Company registration number: 03936652 (England & Wales) Charity registration number: 1090320
North West Lung Centre Group Strategic Report, Report of the Trustees and Consolidated Financial Statements For the year ended 31 March 2025
North West Lung Centre Consolidated Financial Statements For the year ended 31 March 2025
| Contents | Page |
|---|---|
| Reference and Administrative Details | 1 |
| Trustees Annual Report including Directors Report and Strategic Report | 2-7 |
| Independent Auditor's Report | 8-10 |
| Consolidated Statement of Financial Activities (including an Income and Expenditure Account) |
11-12 |
| Consolidated Balance Sheet | 13 |
| Company Balance Sheet | 14 |
| Consolidated Statement of Changes in Equity | 15 |
| Consolidated Cash Flow Statement | 16 |
| Notes to the Financial Statements | 17-34 |
North West Lung Centre Reference and Administrative details For the year ended 31 March 2025
| Company registration number | 03936652 |
|---|---|
| Charity registration number | 1090320 |
| Trustees | Professor J Vestbo |
| Professor C S Murray | |
| Dr A M Jones | |
| Dr H Badri | |
| Dr L A Brown | |
| Professor A A Woodcock | |
| Mr R C Bailey | |
| Mr T G Heatley | |
| Mr A Clarke | |
| Company secretary | Professor C S Murray |
| Registered office & principal address | F1, Kennedy House |
| 32 Stamford Street | |
| Altrincham | |
| Cheshire | |
| WA14 1ES | |
| Auditors | Mitchell Charlesworth (Audit) Limited |
| Mynshull House | |
| 78 Churchgate | |
| Stockport | |
| SK1 1YJ | |
| Bankers | Royal Bank of Scotland Plc |
| 467 Wilmslow Road | |
| Withington | |
| Manchester | |
| M20 4AN | |
| Clydesdale Bank Plc | |
| Trading as Virgin Money | |
| Sunderland | |
| SR43 4JB | |
| Investment managers | Quilter Cheviot |
| 4thFloor, Bauhaus | |
| 27 Quay Street | |
| Manchester | |
| M3 3GY |
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North West Lung Centre Trustees Annual Report For the year ended 31 March 2025
The trustees who are also directors of the charitable company for the purposes of the Companies Act 2006, present their report and the audited financial statements of the charity and the group for the year ended 31 March 2025. The trustees have adopted the provisions of 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 (FRS 102) (effective 1 January 2019).
Trustees of the charity
The trustees who have served during the year and since the year end were as follows:
Professor J Vestbo Professor C S Murray Dr A M Jones Dr H Badri Dr L A Brown Professor A A Woodcock (appointed 25.6.25) Mr R C Bailey (appointed 8.12.25) Mr T G Heatley (appointed 8.12.25) Mr A Clarke (appointed 29.1.26) Mr J H Alcock (resigned 8.11.25) Mr A K Webb (resigned 18.12.25)
Objectives and activities
The objects of the charity are:
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To promote research into the causes and treatment of human diseases and disseminate the same to the public.
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To engage in research and development of respiratory medicines and general medicines for use in connection with the treatment referred to above.
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To promote the health and wellbeing of patients with respiratory or related diseases.
Through its close involvement with Manchester University NHS Foundation Trust (Wythenshawe) and in particular the North West Lung Research Centre, the Charity seeks to promote and assist in funding research into lung disease in the North West of England. It seeks to do this by identifying worthwhile and relevant research projects and supporting these financially using funds donated directly as well as those donated by its subsidiary companies.
Public benefit statement
The trustees have considered the Charity Commission guidance on public benefit and consider that the objectives and activities of the charity provide a public benefit in that they contribute to the advancement of public health with a specific focus on the North West of England.
Strategic Report
Achievements and performance
The Charity’s principal subsidiary, Medicines Evaluation Unit Ltd (MEU), has had another excellent year and the activities continue to grow. The company’s turnover for the year ended 31[st] March 2025 was £18,188,618 and it was planned to donate £1,200,000 to the Charity in the financial year 24-25. The company operates a thirty-six clinical trials facility and was approached by IQVIA to buy out the company. The sale was being negotiated (estimated £80,000,000) and was close to being completed at the year end, thus MEU elected not to donate just prior to the transaction. The sale went through on 13[th] June 2025. Thus, the Charity did not receive the planned donation for this financial year, and the accounts are reflected accordingly.
The Charity continues to provide infrastructure support for respiratory research at the North West Lung Research Centre, Manchester University NHS Foundation Trust, the University of Manchester, and from 2017 also the Respiratory Team of the NIHR Manchester Biomedical Centre, as well as support for projects and posts. Not least the latter has enabled several of the current University faculty to start and/or accelerate their research and has therefore often led to attraction of further substantial funding.
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North West Lung Centre Trustees Annual Report For the year ended 31 March 2025
Strategic Report Achievements and performance- continued
The funding awarded this year supports:
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Pickering Fellowships.
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The Charity has over the years part funded a senior post for a clinical academic as a bridge to securing an external fellowship. The Charity is very proud of the fellowships. We believe they are an important way of growing new respiratory academics and previous Pickering fellows have all gone on to do well in respiratory research, securing significant external funding and clinical academic posts within the NHS and University.
The Charity approved one new 1 year fellowship in personalised medicine for COPD suffers. The opportunity to apply for new fellowships was advertised in the new year and there were several applications. Interviews and recommendations to the board will be made for the new financial year.
A previous recipient of a Pickering fellowship in proteomics in CF and non-CF bronchiectasis was provided with funding for 1 day a week for 6 months to allow completion of grant applications and an NIHR award.
Bridging funding was also provided for a previous Pickering fellow. Their current NIHR award was to end in March 2025 and an MRC fellowship would not start until September 2025, this provided 0.4FTE salary for the 6-month interim period.
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Small project grants.
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These were advertised in October 2024, applicants could apply for up to £60,000 to carry out a project over 12-24 months.
18 applications were submitted and reviewed and scored by the scientific committee. Seven were approved for funding, a total value of £356,787.
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Optimising the diagnosis of asthma
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A novel diagnostic test to differentiate chronic spontaneous urticaria from food allergy in patients with urticarial rashes
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Establishing an interstitial lung abnormality registry
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Stratification of COPD according to eosinophil phenotypes
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Anti-inflammatory and Anti-oxidative stress effects of PDE3/4 inhibitor ensifentrine in COPD models
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T-Clip:- T lymphocyte contribution to ILD pathogenesis and progression
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Shift work and risk for incident asthma -
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A project grant of £87,947 to support an ongoing Manchester based cohort study – The Manchester Asthma and Allergy study (University of Manchester) enable the 25 year follow up of the valuable birth cohort investigating the risk factors for asthma and allergy.
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The Charity was pleased to support and fund a three-year clinical fellow post to support the work of the PULSE-CF Innovation Hub.
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This multi-million-pound Innovation Hub in Manchester will be part of a new £15 million Translational Innovation Hub Network, funded by medical research charity LifeArc and leading charity Cystic Fibrosis Trust. Research in Manchester will take place at Wythenshawe Hospital (MFT), focusing on understanding why people develop lung exacerbations (flare-ups) and how to personalise treatments for them. By sharing samples, recording results at home, and measuring their home air pollution levels, people with CF will play an important part in studying what triggers these flare-ups and who is most affected.
The charity will contribute up to £282,602, (depending on seniority of the appointee) to support a clinical fellow to be appointed, and will pay for all salary and University registration fees for a higher degree for this individual.
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North West Lung Centre Trustees Annual Report For the year ended 31 March 2025
Strategic Report Achievements and performance- continued
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The charity provided bridging funding for the salary of a former PhD student analysing findings from the Manchester Early Detection of Lung Cancer programme. The Manchester approach to lung cancer screening using mobile scanner facilities and combining with screening for other chronic lung diseases is set to be the model used by NHS England when lung cancer screening goes nationwide.
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The Charity provided salary for 2 years for a post doctoral researcher in the Cough research team. This would allow sufficient time to complete the analysis of cough fMRI work and to support the publication of this. In addition analysis of cough challenge data studies and publication of these results. This work would then be utilised in the application of a Wellcome fellowship by the same researcher.
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Top up funding was provided towards an ongoing research co-ordinator within the respiratory BRC to end January 2026 to enable researchers in the group to work more efficiently.
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Funding was provided for salary for a lab assistant for 2 years who would work as part of a team of four technicians providing close to patient sample handling and downstream processing for most of the research projects undertaken in the NWLC including The Manchester Asthma and Allergy Study (MAAS), RADicA, Airprom, Manchester Allergy, Respiratory and Thoracic Surgery Biobank (ManARTS), studies conducted within the NIHR Manchester Clinical Research Facility in addition to studies in Idiopathic Pulmonary Fibrosis and COPD.
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A small honorarium was provided to 2 notable respiratory academics from other institutions to attend Manchester for 2 days for the purpose of providing a constructive review and report on the Manchester Respiratory academic unit in order to benchmark, plan and progress research locally.
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A small consumable grant was approved for the Manchester Allergy, Respiratory and Thoracic Surgery Biobank (ManARTS), up to £5,000/year for 3 years. The ManARTS biobank provides tissue samples and data to multiple researchers for pilot and larger projects across the Northwest and the UK. This grant facilitates the collection and storage of these precious samples and ensures high quality curation.
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A grant of up to £10,000 has been made to the respiratory group of the Division of immunology, immunity to infection and respiratory medicine (DIIRM) to pay towards expenses for speakers at the monthly seminar series, to ensure high quality education to all respiratory staff. This grant was to be matched by the Division themselves.
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The Charity provided the salary for a new post of project co-ordinator to support all respiratory researchers based in Manchester. The co-ordinator will assist with financial issues as well as governance, ethics, contracts and sponsorship to aid the smooth running of ongoing and new research projects within the group.
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Two years funding for a part-time respiratory physiologist was provided for the Cough team to enable completion of their complex cough challenge studies.
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Over the course of the year the Charity awarded several travel fellowships to early career researchers and allied health care professionals to attend national and international conferences to present their research. 15 were awarded to attend the European Respiratory Society annual Congress in Vienna in September 2024, 5 to attend the Annual British Thoracic Society Winter meeting in London in November 2024 and 3 awards were made to travel to other important Respiratory Conferences during the year. All provided the recipient with up to £750 to cover expenses.
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North West Lung Centre Trustees Annual Report For the year ended 31 March 2025
Strategic Report Achievements and performance- continued
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The Charity have agreed to fund an equipment update for the Altounyan Seminar room in the NWLC at Wythenshawe Hospital. The Seminar room is used for a variety of educational events and regular departmental teaching sessions, and the audio-video equipment is in need of updating. The Charity set aside a budget of approximately £10,000 for renovation.
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The Charity continues to fund a number of infrastructure posts including a data manager, research nurse, research practitioners, laboratory post-doc, AMR lab staff and Biobank Coordinator.
Financial review
The group accounts reflect a net increase in funds during the year of £93,703,966 (2024 - £5,907,494). At the year end, the group’s reserves totalled £129,938,522 (2024 - £36,234,558).
There were unrealised losses on the Charity’s investment portfolio of £111,206 (2024 – profit £33,203) and realised profits of £113,913 (2024 - £20,856) on investment disposals. The net profit on the Charity’s investment portfolio amounted to £2,707 (2024 - £54,059). Investment income at £19,918 compares with £23,144 received in the previous accounting year.
Following the realisation of a gain on the disposal of the investment in the subsidiary undertakings after the year end, the fair value of the shares held at the year end have been revalued to £90,108,283 (2024 - £1,656).
Reserves policy
It is the trustee’s policy to maintain sufficient reserves to enable the Charity to continue to support current research. The continuous success and profitability of the NWLCC’s subsidiary companies allows the charity to maintain unrestricted reserves at a level that can be re-assessed annually. As a result of the recent acquisition by IQVIA, the North West Lung Centre’s approach to reserve funds and future proofing the charities ability to support current and future research, will be tailored to the post-acquisition strategy.
Investment powers and policy
Under the Articles of Association the trustees have the power to make any investments on behalf of the Charity that they see fit. In considering investment decisions the trustees make due consideration of social, environmental and ethical matters. Furthermore, the trustees are seeking to make updates to the investment strategy, considering the charities new financial landscape.
Future plans
The Charity has plans to update its research strategy in 25-26 in light of its recent changes in circumstance. However, its objectives will remain unchanged.
The trustees anticipate that future Pickering Fellowships will be available for application in 2025-26, along with the likely availability of PhD studentships. Small travel grants will be made available in 2025-26 for early career researchers and allied health-care professionals to apply to attend National and International conferences to present their work.
Structure, governance and management
Governing Document
North West Lung Centre is a charitable company limited by guarantee, incorporated on 29 February 2000 and registered as a charity on 30 January 2002. The governing document is the company’s Memorandum and Articles of Association.
Recruitment and appointment of Trustees
New trustees are appointed following recommendation from the existing trustees. Under the requirements of the Memorandum and Articles of Association, one third of the trustees shall retire by rotation at each Annual General Meeting. If the resulting vacancies are not filled, then the retiring trustees are, providing they are willing to act, deemed to be reappointed unless the meeting resolves not to fill the vacancies.
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North West Lung Centre Trustees Annual Report For the year ended 31 March 2025
Trustee induction and training
All existing trustees are familiar with the work of the charity, new trustees are assisted and encouraged to make themselves aware of the operation of the Charity and the context within which it operates. In particular:
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The obligations of trustees and directors.
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The main documents which set out the operational framework for the charity including the Memorandum and Articles of Association.
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Resourcing and the current financial position as set out in the latest published accounts.
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Future plans and objectives.
Risk Management
The trustees have conducted a review of the major risks to which the charity is exposed. Where appropriate, systems of procedures have been established to mitigate the risks the charity face.
Organisation
The trustees are responsible for the strategic direction and policy of the charity, and the management of the day-to-day activities of the charity. The Articles dictate that there shall be a minimum of three trustees but there is no prescribed maximum. All services provided by the trustees are on a voluntary basis.
The liabilities of the members is limited. In winding up each member shall be required to contribute an amount not exceeding £10. Application for membership of the Charity must be approved by the trustees and the number of members shall not be less than two.
Related Parties
At 31 March 2025, the Charity owned 84.92% of the share capital of Medicines Evaluation Unit Limited and 69.87% of the share capital of CRO Solutions Limited. Medicines Evaluation Unit Limited is a company principally engaged in evaluating medicines for the pharmaceuticals industry. CRO Solutions Limited is a clinical research organisation. The subsidiaries ceased to be related parties after the balance sheet date.
Statement of trustees’ responsibilities
The trustees (who are also the directors of North West Lung Centre for the purposes of company law) are responsible for preparing the Report of the trustees, including the group strategic report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the trustees to prepare financial statements for each financial period which show a true and fair view of the state of affairs of the charitable company and the group and of the income and expenditure of the group for that period. In preparing those accounts the trustees are required to:
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select suitable accounting policies and then apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable UK accounting standards have been followed, subject to any material departures disclosed and explained in the accounts; and
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping adequate accounting records which disclose with reasonable accuracy at any time the financial position of the group and enable them to ensure that the financial statements comply with the Companies Act 2006. The trustees 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.
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North West Lung Centre Trustees Annual Report For the year ended 31 March 2025
Disclosure of information to the auditors
We, the trustees of the charitable company who held office at the date of approval of these Financial Statements as set out above each confirm, so far as we are aware, that:
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there is no relevant audit information of which the company’s auditors are unaware; and
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we have taken all the steps that we ought to have taken as directors in order to make ourselves aware of any relevant audit information and to establish that the company’s auditors are aware of that information.
Auditors
The auditors, Mitchell Charlesworth, will be proposed for re-appointment at the forthcoming Annual General Meeting.
In approving the Trustees' Annual Report, we also approve the Strategic Report included therein, in our capacity as company directors.
Signed on behalf of the board:
Prof. C Murray Trustee and Board Secretary
03/27/2026 Date
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Independent Auditor’s Report to the Members of North West Lung Centre For the year ended 31 March 2025
Opinion
We have audited the financial statements of North West Lung Centre (the ‘parent charitable company') and its subsidiaries (the 'group') for the year ended 31 March 2025 which comprise the Consolidated statement of financial activities, Consolidated balance sheet, Company balance sheet, Consolidated statement of changes in equity, Consolidated cash flow statement and Notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
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give a true and fair view of the state of the group's and of the parent charitable company affairs as at 31 March 2025 and of the group's surplus for the year then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 and the 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 trustees are responsible for the other information. The other information comprises the information in the Report of the trustees, but does not include the financial statements and our Report of the auditors thereon.
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.
In connection with our audit of the financial statements, 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 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.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Report of the trustees for the financial year for which the financial statements are prepared is consistent with the financial statements; and
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- the Report of the trustees has been prepared in accordance with applicable legal requirements.
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Independent Auditor’s Report to the Members of North West Lung Centre For the year ended 31 March 2025
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 its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the directors.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us; or
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the parent charitable company financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees' remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities set out on page six, the trustees, who are also directors of the parent charitable company for the purpose 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 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 the parent charitable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the charitable parent company or to cease operations, or have no realistic alternative but to do so.
Auditors' 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 a Report of the auditors 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.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We worked closely with the trustees and senior management to identify the relevant laws and regulations and compliance therewith. Our procedures and sampling were designed to identify irregularities and remove the risk of material misstatements.
As part of an audit in accordance with ISA's (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:
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Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding amounts and disclosures in the financial statements.
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Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the group's and the parent charitable company's internal control. Accordingly, no such opinion is expressed.
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Independent Auditor’s Report to the Members of North West Lung Centre For the year ended 31 March 2025
Auditors' responsibilities for the audit of the financial statements - continued
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Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
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Conclude whether, in our judgement, there are conditions or events, considered in the aggregate, that raise substantial doubt about the group's and the parent charitable company's ability to continue as a going concern for a reasonable period of time.
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We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and internal control related matters that we identified during the audit.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the auditors.
Use of our report
This report is made solely to the parent charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Nicola Joyce ACA (Statutory Senior Auditor) for and on behalf of Mitchell Charlesworth (Audit) Limited Mynshull House 78 Churchgate Stockport SK1 1YJ
Date
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North West Lung Centre Consolidated Statement of Financial Activities (Including an Income and Expenditure Account) For the year ended 31 March 2025
| Note INCOME Donations and legacies 4 Other trading activities: Trading income 5 Other income 5 Income from investments 6 TOTAL INCOME EXPENDITURE Expenditure on raising funds: Trading expenses Investment management fees Expenditure on charitable activities: Promotion of research 7 Governance costs 7 TOTAL RESOURCES EXPENDED Net incoming resources before gains/(losses) on investments Net gains/(losses) on investments Net income before taxation Taxation 11 Net movement in funds Prior year adjustment Net movement in funds since last annual report |
Unrestricted funds 2025 £ 11,239 19,664,293 25,197 1,169,520 20,870,249 14,340,550 11,261 1,218,253 26,721 15,596,785 5,273,464 90,185,535 95,458,999 (233,371) 95,225,628 - 95,225,628 |
Restricted funds 2025 £ - - - - - - - 423,990 - 423,990 (423,990) - (423,990) - (423,990) - (423,990) |
Total funds 2025 £ 11,239 19,664,293 25,197 1,169,520 20,870,249 14,340,550 11,261 1,642,243 26,721 16,020,775 4,849,474 90,185,535 95,035,009 (233,371) 94,801,638 - 94,801,638 |
Total funds 2024 As restated £ 410,685 18,685,723 27,134 449,647 |
|---|---|---|---|---|
| 19,573,189 | ||||
| 12,067,647 11,469 878,648 22,739 |
||||
| 12,980,503 | ||||
| 6,592,686 698,541 |
||||
| 7,291,227 482,873 |
||||
| 7,774,100 (616,564) |
||||
| 7,157,536 |
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The notes on pages 17 to 34 form part of these financial statements.
North West Lung Centre Consolidated Statement of Financial Activities (Including an Income and Expenditure Account) For the year ended 31 March 2025
| Net movement in funds for the year is attributable to: - Parent charity - Non-controlling interests RECONCILIATION OF FUNDS Total funds brought forward at 1 April 2024 Net movement in funds for the year is attributable to: - Parent charity - Non-controlling interests - Dividends paid to non-controlling interests in subsidiary undertakings Total funds carried forward at 31 March 2025 |
Unrestricted funds 2025 £ 94,127,956 1,097,672 95,225,628 37,784,573 94,127,956 1,097,672 (1,147,791) 131,862,410 |
Restricted funds 2025 £ (423,990) - (423,990) 443,261 (423,990) - - 19,271 |
Total funds 2025 £ 93,703,966 1,097,672 94,801,638 38,227,834 93,703,966 1,097,672 (1,147,791) **131,881,681 ** |
Total funds 2024 As restated £ 5,907,494 1,250,042 7,157,536 |
|||
|---|---|---|---|---|---|---|---|
| 31,681,724 5,907,494 1,250,042 (611,426) |
|||||||
| 38,227,834 |
The consolidated statement of financial activities includes all gains and losses recognised during the year.
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The notes on pages 17 to 34 form part of these financial statements.
North West Lung Centre Consolidated Balance Sheet For the year ended 31 March 2025
| Unrestricted | Restricted | Total | ||||
|---|---|---|---|---|---|---|
| funds | funds | Total funds | funds | |||
| Note | Note 2025 |
2025 | 2025 | 2024 | ||
| As restated | ||||||
| £ | £ | £ | £ | |||
| Fixed assets | ||||||
| Tangible assets | 16 | 3,527,983 | - | 3,527,983 | 3,644,360 | |
| Investments | 17 | 91,021,748 | - | 91,021,748 | 7,826,681 | |
| **94,549,731 ** | - | **94,549,731 ** | 11,471,041 | |||
| Current assets | ||||||
| Debtors | 18 | 7,643,916 | - | 7,643,916 | 8,963,327 | |
| Cash at bank and in hand | 36,312,152 | 1,648,512 | 37,960,664 | 24,952,902 | ||
| 43,956,068 | 1,648,512 | 45,604,580 | 33,916,229 | |||
| Creditors | ||||||
| Amounts falling due within one year | 19 | 5,775,998 | 1,028,917 | 6,804,915 | 5,714,932 | |
| Net current assets | 38,180,070 | 619,595 | 38,799,665 | 28,201,297 | ||
| Total assets less current liabilities | 132,729,801 | 619,595 | 133,349,396 | 39,672,338 | ||
| Creditors | ||||||
| Amounts falling due after more than one year |
20 | 554,489 | 600,324 | 1,154,813 | 1,131,602 | |
| Provisions for liabilities | 21 | 48,221 | - | 48,221 | 48,221 | |
| Total assets | 132,127,091 | 19,271 | 132,146,362 | 38,492,515 | ||
| Funds attributable to: | ||||||
| - Parent charity | 129,919,251 | 19,271 | 129,938,522 | 36,234,558 | ||
| The financial statements were approved by the Board of Trustees and authorised for issue by the on - Non-controlling interests |
The financial statements were approved by the Board of Trustees and authorised for issue by the on 2,207,840 - 2,207,840 2,257,957 132,127,091 19,271 132,146,362 38,492,515 03/27/2026 ~~—_—~~ |
|||||
| and signed on its behalf by: |
Prof. C Murray Trustee oe Dr A M Jones Trustee
Company registration number 03936652
13 | P a g e
The notes on pages 17 to 34 form part of these financial statements.
North West Lung Centre Company Balance Sheet For the year ended 31 March 2025
| Unrestricted | Restricted | Total | Total | ||
|---|---|---|---|---|---|
| funds | funds | funds | funds | ||
| Note | 2025 | 2025 | 2025 | 2024 | |
| £ | £ | £ | £ | ||
| Fixed assets | |||||
| Investments | 17 | 91,023,370 | - | 91,023,370 | 902,951 |
| 91,023,370 | - | 91,023,370 | 902,951 | ||
| Current assets | |||||
| Debtors | 18 | 33,543 | - | 33,543 | - |
| Cash at bank and in hand | 1,759,674 | 1,648,512 | 3,408,186 | 4,401,291 | |
| 1,793,217 | 1,648,512 | 3,441,729 | 4,401,291 | ||
| Creditors | |||||
| Amounts falling due within one year | 19 | 2,073,809 | 1,028,917 | 3,102,726 | 2,481,733 |
| Net current (liabilities)/assets | (280,592) | 619,595 | 339,003 | 1,919,558 | |
| Total assets less current liabilities | 90,742,778 | 619,595 | 91,362,373 | 2,822,509 | |
| Creditors | |||||
| Amounts falling due after more than one year |
20 | 554,489 | 600,324 | 1,154,813 | 1,131,602 |
| Total assets | 90,188,289 | 19,271 | 90,207,560 | 1,690,907 | |
| Funds | |||||
| Unrestricted funds | 90,188,289 | 1,247,646 | |||
| Restricted funds | 19,271 | 443,261 | |||
| 90,207,560 | 1,690,907 |
The financial statements were approved by the Board of Trustees and authorised for issue by the on 03/27/2026 and signed on its behalf by:
Prof. C Murray Trustee ian Dr A M Jones Trustee
Company registration number 03936652
14 | P a g e
The notes on pages 17 to 34 form part of these financial statements.
North West Lung Centre Consolidated Statement of Changes in Equity For the year ended 31 March 2025
| Unrestricted funds £ At 1 April 2023 31,049,642 Prior year adjustment (616,564) As restated 30,433,078 Changes in equity Net movement in funds 7,962,921 Dividends paid to Non- controlling interests (611,426) At 31 March 2024 37,784,573 Changes in equity Net movement in funds 95,225,628 Dividends paid to Non- controlling interests (1,147,791) At 31 March 2025 131,862,410 At 1 April 2023 Prior year adjustment As restated Changes in equity Net movement in funds Dividends paid to Non-controlling interests At 31 March 2024 Changes in equity Net movement in funds Dividends paid to Non-controlling interests At 31 March 2025 |
Restricted funds £ 632,082 - 632,082 (188,821) - 443,261 (423,990) - 19,271 |
Share capital £ 504 - 504 - - 504 - - 504 Total controlling interest £ 30,327,064 (523,605) 29,803,459 6,431,099 - 36,234,558 93,703,965 - 129,938,523 |
Share premium £ 264,177 - 264,177 - - 264,177 - - 264,177 Non- controlling interest £ 1,619,341 (92,959) 1,526,382 1,343,001 (611,426) 2,257,957 1,097,673 (1,147,791) 2,207,839 |
Total fund balances £ 31,946,405 (616,564) |
|---|---|---|---|---|
| 31,329,841 7,774,100 (611,426) |
||||
| 38,492,515 | ||||
| 94,801,638 (1,147,791) |
||||
| **132,146,362 ** | ||||
| Total fund balances £ 31,946,405 (616,564) |
||||
| 31,329,841 7,774,100 (611,426) |
||||
| 38,492,515 | ||||
| 94,801,638 (1,147,791) |
||||
| **132,146,362 ** |
15 | P a g e
The notes on pages 17 to 34 form part of these financial statements.
North West Lung Centre Consolidated Cash Flow Statement For the year ended 31 March 2025
| Note Cash flows from operating activities Cash generated from operations 23 Interest paid Tax paid Net cash from operating activities Cash flows from investing activities Purchase of tangible fixed assets Purchase of fixed asset investments Sale of fixed asset investments Interest received Dividends received Net cash from investing activities Cash flows from financing activities Amount withdrawn by directors Called up share capital not paid Dividends paid to non-controlling interests Net cash from financing activities Increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of year 24 Cash and cash equivalents at end of year 24 |
2025 £ 5,881,183 - 133,163 6,014,346 (129,697) (2,029,763) 9,020,231 1,028,043 141,477 8,030,291 - 110,916 (1,147,791) (1,036,875) 13,007,762 24,952,902 37,960,664 |
2024 As restated £ 2,652,346 (165) 580,522 |
|---|---|---|
| 3,232,703 (13,708) (1,832,453) 1,630,208 312,753 136,894 |
||
| 233,694 92,376 - (611,426) |
||
| (519,050) 2,947,347 22,005,555 |
||
| 24,952,902 |
16 | P a g e
The notes on pages 17 to 34 form part of these financial statements.
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
1 Statutory Information
North West Lung Centre is a private charitable company, limited by guarantee and registered in England and Wales. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the charity. The address of the registered office is given in the charity information on page one of these financial statements. The nature of the charity’s operations and principal activities are detailed in the Trustees Report.
2 Accounting policies
Basis of preparing the financial statements
The charity constitutes a public benefit entity as defined by FRS 102. The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102), the Companies Act 2006, the recommendations of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities (FRS 102) (effective 1 January 2019) and UK Generally Accepted Accounting Practice. The financial statements have been prepared on a going concern basis under the historical cost convention modified to the extent that listed investments are included at fair value.
The financial statements are presented in sterling, which is the functional currency of the company. All amounts stated are rounded to the nearest £1.
The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years presented unless otherwise stated.
Group financial statements
The group financial statements consolidate the financial statements of the charitable company and its subsidiaries, Medicines Evaluation Unit Limited and CRO Solutions Limited on a line by line basis. A separate Statement of Financial Activities and Income and Expenditure Account has not been presented because the Charity has taken advantage of the exemption afforded by section 408 of the Companies Act 2006 and as permitted by FRS 102.
The surplus of the parent charity for the year to 31 March 2025 was £88,384,730 (2024 - £2,018,803).
All financial statements are made up to 31 March 2025. All inter-company transactions and balances between group companies are eliminated on consolidation.
Medicines Evaluation Unit Limited and CRO Solutions Limited have been included in the group financial statements using the purchase method of accounting. Accordingly, the group financial statements and statement of cash flows include the results and cash flows of both companies. The non-controlling interest of each company has been separately disclosed.
Going concern
The trustees when undertaking their assessment of the group’s financial position, considering the proceeds received from the sale of the shares in the subsidiary companies after the year end, are confident that there is a reasonable expectation that the group will have adequate resources to continue in operational existence for the foreseeable future, being at least 12 months from the date of approval of the financial statements. Thus, the group company has prepared the financial statements on a going concern basis.
Funds
Unrestricted funds are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.
Any capital gains or losses arising on the investments form part of the unrestricted fund. Investment management charges and legal advice relating to the investments are charged against the unrestricted fund.
Restricted funds represent funds received from Medicines Evaluation Unit Limited which are intended to fund specific research projects as requested by the directors.
17 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
2 Accounting policies - continued
Income recognition
All incoming resources are included in the Statement of Financial Activities (SoFA) when the charity is legally entitled to the income, the amount can be measured reliably and it is probable that the income will be received.
No amount is included in the financial statements for volunteer time in line with the SORP.
Income from trading activities includes income earned from fundraising events and trading activities to raise funds for the charity. Income is received in exchange for supplying goods and services in order to raise funds and is recognised when entitlement has occurred.
Investment income is earned through holding assets for investment purposes such as shares. It includes dividends and interest. Where it is not practicable to identify investment management costs incurred within a scheme with reasonable accuracy the investment income is reported net of these costs. It is included when the amount can be measured reliably. Interest income is recognised using the effective interest method and dividend income is recognised as the charity’s right to receive payment is established.
Expenditure recognition
All expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all costs related to the category. Expenditure is recognised where there is a legal or constructive obligation to make payments to third parties, it is probable that the settlement will be required and the amount of the obligation can be measured reliably. The costs of each activity are made up of the total of direct costs and a share of other costs including support costs involved in undertaking each activity. Costs are categorised under the following headings:
-
Costs of raising funds include costs incurred in attracting voluntary income, managing the charity’s investment portfolio and those costs incurred in trading activities that raise funds.
-
Expenditure on charitable activities comprises expenditure associated with the funding of research into lung disease and other activities of the Charity as detailed in the Trustees report; and
-
Other expenditure represents those items not falling into the categories above and generally relates to Governance costs which include those costs primarily associated with constitutional and statutory requirements.
Irrecoverable VAT is charged as an expense against the activity for which expenditure arose.
Tangible fixed assets
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses.
Depreciation is provided on all tangible fixed assets, at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:
Short leasehold land and buildings Over the term of the lease Medical and office equipment 25% on cost Fixtures and fittings 15% on cost Motor vehicles 25% on cost Computer equipment 33% on cost
18 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
2 Accounting policies – continued
Investments
Fixed asset Investments are recognised initially at transaction price excluding transaction costs. Subsequently, they are measured at fair value at each reporting date with changes recognised in ‘net gains / (losses) on investments’ in the SoFA if the shares are publicly traded or their fair value can otherwise be measured reliably. Other investments are measured at cost less impairment.
For the purposes of the Charity’s balance sheet, the investments in Medicines Evaluation Unit Limited and CRO Solutions Limited are shown at the fair value to the charity.
Impairment
Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.
Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at banks, and other short term liquid investments.
Financial instruments
The company has elected to apply the provisions of section 11 'Basic Financial Instruments' of FRS102 to all of its financial instruments.
Financial instruments are recognised in the group and company balance sheets when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financial transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities
Basic financial liabilities including creditors, bank loans and loans from fellow group companies are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
19 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
2 Accounting policies – continued
Taxation
Taxation for the year comprises current and deferred tax in respect of the group companies. Tax is recognised in the Consolidated Statement of Financial Activities, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.
Current or deferred taxation assets and liabilities are not discounted.
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
The parent company meets the definition of a charitable company and is potentially exempt from taxation in respect of its income and capital gains to the extent that such income or gains are applied exclusively to charitable purposes.
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Turnover from trading activities
Turnover is recognised at the fair value of the consideration received or receivable for services provided in connection with the operation of clinical trials and related services.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of future receipts. The difference between the fair value of the consideration and the normal amount received is recognised as interest income.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.
Hire purchase and leasing commitments
Rentals paid under operating leases are charged as an expense on a straight line basis over the period of the lease.
Pension costs and other post-retirement benefits
The group’s subsidiary undertakings contribute to a defined contribution pension scheme. Contributions payable are charged as an expense in the period to which they relate.
20 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
2 Accounting policies – continued
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense. Costs relating to any unused holiday entitlement is recognised in the period in which the employee's services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Research and development
Expenditure on research and development is written off in the year in which it is incurred.
3 Critical accounting judgements and key sources of estimation uncertainty
In the application of the company's accounting policies, the trustees and directors are required to make judgements, estimates and assumptions about carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Tangible fixed assets are stated at cost less accumulated depreciation and accumulated impairment losses. Management have used their expectation of the estimated useful lives of each category of assets in order to ensure the appropriate provision is made for depreciation. Details of the estimated useful lives are noted in the accounting policies and the depreciation provision is stated in note 15.
Amounts recoverable under contracts are measured by management who by reference to individual contracts assess the stage of completion by determining the proportion of work completed and costs incurred to ensure that revenue is recognised in the correct accounting period.
4 Income from donations and legacies
General donations
| 2025 £ 11,239 |
2024 £ 410,685 |
|---|---|
5 Income from other trading activities
| Trading activities Turnover - clinical trials Other income |
2025 £ 19,664,293 25,197 19,689,490 |
2024 As restated £ 18,685,723 27,134 |
|---|---|---|
| 18,712,857 |
21 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
6 Income from investments
| Bank interest Income from listed investments |
2025 £ 1,028,043 141,477 1,169,520 |
2024 As restated £ 312,753 136,894 |
|---|---|---|
| 449,647 |
7 Expenditure on charitable activities
| Promotion of research Research grants to institutions Grants to individuals Donations Governance costs Legal and professional fees Auditors remuneration Honorariums Sundries Bank charges |
2025 £ 1,614,952 21,995 5,296 1,642,243 2025 £ 216 18,300 7,700 46 459 26,721 |
2024 £ 850,766 22,291 5,591 |
|---|---|---|
| 878,648 | ||
| 2024 £ 7,452 14,180 - 660 447 |
||
| 22,739 |
8 Analysis of grants
The majority of grants are made to institutions, with a small number made to individuals, in furtherance of the charitable objectives as detailed in the Trustees Report. Grants awarded to institutions by the company during the year were to the Manchester University NHS Foundation Trust, The University of Manchester and to the University of Hull. The total cost of grants awarded includes support costs and is disclosed on the face of the SoFA as Promotion of Research, a breakdown of the costs is included in note 7 to the accounts.
Where awards have been granted and not claimed within the award period, any remaining funds are credited back to the company following expiry of the award period and deducted from the value of new awards during the year as detailed in note 9.
22 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
8 Analysis of grants - continued
The following institutions received grant support from the charity during the year:
| Manchester University NHS Foundation Trust The University of Manchester Research & Innovation, University of Hull |
2025 £ 1,266,367 303,536 45,049 1,614,952 |
2024 £ 674,591 176,175 - |
|---|---|---|
| 850,766 |
The nature of the projects supported during the year from grants to institutions are as follows:
| Research projects Salary awards Fellowship awards Purchase of equipment and consumables |
2025 £ 1,141,586 372,762 98,124 2,480 1,614,952 |
2024 £ 278,353 103,770 123,000 345,643 |
|---|---|---|
| 850,766 |
The nature of the activities supported during the year from grants to individuals are as follows:
| Travel and conference costs | 2025 £ 21,995 21,995 |
2024 £ 22,291 |
|---|---|---|
| 22,291 |
9 Movements in funding commitments
The Charity awards a number of grants, some are awarded and paid out in the same financial year. However, some grants especially those relating to research or funding specific posts are multi-year grants paid over a longer period.
The movement in funding commitments during the year is as follows:
| Opening balance at 1 April 2024 New funding awards approved during the year Unused amounts reversed during the year Movement from non-current to current Amounts paid during the year Closing balance at 31 March 2025 |
Current liabilities £ 2,467,780 1,043,013 (109,792) 680,536 (1,053,068) 3,028,469 |
Non- current liabilities £ 1,131,602 703,747 - (680,536) - 1,154,813 |
Total £ 3,599,382 1,746,760 (109,792) - (1,053,068) |
|---|---|---|---|
| 4,183,282 |
23 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
10 Auditors remuneration
| 10 Auditors remuneration | 10 Auditors remuneration | |
|---|---|---|
| 2025 £ Fees payable to the Charity's auditor for the audit of the Charity's annual accounts 11,880 Fees payable to the Charity's auditor in respect of non-audit services not included in the above 6,420 11 Taxation 2025 £ Current tax: UK corporation tax 233,371 Deferred tax - Tax on net income 233,371 UK Corporation tax has been charged at 25% (2024 - 25%) Reconciliation of tax credit included in the Consolidated Statement of Financial Activities 2025 £ Net income before taxation 6,544,352 Profit multiplied by the standard rate of corporation tax in the UK of 25% (2024 - 25%) 1,636,088 Effects of: Expenses not deductible for tax purposes 165,392 Income not taxable for tax purposes (17,089) Capital allowances in excess of depreciation (3,172) Depreciation in excess of capital allowances 31,414 Adjustments to tax charge in respect of previous periods - Research and development tax claim (1,579,262) Deferred tax adjustment - Other tax adjustment - Total tax credit 233,371 |
2024 £ 8,780 5,400 2024 As restated £ (460,655) (22,218) |
|
| (482,873) | ||
2024 As restated £ 5,246,429 1,311,607 - (164,448) - 32,600 (79,165) (1,561,249) (22,218) - |
||
| (482,873) |
24 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
12 Net income
| Net income is stated after charging/(crediting): | 2025 | 2024 |
|---|---|---|
| As restated | ||
| £ | £ | |
| Operating lease rentals | 92,966 | 83,051 |
| Depreciation - owned assets | 246,074 | 248,328 |
| (Profit)/loss on disposal of fixed assets | (874,259) | (100,064) |
| Foreign exchange differences | (3,422) | - |
13 Trustees remuneration and expenses
The trustees neither received nor waived any remuneration during the year (2024 - £Nil).
Conference expenses amounting to £213 (2024 - £456) were reimbursed to one of the trustees during the year.
An honorarium of £6,000 was payable to trustee J Alcock in the year (2024 £Nil).
14 Staff costs and employee benefits
The average number of employees during the year was as follows:
| Admin Clinical |
2025 68 107 175 |
2024 61 101 |
|---|---|---|
| 162 |
The total staff costs and employee benefits were as follows:
| Wages and salaries Social security Other pension costs |
2025 £ 7,664,220 814,609 333,914 8,812,743 |
2024 As restated £ 6,700,399 680,137 280,428 |
|---|---|---|
| 7,660,964 |
25 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
14 Staff costs and employee benefits - continued
The number of group employees who received total employee benefits (excluding employer pension costs) of more than £60,000 is as follows:
| 2025 | 2024 | |
|---|---|---|
| £60,001 - £70,000 | 9 | 2 |
| £70,001 - £80,000 | 3 | 2 |
| £80,001 - £90,000 | 1 | 1 |
| £100,001 - £110,000 | 1 | 2 |
| £110,001 - £120,000 | 1 | - |
| £140,001 - £150,000 | - | 1 |
| £160,001 - £170,000 | 1 | - |
| £180,001 - £190,000 | - | 1 |
| £210,001 - £220,000 | - | 1 |
| £230,001 - £240,000 | 1 | 1 |
| £240,001 - £250,000 | 1 | - |
The key management personnel of the group comprise the directors of the subsidiary undertakings Medicines Evaluation Unit Limited and CRO Solutions Limited whose employee benefits totalled £636,962 (2024: £483,116).
15 Prior year adjustment
A prior year adjustment has been recorded to recognise the contribution made by Manchester University Foundation Trust in respect of the construction of the bronchoscopy unit in Medicines Evaluation Unit Limited. The adjustment also recognises the provision of a loan by the company, the subsequent loan repayments and other costs recharged in respect of this project.
26 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
16 Tangible fixed assets
| Group Cost At 1 April 2024 Additions At 31 March 2025 Depreciation At 1 April 2024 Charge for the year At 31 March 2025 Net book value At 31 March 2025 At 31 March 2024 |
Short Leasehold £ 5,416,015 - 5,416,015 1,985,030 146,172 2,131,202 3,284,813 3,430,985 |
Plant and Machinery £ 944,065 76,121 1,020,186 832,373 58,953 891,326 128,860 111,692 |
Fixtures and fittings £ 572,454 18,472 590,926 470,771 33,602 504,373 86,553 101,683 |
Motor Vehicles £ 6,959 - 6,959 6,959 - 6,959 - - |
Computer equipment £ 247,288 35,104 282,392 247,288 7,347 254,635 27,757 - |
Total £ 7,186,781 129,697 |
|---|---|---|---|---|---|---|
| 7,316,478 | ||||||
| 3,542,421 246,074 |
||||||
| 3,788,495 | ||||||
| 3,527,983 | ||||||
| 3,644,360 |
27 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
17 Fixed asset investments
| Group Cost or valuation At 1 April 2024 Additions Disposals Movement in valuation At 31 March 2025 Market value At 31 March 2025 At 31 March 2024 |
Listed investments £ 7,826,880 1,994,097 (8,145,972) (759,718) 915,087 915,087 7,826,680 |
Unlisted investments £ 1 33 - 90,106,627 90,106,661 90,106,661 1 |
Total £ 7,826,681 2,029,763 (8,145,972) 89,311,276 |
|---|---|---|---|
| 91,021,748 | |||
| 91,021,748 | |||
| 7,826,681 |
The movement in the valuation of the unlisted investments reflects the post year end disposal value as disclosed in note 27.
| Shares in group undertakings |
Listed investments |
Listed investments |
Total | |
|---|---|---|---|---|
| Company | ||||
| £ | £ | £ | ||
| Cost or valuation | ||||
| At 1 April 2024 | 1,656 | 901,295 | 902,951 | |
| Additions | - | 915,805 | 915,805 | |
| Disposals | - | (790,807) | (790,807) | |
| Movement in valuation | 90,106,627 | (111,206) | 89,995,421 | |
| At 31 March 2025 | 90,108,283 | 915,087 | 91,023,370 | |
| Market value | ||||
| At 31 March 2025 | 90,108,283 | 915,087 | 91,023,370 | |
| Market value | ||||
| At 31 March 2024 | 1,656 | 901,295 | 902,951 | |
| Subsidiary undertakings | ||||
| The following were subsidiary undertakings of the charity at 31 March | 2025. | |||
| Name | Registered Office Address | Class of share |
Holding | |
| Medicines Evaluation Unit Limited | 3 Forbury Place, 23 Forbury | Road, | Ordinary 'A' | 84.92% |
| (Company number 0379957) | Reading RG1 3JH | |||
| CRO Solutions Limited | 3 Forbury Place, 23 Forbury | Road, | Ordinary 'A' | 69.87% |
| (Company number 09157193) | Reading RG1 3JH |
28 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
18 Debtors
| Trade debtors Amounts recoverable on contracts Other debtors Tax Called up share capital not paid Prepayments and accrued income |
Group 2025 2024 As restated £ £ 1,507,923 4,444,862 3,339,770 2,523,572 113,005 135,629 1,465,221 1,138,821 - 110,916 1,217,997 609,527 7,643,916 8,963,327 |
Company 2025 2024 £ £ - - - - 33,543 - - - - - - - 33,543 - |
|---|---|---|
19 Creditors – Amounts falling due within one year
| Trade creditors Corporation tax Social security and other taxes Other creditors Accruals and deferred income |
Group 2025 2024 As restated £ £ 96,344 36,551 692,934 - 243,398 195,447 3,062,012 2,464,639 2,710,227 3,018,295 6,804,915 5,714,932 |
Company 2025 2024 £ £ 15,034 - - - - - 3,062,012 2,464,639 25,680 17,094 3,102,726 2,481,733 |
Company 2025 2024 £ £ 15,034 - - - - - 3,062,012 2,464,639 25,680 17,094 3,102,726 2,481,733 |
|---|---|---|---|
| 2,481,733 |
20 Creditors – Amounts falling due after more than one year
| Group | Group | Company | Company | |
|---|---|---|---|---|
| 2025 | 2024 | 2025 | 2024 | |
| As restated | ||||
| £ | £ | £ | £ | |
| Other creditors | 1,154,813 | 1,131,602 | 1,154,813 | 1,131,602 |
There were no liabilities falling due after more than five years.
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North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
21 Provisions for liabilities and charges
| Deferred tax Accelerated capital allowances Group Balance as at 1 April 2024 Transfer to Statement of Financial Activities Balance as at 31 March 2025 |
2025 £ 48,221 |
2024 As restated £ 48,221 |
|---|---|---|
| Deferred Tax £ 48,221 - |
||
| 48,221 |
22 Leasing commitments
Total future minimum lease payments under non-cancellable operating leases are as follows:
| Not later than one year Later than one year and not later than five years In more than five years |
2025 £ 165,355 371,682 681,536 1,218,573 |
2024 As restated £ 154,716 437,515 2,118,462 |
|---|---|---|
| 2,710,693 |
23 Reconciliation of cash generated from operations
| Net incoming resources before taxation Depreciation charges (Profit)/loss on disposal of fixed assets (Gain)/loss on valuation of investments Finance costs Finance income Decrease/(increase) in trade and other debtors Increase /(decrease) in trade and other creditors Cash generated from operations |
2025 £ 95,035,010 246,075 (874,259) (89,311,276) - (1,169,520) 3,926,030 2,148,965 (193,812) 5,881,183 |
2024 As restated £ 7,291,226 248,327 (120,920) (577,621) 165 (449,647) |
|---|---|---|
| 6,391,530 (269,418) (3,469,766) |
||
| 2,652,346 |
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North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
24 Cash and cash equivalents
| Year ended 31 March 2025 Cash and cash equivalents Year ended 31 March 2024 Cash and cash equivalents 25 Analysis of changes in net funds Net cash Cash at bank and in hand 26 Movements in funds Group Unrestricted funds General funds Restricted funds Total funds |
At 01.04.2024 As restated £ 24,952,902 At 01.04.2024 As restated £ 37,784,573 443,261 38,227,834 |
At 01.04.2024 As restated £ 24,952,902 At 01.04.2024 As restated £ 37,784,573 443,261 38,227,834 |
2025 2024 As restated £ £ 37,960,664 24,952,902 2024 2023 As restated £ £ 24,952,902 22,005,555 Cash flow At 31.03.2025 £ £ 13,007,762 37,960,664 Net movement in funds At 31.03.2025 £ £ 94,077,837 131,862,410 (423,990) 19,271 93,653,847 **131,881,681 ** |
|
|---|---|---|---|---|
| 443,261 | ||||
| 38,227,834 |
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North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
26 Movements in funds – continued
Net movement in funds included in the above are as follows:
| Unrestricted funds General funds Restricted funds Total funds |
Income £ 20,870,249 - 20,870,249 |
Expenditure £ (16,977,947) (423,990) (17,401,937) |
Transfers £ - - - |
Gains and losses £ 90,185,535 - 90,185,535 |
Movement in funds £ **94,077,837 ** |
|---|---|---|---|---|---|
| (423,990) | |||||
| 93,653,847 |
General unrestricted funds are available to be utilised in furtherance of the objectives of the charity as determined by the trustees.
Restricted funds held are in respect of furtherance of projects requested by the directors of the group’s subsidiary companies and include awards as detailed in the trustees report.
Comparatives for movements in funds
Group
| Group | |||||
|---|---|---|---|---|---|
| Unrestricted funds General funds Restricted funds Total funds |
At 01.04.2023 £ 31,049,642 632,082 31,681,724 |
Prior year adjustment £ (616,564) - (616,564) |
Restated balance at 01.04.2023 £ 30,433,078 632,082 31,065,160 |
Net movement in funds £ 7,351,495 (188,821) 7,162,674 |
At 31.03.2024 £ 37,784,573 |
| 443,261 | |||||
| 38,227,834 |
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North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
26 Movements in funds – continued
Net movement in funds included in the above are as follows:
| Unrestricted funds General funds Restricted funds Total funds Company Unrestricted funds General funds Restricted funds Total funds |
Income £ 19,573,189 - 19,573,189 |
Expenditure £ (12,965,401) (143,655) (13,109,056) |
Transfers £ 45,166 (45,166) - At 01.04.2024 £ 1,247,646 443,261 1,690,907 |
Gains and losses £ 698,541 - 698,541 Net movement in funds £ 88,940,643 (423,990) 88,516,653 |
Movement in funds £ 7,351,495 |
|---|---|---|---|---|---|
| (188,821) | |||||
| 7,162,674 | |||||
| At 31.03.2025 £ 90,188,289 |
|||||
| 19,271 | |||||
| 90,207,560 |
Net movement in funds included in the above are as follows:
| Unrestricted funds General funds Restricted funds Total funds |
Income £ 87,544 - 87,544 |
Expenditure £ (1,256,235) (423,990) (1,680,225) |
Transfers £ - - - |
Gains and losses £ 90,109,334 - 90,109,334 |
Movement in funds £ 88,940,643 |
|---|---|---|---|---|---|
| (423,990) | |||||
| 88,516,653 |
33 | P a g e
North West Lung Centre Notes to the Consolidated Financial Statements For the year ended 31 March 2025
26 Movements in funds – continued
Comparatives for movements in funds
| Unrestricted funds General funds Restricted funds Total funds |
At 01.04.2023 £ (959,978) 632,082 (327,896) |
Net movement in funds £ 2,207,624 (188,821) 2,018,803 |
At 31.03.2024 £ 1,247,646 |
|---|---|---|---|
| 443,261 | |||
| 1,690,907 |
Net movement in funds included in the above are as follows:
| Unrestricted funds General funds Restricted funds Total funds |
Income £ 1,702,081 1,175,519 2,877,600 |
Expenditure £ (769,201) (143,655) (912,856) |
Transfers £ 1,220,685 (1,220,685) - |
Gains and losses £ 54,059 - 54,059 |
Movement in funds £ 2,207,624 |
|---|---|---|---|---|---|
| (188,821) | |||||
| 2,018,803 |
27 Related Party Transactions
During the year, total dividends of £1,147,791 (2024 - £495,788) were paid to the directors of Medicines Evaluation Unit Limited and CRO Solutions Limited.
A Pickering Fellowship award was granted to the Manchester University NHS Foundation Trust in 2024 in respect of funding salary support for Trustee Dr H Badri. The initial grant amounted to £63,000, with an additional amount of £3,891 awarded during the year. A total of £33,543 was paid during the current year.
Professional fees of £nil (2024 - £7,236) were paid to Eversley Resolutions, a business operated by Mr J Alcock, a trustee of the charitable company. There are no amounts outstanding at the balance sheet date.
28 Post Balance Sheet Events
On 13th June 2025, North West Lung Centre disposed of its entire shareholdings in its subsidiary undertakings Medicines Evaluation Unit Limited and CRO Solutions Limited to IQVIA Limited.
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