Company registration number: CE021793 Charity registration number: 1189412
Macmillan Caring Locally
(A charitable incorporated organisation) Annual Report and Financial Statements
for the period from 1 September 2021 to 31 December 2022
Macmillan Caring Locally
Contents
| Reference and Administrative Details | 1 |
|---|---|
| Trustees' Report | 2 to 9 |
| Statement of Trustees' Responsibilities | 10 |
| Independent Auditors' Report | 11 to 14 |
| Statement of Financial Activities | 15 |
| Balance Sheet | 16 |
| Statement of Cash Flows | 17 |
| Notes to the Financial Statements | 18 to 26 |
Macmillan Caring Locally
Reference and Administrative Details
Legal status
Macmillan Caring Locally was set up by a Trust Deed dated 26 July 1974 as Macmillan Cancer Trust as a charitable trust and registered with the Charity Commission under registration number 268218. The name was changed with consent of the Chariry Commision on 29 September 2009. On 11 May 2020, the charity converted to a CIO, and the old charities reserves, excluding the leasehold, were transferred into the CIO on 1 January 2022.
| 2022. | |
|---|---|
| Chairman | Mr M E Emsley |
| Trustees | Dr A E Hickish |
| Mr J Harvey | |
| Mr K Wilkinson | |
| Mrs S M Collins | |
| Senior Management / Leadership | Mr N S C Williams, Trust Secretary |
| Team | Mrs A Anderson ACA, Financial Controller |
| Charity Registration Number | 1189412 |
| Company Registration Number | CE021793 |
| The charity is incorporated in England and Wales. | |
| Registered Office | Christchurch Hospital |
| Fairmile Road | |
| Christchurch | |
| Dorset | |
| BH23 2JX | |
| Auditor | PKF Francis Clark |
| Chartered accountants | |
| Towngate House | |
| 2-8 Parkstone Road | |
| Poole | |
| Dorset | |
| BH15 2PW | |
| Solicitors: | Lester Aldridge |
| Russell House | |
| 8 Oxford Road | |
| Bournemouth | |
| BH8 8EX | |
| Bankers | HSBC Bank PLC |
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Macmillan Caring Locally
Trustees' Report
The trustees, present the annual report together with the financial statements and auditors' report of the CIO for the period ended 31 December 2022. The trustees have adopted the provisions of the Statement of Recommended Practice (SORP) "Accounting and Reporting by Charities" (FRS 102) in preparing the annual report and financial statements of the charity.
The financial statements have been prepared in accordance with the accounting policies set out in the notes to the accounts and comply with the charity's governing document, the Charities Act 2011 and 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 published.
Trustees and officers
The trustees and officers serving during the year and since the year end were as follows:
Trustees: Dr A E Hickish Mr J Harvey Mr K Wilkinson Mrs S M Collins Chairman: Mr M E Emsley Senior Management / Leadership Mr N S C Williams, Trust Secretary Team: Mr B G Ford FCA, Treasurer (resigned 30 June 2022) Mrs A Anderson ACA, Financial Controller (appointed 17 April 2023)
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Macmillan Caring Locally
Trustees' Report
Objectives and activities
The Trust, which was formed in 1974 has its main objective set out in the Trust Deed which, with the approval of the Charity Commission, was amended in 2019 and can be summarised as “the relief of people suffering from cancer or a life limiting illness or condition”.
Since formation, the Trust has concentrated principally on the Macmillan Unit at Christchurch Hospital, the construction of which it funded and which it has continued to maintain, equip and improve. Funds have also been provided to enable small units to be constructed on hospitals at Wimborne and Wareham. In addition, in partnership with what is now Macmillan Cancer Support, funds were provided to enable Forest Holme, a hospice adjoining and part of Poole Hospital, to be constructed.
Funds were also provided to Dorset County Council to assist in the building of Avon View, a nursing home adjoining Christchurch Hospital, to provide “step down” beds for those discharged from the Macmillan Unit.
Over many years the Trust has provided funds to the Royal Bournemouth and Christchurch Hospitals NHS Foundation Trust and Poole Hospital NHS Foundation Trust, now merged to form University Hospitals Dorset NHS Foundation Trust (UHD), to enable the employment of consultants, doctors and nurses, including home care nurses, and to assist in the purchase of medical equipment and services for the benefit of those falling under the Trust’s objects.
In 1986 the Trust acquired Albany Lodge in Bournemouth which was used to provide holiday accommodation for cancer patients and their carers. As matters progressed it was decided that Albany Lodge was not suitable and in 2011 The Grove in Bournemouth, a 30 bedroom hotel was purchased. After considerable refurbishment the hotel opened in 2012 and traded until March 2020 when it was closed following the COVID 19 pandemic. In October 2020 the decision was made not to re-open the hotel and all staff were made redundant. In June 2021, following attempts to sell the remaining period of the lease, an arrangement was made for the hotel to re-open under new management with a management fee being paid to the Trust.
Contributions have been made to other charities and appeals with similar objectives.
Public benefit
The Trustees have given due regard to public benefit when planning activities and requests for support in accordance with the Charity Commission’s guidance on Public Benefit.
The section below sets out some of our activities during the period and further details can be found on our website (www.macmillanlocal.org). All of these are directly related to the objects and purposes for which the charity exists. The charity achieves these objects and purposes through funding provided to assist patients in the Macmillan Unit, part of the NHS and free to all patients referred, and in respect of funding for staff and facilities again part of the NHS and free to all patients.
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Macmillan Caring Locally
Trustees' Report
Achievements and Performance
During the period the Trust continued its support of services provided at the Macmillan Unit by funding the costs of the community specialist palliative care sisters, UHD palliative care service, the Macmillan rehabilitation team, the family support team, the aromatherapy team, welfare benefits advice and the Hospice at Home team.
The grateful thanks of the Trustees are due to the Consultants, Doctors, Nursing team, and all the staff at the Macmillan Unit and based at Royal Bournemouth Hospital, for providing the excellent and compassionate service to patients for which the Unit is renowned.
Volunteers
Ward Support: We have continued to welcome volunteers back on to the inpatient unit, and in addition to our returning existing volunteers, we have had 10 new starters (either already on the ward or about to 'go solo'). We have worked closely with the nursing team and ward host to ensure that our volunteers are supporting our patients at the times that they need it the most; focusing on giving valuable additional support with providing food and drink, assisting patients to eat meals and making refreshments for relatives.
Some of our long-term, experienced ward support volunteers have provided a really important role mentoring and training new volunteers, passing on their knowledge and experience to help our new starters settle into their roles.
End of Life Companions: a team of 9 specially trained volunteers who sit with patients at end of life during the evenings and support their family members at this difficult time on the Macmillan Unit ward. Offering comfort, a listening ear and gentle presence, their returning support has been so welcomed by the ward team.
Activities Companions: we have a few dedicated volunteers who are 'on call' to sit with patients during the day who may be lonely, isolated, or agitated or just need some company or distraction. Playing games, reading, doing crafts, watching television, or sitting out in the garden can make a huge difference to those patients.
Emporium: a team of 6 volunteers who manage stock and displays at the Macmillan Caring Locally charity stall at the Bridge Street Emporium; this brings in additional donations and also does valuable work promoting MCL and raising awareness in our local community.
MMU Garden: our beautiful hospice gardens continue to bring year-round joy and tranquillity to patients, relatives, visitors, and staff, and are tended by a team of 6 dedicated volunteers. Their yearly Christmas garden display makes such a difference to patients in our inpatient unit staying with us at this time.
Patient and Family Support Team volunteers: we are lucky to have 2 trained and qualified counsellors who donate some of their time to support relatives in bereavement under the Patient and Family Support Team. We also have two End of Life companion volunteers who provide telephone emotional support to patients.
Other roles: we have individual volunteers who provide additional roles, such as supporting the Ward Clerks with answering the telephone and greeting visitors to the unit; servicing therapy equipment; supporting a community patient with fetching and delivering weekly shopping; supporting patients who attend our online Day Centre; and playing the keyboard to entertain patients on the ward.
Fundraising: we have a team of volunteers, who join us at our events and challenges to assist our fundraising team. Without their help we wouldn’t be able to run fundraising events.
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Macmillan Caring Locally
Trustees' Report
Volunteers have supported some special initiatives on the ward; whether it has been helping our Caring Canine visitors Sue and her dog Rowan to settle into their role, or accompanying music therapy practitioners to provide entertainment, playing the ukelele to patients. Volunteers have helped to decorate the ward at Christmas time and stepped in to help paint the new staff area at the Macmillan Unit.
In future: we are thrilled to see the return of the Memorial Services at the Macmillan Unit Chapel, from May 2023. Sadly, these important services (which mean so much to our patients' families) were suspended due to the Covid-19 pandemic, but Reverend Nick will now be leading these, with volunteers providing assistance with serving refreshments, organising furniture and equipment and being on hand to listen and support relatives attending.
We are also working with the Volunteer Service at Royal Bournemouth Hospital (UHD) to develop and provide enhanced face-to-face Mealtime Assistance training, to further support our Ward Support volunteers to provide safe and confident assistance to inpatients at the Macmillan Unit. Enjoying meals with dignity is such a vital role that our volunteers can support, and also assists our nursing team. We are looking forward to developing this role further.
The Trust continues to be grateful to the many organisations and individuals who fundraise on behalf of the Trust. In addition to the many long running events, such as the White Christmas Dip, the Beach Hut Café Christmas open day, and the Sarah Green golf tournament, many more people have organised events large and small to raise funds.
Although the designs for the new Macmillan Unit, to be built at Christchurch Hospital, were signed off in 2019 the advent of the pandemic stopped the building tendering process, and lessons learnt in operating during the pandemic have caused the original designs to be revisited. Coming out of the pandemic, issues with supply chains, cost of materials and cost of labour have substantially increased the cost of the new build. It is hoped that once this situation improves, the build cost can be recalculated, and the planning application process started.
The grateful thanks of the trustees are due to all staff who work tirelessly to help the Trust achieve its objectives.
Financial Review
The Trust has been exceptionally fortunate with both the number and value of legacies left to the charity in this financial year. The charity recognises legacy income at the year-end when there has been a grant of probate; provided executors have established there are sufficient assets in the estate to pay the legacy and the probability of receipt in the charity’s opinion is reasonably certain. Legacy income in 2022 is £3,784,668 compared to £1,655,346 in 2021. This legacy income represented 82.5% of the total unrestricted income in 2022 and led to an exceptional in-year surplus of £2,914,102.
The Trust is extremely grateful to all donors to the charity and is fortunate to record a carry forward of funds of £4,010,548; £577,434 of which are restricted. These funds will be used to continue to support services provided at the Macmillan Unit; a commitment that is approaching £1.8m per annum. Once general running costs of the charity are taken into account, any surplus funds will be set towards the target to rebuild the Macmillan Unit.
Major Donors
The Macmillan White Christmas Dip
Special mention must be made of the organisers of the annual Macmillan White Christmas Dip, Tommy Baker and John White. The White Christmas Dip started in 2008 on Christmas Day morning when John White, who had recently been diagnosed with cancer, was visiting some of his family who all decided to join the Bournemouth Spartans in their annual Christmas morning swim. John White, along with his son, also named John, and nephews Tommy Baker, Harry Baker, Berni Mendieter and Joe Hardwick found some old fancy dress outfits and decided to partake in fancy dress.
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Macmillan Caring Locally
Trustees' Report
They arrived at Boscombe Pier ready to charge into the sea to find there was nobody around. After waiting for 30 minutes, they took to the cold waters joined by Andy Corbett who was cycling along the promenade, for their very own Christmas day swim. After the success of this first Christmas dip, Tommy decided with his family that taking to the seas was a fitting way to see the whole family on Christmas day and a good way to get some fresh air on a day that was usually spent indoors.
In 2009 they took to the sea on Christmas morning again with more of their family and friends but saw an opportunity to raise money for charity, whilst taking part in an activity that brought the whole family together on Christmas Day. The White Christmas Dip was born and continues to grow year on year.
After humble beginnings in 2008 when 8 people took part, in 2019 the event attracted 1,200 participants and many thousands of spectators. The event was cancelled in 2020 due to the pandemic but returned in 2021 and 2022. Since the event began, the White Christmas dip has raised £313,000 for our charity.
The Sarah Green Golf Tournament
This very popular annual golf tournament, held in memory of Sarah Green, has raised over £130,000 since it was established 19 years ago, missing only 2020 due to the pandemic.
Sarah green was 31 years old when she died in 2003 and the tournament was set up by her family and friends. Sarah spent her final days at the Macmillan Unit and her family wanted to raise funds for Macmillan Caring Locally in her memory. Sarah’s brother Anthony Rogers is the driving force behind the 18 hole, 3/4 handicap competition which is held at Iford Golf course each September.
He said “The first tournament was organised as a way of celebrating Sarah’s life and simply thanking the Unit and its staff for their wonderful care. I don’t think any of us could have imagined what a success it would become, how well supported it would be and how much money it would raise over the years”.
The tournament involves family members, friends and local companies who come together to compete for the Sarah Green Trophy (many teams in fancy dress!) and also to enjoy dinner and entertainment. We are so grateful to have the phenomenal support of all who organise the tournament and it is an event we look forward to every year.
The Beach Hut Café
Jo and Ron Smith have been raising funds for the Macmillan Unit in their very popular café, the Beach Hut at Friars Cliff for 17 years. They hold coffee mornings in the summer and on Christmas morning every year they host a very special event offering mulled wine and mince pies in exchange for donations. This popular event attracts hundreds of people to the beach promenade, and for many it is a family tradition.
Ron is an accomplished photographer, and every year he creates a calendar of his photographs of the beach and sells them in aid of our charity. The 2022 Christmas morning event including calendar sales raised over £9,000, taking their total fundraising to over £100,000.
Diamond Divas
The Diamond Divas choir has raised over £54,000 for the Macmillan Unit. The 20-strong choir, based in Highcliffe, has for the last nine years been performing in aid of Macmillan Caring Locally. Their concerts traditionally take place in care homes, local churches, and WI groups, as well as local supermarkets at Christmas.
During lockdown the choir was unable to perform, but simply diversified their talents and continued to fundraise through socially distanced stalls at their front gates and by making reusable facemasks.
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Macmillan Caring Locally
Trustees' Report
Bournemouth Gasp
Bournemouth Gasp, formerly known as Bournemouth Gilbert and Sullivan Operatic Society have supported our charity each year since the Macmillan Unit opened in the seventies and continue to do so today. Each year in December they visit local groups in the community to perform a repertoire of Christmas carols for donations to our charity.
The Trust is grateful to the following organisations who have helped the Trust through grants in support of our objectives:
TH Russell Charitable Trust.
Haskins Garden Centre Ferndown.
It had been the policy of the Trust to maintain sufficient reserves to meet immediate commitments for 3 years, but following the substantial donation of funds to UHD to support the rebuild of the Macmillan Unit the Trust will now maintain sufficient funds to meet its obligations on an annual basis on the basis that no further income accrues to the Trust.
As previously mentioned, a Capital Appeal, for which much preparatory work has been done, and indeed some donations have been received, will be launched with a target of £12,000,000 towards the rebuilding of the Macmillan Unit. The Trust has already contributed £5,000,000 from its reserves towards this.
Plans for future periods
As mentioned, the Trusts has as its focus the raising of additional funds to enable the rebuild to go ahead, and to maintain a flow of income to provide the funds for the day- to -day activities of the Trust. A new agreement has been entered into with UHD providing certainty over the method of funding the salaries of those members of staff the Trust has agreed to support.
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Macmillan Caring Locally
Trustees' Report
Structure, governance and management
The trust is currently governed by its Trust Deed of July 1974, as amended subsequently.
The Trust currently has five Trustees.
The Trust, with appropriate professional advice, has established a new Charitable Incorporated Organisation, into which the assets and business of the Trust have been transferred as at 1 January 2022, following agreement of the Charity Commission. The new Charity is registered with the Charity Commission, number 1189412.
The Trustees delegate day to day responsibility for management of the Trust to the Trust Secretary.
The Trustees have carefully considered the fundraising activities of the Charity and have decided not to employ external fundraisers. A number of the Trust team are employed as fundraisers for the Trust. Fundraising policies are monitored by the Trustees who would receive reports on any complaints received and the actions taken. To date, no such complaints have been received.
Fundraising for day to day activities is carried out under the supervision of the Trust Secretary, supported by other staff and the Treasurer.
As mentioned elsewhere in the report, preparations are being made for the launch of a Capital Appeal towards the rebuild of the Macmillan Unit. Appropriate registrations, policies and safeguards are being put in place by the Capital Appeal Manager which will be reviewed by the Trustees when considering the Capital Appeal Strategy.
The Trustees set the remuneration policy of the Trust annually, taking into account matters such as performance, the cost of living, other charity remuneration and any other relevant factors.
The Trustees set the investment policy of the Charity from time to time with day to day management being delegated to the Treasurer.
The Trustees have continued to monitor the implications of the GDPR regulations and their impact on the trust.
Trustees had been meeting formally four to six times a year and have responsibilities for all policy matters concerning the Trust.
The Trustees consider annually a statement of the major risks to which the Charity is exposed and consider actions to be taken in mitigation.
Trustees are encouraged to visit the Macmillan Unit regularly to familiarise themselves with the work of the Trust, in addition to being informed by regular bulletins. Briefings are given at Trustees meetings by consultants and senior staff.
Briefings and training on Charity Law and any other matters is available to all Trustees.
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Macmillan Caring Locally
Trustees' Report
Disclosure of information to auditor
Each trustee has taken steps that they ought to have taken as a trustee in order to make themselves aware of any relevant audit information and to establish that the charity's auditor is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware.
The annual report was approved by the trustees of the charity on 11 September 2023 and signed on its behalf by:
......................................... Mr M E Emsley Chairman
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Macmillan Caring Locally
Statement of Trustees' Responsibilities
The trustees (who are also the directors of Macmillan Caring Locally for the purposes of company law) are responsible for preparing the trustees' report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
Company law requires the trustees to prepare financial statements for each financial period. Under company law the trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of the incoming resources and application of resources, including its income and expenditure, of the charitable company for that period. In preparing these financial statements, the trustees are required to:
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select suitable accounting policies and apply them consistently;
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observe the methods and principles in the Charities SORP;
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make judgements and estimates that are reasonable and prudent;
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state whether applicable accounting standards, comprising FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements; and
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prepare the financial statements on the 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 that can disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company's website. Legislation governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Approved by the trustees of the charity on 11 September 2023 and signed on its behalf by:
......................................... Mr M E Emsley Chairman
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Macmillan Caring Locally
Independent Auditor's Report to the Members of Macmillan Caring Locally
Opinion
We have audited the financial statements of Macmillan Caring Locally (the 'charity') for the period from 1 September 2021 to 31 December 2022, which comprise the Statement of Financial Activities, Balance Sheet, Statement of Cash Flows, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is United Kingdom Accounting Standards, comprising Charities SORP - FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and applicable law (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
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give a true and fair view of the state of the charity's affairs as at 31 December 2022 and of its incoming resources and application of resources, including its income and expenditure, for the period then ended;
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have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
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have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The trustees are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.
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Macmillan Caring Locally
Independent Auditor's Report to the Members of Macmillan Caring Locally
Opinion on other matter prescribed by the Companies Act 2006
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In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Trustees' Report for the financial period for which the financial statements are prepared is consistent with the financial statements; and
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the Trustees' Report has been prepared in accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees' Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
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adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
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the financial statements are not in agreement with the accounting records and returns; or
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certain disclosures of trustees remuneration specified by law are not made; or
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we have not received all the information and explanations we require for our audit.
Responsibilities of trustees
As explained more fully in the Statement of Trustees' Responsibilities (set out on page 10), the trustees are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternative but to do so.
Auditor responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
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Macmillan Caring Locally
Independent Auditor's Report to the Members of Macmillan Caring Locally
As part of our audit planning we obtained an understanding of the legal and regulatory framework that is applicable to the Charity. We gained an understanding of the Charity and the sector in which the Charity operates as part of this assessment to identify the key laws and regulations affecting the Charity. As part of this, we reviewed the Charity's website for an indication of any regulatons in place and discussed these with the relevant individuals responsible for compliance. The key regulations we identified were Charity legislation, health and safety regulations and breaches of The General Data Protection Regulation ("GDPR"). We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Charities Act 2011 and Charities SORP - FRS 102.
We discussed with management how the compliance with these laws and regulations is monitored and discussed policies and procedures in place. We also identified the individuals who have responsibility for ensuring that the Charity complies with laws and regulations and deals with reporting any issues if they arise. As part of our planning procedures, we assessed the risk of any non-compliance with laws and regulations on the Charity's ability to continue trading and the risk of material misstatement to the accounts.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved the following:
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Enquiries of management and trustees regarding their knowledge of any non-compliance with laws and regulations that could affect the financial statements. As part of these enquiries we also discussed with management whether there have been any known instances, allegations or suspicions of fraud.
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Reviewed filings with the Charity Commission and whether there were any serious incident reports made during the period.
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Discussed with management if any health and safety incidents have been recorded during the period.
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Review of the GDPR policy and enquiries to management as to the occurrence of any reportable breaches.
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Reviewed legal and professional costs to identify any possible non-compliance or legal costs in respect of non-compliance.
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Reviewed Board minutes.
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Audited the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness.
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Reviewed estimates and judgements made in the accounts for any indication of bias.
A further description of our responsibilities is available on the Financial Reporting Council's website at: www.frc.org.uk/auditorresponsibilities. This description forms part of our auditor's report.
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Macmillan Caring Locally
Independent Auditor's Report to the Members of Macmillan Caring Locally
Use of our report
This report is made solely to the charitable company's trustees, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.
...................................... Daniel Tout FCA (Senior Statutory Auditor) For and on behalf of PKF Francis Clark, Statutory Auditor
Towngate House 2-8 Parkstone Road Poole Dorset BH15 2PW
25 September 2023
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Macmillan Caring Locally
Statement of Financial Activities for the Period from 1 September 2021 to 31 December 2022
(Including Income and Expenditure Account)
| Note Income and Endowments from: Donations and legacies 2 Investment income 3 Other income 4 Transfer from predecessor organisation 5 Total income Expenditure on: Raising funds 6 Charitable activities 7 Total expenditure Net income Net movement in funds Reconciliation of funds Total funds carried forward 16 |
Unrestricted funds £ 4,508,191 2,597 73,755 582,791 5,167,334 (37,204) (1,697,016) (1,734,220) 3,433,114 3,433,114 3,433,114 |
Restricted funds £ 53,779 - 10,000 513,655 577,434 - - - 577,434 577,434 577,434 |
Total 2022 £ 4,561,970 2,597 83,755 1,096,446 |
|---|---|---|---|
| 5,744,768 | |||
| (37,204) (1,697,016) |
|||
| (1,734,220) | |||
| 4,010,548 | |||
| 4,010,548 | |||
| 4,010,548 |
All of the charity's activities derive from continuing operations during the above period.
The notes on pages 18 to 26 form an integral part of these financial statements. Page 15
Macmillan Caring Locally
(Registration number: CE021793) Balance Sheet as at 31 December 2022
| Note Current assets Debtors 13 Cash at bank and in hand Creditors: Amounts falling due within one year 14 Net assets Funds of the charity: Restricted income funds Restricted funds Unrestricted income funds Unrestricted funds Total funds 16 |
2022 £ 1,942,411 2,617,384 |
|---|---|
| 4,559,795 (549,247) |
|
| 4,010,548 | |
| 577,434 3,433,114 |
|
| 4,010,548 |
The financial statements on pages 15 to 26 were approved by the trustees, and authorised for issue on 11 September 2023 and signed on their behalf by:
......................................... Mr M E Emsley Chairman
The notes on pages 18 to 26 form an integral part of these financial statements. Page 16
Macmillan Caring Locally
Statement of Cash Flows for the Period from 1 September 2021 to 31 December 2022
| Note Cash flows from operating activities Net cash income Adjustments to cash flows from non-cash items Investment income 3 Working capital adjustments Increase in debtors 13 Increase in creditors 14 Net cash flows from operating activities Cash flows from investing activities Interest receivable and similar income 3 Net increase in cash and cash equivalents Cash and cash equivalents at 1 September Cash and cash equivalents at 31 December |
2022 £ 4,010,548 (2,597) |
|---|---|
| 4,007,951 (1,942,411) 549,247 |
|
| 2,614,787 2,597 |
|
| 2,617,384 - |
|
| 2,617,384 |
All of the cash flows are derived from acquisitions in the current financial period.
The notes on pages 18 to 26 form an integral part of these financial statements. Page 17
Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
1 Accounting policies
Statement of compliance
The financial statements have been prepared in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)) (issued in October 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.
Basis of preparation
Macmillan Caring Locally meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy notes.
Going concern
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern nor any significant areas of uncertainty that affect the carrying value of assets held by the charity.
Disclosure of long or short period
As disclosed in note 5 the assets and liabilities of Macmillan Caring Locally (charity) were transferred to Macmillan Caring Locally (CIO) on 1 January 2022.
These financial statements cover a period of 16 months as the year-end has been changed from August to December to align with the Macmillan Caring Locally (charity), the first 4 months of which were dormant.
Income and endowments
All income is recognised once the charity has entitlement to the income, it is probable that the income will be received and the amount of the income receivable can be measured reliably.
Donations and legacies
Donations are recognised when the charity has been notified in writing of both the amount and settlement date. In the event that a donation is subject to conditions that require a level of performance by the charity before the charity is entitled to the funds, the income is deferred and not recognised until either those conditions are fully met, or the fulfilment of those conditions is wholly within the control of the charity and it is probable that these conditions will be fulfilled in the reporting period.
Legacy gifts are recognised on a case by case basis following the grant of probate when the administrator/executor for the estate has communicated in writing both the amount and settlement date. In the event that the gift is in the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the charity.
Investment income
Dividends are recognised once the dividend has been declared and notification has been received of the dividend due.
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
Expenditure
All expenditure is recognised once there is a legal or constructive obligation to that expenditure, it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar costs to that category. Where costs cannot be directly attributed to particular headings they have been allocated on a basis consistent with the use of resources, with central staff costs allocated on the basis of time spent, and depreciation charges allocated on the portion of the asset’s use. Other support costs are allocated based on the spread of staff costs.
Raising funds
These are costs incurred in attracting voluntary income, the management of investments and those incurred in trading activities that raise funds.
Charitable activities
Charitable expenditure comprises those costs incurred by the charity in the delivery of its activities and services for its beneficiaries. It includes both costs that can be allocated directly to such activities and those costs of an indirect nature necessary to support them.
Governance costs
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees meetings and reimbursed expenses.
Taxation
The charity is considered to pass the tests set out in Paragraph 1 Schedule 6 of the Finance Act 2010 and therefore it meets the definition of a charitable company for UK corporation tax purposes. Accordingly, the charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 of the Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
Stock
Stock is valued at the lower of cost and estimated selling price less costs to complete and sell, after due regard for obsolete and slow moving stocks. Cost is determined using the first-in, first-out (FIFO).
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the charity will not be able to collect all amounts due according to the original terms of the receivables.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the charity does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Fund structure
Unrestricted income funds are general funds that are available for use at the trustees discretion in furtherance of the objectives of the charity.
Restricted income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose.
Pensions and other post retirement obligations
The charity operates a defined contribution pension scheme which is a pension plan under which fixed contributions are paid into a pension fund and the charity has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised in the Statement of Financial Activities when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
2 Income from donations and legacies
| Donations and legacies; Donations to major appeals Donations from individuals Legacies Gift aid reclaimed Total for period ended 31 December 2022 |
Unrestricted funds General £ - 705,621 3,784,668 17,902 4,508,191 |
Restricted funds £ 53,779 - - - 53,779 |
Total funds £ 53,779 705,621 3,784,668 17,902 |
|---|---|---|---|
| 4,561,970 |
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
3 Investment income
| Interest receivable and similar income; Interest receivable on bank deposits Total for period ended 31 December 2022 4 Other income Grant income Rental income Total for period ended 31 December 2022 |
Unrestricted funds General £ - 73,755 73,755 |
Unrestricted funds General £ 2,597 2,597 Restricted funds £ 10,000 - 10,000 |
Total funds £ 2,597 |
|---|---|---|---|
| 2,597 | |||
| Total funds £ 10,000 73,755 |
|||
| 83,755 |
5 Transfer from Macmillan Caring Locally (Charity)
On 1 January 2021 the assets and liabilities of Macmillan Caring Locally (Charity) were transferred to Macmillan Caring Locally (CIO) at the following values:
| Stock Current assets (excluding bank and cash) Bank and cash Liabilities |
2022 £ 3,325 311,367 2,467,346 (1,685,592) |
|---|---|
| 1,096,446 |
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
6 Expenditure on raising funds
a) Costs of trading activities
| Note Property rental income costs Total for period ended 31 December 2022 7 Expenditure on charitable activities Staff costs Grove expenses Garden Equipment repairs Professional fees Patients expenses Volunteers travelling Christmas Macmillan unit salaries Travelling Office stationery Telephone and fax Subscriptions Training costs Insurance Sundry expenses Governance costs Total for period ended 31 December 2022 |
Unrestricted funds General £ 37,204 37,204 Note 8 |
Total funds £ 37,204 |
|---|---|---|
| 37,204 | ||
| Total funds £ 336,365 4,122 2,771 5,818 6,767 14,738 4,396 3,537 1,256,660 654 16,251 3,716 4,218 5,953 6,193 6,791 18,066 |
||
| 1,697,016 |
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
8 Analysis of governance and support costs
Governance costs
| Audit fees Audit of the financial statements Other fees paid to auditors Total for period ended 31 December 2022 |
Unrestricted funds General £ 13,200 4,866 18,066 |
Total funds £ 13,200 4,866 |
|---|---|---|
| 18,066 |
9 Net incoming/outgoing resources
| Net incoming/outgoing resources for the period include: Audit fees Other non-audit services |
2022 £ 13,200 4,866 |
|---|---|
10 Trustees remuneration and expenses
No trustees, nor any persons connected with them, have received any remuneration from the charity during the year.
No trustees have received any reimbursed expenses or any other benefits from the charity during the year.
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
11 Staff costs
The aggregate payroll costs were as follows:
| Staff costs during the period were: Wages and salaries Social security costs Pension costs |
2022 £ 291,889 22,873 21,603 |
|---|---|
| 336,365 |
The monthly average number of persons (including senior management / leadership team) employed by the charity during the period was as follows:
| The monthly average number of persons (including senior charity during the period was as follows: |
management / leadership team) employed by | th |
|---|---|---|
| 2022 | ||
| No | ||
| Charitable activities | 8 |
No employee received emoluments of more than £60,000 during the period.
The total employee benefits of the key management personnel of the charity were £61,491.
12 Taxation
The charity is a registered charity and is therefore exempt from taxation.
13 Debtors
| 13 Debtors | |
|---|---|
| Trade debtors Prepayments |
2022 £ 1,938,917 3,494 |
| 1,942,411 |
14 Creditors: amounts falling due within one year
| 14 Creditors: amounts falling due within one year | |
|---|---|
| Trade creditors Other taxation and social security Other creditors Pension scheme creditor Accruals |
2022 £ 414,699 6,527 45,259 4,043 78,719 |
| 549,247 |
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
15 Commitments
Other financial commitments
As shown in note 19, the Trust has commitments to University Hospitals Dorset (UHD) for staff costs under existing agreements. Discussions are taking place with the UHD regarding future financial contributions to staff, services and the rebuilding of the Unit.
16 Funds
| Unrestricted funds General Restricted funds Total funds |
Incoming resources £ 5,167,334 577,434 5,744,768 |
Resources expended £ (1,734,220) - (1,734,220) |
Balance at 31 December 2022 £ 3,433,114 577,434 |
|---|---|---|---|
| 4,010,548 |
The specific purposes for which the funds are to be applied are as follows:
Capital appeal - £567,434 to be used specifically for the capital appeal and the construction of the new Macmillan unit.
Staff welfare - £10,000 to be used specifically for staff training.
17 Analysis of net assets between funds
| Current assets Current liabilities Total net assets |
Unrestricted funds General £ 3,982,361 (549,247) 3,433,114 |
Restricted funds £ 577,434 - 577,434 |
Total funds at 31 December 2022 £ 4,559,795 (549,247) |
|---|---|---|---|
| 4,010,548 |
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Macmillan Caring Locally
Notes to the Financial Statements for the Period from 1 September 2021 to 31 December 2022
18 Related party transactions
During the period the charity made the following related party transactions:
University Hospitals Dorset (UHD)
(The Trust works closely with UHD. The administrative offices of the Trust are based at Christchurch Hospital. During the year the Trust contributed £1,256,660 to UHD staff costs and services under existing agreements.) At the balance sheet date the amount due from University Hospitals Dorset (UHD) was £64,133.
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