Leicestershire & Rutland Organisation for the Relief of Suffering Limited - 31.03.24 Report and Financial Statements Year Ended 31 March 2024 Company Number 01298456 *ADFVYPOP* 1611112024 COMPANIES HOUSE A07 #58 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Report and financial statements for the year ended 31 March 2024 Contents Pag•: Dlreciors. report Statement of Trustees responsibilities Independent auditorfs report 19 Consolidated statement of financial aclivities 21 Consolidated balance sheet 22 Charity balance sheel 23 Consolidated cash flow statement 24 Notes to the cash flow statement 25 Notes forming part of the financial statements Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dlrector's report For the year ended 31 March 2024 The forty fourth Annual Report records a further year of the achievement of the aims of the charity. The focus of all of the charity's activities is the patients, their families and carers we support. The continuance of this work is dependent upon the on-going voluntary support, year by year, of the local community. Without this, the present level and standard of care could not be maintained. This support is itself built upon Ihe charity's repuL3tion for providing high quality care. REFERENCE AND ADMINISTRATIVE DETAILS LOROS-. The Leicestershire & Rulland Organisation for the Relief of Suffering Limited is a company limiied by guarantee and registered as a charity under the Charities Act 1960. Registered Charity Number: 506120 Registered Company.. Registered in England and Wales 01298456 Registered and Princip81 Office.. The Leicestershire & Rutland Hospice Groby Road Leicester LE3 9QE Auditor: The Rowleys Partnership Ltd Chartered Accountants Charnwood House Harcourt Way Leicester LE19 1WP Bankers: The Royal Bank of Scotland plc 1 Granby Streel Leicester LE16EJ Discretionary Investmenl Management.. Evelyn Partners 9 Colmore Row Birmingham 83 28J Solicitors-. Knights plc 34 Pocklinglons Walk Leicesier, LE168U Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dlrectorfs report for the year ended 31 March 2024 (continued) Directors and Trustees The members of the board who are trustees of the registered charity are also directors of the company under the terms of the Companies Act. { Their details 8re set out below.) They have no beneficial interest in the group or in the Charity. Throughout this report, they are collectively referred to as the directors. Chairman: Dr Robin Graham-Brown Consultant Dennalologist Vice-chairman {& Honorary Treasurer): Mr Andrew Stant Chartered Accountant M•mb•rs: Mr Richard Brucciani Company Chairman Mr Chris Greenwell (Resigned 20th November 2023) Lawyer Mrs Kate Bradley HR Professional Mr Tim Maxted (Resigned 201h November 2023) Company Chairman Ms Louisa Poole Chartered Accountant Mrs Becky O'Brien NHS Director (as at 31103124) Mr Graham Smith Retired Company Director Mr Chris Murray Retired Businessman Mr Andrew Measorn Businessman Dr Rlchard Hurwood Retired GP Dr Nakul Patel Consultant Plastic Surgeon Mrs Claire Henry Business Consultant Mr Chrls Rowley Retired Businessman Chief Executivel Company Secretary: Mr Rob Parkinson President: Jennifer, Lady Gretton Estate Owner Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dlrector's report for the year ended 31 March 2024 (continued) OVERALL PURPOSE The overall purpose. ethos and strategy for LOROS is articulated through rts vision, mission and values and behaviour statements as follows: VISION (Our long-term aspiration for our society) Everyone wlth an incurable illness has the rlghl to excellent care. This should value and respect their uniqueness and their own choices. People should be enabled to live and die with dignity and with appropriate and compassionate support for them and their loved ones. MISSION (Our goals and activities in working towards our Vision) LOROS is a charity whose aim is to enhance the quality of life of adult patients with cancer, progressive neurological conditions and end-stage organ failure for whom curative treatment is no longer possible. Patients are treated at the hospice and in the communily based upon clinical need, regardless of background and the ability to pay. LOROS specialises in holistic, multidisclplinary care, focused on the whole person and including family and carers. The care given takes into account Ihe patients, physical. psychological, social and spiritual needs as well as their own choices. Family members are supported in adjusting lo loss and bereavement. LOROS contributes to the education and training of its own and other health and social care professionals and of volunteers. The charity is also committed to research in order to improve the understanding and practice of palliative care. VALUES AND BEHAVIOURS Prof•sslonal volunteers. showing respect to patients and families as well as members of our community, staff and Focused on exceptional quality service and support for patlents and families whilst listening. learning and adapting to thelr diverse needs. Collaboratlve - working together as colleagues and with local, regional and national partners to grow meaningful relationships and achieve sustainability. Compassionate showing kindness, discretion and sensitivity as we care for our patients, families, our community, staff and volunteers. . Trustworthy - be honest, reliable and consistent, showing respect and dignity in everything that we do. Accountable- lo our patients. Iheir families, our communities, staff, volunteers and external organisationslbodies. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the year ended 31 March 2024 (¢ontinu•d) STRUCTURE, GOVERNANCE AND MANAGEMENT Trustae Board Membors The board is responsible for the overall governance of the Charity. (The Chief Executive is responsible for the day-to-day management and for implementing policy.) The board numbers up to fifteen members. Members of the board are elected at the Annual General Meeting. A third of the membership has to retire each year. Retiring members may stand for re-election and may serve up to nine consecutive years. The board carries out a regular trustee skills audit to identify the individual skills and experience Ihat it needs to have represented in its membership in order to properly discharge its responsibilities. Candidates from the local community for election to the board may be proposed either by the board itself, by members of the LOROS Association or Ihrough open advert set against the skill set being sought, The directors are also able to appoint a person 10 the board in order to fill a vacancy. Prior to election or appointment, a prospective board member meets with the Chairman, Chief Executive and with one or more senior trustees in order to be able to appreciate Ihe nature of the role of being a trustee of LOROS, of being a director of the company and of the scope of the Charity's seplices and of its work together with information on Ihe financial status of the company. There is an induction handbook and an induction programme for new trustees in order to enable them to contribute effectively as members of the board. Trustee opportunities are subject to an open and competilive recruitment process. As at the 31 ￿ March 2024, t￿0 board member vacancies exist. Recruitment to these vacancies is in progres5 and are focused on enhancing the legal and Income generation skills and experience of the board. Liability of Members The Charity is a company limited by guaranlee and is governed by its Memorandum and Articles of Association dated 141h February 1977. It has no share capital. The Memorandum of Association provides that every member whilst they are a member or within one year after they cease to be a member is liable to contribute a sum not exceeding £1.05 in the event of the company being wound up. Governance The board meets five time a year. Relevant matters, particularly the annual budget. are approved by the board. Five sub-committees support the work of the board. Finance and General Purposes Committee Clinical Governance and Service Development Committee Centre for Excellence Committee Income Generation and Marketing Committee People and Nominations Committee Each committee is chaired by a trustee and supporled by the appropriate member of the Senior Leadership Team. External advisers attend committee meetings. The board has appointed a lead safeguarding trustee to work with the designated safeguarding manager to ensure that trustees have effective oversight of all safeguarding matters. The Trustees have regard to the matters set out in Section 172(1)(a) to (fj when performing thelr duty under S172 of the Companies Act. The board invited the Good Governance Institute to carry out an independent governance review. the rewmmendations from which inform an action plan to be delivered in 2024125. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the year ended 31 March 2024 (continued) RISK MANAGEMENT The Finance and General Purposes Committee oversees risk management processes on behalf of the board. The charily risk register is reviewed at all meelings of the Finance and General Purposes Committee and informs the preparation of a Board Assurance Framework which is considered at all board meetings and supports trustees in managing key risks. Finance (inflation and legacy volatility), recruitment. and cyber security are, at the time of writing, the highest scoring risks facing the charity. Detailed policies and Pro￿dureS are in place to mitigate risks and insurance cover is maintained in all areas where Ihis is considered appropriate. In respect of financial risk. the board considers thal maintaining LOROS. free and unrestricted reserves at the level currently sel. together with the regular review process, provides sufficient resources to meet adverse conditions. IMPACT LOROS. aim is to enhance the quality of life of adult patients with cancer, progressive neurological conditions and end-stage organ failure for whom curative treatmenl is no longer possible. Most of the patients referred have cancer but LOROS does also support patients with other terminal conditions. All patients are admitted aged eighteen years and upwards. LOROS is committed lo providing a breadth of care which responds to Ihe patients. physical, psychological, social and spiritual needs. It is accepted that the outcomes of palliative care can be difficult lo quantify. It is abundantly clear. however, from the feedback received from patients and relatives and from the high reputation that LOROS enjoys for the quality of care provided. thal the charity does make a significant impact. LOROS makes a difference in: Providing highly effectlve specialist pain relief and symptom control, providing patients with a better quality of life. Care is provided within a holistic framework which embraces physical, emotional. spiritual and social care. Optimising the condition of palients. For many patients this will mean that they are able to return to home. Supporting patients to stay at home with high quality care and advice through the LOROS Community Nurse Specialists (as part of the Integrated Community Specialist Palliative Care Service), the LOROS Day Therapy Service, medical clinics, doctor home visits and the LOROS Compassionate Neighbours service, Enabling patienls to have choices in thelr care through offering advance care planning, including sharing preferences where they are looked after when they die. Avoiding unwanted admissions to an NHS acute hospital trust. This may be by supporting the patients at home or in the hospice, or a combination of both. Providing high quality professional support for patients. their families and carers when the patient is dying (and after the death of the palienl). Improving the understanding and practice of palliative care through contributing to research and to the education and training of its own and other heallh and social care professionals. The provision of an increasing number of community-based services. such as bereavement hubs and wellbeing spaces. The Charity's aims are achieved Ihrough several different, yet closely integrated, elements of specialist care. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Director's report for the year ended 31 March 2024 (contlnued) Achievements In Pmvision of Care During 2023124, LOROS was inspected by the Care Quality Commission and was graded 'Good'. This, along with the achievements detailed and quantified below are testament to the positive impact LOROS has had across Leicester. Leicestershire and Rutland. Clinical Activlty {whlch represents a key performance Indicator) 2023124 2,640 578 2022123 2,487 621 2021122 2,080 548 Referrals Ward Admissions Ward Length of Slay (Average) Ward Occupancy (Average) Out-patient Attendances face to face. lele honelvirtual Day Therapy Att8ndances Counselling Assessments and Sessions face to face, tele honelvirtual for adults and Lyrnphoedema Clinic Attendances Complementary Therapy Contacts Compassionate Neighbours (Home visits and remote su ort 15 Days 761AI 15 Days 15 Days 2594 2.068 1,786 1840 1,727 3.320 1.622 3062 2,814 oun eo le 1910 2.120 871 2.584 1088 927 1924 1,987 3.372 The Charity responds to requests from General Practitioners, specialist nurses and hospital consultants for the admission of patients to LOROS, sep4ices. The board, and the sub-comrnitlee monitors the activity regularly in order to ensure both that the Charity's resources are being used effectively and that il is obtaining 'value for money, from the funds being spent on service provision. With regard to the in-patient facility. apart from the number of in-palient episodes, the board monitors the occupancy and the average length of stay. LOROS, services are as follows.. The Hosplce In-patlent Ward The in-patient facility is the cornerstone of the work and utilises the largest part of the financial resources. It has thirty-one beds (of which, nineteen are single patient rooms). The hospice team provides short-term specialist care for patients with complex problems (pain and symptom control) and care in the last days of lrfe. The number of in-patienl admissions to the hospice at 578 was 70/0 down on the previous year and reflects the number of patients supported given Ihe challenges of recruiting nurses onto the ward. The ward staff respond quickly to requests for the admissions, of which many will be in response to a crisis. This reflects the increasing number of admissions thal take place out of 'office' hours and at weekends (15°/o of all admissions in 2023124). 20Vo of palienis had a diagnosis other than cancer. including 15% wilh Motor Neurone Disease. The dependency of patients admiited remains high. Patients are often very unwell and have complex needs. This results in high costs of care and high ratios of staff to patients. This can at limes have an impact on admission figures. Day Therapy Skilled nursing and a multi-professional team offer support for patients. This also enables a break for carers at home. Patients are offered various programmes including managing fatigue or brealhlessness. The fortnightly planned service runs on Tuesday to Friday and, on alternate Mondays, a wellbeing drop-in session is run. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Director's report for the year ended 31 March 2024 (continued) Achievements in Pn>vision of Care (Continued) Day Therapy (continued) Patients also have other services available to them during their visit such as medical consultations and input from the enablement team (physiotherapy and occupational therapy). Care for those at home Significant resources are applied by the Charity lo supporting patients and their carers. in the home. LOROS staff do all that they can to facilitate the return home of patients who are able so to do. Key to this work are the.. > LOROS, Clinical Nurse Specialist {CNS) Team in the Community. (The team collaborates and coordinates with the NHS Community Nurse Specialist teams as part ofthe Inlegraled Specialist Palliative Care Team). > LOROS, Enablemenl Team (of occupational therapists, physiotherapists and social workers) together with the LOROS discharge lialson nurses, facilitates the prompt discharge of patients. It Is very important lor patients, and for their carers, that if patients are able to relurn home they can do so without delay. > LOROS, Compassionate Neighbours. LOROS provides a service of home visits by volunteers to patients so giving Ihe carers imporlanl time to themselves. With this service patients have an alternative to attending LOROS Day Therapy. > Out-patient clinicsl doctor home visits. We have seen a 25C/+o rise in the use of our daily clinics for patients to see the medical leam, either face to face or by telephone or video call as preferred. Those who need to be seen in person by a LOROS doctor, but are loo unwell lo attend clinlc, can be seen at home. > Community advice line daily lo support community nurse specialists and other community Staff to help and advise on patient care at home. Lymphoedema Troatment This-service provides support for patients with Lymphoedema across Leicesler, Leicestershlre and Rutland. LOROS provides care for patients when the condition is related to a cancer diagnosis. Maior improvements in Ihe lives of patients are achieved. Complementary Th•rapy Therapies are provided to patients whelher attending as in-patients or as out-.patients in Day Therapy. Activity in 2023124 increased by 250/0 on Ihe year before, which exceeds pre-pandemic levels. Counselling LOROS provides a number of different therapeutic interventions for both patients and carers, including bereavement counselling. 11 does not seek to provide long-term Iherapeulic support. The work is focussed on short term inlerventions, generally of no more than six sessions (or, by agreement, of up to ￿e1ve). The service also includes a children and young people's counsellor, who provides counselling for the children of patients accessing LOROS services. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for the year ended 31 March 2024 (continued) Achlevements In Provislon of Care (continued) Non-cancer Care The board is mindful of the implications for LOROS of the wish to continue to see palliative care extended to support other patient diagnostic groups. The amount of work which is not cancer-relaled is growing slowly with a desire to support those with the greatest need. Non cancer patients most commonly seen are those with neurological conditions such as Motor Neurone Disease and patients with end slage organ failure. LOROS has developed a number of outpatient clinics specifically for non-cancer patients. including help with breathlessness and palliative neurology, Dove Cottage Dove Cottage is a subsidiary charity of LOROS. Established in 1996. Dove Cottage is a successful local charity, based in the Vale of Belvoir, providing day care, chaplaincy services. complementary therapy and well- being support for people living in the surrounding area (which includes North East Leicestershire, Rutland, South East Nottinghamshire and South West Lincolnshire)- Since its merger with LOROS by change of control in 2023, Dove Collage has extended its day provision by a day a week and undertaken an extensive improvement programme to address recommendations set out in the most recent report of the Care Quality Commission. With the support the local community. a new sensory garden was opened in summer 2024, for the benefit of guests and their families. The Future This year, LOROS published a new five-year vision and sel of strategic priorilies. followlng extensive consultation wilh a wide range of stakeholders. These priorities include.. Continuing to provide exceptional in-patient, hospice-based and community services. Helping to tackle health inequality for people at the end of their lives. Establishing a trusted and supportive information and advice service. Equipping heallhcare professionals with the skills they need to support people at end of life. Building our reputation as a centre for excellence for innovation, teaching and research. PUBLIC BENEFIT LOROS Care Service5 are available to the community as a whole in Leicester, Leicestershire and Rulland on the basis of "Clinical Need" LOROS does not provide children's servlces (apart from counselling support) which are available in other settings and LOROS, patients are aged eighteen years and upwards. LOROS services are provided without charge to the patients and families receiving the care. In-patients at the hospice would. if not with LOROS. have to be in another healthcare setting and most likely an NHS acute hospital trust. Patients at home would in many cases, rf not supported by LOROS, be in an NHS acute hospltal or be drawing upon NHS resources in other ways. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Director's report for the year ended 31 March 2024 (continued) The directors consider that they have complied with their duties under section 4 of the Charities Act 2006 to have due regard to public benefit guidance published by the Charities Commission. PA TIENTS, ADVOCATE LOROS makes a very signrficant contribution to the provision locally of palliative 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 establishing and demonstrating quality and standards of care. In this way Ihe impact and influence of the hospice extends well beyond those services provided directly by the charily. LOROS has an active Hospice User Group which supports the organisation with quality assurance and ongoing service development. CENTRE for EXCELLENCE LOROS is midway through the delivery of a significant five-year funding agreement wlth The Stoneygate Trust which aims to establish a focused and sustainable research unit and elevate LOROS, standing as a centre for excellence in pallialive and end of life care. Key achievements of the Centre for Excellence include: Appointment of Camilla Barrow as the centre's first director. Substantial dissemination of evidence through publication and invitations to speak at national and international conferences. Providing training for doctors undertaking Palliative Medicine and Internal Medlclne, recognised by the Royal College of Physicians and Royal College of General Practitioners for GP Training. Teaching medical students as the affiliated teaching hospice of the University of Leicester. Research with MND AssociationslMND Scotland into the experience of ventilation via tracheostomy. which is to be translated into patient resources and evidence called for by NICE. The development of an internationally unique database of the experiences of patients and families when ventilation is slopped at their request. New innovation (Pre-Transfer Clinical Decision and Assessment) io improve support for frail older people who become ill, avoiding hospital admissions. Finalists for the National Academic Health Services Network Innovate awards, Helping to Address Health Inequalities category, for our Sawubona video and training resources. Inillating and leading the National Sawubona.. Equity in Palliative Care for All Research Forum, which held its first conference in April 2024 in partnership with Hospice UK. Declaration of Faith project about last hours of life spiritual care, which consulted with 83 Muslim members of the public and faith leaders across the UK. Piecing It Together. a project with EAVA FM and DMU enabling ethnically diverse young people to explore end of life through art, which has been funded for a second year by Dying Matters, Crealion of a LOROS-University of Leicester Research Group, strengthening collaboration e.g. through PhD co-supervision and collaboralions on grant applications. Development of a strategic relationship with University of Leicester through the College of Life Sciences, University of Leicester and LOROS Strategic Partnership Group. The research and education provKled by LOROS has a significant impact upon the knowledge and skills of health and social care professionals and, therefore. upon the care of patients at local, national and international levels. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Director's report for the year ènded 31 March 2024 (contlnued) RELA TIONSHIPS MTH OTHER BODIES In cO￿rdInatIng and developing patient services LOROS, as an "independent provider" vmrks closely with other local health providers both within the statutory and voluntary sectors. LOROS, NHS Grant Funding has been provided through the Leicesler, Leicestershire and Rutland Integrated Care Board. Whilst the NHS provides less than 170/0 of the charity's annual revenue (240/0 including education income) LOROS does rely heavily upon the continuity of provision of the NHS income (whether by grant or through some other form of agreemenl) and any reduction in this funding would have a direct impact upon the level of service provision. The Charity continues to be closely involved with the local NHS Trusts (Leicestershire Partnership NHS Trust and University Hospitals of Leicester) in the provision and development of palliative care. Increasingly LOROS is engaged in developing initiatives with 'syslem-wide' partners. including local authorities. LOROS as a voluntary hospice is able lo access grants which otherwise would not be available within Leicester. Leicestershire and Rutland. These funds have been used to support service developmenls within the local community. LOROS has a commitment to research and has research and clinical links with the University of Leicesler, De Montfort University and with the University HospiLqls of Leicester. LOROS is the Affiliated Teaching Hospice of the University of Leicester. The Charity has working relationships with a number of NHS bodies in the East Midlands, for example the Local Education and Training Board. 11 also engages closely with other relevant partners, such as the Academic Health Science Network. Care Quallty Commlsslon (CQC) The Care Quality Commission carried out an unannounced inspection on 10 January 2024. The resulting reporl. published on 5 April 2024, rated LOROS as Good overall and Good across each of the five inspection areas: safe. effective, caring, responsive and well-led. The report noted LOROS has an outstanding and pioneering approach to innovation. research and improving patient care. The report can be viewed on the LOROS and CQC websites. Department of Health Quality Accounts were introduced as a result of the NHS (Quality Accounts) Regulations 2010, having been set out in the Health Act 2009. They are a new form of annual report to Ihe public about the quality of services provided and quality initiatives planned. "LOROS, Quality Account for 2023-24 can be viewed on Ihe LOROS website. FINANCIAL REVIEW The charity is in a sound financial position despite the rising inflalion and general economy volatility. The directors are careful about taking on commitments that may nol be sustainable in the medium term. The directors seek to balance carefully the demonstration of financial prudence with a need to maximise palienl benefits in Ihe short-term by spending the monies donated for patient care. They are also of the view that the cash resources held by the charity enable it lo respond effectively and flexibly to external change and to opportunities. 8udgets are set at the beginning of each financial year. Expenditure is prioritised and monitored in order to optimise the overall benefits for palients. A deficit of £2,921,608 (2023.. deficit of £882,884) was recorded in the financial year. 10 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dlrector's report for the year ended 31 March 2024 {contlnued) WORKFORCE ENGAGEMENT LOROS is committed to having ongoing engagement with both our staff and volunteers. This not only provides valuable feedback that guides Ihe direction of the charity but also ensures that everyone feels informed and part of the LOROS community. This engagement comes in a number of forms such as staff and volunteers survey's, dedicated staff and volunteer monthlylquarterly 'coffee wilh the CEO, sessions and quarterly 'talk' days. These initialives have increased during 2023124 with Ihe introduction of a monthly CEO vlog which aims to increase engagement with those staff and volunteers located oulside of the Hospice. All staff and volunteers were also invited lo participate in the launch of the strategic'Big Picture, which provided an opportunity lo shape and challenge the strategic direction of LOROS. Additionally, an independent culture review has recently been conducted which provided focus groups, representing all colleagues across the organisation. an opportunity to provide an independent source wilh valuable and contextual feedback. This information will prompt a number of actions and activities, as well as for the commencement of larger scale projects in response to the key areas raised. COST OF PROVISION OF CARE (Activities in furtherance of th• objects of the charfty.) Charltable Actlvltles The cost of chariiable activities at £13.18 million (2023.. £12.12 million) was up 99A on the previous year. INCOMING RESOURCES Section 162a of the Charities Acl 2011 requires charities to make a statement regarding fundraising activities. Although LOROS does not undertake widespread fundraising from the general public, certainly outside of Leicester, Leiceslershire and Rutland, the legislation defines fund raising 8s 'soliciting or otherwise procuring money or olher 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 confirm that all solicitations are managed Internally. The day-to-day management of all income generation is delegated to the executive leam, who are accountable to the trustees. The Charlly is not bound by an undertaklng to be bound by any regulatory scheme but is mindful of and adheres to the Fundraising Regulators Code of Practice, Charity Commission Guidelines and Regulations and Data Management enforced by the Information Commissioners. Office. The charily has a Safeguarding Policy which serves to protect not only our own staff but also those people deemed to be vulnerable with whom LOROS may come in to contact through fundraising activities including Lottery doorstep collections, service in our shops and conlact at or through fundraising events. Unreasonable intrusion, persistent approaches and undue pressure are not acceptable. National Health sèrvi￿ (NHS) 200/0 of current unrestricted charitable expenditure was covered by grants from the NHS (28 % including education income) from various sources of funds. The overall amount received from the NHS of £2.69 million (£3.70 million including education) {2023'. £3.29m) was 120/0 more than last year due to additional education funding awarded. Donations, l•gaci•s and slmllar incoming r•sourcas Apart from the NHS monies, the Charity relied upon the continued generosity of the people and organisations of Leicester, Leicestershire and Rutland. The income received in the year was £5.120m {2023: £7.553m). 320/0 less than last year which reflects the fluctuation of legacy income. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Dlrectorfs report for the year ended 31 March 2024 (continued) Fundraising LOROS has an extensive portfolio of fundraising activities to generate voluntary donations towards our core work. The board values highly the substantial amount that is raised each year from the local community by way of voluntary income. Our fundraising is employee and volunteer led. We do not employ the services of external agencies for general fundraising. We do use the external agencies to promote our Lottery. We are committed to building trustwith our supporters. which is why we are members of the Fundraising Regulator, Hospice Lottery Association, Charity Retail Association and have individual memberships with the Institute of Fundraising and Third Sector. Our Income Generation and Marketing Committee now meets three limes a year to promote public, donor. board, staff and volunteer confidence in the income generation and marketing practices at LOROS, ensuring ethical practices by all teams responsible for income generation & marketing. During the financial year 2023-2024 we received three complaints relating to our fundraising activity. Three complaints were received in relation to our subsidiaries. Trading.. LOROS Enterprlses (through LOROS Enterprises Limited - a wholly-owned subsidiary of the charily.) The largest part of the Irading company's turnover relates to the shops of which there are thirty. The overall reported profit contribution of £393,470 was 9°/0 up on the previous year. In October 2010, a scheme to enable gift aid to be claimed on some donations through the charity was launched. This has proved to be successful with retail grft aid related income amounting to £1,080,174, which is £7,821 more than the £1,072,353 achieved In 2022123. The shops depend upon local support both for the supplies of good quallty donated items, from whlch the shops derive nearly all of their profits. and for sufficient numbers of volunteer helpers. LOROS Lottery (through LOROS Lotteries Limited - a whollywned subsidiary of the charity). Despite challenges in the economy, the LOROS Lottery generated a healthy profit of £573,393 (2023: £593.602), although this is 3Yo down on the previous year. LOROS Commercial Innovatlons (through LOROS Commercial Innovalions Limiled - a wholly owned subsidiary of Ihe charity.) The company operates a commercial catering business and rental properties for the charity. Trading continues to be difficult and a loss was recorded of £178,530 (2023: £218,086). A number of initiatives have recently been put in place to focus on financial sustainability. Legacies Apart from statutory funding, legacies are one of the charity's largest sources of income but the level each year can fluctuate significantly. This year legacy income of £1.890m represented 370/0 of LOROS, total voluntary income (compared with 630A in 2022123, 48% in 2021122, 16 % in 2020121, 440/0 in 2019120 and 46% in 2018119). The amount of legacy income accounted for can make a material difference to the overall financial outcome. Legacy income is unpredictable but it has been the surpluses provided by legacies that has enabled the charity to build up and to maintain the reserves at the required levels and to undertake capital projects. Because of the potential for significant fluctuations the board is circumspect in the degree to which, in any one year. it relies upon legacy income in order to fund the on-going revenue expenditure. 12 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Director's report for the yoar ended 31 March 2024 (continuad) Volunteers In addition to the income evaluated in the statement of financial activities, the charity is dependent upon the support of approximately 1250 regular volunteers. Volunteer activities span the whole range of functions from fundraising to service provision. The directors are of the opinion that it would be impractical to attempt to quantify the value of work done by volunteers. Investments Investment performance have seen a posilive swing during the year with an unrealised valuation surplus of £404,609 (2023.. deficit of £535,614). RESERVES POLICY The directors, current policy is to hold the equivalent of nine months, current hospice expenditure as free reserves in readily realisable form. This policy requires that free and unrestricted reserves are maintained at a level that would ensure that LOROS, core activilies could be maintained in the short to medium term during periods of adverse financial conditions. This cover is required in order to provide for.. > adequate working capital unforeseen expenditure > streams of income or expenditure being different from that budgeted > grovrth in demand for care serrfices > replacement of tangible assets The board considers carefully the Charity's commitments, in line with current and potential risks and opportunities. It monitors, on an on-going basis, the fund balances available relative to its financial plans and to the meeting of its objectives in both the medium and longer term. Current levels of reserves are below the policy but the three- year budget plan takes this into consideration and aims 10 increase reserves to the prescribed levels. Reserves Cover Based upon the expenditure for 2023124 the minimum free reserve requirement was £9.9 million. At the end of the year free reserves, equivalent in this case to the net current assets of the Charity, Stood at £2.9 million. which excludes investment funds of £4.4m which are readily realisable. As at 31st March 2024, the level of reserves was as follows.. - Unrestricted Funds Restricted Funds Designated Funds £20,020,718 (2023. £17,107,645} £282,408 (2023.. £3,465,325) £Nil (2023.. £2,651,764) 13 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Directorfs report for th• yèar •nded 31 March 2024 (continued) Invéstment Policy As part of its on-going risk and resepies assessment the Charity has appointed Evelyn Partners to provide 'discrelionary investment management". At the end of the year the funds invested were valued at £4.4 million (2023: £4.9 m), down 100/0 on last year. In addition to this, through gifts in wills during the 2019120 and 2021122 year, the Charity owns property with a current value of £490,000. from which it is earning rental income. The board has an agreed statement of investment principles. The aim is to produce a net return, year-on-year, better than the holding of cash. There is also.. > a Finance and General Purposes Committee which regularly reviews performance an ethical investment policy (which is to avoid the tobacco industry) The directors keep under review the diversification of the funds held by way of reser4es. SUMMAR Y Despite the significant turbulence and unprediclabilily In the UK economy over the last year, LOROS has largely been able to sustain its range and level of clinical activities which provide such excellent and valued care and support for patients and family members across Leicester, Leicestershire and Rutland. The overall financial position is being monitored very carefully with financial sustainability being a key focus during 2024125. Thanks must be expressed to the people and organisations of Leicester. Leicestershire and Rutland who have enabled LOROS to achieve so much and who have contributed to the raising of a huge amount of voluntary income in the year. It is the partnership between LOROS, the NHS and the wider community that has over the years enabled the aims of LOROS to be realised. Year by year the Charity has relied upon increases in voluntary support well above inflation as the annual percentage increases in the NHS grant have struggled to keep pace with inflation. In most cases the cost of service developments have had io be met from new voluntary income. None of what has been set out could have been achieved without the continued hard work and dedicalion of LOROS, skilled staff and volunteers. The board, once again would like to thank all of the staff and volunleers for their commitment to the work of the Charity. The directors are confident that LOROS has an important and continuing place as a provider of high quality care, as an upholdér of the ethos and values to which it has always held and as an advocate for patients and their families, Provision of Infomiallon to auditor Each of the persons who are directors at the time when this Directors, Report is approved has confirmed that: so far as that director is aware, there is no relevant audit information of which the Charity's auditor is unaware. and that director has laken all the steps that ought to have been taken as a director in order to be aware of any Information needed by the charity's auditor in connection with preparing their report and to establish that the charity's auditor is aware of that information. ROBIN GRAHAM-BROWN Chairman. Board of Trustees, LOROS ANDREW STANT Vice-chairman (& Honorary Treasurer) Board of Trustees. LOROS 13 / 10 /2024 13 /10 /2024 14 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Statement of trustees, r•sponslbllltle$ The Trustees (Who are Directors of LOROS for the purposes of company law) are responsible for preparing the Director's annual report and Ihe financial statements in accordance with applicable law and United Kingdom Accounting standards (United Kingdom Generally Accepted Accounting Practice). Company law requires the Direclorfs to prepare financial statements for each financial year. Under company law the Directors, must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the group and parent charity and of the incoming resources and application of resources, including its income and expenditure of the group for that period. In preparing ihese financial statements the trustees are required to.. select suitable accounting policies and then apply them consistently; observe the methods and principles in the Charities SORP 2019 (FRS 102)" make ludgments and accounting estimates that are reasonable and prudent; state whether applicable UK accountlng standards have been followed. subject to any material departures disclosed and explained in the financial statements., and prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in business. The Directors are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charilable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are responsible for safeguarding the asseis of the charitable company and hence for laking reasonable steps for the prevention and detèction of fraud and other irregularities. In so far as the Directors are aware There is no relevant audil information of which the ch8rilable company's auditor is unaware, and The Directors have taken all steps that they ought to have taken to make themselves aware of any relevant audit information and establish that the auditor is aware of that information 15 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Ind•pendent auditorfs report Opinion 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 I'the Group"> for the year ended 31st March 2024 which comprise the consolidated statement of financial activities, the consolidated and parent charity balance sheets, the consolidated cash flow statement and notes to the financial statements, including significant accounting polic7e5. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standard5, including Financial Reporting Standard 102 The Financial Reportlng Stondord applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statement5: 8ive a true and fair view of the state of the Group's and of the Parent Charitable Company's affairs as at 31 $1 March 2024 and of the Group's incorning resources and application of resources, including its incoming resources and expenditure for the year then ended. have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice: and have been prepared In accordance with the requirements of the Companies Act 2006. 8asls for oplnlon We conducted our audit in accordance with International Standards on Auditing (UK) {ISAs {UKI) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the Group and the Parent Charitable Company in accordance with the ethical requirements relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons related to going concern In audltln8 the financial statements, we have concluded that the Directors, use the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any materlal uncertalntles relating to events or conditions that individually or collectively may cast significant doubt on the group and parent charitable company's ability to continue as a going concern for the period of at least twelve months from when the financial statements are authorised for issue. Our responsibilities and the responsibilities of the Dlrectors with respect to golng concern are descrlbed In the relevant sections of this report. Other Informatlon The other information comprises the information included in the Director's Report, other than the financial statements and our auditor's report thereon. The other information comprises the Director's Report. The Directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or other*¥ise 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 perforrned, we conclude that there is a material misstatement of this other information, we are required to report that fact. 16 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Independent auditor's report (continued) We have nothing to report in this regard. Opinions on other matters prescribed by the Companles Act 2006 In our opinion, based on the work undertaken in the course of the audlt: the informatlon given in the Trustees, Report, which includes the Directors, Report and the Strategic report prepared for the purposes of Company Law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and the Strategic report and the Directors, Report, which are included in the Tru5tees' report. have been prepared in accordance with applicable legal requirements. Matters on whlch we are required to report by exceptlon In the tight of the knowledge and understanding of the Group and the Parent Charitable Company and its environment obtained in the course of the audit, we have not identified rnaterial misstaternent in the Strategic report or the Trustee's report. We have nothing to report In respect of the following matters In relation to whlch the Companies Act 2006 require5 US to report to you if, in our opinion: adequate accounting records have not been kept by the Parent Charltable Company, or returns adequate for our audit have not been received from branches not visited by us. or the Parent Charitable Company financial statements are not in a8reement with the accounting records and return5; or certain disclosures of Olrectors, remuneration specified by law are not made; or we have not recelved all the Informatlon and explanatlons we requlre for our audit. Respon51bllltles of Trustees A5 explained more fully in the Trustees. responsibilities statement, the Trustees Iwho are also the directors of the charitable company for the purposes of company law) are responsible for the preparation of the financial staternents and for being satisfTed that they glve a true and fair view, and for such Triternal control a5 the Trustees determines is necessary to enable the preparatlon of flnancial statements that are free from mater5al rnisstaternent, whether due to fraud or error. In preparlng the financial statements, the Trustees are responsible for assessing the Group's and the Parent Charitable Company's abillty to contlnue as a going concern, disclosing, as applicable, matters related to going concern and usin8 the going concern basis of accounting unless the Trustees either intend to liquidate the Group or the Parent Charitable Company or to cease operations, or have no realistic alternative but to do so. Audltor's responslblllties for the audit of the flnanclal statements We have been appolnted as audltor under the Companles Act 2006 and report in accordance wlth the Act and relevant regulations made or having effect thereunder. Our objectives are to obtain reasonable assurance about whether the financ7al statement5 a5 a whole are f ree from material rni5Statement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expecte(S to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with lay￿ and regulations. We design procedure5 in line with our responsibilities, outlined above, to detect material mi55tatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 17 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Independent auditorfs report (contlnued) Audltor's responslbllltles for the audlt of the flnancial staternents (Cont.) We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant which are directly relevant to specific assertions in the financial statements are those related to the financial report f rameworks (UK Generally Accepted Accountlng Practice, the Companies Act 2006) and the relevant tax compllance regulations in the jurisdiction in which the company operates; We enquired of management whether they were aware of any instances of non.compliance with laws and regulations, or whether they had any knowledge of actual, suspected or alleged fraud. We assessed the susceptibility of the entlty's financial statements to material misstatement, including how fraud might occur; Our testing considered unusual or unexpected journal entries on a sample basls; We evaluated the assumptions and judgements used by management within significant accounting estimates and assessing if these indicate evidence of management bias; We tested significant transactions, in particular the evaluation of the business rationale for any which appear unusual or outside the companys normal course of business", We assessed the appropriateness of the collective cornpetence and capabillties of the engagement team by understanding the practical experience with audit engagements of a slmilar nature and complexity, plus ensuring the team had appropriate and relevant training of the financlal reportln8 framework and the relevant tax compliance regulations specific to the entity. We reviewed the financial statements and tested the disclosures against supporting docurnentation; 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 communlcated relevant matters to all members of the audit team to ensure they understood the risks specific to the entity and the audit procedures planned to mitigate these. Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance wfth a law or regulation is removed from the events and transactions reflected in the flnanclal statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regardlng Irregularitles occurring due to fraud rather than error, as fraud Involves Intentional concealment, forgery, colluslon, omisslon or misrepresentation. A further description of our responsibilities for the audit of the financial statements Is located at the Financial Reporting Council's I'FRC'S") web51te at: htt s: Ilwww.frc.or .uklauditorsres onsibilities. This descrlptlon forms part of our auditor's report. Use of our report Thi5 report is made solely to the Charitable Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Charitable Company's members those matters we are requlred to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Charitable Company and the Charitable Company's members as a body, for our audit work, for this report, or for the opinions we have formed. fk4 LH LG Parkes FCA FCCA (Senior Statutory Auditor) For and on behalf of The R￿ey5 Partnership Ltd (Eligible to aGt as an auditor in terms of section 1212 of the Companies act 2006) Statutory Auditors Charnwood House Harcourt Way Meridian Business Park Leicester LE19 1WP Date 3iS( Ockobof lo 18 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolldated statement of financial activities for the year ended 31 March 2024 Unrestricted Funds R•strlcted Funds 2024 Fund$ Unr•strfct•d Funds Restrlcted Funds 2023 F￿ndS Noies Income Irom: Donations and legacies Gifted Donallon Oove Investsnenls 4,869.504 523.926 182,321 250.490 5.120,054 7.314,439 239,077 7.553,516 523,920 1B2,321 154,780 154,7aO Other tradlng aclivllles.. - Loros Enterprises income LOTOS Commerclal Innovations income - Lottery income - t)ove income 3,685.695 330,04S 3.685,695 330.045 3.273,007 376,450 3,273,007 376.450 1.146,899 406.987 1.146,899 408.987 1.119,421 1.119.421 11,145,437 250.490 11.395.927 12.238,097 239.077 12,477,174 Ch•rltable actlvltles Contribution by the Nallonal Health Servlce Educab'onal a¢livi11os 3,701,091 602,500 3.701,091 602,560 3.294.586 584,430 3,294,508 $84.430 Total Income 15,449,088 250,490 15,699,57S 10,117,093 239,077 16.356.170 Exponditure on: Raising funds Loros Enlerprlsès expendilure Loros Commercial innovations expendilure Lottery expendllure Dove expendllure Funtjralslng costs DeprecialSon of leasehold shop properties Investment management fees 3,134,614 488,414 3.134,614 488,414 2.911,172 594,537 2,911,172 $94,537 575,378 747,714 847,140 575.378 784,187 847,146 525,819 525,119 16,453 514.293 514,293 9,782 22,720 9,782 22.726 9.205 28,238 9,265 18,238 Charltablt actlvltit 5.825.774 16.453 5,842,227 4.583.324 4.583,324 The Leiceslershlre and Ruuand Hospice 12,983,591 I￿.917 13.183.568 11.895.577 224.539 12,120,118 Total •xp•ndltur• 18,809,385 218,430 19,025.795 16,478.W1 224.539 10,703.440 {Los$llProfit on investment assets 404.609 404.609 1535.614) 1535,fj14) Nel income {2.955.668) 34,0fj0 12,921,fjOJ) (B97.422) 14.538 1882,884) Total funds brought forward 19,759.409 3.465,325 23.224,734 20.656.831 3.450,787 24,107,618 Transfer bttsveen funds 15 3,216,977 13.216,9771 Total funds carrled forward 20.020,718 282,408 20,303,120 19.759,409 3,465,325 23.224,734 19 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolidated statement of financial activlties for the year ended 31 March 2024 The slalemenl of financial activities includes all gains and losses rec£JgnisecJ in the year. Atl Incomln9 resources and resources expended derive from continuiry aclivilies. The notes on pages 25 to 45 form part of these financial stalements. Consolldated summary Income and expendlture account 2024 2023 Gross in¢ome ol ￿ntinuIng operations Total expendilure of continuing operations Reoll$ed gaSrffjlllo$$esl on dlsposal of invesbmenl assets 15,699.578 (19,025,795) 1195.8751 16,356.170 {18,703.4401 Nel Income for the year 13,522.0921 (541,3J1} A dètailéd analysis of ineome by Source bs provided In the slalement of financial a¢bvities. Detsiled analysis of expenditure 1$ provided in the Slalemenl of ffinancial adivities and in note S. 20 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolldated balance she•t at 31 March 2024 Company number 01298456 Note 2024 2024 2023 2023 Flxed assets Tangible assels Investments 12,443,635 4.948,279 13,009,517 5,412,887 17,391,914 18,422,404 Current assets Stocks Debtors Cash at bank and in hand 151,981 2,948,150 1,874,055 261,020 6,346,567 1,180,221 4,974,186 7.787,808 Croditors: amounts falling du• within one year 10 (1,821,307) {2,643,811) Net current assets 3,152,879 5,143,997 Credltors: amounts falllng du• after more than one year (241,667> (341,667) Not assets 20,303,126 23,224,734 Funds Restricted funds Unrestricted funds: - Designated funds Other charitable funds Revaluation reserve 14 282,408 3,465,325 15116 15 15 2,651,764 16,426,897 680.748 19,131,236 889,482 20,303,126 23,224,734 The financlal statements were approved by the members of the Board of Trustees on 23/p/ioW and signed on its behalf Robin Graham-Brown Chaimian Andrew W Stan Honorary Tr¢asur•r The notes on pages 25 to 45 form part of these financial slatements. 21 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Charity balance sheet at 31 March 2024 Company number 01298456 Note 2024 2024 2023 2023 Fixed assets Tangible assets Investments 12,205,949 4,948,284 12,776,093 5.412,892 17,154,233 18,188.985 Current assets Debtors Cash at bank and in hand 3,487,907 1,089,981 6.737,423 1,100,873 4,577,888 7,838,296 Creditors: amounts falling due withln one yoar 10 (1,343.070) (2,116,757) Net curr•nt assets 3,234,818 5,721,539 Creditors: amounts falllng due after morè than ono year (241.667) (341,667> Net assets 20,147,384 23,568,857 Funds Restricted funds Unrestricted funds.. Designated funds Other charitable funds Revaluation reserve 14 256.569 3,465,325 15116 15 15 2,651,764 16,771,020 680,748 19,001,333 889.482 20,147,384 23,568,857 The financial slatements were approved by the members of Ihe Board of Trustees on on its behalf 2yokJ2Jt and signed Robin Graham-Brown Chairman Andrew W Stant Honorary Treasurer The notes on pages 25 to 45 form part of these financial statements. 22 Leicestershire and Rutland Organisation for the Relief of Suffering Limited Consolidated ¢ash flow statement for the year ended 31 March 2024 2024 2023 Net cash flow from operating activities Net cash inflow from investing activities (99,383) 833,529 {687,550) 67,193 Change in cash and cash equivalents in the year 734,146 (620,357) Cash and cash equlvalents at the beginning of the year 1,235,367 1.855,724 Cash and cash equlvalents at the end of the year 1,969,513 1,235,367 23 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes to the cash flow statement for the year ended 31 March 2024 Cash flows from operating activities 2024 2023 Net income per SOFA lossl(gain) on investment (2.921,608) (404.609) (882,884) 535,614 Net incoming resources Investment income Depreciation (IncreaseyDecrease in stocks (Increase)IDecrease in debtors Lossl(Profit) on sale of assets Increasel(Decrease> in creditors Transfer in Dove (3,326,217) 1182,321) 821,773 109.039 3,424,156 8,817 (985,836) 31,206 (347,270) (154.780) 789,757 (131,812) (1.665,491) 8,075 813,971 Nel Ga5h Inflow from operaling activilies (99,383) (687.550) Cash flow from investlng activities 2024 2023 Purchase of tangible fixed assets Transfers in Dove Proceeds from sale of tangible fixed assets Acquisition of listed investments Proceeds of sale of listed investments Interest received (323,241) {365) 65,285 (357,106) 1,266,635 182,321 (501,198) (255) 1961,938) 1,375,804 154,780 833,529 67,193 Analysis of changes in cash and cash equivalents At At 31 March 2024 2023 Cash flow Cash at banks, building societies and in hand Cash held as part of investment portfolio 1.180,221 55,146 693.834 40,312 1.874.055 95,458 Total bank and cash holding 1,235,367 734,146 1,969,513 24 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fornilng part of the financlal statements for the year énded 31 March 2024 Legal status The Organisation is a registered charity. The legal status is a company limited by guarantee. Accounting policies The following accounting policies have been used consistently in dealing with items considered matertal to the charitable group's affairs. 8asis of preparation The financial statements have been prepared under the historical cost convention, as modified by the inclusion of fixed asset investments at market value. The financial statements have been prepared in accordance with the Statement of Recommended Practice 2019. Accounting and Reporting by Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 102) and Ihe Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (FRS 102) and the Charities Act 2011. The trust constitutes a public benefit entity as defined by FRS 102. The trustees consider that there are no material uncertainties about the trust's ability to continue as a going concern. In preparing these financial slatements, Ihe Directors have made the following judgements: Tangible fixed assets are depreciated over Ihelr useful lives taking into account residual values. where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. 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 conditions, the remaining lrfe of the asset and projected disposal values. Trade debtors At each reporting date. trade debtors are assessed by recoverability- If there is any evidence of impairment, the carrying amount of the debtor is reduced to its recoverable amount. The impairment loss is recognised immediately in the income statement. Leases Determine whether leases enlered into by the group after as a lessor or a lessee are an operating lease or finance lease. These decisions depend on assessment of whether the risks and rewards of ownership have been transferred from the lessor to the lessee on a lease by lease basis. Investments The most critical estimates. assumptions and judgements relate to the determination of carrying value of investments at fair value through the Stalement Of Financial Activities, the Group follows the International Private Equity and Venture Capital Valuation Guidelines applying the overriding concept that fair value is the amount for which an asset can be exchanged between knowledgeable willing parties in an arm's length transaction. The nature, facts and circumstances of the investment drives the valuation methodology. 25 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statémènts for the year ended 31 March 2024 (continued) Accounting policias (continued) Basis of consolidation The group financial slatements consolidate the financial statements of Leicestershire and Rutland Organisation for the Relief of Suffering Limited and its subsidiaries up to 31 March 2024 on a line by line basis. A separate Statement of Financial Activities (SOFA) for the inslitution alone is not presented because the charity has taken advantage of the provisions of section 408 of the Companies Act 2006. Fund accounting Funds held by the charity are either.. Unrestricted general funds - these are funds which can be used in accordance with the charltable objects at the discretion of the trustees. Designated funds - these are funds set aside by the Irustees out of unrestricted general funds for specific future purposes or projects. Restricted funds - Ihese are funds Ihat can only be used for particular restricted purposes within the objects of the charity. Restriclions arise when specified by the donor or when funds are raised for partlcular resiricted purposes. Incoming resources All income is recognlsed once the charity has entitlement to the income, it is probable that the Income will be received and the amount of income receivable can be measured reliably. Voluntary income is accounted for when received. Incoming resources represents the amount receivable during the year in respect of donations and legacies. Legacies are recognised when there is sufficient evidence to provide the necessary certainty that the legacy wlll be received and the legacy can be measured with sufficient reliability. Dlvldends are recognised once the dividend has been declared and notification has been received of the dividend due. This is normally upon notification by our investment advisor of the dividend yield of the investment portfolio. Shop income represents the amounts receivable for goods sold lo customers and commission receivable on sale of donated goods. It is ￿cogniSed at the point of sale for retail goods and on dispatch otherwise. Lottery incorne represents the amount receivable in respect of lotteries and raffles held during the year and scratch cards sold. Lotlery and raffle income is recognised at the point of draw and scratch card incorne is recognised on a cash basis. Amounts received for future lottery and raffle draws are reserved as income in advance. Activities furthering charitable objects. Income under health authority and NHS contracts is recognised in the Statement of Financial Activities on a receivable basis. Where income is received in advance of perforrnance, its recognition is deferred and included in creditors until the contract is performed. Cafe income represents the amounts receivable for food and beverages sold to customers. It is recognised at the point of sale. 26 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (continued) Accounting policies (continued) Resources expenses Expenditure is recognised once there is a legal or constructive obligalion to make a payment to a third party. It is probable that settlement will be required and the amount of the obligation can be measured reliably. All expenditure is allocated directly to charitable expenditure and costs of raising funds. Expenditure is classified under the following activity headings. Costs of raising funds include those costs incurred in raising voluntary income, and include the salaries, direct expenditure and overhead costs of the staff who promole fundraising, including events. Charitable activities expenditure relates to expenditure on objects of the charity and include direct costs and support costs associated to these activities. Governance costs represent costs which relate to the general running of the charity including the strategy planning process that contribute to future development, and are included with charitable activities. Support costs have been allocated bebNeen fundraising and charitable activities, in proportion to the direct cosls of each actlvily. Where direct allocation is not possible, costs are apportioned over the above headings based on the allocation of slaff. Irrecoverable VAT is charged as a cost against the activity for which the expenditure was Incurred. Pensions The Trust makes payments lo defined contribution pension schemes on behalf of qualifying employees. One administered by the NHS Pensions Agency and a stakeholder scheme providing benefits for the employees additional to Ihose from Ihe state. Such contributions are charged in the Slatemenl of Financial Activities when made. The contributions are invested separately from the Trust's assets. Financial Agreement with the Nation81 Health Service The agreement with the Clinical Commissioning Groups provides for, inter alia. a contributlon by them towards the revenue expenditure arising from operating the Hospice, agreed annually prior lo the commencement of each financial year. In addltlon lo the defined contribution pension scheme noted above. the charity contribute5 to the NHS Superannuation Scheme as a Direction Body. Under the rules of the NHS Superannuation Scheme. Direclion Bodies pay employerfs contributions to the Scheme, bul are not employing authorities for the purposes of the scheme. The NHS Superannuation Scheme is a multi*mployer defined benefit scheme, and the charity is unable to Identrfy its share of the underlying assets and liabilities of the scheme, and accordingly sufficient information is not available to enable the charity to account for the scheme as a defined benefit scheme. The charity's contribution to the NHS Superannualion Scheme is therefore treated as defined contribution pension scheme payments. Details of the NHS Superannuation Scheme deficit can be obtained from the official documents website W4VW.official-documents.gov.uk. 27 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (continued) Accounting policies (continued) Tangible fixed assets Tangible fixed assets are included at cost, and other than freehold land, are depreciated on a straight line basis at annual rates calculated to write off Iheir cost over the terms of their useful lives as follows: Freehold building 30 years Short leasehold property The unexpired period of each lease or such shorter period as is considered appropriate 5 years 5-10 years 5 years 4 years Computers Fixtures, furniture and equipment Mini buses Other motor vehicles Additions costing less than £1,000 are written off in the year of purchase. Freehold land is not depreciated. Stocks Stocks are staled at Ihe lower of cost and estimated selling price less costs lo complele and sell. Cost includes all costs of purchase and other costs incurred in bringing stock to its present location and condition. Cost is calculated on a first-in firsl-oul formula. Provision is made for damaged, obsolete and slow-moving stock where appropriate. Debtors Short term debtors are measured at transaction price. less any impairment. Loans receivable are measured initially ai fair value, net of Iransaction costs, and are measured subsequently at amortised cost using the effective interesl method, less any impairment. Creditors Short term creditors are measured at the transaclion prlce. Other financial liabilities are measured initially at fair value, net of Iransaction costs, and are measured subsequently at amortised cost using the effective interest method. Investmenls Investments are a form of basic financial instrument and are initially recognised at their transaction value and subsequently measured at their fair value as al the balance sheet date using the closing quoted market price. The statement of financial activities includes the net gains and losses arising on revaluation and disposals throughout Ihe 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 markets due to wider economic Gonditions, Ihe attitude of investors lo investment risk. and changes in sentiment concerning equities and wilhin particular sectors or sub sectors. Short term deposits represent investments in bank term deposits maturing within one year. Investments in subsidiary companies are stated at cost. Realised gains and losses All gains and losses are taken in the Statement of Financial Activities as they arise. Realised gains and losses on investments are calculated as the difference be￿een sales proceeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unrealised gains and losses are calculated as the drfference tse￿een the fair value at the year end and their carrying value. Realised and unrealised investment gains and losses are combined in the Statement of Financial Activities. 28 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (continued) Accounting policles (continued) Cash and cash equivalents Cash and cash equivalents include cash at bank and cash in hand as well as short term highly liquid investments with a short maturity {recognised within short term investments). Financial instruments The charity only has financial assets and financial liabilities of a kind that qualrfy as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Operating leases Operatlng lease rentals are charged on a straight line basis over the lease term. Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight line basis over the period until the dale the rent is expected to be adjusted to the prevailing market rate. Corporafe tax The charity is exempl from tax on Income and gains falling within sections 466 lo 493 of the Corporation Tax Act 2010 or section 256 of the Taxation of Chargeable Gains Act 1992 to the extent Ihal these are applied to its charitable objects. Volunteer contribution Trustees and volunteers provide support lo Leicestershire and Rutland Organisation for the Relief of Suffering Limited. 11 is not pracllcal nor feasible to place a value on the time volunteered by these persons. Donatlons and legacies 2024 2023 Legacies Covenanted donations and gift aid Donations and gift under the Retail Gift Aid Scheme Other donations, appeals and fund raising events Value of transfer of control of Dove Cottage 1,890,376 173,793 1,080,174 1,975,711 523,926 4,756,452 131,421 1,072,353 1,593,290 5,643,980 7,553,516 In 2024. donations and legacies included £250,490 (2023 - £239,077) of restricted income. Included above is a recognition of the value in relation to the transfer of control of Dove Cottage for £523,926.This represents the net assets of Dove Cottage. (2023- £NIL). Dove Cottage is a subsidiary. charity of LOROS when LOROS became the sole member of the Charity on 1 April 2023. In October 2010 LOROS Enterprises Ltd started 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 but Ihe income associated with such sales is recorded as a donation by The Leicestershire and Rutland Organisation for the Relief of Suffering Limited. 29 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (Continued) Investments 2024 2023 Bank and building society interest Dividends and interesl on investmenls 35,044 147,277 7,979 146,801 182,321 154,780 In 2024, all income (2023- all income) relating to investments was unrestricted. Analysis of total group resources oxpended Depreciation 2024 Staff costs 2024 Other 2024 Total 2024 Total 2023 Cost of generating funds.. Loros Enterprises Loros Commercial Innovations Depreciation of shop leases Lottery expenditure Dove expenditure. Fundraising and publicity Investment management fees Charitable activities.. Direct charitable expenditure Hospice Governance costs 40,654 1,732,425 1,361,535 3,134,614 2,911,172 19,434 182,844 286,137 488,41S 594,537 9,782 9,782 9,265 1,391 4,744 238,090 494,709 335,897 264,714 575,378 764,167 525,819 505,666 341,480 847,146 514,293 22,726 22,726 28.238 745,768 8,906,860 80,817 3,385,796 64,326 13,038,424 145,143 11,994,320 125,796 821,773 12,141.411 6,062,611 19,025,795 16,703,440 Loros Enterprises includes £594.246 (2023 - £580,648) in respect of operating leases for land and buildings. Dove includes £22.734 {2023- £NIL) in respect of operating leases for land and buildings. In 2024. olher charitable activities included £216,430 (2023 £224,539) of restricted expendilure. 30 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fomiing part of the financial statements for th• year ended 31 March 2024 (continued) Analysis of total re80urc•s expended (continued) Employees The average number of full time equivalent employees 2024 2023 Fundraising and administrative Provision of care Shops Lottery company 47 207 78 37 203 6S 339 312 The number of employees Fundraising and administralive Provision of care Shops Lottery company 57 260 125 248 99 10 451 400 Staff costs Wages and salaries Social security costs Pension costs Severance payments 10,558,405 891,807 686,688 4,511 9,170.881 802,682 665.229 12,141,411 10,638,792 Included within pension costs are payments to the NHS Superannuation Scheme, a defined benefit scheme. The employerfs contribution to this scheme are treated as a defined contribution scheme as disclosed within the accounting policies. Employer's contributions to the scheme in the year amounted to £373.590 (2023 £39S,967). of this amount £NIL (2023- £NIL) was outstanding at the year-end. 2024 2023 The number of employees whose emoluments fell within the following bands was.. In the banding £60,000 - £70,000 In the banding £70,000 - £80,000 In the banding £90,000 - £100,000 In the banding £100,000 - £110,000 Auditor's remuneration The amounl charged in the year to the group was: Statulory audit Other 48,600 30,190 31 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fonning part of the financial statements for the yèar ended 31 March 2024 (Continued) Tangible fixed assets At Additions 31 March during th• 2023 year Disposals during the year At 31 March 2024 Group Cost Freehold land Freehold buildings Motor vehicles Fixtures. fittings and equipment Leasehold shop properties 3,000,000 17,115.695 194,896 1,482,656 51,467 3,000,000 17,115.695 194,896 1,658,279 61,249 175,623 9,782 21,844,714 185,405 22.030,119 Goodwill Dove Fixtures. filtlngs and equipment Shops- fixtures and fittings Motor vehicles Dove Molor vehicles Lottery company~ fixtures and fittings 127,893 (63,947) (635) (19,498) (36,675) 63,946 25,839 758,757 32,870 18,195 11,697 26.474 93,532 684,723 69.545 18.195 11,697 Total cost 893,858 138,201 {120.755) 911,304 Total cost 22,738,572 323,606 {120,755) 22,941,423 At 31 March 2023 Provision in the Year Ellmlnated At 31 March 2024 disposals Depreciation Freehold buildings Motor vehicles Fixtures. fittings and equipment Leasehold shop properties 7,930,363 187,481 899,310 51,467 618,937 5,870 120,960 9.782 ,549,300 193,351 1,020,270 61,249 9,068,621 755,549 9,824,170 Goodwill Dove Fixtures, fittings and equipment Shops - fixlures and fittings Motor vehicles Dove Motor vehicles Lottery company - fixtures and fith'ngs 28.776 12,789 3,734 41,777 5,522 1,011 1,391 {20,783) (184> {9,610) {22,463) 20,782 3,550 604,072 32,870 1,011 11,333 571.905 49.811 9.942 660.434 66,224 (53,040) 673,618 Total depreciation 9,729,055 821.773 (53,040) 10,497,788 Net book value 13,009,517 {498,167) (67,715) 12,443.635 32 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (continued) 6 Tangibl• fixed assets (continued) At 31 March 2023 Addltlons during the year Disposals during the year At 31 March 2024 Company Cost Leicestershire and Rutland Hospice: Freehold land Freehold buildings Motor vehicles Fixtures, flltings and equipment Leasehold shop properties 3,000,000 17.115,695 194,896 1,482,656 3,000,000 17,115,695 194,896 1,658,279 175,623 51,467 9,782 61,249 Toial cost 21,844,714 185.405 22,030,119 At 31 March 2023 Provision in th• Ellmlnat•d Y•ar on disposa18 At 31 March 2024 Depreciation Leiceslershire and Rutland Hospice.. Freehold buildings Motor vehlcles Fixtures, fittings and equipment Leasehold shop properties 7,930,363 187,481 899,310 618,937 5,870 120.960 8,549,300 193,351 1,020,270 51.467 9,782 61,249 Tolal depreciation 9,068,621 755,549 9,824.170 Net book value 12,776,093 (570,144) 12,205,949 33 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes fomiing part of the financial statements for the year ended 31 March 2024 (continued) Flxed asset investment 2024 2023 Group and company Investments Markel value at 1 April 2023 Additions at cost Disposals at proceeds {Loss)IProfit on revaluation 5,357,741 357,106 (1.266,635) 404,609 6,307,221 961,938 (1,375,804) (535.614) Market value at 31 March 2024 4,852,821 5,357,741 Historical cost at 31 March 2024 3,519,205 4,200,981 Historical cost at 1 April 2023 4,200,981 4,423,160 Inveslm&nts comprise.. Listed investments in the UK Listed investments outside the UK Land and property held as investment Cash and Settlemenls pending 2,513,356 1,799,473 539,992 95,458 3,657,646 1,180,103 519,992 55,146 Total 4,948,279 5,412,887 Group Quoted investments Cash and settlements pending Investment Property 4,312,829 95,4S8 539,992 4,837,749 55,146 519,992 4,948.279 5,412,887 Company Quoted investments Cash and settlements pending Investment Property Investments in subsKJiary companies 4,312,829 95,458 539,992 4,837.749 55.146 519,992 4,948,284 5,412.892 All investments are carried at their fair value. Investment in equities and fixed interest securities are all trad8d in quoted public markets. Holdings in common investment funds, unil trusts and open ended investment companies are at the bid price. The basis at fair value for quoted investments is equivalent to the market value, using the bid price. Asset sales and purchases are recognised at the date of trade at cost (that is their transaction value). Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes formlng part of the financlal statements for the year ended 31 March 2024 (continued) Fixed asset investment (continued) The fair value of the properties within investments. has been determined by independent advisors and the Trustees have applied this valuation at 31 $1 March 2024. The significance of financial instruments to the ongoing financial sustainability of the Hospice is considered in the financial review and investment policy and performance sections of the Trustees, Annual Report. The main risk to the Hospice from financial instruments lies in the combinalion of uncertain investment markels and volatility in yield. Liquidlty rlsk is anticipated to be low as all assets are Iraded and the commitment to intervention by central banks and market regulators has continued to provide for orderly trading in the markets and so their ability to buy and sell quoted equities and stock is anticipated to continue. The Hospice's investments are mainly traded in markets with good liquidity and high trading volumes. The Hospice has no material investment holdings in markets subject to exchange controls or trading restrictions. The Hospice does not make use of derivatives and similar complex financi81 instruments as it takes the View that investments are held for their longer term yield lotal return and historic studies of quoted fin8nci81 instruments have shown Ihal volalility in any particular 5-year period will normally be corroded. No investments held represents more than 5% of the total portfolio valuation at the year end, Investments In subsldlary companles The charity owns the whole of Ihe ordinary share capital of LOROS Enterprises Limited (2 ordinary shares of £1 each), LOROS Lotteries Limited (2 ordinary shares of £1 each) and LOROS Commercial Innovalions Limiled (1 ordinary share of £1). All are incorporated in Great Britain and registered in England and Wales and have been established to carry on trading activities on its behalf. LOROS Enterprises Limited operates a chain of shops selling items donated from the public, giffv•are and cards. LOROS Lotteries Limited operates a lottery for members of the public. LOROS Commercial Innovations Llmiled operates external catering operations for members of the public. All companies covenant any taxable profits to LOROS and also pay interest on any loans from LOROS. LOROS Commercial Innovations Limited was incorporated on 16th December 2020 as the vehicle io acquire the business of Peppercorns Catering Limited, who ran Café's in Leicestershire. 35 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes formlng part of the financial statements for the year end￿ 31 March 2024 (continued) Fixod ass•t investment (continued) A summary of their trading results is shown below LOROS Enterprises Limited LOROS Lotterias Limitéd LOROS Commerclal Innovations Limlted 13084976 Total Company registered number 01944436 03179552 Profit and loss account Turnover Cost of sales 3,523,361 (151,285) 1.094,301 (232,729) 315.059 (125.403) 4,932,721 (509.417) Gross profit 3,372,076 861.572 189.656 4.423,304 Administration expenses Other Operating Income (2,983,327) (299,054) (363.005) 14.986 {3,645.386) 14,986 Operating ProfiV(Loss) Interest received Interest Payable 388,749 4,737 562.518 10,875 (158.363) 792.904 15,612 (20,167) (20,167) ProfiU(Loss) before tax 393,486 573,393 (178,530) 788.349 Covenant to LOROS {393.470) (573,390> (966,860) Profit for the year 16 (178,530) (178.511) Upon consolidation an inler-company recharge of £687,812 (2023 £653.892) relating to retail gift and managemenl fee. charged by LOROS Enterprises Limited has been eliminated. The aggregate amounts of the companies, assets, liabilities. share capital and reserves were: LOROS Enterprise9 LOROS Lotteries LOROS Commercial Innovatlons Llmlted Llmited Llmited Total Assets Creditors.. amounts fall due within one year 734,816 (734,748) 358.475 {358,351) 65,690 (587.543) 1.158,981 (1.680,642) 68 124 (521.853> (521.661) Represented by share capital and reserves 68 124 (521.853) (521.661) 36 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (contlnued) Stocks Group 2024 Group 2023 Company 2024 Company 2023 Goods for resale 151.981 261.020 Debtors Group 2024 Group 2023 Company 2024 Company 2023 Trade debtors Amounts due from subsidiary undertakings Other debtors 63,774 114,743 63,226 989,259 114,687 629.943 2,884,376 6,231.824 2,435,422 5,992,793 2,948,150 6.346,567 3,487,907 6,737,423 10 Credltors: amounts falllng due wlthln one yèar Group 2024 Group 2023 Company 2024 Company 2023 Trade Creditors Bank loan (see note 12) Payments in advance Taxation and social security Other creditors and accruals 535,981 100,000 471,290 222,577 491,459 1,293,916 100,000 355,988 284,028 609,879 445,026 100,000 287.619 189,176 321,249 1.160,584 100,000 169,965 249,229 436,979 1,821,307 2.643.811 1,343.070 2,116,757 11 Cr•dltor8: amount8 falllng due after more than one year Group 2024 Group 2023 Company 2024 Company 2023 Bank loan (See note 12) 241.667 341.667 241,667 341,667 241,667 341,667 241,667 341,667 37 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial stalements for the year ended 31 March 2024 (continued) 12 Bank loan An analysis of the malurily of the bank loan is given below- Group 2024 Group 2023 Company 2024 Company 2023 Amounts falling due within one year or on demand 100,000 100.000 100,000 100,000 Amounts falling due between one and two years 100,000 100,000 100,000 100,000 Amounts falling due between two and five years 141,667 241,667 141,667 241.667 Amounts falling due in more than five years 13 Commitments Land and buildings 2024 Land and Buildings 2023 Other 2024 Other 2023 Group Operating leases which expire.. Within one year In the second to fifth years Inclusive Over five years 554,433 1,128,225 762,500 9,778 14,047 618,387 1,000,478 221,333 2,445,158 23,825 1.840,198 Land and 8uilding8 2024 Land and Bulldlngs 2023 Other 2024 Oth•r 2023 Company Operating leases which expire: Within one year In the second to fifth years inclusive Over five years 516,737 1,091,325 762,500 5.710 14.047 618,387 1.000,478 221,333 2,370.562 19,757 1.840,198 At the year end. Ihe group had capital commitments in relation to the construction of land and buildings of £NIL {2023 - £NIL). During the year tolal lease payments of £637,404 (2023- £614,248) are recognised as an expense. 38 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes formlng part of the financlal statements for the year ended 31 March 2024 (continued) 14 Restricted funds 8alance at 31 March 2023 Balance at 31 March 2024 Incoming resour¢•s Outgoing Resources Group Capital building fund Hospice 3,131,668 333,657 (3,131,668) (301,739) 250,490 282,408 3,465,325 250,490 (3,433,407) 282,408 Balance at 31 March 2022 Balance at 31 March 2023 Incomlng resources Outgolng Re80urces Group Capital building fund Hospice 3.215,786 235.001 (84,118) (140,421) 3,131,668 333,657 239.077 3.450,787 239,077 (224,539) 3,465.325 Restrlcted funds Balance at 31 March 2023 Balance at 31 March 2024 Incomlng resourc98 Outgolng Resources Company Capital building fund Hospice 3,131,668 333,657 (3,131,668) (285,286) 208.198 256,569 3.465,325 208.198 {3,416,954) 256.569 Balanc• at 31 March 2022 Balanc• at 31 March 2023 Incoming resources Outgoing Resources Company Capital building fund Hospice 3.215,786 235.001 (84.118) (140,421) 3,131,668 333,657 239,077 3,450,787 239.077 (224,539) 3,465,325 The Capital building fund comprises capital 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 trustees consider that the capital funds should not continue to be treated as restricted, as the funds have been spent in full in prior financial years. The net book value has been transferred to unrestricted reserves and depreciation will continue to be charged against the unrestricted reserve until the capital asset has been depreciated in full. The hospice fund was established in 1997 from donalions in order to fund hospice equipment. Resources expended represent items purchased and depreciation charged on the fixed assets 39 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forming part of the financial statements for the year ended 31 March 2024 (continued) 15 Unr•stri¢ted funds Balance at 31 March Net Incomel 2023 (expendlture) Balance at 31 March 2024 Group Transfers Other charitable funds Designated funds (see note 16) Revaluation reserve 16,426,897 2,651,764 680,748 (512,638) 3.216,977 (2.651,764) {195,875) 19,131.236 404,609 889.482 19,759,409 (108,029) 369,338 20,020,718 Balance at 31 March Net incomel 2022 Balance at 31 March 2024 Company Transfers Other chafltable funds Designated funds (see note 16) Revaluation reserve 16,771,020 2,651,764 680,748 (3,834,303) 6.064,616 {2.651,764) {195,875) 19,001,333 404,609 889,482 20,103.532 (3,429,694) 3,216,977 19,890,815 Balance at 31 March N•t Incomel 2022 (expendlture) Balance al 31 March 2023 Transfers Other charitable funds Designated funds (see note 16) Revaluation resen4e 16.290,814 3.082,476 1,410,473 286.095 (430,712) (535,614) 194,111 16,771,020 2,651,764 680,748 (194,111) 20,783,763 (680,231) 20,103,532 Other charitable funds represent the free funds of the Charity which are not designated for particular purposes. Revaluation reserve represents the cumulative unreali5ed gains on the increase in the market value of fixed asset investments. Upon disposal previously unrealised (gains)Ilosses are transferred to other charitable funds. 40 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes forniing part of the financlal statements for the year ended 31 March 2024 (continued) 16 Deslgnated funds Group and company The funds of the charity include the following designated funds which has been set aside out of unrestricted funds by the trustees for a specific purpose. Balance at 31 March 2023 Balance at 31 March 2024 Utilised Transfers Capital building fund 2,651,764 (2,651,764) Balance at 31 March 2022 Balance ai 31 March 2023 Utlllsed Transfers Capital building fund 3,082.476 (430,712) 2,651,764 The capital building funds relates to the construction of the new LOROS Professional Development Centre and the extension to the Day Therapy and Oulpatients Centre. The trustees consider that the capital building fund should not continue to be treated as designated as spent in full. The net book value has been transferred lo unrestricled reserves and depreciation will continue to be charged against the unrestricted reser¥e until the capital asset has been depreciated in full. 17 Analysis of group net assets between funds Rostrlcted Funds Unr•strlcted funds Capital building fund Total Funds Hospic• Fund balance as al 31 March 2024 are represented by: Tangible fixed assets Current assels Current liabilities 17,391,914 4,691,778 (2,062,974) 17.391,914 4,974,186 (2,062.974) 282,408 Total net assets 20,020,718 282,408 20,303.126 41 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notès forming part of the financial statements for the year ended 31 March 2024 (continued) 17 Analysis of group net assets between funds (continued) Restricted funds Capital building fund Unrestricted funds Total Funds Hospice Fund balance as at 31 March 2023 are represented by: Tangible fixed assets Current assets Current liabilities 14,957,079 7,787,808 (2,985,478) 3,131,668 333.657 18.422,404 7,787,808 (2,985,478) Total net assets 19,759,409 3,131,668 333,657 23,224,734 18 R•lat•d party transactlons and trust•o8' expanses and r•muneratlon The Leicestershire & Rutland Organisation for the Relief of Suffering Limited wholly owns its subsidiary companies LOROS Lotteries Limited, LOROS Enterprises Limited and LOROS Commercial Innovations Limited (excluding Dove Cottage). During ihe year LOROS Lotteries Ltd covenanted to the charity £573,390 (2023 £593,500). During the year LOROS Enterprises Lld covenanted to Ihe charity £393,470 {2023 £361,800). Al the year end the amount due by LOROS Lotteries Lld was £160,997 (2023 £61.277), due from LOROS Enterprises Ltd was £513,352 {2023 - £366,698) and due from LOROS Commercial Innovations Ltd was £314,910 (2023 - £201,968). During the year the charity made purchases of £11,018 (2023 - £62,177) from Berkeley Insurance Group. T Maxted, a Trustee of the charity, is a director of the company. £Nil (2023 - £Nil) was due to them at the year end. During the year the charity made purchases of £131 (2023 - £1,262) and sales of £150 (2023 - £Nil) from Claire Henry Associates. C Henry, 8 Truslee of the charity. is a director of the company. £Nil (2023 - £Nil) was due to them or to Ihem at the year end. During the year the charity made purchases of £500 (2023 £Nil) from The Loss Project CIC. C Henry, a Truslee of the charity, is a director of the company. £Nil {2023 - £Nil> was due to them at the year end. During the year the charity made purchases of £46.193 (2023- £Nil) and sales of £29,712 (2023 - £Nil) from Measom Dryline Limited. A Measom, a Trustee of the charity, is a director of the company. £Nil (2023 - £Nil) was due to them or to them at the year end The charity considers the key management personnel to comprise of the Trustees, The Chief Executive Officer. the Deputy Chief ExeculivelDirector of Income Generallon. Consultant in Palliative Medicine, the Director of Care Services, the Director of People, the Director for Centre for Excellence and the Director of Finance and Resources. The total employee benefits of the key management personnel of the charity were £551,512 (2023 - £487.253) The Trustees all give freely their time and expertise without any form of remuneration of other benefit in cash or kind (2023 - £Nil). Expenses paid to the Trustees in the year totalled £131 {2023- £182). Trustees indemnity insurance of £4,776 (2023 - £3,278) has been paid during the year. 19 Controlling entity In the opinion of the trustees the entity has no controlling entity- 42 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Notes formlng part of the financlal statements for the year ended 31 March 2024 (continued) 20 Finan¢ial instruments The Group's financial instruments may be analysed as follows: Group 2024 Group 2023 Company 2024 Company 2023 Flnancial Assets Financial assets that are measured at fair value through the SOFA 4,948,279 5,412,887 4,948,284 5,412,887 Financial assets that are debt instruments measured al amortised cost 2,975,149 6,064,566 3,388,829 5,829,458 Flnanclal Ilabilities Financial liabilities measured at amortised cost 1,722,185 1,903,795 1,292,933 1,597,$63 Financial assets measured at fair value through the stalement of financial activities comprise fixed asset investments in a trading portfolio of listed company shares. Financial assets that are debt instruments are measured al amortlsed cost comprise trade debtors, other debtors. accrued income and amounts due from subsidiary undertakings. Financial Ilabllities measured at amortised cost comprise trade creditors, other creditors and accruals. On 29th October 2020. the company sold land it had been bequeathed near the village of Harby, Melton Mowbray, Leicestershire. The sale included an overage provision, whereby. for 30 years from and including the date of sale. the company is entitled to 30°/0 of any proceeds in excess of the sale price of £215.000. Therefore, the company maintains a contingent assel in the land. 43 Leicestershire & Rutland Organisation for the Relief of Suffering Limited Detailed expenditure analysis for the year ended 31 March 2024 2024 2023 Provlslon of Care The Lelcastershire and Rutland Hospi￿. Salaries and related costs Recruitment and training Medical suppli8S Insurancè Heat, light and water Telephone and postage Stationery and other office expenses 9,755,303 87,613 476,272 83,428 344,522 67,744 251,271 9,106,418 88.325 506,326 54,589 174,408 60,213 95,304 É 11 Travelling expenses Food costs (net of non-patent takings) Laundry Maintenan¢e Chaplaincy Counselling seNi¢8 Sundries Research exp8ndilure Seminars RGA commission Loss on disposal of fixed assets 45,874 132,934 33,084 238.272 108,981 197,389 278,323 1,286 19,381 17,350 (36,667) 42.767 123,708 34,730 448,774 109.971 173,769 30.674 20,089 66,602 17,167 12,102,358 11,153,814 Depreciation 702,661 606,018 12,805,019 11,759.832 The abov8 information does not fonn part of the audited statutory accounts and is included solely for the infom)ation of the management. Leicestershire & Rutland Organisation for the Relief of Suffering Limited Detailed expenditure analysls for the year ended 31 March 2024 (contlnued) 2024 2023 Provlslon ol Care Icontlnu•d> Fundralslng and Publlclty Recruitment and Iraining Salaries and related costs Telephone and postage Travelling expenses Sundry exp8nses General appeal and promotional expenses Depr8ciallon 5,668 230,872 44S 4,480 3,127 205,527 64,174 505,666 1,056 4,117 17,351 318,955 847,146 514,293 Support costs Recruitment and training Salariés and related costs Telephone and postage other office expenses Legal consultancy fee Depreciation Bank charges 7,618 63,963 7,406 59,708 323 2,264 62,678 46,470 55,639 67,644 52,888 72,019 264,132 234,488 Gov•rnanco cost• Audit, accountancy and professional fees Salaries and related costs Trustees Indemnity insurance Govemanc8 review 20,350 78,982 4.776 10.950 15,043 107,475 3.278 115,058 125,796 Ttte above info￿allOn does not form part of the audited slatutory accounts and is included solely lor the Information of the rnanag8m8nt. 45