**REGISTERED COMPANY NUMBER: 05325476 (England and Wales) REGISTERED CHARITY NUMBER: 1113697**
## **REPORT OF THE TRUSTEES AND**
**FINANCIAL STATEMENTS**
**FOR THE YEAR ENDED 31 JULY 2023**
## **FOR**
**THE BUTTERFLY HOSPICE TRUST**
Dexter & Sharpe Chartered Certified Accountants & Registered Auditors Rollestone House 20-22 Bridge Street Horncastle Lincolnshire LN9 5HZ
**THE BUTTERFLY HOSPICE TRUST**
## **CONTENTS OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
||**Page**|
|---|---|
|**Reference and Administrative Details**|1|
|**Report of the Trustees**|2 to 6|
|**Report of the Independent Auditors**|7 to 8|
|**Statement of Financial Activities**|9|
|**Balance Sheet**|10|
|**Cash Flow Statement**|11|
|**Notes to the Cash Flow Statement**|12|
|**Notes to the Financial Statements**|13 to 23|
|**Detailed Statement of Financial Activities**|24 to 26|
**THE BUTTERFLY HOSPICE TRUST**
## **REFERENCE AND ADMINISTRATIVE DETAILS FOR THE YEAR ENDED 31 JULY 2023**
**TRUSTEES** Mrs K E Roberts Mrs L Lenton Mrs C Bonneywell G Samra Mrs D Oldham D Hamilton N Dunmore S J M Dawes (resigned 8.8.2022) Mrs N Effield (appointed 18.7.2023) **REGISTERED OFFICE** The Butterfly Hospice Rowan Way Boston Lincolnshire PE21 9DH **REGISTERED COMPANY** 05325476 (England and Wales) **NUMBER REGISTERED CHARITY** 1113697 **NUMBER AUDITORS** Dexter & Sharpe Chartered Certified Accountants & Registered Auditors Rollestone House 20-22 Bridge Street Horncastle Lincolnshire LN9 5HZ **SOLICITORS** Chattertons Solicitors 28 Wide Bargate Boston Lincolnshire PE21 6RT **BANKERS** Barclays Bank PLC 52 Market Place Boston Lincolnshire PE21 6LU
Page 1
**THE BUTTERFLY HOSPICE TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2023**
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 July 2023. 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).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The charity's objective is:- "to relieve sickness and suffering and to promote the spiritual well-being of adults in South East Lincolnshire requiring palliative care by the establishment and maintenance of a hospice and associated services."
Our strategy for achieving our objectives continues to be by developing our organisation and encouraging interaction and activities with the various communities supporting the hospice. This is achieved by networking, consultation with our partners and communities. The Trust and clinical staff and volunteers are encouraged to participate in internal discussions and support the prioritising of various areas of development. The Trust continues to develop partnership working and to encourage multi-service use of the Hospice for the benefit of patients and families.
The ongoing working relationship the Trust continues to develop with the NHS Lincolnshire Integrated Care Board is vital to ensure the provision of services most needed to serve our communities.
Fundraising is vital and we have an ongoing wide programme of fundraising activities planned for the next twelve months and these, together with our retail activity and the highly valued efforts of a number of other community organisations and corporate supporters, will continue to increase our funds. We continue to provide speakers to other local organisations in order to widen community understanding and support for our aims and objectives.
## **Public benefit**
The activities undertaken by the charity to further public benefit include the provision of free 24-hour patient care in the hospice for those who need it funded by the income taken from the shops under the control of the charity and the fundraising activities carried out. In addition to the clinical service provided, the Butterfly Hospice provides pre and post bereavement therapy by providing compassionate, and personal support to people affected by the challenge of a life-limiting illness or bereavement. The therapy service is an organisational member of the National Counselling Society, and the National Bereavement Alliance.
The trustees confirm that they have complied with the requirements of section 4 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## **Relationships with related parties**
The trust continues to maintain relationships with a wide range of local and regional organisations which include other local third sector organisations, local councils, Lincolnshire NHS Trusts, NHS Lincolnshire Integrated Care Board and others.
Page 2
**THE BUTTERFLY HOSPICE TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2023**
## **Achievements & Performance**
## **Celebrating Success Together**
Our partnership with Lincolnshire Community Health Service continues to strengthen year on year, with joint endeavours to promote and celebrate the work of the hospice. This year our efforts in the community have been acknowledged and celebrated officially. With immense pride, the Nursing Team achieved the NHS Celebrating Success ‘Peoples’ Award for their outstanding care and service to those using the Butterfly Hospice. What a wonderful accolade to achieve!
_Team Butterfly Hospice: Lincolnshire Business Excellence Awards 2023_
The Charity Team were also shortlisted as Charity of the Year, in the Lincolnshire Business Excellence Awards for their commitment towards the green agenda, sustainability ambitions and in widening their service offer for pre and post bereavement counselling.
As a relatively small team of staff, trustees and volunteers this was a fantastic acknowledgement of the contribution we all bring to the Charity and Hospice.
## **Charity Donations Make a Difference**
Our ambition is to ensure that our Hospice benefits week in, week out from the income generated from our fundraising efforts and from financial donations given by our supporters.
This year, we embarked upon a significant upgrade to the hospice to make our ‘stays’ as comfortable as possible. We began with a refresh of all our bedrooms, a complete refurb of our visitor lounge, the establishment of a quiet room for private discussions, a new sheltered entry point for ambulances, the addition of climate control throughout the site, and an investment in solar energy for cost efficiency, as we move further towards a greener way of working and living.
However, we do have exciting plans for the year ahead to build further on our social capital, along with the incredible legacy donations received and generous grant awards from local funders, who are so supportive of the work we do, and in our commitment to do more.
## **Butterfly Therapy Service**
Our counselling service continues to be in high demand and the therapy team have responded with the addition of group therapy to complement the free 1:1 sessions we offer. These are proving highly successful and enable us to support people throughout the challenges they face.
Following an extremely bitterly cold official opening of the Therapy Village, we are delighted that the warmer summer months now provide a beautiful and safe haven for those who need our support.
Page 3
**THE BUTTERFLY HOSPICE TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2023**
## **Butterfly Hospice: Where Every Day Matters**
Special moments are always treasured at the Butterfly Hospice. This year we have enabled wishes and dreams to come true – often at a moment’s notice and always with the support of people in our community who simply, want to help in anyway they can. We enjoyed another hospice wedding, giving the lovely couple the private and dignified service they so wished for. Between the nursing staff and the chefs’ team, the small wedding party were able to celebrate their union with their closest and dearest family and friends. Another of our guests, a gentleman with a lifelong love of aviation spoke so fondly of his interest in planes, that the charity arranged a very special flyover for his family get together. A pilot, local to the area was incredibly generous in making this gesture, a tribute topped off with a dipping of his wings in honour of our gentleman. Moments like these cannot be underestimated and bring such joy, when there is inevitable sadness to come. Happy tears are indeed very precious. Every day is to be lived with fullness at the Butterfly Hospice.
The sad death of Queen Elizabeth II just months after her Platinum Jubilee was felt across the nation, and by our Hospice.
Our sorrow turned to the anticipation of King Charles III’s Coronation. The hospice held a community afternoon tea to mark the Coronation weekend, and was delighted to greet local residents who joined with us.
One of our patients came for a spot of tea and was given the honour of cutting the ‘Coronation Cake’ and making a speech.
A special garden art piece was made by local Boston College students for a grand reveal at this event.
## **Commitment to our Community**
Our charity continues to push forwards. Retail and Fundraising staff and volunteers have worked exceptionally hard to deliver on our tried and trusted income generating activities and to also identify different ways to raise funds.
Despite the financial climate, we have actively promoted our work across our communities. Local businesses and individual supporters continue to help us in our aims, irrespective of these challenges. Their commitment to our charity is deeply appreciated. On behalf of the Charity team and our wonderful nurses we thank all who have supported us through their generosity of giving!
At the financial year end of 2023, we find ourselves in a very positive economic position, and are looking to capitalise on this in preparation to reaching our 10[th] year of opening in Summer 2024.
Page 4
**THE BUTTERFLY HOSPICE TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2023**
## **STRATEGIC REPORT**
## **Principal funding sources**
The principal ongoing funding sources for the charity are currently by way of donations, fundraising activities and our retail division consisting of premises in Boston, Spalding, Skegness (closed July 2023), Louth, Bourne and Wisbech.
## **Investment policy and objectives**
The trust seeks to maximise income without putting funds at risk. The trustees will continue to monitor the needs for investing funds on a regular basis.
## **FINANCIAL REVIEW**
## **Reserves policy**
During the year, the board of trustees conducts an annual review of the level of unrestricted reserves not committed or invested in tangible fixed assets ("the free reserves") in the general fund, by considering the risks associated with the various income streams, expenditure plans and balance sheet items. This enables an estimate to be made of the level of reserves that are sufficient: i) to allow for reorganisation in the event of a downturn of income or asset values ii) to protect ongoing work programmes Under the constitution, the charity has the power to make any investment which the trustees see fit provided appropriate advice is taken from a professionally qualified person under the Financial Services Act 1986.
## **Financial and risk management objectives and policies**
The trustees actively review the major risks which the charity faces on a regular basis and, combined with an annual review of the controls over key financial systems, they believe the charity could provide sufficient resources in the event of adverse conditions.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is controlled by its governing document, a deed of trust, and constitutes a limited company, limited by guarantee, as defined by the Companies Act 2006.
## **EVENTS SINCE THE END OF THE YEAR**
Information relating to events since the end of the year is given in the notes to the financial statements.
Page 5
**THE BUTTERFLY HOSPICE TRUST**
## **REPORT OF THE TRUSTEES FOR THE YEAR ENDED 31 JULY 2023**
## **STATEMENT OF TRUSTEES' RESPONSIBILITIES**
The trustees (who are also the directors of The Butterfly Hospice Trust for the purposes of company law) are responsible for preparing the Report of the Trustees 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 year which give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the trustees are required to
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charity SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements;
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charitable company will continue in business.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
In so far as the trustees are aware:
- there is no relevant audit information of which the charitable company's auditors are unaware; and
- the trustees have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that information.
## **AUDITORS**
The auditors, Dexter & Sharpe, will be proposed for re-appointment at the forthcoming Annual General Meeting.
Report of the trustees, incorporating a strategic report, approved by order of the board of trustees, as the company directors, on 21 November 2023 and signed on the board's behalf by:
........................................................................ Mrs L Lenton – Trustee
Page 6
**REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE BUTTERFLY HOSPICE TRUST**
## **Opinion**
We have audited the financial statements of The Butterfly Hospice Trust (the 'charitable company') for the year ended 31 July 2023 which comprise the Statement of Financial Activities, the Balance Sheet, the 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 (United Kingdom Generally Accepted Accounting Practice).
- In our opinion the financial statements:
- give a true and fair view of the state of the charitable company's affairs as at 31 July 2023 and of its incoming resources and application of resources, including its income and expenditure, for the year then ended;
- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
- 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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
## **Conclusions relating to going concern**
In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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 included in the Annual Report, other than the financial statements and our Report of the Independent 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:
- 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
- the Report of the Trustees has been prepared in accordance with applicable legal requirements.
Page 7
**REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF THE BUTTERFLY HOSPICE TRUST**
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Trustees.
- 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:
- adequate accounting records have not been kept or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of trustees' remuneration specified by law are not made; or
- 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, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the 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 charitable company or to cease operations, or have no realistic alternative but to do so.
## **Our 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 Independent 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.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
- we have enquired of those charged with governance around actual and potential litigation and claims.
- we have reviewed financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.
- enquired of staff engaged in the completion of VAT, tax and compliance work to identify any instances of non compliance with laws and regulations.
- audited the risk of management override of controls including review of journal entries and large or unusual transaction, evaluating the business rationale of any significant transactions outside the course of business.
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 Independent Auditors.
Nicola Lenton, FCCA (Senior Statutory Auditor) for and on behalf of Dexter & Sharpe Chartered Certified Accountants & Registered Auditors Rollestone House 20-22 Bridge Street Horncastle Lincolnshire LN9 5HZ
Date: .............................................
Page 8
**THE BUTTERFLY HOSPICE TRUST**
## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2023**
|Notes
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
2
**Charitable activities**
5
Shop income
Other trading activities
3
Investment income
4
Other income
**Total**
**EXPENDITURE ON**
Raising funds
6
**Charitable activities**
7
Management & Administration
Hospice costs
**Total**
**NET INCOME**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
fund
£
**763,728**
**687,960**
**41,745**
**4,067**
**7,230**
**1,504,730**
**507,654**
**292,427**
**200,031 **
**1,000,112**
**504,618**
**1,650,223**
**2,154,841**|Restricted
funds
£
**103,502**
**-**
**-**
**-**
**-**
**103,502 **
**-**
**-**
**39,458**
**39,458**
**64,044**
**460,366**
**524,410**|**2023**
**Total**
**funds**
**£**
**867,230**
**687,960**
**41,745**
**4,067**
**7,230**
**1,608,232 **
**507,654**
**292,427**
**239,489**
**1,039,570**
**568,662**
**2,110,589**
**2,679,251 **|2022
Total
funds
£
234,109
753,478
42,213
1,600
8,177
1,039,577
455,835
163,472
210,471
829,778
209,799
1,900,790
2,110,589|
|---|---|---|---|---|
The notes form part of these financial statements
Page 9
## **THE BUTTERFLY HOSPICE TRUST**
## **BALANCE SHEET**
## **31 JULY 2023**
|Notes
**FIXED ASSETS**
Tangible assets
13
**CURRENT ASSETS**
Debtors
14
Cash at bank and in hand
**CREDITORS**
Amounts falling due within one year
15
**NET CURRENT ASSETS**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**NET ASSETS**
**FUNDS**
17
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|Unrestricted
fund
£
**1,038,032**
**56,347**
**1,091,880**
**1,148,227**
**(31,418)**
**1,116,809**
**2,154,841**
**2,154,841**|Restricted
funds
£
**430,730**
**-**
**96,076**
**96,076**
**(2,396)**
**93,680**
**524,410**
**524,410**|**2023**
**Total**
**funds**
**£**
**1,468,762**
**56,347**
**1,187,956**
**1,244,303**
**(33,814)**
**1,210,489**
**2,679,251**
**2,679,251 **
**2,154,841**
**524,410**
**2,679,251 **|2022
Total
funds
£
1,303,259
49,302
792,380
841,682
(34,352)
807,330
2,110,589
2,110,589
1,650,223
460,366
2,110,589|
|---|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on 21 November 2023 and were signed on its behalf by:
............................................. L Lenton - Trustee
............................................. C Bonneywell - Trustee
The notes form part of these financial statements
Page 10
**THE BUTTERFLY HOSPICE TRUST**
## **CASH FLOW STATEMENT FOR THE YEAR ENDED 31 JULY 2023**
|Notes
**Cash flows from operating activities**
Cash generated from operations
1
Interest element of hire purchase or finance
lease rental payments paid
Net cash provided by operating activities
**Cash flows from investing activities**
Purchase of tangible fixed assets
Interest received
Net cash used in investing activities
**Change in cash and cash equivalents in**
**the reporting period**
**Cash and cash equivalents at the**
**beginning of the reporting period**
**Cash and cash equivalents at the end of**
**the reporting period**|**2023**
**£**
**590,821**
**-**
**590,821**
**(199,312)**
**4,067**
**(195,245) **
**395,576**
**792,380**
**1,187,956**|2022
£
214,763
(351)
214,412
(182,713)
1,600
(181,113)
33,299
759,081
792,380|
|---|---|---|
The notes form part of these financial statements
Page 11
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE CASH FLOW STATEMENT FOR THE YEAR ENDED 31 JULY 2023**
## **1. RECONCILIATION OF NET INCOME TO NET CASH FLOW FROM OPERATING ACTIVITIES**
|**Net income for the reporting period (as per the Statement of Financial**
**Activities)**
**Adjustments for:**
Depreciation charges
Interest received
Interest element of hire purchase and finance lease rental payments
Increase in debtors
(Decrease)/increase in creditors
**Net cash provided by operations**|**2023**
**£**
**568,662**
**33,809**
**(4,067)**
**-**
**(7,045)**
**(538)**
**590,821**|2022
£
209,799
16,859
(1,600)
351
(16,920)
6,274
214,763|
|---|---|---|
## **2. ANALYSIS OF CHANGES IN NET FUNDS**
|**Net cash**
Cash at bank and in hand
**Total**|At 1.8.22
£
**792,380**
**792,380**
**792,380**|Cash flow
£
**395,576**
**395,576**
**395,576**|**At 31.7.23**
**£**
**1,187,956**|
|---|---|---|---|
||||**1,187,956**|
||||**1,187,956**|
The notes form part of these financial statements
Page 12
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2023**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) '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)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **Administration expenditure**
Administration expenditure includes all expenditure not directly related to the charitable activity or fundraising ventures. This includes the costs of running the office premises and governance costs. Administration costs are allocated to expenditure on the raising of funds or on charitable activities as appropriate.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
|Land and buildings|- not provided|
|---|---|
|Improvements to property|- 10% on reducing balance|
|Hospice fixtures and fittings|- 10% on reducing balance|
|Shop equipment|- 15% on reducing balance|
|Motor vehicles|- 25% on reducing balance|
|Office equipment|- 33.3% on reducing balance|
## **Taxation**
The charity is exempt from corporation tax on its charitable activities.
## **Pension**
The charity operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the charity to the scheme.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
continued...
Page 13
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **2. DONATIONS AND LEGACIES**
|Donations
Gift aid
Legacies
Grants
Lottery income
Grants received, included in the above, are as follows:
Other grants
**3.**
**OTHER TRADING ACTIVITIES**
Fundraising events
**4.**
**INVESTMENT INCOME**
Deposit account interest
**5.**
**INCOME FROM CHARITABLE ACTIVITIES**
Activity
Shop income
Shop income
Furniture & electrical sales
Shop income
Miscellaneous income
Shop income|**2023**
**£**
**142,092**
**2,285**
**646,109**
**70,138**
**6,606**
**867,230**
**2023**
**£**
**70,138**
**2023**
**£**
**41,745**
**2023**
**£**
**4,067 **
**2023**
**£**
**625,945**
**62,015**
**-**
**687,960**|2022
£
76,709
628
140,711
6,541
9,520
234,109
2022
£
6,541
2022
£
42,213
2022
£
1,600
2022
£
552,566
52,487
148,425
753,478|
|---|---|---|
continued...
Page 14
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **6. RAISING FUNDS**
## **Raising donations and legacies**
|Staff costs
Rates and water
Insurance
Light and heat
Telephone
Postage and stationery
Sundries
Rent
Bank charges
Goods for resale
Internal fundraising events
Cleaning
Legal & professional
Courses/Training
Repairs & renewals
Subscriptions
Depreciation
**Other trading activities**
Purchases
Staff costs
Warehouse rent
Rates & water usage
Insurance
Light & heat
Bank charges
Cleaning
Legal & professional
Courses/Training
Telephone
Motor expenses
Sundry expenses
Stationery & advertising
Repairs & renewals
Subscriptions
Fundraising costs
Depreciation
Aggregate amounts|**2023**
**£**
**197,021**
**4,736**
**3,656**
**14,863**
**3,831**
**3,382**
**551**
**82,964**
**5,261**
**1,715**
**188**
**1,112**
**1,870**
**143**
**17,471**
**190**
**-**
**338,954**
**2023**
**£**
**151**
**44,377**
**22,660**
**2,739**
**3,137**
**2,161**
**627**
**506**
**-**
**-**
**433**
**12,181**
**150**
**2,515**
**5,519**
**65**
**71,479**
**-**
**168,700**
**507,654 **|2022
£
178,306
9,771
4,910
9,389
3,282
3,237
972
84,188
4,031
2,848
20
1,627
1,490
390
10,676
-
4,027
319,164
2022
£
7
37,254
23,998
3,706
3,598
3,057
375
205
970
67
415
10,218
1,167
3,407
5,431
-
42,766
30
136,671
455,835|
|---|---|---|
## **Other trading activities**
Page 15
continued...
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **7. CHARITABLE ACTIVITIES COSTS**
|**Management and administration**
Staff costs
Cleaning costs
Light and heat
Catering costs
Goods for resale
Fundraising expenses - internal events
Motor and travel
Courses/training
Rates and water
Insurance
Telephone and internet
Repairs and renewals
Postage, stationery, advertising, printing
Subscriptions
Legal & professional
Accountancy & bookkeeping
Audit
Sundry expenses
Depreciation
Release of grant
Bank charges
**Hospice Costs**
Rates and water
Motor and travel
Telephone and internet
Postage, stationery, advertising, printing
HP interest
Fundraising expenses - internal events
Bank charges
Insurance
Light and heat
Maintenance, repairs & renewals
Courses/training
Catering costs
Cleaning
Sundry expenses
Depreciation
Release of grant
Subscriptions
Therapy garden expenses
Wages and salaries|**Restricted**
**Funds**
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
-
**-**
-
-
-
-
-
-
-
-
-
(337)
-
-
-
-
5,162
(215)
-
-
34,848
**39,458**
**39,458**|**Unrestricted**
**funds**
183,207
1,006
12,064
106
190
66
2,785
2,190
1,386
8,509
2,299
29,890
12,390
6,103
584
4,163
4,500
1,458
10,966
(70)
8,633
**292,427**
327
65
250
635
-
-
85
3,052
2,000
25,302
30
13,990
7,418
2,882
17,681
-
785
952
124,577
**200,031 **
**492,448**|**Total 2023**
183,207
1,006
12,064
106
190
66
2,785
2,190
1,386
8,509
2,299
29,890
12,390
6,103
584
4,163
4,500
1,458
10,966
(70)
8,633
**292,427**
327
65
250
635
-
-
85
3,052
2,000
24,965
30
13,990
7,418
2,882
22,843
(215)
785
952
159,425
**239,489**
**531,916**|**Total 2022**
104,772
319
3,224
29
-
246
5,448
2,133
(631)
6,579
2,452
11,780
10,683
-
1,253
4,278
-
2,510
3,268
(105)
4,784
**163,472**
722
49
352
54
351
6
285
8,481
5,624
28,540
68
11,796
4,003
4,565
9,534
(239)
-
-
136,280
**210,471**
**373,943**|
|---|---|---|---|---|
Page 16
continued...
**THE BUTTERFLY HOSPICE TRUST**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **8. SUPPORT COSTS**
|**SUPPORT COSTS**||
|---|---|
||Governance|
||costs|
||£|
|Management & Administration|**4,500**|
## **9. NET INCOME/(EXPENDITURE)**
Net income/(expenditure) is stated after charging/(crediting):
|Auditors' remuneration
Depreciation - owned assets|**2023**
**£**
**4,500**
**33,809**|2022
£
-
16,859|
|---|---|---|
## **10. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 July 2023 nor for the year ended 31 July 2022.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 July 2023 nor for the year ended 31 July 2022.
## **11. STAFF COSTS**
|Wages and salaries
Social Security Costs
Pension Costs|**2023**
**£**
**597,517**
**37,418**
**8,828**
**643,763**|2022
£
458,069
28,911
6,585
493,565|
|---|---|---|
The average monthly number of employees during the year was as follows:
|Hospice
Management
Retail and Warehouse
Fundraising|**2023**
**12**
**5**
**17**
**4**
**38**|2022
13
5
15
3
36|
|---|---|---|
## **KEY MANAGEMENT PERSONNEL**
In the year to 31 July 2023, Key Management Personnel received emoluments totalling £159,034 (2022: £141,996).
No member of staff was paid more than £60,000 in 2023 or in 2022.
continued...
Page 17
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **12. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|**INCOME AND ENDOWMENTS FROM**
Donations and legacies
**Charitable activities**
Shop income
Other trading activities
Investment income
Other income
**Total**
**EXPENDITURE ON**
Raising funds
**Charitable activities**
Management & Administration
Hospice costs
**Total**
**NET INCOME/(EXPENDITURE)**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**TOTAL FUNDS CARRIED FORWARD**|Unrestricted
fund
£
230,147
753,478
42,213
1,600
8,177
1,035,615
455,835
163,344
205,230
824,409
211,206
1,439,017
1,650,223|Restricted
funds
£
3,962
-
-
-
-
3,962
-
128
5,241
5,369
(1,407)
461,773
460,366|Total
funds
£
234,109
753,478
42,213
1,600
8,177
1,039,577
455,835
163,472
210,471
829,778
209,799
1,900,790
2,110,589|
|---|---|---|---|
continued...
Page 18
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **13. TANGIBLE FIXED ASSETS**
|**COST**
At 1 August 2022
Additions
At 31 July 2023
**DEPRECIATION**
At 1 August 2022
Charge for year
At 31 July 2023
**NET BOOK VALUE**
At 31 July 2023
At 31 July 2022
**COST**
At 1 August 2022
Additions
At 31 July 2023
**DEPRECIATION**
At 1 August 2022
Charge for year
At 31 July 2023
**NET BOOK VALUE**
At 31 July 2023
At 31 July 2022|Shop
equipment
£
**38,063**
**4,811**
**42,874**
**15,075**
**4,170**
**19,245**
**23,629**
22,988|
Freehold
property
£
**1,187,605**
**15,010**
**1,202,615**
**-**
**-**
**-**
**1,202,615**
1,187,605
Motor
vehicles
£
**2,895**
**-**
**2,895**
**2,208**
**172**
**2,380**
**515**
687|Improvements
to
property
£
**-**
**34,340**
**34,340**
**-**
**3,434 **
**3,434 **
**30,906**
-
Office
equipment
£
**31,343**
**3,919**
**35,262 **
**25,173**
**3,329**
**28,502 **
**6,760**
6,170|Hospice
fixtures
& fittings
£
**161,248**
**141,232 **
**302,480**
**75,439**
**22,704 **
**98,143**
**204,337 **
85,809
Totals
£
**1,421,154**
**199,312**
**1,620,466**
**117,895**
**33,809**
**151,704 **
**1,468,762 **
1,303,259|
|---|---|---|---|---|
continued...
Page 19
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **14. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
|**2023**
**£**
Shop deposits
**2,250**
VAT
**21,291**
Prepayments
**32,806**
**56,347**
**15.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
**2023**
**£**
Trade creditors
**16,942**
Other creditors
**5,206**
Fixed Asset Funds
**2,077**
Accrued expenses
**9,589**
**33,814**
**16.**
**LEASING AGREEMENTS**
Minimum lease payments under non-cancellable operating leases fall due as follows:
**2023**
**£**
Within one year
**78,435**
Between one and five years
**111,675**
**190,110**
**17.**
**MOVEMENT IN FUNDS**
Net
movement
At 1.8.22
in funds
£
£
**Unrestricted funds**
General fund
**1,650,223**
**504,618**
**Restricted funds**
Therapy
**141,502**
**68,783**
Hospice restricted
**318,864 **
**(4,739) **
**460,366**
**64,044**
**TOTAL FUNDS**
**2,110,589**
**568,662 **|2022
£
-
25,212
24,090
49,302
2022
£
18,744
8,354
2,362
4,892
34,352
2022
£
103,960
163,860
267,820
At
31.7.23
£
**2,154,841**
**210,285**
**314,125**
**524,410**
**2,679,251 **|
|---|---|
continued...
Page 20
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **17. MOVEMENT IN FUNDS - continued**
Net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Therapy
Hospice restricted
**TOTAL FUNDS**
**Comparatives for movement in funds**
**Unrestricted funds**
General fund
**Restricted funds**
Therapy
Hospice restricted
**TOTAL FUNDS**|Incoming
resources
£
**1,504,730**
**103,502**
**-**
**103,502 **
**1,608,232 **
At 1.8.21
£
1,439,017
140,502
321,271
461,773
1,900,790|Resources
expended
£
**(1,000,112)**
**(34,719)**
**(4,739) **
**(39,458)**
**(1,039,570) **
Net
movement
in funds
£
211,206
3,962
(5,369)
(1,407)
209,799|Movement
in funds
£
**504,618**
**68,783**
**(4,739) **
**64,044**
**568,662 **
At
31.7.22
£
1,650,223
144,464
315,902
460,366
2,110,589|
|---|---|---|---|
Comparative net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Therapy
Hospice restricted
**TOTAL FUNDS**|Incoming
resources
£
1,035,615
3,962
-
3,962
1,039,577|Resources
expended
£
(824,409)
-
(5,369)
(5,369)
(829,778)|Movement
in funds
£
211,206
3,962
(5,369)
(1,407)
209,799|
|---|---|---|---|
continued...
Page 21
**THE BUTTERFLY HOSPICE TRUST**
## **NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **17. MOVEMENT IN FUNDS - continued**
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Therapy
Hospice restricted
**TOTAL FUNDS**|At 1.8.21
£
1,439,017
140,502
321,271
461,773
1,900,790|Net
movement
in funds
£
715,824
72,745
(10,108)
62,637
778,461|At
31.7.23
£
2,154,841
213,247
311,163
524,410
2,679,251|
|---|---|---|---|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
Therapy
Hospice restricted
**TOTAL FUNDS**|Incoming
resources
£
2,540,345
107,464
-
107,464
2,647,809|Resources
expended
£
(1,824,521)
(34,719)
(10,108)
(44,827)
(1,869,348)|Movement
in funds
£
715,824
72,745
(10,108)
62,637
778,461|
|---|---|---|---|
## **RESTRICTED FUNDS**
Restricted funds include income and assets donated or granted to the charity for specific purposes. The Hospice fund relates to the provision of care within the hospice facilities. The Therapy fund relates to the provision of therapy and counselling sessions made available for patients and their families and friends.
continued...
Page 22
**THE BUTTERFLY HOSPICE TRUST**
**NOTES TO THE FINANCIAL STATEMENTS - continued FOR THE YEAR ENDED 31 JULY 2023**
## **18. CAPITAL COMMITMENTS**
|Contracted but not provided for in the financial statements|**2023**
**£**
**11,950**|2022
£
-|
|---|---|---|
## **19. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31 July 2023.
## **20. POST BALANCE SHEET EVENTS**
After the year end, the shop in Skegness was closed, resulting in two redundancies. A new shop was opened in Horncastle.
## **21. SHARE CAPITAL**
The charitable company is incorporated under the Companies Act as a company limited by guarantee. No share capital has been issued. In the event of the company's winding up, each member may be required to contribute an amount not exceeding £1 as a contribution towards the debts and liabilities of the company.
Page 23
**THE BUTTERFLY HOSPICE TRUST**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2023**
|**INCOME AND ENDOWMENTS**
**Donations and legacies**
Donations
Gift aid
Legacies
Grants
Lottery income
**Other trading activities**
Fundraising events
**Investment income**
Deposit account interest
**Charitable activities**
Shop income
Furniture & electrical sales
Miscellaneous income
**Other income**
Catering income
**Total incoming resources**
**EXPENDITURE**
**Raising donations and legacies**
Wages
Rates and water
Insurance
Light and heat
Telephone
Postage and stationery
Sundries
Rent
Bank charges
Goods for resale
Internal fundraising events
Cleaning
Legal & professional
Courses/Training
Carried forward|2023
£
**142,092**
**2,285**
**646,109**
**70,138**
**6,606**
**867,230**
**41,745**
**4,067**
**625,945**
**62,015**
**-**
**687,960**
**7,230**
**1,608,232**
**197,021**
**4,736**
**3,656**
**14,863**
**3,831**
**3,382**
**551**
**82,964**
**5,261**
**1,715**
**188**
**1,112**
**1,870**
**143**
**321,293**|2022
£
76,709
628
140,711
6,541
9,520
234,109
42,213
1,600
552,566
52,487
148,425
753,478
8,177
1,039,577
178,306
9,771
4,910
9,389
3,282
3,237
972
84,188
4,031
2,848
20
1,627
1,490
390
304,461|
|---|---|---|
This page does not form part of the statutory financial statements
Page 24
**THE BUTTERFLY HOSPICE TRUST**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2023**
|**Raising donations and legacies**
Brought forward
Repairs & renewals
Subscriptions
Depreciation of tangible fixed assets
**Other trading activities**
Goods for resale
Wages
Warehouse rent
Rates & water usage
Insurance
Light & heat
Bank charges
Cleaning
Legal & professional
Courses/Training
Telephone
Motor expenses
Sundry expenses
Stationery & advertising
Repairs & renewals
Subscriptions
Fundraising costs
Depreciation of tangible fixed assets
**Charitable activities**
Wages
Rates and water
Insurance
Light and heat
Telephone
Postage and stationery
Sundries
Cleaning costs
Catering costs
Internal fundraising events
Motor & travel
Courses/Training
Repairs & renewals
Legal & Professional
Accountancy & bookkeeping
Bank charges
Release of grant
Carried forward|**2023**
**£**
**321,293**
**17,471**
**190**
**-**
**338,954**
**151**
**44,377**
**22,660**
**2,739**
**3,137**
**2,161**
**627**
**506**
**-**
**-**
**433**
**12,181**
**150**
**2,515**
**5,519**
**65**
**71,479**
**-**
**168,700**
**342,632**
**1,714**
**11,561**
**14,064**
**2,549**
**13,025**
**4,340**
**8,424**
**14,096**
**66**
**2,850**
**2,221**
**54,855**
**584**
**4,163**
**8,718**
**(285)**
**485,577**|2022
£
304,461
10,676
-
4,027
319,164
7
37,254
23,998
3,706
3,598
3,057
375
205
970
67
415
10,218
1,167
3,407
5,431
-
42,766
30
136,671
241,052
91
15,060
8,848
2,804
10,737
7,075
4,322
11,825
252
5,497
2,201
40,320
1,253
4,728
5,069
(344)
360,790|
|---|---|---|
This page does not form part of the statutory financial statements
Page 25
**THE BUTTERFLY HOSPICE TRUST**
## **DETAILED STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2023**
|**Charitable activities**
Brought forward
Subscriptions
Goods for resale
Therapy Garden Expenses
Depreciation of tangible fixed assets
Hire purchase
**Support costs**
**Governance costs**
Auditors' remuneration
Total resources expended
**Net income**|**2023**
**£**
**485,577**
**6,888**
**190**
**952**
**33,809**
**-**
**527,416**
**4,500**
**1,039,570**
**568,662 **|2022
£
360,790
-
-
-
12,802
351
373,943
-
829,778
209,799|
|---|---|---|
This page does not form part of the statutory financial statements
Page 26