Company no. 05780068 Charity no. 1127115
## **Pulmonary Vascular Research Institute**
# **Report and Audited Financial Statements 31 December 2023**
## **Reducing the global burden of pulmonary hypertension**
## **Pulmonary Vascular Research Institute**
## **Reference and administrative details**
**For the year ended 31 December 2023**
**Company number** 05780068 **Charity number** 1127115 **Registered office and** 5-7 Tanner Sreet **operational address** London SE1 3LE **Trustees** Trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows: Prof P A Corris (Chair) Prof P Hassoun Prof A Hemnes Prof A Patel Prof A Wylie (resigned 1 February 2024) Prof M Wilkins (Treasurer) **President** Prof K Stenmark (appointed February 2024) Prof A Hemnes (resigned February 2024) **Company secretary and** K Osborn **Chief Executive Officer Bankers** HSBC Handelsbanken 9 Rose Lane St Andrew's House Canterbury Station Road East Kent Canterbury CT1 2JP CT1 2BJ **Auditors** Godfrey Wilson Limited Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
The trustees present their report along with the financial statements of the charity for the year ended 31 December 2023.
Reference and administrative information set out on page 1 forms part of this report. The financial statements comply with current statutory requirements, the Memorandum and Articles of Association and the Statement of Recommended Practice - Accounting and Reporting by Charities (effective from January 2019).
## **Objectives and activities**
The Pulmonary Vascular Research Institute (PVRI) is a small global charity, working primarily with clinicians, academics and scientists in the field of pulmonary vascular disease (PVD). Our aim is to reduce the global burden of PVD, and our unique strength lies is in harnessing the skills, ambitions, knowledge and energy of a vast global network of PVD experts. A specific focus within PVD is pulmonary hypertension, or PH.
Our constitution describes our objectives as “the promotion and protection of good health by promoting knowledge and stimulating new ideas in the field of cardiopulmonary medicine, fostering multidisciplinary approaches, collaboration and communication across the science spectrum.”
In February 2023, as part of a strategic review, we re-stated our vision, values and mission:
- Our Vision: to reduce the global burden of pulmonary vascular disease (PVD);
- Our Values: we are open, inclusive, easy to engage with, and ambitious for ourselves and for the global PVD community; and
- Our Mission: to Advocate, Collaborate, Educate. We want pulmonary vascular disease to be acknowledged as a major global condition. It should be well understood and properly resourced, in order to improve diagnosis, treatment and care for everyone.
To deliver this mission, we undertake a range of work:
## **We advocate for better patient care:**
- By raising awareness and understanding of PVD among generic healthcare professionals, so they are better able to make accurate early diagnoses and improve treatment;
- By supporting the development of regional PVD guidelines that will raise minimum care standards; and
- ▪ And our longer-term mission is to get PVD acknowledged as an important global disease that deserves an agreed minimum standard of care and treatment.
## **We collaborate to add value, reduce duplication and amplify our impact:**
- By bringing together experts and early career professionals in geographic and disease-specific working groups, each focussed on addressing the key challenges facing physicians, researchers and patients;
- By putting PVD practitioners in touch through our membership network, website and communications. This means they can collaborate in research, share learning and resources, and work together to campaign and raise awareness of the condition; and
- We aim to collaborate rather than compete with other organisations working in the field of PVD.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
## **We educate, to improve patients’ lives and reduce the burden of PVD:**
- We run annual conferences around the world, providing excellent scientific and clinical education that will improve global PVD practice;
- We provide travel grants and awards to support people to attend our meetings;
- We secure funding for collaborative global research projects;
- We provide grants to our regional networks to help them deliver scientific meetings and build capacity in their home countries;
- We produce an open-access peer reviewed journal - _Pulmonary Circulation -_ the only PVDspecific journal; and
- And we provide free monthly e-learning, bringing the latest research and topical debates to a global audience.
## **Achievements and performance**
This section describes our activities and achievements between January and December 2023.
## **Task forces and workstreams**
The PVRI’s unique strength is to pull together the skills, ambitions, knowledge and energy of a vast global network of academics, clinicians, regulators, patients and pharma, with a common interest in PVD, and nowhere is this more evident than in our regional and specialist work groups.
Our Regional Task Forces come together to identify and address the relevant most pressing issues in their regions. They advocate locally for improvements in services and resources, and run international conferences. Our most active formal Task Forces are in India, Saudi Arabia and the Middle East, and Latin America, and each held successful international scientific meetings during 2023.
In 2023 there were six active specialist Task Forces:
- Exercise – currently focusing on reverse remodelling of the right ventricle: assessment in exercise, and deep phenotyping PVD through exercise testing;
- Imaging – currently updating their 5-year strategy and prioritising key goals for 2024;
- High Altitude – planning two high altitude PVD meetings in 2024 in Leh, India, and in Kyrgyzstan;
- ▪ IPVD Consortium – their 2023 monthly webinar series has received excellent feedback, and continues in 2024;
- PAH-ICON – this is an international collaboration of PH centres contributing patient samples with the aim of discovering the complete genetic architecture of PAH. Organised into 11 working groups: Scleroderma genetics; Clinical phenotypes; ClinGen PH Gene and Variant Curation Expert Panel; TBX4Life, EIF2AK4 mutation carriers; Healthy mutation carriers; Twin Studies; Vaso responders; Multi-omics and artificial intelligence (merged from RNA-seq, Epigenetics, Metabolomics and Proteomics); Mitochondrial genetics; Pharmacogenomics (in process); and
- Paediatric & Congenital Heart Disease – this group mainly focuses on collaboration to expand engagement in paediatric and neo-natal registries.
Some of our Task Forces produced academic papers during the year, and more are planned for 2024. Many also presented at PVRI’s Annual Congress in January 2024.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
In 2016 the PVRI introduced the Innovative Drug Development Initiative (IDDI), with the aim of increasing the efficiency and speed with which new PVD drugs and treatments reach patients. The IDDI comprises a number of groups – or Workstreams – each focusing on a different challenge in developing new drugs and treatments. The IDDI Workstreams differ from the Task Forces mainly because of the very active involvement of drug regulators and corporate partners from pharmaceutical and device companies. During 2023 there were eight active IDDI Workstreams.
During 2023 our Workstreams published several academic papers, many in PVRI’s own journal, Pulmonary Circulation.
**1.** Challenges of Clinical Trial Design, Conduct & Endpoints Currently working on an academic paper on clinical trial design and endpoints used in PAH drug development programs with the potential to be used in future PAH clinical trials;
**2.** Lung Transplantation in PH This new group was formed in 2023 to define the key challenges in lung transplantation for PH patients. The group will share their consensus statement in 2024 with the wider global PH community, and discussions will inform the group’s future work;
**3.** New Modalities & Technologies in Right Heart Failure and PH This workstream has three sub-groups focusing on Monitoring of Diagnostic Device Technologies, Therapeutic Device Technologies, and Inhalation Drug Delivery Technologies. Academic papers on inhalational therapies and new diagnostic and interventional therapies for PH are being drafted;
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
**4.** IDDI Access to Care Workstream
- During 2023 the group ran a global survey of PH centres, with the aim of improving access to diagnosis, treatment, and care. Data were collected from over 120 centres, representing the largest survey conducted to date in this community. In 2024, the group will work with PVRI’s regional Task Forces in low- and middle-income countries to gather more information, to better understand local challenges in access to care;
**5.** Paediatric Clinical Trial Design & Endpoints
- The group recently formed six sub-groups, each of which will conduct a webinar and draft a manuscript based on webinar content: e.g. Enhancing Drug Development for Paediatric PH: An Integrative Perspective Webinar;
**6.** Patient Engagement & Empowerment
In late 2023, after 18 months in development, the group launched the first ever global PH patient survey in 17 languages. The aim is to understand the impacts of PH on adult and paediatric patients’ health-related quality of life and their experience of healthcare, research, and selfmanagement. Understanding this is key to the development of international guidelines and informing the direction of future research. Seven new languages were added in early 2024, and analysis of early data began in 2024. If the data proves as valuable as we expect, the PVRI has committed to repeating the survey every 3 – 4 years, to develop a detailed longitudinal picture of patient care across the globe;
**7.** PH Group III
- Several academic papers are in process, including Screening and Diagnosis of PH in CLD, Significance of PVD in COPD; Pathogenesis and phenotypes; management and treatment; and
- **8.** Real World Evidence & Real-World Data
- In 2023 the group published ‘ _Real-World Evidence to Advance Knowledge in Pulmonary Hypertension: Status, Challenges, and Opportunities.'_ summarising both general and specific challenges to accessing and using RWD and RWE in PH.
Given the increasing amount of work undertaken by our Task Forces and Workstreams, in 2022 the Board agreed that more administrative support and co-ordination was needed, and in Spring 2023 we welcomed Michael Nio to the team as Workstream Co-ordinator, taking our staff team from four to five.
## **International scientific meetings**
In July 2023 we were delighted to welcome more than 120 delegates to our first post-COVID Drug Discovery & Development Symposium. DDS, held in Bethesda, USA. The meeting was arranged by our IDDI leadership team, and we are very grateful to Sylvia Nikkho, Peter Fernandes, Ray Benza, and Mark Toshner for putting together such a successful and well-received programme. Delegates included clinicians, academics, scientists, regulators, and pharma and industry colleagues.
_“Invaluable. Nothing else like this in PVD. Real, practical and timely information and innovative approaches to tx”_
_“Very good presentations and discussion. Small well-connected, friendly and warm community.”_
_“A good gathering of a broad range of expertise. Not sure there is an equivalent meeting of this type - certainly occupies an important space.”_
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
_“Each session provided unique and highly informative presentations and discussion. I felt that a focus on digital health was a springboard for discussion throughout the symposium and it will provide a platform for much future discussion. As a representative of a regulatory body, I also appreciated the focus on clinical trial design and discussion of novel clinical endpoints. To that regard, phenotyping and enrichment will continue to be issues for future discussion.”_
We are, as ever, particularly grateful to our long-term supporters the Cardiovascular Medical Research and Education Fund (CMREF), whose 2019 award included an annual sum to support the DDDS meetings.
The PVRI runs one other major global meeting each year – the Annual Congress - usually held in late January. The timing of the 2022 Congress was an exception because of Covid, and our 2022 meeting was held in Athens in June. Following that meeting, the Board agreed to revert to the late January time slot, so there was no Congress in 2023, but much of the year was spent planning the programme for London 2024. Our President, Prof Kurt Stenmark led an organising committee that spent much of last year planning ‘London 2024’ – resulting in a fantastic 5-day programme with 3 themes: global health, clinical science and translational science. The 2024 Congress ran from 31 January to 4 February, and was attended by around 520 delegates – our largest meeting to date.
PVRI meetings have historically made a fairly significant deficit, and given the financial challenges ahead, the Board were keen to work towards a break-even or even a surplus position for the 2024 meeting. For the first time ever, PVRI welcomed exhibitors and sponsors to the London Congress, and we are pleased to report that this resulted in a small surplus, helping to make our meeting model more sustainable.
Also unprecedented, PVRI used an event organising company to help arrange the Congress. As the company handled all the meeting finances, the income and expenditure relating to Congress are not reflected in the 2023 accounts.
## **E-learning**
Sharing expertise is key to our mission of reducing the global burden of pulmonary hypertension, and e-learning is a low-cost way to deliver this on a global scale.
## Our e-learning comprises:
- PVRI Digital 23-24
- This programme of monthly webinars was designed by Patricia Thistlethwaite. Each session is delivered by a different group of global thought leaders at the cutting edge of research. The webinars are live-streamed free of charge, and are regularly attended by over 100 participants from around 30 different countries. For those not in a convenient time zone for live viewing, the sessions are freely available post-event on PVRI’s website;
- Community calls
- These monthly Calls are hosted by Jason Weatherald and Katrina Barry, who invite researchers in to discuss their recently published papers. This is followed by an informal panel discussion with online questions and chat. We are very grateful to all four for their insightful leadership; and
- ▪ Virtual Symposium Series Focusing on infection, and run by our Infection Task Force – the iPVD Consortium. The successful new series will continue into 2024.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
_“Very interesting and inspiring session!”_
- _“Excellent session, I wish we had more of these every month”_
- _“… one of the best I've seen - really good clear speakers and an engaged audience, thanks”_
The ethos of collaboration and inclusiveness runs throughout the PVRI, but it really shines through in our educational work, and in particular our e-learning. It is impossible to name all the speakers, moderators, and panellists who pulled together to produce such a consistently high-quality scientific contribution last year – but we would like to send our sincere thanks to each and every one of them.
## **Pulmonary circulation**
Pulmonary Circulation is PVRI’s peer reviewed open access journal. Now fully digital, it provides a global audience with free access to the latest in pulmonary hypertension research.
The journal flourished last year under the care of Chief Editors Jason Yuan and Anna Hemnes. The number of articles published in 2023 was slightly lower than the previous year, but the quality remained high, and we were pleased to see that usage of the journal (as measured by the number of full text views) rose from 192,000 views in 2022 to 304,000 last year. We also achieve our goal of significantly reducing the time from submission to publication, and aim to maintain this progress in 2024.
In 2023 we recruited a PhD student to trial a project scanning preprint servers (where completed manuscripts are posted by the authors but not yet accepted for publication in a journal) to identify potential papers of interest for review by our editors. The trial resulted in a very modest increase in submissions, and so was ended towards the end of the year.
The world of academic publishing continues to be hugely competitive; in recent years there has been an exponential increase in the number of titles. The growth of AI and bot-produced papers continues to present real challenges for serious journals. A huge thanks go to Jason, Anna and the many experts who make up our editorial team for steering us through these choppy waters with such skill and energy!
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
## **Grants**
We are indebted to our supporters for funding vital research into pulmonary hypertension in the last 12 months. We would single out the CMREF for their support of GoDeep, which aims to expand our knowledge of pulmonary hypertension on a global scale, and for supporting the mainstream work of the PVRI.
An important outcome of our strategic review was the development of a new Scientific and Medical Advisory Council. This new body will report to the Board and provide operational and scientific direction to PVRI, freeing up time for the Trustees to focus on governance issues.
## **Research**
A great source of pride in 2023 was PVRI GoDeep: our deep phenotyping meta-registry, run from Justus-Liebig University in Germany by past PVRI President, Prof Werner Seeger. Founded with support from the CMREF, secured by the PVRI, GoDeep has grown steadily in the four years since inception, and now contains more than 7 million data points from over 30,000 PH patients around the world. Almost thirty PH centres contribute data to the registry, and more are joining each year. We are now starting to see the power and utility of large datasets for informing real-life medicine, as will be demonstrated in the first raft of academic papers that will be published in early 2024. We congratulate Werner and his team, and very much look forward to the next phase.
This is just one example of how the PVRI contributes new knowledge from a global and diverse constituency of people engaged with pulmonary hypertension in a way that few others can do.
## **Infrastructure development and building capacity**
Significant time, effort and resources were given over the course of 2023 to developing the charity’s infrastructure, to improve efficiency, reduce risk, and provide us with a strong platform on which to build future services.
As introduced above, a new Scientific and Medical Advisory Council (SMAC) was established. The nine founder members are all PH experts – both senior and early career professionals – drawn from different countries. The SMAC will play a key role in widening participation and delivering on our commitment to equality, diversity and inclusion.
Another change has been the engagement of Steph Knowles to deliver independent financial support. We changed auditors in late 2022; after a tender process, we appointed Godfrey Wilson Ltd. We introduced new digital accounting software, which allows fully remote working when needed, and, for the first time, a fully remote audit. Budgeting and financial monitoring systems were tested, revised and consolidated, and the number of bank accounts was reduced to improve risk management and reduce costs.
We also developed our communication and digital infrastructure, led by Debs Waller, our new Head of Comms and Marketing. The Board agreed to invest in a new website and a brand refresh, and we were delighted to launch our new brand at the London Congress in January 2024. New brand guidelines and communications guidelines have been developed, and we hope to launch the new website in late spring 2024.
At the very end of 2023, we recruited Josh Ryan to the new role of Operations Manager. His role is to improve our infrastructure, establish evaluation systems, and generate efficiencies by reducing reliance on external consultants.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
## **Plans for future periods**
In 2024 our plans include:
- Expansion of the Scientific & Medical Advisory Council, and the development of a new Early Career Group that will provide career development, mentoring and networking opportunities for early career PVD professionals;
- Develop our Equality, Diversity and Inclusion agenda, in particular;
- Work to better understand areas of underrepresentation and under-participation;
- Gain a better understanding of the global burden of PH as it affects different people and communities;
- Launch of a new monthly newsletter;
- Launch of a new website;
- Expansion of the charity’s digital capacity;
- Major development work on the charity’s database;
- Plan the 5-day Annual World Congress in early February 2025;
- Plan the 2-day Drug Discovery & Development Symposium, to be held in Amsterdam in summer 2025;
- Develop a fundraising strategy to enable PVRI to expand its funding base and become increasingly sustainable in coming years;
- A thorough review of our Digital Clinic accredited learning module to validate its current application, and to assess future possible uses, including translation – initially potentially in Spanish for use in Latin America; and
- Increased commissioning of review articles for _Pulmonary Circulation._
## **Financial review**
## **Going concern**
Looking forward, assessing the viability of the charity, the Trustees have considered a range of information in relation to the financial year ahead, including the impact of the global political and financial environment, and the charity’s own resources and known liabilities.
The Trustees consider that the Charity has adequate resources to continue operating effectively for at least 12 months, and to meet its obligations as they fall due. The financial statements have therefore been prepared on a going concern basis.
## **Reserves policy**
On 31 December 2023, the Charity had reserves of £2,200,692 of which £585,932 is restricted.
In line with Charity Commission guidance (CC19), the Trustees consider it prudent to hold reserves to ensure the Charity can continue to deliver planned services, meet contractual obligations, manage unforeseen risks, and take advantage of unexpected opportunities in the year ahead.
As a global charity, the Trustees acknowledge the unpredictable nature of currency markets, and understand the potential impact of widespread political instability, the energy crisis and inflation on its income. The Trustees also acknowledge the lack of diversification in the Charity’s income streams, and its historical reliance on support from the CMREF. The CMREF has been a long term supporter of the PVRI, but this US charity is coming towards the end of its funding life, having run down its capital with the planned aim of ceasing activity in 2024. Plans are in place to diversify income streams, but in the interim, the Trustees have taken a conservative approach to reserves and feel that the current unrestricted reserves of £1.5million is appropriate to current circumstances.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
## **Income and expenditure**
During the year ended 31 December 2023, the Charity generated income of £639,848 (2022: £203,176) none of which was restricted (2022: none). The charity incurred expenditure of £820,132 (2022: £821,148) of which £74,935 was restricted (2022: £109,043).
Towards the end of 2022, it was confirmed that the final two of six grant payments from CMREF, to be cash receipted in 2023 and 2024, would be reduced from $500k to $250k per year due to a fall in the funder’s investment performance. As the grant had been recognised in full when agreed in 2019, this resulted in a correction to income of £341,645 in the year ended 31 December 2022.
These accounts show expenditure in 2023 as being similar to the prior year. However, the charity holds most of its cash balances in USD bank accounts, and so is subject to significant exchange rate movements. Excluding exchange rate movements, actual spending during 2023 was significantly lower than the previous year, but 2023 costs were increased by exchange rate revaluations of £134,245 (compared to a decrease of £477,439 in 2022).
The Charity ended the year in a healthy financial position. As ever, the Trustees would like to express heartfelt thanks to all our donors and supporters. Our particular thanks go to the CMREF for their tremendous support during this and previous years – both for PVRI activity and for a major GoDeep research grant. We were also very grateful for some wonderful community fundraising from our supporters, and send them our heartfelt thanks.
## **Investment approach**
The Trustees are aware that uncertainty in relation to inflation and economic growth will continue for the foreseeable future and this has been considered in the investment approach for 2023.
During the first two quarters of 2023, the emphasis was on streamlining banking arrangements and bedding down new financial systems and controls. The accuracy of new budgeting and cashflow forecasting processes was tested during this time, and foreign exchange fluctuations were monitored. As cash balances and cashflow forecast show the Charity has sufficient funds for medium to - - long term investment, the Trustees are currently investigating a range of charity specific investment vehicles and will adopt a revised Investment Policy to reflect this new approach.
## **Structure, governance and management**
The PVRI was incorporated and registered as a charity in April 2006. As the PVRI is both a charity and a company limited by guarantee, all Board members are directors for the purposes of company law, and Trustees for the purposes of charity law. The objects of the charity are defined by its Articles of Association, which also set out Trustees’ powers and the permitted activities of the charity.
## **The Board and committees**
During 2023 the PVRI had six Trustees, including world leaders in the field of PVD, and people with exceptional business and finance skills.
When appointing new Board members, the Trustees consider any skill and knowledge gaps, and seek candidates to meet those needs. Trustees strive to ensure that the Board and committees are inclusive and diverse, and represent the global communities that the charity serves. Induction is provided for new Trustees, and ongoing training is offered. A Trustee Handbook has been developed, which references Charity Commission guidance, sets out Trustee roles and responsibilities and committee terms of reference, and provides background to the charity and its work.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
PVRI Presidents also attend Board meetings as advisors for a period of time during and after their term of office. In 2023, past President Prof Werner Seeger and current President Prof Kurt Stenmark attended in this capacity. In January 2024 after leading a tremendously successful Annual Congress, Kurt Stenmark stood down as PVRI President, and we were delighted to welcome Trustee Anna Hemnes as our new President.
There is one Board sub-committee – the Remuneration Committee - which meets as needed. A new Remuneration Policy was agreed in February 2023, and the Committee met in September 2023 to consider staff salary and pension levels.
Day to day responsibility for achieving strategic and financial aims is delegated to the Chief Executive Officer.
## **Statement of public benefit**
The aims of the PVRI are to promote knowledge and stimulate new ideas in the field of cardiopulmonary medicine by fostering a multidisciplinary approach, centred on collaboration and communication across the science spectrum. Its overarching aim is to reduce the global burden of pulmonary vascular disease within the next 20 years. Its impact will be measured in the benefit it brings to individuals living with pulmonary vascular disease, the clinicians who treat them, the scientists researching the disease, and whole country-wide healthcare systems.
When reviewing the Charity’s objectives and planning future activities, the Trustees refer to Charity Commission guidance on public benefit and confirm that all PVRI’s activities are undertaken to further our charitable purposes for public benefit, in accordance with Section 17 of the Charities Act 2011.
## **Risk management and internal control**
Overall responsibility for risk management lies with the Board of Trustees. A Risk Register is in place and is reviewed by the Board twice yearly. The Register identifies current and potential risks and sets out appropriate controls and mitigations.
In 2023, the main risks were a lack of income diversity, and cyber security. To mitigate risks associated with a reliance on relatively few funding streams, income is monitored via monthly management accounts and cash flow forecasts. Reserve funds are held to cover medium and longerterm income shortfalls, and the charity is pursuing opportunities to diversify income streams in the coming year.
Cyber security risk is an unfortunate aspect of the operating environment for all UK charities, and the PVRI is no different. In the light of high levels of cybercrime in the UK and globally, the Trustees and staff recognise the need for vigilance and good controls. To mitigate cyber risk, we have active systems backup and a support contract that includes system monitoring. Appropriate policies are in place, and mandatory cyber security training for staff was introduced in 2023. Cyber insurance is also in place, and cover includes support for cyberincident management.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
## **Statement of responsibilities of the trustees**
The trustees (who are also directors of the charity for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with 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).
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 charity and of the income and expenditure of the charity 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 Charities SORP;
- make judgements and accounting estimates that are reasonable and prudent;
- state whether applicable UK accounting standards and statements of recommended practice have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charity and which 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 charity 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.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.
These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.
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## **Pulmonary Vascular Research Institute**
## **Report of the trustees**
## **For the year ended 31 December 2023**
## **Auditors**
Godfrey Wilson Limited were appointed as auditors to the charitable company during the year and have expressed their willingness to continue in that capacity.
Approved by the trustees on 4 June 2024 and signed on their behalf by
## Martin Wilkins
Professor M Wilkins Hon Treasurer
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## **Independent auditors' report**
## **To the members of**
## **Pulmonary Vascular Research Institute**
## **Opinion**
We have audited the financial statements of Pulmonary Vascular Research Institute (the 'charity') for the year ended 31 December 2023 which comprise the statement of financial activities, balance sheet, statement of cash flows and the related 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:
- give a true and fair view of the state of the charity's affairs as at 31 December 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 Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 charity'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 auditor’s report 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.
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## **Independent auditors' report**
## **To the members of**
## **Pulmonary Vascular Research Institute**
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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.
## **Opinion 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 trustees’ report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the trustees’ report has been prepared in accordance with applicable legal requirements.
## **Matters on which we are required to report by exception**
In the light of the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ report. We have nothing to report in respect of the following matters in relation to which 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;
- the financial statements are not in agreement with the accounting records and returns;
- certain disclosures of trustees’ remuneration specified by law are not made; or
- ▪ we have not obtained all the information and explanations necessary for the purposes of our audit.
## **Responsibilities of the trustees**
As explained more fully in the trustees’ responsibilities statement set out in the trustees’ report, the trustees 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 they 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 charity’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 charity or to cease operations, or have no realistic alternative but to do so.
15
## **Independent auditors' report**
## **To the members of**
## **Pulmonary Vascular Research Institute**
## **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 an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
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 procedures we carried out and the extent to which they are capable of detecting irregularities, including fraud, are detailed below:
(1) We obtained an understanding of the legal and regulatory framework that the charity operates in, and assessed the risk of non-compliance with applicable laws and regulations. Throughout the audit, we remained alert to possible indications of non-compliance.
(2) We reviewed the charity’s policies and procedures in relation to:
- Identifying, evaluating and complying with laws and regulations, and whether they were aware of any instances of non-compliance;
- Detecting and responding to the risk of fraud, and whether they were aware of any actual, suspected or alleged fraud; and
- Designing and implementing internal controls to mitigate the risk of non-compliance with laws and regulations, including fraud.
(3) We inspected the minutes of trustee meetings.
(4) We enquired about any non-routine communication with regulators and reviewed any reports made to them.
(5) We reviewed the financial statement disclosures and assessed their compliance with applicable laws and regulations.
(6) We performed analytical procedures to identify any unusual or unexpected transactions or balances that may indicate a risk of material fraud or error.
(7) We assessed the risk of fraud through management override of controls and carried out procedures to address this risk. Our procedures included:
- Testing the appropriateness of journal entries;
- Assessing judgements and accounting estimates for potential bias;
- Reviewing related party transactions; and
- Testing transactions that are unusual or outside the normal course of business.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. Irregularities that arise due to fraud can be even harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
16
## **Independent auditors' report**
## **To the members of**
## **Pulmonary Vascular Research Institute**
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 auditor’s report.
## **Use of our report**
This report is made solely to the charityʼs 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 charityʼs members those matters we are required to state to them in an auditorʼs report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charityʼs members as a body, for our audit work, for this report, or for the opinions we have formed.
Date: 4 June 2024
## **Rob Wilson FCA (Senior Statutory Auditor)**
For and on behalf of:
## **GODFREY WILSON LIMITED**
Chartered accountants and statutory auditors 5th Floor Mariner House 62 Prince Street Bristol BS1 4QD
17
## **Pulmonary Vascular Research Institute**
**Statement of financial activities** _(incorporating an income and expenditure account)_
## **For the year ended 31 December 2023**
|Restricted
Note
£
**Income from:**
Donations
4
-
Charitable activities
5
-
Other trading activities
6
-
Investments
-
**Total income**
-
**Expenditure on:**
Raising funds
-
Charitable activities
74,935
**Total expenditure**
7
74,935
9
(74,935)
**Reconciliation of funds:**
Total funds brought forward
660,867
**Total funds carried forward**
585,932
**Net expenditure and**
**movement in funds**|Unrestricted
£
386,713
216,453
6,448
30,234
639,848
13,424
731,773
745,197
(105,349)
1,720,109
1,614,760|**2023**
**Total**
**£**
**386,713**
**216,453**
**6,448**
**30,234**
**639,848**
**13,424**
**806,708**
**820,132**
**(180,284)**
**2,380,976**
**2,200,692**|Restated
2022
Total
£
(144,007)
328,471
6,987
11,725|
|---|---|---|---|
||||203,176|
||||10,451
810,697|
||||821,148|
||||(617,972)
2,998,948|
||||2,380,976|
All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in note 18 to the accounts.
The prior year figures were restated as per note 2 in the accounts.
18
## **Pulmonary Vascular Research Institute**
## **Balance sheet**
## **As at 31 December 2023**
|Note
**Fixed assets**
Tangible assets
12
**Current assets**
Debtors: amounts falling due after more than 1 year
13
Debtors: amounts falling due within 1 year
14
Cash at bank and in hand
**Liabilities**
Creditors: amounts falling due within 1 year
15
**Net current assets**
**Net assets**
17
**Funds**
18
Restricted funds
Unrestricted funds
**Total charity funds**|**£**
**-**
**243,417**
**1,998,259**
**2,241,676**
**(75,945)**|**2023**
**£**
**34,961**
**2,165,731**
**2,200,692**
**585,932**
**1,614,760**
**2,200,692**|Restated
2022
£
58,611
207,328
633,458
1,909,682|
|---|---|---|---|
||||2,750,468
(428,103)|
||||2,322,365|
||||2,380,976|
||||660,867
1,720,109|
||||2,380,976|
These accounts have been prepared in accordance with the special provisions applicable to companies subject to the small companies' regime.
Approved by the trustees on 4 June 2024 and signed on their behalf by
## Martin Wilkins
Professor M Wilkins Hon Treasurer
19
## **Pulmonary Vascular Research Institute**
## **Statement of cash flows**
## **For the year ended 31 December 2023**
|**Cash used in operating activities:**
Net movement in funds
Adjustments for:
Depreciation charges
Interest from investments
Decrease in debtors
(Decrease) / increase in creditors
**Net cash provided by / (used in) operating activities**
**Cash flows from investing activities:**
Interest from investments
Purchase of tangible fixed assets
**Net cash (used in) / provided by investing activities**
**Increase / (decrease) in cash and cash equivalents in the year**
Cash and cash equivalents at the beginning of the year
**Cash and cash equivalents at the end of the year**|**2023**
**£**
**(180,284)**
**56,434**
**(30,234)**
**597,368**
**(352,158)**
**91,126**
**30,234**
**(32,783)**
**(2,549)**
**88,577**
**1,909,682**
**1,998,259**|2022
£
(617,972)
18,117
(11,725)
393,009
132,161|
|---|---|---|
|||(86,410)|
|||11,725
(1,074)|
|||10,651|
|||(75,759)
1,985,441|
|||1,909,682|
The charity has not provided an analysis of changes in net debt as it does not have any long term financing arrangements.
20
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **1. Accounting policies**
## **a) Basis of preparation**
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities in preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Pulmonary Vascular Research Institute meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note.
The Charity's functional and presentational currency is Pounds Sterling. The Charity's financial statements are presented to the nearest pound.
## **b) Going concern basis of accounting**
The Charity's main source of income is from its charitable objectives being the receipt of donations and grants.
In order to meet its day to day working capital requirements the Charity is dependent upon these donations and grants, the nature of which can have considerable unpredictable variation in the timing of cash inflows.
After making enquires, the Trustees have a reasonable expectation that the Charity will have adequate resources to continue in operational existence for the foreseeable future. Accordingly, they continue to adopt the going concern basis in preparing the financial statements.
However, the Trustees acknowledge that the Cardiovascular Medical Research and Education Fund (CMREF) has been the Charity’s main source of income since 2014. The Trustees are also aware that this fund is being wound down. Therefore, the Trustees must spend considerable efforts in identifying other sources of income which will eventually replace the income from the CMREF to ensure sufficient funds are available that allow the Charity to continue as a going concern into the future. The last payment from CMREF was received in 2023.
## **c) Income**
Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item of income have been met, it is probable that the income will be received and the amount can be measured reliably.
Income from the government and other grants, whether 'capital' grants or 'revenue' grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.
Income received in advance of provision of services is deferred until criteria for income recognition are met.
21
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **d) Interest receivable**
Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity: this is normally upon notification of the interest paid or payable by the bank.
## **e) Funds accounting**
Unrestricted funds are available to spend on activities that further any of the purposes of the charity. Designated funds are unrestricted funds of the charity which the trustees have decided at their discretion to set aside to use for a specific purpose. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the charity's work or for specific projects being undertaken by the charity.
## **f) Expenditure and irrecoverable VAT**
Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, 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 classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between activities on a basis of staff time.
Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.
## **g) Grants payable**
Grants which have been authorised and paid are included as expenditure in the Statement of Financial Activities. Grants which have been authorised but not yet paid are accrued in the balance sheet and are included within creditors falling due within one year or after one year (as appropriate).
## **h) Allocation of support and governance costs**
Support costs are those functions that assist the work of the charity but do not directly undertake charitable activities. Governance costs are the costs associated with the governance arrangements of the charity, including the costs of complying with constitutional and statutory requirements and any costs associated with the strategic management of the charity’s activities. These costs have been allocated in full to expenditure on charitable activities.
## **i) Tangible fixed assets**
Tangible fixed assets costing £1,000 or more are capitalised. Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Assets under construction are not depreciated until the asset is completed.
Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Office equipment 3 years straight line Computer equipment 3 years straight line Website 5 years straight line
22
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **j) Debtors**
Trade and other debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due.
## **k) Cash at bank and in hand**
Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account.
## **l) Creditors**
Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.
## **m) Financial instruments**
The charitable company only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently recognised at amortised cost using the effective interest method.
## **n) Pension costs**
The company operates a defined contribution pension scheme for its employees. There are no further liabilities other than that already recognised in the SOFA.
## **o) Foreign currency transactions**
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date.
Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.
Exchange gains and losses are recognised in the Statement of financial activities incorporating income and expenditure account.
## **p) Accounting estimates and key judgements**
In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
Aside from going concern set out above, there have been no other key estimates or judgements required in determining the carrying value of assets and liabilities.
23
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **2. Prior period restatement**
Prior year income has been restated to defer individual membership income that relates to future periods. As a result of the restatement, income from charitable activities, total unrestricted funds and net funds has decreased by £12,403 and deferred income increased by £12,403 at 31 December 2021. Deferred income, total unrestricted funds and net funds decreased to £8,495 as at 31 December 2022. Following the reversal of the 2021 deferred membership, income from charitable activities increased by £3,908 for the year ended 31 December 2022.
Prior period income has also been reclassified to reflect the requirements of the Charities SORP (FRS 102) and to be comparable with the current year. Other than above, the restatements are purely reclassifications of income and do not affect net income.
## **3. Prior period comparatives: statement of financial activities**
|**Prior period comparatives: statement of financial activ**
**Income from:**
Donations and legacies
Charitable activities
Other trading activities
Investments
**Total income**
**Expenditure on:**
Raising funds
Charitable activities
**Total expenditure**
**Net expenditure and net movement in funds**|**ities**
Restricted
£
£
-
(144,007)
-
328,471
-
6,987
-
11,725
-
203,176
-
10,451
109,043
701,654
109,043
712,105
(109,043)
(508,929)
Unrestricted|Restated
2022
Total
£
(144,007)
328,471
6,987
11,725|
|---|---|---|
|||203,176|
|||10,451
810,697|
|||821,148|
|||(617,972)|
24
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
|**4.**
**Income from donations**
Grant from CMREF
Donations
**Total income from donations**|**2023**
**Total**
**£**
**-**
**386,713**
**386,713**|Restated
2022
Total
£
(341,645)
197,638|
|---|---|---|
|||(144,007)|
All income from donations in the current and prior year was unrestricted.
Grant income is a debit balance for the year ended 31 December 2022 due to the correction of a multi year grant from CMREF, for which $500k per year was initially expected to be received for the 2023 and 2024, but was reduced to be $250k per year due to an early wind up of the Trusts activities. Both of these installments were cash receipted in 2023. £2,219,391 was recognised in the year ended 31 December 2019 in respect of the total amount of the grant.
|**5.**
**Income from charitable activities**
Registration fees for scientific meetings
PC Journal
Membership income
**Total income from charitable activities**|**2023**
**Total**
**£**
**28,622**
**166,994**
**20,837**
**216,453**|Restated
2022
Total
£
142,413
148,244
37,814|
|---|---|---|
|||328,471|
All income from charitable activities in the current and prior year was unrestricted.
|**Income from other trading activities**
Sponsorship|**2023**
**Total**
**£**
**6,448**|Restated
2022
Total
£
6,987|
|---|---|---|
## **6. Income from other trading activities**
All income from other trading activities in the current and prior year was unrestricted.
25
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **7. Total expenditure**
|Staff costs (note 10)
Depreciation
Audit fees
Other accountancy fees
Telephone, computer and internet charges
Office rent, service charges and office
Legal and professional fees
Business consultancy
Staff training
Staff recruitment
Travelling and accommodation
Advertising and marketing
Insurance
Bank charges
Exchange rate variance
Journal costs
Scientific meetings
Grants (note 8)
**Sub-total**
Allocation of support and governance costs
**Total expenditure**|Raising funds
£
6,894
1,782
-
402
1,553
1,169
1,161
-
-
-
-
-
183
280
-
-
-
-
13,424
-
**13,424**|Charitable
activities
£
175,926
44,425
-
10,012
43,721
29,229
29,170
73,314
1,416
797
20,212
26,617
4,555
6,969
134,245
14,657
89,367
17,236
721,868
84,840
**806,708**|Support costs
£
16,831
4,350
-
980
3,792
2,854
2,836
-
-
-
-
-
446
682
-
-
-
-
32,771
(32,771)
**-**|Governance
costs
22,736
5,877
7,800
1,325
5,122
3,854
3,831
-
-
-
-
-
602
922
-
-
-
-
52,069
(52,069)
**-**|**2023 Total**
**£**
**222,387**
**56,434**
**7,800**
**12,719**
**54,188**
**37,106**
**36,998**
**73,314**
**1,416**
**797**
**20,212**
**26,617**
**5,786**
**8,853**
**134,245**
**14,657**
**89,367**
**17,236**|
|---|---|---|---|---|---|
||||||**820,132**
**-**|
||||||**820,132**|
26
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
|**7.**
**Total expenditure**
**Prior period comparative**
Staff costs (note 10)
Depreciation
Audit fees
Other accountancy fees
Telephone, computer and internet charges
Office rent, service charges and office
Legal and professional fees
Business consultancy
Staff training
Staff recruitment
Travelling and accommodation
Advertising and marketing
Insurance
Bank charges
Exchange rate variance
Journal costs
e-learning
Scientific meetings
Grants (note 8)
**Sub-total**
Allocation of support and governance costs
**Total expenditure**|Raising funds
£
5,813
444
-
650
515
1,074
1,104
-
443
-
-
-
106
302
-
-
-
-
-
10,451
-
**10,451**|Charitable
activities
£
198,043
15,122
-
22,153
54,647
36,579
37,650
91,980
15,087
-
48,569
21,691
3,887
10,278
(477,439)
14,882
9,573
201,052
400,685
704,439
106,258
**810,697**|Support costs
£
12,574
960
-
1,407
3,403
2,323
2,390
-
958
-
-
-
230
653
-
-
-
-
-
24,898
(24,898)
**-**|Governance
costs
2022 Total
£
20,840
237,270
1,591
18,117
8,100
8,100
2,331
26,541
5,639
64,204
3,849
43,825
3,962
45,106
-
91,980
1,588
18,076
31,999
31,999
-
48,569
-
21,691
380
4,603
1,081
12,314
-
(477,439)
-
14,882
-
9,573
-
201,052
-
400,685
81,360
821,148
(81,360)
-
**-**
821,148|
|---|---|---|---|---|
27
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
**8. Grants payable** During the year, 2 (2022: 18) new grants were awarded to 2 institutions (2022: 1 institution and 16 individuals).
Total grants committed to during the year were as follows:
|Research grants
Justus-Liebig University
Education and Travel Awards
Stanford Centre
India Taskforce
Total grants to institutions
Grants to individuals|**2023**
**No.**
**-**
**1**
**1**
**2**
-
**2**|**2023**
**£**
-
**12,401**
**4,835**
**17,236**
**-**
**17,236**|2022
No.
2
-
-
2
16
18|2022
£
388,360
-
-|
|---|---|---|---|---|
|||||388,360
12,325|
|||||400,685|
No support costs were allocated to grant making activities as minimal time was spent by staff.
## **9. Net movement in funds**
This is stated after charging:
||**2023**|2022|
|---|---|---|
||**£**|£|
|Depreciation|**56,434**|18,117|
|Operating lease payments|**36,743**|35,705|
|Trustees' remuneration|**Nil**|Nil|
|Trustees' reimbursed expenses|**20,261**|23,290|
|Exchange rate variance|**134,245**|(477,439)|
|Auditors' remuneration (excluding VAT):|||
|Statutory audit|**6,500**|6,750|
|Other services|**150**|22,118|
During the year, 6 Trustees received reimbursement of expenses incurred attending meetings in the UK and USA totalling £20,261 (2022 - 7 Trustees received reimbursement of expenses totalling £23,290).
28
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **10. Staff costs and numbers**
Staff costs were as follows:
|**Staff costs and numbers**
Staff costs were as follows:|||
|---|---|---|
|Wages and salaries
Social security costs
Defined contribution pension schemes|**2023**
**£**
**198,164**
**16,797**
**7,426**
**222,387**|2022
£
214,089
21,048
2,133|
|||237,270|
The key management personnel of the charitable company comprise the Trustees and CEO. During the year, the total amount of employees benefits received by key management personnel for their services to the Charity were £93,076 (2022: £115,377 including £30,000 redundancy payments).
|Average head count
In the band £80,001 - £90,000|**2023**
**No.**
**5**
**2023**
**No.**
**1**|2022
No.
4|
|---|---|---|
|||2022
No.
1|
## **11. Taxation**
The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes.
29
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **12. Tangible fixed assets**
|**Cost**
At 1 January 2023
Additions in year
Disposals
At 31 December 2023
**Depreciation**
At 1 January 2023
Charge for the year
On disposal
At 31 December 2023
**Net book value**
**At 31 December 2023**
At 31 December 2022|6,752
-
(1,167)
5,585
6,752
-
(1,167)
5,585
**-**
-
**Office**
**equipment**|31,451
-
3,124
29,659
(27,986)
-
6,589
29,659
29,182
-
1,854
-
(27,986)
-
3,050
-
**3,539**
**29,659**
2,269
-
**Assets under**
**development -**
**website**
**Computer**
**equipment**|**Website**
152,210
-
-
152,210
95,868
54,580
-
150,448
**1,762**
56,342|**Total**
**£**
**190,413**
**32,783**
**(29,153)**|
|---|---|---|---|---|
|||||**194,043**|
|||||**131,802**
**56,434**
**(29,153)**|
|||||**159,083**|
|||||**34,961**|
|||||58,611|
## **13. Debtors: amounts falling due after more than 1 year**
|**Debtors: amounts falling due after more than 1**|**year**||
|---|---|---|
||**2023**|2022|
||**£**|£|
|Accrued income|**-**|207,328|
## **14. Debtors: amounts falling due within 1 year**
|**Debtors: amounts falling due within 1 year**|||
|---|---|---|
|Prepayments
Accrued income|**2023**
**£**
**18,698**
**224,719**
**243,417**|2022
£
28,503
604,955|
|||633,458|
30
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
**15. Creditors : amounts due within 1 year**
||||
|---|---|---|
|**15. Creditors : amounts due within 1 year**
Trade creditors
Accruals
Grants payable
Other taxation and social security
Deferred income (see note 16)
**16. Deferred income**
At 1 January
Deferred during the year
Released during the year
At 31 December|**2023**
**£**
**10,907**
**9,279**
**-**
**6,905**
**48,854**
**75,945**
**2023**
**£**
**8,495**
**61,196**
**(20,837)**
**48,854**|Restated
2022
£
6,191
22,791
385,276
5,350
8,495|
|||428,103|
|||Restated
2022
£
12,403
34,534
(38,442)|
|||8,495|
Deferred income relates to sponsorship and individual memberships.
## **17. Analysis of net assets between funds**
|Tangible fixed assets
Current assets
Current liabilities
**Net assets at 31 December 2023**
**Prior period comparative (restated)**
Tangible fixed assets
Current assets
Current liabilities
**Net assets at 31 December 2022**|£
-
586,712
(780)
**585,932**
£
-
660,867
-
**660,867**
Restricted
funds
Restricted
funds|£
-
54,195
-
**54,195**
£
-
54,195
-
**54,195**
Designated
funds
Designated
funds|£
34,961
1,600,769
(75,165)
**1,560,565**
£
58,611
2,035,406
(428,103)
**1,665,914**
General
funds
General
funds|**Total funds**
**£**
**34,961**
**2,241,676**
**(75,945)**|
|---|---|---|---|---|
|||||**2,200,692**|
|||||Total
funds
£
58,611
2,750,468
(428,103)|
|||||**2,380,976**|
31
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
## **18. Movements in funds**
|**Restricted funds**
e-learning
Pulmonary Circulation Journal
WHO-PVRI Symposium
PVRI India
**Total restricted funds**
_Designated funds:_
Rupert Swift Award fund
_Total designated funds_
General funds
**Total unrestricted funds**
**Total funds**
**Unrestricted funds**|At 1
January
2023
£
12,986
349,066
168,912
129,903
660,867
54,195
54,195
1,665,914
1,720,109
2,380,976|Income
£
-
-
-
-
-
-
-
639,848
639,848
639,848|£
(10,415)
(59,807)
-
(4,713)
(74,935)
-
-
(745,197)
(745,197)
(820,132)
Expenditure|**£**
**2,571**
**289,259**
**168,912**
**125,190**
**At 31**
**December**
**2023**|
|---|---|---|---|---|
|||||**585,932**|
|||||**54,195**|
|||||**54,195**|
|||||**1,560,565**|
|||||**1,614,760**|
|||||**2,200,692**|
## **Purposes of restricted funds**
## **e-Learning**
The GSK e-learning fund represents amounts received from GlaxoSmithKline for the development of online educational modules on Pulmonary Vascular Disease.
## **Pulmonary Circulation Journal**
This fund comprises grants from the CMREF to support the academic journal towards financial sustainability.
## **WHO-PVRI Symposium**
These funds are for a scientific meeting that will raise awareness and understanding of the global burden of pulmonary hypertension (PH).
## **PVRI India**
This fund aims to support the development of an Indian PH organisation, linked to and supported by the PVRI, that will raise awareness of the condition and improve education and treatment.
## **Purposes of designated funds**
The Rupert Swift Award Fund has been designated by the Trustees as the income represents money received by Pulmonary Vascular Research Institute in memory of Rupert Swift. The fund will be used to establish an ongoing annual award for a young and upcoming researcher to present a lecture at the Annual Congress in Rupert's memory.
32
## **Pulmonary Vascular Research Institute**
## **Notes to the financial statements**
## **For the year ended 31 December 2023**
|**18. Movements in funds (continued)**
**Prior period comparative (restated)**
**Restricted funds**
e-learning
Pulmonary Circulation Journal
WHO-PVRI Symposium
PVRI India
**Total restricted funds**
_Designated funds:_
Rupert Swift Award fund
_Total designated funds_
General funds
**Total unrestricted funds**
**Total funds**
**Unrestricted funds**|At 1
January
2022
£
38,901
417,467
168,912
144,630
769,910
53,550
53,550
2,175,488
2,229,038
2,998,948|Income
£
-
-
-
-
-
5,000
5,000
198,176
203,176
203,176|Expenditure
£
(25,915)
(68,401)
-
(14,727)
(109,043)
(4,355)
(4,355)
(707,750)
(712,105)
(821,148)|£
12,986
349,066
168,912
129,903
At 31
December
2022|
|---|---|---|---|---|
|||||660,867|
|||||54,195|
|||||54,195|
|||||1,665,914|
|||||1,720,109|
|||||2,380,976|
## **19. Operating lease commitments**
The charity had operating leases at the year end with total future minimum lease payments as follows:
|Amount falling due:
Within 1 year|**2023**
**£**
**6,132**|2022
£
5,904|
|---|---|---|
## **20. Related party transactions**
The daughter of a trustee is employed by the charity and received total employee benefits in the year amounting to £36,972 (2022: £33,759).
33