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2024-12-31-accounts

Annual Report & Consolidated Financial Statements For the year ended 31 December 2024

Registered Charity Number: 298555 Company Number: 02141770 St. Luke’s Hospice (Harrow & Brent) Ltd

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Contents

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||| |---|---| |1. Introduction from Chair of trustees|3| |2. About St Luke’s Hospice|4|

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a. Vision b. Values c. Strategy 2025-2028 d. Main activities

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||| |---|---| |3. Service review|8| |9|

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4. Strategic report

a. Achievements and performance b. The year ahead c. Volunteers d. Relationships with stakeholders

5. Structure, governance and management

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b. Corporate structure c. Governance d. Appointment of trustees e. Trustee induction and training f. Principal risks g. Our people h. Remuneration policy for key management personnel i. Diversity, equality and inclusion

j. Environmental impact – energy and carbon reporting

6. Financial performance

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||| |---|---| |6. Financial performance|18| |a. Financial performance| |b. Fundraising approach, controls and performance| |c. Retail and lottery performance| |d. Reserves policy| |e. Investment policy| |7. Statement of responsibilities of the trustees|23| |8. Independent Auditors’ Report|24| |9. Financial statements|29| |10. Reference and administrative information|53|

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1. INTRODUCTION FROM THE CHAIR OF TRUSTEES

In 2024 we continued to provide valuable and valued palliative and end-of-life services to the Harrow and Brent communities across our core and new services at a time of rising demand in a challenging environment

With over 30 years’ experience, St Luke’s continues to strive to ensure that our services reflect the community’s needs and that our future can be assured in order to serve and support future generations. The positive experience of helping more patients and families with our wider portfolio of services is a true achievement, only possible due to the hard work of our team and the generosity of our volunteers and supporters.

Over the past year it has become even more evident that change is needed in the hospice sector generally and St Luke’s is no exception. As a Board, we have approved a new Strategy that focuses on aligning improved quality of care with reinvigorated resources to match the evolving needs of our patients and their families. To do this at a time of ongoing financial pressures requires optionality, intelligence and resilience, all of which we are beginning to weave into the fabric of our organisation.

Furthermore it has become necessary to address long-term investment into our landmark building, Kenton Grange. The need to modernise the space that is so important to our day- and in-patients and their families as well as our teams has become pressing and we recognise that a multi-year programme of development and investment will be required.

Given that transformation of this scale requires time and careful planning, there is a shared understanding that the charity’s financial outcomes will be challenging in the short term. Notwithstanding this strategic perspective, the Board is committed to be financially responsible and to restoring the organisation to a position whereby costs are fully covered by more sustainable income streams.

Despite the uncertainty that change and challenge present, our work is important and we are blessed with a strong community of supporters whose generosity is outstanding. I would also like to acknowledge the efforts of all teams, volunteers and trustees whose hard work is so appreciated.

There is much still to be done and we are confident that, with the continued backing of all our valuable supporters and our excellent team, we will find the St Luke’s future model for the next 30 years and more.

Meg Lustman

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2. ABOUT ST LUKE’S HOSPICE

a) Vision

A world where people experience the best possible last phase of life.

b) Values

Caring – Care of all those who deliver and need our services

Respect – Demonstrate respect and be open minded, inclusive and approachable Excellence – Create an environment of continually achieving our goals Inclusivity – Strive to reach all sections of our community in all areas of work Empowerment – Empower our community to live a better life

c) Strategy 2025-28

During 2024, St Luke’s developed a new three year strategy. It reflects the diverse and increasing needs of our community for end-of-life support and care, and the challenging external funding landscape for charitable hospices.

The London boroughs of Harrow and Brent are two of the most ethnically and culturally diverse boroughs in London, with high rates of deprivation. Our populations in these boroughs are also ageing, and across the UK more people are dying or living with lifelimiting conditions.

Our strategy focuses on adapting our care services to improve provision and accessibility for our community. We will do this by working with the NHS, other charitable hospices, local government and communities in the London boroughs of Harrow and Brent.

At the heart of our strategy is our response to the financial challenges that the charitable hospice sector is facing where funding has not kept pace with rising costs, increased demand and the changing needs of our population. Our strategy reflects the urgent need to achieve sustainable funding for St Luke’s Hospice in both the short- and longer-term.

We have three Strategic Goals, with associated delivery priorities, and activities that form the hospice’s operational plan.

1. Quality of care

We will be the best hospice we can possibly be, providing high quality and compassionate hospice care and support to all people and their families who come into St Luke’s or require our care at home.

Our delivery priorities:

  1. Deliver responsive, personalised, high-quality, and compassionate care and support to more people and their families.

  2. Provide early support to individuals with life-limiting illnesses, helping them maintain their quality of life.

  3. Improve the provision of high-quality compassionate care using our clinical quality framework.

  4. Enhance our compliance with best practices and regulatory standards throughout all aspects of our operations.

To achieve this, we will:

Implement a new model of service delivery.

Expand and promote our Pall 24 Helpline as a single point of access for patients and families to expert advice, care and support 24 hours a day.

Introduce a new Living Well programme to provide early support, reflecting the views of people with lived experience and other local stakeholders.

Expand our respite care and support service for patients and carers through increased engagement with service users, local partners and improved referrals.

2. Serving our community

Our delivery priorities:

  1. Strengthen St Luke’s role as a leading voice in palliative care in Harrow and Brent, by providing advice, guidance, and education, in partnership with health, social care, and community organisations.

  2. Build our relationships with our local community to establish St Luke’s as the charity of choice for palliative care, support, and advice in Harrow and Brent.

  3. Expand our engagement with diverse communities to better understand their needs and enhance our care and support services.

To achieve this, we will:

Engage with local NHS primary care providers to increase knowledge and understanding of St Luke’s services and increase referrals, particularly in areas of the boroughs where referrals are currently low.

Establish partnerships with local authority/voluntary sector organisations to improve knowledge of St Luke’s services and support for patients and families.

Develop and sustain meaningful collaboration with local faith leaders and community groups.

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Develop opportunities to provide expert training on palliative care to external partners including local health and social care organisations and voluntary sector.

Increase public awareness of St Luke’s care and services through enhanced communications including digital marketing.

3. Sustainability

Our delivery priorities:

  1. Create dependable and efficient revenue sources through our fundraising campaigns, retail and other commercial activities.

  2. Work with our NHS partners to secure equitable and sustainable funding for our clinical services.

  3. Create an organisation culture where people are valued, included, and developed to perform to the best of their abilities to deliver St Luke’s strategic goals.

  4. Design our estates and infrastructure to be responsive to the current and future needs of St Luke’s and our community.

To achieve this, we will:

Focus our fundraising on activities that maximise income generation and achieve year-on-year growth.

Implement the recommendations of our retail strategy review to maximise the profit contribution of our retail network.

Play a leading role in the development and implementation of North West London Integrated Care Board’s new Model of Care for community specialist palliative care in Harrow and Brent, making the case for sustainable funding for charitable hospices.

Develop policies to support Equity, Diversity, Inclusion in the workplace.

Introduce individual objectives and personal development planning for all staff through a new Appraisal Policy.

Review our arrangements for pay, reward and recognition.

Develop and promote wellbeing initiatives for staff and volunteers including Mental Health First-Aiders.

Determine future opportunities for our estates including Kenton Grange, exploring commercial ventures and partnership possibilities.

d) Main Activities

The Charity’s main focus is to provide specialist palliative care to the people of Harrow and Brent facing life-limiting illnesses. Our care includes:

Community based care

We provide specialised care for patients and families with life-limiting conditions within their own homes, including specialist palliative care nursing, crisis response care, and respite care, delivered by our Hospice at Home team and specialist palliative care nurses.

Two-thirds of our care is provided in the comfort of peoples’ homes, as we respect that this is where most people would like to be looked after. Our specialist community team of nurses helps people to manage more complex needs whilst our Hospice at Home team provides care that allows people to remain in their own homes by providing practical care and support. Our consultants offer outpatient appointments in the community and also at the hospice’s main building, Kenton Grange.

Inpatient Unit

We provide specialist care to patients who can’t be cared for in the community, including symptom control, specialist respite care and end of life care delivered by a multidisciplinary team of nurses, doctors, healthcare assistants, physiotherapists and social workers.

Our 12-bed inpatient unit (IPU) at Kenton Grange cares for people in their final days, providing intensive care to help get symptoms under control or give respite care. Many of those who are cared for in our IPU often return home again.

Patient and Family Support Services

We provide a programme of emotional and practical support to patients and their families living with life-limiting conditions, delivered by our specialist team of palliative care social workers, family support workers, and trained volunteers.

Our services are intended to keep people feeling well, independent and mobile for as long as possible. Our holistic approach to care is intended to support people’s wellbeing, including emotional support through services such as social work, spiritual care, exercise groups, advice on welfare benefits, advance care planning support, complementary therapy and physiotherapy services.

In addition to caring for our patients, we also provide bereavement support to family members and carers, through our team of trained, supervised volunteers.

Pall 24

We provide 24-hour expert support to patients, families and professionals over the telephone, delivered by our experienced clinical staff. Our team provides advice, a rapid response in times of crisis and effectively co-ordinates care, from arranging prescriptions, to getting vital equipment delivered – anything people need to avoid going to hospital and to stay comfortably in their homes.

Key enablers

To deliver our strategic goals, our strategy is underpinned and enabled by:

  1. Sound financial management; robust finances and targets; accurate analysis; and accurate and timely management information.

  2. Creative and innovative communications and marketing tailored to our target audiences and aimed at raising the profile of St Luke’s as we endeavour to be the best hospice we can possibly be.

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3. SERVICE REVIEW

Our service activity data reports for the financial period 1 April 2024 to 31 March 2025, in line with local statutory reporting requirements.

St Luke’s Hospice supported 2020 service users (2023: 2069).

Our specialist palliative care community team (Brent) carried out 2072 visits to patients in their homes, which represents an increase of 10% from the previous year (2023: 1884).

Our Inpatient unit saw 212 admissions in 2024, which is consistent with admissions in 2023. The Inpatient unit continues to accept admission 7 days a week which resulted in 39 weekend admissions in 2024.

A particular highlight for 2024 is the increased activity across all areas of patient and family support services to promote and support independence, acknowledging the power and benefits of bringing people together to socialise and learn from each other.

We implemented additional group activities to reach more people across our service, pre and post bereavement, including walk and talk, chair yoga, sound relaxation and retreat days.

We provided 2207 social work sessions compared to 2119 in 2023 (an increase of 4%) and this service continues to grow into 2025 reflecting the demand for psychosocial and emotional support.

We recruited an additional 35 volunteers within the bereavement and

complementary therapy services. All volunteers in these services receive ongoing training, supervision and reflective practice.

We supported a larger group of people affected by complex psychosocial issues, for example. unsettled immigration status, homelessness and mental ill-health.

Our team received commendation from North West London ICB for our work on Reducing Health Inequalities.

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Inpatient Services Bereavement
324
Serving our communtiy 212 10
Sessions
in 2024/2025 Admisions Weekend [39] Average number Days of inpatient
delivered by
admissions of days length stay [2043] unit care Volunteers and Staff
2024 Hospice at home Outpatients Brent Specialist
Patients/ & Brokerage Palliative Care team
Carers
513 532 2072
Brent Specialist
Patients supported
Complementary Care team
at home & brokerage
Therapy Community visits
sessions
Palliative Helpline (PALL 24)
722 5826
119 6760 Brent Specialist
Palliative 24 Palliative helpline Physiotherapy Care Palliative team
home visits Telephone calls sessions Telephone call
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4. STRATEGIC REPORT

a. Achievements and Performance

1. We will deliver a new strategy for 2025-2028

During 2024, St Luke’s developed a new strategy focused on three Strategic Goals: Quality of Care, Serving our Community and Sustainability. The strategy started in January 2025 and is supported by a detailed operational plan and KPI’s, and quarterly reporting to the Board of trustees.

2. We will work with the North West London ICB on the development of a new Model of Care

Alongside, we have reviewed our own clinical service model, involving service users and clinical teams to consider how we can better meet the needs of our populations of Harrow and Brent. Our new service model will be implemented during 2025.

3. We will improve the performance and contribution of our retail network

St Luke’s Hospice Charity Shops Ltd (a trading company solely owned by St Luke’s Hospice) experienced a downturn in profit in 2023 which was forecast to continue into 2024 and 2025. This was a result of lower sales, poorer quality donations, a fall in footfall on the high street, and increased costs due to inflation across our network of 16 shops, all factors experienced across the charity retail sector. Our retail network contributes a third of our total income each year.

Urgent actions were implemented from the start of 2024 to improve performance.

We delivered a bespoke retail management development programme.

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4. We will implement new fundraising initiatives including a new lottery partnership and we will join national campaigns that will increase awareness of hospice funding as well as fundraising.

St Luke’s Hospice has entered into a new lottery arrangement with Local Hospice Lottery partnership, moving from in-house delivery during 2025.

We took part in the Big Give fundraising campaign for the first time, raising £30k.

We participated in a Hospice UK National Legacy Campaign with 143 hospices across the UK to raise the importance and awareness of leaving Gifts in Wills.

We undertook an external review of our fundraising to plan for growth and efficiencies in the years ahead.

We participated in Hospice UK national campaigns to raise awareness of the funding challenges for hospices. In October, we hosted a visit from our local MP, Gareth Thomas, who wrote to the North West London ICB on our behalf about the need for a more equitable funding model for charitable hospices.

5. We will prioritise the delivery of our strategic ambitions around developing and valuing our People.

Good progress has been made in strengthening our people processes and infrastructure.

We introduced a new learning and development programme across the hospice, including lunchtime sessions, online training opportunities and a hospice-wide management programme, People Management – the Essentials, which has been attended by all managers. A bespoke programme for retail managers was also implemented, and work started on a nurse competency framework.

The clinical education team launched a new approach to supporting reflective practice for clinicians.

The People Committee and Remuneration Committee were established, providing governance and strategic thought leadership.

The internal People Policy Review Group was established to review and update our people policies, with a target completion date of December 2025.

We retained Investors In People (IIP) accreditation and undertook an IIP staff survey.

A new focus on individual and personal development planning was introduced, to be expanded during 2025.

6. We will ensure that St Luke’s estate is fit for purpose and fit for the future to deliver the services our local community needs at end of life.

In 2024, we commissioned a Feasibility Study of our hospice building, Kenton Grange, by Newmark (a property consultancy with expertise in health and charity sectors). Newmark provided options for the long-term sustainability of Kenton Grange, identifying a planned maintenance programme for the next 10 years. The recommendations and strategic implications will be considered by the Board of trustees during 2025 and a programme of capital works will follow.

b. The Year Ahead

In 2025, we will deliver a programme of activities that meet our delivery priorities set out in the Strategy 2025-2028 (see section 2.c Strategy 2025-2028). Progress will be reported in the Annual Report and Statutory Accounts for 2025.

In addition, the Board of trustees have approved three key transformation projects that are of highest priority with strategic implications for the future sustainability of the hospice.

  1. St Luke’s Service Model – shaping the future of our care

  2. Determining how our services will support the needs of our local population and community.

  3. Kenton Grange Redevelopment Project

  4. Determining how our hospice building will support our service model and meet the needs of our local community.

  5. NHS Funding and ICB Model of Care for Community Specialist Palliative Care Services

Determining how we can achieve equitable and sustainable funding for our clinical services as a charity and co-commissioner of specialist palliative care services in Harrow and Brent.

c. Volunteers

At St Luke’s, we are fortunate to have a dedicated community of volunteers who contribute their time and skills across most areas of our charity. From our awardwinning gardening team of volunteers to the committed volunteers supporting our retail shops, their efforts are instrumental in helping us fulfil our mission of providing high-quality palliative and end-of-life care for the communities of Harrow and Brent.

Throughout 2024, our hospice volunteer numbers increased from 497 in 2023 to 521 in 2024, reflecting the ongoing dedication and commitment of our volunteers. In December, we were able to celebrate and recognise 41 volunteers who have worked for us for more than five years, with a handful of volunteers celebrating their 20 years of service.

Volunteers are crucial in the delivery of our services for patients and families. Our trained volunteers assist bereaved families in person or by phone through our bereavement programme and in 2024, we were delighted that the team won the prestigious Harrow Heroes Team of the Year award.

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We continued to successfully recruit volunteers for key areas, including bereavement support, complementary therapy, reception services, retail, gardening, and office support, further enhancing the compassionate care we provide.

We are truly grateful for the unwavering generosity of our volunteers, whose contributions make a meaningful difference to the lives of our patients and their families.

d. Relationship with Stakeholders

St Luke’s Hospice places great value on engagement with our stakeholders, building positive relationships across all areas of our work. In 2024, a Priority for Improvement was the development of a Patient Engagement Strategy, and we have introduced new and engaging ways to seek and receive feedback from our service users and their families.

We strive to build strong relationships with our local community, working with a range of faith groups, schools, businesses and local organisations to raise community awareness of our work and the services we provide. We were delighted to join together with the Trustees of the Shree Swaminarayan Mandir Kingsbury to be part of their Temple’s ten-year celebrations and to host their spiritual leader during the summer of 2024. We were also very grateful to our Patron, The Lord Popat, for hosting a magnificent reception on our behalf at the House of Lords for over one hundred of our community and key stakeholders.

We continue to work closely with our NHS and local authority partners, including the local ICB, London North West University Hospitals NHS Foundation Trust and Brent Council Social Services. We are grateful for the interest and engagement from local Trusts and Foundations who fund our work, and voluntary sector partners. Our relationships with our charity hospice partners in the area remain strong, providing opportunities to share knowledge and experience, expertise and resources whenever possible, and working in partnership.

We engage with our staff across the hospice and our retail network through staff surveys, ‘Staff Conversation’ events with the CEO, and regular communications to keep staff informed and engaged. Many of our staff volunteer to help at fundraising events and we are very grateful for their engagement and support.

5. STRUCTURE, GOVERNANCE AND MANAGEMENT

Reference and administrative information set out at the end of the report form part of the formal report.

The purpose of the charity, as set out in its Articles of Association are “The relief of sickness and the preservation of health of those suffering from any life limiting illness, primarily but not exclusively, within the areas of the London Boroughs of Harrow and Brent by:

  1. maintaining a Hospice providing palliative and end of life care for them in a range of settings;

  2. promoting and providing services, support and care for them, their families, friends, and carers to help relieve physical, emotional, mental, or spiritual distress;

  3. promoting and providing education about all aspects of palliative and end of life care;

  4. carrying out research into the development and improvement of care services, in particular all aspects of palliative and end of life care; and

  5. promoting and providing other services and support in such ways as the trustees shall from time to time think fit through the provision of health and social care services of all types.”

a. Public Benefit

The charity exists to provide a palliative care end of life service for the residents of Harrow and Brent. In reviewing the objectives and activities for the year, the trustees have satisfied themselves that all our charitable activities focus on that care and further our charitable purposes for the public benefit. The trustees take into account Charity Commission guidance in this regard. The charity is a local organisation providing professional and compassionate services to the community in Harrow and Brent. It receives the majority of its funding from local individuals and organisations (including local NHS commissioning), therefore beneficiaries are mainly (although not exclusively) from the London boroughs of Harrow and Brent.

b. Corporate Structure

The Articles of Association govern the charity and set out its charitable objectives and powers. In 2023, updated Articles of Association were adopted with Charity Commission consent.

The organisation is a charitable company limited by guarantee, incorporated on 22 June 1987.

St. Luke’s Hospice (Harrow & Brent) Ltd. has a wholly owned trading subsidiary, St. Luke’s Hospice (Harrow & Brent) Charity Shops Ltd (company number 02454552) through which it operates a network of charity shops and a lottery. The trading subsidiary exists to maximise income for the hospice and all profits are donated to St Luke’s Hospice using Gift Aid regulations. In 2024, a governance review was carried out for the trading company and new Articles of Association and Deed of Covenant were approved and adopted by the Board of trustees. In addition, a review of the lottery was undertaken and plans approved to move to an external lottery provider which will be fully implemented in 2025.

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c. Governance

St Luke’s Hospice is governed by a Board of trustees which meets at least 4 times a year. The Board of trustees is responsible for setting the strategic direction of the hospice. Additional Board business is carried out between formal meetings in line with procedures set out in the Articles of Association, including discussion, decisions and voting by email. In addition to attending Board meetings, every trustee sits on at least one Committee.

The hospice has five sub-committees:

The Board delegates day-to-day management of the charity to the Chief Executive Officer and the Executive Team.

All trustees give their time voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are set out in Note 9 to the Accounts.

d. Appointment of Trustees

Trustees, including the Chair of trustees, are appointed by the Board following an open recruitment process including advertising, application and interview. The Board reviews the skills it needs in deciding selection criteria to maintain breadth of expertise. Once appointed a trustee will serve for an initial term of 3 years, with a maximum of 3 terms. In 2024, one trustee resigned from the Board.

e. Trustee Induction and Training

St Luke’s Hospice operates a thorough induction programme for all new trustees, including engagement with our services, and meetings with the Chief Executive Officer and members of the Executive Team. Trustees are provided with a comprehensive pack of information for reference including the Charity Governance Code. All trustees are required to complete e-learning modules via the hospice’s online training portal and are also offered relevant training courses. Annual appraisal of all trustees is conducted by the Chair and Vice-Chair. In addition, the Chair has an annual appraisal which is led by the Vice-Chair.

f. Principal Risks

St Luke’s Hospice has further embedded its approach to risk management during 2024. The Audit and Risk Committee met three times during the year including a meeting with the hospice’s auditors to review the audited accounts. A Board Assurance Framework and Corporate Risk Register has been embedded into practice and is supported and informed by an internal clinical governance framework.

Further development has taken place of the Vantage incident, risk and compliance management software during 2024. New modules have been implemented this year including the Care Quality Commission compliance module and the complaints and compliments module.

The Executive Team and the Audit and Risk Committee have agreed the organisation’s principal risks which are regularly reviewed. Organisational policies and procedures are in place in relation to the principal risks.

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Risk Management / Mitigations
Clinical Services Education and training provision
Competency programmes
Arrangements for clinical and consultant oncall
Financial Finance and Performance Committee
sustainability Regular monitoring of management accounts and financial
position
Approved budget for financial year
Appointed auditors
Financial recovery plan for 2025 and beyond
Transformation Strategic objectives
Board and Executive Team away days for strategic planning
Internal staff engagement and communications
Staff survey
Commissioning Regular meetings with commissioners
Contract in place
Provision of monthly activity and quality data
Governance and Clinical Governance Committee and Board level
compliance committees
Internal governance groups
Risk, incident and complaint management
Patient feedback measures and strategy
Employment law, Renumeration Committee
HR and payroll Specialist advisor support
compliance Contracts of employment
The environment Structural surveys
Planned maintenance programme
Strategic plan for building upgrade
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Risk Management / Mitigations
Infection prevention External expert advisors
and control Risk assessment
Audit and monitoring programmes
Training and education
Infrastructure External IT contractor
Cyber security
Safeguarding Safeguarding lead and trustee with responsibility for
safeguarding
Safeguarding training and compliance monitoring
Freedom to Speak Up Guardian
Health and safety Health and Safety Group and Audit and Risk Committee
Health and Safety competent advisors
Various risk assessment
Business Continuity Plan
Communication and Communications and marketing team
engagement Mailings, social media and engagement events
Workforce capability People Committee
Recruitment, probationary and appraisal processes
Competency programmes
Mandatory training and external training opportunities
Education team
Workforce People Committee
recruitment Diverse recruitment methods
Data governance, Information Governance Group
security, privacy and Data Protection Officer, Senior Information Risk Officer,
quality Caldicott Guardian
Compliance with the Data Security and Protection Toolkit
(DSPT)
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g. Our People

There were, on average, 143 full-time and part-time (FT/PT) staff employed in 2024 in the hospice and the hospice’s Shops company (2023: FT/PT staff 152).

Staff FT/PT Year 2024 Year 2023
Shops Company 50 54
Hospice 93 98
Total 143 152

h. Remuneration Policy for Key Management Personnel

The Remuneration Committee consists of the Chair of trustees, Vice Chair of trustees, Chair of Finance & Performance Committee, and is chaired by a fourth trustee. It has delegated responsibility from the Board for pay and remuneration of the Chief Executive Officer and Executive Team. In 2024, an external agency was commissioned to carry out a benchmarking exercise for Executive Team salaries and benefits with reference to hospice, public, charity and private sectors.

i. Diversity, Equity and Inclusion

In 2024, we refreshed our Dignity at Work policies and Flexible Work policies. In 2025, staff will be engaged in setting the EDI agenda as part of the development of a new Equity, Diversity and Inclusion strategy for the hospice.

j. Environmental Impact - Energy and Carbon Reporting

We progressed with a number of initiatives in 2024 to improve our impact on the environment.

We commissioned a building survey of our Kenton Grange site to understand the general condition and remedial work required to ensure the building remains in a satisfactory operating condition.

We commissioned a Energy Performance Certificate Survey at the start of 2025 in order to understand the Kenton Grange site’s current energy efficiency. Recommendations made by the assessor for potentially improving the energy performance of the building will be reviewed and incorporated into the buildings planned preventative maintenance programme where practically and economically feasible.

We worked with our waste management provider to ensure that we are prepared for the changes in guidelines for recycling for workplaces and commercial waste collections from March 2025.

We continued our recycling progamme including plastics, papers, batteries, toner cartridges and the recycling of rag across our retail operation.

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6. FINANCIAL PERFORMANCE

a. Financial Performance

In 2024, the Hospice Group recorded a deficit of £118k (2023: surplus £169k). Compared to last year, this represents an increase of £758k in legacies, a £664k decrease in contract income (out of which £640k relates to Ageing well programme), a £38k rise in investment gains, a £214k increase in costs due to inflation, and a £204k reduction in contributions from our shops.

The Charity’s income arises from:

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2024 2023 Increase/
£000 £000 (decrease)
Contract income 3,032 3,696 (18%)
Fundraising 2,330 2,468 (6%)
Legacies 1,754 996 76%
Shops Company, including 2,324 2,411 (4%)
the lottery
Interest & dividend [ 137] [117] 17%
Total income excluding 9,577 9,688 (1%)
unrealised investment gains.
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The Group’s total income decreased by 1% (£287k) compared to the previous year, prior to accounting for unrealised investment gains and losses. There has been a 76% (£758k) increase in legacy income and a 18% (£664k) reduction in contract income primarily due to the non-renewal of the Ageing Well funding programme (£640k). All other operational income streams saw reductions.

Total group costs increased by 2%, driven by inflation and investment in IT infrastructure including EMIS (£50k). Communication and marketing expenses have been reclassified from fundraising costs to central support costs during the year.

The net profit contribution from the Shops Company saw year on year decline in 2024 as a result of shop closures, a drop in sales, and higher costs related to new vehicle leases, property dilapidation, and the full-year impact of the new Waverley warehouse.

As a result of the operating deficit and delayed cash receipt from legacies, cash reserves declined from £1.7 million to £1.3 million and total reserves declined from £12.8m to £12.7m.

b. Fundraising Approach, Controls and Performance

1. Performance

St Luke’s Hospice is dedicated to engaging and collaborating with its local community, whilst also maintaining high standards of fundraising and lottery activity. In a particularly challenging income generating environment for the hospice sector, St Luke’s is immensely appreciative of the continued commitment of our local communities of Harrow and Brent to all our work in the past year.

A 29% income growth was achieved in 2024, resulting in a gross contribution from Fundraising of over £3.5m. This was made up of £1.3m from multiple fundraising income streams (Individual Giving, In-Memory, Corporate and Community, Major Donors, Trusts and Foundations and Gift Aid), as well as Legacies, Events and from the Lottery. The lottery contribution and performance are reported within the Shops company performance section below.

Gifts in Wills remain our largest income stream with £1,753k being received from over 40 legacies, and 2024 ended with a very healthy legacy pipeline, the highest in the last five years. We remain incredibly grateful for those people who choose to remember St Luke’s Hospice in their Wills.

The Big Give campaign to Support our Nurses, a new initiative for St Luke’s, raised just over £27k, with over 139 donations (23 of which were new supporters). In-Memory saw significant growth from MuchLoved tribute pages, with donations increasing from £39k in 2023, to over £84k in 2024. Events income was slightly down on the previous year, and in 2025 we will concentrate on fewer events, and re-brand our flagship event to boost income. The Annual Walk, in its 27th year, exceeded expectations, bringing in over £80k with 70 walkers taking to the Shropshire Hills for a four-day walking challenge.

A fundraising review, undertaken by Compton Fundraising Consultants, was conducted at the end of the year to analyse our activity, database, supporter journeys and performance. As a result, a blueprint and fundraising roadmap has been developed, focusing on growth, efficiencies and sustainability for 2025 and beyond.

In 2024, St Luke’s was incredibly grateful to receive tremendous support from local businesses, charitable Trusts and Foundations and grant-giving funds of all sizes. Our huge thanks to all those listed and those who prefer to remain anonymous:

Albert Hunt Trust; Ardwick Trust; Arja Samaj Middlesex Hindu Charity UK; Bell Container Trading; Bloomberg; Brent Health Matters; Caron Keating Foundation; Cecil Rosen Foundation; Charterhouse Accountants; City Bridge Foundation; D S Cohen Charitable Trust; The February Foundation; Hamilton Wallace Trust; Harapan Trust; Hodge Foundation; Hospital Saturday Fund; Jean and Derek King Charitable Trust; The Kingsbury Charity; Lenore Reynell Trust; Mahavir Trust; MAPS Medical Benevolent Charitable Trust; Middlesex Mark Benevolent Fund; M K Charitable Trust; National Lottery Community Fund; RUB White Charitable Trust; Screwfix Foundation; SPAR (UK); The Arts Society Harrow; The Wolfson Foundation; and Toureen Group.

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2. Controls

St Luke’s Hospice has voluntarily registered with the Fundraising Regulator, is a member of Hospice UK, the Hospice Lottery Association and the Hospice Income Generation Network (HIGN). In 2024, the Lottery remained in-house (pending a move to Local Hospice Lottery in 2025) and is licensed with the Gambling Commission. St Luke’s also signed up to the national Hospice UK Legacy Campaign in 2024, joining together with 142 other hospices across the country to promote the importance of leaving gifts in will.

St Luke’s is committed to operating within the Fundraising Code of Practice, employing a team of paid colleagues to deliver our fundraising and communications activities. Many of our fundraisers are also members of the Chartered Institute of Fundraising. We have a dedicated supporter care team responsible for data maintenance and record-keeping to comply with Fundraising Regulator requirements. In the period of 1 January to 31 December, we received five fundraising complaints, all of which were minor, and were investigated and resolved to the supporter’s satisfaction.

From time to time, St Luke’s engages with professional third-party suppliers to help raise funds, particularly where we do not have the expertise in-house, including mailing houses and fundraising agencies, to undertake some direct mailings and telephone appeals. St Luke’s also contracts services to Legacy Link, a legacy administration company, to administer legacy donations. The Hospice is also signed up to the Fundraising Preference Service to enable individuals to opt out of fundraising communications from us, and we received one request through this service in the past year.

The Director of Communications and Fundraising is a member of the internal Information Governance Group and a member of the Fundraising team attends the hospice’s Health and Safety Group. The team also liaise closely with, and seek guidance from, the Data Protection Officer to ensure data processing is in line with GDPR compliant procedures. All fundraising activities are reported to the Finance and Performance Committee on a quarterly basis by the Director of Communications and Fundraising.

The fundraising team will continue to build on the strategies implemented this year to steward existing donors and acquire new supporters to generate and increase income for St Luke’s Hospice in the new financial year.

c. Retail and Lottery Performance

St Luke’s Hospice Shops Company Ltd continued to generate profits in support of the Hospice’s vital work and services. Over the past two years, we experienced a decline in profitability which persisted into 2024. This was driven by a combination of factors affecting the wider charity retail sector, including lower sales, reduced quality and volume of donations, declining high street footfall, shop closures and rising costs due to inflation across our network. The costs also increased due to new vehicle leasing, cost of dilapidations and full year new warehouse operational cost. The net contribution from all retail activity (including e-commerce) for 2024 was £153,054, down from £357,525 in 2023. Although quality of the donated goods remained low, our shops continued to benefit from strong community support. During the year, one shop closed due to the expiry of its lease. By the end of 2024, the Shops Company operated 16 retail outlets.

To address these challenges and begin a retail turnaround, we implemented several key actions during 2024:

Restructured Leadership: A new leadership structure and skills were introduced, bringing in charity retail expertise to guide the business.

Developed Management Capabilities: A bespoke retail management development programme was delivered to upskill our team.

During 2024, we received 1 (2023: 6) complaints in relation to our retail network.

St Luke’s Hospice currently operates an in-house lottery, which is licensed by the Gambling Commission. St Luke’s is a member of the Hospice Lottery Association, and provides regular weekly data and regulatory returns to the Gambling Commission as requested. However, the cost of running the lottery, combined with declining player numbers and cancellations, has led to a decision to outsource this activity to the Local Hospice Lottery for 2025. Lottery income made a £249k contribution to the hospice in 2024 (a decline in income since 2023) with around 3,600 players participating in the weekly game. Player retention is the key focus at the present time for the lottery, and pro-active recruitment for players will follow once the lottery has been outsourced.

d. Reserves Policy

The Board of Trustees Reserves Policy aims to maintain six months of total expenditure as reserves. Adequate reserves also ensures that there are sufficient liquid funds available to meet unexpected shortfalls in its funding streams, timing differences in receipt of those funds, or sudden increases in costs.

The Finance and Performance Committee of the Board of Trustees reviews the Reserves Policy in line with future anticipated financial demands of the Charity. In 2024, reserves of £4,948k (six months total expenditure of £9,897), compared to £4,842k in 2023 (six months total expenditure of £9,683k) will be considered adequate by the Board of Trustees to meet the policy.

Total free reserves excluding Fixed asset reserve and designated funds held at 31st December 2024, as per the table below, were £5,171k. This is just above the required £4,948k of six-month operational cost. Therefore, the Trustees confirm the compliance of the Charity’s Reserves Policy.

The Risk Management Reserve of £1,411k was established to help the Hospice address any operational risk that could arise in the future.

Comprehensive details about the Pension Deficit Reserve can be found in Note 20 to the Accounts.

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As at 31st December 2024, the Charitable Group held the following General and Designated Reserves:

----- Start of picture text -----
Fund £000’s Timeline for Use
2024 2023
Designated Fixed 5,233 5,294 The designated fixed asset funds
Asset Fund - represent the net book value of the
Hospice fixed assets. These funds are identified
separately as they are illiquid funds and
Designated Fixed 380 512 not available for use.
Asset Fund - Shops
TOTAL Designated 5,613 5,806
Fixed Asset Funds
FREE RESERVES 5,171 5,173 Available for general purposes and core
General costs
Unrestricted Fund
Risk Management 1,411 1,372 General Purposes – against perceived
Reserve potential risks to income – see below
Pension Deficit 300 300 Held towards a potential future buy-
Reserve
out of the Defined Benefits Pension
Scheme – see Note 20 of the Financial
Statements
TOTAL LIQUID 6,882 6,845 Total Reserves available to spend
RESERVES
TOTAL 12,495 12,651 As per Balance Sheet
UNRESTRICTED
FUNDS
----- End of picture text -----

e. Investment Policy

Messrs Rathbones plc were appointed as Investment Managers to the Charity in 2016 to manage the investment portfolio with an initial allocation of approximately £1.6m. An additional investment of £2.5m was made in December 2021. Before placing investments on behalf of the Charity, the trustees have asked the fund managers to screen for tobacco and health care companies. The fund managers report to the Charity on a quarterly basis.

As at 31st December 2024 the investments were valued at £4,182k (2023 - £4,011K).

7. STATEMENT OF RESPONSIBILITIES OF THE TRUSTEES

The trustees are responsible for preparing the Trustees’ Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards).

Charity Law in England and Wales requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the group and of the incoming resources and application of resources, including the income and expenditure, of the charity and the group for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping proper records that disclose with reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the charitable company and group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. So far as each of the trustees is aware at the time the report is approved:

The trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may vary from legislations in their jurisdictions.

Auditor

On 18 November 2024 the company’s auditor changed its name from Haysmacintyre LLP to HaysMac LLP. HaysMac LLP has indicated its willingness to be reappointed as statutory auditor for the next financial year.

The Trustees’ Report, which incorporates a Strategic Report, was approved by the trustees and signed on their behalf by

Changes in the investments held are detailed in Note 11 of the Accounts.

Margaret Lustman

Chair of Trustees

12 June 2025

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8. INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF ST. LUKE’S HOSPICE (HARROW & BRENT) LTD

We have audited the financial statements of St. Luke’s Hospice (Harrow & Brent) Ltd for the year ended 31 December 2024 which comprise the Consolidated Statement of Financial Activities, the Charity and Group Balance Sheets, the Statement of Consolidated Cash Flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

give a true and fair view of the state of the group’s and of the parent charitable company’s affairs as at 31 December 2024 and of the group’s and parent charitable company’s net movement in funds, including the income and expenditure, for the year then ended;

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 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 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.

Other information

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information; we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

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

the strategic report and the directors’ report included within the Trustees’ Annual Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

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

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

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

Responsibilities of trustees for the financial statements

As explained more fully in the trustees’ responsibilities statement set out on page 19, the trustees (who are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the trustees are responsible for assessing the group’s and the 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.

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Auditor’s responsibilities for the audit of the financial statements

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

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

Based on our understanding of the group and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to compliance with regulatory requirements of the Care Quality Commission, Charity Commission, employment law and health and safety regulations, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such the Companies Act 2006, the Charities Act 2011, payroll taxes and VAT.

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.

Lee Stokes (Senior statutory auditor)

for and on behalf of HaysMac LLP, Statutory Auditor

10 Queen Street Place,

London,

EC4R 1AG

We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to recognition of income and management bias in certain accounting estimates. Audit procedures performed by the engagement team included:

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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9. FINANCIAL STATEMENTS

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (Including an Income and Expenditure Account) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
Unrestricted Restricted Endowment Total Total
funds funds Funds 2024 2023
Notes £’000 £’000 £’000 £’000 £’000
----- End of picture text -----

Income from:
Donations and legacies
•Donations 2 1,712 382 - 2,094 2,217
•Legacies 3 1,754 - - 1,754 996
-------------------- -------------------- -------------------- -------------------- --------------------
3,466 382 - 3,848 3,213
Charitable Activities -------------------- -------------------- -------------------- -------------------- --------------------
• NHS commissioning 3,007 - - 3,007 3,596
•Other income 25 - - 25 100
-------------------- -------------------- -------------------- -------------------- --------------------
5 3,032 - - 3,032 3,696
Other trading activities -------------------- -------------------- -------------------- ------------------ --------------------
•Fundraising events 2 236 - - 236 251
•Gross income from shops 4 2,324 - - 2,324 2,411
and lottery
-------------------- ------------------ -------------------- -------------------- --------------------
2,560 - - 2,560 2,662
-------------------- -------------------- ------------------------- ------------------------ --------------------
Income from Investments 137 - - 137 117
-------------------- -------------------- ---------------------- ----------------------- --------------------
Total income 9,195 382 - 9,577 9,688
-------------------- -------------------- -------------------- ----------------- --------------------
Expenditure on:
Raising funds
•Fundraising costs 1,380 - - 1,380 1,417
•Fundraising events costs 279 - - 279 230
•Shops and lottery 2,567 - - 2,567 2,390
expenditure
•Investment management 20 - - 20 19
costs
-------------------- -------------------- -------------------- -------------------- --------------------
4,246 - - 4,246 4,056
Charitable activities -------------------- -------------------- -------------------- -------------------- --------------------
•Inpatient services 1,901 197 - 2098 1,867
•Outpatient services 628 43 - 671 593
•Community services 1,660 111 - 1,771 1,855
•General clinical support 1,106 5 - 1,111 1,312
-------------------- -------------------- -------------------- --------------------- --------------------
5,295 356 - 5,651 5,627
-------------------- ------------------ -------------------- --------------------- --------------------
Total expenditure 7 9,541 356 - 9,897 9,683
-------------------- ------------------ -------------------- --------------------- --------------------
Net income/(Expenditure)
before gains/(losses) on
investments (346) 26 - 320 5
Net gains on investments 11 190 - 12 202 150
Pension revaluation gain - - - - 14
-------------------- ------------------ ---------------- --------------------- ---------------------
Net income/(Expenditure) 6 (156) 26 12 (118) 169
======== ======== ======== ======== ========

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ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES (continued) (Including an Income and Expenditure Account) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
Unrestricted Restricted Endowment Total Total
funds funds Funds 2024 2023
Notes £’000 £’000 £’000 £’000 £’000
----- End of picture text -----

Net income 6 (156) 26 12 (118) 169
Transfer between funds - - - - -
-------------------- -------------------- -------------------- -------------------- --------------------
Net movement in funds (156) 26 12 (118) 169
Reconciliation of funds
Total funds brought forward 12,651 - 228 12,879 12,710
-------------------- -------------------- -------------------- -------------------- --------------------
Total funds carried forward 12,495 26 240 12,761 12,879
======== ======== ======== ======== ========

All amounts relate to continuing activities. There are no recognised gains or losses for the current or preceding financial year other than as shown above, therefore no Statement of Total Recognised Gains & Losses has been presented. Income and expenditure by fund for the year ended 31 December 2023 is given in note 19 to the accounts.

The net result of the charity’s own activities for 2024 was a loss of £271,224 (2023: £187,745).

The notes on pages 33 to 52 form part of these accounts.

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. CHARITY AND GROUP BALANCE SHEETS AT 31 DECEMBER 2024

----- Start of picture text -----
Group Charity
2024 2023 2024 2023
Notes £’000 £’000 £’000 £’000
----- End of picture text -----

FIXED ASSETS
Tangible assets 10 5,613 5,806 5,233 5,294
Investments 11 4,182 4,011 4,182 4,011
-------------------- -------------------- -------------------- --------------------
9,795 9,817 9,415 9,305
-------------------- -------------------- -------------------- --------------------
CURRENT ASSETS
Debtors 12 2,466 2,140 3,052 2,747
Cash at bank and in hand 1,331 1,717 983 1,491
-------------------- -------------------- -------------------- --------------------
3,797 3,857 4,035 4,238
CURRENT LIABILITIES
Creditors: amounts falling 13 (734) (625) (592) (494)
due within one year -------------------- -------------------- -------------------- --------------------
NET CURRENT ASSETS 3,063 3,232 3,443 3,744
-------------------- -------------------- -------------------- --------------------
Long term liabilities
(Pension defcit)		 20 (97) (170) (97) (170)
-------------------- -------------------- -------------------- --------------------
NET ASSETS 14 12,761 12,879 12,761 12,879
-------------------- -------------------- -------------------- --------------------
Represented by
Unrestricted funds
Designated funds 7,324 7,478 7,324 7,478
General fund 5,171 5,173 5,171 5,173
-------------------- -------------------- -------------------- --------------------
12,495 12,651 12,495 12,651
Endowment funds 240 228 240 228
Restricted funds 26 - 26 -
-------------------- -------------------- -------------------- --------------------
15 12,761 12,879 12,761 12,879
========= ========= ========= =========

The financial statements were approved and authorised for issue by the Board of Trustees on 12 June 2025

and signed on their behalf by:

M Lustman

Chair of Trustees

The notes on pages 33-52 form part of these accounts.

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ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. STATEMENT OF CONSOLIDATED CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
2024 2023
£’000 £’000 £’000 £’000
----- End of picture text -----

Cash fows from operating activities:
Net cash fow provided by/(used in) operating activities (note A)		 (423) (748)
Cash fows from investing activities:
Dividends, interest and rents from investments 136 117
Purchase of property, plant and equipment (57) (884)
Disposal of investments 872 374
Acquisition of investments (946) (479)
Change in investment cash 105 105
Pension creditor revaluation (73) (61)
-------------------- --------------------
Net cash used in investing activities 37 (828)
-------------------- --------------------
Change in cash and cash equivalents in the reporting (386) (1,576)
period
Cash and cash equivalents at the beginning of the 1,717 3,293
reporting period
-------------------- --------------------
Cash and cash equivalents at the end of the reporting period 1,331 1,717
-------------------- --------------------
A ) Reconciliation of net (expenditure)/income to net cash
flow from operating activities
2024 2023
£’000 £’000
Net income for the reporting period
(as per the statement of fnancial activities) (118) 169
Adjustments for:
Depreciation charges 250 183
Losses/(gains) on investments (202) (150)
Gain on pension revaluation (-) (14)
Dividends, interest and rents from investments (136) (117)
Decrease/(increase) in debtors (326) (765)
Increase/(decrease) in creditors 109 (61)
Other - 7
-------------------- --------------------
Net cash fow provided in/(used in) operating activities (423) (748)
====== ======
Analysis of cash and cash equivalents
Cash at bank and in hand 1,331 1,717
-------------------- --------------------
Total cash and cash equivalents 1,331 1,717
ANALYSIS OF NET DEBT Balance Cash
Other		 Balance
at 1.1.24 fows non-cash at
changes 31.12.24
£’000 £’000 £’000 £’000
Cash and bank 1,717 (386) - 1,331
====== ====== ====== ======

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. CHARITY AND GROUP BALANCE SHEETS AT 31 DEC 2024 NOTES TO THE FINANCIAL STATEMENTS

1. ACCOUNTING POLICIES

The principal accounting policies adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows:

(i) Basis of preparation

The financial statements have been prepared in accordance with the Statement of Recommended Practice for Charities (SORP 2015) (Second Edition, effective 1 January 2019), the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006.

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).

(ii) Critical accounting judgements and key sources of estimation uncertainty

In the application of the accounting policies, trustees are required to make judgement, estimates, and assumptions about the carrying value 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 ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affected current and future periods.

Judgements made by the trustees, in the application of these accounting policies that have significant effect on the financial statements and estimates with a significant risk of material adjustment in the next year are deemed to be in relation to the depreciation rates of tangible fixed assets and accruing for legacies which have not yet been received.

In the view of the trustees, no assumptions concerning the future or estimation uncertainty affecting assets or liabilities at the balance sheet date are likely to result in a material adjustment to their carrying amounts in the next financial year.

(iii) Financial instruments

Basic financial instruments are initially recognised at transaction value and subsequently measured at amortised costs with the exception of investments which are held at fair value. Financial assets held amortised cost comprise cash at bank and in hand, together with trade and other debtors. A specific provision is made for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held in instant access bank accounts and used as working capital. Financial liabilities held at amortised cost comprise all creditors except social security and other taxes and provisions.

(iv) Preparation of accounts on a going concern basis

The trustees consider there are no material uncertainties about the charity’s ability to continue as a going concern. The review of our financial position, reserves levels and future plans gives trustees confidence the charity remains a going concern for the foreseeable future.

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32

ST LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR YEAR ENDED 31 DECEMBER 2024

(v) Consolidation

These accounts consolidate the results of the charity and its wholly owned subsidiary, St Luke’s Hospice (Harrow & Brent) Charity Shops Limited, on a line-byline basis. A separate Income and Expenditure Account and Statement of Financial Activities is not presented for the charity alone as permitted by the Companies Act 2006 and Charities SORP.

(vi) Income

Income from donations, legacies and grants are recognised where there is entitlement, probability of receipt and the amount can be measured with sufficient reliability. Donations include related gift aid income.

The Shops company acts as agent to sell items donated with a gift aid declaration and to pass the resulting cash donations to the Hospice rather than record them as turnover within the Shops Company. The Hospice also receives the gift aid claimed on these donations.

Legacies are included when the Hospice becomes entitled to the funds and the sum receivable can be reliably quantified. Where they rely on the sale of property or investments, and thus do not have a certain valuation, an estimate of their value is disclosed in the notes to the financial statements.

Investment income is recognised on a receivable basis.

Income from charitable activities includes income from NHS contracts from the Harrow & Brent Clinical Commissioning Groups. They have been dealt with on a receivable basis as a contribution to running costs.

There have been no significant gifts in kind or donated goods and services during the year.

The value of services provided by volunteers is not incorporated in these financial statements. Further detail of the substantial contribution by volunteers can be found in the Report of the Trustees.

(vii) Expenditure

Expenditure is recognised when a liability is incurred. It includes VAT where this is not recoverable.

Expenditure on raising funds is the costs incurred in attracting donation income, organising and managing fundraising events, and the costs incurred in trading activities which raise funds.

Charitable activities include the Hospice care services offered to inpatients, day care patients, those receiving Hospice services in their own homes, and their carers and families. There are also a range of clinical and other services which apply to all these forms of Hospice care. These costs include both the direct costs and support costs relating to these activities.

Support costs include central functions and have been allocated to activity cost categories on a basis consistent with the use of resources, e.g., property costs by floor areas and other costs on the bases shown in Note 7.

ST LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR YEAR ENDED 31 DECEMBER 2024

Governance costs include those incurred in the governance of the charity and its assets and are primarily associated with compliance with constitutional and statutory requirements. These have been allocated to activity costs on the same basis as support costs.

(viii) Tangible fixed assets

All assets acquired costing more than £2,500 are capitalised. Leasehold properties

assets acquired prior to 2016 - over the term of the lease

assets acquired after 2016 – shorter of 5 years or the remaining term of the lease

Fixtures and equipment 20% Motor vehicles 20%

IT equipment and systems 20%

The freehold property is not depreciated as the amount of depreciation is considered to be immaterial.

Tangible fixed assets are held at cost and (except for the freehold property) depreciated on a straight line basis over their estimated useful lives as follows.

(ix) Investments

Investments are initially recognised at their transaction cost and subsequently valued at fair value at the Balance Sheet date, unless fair value cannot be measured reliably in which case it is measured at cost less impairment. Investment gains and losses, whether realised or unrealised, are combined and shown in the heading ‘Net gains/(losses) on investments’ in the Statement of Financial Activities.

(x) Funds

General funds are unrestricted funds which are available for use at the discretion of the Trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes.

Designated funds comprise unrestricted funds that have been set aside by the Trustees for particular purposes.

Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donors or which have been raised by the charity for specific purposes.

Endowment funds are restricted funds which are to be retained for the benefit of the charity as a capital fund.

The Hospice has a number of restricted income and capital funds. Details of the funds are given in the notes to the financial statements.

(xi) Pensions

The Group currently offers a qualifying defined contribution pension scheme to all staff. In addition the Group is a Direction Employer under the NHS Scheme.

National Health Service Superannuation scheme

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ST LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR YEAR ENDED 31 DECEMBER 2024

This is a statutory superannuation scheme as defined in Section 6.12 (1) Income and Corporation taxes Act 1988, which has no invested funds. Contribution by employers (currently 14.3%) and members are accounted for to the Treasury and benefits are paid from the consolidated fund. This scheme is only open to staff who have been members of the NHS scheme in previous employment under the dispensation rules. The accounting charge represents the employer’s contributions for the period.

Defined Contribution Scheme (Pensions Trust)

With effect from 1 May 2015 the group also operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable under the scheme by the group. There is no liability under the scheme other than the payment of those contributions.

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
2. DONATIONS – 2024 Unrestricted Restricted Total Total
funds funds 2024 2023
£’000 £’000 £’000 £’000
----- End of picture text -----

Individual donations 215 24 239 251
In memoriam donations 202 3 205 185
Community groups 101 1 102 137
Trust fund donations 34 333 367 523
Corporate donations 115 8 123 101
Major Donors 131 13 144 65
Gift aid 146 - 146 71
Donations & gift aid from sale of goods 768 - 768 884
in our shops
-------------------- -------------------- -------------------- --------------------
1,712 382 2,094 2,217
======== ======== ======== ========

(xii) Taxation

No tax is payable due to the charitable status of the parent company. Taxable profits generated by the trading subsidiary are transferred to the parent company under gift aid.

(xiii) Leases

Operating lease rentals are charged to the Statement of Financial Activities over the period of the lease.

(xiv) Legal status

The charitable company is limited by Guarantee and does not have any share capital.

(xv) Employee benefits

Short term benefits including holiday pay are recognised as an expense in the period in which the service is received. Termination benefits are accounted for on an accrual basis and in line with FRS 102.

Fundraising events in 2024 raised £236,052 (2023: £251,257).

----- Start of picture text -----
DONATIONS – 2023 Unrestricted Restricted Total
funds funds 2024
£’000 £’000 £’000
----- End of picture text -----

Individual donations 234 17 251
In memoriam donations 181 4 185
Community groups 126 11 137
Trust fund donations 135 388 523
Corporate donations 101 0 101
Major Donors 52 13 65
Gift aid 71 - 71
Donations & gift aid from sale of goods 884 - 884
in our shops
-------------------- -------------------- --------------------
1,784 433 2,217
======== ======== ========

(xvi) Debtors

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

(xvii) Cash at bank and in hand

Cash at bank and cash in hand includes cash and short term highly liquid investments.

3. LEGACIES

£1,753,661 has been recognised from legacies for 2024 (2023: £995,627) using the Hospice’s accounting policy and principles of (i) Entitlement exists; (ii) receipt is probable; and (iii) the amount is measurable. Where there is any uncertainty regarding any of those principles, or the legacy could be contested, these have not been included in our accounts.

(xiii) Creditors and provisions

Creditors and provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due.

37

36

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

4. INCOME AND EXPENDITURE FROM SHOPS AND LOTTERY

The Charity owns the entire share capital of St Luke’s Hospice (Harrow & Brent) Charity Shops Limited, a company registered in England and Wales, which operates charity shops in support of the Hospice funding. The subsidiary transfers to the Hospice under gift aid an amount not less than its taxable profits.

A summary of the trading results of the subsidiary is shown below. Audited accounts have been prepared in respect of the trading period for the year ended 31 December 2024.

----- Start of picture text -----
INCOME & EXPENDITURE FROM SHOPS & LOTTERY Total Total
2024 2023
£’000 £’000
----- End of picture text -----

Turnover 2,060 2,158
Income from lottery 249 253
Government grants 15 -
-------------------- --------------------
2,324 2,411
-------------------- --------------------
Cost of sale of purchased goods - 4
Administration expenses 2,081 1,960
Lottery expenditure and prizes 90 90
-------------------- --------------------
Gross direct expenditure of shops and lottery 2,171 2,054
-------------------- --------------------
Net direct income from shops and lottery 153 357
Lease costs relating to shops owned by Charity (66) (66)
Donations of goods under gift aid 659 707
Lottery Prizes donated by Players 10 14
-------------------- --------------------
Contribution generated by Charity Shops Ltd 756 1,012
======== ========

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

5. CHARITABLE ACTIVITIES - 2024 Unrestricted
funds
£’000
Restricted
funds
£’000
Total
2024
£’000
Total
2023
£’000
NHS commissioning income 3,007 - 3,007 3,596
-------------------- -------------------- -------------------- --------------------
3,007 - 3,007 3,596
Other funding 25 - 25 100
-------------------- -------------------- -------------------- --------------------
3,032 - 3,032 3,696
======== ======== ======== ========

NHS commissioning income in 2023 includes funding to deliver Fast Track Brokerage of Care. The current contract runs to September 2025.

CHARITABLE ACTIVITIES - 2023 Unrestricted
funds
£’000
Restricted
funds
£’000
Total
2023
£’000
NHS commissioning income 3,596 - 3,596
Other funding 100 - 100
-------------------- -------------------- --------------------
3,696 - 3,696
6. NET (EXPENDITURE)/INCOME ======== ======== Total
2024
Total
2023
£’000
£’000
========
Net income is stated after charging:
Depreciation 250
183
Auditor’s remuneration 27
18
Other fees payable to auditors 15
12
Operating lease rental 616
525
========
========

39

38

2024
Total
£’000		 5,238 106 227 884 1,372 -------------------- 7,827 -------------------- 191 315 374 410 646 134 - -------------------- 2,070 -------------------- 9,897 ======== 9,683 2023
Total
£’000		 5,479 128 210 945 1,213 -------------------- 7,975 -------------------- 217 130 361 311 431 254 4 -------------------- 1,708 -------------------- 9,683 ======== 9,023 ========
General
clinical
support
£’000		 339 - - - 394 -------------------- 733 -------------------- 14 72 80 74 102 36 - -------------------- 378 -------------------- 1,111 ======== 1,313 General
clinical
support
£’000		 402 - 210 - 386 -------------------- 998 -------------------- 16 30 77 56 67 69 - -------------------- 316 -------------------- 1,313 ======== 1,136 ========
Community
services
£’000		 1,556 - - 21 -------------------- 1,577 -------------------- 14 50 38 35 40 17 - -------------------- 194 -------------------- 1,771 ======== 1,855 Community
services
£’000		 1,656 - - - 40 -------------------- 1,696 -------------------- 16 21 36 26 27 33 - -------------------- 159 -------------------- 1,855 ======== 1,782 ========
Out Patient
services
£’000		 315 - - - 80 -------------------- 395 -------------------- 14 48 24 14 168 8 - -------------------- 276 -------------------- 671 ======== 593 Out Patient
services
£’000		 330 - - - 65 -------------------- 395 -------------------- 16 19 24 11 112 15 - -------------------- 198 -------------------- 593 ======== 545 ========
Inpatient
services
£’000		 1,102 106 227 - 104 -------------------- 1,539 -------------------- 14 72 45 102 272 54 - -------------------- 559 -------------------- 2,098 ======== 1,867 Inpatient
services
£’000		 1,157 128 - - 132 -------------------- 1,417 -------------------- 16 30 43 78 181 102 - -------------------- 450 -------------------- 1,867 ======== 1,941 ========
7. EXPENDITURE – 2024
Shops &
Investment
Basis of
Allocation
Fundraising
costs
Fundraising
event costs
Lottery
expenses
Management
costs
£’000
£’000
£’000
£’000		 Staff costs
Direct
443
65
1,418
-		 Drugs and medical
Direct
-
-
-
-		 Catering and housekeeping
Direct
-
-
-
-		 Fundraising and community
Direct
777
107
-
-		 Other direct costs
Direct
-
-
753
20		 --------------------
--------------------
--------------------
--------------------		 1,220
172
2,171
20		 --------------------
--------------------
--------------------
--------------------		 Support costs Management
Staff time
29
29
77
-		 Quality
Staff time
13
0
60
-		 Finance
Staff time
38
38
111
-		 HR
Headcount
25
12
148
-		 Premises
Floor area
42
22
-
-		 Communication
Headcount
13
6
-
-		 Shops Lease
Amortisation
-
-
-
-		 --------------------
--------------------
--------------------
--------------------		 160
107
396
-		 --------------------
--------------------
--------------------
--------------------		 Total expenditure
2024
1,380
279
2,567
20		 ========
========
========
========		 Total expenditure
2023
1,417
230
2,390
19		 • The lease rentals relating to two shops are allocated wholly to Shops and Lottery Expenses. ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024 7. EXPENDITURE – 2023
Shops &
Investment
Basis of
Allocation
Fundraising
costs
Fundraising
event costs
Lottery
expenses
Management
costs
£’000
£’000
£’000
£’000		 Staff costs
Direct
391
60
1,483
-		 Drugs and medical
Direct
-
-
-
-		 Catering and housekeeping
Direct
-
-
-
-		 Fundraising and community
Direct
880
65
-
-		 Other direct costs
Direct
-
-
571
19		 --------------------
--------------------
--------------------
--------------------		 1,271
125
2,054
19		 --------------------
--------------------
--------------------
--------------------		 Support costs Management
Staff time
33
33
87
-		 Quality
Staff time
5
0
25
-		 Finance
Staff time
36
36
109
-		 HR
Headcount
19
9
112
-		 Premises
Floor area
29
15
0
-		 Gen overheads
Headcount
24
11
0
-		 Shops Lease
Amortisation
-
-
4
-		 --------------------
--------------------
--------------------
--------------------		 146
104
336
-		 --------------------
--------------------
--------------------
--------------------		 Total expenditure
2023
1,417
230
2,390
19		 ========
========
========
========		 Total expenditure
2022
625
245
2,726
23		 ========
========
========
========		 • The lease rentals relating to two shops are allocated wholly to Shops and Lottery Expenses.

41

40

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD.

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
8. STAFF COSTS AND NUMBERS Total Total
2024 2023
£’000 £’000
----- End of picture text -----

Salaries and wages 5,052 4,930
Social security costs 486 470
Pension costs 324 330
-------------------- --------------------
Total 5,862 5,730
======== ========
Average number of employees (full time equivalents)
Hospice 79 82
Shops 43 49
-------------------- --------------------
122 131
======== ========

There were on average 143 people employed (2023 – 152) full and part time. The employees were supported by 521 unpaid volunteers during the year (2023: 497).

Pension costs include an amount of £31,849 (202 – £32,191) paid in respect of death in service cover for employees of the company.

Ex Gratia payments made during the year were £13,108 (2023 – £14,169).

The total remuneration for Key Management Personnel included in staff costs above is £540,569 (2023: £546,711).

The number of staff with remuneration in excess of £60,000 were as follows:

----- Start of picture text -----
£ 2024 2023
----- End of picture text -----

£60,000 - £70,000 1 3
£70,000 - £80,000 2 3
£80,000 - £90,000 3 -
£90,000 - £100,000 - 1
£100,000 - £110,000 1 -

9. TRUSTEES

None of the trustees received any remuneration or benefits in kind from the charitable company (2023: Nil). Trustees did not claim any expenses on behalf of the charity during the year (2023:Nil).

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

10. TANGIBLE FIXED ASSETS
GROUP		 Freehold
properties
£’000		 Leasehold
properties
£’000		 Fixtures &
equipment
£’000		 Motor
vehicles
£’000		 Total
£’000
Group
Cost
Opening balance 4,932 1,194 573 11 6,710
Additions - 3 54 - 57
Disposals - (277) (8) (11) (296)
-------------------- -------------------- -------------------- -------------------- --------------------
Closing balance 4,932 920 619 - 6,471
-------------------- -------------------- -------------------- -------------------- --------------------
Depreciation
Opening balance - 682 211 11 904
Charge for the year - 135 115 - 250
Disposals - (277) (8) (11) (296)
-------------------- -------------------- -------------------- -------------------- --------------------
Closing balance - 540 318 - 858
-------------------- -------------------- -------------------- -------------------- --------------------
Net Book Value
At 31 December 2024 4,932 380 301 - 5,613
======== ======== ======== ======== ========
At 31 December 2023 4,932 512 362 - 5,806
======== ======== ======== ======== ========
10. TANGIBLE FIXED ASSETS
CHARITY		 Freehold
properties
£’000		 Leasehold
properties
£’000		 Fixtures &
equipment
£’000		 Motor
vehicles
£’000		 Total
£’000
Charity
Cost
Opening balance 4,932 33 563 - 5,528
Additions - - 54 - 54
Disposals - ( 33 ) - - ( 33 )
-------------------- -------------------- -------------------- -------------------- --------------------
Closing balance 4,932 - 617 - 5,549
-------------------- -------------------- -------------------- -------------------- --------------------
Depreciation
Opening balance - 33 201 - 233
Charge for the year - 115 - 115
Disposals - ( 33 ) - - ( 33 )
-------------------- -------------------- -------------------- -------------------- --------------------
Closing balance - - 316 - 316
-------------------- -------------------- -------------------- -------------------- --------------------
Net Book Value
At 31 December 2024 4,932 - 301 - 5,233
======== ======== ======== ======== ========
At 31 December 2023 4,932 - 362 - 5,294
======== ======== ======== ======== ========

Freehold properties otherwise represents the acquisition and conversion costs of Kenton Grange between 1992 and 2002 shown at historic cost and the costs of building the Woodgrange Centre completed in 2015.

43

42

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
11. INVESTMENTS Total Total
2024 2023
Market value at 1 January 2024 4,011 3,861
Additions 946 479
Disposals (872) (374)
Realised and unrealised gains 202 150
Movement in investment cash (105) (105)
-------------------- --------------------
Market value at 31 December 2024 4,182 4,011
======== ========
12. DEBTORS: amounts falling due Group Charity
with one year 2024 2023 2024 2023
£’000 £’000 £’000 £’000
Trade debtors
Other debtors
Prepayments and accrued income 179 60 179 60
Amounts owed by subsidiary undertaking 141 134 40 77
2,146 1,946 1,931 1,731
- - 902 879
-------------------- -------------------- -------------------- --------------------
2,466 2,140 3,052 2,747
======== ======== ======== ========
13. CREDITORS: amounts falling due Group Charity
within one year 2024 2023 2024 2023
£’000 £’000 £’000 £’000
Trade creditors 209 170 156 155
Taxation and social security 170 175 139 142
Accruals and deferred income 355 280 297 197
-------------------- -------------------- -------------------- --------------------
734 625 592 494
======== ======== ======== ========
----- End of picture text -----

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

14. ANALYSIS OF NET ASSETS
SETS BETWEEN FUNDS -
GROUP – 2024		 Unrestricted funds
General
Designated
£’000
£’000		 Unrestricted funds
General
Designated
£’000
£’000		 Endowment
Funds
£’000		 Restricted
Funds
£’000		 Total
2024
£’000
Tangible fxed assets - 5,613 - - 5,613
Investments 2,531 1,411 240 - 4,182
Net current assets 2,737 300 - 26 3,063
Long term liabilities (97) - - - (97)
-------------------- -------------------- -------------------- -------------------- --------------------
Net assets 5,171 7,324 240 26 12,761
======== ======== ======== ======== ========
ANALYSIS OF NET ASSETS
BETWEEN FUNDS -
GROUP – 2023		 Unrestricted funds
General
Designated
£’000
£’000		 Endowment
Funds
£’000		 Restricted
Funds
£’000		 Total
2024
£’000
Tangible fxed assets - 5,806 - - 5,806
Investments 2,411 1,372 228 - 4,011
Net current assets 2,932
300		 - - 3,232
Long term liabilities (170) - - - (170)
-------------------- -------------------- -------------------- -------------------- --------------------
Net assets 5,173 7,478 228 0 12,879
======== ======== ======== ======== ========
ANALYSIS OF NET ASSETS
BETWEEN FUNDS -
CHARITY – 2024		 Unrestricted funds
General
Designated
£’000
£’000		 Endowment
Funds
£’000		 Restricted
Funds
£’000		 Total
2024
£’000
Tangible fxed assets - 5,233 - - 5,233
Investments 2,531 1,411 240 - 4,182
Net current assets/ 2,737 680 - 26 3,443
(liabilities)
Long term liabilities (97) - - - (97)
-------------------- -------------------- -------------------- -------------------- --------------------
Net assets 5,171 7,324 240 26 12,761
======== ======== ======== ======== ========

45

44

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

14. ANALYSIS OF NET
ASSETS BETWEEN FUNDS
- CHARITY – 2023		 Unrestricted funds
General
Designated
£’000
£’000		 Unrestricted funds
General
Designated
£’000
£’000		 Unrestricted funds
General
Designated
£’000
£’000		 Unrestricted funds
General
Designated
£’000
£’000		 Endowment
Restricted
Funds
Funds
£’000
£’000		 Endowment
Restricted
Funds
Funds
£’000
£’000		 Endowment
Restricted
Funds
Funds
£’000
£’000		 Total
2024
£’000
Tangible fxed assets - 5,294 - - 5,294
Investments 2,411 1,372 228 - 4,011
Net current assets/ 2,932 812 - - 3,744
(liabilities)
Long term liabilities (170) - - - (170)
-------------------- -------------------- -------------------- -------------------- --------------------
Net assets 5,173 7,478 228 - 12,879
======== ======== ======== ======== ========
15. FUNDS – 2024 Opening
Balance
£’000		 Income
£’000		 Expenditure
£’000		 Investment
Gains/
Losses
£’000
Transfer/
Pension
Surplus
£’000		 Closing
Balance
£’000
Restricted funds
Inpatient care funds - 196 (196) - - -
Outpatient care funds - 63 (63) - - -
Community care funds - 112 (92) - - 20
General Clinical funds - 5 (5) - - -
Capital funds - 6 - - - 6
Fundraising Programme - - - - - -
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total restricted funds - 382 (356) - - 26
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Endowment funds
Alice Wisbey Capital Fund 25 - - 1 - 26
D D McPhail 203 - - 11 - 214
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total endowment funds 228 - - 12 - 240
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Unrestricted funds
Designated fxed asset fund 5,294 - - - (61) 5,233
Designated shops assets fund 512 - - - (132) 380
Designated risk
management fund 1,372 - - 39 - 1,411
Pension liability reserve 300 - - - - 300
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total designated funds 7,478 - - 39 (193) 7,324
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Unrestricted funds
General charitable funds 5,173 6,872 (7,371) 151 346 5,171
General non-charitable
trading funds - 2,324 (2,171) - (153) -
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total general funds 5,173 9,196 (9,542) 151 193 5,171
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total unrestricted funds 12,651 9,196 (9,542) 190
-		 12,495
-------------------- -------------------- -------------------- -------------------- -------------------- ------------
Total funds 12,879 9,578 (9,898) 202 - 12,761
======== ======== ======== ======== ======== ========

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
15. FUNDS – 2023
Opening Investment Closing
Balance Income Expenditure Gains/ Transfer/ Balance
£’000 £’000 £’000 £’000 £’000 £’000
----- End of picture text -----

Restricted funds
Inpatient care funds - 146 (146) - - -
Outpatient care funds - 156 (156) - - -
Community care funds - 112 (112) - - -
General Clinical funds - 20 (20) - - -
Capital funds 76 - - - (76) -
Fundraising Programme - - - - - -
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total restricted funds 76 433 (433) - (76) -
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Endowment funds
Alice Wisbey Capital Fund 24 - - 1 - 25
D D McPhail 190 - - 13 - 203
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total endowment funds 214 - - 14 - 228
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Unrestricted funds
Designated fxed asset fund 5,065 - - - 229 5,294
Designated shops assets fund 41 - - - 471 512
Designated risk -
management fund 1,498 - - (126) - 1,372
Pension liability reserve 300 - - - - 300
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total designated funds 6,904 - - (126) 700 7,478
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Unrestricted funds
General charitable funds 5,516 6,847 (7,186) 264 (268) 5,173
General non-charitable
trading funds - 2,411 (2,054) - (357) -
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total general funds 5,516 9,258 (9,240) 264 (625) 5,173
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total unrestricted funds 12,420 9,258 (9,240) 138 76 12,651
-------------------- -------------------- -------------------- -------------------- -------------------- --------------------
Total funds 12,710 9,691 (9,673) 151 - 12,879
======== ======== ======== ======== ======== ========

47

46

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

15. FUNDS (continued)

A Pension Liability Reserve was set up in 2016 to reflect potential increases in the pension liability. When it was provided in full in 2017, the reserve was reduced. The balance in this fund will be used towards the cost of any future buy-out of the liability.

The late Mrs Alice Wisbey made a bequest to the Hospice with the instruction that the income therefrom should be applied for the comfort of the nursing staff. This is split between Income and Capital funds.

The restricted funds represent grants and donations received, from Trusts and individuals, where the use of the funds was restricted to a specific purpose by the donor. These funds have included contributions towards the cost of our Inpatient unit, Day care services, Community and Homecare services, to the provision of complementary therapies and a number of other items.

The D D McPhail Charitable Settlement originally gave £150,000 as an endowment fund. No instructions were given about income so this is applied for the general purposes of the charity. The difference between the original fund value and the current fund value arises through revaluation of the underlying investment.

The designated fixed asset fund represents the net book value of the Hospice’s fixed assets. It has been set up to assist in identifying funds which are not free funds. Similarly, the designated shops asset fund has been set up to identify fixed assets of the shops company not covered by their working capital.

The designated risk management fund is intended to cover unexpected costs or income shortfalls, ensuring the long-term sustainability of the Hospice. The balance in this fund as at 31 December 2024 was £1,411k (2023 - £1,371k) most of which is managed by Rathbones, our investment manager.

The deficit arising out of the operating activities during the year resulted in the decrease in unrestricted general charitable funds of £700k (2023 - increase £231k).

The general funds represent the unrestricted funds of the group and are therefore “free reserves”.

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

16. OPERATING LEASE COMMITMENTS Group
2024
2023
£’000
£’000		 Group
2024
2023
£’000
£’000		 Charity
2024
2023
£’000
£’000		 Charity
2024
2023
£’000
£’000
Amounts due:
Within 1 year
Within two to fve years
After fve years		 434
1,191
666		 501
1,189
802		 66
158
10		 69
206
31
-------------------- -------------------- -------------------- --------------------
2,291 2,492 234 306
======== ======== ======== ========

17. CAPITAL COMMITMENTS

The group has committed to a cost of £60k feasibility study on the premises of Kenton Grange. Based on the feasibility report capital refurbishment is likely to take place in the year 2025. (2023: none).

18. RELATED PARTY TRANSACTIONS

During the year, Trustees, Executive Team members and their close family members donated £325 and purchased £208 worth of Lottery tickets from the Hospice (2023: £1,120). There were no other transactions with related parties during the year (2023: none).

----- Start of picture text -----
19. STATEMENT OF FINANCIAL Unrestricted Restricted Endowment Total
ACTIVITIES IN THE PREVIOUS funds Funds Funds 2023
YEAR (2023) £’000 £’000 £’000 £’000
----- End of picture text -----

Income from:
Donations and legacies
•Donations 1,784 433 - 2,217
•Legacies 996 - - 996
-------------------- -------------------- -------------------- --------------------
2,780 433 - 3,213
Charitable Activities -------------------- -------------------- -------------------- --------------------
•NHS commissioning 3,596 - - 3,596
•Other income 100 - - 100
-------------------- -------------------- -------------------- --------------------
3,696 - - 3,696
-------------------- -------------------- --------------- --------------------
Other trading activities
•Fundraising events 251 - - 251
•Gross income from shops and lottery 2,411 - - 2,411
-------------------- -------------------- -------------------- --------------------
2,662 - - 2,662
-------------------- -------------------- -------------------- --------------------
Investments 117 - - 117
-------------------- -------------------- -------------------- --------------------
Total income 9,255 433 - 9,688
-------------------- -------------------- -------------------- --------------------

49

48

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
19. STATEMENT OF FINANCIAL Unrestricted Restricted Endowment Total
ACTIVITIES IN THE PREVIOUS YEAR funds Funds Funds 2023
£’000 £’000 £’000 £’000
----- End of picture text -----

Expenditure on:
Raising funds
- Fundraising costs 1,417 - - 1,417
•Fundraising events costs 230 - - 230
•Shops and lottery expenditure 2,390 - - 2,390
•Investment management costs 19 - - 19
-------------------- -------------------- -------------------- --------------------
4,056 - - 4,056
-------------------- -------------------- -------------------- --------------------
Charitable activities
•Inpatient services 1,721 146 - 1,867
•Day care services 437 156 - 593
•Homecare services 1,743 112 - 1,855
•Overall clinical support 1,293 19 - 1,312
-------------------- -------------------- -------------------- --------------------
5,194 433 - 5,627
-------------------- -------------------- -------------------- --------------------
Total expenditure 9,250 433 - 9,683
-------------------- -------------------- -------------------- --------------------
Net Income before
gains on investments 5 - - 5
Net (losses)/gains on investments 150 - - 150
Pension revaluation gain 14 - - 14
-------------------- -------------------- -------------------- --------------------
Net Income 169 - - 169
======== ======== ======== ========

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

20. THE CAREER AVERAGE REVALUED EARNING SCHEME (THE PENSIONS TRUST)

Up until 1st May 2015, the group offered a multi-employer pension scheme providing a defined benefit (career average) pension for members.

The company participated in the scheme, a multi-employer scheme which provides benefits to some 36 non-associated employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable it to account for the scheme as a defined benefit scheme. Therefore, it accounts for the scheme as a defined contribution scheme.

The scheme is subject to the funding legislation outlined in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, set out the framework for funding defined benefit occupational pension schemes in the UK.

The scheme is classified as a ‘last-man standing arrangement’. Therefore, the company is potentially liable for other participating employers’ obligations if those employers are unable to meet their share of the scheme deficit following withdrawal from the scheme. Participating employers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme.

A full actuarial valuation for the scheme was carried out at 30 September 2022. This valuation showed assets of £49.6m, liabilities of £57.1m and a deficit of £7.5m. To eliminate this funding shortfall, the Pension Trustee asked the participating employers to pay additional contributions to fund the scheme deficit of £1.67m. The recovery plan contributions are allocated to each participating employer in line with their estimated share of the scheme liabilities and increase by 3% per annum on 1st April each year. It was anticipated that the deficit would be cleared by 31st March 2027.

During 2024, St Luke’s contributed £72,229 towards the deficit (2023 - £69,272).

Note that the previous valuation was carried out with an effective date of 30th September 2019. This valuation showed assets of £79m, liabilities of £93.9m and a deficit of £14.9m. To eliminate this funding shortfall, the Pension Trustee asked the participating employers to pay additional contributions to fund the scheme deficit. Annual deficit contributions by participating employers then total £1.53m pa due to the annual 3% increases, and the deficit to be cleared by 30th September 2027.

Where the scheme is in deficit and where the company has agreed to a deficit funding arrangement the company recognises a liability for this obligation. The amount recognised is the net present value of the deficit reduction contributions payable under the agreement that relates to the deficit. The present value is calculated using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance cost.

PRESENT VALUES OF PROVISION 31 December 2024 31 December 2023
(£000s) (£000s)
Present value of provision 162 226
======== ========

51

50

ST. LUKE’S HOSPICE (HARROW & BRENT) LTD.

NOTES TO THE FINANCIAL STATEMENTS (continued) FOR THE YEAR ENDED 31 DECEMBER 2024

----- Start of picture text -----
20. THE CAREER AVERAGE REVALUED EARNING SCHEME 2024 2023
(PENSIONS TRUST) (continued) £’000 £’000
RECONCILIATION OF OPENING AND CLOSING PROVISIONS
----- End of picture text -----

Provision at start of period 226 310
Unwinding of the discount factor (interest expense)
Defcit contribution paid		 9
(73)		 14
(69)
Remeasurements - impact of any change in assumptions - 1
Remeasurements – amendments to the contribution schedule - (30)
------------- -------------
Provision at end of period 162 226
====== ======
2024 2023
£’000 £’000
Amounts due within one year 74 72
Amounts due after one year 97 170
------------- -------------
171 242
====== ======

*includes defined contribution schemes and future service contributions (i.e. excluding any deficit reduction payments) to defined benefit schemes which are treated as defined contribution schemes.

----- Start of picture text -----
ASSUMPTIONS 31 December 2024 31 December 2023
% per annum % per annum
Rate of discount 4.96 4.74
======== ========
----- End of picture text -----

The discount rates shown above are the equivalent single discount rates which, when used to discount the future recovery plan contributions due, would give the same results as using a full AA corporate bond yield curve to discount the same recovery plan contributions.

10. REFERENCE AND ADMINISTRATIVE INFORMATION

Company Number 02141770

Charity Number 298555

Registered Office

Kenton Grange, Kenton Road, Harrow, Middlesex HA3 0YG

The trustees, who are also directors under company law, who served during the year and up to the date of this report were as follows:

Trustees

Margaret Lustman (Chair of Trustees) Dr Carole Amobi – resigned 24/1/2024 Natalie Butler Liz Jewitt-Cross (Chair of People Committee) -resigned 13/03/25 Sarah Gigg Christine Glenn (Chair of Remuneration Committee) Paul Hill (Chair of Finance & Performance Committee) Sarah Livingston (Chair of Clinical Governance Committee) Jatin Patel (Chair of Audit & Risk Committee) Chandia Radia

Neel Radia Professor Stephen Spiro (Vice Chair) Raj Thakrar Claire Melia-Tompkins

Key management personnel Chief Executive Officer

Lindsey Bennister

Medical Director Dr Charles Daniels – resigned 31/12/24 Director of Clinical Services Claire Porter – appointed 29/7/2024 Director of Operations Fran Deane Director of Finance Geethanjali Umaasuthan Director of People & Organisational Development Lorna Campbell - resigned 19/03/25 Director of Fundraising & Communications Joanna Pearce

Dr Charles Daniels – resigned 31/12/24 Claire Porter – appointed 29/7/2024 Fran Deane Geethanjali Umaasuthan

Principal Bankers Barclays Bank plc, Leicester LE87 2BB

Auditors

HaysMac LLP, 10 Queen Street Place, London EC4R 1AG

Rathbone Investment Management 8 Finsbury Circus, London EC2M 7AZ

Investment Managers

Solicitors

Curry Popeck, Devonshire House, 582 Honeypot Lane, Middlesex, HA7 1JS BDB Pitmans LLP, One Bartholomew Close, London EC1A 7BL

Website

www.stlukes-hospice.org

53

52

St. Luke’s Hospice (Harrow & Brent) Ltd

St Luke’s Hospice, Kenton Grange, 385 Kenton Road, Harrow, HA3 0YG

t: 020 8382 8000 e: info@stlukes-hospice.org stlukeshospice stlukeshospice @StLukesHarrow Registered Charity Number: 298555 Company Number: 02141770.

54

St. Luke's Hospice (Harrow & Brent) Llmlted Annual Report & Consolidated Financial Statements For the year ended 31 December 2024 Charity Number". 298555 Company Number.. 02141770

Contents Page 1. Introduction from Chair of trustees 2. About St Luke's Hospice a. Vision b. Values . strategy 2025-2028 d. Main activities 3. Service review 4. Stralegic report a. Achievements and perfomance b. The year ahead c. Volunteers d. Relationships with stakeholders 5. StruGlure, governanGe and management a. Public benef1t b. Corporate structur8 Governance d. Appointment of trustees e. Trustee induction and training f. PrinGipal risks g. Our people h. Remuneration policy for key management personnel Diversity, equality and inclusion Environmental impact- energy and carbon reporting 10 6. Financial performance a. Financial performance b. Fundraising approach. controls and performance c. Retail and lottery perforrnance d. Reserves policy e. Inveslment poliGy 14 7. Statement of responsibilities of the trustees 19 8. Indèpendent Auditors. Reporl 20 g. Financial staternents 23 10. Reference and administrative information 45

  1. INTRODUCTION FROM THE CHAIR OF TRUSTEES In 2024 we continued to pmvide valuable and valued palliative and end-of-llfe servlces to the Harrow and Brent communities across our core and ngw services at a tin7e of rfslng demand in a challenging environment With over 30 years, experience, Sl Luke's continues lo strive lo ensure that our services reflect the community's needs and that our future can be assured in order lo serve and support future generations. The positive experience of helping more patients and families with our wlder portfolio of services is a true achievement, only possible due to the hard work of our team and the generosity of our voSunleers and supporters. Over the past year il has become even more evident that change is needed in the hospice sector generally and St Luke's is no exception. As a Board, we have approved a new Strategy that focuses on aligning improved quality of care with reinvigorated resources to match the evolving needs of our patients and their families. To do this at a lime of ongoing f1nancial pressures requires optionality, intelligence and resilience, all of which we are beginning lo weave into the fabric of our organisalion. Furthermore il has become necessary to address long-term investment into our landmark bullding. Kenton Grange. The need to modernise the space that is so important lo our day- and in-palienls and their families as well as our teams has become Pressing and we recognise that a mulli-year programme of development and investment will be required. Given that Iransformalion of this scale requires lime and careful planning, there is a shared understanding that the charity's financial outcomes will be challenging in the short term. Nolwithslarnding this slralegic perspective. the Board is committed to be financially responsible and to restoring the organisation lo a position whereby costs are fulty covered by more sustainable income streams. Despilo the Un￿rtaInty that change and challenge present. our work is important and we are bSessed wth a strong community of supporters whose generosity is outstanding. I would also like lo acknowledge the efforts of all teams. volunteers and ITuslees whose hard work is so appreciated. There is much still lo be done and we are confident that. with the continued backing of all our valuable supporters and our excellent team, we will find the Sl Luke's future model for the next 30 years and more. Meg Lustman

  2. ABOUT ST LUKE'S HOSPICE al Vision A world where people experien￿ the best possible last phase of life. bl Values Caring- CaTe of all Ih05e who deliver and need our services Respect- Demonslrale respect and be open minded, inclusive and approachable Excellence Create an environment of continually achieving our goals Inclusivity- Strive to reach all sections cif our COTnmunity in 811 areas of work Empowerment- Empower our community to Ive a better lffje c) Strategy 2025.28 DuTing 2024, Sl Luke's developed a new three year strategy. It refflecls the diverse and Increasing needs of our community for end-of-life support and care, and the challengiro external funding1andscape for charitable hospices. The London boroughs of Harrow and Brent are bNo of the most ethnically and culluTally diverse boroughs in London, with high rates of depriv81ion. Our populations in these boroughs are also ageing, and across the UK more people are dying or living with lrfe-limiting conditions. Our strategy focuses on adapting our care services lo improve provision and ac￿SIbilIty for our community. We will do this by working wth the NHS. other charltable hospices, local government and communities in the London boroughs of HaTrow and Brent. Al the heart of our slr8legy is our response lo the financial challenges that the charitable hospice sector is facing where funding has not kept pace with rising costs, increased demand and the changing needs of our population. Our strategy reflects the urgent need lo achieve sustainable funding for St Luke's Hospice in both the short- and longer-lerm. We have three Strategic Goals. wK(h associated delivery priorities, and activities that form the hospice's operational plan.

  3. Quallty of care We will be the best hospice we can possibly be. providing high quality and compassionate hospice care and stjpport lo all people and their families who come into Sl Luke's or require our care al horne. Our dglivgry priorities:
  4. Deliver responsive, personalised, high-quality, and compassionate care and support lo more people and their families.
  5. Provide early support lo individuals with lrfe-limiting illnesses, helping them maintain their quality of lrfe.
  6. Improve the PTOViSiOn of high-quality compassionate care using our clinical quality framework.
  7. Enhance our compliance wth best practi￿$ and regulatory standards throughout all a$p￿lS of our operations. To achieve this, we will.. Implement a new model of setvice delivery. Investigate opportunities for enhancing the use of our hospice ward linpalient unill lo match the needs of the population and improve the hospice's sustainability.

Expand and promote our Pall 24 Helpline as a single point of access for patients and families lo expert advice, care and support 24 hours a day. Introduce a new Living Well programme lo provide early support. reflecting the views of people with lived experience and other local stakeholders. Expand our respite care and support service for patients and carers through increased engagement with 8ervice users, local partners and improved referrals. Expand our bereavement support service including.. Introduce home visits lo ensure equity of aC￿sS to bereavement support. Introdu￿ a model of bereavement support for children and young people, supported by aclivilies and events for children and young people, working collaboratively with stakeholderslagencies in this field. Design an educational programme for clinical staff that is aligned with service needs and theiT ¢ompelency framework. Deliver an enhanced programme of audit, quality irnprov8m8nl projects and research. 2. Serving our communtty We will embed ourselves at the heart of our local communty through increased engagement and by working in partnership lo provide high quality and Compassionate hospice care and support lo our community. Our dellvery prlorttles.. 1. Strengthen St Luke's role as a leading voice in palliative care in Harrow and Brent, by Providing advi￿, guidance, and education, partnership with health, social care, and mmunily organisalions. 2. Build our relationships with our local community lo establish Sl Luke's as the charity of choice for palliative care, support, and advice in Harrow and Brent. 3. Expand our engagernenl with diverse communities lo better understand their needs and enhance our care and support services. To achieve this, we will.. Engage with local NHS primary care providers to increase knowledge and understanding of Sl Luke's services and increase referrals, particularly in areas of the boroughs where referrals are currently low. Engage with local NHS Truslslsecondary care providers lo ensure effective working relationships and understanding of our services, and to increase referrals. Establish partnerships with local aulhorilylvoSuntary sector organisations lo Improve knowledge of Sl Luke's services and support for patients and families. Develop and sustain meaningful collaboration wilh1ocal faith leaders and community groups. Develop opportunities lo provide expert training on palliative care lo external partners including local health and social care organisalions and voluntary sector. Increase public awareness of St Luke's care and services through enhanced communications including digital marketing. 3. Sustainability We will deliver strong leadership, financial stability, and dependable income sources, supported by a skilled team of employees and volunteers ready to face future challenges. Our delivery priortties: Create dependable and efficient revenue sources through our fundraising campaigns, relaiS and other commercial aclivilies.

  1. Work with our NHS partners lo secure equitable and sustainable ftjnding for our clinical services.
  2. Create an organisalion culluTe where people are valued, included, and developed lo perfoTm lo the best of their abilities lo deliver Sl Luke's strategic goals.
  3. Design our estates and infrastructure lo be responsive lo the current and future needs of Sl Luke's and our cornmunily. To achieve this, we wlll: Focus our fundraising on activities that maximise income generation and achieve year- on-year growth. Implement the recommendations of our retail strategy review to maximise the profil contribution of our retail network. Play a leading role in the development and implementation of North West London Integrated Care Board's new Model of Care for community specialist paS1iative care in Harrow and Brent, making the case for sustainable funding for charitable hospices. Develop policies to SiJPPDrt Equity, Diversity, Inclusion in the workplace. Introduce individual objectives and personal development planning for all staff through a new Appralsal Policy. Review our arrangernents for pay, reward and recognition. Develop and promote wellbeing initiatives for slaff and volunteers including Mental Health First-Aiders. Determine future opportunities for our estsles including Kenton Grange. exploring commercial ventures and partnership possibilities. Key enablers To deliver our strategic goals, our strategy is underpinned and enabled by.. Sound financial management.. robust finances and targets,. accurate analysis,. and accurate and tirllely management information.
  4. Creative and innovative communiGalions and marketing tsilored lo our target audiences and aimed al raising the profile of Sl Luke's as we endeavour lo be the best hospice we can possibly be. dl Main Activities The Charity's main focus is lo provide specialist palliative Gare lo the people of Harrow and Brent facir@ lrfe~IiTniting illnesses. Our care includes.. Communil based care We provide specialised care for patients and families with life-limiting conditions within their own homes, including specialist palliative care nursing, crisis response care. and respite care, delivered by our Hospice at Home team and specialist palliative care nuTses. Two-thirds of our care is provided in the comfort of peoples, homes, as we respect that this is where most people would like lo be looked after. Our specialist community team of nurses helps people to manage more complex needs whilst our Hospice at Home team provides care that allows people lo remain in their own homes by providing practical care and support. Our consullanls offeT oulpatlent appointments in the community and also at the hospice's main building, Kenton Grange. In alient Unf( We provide specialist care lo patients who can't be cared for in the community, including symptom control, specialist respite care and end of life care delivered by a multi-disciplinary team of nurses, doctors, healthcare assislanls, physiolherapisls and social Workers.

Our 12-bed inpalienl unil IIPUI al Kenton Grange cares for people in their final days, providing intensive care lo help get symptoms under control or give respite care. Many of those who are cared for in our IPU often return home again. Patient and Famil Su ort Services We provide a programme of emotional and practical support lo patients and their families living with life-limiting conditions. delivered by our specialist team of palliative care social workers, family support workers, and trained volunteers. Our services are intended to keep people feeling well, independent and mobile for as long as possible. OUT hglislic approach lo care is intended lo support people's wellbeing, including emotional support through services such as social work, spiritual care, exercise groups. advice on welfare benefits, advance care planning SUPPOTI, complementary therapy and physiolherapy services. In addition to caring for our patients. vve also provide bereavement support lo family membeTS and carers, through our team of trained. supervised volunteers. Pall 24 We provide 24-hour expert support lo patients, families and professionals over the telephone, delivered by our experienced clinical staff. Our team provides advice, a rapid response in limes of crisis and effectively co-ordinates care, from arranging prescriptions, lo gelling vital equipment delivered - anything people need to avoid going to hospital and lo stay comfortably in their homes. 3. SERVICE REVIEW Our service activity data reports for the financial p8riod 1 April 202410 31 March 2025. in line with Ictal slalulory reporting requirements. St Luke's Hospi￿ supported 2020 service users12023', 20691. Our speryalist palliative care community team (Brenll carried out 2072 visits lo patients in their homes, which represents an increase of 10Yo from the previous year12023'. 18841. Our Inpalienl unil saw 212 admissions in 2024, which is consistent wth admisslons In 2023. The Inpalienl unit continues lo accept admission 7 days a week which resulted in 39 weekend admissions in 2024. A particular highlight for 2024 is the incTea5ed activity across all areas of patient and family support services to promote and support independence, acknowledging the power and benef11s of bringing people together to socialise and learn from each other. We implemented additional group activities to reach more people across our service, pre and post bereavement, including walk and talk, chair yoga, sound relaxation and retreat days. We provided 2207 social work sessions compared lo 2119 in 2023 (an increase of 4010) and this service continues to grow into 2025 reflecting the demand for psycho-social and emotional support. We recruited an additional 35 volunteers within the bereavement and complementary Iher8Py services. All volunteers in these services receive ongoing Iraining, supervision and reflective practice. We supported a larger group of people affected by complex psychosocial issues, for example. unsettled immigration slalus, homelessness and mental ill-heallh. Our team received commendation from North West London ICB for our work on Reducing Health Inequalities.

  1. STRATEGIC REPORT a. Achievements and Performance In the 2023 Annual Report and Slalulory Accounts, the following de5ivery priorities were idents'fied for 2024.
  2. We wlll dellver a new strategy for 2025-2028 During 2024, Sl Luke's developed a new strategy focused on three Strategic Goals.. Quality of Care, Serving our Community and Sustainability. The strategy started in January 2025 and is Supported by a detailed operational plan and KPI'S, and quarterly reporting to the Board of trustees.
  3. We wlll work with the North West London ICB on the development of a new Mod91 of Care During 2024, we have been a key partner in the North Wesl London ICB'S work programme to develop a new Model of Care for community specialist palliative care services. This included Sl Luke's Hospice invoSvement In advisory 8nd working groups, consullalions, and working in partnership with NHS and charity OTganisalions to plan the implementation of the new Model of Care. Alongside, we have Teviewed our own clinical seTvice model, involving service users and clinical teams lo consider how we can better meet the needs of our populations of Harrow and Brent. Our new service model will be implemented during 2025.
  4. We will improve the perforniance and contribution of our retail network Sl Luke's Hospice Charity Shops Ltd (a trading company solely owned by St Luke's Hospice) experienced a downturn in profil in 2023 which was forecast lo continue into 2024 and 2025. This was a result of lower sales, poorer quality donations, a fall in footfall on the high street, and increased costs due lo inflation across our network of 16 shops, all factors experience across the charity retail sector. Our retail network contributes a third of our total income each year. Urgent actions were implemented from the start of 2024 to improve performance. We commissioned the Charity Retail Consultancy lo carry out a retail strategy review. We updated the governance of our trading company lo enhance oversight and decision-making. We restructured the leadership of the retail company, introducing new charity retail expertise into the business. We de5ivered a bespoke retail management development programme. We improved the alignment between retail and hospice central teams including enhanced marketing and communications support.
  5. We will implemgnt new fundraising initiativos inGluding a new lottery partnershlp and we will joln national campaigns that will incrèase awareness of hosplce fundlng as well as fundralsing. Sl Luke's Hospice has entered into a new lollery arrangement with Local Hospice Lottery partnership, moving from in-house delivery during 2025. We took part in the Big Give fundraising campaign for the first lime, ralslng £30k. We participated in a Hospice UK National Legacy Campaign with 143 hospices across the UK lo raise the importance and awareness of leaving Gifts in Wills. We undertook an external review of our fundraising lo plan for growth and efficiencie5 in the years ahead. We participated in Hospice UK national campalgns lo raise awareness of the funding challenges for hospices. In October, we hosted a visit from OUT local MP, Gareth Thomas,

who wrote lo the North Wesl London ICB on our behalf about the need for a more equitable funding model for charitable hospices. 5. We will prioritisg the delivgry of our strategic ambitions around developing and valuing our People. Good progress has been made in slrengihening our people processes and infraslruclure. We introduced a new learning and development programme across the hospice, including lunchtime sessions. online training opportunities and a hospice-wide management programme, People Managemenl- th& Ess&ntials. which has been allended by all rnanagers. A bespoke programme for retail managers was also implemented, and Work started on a nurse competency framework. The clinical education team launched a new approach to supporting refiective practice for clinicians. The People Committee and Remuneration Committee were established, providing governance and strategic thought leadership. The internal People Policy Review Group was established to review arid update our people policies, with a target completion dale of December 2025. We retained Investors In People IIIPI accredilalion and undertook an IIP staff Survey. A new focus on individual and personal development planning was introduced, to be expanded during 2025. 6. We will ensure that St Luke's estate Is flt for purpose and flt for the future to deliver the servlces our local community needs at end of life. In 2024, we commissioned a Feasibility Study of our hospice building, Kenton Grange, by Newmark la propety consultancy with expertise in health and charity seclorsl. Newmark provided options for the long-lerm suslainabilily of Kenton Grange, identifying a planned maintenance programme for the next 10 years. The recommendations and strategic implications will be considered by the Board of trustees during 2025 and a programme of capital works will follow. b. The Year Ahead In 2025, we will deliver a programme of actwilies that meet our d81iv8ry priorities set out in the Strategy 2025-2028 (see section 2.c Strategy 2025-20281. Progress will be reported in the Annual Report and Sialulory Accounts for 2025. In addition, the Board of trustees have approved three key transformation projects that are of highest Priority wlh strategic implications for the future suslainabilily of the hospice. 1. Sl Luke's Service Model - shaping the future of our care Determining how our services will support the needs of our local population and community. 2. Kenton Grange Redevelopment Project Determining how our hospice building will support our service model and meet the needs of our local community. 3. NHS Funding and ICB Model of Care for Community Specialist Palliative Care Services Determining how we can achieve equitable and sustainable funding for our clinical services as a charlty and co-commi8sioner of specialist palliative Gare serVi￿S in Harr¢)w and Brent. Volunteers Al St Luke's, we are fortunate lo have a dedicated community of volunteers who contribute their lime and skills across most areas of our charity. From our award-winning gardening team of volunteers lo the mmilled volunteers supporting our retsil shops, their efforts are instrumental in helping us fulfil our mission of providing high-quality palliative and end-of-life care for the communities of HarTOW and Brent.

Throughout 2024, our hospice volunteer numbers increased from 497 in 202310 521 in 2024. refiecting the ongoing dedication and commitment of our volunteers. In December, we were able lo celebrate and recognise 41 volunteers who have worked for us for more than f1ve years. with a handfu1 of volunteers celebrating their 20 years of servi￿. Volunteers are crucial In the delwery of our services for patients and families. Our trained volunteers assist bereaved families in person OT by phone through our bereavement programme and in 2024, we were delighted that the team won the prestigious Harrow Heroes Team of the Year award. We continued lo successfully recruit volunteers for key areas. induding bereavBmenl support, complemen13ry therapy, reception seTVfES, retail, gardening, and Offi￿ support, further enhancing the compassionate ￿re we provide. We are truly grateful for the unwavering generosity of our volunteers, whose contributions make a meaningful difference to the lives of our patients and their families. d. Relationship with Stakeholders Sl Luke's Hospice places great value on engagement with OUT stakeholders. building positive relationships across all areas of our work. In 2024, a Priority for Improvement was the development of a Patient Engagement Strategy, and we have introdu￿d new and engaging ways lo seek and receive feedback from our service users and their families. Vve strive lo build strong relationships with our local community, working with a range of faith groups, schocils, businesses and local organisalions lo raise community awareness of our work and the services we provide. We were delighted lo join together with the Trustees of the Shree Swatninarayan Mandir Ki￿SbUry lo be part of their Temple's len-year celebrations and lo host their spiritual leader during the summer of 2024. We were also very grateful to OUT Patron, The Lord Popal, for hosting a magnificent reception on our behalf al the House of Lords for over one hundred of our community and key stakeholders. We continue to work closety with our NHS and local authority partners, including the local ICB, London North West University Hospitals NHS Foundation Trust and Brent Council Social SeNices. We are grateful for the interest and engagement from local Trusts and Foundations who fund our work, and voluntary sector partners. Our relationships with our charity hospice partners in the area remain strong, providing opportunities lo share knO￿edge and experience, expertise and resources whenever possible, and working in partnership. We engage with our staff across the hospice and our relai1 network through staff surveys, 'Slaff Conversation, events with the CEO, and regular communications lo keep staff informed and engaged. Many of our staff volunteer lo help at fundraising events and we are very grateful for their engagement and support. 5. STRUCTURE. GOVERNANCE AND MANAGEMENT Reference and administratNe infomation sel out al the end of the report form part of the formal report. The purpos8 of the charity, as set out in ils Articles of Association are'The relief of sickness and the eseTvalion of health of those suffering from any life limiting illness, primarily but not exclusively, within the areas of the London Boroughs of Harrow and Brenl by.. maintaining a Hospice providing palliative and end of lrfe care for them in a range of settings.. 10

  1. promoting and providing servI￿s, support and care for them, their families, friends, and carers to help relieve physical, emotional, mental, or spiritual distress.,
  2. promoting and providing education about all aspects of palliative and end of life care,. carrying out research into the development and improvement of care seNices. in particular all aspects of palliative and end of life care., and
  3. promoting and providing other services and support in such ways as the Iruslees shall from time lo lime think fil through the prOvis￿n of health and social care Servi￿ of all types.. Public Benefit The charity exists lo provide a palliatThie care end of lrfe service for the Tesidenls of Harrow and Brent. In reviewing the objectives and activities for the year, the trustees have satisfied themselves that all our charitable activities focus on that care and further our charitable purposes for the public benefit. The Iruslees lake into account Charity Commission guidance in this regard. The charity is a local organisalion providing professional and compassionate servi￿$ lo the community in Harrow and Brenl.11 receives the majority of ils funding from local individuals and organisalions (including local NHS commissioning), the￿f0￿ beneficiaries are mainly {allhough not exclusively} from the London boroughs of Harrow and Brent. b. Corporate Structurg The Articles of Association govern the charity and set out its charitable objectives and powers. In 2023, updated Articles of Association were adopted with Charity Commission consent. Th8 organisalion is a charitable company limited by guarantee. incorporated on 22 June 1987. Sl. Luke's Hospice IHarrow & Brenll Ltd. has a wholly owned trading subsidiary, St. Luke's Hospice (Harrow & Brent} Charity Shops Ltd (company number 02454552} through which il operates a ne￿Ort¢ of charity shops and a lottery. The trading subsidiary exists lo maximise income for the hospice and a11 profits are donated lo St Luke's Hospice using Grfl Aid regulations. In 2024, a governance review was carried out for the trading company and new Articles of Association and Deed of Covenant were approved and adopted by the Board of Iruslees. In addition, a review of the lottery wa5 undertaken an plans approved to move lo an external lollery provider which will be fully implemented in 2025. Governance Sl Luke's Hospice is governed by a Board of trustees which meets al least 4 limes a year. The Board of Iruslees is responsible for setting the strategic direction of the hospice. Additional Board business is carried out between formal meetings in line with procedures sel out in the Articles of Association, including discussion, decisions and voting by email. In addition to attending Board meetings, every Iruslee sils on al least one Committee. The hospi￿ has fwe sub-committees.. Finance & Performance Committee {F&PI - overseeing the financial performance of th8 hospice and the delivery of 51ralegic objectives in line with resources. including income generation. marketing, IT, and eslales management. Audit and Risk Committee IA&R) - overseeing risk management, govemance. and compliance across the hospice. Clinical Governance Committee ICGC)- overseein9 all areas of governance and compliance in relation to clinical services and patient safety. People Committee {PC}- overseeing all areas of people, culluTe and organisalional development. Remunerallon Committee IRemCol- overseelng the remuneration of Senior management. The Board clelegales day-to4ay management of the charity lo the Chief Executive Officer and the Executive Team.

All Iruslees give their lirne voluntarily and receive no benefits from the charity. Any expenses reclaimed from the charity are sel out in Note 910 tho Accounts. d. Appointmgnt of Trustees Trustees, including the Chair of Iruslees, are apFX)inled by the Board following an open recruilmenl process including advertising, application and interview. The Board reviews the skills il needs in deciding selection criteria lo maintain breadth of expertise. Once appointed a Iruslee will serve for an initial lerm of 3 yeaTS, with a maximum of 3 terms. In 2024. one Iruslee resigned from the Board. e. Trustee Inductlon and TraSnlng Sl Luke's Hospice operates a thorough induelion programme for all new trustees, induding engagement with our services, and meetings Mrilh the Chief Executive Officer and members of the Executive Team. Tru$lees are provided with a comprehensive pack of information foT reference including the Charity Governance C(xle. All Iruslees are required lo complete e-learning modules via the hospice's online training portal and are also offered relevant training COUTses. Annual appraisal of all Iruslees is onducted by the Chair and Vice-chair. In addition, the Chair has an annual appraisal which is led by the Vice-chair. Principal Risks St Luke's Hospice has further embedded ils approach lo risk management during 2024. The Audit and Risk CorNmittee mel three times during the year including a meeting with the hospice's auditors lo review the audited accounts. A Board Assurance Framework and Corporate Risk Register has been embedded into practice and is supported and informed by an internal clinical governance framework. Further deve5opmenl has taken pla￿ of the Vantage incident, risk and compliance managernenl software during 2024. New modules have been implemented this year including the Care Quality Commission compliance modul8 and the complaints and compliments module. The Executive Team and the Audit and Risk Committee have agreed the organisation's principal risks which are regularly reviewed. Organisalional policies and procedures are in place in relation to the principal risks. Risk Clinical Services Management l Mitigations Education and training provisiors Competency programme5 Arrangements foT clinical and consultant oncall Finance and Performance Committee Regular monitoring of management accoun1$ and financial position Approved budget for financial year Appointed auditors Financial recovery plan for 2025 and beyond Strategic objectives Board and Executive Team away days for strategic planning Internal staff engagement and communications Staff survey Regular meetings with commissioners Contract in place Provision of monthly activity and quality data Financial sustainability Transforrnation Commissioning 12

Governance and compliance Clinical Governance Commlttee and Board18vel committees Internal governance groups Risk, incident and complaint management Patient feedback measures and strategy Renumeralion Committee Specialist advisor support Contracts of employment Structural surveys Planned maintenance programme Strategic plan for building upgrade External expert advisors Risk assessment Audit and monitoring programmes Training and education External IT contractor Cyber securty Safeguarding lead and Iruslee with responsibility for safeguarding Safeguarding training and compliance monitoring Freedom to Speak Up Guardian Health and Safety Group and Audit and Risk Commrttee Health and Safety competent advisors Various risk assessment Business Continuity Plan Communications and marketing team Mailings, social media and engag8menl events People Committee Recruilmenl, probationary and appraisal processes Competency programrnes Mandatory training and exlemal training opportunities Education team People Committee Dwerse recruilmenl methods Information Governance Group Data Protection Officer, Senior Information Risk Officer, Caldicoll Guardian Compliance with the Data Security and Protection Toolkit {DSPT) Employment law, HR and payroll compliance The environment Infection prevention and control Infrastructure Safeguarding Health and safety Communication and engagement Workforce capability Workforce recruf(menl Data governan￿, security, Privacy and quality g. Our People There were, on average, 143 full-lime and part-time IFfipTI staff employed In 2024 in the hospice and the hOspi￿'S Shops company12023.. ￿lPT staff 1521. Staff FTIPT Shops Company Hospice Total Year 2024 50 93 143 Year 2023 54 98 152 In 2024, a total of 52112023.. 497} ￿Ople volunteered at Sl Luke's Hospice- 411 in retail, and 110 in the hospice. 13

h. Remuneration Policy for Key Management Pèrsonnel The Rernuneralion Committee consists of the Chair of trustees, Vice Chair of trustees, Chair of Financo & Performance Committee, and is chaired by a fourth tTUStee.11 has delegated responsibility from the Board for pay and remuneration of the Chief Executive Officer and Executive Team. In 2024. an external agency was commissioned lo carry out a benchmarking exercise for Executive Team salaries and benefits with reference to hospice, public, charity and private sectors. Diversityi Equity and Inclusion In 2024, we refreshed our Dignity al Work policies and Flexible Work policies. In 2025. staff will be engaged in setting the EDI agenda as part of the development of a new Equity. Diversity and Inclusion strategy for the hospice. Environmental Impact - Energy and Carbon Reporting We progressed with a number of initiatives in 2024 10 improve our impact on the environment. We commissioned a building survey of our Kenton Grange sile to understand the general ondilion and remedia5 work required to ensure the building remains in a salisfaclory operating condition. We commissioned a Energy Performance Certificate Survey al the start of 2025 in order to understand the Kenton Grange sile's current energy efficiency. Recommendations made by the assessor for potentially improving the energy performance of the building will be reviewed and ncorporaled into the buildings planned prevenlalive maintenance programme where practically and economically feasible. We worked with our waste management provider lo ensure that we are prepared for the changes in guidelines for recycling for workplaces and commercia1 waste collections from March 2025. We continued our recycling progamme including plastics, papers. balleries, loner cartridges and the recycling of rag across our retail operation. We introduced electri¢ v4ns for our retail operation. We paused other initiatives such as the replacement of windows whilst we inv6sligale the structural repairs required al our Kenton Grange sile. 6. FINANCIAL PERFORMANCE a. Financial Performance In 2024, the Hospice Group recorded a deficit of £118k12023.' surplus £169k). Compared to last year. this represents an increase of £758k in legacies, a £664k decrease in contract income (out of which £640k relates to Ageing well programmel, a £38k rise in investment gains. a £214k increase in costs due lo inflation, and a £204k Teduclion in contributions from our shops. The Charity's income arises from.. 2024 £000 3,032 2,330 1,754 2,324 137 9,577 2023 £000 3,696 2,468 Increasel{decreasel ConlTact income Fundraising Legacies Shops Company, including the lottery Interest & dividend Total income excluding unrealised investment gains. {18Yol {60/01 2,411 117 9,688 {40/01 {1 ¥0) 14

The Group's total income decreased by 1 /01£287kl compared lo the previous year, prior lo accounting for unrealised investment gains and losses. There has been a 760fi1£758kl increase in legacy income and a 180101£664k} reduction in contract income primarily due lo the non-renewal of the Ageing Well fijnding programme {£640kl. All other operational in¢ome streams Saw reductions. Total group costs increased by 20/0. driven by irfflation and investment in IT infrastructure including EMIS {£50k). Communication and marketing expenses have been reclassified from fundraising costs lo enlral support costs during the year. The net profil contribution from the Shops Company saw year on year decline in 2024 as a result of shop closures, a drop in sales, and higher costs related lo new vehicle leases, propety dilapidation. and the full-year impact of the new Waverley warehouse. As a result of the operating deficit and delayed cash receipt from legacies, cash reserves declined from £1.7 million lo £1.3 million and total reserves declined from £12.8m to £12.7m. b. Fundraising Approach. Controls and Performance Performance Sl Luke's Hospice is dedicated lo engaging and collaborating with its local community, whilst also maintaining high standards of fundraising and lollery activity. In a particularly challenging income generating environment for Ihe hospice sector, Sl Luke's is immensely appreciative of the continued commitment of our local communities of Harrow and Brent lo all our work in the past year. A 29 /0 income growth was achieved in 2024, resulting in a gross contribution from Fundraising of over £3.5m. This was madè up of £1.3m fr()m multiple fundraising income streams {Individual Giving, In-memory, Corporate and Community, Major Donors, Trusts and Foundations and Gift Aid), as well as Legacies, Events and from the Lottery. The lottery contribution and perfomance are reported within the Shops company performance section below. Gffts in Wills remain our largest income stream with £1,753k being received from over 40 legacies, and 2024 ended with a very healthy legacy pipeline, the highest in the last five years. We remain incredibly grateful for those people who choose to remember Sl Luke's Hospice in their Wills. The Big Give campaign lo Support our Nurses. a new initiative for Sl Luke's, raised just over £27k, with over 139 donations {23 of which were new support8rs}. In-memory saw significant growth from MuchLoved Iribule pages, with donations increasing from £39k in 2023, to over £84k in 2024. Events income was slightly down on the previous year, and in 2025 we will concentrate on fewer events, and re-brand our flagship event lo boost income. The Annual Walk, in f(s 27th year, exceeded expeclalions, bringing in over £80k with 70 walkers 18king lo the Shropshire Hills for a four-day walking challenge. A fundraising review, und8rlak8n by Compton Fundraising Consullanls, was conducted at the end of the year to analyse our activity, database, supporter journeys and performance. As a result, a blueprint and fundraising roadmap has been developed, focusing on growth, efficiencies and sustainability for 2025 and beyond. In 2024, Sl Luke's was incredibly grateful lo receive tremendous support from local businesses, charitable Trusts and Foundations and grant-giving funds of a51 sizes. Our huge thanks to all those listed and those who prefer lo remain anonymous.. 15

Albert Hunt Trust., Ardwick Trust,. Arja Samaj Middlesex Hindu Charty UK,. Bell Container Trading,. Bloomberg,. Brent Health Mallers,. Caron Kealing Foundation., Cecil Rosen Foundation,. Charterhouse Accountants,. City Bridge Foundation,. D S Cohen Charitable Trust., The February Foundation., Hamilton Wallace Trust., H8rapan Trust., Hodge Foundation,. Hospital Saturday Fund.. Jean and Derek King Charitable Trust,. The Kingsbury Charity,. Lenore Reynell Trust., Mahavir Trust,. MAPS Medical Benevolent Charitable Trust., Middlesex Mark Benevolent Fund,. M K Charitable Trusl,- National Lottery Community Fund., RUB White Charitable Trust,. Screwfix Foundation,. SPAR {UKI', The Arts Society Harrow,. The Woltson Foundation., and Toureen Group. 2. Controls Sl Luke's Hospice has voluntarily registered wlh the Fundraising R￿Ulator, is a member of Hospice UK, the Hospi￿ Lollery Association and the Hospice Income Generation NelMork IHIGNI. In 2024, the Lottery remained in-house (pending a move to Local Hospi￿ Lollery in 20251 and is licensed rith the Gambling Commission. Sl Luke's also signed up lo the national Hospice UK Legacy Campaign in 2024, joining together with 142 other hospices a¢r05s the country lo promote the importance of leaving gifts in will. Sl Luke's 1$ ¢ommitled lo operating within the Fundraising Code of Practice, empSoying a team of paid colleagues to deliver our fundraising and communications activities. Many of our fundraisers are also members of the Chartered Inslilule of Fundraising. We have a dedicated supporter care team responsible for data maintenance and record-keeplng lo comply with Fundraising Regulator requirements. In the period of 1 January to 31 December, we received f1ve fundraising complaints, all of which were minor, and were investigated and resolved lo the supporter's satisfaction. From time lo time, Sl Luke's engages with professional Ihird-party suppliers lo help raise funds, particularly where we do not have the expertise in-house. including mailing houses and fundraising agencies, lo undertake some direct mailings aTTrd telephone appeals. Sl Luke's also contracts services lo Legacy Link, a legacy adminislralion company, to administer legacy donations. The Hospice is also signed up to the Fundraising Preference Service to enable individuals to Dpl out of fundraising communications from us. and we received one request through this service in the past year. The Director of Communications and Fundraising is a member of the internal Information Governance Group and a member of the Fundraising team allends the hospice's Health and Safety Group. The team also liaise dosely with, and seek guidan￿ from, the Data Protection Officer lo ensure data processing is in line with GDPR Compliant procedures. All fundraising activities are Teported lo the Finance and Performance Committee on a quarterly basis by the Director of Communications and Fundraising. The fundraising team will COT)linue to build on the strategies implemented this year to steward existing donors and acquire new supporters lo generate and increase income for Sl Luke's Hospice in the new financial year. c. Retail and Lottery Pgrformanco Sl Luke's Hospice Shops Company Ltd continued lo geneTale profits in support of the Hospice's vital work and servicès. Over the past iwo years, we experienced a decline in profitability whlch persisted into 2024. This was driven by a combination of factors affecting the wider charity retail sector, including lower sales, reduced quality and volume of donations, declining high street foorfall, shop closures and rising costs due to inflation across our ne￿ork. The costs also increased due lo new vehicle leasing, cost of dilapidations and full year new warehouse operational cost. The nel contribution from all retail activity lincluding e<0mmer￿} for 2024 was £153,054, down from £357,525 in 2023. Although quality of the

donated goods remained low, our shops continued lo benefit from strong community support. During the year, one shop closed due lo the expiry of ils lease. By the end Df 2024, the Shops Company operated 16 retail oullels. To address these challenges and begin a retail turnaround, we implemented several key actions during 2024.. Commlssloned a Retall Strategy Revlew.. The Charity Retail Consultancy was engaged lo carry Out a comprehensive review of our retail operations. Strengthenod Governancg: We updated the governance structure of the Shops Company lo improve oversight and support beller decision-making. Rgstructured Leadershlp: A new leadership structure and skills were introduced, bringing in charity retail expertise lo guide the business. Developed Managomgnt Capabilities: A bespoke retail management development Programme was delivered lo upskill our team. During 2024, we received 112023.. 6} complaints in relation lo our retail ne￿ork. Si Luke's Hospice currently operates an in-house lollery, which is licensed by the Gambling Commission. St Luke's is a member of the Hospice Lottery Association. and provides regular weekly data and regulatory returns to the Gambling Commission as requested. However, the cost of running the lottery, Combined with declining player numbers and cancellations, has led to a decision to outsource this activity lo the Local Hospice Lottery for 2025. Lollery income made a £249k contribution lo the hospice in 2024 la decline in income since 20231 with around 3,600 players participating in the weekly game. Player retention is the key focus al the present time for the lottery, and pro-active recruitment for players will follow once the lollery has been outsourced. d. Reserves Pollcy The Board of Trustees Reserves Policy aims lo maintain six months of total expenditure as reserves. Adequate resetves also ensures that there are sufficient liquid funds available to meet unexpected shortfalls in ils funding streams, liming drfferences in Teceipl of those funds, or sudden increases in costs. The Finance and Performance Committee of the Board of Trustees reviews the Reserves Policy in line with future anlicipaled financial demands of the Charity. In 2024, reserves of £4,948k (six months total expenditure of £9.8971, compared ID £4,842k in 2023 (six months lolal expenditure of £9,683kl wi15 be considered adequate by the Board of Trustees lo meet the policy. Total free reserves excltjding Fixed asset reserve and designated funds held al 31 Gl December 2024. as per the table below, were £5,171 k. This is just above the required £4,948k of six-monlh operational cost. Therefore, the Trustees confirm the compliance of the Charity's Reserves Policy. The Risk Management Reserve of £1,411 k was estsblished lo help the Hospice address any operational risk that could arise in the future. Comprehensive details about the Pen$ion Deficit Reserve can be found in Note 20 to the Accounts.

As al 31st December 2024, the Charitable Group held the following General and Designated Reserv88.' Fund £OOO's 2024 5,233 Tlmoling for Usg 2023 5,294 Designated Fixed Asset Fund - Hospice Designated Fixed Asset Fund - Shops TOTAL Deslgnated Flxed Asset Funds FREE RESERVES General Unreslricled Fund Risk Management Reserve Pension Deficit Reserve The designated fixed asset funds represent the nel book value of the fixed assets. These funds are idenlffied separately as they are illiquid funds and not available for use. 380 512 5.613 5,806 5,171 5,173 Available for general purposes and core costs 1,411 1.372 General Purposes - against perceiv8d potential risks to income- see below Held towards a potential future buy-out of the Defined Benefits Pension Scheme - see Note 20 of the Financial Statements Total Reserves available to spend 300 300 TOTAL LIQUID RESERVES TOTAL UNRESTRICTED FUNDS 6,882 6,845 12.495 12,651 As per Balance Sheet Investment Policy Messrs Ralhbones plc were appointed as Inveslrnenl Managers to the Charity in 2016 to manage the investment porrfolio with an initial allocation of approximately £1.6m. An additional investment of £2.5m was made in December 2021. Before placing investments on beha￿ of the Charity, the Iruslees have asked the fund managers lo screen for tobacco and health Gare companies. The fund managers report lo the Charity on a quarterfy basis. As at 3151 December 2024 the investments were valued al £4,182k {2023 - £4,011 K). Changes in the investments held are detailed in Note 11 of the Accounts. 18

  1. STATEMENT OF RESPONSIBILITIES OF THE TRUSTEES The Iruslees are responsible for preparing the Trustees, Annual Report and the financial statements in accordance with applicable law and United Kingdom Generally Accepted Accounting Practi￿ (United Kingdom Accounting Standards). Charity Law in England and Wales requires the tru51ees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and the group and of the incoming resources and application of reSoUr￿s, including the income and expenditure, of the charity and the group for that period. In preparing these financial slalemenls, the trustees are required lo.. select suitable 8ccounting policies and then apply them consistently observe the methods and principles in the Charities SORP make judgemgnts and eslimales that are reasonable and prudent slate whether applicable UK Accounting Standards have been followed subject to any material departures disclosed and explained in the financial statements prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business The Iruste8s are responsible for keeping propeT reGords that disclose with reasonable accuracy al any time the financial position of the charitable company and enable them to ensure that the financial statements comply wth the Companies Act 2006. They are also responsible for safeguarding the assets of the ¢haritable company and group and hence for taking reasonable steps for tho prevention and detection of fraud and other irregularities. So far as each of the Iruslees is aware al the lime the report is approved.. there is no relevant audit information of which the charity and group's suditors are unaware the Iruslees have taken all reasonable steps that they ought lo have taken lo make themselves aware of any relevant audit information and to establish that the auditors are aware of that information The trustees are responsible for the maintenance and integrity of the charity and f1nancial information included on the charil*s website. Legislation in the United Kingdom governing the preparation and dissemination of financial slalements may vary from legislations in their jurisdictions. Audltor On 18 November 2024 the company's auditor changed its name from Haysmacintyre LLP lo Haysmac LLP. Haysmac LLP has indicated ils willingness lo be reappointed as slalutory auditor for the next financial year. The Trustees, Report, which incorporates a Strategic Report, was approved by the Iruslees and signed on their behalf by Margaret Lustman Chair of Trustees Date 2025

INDEPENDENT AUDITORS, REPORT TO THE MEMBERS OF ST. LUKE'S HOSPICE (HARROW & BRENT) LTD We have audited the financial stalemenis of Sl. Luke's Hospi￿ (Harrow & Brenll Ltd for the year ended 31 December 2024 which comprise the Consolidaled Sialemenl of Financia1 Aclivilies, the Charity and Group Balance Sheets, the Slalemenl of Consolidated Cash Flows and notes to the financial slalements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting standard 102 The Fin8ncial Reporting Sl&nd&rd applicable in the UK grKI Republic of Ireland (United Kingdom Generally Accepted Accounting Praclicel. In our opinion, the financial slalemenls-. give a true and fair view of the slate of the group's and of the parent charitable company's affairs as at 31 December 2024 and of the group's and parent charitable company's nel movement in funds, including the income and expenditure, for the year then ended-, have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice.. and have been prepared in accordance with the Tequiremenls of the Companies Ad 2006. Basss for opinion We conducted our audit in accordance with International Standards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the AudiloT'S responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant lo our audit of the financial slalemenls in the UK, Including the FRC'S Elhica1 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 lo provide a basis for our opinion. Conclusions relating to going concgm In auditing the financial slalements, we have concluded that the Iruslees. use of the going concern basis of accounting in the preparation of the financial slalemenls is appropriate. Based on the work we have performed, we have not identffied any material uncertainties relating lo events or conditions that, individually or collectively, may cast significant doubt on the group's ability lo continue as a going concern for a period of al le851 twelve months from when the finanaal statements are aulhorised for issue. Our responsibilrf(ies and the responsibilities of the Iruslees with respect to golng concem are described In the relevant secb'ons of this report. Other information The tmstees are responsible for the other infom)ation. The other information comprises the information included in the Trustees, Annual Report and the message from the Chair. Our opinion on the financial slalemenls does not cover the other information and, except lo the extent olheNise explicitly slated in our report, we do not 8xpr8ss any form of assurance conclusion Iher80n. In connection with our audit of the financial stalemenls, our responsibillty is lo read the other information and, in doing so. consider whether the other infomalion is materially inconsistent with the financial slalemenls or our knowledge obtsined in the audit OT olhemise appears lo be materially mi88lated. If we identify such maleTial inconsistencies or apparent material misstalemenls, we are required lo determine whether there is a material misslalement in the financial slalements or a material misslatemenl of the other information. If, based on the work we have perfom)ed, we conclude that there is a material misslalement of this other information., we are required to report that fact. We have nothing lo report in this Tegard. 20

Oplnlons on other matters prescribgd by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Trustees, Annual Report (which includes the strategic report and the directors. report prepared for the purposes of company lawl for the financial year for which the financial slalemenls are prepared is Consislenl with the financial slalernenls,. and the strategic report and the directors, report included within the Trustees, Annual Report have been prepared in accordance with applicable legal requirements. Matters on which we are required to report by oxception In the light of the knowledge and understsnding of the group and the parent Charitable company and its environment obtained in the course of the audit, we have not identified material misslalements in the Trustees, Annual Report (which incorporates the strategic report and the directors, report). We have nothing lo report in respect of the following matters in relation to which the Companies Act 2006 require us to report to you rf, in our opinion.. adequate accounting records have not been kept by the parent charitable wmpany. or returns adequate for our audit have not been received from branches not visited by us., or the parent charitable company financial stateTnents are not in agreement with the accounting records and returns., or rtain disclosures of Iruslees, remuneration specrfied by law are not made.. or we have not received all the information and explanations we requir8 for our audit. Responslbllltles of trustees for the flnancial Statements As explained more fully in the trustees. responsibilities slalemenl sel out on page 19. the trustees {who are also the directors of the charitable company for the PUTposes of company lawl are responsible for the preparation of the financial slalemenls and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to gnable the preparation of financial slalements that are free from material misslalemenl, whether due lo fraud or error. In preparing the financial slalemenls, the Iruslees are responsible for assessing the group's and the parent ¢harilable 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 Iruslees either intend lo liquidate the group or the parent charitable company or lo Cease operations, or have no realistic alternative bul to do so. Auditor's responsibilities for the audit of the financial statements Our objectives are to obtain reasonable assurance about whether the financial slalemenls as a whole are free from material misstatement, whether due lo frakjd or error, and lo issue an auditor's report that includes our opinion. Reasonable assurance 15 a high level of assurance, but is not a guarantee that an audit conducled in accordance with ISAS IUKI wll always dBlecl a material misslalemenl when il exists. Misslalemenls can arise from fraud or error and are considered material rf, individually or in the aggregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance wf(h laws and regulations. We design procedures in line with our responsibilities, outlined above, lo delecl material misslalements in Tespecl of irregularities, including fraud. The exlenl to which our procedures are capable of detecting irregular(ties. including fraud is detailed below.. Based on our understanding of the gTOUP and the environment in whi¢h il operates, we identified that the principal risks of non-compliance with laws and regulations related lo Complian￿ with regulatory 21

requirements of the Care Quality Commission, Charty Commission, employment law and health and safety regulations, and we considered the extent lo which non-compliance might have a material effect on the financial slatemenls, Wo also considered those laws and regulations that have a direct impact on the preparation of the financial statements such the Companies Act 2006, the Charities Act 2011, payroll taxes and VAT. We evaluated management's In￿ntiveS and opportunities for fraudulent manipulation of the financial slalemenls (including the risk of override of conlrolsl. and determined that the principal risks were related lo recognition of income and management bias in certain accounting eslimales. Audit procedures performed by the engagement team included.. Inspecting Iruslees, meeting minutes., Inspecting correspondence with regulators and lax aulhorilies,. Discussions with management including consideration of known or suspected instances of non- compliance with laws and Tegulalion and fraud., Evaluating management's controls designed lo prevent and delect I￿egularltieS'. Identifying and lesling journals, in particular journal entries posted al the year-end or wlh unusual descriptions,. and Challenging assumptions and judgements made by management in their critical accounting estimates. Becaus& of the inherent limitations of an audiL there is a risk that we will not detect all irregularibes, including those leading to a material misstalemenl in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law OT regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely lo become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due lo fraud rather than error, as fraud involves intentional concealrnenl, forgery. collusion, omlssion or misrepresentation. A further description of our responsibilrf(ies for the audit of the financial statements is located on the Financial Reporting Council's website at.. www.frc.org.uklaudilorsresponsibililies. This descript￿n forms part of our audiltsr's report. Use of OUT rgport This report is made solely lo the charitable company's members, as a body, in accordan￿ with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we rllight stale to the charitable company's members those mallers we are required lo slate lo them in an Auditor's report and for no other purpose. To the fullest exlenl permilled 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 audr( work, for this report, or for the opinions we have formed. Lee Stokes (Senior slalulory audilorl for and on behalf of Haysmac LLP, Stalulory Auditor 10 Queen Street Place, London, EC4R 1AG 22

  1. FINANCIAL STATEMENTS ST. LUKE'S HOSPICE (HARROW & 8RENn LTD. CONSOLIDATED sfATEMENT OF FINANCIAL AcfiviTIES Ilncluding an Income and Expenditure Accountl FOR THEYEAR ENDED 31 DECEMBER 2024 Unrestrlcted Restrlcted funds Funds £'oTh) Endowment Funds E'ooo Total 2024 Total 2023 £'ooo Notes Intome from: Donotion5 ond legacie5 Donations Legacies 1.712 1,754 382 2.094 1,754 2,217 996 3,466 382 3,848 3,213 Chqritoble Artlvlties NHS commi55ioning Other incorne 3,007 25 3.007 25 3,596 loo 3,032 3,032 3,696 other trodtng Octivities Fundraisins event5 . Gr055 income from shops and lottery 236 2.324 236 2.324 251 2,411 2,560 2,560 2,662 Incomefrom Investments 137 137 117 Total income 9.195 382 9,577 9,688 Expendlture on.. Roislngfvnds FundraisinE Costs Fundraising events costs . Shops and lottery expenditure
  2. Investrnent management costs 1,380 279 2.567 20 1,380 279 2.567 20 1,417 230 2.390 19 4,246 4,246 4,056 Churftqble qctivltie5 Inpatient services Outpatient services Community services Genera￿ dtnical support 1,901 628 1,660 1.106 197 43 iii 2098 671 1,771 I,iii 1,867 593 1,855 1,312 5,295 356 5,651 5,627 Total expenditure 9.541 356 9,897 9,683 Net income/lExpendlturel before gainslllossesl on Investments Net gains on investment5 Pension revaluation gain 13461 26 13201 li 190 12 202 150 14 Net IncomellExpendlturel 11561 26 12 11181 169 23

ST. LUKE'S HOSPICE IHARROW & BRENT) LTD. CONSOLIDATED STATEMENT OF FINANCIAL AcTIV￿lEs Icontinuedl (includin8 an Income and Expenditure Attountl FOR THE YEAR ENDED 31 DECEMBER 2024 Unrestricted Restrlcted Endowment funds Funds Funds rooo £'ooo £'oc Total 2024 Total 2023 £'ooo Notes Net income Transfer between funds 11561 26 12 11181 169 Net movement In furKFs Reconriliation of funds Total funds brought forward 11561 26 12 11181 169 12,651 228 12,879 12,710 Total fund5 carried forward 12,495 26 240 12,761 12,879 All amounts relate to continuin8 attivities. There are no recoenised gains or losses for the current or preceding financial year other than as shown above, therefore no Statement of Total Recognised Gains & Losses has been presented. Income and expenditure byfund for the year ended 31 December 2023 is given in note 19 to the accounts. The net result of the charl￿5 own activitie5 ft>r 2024 was a loss of £271,22412023.' £187,745). The note5 on pages 27 to 44 fomi part ofthese accounts. 24

ST. LUKE'S HOSPICE IHARROW & BRENn LTO. CHARITY AND GROUP BALANCE SHEETS AT 31 DECEMBER 2024 Group Charlty 2024 £'ooo 2023 £'ooo 2024 rooo 2023 £'ooo Notes FIXED ASSETS Tangible assets Investments io li 5,613 4,182 5.806 4,011 5,233 4,182 5,294 4.011 9,795 9.817 9,415 9,305 CURRENT ASSETS Debtors Cash at bank and in hand 12 2,466 1.331 2,140 1,717 3,052 983 2,747 1,491 3,797 3,857 4,03S 4,238 CURRENT LIABIL￿lEs Creditors: amounts falling due within one year 13 17341 16251 15921 14941 NETCURRENT ASSETS 3,(￿3 3,232 3,443 3,744 Long term liabilities (Pènsion deficit) 20 1971 11701 1971 117L¥I NET ASSETS 14 12,761 12,879 12,761 12,879 Represented by Unrestricted fund5 Designated funds General fund 7.324 5,171 7.478 5,173 7,324 5.171 7,478 5,173 12,495 12,651 12,495 12,651 Endowment funds Restricted funds 240 26 228 240 26 228 15 12,761 12,879 12,761 12,879 The financial statements were approved and authorised for issue by the Board of Trustees on and signed on their behalf bv.. . .V4i4....2025 M Lustman Chair of Trustees The notes on pages 27 to 44 form part of these accounts. 25

ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. STATEMENT OF CONSOLIDATED CASH FLOWS FOR THE YEAR ENDED 31 DECEMBER 2024 2024 2023 rothj £'ooo £'ooo rooo Cash flow5 from operatin8 activities: Net cash flow provided by/lused inl operating activities (note Al 14231 17481 Cash flows frorn investing artivities: Dividends. interest and rents from investments Pur¢hase of property, plant and equipment Disposal of investments Acquisition of investments Change in investrnent tash Pension creditor revaluation 136 1571 872 19461 105 1731 117 18841 374 14791 105 1611 Net cash used in investing artivities 37 18281 Change in cash 8nd cash equwalent5 in the reporting period 13861 11,5761 Cash and cash equivalents at the beginning of the reporting period 1,717 3,293 Cash and cash equivalents at the end of the reporting period 1,331 1.717 A l Rècontlllatlon of net lexpènditurellln¢ome to net cash flow from operating activities 2024 £'ooo 2023 £'ooo Net income for the reporting period las per the statement of 11181 169 Adju5tment5 for.. Depreciation charges Losses/lgainsl on investments Gain on pension revaluation Dividends. interest and rents from investments Decreasellincrea5el in debtors Increase/ldecreasel in creditors other 250 12021 183 11501 1141 11171 17651 1611 11361 13261 109 Net cash flow provlded Inllused In) opèrating actlvStles 14231 17481 Analysls of cash and cash equivalents Cash at bank and In hand 1.331 1,717 Total cash and cash equlvalents 1,331 1,717 ANALYSIS OF NET DEBT Balance at 1.1.24 Cash Other flows non-ca5h changes £'ooo £'ooo 13861 Balante at 31.12.24 £'ooo 1,331 £'ooo 1,717 Cash and bank 26

ST. WKE'S HOSPICE IHARROW & BRENT) LTD. NOTES TO THE FINANCIALSTATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2024 ACCOUNTING POLICIES The princlpal accounting policie5 adopted, judgements and key sources of estimation uncertainty in the preparation of the financial statements are as follows: 111 Basls of preparatlon The financial statements have been prepared in accordance with the Statement of Recommended Practice for Charilies ISORP 20151 (Second Edition, effective l January 20191, the Financial Reporting standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006. The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are initially recognised at historical c05t or transaction value unless otherwise stated in the relevant accounting policy notelsl. 1111 Crltlcal accountlng ludgements ènd key Sources of estimation Un￿rtaInty In the application of the atcountin8 policies, trustee5 are required to make judgement, estimates, and assumption5 about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historlcal experlence and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the pÈriod of the revision and future periods if the revision affected current and future periods. judgements made by the trustees, in the application of these accounting policies that have Significant effect on the financial statèments and estimates with a si8nificant risk of material adjustrnent in the next year are deemed to be in relation to the depreciation rates of tangible fixed assets and accruing for legacies which have not yet been received. In the view of the trustee5, no a5sumption5 Con￿rning the future or estimation uncertainty affecting assets or liabilities at the b313nce Sheet date are likely to result in a material adjustrnent to their car¥ying amounts in the next finantial year. liiil Financial instruments Basic financial instruments are Initially recoÉnised at transaction value and subsequently measured at arnortised costs with the exception of investments which are held at fair value. Financial assets held amortised cost cornprise cash at bank and in hand. together with trade and other debttsrs. A specific provision is mède for debts for which recoverability is in doubt. Cash at bank and in hand is defined as all cash held ill instant access bank accounts and used as working capital. Financial liabilities held ai amortlsed cost comprise all creditors except soaal security and other taxe5 and provisions. livl Preparation of accounts on a golng concern basls The trustees consider there are no material uncertainties about the charity's ability to continue as a going concern. The review of our financi81 position, reserves levels and future plan5 gives trustee5 confidence the charity remain5 a going concern forthe foreseeable future. Iv) Con5011datlon These accounts consolidate the results of the charity and its wholly owned subsidiary, St Luke's Hospice (Harrow & Brent) Charity Shops Limited, on a line-by-line basis. A separate Income and Expenditure Account and Statement of Financial Artivities is not presented for the charity alone as permitted by the Companies Act 2006 and Charities SORP. 27

Ivll I￿oMe Income from donations, legacies and grants are recognised where there is entitlernent, probability of re￿Ipt and the amount can be measured with sufficient reliability. Donations include related gift aid income. The Shops company acts as agent to sell item5 donated with a gift ald declaration and to pass the resulbng cash donations to the Hospice rather than record them as turnover within the Shop5 Company. The Hospice also receives the gift aid claimed on these donations. Legacie5 are included when thè Hospicè bocornes entitled to the funds and the sum receivable can be reliably quantified. Where they rely on the Sale of property or investments, and thus do not have a certain valuati(>n, an estirnate of their value is disclosed in the notes to the financial statements. Investment Income is recognised on a receivable basis. Income from charitable activities includes income from NHS contracts from the Harrow & Brent Clinical Commissioning Groups. They have been dealt with on a receivable basis as a contribution to running costs. There have been no significant gifts in kind or donated goods and services duringthe year. The value of services provided by volunteers 15 not incorporated In these flnanclal staternents. Further detail of the substantial contribution by volunteers can be found in the Report of the Trustee5. Ivlll Expendlture Expenditure is recognised when a liability is incurred. It includes VAT where this is not recoverable. Expenditureon raisingfunds is the c05t5 incurred in attracting donation income. organisingand mana8ingfundraisin8 events, and the costs incurred in trading activtties which raise funds. Charitable activities include the Hospice care services offered to inpatient5, day care patients, those receiving H05pice services in their own homes, and their carers and familie5. There are a150 a range of clinical and other services which apply to 311 these forms of Hospi￿ care. These costs include both the direct costs and support costs relating to these Support costs include central funrtions and have been allocated to activity c05t categories on a basis consistent with the use of resources, e.g.. property costs by floor areas and other costs on the bases shown in Note 7. Governance costs include those incurred in the governance of the charity and its assets and are primarily associated with compliance with constitutlonal and statutory requirements. These have been allocated to activity Costs on the same basis a5 SUPPOrt Costs. Ivllll Tangiblefixed assets All assets acquired costing more than £2,500 are capitalised. Leasehold propertie5 $5ets acquired prior to 2016- over the term of the lease assets acquired after 2016-shorter of 5 years orthe remaining term of the lease Fixtures and equipment 20% Motor vehicles 20% IT equiprnent and systems 20% The freehold property is not depreciated as the amount of depreciation is considered to be ImmaterS31. Tangible fixed assets are held at C05t and (except for the freehold propertyl depreciated on a 5trai8ht line basi5 over their estlmated useful Iwes as follows. Investments Investments are initially recognised at their transaction cost and subsequently valued at fair value at the 8alance Sheet date, unless falr value cannot be measured reliably in which case it is measured at cost less impairment. Investment gain5 and 105ses, whether realised or unreali5ed. are comblned and shown in the heading 'Net gainslllossesl on inve5tmenW in the Statement of Financial Activities. 28

ST. LUKE'S HOSPICE IHARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 Funds General funds are unrestricted funds whlch a￿ available for use at the discretion of the Trustee5 in furtherance of the 8eneral objectwes of the charity and which have not been designated for other purposes. Designated fvnds comprise unrestrlcted funds that have been set aside by the Trustees for particular purposes. Restricted funds are funds which are to be used in accordance with specific restrictions imposed by the donors or which have been raised by the charity for specific purposes. Endowment funds are restricted funds which are to be retained for the benefit of the charity as a capital fund. The Hospice has a number of restricted income and capital funds. Details of the funds are given in the nores to the financial statements. Penslon5 The Group currently offers a qualifying defined contribution pension scheme to all staff. In addition the Group is Direction Employer under the NHS Scheme. National Health Servlce Superannuatlon scheme This is a statutory superannuation scheme as defined in Section 6.12111 Income and Corporation taxes Act 1988. which has no invested funds. Contribution by employers (currently 14.3%> and members are accounted for to the Treasury and benefits are paid from the consolidated fund. This scheme is only open to staff who have been membÈr5 of the NHS scheme in previous employment under the dispensation rules. The accountin8 char8e represents the ernployer's contribution5 for the period. Deflned Contrlbutlon Scheme IPenslons Trust) With effect from l May 2015 the group è150 operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost char8e represents contributions payable under the scheme by the group. There is no Ilablllty under the scheme other than the payment of those contributions. Ixlll TaxatSon No tax 15 payable due to the charitable status of the parent cornpany. Taxable profits generated by the trading subsldlary are transferred to the parent company underglft aid. Ixiiil Leases Operating lease rentals are charged to the Statement of Financial Activities over the period of the leasè. Ixivl Legal status The tharitable company is limited by Guarantee and does not have any share capital. Employee benefTrt5 Short term benefits including hollday pay are recognised as an expense in the period in which the Servi￿ ls received. Tèrmination bènefit5 are acco￿￿ted for on an actrual basis and in line with FRS 102. Ixvll Debtor5 Trade and other debtors are recognised at the settlement amount due after any trade di5COUnt offered. Prepayments are valued at the amount prepaid net of any trade discounts due. Ixviil Cash at bank and in hand Cash at bank and cash in hand includes cash and short term highly liquid investments. Ixllil Creditors and provi5ion5 Creditors and provisions are recognised where the charity has a present obligatlon resLsltlng from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors and provisions are normally recognised at their settlement amount after allowing for any trade discounts due. 29

ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 OONATIONS- 2024 Unrestrlcted funds £,￿0 Restrlcted funds £'ooo Totsl 2024 £'o Total 2023 £'ooo Individual donation5 In memoriam donations Community groups Trust fund donations Corporate donations Major Donors Gift aid Donations & gift aid from sale of goc*ds in our shops 215 202 ioi 34 115 131 146 768 24 239 205 102 367 123 144 146 768 251 185 137 523 ioi 65 71 884 333 13 1.712 382 2.094 2,217 Fundraising evellts in 2024 raised £236,05212023.. £251,257). DONATIONS- 2023 Unrestrlcted lunds £'ooo Restrirted ftsnds £'ooo Total 2023 £'ooo Individual donations In memoriam donation5 Community groups Trust fund donations Corporate donations Major Donors Gift aid Donations & gift aid from sale of goods in our shops 234 181 126 135 ioi 52 71 17 251 185 137 523 ioi 65 71 884 li 388 13 1.784 433 2,217 LEGACIES £1,753,661 ha5 been retognised from legac￿eS for 202412023.. £995,627) using the H05pice's accounting policy and principles of lil Entitlement exists,. lill receipt is probable,. and liiil Ihe amount 15 measurable. Where there 15 any uncertalnty regarding any of those principles, or the legacy could be contested, these have not been Included in our accounts. 30

ST. LUKE'S HOSPICE IHARROW & BRENT) LTO. NOTES TO THE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 INCOME AND EXPENDrruRE FROM SHOPS AND LOTtERY The Charity own5 the entire share capital of St Luke's Hospi￿ IHarrow & Brent) Chaiity Shops Limlted. a company registered in England and Wales, which operates charity shops in support of the H05pice funding. The subsidiary transfers to the Hospice under gift aid an amount not less than its taxable profits. A summary of the trading ￿$vIt5 of the subsidiary is shown below. Atjdited accounts have been prepared In respect of the trading period for the year ended 31 December 2024. Total 2024 £'ooo Total 2023 £'ooo Turnover Income from lottery Government Érants 2,060 249 15 2,158 253 2,324 2,411 Cost of sale of purchased good5 Administration expenses Lottery expenditure and prizes 2,081 90 1,960 Gross dirett expenditure of shops and lottery 2.171 2.054 Net direct income from shops and lotterv Lease costs relating to shops owned by Charity Donations of goods under gift aid Lottery Prizes donated by Players 153 1661 659 io 357 1661 707 14 Contribution generated by Charity Shops Ltd 756 1,012 31

ST. LUKE'S HOSPICE (HARROW & BRENTI LTD. NOTES TO THE FINANCIAL STATEMENTS Icontinuedl FOR THE YEAR ENDED 31 DECEMBER 2024 CHARITABLE AcfiviTIES- 2024 Unrestrlcted funds £'o Restricted fund5 £'thJo Totsl 2024 £'o Total 2023 go￿] NHS commi55ioning income 3.007 3,CK)7 3,596 3,007 3.(K)7 3,596 Other funding 25 25 loo 3,032 3,032 3,696 NHS commissioning income in 2023 includes fundin8 to deliver Fast Track Brokerage of Care. The current contract runs to September 2025. CHARITABLE ACTIVITIES- 2023 Unrestrlcted funds £'ooo Restrirted funds Total 2023 eooo NHS commlssioning income Other funding 3,596 3.596 loo 3,696 3,696 NET IEXPENDITUREIIINCOME Total 2024 vooo Total 2023 £'ooo Net income is stated after Charging.. Depreciation Auditor's remuneration Other fees payable to auditors Operating lease rental 250 27 15 616 183 18 12 525

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ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIALSTATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 STAFFCOSTSAND NUMBERS Total 2024 £'ooo Total 2023 £'o Salaries and wa8e5 Social 5ecuritycost5 Pension costs 5,052 486 324 4,930 470 330 Total 5,862 5.730 Average nurnber of employees (full tlme equivalents) Hospice Shops 79 43 82 49 122 131 There were on average 143 people employed12023- 1521 full and part time. The employees were supported by 521 unpaid volunteers during the year12023.. 4971. Penslon costs Include an amount of £31,849 1202 - £32,1911 paid in respert of death In service cover for employees of the companv. Ex Gratia payments made during the year were £13,10812023- £14.1691. The total remuneration for KÈY Management Pèrsonnel included in staff costs above is £540,56912023.' £546,711). The number of staff wlth remuneration in excess of £60,000 were as follows.. 2024 2023 £60,000- £70,000 £70,000- £80,000 £80,000- £90,000 £90,0(X)- £ioo,tK)O £iOO,CK>O- £iiO,000 TRUSTEES None of the trustees received any remuneration or benefits in kind from the charitable companyl2023= Nill. Trustees did not claim any expenses on behalf of the tharityduringthe year12023'.Nill. Leasehold propertles £'ooo TANGIBLE FIXED ASSErs Freehold propertles £'ooo xtures & equlpment £'ooo Motor vehlcles £'ooo Totsl £'o GroLbP Opening balance Additions Disposals 4,932 1,194 573 54 li 6,710 57 (lli C105ing balance 4,932 920 619 6,471 Depreclatlon Opening balance Charge for the year Disposa15 682 135 211 115 li 904 250 ClosinB balance 540 318 858 Net Book Value At 31 December 2024 4.932 380 301 5,613 At 31 Decernber 2023 4,932 512 362 5,806 35

. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTES TOTHE FINANCIALSTATEMENTS Icontinuedl FOR THE YEAR ENDED 31 DECEMBER 2024 Freehold propertles rooo Leasehold propertie5 £'ooo Fixtures & equipment vooo Motor vèhides £'ooo Totsl Charity Cost Opening balan Additions Disposals 4.932 33 563 54 5.528 1331 1331 Closing balance 4,932 617 5,549 Depreciation Opening balance Charge forthe year Disposals 33 201 115 233 115 1331 1331 C105in8 balance 316 316 Net Book Value At 31 December 2C124 4,932 301 5.233 At 31 December 2023 4,932 362 5,294 Freehold propertie5 Otherwise represents the acquisition and conversion costs of Kenton Grange between 1992 and 2002 shown at historic cost and the costs of building the WoodgranÉe Centre completed in 2015. ii. INVESTMENTS 2024 £'ooo 2023 £'ooo Market value at I january 2024 Addltlons Disposals Realised and unrealised gain5 Movement in investment cash 4.011 946 18721 202 11051 3,861 479 13741 150 11051 Market value at 31 December 2024 4.182 4,011 12. DEBTORS.. amounts falllng due with one year Group Charity 2024 £'ooo 2023 £'oc 2024 £'ooo 2023 Trade debtors Other debtor5 Prepayments and accrued income Amounts owed by subsidiary undertaking 179 141 2.146 179 60 77 1,731 879 134 1,946 1,931 902 2,466 2,140 3,052 2.747 36

ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 13 CREDITORS: amountsfallin8 duè within one year Group Charlty 2024 £'ooo 2024 2023 £,￿0 2023 £'o Trade creditors Taxation and social security Accru315 and deferred income 209 170 355 170 175 280 156 139 297 155 142 197 734 625 592 494 14 ANALYSIS OF NET ASSEfs B￿EEN FUNDS GROLIP- 2024 Unrestricted fund5 General Designated £'o £'ooo Endowment Funds £.￿0 Restrlcted Funds £'ooo Total 2024 £'o Tangible fixed assets Investments Net current assets Long term liabilities 5,613 1,411 300 5.613 4.182 3.063 1971 2,531 2,737 1971 240 26 Net assets 5,171 7,324 240 26 12.761 ANALYSIS OF NET ASSETS BETWEEN FUNDS GROUP- 2023 Unrestrlcted funds General Designated rooo £'o Endowment Funds £,￿0 Restrlcted Funds Total 2023 £'ooo Tangible fixed assets Investments Net current aS5et5 Lon8 term liabilities 5.806 1,372 3CN) 5,806 4.011 3,232 11701 2.411 2,932 11701 228 Net assets 5.173 7,478 228 12,879 ANALYSIS OF NET ASSETS BETWEEN FUNDS CHARITY- 2024 Unrestrirted funds General Deslgnated £,0￿) Endowmènt Funds £.￿0 Restrkted Funds Tots 2024 Tangible fixed assets Investment5 Net current assets/lliabilitiesl Long term liabilities 5,233 1,411 680 5.233 4,182 3,443 1971 2,531 2.737 1971 240 26 Net 355ets 5,171 7,324 240 26 12,761 37

5T. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTES TO THE FINANCIAL STATEMENTS Icontinuedl FOR THE YEAR ENDED 31 DECEMBER 2024 ANALYSIS OF NET ASSETS BETWEEN FUNDS Icontlnuedl CHARITY- 2023 Unrestrirted funds General Deslgt)ated £'ooo £'ooo Endowment Funds £'o Restricted Funds vooo Total 2023 ro￿) Tangible fixed assets Investment5 Net current assetsllliabilitiesl Long term liabilitles 5,294 1,372 812 5,294 4,011 3,744 11701 2,411 2,932 11701 228 Net assets 5,173 7,478 228 12,879 IS. FUNDS-2024 Transferl Penslon Surplus £'ooo Opening Balance £'oLMJ Investment GainslLosses gooo Closing Balance £'ooo Income £'ooo Expendlture £'ooo Restrirted fund5 Inpatient care funds Outpatient care funds Community care funds General Clinical funds Capital funds Fundraising Programme 196 63 112 11961 1631 1921 20 Total restrlcted funds 382 13561 26 Endowment funds Alice Wisbey Capital Fund D D McPhall 25 203 26 214 li Total endowment funds 228 12 240 Unrestricted fund5 Designated fixed fund Designated shops assets fund DesiEnated risk management fund Pension liability reserve asset 5,294 1611 5,233 512 11321 380 1,372 300 39 1.411 3(K) Totsl deslgnated funds 7.478 39 11931 7,324 Unrestrlcted funds General charitable funds 5.173 6,872 17.3711 Isi 346 5,171 General non-charitable tradlng funds 2.324 12.1711 11531 Totsl general funds 5,173 9,196 19,5421 151 193 5.171 Total Unrestrict￿ funds 12,651 9,196 19.5421 190 12,495 Total funds 12,879 9,578 19.8981 202 12,761 38

ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTESTO THE FINANCIAL STATEMENTS lcontinuedl FOR THE YEAR ENDED 31 DECEMBER 2024 15. FUNDS Itontlnuedl- 2023 Opening balante £'ooo Investment Galns £'wo Closing Balance £'ooo Income £'ooo Expendlture £'o Transfers £'o Restricted funds Inpatient care funds Outpatlent care funds Community care funds General Clinical funds Capital funds Fundralsing Programme 146 156 112 20 11461 11561 11121 1201 76 1761 Total restrirted fvnds 76 433 14331 1761 Endowment funds Allce Wisbey Capltal Fund D D McPhail 24 190 25 203 13 Total endowment funds 214 14 228 Unrestrlrted funds Designated fixed a55et fund Designated shops assets fund Designated risk management fund Pension liability reserve 5,065 41 229 471 5,294 512 1,498 300 11261 1,372 300 Total des5gnated funds 6,904 11261 700 7.478 Unrestricted funds General charitable fund5 5,516 6,847 17,1861 264 12681 5,173 General non-charitable trading funds 2.411 12.0541 13571 Total general funds 5,516 9,258 19,2401 264 16251 5,173 Total unrestrlcted funds 12.420 9.258 19.2401 138 76 12.651 Total funds 12.710 9.691 19.6731 12,879 39

5T. LUKE'S HOSPICE IHARROW & BRENTI LTD. NOTESTO THE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 15. FUNDS Icontinuedl A Pension Liability Reserve was Set up in 2016 to reflect potential increases in the pension liability. When it was provided in full in 2017, the reserve was reduced. The balance in this fund will be used towards the cost of anv future buy-out of the liability. The late Mrs Alice Wisbey made a bequest to the Hospi￿ with the instruction that the income therefrom should be applied for the comfort of the nurslng staff. This is spllt between Income and Capital funds. The restricted funds represent grants and donations received, from Trusts and individuals, where the USÈ of the funds was restricted to a specific purpose by the donor. These funds have included contributions toward5 the cost of our Inpatient unit, Day care services, Community and Homecare services, to the provlslon of complementary therapies and a number of other items. The D O McPhail Charitable Settlement originally gave E150.000 as an endowrnent fund. No Instructions were 8iven about income so this is applied for the general purposes of the charity. The difference between the original fund value and the current fund value arises through revaluation of the underlyin8 invèstment. The designated flxed asset fund represents the net book value of the Hospice's flxed assets. It has been set up to assist in identifying funds which are not free funds. Similarly, the designated shop5 35set fund has been set up to Identify fixed assets of the shops company not covered by their working capital. The designated risk management fund is intended to cover unexpected Costs or income shortfalls, ensuringthe long- term sustainability of the Hospice. The balance in this fund a5 at 31 De￿mber 2024 was £1,411k12023 - £1,371kl m05t of which is manaeed by Rathbtrnes. our investrnent manager. The deficit arising out of the operating activities during the year resulted in the decrease In unrestricted general charitable funds of £700k12023- increase £231kl. The general funds represent the unrestricted funds of the group and are therefore "free reserves". 40

sr. LUKE'S HOSPICE (HARROW & BRENTI LTD. NOTESTO THE FINANCIAL STATEMENTS Icontlnuedl FOR THEYEAR ENDED 310ECEMBER 2024 16. OPERATING LEASE COMMITMENTS The group has the followlng total comrnitments under non-cancellable operating leases.. Group Charitv 2024 £'ooo 2024 £'ooo 2023 2023 £'ooo Amounts duè.. Within l year Within two to five year5 After five years 434 1,191 666 501 1,189 802 66 158 io 69 206 31 2.291 2,492 234 306 17. CAPITAL COMMITMENrs The group has committed to a c05t of E60k feasibility study on the premise5 of Kenton Gran8e. Based on the feasibility report capital refurbishment is likely to take place in the yèar 2025.12023.. none). 18. RELATED PARTY TRANSACTIONS During the year, Trustees, Executive Tèarn membèrs and their close family members donated £325 and PUTchasèd £208 worth of Lottery tickets from the Hospice12023.' £1,120). There were no other transactions with related parties during the year12023.' nonel. 19. STATEMENT OF FINANCIAL AcTIV￿lEs IN THE PREVIOUS YEAR12023 Unrestricted Re5trirted funds Fund5 £'ooo £'ooo Endowment Funds £'o Total 2023 E'ooo Income from: Donotlons und legucles Donations Le88cies 1,784 996 433 2,217 996 2,780 433 3,213 Chtsrituble Activities NHS commissionin Other income 3.596 loo 3,596 loo 3,696 3.696 Other trading activitie5 Fundraising events Gross income from shops and lottery 251 2,411 251 2,411 2.662 2,662 Investments 117 117 Total Income 9.255 433 9,688 41

ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. NOTES TOTHE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 19. STATEMENT OF FINANCIAL ACTIVITIES IN THE PREVIOUS YEAR Icontinuedl Unrestricted Restricted funds Funds £'o Endowment Funds £'ooo Total 2023 rooo Expenditure on: Rulslngfunds Fundraising costs Fundraising events costs Shops and lottery expenditure Investment rnanagement Costs 1,417 230 2,390 19 1,417 230 2,390 19 4,056 4.056 Charltoble tsctlvltles Inpatient Services Day care services Homecare services Overall clinical support 1,721 437 1,743 1,293 146 156 112 19 1,867 593 1,855 1,312 5,194 433 5,627 Total expendlture 9,250 433 9,683 Net Income before 8ains on investments Net Ilossesl/gains on investments Pension revaluation gain 150 14 150 14 Net Income 169 169 42

ST. LUKE'S HOSPICE (HARROW & BRENTI LTD. NOTESTO THE FINANCIAL STATEMENTS Icontlnuedl FOR THE YEAR ENDED 31 DECEMBER 2024 20. THE CAREER AVERAGE REVALUED EARNING SCHEME (THE PENSIONS TRUST) Up until 1st May 2015. the group offered a multi-employer pension scheme provldlng a defined benefit Icareer averagel pension for members. The company participated in the scheme, a multi-employer scheme which provides benefits to some 36 non- a550ciated employers. The scheme is a defined benefit scheme in the UK. It is not possible for the company to obtain sufficient information to enable It to account for the scheme as a deflned benefit scheme. Therefore, it accounts for the scheme as a defined contribution scheme. The scherne is subject to the funding legislation outllned in the Pensions Act 2004 which came into force on 30 December 2005. This, together with documents issued by the Pensions Regulator and Technical Actuarial Standards issued by the Financial Reporting Council, Set out the framework for funding defined benefit occupational pension schemes in the UK. The scheme is classified as a 'last-man standing arrangement. Therefore, the company is potentially liable for other participating employers. obligatlons If thoseemployers are unable to meet thelr share of the scheme deficit following withdrawal from the Scheme. Participatin8 ernployers are legally required to meet their share of the scheme deficit on an annuity purchase basis on withdrawal from the scheme. A full actuarial valuation for the scheme was carried out at 30 September 2022. This valuation showed assets of £49.6m. liabilities of £57.Im and a deficit of £7.5m. To eliminate this fundin8 5hortfèll, the Pension Trustee asked the participatinE ernployers to pay additional contributions to fund the 5£heme deficit of £1.67m. The recovery plan contributions are allocated to each participating employer in line with their estimated share of the Scheme liabilities and increase by 3% per annum on I, April each year. It was anticipated that the deficit would be cleared by 31" March 2027. During 2024, St Luke'5 Contributed £72,229 towards the deficit12023 - £69,272). Note that the previous valuation was carried out with an effective date of 30 September 2019. Thi5 valuation showed assets of £79m. liabilities of £93.9m and a deficit of £14.9m. To eliminate this funding shorttall, the Pension Trustee asked the participating employer5 to pay additional contributions to fund the scheme deficit. Annual deficit contributions by participating employers then total £1.53m pa due to the annual 3% increases, and the defidl to be cleared by 3U September 2027. Where the scheme is in deficit and where the Company ha5 agreed to a deficit funding arrangement the companv recognises a liability for this obliEation. The amount retognised is the net present value of the deficit reduction ¢ontributi(>ns payable under the a8reement that relates to the deficit. The present value is cal¢ulatÈd using the discount rate detailed in these disclosures. The unwinding of the discount rate is recognised as a finance c05t. PRESE￿ VALUES OF PROVISION 31 December 2024 I£OOOsl 31 De¢ember 2023 IfOOOs1 Present value of provision 162 226 43

ST. LUKE'S HOSPICE (HARROW & BRENT) LTD. Icontinuedl FOR THE YEAR ENDED 31 DECEMBER 2024 20. THE CAREER AVERAGE REVALUED EARNING SCHEME IPENSIONSTRUSn Icontlnuedl RECONaLIATION OF OPENING AND CLOSING PROVISIONS 2024 £'ooo 226 2023 E'IXIO 310 14 1691 Provision at start of period Unwinding of the discount factor (interest expensel Deficit contribution paid Remeasurements impact of any change in assumptions Remea5urernents- amendments to the contribution schedule 1731 1301 Provlslon at end of period 162 226 2024 £'ooo 2023 £'ooo Amount5 due within one year Amount5 due after one year 74 97 72 170 171 242 includes defined contribution schemes and future seNice contribution5 li.e. excluding any deficit reduction payment51 to defined benefit schemes which are treated as defined contribution schernes. ASSUMPTIONS 31 De￿mber 2024 % per annum 31 De￿mber 2023 % per annum Rate of dlscount 4.96 4.74 The discount rates shown above are the equivalent single discount rates which, when used to di5COUnt the future recovery plan contributions due. would give the same resuh5 a5 Using a fullAA corporate bond yield curveto discount the same recovery plan contributions.

  1. REFERENCE AND ADMINISTRATIVE INFORMATION Company Number 02141770 Charity Numbgr 298555 Registered Office Kenton Grange, Kenton Road. Harrow. Middlesex HA3 OYG Trustees The Iru5tees, who are also directors under company law, who served during the year and up to the date of this report were as follows.. MargaTet Luslman (Chair of Trusleesl Dr Carole Amobi - resigned 241112024 Natalie Butler Liz Jewitt-cross (Chair of People Committeel-resigned 13103125 Sarah Gigg Christine Glenn (Chair (rf Remuneration Committee) Payl Hill (Chair of Finance & Performan￿ Committee) Sarah Livingston (Chair of Clinical Governance Committeel Jalin Patel (Chair of Audit & Risk Commilleel Chandia Radia Neel Radia Professor Stephen Spiro Ivlce Chairl Raj Thakrar Claire Melia-Tompkins Kgy management personnel Chief Executive Officer Lindsey Bennister Medical Director Dr Charles Daniels- resigned 31112124 Director of Clinical Services Claire Porter- appointed 291712024 Director of Opèrations Fran Deane Director of Finance Geethanjali Umaasuthan Director of People & Organisalional Development Loma Campbell - resigned 19103125 Director of Fundraising & Communications Joanna Pearce Principal Bankers Barclays Bank plc, Lei￿Ster LE87 2BB Auditors Haysmac LLP, 10 Queen Street Place, London EC4R 1AG Investment Managers Ralhbone Investment Management 8 Finsbury Circus. London EC2M 7AZ Solicitors Curry Popeck, Devonshire House, 582 Honeypot Lane. Middlesex HA7 1JS BDB Pilmans LLP. One Bartholomew Close. London EC1A 7BL Website www.sllukes-hos ice.or 45

St. Luke’s Hospice (Harrow & Brent) Ltd

Draft Audit Findings Report

For the Year Ended 31 December 2024

Table of Contents

1. Introduction and Executive Summary..............................................................................................................1
2. Signifcant audit risks, and other focus areas identifed during audit planning...............................................2
3. Accounting and Audit Matters..........................................................................................................................3
4. Detailed control points.....................................................................................................................................9
5. Emerging issues.............................................................................................................................................13

1. Introduction and Executive Summary

This report summarises our key findings in connection with the audit of the financial statements of St. Luke’s Hospice (Harrow & Brent) Ltd (“the Charity”) and St. Luke’s Hospice (Harrow & Brent) Charity Shops Limited for the year ended 31 December 2024. We would like to thank Geetha Umaasuthan, Rosemary Fagnoni and the finance team for their assistance throughout the audit process.

Our audit approach

Our work was planned and performed in order to issue an audit opinion on the financial statements in accordance with International Standards on Auditing (UK) (“ISAs”) and the terms of our letter of engagement. Our audit approach is a risk-based approach founded on us gaining a thorough understanding of the entity and its business in order to allow us to identify the risks of material misstatement within the financial statements. To do this, we consider both the risk inherent in the financial statements themselves and the control environment in which the entity operates. We then use this assessment to develop an effective and efficient approach to the audit.

Limitations

Our audit procedures, which have been designed to enable us to express an opinion on the financial statements, have included an examination of the transactions and the controls thereon.

Our audit included consideration of internal controls relevant to the preparation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for expressing an opinion on the effectiveness of internal control or to identify any significant deficiencies in their design or operation.

We have included in this report only those matters that have come to our attention as a result of our normal audit procedures and, consequently, our comments should not be regarded as a comprehensive record of all deficiencies that may exist or improvements that could be made.

Status of our work:

At the time of issuing this report our work remains subject to:

1

2. Significant audit risks, and other focus areas identified during audit planning

We set out below the significant audit risks identified at the planning stage and the conclusions of our audit work:

SIGNIFICANT AUDIT RISK AREA
HOW WE ADDRESSED THIS
COMMENTARY		 SIGNIFICANT AUDIT RISK AREA
HOW WE ADDRESSED THIS
COMMENTARY
Fraud in revenue recognition
The risk of intentional improper treatment of income
under UK GAAP.
Having considered the nature of St Luke’s Hospice
(Harrow & Brent) Limited income streams, we consider
that the risk predominantly relates to improper
journals being posted to income.		 We have reviewed journals posted to income
codes, both during the year and around the
year-end, for evidence of inappropriate postings.
We have planned and performed specifc tests
to ensure grant and donations income has been
recorded in the correct period and have tested a
sample of transactions around the yearend.
Our review have also included an assessment of
the appropriateness of the recognition of
debtors, accrued income and deferred income.
Our work was satisfactorily completed with no
signifcant matters arising.
Presumed risk of management override
The risk of misappropriation of assets and the risks of
misrepresentation of fnancial information.		 We have considered and reviewed all areas
requiring judgements or estimates in order to
assess the appropriateness of the judgements
and estimates made by management.
We have reviewed and tested journal entries
made in the year, and in particular those made
as part of the year-end fnancial reporting
process. Where necessary we have made
further inquiries regarding any seemingly
inappropriate or unusual journal or other
adjustments.
We have incorporated unpredictability in our
testing procedures.
The audit work in this area was completed
satisfactorily with no material issues arising.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

2

3. Accounting and Audit Matters

3.1 Qualitative aspects of accounting practices and financial reporting

i. Key accounting estimates

Accounting estimates are defined by ISA 540 as monetary amounts for which the measurement, in accordance with the requirements of UK GAAP, is subject to estimation uncertainty. We consider that there are no key accounting estimates affecting St. Luke’s Hospice (Harrow & Brent) Ltd’s financial statements for the current year.

SIGNIFICANT ACCOUNTING ESTIMATE & COMMENTARY
DETAIL
Depreciation The Charity holds fxed assets with a net book value of £5.6m at as at year ended 31 December 2024,
which the non-property assets are being depreciated over their expected useful lives on a straight-line
basis.
As a result there has been a depreciation charge calculated of £250k which has been charged to the
SOFA with a corresponding entry being made to the Fixed Assets (Accumulated Depreciation) within
the Balance Sheet. Although this amount is immaterial to the fnancial statements, we have reviewed
managements’ calculations and ensured they are accurate, for disclosure purposes. No issues were
noted on the review of these calculations.
Pension liability Before May 2015, the charity participated in the TPT Retirement Solutions – Career Average revalued
Earnings (CARE) pension scheme. It is not possible to calculate the charity’s share of the assets and
liabilities of the scheme so it has been accounted for as a defned contribution scheme in line with
accounting standards. The scheme currently has a defcit, so all employers within the scheme have been
asked to pay additional contributions to the scheme. The defcit which stood at £96k at the year-end was
calculated assuming a discount rate of 4.96%.
The defcit has been correctly calculated in accordance with the assumed discount rate, which appears
reasonable based on past experience and is similar to that used by other organisations in a similar
position.
Legacies The Charity receives a large number of legacies and as such the recognition of legacy income is
considered to be a key accounting estimate due to the estimates involved in determining the
amount at the point of recognition. Under the Charity SORP legacy income should be recognised

3 St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

when the following criteria is met: Entitlement – this is usually demonstrated through probate being granted. Receipt is probable – for example probate has been granted and there are sufficient assets in the estate to pay out the legacy, conditions attached to legacy are within the control of charity. Measurement - the amount due can be reliably estimated.

The charity recognises legacies according to the SORP. During the course of our audit, we identified legacies with a value of £544k which were not accrued for in the 2024 financial statements because the measurement criteria above was not met as the final accounts from the administrators to enable the quantification of entitlement had not been received at year end. On reviewing the supporting information, it was noted that there was a delay in the administrators communicating these to the charity thus these were unknown as at year end.

Since the year end, management has followed-up with the administrators of the pipeline legacies to ascertain whether any new information has been received and therefore the legacies could be reliably estimated for inclusion in the 2024 financial statements. The £544k noted above has therefore been recognized and correct ly accounted for the financial statement.

ii. Key judgements

Management exercises judgement in application of accounting policies while preparing the financial statements. By their nature, judgements are subjective and could be subject to bias, which affects the presentation of the Charity’s performance or financial position. We consider the following key accounting judgements affecting the Charity’s financial statements for the current year.

SIGNIFICANT ACCOUNTING JUDGEMENT COMMENTARY
Freehold property As in prior years, the freehold property included within the Charity’s accounts has not been
depreciated. This is on the basis that any depreciation would be immaterial to the accounts and the
fair value of the property, including the associated land, exceeds the value recognised in the
accounts. The property value within the accounts is £4.9m which included its initial costs plus the
two extensions in 2013 and 2014.
Based on local area property prices, the size of the property and the associated land the Trustees
do not consider the value included in the accounts to be in excess of the fair value. An
impairment review is performed annually by the trustees to confrm this which also justifes the
non-depreciation policy.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

4

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

5

3.2 Accounting and audit matters

i. Summary of adjusted and unadjusted misstatements Adjusted misstatements

We agreed adjustments in relation to the following:

Non adjusted misstatements

There are no other non-adjusted mistatements other than clearly trivial items.

ii. Letter of representation

International Standards on Auditing require us to obtain written representations from the trustees and directors when you approve the financial statements. The letter contains only standard matters with no additional items specific to the Charity or the Company.

iii. Going Concern

The accounts are prepared on a going concern basis which assumes that the Charity will continue to operate in a similar manner to how it currently operates for the foreseeable future. To continue as a going concern the Charity must have sufficient cash resources to meet the liabilities as they fall due, and we have been provided with your cashflow forecast to support this assertion.

The Charity recorded a deficit in the current year which is a decline form the surplus in the prior year. However, when looking at going concern we have also considered the position in the context of unrestricted funds, timing of cashflows and available levers to the charity. At 31 August 2024, the Charity had total funds of £12.2m of which £5m are unrestricted funds and therefore the trustees’ assessment that the financial statements should be prepared on a going concern basis appears reasonable.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

6

iv. Data analytics

In addition to our usual audit tests, we have used our data analytics software to interrogate transactions making up the financial statement for the Charity.

We extracted the full transactional listing from your accounting system. By then reconciling on a line-by-line basis the aggregate impact of the transaction made during the period we were able to confirm the completeness of the population. We then used characteristic based data analytics and a multidimension risk scoring logic which analysed every transaction in the population against a set of potential risk identifiers, highlighting the transactions we deemed to pose a heightened risk of fraud, error or misstatement.

The visualisation to the left shows each accounting entry posted during the year on a risk spectrum. Transactions are assigned a score based on the number of identical occurrences of the transaction (vertical axis) and the financial impact that each has on the charity’s financial result (horizontal axis). Categories of transaction which occur infrequently and have a significant impact on the charity’s financial result show in the top left or top right of the chart.

During the period there were a total of 35,883 transactions within St. Luke's Hospice (Harrow & Brent) Ltd.'s and St. Luke’s Hospice (Harrow & Brent) Charity Shops Limited accounting system. When combined, 792 unique general ledger code combinations were found.

A total of 4 combinations were flagged in the highest risk category, being those occurring fewer than 4 times and having a significant impact on reported profit (in red). There were 6 transactions within these combinations.

Upon review of these transactions, we noted that they related to:

Transactions of this type are all within the normal course of the

– charity’s activities TEST: Keywords review of transactions where the description felds or general ledger accounts contain keywords

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

7

Risk: Transactions where the description field contains keywords such as “adjustment”, “correction” and “gifts” may be indicative of risk characteristics such as error, correction, or potential fraud.

Findings: We noted 468 transactions in the period that contained key words. This is 1% of all transactions (2023: 2%). We reviewed these transactions, which were made throughout the year and noted that the majority related to corrections of postings; for example reallocations between ledger codes and timing corrections to move postings to a different period in the year. The volume of transactions is relatively low nevertheless, we recommend that the finance department review correcting entries posted by individuals to identify potential training requirements.

Conclusion: The volume and value of the transactions are very low with no significant issues identified.

– Test: Closing Entry review of transactions posted in the last 14 days of the year

Risk: Closing entries include year-end adjustments that are often significant values and only processed on an annual basis therefore risk of management override. We note that due to high values and frequency of journals posted in the final two weeks there is a greater risk of errors going undetected as well as an increased risk of management override.

Findings: A total of (1,980 of 7,494) transactions were entered in the last 14 days of the reporting period. We have reviewed a sample of journals posted in the year including a selection of year end journals. We have also reviewed the controls in place for posting and reviewing the journals within the finance team.

Conclusion: We have not noted any identified any issues during our work.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

8

4. Detailed control points

During the course of our audit we identify detailed control points that we feel need to be brought to the attention of the Trustees and certain recommendations for improvements and/or corrective action. Our audit included consideration of internal controls relevant to the preparation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for expressing an opinion on the effectiveness of internal control or to identify any significant deficiencies in their design or operation. The matters and detailed control points that we have identified are graded within the following framework to assist the Trustees in assessing their impact.

RATING RATING TYPE
CHARACTERISTICS OF RATING TYPE
Signifcant These fndings are considered to be
signifcant to the management of risk in the
business. The fnding represents a serious
weakness in systems and controls currently
in place or a potentially fundamental control
that has been omitted from the risk
management systems as currently in
operation.
•
Key control omitted
•
Key control not designed or operating efectively, for example as
indicated by multiple exceptions found during our review work
•
Evidence of override of controls in place with signifcant or potentially
fraudulent outcomes
•
Non-compliance with laws and regulations
Important fndings that should be reviewed
by management, pending corrective action
and or updates to systems and controls.
•
Errors and exceptions noted during our testing that had corrected
retrospectively during the yemnmar by management.
•
Potential improvement to existing control noted
•
Possibility for override of controls exists
•
Our review noted numerous exceptions but not in key controls
Findings that identify non-compliance with
established systems and controls.
•
Minor control weakness, for example limited exceptions noted during our
review work
Items requiring no immediate action but
which may be of interest to management or
best practice advice.
•
Information for department management
•
Control operating but scope for efciency and/or efectiveness improvements
exist
•
Control operating but not necessarily in accordance with best practice
•
Recent or anticipated developments maynecessitate new controls.
Important
Limited
Advisory

9 St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

We wish to bring the following matters to your attention which arise from the current year audit as well as the latest status of outstanding issues arising from previous year audits

Current year:

ISSUE: Capitalisation of repairs and maintenance Capitalisation of repairs and maintenance CONTROL POINT
RATING:		 Limited
Risk Our comments &proposals Management response
During our testing, we noted that there a few
transactions that were expensed to repairs and
maintenance which met the criteria to capitalised.
There is a risk that expenses will be overstated
and assets understated in the fnancial statements		 We recommend that management exercise
more oversight over the recording of repairs
and maintenance costs to ensure those costs
that meet the criteria are capitalised.		 One invoice is still in dispute, and we have not capitalized
and we are expecting a refund.
One invoice relating to £3k garden furniture could have
been capitalized. We will train the budget holders and
accounting staf to allocate costs correctly.
ISSUE: Record keeping Record keeping CONTROL POINT
RATING:		 Advisor
y
Risk Our comments &proposals Management response
During our testing, we requested receipts for
Rayners Lane but we could not obtain these as the
shops closed. We understand the paperwork for
the shop which was sent to the warehouse could
not be obtained.		 We suggest that management should ensure
that there is sufcient and appropriate records
maintained for all transactions in the fnancial
statements.		 We have scheduled a fnancial training session for the 2nd
quarter to ensure that both shop management and staf
are fully informed about regulations and their
responsibilities regarding record keeping.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

10

ISSUE: Pinner & North harrow shop visits Pinner & North harrow shop visits CONTROL POINT
RATING:		 Limited
Risk Our comments &proposals Management response
Two people are not present when the till
takings are counted, and the counting records are
not signed and dated.		 We recommend that two people are present,
where possible, to count till takings.		 We will implement a recommendation system in the shops,
where two staf members/ personal are available for
closing the store.

Prior year:

ISSUE: Fixed asset register Fixed asset register CONTROL POINT
RATING:		 Advisor
y
Risk Our comments &proposals Management response
During the audit we noted that the charity shops
fxed asset register was not reconciling with the
TB.		 The fxed asset register should be agreed to
the TB on a timely basis and agreed to the
fnancial statements before the
commencement of the audit.		 2024 update:
Now resolved.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

11

ISSUE: Donorfex reconciliation with sage Donorfex reconciliation with sage CONTROL POINT
RATING:		 Advisor
y
Risk Our comments &proposals Management response
During the audit we noted that Donorfex is not
being reconciled with Sage for all voluntary
income streams. This may lead to incompleteness
of income if there is nothing outside of the
accounting system to confrm all income has been
recorded.		 We recommend that management should
consider performing monthly reconciliations
between Donorfex and Sage for all voluntary
income streams to ensure completeness of
income recorded in the fnancial statements.		 2024 update:
Resolved
ISSUE: Reconciliation Reconciliation CONTROL POINT
RATING:		 Important
Risk Our comments &proposals Management response
As noted above, there were several reconciliations
that had not been carried out at the start of the
audit - for instance payroll, VAT, and creditors.
These delays made our audit less efcient and
more time consuming.		 These reconciliations should be carried out on
a regular basis and any diferences followed up
and investigated.		 2024 update:
Resolved

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

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5. Emerging issues

Charity reporting and governance matters

Collaborative working and mergers: an introduction (CC34)

Following the changes as a result of the implementation of Charities Act 2022, the Charity Commission has produced new guidance on working in collaboration with other charities either as:

The guidance considered in more detail the definitions of the above, key thoughts, legal considerations, practical implications in terms of when to get the Commission involved and different structures. The guidance can be found here.

Charity Commission guidance for trustees on investment policies

The Charity Commission has updated its guidance on charities and investments following its call for information and consultation on financial investments. The updated guidance reflects the judgment of the Chancery Division in Butler-Sloss & Ors v The Charity Commission for England and Wales & Anor, and is known as CC14.

As a reminder, the verdict clarifies that where trustees are of the reasonable view that particular investments (or classes of investments) potentially conflict with the charitable purposes, the trustees have the discretion to exclude such investments. They should exercise that discretion by reasonably balancing all relevant factors including the likelihood and seriousness of the potential conflict, and the likelihood and seriousness of any potential financial effect from the exclusion of such investments.

The guidance can be found here.

Updated guidance on decision-making for charity trustees (CC27)

In September 2024 the Charity Commission published updates to its guidance on making trustee decisions. The aim of these updates is to make the guidance more accessible and easier to use, however the backbone of the guidance remains the seven principles developed by the courts when they reviewed decisions made by trustees, which we have set out below.

When making decisions, trustees must:

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The revised guidance can be found here.

Updated guidance on “improving your charity’s finances” (CC12)

In September 2024 the Charity Commission published updates to its guidance on “improving your charity’s finance”. These updates are aimed at making the guidance more accessible and provide advice on actions that can protect charities against financial difficulties, as well as understanding what to do if a charity is insolvent, or at risk of insolvency.

The updated guidance, which is separated depending on the legal structure of the charity, can be found here.

Charity Commission guidance for charity meetings

The charity commission guidance on charity meetings was also updated in July 2024 to make it more accessible and easier to use. The guidance covers how meetings should be planned, run and recorded, and sets out the ways in which meetings can be held (face to face, virtual or hybrid). The guidance emphasises that you must check your governing document to ensure that you are acting in accordance with its rules about meetings, to ensure that decisions are not invalidated.

The guidance can be found here.

Charity Commission guidance on appointment of trustees

The Charity Commission updated its guidance on recruitment of trustees in March 2024, surrounding when the Commission can confirm trustee appointments. Where an appointment is defective, or potentially defective, the Commission can confirm the appointment by making an order where the person consents to their appointment. Whilst making the order, the Commission can also validate a past act of the person concerned. This will only be undertaken where the charity is unable to confirm the appointment or validate the past act itself via its governing document, the Trustee Act 1925 or the Companies Act 2006. Further guidance can be found here.

Charity Commission guidance on Charity Banking

In July 2024 the charity commission published information on charity banking and the support available to charities who are struggling with accessing adequate banking services. This follows on from an open letter which the Commission wrote to the Chief Executives of UK banks, requesting their urgent action on issues that charities are facing with their banks which include:

Volunteers

The Social Purposes sector relies heavily on its volunteers. Typically, these are unpaid and may in certain circumstances be paid out of pocket expenses. This is usually limited to food, drink, travel or any equipment they need to buy to undertake their duties. Normally, there are no employment taxes implications for reimbursement of these out of pocket expenses as long as they are reasonable.

14 St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

If the volunteers are paid expenses that do more than reimburse the costs incurred then HMRC may contend that they are receiving remuneration for their services. In which case, the payments will be taxable as employment income if it can be shown that they either hold an office or employment. If they do not hold an office or employment, the payments may be Miscellaneous Income.

In a recent Employment tribunal case M Groom v Maritime and Coast Guard Agency, the volunteer was judged to be a worker which confers employment rights such as holiday pay, National Minimum/Living wage etc. It is therefore imperative that the correct policies, controls and governance are in place to avoid any possible successful employment status challenge by HMRC.

Financial Reporting

Financial reporting framework

UK GAAP Developments – FRS 102

Following the recent Periodic Review and other amendments to UK and Ireland accounting standards, the Financial Reporting Council (FRC) has issued now revised versions of FRSs 100, 101, 102, 103, 104 and 105. The FRC has also revised the “Overview of the financial reporting framework”.

The changes to FRS 102 include the significant revisions made to leasing and revenue recognition which arose from the Periodic Review 2024. Most of these amendments are effective for accounting periods beginning on or after 1 January 2026, although those changes that relate to “supplier finance arrangements” have an earlier effective date of accounting periods beginning on or after 1 January 2025.

These amendments seek to provide greater consistency and more (but not total) alignment to international accounting standards including:

The effective date for most amendments is periods beginning on or after 1 January 2026, with early adoption permitted. The new standard sets out the requirements for the restatement of comparative amounts. There are choices available in some areas of change but others are more prescriptive so you will need to take care to ensure that you have complied with each relevant requirement and made the appropriate disclosures.

The transition to the new requirements will take careful planning for many organisations currently following FRS 102. For instance, many organisations will see leases (and debt) hit their balance sheets for the first time. For some this will seem strange and for most will require careful planning to ensure, amongst other things, that all leases are captured, the financial effects are known, effects on reporting requirements e.g covenants are understood. The new accounting standards are available on the FRC website here. Note that despite the effective dates in the future, the new versions are described as the “current edition” with versions that are still in use described as “superseded editions”.

With the changes to FRS 102, there will also be changes to the Charities SORP, which had its last major revision in 2015 along with amendments in 2019. We are expecting its release in 2025, with an effective date from 1 January 2026 in line with the changes in FRS 102. Along with the changes noted above, we are expecting it to also introduce a third tier of charity as well as revisiting the allocation of overhead expenditure.”.

Employment Tax

Pension salary exchange

After much speculation, the Government has not made any changes in tax relief on employees’ pension contributions. Furthermore, NIC will not be levied on employer pension contributions, so pension salary exchange can be used to mitigate the increase in employers NIC. If you do not provide your employer pension in conjunction with a pension salary exchange arrangement, then this will be an ideal time to consider

15 St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

If you already have a pension salary exchange in place, given the Government’s recent announcements, now will be an ideal time to see whether it is achieving all your objectives.

The use of a tax and NIC efficient salary can also be used to provide employees with an electric car. The chargeable percentage for electric vehicles will increase by 2% in 2028/29 and 2029/30, rising to 9% in 2029/30. The use of providing an electric vehicle in conjunction with a salary sacrifice will continue to be a viable option for employers who are looking at providing cars to their employees/directors.

St. Luke’s Hospice (Harrow & Brent) Ltd – Audit Findings Report | Year Ended 31

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