fundraising Regulator and are committed to the Fundraising Promise and adherence to the Code of Fundraising Practice. The head of our in-house Fundraising Team is a member of the Chartered Institute of Fundraising.

Our fundraising efforts includes encouraging donations and gifts i n

wills, applying for grants, running events and operating raffles.

We plan to use third-party suppliers to help us raise funds particularly where we do not have the expertise in-house, such as using external lottery management companies. We have safeguards in place when working with suppliers, including requiring them to confirm that they comply with the Code of Fundraising Practice, so that we protect our supporters and the reputation of our Charity.

Our relationship with our supporters is very important to us and we monitor feedback and take complaints seriously. When we receive a complaint, we endeavour to resolve it quickly, fairly and effectively. We can continue to improve the services we provide by listening and responding to the views of our supporters, partners and stakeholders and by responding positively to complaints. Our website outlines our complaints policy for the public and clearly explains how an individual can complain. We have received no complaints during 2022/23. If the Charity receives a complaint this is dealt with using our Management of Complaints, Concerns, Comments and Compliments policy and acknowledged within 3 working days. A copy of this policy can be requested from the Charity.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Reference and Administration

Reference and Administration	Reference and Administration	Reference and Administration
Registered Charity Number 1061384
Registered Charity Number	1061384


Address of Charity	Royal Devon University Healthcare NHS Foundation Trust Charity Newcourt House Old Rydon Lane Exeter EX2 7JU

Corporate Trustee The Royal Devon University Healthcare NHS Foundation Trust (formerly known as Royal Devon and Exeter NHS Foundation Trust) is the Corporate Trustee of the Royal Devon University Healthcare NHS Foundation Trust Charity. The Executive and Non-Executive directors who served the Royal Devon University Healthcare NHS Foundation Trust are as follows:	Dame S Morgan Mrs C Burgoyne MBE Professor J Kay CBE Professor B Kent Mr S Kirby Professor M Marshall Mr A Matthews Professor YT McIntyre-Bhatty Mr T Neal Mr K Orford Mrs H Foster Professor A Harris Mrs A Hibbard Mrs C Mills Mr J Palmer Mr P Roberts Mr C Tidman Mrs S Tracey Chair (appointed 1 April 2022) Non-Executive Director Non-Executive Director (term ended 31 March 2023) Non-Executive Director Non-Executive Director Non-Executive Director (appointed 28 November 202 Non-Executive Director Non-Executive Director (appointed 1 November 2023 Non-Executive Director (appointed 1 April 2022) Non-Executive Director (resigned 30 June 2022) Chief People Officer Chief Medical Officer Chief Finance Officer Chief Nursing Officer Chief Operating Officer Interim Chief Executive (appointed 20 September 202 Deputy Chief Executive Chief Executive (resigned 11 July 2023)	2) ) 3)


Bankers	Bank of Scotland 33 Old Broad Street London



Investment Managers	Brewin Dolphin Vantage Point Woodwater Park Pynes Hill Exeter
	EX2 5FD


Independent Auditor	KPMG LLP Chartered Accountants 66 Queen Square Bristol

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Structure, Governance and M an agement

The Charity was created by Trust Deed on the 19th March 1997 and was named the Royal Devon and Exeter Healthcare NHS Trust General Charity.

On the 3rd August 2004 the Charity was renamed as the Royal Devon and Exeter NHS Foundation Trust General Charity (the “Charity”), reflecting the Royal Devon and Exeter NHS Foundation Trust’s foundation status.

On the 1st April 2022 the Royal Devon and Exeter NHS Foundation Trust and the Northern Devon Healthcare NHS Trust merged their operations, assets and liabilities into one single new Trust. The new name for the combined organisation is Royal Devon University Healthcare NHS Foundation Trust.

The Charity took on the assets and liabilities of the Northern Devon Charity (Charity number 1051463) on 1st April 2022, and the Northern Devon Charity was dissolved. To reflect the new name of the Trust, the Charity’s name has been changed to Royal Devon University Healthcare NHS Foundation Trust Charity. The Charity’s objectives have been amended to “for any charitable purpose and purposes relating to the National Health Service”. It is

intended that donors will still be able to express a preference as to which particular service they wish their donation to benefit.

The Accounts and Annual Report are for the year to 31 March 2023. The comparative figures in the Accounts relate to the Royal Devon and Exeter NHS Foundation Trust General Charity only.

The Corporate Trustee (the “Trustee”) is the Royal Devon University Healthcare NHS Foundation Trust (the “Trust”), and the Executive Directors and Non-Executive Directors of the Board of Directors share responsibility to ensure that the Trust fulfils its duties as Trustee.

The Trust’s Chair and Non-Executive Directors are appointed by the Trust’s Council of Governors (the “COG”) acting on the recommendation of the Nominations Committee, which is a committee of the COG. Prior to the appointment of a Non-Executive Director, the Board of Directors undertake a review of the ‘Policy for the Composition of Non-Executive Directors on the Board’ to ensure the necessary mix of skills and experience on the Board is achieved.

Executive Directors are appointed in accordance with the Trust’s constitution. The Non-Executive Directors select the Chief Executive Officer and the appointment is ratified by the COG. A committee of the Chair and Non-Executive Directors appoints the Executive Directors.

A Charity Sub-Committee has been established to oversee the operation of the Charity on behalf of the Board

of Directors in its role as Corporate Trustee. Its purpose is to give assurance to the Board of Directors that charitable funds are managed and operated in accordance with the governing documents and comply with relevant legislation and guidance from the Charity Commission for England and Wales. The Charity Sub-Committee makes recommendations, as agreed at its meetings, to the Board of Directors as the Corporate Trustee, for its approval or otherwise.

The Chief Financial Officer has delegated authority for the day to day management and control of the administration of the Charity.

The Charity has one linked charity, the Common Investment Fund, which has capital restrictions.

The funds held under the Common Investment Fund are classified as restricted income funds. The funds relating to particular wards and departments are also treated as restricted income funds if the donor has specified that the funds should be used for a particular purpose. Funds where the donor has expressed a desire that the donation be spent in a certain way, but has acknowledged that no trust is created, are classified as

"We are so very grateful to have been able to use the Fern Centre. The Fern Centre should be held up as an example of what can be achieved and should be supported and applauded"

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Structure, Governance and Management

unrestricted, designated. The remaining funds held by the Charity are classified as unrestricted income funds, i.e. general funds.

excess of income over expenditure for that period. In preparing these financial statements, generally accepted accounting practice entails that the trustee:

The Trustee is required to act in accordance with the Trust Deed and the rules of the Charity, within the framework of trust law.

The funds relating to particular wards and departments are managed on a day to day basis by fund holders, normally the ward/departmental manager.

It is responsible for keeping proper accounting records sufficient to disclose at any time, with reasonable accuracy, the financial position of the Charity at that time, and to enable the Trustee to ensure that, where any statements of accounts are prepared by them under section 132(1) of the Charities Act 2011, those statements of accounts comply with the requirements of regulations under that provision.

Select suitable accounting policies and then apply them consistently.
Make judgements and estimates that are reasonable and prudent.

Trustee induction and training

State whether applicable UK Accounting Standards and the Statement of Recommended Practice have been followed, subject to any material departures disclosed and explained in the financial statements.

As part of their induction new members of the Corporate Trustee are made aware of their responsibilities.

It is responsible for such internal control as it determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error, and has general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the Charity and to prevent and detect fraud and other irregularities.

Statement of Trustee’s responsibilities

State whether the financial statements comply with the Trust Deed and rules, subject to any material departures disclosed and explained in the financial statements.

Under the Trust Deed and rules of the Charity and charity law, the Trustee is responsible for preparing the Trustee’s Annual Report and the financial statements in accordance with applicable law and regulations. The Trustee has elected to prepare the financial statements in accordance with UK Accounting Standards, including FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland.'

Assess the Charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern.

The Trustee is responsible for the maintenance and integrity of the financial and other information included on the Charity’s website. Legislation in the UK governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Use 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.

The financial statements are required by law to give a true and fair view of the state of the Charity and of the

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Financial overview

The net assets of the Charity as at 31 March 2023 are £5,142,000 including £1,111,000 taken on from the Northern Devon Charity as at 1 April 2022. In the year there was an increase in income and in expenditure for the enlarged Charity.

Total income for the year was £3,628,000 including £1,111,000 representing the funds transferred from the Northern Devon Charity.

Significant donations in 2022/23 included £500,000 from South Molton League of Friends to fund an ophthalmology treatment hub. Legacies received in 2022/23 included £432,000 to purchase equipment for North Devon District Hospital.

Total resources expended in the year were £2,049,000.

Some examples of what we have purchased can be found in this report under the heading “Helping our NHS go further”. The charity strives to maintain its fundraising activities in support of future projects and continues its commitment to make appropriate use of charitable funds.

Departmental & Ward Funds

There are around 200 departmental and ward funds; these funds are used specifically in the designated area for the benefit of patients and staff.

Staff expenditure is used to enhance staff training and education, thereby promoting efficient performance of their duties and development of staff skills, with support also given to team building activities.

Where funding is not available from capital funds, the Charity supports the Trust’s equipment and building purchasing programme. During the year, the Charity made grants to purchase equipment and to contribute towards other capital schemes

Fourteen grants were made, the largest of which was £500,000 for the ophthalmology treatment hub.

General Funds

The income received in these funds is not specific with regard to department or ward and may be used more generally across the Trust.

General funds include an overall “General Fund”, the “Patients’ Fund”, and the “Nurses’ Comfort Fund”.

The General Fund may be used to support charitable expenditure that is relevant to the Trust as a whole.

Donations from other Charities

The Royal Devon University

Healthcare NHS Foundation Trust is extremely grateful for the generous donations received from other Charities. These donations have been used to fund a number of purchases.

£500,000 was received from South Molton League of Friends to fund an ophthalmology hub. North Devon Cancer Care Centre Trust made grants of £117,300 to support complementary therapies and counselling at the Fern Cancer Centre in North Devon. Exeter Leukaemia Fund (ELF) donated £20,447 to purchase an ultrasound machine, Ottery St Mary League of Friends donated £15,000 to purchase a transducer probe.

Axminster League of Friends donated £6,975 to purchase a patient flat lift kit, and Exmouth League of Friends donated £5,334 to purchase porter chairs.

The National Lottery also made grants of £105,528 as part of a 3-year programme supporting the running of the Fern Centre. Donations were received for the Fern Centre garden project of £10,000 from Bideford Bridge Trust, £5,000 from the B&Q Foundation and £4,000 from North Devon Councillors Community Grant and the Co-op Local Community Fund. Tesco Every Little Helps awarded £5,000 to the Caroline Thorp Children’s Ward for sensory equipment

£190,000 in grants has been received from the NHS Charities Together Charity.

The funds benefit patients through purchasing supplementary or complementary equipment or services, which the Trust is not normally able to provide through exchequer funds. Examples of this include providing musical therapy at Mardon Neuro-Rehabilitation Centre, and holidays for terminally ill children and their families.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Financial overview

Investment Trust

The Charity became responsible for an Investment Trust fund of £104,000 in May 2017 as part of the transfer of charitable funds for the twelve Community Hospitals that were previously administered by Northern Devon Healthcare NHS Trust.

The Investment Trust fund, now valued at £123,000, relates to a Trust administered by a firm of solicitors with annual interest payments being made to the Charity’s Sidmouth Hospital Fund.

Contribution of Volunteers

The Trustee of the Charity is extremely grateful to the volunteers who help support front line staff. These volunteers work in diverse areas such as guiding patients around the hospital, and assisting the chaplaincy service. Volunteers are also involved with affiliated charities such as RVS, FORCE Cancer Charity, the Exeter Leukaemia Fund (ELF), Hospital Radio Exeter and the League of Friends.

Public benefit statement

The Trustee has complied with its duty under the Charities Act 2011 to have due regard to public benefit guidance published by the Charity Commission. To identify and respond to the needs of the intended beneficiaries of the Charity, individual wards and departments have been granted authority over the use of their charitable funds, so long as any

and all expenditure falls within the overall objective of the Charity.

obesity, the ethical investment policy also limits investment within the food producing, travel and leisure and retail sectors to those companies which are committed to addressing the societal impacts of their services relating to reducing obesity, alcohol misuse and promoting healthy food habits.

The delegated authority ensures that those closest to the intended beneficiaries are able to directly influence and develop the Charity to meet the needs of its beneficiaries.

Investment Policy

The performance of the investments is reviewed on a quarterly basis in comparison with suitable benchmarks.

The Charity’s investment powers are determined by the Trust Deed, which gives the Trustee a general power of investment, subject to a restriction that no speculative or hazardous investments be made. Specifically, futures or traded options are not allowed. The Trustee has also excluded direct investment in property, although investment via collective schemes is permitted.

The Trustee has appointed Brewin Dolphin Ltd to manage the Charity’s investments on a discretionary basis. The method of investing is the direct purchase of the underlying assets to create a bespoke portfolio of investments.

The Northern Devon Charity held its investments with Barclays Investment Managers. The majority of these investments were transferred over to Brewin Dolphin by 31 March 2023.

The investment policy is reviewed at least annually or more frequently if required. The Charity’s investment objective is to maintain and, if possible, enhance the real value of the reserves represented by its investments, while producing an income. The risk profile is to provide a diversified return, subject to a balanced degree of risk as agreed with the Investment Managers.

The performance of the investments, in comparison to their benchmark is:

Investments held with Brewin Dolphin investment managers. Performance on a Total Return basis (1 April 2022 to 31 March 2023)

The Charity’s ethical investment policy excludes companies that derive more than 5% of their revenue from tobacco, armaments, alcohol or gambling, or 3% from strategic military arms or pornography, and any involvement in land mines or cluster munitions.

from strategic military arms or Charity Index -2.1% pornography, and any involvement in -1.8% land mines or cluster munitions. Investment Risk portfolio In line with the Charity’s wish to avoid return Category investing in companies with a high 6 – balance (gross of fees) exposure to unhealthy foods linked to

Where we spent our funds

Raising funds - 24%

Capital equipment and contributions towards capital schemes - 38%

Patient welfare and amenities - 15%

Staff training, development and welfare - 21%

Medical research - 2%

----- Start of picture text -----
2
24
21
15
38
----- End of picture text -----

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 16

Financial overview

Reserve Policy

The Charity has a formal policy approved by the Trustee regarding the holding of reserves.

The Trustee wishes to provide grants to the Trust for the benefit of the community that it supports. Grants are only given to the level of resources available from unrestricted and restricted funds, and are awarded to enhance the patient experience by improving the environment and facilities, purchasing equipment, and supporting staff development and wellbeing.

The purpose of holding reserves is to substitute for income that has not been generated. The Trustee has considered the appropriate level of reserves for the Charity considering forecast levels of income and expenditure and the likelihood and consequences of these requirements not being met. The Trustee is of the opinion that to safeguard the continuing work and commitments of the Charity the level of reserves should equate to 3 months of the total relevant resources due to be expended.

Forecast expenditure has been extracted from the accounts for the period ending 31 March 2023 and forecasting activities:

Cost	3 Month Period
	£’000
Charity Shops	£54
Cancer and Wellbeing Centre	£30
Governance	£10
Support Cost	£17
Cost of Fundraising	£71
3 month reserve	£182

As at the 31 March 2023 the Charity had sufficient unrestricted funds to meet the reserve requirement.

The Charity has two charity shops and has future plans to open a third shop.

The objective is to raise unrestricted funds in support of the Trust. The Charity has acquired annual leases for the shop premises incurring a total exit cost liability of £20,500. It has been forecast the shop running cost liability for a 3 month period will not exceed £27,000.

During 2020 the Northern Devon Charity opened the new Cancer and Wellbeing centre, now named the Fern Centre. The Charity has raised funds to build the centre to provide over-night accommodation and support services to patients and their families.

Grant Making Policy

This year the Charity made grants of £1,468k, excluding support costs of £322k. The Charity awards grants in the following areas on an ad-hoc basis, and in accordance with the objectives of the individual funds. The grants policy is summarised as follows:

Grants to the NHS for the purchase of capital assets - The needs of the relevant hospital departments are assessed and grants are awarded in the circumstances where the NHS would not normally provide equipment and where there is a benefit to patients in the provision of the equipment.

Grants to other research institutions - Grants are made on an ad-hoc basis to other local research institutions where elements of research cannot be carried out within the hospital or where there are joint funding arrangements.

Grants to individuals - In certain cases of hardship or severe illness, small grants will be made on an ad-hoc basis to patients and/or relatives. Although grants must be approved by a fund manager, the basis of an assessment may be conducted by either the relevant fund manager or by other staff involved in the case.

Charity Risk Management Policy

The Trustee has drawn up a risk management policy for the Charity. This policy details the process to be followed in identifying risks and controls, assessing risks and evaluating the actions required. This information is consolidated onto the Charity’s Risk Register.

The Charity’s Risk Policy is reviewed on an annual basis and the Trustee reviews any new risks identified during the year on an ongoing basis.

The Trustee is satisfied that appropriate systems and procedures are in place to manage risk.

A Big Thank You

On behalf of the staff and patients who have benefited from improved services due to the donations and legacies received, the Trustee would like to thank patients and their relatives, staff and everyone who have made charitable donations.

Approved on behalf of the Corporate Trustee.

Chris Tidman, Deputy Chief Executive, 29th November 2023.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 17

Auditor's Report

Independent auditor’s report to the Trustees of Royal Devon University Healthcare NHS Foundation Trust Charity

Going concern

The Trustee has prepared the financial statements on the going concern basis as it does not intend to liquidate the charity or to cease its operations, and it has concluded that the charity’s financial position means that this is realistic.

We have audited the financial statements of Royal Devon University Healthcare NHS Foundation Trust Charity (“the charity”) for the year ended 31 March 2023 which comprise the Statement of Financial Activities, Balance Sheet, Statement of Cash Flows and related notes, including the accounting policies in note 1.

It has 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 opinion the financial statements:

In our evaluation of the Trustee’s 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:

Give a true and fair view of the state of the charity’s affairs as at 31 March 2023 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.
We consider that the Trustee’s use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Have been properly prepared in accordance with the requirements of the Charities Act 2011.
We have not identified, and concur with the Trustee’s 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.

B asis for opinion

We have been appointed as auditor under section 144 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.

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

We believe that the audit evidence we have obtained is a sufficient and appropriate basis for our opinion.

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:

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.

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.

On this audit we did not identify a fraud risk relating to revenue recognition because of the limited opportunity for fraud due to the simplistic nature of revenue. 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.

We also performed procedures including:

Identifying journal entries to test based on risk criteria and comparing the identified entries to supporting documentation. These included screening for unusual or unexpected account combinations with cash, though none were required to be tested.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 18

Identifying and responding to risks of material misstatement due to noncompliance 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 (including related Charities legislation), distributable profits legislation and taxation 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 nondetection 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 noncompliance or fraud and cannot be expected to detect non-compliance with all laws and regulations.

Other information

The Trustee is responsible for the other information, which comprises the Trustee’s 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.
In our opinion, the information given in the Trustee’s Annual Report is inconsistent in any material respect with the financial statements.

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.
The financial statements are not in agreement with the accounting records.
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 14, the Trustee is 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 Trustee 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 Trustee, as a body, for our audit work, for this report, or for the opinions we have formed.

Jonathan Brown for and on behalf of KPMG LLP, Statutory Auditor Chartered Accountants

KPMG LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006.

66 Queen Square, Bristol, BS1 4BE

8 December 2023

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 19

Statement of Financial Activities for the year ended 31 March 2023

S fo	tatement r the year en	tatement r the year en	of Financia ded 31 March	of Financia ded 31 March	of Financia ded 31 March	of Financia ded 31 March	l Activities 2023	l Activities 2023	l Activities 2023
		No	tes	Unrestricted funds £000	Restricted funds £000	En fu £0	dowment nds 00	Total funds 2022/23 £000	Total funds 2021/22 £000
Inc	ome and endowments from:
Don	ations and legacies	2		911	1,266	-		2,177	799
Inve	stments	3		37	61	-
								98	71

Rec Hea	eived from Northern Devon lthcare NHS Charitable Fund	4		466	610	35		1,111	-
Tra	ding activities	5		230	-	-		230	-

Oth	er Charitable activities	6		11	1	-		12	-
Tot	al income and endowments			1,655	1,938	35		3,628	870
Exp	enditure on:
Rai	sing funds	8		308	181	-		489	18
Cha	ritable activities:	9
Cap tow	ital equipment and contributions ards capital schemes			9	783	-		792	187
Pati	ent welfare and amenities			81	218	-		299	110
Sta	ff training, development and welfare			154	284	-		438	194
Me	dical research			1	30	-		31	56
Tot	al resources expended			553	1,496	-		2,049	565
Net	losses on investments			(43)	(124)	(6)		(173)	117
Tra	nsfers between funds			(12)	12	-		-	-
Net	movement in funds			1,047	330	29		1,406	422
Rec	onciliation of funds:
Tot	al funds brought forward			836	2,672	22	8	3,736	3,314
Tot	al funds carried forward	16		1,883	3,002	25	7	5,142	3,736
All op Co	gains and losses recognised in the year a erations. There is no material difference b		re included in the statement of financial a etween the surplus for the financial year				ctivities and relate to continuing and its historical cost equivalent.
	mparative figures for the Statement of Fi		nancial Activities for the year ended 31 Ma				rch 2022 are shown in note 17.

All gains and losses recognised in the year are included in the statement of financial activities and relate to continuing operations. There is no material difference between the surplus for the financial year and its historical cost equivalent.

Comparative figures for the Statement of Financial Activities for the year ended 31 March 2022 are shown in note 17.

The notes on pages 23 to 32 form part of these accounts.

Page 20

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Balance Sheet

as at 31 March 2023

	Notes	Unrestricted funds £000	Restricted funds £000	Endowment funds £000	Total funds 31 March 2023 £000	Total funds 31 March 2022 £000
Fixed assets
Investments	14	314	2,696	134	3,144	2,768
Investment Trust	14	-	-	118	118	119
Total fixed assets		314	2,696	252	3,262	2,887
Current assets
Investment Trust	14	-	-	5	5	5
Debtors	11	17	93	-	110	141
Cash at bank and in hand		1,625	384	-	2,009	752
Total current assets		1,642	477	5	2,124	898
Liabilities:
Creditors: amounts falling due within one year	12	73	171	-	244	49
Net current assets		1,569	306	5	1,880	849
Total net assets		1,883	3,002	257	5,142	3,736
The funds of the Charity
Endowment funds	15	-	-	257	257	228
Restricted income funds	15	-	3,002	-	3,002	2,672
Unrestricted income funds	15	1,883	-	-	1,883	836
Total Charity funds		1,883	3,002	257	5,142	3,736

The accounts were approved by the Corporate Trustee on 29 November 2023 and signed on its behalf by:

Chris Tidman, Deputy Chief Executive, 29th Novembe r 2023

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 21

Statement of Cash Flows for the year ended 31 March 2023

----- Start of picture text -----
Unrestricted Restricted Endowment Total funds Total funds
funds funds funds 2022/23 2021/22
£000 £000 £000 £000 £000
-
Cash flows from operating activities:
Net cash provided by operating activities 983 191 - 1,174 115
-
Cash flows from investing activities:
Dividends, interest and rents from investments 28 55 - 83 71
Net cash provided by investing activities 28 55 - 83 71
Change in cash and cash equivalents 1,011 246 - 1,257 186
in the reporting period
Cash and cash equivalents at the beginning of 614 138 - 752 566
the reporting period
Cash and cash equivalents at the 1,625 384 - 2,009 752
end of the reporting period
----- End of picture text -----

Reconciliation of net income to net cash flow from operating activities

	Unrestricted funds £000	Restricted funds £000	Endowment funds £000	Total funds 2022/23 £000	Total funds 2021/22 £000
Net income for the reporting period (as per the Statement of Financial Activities)	1,047	330	29	1,406	422
Adjustments for:
Loss / (gain) on investments	43	124	6	173	(117)
Investments received from Northern Devon Charitable Fund	(197)	(323)	(35)	(555)	-
Investment management fees	10	12	-	22	18
Dividends, interest and rents from investments	(37)	(61)	-	(98)	(71)
Decrease / (increase) in debtors	56	(25)	-	31	(134)
Increase / (decrease) in creditors	61	134	-	195	(3)
Net cash provided by operating activities	983	191	-	1,174	115

Analysis of cash and cash equivalents

	Unrestricted funds £000	Restricted funds £000	Endowment funds £000	Total funds 31 March 2023 £000	Total funds 31 March 2022 £000
Cash at bank and in hand	1,625	384	-	2,009	752
Total cash and cash equivalents	1,625	384	-	2,009	752

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 22

Notes to the Accounts

funds include designated funds, where the donor has made known their non binding wishes or where the Trustee, at its discretion, has created a fund for a specific purpose.

1. Accounting policies

1.1 Basis of preparation - The accounts have been prepared under the historical cost convention, with the exception of investments which are included at their fair value, and the accounting policies have been consistently applied. The financial statements have been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK (FRS102) effective from 1 January 2015, and applicable UK Accounting Standards (FRS102) and the Charities Act 2011.

1.3 Incoming resources - All incoming resources are recognised once the Charity has entitlement to the resources, it is probable that the resources will be received and the monetary value of incoming resources can be measured with sufficient reliability.

1.4 Incoming resources from legacies - Legacies are accounted for as incoming resources either upon receipt or when receipt is probable; this will be once there has been a grant of probate, the executors have confirmed that there are sufficient assets in the estate after settling liabilities to pay the legacy and all conditions attached to the legacy are within the control of the Charity or have been met.

The financial statements have been prepared on a going concern basis which the Trustee considers to be appropriate because the business model of the Charity limits its charitable activities to those where it has sufficient funds to support from the excess of funding received over the costs of administering the Charity. The Charity has no specific commitments

Material legacies which have been notified but not recognised as incoming resources in the Statement of Financial Activities are disclosed in Note 13 to the accounts with an estimate of the amount receivable.

above the funding available to it.

Consequently, the Trustee is confident that the Charity will have sufficient funds to continue to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements.

1.5 Resources expended and irrecoverable VAT - All expenditure is accounted for on an accruals basis and is recognised when a legal or constructive obligation arises, resulting in a payment being unavoidable.

1.2 Funds structure - Where there is a legal restriction on the purpose to which a fund may be put, the fund is classified either as an endowment fund, where the donor has expressly provided that only the income of the fund may be applied, or as a restricted income fund where the donor has requested the donation to be spent in furtherance of a specified charitable purpose.

Irrecoverable VAT is charged to the relevant expenditure category.

1.6 Taxation - The Charity is a registered charity, and as such is entitled to certain tax exemptions on income and profits generated from investments, and surpluses on any trading activities carried on in the furtherance of the Charity's primary objectives, that are applied solely for 27 charitable purposes.

Unrestricted income funds comprise those funds which the Trustee is free to use for any purpose in furtherance of the charitable objects. Unrestricted

1.7 Recognition of liabilities for grants payable - Grants payable are

payments made to a related party or third party NHS bodies and non NHS bodies in furtherance of the charitable objects of the funds. They are accounted for on the accrual’s basis where the conditions for their payment have been met or where the recipient has a reasonable expectation that they will receive the grant.

1.8 Allocation of support costs - The Charity incurs administrative (overheads, administrative and governance costs) and external audit costs that are not wholly attributable to charitable activities. The support costs are apportioned to charitable activities and the basis for the apportionment is disclosed in Note 7.

1.9 Costs of raising funds - The costs of generating funds consists of investment management costs, costs of all fundraising activities and events, shop costs and the cost of seeking donations, grants and legacies.

1.10 Charitable activities - Costs of charitable activities comprise all costs incurred in the pursuit of the objects of the Charity. These costs comprise direct costs and an apportionment of support costs as shown in Note 9.

1.11 Fixed asset investments - Investments are stated at the market price as at the balance sheet date. The statement of financial activities includes the net gains and losses arising on the revaluation as at the end of the financial period and on disposals throughout the year.

Realised gains and losses on investments are calculated as the difference between sales proceeds and the valuation from the previous financial year end or the purchase price if purchased during the current financial year. Unrealised gains and losses are calculated as the difference between opening market value (or purchase price if purchased during the year) and the market value at the year end.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 23

Notes to the Accounts

2. Income from donations and legacies

----- Start of picture text -----
Unrestricted
Restricted funds 2022/23 2021/22
funds
£000 £000 £000
£000
Donations 480 1,157 1,637 473
Legacies 431 109 540 326
911 1,266 2,177 799
----- End of picture text -----

3. Investment income

----- Start of picture text -----
|||| |---|---|---| |2022/23|2021/22| |£000|£000| |Quoted investments (fixed asset investments)|95|71| |Bank interest|3|-| |98|71|

----- End of picture text -----

4. Income received from Northern Devon Healthcare NHS Charitable Fund

On 1 April 2022, the Royal Devon and Exeter NHS Foundation Trust acquired the assets and business of the Northern Devon Healthcare NHS Trust forming the Royal Devon University Healthcare NHS

Foundation Trust through merger by Commission website to reflect these acquisition. The Charity took on the changes. The comparative figures assets and liabilities of the Northern are for the Royal Devon and Exeter Devon Charity on 1 April 2022, and NHS Foundation Trust General changed its name to Royal Devon Charity only. University Healthcare NHS Foundation Trust Charity. The merger 68 funds with a value of £1,111,000 of the two charities was included in were transferred. The funds received the Charity Commission Register of consisted of £610,000 of restricted Mergers, and the Charity's details funds, £466,000 of unrestricted funds have been updated on the Charity and £35,000 of endowment funds.

68 funds with a value of £1,111,000 were transferred. The funds received consisted of £610,000 of restricted funds, £466,000 of unrestricted funds and £35,000 of endowment funds.

5. Income from trading activities

----- Start of picture text -----
|||| |---|---|---| |2022/23|2021/22| |£000|£000| |Income from shops|227|-| |Other trading income|3|-| |230|-|

----- End of picture text -----

6. Income from other charitable activities

----- Start of picture text -----
|||| |---|---|---| |2022/23|2021/22| |£000|£000| |Fern Centre accommodation income|4|-| |Income from courses|7|-| |Other income|1|-| |12|-|

----- End of picture text -----

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 24

Notes to the Accounts

7. Allocation of support costs and overheads

The Charity does not have employees. The administrative and governance costs of operating the Charity are incurred by the Trust and recharged to the Charity. Administrative and governance costs are apportioned between the charitable activities based upon expenditure incurred by each activity. However, for apportionment purposes the expenditure relating to the purchase of capital equipment and contributions towards capital schemes is restricted to a maximum of £100,000. It is considered that without including this restriction the weighting of the apportionment to this category would be too high.

Allocation and apportionment to support costs

	Basis of apportionment	2022/23 £000	2021/22 £000
Administrative and governance costs	Allocated on time	384	56
External audit	Allocated on time	7	5
		391	61

8. Raising Funds

The costs of generating funds include salary costs, rental and other running costs relating to two shops that were transferred to the Charity from Northern Devon Healthcare NHS Charitable Fund per note 4.

Direct Costs £000	Support costs £000	2022/23 £000	2021/22 £000
172	299	471	-
18	-	18	18
190	299	489	18

9. Charitable activities

The Charity did not undertake any direct charitable activities on its own account during the year. Grants were approved in favour of beneficiaries and the Charity incurred expenditure with third parties in pursuance of those grants or reimbursed expenditure incurred by beneficiaries.

Grant funded activity £000	Support costs £000	2022/23 £000	2021/22 £000
780	12	792	187
268	31	299	110
392	46	438	194
28	3	31	56
1,468	92	1,560	547

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 25

Notes to the Accounts

9.1 Analysis of grants

The majority of grants are made to the Royal Devon University Healthcare NHS Foundation Trust. Grants are sometimes made to individuals, e.g. to help families with travel expenses. The total cost of making grants, including support costs, is disclosed in Note 9.

Fund managers have been given delegated authority to manage their funds and make grants in accordance with the Charity's objectives and the donors' wishes.

Institution receiving grant support	Total amount paid in 2022/23 £000	Total amount paid in 2021/22 £000
Royal Devon University Healthcare NHS Foundation Trust	1,465	483
Other grants	3	3
	1,468	486

10. External audit cost

The cost of the external audit is incurred by the Trust and an element is recharged to the Charity. The cost recharged by the Trust in the year was £7,000 (2021/22: £5,000).

11. Debtors

11. Debtors
Debtors under one year	31 March 2023 £000	31 March 2022 £000
Legacy debtors	32	139
Other debtors	71	2
Prepayments	7	-
	110	141

12. Creditors: amounts falling due within one year

12. Creditors: amounts falling due within one year
Royal Devon University Healthcare NHS Foundation Trust Other creditors	31 March 2023 £000	31 March 2022 £000
	167	45
	77	4
	244	49

13. Notified legacies

As at 31 March 2023 the Charity had been notified of legacies with an estimated value of £216,189 (31 March 2023: £58,700), which have not been accrued as they do not meet the recognition criteria, see accounting policy Note 1.4.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 26

Notes to the Accounts

14. Fixed asset investments

Movement in fixed asset investments	31 March 2023 £000	31 March 2022 £000
Market value brought forward as at 1 April 2022	2,768	2,669
Disposals at carrying value	(948)	(654)
Additions to Investments at cost	1,448	694
Investment managers fees	(22)	(18)
Dividends due	7	-
Income reinvested	14	-
Gain (Loss) on revaluation	(123)	77
Market value as at 31 March 2023	3,144	2,768

Net cash released from investments in the year was £22k (2021/22: £18k)

Net cash released from investments in the year was £22k (2021/22: £18k)	Net cash released from investments in the year was £22k (2021/22: £18k)	Net cash released from investments in the year was £22k (2021/22: £18k)
Fixed asset investments holdings
The market value of investments held with Brewin Dolphin and Barclays Investment Managers was:
	31 March 2023 £000	31 March 2022 £000
Listed investments	2,588	2,637
Cash	549	131
Dividends pending	7	-
	3,144	2,768

As at 31 March 2023, overseas equities comprised 35% of the Charity's investment portfolio.

Investment Trust

The Investment Trust Fund, valued at £123,000 (2021/22 £124,000), relates to a legacy for Sidmouth Hospital where the principal is held by a firm of solicitors in line with the wishes of the deceased, as described in Note 16.1.

15. Related party transactions

The ultimate controlling party of the Charity is the Royal Devon University Healthcare NHS Foundation Trust (the new name for the Royal Devon and Exeter NHS Foundation Trust - see Note 14). Copies of the Trust's 2022/23 Annual Report and Financial Statements can be obtained by writing to: Chief Financial Officer, Royal Devon University Healthcare NHS Foundation Trust, Barrack Road, Exeter, EX2 5DW.

The Charity has made grants (Note 9.1) of £1,465,000 (2021/22: £483,000) and reimbursed £391,000 (2021/22: £61,000) relating to support costs (Note 7.1) to the Trust.

No members of the Trust's Board of Directors have received honoraria, emoluments or expenses from the Charity in the year.

16. Analysis of charitable funds

16.1 Analysis of endowment fund movements

	Balance b/fwd £000	Incoming resources	Net (loss) / gain on investments £000	Balance c/fwd £000
Chorley	48	-	-	48
Moretonhampstead Laycock	2	-	-	2
Sidney Hawkins Investment Trust	124	-	(1)	123
Other funds	54	35	(5)	84
	228	35	(6)	257

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Notes to the Accounts

The object of the Chorley Endowment Fund is to apply the income from the permanently endowed gift for the benefit of staff and patients within the Royal Devon and Exeter NHS Foundation Trust. The object of the Moretonhampstead Laycock Endowment Fund is to apply the income for the benefit of the patients & staff of Moretonhampstead Hospital. The Sidney Hawkins Investment Trust was set up in 1989, for a period of 79 years, and makes annual interest payments to three beneficiaries, including £5,000 per annum for the benefit of the staff of the Sidmouth Hospital.

16.1 Analysis of restricted fund movements

	Balance b/fwd £000	Incoming resources £000	Resources expended £000	Net loss on investments £000	Balance c/fwd £000
Bideford	-	39	(7)	-	32
Cancer Fund	67	2	(19)	-	50
Cardiology Research Fund	45	1	(10)	-	36
COVID-19 Grant fund	-	112	(49)	-	63
ED Appeal Fund	-	49	(1)	-	48
Exmoor Unit OPD	-	83	(16)	-	67
Fern Centre Fund	-	143	(20)	-	123
Gastroenterology Research	37	1	(3)	-	35
General Research Fund	53	1	(4)	-	50
Ilfracombe	-	100	(58)	-	42
Improving Working Lives Staff Lottery	116	33	(48)	-	101
Kidney Unit	173	5	(22)	-	156
Lung Research	34	1	(3)	-	32
National Lottery Grant	-	148	(100)	-	48
ND Diabetic	-	35	(5)	-	30
ND Medical Equipment	-	35	(7)	-	28
NHS Charities Together	125	133	(92)	-	166
NHS Charities Together- Inclusion	42	1	(4)	-	39
NHS Charities Together- Development Grant	-	60	-	-	60
Orthopaedic Unit	84	49	(29)	-	104
Orthopaedic Wards	93	(41)	(10)	-	42
Ottery St Mary Hospital General Fund	77	2	(75)	-	4
Rheumatology Fund	110	4	(35)	-	79
Seamoor Unit	-	127	(23)	-	104
Sidmouth General Fund	127	2	(58)	-	71
South Molton	-	54	(10)	-	44
Starfish Appeal	242	46	(20)	-	268
Surgical Urology Fund	41	1	(4)	-	38
Surgical Wards	67	7	(7)	-	67
The Wendy Green Trust (ICU Training) Fund	213	5	(6)	-	212
WEEU	106	2	(8)	-	100
Other funds	820	698	(731)	(124)	663
	2,672	1,938	(1,484)	(124)	3,002

The above individual funds represent funds with balances in excess of £30,000, excluding unrealised investment gains, either at the 1 April 2022 or 31 March 2023.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Notes to the Accounts

16.2 Analysis of restricted fund movements (continued)

The objective and purpose of the funds shown on the previous page are as follows:

Bideford Fund	Legacy income for the general benefit of the Bideford Hospital.
Cancer Fund	The fund will be used to purchase non-essential equipment and items that will improve the comfort and quality of the service for patients. The fund will enable staff to undertake training to enhance their knowledge and skills required within the department. The fund will be used for staff development and support in the way of team building activities.
Cardiology Research Fund	To further the investigation of the causes, prevention, treatment or the advancement of scientific and medical education into illness/infirmity - with special reference to cardiac disease.
COVID-19 Grant fund	NHS Charities together grant income
ED Appeal Fund	To provide Charity capital funding to enhance the paediatrics ED area at RD&E (Wonford Hospital). If, for any reason, we can’t build this centre, or there are surplus funds leftover following the successful build, we will use the money for other general charitable purposes.
Exmoor Unit OPD Fund	Legacy of D Gibson for the Exmoor Unit.
Fern Centre Fund	To provide funding for the Fern Centre which supports cancer patients in North Devon to provide access to information, complementary therapies, counselling and support.
Gastroenterology Research Fund	Assist with the funding of research staff, the training of research staff, scientific journals and equipment for research.
General Research Fund	Investigating causes of sickness, disability & prevention. Advancement of scientific research & medical education. Furtherance of any other charitable purpose for the relief of suffering.
Ilfracombe Fund	Legacy income for the general benefit of Ilfracombe Hospital.
Improving Working Lives Staff Lottery Fund	The provision of equipment. The carrying out of works or the provision of services. Facilities or events that benefit staff through environmental, social physical or other means.
Kidney Unit Fund	To support the purchase of complementary equipment, provide training to staff and team building within the unit.
Lung Research Fund	To fund staff, equipment, materials or other activities involved in the research and understanding of the causes, treatment and prevention of lung diseases.
National Lottery Grant	Grant income from National Lottery for the Fern Centre running costs per the agreed schedule
ND Diabetic Fund	Legacy income for the general benefit of Diabetic Patients
ND Medical Equipment	Share residue of the Estate of the late Victor John Harris bequeathed to the North Devon District Hospital to purchase new equipment
NHS Charities Together	To enhance the well-being of NHS Staff, volunteers and patients impacted by COVID-19, as part of the Trust’s COVID-19 response. To support the Trust’s health and care partnerships and social care pathways so that NHS patients can leave hospital more quickly and safely, stay or remain out of hospital. To help sustain, develop or establish these partnerships or new ways of working (where they have not done so already) in order to fund projects.
NHS Charities Together - Inclusion	To meet the needs of the Trust inclusion agenda. Specifically for the use of setting up a Staff BAME, LGBGT+ and Disability Network and equipment and resources needed.
NHS Charities Together - Development Grant	Grant for development of the Charity.
Orthopaedic Unit Fund	Provide extra comforts for patients and staff, support training and education and contribute towards equipment.
Orthopaedic Wards Fund	Provide extra comforts for patients and staff, support training and education and contribute towards equipment.
Ottery St Mary Hospital General Fund	For any charitable purpose or purposes relating to the NHS wholly or mainly for the patients & staff of Ottery St Mary Hospital.
Rheumatology Fund	To provide extra comforts for patients and staff, purchase extra equipment, and to fund education and training.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 29

Notes to the Accounts

Seamoor Unit Fund	Legacy income for general use at the Seamoor Unit.
Sidmouth General Fund	For any charitable purpose or purposes relating to the NHS wholly or mainly for the patients & staff of Sidmouth Hospital.
South Molton Fund	Legacy income for general use of the South Molton Hospital.
Starfish Appeal Fund	To provide capital funding to enhance the paediatrics outpatients area at the RD&E Wonford site.
Surgical Urology Fund	To support the RD&E Urology Service.
Surgical Wards Fund	Education and welfare of staff. Equipment/facilities to benefit patient care. Staff functions.
The Wendy Green ICU Training Fund	To provide financial assistance to support the training, education and development of permanent staff within the Intensive Care Unit and also to purchase equipment that supports this training.
West of England Eye Unit Fund	Education and welfare of staff. Equipment/facilities for patients.

16.3 Analysis of unrestricted fund movements

Unrestricted funds

Unrestricted funds
	Balance b/fwd £000	Incoming resources £000	Resources expended £000	Net loss on investments £000	Balance c/fwd £000
General Fund	254	37	(194)	-	97
Help Us Help You	117	9	(13)	-	113
ND Staff Health & Wellbeing	-	80	(29)	-	51
Over and above General	-	552	(80)	-	472
Shop Rose Lane	-	149	(79)	-	70
Shop Westward Ho	-	150	(55)	-	95
Other funds	81	17	(6)	(31)	61
	452	994	(456)	(31)	959

Unrestricted - designated funds

Unrestricted - designated funds
	Balance b/fwd £000	Incoming resources £000	Resources expended £000	Net loss on investments £000	Balance c/fwd £000
Bideford Community Fund (unrestricted)	-	46	(8)	-	38
Bramble Ward Fund (unrestricted)	3	70	(5)	-	68
Cancer Fund (unrestricted)	29	24	(8)	-	45
Fern Centre Fund (unrestricted)	-	49	-	-	49
Kidney Unit Fund (unrestricted)	35	8	29	-	72
ND SCBU (Unrestricted)	-	127	(23)	-	104
Neonatal Unit fund (unrestricted)	44	6	(6)	-	44
Other funds	273	331	(88)	(12)	504
	384	661	(109)	(12)	924
h
Total unrestricted funds	836	1,655	(565)	(43)	1,883

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 30

Notes to the Accounts

The objective and purpose of the unrestricted funds shown above are:

----- Start of picture text -----
General Fund To provide benefits to both staff and patients of the Trust
To support the health and wellbeing of staff and volunteers during and in the aftermath of Covid
Help Us Help You
19
ND Staff Health &
To support the health and wellbeing of staff
Wellbeing
Over and above General To provide benefits to both staff and patients of the Trust
Shop Rose Lane To provide funds for the Fern Centre
Shop Westward Ho To provide funds for the Fern Centre
----- End of picture text -----

The unrestricted, designated funds have been set aside for specific purposes, often reflecting the non-binding wishes of the donor:

donor:
Bideford Community Fund (unrestricted)	For any charitable purpose or purposes relating to the NHS wholly or mainly for Bideford
Bramble Ward Fund (unrestricted)	Education and training of staff. Improving the working environment for staff. Patient-related equipment and ancillary items. Improving patient experience, quality and patient/family comforts including facilities and improvements to the environment.
Cancer Fund (unrestricted)	The fund will be used to purchase non-essential equipment and items that will improve the comfort and quality of the service for patients. The fund will enable staff to undertake training to enhance their knowledge and skills required within the department. The fund will be used for staff development and support in the way of team building activities.
Fern Centre Fund (unrestricted)	To provide funding for the Fern Centre which supports cancer patients in North Devon to provide access to information, complementary therapies, counselling and support. In addition to provide overnight accommodation for relatives and friends of patients who are currently admitted at North Devon District Hospital
Kidney Unit Fund (unrestricted)	To support the purchase of complementary equipment, provide training to staff and team building within the unit.
ND SCBU (Unrestricted)	To fund purchases of patient-related equipment and ancillary items.
Neonatal Unit fund (unrestricted)	To fund purchases of patient-related equipment and ancillary items. The fund will also enable staff to undertake training and education and provide other staff benefits, and will provide facilities for patients and families and to support staff salary costs where additional funds have been identified e.g. research.

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

Page 31

Notes to the Accounts

17. Comparative figures for Statement of Financial Activities

	Unrestricted funds £000	Restricted funds £000	Endowment funds £000	Total funds 2021/22 £000
Income and endowments from:
Donations and legacies	412	387	-	799
Income from Investments	12	59	-	71
Total income and endowments	424	446	-	870
Expenditure on:
Raising funds:
Investment management costs	2	16	-	18
Charitable activities:
Capital equipment and contributions towards capital schemes	2	185	-	187
Patient welfare and amenities	8	102	-	110
Staff training, development and welfare	44	150	-	194
Medical research	1	55	-	56
Total resources expended	57	508	-	565
Net gains / (losses) on investments	10	105	2	117
Net movement in funds	377	43	2	422
Reconciliation of funds:
Total funds brought forward	459	2,629	226	3,314
Total funds carried forward	836	2,672	228	3,736

Royal Devon Hospitals Charity Annual Report and Financial Statement 2022-2023

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Northern Fundraising Team

N Fundraising Office, North Devon District Hospital, Barnstaple, EX31 4JB 01271 311 772

Eastern Fundriaising Team

Fundraising Office, Royal Devon & Exeter Hospital, Exeter, EX2 5DW 01392 402040

2023-03-31-accounts

Annual report 2022/23

Contents

CONTENTS

Statement from the Chair

The difference YOU make...

Helping our NHS go further

Wellbeing support for local cancer patients

Our hospital heroes...

Golfers giving back

Our hospital heroes...

Brave Louise bares scars

School's 'crazy hair' day for Sue

Future Plans REVENUE BY STORE

RD&E Children’s Emergency Department Appeal

Water Babies Appeal

Fern Centre Garden Project

Our Objectives and Activities

When two become one...

Our Objectives

Roya l Devon University Healthcare NHS Foundation Trust Profile

Commitment to the highest standards

Reference and Administration

Structure, Governance and M an agement

Trustee induction and training

Statement of Trustee’s responsibilities

Financial overview

Departmental & Ward Funds

General Funds

Donations from other Charities

Investment Trust

Contribution of Volunteers

Public benefit statement

Investment Policy

Where we spent our funds

Reserve Policy

Grant Making Policy

Charity Risk Management Policy

A Big Thank You

Auditor's Report

Independent auditor’s report to the Trustees of Royal Devon University Healthcare NHS Foundation Trust Charity

Going concern

B asis for opinion

Fraud and breaches of laws and regulations – ability to detect

Identifying and responding to risks of material misstatement due to noncompliance with laws and regulations

Context of the ability of the audit to detect fraud or breaches of law or regulation

Other information

Matters on which we are required to report by exception

Trustees’ responsibilities

Auditor’s responsibilities

The purpose of our audit work and to whom we owe our responsibilities

Statement of Financial Activities for the year ended 31 March 2023

Balance Sheet

as at 31 March 2023

Statement of Cash Flows for the year ended 31 March 2023

Reconciliation of net income to net cash flow from operating activities

Analysis of cash and cash equivalents

Notes to the Accounts

1. Accounting policies

2. Income from donations and legacies

3. Investment income

4. Income received from Northern Devon Healthcare NHS Charitable Fund

5. Income from trading activities

6. Income from other charitable activities

7. Allocation of support costs and overheads

8. Raising Funds

9. Charitable activities

9.1 Analysis of grants

10. External audit cost

11. Debtors

12. Creditors: amounts falling due within one year

13. Notified legacies

14. Fixed asset investments

Investment Trust

15. Related party transactions

16. Analysis of charitable funds

16.2 Analysis of restricted fund movements (continued)

16.3 Analysis of unrestricted fund movements

Unrestricted funds

17. Comparative figures for Statement of Financial Activities