. Regi*tered Charity Number: 518905 Conspany Nurnber. 02121179 North Yorkshire Hospice Care (A Company Limited by Guarantee) Operating as Saint Michael's Hospice, Herriot Hospice Homecare & Just B Trustees. Report and Financial Statements for the year ended 31 March 2022 *A8EZOX0P* 1W1012022 COMPANIES HOUSE A7 North Yorkshire Hospice Care Operatlng as Salnt Michael's Hospice. Herriot Hosplce Homecare & Just B Contents Pa9e Chadty Information .................... statement from Chair ofTrustees..............................-................................-....... Report of the Tru¥tees.. Ind￿endent Audltorfs Report..............-......................-..................................... li Statement of Finanaal AttfvIVes . Is Balance Sheet.. .17 Cash Flow Ststemertt............................................... ...................................... 18 Notes to the Finandal Statements...... 19 North Yorkshire Hospice Care Operating as Saint Michael'$ H05pice, Herriot Hospice Homecare & Just B Charity Inforniatlon Trustees Le51ey Ber5 Colin Tweedle Dr Hilary Enevoldson Jean Macquarrie Mark Robin50n Karen Wheeldon Victoria Ashley Catherine Wailers Andrew Wllson Pe:er Gibson Dr Rosie Page (resigned 18 August 2021) Coun:. ess Chatr1otte Peel {resigned 18 August 2021} Darryn Hedges Prvf Brendan GotJ9h Jon Park Joanne Crewe. (Joint Lhair of 'fnJstees} (Joint Chalr of Trusteesl (resi9ned 12 May 2021) {re5igned 8 June 2022) {appoiThted 18 January 2022) {appolnted l De￿rnber 2021) {appointe¢J 11 November 2021) Company Secretary Mr A Collins Registered charlty number 5189D5 Company number 02121179 Prlncipal and reglstered olfite Saint Michael's Hospice Crimple House Hornbeam Park Avenue Harrogate HG2 8NA Auditor A2ets Audit SeThices Limited Triune Court Nonks Cr055 Drive York Y032 9GZ Bankers Barclays 25 Jame5 Street Harrogate HGI IQX Lloyés TS8 Cornrrieraal 2nd Hoor, Sklnnergate Darlin9to DL3 7NO Yorkshlre &ank 46 High Streer stockton on Tees TSI8 IS8 Sollcitor$ Raworths LLP 89 Station Parade Harrogate HGL IHF North Yorksh'ire Hospice Care Opernting as Saint Michael's Hospice, Herriot Hosplce Homecare & Just statement from the Jolnt Chair of Trustees for the year ended 31 March 2022 The year in view for North Yorkshlre Hospice Care has follov•ed the Covld 19 domlnated year that we reported on last year. We reported then that the challenges of thal tyme would not define us we would be defined Instead by ovr response to those thallenges. Most of those challenges have stayed ￿1th us for much of the year in view. but alongside them came new challenges Including; Sl9nificant Increases in need across all of our servlces, fvrthÈr NHS stretth, Workfor￿ changes and the cost of Ilvlng Increases. Our ￿Sponse5 to thls rapiijty changlng Ylortd last year continued and developed during the folloil'ing twelve. months. We have further Increased our telephone an¢J fa￿ to face based ￿pport for th95e facing grief, loss. anxlery and mental health problems. We have been proactively delivering resillence support to NHS Ambulance services throLJghout the UK. We have started a wellbelng Network providing facilitated p.eer support 9roupgand p￿ bereavement support for individuals with a terminal dlagnosis. We have increased our community based Servi￿ provislon for those at the end of life acrDSS Hambleton. RlchmoThJshire, Harrogate and Olstrict. We are not stopping there - we have stsrted seThlces providing at1vanced Ca￿ plannlng across our communities. We are %Yorking collaboralively viith otlw local chatgty.es to adapt our current setvlces and add new vrfays to ensure those who are homeless can access hosp1￿ care. Al the time of writing we are almost ready to start the bulld programme for our ne%y Hosplce In Thirsk, Herrrot the Lambert. We hope to report next year the opening of a six bedde The Chanty's objeLts are specifically restnrted to promote the rÈllef of sickness and mental health ar￿ promtste wellbein9 by such means as the Trustees shall from time to knrne think fit. North Yorkshire Hospice Care Operating as Saint Michael's H05pice, Herriot Hospice Homecare & Just Report of the Trustees for the year ended 31 March 2022 ar North Yorkshire Hosplce ca￿ is a charity that exists to ensure people afferted by teminal illnesses get the hlgh quallty end of Ilfe care they want, need and deserve. Sirbce 1987 we have developed the specialist skills and locèl knowledge to promote and provide hospi￿ care of the highest standard. North Yorkshire Hospictycare alw exists to ensu￿ thataduts, children and young people ffected by bereavernent and advetse mental health receive hi9h quality support. North Yorkshire klospice Care Is COMM￿ to: Continulng to Improve and expand the Sery1￿ avallable from our hospice; Wot*ing in collaboration with the healthcare, Social ca￿, volun&ary and corporate sertors to as515t people who choose tc+ Ilve at-home at the end of thelr Ilves. Runnirng a comprehensive betsavement and mental health support service for adults, children and young people- Playing a key role In the development of an end c* lffe care strategy for the local and regKJnal area5,' Ldentlfylng and shartng excellent and Innovètlve dlnlcal practKe through the development of an education programme for health professionals,. and .Speaking out and standing up for the vlews of the people who use our services. our stsff and supporters. North Yorkshlre Hospice Care's vision is of a comwnunlty where everyoThe gets the care they need to live their last years. months and days with respect and dignity. We believe personallsed support shoLJld be available regardless of the illnes5 a person 15 livin9 Wlth or the place from which they are recwving ca￿. It is also our Yislon that everyo￿ gets the support they need to help theim with bereavement and adverse mental health. As an organisation. North Yo￿5h[re Hospke Care is drtven, cèrlng and re5ponslve. As people. North YoTI(shlre Hosp￿ Care Is Incluslve, I￿nest. pa55k)nate and innovètive. All of North Yorkshire HospSce Care's ser¥b¢es are free at the point of use and continue to be avallable thanks to the generosity of the communlties we serve. The people of Harrogate, Knaresborough. Rlpon, Wetherby. Pateley Brid9e and the surrounding areas established Salnt Michael'5 Hospi￿ and the people of Thirsk. Northallerton, Richmond and surrounding areas established Herriot Hospice HoMeCa￿. We remain answerable to these people today. Strntegic Report Achievemerlts and performance evi wof tiv rit We have referred to the guidance given in the Charfty Commission's general guKlante on publlc benefir when ￿VIewIng our aims. objectives and ojrrent aLtivities and also in planning our fijture attivtties. There has been highly significant servlce development during the reporting peflod. At the end of tt* financbal reportlng peiiod North Yorkshire Hosplce Care was providing the followiag servlces to benefit the public: Ten beds providing speclalist inpatient care.. to manage pain and symploms. fgr respite breaks and during the advanced 5ta9es of patients. Illne55es. A i¥ellbeir.g Tretwork providing a ran9e of support and services for Sndivlduals livlng wlth terminal illnesses h¥ho live at home in the community, with medical and nursin9 SUPPOrt. A bereavemernt service for adults. children and youn9 people providsng resources, structured 9rouplone to one S￿pport and fLJlly trained individual face to fa￿ counselling. regardless of whetlber they We￿ cared for by the hospice or noL Seven day Helplines providing support for people facirKJ. A UK wide service proactbvely calling frontline emer9ency Se￿1￿5 workers to as￿rtain and support ￿lIlenCe. A speaali5t end of life care lymphoederna sery1￿. The provision of education and trainin9 aimed al inueasing end of life care. bereavernent and mental healih knowledge and skills amongst health and soclal care professlonals wtsrkn.ng outslde of North Yorkshire Hospice Care. North Yorkshire Hospice Care Operating as Saint Michael's Hospice, Herylot.Hospice Homecare & Just B Report of the Trustees for the year ended 31 March 2022 AchIeveMénts and perfonnance (continued) The provision of a specialist co-ordinab.on and svpport Servi￿ for patients living wlth motor neurone ijisease and other neurological dlseases worfKing in the community direcdy wlth the patients. A team of trzlned volttnteers sUPPOrting and befriendtftg patients In their own hDmes as part of the wellbeing Servlce. A tearn of trained Health Care Asslstants workin9 In the communlty prov(ding care and support fgr Indivlduals at the end of life. A tearn of trained SoElal Care Assistants providing social care and support for Indlvlduals In their own home5 in the Yorkshire Dales. A team of experienced an¢J trained staff provlding emobonal well-being SUPPOrt for thIld￿n and young pets￿e across secondary an¢J primary schools. A team of trained profe￿onal$ workln9 lylth residents of care homes In advanced care planning. Our Volunteers North Yorkshire Hosplee Care conbnues to be grateful lor the enormous contribution made by volunteers throughout all aspects of hospice services. Our tommltment to the recruitment. training and effective deployment of OLsr volunteers remains strong and we are delighted that at the end or thé reportlrbg period the number of wistered volunteers stood at neawly 600. Plnanclal Fevlew In¢ome and expendllure summary 2022 £000 2021 £000 (4.230) Change £000 Cost of hDspice servlce5 Hos ice services fundin received Ilet Cost of charltable artivltles (4.405) (1751 216 (2,701) (2.742) (41) Net contrlbutiorn from voluntary sources (net of expenditure) Other income 3,372 277 3.342 217 30 60 Total surplus 948 817 131 The Charity incurned a surplus of income vergjs expermliture for the year of £948k compared to a surplus of E817k in the previous year. Net tontrlbutlon from voluntary sources 2022 £000 2021. Cham9e £000 Legacies Lottery shops Fundraisin 587 310 277 128 123. 281 (7451 1,026 nd donatlons 4.200 828 3,372 4,036 694 3.342 164 Cost of fund ralsin Net Contributlon and ublici 134 30 Legacy income increased by £276k compared to the previous year. Legacy income remains difficult to predirt thereFore the Trustees adopt a prudent polKy in setbng forecasts of incoffle and expenditure which include ￿9aCies. The net contributlon ￿(￿Ved from fvndraising. d￿ationS and grtrynts was £3.372k, an inrsease of £30k from the previous year. North Yorkshire Hospice Care Operatin9 a5 Saint Mlchael's Hospice, Herriot Hospice Homecare & Just Report of the Trustees for the year ended 31 March 2022 This year this SUPPOrt has included continued extraordinary fundin9 from the Govemment for the hospice sector. This funding has enabled our organisation be part of the healthcare response to Covid 19.. to be there for familie5 and Paiients. to ￿spOnd to increased and changing needs and offer slgnificant Sltpoort to our NHS and care home eolleagues. With the strict rinanual expenditure contro15 in place. thts.fundin9 has and is bein9 spent during the crisis and recovery phase. The Charty remains'finanoally strong wlth reserves of £6,582k. Including (ash of £1,276k. Llquldlty and fIna￿l31 strength 2022 £Doo 2021 £000 Cthange £000 Cash Ilow . Operating (outftow I Infl¢ Capital expenditure net of proceets from disposa15 Investment income (309) (174) 13 877 (1. 186) (182) 14 {1) Finanan Net Cash Innow / {ouffiow) 17 (487) 16 693 (1,180) Year end Cash at bank Reserves Unrestrlrted funds Restricted funds 5,563 4,910 723 653 296 Total 949 Ive Fre ratio North Yorkshire Hospice Care is finanoally well njn with income and expenditure closely monitored against pre-agreed annual bud9ets. The Board of Trustees has e51ablished a pollcy. having regard to the volatility of income streams and haviNJ te9ard to Ihose funds not committèd or iThve5ted In tangible fixed assets. The Board of Trustees consider5 that the Charity should have reserves of between 20¥0 aTrJ 50% of expen¢iture. The Trnstees consider that reseryes at this level would enable the Charfty to continue its current activits.es in the event of a signtficant dmp in funding whilst alternative sources of funding and aÉtlvldes were consldered. Free reserves are calculated as Un￿trICted Current assets less un￿tricted Cyr￿nt ￿abIlItIeS and capital commitments and stood at E2,790k at 31 Narch 2022 (2021.. £2,031k). The ￿n￿tricted reserves currently Invested in tangible Axed assets are not Induded In thls calculatfion. Lottery costs and dep￿CIatIOn are excluded from expenditure the purposes of this calculation. ,North Yorkshire Hospice Care Operating as Saint Michael's Hospice, Herriot Hospice Homecare & Just B Report of the Trustees for the year ended 31 March 2022 The level of resetves will be reviewed on a continuous basis. The budget for each year will be set induding the level of reserves in the calculations and will aim to ensure that North Yorkshire Hosplce Care's financlal management is in compliance with thi5 policy.. Investrnent li shire Hos ice Ca CU￿entI have an investments From time to time¢ equlty based shares are donated and these are retained elther according to the wishes of the donor, or until such time as it És Judged prudent to convert them into cash based savln9S. Future plans We are now at the half way pornt of the current strategy. We ère f01b%￿Tr) a number of agee¢J workplans all linked to the driving strategic asplrations. which are. Unmet need rrnproved aC￿SSibIlity Overall sustainability Irnpro¥ing and expènding our current seNlces Expanding our range of ServI￿S Equality, dlversity and inclusion Collaboratlve and partnership worklng Quality and standards People Envlronment Fundraising activities North Yorkshire H05pice Care's fvndrai5ing team incorporates many fundraising iniuatives including but not limited to- In Memoryi Community. Corporate. third party and bespoke events, Regular/lndi¥idual givingt colleciion boxes, as well as Salnt Michael's Community Lottery. How we deliver the fundraising initiatives varies but would usually indude face to fatr, telephone. written comrnunicatlon. Other methods could include cold calling but any approath made is in line with relevant legislation zn(t guideline5. North yorkshi￿ Hosp￿ Care is"registered with the Fundraislng Re9ulator and Ss overseen by the Chlel E.xecutive. Ntsrth Yo￿h[re Hospice Care Is also re9lstered with the Gamblin9 Commi$5ion ensurlng all loiteries and raffle activlty is in line wlth rÈ9ulatOry 9uldelines. All persons artlng on behalf of North Yorkshlre" HospKe Care within a fundralslng role do so In accordance wlth North Yorkshlre Hospi￿ Care's policies and procedures. Any third party fvndoisers raising furds on North Yorkshire Hospice Care's behalf a￿ monttored by the staff team and work in line with North yorkshi￿ Hospite Care's policie5. For any professional fundraisers a signed agreement would be completed and the relationship monitored throughout via regular review. North Yorkshire Hospice Care's lundraising tearn works in line with North Yorkshlre Hospice Care's policies on protecting vulnerdble people and pays partlcularly close attention to the gvidelines produced by the Fundrzising Regulator and IOF regarding sollcltlng donatlons. For public faclng fundraising activity, such as lottery convas5ing the team adhere to a code of conduct and work in line guldellnes and rules set out by the Fundraising Regulator. The tsam also work In Ilne wlth the'Fundraising with vulnerable people policy. and all team mefflbe15 carrying out this specific type of athvlty read an¢J complete the canvasing frainin9 MaThJaF. We have not received any hjndralsing rdated COm￿aln[S during the year. North Yorkshire Hospice Care Operating as Saint Michael's Hospice. Herriot Hosplce Hornecare & Just Report of the Trustees fo'r the year ended 31 March 2022 Prlnclpal risks and uThtwtaintles The Board of TNstees identifie5 regularly ￿vIewS major strategic risks to whlch the charity - exposed and has put systems in place to mitl9ate such nsks, through policies and procedures. The oryanisation has completed rlsk a55e5sments in support of flre safety, health and safety, food hygiene and infectlon control, which we consider to be the key rlsks to the organisaknon. All speciflc fundralslng events are subjert to indsvidual risk assessrnents. Where risks have been Ide￿tIfied, adion has been tsken to mlnlmise Ihem and InSurar￿ cover ha5 b¢tn taken out where Considered prudent. Trustees and tbeir statutory réspoftslbilities The Trtthe5 (who are also direLtors of North Yorkshire Hospice Care for the purposes of CC*mpany law) are responsible for preparfng the Trustees. Annual Report and the financial statements In accordance with appl*cable law and UK Accounting Standards (UK Generally A￿epted Accountin9 Practtce). Company law ￿quireS the Trustees to p￿pare finartclal statements for each finanaal year whith give a true and fair view of the state of affairs ot the charirable company and of the incomln9 resouffts and application of resources, Includin9 the income expenditure, of the charitable company for that period. In preparing these financlal statements. the TnJstees a￿ requlred to: Selert suitable accountin9 polrcies and then apply them conslgtently.. Observe the methods and prlntiples in the Charities SORP- Make Judgements and eslimates that are reasonable and prudeTrt- Srate whether applicable UK Accounting Standards have been foll¢)wed, subjett to ony moterlal departures disclosed and explain￿ in the financial statements,. and Prepare the financial statements on the goirg COn￿M basis unless it Is Inappropriate to presume that the Charita￿e CDmpany wlll conttntse in business. The Trustees are resp0ft5ible for keeping proper accounting recoTds that dFsdose with reasonable accurary at any time the ff nancial position of the charitable eompany and enable them to ensure that the finantial statements comply with the Companies Act 2006. They a￿ also responsible for safeguarding the assers of the charitable company and hence for takin9 ￿aSonable steps for the p￿VentIOn and detection of fraud and other iffegularities. The Trustees are ￿sponsIble for the maint￿n￿ and Integrity of the corporate and flnandal Infomation included on the charitable colnpany's websile. Leglslatyon in the UK governing the preparation and di55emination of financial statemefits may differ from leglslatlon in other jurisdirtions. Statemernt of disclosure to the auditor In so far as the Trustees are awa￿. There is no ￿levant audit Infomiation of which the charitable company's auditor is unaware- and The Trustees have taken all steps that they ought to have taken to make themselves aware. of any relevant audit inforTnation and to establish that the aLtditor is awa￿ of that Infomatson. North Yorkshire Hospice Care Operatlng as Salnt Mlchael's Hospice, Herriot Hospice Homecare & Just B Report of the Trustees for the year ended 31 March 2022 Audltors The auditors. Azet5 Avdit Services knmited. are deemed io be wppointed annu)Ily under s4B7121 of the Companies Art 2006. This report. wh¢ch also incorporates the requirements OT the Strateglc Report, was approved by the Board of Trustees and signed on its behalf by.. Mr A Collins Oate.. l 4Oth>lw2921 Company Secretary and Chief Executive North Yorkshire Hospice Care Operatlng as Saint Michael's Hospice. Herrlot Hosplce Homecare & Just B Independent Auditor's Report to the Members of North Yorkshire Hospice Care Oplnlon We have audited the finanoal 5taternents of North Yorkshire H05pice Care for the year endÈd 31 March 2022 whlih comprlse the ¥ur5e of the audlt.. the informatlon given in the Trustees. ￿port lincorporatin9 the strateg1¢ report and the directors. report) for the finafjtial year for whiclt the financial statements are p￿pared is consistent with the financial statements,. antl the Truste￿, report (incorporating rhe strategic report and the directo￿ report) has been prepared In attordance with appllcable legal requirements. Matters otb which we are requir￿ to report by exception In the light of the knowledge and under51andiny of the cornpany and tts ènvironment obtsined In thè Course of the audit, we have r￿t identified Material misstatements in the Trustees, Annual Report. We have nothing to report in respert of the follo¥iing matters in ￿lation to whbch the Companies Att 2006 requires us to report to you if, in our O￿n￿)n'. dequate accountrng records have not t)een kept or retums adequate for our atjdit have not been received from brnnches not visited by us. the financial statements are not in agreement wltli the accounting fecords and returns; certain disclosures of Trustee5' ￿munerath"On specified by law a￿ nc+t made.. or WÈ have not obtalned all the inforniats'on and explanations necessary for the purposes of our audrc. Responslblllties of the Trustees As explained more fully in the Trustees, responsibilities statement. the Trustets are responslble for the preparation of the financial statements and for being satisfied that they give a true and fair ew, and fo". such internal control as they determine is necessary to enable the preparation of financlal statements that are free frorn material missiaternènt, whether due to fraud or etTOr. In preparing the financlal statemeNts, the Trvstees are responsible for assessing the chatitable company's ability to continve as a golng concern, disdosing. as applicable, matters related to going oncern and using the going Coll￿rn basis of accounting unless the Trustees erther intend to liquidate the charitsble cOM￿nY or to cease operations, or have no realrstic altemative but to do so. Our responslblllties for the audlt of the Ilnan¢ial ststements Our oblectlves are to obtain reasonable assurnnce aboth whether the financial statements as a whole a￿ free from materÈal misstatement. ¥vhether ¢Yue to fraud or error, and to isslte an auditorfs report that Includes our opinion. Reasonable assurance Is a hlgh level of assurance, but Is not a guarantee that an audlt condutted in accordance ￿th ISAS (UK) will afways detect a material misstatement when it exists. Mi5Statements can arise from fraud Dr error and are tonsidered material if. Individually or in the a99regate, they could reasonably be expected to influence the economic decisions of user5 iaken Dri the basls of these fiDanoal statements. Irregvlarffies, including fraL￿, are instances of non-com￿lanCe with laws and regulations. We design procedures in line with our responsibilities. oudinefl above to detect mzterial misstatements In respect of Irregularities, including fraud. The extent to which our Pro￿dureS are capable of etec(ing irregularities. including fraud. is detailed below. A further descriptlon of OUT resFX)nsbilitie5 for the audit of the financial statements Is located on the Financlal Repc)rtlng Council's website at: w¥¥w.frc.0rg.uk/au¢itors￿sp0n$iblIIt￿e$. Thls description forms part of our auditofs report. North Yorkshire Hospice Care Operating as Saint Michael's Hospice, Herriot Hospice Homecare & Just B. Independent Auditor's Report to the Members of North Yorkshire Hospice Care Extent to whlch the audit was ￿nsidered capable of identifying irregularities, Includin9 fraud We Identified areas of law5 and regulatlons that could reasonably be experted to ha¥e.a materlal effett on the financlal staternents frtjm our general commertlal and sector experlence, through discus*on with the TnJstees and other managernent, and from inspectlon of the thartty's regulatory and legal correspondence. We discussed with the TrL55tee5 and other mana9ement the policies and procedures regarding compliance with laws and regulatyons. We commvnicated identified laws and regulations throughout our team and remained alert to any Ind￿atiOnS of non-compliante durfng the atJ%Jit. The char(table company is svbSert to laws and regulaknons that dirertjy affecr the financial Statements including company law. chaNty law, flnaThclal repo￿ng legislation, pensions leglslation, taxatlon legislation and further laws and regulatlons that could indirertty affect the financial statements. comprising safeguarding, mediaTre5 regulatlon. environmental, health and safety and employment legislation. We a55e55etl the extent of ajmpliante with these kws and.re9ulatlons as part of our pmcedures on the related financial statement items. Auditing standards limlt the requlred audit procedLfres to Identify non-compliance with these laws and regulations to enqulry ol the Trnstees and other management and inspection of regulatory and legal co￿eSpOndenCe. if any. These procedures did not Identify any potentyalty material artual or suspetted non-compliarKe. To identify risks of material mlsstatement due to fraud ive considered the opportunities and In￿nt6Ve5 an¢J pressure5 that may exist wthln the tharltable company to commlt fraud. Our risk assessment prO￿d￿re$ included: enqLJiry of frustees and other management to understand the high level policies an¢J procedure5 in place to prevent ar¢d detect fraud, reading Board mlnvte5 and on5idering performance targets and I￿￿￿tiVe schemes In place for management. We grnrrlunicated idenbfied fraud risks throughovt our team and remained alert to any indications of fraud during the audit. As a result of these procedures we identified the greatest potential for fraud in the following areas: Income recognition and in particuL4r the risk that income is recognised In the wrong reportlt)g perfod,. and sutyecrfjve accounting estimates including valvatlon of the glft of the Lambert Hospltal. Fraud risks arise due to a potentlal deslre to present results in a differfng 119ht to rneet management objectives. As requlred by auditing standards we aLso Identlfied and addressed the risk of management overfde of controls. We perforrned the following procedures to address the ￿Sk5 Df fraud Identified- identifying and testing high risk journal entries through vouching the entries to supporting dooJmentation' assessing significant accounting estimates for bias. and - testlng the ￿cOgnItIOn of Income and in particular that rt was approprfately recogAised oréeferred. Owing to the Inherent limitations of an audit, the￿ Is an unaiioldable risk that we may not have detected sorne matertal misstatements in the financial statements, even though we have properly planned and performed our audit in accordan￿ wrth auditing standards. For example. the further moved non-compliance with laws and regulations Is from the events and transactlorns reflected in the financial statements. the less likely the inherèntly limited procedures reouired by auditing standards would identify it. In addiiion, as with èny audit. there remained a higher risk of non-detection of fvaud, as these may involve colluslon. forgery, intentional omissions. mlsrepresentations, or the override of internal controls. Our audit priKedures are designed to det￿ naterial mi5Statement. We are not responsible for preventing non-compllance or fraud and cannot be expected to detecl non- oFnpIia￿e with all laws and regulations. North Yorkshire Hospice Care Operating as Saint Michael's Hospice. Herriot Hospice Homecare & Just B Independent Auditor's Report to the Members of North Yorkshire Hospice Care Vse of our report Thi5 report Is made soldy to the charitable company's rnember5, ès a body. in accordance wlth Chapttr 3 of Part 16 of the Companies Act 2006. Our èudlt work has been undertaken so that we might state to the charltable company's members those rnatters we are requlre¢ to stste to the in an auditovs report and for no other purpose. To the fijllest extent permitted by law, we ¢Jo not a£￿pt or assume responslbllrty to anyone other than the charltable cornpany's Members as è body, fo-. our audit work, for this report, or for the opinions we have formed. 14 Odober 2022 Laura Masheder (Senior Statutory Auditor) Fov and on behalf ol Azets Audit Servlces Llrnlted Chartered Accountants Statutory Auditor Triune Court Monks Cross Drfve York Y032 9GZ 14 North Yorkshire Hospice Care Operatlng as Saint Michael's Hosplce, Herrlot Hospi￿ Homecare & Just statement of Financial Activities (incorporating an Income and. Expenditure Account) for the year ended 31 March 2022 Unrestrlcted Restrlrted funds funds 2022 Totèl .2021 .Total Notes Income frorn". Donatlons and grants Legacies other trading actlvitles 1.215.763 1,788 ,499 3,004,262 4,207.202 586.514 586,514 310.140 Furtdralsln9 actrvities Sale of donated goods 175,677 175,677 126,988 1.690.349 1,690,349 568,446 Lottery income 220.538 10.476 13.415 220,538 10,4?6 13,415 218.160 Deed of covenant Investments 13,989 3,912.732 1,788,499 5.701.231 S,444,92S. Charitable artlvitles fundlng NHS Fast Trad( fundin9 for Horne Service 1.072.390 1.072,390 898,879 465.6Ql 465,601 433,254 Education and seryices 166,243 1,704.234 277,409 166,243 1,704,234 .277.409 155,826 1,487,959 217,124 Other Sn¢ome Total Income 5,894,375 1.788.499 7,682,874 7.150,008 Expenditure on: Ralsing funds Fundralslng and publldty Lottery expenditure CDSt of selling donated 827.818 92.399 a27,818 92,399 1,409.549 2.329,766 694,273 94,983 1,314,161 2,103.417 1.409.549 2.329.766 Charltable artlvitles Cost of wovJ(Jing hospl seNtces 2,912,206 1,492,783 4,404.989 4,230,396 rotsl expenditure 5,241.972 1.492,783 6,734,755 6,333,8k3 North Yorkshire Hospice Care Operating as Saint Mlchael's Hospice, Herriot Hospice Homecare & Just B statement of Financial Activities (incorporating an Income and Expenditure Account) for the year ended 31 March 2022 (continued) Unrestricted Restrided funds funds 2022 Totsl 2021 Total 14otes Net Incom* 652.403 295,716 948,119 816,195 Totsl lunds brought forward 4.9LO.270 723,362 5.633.632 4,817.437 Total funds carrléd . forward 16 5.562.673 1.019,07 6.581,751 5,633,632 The statement of financlal actovltles also complies with the requlrements for an income and "ewendlture account under the CompanFes Att 2006. The statement of finandal activitles includes all gains and losses recognised in the year. The results for the year all relate to conbnulng operats"ons. A fully.detailed Statement of Finartcial Att¢vitses for the year ended 31 March 2021 is shown at note. 20. IG North Yorkshire Hospice Care Operating as Saint Michael's Hospicei Herriot Ho$pice Home¢are &Just B Balance Sheet as at 31 March 2022 2022 2021 14otes Fixed a55ets Tangible assets 3.615.496 3,305,684 Current"assets Debtors 2.402,781 1.396.799 Cash at bank ènd In hand .1.276,239 1,763,497 3,679,020 3.160,296 Current li•b•lities Crediiors= amounts falllng due wlthln one year (578.037) (679.8631 Net Current assets 3,100.983 2,460,433 Total èssets le55 current Ilabllitles 6,716.479 5,786.L17 Credltors.. amounts falllng due after more than one year li (134.728) 1152,485) Total assets le55 total IIabllities 6.581.751 5,633,632 ReseThes . Unrestricted funds 12 5,562.673 4.910,270 723,362 Restricted funds 13 1,019,078 16 6,581.751 5,633,632 The notes on pages 19 to 37 form part of these finandal statements. The Financial Statements ￿tre approved by the Trustees and signed on Its behalf by: Lesley Bers Joint Chair of TNstees Colin Tweedle Joint Chair of Trustees io Company Number: 0212.1179 17 North Yorkshire Hospice Care Operatin9 as Saint Michael's Hospice, Herriot Hospice Homecare & Just B Cash Flow Statement for the year ended 31 March 2022 2022 2021 Note Cash flow5 from operatlng"actlvities Net cash {Ltsed in) / provided by operating actrvtties (309,629) 877,297 .Cash flows from investing )rtivities Investment Income . 13.415 13,989 Payments to ￿￿1￿ tangible fwed assets (173,992) (181,755} Cash used In Investlng actlvitiés 1160.577) (167.766) Cash flows from flnanclng actlvities . Mortgage capltsl payments in year (17,052} (16,375} Cash {outnow) from financlng arti¥ities (17.052) {16,3?S) Change in ¢a$h and cash equfval•nts in th• year (487,258) 693,156 Cash and cash equivalents at the beglnning of the year 1.763.497 1,070,341 Cash and cash equivalents at the end of the year 1.276.239 1.763,497 North Yorkshire Hospice Care Operatlng as Saint Michael's Hospice, Herriot.Hospi¢e Homecare & Just" B Notes to the Financial Statements for the year ended 31 March 2022 Accountin9 policies The principal accounting polloes adopted. Judgements and key sources of estimation uncertalnty In the preparatlon of the fnandal ststements are as follows: Company Informatlon The Charlty is a company Ilmlted by guarantee. the Ilablllty of the Dirertors Is IlmSted to £1, ènd a charity reglstered in England and Wales. The wister&l office Is Crimple House, H(Trrnbeam Park Avenue, Harrogate, HG2 8NA. Accountlng ￿nventIOn The flnanclal statements have been prepared ¢)n a. golng concern basis in attordance with Aceounting end Reptsrtln9 by Chadues.. Statement of Recommended practi￿ applitable to charities preparin9 thelr accounts in accordance witt) rhe Financial Reporting Standard appllcable Irb the UK and Republlc of Ireland IFRS 102) (effective l January 2Q191 l-charities SORP IFRS 1021"). the Financial Reportlng Standard applicable in the UK and Ireland (FRS 102). the Companies Att 2006 and the Charities Act 2011. North Yorkshire Hospice Care meets the definition of a publk benefft entity under FRS 102. Assets and liabilities are Inlllally recogftbsed at cost or transacticsn value unles5 oiherwise stated In the relevant accountlng pollry notes. The financlal statements are prepared in sterling whlch Is the functiofial currency of the charity. Monetary amounts in these financi41 statefftents are rounded to the nearest El. Goln9 concern The Tnjstees have at the Vrne of approvlng the finanoal statements a reasonable expertation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the trustees continue to adopt the going c￿lcern basls of accounbng prepariny the financial statements. Income Income is recognised when the tharity has entit*ment to the fvnds. any perf0mlan￿ condltlons attaching to the item(s) have been net. It 15 probatAe that the incorne wlll be re￿1Ve￿ and the amount can be measured reliably. Income received in advance of lunf1ral￿n9 events Is deferred until the event has tsken pla￿ and the criterla for Income recognition are met. Grants Income from govemrnent and other grants whether'capital grants'or'revenue grnnts. 15 recognised when the charity has entitlement to the funds, any ptrforrnance conditions have been met, it is probable that the income will be recesved and the amount can be measured reliably and not defer￿￿. Legacies For 5egacies, entitlement Is taken as the earlier of the date on which elther: the charity is aware that probate has been granted, the estate has been finalised and notification has been made by the executorls) to the h05pce that a distribijtion will be rnade. or when a distribution is recelved from the estate. Receipt of a legacy In whole or part, Is only considered probable when.the arnotsnt can be measured reliably and where th& hospice is not avia￿ of any potential challen9e to the estate. whe￿ I￿a£le$ have been notifiÈd to thÈ charity or the charity Is aware of the grarntlng of probate. and the criteria for incorne recognltion have not been met. then the le9acy is treated as contingent Bsset and disclosed il rnaterial. North Yorkshire Hospice Care Operatin9 as Saint Michael's Hospicei Herrivt Hospice Homecare & Just B Notes to the Financial Statements for the year ended 31 March 2022 Accounting policles (Contlnued) At 31 March 2022, the Charity was not awa￿ of any legaues that it Is ent¢tkd to but had insuftldent information to r￿aSUre the monetary value. Donated good$, services and faclllties Donated professlonal seryices and facilitie5 are recogni5ed a5 incoffle when the charity ha5 control over the item,.any conditions assoclated with the donated item have been rnet, the receipt of economlc benefif frorn use of the item Is prtsbablp and the economlc benefit can be measured reliably. In accordance with Charities SORP (FRS 102}. the value of volunteer time Is not recognised In the financial ststemeots. Please refer to the Tru5tees' Annual Report for mo information. On recelpt, donated professional seTvices and ¢Jonated factlities are recogrtlsed om the basls of the value of the gift to the charity which is the amount the tharity would have beert.willing to pay to obtaln services or facilities of equivalent econornit benefit on the open market- a correspont1ing amount is recognised in expenditure In the period of receipt. Income from gooos donated for saFe in the charity's shops Is recognised at point of sale. A5 a ￿￿1t of the high volume of low value donatell gootjs received tsy the £haritY& the ci)st of recognTslng th¢se items at fair value on rece&pt would outsyeigh the benefit of Eettsgnsin9 them in the accounts. Interest re￿1vable Inte￿$t on funds held on deposit is induded when recefvable and the amount Can be measured rell8bly by the charity; this Is normalty upon notification OF interest paid or payable by the Bank. Fund atcountlng Fund5 held by the charity are e5ther= un￿$triCted general fynds - these are funds which can be used In accordan￿ with the charttable objects of the charity at the discretion of the Trustees. Rescrlcted lunds - these are funds that only be used for particular restricted purposes within the objecis of the charity. Re5tnttions arise when specified by the donor or whén funds.are raised for partlcular re5trirteL% pvrp05e5. Furrher explanations of the nature and purptsse of restrirted ￿'ndS Is included within the notes to the financial statements. EXpendI￿r* iryecovetable VAT Expenditure is included in the Ststernent of Flnancial Artfjvlties on an accnjals ba￿s, exclusive of ny VAT whlch can be recovered. Expenditure which is direttly attributable to specffK actlviues has been induded In the approprfate cost categories. Where costs are attributable to rn0￿ than one activty {including 5UPPOrt C05ts), they have been apportione<1 acr0$5 the cost categories on a basis consistent with the use of these resour￿$. Cost allocations have been based on Straff time between each adivlty- staff costs The costs of short term employee benefits are recognised as a Ilabillty and an expense where settlement of obligation5 does not fall withÈn the same period. North Yorkshire Hospice Care Operating as Saint Michael's Hospice, Herriot Hosplce Homecare & Just B Notes to the Financial Statements for the year ended 31 March 2022 A¢countlng pollcle5 (continued) Penslons The tharfty operates a defined contribuyon scheme. The assets of the sthemes are held separately froTh those of rhe tharfty an¢J are invested in Indepenclent funds. The charge to the Statement of Finantial Activ5ties" (-SoFA"} represents the contnbutlons payable by the charity to the scheme during the year. Operating lease agreements Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the SOFA on a straight-line bosi5 over the period of the Lease. Tangible fixed assets Tanglble fixed assets costing more than Él.000 are capitalised and induded at cost including any incidental costs of acqulsition. Depreciation Is calculated to write off the cost or valuation. less estimated residual values, of tangible f(xed assers over thar esty"mated useful lives to the charity. The annual depreclatlon rate5 and methods are as follow5-" Leasehojd property Freehold property Motor vehides Flxtures and equipment Assets under constwctiokn Straight-line over the Itfe of the I￿5¢ See below 250h on a straight-line basis 25% on a stralght-llne ba51s Not depreoated until brough.into Use LanLI is not depreciated. No depreciation Is tharged on the freehold pmperty otherthan impalrments as the Board ofTrU￿eeS conslder that the economic Ilfe and resldual value of the property are 5uth that any depreciation char9e arisin9 would be immaterial both on an annual and aggregate basis. stocks Donated items of st¢xk for resale are not included in the financlal statements until they are sold as the Trustees cDn5ider it IrTipfatti¢al.to assess the amount of donated stock held as there Is no systern in place to record these itern5 or value them until they are sold. The value of these goods to the charity ￿ therefore recognised when they a￿ sold in the shops. Financ•al instruments The charity has elected to apply the provisitsns of Settlon 11 'Basic Flnantial Instruments. and Section 12'0ther Financial Instruments 15sues' of FRS 102 t(1 all of Its financial instruments. Finanoal instrvments are recognised in the charity's balance sheet when the tharfjty becomes party to the contractual provisions of the in5trumenL Finanoal assets and liabilitie5 are oftset. ￿1th the nèt amounts presented in the financlal sts*rnents, when there Is a legally enforceable right to set off the recognised amounts and thÈre Is an intenyon to settle ory a net basis or to realise the asset and settle the liability simultaneously. ash at bank and in h)Dd Cash zt bank and cash in hand includes cash and short temi hlghty liquid investments wlth a short rnarurity held for working capital. Debtors Trade ant1 other debtor3 a￿ ￿COgnised at the settlement amount due after any trnde discount offered. Prepayménts ats valued at the amount prepaid. Financial assets, other than those held at fair value through profit and loss. are assessed for indicators cf impairFnent at each reporting end tlate. North Yorkshire Hospice Care Operatitl9 as Saint Michael's Hospice, Herriot Hospice Homecare & Just B Notes to the Financial Statements for the year ended 31 March 2022 Accounting policTes {contlnued) Financial assets are impaired Whe￿ there Is objective evidence rhat, as a result of one or more events that OCCLsrred after the Inltyal recognwon of the financial asset, the estirnated future cash flows have been affected. The 1mpairn1￿t loss Is recognised Irj the Income and expendlbjre account. J Creditors, loang awEd provisions Credltor5, loans and provisions are recogni5ed where the tharity ha5 è present obllgatlon ￿Ul￿ng from a past event that will probably ￿SuIt in the transfer of funds to a third party and the amount due to settle the obligaliori can be measured or estirn6ted ￿lIablY. CredÈtors, loans and provisions are n)mall¥ recognised at their settlement amount after allowin9 for any trade discounts due. Financial Ilabllltles are only &erecogAised when. and onty when. the charity's obllgations are dlscharged, cancelled or they explre. Amounts recognlsed as provisions are best estymates of the conslderation ￿qUired to settle the preseftt obligation at the rekX)rbng end date, taklrg into account the risks and uncertalnties sumunding the obli94tlon. Taxatlon Noth Yorkshlre Hosplce Care Is a registered thaTIty and as gjch is a thadty wlthln the meaning of schedule 6 Df the Finance Act 2010. Accordingly. the HospTrce 15 Potentially entitled to tsx exemption under part 11 OF the Corporation Tax Att 2010 or section 256 of the Taxation of Chargeable Gains Act 1992 In fespert of income armj 9alns arf51ng. Crltical account(ng estlmates and judgements In the application of the Charity's accountlng policies, the Trustees are requlred to make judgernents, estimates and assumptr.ons aboui the carrying amount of assets and liablllties that are not readily appareTrt fwm other source5. The estimates and associated assumptions are based on historical experience and other fartors that are considered to be relevant. Attual results may dlffer frorn these estimates. The estimates and underfying assumptions are reviewed on an ongoing basis. Revisions to attounting est6mates are recognlsed In the peiiod in whlth the eskn.mate Is revised, If the revislon affects only that period. or in the perth of the reViS￿n and future periods if thé revlslon affetts bath currént and future period5.. The estlmates and as5umpknons wthich have a significant risk of causing a material adjustment to the carrying arnount of assets and liabilities are outlined below. Resldual values of freehold ptroperties: The thartty owrLs freehold properries which are depreclated at cost less estimated resldual value over the remalnder of their useful economlc kfe. The residual values are estimated besed on the current market value of the propertles assuming they are already of the age and condltlon expected at the end.of their useful Ilfe. Legacles: The value of accrued legacies are e5tifflated based on management review of estate accounts and tsther Information provided fjy executors. Gift5 in kind: The charity receives goots and se￿iceS by way of donation. these are recognised orbations within glfts sn kind in 3ccordantt with the accounting policy. Dumng the year the Trustees have recognised a dmation of £350,000 in respect of the freehold building known as Lambert Hospltal. Th15 was donated to the charity Èn 2019. however It was subject to obligations around ensuring sufficient funds were raised to enable complete re￿rt)Ishment of the hospita1 to bring it back into use. This obligaty.on was challenging and was only met tsn the finanoal year to 31 March 2022 and accordingly the asset was retognised durfjng the current financial.year at the fair value of the building at the date of iransfer. 22 North Yorkshire Hospice Care Operatin9 a5 Saint Michael's Hospice. Herriot Hospice Homecare & Just B Notes to the Financial Statements for the year ended 31 March 2022 Income Donations and grants 2022 2021 Donatlons 1,212.245 1,523,229 Donatlon in klod - Lambert Hosplce COVID Retall Support Grants NHSE COVID funding Coronavirus Job Retenti¢)n scherne 350,000 58.3SO 1.140,914 33,198 209,555 498,023 1,61S.633 439,261 Gift aid 131,056 3,004.262 4,207,202 Investments Interest Dn rash deposits Rental Income 815 1,337 12,652 12.600 13,415 13.989 The hospice benefits greatly from the involvement of Its ￿anY voluntee15. detai15 of which are given in the trustees, annual ￿pOrt. In accordance bvlth FRS 102, the eeonomic contribtjtion of volunteers Is not recognised In the accounts. Total expendityre Year ended 31 Match 2022 Dirert DireLt costs Support easts Depreciation 202Z Total Expenditure on ralslng funds Fundraising activities Lottery expenditure 671.100 53.523 94,475 8,720 4.782 827.818 4,678 82,939 92,399 Cost of selling donated goods 871.994 426,146 $62,608 68,663 163,138 42.746 1.409,.549 2,329,766 1.547.7?2 56.248 Expemditure o charitable actiyltles C05t of providin9 Hospice seryices 2,812.578 429.192 1.005.287 1.168,425 157.932 4,404.989 . Totsl expenditure 4,360,350 991.800 214,180 6.734.755 North Yorkshire Hospice Care Operating as Saint Mi¢h3el'5 H05pice, Herriot H05plce Homecare & Just B Notes to the Financial Statements for the year ended 31 March 2021 To￿1 expenditure (conL.) Year ended 31 Marth 2021 Direct staff costs Dirert Support. S9 5.916 36k.875 514.327 17.156 53t..483 Due after fl¥e years 70.310 70.310 254.125 254.125 637,518 12,654 650,172 1.031,752 27,434 1,059,186 15. Related party transactions HDHC Enterprises bmited ("HDHCE-I Is related to the Hospi￿ by way of wmmon dlrectors. Included w'ithin other debtOTS is £4.075 payable by HDHCE 12021 other creditors of £15,054 payable to HDHCEI. HDHCE gÈrerated profit.in the year of £10.476 which was given to the Charty under a Deed of Covenant (2021 £9.S17). Tina Hedges is the spouse of Darryn Hedges la Trustee and director appolnted I l March 202LI and Is employed as part of the senitsr mana9ement team by the Charity and ￿CeIved a salary and pens¢on contrlbutlons during the pwiod to 31 March 2022 of £46,987 (period 11 trj 31 March 2021 É1,9921. Tony Colllns {CEO} Is a trustee of Hospice UK ("HUK~). Included within sales is £261,995 ft*r grants and other sernlces provided from North Yorkshire Hospice Care (2021 E325.3821 and included within debtors is £160.784 payable by HUK to North Yorkshire Hospice Care (2021 £nil payable by HUKI. 16. Analysis of nel assets between funds Fund balances are represénbi bv.. Fund balances at 31 14arch 2022 Unrestricted Restrirted fund5 "fund$ Total Tangible fixed assets 2,802,584 612,912 3,615.496 Current assets 3.472.854 206,166 3.679.020 Current Ilabllltles (578.037) (134.728) {578,037) {134,7281 6.581.751 Llabilities due after than one year "Total net assets 5,'562,673 1.019,078 .North Yorkshire Hospice Care Operatlng as Saint Michael's Hospice, Merriot Hospice Homecare & Just B Notes to the Flnanclal Statements for the year ended 31 March 2022 ifj. Analysls of net aSSÈts between funds (contlnued) Fund balonces at 31 Mor¢h 2021 . Unrestricted funds Restrlrted fynd$ Totsl Tangible fixed assets 3,031.694 273,990 3.305,684 Current ass4ts 2,710.924 (679.863) 449.372 3,160,296 (679.B63) Current liabilities Liabtlities due after more than one year {152,485} (152,485) 5,633,632 Total net asset$ 4.910,270 723,362 17. Capital commltments At 31 March 2022 the charity was committed to ca￿tal expendlturè of É105.250 (2021- É19,765). 18. Reconciliatron of net movement in funds to" net cash providqd by operating a¢tiviti¢5 2022. 2021 Net Income 948,119 (13.415) 214,180 (3SO,000) 816,195 (13.9891 223.946 Investment income Depredation Gift in kn.nd Lambert Hospital Loss on dlsposal of fixed asset Increase in debtors 2,182 (1.005.982) 1259.564) .(102.531) 108,527 (Decrease) / Inerease in creditor5 Net cash {ouffiow)/inflow from operating activlties (309.6291 877.297 19. Net debt 31 March 2022 Cash at bank and in hand 1,763,497 (487,258) 1,276,239 Mort 169 S37 . 1.593.96Q 152 485 Net cash (470.206) 1,123,754 31 March 2021 Cash at bank and in hand 1,070.341 693,156 1,763,497 Mortgage {185,912) 884.429 16,375. 709.S31 {169,537) 1,593,960 Net cash 33 North Yorkshire Hospice Care Operating as Saint Michael's Hospice, Herrlot Hosplce Homecare & Just Notes to the Financial Statements for the year ended 31 March 2022 20. Statement of Financlal Activffitles {In¢ludlng Income and Expenditure Account) for the year ended 31 March 2021 2021 Total fund5 funds Income from: Dctnaknons and grants 2.120.528 2.086,674 4,207.ZO2. Legacies 310,140 310,14 Other tradlng actlvldes Fundraising activities Sale of donèted goods 121.838 568.446 5.150 126,988 568,446 Lottery income Investments 218.160- 21&,160 13.989 13,989 3.353.101 2.091.824 5.444.925 Charitable actfvltles NHS fundin9 . 898,879 898,879 WHS Fast Track fundlng for Home Servl Educarlon and servkes 433.254. IS5.826 433,254 155.826 1.487.959 1.487.959 Other inrome 217.124 217.124 Total Income 5,058.184 2,091,824 7.150,008 Expendlture on: ' Raisi•T9 lunds Fundraising"and publicity Lottery expenditure CDst of selling donated goods 694,273. 94,983 1,311,328 2.100,584 694.273 94.983 1,314.16.1. 2.103.417 .2.833 2,833 Charit47ble activities Cost of provlding hosty¢e services 2,149,693 2,080,703 4,230,396 Totsl expeDditure 4.250.277 2,083,536 6.333,813 North Yorkshire Hospice Care Operatlng as Saint Miehael's Hospice, Herriot Hosplce Homecare & Just B Financlal Statements for the year ended 31 March 2022 20. statement of Finandal Activities (in¢ludin9 Encome and Expendi￿re A¢¢ount) for the year ended 31 March 2021 {continued) Uftrestrjrted funds Restrjcted nds 2021 Total Net Income before transfers 807,907 8,288 816,195. Transfer5 be￿een funds 96,233 [96,233) Net Income/ (expendlture) 904.140 (87,945). 816.195 Tgtal funds brought forward 4,006.130 811,307 4.817,437 Total funds carrled fonyard 4.910.270 723,362 5.633,632 37