Leicestershire & Rutland Organisation for the Relief of Suffering Limited - 31.03.21 ReFxl and FinarLial Stslements Year ErKled 31 March 2021 Company Nurnber 01298456 AACRRZ3D* 1010912021 CCthqPMIES HOUSE Alo
198
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Report and financial stat•m•nts for the year ended 31 March 2021 Contents Pag•: Direclors. report 16 Statement of Trustees reSnsIbIlit5 Independent audrtorf5 reFQrt 20 Consdidaled slalement of finan¢ial activities 21 Consrjhjaled balance sheet 22 Charty balance sheet 23 ConSolated cash flow slalemenl 24 Notes to the cash flow statement 25 Notes fomiin9 part of financial slatements
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorf$ roport For the year ended 31 March 2021 The forty firsl Annual Report recwds a fvrther >¢ar of the ach*vement of the aims of the charity. The focus of all of the charivs adivilies is the patients. their families and carers. The continuance of the work 1$ dependent upon the on-wing vcduntary support. year by year. from the local community. Witt1 this, the present level and standard of care could not te maintained. This support is itself built upon the charil¥s reputats.on for providing high quality care. REFERENCE AND ADMINISTRA TIVE DETAILS LOROS: The Leestershlre & Rudand Organisation for the Rel of Suffering Limited is a company limiled by guarantee and registered as a charity under the Charities Act 1960. Registered Charity Number". 506120 Registered Company. Registered in EnglarKI and Wales 01298456 Registered and Principal Office: The Leicestershire & Rulland Hospre Groby Roa Lescesler LE3 9QE Auditor.. The RTheys Partnership Ltd Chartered Accc¥Jntants Charrwood House Harurt Way Leicester LE19 1WP Bankers.. The Rordl Bank of Scouand plc 5 Market Sireel Lester LE1 6DN Discretionary Investment Management.. Smtth arKI Williamson 9 Colmore Row Birmingham B3 28J Soli¢ilors". Knights plc 34 Pocklingtons Walk LeThster. LE16BU
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the year ènded 31 March 2021 (continued) Diredors and Trustees The members of the board who tre trustees of the registered charty are also directors of the company under terms of the Companwd Act. l Thew details are set out below.) They have no beneficial interest in the group or in the Charity. Throughout this report. they are collecbvely refetred to as the direcl¢)rs. Chairnian: Dr Robin Graham- Consultant Dematologist Vlctrchaimian (& Honorary Treasurer): Mr Andrew Stant Chartered Accountant Member8: Dr Nik Kolecha Company Director Mr Richar(l Brucciani Company Chairman r Chris GreenweN Mr David Lindley {Appointed 23rd November 2020. resigned 2W March 2021) Retired Deputy Chf Con¥table Mrs Kate Bradley {Appointed 23rf November 2020} HR ProfeSsal Tim Maxted Company Chaimian s Louisa Pryje {Appoinled 23rf November 2020) Chartered Accountanl Mrs Becky O'Brien {Appoinled 23nl November 2020} NHS Director Mr Graham Smrth (Appointed 23rf November 2020> Relired Company Director Mr Chris Murray Retired Businessman Mr Andrew Measom Businessman Dr Richard Hurwood Retired GP Dr Nakul Patel Consultant Plastic Surgeon Chief Executivel Company Secretary.. preSent.. Mr John Knight Jennrfer. Lady Gretton Estate Owner
Leicestershire & Rutland Organisation for the Relief of Suffering Limited
Diroctorfs report
for the year ended 31 March 2021 (continued)
OVERALL PURPOSE
The overall purpose. ethos and strategy for LOROS is articulated through its Vision. Mission and Values &
Behaviours 51alements as fdlows..
VISION
(Our loThJ tem aspiration for our society)
Everyone wlth an incurable illness has the right to excellent re. This should value and respect their
unlqueness and their own choices. People should be enabled to livo and die with dignity and with
appropriate and compassionate support for them and their loved ones.
MISSION
(Our and activities in working towards our Vision)
LOROS is a Charity wh¢>se aim is to enhance the quality of life of adult patients wlth cancer. progressive
ngurological conditions and end4tage organ failure for whom curative treatment is no longer possible.
Patients are treated at the hospice and In the community based upon clinical need, regardless of
background and the ability to pay.
LOROS specialises in holistic. multidisciplinary care. focused on the whole person and including family
and carers. The re given takes into accounl Ihe patients, physical. Psychologi1, social and spiritual
needs as well as their own choices. Family members ar¢ supported in adjvsting to l¢>ss and bereavement.
LOROS contrlbutes to th? education and training of its own and othor hgalth and Slat car• professionals
and of volunteers. The Charity is also committgd to research in order to irnprove th? undfrrstsnding and
practice of palliative care.
-OROS
Our values and behaviours
O Prof•5slonal
of our community. Aaffand volunteer
• Focused
On exttpllo 4uality sewviC Support fw patwts
d famible5 whI15t 1151•nilg learnln9and adawing to fheir
need
Collaborativ•
fO9ethe¢ 4$
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dir•do¢s report for Ihe year ended 31 March 2021 (continuedj STRUCTURE. GOVERPIANCEAND AIANAGEMENT Trustoe Board Members The board is responsible for the overall governance of the Charity. (Tr ChiefExeculiwe is responsible for the d8y-tO-day management and fv implementing Fdicy.) The board numbers up to fifteen members. Members of the boar(l are elected al the Annual General Meeting. A Ihir(l of the membership has lo retire each year. Reliring members may sland for re-election and may serve up lo nine conseculNe years. The trA)ard is able lo idenlfy the individual skills and experience that il reeds lo have represented in ils mernbership in order to enable rt properly to discharge rt5 respon5ibililies. Candidates from the local community for eleclion lo the board may be proposed either by the board itself. by members of the LOROS Association or through open advert set against the skill sel being sought. The directors are also able to appoint a person to the board in order lo fill a vacaney. Prior lo election or appoinlrnent a prospeelive board member meets 7hlth the Chairman. Chief Executive and with one or more senK)r trustees in order lo be able lo appCIate the nature of the role of being a Iruslee of LOROS, of being a director of the company and of the scope of the CharItS services and of ils work together with information on the financkil status of the company. There is an inductK)n handbook and an induction programme for new tnjstees in order lo enable them to contribute effectNely as members of the board. LSabSllty of Members The Charity is a company limited by guarantee and is govemed by ils Memorandum and Articles of Association dated 141h February 1977. 11 has no share capital. The Memorandum of Associalion provides that every member Sthilsl helshe is a member orwlhin one year after helshe ceases to be a member is liable to contribute a sum nol exceeding £1.05 in the event of the company being WDund up. Governanco The board meets five times a year. Relevant matters Iparticularfy the annual financial budget) are agreed by the board itself. The only formally delegated powers are to the Treasurer's Committee, which is aulhori5ed to inslrvcl the°Discrelionary Investment Manager5'. also OFen, arKI close bank accounts on behalf of the board. A Retail Comfflittee {which includes the Chief Exe(yJlpie. Director of Income Generation & Busines5 t)evelopment and the Director of Finance} advises the board on retail matter5 and a Business Development Group advises on potefttial sInesS opptunIt*S neither group has delegated authority. There are also EducalK)n & Research. Clinical Governance (wh¢ch embraces clinical audit) and Equality. Diversity and Inclu51Vlty Cornmittees. They report lo the board via the Senior Management Team and the Chief Executive. Designated board members attend and Chair these meetings. In 2017. the Board of Trustees formed the Income Generation and Marketing Standards Committee in response to the publication of the Elherington Report and Charity Commission guidance on fundraising practices across the charity seelor. The sub<ommittee. chaired by a Trustee ensures the public's confidence that LOROS adheres lo new guidance on income generation and that the hospice's fundraising activities are legal. ethical. transparent and do not place the chanlVs reputation at risk. The board has also dechled to approve one Trustee in particular to take an oversight on 9)vemance matters. This Trustee wll work with the CEO to ensure any necessary responses are achieved against emerging legi51alDn and to ensure all board members are aware of and act in alignment lo their governance responsibilities. The Trustees have regard lo the matters set Jt in Section 172{1)la) lo (fj when perfoming their duty under S172 of the Companies Act.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the year ended 31 March 2021 (continued) RISK MANAGEMEAIT In Ihe past year LOROS has SignifntlY revwed ils apY0 to risk management. Whilst the overall risk register remains in place the responsibililyfor each individual risk has been devolved to a number of sub-committees where professional expertise exists lo consider those risks. Each of Ihese committees is chaired by a Trustee. this ensures they have a full and active atanesS of risk within the organisalion and that their prograrnme of a¢livily includes the maintenance and regular review of allocated risks. A new overall Risk Commtttee ha5 been fomied to ensure that the fcthssed work undertaken within each sub-committee is gathered logelher corporately and includes an assessment of LOROS, attitude towards risk more generally_ Risk reVw$ include the identrfic8tion of existiTr3 controls and of any additional ones considered lo be necessary. The main financial risks relate to the on-going security of funding from the NHS, tO9elher vAlh Ihe ability to raise suffioenl volunlary income and an adequate supply of donated items for sale through the shops. The main dinical risks rdale to Ihe safe arhj effective Ca of our patients {induding vulnerable adulls). Detailed poliues and procedures are in place to manage and to milale these risks. In5uranrR cover is maintained where il is considered appropriate. In respect of financial nsk the directors conskyer that the maintaining of LOROS, free and unrestricted reserves at the level sel down. together with the regular review pr0ce55. will provide suTficienl resources lo meet adverse conditions. IAIPACT LOROS. aim is to enhaTe the quality of lrfe of adutt patients vith cancer. Kryressrve neurological conditions and end-stage organ failure for whom curab.ve treatsnent is no longer wssible. Most of the patients referred have cancer tt LOROS does also supp(Kt pab.ents with other terminal conditions. All patients are admitted aged eighteen years and upwards. LQROS is committed lo providing a breadth of care which responds lo the patients, physul, psychologi1. sorial and spiritual needs. (This affm is consistent wrfh Ihe ch?rity's Memorandum of Association.) It is accepted that the outcomes of palliative care can be dtfficull lo quantify. 11 is abundantly clear, however. from the feedback received from patients arHJ relatives and from the high repulation thal LOROS enjoys for the quality of care provided, Ihal the charity does make a significant impact. LOROS makes a drfference in.. Providing highly effective specralisl pain relf and symptom control. provKJirvJ patients with a better qualily of lrfe. Care is provided vAlhin a holistic frdmework whh embraces physical. emotional, spinlual and social care. Optimising the condrtion of palienls. Fty many patients th will mean that they are able lo return to home Supporting patients to slay at home wilh high quality care and advice adwce through the LOROS Communty Nurse Specialists. the LOROS Day Therapy Service, medul clinic5, doctor home visits and the LOROS Home Visits'ng Service. Enabling patients lo have choices in their care thrtsjgh offering advan care planning, including ere they are looked after when they die. Avohling unwanted admissions lo an NHS A(aJte hospital trust. This may LE by supporting the patients at home or in the hospice. or a combination of both. Providing high quality professional supptyt for palienls. their families and carers when the patnI is dying {and after the (Jeath of the patient). Improving the undefslanding and practtce of pallialNe care through conlribuling to research and to the education and training of ils own and other health and S(la1 care professionals. The prOVlon ofan increasing number of communty based ser¥Kes. such as five communty ¢onsullanl clinics held in outiwng towns and two Lyinphoedema dinics.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Oifeclorfs report for the year ended 31 March 2021 (Gontinued) The Charit¥s aims are achieved through severat drffeDt. dosety intewed. dements of specialist care. AGhi•v¢ments in Pmvision ol Care These achievements may be quantified armj the levels of activty this yEar are simlar to la51 year in mosl areas. Cllnical Actlvty {whtch represents a key perfomiance indi&or). 2020121 2019120 2018119 Referrals 1,878 2.959 2.716 Ward Admissions 521 713 693 Ward Length of Slay (Average) Ward Occupancy (Average) Oul-palienl Allendanees Day Therapy Attendances Counselling Assessments arbd Sessions Lymphoedema Clinic Allendances Community Nurse Specialist Contxts COMpeMentsry Therapy Contacts Home Visiting visits 14 Days 63% 13 Days 89% 13dayB 91% 3.217 2.161 3,312 2.030 See page 7 510 3,843 2.299 2.929 1.321 2.688 2,667 1.848 2.749 2.011 1,824 2,481 2,595 1,918 2.018 1.966 The Charity responds lo requests from General Practitioners. speryalisl nurses and h95Pital Consultants for the admission of patients to LOROS, services. The l)oard monitors the activity regulady in order to ensure both that the CharilVs reSoUrS are being used effectively and that it is obtainin9 'value for monel from the funds being spent on service provisth. With regard lo the in-patient facilty, apart from the number of In-patnI episodes. the l)oard monitors Ihe occupancy and the average length of stay. The following summaries Set out the drfferent fperviee dements. Tha Hospice Inati•nt Ward The in-patient fatility is the cornerstone of the work and utilises the largest part of the financial resources. 11 has thirty-one beds Inineleen of vthich are in single patnI rooms). The hospice team provides short-lem) speClIst care for patients wth complex prOeMS {pain and symptom control) and care in the last days of lrfe. The number of in-palienl admissions lo the hospice al 521 Vfds 27% down on the previous year a1 reflects the restrictions caused by Ihe pandemic. ward staff responds qurckly lo requests for the admission of a patient. Many will admissions in response to a crisis. This reflects Ihe increasing number of admissions that tske place out of 'oifice' hours and at weekends {16% of all admissions in 20201211. 18% of patients had a diagnosis other than Canr, induding 4Vh wilh Motor Neurone Disease. The dependency of patients admitted remains high. Patients are often very unwell and have Complex needs. This results in hh ¢osls of care and high rat of staff to patients. This al times have an impact on admission figures.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dlrectorfs report for the year ended 31 March 2021 {contlnued) Achievemenls in Provislon of Carn (Conttsed} Impact of COVID-19 AII LOROS services continued lo be delivered during the paThJemic. however many were undertaken virtually via video consultations or over the phone. The winciples of care delivery rna1n a5 Outlined below. Day Th•rapy Skilled nursing and a mulli-professional team offer support for patients. This also enables a break for carers at home. Palients are offered various programmes including managing fatigue or breathlessness. The seN runs on Tuesday to Fray. Patien15 also have other services available lo them during I1r visit such as medical consultations and inwl . from the enablement team Iphysiolherapy and LuPatiOnal ttrwapy) Care for those at home Signrficanl reSJrceS are applied by the Charity to the supporting of palienls and their Carers, in the home. LOROS staff do all that they can to facilitate Ihe return home of those patients who are able so lo do. Key to this wcKk are the:
LOROS, Clinical Nurse Speualist ICNSI Team in the Cofflmunity. ffhe team collaborates and coordinates with the NHS Community Nurse Speckqlisl team5 as part of the Inlegraled Specialist Palliative Care Team). AclNity data fcK this service is now captured for the entire service and reported separately. LOROS. Enablement Team (of oecupational therapists. physiotherapists and social workers) together with the LOROS discharge liaison nurse5. facilitates the wompt discharge of palienls. It is very important for patients, and for their carers. that rf patients are ab to retum h)me they can to do so without delay. LOROS. Home Visiting Team. LOROS provides a serwce of home visits lor support calls during the pandemicl lo patients so giving the carers important lime lo Ihemsejves. With this service patients have an alternative lo attending LOROS Day Therapy. Oul-palienl Clinicsl doctor home visits. There are daily dinics for patrents 10 see the medical team. either face to face or by telephone or video call as preferred. Those who need lo be seen in person by a LOROS doctor, but are too unwell lo attend dinic can be seen at home. Lymphoedama Tr&*ment This-5ervice &vIde$ support for patients with Lymphoedema across Leicester, Leicestershire and RullarKI. LOROS provides care for patients when the Condon is related to cancer bul a150 for some nditionS Ythere il is not cancer related. In the ture, the clinic will be focu5tng on supporting those with Lymphoedema secondary to cancer. Major improvements in the INes of paIntS are achve. At 2.030 contacts in 2020121, activity was up 11 % on the previous yEar. Complemenlary Therapy Therapies are pro¥ed to patsenls whether allending as in-patients or as out-patEnl$ and to carers. Activity in 2020121 was down 80% on the year befe, reftecting the restn"ctions the pandemic had on the service.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs rèport for the year ended 31 March 2021 (continu#d) AGhievements in Pmvislon ol Care (conbnued) Counsdling LOROS provides a number of drfferenl therapeutic inlerventions for IKtrlh patients and carers, including bereavement counselling. 11 does not seek lo provide long-term Iherapeulic support. The work is focussed on short term inteNenlions. generally of no more than six sessions lor, by agreement, of up to twelve). The service now Iude$ a children and young people's counsellor, provides counselling for the children of patients accessing LOROS services. This posl ha5 been supported for 3 years by a 5pe¢rfi¢ donation to Ihe hospice. The lolal number of sessions and assessments in 2020121 at 3.312 was 13% up on the previous year. Non£anG•r Care The board is mindful of the implicab'ons for LOROS of the wish to see palliative care extended lo support other patient diagnoslic groups. The amount of work which is T1 nCer-related is growing sloyly Ihough the main emphasis remains on caring for patients with malignancy. Non cancer patients most commonly seen are those with neurological conditions such as Motor Neurone Disease and pab'ents with erHd stage organ failtjre. The Lymphoedema Clinic contacts a eurrently spltt at)Ut 50150, eaneer and non-malignaney related . though the focus is m¢)ving lo caneer related lymphoedema in the future in agreement with commissioners. LOROS has developed a number of outpatient dinTh specrfically for non<ancer patnIs. Work with non-cancer patnIS is often camed (YJI in consultation with other specialist healthcare professionals. To provKle addi(ional SUppt for patients who may have a secondary diagnosis of dementia, end stage dementia or have a dose relative with dements'a. LOROS appointed an Admiral Nurse in 2019, partly funded by Dementia UK until March 2021. The Futur• There remains subsLintial financial pressures on Ihe health social care system locally in Leicesler, Le1terShire arKJ Ruuand (LLR). and as a consequence on End of Lrfe 5ervice5. This siluation has been further sKJnrficanlly impacted upon since March 2020 by the COVID 19 pandem. There can be Thj doubl that this vill have long lasting consequer1$ for society worldwide. LOROS has, by necessity. eded lo redesign its care servw a1 also has responded creatively lo the new challenges of incorne generation in an environment thal demands social distancing. The Senior Team and Board of Trustees have met rn0 regularty. directyy alongside lleagUeS responsible for service deliver in order lo plan for the future and to ensure decisions are taken in a timely and effective manner. This approach will continue throughout the comir¥J year and as long as nSSary until the new fomi of nomial working is found. LOROS remains an intwal member of the End of Lrfe C¥e Programme Board that is developing services across LLR. The board have not Identd plans to increase the number of inpatient beds. however 2018-19 saw the continued expansion of LOROS into the communty. Building upon our mokn.le resource LOROS Local and oulpalienl clinics at Uppingham Surgery in Ruuand, LOROS further extended ils reach by developing four additional d¢xtorfs surgers in ouuwng towns. TtrM)se were Hinckley. Ashby, Mellon Mowbray and Market Harborough. These communily dinics have been on hold during the pandern and are being reviewed. LOROS remain5 eager to design and develop a 'well-beiThJ cenlre. whbch will bring informatsw, advice. support and other non<linical hospice serviees to a setting within a town outside of Leicester thus
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directof$ report for the year ended 31 March 2021 (continued) Achievements in Provision of Care (continuedj signrficanlly irtteasing accessibility. We are planniTr3 to devdop this alongsKJe a compassionate communitys inilk41ive and in partnership syilh another local charity wthin Leicester. LelerShIre and Rulland. A new 3 Year Strategic organi&rykn"onal plan was launched in January 2020 and this is being reviewed in response lo the impact of COVID and the financial resources now available lo the hospice. It is anlicipaled that there wll be a series of service reviews and re-designs, none of which 11 impact upon the CO mission of the charity lo provide specialist end of lrfe care. It is FeaSIng lo note Ihal LOROS had taken the derysion in 201910 appoint a new l)reclor of Income GeratIon and Business Development. This has Pfoven to be a very positsve and proactive decision as il ha5 allowed the charity far more delailed planning of income generation induding greater frS on new income streams. There is an ongoing focus lo create sustainable incorne for Ihe hospi and lo act assertively when opportunities arise. The corning year 15 one of less certainty than many before however the Dire¢tofs remain committed lo work with the Senior Management Committee. the wider staff and all volunteers lo ensuTr that the future strategy is rigorously pursued and lo make every effort to ensure that LOROS in responding to the changing needs of the communities of Letisler. Leicestefshire and Rulland. PUBLIC BENEFIT LOROS Care Services are available to the communty as a wtH)le in Leicesler. Leicestershire and Rutland on the basis of "Clinical Need". LOROS does not Fvovide Children's Sepitis (apart from counselling support) which are available in other settin9s and LOROS. patients are aged eighteen years arKI upwards. LOROS services are provided wlhoul charge lo the patients and families recetving the care. In-palienls al the hospice would. rf not with LOROS. have to be in another healthcare selling and most likely an NHS Acute Hospital Trust. Patients at home would in many cases. rf 1 supported ty LOROS. be in an NHS Acute Hospital or be drawing upon NHS resources in other vrays. The directors consider that they have complted with I1r duties under section 4 of the Chwits'es Act 2006 10 have due regar(I to public benefit guidance putlished by the Charities Commission. PA TIENTS. ADVOCA TE LOROS makes a very significant contribution to the provisw locally of pallialive care. In the face of the local need the financial resources of the board are clearly limited. However. the Board (and the wider health community) recognises the very important role that LOROS plays in eslablishing and demonstraling quality and stsndards of care. In this way the impacl and infiuence of the hospice exlerKis 11 beyond those services provided direcuy by the charty. LOROS has an aclwe Patient and C*er part1patIOn group supr•Yt the organisalion wrf(h quality assurance and ongoing Service development. EDUCA TION & TRAINING LOROS is recognised by the Royal College of phYSlan$ as a training centre for doctors uThJertaking Palliative Medicine and Internal Medicine and also by the Rordl College of General Practitioners for GP training. Hospital doctors and general practitioners wanting lo imwove the palliative skills can attend teaching sessions and sperKI time with staff al the hosrmce. All Le$ter medical students attend LOROS during their training. This
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the yèar •nded 31 March 2021 {continu8d) experience raises standards of symptom control and enables hospi care lo be adopted into other settings. Nurses and allied health professionals access our training vthich helps lo extend the knowtedge ol pallialive care across Lei¢e51er, Leicestefshire and Rulland_ Student nurses. paramedic5 and therapists complete placements on Ihe in- patient unit. day-therapy unit and have opportunities lo work wlh Ihe Clinical Nurse Specialists_ Courses are also provided for Social SeNices care workers thereby exlerHling knowledge lo residential homes and lo care in the community. Offering clinical placements was a challenge dwing 2020121 due to the pandemic and the measures pul in place lo ensure slaff and patient safely. however our fa to face teaching of medical students was able lo continue and we supported 374 Medical Students and 172 FY1 junior doctors with training and acements The LOROS Education department Iwth the assistance of furKling from the NHS) has developed a broad programme of education for the Wer health and social care community. induding study days. workshops. seminars. accredited programme5 and lectures. During this financial year. the number of delegates was 3,228. an increase of 1,063 from the previous yEar. The education provi(led by LOROS has a signrfunl impact upon the knowledge and skills of health and social care professionals and conseqvenuy therefore upon the care of PatnIS. This is enhanced by collaboration wlh De Monrfort University and the University of LeKe5ter, for whth we are the affiliated teaching hoSpe and working with other Universities in the Midland5 to offer plxements for prvegistratK>n heath students. We are an acuediled City & Guild5 centre, e¢l claims status for our pallrative care programmes. We have achEved the kills for Hcalth Quality Mark whic.h d¢mon4lratcd to ernploycTr and sludcnl: that wc mccling quality standards with our edu¢alion delivery. We are the aedited ¢entre lo deliver Sage & Thyme foundation level communtslion skills for Leicesler. Leicestershi & Rulland and have delivered this training to 153 learners, all of which work in health and SOCTal care settings. RELA TIONSHIPS WITH OTHER BODIES In cordInatIng patient servus LOROS. as an "independent providerf. works closely with other local health providers both within the statutory and volunlary SectS. LOROS. NHS Grant Funding has been provided through Ilwee thal Clinical Commissioning Groups. Whilst the NHS rffovides less Ihan one third of the clS annual revenue. LOROS does rely heavily upon the continuity of provision of the NHS income l%thether by grant or through some olher fo of agreement) and any reduction in this funding would have a direcl impact uw)n Ihe level of service provision. The Charity continues lo be dosely irwolved wih the local NHS Trusts in the provt5ion and development of palliative care. LOROS as a voluntary hoSpe 15 able to access grants which otherwise would not be available within Leicestershire and Rulland_ These funds have been used to support service developments within the local community. LOROS has a commitment lo research and has research and dinical links wlh the Universrty of Leicesler, De Monrfort University arvj wth the Universty Hospitals of Leicester NHS Trust (UHL). The charity has working relatn$p$ with a number of NHS bodies in the East MidlarKls, for example the Local Education and Training Board. Through ils ambib'on to become a Centre of Excellence. il has also begun to engage more closely with other relevant partners. such as the Academic Heallh Science Netw)rk. Care Quality Cornmission (CQC The CQC did not carry out an inSpeCtn of LOROS and ils services during 2020-21, however. regular engagement meetings have been held wlh the CQC inspectors. which has enabled the sharing of information and provision of assurance. 10
Leicestershire & Rutland Organisation for the Relief of Sufferlng Limited Directorf8 report for the year •nded 31 March 2021 (contlnued) Due to the CoronavinJs pandemic the CQC paused routine in5peekn.ons and are using the Transitional Monitoring Approach ITMAI to monitor services. The TMA focuse5 on safety. how effectsvely a seNice is led and how easily people ¢an aeeess the service. The TMA indudes.. a strengthened approach to monitoring. based on specrfK existiThJ key line5 of enquiry (KLOES), so the CQC can continually monitor risk in a service using technology and local relationships lo have better direct contact with people who are using services, their families and staff in services targeting inspection aclNily where they have ¢onceN The TMA is not an inspection. therefore services are not rated. LOROS had a TMA online convwsation with our inspector in February 2021. Department of H•alth Quality Accounts VEre introduced as a result of the NHS (Quality Acc(yJnts) Regulations 2010. having been sel out in the Health Act 2009. They are 2 new fomi of annual rewrt to the public about the quality of services provided and quality initiab.ves planned. LOROS. Qualty Account for 2019120 can be viewed on the website Nww.loros.co.uk. FINANCIAL REVIEW The charty is in a sound financial posrtion despite the drfficult situatK)n in Ihe general economy and the effects of the pandemtc. The directors are careful about taking on commitmenls that may not be sustainable in the medium temi. T director5 seek to balance carefully the demonstration of financial prudence with a need lo maximise patient benefits in the short-lerm by spending the monies donated for patient ca_ They are also of the view Ihatthe cash resource$ held by the Charity enable il to respond effectrvely and flexibly lo external change and to opportunities. Bu(Jgels are set at the beginning of each financial year. Expenditure i% priorilised and monilcfed in order to oplimise the overall benefits for patients. A Surplus of £7g8,724 {2020: £2.166.308 deficit) ps recorded in the financial year. 11 is importanl lo note that the COVID pandern has caused Ihe senior team and Trustees lo make some significant decistons that have helped to safeguard the future of the charity and ensure il remains a strong going concern. A financial review has taken place and resulted in a round of redundancies 10 reduce overheads. a successful Cost efficiencies programme has been undertaken and a review ol dinical servKe struthjre v demar is also being managed as the medium term impacts of COVIO become clear. EMPLOYEE ANO VOLUNTEER ENGAGEMENT LOROS has extensive processe5 and systems in place to engage with OLJr staff. We have a staff intranet which is regularly updated wlh the lale5t infrymalK>n and eommunubons. We embarked on a series of staff engagement initiatives called CREATE 2020. The aim being that by the end of 2020. through staff and volunteer enga9emenl. a Series of initiatives will be implemented and embedded to ensure Staff and volunteers continue lo be valued and al the heart of evehIng we do. In addition LOROS has a vdunleerfs voice programme. We also have a Patients Carers Participalion Group that regUlaY seeks the views of those who access our Seices. We ensure thal actions following recommendations are fed back to the 0UpS. Since the COVID-19 pandemic outbreak, we have further strenglhened our staff and volunteer engagement by having regular online forums. 11
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the year ended 31 March 20211continued) LOROS is committed to crealirg a positwe culture of dignity and pect lor all indivKluals. Our intention Is to identify and rninimise any form of discrimination, harassment and ¥Im1$atiOn that disadvantages people who Klenlify against the protected characteristic5 listed under the Equalrty Act 2010 COSTOF PROVISION OF CARE {A¢tsvifres in furtlw•nce of the t>biects of the chaiity.) Charitablg AGtivitioS The cost of charitable activities * £10.959 million (2020.. £11.829 million) was down 7% on the previous year. INCOAIING RESOURCES Section 1628 of the Charities Aet 2011 requwes charities to make a statement regarding fundraising activslies. Although LOROS does not undertake wesPread fundraising from Ihe gereral public. certainly outside of Leicesler. Leicestershire and Ruttand, the legislatn defines fund raising as'soliciling or otheThv6se procuring money or other property for charitable purposes.. Such amounts receivable are presented in our accounts as 'voluntary income. and include legacies and grants. In relation lo the above. we confimi that all solicrtations are managed inlemally. The day lo day management of all income generalton is delegated lo the execulr¥e team. are accountable lo the trustees. The charity is not bound by any undertaking to be l)ound by any regulatory scheme but is mindful of and adheres lo the Fundraising Regulators Code of PraCe. Charity Commission GUelIneS and Regulations and Data Management enforced by the Informab"on Commissioners. Office. The charity has a'safeguarding PdIC which wves lo protect not only our own staff but also those people deemed lo be vulnerable wrth whom LOROS rnaycome in to contact through fundraising 8Ctivilies including Lollery doorstep collections. serviee in our shops and contact at or through fundraising events. Unreasonable intrusion. pwsislent approaches and undue pressure a not acceptable. National Health Service (NHS) 35% of current unreslricled charitable expenditure was covered by grants from the NHS from various sources of funds, 10% more than the previous year arKi reflects the requirement to reslrict expendilure relating to the NHS England funding noted below. The overall amount r1Ve from the NHS of£2.84 million {2020'. £2.96m) was 4% less than last year. In addition, NHS EnglarKI abyardeol funding lo allow hosp to rnake available bed ¢apacily and communty support from April 2020 to July 2020 to provKle support lo people wlh CoMeX needs in the context of the COVID-19 situation and to provide bed CapilY and cofflmunity support from November 2020 to March 2021 for the same purpose. The income and asswal&J spend are disdosed as restrict. Donations, l•gaci¢s and similar inGoming r•sourc Apart from the NHS monies the Charty relied upon the continued gener05ily of the people and organisations of Leicesler, Leiceslershire and Rullan(J. The income received in the year was £6.602m {2020.. £6.762ml. down 2Yo on last year, with the defrit attrthtable to a reduction in legacy income Fundraising There is a sustainable programme of fundratsing bn a very ¢ompetrtive environment. The board values highly the substantial amount that raised each year from Ihe local Mmunity by way of vdunlary irwme. LOROS has a wide p0110 of fuTrJrai5ing activiltes lo generate voluntary donations Icy4vards our core work.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dir•ctorfs report for the y•ar ended 31 March 2021 (continued) LOROS has a wide porttolio of fundraisiNJ actNities to generate voluntary donations lowartls our work. Our fundraising is employee and vdunteer led. we ¢Jo not ernOY the services of exlemal agencies. We are committed lo buildirKJ trust vitth our supporters, which is why are members of the Fundraising Regulator, Hospice Lottery Associati(x). Charity Retail Safeguarding Scheme and have individual memberships with the Inslilule of Fundraising. Our Inwme Generation and Marketing Stsnd¥ds comMee meet tsvice a year to promote public. donor. .board. staff and volunteers confidence in the income generation practices al LOROS, ensuring elhital practices by all teams responsitAe for Income Generation & Marketing. During the financial year 2020-2021 we receive(i no complaints rdatirvJ lo our fundraising aGtivity. Three complaints V•we received in relation to our subsidiaries. Trading Company- {LOROS Enterprise5 Limtted - a who1ly-oed Subslary of the charity.) The largest part of Ihe Irajing coMpanS lumover relates lo the SPW of whi¢h there are Iwenly-nine. The overall reported profit contribution of £203.269 was 30% down on the prevK)us year due lo the effects of the pandemic, our shops being shut for 7 months of the finala1 year In October 2010. a scheme to enable grft aKI to be daimed on some donations through the charity was launched. This has proved lo be Successful and generated an additional amount through the charity which to some extent compensaled for the loss of profil through LOROS Enterprises Lld. In 2020121, this retail grfl aid related income amounted lo £144.211. which was £712.801 less than the £856,812 achVed in 2019120. again allributable to the effects of the pandemic. The shops depend UPM)n local support both for SUpplS of gwd qualilydonated items, from which the shops derwe nearly all of their Fyofils. and for Sufflent wmbers of vdunleer helpers. LOROS Lottery (through LOROS Lotterbes Limited- a vAK)IIy-owned subsidiary of the charity). The LOROS Lollery had another successful ar and, despite the challenges in the economy. generated a substantial profit of £791,196 {2020.. £716,617). 10% up on the previous year. Legacies Apart from the slalutoryfunding. legxies are usually the chariVs I51 Single source of income bul the levd each year can flucluale sunrfunlly_ This year legacy inrne of £1,013.522 represented 160h of LOROS, total voluntary income (compared wilh 44% in 2019120, 46% in 2018119. 520h in 2017118 and 42Yo in 20161171. The amount of legacy income accounted for can make a very greal drffererKe to the overall re5ulls. Legacy income is not predictable bul il has been Ihe surpluses provided by legaeS that has enabled Ihe charity lo build up and to maintain the reserves al the required levels and lo undertake Capital projects. Because of the potential for signrficanl fluclualions the t#)ard is ryrcumspect in the degree to which. in any one year. il relies upon legacy income in order lo fund the on-going revenue expenditure. Volunteers In addition lo the income evaluated in the slalement of financial activities. the charity is dependent upon the support of approximately 1,300 regular vUnteer$. Volunteer a¢ts"vities span the whole range of functions from fundraising lo SeiCe provIsn. The directors are of the opinion that il would be impractical to attempl to quantify the value of work done by volunteers. Investments Investment perfomiance was excellent during the year wlh an unrealise(I valuation surrAu$ of £1,284.363 (2020: defKil of £367.638). 13
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directo¢s report for the year ènded 31 March 2021 (continued) RESERVES POLICY The directors. current policy is lo hdd the equivalent of six months, [ren1 expenditure as free reserves in readily realisable form. This poly requires Ihal free and unfeslricled reserves are maintained at a level that would ensure that LOROS, cole activities could be mainL3ined in the short lo medium term during periods of adVee financial conditions. This cover is required in order to wovide for-
adequate working capital urrforeseen expenditure streams of income or expendilure being drfferent from that budgeted growth in (Jemand for care se[w$ replacement of tangible assets This policy is reviewed not les5 than annually in order to ensure that the reserve target is appropriate. The board considers Carefully the Charitys wrnmilment5. taking into account the risks inherent in these commitments and in rts activities generally. 11 monil(Ys. on an on-goin9 basis. the fund balances available relative to 115 financAal plans and lo the meeting of ils objectives in both the medium and longer lerm. The current level of reserves is in excess of the polw bul is deemed to be appropriate in view of the exceptionally high ojrrent level of uncertainly with regard lo future NHS funding combined wth the general economtc outlook affecting voluntary income. Reserves Cover Based upon the expenditure for 2020121 the minimum free reserve requiremenl was £5.5 million. At the end of the year free reserves, equivalent in this case lo the nel current assets of the Charity, stood al £4.5 million. The reserves had been built up lo cover the hospice sile devdopment from 2016 10 2018, which has resulted in £4million of reserves being designated for this purpose in 2015116. As al 31st March 2021, the level of resenfes re as folbows.'- Unreslricled FurK15 Restrted FurKIs Designated Fund$ £16,692.587 {2020: £15.438.055) £3.857.291 12020.. £3.882,504) £3.S13.07112020.: £3.943.666) Investment Policy As part of its ¢)n-going risk and reserves assessment the Charity has appointed Smith and Wtlliamson of Birmingham to pr0vide-discretnary investment managemenf. At the end of the year the funds invested were valued al £6.0 million12020.. £4.7m). up 28% on last year. reflecting the recovery in global stock prices since the start of the pandemic. In additL)n to this. through grfts ift wills during the 2019120 year. the charity owns property wth a book value of £250.0(Ml. from which it is eaming rental income. The board has an agreed statement of investment principles. The aim is to produce a net return. year-on-year, better than Ihe holding of cash. There is a150'. a Treasurerfs Committee whh regulady revie wtomance an elhThl investment pdicy (whh is to avoid the toba(£o industry} Over half of the Chari$ fvnd bala of £24.1 millM)n relates to the tangible operdtional assets. which are held principally in its propert. The directors keep under review the diversfficalitin of the funds held by way of serVeS. 14
Leicestershire & Rutland Organisation for the Relief of Suffering Limited DirgGtorfs r•port for the year ended 31 March 2021 (Gontinued) SUMMAR Y De5Plte the significant issues in the UK ecorK)my over the last year and unanlicipaled irnpacl of the COVID 19 Pandemic LOROS has largely Ln able to sustain its range and level of dinical activities Nthich provide suGh excellent and valued care and support for patients and family members across Leicesler, Leicestershire and Rulland. The overall finanryal position is being monitored very carefully a1 will remain a key focus in all that can be aGhieved going forwards in such a volatile lime. Thanks musl be expressed to Ihe people and organisalions of Leicesler, Leicestershire and Rulland who have enabled LOROS lo achieve so much and who have contributed to the raising of a huge amount of voluntary income in the year. 11 is the partnership between LOROS. the NHS and the wider community that has over the years enabled the aims of LOROS lo be realised. Year by year the Charity has relie(l uwn increases in voluntary supp)rt well ave inflation as the annual percentsge increases in the NHS grant have failed lo keep pace th inflation. In most cases the cost of service developments has had to be mel from new voluntary income. None ofwhal has been set out could have been achieved thOut the hard and dedation of LOROS, skilled staff and volunleers. The board thanks all of the staff for their commitment lo the work of the Charily. The directors are confident that LOROS has an important and continuing place as a provider of high quality eafe, as an upholder of the elhos arKI values lo which it has always held and as an advocate for patients and their families. Provision of Infomiation to audilor Each of the persons who are directors al the time this Directors, Report is approved has confirmed that: so far as that director is a¥e. Ihere is no relevant audit wrf(Ymation of whi¢h the charitys auditor is unaware", and that director has taken all the steps that ght to have been taken as a director in order to be aware of any information needed by the charitS auditor in connection with preparing their report and lo establish that the charit15 auditor is aware of Ihal information. ROBIN GRAHAM-BROWN Chairman. Board of Trustees. LOROS ANDREW STANT Vice£hairman l& Honorary Treasur) Board of Trustees. LOROS 2021 2021 15
Leicestershire & Rutland Organisation for the Relief of Suffering Limlted Statement of trustees. responsibilities The Directors are responsible for preparing the Direct,¥ annual pOrt and the financial statements in accordance with applicable law and regulations. Company law requires the Director's lo prepare financial statements for each financial year In accordan with Unrted Kingdom Generally Accepted Accounting Practice (UK Accounting Stsndards and applicable law). Undereompany law tt Directors. musl not approve the financial statements unless they are satisfied that they give a true and fair view of the stale of affairs of the group and parent charity and of the incoming resoueS and application of resources. indu¢Jing its income and expenditure of Il group for that period. In preparing these financbal slalemenls the trustees are required lo.. select 5uitsble accounling FKJlicies and then aPY them consistenuy. observe the methrxls and principles in the Charitie5 SORP 2019 (FRS 102)". make judgments and accounting estimate5 that are rea50nable arKI wudenL slate whether applicatAe UK actntIftg standards have been followed, subject to any material departures disdosed and explained in the financial stalemenis.. and prepare the financial ststefflents on the going concem basis unle5S it is inappropriate to presume that the tharity will continue in busines5. The Directors are reSponsie for keeping adequate accounting records that are sufficienl lo show a1 explain the chariWs IransactKJns and disclose with reasonable accuracy al any time the financial position of the group and parent charity and enable them lo ensure that ihe financial statements comply with the requirements of the Companies Act 2006. They are also responsible for safeguarding the assels of the group and parent charity and hence for taking reasonable steps for the prevention arKJ detection of fraud and olher wregularilies. 16
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Independent auditorfs report Oplnion We have audited the financial statements of The Leicestershire & Rutland Organisation for the Relief of Suffering Limited I'the Parent Charitable Company") and its subsidiaries 1.the Group") for the year ended 31st March 2021 which comprise the con501idated Statement of financial actiwties, the consolidated and parent charity balance sheets, the consolidated cash f low statement and notes to the financial statements, including a summary of significant accounting policies. The fFnancial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards. inCIling Financial Reporting Standard 102 The Financial Reporting Standard applicoble in the UK ond Republic of IreloTh¥ (United Kingdw Generally Accepted Accounting Practice). In our opinion. the financial statements: give a tnje and fair view of the state of the Group's and of the Parent Charitable Company's affair5 a5 at 3151 l+tsrch 2021 and of the Group's incoming res¢)urces and application of resources and the Parent Charitable Cornpany's incoming resources arml application of resources for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Companies Act 21JN>. Basls for oplnlan We COndted our audit in accordance with International Standards on Audlting {UKI IISAS IUKII and applicable Law. Our responsibilities under those Standards are further described in the Auditor's reswnsibilities for the audit of the financial statements section of our report. We are independent of the Grcmjp and the Parent Charitable Company in accordance with the ethical requirements relevant to our alt of the finandal Statements in the UK. including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilitie5 in accordance with these requirements. We believe that the aJit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Conclu5i0n5 related to going concffn We have nothing to report in respect of the folling matters in relation to which the ISAS IUK) require us to report to you where: the Director's use of the going C(cern basis of accounting in the preparatlon of the financial statements IS not appropriate; or the Directors have disclosed in the financial statements any identified material uncertaintie5 that may cast significant doubl al)out the Group or the Parent Charitable Company's ability to continue to adopt the going concern basis of accounting for a peri¢)d of at least twelve months from the date when the financial statements are authorised for issue. Other Informatlon The other information comprises the infonnatlon Included in the Director's Report. other than the financial statements and our auditor's report thereon. The other information comprlses the Dlrectof's Report. The Direttor5 are resps7b1e for the other information. Our opinion on the financial statements dce5 not cover the other infonnation and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclu5ii)n thereon. In connection with our audit of the financial statements, our responslbility is to read the other information and. In doing so, consider whether the other information is materially incon515tent with the financial statements or our knowledge obtained in the audit or othefwise 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. 17
Leicestershire and Rutland Organisation for the Relief of Suffering Limited Independent auditorfs report {contlnuedJ We have nothing to report in thi5 regard. Opini$ on other matters prescrlbed by the C¢)mpanles Art 2006 In our OPTnion, based on the work undertaken in the cojrse of the audit: the information given in the Tru5tees' Rewrt. vthich incIje$ the Directors. Report and the Strategic report prepared for the purp05e5 of Company Law, for the financial year for which the financial statements are prepared is consistent vrith the financial statements" and the Strategic report and the Directors. Reph)rt, which are included in the Tru5tees' report. have been prepared in accordance with applicable legal requirements. Matter5 on whlth we are requlred to report by exceptlon In the light of the knowledge and understanding of the Group a1 the Parent Charitable Company and its environment obtained in the course of the audit. we have not identified material mi55tatement in the Strategic report or the Trustee'5 report. We have nothing to repcyt in res of the following matters in relation to which the Companie5 Act 21 requires us to report to you if, in our opinion: adequate accounting rectYd5 have rK>t been kept by the Parent Charitable Company, or returns adequate for our audit have not been received from branches fK>t visited by u5: or the Parent Charitable Company financial statements are not in agreement with the accounting records and returns: or certain disclosures of Directors. remuneratiijn Specified by Law are not made" or we have not received all the inforniatii)n and explanations we require for our audit. RespwsibilitTes of Trustees A5 explained fflore fully in the Tru5tee5' re5pon5ibilities statement. the Trustees (who are a150 the directors of the charitable company for the purposes of company law} are respM)nsible for the preparation of the financial statements and for being satisfied that they give a true and fair vie*i, and for such internal control as the Trustees determines is necessary to able 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 a55e55ing the Group's and the Parent Charitable Company's abllity to continue as a goiro concern. dTsclosing. 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 th so. Audltor's responslbllltles for the audlt of the Ilnandal statements We have been appointed as auditor under the Companies Art 2(M]6 and report in accordance with the Act and levant regulations made or having effert thereunder. Our objective5 are to obtain reasonable assurance about whether financial statement5 as a Nvhoie are free from material misstalemet. whether due to fraud or error. and to issue an aLKlitor'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 IUKI will alway5 detect a material misstatement when it exists. Mis5tatement5 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 user5 taken on the basis of these financial statements. Irregularities, including fraud, are instances of non.compliance with laws and regulafions. We de57gn procedure5 in line wth 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 15 detailed below: 18
Leicestershire and Rutland Organisation for the Relief of Suffering Limited Independent auditorfs r•port (continued) Audltor's responsibilities for the audit of the finandal statements {Cont. We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and detem)ined that the most significant whith are directly relevant to specific assertions in the financial staternents are those related to the financial report framemorks (UK Generally Accepted Accounting Practice. the Companie5 Act 21kn1 arml the e¥ant tax compliance regulation5 in the jurisdittion in which the company operates. We enquired of management whether they were aware of any in5tance5 of non-compliance with lav and regulatTon5, or whether they had any knowledge of actual. suspected or alleged fraud; We assessed the susceptibility of the entitys fTnancial statements to material misstatement. includlng how fraud might occur: Our testing considered unusual or unexpected joumal entries on a sample basis. We evaluated the assurnption5 and judgements used by management within significani accounting estimates arKI asse55ing if these indicate evidence of managemenl bias: We tested significant transactions. in particular the evaluation of the business rationale for any whld) appear unusual or outside the c(Mnpan¥5 nomial course of business" We assessed the appropriateness of the collective cofflpetence and capabilitie5 of the engagement team by understanding the practical experience viith audit engagements of a similar nature and complexityi plu5 ensurirrf4 the team had appropriate and relevant training of the financial reporting framework and the relevant tax compliance regulations Specific to the entity. We reviewed the financial statements and tested the disclosures against supporting documentation. We have assessed these areas at group level and at component level where appropriate, we performed the component audit work ourselves as Part of our audit of those entities. We communicated relevant matters to all member5 of the aLKlit team to ensure understood the risks specific to the entity and the audit predureS planned to mitigate these. Because of the inherent limitations of an atxjit. there is a risk that will t detect all irregularitie5. including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance th a law or regulation is removed from the events and transactions reflected in the financial statements. as we V11 be less likely to become avrnre 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 fflisrepre5entation. A further descriptioft of our responsibilities for the audit of the financial statimnents is located at the Financial Reporting Council'51"FRC'5"} website at- htt s: Ilwvhv.frc.o .uklauditorsres nsibilities. This description forms part of our auditor's report. Use of our report Thi5 report 15 made solely to the Charitable Company's member5, as a Ix. in accordance viith Chapter 3 of Part 16 of the Companies Act 2CQ6. 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 audlt work, for this report, or for the opinions we have formed. A/A- R J Radford FCA (Senior Statutory Audilorl For and on behalf of The RoYAeys Partnership Ltd (Eligible to act as an auditor in terms of section t212 ofthe Ccvnpanies ad 2LX16) Statutory Auditors Charnwood House Harcourt Way Meridian Business Pwk Leicester LE19 1WP Oate '/,/ 19
Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolidated slatement of financial activities for the year ended 31 March 2021 2020 lunds Funds funts fund5 Income frem.. t&)nabons WCS Invesbnen15 Olfr Irading aCb¥ibeS.' - Shcp incorne - Lottery imcome 3.76Q460 1835,136 111.956 801.$¥ 111.956 6,350.498 157.364 411,467 6.761.965 157.364 2.059.871 I..713 1059.071 1.356.713 2.311.374 1,370,266 2.311.374 1,370.266 7295,000 1835.136 10.130.1 10,189.502 411,467 10,FKK),969 Charitabl¢ a¢tivilies conlribution by the Manal Health Seftri¢e Educa41 actsvrties 1838,729 560.271 2.138.7 560.271 2,960,450 337,681 2,960,450 337,681 Total Income 10.W.IXYJ 2.135.1 13.$29.136 13.487,833 411.467 13.899.100 ExpeThJitUf• on.. Raising funds Sp expenditure Lollery expenditure FuThYraising costs DppreciatI of lEa5&k1 sl opertie5 Inves1rn1 mwaoement fees CorwaiK)n tax 2.042230 565.517 417.032 1042.236 565,517 417,032 2.548.305 653.649 632.117 2,548.305 653,649 632,117 1,721 8.721 3,474 31,516 3.474 31,516 Charitae acllvltles 3.056.034 3.056.034 3,869.061 3.869.C61 The Lw¢estetshire aTrJ RuOaTrJ spice •.098.392 la.34 10.K8.741 11.519.418 309.291 11,828,709 Total expgnth¢u 11.154A25 1860y9 14.014,775 15.388.479 309.291 15,697,770 ProfiVIL0551 on invesknwt 3558ts 1.2M.36J 1.204.363 1367.6381 1267,6381 Nel irmne 821397 125213) 798.724 12,268.4841 102.176 12.166.308) Total brought forvord 14.381.721 3.881504 21264.225 21,650205 3.780.328 25.430.533 TWI fvnd$ l<>ThArd 20.205,658 . 3.857.J1 19,381,721 3.882.504 23.264.225 The swtement riaral acbmties I185 al gair6 zTrJ hSe5 re¢fj9nts&J in the ye¥. Al In(x)min9 resources art resc4rn ex[3 duive frum cbU1r4 acb"¥ibes notes on pages 25 to 43 Icrn part ollh858 finarKial stalwneni5. Consolidat•d sunThry Inc¢)me and ¢Irlitle 2021 2020 Gross in(x)me of continLllng OP6fdb"or Total eyendilure ol opvaN) Realised gainslllosse51 on dpoS¥1 of iAvesknwla$8eis 13,$29.13fj 114.014.7751 1247,2661 13.B99.100 115.897,7701 1370.7491 Nel inwne the year (132,9051 12.189.419) A tletai18d analysis of InCe by 5CUCe in Ihe of finorial actro$. 081aed arotysis of exwaiture is prowded in thè 51atement of fironrA* and in Tr)te 5.
Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolidated balanGe sheet al 31 March 2021 Company number 01298456 Note 2021 2021 2020 2020 Fixed assets Tangible assets Investments 13.340,606 6.247,678 14,004,550 5.094,529 19.588.284 19.099,079 Current assets Stocks Debtors Cash at bank and in hand 42.437 3.902.252 1.918.094 84.351 5.002.762 1.303.887 5.862.783 6.391.000 Creditors: amounls falling due within one year 10 (1.388.118 (2.225.854 Net current assets 4.474,665 4,165,146 Net assets 24,062.949 23,264.225 Funds Restricted funds Unreslricled funds= Designated funds Other charitable fur¥Js Revaluation reserve 12 3,857291 3,882,504 13114 13 13 3,513,071 15.03S.790 1.656.797 3,943,666 14.818,355 619,700 24.062.949 23,264,225 The firla1 statements were approved by the members of the Board of Trustees on on its behalf and signed Robin Graham-Brown Chatrman Andrew W Slant Honorary Treasur•r The noles on pages 25 to 43 fom part of these financial statements. 21
Leicestershire and Rutland Organisation for the Relief of Suffering Limited Charity balance sheet at 31 March 2021 Company number 01298456 Note 2021 2021 2020 2020 Fixed assets Tangible assets Investmenls 13,248.050 6.247,682 13.888.912 5,094,533 19,495,732 18,983,445 Current assets Debtors Cash al bank and in hand 3,976.971 1,479.324 4.868,971 1.224,59S 5.456.295 093.566 Crgditors: amounts falling du¢ within one year 10 (1.014.310) I188.553) Net Gurrent asséts 4.441.984 4,225.013 Net assets 23.937,716 23,208.458 Funds Restricted fijnds Unrestricted funds.. Oesignaled funds - Other charitable funds - Revaluation reserve 12 3,857,291 3.882.504 114 3,513.071 14,910.557 1,656,797 3.943.666 14.762.SB8 619.700 23.937.716 23.208,458 The financial statements were apwoved by the membefs of the Bowd of Trustees on on ils behalf and signed Robin Graham-Brown Chalmlan Andrew W Stant Honorary Treasurer The noles on pages 25 10 43 form part of these finala1 statements. 22
Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolidated cash flow $tslemont for the year ended 31 March 2021 2021 2020 Nel cash flow from operating activities Net Gash inflcwi from investing xtNilies 463,994 213,695 (1.633.590) 570.918 Change in cash arm1 cash equNalents in yEar 677,689 (1,062.672) Cash and cash equivalents at the beginning of year 1,423,525 2,486,197 Cash and cash equivalènts at the end of the year 2,101,214 1.423.525 The notes on page 25 10 43 forni part of these financi4 statements. 23
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes to cash flow sLqternent for the year ended 31 March 2021 Cash flows from operating activilies 2021 2020 Net income per SOFA {GainyLOSS on investment 798.724 (1,284.3631 {2.166,308) 367,638 Net incoming resources Investment income Deprecialion Decrease in stocks Dreasel{lnCreaseI in debtors LossllProfitl on sale of assets {Dweaseylnuease in trgjilors (485.6391 (111.9561 756.901 41.914 1,100,510 11.798,670) {157.364) 765.593 27.972 {1.192.606) 8.791 712.694 (837,7361 Net cash {oufflowylnflow from orerating actiwlies 463.994 11,633,590) Cash flow from investing activilies 2021 2020 Purchase of tangible fixed assets Proceeds from sale of tangible fixed assels Acquisition of listed investments Proceeds of sale of listed investments Interest received {94.2071 1.250 1965.1441 1.159.840 111,956 1277.098) 502 {1.081.013) 736.693 157,364 213,695 570,918 Analysls of changes In cash and cash equivalents At 1 April 2020 At 31 March 2021 Cash flow Cash al banks, building S(letIeS and in hafKI Cash held as part of investment wrtfol 1.303.887 119.638 614.207 63.482 1.918.094 183.120 Total bank and cash holding 1.423.525 677,689 2.101.214 24
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forn7lng part of the financial statements for the year ended 31 March 2021 Legal ststus The Organisation is a registered ehanty. IVS legal entty is a company limtled by guaranlee. Accounting policies The fdlowing accounting policies have been used consistenuy in dealing wth items COrldered material to the charitable group's affairs. Basis olweparalion The financial statements have been prepared under the historical cost Convention. as modffjied bythe inclusion of fixed asset investments al market value. The financial statements have been prepared in accordance with the Statement of Recommended Praclice 2019. A(xounling and Reporting by Charities preparing their accounts in accordance wlh the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021 and the Financial Reporting Standard applicatAe in the United Kingdom and Republic of Ireland (FRS 1021 and the Charities Act 2011. The trust conslitules a public benefrt enlty as defined by FRS 102. The Iruslees consKler that there are no material uncertaintw about the trust's ability to tontinue as a going concern. In preparing Ihese finanual statements. DirectLYS have made the following judgements: Tangible fixed assels are depreuated over useful lives taking into accnI resi(iual values. where appropnale. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of fxtors. In re-assessing assel lives. factors such as lechnological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market condiltons, the rernaining lrfe of the asset and wojected disposal values. Trade debtors Al each repo.n9 dale. trade debtors are assessed by rettherabilily. If there ts any evidence of impairment. the carrying amount of the debtor is reduced lo ils recoverable amount. The impairment loss is reeognised immediately in the ineome statement. Leases Determine whether leases entered into by the group after as a lessor crf a lessee are an operating lease or finance lease. These decisions depend on assessment of whether the risks and rewards of ovmership have been transferred from the lessor to the lessee on a lease by lease basis. Investments The most critical eslimales. assumptions and Judgements relate to the detemiinalion of carrying value of inveslmenl$ at fair value thrgh the Statement Of Financial Actiwties. the Group follows the International Private Equity and ventu Capitsl Valuation Guidelines applwng the overriding concept that fair value is the amount for vthich an asset Can te exchanged between knovledgeable willing parties in an arm's length transaclior4. The nature. fact5 and circumslances of the investment drive5 the valuation methodology. 25
Leicestershlre & Rutland Organisation for the Relief of Suffering Limited Notes forrning part of the financial statem•nts for the year ended 31 March 2021 (continu) Accounting policies fconlinued) Ba&s Ofconsolar0n The group financial statements consolidate financial statements of Leicestershire and Rulland Organisalion for the Relief of Suffering Limited and its subsidiaries up lo 31 March 2020 on a line by line basis. A separate Statement of Financial Activities (SOFA) for the institution alone is not presented because the charity has taken advantage of the provisions of seCtn 408 of the Companie5 Act 26. Fund accounfing Funds held by the charity a either.. Unreslricled general funds - these are funds can be used in accrydanee wth the charitable objects at the discretion of the truslees. Designated funds - these are furK15 Sel aside by trustees out of unrestrKled general funds for 5pe¢ir future purposes or projects. Restricted funds- these are funds that (an only be used for particular reslrKled purwses wilhin the objects of the charity. Restrictions arise when specffied by the donor or when funds are raised for particular restricted purposes. Incomiw resources l income is recognised On the charity has entitlement to the income. it is Probab that the income will be received and Ihe amount of income receNaLqe can be measured relkbly. Voluntary income is accounted for when received. IncomiThJ resource5 represen15 the amount receivable during the year in reSpt of donations arKI legac$. Legacie5 are recogni5ed when there is sUffnI evidence lo provide the necessary certainty Ihat the legacy will be received and the legacy can be measured wth sufficient reliability. Dividends are recognised once the dividend has been declare(l and nOtiftIon has been received of the dividend due. This is rK)rmally upon nolifulion by our investment advisor of Ihe divKSend yield of the investment portfolio. Shop irwme repyesenls the amounts reeeNable for goods sold to customers and commission receivable on sale of donated goods. It is recognised al the point of sale for retail gjods and on dtspatch otherwise. Lottery irKome represents amount recebvable in respect of lotteries and r4ffles ld during the year and scratch cards sold. Lottery and raffle income is recc*3nised at the point of draw and scratch card income is recogni5ed on a cash basis. Amounts received for future lottery and raffle draws are reserved as income in advance. Activitie5 furthering chartable objects. Inwme uThJer health authority arml NHS contracts is recognised in the Statement of Financial Activities on a receivable basis. Where income is CeNe in advance of perfManCe. its reccMJnition is deferred and induded in creditors until the Contract is perfomied.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fomiing part of Ihe financial statements for the year ended 31 March 2021 (continued) Accounting pollcies (continued) Resources expenses Expenditure is recognised once there is a legal tr eonstructTve oblwlion lo make a payrnent to a third party. It is probable that selllement will be required and the amount of the obligation can be measured reliably. All expenditure is allocaled directty lo charitable expenditure and costs of raising fljnds. Expenditure is classtfied under Ihe following activrty headings. Costs of raising funds include those c05t5 incurred in raising voluntary income. and include the salaries, direct expenditure and overhead costs of the staff who promote fundraising. induding events. Charrtable activities expenditure relates to expenditure on obiecls of the charity and include direct costs and supp(Yi costs asKKialed to these actiwt*s. Governanee eosls represent costs vthich relate lo the general running of the charity including the strategy planning prctess that contribute to fulure development. arKI are included wlh charitable aclivilies. Support osts have been allocated between fundraising and charitable activilies, in proportion to the direct costs of eath activity. Where direct allocation is rN)t wss11e, costs are apportioned over the above headings based on the alloealion of staff. Irrecoverable VAT is charged as a cost against the activty for whth expenditure was irUrred. penSS The Tnjsl makes payment5 to defined cOntributn pension schemes on behalf of qualfy'ng employees. One admini51ered by the NHS Pensions Agency and a stskeholder scheme providing benelits for the employees additional to those from the stsle. Such conlributions are charged in the Stalemenl of Financial Activities when made. The Contrili0nS are invested separately from the Tru$Vs assets. FancIal Agreement with the Natwal Heatth Service The agreement wth the Clinical Commissioning Groups provides for. inter alia, a contribution by them towards the ievenue expenditure arisirwJ from operatrng the Hospice. agreed annually prior lo the commencement of each financial year. In addition lo the defined contributson pension scheme noted above. the charity conlribules lo the NHS Superannuation Scheme as a Direcb"on Body. Underthe rules of the NHS Superannualion Scheme. Direction Bodies pay employer's ntributIonS to the Scheme. bul are not emplowng aulh)n'lies for the purposes of the scheme. The NHS Superannuation Scheme is a Multi-emoYer defined benefit scheme, ar the charity is unable lo identify ils share of the urmlerlying assets and liabilit of Ihe scheme, and accordingly sufficient informalDn is not available to enable the charty to account for the scheme as a defined benefit scheme. The chariws contribution to the NHS Superannuation Scheme is therefore Ireale(l as defined contribub.on pension scheme paymenls. Detai15 of the NHS sUperannuatn Scheme deficit can be obtained from the official documents website wwW.offal-dOeurnent$.goy.Uk. Govemment Grants Government grants receivable in relation to job retention scheme and retail scheme are recognised as income over the periods necessary to maleh them viith the lated costs which they are intended lo compensate, on a systernatic basis. Government grants are shown separately as other income. 27
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fomiing part of th• financial ststements for th¢ year ended 31 March 2021 (continued) Accounting policies (continued) T8NJiblp fixed assets Tangible fixed assets are included al cost, and other than freehold land, are depreciated on a straight line basis at annual rates calculated to write off their cost over the temis of their useful lives as follows.. Freehold building Short leasehold pror 30 Jears The unexpired period of each lease or such shorter period as is considered appropriate S years 5-10 years 5 years 4 years Computers Fixtures, furniture and equipmenl Mini buses Olher motor vehides Additions costing less than £5 are vffilten off in the year of wrchase. Freehold land is not depreciated. Stocks Stocks are ststed at the lower of cost aThJ nel realisable value. Cost is detemiined on a first-in rst-oUt basis, and includes all direct costs inrred. Net realisae value is base(l on an estsmale(I selling price allowing for all further cosls of disposal. Dablors Short lerm debtors are measured at transadion pr. less any impairment. Loans receivable are ffleasud initially al fair value. nel of transaction costs. and are measured subsequently at amortised cost using the effective interest melhcrfl, less any impairment. Creditors Short term credilcws are measured at the transaction price. Other finanoal liabilities are measured initially at fair value, net of transaction costs, and are measured subsequently al amorb.sed cost using the effective interest method. Investmenls Investments are a fcrfm of bas finanod inslrument and are initially recognised at their transaction value and subsequently measured al their fair value as al the balance sheet date using the closing quoted market pri. The statement of financial &b'vit*s indudes the nel gains and losses arising on revaluatn and disposals throughout the year. The charity does not acquire put options. derivatives or other complex financial instruments. The main form of financial risk faced by the charity is that of volatility in equal markets and investmenl markets due lo wider economic conditions. the attitude of invesl(Ks to investment risk, arKI changes in sentiment concerning equities and within particular seclors or sub sectors. Short lemi deFQStts represent investments in bank term deposits maturing wilhin one year. Investrnents in subsidiary companies are slated al cost. Realised gains 8nd losses All gains and losses are taken in the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated a5 the drffererKe between sales prOedS and their opening carrwng value or Iheir purchase value rf acquired Subsequent lo the first day of the financial year. Unrealised gains and losses are calculated as rhe drfference betwEen the fair value al the year end and their carrying value. Realised and unfealised investment gains and losses are combined in the Statement of Financial Activities
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fomiing part of the financial statements for the year ended 31 March 2021 (continued) Aeeounting poli¢ies (continued) Gash and cash equivalents Cash and cash equivalenls indude cash al bank and cash in hand as b*ll as short term highly liquid investments wlh a short malurily Irecognised within short term investments). Financ1 instruments The charity only has finarKial assets and financial liabililies of a kin(J that qualfy as basicfinancial instruments. Basic financial instruments are inilially recognised al transaction value and subsequenlly measured al their settlement value. Operaling leases Operating lease renlals are char on a straght line basis over the lease terni. Benefits received and receivable as an incenlive lo sign an operating lease are re¢ognised on a straight line basis over the period until the date the rent is expected lo be adjusted to the prevailing market rate. CthrKwate tax The charily is exempt from tax on income and gains falling wrthin sections 466 to 493 of the Corporation Tax Act 2010 or section 256 of the Taxation of Chargeable Gains Act 1992 to the extent that these are applied to its charilable objects. Volunteer contrthtn Trustees and volunteers provide support to Leicestershire and Rutland Organisation for the Relief of Suffering Limrted. 11 is not practical nor feasible to place a value on the time vdunleered by these persons. Donations and legacies 2021 2020 Legacies Covenanted donations and gfft aid Donations and gift under the Retail Grft Aid Scheme Other donation5, appeals and furMI raising events 1,133,113 154.310 144.211 5.169.962 2,946.131 145,081 856,812 2,813,941 6.601.596 6.761,965 In 2021. donations and legacies induded £2.835.136 (2020 £411,467) of restricted income. Included in restricted income £2,678,292 of COVID-19 grants distributed by H05pi¢e UK on behalf of NHS England to support hospices during the parKlemic. In October 2010 LOROS Enterprses Ltd slarted acting as an agent selling goods on behalf of customers in return for a commission where the customer has registered for Gift Aid_ This has the effect of reducing the turnover of LOROS Enterprise Limited bul the incnme associated with such sales is recorded as a donation by The Leicestershire and Rutland Organisation for the Relief of Suffering Limited.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited, Noles fomilng part of the financial st*ements for the year ended 31 Mwch 2021 {conlinued) Investments 2021 2020 Bank and building society interest Dividends and interest on investments 9.352 102.604 14,567 142,797 111,956 157,364 In 2021, all income (2020- all income) lating to investments was unrestncted. Analysis of total group resources expend Depreciation 2021 Staff costs 2021 Other 2021 Total 2021 Total 2020 Cost of generating funds= Shop expendibjre Oeprecialion of shop leases Lottery expenditure FurKlraising and publicity Investment management fees Charitable activities.. Oirecl charitable expenditure Hospr GovernanGe rosts 1,063.423 940.264 2.042,236 2.548,305 8,721 8.721 3.474 2.339 265.224 297.954 565.517 653,649 58.741 211.206 147.085 417,032 632,117 22,528 22,528 31.516 648,331 8,217,119 98,320 1,973,242 21,729 10,838.692 120.049 11.710.357 118.352 756,681 9.855,292 3.402.802 14.014.775 15,697,770 Support costs of £86.31312020 - £174,181) have all been allocated to the Hospice. Shop expenditure indudes £ 566.009 (2020 - £547,674) in respect of operating leases for land and buildings. In 2021. other charitable &tivilies induded £2,8&),349 (2020- £309,291) of restricted expenditure.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fonning part of the Ilnanclal sL*ements for th¢ year ended 31 March 2021 (continued) Analysis of total resources expended (conlinued) Employees The average number of full lime equivalent employee5 2021 2020 Fund raising and administrative Provision of care Shops Lottery company 32 227 57 12 11 328 The number of employees Fund raising and administrative Provi5i0n of &ire Shops Lollery eompany 37 253 74 16 37 279 76 17 409 costs Wages and salaries Social security costs Pension costs 8,569,311 691,455 594.526 .108.777 734.754 612.904 9,855,292 10.456.434 Included within pension costs are payments to the NHS Superannuation Scheme. 2 defined benefrt scheme. The employer's contribution to this scheme are Irealed as a defined ntn"bUtion scheme as disclosed within the accounling pdicies. Employerfs contributions to scheme in the ypar amounted lo £391.123 (2020 - £400,195), of this am¢)unt £NIL12020 - £NIL) was oulstanding at Ihe yearend. 2021 2020 The number of em 0yeeS whose emoluments fdl wthin the follon9 bands was". In the banding £70,000- £80.(KIO In the banding £90,000- £95,000 In the banding £95,(M)0- £100.000 Auditor's rernuneration Ttrte amtsjnl charged in the year to the group was.. Statutory audit Other 25.985 2.350 22,766 2.350 31
Leicestershire & Rutland Organisation for the Relief of Sufferlng Limited Notes fomiin9 part of Ihe financial sL*ements for the year ended 31 March 2021 (Continued) Tangible fix•d assets At Additions 31 March during th• 2020 year Disposals during the At 31 March 2021 Group Cost Leicestershire and Rutland Hospice". Freehold land Freehold buildings Motor vehicle5 Fixtu$, fittings and equipment 3.(M)O.o 16.433.185 192.396 1.186.280 3.000,000 11.4701 16.466,921 192,396 1.218.754 35,206 32,474 20,811,861 67.680 (1.4701 20.878,071 Leasehold shop properbes Shops - fixtures arKI fiitings Motor vehides Lollery company- fixtures and fillings 29.279 536.618 92.548 8.721 17.806 38.000 554,424 92,548 11.697 11.697 Total cost 670,142 26,527 696.869 Total cost 21,482,003 94.207 {1.470) 21.574.740 Provision In the Year Ellm•nat¢d 31 March 2020 31 March 2021 disposals Deweciafvon Leicestershire and Rulland Hospice". Freehold buildirrfJs Motor vehicles Fixtures, fittings and equipment 6.129.716 148.506 644.727 589,780 24,277 93,235 6.719,276 172,783 737,962 6.922.949 707.292 (2201 7.630,021 Leasehold shop properties Shops- fixtures and fittings Motor vehides Lottery company- rluTeS arKI fillings 29,279 469,OWJ 51.315 8.721 24.509 14.040 38.000 493.599 65,355 4,820 2.339 7.159 554,504 604.113 Total deprecLatK)n 7.477.453 756,901 1220) 8,234.134 Nel brKJk value 14.004.550 1662.694} (1,29)) 13,340,606 32
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fornling part of the financial for the year ended 31 March 2021 (continued) 6 Tangible fixed assets (conbnued) Additions during the year Oisposals during the year 31 March 2020 31 March 2021 Company Leicestershire and Ruuand Hospice: Freehold land Freehold buildings Motor vehicles Fixtures. fittirrfJs and equipment 3,000,000 16,433,185 192,396 1.186,280 3,000.IM)O 16.466.921 192,396 1.218.754 (1.470} 32,474 20.811.861 67.680 (1.470} 20,878,071 Leasehold shop properties 29.279 8.721 38,000 Total cost 20.841.140 76.401 (1,470> 20,916,071 Provision in the Year 31 March 2020 ElÈminated on disposals 31 March 2021 Dapreciat Leicestershire and Rulland Haspice.. Freehold buildings Motor vehicles Fixtures, fittings and equipment 6.129.716 148.506 644.727 589,780 24,277 93.235 (2201 6.719.276 172.783 737.962 6.922.949 707,292 (2201 7.630.021 Leasehold shop properties 29.279 8.721 38,000 Total depreciation 6.952.228 716.013 (220) 7.668,021 Nel book valsje 13.888,912 (639,612) (1.250> 13.248.050
Leicestershire & Rutland Organisation for the Relief of Suffering Limited, Notes forniing part of the financial statements for the year ended 31 March 2021 (continued) Fixed asset investment 2021 2020 Group and company Investments Market value at 1 April 2020 Additions at cost Disposals al proceeds Nel gainllLoss) on revaluation Acquisition of share in subslary company 4.974.891 965.143 11,159.8401 1,284.363 6.032,679 659,852 {1.350,002) (367,638) Market value at 31 March 2021 6,064.558 4.974.891 Histcyical cost at 31 March 2021 4.140.154 4.267.861 Hisl(Kical cosl al 1 April 2020 4,267.861 4,212,284 Investments comKYise.' Listed investments in the UK Listed investments oulside the UK Land and property held as investment Cash and settlements pending Acquisition of share in subsidiary company 3,606,556 2,208,009 249.992 183.120 2,875,643 1,724,248 37S,000 119,638 Totsl 6.247.678 5.094.529 Group Quoted investments Cash and settlements pendirvJ Investment Property 5.814.565 183,120 249,992 4,599,891 119,638 375,000 6,247,678 5,094,529 Cornpany Quoted investments Cash and settlements pendirvj Investment Propety Investments in subskdiary Companies 5,814,565 183,120 249,992 4,599.891 119.638 375.000 6.247,682 5,094,S33 l investments are carrEd at their fair ¥aue. Investment in equities and fixed interest securities are all traded in quoted public markets. Holdings in common investment fun¢Js. unit trusts and open ended investment cornpanies are al the bid prtce. The basis al fair value for quoted investments is equivalenl lo the markel value. using the bKI price. Asset sales and purchases are recognised al the dale of trade at cost (that is their transact*)n value).
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Not•s fonning part of the financial statements for the year ended 31 March 2021 {continued) Fixed asset Investment (conlinued) The fair value of the prOpertS at has been determined by indeFerKlenl advisors and the Trustees have applied this valuation al 31st March 2021 The signifi¢ance of finanual instruments to the oning financial sustainabilty of the Hospi is ¢onsidered in the financial review and investment wlicy and performance seclK)ns of the TfUStees' Annual Report. The main risk lo the HOSP from financial instruments lies in the cornbinatHJn of uncertain investment markets and volatility in weld. LUldi1Y risk is anticipated to be low as all assets are traded and the commitment to intervention by central banks and market regulators has eonlinued to provide for orderty trading in the markets and 50 there ability lo buy 2nd sell quoted equities and stock is antscipaled to continue. The Hospi,$ investrnenls are mainly traded in markets with gts)d IUldIty and hpJh Irading volumes. The Hospice has no material investment hoklings in markets subject to exchange controls or trading restrictions. The Hosp does not make use of derNalives and similar complex financial instruments as it lakes the View that investments are held for their longer temi yield total return and historic studies of quoted financial instruments have shown thal volalility in any Part1#r 5 year perK)d will normally be corroded. No inveslmenls hekj represents more than 5% of the lolal portfoliti valuatK)n at the year end. Investments in subsidiary cornpanies The chanty owns the whole of the ordinary share capital of LOROS Enlerwses Limrf(ed {2 ordinary shares of £1 each). LOROS Lotteries Limited {2 ordinary shares of £1 each) and LOROS Commercial InnovalDns Limited {1 ordinary share of £1 }. Al are incorporated in Great 8rit8in and registered in England and Wales and have been eslablished lo cary on trading activities on ils behaW. LOROS Enterprises Limited operates a chain of shops selling rtems donated frorn the wblic, grfiware and cards. LOROS Lolleries Limited operates a lottery ft*r members of the public. LOROS Commercial Innovation$ Limited operates extemd catering operations for members of the public. I companies covenant any Lable rKofits to LOROS and aLso pay interest on any loans from LOROS. LOROS Commercial InnOVatn3 Limrted was incorwaled on 16th December 2020 as the vehicle to acquire the business of Peppercoms Catering Limited. who ran Café's in Leicestershire_ The results of LOROS Commercial Innovations Limited from irwrporatw)n to 31SI March 2021 are not consol31ed in these accounts due to the short accounting penod.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited, Notes formlng part of the financial StateMws for the year ended 31 March 2021 (continued) Flxed asset investment (continued) A summary of their trading results is Shown below LOROS Enterprises Limited 01944436 LOROS Lotteries Llmited 03179552 Total Company registered number Profit and loss account Turnover Cost of sale5 1.017.194 {101.1101 1.317.780 (228.926) 2.334.974 {330.0361 Gross Fyofrt 916.084 1.088.854 2,004,938 Administration expenses Other Operating Income Rental Income (1.944.155) 1,225,677 5,536 (336.703) 38,933 {2,280,8581 1.264.610 5.536 203,142 127 791,084 114 994,226 241 Interest received Profit before tax 203.269 791.198 994.467 Covenant to LOROS {2fK>.0l {725.000) 1925.0001 Profit for the year 3.269 66.198 69,467 Upon consolidation an inter-lMpanY recharge of £185.634 {2020 £541.412} relating to retail gift and management fee. charged by LOROS Enterprises Limited has been eliminated. The aggregate aMnIS of the CoMpans. assets. liabilit. share caprtal and reserves were.. LOROS Enterprlses Limited LOROS Lottgries Limited Total Assets Creditors.. aMnIS fall due within one year 426,177 (373.872) 346,539 (273.607) 772,716 1647,479) 52,305 72,932 125.237 Represented by share catal and reserves 52.305 72.932 125.237
Leicestershire & Rutland Organisation for the Rellef of Suffering Limited Notes fomiing part of th• finan¢ial statefflents for the year ended 31 Marth 2021 (continued) Stocks Group 2021 Group 2020 Company 2021 Company 2020 Goods for sale 42,437 84.351 Debtors Group 2021 Group 2020 Company 2021 Company 2020 Amounts due from subsidiary undertakings Other debtors Trade debtors 165.006 405,906 59,228 3,624.724 112.522 4.472.441 530.321 3,458,835 112,230 4,284,245 525,498 3.902.252 5,002,762 3,976,971 4.868.971 10 crltors. amounts falling duewithln one Group 2021 Group 2020 Company 2021 Company 2020 Arnounls due to subsidiary undertakings Payments in advance Trade creditors Taxation and social security Other edItOrS and accruals 174,426 741,325 501,249 265,272 186,281 531,513 398.735 188,907 268.963 977.440 619.101 287.167 342.146 349,203 276,626 218,902 169,580 1,388.118 2.225.854 1,014.311 1,868,553 37
Leicestershire & Rutland Organisation for the Relief of Suffering Limited. Not•$ fr•rn)ing part of the financial stat•ments for th• year ended 31 March 2021 {11•nedJ 11 Commitments Land and buildings 2021 Land and Bulldings 2020 Other 2020 Other 2019 Group Operating leases which expire.. Within one year In the second to fifth years iThgusive Over five years 222.919 243.223 249.658 543.175 46Q142 792,833 Land and Buildings 2021 Land and 8uilding$ 2020 Other 2020 Othor 2019 Company Operating leases which expire.. Within one year In the second to ftfth years indusive Over five years 222.919 243.223 249.658 543.175 4W142 792,833 At the year end. the group hwj capital commitments in relats.on to the wnstruction of land and buildings of £268,74312020- £NILI. During the year total lease payTnents of £566.009 (2020 - £547.654) *e recognised as an expense. 12 Restricted funds Balance at 31 March 2020 Balance at 31 March 2021 Incorning resources Outgoing ResourG8s Group and company Capital building fund Hosp 3,384.022 498.482 {84,1181 {2,776.2311 3,299.904 557.387 2,835,136 3.882,504 2,835,136 {2.860,3491 3.857.291 Balance at 31 March 2019 Balance at 31 March 2020 Incoming resources Outgoing Resources Group and company Capital building fund Hospice 3.468.140 312.188 184,118} (225,173) 3,384,022 498,482 411.467 3.780.328 411,467 {309.291) 3.882,504
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fomling part of th¢ financial st*0Mt$ for the year ended 31 March 2021 (rnntinued) 12 Rostricted funds (continued) The Capital building fund comprises &ipital raised in order to fund extensions to the hospice. The fund is represented by tangible fixed assets and the movement on the fund represents the depreciation charge. The hospice fund was established in 1997 from donations in order to fund hospbce equipment. Re50urces expended Tepresenl items purchased 2nd deFYeciatK)n charged on the fixed 85sel5. The Iruslees consider that the caprtal funds shoukl continue lo be treated as stricted. even after the complelion of the building5 to which they relate. 13 Unrestrlcted fvnds Bal¢¢ al 31 March 2020 Balancg at 31 MarGh 2021 Net incomel {expenditure) Group Tran8fors Other charitable funds Designated funds {see note 14) Revaluation reserye 14.818.355 3.943,666 619.700 (29.831 } 1430.595} 1.284.363 247.266 15.035.790 3.513.071 1.656.797 1247,2661 19.381.721 823.937 20.205.658 BalGe at 31 March Net incomel 2019 (exnditUre) BalanGg 31 MarGh 2020 Transfers Other charitable funds Designated funds {see note 14) Revaluation reserve 15.919.352 4.372.766 1,358.087 (1.471.746} {429.100} {367.638} 370,749 14.818,3S5 3.943,666 619,700 1370.7491 21.650.205 (2.268.484> 19,381.721 39
Leicestershire & Rutland Organisation for the Relief of Suffering Limited. Notes forniing of the financial statements for the year ènded 31 March 2021 (continued) 13 Unrestricted funds (continued) Balance at 31 March Net incomel 2020 (expenditure Balance at 31 March 2021 Company Tran$f¢rs Other ¢haritsble funds Designated funds15ee note 14} Revaluation reserve 14,762.$88 3.943.666 619.700 199,297) 1430,595) 1.284.363 247.266 14,910,557 3,513,071 1,656,797 (247,266) 19J25.954 754.471 20,080,425 Balance at 31 March Net incomel 2019 (expenditure Balance at 31 March 2020 Transfers Olhei charitable funds Designated funds (see note 14) Revaluation reserve 15,881.851 4,372.766 1,358.087 (1,4.012) 1429,100) {367,638) 370,749 14,762,588 9,943,666 619,700 (370,749) 21.612.704 (2.286.7SO) 19.325,954 Other CharItae funds rerffesentthe freefunds of the Charitywhich are not designated for pa'cjlar purposes. Revaluation reserve represenls the cumulative unrealised gains on the increase in the market value of fixed asset inveslmenls. Un disposal previously unrealised (gainsoSseS are transferred lo other charitable funds.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of th¢ financial staterneTrts for the year ended 31 March 2021 (continuedj 14 Designat¢d funds Group and wmpany The funds of the charity include the following designated funds which has been sel aside out of unrestricted funds by the trustees for a specrfic purpose. 8alance at 31 March 2020 Balance at 31 March 2021 utllised Transfers Capitsl building fund 3.943,666 (430,595) 3,513,071 Balance al 31 March 2019 Balance at 31 March 2020 Utilised Capital bUdIng fund 4,372.766 (429,100) 3.943.666 The capital building funds relales to the conslruction of the new LOROS Professional Development Centre and the extension lo the Day Therapy and Outpatnts Centre. 15 Analysis of group net assets between funds Restricted Funds Unrestricted Capital funds bullding fund Total Funds Hospice Fund balan as al 31 March 2021 are represented by.. Tangible fixed assets Current assets Currenl liabilities 15.730.993 5.862,783 (1.388,118) 3.299.4 557.387 19,588.284 5,862,783 (1,388.118) Total net assets 20,205,658 3,299.4 557,387 24,062.949 41
Leicestershire & Rutland Organisation for the Relief of Suffering Limited . Notes fomiing part of the financial statements for the year ended 31 March 2021 (continued) 15 Analysls of group net assets between funds (continued) Restricted funds Capital bullding fund Unrestricted funds Total Funds Hospi Fund balance as at 31 March 2020 are represented by: TanglEe fixed assets Current assets Current liabilities 16.960.096 6.203.269 {1.S13.160) 2.966.214 814.114 20,740,424 6.203,269 (1.513,1601 Total nel assets 21.650.205 2.966.214 814.114 25.430.533 16 Rèlated party transactions and trust•es' èxptrnses and reffluneration The Leicestershire & Rulland Organisation for Ihe RelEf of Suffering Limited wholly owns its subsidiary companies LOROS Lotterie5 Limited and LOROS Enterprises Limited. During the year LOROS Lolleries Ltd covenanted lo the charity £ 725.OtMJ I2020- £710.0001. During the year LOROS Enterprises Ltd covenanted lo the charity £200,000 {2020 - £280.0001. Al the year end the amount due by LOROS Lotteries Ltd was £77.379 {2020 due lo- £174.426). due from LOROS Enterprises Ltd was £157.091 {2020- £59.2281 and due from LOROS Commwcial Innovations Ltd was £165.0 (2020- Nil) During the year the charity made purchases of £35.92012020 - £35.9961 from Berkeley Insurance Group. T Maxled. a Trustee of the charity. ts a director of the company. £NI {2020 - £Nill was due lo them al the year end. The charity consider Ihe key management personnel lo comprise of IheTruslees. The Chief Executive Off¢cer. the Consultant in Palliative Medicine, the Director of Care Services. the Direcior of Strategy. the Direclor of Eéucalion and Workforce. the Director of Income Generab'on & Business Development and the Director of Finance. The total employee benefts of the key management personnel of Ihe charity were £407,93612020 - £391,490). The Trustees all give freely their time and ex[rtiSe Vlithout any form of remur)eralion of other benefit in Cash or kind12020 - £Nil). Expenses paid to the Trustees in the year lolalled £Nil {2020- £Nill. Trustees indemnily insurance of £2,829 (2020- £3,739) has been paKI during the year. 17 Controlling gntity In the opinion of Ihe trustees the entity ha5 c¥ntrolling entity. 42
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes foming part of the financial statements for the year ended 31 March 2021 (continued) 18 FinclaI in81ruments The Group's financial instruments may be anafysed as follo. Group 2021 Group 2020 Company 2021 Company 2020 Financial Assets Financial assels that are measured at fair value throu th8 SOFA 6.247.678 5.094.529 6.247.678 5,094,533 Financial assels that are debt instruments ffleasured at arn¢ytised Cost 3.452.939 4,592,829 3,692,609 4,646.338 Financial liabillt6es Financial liabilities measured al amortised cost 961.247 861.956 Financial assets mèasured atfaif value th1(h ihe stateTh*nl of finarKial tlbe$ c¥xnprisè fixed asset invesknents in a IradirvJ pthlio ol listed ¢ompany shares. Financial assèts that a debt instmmenisare rreasured at ]Se(J 0)stnN1$8 trade debttys. clherdebtors. accnJed income and amounts due from subsidiary undertskirys. FFnancial habililies Mea9J at amorbsed cost eomkmise trdde credito. other drtots accwals. On 29th Ociober 2020. Ihe cofflpany s(>ld larKI rt had been beqa(hed near ihe village of Harby. fvlellon Mowbray, LeIsterShire. The sale Indled an overage KXW"sion, V+heby. for 30 years from and including the date of sale, the company is eniiued to 30% ofwby wxeeils in excess ofts salg of£215.0. Thefore, the LJJmpany maintains a contingent asset in the larKI. 43
Leicestershire & Rutland Organlsation for the Relief of Suffering Limited . Detailed expenditurè analysis for the year ended 31 March 2021 2021 2020 Provi$ion of Care Th• L¢i¢estershl and Rutsand Hospke: Salaries and related costs Recruitment and training Medical supplies Insurdnce Heat, light and water Telephone and postage Stationery and other office expanses TTavelling expenses Food costs (net of non-patenl tsknrwJsl Laundry M8inten8n( chadInGY Counselling séfvrce Sundries Research expenditure Seminars RGA commission Loss on disposal of fixed assets 8.373,968 85,979 426,924 52,403 109,156 55,281 101,545 17.587 80,336 31.224 359.546 66.541 226,358 15,157 34,691 32.536 2.340 8,664,214 103,184 558,022 43,464 112,776 66,913 119,812 59,752 122,142 30,256 531,228 125,758 212,636 26,269 42,818 41,206 13,781 8,266 10,071.572 10,882.497 Depreri8lv)n 605.795 624,439 10.677.367 11.506.936 The above infomiation dces 11 f(rfm part of the authted 5tatutryy 8tctxmts ar#1 is includèd sojety for Ihe infomiat*Jn of the management.
Leicestershire & Rutland Organisation for the Relief of Suffering Limited Detailed expenditur• analysis for the year ended 31 March 2021 (continu•dJ 2021 2020 Provlslon of Car• (continued) Fundralsing and Publity Recruitinent and trainiTr3 Salaries and related costs M8intenance Telephone and postage stationery Trdvelling experws Sundry expenses General appeal pro1ticl expenses Deprecaalb)n 1,550 211,306 3.993 223.490 815 359 5.029 5.832 4.084 333,805 54.710 271 338 1,793 143,133 S8,741 417,032 632.117 Support Costs Recruitmènt and trainiNJ Salailès and related costs Telephon8 and postage ststionery Olher office expenses Legal consultancy fee Dèpreclatn Bad debts Bank charges 5.276 54.622 17,576 57.799 260 3,641 2,957 41,057 39,617 1150) 40,664 27,157 42.536 730 29.510 161.325 203,421 Govemance costs Audit, accountancy and professional faes Salaries and lated costs Trustees indefflnity insuwce 18,900 98,320 2,829 10,575 104,038 3,739 120.049 118,352 Thg above infomalron dc not fom part of thè wJrted staiulory and is inchJdgJ solely for the infomiation of the Manent. 45