202:, NW Hearts Charity REPORT AND AUDITED ACCOUNTS FOR THE YEAR ENDED 31 MARCH 2023 Charity Number 1194189
NW Hearts Charity.. Report and Accounts 2022-2023 Contents Contents Trustees. Report and Financial Statements for the period to 31 March 2023 Objectives and Activities of Ihe Charity Structure, Governance and Management Financial Review 11Page
NW Hearts Charity.. Report and Accounts 2022-2023 Trustees, Report and Financial Statements for the year to 31 March 2023 Registered Charity Number 1194189 Principal Office: Suite 246 Peel House 30 The Downs Altrincham WA14 2PX Trustee5 at the date this report was approved Dr Niall Campbell {Chairl Susan Weighell {Treasurer} - appointed 1710512023 Felicity Lee Dr Sanjay Sastry Abigail Prabhakar Bankers CAF bank 21Page
NW Hearts Charity.. Report and Accounts 2022-2023 Objectives and Activities of the Charity Our purpose: Our aim is to lower the impact of heart disease for people living in Greater Manchester and the surrounding areas. We'll do this by supporting and promoting excellence in practi for heart disease prevention. treatment, facilities, research and education. This will improve the lived experience and level of care available to people with heart disease, their relatives, carers and staff. Activity in 2022-2023 This is our organisation's first full year of operation and we have made significant advances from an organisalional and practical perspective. Throughout the summer, the trustees worked to compile an annual plan which included the recruitment of the first employee and the development of the NW Hearts Charity brand. In November 2022, we successfully recruited an experienced charity manager. and she is now employed with us on an initial 6-monlh temporary contract as Operations Manager. The operations manager has worked wilh each of the trustees individually and collectively to draw up a longer-term strategy and has, in addition, helped the Board to deliver on its financial and operational responsibilities. Our operations manager has now taken over the responsibility of all the day-to-day operations of the charity and has progressed in areas including.. Policy Management Financial recording, management and reporting Branding Developing relationships wilh supporters Developing our website and social media As we look towards the next financial year, we feel energised and ready to Commen our grant-making programme. as well as to increase our influence and reach. 31Page
NW Hearts Charity.. Report and Accounts 2022-2023 Structure, Governance and Management The charity is a Charitable Incorporated Organisation (CIO) registered on 22 April 2021. Public benefit In shaping our objectives for the year and planning our activities. the Iruslees have considered the Charity Commission's guidance on public benefit (Charitable Pur osesl. As its main activity, the category that our work falls into is .6. The advancement of health or the saving of lives, Governance There were 4 trustees for the time period being audited. An annual review of the trustees, attendance, engagement and knowledge is carried out to ensure thal a broad range of skills, expertise and interest is available to guide and govern the charity. The charity has identified a skills gap within the financial field, and we are now looking to recruit a Treasurer in order lo complement our existing board. All potential trustees will meel with the operations manager before a proposal is made to the board. Potential trustees will be invited to part of a general board meeting before being nominated and accepted by vote. All trustees receive a structured induclion lo the organisation and this includes a copy of the Charity Commission's information booklet 'The Essential Trustee,. All trustees are encouraged to undergo development activilies Ihroughoul the year, which is recorded within a training and development log. which is reviewed annually. These activities may be completed within their own working environment, personal life or for other charities in which they are involved. Training and development activity may include private reading, meeling wilh 'experts' and a whole range of activities, in addition to any fomal events. sessions and activities. At present, all trustees are engaged in all aspecls of the running of the charity. As the charity grows and the board size increases. it is envisaged that sub-committee groups may be formed. Key Management The board has delegated significant authority to the operations manager, who has the scope and responsibility for the planning, directing and conlrolling of the activities of the charity on a day-to-day basis. Remuneration Our trustees give of their time freely and no trustee received remuneration in the year. The pay of the staff is reviewed annually. In view of the nature of the charity, the trustees 41Page
NW Hearts Charity.. Report and Accounts 2022-2023 benchmark againsi pay levels in other charilies of a similar size. We do nol have any employees with a salary exedIng £60,000 per annum. 51Page
NW Hearts Charity.. Report and Accounts 2022-2023 Financial Review We started the financial year as a new entity, having developed from Wythenshawe Cardiology Departmenl Research Fund {WCDRF}. This charity (Charity No. 8017601 remains a feeder charity for us. In March, we transferred the financial assets from WCDRF, under an Asset Transfer Agreement115 July 20211 to the charily's CAF bank account, leaving £1,000 remaining in the WCDRF Barclays account. We are in a strong financial position and our balance will enable us to grow to become a sustainable organisation over the medium-term. Our monthly operational costs have risen considerably with monthly telephone invoices, salary and pension costs and other agreed and appropriate support services. The board acknowledges that the charity will focus on fundraising in order to continue lo fund beneficial projects in the medium to long-temi. Reserves Policy The trustees recognise that there are financial risks associated with the charity and have, therefore, set a reserves policy to maintain the commitments of the charity, including any promised grant payments, for a period of up to 6 months. This equates to £20,000. The board will manage expenditure to ensure that reserves do not drop below this level. Investment Policy NW Hearts Charity does not currently hold any free reseNes in investments, however funds which are surplus to that required for day-to-day expenditure may be held in a different savings account. Risk Management The charity upholds a risk policy, as a formal acknowledgement that the trustee board is committed to maintaining a strong risk management frarnework. The policy outlines the risk management strategy, which comprises a risk identification document, evidence of mitigation and a protocol for board discussion of residual risk. This document is reviewed annually. 61Page
NW Hearts Charity.. Report and Accounts 2022-2023 Statement of Trustees, responsibilities In the attached accounts set out on pages 14 to 19, the Trustees have prepared financial statements for the year to 31 March 2023. In preparing such statements the Trustees are required to.. select suilable accounting policies and apply them consistently- make judgements and estimates that are reasonable and prudent., state whether applicable accounting standards and statements of recommended practice have been followed. subject to any departures disclosed and explained in the financial slatements., and prepare the financial stalements on the going conrn basis unless it is inappropriate to presume the Charity will continue in its operational existence. The Trustees are responsible for keeping proper accounting records which disclose with reasonable accuracy al the time the financial position of the Charity and to enable them to ensure that the financial statements comply with the Charities Act 2011. They are also responsible for safeguarding ihe assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The report was approved by the trustees on 5 December 2023 and signed on its behalf by.. Niall Campbell Chair Susan Weighell Treasurer 71Page
NW Hearts Charity.. Report and Accounts 2022-2023 Independent Auditor's Report to the Members of NW Hearts Charity CIO Opinion We have audited the financial statemenls of NW Hearts Charity (the 'charity') for the year ended 31 March 2023 which comprise the statement of financial activities {including income and expenditure account), balan sheet, and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounling Standards, including FRS 102 The Financial Reporting Stsndard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion the financial statements.. give a true and fair view of the state of the charity's affairs as at 31 March 2023 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- have been prepared in accordance with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance wilh International Standards on Auditing {UK) IISAS IUK}l and applicable law. Our responsibilities under those standards are further described in the auditorfs 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 lo our audil 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 thal the audit evidence we have obtained is sufficienl and appropriale to provide a basis for our opinion. Conclusions relating to going concern In audiling the financial statemenls. we have concluded Ihat Ihe trustees, use of Ihe going concern basis of accounting in the preparation of the financial statements is appropriale. Based on the work we have perfomed, we have not identified any material uncertainlies relating to events or conditions thal, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least Iwelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. 81Page
NW Hearts Charity.. Report and Accounts 2022-2023 Independent Auditor's Report to the Members of NW Hearts Charity CIO Other information The other informalion comprises the information included in the annual report, other than the financial statements and our auditorfs report thereon. The trustees are responsible for the other information. Our opinion on Ihe financial slatements does not cover the other information and, except to the extent othetwise 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 othenNise 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 perfomied, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Opinions on other matters prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the infomiation given in Ihe trustees, report for the financial year for which the financial statements are prepared is consistent with the financial statements., and 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 the knowledge and understanding of the charity and its environment obtained in the course of the audit, we have not identified material misstatements in the trustees, report. We have nothing io report in respect of the following malters in relation to which Ihe Companies Acl 2006 requires us to report to you if, in our opinion.. adequate accounting records have not been kept, or returns adequate for our audil 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 rtain disclosures of trustees, remuneration specified by law are not made., or we have not received all the information and explanations we require for our audil. 91Page
NW Hearts Charity.. Report and Accounts 2022-2023 Independent Auditor's Report to the Members of NW Hearts Charity CIO Responsibilities of trustees As explained more fully in the trustees, responsibilities statement, the trustees (who are also the direclors for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity's ability lo continue as a going concern, disclosing, as applicable, matters related to going concern and using the going conrn basis of accounting unless the trustees either intend to liquidate the charity or to cease operations, or have no realistic alternalive but to do so. Auditor's responsibilities for the audit of the financial statements Our responsibilities 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 auditorfs 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 responsibililies. outlined above. to detect malerial misslatemenls in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularilies, including fraud. is detailed below. Extent to which the audit was considered capable of detecting irregularities, includingfraud We identity and assess the risks of malerial misslalement of the financial slalemenls, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion. 10IPage
NW Hearts Charity.. Report and Accounts 2022-2023 Independent Auditor's Report to the Members of NW Hearts Charity CIO Identifying and assessing potential risks related to irregularities In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following= the nature of the sector, control environment and the organisation's performan., the organisation's own assessment of the risks that irregularities may occur either as a result of fraud or error., the results of our enquiries of management and Trustees of their own identification and assessment of the risks of irregularilies- any matters we identified having obtained and reviewed the organisation's documentation of their policies and procedures relating to.. identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance., detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud., the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations., and the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following The recognition of revenue and categorisation as restricted or unrestricted. In common with all audits under ISAS IUKI. we are also required to perform specific procedures to respond lo the risk of managemenl over-ride. We also obtained an understanding of the legal and regulatory framework that the organisation operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in Ihe financial slatemenls. The key laws and regulations we considered in this context included the fundraising regulations. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statemenls but compliance with which may be fundamental to the company's ability lo operate or to avoid a material penalty. These included Data Protection Regulations. 11 IPage
NW Hearts Charity.. Report and Accounts 2022-2023 Independent Auditor's Report to the Members of NW Hearts Charity CIO Audit response to risks identified As a result of performing the above, we identified the recognition of revenue as the key audit matter relaled lo the potential risk of fraud. In addition to the above, our procedures to respond to risks identified included the following: reviewing the financial ststement disclosures and testing lo supporting documentation lo assess compliance with relevant laws and regulations described above as having a direct effect on the financial statements., enquiring of management and the Trustees concerning aclual and potenlial litigation and claims., performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud., reading minutes of meetings of those charged with governance and reviewing correspondence with relevant authorities where matters identified were significant,. and in addressing the risk of fraud through management over-ride of controls, testing the appropriateness of joumal entries and other adjustments,. assessing whether Ihe judgements made in making accounling estimates are indicative of a potential bias,. and evalualing the rationale of any significant transactions thal are unusual or outside the normal course of business. We also communicated relevant identified laws and regulations and potential fraud risks to all engagement leam members and remained alert to any indications offraud or non-complian with laws and regulations throughout the audit. A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at- www.frc.org.uklauditorsresponsibilities. This description forms part of our auditor's report. 121Page
NW Hearts Charity: Report and Accounts 2022-2023
Other matters on which we are required to report
The comparatives in the financial statements have not been subject to audit, as this is the first year in which the company has been audited. Our opinion is not modified in this respect.
Use of our report
This report is made solely to the charity's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charity's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed.
Jamielee Johnston (Senior Statutory Auditor)
For and on behalf of Mitchell Charlesworth (Audit) Limited Chartered accountants & statutory auditor 3rd Floor 44 Peter Street Manchester M2 5GP
Date 15/12/2023
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NW He8ns Charity.. Report and AcnL8 2022-2023 Accounts for the year ending 3110312023 statement of Financial Activities for the year ended 3110312023 TOt41fvn¢$ 2023 2022 IncomE ènd ehdoVrtnEhts from.. Donabons and legacle5 1.069.384 1.9.384 1.000 1,000 Incomefrom Investments Total Income 1.069.498 1.9.498 1.000 1,WO Expanditur8 on.. 75 75 11.604 Charitsbje actiwbes 11.6 Totsl eXPEnditufE 11.679 Neiincome 1.057.619 1.057.619 1.000 Transfers beiw&en fu$ 100.wo Net movement In funds 957.619 100.000 1.057.619 1.WO Tot81 funds brought forNèrd 1.0 1.0 TDtBI funds rAnled forward 958.619 100.000 1.058.619 1.000 Pa8e 14
NW Hearts Charity.. Report and Accounts 2022-2023 Accounts for the year ending 3110312023 Balance Sheet as at 3110312023 Noles 2023 2022 Current Assets Debtors Cash at bank and in hand 673 1,060,577 1,061,250 1,0 I,0( Current Liabilitie5 Creditors and accruals 12.6311 Net current assets 1,058,619 1,0 Net assets 1,058,619 1,0 The fund$ of the ¢harlty Designated funds l(rt),000 Unrestricted funds 958,619 1,0 Total charity funds 1,058,619 I,0( Approved by the trustees on 5 December 2023 and signed on its behaW by Chair Trustee Charity number". 1194189 Page 15
NW Hearts Charity.. Report and Accounts 2022-2023 Notes to the accounts for the year ending 3110312023 11 Accountlng pollcles a} Basis ofpreparation The financial 5talemenls have been prepared in accordance with Accounting 8nd R8POrting by Charities.. Ststement of Recommend8d Practice applicable tri charities preparing their accounts in aOrdanCe with the Financial Reporting Stsndard applicable in the UK and Republic of Ireland issued in October 2019, the Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland IFRS 1021, the Charities Act 2011, and UK Generally Accepted Accounting Practice. NW H88rts Charity meets th8 d8finition of a public b8n8fit entity und8r FRS 102. Assets and liabilities are initially recognised at historical cost or transa¢tion value unless olhetwise ststed in the relevant acwunting policy notelsl. Th8 financial statem8nts ar8 prepar8d on a going conc8rn b8sis. There ar8 no material unc8rt8inties in r8SPeCt of the charity's abililty lo continue as a gouing ¢on¢ern for the foreseeable futu. based on latest Strat1¢ plans and financial budgets. b} Don8tion$ 8ndgranls Donations, grants other forms of voluntary income are recognised as incoming $oUr$ when receivable. c) Donat8dgoods and s8rvic8s Intangible income which comprised donated goods and services, is included at a vsluation which is an estimate of the financial cost bome by the donor where such cost is quantifiable and measurable No income is renised Whe the is no financial cost bome by the third party. d? Expenditu and irrecoverable VA T Expenditure is recognised OTr there is a legal or wnstructive obligation to tnake a payment lo a third party, it is probable that Settlement will b8 requir8d and the amount of th8 obligation can b8 measured reliably. Irr8coverable VAT is chary8d as a cost against the activity for which the expenditure was incurred. e) FundAccountlng Funds held by the Foundation Can be one of". il Unrestricted general funds- which can be used in accordance with the Foundation's objects at the discretion of the Trustees., ill Designated funds- which are funds set aside by the Trustees out of unrestricted general funds for specific future purposes or projects., or iiil Restricted funds- which are funds that can only be used for particular restricted purposes within the objects of the Foundation. Restrictions arise when spectfied by the donor or when funds are raised for particular restricted purposes. Page 16
NW Hearts Charity.. Report and Accounts 2022-2023 Notes to the accounts for the year ending 3110312023 21 Donatlons and legacles Unresiritted funds Resiricttd PriorPeriod funds Tolal d5 funds Total funds 2023 2022 Donations Legacies 668,384 401,000 668,384 401,000 1,000 i.o(NJ Total 1,069,384 1,069,384 1,000 1.000 31 Expenditure on raising fund$ Unrestrkted Restrlcled PrlorPwlod fvnds funds Total fujjds rotslfunds 2023 2022 Fundrdi5ing costs Charges for online donations 68 68 Total 75 75 Page 17
NW Hearts Charity.. Report and Accounts 2022-2023 Notes to the accounts for the year ending 3110312023 41 Expenditure on charitable activities Unrnstrlcled funds Restrfcted lunds PtlorP8rt0(I rotslfunds 2022 Total lunds 2023 Website Sl8ff costs Legacy advisor Benk fees Insurance Audit fees Printing & ststionery Payroll proces$in9 fè6s Telephone and internet S40 540 8,040 203 72 329 2.400 86 8,040 203 72 329 2,400 86 98 36 98 36 Total 11,804 11,804 51 Ixher Debtors 2023 2022 Outsourced payroll 673 Total 673 61 Creditors.. amounts falling due within one year 2023 2022 Tr8d8 creditors A¢¢ruals Pension due 59 2,400 172 Total 2,631 Page 18
NW Hearts Charity.. Report and Accounts 2022-2023 Notes to the accounts for the year ending 3110312023 71 Statement of funds Brought forbvard Apr-22 Resource5 Transfer expended behveen funds Carried fonvard Mar-23 sources Unre$trietÈd funds Unre5thct8d funds 1,000 1,069,498 111,8791 iioo,0001 958,619 Designated fvnds Research projects IcK),000 IcK),O(rt) Total 1,000 1,069,498 111,8791 1,058,619 The charlty plans to give grants to projects In Ilne wSth thelr alms and has deslgnated £IOO.000 for thls purpose over the next financial year. Bmughl fonvard Apr-21 In¢omlDg resOu&S Resou0$ TnSfer expended tsehv8en funds Carrled fonv41 MaTr23 Restricted funds Restricted funds Unrestricted funds Unreslrided funds I,wo 1,0 Deslgnated funds Research projects Total i.wo 1,0 81 Trust88s' r&mun8ration Trustees received no remuneration or benefits in this period. Out of pocket travel expenses have been reimbursed Page 19