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2020-12-31-accounts

Registered number: 07682372 Charity number: 1171827

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

TRUSTEES' REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

CONTENTS

Page
Reference and administrative details of the Charity, its Trustees and advisers 1
Trustees' report 2 - 7
Independent auditor's report on the financial statements 8 - 11
Statement of financial activities 12
Balance sheet 13
Statement of cash flows 14
Notes to the financial statements 15 - 27

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEES AND ADVISERS FOR THE YEAR ENDED 31 DECEMBER 2020

Trustees R Marais (resigned 19 June 2020)
R Palmer
A Carracedo
A Trumpp
D S Peeper
J Seoane
E W Verschuren (resigned 19 June 2020)
A J M Berns (resigned 19 June 2020)
C Caldas
L M David (resigned 19 June 2020)
C Dive
Y R Samuels
T Sorlie (resigned 19 June 2020)
A Bardelli
V Costanzo
H M F Blaudin De The
N L Bigas (appointed 19 June 2020)
E Oricchio (appointed 19 June 2020)
E Lianidou (appointed 19 June 2020)
R Bernards (appointed 19 June 2020)
Company registered
number
07682372
Charity registered
number
1171827
Registered office
Sir Colin Campbell Building
University Of Nottingham Innovation Park
Triumph Road
Nottingham
NG7 2TU
Company secretary
J Smith
Senior management
team
J Smith, Chief Executive Office (CEO)
Independent auditor
Mazars LLP
Chartered Accountants
Park View House
58 The Ropewalk
Nottingham
NG1 5DW

Page 1

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

TRUSTEES' REPORT FOR THE YEAR ENDED 31 DECEMBER 2020

The Trustees (who are also directors of the charity for the purposes of the Companies Act) present their annual report together with the audited financial statements of the European Association for Cancer Research (EACR) (the Charity) for the year ended 31 December 2020. The Trustees confirm that the Annual Report and financial statements of the Charity comply with the current statutory requirements, the requirements of the Charity's governing document and reporting by Charities: Statement of recommended practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard in the UK and Republic of Ireland (FRS 102) (effective 1 January 2015).

Structure, governance and management

a. Constitution

EACR is a company limited by guarantee (07682372) and a registered charity in England and Wales (1171827).

b. Methods of appointment or election of Trustees

The management of the charity is the responsibility of the trustees who are elected and co-opted under the terms of the Articles of Association.

A Nominating Committee advises the Board on its proposals for the appointment of officers and members of the Board. The Nominating Committee sets out to recommend nominees of the highest calibre for consideration by the Board and ultimately the approval of the General Assembly. In the case of the nomination of President, suggestions will be evaluated in terms of scientific achievement and international renown.

c. Policies adopted for the induction and training of Trustees

New trustees are provided with full information to brief them on their legal obligations under charity and company law. Four new Trustees were appointed during the year, to replace Trustees retiring at the end of their terms of office.

d. Organisational structure and decision-making

The Board of Trustees, which can have between 12 and 16 members, administers the charity. The Board meets three times each year. It sets strategic direction for the organisation which is implemented by the employed staff, through an annual operational plan. The CEO and current President have a meeting by video call once every three weeks, and there is frequent contact between the CEO and the five Officers, who form the Finance and Personnel Committee and who have devolved authority to take decisions between Board meetings.

e. Risk management

The Trustees have assessed the major risks to which the Charity is exposed, in particular those related to the operations and finances of the Charity, and are satisfied that systems and procedures are in place to mitigate exposure to the major risks. The Risks Register is reviewed and updated at least twice each year and has been reviewed and updated in the light of the Covid-19 pandemic.

f. Related party relationships

The charity has no closely related parties.

Page 2

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

Objectives and activities

g. Policies and objectives

The object of the Association is the advancement of cancer research, for the public benefit, from basic research to prevention treatment and care.

h. Strategies for achieving objectives

The EACR galvanises excellence in multidisciplinary cancer research by:

i. Activities undertaken to achieve objectives

The EACR supports its members to make progress in researching new ways to prevent, detect and treat cancer by providing education, information and networking opportunities. It also provides information to the public via a free email bulletin and through its website and digital magazine, and seeks to make the case for sustained political and economic support for cancer research throughout Europe.

Achievements and performance

a. 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. Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.

Page 3

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

Achievements and performance (continued)

b. Review of activities

During 2020, the Board continued to focus on priorities identified in the Strategic Plan 2017 – 2021, making significant changes to the way services are delivered in response to the Covid-19 pandemic which had an impact from March 2020 through to year end (and beyond).

The most immediate impact of the pandemic was the need to cancel or postpone all planned in-person events. These were moved online, and initially (May to October) were offered free of charge to EACR members. This included the EACR Congress, which had been planned to take place in Turin, Italy, in June 2020. From November 2020, registration fees were introduced for members and non-members. For all online events, support from industry was achieved through the sale of sponsorship and online exhibition opportunities.

The EACR also introduced other new digital member benefits during the year including a monthly Meet the Expert webinar series and an occasional ‘How To…’ webinar series. These have proved popular with members.

The Travel Fellowships scheme was paused in response to the restrictions on travel. The Board continues to keep this under review and looks forward to relaunching the scheme when it is considered safe for travel to resume.

Members and the wider public were kept up to date on activities, news and events in the cancer research community via the fortnightly email bulletin, the EACR website and the digital magazine, The Cancer Researcher. Financial support for The Cancer Researcher was secured, to run from 2020 to 2022 inclusive. The EACR is also part of a successful Horizon 2020 bid, which will provide funding for associated activities for four years.

Member numbers fluctuated more than usual in 2020, although at year end numbers were down only 2% compared to the start of the year. Initiatives are planned to grow member numbers in 2021.

Considerable work was undertaken on the conferences database in 2020. This now allows for conference abstracts to be scored online and for posters to be submitted and viewed through the system, saving considerable staff time and improving the service for conference participants.

The Advisory Council was completely reconstituted in 2020, in line with the Articles of Association and the Regulations. The new Council met in November 2020 and provided useful advice to the Board, not least on its approach to the pandemic.

c. Key management personnel remuneration

All employed staff are appointed to roles which are matched to the University of Nottingham administrative staff salary scale. Terms and conditions of employment also match those of the University, reflecting the EACR’s past association with the University. There is an annual appraisal process, with salary uplifts linked to performance. Some changes were made to the performance review system during 2020, in consultation with the staff. These limit the individual performance-related salary uplifts in favour of an organisation-wide bonus system. The CEO’s performance is reviewed by the President, President Elect, Past President, Treasurer and Secretary General.

Page 4

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

Financial review

a. Principal risks and uncertainties

The Board’s five year plan is designed to diversify income streams to mitigate the loss of income from partner organisations. 2020 saw further success in growing links and generating support from industry. The number of EACR industry partners grew during the year.

The Board met monthly from March to June 2020 to consider the risks posed by Covid-19. The financial impact of the pandemic and the actions taken in response was considered at each of these meetings, and a new forecasting tool was developed to simplify the financial modelling process.

The Board also continued to consider Brexit at each of its meetings in 2020. Towards the end of the year, when a ‘no-deal’ outcome looked likely, legal advice was taken on steps the organisation should take to mitigate any risks. In outcome, data sharing agreements were drafted between the EACR and each of its 14 affiliated national societies. Detailed VAT advice was also taken, considering also the shift from in-person to virtual events. The risk of currency instability has continued to be a concern and the Board agreed to continue to hold the majority of the EACR’s funds in euros during 2020.

b. Reserves policy

The Board has a policy of keeping reserves equivalent to two years’ operating costs, given the two year cycle of income and expenditure. This policy was reviewed in June 2018 and the trustees agreed that this should continue to be the short to medium term policy, with the longer term aim of reducing reserves to one year of operating costs when it is deemed prudent to do so and as the organisation shifts from a two-year to a one-year cycle. The policy was due to be reviewed in October 2020, but this was delayed to allow the Finance Manager to undertake some external training which was postponed to February 2021 due to the pandemic. The policy review will take place at the June 2021 Board meeting.

Using the existing policy, operating expenses in 2021 are budgeted to be €822,853 suggesting reserves should be €1,645,706. At today’s exchange rate they are €1,532,124. This is 6.9% below the target. This varies with exchange rate fluctuations and is within the margin expected by the Trustees, particularly given the intention to decrease reserves over time.

c. Public benefit

In setting objectives and planning for activities, the Trustees have given due consideration to general guidance published by the Charity Commission relating to public benefit. In particular, the Trustees consider how planned activities will contribute to the aim and objectives they have set.

The object of the EACR is the advancement of cancer research, for the public benefit, from basic research to prevention treatment and care. This is achieved by increasing the knowledge of researchers and professionals and fostering greater collaboration amongst those working in the cancer fields, with a view to increasing cancer survival rates and improving treatments for patients.

The Association provides a wide variety of services to its community of members, organises scientific meetings and courses, and facilitates communication and collaboration. It also sets out to raise the profile of cancer research in Europe and the need for sustained political and economic support.

Page 5

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

Financial review (continued)

d. Principal funding

The EACR receives funds from grants, partnership agreements, membership fees, conference attendance fees, sponsorship and advertising.

e. Fundraising

The EACR encourages its members to fundraise through ‘give as you shop’ schemes such as AmazonSmile. It does not employ professional fundraisers. The public are invited to donate to the EACR through a link on the website to the EACR’s JustGiving page. The profile of this page increased in 2020, with donations of £4,753 being received. Total donations from the public were £18,691. In 2021, with plans to begin directly funding research through postdoctoral fellowships supported by industry, the EACR expects to be able to be more proactive about seeking donations from the public.

Plans for future periods

The Strategic Plan sets out the EACR’s future plans to expand its services to the cancer research community. The plan will be reviewed in 2021, with a view to publishing a new strategy for 2022 onwards. For 2021, the EACR will focus on its continuing response to Covid-19 and to planning for the ‘new normal’; it is expected that there will continue to be a demand for virtual events and member benefits for some time, not only due to the ongoing impact of the pandemic, but also due to concerns about climate change and to reductions in funding across the academic sector.

Funds held as custodian

There are no funds held as custodian.

Statement of Trustees' responsibilities

The Trustees (who are also the directors of the Charity for the purposes of company law) are responsible for preparing the Trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the Trustees to prepare financial statements for each financial year. Under company law, the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, 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 Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity 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 Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 6

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

TRUSTEES' REPORT (CONTINUED) FOR THE YEAR ENDED 31 DECEMBER 2020

Disclosure of information to auditor

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

This report was approved by the Trustees and signed on their behalf:

................................................ C Dive

Date: Apr 29, 2021

Page 7

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EUROPEAN ASSOCIATION FOR CANCER RESEARCH

Opinion

We have audited the financial statements of European Association for Cancer Research (the ‘Charity’) for the year ended 31 December 2020 which comprise the statement of financial activities, the balance sheet, the 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 FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the Charity 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 Charity’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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information contained within the annual report. Our opinion on the 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.

Page 8

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EUROPEAN ASSOCIATION FOR CANCER RESEARCH

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 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 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.

Opinions on other matters prescribed by the Companies Act 2006

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

Matters on which we are required to report by exception

In light of the knowledge and understanding of the Charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.

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

Page 9

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EUROPEAN ASSOCIATION FOR CANCER RESEARCH

Responsibilities of Trustees'

As explained more fully in the Trustees' Responsibilities Statement set out on page 6, 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 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 either the Trustees' intend to liquidate the Charity or to cease operations, or Trustees' 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. Based on our understanding of the Charity and its activities, we identified that the principal risks of non-compliance with laws and regulations related to the Charities Act 2011, Charities Statement of Recommended Practice, UK tax legislation, pensions legislation, employment regulation and health and safety regulation, anti-bribery, corruption and fraud, money laundering, non-compliance with implementation of government support schemes relating to COVID-19, 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 Companies Act 2006.

We evaluated the Trustees' and management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, in particular in relation to use of restricted funds, and significant one-off or unusual transactions.

Our audit procedures were designed to respond to those identified risks, including non-compliance with laws and regulations (irregularities) and fraud that are material to the financial statements. Our audit procedures included but were not limited to:

Page 10

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF EUROPEAN ASSOCIATION FOR CANCER RESEARCH

Our audit procedures in relation to fraud included but were not limited to:

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

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 the audit report

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

David Hoose (Apr 30, 2021 09:46 GMT+1)

David Hoose (Senior Statutory Auditor)

for and on behalf of Mazars LLP

Chartered Accountants and Statutory Auditor

Park View House 58 The Ropewalk Nottingham NG1 5DW

Date: Apr 30, 2021

Page 11

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 DECEMBER 2020

Note
Income from:
Grants and donations
4
Charitable activities:
Membership income
Meeting and conference income
Other trading activities
Investments
5
Total income
Expenditure on:
Charitable activities:
6
Raising funds
. Other charitable activities
Total expenditure
Net movement in funds
Reconciliation of funds:
Total funds brought forward
Net movement in funds
Total funds carried forward		 Unrestricted
funds
2020
£
127,133
190,108
343,943
3,101
2,888
667,173
190
968,853
969,043
(301,870)
1,686,997
(301,870)
1,385,127		 Restricted
funds
2020
£
2,321
-
-
-
-
2,321
-
2,321
2,321
-
-
-
-		 Total
funds
2020
£
129,454
190,108
343,943
3,101
2,888
669,494
190
971,174
971,364
(301,870)
1,686,997
(301,870)
1,385,127		 Total
funds
2019
£
40,671
159,585
1,188,563
11,927
1,097
1,401,843
1,670
1,068,278
1,069,948
331,895
1,355,102
331,895
1,686,997

The Statement of Financial Activities includes all gains and losses recognised in the year.

The notes on pages 15 to 27 form part of these financial statements.

Page 12

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee) REGISTERED NUMBER: 07682372

BALANCE SHEET AS AT 31 DECEMBER 2020

Note
Fixed assets
Tangible assets
11
Current assets
Debtors
12
Cash at bank and in hand
Creditors: Amounts falling due within one
year
13
Net current assets
Total assets less current liabilities
Creditors: Amounts falling due after more
than one year
14
Total net assets
Charity funds
Restricted funds
15
Unrestricted funds
15
Total funds		 123,486
2,043,253
2,166,739
(738,676)		 2020
£
2,147
2,147
1,428,063
1,430,210
(45,083)
1,385,127
-
1,385,127
1,385,127		 1,227,582
1,418,013
2,645,595
(906,916)		 2019
£
1,629
1,629
1,738,679
1,740,308
(53,311)
1,686,997
-
1,686,997
1,686,997

The financial statements were approved and authorised for issue by the Trustees and signed on their behalf by:

................................................

C Dive

Date: Apr 29, 2021

The notes on pages 15 to 27 form part of these financial statements.

Page 13

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2020
Cash flows from operating activities
Net cash used in operating activities
Cash flows from investing activities
Investment income
Purchase of tangible fixed assets
Net cash provided by/(used in) 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		 2020
£
624,639
2,888
(2,287)
601
625,240
1,418,013
2,043,253		 2019
£
(158,189)
1,096
(1,425)
(329)
(158,518)
1,576,531
1,418,013

The notes on pages 15 to 27 form part of these financial statements.

Page 14

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

1. General information

European Association for Cancer Research, registered number 1171827, presents its financial statements for the year ended 31 December 2020.

The presentational currency for the financial statements is pounds sterling (£). The charity is a company limited by guarantee registered in England. Its registered office address is Sir Colin Campbell Building, University of Nottingham Innovation Park, Triumph Road, Nottingham, NG7 2TU.

The Charity's principal activity during the year continued to be that of raising funds for the advancement of cancer research, through memberships, sponsorships meetings and events.

A summary of the Charity's accounting policies, which have been consistently applied, is set out below:

2. Accounting policies

2.1 Basis of preparation of financial statements

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - 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 2015), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

European Association for Cancer Research 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.

2.2 Company status

The Charity is a company limited by guarantee. The members of the Charity are the Trustees named on page 1. In the event of the Charity being wound up, the liability in respect of the guarantee is limited to £10 per member of the Charity.

2.3 Going concern

The trustees, along with the Charity's senior management team, have and are continuing to assess the impact of Covid-19 on all areas of the business. This includes ongoing discussions with all of the business's internal and external key stakeholders. As part of this process, the Trustees have been assessing the likely trading levels of the Charity over the foreseeable future and evaluating the availability of both financial and non-financial resources to ensure the Charity continues to trade without material disruption and with the ongoing support of the ultimate controlling party. Accordingly the trustees have continued to prepare the financial statements on the going concern basis.

Page 15

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

2. Accounting policies (continued)

2.4 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.

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.

Investment income, gains and losses are allocated to the appropriate fund.

2.5 Incoming resources

All incoming resources are included in the Statement of Financial Activities when the Charity has entitlement to the funds, certainty of receipt and the amount can be measured with sufficient reliability.

Income from grants are recognised when the charity has entitlement to the funds, any performance conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred.

2.6 Expenditure

Expenditure is accounted for on an accruals basis and has been included under expense categories that aggregate all costs for allocation to activities. Where costs cannot be directly attributed to particular activities they have been allocated on a basis consistent with the use of the resources.

Costs of generating funds are costs incurred in attracting voluntary income, and those incurred in trading activities that raise funds.

Charitable activities and Governance costs are costs incurred on the Charity's educational operations, including support costs and costs relating to the governance of the Charity apportioned to charitable activities.

2.7 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 institution with whom the funds are deposited.

Page 16

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

2. Accounting policies (continued)

2.8 Foreign currencies

Monetary assets and liabilities denominated in foreign currencies are translated into sterling at rates of exchange ruling at the balance sheet date.

Transactions in foreign currencies are translated into sterling at the rate ruling on the date of the transaction.

Exchange gains and losses are recognised in the statement of financial activities incorporating income and expenditure account.

2.9 Tangible fixed assets and depreciation

All assets costing more than £100 are capitalised.

Tangible fixed assets are carried at cost, net of depreciation and any provision for impairment. Depreciation is provided at rates calculated to write off the cost of fixed assets, less their estimated residual value, over their expected useful lives on the following basis:

2.10 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.

2.11 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.

2.12 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.

2.13 Financial instruments

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

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(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

2. Accounting policies (continued)

2.14 Operating leases

Rentals paid under operating leases are charged to the statement of financial activities on a straight line basis over the lease term.

2.15 Pensions

The Charity operates a defined contribution pension scheme and the pension charge represents the amounts payable by the Charity to the fund in respect of the year.

3. Critical accounting estimates and areas of judgement

In the application of the Company's accounting policies, which are described in Note 2, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of revision and future periods if the revision affects both current and future years.

The Trustees have not identified any critical judgements or key sources of estimation uncertainty in preparing these financial statements.

4. Income from donations and legacies

Grants and donations
Total 2019		 Unrestricted
funds
2020
£
127,133
10,982		 Restricted
funds
2020
£
2,321
29,689		 Total
funds
2020
£
129,454
40,671		 Total
funds
2019
£
40,671

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(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

5. Investment income

Investment income
Total 2019		 Unrestricted
funds
2020
£
2,888
1,097		 Total
funds
2020
£
2,888
1,097		 Total
funds
2019
£
1,097

6. Analysis of expenditure on charitable activities

Summary by fund type

Fundraising expenses
Direct and support costs
Governance
Total 2020
Total 2019		 Unrestricted
funds
2020
£
190
954,188
14,665
969,043
1,040,259		 Restricted
funds
2020
£
-
2,321
-
2,321
29,689		 Total
funds
2020
£
190
956,509
14,665
971,364
1,069,948		 Total
funds
2019
£
1,670
1,052,696
15,582
1,069,948

Summary by expenditure type

Fundraising expenses
Direct and support costs
Governance
Total 2020
Total 2019		 Staff costs
2020
£
-
384,251
-
384,251
359,624		 Other costs
2020
£
190
572,258
14,665
587,113
710,324		 Total
funds
2020
£
190
956,509
14,665
971,364
1,069,948		 Total
funds
2019
£
1,670
1,052,696
15,582
1,069,948

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(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

7. Support costs

Rent
Office costs
Telephone
Travelling expenses and entertainment
Legal and professional fees
Bank charges
Loss / (profit) on foreign exchange
Sundry expenses
Staff training
Depreciation
Loss on disposal of tangible fixed assets
IT
Wages and salaries
National insurance
Pension cost
Insurance
Foreign taxes		 2020
£
32,267
1,033
523
402
114,277
5,320
(53,784)
1,513
1,430
1,769
-
5,124
315,355
30,897
37,999
2,226
(21)
496,330		 2019
£
35,257
4,288
806
18,509
67,534
16,496
74,526
4,846
10,730
1,637
1,380
3,689
293,147
29,243
37,234
7,707
5,107
612,136

8. Governance costs

Governance costs
Governance Auditor's remuneration
Governance Auditor's non audit costs
Total 2020		 Unrestricted
funds
2020
£
6,365
7,210
1,090
14,665		 Total
funds
2020
£
6,365
7,210
1,090
14,665		 Total
funds
2019
£
7,492
7,000
1,090
15,582

In 2019, of the total governance costs, £15,582 was to unrestricted funds and £Nil was to restricted funds.

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(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

9. Net incoming resources / (resources expended)

Depreciation of tangible fixed assets
Loss on disposal of tangible fixed assets
Auditor's remuneration - audit
Auditor's remuneration - non audit		 2020
£
1,769
-
7,210
1,090
10,069		 2019
£
1,637
1,380
7,000
1,090
11,107

During the year, no Trustees received any remuneration (2019: £Nil).

During the year, no Trustees received any benefits in kind (2019: £Nil).

During the year, 15 Trustees received reimbursement of travel expenses amounted to £6,365 (2019: £6,495).

10. Staff costs

Wages and salaries
Social security costs
Contribution to defined contribution pension schemes		 2020
£
315,355
30,897
37,999
384,251		 2019
£
293,147
29,243
37,234
359,624

The average number of persons employed by the Charity during the year was as follows:

2020 2019
No. No.
Employees 10 9

The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was:

2020 2019
No. No.
In the band £70,001 - £80,000 1 1

The key management employee benefits (including employer pension contributions) for the year totaled £95,623 (2019: £94,647).

Page 21

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

11.
Tangible fixed assets
Cost
At 1 January 2020
Additions
At 31 December 2020
Depreciation
At 1 January 2020
Charge for the year
At 31 December 2020
Net book value
At 31 December 2020
At 31 December 2019		 Office
equipment
£
12,054
2,287
14,341
10,425
1,769
12,194
2,147
1,629

12. Debtors

Due within one year
Trade debtors
Other debtors
Prepayments and accrued income		 2020
£
46,151
22,879
54,456
123,486		 2019
£
339,677
-
887,905
1,227,582

Page 22

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

13. Creditors: Amounts falling due within one year

Trade creditors
Other taxation and social security
Other creditors
Accruals and deferred income
Analysis of total deferred income
Deferred income at 1 January 2020
Amounts released from previous periods
Resources deferred during the year
Deferred income as at 31 December relates to:
- £94k of membership income in advance (2019: £105k)
- £450k of registration and sponsorship income in advance (2019: £605k)
- £119k of grants (2019: £86k)		 2020
£
32,927
-
65,598
640,151
738,676
2020
£
796,696
(576,748)
442,694
662,642		 2019
£
4,055
24,421
98,679
779,761
906,916
2019
£
181,764
(181,764)
796,696
796,696

14. Creditors: Amounts falling due after more than one year

Deferred income
The deferred income relates to membership income.		 2020
£
45,083		 2019
£
53,311

Page 23

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

15. Statement of funds

Unrestricted funds
Reserves
Restricted funds
Restricted Fund
Total of funds		 Balance at 1
January
2020
£
1,686,997
-
1,686,997		 Income
£
667,173
2,321
669,494		 Expenditure
£
(969,043)
(2,321)
(971,364)
Expenditure
£
(1,040,259)
(29,689)
(1,069,948)		 Balance at
31
December
2020
£
1,385,127
-
1,385,127
Balance at
31
December
2019
£
1,686,997
Comparative information in respect of the preceding year is as follows:
Unrestricted funds
Reserves
Restricted funds
Restricted Fund
Total of funds		 Balance at
1 January
2019
£
1,355,102
-
1,355,102		 Income
£
1,372,154
29,689
1,401,843
-
1,686,997

Page 24

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

16. Analysis of net assets between funds

Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Unrestricted
funds
2020
£
2,147
2,140,415
(712,352)
(45,083)
1,385,127		 Total
funds
2020
£
2,147
2,140,415
(712,352)
(45,083)
1,385,127

Comparative information in respect of the preceding year is as follows:

Tangible fixed assets
Current assets
Creditors due within one year
Creditors due in more than one year
Total		 Unrestricted
funds
2019
£
1,629
2,645,595
(906,916)
(53,311)
1,686,997		 Total
funds
2019
£
1,629
2,645,595
(906,916)
(53,311)
1,686,997

Page 25

(A company limited by guarantee)

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

17. Reconciliation of net movement in funds to net cash flow from operating activities

Net income/expenditure for the period (as per Statement of Financial
Activities)
Adjustments for:
Depreciation charges
Investment income
Loss on the sale of fixed assets
Decrease/(increase) in debtors
(decrease)/increase in creditors
Net cash provided by/(used in) operating activities		 2020
£
(301,870)
1,769
(2,888)
-
1,130,420
(202,792)
624,639		 2019
£
331,895
1,637
(1,097)
1,380
(1,172,466)
680,462
(158,189)

18. Analysis of cash and cash equivalents

2020 2019
£ £
Cash in hand 2,043,253 1,418,013

19. Analysis of changes in net debt

At 1 At 31
January December
2020 Cash flows 2020
£ £ £
Cash at bank and in hand 1,418,013 625,240 2,043,253

20. Pension commitments

The Charity operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Charity in an independently administered fund. The pension cost charge represents contributions payable by the Charity to the fund and amounted to £37,999 (2019: £37,234). Contributions totalling £6,425 (2019: £9,904) were payable to the fund at the balance sheet date and are included in creditors.

Page 26

EUROPEAN ASSOCIATION FOR CANCER RESEARCH

(A company limited by guarantee)

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2020

21. Operating lease commitments

At 31 December 2020 the Charity had commitments to make future minimum lease payments under noncancellable operating leases as follows:

Not later than 1 year
Later than 1 year and not later than 5 years		 2020
£
20,925
34,875
55,800		 2019
£
24,064
55,800
79,864

Page 27