2021-06-30-accounts

The Lullaby Trust Limited Annual report and consolidated financial statements for the year 1 July 2020 - 30 June 2021

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Introduction from our Chief Executive

With the ongoing pandemic, 2020-2021 was a time of uncertainty but it was also an opportunity for The Lullaby Trust to adapt in order to continue to provide safer sleep advice and support services to families who need it the most during what is still an unprecedented time.

This has been a difficult period for all, particularly bereaved families whose grief may have been further exacerbated by being unable to see family and friends in the lockdowns. We hope our bereavement support services have been a source of support and comfort during the most unimaginable time. New families told us they received less guidance around reducing the risk of sudden infant syndrome, and our leaflets and services have provided vital information.

We have been overwhelmed with the generosity of our loyal supporters, corporate partners Halo and Snuza, and numerous trusts and foundations for their unwavering support this past year. A special thank you to the London Community Response Fund which allowed us to send leaflets to neonatal units as well as Public Health England.

2021 was also our 50th anniversary year – which we’ve marked online so far and through limited edition pin badges. Other highlights this year include the success of Safer Sleep week in March 2021 as well as the BBC Lifeline appeal presented by Kym Marsh, which featured powerful stories of bereaved parents we have supported. We’re grateful to all those who shared their stories which generated vital funds for the charity.

I am incredibly proud of how The Lullaby Trust has adapted throughout this challenging time and also how our donors continued their support for our essential services. I would like to take this opportunity to extend my deep gratitude to each and every one of our staff members, supporters, donors, partners, Trustees, committee members and celebrity ambassadors - without you, we would not have been able to continue delivering our life changing services.

Thank you.

Jenny Ward Chief Executive

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Introduction from our Chair

It is a pleasure and privilege to be appointed Chair of The Lullaby Trust. As a bereaved parent myself and a mother of two living children, I have first-hand experience of using The Lullaby Trust’s services. I’m excited to play a key role in shaping the future of this tremendous charity and implementing strategies aimed at reducing social deprivation and inequalities which could help prevent further sudden infant deaths.

COVID-19 has brought renewed challenges to the charity sector. 2020-2021 saw us adapt our fundraising and communication activities so we could continue to engage people with our work and raise much needed funds. None of this would have been possible without the support of my fellow Trustees, committee members and The Lullaby Trust staff, whose dedication and passion amazes me. It’s because of you we’ve been able to achieve what is set out in this report and to have such an impact on families.

In May 2021, a report from the National Child Mortality

Database (NCMD) found a clear association between the risk of child death and social deprivation in England, including sudden infant death. We’ve seen through the decline in SIDS rates over the last 30 years that safer sleep saves babies lives. Yet, the circumstances and environment relating to deprivation can make following safer sleep advice more difficult, i.e., unsuitable and poor housing is a recognised risk factor for sudden infant death. We are committed to ensuring that everyone who cares for a baby has access to safer sleep advice. We produce accessible resources including easy read cards which are available in multiple languages, as well as text free animations.

We will continue to strive to do more and reach everyone that needs our help and support. We are incredibly grateful for the help we have received from our wonderful supporters who have continued to take on challenges and whose dedication has allowed us to continue our essential work. Despite the threat posed by the pandemic, we are determined to continue to decrease the risk of SIDS in the UK and provide support for bereaved families and carers. A heartfelt thank you in particular to former doctor turned comedy writer, performer and best-selling author, Adam Kay who generously continued his support of The Lullaby Trust. Adam’s commitment to raising awareness and vital funds for The Lullaby Trust is truly outstanding.

We are extremely grateful to our loyal staff, volunteer befrienders, and donors who have stood by us and enabled us to continue our fundamental work and support families during the prolonged pandemic. To each and every supporter, befriender, corporate partner, ambassador, supporting trust or foundation, community and event participant, we offer our sincere thanks.

Dr Stephanie Goater Chair of The Lullaby Trust

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Why we exist

The death of a baby is devastating for families. Every week in the UK, around four babies die from sudden infant death syndrome (SIDS). Also known as cot death, SIDS is when a seemingly healthy baby dies unexpectedly and no cause is found after post mortem.

The Lullaby Trust aims to prevent sudden infant death by providing lifesaving information to all families on how to reduce the risk of SIDS. We also support research that looks into SIDS to understand why babies and young children die suddenly and unexpectedly and how these deaths can be prevented in the future.

For those families who have sadly lost a baby, The Lullaby Trust provides bereavement support and campaigns for better, consistent bereavement care across the UK.

The work we have done has resulted in a drop of more than 80% in SIDS since 1991, saving the lives of around 20,000 babies. We have invested over £12 million in SIDS research and provided support to thousands of bereaved families.

All of The Lullaby Trust’s activities are focused on our ultimate aim of eliminating preventable sudden infant death in England, Wales and Northern Ireland and supporting bereaved families.

In our first 50 years, we have used evidence to drive a significant reduction in SIDS. We are keen to work with others to use an evidence-based approach to reduce baby and child deaths and continue to support bereaved families.

We are committed to achieving our strategic objectives by close working and partnerships with other organisations with similar objectives. In 2020 we published a two- year strategy, which set out our three key objectives:

1. Secure annual reductions in the rate of SIDS

2. Ensure bereavement support is available to all families affected by sudden infant death, at any time, and with any baby born after a bereavement

3. Commit to keeping SIDS on the research and policy agenda

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Our activities and achievements

In 2020-21:

• 97% of health professionals who attended our

• training sessions said the quality of the training was high

• 95% would recommend our training to their colleagues

• We provided 1,483 professionals with training on safer sleep advice

• 171,395 leaflets on safer sleep advice were sent out to parents, carers and professionals working with families

• 3,450 families contacted us for information on safer sleep

• 827 professionals contacted us for information on

• safer sleep

• 1,080 bereaved families contacted us for direct support

• 469 professionals contacted us for support on behalf of a family they are working with

• 53 bereaved families were allocated a Befriender to offer peer-to-peer support during the year

1. To reduce the numbers of babies who die from SIDS by promoting our Safer Sleep messages

Throughout 2020-2021, we have continued to grow our profile and our online following, allowing us to reach an increasing number of parents with our safer sleep advice.

We provided 1,483 professionals with safer sleep advice. Our training was put on hold at the start of the pandemic whilst we developed our new training online. We have distributed over 76,000 guides for parents on safer sleep for babies and a further 25,262 easy-read cards.

Over the year, we had over 3.7 million-page views on our website (an 8.5% increase from last year) with our safer sleep advice pages receiving the most visits. We increased our Facebook likes by 34% to over 67,700.

In March 2021, we ran our seventh Safer Sleep Week campaign to raise awareness of SIDS and our safer sleep advice. The focus of the 2021 campaign was on Dads, who often have a key role in the care of their baby and in some cases, they are the primary carer. It is therefore crucial they understand how to reduce the risk of SIDS and sleep their baby safely. However, our figures suggest that Dads are not engaging with this information in the same way as Mums. Our audience figures are overwhelmingly female and almost all of the enquiries we receive come from Mums.

For our 2021 Safer Sleep Week campaign we spoke to Dads to understand the barriers they face to accessing and engaging with safer sleep advice. We carried out a survey of over 500 new and expectant Dads that indicated that lockdown restrictions combined with the increased pressure placed on public health services by COVID-19 had made it even harder for Dads to access vital support and information on how to reduce the risk of SIDS. The survey results showed that less than a

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quarter of Dads had been able to attend all antenatal appointments and over 50% have not been allowed to attend any at all.

At The Lullaby Trust, a huge part of the work we do involves supporting new families and making sure that anyone who cares for a baby has access to up-to-date safer sleep advice. Therefore, it’s paramount that the messages and images we post on our social media channels appropriately reflect all family types that need this advice. If people see themselves represented in our advice and imagery, they are more likely to engage with it.

We once again partnered with Public Health England to produce resources for new and expectant Dads. We had a productive quality session with a new Dad who provided excellent feedback on concepts we came up with for a bespoke Dad’s resource. The strong recommendation for a father’s resource tool was a credit size reference card with simple steps on safer sleep and a QR code that links to a bespoke Dad’s Resource page on The Lullaby Trust website with further information. There was also a suggestion that it may also be worth creating a top 10 tips for Dads for Health Professionals, to help them to improve engagement with Dads and how to involve them in the maternity experience as much as Mums.

With the National Health Service placed under continued high level of pressure, new and expectant parents, particularly the most vulnerable, have been left with less information and guidance around safer sleep and baby care. Therefore, getting information to parents in the most accessible way has become a top priority for us. Funding from the London Community Response Fund has allowed us to start work on a series of animations covering the key questions and areas of concern that come up repeatedly on our information line and social media channels. One of the animations will be text free and silent to ensure safer sleep advice is available for parents who don’t speak English or struggle with reading.

The 2021 Safer Sleep Week campaign was successful on social media with our Facebook posts reaching a combined total of 1,317,300 people and generating 94,622 engagements (likes, shares, comments and clicks.) This success was also seen on our Instagram page where our posts reached 207,312 people.

In the Spring we set up a New and Expectant Parents Panel as we recognise the need to have families’ input and participation into our safer sleep advice and messaging and to help us make the advice as relevant and representative as possible for everyone who cares for a baby.

Over 43,000 visits were made to our website during the campaign. Whilst media coverage was down from previous years, due to the pandemic being the top health story, we achieved notable coverage which included an interview with ITV. In addition, we were mentioned in articles for regional news outlets such as the Manchester Evening Post and the Bristol Post.

We re-launched Instagram in June 2020 allowing us to reach a wider audience. The account has been inactive for a while, so we had lost many of our original followers. However, the relaunch has been more successful than we anticipated, with over 36,000 new followers in the last 12 months.

The campaign messages were well received on the whole, with many people identifying with the issues we raised and embraced our focus that safer sleep advice needs to be made more accessible for Dads and male carers. We also identified a need to focus more on different family types such as grandparents, same sex couples and foster carers.

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2. To fund research into both the causes and prevention of unexpected infant death, including SIDS

For financial reasons we were unable to offer grants for new research during the year. Two projects continued in 2020/2021, as detailed below. Both projects completed during the year and whilst the reports have been finalised, they are yet to be published:

Lily Gates, PhD student, UCL GOS Institute of Child Health, continued work on the study on which she is collaborating with Professor Neil Sebire, Professor of Paediatric Pathology, Great Ormond Street Hospital. The research project completed in the year. It investigated whether specific combinations of infection-causing bacteria are associated with sudden unexpected death in infancy (SUDI), and whether the presence of these bacteria is related to known risk factors for SUDI, such as sleeping position or infant age.

Due to the pandemic, the project faced delays after labs were closed for an extended period. An extension to the project funding was agreed in August 2020 to ensure the work could be completed. The project is due to completed on 1 October 2021.

Professor David Tappin, Professor of Clinical Trials for Children, Glasgow University, continued his phase III study to examine the effectiveness and cost-effectiveness of offering voucher incentives to pregnant smokers. This project was also impacted by delays due to the pandemic, but completed in October 2020. The aim of the incentive was to encourage pregnant women who smoke to engage with stop-smoking services and to quit during pregnancy and after.

3. To provide support to bereaved families affected by the unexpected death of a baby or young child

The sudden and unexpected death of a baby or young child devastates families. Our support services are open to anyone affected by the sudden death of a baby or young child, and we offer support to all family members as well as professionals involved with families.

Families continued to express how difficult it has been to experience a baby loss during the pandemic. Many were unable to mark their baby’s anniversary or have the funeral in the way they may have wanted. Many have had to put their grief ‘on hold’ during this time. Our support services continued during the pandemic and we were able to run our service with little change to delivery or disruption as the services are offered by telephone and online.

Demand for telephone-based support decreased slightly with the onset of the pandemic and during the lockdowns. By contrast, online demand remained constant. We believe the reduction in telephone contacts may reflect the increased pressures on family time during lockdown restrictions, e.g. home schooling, and increased difficulties in finding a private space where they will not be overheard. In response to this, we introduced a Webchat bereavement support service in September 2020. Webchat allows bereaved families to access one-to-one support without having to schedule a phone call. This also ensures accessibility of our service to bereaved families during the lockdowns.

The COVID-19 pandemic has impacted certain aspects of our work and we have been unable to hold our annual Family Days from March 2020. We therefore focussed our services online and thanks to feedback

53 families were allocated a Befriender to offer peer-to-peer support

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and anecdotal evidence we received from families, we put together a webpage on bereavement during the pandemic: htps://www.lullabytrust.org.uk/ bereavement-support/bereavement-during-thecoronavirus-pandemic/

The demand in our Facebook bereavement support group offering peer-to-peer support continued to be successful. This is a closed group and membership is open to all bereaved families who have experienced the death of a baby or young child. Members are able to find support amongst other families who have been through the sudden and unexpected death of a baby or young child. The group is proving extremely popular with over 600 members.

During the year, we provided 1,080 bereaved family members with bereavement support, 350 of which contacted us for the first time. Our support services are open to anyone affected by the sudden death of a baby or young child, so the SIDS statistics are not always reflected in our contact numbers. In addition to bereaved family members contacting us for support, we received 469 contacts from professionals contacting us on behalf of families they worked with. We distributed 1,168 bereavement support leaflets and 1,810 helpline cards.

Fifty-three families were allocated a Befriender to offer peer-to-peer support during the year. Befriending continues to be an important service for families.

The Lullaby Trust was awarded a two-year grant in March 2019 for our Bereavement Befriending project which has enabled us to train more befrienders. Importantly, we have recruited a diverse pool of

bereaved family members looking for bereavement support this year, 350 were contacting us for the first time.

volunteers; those who have experienced non-SIDS death and more family member befrienders, which is reflective of the increase in the number of families seeking support for different causes of death and more relatives seeking support.

“It is incredible. I want to thank them for helping me when I really needed it. They do an amazing job. I was pleasantly surprised by how helpful it was, how supported I felt and how smoothly it went – I was expecting something more formulated, but it was so personal it is really good.”

“It’s a really, really important service and I just want to shout their names from the rooftops and tell everybody about them, but in hope that nobody would ever need them.”

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We are committed to improving our bereavement support services.

In spring we set up a Bereaved Families Panel – we have recognised the need for families’ participation to input into our organisation-wide bereavement service delivery.

We are continuing our partnership work with other baby charities and professional bodies to improve the quality of care that bereaved parents receive, through the development of The National Bereavement Care Pathway (NBCP). We also continue to work in collaboration with other baby loss charities for Baby Loss Awareness Week. Baby Loss Awareness Week gives bereaved families the opportunity to commemorate their children and campaigns for better bereavement care for all parents wherever they live in the UK.

The Care of Next Infant programme

The Care of Next Infant (CONI) programme provides emotional and practical support to bereaved families during pregnancy and throughout the early months of their new baby’s life, allowing them to enjoy this special time helping parents gain confidence in looking after their baby. The Lullaby Trust works with health professionals from local hospitals and public health services including midwives, doctors, health visitors/ health professionals and paediatricians to facilitate the programme locally.

The availability of CONI varies across England, Wales and Northern Ireland:

• 100% of the Health and Social Care Trusts in Northern Ireland (excluding the Ambulance Trust)

• 86% of Welsh Health Boards

• 58% of local councils commission CONI in England

The CONI programme is also active in the Isle of Man, Guernsey, Jersey and the Falkland Islands.

Eligibility for the programme is determined locally and is available to families whose baby has died suddenly and unexpectedly. It can also be available to families whose baby experienced an apparent life-threatening event and are anxious about caring for their baby. Since CONI began in 1988, we have supported more than 24,000 families and nearly 25,000 babies on the programmes.

Between July 2020 – June 2021, we supported 871 families and 451 babies enrolled. Fifty-four per cent of parents who enrolled identified themselves as being bereaved. Other reasons for families to enrol were due to anxiety about having a new baby or a family history of SUDI or SIDS, including losing a sibling.

Enrolment numbers continue slowly to drop, a trend since 2010. This is attributed to the fall in SIDS/SUDI rates and also the declining numbers of health visitors to deliver the programme, due to cuts to public health budgets. Moreover, local eligibility criteria have become

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more specific, i.e. only available to parents whose previous baby’s death was registered as SIDS.

Although the CONI programme no longer has a research purpose, feedback from parents is important to us. Ninety per cent of parents said that they found the programme to be helpful/ very helpful and 64% stated that it reduced their anxiety when caring for their new baby. We know that parents continue to find all elements of the programme helpful. Of most value to the families is the support they get from the regular visits made by their health visitor and the loan of the movement monitor to check their baby is breathing.

An evaluation of the Care of the Next Infant (CONI) programme was published in April 2021. (Fiveways NP Ltd) and revealed that the CONI programme is highly valued by parents who find it very helpful both practically and emotionally.

The programme has been successful in delivering several of its desired outcomes, particularly increased parental confidence in looking after their babies and increased feelings of being able to cope, increased safer sleeping behaviours and improved parental mental health and well-being, such as reducing anxiety and isolation.

“The extra support and reassurance were so beneficial. It helped me so much to know someone was involved and coming each week. We were very isolated due to covid and I didn’t have as much family support. The health visiting team were amazing and made such a difference to my first few months as a first time mum.”

Mother (Devon) 2020

“They helped us through a lot of worries and troubles. They helped us get through a tough time and was just very supportive.”

Mother (Buckinghamshire) 2021

“We were so lucky to have the CONI support but big part of it was that we had the coordinator and no one else. Her attitude and presence was always so calming to us and she knew when and what kind of help we needed each time she visited. She has been always available to us and visited as frequently we wanted. We have been so pleased and not felt that we are alone with our thoughts and worries.” Parents (Greater Manchester) 2020

The programme managed to maintain a high level of service despite the challenges of the first COVID lockdown. As home visits by health visitors were not possible due to government guidelines, the CONI programme was quickly adapted to replace home visits with telephone calls.

There are currently 193 active CONI teams, an increase from 144 teams last year which indicates CONI is more widely available to certain areas across the UK, and 510 CONI Coordinators, down from 649 last year which suggests teams are smaller. CONI coordinators are experienced health visitors, midwives or neonatal nurses who support families in their local areas.

Since March 2020, we have been unable to offer faceto-face training and therefore developed distance learning to complete online. Teddy’s Wish financially supported the recorded presentations. Coordinators are required to complete this training as either their initial preparation for the role or as a refresher every three years. The course focuses on applying theory to practice, the responsibilities of the Coordinator and includes two bereavement modules.

24,000 families supported by The Care of Next Infant (CONI) programme since it was created back in 1988

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Online training commenced in July 2020 with more than 200 applicants of which 104 have completed the course and 97 have requested an extension to the training - this is understandable given the pressures they have been working with in practice. The evaluation is continuously positive and feedback received at the end of the programme will be incorporated into the annual review.

Regional CONI coordinator meetings which provided ongoing support and updates about The Lullaby Trust activities, SIDS research and safer sleep messages were replaced with bi-monthly news e-mails alternating with online Q&A – available to all across the country. Each session had an average of 35 attendees. A survey concluded that both the news emails and online Q&A sessions were useful in their practice, and feedback we received included bringing on guest speakers. Accordingly, guest speakers have joined recent Q&A sessions including representatives from Little Lullaby, Fiveways and Befrienders.

Families have access to a movement monitor for the duration of the programme, e.g. SISS Babycontrol monitor, Snuza HeroMD and Nanny Mattress monitor. Parents who have used monitors with previous babies prefer to use the same with subsequent babies.

Movement monitors with first aid training offered reassurance to families on the CONI programme. During the year we have been able to provide 31 SISS monitors and 234 Nanny mattress monitors, thanks to generous donations from trusts, individuals and organisations. Furthermore, an additional seven sets of SECA electronic baby weighing scales were bought and distributed, to enable babies’ weight to be monitored at home, as clinics were closed.

The availability and use of a movement monitor is greatly valued by parents. From the parental feedback we found the monitors were used by 80% of enrolled families, 88% of whom found them helpful/very helpful.

monitor directly to a family has been useful when CONI Coordinators or Health Visitors have not been able to access the local monitor store during the COVID-19 visiting restrictions.

The CONI team and steering group will continue to support bereaved parents through the CONI programme and listen to their views through the feedback forms and the parent’s panels. The evaluation of the CONI programme (April 2021) demonstrates that it is still a vital lifeline for bereaved families.

4. To work across the infant and child health community to reduce infant mortality in the UK

Influencing practice at local level

Following the publication in August 2020, by the Office for National Statistics on the numbers of unexplained infant deaths in 2018, we produced a policy briefing for local public health leads, Local Safeguarding Children’s Panels (LSCBs), Child Death Overview Panels (CDOPs) and MPs, with the aim of raising awareness of SIDS and our safer sleep messages.

We provided safer sleep training to 1,483 professionals during the year. We saw several changes to our training offer during the year as we adapted to the ongoing impact of the pandemic. We developed live online training from September 2020 which was offered to small groups. In 2021 we invested in the development of structured online training packages, with new safer sleep training relaunched in May 2021.

We continue to send out a monthly regular e-newsletter to around 10,000 professionals to keep them updated with the latest advice, research and events training.

In addition, during 2020-2021, we were kindly given a supply of Snuza HeroMD clip-on monitors, we distributed 231 to families. The option to give a

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Evaluation of the quality and impact of our training remains high. We reviewed our evaluation process for training during the year and now offer digital returns for all who attend our training. Of the professionals who completed training in the year, 97% said that the quality of the training was high and the same number said that the training received was relevant to their professional role. Sixty-six per cent identified changes they would make to their professional practice.

Influencing practice at a national level

The Lullaby Trust continues its work to highlight the high level of infant mortality in the UK and the need for better bereavement care for all families.

During the year we continued to provide the secretariat of the All Party Parliamentary Group on Baby Loss in Parliament.

The two co-Chairs, The Right Honourable Jeremy Hunt MP and Cherilyn Mackrory MP recognised the impact of the pandemic on pregnancy and baby loss and held a virtual meeting in August 2020 to focus on the impact of COVID-19 on this area. A short report was then produced that highlighted the key challenges and made suggestions for how professionals could continue to offer the best care. The report was discussed in a debate at Westminster Hall, the House of Commons on 5 November 2020.

The APPG continued to meet during the pandemic via virtual meetings which focussed on key themes including the impact of pregnancy and baby loss to black and Asian families, and ongoing issues with data collection.

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We continue to be active members of the Pregnancy and Baby Charities Network. In June 2021 our Chief Executive, Jenny Ward, became a co-Vice Chair of the group which brings together a number of charities who work in this area.

We are a member of the stakeholder group convened by the University of Bristol on the National Child Mortality Database (NCMD). The group met regularly during the pandemic, considering the increased monitoring of the data collected and any actions needing to be taken during the pandemic. In May 2021 the NCMD published a thematic report on Child Mortality and Social Deprivation which showed a clear association.

Future plans

Despite the challenges of the year we have remained focussed on securing reductions in infant mortality and supporting bereaved families.

The latest statistics on unexplained deaths in infancy in the UK were low in 2019 and the rate of deaths decreased by 19% from 0.31 to 0.28 per thousand live births. However, these figures came with a warning that delays caused by the pandemic mean the figures are likely to change and increase.

During the year there has been much work and analysis of which groups of babies and families are most at risk. The National Child Mortality Database report on Child Mortality and Social Deprivation highlighted deprivation as one clear area of risk, and we will continue to consider how our work in both safer sleep and bereavement might be more effective at reaching families living in deprivation. Data from the Office of National Statistics has also identified ethnicity being a factor in unexpected infant deaths, and offered more insight, including the high risk to some black

professionals were provided safer sleep training during this year

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communities. We continue to target the most at risk and to ensure we have diverse representation on all our family panels.

2021 marks our 50th anniversary and coupled with the ongoing impact of the pandemic have given us new reason to consider our impact and future direction. We are therefore beginning to reconsider our strategic objectives, and are doing so with a number of new Trustees on the Board of Trustees.

Our strategic objectives are still at the forefront of our work as we consider how we recover and ensure our work continues. These are:

• Secure annual reductions in the rate of SIDS

• Ensure bereavement support is available to all families affected by sudden infant death, at any time, and with any future children i.e. any baby born after a bereavement

• Commit to keeping SIDS on the research and policy agenda

We are continuing to reach more and more people via our social media channels and attract increasing numbers of visitors to the website. We are also experiencing much more interaction and engagement via social media with people asking questions and commenting on our posts. This allows us to tailor content specifically to address common questions or clear up areas of confusion and keep the focus on issues that are important to our audience. We also work closely with the support team to keep up to date on the type of questions coming through on the information line.

We have recently re-launched our Instagram account, which is rapidly attracting a large following. We are working on the creation of shareable digital content to ensure we reach as many people as possible. We are also working on more inclusive digital resources such as text free, silent animation to allow those who do not speak English to access our safer sleep information.

We have developed new COVID-19 focused resources for parents and health professionals, including a soon

to be released animation with Public Health England. We are continuing to provide updated information to parents and parents-to-be on baby care and safety during the pandemic.

Little Lullaby

We are committed to reducing deaths in babies and are focusing on the most at-risk groups such as young parents. In March 2020, Little Lullaby became a core service of The Lullaby Trust.

Little Lullaby was set up in response to the increased risk of babies born to mums under 20 dying of SIDS. Babies born to mothers under the age of 20 are almost four times more likely to die from sudden infant death syndrome (ONS, 2019). Therefore, our mission is to stop all unexpected deaths of babies and toddlers born to young parents and to help them feel better informed about sleeping their babies safely. Little Lullaby advocates for young parents under 25, providing an inclusive space for them to share experiences and receive emotional and practical support. We aim to challenge stereotypes, amplify young parents’ voices and empower young parents to achieve their full potential.

As well as ensuring young parents are receiving safer sleep information, we ultimately want young parents to:

• Feel better informed, empowered and less isolated through pregnancy, birth and parenthood

• Reach all young parents and provide an inclusive space for them to share experiences and receive emotional and practical support

• Provide non-judgemental, clear and direct advice that is specifically relevant to young parents

• Challenge stereotypes and give young parents a voice by sharing the positive aspects of young parenting

Every other week, a young parent takes over our Instagram account. This gives young parents in the UK the opportunity to help give other young Mums and Dads an insight into their lives. Young parents from

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across the UK are welcome to volunteer to take over. We encourage young parents to lead on what they post. We want to see the milestones, the challenges, tips and advice, and young parents usually embrace this.

Young parents from across the UK contribute to the Little Lullaby blog by sharing their inspiring and uplifting stories. Young Mums and Dads are encouraged to share their experiences from pregnancy, labour and birth, to education, sex and mental health. They don’t need to be perfect writers or have experience in writing, it’s their story, journey and experience that matters.

The Little Lullaby website also includes a dedicated health professionals section which is designed to give health professionals everything they need to work with young parents and advise them on safer sleep practices. Other features of the website include videos from young parents and tips on how to work with young parents.

As we want to ensure young parents are able to relate to our advice and we value their thoughts and opinions, we set up a Young Parent Panel that meet every month to help us shape the service we offer. They influence on how we reach families with our safer sleep messaging and what information is important to them. It’s a space where young parents can connect, ask questions and share their stories, passion and experiences.

A few key statistics:

• Babies born to women under 20 are 21% higher risk of having a low birth weight

• Mothers under 20 are a third less likely to start breastfeeding and half as likely to be breastfeeding at 6-8 weeks

• Mothers under 20 are three times more likely to smoke throughout pregnancy

• Mothers under 20 are three times more likely to experience postnatal depression

Financial report

As we entered our 2020/21 financial year it was inevitable that we would continue to face some financial challenges and uncertainty to key income streams due to the COVID-19 pandemic. We saw an overall reduction in our income in 2021, achieving £1.42m in the current year against £1.53m in 2020.

Traditionally our largest source of income, community fundraising reduced to £352,000 from £494,000 in 2020. As social distancing measures and lockdowns continued, many of the mass participation events, challenges and performances that our supporters regularly take part in were cancelled or postponed. The losses to community fundraising might have been even more significant were it not for the tremendous resourcefulness of our loyal supporters who embraced the virtual challenges we promoted, came up with their own socially distanced alternatives and introduced us to new opportunities across other categories of income.

Donations and legacies from individuals increased to £507,000 in the year from £383,000 in 2020, overtaking community fundraising as our biggest source of income for the first time. This included ongoing donations to our urgent appeal which had been launched in April 2020, a fantastic response to our Big Give Christmas Challenge and at the very end of the year matched donations for the BBC Lifeline Appeal which was broadcast on television in June. We received one-off celebrity donations in the year and saw an increase in those kindly remembering us with a legacy or donating in memory of their loved ones for which we are very grateful.

Grants from trusts and foundations fell to £164,000 in 2021 from £291,000 in 2020 although we continued to spend several grants secured in the prior year. We received a significant grant from the National Lottery Community Fund to deliver activities to support our beneficiaries in direct response to the pandemic. Smaller trusts and foundations continued to support our work but we found it more difficult to secure larger grants in the post-Covid climate.

Income from companies totalled £118,000 in the year, which had increased from £81,000 in 2020. The majority of this year’s figure was donated as support in kind relating to pro bono legal advice. Company donations and fundraising were affected by businesses

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operating in different ways during the pandemic including closures, employees on furlough or working from home.

We were unable to stage any face-to-face special events in 2021 and subsequently the charity’s trading income reduced to £1,000 from £9,000 in 2020. This was generated by a prize draw.

Our charitable activities and partnership working generated £134,000 in 2021, which had increased from £92,000 in 2020. This included a grant from the Scottish Government to deliver safer sleep training for health professionals across Scotland.

Other income totalling £27,000 was receivable in the year from the Government’s Job Retention Scheme which had increased from £25,000 in 2020. We continued to furlough or part-furlough staff from our Regional Development, Fundraising and Communications teams whose work was limited by the lockdown and social distancing measures up until our restructure in autumn 2020. Following the restructure, we restricted our use of the scheme to staff requesting furlough due to caring responsibilities.

We have seen a slight reduction in our expenditure, which totalled £1.20m in 2021 against £1.28m in 2020. Rather than seeking to reduce costs primarily, the restructure was an exercise in adapting and equipping the charity’s services, fundraising and support functions to fit the changing environment in which we operate and ensuring the charity is structured in a way to meets its strategic aims efficiently.

Expenditure on our support and information programmes increased to £806,000 in the year from £774,000 in 2020. Direct costs remained stable but there was an overall increase in governance costs in the form of pro-bono legal advice relating to governance matters and contracts with partners.

As the pandemic progressed we continued to suspend face-to-face activities and to use our Covid-response grants to develop new approaches. We adapted services to reach families needing more support due to increased isolation and those less able to access our advice due to reduced availability of healthcare services in lockdown. This included the reintroduction of key elements of our Little Lullaby programme for young parents.

Purchases of monitors and equipment for the CONI programme increased slightly to £34,000 from £29,000 in 2020, mainly utilising grants secured in the prior year.

We spent £22,000 on research in 2021, reduced from £50,000 in 2020. This included a small extension to the PhD studentship hosted by University College London and Great Ormond Street Hospital.

Our fundraising expenditure totalled £337,000 in 2021 compared to £431,000 in 2020. Some savings were made on direct costs relating to community and events as a result of postponements and cancellations. We were also able to make savings on overheads by continuing to operate without premises for several months and eventually committing to a very small hub office.

The Lullaby Trust Sales Limited continued its activities of securing sponsorship from corporate partners and selling merchandise and entry fees for challenge events. The Lullaby Trust Sales Limited made profits of £95,000 in the year, and a distribution of profits of the same amount was made to the charity under the gift aid scheme.

The overall result for the year was a net income of £224,000. We are pleased to have strengthened our overall financial position in such a challenging year and acknowledge the continued help of our loyal supporters and the many one-off fundraising opportunities that enabled us to mitigate to a certain extent the losses that we faced due to the pandemic in 2021.

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Our improved position at June 2021 will help us to face further challenges and uncertainty in 2021/22. We expect to slowly rebuild our community fundraising income whilst many of the exceptional opportunities in other income streams in 2020 are unlikely to be repeated. A similar cost base is expected to result in a deficit year.

At 30 June 2020 the Trustees had designated funds for the following purposes:

• £250,000 towards safer sleep activities to ensure the charity’s life-saving safer sleep advice reaches families including those most at risk of the sudden and unexpected death of a baby

• £50,000 towards restructuring costs to enable the charity to adapt its services, fundraising and support functions to fit the changing environment in which we operate and ensure the charity is structured in a way to meets its strategic aims efficiently

These projects were successfully delivered in the year but we were able to make some cost savings, both on one-off restructuring costs and as a result of restructuring our professional training function, which meant that £66,000 was unspent at the end of the year.

Mindful of the challenges ahead and the key risks facing the charity, the Trustees have reviewed the need for designated funds in 2021/22 and agreed to designate a total of £160,000 for the following purposes in the coming year:

• £100,000 towards safer sleep activities to both secure and invest in this vital area of our work.

• £30,000 to support our Little Lullaby programme for young parents as we seek grant funding to develop it further in 2022.

• £30,000 towards the development of a new organisational strategy and investment in our finance systems to move to paperless working that better supports the new hybrid working model.

The Lullaby Trust holds restricted funds in accordance with donors’ requirements. At 30 June 2021, the balance of Restricted Funds amounted to £116,000 (2020: £182,000).

Structure, governance and management

The Lullaby Trust is a company limited by guarantee, Registered in England and Wales No. 01000824 and is a registered charity, No. 262191. Its governing document is its Memorandum and Articles of Association, dated January 1971 as amended by special resolution in February 2021. There was a change of name in March 2012 (formerly the Foundation for the Study of Infant Deaths).

The Lullaby Trust has one, wholly-owned subsidiary, The Lullaby Trust Sales Limited, which is a private limited company, Registered in England and Wales No. 01731141. Its governing document is its Memorandum and Articles of Association, dated April 1983 as amended in March 2012 to reflect the change of name from F.S.I.D. Sales Limited. The principal activity of the subsidiary company is that of raising funds for The Lullaby Trust through trading and sponsorship income and a deed of covenant is in force whereby all profits are donated to The Lullaby Trust annually under the Gift Aid scheme. The charity’s Articles of Association allow it to operate in England, Wales and Northern Ireland.

The Lullaby Trust employs 11 full-time and 13 part-time staff, with the team working from their homes since March 2020. The majority of employees deliver the charitable objects, three full-time equivalent posts are administrative and financial functions, and four are engaged in fundraising.

The Board of Trustees meets four times a year to set strategy, agree on policy and review finances. The Board comprises of Trustees who bring a broad range of skills and professional qualifications necessary to ensure that the charity has access to all relevant expertise.

Accordingly, a transfer of £94,000 has been made from General Funds to Designated Funds in the year. At 30 June 2021, the balance of Designated Funds amounted to £160,000 (2020: £300,000).

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They are advised by:

• The Scientific Committee, which meets one to two times a year to review submitted proposals for scientific research and to recommend them to the Board of Trustees for approval for funding.

• The Lullaby Trust Advisory Committee, which meets three times a year to act as a forum for discussion and provide advice to senior staff on The Lullaby Trust’s core charitable activities.

• The Finance and Resources Committee, which meets five times a year to monitor the finance and resources of The Lullaby Trust on behalf of the Board of Trustees and to provide strategic advice to the Chief Executive.

• The Remuneration Committee, which consists of the Chair of the Board of Trustees and the Chair of the Finance and Resources Committee, meets twice a year to review policy and make recommendations for the remuneration of staff to the Board of Trustees.

Each of these committees operates under terms of reference approved by the Board of Trustees.

The Trustees are appointed by the Board of Trustees. The Board of Trustees continue to review and monitor governance arrangements. New Trustees receive a comprehensive induction pack when they join the charity and are offered training on the roles and responsibilities of charity Trusteeship. New Trustees are introduced to staff and encouraged to attend all events organised by the charity. Training needs and opportunities are monitored through membership of the National Council for Voluntary Organisations (NCVO) and the Chair’s membership of the Association of Chairs.

Key management personnel

The Trustees and the Chief Executive are key management personnel. Day to day operational management of the charity is delegated to the Chief Executive.

Remuneration policy

The Lullaby Trust believes that its staff are key to delivering its objectives. To this end it believes that its pay policies should be fair, transparent, competitive and sustainable. The Lullaby Trust believes that it is important to reward its staff competitively within the small charity sector and at the same time ensure that

it remains prudent and can guarantee that its pay bill is sustainable both at the current time and in the future.

The Remuneration Committee has overall responsibility to set remuneration and terms and conditions of employment for all staff of The Lullaby Trust. It specifically has the responsibility to set the pay and terms and conditions of the Chief Executive, which is then approved by the full Board of Trustees.

The Lullaby Trust aspires to pay its staff around the median market pay level for comparable jobs in similar sized charities in London where the jobs are based in London and with respect to the local pay market place where the jobs are not based in London.

The Lullaby Trust is committed to paying the “London Living Wage” for its paid staff, so far as this is within the sustainable financial resources of The Lullaby Trust. The Lullaby Trust’s salaries include any “London Weighting” for all salaries paid to staff working in London.

Currently, The Lullaby Trust pays “spot salaries” for each employee, related to their particular skills, experience, qualifications, performance and contribution to The Lullaby Trust, which is the typical approach to setting pay for small to medium sized charities.

The Lullaby Trust aspires to provide an employee benefits package, which is appropriate and competitive within the relevant charity market place for relevant jobs. In addition, The Lullaby Trust provides training and development for its staff both to enable them to undertake their job to the required standards and also to develop them for future job growth and career development.

The Lullaby Trust normally reviews salary levels prior to setting the charity’s Annual Budget in June each year. The Remuneration Committee will recommend to the Board of Trustees whether all staff or selected staff should receive a pay rise.

The Lullaby Trust aims to undertake a pay benchmarking exercise, every three years, to measure the extent to which The Lullaby Trust is achieving its objective of setting the pay of its staff at the chosen level against the relevant market place.

Volunteers

The Lullaby Trust relies on volunteers in many areas of its work. During the reporting year we received volun-

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tary help from 86 volunteers including:

• 45 befrienders providing support to bereaved families

• 6 young parents recruited through Little Lullaby to serve on our Young Parent Panel

• 23 members of our advisory, scientific and finance and resources committees supporting the governance of the charity and working alongside our Trustees

• 4 regular office volunteers or voluntary interns helping with fundraising and office administration

• 8 CONI Steering Group members helping to guide and feedback on the CONI programme

Reserves Policy

The reserves policy as agreed by Trustees is designed to reflect the underlying risks facing the charity. The Trustees have adopted a risk-based approach, considering two categories of risks in the calculation of an appropriate reserves level. Their key objectives are to:

• Safeguard day to day operations from disruption at short notice due to a lack of available funds.

• Carry out a phased wind down of services in line with commitments to beneficiaries as a result of events outside the charity’s control.

The Trustees have undertaken a cost analysis of these strategies in setting the minimum level of free General Funds required in the coming year. At 30 June 2021 this amounted to a target range of £518,000 to £840,000. At 30 June 2021 free General Funds stood at £786,000. The Trustees are satisfied that the general free reserves meet the above conditions.

Grant Making Policy

The Lullaby Trust is a member of the Association of Medical Research Charities (AMRC) and follows best practice. The Lullaby Trust provides research grants in order to support our key charitable objectives.

The Scientific Committee is responsible for assessing all requests for research funding. Applicants from accredited research institutions are invited to apply for funding for projects that meet our criteria to reduce incidence of sudden infant death.

All applications are subject to independent peer review and are also considered by a lay panel of bereaved parents. The committee will only recommend projects for funding to the Board of Trustees which meet

the highest scientific merit. The Board of Trustees have ultimate responsibility for approving any grant expenditure. Once a grant is approved, the successful applicant will be contacted and required to complete a formal research contract with the charity. This contract will be monitored by the Chief Executive and the Scientific Committee.

Fundraising Disclosures

Our approach to fundraising is focused on engaging and interacting with supporters who are passionate about supporting The Lullaby Trust. A large proportion of our income comes via Events and Community supporters, many of whom have benefitted from our work or may know of people affected by our cause, and therefore feel compelled to support our work.

We do not carry out intrusive fundraising activities. We have a limited direct mailing programme, which contacts supporters by post once or twice a year and via email in line with their consent for receiving communications. We limit our face-to-face fundraising and do not use any agencies to collect money for the charity in public.

In 2020-21, we have worked with fundraising experts, KEDA Consulting Ltd, to support our fundraising from trusts and other grantmakers. KEDA Consulting is a wellrespected fundraising consultancy that is committed to the established codes of practice of the Institute of Fundraising, Fundraising Regulator and all relevant regulations. Their work with us does not involve any contact with the general public or solicitation of funds from individuals on our database. We have regular reporting mechanisms in place to monitor the work undertaken.

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to fundraisers when people may be in a particularly vulnerable place.

Our complaints procedure is carried out in line with the Fundraising Regulator requirements. Every complaint is investigated, responded to and logged internally. We received one complaint during 2020/21 in relation to our fundraising activity, which focused on the sensitivity of our communications. We have reviewed the complaint and considered how best to communicate appropriately in the future.

Vulnerable Persons Policy

The Lullaby Trust believes that any interaction with the charity should be a positive experience for all.

We recognise that some of the people we engage with through our fundraising activities may be experiencing vulnerable circumstances or need extra support to make a decision about donating to our charity. Therefore, we take all reasonable steps to treat our supporters fairly and with compassion, so they can make an informed decision about any donation towards our work.

We will never exploit the trust or circumstances of any supporter at any time on their journey with us as a charity. If we believe that a person is in vulnerable circumstances, which means they are unable to make an informed decision about donating, The Lullaby Trust will not accept that donation. We stringently follow the Fundraising Regulator’s guidance and comply fully with their Code of Fundraising Practice in relation to the protection of vulnerable people in fundraising.

The Lullaby Trust recognises that bereavement and grief can trigger vulnerability and acknowledges the undeniable connection between bereavement and the fundraising journey for individuals who choose to raise money for, and support, the charity. With this in mind, all bereaved individuals are excluded from any pro-active fundraising contact for at least six months from their first bereavement support enquiry with the charity, unless they specifically contact the charity with a fundraising enquiry. The Lullaby Trust also has an ongoing commitment to conduct bereavement training with all staff to allow them to respond sensitively

We will always do everything we can do to assist supporters in making informed decisions about the support they choose to give The Lullaby Trust. At our core, The Lullaby Trust is compassionate towards our supporters and will never knowingly exploit vulnerability.

Risk management and financial control

The Board of Trustees continues to review and assess risks faced by the charity. The Chief Executive fully updates the Board of Trustees at board meetings and highlights current risks facing the charity.

The Senior Management Team assesses risks facing the charity updating the charity’s risk register every six months. The risk register is the charity’s chart and description of the quantitative method of evaluating risk. It covers Governance, Financial, Operational, Physical, Child Protection, External and Reputational, Legal and Compliance risks.

The Senior Management Team ensures that robust policies, procedures, systems and training are in place to deal with risk and these are designed to mitigate or manage any potential impact on the charity should those risks materialise.

At the year end the following risks in our Risk Register had been identified as high risk to the charity before taking into account measures in place to safeguard against them:

• Publication of the Board’s 2020 strategy was delayed due to COVID-19 and it will be necessary to reconsider strategy in light of the pandemic as well as embedding the strategic aims of the charity in its new structure. Funds have been designated for strategy development in 2021/22.

• We have recognised a need to achieve greater diversity in our Board of Trustees and begun to identify skills gaps emerging as longstanding Trustees approach retirement. Targeted recruitment of new Trustees is a priority for 2021/22.

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• We are operating in an unstable external economic and fiscal environment. It remains important for the Trustees to monitor trends to inform financial planning and to diversify income streams to prevent over-reliance on one source.

• COVID-19 has increased financial risks affecting our ability to set a robust annual budget and to meet fundraising targets due to unpredictability of key income streams. The Trustees have increased the recommended reserves range and designated funds for core activities which are traditionally more difficult to fundraise towards as detailed on page 17.

• The main operational risks include loss of productivity or corruption of data through IT system failure. Funds have been designated for investment in financial systems in 2021/22.

Statement of Trustees’

responsibilities

The Trustees (who are also the directors of The Lullaby Trust Limited for the purposes of company law) are responsible for preparing the Trustees’ Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires Trustees to prepare financial statements for each financial year, which give a true and fair view of the state of the affairs of the charitable company and the group and of its income and expenditure for that period.

In preparing these financial statements, the Trustees are required to:

• Select suitable accounting policies and then apply them consistently

• Observe the methods and principles set out in the Charities SORP

• Make judgements and estimates that are reasonable and prudent

concern basis unless it is inappropriate to presume that the charitable company will continue in business

The Trustees are responsible for keeping proper accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. None of the Trustees had any beneficial interest in any contract to which the Organisation was party during the year.

The Trustees are responsible for the maintenance and integrity of the corporate and financial information included on the charitable company’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Audit Information

So far as each of the Trustees at the time the Trustees’ report is approved is aware:

there is no relevant information of which the auditors are unaware; and they have taken all relevant steps they ought to have taken to make themselves aware of any relevant audit information and to establish that the auditors are aware of that Information.

Auditors

Moore Kingston Smith LLP have indicated their willingness to continue in office and are deemed to be reappointed in accordance with section 487(2) of the Companies Act 2006.

This report was approved by the Board of Trustees and signed on its behalf by:

• State whether applicable UK Accounting Standards including FRS 102 have been followed, subject to any material departures disclosed and explained in the financial statements

• State whether a Statement of Recommended Practice (SORP) applies and has been followed, subject to any material departures which are explained in the financial statements

• Prepare the financial statements on the going

Dr Stephanie Goater Chair Date: 07/12/2021

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Whilst it has been another difficult year for our supporters with the postponement of many sporting and community events, we truly appreciate everyone’s efforts to keep fundraising.

Highlights from 2020/2021 include: The Big Give Christmas Challenge 2020 which saw our supporters generate over £82,000. The money raised has supported the running of our helpline for five months, offering support to bereaved and information and advice to new and expectant parents.

The Lullaby Trust was selected to feature in a BBC Lifeline which aired in June. The appeal was hosted by actress, presenter and bereaved mum, Kym Marsh. Kym was joined by three families who had used the charity’s support services. The appeal raised over £14,000 and every pound donated will be matched by the Sandhu Charitable Foundation.

The 2020 Virgin London Marathon, Royal Parks Half Marathon and London Landmarks Half Marathon were all unfortunately postponed until 2021. A huge thank you to everyone who continued to train and raise some money or completed virtual versions of the events. We look forward cheering on our teams in person soon. Our pre-marathon training day was once again kindly supported by David Lloyd Clubs who provided training and physio advice for our runners.

One of the many highlights from our active Community supporters was the support we received from Simfest’s simulated flights for a second year running. Their heroic 24/7 round the world flight raised £33,000 for The Lullaby Trust.

The Lullaby Trust was the chosen charity of the year for IT recruitment company, Candour Solutions. A team of five raised over £10,000 walking from Leeds to

Manchester, in memory of baby Lara, in 2020. Director Stephen and three friends then walked even further, from London to Manchester in 2021, bringing their total to over £37,000.

Comedy writer, performer and best-selling author, Adam Kay generously continued his support of The Lullaby Trust throughout his sell-out theatre tour of ‘This is Going to Hurt Live’. Whilst theatres were closed for much of the year, some shows did go ahead, raising over £4,000. Adam has also been instrumental in securing donations for the charity through the publication of his book ‘Dear NHS: 100 stories to say thank you’. At least 15p from every book sold comes to The Lullaby Trust.

We are very grateful to those funders who have supported our work during the COVID-19 pandemic by providing donations during lockdown and loosening restrictions on their grants, including but not limited to the Lloyd’s Charitable Trust, the Ashla Charitable Trust and BBC Children in Need.

Thank you to all of our corporate partners, trusts and foundations who have funded our work this year. In the year 2020/2021 we were delighted to launch a new partnership with Halo, promoting our safer sleep advice to their UK customers. We have also continued receiving support from Nimans, who provided 212 Snuza Hero[MD] baby monitors during the year to support The Lullaby Trust’s Care of Next Infant programme.

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We have received valued pro-bono support from Ellie Denney of The Marketing Den, Identica and White and Case throughout the year. Thank you to all the staff and hundreds of volunteers across the country who worked so hard to help The Lullaby Trust achieve its aims. Companies, Trust and Foundations offering pro bono services or donating £5,000 or more in 2020/2021 include:

Aden & Anais Limited (Halo) BBC Children In Need Dandia Charitable Trust David Lloyd Leisure Eveson Charitable Trust Fremantle Media Ltd ITV Lloyd’s Charities Trust Orion Publishing Group Public Health England Sandhu Charitable Foundation Scottish Government Terrible Limited The Ashla Charitable Trust The Blyth Charitable Trust The J E & J V Posnansky Charitable Trust The National Lottery Community Fund The Reed Foundation The Sandhu Charitable Foundation University of Bristol White & Case Zimple Limited

A gift in a will is a special way of supporting The Lullaby Trust’s work. We are grateful to the following supporters for leaving us a gift in their will:

Rosemary Doherty Wendy Annette Draisey Catherine Mary Edwards Trevor Gilbert Betty Hickman Barbara Hopkinson Norah Hyet

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Board of Trustees & Committees

Patron

HRH the Duchess of Gloucester

President

Mr Charles de Selincourt OBE

Vice-President

Advisory Committee

Dr Justin Daniels BMedSci BMBS MSc FRCPCH (Chair) Dr Charlotte Daman Willems FRCP FRCPCH Ms Louise Carmi

Dr Paul Davis MD MB FRCPCH MRCP DCH representing the British Association of Community Child Health Ms Gail Johnson representing the Royal College of Midwives

Dr Marilena Korkodilos Dr Angela Moore MB BS MMedSci DCH FRCP FRCPCH Mr Edward Thomas Ms Lisa Allenby Ms Gillian Devine-Skellern Ms Valerie Bates Ms Annette Lawrence-Owen Ms Carol Ainge Ms Elaine Ainsworth

Sylvia Lady Limerick CBE MA Hon FRCP HonFRCPCH

Founder

The late Mrs Nancy Hunter-Gray MBE

Chief Executive

Mrs Jenny Ward

Board

Dr Stephanie Goater (appointed July 2020, appointed as Chair December 2020)

Mr Chris Cleaver Dr Charlotte Daman Willems FRCP FRCPCH Dr Justin Daniels BMedSci BMBS MSc FRCPCH Ms Ethna Dillon BSc (Hons) RN RHV Mr Terry Hebden (retired as Chair December 2020) Mrs Sally Hogg (appointed September 2021) Mrs Rupal Kantaria Mr David Marshall FCA Mr Ben O’Reilly (appointed September 2021) Mrs Lavinia Postlethwaite Ms Catharine Pusey (appointed August 2020) Mrs Kirsti Robertshaw Dr Peter Sidebotham (retired March 2021) Mr Peter Thomas (appointed September 2021)

Scientific Committee

Professor Helen Ball (Chair) Ms Lynsay Allan Professor Mike Campbell BA MSc PhD CStat Dr Charlotte Daman Willems FRCP FRCPCH Dr Justin Daniels BMedSci BMBS MSc FRCPCH Dr Sarah Johnson BSc PhD Dr Anna Pease MA MSc PhD Dr Peter Sidebotham MB ChB Dr Victoria Thomas MB BS

Finance and Resources Committee

Mr David Marshall FCA (Chair) Ms Francine Bates

Mr Nick Beaumont Dr Stephanie Goater (appointed September 2020) Mr Terry Hebden Ms Sue Hunt Mr Kevin O’Brien Ms Catharine Pusey (appointed November 2020) Mr Charles de Selincourt OBE

The Lullaby Trust Sales Limited

Mr Terry Hebden, Director Mr Andrew Cole, Director Mr Alan Curtis, Director Dr Stephanie Goater (appointed January 2021) Mr David Marshall FCA, Director Ms Lisa Hyde, Director Mr Robert Pascoe, Director (appointed January 2021) Mrs Jenny Ward, Director

Legal and administrative details

Registered Office: The Lullaby Trust CAN Mezzanine 7-14 Great Dover Street London SE1 4YR www.lullabytrust.org.uk

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Auditors

Moore Kingston Smith LLP Devonshire House 60 Goswell Road London EC1M 7AD

Bankers

Royal Bank of Scotland Drummond House (G) 49 Charing Cross London SW1A 2DX CAF Bank Ltd 25 Kings Hill Ave Kings Hill West Malling ME19 4JQ

Solicitors

White & Case 5 Old Broad Street London EC2N 1DW

Chief Executive Mrs Jenny Ward

Company Secretary

Miss Polly Rolfe FCCA

Become a follower of The Lullaby Trust on Facebook at www.facebook.com/lullabytrust Follow us on Twitter at www.twitter.com/lullabytrust

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Opinion

We have audited the financial statements of The Lullaby Trust for the year ended 30 June 2021 which comprise the Consolidated Statement of Financial Activities, the Consolidated Summary Income and Expenditure Account, the Group and Parent Charitable Company Balance Sheets, the Group Cash Flow Statement and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is 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).

In our opinion the financial statements:

• give a true and fair view of the state of the group’s and the parent charitable company’s affairs as at 30 June 2021 and of the group’s incoming resources and application of resources, including its income and expenditure, for the year then ended;

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

• have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

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

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company’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 Trustees with respect to going concern are described in the relevant sections of this report.

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The Lullaby Trust Limited

Independent Auditors’ Report to the Members and Trustees of The Lullaby Trust Limited (continued)

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The Trustees are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

• the information given in the Trustees’ Annual Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the Trustees’ Annual Report has been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Annual Report.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

• the parent charitable company has not kept adequate and sufficient accounting records, or returns adequate for our audit have not been received from branches not visited by us; or

• the parent charitable company’s financial statements are not in agreement with the accounting records and returns; or

• certain disclosures of Trustees’ remuneration specified by law are not made; or

• we have not received all the information and explanations we require for our audit; or

• the Trustees were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies exemption in preparing the Trustees’ Annual Report and from preparing a Strategic Report.

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Independent Auditors’ Report to the Members and Trustees of The Lullaby Trust Limited (continued)

The Lullaby Trust Limited

Responsibilities of trustees

As explained more fully in the Trustees’ responsibilities statement set out on page 21, the Trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Trustees are responsible for assessing the group and parent charitable company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Trustees either intend to liquidate the group or parent charitable company or to cease operations, or have no realistic alternative but to do so.

Auditor’s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in 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.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

The objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the charitable company.

Our approach was as follows:

• We obtained an understanding of the legal and regulatory requirements applicable to the charitable company and considered that the most significant are the Companies Act 2006, the Charities Act 2011, the Charity SORP and UK financial reporting standards as issued by the Financial Reporting Council.

• We obtained an understanding of how the charitable company complies with these requirements by discussions with management and those charged with governance.

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The Lullaby Trust Limited

Independent Auditors’ Report to the Members and Trustees of The Lullaby Trust Limited (continued)

• We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.

• We inquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations.

• Based on this understanding, we designed specific appropriate audit procedures to identify instances of noncompliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.

• As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the group and parent charitable company’s internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Trustees.

• Conclude on the appropriateness of the Trustees’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the group and parent charitable company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the group or parent charitable company to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

• Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our audit report.

• We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

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The Lullaby Trust Limited

Independent Auditors’ Report to the Members and Trustees of The Lullaby Trust Limited (continued)

Use of our report

This report is made solely to the charitable company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company’s members those matters which we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to any party other than the charitable company and charitable company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Luke Holt, Senior Statutory Auditor for and on behalf of Moore Kingston Smith LLP, Statutory Auditor

Date: 9 December 2021 Devonshire House 60 Goswell Road London EC1M 7AD

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Please turn over for Consolidated Statement of Financial Activities for the year ended 30th June 2021 and Consolidated Statement of Financial Activities for the year ended 30th June 2020.

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The Lullaby Trust Limited

Consolidated Statement of Financial Activities for the year ended 30th June 2021

Note INCOME AND EXPENDITURE Income Donations and legacies 6 Other trading activities: - The Lullaby Trust generated income 7 - The Lullaby Trust Sales Limited 10 Income from investments - The Lullaby Trust - The Lullaby Trust Sales Limited 10 Income from charitable activities 8 Other Income 9 Total Income Expenditure Expenditure on raising funds - The Lullaby Trust 11 - The Lullaby Trust Sales Limited 10 Charitable activities - Scientific research 12 - Support and information 12 - Monitors and sundry equipment (CONI) 12 Total Expenditure Net Incoming/(Outgoing) Resources Transfers between funds 23 Net Movement in Funds 14 Balance at 1st July 2020 Balance at 30th June 2021 24	General Funds £ 927,458 1,460 120,043 146 7 92,255 26,822 1,168,191 (303,793) (25,306) (10,931) (301,377) (1,875) (643,282) 524,909 (93,958) 430,951 368,140 799,091	Designated Funds £ - - - - - - - - (7,629) - (272) (226,057) - (233,958) (233,958) 93,958 (140,000) 300,000 160,000	Restricted Funds £ 212,374 - - - - 41,940 - 254,314 - - (10,721) (278,260) (32,108) (321,089) (66,775) - (66,775) 182,296 115,521	Total 2021 £ 1,139,832 1,460 120,043 146 7 134,195 26,822 1,422,505 (311,422) (25,306) (21,924) (805,694) (33,983) (1,198,329) 224,176 - 224,176 850,436 1,074,612

All amounts relate to continuing activities.

There have been no recognised gains or losses, other than the results for the financial year, and all profits or losses have been accounted for on an historical cost basis.

The notes on pages 35 to 51 form part of these financial statements.

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The Lullaby Trust Limited

Consolidated Statement of Financial Activities for the year ended 30th June 2020

Note INCOME AND EXPENDITURE Income Donations and legacies 6 Other trading activities: - The Lullaby Trust generated income 7 - The Lullaby Trust Sales Limited 10 Income from investments - The Lullaby Trust - The Lullaby Trust Sales Limited 10 Income from charitable activities 8 Other Income 9 Total Income Expenditure Expenditure on raising funds - The Lullaby Trust 11 - The Lullaby Trust Sales Limited 10 Charitable activities - Scientific research 12 - Support and information 12 - Monitors and sundry equipment (CONI) 12 Total Expenditure Net Incoming/(Outgoing) Resources Transfers between funds 23 Net Movement in Funds 14 Balance at 1st July 2019 Balance at 30th June 2020 24	General Funds £ 948,219 8,725 153,078 964 94 76,922 24,646 1,212,648 (404,512) (26,654) (6,368) (470,630) (4,500) (912,664) 299,984 (242,964) 57,020 311,120 368,140	Designated Funds £ - - - - - - - - - - - - - - - 300,000 300,000 - 300,000	Restricted Funds £ 300,509 - - - - 15,259 - 315,768 - - (43,404) (303,052) (24,695) (371,151) (55,383) (57,036) (112,419) 294,715 182,296	Total 2020 £ 1,248,728 8,725 153,078 964 94 92,181 24,646
				1,528,416
				(404,512) (26,654) (49,772) (773,682) (29,195)
				(1,283,815)
				244,601 - 244,601 605,835
				850,436

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The Lullaby Trust Limited

Consolidated Balance Sheet as at 30 June 2021

Note Fixed Assets Tangible 17 Intangible 18 Investments 10 Current Assets Stocks Debtors and prepayments 19 Cash at bank and in hand Creditors: Amounts falling due within one year 20 Net Current Assets Creditors: Amounts falling due after more than one year 21 Net Assets Represented by: Restricted funds 23 Designated Funds 23 General funds 23	Group 2021 £ 11,404 1,719 - 13,123 353 148,776 1,012,338 1,161,467 (99,978) 1,061,489 - 1,074,612 115,521 160,000 799,091 1,074,612	Group 2020 £ 16,138 9,606 - 25,744 438 180,072 810,680 991,190 (166,498) 824,692 - 850,436 182,296 300,000 368,140 850,436	Charity 2021 £ 11,404 1,719 10,000 23,123 - 219,211 939,100 1,158,311 (106,822) 1,051,489 - 1,074,612 115,521 160,000 799,091 1,074,612	Charity 2020 £ 16,138 9,606 10,000 35,744 - 210,601 757,381 967,982 (153,290) 814,692 - 850,436 182,296 300,000 368,140 850,436

This report has been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small companies and in accordance with the provisions of FRS 102 (effective January 2015).

The net incoming resources of the parent amounted to £224,176 (2020: £244,601).

The notes on pages 35 to 51 form part of these financial statements.

The financial statements were approved by the Board of Trustees and signed on their behalf by:

Dr S Goater Chair Date: 07/12/2021 Registered Company No. 01000824

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The Lullaby Trust Limited

Statement of Cash flows for the year ended 30th June 2021

Note Cash used in operating activities Cash provided by (used in) operating activities 1 Cash flows from investing activities Interest income Disposal of tangible fixed assets Purchase of tangible fixed assets Purchase of intangible assets Cash provided by (used in) investing activities Change in cash and cash equivalents in the reporting period Cash and cash equivalents at the beginning of the reporting period Cash and cash equivalents at the end of the reporting period 2 1. Reconciliation of net income/(expenditure) to net cash provided by operating activities Net Income/(Expenditure) Depreciation Charges Amortisation Charges Loss on Disposal of fixed assets Interest Income (Increase)/decrease in Current Assets Increase/(decrease) in Creditors Net Cash Flow from Operating Activities 2. Cash and cash equivalents Cash in hand Total cash and cash equivalents 3. Analysis of changes in net debt Cash Total	Group 2021 £ 203,688 153 - (2,183) - (2,030) 201,658 810,680 1,012,338 Group 2021 £ 224,176 6,392 7,887 525 (153) 31,381 (66,520) 203,688 1,012,338 1,012,338 At 1st July 2020 £ 810,680 810,680	Group 2020 £ 390,050 1,058 - (643) - 415 390,465 420,215 810,680 Group 2020 £ 244,601 7,227 18,239 694 (1,058) 103,783 16,564 390,050 810,680 810,680 Cash flows £ 201,658 201,658	Charity 2021 £ 183,756 146 - (2,183) - (2,037) 181,719 757,381 939,100 Charity 2021 £ 224,176 6,392 7,887 525 (146) (8,610) (46,468) 183,756 939,100 939,100 Other non-cash changes £ - -	Charity 2020 £ 358,309
				964 - (643) -
				321 358,630
				398,751
				757,381
				Charity 2020 £ 244,601 7,227 18,239 694 (964) 77,836 10,676
				358,309
				757,381
				757,381
				At 30th June 2021 £ 1,012,338
				1,012,338

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

4. Accounting Policies

The financial statements have been prepared in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102). The Charitable Company and Group is a public benefit company for the purposes of FRS 102 and therefore the Charity also prepared its financial statements in accordance with the 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 (The FRS 102 Charities SORP), the Companies Act 2006 and the Charities Act 2011.

Going Concern

The trustees have assessed whether the use of the going concern basis is appropriate and have considered possible events or conditions that might cast significant doubt on the ability of the group to continue as a going concern. The trustees have made this assessment for a period of at least one year from the date of approval of the financial statements. In particular the trustees have considered the group’s forecasts and projections, taking into account the financial impact of the ongoing Covid-19 pandemic on fundraising activities and ensuring that contingency plans are in place in the event of income reducing significantly more than forecast. During this period of continued uncertainty the trustees have taken additional steps to designate funds for core activities that are traditionally harder to fundraise for and internal investment for the organisation. After due consideration the trustees have concluded that there is a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. The group therefore continues to adopt the going concern basis in preparing its financial statements. There were no material uncertainties at the year end.

Currency

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest pound.

The principal accounting policies are as follows:

Critical accounting estimates and areas of judgement

In the view of the trustees in applying the accounting policies adopted, no judgements were required that have a significant effect on the amounts recognised in the financial statements nor do any estimates or assumptions made carry a significant risk of material adjustment in the next financial year.

Consolidation

The group financial statements consolidates the financial statements of The Lullaby Trust and its wholly owned subsidiary undertaking, The Lullaby Trust Sales Limited, for the year ended 30th June 2021. A separate income and expenditure account for The Lullaby Trust is not presented because The Lullaby Trust has taken advantage of the exemptions permitted by section 408 of the Companies Act 2006.

Income

Income is recognised when the three conditions of probable, entitlement and measurement are satisfied and where it is probable that monies will not be repayable.

Expenditure

All expenditure is accounted for on an accruals basis and is classified under specific expenditure categories where appropriate.

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The Lullaby Trust Limited Notes to the Financial Statements for the year ended 30 June 2021

4. Accounting Policies (continued)

Overhead expenses which do not relate to a specific expenditure category within the Statement of Financial Activities are apportioned over the various categories using a formula based on the level of hours dedicated. This is approved by the Finance and Resources Committee of The Lullaby Trust and reviewed on an annual basis.

Grants payable are payments made to the third parties in the furtherance of the charitable objects of the Charity. Single or multi-year grants are accounted for when either the recipient has a reasonable expectation that they will receive a grant and the Trustees have agreed to pay the grant without condition, or the recipient has a reasonable expectation that they will receive a grant and any condition attaching to the grant is outside of the control of the Charity.

Long term creditors for grants are made when the intention to make a grant has been communicated to the recipient but there is uncertainty about the timing of the grant.

Gifts in Kind

Goods and services donated to the charity with an estimated value of at least £5,000 are recognised as donations under income and as expenditure under the most appropriate heading for the expense.

Tangible Fixed Assets

Fixed assets, which are stated at cost, are depreciated at rates sufficient to reduce the net book amount of those assets to their estimated residual value at the end of their expected useful lives. The following rates are currently used:

Office equipment - over 4 years on a straight line basis Fixtures & fittings - over the period of the lease on a straight line basis

Fixed assets costing £100 or more are capitalised.

Intangible Assets

Fixed assets, which are stated at cost, are amortised at rates sufficient to reduce the net book amount of those assets to £nil at the end of their expected useful lives. The following rates are currently used:

Website developments - over 3 years on a straight line basis Software licences - over 3 years on a straight line basis

Fixed assets costing £100 or more are capitalised. Software licences with a fixed term are not capitalised.

Stocks

Stocks of goods for resale are stated at the lower of cost and net realisable value after making allowance for obsolete and slow moving items.

Other Financial Instruments

i. Cash and cash equivalents

Cash and cash equivalents include cash at banks and in hand and short term deposits with a maturity date of three months or less.

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The Lullaby Trust Limited Notes to the Financial Statements for the year ended 30 June 2021

4. Accounting Policies (continued)

ii. Debtors and creditors

Debtors and creditors receivable or payable within one year of the reporting date are carried at their at transaction price. Debtors and creditors that are receivable or payable in more than one year and not subject to a market rate of interest are measured at the present value of the expected future receipts or payment discounted at a market rate of interest.

Fund Accounting

Funds held by The Lullaby Trust are either:

Unrestricted general funds - these are funds which can be used for the charitable objects at the discretion of the trustees. Designated funds - these are funds set aside by the trustees out of unrestricted general funds for specific purposes or projects. Restricted funds - these are funds that can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.

Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.

Taxation

The taxable profit of the subsidiary undertaking The Lullaby Trust Sales Limited is eliminated by a gift aided donation in favour of The Lullaby Trust which is not liable to taxation due to its charitable status.

Operating Leases

Rentals payable under operating leases are charged to the Statement of Financial Activities as incurred over the terms of the lease.

5. Liability of Members

At 30th June 2021 The Lullaby Trust has 72 Members (2020 - 70 members). The liability of each Member to contribute to the assets of the Charity is limited to £1.00. The number of Members is limited to 150.

6. Donations and Legacies Income Community and events Individuals Trusts Companies	Unrestricted 2021 £ 348,256 407,529 54,166 117,507 927,458	Restricted 2021 £ 3,709 99,270 109,395 - 212,374	Total 2021 £ 351,965 506,799 163,561 117,507 1,139,832

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

6. Donations and Legacies Income (continued) Community and events Individuals Trusts Companies 7. The Lullaby Trust Generated Income Special events Special events 8. Charitable Activities Income CONI Other activities	Unrestricted 2020 £ 461,663 323,136 85,100 78,320 948,219 Unrestricted 2021 £ 1,460 1,460 Unrestricted 2020 8,725 8,725 Unrestricted 2021 £ 5,385 86,870 92,255	Restricted 2020 £ 32,494 59,588 206,164 2,263 300,509 Restricted 2021 £ - - Restricted 2020 - - Restricted 2021 £ 3,970 37,970 41,940	Total 2020 £ 494,157 382,724 291,264 80,583
			1,248,728
			Total 2021 £ 1,460
			1,460
			Total 2020 £ 8,725
			8,725
			Total 2021 £ 9,355 124,840
			134,195

Government Grants

Income for other activities in the year included a £31,000 grant from the Scottish Government for training health professionals in Scotland.

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

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The Lullaby Trust Limited Notes to the Financial Statements for the year ended 30 June 2021

10. The Lullaby Trust Sales Limited

The Lullaby Trust has a wholly-owned trading subsidiary undertaking, The Lullaby Trust Sales Limited, a company incorporated and registered in England and Wales. The principal activity of this company is the raising of funds for the Charity through the sale of goods and all its profits are paid to the Charity by gift aid. The Charity owns the entire issued share capital of 10,000 ordinary shares of £1 each. A summary of the results is shown below:

Profit and Loss Account Income Cost of sales Gross profit Administration expenses Interest receivable and similar income Profit on ordinary activities after taxation Movement in Shareholders' Funds Profit/(loss) for the financial year Distribution to parent under gift aid (under deed of covenant) Shareholders' funds at 1st July 2020 Shareholders' funds at 30 June 2021 Balance Sheet Current assets Creditors: amounts falling due within one year Total assets less current liabilities Called up share capital Retained profit and loss account Shareholders' funds	2021 £ 120,043 (11,497) 108,546 (13,809) 7 94,744 2021 £ 94,744 (94,744) 10,000 10,000 2021 £ 114,469 (104,469) 10,000 10,000 - 10,000	2020 £ 153,078 (16,840)
		136,238 (9,814) 94
		126,518
		2020 £ 126,518 (126,518) 10,000
		10,000
		2020 £ 74,648 (64,648)
		10,000
		10,000 -
		10,000

Registered Company No. 01731141

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

12. Charitable Expenditure (continued)

Monitors and Sundry Equipment

Monitors and sundry equipment expenditure represents the cost of the specific purchase of monitors and sundry equipment for use by health providers, and is funded by specific donations and group committees raising the necessary funds locally.

Grants Payable

The total amount of grants payable in the year amounted to £40,243 (2020: £43,490).

13. Apportioned Costs

Support costs apportioned Costs of generating voluntary Individuals Community and events Trusts Companies Special events Scientific Research Support and information Support costs apportioned Costs of generating voluntary Individuals Community and events Trusts Companies Special events Scientific Research Support and information	Management & Staff Costs (i) £ income: 11,545 21,205 1,532 4,830 589 39,701 1,414 119,222 160,337 Management & Staff Costs (i) £ income: 12,577 21,764 4,371 4,817 1,427 44,956 446 94,283 139,685	Facilities & Depreciation (i) £ 3,688 6,771 489 1,542 188 12,678 451 38,071 51,200 Facilities & Depreciation (i) £ 12,931 22,375 4,493 4,952 1,467 46,218 459 96,929 143,606	Fundraising Costs (ii) £ 50,963 93,605 6,760 21,321 2,600 175,249 - - 175,249 Fundraising Costs (ii) £ 57,160 98,917 19,864 21,891 6,486 204,318 - - 204,318	Governance Costs (i) £ - - - - - - 1,261 106,360 107,621 Governance Costs (i) £ - - - - - - 190 40,257 40,447	Total 2021 £ 66,196 121,581 8,781 27,693 3,377
					227,628
					3,126
					263,653
					494,407
					Total 2020 £ 82,668 143,056 28,728 31,660 9,380
					295,492
					1,095
					231,469
					528,056

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The Lullaby Trust Limited Notes to the Financial Statements for the year ended 30 June 2021

13. Apportioned Costs (continued)

(i) Support costs are apportioned on the basis of the number of staff working in each area and includes governance costs for audit, legal and professional fees.

(ii) Other fundraising costs are apportioned on the basis of the number of fundraising staff working in each area.

14. Net Movement of Funds Net Movement of Funds is stated after charging: Auditors remuneration current year Non audit services Operating leases Depreciation Amortisation 15. Staff Costs and Trustees' Remuneration Staff costs arising during the year amounted to: Wages and salaries Social security costs Pension costs Redundancy payments Other staff benefits The average monthly number of persons employed during the year was as follows: The number of employees with emoluments above £60,000 were: £60,001 - £70,000		2021 £ 11,865 800 4,072 6,392 7,887		2020 £ 10,905 775 96,588 7,227 18,239
		2021 £ 617,449 52,919 60,132 9,851 4,504 744,855 Number 24 - -		2020 £ 599,705 49,668 57,997 1,575 10,807
				719,752
				Number 25
				1
				1

Employers pension contribution in respect of higher paid employees in 2021 totalled £nil (2020: £6,940).

Trustees receive no remuneration or benefits. During the year no trustees claimed for travel expenses (2020: £1,405 reimbursed to 3 trustees).

Key management personnel as listed on page 18 received remuneration totalling £72,560 (2020: £74,538).

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The Lullaby Trust Limited Notes to the Financial Statements for the year ended 30 June 2021

16. Related Party Transactions

As at 30 June 2021, Trustees' and key management personnel donations amounted to £761 (2020: £7,214). Trustees and key management personnel paid £nil (2020: £140) for attendance at fundraising events.

Jennifer Ward is administering the estate of an individual who has named The Lullaby Trust as sole beneficiary in their will. The charity received a legacy of £22,000 in the year. This is included in donations and legacies income from individuals (note 5).

During the year The Lullaby Trust commissioned artwork from Identica Ltd, of which Christopher Cleaver was a director until September 2021. A total of £2,208 is included in the Direct costs of Support & Information.

In the prior year, White & Case LLP, of which Kirsti Robertshaw was a Member until February 2020, donated space for meetings and events and pro bono legal advice with an estimated value of £22,324. This is included in donations and legacies income from companies (note 5).

There are no other related party transactions during the year, or the previous year.

17. Tangible Fixed Assets Group and Charity Cost At 1st July 2020 Additions Disposals At 30th June 2021 Depreciation At 1st July 2020 Disposals Charge for year At 30th June 2021 Net Book Value At 30th June 2021 At 30th June 2020	Office Equipment £ 34,311 2,183 (6,007) 30,487 18,211 (5,482) 6,354 19,083 11,404 16,100	Fixtures & Fittings £ 204 - - 204 166 - 38 204 - 38	Total £ 34,515 2,183 (6,007)
			30,691
			18,377 (5,482) 6,392
			19,287
			11,404
			16,138

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

18. Intangible Assets

Group and Charity Cost At 1st July 2020 Disposals At 30th June 2021 Amortisation At 1st July 2020 Disposals Charge for year At 30th June 2021 Net Book Value At 30th June 2021 At 30th June 2020 19. Debtors and Prepayments Amounts owed by group undertaking Trade debtors Other debtors Prepayments and accrued income		Website Developments £ 68,543 - 68,543 62,168 - 5,996 68,164 379 6,375 Group 2021 £ - 9,379 2,788 136,609 148,776	Software Licences £ 40,843 (1,271)		Total £ 109,386 (1,271)	Charity 2020 £ 46,518 10,281 41,753 112,049
			39,572		108,115
			37,612 (1,271) 1,891		99,780 (1,271) 7,887
			38,232		106,396
			1,340		1,719
			3,231		9,606
			Group 2020 £ - 11,841 41,753 126,478 180,072		Charity 2021 £ 94,744 9,349 2,788 112,330 219,211
						210,601

All Debtors are financial instruments measured at present value except prepayments of £70,710 (2020: £51,119).

20. Creditors: Amounts falling due within one year

Trade creditors Amounts owed to group undertakings Taxation and social security Accruals	Group 2021 £ 13,388 - 19,744 66,846 99,978	Group 2020 £ 47,992 - 27,899 90,607 166,498	Charity 2021 £ 13,094 16,569 13,711 63,448 106,822	Charity 2020 £ 47,992 4,922 12,957 87,419
				153,290

All Creditors are financial instruments measured at present value except the social security creditor, £13,711 (2020: £12,957).

Accruals include an amount in respect to pension commitments of £nil (2020: £5,169).

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

21. Creditors: Amounts falling due after more than one year

	Group	Group	Charity	Charity
	2021	2020	2021	2020
	£	£	£	£
Grants payable - research grants	-	-	-	-

All Creditors are financial instruments measured at present value.

22. Operating Leases

At 30th June 2021 there were total commitments in respect of operating leases for office equipment, land and buildings as follows:

and buildings as follows:
Group and Charity Lease payments due within 1 year Lease payments due in 1-2 years Total commitments	Office equipment 2021 £ - - -	Buildings 2021 £ 1,188 - 1,188	Total 2021 £ 1,188 - 1,188	Total 2020 £ 2,970 -
				2,970

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

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The Lullaby Trust Limited

Notes to the Financial Statements for the year ended 30 June 2021

23. Statement of Funds (continued) Restricted Funds: Befrienders (National Lottery Community Fund) Bereavement Services Covid-19 Activities Helpline Regional Family Days Regional Development Officers Little Lullaby (Other) Safer Sleep Activities Scientific Research Projects Hearing Research Research PhD Studentship CONI Total Restricted Funds Unrestricted Designated Funds: Safer Sleep Activities Restructure Costs Total Designated Funds Unrestricted General Funds: The Lullaby Trust The Lullaby Trust Sales Ltd Total General Funds Total Unrestricted Funds Total Funds	23. Statement of Funds (continued) Restricted Funds: Befrienders (National Lottery Community Fund) Bereavement Services Covid-19 Activities Helpline Regional Family Days Regional Development Officers Little Lullaby (Other) Safer Sleep Activities Scientific Research Projects Hearing Research Research PhD Studentship CONI Total Restricted Funds Unrestricted Designated Funds: Safer Sleep Activities Restructure Costs Total Designated Funds Unrestricted General Funds: The Lullaby Trust The Lullaby Trust Sales Ltd Total General Funds Total Unrestricted Funds Total Funds	At 30th June 2019 £ 38,750 8,437 - 14,140 80,652 2,184 2,875 - 22,936 9,654 40,166 74,921 294,715 - - - 311,120 - 311,120	Incoming Resources £ 41,531 - 36,113 15,508 9,287 240 - 78,312 5,973 - - 128,804 315,768 - - - 1,059,476 153,172 1,212,648	Outgoing Resources £ (41,955) (8,437) (12,099) (29,648) (37,805) (2,424) (538) (78,312) (1,483) (1,755) (40,166) (116,529) (371,151) - - - (886,010) (26,654) (912,664)	Fund Transfers £ - - - 1,000 (47,036) - - - - - - (11,000) (57,036) 250,000 50,000 300,000 (116,446) (126,518) (242,964)	At 30th June 2020 £ 38,326 - 24,014 1,000 5,098 - 2,337 - 27,426 7,899 - 76,196 182,296 250,000 50,000 300,000 368,140 - 368,140
		311,120 605,835	1,212,648 1,528,416	(912,664) (1,283,815)	57,036 -	668,140 850,436

www.lullabytrust.org.uk

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Notes to the Financial Statements for the year ended 30 June 2021

The Lullaby Trust Limited

www.lullabytrust.org.uk

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Notes to the Financial Statements for the year ended 30 June 2021

The Lullaby Trust Limited

23. Statement of Funds (continued)

The Trustees have reviewed the need for designated funds in 2021/22 as our fundraising activities continue to be impacted by the Covid-19 pandemic. The Trustees agreed to transfer an additional £94,000 from general funds in order to designate a total of £160,000 for the following purposes in the coming year:

£100,000 towards safer sleep activities to both secure and invest in this vital area of our work.

£30,000 to support our Little Lullaby programme for young parents as we seek grant funding to develop it further in 2022.

£30,000 towards the development of a new organisational strategy and investment in our finance systems to move to paperless working that better supports the new hybrid working model.

24. Analysis of Group Net Assets between Funds Fixed assets Net current assets Creditors: amounts falling due after more than one year Fixed assets Net current assets Creditors: amounts falling due after more than one year	General Funds 2021 £ 13,123 785,968 - 799,091 General Funds 2020 £ 25,744 342,396 - 368,140	Designated Funds 2021 £ - 160,000 - 160,000 Designated Funds 2020 £ - 300,000 - 300,000	Restricted Funds 2021 £ - 115,521 - 115,521 Restricted Funds 2020 £ - 182,296 - 182,296	Total Funds 2021 £ 13,123 1,061,489 -
				1,074,612
				Total Funds 2020 £ 25,744 824,692 -
				850,436

www.lullabytrust.org.uk

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The Lullaby Trust Limited CAN Mezzanine 7-14 Great Dover Street London SE1 4YR

www.lullabytrust.org.uk

Registered charity number: 262191 Company registration number: 01000824