## ANNUAL REPORT and UNAUDITED ACCOUNTS 2022/23 Worthing Animal Clinic Anthony House 30/32 Newland Road Worthing, BN11 1JR Telephone: 01903 202248 Fax: 01903 537759 e-mail: info@worthinganimal.co.uk website: www.worthinganimal.co.uk ## **Worthing Animal Clinic Annual Report 2022/23 Contents** - **1 Contents** - **2 Reference and Administrative Information** - **3 Chairman’s Report** - **4 – 6 Trustees’ Report** - **7 – 8 Veterinary Surgeon’s Report** - **9 Treasurer’s Report** - **10 Trustees’ Responsibilities for the Accounts 11 Independent Examiner’s Report** - **12 Statement of Financial Activities** - **13 Balance Sheet** - **14 – 19 Notes to the Accounts** Annual Report and Unaudited Accounts 2022/23 Page 1 ## **Worthing Animal Clinic Annual Report 2022/23 Reference and Administrative Information** STATUS Worthing Animal Clinic is an unincorporated charitable association, Registered Charity Number 211467 CLINIC AND PRINCIPAL OFFICE Anthony House, 30-32 Newland Road, Worthing, West Sussex, BN11 1JR Tel 01903 202248 Fax 01903 537759 Email: info@worthinganimal.co.uk Website: www.worthinganimal.co.uk PATRON – Hon Alderman Nick John TRUSTEES – CHAIRMAN & TREASURER NEWSLETTER EDITOR Geoff Parrish Karol Jeffery STAFF – VETERINARY SURGEON LOCUM VETERINARY NURSE David Thomas Noleen Costello ADMINISTRATION RECEPTION Pam Stringer Sue Blunden BANKERS CAF Bank Limited, 25 Kings Hill Avenue, West Malling, ME19 4JQ INDEPENDENT EXAMINER Renate L. Cloake, Chartered Certified Accountant, 70 South Street, Lancing, BN15 8AJ INVESTMENT MANAGERS CCLA Investment Management Ltd Cazenove Capital Management Annual Report and Unaudited Accounts 2022/23 Page 2 ## **Worthing Animal Clinic Annual Report 2022/23 Chairman’s Report** Looking back at last year’s report I see that whilst I was hoping that the impact of COVID would be less, inflationary pressures were likely to produce alternative problems. If only predictions were always that easy. Although our client numbers rose, they are still not back where they used to be but whether this is due to continuing COVID fears or inflationary pressures is anyone’s guess. One possible ongoing impact of the ‘COVID working from home’ attitude does however seem to be that we have an increased number of supplier problems that not only arise but then take a long time to put right – or perhaps it is just an example of deteriorating efficiency. We have obviously encountered our own inflationary pressures, but the team are to be congratulated on keeping our costs under control at all times and, so far, keeping our heads above water. Donations do not seem to have been adversely impacted and, quite probably, our members recognising the potential problems have continued to keep their financial support coming in. I am sure that, after my comments on legacies in my last two reports, members will be expecting an update on the situation. In the event we did eventually receive a payment from the estate of one of our long-standing members who had been both client and supporter over the years. Following receipt of the payment I did raise an official complaint with the solicitors who although being willing to “confirm that my complaint is partially upheld” nevertheless saw no reason to do anything other than suggest I should go to the Legal Ombudsman. This has been done but the wheels will grind very slowly as the Legal Ombudsman is “currently dealing with a high volume of enquiries”. I wonder why! Interesting discussions took place with our insurance brokers this year concerning the fact that our address is shown as at High Risk from flooding due to surface water. No problem arises from rivers or the sea just excessive rain. Although there have been no issues for as long as anyone can remember we were obliged to produce a full risk assessment for the insurer. Having done this, we were then instructed to also produce a full contingency plan for how we would deal with the consequences of this flooding. It would appear that our submissions were sufficiently detailed to satisfy the insurer, albeit that we now have an increased excess of £1000 applying to any damage arising from storm or flood. Once again, we are incredibly proud of the efforts made by all our staff (and locums) over the year and many thanks are due to all at the clinic. ||Geoff Parrish
Chairman|Date| |---|---|---| Annual Report and Unaudited Accounts 2022/23 Page 3 ## **Worthing Animal Clinic Annual Report 2022/23 Trustees’ Report** ## CLINIC OBJECTIVES The principal objective of the Clinic is to offer subsidised veterinary treatment and care to the pets of those in receipt of means-tested benefits (Housing Benefit/local Housing Allowance, Council Tax Reduction, or Pension Credit) and also to those in receipt of a State Pension only. The rules of the Charity also allow for the provision of subsidised veterinary care to other animal charities within the prescribed post code areas. ## ORGANISATION The Trustees currently meet at two-monthly intervals via Zoom to consider the activities of the Clinic and to monitor the financial progress made during the time since the previous meeting. Members of staff and the bookkeeper are also invited to attend these meetings. The daily administration and professional activities of the Clinic are under the control of the Veterinary Surgeon. ## POLICY The policies of the Clinic are driven by its objectives. The facilities of the Clinic are available to all those who fall within the stated criteria. Furthermore, from time to time, the Veterinary Surgeon will use his/her discretion in providing free treatment to animals in exceptional cases. ## STATUS AND ADMINISTRATION Worthing Animal Clinic is an unincorporated charitable association, Registered Charity number 211467. It is governed by the Rules of the Clinic, last amended in October 2007 and, being registered with the Charities Commission, is required to comply with the Charities Act 2011. Its principal address is Anthony House, 30/32 Newland Road, Worthing, West Sussex, BN11 1JR. The Trustees comprise a committee of up to eight members of the charity, elected annually. The committee appoints a Chairman and such other officers as it deems necessary. ## FINANCIAL RESULTS The accounts comply with current statutory requirements and with the requirements of the Clinic’s governing rules. Annual Report and Unaudited Accounts 2022/23 Page 4 ## PUBLIC BENEFIT The Trustees have considered the Charity Commission’s guidance on public benefit and are satisfied that they are meeting the requirements. Specifically, the aim of the charity is to relieve suffering and distress of animals by the provision of a subsidised veterinary service to the pets of those of limited means in the Worthing, Lancing and Littlehampton area which is not covered by any other subsidised veterinary service. In addition, there are further funds available to provide assistance beyond the normal subsidy. ## REVIEW OF THE CLINIC’S YEAR In the year ending December 2022 the income of the Clinic amounted to £160,268 (2021 = £179,584) being the combined total of professional fees, fund-raising, and investment income. Outgoings amounted to £183,539 (2021 = £181,761), resulting in a net deficit for the year of £23,271. At the Clinic, during the course of the year, 1601 animals attended consultations and 222 were operated on. The corresponding figures for 2021 were 1468 consultations and 205 operations. Trustees serving on the board during the year were as follows: Geoff Parrish Karol Jeffery In the light of their small numbers and lack of volunteers, the Trustees have again not organised or attended any fundraising functions during the year although we are grateful that a number of our members took it upon themselves to raise funds in our name at functions and by other means. ## RECRUITMENT OF TRUSTEES Recruitment of Trustees should be an on-going process as the Charity has never had what could be termed a full complement of active Trustees. Currently the Trustees are not actively seeking potential new members as there had been little apparent interest shown for some time. If suitable candidates do appear they will be requested to submit a CV and be interviewed. Initially they would be offered a co-opted position on the Trustee board with a view to standing for election as a full Trustee at the next AGM. Training is offered in respect of the work of the Clinic and the duties and responsibilities of Trustees. In light of the very small number of current Trustees, however, any new recruit is expected to be already proficient in the area of their intended contribution to the Board. Annual Report and Unaudited Accounts 2022/23 Page 5 ## RESERVES POLICY A concise and realistic Reserves Policy has been devised and the principles therein are endorsed by the Trustees. The Reserves Policy was reviewed at the Trustee meeting held on 7 June 2022 and, apart from updating some of the figures in the policy statement, it was agreed that no other changes were required. During the year we have maintained the reserves within the required range of between 2 and 3 times the total annual operating expenditure. The next review is at the June 2023 trustee meeting and the current level of reserves will be looked at and amended if thought necessary at that time. ## INVESTMENT POLICY A concise and conservative Investment Policy has been devised and the principles therein are endorsed by the Trustees. Environmental, social, and governance issues are integrated into the overall investment policies of each of _._ our investment fund managers The Investment Policy was reviewed at the May 2021 Trustee meeting held on 7 June 2022, but no changes were felt necessary. The next review will be held at the June 2023 trustee meeting. ## EXPENSES POLICY A straightforward Expenses Policy has been devised and the principles therein are endorsed by the Trustees. The policy follows the guidance of the Charities Commission with regard to trustee expenses and payments. The Expenses Policy had been reviewed at the December 2021 Trustee meeting, but no changes had been felt necessary. The annual review will normally be held at the February Trustee meeting and, accordingly, the Expenses Policy was agreed with no changes at the Trustee meeting held on 9 February 2023. ## RISK MANAGEMENT The Trustees continue to keep the Clinic’s activities under review and maintain a full range of insurances to mitigate exposure to loss. ## SERIOUS INCIDENTS The Trustees have satisfied themselves that the charity did not experience any serious incidents or other matters that should have been brought to the attention of the Charity Commission during the course of the year. ## OBJECTIVES FOR 2023 The principal objective for the coming year is to ensure a continuation of the Clinic’s work for the foreseeable future. Geoff Parrish Date Chairman Annual Report and Unaudited Accounts 2022/23 Page 6 ## **Worthing Animal Clinic Annual Report 2022/23 Veterinary Surgeon’s Report** The events of the last few years, which everyone knows so well, namely Brexit, Covid pandemic and high inflation have had wide-ranging effects on the veterinary industry, and the clinic has not been immune to these. They include:- - A UK shortage of qualified veterinary staff, with consequent recruitment problems and difficulties in finding adequate locum cover for holidays. - As a consequence, a substantial increase in locum fees. - Supply chain problems affecting many veterinary medicines and supplies, especially vaccines, necessitating delays in treatment whilst sourcing alternatives, sometimes at higher cost. - The acquisition of large numbers of pets during lock-down periods, often by inexperienced or unprepared owners, with now a consequent population of untrained, anxious (aggressive?) and poorly socialized dogs and stressed cats and rabbits subjected to over-crowding and inadequate environments. - A huge increase in importation of pets to ‘meet demand’ with concerns over previous history and imported exotic disease. - An increase in the cost of living leading to animals previously acquired in haste now being abandoned en masse. Cats Protection have recently labelled this phenomenon ‘an animal welfare crisis’, and the same organization have acquired evidence of lower spending on routine treatments, preventative medicine and pet insurance and owners delaying or pausing essential treatment due to cost. This latter point has certainly been borne out by our experience at the clinic where numbers of routine treatments and check-ups have not regained preCovid levels, and as ever, veterinary attention being sought later than appropriate. The Dog’s Trust is currently stating an intention to lobby parliament for a ‘VAT holiday’ on veterinary treatments. Not a bad idea, but once again a short-term crutch for a more persistent problem. The conversation we ought to be having, perhaps, is about the value of animals and the true longterm level of commitment necessary when owning one. The subsidised service provided by Worthing Animal Clinic remains very relevant in the current environment of course, and we continue to receive multiple enquiries from prospective new clients every working day. Annual Report and Unaudited Accounts 2022/23 Page 7 The clinic continues to do vital work and a recent case illustrates this. ‘Penny’ a 12-year-old cat presented to me with a very painful and weeping right eye. It was immediately apparent to me that the eye was in a seriously bad way, with the whole cornea opaque rather than clear and coated with an exudate. I suspected that this had been caused either by something caustic entering the eye or by acute infection. Unfortunately, after several days intensive treatment with antibiotics and analgesics no improvement was apparent, so the decision was made to remove the painful eye by a procedure known as enucleation. Pictures are here, so for the squeamish, look away now*. Removal of an eye is relatively straight-forward requiring careful dissection. The challenge is in ligating the main blood supply which lies very deep in the socket, also in filling the space left behind. I use a meshwork of fat, muscle and suture material in several layers which seems to work well, and the cosmetic result is often surprisingly good. Penny, like the majority of our patients, recovered quickly and was eating within 1 hour of surgery – a sure sign of a pain-free cat! David Thomas BVetMed MRCVS Date Veterinary Surgeon - [*Photographs of the above operation may be found in our Spring Newsletter – a copy of which is sent to all our members and is also available from the clinic] Annual Report and Unaudited Accounts 2022/23 Page 8 ## **Worthing Animal Clinic Annual Report 2022/23 Treasurer’s Report** At this time last year, as a result of the delay in payment of legacies due to us, I reflected on both the fact that we had to release assets in 2021 and, were quite likely to have the same need in 2022. In the event tight control of expenditure did avoid the need to release assets until after the year end and, with notification of a couple of further legacies received towards the end of 2022 we may be able to avoid any further release. Over the year we did see a reduction in the value of our investments anyway due to stock market fluctuations. This year’s total income figure stands at £160,268 or £145,990 excluding legacies. In 2021 it was £179,584 or £133,945 excluding legacies. Similarly, total expenditure was £183,539 compared with £181,761 in 2021. Overall, this year’s overall deficit was thus just £23,271 compared with the £2,177 deficit that we had in the previous year. These figures clearly show how much impact different levels of legacy income have on the charity finances. We had budgeted for a possible deficit of up to £40,000 so in the event the situation was not as bad as we had feared. The reduction in stock market values did damage the total asset valuation and total charity funds have fallen from £558,734 at the end of 2021 to £493,456 at the end of 2022. I reflected last year on the fact that our subscriptions and donations continue at a reasonable level even without any specific fund-raising activities. 2022 followed a similar pattern and we continue to see regular receipts of funds from online funding methods (Easyfundraising, AmazonSmile, and Paypal Giving). Unfortunately, of these AmazonSmile, like Virgin Money last year, is about to cease operations. There is little of note within this year’s expenditure other than to mention that we did build up a large VAT deficit due to the system HMRC use to calculate what we should pay in advance. The accounts have obviously taken this into account. What we have not been able to take into account is what we think is a potential payment due to one of our suppliers who whether affected by “working from home” or some other reason does seem to, for ever, be late in providing invoices. When our budget figures were produced at the end of 2022, we were anticipating a significant deficit for 2023 of the order of perhaps £40,000 similar to that expected for 2022. Hopefully, however, as we were subsequently advised of two legacies, we will have the same experience as in 2022 and the deficit will be much smaller. To what extent higher inflation will impact all aspects of the business whether number of clients or the overhead costs is anyone’s guess, so I make no predictions. Date Geoff Parrish Treasurer Annual Report and Unaudited Accounts 2022/23 Page 9 **Worthing Animal Clinic Trustees’ Responsibilities in Relation to the Accounts** Charity law requires the Trustees to prepare financial statements for each financial year that give a true and fair view of the charity’s financial position at the end of the financial year and of its financial activities during the year. In doing so the Trustees are required to: - select suitable accounting policies and then apply them consistently; - observe the methods and principles in the applicable 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; - 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 which disclose with reasonable accuracy the financial position of the charity at any time, and which enable them to ensure that the financial statements comply with the Charities Act 2011 and the applicable Charities (Accounts and Reports) Regulations; - safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Annual Report and Unaudited Accounts 2022/23 Page 10 Independent Exami￿5 Report to the Tn￿tee$ of Worthins Aninul Clinic for the year ended 31 December 2022 I reF￿rt on the aCc(￿￿ts of Worthing Animal Cljnic for the year ended 31 December 2022. which are set [￿t on pages 12 to 19. This reF￿rt is ll￿de soiety to the chan"Ws trustees. as a t*xly. in accorda￿ with provision 145 of the Charitie5 Act 2011. My work ha5 been undertaken 50 that I might state to the charity5 trustee5 those matters l required to state to theni in an indeFEndent examinee5 rewt and for no other purpose. To the fullest extent wtted by ]aw. I do not accept or assume won5ibility to anyone other than the clwity and the charitys tTUStees as a body. for my Work. for this reE￿ OT for the opirnons I have forn)ed. Respective responsibilities of trustees and exami As descril￿ in the statell￿t of TTustee5' Re5pns1b￿ltie5, the cl￿1￿5 t￿￿tee5 are rwible for the preparation of the accounts. The d)arityrfs trustees consider that an audit is rLOt required for this year {under provision 14411) of the Cknrities Act 2011 (the 2011 Act}) and that an indeF*ndent exaMI￿tion is It is my resp)ftsibility to.. examine the aecounts under provision 145 of the 2011 Aetr. . follom, the Pr￿edUleS down in the General Dwections ￿Ven by Qwity Comrri￿ under provision 15215} ofj the 2011 Art,. and State Mthether Particu￿ ll￿tter5 have corne to my attentio Basis of thdependent examart&s report My examination wa5 carried out in accordance with the General Direction5 ￿Ven by the Charity COMM￿51(￿n. An eXami￿tion indudes a reviem, of the accounting re¢or(ts kept by the charity and a Compari￿ of the accounts presented with those records. It also includes consideration of any unusuat items or dlsdosu￿S in the accounts, and seeking expLAnati(ms from you as t￿￿tee$ concerning any such n)atters. The pr(xedures undertkn do not provide all the evidence that would be required in an authr and cwuently no owi)n 15 ￿Ven a5 to whether the account5 present a 'trne and fair view and the report is limited to those matters set out in the staten￿t ￿lOw. tndependent exati)ine