Charity registration number: 1189748
## Children's Cancer North
Annual Report and Financial Statements for the Year Ended 31 December 2021
## **Children's Cancer North**
## **Contents**
|Reference and Administrative Details|1|
|---|---|
|Trustees' Report|2 to 5|
|Independent Auditors' Report|6 to 9|
|Statement of Financial Activities|10|
|Balance Sheet|11|
|Cash Flow Statement|12|
|Notes to the Financial Statements|13 to 24|
## **Children's Cancer North**
## **Reference and Administrative Details**
**Chairman** Christopher Peacock **Trustees** Sally Cowling David Hood Ian Birtwistle Dr Geoffrey Alister Shenton Dr Quentin Campbell Hewson Sir Alan William Craft Louise Ollett Leah Rosengarten Paul Bain **Charity Registration Number** 1189748 **Principal Office** University Of Newcastle Claremont Road Newcastle upon Tyne NE1 7RU **Auditor** Azets Audit Services Bulman House Regent Centre Gosforth Newcastle upon Tyne NE3 3LS **Investment Managers** RBC Brewin Dolphin Time Central Gallowgate Newcastle upon Tyne NE1 4SR **Bankers** Metro Bank One Southamptom Row London WC1B 5HA
1
## **Children's Cancer North**
## **Trustees' Report**
The trustees present the annual report together with the financial statements and auditors' report of the charity for the year ended 31 December 2021.
## **Structure, governance and management**
## _**Nature of governing document**_
The charity is a registered Charitable Incorporated Organisation, number 1189748.
The name of the Charitable Incorporated Organisation (“the CIO”) is Children’s Cancer North.
The charity is governed by its constitution dated 19 September 2019 and amended 15 December 2020.
## _**Recruitment and appointment of trustees**_
Apart from the first charity trustees, every trustee must be appointed for a term of three years by a resolution passed at a properly convened meeting of the charity trustees.
In selecting individuals for appointment as charity trustees, the charity trustees must have regard to the skills, knowledge and experience needed for the effective administration of the CIO.
Election of Officers. Nominees will be proposed from amongst the charity trustees at a Trustee Meeting for election to the offices of Chair, Vice Chair and Treasurer. If an Officer resigns or is removed from office, nominees from existing trustees will be proposed and elected at the next meeting of Trustees.
## _**Induction and training of trustees**_
The charity trustees will make available to each new charity trustee, on or before his or her first appointment:
- (a) A copy of the current version of this constitution; and
- (b) A copy of the CIO’s latest Trustees’ Annual Report and statement of accounts.
## _**Arrangements for setting key management personnel remuneration**_
There are no Key Management Personel- the charity is managed by the trustees, who do not receive remuneration for their services.
## _**Organisational structure**_
The members of the CIO shall be its trustees for the time being. The only persons eligible to be members of the CIO are its charity trustees. Membership of the CIO cannot be transferred to anyone else.
Any member and charity trustee who ceases to be a charity trustee automatically ceases to be a member of the CIO.
2
## **Children's Cancer North**
## **Trustees' Report**
## _**Major risks and management of those risks**_
## _Risk Management_
The trustees have assessed the major risks to which the charity is exposed, in particular those relating to the operations and finances of the charity and are satisfied that systems are in place to mitigate the exposure to the major risks.
## **Objectives and activities**
## _**Objects and aims**_
The objects of the CIO are
1. To promote and support research into the causes and possible forms of treatment of cancer in children
2. To alleviate the suffering and promote the relief and care of children afflicted with the disease of cancer, particularly by the provision of equipment for the treatment of such children.
3. To engage in any charitable activities which may lessen the suffering of such children and ancillary thereto, to protect and preserve the health of their families, friends, and helpers.
## _**Fundraising disclosures**_
The charity is required to report how it deals with fundraising from the public. The charity does not use a professional fundraiser or commercial participator to raise funds. Any monies raised direct from the public follows all guidelines set out by the Charity Commission and UK law in every respect. We respect the privacy and contact preferences of all public donors.
## _**Public benefit**_
The charity awards grants to ‘The Newcastle University Centre for Cancer’ to assist in the research into causes and treatments for childhood cancers.
The trustees confirm that they have complied with the requirements of section 17 of the Charities Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales.
## _**Grant making policies**_
As a grant making charity any reserves held are purely to support the infrastructure of running the charity, which is done so entirely by the trustees and its volunteers. The charity holds some of its reserves as Fixed Asset Investments, which provides a modest income to assist the charity to continue its fundraising activities, but these are readily available to be spent as required. "Free reserves" are therefore considered to be the aggregate of Investments and Current Assets, including amounts designated for future grant commitments.
3
## **Children's Cancer North**
## **Trustees' Report**
## **Achievements and performance**
The charity commenced with its objectives and fundraising activities on 1 May 2021 following the successful merger of two charities, ‘The North of England Children’s Cancer Research Fund’ and ‘Children’s Cancer Fund’ on 30 April 2021.
In its first 8 months to 31 December 2021 the charity raised more than £500,000 and realised a surplus for the period. This was deemed a great success during what was a challenging year for the charity sector following continued covid restrictions.
The charity’s Balance Sheet and financial position is one of strength with reserves of £1.3m. This is in excess of the current reserves policy which is to hold two years in core grant funding of circa £900k.
## **Going concern**
As a grant giving charity, the trustees are happy to conclude that the charity is a going concern, since they control donations paid out based on fundraising income achieved to date and investments held. On that basis they have continued to adopt the going concern basis when preparing the financial statements.
The charity has strong positive cash balances and is forecasting for this to continue to be the case. The trustees remain confident that any uncertainties do not cast significant doubt on the company’s ability to continue as a going concern.
## **Plans for future periods**
## _**Aims and key objectives for future periods**_
The charity hopes to continue to raise funds to enable the donations to be made in line with the charitable objectives.
## **Financial review**
During the period the CIO has a surplus of £1,272,264, this included the transfer of assets from Children's Cancer Fund and North of England Children's Cancer Research Fund of £1,142,252.
As at 31 December 2021 Unrestricted reserves were £1,257,036 and Restricted reserves £15,228.
## **Key Management Personnel**
The board, give their time freely and no trustees received remuneration in the year. They are in control of the management of the charity and therefore there is no Key Management Personnel receiving any remuneartion.
## _**Policy on reserves**_
The calculation of free reserves is based on the definition included in the charity statement of recommended practice (SORP), which provides recommendations for accounting and reporting for charities. The trustees have examined the requirements of the charity to hold free reserves - those reserves not invested in tangible fixed assets, excluding long term liabilities, or designated for a particular purpose. The Trustees considered it would be appropriate to hold the equivalent of two years core grant funding which would equate to holding approximately £800,000- £950,000 in free reserves.
At the year end, free reserves including fixed asset investments were £1,257,036 (2020: £Nil), an increase of £1.257,036 in the year. Being the first year of operating, the trustees believe this to be satisfactory.
4
## **Children's Cancer North**
## **Trustees' Report**
## _**Investment policy and objectives**_
The constitution does not place any restrictions on the investment powers of the trustees.
## **Statement of Trustees' Responsibilities**
The trustees are responsible for preparing the trustees' report and the financial statements in accordance with the United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice) and applicable law and regulations.
The law applicable to charities requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources of the charity for that period. In preparing these financial statements, the trustees are required to:
- select suitable accounting policies and then apply them consistently;
- observe the methods and principles in the Charities SORP;
- make judgements and estimates that are reasonable and prudent;
- state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; and
- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business.
The trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the constitution. The trustees are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
## **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.
## **Reappointment of auditor**
Azets Audit Services Limited, trading as Azets Audit Services, were appointed auditor to the CIO following their acquisition of the trade of Tait Walker LLP, trading as MHA Tait Walker, on 1 May 2022.
A resolution for the re-appointment of Azets Audit Services as auditors of the charity is to be proposed at the forthcoming Annual General Meeting.
The annual report was approved by the trustees of the charity on .................... and signed on its behalf by:
......................................... David Hood Trustee
5
## **Children's Cancer North**
## **Independent Auditor's Report to the Members of Children's Cancer North**
## **Opinion**
We have audited the financial statements of Children's Cancer North (the 'charity') for the year ended 31 December 2021, which comprise the Statement of Financial Activities, Balance Sheet, Cash Flow Statement, 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:
- give a true and fair view of the state of the charity's affairs as at 31 December 2021 and of its 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 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 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.
## **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.
6
## **Children's Cancer North**
## **Independent Auditor's Report to the Members of Children's Cancer North**
## **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.
## **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 Charities Act 2011 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the 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.
## **Responsibilities of trustees**
As explained more fully in the Statement of Trustees' Responsibilities (set out on page 5), 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.
7
## **Children's Cancer North**
## **Independent Auditor's Report to the Members of Children's Cancer North**
## **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.
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:
• Enquiries with management about any known or suspected instances of non-compliance with laws and regulations and fraud;
## • Reviewing board minutes;
• Challenging assumptions and judgements made by management in their significant accounting estimates;
• Review financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; and
• Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness.
Because of the field in which the client operates, we identified the following areas as those most likely to have a material impact on the financial statements: Health and Safety; anti-bribery and corruption; and compliance with the UK Charities Act.
Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it or to recognise the non-compliance.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
8
## **Children's Cancer North**
## **Independent Auditor's Report to the Members of Children's Cancer North**
## **Use of our report**
This report is made solely to the charity trustees, as a body, in accordance with section 144 of the Charities Act 2011 and regulations made under section 154 of that Act. Our work has been undertaken so that we might state to the trustees those matters we are required to state to trustees in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its trustees as a body, for our audit work, for this report, or for the opinions we have formed.
...................................... Simon Brown ACA DChA(Senior Statutory Auditor) For and on behalf of Azets Audit Services Chartered Accountants Statutory Auditor
Bulman House Regent Centre Gosforth Newcastle upon Tyne NE3 3LS Date:.............................
Azets Audit Services is a trading name of Azets Audit Services Limited
Azets Audit Services is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.
9
## **Children's Cancer North**
## **Statement of Financial Activities for the Year Ended 31 December 2021**
|**2021**|||||
|---|---|---|---|---|
|**Note**
**Income and Endowments from:**
Donations and legacies
2
Other trading activities
3
Investment income
4
Total Income
**Expenditure on:**
Raising funds
5
Charitable activities
6
Total Expenditure
Gains/(losses) on
investment assets
Net movement in funds
**Reconciliation of funds**
Total funds carried forward
16|**Unrestricted**
**£**
1,511,405
110,032
10,510
1,631,947
(187,355)
(235,074)
(422,429)
47,518
1,257,036
1,257,036|**Restricted**
**£**
15,228
-
-
15,228
-
-
-
-
15,228
15,228|**Total**
**31 December**
**2021**
**£**
1,526,633
110,032
10,510
1,647,175
(187,355)
(235,074)
(422,429)
47,518
1,272,264
1,272,264|**Total**
**2 June 2020**
**to 31**
**December**
**2020**
**£**
-
-
-|
|||||-|
|||||-
-|
|||||-|
|||||-|
|||||-|
|||||-|
All of the charity's activities derive from continuing operations during the above two periods. The funds breakdown for 2020 is shown in note 16.
10
## **Children's Cancer North**
## **(Registration number: 1189748) Balance Sheet as at 31 December 2021**
|**(Registration number: 1189748)**
**Balance Sheet as at 31 December 2021**||
|---|---|
|**Note**
**Fixed assets**
Investments
12
**Current assets**
Debtors
13
Cash at bank and in hand
14
**Creditors: Amounts falling due within one year**
15
**Net current assets**
**Net assets**
**Funds of the charity:**
**Restricted income funds**
Restricted funds
16
**Unrestricted income funds**
Unrestricted funds
**Total funds**
16|**2021**
**£**
983,344
119,014
590,503|
||709,517
(420,597)|
||288,920|
||1,272,264|
||15,228
1,257,036|
||1,272,264|
The financial statements on pages 10 to 24 were approved by the trustees, and authorised for issue on .................... and signed on their behalf by:
......................................... David Hood Trustee
11
## **Children's Cancer North**
## **Cash Flow Statement for the Year Ended 31 December 2021**
|**Note**
**Cash flows from operating activities**
Net cash income
**Adjustments to cash flows from non-cash items**
Investment income
4
Donated capital and capital grants
**Working capital adjustments**
Increase in debtors
13
Increase in creditors
15
Net cash flows from operating activities
**Cash flows from investing activities**
Purchase of investments
12
Sale of investments
Income from dividends
4
Net cash flows from investing activities
Net increase in cash and cash equivalents
Cash and cash equivalents at 1 January
Cash and cash equivalents at 31 December|**2021**
**£**
1,272,264
(10,510)
(927,232)|
|---|---|
||334,522
(119,014)
420,597|
||636,105|
||(51,597)
(4,515)
10,510|
||(45,602)|
||590,503
-|
||590,503|
All of the cash flows are derived from continuing operations during the above two periods.
12
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **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) (effective 1 January 2019) - (Charities SORP (FRS 102)), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011.
## **Basis of preparation**
Children's Cancer North meets the definition of a public benefit entity under FRS 102. The accounts (financial statements) have been prepared under the historical cost convention with items recognised at cost or transaction value unless otherwise stated in the relevant note(s) to these accounts.
The functional currency is sterling.
## **Going concern**
The trustees consider that there are no material uncertainties about the charity's ability to continue as a going concern.
The trustees have a reasonable expectation that the charityy has adequate resources to continue in operational existence for a period of at least 12 months from the date of signing these financial statements. The charity therefore continues to adopt the going concern basis in preparing its financial statements.
## **Estimation uncertainty and judgements**
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported.
Management have provided depreciation, prepayments, accruals and other cut-off adjustments. Whilst management believe that these estimates and judgements are accurate, there is every likelihood that they will not be exact.
These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
## **Income and endowments**
Voluntary income including donations, gifts, legacies and grants that provide core funding or are of a general nature is recognised when the charity has entitlement to the income, it is probable that the income will be received and the amount can be measured with sufficient reliability.
## _**Donations and legacies**_
Donations and legacies are recognised on a receivable basis when receipt is probable and the amount can be reliably measured.
13
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **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.
## _**Grant provisions**_
Provisions for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about either the timing of the grant or the amount of grant payable.
## **Support costs**
Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, for example, allocating property costs by floor areas, or per capita, staff costs by the time spent and other costs by their usage.
## **Governance costs**
These include the costs attributable to the charity’s compliance with constitutional and statutory requirements, including audit, strategic management and trustees’s 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.
## **Fixed asset investments**
Fixed asset investments are included at market value at the balance sheet date. Realised gains and losses on investments are calculated as the difference between sales proceeds and their market value at the start of the year, or their subsequent cost, and are charged or credited to the Statement of Financial Activities in the period of disposal.
Unrealised gains and losses represent the movement in market values during the year and are credited or charged to the Statement of Financial Activities based on the market value at the year end.
14
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **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.
## **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 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.
## **Borrowings**
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the Statement of Financial Activities over the period of the relevant borrowing. Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the charity has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
## **Fund structure**
Unrestricted income funds are general funds that are available for use at the trustees's 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.
## **Financial instruments**
## _**Classification**_
Financial assets and financial liabilities are recognised when the charity becomes a party to the contractual provisions of the instrument.
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the charity after deducting all of its liabilities.
15
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## _**Recognition and measurement**_
All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a financing transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.
Financial assets and liabilities are only offset in the statement of financial position when, and only when there exists a legally enforceable right to set off the recognised amounts and the charity intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Financial assets are derecognised when and only when a) the contractual rights to the cash flows from the financial asset expire or are settled, b) the charity transfers to another party substantially all of the risks and rewards of ownership of the financial asset, or c) the charity, despite having retained some, but not all, significant risks and rewards of ownership, has transferred control of the asset to another party.
Financial liabilities are derecognised only when the obligation specified in the contract is discharged, cancelled or expires.
16
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **2 Income from donations and legacies**
|Donations and legacies;
Donations from individuals
Legacies
Transfer from donor charities
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
259,015
125,366
1,127,024
1,511,405|**Restricted**
**funds**
**£**
-
-
15,228
15,228|**Total**
**funds**
**£**
259,015
125,366
1,142,252|
|---|---|---|---|
||||1,526,633|
Included in Donations was:
During the year the entity received £799,878 from North of England Childrens Cancer Research Fund, being the closing funds all transferred on 30 April 2021 of £628,878 and a donation of £171,000 during April 2021.
As at 30 April 2021, Children Cancer Fund transferred all its closing funds of £342,374 to this entity.
## **3 Income from other trading activities**
|Events income;
Children's Cancer Run
Sponsorship income -GNR Entries
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
46,798
63,234
110,032|**Total**
**funds**
**£**
46,798
63,234|
|---|---|---|
|||110,032|
17
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **4 Investment income**
|Income from dividends;
Investment income
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
10,510
10,510|**Total**
**funds**
**£**
10,510|
|---|---|---|
|||10,510|
## **5 Expenditure on raising funds**
## **a) Costs of generating donations and legacies**
|Marketing and publicity
Other direct costs of generating voluntary income
Allocated support costs
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
19,322
27,941
2,754
50,017|**Total**
**funds**
**£**
19,322
27,941
2,754|
|---|---|---|
|||50,017|
## **b) Costs of trading activities**
|Events and conferences
Other direct costs of activities for generating funds
Allocated support costs
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
70,762
55,270
4,688
130,720|**Total**
**funds**
**£**
70,762
55,270
4,688|
|---|---|---|
|||130,720|
18
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **c) Investment management costs**
|Other investment management costs;
Amounts payable to investment managers
**Total for period ended 31 December 2021**
Costs of generating donations and legacies
Costs of trading activities
Investment management costs
**Total for period ended 31 December 2021**
**6**
**Expenditure on charitable activities**
Ward associated expenses
Grant funding of activities
Governance costs
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
6,618
6,618
**Direct costs**
**£**
50,017
130,720
6,618
187,355
**Unrestricted**
**funds**
**General**
**£**
32,364
181,647
21,063
235,074|**Total**
**funds**
**£**
6,618|
|---|---|---|
|||6,618|
|||**Total**
**costs**
**£**
50,017
130,720
6,618|
|||187,355|
|||**Total**
**funds**
**£**
32,364
181,647
21,063|
|||235,074|
19
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **7 Analysis of governance and support costs**
## **Raising funds expenditure**
## **Costs of generating donations and legacies - Support Costs**
|**Basis of**
**allocation**
Office Costs
Training
Telephone
Subscriptions
**Total for period ended 31 December 2021**
**Charitable Activities**
**Charitable Activities**|**Unrestricted**
**funds**
**General**
**£**
5,686
690
341
725
7,442|**Total**
**funds**
**£**
5,686
690
341
725|
|---|---|---|
|||7,442|
||||
## **Governance costs**
|Audit fees
Audit of the financial statements
Legal fees
Marketing and publicity
Other governance costs
**Total for period ended 31 December 2021**|**Unrestricted**
**funds**
**General**
**£**
8,400
1,080
9,745
1,838
21,063|**Total**
**funds**
**£**
8,400
1,080
9,745
1,838|
|---|---|---|
|||21,063|
20
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **8 Net incoming/outgoing resources**
Net incoming/outgoing resources for the year include:
**2021 £** Audit fees 8,400 Profit on disposal of investments (1,571)
## **9 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.
## **10 Auditors' remuneration**
Audit of the financial statements
**2021 £** 8,400
21
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **11 Taxation**
The charity is a registered charity and is therefore exempt from taxation.
## **12 Fixed asset investments**
**2021 £** Other investments 983,344
## **Other investments**
|**Cost or Valuation**
Revaluation
Additions
Disposals
Transfer from donor charities
At 31 December 2021
**Net book value**
At 31 December 2021|**Listed**
**investments**
**£**
45,947
51,597
(41,432)
927,232
983,344
983,344|**Total**
**£**
45,947
51,597
(41,432)
927,232|
|---|---|---|
|||983,344|
|||983,344|
The following holding is greater than 5% of the Portfolio:
VANGUARD FUNDS PLC S&P 500 UCITS ETF USD DIS - £84,164 (8.6%)
22
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **13 Debtors**
**2021 £** Prepayments 52,885 Other debtors 66,129 119,014
## **14 Cash and cash equivalents**
**2021 £** Cash at bank 590,503
## **15 Creditors: amounts falling due within one year**
|Trade creditors
Accruals|**2021**
**£**
152,528
268,069|
|---|---|
||420,597|
## **16 Funds**
|**Unrestricted funds**
**_General_**
General Fund
**Restricted funds**
Bone Marrow Transplant Fund
**Total funds**|**Incoming**
**resources**
**£**
1,631,947
15,228
1,647,175|**Resources**
**expended**
**£**
(422,429)
-
(422,429)|**Other**
**recognised**
**gains/(losses)**
**£**
47,518
-
47,518|**Balance at 31**
**December**
**2021**
**£**
1,257,036
15,228|
|---|---|---|---|---|
|||||1,272,264|
## **Unrestricted funds**
The specific purposes for which the funds are to be applied are as follows:
The balance on the Bone Marrow Transplant Unit fund of £15,228 which was set up for the provision of care and major items of equipment for the Bone Marrow Unit at the Newcastle General Hospital, now located at the Great North Children's Hospital, has been transferred as restricted funds to the charitable incorporated organisation, Children's Cancer North from unincorporated charity Children Cancer Fund on 30 April 2021.
23
## **Children's Cancer North**
## **Notes to the Financial Statements for the Year Ended 31 December 2021**
## **17 Analysis of net assets between funds**
|**17 Analysis of net assets between funds**||||
|---|---|---|---|
|Fixed asset investments
Current assets
Current liabilities
Total net assets|**Unrestricted**
**funds**
**General**
**£**
983,344
694,289
(420,597)
1,257,036|**Restricted**
**funds**
**£**
-
15,228
-
15,228|**Total funds**
**at 31**
**December**
**2021**
**£**
983,344
709,517
(420,597)|
||||1,272,264|
## **18 Related party transactions**
There were no related party transactions in the year.
During the year the entity received £799,878 from North of England Childrens Cancer Research Fund, being the closing funds all transferred on 30 April 2021 of £628,878 and a donation of £171,000 during April 2021.
As at 30 April 2021, Children Cancer Fund transferred all its closing funds of £342,374 to this entity.
The Trustees of the donor charities have (inpart) become the Trustees of this charity.
24