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2022-03-31-accounts

Alzheimer's Research UK

(A company limited by guarantee and not having a share capital) Annual Report and Financial Statements

Year Ended

31 March 2022

ALZHEIMER’S RESEARCH UK

Trustees report and annual accounts for the year ended 31 March 2022

Contents

p.3 Our impact in 2021/22

p.4 Introduction from our Chairman and Chief Executive

p.5 President’s foreword

p.6 Report of the Trustees

p.6 Our vision

p.7 Strategic Report – Our impact in 2021/22

p.8 We’re funding research that will transform lives

p.11 We’re improving understanding of dementia and creating the best environment for research

p.14 Our incredible supporters are accelerating progress towards breakthroughs

p.17 We’re committed to being the best we can be for everyone affected by dementia

p.19 Strategic Report - Financial Review

p.22 Section 172 statement

p.23 Our structure, governance and management

p.26 UK greenhouse emissions and energy use – Carbon and energy reporting

p.27 Statement of Trustees’ responsibilities

p.28 Independent Auditor’s Report

p.32 Consolidated statement of financial activities incorporating an income and expenditure account

p.33 Charity statement of financial activities incorporating an income and expenditure account

p.34 Consolidated balance sheet

p.35 Charity balance sheet

p.36 Consolidated cash flow statement

p.37 Charity cash flow statement

p.38 Notes forming part of the financial statements

p.62 Legal and administrative details

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ALZHEIMER’S RESEARCH UK

Trustees report and annual accounts for the year ended 31 March 2022

Our impact in 2021/22

We invested a record £28.6m in our charitable activities, including £23.6m in research – an increase of 36% on the previous 12 months.

We launched a new Early Career Researcher programme to foster the next generation of research leaders, introducing new funding streams and career development opportunities.

We enabled our scientists to publish an unprecedented 538 research papers, each one revealing an important new discovery.

We reconnected with our amazing supporters in person, including 400 #TeamARUK runners at October’s TCS London Marathon, as major sporting events returned.

We underlined the urgent need for more research funding at our House of Commons event, attended by more than 120 MPs from across all parties.

We generated even greater media interest in dementia research, with our work featured in the news 8,400 times during the year.

We advanced to the next phase of our Early Detection of Neurodegenerative diseases (EDoN) initiative, collecting data from research volunteers using our new digital toolkit.

We launched our Equity, Diversity and Inclusion strategy, ensuring that the research we fund is representative of the population living with dementia and we champion the equity, diversity and inclusion of our researchers and employees.

Progress towards a world free from dementia

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ALZHEIMER’S RESEARCH UK

Trustees report and annual accounts for the year ended 31 March 2022

Introduction from our Chairman and Chief Executive

With many organisations having to suspend funding to support the global response to the pandemic, and charities unable to fundraise in the usual way, the effects of COVID-19 on the dementia research sector have been acute.

Over the last two years, we’ve been vocal about the risk these challenges pose to research progress – and your response has been incredible.

Thanks to you, 2021/22 was a record year for Alzheimer’s Research UK.

We invested £28.6m in our charitable activities, including £23.6m in pioneering research (up 36% on last year) and a further £5m in improving understanding of dementia and creating the best possible environment for research breakthroughs.

A staggering 63,000 people now make monthly donations to support our work, with more than 10,000 of these amazing supporters joining us in the last 12 months. More people than ever chose to leave a gift to dementia research in their Will this year. And we received even greater support from philanthropists and charitable trusts. The list goes on.

This was a year for re-establishing and strengthening connections.

We were thrilled to reconnect with supporters at events like the London Marathon, strengthen relationships with decision-makers in government at our House of Commons event marking World Alzheimer's Month, and bring the research community together at our Dementia Research Conference in Brighton.

And building on foundations laid last year, supporting researchers in the early stages of their careers – those most affected by the pandemic – remained a priority. Working with our Research Network, we identified the major challenges and barriers to success faced by early career researchers and used these to shape a new programme of support to foster the next generation of research leaders.

I hope you enjoy reading about this and all the achievements that you made possible in the pages ahead.

Your support means that momentum towards a world free from the fear, harm and heartbreak of dementia has not been lost.

Hilary Evans

Chief Executive

David Mayhew

Chairman

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ALZHEIMER’S RESEARCH UK

Report of the Trustees for the year ended 31 March 2022

President’s Foreword

Dementia remains an urgent crisis. Of the leading causes of death in the UK, it is the fastest growing. Almost one million people are living with the condition right now – up from 800,000 a decade ago.

Just as the diseases that cause dementia break down connections in the brain, they cruelly break a person’s connections with their loved ones and the world around them. The economic impact is spiralling too. Already standing at £25bn, the annual cost of dementia is set to almost double in the UK, to £47bn, by 2050.

Tackling a challenge of this urgency and scale demands ambition and relentless energy. And this year, our amazing supporters demonstrated no end of both. Your support made 2021/22 the charity’s biggest year to date, with £39.2m received from voluntary donations. This growth is driving real scientific progress and momentum in research and, while we must not underestimate the challenge we face, there are so many reasons to be optimistic.

Thanks to a growing network of organisations backing dementia research, there are now more than 230 trials underway testing potential new treatments. These include the first drugs backed by the Dementia Discovery Fund, established while I was Prime Minister. And this past year, as ever, I’ve found it inspiring to meet with leading scientists and philanthropists as ARUK President, to drive our fundraising and continue to raise the charity’s profile here and abroad.

Technological advances are also key to the progress being made . I am proud to chair the Board of our own EDoN (Early Detection of Neurodegenerative diseases) initiative, which continues to move forward at pace. EDoN brings together experts in data science, digital technology and neurodegeneration to develop innovative ways to detect diseases, like Alzheimer’s, much earlier. I see early detection as a crucial part of the dementia research puzzle – because the sooner we detect such diseases, the more we understand about them, and the more effective potential treatments are likely to be.

Finally, in the last year we have seen Alzheimer’s drug aducanumab approved by the U.S. Food and Drug Administration for use, albeit for a limited group of patients. It is the first drug approved to act on the underlying disease, as opposed to its symptoms. While there is considerable debate about the drug’s benefit and it has subsequently been refused approval in Europe, the development has undoubtedly re-energised the research community and demonstrated the real tipping point we are at.

The COVID-19 pandemic has shown us, more than ever, the power of scientific research. And the UK Vaccine Taskforce underlined the pace of change that can be achieved when research, industry, government and philanthropy all work together. Rapid online recruitment into clinical trials, access to resources right across sectors, and clear accountability from the top of government were all key to its success.

We can, and must, do the same for dementia. If we do, it will be a question of when, not if, new treatments will come.

So, a heartfelt thank you to everyone who stood with us this year. I hope you are as inspired as I am by the progress in this report. It has been a momentous 12 months and I cannot wait to see what we achieve together next.

The Rt Hon David Cameron President

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ALZHEIMER’S RESEARCH UK

Report of the Trustees for the year ended 31 March 2022

Our vision

Alzheimer’s Research UK is the UK’s leading dementia research charity. We’re dedicated to understanding the causes of dementia and developing ways to prevent, treat and ultimately, cure, all forms of the condition.

Dementia’s impact is devastating – not just for the person affected, but for those around them. Caused by diseases that destroy brain cells, most commonly Alzheimer’s, dementia ultimately leaves people unable to think, move or communicate with the people they love.

No-one survives dementia, yet. But we exist to make breakthroughs possible.

By working across four key areas, we’re moving closer to our vision of a world free from the fear, harm and heartbreak of dementia .

1. Funding research that will transform lives

Today, dementia remains one of the UK’s leading causes of death. But research has the power to change the future.

We’re providing our scientists with the resources they need to unravel the complexities of the diseases that cause dementia. Our goal – to bring forward the point of diagnosis, empower people to protect their brain health and bring about new treatments that will keep people connected to their families, their worlds and themselves for longer.

Find out more on page 8.

2. Improving understanding of dementia and creating the best environment for research

Dementia is still too often dismissed as an inevitable part of ageing – something we can do nothing about. We deliver engagement campaigns to disrupt this fatalism and demonstrate the hope that lies in research.

And as we recognise we cannot achieve our vision alone, we work closely with those who share it, including governments, funders, the scientific community and people living with dementia, to support and develop a truly vibrant research environment.

Find out more on page 11.

3. Accelerating progress towards breakthroughs

Although global funding for dementia research – and the amount that we invest each year – has increased dramatically over the past decade, we believe current investment still does not match the scale of the challenge.

Putting our amazing supporters at the heart of the organisation and making Alzheimer’s Research UK a household name will enable continued growth – driving more groundbreaking research and increasing the reach of our vital engagement activities.

Find out more on page 14.

4. Being the best we can be for everyone affected by dementia

By constantly striving to work more effectively and efficiently, we can put life-changing treatments in the hands of those who need them sooner.

This means attracting and retaining talented employees and volunteers who are committed to our cause, seeking new opportunities that help us work smarter, and demonstrating the impact of our work on global efforts to end the condition once and for all.

Find out more on page 17.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Strategic Report

Achievements and performance

Thanks to our incredible supporters, we funded more groundbreaking research in 2021/2022 than ever before.

Income from voluntary donations reached a record £39.2m, enabling us to commit £28.6m to our charitable activities. Of this sum, we invested £23.6m in research (an increase of 36% on 2020/21) and a further £5m in improving understanding of dementia and creating the best possible environment for research breakthroughs.

This strength of support is all the more remarkable set against the challenges of the previous financial year and the lasting impact of the COVID-19 pandemic. It inspires all of us at Alzheimer’s Research UK as we work to bring about life-changing treatments for dementia.

We’re truly grateful to everyone who chose to support us during the year.

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Supporter story: Heidi’s epic adventure

Heidi was determined to take action after her great uncle, Ian, was diagnosed with Alzheimer’s disease in 2020. So she embarked on an epic adventure, walking the equivalent distance between Land’s End and John O’Groats to raise money for dementia research.

The seven-year-old completed walks in her local area with family and friends, totalling up her mileage and plotting progress on a map. As she made her way up the UK, she enjoyed learning about the history, culture and people of the towns she passed through.

Having started the challenge in March 2021, Heidi reached her 603-mile target in June this year and raised more than £16,000.

“I really enjoyed this adventure. I met lots of lovely people on my walks and I’m so happy I raised so much money to help my great uncle and other people like him.”

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Report of the Trustees for the year ended 31 March 2022 (continued)

We’re funding research that will transform lives.

We’re funding the most promising research into the causes, detection, treatment and prevention of all forms of dementia, focusing our efforts on the following strategic priorities.

Funding world-class researchers to improve understanding of the complex diseases that cause dementia

Talented, highly-driven researchers are the lifeblood of all scientific discoveries. But career pathways are often challenging, particularly for those working in dementia research – an area that has been historically underfunded compared to other common health conditions like cancer and heart disease.

These challenges were compounded by COVID-19, when many funding opportunities were suspended or redirected to support the global response. At the height of the pandemic, 35% of our researchers told us they may be forced to leave research altogether. This pressure was felt most acutely by early career researchers whose work is often reliant on shortterm grant funding.

Fostering the next generation of research leaders is essential to achieving our vision of a world without dementia, paying dividends in the years and decades to come. So we made launching a brand-new programme of support for early career researchers a major focus for 2021/22.

Through this programme, we have already:

Sharing vital research discoveries

One way of tracking research progress is by looking at the number of research papers being published each year. Each paper reveals an important new discovery and brings our collective understanding of the diseases that cause dementia into sharper focus.

Alzheimer’s Research UK-funded scientists published an unprecedented 538 papers in 2021, up from 459 in 2020. Here are just a few of the highlights:

Supporting a healthy blood-brain barrier

The blood-brain barrier is a layer of protection that prevents harmful molecules moving from the blood into the brain. In Alzheimer’s disease, this barrier starts to break down and can allow harmful substances to pass through.

Researchers at our UCL Drug Discovery Institute developed a ‘lead molecule’ (the foundation of a new drug), that could help support a healthy blood-brain barrier by acting on a protein called Notum – essential for the proper maintenance of the barrier.

Building understanding of a major Alzheimer’s risk gene

Our funding has enabled researchers to complete a new study into APOE4 – the gene with the greatest effect on our risk of developing Alzheimer’s disease.

The study found that although having this gene increases our risk, it’s also linked with better performance on ‘visual working memory’ tests in which participants try to remember the identity and location of objects.

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Report of the Trustees for the year ended 31 March 2022 (continued)

While not unlocking immediate answers for those living with Alzheimer’s today, over the long term a better understanding of APOE4 will be crucial for building a clearer picture of the development of the disease.

A potential new blood test to detect damage after a head injury

A team from the UK Dementia Research Institute at Imperial College London has developed a state-of-the-art blood test to measure damage to the brain in people who have suffered a traumatic head injury.

They found that measuring levels of neurofilament light, a protein important in the structure of nerve cells, provides an accurate way to predict the long-term clinical outcome. This discovery could bring about a simpler, more accurate way to predict those at higher risk of developing dementia.

Contributing to global research efforts to translate breakthroughs in the lab into life-changing treatments

We provide ongoing funding for four initiatives at the cutting edge of translational research. These initiatives will ensure that discoveries in the lab benefit people affected by dementia as quickly as possible.

Our Drug Discovery Alliance unites three Drug Discovery Institutes in Cambridge, London and Oxford, bridging the gap between science taking place in universities and drug development expertise in pharmaceutical companies.

The Alliance is now working on a portfolio of 33 projects – each one a partnership between academic researchers and a private biotech or pharmaceutical company. Of these, 12 are in an exploratory phase, testing new biological targets for drugs. And 21 projects have progressed to further testing, with patents filed for four potential new drugs in the last year.

This year we committed to invest a further £5m in the Dementia Discovery Fund (DDF) – a specialist venture capital fund that supports new biotech companies aiming to bring about life-changing dementia treatments. To date, the Fund has invested £250m in 18 different companies based in the UK and the US.

AviadoBio, established with DDF support this year, is exploring gene therapies as potential treatments for neurodegenerative diseases. Clinical trials of the company’s first drug, AVB-101, designed for people with frontotemporal dementia, are due to start before the end of 2022 and if successful, could permanently correct faulty genes, transforming the lives of those affected.

The Dementia Consortium was established in 2014 with Alzheimer’s Research UK as managing partner. Like our Drug Discovery Alliance, it unites dementia researchers and drug discovery experts in the pharmaceutical industry, creating new collaborations to accelerate the discovery of potential new treatments for dementia.

One such collaboration between researchers at King’s College London and industry partners AbbVie, Eisai, Lilly and MSD is aiming to strengthen ‘protein tethers’ that connect structures performing specific functions inside nerve cells in the brain. The team is now working to identify and test new compounds that can bind to and strengthen these connections, which are damaged in Alzheimer’s and other neurodegenerative diseases.

Unique in scale and scope, the UK Dementia Research Institute (UK DRI) was established in 2017 to accelerate progress towards life-changing dementia treatments, connecting 750 world-leading researchers across centres in Cambridge, Cardiff, Edinburgh and London.

In addition to committing £2.5m a year to the UK DRI, our Director of Research Dr Susan Kohlhaas was appointed to its Board of Trustees, helping set the Institute’s future direction and objectives.

The launch of its Biomarker Factory in January 2022 was one of many milestones achieved during the year. Biomarkers are molecules in the blood or fluid surrounding the brain that can help signal harmful biological processes that lead to diseases like Alzheimer’s.

The Factory has already analysed more than 5,000 samples for 21 different research studies – using exceptionally sensitive equipment to identify and monitor biomarkers at a point when their detection would have been previously impossible. Earlier detection will enable earlier intervention, when treatments are likely to be far more beneficial in people’s lives.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Bringing researchers from across the world together to share discoveries is essential in pushing forward global efforts to end the condition. So we’re delighted that our 2022 Research Conference – a hybrid event in Brighton and accessible online – was our biggest and best yet.

As in previous years, the three-day event kicked off with an Early Careers Day, followed by a varied scientific programme including an update on research into sleep and dementia and a session on the gut-brain axis, an emerging area of research looking at the links between gut bacteria, inflammation and brain changes associated with Alzheimer’s disease.

Working at the forefront of technology to ensure an accurate diagnosis for everyone at a time that’s right for them

Our Early Detection of Neurodegenerative disease (EDoN) initiative is using the wealth of digital data now at our fingertips to transform the early detection of the diseases that cause dementia.

People in the very early stages of diseases like Alzheimer’s can experience subtle changes in the way they sleep, talk, walk, or even the way they use their phones – long before more obvious symptoms like memory problems show.

By collecting huge amounts of data from research volunteers using smartphone apps and wearable devices, and comparing this with clinical tests like brain scans, we will identify digital 'fingerprints' that indicate the earliest signs of disease.

The initiative continues to grow – we’re now proudly working alongside 68 partners from universities, research projects, patient cohorts and technology companies.

This year, we shifted gears, moving from the infrastructure development phase to data collection. There are now 32 participants at Boston University collecting data using the first version of our digital toolkit that combines a smartphone app, smartwatch and headband.

And using data collected from existing studies, teams at Cambridge University and the National Physical Laboratory in London succeeded in developing machine learning models that are showing the potential to inform diagnosis at the early stages of dementia.

Looking to the future

We’re proud of our role in helping bring about some of the most important research breakthroughs in recent years. Our new research strategy, due to be launched in late 2022, will build on these breakthroughs with a major focus on building capacity for clinical trials – testing the effectiveness of potential new treatments in people.

We will build on this year’s work with the Health Policy Partnership to review current evidence around the effects of different sports on brain health (both beneficial and adverse), identifying priorities and partnering with others to drive this important area of research forwards.

And we look forward to scaling up data collection for our pioneering EDoN initiative, recruiting up to 450 research volunteers by the end of 2022 and 5,000 by the end of 2024.

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Report of the Trustees for the year ended 31 March 2022 (continued)

We’re improving understanding of dementia and creating the best environment for research.

We’re improving understanding of dementia so that more people feel the sense of hope that lies in research. And we’re collaborating with researchers, government, funders and people living with the condition to create an environment where dementia research can truly flourish.

Confronting misconceptions and showcasing the value of research

At the end of 2021, our brand film, ‘The Smartest Thing’, reached 32 million people across 60 countries with the message of the power of our brains and hope that lies in research. The film featured celebrity supporter Shobna Gulati who shared her personal experience of dementia, helping increase awareness within South Asian audiences which tend to be underserved with messages about dementia.

Our Information Services team responded to 3,724 enquiries this year (up 30% on 2020/21), providing reassurance and clarity to people affected by dementia when they need it most. We continued to disseminate our health information too – both online resources including quick guides and animations, and via our free hard copy booklets available on request and in GP surgeries and hospitals.

Working alongside the National Institute for Health Research, Alzheimer’s Society and Alzheimer Scotland, we made it even easier for people to take part in research studies. More than 67,000 people have now joined a study through the Join Dementia Research service. Improvements this year include a new look website and the introduction of a call back feature, enabling people to request a call from one of the charity partners at a time that’s convenient for them.

Over 1,000 people joined us live for an online Lab Notes event, with a further 10,000 views of the series on our YouTube channel. Designed to make learning about research fun and accessible, no baseline knowledge is required and our researchers welcome any and all questions during the live Q&A sessions. Topics covered during the year ranged from ‘Gender, diet and brain health’ to ‘Hearts and minds: understanding vascular dementia’, with four out of five attendees saying they would recommend the series.

This year we reopened the Inspire Fund – our unique public engagement grant scheme. This second round of funding encouraged applications for projects that help reach underserved audiences and communities. After a competitive application process we funded eight projects totalling £150,000, including:

And we generated even greater media interest in dementia research, with our work featured in the news (online, newspapers, TV and radio) 8,400 times during the year (up from 7,700 in 2020/21). The stories that attracted greatest media attention were:

US approves first Alzheimer’s drug in nearly 20 years

Last June, the US Food and Drug Administration approved the first new Alzheimer’s drug in 20 years, aducanumab. Then in December, the European Medicines Agency (EMA) concluded that it was unable to licence the drug for use in Europe, as although it could reduce the amount of a key Alzheimer’s protein called amyloid in the brain, the data didn’t show a clear link between this effect and benefits to patients’ lives.

Our Chief Executive, Hilary Evans, provided expert commentary on both stories, explaining the implications of the decisions and why the EMA’s decision must be a catalyst for increased and sustained investment.

Scott Mitchell runs London Marathon, raising money in memory of Dame Barbara Windsor

In October 2021, Scott Mitchell, Alzheimer’s Research UK ambassador and husband of the late Dame Barbara Windsor, took on the London Marathon in Dame Barbara’s memory. Scott’s marathon journey generated more than 300 pieces of coverage including appearances on BBC News and Good Morning Britain, helping raise over £170,000.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Raising awareness of how to look after our brain health

Looking after our brains has never been more important. With an ageing population and no treatments currently available in the UK to stop or slow the diseases that cause dementia, we need to make more people aware of the steps they can take to look after their brain and reduce their dementia risk.

In February 2022, we launched the second phase of our Think Brain Health campaign, using social media and radio adverts to encourage people to consider everything their brain does for them and to learn about giving back to it. This second phase of the campaign was built around a set of 40 simple brain health tips – used in adverts and on our website’s brain health hub.

Once again, the public response showed massive appetite for the concept of protecting brain health, proving this to be an effective way of reaching new audiences with information on reducing their dementia risk – and importantly, encouraging people to take action. Our evaluation showed that 99% of respondents found the information useful and 62% were much more likely to take steps towards a healthy lifestyle after seeing the campaign.

Following last year’s policy report, ‘Brain Health: A new way to think about dementia risk reduction’, we published a cross-sector consensus statement that aims to put the concept of brain health at the forefront of the public health agenda.

With signatories including Alzheimer’s Society, the Royal Society for Public Health and the UK Faculty of Public Health, the statement sets out how government, charities, the NHS and others can work together to prioritise protecting the nation’s brain health. The statement has been fundamental in putting brain health on the agenda as we work with the government to shape its new dementia strategy.

Working with key decision-makers to tackle the challenges in dementia research

This year, we worked hard to cement our relationships with key decision-makers in government and parliament, mobilising our incredible volunteer campaigners to ensure dementia research is high on the political agenda.

Our House of Commons event to mark World Alzheimer's Month was a real highlight and helped us to underline the urgent need to secure more funding for research. Over 120 MPs from all parties attended, including the Leader of the Opposition, Sir Keir Starmer, and the government’s dementia minister Helen Whatley, with many sharing experiences of how dementia has touched their lives.

And we welcomed opportunities to shape national policy aimed at improving the research landscape, including partnering with the Department of Health and Social Care to lead the research elements of the government’s upcoming 10-year dementia strategy. This strategy will cover key areas including research, care and prevention, and has the potential to transform the lives of people living with dementia in the coming years if matched with ambitious action and funding.

Looking to the future

We will work with government and the wider dementia community to ensure that the lessons learnt from the successful establishment of the Vaccines Taskforce, which helped accelerate the development and manufacture of a COVID-19 vaccine, are applied to dementia research.

Driving up awareness of the ability to reduce our dementia risk and the steps we can take to do so will remain a priority. The third phase of our Think Brain Health campaign will centre upon helping individuals better understand their own brain healthy behaviours and the impact that the little things we do day in, day out, can have.

While mainstream media channels enable us to reach millions of people with our awareness campaigns each year, we recognise that a much more targeted approach is needed to overcome misconceptions and barriers to research engagement in underserved communities.

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Report of the Trustees for the year ended 31 March 2022 (continued)

That’s why we will launch a new Dementia Community Champions project – upskilling a team of new volunteers to build understanding of dementia, brain health and opportunities to take part in research within their local community. Following a pilot phase in Leicester, we hope to have a model we can expand to other areas of the UK.

We will introduce unique and creative ways to engage the public with research and showcase the progress being made. We’re proud to be working with designer Ryan McMahon to create ‘Connections’, a garden for the RHS Hampton Court Palace Garden Festival exploring the changing dynamics within a family affected by dementia.

And our new augmented reality brain tour, an immersive digital experience, being developed primarily for secondary school students, will demystify the brain – demonstrating the profound impact that tiny changes in brain cells can have on the lives of people affected by dementia.

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Supporter story: Helping protect future generations

Will’s mum, Josephine, was diagnosed with primary progressive aphasia (PPA), a rare type of dementia that primarily affects speech and language, in 2011. Following her diagnosis, Josephine volunteered for research studies for several years, helping scientists better understand PPA and bring us closer to treatments.

“My mum is one of the most loving, caring people you could hope to meet. She has been living with a rare form of dementia for a while now and dealing with that has been challenging, to put it mildly. This disease has gradually destroyed her ability to communicate and to think. For someone so bright and with such a passion for language, education and debate, this has been very cruel.

“From her initial diagnosis and throughout the progression of this disease, Mum has had amazing support. First from my dad, who has been beyond amazing – patient, kind and always putting mum first – and second from Prof James Rowe and his team in Cambridge.

“I’m proud that despite everything she’s been through my mum has made a huge contribution to help protect future generations by volunteering for research studies. She has contributed through years of psychometric testing and scans and has taken a number of drug combinations, knowing they may not help her, but that she's hopefully helping others to avoid this disease in the future.”

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Report of the Trustees for the year ended 31 March 2022 (continued)

Our incredible supporters are accelerating progress towards breakthroughs.

Our passionate supporters donated a record £39m in 2021/22, responding to the previous year’s challenges with energy and commitment and ensuring momentum towards life-changing dementia treatments is not lost.

Growing and diversifying our income to fund more research

An astonishing 63,000 people now make monthly donations to support our work, with more than 10,000 of these generous donors joining us in the last 12 months. These regular donations, big and small, combine to make up 16% of all donations.

Once again, we were truly moved by the number of people who chose to leave a gift in their Will or donate in memory of a loved one. We were humbled to receive 348 legacy gifts during the year totalling more than £10m, plus nearly £2m in memorial donations.

We reached 14m people with messaging on the crucial role that these special gifts play in fuelling research, with our annual Gifts in Wills Awareness Month in October 2021 providing a focal point for this activity.

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Supporter story: “The most important thing for me is hope”

Olive was diagnosed with vascular dementia in 2017. Despite her diagnosis she is determined to do everything she can to support dementia research while she is still able. Her fundraising challenges to date include completing the 780km Camino de Santiago trek through France and Spain in 2018 and walking 5km every day for a month in 2021.

Olive and her husband, Ronnie, have also chosen to rewrite their Wills to include a gift to fund life-changing dementia research.

“I know that developments in dementia research are likely to come too late for me. This condition will rob me of my life. But the most important thing for me is that there is hope that treatments will be found to slow down and stop dementia so future generations will not be affected.

“I have six grandchildren and I hope that in their lifetimes dementia will become something that people no longer need to worry about. But this will not happen without support for research.”

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After being forced to postpone or cancel events during the pandemic, reconnecting with supporters in person and seeing people come together to support our cause was a real highlight this year.

We’re grateful to supporters in schools, sports clubs and fundraising groups across the UK, who got back out into their local communities to raise money and keep dementia research front of mind.

We built on relationships with university Raising and Giving societies and welcomed new partnerships too. Students in Exeter, Durham, Loughborough, Newcastle and Birmingham all supported our work during the year, completing a range of fundraising challenges including the Dash to Dubrovnik – an epic seven-day, 2,000 mile road trip.

Sunday 3 October 2021 was a fantastic day as the fully ‘in-person’ London Marathon returned to the capital – last held in April 2019. More than 400 runners took to the streets in #TeamARUK orange, raising over £1m across this event and the 2020 virtual event. As ever, our supporters turned out in force, creating a carnival atmosphere to propel our runners over the finish line on the Mall.

We were thrilled to see the return of our partner parkrun’s free weekly 5k events, with parkrunners as enthusiastic and supportive of our work as ever. Together, parkrunners raised an astonishing £227,000 by taking on Running Down Dementia, which challenges participants to run 100km or more over the summer, and Give It Your Best, where runners donate their best finish time of the year, converting minutes and seconds to pounds and pence.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Brand new this year, we held three Facebook Challenge events, enabling supporters to fundraise, share progress, and meet others taking on the same challenge all in one place. Our ‘Walk 28 miles in February’ challenge in particular caught the imagination of Facebook users, with 4,192 supporters lacing up their trainers to raise over £500,000.

And inspired by the success of our ARUK Gamers site, launched in March 2021 in response to a surge in supporters taking on gaming challenges during national lockdowns, we grew our presence on livestream and digital fundraising platform Tiltify. Our gamers got inventive this year, completing challenges and working with their communities to cement gaming’s importance in both diversifying income and reaching a completely new group of supporters.

Understanding, valuing and inspiring our supporters

We aim to inform and inspire the amazing organisations, philanthropists and charitable trusts that support our work, helping form lasting connections with them.

That’s why this year we rolled out our Think Brain Health e-learning programme to 54 partners including Dyson, The Perfume Shop, Ricoh, Convex, Iceland and Royal Mail. So far, nearly 2,000 people have accessed this engaging course, which empowers users to take small, positive steps to protect their brains.

And it’s why celebrity supporter Anneka Rice, researcher Dr Dennis Chan and 71-year-old fundraiser Frank Rothwell, who raised £1m by rowing 3,000 miles across the Atlantic Ocean, shared their unique perspectives on dementia on the Convex Conversation podcast. These special episodes helped our partner Convex Insurance, which donated £220,000 this year, engage employees with the realities of living with dementia and the major steps forward made in research labs in recent years.

We were delighted to reconnect with financial services provider ICAP as a charity partner for their 29th Charity Day on 9 December. This unique initiative, where all revenue and commission from the day’s trading is donated to charities across the world, has raised £155m since its inception in 1993. Our celebrity ambassador Simon Pegg took to the phones to help brokers close deals at ICAP’s London HQ, with several other famous supporters including Stephen Fry, Brian Cox and Jonathan Ross getting involved on social media.

We’re so grateful to Mattioli Woods employees, who shared their touching personal experiences of dementia to boost awareness of our partnership. These stories inspired people from across the wealth management company’s multiple locations to support our cause by taking on marathons, skydives, treks and cheese-tastings, raising a total of £145,000.

Despite all of its stores being closed for the first part of the year as a result of the pandemic, our longstanding partner The Perfume Shop found new and exciting ways to fundraise, including making a donation for every personalised ribbon sold. Combined, The Perfume Shop’s efforts raised a fantastic £125,000 across 2021, with the total raised during our partnership now standing at over £800,000.

And new for 2021/22, we worked with online charity fundraising platform Omaze UK on the Lake District House Draw. Every ticket bought gave entrants the chance of winning a million-pound dream house in the Lake District while helping power essential research studies. The partnership raised a transformational £1m, and with help from our supporters including Samuel L. Jackson and Edith Bowman, enabled us to reach hundreds of thousands of people, raising awareness of the condition and the urgent need for new treatments.

Last but certainly not least, we built on relationships with philanthropists, charitable trusts and foundations, whose steadfast support was a huge source of encouragement to the charity and our researchers throughout the pandemic.

Income from major donors and trusts grew by £2.9m to £9.7m, including a further £1.5m in funding from Race Against Dementia, a charity founded by three-time Formula 1 World Champion, Sir Jackie Stewart OBE. This funding will enable the appointment of a new cohort of Race Against Dementia Fellows – outstanding early-career dementia researchers aiming to answer some of the biggest questions in dementia research.

We are also hugely grateful to the Quin family via the Q Charitable Trust for their £3m pledge to fund strategic areas of our work, and for the latest £1m donation from The ALBORADA Charitable Trust in support of the ALBORADA Drug Discovery Institute at the University of Cambridge.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Supporter story: Investing in the research leaders of tomorrow

We started our Trust 20 years ago with one scholarship. Currently, we fund 23 postgraduate scholarships and research projects in the Arts and Sciences including the Don Thoburn Memorial Scholarship – supporting talented dementia researchers in the early stages of their careers.

This scholarship is a lasting memorial to our dear friend and colleague Don, whose life was diminished by Alzheimer’s disease and who sadly passed away a year ago.

We think of the funding the Trust provides as an investment, benefitting both the individual and wider society. Our lives have been greatly enriched by our growing “family” of scientists, engineers, artists, ballet dancers, opera singers, musicians and actors and we delight in their successes.

What better return on an investment than knowing you have made a difference, no matter how small, that will contribute to the work of understanding, treating and eventually curing this cruel affliction.

Richard Jenkins and Maureen Amar Trustees of the Amar-Franses & Foster-Jenkins Trust

Looking to the future

We are planning a series of events in research labs across the UK, helping supporters who are thinking about leaving a gift in their Will better understand the impact this support has in fuelling research breakthroughs.

Our Planning for the Future pack was requested by more than 3,000 people in 2021/22. In the coming year, we will continue to develop and share this important resource, answering questions on inheritance tax, paying for care, lasting powers of attorney and writing a Will.

Building on growth in online fundraising activities this year, we will invest in a new Online Fundraising team, maximising digital opportunities – from cryptocurrency donations through to Facebook Challenges and gaming.

We are excited to be partnering with Jackpotjoy to auction several iconic dresses designed for, and worn by, Dame Barbara Windsor in the online gaming company’s ‘Queen of Bingo’ TV adverts. Items to go under the hammer will include an intricate period-piece costume and crown, with all proceeds funding life-changing research studies.

And together with Iceland, we will mark World Alzheimer’s Month in September with a special activation of our Think Brain Health campaign. Packaging for fruit, sold in all of the retailer’s 1,000+ stores, will be redesigned to carry simple brain health tips and healthy recipes, helping raise awareness of the small steps we can take to keep our brains healthy.

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Supporter story: “Research will allow families to stay connected and together for longer”

When she was a teenager, Mariel’s dad, Ray, was diagnosed with young-onset Alzheimer’s disease aged just 52. Mariel is sharing her family’s story to show the reality of living with this rare form of dementia and underline the importance of research in keeping families like hers connected for longer.

“Dad’s world has shrunk a lot since his diagnosis and his life is now a routine. Initially, he just couldn’t remember multiple things at once but gradually he lost his speech and his ability to do things on his own like feed himself. Alzheimer’s doesn’t just mean losing your memory and does not just affect people later in life. At the time of his diagnosis, my dad was a father to three teenagers, he had a job and a busy life.

“I think the hardest things are seeing the impact it has on my mum’s life and also not having a dad to talk to. However, Dad can read the emotions of those around him even if he can’t respond with words, so we do still have that connection with him. I believe that one day dementia research will allow families to stay connected and together for longer.” You can watch a film on Mariel and Ray’s journey, part of the Connections series, at alzres.uk/RayAndMariel.

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Report of the Trustees for the year ended 31 March 2022 (continued)

We’re committed to being the best we can be for everyone affected by dementia.

By striving for excellence in everything we do, we can put life-changing treatments in the hands of those who need them sooner.

Being recognised as a great place to work

To achieve our vision of a world free from dementia, our work needs to reach and be shaped by people from all walks of life, no matter their background, identity or experience.

We launched our cross-organisational Equity, Diversity and Inclusion strategy in June 2021, helping ensure we fund research that’s representative of the population living with dementia, support a diverse research workforce and champion the equity, diversity and inclusion of our employees.

We’ve made progress on all fronts this year, including:

We reviewed our working arrangements, aiming to support employees to have greater personal choice and maintain a healthy work/life balance, as well as identifying opportunities to reduce costs and improve sustainability. We implemented our new ways of working in July 2021, enabling employees to split their time between working from home and our vibrant HQ on the outskirts of Cambridge.

And we used the Best Companies b-Heard survey to listen to our employees and identify opportunities to improve. We’re proud that Alzheimer’s Research UK was awarded a 2-star accreditation for the second year running, recognising ‘outstanding’ levels of employee engagement, and included in the ‘UK’s 100 best large companies to work for’.

Maximising and demonstrating our impact

Our 1,400 passionate volunteers play a crucial role in maximising our impact, whether through sharing their personal experiences of dementia, campaigning to ensure that research remains a political priority or cheering for #TeamARUK at sporting events throughout the year.

This year, we developed our Volunteer Vision and Strategy to help attract, engage and retain a diverse group of volunteers and enable us to deliver a consistently high-quality experience that places volunteers at the heart of our charity. More than 300 new volunteers joined us during the year, with our online Volunteer Connect events helping volunteers, new and experienced, build closer links with the charity, our employees and each other.

Our 12 Trustees, all volunteers, bring a broad range of skills, experience and perspectives to their role of setting the charity’s strategic direction. We were delighted to welcome two new Trustees to our Board this year: former BBC

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Report of the Trustees for the year ended 31 March 2022 (continued)

executive Amanda Farnsworth, and Divya Chadha Manek OBE, clinical development lead at biotech company EyeBio and former UK Vaccine Taskforce member.

Finally, to maximise support for our cause, we need to accurately demonstrate the momentum gathering in dementia research.

That’s why this year, we expanded our internal Impact Hub, combining statistics on the charity’s impact (including research spend, institutions funded and discoveries made) with data on the wider dementia research landscape.

The Impact Hub is helping us track the long-term change our work has effected, ensure the research we fund complements global efforts to end dementia, and inspire new supporters by showing how far we’ve come.

Looking to the future

We will build on our efforts to support a diverse research workforce, introducing a narrative CV format for researchers applying for funding. Through this new approach, we aim to empower researchers to demonstrate a wider range of contributions to the field and create a more inclusive process by removing barriers to making an application.

To try to minimise unconscious bias in the funding process, we will trial ‘blinded’ review, where reviewers are not given information on the applicant’s identity.

With the government’s Women’s Health Strategy in development, we will publish a new analysis of the impact of dementia on women. This work will underline the importance of increasing diversity and representation both in research studies and in senior research positions.

Finally, we will protect our unique culture and ensure that we maintain high levels of employee engagement by conducting our 2022 Employee Engagement Survey, highlighting opportunities to build on our strengths and areas in which we can offer further support.

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Supporter story: Going for Gold

In June 2021, Olympic gold medallist Imran Sherwani made a huge contribution to helping raise awareness of dementia by bravely announcing his diagnosis of young-onset Alzheimer’s disease.

Imran, who scored two goals in the final as the Great Britain men’s hockey team won gold at the 1988 Olympics in Seoul, was diagnosed with Alzheimer’s in 2019, aged just 57.

He shared his diagnosis to support the launch of a team of runners taking on the 2021 London Marathon to raise money for dementia research in his honour.

The team, aptly named Going for Gold, was set up by fellow gold medallist Steve Batchelor and included Imran’s sons Zac and Aaron. Together, they raised over £45,000.

“I have gone from fighting the disease to accepting it, and that has made every day easier to live through. Every day of my life, I am thankful for having wonderful people around me, especially my lovely wife and my family.

“I’m so thankful to Steve and the team for raising so much money for Alzheimer’s Research UK. It’s also wonderful to know that so many people are still inspired by what we achieved in Seoul 34 years ago.”

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Report of the Trustees for the year ended 31 March 2022 (continued)

FINANCIAL REVIEW

Headline figures from our Financial Statements show:

In summary

As the impact of the COVID-19 pandemic lessened in the financial year Alzheimer’s Research UK was able to deliver a record-breaking financial performance with total group income reaching £42.2m (2020/21: £39.2m). This has allowed the charity to commit £28.6m (2020/21: £21.3m) to our charitable activities aimed at making breakthroughs possible, the highest of any financial year to date.

This performance could not have been possible without our kind and generous supporters, and the fantastic efforts of employees who share our vision.

Our income

Total income for the 12-month period was £42.2m (2020/21: £39.2m), of which income from donations was £39.2m (2020/21: £33.8m), including gifts in Wills which contributed £10.3m (2020/21: £11.2m). Investment income contributed £1m (2020/21: £0.9m). Income under the Coronavirus Job Retention scheme was reduced to £0.1m (2020/21: £1.1m) as employees were able to return to work.

Our expenditure

Alzheimer’s Research UK was able to commit £28.6m (2020/21: £21.3m) towards charitable activities, of which £23.6m (2020/21: £17.3m) was invested in research. For information regarding the timing of material amounts of committed expenditure, please refer to ‘Our reserves policy’ below.

In the previous financial year management took the decision to reduce amounts spent on fundraising costs as a result of expected reductions in income due to the COVID-19 pandemic. The cost of raising funds has increased to £12.9m this financial year (2020/21: £9.9m) as fundraising activity was resumed to drive the increase in income from donations.

Our investments

The group investment portfolio decreased in value throughout the year, due primarily to the disposal of our £3.4m investment in the UK DRI joint venture. For more information regarding the disposal of the joint venture please refer to p25. In addition, £2m was removed from the portfolio in the year to cover net cash outflows in the financial year.

Our funds

Total funds held by the group at the reporting date were £15.8m (2020/21: £17.8m). Of this £2.9m (2020/21: £6.3m) was held in restricted funds. Unrestricted funds has a balance of £12.9m (2020/21: £11.5m), of which £7.5m (2020/21: £6.1m) is considered to be free reserves; and £5m (2020/21: £5m) has been set aside in designated funds. The Trustees took the decision to create two designated funds during the previous financial year, following the positive financial performance for the year. The designated funds are expected to be committed within 12 to 24 months of the current financial year end. Details on the purpose of these designated funds are disclosed in note 16 to the accounts.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Our reserves policy

Our reserves policy is guided by the way in which research commitments are recognised as liabilities in our financial statements.

Generally, research expenditure is recognised once the grant has been offered to the applicant, at which point a commitment is deemed to exist. Drug Discovery Alliance commitments are recognised at the point that satisfactory progress has been achieved, following a detailed scientific review performed by the Alzheimer’s Research UK Drug Discovery Alliance Advisory Group and communicated to the facility. Research expenditure is generally recognised before the corresponding income is received. This makes it difficult for Alzheimer’s Research UK to maintain a pre-determined level of general reserves.

The Trustees are mindful of the relatively long-term nature of grant liabilities, the often significant delays between recognising research commitments in the accounts and making payments to recipients, and the considerable diversity of Alzheimer’s Research UK’s fundraising activities and asset portfolio when setting the reserves policy. Consequently, the level of the general fund is not an appropriate measure of the financial position and stability of the organisation. The Trustees therefore give careful consideration to the charity’s liquidity before entering into new financial obligations.

In order to provide flexibility to respond to charitable expenditure requirements, but without putting the charity financially at risk, the reserves policy is that the charity should maintain cash and readily realisable assets sufficient to fund between 12 and 24 months’ outstanding grants plus six months total operating costs. At 31 March 2022 and 31 March 2021 our liquidity was sufficient to cover defined operating costs plus at least 12 months of outstanding grants.

Our investment policy

As set out by its constitution, Alzheimer’s Research UK has complete discretion to invest money which is not immediately required for expenditure. The performance of the investments, which are prudently managed by Quilter Cheviot, is overseen by the Investment Sub Committee which reports to the Board of Trustees. The objective of our investment activity is to ensure that capital investments provide long-term gains that are significantly more than returns from holding cash, while generating income to be used towards our charitable objectives. There are no specific targets for returns, but the investments are managed using a risk averse investment approach which assumes a portfolio split of approximately 60% Bonds and Gilts to 40% Equities.

The return on our investments over the period covered by this report has exceeded market returns on comparable investments. It is the ethical policy of Alzheimer’s Research UK specifically to exclude investments in the tobacco industry.

Over recent years the Group’s Reserves policy has provided comfort in the Group’s ability to continue as a going concern.

In response to the COVID-19 global pandemic, the management team adopted stringent financial processes to help ensure that the Group was safeguarded as much as possible from any negative impacts of the pandemic. These included:

Having come out the other side of the pandemic, the Group has continued to adopt these stringent processes and has adopted them as best practice to help ensure that the Group and Charity are able to continue as a going concern.

As part of the Trustees’ review of going concern, draft budgets have been prepared for the financial years to 31 March 2023 and 31 March 2024. These budgets have been used to assess the expected balance sheet position for 31 March 2024. The expected balance sheet position looks positive, with liquid resources sufficient to cover all outstanding liabilities as they fall due.

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Report of the Trustees for the year ended 31 March 2022 (continued)

The group currently has significant liquid resources which are equivalent to the research commitments which have been made and are payable over the next five years. It is the purpose of the group to raise as much money as possible for purposes of funding research. Future commitments will be made in accordance with income levels at that time, keeping in mind the requirements of the reserves policy.

The Trustees are confident that the Group is a going concern, and that there are triggers and safeguards which can be deployed to ensure the future operation of the Group, if needed.

Risks and uncertainties

Regular monitoring and reporting of potential risks through our risk register allows them to be properly managed and mitigated, with procedures in place to respond in the event of a major risk occurring. The risk register is formally reviewed and assessed every quarter and is reviewed at Audit & Risk Committee meetings three times a year and by the Board of Trustees annually. Employees are empowered to draw attention to any concerns or incidents to assist the Charity in managing risks promptly and appropriately.

The key strategic risks facing the Charity and Group are:

Risks Mitigations
Unable to fund and
deliver effective
current and future
research		 We plan, implement, and actively manage and review key initiatives from the
research strategy and fund new research through response mode funding and
strategic initiatives. This ensures that the research we fund delivers to time and
target.
We continue to scope and develop key strategic partnerships, and develop
effective ways of working, including engagement with the research community.
We will deliver the implementation stage of the EDoN initiative, aiming to detect
and ultimately diagnose diseases which cause dementia.
We have robust financial reporting and budgetary management.
Unable to engage and
empower the public
and improve
understanding of
dementia		 We continue to develop our brain health offering to engage supporters and the
public, and we will scope and develop a more action-oriented brand positioning.
We will build on our work to overcome misconceptions and barriers to research
engagement in underserved communities, particularly through our new Dementia
Community Champions project and the Inspire Fund.
A decrease in our
power to grow on our
successes and
generate income		 Our fundraising strategy drives steady income growth and maximises contribution
on charitable activities across a diverse range of income streams.
We will implement and embed our new Fundraising & Comms matrix working
model to increase collaboration and effectiveness.
We have robust financial reporting and budgetary management.
Inability to embrace
technology, and other
means to take and
create opportunities to
advance our objectives		 We continue a partnership working approach in EDoN, continuing collaboration
to achieve early impact where possible. EDoN will continue employing world class
experts in digital technologies and the project will continue to be robustly
monitored by the EDoN Board.
We continue ongoing landscape monitoring, intelligence gathering and we ensure
we have the right supporter systems, technologies, and platforms to enable
future growth and deliver an improved supporter experience.
We retain focus onpersonalgrowth,learningand development.

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ARUK fails to comply
with numerous laws
and regulations that
impact our work		 We continue with good governance, with impact and compliance embedded
within ARUK.
We created an assurance framework that demonstrates ARUK's compliance to
statutory, regulatory and internal processes and procedures.
Failure of leadership,
governance or culture		 We will develop a 10-year strategy.
We have ongoing focus on maintaining high levels of employee engagement with
particular focus on personal growth.
We review our recruitment and selection process to ensure it represents good
practice which enables ARUK to attract a more diverse pool of applicants.
We embed equality, diversity and inclusion in our work, and are developing social
value and sustainability reporting.
ARUK's reputation
adversely affected over
the longer term		 We will ensure appropriate governance, oversight and audits are in place with
trusted partners. Additional data management resource is being brought in.
We have appropriate policies and procedures in place to ensure working with
appropriate individuals who share our objectives, and to ensure teams meet legal
obligations, and to capture and monitor complaints.
We have a proactive stakeholder engagement strategy.

Section 172 statement

Under the Companies Act 2006, Trustees have the duty to promote the success of Alzheimer’s Research UK ‘for the benefit of its members as a whole’. The following examples demonstrate how Trustees have considered this duty in their decision making, in regard to:

(a) the likely consequences of any decision in the long term

The Board of Trustees is responsible for setting the Charity’s strategic direction. All major decisions likely to impact the Charity in the long term are discussed at Board meetings (held five times a year) and by the relevant sub-committees on Audit and Risk, Investment, Nominations and Governance and Legacy. To help guide longterm projects, the board receives regular updates from the Executive Team.

(b) the interests of the charitable company's employees

Trustees recognise that its employees are what sets Alzheimer’s Research UK apart. Without their talent and dedication, we would not be able to achieve our vision. Therefore maintaining our culture and employee wellbeing is fundamental to continued success.

With Trustees’ support, our focus has been on launching and implementing a cross-organisational Equity, Diversity and Inclusion strategy this year, ensuring our work represents everyone affected by dementia and that we promote the diversity and inclusion of our people. See page 17 for more information on actions taken this year.

Trustees receive a summary of the annual Employee Engagement Survey highlighting strengths and opportunities for improvement as well as an update on progress in addressing these areas at each Board meeting.

Trustees are proud that Alzheimer’s Research UK was awarded a Best Companies 2-star accreditation for the second year running, recognising ‘outstanding’ levels of employee engagement, and included in the ‘UK’s 100 best large companies to work for’.

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Report of the Trustees for the year ended 31 March 2021 (continued)

This year, Trustees helped shape our Early Career Researcher programme – introduced following the COVID-19 pandemic when 35% of our researchers told us they may be forced to leave research altogether. In addition to new funding streams, the programme includes career development opportunities and a mentorship scheme to support future research leaders and retain their expertise.

And with Trustees’ support, a key area of our stakeholder engagement activity this year has been helping shape national policy to improve the dementia research landscape. This included partnering with the Department of Health and Social Care to lead the research elements of the government’s upcoming 10-year dementia strategy.

The Trustees take the environmental impact of the Charity seriously. See the carbon and energy reporting section on page 26 for further information on energy efficiency measures implemented during the year including flexible working patterns which reduced traffic to and from the office.

Through ‘Our promise to you’, we commit to making the best use of every donation, to keeping our supporters informed about our work and to treating their information with respect. More information on our approach to fundraising can be found on page 25.

Trustees receive updates from the Executive Team on any matters that could pose a reputational risk including mitigating action being taken.

Our structure, governance and management

Alzheimer’s Research UK is a charitable company limited by guarantee and does not have a share capital. In the event of the charitable company being wound up, each member has guaranteed to contribute £1. As at 31 March 2022, there were 12 Trustees. Currently, the maximum number of Trustees is 20. The Directors and Trustees are listed on page 62.

We are a registered charity regulated by the Charity Commission for England and Wales and by the Office of the Scottish Charity Regulator (OSCR).

The Executive Team reports to Trustees on income, expenditure and activities throughout the year and in writing ahead of each Trustee meeting (five times a year), as well as through regular discussion with the Chairman of the Trustees. Governance costs are modest and reflect the close link between employees and Trustees, who work with the volunteer Strategic Advisory Board (SAB), Grant Review Board (GRB) and other advisory groups to select grant applications, funding as many of the strongest as possible, as well as reviewing the progress of key research initiatives.

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Report of the Trustees for the year ended 31 March 2021 (continued)

Legal and Administrative details are set out on pages 62 to 63 of this report.

Governing document

The objects of the charity, as set out in the Articles of Association, are to preserve and protect the health of the public. This is undertaken by endorsing or assisting the promotion of research into the causal mechanisms of neurodegenerative diseases, with the aim of treating or preventing Alzheimer’s disease, dementia and other conditions having a similar or related cause and to disseminate the results of such research, and to advance the education of the public into the symptoms, causes and treatment of dementia and other conditions having a similar or related cause.

Trustees’ appointment and training

New Trustees are appointed through a recruitment campaign, depending on the experience and key skills needed. New Trustees are interviewed by the Chair, along with Trustees who sit on the Nominations and Governance Committee, and are formally approved at the Alzheimer’s Research UK Board meeting. Trustees are appointed for an initial term of one year.

Thereafter, a Trustee may be elected by the Trustees for up to three subsequent terms of up to three years, provided that no person may serve as a Trustee for more than ten years. Trustees may require a Trustee to retire at any time by unanimous agreement (save for up to two dissenters). In view of the regular Trustee meetings, the Trustees have agreed to dispense with a formal Annual General Meeting as permitted by the Companies Act. On appointment, new Trustees are provided with a Trustee handbook and given a formal induction with senior staff at Alzheimer’s Research UK’s offices.

The Trustee handbook includes the charity’s Articles of Association, as well as key governance documentation. Trustees are also given key guidance and resources from the Charity Commission including The Essential Trustee, as well as the Charity Governance Code. Ongoing training is provided for Trustees as relevant throughout their term. The Trustees have referred to the guidance contained in the Charity Commission’s general guidance on public benefit when reviewing our aims and objectives and in planning our future activities. In particular, the Trustees consider how planned activities will contribute to the aims and objectives they have set. The public benefits from our work through the advances made as a result of our world-class research and through our educational materials, website and campaigning to improve awareness and understanding of dementia.

Related parties

Alzheimer’s Research Trading Limited (company number: 03880026) is a wholly-owned trading subsidiary of Alzheimer’s Research UK; it commenced trading on 1 September 2011. The primary purpose of the subsidiary company during 2021/22 was to sell gifts and merchandise through an online shop and to Gift Aid any profits directly to the Charity.

Alzheimer’s Brain Bank UK is a registered charity (number 1114578) and a company limited by guarantee (number 5762960) and has no share capital. It has two members, Alzheimer’s Research UK and Alzheimer’s Society (registered charity number 296645). The main objectives of Alzheimer’s Brain Bank UK are to protect and promote the health of the public. This is undertaken by establishing, promoting and maintaining banks of brain tissue for research into the causes, prevention, treatment and cure of Alzheimer’s disease and associated neurodegenerative diseases through the Brains for Dementia Research (BDR) programme, which launched in 2007. Since its launch, more than 1,000 people have generously donated their brains through the scheme and over 51,000 tissue samples have been sent out to dementia researchers across the world.

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Report of the Trustees for the year ended 31 March 2021 (continued)

The UK Dementia Research Institute (UK DRI LTD - Company No. 11045257, Charity No. 1179589) was a joint £290m investment by founding funders the Medical Research Council, Alzheimer’s Society and Alzheimer’s Research UK. On 31 March 2022 the original Joint Venture Agreement between the Medical Research Council, Alzheimer’s Society and Alzheimer’s Research UK was dissolved. On cessation of the Joint Venture Agreement, Alzheimer’s Research UK became a Strategic Partner of the UK DRI and has pledged to support the institute with at least £12.5m over a five-year period.

The UK DRI breaks new ground by bringing together world-leading expertise in biomedical, care and translational dementia research in a national institute. The institute will grow to be made up of more than 750 scientists carrying out a rich, varied and integrated programme of research. The institute carries out research relevant to all forms of dementia, including Alzheimer’s disease, Parkinson’s disease, frontotemporal dementia, vascular dementia and Huntington’s disease.

Remuneration

To achieve our ambitions as the UK’s leading dementia research charity, we strive to attract the best people with the right skills, knowledge and experience to steer our work. Across the Charity, remuneration levels are set in accordance with the responsibilities of the role, with annual salary reviews taking into account individual performance over the past year. Salaries are benchmarked using survey data from the charitable sector. All salary increases are calibrated across the Charity and approved by the Nominations and Governance Committee. We do not have a bonus scheme in place and Trustees are not remunerated.

Our Grant Review Board (GRB) and Clinical Trials Advisory Panel (CTAP) are distinguished groups of some of the world’s leading dementia research experts who review grant applications before making recommendations for funding to our Trustees. All GRB and CTAP members carry out their roles on a voluntary basis, as do our external expert reviewers, Clinical Policy Advisory Panel and Policy Involvement Panel members, Ambassadors, Trustees and our President.

Our approach to fundraising

Our Fundraising team works carefully with third parties who are experts in telephone and face-to-face fundraising, and who feel as passionately about making breakthroughs in dementia research as we do. Working with agencies allows us to raise vital funds in the most cost-effective way, and we closely manage the work they do on our behalf.

Through our Supporter Charter, we commit to making the best use of every donation we receive, to keep our supporters informed about our work and to treat their information with respect.

In 2021/22 our fundraising appeals, including direct mail, telephone calls, face-to-face conversations and online/social media advertisements, had a reach of 44m people, with our fundraising activity generating just 143 complaints during the same period.

Over the past year we have worked with DTV Optimise, who provide telephone fundraising for us, Appco UK, who carry out door-to-door and private site fundraising on our behalf, and private site fundraisers REAL Fundraising. Alzheimer’s Research UK is a member of the Fundraising Regulator, and we carefully select the agencies we work with, only choosing partners who meet the standards we and the regulator expect, and who have clear policies in place to protect vulnerable people. We closely manage the work these agencies carry out on our behalf, ensuring that fundraisers are trained by charity staff at the start of campaigns, with refresher training delivered where a campaign runs for more than three months. Our Trustees also take an active interest in this area of work, with a member of our Board taking the time to visit our agencies and stay up to date with their work.

We take very seriously the quality and compliance of our fundraisers, monitoring activity consistently at set frequencies. For telephone campaigns, calls are regularly reviewed to ensure best practice, and monthly visits (where possible) to agency premises are used to provide real-time feedback. Callers may ask for a donation no more than three times during a call, in line with best practice. Door-to-door fundraisers representing the Charity do not operate in ‘no cold calling zones’, and do not approach houses obviously occupied by vulnerable individuals or displaying ‘no cold caller’ signs.

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Report of the Trustees for the year ended 31 March 2022 (continued)

Our Vulnerable Persons policies exist to ensure that Alzheimer’s Research UK employees, and any fundraisers who work on our behalf, are alert to the signs that a person may not have the capacity to make an informed decision about donating. If a fundraiser identifies that they may be communicating with a vulnerable person, a donation will not be requested.

UK greenhouse emissions and energy use - Carbon and energy reporting

The Trustees take the impact of greenhouse gas emissions on the environment very seriously. The office is located on Granta Park in Abington, Cambridgeshire, which is a green energy site. The following energy efficiency measures have been implemented during the year:

The UK greenhouse emissions and energy use of the group for the year have been calculated as follows:

Energy Greenhouse gas Greenhouse gas Energy Greenhouse gas
consumed emissions (kg CO2e) consumed emissions (kg CO2e)
Scope Energy 2021/22 2021/22 2020/21 2020/21
Scope 2 Purchase of electricity for the
Group’s own use		 57,005 kWh 12,104 64,126 Wh 14,950
Scope 3 Consumption of transport fuel:
business travel - land		 4,811 litres 15,956 4,811 litres 469
Total emissions 28,060 15,419
Intensity
based on		 ratio: total energy emissions per employee (kg CO2e) -
205 employees at the year end (2021: 205)		 136.88 75.21

Emissions have been calculated with reference to the 2020 HM Government Environmental Reporting Guidelines and GHG Reporting Protocol - Corporate Standard and using the 2021 UK Government’s Conversion Factors for Company Reporting. Data has been drawn from supplier invoices for electricity consumption and from personal claims for business mileage for the consumption of transport fuel.

Business relationships

For information on business relationships, please refer to the Section 172 statement on pages 22 and 23.

In so far as each of the Trustees are aware:

The Report of the Trustees prepared under the Charities Act 2011, which also contains all information required in a Directors’ report by the Companies Act 2006, and the incorporated Strategic Report prepared under the Companies Act 2006, were approved by the Board of Trustees on 26 August 2022 and signed on behalf of the Trustees by

DAVID MAYHEW CBE , CHAIRMAN

26

ALZHEIMER’S RESEARCH UK

Statement of Trustees’ responsibilities

The Trustees (who are also Directors of Alzheimer’s Research UK for the purposes of company law) are responsible for preparing the Report of the Trustees and the financial statements in accordance with applicable laws and regulations.

Company law requires the Trustees to prepare financial statements for each financial year. Under that law the Trustees have prepared the financial statements in accordance with United Kingdom Accounting Standards, comprising FRS102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ and applicable law (United Kingdom Generally Accepted Accounting Practice). Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and group for that period. In preparing those financial statements, the Trustees are required to:

The Trustees are responsible for keeping proper and adequate accounting records that are sufficient to show and explain the charitable company’s and group’s transactions, disclose with reasonable accuracy at any time the financial position of the charitable company and the group, and enable them to ensure that the financial statements comply with the Companies Act 2006 and the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended).

They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included in the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

27

ALZHEIMER’S RESEARCH UK

Independent Auditor’s Report to the Trustees and Members of Alzheimer’s Research UK

Opinion

We have audited the financial statements of Alzheimer’s Research UK (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the year ended 31 March 2022 which comprise the Consolidated and Charity Statements of Financial Activities incorporating an income and expenditure account, the Consolidated and Charity Balance Sheets, the Consolidated and Charity Cash Flow Statements and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

Basis for opinion

We have been appointed auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006 and report in accordance with regulations made under those Acts.

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group’s or parent charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

28

ALZHEIMER’S RESEARCH UK

Independent Auditor’s Report to the Trustees and Members of Alzheimer’s Research UK

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report or the strategic report, included within the trustees’ annual report.

We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 (as amended) require us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out on page 27 the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

29

ALZHEIMER’S RESEARCH UK

Independent Auditor’s Report to the Trustees and Members of Alzheimer’s Research UK

The extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities are instances of non-compliance with laws and regulations. The objectives of our audit are to obtain sufficient appropriate audit evidence regarding compliance with laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements, to perform audit procedures to help identify instances of non-compliance with other laws and regulations that may have a material effect on the financial statements, and to respond appropriately to identified or suspected non-compliance with laws and regulations identified during the audit.

In relation to fraud, the objectives of our audit are to identify and assess the risk of material misstatement of the financial statements due to fraud, to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud through designing and implementing appropriate responses and to respond appropriately to fraud or suspected fraud identified during the audit.

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the group audit engagement team:

As a result of these procedures, we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Charities SORP (FRS 102), Companies Act 2006, Charities Act 2011, Charities and Trustee Investment (Scotland) Act 2005, the parent charitable company’s governing document and tax legislation. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements including the Trustees’ Report, remaining alert to new or unusual transactions which may not be in accordance with the governing documents and inspecting any correspondence with local tax authorities.

The group audit engagement team identified the risk of management override of controls and the completeness of income as the areas where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included but were not limited to testing manual journal entries and other adjustments, evaluating the business rationale in relation to any significant, unusual transactions and transactions entered into outside the normal course of business, challenging judgments and estimates, and performing tests of detail in relation to completeness of income.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at http://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

30

ALZHEIMER’S RESEARCH UK

Independent Auditor’s Report to the Trustees and Members of Alzheimer’s Research UK

Use of our report

This report is made exclusively to the members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006, and to the charitable company’s trustees, as a body, in accordance with section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006 (as amended). Our audit work has been undertaken so that we might state to the members and the charitable company’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 charitable company, its members as a body, and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Claire Sutherland

CLAIRE SUTHERLAND (Senior Statutory Auditor) For and on behalf of RSM UK AUDIT LLP, Statutory Auditor

Chartered Accountants

Blenheim House Newmarket Road Bury St Edmunds IP33 3SB

1 September 2022

RSM UK AUDIT LLP is eligible to act as an auditor in terms of section 1212 of the Companies Act 2006

31

ALZHEIMER’S RESEARCH UK

Consolidated statement of financial activities incorporating an income and expenditure account for the year ended 31 March 2022

Note
Unrestricted
Funds
£
Income from:
Donations and legacies
4
29,732,633
Charitable activities
137,282
Other trading & income generating activities
319,196
Investments
5
995,057
Other income
2
63,117
Net income in joint venture operations
10
-

Total income
31,247,285

Expenditure on:
Raising funds
12,909,525
Charitable activities
6
23,683,116
Net expenditure in joint venture operations
10
-

Total expenditure
36,592,641

Net realised gains/(losses) on investments
10
126,790
Unrealised gains/(losses) on investments
10
587,200

Total net gains/(losses) on investments
713,990

Net income/(expenditure) before transfers
(4,631,366)

Transfers between funds
6,017,367

Net movement in funds
1,386,001

Reconciliation of funds:
Funds balance at 1 April
11,514,276

Funds balance at 31 March
15, 16
12,900,277		 Restricted
Funds
£
9,444,303
1,473,363
-
-
-
21,953
10,939,619
-
4,928,802
3,379,198
8,308,000
-
-
-
2,631,619
(6,017,367)
(3,385,748)
6,306,381
2,920,633		 Year ended
31 March
2022
Total
£
39,176,936
1,610,645
319,196
995,057
63,117
21,953
42,186,904
12,909,525
28,611,918
3,379,198
44,900,641
126,790
587,200
713,990
(1,999,747)
-
(1,999,747)
17,820,657
15,820,910		 Year ended
31 March
2021
Total
£
(note 23)
33,829,466
476,915
393,034
901,839
1,083,752
2,559,723
39,244,729
9,903,459
21,334,375
-
31,237,834
173,623
2,555,398
2,729,021
10,735,916
-
10,735,916
7,084,741
17,820,657

32

ALZHEIMER’S RESEARCH UK

Charity statement of financial activities incorporating an income and expenditure account for the year ended 31 March 2022

Note
Income from:
Donations and legacies
4
Charitable activities
Other trading & income generating activities
Investments
5
Other income
2
Total income
Expenditure on:
Raising funds
Charitable activities
6
Total expenditure
Net realised gains/(losses) on investments
10
Unrealised gains/(losses) on investments
10
Total net gains/(losses) on investments
Net income/(expenditure) before transfers
Transfers between funds
Net movement in funds
Reconciliation of funds:
Funds balance at 1 April
Funds balance at 31 March
15, 16		 Unrestricted
Funds
£
29,864,351
137,282
230,063
995,057
63,117

31,289,870

12,883,182
23,682,142

36,565,324

126,790
587,200

713,990

(4,561,464)

6,017,367

1,455,903

11,400,807

12,856,710		 Restricted
Funds
£
9,444,303
1,473,363
-
-
-

10,917,666

-
4,928,802

4,928,802

-
-

-

5,988,864

(6,017,367)

(28,503)

2,808,483

2,779,980		 Year ended
31 March
2022
Total
£
39,308,654
1,610,645
230,063
995,057
63,117
42,207,536
12,883,182
28,610,944
41,494,126
126,790
587,200
713,990
1,427,400
-

1,427,400
14,209,290
15,636,690		 Year ended
31 March
2021
Total
£
(note 23)
34,073,899
476,915
221,612
901,839
1,083,752
36,758,017
9,862,954
21,335,177
31,198,131
173,623
2,555,398
2,729,021
8,288,907
-
8,288,907
5,920,383
14,209,290

33

ALZHEIMER’S RESEARCH UK

Consolidated balance sheet as at 31 March 2022

31 March 2022 31 March 2021
Note £ £
Fixed assets
Tangible assets 9a 330,029 344,648
Intangible assets 9b 21,374 56,219
Investments 10 14,494,971 18,530,560

14,846,374		 18,931,427
Current assets
Stocks 11 5,155 6,709
Assets held for sale 11 264,698 -
Debtors 12 7,637,772 4,948,123
Investments 10 26,728,874 26,493,465
Cash at bank and in hand 1,626,203 3,260,656

36,262,702		 34,708,953
Creditors: amounts falling due within one year 13
(30,267,813)		 (31,350,829)
Net current assets
5,994,889		 3,358,124
Total assets less current liabilities
20,841,263		 22,289,551
Creditors: amounts falling due after more than one year 14
(5,020,353)		 (4,468,894)
Total assets less total liabilities
15,820,910		 17,820,657
Funds
Restricted funds 15 2,920,633 6,306,381
Unrestricted funds
General funds 16 7,900,277 6,514,276
Designated funds 16 5,000,000 5,000,000

15,820,910
 17,820,657

The financial statements on pages 32 to 63 were approved and authorised for issue by the Board of Trustees on 26 August 2022.

N Antill Trustee

D Mayhew CBE Trustee

The notes on pages 38 to 63 form part of these financial statements.

34

Charity number: SC042474 Company number: 03681291

ALZHEIMER’S RESEARCH UK

Charity balance sheet as at 31 March 2022

31 March 2022 31 March 2021
Note £ £
Fixed assets
Tangible assets 9a 330,029 344,648
Intangible assets 9b 21,374 56,219
Investments 10 14,374,318 15,052,662

14,725,721		 15,453,529
Current assets
Assets held for sale 11 264,698 -
Debtors 12 7,662,858 5,043,768
Investments 10 26,728,874 26,493,465
Cash at bank and in hand 1,531,434 3,033,932

36,187,864		 34,571,165
Creditors: amounts falling due within one year 13
(30,256,542)		 (31,346,510)
Net current assets
5,931,322		 3,224,655
Total assets less current liabilities
20,657,043		 18,678,184
Creditors: amounts falling due after more than one year 14
(5,020,353)		 (4,468,894)
Total assets less total liabilities
15,636,690		 14,209,290
Funds
Restricted funds 15 2,779,980 2,808,483
Unrestricted funds
General funds 16 7,856,710 6,400,807
Designated funds 16 5,000,000 5,000,000

15,636,690
 14,209,290

The financial statements on pages 32 to 63 were approved and authorised for issue by the Board of Trustees on 26 August 2022.

N Antill D Mayhew CBE Trustee Trustee

The notes on pages 38 to 63 form part of these financial statements.

35

ALZHEIMER’S RESEARCH UK

Consolidated cash flow statement for the year ended 31 March 2022

Year ended Year ended
31 March 2022 31 March 2021
£ £
Cash flows from operating activities
Net cash provided by/(used in) operating activities a (3,515,451) 6,579,483
Cash flow from investing activities
Investment income 942,703 888,401
Purchase of property, plant and equipment (181,722) (12,272)
Purchase of intangible fixed assets - (7,572)
Proceeds from sale of tangible fixed assets 695 4,658
Proceeds from sales of investments 5,747,995 2,700,717
Purchase of investments (4,628,673) (12,948,776)
Net cash provided by/(used in) investing activities 1,880,998 (9,374,844)
Change in cash and cash equivalents in reporting period (1,634,453) (2,795,361)
Cash and cash equivalents at the beginning of the reporting period 3,260,656 6,056,017
Cash and cash equivalents at the end of the reporting period b 1,626,203 3,260,656
Reconciliation of expenditure to net cash flow from operating activities 2022 2021
£ £
a. Net cash provided by operating activities
Net movement in funds (1,999,747) 10,735,916
Adjustments for:
Depreciation and amortisation charges 231,186 239,338
(Profit)/loss on disposal of fixed assets (695) (3,740)
(Gains)/losses on investments (713,990) (2,729,021)
Dividends and interest from investments (995,057) (901,839)
(Increase)/decrease in stocks 1,554 9,486
(Increase)/decrease in assets held for sale (264,698) -
(Increase)/decrease in debtors (2,637,295) 3,364,969
Increase/(decrease) in creditors (531,557) (1,733,968)
Share of (profit)/loss from joint venture investment 3,357,245 (2,559,723)
(Gains)/losses on programme related investments 37,603 158,065
(3,515,451) 6,579,483
b. Analysis of cash and cash equivalents
Cash at bank and in hand 1,626,203 3,260,656
At 1 April 2021 Cash flows At 31 March 2022
Analysis of changes in net funds £ £ £
Cash 3,260,656 (1,634,453) 1,626,203

36

ALZHEIMER’S RESEARCH UK

Charity cash flow statement for the year ended 31 March 2022

Year ended Year ended
31 March 2022 31 March 2021
£ £
Cashflows from operating activities
Net cash provided by/(used in) by operating activities a (3,383,496) 6,692,540
Cash flow from investing activities
Investment income 942,703 888,401
Purchase of property, plant and equipment (181,722) (12,272)
Purchase of intangibles - (7,572)
Proceeds from sale of tangible fixed assets 695 4,658
Proceeds from sales of investments 5,747,995 2,700,717
Purchase of investments (4,628,673) (12,948,776)
Net cash provided by/(used in) investing activities 1,880,998 (9,374,844)
Change in cash and cash equivalents in reporting period (1,502,498) (2,682,304)
Cash and cash equivalents at the beginning of the reporting period 3,033,932 5,716,236
Cash and cash equivalents at the end of the reporting period b 1,531,434 3,033,932
Reconciliation of expenditure to net cash flow from operating activities 2022 2021
£ £
a. Net cash provided by operating activities
Net movement in funds 1,427,400 8,288,907
Adjustments for:
Depreciation and amortisation charges 231,186 239,338
(Profit)/loss on disposal of fixed assets (695) (3,740)
(Gains)/losses on investments (713,990) (2,729,021)
Dividends and interest from investments (995,057) (901,839)
(Increase)/decrease in assets held for sale (264,698) -
(Increase)/decrease in debtors (2,566,736) 3,352,214
Increase/(decrease) in creditors (538,509) (1,711,384)
(Gains)/losses on programme related investments 37,603 158,065
(3,383,496)
6,692,540
b. Analysis of cash and cash equivalents
Cash at bank and in hand 1,531,434 3,033,932
At 1 April 2021 Cash flows At 31 March 2022
Analysis of changes in net funds £ £ £
Cash 3,033,932
 (1,502,498) 1,531,434

37

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022

1. Accounting policies

Basis of accounting

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) - (Charities SORP(FRS102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) and the Companies Act 2006.

Alzheimer's Research UK is a company limited by guarantee (registered number 03681291) and is a public benefit entity as defined by FRS 102, registered as a charity in England and Wales (charity number 1077089) and Scotland (SC042474) and domiciled in the UK. The address of its registered office is set out on page 63.

Assets and liabilities are initially recognised at cost or transaction value unless otherwise stated in the relevant accounting policy notes. Monetary amounts in these financial statements are rounded to the next whole £1 except where otherwise indicated and these financial statements are presented in sterling, which is also the functional currency of the Group and Charity.

Going concern

The use of the going concern basis of accounting is considered to be appropriate because there are no material uncertainties related to events or conditions that may cast significant doubt about the ability of the Group or Charity to continue as a going concern.

The Group’s and Charity’s business activities, together with the factors likely to affect their future development, performance and position are set out in the Trustees Report and incorporated Strategic Report on pages 6 to 26.

Over recent years the Group’s Reserves policy has provided comfort in the Group’s ability to continue as a going concern.

The investment portfolio is made up of a mixture of gilts, bonds, and equity investments, with an emphasis towards UK corporate bonds and gilts, which are deemed to be less risky in an uncertain environment. The robust Investment Policy, together with the prudent approach to how the investments are managed, help to ensure that the Group and Charity are protected from any significant downturns in the financial markets.

Careful cash management processes ensure the best use of cash resources, ensuring that all liabilities can be met as they fall due for payment. In addition, there are no borrowings and there is no current requirement to raise additional funds through future borrowing.

Monthly reforecasting and budgetary management processes ensure that the annual financial outturn is monitored and reviewed regularly, as well as cash flow forecasting to ensure the Group and Charity do not overcommit themselves. In addition, projections are produced for the next five years which together with availability of detailed financial information informs an assessment of the level of research commitments which can be made.

As part of the Trustees’ review of going concern, draft budgets have been prepared for the financial years to 31 March 2023 and 31 March 2024. These budgets have been used to assess the expected balance sheet position for 31 March 2024. The expected balance sheet position looks positive, with liquid resources sufficient to cover all outstanding liabilities as they fall due.

The Group currently has significant liquid resources which are equivalent to the research commitments which have been made and are payable over the next five years. It is the purpose of the Group to raise as much money as possible for purposes of funding research. Future commitments will be made in accordance with income levels at that time, keeping in mind the requirements of the reserves policy.

The Trustees are confident that the Group is a going concern, and that there are triggers and safeguards which can be deployed to ensure the future operation of the Group, if needed.

Fund accounting

The Charity maintains various types of funds as follows:

Restricted funds

Restricted funds represent grants, donations and legacies received which are allocated by the donor for specific purposes.

38

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2021 (continued)

Unrestricted funds

General unrestricted funds represent unrestricted income which is expendable at the discretion of the Trustees in the furtherance of the objects of the Charity. This also includes designated funds which represent amounts that have been set aside for specific purposes at the discretion of the Trustees.

Fund transfers

Transfers between restricted and unrestricted funds represent restricted income received where expenditure has already been provided for.

Basis of consolidation

The financial statements comprise the assets, liabilities and funds, and the Statement of Financial Activities of Alzheimer’s Research UK and its subsidiary. The financial statements also include the Charity’s share of the income and expenditure from joint ventures in the consolidated Statement of Financial Activities and its share of the net assets is included in the consolidated Balance Sheet.

Income

All income is recognised in the Statement of Financial Activities when the conditions for receipt have been met and there is reasonable probability of receipt. Where a claim for repayment of income tax has or will be made, such income is grossed up for the tax recoverable. The following accounting policies are applied to income:

Donated services and goods

Services donated to the Charity are recognised as income in the year when received at the equivalent of open market value.

Assets given in kind for conversion into cash and subsequent application by the Charity are recognised as income in the accounting period when receivable. They are valued on receipt at the estimated net realisable value, being the estimated selling price less costs to sell, with the estimated net realisable value being recognised as income on receipt of the assets. Any surplus or loss made on subsequent sale is recognised in the Statement of Financial Activities when the asset is sold.

Donations

Donations and all other receipts from fundraising are reported gross and the related fundraising costs are reported in expenditure on raising funds. Donations are accounted for at the point when the Charity is entitled to the income, there is probability of receipt, and the monetary value can be measured with sufficient reliability.

Government grants

Income from government grants is presented within other income. Government grants are recognised at the fair value of the funds received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

Investment income

Investment income is accounted for when receivable. Tax recoverable relating to investment income is accounted for in the same period as the related income.

Legacies

Legacies are included in the Statement of Financial Activities when the Charity is legally entitled to the distribution and the amount can be determined with accuracy and it is probable that the legacy will be received. Reversionary interests involving a life tenant are not recognised.

Expenditure

All expenditure is accounted for on an accruals basis. The costs of raising funds represent expenditure incurred in general fundraising activities.

Charitable activities represent expenditure incurred in issuing grants to academic institutions for research purposes, providing information about dementia and advocating for dementia research.

Support costs are attributed to the costs of raising funds and charitable activities using a percentage based upon the direct expenditure allocation.

Research commitments

Research commitments are accounted for as expenditure in the Statement of Financial Activities when there is a constructive obligation based on a formal offer to the recipient. Where the promise of financial support is not

39

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

binding on the Trustees, such intentions may be accounted for by a transfer to a designated fund. The present value of future commitments to research has been considered at a discount rate of 2.3% (2021: 2%) and the resulting potential discounting is not considered to be material to the overall value of the commitment, or to the net movement in funds on a recurrent basis and therefore the impact has not been reflected in these financial statements. Grants where there are annual reviews or other milestones upon which future funding is conditional are not recognised as a liability until all conditions are met. These non-binding grant commitments are disclosed in note 13.

Tangible fixed assets

Tangible fixed assets costing more than £500 are capitalised and included at cost.

Depreciation is provided to write off the cost of all assets over their expected useful lives as follows:

Fixtures and office equipment - 20% to 33% straight line Leasehold improvements - over the period of the lease

Intangible fixed assets

Intangible fixed assets costing more than £500 are capitalised and included at cost.

Amortisation is provided to write off the cost of all assets over their expected useful lives as follows:

Computer software - 20% to 33% straight line

The amortisation charge is included within support costs and allocated on the basis of expenditure incurred.

Investments

Investments in the investment portfolio are stated at market value, using quoted bid price. Realised and unrealised gains and losses are shown separately in the appropriate section of the Statement of Financial Activities. The composition of investments is reviewed annually and split between fixed and current depending upon the nature of the investment category, and any intentions to realise within 12 months from the reporting date.

The investment in the subsidiary is included in the balance sheet at cost, less any provision for impairment in value. The investments in the joint ventures are accounted for under the gross equity method.

The programme related investment is included in the balance sheet at fair value based on the balance sheet of the fund invested in with gains taken as an increase to income from charitable activities and losses taken as an increase to expenditure on charitable activities.

Stocks and assets held for sale

Stocks are items purchased for sale and are included at the lower of cost and net realisable value.

Assets held for sale are items which have been gifted to the charity and which are held for subsequent sale and are included at the lower of cost and net realisable value.

Pensions

The Charity operates a defined contribution pension scheme for its employees. Obligations for contributions to the defined contribution pension scheme are charged to the Statement of Financial Activities in the year in which they become payable.

Debtors

Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Accrued income and tax recoverable is included at the best estimate of the amounts receivable at the balance sheet date.

Creditors

Creditors are recognised where the Charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their settlement amount after allowing for any discounts due.

40

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

Financial Instruments

The Charity only has financial assets and financial liabilities of a kind that qualify as a basic financial instrument. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised costs using the effective interest method, apart from listed investments and the programme related investments, which are held at fair value, derived as noted within the investments accounting policy. Further details of financial instruments measured at fair value are shown in note 24.

Leases

The annual rental of all operating leases is charged to the Statement of Financial Activities on a straight-line basis over the lease term. Rent free periods and other incentives received for entering into an operating lease are accounted for as a reduction to the expense and are recognised on a straight-line basis over the lease term.

Critical accounting estimates and areas of judgement

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

The Group makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. There are not considered to be any estimates or assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.

Accrued legacy income

There is inherent uncertainty in the probate valuation of estates due to the nature of underlying assets and liabilities, the time that may lapse between probate and closure, and other contingencies that attend the estate.

Cases are reviewed on a case-by-case basis and the following valuation technique is applied to ascertain the value of the estate to be included in accrued legacy income:

Estate accounts received 100% Assets and Liabilities accounts received 86.4% Solicitor’s letter received 15%

Each year the measurement uncertainty factor is calculated and reviewed to ensure it continues to be supported by actual realisation rates.

Critical areas of judgement

The Trustees do not consider that there are any critical areas of judgement applied in the preparation of these financial statements.

41

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

2. Net income/(expenditure) for the year

Net income/(expenditure) for the year
Year ended Year ended
Group and Charity 31 March 31 March
2022 2021
Net income/expenditure for the year is stated after charging: £ £
Income from government grants - Coronavirus job retention scheme 63,117 1,083,752
Audit services
- Charity and group audit services		 29,950 27,750
- Trading subsidiary audit services 2,500 2,250
- Tax compliance services 3,825 3,525
Depreciation of tangible fixed assets 196,341 196,510
Amortisation of intangible fixed assets 34,845 42,828
(Profit)/loss on disposal of fixed assets (695) (3,742)
Payments under operating leases - land and buildings 411,746 411,746
Payments under operating leases - plant and machinery 23,462 23,019

3. Information regarding employees and trustees

Year ended Year ended
31 March 31 March
2022 2021
Group and Charity Number Number
Charitable activities 65 62
Fundraising 112 115
Support services 28 28
205 205
£ £
Salaries 7,789,750 7,543,912
National insurance 847,223 820,552
Other pension costs 391,978 378,224
9,028,951 8,742,688
The number of employees whose emoluments have exceeded £60,000 in the year were: The number of employees whose emoluments have exceeded £60,000 in the year were:
Number Number
£60,001 - £70,000 15 9
£70,001 - £80,000 1 2
£80,001 - £90,000 4 5
£90,001 - £100,000 1 2
£110,001 - £120,000 1 -
£130,001 - £140,000 - 1
£140,001 - £150,000 1 -
£180,001 - £190,000 1 -

All of the above individuals are members of the defined contribution pension scheme. Trustees are not remunerated nor reimbursed for their expenses.

The total employment costs of the key management personnel, which is comprised of the Chief Executive, Deputy CEO and Executive Director of Fundraising & Communications, Chief Medical Officer and Executive Director of Finance and Operations were £528,700 (2021: £408,592).

During the year, £72,632 (2021: £nil) was paid in respect of termination payments, of which £72,632 (2021: £nil) was contractual. No funding was received in respect of these payments.

42

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

3. Information regarding employees and trustees (continued)

The Charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the Charity in an independently administered fund. Contributions payable by the Charity charged to expenditure amounted to £391,978 (2021: £378,224). Included within creditors at the year-end is £nil (2021: £58,190) of outstanding pension contributions.

4. Donations and legacies

Unrestricted
funds
Group
£
Charitable trusts
2,414,677
Legacy income
8,501,860
Other donations
18,741,320
Donated services
74,776
29,732,633
Charity
£
Charitable trusts
2,414,677
Legacy income
8,501,860
Other donations
18,873,038
Donated services
74,776
29,864,351		 Restricted
funds
£
4,515,085
1,768,091
3,161,127
-
9,444,303
£
4,515,085
1,768,091
3,161,127
-
9,444,303		 Total
Year ended
31 March
2022
£
6,929,762
10,269,951
21,902,447
74,776
39,176,936

£
6,929,762
10,269,951
22,034,165
74,776
39,308,654		 Total
Year ended
31 March
2021
£
3,434,537
11,175,854
19,179,946
39,129
33,829,466
£
3,434,537
11,175,854
19,424,379
39,129
34,073,899

Details of the use of volunteers within the charity can be found in the Trustees’ Report on page 17.

5. Investment income

Investment income
Year ended Year ended
31 March 31 March
2022 2021
Group and Charity £ £
Bank deposits 4,210 12,547
Dividend income 990,551 889,292
Other interest 296 -
995,057
 901,839

43

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

6. Expenditure on charitable activities

Unrestricted
funds
Restricted
funds
Group
£
£
Dementia research
18,746,315
4,803,870
Information and advocacy
4,936,801
124,932

23,683,116
4,928,802

Unrestricted
funds
Restricted
funds
Charity
£
£
Dementia research
18,745,511
4,803,870
Information and advocacy
4,936,631
124,932

23,682,142
4,928,802

7.
Support costs
Raising Funds
Research
Information &
Advocacy
Group
£
£
£
Human resources
211,253
385,378
82,831
Premises
176,120
321,287
69,055
Finance
193,199
352,443
75,752
Corporate
117,335
214,047
46,006
IT & office costs
223,967
408,571
87,816
Depreciation & amortisation
69,014
125,899
27,060
Governance
132,249
241,256
51,854
1,123,137
2,048,881
440,374
Charity
£
£
£
Human resources
210,960
385,619
82,884
Premises
175,875
321,488
69,100
Finance
192,932
352,663
75,799
Corporate
117,172
214,181
46,035
IT & office costs
223,657
408,826
87,870
Depreciation & amortisation
68,918
125,977
27,078
Governance
130,926
239,324
51,439
1,120,440
2,048,078
440,205		 Total
2022
£
23,550,185
5,061,733
28,611,918

Total
2022
£
23,549,381
5,061,563
28,610,944

Year ended
31 March
2022
£
679,462
566,462
621,394
377,388
720,354
221,973
425,359

3,612,392

£
679,463
566,463
621,394
377,388
720,353
221,973
421,689

3,608,723		 Total
2021
£
17,334,179
4,000,196
21,334,375
Total
2021
£
17,334,831
4,000,346
21,335,177
Year ended
31 March
2021
£
504,176
646,630
554,078
476,735
777,790
235,597
565,471

3,760,477

£
504,175
646,630
554,078
476,735
777,790
235,597
561,723

3,756,728

Support costs have been allocated on the basis of direct expenditure incurred.

44

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

8. Grant giving

Group
New research commitments entered into during the year for dementia research
Release of provisions no longer required
Support costs allocated to grant giving
Grant giving charged to the Statement of Financial Activities
Other research costs
Support costs allocated to Dementia research
Dementia research charged to the Statement of Financial Activities
Charity
New research commitments entered into during the year for dementia research
Release of provisions no longer required
Support costs allocated to grant giving
Grant giving charged to the Statement of Financial Activities
Other research costs
Support costs allocated to Dementia research
Dementia research charged to the Statement of Financial Activities		 Year ended
31 March
2022
£
20,878,695
(972,184)
1,896,982
21,803,493
1,593,989
151,899

23,549,381
Year ended
31 March
2022
£
20,878,695
(972,184)
1,896,097
21,802,608
1,595,596
151,981

23,550,185		 Year ended
31 March
2021
£
14,832,436
(794,781)
1,921,154
15,958,809
1,209,800
165,570
17,334,179
Year ended
31 March
2021
£
14,832,436
(794,781)
1,921,754
15,959,409
1,209,800
165,622

17,334,831

All group and charity grants are paid to institutions. An analysis of grant-funded research by host institution with details of the grants awarded during the period, forming part of these audited financial statements, can be found below:

below:
Total Total
Year ended Year ended
31 March 31 March
2022 2021
£ £
Alzheimer’s Brain Bank UK - 472,554
Aptuit UK - 391,593
Aston University 173,980 29,000
AZ Discovery Ltd 42,000 -
Boston University 270,408 271,034
Bournemouth University 116,000 -
Cardiff University 593,999 222,913
Case Western Reserve University - 12,470
Charles River Discovery Research Services UK 344,759 347,037
Crawford Works 15,000 20,000
De Montfort University - 45,282
DH Healthcare 48,000 12,000
Subtotal
1,604,146		 1,823,883

45

ALZHEIMER’S RESEARCH UK

N otes forming part of the financial statements for the year ended 31 March 2022 (continued)

8. Grant giving (continued)

Brought forward
Edith Cowan University
Evotec UK (Ltd)
Health Policy Partnership
Imperial College London
John Hampden Surgery
King's College London
Medical Research Council
National Physical Laboratory
Newcastle University
Northumbria University
New York University School of Medicine
Other Consultancy
Queen's University Belfast
RNID
Sans Serif Consulting
The University of Manchester
The Alan Turing Institute
The Florey Institute of Neuroscience and Mental Health Careers
UK DRI Limited
UKRI Medical Research Council
University College London
University of Aberdeen
University of Bath
University of Bradford
University of Bristol
University of Cambridge
University of Camerino
University of Dundee
University of Edinburgh
University of Exeter
University of Glasgow
University of Manchester
University of Minnesota
University of Notre Dame
University of Nottingham
University of Oxford
University of Portsmouth
University of Reading
University of Sheffield
University of Southampton
University of Strathclyde
University of Sussex
University of Sydney
University of Warwick
VIB Center for Molecular Neurology
York Health Economics Consortium		 1,604,146
649,340
277,238
87,179
4,000
15,840
626,289
-
70,000
304,900
49,178
-
87,000
63,000
-
31,002
107,000
-
-
2,500,000
250,000
4,355,686
47,531
49,905
49,951
23,595
4,310,308
49,995
458,582
47,995
246,251
-
-
-
-
49,939
2,779,825
5,000
153,222
305,535
-
49,772
10,000
659,622
499,869
-
-

20,878,695		 1,823,883
-
-
-
153,251
-
181,006
79,561
-
721,451
-
25,000
15,000
14,000
90,250
62,004
-
495,000
4,921
2,000,000
-
2,741,478
-
4,920
-
220,070
2,229,292
-
41,750
-
251,733
12,500
52,187
2,196
5,581
-
3,440,882
26,750
34,250
14,500
27,907
-
-
-
-
12,500
48,613
14,832,436

46

ALZHEIMER’S RESEARCH UK

N otes forming part of the financial statements for the year ended 31 March 2022 (continued)

9a. Tangible fixed assets

Leasehold
improvements
Group and Charity
£
Cost
At 1 April 2021
1,246,019
Additions
-
Disposals
-
At 31 March 2022
1,246,019
Depreciation
At 1 April 2021
1,004,573
Charge for the year
94,930
Disposals
-
At 31 March 2022
1,099,503
Net book value
At 31 March 2022
146,516
At 31 March 2021
241,446		 Fixtures
& office
equipment
£
455,018
181,722
(52,977)
583,763
351,816
101,411
(52,977)
400,250
183,513
103,202		 Total
£
1,701,037
181,722
(52,977)
1,829,782
1,356,389
196,341
(52,977)
1,499,753
330,029
344,648

All tangible fixed assets are held for charitable purposes.

9b. Intangible fixed assets

Group and Charity
Cost
At 1 April 2021
Additions
At 31 March 2022
Amortisation
At 1 April 2021
Charge for the year
At 31 March 2022
Net book value
At 31 March 2022
At 31 March 2021		 Computer
software
£
251,278
-
251,278
195,059
34,845
229,904
21,374
56,219

47

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2021 (continued)

10. Investments

Market value
1 April
Additions
Disposals
Realised and unrealised
investment gains/(losses)
Market value at 31 March
Group
Charity
Cost at 31 March		 Investment
portfolio
Programme
related
investment
£
£
40,245,429
1,280,698
4,319,362
309,311
(5,457,331)
(290,664)
713,990
(37,603)
39,821,450
1,261,742
39,821,450
1,261,742
39,821,450
1,261,742
35,615,731
1,586,703		 Shares in
subsidiary
Share in
Joint
ventures

£
£
20,000
3,497,898

-
-
-
(3,379,198)
-
21,953
20,000
140,653

-
140,653
20,000
-
20,000
140,653		 Total
Year ended
31 March
2022
£
45,044,025

4,628,673

(9,127,193)
698,340
41,243,845

41,223,845
41,103,192
37,363,087		 Total
Year ended
31 March
2021
£
29,665,287
12,948,776
(2,700,717)
5,130,679
45,044,025
45,024,025
41,546,127
41,674,565

Shares held under the heading investment portfolio and the programme related investment are recognised at their fair value, other investments are valued at cost.

Composition of investment portfolio
UK Corporate bonds
Overseas Corporate bonds
UK Gilts
Cash deposits
UK alternative investments
UK equity investments
Non-UK equity investments
Presentation of investments
Fixed asset investments
Current investments		 Year ended
31 March
2022
Group
£
14,494,971
26,728,874
41,223,845		 Year ended
31 March
2022
Charity
£
14,374,318
26,728,874
41,103,192		 Year ended
31 March
2022
£
7,519,877
1,374,223
4,198,476
3,293,281
8,610,391
6,208,092
8,617,110
39,821,450
Year ended
31 March
2021
Group
£
18,530,560
26,493,465
45,024,025		 Year ended
31 March
2021
£
8,049,663
1,475,561
4,226,740
7,382,391
6,948,031
5,086,043
7,077,000
40,245,429
Year ended
31 March
2021
Charity
£
15,052,662
26,493,465
41,546,127

48

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

10. Investments (continued)

Programme related investments

The Dementia Discovery Fund ('DDF' or 'the Fund') was launched in October 2015 and is managed by SV Health Managers LLP (Registered in England OC308829). The goal of the DDF is finding innovative drugs with the potential to cure, or providing a disease modifying treatment, for dementia or its symptoms by 2025.

Alzheimer's Research UK committed a 4.69 % share of the investment. Original partners in the Fund were Biogen New Ventures Inc., Eli Lilly and Company Limited, Glaxo Group Limited, Johnson & Johnson - JJDC, Inc., Pfizer Limited, Takeda Ventures Inc. and The Secretary of State for Health, with a total original partnership commitment of £70,227,465.

Joint venture investment

Alzheimer’s Brain Bank (ABBUK) is a company limited by guarantee (number 5762960) and a registered charity (number 1114578). It has two members, Alzheimer’s Research UK and Alzheimer’s Society. The main objectives of the Charity are to protect and promote the health of the public, in particular by establishing, promoting and maintaining banks of brain tissue for research into the cause, prevention, treatment and cure of Alzheimer’s disease and associate neurodegenerative diseases and disorders. The Charity owns a 50% share in ABBUK. This joint venture is accounted for in accordance with FRS 102 and the Charities SORP under the gross equity method.

UK DRI Limited is a company limited by guarantee (number 11045257). It previously had three members, Alzheimer's Research UK, Alzheimer's Society and Medical Research Council, with the Charity owning a 33.3% share. This was previously accounted for as a joint venture, in accordance with FRS 102 and the Charities SORP under the gross equity method. During the year, the charity has disposed of its share of UK DRI Limited and the joint venture has been removed from the Balance Sheet.

ABBUK UK DRI Limited
31st March 31st March 31st March 31st March
2022 2021 2022 2021
Share in joint ventures £ £ £ £
Net assets 140,654 118,701 - 3,379,197
Current assets 808,029 1,001,969 - 18,286,600
Current liabilities (667,376) (883,269) - (12,260,276)
Long term liabilities - - - (2,647,127)
Share of Income 95,946 416,187 - 11,032,536
Share of charitable expenditure (73,993) (407,631) - (8,481,369)
Share of net result 21,953 8,556 - 2,551,167
Disposal of share in joint venture - - (3,379,198) -

49

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

10. Investments (continued)

Subsidiary company

Alzheimer’s Research Trading Limited, registered company number 03880026, is a wholly owned subsidiary of Alzheimer’s Research UK whose taxable profits are donated to its parent. The registered address of the Company is the same as the charity. The trading company receives income from the sale of merchandise, registration fees and sponsorship, with each sale helping to support our cause.

sponsorship, with each sale helping to support our cause.
Year ended Year ended
31 March 31 March
2022 2021
£ £
Income 105,119 195,013
Expenditure (45,052) (65,045)
Profit for the year 60,067 129,968
Fixed assets - 1,750
Net current assets/(liabilities) 63,568 133,468
63,568 135,218
Financed by:
Ordinary share capital 20,000 20,000
Shareholder’s funds 43,568 115,218
63,568 135,218
11. Stocks and assets held for sale
Year ended Year ended
31 March 31 March
2022 2021
Group £ £
Stocks - Merchandise and products 5,155 6,709
Assets held for sale – donated assets
264,698
-

The assets held for sale relate to a number of paintings which were donated to the charity during the year (2021:£nil).

50

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

12.
Debtors
Group
Trade debtors
Other debtors
Charities Aid Foundation
Accrued income and prepayments
Charity
Trade debtors
Other debtors
Amounts due from group undertakings
Charities Aid Foundation
Accrued income and prepayments
13.
Creditors: amounts falling due within one year
Group
Trade creditors
Accruals
Other taxes and social security
Other creditors
Research commitments
Charity
Trade creditors
Accruals
Other taxes and social security
Other creditors
Research commitments		 Year ended
31 March
2022
£
6,547
896,777
3,511
6,730,937

7,637,772
Year ended
31 March
2022
£
6,547
897,878
23,985
3,511
6,730,937

7,662,858
Year ended
31 March
2022
£
1,615,923
1,458,976
250,958
52,538
26,889,418

30,267,813
Year ended
31 March
2022
£
1,615,668
1,454,796
244,122
52,538
26,889,418

30,256,542		 Year ended
31 March
2021
£
67,256
287,979
66,472
4,526,416
4,948,123
Year ended
31 March
2021
£
67,256
287,979
95,645
66,472
4,526,416
5,043,768
Year ended
31 March
2021
£
3,365,559
837,477
172,062
98,138
26,877,593
31,350,829
Year ended
31 March
2021
£
3,365,559
833,158
172,062
98,138
26,877,593
31,346,510

As at the balance sheet date, the Charity has entered into agreements with 3 universities with regard to the Drug Discovery Institutes, to provide maximum funding of £30 million over a period of 5 years. The full £30 million has been committed to date. The on-going commitment will be part of an independent, thorough systematic review, and future funding levels will be recommitted on an annual basis. These have not been included in the financial

51

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

13. Creditors: amounts falling due within one year (continued)

statements as they are not considered to meet the accounting framework definition of a liability. Commitments in the coming years will be funded out of future grants, donations and legacies.

As at the balance sheet date, the Charity is a Strategic Partner of the UK DRI and has pledged to support the DRI with at least £12.5M over a five-year period. The ongoing commitment will be part of a thorough systematic review, and future funding levels will be recommitted on an annual basis. These have not been included in the financial statements as they are not considered to meet the accounting framework definition of a liability. Commitments in the coming years will be funded out of future grants, donations and legacies.

14. Creditors: amounts falling due after more than one year

Creditors: amounts falling due after more than one year
Year ended Year ended
31 March 31 March
2022 2021
Group and Charity £ £
Research commitments 4,859,108 4,325,945
Rent accrual 3,259 11,640
Other creditors 157,986 131,309

5,020,353		 4,468,894
Year ended Year ended
31 March 31 March
2022 2021
Ageing of long-term liabilities £ £
1 - 2 years 2,847,215 2,942,487
2 - 3 years 1,346,050 1,343,905
3 - 4 years 545,908 182,502
4 - 5 years 281,180 -

5,020,353		 4,468,894
Year ended Year ended
31 March 31 March
2022 2021
Reconciliation of research commitments £ £
Balance brought forward 31,203,538 32,310,455
New commitments entered into 20,878,695 14,832,436
Commitments no longer required (972,184) (794,781)
Amounts spent in the period (19,361,523) (15,144,572)

31,748,526		 31,203,538

52

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

15. Movement in and allocation of restricted funds – Group and Charity

Description
Research
Adept
Brain Bank
Clinical Research Fellowship
Dementia Consortium
Drug Discovery Institutes
EDoN
Interdisciplinary Research Grants
Network Accelerate Scheme
Network Centre
Other
PhD
Pilot Projects
Programme Grants
Race Against Dementia
Research Fellowship Grants
Tau Consortium
Senior Research Fellowship
UK DRI Limited
Non-research
Investigator of the Year Award
BAME - Community project
Research Conference
Conference prize giving
Dementia Attitudes Monitor
Health Info Print & Production
Dementia Research Infoline
Inspire Fund
Lived Experience of Dementia
Charity restricted funds
Joint venture investments
Group restricted funds		 As at
31 March
2021
Income
Expenditure
£
£
£
-
87,524
(15,110)
-
60,000
(60,000)
-
292,509
(179,762)
363,135
619,145
(782,891)
-
2,939,981
(72,213)
1,809,554
1,966,693
(1,397,966)
-
93,220
(27,500)
-
96
-
-
77,325
(59,706)
-
224,842
(2,000)
-
517,147
(1,500)
-
127,297
(62,995)
-
945,908
-
512,775
1,500,000
(1,994,371)
-
495,781
-
-
145,678
(145,678)
-
758,999
-
-
9,357
-
-
25,000
(11,288)
23,987
-
-
-
5,064
(5,064)
1,000
-
(500)
50,000
-
(50,000)
23,004
1,000
(24,004)
-
5,000
(5,000)
10,000
20,100
(30,100)
15,028
-
(1,154)


2,808,483
10,917,666
(4,928,802)


3,497,898
21,953
(3,379,198)


6,306,381
10,939,619
(8,308,000)		 Transfers
£
(72,414)
-
(112,747)
(62,569)
(2,867,768)
(151,462)
(65,720)
(96)
(17,619)
(222,842)
(156,071)
(64,302)
(945,908)
-
(495,781)
-
(758,999)
(9,357)
(13,712)
-
-
-
-
-
-
-
-
(6,017,367)
-
(6,017,367)		 As at
31 March
2022
£
-
-
-
136,820
-
2,226,819
-
-
-
-
359,576
-
-
18,404
-
-
-
-
-
23,987
-
500
-
-
-
-
13,874

2,779,980
140,653

2,920,633

Restricted funding

Research - The majority of the restricted income received is to fund scientific research into dementia which may be through providing funding for a PhD student, a pilot project, a programme grant or any other method of scientific research.

Joint venture investments – The restricted fund represents the investment in joint ventures as detailed in note 10.

53

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

15. Movement in and allocation of restricted funds – Group and Charity (continued)

Non research - Restricted income is also received to fund other charitable activities. This may include funding for running the Dementia Research Infoline, producing a leaflet, developing the website or any other method of providing information or advocating.

Restricted fund transfers

The transfer from the restricted fund to the unrestricted fund represents income received during the year which carries donor imposed conditions to be expended upon specific projects. The cost of these projects has been recognised through the Statement of Financial Activities in a prior period when the commitment was originally made and therefore when the income is received it is transferred to the unrestricted fund to follow the treatment of the expenditure when it was recognised.

Funds with restricted balances at the balance sheet date:

Dementia Consortium

The Dementia Consortium brings together 10 charitable and pharmaceutical industry partners (Alzheimer’s Research UK, LifeArc, AbbVie, Astex, Lilly, Eisai, Johnson & Johnson Innovation, Evotec, MSD and Takeda) to fund research projects that will accelerate development of therapies for dementia.

EDoN

Income received to fund research through the Early Diagnosis of Neurodegeneration initiative, our ambitious initiative that will collect, share and analyse clinical and digital health data to detect diseases like Alzheimer’s.

Race Against Dementia

Income raised since 2018/19 to fund individual fellowships for £500,000 each. As at 31 March 2022, £1,994,371 had been committed and the remaining fund is expected to be committed by 31 March 2023.

BAME Community Project

This work, funded in 2017-18 by £20,462 from MACE and £75,000 from The Morrisons Foundation, helped us to engage with black, Asian and minority ethnic (BAME) communities to find out what they know about dementia, what they would like to know and in what formats they would like the information. We worked with Community Health and Learning Foundation (CHLF) who arranged focus groups for us in the Loughborough and Leicester area. The outcome was our ‘Quick guide to dementia’, a pocket-sized introduction to the condition which was translated into Arabic, Bengali, Gujarati, Punjabi and Urdu.

Conference prize giving

Income raised in previous years of £2,250 has been restricted to fund a prize of £250 per year for the most effective presentation at the Alzheimer’s Research UK annual conference. Due to the cancellation of recent face to face conferences as a result of COVID-19, the expected expenditure for recent years has been carried forward to future conferences.

Lived Experience of Dementia

Income received for the purpose of proving an information pack free of charge to anyone who is living with or suffering the consequences of dementia.

54

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

15. Movement in and allocation of restricted funds – Group and Charity (continued)

Prior year

Description
Research
Adept
Brain Bank
Clinical Research Fellowship
Dementia Consortium
Drug Discovery Institutes
EDoN
Equipment
Interdisciplinary Research Grants
Network Accelerate Scheme
Network Centre
Network Support Grant
Other
PhD
Pilot Projects
Programme Grants
Race Against Dementia
Research Fellowship Grants
Senior Research Fellowship
UK DRI Limited
Non-research
Investigator of the Year Award
BAME - Community project
Research Conference
Conference prize giving
Dementia Attitudes Monitor
Health Info Print & Production
Dementia Research Infoline
Inspire Fund
European Research Grant
Lived Experience of Dementia
Charity restricted funds
Joint venture investments
Group restricted funds		 As at
31 March
2020
Income
Expenditure
£
£
£
-
85,686
(85,686)
-
300
-
-
193,206
-
684,966
344,738
(666,569)
-
2,440,552
(2,121,048)
115,000
2,602,481
(907,927)
-
10,000
-
-
216,466
-
-
691
-
-
140,881
(38,300)
-
301
-
-
75,858
-
-
102,334
-
-
52,783
-
-
889,986
-
512,775
-
-
-
698,363
(405,391)
-
126,100
-
-
251,338
-
25,850
-
(25,850)
23,987
-
-
210,000
(190,868)
(19,132)
1,000
-
-
24,919
25,081
-
-
34,418
(11,414)
9,095
-
(9,095)
-
10,000
-
33,705
(18,559)
(15,146)
15,028
-
-


1,656,325
8,092,136
(4,305,558)


938,175
2,559,723
-


2,594,500
10,651,859
(4,305,558)		 Transfers
£
-
(300)
(193,206)
-
(319,504)
-
(10,000)
(216,466)
(691)
(102,581)
(301)
(75,858)
(102,334)
(52,783)
(889,986)
-
(292,972)
(126,100)
(251,338)
-
-
-
-
-
-
-
-
-
-
(2,634,420)
-
(2,634,420)		 As at
31 March
2021
£
-
-
-
363,135
-
1,809,554
-
-
-
-
-
-
-
-
-
512,775
-
-
-
-
23,987
-
1,000
50,000
23,004
-
10,000
-
15,028

2,808,483
3,497,898

6,306,381

55

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

16. Movements in unrestricted funds

Group
General fund
Designated funds:
Early Diagnosis and Detection
Sport and Dementia
Group unrestricted funds
Charity
General fund
Designated funds:
Early Diagnosis and Detection
Sport and Dementia
Charity unrestricted funds
Prior year
Group
General fund
Designated funds:
Early Diagnosis and Detection
Sport and Dementia
Group unrestricted funds
Charity
General fund
Designated funds:
Early Diagnosis and Detection
Sport and Dementia
Charity unrestricted funds		 Balance at
31 March
2021
£
6,514,276
4,500,000
500,000
11,514,276
6,400,807
4,500,000
500,000
11,400,807
Balance at
31 March
2020
£
4,490,241
-
-
4,490,241
4,264,058
-
-
4,264,058		 Expenditure,
Gains &
Income
Losses
£
£
31,247,285
(35,878,651)
-
-
-
-

31,247,285
(35,878,651)

31,289,870
(35,851,334)
-
-
-
-

31,289,870
(35,851,334)

Expenditure,
Gains &
Income
Losses
£
£
28,592,870
(24,203,255)
-
-
-
-

28,592,870
(24,203,255)

28,665,881
(24,163,552)
-
-
-
-

28,665,881
(24,163,552)		 Transfers
£
6,017,367
-
-
6,017,367
6,017,367
-
~~-~~
6,017,367
Transfers
£
(2,365,580)
4,500,000
500,000
2,634,420
(2,365,580)
4,500,000
500,000
2,634,420		 Balance at
31 March
2022
£
7,900,277
4,500,000
500,000

12,900,277

7,856,710
4,500,000
500,000
12,856,710
Balance at
31 March
2021
£
6,514,276
4,500,000
500,000

11,514,276

6,400,807
4,500,000
500,000
11,400,807

The transfer from the restricted fund to the unrestricted fund represents income received during the year which carried donor imposed conditions to be expended upon specific projects. The cost of these projects has been recognised through the Statement of Financial Activities in a prior period when the commitment was originally made and therefore when the income is received it is transferred to the unrestricted fund to follow the treatment of the expenditure when it was recognised.

Refer to page 20 in the Trustees Report where the reserves position is considered in more detail.

56

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

16. Movements in unrestricted funds (continued)

Early Diagnosis and Detection

A key focus for Alzheimer’s Research UK is the early detection of dementia-causing diseases, partly funded through our ambitious EDoN initiative. As a result of the strong financial performance in recent years, we have been able to set aside £4.5m into a designated fund, reflecting the progress made and our desire to further invest in this important activity. The designated fund is expected to be fully spent by 31 March 2027.

Sport and Dementia

With a number of high-profile studies published in recent years, there is growing concern that concussive and subconcussive injuries incurred while playing sports may increase an individual’s risk of developing dementia. This is a complex area to study and there is more research required to understand the costs and benefits of sport and links to dementia risk. As a result of the strong financial performance in recent years, we have set aside £500k into a designated fund to further develop our understanding of the risks and benefits of sport. The designated fund is expected to be fully spent by 31 March 2027.

57

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

17. Analysis of assets and liabilities between funds

Designated
General
Funds
Funds
£
£
Group
Fixed assets
Tangible fixed assets
-
330,029
Intangible fixed assets
-
21,374
Investments
5,000,000
9,354,318
Current assets
Stocks
-
5,155
Debtors
-
7,637,772
Current asset investments
-
23,948,894
Cash at bank and in hand
-
1,626,203
Assets held for sale
-
264,698
Creditors
Due within one year
-
(30,267,813)
Due in more than one year
-
(5,020,353)
Group
5,000,000
7,900,277
Charity: allocated on the same
basis as the group figures
5,000,000
7,856,710
Prior Year
Designated
General
Funds
Funds
£
£
Group
Fixed assets
Tangible fixed assets
-
344,648
Intangible fixed assets
-
56,219
Investments
5,000,000
10,032,662
Current assets
Stocks
-
6,709
Debtors
-
4,948,123
Current asset investments
-
23,684,982
Cash at bank and in hand
-
3,260,656
Creditors
Due within one year
-
(31,350,829)
Due in more than one year
-
(4,468,894)
Group
5,000,000
6,514,276
Charity: allocated on the same
basis as the group figures
5,000,000
6,400,807		 Restricted
Funds
Total
£
£
-
330,029
-
21,374
140,653
14,494,971
-
5,155
-
7,637,772
2,779,980
26,728,874
-
1,626,203
-
264,698
-
(30,267,813)
-
(5,020,353)
2,920,633
15,820,910
2,779,980
15,636,690
Restricted
Funds
Total
£
£
-
344,648
-
56,219
3,497,898
18,530,560
-
6,709
-
4,948,123
2,808,483
26,493,465
-
3,260,656
-
(31,350,829)
-
(4,468,894)

6,306,381
17,820,657

2,808,483
14,209,290

58

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

18. Taxation

The income and gains of the Charity are exempt from corporation tax to the extent they are applied to its charitable objectives.

19. Commitments under operating leases

The total future minimum lease payments under non-cancellable operating leases are as follows:

Other
Within one year
Between one and five years
After five years
Land and buildings
Within one year
Between one and five years		 2022
£
23,631
61,048
-
84,679

411,746
205,873
617,619		 2021
£
22,746
81,505
-
104,251
411,746
617,620
1,029,366

20. Related party transactions

A management fee of £15,986 (2021: £23,591) and a gift aid donation of £131,718 (2021: £244,433) was received from Alzheimer’s Research Trading Limited during the year. Alzheimer’s Research Trading Limited is a trading subsidiary of Alzheimer’s Research UK. At the year-end a balance of £23,985 (2021: £95,645) was due to Alzheimer’s Research UK from the subsidiary.

During the year, £160,971 of prior commitment was written off (2021: £472,554 committed) in respect of the Brains for Dementia Research project (Alzheimer’s Brain Bank UK). £64,529 (2021: £444,366) was paid and at the year-end there is a commitment to the project of £nil (2021: £225,500). Alzheimer’s Brain Bank UK is a Joint Venture between Alzheimer’s Research UK and Alzheimer’s Society.

During the year, £2,000,000 (2021: £2,000,000) was paid in respect of UK DRI Limited and at the year-end there is a commitment to the project of £2,500,000 (2021: £2,000,000). UK DRI Limited was a Joint Venture between Alzheimer’s Research UK, Alzheimer’s Society and Medical Research Council.

Total donations made during the year by Trustees were £151,068 (2021: £51,060), and sales totalling £nil (2021: £nil) were made to Trustees.

21. Contingent liability

The Charity is a member of a VAT group with Alzheimer’s Research Trading Limited, all members have joint and several liabilities. At 31 March 2022, the amounts owed to the VAT group by Alzheimer’s Research Trading Limited totalled £7,936 (2021: £3,544).

22. Capital commitments

As at 31 March 2022 the charity had a capital commitment authorised but not provided for in the financial statements of £1.1m (2021: nil) for intangible fixed assets.

59

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

23. Consolidated and Charity Statements of Financial Activities

As required under FRS102, the following tables show the split of comparative information between funds for the period ended 31 March 2021 for Group and Charity:

Unrestricted
Funds
£
Income from:
Donations and legacies
26,152,279
Charitable activities
65,051
Other trading & income generating activities
389,949
Investments
901,839
Other income
1,083,752
Net income in joint venture operations
-

Total income
28,592,870

Expenditure on:
Raising funds
9,903,459
Charitable activities
17,028,817

Total expenditure
26,932,276

Net realised gains/(losses) on investments
173,623
Unrealised gains/(losses) on investments
2,555,398

Total net gains/(losses) on investments
2,729,021

Net income/(expenditure) before transfers
4,389,615

Transfers between funds
2,634,420

Net movement in funds
7,024,035

Reconciliation of funds:
Funds balance at 1 April
4,490,241

Funds balance at 31 March
11,514,276		 Restricted
Funds
£
7,677,187
411,864
3,085
-
-
2,559,723

10,651,859

-
4,305,558

4,305,558

-
-

-

6,346,301

(2,634,420)

3,711,881

2,594,500

6,306,381		 Year ended
31 March
2021
Total
£
33,829,466
476,915
393,034
901,839
1,083,752
2,559,723
39,244,729
9,903,459
21,334,375
31,237,834
173,623
2,555,398
2,729,021
10,735,916
-
10,735,916
7,084,741
17,820,657

60

ALZHEIMER’S RESEARCH UK

Notes forming part of the financial statements for the year ended 31 March 2022 (continued)

23. Consolidated and Charity Statements of Financial Activities (continued)

Charity
Income from:
Donations and legacies
Charitable activities
Other trading & income generating activities
Investments
Other income
Total income
Expenditure on:
Raising funds
Charitable activities
Total expenditure
Net realised gains/(losses) on investments
Unrealised gains/(losses) on investments
Total net gains/(losses) on investments
Net income/(expenditure) before transfers
Transfers between funds
Net movement in funds
Reconciliation of funds:
Funds balance at 1 April
Funds balance at 31 March		 Unrestricted
Funds
£
26,396,712
65,051
218,527
901,839
1,083,752
28,665,881
9,862,954
17,029,619
26,892,573
173,623
2,555,398
2,729,021
4,502,329
2,634,420
7,136,749
4,264,058
11,400,807		 Restricted
Funds
£
7,677,187
411,864
3,085
-
-
8,092,136
-
4,305,558
4,305,558
-
-
-
3,786,578
(2,634,420)

1,152,158
1,656,325
2,808,483		 2021
Charity
Total
£
34,073,899
476,915
221,612
901,839
1,083,752
36,758,017
9,862,954
21,335,177

31,198,131

173,623
2,555,398

2,729,021

8,288,907
-

8,288,907

5,920,383

14,209,290

24. Financial instruments

The carrying amount of financial instruments measured at fair value through income and expenditure at 31 March were:

Year ended Year ended Year ended Year ended
31 March 31 March 31 March 31 March
2022 2022 2021 2021
Group Charity Group Charity
£ £ £ £
Financial assets
Instruments measured at fair value through
Statement of Financial Activity		 37,930,579 37,789,925 37,641,635 34,143,737

61

ALZHEIMER’S RESEARCH UK

Legal and administrative details

Trustees (Directors and Members)

Chairman David Mayhew CBE Other Trustees Nicholas Antill Dr Rupert Evenett Christopher Carter Caroline van den Brul MBE Shirley Cramer CBE Dr Ruth McKernan CBE FMedSci Michael Cooper Prof Rob Howard Giles Dennison Divya Chadha Manek OBE Amanda Farnsworth Company Secretary Philip Dunn President The Rt Hon David Cameron Executive Team Hilary Evans, Chief Executive Philip Dunn, Executive Director of Finance and Operation Ian Wilson, Deputy Chief Executive and Executive Director of Fundraising and Communications (left March 2022) Chief Medical Officer Prof Jonathan Schott Strategic Advisory Board Prof James Rowe Chair

Grant Review Board

Prof Katie Lunnon (Chair) Prof Louise Serpell Dr Alexander Gerhard Dr Paresh Malhotra Dr Cheryl Hawkes Prof Patricia Salinas Prof David Brooks Prof Patrick Lewis Prof David Llewellyn Dr Riccardo Marioni Prof Delphine Boche Dr Sandrine Willaime-Morawek Dr Emma Kidd Dr Selina Wray Dr Janet Brownlees Prof Stephen Wharton Prof Jody Mason Dr Wendy Noble Prof John-Paul Taylor Dr Jon Brown

Clinical Trials Advisory Panel

Prof John O'Brien (Chair) Dr Peter Watson Prof Nick Fox Prof Karl Herholz Prof Chris Frost Prof David Rubinsztein Dr Vincenzo Libri Dr Shahid Zaman Prof Colin Masters Prof Jane Armitage Prof Peter Passmore Prof Nicola Lautenschlager Prof Craig Ritchie Dr Iracema Leroi

Alzheimer’s Research UK Drug Discovery Alliance Advisory Group

Prof John Atack (Chair) Dr Ian Waddell Dr Caroline Benn Dr Todd Golde

Dr Karl Gibson Dr Jill Richardson Dr John Kemp Dr Richard Mead

62

ALZHEIMER’S RESEARCH UK

Legal and administrative details (continued)

Clinical Policy Advisory Panel

Dr Charlotte Allan Dr Neil Graham Dr Ross Paterson Dr Hilary Archer Prof Rob Howard Prof Jonathan Schott Dr Bob Barber Prof David Llewellyn Dr Ash Venkataraman Dr Daniel Blackburn Dr Ian Maidment Dr Seb Walsh Dr Liz Coulthard Prof Simon Mead Dr Emma Wolverson Prof Chris Fox Dr Cath Mummery Prof Nick Fox Prof Peter Passmore

Address

3 Riverside, Granta Park, Cambridge, CB21 6AD

Legal Status

The Charity was formed as a trust under a Trust Deed dated 4 August 1992 and became a company limited by guarantee on 10 December 1998. It is governed by its Memorandum and Articles of Association.

Registered Charity number

1077089

Office of the Scottish Charity Regulator number

SC042474

Company number

03681291

Auditors

RSM UK Audit LLP, Blenheim House, Newmarket Road, Bury St Edmunds, Suffolk, IP33 3SB

Bankers

Lloyds TSB Bank plc, Business Service Centre, Castle Park, Cambridge, CB3 0AR Bank of Scotland, 600 George Road, Edinburgh, EX11 3XP Barclays Bank plc, 9 - 11 St Andrew’s Street, Cambridge, CB2 3AX

Solicitors

Withers LLP, 20 Old Bailey, London, EC4M 7AN Taylor Vinters, Merlin Place, Milton Road, Cambridge, CB4 0DP

Investment Advisor

Quilter Cheviot, Senator House, 85 Queen Victoria Street, London, EC4V 4AB

Thank you

None of our work would be possible without the support of thousands of people across the UK and further afield. We would like to say a huge thank you to everyone who chose to support us in 2021/22. Your donations, however large or small, are taking us further towards our vision of a world free from the fear, harm and heartbreak of dementia.

63