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2022-12-31-accounts

Children with Cancer UK

Trustees’ Report and Financial Statements for the year ended 31 December 2022

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Children with Cancer UK in numbers

Research - We’re committed to improving survival and finding kinder treatments for children and young people with cancer

£4m

invested into vital, life-saving research

2

new research grants were awarded

2

new collaborations commenced

Supporting families – We help children with cancer and their families through the hardships of a cancer diagnosis

186 families attended participated in our welfare activities

£3m

helping children cope with cancer treatment through receiving beads from Beads of Courage UK, our partner charity

Awareness – We shine a spotlight on the impact of cancer on children and young people and their families

Millions

of people reached through our campaigns

267

online articles

110

mentions of the charity in printed media

15 families told their childhood cancer stories

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

CHILDREN WITH CANCER UK

TRUSTEES’ ANNUAL REPORT AND CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

Page
MESSAGE FROM THE CHAIR AND CEO 4
OUTCOMES IN 2022 6
RESEARCH OUTCOMES IN 2022 7
SUPPORTING FAMILIES IN 2022 9
AWARENESS ACTIVITIES IN 2022 10
FUNDRAISING HIGHLIGHTS AND COMPLIANCE 12
THANK YOU 15
FINANCIAL REVIEW 17
STRATEGIC PLANS 19
GOING CONERN, RISKS & GOVERNANCE 20
REFERENCE AND ADMINISTRATION 28
STATEMENT OF TRUSTEES’ RESPONSIBILITIES 30
INDEPENDENT AUDITORS’ REPORT 31
CONSOLIDATED FINANCIAL STATEMENTS 36
NOTES TO THE FINANCIAL STATEMENTS 39

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Welcome from Chair of Trustees

2022 was another year of change for Children with Cancer UK as we continue to evolve and leave COVID-19 in the past. Building on the inspirational 35-year legacy of our Founder and Chairman, Eddie O’Gorman, we’re more determined than ever to improve outcomes for children and young people with a cancer diagnosis.

With Jo Elvin leading as CEO, we are driving forwards with new initiatives and a refreshed strategy. This includes internal changes such as our Digital Transformation Project which is implementing up to date systems for data and financial processes, moving office spaces to allow for growth and our re-brand which introduces a bold new look. Our vision is the same, but it’s a new chapter.

This year, we also saw the renewal of our board of trustees in coordination with Jo’s appointment. I’m delighted to introduce Professor Bruce Morland who recently retired as a Professor of Paediatric Oncology at Birmingham Women’s and Children’s Hospital. He has extensive experience in the development of novel new therapies for childhood cancer and we look forward to his influence on our strategic direction for research. Similarly, I’m honoured to introduce Pamela Kearns as our new Scientific Advisor. Pamela is Professor of Clinical Paediatric Oncology at the University of Birmingham and an Honorary Consultant Paediatric Oncologist at Birmingham Women and Children’s Hospital. Her expertise will be an asset to our team as we continue to fund essential and groundbreaking research.

Looking forwards, Children with Cancer UK will be focusing on the wellbeing of families facing a childhood cancer diagnosis and how we can best support this. We continue to fund the inspiring Beads of Courage UK programme and have also begun plans for a new wellness centre that will act as a haven for young families.

Finally, I would like to sincerely thank our staff who are the heart of our organisation and the supporters who have been on this journey with us and continue to help the charity support families facing the unimaginable.

David Gibbs Chair of Trustees Children with Cancer UK

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Welcome from CEO of Children with Cancer UK

It’s been a year of seismic transition at Children with Cancer UK. In the last 35 years, this charity has raised £300million to give to the fight against childhood cancers. It’s my aim to amplify our message and reach even more audiences than ever before.

Children With Cancer UK is proud to be one of the biggest funders of research into childhood cancer in this country and in the past year we have invested £4 million into new projects. Through a brilliant collaboration with Bone Cancer Research Trust, we committed to funding a Ewing Sarcoma Research programme as no new treatments have been developed for this type of bone cancer in over 30 years, a shocking amount of time.

We also provided financial support for the Postdoctoral Fellowship Programme by the International Agency for Research on Cancer (IARC) as the training of early-career scientists is crucial for the future of childhood cancer research worldwide.

Over the next 12 months, I’m delighted to announce that the charity will be making a major investment in a new world-leading research facility, the Birmingham Cancer Research Institute (BCRI), in collaboration with Birmingham University. This is the charity’s first ever investment in a capital project and it is one that we have full confidence in being able to accelerate the breakthroughs needed in childhood cancer research.

Our new logo features two ‘arms’ on either side of our name, symbolic of the embrace in which we want to hold all children and their families facing cancer. Long time supporters will already be aware of our ongoing support of the oncology arm of the Beads of Courage UK programme. This exceptional organisation rewards children with a special bead to represent every treatment they face on their journey and I’ve seen firsthand the profound impact these beads have on the emotional wellbeing of a child. It’s why we’re also delighted to be partnering with Spread a Smile. Our support of this wonderful charity means that more children, across the UK, will have the chance to experience happiness alongside the hardship of the hospital ward, as entertainers and therapy animals literally spread smiles wherever they go.

In another first for the charity, we are currently developing a holiday retreat in picturesque Yorkshire for the latter half of 2024. The retreat will give deserving families some much needed holiday time in an environment equipped for the specific needs of children with cancer.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Together with our new branding, we are working to spread our message to new audiences in innovative new ways. We have some big, at times daunting goals we’ve set ourselves at Children with Cancer UK. But it’s also incredibly exciting to think that after 35 years, there is still so much potential for this charity to grow its impact on children and young people.

I very much appreciate your continuing support in these efforts.

Jo Elvin

CEO of Children with Cancer UK

OUTCOMES IN 2022

How donations have helped children and young people with cancer.

We are pleased to announce that in 2022 we raised £13.8 million to fund specialist childhood cancer research and support families.

For every £1 we spend on fundraising, we raised £5 more

For every £1 donated we spend

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

OUR YEAR IN RESEARCH

Around 1,800 children and 2,400 young people are diagnosed with cancer each year in the United Kingdom. Whilst over 80% of patients survive, cancer remains one of the leading disease related causes of death for children under 15 years of age. From the time of their diagnosis, children and young people endure difficult treatments to eradicate their disease, with potentially life-altering side effects on their development. High-quality and impactful research is essential to driving forward our vision of a world where every child and young person survives cancer. Research has significantly contributed to the improvements seen in childhood cancer survival rates from 67.3% in 1990 to a predicted 85.2% recorded in 2019. Improved treatments and understanding of the disease are important in the fight against cancer.

Children with Cancer UK plays a major role in funding vital life-saving research. We are dedicated to improving survival rates across all types of childhood cancer, improving the quality of life in young cancer survivors, and finding less-toxic treatment options. As one of the UK’s leading charities dedicated to childhood cancer research, we are proud of our contribution to the ongoing breakthroughs which continue to help save young lives.

The COVID-19 pandemic continued to have a significant impact on research in the UK and result in delays for many existing research projects due to continued redeployment, impacts to the workforce and capacities to deliver research within the laboratory environment. Despite these limitations, we funded 2 new research projects as part of a Postdoctoral fellowship programme in collaboration with the International Agency for Research on Cancer (IARC) in 2022 worth €200,000. The training of early-career scientists plays an important role in strengthening the capacity of nations in the fight against cancer. These projects are focusing on cancers in children, teenagers, and young adults.

Combined with existing active research grants, this means that we are now funding a total of 46 projects, worth over £14 million across the UK and abroad. Our funding is helping more children survive cancer and look forward to longer and healthier lives after their treatment has ended.

Children with Cancer UK values its partnerships with others in the paediatric and young adult cancer community including the National Cancer Research Institute (NCRI) and the Association of Medical Research Charities (AMRC). Our research funding includes support from other charities, government funders, cancer organizations and universities. We supported several conferences including the British Neuro-oncology Society (BNOS) annual meeting and the Bone Cancer Research Trust 3rd International Ewing Sarcoma Research Symposium. These collaborative events during the year help to facilitate innovation and share specialist expertise.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

New research awards

In 2022 we funded new research programs in collaboration with other organisations worth £3,971,033.

Bone Cancer Research Trust – Ewing Sarcoma Research Programme

Ewing sarcoma represents approximately 15% of all primary bone cancers and approximately 0.02% of all cancers diagnosed in the UK each year, with a peak of incidence between 10-20 years old. Through a chronic lack of research and funding, no new treatments have been developed in over 30 years. Overall, 5-year survival has remained static for decades at 50-60% however, for patients with metastatic disease, this can be as low as 20-35%.

By combining forces, the Bone Cancer Research Trust and Children with Cancer UK hope to bring about a greater interest in Ewing sarcoma research that will accelerate the development of new and kinder treatment options that are so desperately needed for children and young people.

– International Agency for Research on Cancer (IARC) Postdoctoral Fellowship Programme

The training of early-career scientists plays an important role in strengthening the capacity of countries in the fight against cancer. Financial support from donors such as Children with Cancer UK is vital to increase the number of postdoctoral scientists who can benefit from the IARC Fellowship Programme, and ultimately to boost the impact on research capacity in countries worldwide. These funded projects to the value of €200,000 will have a focus on cancers affecting children and young people.

- Cancer Research UK Stratified Medicine Paediatrics 2 programme

In November 2022, we committed £2.7 million to Cancer Research UK to support the Stratified Medicine Paediatrics 2 programme in 2023. This programme aims to develop and study novel tests (investigations) that will build upon the success of StratMedPaediatrics, the UK’s first National Molecular Tumour profiling platform for relapsed childhood cancer. We look forward to seeing the results of this collaboration

Scientific Advisory Panel

We are indebted to the members of our Scientific Advisory Panel (SAP) who freely give their time and expertise to help drive forward our fight against cancers affecting children and young people. Research into cancers affecting children and young people is a broad field and we aim to reflect the diversity of the field amongst the membership of panel members.

The interim chair of the Panel for 2022 was Professor Roderick Skinner. In 2023 a new Chair was confirmed.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

SUPPORTING FAMILIES IN 2022

Children with Cancer UK is committed to being there for families through treatment and beyond. Due to the staffing absence of a special events team, we were not able to deliver as many events as in previous years. We ensured consistent contact with our families was maintained throughout this period and were still able to create special memories towards the end of the year.

Back to School Craft Kits

In September 2022, we sent 96 families a craft kit that included decorating a pencil case, making a pencil topper and creating a book bag keyring. The kits were mailed to their homes alongside a virtual instruction video which allowed the families the freedom to make the school accessories in their own time.

Hollie loved receiving her craft kit and her mum, Hayley told us:

“Hollie was very excited to receive her back-to-school craft kit. She couldn't wait to design her own pencil case. She was so excited to show her best friend at school what she had made, and everyone loved it. Thanks so much again. You’re always there for us.”

Children’s Choir

At the Children with Cancer UK Ball in 2022, we invited 10 children to participate in a children’s choir for the first time. They performed a rendition of ‘Fix you’ by Coldplay and were accompanied by adult performers. This experience was an exciting opportunity to involve our families in one of our key fundraising events and we hope to continue this tradition in years to come.

Warner Brothers Harry Potter Studio Tour

In December 2022, over 80 children affected by childhood cancer and their families joined us at the Warner Brothers Harry Potter Studio Tour. Guests were escorted through the cinematic experience by characters from the Harry Potter films and into the studio tour where they were able to explore the sets, props and costumes featured in the Harry Potter film series.

One of the young guests in attendance was Sebastian Penney, aged 8, who was diagnosed with cancer of the bowel when he was 18 months old and has been in remission for the past 5 years. His mother, Natasha, said:

“The event was magical – Sebastian had an amazing time just wandering around and having fun. The highlight of his day was seeing friends he made at the Children with Cancer UK ball and giving them a big hug, I think they will be friends for life now. It normalises his treatment and it’s lovely they get to do this and be together at Children with Cancer UK events.”

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Beads of Courage UK

Our partnership with the Beads of Courage UK programme continued through 2022 and we helped to fund support for children and their families through some of the toughest times in their lives. Since our partnership began in 2019, we have helped support approximately 14,000 children in over 100 hospitals acknowledge, celebrate and record 10 plus million milestones. Our grant has also enabled training sessions to hospital staff on how to support individual patients throughout the programme both practically and emotionally. Every bead tells a story of hope, support and encouragement.

RAISING AWARENESS

Children with Cancer UK is dedicated to increasing awareness of the causes, symptoms, treatments and impact of childhood cancer. This commitment to spotlighting the effects of childhood cancer extends to current and potential supporters, the research community and patient families.

It is only through our raised profile that we can continue to secure funds for life-saving research and effect change for children and young people with a cancer diagnosis.

In 2022, we ran multiple campaigns including Childhood Cancer Awareness Month and Christmas. Through these key charity moments, we have reached millions of individuals across the UK.

Making our voice heard

Social media

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Childhood Cancer Awareness Month

Childhood Cancer Awareness Month (CCAM) is a national awareness campaign that occurs every September. This year, we continued the theme of ‘When I grow up...’ and created two videos with childhood cancer patients Eve and Josh.

Eve’s inspirational video with Dame Arlene Phillips, our ambassador, was submitted at the Smiley Charity Film Awards in March 2023 and came third in its category.

With special thanks to Josh, Eve and their families for sharing their experiences so generously and thank you to Duna Films for helping us to create a special message for other children that celebrates their eternal optimism and zest for life despite the challenges they face.

Christmas

Our 2022 Christmas Appeal shared Florie’s story and the difficulties her family faced over the previous two Christmases. Florie was diagnosed with a Wilms tumour, a type of kidney cancer when she was just two years old.

We partnered with ‘The Sun on Sunday’s Xmas Cards for Kids’ campaign and had our designs featured in 790 Tesco UK stores. We received £20,000 as a donation from these sales and were included in their online articles.

Telling the story of childhood cancer

Sharing childhood cancer journeys is one of our most effective ways in raising awareness. We are incredibly grateful to all of the families who so generously volunteered to share their story. With their support we can continue to highlight the need for more funding into childhood cancer research.

Thank you to the 12 families who shared their child’s story in 2022 and welcome to the Children with Cancer UK family: Lenny, Lois, Alfie H, Florie, Jacob, Jesse, Dax, Theo, Jacob W, Liberty, Harry HP and Enguerrand.

Thank you also to the three adults who reflected on their own childhood cancer journeys and welcome to the Children with Cancer UK family: Leah, Luciano and Ellen.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

FUNDRAISING HIGHLIGHTS

Some of our fundraising achievements in 2022, that are helping create a world where every child survives cancer, include:

London Marathon Events 2022

The 2022 TCS London Marathon took place on Sunday 2nd October. We had a team of 1103 runners take part in the iconic 26.2 route. We were thrilled to be able to get back to a more normal London Marathon and re-establish our four cheer points around the route, with a team of volunteers at the finish line to welcome and congratulate our team.

In 2022 our team raised over £2.5million from the TCS London Marathon which was incredible and higher than expected. 2022 saw the introduction of TCS sponsoring the London Marathon.

The Great North Run

The 2022 Great North Run saw the usual route return following the change made the previous year due to the pandemic. Our team of 173 runners took to the street of South Shields and Newcastle upon Tyne, completing the 13.1 mile course. Our team raised over £56,000 in 2022.

RideLondon 2022

We saw the return of RideLondon, which has changed the route and now goes through Essex. We had 112 cyclists take part and collectively they raised over £76,000.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Corporates

We are incredibly proud to have Ladbrokes as a charity partner. We have been working together since 2019 and are delighted to report that Ladbrokes have raised over £550,000 and extended our partnership for a further 2 years.

This fantastic achievement is without a doubt a testament to the dedicated fundraising shown by Ladbrokes staff and their customers. We are very proud to have the Ladbrokes team as one of our charitable corporate partners.

In April 2022 Pentex raised over £28,000 for Children with Cancer UK. Since then, we have entered into a 2 year partnership. Pentex have pledged to raise £70,000 to help us continue funding high quality research which would otherwise go unfunded.

We would also thank our Corporate Supporters such as MFS Market Financial Solutions, Sony, Pavers and a special thank you to UK Clothing Caravan who have been supporting us for almost 4 years.

Individual Giving

Acquisition of committed givers

We restarted face to face private site fundraising in 2022 following its suspension during the pandemic. Results so far are extremely positive, with Cost Per Acquisition, Return On Investment and Average Gift all very encouraging.

Retention, Stewardship, and legacies

We sent existing supporters the final edition of our supporter newsletter, ‘The Chime’, before it was renamed ‘Every Step’ once we adopted the new brand. The newsletter has two purposes: to keep supporters engaged with the charity and to ask for further donations. The newsletter raised just over £198,000 against a target of £183,000.

Digital campaigns

Digital continues to be an important marketing channel for us. In 2022 we used SMS and email to steward existing supporters and we used paid social media to recruit new supporters.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

FUNDRAISING COMPLIANCE

Children with Cancer UK values the privacy of all those who support us in our work; we have systems in place to ensure that supporter data is collected, managed and processed in line with all necessary legislation. We are members of the Fundraising Regulator, which has responsibility for regulating fundraising, sets out the Code of Fundraising Practice and investigates and takes appropriate action on cases of public concern. Children with Cancer UK adheres to the Code of Fundraising Practice set by the Fundraising Regulator and also fully complies with the Fundraising Preference Service. We comply with charity law, fundraising law and the data protection regulations. We monitor our fundraisers, volunteers and any third parties that work for us to ensure that they adhere to our high standards.

We will ask the donor how they want to hear from us about our work and appeals. If the donor wants to stop hearing from us they can, email, phone, write or click on the link in our emails. We will always take action, so they can feel confident in contacting us at any time.

We will keep the donor’s personal information secure and will only use it to communicate with the donor; to process orders and donations; to keep the donor informed; for analysis and to improve our activities. We will NOT share the donor’s details with other charities or sell it to businesses. Some organisations help us with our fundraising, but will only use the donor’s data under our instruction and only when fully compliant with how we process personal data as set out in our Privacy Policy (Reviewed February 2022).

Children with Cancer UK continues to adhere to and review policies relating to GDPR and work alongside an external consultant, Protecture, to ensure that we are fully compliant.

Children with Cancer UK works with some professional fundraising agencies to assist with certain elements of our fundraising, by telephone and SMS channels. We have robust contracts in place with these agencies, specifying that staff carrying out these activities should be trained and adhere to all applicable laws, regulations and codes, such as the Code of Fundraising Practice and the Data Protection Regulations. We also expect these organisations to reflect our values when talking to supporters and to voluntarily subscribe to the Fundraising Regulator.

To ensure the agencies we engage are operating to the required standards and that people should never feel harassed or pressurised to give, we carry out appropriate monitoring which includes: call monitoring, site visits and call listening. We attend training sessions of their staff and give training to staff in respect of each fundraising campaign. We require all our staff and the agencies we deal with to comply with our Vulnerable People Policy, which provides guidance on how to identify a potentially vulnerable person and actions to take to considerately disengage from the fundraising process.

Children with Cancer UK require its staff and any agencies contacting our donors and members of the public on our behalf to comply with the Data Protection Law and guidelines provided by the Fundraising Regulator and Institute of Fundraising. Children with Cancer UK take all reasonable care to the protect vulnerable adults in accordance with the Institute of Fundraising guidance set out in their document ‘Treating Donors Fairly: Responding to the needs of People in Vulnerable Circumstances and Helping Donors make informed Decisions.’

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

We adhere to the Fundraising Regulator Promise ensuring that our fundraising is legal, open, honest and respectful. We truly value our supporters, which is why, in 2018, we published our Supporter Charter as a commitment to our supporters.

Our Feedback and Complaints policy was reviewed in March 2023 and we will continue to review this regularly. Complaints are investigated thoroughly and corrective action taken as appropriate. During our financial year (Jan – Dec) 2022 we received 56 complaints (source Raiser’s Edge) across all teams which is a significant drop on the previous year (125 complaints, source Raiser’s Edge). This reflects a drop in activity such as the TV adverts which, whilst they generated a large amount of phone donations, also attracted a number of complaints. We have also continued to collaborate with our clothing collection partners to ensure a smooth service.

We continue to closely monitor all of our fundraising activities and will always strive to ensure they are of the highest standard and reflect the wishes and preferences of all our generous supporters. There may be occasions when we have not met these high standards and we will work hard to learn from our mistakes and to make sure they don’t happen again. If our supporters and members of the public are unhappy with any aspect of our work we encourage them to give feedback, and take any comment or complaint seriously. We use this valuable feedback to help shape our future fundraising campaigns and improve our overall service and commitment to our supporters.

We are here to talk and listen to you – we welcome and actively encourage feedback and make it clear how people can get in touch with us.

A member of the Fundraising Regulator, the independent regulator of fundraising in the UK, Children with Cancer UK is committed to best practice in fundraising and follows the Regulators Fundraising Promise and Code of Fundraising Practice laid down by the regulator.

THANK YOU

We would like to sincerely thank all our supporters and fundraisers who helped us to raise £13.8 million. Your generosity and creative efforts are helping us to build our vision of a world where every child survives cancer.

Thank you to our dedicated board of trustees:

A very special thank you to all of the extraordinary families we have worked with over 2022. Your commitment to helping others facing similar situations to yourselves is inspirational and only through your stories are we able to show the realities of childhood cancer. Thank you.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

FINANCIAL REVIEW

Incorporating the Directors’ Strategic Report and Administrative Report for Companies Act Purposes

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

The Trustees of Children with Cancer UK present their Annual Report for the year-ended 31[st] December 2022 under the Charities Act 2011 and the Companies Act 2006, including the Directors’ Report and the Strategic Report under the 2006 Act, together with the audited financial statements for the year.

Financial review

The Consolidated Statement of Financial Activities (SOFA) set out on page 36, shows the financial results for Children with Cancer UK and its trading subsidiary: Helping Children with Cancer Limited.

Our total income has decreased this year from £15.2 million to £14.1 million. As the longer term impact of the COVID-19 pandemic on our fundraising operations becomes clearer, the maintaining of our income at £14 million can be attributed to mitigation strategies that have been put in place. This included streamlining some of our activities and ensuring they achieved both their strategic and financial objectives.

The London Marathon being an important fundraising event for us with a large presence of runners raising a significant amount of sponsorship income. With the return of this live event in 2022 it was hoped for higher growth. However with fewer opportunities for fundraising and a significant number of runners deferring their places from the previously cancelled London Marathons led to lower than expected growth. The expected recovery from our Community fundraisers struggled in 2022 and plans for 2023 will address the 30% drop.

Our focus on Corporate and philanthropy saw an increase of 25% during 2022. We will continue to develop this area in 2023 with plans to build a sustained pipeline for future years starting to become realised.

Our Legacy income remaining consistent at £2 million helped mitigate the areas that struggled to show growth during 2022. The legacy income for 2022 is the second highest in the charity’s history, with 2021 at £2.3 million being the highest.

Our individual giving income streams which include appeals programme, raffles and acquisition campaigns achieved income of £3.3 million this year, which is a significant reduction from £5m in 2021. This was due to our decision to remove less strategically impactful appeals (Sprig Raffle) as part of our mitigation efforts to recover from COVID-19. This also reflects the tough fundraising environment in this area.

Our continued investment in online and mainstream media has, in addition to broadening the awareness of our cause, helped us maintain our regular giving income at just over £3m which is consistent with prior years. A strategy for growth in this area is planned for 2023.

With the immediate impact of COVID-19, the effect on our income streams and risk profile, with our cost base and savings coming through, our expenditure was just under £10 million in 2021. With the return investment in all our activities, including charitable cost, our expenditure

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

increased to £14 million. Although this is a significant increase, this was still below pre COVID-19 levels.

As detailed in previous reports, the COVID-19 pandemic had a significant impact on research in the UK and resulted in delays for many existing research projects. This meant we were only able to invest £2 million in 2021. However with the return of projects in 2022, we were able to fund just under £7 million in third party grants. We aim to continue this investment in 2023 to ensure we continue to support this vital area.

We ended the year with a surplus of £55,240 maintaining our total reserves of £14.8 million. The reserves will be used to fund the current year’s charitable spend.

For every £1 donated, we spend 85p on fighting childhood cancer.

We reinvest 15p from every £1 raised, to raise even more money.

For every £1 we spend on fundraising, we raise £5 more.

Reserves

At the end of the year, the charity held £14,840,280 (2021: £14,455,222) in total reserves. All funds were held in unrestricted reserves. The restricted funds raised comprise of donations that were to be spent on specific causes and projects as detailed in Note 19.

Unrestricted reserves are generated when the supporter does not stipulate how the income may be spent. They are therefore available to be applied at the discretion of Trustees to any of the charity’s charitable purposes.

The Trustees are aware of their role as custodians of these funds and plan to disburse the funds in a structured and cautious manner to meet the long term objectives of the charity

The Trustees consider the reserves to have a dual role; to provide a buffer to allow operating expenditure to be carefully minimised should the need arise, as well as facilitate the following year’s grant award programme. The remainder, is set aside for fluctuations in income that could impact the charity’s ability to carry out its services.

Therefore, £8 million has been set aside from total reserves to fund the current year’s charitable spend. This leaves approximately £6 million as a reserve for operational expenditure.

This £6m buffer is consistent with previous financial years and will enable the charity to operate without any income for approximately 5 months. This is below the free reserves target of 6 months but deemed to be acceptable by Trustees in the current climate.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

The Trustees intend to review the policy again in 2023 when future projects and current identified risks becomes clearer.

OUR STRATEGY

Building for the future

Children with Cancer UK, and the wider charity sector, continues to recover from the pandemic and the economic impact this has created. The cost-of-living crisis has created a period of uncertainty, but we remain steadfastly dedicated to our mission of funding research and supporting families through a childhood cancer diagnosis.

To secure our future, Children with Cancer UK invested in several new initiatives that allow the organisation to grow and emerge stronger from this period. Our Digital Transformation Project developed our internal systems and revised our approach to daily tasks to ensure efficiency and best practice. One such development was the implementation of Salesforce, an updated CRM system, which has provided fundraisers with increased autonomy. We also announced a full rebrand of the charity that builds on our 35-year legacy by looking towards the future with a refreshed look and feel. In this process, we asked representatives of our loyal supporter base to offer their insight into the brand development to ensure we included all voices in our decision making. Our aim is to continue to expand our audiences and seek new opportunities which our bold new brand will help appeal to.

Our commitment to research

Children with Cancer UK is currently in year two of a five-year research strategy. Our research programme is designed to progress our principal aims. First, we wish to develop improved treatments so that more patients are cured with less toxic side effects. Second, we wish to better understand how cancer develops so that one day we may be able to prevent it. 2022 was a year of planning, and we prepared to increase our investments significantly for 2023-2026. To begin this period of growth, we were delighted to restart our annual grant call with a commitment of £2.5 million. We were overwhelmed with the number and quality of applications received and look forward to awarding the successful applicants during 2023.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Prioritising the families we support

Children with Cancer UK has supported children, teenagers and young adults with cancer since its inauguration. Historically, this support has been in the form of providing grants to charities, hospitals and other organisations who can directly reach the families in treatment and beyond. This collaborative approach will continue with our investment in wellbeing programmes such as Beads of Courage UK and a new partnership with Spread a Smile, a charity dedicated to improving the experience for children in hospital. We ensure that we are working with leading providers so that families facing a childhood cancer diagnosis are continually supported throughout their journey.

To build on our own direct support for families, Children with Cancer UK invested in a respite centre in North Yorkshire. The property will be developed in line with the needs of the children and families facing childhood cancer and will provide a residential break for them. The centre will act as a haven for families at every step of the journey including point of diagnosis, treatment and bereavement.

Children with Cancer UK also recognises the financial hardships that the cost-of-living crisis can bring on families and the pressures of staying away from home during treatment. This is why we have decided to provide one off financial grants for families whose child has received a cancer diagnosis. The grants, called ‘hugs’ due to their embracive nature, will be a direct provision of support that we hope offers a small comfort and brings us one step closer towards our mission. The grants will be issued via a network of clinical staff within the Primary Treatment Centers across the UK.

Going Concern

The Financial Statements are approved during a period where the impact of COVID-19 is still being felt, but also a period of new uncertainties including the current cost of living crisis. The Charity is constantly assessing the short and long term impact on its fundraising activities in the current climate.

Along with the Finance and Operations Committee, the Trustees have reviewed the proposed budgets and cash flow to December 2024 and have scrutinised the reserve position, including cash held in the bank and investments. During this review the Trustees priority was to ensure the Charity is able to endure any decline in income or unexpected increase in costs.

The Reserves policy is reviewed regularly and it is vital to ensure the charity holds sufficient reserves to fund not only its ongoing grant award programme, as well as to ensure the charity can cover its operational commitments. Any risks identified are considered during each review. The Trustees have also drawn upon the experience and lessons learned during the COVID-19

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

pandemic, where expenditure was only being committed if it can be covered either through our fundraising activities or the reserves.

The Finance and Operations Committee monitor the financial position of the charity on a monthly basis. As well as monitoring the current financial position of the charity, the committee also review the ongoing budget, reporting any variances and ensuring the cash flow and investments are in line with projections. The committee reports to the Trustees and highlight anything that needs their attention at the subsequent Trustee meeting.

Each budget that was presented had considered various scenarios, including a drop in income and/or unexpected increased in expenditure. The most likely scenario was presented to the Trustees. These scenarios are closely monitored and constantly reviewed so any scenario can be updated and incorporated in to any reforecast which is performed at least quarterly. This approach enables the charity to respond promptly and effectively to any change of environments.

In their assessment of going concern the Trustees have considered not only the impact on the charity as a result of COVID-19, but also any new identified risks, including the increase in energy prices and the cost of living crisis. This is an area that will be closely observed, but the current impact to our fundraising is low.

With the return of in person fundraising with events like the London Marathon and the Ball, the Trustees are confident that our fundraising activities can return and be developed. At the time of writing indications are that it is possible to have a return to pre COVID levels by the end of 2023. The Trustees will continue to monitor the situation and are aware that if any situation develops that threaten this view then this opinion may change.

The Trustees are confident that there are currently significant cash balances should additional liquidity be required to meet the liabilities as they fall due and Children with Cancer UK have appropriate reserves and could adapt to future funding changes. Appropriate consideration of risks as part of its normal risk management processes and mitigating actions both already taken and available to be taken.

The Trustees believe that although there is uncertainty identified the charity remains in a strong position to use its cash deposits to take advantage of any opportunities and they are at a sufficient level to ensure the Charity will continue as a going concern for the foreseeable future, being at least 12 months from the date of approval of the financial statements. Accordingly the Trustees consider it appropriate for the going concern basis to be adopted for these accounts.

Investments

The Memorandum of Association allows the charity to deposit or invest funds in any manner but to invest only after obtaining such advice from a financial expert as the Trustees consider necessary and having regard to the suitability of investments and the need for diversification.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

The charity recognises that it must have enough resources to carry out its present and future activities effectively. Therefore, the Trustees have agreed to hold sufficient cash levels, invested mainly in instant access deposits, to meet fluctuating needs.

The charity investment policy is reviewed regularly and states that the longer term funds must produce the best financial return for an acceptable risk. The fund must balance the need to support research grants with the objective for capital growth and inflation protection. The Trustees feel the 2022 performance of the investments met the objectives of the policy and recognise the opportunity to identify higher performing funds for 2023 whilst still within an acceptable risk.

The charity currently holds £10 million of investments held for the longer term. This comprises £1.7M in an investment portfolio managed by Barclays Investment Managers and £8.3m in cash deposits. The charity also holds £4.7m in short term cash deposits.

The Trustees are keen to ensure that the cash funds are not exposed to any risk since this cash value has already been promised to grant holders. As at 31st December 2022, our grant liabilities are close to £12.6m (2021: £9.1m).

Risk and internal control

The Trustees have overall responsibility for ensuring that the Charity has an appropriate system of controls, financial and otherwise. They are also responsible for safeguarding the assets of the Charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities and to provide reassurance that:

As part of the Charity’s risk management process the Trustees acknowledge their responsibility for the Charity’s system of internal control and reviewing its effectiveness. It is also recognised by the Trustees that such a system is designed to manage rather than eliminate the risk of failure to achieve the Charity’s objectives and can only provide reasonable, not absolute, reassurance against material misstatement or loss.

Principal risks and uncertainties

At the start of 2020 the COVID-19 Pandemic was not an identified risk. Plans were immediately put in place and a full review of all the strategic risks that had previously been identified during the year in review was undertaken to incorporate this new risk. There was a high level of Trustee engagement throughout this period. Along with the review of the strategic risks that had a

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

particular focus on COVID-19, a separate COVID-19 risk log was developed. This was regularly updated during 2022 to respond to the changing environment.

As with many organisations in the sector COVID-19 has had an impact on multiple areas of the organisation. Whilst we are beginning to identify the long term impact of the pandemic, several plans have been implemented to mitigate this risk in the short term with longer term plans being developed. These short term strategies continue and include regular management meetings, continuous review of up to date income figures, engagement with all suppliers to review costs, strict expenditure controls with direct Trustee involvement, evaluation and renegotiation of contracts where appropriate, redeployment of resources where necessary and identification, exploitation and investment of any new fundraising opportunities like digital fundraising.

The Charity continues to be heavily reliant on mainstream fundraising income to fund charitable activity, the major risk being faced is that income falls to a level that compromises the Charity’s ability to meaningfully fund future charitable activity – whilst at the same time maintaining reserves at a stable level. This risk continues to be managed by the Charity by diversifying its income streams and investing in new fundraising channels whilst ensuring the impact of the cost of living crisis is continually monitored. The Charity is continuing the process of implementing ‘strategic imperatives’ that will guide its future vision and strategy. The seven strategic risks that have been identified are listed below.

o Fundraising o Profile & Brand o Regulatory compliance o Financial o Infrastructure & Operations o Governance o Charitable Impact

These risks have been reviewed with a renewed focus on the recovery from COVID-19 and new uncertainties including the current cost of living increases. They are assessed in terms of probability and impact with a mitigation strategy put in place if required. This forms part of the charity’s annual risk management strategy.

The principal risk for the trading subsidiary is its reliance on short term and ad hoc commercial arrangements to generate income. We are investing in improving our trading income streams to manage this risk.

The strategic risks have been reviewed by the Trustees. Some of the issues discussed include, continued Governance improvements, energy and other cost of living increases, post COVID long term strategy and organisational structure. These discussion points intersect with all the strategic risks and will continue to be reviewed regularly by both the Trustees and Senior Management.

Structure, governance and management

The financial statements comply with current statutory requirements, the Memorandum and Articles of Association, Statement of Recommended Practice (SORP FRS 102) and current accounting standards (FRS 102).

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

The Trustees have considered and acknowledge the principles and recommendations set out in the Charity Governance Code. The Senior Leadership Team were tasked of reviewing the Charity's governance against the Charity Governance Code and identifying key areas for development. It was recommended to the Trustees that an independent Governance Review was initiated. The Trustees instigated this review and tasked the Senior Leadership Team to implement all recommendations. Significant progress has been made with over 90% of the recommendations completed and plans in place for the remaining items to be addressed within the next 12 months.

Governing documents

These financial statements are for Children with Cancer UK and its subsidiary Helping Children with Cancer Limited.

Children with Cancer UK is a company limited by guarantee and operates under its Memorandum and Articles of Association dated 11[th] November 2003 as amended by special or written resolutions, dated 30[th] November 2004, 22[nd] December 2006, 12[th] May 2007, 28[th] July 2016 and 13[th] December 2021.

On 14[th] May 2007 the reporting charity changed its name from CHILDREN with LEUKAEMIA UK to Children with Cancer UK. However, the charity continued to use the working name of CHILDREN with LEUKAEMIA until 11[th] May 2011.

The charity operates under its Trust Deed (dated 4[th] January 1988) and Variation of Trust Deed (dated 10[th] December 2003).

Aims and Objectives

Purposes and Aims

The charity’s objects as amended by written resolution of 12[th] May 2007, and 28th July 2016 are shown below:

Our aims are to determine the causes, find the cure and provide care for children with cancer.

We fund life-saving research into the causes, prevention and treatment of childhood cancer.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

We fund innovative welfare projects to provide better care for young cancer patients and their families.

We campaign to raise awareness of childhood cancer to protect more children and to improve the lives of young cancer patients, today and for future generations.

We are a member of the Association of Medical Research Charities. We are also a member of the National Cancer Research Institute.

Further details of the projects we fund are detailed in note 22.

Public Benefit

The Trustees continue to give due regard to the public benefit provided by the charity in relation to its charitable purpose as set out by the objectives above and have given due consideration to the relevant guidance issued by the Charity Commission. The Trustees will continue to ensure that the activities that promote the charitable objects above will be applied to provide public benefit.

Board of Trustees

The governing body of the reporting charity is the Board of Trustees, which has a total of five members (2021: five). The Trustees of the charity also act as the Directors of the charitable company. The Board meets at least three times a year together with the Chief Executive and other senior management where appropriate.

The Finance and Operations Committee and Marketing and Communications Committee are subcommittees of the Board. The subcommittees meet at least bi-monthly and consist of a combination of Trustees, Staff, External Advisors and Specialised Volunteers (if required). The committees will draw to the attention of the Board any urgent issues that require authorisation, disclosure or action and escalate any urgent issues for immediate attention outside of the Board meeting schedule.

Trustee appointment and induction

There were two new appointments (2021: three) to the Trustee Board in 2022. Five Trustees left the board during 2022. These were planned resignations including two trustees from our founding family and in line with our succession plan. The selection of Trustees is made based on vacancies arising, sympathy with the objects of the charity and the additional skills and experience that potential new Trustees are able to afford. Under the Articles of Association, Trustees are appointed by a majority vote of the members (who are all the current Trustees) by ordinary resolution.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Each new Trustee receives the Charity Commission publication ‘The Essential Trustee: What you need to know’ as well as the most recent published annual report. The Chief Executive Officer offers an induction day to all Trustees which provides full information about the operations of the charity.

Management

The Trustees exercise executive responsibility for the governance of the charity and, through the Chairman, supervise the management of the charity by the Chief Executive Officer and the senior management team. The Chairman and Chief Executive Officer also task the Board with decisionmaking on strategic management issues as well as overseeing the research grants application process and monitoring the progress of awarded grants.

The senior management carry out the operational running of the charity and the coordinating of fundraising appeals and events.

Remuneration

The salaries of Children with Cancer UK staff are periodically benchmarked against other charities to ensure that salary levels are market competitive and sufficient to attract and retain staff of the appropriate calibre. All staff posts are periodically evaluated to ensure that salary levels are reflective of industry and organisational needs, as well as individual and charity performance. In recruitment of a new post, an assessment is made of the requirements of the role in terms of skills, experience, competency and urgency. The salary is then determined on the basis of this assessment and the current market conditions.

Salary Bands have been set based on external benchmarking, anecdotal data from head-hunters and recruiters, and charity sector salary surveys. The Salary Bands are reviewed at least every two years.

The Charity is compliant with the Hutton Fair Pay Review with the salary of the highest paid employee being no more than four times the median salary of the organisation.

Trading Subsidiary

Helping Children with Cancer Limited (company registration 2807553) is the wholly owned trading subsidiary of Children with Cancer UK. Its principal purpose is to raise funds for the charity and all profits are donated under Gift Aid.

The principal activity of the Company is the licensing of the name and logo of the charity for use in corporate sponsorship, commercial agreements and royalties from contribution to clinical trials.

The trading activities generated profit for the year of £158,217 (2021: £60,072) which will be paid to Children with Cancer UK under the Gift Aid Scheme. It is anticipated that the trading activity within the subsidiary will continue at a similar level during the current year.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

The trading subsidiary holds assets of £167,764 (2021: £23,740) and liabilities of £167,664 (2021: £23,640) with funds of £100 as at 31st December 2022.

The charity also holds 100% of the share capital of Children with Cancer Research Limited (09442350) which is currently dormant.

Related parties

The Charity has a related party and conflict of interest policy in place which accompanies the declaration of interests submissions completed by all Trustees and senior management. An internal conflict of interest register is in place which is updated when a conflict of interest has been identified and is reviewed at least annually.

Grant making policy

It is the Trustees’ policy to maximise the proportion of its charitable output that is achieved through grant making.

Welfare grants

There is no open application process for welfare grants and no welfare grants are given to individuals. The Trustees determine which organisations are to be supported. In 2022, a total of £3,040,000 (2021: £1,297,488) was awarded to welfare projects.

Research grants

The Trustees aim to award an increasing proportion of the charity’s grants to scientific and medical research in cancers affecting children, teenagers and young adults. The charity’s Code of Practice adheres to the standards set by the Association of Medical Research Charities (AMRC).

The charity advertises guidelines and invite applications for project grant rounds. Project applications are subject to formal internal and external peer review followed by scrutiny by our scientific advisory panel (SAP) before the Trustees determine which projects to support. We also occasionally support research through other AMRC members.

In 2022, a total of £3,971,033 was awarded to research projects and collaborations.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

REFERENCE AND ADMINISTRATION

Children with Cancer UK (previously known as CHILDREN with LEUKAEMIA UK) was set up in memory of Paul O’Gorman who died on 6th February 1987 and his sister Jean, who died on 3rd November 1987. The charity was inaugurated by Diana, Princess of Wales on 12th January 1988 at Mill Hill County High School where Paul had been a pupil.

Trustees

The Trustees of Children with Cancer UK are the charity’s Trustees under charity law and the directors of the charitable company:

Current Trustees

David Gibbs (Chair of Trustees) Alex Leitch (Deputy Chair) Phil Hall Bruce Morland (Appointed 5[th] July 2022)

Previous Trustees

Ann Amaya-Torres (Resigned 12[th] March 2022) Eddie O’Gorman OBE (Founder and previous Chair of Trustees) (resigned 12[th] January 2022) Sandra Mileham (resigned 12[th] January 2022) Linda Robson (resigned 12[th] January 2022) Nick Goulden (resigned 18[th] March 2022) Virna Midgley (Resigned 3[rd] August 2022) Georgie Wolfinden (Appointed 14[th] November 2022) (Resigned 16[th] May 2023) Caroline Randerson (Resigned 30[th] August 2023)

Chief Executive Officer

Jo Elvin (Appointed 19[th] April 2022) David Gibbs (Honorary) (Appointed 1[st] January 2022) (Resigned 19[th] April 2022)

Executive Team

Gary Murphy (Chief Operating Officer) Ria Griffin (Head of People and Culture) Christiana Ogunbote (Head of Research) Fadil Dugolli (Head of IT)

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Previous members of the Senior Management during the year were

Hannah Chambers (Head of Marketing and Communications) Emily Roff (Head of Events, Community and Sports) (Maternity Leave) Kerry Russell (Head of Events, Community and Sports) (Maternity Cover) Camelia Vasilcan (Head of Database) Fiona Judge (Head of Supporter Care)

Registered Charity Number Registered Company Number 298405 4960054

Principal office

21 27 Lamb's Conduit Street, London, WC1N 3NL

Solicitors

Bates Wells, 10 Queen Street Place, London, EC4R 1BE

Auditors

PKF Littlejohn LLP, 15 Westferry Circus, London E14 4HD

Bankers

National Westminster Bank plc, 30 North Audley Street, London W1A 4UQ

Contact details

Children with Cancer UK 21 27 Lamb's Conduit Street, London, WC1N 3NL Tel: 020 7404 0808 Email: info@childrenwithcancer.org.uk www.childrenwithcancer.org.uk

Scientific Advisory Panel

We are indebted to the members of our Scientific Advisory Panel (SAP) who freely give their time and expertise to help drive forward our fight against cancers affecting children and young people. Research into cancers affecting children and young people is a broad field and we aim to reflect the diversity of the field amongst the membership of panel members.

The interim chair of the Panel for 2022 was Professor Roderick Skinner. In 2023 a new Chair was confirmed.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

STATEMENT OF TRUSTEES’ RESPONSIBILITIES

The Trustees (who are also directors of Children with Cancer UK for the purposes of company law) are responsible for preparing the Strategic Report, the Trustees’ Report and the financial statements in accordance with applicable law and regulations.

Company law requires the Trustees to prepare financial statements for each financial year. Under company law the Trustees must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable company and the group for that period. In preparing these financial statements, the Trustees are required to:

The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company’s transactions, 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 and the provisions of the charity’s constitution. They are also responsible for safeguarding the assets of the charity and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Insofar as each of the Trustees of the charitable company at the date of approval of this report is aware there is no relevant audit information (information needed by the charitable company’s auditor in connection with preparing the audit report) of which the charitable company’s auditor is unaware. Each Trustee has taken all of the steps that he/she should have taken as a Trustee in order to make himself/herself aware of any relevant audit information and to establish that the charitable company’s auditor is aware of that information.

This Annual Report of the Trustees, prepared under the Charities Act 2011 and the Companies Act 2006, was approved by the Board of Trustees on 25[th] September 2023 including approving in their capacity as company directors the Strategic Report contained therein, and is signed as authorised on its behalf by:

David Gibbs Chair of Trustees Date: 29[th] September 2023

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF CHILDREN WITH CANCER UK

Opinion

We have audited the financial statements of Children with Cancer UK (the ‘parent charitable company’) and its subsidiary (the ‘group’) for the year ended 31 December 2022 which comprise the Consolidated Statement of Financial Activities, the Consolidated and Parent Charitable Company Balance Sheets, the Consolidated Cash Flow Statements and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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:

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 group and parent 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 group’s or parent 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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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Other information

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

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

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

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 their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors’ report included within the trustees’ annual report.

Under the Companies Act 2006 we are required to report in respect of the following matters if, in our opinion:

We have nothing to report in respect of these matters.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Responsibilities of trustees

As explained more fully in the trustees’ responsibilities statement, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the group and parent charitable company 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 group and parent charitable company 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 the 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

We have been appointed auditor under the Companies Act 2006 and report in accordance with this Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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 the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Extent to which the audit was considered capable of detecting irregularities, including fraud

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.

We considered the nature of the industry and its control environment, and reviewed the documentation of their policies and procedures relating to fraud and compliance with laws and regulations. We also enquired of management about their own identification and assessment of the risks of irregularities.

We obtained an understanding of the legal and regulatory frameworks that the charitable company operates in, and identified the key laws and regulations that:

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

We discussed among the audit engagement team the opportunities and incentives that may exist within the organisation for fraud and how and where fraud might occur in the financial statements.

As a result of performing the above, we identified the greatest potential for fraud or non-compliance with laws and regulations in the following areas, and our specific procedures performed to address them are described below:

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, we tested the appropriateness of journal entries and other adjustments; assessed whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluated the business rationale of any significant transactions that are unusual or outside the normal course of business.

In addition to the above, our procedures to respond to the risks identified included the following:

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

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 we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone, other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed.

Alastair S. Duke (Senior Statutory Auditor) For and on behalf of PKF Littlejohn LLP Statutory Auditor 29[th] September 2022

15 Westferry Circus Canary Wharf London E14 4HD

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Consolidated statement of financial activities for the year ended 31 December 2022 (Incorporating an income and expenditure account)

Note Total
restricted
funds		 Total
unrestricted
funds		 Total
2022		 Restated
Total
2021
£ £ £ £
Income from:
Donations and legacies 4 254,872 13,160,275 13,415,147 15,118,497
Other trading activities 4 - 581,771 581,771 6,850
Income from
investments		 - 91,499 91,499 48,672
Other income - 22,000 22,000 248
Total Income 19 254,872 13,855,545 14,110,417 15,174,267
Expenditure on:
Raising funds 6 - 2,119,479 2,119,479 1,979,652
Charitable activities 6, 8 201,162 11,530,343 11,731,505 7,875,497
Total Expenditure 6 201,162 13,649,822 13,850,984 9,855,149
Net change in
investments		 13 - (204,193) (204,193) 170,161
Net
(expenditure)/income		 53,710 1,530 55,240 5,489,279
Transfers between
funds		 19 (53,710) 53,710 - -
Net movement in
funds		 - 55,240 55,240 5,489,279
Reconciliation of funds:
Total funds brought
forward		 - 14,785,040 14,785,040 9,295,761
Total funds carried
forward		 19 - 14,840,280 14,840,280 14,785,040

The comparative figures for each fund are shown in note 3 to the financial statements.

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Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Balance sheet as at 31 December 2022

Company Number: 4960054

ompany Number: 4960054
2022 Restated 2021
Note Group Charity Group Charity
Fixed assets £ £ £ £
Property 12 1,600,000 1,600,000
Investments 13 10,000,000 10,000,100 10,293,735 10,293,835
11,600,000 11,600,100 10,293,735 10,293,835
Current assets
Debtors and prepayments 15 2,947,998 2,936,304 2,666,204 2,672,417
Cash deposits 4,650,280 4,650,280 4,596,702 4,596,702
Cash at bank and in hand 9,356,488 9,202,979 7,074,406 7,064,133
16,954,767 16,789,563 14,337,312 14,333,252
Creditors: amounts falling
due within one year
Grants 16,17 (8,031,586) (8,031,586) (3,965,171) (3,965,171)
Other 17 (1,130,638) (965,535) (699,942) (695,982)
Net current assets 18 7,792,542 7,792,442 9,672,199 9,672,099
Total assets less current
liabilities		 19,392,542 19,392,542 19,965,934 19,965,934
Creditors: amounts falling
due after more than one
year
Grants 15 (4,552,262) (4,552,262) (5,180,894) (5,180,894)
Net assets 14,840,280 14,840,280 14,785,040 14,785,040
Represented by:
Unrestricted funds 18,19 14,840,280 14,840,280 14,785,040 14,785,040

The net surplus for the financial year dealt within the financial statements of the parent charitable company was 55,240 (2021: net surplus £5,159,461).

The notes on pages 39 to 55 form part of the financial statements.

Approved and authorised for issue on behalf of the Trustees on 29[th] September 2023.

David Gibbs Trustee

Alex Leitch Trustee

37

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Consolidated cash flow statement for the year ended 31 December 2022

2022 2021
£ £
Cash flows from operating activities:
Net cash provided by operating activities a) 3,728,049 5,090,738
Cash flows from investing activities:
Dividends and interest from investments (91,636) (48,809)
Net additions/(disposals) in the year (5,513) (5,534)
Net cash provided by investing activities
(86,122) (54,343)
Change in cash and cash equivalents in
the reporting period		 2,246,256 5,036,395
Cash and cash equivalents at the
beginning of the reporting period		 b) 20,016,367 14,979,972
Cash and cash equivalents at the end of
the reporting period		 b) 22,262,623 20,016,367
Notes to the Cash flow Statement
a) Reconciliation of net (expenditure) to
net cash flow from operating activities		 2022
£		 2021
£
Net (expenditure)/income for the reporting
period		 55,250 5,159,461
Adjustments for:
Dividends, interest and rents from
investments		 91,636 48,809
Investment Manager Fees (5,513) 5,534
Net Change in investments - (170,161)
Decrease / (increase) in debtors (281,804) 773,859
(Decrease) / increase in creditors 3,868,481 (726,764)
Net cash provided by (used in) operating
activities		 3,728,049 5,090,738
b) Analysis of cash and cash equivalents 1 January
2022		 Cashflow 31 December
2022
£ £ £
Cash at bank and in hand 7,074,406 2,282,083 9,356,488
Cash held as short term investments 4,596,702 53,578 4,650,280
Cash held as long term investments 8,345,261 (89,405) 8,255,855
20,016,369 2,246,256 22,262,623

38

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Notes to the financial statements for the year ended 31 December 2022

1. Charity information

Children with Cancer UK is limited by guarantee with no share capital (registered number 4960054), which is incorporated in England and Wales and domiciled in the UK. The address of the registered office is 21 27 Lamb's Conduit Street, London, WC1N 3NL. It is also a registered charity (registered number 298405) and as such is a non-profit making organisation.

2. Accounting policies

The financial statements have been prepared on the historical cost basis of accounting, as modified by the revaluation of investments, and in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102), the Companies Act 2006, the Charities SORP (FRS 102) and the accounting policies set out below.

The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical cost or transaction value unless otherwise stated in the relevant accounting policy note(s).

Children with Cancer UK is the ultimate parent company. It has two subsidiaries - Helping Children with Cancer Limited and Children with Cancer Research Limited. Children with Cancer UK owns the whole of the share capital of Helping Children with Cancer Limited, a company registered in England and Wales, number 2807553. It also holds 100% of the share capital of Children with Cancer Research Limited, a company registered in England and Wales, number 09442350 which is currently dormant.

The financial statements of the charity and its active subsidiary company are consolidated, on a line-by-line basis, to produce the Group financial statements. The consolidated entity is referred to as ‘the Group’. No separate Statement of Financial Activities has been prepared for the charity as permitted by Section 408 of the Companies Act 2006. The charity has taken advantage of the exemptions in FRS 102 from the requirements to present a charity only Cash Flow Statement and certain disclosures about the charity’s financial instruments.

In their assessment of going concern the Trustees have considered the impact on the charity as a result of identified risks and the COVID19 virus. With the return of in person events during the current year this continued to have an impact on certain activities including running events and community based fundraising. The Ball had been cancelled for two years and returned in November 2022 exceeding the income for 2019. These events had previously made up approximately 40% of the charity’s income prior to COVID19.

39

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

With the return of in person fundraising with events like the London Marathon and the Ball, the Trustees are confident that our fundraising activities can return and in the case of the Ball exceed pre COVID-19 levels in 2023. At the time of writing indications are that it is possible to have a return to pre COVID-19 by the end of 2023. The Trustees will continue to monitor the situation and are aware that if any situation develops that threaten this view then this opinion may change.

There are currently significant cash balances should additional liquidity be required through any period of uncertainty to meet the liabilities as they fall due and Children with Cancer UK have appropriate reserves and could adapt to future funding changes by adapting costs.

Accordingly, the Trustees believe the Charity's financial resources are sufficient to ensure the Charity will continue as a going concern for the foreseeable future, being at least 12 months from the date of approval of the financial statements and have therefore prepared the financial statements on the going concern basis.

(c) Financial Instruments

The charity has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised cost. Financial assets held at amortised cost comprise cash at bank and in hand, short term cash deposits together with the group’s trade and other debtors excluding prepayments. Financial liabilities held at amortised cost comprise the group’s short- and long-term trade and other creditors excluding deferred income and taxation payable. No discounting has been applied to these financial instruments on the basis that the periods over which amounts will be settled are such that any discounting would be immaterial.

Investments, including cash held as part of the investment portfolio are held at fair value at the Balance Sheet date, with gains and losses being recognised within the Statement of Financial Activities. Investments in subsidiary undertakings are held at cost less impairment.

In the application of the charity’s accounting policies, Trustees are required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an on-going basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects the current and future periods.

40

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described in the accounting policies and are summarised below:

Residuary legacies – The charity recognises residuary legacies once probate has been granted which therefore requires an estimation of the amount receivable.

(e) Functional/Presentational currency

The functional currency of the charity and its subsidiary is considered to be in pounds sterling because that is the currency of the primary economic environment in which the charity/group operates. The consolidated financial statements are also presented in pounds sterling.

(f) Fund accounting

Unrestricted funds comprise accumulated surpluses and deficits on general funds and are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and have not been designated for other purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by donors or which have been raised by the charity for particular purposes. The costs of raising and administering such funds are charged against the specific fund.

(g) Income

Income is recognised when the charity has entitlement to the funds, any performance conditions attached to the item(s) of income have been met, it is probable that the income will be received and the amount can be measured reliably.

Voluntary income in the form of appeals, committed giving, sports events and community fundraising income is recognised in the period of receipt. Income received in advance of an event or lottery is deferred until the criteria for income recognition are met.

For legacies, entitlement is taken as the earlier of the date on which either: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executor(s) to the Trust that a distribution will be made, or when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can be measured reliably and the charity has been notified of the executor’s intention to make a distribution. Where legacies have been notified to the charity, or the charity is aware of the granting of probate, and the criteria for income recognition have not been met, then the legacy is treated as a contingent asset and disclosed if material.

41

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Income arising from corporates and trusts is recognised in the period in which the charity has entitlement to the income.

Income from trading activities is recognised in the period in which the service has been provided or product sold.

Investment income from dividends and interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity; this is normally upon notification of the interest received or receivable from the Bank.

Government grants are recognised on the performance model, when the Charitable Company has complied with any conditions attaching to the grant and the grant will be received. The grant in connection to the job retention scheme has been recognised in the period to which the underlying furloughed staff costs relate to.

Expenditure is recognised once there is a legal or constructive obligation to make a payment to a third party, it is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is accounted for on an accruals basis and the majority is directly attributable to specific activities. Other indirect costs are apportioned to activities in accordance with staff activity and an assessment of where the resources have been applied. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was incurred.

Grants to third parties are included in the SOFA when approved by the Trustees when a constructive obligation exists, notwithstanding that they may be paid in future accounting periods.

Support costs include governance costs which are costs incurred to manage the charity in compliance with constitutional and statutory requirements and the direct expenditure and overhead costs relating to the appeals and fundraising functions. They also include the allocation of costs incurred to support and co-ordinate fundraising activities. These costs are allocated across the categories of charitable activities and the basis of this cost allocation has been explained in note 7 of the financial statements.

Expenditure on raising funds includes expenditure specifically incurred for fundraising purposes. This constitutes a mixture of directly attributable costs and apportionment.

Tangible fixed assets costing more than £10,000 are capitalised and included at cost including any incidental costs of acquisition, or, where donated, are included at valuation at the date that ownership is acquired.

42

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

(j) Pension scheme

Permanent employees are entitled to join the Grouped Stakeholder Pension Plan provided by Scottish Widows. During 2022, the charity made a contribution of at least 5% of salary per month to any personal or stakeholder pension scheme selected by all employees serving for more than three months who elected to take advantage of this benefit. The amount charged to the statement of financial activities in respect of pension costs is the contribution payable during the year.

(k) Investments

Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as at the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout the year.

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

(l) Gifts in Kind

Gifts in kind and donated goods and services are recognised in the accounts when the benefit to the charity is reasonably quantifiable and measurable. The value is the price the charity estimates it would pay should it purchase equivalent goods or services.

The estimated valuation of gifts in kind is based on the value of the contribution to the charity, or the valuation the charity would have had to pay to acquire the goods or services. A corresponding amount is recognised within expenditure in the period of receipt.

Since October 2017, permanent employees are entitled to join the Group Private Medical Insurance Scheme provided by Bupa. In 2022, the charity paid a premium based on the employee’s ages per month to all employees after serving for more than three months who elected to take advantage of this benefit. The amount charged to the statement of financial activities in respect of private medical insurance is the contribution payable during the year.

43

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

3. Consolidated statement of financial activities for the year ended 31 December 2021

Total restated
restricted
funds
£		 Total restated
unrestricted
funds
£		 Restated
Total
2021
£
Income from:
Donations and legacies 443,952 14,674,545 15,118,497
Other trading activities - 6,850 6,850
Income from investments - 48,672 48,672
Other income - 248 248
Total Income 443,952 14,730,315 15,174,267
Expenditure on:
Raising funds 207,687 1,771,965 1,979,652
Charitable activities - 7,875,497 7,875,497
Total Expenditure 207,687 9,647,462 9,855,149
Net change in investments - 170,161 170,161
Net (expenditure)/income 236,265 5,253,014 5,489,279
Transfers between funds (236,265) 236,265 -
Net movement in funds - 5,489,279 5,489,279
Reconciliation of funds:
Total funds brought forward - 9,295,761 9,295,761
Total funds carried forward - 14,785,040 14,785,040

4. Income

e
2022
£		 Restated 2021
£
Donations and legacies
Appeals and associated donations (See below) 3,286,890 4,951,894
Committed giving 3,018,538 3,114,654
Sports events 2,926,349 2,760,328
Legacies (see contingent asset below) 2,380,956 2,306,146
Corporate and trust donations 1,178,349 953,555
Community fundraising 624,065 1,031,920
13,415,147 15,118,497
Other trading activities
Events 581,771 6,850
———— ————
581,771 6,850
———— ————

Included in Donations and legacies in 2021 is a government grant in the form of the Job Retention Scheme for £60,161. There was no grant during 2022.

44

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Contingent asset – legacy income

As at 31 December 2022, the charity had been notified of a further 43 residuary and pecuniary legacies which have not been recognised as income in the Statement of Financial Activities as they do not meet the criteria as detailed in the accounting policies. These legacies have an estimated value of £1,967,279 which has not been accrued.

5. Lottery income

As part of the charity’s Gambling Commission License (Non Remote License - 000-004700-N306402-010) (Remote License – 000-004700-R-308531-010), during the year the charity has operated three lotteries, a weekly lottery and charity scratch card.

The following ticket sales were received for each lottery where the draw was held in 2022:

Ticket sales
£
Weekly Lottery 547,365
Christmas Raffle (draw 14thJanuary 2022) 520,707
Summer Raffle (draw 16thSeptember 2022) 314,266
Total 1,382,266

The Christmas Raffle spans two accounting periods. Although the draw took place during the current accounting period, the closing date was 14[th] January 2022 and most ticket sales were received in the previous accounting period. All other ticket sales were received during 2022 only. All ticket sales have been included within the total income for 2022 and 2021.

In line with the requirements under Social responsibility code provision 4.3.1 of the License Conditions and Codes of Practice of the Gambling Act 2005 the following section details the percentage of lottery proceeds returned to the purposes of the society (Children with Cancer UK) from the lotteries promoted in 2022.

Lottery type Lottery Name Percentage proceeds
returned to Charity %
Managed directly by Children With Cancer UK Weekly Lottery 61%
Managed directly by Children With Cancer UK Children with Cancer Grand Draw 66%
Total 64%

45

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

6. Total expenditure

Staff Costs
£		 Direct Costs
£		 Support and
Governance
£		 2022 Total
£		 2021 Total
£
Expenditure on Raising
funds
Fundraising Costs 470,552 1,243,818 405,109 2,119,479 1,979,652
Expenditure on Charitable
activities
Research into Prevention &
Causes		 219,217 337,012 175,031 731,260 1,073,266
Research into Treatment 213,293 4,244,270 170,640 4,628,203 1,835,442
Welfare 277,704 3,748,064 233,618 4,259,386 2,931,817
Raising Awareness 441,663 1,345,519 325,474 2,112,656 2,034,972
————— ————— ————— ————— —————
1,151,877 9,674,865 904,763 11,731,505 7,875,497
————— ————— ————— ————— —————
1,622,429 10,918,683 1,309,872 13,850,984 9,855,149
========= ========= ========= ========= =========
Staff Costs
£		 Direct Costs
£		 Support and
Governance
£		 2021 Total
£
Expenditure on Raising
funds
Fundraising Costs 443,087 1,274,561 262,004 1,979,652
Expenditure on Charitable
activities
Research into Prevention &
Causes		 230,745 743,119 99,402 1,073,266
Research into Treatment 224,819 1,513,823 96,800 1,835,442
Welfare 314,193 2,479,418 138,206 2,931,817
Raising Awareness 509,480 1,295,395 230,097 2,034,972
————— ————— ————— —————
1,279,237 6,031,755 564,505 7,875,497
————— ————— ————— —————
1,722,324 7,306,316 826,509 9,855,149
========= ========= ========= =========

46

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

7. Support costs

Support costs are split as follows:

Office
Administration
£		 Operational
Management
£		 Finance /
IT / HR
£		 Communications
and Marketing
£		 Governance
£		 2022 Total
£
Expenditure on
Raising funds
Fundraising Costs 83,886 35,678 217,031 54,193 14,321 405,109
Expenditure on
Charitable
activities
Research into
Prevention &
Causes		 36,244 15,415 93,770 23,414 6,187 175,031
Research into
Treatment		 35,334 15,028 91,418 22,827 6,063 170,640
Wellness 48,375 20,575 125,158 31,252 8,258 233,618
Raising Awareness 67,396 28,665 174,368 43,540 11,505 325,474
————— ————— ———— ————— ————— ————
187,349 79,683 484,714 121,033 31,983 904,762
————— ————— ———— ————— ————— ————
271,235 115,361 701,745 175,226 46,304 1,309,871
========= ========= ======== ========= ========= ========
Office
Administration
£		 Operational
Management
£		 Finance /
IT / HR
£		 Communications
and Marketing
£		 Governance
£		 2021 Total
£
Expenditure on
Raising funds
Fundraising Costs 39,718 58,629 110,385 39,847 13,425 262,004
Expenditure on
Charitable
activities
Research into
Prevention &
Causes		 17,461 9,992 48,529 17,518 5,902 99,402
Research into
Treatment		 17,004 9,731 47,259 17,059 5,747 96,800
Welfare 24,278 13,893 67,472 24,357 8,206 138,206
Raising Awareness 40,419 23,130 112,335 40,551 13,662 230,097
————— ————— ———— ————— ————— ————
99,162 56,746 275,595 99,485 33,517 564,505
————— ————— ———— ————— ————— ————
138,880 115,375 385,980 139,332 46,942 826,509
========= ========= ======== ========= ========= ========

Indirect, support and governance costs are allocated on a per person basis to staff in the office. The time spent by each staff member on every activity of the charity is allocated on a month by month basis throughout the year. Support and staff costs are then allocated to the various charitable activities based on this staff time basis.

47

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

8. Costs of charitable activities

Activities
undertaken
directly
£		 Grant
funding of
activities
£		 Support and
governance
costs
£		 2022 Total
£		 2021 Total
£
Research into Prevention & Causes 556,229 500,000 175,031 1,231,260 1,073,266
Research into Treatment 526,530 3,431,033 170,640 4,128,203 1,835,442
Welfare 985,768 3,040,000 233,618 4,259,386 2,931,817
Raising Awareness 1,787,183 - 325,473 2,112,656 2,034,972
——— ——— ——— ——— ———
3,855,710 6,971,033 904,762 11,731,505 7,875,497
========= ========= ========= ========= =========

9. Auditor Costs

Statutory
Audit Fee
£		 2022 Total
£
Children with Cancer UK 34,000 34,000
Helping Children with Cancer Ltd 4,000 4,000
——— ———
38,000 38,000
========= =========
Statutory
Audit Fee
£		 Other
Financial
Services
£		 2021 Total
£
Children with Cancer UK 32,300 13,000 45,300
Helping Children with Cancer Ltd 3,600 - 3,600
——— ——— ———
35,900 13,000 48,900
========= ========= =========

10. Staff costs

10. Staff costs
2022
£		 2021
£
Salaries and wages 1,362,728 1,410,872
National Insurance 150,028 151,437
Pension 103,563 140,623
Private Medical Insurance 6,109 19,392
__ —————
1,622,428 1,722,324
======== ========

During 2022, the following employees were paid in the following salary ranges.

Salary Range 2022
£		 2021
£
£130,000-£140,000 0 0
£90,000-£100,000 0 1
£70,000-£80,000 1 0
£60,000-£70,000 5 1

48

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

There have been 8 (2021: 8) positions that have formed part of the senior leadership team during 2022. The total remuneration including pension contributions for these employees amounts to £620,296 (2021: £501,460).

During the year there was one (2021: six) redundancy, termination or settlement payments made totalling £12,317 (2021: £25,852).

The average weekly number of contracted employees during the year was as follows:

2022 2021
No. No.
Charitable Activities 4 5
Raising Funds 25 27
Support, Governance, Operations and Administration 8 8
————— —————
37 40
======= =======

The Trustees received no remuneration or reimbursement of expenses during the year (2021 Nil).

11. Results of the parent charity

11. Results of the parent charity
2022
£		 2021
£
Total income 14,106,417 14,840,817
Total expenditure (13,846,984) (9,851,516)
Unrealised gains / (Loses) (204,193) 170,161
————— —————
Net (expenditure) / Income 55,240 5,159,462
========= =========

12. Fixed assets

The balance of £1.6m relates to a property addition in the year. No depreciation has been charged as it is an asset under construction.

13. Investments

3. Investments
2022
£		 2021
£
Listed investments (see below) 1,744,145 1,948,338
Cash deposits held as long-term investment 8,255,855 8,345,397
———— ————
10,000,000 10,293,735
———— ————
Market value of listed investments at 1 Jan 1,948,338 1,778,177
Additions to investment portfolio 5,513 5,534
Investment manager fees (5,513) (5,534)
Net Investment gain/( loss) (204,193) 170,161
———— ————
Market value of listed investments at 31 Dec 1,744,145 1,948,338
======= =======
Listed Investments comprise the following:
Multi class and other investments 1,744,145 1,948,338
———— ————
Total listed investments at 31 Dec 1,744,145 1,948,338
======= =======

49

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Total Investments are listed in:
United Kingdom 456,966 510,465
Overseas 1,287,179 1,437,873
———— ————
1,744,145 1,948,338
======= =======

Investment in subsidiary

Children with Cancer UK holds 100% of the share capital of Helping Children with Cancer Limited which is a registered company number 04960054. The value of the share capital owned is £100. Helping Children with Cancer Limited raises funds via commercial activities and sponsorship.

The income and expenditure for the year ended 31 December 2022 is as follows:

2022
£		 2021
£
Income 171,380 72,225
Administrative expenses (13,163) (12,153)
———— ————
Profit before gift aid and taxation 158,217 60,072
======== ========

The balance sheet for the subsidiary as at 31 December 2022 is as follows:

2022
£		 2021
£
Assets 167,764 23,740
Liabilities (167,664) (23,640)
———— ————
Reserves 100 100
======== ========

The charity also holds 100% of the share capital of Children with Cancer Research Limited (09442350) which is currently dormant.

14. Debtors

14. Debtors
2022
Group
£		 2022
Charity
£		 Restated
2021
Group
£		 Restated
2021
Charity
£
Amounts due from subsidiary undertakings - - - 19,680
Other debtors 780,880 780,880 855,412 855,412
Accrued income 1,256,736 1,242,482 683,382 669,915
Prepayments 910,382 910,382 1,127,410 1,127,410
———— ———— ———— ————
2,947,998 2,936,304 2,666,204 2,672,417
======== ======== ======== ========

50

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

15. Grants to third parties

2022
£		 2021
£
Outstanding liabilities at the start of the year 9,146,065 9,902,369
Awarded during the year(note22):
Research into prevention and causes - -
Research into treatment and survival 3,931,033 812,027
Welfare 3,040,000 1,297,488
Raising awareness - 1,376
———— ————
Total third party grants before adjustments 6,971,033 2,110,891
Under/over spends and adjustments on previous grant awards 39,295 131,425
———— ————
Total third party grants 7,010,328 2,242,316
Paid during the year (3,572,544) (2,998,620)
———— ————
Outstanding liabilities at the end of the year 12,583,848 9,146,065
======== ========
Grants falling due within one year 8,031,586 3,965,171
Grants falling due after more than one year 4,552,262 5,180,894
———— ————
12,583,848 9,146,065
========= =========

16. Creditors: amounts falling due within one year

2022
Group
£		 2022
Charity
£		 2021
Group
£		 2021
Charity
£
Accruals and deferred income 1,087,681 922,578 640,172 636,212
Taxes and social security 42,957 42,957 59,770 59,770
———— ———— ———— ————
1,130,638 965,535 699,942 695,982
Grants payable 8,031,586 8,031,586 3,965,171 3,965,171
———— ———— ———— ————
9,162,224 8,997,121 4,665,113 4,661,153
======== ======== ======== ========

17. Deferred income

Deferred income comprises income received in advance for entries to our weekly lottery.

2022
Group
£		 2022
Charity
£		 2021
Group
£		 2021
Charity
£
Balance as at 1 January 2022 56,285 56,285 52,053 52,053
Amount released to income (56,285) (56,285) (52,053) (52,053)
Amount deferred in year 53,701 53,701 56,285 56,285
———— ———— ———— ————
Balance as at 31 December 2022 53,701 53,701 56,285 56,285
======== ======== ======== ========

51

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

18. Analysis of net assets between funds

As at 31 December 2022 2022
Group
Restricted
funds
£		 2022
Group
Unrestricted
funds
£		 2022
Group
Total funds
£		 2021
Group
Unrestricted
funds
£
Fixed assets - 11,600,000 11,600,000 10,293,735
Net current assets - 7,792,542 7,792,542 9,672,199
Creditors falling due after more than one year - (4,552,262) (4,552,262) (5,180,894)
———— ———— ———— ————
Net assets at the end of the year - 14,840,280 14,840,280 14,785,040
======= ========= ========= =========
As at 31 December 2021 2021
Group
Restated
Restricted
funds
£		 2021
Group
Restated
Unrestricted
funds
£		 2021
Group
Restated
Total funds
£		 2020
Group
Total funds
£
Fixed assets - 10,293,735 10,293,735 10,133,555
Net current assets - 9,672,199 9,672,199 7,082,177
Creditors falling due after more than one year - (5,180,894) (5,180,894) (7,920,071)
———— ———— ———— ————
Net assets at the end of the year - 14,785,040 14,785,040 9,295,661
======= ========= ========= =========

19. Statement of funds

Year ended 31 December 2022 At the start
of the year
£		 Total
Income
£		 Total
Expenditure
£		 Transfers &
Investment
gains/losses
£		 At the end
of the year
£
Restricted funds
Dr Christina Halsey, University of Glasgow. Discovery of
biomarkers and new therapeutic targets for chemotherapy
associated neurotoxicity		 - 500 - (500) -
Dr Ian Hampson, University of Manchester. Identification
of infections which may play a role in the aetiology of
childhood acute lymphoblastic leukaemia (ALL)		 - 100 - (100) -
Professor Sibylle Mittnacht, UCL Cancer Institute-
Exploring retinoblastoma protein loss as an actionable
target in paediatric bone and soft tissue sarcoma		 - 1,000 - (1,000) -
Sam Behjati - Wellcome Sanger Institute - Developmental
states of localised and metastatic osteosarcoma cells – a
knowledge bank for novel biomarkers and therapeutic
approaches		 - 1,596 - (1,596) -
Anthony Chalmers - University of Glasgow - Increasing
the susceptibility of neuroblastoma cells to radiotherapy by
targeting glycolysis and lipogenesis		 - 500 - (500) -
Marc Mansour - UCL Cancer Institute - CCR9 as a novel
immunotherapy target in T-cell acute lymphoblastic
leukaemia (T-ALL)		 - 20 - (20) -
Professor Chris Jones, Institute of Cancer Research, The
role of histone H4K20 methylation in paediatric
glioblastoma and DIPG		 - 246 - (246) -
Professor Steve Clifford–INSTINCT-MB - 49,749 - (49,749) -
Wellness Retreat Project - 22,052 (22,052) - -
Beads of Courage UK, which helps children in all 110
children’s cancer wards in the UK visualise and articulate
their cancer journey		 - 179,110 (179,110) - -
———— ———— ———— ———— ————
Total Restricted funds - 254,872 (201,162) (53,710) -

52

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Unrestricted funds 14,785,040 13,855,545 (13,649,822) (150,483) 14,840,280
———— ———— ———— ———— ————
Total Unrestricted funds 14,785,040 13,855,545 (13,649,822) (150,483) 14,840,280
Total funds 14,785,040 14,110,417 (13,850,984) (204,193) 14,840,280
======== ======== ======== ======== ========

Note

The restricted funds comprise donations that were to be spent on specific causes and projects. All restricted income was either discharged during the year or transferred from restricted back to unrestricted funds. This has occurred when restricted funds were received towards grants that were previously paid out of unrestricted reserves.

Year ended 31 December 2021 At the start
of the year
£		 Total
Income
£		 Total
Expenditure
£		 Transfers &
Investment
gains/losses
£		 At the end
of the year
£
Restricted funds
Dr Christina Halsey, University of Glasgow. Discovery of
biomarkers and new therapeutic targets for chemotherapy
associated neurotoxicity		 - 500 - (500) -
Clinical PHD Studentship: Markers of Hypothalamic
Dysfunction in Children with Hypothalamo-Pituitary-Axis
Tumours (HPAT) or Pituitary Maldevelopment		 - 64 - (64) -
Anthony Chalmers - University of Glasgow - Increasing
the susceptibility of neuroblastoma cells to radiotherapy by
targeting glycolysis and lipogenesis		 - 500 - (500) -
Macarena Oporto Espuelas - UCL Great Ormond Street
Institute of Child Health - Identification of novel surface
antigen targets for CAR T cell strategies in paediatric
Acute Myeloid Leukaemia stem cells.		 - 3,651 - (3,651) -
Professor Steve Clifford–INSTINCT-MB - 231,550 - (231,550) -
Beads of Courage UK, which helps children in all 110
children’s cancer wards in the UK visualise and articulate
their cancer journey		 - 207,687 (207,687) - -
———— ———— ———— ———— ————
Total Restricted funds - 443,952 (207,68) (236,265) -
Unrestricted funds 9,295,761 14,730,315 (9,647,461) 406,425 14,785,040
———— ———— ———— ———— ————
Total Unrestricted funds 9,295,761 14,730,315 (9,647,461) 406,425 14,785,040
Total funds 9,295,761 15,174,267 (9,855,149) 170,160 14,785,040
======== ======== ======== ======== ========

20. Related Party Transactions

There have been no other related party transactions during the year other than those with the trading subsidiary.

A management fee of £5,000 (2021: £5,000) has been charged to the trading subsidiary for use of the charity’s trademarks and a further £4,163 (2021: £3,520) for the use of charity staff (calculated on the basis of time charged to subsidiary activity by the employee). As at 31st December 2022, £163,704 (2021: £19,680) owed to the charity from the trading subsidiary.

53

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

21. Financial Instruments

The financial statements include the following in respect of items:

2022
£		 2021
£
Financial assets measured at fair value 1,744,145 1,948,338
Total interestincomefor financialassetsheld atfair value (35,736) (48,672)

22. Grants to third parties

22. Grants to third parties
Grants awarded to third parties during the year Research
into
prevention
and causes
2022
£		 Research
into
treatment
2022
£		 Welfare
2022
£		 Total 2022
£
Beads of Courage – To fund the implementation of an official
sibling programme run the way it was intended, using the
sibling beads as the foundation stone		 3,040,000 3,040,000
Cancer Research UK to support the funding of the stratified
medicine paediatrics 2 programme		 2,755,372 2,755,372
Bone Cancer Research Trust - to collaborate and fund a new
Research Programme Grant for children, teens and young
adults (aged 24 years and younger) suffering from Ewing
Sarcoma		 1,000,000 1,000,000
Two IARC Postdoctoral Fellowships (€200,000) 175,660 175,660
Total grants to third parties - 3,931,033 3,040,000 6,971,033

54

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Grants awarded to third parties during the year 2021 Research
into
prevention
and causes
2021
£		 Research
into
treatment
2021
£		 Raising
Awareness
2021
£		 Welfare
2021
£		 Total 2021
£
Birmingham Women’s and Children’s Hospital Charity - The
purchase of a high-throughput sequencing machine (NovaSeq
6000)		 1,072,488 1,072,488
INSTINCT-MB: Strategic implementation of novel combination
therapeutics for high-risk medulloblastoma		 712,027 712,027
Beads of Courage - 2021 225,000 225,000
Bioinformatics support for primary bone cancer plus other
childhood cancer studies		 100,000 100,000
British Neuro-Oncology Society Annual Meeting 2021 1,200 1,200
International Family Nursing Association Meeting 2021 176 176
Total grants to third parties awarded in the year - 812,027 1,376 1,297,488 2,110,891
Grant closures and adjustments (4,428) 1,294 10,559 124,000 131,425
Total grants to third parties (4,428) 813,321 11,935 1,421,488 2,242,316

23. Prior year adjustment

The prior year’s accounts have been restated for the omission of legacies.

2021
£		 2021
£
Funds as previously reported at 31stDecember 2021 14,455,222
Legacies previously omitted 329,818
————
Funds restated at 31st December 2021 14,785,040
=========
Group Charity
Debtors as previously reported at 31stDecember 2021 2,336,386 2,342,599
Legacies previously omitted 329,818 329,818
———— ————
Debtors restated at 31st December 2021 2,666,204 2,672,417
========= =========

55

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054

Every day 10 children and young people are diagnosed with cancer in the UK.

8 out of 10 young childhood cancer patients can be successfully treated thanks to vital, specialist research we helped fund.

Our aims are to determine the causes, find cures and provide care for children with cancer. We are united by a common goal – to save and improve young lives.

We fund Research We fund Welfare We raise Awareness

Children with Cancer UK Registered Office 21-27 Lamb’s Conduit Street London WC1N 3NL

56

Registered Charity Number: 298405 Inaugurated by Diana, Princess of Wales Company limited by guarantee, Number: 4960054