Company Registration No. 01602467 Chaiity No. 512186 St Catherine's Hospice (Lancashire) Limited A Company Limited by Guarantee Directors, Report and Accounts For The Year Ended 31 March 2021 MOORE & SMALLEY ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED CONTENTS Page Reference and Administrative information Report of the trustees Independent Audilorfs Report lo Ihe members 12 Group staterHenl of financial activib'es 15 Cornpany 51alemént of financial activities 16 Group balan￿ sheèt 17 Company balancè sheet 18 Group cashflow ststement 19 Accounting poliaes 21 Notes to the a¢counts 25 ST CATHERINE'S HOSPICE (LANCASHIRE) LIMITED REFERENCE AND ADMINISTRATIVE INFORMATION Founder The late Mrs C Sharples Patrons Sir B Beaumont Mr M Lawrèn8on Sir D Nichol Ms T Merry Honorary Vice Prosldènts His Worship the Mayor of Ghoiley His Worship the Mayor of Preston His Vvorship the Mayor of South Ribble Prèsidènt MrJ C Hughes MBE mber5 of the Board.. Chaimian Mr J G Chèswtsrth mber5 Mr J G Chesworth Mr A E Harrison Mr J A 8on5er Di F M Duncan Mr J J Holden Mr M J Lough Ir r R Frier Mr P A Franks Mrs L Norris MsMLCox Dr D T Shakespeare (appointed 31 Juty 20201 Ms A K Van Duyvenvoorde (appointed 10 Novembor 20201 Mr A M Ryder (appointed 10 December 20201 Key Management Personnel.. Chief Executive and Company Secretsry Mrs L A Kelly Mèdical Dirèctor Dr A J Fletcher Director of Nursing, Governance and AHPS Mr J Brash Diractor of Flnanco and Busln8$S Ms S Clemson Llirector of Community and Income Ms L Charlesworth Dirn¢tor of Communicatiort$ Ms S Walker Registered Charity No. 512186 Registered Office St Catherine's Hospice Lostock Lane Lostock H811 Preston. PR5 5XU Auditor MHA Moore and Smalley Chartered Accountants & Statutory Auditor Richard House, 9 Winckley Square Preston. PR1 3HP Page 1 ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED REPORT OF THE TRUSTEES The Board of Trustees, who are also directors of the charity for the purposès of the Companies Act, SLsbmit their annual report and the audited financial statements for the year ending 31 March 2021. whioh are also prepared lo meet the requirements for a directors, re￿rt and accounts for Companies Act PUlP05es. The financial statements have been prepared in accordan￿ with the aecounling policies set out in notes lo the accounts and comply with the charity's governing document, the Chantie5 Aol 2011 and Accounting and Reporting by Charities." Statement of Recommended Practice applicable lo charities pieparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland published in October 2019. structure, Governancè and Manag•m•nt The charity is a charitable company limited by guaranteè and was set LJP on 7 December 1981. It is constituted and governed by a Memorandum & Articles of Association, which are updated regularly. The Articles of Association currently allow for an Assock3tion and membèrs of thè Assoaation to elect from their number trustees who constitute the Hospice Board. The Chaiman and w¢e-¢hairman are ele¢ted by the trusteès from amongst their own number. Governance arrangerrents are described in a Governance Manual. This is founded on the Memorandum and art￿leS of Association. Service Committees are - Patyenl Care, Cotntnunily & Income. Knowledge Exchange and Financè. Audit & Business. These are complemented by Corporate Committees and Sub-comrrittees such as, foi example. the Health & Safety Sub-committee, Remuneration Sub-comrnittee and Informats'on Govemance SutFCornmittee Membership of each committee is determined by the Board. Each committee operates to standing orders and terrrs of reference. The Governance Manual includes sections on the appointment of trustees, it describes the prO￿5S which for recent appointments have been made which Is Ihiough a transparent and open recruitment process with the opportunities widely promoted. Appointments may bé made by the board but they have lo be supported by the Assoaation at the AGM. Induction of trustees includes partioipation in the hospice's indudion programme for staff and volunteèrs as well as specific components for their role and meeting5 Wlth the senior rnanagement tearn. There is a developtnenl piogiamme for IrLJStees that includes regular reviews. training l updating requirements, rneeting with CEO I Chair of the Board. attendance at staff and volunteer seminars. An in(tépèndent reiAew of governance was carried out in 2017118 w11h a Goveinance Maslerclass In Maioh 2019. Another review is scheduled fDr 2021. The Quality and Governance SutFCommrttee oversees govemance ol clinical matters such as safeguarding, policies, audit, infection prevention, training etc and reports into the Patient Cale Committee Thefe is a cornprehensive range of policies, standards and protocols covering all aspects ol clinical work whith are reviewed and updated on a regular ba51s. Financial matters. including budgets, review of accounts and fi'nancial controls. are dealt with through Board and the Finance, Businèss & Audit Committee. Retnuneialion lor the chanty is determined by the board, advised by a Iruslee-led Remuneration Sub- Gommittee that benchmaiks from the industry standard and cost of living indices. All salaries are job evaluated against a set of agreed criteria established in 200819 and subsequently revised alongside benchmarking with ¢ompetitors The full Board of Trustees meets 31 least four times a year, with additional meetings being convened as required. Planning Days involving trustees and Senior staff ale a regular feature of Hospice working arrangèmènts. Seminars involving all colleagues take place tW￿e a year usually in spiing and autumn. However. due to the pandernic these have been replaced by regular communications from the CEO by email. video message and virtual meeting5. Annual Business Plans describe strategic and operational direction and arè supported by other strategic and managernenl documents. The charity has strong relationships with partner5 Including the NHS. commissioners, local councils. academic institutions and other hospices. St Catherine's has a memorandum of understanding with the University ol Central LanGashire and one with Runshaw College. Members ol the senior team play an active role in various local groups which include developing a strategy and collaboratwe working for end of life care in Gentral Lancashire. Pagè 2 ST CATHERINE'S HOSPICE {LANCASHIREI LIMITED REPORT OF THE TRUSTEES Icontinu•dl Objectlv8s and A¢tlvlll•$ for Public Benefit In a￿[dance with the objects sel out in the Memorandum and Articles of Association, St Catherine'5 5UPPOrts patients with life shortening illnèsses. and those important to ihem, to have quality of lrfe lo the end of Sife. Our vision is that everyone In Central Lancashire has quality of life to thè ènd of life. The area served in¢ludes Adlington. Chc>iley, Longridge, Preston and South Ribble. St Calhenne's Hospice works closely with GP practice5. Lancashire Teaching Hospitals Trust, Lancashire and South Cumbria Foundation Tru51, Clinical Commissioning Groups, local Councils. academic institub'ons and other partnèrs. The Board of Trustees refer lo the Charity Commission's general guidance on public benèfit when reviewing the charity's aim and objectives and in planning future activ((ies. In particular, the Board consider how planned actwities will contribute to the aim5 and objectives they have set. This is undertaken on an annual basis and includes feèdback from patients, families and local people. Pat￿nIS and larnilies are able lo feedback direct to the hospice's website and comments are ieviewed al the Quality and Governance Sub-committee. the Patients and Farnilies Sub-committeè and the KnovAedge Exthange Committee. In addition lo an annual audit, the charrty also has rts tHanagement accounts checked evèry month by an independent accountancy firm as an added ￿Ve1 of scrutiny to protect the best interests of 115 donors and the board. Strategic Report Background St Catherine's Hospice opened in 1985 and has a hard èarned. highly respected reputation for effectively caring for people with lrfe-shortening illnesses living in Central Lancashire. Generating over £5.7rn needed lo wn hospice ServI￿S each year continues to be a huge challenge with just £1.8m awaided by the NHS. The Chief Executive is responsible for the day-lo-day running of the Hospice that is governèd by a Board ol Trustees. Specialised care se*vices are clinically led by the Medical Director Iwho is one of four Consultants in Palliative Medicine working in the locality) supported by medical staff. doctors in different siages of training and nursing learns that are led by the Director ol Nursing. Governance & AHPS. Sl Catherine's plays a full and active part in the development of local. regional and national healthoare strategies through our links with local providers and bodies such as the Strategic Clinical Netsvorks. The charity works hard to maintain strong rèlat￿nshlpS with local people and surrounding Comrllunilies including councils, othèr health providers. businesses. other charities and educational establishments. This engenders 8 genuine sense of local belonging and services that are continuously adapted to meet the needs and piiorilies of local people. Objectlv•s and activitie¥ The purposes of the charty a￿ clearly laid out in documents Ihal build on the Mèmoiandum alld Artides of Association and Governance Manual. Sl Catherine's vision is that évÈry(>ne has quality of life to the end of life. The hospice works in partnership wrth patients and those I￿pOrtant to them to help thèm achieve their wishes for the end of life. Our experienced leaffl of doctors, nurses. social workers. counsellors and physiotherapi%ls prtsvide care and support to people al the hospice. in clinics and in Iheii own homes. Our SeN￿S are open to patients over the age of 18 regardless of race, religion, sexual orientation, age or diagnosis We provide care to people with a range of d&3gnoses including Can￿r. neurological conditions and ènd stage respiratory and heart disease. Wè also prowde support lo families and carers including children and young people. Services provided by St Catherine's HOsp￿e In-patient care, with 19 beds- thè majority are single roorns with lacilitEs lor relatives lo stay overnight., Oulpatienl Clinics including Lymphoedema ts adults and childrell., Page 3 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED REPORT OF THE TRUSTEES Icontinuedl A Community Glinical Nurse Specialist Team provides expert adV￿e and support for people in their own hotnes. The team holds a caseload ol over 200 people at any one lime. A volunteer befriending seNce which prowdes respite for carers and helps to combat loneliness and 1501alion rnany people feel when exp8riencing serioLJS illness., An information seivice, café and community hub called The Mill. 250m from the main hospice building., The Mill is within St Catherine's Park which 15 open lo the public eovenng an area of about 22 acres. The aim is to take away the mystique of hospices and help people to feel welcome and ¢tsmfortable. Sl Catherine's Park affords a Spa￿ lor relaxation, remembrance and reflection.. Support serv￿e$ include." physiotherapy, complementary therapies, hairdressing. psychological and spiiilual Care, family and bereavement support (led by qualified SOCHI worker51.' Knowledge Ex¢hange Services and a Communications Team underpin all hospice services and provide access lo infoimalion and rèstsurces tts help people help themselves through social media and our website. The Knowledge Exchange team also supptsrts health and social eare professionals throughout Central Lancashire with training and education. The charity encourages open aoce5s and aetivèly seeks lo involve patients, users and stakeholders in its decision making through accessible feedback channels online, in print and thitsugh thè Patients and Famil￿$ Sub-committee. Main activities to deliver Income inelud•'. High quality care A strong, Itusled reputation Local relationships with individuals. organisabons, businesses and other partners Donations Donation5 In Wills Fundraising events Lottery Two newsletters a year to approximatety 30,000 people Communications through mèdia, social media and leaflets Hospice charity shops The Mill café. community hub and catering service Bids into public and Charrtab￿ funds Stratègic planning and p8rfomiance monitoring The strategy for achieving the hospioe's slated aim is cleady laid out in St Catherine's 5 year strategy, annual business plan and budget. Work cotnmenced on a new 5-year strategy in 2020-2021 and will be finalised in the following year St Catherine's has robust strategic and opÈrab"onal developm8nt processes with monitoring at all levels and especially to the Board including detailed risk managernent plan5. Staff and voluntèèr fèedback is incorporated into the preparation of the business plan through regular team meetings. appraisals and one- Io-one rneelings. The Business Plan 15 also discussed through the staff and volunteer serninars. The Board (currently 13 trustees) meet with senior offi￿rS at a planning day in December lo consider proposals for each key theme ill Irusteè-lèd committees, each ol which has a lead Offi￿r. The annual business plan and budget is finalised at a special Board Planning Day in March. At the same time, the hospi￿.$ 5 year-strategy is updated. The CEO and senior officers all support each Board meeting Colleagues. from all levels of the organisation. have regular opportunities lo meet board members including through quarteily formal visits carried out by trustees who then rèport back directly to the board. Page 4 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED REPORT OF THE TRUSTEES lcon￿nu0dl The business plan which staff are involved in developing, is posted on the wall of each office and staff area. The Vision Sl Catherine's Hospice ILancashirel Limited is.. Quality of Life To The End Of Life Achieved through thernes of". Cart & Support: Knowl•dge Exchang•,. Community & Income. Communications, Finan¢e & Business Through goals of.. Quality lincluding Safety), Quantity and Sustsinablllty And valuas of.. Caring, Compassionats and Committed The bLJsiness plan and budget is monitored each quartèr through tru51ee-led committees that cover each Iherne through respective goals and standard reporting formats that measure progress with agreed a¢lions and key perforrnance indicators. These reports include red l amber I green grading in addilK)n to agreed measurable d*a, qualitative information and nsk management. Our main risks are to relationships, resources and repul*ion. Committees, Su￿e0mMitteeS and the Board receive regular infomation on patient feedback including compliments and ¢omplaints which include a livè feedback syslern directly onto the hospi￿ website., reports and follow-up action plans from regulatory inspection5'. reports from trustees who carry out foul Independent inspections ol hospice aclivrty annually". action plan5 following key reports and inquirEs', specialist information with regard lo Caldicott, Accountable Officer etc. They also consider mèdia articles and reports. The directors. team and managers, team also hold iegular performan￿ meetings with regard tr) the delivery of the business plan. Thè1ast CQC inspection. 2019. graded St Catherine's as good overall and outstanding for care. Comments in the report are ex￿pIlOn3l and can be viewed on th6 CQC website. A Transitional Règulatory Approach monitoring call wth ihe Gac took place in February 2021 and confimied there was no further regulatory activity required. The ultimate measure of success is feedback from the ¢ommLJnity and levels ol finanaal support received. The main tools for measuring success are included in the business plan, cornrnittee and board reporting frameworks. lthat matters most, is that the oharity continues meets the needs of loca5 people. New activitiès Sl Catherine'5 develops new activities each year lo ensure that the work ol the chaiity Is meeting local need In 2020-2￿21 this new a¢livity focussed on ensuring the h(>spice continued to provide services and cary out income genèrating activities during the pandemic whilst adhering lo safety measures and governrnent gLtidance. Page 5 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED REPORT OF THE TRUSTEES l¢ontinuedl Service Oevelopment The hospi￿ played an active role in supportillg the local health economy response to Covid by takillg part in the iegubr Cross-Boundary meetings with a range of providers, the urgent and emergency eare ICP board and the clinical and professionals forum. There was a lower than usual demand for in-patient care during the pandémie whilst demand on community servi￿$ rémained high. We rè-allocated our specialist doctors and senior nurses to Ihe ¢ommunily service lo balance need and ie50urce5. Our Community SeNices operated entirèly remotely frorn the rnain hospice building through use of technology lor remote ¢onsuttations and telephone reviews. Our Lymphoedema service also operated remotely for the first few months of the pandemic. Over the surnrnei faoe-tTrfaoe services resumed al clinic and at home with safety measures in pla¢e su¢h as enhanced deaning regimes, PPE and social distancing. We devised a winter pressures care horne support programme with grants from the CGG and ICS. The programme included Clinical Nurse Specialist support for residents alongside a Iiaining prograrnrne staff Our In-Palient Unit continued to operate throughout the pandèmic wttich included caring for people with COVID wrth the necessary safety precautions in pla￿. Non-Clini¢al staff were trained to carry out some roles lo prowde wntingency for stsffing levels. The Support Tèam continued to support ¢arèrs and bereaved people remotely. We also made improvements lo reluining lo belongings lo families following a quarantine period. A grant was stsurc8d lo fund Specially designed bags for families which created a more dignified and sensitive experiencè unique iermernbiance video wa5 created as we couldn't hold an in-person event. An exatTtple of feedback received Just wanted to say many thanks to St Catherine's for the Rernembrance Video. It was a beautiful memorial to those wè lost last year and I will treasure it. The visual effects were lovely with scenes of flowers and woodland. ￿[￿plemented with appropriate songs arKI fflu51C The Knowledgè Exchangè Team began lo deliver Vlrtual training which included sessions on Verifution of Expe¢ted Oealh lo corllmunity professionals in support of the local health economy's response to COVID. The learn continue to offer a range of virtual study sessions to students and héalth professionals. We delivered 81 virtual sessions with 766 attendees from April 2020 to March 2021. The Research and Innovation Sub-committee was convened in February 2020 with partners frorn UCLan, Lancashire Teaching Hospitals Trust and Lancashire. the Innovation Agency and South Cumbria and Lancashire Foundation Trust. We aim lo further develop our research potential through this group. Addrtional support and resilience sessions were provided lo staff throughout the pandemic which included regLtlar wèllbeing emails. virtual supérvision and staff surveys focused on wellbeing and personal experience through the pandemic. COVID Specif￿ information and wellbeing lips for the public were made available on the resour￿$ area ol the website in a new section called 'lor our communities,. During the first lockdown many ol our volunteers were shielding and we provided a food delivery service and made wellbeing calls lo those that were isolated. Incomo G8n8ration Activity Many staff were on lurfough for most of the year due to the shops and our café. The Mill, being closed. In adapting lo the pandemic. we created a new Click and Collect Service for takeaways Iioffl The Mi51 which contributed to incomo whilst The Mill remainèd closed. We hosted a virtual version of our Moonlight and Memories Walk in which 700 people took part.. we sent out 1,324 yellow ribbons for people to display at home for our annual Yellow Ribbon dedication appeal, and we ran our poignant Light Up A Lrfe service through Facebook which reached 18,519 people. Page 6 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED REPORT OF THE TRUSTEES Icontinuedl We recnjited a new e-commerce Managèr post to further develop our online selling a¢lNiity and adapt to ¢hanges in consumer behawour lo onlinè. Community support remained strong throughout the pandemic and OUT communicth"¢>ns have reflectod a shared experience with local people. Wè told our story and thanked people for the support and well wishes we were re￿IVing. In April and May we received 1.143 individual donations, compared to 812 donations during the same period the syevious year. On social media we saw increased activty from our followers on Fa￿boOk wrth èngagement up by 79%, actions up 80°￿, and page views up 82%. We were successfvl in bidding ft>1 £143k in grants which supported actNit￿S such as tha berèavement bags, new hardware for remote working and the e-commer￿ position. The hospi￿ also benefited from the Hospicè Emergency ftjnd which bought bed capacty for th& NHS and later in the year was based on hOsp￿e activity In the short term. the charity provided lernporary financial support to its subsidiaries lo cover fix￿1 cos15 whilst trading was suspended. bul this was given with the full expectation that the subsKli3ry trading companies will return to profitability within the forthcoming financial year. A dip in income is forecast but thè organisation is silient to Ihis. having sufficient reserves to draw on. Budgets have been revised to reflect the drop in Income and forecasts are being revEwed regularly. The Mill Cafe and the majority of shops re-opened during July and August 2020. wth Covid-safe measures in place. Cash donations remain high and thè organtsation has rec￿Ved govemment funding via Hospice UK. the furlough scheme and retail grants. It is doing things drfferendy to raise income such as running virtual events and delivering wrtual Coursès and is enhanung Communi￿110￿ with supporters, for exarnple by sending 2 35th anniversary newspaper lo all housèholds within the catchment aiea. It is also engaging in a programtlle of sustainability planning with truslee5 and reviewirvj all areas of the business io assess the potential for increased Income or Cost savings. Further details of achiÈvèm8nts are available on the hospice website and wa Facebook and Twitter feeds. The charity is extremely grateful for the dedication (>f its many volunteers who are involved In èvery area of thè Hospice's activity. Around 900 volunteers give freely of their lime and talents to help in the Hospice. al events. in charity shops. fundraising, administration, and in rnany other actiwtiÈs. Finally. Sl Catherine's continues to be deeply grateful for the remarkable generosity that continues lo be shown by the people of Central Lancashire. Achievemènts and Performance for Publi¢ 8on&fit Information on the services and achievements of the charity 15 Included in the Annual Review which is rjiculaled al thè AGM in October each year and is available thereafter. Website and social media outputs provKJe daily updates of activity and the public can cornment positively or critically on service5 reGeived from St Catherine's, directly onlo the website. The number of beneficiaries 5UPPOrted in 2020-2021 by each service are.. Community Clinical Nurse Speryalist Service- 697 Community Hospice Support Assi51anl - 243 The Advice Line for health professionals. patients and carers - 1.133 Lymphoedema - 329 . In Patient Unit 245 The Support Team - 293 Ajlied Health Professionals 181 Page 7 ST CATHERINE'S HOSPICE ILANCASHIREI LIMITED REPORT OF THE TRUSTEES Icontinu&dl Ethical fundraising St Catherine's adheres to the high ethical standards set by the Fundraising Regulators Fundraising Codè of Pra¢l¢e. Its ensure all fundraising a¢tiwties are legal. open. honest and respectful. St Catherine's does not cold call directly or by telephone., does not 'ask or beg, for money. St Catherine's tells people about the services that il provides 2nd makes it easy and interesting lor people to support the charity if they v41sh lo do $0. The Hospice carries out all its own fundraising with just one exception". lottery membership canvassing. some of wh￿h is carried c)ut by a third party. The company ¢oncfyined. Supporting Essential Chanlies Fundraising Ltd ISECI ha5 an immaculatè rÈputalion and attracts new mernbe15hip from a lottery booth in publ￿ places such as shopping malls. DIY Stores and 5upermarkels. All locations are pre-arranged with the locations as Trustees of St Catherine s havè ag￿ed there is no door lo d(M)i or telephone canvassing by the hospice or any third party working on its behalf. The Head of Promotions meets regularly wrth SEC to monitor their wod(. Review meetings have also b88n hèld with the CEO of SEC, the CEO of St Catherine's Hospice and the Hospice's Quality Standards Offieer. Trustees oversee the fundraising activity of the HOsp￿e and third party fundraisers. We monrtor and ￿COrd the number of ¢omplainls we re¢eive ea¢h year and shale this data with the Fundraising Regulator on request, no formal complaints have been received about the third party or about the charity's fundraising activity this yeai. This activity has been suspended since March 2020 due to the pandernic. Re￿vant training on the policy is prowded to all staff and voluntèers involvèd in fundraising. lottery and trading alld also SEC fundraising. Financial Review The statements of financial actiwlies for the year are sel out on pages 15 and 16 of the ffnancial slalements. Group income for the year was £7,630k 12020.. £7,438kl and the income to the charity was £6,245k 12020 £5,908kl Group expenditure for the year was £6.787k12020.. £7.207kl and the expenditure for Ihe charity was £5,529k 12020.. £5,748kl Overall gTOUP surplus for the year was £970k 12020". £187kl and the surplus lo the charity was £725k12020'. £163kl R•s•rv&s Total reserves at 31 March 2021 are £12.945k. of which £5,509k are general unrestricted reseNes, £7,398k are designated reserves, and £38k are restricted reserves. Since St Cathenne'5 is a Gharity. income is Potentially vulnerable because of a high level of dependence upon voluntary giving. Therefore, having regard to the needs of patEnts and their families for the continuity of thè range of care provided by St Catherine's Hospice. together with the obligations of thè Hospicè toward5 Ils employees, il Is the poI￿Y ol the Iruslee5 to hold prudent levels of available reserves. Accordingly, as far as is reasonably practicable. the trustees will endeavour to maintain such reserves at a level of between 6 and 12 months of budgeted expenditure. ThB policy has been more accurately defined through an analysis of the most likety risks lo income. The build-up of high levels of liquid assets within the charity is to maintain Htsspl￿ contingency reservès at a level that ha5 been calculated through an assèssment of likèly risks The ¢urienl level is £2.4rn and Is ieviewed regularfy. Available free reserves. which represent the unrestiicled funds nel of the reserve policy of £2 4rr, are £3, 109k12020'. £2.779kl Page 8 ST CATHERINE'S HOSPICE ILANCASHIREI LIMITED REPORT OF THE TRUSTEES Icontinuodl Investment pollcy The group's investmènts are held by The John Thackèr Charitable Trust, charity number 1017345. Details ol the inveslrnent policy and performance can be found in Ihese accounts. Int&mal financial eontrol l Risk management The systems of internal control are desKJned to provKJe reasonable. but not absolute. assurance against material misstatement or Ios5. They indude.. A 5 Year Strategy, Annual Business Plan and an annual budgel approved by the Board of Trustees. Regular consideialion by ihe trustèes of financial result5. variances from budgeis. non-finanryal perfotrnance indicator5 and benchmarking reviews., in particular through the Finance & Resour￿8 Committee and the 8oard. Delegation of authority and. insofar as is practicable, segiegation of dut￿$ Idenlificalion and managemènt of risks ill Gonjunction with the organisalion's insurers. A formal risk management prO￿$S lo assess busine55 risk and lo implement risk rnanagement strategiès is in place. This includes reviewing the adequacy of the charity's Gurrent internal controls and the Board is pleased to report that thè charity's internal financial controls conlom to the guidélines issued by thè Charty Commission. In addition, trustees have ¢oftsidered ihe guidance for diredors of public listed companies contained within the Turnbull Report. They believe that, although th15 is not rnandalory, the charity should, as a public interest body. adopt these guidelines as best practice. Accordingly, they are seeking lo.. Sel policies on internal controls which cover the following.. Consideration of the type ol risk the charity faces". The levèl ol risk whith they regard as accèptable., The likélihood of the risk concerned malerialising.. The charity'5 ability to reduce thè incidence and Impact on the business of risks that do materialise". and the costs of operating particular controls relativé lo the benefit obtained. Clarify the respon51bility of managefflent to implement the trustees. policy and lo identify and evaluate risks for their consideration. Communicate Ihal empk)yees have responsibility for internal control as part of their accountability for achieving objectives. Embed the control system in thè eharity's operations so that it becomes part ol the culture of the charity. Devek)p systems lo respond quickly lo évolving risks arising from factors within the charity and lo change5 in the external environment. nclude procedures for reporting failings immediately lo appropriate levels of management and the trustees together with details of corre¢tive action being undertaken. The finance function is overseen by the Dirèctor of Finance & Busine55 SUPPOrted by an independent outsoui¢ed accountan¢y service. This. in addition to external audit arrangements. enhances transparency and financial Security. Plans for future perlods A new five year plan B being developed and will include consideration of the hospice's facilities and areas of growing demand for services, as well as new in¢ome potential. This will factor in additional challenges being laced as a resutt of the Covid-19 pandemic. The findings of a strategic review of the hospice's InfortHation System5 wi11 be implemented over the nexl two years. We are also working with partner5 in the local health economy to enhance the community service and improve responsivéness and Integration with other providers. Page 9 ST CATHERINE'S HOSPICE ILANCASHIREI LIMITED REPORT OF THE TRUSTEES Icontinuèdl Relationshlp wmh Sub$idiaries Sl Catherine's ha5 5 subsidiary entities,. St Catherine's HOsp￿e Trading Ltd. Si Catherine's Hospice Promotions Ltd, The John Thacker Charitable Trust. St Catherine's Community Servtces Ltd and St Catherine's Social Enterprise Ltd. St Catherine's Hospice Promotions Ltd operates a weekly lottery and raffle5. St Catherine's Hospicè Trading Ltd operates charity shops throughout the a￿a selling new goods, donated g(K)ds and furniture. Sl Catherine's Community Serwcès Ltd has been sel up lo operate as an agent for domi¢iliary care services but has not traded during thè year. Sl Catherine's Social Enterprise Ltd operatès as the governance vehicle for The Mill at St Catherine s Path that opened in autumn 2014. The John Thacker Trust was created utilizing a bequèst left lo St Catherine'5 Hospice by John Thad(er who died in 1991. The capital and the income ol thè Trust Fund is for the benefrt of St Catherine's Hospice Ltd. Employ•• involvement and policies AclNe encouragernent is given lo all staff and volunteer5 to play their full part in the life of th& Hospice. Regular Wellb8ing Surveys have been conducted throughout the pandemic with the opportunity for staff to sharè improvernent ideas. A staff task and f1nish group has been sel up lo k>ok at activities to 'reconnèct the hospice following the pandemic.. So far virtual quizzes. virtual catch-up sessions and socially distan¢éd walks have been organised. Another benchrnarked suTrey with the hospi￿ sector is scheduled lor 2021. All staff are invtslved in preparing and reviewing the annual business plan and risk register that are subsequently approved by the Board. There is also a Staff Forum to addrèss pradtcal i55ues. Fundraislny standard$ and policies The charty ensures continued high ethical fundraising standards and compliance with the Fundraising Regulator Code of Fundraising Pra¢li¢e in a numbei ol ways. St Catherine's Hospice is registered with the Fundraising Regulator, demonstrating that the hospice is serious about high standards. Registration inoludes entry on our public register and a registration badge. wh￿h will increasingly bé rè¢ognised by the public. lo use on all our fundraising materials. Fundraising activity is regularly monitored and ieviewed to ensure that methods still meet the emerging requiréments ol the Fundraising Regulator. Contracts held with external fundraising organisations, e.g. lottery canvassers, include strict standards of condud and regular meetings lake place with the companiès lo review progress and compliance. Trustees have agreed that the charity will not undertake door-to-door cold-call fundraising or telephone fundraising of ally kind., Lottery canvassers only operate in agreed (>utlets that are Pfe-booked and carefvlly rnonitored. Page 10 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED REPORT OF THE TRUSTEES l¢ontinuedl Tru$tèas' rosponsibiliti•s statement The Board of trustees (who are also directors of the charity for the purposès ol company lawl are responsible for overseeing the preparation ol the Trustees, Annual Report (including the Slr8legi¢ Reportl and the financial statements in accordancè with applicable law and United Kingdom Accounting Standards (United Kingdom Generally A¢cepted Accounting Practicel and for their approval. (Further details iegarding trustee responsibilities are described in St Catherine's Govèmance Manual.) Company law requires thè trustees to p￿pa￿ financial statements foi each linanaal year. Under company law the trustees rnust not approve the financial statements unless Ihey are satisfied that they give a true and fair view of ihe stale of affairs ol Ihe charitable company and of the incoming resoUr￿S and application of resour¢es, including thè Income and expenditure, of the chaiilabLe company for that period. In preparing these financial ststements, the Iruslees are requwed to.. $è18ct suitable a￿OUntIng policies and then apply them con$istenlly', observe the methods and prinaples in the Charities SORP 2019 IFRS1021'. make judgetnents and estimates that are reasonable and prudent., state whether applicable UK accounting standards have been followed, subject lo any material dèpartures disclosed and explained in the financial statements., and prepare the finanaal statements on the going concern basis unless f( is Inappropriate to presurne th* the charitable company will continue in operation. The trustee5 are rèsponsible foi keeping adequate accounting records that disclosè with reasonable accuracy at any time the financial position of the charitable ¢ompany and enable them to ensure that thè financial statemènts comply with the Companies Act 2006. They are also responsible for safeguarding the assets of IhÈ chairtable company and hénce for laking ieasonable steps for the prevention and detection ol fraud and othei In 50 far as the trustees arè aware.. there is no relevant audit information of which the charitable cornpany'5 auditor is unaware., and the trustees have iaken all steps that they ought to have taken to make theMse￿eS aware of any relevant a￿lIt information and to estsblish that the auditor is aware of that information. The Iruslees are responsible for the maintenance and integrity of the corporate and financial information included on Ihe charitable cornpany's website. Legi51alion in the United Kingdom goveming the preparation and dissemination of financial statements may differ trom leg151ation in other jurisdictions. Auditor A resolution proposing that MHA Moore and Smalley be re-appointed as auditor of the Charity will be pul to the Annual General Meeting. Th15 rèport which incorporates the Strategi¢ Report was approvèd by the Board of Trustees on 11 Odober 2021 Mr J G Chésworth . Chairman St Catherine's Hospi Lostock Lane Loslo¢k Hall Preston PR5 5XU Page 11 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS Oplnion We have audited the financial slalerllents of Sl Catherine's Hospice ILancashirel Lirnited (the 'parent charitable company'l and its subsidiaries Ilhe 'group'l for the year ended 31 March 2021. which wtnprise Group Statement ol Financial Activities, Company Statement ol Financial Aclivilies. Group Balance Sheet, Company Balance Sheet. Group Cash Flow Statement and notes lo the financial slatemellls, including significant accounting poliries. The financial reporting framework that has been applied in their preparation is appliCa￿e law and United Kingdom Accounting Standards. induding FRS 102 'The Financial Reporting Standard applicable in the UK and Rèpublic of Irèland, (Unitèd K4'ngdom Géneially AC￿pIed Acoounling Practicel. In our opinion the financial staternents.. gwe a true and fair view of the slate of the group's and parent charitable cornpany's affairs as at 31 March 2021. and of groups incoming resources and application of resources, induding its income and expenditure, for the year then ended", havè bèen propèrly prepared in accordance with United Kingdom Generally Accepted Accounting Practice, and have been prepared in acoordance with the requirements of the Companies Act 20Cé. Basis for opinion We conducted our audit in accordan￿ with Inlemalion81 Standards on Auditing IUKI IISAS IUIg1 and applicable law Our iespon5ibilities under those standards are further described in the Auditor's responsibilities for the audit ol the finallcial statements sectDn of our report. We are independent of the group and parent charitablè company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC'S Ethical Standard. and we have fulfilled our other ethical re5pon5ibililies in aocordance with these requiietnents. We believe that the audit evidence we have obtained is sufficient and appropriate lo provide a basi5 for our opinion. Conclusions r•lating to going coneèm In auditing the financial staternents. we have concluded that the trustees. use of the going concern basis ol accounting in the preparation of the financial statements is appfopriate. Based on thé work we have pèrformed. wè have not identified any material uncertainties relating to events or conditions that, individually or collectively. may cast significant doubt on the group's or parent charitab16 company's ability to continue as a going concem for a period ol at least Iwèlvè months from whèn tha finanual ststèments are authorised for issue Our responsibilities and the resporisibilities of the trustees with respect to going concern are described in thè relevant seclions of this report. Other information The other infomatitsn comprises the information included in the Iruslees. annual report, other than the financial statements and our audrtor's report the￿On. The trustees ar& responsible foi the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and. except lo the extent otherwise explicitly staled in our report, we do not èxpress any form of assurance conclusion thèreon. Our responsibility is to read the other information and, in doing so, consider whether ffte other information is materially inconsistent with the financial statemènts or our knowlèdge obtained in the course of the audit or otherwisè appèars lo be matènally misslalèd If wè identify such rllaterial Incon51Stencies or apparent material mi55lalemen15, we are required lo deteimine whether this gives rise lo a rnaterial rnisstaternent in the financial statements themsefves. If, based on Ihe work we have performèd. wè condudé that thèrè is a matèrial misslalement of this other information. we are ￿qUired to report that la¢l. We have nothing to report in this regaid. Page 12 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS Icontinu•dl Opinion on other mattays prescribed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information giv&n in the trustees. report (incorporating thè strategic report and the directors, rèport) for the financial year lor which the fnancial statements are prepared Is consistent with the financial statements". and the strategic report and the direclo¥s' report have been Prepa￿d in ac¢ordance with applicgblè legal requiremènts. MattefS on which we art rnquired to report by exception In the light of our knowledge and understanding of the group and parent charitable company and ils environment obtained in the course of the audit, we have not identffied material misstatements in the strategic report and the directois. report. We have nothing to report in respect of the following matters in relation to %¥hich the Ctsmpanies Act 20C6 requirès us lo report lo you rf, in our opinion.. adequate accounting records have not been kept by the parent charitable company, or returns adequate for our audit have not been received from branches not visited by us., or the parent charitable company's financial Statements are not in agreement with thè accounting re￿rdS and returns". or certain disdosures of directors, remuner8tion specified by law are not made.. or W8 have not received all the information and explanations we require for our audit. Respective responsibilities of the trustse8 As explained more fully in the trustees, responsibilities stslement set out on page 11, the trustees (who are also the diiedors of the charitable company fof thè purposes of cornpany lawl are responsible lor the preparation of the financial 5taternents and for being satisfied that they give a true and lair view. and for such inlemal control a5 the trustees delem)ine is necessary lo enable the preparation of financial statements that are free from maleiial misstatement. whether due lo fiaud or error. In preparing the financial slalements, the Iruslees are responsible for assessing the group's and parent charitable company s ability to conlifiuè as a going cOn￿r￿, disclosing, a5 applicable. matters related to going concem 3nd using the going concern basis of accounting unless the trustees erther intend lo liquidatè the group or the parent ¢haritable company or to cease opeialions, or have no rèalistic alternative but lo do so Page 13 ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED INOEPENDENT AUDITOR'S REPORT TO THE MEMBERS Icontinuedl Audito￿$ responsibilities for the audit of the financial ststgments We have been appointed auditor under the Companies Art 20￿ and report In a¢¢ordan¢e wlh this Act. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditorfs report that includes OUT opinion Reasonable assurance is a high level of assurance. bul Is not a guarantee that an audit ¢onducted in accordance with ISA5 IUKI will alway5 detect a rnaterial misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, ihey could reasonably be èKPéCted to influence thè èconomic décisions of users taken on the basis of thèsè financial stalemenls. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irwularities, including fraud. The specific procedures for this èngagément and the Èxtènt to which thèse arè Capable of delecling Irregularities, u)cluding fraud Is detailed below.. Enquiries with management about any known tsr suspeGted instsnces of non-¢ompliance with laws and regulations., Enquire5 Wlth management about any known or suspected instances of fraud.. Review of rninutes of bjard meetings., Examination ol journal Èntriès and othei adjustrnents lo le51 for appropriatèness and identify any inslan¢es ol management override of controls.. Review of legal and professional expenditure to identify any eviden￿ of ongoing litigation or enquiries. Because of the inherent limrtations of an audit. Iheie Is a risk that we will not detect all irr￿Ul4￿11eS. including Ih05e leading lo a material tnisslatemenl in the finanoal statements or non-cornpliance with regulation. This risk increases the rnore that compliance with a law or regulation is ￿MOVed from the events and transactions reflected in Ihe financial statements, as we will be less likely to become aware of instances ol non-compliancè. The nsk is also grèatèr règarding irregulaiilies o¢wtring due lo fraud ralhei than erTor. 85 fraud involves intèntional concealment. forgèry, collusion. omission or misrepresentation. A further deSCript￿n of our responsibilities for the audit Df the finanaal statements is lorated on the Financial Rèporting Council's wèbsite at. www.fr¢.org.uklauditorsrèsponsibililies. This description ftsrms part of our auditorfs report. Use of report This report is made solely lo the chaiilable cornpany 5 mernbers. as a body, in accordance with the Chapter 3 of Part 16 of the Companies Act 20(￿. Our audit work has been undertaken so that we fflighl state to the charitable company's members those matters we are required to state to them in an auditorfs report and for no other purpose. To the fullest extent permrtted by law, we do not accept or assume responsibility to anytsne other Ihall the charitable company and the charitable company s rnetnbers as a body. for our audit work. for this report. or for the opinions we have lomied. Christine Wilson (Sonior Statutory Auditori For and on behalf of MHA Moore and Smalley Chartered Accountants & Statutory Auditor Pr•ston 1011112021 Date.. Page 14 ST CATHERINE'S HOSPICE (LANCASHIRE) LIMITED GROUP STATEMENT OF FINANCIAL ACTIVITES IINCLUDING INCOME & EXPENDITURE ACCOUTrffj FOR THE YEAR ENDED 31 MARCH 2021 General Unrnstricted Funds De¥ignatsd Restricted Fund¥ Funds 2021 Total 2020 Total Note £'ooo £'ooo £'ooo £'ooo £'ooo In¢omo from: Donations and legacies Charitable activities-. AIHS Core funding Olhergr8nls & income Other trading activities Investment income Other income- Coronavirus grants 1,630 17 1,647 1,909 1,405 773 1,960 1,405 823 1,960 1,385 727 3,153 810 925 1,73$ 180 Total income 6,638 992 7.630 7.438 Expenditur• on: Raising funds Charilable activities 1,436 4.021 39 321 1.47S 5.312 1,746 5,461 970 Total expendituro 5,457 360 970 6.787 7,207 Net incomellexpènditurel before other gains and losses 1,181 13601 22 231 Gainlllossl on investments 14 127 127 1441 Net incomell0x￿ndIt￿rej 1.308 13601 22 970 187 Transfers befv4een funds 18 19781 Net movèm•nt in funds 330 620 20 970 187 Reconciliation of funds.. Total funds bl￿d 5,179 6.TT8 18 11,975 11,788 Total funds cl￿d 18 S,S09 7,398 12,945 11.975 l of the above resutts arè dèrived from continuing adivib'es. All gains and losses recognised In the year are ncluded above. The surplus for the year for Companies Act purposès comprises the net incoming resources ft)r the year nel of unrealised profits and losses on investments and was £843k12020 £231 kl. Page 15 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED COMPANY STATEMENT OF FINANCIAL ACTIVITIESIINCLUDING INCOME & EXPENDITURE AGCOUNTI FOR THE YEAR ENDED 31 MARCH 2021 General Unrestricted Funds Designated Restricted Funds Funds 2021 Total 2020 Total Note £'ooo £'ooo £'ooo £'ooo £'ooo Income from.. Donations and legacie$ Charitable activities.. NHS Gore funding Other grants & incom8 Othér trading activitiès Investment income Other income- Coronavirus grants 1.630 17 1,647 1.￿9 1,405 773 1.213 98 1,405 823 1,213 1,385 727 1.776 134 92S 1.OS9 Totsl incom• 5,253 992 6,245 s.￿8 Expenditure on: Raising funds Charitablè activitiès 229 4,009 229 5,300 299 5.449 321 970 Totsl •xpènditur8 4,238 321 970 5.S29 5.748 Net incomellexpenditurol before other gains and lossas 1,015 13211 22 716 160 Gainlllossl on inve5trnents 14 Net in¢omellexpenditurel 1,024 13211 22 725 163 Transfers between funds 18 195SI 9S7 121 Net movement in lunds 69 636 725 163 Reconciliation of funds: Total funds b￿d 2,900 6.749 18 9,667 9.504 Total funds ¢￿d 18 2,969 7.385 10.392 9.667 All of the above results are deiNed from ¢onlinuing a¢ts"vilies. All gains and Ios5e5 recognised in the year are included above. The surplus for the year lor Companies Act purposes comprises the net incoming reSoUr￿S lor the year net ol unrealised profits and losses on investments and was £716k12020. £160kl. Page 16 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED GROUP 8ALANCE SHEET AS AT 31 MARCH 2021 Gen•ral Unrestricted Funds D•signatsd Restricted Fund$ Funds 2021 Total 2020 Total Note £'ooo £'ooo £'ooo £'ooo £'ooo Fixed as$gts Tangible assets Investments 13 14 6,498 6,498 1,405 6.678 1.282 1,405 1,405 6,498 7.903 7.960 Current assets Stock Debtors Cash at bank and in hand 15 16 1,211 5,619 1.211 6,557 853 4,230 900 6,834 900 7,772 5,090 Liabi1ities- Creditors falling due within one year 171al 12.2961 12,2961 11.0261 Net current a¥s•ts 4.S38 900 38 5.476 Liabilities- Credttors falling due after one year 171bl 14341 14341 1491 Nèt ass•ts 5,509 7,398 12.945 11,975 Represented by: Tota Funds 18 5,509 7.398 12,945 11,975 These aocounts We￿ approved by the Board on 11 October 2021 and signed on its behalf.. Mr J G Chèsworth - Chairman Mrs L Norris - Trustee Company Registration Number 01602467 Page 17 ST CATHERINE'S HOSPICE {LANCASHIREI LIMITED COMPANY BALANCE SHEET AS AT 31 MARCH 2021 Generdl Unr•strictsd Fund$ D•signat•d Restrlctsd Fund5 Fund$ 2021 Totsl 2020 Totsl Notè £'ooo £'ooo £'ooo £'th)o £'ooo Fixed assets Tangible assets Investments 13 14 5,785 5,78S 342 5,983 333 342 342 5.78S 6,127 6,316 CuErent 4$$ets t)ebtors Cash at bank and in hand 16 2,182 2,954 700 900 2,882 3,892 2,378 1,794 38 5,136 1,600 38 6,774 4.172 LiabilÉtiès Creditors falling due within one year 171al 12.0751 12,0751 17721 Net ¢urrertt assèts 3,061 1.800 38 4,699 3,400 Liabilitig¥- Creditors falling due after one year 171bl 14341 14341 1491 Net assets 2,969 7,385 10,392 9.867 Represented by: Total Funds 18 2,969 7,385 10.392 9.667 These accounts were approved by the Board on 11 October 2021 and signed on its behalf.. -LcuJL . MrJ G Chesworth- Ghairnian pjtrs L Norris- Tnjstee Company Registration Numbei" 01602467 Page 18 ST CATHERINE'S HOSPICE (LANCASHIRE) LIMITED GROUP CASHFLOW STATEMENT FOR THE YEAR ENDED 31 MARCH 2021 Group 2021 Total Grgup 2020 Totsl Company 2021 Total Company 2020 Totsl £'ooo £'ooo £'ooo £'ooo Cash flows from opèrntlng activiti Nel movement in funds 970 187 725 163 Adjustments for.. Investment income (Profftllloss on investments (Profilllloss on disposal of fixed assets Depreciation 1601 11271 1841 1981 131 360 347 321 305 Clranges in.. IlncreasellDecrease in stock IlncreasellDeciease in deblo IncieasellDe¢ieasel in creditors Cash provld•d by I lu$ed inl operating activitie 13581 1.179 12461 229 15041 1,212 1621 220 1,965 478 1,647 512 Cash flows from investing activities Investment income Purchase of tangible fixed assets Proceeds from sale of fixed assèts Movement in ¢ash held as investments Proceeds from sale of investments Purchase of investments Cash provided by I (used inl investing activities 98 11231 11801 11,1351 18501 1201 335 13111 13 753 {7661 11141 11,0511 1251 17391 Cash flows from financing activiiitts New bank loan Repayment of bank loans Cash provided by I lus¢d inl financing activities 539 1631 539 1631 11311 11311 476 11311 476 11311 IncreasellDecTeasel in cash and cash equivalents in the year 2,327 17041 2,098 13581 Cash and (2sh equivalen15 b1fv4d 4,230 4.934 1,794 2,152 Ca$h and ¢a$h equivalents cl￿d 6,557 4,230 3,892 1,794 Page 19 ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED GROUP CASHFLOW STATEMENT ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Analysis of ehang•s in not funds Group Brought Ca$hflows forward Other non-cash changes £'ooo Carried foThvard £'ooo £'ooo £'ooo Cash and cash equivalents Cash in hand Cash al bank 4,228 2,327 6,555 4,230 2,327 6,557 Bofrowlngs Bank loans due within one year Bank loans after one year 1301 1491 63 15391 11541 154 14341 1791 14761 15551 Net funds 4,151 1.8S1 6,lJ)2 Company Brought Cashflows forward other non-cash changès £'ooo Carried forward £'ooo É'ooo £,￿0 Cash and ¢a$h equivalénts Cash in hand Cash at bank 1,793 2.098 3,891 1.794 2,098 3,892 Borrowings Bank loans due wthin one year Bank loans aftèr ona yèar 1301 1491 63 15391 11541 154 11211 14341 1791 14761 15551 Net funds 1,715 1,622 3,337 Page 20 ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED ACCOUNTING POLICIES FOR THE YEAR ENDED 31 MARCH 2021 Basis of preparation The financial statements have been prepared in accordance with Accounting and Reporting by Chaiilies.. Statement of Recommended Practi￿ applicable to charrties preparing their a¢¢ounls in a￿rdarKe with the Financial Reporting Standard applicable in the UK 2nd Republic of I￿land IFRS 1021 Issued in October 2019, the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 and the Companies Act 2006 The financial statèmÈn15 have been prepared under the historical cost convent'on, with the exception of investments whKh are induded at market value. The financial ststements are presented in sterfing which is the ftjnctional currency of the charity and rounded to thè nearest £000 St Catherine's Ho$pi¢e ILan¢8shirel Limited meets the definition of a public benefrt entty Lsnder FRS 102. The charity has availed itse￿ of Paragraph 4111 of S¢hèdule 1 of the Large and Medium-sEed Companies and Groups IA¢counts and Reports) Regulations 2￿8 and adapted the Companies Act fr)mats lo reflect the special nature ol the charity's activities. Golng concem The trustee5 assess whether the use of gcyng concem is appropriate i.è. whèlhei there are any material Un￿rtaIntieS related to events or ¢ondilions that may cast significant doubt on the ability of the company lo continue as a going concem. The Ituslees make this assessment in restect of a period of at lèast onè year frorn e date of authorisalion for issue of the financial statements. The Covid-19 pandemic has had a significant itllpaot oll the operations of the tharily. The tharrty was forced to closè all of its shops and thè Mill Café loperaled in substdiary companiesl at the beginning of lockdown as well as cancelling ils summer fundraising events. Community SUPFrt)rt events were also hil by the pandernic. In the short term, the charity provided lemFrt)rary financial support to rts subsidiarie5 to wver fixed cost5 whilst trading was suspended, but this was given with the full èxpectation that the Subsidiary trading cornpanies W￿ld return lo ofitabilily within the forthcoming financial yeai. A dip In income 15 forecast but the organisation is resilient lo thi5. having sufficient reserves to draw on. Budgets have been revised to reflect the drop in income and loiecasts are being reviewed regularfy. The Mill Café and the majorty of shops re-openèd during Juty and August 2020, with Comd-safe measures in place, and atthough these c105ed again during subsequent lockdowns the trading subsidianes ge￿erated a profit in the year ended 31 March 2021. Cash donations remain high and the organisation has iecenied government funding via Hospice UK, the ftjrlough schemè and retail gran15. It is thing things differenly lo raise income such as running irirtual events and dèlivèring virtual (x)Ur￿$ and is enhancing communication with supporters. foi example by Sending a 35th anniversary newspaper lo all households within the czlfjhmenl area.11 is also engaging in a programme ol sustainability planning with trustees and rèviewing all areas of the business to assess the potential for In￿eased income or ￿$t sawngs. The Iruslees have ¢oncluded that the charity ttas adequate resour￿$ to continue in operational èxistence for the foreseeable future and there are no rnaterial Un￿rtaInlieS ab￿t the charity's ability lo Continue as a goitvJ concem, thus they continue lo adopt the going concem basis of acwunting in preparing the financHI statements. Company ststus The charrty is a company limited by guaranteè. Thè members of the cornpany are the trustees named on page 1. In the event of the charity being wound up, the liability in respect of the guarantee is limited lo £1 per member of the charity. Group financial ststements The statement ol financial activitEs ISOFAI and balance shéèt eonsolidale the financial staternents of the charity and its SLsbsidiary undertakings. The iesulls of the subsidianes are consolidated on a line by line basis. The company owns all the share r2pital ol St Cathèrinè's Hospice Trading Ltd. St Catherine's Hospi￿ Promotions Ltd, St Cathèrine's Community Sètvices Ltd and Sl Catherine's Social Enterprise Ltd. The taxable profits of Ihe subsidiaries ale paid to the company under Gift Aid. Page 21 ST CATHERINE'S HOSPICE {LANCASHIREI LIMITED ACCOUNTING POLICIES ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 The John Thacker Charitable Trust is a iegistered charity and holds funds which arè to bé applied for the bènefit of St Catherine's Hospi￿ (Lancashirel Limited. The Trustees presently comprise the Iruslees of thè Hospice Board. The total assets held within the Trust were £2.310k12020'. £2.180kl and have been consolidated on a line by line basis into these accounts. Fund accounting General fund5 - unre511icled furK15 which are available for use at the discretion of the trustees in furtherance of the general objectives of the charity and which have not been designated for other purposes. Designated funds - unrestricted funds that have been set aside by the trustees for particular purposes. The airn and use of each designated fund is sel out in the notes to the accounts. Restrlcted funds - to be used in accordance with Specif￿ restrictions imposed by donors or which have been raised by the Gharily for particular purposes. The cost ol raising and adrninistering such funds are charged against the specific fund. The aim and use of each restricted fund is set Dut in the notes to the accounts. Incomè Ino)me is recognised when the ch8rity has enb"tlèment to the funds. any perfomiance conditions attached to the itemlsl of income have been rnet, il Is probable that the income will be received and thè amount can be mèasured roliabty. Income from govetnrnenl and other grants, whether 'capital' grants or 'reV￿ue, grants, is recognised when the charity has entitlement to the fund5. any Performan￿ conditions attached to the grants have been met, it is probable that the income will be received and the amount can be measured reliably and is not deferred. NHS incowe cornprises grant and ¢()ntract income re￿1vable via NHS Commissioners. For Fegacies, en*'tlement is taken as the earlier of the dale on which either." the ¢harty is aware that rKobatè has been granted. the estate has been finalised and notification has been made by the executorlsl to the TIu5t that a dislnbution will be made. 01 when a distribution is received from the estate. Receipt of a legacy, in whole or in part, is only considered probable when the amount can bè méasurèd reliat￿Y and the charity has been notified ol the executor's intention lo make a distribution. Vthere legacie5 have been nobfied l(> the ¢harity. or charity Is aware of the granting ol probate, and the criteria for income recognition have not been rnet. then the legacy is a treated as a c￿tingent asset and disdosed rf material (sèe note 201. Incomè rèceived in advance of an event or provision of other specific provision of other spwfied 5etvtce is déferred until thè criteria for income recognition are met (see nole 171. Trading incorne is recognised al the fair value of the consKJeralion received or reteivable for goods and services prDvided in the normal course ol business. and is shown nel of VAT and olhei sales related taxes wttere appliczble. Income from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed lo the buyer (usually on dispatch of the goods), the amount ol revenue can be Measured liabty, it is probable that the economic benefits associated wrth the trans￿lI0n will Ilow lo the entity atKI the Gosls incurred or to be Inc￿rred in respect of the transaction can be measured reliably. Interest on funds held on deposit is included when receivable and the amount can bè m8asurèd rali4bly by thè charity, this is normally upon notification of the interest paid or payable by the Bank. Donated Sery1c￿ and facilitie Donated professional services and donated laalitps are recognised as income when the Gharity has control over the item. any oondilions associated with the donated item have been met, the re￿Ipt of econornic benefit from the use by the charity of the item is probable and that e(x)nomic bénèfrt can be mèasured reliably. In accordance with the Charities SORP IFRS 1021. no amounts are included in the financral slalements lor seNi¢es donated by volunteérs Page 22 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED ACCOUNTING POLICIES ICONTINUEDI FOR THE YEAR ENDED 31 fMRCH 2021 Donated seprfices and facilities Icontinuedl On receipt. donated profossional services and donated facilities are recognised on the basis ol the value ol the gift to Ihe charity wh￿￿ is the amount the tharrty would have been willing Its pay lo obtain serwces or facilrties of equ[va￿nt ewn0￿lC benefit on the open market.. a c￿leSpONdIng amount is then recognis￿l in expendf(ure In the tkriod of rec6ipt. Expenditure Expelldilure is recognised once there is a legal or cx>nstructive obligation to make a paymènt to a third paty, il is probable that settlement will be required and the amount of the obligation can be m6asured reliably. All expenditure is accounted lor on an accruals basis and has been dassified under headings that aggregate all Costs related lo the category. Vvhere ¢osls eannot bè dIre¢t￿ attribLrted to particular headings they have been allocated to activrties on a basis consistent with the use of the resources Oetailed analyses of the expendrture. Including irrecoverable VAT where ap￿iCable, are prowded in the notes to the accounts. Tangible fixed assets Tangible fixed assets costing more than £1,000 are generalty capitalised and induded at cost induding any incidentsl expenses of aGquisbtN)n. This general policy is subject lo the capital nature of project, smaller items may be capitalised if part of a bigger project and higher values may be expensed if part of a cycl￿* maintenance prograrnme. Any development work lo be ￿pItalISed will be depreciated on cornplelion of the project. Depl￿￿9110n is providèd on fixéd assèts to write off the cost over their estimated usefijl lives on a straight-line basis at the following principal rates per annurn.. Fr8ehold buildings Leasehokl improvèments Fi)rtures and equipment Motor vehides Computer equipment 2°A on cost @venly over the term of the lease 20,/0 on Cost 25°k on cost 33113% on cost Invesknents Investments are initially reoognised at their transaction value and subsequently measured at their market value as at the balance sheet date. Tre slalement of finanGk41 adivities includes the net gains and losses arising on revaluatK)n and disposals throughout the year. All gains and losses are taken to the statement ol financial activities as they arise. Realised gains and losses on investments are ca￿ulated as the diffeiellce between sales wocÈeds and their opening carrying value or their purchase value if acquired subsequent to the first day of the financial year. Unreali5ed gains and losses are Iculated as the drfferenTr between the fair value at the year end and their carrying value. Realised and unrealised investrnent gains and losse5 are combined in thè Statement of Financial ActivrtiÈs. Stock Stock is inclLJded at the lower of cost and nel realisable value. Items donated for resale or drstribulion are not included in the financial statements until they a￿ sold or distributed. on the basis that it is considered irnpractical to measure the fail value of goods donated for rèsale, and the costs ol valuation OLtheigh th8 bènefit to users of thè accounts and the charity of this Information. Debtors Tradè and Dther debtors are recognised at the settlement amount due after any trade discount offered. Prepayments are valuèd at the amount prepaid net of any trade discounts due. Pagè 23 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED ACCOUNTING POLICIES ICONTINUEDI FOR THE YEAR ENOED 31 MARCH 2021 Creditors Creditors are recognised where the chatrty ha5 a present obligation resulting frorn a past event that will probably resijlt in thé transfer ol funds to a third party and the amount due trj settle the obligation can be rlleasured or estimated reliably. C￿dItorS are niymally recognised al their settlement amount after allowing for any trade discounts due. Financial instrumènts The charity only has finanaal assets and financial Iiabilrties of a kind that qualify as basio financial instruments. Basic financial instruments are initially recognised al transaction walue and subsequenuy mèasurèd at their settletnenl value. Pansion costs The company opeiales a defined contribution penS￿n scheme. The assets of the scheme are held separately trom those of the company in an independently administered fund. ContribLJtions payable lor the year are charged in the SOFA. The company also contiibtyle5 to a rnulli-ernployer defined benéfit schèmè, as detailed in the staff costs note. As the proportion ol the fund attributable to charily cannot be calculated this scherne has been treated as If Il was a dèfinèd contribution scheme. 0￿rating loases Rentals appli¢able lo operating leases are charged lo the SOFA on a straighl-line basis over the term of the lease. Taxatlon The Cotllpany is a ragistered charity and consequently there is no liability to taxation. Government grants Govemrnenl giants are rèeognised at the lair value ol the asset received Dr receivable when Ihere is reasonable assurance that the grant conditions will be mel and the grants will be recènied. A grant that specifies perfomance conditions is recognised in income when the performance conditions are rret. Where a grant does not specify performan￿ conditions it is ￿cogniSed in income when the proceeds are received or receivable. A grant re￿iVed before the recognrtion cirtefkH are satisfied is reGognised as a liability. Judgements and key sourcas of astimation uncertainty In the application of the charity's accounting policies, the trustees are required lo make iudgerllents, eslimales and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and assoeiatèd assumptions are based on historical experience and other factors that are considered to be rekvant. Actual resu115 may differ from these estimates. The estimate5 and undérlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period ol the revision and future periods where the revision affec15 both ¢urrenl and future periods The trustees do not believe that there are any e51imales and a55uTnplions whi¢h have a significant risk of causing a material adjustment to Ihe carrying amount of assets and liab1￿111es. Page 24 ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 fvTARCH 2021 Incomo from donation$ and l•gacies Group 2021 £'ooo Company 2021 £,￿)0 2020 £'ooo 2020 £'ooo Donations- General Donated Gc>ods Donation5 in Wills Income from Charitabl& Trusts 735 26 743 126 735 26 743 126 232 795 19 232 795 19 Sub-total unreslricled 1,630 1,812 1,630 1,812 RestriGled Ineom8 Income from Charitable Trusts 17 97 17 97 1,647 1.909 1,647 1,9)9 Income from ¢harltable activities NHS Funding- Non Core Education and other income Other grants ieoeivod 445 282 445 282 328 328 Unrestricted 773 727 T13 727 Restnct&d Income Education and other income 823 727 823 727 Income from other trading adivitiès Fundraising Lottery and raffles Trading income Social Enterprise 370 811 455 324 693 925 989 370 S46 297 693 555 528 Unrestricted 1,960 3.153 1,213 1.776 Invèstsment income Rental income Investment incoffle dwidends Investment income - inteiesl 20 11 29 31 14 39 67 81 31 Unrestrictèd 98 Other unrestricted income Igroupl comprises 2403k 12020.. £nill Coronavirus Job Retention Schème I'CJRS'I Income. £232k12020.. £nill insurance proceeds due to business interruption. and £175k12020'. £180kl of Retail Grants. Other unresliicted income Icornpanyl comprises £134k 12020." Énill CJRS income. Other restricted in¢ome Igroup and company) comprises £925k12020." £nill of NHSE funding. Page 25 ST CATHERINE'S HOSPICE ILANCASHIREI LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Analysis of expenditure on raising funds Fundraising Lottery Trddlny & r&ttl88 Social Comfflunity 8OIVi¢88 2021 Total £'ooo 2020 Totsl £'ooo £'ooo £'ooo £'ooo £'ooo £'ooo Group Staff tosts Supplies & services general Insurance. utilitie8 rnainlenance Other support costs & fees Investrnenl tnanagernenl costs Financial charg88 Depreciabon & fixed asset disposals 166 63 99 171 315 37 170 90 750 361 770 558 212 17 33 245 288 40 14 34 12 14 14 21 16 20 37 42 243 304 607 321 1.475 1.746 Unrèstricted Designated 243 303 591 16 299 22 1,436 39 1.704 42 243 304 607 321 1.475 1.74e Fundraising 2021 Total £'ooo 2020 Total £'ooo £'ooo Company Staff cost5 Supplies & Servi￿S- geneol 166 63 166 172 127 229 229 299 Unrestricted 229 229 299 229 229 299 Page 26 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED NOTESTO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Analysis of oxpenditure on charitable activities Hosplce Inforniatlon and and speclalls8d education palliatlV8 care $etvi¢e$ £'ooo 2021 Total 2020 Total £'ooo £'ooo Group St8ff costs Supplies & services dinical Supplies & servi¢es- general Insurance, utilities & maintenance Catering IT costs 0th8r support costs & fees Goveman¢e ¢os15 (see note n Financial charge8 Depreciatson & fixed asset diswsals 3,915 203 182 4,097 203 4.073 226 73 206 92 160 301 10 15 305 169 36 168 2S1 169 36 188 251 24 321 24 321 5.130 IB2 5,312 5.461 Unrestricted Designated Restricted 3.839 321 970 182 4,021 321 970 5,128 305 28 5.130 182 5,312 5.461 Hosplce Inforniatlon nd and 5pgciali58d education palliative care se*vlce$ 2021 Total 2020 Totsi £'ooo £'ooo £'ooo Company Staff costs Supplie5 & Se[v￿eS cliniral Supplies & SeN￿&s- g￿eral 1ftsuran￿. utilities & maintenan Catering T costs Other 5UPPOrt cos15 & fe&8 Governano Costs (see note 71 Fin8nci81 charges Depreciation & fixed asset disposals 3,915 203 182 4,097 203 4,073 226 73 206 92 169 36 168 239 169 36 168 239 28g 10 24 321 24 321 305 5.118 182 5.300 5,449 Unrestricted Designaled Restricted 3,827 321 970 182 4,lJ09 321 970 5,116 305 28 5,118 182 5,300 5.449 Page 27 ST CATHERINE'S HOSPICE (LANCASHIREI LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 Governance co¥ts Group 2021 £'ooo Company 2021 £'ooo 2020 £'ooo 2020 £'ooo Audit lees- charity only Meeting & Other Support C051s 10 10 Net ineom•ll&xpènditur•l Stat8d after charging.. Audit fees Oepreciation - Owned assets IProfrtllloss on disposal of assets Operating lease rentals 13 360 13 347 321 305 122 109 Summary analysls of exp•ndltur8 and related income for charitsble activities Hospice Information and and specialised education palliative care setvices £'ooo 2021 Total 2020 Totsl £'ooo £'ooo £'ooo Group & Company Cos15 NHS Income Education and other income 15,1301 1.850 15,312 1,850 378 15.4611 1,830 282 378 13,2601 196 13,0841 13.3491 other grants received Net cosi$ Ifundedl from Other income 13,2BOI 196 13,0841 13.3491 Page 28 ST CATHERINE'S HOSPICE (LANCASHIRE} LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 10 Staff numbers The average monthly head count wa5 156 staff12020." 158 staff) and the average montttly number ol full-time equivalent employees lincluding casual and part-time staffj dLJring the year were as follows.. 2021 2020 No. No. Chief Executive's Department Care Services Directorate Techn￿81 Services Oirectorate Income Generation Dire¢torate Knowledge Exchange Oire¢ltsrale 74 19 Hospice total 109 112 Sl Catherine's Hosp￿ Trading Ltd Sl Catherine'5 HoSp￿e Promotions Ltd St Catherine's Social Enterpiise Ltd 13 Group total 134 135 Page 29 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 11 Artalysls of staff eosts, trnsts• rèmun•ration and •xpèns8s, and cost of k•y manag•mènt Pe￿Onnel Payroll ¢o$ts woro Group 2021 £'ooo Company 2021 £'ooo 2020 £'ooo 2020 £'ooo Wagés and salariès National Insurance Pension costs 4,130 349 368 4,174 331 338 3,598 319 346 3,631 296 318 4,847 4,843 4,263 4,245 The number of employees whose eTnoluTnents exceeded £60K were". 2021 No. 2020 No. £60K-£70K £80K-£90K Along with a siandard defined contribution scheme, the company operates an exempl approved defined benefit scheme, namely the Nats'onal Health Superannuation Scheme. The assets of this scheme are held separately and contributions to thé sehème arè charged to the statement of financial activities so a5 to spread the c051 of pensions over ernployees. working livès wrth the company. This schèmè doés not have a real pension fund, but as a statutory scheme. benefi15 are fully guaranteed by the Government. Contributions from both members and employers are paid lo the Exchequer. which meet thè cost of increasing benefits each year by the rate of inflation. This extra cost is not met by contributions from s¢heme members and employers. AS 3 result of the nature of the scheme there are no separately identifiable assets and liabilities which can be idelllified as relating lo Sl Catherine's Hospice therefore, as permitted by FRS102, the scheme has been accounted for as a defined onlribulion s¢heme. Al the year-end £47k12020." £70kl was owed in respect of contributKJns. The charity trustees were not paid and did not receive any other benefts from ernploymenl w¢(h the charity or its subsidiaries in the year12020'. £nill, neither were there reimbursed expenses during the year12020" £nill. Trustees tnade donations to the charrty totalling £1,66012020'. £5851. During the year, the Hospice was invoiced for professional serwces lotalling £1.47012020.' £16.9041 by Harrison Drury & Co Ltd, a company in which Mr J G Chesworth is a director. At the year end £nil 12020." £1,200) was due lo this cotnpany Thè Hospicè was invoiced lor professional services tolalling £500 12020." £1,5031 by Forbes Solicitors. where Mr J J Holden is a partnèr, no balances were outstanding at the year end 12020.. £nill. The HOsp￿e was also invoiced £4,805 12020.. £14.5001 for websrte developmènt costs by Blue Wren ￿mIted, a company in which Mr M J Lough is a director. Al the year end £nil 12020. £2,700) was duè to this company This company was selected following a compelitbve tendering process. and Mr M J Lough played no part In the awaid of the ¢onlracl. The key management personnel ol the parent charity and the group are detailed on page 1. The total employee benefits of the key management peisonnel weie £506.402 12020" t561.7631 Charity trustees, indemnity and professional indemnity insurance has been provided for members ol the Poard, this ¢05115 included wrthin olhei Insurance costs and not separately identifiable. 12 Rélatèd paity transactions There were no related party transactions during the current or prior year. apart from ihose disclosed above relating to the trustees. Page 30 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 13 Tangibl¢ fixod a$sots Freehold L•38&hold land and Improvements l￿14d1￿98 Flxturos and oqulwiont £'ty)o Total Group £'ooo Cost As at 1 April 2020 Additions Disposals 8,583 129 71 2.219 S1 Isi 10,873 180 As at 31 March 2021 8.712 71 2.26S 11.048 Depreclatlon As al 1 April 2020 Charge for the year Disposals 2,284 174 1,845 185 Isi 4,195 360 Isi As at 31 March 2021 2,458 67 2,025 4,550 Net book valu• As at 31 March 2021 6,254 240 6,498 As at 31 Maich 2020 6,299 374 6.678 Company Cost As at 1 April 2020 Addrtions Disposals 7.888 78 1,88S 9,773 123 As at 31 March 2021 7,966 1,930 9.B96 D8pr&ciation As at 1 April 2020 Charge for the year Disposals 2,237 1S9 1.553 162 3.790 321 As at 31 March 2021 2.396 1,715 4,111 Net book value As at 31 March 2021 s,sro 215 S,785 As at 31 March 2020 5,651 332 5.983 Al the year end therè were capital commitments of £1 Ok12020'. £57kl. Page 31 ST CATHERINE'S HOSPICE ILANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONMNUEDI FOR THE YEAR ENDED 31 MARCH 2021 14 Fixed asset InV￿tr￿ents Group 2021 £'ooo Company 2021 £'ooo 2020 £'ooo 2020 £'ooo Investments in subsidiary companies Other inveslwenls 20 322 1,405 1,282 313 1,40S 1,282 342 333 Inv•stmonts In subsidiary companies All subsidiary companies are incorporated in the UK and are wholly owned. The details of the subsidiaries and the results for the year are as follows.. 2021 St Catherine's Ho8pi¢o Promotions Ltd £,￿0 St Catherine's Ho$pi¢e Trading Ltd St Catherine's ommunity SeThices Ltd St Cath•rtn•'$ Social Entsrpd80 Ltd £'Th)o £'ooo rooo Turnover Cost ol sales and other direct costs Administrative expenses Other operating Income Interest payable 455 1171 16401 811 11681 324 1871 12391 ProfiUILossl for the year Charitable donations to Hospice 286 12971 $47 IS461 125 Retained ProfiVILossl for the year 125 2020 St Catherine's Hospice Promotion5 St Catherine's Hospice Trdding Ltd St Catherine's Commun¢ty Seryices Ltd St Catherine's Social Enterprise Ltd rooo É'DJO £'ooo Turnover Cost of sales and other direct costs Adtninislralive expenses other operating Inoome Interest reTrived 989 1241 16321 180 925 12071 11631 546 11451 13241 191 ProfiVILossl for the year Charitable donations to Hospi 513 15281 555 15551 Retained ProfitllLossl for the year Page 32 ST CATHERINE'S HOSPICE (LANCASHIRE) LIMITED NOTES TO THE ACGOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 14 Fixed asset invests))ents Icontinuedl Investrnents in subsidiary companies 2021 St Cathèrinè'8 Hospl¢e Promotions St Cathering'8 Hospice Trading Ltd St Cathortn8'$ eomrnunlty SeThi¢•$ Ltd St atherlno'$ Soclal Entorpr180 Ltd rooo rooo Fixed assets Current assets 13 332 13291 700 216 16801 3SO 13391 Nel a55et511liabililiesl 16 11 236 Ordinary £1 sharès Profil and1055 account 10 10 236 Nel asselsllliabililiesl 16 11 236 2020 St eatherine's HDSPi¢tr Promotlons Ltd £'ooo St Cathèrine's Hospic Trading Ltd St Catherine's Commun5ty S•Nico5 Ltd St Catherine's So¢lal enterprlsè Ltd 000 £'fJJo £'ooo Fixed assets Current assets 28 295 I2￿) 258 12491 87 16421 Net assetsllliabili11esl 27 10 Ordinary £1 shares Profit and loss account 10 17 10 N8t assetsllliabilitiesl 27 10 The company nurnber of each subsidiary Is as follows.. St Catherine's H05pice Trading Ltd- 02833331 St Catherine's Hospice Promotions Ltd 02767558 St Catherine's Community SeNices Ltd - 08489132 St Galherinè's Social Enterprise Ltd - 08782309 Page 33 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 14 Fixed asset investments Icontinuedl Other investments Group UK Equities £'ooo UK Property £'ooo Total £'ooo Mathet value As a11 April 2020 Additions Disposals ovetnent in cash deposits held as Investmènts Changè In market value 1,108 311 133SI 174 1,282 311 13351 20 127 127 As at 31 fdlarch 2021 1,231 174 1AOS Company UK Equities £'th)o UK Property £'ooo Totsl £'ooo ma￿81 value As at 1 April 2020 Additions Disposals Changè In markèt valuè 139 174 313 As at 31 March 2021 148 174 322 15 Stock GTOUP 2021 £'ooo Company 2021 £'ooo 2020 £'ooo 2020 £'ooo Goods for resale Page 34 ST CATHERINE'S HOSPICE ILANCASHIREI LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 16 Debtors Group 2021 £'ooo Company 2021 £'ooo 2020 £'ooo 2020 £'ooo Trade débtors Amounts owed by group undertakings VAT recoverable Other debtors Prepayrrents and a¢¢rued income 199 199 1.983 474 51 175 1,847 393 18 81 474 428 355 1,211 853 2,882 2,378 17 Creditors lal Amounts falllng du& wth onè yoar Group 2021 £'ooo Company 2021 £'ooo 2020 £'ooo 2020 £'ooo Bank loan Trade creditors Other taxes and social security Advance lottery receipts Othèr creditors Accruals and deferred incomè 121 30 322 88 405 88 113 80 310 81 117 81 53 1,710 1,771 254 2,296 1,026 2,075 772 Accruals and deferred income al the year end indudes deleried income ￿lating to V8rious evtsnls due lo take place or work to be performed after the year end, as follows.. Balance blfwd Amount released lo income earnèd from charitable activities Atnounl defer￿d in year 52 62 52 1141 1,460 1191 1191 1,460 8alan¢e cl￿￿ 1,498 52 1,498 Ibl Amounts falling due after onè y•ar 8ank loan 434 49 434 49 Bank loans are se¢Lkred on specrfic properties owned by the Hospice. The loan balance comprises £49k 12020.. £79kl where inleiesl B Ghar9ed at 23°A and the k)an balance is repayable in monthly instalments by October 2022. £369k12020'. £nill where interest is chaiged al base plus 1 35°A and the Loan balan¢e is repayable in monthly inslalrnents by April 2023. and £137k12020'. £nill where interest is charged at base plus 1 35Yo and the loan balance is iepayable in monthly inslalments by January 2026. Page 35 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 18 Funds lal Designatsd funds Group Balance at 1 Aprll 2020 ITrcLyne Expenditure Transfer5 8alance at 31 March 2021 £'ooo £'ooo £'wo Tangible fixèd assets Building our future together Major repairs 6,678 13601 180 6,498 800 100 100 6,778 13601 980 7,398 Company Bal8n¢o at 1 April 2020 Incorne Expondlture Tr4n$fgrs Balance at 31 March 2021 TarrfJible fixed assets Thè fvlill Building our fuluie together Major repairs 5,983 666 13211 123 5.785 700 800 100 800 100 6.749 13211 9S7 7,38S Thè frxed assets fund represents the amounts invested in fixed assets for charitable use. The major developrnent of IhÈ Mill project is now complete, and the amount designated wrthin the Hospice in respect of the Mill includes Investment In fixed a55ets by the subsidiary ¢ompany. F(>r the charity as a whole, £100k has been set aside as part of the planned maintenance and development piogramrne and £8(IOk for the 'Building our fulure together, project to improve the in-patient unit. Ibl Restricted fund5 Group and Company Balanc• at 1 April 2020 Incom• Exp•nditurg rransfors 8alance at 31 March 2021 £'ooo £'aoo rooo raoD É'ooa Transfomi Project Refurbishment Project NHSE Govid support Other Revenue Projects 131 19251 1421 925 67 31 18 992 19701 38 The above ieslricled funds have been sel aside lor the appropriately stated project. Any funds spent on capital items are shown as a Iiansfei lo the de51gnated tangible fixed assets fund. The NHSE awarded funding to allow the hospice to make available bed capacity and community support Irorn April 2020 to July 2020 to prov1de support lo people with Complex needs the Gonlexl of the Covid-19 situation and lo provide bed capacity and comrnunity 5UPPOrt from November 2020 10 March 2021 for the same purpose. Page 36 ST CATHERINE'S HOSPICE (LANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONnNUEDI FOR THE YEAR ENOED 31 MARCH 2021 18 Funds l¢ontlnu8dl Icl General funds Group Balance 811 Apr41 2020 Incom0 Expenditure Gain8lLo880S & Tran5fer5 galance at 31 March 2021 rooo É'rNJO General Funds.. Gener81 Major repairs designated Building ourfuture together designated Ass8t5 Capital￿e￿ in year S,279 11001 6.458 144571 129 8,409 11001 18001 18001 11801 180 5.179 6,638 15,4S71 18511 5.509 Company Balance •t 1 April 2020 rooo In¢om8 Expenditure Gaith8Lossas &Transfprs Balancg at 31 March 2021 £'ooo General Funds.. neral Mill funds designated Majcr repairs designated Building our fuluff together designated Assets capitalised In y88r 3,666 16661 11001 5.130 14,2381 11 1341 4.569 17001 181JOI 11231 18001 123 2,900 4253 142381 2,969 The general fund has been disclosed above lo show amounts that have been designated from ihe fund and their movements, along with genéral income used to caplali5e assets which has been Iranslèrred lo the designated tangible fixed assèt fund. Page 37 ST CATHERINE'S HOSPICE {LANCASHIRE) LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 19 Funds- Prior Year lal Designated funds Group Balan¢• 81 1 April 2019 In¢omè Expwdituro Tr8n$fe BalanGe at 31 March 2D20 vooo £'D]o rfjoo £'ooo Tangible fixed as5els Major repairs 5,890 100 13471 1,135 6,678 100 5,990 13471 1,135 6,778 Company Bolan¢8 at 1 April 2019 Incorn8 Expondlture Transfers Balance at 31 March 2020 'ooo E'ODO E'MO Tangible fixÉd assets The Mill Major repairs 5,438 409 100 13051 850 257 5,983 666 100 5,947 13051 1,107 6,749 The fixed assets fund represents the amounts invested in fixed assets lor charitable use. The major development of the Mill project is now complete. and the amount designated within the Hospice in respect of the Mill includes Investment in fixed assets by the Subsidiary Company. £100k has been sel aside as part of the planned maintenance and development programme lor the charity as a whole. Ibl Restrictèd funds Group and Company Balance at 1 Aprll 2019 InCr￿e Expendlture Transfers 8alancé at 31 March 2020 É'ooo £'aoo Transform Project Education Project Refurbishment Project Rèhabilitation Projèct IPU Equipment Proie¢t Other Revenue Projects Isi 121 19 87 1971 15 10 121 63 97 1281 11141 18 The above iestricled funds have been sel aside foi the appropriately stated project. Any funds spent on capital items are shown as a transfer to the designated tangible fixed assets fund. Page 38 ST CATHERINE'S HOSPICE ILANCASHIRE} LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 19 Funds - Prior Year l¢ontinuedl Icl Genernl funds Group 8•lan¢o at 1 Apr51 2419 Incomo Expenditure Gain51L0$895 &Tran5fers Balance at31 March 2020 £'ooo General Funds.. General Major repairs designated Assets capitali88d in year 5,835 11001 6,206 16.8321 70 5,279 11001 1,135 5.735 7,341 16.8321 11.0651 S,179 Gain$lLos5es &Tran5fef8 Balance a131 March 2020 Company BO￿nCe at 1 Aprll 19 Inc¢￿* Exp8ndltur• rooo E'OJO General Funds". G8n8ral Mill fund5 designated Major fepairs designated Assets tapitalised In year 4.￿3 14091 11001 4.961 15,4151 117 12571 3,666 16661 11001 850 18501 3,494 5,811 15,4151 19901 2.900 The gener81 fund has been dis¢losed above lo show amounts that had been designated from the fund and their rnovemenls. along with general income used to capita1ise assets which had been transferred to the designated tangible fixed asset fund. Page 39 ST CATHERINE'S HOSPICE {LANCASHIREI LIMITED NOTES TO THE ACCOUNTS ICONTINUEDI FOR THE YEAR ENDED 31 MARCH 2021 19 Funds- Prior Year Icontinuedl Idl Fund balances represented by.. Group General UnroStrl¢tod Funds Balance at 31 March 2020 Oesignatéd Funds £'ooo Rostricted Funds £'ooo Tangible fixèd assets Investments Cuiient assets Creditors falling due within one year Creditors falling due after one year 6.678 6,678 1,282 5,090 11,0261 1491 1,282 4,972 11,0261 1491 100 18 5,179 6,778 18 11.975 ompany General Unrestricted Funds £'ooo Balance at 31 Mar¢h 202D £'ooo De5ignat8d Fund5 £'ooo Restricted Funds £'ooo Tangible fixed assets Investments Current assets Creditors falling due within one year Creditors falling due after one year 5,983 5.983 333 4,172 17721 1491 333 3,388 17721 1491 766 18 2,900 6.749 18 9,867 20 Post balanca sh••t events As in previous years, the Hospice was bequeathed a share in a numbèr of death estates during the year 1115 the Hospice policy lo recognise the income once the amounts can be accurately quantrfied. All assets quantifièd have been included in the accounts. Al the year end there were 8 number of donations in wills still pending and due lo the uncertainty of the amounts. the income will be recognised in the year in which the donations are either received or the amounts can bé deterrnined wrth reasonable certainty. Thé approximate value ol suoh donations in wills to which the Hospice can put a value Is £1.523k12020." £814kl. 21 Commiknonts under operating leas•s - land & buildings Al 31 March 2021. Sl Catherine's Hospice Trading Ltd. a subsidiary undertaking. had future minimum lease payments under non-cancellable opèiating leases as sel out below.. 2021 £'ooo 2020 £'ooa Amounts due within one year Amoun15 due between Iwo and five years Amounts due after Iwe years 90 99 104 124 203 Page 40