**REGISTERED CHARITY NUMBER: 1178188**
**Report of the Trustees and**
**Unaudited Financial Statements**
**for the Year Ended 31 December 2020**
**for**
**THE BRISTOL KNEE CHARITY**
**THE BRISTOL KNEE CHARITY**
## **Contents of the Financial Statements FOR THE YEAR ENDED 31 DECEMBER 2020**
||**Page**|
|---|---|
|**Report of the Trustees**|1 to 2|
|**Chartered Accountant's Report**|3|
|**Statement of Financial Activities**|4|
|**Balance Sheet**|5|
|**Notes to the Financial Statements**|6 to 11|
|**Detailed Statement of Financial Activities**|12|
**THE BRISTOL KNEE CHARITY**
## **Report of the Trustees FOR THE YEAR ENDED 31 DECEMBER 2020**
The trustees present their report with the financial statements of the charity for the year ended 31 December 2020. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The principal objectives of the charity are to promote and protect the health of persons who suffer with musculoskeletal disease, particularly in relation to the knee joint. In particular but not exclusively by;
- awarding to researchers scholarships, maintenance allowances or grants for the purposes of performing research into musculoskeletal disease and publishing the useful results;
- providing to healthcare practitioners and patients education for the purpose of advancing the care of persons affected by musculoskeletal disease;
- promoting wellness and health amongst patients suffering with musculoskeletal disease.
- fund raising to these ends.
## **Public benefit**
The Trustees confirm that they have complied with the duty to have due regard to public benefit guidance published by the Charity Commission and believe that the activities to improve the care of future patients with knee pathology is all in the public's interest.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
The main activities in this period were providing grants for researchers to collect patient data after surgery.
## **FINANCIAL REVIEW**
## **Reserves policy**
Reserves are required to meet the costs of ongoing research and for building the database, which will be a continuous project, as new surgery takes place and techniques progress. The charity's anticipated expenditure on future research costs will be £50,000 per annum. The trustees believe that the charity will remain active in undertaking research activities for at least the next 3 years and that the charity should therefore retain reserves to cover a minimum period of 3 years, totalling £150,000. The charity's closing reserves as at 31 December 2020 totalled £199,462 representing a surplus above the required level of £49,462, which the trustees will monitor and will allocate to future research activities.
## **Going concern**
The financial statements have been prepared on a going concern basis. The trustees have a reasonable expectation that despite the adverse effects COVID-19 is having on the economy as a whole, the charity has adequate resources to continue in operational existence for the foreseeable future. The trustees have reviewed relevant information and has considered possible measures that could be undertaken to mitigate the current adverse conditions. Based on this assessment and the current resources available, the trustees have concluded that they can continue to adopt the going concern basis in preparing the financial statements.
## **Financial overview**
The Statement of Financial Activities sets out total income and expenditure of the charity in the period. Net expenditure in the year totalled £31,235 (2019: net income £12,165), with closing fund balances totalling £199,462, of which £66,577 were unrestricted and £132,885 were restricted.
Page 1
**THE BRISTOL KNEE CHARITY**
## **Report of the Trustees FOR THE YEAR ENDED 31 DECEMBER 2020**
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Governing document**
The charity's governing document is its constitution adopted on 1st May 2018. The charity is a Charitable Incorporated Organisation with its trustees as the voting members.
## **Recruitment and appointment of new trustees**
Trustees, who are recruited from a broad pool of musculoskeletal specialists including physiotherapists, surgeons, nurses and researchers, are appointed or reappointed at the Annual General Meeting held in November each year.
## **REFERENCE AND ADMINISTRATIVE DETAILS Registered Charity number**
1178188
## **Principal address**
30 Downs Park West Westbury Park Bristol BS6 7QL
## **Trustees**
A J Porteous D Clark J R D Murray N R Howells N Artz
## **Independent Examiner**
Haines Watts Chartered Accountants 6-8 Bath Street Bristol BS1 6HL
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
.................................................................... J R D Murray - Trustee
Page 2
**Chartered Accountant’s Report to the Trustees of The Bristol Knee Charity**
In order to assist you to fulfil your duties under the Charities Act 2011, we have prepared for your approval the financial statements of The Bristol Knee Charity for the year ended 31 December 2020 which comprise the Statement of Financial Activities, Balance Sheet and the related notes from the charity's accounting records and from information and explanations you have given us.
As a practising member firm of the Institute of Chartered Accountants in England and Wales (ICAEW), we are subject to its ethical and other professional requirements which are detailed within the ICAEW's regulations and guidance at http://www.icaew.com/en/membership/regulations-standards-and-guidance.
This report is made solely to the trustees of The Bristol Knee Charity in accordance with our terms of engagement. Our work has been undertaken solely to prepare for your approval the financial statements of The Bristol Knee Charity and state those matters that we have agreed to state to the trustees of The Bristol Knee Charity in this report. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than The Bristol Knee Charity and its trustees for our work or for this report.
It is your duty to ensure that The Bristol Knee Charity has kept adequate accounting records and to prepare financial statements that give a true and fair view of the assets, liabilities, financial position and net income of The Bristol Knee Charity. You consider that The Bristol Knee Charity is exempt from the statutory audit requirement for the year.
We have not been instructed to carry out an audit or a review of the financial statements of The Bristol Knee Charity. For this reason, we do not express any opinion on the statutory financial statements.
Haines Watts Chartered Accountants 6-8 Bath Street Bristol BS1 6HL
Date: .............................................
Page 3
**THE BRISTOL KNEE CHARITY**
## **Statement of Financial Activities FOR THE YEAR ENDED 31 DECEMBER 2020**
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
**65**
**EXPENDITURE ON**
**Charitable activities**
Research, education and promoting wellness
**31,300**
**NET INCOME/(EXPENDITURE)**
**(31,235)**
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
**97,812**
**TOTAL FUNDS CARRIED FORWARD**
**66,577**|Restricted
funds
£
**-**
**-**
**-**
**132,885**
**132,885**|**2020**
**Total**
**funds**
**£**
**65**
**31,300**
**(31,235)**
**230,697**
**199,462 **|2019
Total
funds
£
68,902
56,737
12,165
218,532
230,697|
|---|---|---|---|
The notes form part of these financial statements
Page 4
**THE BRISTOL KNEE CHARITY**
## **Balance Sheet 31 DECEMBER 2020**
|Unrestricted
fund
Notes
£
**CURRENT ASSETS**
Cash at bank
**101,377**
**CREDITORS**
Amounts falling due within one year
4
**(34,800)**
**NET CURRENT ASSETS**
**66,577**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**66,577**
**NET ASSETS**
**66,577**
**FUNDS**
5
Unrestricted funds
Restricted funds
**TOTAL FUNDS**|Restricted
funds
£
**132,885**
**-**
**132,885**
**132,885**
**132,885**|**2020**
**Total**
**funds**
**£**
**234,262**
**(34,800)**
**199,462 **
**199,462**
**199,462 **
**66,577**
**132,885**
**199,462 **|2019
Total
funds
£
234,297
(3,600)
230,697
230,697
230,697
97,812
132,885
230,697|
|---|---|---|---|
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. J R D Murray - Trustee
The notes form part of these financial statements
Page 5
**THE BRISTOL KNEE CHARITY**
**Notes to the Financial Statements FOR THE YEAR ENDED 31 DECEMBER 2020**
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charity, which is a public benefit entity under FRS 102, 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 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Charities Act 2011. The financial statements have been prepared under the historical cost convention.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared on a going concern basis. The trustees have a reasonable expectation that despite the adverse effects COVID-19 is having on the economy as a whole, the charity has adequate resources to continue in operational existence for the foreseeable future. The trustees have reviewed relevant information and has considered possible measures that could be undertaken to mitigate the current adverse conditions. Based on this assessment and the current resources available, the trustees have concluded that they can continue to adopt the going concern basis in preparing the financial statements.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
Grants offered subject to conditions which have not been met at the year end date are noted as a commitment but not accrued as expenditure.
## **Taxation**
The charity is exempt from tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **Cash and cash equivalents**
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
## **Financial instruments**
Page 6
continued...
**THE BRISTOL KNEE CHARITY**
**Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **1. ACCOUNTING POLICIES - continued**
## **Cash and cash equivalents**
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument. Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include trade and other debtors, amounts due from group undertakings and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost. Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Basic financial liabilities, including trade and other creditors and amounts due to group undertakings are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. Financial liabilities are derecognised when, and only when, the company's contractual obligations are discharged, cancelled, or they expire.
## **2. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 December 2020 nor for the year ended 31 December 2019.
## **Trustees' expenses**
There was an expense reimbursed to one trustee for £100, relating to team costs, for the year ended 31 December 2020. There were no trustees' expenses paid for the year ended 31 December 2019.
## **3. COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
|Unrestricted
fund
£
**INCOME AND ENDOWMENTS FROM**
Donations and legacies
5,902
**EXPENDITURE ON**
**Charitable activities**
Research, education and promoting wellness
2,401
**NET INCOME**
3,501
**Transfers between funds**
(2,617)
**Net movement in funds**
884|Restricted
funds
£
63,000
54,336
8,664
2,617
11,281|Total
funds
£
68,902
56,737
12,165
-
12,165|
|---|---|---|
continued...
Page 7
**THE BRISTOL KNEE CHARITY**
## **Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
|**3.**
**COMPARATIVES FOR THE STATEMENT OF FINANCIAL ACTIVITIES**
Unrestricted
fund
£
**RECONCILIATION OF FUNDS**
**Total funds brought forward**
96,928
**TOTAL FUNDS CARRIED FORWARD**
97,812
**4.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Other creditors
**5.**
**MOVEMENT IN FUNDS**
At 1.1.20
£
**Unrestricted funds**
General fund
**97,812**
**Restricted funds**
TKA & Revision TKA fund
**130,881**
Soft Tissue fund
**2,004**
**132,885**
**TOTAL FUNDS**
**230,697 **
Net movement in funds, included in the above are as follows:
Incoming
resources
£
**Unrestricted funds**
General fund
**65**
**TOTAL FUNDS**
**65**|**- continued**
Restricted
Total
funds
funds
£
£
121,604
218,532
132,885
230,697
**2020**
2019
**£**
£
**34,800**
3,600
Net
movement
At
in funds
31.12.20
£
£
**(31,235)**
**66,577**
**-**
**130,881**
**-**
**2,004**
**-**
**132,885**
**(31,235) **
**199,462 **
Resources
Movement
expended
in funds
£
£
**(31,300)**
**(31,235)**
**(31,300) **
**(31,235) **|
|---|---|
continued...
Page 8
**THE BRISTOL KNEE CHARITY**
**Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **5. MOVEMENT IN FUNDS - continued**
## **Comparatives for movement in funds**
|**Unrestricted funds**
General fund
**Restricted funds**
TKA & Revision TKA fund
Partial Knee fund
Soft Tissue fund
**TOTAL FUNDS**|At 1.1.19
£
96,928
119,600
-
2,004
121,604
218,532|Net
movement
in funds
£
3,501
11,281
(2,617)
-
8,664
12,165|Transfers
between
funds
£
(2,617)
-
2,617
-
2,617
-|At
31.12.19
£
97,812
130,881
-
2,004
132,885
230,697|
|---|---|---|---|---|
Comparative net movement in funds, included in the above are as follows:
||Incoming|Resources|Movement|
|---|---|---|---|
||resources|expended|in funds|
||£|£|£|
|**Unrestricted funds**||||
|General fund|5,902|(2,401)|3,501|
|**Restricted funds**||||
|TKA & Revision TKA fund|63,000|(51,719)|11,281|
|Partial Knee fund|-|(2,617)|(2,617)|
||63,000|(54,336)|8,664|
|**TOTAL FUNDS**|68,902|(56,737)|12,165|
continued...
Page 9
**THE BRISTOL KNEE CHARITY**
**Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **5. MOVEMENT IN FUNDS - continued**
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**Restricted funds**
TKA & Revision TKA fund
Partial Knee fund
Soft Tissue fund
**TOTAL FUNDS**|At 1.1.19
£
96,928
119,600
-
2,004
121,604
218,532|Net
movement
in funds
£
(27,734)
11,281
(2,617)
-
8,664
(19,070)|Transfers
between
funds
£
(2,617)
-
2,617
-
2,617
-|At
31.12.20
£
66,577
130,881
-
2,004
132,885
199,462|
|---|---|---|---|---|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
||Incoming|Resources|Movement|
|---|---|---|---|
||resources|expended|in funds|
||£|£|£|
|**Unrestricted funds**||||
|General fund|5,967|(33,701)|(27,734)|
|**Restricted funds**||||
|TKA & Revision TKA fund|63,000|(51,719)|11,281|
|Partial Knee fund|-|(2,617)|(2,617)|
||63,000|(54,336)|8,664|
|**TOTAL FUNDS**|68,967|(88,037)|(19,070)|
The TKA & Revision TKA fund relates to the specific surgical activities around all (partial and total) knee replacement and revisions of previous replacement surgery. The abbreviation 'TKA' is short for Total Knee Arthroplasty.
The Soft Tissue fund relates to medical activities around soft tissue surgery of the knee, which is surgery other than knee replacement.
The Partial Knee fund relates to specific research on surgical actives performed to one of the three main parts of the knee, being the inside, the outside and the front of the knee.
continued...
Page 10
**THE BRISTOL KNEE CHARITY**
**Notes to the Financial Statements - continued FOR THE YEAR ENDED 31 DECEMBER 2020**
## **6. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31 December 2020.
Page 11
**THE BRISTOL KNEE CHARITY**
## **Detailed Statement of Financial Activities FOR THE YEAR ENDED 31 DECEMBER 2020**
||2020|2020|2019|
|---|---|---|---|
||£||£|
|**INCOME AND ENDOWMENTS**||||
|**Donations and legacies**||||
|Donations||**65**|68,902|
|**Total incoming resources**||**65**|68,902|
|**EXPENDITURE**||||
|**Charitable activities**||||
|Advertising||**-**|120|
|Sundries||**100**|481|
|Grants to researchers|**30,000**||54,336|
||**30,100**||54,937|
|**Support costs**||||
|**Governance costs**||||
|Accountancy and legal fees|**1,200**||1,800|
|Total resources expended|**31,300**||56,737|
|**Net (expenditure)/income**|**(31,235) **||12,165|
This page does not form part of the statutory financial statements
Page 12