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2021-03-31-accounts

Tees, Esk and Wear Valleys NHS Trust General Charitable Fund Fund Number: 1061486

An n ual R t 202 0 -21 epor

CONTENTS PAGE

Section

Appendices

Tees, Esk and Wear Valleys NHS Foundation Trust

General Charitable Trust Fund

Annual Report 2020-21

1. Tees, Esk and Wear Valleys NHS Foundation Trust General Charitable Trust Fund

The Ch a rity is ad m inistered by Tees, E s k and We a r Valleys N HS Foun d ation Trus t and was formed a s the “um b rella” Cha r ity for the f ormer Tee s and Nort h East Yor k shire NHS Trust and County D urham an d Darlingto n Priority S e rvices NH S Trust charitable funds.

2. Objectives of the Charity

The Te e s, Esk and Wear Vall e ys NHS F o undation T rust Charitable Trust Fund Dee d (which is the gov e rning doc u ment for t h e charita b le funds) s tates the C harity’s p r incipal obj e ctives as being:

“... for a n y charitabl e purpose o r purpose s relating to the Nation a l Health S e rvice”.

The gov e rning doc u ment doe s not place any specific restrictio n s on the u s e of the f u nds other than that implied b y the Charity’s main o bject. All b ids are m a de on an a d-hoc basis with no commit m ent or stra t egic deplo y ment from any one individual fu n d.

All chari t ies must d e monstrate, explicitly, t hat their c h aritable purposes are for the pu b lic benefit and adh e re to the f o llowing tw o key principles:

Principl e 1: There m ust be an identifiable benefit or b enefits

Principl e 2: Benefit must be to the public, or section o f the publi c

The Trustee confirms that th e y have h a d regard to the gui d ance cont a ined in t h e Charity Commis s ion’s gen e ral guidan c e on publi c benefit w h en reviewi n g the trust ’ s aims an d objective and in p l anning fut u re activitie s and setti n g grant m a king policy for the ye a r. It is the opinion of the Trus t ee that it has followe d this guida n ce by:

3. Organisational structure and relationships

3.1 Organisation structure

Tees, E s k and We a r Valleys N HS Found a tion Trust is the sole c orporate T rustee of t h e charity. Delegat e d responsibility is all o cated to t he executi v es and n o n-executiv e member s of Tees, Esk and Wear Vall e ys NHS F o undation T rust Boar d . All those with deleg a ted respo n sibility of the Trus t ee are leg a lly co-opted from the F oundation Trust Boa r d and train i ng and de v elopment needs a r e address e d through t he Foundation Trust a ppraisal pr o cess.

Those w ith delegat e d responsibility of th e Trustee r e ceived no remuneration or expenses, and no remuneration or expenses h ave been p aid to any employee.

The Re s ources Co m mittee re c eives and examines r eports on Charitable T rust Funds at three month i n tervals. Th e membership of this c ommittee w as:

Mr C S M artin, Chi e f Executiv e – left 29 J u ne 2020 Mr B Kil m urray, Chief Executi v e – started 29 June 2 0 20 Mr P McGahon, Dir e ctor of Finance and I n formation – left 5 Au g ust 2020 Mr D Kendall, Actin g Director o f Finance a nd Inform a tion – 5 August 2020 t o 19 Octo b er 2020 Mrs L R o maniak, Director of Finance and Informatio n – started 1 9 October 2020 Mrs R Hill, Chief O p erating Of f icer Mrs S D e xter-Smit h , Director o f People a n d Culture – started 1 5 February 2 021 Mrs M Harte, Chair m an of the T rust Mr M H a wthorn, N o n-Executiv e Director – left 31 Ma r ch 2020 Mr D Je n nings, No n -Executive Director – left 31 Aug u st 2020 Mr P Murphy, Non- E xecutive D irector Mr J Ma d dison, No n -Executiv e Director – started 1 S eptember 2 020

In order to safeguard the ass e ts of the Charity and e nsure inc o me is app l ied appropriately the Trustee requires c h aritable f u nds proce d ures to c o mply with the Trust’ s Standing Financial Instructi o ns and Sc h eme of D e legation.

For day to day op e rational a n d manage m ent purp o ses the C h arity is di v ided into s ub funds. These are managed by Trust officers w h o have delegated au t hority to a p ply the fu n ds within the obje c ts of the Charity.

The Fin a ncial Cont r oller has overall resp o nsibility for the admi n istration of the funds, supplying regular r eports to t h e Resour c es Commi t tee and c o mpleting t h e annual a ccounts a n d annual report for the charit a ble funds.

An administration charge is le v ied at the s ub funds t o reflect th e financial a nd clerical work that Tees, E s k and We a r Valleys N HS Foun d ation Trus t provides. The basis of apportionment for this cha r ge is the v alue of restricted and unrestricted funds as a percent a ge of the t o tal funds held.

3.2 Relationships

The Ch a rity’s principal relation s hip is with Tees, Esk and Wear V alleys NH S Foundati o n Trust.

During t h e year no member o f the Trus t ’s Board had any rel a ted party t ransaction s with the Charity.

4. Achievements and performance

The foll o wing funds had mater i al movem e nt in balan c es within t h e year:

CDDPS general fund

The p urpose of this fund is to provide general fu n ding across all servic e s within the Durham and D arlington a reas for s e rvice user s / carers. T he fund in c reased by £109k in y e ar due to gran t s received from NHS C harities T o gether.

Foss Park Hospital

The purpose of this fund i s to benefit the servic e users of F oss Park H ospital by providing ame n ities, acti v ities and e v ents. The fund incre a se by £7 3 k due to g r ants recei v ed (£50k from NHS Char i ties Toget h er).

Chime Fund

The purpose of this fund i s to manag e funds for Ridgeway café and s h op for the benefit of user s , carers a nd staff a nd to fa c ilitate the selling an d purchasing of ite m s with a ther a peutic pur p ose. The t r ading acc o unt shows funds increasing by £ 1 5k last ye a r.

Rowan Lea Nurses Fund This fund is for s taff on Ro w an Lea w a rd; the fun d increase d by £2k du e to donati o ns.

West Park Cedar

The purpose o f this fund is to provide amenitie s , activities and even t s for servi c e users / care r s at Cedar Ward. The fund incre a sed by £2 k due to do n ations.

Mulberry Centre Psychology

This fund is to b e used fo r training f o r staff and to develop existing r e sources to meet the nee d s of youn g people a t the Mul b erry Cen t re. This f u nd decre a sed by £ 2 k due to exp e nditure on h and paint e d murals a nd Christmas gifts.

5. Review of activities

There was one ne w fund set u p during t h e year, a n d one fun d closed du e to no fur t her funds being a v ailable.

An inter n al audit re v iew was u n dertaken b y Audit N o rth in July 2 019 which gave a go o d level of assuran c e. All reco m mendations have been implem e nted. Due to materiality a full int e rnal audit review i s complete d every thr e e years, h owever sh o uld any p r ocess cha n ge it is re v iewed by internal a uditors be f ore being implemented.

6. Financial activity

A full set of accou n ts for the f inancial ye a r 2020-21 are includ e d with thi s report. M a zars LLP underta k es an inde p endent ex a mination o f the acco u nts.

6.1 General review

The ye a r under r e view saw an increa s e of £179k in net r e sources m ainly due to grants received from NHS Charities T ogether, for which ex p enditure is ongoing. T he overall b alance of the fund s as at 31 M arch 2021 was £618 k .

Income is derived from gran t s, donations, legaci e s, raising funds and investment income. Income f rom raisin g funds is r e ceived fro m the sho p within the learning di s abilities’ d a y centre, and the s hop and c a fé at the R idgeway C e ntre at Roseberry Park.

During t h e period 1 April 2020 to 31 Mar c h 2021 tot a l investme n t income w as £1k which was in line with the previo u s year. In v estment in c ome has c ontinued t o be less th a n the ad m inistration costs of the Charit a ble Fund s – due pr e dominantl y to the cu r rent econ o mic climat e and low interest r ates being available.

The Tr u st receive d £208k in grants d u ring the financial ye a r, £181k from NHS Charities Together to suppo r t employe e s and se rv ice users during the Covid pa n demic. Gr a nts were made a v ailable to support th e wellbein g of NHS s taff, volunteers and p atients im p acted by

Covid-1 9 during th e pandemic .

There a r e a numbe r of funds administere d by the Tr u stee for w h ich bids c a n be made for goods or servi c es where t here is no individual s pecific Tr u st Fund to draw on. T here wer e two bids approve d by the T r ustee in 2 0 20-21, to develop a therapy garden and t o support 1 0 service users c o mplete a l e g of a saili n g journey a round the UK.

Trustwide NHS Ch a rities Tog e ther grant s are inclu d ed within T rustee fu n ds balanc e s, the full amount s received h ave been m ade avail a ble to the Health and Wellbeing committee to ensure they are used as p e r grant req u irements.

The fun d s classed a s “Others” in note 8 o f the accounts are furt h er broken down as follows:

“Others”B
alance		 Numbe
r Of Funds		 Numbe
r Of Funds		 Avera
ge Fund Ba
lance
Restr
icted		 £150,
076		 99 £1,516
Unres
tricted		 £51,9
41		 41 £1,267

6.2 Incoming resources

Total in c ome for th e year was £ 349k, an i n crease of £247k on l a st year. A c tual figure s were:

2
020-21
£000		 2019-20
£000
Dona
tions		 10 5
Lega
cies		 2 5
Othe
r tradingac
tivities		 128 91
Incom
e from inv
estments		 1 1
Gran
ts received		 208 0
Tota
l		 349 102

See Ap p endix 1 fo r chart sho w ing the sp l it of incom e sources.

6.3 Material donations and legacies

The Ch a ritable Fund received legacies to t alling £2k in 2020-21, and receiv e d donatio n s of £10k to vario u s funds.

6.4 Resources expended

Expendi t ure for the year was £ 170k, an increase of £23k whe n compare d with £147k spent in the prev i ous year. A nalysis of E xpenditur e :

Purc
Pati
Staf
Fun
Gov
Tot
hasing goo
ents’ welfar
f welfare
d raising su
ernance co
al
ds for resa
e
pport
sts
le		 2020
£0
-21
00		 2019-2
£000
81
34
14
0
18
147
0
9
8
2
2
2
0
2
2
8
17
0

Expendi t ure has increased fr o m the pre v ious finan c ial year, m ainly due to increas e d trading activitie s within the Ridgeway c afé / shop, and LD F o rensic Da y Services. Fund raisi n g support was als o commissi o ned durin g the financ i al year.

See Ap p endix 2 for chart sho w ing the split of expen d iture categ o ries.

6.5 Management and administration costs

The ad m inistration costs inclu d e the inte r nal audit f e e, bank charges, fun d raising support and the Trust cost of a d ministerin g the funds . Charity C o mmission guidelines s tate that i f a charity does no t exceed £ 2 50k gross income in a financial year or does not hav e aggregat e value of assets of more tha n £3,260k, it is eligible to have an independent examin a tion rather than a full audit of its accoun t s. The ass e ts held b y the fund a re lower t h an this mi n imum value, and as such ac c ounts are e ligible for a n indepen d ent exami n ation.

Followin g discussi o ns with th e Trust’s a u ditors, Mazars LLP, it was deci d ed that it would be appropri a te for the charitable f unds to have an inde p endent examination o f the accounts. This means t he overall managem e nt costs p er annum are £8k, and acco u nt for 4.7 % of total expendi t ure.

The ba s is of apportionment for the a dministrati o n costs i s the value of restr i cted and unrestri c ted funds a s a percen t age of the total funds held.

6.6 Material expenditure

There were no inst a nces of m aterial exp e nditure fr o m the Charitable Fun d s (e.g. in excess of £5k) in 2020-21 f r om any single fund. Expenditure on fun d raising s u pport of £ 22k was apportio n ed based o n individu a l fund bal a nces.

6.7 Going concern

The fu n ds activiti e s, togeth e r with th e factors likely to a ffect its f uture development, perform a nce and p o sition are s et out in t h e annual a c counts on pages 3-9.

The fun d has main t ained its l e vel of fina n cial resou r ces due to its long st a nding policy of only funding o ne-off in- y ear applic a tions to th e fund, an d has no f u ture com m itments to discharge other th a n accrual s and creditors as dis c losed in th e balance s heet whic h reports £ 6 k of debt compar e d to £622k of cash in h and.

The ret u rn on deposit accou n t investm e nts has b e en poor t h roughout t he year due to low interest rates avail a ble on the market. T h e low return on inve s tment has resulted i n all funds sufferin g a charge t o cover go v ernance c o sts.

The Tru s tee’s vie w is that th e Charity i s a going concern a n d can ma k e the dis c losure as recomm e nded by t h e accounti n g standar d s board th a t :

After m a king enq u iries, the Trustee h a s a reas o nable ex p ectation t h at the C h arity has adequat e resource s to continue in oper a tional exi s tence for t he forese e able futur e . For this reason, it continu e s to adop t the goin g concern b asis in p r eparing th e annual r e port and account s .

7. Funds managed for and on behalf of other NHS organisations.

Within t h e balanc e s of the Funds held by the Tees, Esk a n d Wear V a lleys NH S General Charita b le Fund th e re were no balances r elating to other NHS O rganisatio n s.

8. Policy on reserves and investments

8.1 Reserves

The Tru s tee considers that it s hould be t h e aim to h o ld sufficie n t reserves to be able t o provide funds to meet charitable expenditure as i t is incurr e d and to r e view the p osition on a n annual basis. A c cess to th e funds is e ncouraged so that ca s h is used o ften and t h e trust ca n bring the associat e d benefits to its patie n ts.

There a r e limitatio n s on expe n diture that can be re a lised withi n restricted funds (as i t must be related to the purp o se of the f und), so a minimum l evel target is not appropriate fo r any fund classed as restrict e d. With unrestricted f unds the balance is £ 317k; as t h is is not m aterial in compari s on with th e Trust’s tu r nover of £ 4 23,961k n o minimum level targe t has yet b e en set.

8.2 Investments

8.2.1 Statement of policy on investments

The Ch a rity’s fund s were invested in an interest be a ring depo s it account with Yorkshire Bank PLC at a n agreed i n terest of 0.15%, with a minimal b alance in a lower int e rest bearing account at Barcl a ys Bank P L C.

Funds w ere inves t ed in this manner, w ith the ob j ective to p rovide m a ximum se c urity and availabil i ty. This all o ws a flexi b le and pru d ent level o f control ov e r the chari t y’s funds.

8.2.2 Exposure to risks

The Tru s tee has id e ntified the major risks to the Charity. The m a in risks ca n be summarised as:

  1. That the C harity is n o t operatin g within its o bjectives.

  2. 2 . That acc o unting transactions ar e inapprop r iately or in a dequately reported. 3 . Expendit u re is ina p propriate, or inappr o priately a u thorised o r not spe n t for the purposes intended.

  3. 4 . That inco m e is not a p propriate d to specific sub-funds in accorda n ce with th e intention of the do n or.

  4. 5 . Investme n ts are not properly safeguarded, resulting i n loss of fu n ds. 6 . Register e d fund hol d ers do no t respond t o requests f or actions relating to the timely and appr o priate ad m inistration o f funds.

  5. The Trustee has e s tablished s ystems to e nsure the s e risks are kept at a m inimum. N a mely:

  6. The exist e nce and c o mpliance w ith Standi n g Financi a l Instructio n s.

  7. 2 . An adequately qualified and resourced fin a nce function.

  8. 3 . The esta b lishment o f internal f i nancial co n trol syste m s which a r e reviewe d annually by an Int e rnal Audit D epartmen t .

  9. 4 . Reportin g and revie w of audit fi n dings to a n Audit Co m mittee.

8.2.3 Planned future activities of the Charity

The NH S is an eve r changing e nvironme n t and the f u ture direct i on of the C harity will b e shaped by thes e changes. The prioriti e s for spe n ding charit a ble funds are deter m ined primarily by the fund holders who a re manag e rs in the s ervice. By delegating the respo n sibility of e xpending charitable funds to this level ensures tha t those abl e to make the decisio n s are best placed to know th e exact needs of servi c e.

9. Legal and administrative information

Registered charity number

106148 6

Registered address The Flat t s Lane Ce n tre Flatts L a ne Norman b y Middles b rough TS6 OS Z

Trustee

Tees, E s k and We a r Valleys NHS Found a tion Trust is the sole c orporate T r ustee of t h e Charity. Delegat e d respons i bility for T r ustee duti e s for the p e riod cove r ed by this report is allocated to member s of the Bo a rd of Dire c tors. Thes e were:

Non-executive directors :

Mrs M Harte (Chair m an) Mr D Je n nings – le f t 31 Augus t 2020 Mr R Si m pson – lef t 31 Augus t 2020 Mr H Griffiths Mr P Murphy Mrs Shi r ley Richar d son Prof. Pa l i Hungin Mrs Bev e rley Reilly Mr John Maddison

Executive directors

Mr C S M artin – lef t 29 June 2 0 20 Mr B Kil m urray – st a rted 29 June 2020 Dr A Kh o uja Mrs Rut h Hill Mrs E Moody Mr P McGahon – left 5 August 2020 Mr D Kendall – star t ed 5 Augu s t 2020, lef t 19 Octob e r 2020 Mrs L R o maniak – s tarted 19 O ctober 20 2 0

All Boar d of Direct o rs appoin t ments are made in a c cordance with the p o licy and p r ocedures laid down in the NHS code of g ood practi c e.

The Se c retary of S t ate for He a lth, in line with statut o ry require m ents appr o ved the Chairman’s appoint m ent, and a panel co m prising the minimum s tatutory m e mbers, in c luding the Chairman and an e xpert inde p endent as s essor, ma d e the Chie f Executive’s appoint m ent.

All othe r executive and non-executive a p pointment s to the Tr u st Board w ere mad e following

external advertise m ent and ro b ust and tr a nsparent s e lection pr o cedures.

Independent examiners

Mazars L LP The Cor n er Bank C h ambers 26 Mosl e y Street Newcas t le upon Ty n e NE1 1D F

Legal advisors

Ward H a daway Sandga t e House 102 Qu a yside Newcas t le upon Ty n e NE1 3D X

Bankers

Yorkshir e Bank PL C Bar c lays Com m ercial Ban k 7 Lintho r pe Road PO B ox 190, 2 F loor, Middles b rough 1 P a rk Row, TS1 1R F Lee d s, LS1 5WU

10: Charitable Fund Account

CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

Statement of trustee responsibilities

Tees, Esk and Wear Valleys NHS Foundation Trust is the sole corporate trustee of the fund. Delegated responsibility of the trustee is applied to executive and non executive members of Tees, Esk and Wear Valleys NHS Foundation Trust Board.

The trustee is responsible for preparing the trustees' Annual Report and financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

The law applicable to charities in England and Wales/Scotland/Northern Ireland requires the trustee to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period.

In preparing these financial statements the trustee is required to:

select suitable accounting policies and then apply them consistently;

observe the methods and principles in the Charities SORP;

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 inappropriate to presume that the charity will continue in business.

The trustee is responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the trust deed . It is also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The trustee is responsible for the maintenance and integrity of the charity and financial information included on the charity's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

The trustee confirms that it has met the responsibilities set out above and complied with the requirements for preparing the accounts. The financial statements set out on pages 1-8 attached have been complied from and are in accordance with the financial records maintained by the trustee.

By Order of the trustee, and those with delegated responsibility

Chairman……………………...………………………………..

Executive Director …………………………….………………

Date 1st December 2021

Date 1st December 2021

Page 1

CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

Statement of Financial Activities for the year ended 31 March 2021

Note
Incoming resources
Income and endowments from:
Donations
Legacies
Grants received
5.1
Income from investments
5.2
Other trading activities
5.3
Total income and endowments
Resources expended
Expenditure on:
Raising funds
3.3
Charitable Activities
3.1
Total resources expended
4
Net expenditure
External transfers
6
Total transfers
6
Net movement in funds
6
Reconcilliation of funds:
Fund balances brought forward at 31 March 2020
Fund balances carried forward at 31 March 2021		 Unrestricted
Funds
Restricted
Funds
£000
£000
2
8
-
2
208
-
-
1
-
128
210
139
(9)
(111)
(25)
(25)
(34)
(136)
176
3
-
-
0
0
176
3
141
298
317
301
31 March 2021		 Total
Funds
£000
10
2
208
1
128
349
(120)
(50)
(170)
179
-
0
179
439
618		 31 March 2020
Total Funds
£000
5
5
-
1
91
102
(81)
(66)
(147)
(45)
57
57
12
427
439

There were no other recognised gains or losses in the year.

Page 2

CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

Balance Sheet as at 31 March 2021

Balance Sheet as at 31 March 2021
Notes
7
8.1
8.2
Current assets
Debtors
Short Term Deposit Investment
Total current assets
Current liabilities
Creditors: Amounts falling due within one year
Total current liabilities
Total current assets less current liabilities
Total net assets
Funds of the Charity
Income Funds:
Restricted
Unrestricted
Total funds		 Unrestricted
Funds
Restricted
Funds
£000
£000
-
2
318
304
318
306
(1)
(5)
(1)
(5)
317
301
317
301

-
301
317
-
317
301		 Total at 31
March 2021
£000
2
622
624
(6)
(6)
618
618
301
317
618		 Total at 31
March 2020
£000
-
450
450
(11)
(11)
439
439
298
141
439

Notes numbered 1 to 13 form part of the accounts.

Signed:

Date: 1st December 2021

Page 3

CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

Notes to the Account

Accounting policies

1

The principal accounting policies are summarised below. They have been applied consistently through out the reporting year 2020-21 and throughout the comparators shown for the previous reporting year 2019-20.

1.1 Accounting convention

These accounts have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts. The accounts 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 and Republic of Ireland (FRS 102) issued on 16 July 2014, and with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and with the Charities Act 2011.

The charity constitutes a public benefit entity as defined by FRS 102

1.2 Incoming resources

All incoming resources are included in full in the Statement of Financial Activities as soon as the following three factors are met:

entitlement - control over the rights or other access to the economic benefit has passed to the charity;

probable - it is more likely than not that the economic benefits associated with the transaction or gift will flow to the charity;

measurement – the monetary value or amount of the income can be measured reliably and the costs incurred for the transaction and the costs to complete the transaction can be measured reliably.

Legacies

Legacies are accounted for as incoming resources once the receipt of the legacy becomes reasonably certain. This will be once confirmation has been received from the representatives of the estate that payment of the legacy will be made or property transferred and once all conditions attached to the legacy have been fulfilled.

Offsetting

There has been no offsetting of assets and liabilities, or income and expenses.

Grants and donations

Grants and donations are only included in the SoFA when the general income recognition criteria are met. No performance related grants were received.

Tax reclaims on donations and gifts

Gift Aid receivable is included in income when there is a valid declaration from the donor. Any Gift Aid amount recovered on a donation is considered to be part of that gift and is treated as an addition to the same fund as the initial donation unless the donor or the terms of the appeal have specified otherwise.

1.3 Resources expended and creditors

The Charity accounts are prepared in accordance with the accruals concept. All expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party.

Cost of generating funds

The cost of generating funds are the costs associated with generating income for the funds held on trust.

Governance costs

These are accounted for on an accruals basis and are recharges of appropriate proportions of the funds administration costs from Tees, Esk and Wear Valleys NHS Foundation Trust, plus Internal and External Audit charges for 2020-21. These costs are apportioned across the funds using the appropriate classification of fund. During 2020-21 the classification split was:

Restricted 49%, Unrestricted 51%.

Creditors

The charity has creditors which are measured at settlement amounts.

1.4 Structure of funds

Where there is a legal restriction on the purpose to which a fund may be put, the fund is classified in the accounts as a restricted fund. Funds where the capital is held to generate income for charitable purposes and cannot itself be spent are classified as unrestricted funds. Funds which are not legally restricted but which the Trustees have chosen to earmark for set purposes are classified as restricted funds. The major restricted funds held within these categories are disclosed in note 8.

Page 4

CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

1.5 Realised gains and losses

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (or date of purchase if later). Unrealised gains and losses are calculated as the difference between market value at the year end and opening market value (or date of purchase if later).

1.6 Pensions contributions

The Charity does not employ staff and does not make pension contributions.

1.7 Change in the basis of accounting

There has been no change in the accounting policy or accounting estimates in the year.

1.8 Prior year adjustments

There are no prior year adjustments in these accounts.

1.9 Going concern

After making enquiries, the Trustee have a reasonable expectation that the Charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the accounts.

Please see section 6.7 within the Annual Report for further details

1.10 Stock

A small balance of stock is held to support the activities of the Ridgeway Cafe / Shop and LD Forensic Day Services however, having reviewed the balance of stocks held over time, the Trustee has confirmed that the stocks are both stable and immaterial in value. Consequently stocks are not recognised within the financial statements rather are treated as expenditure as they are purchased.

2 Related party transactions

During the year no members with delegated responsibility for the Trustee, or members of the key management staff or parties related to them has undertaken any material transactions with the Tees, Esk and Wear Valleys NHS Trust General Charitable Fund (2019-20, £nil).

The Charitable Fund does not have the facility to pay creditors therefore, Tees, Esk and Wear Valleys NHS Foundation Trust makes the payments on the Fund's behalf and is re-imbursed on a monthly basis by the Fund.

Certain income for the Charitable Fund is initially banked through Tees, Esk and Wear Valleys NHS Foundation Trust. This income is re-imbursed to the Fund on a monthly basis.

Tees, Esk and Wear Valleys NHS Foundation Trust is the sole corporate trustee of the fund. Delegated responsibility of the trustee is applied to executive and non executive members of Tees, Esk and Wear Valleys NHS Foundation Trust Board (names listed below). All are also members of Tees Esk and Wear Valleys NHS Foundation Trust.

Mrs M Harte Mr D Jennings - left 31st August 2020 Mr C S Martin - left 29th June 2020 Mr R Simpson - left 31st August 2020 Mr B Kilmurray - started 29th June 2020 Mr H Griffiths Mr P McGahon - left 5th August 2020 Mr P Murphy Mrs L Romaniak - started 19th October 2020 Mrs Shirley Richardson Dr A Khouja Mr Pali Hungin Mrs E Moody Mrs Beverley Reilly Mrs R Hill Mr John Maddison

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CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

3
Details of resources expended on charitable activities
3.1
Activities in furtherance of charities objectives
Patients welfare and amenities
Staff welfare and amenities
Governance costs (see 3.2 below)
3.2
Analysis of governance costs
Establishment costs
Internal / External audit fee
Professional fund review
Independent examination of the accounts cost £480
3.3
Details of costs incurred in raising funds
Purchasing goods for re-sale
Fund Raising Support
4
Analysis of total resources expended
Internal / External audit fee
Compliance costs for Trust Funds
Professional fund review
Fund Raising Support
Charitable activities
5
Analysis of income
5.1
Grants received
NHS Charities Together
Other Grants Received		 Unrestricted Funds
Restricted Funds
£000
£000
(7)
(15)
(14)
(6)
(4)
(4)
(25)
(25)
Unrestricted Funds
Restricted Funds
£000
£000
(3)
(3)
(1)
(1)
-
-
(4)
(4)
Unrestricted Funds
Restricted Funds
£000
£000
-
(98)
(9)
(13)		 Total 2021
£000
(22)
(20)
(8)
(50)
Total 2021
£000
(6)
(2)
-
(8)
Total 2021
£000
(98)
(22)
(120)
Total 2021
£000
(2)
(6)
-
(22)
(140)
(170)
Total 2021
£000
181
27
208		 Total 2020
£000
(34)
(14)
(18)
(66)
Total 2020
£000
(6)
(2)
(10)
(18)
Total 2020
£000
(81)
-
(9)
(111)		 (81)
Costs of raising
funds
Costs of activities for
charitable objectives
£000
£000
-
(2)
-
(6)
-
-
(22)
-
(98)
(42)
(120)
(50)
Unrestricted Funds
Restricted Funds
£000
£000
181
-
27
-		 Total 2020
£000
(2)
(6)
(10)
-
(129)
(147)
Total 2020
£000
-
208
-		 -

5.2 Income from investments

Income from investments of £1k (restricted) relates to interest received on individual fund balances held by the Charity. These investments are held in the UK.

5.3 Details of other trading activities

The £128k income from other trading activities was delivered from the re-sale of goods purchased at a cost of £98k, and training provided that generated £1k income.

6 Changes in resources available for charity use

Net movement in funds for the year before transfers
External transfers
Net decrease in funds for the year		 Unrestricted Funds
Restricted Funds
Total 2021
£000
£000
£000
176
3
179
-
-
-
176
3
179		 Total 2020
£000
(45)
57
12

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CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

7
Analysis of creditors
Trade creditors
Total amounts falling due within one year
8
Details of material funds
8.1 Restricted funds
CHIME Fund
Allinson Bequest
Acomb Garth
Learning Disabilities
Epilepsy Fund, Bankfields Court
Learning Disability Medical Staff
North of Tees MHSOP Charitable Account
Others (99 Funds)
Total
8.2 Unrestricted funds
Foss Park Fund
CDDPS General Fund
St Mary's General Fund
Others (41 Funds)
Total		 Balance at
31 March
2021
Balance at 31
March 2020
£000
£000
(6)
(11)
(6)
(11)
Balance 1
April 2020
Incoming
resources
Resources
expended
Balance 31
March 2021
Description of the nature and purpose of each fund
£000
£000
£000
£000
49
127
(112)
64
To provide funds for the well being of patients within Ridgeway
29
-
(1)
28
To provide funds for epilepsy services in the Durham area
14
2
(1)
15
To provide funds for activities for patients of Acomb Garth
15
-
(1)
14
To provide funds for activities for patients with Learning Disabilities in York and Selby
12
-
(1)
11
To provide funds for epilepsy services in the Middlesbrough area
10
-
-
10
To provide funds for Patient activities, comforts, diversional equipment
10
-
(1)
9
To provide funds for Patient activities, comforts, diversional equipment
159
10
(19)
150
298
139
(136)
301
Balance 1
April 2020
Incoming
resources
Resources
expended
Balance 31
March 2021
£000
£000
£000
£000
57
78
(5)
130
To provide general purpose funds for the patients being cared for in Foss Park Hospital
14
132
(23)
123
To provide general purpose funds for the patients being cared for in the Durham area
13
-
(1)
12
To provide general purpose funds for the patients being cared for at St Mary's Hospital
57
-
(5)
52
141
210
(34)
317

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CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

9 Connected organisations 2020-21 2020-21 2019-20 2019-20
Turnover of Net Deficit for the Turnover of Net Surplus for the
Connected Connected Connected Connected
Organisation Organisation* Organisation Organisation**
£000 £000 £000 £000
The charity is administered by Tees,
Esk and Wear Valleys NHS FT 423,265 (16,741) 385,665 (16,119)

10 Other funds held for and on behalf of other NHS organisations

Within the balances of the Funds held by the Tees, Esk and Wear Valleys NHS General Charitable Fund there were no balances relating to other NHS Organisations.

11 Cash flow

The charity has taken advantage of the exemption available to it under section 7 of FRS102 not to produce a cash flow statement due to its size.

12 Taxation liability

As a registered charity, Tees, Esk and Wear Valleys NHS Charitable Fund is potentially exempt from taxation of income and gains falling within Part 10 of the Income Tax Act 2007 and s256 Taxation and Chargeable gains Act 1992. No tax charge has arisen in the year.

13 Post Balance Sheet events

There are no post balance sheet events to report.

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CHARITABLE TRUST ACCOUNT - TEES, ESK AND WEAR VALLEYS NHS FOUNDATION TRUST - 2020-21

INDEPENDENT EXAMINER’S REPORT TO THE TRUSTEE OF TEES, ESK AND WEAR VALLEYS NHS TRUST GENERAL CHARITABLE FUND

I report on the financial statements of Tees, Esk and Wear Valleys NHS Trust General Charitable Fund for the year ended 31 March 2021, which are set out in Section 10

Respective responsibilities of trustees and examiner

The charity’s trustee is responsible for the preparation of the financial statements. The charity’s trustee considers that an audit is not required for this year under section 144(2) of the Charities Act 2011 (the 2011 Act) and that an independent examination is needed.

It is my responsibility to:

This report, including my statement, has been prepared for and only for the charity’s trustee as a body. My work has been undertaken so that I might state to the charity’s trustees those matters I am required to state to them in an independent examiner’s report and for no other purpose. To the fullest extent permitted by law, I do not accept or assume responsibility to anyone other than the charity and the charity’s trustee as a body for my examination work, for this report, or for the statements I have made.

Basis of independent examiner's report

My examination was carried out in accordance with the general Directions given by the Charity Commission. An examination includes a review of the accounting records kept by the charity and a comparison of the financial statements presented with those records. It also includes consideration of any unusual items or disclosures in the financial statements, and seeking explanations from you as trustees concerning any such matters. The procedures undertaken do not provide all the evidence that would be required in an audit and consequently no opinion is given as to whether the financial statements present a ‘true and fair view’ and the report is limited to those matters set out in the statement below.

Independent examiner's statement

In connection with my examination, which is complete, no matters have come to my attention which give me reasonable cause to believe that in any material respect:

I have no concerns and have come across no other matters in connection with the examination to which, in my opinion, attention should be drawn in order to enable a proper understanding of the financial statements to be reached.

Signed:

Name: Cameron Waddell (CPFA) for and on behalf of Mazars LLP

Relevant professional qualification or body: CIPFA

Address: The Corner, Bank Chambers, 26 Mosley Street, Newcastle upon Tyne, NE1 1DF Date: 02-Dec-21

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Analysis of incoming resources

Appendix 1

----- Start of picture text -----
2020‐21 Incoming Resources
(£000)
Grants received,
£208k
Income from
investments, £1k
Legacies, £2k
Other trading
Donations, £10k activities, £128k
----- End of picture text -----

----- Start of picture text -----
2020‐21 Incoming Resources
(% of total income)
----- End of picture text -----

----- Start of picture text -----
Grants received,
60%
Income from
investments, 0%
Legacies, 1%
Other trading
activities, 37%
Donations, 3%
----- End of picture text -----

Analysis of resources expended

Appendix 2

----- Start of picture text -----
2020‐21 Resources Expended
(£000)
Governance costs,
Fund raising £8k
Investment management
support, £22k
Governance costs Purchasing goods
for re‐sale, £98k
Staff welfare and
Fundraising tradingamenities, £20k
Patients welfare
and amenities,
£22k
----- End of picture text -----

----- Start of picture text -----
2020‐21 Resources Expended
(% of total expenditure)
Governance costs,
Fund raising 5%
support, 13%
Purchasing goods
Staff welfare and
for re‐sale, 58%
amenities, 12%
Patients welfare
and amenities, 13%
----- End of picture text -----