**Charity number: 212498** 

**THE CHARTERHOUSE RHEUMATISM CHARITY TRUSTEE'S REPORT AND FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **CONTENTS** 

||Page|
|---|---|
|**Reference and administrative details of the Charity, its Trustee and advisers**|1|
|**Trustee's report**|2 - 4|
|**Trustee's responsibilities statement**|5|
|**Independent auditors' report on the financial statements**|6 - 9|
|**Statement of financial activities**|10|
|**Balance sheet**|11|
|**Notes to the financial statements**|12 - 20|





**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **REFERENCE AND ADMINISTRATIVE DETAILS OF THE CHARITY, ITS TRUSTEE AND ADVISERS FOR THE YEAR ENDED 31 JULY 2025** 

## **Trustee** 

University of Leeds 

**Charity registered number** 212498 **Principal office** Central Finance Room 11.23 EC Stoner Building University of Leeds Leeds LS2 9JT **Independent auditors** Armstrong Watson Audit Limited Chartered Accountants & Statutory Auditors Third Floor 10 South Parade Leeds West Yorkshire LS1 5QS 

Page 1 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **TRUSTEE'S REPORT FOR THE YEAR ENDED 31 JULY 2025** 

The Trustee presents the annual report and the audited financial statements for the year ended 31 July 2025. 

## **Name and registered office of the Charity** 

The full name of the Charity is The Charterhouse Rheumatism Charity. The Charity is registered in England and Wales. Its principal and registered office is Central Finance, 11.23 EC Stoner Building, University of Leeds, Leeds LS2 9JT. 

## **Trustee** 

The University of Leeds is the Corporate Trustee of the Charity. Members of the University of Leeds Council are, for the purposes of Charity Law, the trustees of the University of Leeds and are disclosed on page 71 of its Integrated Annual Report for the University. 

## **Objectives and activities for the public benefit** 

The aims and objectives of the Charity are to advance research into rheumatism and musculoskeletal medicine by the University of Leeds Institute of Rheumatic and Musculoskeletal Medicine. 

The Trustee confirms that it has referred to the guidance contained in the Charity Commission’s general guidance on public benefit in its decision making. 

The Charity carries out the objectives by providing a grant to the University of Leeds which supports activity relating to rheumatic or musculoskeletal diseases and conditions. The Institute of Rheumatic and Musculoskeletal Medicine aims to; promote understanding of the causes; improve the diagnosis, treatment and rehabilitation of individuals; advance interventions and therapies; improve outcomes for individuals and promote and further the education of clinicians and people involved in the diagnosis, treatment and/or rehabilitation of individuals. In the year, donations of £100,000 (2024: £100,000) were made. 

## **Achievements, performance and future policy** 

The nature of performance and operations at Leeds Institute of Rheumatic and Musculoskeletal Medicine, University of Leeds, in the year met with the objectives of the Charity. The reserves of the Charity increased by £114,934 (2024: £324,696 increase) during the year. This was as a result of market movements in the value of investments. 

During the year, the main achievements of the grant provided to Leeds Institute of Rheumatic and Musculoskeletal Medicine included: 

- Achieving a new EPSRC Network+, co-leading with Imperial College and the Universities of Exeter and Newcastle, that recognises the importance of assistive and rehabilitation technology to the health and prosperity of the nation; 

- Continued growth in Devices for Dignity, the Institute’s long-standing collaboration with the University of Sheffield and Sheffield Teaching Hospital NHS Foundation Trust. The institute has led on the expansion of the assistive and rehabilitation technology theme, recruiting new theme co-leads as other colleagues retired, and been building the portfolio of new rehabilitation studies; 

- Continuation of the project on rehabilitation in Parkinson’s disease using augmented reality technology, which has now been approved for all neurological conditions by the Medicines and Healthcare products Regulatory Agency. The randomised control trial is progressing with participants across five sites in the UK. The study and NIHR award have resulted in the commercial partner, Strolll, securing over £10 million in private equity funding to expand its workforce, supporting the transition from analogue to digital, moving rehabilitation services from hospital into the community, and shifting Parkinson’s care from treating falls to preventing falls; 

- Completion of the LOCOMOTION study, giving valuable insights into Long Covid; 

- Securing £1.5m in funding from NIHR for the Health Effects of Residual Infections: Tailoring services and Advancing GuidancE (HERITAGE) to expand on the most promising treatments developed during the LOCOMOTION study, bringing the learning to other conditions, including chronic fatigue syndrome and fibromyalgia; 

- Progression with work on the role of continuous stratification in stroke rehabilitation using digital twins. An app has been developed that can be used during rehabilitation to monitor progress and inform the next stage of treatment. The app will be deployed in a clinical trial commencing in 2026; 

Page 2 



**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **TRUSTEE'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2025** 

- Endurance of the COVID-19 Yorkshire Rehabilitation Scale (C19-YRS) outcome measure as the most widely used measure for people with long covid following its translation into over 40 languages, and its extensive use in industry-funded trials; 

- Expanding the suite of outcome measures on the University of Leeds website, obtainable through a free licence for researchers and clinicians and through a commercial licence for industry, to use to monitor the impact of rheumatological and neurological conditions and their treatment; 

## **Financial review and reserves** 

The Charity’s work is entirely reliant on income and investment returns from its investments. During the year the net expenditure before investment gains amounted to £1,893 (2024: income of £1,175), with investment gains of £116,827 (2024: gains of £323,521) contributing to a net increase of funds by £114,934 (2024: increase of £324,696). The Charity has substantial net assets and the Trustee believes that the reserves of £4,000,926 (2024: £3,885,992) are sufficient to fund the day-to-day working capital requirements and to continue the objectives of the Charity. 

The value of the investments has been impacted by the current economic situation and recent global events. 

The total fund gain before fees and costs of 6.1% (2024: 12.6% gain) is below the index benchmark of a gain of 10.5% (2024: 14.1% gain). The Charity continues to invest in the Climate Active fund, a fund which aligns its investments with the goals of the Paris Climate Accord. The Trustee believes that continuing to invest in the Climate Active fund, despite achieving lower returns on average than other fund options in the short-term, is ethically and strategically the right approach for the Charity. The Trustee remains confident that the long-term target of CPI+4% will be achieved. 

The Trustee aims to maintain free reserves in unrestricted funds to support donations made throughout the year to fulfil the objectives of the Charity. There is no further policy around reserves. The balance held as unrestricted reserves at 31 July 2025 was £4,000,926 (2024: £3,885,992). 

## **Going concern** 

The principal risks facing the Charity are discussed in this Trustee’s report. The Trustee has reviewed the cash position of the Charity and cash forecasts at the date of signing the financial statements and is satisfied that the Charity will be able to meet all of its financial commitments. As a consequence, the Trustee believes that the Charity is well placed to manage its financial risks successfully. 

After making enquiries, the Trustee has a reasonable expectation that the Charity has adequate reserves to continue in operational existence for a minimum of 12 months after signing date. Under the current strategy of granting £100,000 annually to the University of Leeds. The Charity currently holds sufficient reserves to make over 30 years of grants. Accordingly, the Trustee continues to adopt the going concern basis in preparing the financial statements. 

## **Statement of investment policy** 

The Trust Deed permits wide powers of investment. Investments are monitored closely by Central Finance at the University of Leeds on behalf of the Trustee. The funds are managed and invested on behalf of the Charity by Sarasin & Partners. 

## **Risk management** 

The principal risks faced by the Charity lie in the performance of investments. The Trustee considers variability of investment returns to constitute the Charity’s major financial risk. This is mitigated by retaining expert investment managers and having diversified investments within the climate active investment fund. 

The Trustee has examined the major business, strategic and operational risks that the Charity faces and confirms that systems have been established to enable regular reports to be produced so that the necessary steps can be taken to lessen these risks. 

Page 3 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **TRUSTEE'S REPORT (CONTINUED) FOR THE YEAR ENDED 31 JULY 2025** 

## **Related parties** 

All grants payable were paid to the University of Leeds. 

The Trustee is the University of Leeds, which provides finance, secretariat, legal and treasury services to the Charity for an annual fee of £5,014 (2024: £4,872). 

## **Structure, governance and management** 

The Charity is a registered charity in England & Wales, Charity number 212498. The Charity is governed by the Trust Deed dated 1 November 1936, as varied or affected by Schemes of the Charity Commissioners of the 9th January 1975 and 3rd December 1980. 

The University of Leeds was appointed as Corporate Trustee under a Charity Commission scheme effective 25 October 1996. Central Finance at the University of Leeds ensures that the Charity complies with all legal and statutory requirements and conducts its affairs in conformity with the Trust Deed and the practices and requirements as prescribed by the Council for the corporate governance of the University. The University has established an administrative team to undertake the day-to-day responsibilities of the Charity, including maintenance of appropriate records, preparation of accounts and reporting to Council on an annual basis. The University ensures that the administrative team are inducted, trained and have adequate resources to complete this role. 

This financial year the purposes of the Charity have been amended pursuant to section 280A of the Charities Act 2011 and in accordance with consent from the Charity Commission. As a result of the change, the Charity's purpose is to advance research into rheumatism and musculoskeletal medicine by the University of Leeds Institute of Rheumatic and Musculoskeletal Medicine. 

Armstrong Watson Audit Limited has been reappointed as the statutory auditor to the Charity. 

Approved by order of the Corporate Trustee and signed on its behalf by: 


................................................ **Alan Thomson** Corporate Trustee Date: 22/01/2026 

Page 4 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **STATEMENT OF TRUSTEE'S RESPONSIBILITIES FOR THE YEAR ENDED 31 JULY 2025** 

The Trustee is responsible for preparing the Trustee's report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice). 

The law applicable to charities in England & Wales requires the Trustee to prepare financial statements for each financial  which give a true and fair view of the state of affairs of the Charity and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the Trustee is required to: 

- select suitable accounting policies and then apply them consistently; 

- observe the methods and principles of the Charities SORP (FRS 102); 

- make judgements and accounting estimates that are reasonable and prudent; 

- state whether applicable UK Accounting Standards (FRS 102) 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 Trustee is responsible for keeping adequate accounting records that are sufficient to show and explain the Charity's transactions and disclose with reasonable accuracy at any time the financial position of the Charity and enable them to ensure that the financial statements comply with the Charities Act 2011, the Charity (Accounts and Reports) Regulations 2008 and the provisions of the Trust Deed. The Trustee is also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. 

Page 5 



**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF  THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **Opinion** 

We have audited the financial statements of The Charterhouse Rheumatism Charity (the 'charity') for the year ended 31 July 2025 which comprise the Statement of financial activities, the Balance sheet, and the related notes, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). 

The financial statements have been prepared in accordance with Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standards applicable in the UK and Republic of Ireland (FRS 102) in preference to the Accounting and Reporting by Charities: Statement of Recommended Practice issued on 1 April 2005 which is referred to in the extant regulations but has been withdrawn. 

This has been done in order for the accounts to provide a true and fair view in accordance with the Generally Accepted Accounting Practice effective for reporting periods beginning on or after 1 January 2015. 

In our opinion the financial statements: 

- give a true and fair view of the state of the charity's affairs as at 31 July 2025 and of its incoming resources and application of resources for the year then ended; 

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and 

- have been prepared in accordance with the requirements of the Charities Act 2011. 

## **Basis for opinion** 

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. 

## **Conclusions relating to going concern** 

In auditing the financial statements, we have concluded that the Trustee's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. 

Our responsibilities and the responsibilities of the Trustee with respect to going concern are described in the relevant sections of this report. 

Page 6 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF  THE CHARTERHOUSE RHEUMATISM CHARITY (CONTINUED)** 

## **Other information** 

The other information comprises the information included in the Annual report other than the financial statements and our Auditors' report thereon. The Trustee is responsible for the other information contained within the Annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. 

We have nothing to report in this regard. 

## **Matters on which we are required to report by exception** 

We have nothing to report in respect of the following matters where the Charities (Accounts and Reports) Regulations 2008 requires us to report to you if, in our opinion: 

- the information given in the Trustee's report is inconsistent in any material respect with the financial statements; or 

- sufficient accounting records have not been kept; or 

- the financial statements are not in agreement with the accounting records and returns; or 

- we have not received all the information and explanations we require for our audit. 

## **Responsibilities of the Trustee** 

As explained more fully in the Trustee's responsibilities statement, the Trustee is responsible for the preparation of the financial statements which give a true and fair view, and for such internal control as the Trustee determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. 

In preparing the financial statements, the Trustee is responsible for assessing the charity's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustee either intends to liquidate the charity or to cease operations, or has no realistic alternative but to do so. 

Page 7 



**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF  THE CHARTERHOUSE RHEUMATISM CHARITY (CONTINUED)** 

## **Auditors' responsibilities for the audit of the financial statements** 

We have been appointed as auditor under section 145 of the Charities Act 2011 and report in accordance with the Act and relevant regulations made or having effect thereunder. 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. 

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 

Our approach non-compliance to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and with laws and regulations, was as follows: 

- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations, such as the Charities Act 2011; 

- we identified the laws and regulations applicable to the charitable company through discussions with Trustees and other management; 

- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management; and 

- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. 

We assessed the susceptibility of the charitable company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: 

- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and 

- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. 

To address the risk of fraud through management bias and override of controls, we: 

- performed analytical procedures as a risk assessment tool to identify any unusual or unexpected relationships; 

- tested journal entries to identify unusual transactions; and 

- In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: 

- agreeing financial statement disclosures to underlying supporting documentation; and 

- enquiring of management as to actual and potential litigation and claims. 

Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements 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 likely to 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 of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' report. 

Page 8 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF  THE CHARTERHOUSE RHEUMATISM CHARITY (CONTINUED)** 

## **Use of our report** 

This report is made solely to the Charity's Trustee, in accordance with Part 4 of the Charities (Accounts and Reports) Regulations 2008. Our audit work has been undertaken so that we might state to the Trustee those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and its Trustee for our audit work, for this report, or for the opinions we have formed. 

## Armstrong Watson Audit Limited 

Armstrong Watson Audit Limited (Jan 27, 2026 09:55:21 GMT) 

## **Armstrong Watson Audit Limited** 

Chartered Accountants & Statutory Auditors Statutory Auditors 

Leeds 

Date: 

Armstrong Watson Audit Limited are eligible to act as auditors in terms of section 1212 of the Companies Act 2006. 

Page 9 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **STATEMENT OF FINANCIAL ACTIVITIES FOR THE YEAR ENDED 31 JULY 2025** 

|**Note**<br>**Income from:**<br>Investments<br>3<br>**Total income**<br>**Expenditure on:**<br>Raising funds<br>4<br>Charitable activities<br>**Total expenditure**<br>**Net (expenditure)/income before net gains on**<br>**investments**<br>Net gains on investments<br>**Net movement in funds**<br>**Reconciliation of funds:**<br>Total funds brought forward<br>Net movement in funds<br>**Total funds carried forward**|**Unrestricted**<br>**funds**<br>**2025**<br>**£**<br>**124,501**<br>**124,501**<br>**13,491**<br>**112,903**<br>**126,394**<br>**(1,893)**<br>**116,827**<br>**114,934**<br>**3,885,992**<br>**114,934**<br>**4,000,926**|**Total**<br>**funds**<br>**2025**<br>**£**<br>**124,501**<br>**124,501**<br>**13,491**<br>**112,903**<br>**126,394**<br>**(1,893)**<br>**116,827**<br>**114,934**<br>**3,885,992**<br>**114,934**<br>**4,000,926**|Total<br>funds<br>2024<br>£<br>125,947|
|---|---|---|---|
||||125,947|
||||12,594<br>112,178|
||||124,772|
||||1,175<br>323,521|
||||324,696|
||||3,561,296<br>324,696|
||||3,885,992|



The Statement of financial activities includes all gains and losses recognised in the year. 

The notes on pages 12 to 20 form part of these financial statements. 

Page 10 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **BALANCE SHEET AS AT 31 JULY 2025** 

|**Note**<br>**Fixed assets**<br>Investments<br>7<br>**Current assets**<br>Debtors<br>8<br>Cash at bank and in hand<br>Creditors: amounts falling due within one<br>year<br>9<br>**Net current assets**<br>**Total net assets**<br>**Charity funds**<br>Unrestricted funds<br>11<br>**Total funds**|**7,244**<br>**89,763**<br>**97,007**<br>**(17,272)**|**2025**<br>**£**<br>**3,921,191**<br>**3,921,191**<br>**79,735**<br>**4,000,926**<br>**4,000,926**<br>**4,000,926**|9,913<br>88,148<br>98,061<br>(16,433)|2024<br>£<br>3,804,364|
|---|---|---|---|---|
|||||3,804,364<br>81,628|
||||||
|||||3,885,992|
|||||3,885,992|
||||||
|||||3,885,992|



The financial statements were approved and authorised for issue by the Trustee and signed on its behalf by: 

................................................ 

**Alan Thomson** Corporate Trustee Date: 22/01/2026 

The notes on pages 12 to 20 form part of these financial statements. 

Page 11 



**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **1. Accounting policies** 

## **1.1 Basis of preparation of financial statements** 

The financial statements have been prepared in accordance with the Charities SORP (FRS 102) - Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Charities Act 2011. 

The financial statements have been prepared to give a 'true and fair' view, in line with the Charities SORP (FRS 102) published in October 2019. 

The Charterhouse Rheumatism Charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy. As a small charity, the Charity has taken an exemption from the presentation of a cash flow statement. 

The entity is a charitable trust and is registered with the Charity Commission. 

The functional currency is pounds sterling as this is the currency of the principal economic environment in which it operates. 

## **1.2 Going concern** 

The principal risks facing the Charity are discussed in the Trustee’s report. The Trustee has reviewed the cash position of the Charity and cash forecasts at the date of signing the financial statements and is satisfied that the Charity will be able to meet all of its financial commitments. As a consequence, the Trustee believes that the Charity is well placed to manage its financial risks successfully. After making enquiries, the Trustee has a reasonable expectation that the Charity has adequate reserves to continue in operational existence for a minimum of 12 months after the signing date. Accordingly, the Trustee continues to adopt the going concern basis in preparing the financial statements. 

## **1.3 Fund accounting** 

Unrestricted funds are available to spend on activities that further any of the purposes of the Charity. 

## **1.4 Income** 

All income is recognised once the Charity has entitlement to the income, any performance conditions attached to the income has been met, it is probable that the income will be received and the amount of income can be measured reliably. Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the Charity; this is normally upon notification of the interest paid or payable by the bank. 

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**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **1. Accounting policies (continued)** 

## **1.5 Expenditure** 

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure is classified under the following activity headings: 

Expenditure on raising funds includes the costs incurred in regard to investment management costs. 

Expenditure on charitable activities includes: 

- Grants payable: Grants are given in support of projects which further the objectives of the Charity. 

- Support costs: Cost of functions that assist the work of the Charity but do not directly undertake charitable activities. Support costs include back-office costs, finance, personnel, payroll and governance costs which support the Charity's programmes and activities. These costs are allocated to charitable activities as there are no identifiable support costs incurred in investment management activities. 

## **1.6 Realised gains and losses** 

All gains and losses are taken to the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference between sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the difference between the fair value at the year end and their carrying value. Realised and unrealised gains and losses are combined in the Statement of Financial Activities. 

## **1.7 Investments** 

Investments are included in the financial statements at market value. The Statement of Financial Activities includes the net gains and losses arising on revaluations and disposals throughout the year. The Charity does not acquire put options, derivatives or other complex financial instruments. 

The main form of financial risk faced by the Charity is that of volatility in equity markets and investment markets due to wider economic conditions, the attitude of investors to investment risk, and changes in sentiment concerning equities within particular sectors or subsectors. 

## **1.8 Debtors** 

Trade and other debtors are recognised at the settlement amount after any trade discount offered. Prepayments are valued at the amount prepaid net of any trade discounts due. 

## **1.9 Cash at bank and in hand** 

Cash at bank and in hand includes cash and short-term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 

## **1.10 Liabilities and provisions** 

Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past event, it is probable that a transfer of economic benefit will be required in settlement, and the amount of the settlement can be estimated reliably. 

Liabilities are recognised at the amount that the Charity anticipates it will pay to settle the debt or the amount it has received as advanced payments for the goods or services it must provide. 

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**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **1. Accounting policies (continued)** 

## **1.11 Financial instruments** 

Financial assets and financial liabilities are recognised when the Charity becomes a party to the contractual provisions of the instrument. All financial assets and liabilities are initially measured at transaction price (including transaction costs), except for those financial assets classified as at fair value through profit or loss, which are initially measured at fair value (which is normally the transaction price excluding transaction costs), unless the arrangement constitutes a financing transaction. If an arrangement constitutes a finance transaction, the financial asset or financial liability is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. 

The Charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost less impairment. 

Cash at bank and cash in hand includes cash and short term highly liquid investments with a short maturity of three months or less from the date of acquisition or opening of the deposit or similar account. 

## **2. Critical accounting estimates and areas of judgement** 

In the application of the Charity’s accounting policies, which are described in note 1, the Trustee is required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be 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 affects both current and future periods. The Trustee does not consider there are any critical judgements or sources of estimation uncertainty requiring disclosure beyond the accounting policies listed above. 

## **3. Investment income** 

|**Unrestricted**<br>**funds**<br>**2025**<br>**£**<br>Sarasin investment portfolio<br>121,453<br>Bank interest<br>3,048<br>124,501|**Total**<br>**funds**<br>**2025**<br>**£**<br>**121,453**<br>**3,048**<br>**124,501**|Total<br>funds<br>2024<br>£<br>121,924<br>4,023|
|---|---|---|
|||125,947|



Page 14 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **4. Expenditure on raising funds** 

|**Unrestricted**<br>**funds**<br>**2025**<br>**£**<br>Portfolio management fees<br>13,491<br>13,491|**Total**<br>**funds**<br>**2025**<br>**£**<br>**13,491**<br>**13,491**|Total<br>funds<br>2024<br>£<br>12,594|
|---|---|---|
|||12,594|



## **5. Analysis of expenditure by activities** 

|Grants payable - Rheumatism research<br>Grants payable - Rheumatism research|**Grant**<br>**funding of**<br>**activities**<br>**2025**<br>**£**<br>100,000<br>100,000<br>Grant<br>funding of<br>activities<br>2024<br>£<br>100,000<br>100,000|**Support**<br>**costs**<br>**2025**<br>**£**<br>12,903<br>12,903<br>Support<br>costs<br>2024<br>£<br>12,178<br>12,178|**Total**<br>**funds**<br>**2025**<br>**£**<br>**112,903**|
|---|---|---|---|
||||**112,903**|
||||Total<br>funds<br>2024<br>£<br>112,178|
||||112,178|



Expenditure on charitable activities in 2025 and 2024 was unrestricted. 

Page 15 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **5. Analysis of expenditure by activities (continued)** 

## **Analysis of support costs** 

|Statutory audit<br>Legal and professional<br>Bank charges<br>Accounts preparation|**Activities**<br>**2025**<br>**£**<br>7,080<br>5,014<br>29<br>780<br>12,903|**Total**<br>**funds**<br>**2025**<br>**£**<br>**7,080**<br>**5,014**<br>**29**<br>**780**<br>**12,903**|Total<br>funds<br>2024<br>£<br>6,552<br>4,872<br>34<br>720|
|---|---|---|---|
||||12,178|



There were no staff costs incurred in the year (2024: £nil). No staff were employed by the Charity in the year (2024: None). Those costs above labelled as audit and legal and professional are classified as governance costs for the Charity. 

## **6. Analysis of grants** 

|University of Leeds<br>University of Leeds|**Grants to**<br>**Institutions**<br>**2025**<br>**£**<br>100,000<br>100,000<br>Grants to<br>Institutions<br>2024<br>£<br>100,000<br>100,000|**Total**<br>**funds**<br>**2025**<br>**£**<br>**100,000**|
|---|---|---|
|||**100,000**|
|||Total<br>funds<br>2024<br>£<br>100,000|
|||100,000|



All grants in the year were made to the University of Leeds, the Corporate Trustee. 

Page 16 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **7. Fixed asset investments** 

|**Cost or valuation**<br>At 1 August 2024<br>Net unrealised investments gains<br>At 31 July 2025|**Listed**<br>**investments**<br>**£**<br>**3,804,364**<br>**116,827**|
|---|---|
||**3,921,191**|



The investment portfolio comprises one single investment in the Climate Active Fund. There have been no additional investments in or disposals out of the investment fund during the year ended 31 July 2025. 

## **Investment listed or traded on a recognised stock exchange** 

|**Market value analysed between:**<br>Investments<br>UK Equities|**2025**<br>**£**<br>**3,804,364**<br>**3,804,364**<br>**2025**<br>**£**<br>**3,804,364**<br>**3,804,364**|2024<br>£<br>3,480,844|
|---|---|---|
|||3,480,844|
|||2024<br>£<br>3,480,844|
|||3,480,844|



All investments are listed. The historic cost of the investments since moving to the Climate Active Fund, is £3,603,863 (2024: £3,603,863). 

The investment manager’s charges were £13,491 (2024: £12,594) and are included in analysis of expenditure on raising funds in note 4. 

## **8. Debtors** 

|**Due within one year**<br>Prepayments and accrued income|**2025**<br>**£**<br>**7,244**<br>**7,244**|2024<br>£<br>9,913|
|---|---|---|
||||
|||9,913|



Page 17 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **9. Creditors: Amounts falling due within one year** 

|Trade creditors<br>Accruals|**2025**<br>**£**<br>**5,018**<br>**12,254**<br>**17,272**|2024<br>£<br>4,875<br>11,558|
|---|---|---|
||||
|||16,433|



## **10. Financial instruments** 

|**Financial assets**<br>Financial assets at fair value through Statement of Financial Activities -<br>Investments<br>Financial assets at amortised cost - Cash and cash equivalents<br>Financial assets at amortised cost - Prepayments and accrued income<br>**Financial liabilities**<br>Financial liabilities at amortised cost - Creditors|**2025**<br>**£**<br>**3,921,191**<br>**89,763**<br>**7,244**<br>**4,018,198**<br>**2025**<br>**£**<br>**17,272**|2024<br>£<br>3,804,364<br>88,148<br>9,913|
|---|---|---|
||||
|||3,902,425|
|||2024<br>£<br>16,433|



Page 18 



**THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **11. Statement of funds** 

## **Statement of funds - current year** 

|**Balance at 1**<br>**August 2024**<br>**£**<br>**Unrestricted funds**<br>General Funds - all funds<br>**3,885,992**<br>**Statement of funds - prior year**<br>Balance at<br>1 August<br>2023<br>£<br>**Unrestricted funds**<br>General Funds - all funds<br>3,561,296|**Income**<br>**£**<br>**124,501**<br>Income<br>£<br>125,947|**Expenditure**<br>**£**<br>**(126,394)**<br>Expenditure<br>£<br>(124,772)|**Gains/**<br>**(Losses)**<br>**£**<br>**Balance at**<br>**31 July 2025**<br>**£**<br>**116,827**<br>**4,000,926**<br>Gains/<br>(Losses)<br>£<br>Balance at<br>31 July 2024<br>£<br>323,521<br>3,885,992|**Gains/**<br>**(Losses)**<br>**£**<br>**Balance at**<br>**31 July 2025**<br>**£**<br>**116,827**<br>**4,000,926**<br>Gains/<br>(Losses)<br>£<br>Balance at<br>31 July 2024<br>£<br>323,521<br>3,885,992|
|---|---|---|---|---|
|||||Balance at<br>31 July 2024<br>£<br>3,885,992|



## **12. Analysis of net assets between funds** 

## **Analysis of net assets between funds - current year** 

|**Unrestricted**<br>**funds**<br>**2025**<br>**£**<br>Fixed asset investments<br>3,921,191<br>Current assets<br>97,007<br>Creditors due within one year<br>(17,272)<br>**Total**<br>4,000,926|**Total**<br>**funds**<br>**2025**<br>**£**<br>**3,921,191**<br>**97,007**<br>**(17,272)**|
|---|---|
||**4,000,926**|



Page 19 



## **THE CHARTERHOUSE RHEUMATISM CHARITY** 

## **NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2025** 

## **12. Analysis of net assets between funds (continued)** 

## **Analysis of net assets between funds - prior year** 

|Fixed asset investments<br>Current assets<br>Creditors due within one year<br>**Total**|Unrestricted<br>funds<br>2024<br>£<br>3,804,364<br>98,061<br>(16,433)<br>3,885,992|Total<br>funds<br>2024<br>£<br>3,804,364<br>98,061<br>(16,433)<br>3,885,992|
|---|---|---|



## **13. Related party transactions** 

During the year grants totalling £100,000 (2024: £100,000) were payable to the University of Leeds which supports the Charterhouse Professor of Rehabilitation Medicine who is head of Rehabilitation Medicine at the University of Leeds, the Corporate Trustee; in respect of research into rheumatism and the treatment thereof and to provide relief to individuals to support the primary purpose of the Charity. 

Amounts totalling £5,014 (2024: £4,872) were paid to the University of Leeds for legal and professional services provided. This covers finance, secretariat, legal, and treasury activity. This amount was included as a creditor at the year end, as an unsecured payable. 

## **14. Controlling party** 

In the opinion of the Trustee, the ultimate parent and controlling party is the University of Leeds, an exempt charity registered in England and Wales. The University of Leeds is the controlling party by virtue of being the Corporate Trustee. 

Page 20