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← Kemp Hospice

2024-03-31-accounts

Company number: 07846810 Charity Number: 1146310

KEMP Hospice

Report and consolidated financial statements For the year ended 31 March 2024

KEMP Hospice

Contents

For the year ended 31 March 2024

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

Reference and administrative information

For the year ended 31 March 2024

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 Janet Rowe Mrs Kate Collyer Mrs Julia Neal (Resigned 14 March 2024) Ms Polly Symondson (Resigned 22 September 2023) Ms Katherine Ellis Mrs Suzanne Beattie Mr Philip Davison Mrs Ruth Mayall (Appointed 14 March 2024) Mrs Laura Nash (Appointed 25 September 2024) Mrs Z e na Dalton (Appointed 25 September 2024) Key management Caroline Beech Chief Executive personnel Laurey Grennall Head of Hospice Services Jayne Sargeant Head of Fundraising & Communications Gary Barnes Head of Retail Rachel Paget Head of Finance Cassie Bennett Head of People (Appointed 4 June 2024) Andy Stanney Head of People (Resigned 26 January 2024) Bankers Santander Bridle Road Bootle L30 4GB HSBC Bank plc 6 Broad Street Worcester WR1 2EJ

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KEMP Hospice

Reference and administrative information

For the year ended 31 March 2024

Solicitors Painters 29 Church Street Kidderminster CY10 2AU Auditor Sayer Vincent LLP Chartered Accountants and Statutory Auditor 110 Golden Lane LONDON EC1Y 0TG

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

The trustees present their report and the audited financial statements for the year ended 31 March 2024.

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

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:

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

Our Activities

KEMP has been providing valuable care and support to people across the Wyre Forest, affected by a lifelimiting illness, for 55 years. We give end-of-life care, counselling and emotional support free of charge to adults facing a life-limiting illness, their families, and carers for as long they need it. We’re by their side in our day hospice, in their home or virtually, as they face some of their toughest times.

KEMP’s specialist support and person-centred care is for everyone, no matter their life-limiting condition: cancer, organ failure, motor neurone disease and others. Our team of caring professionals specialise in palliative nursing care, rehab / exercise and occupational therapy, wellbeing therapies and psychological support. From diagnosis to end of life, we help people live as well as possible at every stage of their journey.

Our bereavement service is here for adults, children, and young people across the Wyre Forest area, even when the death of a loved one isn’t linked to a life-limiting illness. Our bereavement counselling helps people cope with their grief by giving them an outlet to talk openly about their feelings and time and space to process their emotions.

Provided by a team of dedicated staff and 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.

Our services include:

Care Home Support – providing specialist palliative care expertise to care homes and professionals.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

Collaborative working and provision

We are pleased to highlight our robust collaboration with the Community Specialist Palliative Care Team and the Wyre Forest Consultant in Palliative Medicine, aimed at ensuring the delivery of streamlined and comprehensive patient care. In addition, our support includes an NHS heart failure clinic and an NHS Lymphoedema Outpatient Clinic. We extend our services through home visits for patients unable to attend our hospice building.

Throughout 2023-2024, KEMP Hospice has continued to cultivate and enhance partnerships with health and social care professionals in primary and secondary care sectors. Significant progress has been made in strengthening relationships with Long-Term Condition Teams, Specialist Nurses, Learning Disability Nurses, Community Specialists, and educational institutions. These collaborations are pivotal in enriching the scope and quality of care available to our community.

Achievements and performance 2023-24

The past year at KEMP Hospice has been marked by intense activity, significant progress, and ongoing challenges, particularly in recruitment. The rising complexity and demand for our services have pushed us to innovate and adapt continuously. In 2023-2024, we successfully expanded and diversified our activities, demonstrating our commitment to providing exceptional care and support to our community. During this period, we launched new initiatives to enhance the quality and accessibility of our services. These included specialised care programs tailored to various patient needs, the integration of advanced technology to improve service delivery, and strengthened community outreach. Our team worked tirelessly to ensure that every individual under our care received the highest standard of support, despite challenges posed by increasing service demands and workforce shortages.

Service provision

Our multidisciplinary team includes a nursing team, an exercise and wellbeing practitioner, an occupational therapist with a rehabilitation assistant, a creative artist, complementary therapists, counsellors, a social worker, and a befriending service coordinator. This collaborative approach is delivered through personalised one-to-one appointments, group sessions, and virtual consultations, providing accessible and flexible support for patients, families, carers, and those affected by bereavement alike.

Beyond our hospice facilities, KEMP Hospice extends its expertise to support 44 care homes across the Wyre Forest District. Through tailored support, advice, education, and training, we advocate for residents' wishes and preferences for care around end of life, ensuring their choices are respected and honoured.

At KEMP Hospice, we maintain the highest standards of care and service quality, guided by our commitment to enhance the quality of life for our patients and to provide unwavering support to their families, carers, and those affected by bereavement through every stage of their journey.

Family & Patient Support Services

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.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

Activity 2023-24 Care Services Referrals & Activity

Care Services saw a significant increase during 2023-2024, with referrals rising by 47%, from 110 to 162. This growth was driven by initiatives aimed at enhancing both onsite care and expanding outreach into the community. Key factors contributing to this expansion include the availability of a wider range of services, strengthened community engagement efforts, and ongoing staff development to better address the diverse needs of service users.

Notably, the nursing team underwent expansion and increased specialisation during this period, further enhancing the quality and breadth of onsite care and support provided.

The dedicated multi-disciplinary team, comprised of nurses, exercise and well-being practitioner, occupational therapist and assistant, creative arts therapist, played a crucial role in delivering specialised care to patients and their families.

Family Support & Bereavement Services Referrals & Activity

We received 262 referrals (335 2022-23) for support for bereaved adults and 294 (153 2022-23) for children and young people. We have had a total Adults Support & Bereavement of 8,178 contacts with clients. Contacts are Service Contacts sessions which are delivered either by phone, face to face or virtual.

During 2023-24, the Family Support &

Bereavement Service made significant strides in client support and waiting list management. Self-referrals remained the primary source, encompassing clients referred directly or through GP surgeries. Formal GP referrals followed as the second largest referral source, while referrals from Social Prescribers and Schools also increased notably, especially for Children and Young Persons. In response to rising demand and to enhance service efficiency, the service implemented changes in referral processes, resulting in prompt assessments and

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

quicker access to support resources. This improvement facilitated early risk assessment and safeguarding measures, crucial for effective client care.

Key achievements include substantial reductions in waiting times with bereavement support for Children and Young People reduced to approximately 3.5 months marking a 63% decrease from the initial 9-10 months; adult bereavement support decreased to 7 months from 9 months, representing a 22% reduction in waiting times.

Additional Key Highlights / Developments in Services 2023-24

Our current rating is Good. We have not been inspected by the Care Quality Commission (CQC) in 2023-24. The latest update on the CQC website is as follows: We reviewed the information and data available to us about KEMP Hospice on 8 June 2023. We have not found evidence that we need to reassess the rating at this stage. We will continue to monitor information about this service.

EMIS electronic notes went live for the Family Support and Bereavement Team. This has been designed for our specialist needs to enable comprehensive assessments, documentation and reporting which will enable evidencing and enhanced reporting of our impact and care.

Minecraft – using therapeutically with Children and Young People . KEMP Hospice Is the first Hospice in the UK to use Minecraft as part of its therapeutic approach for children and young people receiving pre- and post-bereavement support. This innovative method shows broader potential, including supporting clients with autism spectrum disorders, learning disabilities, and young adults. Minecraft provides a flexible and engaging environment, by embracing digital therapy we can meet the unique needs of CYP in ways that traditional counselling may not provide them. It has garnered positive feedback from CYP, parents, and schools. The virtual environment encourages CYP to express themselves more freely, fostering stronger connections with counsellors and gaining valuable insights into their world. This method has been particularly effective in engaging boys and younger teens who often find traditional therapy less appealing. The personalised notebooks serve as a tangible reminder of the therapeutic journey and support ongoing discussions beyond formal sessions.

Robinson, E. (2023, April 10). Minecraft as a Counselling Tool: Building Bridges to Children's Mental - - Health. Minecraft Education Blog. https://education.minecraft.net/en us/blog/kemp hospice

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.

Family Support & Bereavement Service

I was able to discuss my feelings with the counsellor that I would not have felt happy talking about with my family. Also to be reassured that these feelings were a normal part of grief. Has been absolutely amazing and helped me to deal with my emotions regarding the loss of my partner and other issues that have happened in my past. Without her guidance I wouldn’t be in the peace I am today. I feel happier. Stronger and more in control Has helped me on the path to becoming myself again following the loss of my mom. Her guidance and kindness has changed my future for the better and I will never forget this life changing

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

Helens Story KEMP Hospice: Helens Story

Finance & Welfare To all that work for KEMP Hospice, upstairs and downstairs. We wish to thank you for all the care you’ve given us - welfare, health and finances, things we couldn't do on our own. From the bottom of our hearts, thank you.

Befriending

I really look forward to her coming to see me. I don't see many people, so it's lovely to be able to have a good chat.

From Befriender – It is lovely to hear stories about their childhood and how the war impacted their everyday life…

Outreaching into Care Homes Talking 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 "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.

Very difficult to offer anything to enhance, the levels of care, friendship and/or the professional care and support from all staff at the Hospice.

Variety of opportunities, arts, crafts, exercise. It's always a good day at KEMP. I have a very painful arm. The treatment I receive gives me relief and comfort by relieving the tensions and pain .

Carers Support

Meeting up with other carers was particularly helpful as was learning about the benefits available. Nice to be a part of the group, talking helps. Keep the sessions going!

Extremely helpful speaking to others with the same problems. Learning about the way KEMP work to support people. Enough time is given to discuss the different situations that come with caring. It's good that in our group we have people that are caring and have cared and come along that journey.

Generation of Income

KEMP Hospice has a varied portfolio of fundraising initiatives. This ensures that supporters have a wide range of ways in which to engage with the charity and minimises the risk of becoming dependent on any one fundraising activity.

KEMP Hospice is registered with the Fundraising Regulator. We adhere to and maintain the standards set out by the regulator, ensuring our fundraising is legal, open, honest, and respectful to the public. Furthermore, we are committed to adhering to the Institute of Fundraising Code of Fundraising Practice and the specific guidance on treating donors fairly (through Respect, Fairness, Accountable, Responsive) in all our fundraising activities, ensuring that we protect vulnerable people. We received no complaints in relation to our fundraising activities during the year.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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 201 (2023: 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 26,828 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 £1,918,565 (2023: £1,744,211) with a net loss of £44,509 (2023: £50,245). All our income is used to support in the delivery of services to our patients and clients.

Income

We received annual funding in the form of a grant agreement from Herefordshire and Worcestershire Integrated Care System totalling £298,253 (2023: £292,980).

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

We are delighted to report an income of £750,493 (2023: £737,848) from our charity shops for 202324.

Our gift aid income, £75,108 (2022-23: £62,361) has significantly increased compared to last year. Fundraising income totalled £142,634 (2022-23: £116,875), a substantial growth compared to last year.

Our thanks go to the Trustees of KEMP House Trust, who supported us in this financial year with funding of £351,000 towards us continuing to provide our vital services.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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

Expenditure

Our total expenditure in 2023-24 was £1,918,565 (2023: £1,693,966) 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 £1,007,585 (2023: £915,598) which reflects the increase in salary and utility costs.

Total funds held at the end of the financial year were £2,643,614 (2023: £2,688,123), of which £549,409 (2023: £567,600) is restricted to support several ongoing services, as well as the fixed assets which are essential for our charitable activities.

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:

Failure to raise the required funds to deliver our services. We have skilled and experienced staff and trustees in key roles. As well as quarterly income and financial scrutiny, our income and expenditure is reviewed on a monthly basis and any variances against budget are reviewed. We also have a comprehensive fundraising strategy.

Changing social attitudes may reduce the pool of people who will enable us to fulfil our planned recruitment of volunteers. We mitigate this risk by nurturing relationships with organisations and individuals who can support us in facilitating recruitment of potential volunteers, as well as exploring ways to taking a collaborative approach to volunteer attraction and recruitment with other hospices and charities.

Competing with Agenda for Change pay and reward packages could affect our recruitment

of health and social care colleagues. As well as an emphasis on communicating our culture and carrying out regular benchmarking activities, we are committed to building on strong recruitment and employment foundations to ensure people who work with us are engaged and valued.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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.

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 £1,712,352 (2023: £1,704,457), which is 12 months of the anticipated expenditure and representative of the desired reserves position.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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

£
Total Reserves 2,643,614
Less
Restricted Reserves (549,409)
Designated funds – Strategic Fund (381,854)
Available unrestricted reserves 1,712,352

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.

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

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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: www.kemphospice.org.uk

Progress towards achieving objectives is monitored and reviewed through the respective subcommittee which are focussed on Hospice 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 leadership 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, Cassie Bennett and Head of Retail, Gary Barnes. The senior leadership team meet monthly to discuss both strategic and operational matters.

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 Mrs Ruth Mayall 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.

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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 detailed application which demonstrates the benefits to the beneficiaries of the hospice services.

During the year ending March 2024 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 attend the Board meetings, which are held quarterly.

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: Select suitable accounting policies and then apply them consistently

Prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation

The trustees are responsible for keeping adequate accounting records 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

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KEMP Hospice

Trustees’ annual report

For the year ended 31 March 2024

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:

There is no relevant audit information of which the charitable company’s auditor is unaware

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 2024 was 7 (2023: 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.

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 4th December 2024 and signed on their behalf by

Geoff Taylor-Smith Chair

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Independent auditor’s report

To the members of

KEMP Hospice

Opinion

We have audited the financial statements of KEMP Hospice (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the year ended 31 March 2024 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'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.

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Independent auditor’s report

To the members of

KEMP Hospice

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:

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Independent auditor’s report

To the members of

KEMP Hospice

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:

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Independent auditor’s report

To the members of

KEMP Hospice

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

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) 18 December 2024

for and on behalf of Sayer Vincent LLP, Statutory Auditor

110 Golden Lane, LONDON, EC1Y 0TG

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

20

KEMP Hospice

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

For the year ended 31 March 2024

For theyear ended 31 March 2024
Note
Income from:
2
3
3
5
5
12
6
Reconciliation of funds:
Total funds brought forward
Total funds carried forward
Transfers between funds
Net movement in funds
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:
Management charges
Lottery income
Fundraising costs
Raising funds
Donations and legacies
Charitable activities		 Unrestricted
£
698,001
309,328
764
750,493
3,000
51,158
66,141		 Restricted
£
39,680
-
-
-
-
-
-		 2024
Total
£
737,681
309,328
764
750,493
3,000
51,158
66,141		 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
1,878,885 39,680 1,918,565 1,721,981 22,230 1,744,211
372,169
635,416
897,618
-		 -
-
57,871
-		 372,169
635,416
955,489
-		 337,725
577,873
725,589
535		 -
-
52,244
-		 337,725
577,873
777,833
535
1,905,203 57,871 1,963,074 1,641,723 52,244 1,693,966
(26,318)
-		 (18,191)
-		 (44,509)
-		 80,259
-		 (30,014)
-		 50,245
-
(26,318)
2,120,523		 (18,191)
567,600		 (44,509)
2,688,123		 80,259
2,040,264		 (30,014)
597,614		 50,245
2,637,878
2,094,205 549,409 2,643,614 2,120,523 567,600 2,688,123

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

Balance sheets

Company no. 07846810

As at 31 March 2024

As at 31 March 2024
Balance sheets		 Company no. 07846810 Company no. 07846810
Note
Fixed assets:
11
12
Current assets:
14
15
Liabilities:
16
17
18a
Unrestricted income funds:
Designated funds
General funds
Total assets less current liabilities
Stock
Debtors
Funds:
Creditors: amounts falling due within one year
Net current assets
Total net assets
Restricted income funds
Provision for liabilities
Investments
Cash at bank and in hand
Tangible assets
Total funds		 2024
2023
£
£
640,445
660,643
-
-
The group		 2024
2023
£
£
636,069
648,002
5,002
5,002
The charity
640,445
1,441
541,594
1,677,024		 660,643
2,361
563,126
1,640,960		 641,071
-
992,241
1,154,743		 653,004
-
1,219,424
923,176
2,220,059
(186,990)		 2,206,447
(149,067)		 2,146,984
(162,933)		 2,142,600
(133,255)
2,033,069 2,057,380 1,984,051 2,009,345
2,673,514 2,718,023 2,625,122 2,662,349
(29,900) (29,900) (6,000) (6,000)
2,643,614 2,688,123 2,619,122 2,656,349
549,409
381,854
1,712,352		 567,600
416,067
1,704,456		 549,409
381,854
1,687,860		 567,600
416,067
1,672,682
2,643,614 2,688,123 2,619,122 2,656,349

Approved by the trustees on 4th December 2024 and signed on their behalf by

Geoff Taylor-Smith Janet Rowe Chair Trustee

22

KEMP Hospice

Consolidated statement of cash flows

For the year ended 31 March 2024

For theyear ended 31 March 2024 For theyear ended 31 March 2024 For theyear ended 31 March 2024
Note
£
£
Net (expenditure) / income for the reporting period
(44,509)
(as per the statement of financial activities)
Depreciation charges
51,616
-
Interest from investments
(66,141)
Decrease / (increase) in stocks
920
Decrease in debtors
21,532
Increase / (decrease) in creditors
37,923
Increase in provisions
-
Net cash provided by operating activities
1,341
66,141
(31,418)
Net cash provided by / (used in) investing activities
34,723
36,064
1,640,960
1,677,024
At 1 April
2023
£
Cash at bank and in hand
1,640,960
Total cash and cash equivalents
1,640,960
2024
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		 £
£
50,245
43,913
238
(14,154)
(2,335)
192,709
(51,515)
29,900
249,001
14,154
(14,894)
(740)
248,261
1,392,699
1,640,960

Cash flows
At 31 March
2024
£
£
36,064
1,677,024
2023
1,341
34,723		 249,001
(740)

Cash flows
£
36,064
36,064
1,640,960		 248,261
1,392,699
1,677,024 1,640,960
At 1 April
2023
£
1,640,960		 At 31 March
2024
£
1,677,024
1,640,960 36,064 1,677,024

23

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

1 Accounting policies

a) Statutory information

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 September 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 2022, the directors approved the decision to liquidate the trading company as the premises leases and trading activity would be transferred to the parent company, KEMP Hospice. 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.

24

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

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.

Donated professional services and donated facilities are recognised as income when the charity has control over the item or received the service, any conditions associated with the donation have been met, the receipt of economic benefit from the use by the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102), volunteer time is not recognised so refer to the trustees’ annual report for more information about their contribution.

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) 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.

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.

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.

25

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

1 Accounting policies (continued)

j) Allocation of support costs

 Cost of raising funds 34%  Hospice services 66%

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.

k) Operating leases

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

l) 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:

m) Investments in subsidiaries

Investments in subsidiaries are at cost.

n) 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.

o) Debtors

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

p) 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.

q) 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.

r) 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.

s) Pensions

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

26

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

2 Income from donations and legacies

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
£
9,818
75,108
36,044
351,000
41,600
17,200
24,597
142,634		 £
-
-
-
-
39,680
-
-
-
Restricted		 2024
Total
£
9,818
75,108
36,044
351,000
81,280
17,200
24,597
142,634		 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
698,001 39,680 737,681 601,647 22,230 623,877

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
£
298,253
-
11,075		 Restricted
£
-
-
-		 2024
Total
£
298,253
-
11,075		 Unrestricted
£
292,980
-
14,844		 Restricted
£
-
-
-		 2023
Total
£
292,980
-
14,844
309,328 - 309,328 307,824 - 307,824
764 - 764 2,456 - 2,456
764 - 764 2,456 - 2,456
310,092 - 310,092 310,280 - 310,280

Education income is for medical student palliative care placements.

27

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

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 2024
Total expenditure 2023		 Raising
funds
£
121,932
41,421
10,813
-
4,249
3,239
-
-
-
-
-
-
-
-
7,753
720
-
-		 Charity shop
costs
380,568
-
-
-
-
-
-
-
-
-
254,848
-
-
-
-
-
-
-
635,416
-
-
635,416
578,408		 Charitable
activities		 Governance
costs
£
-
-
-
-
-
-
-
-
-
-
-
-
85
-
-
613
-
19,960		 Support
costs
£
298,567
-
-
-
-
-
-
337
-
-
40,810
28,315
103,403
36,243
5,848
11,946
-		 2024
Total
£
1,329,730
41,421
10,813
44,576
4,249
3,239
-
337
9,394
-
254,848
40,810
28,400
103,403
44,402
15,546
11,946
19,960		 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
Hospice
services &
Education
£
528,663
-
-
44,576
-
-
-
-
9,394
-
-
-
-
-
406
8,365
-
-
190,127
175,156
6,886		 591,404
350,313
13,772		 20,658
-
(20,658)		 525,469
(525,469)
-		 1,963,074
-
-		 1,693,965
-
-
372,169 955,489 - - 1,963,074 1,693,965
337,725 777,833 - -

28

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

5b Analysis of expenditure (prior year)

Analysis of expenditure (prior 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		 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
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
-
-
337,725 578,408 777,833 - - 1,693,965

29

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

6 Net income / (expenditure) for the year

This is stated after charging:

This is stated after charging:
2024 2023
£ £
Depreciation 51,616 43,913
Loss on disposal of fixed assets - 238
Operating lease rentals:
Property 94,033 98,666
Equipment 1,512 473
Auditor's remuneration (excluding VAT):
Audit of parent charity 11,150 10,900
Audit of subsidiary 3,750 3,000
Other services 1,750 1,750

Staff costs were as follows:

Staff costs were as follows:
Social security costs
Employer’s contribution to defined contribution pension schemes
Salaries and wages		 2024
£
1,202,953
85,476
41,301		 2023
£
986,500
79,161
23,855
1,329,730 1,089,516

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

2024 2023
No. No.
£60,000 - £69,999 1 1

The total employee benefits (including pension contributions and employer's national insurance) of the key management personnel were £319,471 (2023: £280,061).

The charity trustees were neither paid nor received any other benefits from employment with the charity in the year (2023: £nil).

No charity trustee received payment for professional or other services supplied to the charity (2023: £nil).

No charity trustee received expenses for the payment or reimbursement of travel and subsistence costs (2023: £nil).

8 Staff numbers

The average number of employees (head count based on number of staff employed) during the year was 60 (2023: 52).

Raising funds
Retail
Support
Governance
Management and administration
Staff are split across the activities of the charity as follows (full time equivalent basis):		 2024
No.
4.7
4.8
14.7
17.4
0.5		 2023
No.
4.6
3.3
14.5
16.4
0.5
42.1 39.3

30

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

9 Related party transactions

During the financial year ended 31 March 2024, KEMP House Trust (Hospice Shop) Ltd made sales of donated goods on behalf of the hospice to the value of £278,667 (2023: £263,353 ). KEMP House Trust (Hospice Shop) Ltd paid management recharges to the hospice of £240,774 (2023: £195,780).

At 31 March 2024 KEMP House Trust (Hospice Shop) Ltd owed KEMP Hospice £625,203 (2023: £779,685).

KEMP Hospice received grants of £351,000 within the year in addition to the prior year amount of £50,000 (2023: £435,099) from KEMP House Trust, of which £281,941 (2023: £226,099 ) was outstanding at year end.

Aggregate donations from related parties were £845 (2023: £745).

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:

2024 2023
£ £
UK corporation tax at 19% - -
11
Net book value
Disposals in year
At the end of the year
At the start of the year
Depreciation
At the end of the year
Cost
At the start of the year
Additions in year
Tangible fixed assets
The group
Charge for the year
Eliminated on disposal
At the end of the year
At the start of the year		 Leasehold
buildings
£
815,755
-
-
£
26,080
-
-
Leasehold
improvements		 Motor
vehicles
£
22,120
-
-
Office
equipment
£
113,924
25,035
-		 Furniture and
equipment
£
124,385
6,383
-
Total
£
1,102,264
31,418
-
815,755 26,080 22,120 138,959 130,768 1,133,682
189,058
20,367
-		 26,080
-
-		 19,495
2,625
-		 98,715
14,086
-		 108,274
14,538
-		 441,621
51,616
-
209,425 26,080 22,120 112,801 122,812 493,237
606,330 - - 26,158 7,956 640,445
626,697 2,625 15,209 16,111 660,643

31

KEMP Hospice

Notes to the financial statements

Notes to the financial statements
For the year ended 31 March 2024
11
Tangible fixed assets continued
Charge for the year
Depreciation
At the start of the year
At the end of the year
Net book value
At the end of the year
At the start of the year
The Charity
At the start of the year
Additions in year
At the end of the year
Cost
Disposals in year
Transferred into the Charity
Disposals		 Leasehold
buildings
£
815,755
-
-
Office
equipment
£
107,839
25,035
-
-		 Furniture and
equipment
£
89,589
3,138
-
-
Total
£
1,013,183
28,173
-
-
815,755 132,874 92,727 1,041,356
189,058
20,367
-		 95,224
12,519
-		 80,899
7,220
-		 365,181
40,106
-
209,425 107,743 88,119 405,287
606,330 25,131 4,608 636,069
626,697 12,615 8,690 648,002

The above assets are used for the Group and Charity.

32

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

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 and 2024, the salaries were paid by the Charity and recharged to the subidiary as a management charge.

Phil Davison 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
Cost at 1 April 2023 and 31 March 2024
Total retained earnings carried forward
Profit for the financial year
Loss on ordinary activities before interest and taxation
Gross profit
Distribution under Gift Aid to parent charity
Liabilities
Amounts owed to the parent undertaking are shown in note 16.
Shares in group undertaking
The aggregate of the assets, liabilities and reserves was:
Taxation on profit on ordinary activities
Retained earnings
Assets
Administrative expenses
Turnover
Cost of sales
Interest receivable and similar income
Reserves
Total retained earnings brought forward
Profit for the financial year
Loss on ordinary activities before taxation		 2024
£
474,613
(2,885)		 2023
£
474,370
(2,348)
471,728
(263,426)
(240,774)		 472,022
(252,993)
(195,780)
(32,472)
25,726		 23,249
8,524
(6,746)
-		 31,773
(535)
(6,746) 31,238
31,238
(6,746)
(996)		 -
31,238
-
23,496 31,238
702,654
(674,156)		 856,173
(819,933)
28,498 36,240
2024
£
5,002		 2023
£
5,002

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

33

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

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
VAT
Gift Aid
Amounts due from KEMP House Trust
VAT
Trade creditors
Pension Fund
Stock
Trade debtors
Creditors: amounts falling due within one year
Gross income
Bought goods
Prepayments and accrued income
Accruals and deferred income
Debtors
Taxation and social security
Result for the year		 2024
2023
£
£
1,441
2,361
The group		 2024
2023
£
£
1,441
2,361
The group		 2024
£
1,455,282
(37,227)		 2023
£
1,293,573
19,007
2024
2023
£
£
-
-
The charity
1,441 2,361 - -
2024
2023
£
£
22,693
91,683
-
-
283,407
257,693
160,588
111,755
17,783
30,398
57,123
71,597
The group		 2024
2023
£
£
22,693
91,683
625,203
779,685
281,941
256,998
-
-
17,783
30,398
44,621
60,660
The charity
541,594 563,126 992,241 1,219,424
2024
2023
£
£
29,673
1,205
22,214
18,212
6,895
4,676
77,877
74,615
50,331
50,359
The group		 2024
2023
£
£
14,496
1,151
22,214
18,212
6,895
4,676
77,877
74,615
41,451
34,601
The charity
186,990 149,067 162,933 133,255

34

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024 17 Provision for liabilities

e year ended 31 March 2024
Provision for liabilities
At the end of the year
Dilapidations
The movement in dilapidations provision in the year was:
At the start of the year
Addtions		 2024
2023
£
£
29,900
29,900
The group		 2024
2023
£
£
6,000
6,000
The charity
29,900 29,900 6,000 6,000
2024
2023
£
£
29,900
-
-
29,900
The group		 2024
2023
£
£
6,000
-
-
6,000
The charity
29,900 29,900 6,000 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.

18a Analysis of group net assets between funds (current year)

Analysis of group net assets between funds (current year)
Tangible fixed assets
Net current assets
Net assets at 31 March 2024		 General
unrestricted
£
101,260
1,611,092
Restricted
funds
£
539,185
10,224
Designated
funds
£
-
381,854
Total funds
£
640,445
2,003,169
1,712,352 549,409 381,854 2,643,614

18b Analysis of group net assets between funds (prior year)

Analysis of group net assets between funds (prior year)
Tangible fixed assets
Net current assets
Net assets at 31 March 2023		 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 2,688,122

35

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

Movements in funds (current year)
Triage Room refurbishment
Exercise and wellbeing refurbishment
Bereavement services
Total restricted funds
Strategic Fund
Total designated funds
General 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
Care and support services
KEMP in the Garden Building - depreciation of annexe
buildings
Freehold property at Mason Road
BBC Children in Need
The Kildare Trust
Designated funds:
Total funds
Unrestricted funds:
Restricted funds:
Befriending		 At 1 April 2023
£
238,680
319,952
900
8,068
-
-
-
-
-		 Income &
gains
£
-
-
-
-
1,000
5,680
8,000
3,000
22,000
Expenditure
& losses
£
(15,912)
(3,535)
(900)
(756)
(1,000)
(5,680)
(5,088)
(3,000)
(22,000)
Transfers
£
-
-
-
-
-
-
-
-
-		 At 31 March
2024
£
222,768
316,417
()
7,312
-
-
2,912
-
-
567,600 39,680 (57,871) - 549,409
178,267
105,800
20,000
4,000
48,000
60,000
0		 -
-
-
-
-
-
-		 -
-
-
(813)
(33,400)
-
-		 (178,267)
(105,800)
(20,000)
(3,187)
(14,600)
(60,000)
381,854		 ()
-
-
-
-
-
381,854
416,067 - (34,213) - 381,854
1,704,456 1,878,885 (1,870,990) - 1,712,351
2,120,523 1,878,885 (1,905,203) - 2,094,205
2,688,123 1,918,565 (1,963,073) - 2,643,614

19a Movements in funds (current year) continued

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.

Befriending - a grant to support the befriending service supported by The Eric W Vince Trust.

Triage Room refurbishment - project to provide an equipped clinical room in the Hospice supported by EG Foundation, The Francis Winham Foundation and The Grimley Charities.

Exercise and wellbeing refurbishment - project to provide an area for the provision of exercise and wellbeing activities supported by The Rowlands Trust and Roger & Douglas Turner Charitable Trust.

Bereavement Services - A grant to provide bereavement counselling for children and young people funded by The Laslett's Charities.

Care and support services - A grant to provide care services and support funded by The GJW Turner Trust and Eveson Charitable Trust.

Details of Designated Funds

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. The Trustees have transferred all remaining designated funds at the year end into the new strategic fund.

Strategic Fund - This fund is held to support the objectivities identified in the strategy, including the development and completion of the new Hospice building, and to support care service or workforce development initiatives.

36

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

19b Movements in funds (prior year)

Movements in funds (prior year)
Total restricted funds
Total designated funds
General 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
Restricted funds:
Eveson Trust
KEMP in the Garden Building - depreciation of annexe
buildings
Freehold property at Mason Road
BBC Children in Need - Childrens Bereavement
The Kildare Trust		 At 1 April 2022
£
254,592
323,487
-
5,935
13,600		 Income &
gains
£
-
-
-
7,230
-
Expenditure
& losses
£
(15,912)
(3,535)
-
(12,265)
(5,532)
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

37

KEMP Hospice

Notes to the financial statements

For the year ended 31 March 2024

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		 2024
2023
£
£
90,500
78,042
36,833
80,938
Property		 2024
2023
£
£
-
1,574
-
1,088
Equipment
127,333 158,980 - 2,662

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		 2024
2023
£
£
43,000
30,542
36,833
68,750
Property		 2024
2023
£
£
-
-
-
-
Equipment
79,833 99,292 - -

21 Capital commitments

At the balance sheet date, the group had Nil capital committments (2023: £0).

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.

38