Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD Registered number: 08236220 Charity numbers: 1154143 & SC045615 DEMENTIA RESEARCH UK (A Company Limited by Guarantee) CONSOLIDATED TRUSTEES. REPORT AND AUDITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) CONTENTS Page Reference and administrative detsils of the Company. its Trustees and advisers Trustees. report Independent auditor's report on the financial statements 9-12 Consolidated statement of financial activities 13 Consolidated balance sheet 14 Company balance sheet Consolidated statement of cash flows 15 16 Notes to the financial statements 17-28
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) REFERENCE AND ADMINISTRATIVE DETAILS OF THE COMPANY. ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 OCTOBER 2024 Trustees W Layl)oum T Thompson (Resigned 31 October 2024) L Bechelet (Resigned 31 December 2023) J Runicles A Gee (appointed 10 July 2024) J Rogers (appointed 10 July 2024) Company registered number 08236220 Charity registered numbers 1154143 and SC045615 Registered office 207 Regent Streel London W1B3HH Company secretary W La)ourn Independent auditor Cooper Parry Group Limited Statutory Auditor Cubo Birmingham 4th Floor Two Chamberlain Square Birmingham 83 3AX Bankers Unity Trust Bank 4 Brindley Place Binningham B1 2JB CAF Bank Limited 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ Solicitors Bates Wells 10 Queen Street Place London EC4R 1 BE Page 1
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT FOR THE YEAR ENDED 31 OCTOBER 2024 The Trustees {who are also directors for the purposes of the Companies Act 2006) present their report with the financial statements of the Group for the year ended 31 October 2024. The Trustees have adopted the provisions of Accounting and Reporting by Charities= Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019). Structure, governance and management a. Constitution The Company is registered as a charitable company limited by guarantee and was set up by a Memorandum of Association on 2 October 2012. The Company is constituted under a Memorandum of Association dated 2 October 2012 and is registered with the Charity Commission number 1154143 and Scottish Charity Regulator number SC045615. b. Methods of appointment or election of Trustees The management of the company is the responsibility of the trustees who are elected and co-opted under the terms of the Memorandum and Articles of Association. The subscribers to the Memorandum were the first members of the charity. Members are responsible for appointing the directors who also act as trustees. Currently, the charity trustees are the only voting members. New trustees are appointed by resolution at a properly convened meeting of the existing charity trustees. Appointments are made with a view to ensuring that the board comprises individuals with a diverse range of management skills and qualities. The Trustees who served during the period were as follows.. W Laybourn T Thompson (resigned 31 October 2024) L Bechelet (resigned 31 December 2023) J Runicles A Gee (appointed 10 July 2024) J Rogers (appointed 10 July 2024) Objectives and activities a. Policies and objectives The Memorandum and Articles of Association defines the objectives of the Group: To protect and promote the health of the public in particular by research into the nature, causes, diagnosis, prevention. treatment and care of all forms of dementia. including the development of findings of research into the practical applications for the prevention and treatment of dementia and care of those suffering from dementia and in furtherance of that primary object. to provide information and raise public awareness and understanding of such matters. b. Activities undertaken to achieve objectives The Group carries out these objectives by funding research related to the treatment and cure of dementia and related diseases. The research funded is both pure and applied. Pure research has the ultimate aim of eradicating the disease while applied research is aimed at improving the lives of those living with dementia and their carers. Page 2
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024 Objectives and activities {continued) c. Public benefit The Trustees confirm that they have referred to the guidance contained in the Charity Commission's general guidance on public benefit when reviewing the Group s aims and objectives and in planning future activities. Achievements and performance Review of activities The Group's grant-giving programme The Group raises funds for research projects across the dementia community in all regions of the UK. The Group's funding covers every type of dementia. rather than any individual disease. Consequently, the income raised by the Group can be allocated across a wide range of research projects in the dementia community where the Group's intention is to make a positive impact on as many people as possible who are living with any form of dementia, together with their families and carers. In funding research, the Group recognises the need to undertake pure research with the aim of alleviating and eventually eradicating the disease, but it also recognises the needs of those living with dementia and the research needed to improve the quality of their lives. Applied research, undertaken to help those on their dementia journey, is centred on care and compassion. This type of research examines pattems of care in order to meet appropriate and ever-changing needs together with the use of relevant. Up-to-date assistive technology. Recent statistics now place dementia among the leading causes of death in the UK and the provision of end-of- life care is a high priority for all concerned. The extent, availability and cost effectiveness of such care is an unavoidable field for dementia research in the UK. The Group's grant-giving programme cUentlY supports large-scale dementia research projects within universities and hospitals, looking into new ways of diagnosing and treating dementia and into the availability of end-of-life care for people with dementia. The Group also provides funds to regional centres across the UK which deliver services and support directly to people with dementia, while carrying out research with those who use their services to further identify new fomis of support. The Group is very specific in its identification of potential grant recipients. Currently, applications for grants are not actively sought. The Group carries out detailed research to identify organisations operating in the relevant fields of pure and applied research. which adhere most closely to the Group's objectives. The primary beneficiaries for the Group are those organisations which receive grants from the Group. Secondary beneficiaries are those who benefit from the research and services provided by the grant recipients, i.e., people with dementia, their families and carers and the health professionals who support them. Pure research The Dementia Research Centre at The National Hospital for Neurology and Neurosurgery has been the principal recipient of the Group's grants for pure research. The work of the Research Centre, situated within University College London. focuses on identifw'ng the disease processes that cause dementia with a view to understanding the factors that influence those processes in order to find ways to improve diagnosis and treatment. A grant of £100,000 has been awarded for this year (2023- £100.000). Page 3
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024 Achievements and performance (continued) Applied research Applied research grants are made in recognition of the fact that significant improvements in quality of life can be achieved when people with dementia are seen as having a number of partially remediable disabilities, rather than an ill-defined mix of irreversible cerebral incompetencies that is so often assumed. A number of Dementia Services Development Centres (DSDCS) have been established which promote this concept across the UK. The DSDC was originally developed by the Dementia servIs Development Trust (now The Dementia Trust) and the charity has continued to award grants to the Trust, making a grant this year of £15,000 (2023- £37,500). The DSDC in England, Trent Dementia, has been awarded an annual grant of £60,000 in 2024 (2023 - £50,000) and the DSDC in Wales at Bangor University has been awarded £12,500 (2023 - £22,500). The DSDCS are active in the provision of servIs, advice. social and practical support and events. They also undertake research, centred on the needs of people with dementia, the results of which are used to develop new and innovative services. Through their research and ongoing conversations with people with dementia, their families and carers, the DSDCS are well-positioned to uncover areas of unmet need. The Group's role in supporting the DSDC network enables the Group to help improve the day to day lives of people with dementia and to identify the ServIS and support they may need in the future. Remind UK (previously known as the Research Institute for the Care of Older People, or RICE) is an intemationally renowned dementia research and treatment centre, with headquarters located in Bath. Remind UK is an independent charity focused on essential research and providing support for people with dementia and other conditions of older age. along with their families and carers. The charity's research wing is called The Research Institute for Brain Health. They are currently delivering several cutting-edge research trials and studies looking at brain function, the immune system. potential treatment for and management of dementia. A grant of £15,000 was awarded to Remind UK in 2024 (2023 - £25.000). End-of-life care Dementia is among the leading causes of death in the UK but the extent and availability of end-of-life care for dementia patients is variable and inconsistent. The imprecise boundaries of health and social care can be perplexing to patients, carers and their families when seeking help at critical times. The funding of end-of-life care can also vary between regions and health care providers. adding to an already confused picture. The Cicely Saunders Institute based at Kings College London is a ntre for research into the provision of end-of-life care in the UK. A grant of £100,000 has been awarded to the Institute (2023 - £100,000) to assess the cost and availability of end-of-life care for dementia patients. together with the potential for improving access to such care throughout the UK. Other grant recipients The Group grant-making programme is constantly under review in order to identify potential new grant recipients. The objectives are to pinpoint new organisations which fit the Group s criteria of conducting pure or applied research, but which also provide opportunities for the Group to extend its grant-making impact into new areas of dementia research or into new regions of the UK. Four new organisations were identified in 2023 which matched the charivs grant-making objectives and which accepted the charitys offer of funding, as described below. The research carried out by the Ageing and Dementia Research Centre (ADRC) at Boumemouth University falls into three broad categories= developing ageing and dementia-friendly environments, nutrition and wellbeing, and activity and social inclusion. The research carried out at the ADRC significantly impacts on theory, education and professional practice relating to dementia. and the research team has developed a number of resources to guide families, carers, and healthcare professionals on how best to help people with dementia. A grant of £20,000 was awarded to the Centre in 2024. Page 4
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024 Achievements and performance (continued) Dementia Prevention UK is a registered charity which provides education to men, women and children from underserved communities on dementia risk factors and practical tools to prevent or delay dementia through lifestyle modification. Their innovative research and workshop programmes focus on how behaviours can impact the brain, and on the measures which individuals can take to maintain brain health and protect the brain. A grant of £10.000 was awarded to Dementia Prevention UK in 2024. Music for my Mind is a registered charity vthich promotes the use of personalised music as an effective therapy for people who are living with dementia. Their research investigates how music can improve the wellbeing of people with dementia and help to relieve anxiety and depression. The charity has developed new technology which enables personalised PlalstS to be created quickly and easily, based on an individual's background and musical preferences, for use within a care home or an individual's own home. A grant of £15,000 was awarded to Music for my Mind in 2024. Memory Matters is a Community Interest Company that has been managing projects and services for people with dementia for over 12 years. A Memory Matters Hub provides advice and practical support for anyone concerned about memory loss or dementia. Memory Matters offers Cognitive Stimulation Therapy (CST) to help those living with dementia to improve their cognitive abilities and quality of life and has developed the first CST e- group therapy app, which can be used directly by someone who has dementia. A grant of £10,000 was awarded to Memory Matters in 2024. Group website The Group launched its new website in January 2023. The key objectives of the new website are to showcase more detailed infomiation about the impact of the Group and the scope of its grant-giving programme, whilst also providing users with access to expert resources about dementia in order to support the Group's stated objective 'to provide information and raise public awareness and understanding of dementia,. Detailed information is provided about all of the Group s grant recipients and the work undertaken. The Group now also benefits from enhanced user analytics which have been established for the new website, helping to direct future content and functionality. Throughout the course of 2024, enhancements were made to the new website, including the introduction of a weblog with content from expert contributors, the creation of a new 'Donate' page designed to facilitate donations through a variety of online and offline channels and the introduction of measures to improve the website's search engine optimisation or SEO. The continuing development of the website will inform the public about dementia and help deliver new income streams for the Group, including the launch of its online store. Trading company In November 2022, the charity established a trading company, Dementia Research Trading Limited, to manage its future trading operations. Page 5
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024 Financial review and future plans a. Financial results for the year In the financial year ending 31 October 2024, incoming resources toialled £947,406 (2023 - £1,048,256) resulting from voluntary donations, legacies, and gift aid. Expenditure for the year totalled £1,051,67512023- £889,300}, consisting of raising funds £289,870 (2023- £213,709) and charitable activities £761,805 (2023.. £675,591 }. The overall {deficit)Isurplus for the year amounted to (£104,269) {2023.. £158,956). This has resulted in an overall carried forward balance within unrestricted funds of £359.894 (2023: £464,163). b. Reserves policy The Trustees review reserves regularly in order to ensure that the Group is in a position to meet all its current and anticipated future commitments. Reserves are defined as that part of a Group's unrestricted funds that is freely available to spend on any of the Group's purposes. As a matter of policy. reserves are held in order to cover six months of anticipated expenditure whenever possible. As of 31st October 2024, reserves of £360,000 were held representing approximately three months of anticipated expenditure in the year ahead. In comparison. at 31st October 2023 reserves of £464.000 were held representing five months of actual expenditure totalling £1.052.000 in the year under review. The Group does not award grants for a period greater than twelve months and it only awards grants which are covered by available reserves. The minimum level of reserves that the Group requires to meet its commitments and continue trading in any twelve month period is estimated at £250.000. c. Going concern After making appropriate enquiries, the Trustees have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concem basis in preparing the financial statements. Further details regarding the adoption of the going concem basis can be found in the accounting policies below. d. Plans for the future The success which the Group has seen in 2024 in tems of its fundraising retums will form the basis of its activity in 2025. The website will be further developed to maximise income and user engagement and the careful use of new data to target priority prospects will continue. The Group will build on its relationships with its grant recipients via new content collaborations for the website together with new joint promotional and other fundraising activities. The Group continues to ensure that the growth projects it pursues are realistic, sustainable. and have maximum impact at minimum cost, whilst ensuring that fundraising activity and the income that fundraising generates, is not disrupted. The Trustees do not anticipate any significant change to the cost of external resources required to support the current activities of the Group. All the projects are managed in-house, with external resources only being brought in where it is critical to the success of the project. Any additional resource required to support the Group's new fundraising strategy will be kept to a minimum and will be subject to careful tendering and review processes. All the necessary insurances and legal obligations to support the Group's current activilies are in place and the Group has conducted a full risk analysis of its operation. Any additional requirements for new projects will be put in place as the relevant projects are implemented. Page 6
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024 Small company provisions In preparing this report, the Trustees have taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006. Structure, governance and management Principal risks and unceriainties The trustees of the charity have considered the principal risks and UnrtaIntieS facing the organisation, including= 1. Funding and Financial Stabilty. Reliance on donations and fundraising activities presents a risk if income levels fuctuate or decline, potentially affecting the charity's ability to deliver services. 2. Governance and Compliance: Non-compliance with legal or regulatory requirements (such as data protection or financial reporting) could result in reputational damage and penalties. 3. Operational Risks.. Disruption to key ServIS due to loss of staff, volunteers or essential partners. 4. Reputational Risk.. Negative publicity. complaints or incidents could adversely affect the charity's standing and donor confiden. 5. External Environment: Changes in government policy. the economic climate or unforeseen events {such as pandemics or natural disasters) may impact the chariws operations and funding. 6. IT and Data Security: The risk of cyber-attacks or data breaches could compromise sensitive information and disrupt services. The trustees regularfy review these risks and have mitgation plans in place, including robust financial controls and contingency procedures to address potential threats. A risk register has also been established and is updated regularly. Page 7
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) TRUSTEES. REPORT (CONTINUED) FOR THE YEAR ENDED 31 OCTOBER 2024 Statement of Trustees. responsibilities The Trustees {who are also the directors of the Company for the purposes of company law) are responsible for preparing the Trustees. report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Group and the Company and of their incoming resources and application of resources, including their income and expenditure, for that period. In preparing these financial statements, the Trustees are required to- select suitable accounting policies and then apply them consistently., observe the methods and principles of the Charities SORP (FRS 102). make judgements and accounting estimates that are reasonable and prudent. state whether applicable UK Accounting Standards (FRS 102) have been followed, subjecl to any material departures disclosed and explained in the financial statements- prepare the financial statements on the going cOnM basis unless it is inappropriate to presume that the Group will continue in business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Group and the Companys transactions and disclose with reasonable accuracy at any time the financial position of the Group and the Company and enable them to ensure that the financial statements comply wilh the Companies Act 2006. They are also responsible for safeguarding the assets of the Group and Ihe Company and hence for taking reasonable steps for the prevention and deteclion of fraud and other irregularities. In so far as the Trustees are aware- there is no relevant audit infomation of which the Group's audilor is unaware, and the Trustees have taken all the steps that ought to have been taken as Trustees in order to be aware of any relevant audit information and to establish that the Group's auditor is aware of that information. Auditor The auditor, Cooper Parry Group Limited, has indicated its willingness to continue in office. The designated Trustees will propose a motion reappointing the auditor at a meeting of the Trustees in accordance with section 485 of the Companies Act 2006. Approved by order of the members of the board of Trustees and signed on their behalf by.. 3wJned by.. 69A28A632S3C4E4.. J Rogers Trustee Date-29 July 2025 Page 8
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF DEMENTIA RESEARCH UK Opinion We have audited the financial statements of Dementia Research UK (the 'parent charitable companrf) and its subsidiaries (the 'group') for the year ended 31 October 2024 which comprise the Consolidated statement of financial activities, the Consolidated balan sheet, the Company balance sheet, the Consolidated statement of cash flows and the related notes. including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland, (United Kingdom Generally ACpted Accounting Practice). In our opinion the financial statements= give a true and fair view of the state of the Group's and of the parent charitable companvs affairs as at 31 October 2024 and of the Group's incoming resources and application of resources, including its income and expenditure for the year then ended., have been properly prepared in accordan with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordan with the requirements of the Charities Act 2011, the Charities and Trustee Investment (Scotland) Act 2005 and regulations 6 and 8 of the Charities Accounts {Scotland) Regulations 2006. Basis for opinion We conducted our audit in accordance with International Standards on Auditing (UK} (ISAS (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditorfs responsibilities for the audit of the financial statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 finanaal statements is appropriate. Based on the work we have performed, V have not identified any material uncertainties relating to events or conditions that, individually or collectively. may cast significant doubt on the Group's or the parent charitable companls ability to continue as a going concem 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 conrn are described in the relevant sections of this report. Page g
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF DEMENTIA RESEARCH UK (CONTINUED) other information The other information comprises the infomiation included in the Annual report other than the financial statements and our Auditorfs report thereon. The Trustees are responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the 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 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. Matters on which we are required to report by exception We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 and Charities Accounts (Scotland) Regulations 2006 (as amended) requires us to report to you in our opinion.. the infomiation given in the Trustees. report is inconsistent in any material respect with the financial statements., or the parent charitable company has not kept sufficient and proper accounting records. or the parent charitable company financial statements are not in agreement with the accounting records and returns- or we have not received all the information and explanations we require for our audit. Responsibilities of Trustees As explained more fully in the Trustees, responsibilities statement. the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the Trustees are responsible for assessing the Group's and the parent charitable companls ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concem 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. Page 10
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF DEMENTIA RESEARCH UK (CONTINUED) Auditorfs responsibilities for the audit of the financial statements We have been appointed as auditor under section 151 of the Charities Act 2011 and section 44(1)(cl of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Act and relevant regulations made or having effect thereunder. 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 assuran is a high level of assuran, 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 prOdureS are capable of detecting irregularities, including fraud is detailed below= Our assessment focused on key laws and regulations the Group has to comply with and areas of the financial statements we assessed as being more SUSptib1e to misstatement. These key laws and regulations included but were not limited to compliance with the Companies Act 2006, Charities Act 2011, Charities and Trustee Investment {Scotland) Act 2005, taxation legislation. data protection, anti-bribery and employment legislation. We are not responsible for preventing iegUlaties. including fraud. Our approach to detecting irregularities, including fraud, included, but was not limited to, the following= obtaining an understanding of the legal and regulatory framework applicable to the Group and how the Group is complying with that framework. including agreement of financial statement disclosures to underlying documentation and other evidence. obtaining an understanding of the Group's control environment and how the Group has applied relevant control procedures, through discussions with Truslees and other management and by performing walkthrough testing over key areas. obtaining an understsnding of the Group's risk assessment process, including the risk of fraud,. reviewing meeting minutes of those charged with govemance throughout the year., and performing audit testing to address the risk of management override of controls, including testing journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the nonnal course of business and reviewing accounting estimates for bias. Whilst considering how our audit work addressed the detection of irregularities, we also considered the likelihood of detection of fraud based on our approach. Irregularities arising from fraud are inherently more difficult to detect than those arising from error. 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 Iransaclions 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 for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.or .ukJauditorsres onsibilities. This description forms part of our Auditor's report. Page11
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF DEMENTIA RESEARCH UK (CONTINUED) Use of our report This report is made solely to the charitable CoMpanS trustees, as a body, in accordance with Part 4 of the Charities {Accounts and Reports) Regulations 2008 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been underiaken so that we might state to the charitable companvs trustees 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 its members. as a body, for our audit work. for this report, or for the opinions we have formed. Cooper Parry Group Limited Statutory Auditor Cubo Birmingham 4th Floor Two Chamberlain Square Bimingham B3 3AX Date- 29 July 2025 Cooper Parry Group Limited are eligible to act as auditors in tems of section 1212 of the Companies Act 2006. Page 12
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES {INCORPORATING INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 OCTOBER 2024 Unrestricted funds 2024 Total funds 2024 Total funds 2023 Note Income from: Donations and legacies 947,406 947,406 1.048,256 Total income 947,406 947,406 1.048,256 Expenditure on: Raising funds Charitable activities 289,870 761,805 289,870 761,805 247,508 641,792 Total expenditure 1,051,675 1.051,675 889,300 Net movement in funds {104,2691 (104,269) 158,956 Reconciliation of funds: Total funds brought fOard Net movement in funds 464,163 (104,2691 464,163 {104,269} 305,207 158,956 Total funds carried forward 359,894 359,894 464,163 The Consolidated statement of financial activities includes all gains and losses recognised in the year. The notes on pages 17 to 28 fonm part of these financial statements. Page 13
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) REGISTERED NUMBER: 08236220 CONSOLIDATED BALANCE SHEET AS AT 31 OCTOBER 2024 2024 2023 Note Current assets Stocks Debtors 13 14 18,048 101,064 300.333 42,970 542,302 Cash at bank and in hand 19 419,445 585,272 Creditors.. amounts falling due within one year 15 (59,551) 1121,109) Net current assets 359,894 464,163 Total net assets 359,894 464,163 Charity funds Unrestricted funds 16 359,894 464,163 Total funds 359,894 464,163 The Company was entitled to exemption from audit under section 477 of the Companies Act 2006. The members have not required the entity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006. However. an audit is required in accordance with section 151 of the Charities Act 2011 and section 44(1)(cl of the Charities and Trustee Investment (Scotland) Act 2005. The Trustees acknowledge their responsibilities for complwng with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by- 3wJned by.. 69A28A632S3C4E4.. J Rogers Trustee Date=29 July 2025 The notes on pages 17 to 28 form part of these financial statements. Page 14
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) REGISTERED NUMBER: 08236220 COMPANY STATEMENT OF FINANCIAL POSITION AS AT 31 OCTOBER 2024 2024 2023 Note Fixed assets Investments 12 100,002 100,002 100,002 100,002 Current assets Debtors 14 175.829 300,333 42,835 519,930 Cash at bank and in hand 19 476.162 562,765 Creditors.. amounts falling due within one year 15 (77.961) (108,650) Net current assets 398,201 454,115 Total net assets 498,203 554,117 Charity funds Unrestricted funds 16 498,203 554,117 Total funds 498,203 554,117 The Companvs net movement in funds for the year was £{55.914) (2023 - £248,910). The Company was entitled to exemption from audit under section 477 of the Companies Act 2006. The members have not required the entity to obtain an audit for the year in question in accordance with section 476 of the Companies Act 2006. However. an audit is required in accordance with section 151 of the Charities Act 2011 and section 44(1)(cl of the Charities and Trustee Investment (Scotland) Act 2005. The Trustees acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and preparation of financial statements. The financial statements have been prepared in accordance with the provisions applicable to entities subject to the small companies regime. The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by: 3wJned by.. 69A28A63253C4E4.. J Rogers Trustee Date- 29 July 2025 The notes on pages 17 to 28 form part of these financial statements. Page 15
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE YEAR ENDED 31 OCTOBER 2024 2024 2023 Cash flows from operating activities Net cash used in operating activities (241,969) 217,700 Change in cash and cash equivalents in the year 1241,969) 217,700 Cash and cash equivalents at the beginning of the year 542,302 324,602 Cash and cash equivalents at the end of the year 300,333 542,302 The notes on pages 17 to 28 form part of these financial statements. Page 16
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 General information Dementia Research UK is a private Company, limited by guarantee, incorporated in England and Wales (08236220). The principal address of the Group is 207 Regent Steet, London, W1 B 3HH. Accounting policies 2.1 Basis of preparation of financial statements The financial statements are prepared in Steding (£) which is the functional currency of the Group. The financial statements are for the year ended 31 October 2024 (2023: year ended 31 October 2023). The financial statements have been prepared in accordan with the Charities SORP {FRS 102) - Accounting and Reporting by Charities.. Statement of Recommended Practi applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. Dementia Research UK meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. On 1 November 2022 the charity established a trading company, Dementia Research Trading Limited, to manage its future trading operations. The Consolidated statement of financial activities (SOFA). Consolidated balan sheet and the notes to the financial statements for the current year consolidate the financial statements of the charity and its subsidiary undertaking. The results of the subsidiary are consolidated on a line by line basis. The charity has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of financial activities in these financial statements. The parent charity made a loss of £55,914. 2.2 Going concern The financial statements have been prepared on a going concern basis. which assumes that the Company will continue in operational existence for the foreseeable future which the Trustees believe to be appropriate. The Charity continues to be able to reassure its donors. beneficiaries and stakeholders that the activity at the core of its fundraising is stable and sustainable, and that it is well placed to meet its objectives and to support its beneficiaries. 2.3 Company status The Company is a company limited by guarantee. The members of the Company are the Trustees named on page 1. In the event of the Company being wound up, the liability in respect of the guarantee is limited to £1 per member of the Company. Page 17
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 Accounting policies (continued) 2.4 Income All income is recognised once the Company has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. The recognition of income from legacies is dependent on establishing entitlement, the probability of reIpt and the ability to estimate with sufficient accuracy the amount re1Vable. Evidence of entitlement to a legacy exists when the Company has sufficient evidence that a gift has been left to them (through knowledge of the existen of a valid will and the death of the benefactor) and the executor is satisfied that the property in question will not be required to satisfy claims in the estate. ReIpt of a legacy must be recognised when it is probable that it will be reiVed and the fair value of the amount receivable. which will generally be the expected cash amount to be distributed to the Company, can be reliably measured. 2.5 Expenditure Expenditure is recognised On there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefit will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent. Expenditure on raising funds includes all expenditure incurred by the Group to raise funds for its charitable purposes and includes costs of all fundraising activities, events and non-charitable trading. Expenditure on charitable activities is incurred on directly undertaking the activities which further the Group's objectives, as well as any associated support costs. Grants payable are charged in the year when the offer is made except in those cases where the offer is conditional, such grants being recognised as expenditure when the conditions attaching are fulfilled. Grants offered subject to conditions which have not been met at the year end are noted as a commitment, but not accrued as expenditure. All expenditure is inclusive of irrecoverable VAT. 2.6 Taxation The Company is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly. the Company is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes. 2.7 Investments Fixed asset investments are an amount equal to the capital contribution provided to the trading subsidiary to contribute towards its working capital and trading activities. Investments in subsidiaries are valued at cost less provision for impairment. Page 18
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 Accounting policies (continued) 2.8 Stocks Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. 2.9 Debtors Short-term debtors are initially measured at transaction price, less any impairment, and are subsequently measured at their settlement value. 2.10 Cash at bank and in hand Cash at bank and 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. 2.11 Liabilities Liabilities are recognised when Ihere is an obligation at the Balance sheet date as a result of a past event. it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. Liabilities are recognised at the amount that the Company anticipates it will pay to settle the debt or the amount it has reiVed as adVand panentS for the goods or services it must provide. 2.12 Financial instruments The Group only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities. All financial assets and liabilities are initially measured at transaction price and subsequently measured at their settlement value. 2.13 Pensions The Group operates a defined contribution pension scheme and the pension charge in the SOFA represents the amounts payable by the Group to the fund in respect of the year. 2.14 Fund accounting General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the Group and which have not been designated for other purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the Group for particular purposes. The costs of raising and administering such funds are charged against the specific fund. The aim and use of each restricted fund is set out in the notes to the financial statements. Page 19
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 Judgements in applying accounting policies and key sources of estimation uncertainty Preparation of the financial statements requires management to make significant judgements and estimates in determining the carrwng amounts of rtain assets and liabilities. The management's estimates and assumptions are based on historical experien and expectation of future events and are reviewed periodically. Areas of significant judgement include the recoverability of intercompany debtors, the carrying value of investments in the subsidiary company and the basis of expenditure rechargeslallocations. Income from donations and legacies Unrestricted funds 2024 Total funds 2024 Total funds 2023 Donations 581,649 365,757 581,649 365,757 357,070 691,186 Legacies 947,406 947,406 1.048,256 All income from donations and legacies in the prior year was unrestricted. Expenditure on raising funds Costs of raising voluntary income Total funds Restated 2023 Unrestricted funds 2024 Total funds 2024 Campaigning Communications IT ServIS 162,164 38,643 40,708 162,164 38,643 40,708 147,537 37,032 18,228 241,515 241,515 202,797 Costs of raising voluntary income have been further analysed in 2024 (restated 2023 comparatives). Campaigning costs for 2023 have been restated (increase of £33,799) following a reallocation from education costs. Page 20
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 Expenditure on raising funds (continued) Fundraising trading expenses Unrestricted funds 2024 Total funds 2024 Total funds 2023 Other fundraising expenses Wages and salaries Social security costs Pension costs 6.818 28,156 9.931 3,450 6,818 28,156 9,931 3,450 37,243 4,068 3,400 48,355 48,355 44,711 All fundraising trading expenses in 2023 were unrestricted. Analysis of grants Grants to Institutions 2024 Total funds 2024 Total funds 2023 Charitable aclivities 357,500 357,500 385,000 All grants to institutions in 2023 were unrestricted. Analysis of expenditure by activities Activities undertaken directly 2024 Grant funding of activities 2024 Support costs 2024 Total funds 2024 Total funds 2023 Governan costs 25,285 89,869 25,285 736,520 21,647 620,145 Charitable activities 289.151 357.500 289.151 357,500 115,154 761,805 641,792 Page 21
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 Analysis of expenditure by activities (continued) Analysis of direct costs Total funds Restated 2023 Total funds 2024 Staff costs 41,536 241,515 6,100 44,711 135,200 4,126 Education Sundries 289,151 184,037 All direct costs inCued in 2023 were unrestricted. Education costs for 2023 have been restated (reduction of £33,799) and reallocated to campaigning costs. Analysis of support costs Total funds Restated 2023 Governance costs 2024 Charitable activities 2024 Total funds 2024 Consulting Secretarial 37,204 27,075 8.737 12,786 4.067 37,204 27,075 8,737 12,786 4,067 25,285 33,155 2,447 4,102 8,286 3,118 21,647 Office costs Website Finance Governance costs 25.285 25.285 89,869 115,154 72,755 All support costs incurred in 2023 were unrestricted. Support costs have been further analysed in 2024 (restated 2023 comparatives). Page 22
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 Net incomel(expenditure) Net incomel(expenditure) of the Group is stated after charging: 2024 2023 Auditor's remuneration 16,000 12,500 Auditorfs remuneration The audilor's remuneration amounts to an auditor fee of £12.000 (2023 - £10,000). and accounting and tax compliance fee of £4,000 (2023 - £2.500). 10. Staff costs Group 2024 Group 2023 Company 2024 Company 2023 Wages and salaries Social security costs Pension costs 56,312 19,861 6,900 74,486 8,136 6,800 28,156 9,930 3,450 83,073 89,422 41,536 The average number of persons employed by the Company during the year was as follows.. Group 2024 No. Group 2023 No. Staff members No employee received remuneration amounting to more than £60,000 in either year. The total employee benefits of the key management personnel of the Group were £43,312 (2023: £47.313). 11. Trustees. remuneration and expenses There were no trustees, remuneration or other benefits for the year ended 31 October 2024 nor for the year ended 31 October 2023. There were no Trustees, expenses paid for the year ended 31 October 2024 nor for the year ended 31 October 2023. Page 23
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 12. Fixed asset investments Investments in subsidiary companies Company Cost or valuation At 1 November 2023 100,002 At 31 October 2024 100,002 Net book value At 31 October 2024 100,002 At 31 October 2023 100,002 Principal subsidiaries The following was a subsidiary undertaking of the Company. Name Company number Class of shares Holding Included in consolidation Dementia Research Trading Limited 14455544 Ordinary 1000/0 Yes The financial results of the subsidiary for the year were.. Name Expenditure ProfiU(Loss) I Surplusl (Deficit) for the year Net (liabilities}I assets Dementia Research Trading Limited {48,355) 48,355 {38,307) 13. Stocks Group 2024 Group 2023 Goods for resale 18,048 Page 24
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 14. Debtors Group 2024 Group 2023 Company 2024 Company 2023 Due within one year Amounts owed by group undertakings Prepayments and accrued income 75,000 100,829 101.064 42,970 42,835 101.064 42,970 175,829 42,835 15. Creditors: Amounts falling due within one year Group Group 2023 Restated Company Company 2023 Restated 2024 2024 Trade creditors 17,460 39,412 17,460 21,190 39,412 Amounts owed to group undertakings Other creditors Accruals and deferred income 2,782 16,809 22,500 12,461 13,236 56,000 16,809 22,500 13,236 56,000 Grants payable 59,551 121,109 77,961 108,650 Page 25
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 16. Statement of funds Statement of funds - current year Balance at 1 November 2023 Balance at 31 October 2024 Income Expenditure Unrestricted funds Charity funds Subsidiary reserves 554,117 (89.954) 947,406 (1,003,320) 498,203 (48,355) (138,309) 464,163 947,406 (1.051,675) 359,894 Statement of funds - prior year Charity only Balance at 1 November 2022 Balance at 31 October 2023 Income Expenditure Unrestricted funds Charity funds Subsidiary reserves 305.207 1.048.256 (799,346) (89,954) 554,117 (89,954) 305,207 1,048,256 (889,300) 464,163 17. Analysis of net assets between funds Analysis of net assets between funds - current period Unrestricted funds 2024 Total funds 2024 Current assets Creditors due within one year 419,445 (59,551) 419,445 (59,551) Total 359,894 359,894 Page 26
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 17. Analysis of net assets between funds (continued) Analysis of net assets between funds - prior period Unrestricted funds 2023 Total funds 2023 Current assets 585,272 585,272 (121,109) (121,109) Creditors due within one year Total 464,163 464,163 18. Reconciliation of net movement in funds to net cash flow from operating activities Group 2024 Group 2023 Net incomelexpenditure for the period (as per Statement of Financial Activities) (104,269) 158,956 Adjustments for: Increase in stocks (18,048) (58,094) (61,558) Increase in debtors (7,162) 65,906 (Decrease)lincrease in creditors Net cash provided byl(used in) operating activities (241,969) 217,700 19. Analysis of cash and cash equivalents Group 2024 Group 2023 Cash in hand 300,333 542,302 Total cash and cash equivalents 300,333 542,302 Page 27
Docusign Envelope ID.. 14770F95-1E644728-A9EA-B67631C542AD DEMENTIA RESEARCH UK (A Company Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 OCTOBER 2024 20. Analysis of changes in net debt At1 November 2023 Cash flows At31 October 2024 Cash at bank and in hand 542.302 (241,969) 300,333 542,302 (241,969) 300,333 21. Pension commitments The Group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund. £575 (2023 - £550) was payable to the fund at the balance sheel date and is included in creditors. 22. Related party transactions Dementia Research Trading Limited. a wholly owned subsidiary of the charity. entered into a loan agreement with the charity during the year whereby the charity agreed to loan the company up to £100,000 per year over the next 5 years. During the year, £75,000 was loaned from the charity to the company and remains outstanding at the year end. Dementia Research Trading Limited recharged the charity £41.536 (2023: £nil) for salary costs incurred. At the year end, the charity owed Dementia Research Trading Limited £21,19012023: £nil). 23. Controlling party The Trustees make up the membership of the charitable company. There is no overall controlling party. Page 28