www.rcr.ac.uk RCR The Royal College of Radickngists Trustees, report and financial statements forthe year ended 31 December2022 August 2023 Contents 1 Trustees, report Reference and administrative details of the College, its trustees and admsew lor the year ended 31 December 2022 StrLJCture, governance and management Objects and activities Strategic report Financial report Financi21 review 16 Responsibililies of the trustees 2 Independent auditor's report to the Iklembers of The Royal College of Radiologists 3 Consolidated statement ol financial activities 19 22 25 4 Consolidated and charity balance sheets as at 31 December 2022 26 5 Consolidated statement ol cash flows as at 30 December 2022 28 6 Notes to the financial stalements fortheyear ended 31 December2022 29 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 Reference and administrative details of the College, its trustees and advisers for theyear ended 31 December2022 Trustees, report Officers On 31 Dec 2022 To31 August2022 President Dr Katharine Halliday Dr jeanette Dickson Medical Director, Membershipand Business Drjulian Elford Drlulian Ellord Vice-Presidents DrWH R8m8den, clinical radiology DrTW RoqLJes, clinical oncology Dr WH Ramsden, clinical radiology Dr H Tharmalingam, clinical oncology Medical Director, Education and Training Dr R Cooper, clinical oncology Dr Priya SLJresh, clinical radiology Dr R Cooper, clinical oncology Dr Stephen Harden, clinical radiolo Medical Director, Professional Practice Dr Raman Uberoi, clinical radiology Dr NickyThorp, clinical oncology Dr Raman Uberoi, clinical radiology Dr NickyThorp, clinical oncology Charity number 211540 Registered office and address 63 Lincoln's Inn Fields LondonWC2A3JW Key management roles O Reichardt, Chief Executive TE Vanburen, Execlrtive Director and Deputy Chief Executive DA Boih8, Executr4/e Director G Malley, Executive Director Independentauditor H8ysmacintyre LLP 10 QLJeen Street Place, London EC4R 1 AG Bankers National Westminsler Bank PO Box 2021 10 Marylebone High St￿e1, LondonW1A 1 FH Solicitors Shoosmiths Witan Gate House 500-600 Witan Gate West, Milton Keynes MK9 1 SH Investment managers Sarasiri & Partners LLP luxon House 100 St Paul's Churchyard, London Ec41￿ 8BU nww.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 The trustees presenttheir report and the audited financial statements forthe period ended 31 December 2022 lor the RCR group, consisting ol a lull year lor The Royal College of Radiologists IRCRI and the first 11 months of its wholly owned subsidiary, RCR Education Ltd. Reference and administrative inform8tion set out on pages 4-8 forms part ol thi8 report. The financial statements complywith current statutory requirements. the Royal Charter and By-laws ofthe RCR and the Charities Statement of Recommended Practice (Charities SORPI applicable to charities preparing group accounts in accordance with Financi81 Reporting Standard IFRSI 102. Structure, governance and management The Council 18 the governing bodyofthe RCR made up of 18 trustees and fourco-opted members. The trLJslee8 of the RCR are the elected Off icer8 (President, Vice-Pre8idents, Medical Director Education and Training, and Medical Director Professional Pr8¢ticel and the appointed Medical Director Membership and BLJsiness plLJS five elected UK Fellows from each faculty. Eligibility requirements and electoral arrangementslor all elected positions are sel oul in the By-laws and Regulations. The four co-opted members ofcouncil include the respective chairs of the RCR'S junior Radiologists, Forum and Oncology Registrars, Forum and iwo lay members. The lay members are appointed following adverlisemenl and an interview process and seNe on Council and on each faculty board forthree years. Council members are required to complete or update iheir entry in a mandatory register of interests. Council is responsible forihe governance of the RCR consistent with the objects defined in the Royal Charter. Council sets the slrategyfor the RCR and delegates the decisions on and implementation of specialty-specific policyto the appropriate faculty. Each faculty 18 lèd by a team of Officers headed by a Vice-President and Is charged under the constitution with developing its Specialty. The faculties are re8pon8ible to Council lor man8oing the affai￿ of Iheirfaculiy through the boards and committees. Trustees 8 Officers SCR Fellows SCO Fellows Chalr JRF Chalr 2 Lav appointees Council nww.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 The RCR consulted with members on changes to the structure ofthe trustee board and creation of an oversight board ol members. The proposals were considered at an extraordinary general meeting in April 2023 and approved bythe membership on 10 f4lay. His Majesty King Charle8 approved the Orders in Council on 14 lune 2023, to be effective from 1 September 2023. From 1 September 2023 we will create a smallertrustee board (the Board) consisting ol the Officers and up to four lay trustee8 with specialist skills and experience to ensure the Iruslees are enabled to lead the organisation. This will replace the existing Council and Iruslee board. We will recruit up to four trustees in 2023 inclLJding the Treasurer, a new post with specific experience in financial m*ters. The Board will retain equal representation ol both faculties and will have ultimate responsibility for the activities and outcomes ol the College. The College will retain 8 board ol members to scrutinise and constructively challenge the tru8tee board. Thi8 board of memberg will be called Council. Induction and training Trustees are inducted with a combination ol training and briefings on the duties of trustees and documentation specifitt lo the RCR and also from the Charity Commission leg The Essentl81 Trustee.. whatyou need lo know ICC311', guidance on charitable purposes and public benefit", 8 copy of the RCR Charter, ￿-laWS and Regulations., the most recent annual review,. information on ihe RCR slructures,. the travel and expenses policy,. the RCR strategic priorities,. and the Compact, the RCR'S statement ol behavioural valLJes. In addition, the Officers have a tailored induction programme before the start ol the College year and access to leadership training and coaching programmes throughoul their term of off ice. We revise this programme of induction and iraining from time to time to ensure trustees are properlysupported in fulfilling their duties and kept informed on new requirements and standards. Board structure Fixmd Structu￿8 Council Faculty ICO & CRI Finance 4nd Investment Committe I Professional Support | and Standards Board SpecialtyTraining Board /Athsc¥y groups Senior LeadÈ15hip Te3m Working Partie5 Other Cornmittee5 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 Each faculty is led bya faculty board to which reports a specialtytraining board and a professional support and standards board. Other committees and working groups are used from time tolime. The Finance and Investment Committee IFAICI is responsible on behalf of Council for ensuring that resource and business planning and deliveryfor the RCR supports and enables achievement of the RCR strategic priorities. The FAIC is led bythe Medical Director, Membership and Business and inclLJdes two18y members with expertise in business planning, risk management and performance. From 1 September 2023 the FAIC will be led bytheTreasurer. Senior leadership teams comprising the Off icers of each faculty and senior staff provide operational leadership ofthe RCR. These three teams are focused on clinical oncology 8etivitie8. clinic81 radiology activitie8 and RCR-wide activities. The staff of the RCR, headed bythe chief executive, support, advise and reportto Off icers, Council, the boards and committees. RCRgroup a¢tivitie$ RCR Education Ltd RCR Education Ltd was established in February 2022 as a wholly owned subsidiary of the charity. The RCR uses the entityto undertake areas 01 its work where thefft are financial benefits lor the charity of operating a limited company as opposed to a charitable entity. Its constitution was arranged to ensure thatthe charity retains tight control of the purposes and operations of the enlityand limits trading to a narrow band ol activities agreed with ihe charity. The directors of RCR Education are drawn from the employed senior managemenl team, Officers and a lay member of the FAIC. RCR Education Ltd will report the financial operations of the global exams and e-learning activity for the RCR for11 months from l FebrLJ8ry2022. IQI Ltd The RCR operates a joint venture project, QSI Accreditation, with the College for Radiographers ICORI and through this has 500/0 control of a dormant company limited by guarantee, IQI Ltd. registration number 06799879. This form ofvehicle is recommended practice as an effective risk-management strategy lor charitable joint ventures. As the company is dormant, there are no accountslo record. The company is likely io be activated as part of an expan8ion ofthe Quality St8ndard for Imaging IQSII accreditation activity during the nexl 12 months and ils accounts will be PLJblished independently of the RCR and COR groups. Objects and activities The objects ofthe RCR are to advance the science and practice of clinical radiologyand clinical oncology, a8 818ted in ils Roy81 Ch8rler. These benefit patients by improving the accuracy and speed of diagnosis and quality ol treatment, which will improve the quality ol life lor patients. Clinical oncologists are medical specialists skilled in cancertreatment with r8diother8Py, chemoiherapy and other systemic therapies. Clinical radiologists are medical specialists nww.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 who inform the detection, diagnosis and management of disease through use of imaging techniques. Radiologists also use minimally invasive methods to treat disease. As a charity, the RCR is independent ol the stale and not part of the National Health Service in any ol the four UK nations. The RCR depends upon the skills and experience of its Fellows and members to deliver its work. The RCR has over 14,000 Fellows and members worldwide in the disciplines of clinical oncology and clinical radiology. The very great majority are registered medical or dental practitioners. About one quarter ol the total membership is based outsidethe UK. Council's focus on delivering public benefit is through the work of the RCR in and forthe specialties of clinical radiology and clinical oncology in the interest of and forthe benefit of patients and the wider public. This includes.. Defining standards fortraining Conducting the RCR Fellowship examin2tions Offering lectureships and awarding prizes, scholarships and research fellowships Diffusing inform8tion on matters affecting the specialties Publi8hing papers, journals and otherdocuments Holding meetings, conferences, seminars and courses Publishing professional guidance and advice Operating a continuing professional development ICPDI 8cheme Acting as an authoritative bodyfor the purpose of consultation in matters of public and professional interest Furthering public education and information about the two specialties Managing the RCR'S investments effectively. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 Strategic report A¢hievement$. performance and next stsps Throughout 2022 the RCR made significant progre8S tow8rd8 accomplishing its Strategic priorities. As emerged from the COVID-19 pandemic, operations could slowly return to normal and ambitious projects be18unched. 1. Workforce Th8 RCRsupporls excellentpatientcare by working co118bor81ivelyon le8m-bvide standards ndshapingsustainable workforce models forourpatients 8ndoursp&ci<ies. In 2022 we.. Published ourjob-planning guidancefor consultant and specialty and associale specialist doctor8 in both faculties Secured final General Medical Council approval for our mechanic81 ihrombectomy IMTI credential Secured 11 O additional training postsfor clinical radiology in England Celebrated the first graduates ofthe breast disease management credential Published consensus stalements for head and neck cancer Continued the development of our radiotherapy consent forms, which have been downloaded over 25,000 times Launched our new Exams Hub, giving candidates much greater flexibility and control overtheir exam bookings, ol which over 6,800 bookings for 2023 have already been made Reformed the clinical oncology part 2B ex8m, enabling it to be held entirely online Deliveod rolling quality improvements to 811 RCR exams and syllabuses Introduced the iRefer clinical decision support to 34 NHS trusts in England, helping clinicians request the most appropriate Imaging investigation Launched the Quality Standard for Imaging Networks IQSINI guidance for best practice for growing imaging networks. 2. Bethe experts e highlightthe contribution ourspecialties make lo safe, evidence-basedandcost- effective p8tientc2F, andwe contribute to the debate on the future ofheglthcgre in the UK andoverseas. During 2022 we.. Published our 2021 censuses, both ol which received a 1000/0 response rate, and which highlighied, in 480 pieces of media coverage, the dire need fora sustainable workforce plan for our specialties Re8ponded to over 40 consultation8 from government, clinical regulators and stakeholders on various subjects, including artificial intelligence IAII and workforce Developed Strong relations with major media OLJtlels, with Officers making multiple expertappearanceson Sky Newsandthe Todayprogramme, and in newspapers like The Guardian and The Sunday Times w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 Grew ourcandidate numbers in the clinical radiology global venues in India and Egypt, and held the clinical oncology final p8rl B exam In India for the first time Supported Colleagues oveweas, including the Malaysian On¢ologi¢al Society with Learning Hub access and the Egyptian Ministryof Health and Population in developing its own radiology CLJrriculum. 3. Profe$$ional learning The RCR strives to develop oureducstion8lofferto supportourdoctors to meet the challenges ofpractice. We developed our profession81 learning offer by.. Publishing essential training documents, including standards for training reporting practitioners in musculoskeletal, nuclear medicine, radiotherapytarget volume definition and more Holding ourfirst ever global congre88 in Dubai, Wlth 763 delegate8 from 29 countries attending, during which we offered two CPD courses Hosting our 2022 annual conference, the first lo be fully hybrid, which was attended by over 800 delegates Supporting our two journals, Clinical Oncologyand Clinical Radiology, lo growtheir impact factors by19010 and 440/0 respectively Continuing to release leaming malerialsvia our Learning Hub at pace, including a question bank for clinical oncology FRCR candidates, e-learning on cancer genomics and the'my lightbLJlb moments, video series for r8diologists. 4. Membershipvalue Wosupport2llFellowsandmembers to deliver the bostca￿ forp8tionts forthoirentire careerandregardless ofwheE orhowtheypractice. 2022 saw LJS.. Admit over400 new Fellowstothe RCR Hold the firgt in-person admi8sion8 tteremonies sintte the p2ndemic began and celebrate those who became Fellows during COVID-19 Launch our Insight Panel, a group of members who respond lo short suNeys on topics such as stress and burnout, Al and more,. the results allow uslo learn from the expertise of our members and ensure we are focused on their needs and aims. 5. Ourcollege Weshape a College Ihatis agile, responsiv8, 8ccountébl8andop8n. In 2022 we.. Welcomed a new President, Dr Katharine Halliday, as well a8 the newVice-Pre8ident for clinical oncology, Dr Tom Roques, and the new Medical Directorfor Education and Training, clinical radiology, Dr Priy8 Suresh Expanded ourRadReach mentoring schemeto 52 mentors and mentees,which also won an award from the NHS for Championing Ethnic Diversity w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 10 Published our 2022 aclion plan for equality, diversityand inclusion IEDII and appointed six Fellows for FairerTraining Outcomes Coated a new professional practice and quality improvementte2m, to build and develop nelworks across our Fellows and members that support their practice wherever theyare and at all 8tage8 oftheir careers. 2023 and beyond Thi8 year will see the RCR maintain our focLJS on our keyslrategic priorities, with particular attention given lo maximising ourworkforce, providing the tools and working conditions needed for optimum patient care and supporting new ways of workn"ng. Some ol the projecls thal will continue into or complete during 2023 include.. Our brand refresh project, which will position the RCR as an authoritative, inclusive and dynamic organisation and will enable us to better communicate what our Fellows and members do and whytheirvoice is so important Growing the RCR brand to become a global presence in our specialties The new RCR website, which will improve Ljser experience and make our resources easier to find for all stakeholders Implementing the changes lo our governance structures that members have agreed, which aim to make the RCR fit for the future by improving our agility and widening the expertiseWe￿n draw upon. A new website for iRefer, to ensure this flagship product remains competitive and e8siIy 2c¢essible Further guidance documents, including for multidisciplinaryteams IMDTS) and radiotherapy dose fractionation The support and input we will provide to the newAII Paty Parliamentary Group IAPPGI for diagnostics In-depth ènoagementwith the reforms to thè certificate of eligibility for speciali8t registration ICESRI, with the aim to simplify and speed up the process The exploration of methods ol closerworking between clinical oncology and medical oncology. The College relies on the time, support and contribution of huge numbers of our members. We knowthat lime is an incrediblyvaluable asset and we are deeply grateful to the many individuals who do so much for us. We are deeply indebted to our audit leads,job plan advisors, AAC Representatives, Mentors, conference speakers and panel members, e-learning authors, Global Ambas88dors, iRefer expert panellists,'hero photography volunleers and insight panel members. We would also likelo thank deeply those Fellows and members and lay volunleers who lead the College throLigh our governance and committee structure, and also our examiners who ensure that our standards forclinical radiologyand clinical oncologyare world leading and help bLJild the fLJture workforce. These roles are challenging, time consuming 8nd so important. Thankyou. Dr Katharine Halliday, President w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 Financial report Risk management CoLJncil holds ultimate responsibilityforthe management of risk but delegatesthe oversight of risk-m8nagement strategy and process lo the FAIC. The senior leadership team identifies and manages the strategic risks, and the senior management team manages the strategic and operational risks day to day through programmes focused on income diversification, business process Improvement and the application of newtechnology. The FAIC oversees these activities, scrutinises the risk register and advises these teams and Council accordingly. Council h88 reviewed the ri8k8 and h88 ideniified the following as the most significant Ihreals to delivery ofthe RCR'S strategic aims. Risk Mitigation We do not knowwhateffectthe current NHS workforce crisis and working culture will have on the avai18bility and appetite of our UK doctors to engage with the RCR in the long term. This may lead to changes in ihe nature ofihe relationships and arrangements that the RCR operates to plan and delwerour strategic priorities. We continue to promote and monitor wellbeing across all staff and doctor resources and seek to ensurethe relationship and arrangements for engaging doctor8 meettheir long-term needs. The College is exposed to an increase in cyberihreats, which risks compromising access to, orthe quality of, our data, operations and communications. We have identified the major vulnerabilities in our infraslructure and have either updated or plan to replacethose components that cause the risk. In 2022 we have undertaken 8 thorough independent review of our cyber risk, appointed a role to oversee and enforce operational cybersecurity and implemented measures to improve cybersecurity. Conslrainls inherent in the governance structure hamper Dur ability or agilityto anticipate or meetihe evolving needs of ourmembers. Changes to the governance struclure have been agreed and are being implemented for1 September 2023. An interim team Is In place to manage the transition. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 12 Unmet overseas demand lor exams discoLJrages candidates from seeking FRCRand encouragescommitmenlsto alternatives. We are building exam capacity in the UK and internationallyto increase the number of opportunilies available. Wearedeveloping newmodels of examinalionstoaccommodatedemand and make it easierfor candidates to participate. An increased global focus from the RCR improves OLir commLJnication at local level. Short8ge ol national training numbers, coupled with increasing anticipated retirements, leads to a drop In membership numbers, incomeand capacity. We haveexpanded ourcampaign forworkforce improvements, adding additional resources to our communications and policy area. We will continue to contribute to NHS and government plans and policy. We will increase our membership overseas and have increased the resources and support for CESR. Going concern The accounts are prepared based on ihe RCR being a going concern. Council assesses the financial circumstances and outlook lor the College and takes the advice of the FAIC when considering the accounls. The FAIC regularly scrutinises financial management and performance information and provide8 advice to Council on the 8tstutoryaccounts, budget8 8nd resenjes policies. This information includes.. Regular managemenl accounts and commentaries Budgets forthe nextyear Financial forecasts beyond the end of the current fin8nci81 year, the three-year plan Regular reviews of risks and mitigation steps Reviews ol investment performance Reviews of the financial policies, controls and cashflow m8n8gemenl reporting exercised bythe business. Confidence ingoing concern Council has considered and accepled the advice and recommendalion ofthe FAIC, which, after scrulinising the financial reports and resource8 of the College, h88 recommended approval of the accounts on the basis of going concern. The main points considered bythe FAIC in ils recommendation to Council are.. The College is following a three-year plan that returns the RCR to making a surplus and the early 2023 outcomes and outlook remain on plan w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 13 There are high levels of cash liquidity in the business model and there is access to additional cash lor shorl-term and long-term need The RCR follows good practice in reporting and fin8ncial planning. ImpactofCOVID-19 Through 2022 the College's activities were largèly unaffècted by any residual COVID reslriclions Imposed by authorities that had affected 2021, and we were able to continue enhancing the post-COVID operating mode18 we had adopted the previou8 year. We experienced lew disruptions to our planned activilies. Examination sittings planned lor lanuaryand February2022 in Singapore and Hong Kong were postponed lo later in the year, but other exams and events went on as intended. Some preparatorywork developing educational content was delayed by doctors t)eing unavailable In the first quarter while the N HS de21t with flu and COVID pèaks. We delive￿ d our UK exams as planned and fully reinstated global exams. We continued with ihe majority of face-to-lace events and in-person admi8sion ceremonies lor ihe first lime since 2020, with members enthusiastic to return to thislormat. We have adopted different ways ol working post-COVID. Our staff work most of the time from home, but we retain a regular pattern ol days when all staff are together in the off ice to enhance the sense of community. Most committees meetvirtually, wilh in-person meetings once peryear. Our CPD events are 8 combination of hybrid and live, tailored to suit the audience's needs. In April 2022 we began repayments of and interest payments on the £900,000 Coronavirus Business Interruption Loan that had been taken out in early 2021. Policie$ Employee rem￿ne￿tI0npol1cY The College carries out regular remuneration reviews to ensure employee remuneration is competitive in the market and that we can recruit and retain high-quality staff. The College operates a structure that links pay progression to the achievement of objectives, learning and development expectations and CO￿ competencies. The Remuneration Committee exercises responsibilityon behalf of Council forihe review ol the remuneration of key management personnel and any remuneration of Fellows. The College implemented a 29/0 increased pay aw8rd for all staff from january 2022. In October 2022 the College made an exceptional one-off contribution of £500 to all staff to mitigate against greater energy costs. A pay award of 5,/0 was ag￿ed in November 2022 and applied to salaries from 1 January 2023. Ethicalandsustainable inveslmentpolicy The RCR investment policyexpects a sustainable and ethical inveslment strategy. Investments may only be made in organisations demonstrating adherence to strategic plans consistent with the Paris Climate Accord goals of limiting the average glob81 temperature rise by 2050 to 1.5'C. It also excludes companies whose principal purpose is in tob2c¢o, armaments, alcohol, gambling or pornography, or extraction and production of Ihermal coal and tar sands. As a result ofthis policy, the RCR does not invest in companies that undertake fossil fuel extraction. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 14 The RCR uses the Sarasin Climate Active Endowmeni Fund thattakes a strong stance on ethical and social stewardship matters and uses positive and ethical screening in the investments. The trustees are contentthat this positive screening approach is an effective way ol demonstrating the RCR'S support for climate change initiatives and is consistent with the RCR'S charitable objectives. The objectives of the investment policyare to maximise total returnsvia growth in capital and income to enable the College to carry out its purposes consislentlyyear by yearwith due and properconsideralion forfuture needs. The College expects the invested funds to match or exceed the portfolio benchmark return and it has a moderate riskappetite. The RCR agreed 8 total returns poliry in 2021 to fix the income return to the equivalent of 4Q/D of fund value by selling a portion of capital. This policy is exercised annually al the discretion of the FAIC considering the level of growth of the capit81 fLJnd8. In 2022 the FAIC decided not to applythe policy because the capital values had fallen. In 2022 the portfolio relLJrned a reduction 0110.80/0 against the benchmark of a 6.90 reduction. The returns overthree and five years respectivelywere 30/0 (against a benchmark of 4.10/0) and 4.7 % (against a benchmark o14.90kn1. Comparisons against the peer group were more favourable. Perlormance to 31 Dec 22 1 year 3years annualised 5 years annualised Portfolio 3.09/0 4.7 /0 Inflation (UK CPI- one month lagged) 5.3D/o Portfolio benchmark Peergroup -9.50/0 Environmentalpolicy The RCR recognises thal its operations can have a harmful effect on the local and global environment and that these effects will adversely impact global health issues and health inequality. The RCR commits to redLJcing the long-lerm environmental impact of its operations. Since 2020 the RCR has made changes lo its suppliers and ways of working that have resulted in a significant reduction in its carbon footprint for scope 1 and scope 2 activities from Its 2019 benchmark of 108 tonnes CO e annuallyto almost nil in 2021. The details of this programme and its achievements are at vvww.rcr.ac.uk/college/rcr-commitment- lackling-climate-change. We have extended our carbon footprint monitoring to include the effect of scope 3 acliviiie8 and inlend to agree a strategy in 2023 to achieve nel zero and to embed ihis commilment in a wide-ranging sustainability strategy. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 The RCR aimsto.. Reduce Its carbon lootprinl, eliminate unnecessarycarbon generated from the RCR'S operations and aspire to netzero Reduce the quanlityofwaste produced and increase the proportion of thal wasle that is recycled Reduce the quantities of raw materials including water, paper and plastics used in ils operations and eliminate unnecessary usage. Resewespolicy The RCR has a policy lo have suff Icient general reserves to fund a minimum offive months of operating expenses to coverthe financial implications of 8 significant and permanent reduction in income and manage a controlled contraction ofthe business to sustainable levels. Council has consideffd ihe advice ofthe FAIC on the reserves policyand agrees that the free general reseNes are suff Icient to meet the College's foreseeable needs and that the policy requirements are satisfied. The College relains £5.5m ol general reserves including £4.4m set aside byihe reserves policy. le8ving £1.1 m of free reserves. nww.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 16 Financial review The results forihe year are set out in the statements on pages 25 to 27. Summaryofresults The RCR completed its recoveryfrom the effects of COVID in 2021 and continued tts investments to deliver an improved communications function and lo build a strong platform lor growth of the busines8. Thi8 buginess growth is sèt out in the three-year plan12022 to 20251, bul its foundation is the strong showing in 2022. Group results Income grew£1.3m, 170/0 to £9.Om12021-. £7.8ml as we reinstated exams in all territories, g￿wou[ UK exams c8pacily8nd added over 1,200 newmember8 IFigureAI. We saw growth in income from our CPD and educational offers lup 130/0, £60kl but the economic conditions meant our inve8tment income fell £84k against the prioryear from not exercising Ihe total returns policy. Charitable income rose by £0.6m to £7.9m and income reported in the trading subsidiary was £1.3m12021". nil as this is the first period of operation). 60 103 9.132 280 247 728 7.797 Figure A. Revenue growth {£OOOsl from 2021 to 2022 is driven by reinstatement of exam capacity in all jurisdictions and growrth in membership subsGriber$ Expenditure increased 210/0, including a £1.9m investment in creating a mature communications and marketing function, we grew our exams and continued the investment lo support the growth potential of iRefer. We also recognised ihe need to accelerate the depreciation on our existing customer relationship management ICRMI system before its replacement in 2023124, which added £0.5m of costs. Charitable expenditure increased by £0.4m to £9.3m. Expenditure in RCR Education was £1.6m12021.' nill. The group made an operating108s of £1.8m12021.. £1.2ml. In addition, we reported £2.4m of unrealised losses.. a £0.9m reduction in the value ol land at 63 Lincoln's Inn Fields and 8 £1.5m reduction in the value ol the investment portfolio. In 2021 we reported £1.5m of unrealised gains including a £0.9m gain in the value of investmenls. The group reseNes were reduced by £4.2m12021.' a £0.3m gain). nww.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 17 Reserves closed at £26.3m12021.' £30.4ml and general reserves, which include uncommitted designated reserves, closed at £5.4m. Of this. £4.4m is notionally covered by Ihe reserves policy and ihe remainder of £1.1 m is free reserves. This was the first period of trading for RCR Education Ltd covering the 11 months from 1 Febru8ryto 31 December2022. Incomewas£1.3m, spendwas£1.6m and the 8ub8idiary made a loss of £0.3m. The charity recognises that the 2022 trading plans forglobal exams and e-learning were challenging,, global exams were expected to make a small surplus and Ihe latter a small loss,. and RCR Eclucation expected to make a loss overall. Expenditure in global exams was greater than expected 8nd e-learning met financial expectations. The overall loss wasiherefore greaterthan expected. The directors and the truslees expect global exams lo generate a surplus In 2023 and ongoing but e-learning activities will continue to be financially challenging. The oharitytrustees have agreed to support RCR Education financially in 2023 and through the three-year plan period. Keyactivities Membership continues to make upthe largest part ol the RCR'S income IFigure Bl, 500/0 in 202212021.. 540/01, and will rèmain the most significant single component of income for Ihe foreseeable future. Subscribers grew lo 14,000, with strong growth from new global members seeking examinations during the last quarter, and we 8re keen to en8Lire that we retain these membersihrough Fellowship and beyond. Global membership makes up 280/0 ol total membership numbers. Exams £2.6m 28Y. Membership £4.Sm 50% CPD & Learning £0.5m 202 £1.6m 21% 2021.. £4.3m 54% iRefer £0.6m Investments £0.4m Royalties Other £0.3m Figure B. The majority olthe RCR'S income comesfrom membership subscriptions and exams w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 18 We grew our UK exams capacity by 110/0 to offer over 3,700 places and doubled the global exams capacityto over 2,550 places. In 2022 we planned lo support the UK trainees by maintaining fee levels close to 2021 levels and incurred losses of £1 m in that support. Global exams incLJrred Some Ljnplanned costs and incurred a loss of£60k. Since 2020 we have supported UK candidates by changing how we deliver our exams and minimising the value offee rises. Since 2021 we have invested £2m in supporting those UK trainees. We aim to ensure that we achieve breakeven from UK trainees, exam fees and have set future lee levels accordingly. Professional learning and e-learning income rose by130/010 £530k but remains belowthe levels achieved priorto COVID. In 2022 we trialled hybrid models ol deliveryforthe annual conference and oiher events to test effectiveness ol this medium for our Fellows and membew. CPD activities made a loss of £1.1 m12021.. £1 ml. The iRefer programme saw some significant success with the start ofthe rollout ofthe iRefer CDS Iclinic81 decision supportl product 8cross English trusts. This is 8 three-year programme of rollout following five years of investment in a partnership with Medcurrent, our technical partner. Income was up £60k, 12 %. Our investment in iRefer capacity continued through 2022 resulting in an increased spend and giving a loss of £0.1 m12021.. surplus of £0.1 ml. Investment income fell £84k to £370k12021.' £450kl from not exerci8ing the discretionary lop-uplrom selling capital. Other income was £0.5m, £44k18 % I greater than 2021. Restricted reserves Total restricted reserves were £2.4m12021'. £2.9ml. In 2022 the RCR spent £282k ol restricted funds, with the largest component being £187k against the QSI Accreditation programme, a joint venturewith the SCOR.This balance is now £20k1£2021.' £191 kl. The most signific2nt balaneeg are.. £2.Om12021.. £2.4ml in the four funds created in 2021 from the former education funds. We spent £128k in 2022 and incurred a revalualion loss from a fall in investmentvalues of £230k. £311 k held towards e-learning supportfor 2023 onwards12021'. £317kl. £13kwas spenl in 2022. Research fijnds The College invites applications for its research grant schemes annuallyand makes awards based on scientific merit. Grants are to foster research into medical imaging (clinical radiology) and the investigation and treatment of cancer Iclinical oncology). The College has allocated £1.2m12021'. £1.4ml ol re8tricled and unrestricted funds towards future research grants forclinical r8diologyl£O.7m, unrestricted) and clinical oncology 1£0.5m, reslrictedl lo coverthe next seven to ten years of demand. This InclLJdes the residual funds set aside from the clinical oncology and clinical radiology research funds created in 2013. In 2022 the RCR awarded £52k in grants12021'. £80kl. The RCR also recognised a £142k reduction due to a fall in the values ol the investmentwhere these funds are held. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 19 Designated funds The College ret8ins £2.5m of unrestricted funds that are shown as designated. Some ofthe component parts are included in the computation of general and free reseNes'. Building maintenance fund of £0.5m12021.. £500kl to cover uninsured repair, reinstatement or development costs forthe off ice building at 63 Lincoln's Inn Fields £0.4m12021'. £0.4ml towards the cost of major projects including exams reform and systems development £84k12021'. £84kl representing the ff sidue of clinical oncologyand clinical radiology research fLJnding designated prior to 2018 and with no ILJrther claims expected. Other de8ign8ted funds that are not included in the computation of general and free reseNes include.. £162k12021'. £181 kl to support the Cyclotron Trust learning programme. The fund benefited from £4k of investment income, £2k was spent and an unrealised loss of £21 k was recorded due to a fall in the value ol the underlying investments. A£757k clinical radiology Kodak re8earch fLind12021.' £867kl created in 2021. £28k of grants were paid out in 2022. Unrealised losses of £81 k are recognised. £569kwiihin the Wormald lund12021.' £630kl. An unrealised loss of£61 k has been recognised. Tangible fixedassets The RCR revalued the buildings and land at its offices, 63 Lincoln's Inn Fields, following a formal valualion consistent with the existing policy. Thevalue of buildings increased £750kto £7.6m, unwinding all the 8ccumulated depreciation since 2018, £548k. The value of land was reduced by £1.6m. Both adjustmentsare included in the 2022 accounts. The accounting policy is set out in the noleslo the accounts, page 29. The RCR had no fundraising 2Ctivities requiring disclosure under S162A of the Charities Act 2011. Responsibilities of the trustees The trustees 8re responsible for poparing the oport ofthetrustees and thefinancial statements in accordance with applicable lawand United Kingdom accounting standards (United Kingdom Gener8llyAccepted Accounting Practice). The law appIl￿blet0 charities in England and Wales requiresthe trustees to prepare financial statements for each financial year that give a true and fair view of the situation of the College and ofihe incoming resources and application of resources ofthe RCR forthal period. In preparing these financial statements, the trLJStees are required to.. Select suitable accounting policies and then apply them consistently Observe the methods and principles in the Charities SORP Makejudgements 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 Preparethe financial statements on the going concern basis unless it is inappropriate to presume that the RCR will continue in operation. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 20 The trustees are responsible for keeping proper accounling records that disclose with reasonable accuracy ai any lime the financi81 position of the RCR and enable them io ensure that the financial statements complywith the Charities Act 2011, the Charities SORP IFRS 1021 and the provisions of the Royal Charter and 8g-law8. Legislation in the UK governing the preparation and dissemination ol financial statements may differ from legislation in otherjurisdictions. The IrLJslees are also responsible for safeguarding the assets ofthe RCR and hence fortaking reasonable steps for the prevention and detection of Iraud and oiher irregularilies. All charitable cOm￿nieS have a duly lo act in accordance with Section 172 01 the Companies Act 2006 (Dutyto promote the success of a company). The trustees consider Ihat they have complied with their duties in Section 172 by promoting the charity's success in achieving its charitable purpose of improving the science and practice of clinical radiologyand clinical oncology. In so lar as each ol the trustees at the time the report is approved 8re 8ware'. Theff is no relevant audit information ofwhich the auditors are unaware They have taken all the stepsiheyoughtto have taken to make themselves aware of any relevant 8LJdit inform8tion and to establish that the aLJditors are aware of that information. The trustees are responsible forthe maintenance and integrity of the RCR and financial information inclLJded on the RCR'S website. The trustees [￿eMberS ol the CoLincil who 8eNed a8 charitytrustees during the year and LJP to the date of this report were as follows. èx offioio members olCounGiland trustees From 1 Jan 2022 10 31 Aug 2022 From 1 Sep2022to31 Dec2022 Drj Dickson, President Dr K Halliday, President Dr J Elford, Treasurer Dr l Elford, Treasurer DrWH Ramsden, Dean, clinical radiology Dr WH Ramsden, De8n, clinical radiology Dr H Tharmalingam, Dean, clinical oncology Dr T Roques, Dean, clinical oncology Dr SP Harden, Warden, clinical radiology Dr P Suresh, Warden, clinical radiology Dr R Cooper, Warden, clinical oncology Dr R Cooper, Warden, clinical oncology Dr R Uberoi, Registrar, clinical radiology Dr R Uberoi, Registrar, clinical radiology Dr N Thorp, Registrar, clini￿1 oncology Dr N Thorp, Registrar, clinical oncology w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 21 Elecledmembers of Council8nd trustees From 1 Jan 2022 to 31 Aug 2022 From 1 Sep 2022to31 Dec2022 DrAKB8hl DrJA Holemans DrG Hanna DrFYuille Dr MJ Rolles Dr Nl Screalon Dr A Taylor DrG Horan DrJH Miller DrCACoyle Dr A lain Prof M Callaway Dr E Loney Dr S Sundar Dr E Loney Drs Sundar DrA Taylor DrJQ Gildersleve Dr R Wade Dr D Chand Non-trustee co-optedmembers ofcouncil From 1 Jan 2022 to 31 Aug 2022 From 1 Sep 2022to31 Dec2022 Msl Ord, laymember Msl Ord, laymember I￿rTjoneS, lay member MrTlones, lay member Dr F Rathore, Junior Radiologists, Forum representative Dr F Raihore, Junior Radiologists, Forum representative Dr S Hindocha, Oncology Registrars, Forum representative Dr TG Charlton, Oncology Regi8tr8rs' ForLJm representative The trustees and other Council members have no beneficial interest in the RCR. Auditors Haysmacintyre LLPwere appointed asihe charity's auditors during theyear8nd have expressed their willingness to conlinLJe in that capacity. The report ofthe trustees has been approved bythe trLJStees on 29 June 2023 and signed on their behalf by. Dr K Halliday President Dr J Elford Treasurer w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 22 Opinion We have audited the financial slalemenls of the Royal College of R8diologisls for theyear ended 31 December 2022, which comprise the Consolidated Statement of Financial Activities, the Group and Charity Balance Sheets, Ihe Consolidated Cash Flows Statement and notes to the financial statements, including a summaryol significant accounting policies. The financial reporting framework that has been applied in their preparation is 8pplicable18w and United Kingdom Accounting Standards. inclLJding Financial Reporting Standard 102 The FinancialReporting Standardapplicable in the UKand Republic of Irel8ndlUnited Kingdom Generally Accepted Accounting Praclicel. In our opinion, the fin8nci81 statements.. Independent auditor's reportto the Members ofThe Royal College of Radiologists give a true and lairview of the state of the group's and of the parent charity s affairs as at 31 December 2022 and ofthe group's net movemenl in funds fortheyearthen ended., have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice., and have been prepared in accordance with the requirements ol the Charities Act 2011. Basis for opinion We have been appointed as auditor under section 144 ofthe Charities Act 2011 and report in ac¢ordance with the Act and relevant regulations made or having effect thereunder. We conducted our audil in accordancewith Internalional Standards on Auditing IUKI IISAS IUKII and applicable18w. Our responsibilities underthose stand8rd8 are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical reqLJirement8 that are relevantto 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 forour opinion. Conclusions relating to going concern In auditing the financial slatemenls, we have concluded that the trustees, use of the going concern basis of accounting in the preparation of the financi218tatemÈnts 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 ca818ignificanl doubl on the grouplcharily's abilityio Continue as a going concern fora period of at least 12 months from when the financial statements are authorised lor IS8LJe. Our responsibilitie8 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 forthe other information. The other information comprises the information included in the Truslee8' Annual Report. OLJr opinion on the financial statements does not coverthe other information and, except to the extent othenwise explicitly staled in our report. we do not express anyform ol assurance conclusion thereon. In connetttion with our audit ol the financial statement8, our responsibility 18 to read the other information and, in doing so, considerwhether the other information is materially w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 23 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 misstalements, we are required to determine whether there is a material misstatement in the financial 818temenls or a material misstatement ol the other information. If, based on the work we have performed, vve Conclude that there is a material misstatement ol this other information, we are required to report that fact. We have nothing to report in thi8 reoard. Matters on which we are Trquired to ￿pOrt by exception We have nothing to report in fftspect ofthe following matters in relation to which the Charities (Accounts and Reports) Regulations 2008 require us to report to you if, in our opinion.. adequate accounting records have not been kept bythe p8rent charity., or suff icient accounting records have not been kept., or the parent charityfinancial statements are not in agreement with the accounting records and returns., or we have not received all the informalion and explanalions we requireforour audit. Responsibilities of trustees forthe financial statements As explained more lully in the trustees, responsibilities statement set OLJt on page 19, Ihe trustees are responsible for the preparation ol the financial statements and for being saiislied that they give a true and fairview, and for such internal control as the trustees determine is necessaryto enable the preparation of financial stalements that are free from material mi88tatement. whetherdue to fr8ud or error. In preparing the financial statements, the trustees are responsible for8ssessing the group s and the parent charity's abilityto continue as a going concern, disclosing, as applicable, matters related to going concern and using the going Concern basis ofac¢ounting unless Ihe trustees either intend to liquidate the group or the parent charity orto cease operations, or have no ￿alIStiC alternative butto do so. Auditor's ￿spOnSibl11t1es for the auditof the finanoial statements Our objectives areto obtain reasonable assurance aboutwhether the financial statements as a whole are free from material misstatement, whether due to fraud orerror, and to issue an auditor's report thai includes OLiropinion. Re880n8ble assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordancewith ISAS IUKI will always detect 8 material misstatementwhen it exists. Mi881atementS 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. Irffgularities, including Iraud, 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 exlent to which our procedLJres are capable ol detecting irregularitie8, including fraud, is detailed below.. Based on our understanding ol the group and the environment in which it operates, we considered ihose laws and regulations that have a direct impact on the preparation of the nww.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 24 financial statements such as the Charities Act 2011, the charity's Royal Charter, payroll tax and sales lax. We evaluated management's in¢èntive$ and opportunities for fraudulent manipulation ol the financial statements Iincluding the risk ol override of controls) and determined that the principal risks wefft related to posting in8ppropriatejournal entries to income and management bias in accounting estimates. Audil procedures performed bythe engagement team included.. Inspecting correspondence with regLJlators', Discussions wilh management including consideration of known or suspecled instances ol non-compliance with laws and regulation and fraud., Evaluating management'8 contro18 de8igned to pfftvent and detect irfftgularities., Identifying and testing journals, in particul8rjourn81 entries posted with unusual account combinations, postings by unusual users or with unusual descriptions., and Challenging asgumptions and judgements made by management in their accounting estimates. Because ol the inherent limitations of an audit, there 18 a risk that we will not detect all irregularitie8, including those leading to a material misstatement in the financial 8t8tement8 or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likelyto become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. A further description ol our responsibilities for the audit of the fin8ncial statements is located on the Financial Reporting Council's website at.. wvvw.frc.org.uk/ auditorsresponsibilities. This description forms part of our auditor's report. Useofourreport This report is made solelyto the charity's trustees, as a body, in accordance with section 144 of the Charities Act 20118nd regulations made Ljnder section 154 of th81 Act. Our audit work has been undertaken so that we might state lo the charity'struslees those malters we are required lo 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 responsibilityto anyone otherthan Ihe charity's trustees as a bodyfor our audit work, forthis report orlor the opinions we have Haysmacintyre LLP 10 Queen Street Place London EC4R 1AG Statutory Audilors Date". 30th August 2023 Hay8macintyre LLP is eligible to act ag an auditor in terms of section 1212 of the Companies Act 2006 w.rcr.ac.uk Trustees, report8nd financial st81emenTS fortheyearended 31 December 2022 25 The consolidated statement ol financial activities InclLJdes all gains and losses recognised in the year. The notes on pages 28 10 49 form part ol these financial statements. Consolidated statement of f inancial activities Restricted funds 2022 Unrestricted funds2022 Total funds 2022 Totslfunds 2021 Note Income from: Donations and legacies 59,612 400 60,013 7 1,373 Charitable activities 15,659 7,425,060 7,440,719 5,843,466 Trading subsidiary 1,257,410 1,257,410 482,693 Investments. 56,442 312,847 369,289 453,252 Other income 4,482 4,482 6,709 Total income 131,714 9,000,199 9,131,913 7,797,493 Expenditure on: Charitable activities 281,510 9,069,177 9,340,687 8,990,412 Otherexpenditure 1,579,614 1,579,614 Total expenditure 281,510 10,638,791 10,920,301 8,990,412 Net expenditure (149,796) {1,638,592) (1,788,388) Gains/llossesl on revaluation ol fixed assets 1850,0001 1850,0001 605,0( Gains/llosse81 on investments 15 1330,2421 11.187,3891 11,517,631) 863,880 Transfers between funds 146,5391 46,539 Netmovement infunds (526,577) {3,629,4421 14156,019) 275,961 Reconcilialion of funds: Total fund8 brought forward 2,930,624 27,498,544 30,429,168 30, 153,207 Net movement in funds 1526,5771 13,629,442) 14,156,019) 275,961 Total funds ¢arried forvoard 2,404,047 23,869,102 23,273,149 30,429, 168 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 26 The notes on pages 28 10 49 form part ol these financial slalemenls. Consolidated and charity balance sheets as at 31 December 2022 Consolidated Thecharity 2022 2021 2022 2021 Note Fixed assets Intangible assets 1,684,694 7,324,265 1,684694 1,324,265 T8ngible assets 15,203,561 15,457,415 15,203,561 15,457,415 Investment property 14 2,680,01)0 4,005,000 2,680,000 4,005,000 Investments 10,202,889 17,718,520 10,202,889 11, 718,520 29,771,144 32,505,200 29,771,144 32,505,200 Current assets Debtors 733,508 495,822 1,001,623 495,822 Cash at bank and in hand 2,932N67 7,502,643 1,250,747 1,502,643 3,665,975 1,998,465 2,252,370 1,998,465 Liabilities Creditors.. amounts falling due within one year {6,241,4771 (3,284,497) (4,556,807) (3,284,497) Net current assets 12,575,502) (1,286,032) (2,304N37) (1,286,032J Creditors.. amounts falling due more than oneyear 19 1922,493) 1790,OOOJ 1922N93) (790,000) Total net assets 26,273,149 30,429, 168 26.544,214 30,429, 168 Charityfunds Restricted fLJnds 21 2,404,047 2,930,624 2NO4047 2,930,624 Unrestricted funds 21 23,869,102 27,498,544 24,140,167 27,498,544 Total funds 26,273,149 30,429,168 26,544,214 30,429, 165 The trustees aCknO￿edge their responsibilities for complying with the requirements ofthe Actwith respect to accounting records and preparation offinancial statements.The financial statements were approved and authorised for issue bythe trustees and signed on their behalf by. Dr Kath Halliday 29 June 2023 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 27 The notes on pages 2• •to 49 form parl ol thèse financial slalemenls. Consolidated statement of cash flowsas at 30 December 2022 Note 2022 2021 Cash flows from operating aGtivities Nel cash used in operating activities 22 1N96,968 1163,296) Cash IIow8 from investing activitie8 Dividends, interesls and rents from inveslmenls 369,289 391,442 Purchase ol tangible fixed assets 1437,2031 1363,279) Purchase ol Intangible fixed assets 11,040,476) (575,828) Purchase of investments 11,007,893) Sale of investments 922,801 144,000 Sale of investment property 1,287,188 Net cash used in investing activities 93,706 (403,665) CBIL loan repayment I125,0￿) 900,000 CBIL loan interest 125,8501 Net cash used from financing activities 1160,850) goo,000 Change in ¢a$hand ¢a$h equivalentsin the year 1 N29,824 333,039 C88h and cash equivalents at the beginning of the year 1,502,643 1, 169,604 Cash and ¢ash equivalents at the end of the year 2,932,467 1,502,643 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 28 1 General information The Royal College of Radiologists is a public benefit entity registered as a charity in England and W81es Icharity number.. 2115401 and a Royal Charter company IRCo￿854). Its regISte￿d off Ice is 63 Lincoln's Inn Fields, London, WC2A 31W. Notes to the financial statements for theyearended 31 December 2022 The trading subsidiary is RCR Education Ltd,13941872. a whollyowned subsidi8ryofthe RCR and registered in England and Wales with ihe registered off ice at 63 Lincoln's Inn Fields, London, WC2A31W. 2 Accounting policies 2.1 Basis of preparation ol financial ststements The consolidated financi218tatement8 have t￿en prepared in accord8nce MAth the Charities SORP applicable to charities preparing their accounts in accordance with the Financial Reporting Standard 8pplicable in the UK 8nd Republic of Ireland IFRS 1021 (effective 1 january 20191. The charity meets the definition of a public benefit entity under FRS 102. Assels and liabilities are initially recognised at historical cost ortransaction value unless otherwise stated in the relevant accoLJnling policy notes. 2.2 Going concern The trustees considerthatthere are no material uncertainties about the College's abilityto continue as a going concern. 2.3 Income Income is recogni8ed when the College has entitlement to the funds, any performance conditions attached to the income have been mel, it is probable thatihe incomewill be received and the amount can be measured reliably. Subscriptions are included on a receivable basis. Income is deferred forthe proportion of the 2022123 subscriptions applicable to the College's accounting period lo 31 December 2023. Examinalion income is recognised in the period that the exam sitting takes place. Income lor 2023 sittings is deferred at the balance sheet dale grossed LJP for the fees deducted by Ihe payment provider. The income and spend are recognised in the period to which they relate. Voluntary income is received by ol donations and gifts and is included in full in the statement ol financial activities and is recognised on receipt or when entitlement lo receipt is probable. Income from other grants, whether capital grants or ￿vernue grants, is recognised when Ihe charity has entitlement to the funds, any performance conditions attached lo the grants have been met, it is probable that the income will be received, the amount Can be measured reliablyand it is not deferred. Income received in advance ol the provision 018 specified seNice is deferred until the criteria for in¢ome recognition a￿ met. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 29 2.4 Expenditure Expenditure is recognised once the￿ is a legal or constructive obligation to make a paymentto a third party, it is probable that settlement will be reqLJired and the amoLJnt of the obligation can be measured reliably. Expenditu￿ on charitable activities includes ihe costs of delivering services to members, examin8tion8, training and other edLJcational activities undertaken to furtherthe purposes of the College and the associated support costs. Irrecoverable VAT is charged as a cost againstlhe aclivityforwhich the expenditure was incurred. Allocgtion ofsupportcosts Resource8 expended are allocated to the aciivitywhere the c081 relates directlyto that activily. However, the cosl of overall direction and administration of each activity, comprising the salary and overhead costs ol the central function, Is apportioned on the following basis. which is an estimate, based on staff time, of the amount altribulable to each activity. UKexams programme Specialtytoining Professional learning and development [￿ember support and professional services iRefer 220 160/0 2.5 Intangible assets and amortisation Intangible a88ets are stated at cost, less accumulated amorlisation. Intangible asset8 costing more than £500 are capilalised and recognised when future economic benefits are probable and the cost orvalue ol the asset can be measured reliably. Intangible fixed assets are initially recognised at cosl. After recognition, underthe cost model, intangible fixed assets are measured al cost less accumulated amortisation. All costs incurred to bring an intangible fixed asset into its intended working condition should be included in the measuremenl of cost. The intangible assets capitalised during the year are under constrLJCtion and not in Ljse, Iherefore no amortisation has been charged in the period. Asset Irves are reviewed annually and may be shortened and ihe accelerated deprecialion recognised 88 8 Cost. 2.6 Tangiblelixed assets and depreciation Individual tangible fixed assets costing £500 or more are eapit2lised and rècognised when future economic benefits are probable and the cost or value ofthe asset can be measured reliably. Tangible fixed assets are initialw recognised at cost. After recognition, underthe cost model, tangible fixed assets are measured at cost less accumulated depreciation and any accumul8ted impairment losses. All costs incurred to bring a tangible fixed 8sset into its inlended working condition should be included in the measurement of cost. Land and freehold property are held at lairvalue atthe reporting date. ValLJations are performed periodically with 8 maximum interval offiveyears, and more frequently if open w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 30 marketvalues are considered to be volatile, to ensure thatihe fairvalue of a revalued building does not differ materially from its carrying amount. In any accounting period where a revaluation is nol underlaken an impairment reviewwill be conducted and provision WOLJld be made lor any impairment. Any revaluation gurplug or10s8 18 charged to the statement of financial activities in the year of revaluation. Accumulated depreciation as at the ￿valUation date is eliminated against the gross carrying amount of the buildings and the net 8mounl is restated to the revalued amount of the buildings. The estimated useful lives are as follows.. Building infr88tructLJre Membershipd8tabase iRefer guidelines Intangible assets Furniture Computerhardw8re 10 years 4 years 4 years 4-7 years 5 years 3-5 years 2.7 Investment properties Investment properties are measured initially al cost and subsequently inclLJded in the b818nce sheet at18irvalue. Investment properties are not depreciated. The valu8tion method used to determine fair value will be staled in the notes to the financial statements. 2.8 Investments Investments are a form of basic financial instrument and are initially recognised attheir transaction value and subsequently measured at their fairvalue as at the b21ance sheet date using the closing quoted markel price. Any change in fairvalue will be recognised in the statement of financial activities. Investment gains and1088es, whether reali8ed or unrealised, are combined and shown in the heading 'Gains/llossesl on investments, in the staiement ol financial activities. The College doe8 not acqLiire put options, derivative8 or other complex financial instruments. 2.9 Debtors Trade and other debtors are recognised al the settlement amount after any trade discount offered. Prepayments are valued al the amount prepaid net ol any trade discounts due. 2.10Cash at bankand in hand Cash al bank and in hand includes cash and short-term highly liquid investments with a short maturity ofihree months or less from the date of acquisition or opening ol the deposit or similar account. 2.11 Liabilities and provisions Liabilities are recognised when there is an obligation al the balance sheet date because of 8 past èvent, it is probable that a transfer of economic benèfit will be requifftd in settlement and ihe amount ofihe settlement can be estimated reliably. 2.12 Operating leases Rental charges are charged on a straighi-line basis overthe term of the lease. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 si 2.13 Pensions The College operates 8 defined contribution pension scheme for employees. The assets of the scheme are held separatelyfrom those of the College in an independently administered fund. The pension CO￿ charge represents contributions payable underihe scheme by Ihe College to the fund. The College has no liability underihe scheme otherthan for the payment of those Contributions. 2.14 Fund a¢¢ounting Unrestricted funds are donations 2nd other incoming ￿sOUrceS ￿te1Ved Dr generated lor Ihe charitable purposes. Designated fLJnds are unrestricted funds that are allocated by trustees for particular purposes. Restricted funds and expendable endowment funds are lo be used for specific purposes as laid down by the donor. Expenditure that meets these criteria is charged lo the funds. 2.15 Basis of consolidation The finanttial statements consolid8tè the accounts ofthe College and the wholly owned subsidiary, RCR EdU￿tIOn Ltd, on a line-by-line basis. 3 Critical accounting estimates and areas of judgement Trustees are required to make judgements, estimates and assumptions about the carrying values ol assets and liabilities that are not readily apparentlrom other sources. The estimates and underlying 8ssumptions are based on historic81 experience and other factors that are relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision 8ffecls the current and future period8. Critical accounting estimates and assumptions The College'8 land, bLJildings and investment properties are 81ated at their estimated fair value based on management estimates as disclosed in note 13. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 32 4. Income from donations and legacies Restricted Unrestricted funds2022 funds 2022 Total 2022 Total 2021 Donation$ Roentgen Professorship 8,113 8,113 7,873 D￿Te￿ncevVhee1e 400 400 NHS England 50,000 50.000 David Skeggs Lecture 1,500 1,500 1,500 Dr Norman Howard 2,000 Total 2022 59,613 400 60,013 7 1,373 5. Income Reslricled Unrestricted funds2022 funds 2022 Total 2022 Total 2021 [￿eMberShip subscriptions 4,535,413 4,535fv13 4,255,879 UK examination lees 1,361,572 1,361,573 1,160,422 Global examination fees. 1,237,946 1,237,946 463,667 Event income 506,705 506,705 446,873 E-learning programme. 19,464 19,464 19,026 Royalties and publications 371,032 371,032 715,064 Service lees 15,659 650,338 665,997 265,228 Total 2022 15,659 8,682,470 8,698,129 7,326, 159 Tota12921 122,228 7,203,937 7,326, 159 'Global ex8mination fee8 8nd e-learning programme are fftported within RCR Education Ltd in 2022 and were reported in the charity lor 2021. Sponsorship and delegate fees has now been reclasiff led as event income, £506,705 in the year12021.. £446,873). w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 33 6. Investment income Reslricled funds2022 Unrestricted funds2022 Total 2022 Total 2021 Properties income- Rent Bank intere81 64,303 64,303 5,243 91,866 5,243 206 Investment income- Dividends 56,442 243,301 299,743 351, 180 Tolal 2022 56,442 312,847 369,289 453,252 Total 2021 77,758 387,495 453,252 7. Other income Unrestricted funds 2022 Unrestricted funds 2021 Facilities income 4,482 2,050 FLJrloLJgh income 4,659 4N82 6, 709 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 34 8. Resources expended forthe period ended 31 December 2022 Profe88fjonal UK exam affairs8nd programme support Global exam programme Sp6cl81ty Pmfèsslonal E408rnlng trainiTr9 learningand programme development IR•fer Total Direcisiaff costs 1,569,515 423.717 312.330 464,515 425.117 148,008 241.334 3,584,536 DirettÈx*nsÈs 840,024 1,089,618 73,082 337.667 72,955 218,231 3,476,421 Depreciation B.679 50.75B $9,437 4409,539 1,522N14 1,157,174 537,597 762,784 220,963 510,323 7,120,394 Supportcosrs 88 1,378,140 689.070 136.381 413,442 505.318 62,146 137.814 3,322,311 Governance cosis8a 209,403 104.701 2.W2 62,821 78.781 20.940 477,596 2022total$ 4997,082 2￿15,785 1,295,557 1,013,860 1W4883 284,057 669,077 10020,301 Average headcount 30 2022 he8dcoun1è11ocation 0/0 44% 22Yo 0% 13% 4Yo R•wurca8•xp8ndedtyluNI un￿st[l￿ted 3,738,622 2.315,785 1.010.260 1,325,433 669,D77 9.059.177 Restncted 258,460 3.6 19,450 291.510 Charitable3Ctivrties 4997,082 2,315,785 1,013,860 1,3H885 669,077 9,340,687 RCR EducationLid 1,295.557 284,057 1,579,614 8a. Support activities Financ8 Facilities HR Infomiation technology SMT Subtotal Gov?rnanc8 of support cost Total Direet818ff costs 232,969 172.8r 135.010 306,456 520.015 1,367,259 243.701 1,610,980 DirectÈxpenses 179,588 526,317 233.ffl8 532,925 21,547 1,493,385 233,895 1,727,280 Depreciation. 1331.8441 343,511 11,667 ImpairmentolCRM IAdjl 450,0 450,000 Totslsupportcost 412,557 367,281 368018 1,632,892 541.564 3,321311 477.596 3,799,907 'Depreci8tion credit of £411,OCK) was released following revaluation of the building in theyear. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 35 8b. Resources expended 2021 Profe88fjonal UK exam affairs8nd programme support Global exam programme Sp6cl81ty Pmfèsslonal E408rnlng trainiTr9 learningand programme development IRafer Total Direcisiaffcosis 460.066 159.201 366,519 542.158 116.473 2,980,535 Dirette¥pÈnses 421,394 1,057,201 535.443 76,000 4￿.470 153.810 2,724,318 Depreciation 723 723 Subtotal resources expended 1,757,512 1,517*90 694644 442,519 1,022,628 270,283 5,705,576 Supportcosts 80 1,387,276 471.149 163.036 369,YO 422.789 105.697 2,919,886 Governance cosis8c 173,393 58.888 20.377 46,238 52.843 364,950 Totalr•8ourc8$8xp8nd6d 4318,180 2,048,027 878057 858,697 1A98,260 389.191 8,990,412 AvÉr89È headcouni 26 55 2022headcountallocation% 47% 16% 6% 120 15% 4% 8c. Support activities Finance Facilities HR Inforniation technology SMT Subtotal Governance ol $upport ryist Total Directstaff GQSts 168,690 147.592 151.967 290,228 582.450 1,340,928 200.309 1,541,237 Direciexpenses 126,526 2W.230 227.349 400,191 27.696 164.641 1,236,632 D8preciaiion 216.5 2W,372 506,966 506,966 Totalsupportcost 295,216 654,416 379J16 980,791 610,146 2,919,885 364950 3,284,835 9. Auditor's remur)eration 2022 2021 Fees payable to the College'$ auditor for the audit of the College's annual accounts 24,950 14,359 Other fee8 payable to the College's aLiditor.' 3,695 2,878 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 36 10. Staff costs 2022 2021 Wages and salaries 3,905,010 3,443,661 Social security cosls 422,653 345,831 Contribution to defined contribution pension 8chemes 533,388 472,534 4,861,051 4,262,026 The average number of persons employed bythe College during the year was as follow￿.. No. 2022 No. 2021 Professional affairs and support 30 26 Exams 12 Specialtytraining Professional learning and development iRefer Organisational support 21 22 89 77 The number of employees whose employee benefits (excluding employer pension costs) exceeded £60,000 was.. No. 2022 No. 2021 In the band £60,00(F£69,999 In the band £70,000 -£79,000 In the band £80,000-£89,999 In the band £90,000 -£99,999 In the band £120,000-£129,999 In the band £130,000 -£139,999 Employer's pension ¢ontribLrtions were paid at a rate of 15°/o. Total employer's pension contributions lor employees earning more than £60,000 was £86,12012021.' £84,247). The total employee benefi18 including pension and employers, Nl contributions ol the key management personnel We￿ £519,09112021.. £769,125) w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 37 11.Trustees' remuneration and expenses During the year, a total of £19,796 was paid to 11 trustees as reimbursement oftravel expenses for RCR activities and £7,4C(J in the form of a technology allowance. In 2021 £28,914 to 21 trustees to reimbLJrse travel costs and £5,800 as a technology8llowance. Payments made offset the cost of personally owned electronic devices and service lor charity need. During the year ended 31 December 2022, no trustees received any remuneration or other benefils12021.' £NILI. There are no other related party transactions. 12 Int8nqible assets Database ICRM1) Database ICRM21 Development and research Intangible asset Total Cost Ai 1 lanu8ry2022 1,162M69 167,011 201,080 1,530,560 Additions 34,308 220,347 250,604 535,217 1,040,476 Transfers Di8P0881 Ai 31 December2022 1,196,777 220,347 417,615 736,297 2,571,036 Depreciation Ai 1 lanuary2022 185,081 21,214 206,295 Charge fortheyear 170,610 59,437 230,047 On disposals Impairment of assw. 450,WO 450,WO Ai 31 December 2022 805,691 80,651 886,342 Net bookvalue Al 31 December 2022 391,086 220,347 417,615 655,646 1,684,694 At37 December2021 977,388 167,017 7 79,866 7,324,265 °Impairment of asset relates to the existing database ICRM11. This intangible asset's usefLJI economic life has been assesed and the decision was taken to acceleratethe write down overthree years. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 38 13. Tangible f ixed assets Freehold Freehold Building Fumiture Computers Network Artwork land buildings infra- fixtures & structure fittings Totsl Cost or valuation Al 1 Janu8ry 2022 8,500,000 6,850,000 96,431 599,646 652,415 5,500 16,703,992 Additions 93.889 51,430 105,150 182,720 4,014 437,203 Transfer Disposa18 Revaluations 11,600,000) 750,000 (850,0001 At31 December 2022 6.900,000 7,600.000 190,320 651,076 757,565 182,720 9,514 16,291,194 Depreciation Al 1 January 2021 411.000 30,700 386,112 418,765 1,246,577 Charge for the year 137,000 10.276 68,880 144,043 28,858 389,057 Transfer On disposals RevalLJations 1548,OCK)I 1548,0001 At31 December 2022 40,976 454,992 562,808 28,858 1,087,634 Net bookvalue At31 December 2022 6,900,000 7,600,1)00 149,344 196,084 194,757 153,862 9,514 15,203,561 At31 December 2021 8,500,000 6,439,000 65,737 213,534 233,650 5,500 15,457,415 The book value ofihe freehold property at 63 Lincoln's Inn Fields is £14.5 million, which is based on the revalualion made byway ol Clutlons, external valuers, 88 defined in RICS ValLiation- Global Standards 2020 IThe Red Bookl, as at December 2022. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 39 14.1 nvestment property Investment properties Valuation At 1 lanu8ry2021 4,1)05,000 (1,325,OlXI) Disposal At31 December2022 2,680,000 Independent external valuations for each investment prOpertYwe￿ obtained from property agents. The results of the valuation as of 31 December 2022 showthatihere has been no net gain/llo8sl on the investment propety. The Trustees are satisfied with the valuation. 15. Fixed asset investments Listed investments 2022 2021 Cost orvaluation At1 lanuary2022 11,718,520 10,998,639 Additions 1,007,893 Disposals 1922,8011 11,600,723) (118,080) Revaluations 837,961 10,202,889 17,718,520 2022 2021 Sarasin ClimateAclive Endowment fund units 10,192,744 7 7, 17 7,572 Cash 10,145 1,008 10,202,889 11,718,520 Inveslments are lodged with Sarasin Partner's Climate Active fund. 16. E)ebtors 2022 2021 Charity£ Group£ Trade debtors 190,325 190,325 146,921 Other debtors 188,894 112,670 36,431 Amountsowed bygroup undertakings Prepayments and accrued income 319,253 303,151 430,513 312,470 620,838 733.508 495,822 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 17.Analysis ofcash and cash equivalents 2022 2021 Cash In hand 2,616,394 1,502,643 Cash in transit- Stripe 316,073 Total cash and cash equivalents 2,932N67 1,502,643 18. Creditors- amoLints falling due within one year 2022 2021 Charity£ Group£ Subscriptions and fees in advance 1,780,570 1,780,570 1,638,407 Trade creditors 523,021 523,021 889,773 Othertaxation and social security 178,783 178,783 164,345 Accruals and deferred income 1,894,433 3,579,103 441,972 CBIL loan 180,000 180,000 150,000 4,556,807 6,241,477 3,284,497 2022 2021 Charity£ Group£ Deferred income at 1 lanuary2021 376,842 376,842 733,499 Resources deferred during the year 1,776,450 3,458,170 376,842 Amounts rele88ed from previous periods 1376,8421 1376,8421 (133,499) 1,776M50 3,458,170 376,842 Deferred income relates to funds collected in advance for the future delivery ofexams, iRefer licence subscription and events. This liability represents the obligation to provide these services In the future. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 41 19. Creditors- amounts falling due after one year 2022 2021 CBILS108n 585,000 750,000 Royaliies contract bonus 30,0 40,000 iRefer royalities 307,492 922,493 790,000 CBILS unsecured loan is £900,000 over sixyears from March 2021 at a fixed interest rate. rep8y8ble from the first anniversary. Royally contract bonus was paid on signing new contract and will be 8morii8ed over the live-year life of the contracifrom I January2022. iRefer royalties provision relates lo licence subscription fee paid in 2022, for 2024 and 2025. 20. Statement offunds- current year Balance at 1 January 2022 Income Expenditure Transfers inlout Gainsl Balance at (losses) 31 December 2022 Restricted funds E-learnino projects Qsl accreditation prograrnme 207.680 18.5941 1140.4311 199,086 191,311 15,659 146,5391 20,000 NHS England Other restricted funds 60,000 50,000 109,1)05 8,113 14,4821 112,635 Prize fund 68,482 16,2681 62,214 Lecture fund 121.701 1,500 11061 123,1801 123,095 Research CO 490,682 467,502 Education fund 1,741,763 56,446 198,4491 1330,2421 1,369,514 2,930,624 131,714 1281,510) (46,539) 1330,242) 2,404,047 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 42 Balance at 1 January 2022 Income Expenditure Transfers inlout Gainsl Balance at (losses) 31 December 2022 Unrestricted funds General funds 8,056,796 8,995,989 110,087,732) 11,431,140) 11,023.8011 4510,112 Designatedfunds Building maintenance lund 500,000 500,000 Major projects fLJnd 397,848 397,848 Clinical oncology & r8diology R&D fund Cyclotron CR research fund (Kodak) 83,984 12101 83,774 180,862 4,210 11,9641 121,3031 161,805 867.002 127,7811 1142,2851 696,936 Worm8ld fund 630.374 630,374 Fixedassetfunds Freehold propety Fixed asset fund 14,939,000 411,000 1850,0001 14500,000 518,415 1252,0571 437,203 703,561 Intangible assets 1,324263 27,498,544 9,000,199 110,638,791) 30N29,168 9,131,913 110,920,301) 1680,0471 1,040,476 1,684,692 46,539 (2,037,389) 23,869,102 0 12,367,631) 26,273,149 Total of funds Purposes of restricted funds 81 E-learning projects.. funds held in connection with e-le8rning projects including R-ITI. bl QSI accreditation project.. funds used to help develop the Quality Standards in Imaging accreditalion programmejoinily with SCOR. £75,000 was trarnsfer￿d from the general fund to reflect RCR'S contribution to this programme in 2021. CI NHS England.. grantlunding received towardsihe NG Tubes Project. dl Other restricted funds.. includes funds set aside to support the development of professional development initiatives and new credentials. el fl gl h) We reportfour newfunds aimed at supporting leJures, prizes, clinical oncology research initiatives and other education purposes. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 43 Purposes of designated funds il Building maintenance fund held against uninsured risk of damage to or need for development of 63 Lincoln's Inn Fields, or against the costs ol a move to a new propertywhen the need arises. j) M2jor projects fund held to 8upportthe clinical oncology planning project and the exams reform projects, which started in 2022. kl Clinical oncologyand clinical radiology research and development funds are Ljsed to support research and leaching initiatives in those specialties. 11 Cyclotron.. funds held io promote awareness, Iraining and application of Cyclotron in the treatment of cancer. ml Clinical r8diology research fund donated by Kodak and reclassified as designated by agreement in 2021. nl Wormald fund held to support global education actiiqties of the RCR cfft2tèd from the reclassification of £630,374 of funds identified as designated In 2021. Fixed assetfunds ol Freehold property.. this represents the value relating to the combined land and buildings at 63 Lincoln's Inn Fields, LondonWC2. pl Fixed asset fund.. this is the book value of the unrestricted tangible fixed assets other than property held bythe College, of which tangible IS assets represent the largest proportion. ql Intangible asset fund.. represents the v21ue of the intangible assets including iRefer guidelines, Exams Hub platform and CRM application. Transfers between funds rl £46,539 was transferred Irom the general fund to the accreditation scheme restricted fund forthe 2022 RCR contribution to the scheme12021.. £75,000). SI £437,203 was transferred from general fund to the fixed asset fund to represent the addition of assets purchased in the year. t) £1,040,476 ￿preSentS intangible assets purchased in year. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 21a. Summaryoffunds-currentyear Balance at 1 January2022 Income Expenditure Transfers, gains/llosses} Balance at 31 December 2022 Designated funds 19,441,748 4,210 1551,0591 464,091 19,358,990 General funds 8.056,796 8,995,989 110.087,7321 12,454,941) 4,510.112 Restricted funds 2,930,624 131,714 1281,5101 1376,7811 2NO4047 30,429,168 9.131,913 110,920,301) {2,367,6311 26,273,149 21 b. Summaryoffund8- prioryear Balance at 1 January2021 Income Expendilure Transfers, Gainslllosses) Balanceal 31 December2021 Design8ted funds 17,610,880 5,359 (75,560) 1,511,042 79,051,721 General funds 8,484, 101 7,586, 175 (8, 707,308) I,￿￿5,255 8,456,823 Endowmentfunds 153,228 (151, 128) Restricted funds 3,904,998 250,359 (205,443) 1974,290) 2,930,624 30, 753,207 7,797,493 (8,990,4 11) 1,468,879 30,429, 768 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 45 22a. Analysis of netassets between funds- current year Unrestricted Total funds 2022 funds 2022 Restricted funds2022 Tangible fixed assels 15,203,561 15,203,561 Intangible fixed asset8 1,684,694 1,684,694 Fixed asset irwestments 1,369,514 8,833,376 10,202,889 Investment propety 2,680,000 2,680,000 Current assets 3,665,976 3,665,975 C￿dItorS due within 1 year 16,241,477) 16,241,477 Creditors due more than 1 ye8r 1922.4931 (922,4931 Total 1,369,514 24,903,635 26,273,149 22b. Analysis of net assets between funds- prioryear Restricted funds2021 Unrestricted Total fund$ 2021 funds 2021 Tangible fixed assets 15,457,415 15,457,415 Intangible fixed assets 1,324,265 7,324,265 Fixed asset investments 2,930,624 8, 787,896 11, 718,520 Investment property 4,(D5,000 4,005,000 Current assets 1,998,465 1,998,465 Creditors due wiihin 1 year 13,284,497) 13,284,497J Creditors due more than I (790,000) 1790,000) year Totsl 2,930,624 27,498,544 30,429,168 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 23. Reconciliation of net movement in fundsto net cash flowfrom operating activities 2022 2021 Nel income forthe year las per Statement of financial activitiesl 14156,019) 275,961 Adjustments for.. Dep￿cIatION charges 619,104 507,689 Impairment ol CRM 450,000 Revaluation of investment properlies 850,000 1605,OOOJ IGainsl/losses on investments 1.361,598 (883,880) Dividends, interesls and rents from inveslmenls 1349,0091 1397,442) Loss on the sale ol fixed a8set8 2,000 16,607 Ilncreasel/decrease in debtors 1237,6861 133,848 Increase/ldecre8sel in creditors 2,956,980 762,921 Net cash provided byoperating activities 1,496,958 (163,296) 24. Analysis of debt At 1 January 2022 Ca8h flow At 31 December 2022 C88h in hand 1,502,643 1,429,824 2,932,467 Tolal cash and cash equivalents 1,502,643 1.429.824 2,932N67 w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 47 25. RCR Education Ltd- statement of comprehensive incomeforthe period ended 31 December 2022 Total 2022 TURNOVER 1,257,410 Cost of sales (1,342,330) Gross Ilossl (84,920) Administralive expenses 1183,2WI Interest receivable / p8yable 12,9451 (LOSS) ON ORDINARY ACTMTIES BEFORE TAXATION {271,065) Taxation of profit on ordinary activities (LOSS) FOR THE PERIOD (271,065) STATEMENT OF RETAINED EARNINGS Total retained earnings broughtfotward (Lossl forthe period 1271,0651 Distribution under Gift Aid to parent charity Tolal retained Ilosses) al 31 December 2022 (271,065) w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 26. RCR Education Ltd - statement of f inancial position at 21 E)ecember 2022 Total 2022 CURRENT ASSErs Debiors 315,367 Cash at bank 1,424,348 1,739,715 CREDITORS Amounts falling due within one year 12,010,779) N￿CuRRE1wLIABILITlEs (271,064) Amouni falling due after morethan oneyear LIABILITIES {271,064) CAPITALAND RESERVES C811ed-up share capital Retained earnings 1271,0651 Shareholders, fund {271,064) RCR Education Ltd is a wholly owned trading subsidiary, RCR Education Ltd, was incorporated on 25 February 2022, company registration 13941872. The operating loss lorihe year ended 31 December 2022 was £271 k. The purpose ol the trading company is to carry on business as a general company forthe benefit of The Royal College ol Radiologists ag it sole member. The principal activities of the company in the period were the delivery of non-UK examinations and e-learning programmes. RCR Education Ltd's results are included in the consolidated financial statements. Haysmacintyre LLPwas appointed asthe company s auditor during the year. w.rcr.ac.uk Trusrees, reportand financial st81emenTS fortheyearended 31 December 2022 49 27. Consolidated statement of financial activities for the year ended 31 December 2021 Endowment funds2021 Restricted funds 2021 Unrestricted funds 2021 Totsl funds Note Income and endowmentsfrom: Donations and legacies 11,372 11,373 Charitable activities 122,228 7,203,931 7,326,159 Investments 71,757 381,495 453,252 Other income 6,709 6,709 Total in¢ome and endowment$ 205,358 7.592,135 7,797N93 Expenditure on: Charitable activities 2,100 205,442 8,782,870 8,990,412 Total expenditure 2,100 205,442 8,782,870 8,990,412 Gains/llossesl on revaluation of fixed 8ssets 605,000 605,000 Gains/llossesl on investments 296,958 566,922 863,880 Transfers 1151,1281 11,271,248) 1,422,376 Netmovement infunds (153,2281 1974,374) 1N03,563 275,961 Reconciliation of funds: Total funds broLJght forward 153,228 3,904,998 26,094,981 20,153,207 Net movement in funds 1153.2281 1974,3741 1,403,563 275,961 Total funds ¢arried forvoard 2.930,624 27N98,544 30N29.168 RCR The Royal C(l￿geOf RadI￿OgIstS The Royal College of Radiologists 63 Lincoln's Inn Fields London VVC2A 3JW +4410120 7405 1282 enquiries@rcr.ac.LJk wvvw.rcr.8c.uk @RCRadiologists The Royal College ol Radiologigts.Trustees' reportand financial statements lor the year ended 31 December 2022. London.. The Royal College of Radiologists, 2023. The Royal College ol Radiologists is a Charity regisiered wilh the Charitycommission No. 211540. The Roy81 College of Radiologists, August 2023. This rnateria1 has been produced byThe Royal College of Radiologists IRCRlfor use internallywithinthe speci81ties of clinical oncologyand clini￿1 radiology In the United Kingdom. It is provided for use byappropriatelyqualilied professionals. and the making olanydecision regarrjing the 8pplicabiliiyand suit8biliiyof the material in any particular Circumstance is subieci tothe user's profession8ljudgement. While every reasonablecare has been iaken toensureihe accLJracyof ihe ma1erial, RCR cannot accepi any responsibiliiy foranyaction taken. or not taken, on ihe b8sisof it As publisher. RCR shall not be liableto any personfor aryloss ord8mage. which may8risefrom the use of8ryofthe rnaterial. The RCR does ntst exelude or limit liabilitylordeath or personal Iniuryto the exteni onlythatthe same arisesas a iesuli olthe negligence of RCR. lis employees. Officers, members and Fellows, orary other person contributing toiheformulaiion of the materi81.