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2021-03-31-accounts

SIR SCLERODERMA & RAYNAUD'S UK Annual Report & Accounts 2020-21

CONTENTS

Overview

Message from the Chair & Chief Executive 3
Our Vision, Purpose & Values 4
Our Strategic Aims 4
Trustees’ Report
What we did in 2020-21
• Awareness 5
• Empowerment 6
• Healthcare 8
• Research 9
COVID response 12
Financial Review 13
Principal Risks & Uncertainties 15
Structure, Governance & Management 15
Statement of Trustees’ responsibilities 17
Independent Auditor’s Report 18
Financial Statements
Consolidated Statement of Financial Activities 21
Consolidated and Charity Balance Sheets 22
Consolidated Cash Flow Statement 23
Notes to the Consolidated Financial Statements 24
Legal and Administrative Information 39

2

Overview

Message from the Chair & Chief Executive

The outbreak of the Covid-19 coronavirus at the start of 2020 presented unprecedented challenges and has certainly tested our resilience. The pandemic has been a hugely disruptive force, not only in our day to day lives but in the way we work together. Looking back, we achieved some incredible things, but we couldn’t have done it without the support of our volunteers, staff and community.

From the beginning we were very aware that people with certain autoimmune conditions, such as Scleroderma, were at higher risk of complications from the virus. So, we took the decision early on to pivot our work programme to ensure our services were focussed on providing maximum support to our community. Calls to our Helpline increased three-fold in March 2020, making the provision of information and guidance people could trust a priority.

Thanks to digital technology, we continued to connect and support people from the comfort and safety of their own homes. Our volunteer-led support groups across the UK went online and we developed a wide range of activities from quizzes to yoga, meditation and mindfulness sessions to help people stay connected and feel less isolated.

And we continued to speak up for our community on key pandemic-related issues, such as shielding, disability benefits, and access to treatment and services. We were pleased to hear from callers how the rapid response and turnaround in our services was valued and appreciated.

The impact of the pandemic was felt across all our work and meant that our work in research was either put on hold or delayed, as many of our clinicians and researchers were redeployed to the NHS frontline. But we are now back on track and able to report progress across a range of initiatives, including funding two teams looking to find innovative approaches to the development of a diagnostic tool for Scleroderma, working with researchers from medicine, bioscience, engineering and data science.

When the pandemic hit, we faced yet another difficulty, as major fundraising events like the London Marathon were postponed, cancelled or moved online. This meant we needed to find creative ways to fundraise at home, even during the lockdown, like running a marathon in your back garden or hosting a virtual murder mystery party.

We would like to thank Professor Jeremy Pearson for his leadership as Chair of SRUK. Along with four other Trustees from the two founding charities, he retired from the Trustee Board in May 2021 on the completion of their maximum six-year term of office. Their commitment and hard work ensured a successful merger and was instrumental in establishing the strong foundation for SRUK and in the formulation and execution of our 2017-2022 strategy thereby facilitating our growth.

We would also like to thank Chris Coombe for his invaluable contributions as Treasurer since 2016 and as interim Chair since May 2021.

We are delighted to welcome our new Trustees who bring a breadth of skills and experience, and we look forward to working with them and our wider community. We remain committed to being here for everyone affected by Scleroderma and Raynaud’s. This year has reinforced for us the power of community and how when we come together, we are so much stronger. We want to say a massive thank you to our loyal SRUK community, for their continued support and engagement, despite the challenges we all faced.

Jitinder Saini Chair of Trustees

Sue Farrington Chief Executive

3

Overview

Our Vision

A world where no-one has their life limited by Scleroderma and Raynaud's.

Our Purpose

Our mission is to improve the lives of everyone affected by Scleroderma and Raynaud's. We do this by investing in research, improving awareness, and understanding of the conditions and providing information and support to all those affected.

Our Values

Our values inform how we deliver our services, the choices we make and how we work with, support, and develop our staff and volunteers.

SRUK is:

Collaborative in the way we work.

Driven to see real change.

Trusted because we are open and honest about the way we work.

Compassionate because we always put the person first.

Our Strategic Aims - 2017-2022

Awareness

Increase awareness of Scleroderma and Raynaud’s with the public and health professionals.

Empowerment

Enable more people with Scleroderma and Raynaud’s to manage their conditions through access to high quality information, support, and guidance.

Healthcare

Ensure all people with Scleroderma and Raynaud’s across the UK have access to high quality, integrated health, and social care services, which are responsive to their needs.

Research

Ensure that research funded by SRUK translates into better prevention, diagnosis, and treatment outcomes.

Infrastructure

Be an effective and efficient organisation, with the resources we need to achieve our goals.

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Trustees’ Report

What we did in 2020-21

SRUK’s strategy 2017-2022 was informed and shaped by the challenges and needs of our community and provides us with a framework and clear direction of travel for our work.

Below we report on the progress we have made during 2020-21 towards achieving our goals. It is important to note that this has been an unprecedented year and the pandemic has taken its toll on our community and so our primary focus early on was ensuring we were doing everything we could to provide information, guidance, and support.

AWARENESS

Improving awareness and understanding of Scleroderma and Raynaud’s is a key priority for SRUK.

The condition of Raynaud’s is poorly understood. It is not treated seriously by many healthcare professionals and consequently we do not know exactly how many people are affected or how severely it affects people. Raynaud’s is to date the only known clinical condition considered to be a risk factor for developing Systemic Sclerosis or Scleroderma.

Lack of awareness has led to poor support and treatment of Raynaud’s and delayed diagnosis of Scleroderma, which can have serious and life-threatening consequences.

As this year has been dominated by the pandemic, we have been mindful in our communications to reflect the situation for our community and the impact it has had on peoples’ lives. While our focus remains on increasing awareness and understanding of the signs and symptoms of these conditions with the public and professionals, we also shared COVID-19 related stories, which helped to secure media coverage.

In 2020-21 we:

In June for our Scleroderma Awareness Month, we produced four new case studies alongside existing stories, which secured coverage in local and regional press as well as The Sunday Post in Scotland and The Tyrone Herald in Northern Ireland. We had interviews on BBC News and BBC R4, where the CEO was interviewed alongside Sara McAreavey, who was shielding and had been recently diagnosed with Scleroderma. Collectively the potential broadcast audience reach was 22.6 million

Over the month we had over 36,000 engagements across social media and over 41,278 website users during the campaign.

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Trustees’ Report

These headlines helped secure 70 pieces of coverage, across the UK, including broadcast coverage on SKY News and BBC Radio. This gave a combined potential broadcast audience reach of 5 million.

95% of all coverage included a link to the SRUK website and the online test for Raynaud’s. 6,670 people took the test during the month. We had over 63,476 visitors to our website and the average time they spent on our website was three times that in 2020.

EMPOWERMENT

Providing access to high quality, evidenced based information and support for people affected by Scleroderma and Raynaud’s to help understand their condition and better manage their symptoms remains a core activity.

At the end of 2019-20 this became of vital importance as we responded to the challenges presented by the Covid-19 pandemic, which created huge anxiety and concern for many of our community who had to shield.

In 2020-21 we:

We produced a wide-ranging programme of information, activities and support to ensure our community had the most up to date information as well as practical activities and support. We increased the information provision on the website creating separate sections covering different aspects related to Covid-19 from health & wellbeing to guidance on employment issues.

We experienced a three-fold increase in enquiries to our helpline and the feedback we received from members of our community reflected how the rapid response and turnaround in the services and support we provided was timely and well judged. Our focus above all else has been to ensure the needs of our community were front and centre.

“I wanted to say a huge thanks to your team for the support over these past months. This has been an incredibly challenging and stressful time for me, with being uncertain about my condition but you are doing essential work to uplift the community and keep us informed. I wanted to make sure your team know how much we appreciate and value your work during these extraordinary times. Your thoughtfulness, action and care have been so valuable.”

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Trustees’ Report

“Thank you also for all of the information and advice you have been sending and for the patience and understanding your staff have shown. This has gone a long way to getting me back to where I can be. I realise it must be a huge challenge for you during these times, but this situation has really shown me what your Charity is all about. During a time where worry and anxiety are so rampant, you have gone above and beyond to stay connected. It is a blessing to be a part of such a wonderful community.”

• Launched a new telephone-based support service - Keep in Touch - in response to the growing number of people in our community who were shielding and feeling isolated. People receive a regular phone call to chat with one of our volunteers about absolutely anything, for as long as this situation goes on. There has been a great deal of news coverage surrounding the impact that isolation can have on our mental and emotional wellbeing, and we will be looking at ways to adapt and continue this service.

• Developed a series of Facebook Live Q&As to offer support and information. We produced 10 interactive Q&As, on a range of topics including COVID-19, skin health, dental care, foot care and medicines management; all delivered by specialist healthcare professionals. Our mostwatched Q&A attracted over 2,500 viewers. A user survey found that these sessions had a positive effect on our community’s ability to manage their health (77% of respondents), and better understand their condition (81%).

While face to face has not been possible, we supported our groups to move online and at the same time have been working on the development and growth of the support group network. We now have 12 Support Groups operating across the UK in England (9), Scotland (2), N Ireland (1) with 3 new groups planned for South Wales, Mid Wales, and the North West. We have introduced a regular catch up for Support Group Leaders and Helpline Volunteers. The SRUK Support Group Northern Ireland which was established during summer 2020 has over 70 members.

“I would be lost without the NI SRUK support group after being diagnosed last year. As well as advice on practical things like what to bring to hospital for my infusion or medication side effects. Knowing someone has gone through the same challenges this disease throws at us helps emotionally too and we all try and support each other when we’re down”.

“Joining the group has really improved my understanding of the disease and help immensely with practical tips and emotional support. I'd have been lost without them!” Roisin Bradley (SRUK Northern Ireland support group member)

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Trustees’ Report

HEALTHCARE

We want to ensure that everyone with Scleroderma and Raynaud’s, wherever they live and whatever their circumstances, gets the responsive and person-centred support they need. Key outcomes for SRUK are to ensure that there is equity of access to treatments and that care is properly co-ordinated in line with best practice guidelines.

As previously noted, this year has been dominated by COVID-19 and so much of our work in healthcare has been focused on responding to the issues caused by COVID-19.

At the end of 2020-21we began to consider how we could encourage health services to 'build back better' and deal with the backlog of care that needs to be addressed, using the evidence of the impact of COVID-19 on people with rare autoimmune rheumatic diseases, gathered by RAIRDA and others, to help build a strong case.

In 2020-21 we:

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Trustees’ Report

RESEARCH

SRUK exists to ensure a world where no one has their lives limited by Scleroderma and Raynaud’s, until we ultimately find a cure. A core purpose of the organisation is to fund innovative and groundbreaking research so that our understanding of these conditions is translated into benefits for the community sooner rather than later.

To achieve our goals, SRUK is committed to working in partnership, to increase the capacity of the workforce and leverage resources from other institutions.

RESEARCH

In 2020-21 we:

Team Scidex (co-funded by EPSRC with SRUK): will develop a novel, non-invasive wearable system for real time skin monitoring of ‘biomarkers’ of Scleroderma within the tissue fluid which bathes skin cells. Their system, which will resemble a skin plaster, is intended to provide doctors with information on how a patient is responding to a treatment, either during routine clinical care or during clinical trials. It may also have utility in the early diagnosis of Scleroderma in at risk groups.

Team Oasis (SRUK funded): will develop a new skin assessment technique by combining and repurposing existing technologies already in clinical use. The technique is initially intended to support clinical management but could eventually be incorporated into a wearable device for patient self-monitoring.

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Trustees’ Report

The fellow will be based at the Royal Free under the tutelage of Professor Chris Denton and Dr Voon Ong.

During Raynaud’s awareness month, SRUK explored the option of using the App as a patient empowerment tool allowing those in the SRUK community with severe Raynaud’s the opportunity to use the App to track their symptoms. One hundred and twenty-nine users signed up and engaged with the App for one month, and 90% reported they would be interested in continuing to use the App to track their symptoms.

What we will do in 2021-22:

For our work in Awareness, we will:

Continue to deliver a series of public awareness campaigns around our two campaign peaks, the Scleroderma Awareness Campaign in June and Raynaud’s Awareness Month in February.

Strengthen our network of journalists and build relationships with the medical and science press to maintain our position as the organisation for information and comment on matters relating to Scleroderma and Raynaud’s.

Expand our network of patient ambassadors, supporting them to share their stories and act as ambassadors with local and regional media, to increase awareness about the conditions.

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Trustees’ Report

For our work in Empowerment, we will:

Continue to respond to the ongoing need for up-to-date information about Covid-19 and produce appropriate content to support health and wellbeing.

Develop and grow our support group network to achieve coverage across the UK, utilising technology to support and connect people.

Continue to develop our social media networks for those affected by the conditions, based on insights into audience behaviours to identify content needed.

For our work in Healthcare, we will:

Continue to work with the NHS and healthcare professionals to ensure information is available, particularly at point of diagnosis.

Continue our programme to establish SRUK presence in all clinics through key literature and visits.

Work with RAIRDA to drive forward the recommendations arising from the Patient Survey report with key organisations to ensure the voice of Scleroderma & Raynaud’s is represented.

For our work in Research, we will:

Continue to involve patients in our research programme to put their needs at the heart of the work we do.

Continue to implement the five-year research strategy to ensure we make the most effective use of the charity’s resources.

Progress our work on a Raynaud’s App to support research on early diagnosis and continue to explore the development of a Patient Registry.

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Trustees’ Report

Our Response to COVID

Supporting our community

Early in the Covid-19 outbreak, it was identified that people with autoimmune conditions were at higher risk of complications from the virus. As a result, we made it our immediate priority to offer information and guidance our community could trust, gathering relevant information to keep the website updated, sometimes daily in the early stages. As the pandemic continued, we developed a wide-ranging programme of activities and support to help reduce the isolation that many of our community were experiencing due to shielding. Much of the research we funded was put on hold as clinicians and researchers joined the NHS frontline, and so we have worked with our community to accommodate this by extending deadlines.

We wanted to understand the pandemic’s impact on the standard care of people with scleroderma and to answer these questions we launched a patient survey working with RAIRDA about the challenges being faced. The report was downloaded over 500 times and the survey data was used to give evidence to the House of Commons Health and Social Care Committee and the Welsh Senedd’s Health, Social, Care and Sport Committee.

Protecting our income

Along with many other charities, the outbreak of Covid-19 had an impact on our fundraising, particularly our community and events programme. With many major fundraising events like the London Marathon postponed, cancelled, or moved online, we needed to find creative ways for people to fundraise at home. Despite these setbacks our staff and supporters rose to the challenge and quickly developed a range of virtual fundraising products to help generate income. This responsiveness, coupled with the generosity of supporters and the capacity of our reserves, puts us in a strong position to come through this crisis.

Supporting our people

The prior work we had done on our business continuity planning meant that we were able to respond swiftly and rapidly to the lockdown. For all the team to work remotely, the planning and execution with all systems working properly was put in place in a week and we have remained an effective operation during the crisis. To ensure the safety and wellbeing of our staff and volunteers, we sent regular updates on Covid-19, along with advice for home working. We also established weekly online team coffee mornings and catch-up sessions.

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Trustees’ Report

FINANCIAL REVIEW

This report covers the period from 1st April 2020 to the 31 March 2021.

Overview

2020-2021 has been a successful year for the Charity with fundraising income of £2,266,926 generating a surplus of £1,088,663 before investment gains. We were fortunate to receive a very generous legacy during the year to support our work.

We awarded two research grants from our sandpit workshop this year as well as a commitment to a fellowship programme jointly funded with the Medical Research Council, totalling £374,338. This continues our investment of significant amounts into our work programme to drive forward our focus on improving our impact and our reach to directly benefit people affected by Scleroderma and Raynaud’s.

We have maintained a long-term approach towards financial planning and of investment in key areas while adapting to the effects of the pandemic and taking into account the need for various income streams to recover.

How we raised our money

Key income streams for the charity comprise: Membership; Donations; Legacies; Trading and Fundraising Activities. In 2020-21 the total income for the group was £2,305,635.

We received £2,226,255 in donations and legacies; and £31,588 from membership, conference and other activities.

We are reporting investment income of £9,083

The trading subsidiary of the charity brought in revenues of £38,709.

SRUK is registered with the Fundraising Regulator and is a member of the Institute of Fundraising. Our fundraising is carried out by a team of professional fundraisers based in our London headquarters, together with volunteers in their local communities. The team’s activities are supervised by the Senior Management Team and follow recommended fundraising codes of practice. We did not receive any complaints about our fundraising activities in 2020-21.

How we spent our money

During 2020-21 our total charitable expenditure came to £1,018,223 an increase of £373,155 on the previous year. This expenditure included £661,499 spent on Research.

We also invested in the development of a range of services:

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Trustees’ Report

Balance Sheet

As of 31 March 2021, total funds were £4,391,077 for the Group and £4,390,508 for the Charity.

Reserves Policy

The Trustee Board has specified a reserves policy, which ensures that the Charity has sufficient funds to meet the cost of its day-to-day activities and is able to cope with the financial impact of unforeseen events. In addition, where possible funds should be set aside to meet future planned expenditure. These reserves are known as the Operating Reserve.

Operating Reserve

The charity should hold sufficient financial reserves to ensure it can continue to operate in the event of unforeseen and potentially financially damaging circumstances arising.

This policy for maintaining a twelve-month operating reserve was retained throughout 2020-21 due to the ongoing Covid-19 pandemic.

This amounts to operating reserves of £924,000 in the current year as against the current free reserves of the Group at £1,609,296 and Charity at £1,608,727. The Trustees believe therefore that the levels of reserves are adequate but not excessive.

Investment Policy

Rathbones Investment Management Limited continue as SRUK’s investment managers. Over the year the value of these investments increased to £570,675.

The investment manager reports on a quarterly basis on the performance of the investments under management. These reports are incorporated into the quarterly management accounts and the year-end accounts of the Charity and reviewed by the Trustees at the quarterly board meetings.

The Board of Trustees carries out an annual review of the investment principles under which the manager operates and hold an annual review of the performance of the portfolio with the investment manager.

Grants Policy

Grants are accounted for fully in the year they are awarded in accordance with Charities SORP (FRS 102) requirements. They are therefore treated as liabilities in the accounts in the year they are awarded.

Trading Subsidiary

Over 2020-21 SRUK’s trading subsidiary brought in £38,709 of income.

£2,690 of staff costs were paid back to charity for the running of the shop, bringing total expenditure to £35,661. We continue to try and improve the technical and online capability of the shop as well as its operational efficiency and staff support costs.

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Trustees’ Report

Going Concern

After making appropriate enquiries, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. For this reason, they continue to adopt the going concern basis in preparing the financial statements.

Additional forecasting and reporting have been introduced since the beginning of the COVID-19 crisis, and the organisation has worked to understand and mitigate against additional risk where possible.

Principal Risks and Uncertainties:

SRUK is committed to effective risk management as an integral part of ensuring good corporate governance. Informed risk-taking helps to improve performance, manage our threats and opportunities and to create an environment of ‘no surprises’. This will enable us to get the right balance between innovation and change.

We continue to develop, review and strengthen our risk management processes, enabling us to conclude that major risks have been identified reviewed and where possible mitigated.

Key principal risks identified include the need for:

To help mitigate these risks, SRUK has implemented various initiatives, including the development of a five-year strategy, based on key outcomes from the organisation’s theory of change. The Strategy is to be refreshed during 2021-22.

SRUK has an annual financial budget and operational plan aimed at managing financial risks and progressing the strategic plan. These are monitored on a quarterly basis by the Board.

A fundraising strategy outlines how SRUK will raise the money to meet its strategic goals.

Structure, Governance and Management

Scleroderma & Raynaud’s UK (SRUK) is a Charitable Incorporated Organisation, registered charity number: 1161828

SRUK is governed by its Constitution.

The principal objects of the charity and the group are:

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Trustees’ Report

Method of Appointment or Election of Trustees

The management of the charity and the group is the responsibility of the Trustees who are elected and co-opted under the terms of the SRUK Constitution, registered with the Charity Commission on 26 May 2015.

Organisational Atructure and Decision Making

The trustees who served during the year are set out on page 38. The trustees have been selected for their expertise and professional skills. They meet quarterly with the Chief Executive.

Peer reviewers are invited to assist with the review of grant applications made to SRUK and their recommendations are reported back to the trustees who then approve or reject grant applications on merit or on the funding available. A Research sub-committee brings further rigour to the process.

Key Management Remuneration

SRUK is committed to a policy of equal pay and aims to ensure that salaries reflect the knowledge, skills, behaviours and capabilities required for satisfactory performance in each role whilst also demonstrating appropriate use of charitable donations. Salaries are benchmarked against the voluntary sector and where appropriate, other relevant job markets. Remuneration for key management personnel is handled in the same way as for all other staff.

Public Benefit

We have considered the Charity Commission's general guidance on public benefit when reviewing our aims and objectives and planning future activities. The Trustees always ensure that the activities undertaken are in line with the charitable objectives and aims of SRUK.

As highlighted in this report, some of our research grants are specifically targeted at trying to determine the cause of Scleroderma and Raynaud’s, thereby helping the general population in finding better treatments in the future.

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Trustees’ Report

STATEMENT OF TRUSTEES RESPONSIBILITIES AND CORPORATE GOVERNANCE

Trustees’ responsibilities statement

The Trustees are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and regulations.

Company law requires the Trustees to prepare financial statements for each financial year and Trustees have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period.

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

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and ensuring their proper application under charity law and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In so far as each of the Trustees is aware:

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

This report was approved by the Board of Trustees on 27/1/2022 and signed on their behalf by:

Gerard S. Donohue

Gerard S. Donohue (Jan 27, 2022 15:51 GMT) ~~………………………………~~ …………….

Gerard Donohue, Treasurer

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Independent Auditor’s Report

Independent auditor’s report to the trustees of Scleroderma & Raynaud’s UK

Opinion

We have audited the financial statements of Scleroderma & Raynaud’s UK for the year ended 31 March 2021 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Charity Balance Sheets, the Consolidated Statement of Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We have been appointed as auditor under section 144 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The trustees are responsible for the other information. The other information comprises the information included in the Trustees’ Report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be

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Independent Auditor’s Report

materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Matters on which we are required to report by exception

We have nothing to report in respect of the following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion:

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on page 17, the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as 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 charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or the parent charity or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

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

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

Based on our understanding of the group and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to Charity law, employment law, health and safety regulations, GDPR and safeguarding regulations, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011 and income tax, payroll tax and sales tax.

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Independent Auditor’s Report

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls). Audit procedures performed by the engagement team included:

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

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with 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 charity's 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 charity’s trustees as a body for our audit work, for this report, or for the opinions we have formed.

Date: 27/1/2022

Haysmacintyre LLP 10 Queen Street Place Statutory Auditors London EC4R 1AG

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

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SCLERODERMA & RAYNAUD’S UK CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIVES (INCORPORATING AN INCOME AND EXPENDITURE ACCOUNT) FOR THE YEAR ENDED 31 MARCH 2021

Notes
Total
Funds
2021
£
Total
Funds
2020
£
INCOME FROM:
Donations and legacies
5
2,226,255
2,131,597
Investments
7
9,083
14,282
Membership and conferences
6
31,588
5,713
Other
8
-
5,903
Total fundraising income
2,266,926
2,157,495
EXPENDITURE ON:
Raisingfunds: donations and legacies
10
(163,077)
(126,254)
Total fundraising expenditure
(163,077)
(126,254)
Fundraising Contribution
2,103,849
2,031,241
Trading income
9
38,709
40,811
Tradingexpenditure
9
(35,661)
(40,512)
Contribution from trading activities
3,048
299
Net income available for charitable
purposes
2,106,897
2,031,540
Charitable expenditure
Research
10
(661,499)
(272,430)
Services to members
10
(356,734)
(372,638)
Total charitable expenditure
(1,018,233)
(645,068)
Net income/(expenditure) before
gains/(losses) on investments
1,088,664
1,386,472
Represented by
Total income
2,305,635
2,198,306
Total expenditure
10
(1,216,971)
(811,834)
Net income/(expenditure) before
gains/(losses) on investments
1,088,664
1,386,472		 Notes
Total
Funds
2021
£
Total
Funds
2020
£
INCOME FROM:
Donations and legacies
5
2,226,255
2,131,597
Investments
7
9,083
14,282
Membership and conferences
6
31,588
5,713
Other
8
-
5,903
Total fundraising income
2,266,926
2,157,495
EXPENDITURE ON:
Raisingfunds: donations and legacies
10
(163,077)
(126,254)
Total fundraising expenditure
(163,077)
(126,254)
Fundraising Contribution
2,103,849
2,031,241
Trading income
9
38,709
40,811
Tradingexpenditure
9
(35,661)
(40,512)
Contribution from trading activities
3,048
299
Net income available for charitable
purposes
2,106,897
2,031,540
Charitable expenditure
Research
10
(661,499)
(272,430)
Services to members
10
(356,734)
(372,638)
Total charitable expenditure
(1,018,233)
(645,068)
Net income/(expenditure) before
gains/(losses) on investments
1,088,664
1,386,472
Represented by
Total income
2,305,635
2,198,306
Total expenditure
10
(1,216,971)
(811,834)
Net income/(expenditure) before
gains/(losses) on investments
1,088,664
1,386,472
Net gains/(losses) on investments
15
77,520
(45,058)
Net income/(expenditure)
1,166,184
1,341,414
Other recognized (losses)/gains
Net (loss) on property revaluation
-
(20,000)
Net movement in funds
1,166,184
1,321,414
Reconciliation of funds
Fund balances brought forward
3,224,893
1,903,479
Total funds carried forward
21
4,391,077
3,224,893

The charity has no recognised gains or losses other than the results for the year as set out above. All of the activities of the charity are classed as continuing. There was no restricted income or expenditure in 2020 or 2021.

21

SCLERODERMA & RAYNAUD’S UK CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

Notes
FIXED ASSETS
Intangible assets
14
Investments
15
CURRENT ASSETS
Current asset held for resale
17
Stock
16
Debtors: amounts falling due within one
year
18
Cash at bank and in hand
CREDITORS: amounts falling due within
one year
19
NET CURRENT ASSETS
Total assets less current liabilities
NET ASSETS
CAPITAL AND RESERVES
Designated funds
20 & 21
Unrestricted funds
20 & 21		 Group
Group
Charity
Charity
2021
2020
2021
2020
£
£
£
£
7,521
-
7,521
-
570,675
488,947
570,675
488,947
578,196
488,947
578,196
488,947
-
130,000
-
130,000
9,420
11,067
-
-
1,003,460
1,611,363
1,029,718
1,648,937
3,473,360
1,449,229
3,456,166
1,423,487
4,486,240
3,201,659
4,485,884
3,202,424
(673,359)
(465,713)
(673,572)
(464,000)
3,812,881
2,735,946
3,812,312
2,738,424
4,391,077
3,224,893
4,390,508
3,227,371
4,391,077
3,224,893
4,390,508
3,227,371
2,781,781
2,069,108
2,781,781
2,069,108
1,609,296
1,155,785
1,608,727
1,158,263
4,391,077
3,224,893
4,390,508
3,227,371

These financial statements were approved and authorised for issue by the board on 27/1/2022 and are signed on their behalf by G Donohue

Gerard S. Donohue

~~…………………………~~ Gerard S. Donohue (Jan 27, 2022 15:51 GMT) ……

Gerard Donohue, Treasurer

22

SCLERODERMA & RAYNAUD’S UK CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2021

Cash flows from operating activities
Net income/(expenditure) for the year (as per the
Consolidated Statement of Financial Activities)
Adjustments for:
Depreciation charges
Impairment of fixed assets
Dividends, interest and rents from investments
Decrease in current assets held for resale
Decrease/(increase) in stocks
(Increase)/decrease in debtors
Increase/(decrease) in creditors
Net cash provided by / (used in) operating activities
Cash flows from investing activities
Dividends, interest and rents from investments
Purchase of intangible fixed assets
Purchase of investments
Sale of investments
Gains/losses on investments
Net cash (used in) / provided by investing activities
Change in cash and cash equivalents in the year
Cash and cash equivalents at the beginning of the year
Cash and cash equivalents at the end of the year		 2021
£
1,166,184
1,815
-
(9,083)
130,000
1,647
607,903
207,645		 2021
£
2,106,111
(81,980)
2,024,131
1,449,229		 2020
£
1,321,414
231
20,000
(14,282)
11,099
(1,442,094)
(91,749)		 2020
£
(195,381)
50,593
(144,788)
1,594,017
9,083
(9,336)
(349,791)
345,584
(77,520)		 14,282
-
(193,210)
184,463
45,058
3,473,360 1,449,229

23

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

1. GENERAL INFORMATION

Scleroderma & Raynaud’s UK (‘the Charity’ or ‘SRUK’) and its subsidiary (together “the Group”) support the research of Raynaud’s and Scleroderma diseases and offer advice and support to individuals suffering from the conditions throughout the UK.

Scleroderma & Raynaud’s UK is a public benefit entity having registered charity number 1161828 and was incorporated in England. The address of its registered office is Bride House, 18-20 Bride Lane, London, EC4Y 8EE.

2. ACCOUNTING POLICIES

a) Basis of Preparation of Financial Statements

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) effective 1 January 2019) – (the Statement of Recommended Practice for Charities (SORP 2015) (Second Edition, effective 1 January 2019)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.

The SRUK 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.

The statement of financial activities (SOFA) and balance sheet consolidate the financial statements of the Charity and its subsidiary undertaking being RSA Trading Company Limited. The results of the subsidiary are consolidated on a line by line basis after the elimination of intra-group transactions. Control has been obtained by the ownership of shares.

b) Going concern

The trustees have assessed whether the use of the going concern assumption is appropriate in preparing these financial statements. The trustees have made this assessment in respect to a period of one year from the date of approval of these financial statements and have considered the impact of the coronavirus pandemic on the charity’s operations. The Trustees confirm that there are no material uncertainties about the ability of the charity to continue as a going concern. The charity therefore continues to adopt the going concern basis in preparing its financial statements.

c) 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 charity and which have not been designated for other purposes.

Designated funds are unrestricted funds earmarked by the Trustees for particular 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 charity 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.

24

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

2. ACCOUNTING POLICIES (continued)

All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of income receivable can be measured reliably. 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 Trust 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.

Donated services or facilities are recognised when the charity has control over the item, any conditions associated with the donated item have been met, the receipt of economic benefit from the use of the charity of the item is probable and that economic benefit can be measured reliably. In accordance with the Charities SORP (FRS 102). The general volunteer time of the friends is not recognised and refer to the Trustees' Report for more information about their contribution.

On receipt, donated 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.

Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Income tax recoverable in relation to investment income is recognised at the time the investment income is receivable.

e) Expenditure

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.

Expenditure is classified under the principal categories of charitable and other expenditure rather than the type of expense, in order to provide more useful information to users of the accounts.

Cost of raising funds are those incurred in seeking voluntary contributions, and those incurred in trading activities that raise funds but do not include the costs of disseminating information in support of the charitable activities.

Charitable activities comprise direct expenditure including direct staff costs attributable to the activity.

Support costs are those costs incurred directly in support of expenditure on the objects of the charity and include project management.

Governance costs are those incurred in connection with the management of SRUK's assets, organisational administration and compliance with constitutional and statutory requirements.

Support and Governance costs are allocated on the basis of time spent on each activity.

Grants are accounted for fully in the year they are awarded in accordance with Charities SORP (FRS 102) requirements. They are therefore treated as liabilities in the accounts in the year they are awarded, where they have not been paid at the year end.

25

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

2. ACCOUNTING POLICIES (continued)

f) Tangible Fixed Assets

All assets costing more than £1,000 are capitalised.

Tangible fixed assets are carried at cost or valuation, net of depreciation and any provision for impairment. Depreciation is not charged on freehold land. Depreciation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Office equipment 20% straight line

g) Intangible Fixed Assets

All assets costing more than £1,000 are capitalised.

Intangible fixed assets are carried at cost or valuation, net of amortisation and any provision for impairment. Amortisation is provided at rates calculated to write off the cost or valuation of fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

20% straight line

h) Revaluation of tangible fixed assets

The charity has adopted the cost model whereby items of property, plant and equipment are measured at cost less any accumulated depreciation and any accumulated impairment losses.

i) Building held for sale

The property held for sale was held in the accounts at fair value in the prior year. The asset has been impaired in the year and the building was sold to a third party this year.

j) Investments

Fixed asset investments are a form of financial instrument and are initially recognised at their transaction cost and subsequently measured at fair value at the Balance Sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Gains/(losses) on investments’ in the Statement of Financial Activities.

Subsidiary undertakings:

Investments in subsidiaries are valued at cost less provision for impairment.

k) 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.

l) Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.

m) Debtors

Trade and other debtors are recognised at the settlement amount after any trade discount offered.

Prepayments are valued at the amount prepaid net of any trade discounts due.

n) Cash and cash equivalents 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.

26

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

2. ACCOUNTING POLICIES (continued)

o) Liabilities and provisions

Liabilities are recognised when there 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 charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. Provisions are measured at the best estimate of the amounts required to settle the obligation. Where the effect of the time value of money is material, the provision is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects the risks specific to the liability. The unwinding of the discount is recognised within interest payable and similar charges.

p) Financial Instruments

The Charity only enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares.

Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However if the arrangements of a shortterm instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account.

For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate, which is an approximation of the amount that the Charity would receive for the asset if it were to be sold at the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

q) Taxation

The charity is exempt from tax on its charitable activities.

r) Termination benefits

Settlement agreements are recognised in the period they are incurred.

27

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

3. JUDGEMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

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.

Critical accounting estimates and assumptions:

The charity makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Critical areas of judgement:

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets. See note 14 for the carrying amount of the tangible fixed assets and note 2(f) for the useful economic lives for each class of assets.

At regular intervals, and at least annually, management review the carrying value of tangible fixed assets to determine whether this fairly represents the recoverable amount from their use. The carrying value is compared to the recoverable amount, defined as the higher of:

Using the accruals basis of accounting, grants payable are matched to the period or are reported when the expense occurs, not when the cash is paid.

4. NET INCOME/(EXPENDITURE) FOR THE YEAR

Net expenditure for the year is stated after charging:

Amortisation on owned assets
Auditor’s remuneration		 Group
Charity
2021
2020
2021
2020
£
£
£
£
1,815
231
1,815
231
8,900
8,900
7,900
8,900

28

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

5.
DONATIONS AND LEGACIES
Group & Charity
Donations
Legacies
6.
MEMBERSHIP AND CONFERENCE INCOME
Group & Charity
Membership income
Conference income
RAIRDA
7.
INVESTMENT INCOME
Group & Charity
Dividend income
Interest income
8.
OTHER INCOME
Group & Charity
Other
9.
TRADING ACTIVITIES
Income/Direct
Support Cost
Group
Costs
Allocation
2021
2021
£
£
Trading income
38,709
-
Trading costs
(35,661)
-
Trading net profit
3,048
-
Contribution from trading activities
3,048
-		 5.
DONATIONS AND LEGACIES
Group & Charity
Donations
Legacies
6.
MEMBERSHIP AND CONFERENCE INCOME
Group & Charity
Membership income
Conference income
RAIRDA
7.
INVESTMENT INCOME
Group & Charity
Dividend income
Interest income
8.
OTHER INCOME
Group & Charity
Other
9.
TRADING ACTIVITIES
Income/Direct
Support Cost
Group
Costs
Allocation
2021
2021
£
£
Trading income
38,709
-
Trading costs
(35,661)
-
Trading net profit
3,048
-
Contribution from trading activities
3,048
-		 Total
Total
Funds
Funds
2021
2020
£
£
337,396
387,226
1,888,859
1,744,371
2,226,255
2,131,597
Total
Total
Funds
Funds
2021
2020
£
£
6,866
5,686
-
27
24,722
-
31,588
5,713
Total
Total
Funds
Funds
2021
2020
£
£
7,028
12,186
2,055
2,096
9,083
14,282
Total
Total
Funds
Funds
2021
2020
£
£
-
5,903
-
5,903
Total
Total
2021
2020
£
£
38,709
40,811
(35,661)
(40,512)
3,048
-		 3,048
299
3,048
-		 3,048
299

All trading activities income received in the year were unrestricted.

29

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

10.
EXPENDITURE
2021
Group
Expenditure on Raising Funds
Cost of Raising Funds
Expenditure on Trading Activities
Retail (100% trading sub)
Expenditure on Charitable Activities
Research
Services to Members
Support Costs Allocated
Total Expenditure
Prior Year
Group
Expenditure on Raising Funds
Cost of Raising Funds
Expenditure on Trading Activities
Retail (100% trading sub)
Expenditure on Charitable Activities
Research
Services to Members
Support Costs Allocated
Total Expenditure		 Other
Support
Staff
Direct
Cost
Total
Grants
Costs
Costs
Allocation
2021
£
£
£
£
£
(note 11)
(note 12)
-
110,385
28,574
24,118
163,077
-
2,690
32,971
-
35,661
487,327
90,058
42,989
41,125
661,499
-
209,218
51,976
95,540
356,734
-
37,596
123,187
(160,783)
-
487,327
449,947
279,697
-
1,216,971
Other
Support
Staff
Direct
Cost
Total
Grants
Costs
Costs Allocation
2020
£
£
£
£
£
(note 11)
(note 12)
-
53,086
50,027
23,141
126,254
-
1,622
38,890
-
40,512
(40,208)
79,634
195,009
37,995
272,430
-
195,203
84,298
93,137
372,638
-
30,516
123,757
(154,273)
-
(40,208)
360,061
491,981
-
811,834

30

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

11. GRANTS

Analysis of grant expenditure

Group & Charity

University College London
Royal United Hospitals Bath NHS
D4T4 Solutions Plc
Universities of Rennes and Michigan
University of Leeds
SCIDEX Program
Objective Assessment of Scleroderma
Skin Rissues (OASIS)
MRC Fellowship
General
Write backs		 2021
2020
£
£
29,579
-
50,188
-
27,943
-
-
50,000
-
48,959
119,998
-
117,939
-
136,401
-
5,279
-
(139,167)
487,327
(40,208)

Of the total grants payable £482,048 relates to grants payable to institutions (2020: £98,959). During the prior year a number of grants were confirmed as completed and the outstanding balances were written back.

Grant commitments are as follows:

Group & Charity

Grant commitments at 1 April
Awards made during year
Payments made during the year
Grants retracted
Grant commitments at 31 March		 2021
2020
£
£
323,372
391,779
487,327
98,959
(198,252)
(28,199)
-
(139,167)
612,447
323,372

31

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

12. GOVERNANCE AND SUPPORT COSTS

Group & Charity
Support & Governance:
Support staff costs
Human resources
Facilities
Finance & legal
Office costs
Governance staff costs
Governance other costs
Total support and governance costs		 2021
2020
£
£
30,569
23,843
3,322
6,356
34,156
40,618
32,693
30,336
44,069
34,051
7,027
6,672
8,947
12,397
160,783
154,273

13. STAFF COSTS

AFF COSTS
Staff costs were as follows:
Wages and salaries
Social security costs
Pension
Temporary staff		 Group
Charity
2021
2020
2021
2020
£
£
£
£
366,067
297,739
363,378
296,117
36,260
27,548
36,260
27,548
9,475
6,446
9,475
6,445
38,145
28,328
38,145
28,327
449,947
360,061
447,258
358,438

The average number of employees during the year was as follows:

2021 2020
No. No.
Staff 11 9
Employees receiving remuneration amounting to more than £60,000 were as
2021 2020
Remuneration No. No.
£70,000 - £79,999 1 1

Employees receiving remuneration amounting to more than £60,000 were as follows:

During the year there were no redundancies (2020: £nil).

The key management personnel of the charity comprise the trustees and the senior management team as listed on page 38. The total amount of employee benefits (including employer pension contributions) received by key management personnel for their services to SRUK was £229,763 (2020: £148,802).

TRUSTEES

None of the trustees (or any person connected with them) received any remuneration during the current or preceding year, and total expenses reimbursed to trustees was £nil (2020 - £1,664 for 3 trustees).

32

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

14. INTANGIBLE FIXED ASSETS

Website
Group & Charity
£
Cost
At 1 April 2020
-
Additions
9,336
At 31 March 2021
9,336
Depreciation
At 1 April 2020
-
Depreciation charge
1,815
At 31 March 2021
1,815
Net Book Value
At 31 March 2020
-
At 31 March 2021
7,521
15.
FIXED ASSET INVESTMENTS
Group & Charity
Investments
Market value of quoted investments at 1 April 2020
Additions
Disposal proceeds
Net investment gains/(losses)
Market value of quoted investments at 31 March 2021
Cash on deposit
Market value at 31 March 2021
Historic cost at 31 March 2021
Accumulated unrealised gain/(loss)
Historic Cost Gains
Net investment gains/(losses)
Movement on unrealised (losses)/gains
Realised gains based on historic cost
All the fixed asset investments are held in the UK.
Investments have been valued at market value at the balance sheet date.
Investments are represented by:
Cash
Equity
Fixed interest
Alternatives
Overseas
Total		 Website
£
-
9,336		 Total
£
-
9,336
9,336
-
1,815
1,815
-
7,521
2021
2020
Total
Total
£
£
442,765
499,962
349,790
193,209
(322,971)
(205,348)
77,519
(45,058)
9,336
-
1,815
1,815
-
7,521
547,103
442,765
23,572
46,182
570,675
488,947
538,800
524,756
31,875
(35,808)
77,520
(45,058)
(68,993)
42,170
8,527
(2,888)
2021
2020
£
£
23,572
46,182
128,954
146,616
149,984
113,465
81,790
71,207
186,375
111,477
570,675
488,947

33

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

16.
STOCK
Group
2021
2020
£
£
Stock
9,420
11,067
17.
CURRENT ASSET HELD FOR RESALE
Group
2021
2020
£
£
Freehold land and building
-
130,000
18.
DEBTORS
Group
2021
2020
£
£
Due within one year
Trade debtors
24,284
70,143
Amounts owed by group entities
-
-
Accrued income
952,564
1,519,943
Other debtors
11,104
2,729
Prepayments
13,344
18,548
Taxes
2,164
-
1,003,460
1,611,363
19.
CREDITORS
Group
2021
2020
£
£
Trade creditors
17,370
93,721
Deferred income
-
8,264
Other creditors
-
1,132
Taxes and social security
11,349
8,466
Accruals
32,193
30,758
Grant commitments
612,447
323,372
673,359
465,713
DEFERRED INCOME:
2021
Group and Charity
£
Opening balance
-
Income released in the year
-
Income deferred in the year
-
Closing balance
-		 Group
2021
2020
£
£
9,420
11,067		 Charity
2021
2020
£
£
-
-
Charity
2021
2020
£
£
-
130,000
Charity
2021
2020
£
£
19,950
62,000
40,964
48,406
952,563
1,519,943
776
48
13,335
18,540
2,130
-
Group
2021
2020
£
£
24,284
70,143
-
-
952,564
1,519,943
11,104
2,729
13,344
18,548
2,164
-
1,003,460
1,611,363		 1,029,718
1,648,937
Group
2021
2020
£
£
17,370
93,721
-
8,264
-
1,132
11,349
8,466
32,193
30,758
612,447
323,372		 Charity
2021
2020
£
£
27,127
111,091
-
8,264
-
1,132
11,349
8,346
22,649
11,795
612,447
323,372
673,359
465,713		 673,572
464,000
2021
£
-
-
-
-		 2020
£
-
-
8,264
8,264

Deferred income relates to deferred membership subscriptions.

34

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

20. UNRESTRICTED FUNDS

GROUP
Designated
General
Revaluation
CHARITY
Designated
General
Revaluation
Prior Year
GROUP
Designated
General
Revaluation
CHARITY
Designated
General
Revaluation		 Funds
brought
forward
Income
Expenditure
including
gains and
losses
Transfer
Funds
carried
forward
£
£
£
£
£
2,069,108
-
(487,327)
1,200,000
2,781,781
1,047,419
2,305,635
(652,124)
(1,091,634)
1,609,296
108,366
-
-
(108,366)
-
3,224,893
2,305,635
(1,139,451)
-
4,391,077
Funds
brought
forward
Income
Expenditure
including
gains and
losses
Transfer
Funds
carried
forward
£
£
£
£
£
2,069,108
-
(487,327)
1,200,000
2,781,781
1,049,897
2,269,616
(619,152)
(1,091,634)
1,608,727
108,366
-
-
(108,366)
-
3,227,371
2,269,616
(1,106,479)
-
4,390,508
Funds
brought
forward
Income
Expenditure
including
gains and
losses
Transfer
Funds
carried
forward
£
£
£
£
£
1,308,722
-
(239,614 )
1,000,000
2,069,108
486,391
2,198,306
(637,278)
(1,000,000)
1,047,419
108,366
-
-
-
108,366
1,903,479
2,198,306
(876,892)
-
3,224,893
Funds
brought
forward
Income
Expenditure
including
gains and
losses
Transfer
Funds
carried
forward
£
£
£
£
£
1,308,722
-
(239,614)
1,000,000
2,069,108
488,999
2,157,495
(596,597)
(1,000,000)
1,049,897
108,366
-
-
-
108,366
1,906,087
2,157,495
(836,211)
-
3,227,371

35

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

21. ANALYSIS OF NET ASSETS

GROUP
Intangible fixed assets
Investments
Current assets
Current liabilities
CHARITY
Intangible fixed assets
Investments
Current assets
Current liabilities
Prior Year
GROUP
Tangible fixed assets
Investments
Current assets
Current liabilities
CHARITY
Tangible fixed assets
Investments
Current assets
Current liabilities		 Unrestricted
Designated
Restricted
Total
£
£
£
£
7,521
-
-
7,521
570,675
-
-
570,675
1,704,459
2,781,781
-
4,486,240
(673,359)
-
-
(673,359)
1,609,296
2,781,781
-
4,391,077
Unrestricted
Designated
Restricted
Total
£
£
£
£
7,521
-
-
7,521
570,675
-
-
570,675
1,704,103
2,781,781
-
4,485,884
(673,572)
-
-
(673,572)
1,608,727
2,781,781
-
4,390,508
Unrestricted
Designated
Restricted
Total
£
£
£
£
-
-
-
-
488,947
-
-
488,947
1,132,551
2,069,108
-
3,201,659
(465,713)
-
-
(465,713)
1,155,785
2,069,108
-
3,224,893
Unrestricted
Designated
Restricted
Total
£
£
£
£
-
-
-
-
488,947
-
-
488,947
1,133,316
2,069,108
-
3,202,424
(464,000)
-
-
(464,000)
1,158,263
2,069,108
-
3,227,371

22. RELATED PARTIES

During the year staff recharges of £2,689 (2020 - £1,622) were made to RSA Trading Company Limited; as at 31 March 2021 SRUK are due £40,964 (2020 - £48,406) from RSA Trading Company Limited.

All transactions were carried out at arm’s length. There were no other related party transactions in year.

36

SCLERODERMA & RAYNAUD’S UK NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2021

23. PRINCIPAL SUBSIDARIES

Company Name Country Percentage Description RSA Trading Company Limited United 100% Sale of products to help with the Kingdom medical conditions of Raynaud's and Scleroderma

The subsidiary was registered in England and Wales with registered number 07869668.

Financial review:
Net assets
Income
Expenditure
Profit
24.
OPERATING LEASES
Group and Charity
Operating Leases – Buildings
Amounts due:
< 1 year
2-5 years
>5 years
Total		 2021
2020
£
£
589
(2,462)
38,709
40,811
(35,661)
(40,512)
3,048
299
2021
2020
£
£
14,180
8,064
-
6,084
-
-
14,180
14,148

37

Legal and Administrative Information

WHO WE ARE:

Trustees:

Christopher Coombe Kenneth Hicks Susan Hoare Professor Jeremy Pearson Helena Rozga Professor David G.I. Scott Jitinder Saini Jason Bryant Professor Allan Lawrie Kellie Scott Dorian Haskard Elliot Dunster Gerard Donohue

Chief Executive Officer: Senior Management Team:

(Retired 10[th] December 2021) (Retired 13[th] May 2021) (Retired 25[th] May 2021) (Retired 25[th] May 2021) (Retired 25[th] May 2021) (Retired 25[th] May 2021) (Appointed 27th July 2020) (Appointed 6th November 2020) (Appointed 21 January 2021) (Appointed 13[th] May 2021) (Appointed 14[th] May 2021) (Appointed 26[th] May 2021) (Appointed 12 July 2021)

Sue Farrington David Atkinson, Gemma Cornwell, Emma Blamont

Principal Bankers: NatWest Bank 1 Upper Market Square Hanley Stoke on Trent ST11NS

CAF Bank Limited 25 Kings Hill Avenue Kings Hill West Malling Kent ME19 4JQ

Solicitors:

Clyde & Co Beaufort House 15 St Botolph St Spitalfields London EC3A 7NJ

Auditors:

haysmacintyre LLP 10 Queen St Place London EC4R 1AG

38

SRUK Annual Report and Accounts 2020-21FINAL

Final Audit Report 2022-01-27

Created: 2022-01-27 By: David Atkinson (david.atkinson@sruk.co.uk) Status: Signed Transaction ID: CBJCHBCAABAAGymUmj-9Zo5nruxe06j9w3wAN2Hs3Qmv

"SRUK Annual Report and Accounts 2020-21- FINAL" History

Document created by David Atkinson (david.atkinson@sruk.co.uk)

2022-01-27 - 10:39:29 AM GMT- IP address: 89.242.129.6

Document emailed to Gerard S. Donohue (jerry.donohue@sruk.co.uk) for signature

2022-01-27 - 10:49:29 AM GMT

Email viewed by Gerard S. Donohue (jerry.donohue@sruk.co.uk)

2022-01-27 - 3:51:06 PM GMT- IP address: 77.102.97.223

Document e-signed by Gerard S. Donohue (jerry.donohue@sruk.co.uk)

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Signature Date: 2022-01-27 - 4:21:52 PM GMT - Time Source: server- IP address: 82.12.48.246

Agreement completed.

2022-01-27 - 4:21:52 PM GMT