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2023-03-31-accounts

Company number: 07846810 Charity Number: 1146310

KEMP Hospice

Formerly KEMP House Trust Report and consolidated financial statements For the year ended 31 March 2023

KEMP Hospice (formerly KEMP House Trust Limited)

Contents

For the year ended 31 March 2023

Reference and administrative information ....................................................................................................... 1 Trustees’ annual report ..................................................................................................................................... 3 Independent auditor’s report .......................................................................................................................... 16 Statement of consolidated financial activities (incorporating an income and expenditure account) ............ 21 Balance sheets .................................................................................................................................................. 22 Consolidated Statement of cash flows ............................................................................................................. 23 Notes to the financial statements ................................................................................................................... 24

KEMP Hospice (formerly KEMP House Trust Limited)

Reference and administrative information

For the year ended 31 March 2023

Company number 07846810
Country of incorporation
United Kingdom
Charity number 1146310
Country of registration
England & Wales
Registered office and 41 Mason Road
operational address KIDDERMINSTER
DY11 6AG
Trustees Trustees, who are also directors under company law, who served during the year and
up to the date of this report were as follows:
Mr Geoff Taylor-Smith Chair
Mrs Kate E Collyer
Mrs Janet Rowe
Mr Shayne Taylor (Resigned 30 September 2022)
Mrs Julia Neal
Ms Polly Symondson (Resigned 22 September 2023)
Ms Katherine Ellis
Mrs Suzanne Beattie
Mr Philip Davison (Appointed 30 September 2022)
Key management Caroline Beech Chief Executive
personnel Laurey Grennall Head of Hospice Services
Charlie Homer Head of Fundraising & Communications (Resigned 24
March 2023)
Jayne Sargeant Head of Fundraising & Communications (Appointed 27
March 2023)
Gary Barnes Head of Retail
Andy Stanney Head of People
Rachel Paget Head of Finance
Bankers Santander
Bridle Road
Bootle
L30 4GB
HSBC Bank plc
6 Broad Street
Worcester
WR1 2EJ

1

KEMP Hospice (formerly KEMP House Trust Limited)

Reference and administrative information

For the year ended 31 March 2023

Solicitors Painters 29 Church Street Kidderminster CY10 2AU Auditor Sayer Vincent LLP Chartered Accountants and Statutory Auditor Invicta House 108-114 Golden Lane LONDON EC1Y 0TL

2

KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

The trustees present their report and the audited financial statements for the year ended 31 March 2023.

Reference and administrative information set out on pages 1 and 2 forms part of this report. The financial statements comply with current statutory requirements, the memorandum and articles of association, the requirements of a directors’ report as required under company law, and the Statement of Recommended Practice - Accounting and Reporting by Charities: SORP applicable to charities preparing their accounts in accordance with FRS 102.

Objectives and activities

Purposes and aims

Our objectives:

To provide clinical, emotional, and spiritual care with practical support for people, their families, carers and the wider community who may be affected by serious and life-limiting illness within Worcestershire and the surrounding areas, are contained in full within our Articles of Association and also reflected in our vision, mission and values as follows:

Our Vision:

Quality and choice in end-of-life care and bereavement support, easily accessed by everyone in the Wyre Forest who needs it.

Our Mission:

Our Values:

Positive; Respectful; Professional, Compassionate; Inclusive and Trustworthy

Our Activities

KEMP Hospice provides free specialist care for people affected by life limiting illness and gives support to those who have been bereaved in the Wyre Forest (Worcestershire) and surrounding areas. Our expert and compassionate care and support is provided not only for the patient but also for their carers and wider family, including children and young people.

Provided by a team of dedicated staff and 190 volunteers all our support is free to access and with our hospice users facing a wide range of life limiting illnesses and conditions, we place great importance on taking a holistic view of patient care to deliver everything in response to the specific needs of an individual and their family.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Our services include:

We are proud to work closely with the Community Palliative Care Team and the Wyre Forest Palliative Care Consultant, to ensure the care being provided to patients is as streamlined and comprehensive as possible. Additionally, we facilitate a heart failure clinic once every two months and Worcestershire Health and Care Trust operate a Lymphedema outpatient clinic weekly from one of our treatment rooms.

Achievements and performance 2022-23

It has been an incredibly busy year at KEMP Hospice with many exciting developments, as well as challenges with recruitment, increasing complexities and demands on services. Despite the challenges, in 2022-2023 KEMP Hospice has continued to develop and continue services without any or minimal disruption. We have reopened our services fully to the new normal following the main Covid-19 pandemic years of 2020-2022.

Service provision

Our KEMP Hospice Services Team includes specialists which provide, rehab and exercise, occupational therapy, creative arts and complementary therapies, financial and welfare support, and wellbeing support. Patients, families, and carers can access support from our team of specialists through one-to-one appointments, group settings on site or virtually, as well as outreaching services and support to patients’ home. The KEMP Hospice Specialist Team, work with the patient to develop an individualised holistic plan of care and support which is regularly reviewed with the patient and adapted to their individual needs.

KEMP Hospice Outreach provides specialist support, advice, education, and training to 44 care homes in the Wyre Forest District; advocating and supporting residents to ensure their wishes and preferences are known and supported with regards to advanced care planning and care.

We have experienced a challenging year with recruitment which seems to be the trend experienced within the hospice sector and NHS providers locally and nationally.

This has required KEMP Hospice to be innovative in our recruitment strategy of health professionals. As part of this review process, we have employed a Development Clinical Nurse Specialist who will complete a

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

structured competency and training framework over a 2-year period. To deliver this training we have collaborated with St Richards Hospice and the Community Specialist Palliative Team who will provide placement hours gaining experience in all aspects of specialist palliative care.

We have recruited into two key posts; Care Services Manager (previous incumbent retired in December 2022) and Family Support & Bereavement Services Manager. This places KEMP in a strong position to continue developing our service provision for those living within the Wyre Forest.

Family Support and Bereavement

Our bereavement team of specialist counsellors and trained volunteers support anyone who is facing or who has experienced a bereavement or loss in the last 5 years. Our services are available to children from the age of 5, young people and adults, through one-to-one counselling and group support. Bereavement clients can be seen at the hospice, at school and in people’s homes. Our young people’s service offers therapeutic support including using arts, crafting, play and talking to enable young people to explore their emotions as well as regular memory days throughout the year.

Members of the Family Support & Bereavement Counselling Team are working with colleagues from St Richards and Primrose Hospices and will be delivering training to schools across Worcestershire. The first training session was delivered February 2023. This training will support schools to develop appropriate and supportive bereavement policies so that children and young people have access to good immediate support from their school following a bereavement. In May 2022 we ran a Memory Day for children receiving bereavement support at an outdoor activity centre.

Activity 2022-23

Care Services Referrals & Activity

Patients are now accessing a wider level of support provided by the multi-disciplinary team, and we have seen a significant increase in 2022-23 for Day Hospice Services with a total of 493 referrals compared to 313 in 2021-22. The total number of contacts, including phone contacts, for 2022-23 are shown below for each service activity.

----- Start of picture text -----
Total no. of Contacts (inc.
phone)
Finance & Welfare
Exercise & Wellbeing
Occupational…
Complementary…
Creative Therapy
Outreach
Nursing
0 1000 2000 3000
----- End of picture text -----

5

KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Family Support & Bereavement Services Referrals & Activity

----- Start of picture text -----
Referrals Total Contacts inc.
400
335 327 virtual and phone
350
300 6000
250 4101
200 153 149 4000 3142
150 1735
1352
2000
100
50
0
0
Adults CYP
Adult Children
2022-23 2021-22 2022-23 2021-22
----- End of picture text -----

We received 335 referrals (327 2021/22) for support for bereaved adults and 153 (149 2021/22) for children and young people. We had seen a significant increase in demand in 2021-22 and this increase has remained consistent in 2022-23. We have had a total of 4,458 contacts with clients and of those 3,142 were with adults (4,101 2021/22) and 1,352 were children and young people contacts (1,735 2021/22). Contacts are sessions which are delivered either by phone, face to face or virtual. The reduction in contacts in 202223 compared to the previous year reflects the return of face-to-face sessions following the pandemic.

Additional Key Highlights / Developments in Services 2022-23

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KEMP Hospice (formerly KEMP House Trust Limited)

For the year ended 31 March 2023

Trustees’ annual report

What Our Patients, Clients and Professionals say About Us

At KEMP we value the feedback we receive from the people who receive our support, their families, and carers. This helps us to always be assessing and reviewing our work, ensuring that we are improving the quality of care we provide.

Carers group feedback

I would absolutely recommend this course - we can talk in front of each other, listening, crying, laughing, just venting for the few hours. I can't thank all the staff enough for the hard work, caring and dedication they have shown to each one of us who attended the course.

Complementary Therapy

Reported by a Parkinson's patient: "I have found the exercises suggested by the Complementary Therapist very beneficial and have been practising at home".

Finance & Welfare

Took the financial side off my family: Helped me get a benefit I didn't know I was entitled to. They were always at the end of the phone if I have any other matters to deal with. Help and advice was perfect. They sorted out everything that we needed. Fantastic lady.

University of Worcester

The Counties School of Nursing & Midwifery

"Rewarding excellence in facilitating student learning" Just a note to say thank you for all your assistance with the supervision and assessment of student nurses. Your team has been ascertained via student evaluations as an outstanding unit when it comes to supporting students.

Outreach Nurse Specialist

Talking to the Outreach Nurse helped me to get things into perspective and make the choices that will ensure my mum gets the support and care she needs. Thank you so much.

Care Services Team

"Thank you to EVERYONE involved in the Jubilee Party at KEMP Hospice. I so enjoyed meeting new people and the activities provided for us all. It would be unfair to name any names, but you all know who you are who took so much care and pleasure in that day; but please thank all the 'behind the scenes' people involved, especially the volunteers. KEMP is a very special place because of the VERY SPECIAL PEOPLE who work and volunteer there."

Complementary Therapy & Creative Arts

The massage was very relaxing and then to go and paint a lovely thing for Easter was so therapeutic.

Exercise & Wellbeing Practitioner

Tripudio Flow: easy to follow, fun. Very knowledgeable and explains so well and is encouraging.

It was very easy to follow and was a good workout. Practitioner was very positive in her delivery which made it a great experience. The whole session was both calming and energising.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Family Support & Bereavement Counselling Team

Counselling has changed my life forever. After everything you think you can’t ever think you can be who you are again. The counsellor helped me become a better version of myself, my family and friends have noticed how happy I am now. I understand it all now with no guilt or regret. It’s amazing.

It made me realise I am important, and I deserve a life.

Generation of Income

Sincere Thanks

The flexible approach and dedication to ensuring the people who need our services continued to be cared for and supported throughout this year would not have been possible without the dedication of our hardworking staff along with the very many willing volunteers who give freely of their time and talents and we would like to take this opportunity to thank them all for their efforts.

At the end of the financial year we are fortunate to have an incredible 190 individuals volunteering their time across our charity within Retail; Fundraising; Finance; Care and Bereavement Services; and on our Board of Trustees. In total an incredible 32,253 hours of time, commitment, hard work and skills were shared to help us in delivering our work.

Financial review

Our total income for the year was £1,744,211 (2022: £2,021,740) with a net surplus of £50,246 (2022: £377,829). All our income is used to support in the delivery of services to our patients and clients.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Income

We received annual funding in the form of a grant agreement from Herefordshire and Worcestershire Integrated Care System totalling £292,980 (2022: £286,113).

There are some notable achievements for our income within this financial year, despite the continuing challenges due to the economic uncertainties.

Our thanks go to the Trustees of KEMP House Trust, who supported us in this financial year with funding of £50,000 towards us adapting and continuing to provide our vital services.

We are also grateful to the following Trusts and Foundations for their support:

Expenditure

Our total expenditure in 2022/23 was £1,693,965 (2022: £1,643,911) and contribution split can be seen below.

Our fundraising and retail expenditure directly supports our income generation for the charity, and this was increased in this financial year at £915,598 2022: £913,011) which reflects the increase in salary and utility costs.

Total funds held at the end of the financial year were £2,688,123 (2022: £2,637,878), of which £567,600 (2022: £597,614) is restricted to support the fixed assets which are essential for our charitable activities.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Risk Management

We have a risk policy and register to enable the identification, monitoring and management of controls to mitigate risks. The Senior Team and Board of Trustees consider risks on a quarterly basis. The key strategic risks are:

Risk and Compliance

As a company and charity providing regulated and commissioned services, we follow codes of ethics and practice in our services and fundraising activities; we take our regulatory responsibilities seriously and work to protect our reputation and credibility as a professional organisation.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Reserves policy and going concern

The trustees have examined the charity’s requirements for reserves considering the main risks as listed above to the organisation, including assessed projected future income, expenditure and cashflows.

The Trustees believe the Charity’s financial resources and contingency planning is sufficient to ensure the continuation of the Charity as a going concern for the foreseeable future. Consequently, the financial statements have been prepared on this basis.

A reserves policy is established to ensure the Charity has the financial capacity needed to safeguard the provision of vital services to patients and carers from the adverse financial effects of significant and unforeseen changes in income and expenditure.

The boards target policy for available reserves are that the unrestricted funds not committed or invested in tangible fixed assets held by the charity should be at least 6 months and no more than 18 months of anticipated expenditure. Based on the latest set of accounts, this should be between £846k and £2,540k. The Charity is a going concern, and the Board of Trustees fully intend to see this continue long into the future. Should this not be possible, available reserves would assist the Charity in honouring its commitments to patients and carers, employees, supporters and creditors as it scales back operations.

At the end of the financial year unrestricted reserves for the Charity were £1,704,457 (2022: £1,624,197), which is 12 months of the anticipated expenditure and representative of the desired reserves position.

Available reserves are calculated in accordance with the Charity Commission guidance as follows:

£
Total Reserves 2,688,124
Less
Restricted Reserves (567,600)
Designated funds – Capitalprojects (412,067)
Designated funds – Wellbeing (4,000)
Available unrestricted reserves 1,704,457

The board manages financial risks, such as income or cost fluctuation by regularly reviewing our financial plans and income pipelines.

Plans for the future

As we enter the last year of KEMP’s current 5-year strategy we will begin to focus on creating a new strategy for the organisation which will focus on the future needs of the growing population in the Wyre Forest.

Structure, Governance and Management

KEMP Hospice is a charitable company limited by guarantee, incorporated on 14 November 2011 and registered as a charity on 9 March 2012.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

The company was established under a memorandum of association which established the objects and powers of the charitable company and is governed under its articles of association.

The company name was changed from KEMP House Trust Ltd to KEMP Hospice by resolution on 30[th] September 2022 and certified by Companies House on 13[th] October 2022.

All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in note 7 to the accounts.

Our Group Structure

The group compromises the Trust and its wholly owned subsidiary KEMP House Trust (Hospice Shop) Limited. The group produces consolidated accounts that include the result of both entities.

KEMP House Trust (Hospice Shop) Limited is a wholly owned trading subsidiary. Its purpose is to generate income to support the Charity’s objectives by selling donated and new goods at a profit in a network of shops. The trading company acts as the Trust’s agent for an HMRC approved Gift Aid scheme for donated goods. It transfers profits to the Charity using the HMRC Gift Aid scheme for corporate donations. Its results are set out in note 12 of these financial statements.

The Board of Trustees

KEMP Hospice trustees review the aims, objectives, and activities of the charity each year. This report looks at what the charity has achieved and the outcomes of its work in the reporting period. The trustees report the success of each key activity and the benefits the charity has brought to those groups of people that it is set up to help. The review also helps the trustees ensure the charity's aims, objectives and activities remained focused on its stated purposes.

The trustees have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the charity's aims and objectives and in planning its future activities. In particular, the trustees consider how planned activities will contribute to the aims and objectives that have been set. The trustees agree the strategic direction of the charity through the preparation and monitoring of a 5-year strategy. To support delivery of the strategy, an operational business plan and budget is developed annually, approved, and reviewed by the trustees. Our full strategy can be viewed by visiting our website:

Progress towards achieving objectives is monitored and reviewed through the respective sub-committee which are focussed on Services, Finance, Resources and Risk and Income Generation, and at full Board meetings of the trustees. Monthly management accounts and quarterly reports by the Chief Executive and departmental managers are provided.

Day-to-day responsibility for the management of the charity is delegated to a senior management team of six, comprising: Chief Executive Officer, Caroline Beech; Head of Finance, Rachel Paget; Head of Fundraising & Communications, Jayne Sargeant; Head of Hospice Services, Laurey Grennall; Head of People, Andy Stanney and Head of Retail, Gary Barnes. The senior management team meet fortnightly to discuss both strategic and operational matters.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

The trustees consider that they have complied with their duty in Section 17(5) of the Charities Act 2011 and have referred to the guidance provided by the Charity Commission on public benefit when reviewing the charity’s aims and objectives.

The Board of Trustees have embraced the Charity Governance Code, carrying out a self-assessment and have identified two key areas of focus: how the charity can demonstrate not only our financial/economic sustainability, but also our ecological and environmental impact in all our operations and how the organisation can embed Equality, Diversity and Inclusion within our culture and across all operations, including within the Board itself.

Appointment of trustees

KEMP Hospice recruit trustees based on several factors including, but not limited to, the need for a particular skill, a mix of backgrounds, experiences and considering a range of dynamics. The charity utilises social media to promote trustee vacancies, as well as charity and individual networks. A comprehensive structured recruitment process includes formal interview, time spent with a range of the charity personnel, and attendance at two Board meetings. The existing trustees then vote to appoint.

Within this financial year the Board appointed Phil Davison as a trustee.

The following committees remain unchanged throughout the year; MAGIC (Marketing and Generation of Income Committee), Finance, Resource and Risk Committee, and Hospice Services Committee. Trustees must complete mandatory training which includes: safeguarding; data security awareness; equality, diversity and human rights; and health and safety.

None of the trustees are remunerated.

Related parties and relationships with other organisations

KEMP House Trust is a separate registered charity (charity no. 511141), governed by a Trust Deed, which manages an investment portfolio and whose principal objective is to support the activities of KEMP Hospice, on provision of a costed business case which demonstrates the benefits to the beneficiaries of the hospice services.

During the year ending March 2023 there were four trustees, who meet quarterly and manage and oversee the investment portfolio with the professional advice of Investec Wealth and Investment Ltd. who meet with the trustees twice a year and provide regular written reports to the board.

KEMP House Trust (Hospice Shop Ltd): The Trading Company is a wholly owned subsidiary of the Hospice. There were two directors serving during the year who have accountability for retail activities. The Hospice Chief Executive has ultimate responsibility for the management of the Hospice and Trading Company. Both of the current directors are hospice Trustees. The Head of Retail and Head of Finance & Infrastructure attend the Board meetings, which are held quarterly.

Following a review of the organisational structure and the decision to continue with the operation of the trading company, the work to negotiate lease terms of the retail property portfolio continues.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Statement of responsibilities of the trustees

The trustees (who are also directors of KEMP Hospice for the purposes of company law) are responsible for preparing the trustees’ annual 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 which give a true and fair view of the state of affairs of the charitable company and group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company or group for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that 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 group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as the trustees are aware:

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Members of the charity guarantee to contribute an amount not exceeding £1 to the assets of the charity in the event of winding up. The total number of such guarantees at 31 March 2023 was 8 (2022: 8). The trustees are members of the charity but this entitles them only to voting rights. The trustees have no beneficial interest in the charity.

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KEMP Hospice (formerly KEMP House Trust Limited)

Trustees’ annual report

For the year ended 31 March 2023

Auditor

Sayer Vincent LLP was re-appointed as the charitable company's auditor during the year and has expressed its willingness to continue in that capacity.

The trustees’ annual report has been prepared in accordance with the provisions applicable to companies subject to the small companies’ regime.

The trustees’ annual report has been approved by the trustees on 6 December 2023 and signed on their behalf by

Geoff Taylor-Smith

Chair

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Independent auditor’s report

To the members of

KEMP Hospice (formerly KEMP House Trust Limited)

Opinion

We have audited the financial statements of KEMP Hospice (formerly KEMP House Trust Limited) (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the year ended 31 March 2023 which comprise the consolidated statement of financial activities, the group and parent charitable company balance sheets, the consolidated statement of cash flows and the 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 FRS 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:

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 group financial statements section of our report. We are independent of the group and parent 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 KEMP Hospice (formerly KEMP House Trust Limited'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.

16

Independent auditor’s report

To the members of

KEMP Hospice (formerly KEMP House Trust Limited)

Other Information

The other information comprises the information included in the trustees’ annual report other than the group financial statements and our auditor’s report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the group 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. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the group financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the group financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and Charities Act 2011 requires us to report to you if, in our opinion:

17

Independent auditor’s report

KEMP Hospice (formerly KEMP House Trust Limited)

To the members of

Responsibilities of trustees

As explained more fully in the statement of trustees’ responsibilities set out in the trustees’ annual report, the trustees (who are also the directors of the parent 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 group’s and the parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent 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

We have been appointed auditor under the Companies Act 2006 and section 151 of the Charites Act 2011 and report in accordance with those Acts.

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 are set out below.

Capability of the audit in detecting irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following:

18

Independent auditor’s report

To the members of

KEMP Hospice (formerly KEMP House Trust Limited)

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities . This description forms part of our auditor’s report.

19

Independent auditor’s report

To the members of

KEMP Hospice (formerly KEMP House Trust Limited)

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 and section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. 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.

Fleur Holden (Senior statutory auditor)

12 December 2023

for and on behalf of Sayer Vincent LLP, Statutory Auditor Invicta House, 108-114 Golden Lane, LONDON, EC1Y 0TL

Sayer Vincent LLP is eligible to act as auditor in terms of section 1212 of the Companies Act 2006

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KEMP Hospice (formerly KEMP House Trust Limited)

Consolidated statement of financial activities (incorporating an income and expenditure account)

For the year ended 31 March 2023

For theyear ended 31 March 2023
Note
Income from:
2
3
3
5
5
12
6
Reconciliation of funds:
Donations and legacies
Charitable activities
Management charges
Lottery income
Fundraising costs
Raising funds
Other income
Coronavirus Job Retention Scheme
Retail, Hospitality & Leisure Grants
Retail Business Interruption Insurance
Kickstart
Charity shop income
Other trading activities
Hospice services
Education income
Net income / (expenditure) for the year
Total expenditure
Charitable activities
Hospice services
Tax payable by subsidiaries
Charity shop costs
Investments
Total income
Expenditure on:
Total funds brought forward
Total funds carried forward
Transfers between funds
Net movement in funds		 Unrestricted
£
601,647
307,824
2,456
737,848
3,000
55,052
-
-
-
-
14,154		 Restricted
£
22,230
-
-
-
-
-
-
-
-
-
-		 2023
Total
£
623,877
307,824
2,456
737,848
3,000
55,052
-
-
-
-
14,154		 Unrestricted
£
796,389
295,003
1,391
694,383
3,000
53,883
8,106
27,335
23,539
22,746
1,513		 Restricted
£
33,132
61,320
-
-
-
-
-
-
-
-
-		 2022
Total
£
829,521
356,323
1,391
694,383
3,000
53,883
8,106
27,335
23,539
22,746
1,513
1,721,981 22,230 1,744,211 1,927,288 94,452 2,021,740
337,725
577,873
725,589
535		 -
-
52,244
-		 337,725
577,873
777,833
535		 313,747
599,264
629,447
-		 -
-
101,452
-		 313,747
599,264
730,899
-
1,641,722 52,244 1,693,965 1,542,459 101,452 1,643,911
80,259
-		 (30,014)
-		 50,245
-		 384,829
-		 (7,000)
-		 377,829
-
80,259
2,040,264		 (30,014)
597,614		 50,245
2,637,878		 384,829
1,655,435		 (7,000)
604,614		 377,829
2,260,049
2,120,523 567,600 2,688,123 2,040,264 597,614 2,637,878

All of the above results are derived from continuing activities. There were no other recognised gains or losses other than those stated above. Movements in funds are disclosed in Note 19a to the financial statements.

21

KEMP Hospice (formerly KEMP House Trust Limited)

Company no. 07846810

Balance sheets

As at 31 March 2023

As at 31 March 2023
Balance sheets		 Company no. 07846810 Company no. 07846810
Note
Fixed assets:
11
12
Current assets:
14
15
Liabilities:
16
17
18a
Total funds
Investments
Cash at bank and in hand
Tangible assets
Creditors: amounts falling due within one year
Net current assets
Total net assets
Restricted income funds
Provision for liabilities
Unrestricted income funds:
Designated funds
General funds
Total assets less current liabilities
Stock
Debtors
Funds:		 2023
2022
£
£
660,643
689,900
-
-
The group		 2023
2022
£
£
648,002
672,159
5,002
5,002
The charity
660,643
2,361
563,126
1,640,960		 689,900
26
755,835
1,392,699		 653,004
-
1,219,424
923,176		 677,161
-
1,215,479
902,020
2,206,447
(149,067)		 2,148,560
(200,582)		 2,142,600
(133,255)		 2,117,499
(156,782)
2,057,380 1,947,978 2,009,345 1,960,717
(29,900)
2,688,123		 -
2,637,878		 (6,000)
2,656,349		 -
2,637,878
2,688,123 2,637,878 2,656,349 2,637,878
567,600
416,067
1,704,456		 597,614
416,067
1,624,197		 567,600
416,067
1,672,682		 597,614
416,067
1,624,197
2,688,123 2,637,878 2,656,349 2,637,878

Approved by the trustees on 6th December 2023 and signed on their behalf by

Geoff Taylor-Smith Chair

Janet Rowe Trustee

22

KEMP Hospice (formerly KEMP House Trust Limited)

Consolidated statement of cash flows

For the year ended 31 March 2023

For theyear ended 31 March 2023 For theyear ended 31 March 2023 For theyear ended 31 March 2023
Note
£
£
Net income for the reporting period
50,245
(as per the statement of financial activities)
Depreciation charges
43,913
238
Interest from investments
(14,154)
(Increase)/decrease in stocks
(2,335)
Decrease/(Income)in debtors
192,709
(Decrease)/Increase in creditors
(51,515)
Increase in provisions
29,900
Net cash provided by operating activities
249,001
14,154
(14,894)
Net cash provided used in investing activities
(740)
248,261
1,392,699
1,640,960
At 1 April
2022
£
Cash at bank and in hand
1,392,699
Total cash and cash equivalents
1,392,699
Analysis of cash and cash equivalents
Cash and cash equivalents at the beginning of the
year
Cash and cash equivalents at the end of the year
Change in cash and cash equivalents in the year
Cash flows from operating activities
Cash flows from investing activities:
Interest received
Purchase of fixed assets
Loss on disposal of fixed assets
2023		 £
£
377,829
72,817
-
(1,513)
2,553
(371,755)
118,433
-
198,364
1,513
(48,803)
(47,290)
151,074
1,241,625
1,392,699

Cash flows
At 31 March
2023
£
£
248,261
1,640,960
2022
249,001
(740)		 198,364
(47,290)

Cash flows
£
248,261
248,261
1,392,699		 151,074
1,241,625
1,640,960 1,392,699
At 1 April
2022
£
1,392,699		 At 31 March
2023
£
1,640,960
1,392,699 248,261 1,640,960

23

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

KEMP Hospice is a charitable company limited by guarantee and is incorporated in England and Wales. KEMP Hospice changed its name from KEMP House Trust Limited by resolution on 30th Sepetmber 2022. The registered office address is 41 Mason Road, Kidderminster, Worcestershire, DY11 6AG.

b) Basis of preparation

The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) - (Charities SORP FRS 102), The Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

These financial statements consolidate the results of the charity and its wholly-owned subsidiary KEMP House Trust (Hospice Shop) Limited on a line by line basis. Transactions and balances between the charity and its subsidiary have been eliminated from the consolidated financial statements. Balances between the two entities are disclosed in the notes of the charity's balance sheet. A separate statement of financial activities, or income and expenditure account, for the charity itself is not presented as a summary of the result for the year is disclosed in the notes to the accounts.

Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy or note.

The accounts are prepared as full values however are presented to the nearest £1. This may cause small discrepancies in the financial statements.

In applying the financial reporting framework, the trustees have made a number of subjective judgements, for example in respect of significant accounting estimates. 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. The nature of the estimation means the actual outcomes could differ from those estimates. Any significant estimates and judgements affecting these financial statements are detailed within the relevant accounting policy below.

c) Public benefit entity

The charity meets the definition of a public benefit entity under FRS 102.

d) Going concern

The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern. Further information in relation to the trustees' appraisal of going concern is included in the trustees' annual report.

There are no key judgements that the charity has made which have a significant effect on the accounts.

The trustees do not consider that there are any sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next reporting period.

In the prior year, the directors approved the decision to liquidate the company as the premises leases and trading activity would be transferred to the parent company (KEMP Hospice, formerly KEMP House Trust Limited). The movement of the premises leases between the companies has been delayed and although the directors still intend for this transfer to occur, they plan to keep this company open for other trading purposes.

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the income have been met, it is probable that the income will be received and that the amount can be measured reliably.

Income from government and other grants, whether ‘capital’ grants or ‘revenue’ grants, is recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the charity that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

Income received in advance of the provision of a specified service is deferred until the criteria for income recognition are met.

24

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

On receipt, donated gifts, professional services and donated facilities are recognised on the basis of the value of the gift to the charity which is the amount the charity would have been willing to pay to obtain services or facilities of equivalent economic benefit on the open market; a corresponding amount is then recognised in expenditure in the period of receipt.

g) Retail, Hospitality and Leisure Grants

The trading subsidiary has received a Retail, Hospitality and Leisure Grant from the local authority for each shop. The grants were received and were recognised in the financial year ending 31 March 2021 based on an entitlement date of 1 April 2020 as per the guidance issued by the Department for Business, Energy and Industrial Strategy.

h) Interest receivable

Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest paid or payable by the bank.

i) Fund accounting

Unrestricted funds are donations and other incoming resources received or generated for the charitable purposes.

Designated funds are unrestricted funds earmarked by the trustees for particular purposes.

j) Expenditure and irrecoverable VAT

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings:

Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

k) Allocation of support costs

Where possible, costs have been allocated directly to the activity to which they relate. However, there are also shared support costs that enable the hospice's charitable, income generating and governance activities to be undertaken. Support and governance costs are re-allocated to each of the activities on the following basis which is an estimate, based on staff time, of the amount attributable to each activity

Governance costs are the costs associated with the governance arrangements of the charity. These costs are associated with constitutional and statutory requirements and include any costs associated with the strategic management of the charity’s activities.

25

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

l) Operating leases

Rental charges are charged on a straight line basis over the term of the lease.

m) Tangible fixed assets

Items of equipment are capitalised where the purchase price exceeds £500. Depreciation costs are allocated to activities on the basis of the use of the related assets in those activities. Assets are reviewed for impairment if circumstances indicate their carrying value may exceed their net realisable value and value in use.

Depreciation is provided at rates calculated to write down the cost of each asset to its estimated residual value over its expected useful life. The depreciation rates in use are as follows:

4% straight line and 99 years 5 years 4 years 3 years 3 years and 25% reducing balance

n) Investments in subsidiaries

Investments in subsidiaries are at cost.

o) Stocks

Stocks are stated at the lower of cost and net realisable value. In general, cost is determined on a first in first out basis and includes transport and handling costs. Net realisable value is the price at which stocks can be sold in the normal course of business after allowing for the costs of realisation. Provision is made where necessary for obsolete, slow moving and defective stocks.

p) Debtors

Trade and other debtors are recognised at the settlement amount due. Prepayments are valued at the amount prepaid.

q) 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.

r) 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. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

s) Financial instruments

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value with the exception of bank loans which are subsequently measured at amortised cost using the effective interest method.

t) Pensions

Pension contributions to the group personal pension plan are charged against income when payable.

26

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

the year ended 31 March 2023
Income from donations and legacies
General donations
Gift aid
In memoriam
Grants from KEMP House Trust
Other charitable trusts
Legacies
Corporate income
Fundraising income		 Unrestricted
£
12,935
62,361
30,974
50,000
62,500
243,539
22,463
116,875		 £
-
-
-
-
22,230
-
-
-
Restricted		 2023
Total
£
12,935
62,361
30,974
50,000
84,730
243,539
22,463
116,875		 Unrestricted
£
24,558
56,809
28,883
435,099
97,416
7,197
18,775
127,652		 £
-
-
-
-
26,230
6,902
-
-
Restricted		 2022
Total
£
24,558
56,809
28,883
435,099
123,646
14,099
18,775
127,652
601,647 22,230 623,877 796,389 33,132 829,521

Fundraising income includes events, raffle, community fundraising and donations.

3 Income from charitable activities

Income from charitable activities
CCG grant
Hospice UK Income
Other income
Sub-total for Hospice services
Education income
Sub-total for Education
Total income from charitable activities		 Unrestricted
£
292,980
-
14,844		 Restricted
£
-
-
-		 2023
Total
£
292,980
-
14,844		 Unrestricted
£
286,113
-
8,890		 Restricted
£
-
61,320
-		 2022
Total
£
286,113
61,320
8,890
307,824 - 307,824 295,003 61,320 356,323
2,456 - 2,456 1,391 - 1,391
2,456 - 2,456 1,391 - 1,391
310,280 - 310,280 296,394 61,320 357,714

Education income is for medical student palliative care placements.

27

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

5a Analysis of expenditure (current year)

Analysis of expenditure (current year)
Staff costs (Note 7)
Fundraising costs
Hospice events
Hospice care
Community fundraising
Corporate costs
Spiritual care
Volunteer costs
Catering
ACP costs
Running costs
Comms and marketing
Operations
Building costs
IT costs
Training
Professional fees
Audit fee
Support costs
Governance costs
Total expenditure 2023
Total expenditure 2022		 Raising
funds
£
110,711
35,174
8,627
-
3,188
18,020
-
-
-
-
-
-
-
-
8,068
1,235
-
-		 Charity shop
costs
314,778
-
-
-
-
-
-
-
-
-
263,630
-
-
-
-
-
-
-		 Charitable
activities		 Governance
costs
£
-
-
-
-
-
-
-
-
-
-
-
-
600
-
-
250
-
16,680		 Support
costs
£
252,824
-
-
-
-
-
-
52
-
-
-
14,964
22,843
106,448
33,114
1,595
8,737
-		 2023
Total
£
1,089,516
35,174
8,627
42,879
3,188
18,020
-
200
6,278
856
263,630
14,964
23,443
106,448
41,181
6,744
16,137
16,680		 2022
Total
£
1,098,576
29,183
9,387
16,889
2,588
14,868
83
194
3,688
258
290,674
7,164
852
91,999
32,281
13,710
15,941
15,575
Hospice
services &
Education
£
411,203
-
-
42,879
-
-
-
148
6,278
856
-
-
-
-
-
3,664
7,400
-
185,023
146,859
5,843		 578,408
-
-		 472,428
293,718
11,687		 17,530
-
(17,530)		 440,577
(440,577)
-		 1,693,965
-
-		 1,643,910
-
-
337,725 578,408 777,833 - - 1,693,965 1,643,910
313,747 599,264 730,899 - -

28

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

5b Analysis of expenditure (prior year)

Fundraising costs
Hospice events
Hospice care
Community fundraising
Corporate costs
Spiritual care
Volunteer costs
Catering
ACP costs
Running costs
Comms and marketing
Operations
Building costs
IT costs
Training
Professional fees
Audit fee
Support costs
Governance costs
Total expenditure 2022		 Raising
funds
£
121,357
29,183
9,387
-
2,588
14,868
-
-
-
-
-
391
-
-
1,587
316
-
-
179,677
95,332
8,072
283,081		 Charity shop
costs
308,590
-
-
-
-
-
-
-
-
-
290,674
-
-
-
-
-
-
-
599,264
-
-
599,264		 Charitable
activities
Hospice services
& Education
£
430,676
-
-
16,889
-
-
83
-
3,688
258
-
-
-
-
698
7,917
2,550
-
462,759
190,663
16,144
669,566		 Governance
costs
£
-
-
-
-
-
-
-
110
-
-
-
92
852
-
-
540
7,047
15,575
24,216
-
(24,216)
-		 Support
costs
2022
Total
£
£
237,953
1,098,576
-
29,183
-
9,387
-
16,889
-
2,588
-
14,868
-
83
84
194
-
3,688
-
258
-
290,674
6,680
7,164
-
852
-
-
29,996
32,281
4,937
13,710
6,344
15,941
-
15,575
285,995
1,551,911
(285,995)
-
-
-
-
1,551,911

29

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

This is stated after charging:

This is stated after charging:
2023 2022
£ £
Depreciation 43,913 72,817
Loss on disposal of fixed assets 238 -
Operating lease rentals:
Property 98,666 94,301
Equipment 473 380
Auditor's remuneration (excluding VAT):
Audit 10,900 12,050
Audit of subsidiary 3,000 -
Other services 1,750 1,600

Staff costs were as follows:

Staff costs were as follows:
Salaries and wages
Social security costs
Employer’s contribution to defined contribution pension schemes		 2023
£
986,500
79,161
23,855		 2022
£
991,424
76,448
30,704
1,089,516 1,098,576

The following number of employees received employee benefits (excluding employer pension costs and employer's national insurance) during the year between:


during the year between:
The total employee benefits (including pension contributions and employer's national insurance) of the
were £280,061 (2022: £317,035).
£60,000 - £69,999		 2023
No.
1		 2022
No.
1
key management personnel

The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2022: £nil).

No charity trustee received payment for professional or other services supplied to the charity (2022: £nil).

No charity trustee received expenses for the payment or reimbursement of travel and subsistence costs (2022: £nil).

8 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 52 (2022: 53).

Staff are split across the activities of the charity as follows (full time equivalent basis):
Raising funds
Retail
Support
Governance
Management and administration		 2023
No.
4.6
3.3
14.5
16.4
0.5		 2022
No.
3.6
6.7
14.3
13.3
0.5
39.3 38.4

30

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

During the financial year ended 31 March 2023, KEMP House Trust (Hospice Shop) Ltd made sales of donated goods on behalf of the hospice to the value of £263,353 (2022: £180,822).

At 31 March 2023 KEMP House Trust (Hospice Shop) Ltd owed KEMP Hospice £779,685 (2022: £577,944).

KEMP Hospice received grants of £50,000 within the year in addition to the prior year amount of £435,099 (2022: £435,099) from KEMP House Trust, of which £226,099 (2022: £435,099) was outstanding at year end.

Aggregate donations from related parties were £745 (2022: £300).

10 Taxation

The charity is exempt from corporation tax as all its income is charitable and is applied for charitable purposes. The charity's trading subsidiary KEMP House Trust (Hospice Shop) Limited distributes under Gift Aid available profits to the parent charity. Its charge to corporation tax in the year was:

2023 2022
£ £
UK corporation tax at 19% - -
11
At the start of the year
Cost
Charge for the year
Disposals in year
Transferred into the Charity
Disposals
Eliminated on disposal
At the end of the year
At the start of the year
Additions in year
Tangible fixed assets
The group
The Charity
At the start of the year
Additions in year
At the end of the year
Net book value
At the end of the year
At the start of the year
At the end of the year
Cost
Net book value
Disposals in year
At the end of the year
At the start of the year
Depreciation
Charge for the year
Depreciation
At the start of the year
At the end of the year		 Leasehold
buildings
£
815,755
-
-

£
26,080
-
-
Leasehold
property		 Motor
vehicles
£
22,120
-
-

Office
equipment
£
122,837
4,233
(13,146)
Furniture and
equipment
£
355,549
10,661
(241,825)

Total
£
1,342,341
14,894
(254,971)
815,755 26,080 22,120 113,924 124,385 1,102,264
167,914
21,144
-		 24,626
1,454
-		 18,620
875
-		 100,156
11,704
(13,145)		 341,126
8,736
(241,588)		 652,441
43,913
(254,733)
189,058 26,080 19,495 98,715 108,274 441,621
626,697 - 2,625 15,209 16,111 660,643
647,841 1,454 3,500 22,681 14,423 689,900
Leasehold
buildings
£
815,755
-
-
-

Office
equipment
£
115,106
3,513
(12,199)
1,419
Furniture and
equipment
£
322,359
5,905
(240,673)
1,998

Total
£
1,253,220
9,418
(252,872)
3,417
815,755 107,839 89,589 1,013,183
167,914
21,144
-		 97,409
10,014
(12,199)		 315,738
5,596
(240,435)		 581,061
36,754
(252,634)
189,058 95,224 80,899 365,181
626,697 12,615 8,690 648,002
647,841 17,697 6,621 672,159

The above assets are used for the Group and Charity.

31

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

12 Subsidiary undertaking

The charity owns the whole of the issued ordinary share capital of KEMP House Trust (Hospice Shop) Limited, a company registered in England. The company number is 02847086. The registered office address is 41 Mason Road, Kidderminster, DY11 6AG.

The subsidiary is used for non-primary purpose trading activities. All activities have been consolidated on a line by line basis in the statement of financial activities. Available profits are distributed under Gift Aid to the parent charity.

In the prior year, the directors approved the decision to liquidate the company as the premises leases and trading activity would be transferred to charity. The movement of the premises leases between the companies has been delayed and although the directors still intend for this transfer to occur. In 2023, the salaries were paid by the Charity and recharged to the subidiary as a management charge.

Phil Davison (appointed 19th October 2022) and Kate Collyer (appointed 13th July 2023) are also directors of the subsidiary.

A summary of the results of the subsidiary is shown below:

A summary of the results of the subsidiary is shown below:
Management charge payable to parent undertaking
Reserves
Total retained earnings brought forward
Profit for the financial year
Loss on ordinary activities before taxation
The aggregate of the assets, liabilities and reserves was:
Liabilities
Amounts owed to the parent undertaking are shown in note 16.
Shares in group undertaking
Cost at 1 April 2022 and 31 March 2023
Adjustment to prior year estimate on distribution
Taxation on profit on ordinary activities
Retained earnings
Loss on ordinary activities before interest and taxation
Gross profit
Distribution under Gift Aid to parent charity
Other operating income
Total retained earnings carried forward
Profit for the financial year
Assets
Administrative expenses
Turnover
Cost of sales
Interest receivable and similar income		 2023
£
474,370
(2,348)		 2022
£
513,560
(3,053)
472,022
(252,993)
(195,780)
-		 510,507
(551,031)
(11,245)
73,620
23,249
8,524		 21,851
271
31,773
(535)		 22,122
(1,395)
31,238 20,727
-
-
31,238
-		 (56,636)
44,000
20,727
(8,091)
31,238 -
856,173
(819,933)		 624,794
(619,792)
36,240 5,002
2023
£
5,002		 2022
£
5,002

The charity owns 100% of the share capital of KEMP House Trust (Hospice Shop) Limited.

32

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

13 Parent charity

The parent charity's gross income and the results for the year are disclosed as follows:

14
15
Amounts due from subsidiary company
16
17
Result for the year
Gift Aid
Amounts due from KEMP House Trust
Debtors
Taxation and social security
Bought goods
Prepayments and accrued income
Accruals and deferred income
Gross income
VAT
Trade creditors
Pension Fund
Stock
Trade debtors
Creditors: amounts falling due within one year
Dilapidations
The movement in diplapidations provision in the year was:
At the start of the year
Addtions
At the end of the year
VAT
Provision for liabilities		 2023
2022
£
£
2,361
26
The group		 2023
2022
£
£
2,361
26
The group		 2023
£
1,293,573
19,007		 2022
£
1,445,500
377,829
2023
2022
£
£
-
-
The charity
2,361 26 - -
2023
2022
£
£
91,683
22,431
-
-
257,693
465,187
111,755
99,980
30,398
29,404
71,597
138,833
The group		 2023
2022
£
£
91,683
22,431
779,685
575,993
256,998
465,117
-
27,252
30,398
29,404
60,660
95,282
The charity
563,126 755,835 1,219,424 1,215,479
2023
2022
£
£
1,205
66,603
18,212
86,748
4,676
5,366
74,615
-
50,359
41,865
The group		 2023
2022
£
£
1,151
39,491
18,212
84,797
4,676
5,366
74,615
-
34,601
27,128
The charity
149,067 200,582 133,255 156,782
2023
2022
£
£
29,900
-
The group		 2023
2022
£
£
6,000
-
The charity
29,900 - 6,000 -
2023
2022
£
£
6,000
-
23,900
-
The group		 2023
2022
£
£
-
-
6,000
-
The charity
29,900 - 6,000 -

Within the provision for liabilities is the dilapidation provision for the cost of repairs to a number of leasehold properties at the end of their leases. This value is re-assessed annually. Given the timing of lease exit is uncertain, the value and timing of the resulting payments is also uncertain.

33

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

For the year ended 31 March 2023
18a
18b
Analysis of group net assets between funds (prior year)
Net assets at 31 March 2022
Net current assets
Net assets at 31 March 2023
Net current assets
Tangible fixed assets
Analysis of group net assets between funds (current year)
Tangible fixed assets		 General
unrestricted
£
102,011
1,602,445
Restricted
funds
£
558,632
8,968
Designated
funds
£
-
416,067
Total funds
£
660,643
2,027,480
1,704,456 567,600 416,067 2,688,123
General
unrestricted
£
111,821
1,512,376
Restricted
funds
£
578,079
19,535
Designated
funds
£
-
416,067
Total funds
£
689,900
1,947,978
1,624,197 597,614 416,067 2,637,878

19a Movements in funds (current year)

Movements in funds (current year)
Total restricted funds
Total designated funds
General funds
Eveson Trust
Total funds
Unrestricted funds:
Restricted funds:
Designated funds:
Redesign and landscaping of garden
Refurbishment of hospice patient
focussed rooms and general areas
Hospice roof and cellar
Total unrestricted funds
Wellbeing
Digital
Hospice kitchen & equipment
KEMP in the Garden Building - depreciation of annexe
buildings
Freehold property at Mason Road
BBC Children in Need
The Kildare Trust		 At 1 April 2022
£
254,592
323,487
5,935
13,600
-		 Income &
gains
£
-
-
7,230
-
15,000
Expenditure
& losses
£
(15,912)
(3,535)
(12,265)
(5,532)
(15,000)
Transfers
£
-
-
-
-
-		 At 31 March
2023
£
238,680
319,952
900
8,068
-
597,614 22,230 (52,244) - 567,600
178,267
105,800
20,000
4,000
48,000
60,000		 -
-
-
-
-
-		 -
-
-
-
-
-		 -
-
-
-
-
-		 178,267
105,800
20,000
4,000
48,000
60,000
416,067 - - - 416,067
1,624,198 1,721,981 (1,641,722) - 1,704,456
2,040,265 1,721,981 (1,641,722) - 2,120,523
2,637,878 1,744,211 (1,693,965) - 2,688,123

34

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

19a Movements in funds (current year) continued

Designated funds are funds which the trustees have set aside for the maintenance and improvement works to the hospice building, employee wellbeing and the development of our digital strategy.

Details of Restricted funds

KEMP in the Garden Building and Freehold Property at Mason Road - depreciation charged on buildings used to deliver our services. BBC Children in Need - A project to deliver bereavement support to children and young people. The Kildare Trust - funding to improve the garden at Mason Road.

Eveson Trust - A grant to provide bereavement counselling for children and young people

Details of Designated Funds

Various improvement projects have been identified and apporved by the Trustees. These remain under review taking into consideration the requirements for future services and facilities to meet the needs of our population for the next 10 - 20 years.

Redesign and landscaping of garden - improvements to our external environment at Mason Road.

Refurbishment of hospice patient focussed rooms and general areas - fund to support refurbishments of ground floor areas. Hospice kitchen and equipment - the kitchen and equipment at Mason Road require refurbishment.

Wellbeing - a fund to deliver projects to support employee wellbeing.

Digital - to support upgrading IT infrastructure and the website.

Hospice roof and cellar - the building at Mason Road requires repair so that the cellar can be used for storage.

19b Movements in funds (prior year)

Movements in funds (prior year)
Total restricted funds
Total designated funds
General funds
Legacy
Hospice UK
KEMP in the Garden Building - depreciation of annexe
buildings
Freehold property at Mason Road
BBC Children in Need - Childrens Bereavement
The Kildare Trust - Garden Project
Francis Winham Foundation - helping the elderly in
times of hardship and crisis
Restricted funds:
Unrestricted funds:
Designated funds:
Total funds
Redesign and landscaping of garden
Refurbishment of hospice patient
focussed rooms and general areas
Hospice kitchen & equipment
Wellbeing
Digital
Hospice roof and cellar
Total unrestricted funds		 At 1 April 2021
£
270,504
327,022
-
7,088
-
-		 Income &
gains
£
-
-
61,320
7,230
15,000
6,902
4,000
Expenditure
& losses
£
(15,912)
(3,535)
(61,320)
(8,383)
(1,400)
(6,902)
(4,000)
Transfers
£
-
-
-
-
-
-
-		 At 31 March
2022
£
254,592
323,487
-
5,935
13,600
-
-
604,614 94,452 (101,452) - 597,614
100,000
105,800
20,000
4,000
48,000
60,000		 -
-
-
-
-
-		 (1,733)
-
-
-
-
-		 80,000
-
-
-
-
-		 178,267
105,800
20,000
4,000
48,000
60,000
337,800 - (1,733) 80,000 416,067
1,317,635 1,927,288 (1,540,725) (80,000) 1,624,198
1,655,435 1,927,288 (1,542,458) - 2,040,265
2,260,049 2,021,740 (1,643,910) - 2,637,878

35

KEMP Hospice (formerly KEMP House Trust Limited)

Notes to the financial statements

For the year ended 31 March 2023

20 Operating lease commitments payable as a lessee

The group's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:


periods:
Less than one year
One to five years		 2023
2022
£
£
78,042
66,875
80,938
158,229
Property		 2023
2022
£
£
1,574
857
1,088
176
Equipment
158,980 225,104 2,662 1,033

The charity's total future minimum lease payments under non-cancellable operating leases is as follows for each of the following periods:


periods:
Less than one year
One to five years		 2023
2022
£
£
30,542
14,667
68,750
98,458
Property		 2023
2022
£
£
-
-
-
-
Equipment
99,292 113,125 - -

21 Capital commitments

At the balance sheet date, the group had no capital committments (2022: £nil).

22 Legal status of the charity

The charity is a company limited by guarantee and has no share capital. The liability of each member in the event of winding up is limited to £1.

36