## **Annual Report and Accounts** **Year ended 31 March 2024** **Oxford Hospitals Charity Registered charity no. 1175809. Company no. 11052176.** ## Contents |Reference and administrative details|1| |---|---| |About Oxford Hospitals Charity|2| |Structure, governance and management|3| |Achievements and performance|5| |Financial review|8| |Other policies|10| |Fundraising review|11| |Risk management|12| |Plans for future periods|14| |Statement of Trustees’ responsibilities|15| |Independent auditor’s report|16
| |Statement of financial activities|21| |Balance sheet|22| |Statement of cash flows|23| |Notes to the accounts|24| OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-2024 ## Oxford Hospitals Charity Reference and administrative details A charity registered in England and Wales - charity number 1175809 A company limited by guarantee – company number 11052176 **Address** Oxford Hospitals Charity Wood Centre for Innovation, Quarry Road, Oxford, OX3 8SB **Contact us** www.hospitalcharity.co.uk charity@ouh.nhs.uk 01865 743444 **Directors/** Lady Baldry **Trustees** Mrs Rebecca Kashti Professor David Matthews (chair) Dr Aparna Pal Dr Brian Shine Mr Keith Stacey Mr Graham Steinsberg Mrs Anne Tutt **CEO** Dr Douglas Graham **Bankers/** Lloyds Bank Rothschild & Co **Investments** 87 London Road, St Julian's Court Headington St Peter Port Oxford Guernsey OX3 9AB GYI 3BP **Auditor** Moore Kingston Smith LLP 6[th] Floor 9 Appold Street London EC2A 2AP 1 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## About Oxford Hospitals Charity ## Objectives and activities **Oxford Hospitals Charity supports the strategic priorities of Oxford University Hospitals NHS Foundation Trust (OUH) in providing the best possible healthcare for its catchment area of around two million people from across the region and beyond.** The Charity helps transform our hospitals - funding the very latest medical equipment, innovative technology and research, and specialist training for clinical staff. Fundraising, donations and gifts in Wills all help to improve the hospital environment for patients and the staff that care for them, making wards, waiting rooms, staff areas and hospital spaces more welcoming and comfortable. The Charity also supports the wellbeing of hospital staff – providing rest areas, drinks facilities and other simple enhancements. Some funding is also used for specialist counselling and to provide extra support for dedicated clinical staff. From the smaller things, like providing music on wards, to larger projects, such as funding state-of-the-art medical equipment, Oxford Hospitals Charity is here to make a positive difference for hospital patients and staff. We work very closely with the OUH Trust and clinical colleagues, under the guidance of our dedicated Trustees, to ensure donations are well spent and have the maximum impact for patients and staff. ## Our values **The needs of patients and hospital staff are at the heart of all we do.** We are a local charity with a big impact, inspired by our patients, supporters and hospital staff. We are loyal to and proud of our NHS hospitals and the staff who serve in them. Our values steer our work and we seek to demonstrate them in all our activities. - Respect - Ambition Our Charity works across the John Radcliffe, Churchill, Nuffield Orthopaedic Centre, Horton General and Oxford Children's Hospital, with every ward and department across some 40 sites able to benefit from the positive impact of charitable support. This is all thanks to thoughtful and generous groups and individuals who donate to make a difference in their local community. - Collaboration - Openness ## Public benefit The Trustees confirm that they have paid due regard to the Charity Commission’s general guidance on public benefit, and are mindful of ensuring that funds are used to best effect in the interests of the Trust’s patients and staff. **2** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-2024 ## Structure, governance & management ## Statutory background Oxford Hospitals Charity (charity number 1175809) was formed as an independent charity on 1 January 2018 taking on the activities and assets of our predecessor charity, Oxford Radcliffe Hospitals (ORH) Charitable Funds (charity no 1057295). The Charity is made up of a large number of funds which may be used to benefit a particular area of the hospital or medical service, to support a research project or to fund certain training, support or development services for OUH staff. Money received by the Charity for a particular area/service is placed in these individual funds to be used, as far as possible, in line with the wishes of our donors. There are also a number of general funds which are used for areas of greatest need in our hospitals. Each fund has at least one Fund Advisor (usually a member of Trust staff with specialist knowledge in the relevant area) who is responsible for signing off fund expenditure up to a certain level. Fund Advisors operate under the delegated authority of the Trustees to ensure that the money is spent appropriately, in accordance with charity law and in line with the wishes of the donor and for public benefit. The Charity is governed by its governing document, the memorandum and articles of association dated 7 November 2017. ## Group structure The Charity has a wholly owned trading subsidiary, OHC Developments Limited (ODL), with paid-up share capital of £100. ODL was incorporated in England and Wales on 25 March 2019. The company develops staff accommodation. ODL has an investment in Oxford Headington Holdings, a joint venture with Oxford University Hospitals NHS Foundation Trust. A summary of ODL’s trading results and net assets can be seen in note 2. These results are included in the group consolidation. ## Our Trustees The Trustees of the charitable company (the Charity) are its directors for the purpose of company law. The Trustees meet at least quarterly to make policy recommendations and funding decisions. The Fund Advisors liaise with the Charity team and receive financial statements, guidance information and ongoing support and advice. 3 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Structure, governance & management When new Trustees are appointed, they receive a comprehensive induction and training programme, which includes spending time with the Charity staff who administer the Charity and manage fundraising activity. The Trustees who served during the year ended 31 March 2024 and since the year end are below. Day to day management of the Charity is delegated to CEO Dr Douglas Graham. Our Trustees are appointed for a period of four years. By agreement of the Trustees this period may be extended for an additional period (normally not to exceed 12 years in total). Our Trustees are: Lady Baldry Mr Alan Chant (resigned 31 July 2023) Mrs Rebecca Kashti Professor David Matthews (chair) Dr Aparna Pal Dr Brian Shine (appointed 19 September 2023) Mr Graham Steinsberg Mrs Nina Robinson (resigned 26 March 2024) Dr Brian Shine Mr Keith Stacey Mrs Anne Tutt **4** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Achievements and performance ## How we measure success The Charity sets an annual budget, balancing ambition and reality for both our income and expenditure. Trustees and senior management then monitor this through the year and in comparison to previous years – taking into account the different appeals and activities and also specific changes to funds held. Quarterly management accounts and updates on fundraising activities are presented at each Board meeting. The Charity continually aims to increase the benefit it brings to patients and staff across the Trust. We ensure that fundraising and other income generating activities are well planned to provide a good return on investment and growth for the future. We also always seek to maximise, in an appropriate way, the returns from the Charity’s investments. We take care to ensure that we spend our funds in a way that has the maximum impact, focusing on priority areas decided in conjunction with the OUH Trust executive and clinical staff. We also actively seek information from the areas we have supported on the impact our funding has had on patients and staff, to ensure that funds are achieving the appropriate results. This allows us to report back to our supporters and donors in person and via our website, magazines, reports, mass email and social media. ## Significant charitable activities Gifts in Wills have continued to help drive our Charity forward, providing the income that allows many of the most significant charitable projects and improvements to take place in our hospitals. The gifts that came through Wills are thanks to the kindness, generosity and foresight of these very special donors and we remain hugely grateful to them for thinking of the Charity in this very special way. The important work of promoting this most powerful means of giving continues, by weaving in messages about gifts in Wills in all our Charity materials, including our magazine, TORCH. In this year income was also boosted by a very significant first donation from the County Air Ambulance Trust towards the planned building of a new helipad for the Trust. There was a strong focus on building our presence within the hospitals, with more plaques, lift vinyls and promotional activity continuing to take place. This work is being amplified through the development of a new Hospital Engagement Strategy, with a member of staff appointed to lead on creating a number of hospital hubs within the Trust. We secured space in the John Radcliffe Hospital to create the first Charity Hub, which opened in July 2024. This new space will enable our Charity team to be more visible and importantly more available to patients, visitors and hospital staff. **5** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Achievements and performance It is an exciting step forward which we hope will greatly build awareness and understanding of our Charity’s work going forward, as well as grow support of our fundraising activities. The cost-of-living crisis did have an impact on some of our community fundraising throughout this period, but we were pleased that the events that took place, such as our annual OX5 RUN and Oxford Half Marathon, all performed well. Our Major Gifts and Trust and Foundation work also exceeded expectations, with a number of significant donations towards funding for innovative medical equipment and specialist research. All these advances simply would not be able to take place without the generosity of individuals, Trusts and Foundations, and companies across Oxfordshire and beyond, and we are extremely grateful for their continued support. We were delighted to see the impact of our funding in driving innovation across our Trust throughout the year. Our previous appeal for the state-of-the-art new Cath Labs in the Heart Centre enabled the talented cardiac team at the John Radcliffe to introduce a new minimally invasive heart valve surgical technique, which took place in late 2023, in a UK-first procedure. Similarly at the Oxford Centre for Enablement, new treatments for patients with long-term spasticity, often the result of a stroke or brain injury, are being trialled. This work uses the cryoneurolysis technique to freeze damaged nerves, which relaxes muscles allowing patients to regain movement and control. The clinical lead reported that this groundbreaking work simply would not have been possible without the funding of high-tech ultrasounds from the Charity. At the Horton General, a Faxitron machine is enabling more breast cancer patients to be treated and speeding up their operations. The equipment, which is used within the operating theatres, now provides detailed analysis of the removed tumour material in a matter of minutes. Previously the biopsy had to be sent to another department for analysis, adding around 45 minutes to each operation. The time saved thanks to the Faxitron means an extra patient can receive breast cancer surgery each operating day, at no extra cost to the NHS, as well as reducing the amount of time the patient has to be under general anaesthetic. A new two year research project into the use of deep brain stimulation in patients with Parkinson's has also been made possible thanks to a donation to the Charity from a generous Charitable Trust. Currently, electrodes implanted into the brain of a patient to provide treatment are permanently switched on. This research aims to both monitor and then predict episodes, leading to bespoke and more nuanced treatment for each individual, which should provide improved results. Important research into mitochondrial disease which affects 1 in 400 children and can be life-limiting, is also taking place. The study will review the effects of red light in cells to explore how this affects mitochondrial function, efficiency and cell growth. **6** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Achievements and performance Children with cancer and their families will also receive more support thanks to our Trustees agreeing to funding for two years for paediatric oncology solid tumour nurse specialists to act in keyworker roles for all patients with this diagnosis in the Thames Valley area. Providing extra support like this – making possible what can’t be done with NHS funding alone, at the time of greatest need - is another important theme that runs through much of our funding. We were pleased to be able to open a new maternity bereavement garden in the late summer of 2023, thanks to fundraising from a family who have experienced the deep sadness of losing a baby. The Butterfly Garden provides a calm and tranquil space for families at the time of loss. Artwork and sculpture themes within the space are continued inside throughout the Bereavement Suites, and also in the form of beautiful memory boxes created for families to help the grieving process. The role of art in our hospital to calm, distract and engage patients, young and old, continues to be important. We are thrilled with the transformation of the Horton Children’s Ward through a series of large installations to create engaging and colourful spaces. Blenheim Head and Neck Outpatients has similarly been transformed thanks to our funding in this field. Most recently we have embarked upon a new scheme to fund and deliver overnight packs to patients, mostly elderly and often without visitors or family support, when they find themselves staying in hospital unexpectedly. From the most high-tech innovations through to smaller but impactful interventions for patients at their time of need, Oxford Hospitals Charity works very closely with our NHS colleagues to ensure that the donations, gifts in Wills and fundraising from our community of supporters, all work as hard as possible to make a positive difference in our hospitals. This is just a snapshot of achievements throughout the year. More examples of the work we do can be found at: www.hospitalcharity.co.uk/our-impact Here you will be able to read about the highlights listed above - and many, many more - all made possible thanks to the generosity of our supporters. We remain hugely grateful to all those who help us in our mission to enhance the hospitals and make a real and lasting difference for our patients and staff. Supporting vulnerable patients, such as the elderly and those with dementia, is another important part of our work and we are pleased to hear great appreciation from NHS staff for our funding of dementia activity equipment, music on wards and MP3 players set up with appropriate music and friendly messages. **7** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial review ## Income The Charity raised a total of £6.5m in 2023/24. The majority of this was due to the generosity of individuals, companies, and grantawarding trusts who made donations, raised funds, and awarded grants. The major categories of income for the year were: ## **Legacies** Income from legacies always has an important impact. They enable a variety of projects - often of a larger scale - to take place and more expensive pieces of medical equipment to be purchased. By their very nature the level of legacy income can vary significantly year to year, however this continues to be a vital source of our funding. ## **Donations from individuals and major donors** As a Charity we continue to be grateful to the thousands of individuals who raise money and donate enabling the Charity to continue our charitable expenditure across all the hospitals we support. ## **Fundraising by groups and organisations** Alongside individual fundraising, we have also seen a number of groups and organisations continue to fundraise and donate to us as part of their support of their community. ## **Group trading activities** The Charity’s trading subsidiary entered into an agreement with Housing Association A2Dominion to redevelop staff accommodation on the Charity’s investment land in 2019/20. ## **Other income** Grants from external organisations totalling £2.9m were received in the period. This included £2.5m from County Air Ambulance Trust towards the creation of a helipad at the John Radcliffe Hospital. ## **We acknowledge and thank all individuals, groups and organisations for helping us in our activities supporting patients and staff across our hospitals.** ## Investment policy The Trustees continue to seek investment returns which can be used to offset the running costs of the Charity and to provide additional funding for charitable projects. The Charity’s current investment policy was agreed in 2019/20. The investment objective for the main portfolio of financial investments is to preserve the real value of capital and maximise the total investment return over the longer term without taking undue risks, providing income to support current operations. The Charity has a policy of not investing directly in tobacco or armaments and where investments are made in funds the Charity regularly monitors the underlying exposure of the fund to those sectors. The Charity does not hold short positions (sell stocks it does not own). The Charity investments are held in a diversified portfolio and managed by specialist investment managers in line with our investment policy. **8** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial review The Charity also holds part of its investment assets in cash. Apart from balances required to cover day to day cash flow, cash investments are held in term deposits, timed to mature when required for planned charitable expenditure. The Charity has previously invested in two properties with a view to providing long term quality staff accommodation for Trust employees and to provide a fixed level of investment return. The Charity’s primary concern in investing cash is security. Accordingly, its policy is to hold its cash with UK banks, with a minimum rating of B+ and spread between several institutions to limit exposure. **9** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Other policies ## Reserves policy Reserves are defined by the Charity Statement of Recommended Practice (SORP) as “that part of a charity’s unrestricted funds that is freely available to be spent on any of the charity’s purposes.” Maintaining a sufficient, but not excessive, level of reserves is important to support the activities of the Charity, by allowing us to meet our running costs and ensure continuity in our level of support for our hospitals in the event of a significant downturn in income or change in our financial circumstances. The Charity holds a number of general funds and hospital level funds related to the broader charitable purposes of the Charity. Where the balances on these funds exceed our target reserves, they are used to fund our expenditure on charitable activities, in line with the Charity’s budget and strategy. In common with other hospital charities, a significant proportion of our income is donated with a wish to support a specific ward or clinical specialism within our hospitals. Our policy is to transfer these donations into designated funds, to ensure that they are used as far as possible in accordance with the donor’s wishes. We do this by agreeing spending plans for each fund, regularly reviewing commitments, and directing the use of dormant/ slow moving funds. The Trustees set a target range for reserves. The minimum level for the target range is set as the aggregate of: - 12 months budgeted overhead costs; and - 12 months charitable expenditure from the general funds (based on historic average) The maximum level for the target range is set as twice the minimum level. **At 31 March 2024 the Charity held £3.7m in general funds** , to allow us to respond to future funding needs across the Trust. This falls within the target range of £2.6- £5.2m which is set by Trustees to ensure the ongoing financial stability of the Charity. ## Staff remuneration Staff remuneration is determined under the Charity’s pay and rewards policy. New staff are recruited externally with reference to prevailing market rates. In line with Charity Commission guidance, no reserves policy is established for these designated funds, but we work proactively with our Fund Advisors to ensure that donations are spent in a reasonable timeframe. **10** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Fundraising review The Charity employs a team of professional fundraising staff. Activities include hospitalbased fundraising, community-based fundraising, direct marketing with existing supporters, and the development of longterm relationships with individuals, companies, fundraising groups and grantmaking bodies. In 2024, we were proud to launch our first staffed Charity Hub, at the John Radcliffe Hospital. Run by charity staff and a team of volunteers, the Hub engages with patients, staff, families and stakeholders from across the Trust, introducing them to the work of the charity and the impact that donations and fundraising make, as well as listening to their feedback on the parts of the Charity that interest them most. This valuable feedback helps us shape our charity messages. In our interactions and communications with supporters, we seek to update them about the impact that donations have made as well as letting people know about upcoming fundraising activities. We communicate with our donors through a variety of channels including mail, email, telephone, WhatsApp, our charity magazine, social media channels, and through our website (www.hospitalcharity.co.uk). The Charity team is mindful that many of our donors and supporters are hospital patients, or the family and friends of patients. We also understand that some of these individuals may be vulnerable, going through difficult and emotional times or in some cases are recently bereaved. We work closely and carefully with our charity supporters to ensure we get the balance right – encouraging and thanking them for their donations and fundraising without being intrusive or exerting any pressure on them. We have not undertaken any cold-calling or door-to-door fundraising. The Charity is registered with the Fundraising Regulator and follows their Code of Fundraising Practice. This is in addition to our wider governance responsibilities, including those around data protection under the General Data Protection Regulation (GDPR). We encourage feedback from all of our supporters, sharing any learnings amongst the charity team and, where appropriate, Trustees. We responded quickly, honestly and respectfully to any negative feedback received. We did not receive any complaints during the year. The continuing support of our donors is invaluable to us. Our Charity is extremely grateful for all the support we receive for the hundreds of causes across all our hospitals and sites. We respect our donors and endeavour to ensure that they are always treated well and do not feel under any pressure during their interactions with us. **11** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Risk management We maintain a risk register which sets out the principal risks that could affect the Charity and the fulfilment of its objectives. Risks are assessed regularly by the Charity’s Senior Management Team for severity and likelihood with mitigating actions identified to minimise their likelihood and impact. These risks and progress on these actions are reviewed regularly by the Trustees via the Audit Committee and full Board meetings, with an overall review of the register completed at least every six months. As a result of these regular reviews the Trustees are confident that the control systems identified in this exercise are embedded in the management and culture of the Charity, and that managers and staff are aware of their responsibility for internal control. As for most charities, the Trustees’ risk assessment identifies a number of areas where there could be significant risk (based on the likelihood of the risk occurring and/or the magnitude of its potential effect). However, for the majority of these risks there are sufficient controls in place to ensure the residual risk is minimised. During the 23/24 financial year the Charity’s risk register identified the following as areas with highest overall risk, after taking account of the control measures and mitigation currently in place. ## The impact of an economic downturn The economic upheaval of recent years continued, and arguably worsened for individuals, with high inflation during the year contributing to the cost-of-living crisis. Fundraising became noticeably more difficult and competitive. Through the year our risk register reflected both the actual and potential impact of this economic downturn in relation to investment income and fundraising income, and the resulting risk to our ability to provide support across the hospitals. In mitigation, we retain a suitable level of reserves and are a financially well managed and efficient charity for this to be seen as a risk, but a manageable one. We continued to develop our fundraising proposition by building our programme of individual giving and digital fundraising, and by closely monitoring our charitable expenditure against income and existing funds. An Investment Committee was established to review our investment strategy to ensure it is appropriate for the circumstances. ## Risk of a failed appeal At the start of the year we began working with the OUH Trust on developing a possible large capital fundraising and funding campaign. This brought significant risks in three main areas: - A charity of our size being able to raise an eight-figure sum over a limited period of time; - Being able to continue broad charitable expenditure at a significant level vs raising these specific funds; and - The cost of scaling up the fundraising team by the required amount, and being able to recruit sufficient staff. **12** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Risk management Due to delays elsewhere it remains early days for this campaign. Mitigation measures, prior to committing to a fundraising campaign, will include conducting a feasibility study to a full project plan; working closely with the key staff at the clinical and executive level; seeking a signed agreement with the Trust covering the main areas of risk; and not launching a fundraising campaign until a business case has been approved by the OUH board. Internally the Charity’s senior management team conducts a half year financial review looking at the actual vs. budget position at the six month mark for all income and expenditure lines, and the estimated end of year position for each area. This is presented to Trustees and allows us to understand if any changes to expenditure – up or down – are required in the final quarter of the financial year. For larger projects the Charity/Trust Liaison Committee continues to prove useful for coordination and planning of priority areas for Charity funding. The Charity also attends a number of Trust committees and working groups. **13** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Plans for the future As the official Charity supporting the Oxford University Hospitals NHS Foundation Trust, it is important that the Charity continues to align with the Trust’s strategic priorities wherever possible. We take a proactive approach to this, liaising and engaging at all levels of the Trust – with the executive management, divisional and directorate management, and across different clinical services and wards. This is allied to a grant process which seeks to attract and assist applicants, whilst remaining robust in their evaluation. We make things happen that can’t be achieved with just NHS funding alone. Our USP is that we are here to support every type of clinical and support service at all levels across the hospitals. In doing so we are directly responsible for elevating the level of patient care across the Trust. Our six strategic objectives are: - To increase income for deliverable needs and inspire lasting donor support for Oxford Hospitals Charity - To be a Charity with a strong, visible presence in each hospital - To ensure we have motivated and value adding staff with a ‘one team’ approach across the Charity - To build on the partnerships with our NHS Trust and key stakeholders to plan and deliver support effectively in our hospitals - To ensure we are financially resilient in uncertain economic times - To spend and do more to significantly increase the level of support we provide to patients and staff across our hospitals. Each strategic objective has a number of goals to be achieved over the following five years, and during 23/24 a comprehensive review of these goals was undertaken by the leadership team to ensure progress and continued relevance. The following goals are highlighted: Work towards the creation of our first dedicated hospital-based Charity Hub has taken place, opening in July 2024. This is the start of an ambitious programme to bring the Charity into the heart of each hospital in our Trust, raising the visibility of our organisation and increasing our ability to provide practical handson support for patients and staff. We continue to invest in our fundraising activities by recruiting new staff who will focus on strengthening our direct communication with existing and potential individual supporters of all levels, to help generate more sustainable income and provide increasing levels of support into our hospitals. We will increase the visibility and recognition of the support we receive from our donors and legators across the hospitals, and in turn further increase awareness of the Charity and the impact of fundraising. As well as the commitment to supporting our hospitals and the patients, visitors and staff within them, there will be a renewed focus to ensure our own Charity staff also feel well supported with practical and emotional help where needed. Cross-team working, particularly in fields like digital innovation and hospital visibility will be encouraged and staff empowered to excel in their roles. **14** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Statement of Trustees’ responsibilities The Trustees (who are also the directors for the purposes of company law) are responsible for preparing the Report of the Trustees 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 period that give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that period. In preparing those financial statements, the Trustees are required to: - Select suitable accounting policies and then apply them consistently - Comply with applicable accounting standards, including FRS 102, subject to any material departures disclosed and explained in the financial statements - State whether a Statement of Recommended Practice (SORP) applies and has been followed, subject to any material departures which are explained in the financial statements - Make judgements and estimates that are reasonable and prudent - Prepare the financial statements on a going concern basis unless it is inappropriate to presume that the charitable company will continue in business. The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy at any time the financial position of the charitable company and to 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. In so far as the Trustees are aware: - There is no relevant audit information of which the charitable company’s auditor is unaware - The Trustees have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditor is aware of that information. This report has been prepared in accordance with the special provisions relating to small companies within Part 15 of the Companies Act 2006. This report was approved by the Trustees on 17 December 2024 and signed on behalf of the Trustees by: Professor David Matthews Chair of Trustees **15** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Independent auditor’s report to the members and Trustees of Oxford Hospitals Charity ## **Opinion** We have audited the financial statements of Oxford Hospitals Charity (the ’company’) for the year ended 31 March 2024 which comprise the Group Statement of Financial Activities, the Group and Parent Charitable Company Balance Sheets, the Group Cash Flow Statement and notes to the financial statements, including 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: - give a true and fair view of the state of the group’s and the parent charitable company’s affairs as at 31 March 2024 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities Act 2011. ## **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 charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. ## **Conclusions relating to going concern** In auditing the financial statements, we have concluded that the trustees’ use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company'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. **16** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Independent auditor’s report (continued) 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. 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 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: - the information given in the trustees’ annual report for the financial year for which the financial statements are prepared is consistent with the financial statements; and - the trustees’ annual report has been prepared in accordance with applicable legal requirements. ## **Matters on which we are required to report by exception** In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees’ annual report. We have nothing to report in respect of the following matters where the Companies Act 2006 and the Charities Act 2011 require us to report to you if, in our opinion: - the parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or - the parent charitable company’s financial statements are not in agreement with the accounting records and returns; or - certain disclosures of trustees’ remuneration specified by law are not made; or - we have not received all the information and explanations we require for our audit; or **17** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Independent auditor’s report (continued) - the trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the Trustees’ Annual Report and from preparing a strategic report. ## **Responsibilities of trustees** As explained more fully in the trustees’ responsibilities statement set out on page 14, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the group and parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the group or parent charitable company or to cease operations, or have no realistic alternative but to do so. ## **Auditor’s responsibilities for the audit of the financial statements** We have been appointed as auditor under the Companies Act 2006 and section 151 of the Charities Act 2011 and report in accordance with those Acts. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the group and parent charitable company’s internal control. **18** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Independent auditor’s report (continued) - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the trustees. - Conclude on the appropriateness of the trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the group and parent charitable company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the group or parent charitable company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. - Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit report. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. ## **Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud** 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. The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charitable company. **19** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Independent auditor’s report (continued) Our approach was as follows: - We obtained an understanding of the legal and regulatory requirements applicable to the charitable company and considered that the most significant are the Companies Act 2006, the Charities Act 2011, the Charity SORP, and UK financial reporting standards as issued by the Financial Reporting Council. - We obtained an understanding of how the charitable company complies with these requirements by discussions with management and those charged with governance. - We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance. - We inquired of management and those charged with governance as to any known instances of noncompliance or suspected non-compliance with laws and regulations. - Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required. There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to a fraud is higher than the risk of not detecting one resulting in error, as fraud may involve deliberate concealment, for example forgery or intentional misrepresentations, or through collusion. ## **Use of our report** This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006 and, in respect of the consolidated financial statements, to the charity’s trustees, as a body, in accordance with Chapter 3 of Part 8 of the Charities Act 2011. Our audit work has been undertaken so that we might state to the charitable company’s members and trustees those matters which 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 any party other than the charitable company, the charitable company’s members, as a body, and the charity’s trustees, as a body, for our audit work, for this report, or for the opinion we have formed. 6[th] Floor 9 Appold Street Adam Fullerton (Senior Statutory Auditor) London for and on behalf of Moore Kingston Smith LLP, Statutory Auditor EC2A 2AP ## Date: 19 December 2024 Moore Kingston Smith LLP is eligible to act as auditor in terms of Section 1212 of the Companies Act 2006. **20** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Consolidated Statement of Financial Activities (including consolidated income and expenditure account) for the year ended 31 March 2024 Comparative figures for each class of funds are provided in notes 25 and 26 to the accounts. All income and expenditure relate to continuing operations. Notes 1 to 26 form part of these accounts. **21** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Consolidated and Charity Balance Sheet at 31 March 2024 Comparative figures for each class of funds are provided in notes 25 and 26 to the accounts. The net income of the parent Charity for the year was £3,285k (2022: £315k). ## Notes 1 to 26 form part of these accounts. These financial statements have been prepared in accordance with the provisions applicable to the small companies regime. The financial statements were by approved by the Trustees on 17 December 2024 and signed on behalf of the Trustees by: Professor David Matthews (Chair of Trustees) Company Number: 11052176 **22** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Consolidated Statement of Cash Flows for the year ended 31 March 2024 Notes 1 to 26 form part of these accounts. **23** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 1. Accounting policies ## **Going concern** The principal accounting policies adopted in the preparation of the financial statements are set out below. They have been applied consistently during the current and preceding periods. The financial statements are prepared on a going concern basis which assumes the charitable group will continue in operational existence for the foreseeable future. ## **1.1 Basis of Preparation of the Accounts** These financial statements are prepared on a going concern basis, under the historical cost convention, as modified by the revaluation of investments being measured at fair value through income and expenditure within the Statement of Financial Activities. The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charity is a public benefit entity for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the 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 (The FRS 102 Charities SORP), the Charities Act 2011 and the Companies Act 2006. The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest one thousand pounds throughout. The principal accounting policies adopted in the preparation of the financial statements are set out below. The Trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. The Trustees have considered the charity’s forecasts and projections and have taken account of pressures on donation and investment income. After making enquiries the Trustees have concluded that there are no material uncertainties and that the charity has adequate resources to continue in operational existence for the foreseeable future. ## **1.2 Income** ## **Donations** Income is included in full in the Statement of Financial Activities as soon as the following three factors can be met: (i) **entitlement** - arises when a particular resource is receivable or the Charity's right becomes legally enforceable; (ii) **probability** - when it is more likely than not that the economic benefits associated with the transaction or gift will flow to the charity; and (iii) **measurement** - when the monetary value of the incoming resources can be measured with sufficient reliability. **24** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## **Donations in Kind** Donated goods are recognised at fair value in the period in which they are received, where the value to the Charity can be reliably measured. All goods received were distributed during the relevant financial year. ## **Legacies** Legacies are accounted for as income once the receipt of the legacy becomes probable, and the amount receivable can be estimated with sufficient accuracy. This will be once there has been grant of probate; the representatives of the estate have established that payment of the legacy will be made or property transferred and once all conditions attached to the legacy have been fulfilled and the amount receivable can be estimated with sufficient accuracy. ## **Grants** Grants are recognised once there is evidence of entitlement if there are no conditions attached, receipt is probable, and the amount receivable can be measured reliably. If the grant has conditions attached which must be fulfilled before the charity has control of the resources, the meeting of these conditions is within the Charity's control, and there is sufficient evidence that the conditions will be met, then the grant is recognised. However, where the meeting of the conditions is not probable or not within the control of the Charity, the grant would not be recognised until the conditions set have been met. Donors may impose a time period for spending the grant, however these liabilities are not discounted as these are not material. If the donor has given the condition that they can recover any unspent part of a grant, the liability for any repayment would be recognised only when repayment becomes probable. ## **Allocation of income to funds** restricted or designated funds. If the donor has not expressed a wish for the area of use, it is credited to an Unrestricted General Fund and is used at the Trustees' discretion in accordance with the objects of the charity. ## **1.3 Expenditure** All expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, and the resulting liabilities are recognised at their settlement value. The Statement of Financial Activities provides an analysis of expenditure based on the nature of the activity undertaken. The expenditure undertaken is divided between three main activities: (i) Costs of raising funds which includes the costs of generating voluntary income (fundraising costs) (ii) Charitable activities comprising all costs incurred in the pursuit of the charity's objectives, and in line with SORP 2015 (FRS 102) also includes the support and governance costs of the Charity and (iii) other types of expenditure which do not fall into category (i) or (ii). Grants payable are payments made to related or third-party NHS bodies and non-NHS bodies primarily for charitable purposes relating to the general or any specific purposes of the Oxford University Hospitals NHS Foundation Trust or to purposes relating to the Health Service. The grants are accounted for on an accruals basis where the conditions for their payment have been met or where the recipient has a reasonable expectation that they will receive a grant. Provisions are made where approval has been given by the Trustees as such approvals represent a firm intention which has been communicated to the intended recipient. Income is credited to a fund which will benefit the area where the donor has expressed a wish for their gift to be used, and is classified as **25** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## **Cost of raising funds** The costs of raising funds are the costs associated with generating income for the charity. This includes the costs of generating voluntary income (fundraising costs) and the costs of holding fundraising events. Where appropriate direct costs of fundraising are apportioned directly against the individual funds generated, and other indirect fundraising costs are funded from general and unrestricted investment funds. ## **Charitable activities** Costs of charitable activities comprise all costs incurred in the pursuit of the Charity's objectives, as opposed to the costs of raising the funds to finance these activities. Expenditure on charitable activities will be for the benefit of patients, staff, research or education. The costs include the direct costs of the charitable activities together with the support costs incurred that enable these activities to be undertaken. Grants payable to related or other NHS bodies represents contributions to the revenue and capital expenditure of Oxford University Hospitals NHS Foundation Trust. Grants to third parties are payments in furtherance of the Charity’s objectives for the purposes relating to the Oxford University Hospitals NHS Foundation Trust or to the Health Service generally. This includes expenditure on medical equipment, research and amenities for patients and staff. Expenditure on research projects and equipment is not applied for commercial activity, and the results of such expenditure are the property of the Trust. Legacy funding for general research purposes is allocated for spending by the Oxfordshire Health Services Research Committee. ## **Governance costs** Governance costs include the costs of arrangements which relate to the general running of the Charity, allowing it to operate and to generate the information required for public accountability. Included under this heading are direct costs such as audit fees, legal fees and costs associated with statutory requirements, such as the preparation of statutory accounts. Governance costs are accounted for on an accruals basis and after any direct allocation to individual funds where appropriate, the balance is allocated against charitable activities on the Statement of Financial Activities. ## **Support costs** In undertaking an activity there may be support costs incurred that whilst necessary to deliver an activity, do not themselves produce or constitute the output of the activity. Support costs are accounted for on an accruals basis. The costs are apportioned across each individual fund within the charity on an average balance basis, and allocated between governance and charitable activities on the Statement of Financial Activities. ## **Taxation** As a registered charity, donated income is exempt from income tax under part 10 of the Income Tax Act 2007 or Section 256 of the Taxation of the Chargeable Gains Act 1992, to the extent that surpluses are applied to its charitable purposes. ODL has a policy of gifting taxable profits to the Charity each year to the fullest extent possible to maximise to the Charity. Irrecoverable VAT is charged against the category of expenditure for which it was incurred. ## **Liabilities** Liabilities are recognised at their settlement value. **26** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## **1.4 Structure of funds** Where there is a legal restriction on the purpose to which a fund may be put, the fund is classified in the accounts as a restricted fund. Funds where the capital is held to generate income for charitable purposes and cannot itself be spent are accounted for as endowment funds. The income generated from the endowment funds is classified as either restricted or unrestricted funds (depending on the terms laid down by the individual donor or in the bequest). Other funds are classified as unrestricted funds. Funds which are not legally restricted but which the Trustees have chosen to earmark for set purposes and in line with the donor's wishes are classified as designated funds. ## **1.5 Policy to determine each designated fund** A designated fund will only be opened if the purpose of the proposed fund falls within the charity's objects, and there is no existing fund which would cover the same purpose and area. It must be established that all income is charitable, and the purpose for which it is given (e.g. any combination of research, education, patient or staff welfare). A further stipulation for a new designated fund to be opened is that it is required to have an active life of at least two years. The major funds held within these categories are disclosed in note 15. ## **1.6 Transfers between funds** A Transfer between funds is permissible if authorised by the appropriate Fund Advisor, it is a proper use of the funds and is within the objects of the funds involved. For example, funds could be transferred from an unrestricted general fund to a restricted fund to finance a deficit or provide additional funding, or between two unrestricted funds, or to merge one or more designated funds. ## **1.7 Fixed assets** ## **Tangible fixed assets** Tangible fixed assets costing more than £200 are capitalised and under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method. Depreciation is provided on the following basis: Fixtures & Fittings - 20% Office equipment - 33% The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Consolidated Statement of Financial Activities. ## **Fixed asset investments** Investments comprise an investment portfolio with Rothschild & co, fixed term deposits with Akoni and Lloyds bank, and cash held with Lloyds. Investments are shown at market value as at the balance sheet date. The Statement of Financial Activities includes the net gains (or losses) arising on revaluation and disposals throughout the period. ## **Investment properties** Two sites were purchased from Oxford University Hospital NHS Foundation Trust on 29th March 2019 at a cost of £3m. **27** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS The sites were subsequently leased to a developer for the provision of staff accommodation. Individual properties are carried at current year value at the balance sheet date. A full valuation is obtained from a qualified valuer for each property every three years and in any year where it is likely that there has been a material change in value. ## **Investment gains and losses** All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and opening market value (or date of purchase if later). Unrealised gains and losses are calculated as the difference between market value at the end of the accounting period and opening market value (or date of purchase if later). ## **Joint ventures** Entities in which the Group holds an interest and which are jointly controlled by the Group and one or more other entity are treated as joint ventures. In the Group financial statements joint ventures are accounted for using the equity method. ## **1.8 Pooling scheme** An official pooling scheme is not required as the Charity can identify the ownership, down to individual funds, of all its assets. ## **1.9 Employee benefits** The Charity provides a range of benefits to employees, including paid holiday arrangements, a subsidised canteen and a pension plan. Short-term benefits, including holiday pay and other similar non-monetary benefits, are recognised as an expense in the period in which the service is received. The Charity operates two pension provisions: In the first scheme, the Charity pays pension contributions to staff members' own personal pension plans. No further obligation or liability arises on these payments. In addition the Charity pays employer's contributions to the NHS pension fund on behalf of an employee who remains in the scheme. As the scheme is a multi-employer scheme it is not possible to identify the Charity's assets and liabilities in this scheme and so full disclosure is not possible. All pensions are therefore treated as defined contribution. ## **1.10 Operating Lease** Joint ventures are recognised initially in the balance sheet at cost and subsequently adjusted to reflect the Group’s share of total comprehensive income and equity of the joint venture, less any impairment. Losses in excess of the carrying amount of an investment in a joint venture are recorded as a provision only when the Group has incurred legal or constructive obligations or has made payments on behalf of the joint venture. The Charity holds a lease for its offices at Wood Centre for Innovation, Headington, Oxford. The lease is charged on a straight line basis to expenditure. ## **1.11 Basis of consolidation** The consolidated financial statements of the Charity incorporate the financial statements of the Charitable Company Oxford Hospitals Charity (charity number 1175809) and its fully owned trading subsidiary, OHC Developments Limited (ODL). **28** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 Intercompany transactions and balances between Charity companies are eliminated. Consistent accounting policies have been adopted across the group. As permitted by section 408 of the Companies Act 2006 the parent Charity's gross income and results have not been included in the financial statements. ## **1.12 Related Party Transactions** The Charity's purpose is to support the work of Oxford University Hospitals NHS Foundation Trust (the Trust). This is achieved primarily via grants awarded to the Trust, as detailed in Note 7. The Charity made revenue and capital payments totalling £84k (2022-23: £354k) to the Trust. The payments were made in support of patient and staff welfare, research, education, and capital building projects, and included costs of salaries, training, travel, buildings, equipment and services. Trade creditors include £23k due to the Trust at 31.03.24 (31.03.23: £7k). One Trustee (Mrs Anne Tutt) was paid as a nonexecutive director and vice chair of the Trust until November 2023. The Charity's subsidiary had no transactions with the Trust during the year. The Charity charged interest of £48,124 (202223: £128,918) on a loan to the trading subsidiary in the year. The balance due to the Charity from the trading subsidiary at 31.03.24 was £4.1m (31.03.23 : £3.9m). No remuneration was paid to the Trustees from the Charity during the period. Travel and subsistence expenses totalling £144 have been claimed by 1 Trustee and paid during the year (2022-23 : £144 for 1 Trustee). A combined insurance policy is held by the Charity which includes Trustees' indemnity and officers liability insurance as well as public liability insurance, providing cover of up to £10 million. The cost of the policy in the year ended 31.03.24 was £4.3k (31.03.23: £3.6k ). ## **1.13 Liquid Resources** The Cash Flow Statement includes the net cash flows from the management of liquid resources, which takes into account the cash movements relating to investment income, acquisitions and disposals, plus any movements in short term deposit account balances. ## **1.14 Estimation Techniques for Accruals** The Charity accrues for items of expenditure which relate to the current period where invoices have not been processed or received before the year end. Estimates are made in some instances where invoices have not been received based on activity and/or expenditure for the year to date. Generally accruals are based on invoices or other appropriate documentation. The Charity may also make estimates for legacy income accruals where although the receipt of a particular legacy is probable and the amount is known with reasonable certainty (see note 1.2), there may be a requirement to estimate the full and final amount receivable by the Charity. This usually involves making a prudent assessment, with reference to draft estate accounts prepared by the administrator/ executor. During the year the trading subsidiary distributed profits of £694,498 under gift aid to the Charity (31.03.23 : £1,300,000). **29** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## **1.15 Key assumptions and judgements** The Charity applies judgement when estimating legacy accruals. Legacy gifts are assessed on a case by case basis as set out above. The Trustees consider that there are no other judgements, apart from those involving estimations, made in the process of applying the Charity's accounting policies which have a significant effect on the amounts recognised in the statements and which require disclosure. They also consider that there were no other key assumptions concerning the future or key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities within the next reporting period. ## **1.16 Financial Instruments** The Charity holds the following as part of its investment portfolio; £1,116k (31.03.23: £256k) in foreign exchange forward contracts, and £1,323k (31.03.23: £1,147k) in hedge funds The rest of the Charity’s financial assets and financial liabilities of a kind that qualify as basic financial instruments and are included in the balance sheet are as follows: (i) Investments are included in the balance sheet at market value (ii) Cash investments are included at cost plus accrued interest (iii) Trade and other debtors and creditors are recognised at their settlement value. For the basis of valuation and any assumptions made, see note 1.7 for fixed asset investments, note 1.3 (expenditure) for creditors, and note 1.2 (income) for debtors. **30** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 2. Trading subsidiary results The Charity has a wholly owned trading subsidiary, OHC Developments Limited (ODL), company number 11904217, with paid-up share capital of £100. ODL was incorporated on 25 March 2019 and is incorporated in the UK. The company serves as a vehicle for non- charitable trading activity. A summary of its trading results and net assets is shown below. These results are included in the group consolidation. **31** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 3. Income from donations ## 3.1 Gifts in Kind The Charity is extremely grateful to all the organisations who donated morale boosting gifts including easter eggs and other small items to hospital staff, patients and families. We have only recognised the value of gifts where the quantity and price could be estimated reliably. For 2023/24 these gifts in kind totalled £nil (2022/23: £19,475). ## 3.2 Income from grants receivable Description of the sources of any material grants: ## 4. Income from charitable activities **32** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 5. Other Income ## 6. Costs of raising funds ## 7. Analysis of charitable expenditure ## 7.1 Charitable expenditure **33** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 7.1 Charitable expenditure (continued) Expenditure for this and prior periods includes £3.0m (2022/23: £2.6m) of commitments which have been accrued as grants at period end. Further information about expenditure undertaken by the Charity can be found in the Achievements and Performance section of this report. ## 7.2 Grants Grant funded activity is awarded directly by the Trustees of the Charity, by a Committee established by the Trustees, or by Fund Advisors (who are generally staff members of Oxford University Hospitals NHS Foundation Trust) acting under delegated authority on behalf of the Trustees. All other grants were made to either Oxford University Hospitals NHS Foundation Trust or the University of Oxford in furtherance of the objects of the Charity. Some grants are in practice paid directly to the supplier. No grants are made to individuals. Activities undertaken directly include expenditure incurred by Fund Advisors. It also includes payments to members of staff, where they have incurred relevant costs personally (for example, travel costs to a charity - funded training course). All such payments must comply with the Charity’s procedures which include authorisation by the relevant fund adviser and provision of appropriate documentary evidence of payment (for example, receipts). **34** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 8. Analysis of governance and support costs The Charity initially identifies the costs of its support functions. It then identifies those costs which relate to the governance function. Having identified its governance costs, the remaining support costs together with the governance costs not directly allocated, are apportioned to expenditure on charitable activities. See note 8.2 on allocation of Support Costs. ## 8.1 Governance and support costs ## 8.2 Allocation of support costs **35** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 8.3 Staff costs The key management of a charity are those persons having authority and responsibility for planning, directing and controlling the activities of the entity. The key management personnel of the Charity and Group comprise the Trustees and the Chief Executive. All Trustees give of their time freely, and no employee benefits were paid in the period (2022/23: £nil). Details of Trustee expenses are disclosed in note 1.12. The total employee benefits of key management personnel, including National Insurance and pensions costs, were £125,721 (2022/23: £126,378). Salaries & wages includes termination payments of £24,696 which were incurred and paid during the year (2022/23: 23,821). Staff costs were as follows The number of employees with employee benefits in excess of £60,000 were The average number of employees (headcount) is split as follows **36** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 9. Details of material transfers between funds ## 10. Analysis of fixed asset investments ## 10.1 Market value at 31 March **37** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 10.2 Fixed asset investments (Group & Charity) The property was valued at £1.345m by Carter Jonas LLP as at 31 March 2023. The valuation report was prepared in accordance with the appropriate sections of the current RICS Valuation Global Standards and the UK national supplement (the ‘Red Book’). The directors are satisfied that this valuation remains materially accurate at 31 March 2024. Additions and disposals of cash includes reinvestment in cash deposits as they mature and are reinvested. ## 10.3 Investment in subsidiaries The Charity holds 100 shares of £1 each in its wholly owned trading subsidiary company OHC Developments Ltd which is incorporated in the United Kingdom. These are the only shares allotted. The activities and results of this company are summarised in Note 2. **38** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 10.4 Analysis of income from investments ## 10.5 Investment in joint venture The Group, via the subsidiary company OHC Developments Limited, has joint control, along with Oxford University Hospitals NHS Foundation Trust, in Oxford Headington Holdings LLP by virtue of its 50% voting rights. **39** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 11. Tangible Fixed assets ## 12. Debtors Amounts falling due within one year: **40** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 13. Creditors Amounts falling due within one year: **41** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 14. Analysis of Funds ## 14.1 Restricted Funds **42** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 14.1 Restricted Funds (continued) The funds listed above will vary as only the most material funds in the current period are disclosed. Therefore a fund may not be shown individually each year. **43** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 14.2 Unrestricted Designated Funds **44** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 14.2 Unrestricted Designated Funds (continued) The funds listed will vary as only the most material funds in the current period are disclosed. Therefore a fund may not be shown individually each year. **45** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 14.3 Unrestricted General Funds ## 15. Contingent assets There are no contingent assets or liabilities in the current or previous period. **46** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 16. Commitments The charity had the following commitments under operating leases ## 17. Income from legacies Legacy income is accounted for upon receipt or where receipt of the legacy is probable and the amount can be estimated with sufficient accuracy. As at 31 March 2024 the charity had 32 (2023 : 29) on-going residual legacies. 5 of these are life interest legacies (2023: 5). These have not been included in the Statement of Financial Activities because the conditions for recognition had not been met at the year end. These accounts include a significant accrued legacy debtor with an estimated value of £1,571,000. The Trustees deem this a reasonable estimate of the Charity’s expected share of the estate once legal and other fees have been deducted. ## 18. Loans or guarantees The Charity has no loans or guarantees secured against its assets in the current or previous period. The Charity’s subsidiary OHC Developments Limited (ODL) has a bank overdraft secured by a debenture in favour of Barclays bank. The interest rate charged was 3.4% per annum above base rate. ## 19. Connected organisations The Charity has had no dealings with connected organisations other than those highlighted in note 1.12. **47** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 20. Notes to the cash flow statement Reconciliation of net income/(expenditure) to net cash flow from operating activities ## 21. Changes in net debt **48** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 22. Agency transactions In accordance with the SORP, agency transactions are excluded from the accounts. The amounts excluded are as follows: The Nuffield Oxford Hospitals Fund (NOHF) funds research projects in support of the Oxford University Hospitals NHS Foundation Trust, but the decisions regarding the projects supported are made by the Trustees of NOHF. Therefore SORP requires these transactions to be treated as agency transactions. The Charity no longer holds any cash for NOHF (31.03.2023: £5k which it had received from NOHF, but not yet spent on projects approved by NOHF). In line with the Statement of Recommended Practice ("SORP") on Charity Accounts the transactions related to the above funding requires that they are treated as having been received by the Charitable Funds as agent, and in line with the SORP these transactions are recognised in neither the Statement of Financial Activities nor the balance sheet of the Charitable Funds. Details of those transactions are set out in this note. ## 23. Post balance sheet events There have been no post balance sheet events requiring disclosure or inclusion in the Statement of Financial Activities. ## 24. Members liability The charitable company is limited by guarantee, not having a share capital, and consequently the liability of members is limited, subject to an undertaking by each member to contribute to the net assets or liabilities of the charitable company on winding up such amounts as might be required not exceeding £1. **49** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 25. Analysis of net assets **50** OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS 2023-24 ## Financial Statements 2023/24 ## Notes to the financial statements ## 25. Analysis of net assets (continued) **51** 2023-2024 OXFORD HOSPITALS CHARITY REPORT AND ACCOUNTS ## Financial Statements 2023/24 ## Notes to the financial statements ## 26. Prior year comparatives ## Consolidated statement of Financial Activities (including consolidated income and expenditure account) For the year ended 31 March 2023 **52** Oxford Hospitals Charity