Company Reglstered Numbtr.. 3913420 Charlty Reg15tered Number: 1081384 CHAIN OF HOPE TRUSTEES, REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDING Jisf MARCH 2021 CHAIN OF HOPE TABLE OF cof4TENTS CIWN OFHOPB TRUSTEES REPORT .....-......... ...........-................... INDEPEND￿￿ AuD￿>R's REFORTTO ThzTrusrEEs OF CHAIN OF HOPE .....-.................-...... 14. 17 STATIMEwf OF FThANaAL Acnvrnis .......-. . . .18 BALANCE SH￿￿.................-..-.....-.-.........-....................-................-....................-....................l9 STATEMEP4TOFCASH F￿w$..............................................................-........-...............................20 NoT&SThTHE FtNANCJAL&rATEMENrs.................................... .. ... .21-32 CHAIN OF HOPE CHAIN OF HOPE TRUSTEES REPORT FOR THE YEAR ENDINC 31. MARCH 2021 Th¢ Tru5t¢¢$ ar¢ pl¢as¢d to pres¢Dt th¢ir report, tog¢th¢r with the f￿ancial statements, foi the year ending 31 March 2021. The financial statemellts comply with current statutory r¢quiremcnts including the special provision5 relating to companies subject to the small cornpanies regime within part IS of thc Companies Act 2006. the memovdnthiln and Article5 of As8ociatioTh and the Statement of Reeommertded Practice 201 S - Accounting and Reponing by Charities (FRS 1021. LEGAL AND ADMINISTRATIVE SUMMARY Natsre of g0Ven￿llg IDStrnment Chain of Hope is a Company Limited by Guarantee, Regi8tration Number 3933420 and a Re8lStered Charity, Number 1081384. The Charity was established as 4 Trusl in 1996 and was then inco￿oIatCd as a Company Limtied by tiuarnntee in Febnwy 201)O. It is governed by its Memordndum and Articles of A$so¢iaiion. PresldeDt Professor Sir Ma¥di Y¥oub OM FRS Vl¢¢ Pre$ld¢nt Professor Marc de Leval Hon•r*ry Vlee Pr&8ldÈDts Countess Noemi Marone Cin7Ano Mrs Sh¢rine Sawiris Mrs Dina Nassif Ambassadors Ms Al¢xandra Burkc Mr Omrd Dj￿111 Mr Chris Eubdnk Jnr Mr Rupen Everett Ms Kimb¢rl¢y Gom¢r Mrs Fiona Hawthorne M8 UITika Johnson MS Felicity Kendell Mr Colin Salmon Chlld Proteetlon & S4fegu8rdlng Advlsor Mrs Mo O'Reilly Trust£e5 and Direttor5 Dr Gavin Wright- Chairtnan Professor Victor T8ang- Vice Chair Mrs Louise Perry- Treasurer {appointed l Febrll8ry 2021) Professor Mare de Leval (resigned 29 Ju]y 20201 Mr Jonathan Danos MBE Profe$sor Vibeke Hjortdal {appointed l March 2021) Dr Alan Magee Professor Sir Magdi Yacoub OM FRS The TNstees and the principal officers are supported by a number of sub committees and groups, detsils of which can be found on the charily's website. Cblef Exeeutlve orfiter- Msss Emma Scanlan CHAIN OF HOPE CHAIIY OF HOPE TRUSTEES REPORT (cof4TJf4UED) FOR THE YEAR ENDING 31" MARCH 21121 LEGAL AND ADMINISTRATIVE SiJMMARY (CONTINUED) Registered Office Chain o(Hope Royal Bronwton Hospital South Parade Sydney Street London SW3 6NP B*nker8 Lloyds TSB Kings Road Ch¢ls¢a London SW3 NaiWe8t Bank plc 183b Kittgs Road Chclsea London SW3 SEB Auditors Moore (South LLP) Chartered Ac¢ountants Priory House Sydenham Road Guildford GUI 3R Solleltors Russell-cooke Solicitors 2 Puthey Hill London SW15 6AB CHAIN OF HOPE CHAIN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAREf4DING 31"MARCH 2021 CHARITY OBjE￿s a) The rcliefofsirkness and to preserve and protect th¢ health of people, iTb particular but not exclusively, children from abroad. and b) To fvrther such oÈher exclusively eharitable purposes ac¢ording to the law of England and Wales as the Trnstees in their absolute discretion from time to time determine. PUBLIC BENEFIT The Trustee5 confirtn that the target b¢nefi¢iary group is within Public Benefit as the services are ultimately aimed at any patients who arc in the public health systems of the countries wherc Chain of Hope work%. We have rcfcrrcd to the Charity Commi8sion'8 gcneral guidance on Publlc Benefit when reviewing our aitns &nd objectives and in planning our fullwe a¢iivities. In particular, the Board consider how planned ￿tiVItI¢5 will ¢onrribute to the aims alld obj¢¢tivcs they have set. MI￿10￿ STATEMETr4T To develop SLtstainable clinical and research cardiac centres for trcatment of children and yOUDg people with h¢art disease Jn ￿U￿trieS wh¢r¢ facilitics for such treatments arc unavailable. While this primary objeciive 1$ underway, pattcnts in need from these and ￿h¢r countries m8y be brought to the UK or other centrcs approved by Chain of Hope for such treatments. OBJECTIVES AND ACTIVITIES It IS estin￿L¢d that 15 million Ghildrrtj dir or ar¢ crippled annually by potentially trcatable or preventsble wdiac disea$¢s. Chain of Hope aims to addrcss the 5ur¥ical incquality of these cardi&c childrcn around the world. As part of this goal, Chain of Hope is ossisting the cstablishm¢nt of cardiac services and facilities in countries wh¢r¢ they do not exist. The ehaTity haa 4 Main activilies.. Cormluct surgiLal medical teaChll￿ missions that und¢rtak¢ ¢losed and open-heart surgery on children and otT¢r d fdn¥e of out-paliellt services. 2. Pr()vide teachin¥ and trainin¥ for cardiac and associated healthcarc workers within tlie countrie5 Chain of Hope is assisting, to crcatc sustsinable cardiac 5ervi¢¢s f¢>r children. Assist in the developmet)t of infrastNcturc by providing equipmcnu advising on serviccs and helping to build ¢8pacity. 4. Organise and sponsor tr¢atmeDt for children through the charity's International Child Referral Progrimtne (ICRP). Success is measured by the number of missions oryanised and the numb¢r of children treated in a reporting period. In addttiotj, the long-t¢rm impa¢t is measured by hLlW rzjany case5 and of what complextty the local teams whom we 5UPPOrt around thE world have conducred. CHAIN OF HOPE CHAIN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR Ef4DING 31" MARCH 2021 ACHIEVEMEIYTS AND PERFORMANCE Covld-19 Im #Ct Aetivit & Perforrnance in 2021: This linancial year b¢￿n in 'lockdown' due to the Covid-19 pand¢tnic which meant that the charity's operatio]]s were on hold. Both overseas mission5 and the tsaTt5fer of children through our ICRP were not possible for the first part of this year due to travel re5tri¢tions and our valued volunteer health¢are professionals being hard at work in th6 fjght against Covid-19 in the NHS. 73Yo of.staff wcr¢ put on furlough initially durin8 the pande]niE whilst thc charity's leadership looked ai ways lo still rcach patients overseas with heart disease during this unpreccde￿td time. ChalA of Hope put its erttrgy into these key Are￿ of 4ctlvity dyrlth8 the pandemlc: Supporting the hospita15' and cardiac c¢ntr¢s, which we have helped establish over the years. by providing c#rdiac suppli¢s and ¢quipment to allow continued procedures in the absence of overse&% mi%$iott$. We r¢ fer tg this 5UPPOrt as 'local tni55ionb' wher¢by the local teams conduct what Procedures thcy can utilising th¢ supplies we hav¢ sent. Partncring with Rotary Foundation and oth¢r International NGOS io fvnd surgerici locally in countries where p￿SIbl¢. Supporting the hospitals Cardiac centrcs wc have helped establish over th¢ years with Covid tests and PPE to help them protect themselves in the fight against Covid-19. Engagillg our donors and finding new way5 to fimdrais¢ in th¢ absence ol holding physical ev¢nts during Covid-19. Supptsrting where li could, the woik of the NHS with the loan of quipment to London hospithls to ettable them to expand their Intensive Care Capacity. Wc also partnered with donors to nm dedicated campaigns to support ihe NHS staff with food during th¢ lockdowns. Breakdown ot A¢tlvli Dllrln 't'iir.4 re ¢prl the filnanelal Vemr: Com arl.wii 2 ain%t ob etllvcs sct ID 2020 e7 Chain of Hope srtaff WO￿ hdrd with its partners to find ways to c¢)ntinue to reach children during the pandemic at￿ the charily was able to support cardiac procedures for 303 children and young adults. The section below details how the charity achi¢v¢d this 8ftd the oiher activities thHt weTe set Lq goalg and objectives at the beginning of the pandemic= Ethlfrpl*: our goal for this year was to SUPPOrt six local missions to tr¢al chtldren young advlts.. We rnall￿ed to support th¢ local tcam at the Ethiopian Cardia¢ Centre with two local missions by providing Lonsun￿bI¢s and supplies. This result¢d in an anJazin8 kntal of 54 patients b¢ing operated on. Of the 54 children treated, 25 received open heart surgery procedures and 29 children wcre treated in ihe caiheter lab with interventional procedur¢5. Ugandg.. Our goals for this year was to support". Three local catheter lab missions at the U8anda Heart Institute Surgical activily through a Rotary grant which would tr¢at up to 50 paticn18 We managed to 511PPOrt one local mission rather than the three planned, due to the uga￿1￿ H¢art In$tityte iwing severely limited in the lirst half ot. the year by Covid-19 restrictions. A total of 12 ¢hildren were treated successfillly utilisrn8 devices sent by Chain of Hope. CHAIIY OF HOPE CHAIN OF HOPE TRUSTEES REPORT {CONTINUED) FOR THE YEAR EIYDING 31x1 MARCH 2021 Wc achieved the goal of supporting thc sustainablc surgical work of th¢ Uganda Heart In&titu¢e by pgrtnering wilh Rotsry Foundation. We had contributed S50,000 ai the tnd of the previous finHn¢ial y¢dr which wab matched to the va]u¢ of500/o by Rotaiy Foundation. increasing our impacl (0 $75,(M)O. Thi5 $75,(K)O ellabled 21 patients to be OPETat¢d on by th¢ local team Jft 2021 durins lockdown. In addition the grant cnabled a sc¢ond anacsthctic machine to be purchased tor thc cath¢tcr lab in the Uganda Heart Instityt¢ so that thc local teatn ean operate in both surgi¢81 theatres and the ¢athet¢r lab simultsneously. This helped to fulfil our goal of supponing susrainability by building local capacity. Aswan: Our goal for this year was to provid¢ £250,(K)O worth of equipment, consumablcs or supplies to the Aswan Heart C¢ntr¢. We surpassed our 8oYII with the supply of £273,809 wosth of ￿nSuMable8 and equipmertl in the following WAYS.. We supplied Covid testing kits to ertable the establishment of rigorous testlTi8 procedures protocol wbich has kept the Centre's Staff.%afc and enabled the Centre to continu¢ working during th¢ pandemic. We continued funding and supplying vital consumables and heart valves nxessary for the Centre to continue its surgeries. We 5uppli¢d 72 pacem8k¢r4 devices & heart valves lor use in children and adults. Refu%ee project: Our goal was to support the treatment of 40 refvgee children in L£banon and Jordan.. Due to the ¢risis in L£banon last sun]m¢r, as a result of the cxplosion, this was not P088ibl¢ but we did rn&nage to fund the tre&imeni of 43 childrcn of Syrian, l£banesc and Palestinian ori¥in. ICRP: Our goal was to resume the ICRP programme and build up to two patients per month by the end of the financial year.. By the end of the financial year we had successfully rcncwcd collaboration with our ICRP ceTrtres in Aswan and BarLelon8 and w¢rc tr¢ating two patient p¢r month. Elcvcn patients received trcatment through our ICRP during thc financial ycar. with 13 patients in total having been trdnsferred for mcdical treatment. RwAnda: our goal last year was to gUPPOrt th¢ d¢v¢lopment of a dedicated eardiac centre for Rwanda.. Chain of Hopc rntcred into a grant agreement durirlg this financial year with the Rwanda Heart Carc & Research Foundation for the specific purpose of building a publit cardiac ¢entr¢ in Kigali, Rwanda. A total of £677.000 had been raised by Chain of Hop¢ ovcr th¢ last five years, pledged to the construction of a dedicated ¢8rdia¢ unit. This is a joint endesvour with other NGOS and thc Egyptign Ministry of Forci8n Affairs who are all donating funds for the building, intcmal equipment or othcr support costs. ther aet5vlt erform¢d durln th¢ Flngncigl Overst#s Ml$slon8 Domlnlcan Republl¢,' Due ro th¢ pandemic, only local missions could be carried out because of travel r¢strictions. However we partrtered with a USA NGO and co-fundcd a mission ttF the DvmilltGan Republic p¢rfom)ing 24 procedures on children in nccd. J4m8lca: We continued our support of Jamgica's local eardiae project through fvnding received frotn Baillie fjifford to fi]nd a rnanager foi the cardiac programme al Bustsmante Hospital for Children. During this period A member of our staff was se¢onded to the Jamaica Children's Heart Ctntre to help coordinate the programm¢ iherc for six months. The local team was s¢v¢rcly restricted ITh beirL8 ablc to operate and perfomi interventional ¢athel¢r procedures but with thc support of cotjsumablcs and equipment 48 childrcn were treated during this rInancial ycar. W¢ also supplied PPE and eight Babythenn incubator5 for children's general use during the pandemic. CHAIN OF HOPE CHAAN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDING 314t MARCH 21121 Rom8n14.' W¢ p8rth¢red with Gift of Life aTLd Rotary Fowidation to 5UPPOrt th¢ tr¢atm¢nt of 16 children. Many of these were 'Roma' children from som¢ of th¢ most d¢priv¢d LO￿￿UnItieS in the Country. Gr#At Clvlng The charity will giv¢ grants wher¢ thi5 is a good way of achievin8 Lts obje¢tiv¢s. We fulfil our charitable objcct5 for public benefit by providing srant funding to organisations with pU￿oseS and airns similar to our own. We utilisc grarjt giving agreement8 which inco￿0[ate stringent conditions on the use of fund5 QT T¢souroes 8nd these agreements stipul&te Tepofting requirements to ensur¢ th&t the wtee uses the funds for the Lorr¢ot ch8ritablc purposes. Additionally. we sometlmes contribute to grants involviDg th¢ Rotary Fourmlation or Rotary International through our Ameri¢an Partner, Gift of Lif¢ Int¢rnational. When we Gontributc to Rotary FouThJatiot] grants, o ¢¢)ntributiOn is D￿tched at 5(W/• by Rotary Foundation, maximising ow impact to beneficiaries. Fundral$lng & MfjLrketiDg The past yeAr has bcen a difficult environment in which to fi]ndraisc, how¢ver we focussed our encrgics on d¢v¢loping online furkdrAiAing. In the first pNrt of the Iinancial y¢ar we ran 8¢v¢rNI digitP41 appeals during lo¢kdown which g￿nerated £104k. We were pleased with this initial result and have been trying to expaTHI existin¥ donor ¢ngag¢m¢nt &s well and exploring how to increase our digital reath. Ow annual Gala Bail had to be cancelled due to Covid-19 re8trictions. How¢v¢r. w¢ orgonised a virtu ndraiser in its place which was hosted by Sky News PTes¢nl¢r, Jonathan Samuels and Lord Jeffrey Archcr. Th¢ hard work of our srnall but dedicated team tt>gether with our Gala Ball committee paid off we raised £1.062. 976 (ineludiftg gifts in kind). Tbe retum on investment for the virtual fimdraiser was extremely good with th direct cost of only £46k. Additionally, a numb¢r of new lljajor donors and supporters were recruited tbrougb this event. Our forecasts for 2021122 predict an uncertain year for income generation th]¢ to thc ongoing global Covid-19 crisis. The UK recession will undoubtedly take its toll on the charity sector howcyer rhe past financial year showcd the resilience of both our donors and our fundrai8ing cornrnittee8. Their loyalty ha8 been uftfaltering. We will colltinue to engage our existing donors and plan for our 25 aTJlliversary fundraiser in November 2021. whether live or virtual or both, whilst a150 continuillg to work on growing our fundraising 'reach' to new audiences. We are seekittg expertise to support the charity in growing our llwketing both Online and othenvise. The TnJst¢es are considering how best to inY¢5t fi￿d$ during thc coming year to develop ncw income strean for the futurc. Future Pl8n$ for 202I12022 D￿]tig the pandemic it has been necessary to adapt our activities and support the loeal cardiac teams. trained by Chain gf Hope. with the provision of vital consumables. resources and by renwte mentursEu'p. The obje¢tives for 202112022 retlect this ch8ng¢ and the continucd travel re5trictlODS but are also based on the hopc that it will be possible to resume overseas tnissions in the S￿ond half of th¢ y¢ar. CHAIN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDINC 31" MARCH 2021 Ob'eLtives tor ilIL vc#r 2021121122 Ethlopia". We aim to provid¢ vital 8w)plie& for the local team ftt the Ethiopia Cardiac C¢ntre to tre74t 30 C￿& W¢ aim to 3¢nd two volunteer mission ieams to help thc local team with n￿re ¢ompl¢x £u¢s UgartdA: We aim to provide consumables and for 24 procedures locally We aim to provide one Yoluntcer mcdical team visit to the cathetcr lab Refugee proje¢t: We aim to conduct three full missions io Jordan to treat S)Tian, Iraqi and Palestinian parients Domlnlun Rep￿bIle.. We aim to portner again with Gift of Life and Support on¢ mission to the Dominican Republic Rwanda: We aim ¢0 coniinue to support th¢ d¢v¢lopment of the Rwanda C8rdia¢ C¢ntr¢ Jam41c4: We aim to provid¢ m¢dic81 consumabl¥8 for th¢ t¢8rn at BustaTrJanlc H05pitsI for Children to bc ablr to operate on 20 Cases We aim to c8Thy out two missions onee travel restrictions allow We aim to continue to support tlLC salary of the Cardiac Centre Mana Aswan: We aim to continue our suppor¢ of operations ￿ the Aswan Heort Centre with the supply of COTwimables and equipm¢nt needed to treat Egyptian patients ICRP: We aim to transfer ilwee patsents per month for treatlnent through our ICRP programme Fundr*l8ing: We aitD to ¢reatc a combined livc and virtual event for ow annual fithiser irt November 2021 We aim to in¥rease our re¥ular giving income stream by 25Y. We aim to research and pilot a nurketing and fundraising ¢ampaign to srow our donor base We aim io increase donations from trusts atld funds Governanee.. We aim Lo continue io work on the diversification of our board of TrLL8tees We al￿ to establish a rolling programm¢ of review of policies CHAIN OTr HOPE CHAIIY OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDINC 31" MARCH 2021 STRUCTURE, GOVERNANCE AND MANAGEMENT Trllstee Board IT￿Stee5 are listed in the Legal and Administr*tive Summary) The Board of Trustccs is responsible for the govcmance and financial management of the Ctmrity. We aim to hold quarterly Board M￿tingS. Trustees decide alld agree policy and approve a framework for the charity, delivery of activities. Day to day management is delegated to the Chief Executive Officer. Tru3te¢$ are r¢-appoillted every four years and during this financial ￿ar the meTnOrand￿rn and Articles were mended so that ihe ¢harily no ltsrger requires an AGM to be held tu prlipuse and appoinl new Truslees. Nominations are made at TTUStee meetings and are con.%idered carefi]Ily. Where po￿lb[C Trustec p051tion.% are &dYertised and re¢ruiied extem211y to the existing netrwork of the charity. The Ttustees have made a commitment to dEversify the Board's expertise and two female Tn￿teeS have been SUC¢C5S￿lIY rc¢ruitcd over the last financial yc8s. Louise Perry was r¢crnitcd through external advertising and was fornjally appointed to be Treasurer on l FcbTuary 2021. Th¥ second new TnJst¥e, Professor Vibeke Hjortdal, also joined ub during the second part of this financial year. Professor Hjortdal is a Prtsfessor of Cardiothoracic surgery and has been involved in the eharity'g overseas missions for nearly ten years. Based in Denmark, ProleSSOT Hjortdal is taking on a Tol¢ to Improve the eharity's medical data record keeping and analysis. Professor de l£val resigned as a Tru5tce thiring the financial year du¢ lo ill h¢alth but remains in an Honorary position as Vice President. Personnel In April 2020, 730/0 of our staff w¢r¢ pla¢¢d on furlough as our tharitable operaiions were curtail¢d due to the pandemic. The CEO took the l￿d in taking a 20Yo voluntary pay cut and the remaining senior management teaTll Ibo took 10/0 pay cuts. As op¢rJtion3 continued to b¢ minirnal artd fundraising was hard to predict, a seri¢8 of redundancies were wiforts]natcly made during the summcr of 2020. A further two members of staff left the organjsativn for otheT cmployment and one member of the teaTn reduced her contract to two days p¢r week. Furlough￿ staff were brou¥htbaLk part time as their 8re85 Of op¢rdtson increa8ed in the yecond six months of the year. Pay seales are worked out according to management or administration levels within the organisation, with ¢onsid¢ration given to perforniance review and length of service. Perfonnance reviews are conducted annually although a continual look ar objectiv¢8 occurs through the year. The Chief Executivc Officer's perfornmncc and r¢muneration arc revicwed arjnually by the Ch&irnian. These are benchlnarked against chHritsblt 0[¥￿niSatIonS f 8 similar siz¢ And complexity. Risk CfytNmlttee The Risk Committee is a sub-¢ornmitt¢¢ of the Trustee Board Set up to asse&s the ch8rttV% risks, the best ways ol mitigating them arjd znonitorittg progress ()n thi$. It is comprised of the CEO. the Director of OpcratlOll5, the Treasurer ttu8tc¢ and two other trust¢¢s. Mat¢rial risks are eonsidercd on a rolling basis by thc Board. Finance Group The Finance Group monitors 8t￿ reviews all fift￿¢181 processes> procedures and policies. Any financial risk i&sues raised a￿ brought ¢0 the Ribk Commilt¢¢ or the Trustee5 to gain approval for remedial action where ne¢ded. The Group meet5 monthly to review the management a¢counLs ond the recording and usage of restricted Funds. CHAIN OF HOP CHAIN OF HOPE TRUSTEES REPORT {CONTINUED) FOR THE YEAR ENDINC 31. MARCH 2021 Gal# Ball Fundraising Committee Tl)is commitice is led by GFChairs Dina Roushdi and Shcrine Sawiris. togcthcr wth Vice-chair Mai'ia Sukkar. Their Icadership has taken it to ever increasing heights OVLY the years, enabling the charity to Yaise in thc rc8ion of £1.5inillion- £2.5 million annually. Thc Committee has 15 mcmber8 who have been giving thcir time oyer th¢ last fjfteen year8 to help raise the funds ne¢d¥d fur the much celebratcd annu81 cvont, known a% onc of the leading charily evcnts in London. Conunillee members are respunsible for obtainin¥ the live and silent auction prizes needed for this evcnt. Thcir hard work and Lonn¢clions enable the charity io gather hig>h end luxury iteins for thc auction8. The leadership tearn of this cominittee devise the content and enieftdinment ol'ihe annual event, not only raising significant sunL% for Chain of Hope but keeping the event fun and unique such Ihal guests wish to return eaLh year. Medleal Comndttee The Medical Committ¢e WTnprised of ¢ardiologists and surgeons frorn different hospitals ineluding Great OrTThond Streel Hospifal for Sick Children. Royal BroFnPton and Harefield NHS Trust, Eveliwd Londo Children'5 H05Pital. The Harley Street Clinic atyl Southampton University Hospital. The Iloard meets monthly lo rcview the medical files of patients who are applying for treat[1￿￿t through Chain of Hope. Thc Medical Cornmittce's remit is to advise the TrustCC5 ott mcdical policy and ovcrsee the SmLlOth medical manag¥ment of the charity's ICRP. Thi$ CoTTJmitte¢ was jointly chaircd during this financial p¢riod by Prufessor Shake¢l Qureshi and our newly appultit￿ Co Chair Dr Rodncy Franklin. Nur8ffing Commlttee Th¢ Nursing Comrnitlec remit is to recrnit and scre¢n nurse5 to join Chain of I lope missions and educational prograrnm¢s. Chain ofHopc ovcrsca5 missions rely heavily on voluntccr ICU nurses they up roughly half of our clinTc81 voluntccrs. The Nursing Committe¢ has pul together procedures for recruiting, interviewing atid briefing new nurse8. References are taken up by mcmbcrs of thc Nursing Commitlco and caeh applicant g¢ts inierviewed. Management Dr the Internatlonal Chlld ReferrAI Scheme (MICROS) MICROS is Chaired by Mo O'Reilly, who has a background working in th¢ adoptioii at]d fostering se¢t(Trr. The rcmit of this group 1$ ro r¢view is.sue.$ ari.sing within thc ICRP, including managcmcnt of the waitir2g list. child r¢fcrral pla¢ements, host families and child support volunteers and the housing and accommodatTon provisions roi. p￿rentS- and guardians in rclarion to ¢hild pro￿tiOn in the UK and ICRP centrcs abniad. MICROS monitors th¢ individual child placements t(Tr ensure b¢st practic¢. Host Family ApprDv81 Panel Mo O'Reilly also chairs this indepe]¥Jet)tly recruited panel of professionalsladvisors wht¢h review applicalions frtsm prospectivc carcrs volunteering to caro for a Child and relative during his or h¢r stay the UK, beFoT¢ and after hcart surgery. This proccss mirrors fostering practicc guidclincs and is in line with be%t practice. Tom NarduGCj (Child Prot¢ction S￿claI18L form¢rly NSPCC) joined the panel in 2017. CHAIN OF HOPE CHAIN OF HOPE TRUSTEE8 REPORT (CONTINUED) FOR THE YEAR ENDING 31" MARCH 2021 AmbassAdors Chain of Hope has a group of Ambassadors who can represent the charity at public cvcnts for ￿ndraising and public relations Purposes. Theye Ambassadors have been listed in the Legal attd Adn)inistr&tive sectiott of thi8 report. Voluntrerg The charity is highly depend¢nl on vcry skilled #nd dedicated volunteers who d¢livcr our charitable op¢ralion5 as well as our fundraising cvcnts and activitics. We recognise that thc huge donation of time and expertise to the chariry 18 a key component of the work we carry out and a large amount of iimc liaising with our volunteers is e88ential to the sllcce88 of the ch&rity. The above committees All work tire1￿lY to Carry out thcir &ctivitie VOl￿nIgerS represent a large part of the gifts in kind calculated in the accounts. Partherg and CollaborAtioD Collaboralion and coordina¢ion with vthtr NGOS in the Counlries where we work is important to Chain of Hvpe. We 8UPPOrt NGOS and hospitals in the developmenl of cardiac Services in these countrics. Chain of Hope also parttieTh with grant giving or8anisbtions such as Gift of Life Iniemational and Rotary Foundaiion, as well as medical charities and medical institutions globally, thus ensuTill8 that we providing the very best expertise whilst not duplicating efforts. Performance *nd Fln4nci81 Positlon In the 12 month period to 31st March 2021, totAI income amounted 10 £2.OOm12020.. £4.26m), of which £1.40]n (2020.. £3.32m) was restricted in nature. The charity t￿)1¢81]Y w¢ives most of its in¢ome from donations, partieularly at its annual gala ball. Durin8 the previous financial y¢ar 201912020. £1.55m was raised at the Gala Ball. Due to Covid-19 the charity was unable to hold a Gala Ball in the financial year to 31. March 2021 but £1.06m was raised vit1ually in November 2020. Gifts in Kind omountin8 to £0.32m (2020.. £1.92m) were recorded for th¢ pcriod. Th&se lgrgely rclate to the valu¢ as$ignod tt> profcssional time and ¢xpertise and medical cquipmcnt donated by medical and hcalthcare professionals and mcdical instiNiions. Thcy werc lowcr than the previous year due to the restrictions on activity Brisilly from Covid-19. The charity incurArd £2.08m of costs duri￿¥ the year (2020: £4.84ml including Gifts in Kind of £0.32m {2020.. £1.92m). The d¢crea$e in costs r¢fl¢¢ts r¢duc¢d activity dwing the year due to Covid-19 combined with a cost cuttin8 pro8ratnme. The foreign ex¢hang¢ loss of £0.08m 12020.. gain of £0.04m) arose from US dollars held lor op¢ratiot)al purposes. The holding has si8nificalltly reduced aftcr the balance sheet date. The eharity fitti81￿d the year Strong financial po8itiOn wiih e18h of £2.88m (2020: £2.99m). The fund- r8ising environment is expected to remain challenging in the following ye4r, but the ush rcserves Should ensure liquidity anij et]able the clwity to resume nornMI activities as restrictions are lifted. Financial perfornunce will conlinue to be closely monitored with Tru5teEs receiving monthly final￿la1 inforniation. CHAIIY OF HOPE CHAIN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDINC 31" MARCH 2021 Re*rve5 At the end of the rcporting period thc charity had funds of £2.69m (2020.. £2.84m), of which £1.33m rcpTe5enl¢d re$tri¢ied tunds (2020.. £1.48m). Thc charity holds general r¢s¢rves in cas¢ of unfoT¢se¢M Change8 in incolne and cxpenditure. Thcse are matched by liquid investment5 SO that thcy can be drawn on quickly if nec¢&$&ry. The level of general r¢serve is reviewed annually by the Trustees. They have decided to increase the level of general reserve at 3 1 March 2021 to £750K from £500k. This repr¢s¢nts 7-8 llwnths of ¢x￿d unrestricted expenditur¢ for the following year. The general reserve of £750k 15 le55 than the curreni level of unrestricted funds. This provides extrd flnancial cornfort givon th¢ vnc¢rlaiDti¢s of th¢ y￿r 8h¢ad. Rtsk Minagement Th¢ Th]st¢¢s gnd %Dior nwMg¢m¢nt have Continued to r¢vi¢w risk within th¢ ¢harily ov¢r the last y¢8r with the dded focus of the impact of the pandemic on the charity's activitieb. A Risk Committee Iw been established which meets quarterly to review the risk register and monitor the progress of mits'gating action points. Updates are PTovided to the Trustecs on a regular ba5]5. The key risks attd mitigating actions identified by the risk committee are.. Risk.. De￿deWe on an allDual ¢Ve￿ and key dojjors for fU￿1-raising. Mitl8ation'. The ¢harity has- put additivnal r¢sOu￿¢ iTJto applying for more funds from tru8ts and grdnt giving bodie8 and is investigating ways to in¢r¢ase regular giving and expand the donor base. R Trsk: Poor outcomes from ¢lini¢al a¢tiviti¢s. Mitig&tion." Thc charity h&8 rigorous PTocedur&8 arowid the rccruilment of volunteer surgeons and medical support stsff al￿ the choice of patients.. Further work is being done on collecting data on patient outcum¢s and r¢vi¢wing the r¢5uIts. Risk.. Poor d￿lsion rnakin8 arisin8 from a non diverse Board and unGlcar terms of r¢fer¢nce and reporting lines of sub-committees. Mitigfjiion.. The need for diversity on the Board is being thken into account in fvture arwtntments. Terms of reference of sUb<0￿mitteeS are bein¥ reviewed to ensure that all decision njakillg continues to be transparent. Dlvenlty? Equthllty & Ineluslo Chain of Hope is ￿]lY Gommittrd to chaTrypionill8 cquality, diversity and in¢lusion. We strive lo continuously leam how to inctTa8e the diversification of our network including our Tr￿Stee5, staf£ Volunteers and supporters. STATEMENT OF DISCLOSURE OF IIYFORMATION TO AUDITORS The Trustees of the ch&ritable cornpany who held 0￿1CC at the date of approval of thebe FI]u￿¢la1 Statrments, as set oui on page I, have each confimied thai so far as they are aware there is no relevanl information of which th¢ company'5 a￿dItorS are unaware, they have taken tll steps that they ought to have taken as Tr￿steeS to mak¢ them$elve$ awar¢ of any relevant audit infonnation. and to e$tsbli$h that the charitable company's auditors are aware of that infomation. CHAIN OF HOPE CHAIN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDING 31" MARCH 2021 ChatrmAn's Stat¢ment Over the course of 202￿21, the charity was able to m&intain support to its beneficiaries major projecL8 throu8h adaptation of Its chafitable activitie&. We mana8ed to Serve over 303 patients as well 85 SUPPOrting many of our over5e&s ¢ardi&c facilities which we have helped to esthblislL Ow hard-working fundraisillg committee, together with our very dedicated staff, rnaDaged to maintsill strong tljndraising efforts and adapted their approaches &nd methods io the Covid-19 paDdemic. We have further diversified our Board and strengthelled our financial systems and PToce8ses. W¢ are ¢onfident th&t w¢ hv4ve & good stron8 ba6e from whi¢h to ta¢ki¢ the unc¢rt&inty of th¢ following year and we are grateful for the loyalty and commitment ftorn our donor base and voluntecr5. May l tske this opportunity to thank everybody who given their time ￿Ki skills to help navigate the charity through this difficult pcriod. J,4U• Gavln Wrl8ht Chalrman 17 AM 2011 12 CHAIN OF HOPE CHAIN OF HOPE TRUSTEES REPORT (CONTINUED) FOR THE YEAR ENDING 31° MARCH 2021 STATEMENT OF TRUSTEES, RESPONSIBILITIES Th¢ Trust¢es Iwlh) are also director5 of the ¢omp8ny for th¢ purpos¢s (Trf wmpany lawl arc r¢spon$ible for preparing the frustees. Annual Report and the financial Statements in accordance with applicable law and UDjted Kingdom Accounting Sthndards (United Kingdom Generally Accepted Accounting Prdctice). Compony law requires the Trustees to prq)are fmancta] statem¢nts for e￿h financial year, which give Pd true and fail view of the Stsle of affairs of the Lharitsbltr company and of the incoming resources and appliLation of resource& including ihe incvme and expendjlure, of the charitsble company for th¢ ycar. In prepartng these financial statcmcnt5, the trL]5tCC5 are required to.. sclcct suitable accounting policies and then apply them ¢onsistcntly,' observe the methods and principles in the Charities SORP 2019 (FRS102)' make judgements and estimates that are reasonable and prndeni,. stat¢ whether applicable UK Accounting Standards have be¢n followe(( subject to any material depar- turey disLlvsed and explained in the finan¢iul staternents,. prepare the financial gtatements on the going concern basis unless it is inappropriate to presume ihat the cbaritthle cornpany will contiThlle in operdtion. The Trustees are responsible for keeping adequate accounting rccords that disclose with reasonable accuracy ar any time the financial position of the eharitable eompany and enable them to ensure that the fimmial statemenLs comply with the Companies Act 2006. They ar¢ also respoTL%ible for safeguarding the &%sets of the charitable company henL¢ fvr tskin¥ r￿S()nabl¥ st be uudited in accordance with the Charities Act 2011 rather than the Conyanie¥ Act 2006. AL¢ordingly we have been dppoint¢d as auditors under section 144 of the Charitics Act 2011 and report in ￿CordaILee reguLaiion6 made under se¢¢iort 154 of (IM( ALL Our objcetiv￿ are to obtain reasonable assurancc about whethcr tk financial $talemet)rs a5 a whole are free from ll￿terial misstatcment. wheth¢r (knc to fraud or error, and to issue an auditor's rcport that includes our opinion. Reasonable &%surance is a high level of assuranee but is not & guarantee that an audit conducted in a¢¢ordance with JSAS (UK) will always detect a material misstatement when it exists. Mi$stalem¢nts can arise froin fraud or wror 8nd are considered material if, individually or in the aggregate. they Lould reasonably bc expccted to Anfluenre th¢ economiL deLi&iDns of 4]8¢ts tak¢rL on the basis of th¢se 51atements. A further des¢ription of our rc5ponsibilities for thc audit of the financial staiemEnts is located on Ihe Financial Reporting Council's website ai.. www.fr¢.or8.uklaudrtorsresponsibilitics. Thi5 description forn￿ part of our auditor's report. Irresulariti¢s, including fraud, are instanc&s of non-complian¢e with laws and regulations. We desigtt procedures in lin¢ with our regpunsibiliti¢$, outLin¢d Abov¢, to detect material KDisststements ill respcct of ircgularit&cs, including fraud. Th¢ ex￿nt to whieh our procedures ar¢ capabl¢ of det¢¢ting irregularili¢s. incllldiug fraud Rs detailed below.. ExplanAtioth ss whAt extent the audit TrVll8 eonsidered eap8ble of detectlng Irregularltles, In¢ludlng frthud The objectives of our audil in respect of fraul are,. to identify and hssess the risks of material mi.$8tatement of the fJllaThcial statem¢Thts due to fra[￿. to obtaill sufficiellt appropriatc audit evidence regarding the a&￿Sed riskq of mdteridl misstatement due to fraud, through designing and itnpl¢menting appropEiate responses to thosc assessed risks. and to respond appropriately tu instances of fraud or susp¢ct¢d fraud identified durin¥ the audit. However, the primary responsibility for the prevention a]Kl detection of fraud rests with both rn4nag¢ment and those char8cd with governancc of the charirable company. 15 CHAIN OF HOPE INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF CHAIN OF HOPE (contlnued) FOR THE YEAR ENDING 31" MARCH 2021 Our approach was as follows.. The engagemet)t partner Selected staff For the audit who had prior knowledge of the client ￿ld who had the T¢qUiT¢d Con￿etenCe and skilb to be &ble to identify or rew8ni3¢ non-¢ompliaoce with l&ws and re&Julations. W¢ aS￿sSed the risk of irregularittes as part of our audit plannin8, and ongoirt8 review. including those due to fraud, managcment ovcrridc was ideniified as a significant fr8ud risk. This is duc to the ability to b￿a￿S Controls through inappropriale expend?ttire and accounting policies adopl¢d. Solne inCOTne received is restricted in its and a signifieant risk was identified regarding the cO￿e¢l classilication of income between restricted and unrestricted fimds and that th¢ ¢xp¢nditur¢ against this income was in line with any specified restrictions. Th¢ entity r¢¢¢ive$ gifted m¢di¢al pro¢edurcs. thc cowt I￿]Usion of which within in the a¢counling records was identificd as a signÈfieant risk to the audiL there is a risk associatcd with completencss of income and associated ¢xpenditUT¢. Tlie risk asso¢iat¢d with ensuring that th¢ level of insurance cover held by the charity 15 adequate was a150 ideTJtificd as a signilicant risk, due to di5closur¢ of provisions and contingent liabilitie5. We obtained an understanding of the legal and regulatory requirements applicable to the ¢h&rity and we con%idered the most signifjcant to be Charites Act 2011, the Charity SORP. UK financial rcporting taDdards issued by the FinJnLiul Reporting Council ond UK Taxation le¥Ys18tion. We CLillgidered how the Lh8ritJblg con]pany con]plies with th¢s¢ r¢quiT¢m¢Dls by di￿￿$10n5 with llMnJ¥¢ment and those charged with governance. We inquired of management and those charged with govrnnce as to any known instances of non- compliance or suspected non-cornpliance with 18ws Rnd regulation5. Considerntion was klso rn￿e of the it)tcrnal controls in place to mitigate the identified risks. We assessed the control enviroJ]menL do¢um¢nting ihe syst¢m& Lontrob and pro¢ess¢s adopted. Th¢ audit 8pproa¢h in¢orporat¢d a combination of contro15 whete appropriate, analytiral review and substantive procedwes involving tests of transactions and balanccs. Any irregularities noted wEre discu5scd with mana8ernent and additional com)borntive evidet)ce was obthined required. We obtained an undeTsthnding and assessed the impa¢1 of Covid-19 on the operaiions of the charitsble ompany and adapted our audit approa¢h ac¢ordingly. W¢ ¢Dquir¢d obtained evidence lo support the going concern assumption and reviewed support received through the Coronavirus support 8cheme4 dovet&iled with work undertakeTh on managementoverride. To address the risk of frftud through management override we." perfornied &nal>tical procedures to identify any unusual or unexpected relationships. t&stcd journal entrics to identify any unusual transactions- tested items uf expenditure to ensure that they were valid and AppropriAte' aSse￿¢d whether judg¢m¢nts atKI asswllptions mad¢ in determining tbe accounti￿￿ e¥timat¢s were it￿￿¢￿liVe of potenlial bias. reviewed the di5c105ures within the flnancial statements to ensure they meet the rcquirements of the accounting standards and relevant legislation. 16 CHAIN OF HOPE INDEPENDENT AUDITOR'S REPORT TO THE TRUSTEES OF CHAIN OF HOPE {etsntinued) FOR THE YEAR ENDING 31" MARCH 2021 ITh respons¢ to the classification of rncome betweerj restricted and un￿strICted w¢.. agreed a satnple of incotne recorded in the nominal ledger to source docufftentation to ensure any reqmctions wer¢ correctly identifjcd. greed a gample of cxpenses incurred to ¢nsw¢ th&t they h*d been allo¢atcd to the appropriatc ￿nd. obtained and reviewed fund analysis WOTkings to ensure that the calculations were correct atMI agreed to the accounting reLord5. In response to the risk of irregularities with rewd$ to recognition of in¢om¢ we-. agreed a sample of operations from medical team to calculations pmvided. agreeing the calculation. and obtained clients ￿ft$ in kind ¢al¢ulation and agr¢¢d the basis tsf ¢al¢ulation- tnresponse to the rI.￿k of irrcgularities with regards to provisions and contingent liabilities we: revi¢wed insurance cover documcntation. and reviowed minut¢s a￿1 correspondence with third partie5,' There are inherent limitstions in our audit procedures described above. The more removed that laws and regulations are from fittan¢iAI transactions, the less likely it is that we would become aware of non-¢ompliance. Auditing srandards also limit the audit procedures required io identify t)ot)•wmplianre with laws and regulations to enquiry of the directors and other mamgement aThJ the inspcction of regulatory and legal corrGspond¢ncc, if Material MI￿lam)ents thdt arise du¢ to fraud can be h￿er to de￿1 than those that arise from error as they may involve deliberate concealment or Collusion. Use of our report This rewrt is made solely to the ch8rity's tnL8tc¢s, as a b¢)dy, in accordance with Chapter 3 of Part 8 of th¢ Charities Act 2011. Our audit work has been undcrtaken so that w¢ rnight stat¢ to th¢ company's mernbers those ]natters we arc rcquired tt> state to them in an audilor's r¢port and for I￿ other purpose. To the fvll¢st ¢xt¢nl perniitted by law, we do not accept or assume responsibility to anyon¢ oth¢r than the charity and tho charity's trnstees as a body, for our audit worl f(Trr this reporL OT for the opinion5 we have fornie For the year ended 31" March 202] 2021 Total 2020 Totgl Unreslri¢t¢d Regtrlcted Note In¢ome from: Donations and legacies Other trading activities Investsnellt incon 324.699 lJ5,385 380 142,396 1,397,940 1,722,639 135.385 380 142,390 3,875,755 376.363 10.974 Other Tot*1 Income 602 1.397,940 2,OIMI,800 4.263,092 Expendlturt •n: Raisin¥ funds Chdritable activities.. Ovcrseas Activitics Intemational Child Refe￿￿1 Programme 297.198 297,198 979,531 1,414,519 364,118 IA]4￿19 364,118 2,591,288 1,264,698 Total expendlture 1:77&637 2,075.835 4,835,517 Net Ineome l {expendlturel before other reeognised galns and losses 305,662 380,69 75.035} 572,425 Net gains I Ilosse5} 77.871 77.871 -39,646 Net Mov¢m¢Dt In fund$ 227,791 {380.697) (152,906) {532,779) Transfer betweeD funds {224J70) 224.970 Retoneiii4tion of funds: Total funds brought fonvard 1,357 08 ,481,143 2,838.351 3,371,130 Totsl fund8 tArried fornrd .360,029 I,J25.416 2 685 445 2.838.351 All of the abovc rcsults are duivcd from Continuing activities. There were no other recognEsed gains or10sses other than those stated above. Tbe twtes on page5 21- 32 forni part of ihese financial statements. 18 CHAIN OF HOPE B*laneL Sheet As at 31* M*Trh 2021 2021 2021 2D211 202 Nott Fixed 8ss¢ts," Tangiblc a55ets IlJ37 22,123 Current 8S8ets: Debtors Cash at bank and in hand 12 106,881 2.879,Q16 2,985,897 184,681 ? C)y2.(1118 3,177,289 Li8bl]hies: Creditors.. amounts falling due within one {311,7891 (361,061) Net ¢urTent •9sets 167{108 2,Al&228 Totsl 885ets les5 current Ilabllltles 2,68S445 2J38,351 Total net *ssets 1685.445 2J38J51 Funds Restrietcd fundg Un￿$￿]cted funds.. Gthjeral fijnds Tolal unre51ricted fijnds 16 1,325,416 1,481,143 I J60,029 1,357,208 1.360.029 1,357208 Tot41 funds 2,685A45 2.83¥ The financi￿ ststemenis have been prepared in accordance wlth the spe¢iai provisions for sll)all companies under Part 15 of the CompaDi¢$ Act 2006. For thc year ending 31st Marcb 2021 the company was entitled to exemption from audit under section 477 of the Companies Act 21)06 relating to S￿￿11 cornpanie5. However, an audit is required accordance with section 144 of the Charities Act 2011. DiT￿￿)rS, responsibilities.. Th¢ members have not required the conwgny to obtsin an audit of its accounts for tht year in question itt a¢cordance with section 476. The directors acknowl￿8¢ their responsiTr*ilities for ￿mplying with the requirements of the Aet with r¢spect to a¢¢ounring records omd the preparation of the ac¢tsuttts. -.2.011 aiid sign¢d on th¢ir behaifby.. AppJy)vc by the irustccx on Dr Ian GaviM Wrigbt Chglrm•n Mr8 Loulse Perry Treasurer Conw%ny Regl*tratton no. J9334211 The notes on pages 21- 32 fonn part of th¢ financial statements. 19 CHAIN OF HOPE Ststement Of Cash Flows For the year ended 31￿ M&rcb 2021 Note 21J21 2021 21120 2020 Net ¢ash (used in) OP¢T8¢ing gdivitie5 17 {112,4191 (364,862) Cash flows from Inve8tlng *¢tlvltie$: Int¢r¢5t received Payments ¢0 Acquire fixed assets 380 10,974 (2,550) (1,553) Net ¢*$h (used In) I pr•vld¢d by fkn4ndng yjetlvltles {1,173) 8,424 Change in cash and ￿sh cquivat¢nt in the year (113,592) (356.438) Cash aThJ eash equivalent at the beginrtlrtg of the year 2,992.608 3,349,046 CAsh 4nd cash equlvalent at the end of the year 2,879,016 2.992.6UX CAsh and cagh equlvg41ent eOWJ818tg 1)f: Cash at bank and in hand 2.879,016 2,992,608 C¥48h and cA8h equlvalellt At 31st Mglreb 2021 2,879,010 2.992,608 20 CHAIN OTr" AOPE Notes The Financial Stat¢ment$ For the yefir ended 31" M#rch 2021 I l AceouNtlng poll¢ie$ •) Cornp8ny Status The company is a company lisicd by ¥uarante¢ and ha5 shaTC capitsl. The m¢mbet¥ Dr the Lompany are thc Trustee5 nain¢d on page l. In thc cvcrtt of thc company being wound up, any liability in respect the guaranicc is limited to £1 per member of the company. The addre55 of the registered offtce is gtven on Pd8e 2 of thes¢ finallctal %tstcments. Thc tjaturc of thc charity's operations and principal a¢tiviti¢s are explained in the Tru5tccs Report. b) Basls for preparatio lthc financial .%t&tcmcnt5 havc bccn prcpared in accordance with Accounting and R¢porting by Charities.. sthicmcnl of Recojnmendcd Pra¢li¢e dpplicable to charilies preparin¥ their a￿oUnt$ in 4bCordt￿ce with the I,"inaneial Rcwjrting 8tandard applicable in the UK and Kepubli¢ of Ir¢land (FRS 1021, Charities A¢¢ 2011 and th¢ Comp8ni&s Act 2(106. Thc financial statcmcnis are preparcd in 5terlin¥ whicl) is the functional ¢urr¢n¢y dnd hdve been rounded io the nearcst pound. Th¢ financial stateN￿nIS have been prepared und¢r th¢ historical cost Lonventio Thc charitable company meet.4 the definition of a public benefil entity under FRS 102. Asseis and liabilities are initially recognised at historical cost or trdnsaction value unless tsiherwise stated in the iylevant a¢counting poli¢y or note. e) Going concern I'he tinancial slalements have been prepared on a LToing concern ba¥is as the tn￿te¢S believe that no maicrial uncertainties cxist. The tn]stCC8 hav¢ con&ider¢d the level of funds held and the expected level of incoine and exp¢]pditure for thc 12 moELth$ from authorising the%e finanGial statements. Th¢ bu(Jgeted income and cxpcnditure in addition to existsng rcscrvcs is sufficient to fund the chariti¢s future operations for th¢ charity to be Considered a going concem. d) Jncome Giftb., (5onations and income fi'om other trading activitics twe recogDiseil wh¢n th¢ charity has reccivcd ttsc lutmls. and any p¢rforman¢e condiiivLs ailaLhed io the incotne have been met. Other income, including tax recoverable from Gift Aid is ¢r¢dited on an accrual's basi.%. Grani income relatin¥ to the Government Coronavirus Job Retention Schcmc is recO￿ls¢d undcr the accrual m(NJel in line wilh stsff and is included in other income. Gifts. and donations include anN)unts' received at fundraising events and general gifts. Legacies are l￿cOunted f(Trr at th¢ earlier of.. the d&t¢ on whi¢h the charity is awar¥ thai probatr has been granted. th¢ estate has been finali&ed ￿ notification has been made by the executorfs) to thc charity that dislribuiion will be n￿de,. or - when a distribution is made frorn lh¢ esiate Receipt of a legacy, in whole or paEL is only c(Trnsidcrcd probable when the amount can bc mcasurcd rtrliably, and the chariiy ha5 been notified of thc cxccutor's inienlion to make a distribution. Where legacics have been notified to the charity. or th¢ Charity is aware of the granting of probate, and critcria for incam¢ JEcognilion havc not been rnet. then the legacy is treated as a contingent Asset and discloqed if material. CHAIN OF HOPE Note8 to The FlnaThclal Stattmenis For the ytxr ended 3151 Msrch 2021 l) Aetounting pollcles (contlnued) ¢) DO￿tIOn of gift8, serviees fwciliti¢s Donaicd professional service5 and donated focilities aye reco￿lsed as ineome when the charity has control over the item or received the service. any conditions associated with the donation havc been met, the re￿ipt of economic benefit from the use by the ¢harity of th¢ it¢m is probable and that e¢onorni¢ b¢nefit can be m¢8sur¢d r¢li8bly. In ac¢ordanc¢ with th¢ Charities SOR￿ {FRS 102), voluntccr timc is nol recognised 50 refcr to the tNstees' annual report for more information about theiT contribution. On receipt. donated gifts, professional services and donated f&cilities are reco8nised on the basis of th¢ va]ue of thc gift to the charity which is the amount the charity would have b¢en willing to pay to obtain Servi￿ or facilitie$ of equivalent eGonomiL b¢tL¢fit on thr opcn market. a corresponding amount LS then re¢o8nisrd in CXpe￿]itUr¢ in the period of receipt. No value is given to ihc donations which arc given for subsequent auction as Pri￿s at event5 duc to difficulty, in ]nany ¢8se5. of establishin¥ a fair value ofthe donation. r) Interest r￿Cl￿&ble lttterest fl￿dS held on deposit 15 included whell receivable and tb¢ arnount can be mea5ur¢d reliably by the ¢harily' this is norn]ally upon notifiLation of the interest paid or payable by th¢ bank. g) Fund •ceountlng Unrestricted funds are available to syend aLtivities that furtber any of the purposes of charity. DesignatEIJ fi￿d5' are unrestricted funds of the chaTity which the ttuslees have decided at their discretion to 3et aside tQ Use for a specific PU￿03e. Re8tri¢ted fiinds ar¢ donalhons which the donor has ￿p￿lfied are to b¢ 591¢ly used for partiwiar 8reas of the ¢harity's work or for specific projects being undertaken by the chariry. h) Expendlture and irrecover8ble VA T Expenditure is Tecognised once there is # legal or congtructive obligation to make a Wdyrnent to a third paty. it Is probable that scttlemcnt will b¢ r¢quired, and thc 8mount of thc obligation can be measured rcliably. Expenditure is ¢1888ified undex the following activity heading8'. 'Costs of raislng funds Comprise of trading costs and the costs incurred by the Charitable company in inducing tkn.rd parties to make voluntary contributions to it. as well as the c05t of any activitie$ with a fwidraising PUTPOSC. 'Exp¢Dditure on charitabl¢ activities includes the costs of d¢livering services, exhibitions and other educational activities undertaken to further the purposes of the charity and their associated sUPPOrt costs. 'Other expenditure represents those items not falling into any other heading. Irrecoverdble VAT is charged as a cost against the activity for which the expenditure was incurred. i) AIIDcation of support costs Support costs arc those fundions that as%ist the wnrk of the charity but do not directly undertake ¢haTltable activities. Support ¢osis include back office costs, fii)ance, peThonnel, pa￿>11 and governance costs which support the Trusts Artistic programmcs and activities. Thcsc costs have bccn allocaicd bcttveen cost of raising funds and ¢xp¢nditurc on charitsblc activities. Th¢ bascs on which support ¢osts havc been alloc&tcd arc set out in note 6. J) Operatlng le•ses Rental chargcs arc chargcd on a straight lin¢ basis over thc terni of th¢ l¢as¢. 22 CHAIN OF HOPE Note5 to The FlnA Thclfil Statements For the year ended 311t MArch 2021 l) Aeeounting polieie8 {eontinued) k) T*nglble Ilxed as8e¢8 Items of ¢quiprn¢nt aTe ￿pItaliSed where the purchase price cxceed8 £200. DepTceiaiion 18 provided at rates cal¢ulat¢d to vrrit¢ down th¢ ¢ost of each &sset to its estimated ￿IdUal value over its expected useful life. The depreciatiot) rates in use are as follows: Fixthres and fittings Computer equipment Medical equipment 25Y. 33YD 25Yo l) Debtors Trad¢ and other debtors are r¢cognised at the settlement amount due aftrr any trade discount offered. Prepa)rynents are valued at the amount prepaid net of any trade discounts due. ) C*sh 4t bank hand Cash at bank alld cash in hand includes wh and short trrn) highly liquid investments with a 5hott Ma￿rity of three months or less from the date of a¢quisition or op¢ning of the deposit or similar account. n) Credltors And provtslonfj Creditots and provisions are recognised where the chariry has a present obligation resulting from a past event that will probably result in the trarjsfer of fijnds to a third party and the amount du¢ to settl¢ the obltg&tion can bc mC8&UTcd or ¢stirn&tcd reliably. Cr¢ditors and provitsiun5 are t￿M￿llY recognised at their settlement an]ount after allowing for any trade di5count8 du¢. o) Finsnci81 instruments The Charity only has fIttartcial assets and finAnci81 liabilities of a kind that qualify as basic financi instruments. Basic financial instrumcnts arc initially recognis&l at t￿￿￿￿tIOn value and subswuently measur¢d at their 8ettlern¢nt value. p) P¢nsiort The charity colltributcs to a defined corttribution scheme behalf of its employecs. Thc assets of thc cheme are held separately, frorn those of the company in an indepcndently administered thnd. The pcn$ion Cost charged to the Statement of Fin￿cial Activities rq)resents ih¢ amowLt to the accounting period. Foreign currency Foreign curr¢llcy transactions arc initially rccogni$ed by applying to the foreign ￿rr￿Y amount th¢ spot exchange rate between the functional eurrency and the foreign cwrency at the date of the tran5a¢tion. Monetsry ossets and liabiliti¢s dcnominated in a foreigll currency at thc ba]a]KC sheei dale are translated using the closing rate. Foreign exehan8e gains and losse5 are shown within net 88ins or losses wthin the Statemtnt of FinatKial Activities and treated as a movement on unrestricted fimd5. r) Taxatlo The Charity is an exernpt charity within the meaning of schedule 3 of the Chariiies Act 2011 and 18 considered to pas5 the tests set out in paragraphl Schedule 6 Finance Act 2010 and therefore it meets the defitiitÉon of a charitable company foi UK Lorpordtion tax purposes. 23 CHAIN OF HOPE Notes to The Fin#nci&l Statenwnts FOT the year ended 31" M•rch 2021 l) Att￿U￿tIng politie5 (continued) s) Judgement and key sour¢ex Of ¢J¢irnAtion Mncertalnty In the appli¢alion of the charitsble ¢ompany'8 poli¢y, th¢ Tnthcs are r¢quired to make judgements, estimates and A$8uniptions about the ¢&rrying amount of assets and liabilities that are not readily apparertt frorn other sources. The estimates and 8￿CIated assumptions are based on historical cxpLYience and other factors that 2re considered to bc rclevanL Actual T￿VIt& rn8y differ from these esiimaies. The estimates and underlying ￿SuMptIOnS are reviewed ot) an ongoing basis. Revisiorts to accounting estimatcs are recognised in the period which the tstirnate is revised where the revision affects both rutrent and futtwc periods. In a￿esSing the in¢lusion of s¢ryic¢s provided to the charity ￿ gifts in kind within thcsc finanrial statemen1& the trusices have asse55ed the valuation of thcsc gifts in kind through review of thc costs of 5ueh servi¢es under $t8ndard procedure5. Th¢s¢ judg¢m¢nts arc made in the light of the activity being Ul￿erEaken based on managemertt 8Ssessm¢nts. 2) Detalied coJnpar4tlves lor the statejnent of tIDanelal Ietlvlties 2020 Unrestrlcted 2020 Re¥tri¢ted 20211 Total Jncome from: Donations and l¢ga¢i¢s Other trading activittes Other ineomc Totsl income 613.004 376,363 10.974 1.000,341 3,262,751 3,875,755 376,363 10.974 4,263,092 3262.751 Expendlture on: Raising funds Overseas activities Intcmational chtld refe￿01 prograrntne TO1￿ eipettdStur¢ 842,535 74,635 87,076 1.004,246 136.996 2.516.653 1,177,622 3,831,271 979,531 2,591,288 1.264.698 4,835.517 Net Incorne l (expendltUTe) before other recognlsed galng and losses Other gains Net MoveMe￿t in fvnds {3,095) 39,646 35,741 (568,520) (572,425) 39,646 (532,779) (568,5211) Transfer between funds (1,120,248) 1,120.248 Tot4tl fijnds brOu￿)t fonvard Total funds ¢arrled fonv*rd 2,441,715 IJ57.208 929,415 1.481.143 3,371,130 2038,351 24 CHAIN OF HOPE Notes to The FlnanclAI Stattments For the year ended 31" 2021 3) Jneome from donAtion$ artd l¢g*¢Te5 2021 Total 21120 Total U￿reStrICted Re8trlcted Gifts Donated services L¢gacics 309,824 14,875 1,091,637 306,303 1,401.461 321,178 1.950,528 1,924,822 405 3,875,755 324,699 1,397,940 1.722.639 4) Income from other tr•dlng #ctlvl¢le$ 2021 Total 2020 Totsl UnrestrletEd Re5trl¢t¢d Fundraising Ball 135,385 135,385 376,363 5) Jncomc from Investmentg 21121 Total 2020 Total Unrestrl¢t¢d Reslrkted Bank interest 380 380 10.974 6) Other Ineome 21121 Total 2020 Total Unr¢stri¢ted Restrl¢ted Coronavirus Job Reteniion Scheme 142,396 142,396 7) Anfilysts of expendlture Basis of ailo¢ation Cost of Faising funds OveEBeas a¢tiviti¢s ICRP 202] Totsl 2020 Total Direct I Hea(kount Direct Direct Siaff cosis Direct costs Grants made Gratsts written b8¢k Support costs 161,682 60,724 1011,199 522,262 736,627 136,966 159,703 7.247 406,847 742,689 743.1¢74 645J46 3,803.666 142,012 Direct Hothount {61,6271 301,120 74,792 47,431 60,202 182A25 Total espendithre 2020lll 297,198 1,4l4J19 364,118 2,1175W5 4,835J17 T•l#l exp¢nditur¢ 2019120 979J31 2.591388 1261698 4.835J17 4,760,131 01 the tota] expenditure, £297,198 w8s unrestricted {2020.. £1,004,246), £1,778,637 was restricted (2020: £3.831,2711. Where Costs ¢V4nnotbe directly &ttributed to a partieul•r activity, a kneadeount method of apportl0nr￿ent is Used 25 CHAIN OF HOPE Notes t• The Flnancial St&temcnts For the year ended 31" March 2021 7) An*ty$ls of expendltsre l¢ontlnued) Includ¢d within support Costs are governance costs of £31,002 (2020: £62,879). During the year seven grants w¢r¢ made by Chain of Hopc. Two grants of £15,000 and £1,749 werc made to Ch&in of Hope Jamaica towards the salaries of the Fundraising Manager and Operations Coordinator. Fo grants were made to Gift of Lifc Intcrnational. £12.987 towards opcrations of children in Syri&, £14,495 towards a training visjt to Domini¢an R¢pllblic to treat 20 ¢hildr¢n, £14,495 to support th¢ treatment of Romanian Childrcn in Buch8r¢st and £7,247 to suppon the gurgerie8 of children in Jordan. A grant of £677,901 wa5 Tnade to The Heart Care and Research Foundation Rwanda towards the building of a centre in Kigali Rwanda for cardiovascular care and rcsearch. 8) Net Income l {expenditure) fDr the year This is ststed after chargit)g l (creditirtg): 2021 202(1 Operating leas¢ rentals.. Pmpcty Other equiprnent LkpieLiatioD Auditovs r¢munerniion'. Audit fees A¢¢ountancy $eNces For¢]￿ ¢xchange1085¢8 1 (gains) 19.592 287 12.341 19,851 168 20,250 9.940 4,050 77,871 10,200 9,036 39.646 9) Analysis of itaff etsits J)nd employ¢¢ bvnefits 2021 2020 Salaries and wag¢s Temporary stsff Social security costs Employers NIC rebate Employer's Contribution to defined contribution p¢nsion schcmcs 363,037 538,388 49.263 55,020 (12,W) 14,675 645,346 36,673 {4.000) 10,5J9 406,849 The following number of cmployees received employee benefits (excluding employer pension} during th¢ ytaT in excess of £60,(K)O.. 21J21 No. 21120 £70,000- £79,999 No ernployee re¢eiY¢d employ¢¢ b¢n¢fits {¢x¢luding employer pension) in exc¢s& of £60,000 during the cuttent year. The total ¢emiination payments made to staff was £16,895 {2020: £Nil). 26 CHAIP4 OF HOPE Notes to Th¢ FTrnanciAI Statements For the year ended 31" M*reh 2021 9) Analysls of stsff eo8t8 And employee b¢nefits {¢ontinutd) Staff Number9 The dverage number of employ¢￿ during th¢ y¢4r was as follows.. 2021 2020 No. RaisinbF fut￿8 Charithble activities Support Governance 10) Trustee key momai¢m¢nt reThuneT4¢ion ind expenses The total amount of ¢mploy¢¢ benefits including pen8ion cOntn￿utionS of key managemeni persormel was £65,898 (202(b.. £73,561). The charity trustees were nol paid nor did th¢y ￿¢1ve any oth¢r ben¢fits from emplo>Th¢nt with the TNst (2020.. £Nil). Travel ¢xp¢ns¢s total￿n8 £Nil (2020.. £38 reimbursed to I In￿lee) were reinknursed during the year. During the year 212020.. 3) Trnstees mdde donation5 totalling £1.370 {2020.. £75.850). An Insurance poli¢y in r¢spe¢t ofTrust¢¢ Professional Indernnity has been tak¢n out for the year ended 31 March 2021, at a wst of £612 {2020.. £672). 11) T4nglble Ilxed •ssets Flxtures 8nd fittlng8 Computer eqylpment Medleal eqylprnent Total Co&t At the start of the year Additions in year Disposals At the end of the year 38,741 48,511 1,553 17,395 32,669 144,714 231,966 1,553 {24,9S4) 208565 7,559 31.182 144.714 Depreciation At the start of th¢ year Elitninated on disposal Charge for the year At the end of the year 34,111 (7,5601 3.541 30,092 41,915 (17,3961 4,364 28,883 133,817 209143 (24,956) 12J41 197,218 4,436 138.253 Lyet book value A$ at 31st March 2021 1,090 3,786 6,461 11,337 As at Igt April 2020 4,629 6,597 10,897 22,123 All of the 4EK)ve as5¢ts are used for charitable purposes. 27 CHAIN OF HOPE Notes to The FlThanci41 Statements For the year ended 31" March 21121 12) Debtors 21121 202 Other debtors Prepayments Accrued income 23,(K12 26,566 57,313 106,881 63.320 184,681 13) Credlt&rg: Amounts f*liln¥ due wlthln yemr 21121 2020 Tradc cmlitors Grants payable Other creditors 30,272 177.901 8,248 85,818 9,550 311,789 223.107 6,841 I l3,814 17.299 361.061 Othertax and S￿la1 security Included in other tax and social security is £1.526 (2020: £2,843) relating to pension ￿edItor at the year End. 14) Op¢T•tlmg ikases Totsl future minimum lease payments under non-cancellable operating leases are as follow.. Ikss thgn l y¢4r Property 31st M4rch 2021 Property 31st March 2020 EqulpJn¢nt 31$t14f8rch 2021 Eqmlpment 31st Mareh 202 16,340 287 264 28 CHAIN OF HOPE Note5 to The FiTh&ncl&l Statements For the year ended 3J' MArch 2021 15) Movement In Funds Donations madc to Chain of Hope will in some circumstances have specific restrictions attached by the donor, whereby the tan only be u8cd for a spccific pury08e. In circumstance8 the received are decnThl to be 'restricted in nature.. li is the practice of the ¢hariry to utilt8e restticted funds as the primary source of funding whcrc possible. supplemettting activlties with unrestricted funds where restri¢ied ￿ndS have been exhaustcd. to Cnsuw maximum operational delivery and to en8ure th¢ obj¢¢tiv¢s of th¢ ¢harity arc met. Wherc restrict￿ funds do not cover (he Costs of the activities mentioned below, trdnsfeTS are made fram unrestrictcd funds to cover the overspelld and will reflect the timing of income and spend. Restricted fu￿ in the year rclate to.. Country Relited Overseas Aclivities: Restricted to medical activity, in a specific country. INttrnJtion41 Child Referral ProgramTne: Restricted to medical interventions on oYeTsea5 patients carried out by UK 8nd overseas hospitals. Medle*l Equlpmcnt for ml88knn Restricted to the purchase of speeific medical equipment. Over*85 Ml$&lon¥ & Developmen¢: Restricted to ov¢rs¢as rnis5ion3 but t￿t allocated to 4 specific country. As At 31st Mttrch 2021 TotAI Fund As at 1st Aprll 2020 Total Fund [Tr￿mIng resources & galns OutgolDg resources Transfer$ Restrleted funds: CtsMrttryRdated 0￿￿￿easA￿￿vl1I 452,(M7 (379,463) 72.269 (395,6211 395,621 1,716 144.853 Burundi Rwanda JanJaic2 Fund Othcr 395,621 282.280 61,238 (677.901) (23,478) 25,363 1268 64.839 1,2611 Chlldreferml Child Funding Refugee Children 6,362 263,185 28,699 (317.564) (46,554) 122.211 18,107 74,194 252 MedAealEquwmen¢ Fund I Fund 2 353,717 {43.879) 48,725 309,838 43280 61,157 (66,602) OveneasM1551ons a Development 381,925 566.221 1267,075) 5,821 686,892 Totxl restrlcled funds 1,481,143 l J97,9411 {1,77&637) 224970 1,325,416 Genernl Funds ,141,068 602,860 (297.198) (224.970) 1.222,360 Unrealised exchange gains Tot&1 unrestricted funds 215,540 1,357,208 77,871 1375,069 137,669 1.361).1129 002,8611 {224,97D) Totsl fwnds including pension fund 2,83&351 2,iIOOWiKI 12,153,706) 2.6¥5.445 29 CHAIN OF HOPE Notes to Th¢ Flnan¢i&l Statements For tbe year ended 31" Mareh 2021 15} Movement in Fllndl (etsntinutd) 2019120 Comparntiyei Asat 1st Aprll 2019 Total Fund A8#t318t M#rLh 2020 Total Fund Inc•mlng resource# & galns r¢sources TrAnsfers Restricted funds: Acdvides oversei¥b Aswat] Burundi Rwanda Sierra Leone Jamaiea Fund 13.258 95,621 l(X),000 217,731 235.021 4,032 39S,621 282,2811 118,750 544 35.0(K> 36.470 100.O(M) (l238} 25,000 61,238 Child referr41 Child Funding 741,413 1,177,078 442.026 6,362 MedicalEquipn¢en¢ 312.538 95,122 53,943 353,717 OVe￿￿￿S Missions & Developmeftt 107.997 .917,195 2.192,457 549,190 381,925 136,996 136,996 Total reg¢ri¢ted fund8 929,415 3362,751 3,831,271 1.120.248 1.481,143 GeDer41 Funds 2,265,821 1,000,341 1.004.246 (1,120,248) .141.668 Unrealised exchange gains Total unrestrlcted funds 175.894 2.441.715 39,646 1,039,987 215.540 57,21K8 1,004346 (1,120,248) Total funds IncludlTrg penslon rund 3J71,130 4,302,738 4,835.517 2,11.111.3$1 30 CHAIN OF HOPE Notes to lThe FlnAnelal Statements For the y￿￿ ended Jl" March 2021 16) Artalysts of net a18ets between fvnds Unre5tdcted Rc5trieted Fixed As8e18 Cash and curr¢nt investmcnts Other current assets I Iliabilitiesl Total 4,876 1.334,012 21,141 1,360,1129 6,461 1,545,004 {226,049) 1.325816 1,337 2,879,016 (2(A,908) 2.685,445 20191211 ComparAtlve8 Unrestri¢ted Re8trletsd TotAI Fixed Assets Cash and current investments Other current assets. / (liabilities) Total 11.225 1.320,112 (8.6981 l J22th39 10,898 1,672,496 167.682) 1.481.143 22.123 2,992,608 176,380 2038J51 17) Re¢onciliatron fyf net / (txpendlture) to net ¢4sh flow from oper*tiTrg activRtie8 2021 2020 Net lneome l (expendlture) for the reportlng perlod {A8 per the Jt8tement of Iln4n£lal activlties) Depreciation Profit on disposal of fixed assets Interest. rent and dividends frorn investments Decrease in debtors Decrease) in creditors l¥et c*$h provlded by l (used Ill) oper4tlng a¢tlvl¢l¢3 {152.906) 12.341 12) 1380) 77,8 (49272) (112,419) 1532.779) 20,250 (10,974) 181,320 1364,862) CHAIN OF HOPE Notes tv The FIDaThelal St8tememts For the yehr ended 31* March 2021 18) Related party ¢r&n$8ctlons A daughter of one of thc Tn]stces is employed part-timc by the charity within ihe International Child Referral Programm¢ and 18 employ¢d ulld¥r the t¢ms and ¢ondition8 as All other emplo￿¢8. Chain of Hope is a CO￿orate board member of Chain of Hope Jamaica. During th¢ y¢8r Chain of Hop¢ made 8rant5 to Chain of Hope Jatnaica toward5 the Salary costs of the Fundraising Monager and OpErations Coordinator amowiting to £16,74912019120.. £57,473). Profe8sor Sir Magdi Yacoub is a Trustee of the Aswan Heart Centre Hnd Chain of Hop¢. During the year paytnents were made to the Aswan Heart Ccntrc Iiiouniing to £54,227 (2019120: £147,093) in respect of the trcatment of children under the International Child Referral Progr&tnme. £248,694 of co￿￿n￿le cquiprnent was supplied to the Aswan Heart Centre (2019120.. £235,021). Professor Sir Magdi Yacoub is Vice Chair and a Director of the TN8tee Board of Directors of The Heart Care and ResV4rch Fowldation Rwarjda. During the year a granl of £677,￿1 12019120.. £Nill wa5 made to The Heart Care and Research Foundation Rwanda. Professor Sir Magdi Y￿oUb is a Trustee of The Magdi YaLoub Instiiutc. During the year payments were madc to Th¢ Magdi Yacoub Institute £1,921 (2019120.. £Nil) for Ropid Covid Tests Human IL-6 Quantikin¢ Kits. 32 ## **Document Activity Report** ## **Document Sent** Tue, 28 Sep 2021 09:02:55 GMT ## **Document Activity History** Document history shows most recent activity first **Date Activity** Tue, 28 Sep 2021 09:16:17 GMT Dariel Housego viewed the document Tue, 28 Sep 2021 09:16:14 GMT Dariel Housego viewed the document You can verify that this is a genuine Portal document by uploading it to the following secure web page: **https://mooresouth.accountantspace.co.uk/messages/VerifyDocument**