2022-03-31-accounts - Moorfields Eye Charity

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Annual report and financial statements

For the year ended 31 March 2022

Charity registration number: 1140679 Company number: 7543237

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Moorfields Eye Charity Annual report and financial statements Year ended 31 March 2022

Contents	Page
Trustees, reference and administrative details of the charity	2
Welcome from the Chair	3
Introduction from the Chief Executive	4
Strategic report
Our strategy	5
Performance and activities in the year	6 - 14
Reserves	14
Going concern	15
Acknowledgements	14 - 16
Governance
Constitution	17
Objects and mission	17
Structure, governance and management	18 – 20
Charity governance code	20
Process for awarding grants	21
Fundraising approach and our supporter promise	22
Fundraising regulation and complaints	23
Risks and uncertainties	24
Environment, employees and social, community and human rights issues	24
Statement of Trustees’ responsibilities	28
Independent Auditors’ report	29 - 31
Financial statements
Statement of financial activities	32
Income and expenditure account	33
Balance sheet	34
Cashflow statement	35
Notes to the financial statements	36 - 56

Moorfields Eye Charity Annual report and financial statements Year ended 31 March 2022

Trustees	Mervyn Walker (elected), Chair
	Andrew Ballheimer (elected)
	Tony Briam (elected)
	Noland Carter (elected)
	Dr Lee-Ann Coleman (elected)
	Vicky Hastings (elected)
	Michael Izza (elected), Vice chair
	Dr Robert Jones (appointed)
	Dr Martin Kuper (appointed ex-officio 1 September 2021)
	Professor Carrie MacEwen (elected)
	Colin Maclean OBE (elected)
	Johanna Moss (appointed ex officio)
	David Probert (appointed ex officio – resigned 12 July 2021)
	Professor Sir Eric Thomas (elected)
	Miss Louisa Wickham (appointed ex-officio)
Company registered number 7543237
Charity registered number 1140679
Registered office	162 City Road, London, EC1V 2PD
Principal office	Kemp House, 152-160 City Road, London, EC1V 2PD
Management group	Robert Dufton Chief executive and company secretary
	Gordon Burns Director of finance and resources
	Rachel Jones Director of development
	Dr Ailish Murray Director of grants and research
Auditors	Haysmacintyre LLP, 10 Queen Street Place, London, EC4R
	1AG
Bankers	Barclays Bank, 1 Churchill Place, Canary Wharf, London, E14
	5HP
	The Co-operative Bank, 2nd Floor, St Paul's House, 10
	Warwick Lane, London, EC4M 7BP
Solicitors	Stone King LLP, Boundary House, 91 Charterhouse Street,
	London, EC1M 6HR
Lead investment managers J P Morgan International Bank Ltd, 60 Victoria Embankment,
	London EC4Y 0JP

Moorfields Eye Charity Annual report and financial statements Year ended 31 March 2022

Welcome from the Chair

Welcome and thank you for reading our Annual Report for the year ended 31 March 2022.

Despite the continuing challenges Covid-19 has presented to the NHS and to the health and lives of so many people during the year, Moorfields Eye Charity has been able to increase the support it gives to Moorfields Eye Hospital NHS Foundation Trust (Moorfields) and its academic partner UCL. We have been able to do so thanks to the generosity of our donors and supporters, many of whom are patients of Moorfields, the hard work of our charity team and the commitment of the staff of Moorfields and UCL who support our work through their professional roles and in many instances also by taking part in our fundraising activities. We thank everyone who supports our work.

Our objectives are the relief of sickness or suffering and the advancement of health. We directly meet these objectives by improving eye health by funding innovation in research, education and care to benefit Moorfields’ patients. This annual report and our separately published annual Impact Report describe in a compelling way how we are meeting these objectives to benefit patients at Moorfields and globally through our support for research, education and innovation in care. We have ambitious plans for the years ahead to increase further the scale and scope of the support we provide.

During the year David Probert, left his role as Chief Executive of Moorfields to take up the role of Chief Executive of University College London Hospitals NHS Foundation Trust. In consequence David also ceased to be a trustee of the charity. We thank David for all his work as a trustee and as an outstanding Chief Executive of Moorfields, in particular for his leadership in developing strong relationships between the charity and the senior leadership team of Moorfields, and for the tremendous progress which has been achieved with Oriel, the project to create an advanced centre for world-leading eye health near St Pancras.

We are delighted to welcome Dr Martin Kuper, the new Chief Executive of Moorfields, who has also joined the charity’s board.

Colin Maclean OBE will be stepping down as a trustee at the conclusion of our board meeting on 11 July 2022. Colin has given over ten years of dedicated service to Moorfields charities. Initially as a Special Trustee of Moorfields Eye Hospital, which he joined in 2012, and subsequently, on the merger of the Special Trustees with Moorfields Eye Charity, as a trustee. During that time Colin has served on our Audit & Risk and Remuneration & People committees. I am grateful for the advice and support which Colin has given over the past decade, and we wish him well with his continuing roles in charities local to where he lives.

As part of the work following on from last year’s governance review, the Nominations committee oversaw a trustee skills audit and the creation of a trustee succession plan. This has led to the recruitment of two Trustees-designate, Dr Jyotsna Vohra (Director of Policy and Public Affairs at the Royal Society for Public Health) and Kevin McGrath OBE DL (Principal of the McGrath Family Office and former chairman of property investment and development companies). Initially Jyotsna and Kevin have been appointed as members of our Grants and Oriel committees respectively, but they will join the full Board of Trustees in early 2023 when two of our current Trustees complete their terms of office and step down. We are delighted that, from strong fields of applicants, Jyotsna and Kevin will be bringing their extensive skills and experience to strengthen the board of Trustees still further.

I would like to reiterate our thanks to the leadership team and all our charity staff and volunteers for their achievements this year despite the very challenging circumstances.

Mervyn Walker Chair Moorfields Eye Charity

Moorfields Eye Charity Annual report and financial statements Year ended 31 March 2022

Introduction from the Chief Executive

Our annual report highlights the achievements in the year, both how we have continued to meet the ongoing challenges caused by the pandemic and our regular objectives, including our work in partnership with Moorfields and UCL to achieve major milestones for Oriel. We are also setting out our ambitious plans for the future, taking us up to the successful opening of Oriel, and then beyond that as a major funder of research at Oriel.

Over the year we have again awarded over £6m in grants to support research, delivery of patient care and education at Moorfields and UCL. In particular we aim to build capacity for research by supporting researchers at critical stages of their careers. This year we are pleased to enter into our first co-funding with Fight for Sight and fund a research project on inherited eye disease. This report shows the impact of our schemes through the progress which individuals supported by the charity are making.

We have continued to make good progress with Oriel: planning permission for the new development was approved by Camden Council and the Mayor of London; conditional contracts were exchanged with Derwent London plc for their purchase of the City Road site; and Moorfields’ full business case was submitted to the Government. Our joint fundraising campaign for Oriel is progressing well too. The funds pledged and received will be used in time to help pay for the construction costs. The project remains on track for Oriel to open in 2026/27.

Our ability to increase our support to Moorfields and UCL depends on fundraising. This year we received £8.1 million from a total of 9,051 supporters. We are hugely grateful to every one of them. We know that sight is the sense people most fear losing. The donations from our supporters will ultimately help hundreds of thousands of people to retain their sight and, in some cases, to restore sight that has been lost.

But it is not just the generous gifts of money for which we are grateful, but also the gifts of time. During the year we launched our volunteering programme. Our volunteers engage with Moorfields patients and staff from our new charity hub near the main entrance of the hospital.

We work with Moorfields to shape national policy and increase resources allocated to eye health. We contributed to the Association of Medical Research Charity’s national campaign #ResearchAtRisk. This was successful in leading to a financial boost from the Department for Business, Energy and Industrial Strategy and a Government commitment to record levels of investment in the UK’s research base over the next three years.

We are delivering against the priorities of our strategy for 2021-27 “People’s sight matters”. Using this strategy, we have developed ambitious business plans for the next five years, taking us to the opening of Oriel and establishing ourselves as a major provider of grant funding for eye-health research. In March 2022, our Board considered and supported our proposals for the plan period to grow our staffing, our expenditure and our annual income. We aim to meet the challenges of raising the money for Oriel and committing up to £10 million per year towards Moorfields and UCL on a sustainable basis.

Our staff have continued to show outstanding performance this year. This is seen in the responses to our annual staff engagement survey. We are proud of how we compare with charities generally and increasingly with top performing charities, because we know that having a highly engaged team is critical to achieving our ambitious goals.

Thank you to everyone who supports our work to improve eye health and thereby benefit and enrich the lives of people in the UK and globally. I hope you enjoy reading our annual report.

Robert Dufton Chief Executive Moorfields Eye Charity

Moorfields Eye Charity Strategic report Year ended 31 March 2022

The Trustees (who are also Directors for the purposes of Company law) present their annual report together with the audited financial statements of Moorfields Eye Charity (the charity) for the year ended 31 March 2022. This report incorporates the requirements of the Strategic Report as required by Company Law.

The Trustees confirm that the annual report and financial statements of the charitable company comply with the current statutory requirements; the requirements of the charitable company’s governing document; and the provisions of the Statement of Recommended Practice (SORP), applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (Second Edition, effective 1 January 2019).

Our strategy

At Moorfields Eye Charity, we support pioneering eye health and the life-changing work at Moorfields and UCL – bringing early diagnoses and new treatments to people with sight loss. The number of people in the UK with sight loss is estimated to rise to 2.7 million by 2030. By 2050, the current figure will double to over 4 million. This is why we invest in research and innovation; the best patient care and world class training; it is why we are a partner in realising Oriel, the centre for advancing eye health reaching people in the UK and worldwide; it is why we are motivated by the core belief that People’s Sight Matters.

Our revised strategy 2021-27

Our six year strategy outlines our ambitious objectives for the charity and our role supporting the work of Moorfields and UCL to benefit Moorfields’ patients. There is an emphasis on innovation in clinical care and staff wellbeing and development.

Our strategy presupposed the continued importance of philanthropic support to enable us to realise our ambitious plans for 2021-27. Key to this is the provision of a new world class facility in London’s medical and scientific quarter, working in partnership with Moorfields and UCL. The facility will provide integrated clinical care, teaching and research in eye health to benefit millions of current and future patients in London, the UK and across the world. The new facility has a working title of Oriel and is referred to as such throughout this report.

We have set ourselves five main objectives, listed in order of priority:

Work in partnership with Moorfields and UCL to create a new world class integrated clinical care, teaching and research facility;
Be the leading charity for research into eye health, supporting the pioneering work of Moorfields and UCL to make new discoveries and turn new knowledge into treatments to improve eye health and wellbeing outcomes for patients of Moorfields and around the world;
Support Moorfields staff in the delivery of outstanding and safe patient care and patient experience;
Support Moorfields to share its knowledge and to inspire and develop tomorrow’s experts;
Work with Moorfields to shape national policy to increase resources allocated to eye health.

We have two further supporting objectives:

Maximise sustainable and flexible support for Moorfields and UCL;
Attract, retain and develop talented and innovative people.

Business model

The charity supports research work at Moorfields and the UCL Institute of Ophthalmology which will lead to improved understanding of eye conditions and development of treatments. This work is funded through our grant-making processes.

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

The income required to meet our objectives is raised through active fundraising activities, seeking funds from donors with an interest and engagement in the work of Moorfields. The charity is also enabled under the Charity Commission Scheme to receive donations and legacies in the name of Moorfields.

To support these activities and to provide strong governance, the charity employs staff to carry out financial, information management and governance functions. These people support the wider staff groups, the Management Group and the Trustees in their roles.

Performance and activities in the year

A summary of our financial performance, before movements in the value of our investments, over the last five years is set out below.

Five-year financial summary	2018 2019 2020 2021 2022
	£'000 £’000 £’000 £’000 £’000
Income Donations Legacies Events Raffles, lotteries and other income Investments Total Income Expenditure Raising funds Charitable activities Support and other Total expenditure Net surplus/(deficit) before investment gains/(losses)	2,452 3,440 4,896 6,342 3,602 1,776 3,044 1,439 1,004 4,193 303 255 181 135 182 63 57 82 103 418 277 288 292 240 242
	4,871 7,084 6,890 7,824 8,637
	1,113 1,250 1,418 1,299 1,462 1,850 2,253 4,472 4,376 5,631 738 596 684 576 563
	3,701 4,099 6,574 6,251 7,656
	1,170 2,985 316 1,573 981

During the year, we approved grants totalling £6.4 million (2021: £4.6 million). This figure, and the comparative figure, are stated before commitments released in each year and before adjustments for net present values in the current and prior years. The section of this report on grant activities in the year, and notes 3 and 13 of the financial statements, give details of the range of activities funded by the charity. The level of grant awards in each year is dependent on the type, size and number of research or other projects being brought forward.

The principal funding sources in 2022, and every year, are receipts from donations £3.6 million (2021: £6.3 million) and legacies of £4.2 million (2021: £1.0 million). Major donations from trusts and individuals play a significant part in our donated income; and the impact of our capital campaign for Oriel can be seen as our donations income for both 2021 and 2020 include significant restricted donations towards the capital costs. The variability of legacy income each year is highlighted by the table above, with the catch up being seen this year after delays in probate grants and administration of estates. In our business planning we continue to assume an average annual income of £2 million from legacies.

We have returned to more usual activities and working in 2022, and we have seen our non-staff costs return to levels seen prior to 2021. We had seen reduced expenditure in 2021 as a result of all staff working remotely, the absence of mass participation events, and the much-reduced cost of communicating and fundraising through social media.

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Criteria used to assess success during the year:

A commitment of £2.9 million per year towards planned grant-making activities.
Fundraising income was assessed against a budget agreed by the Trustees.
Expenditure on fundraising, charitable activities and support costs were measured against a formally agreed budget.
Investment returns, total returns, were measured against a three-year rolling target of CPI + 3.5% (and compared against benchmark indices for context).

Oriel

Oriel, the proposed new centre for advancing eye health, has continued to hit major milestones over the last year. Plans to bring eye care, research and education together in one integrated facility will see services move from their current premises on City Road to a new state-of-the-art building on the St Pancras Hospital site in the borough of Camden. Following approval of the hospital’s outline business case by the Treasury last year, the final business case has now been submitted. The planning application has progressed and now has support of both Camden Council and the Mayor of London. Contracts have been signed for the acquisition and sales of the relevant sites.

Moorfields has occupied its City Road building since its construction in 1899, and a combination of steadily increasing demand for its services and changes to the nature of ophthalmic treatments mean that the ageing building is no longer fit for purpose in terms of size, layout, supporting infrastructure or the quality of its fabric. The UCL Institute of Ophthalmology moved to an adjacent building in the 1980s.

If Moorfields is to continue to treat conditions that no other hospital in the country can tackle; if it is to continue to conduct outstanding and ground-breaking research into eye disease and therapeutic interventions with UCL; if it is to develop its education and training; and if it is to meet the needs of a growing patient population while enhancing the efficiency and effectiveness of the care it provides, then Moorfields and UCL need to develop a new state-of-the-art hospital, education and research facility in London at the earliest possible opportunity.

Philanthropic giving is at the heart of implementing these plans and we are delighted to already have significant support from donors and look forward to new conversations with others interested in realising our vision. The charity, in partnership with UCL, is committed to raising £100 million (£75 million towards capital and £25 million in support of research and education) to achieve these ambitious plans. The campaign has raised over £45 million in capital commitments to date, and we are beginning to see those commitments converted into capital receipts. We hold this money separate from our general or other restricted funds ready for when we help pay for construction costs. We are very grateful to donors who have committed their support and to those interested in hearing more.

This new centre of excellence in eye health is scheduled to open in 2026-27and we remain hopeful that construction on the St Pancras site will begin in 2023.

This facility, shaped to meet the needs of patients and deliver outstanding eye care, groundbreaking research and world-leading education, will harness new technologies to help accelerate diagnoses and bring new treatments to millions of patients globally.

Grant-making activities

Over the year we have issued 63 grants across 21 broad funding programmes. The total budget for 2021-22 was £6m and at year end the total level of commitments was £6,258,986 which is around 105% of the total budget.

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Our annual grant-making activity in 2021-22 splits the overall between £2,766,650 commitments from planned grant making (budget, £2,935,000) and £3,492,336 (budget £3,065,000) delivered via philanthropy supported grants. In comparison to the last two years, the commitments from our planned grant-making were less than via philanthropy supported grants. In combination with a strong fundraising year, the two clinical trials, supported entirely via philanthropic donations, contributed towards this very successful year for philanthropy supported grant commitments.

Overview of grants made

With a return of more regular access to labs we had expected to see an uptick in the number of applications in the year, but figures remained similar to the previous year. We did see an increase in the number of applicants expressing interest and submitting initial stage applications to the NIHR Moorfields Eye Charity fellowship programmes.

The table below provides an overview of grant applications and funding levels over the last year.

	No. grants	Total requested (£)	Total awarded (£)	Average award(£)
Awarded
Moorfields Eye Hospital	24	1,957,601	1,669,548	69,565
UCL Institute of Ophthalmology	35	4,664,541	4,471,655	127,762
External charity	1	5,012	10,012
Other	3	83,336	107,771	35,924
Subtotal	63	6,710,490	6,258,986

Not awarded
Moorfields Eye Hospital	1	76,656
UCL Institute of Ophthalmology	1	102,660
Totals	65	6,889,806	6,258,986

Strategy objectives

The support the charity provides in terms of grant-making activities covers a number of the objectives outlined in our strategy. The table below provides details on the split of awarded grants according to the objective the work primarily supports.

	No.	Total awarded (£)
Objective 2- Be the leading charity for research into eye health	41	5,955,562
Objective 3- Support Moorfields staff in the delivery of outstanding and safe patient care and patient experience	14	236,522
Objective 4- Support sharing knowledge to inspire tomorrow's experts	8	66,902

With £5.95 million committed to objective 2 – be the leading charity for research into eye health – this figure is almost the expected budget for all grant-making in the year. Our trend across the other two objectives is more variable but one which we would hope to see a more consistent trend towards increasing when we implement wider grant-making activities in the area of education and training. Our aim to increase the number of innovation grants will likely strengthen these areas also. It needs to be recognized also that a number of grants can sit in more than one objective so general trends is the main focus when looking at this data. The lack of travel to conferences directly impacts the volume of grants linked to objective 4.

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

In partnership with the National Institute for Health Research (NIHR), we funded an Advanced Fellowship for Dr Patrick Yu Wai Man to evaluate patient outcomes and therapies for inherited diseases that damage the optic nerve. This is the first Moorfields Eye Charity Advanced Fellowship in partnership with the NIHR. Our established partnership with the NIHR reinforces our commitment to the training and development of current and future leaders in eye health. In addition to our relationship with NIHR as one of its charity partners, our strategic aim is to work in partnership with other medical research charities.

Awarded grants by host institution

Throughout the year applications are consider across the charity grant-making programmes including springboard awards, equipment and PhD studentships. This activity is support through our planned, strategic and philanthropic grant-making programmes. In the table below, the number of grants and total awarded to listed organisations has been summarised within these programme categories.

Organisation	No.	Total awarded
Moorfields Eye Hospital
Partnershipfunding	1	3,100
Philanthropysupportedgrant	9	1,565,021
Planned – competitive	2	77,549
Planned - non-competitive	12	23,878
UCL Institute of Ophthalmology
Partnershipfunding	1	125,000
Philanthropysupportedgrant	11	1,762,611
Planned – competitive	19	1,899,752
Planned - non-competitive	3	4,764
Strategic initiative	1	679,527
Other
Philanthropysupportedgrant	1	15,774
Strategic initiative	3	102,009
Grand Total	63	6,258,986

Categories of work

All grant applications are classified according to their category of work. For the year in review, we have continued to include all grants awarded, while in previous years we would have excluded some programmes such as research travel grants.

Moorfields Eye Charity

Strategic report (continued) Year ended 31 March 2022

	No.	Total awarded
Pre-clinical research	32	3,925,132
Clinical trial	2	1,347,660
Translational research	12	516,417
Multi-user equipment	2	264,099
Patient experience	8	118,759
Education and training	5	63,156
Staff welfare	4	18,112

Areas of work

All research grant applications are also classified according to the area(s) of research or area of work. The data analysis below is based only on what is considered the single majority or principal area. This year genetic / inherited eye disorders have had the most investment.

Area	No.	Total awarded
Genetics/inherited eye disorders	9	1,630,881
Age related macular degeneration	4	1,213,073
Equipment / technology - multiple areas	6	542,328
Glaucoma	1	498,000
Adnexal/extra-ocular	2	408,533
Retinal/vitreo-retinal	5	396,001
Macular degeneration (excluding AMD)	2	330,963
Paediatrics	1	285,107
Corneal/ocular surface disease	5	231,331
Service improvement	4	193,002
Diabetic retinopathy	2	124,244
Ocular inflammatory diseases	2	100,370
Public/patient engagement	2	93,778
Neuro-ophthalmology/optic neuropathies	1	77,590
Ocular cancer	2	57,966
Public/patient involvement	1	35,727
Staff welfare/support	4	23,112
Education/training	5	8,926
Patient experience	4	6,650
Ocular motility/visual processing	1	1,406
Grand Total	63	6,258,986

Allocation of grants against funds

Our intention is to ensure greater use of restricted funds before unrestricted funds wherever possible.

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Communications activities

We have developed a new three year communications strategy (2022-25) responding to the organisation’s objectives. It outlines plans to raise our profile across online and offline channels with existing and new audiences as we get closer to the opening of Oriel.

We are implementing our digital communications strategy and content strategy. Website sessions have increased by almost 20% on the previous year, and we produced and shared new impact and funded web stories as well as over 25 films. We have completed user testing of the website to improve navigation and are giving a higher profile to patient stories.

Engagement has increased across all social media channels compared to the previous year and we are developing this further with our social media strategy. We sent out our sixth quarterly e- newsletter with consistently high open rates – double the sector average. We are learning from google analytics with monthly monitoring. We completed a tender process and appointed a digital agency in early 2022 to manage our google grant, paid search and social advertising, and are already seeing a return on our investment.

We continue to work closely with Moorfields Eye Hospital, UCL, Friends of Moorfields Eye Hospital and other partners on collaborations to raise the profile of the charity and our work.

Fundraising activities

We are extremely grateful for the generous support we receive from our patients, staff, friends, charitable trusts and foundations, and corporate partners. During the year we have received support through:

Major gifts from individuals, trusts and foundations, and companies.
Legacies, where individuals have made provision to remember Moorfields in their wills.
Individual donations, often received in response to a specific appeal.
Regular donations, usually received on a monthly basis.
Our winter raffle and weekly lottery.
Our bespoke events including our sponsored walk, Eye to Eye and Moorfields Tea.
Community fundraising such as cake sales, music concerts and skydives.
Challenge events including abseils, runs and bike rides.
Organisational partnerships.

Review of fundraising performance against objectives

Income raised by our fundraising team was £8.1 million (2021: £7.6 million). The table below compares performance against the budget for the year (target) and the performance for the prior year.

	2022	Target	% Target	2021	% Change
Donations	£3.60m	£3.84m	94%	£6.34m	(43.2%)
Events	£0.18m	£0.14m	128%	£0.14m	28.6%
Legacies	£4.19m	£2.00m	209%	£1.00m	319.0%
Raffle and Lottery	£0.08m	£0.10m	80%	£0.08m	-
Total	£8.05m	£6.08m	132%	£7.56m	6.9%

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Donations this year have been lower as 2021 included large donations towards the costs of Oriel. As we near the commencement of capital works we are expecting these donations to increase significantly and for the period of construction.

Events, including mass participation events, have increased in popularity as people have been able to congregate and participate following the end of lockdown restrictions.

Legacy income included an accrual of £3.6 million (2021: £0.7 million). Legacy income is unpredictable, and we are unable to control the amounts notified or receivable in any one year. We have seen an increase in the number of legacy notifications this year, as the Courts and estate managers have caught up on workload impacted in the previous years by the pandemic and office closures.

We continue to review and amend our fundraising practices and activities, ensuring that they consistently align with best practice in governance, regulation, stewardship and communications.

Investment activities

JP Morgan Private Bank Limited are the custodians of our total investments of £69.1 million (2021: £63.9 million). Our investment strategy for the Long term portfolio and the Oriel investment is to seek a total return while accepting a moderate level of risk; the objective being to provide positive real returns for the funds we hold to support our research projects, both now and in the future. The short term portfolio is cash and term deposits needed to meet near term requirements; known obligations to our beneficiaries; commitments towards the Oriel project and working capital.

Our investment values and structure are summarised as follows:

		31 March 2022	31 March 2021
		£’000	£’000
Long term portfolio	Investment funds	£50,125	£46,164
Oriel investment	Investment fund	£16,262	£10,602
Short term portfolio	Cash	£2,754	£7,128
Total		£69,141	£63,894

The Investment Committee provides detailed oversight of the performance of our investments and performance against our investment objectives. As part of that process the Committee conducts a rolling programme of meetings with the charity’s fund managers. Following the review of the investment strategy in 2021 and ongoing discussions with Stanhope Capital LLP, the Trustees have formally appointed Charles Franklin as an advisor to the Committee.

Long term portfolio

The long term portfolio is structured as three separate elements, managed by different investment managers, under the custody of JP Morgan. Following the strategic review of our investments in October 2020, with advice from Stanhope Capital LLP, we decided to have our portfolio managed wherever possible on a basis that explicitly incorporates sustainability considerations.

The transition to a long term portfolio focused on sustainability was completed in May 2021. Each element and manager has different investment objectives which, when combined, we consider can meet our long term investment objectives.

The table overleaf shows the changes, and how we have split the global equity investments between managers:

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Portfolio element	Sustainable portfolio	Previous portfolio
Real return/mixed assets (50%)	JP Morgan (ESG biased multi asset discretionary portfolio)	JP Morgan (multi asset discretionary portfolio)
Absolute funds/mixed assets (30%)	Troy (Trojan Ethical Investment Fund)	Troy (Trojan Investment Fund)
Global equities (20%)	i-Shares (54%) (World markets SRI ETF’s)	i-Shares (85%) (World markets ETF’s)
	i-Shares (6%) (Emerging markets SRI ETF’s)	i-Shares (15%) (Emerging markets ETF’s)
	Baillie Gifford (40%) (Positive Change Fund)

The values of the investments held at the year end are summarised below:

Investment Manager		31 March 2022	31 March 2021
		£’000	£’000
JP Morgan	Multi asset discretionary portfolio	£24,577	£23,406
Troy Asset Management	Absolute fund (multi asset with objective to achieve growth in real terms)	£15,224	£13,718
Baillie Gifford; i-shares ETF’s (2021: i-shares ETF’s)	Positive change fund; Global equity investments for a real return	£10,324	£9,040
Total		£50,125	£46,164

The total return for the financial year was an increase of 8.0% (2021: 19.6%%). Following the strategic review of our portfolio it was agreed to change the performance measure to CPI+3.5% over a rolling three-year period (from RPI+3.5%).

Our annualised three year return compared to our new performance measure, along with the ARC Charity Sterling Balanced Index on the same three year basis, are set out below:

	2022	2021
Annualised average three year return
Long term portfolio	7.5%	5.9%
CPI+3.5%	6.0%	5.4%
ARC Charity Sterling Balanced Index	5.7%	5.2%

Oriel investment

In 2020 it was agreed to place £10.0 million, formerly held as cash, with Troy Asset Management Limited for a period up to five years, hoping to achieve better returns than cash and with limited volatility. The decision was taken after assessing the amount of risk that could be taken considering the wider investment portfolio. JP Morgan are again the custodians of this investment. Two further £2 million donations have been invested, with the agreement of the donor and, in line with our investment policy, the whole Oriel investment was moved to the Trojan Ethical Fund in April 2021.

The portfolio achieved a return of 14.3% in the year (2021: 9.5%).

In view of the combined value of the money invested in the Trojan Ethical Investment Fund, the Trustees requested and received assurances around the rising value of the Fund and its liquidity.

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Short term portfolio

The short term portfolio is made up of cash and term deposit accounts held with JP Morgan. During the year £4.0 million of this cash, being money received towards Oriel, was placed with the Oriel investment.

Cash is maintained, with JP Morgan and with both our relationship bankers, to ensure we maintain liquidity of funds to meet grant commitments as they arise. We have ambitious plans for making grant awards and commitments in the coming years and we anticipate the need to transfer funds from investments into cash to meet these liabilities.

Reserves

The total funds of the charity at the end of the year were £64.3 million (2021: £58.0 million). Of these funds £7.5 million (2021: £6.5 million) were unrestricted funds.

The Trustees’ policy is to hold unrestricted reserves to cover planned operating expenditure for two years, enabling the charity to be resilient, in the event of a significant reduction in income which might otherwise result in the closure of the charity, and to continue to meet committed grant awards.

Having approved our ambitious plans to grow the grant-making ability and the income of the charity over the next five years we are committed to reviewing our reserves policy this autumn. This review will take into account our plans for growth, but also how we currently allocate expenditure to restricted and unrestricted reserves.

For 2022 the Trustees estimate the reserves requirement to be £6.0 million (2021: £5.0 million), calculated as being two years of running costs included in the budget for 2022/23. Actual reserves at the end of the year, being unrestricted funds less designated funds and intangible assets, were £7.3 million (2021: £6.4 million). Growth in all of our funds has been due largely to positive movements in investment values over the past two years, which in view of current and potential market volatility may not be the case every year. The Trustees have discussed this potential volatility, the ambitious plans we have in place for the next five years, and the aim to achieve the fundraising required for Oriel, and consider the higher than target level of unrestricted reserves as acceptable. The Trustees will continue to keep the amount of reserves under review.

Following the charity’s merger with Special Trustees in December 2015, funds which were formerly considered as unrestricted in Special Trustees are now restricted, as their objects are narrower than those of the charity. The Special Trustees restricted fund stands at £26.5 million at the end of the year (2020: £23.9 million).

Going concern

When considering our business plans each year we consider the impact of events such as major fluctuations in the investment markets and use this, along with other appropriate enquiries, to confirm we have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Our investment managers confirm our investments can be realised at short notice providing us with significant resources to meet our liabilities. Taking note of both our cash and investment position, we consider it is appropriate to continue to adopt the going concern basis in preparing the financial statements. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies note.

Acknowledgements

We would like to thank all of those people who have contributed to the charity’s continuing success:

the staff of Moorfields and of UCL, including those who applied for grants, and those who successfully received grants;
our charity engagement volunteers, Trustees, committee members and panel members;
the volunteer advisors who are members of board sub-committees and the scientific advisory panel;

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

the staff of the charity, including those who left us during the year. We wish them all well in their new roles and thank them for their hard work and support during their time with us.

With all of your support we are able to ensure that Moorfields and the UCL remain at the forefront of eye care and research worldwide and have the greatest possible impact on the global eye health agenda.

Our supporters

The charity would like to thank the growing number of individuals and organisations who have generously supported our work over the last year. We are extremely grateful to those individuals who generously choose to support the charity by remembering Moorfields Eye Charity in their will. The support we receive is vital and has a significant impact on our work to support Moorfields and the UCL Institute of Ophthalmology for the benefit of current and future patients of Moorfields.

We are particularly grateful to the individuals and organisations set out below, but also the many other supporters who would prefer to remain anonymous, who have supported us during the year.

The 29th May 1961 Charitable Trust Estate of the late Beryl Annie MacCallum Mr Masroor Ahmad Estate of the late Faridoon Madon Estate of the late Justine Louise Budenz Iva Marioni, in memory of her sister Elia Rosi Peter Butler Estate of the late Joan Neville Martin Simon Butler Brian and Jill Moss Charitable Trust Estate of the late William Archibald Cave NHS Charities Together Silvia Cerolini John and Margaret Nolan Estate of the late Anthony Wilfrid Billings Cogdon Oak Foundation Estate of the late Petros Nicolas Constantinides Thomas Pocklington Trust Eleanor A. Robbins

Danya Gluschove Corby and Gideon Corby in memory of Deborah Corby

EBM Charitable Trust Yair Einhorn & Naama Goldman Evans Management Limited Estate of the late Anne Patricia Fearnley Laura Fietta

Estate of the late Doctor Elaine Clare Ross Sir Alan Rudge The Basil Samuel Charitable Trust

Estate of the late Ann Rosemary Sayer

The Schroder Foundation and Family In Memory of Bruno Schroder

T F C Frost Trust Mr Gordon Gilby Mr Albert Hausammann, Hong Kong Mr Tim Henderson The Hobson Charity Estate of the late Hilma Rose Hocking The Sir Joseph Hotung Charitable Settlement Estate of the late Roy James Large

Scott (Eredine) Charitable Trust

Karel Sramek and Vera Sramkova

The Peter Stebbings Memorial Charity

Estate of the late (Doreen) Roberta Taylor The Michael Uren Foundation

Estate of the late Francis Thomas Webber

The Alexander Pigott Wernher Memorial Trust

The Miss Barbara Mary Wilmot Discretionary Trust

Mr and Mrs Stefanos Lekanidis

Jill Wilshaw

Moorfields Eye Charity Strategic report (continued) Year ended 31 March 2022

Thanks to your help we are able to:

Fund new equipment and pioneering research;
Support the training of current and future researchers and healthcare professionals;
Support the development of Moorfields’ staff to ensure the care they provide is outstanding;
Support public education about eye health;
Improve the experience for Moorfields’ patients and their families; and
Support Moorfields’ ambitious capital plans to create a world class integrated care, teaching and research facility in central London with its academic partner, UCL. for the impact of our long-term support on research, patient wellbeing and education.

Moorfields Eye Charity Governance Year ended 31 March 2022

Constitution

The charity is a company limited by guarantee (No. 7543237) and a charity registered with the Charity Commission (No. 1140679) and was formed on 3 March 2011.

Under a Charity Commission Scheme dated 31 December 2015, the assets of Special Trustees of Moorfields Eye Hospital (Regd. Charity No. 228064) (‘Special Trustees’) and its linked charities were transferred to the charity. As at 31 December 2015 the Special Trustees ceased to exist and the newly merged charity also became independent of the Department of Health, it no longer being an NHS-linked charity.

Objects and mission

The Objects of the charity as stated in its Articles of Association are as follows:

The relief of sickness or suffering, the advancement of health and the advancement of education and research in relation to health and health-related sciences by any charitable means for the public benefit in particular but without limitation by the support of charitable purposes relating to Moorfields Eye Hospital NHS Foundation Trust.

Our mission is improving eye health by funding innovation in research, education and care to benefit Moorfields’ patients. Our vision is that our support enables Moorfields and UCL to provide worldleading eye care, research and education benefiting patients across the UK and globally.

Charitable funds are typically used to support leading-edge research and education; purchase specialist equipment; develop better facilities for patients and the research infrastructure; fund specialist staff to care for patients, undertake research or carry out pioneering new roles; and fund the development and welfare of Moorfields staff.

Public benefit statement

The Trustees confirm they have paid due regard to the Charity Commission’s general guidance on public benefit and have complied with their duty under section 17 of the Charities Act 2011.

Charitable activities undertaken by the charity are the award of grants, details of which are set out throughout this report. The Trustees are satisfied that all such activities provide a public benefit, given the relationship the charitable expenditure has to the enhancement of current and future healthcare for patients with eye problems. To give more information we now produce our Impact Report which can be found at www.moorfieldseyecharity.org

Moorfields is the leading NHS eye hospital in the UK, seeing several hundred thousand patients a year and the contributions made by the charity go to help these patients receive better treatment. We want to make a difference to the lives of people with sight loss because we know how much people value their sight. Over two million people across the UK live with sight loss – with that number expected to double over the next thirty years. This is why we invest in life-changing eye research, the best patient care and innovative training at Moorfields.

About Moorfields Eye Hospital

Not only the leading provider of eye health services in the UK, Moorfields is a world class centre of excellence for ophthalmic research and education. The trust’s reputation for providing the highest quality of ophthalmic care has developed over 200 years.

Moorfields plays a leading role in the training and education of eye care professionals, integrating with strategic partners across its network to teach the eye specialists of the future. With their partners at the UCL Institute of Ophthalmology, they are a national and international centre for research into eye conditions and treatments, leading one of the strongest and most extensive ophthalmic research programmes in the world. Moorfields and the Institute have one of the highest measures of scientific productivity and impact in the world for eye research activity.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

Structure, governance and management

Structure

The Trustees who have served the charity during the year and since the year-end are set out on page 2. Moorfields has the right to appoint up to seven Trustees and there can be up to eleven further elected Trustees, provided always that the elected Trustees are in the majority. The Trustees appoint the Chairman (who must be an elected Trustee) and, from March 2021, a ViceChair. Michael Izza kindly agreed to act as our first Vice-Chair. Decisions are taken by a majority of Trustees present at regular meetings and procedures are in place to ensure that such decisions do not enable the appointed Trustees to exercise effective control.

Elected Trustees are recruited through open recruitment when vacancies arise and nominations are agreed by all Trustees. On appointment new Trustees undertake an induction process which includes the provision of necessary documentation, meetings with the Chief Executive, other senior charity staff and with senior members of Moorfields staff. The induction is designed to ensure that new Trustees understand the role of the charity and how it works to support Moorfields.

At our meeting in July 2021, we said farewell to David Probert, who was leaving Moorfields to take up the role of Chief executive with UCLH. We thanked David for all his work as a trustee and for his work as an outstanding Chief executive of the trust. He had arrived at MEH with a deep understanding of the role of philanthropy, and the importance of developing strong relationships between the charity and the management team of the hospital. David was praised for the tremendous progress which had been achieved with Oriel under his leadership and we wished David well in his future role at UCLH.

David’s departure allowed us to welcome Dr Martin Kuper in September 2021, as both a Trustee and as Chief executive at Moorfields. Martin was previously Deputy Chief Executive for Transformation, Chief Medical Officer, Responsible Officer and Chief Clinical Information Officer at London Northwest University Healthcare NHS Trust. Although originally focused on research in anaesthesia and critical care medicine, Martin became fascinated by the organisation of healthcare delivery and its impact on healthcare outcomes including enhanced recovery pathways, which delivered clinical and operational excellence, and improved both patient experience and financial efficiency– the ‘holy grail’ of healthcare improvement. Martin has led implementation of transformational change locally, regionally, and nationally.

As noted in our Welcome, Colin Maclean will be retiring after our meeting in July. Colin, who served as a Special Trustee and then as a Trustee of the charity since the merger in 2016, will be missed at our Board and committee meetings.

Committees

The Trustees have established a committee structure to support the Trustees in the governance of the charity. Each Committee has agreed Terms of Reference setting out their areas of responsibility and the limits of their delegated powers. Any Trustee may attend any committee meeting as an observer.

Each Committee is enabled to appoint volunteer advisers as members to support our decision making and enhance the level of experience and knowledge within the membership.

The Grants Committee is supported by a Scientific Advisory Panel, who consider applications for research and innovation funding. This is explained further in our process for awarding grants, below.

At each Investment Committee meeting there is a presentation on investment performance by at least one of the three investment managers. Joint meetings with the Audit and Risk Committee can be held to consider the risks in the investment portfolios, or to consider investment proposals.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

Dr Virginia Spence-Jones retired from the Board in December 2020 having been a trustee of the charity since May 2012. On her retirement from the charity, Virginia kindly agreed to continue her work with us by becoming our adviser for safeguarding to support the Audit and Risk committee.

The Remuneration and People Committee considers matters relating to human resources including policies, procedures, benefits and pay awards for all staff employed by the charity.

The Oriel Committee meets to consider progress on the development of the new facility and to review any implications for the charity.

The Nominations Committee was established in the year to consider membership of the Board and committees and to plan and oversee Trustee recruitment. Members of this committee are the Vice Chair and the Chairs of all other committees.

The committees, and members who served during the year, are set out below:

Audit and Risk	Fundraising	Fundraising	Grants	Investment	Oriel	Oriel	Remuneration and People
Tony Briam (Chair)	Professor Sir Eric Thomas (Chair)		Dr Lee-Ann Coleman (Chair)	Noland Carter (Chair)	Tony Briam (Chair)		Vicky Hastings (Chair)
Michael Izza	Andrew Ballheimer		Professor Carrie MacEwen	Vicky Hastings	Professor Sir Eric Thomas		Dr Martin Kuper
Colin Maclean	Alan Gosschalk		Dr Robert Jones	Mervyn Walker	Mervyn Walker		Colin Maclean
Dr Virginia Spence- Jones	Dr Martin Kuper		Miss Louisa Wickham				David Probert
Mervyn Walker	David Probert						Mervyn Walker
	Owen	Watkins
		Nominations Committee
Mervyn Walker (Chair)		Tony Briam		Noland Carter		Dr Lee-Ann Coleman
Vicky Hastings		Michael Izza		Professor Sir Eric Thomas

The Board is satisfied that the chairs and members of each committee have the competencies to ensure that the committees can discharge their responsibilities effectively.

We have noted the appointment of two Trustees-designate, Dr Jyotsna Vohra and Kevin McGrath, who will join our Oriel committee initially. We have also recruited four new volunteer advisers who will join our committees in the coming months:

We are delighted to welcome Kathy Taylor and Sylvia Hamilton to our Remuneration and People Committee. Kathy and Sylvia bring us experience and expertise from their professional careers as directors of human resources in commercial and charitable organisations.
Shachi Blakemore, as an audit partner at Buzzacott LLP with knowledge and experience of charity accounting, risk management and financial controls, will add to the skills available on our Audit and Risk Committee.
Marianne Toghill is a construction lawyer with Clifford Chance and has joined our Oriel Committee providing us with experience of large complex development projects.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

Governance and management

The Trustees have delegated day to day management of the charity to the management group comprised of the Chief Executive, supported by three senior staff. The management group all attend meetings of the Board, presenting papers and participating in our discussions.

The Chief Executive, who is also the Company Secretary, reports to the Trustees on all administrative aspects of the charity’s operations, and is also responsible for keeping the Trustees informed about charity and other relevant law and procedures. The Trustees and members of the management group attend relevant courses and seminars, to maintain the required skills for the proper governance and financial control of the charity.

Diversity

The Board and management group are made up as follows:

As at the date of this report	Total	Male	Female
Trustees (Directors)	14	9	5
Senior managers	4	2	2

Charity Governance Code

In 2021, we asked Moore Kingston Smith (MKS) to help us review our governance with particular consideration of the extent to which we are compliant with the Charity Governance Code. The Board performed well across the seven key principles in the code but we recognised the following areas for action:

The size of the Board exceeds that recommended by the Code. Our Articles of Association provide for up to 18 Trustees, made up of elected and appointed Trustees, and there are currently 14. When the charity merger took place in 2015 we wanted to ensure we retained the experience of the Trustees from both organisations and we expect over time there will be a reduction in the overall size of the Board to 12, whilst ensuring we retain a majority of elected Trustees.

We are developing our succession planning as our longest serving Trustees are nearing the end of their maximum terms in office. As explained in the Welcome from our Chair, we have two Trustees-designate appointed to support our committees in readiness for when they join the Board.

We recognised the need to broaden the diversity of our Board and this is a key principle in our succession planning for the Board and our Committees.

Recognising the importance of greater diversity amongst Trustees, we have set targets for greater diversity in terms of gender, ethnic background and lived experience of sight loss. The targets for diversity by 31 December 2024 are:

15% of the board would be from a BAME background (currently 0, 0%)
15% of the board would be visually impaired or have a close family or personal experience of visual impairment (currently 1, 7%)
45% of the board would be women (currently 5, 36%)

We have agreed an additional aim to appoint younger Trustees, to be under 40 at the time of appointment (currently 1, 7%).

The same approach is being applied to the appointment of non-trustee members to board sub-committees. Our recruitment advisors, Nurole, are supporting us in our ambitions through their marketing and candidate selection.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

We established a Nominations Committee whose first issue to be considered was the establishment of the Vice-Chair role.
Michael Izza has agreed to act as Vice-Chair and this appointment was made in March 2021.

In line with our governance review action plan, this year we carried out a board effectiveness review, the first we have done with external support. This was again provided by MKS and we would like to record our thanks to Sally Knight and Luke Holt for the quality of the work they undertook with us. In summary MKS concluded :

“The charity’s board is highly effective … and that the board - and senior management team is demonstrating lots of best practice, and that in other areas, [they] know what needs to be done and have well thought through plans in place.”

Whilst the conclusions were positive, the board accepted recommendations for further improvements and has agreed an action plan to address these over time. The action plan picks out each of the 60 specific recommendations made by Moore Kingston Smith in their covering report, and then proposes an action, lead responsible person and a suggested target date for action.

Process for awarding grants

Research, innovation and equipment grants, up to £400,000, are awarded by the Grants Committee using its delegated powers. Awards are made after applications have been processed through the applicable framework. This will include assessment for remit and eligibility by the charity’s research and grants team, then as necessary; review by external peer reviewers, the charity’s scientific advisory panel or agreed scientific advisers.

Other grant-making activities include patient welfare and staff support grants which are considered and approved for funding by the Grants Committee or, under delegated authority, by the Chief executive or Chair of Trustees.

Where grant applications are funded from donations that are restricted to the purpose(s) outlined in an agreement with a donor, the applications are managed through a review and decision making process based on the level of funding and purpose requested. This process involves, as appropriate, external peer review, the Scientific Advisory Panel, the Grants Committee and the Chief Executive. The Director of the UCL Institute of Ophthalmology and Director of Research and Development, Moorfields Eye Hospital provide strategic and institutional review but are not part of the decision making process.

The Panel is chaired by Professor Miles Stanford and the other independent Panel members serving during the year were:

serving during the year were:
Dr Julie Albon (Cardiff University)	Professor Irene Gottlob (Leicester University)	Professor Michael Paques (Institut de la Vision, Paris)
Professor Matthew Campbell (Trinity College Dublin)	Professor Breandán Kennedy (University College Dublin)	Professor Enrica Strettoi (Institute of Neuroscience, Pisa)
Professor Chris Dickinson (Manchester University)	Professor Ann Moore (University of Brighton)	Professor Robin Walker (Royal Holloway)
	Professor Luminita Paraoan (University of Liverpool)	Professor Chris Watkins (Royal Holloway)

External peer review is normally carried out on applications over £50,000. The Trustees retain the right to request external independent review of any application.

All funding decisions are formally recorded at a Grants Committee meeting.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

The Panel meets three times a year and considers applications in order to provide funding recommendations to the Grants Committee. The Panel also considers innovation grants on a rolling basis.

Fundraising approach and our supporter promise

We are extremely grateful for the generous support we receive from our supporters, patients, staff, friends, charitable trusts and foundations, and corporate partners. This support enables the funding of new equipment and pioneering research. It also supports the training of current and future researchers and healthcare professionals, development of Moorfields’ staff to ensure the care they provide is outstanding, public education about eye health, and improving the experience for Moorfields’ patients and their families. In addition, it supports our key strategic priority to work in partnership with Moorfields and UCL to create Oriel, a new world class integrated centre for advancing clinical care, teaching and research in 2026-27.

We are committed to providing our supporters with the very best donor care. We want our supporters to feel that their support is recognised and valued and that they are kept updated on how charitable support is helping to shape the future of eye care. Our supporters are critical to our success. We are fully committed to being transparent and accountable to them. We actively ask our supporters how they would like to hear from us and what they would like to hear about ensuring that our communications are targeted and of interest.

Our relationship with our supporters is of the utmost importance to us and is reflected in our supporter promise:

We value your donations and will keep you informed

We value every gift we receive, large and small, and seek to acknowledge and send thanks for all donations in a timely manner unless you specifically ask us not to.
We will be transparent about how we use your donations and we will always put your gift to work as quickly as we can.
We will share news about Moorfields and UCL, the hospital’s academic partner. We will also keep you informed about how charitable donations are benefitting patients and people with sight problems further afield.

We respect your right to privacy

We rely on legitimate interest to send marketing materials by post. In addition, in line with your preferences, we may communicate with you by post, email, text or telephone. If we phone you, we will always check first that you are happy to speak to us and that it is a convenient time to call.
We will respect your wishes, so if you ask us not to contact you, we won’t, unless it’s a legal requirement.
We only allow authorised agents who work on our behalf to access your personal data and will never exchange your details with, or sell or rent your data to, any other commercial or charitable organisations. We have a Data Protection Policy (DPP) in place, detailing the ways in which the charity may process your data and how you can manage this. Our DPP can be viewed on our website and information on how we process data is available on request.

We will take accountability for our actions

We will always take action if any external supplier acting on behalf of Moorfields Eye Charity fails to meet our standards.
When we get things wrong, we will be up front about our mistakes, apologise and act quickly to fix them.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

Our fundraising activity is focused on the following key areas:

Major gifts from individuals (both from existing and new supporters (both from within and outside our current supporter and peer networks)), charitable trusts and foundations (through peer links, existing relationships, and through formal application procedures), and companies (through registered giving vehicles, via staff engagement, through formal application procedures and through peer links) with an interest in our work at a significant financial level.
Legacies, through raising awareness around gifts in wills (both to existing supporters, visitors to the hospital and promoted to the wider public through our website and social media channels), keeping in touch with known legacy pledgers (with events such as the legacy afternoon tea and through our Visionaries circle, for legacy pledgers), and through the ongoing development of an engagement programme for those who have told us that they have, or intend to, remember Moorfields in their wills.
Individual donations, often received in response to specific appeals (targeted at existing supporters and friends) or through awareness raising of the charity undertaken by Moorfields Eye Hospital to its patients, visitors and trust membership.
Regular donations, usually received on a monthly basis.
Our winter raffle (marketed to existing supporters, through the charity’s website, patients and staff and to the wider public through our social media channels).
Eye to Eye, our flagship bespoke sponsored walk (marketed to existing supporters, through the charity’s website, patients and staff, and promoted to local schools and businesses, and to the wider public through our social media channels).
Community fundraising, providing support, information and stewardship for people wishing to raise funds independently for the charity through events they organise themselves such as cake sales, music concerts and skydives.
Challenge events including nationally organised runs and bike rides.
Organisational partnerships including sponsorship and the donation of products for our fundraising events.

Our activities, and the processes which underpin them, are conducted under the legal basis of either consent or legitimate interest, as outlined in our data protection and fair processing policies.

We are committed to continually developing and enhancing our supporters’ engagement and experience with Moorfields Eye Charity and to exploring new and innovative ways of generating funds, so that together, we can continue to support Moorfields to discover, develop and deliver the best eye care.

Fundraising regulation and complaints

We hold ourselves to the highest standards and best practice in all the activity we undertake to both raise funds and communicate with supporters. We are aware of the need to protect vulnerable persons in any fundraising we undertake and are continually taking steps to ensure our fundraising approach takes this into account. We continually review our methods of fundraising and communications to ensure that our approaches are appropriate, that we provide our supporters with the very best donor care and that we are compliant with both best practice and legislation.

We are a member of the Fundraising Regulator and fully comply with all relevant laws including the Data Protection Act 1998, the General Data Protection Regulation, and the Privacy and Communications Regulations 2003. We also screen against the Fundraising Preference Service.

We always strive for best practice in our fundraising and take complaints very seriously. Between 1 April 2021 and 31 March 2022, we received one complaint about fundraising activity we undertook (2021: two). Each complaint is investigated and answered in an appropriate and timely manner in

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

line with the charity’s complaints policy. All our complaints are reported to the charity’s fundraising committee and in summary to the audit and risk committee.

Risks and uncertainties

The Trustees consider the major strategic, business and operational risks that the charity faces. During the year the Trustees have continued to review the Risk Policy and the methodology for recording and assessing risks faced by the charity. Regular reports are produced so that all necessary steps can be taken promptly to raise awareness and to manage any risks.

In the previous year, like many other organisations, we were impacted by the outbreak of the coronavirus pandemic. We supported our staff to enable them to work from home and have continued to adopt hybrid working arrangements. We have reintroduced those procedures of internal control that had been relaxed to allow working totally from home. We have not seen any instances of weakness or malpractice.

Our commitment to the development of Oriel is subject to many potential development, financial and political risks. The progress made in the financial year towards the creation of the new facility, including support from the public and both central and local government, is testament to the quality of submissions made to date. A key factor in how we plan our finances and our investment management, will be the date that construction commences. This date is a key trigger for the receipt of some of our major pledges and will allow us to begin to meet our fundraising challenge. We continue to monitor the risks and provide support to our partners as they focus on designing a fit-for-purpose, truly integrated new facility. It will enable the impact of new technologies and advances in research, bringing quicker diagnoses and new treatments to patients in the UK and around the world.

Our income is subject to the risk of volatility. We rely on the generosity and philanthropy of individuals and organisations for our fundraising; and our legacy income can never be predictable by its very nature. We work hard to engage with our supporters and explain our work to show how their generosity has a positive impact for people’s eye health. In this way we aim to maintain and grow our levels of support. We are always grateful where people have told us they wish to remember us in their will and when the time comes we are careful to recognise as income only those amounts that we can be sure will be received.

Other than grant awards, the most significant expenditure incurred each year is in relation to staff costs. The charity faces the risk of increasing costs through salary pressure, as well as rises in the purchase price of other supplies. The risk of inflation has become a more acute risk in recent months, following a number of years of reduced volatility. Salaries are set at the start of each year and where practical the price of other supplies is agreed in advance through the use of supplier quotations and tendering.

The major assets of the charity are the fixed asset investments. We accept a moderate degree of risk to achieve the levels of return we look to achieve. Market conditions for our investment portfolio remain volatile and uncertain but the Investment Committee works with our investment advisors and investment managers to ensure that we are able to react to significant unforeseen events.

The charity monitors the fundraising and data protection regulatory environment and continues to review and revise policies to ensure we meet any new requirements and to minimise the impact of changes on our operating activities.

Environment, employees and social, community and human rights issues.

The charity follows the Moorfields policies on the environment, employees and social, community and human rights issues. With the help of all our staff we have developed and produced a full range of human resources policies and our own staff handbook.

We are based and operate in the hospital and receive environmental and estates services from Moorfields under a service level agreement. Moorfields is working to measure and reduce the carbon footprint of the buildings we occupy, the aim being to achieve a sustainable, low carbon

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

organisation that is managed effectively and efficiently, achieving value for money with a reduced environmental impact. This ambition is in support of the wider ambition of the NHS to reduce their carbon footprint.

During the year we also restructured our investment portfolio to incorporate a greater and more integrated focus on sustainability, because we believe that this will be both financially beneficial and align with the charity’s purpose.

The Trustees aim to ensure investments are managed in a responsible manner, looking to integrate environmental, social and governance issues into investment decision making, including the appointment of suitable third-party managers, and prioritising managers who engage in ongoing stewardship with their investee companies. The Trustees believe that well-run companies which promote sustainable environmental, social and governance policies will ultimately deliver aboveaverage long term returns to their investors and therefore consider that this approach is consistent with maximising its long-term investment performance.

The Trustees, working with the investment managers and advisers, established a structure for the long term portfolio that:

Includes negative screening of companies that generate revenues from tobacco and other ethically/socially unacceptable areas of activity;
Includes portfolios that are biased towards companies with good environmental, social and governance policies and practices or providing solutions for society’s problems;
Considers impact investments focussing on companies providing solutions for society’s problems, with emphasis on social impact rather than financial return.

Our investment managers acted on our request to move towards this sustainable investment approach and by 31 May 2021 we had moved as much of our investments as possible towards this basis. We continue to monitor progress as further sustainable investment opportunities become available across all our investments. We are proud to be amongst those charities achieving social as well as financial returns from investments.

In March 2022 we undertook our fifth annual survey of our employees. We again used Birdsong, and the same survey questions, to enable comparison of our results with those of previous years, of all charities and the results of the top performing charities. We asked for the wellbeing and pandemic related questions to be repeated to allow us to understand any changes. We use outcomes and learning from these surveys to develop and implement plans to meet key areas of concern that are raised.

In their findings report, Birdsong tell us:

“As was observed in 2021, Moorfields Eye Charity continues to cultivate a strongly engaged workforce and retain impressive levels of staff satisfaction across almost every area of working life. The charity continues to perform extremely well against Birdsong’s Charity Pulse benchmark and also, even more notably, against the Top Performers benchmark – a benchmark which takes the results from the top 40 scoring organisations across all of Birdsong’s surveys for the past three years. In fact, Moorfields Eye Charity is again this year (now for four years’ running) itself one of the very highest performing organisations across all of Birdsong’s surveys.

Two ‘overall barometer’ key-indicator questions – ‘my morale at work is high’ and ‘I am comfortable being myself at work’ – significantly outperform even the Top Performers benchmark, illustrating just how well Moorfields Eye Charity is doing in terms of overall staff engagement.”

We still have some areas to look at and we will work on these in the coming months. We will be considering the full results at our meeting in July 2022, but we are very proud of how we compare against the benchmarks.

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

Remuneration

The Remuneration and People Committee has responsibility for considering all aspects of remuneration for the charity, providing recommendations to the Board where necessary. Under our remuneration policy we aim to pay our staff fairly for the work they carry out with reference to their skills and experience and to pay competitive market-median salaries in the charity sector for staff who are fully competent performers.

The policy specifies that from time to time we will commission a formal and substantive benchmarking of remuneration. In 2020 we had carried out an independent evaluation and benchmarking of all our job descriptions, establishing where our salaries compared with other charities of our type, size and location. The results showed our salaries were comparable with our market and at or near the median for comparators. We are pleased to know the salaries we pay are fair. The next review is due to be carried out in November 2022.

We introduced a competency pay progression scheme from April 2020, enabling appropriate pay for staff who progress in their specific role from entry level to experienced and fully competent performers.

The decision to award any overall increase in salaries is made by the committee on behalf of the Board taking account of a wide range of different factors including: affordability; overall financial viability and any financial constraints influencing the charity; our performance as an organisation; and the external market, including inflation, wider economic conditions and pay awards.

Decisions on the salary of members of the management group are taken by the committee on the recommendation of the Chief executive, other than in respect of his own salary.

We aim to operate a fair and transparent pay system based on objective criteria and free from gender bias. As part of our commitment, we believe it is appropriate to show ratios relating to salary fairness each year, despite having no requirement to do so because of the size of our workforce. The small number of employees means we can see volatility in our ratios, with small changes in a year creating wide variations in the results.

The remuneration ratio (defined as the multiple between the highest pay to median pay), is widely considered to be a good indicator of pay fairness. Basing our information on 31 March each year, the median salary for our staff is calculated as £40,325 (2021: £34,900). We are not a service delivery charity, and we employ a relatively higher number of medium/higher paid specialist staff, which gives us a relatively high median compared with the charity sector as a whole. The highest salary in the year (which was paid to the Chief Executive) was £113,809 (2021: £109,326), which gives the Charity’s remuneration ratio as 2.82:1 (2021: 3.13:1).

Another measure of pay fairness is Low Pay/High Pay Remuneration ratio. The most common calculations are:

Compare the mean of the lowest paid 10% of staff with the mean of the highest paid 10%. We have used the three highest and three lowest for our calculations giving a ratio of 4.0:1 (2021: 4.2:1).
Compare the lowest with the highest paid member of staff, giving a ratio of 4.97:1 (2021: 5.22:1).
Comparing the median salary for male staff with the median for female staff gives a gender pay ratio of 0.94% (2021: 1.00%).

Moorfields Eye Charity Governance (continued) Year ended 31 March 2022

The proportion of women employed in each pay quartile is as follows:

	Women as percentage of all staff	Women as percentage of all staff
Quartile	2021	2022
Top quartile (highest paid)	67%	67%
Upper middle	86%	89%
Lower middle	71%	60%
Lower quartile (lowest paid)	71%	83%
All staff	74%	77%

Appointment of auditors

ln accordance with the Companies Act 2006 a resolution proposing the reappointment of Haysmacintyre LLP as auditors for the year ended 31 March 2023 will be put to the members.

Disclosure of information to auditors

Each of the persons who are Trustees at the time when this Trustees' report is approved has confirmed that:

so far as that trustee is aware, there is no relevant audit information of which the charitable company’s auditors are unaware, and
that trustee has taken all the steps that ought to have been taken as a trustee in order to be aware of any relevant audit information and to establish that the charitable company’s auditors are aware of that information.

In signing this report Trustees are approving the strategic report in their capacity as company directors.

Approved by the Trustees on 11 July 2022 and signed on their behalf by:

Mervyn Walker

Chairman

Moorfields Eye Charity Statement of Trustees responsibilities Year ended 31 March 2022

The Trustees (who are also directors of Moorfields Eye 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 (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period.

In preparing these financial statements, the Trustees are required to:

select suitable accounting policies and then apply them consistently;
observe the methods and principles of the Charities SORP;
make judgments and accounting estimates that are reasonable and prudent;
state whether applicable UK Standards 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 charitable company will continue in operation.

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company and the group's transactions and disclose with reasonable accuracy at any time the financial position of the charitable company and 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.

The Trustees are also 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.

Moorfields Eye Charity

Independent Auditor’s report to the members and trustees of Moorfields Eye Charity Year ended 31 March 2022

Opinion

We have audited the financial statements of Moorfields Eye Charity for the year ended 31 March 2022 which comprise which comprise the Statement of Financial Activities, the Income and Expenditure Account, Balance Sheet, Statement of Cash Flows, and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

give a true and fair view of the state of the charitable company’s affairs as at 31 March 2022 and of the charitable company’s net movement in funds, including the 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 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 Welcome from the Chair, Introduction from the Chief executive, and the Trustees’ Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

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.

Moorfields Eye Charity

Independent Auditor’s report to the members and trustees of Moorfields Eye Charity Year ended 31 March 2022

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 Trustees’ Report (which includes the strategic report and the directors’ report prepared for the purposes of company law) for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors’ report included within 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 charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Report (which incorporates the strategic report and the directors’ 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 by the charitable company; or
the charitable company 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 for the financial statements

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

In preparing the financial statements, the Trustees are responsible for assessing the 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.

Auditor’s responsibilities for the audit of the financial statements

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

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Based on our understanding of the charitable company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to the Companies Act 2006 and the Charities Act 2011, and we considered the extent to which noncompliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006 and the Charities Act 2011, and other factors such as compliance with legislation in relation to payroll tax and fundraising regulations.

Moorfields Eye Charity

Independent Auditor’s report to the members and trustees of Moorfields Eye Charity Year ended 31 March 2022

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to revenue recognition. Audit procedures performed by the engagement team included:

Inspecting correspondence with regulators and tax authorities;
Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulation and fraud;
Evaluating management’s controls designed to prevent and detect irregularities;
Identifying and testing journals, in particular journal entries posted with unusual account combinations, postings by unusual users or with unusual descriptions; and
Challenging assumptions and judgements made by management in their critical accounting estimates including reviewing the accuracy of income recognition in the year and accruals made for legacies receivable at 31 March 2022.

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 charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an Auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members, as a body, for our audit work, for this report, or for the opinions we have formed.

Steven Harper (Senior Statutory Auditor)

For and on behalf of Haysmacintyre LLP, Statutory Auditor

10 Queen Street Place London EC4R 1AG

15 July 2022

Moorfields Eye Charity

Statement of financial activities Year ended 31 March 2022

__________
Note
Income and endowments from:
Donations
2
Legacies
2
Events
2
Other trading activities:
2
Raffles and lottery
Grants receivable
Royalties and other income
Investment income
2
Total income and endowments
2
Expenditure on:
Raising funds:
Fundraising
3
Investment management
3
3
Charitable activities
3
Governance and support costs
3
Total expenditure
Net income/(expenditure)
before investment gains and
losses
Net gains/(losses) on
investments
8
Net income/(expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
14

___________
Unrestricted
Restricted
Endowment
2022
2021
funds
funds
funds
total
total
£’000
£’000
£’000
£’000
£’000
777
2,824
1
3,602
6,342
1,002
2,962
229
4,193
1,004
167
15
-
182
135
77
-
-
77
79
-
310
31
341
-
4
-
-
4
24
27
170
41
238
240
2,054
6,281
302
8,637
7,824
778
453
-
1,231
1,094
31
152
48
231
205
809
605
48
1,462
1,299
39
5,587
5
5,631
4,376
391
172
-
563
576
430
5,759
5
6,194
4,952
1,239
6,364
53
7,656
6,251
815
(83)
249
981
1,573
183
4,768
290
5,241
8,488
998
4,685
539
6,222
10,061
39
(39)
-
-
-
1,037
4,646
539
6,222
10,061
6,480
45,027
6,538
58,045
47,984
7,517
49,673
7,077
64,267
58,045

The accounting policies and notes on pages 36 to 56 form part of these financial statements.

Full comparatives for the year ended 31 March 2021 are included at Note 17.

Moorfields Eye Charity

Income and expenditure account Year ended 31 March 2022

All Income Funds Note Income Donations Legacies Events Other trading activities: 2 Raffles and lottery Grants receivable Royalties and other income Interest and Investment income 2 Gains on investments 8 Gross income in the year 2 Expenditure on Raising funds 3 Charitable activities 3 Losses on investments Total expenditure in the year Net income for the financial year	2022 Total £’000 3,601 3,964 182 77 310 4 197 4,951 13,286 1,414 6,189 - 7,603 5,683	2021 Total £’000

		6,342
		1,195
		135


		79

		24

		197

		7,456
		15,428



		1,254
		4,941
		-

		6,195

		9,233

The accounting policies and notes on pages 36 to 56 form part of these financial statements.

company number: 7543237

Moorfields Eye Charity

Balance sheet Year ended 31 March 2022

_____ Note Fixed assets Investments 8 Intangible assets 9 Current assets Debtors 10 Cash held in investment portfolio 8 Cash at bank and in hand Total current assets Liabilities Creditors: Amounts falling due within 1 year 11 Net current assets/(liabilities) Creditors: Amounts falling due after more than 1 year 12 Total net assets Funds Total funds 14	________ Unrestricted Restricted Endowment 2022 funds funds funds total £’000 £’000 £’000 £’000 4,148 55,314 6,925 66,387 21 - - 21	__
		2021
		total
		£’000


		56,723
		80
	4,169 55,314 6,925 66,408	56,803
	1,066 2,596 155 3,817 1,063 1,502 189 2,754 1,482 1,520 46 3,048


		971
		7,171
		3,361
	3,611 5,618 390 9,619 (254) (7,410) (194) (7,858)
		11,503


		(6,084)
	3,357 (1,792) 196 1,761 (9) (3,849) (44) (3,902)
		5,419

		(4,177)
	7,517 49,673 7,077 64,267

		58,045
	7,517 49,673 7,077 64,267



		58,045

The accounting policies and notes on pages 36 to 56 form part of these financial statements.

Full comparatives for the year ended 31 March 2021 are included at Note 18.

The financial statements were approved and authorised for issue by the Board of Directors and were signed on its behalf by:

Mervyn Walker Chairman

11 July 2022

Moorfields Eye Charity

Cashflow statement Year ended 31 March 2022

Cash flows from operating activities Net cash (used in)/ provided by operating activities Cash flows from investing activities Dividends and interest from investments Net movement of assets within investment portfolio Development of fixed assets Purchase of long term investments Net cash (used in)/ provided by 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 accounting period	Total funds 2022 £000 (555) 238 (182) - (4,231) (4,175) (4,730) 10,532 5,802	Total funds
		2021 £000

		2,750


		240
		239
		-
		-

		479

		3,229

		7,303
		10,532

Reconciliation of cash flows from operating activities

Net income for the period as per SOFA Adjustments for: Gains on investments Dividends and interest from investments Amortisation (Increase)/ decrease in debtors Increase in creditors Net cash (used in)/ provided by operating activities Analysis of cash and cash equivalents Cash in hand Cash held as part of the investment portfolio Total cash and cash equivalents	Total funds 2022 £000 6,222 (5,241) (238) 59 (2,846) 1,489 (555) Total funds 2022 £000 3,048 2,754 5,802	Total funds
		2021 £000
		10,061

		(8,488)
		(240)
		59
		398
		960
		2,750

		Total funds
		2021 £000

		3,361
		7,171

		10,532

The accounting policies and notes on pages 36 to 56 form part of these financial statements.

Moorfields Eye Charity

Notes to the financial statements Year ended 31 March 2022

1 Accounting policies

a) Basis of preparation

The financial statements are prepared under the historical cost convention as modified to include the revaluation of investments at market value, and in accordance the Statement of Recommended Practice for Charities (SORP 2019) (Second Edition, effective 1 January 2019) and applicable accounting standards (FRS 102). Moorfields Eye Charity meets the definition of a public benefit entity under FRS102.

The accounts are prepared in pounds sterling rounded to the nearest thousand.

b) Going concern

The Trustees consider that there are no material uncertainties regarding the charity’s ability to continue as a going concern. Using cash flow projections, based on monthly cash flows in the budget for 2022/23, the Trustees consider current assets are sufficient to meet the cash flows required to meet current liabilities. In addition the charity investments are sufficiently liquid to meet future challenges and commitments.

c) Critical accounting judgements and estimates

In preparing these financial statements, management has made judgements, estimates and assumptions that affect the application of the charities accounting policies and the reported assets, liabilities, income and expenditure and the disclosures made in the financial statements. Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Judgements have been made in respect of the valuation of legacy income accrued at the year end; and the rate used to discount the value of grant liabilities due in more than one year. These judgements are explained fully at (i) and (k) below.

d) 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.

e) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments, including trade and other debtors and creditors are initially recognised at transaction value and subsequently measured at their settlement value.

f) Creditors and provisions

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.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

1 Accounting policies (continued)

g) Foreign currency translation

The charity’s functional and presentation currency is pounds sterling. Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are recorded at the rate ruling at the date of the transaction. All differences are recognised in the Statement of financial activities

h) Income

Income is included in the Statement of financial activities as soon as all conditions for receipt have been met - including entitlement, probability of receipt and measurement of the amount.

i) Legacies

In line with our income policy, legacy income is accrued at the balance sheet date if it can be shown there is an entitlement to the funds, if there is probability of receipt and the amount can be fairly measured. Only where all three of these factors can be satisfied is an amount included for the year. Legacy notifications and receipts are reviewed up to the date of the approval of the accounts and the results are adjusted if the likely receipt is considered material and there is evidence that we were entitled to the income at the year end.

j) Expenditure

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 benefit will be required in settlement and the amount of the obligation can be measured reliably.

k) Grants payable and reserves

Grants payable are recognised in the financial statements, on an accruals basis, when the charity has incurred a constructive or legal obligation to make a grant. The charity makes multi-year grants, often dependent on multi-year income pledges. This sometimes results in restricted funds being in deficit pending the receipt of pledged income.

Following guidance in SORP 2019, grant liabilities accounted for as creditors falling due after more than one year from the balance sheet date have been discounted to their net present value. A discount rate of 5.4% (2021: 4.9%) was used, being the rate of total return expected on the charity’s long term investment portfolio, adjusted for equity risk, and included in the budget for 2022/23.

The amount spent on grants in any year is related to the reserves policy of the Trustees, which seeks to maintain a maximum level of unrestricted funds. This allows the charity to maintain its working capital, which provides a regular flow of investment income for grants in future periods. As required by FRS 102, long term liabilities have been discounted to present value as the impact of discounting is material.

l) Governance and Support Costs

This includes all expenditure, including salaries, relating to activities that are not directly related to fundraising or the management of grants and research.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

1 Accounting policies (continued)

m) Investments

Investments are shown at market value. Changes in value during the year, whether realised or unrealised, are included in the Statement of financial activities. Investment managers are appointed to manage the portfolios as common investment funds on a discretionary basis. The Trustees do not dictate changes to individual funds within the portfolios. The Trustees choose to disclose investments or withdrawals in relation to the portfolios but not individual acquisitions and disposals within the common investment funds. Investment management costs are shown as a cost of generating funds.

n) Tangible fixed assets and depreciation

Assets costing more than £5,000 are capitalised. Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment.

Depreciation is provided at rates calculated to write off the cost of the assets, less any residual value, over their expected useful lives.

o) Intangible fixed assets and amortisation

Intangible fixed assets are carried at cost, net of amortisation and any provision for impairment.

Amortisation is provided at rates calculated to write off the cost of the assets, less any residual value, over their expected useful lives. The intangible assets of the charity are the costs of developing the grants management and fundraising database and software. These are amortised over the period of the initial licence period, being four years, from July 2018 when the system became operational.

p) Assets in the course of construction or development

Where tangible or intangible assets are in the course of construction or development at the year end, the costs incurred to the balance sheet date are shown as fixed assets.

q) Fund structure and objects

All funds are used for the main Objects of the charity. The main categories of funds are:

Restricted – trusts created by donors with specific objects or linked charities;
Expendable endowment – unrestricted incoming resources exceeding £500,000 received by the Special Trustees prior to December 2015 and which were not expected to be spent within one year. This was a reporting concession allowed for NHS charities at that time;
Unrestricted – resources that can be used by the Trustees at their discretion; and
Designated – unrestricted funds for which the Trustees have set a specific purpose.

r) General information

Moorfields Eye Charity is a company registered in England and Wales (company number 7543237). Its registered address is set out on page 2. Its objects are set out on page 16.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

2 Income and endowments from Donations Individual giving Major gifts Legacies Events Raffles and lottery Grants receivable Royalties and other income Investment portfolio Interest on bank accounts	Unrestricted Restricted Endowment 2022 Unrestricted Restricted Endowment 2021 funds funds funds total funds funds funds total £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 458 428 - 886 697 120 - 817 319 2,396 1 2,716 118 5,407 - 5,525
	777 2,824 1 3,602 815 5,527 - 6,342 1,002 2,962 229 4,193 463 732 (191) 1,004 167 15 - 182 122 13 - 135 77 - - 77 79 - - 79 - 310 31 341 - - - - 4 - - 4 24 - - 24
	2,027 6111 261 8,399 1,503 6,272 (191) 7,584 26 170 41 237 31 162 43 236 1 - - 1 4 - - 4
	2,054 6,281 302 8,637 1,538 6,434 (148) 7,824

The executors of an Estate accrued for in 2020 requested the legacy be changed from endowment funds to restricted funds, giving rise to the reversal in 2021.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

______ Cost of Charitable Raising activities funds £’000 £’000 4,763 - 436 - 126 - 64 - 19 -	_______ Governance and support costs £’000 - - - - -	___ 2022 total £’000 4,763 436 126 64 19	_______	________
				Cost of Governance
			Charitable	Raising and support 2021
			activities	funds costs total
			£’000	£’000 £’000 £’000

			2,729	- - 2,729
			1,102	- - 1,102
			199	- - 199
			1	- - 1
			157	- - 157
5,408 - 21 - - - - 59 - - - - 171 775 31 396 - 232	- - 18 - 6 47 408 84 -	5,408 21 18 59 6 47 1,354 511 232	4,188	- - 4,188

			18	- - 18
			-	15 - 15
			-	59 - 59
			-	- 8 8
			-	- 6 6
			148	688 426 1,262
			22	347 121 490
			-	205 - 205
5,631 1,462	563	7,656	4,376	1,299 576 5,156

Grant commitments are net of commitments unused and released in the year as well as net present value adjustments for the current and prior year. More details are shown in Note 13. As grant commitments are the charity’s main charitable activity, governance and support costs have not been allocated to grant commitments but are shown separately in the Statement of financial activities.

The cost of time spent by governance and support staff on fundraising is allocated to the cost of raising funds based on an assessment of time spent on that activity. Fundraising, governance and support costs are allocated to the charity’s unrestricted, Oriel and Special Trustees funds based on an assessment of time spent on that activity.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

4 Staff costs

The total cost for the year was £1,354,000 (2021: £1,262,000) made up as follows:

Salary cost Employer NI contributions Pension contributions Cost of staff employed by the charity Cost of services provided by Moorfields and other suppliers Total staff costs(Note 3)	Cost of Governance Cost of Governance Charitable Raising and support 2022 Charitable Raising and support 2021 activities funds costs total activities funds costs total £000 £000 £000 £000 £000 £000 £000 £000 141 658 349 1,148 122 586 346 1,054 15 69 37 121 13 62 39 114 15 48 20 83 13 40 18 71
	171 775 406 1,352 148 688 403 1,239 - - 2 2 - - 23 23
	171 775 408 1,354 148 688 426 1,262

Salary cost
Employer NI contributions
Pension contributions
Cost of staff employed by the
charity
Cost of services provided by
Moorfields and other suppliers
Total staff costs(Note 3)

Cost of
Governance
Cost of
Governance
Charitable
Raising
and support
2022
Charitable
Raising
and support
2021
activities
funds
costs
total
activities
funds
costs
total
£000
£000
£000
£000
£000
£000
£000
£000
141
658
349
1,148
122
586
346
1,054
15
69
37
121
13
62
39
114
15
48
20
83
13
40
18
71

171
775
406
1,352
148
688
403
1,239
-
-
2
2
-
-
23
23

171
775
408
1,354
148
688
426
1,262

Staff numbers

taff numbers
Staff employed by the charity Staff provided by Moorfields and other suppliers	Average FTE for year Average for year As at 31 March 2022 Average FTE for year Average for year As at 31 March 2021 26 28 26 25 28 23 - - - - - 1
	26 28 26 25 28 29

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

5 Staff costs (continued)

Salary bandings

The number of employees of the charity receiving emoluments of more than £60,000 (excluding employer pension costs) during the year were as follows:

Banding	2022	2021
£60,001 - £70,000	2	1
£70,001 – £80,000	1	1
£80,001 - £90,000	1	1
£100,001 - £110,000	-	1
£110,001 - £120,000	1	-

Key management personnel

The key management personnel during the year were the Trustees and the management group. The Trustees received no remuneration for their positions. The management group is made up of the Chief Executive, the Director of development, the Director of grants and research, and the Director of finance and resources. All of the management group are employed by the charity.

The total cost to the charity of all people who performed the work of the management group during the year was £419,760 (2021: £411,876).

There were no redundancy or termination payments made in the year (2021: none).

6 Pensions

The charity participates in the NHS pension scheme for those staff that transferred to the charity from employment with Moorfields. It is not possible to separately identify the assets of the scheme relating to the charity. The pension cost charge represents contributions payable by the charity to the fund and amounted to £28,838 (2021: £27,722). Contributions totalling £2,351 (2021: £2,310) were payable to the fund at the balance sheet date and are included in creditors. The charity pays the standard rate of contribution to the scheme and no historic deficits are being funded through additional contributions.

The charity participates in the People’s Pension, ensuring all staff are able to participate in an auto-enrolment pension scheme. The scheme is a defined contribution scheme where the assets are held separately from the charity in an independently managed fund. The pension cost charge represents contributions payable by the charity to the fund and amounted to £54,236 (2021: £42,918). Contributions totalling £4,774 (2021: £7,425) were payable to the fund at the balance sheet date and are included in creditors. Employees make contributions matched by the charity at 4% or 8% of salary.

7 Taxation

No tax charge has arisen in the year as the registered charity falls within Chapter 3 of the Corporation Taxes Act 2010 and section 256 of the Taxation of Chargeable Gains Act 1992, and is therefore potentially exempt from taxation of income and gains to the extent that they are applied to its charitable purposes. The Charity is not registered for VAT. Expenditure is shown inclusive of VAT.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

8 Fixed asset investments

ixed asset investments
Common investment funds Market value at 1 April Net investments/(withdrawals) Income and distributions Management fees Net movements in valuation Market value at 31 March Cash held as part of the investment portfolio Total investments at 31 March	2022 total 2021 total £’000 £’000 63,894 53,375 - 2,000 237 236 (231) (205) 5,241 8,488
	69,141 63,894 (2,754) (7,171)
	66,387 56,723

Withdrawals / further investment

The Trustees choose to show investments or withdrawals in relation to these common investment funds as the investment managers make all changes within the portfolios at their own discretion. Performance is measured on a total return and details of changes during the year are not disclosed.

During the prior year the Trustees transferred £4.0 million from cash held in the portfolio into the Oriel investment. This represented two cash donations of £2.0 million previously received towards Oriel. The trustees of the Foundation that had made the two donations gave their permission for the money to be held as investments rather than as cash deposits.

Historic cost of investment

The original investment portfolio was acquired by the charity as part of the merger with the former Special Trustees of Moorfields on 31 December 2015. At 31 December 2015, the date of the merger, the value of the portfolio was £41.4 million, being investments of £40.9 million and cash of £0.5 million.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

9 Fixed assets – intangible assets

assets – intangible assets
Cost At 1 April Additions Transfers At 31 March Amortisation At 1 April Charge for the year At 31 March Net book value at 31 March	Software Assets in development 2022 total Software Assets in development 2021 total £’000 £’000 £’000 £’000 £’000 £’000 235 - 235 235 - 235 - - - - - - - - - - - -
	235 - 235 235 - 235
	155) - (155) (96) - (96) (59) - (59) (59) - (59)
	(214) - (214) (155) - (155)
	21 - 21 80 - 80

Intangible assets are represented by our customer relationship management system developed over the period January 2018 to July 2018. Amortisation has been charged from August 2018 when the fundraising functionality of the system became operational. Additions from that date relate to the development of our grants management module of the system which became operational in April 2019.

Intangible assets are funded from unrestricted funds. Amortisation is treated as unrestricted expenditure.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

10 Debtors HMRC Gift Aid accrual Other debtors Accrued income Prepayments	Unrestricted Restricted Endowment 2022 Unrestricted Restricted Endowment 2021 funds funds funds total funds funds funds total £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 64 117 - 181 86 25 - 111 - - - - - - - - 942 2,479 155 3,576 259 539 4 802 60 - - 60 58 - - 58
	1,066 2,596 155 3,817 403 564 4 971

11 Creditors: amounts falling due within one year

Unrestricted funds Restricted funds £’000 £’000 108 6,052 146 1,358	Endowment funds £’000 86 108	2022 total £’000 6,246 1,612	Unrestricted funds	Restricted funds Endowment funds 2021 Total
			£’000	£’000 £’000 £’000
			106	5,113 87 5,306
			529	216 33 778
254 7,410	194	7,858	635	5,329 120 6,084

12 Creditors: amounts falling due after one year

Grants payable (note 13)	Unrestricted funds Restricted funds Endowment funds 2022 Total Unrestricted funds Restricted funds Endowment funds 2021 total £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 9 3,849 44 3,902 9 4,067 101 4,177

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

Unrestricted Restricted Funds funds £’000 £’000 115 9,180 1 222 8 6,375 - (935) (6) (4,674)	Endowment 2022 funds total £’000 £’000 188 9,483 6 229 1 6,384 - (935) (62) (4,741)	Unrestricted Restricted	Endowment 2021
		funds funds	funds total
		£’000 £’000	£’000 £’000
		125 8,587	303 9,015
		- 171	6 177
		19 4,509	92 4,620
		(7) (292)	(81) (380)
		(21) (3,573)	(126) (3,720)
118 10,168 (1) (267)	133 10,419 (2) (270)	116 9,402	194 9,712
		(1) (222)	(6) (229)
117 9,901	131 10,149	115 9,180	188 9,483
108 6,052 9 3,849	86 6,246 44 3,902
		106 5,113	87 5,306
		9 4,067	101 4,177
117 9,901	131 10,149	115 9,180	188 9,483

Most of our grant commitments are made to Moorfields or UCL. Grants to UCL relate mainly for work by the UCL Institute of Ophthalmology. Details of grants made in the year are set out in the Trustees’ annual report.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14 Funds

Total funds summary (current year): Restricted funds 14a Linked charities 14b Total restricted funds Endowed funds 14c Unrestricted funds 14d Total Funds	Balance 1 April 2021 Income Expenditure Transfers between funds Gains and losses Balance 31 March 2022 £'000 £'000 £'000 £'000 £'000 £'000 20,767 3,977 (3,535) (6) 1,498 22,701 24,260 2,304 (2,829) (33) 3,270 26,972
	45,027 6,281 (6,364) (39) 4,768 49,673 6,538 302 (53) - 290 7,077 6,480 2,054 (1,239) 39 183 7,380
	58,045 8,637 (7,656) - 5,241 64,267

Total funds summary (prior year): Restricted funds 14a Linked charities 14b Total restricted funds Endowed funds 14c Unrestricted funds Total Funds	Balance 1 April 2020 Income Expenditure Transfers between funds Gains and losses Balance 31 March 2021
	£'000 £'000 £'000 £'000 £'000 £'000
	16,367 5,793 (2,490) 174 923 20,767
	20,543 641 (2,543) (174) 5,793 24,260
	36,910 6,434 (5,033) - 6,716 45,027
	5,710 (148) (56) - 1,032 6,538
	5,364 1,538 (1,162) - 740 6,480
	47,984 7,824 (6,251) - 8,488 58,045

Funds in deficit

The charity enters multi-year gift agreements with donors to fund projects or equipment but accounting rules prevent the charity from accruing the future income. Multi-year grant awards are also made and accounting rules require the long-term liability to be recognised fully on award. This can have the effect of creating funds in deficit. At 31 March 2022 there were seven funds in deficit (2021: nine funds) amounting to £545k (2021: £467k). The Trustees are satisfied that sufficient funds will be raised in future accounting periods to reverse the deficits in full.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14a Restricted funds

tricted funds
Buildings Oriel capital Other building funds Equipment Patient and staff welfare Research General research London project Other research funds Total Funds Buildings Oriel capital Other building funds Equipment Patient and staff welfare Research General research London project Other research funds Total Funds	Balance 1 April 2021 Income Expenditure Transfers between funds Gains and losses Balance 31 March 2022 £'000 £'000 £'000 £'000 £'000 £'000 15,632 158 (79) 33 1,498 17,742 32 - - - - 32 (282) 40 (47) - - (289) (19) 165 (186) (39) - (79) 2,918 1,460 (1,349) - - 3,029 1,155 1,017 (969) - - 1,203 1,331 1,137 (905) - - 1,563
	20,767 3,977 (3,535) (6) 1,498 22,701

	Balance 1 April 2020 Income Expenditure Transfers between funds Gains and losses Balance 31 March 2021
	£'000 £'000 £'000 £'000 £'000 £'000
	12,337 2,434 (72) 10 923 15,632
	32 - - - - 32
	146 508 (936) - - (282)
	(11) 193 (201) - - (19)

	2,440 715 (307) 70 - 2,918
	657 1,427 (929) - - 1,155
	766 516 (45) 94 - 1,331
	16,367 5,793 (2,490) 174 923 20,767

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14a Restricted funds (continued)

The restricted funds held are explained below:

Building
General BuildingFund	Restricted donations given for the maintenance and repair of the Moorfields Estate.
RDCEC Building	Restricted donations given for the maintenance and repair of the Richard Desmond Children’s Eye Centre.
Oriel Capital	Restricted donations given for Moorfields’long-term redevelopment project.
Equipment
General Equipment	Restricted donations given for the purchase of specialist equipment for either research or clinical services.
Summer 2014 Equipment Appeal	Restricted donations to replace a broken stem cell incubator at Moorfields; any surplus donations will be used to support stem cell therapy research.
Patient Welfare
RDCEC Non Research	Restricted donations given for the work carried out in the Richard Desmond Children’s Eye Centre.
General Patient Care	Restricted donations given for the general welfare of Moorfields’patients.
Prof Khaw	Restricted donation given for Prof Khaw to support those with glaucoma who may struggle to access the relevant care they require.
Research
General Research	Restricted donations given for research purposes.
Adnexal Research	Restricted donations given for research into the causes and treatment of diseases involving tissues surrounding the eye ball, including the eyelids, extra-ocular muscles, socket and tear system.
AMD Research	Restricted donations given for research into the causes and treatment of Age-Related macular degeneration.
Aniridia Research	Restricted donations given for research into the causes and treatment of Aniridia.
Cataract Research	Restricted donations given for research into the causes and treatment of Cataracts.
Corneal Research	Restricted donations given for research into the causes and treatment of diseases of or involving the cornea.
Diabetes Related Research	Restricted donations given for research into the causes and treatment of eye disease linked to diabetes.
Eye Cancer Research	Restricted donations given for research into the causes and treatment of ocular cancers.
Gene TherapyResearch	Restricted donations given for research into using or developing Gene Therapy for eye diseases.
Genetic Research	Restricted donations given for research into the genetic background to eye disease.
Glaucoma Research	Restricted donations given for research into the causes and treatment of glaucoma.
John Dart Research	Restricted donations given for research led by Professor John Dart and his team.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14a Restricted funds (continued)

Research (continued)
London Project	Restricted donations given for research related to the London Project which aims to use Stem Cell technology to restore sight, prevent progression and ultimately improve the quality of life for patients with Age-Related Macular Degeneration (AMD) and other retinal and macular disorders, led by Prof Pete Coffey and Mr Lyndon da Cruz and their teams.
Macular Degeneration	Restricted donations given for research into the causes and treatment of macular degeneration.
Ocular Prosthetics	Restricted donations given to support the development of and research into ocular prosthetics.
Ocular repair/regeneration	Restricted donations given for research into ocular repair and regeneration mechanisms and treatments.
Paediatric Research	Restricted donations given for research into the causes and treatment of eye conditions in children.
Retinal Research	Restricted donations given for research into the causes and treatment of retinal diseases.
RP and Usher Syndrome	Restricted donations given for research into the causes and treatment of retinitis pigmentosa and Usher syndrome.
Stargardt Research	Restricted donations given for research into the causes and treatment of Stargardt disease.
Stem Cell Research	Restricted donations given for research into utilising Stem Cells in the treatment of eye disease.
Uveitis Research	Restricted donations given for research into the causes and treatment of uveitis.
V R Research	Restricted donations given for research into the causes and treatment of vitreo retinal conditions.
DF-AMD Research	Restricted donations given for research into the causes and treatment of age-related macular degeneration.
Sir Jules Thorn Unit	Restricted donations given in support of the development of and research carried out in the Sir Jules Thorn Unit.
UNITE	Restricted donations given for research related to the UNITE international consortium which aims to advance the education of and research into ocular inflammation and immune-mediated disease of the eye.
Network Sites	Restricted donations given for use by Moorfields operational teams at other hospitals.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14b Restricted funds – linked charities

tricted funds – linked charities
Special purpose Patient welfare Staff welfare and amenities Research General research Former Special T Other research funds Total Funds Special purpose Patient welfare Staff welfare and amenities Research General research Former Special Trustees Other research funds Total Funds	Balance 1 April 2021 Income Expenditure Transfers between funds Gains and losses Balance 31 March 2022 £'000 £'000 £'000 £'000 £'000 £'000 15 - 20 - - 35 26 - - - - 26 141 - (1) - - 140 46 105 (243) - - (92) 23,872 2,053 (2,640) (33) 3,270 26,522 160 146 35 - - 341
	24,260 2,304 (2,829) (33) 3,270 26,972

	Balance 1 April 2020 Income Expenditure Transfers between funds Gains and losses Balance 31 March 2021
	£'000 £'000 £'000 £'000 £'000 £'000
	90 - (94) 19 - 15
	26 - - - - 26
	142 - (1) - - 141
	- -
	287 25 (266) - - 46
	19,882 616 (2,208) (211) 5,793 23,872
	116 - 26 18 - 160
	20,543 641 (2,543) (174) 5,793 24,260

Linked charities

Under a Linking Directive from the Charity Commission, following the merger at 31 December 2015, the former Special Trustees of Moorfields Eye Hospital and its linked charities become Linked Charities of the charity. The objects of the former Special Trustees meant the unrestricted funds of that charity became restricted funds within Moorfields Eye Charity.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14b Restricted funds – linked charities (continued)

The restricted funds held are explained below:

The restricted funds held are explained below:	The restricted funds held are explained below:

Restricted
Children’s Centre /Paediatric Research	Restricted donations given for research into and treatment of children’s eye conditions.
Arthur Luck Oncology/Eye Cancer	A fund created from a single donation for research into tumours in any part of the visual system.
Francis and Renee Hock Fund	A fund created from a single donation to further the research into the treatment of medical and surgical conditions of the vitreous and retina.
Restricted– Special Purpose
Patient Welfare
Chapel Fund (Helen Brooker)	Funds held for the maintenance and refurbishment of the Multi-Faith Centre.
Research
General Research	Restricted donations given for research purposes.
Optical Department	Restricted donations given for use by the optical department.
Research Scholarship Fund	Restricted donations given to create a scholarship fund for the publication of research.
Glaucoma Research	Restricted donations given for research into the treatment and cure of glaucoma.
Retinal Research	Restricted donations given for research into retinal conditions.
Former Special Trustees	The former Unrestricted Fund of Special Trustees whose funds were restricted for use wholly or mainly in support of Moorfields.
Staff Welfare and Amenities
Nurses	Restricted donations given for general improvements for the comfort of nursing staff.
Retinal Diagnostic Education Fund	Restricted donations given for educational purposes for full-time medical members of the retinal diagnostic department.
Staff Benevolent Fund	Restricted donations given for the relief of those staff facing hardship and to assist with removal, temporary housing, childcare, set-up costs and language training especially for overseas staff but otherwise staff generally.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

14c Endowment funds

General endowment funds Other endowment funds Total Funds General endowment funds Other endowment funds Total Funds	General endowment funds Other endowment funds Total Funds General endowment funds Other endowment funds Total Funds	Balance 1 April 2021 Income £'000 £'000 5,902 271 636 31	Expenditure £'000 (48) (5)	Transfers between funds £'000 7 (7)
		6,538 302	(53)	-

		Balance 1 April 2020 Income	Expenditure	Transfers between funds
		£'000 £'000	£'000	£'000
		5,063 (148)	(45)	-
		647 -	(11)	-
		5,710 (148)	(56)	-
Endowment Funds:
Samaritan Endowment Funds	Restricted funds given to relieve in cases of need persons leaving Moorfields Eye Hospital in such ways conducive to their recovery or betterment.
Children’s Endowment Funds	An endowment fund formerly part of the Samaritan Fund on which income is used for the specific welfare of child patients.
James and Edmonds Funds	An endowment fund formerly part of the Samaritan Fund on which income earned is used for the purposes of the Samaritan Fund.
Children’s Ophthalmic Fund	Income is used for the specific welfare of child patients.
General Endowment Fund	Established as an expendable endowment by the Special Trustees in 2016, general donations in excess of £0.5 million received in one year; for expenditure over a number of years. Income each year is donations intended for the Special Trustees general endowment fund.
Sutor Research Fund	An expendable endowment fund created by a legacy for research excluding the use of animals.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

15 Commitments

During the year ended March 2020 the Trustees formally committed to provide £10,000,000 to be utilised for the construction costs of Oriel. As the funds will not be required until at least 2024 an equivalent amount of cash was placed with Troy Asset Management as a separate investment from the long term portfolio, where they remain at March 2022.

To reflect the capital commitment, the Trustees transferred £10,000,000 from the former Special Trustees restricted reserve to the restricted Oriel capital reserve in March 2020. The Trustees consider this reflects the intentions of the former Special Trustees and an appropriate use of the former Special Trustees reserve as these funds are to be used wholly or mainly in support of Moorfields.

In December 2021, the Trustees agreed to further support the development by agreeing to provide up to £5,000,000 of further funds.

In the coming year it is the intention of the Trustees to formalise the commitment by way of a grant agreement with Moorfields. This formal commitment will have a significant impact on the results for the new financial year and the value of grant awards payable in more than one year.

16 Transactions with directors and connected persons

Dr Martin Kuper, Johanna Moss and Miss Louisa Wickham are directors of Moorfields Eye Hospital NHS Foundation Trust (‘Moorfields’). David Probert was a director of that trust. Dr Robert Jones is the vice chair of the membership council of that trust.

None of the Trustees received any remuneration during the year (2021: £Nil).

No Trustees (2021: none) were reimbursed for their travel and other related expenses, £Nil (2021: £Nil).

None of the Trustees or members of key management staff of Moorfields or parties related to them has undertaken any material transactions with the charity or with connected persons during the year.

During the year the charity received human resources, payroll management, facilities management and information systems services from Moorfields. These services were provided on an arms-length basis without charge.

The charity makes grants to Moorfields as set out in Note 13 above and explained further in the Trustees Report. There were no other related party transactions in the current or previous year.

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

17 Comparatives: statement of financial activities for the year ended 31 March 2021

		Unrestricted	Restricted	Endowment	2021
		funds	funds	funds	total
	Note	£’000	£’000	£’000	£’000
Income and endowments from:
Donations	2	815	5,527	-	6,342
Legacies	2	463	732	(191)	1,004
Events	2	122	13	-	135
Other trading activities:	2
Raffles and lottery		79	-	-	79
Royalties and other income		24	-	-	24
Investment income	2	35	162	43	240
Total income	2	1,538	6,434	(148)	7,824
Expenditure on:
Raising funds:
Fundraising	3	692	402	-	1,094
Investment management	3	32	128	45	205
	3	724	530	45	1,299
Charitable activities	4	33	4,332	11	4,376
Governance and support costs	5	405	171	-	576
		438	4,503	11	4,952
Total expenditure		1,162	5,033	56	6,251
Net income/(expenditure) before
investment gains and losses		376	1,401	(204)	1,573
Net gains/(losses) on investments	9	740	6,716	1,032	8,488
Net income/(expenditure)		1,116	8,117	828	10,061
Transfers between funds		-	-	-	-
Net movement in funds		1,116	8,117	828	10,061
Reconciliation of funds:
Total funds brought forward		5,364	36,910	5,710	47,984
Total funds carried forward	15	6,480	45,027	6,538	58,045

Moorfields Eye Charity

Notes to the financial statements (continued) Year ended 31 March 2022

18 Comparatives: Balance Sheet as at 31 March 2021

Note Fixed assets Investments 9 Intangible assets 10 Current assets Debtors 11 Cash held in investment portfolio 9 Cash at bank and in hand Total current assets Liabilities Creditors: Amounts falling due within 1 year 12 Net current assets Creditors: Amounts falling due after more than 1 year 13 Total net assets Funds Total funds 15	Unrestricted Restricted Endowment 2021 funds funds funds total £’000 £’000 £’000 £’000 3,738 46,230 6,755 56,723 80 - - 80
	3,818 46,230 6,755 56,803
	403 564 4 971 551 6,620 - 7,171 2,352 1,009 - 3,361
	3,306 8,193 4 11,503 (635) (5,329) (120) (6,084)
	2,671 2,864 (116) 5,419 (9) (4,067) (101) (4,177)
	6,480 45,027 6,538 58,045
	6,480 45,027 6,538 58,045