Company registration number: 02263960 Charity registration number: 519659 ow Burn Derweniside Hospice Care Foundation (A company limited by guarantee) Annual Report & Financial Statements for the year ending 31 March 2025
Derwentside H05pice Care Foundation Table of Contents Reference and Administrative Details.................................................................................................... Trustees, Annual Report........... Statement of Trustees, Responsibilities..............................................................................................,16 Independent Auditor's Report to the members of Derwentside H05pice Care Foundation...............17 Statement of Financial Activities for year-ended 31 March 2025....................... .22 Balance Sheet for the year-ended 31 March 2025...............................................................................23 Statement of Cash Flows for the year-ended 31 March 2025 . .24 Notes to the Financlal Statement5 for the year-ended 31 March 2025 . .25
Derwentside H05pice Care Foundation Reference and Administrative Detai15 Company Registration Number 02263960 Charlty Registration Number 519659 Sollcltors Ward Hadaway 102 Quayside Newcastle upon Tyne Tyne & Wear NEI 3DX Bankers Lloyds Bank I Victoria Road Consett Durham DH8 SAE CAF Bank Limlted Head Office Kings Hill West Malling Kent ME194TA Investment Managers CCLA Investment Management Limited One Angel Lane London EC4R 3AB Audltor S&WAudit 17 Queens Lane Newcastle upon Tyne NEI IRN
Derwentside Hospice Care Foundatlon Trustees P Jackson (Chair) (Resigned November 2024) J Robinson (Chairl (Appointed Novernber 2024) A Allon R Bennett (Resigned November 20241 S E Brent {Resigned May 20251 K Bullen (Appointed November 20241 l A Burke N Hanson (Appointed May 20251 Ljeavons (Appointed May 2025) Dr C T Kelly M H McArdle P Morton (Appointed November 2024) P Pollard T Prior (Appointed May 2025) L Telford Key Management Personnel D E Barker- Chief Executive R Quince- Deputy Chief Executive and Head of Marketing & Fundraisin8 C Hagrl - Head of Clinical Services A Watson- Head of Finance J Crisp- Head of Facilities & Administration Prlnclpal Offlce Willow Burn Hospice Howden Bank Lanchester Durham DH7 OQS The charSty is Incorporated in England and Wales. Trustees, Annual Report The Trustees, who are directors for the purposes of company law, present the annual report together with the financial statements and auditors, report of the charitable company for the year ended 31 March 2025.
Derwentslde Hosplce Care Foundation Trustees, Annual Report Report from the Chalr of the Board My connections to Willow Burn Hospice are both professional and personal. I first knew of Willow Burn when l attended the opening of the Helen McArdle In Patient Wing in June 2019 in my former capacity as Corporate Director, Adult and Health Services at Durham County Council. Then in 2022 my mum spent the last few weeks of her life at the hospice and our family were extremely grateful for the high quality care and support we received. When the vacancy for Chair of the charity was advertised in early 2024,1 saw it as an opportunity to both give something back but also be more involved in a sector which has interested me throughout my career, so I wanted to throw my hat in the ring. At this polnt I would like to pay trlbute to my predecessor in the role, Paul Jackson, l am grateful to Paul for handing over a strong and dynamlc organisation. Paul's commitment to Wlllow Burn contlnues in his capacity as Honorary President. These accounts, in part, cover my first year in the role and I have been highly impressed by the quality of services patients at the hospice receive. The Helen McArdle In Patient unit provides palliative and end of life support and the Sir Tom Cowie Day Centre enables patients to live well with thelr condition. These key services are augmented by family support and bereavement counselling support, including children's bereavement coun5elling. All servlces are provided by a small and dedicated staff team, supported by an amazing group of volunteers. Volunteers provide a vltal service in supporting our shops, cafe, gardens, reception, admlnistration and, of course, our Trustee Board are all volunteers. The charity is rightly grateful to all volunteers for giving up their tlme and energy for the benefit of others. Fundlng for the hospice comes through two main routes. The majority is raised through a rnyriad of charltable fundraising activities supported by a contract from the North East and North Cumbria Integrated Care Board (NENC IC8). The financial results hlghlighted in these accounts show a hugely successful year for the charity, despite operating in a tremendously difficult financial environment. The success is due, at a large degree, to legacies left to the charity and we are extremely grateful to anyone who ha5 or would like to consider leaving a gift to the hospice. I feel honoured to lead this charity and look forward to realising our vison where we are part of a communlty which treasures lives and where everyone is supported to live well and die well. I have pleasure in commending this report. Jane Robl Chair of the Board of Trustees
Derwentslde Hospice Care Foundation Trustees, Annual Report (continued) Structure• governance and management Nature of governlng document The organisation is a charitable company Ilmited by guarantee, incorporated on 2 June 1988. The charitable company was established under a Memorandum of Association that established the objects and powers of the organisation and is governed under its Articles of Association passed bv special resolution in January 2013 and last updated on 19 May 2022. In the event of the charitable company being wound up, members are required to contribute an amount not exceeding £10. Organlsational structure The charity is governed by its board of trustees who are also the appointed directors of the company. The number of trustees at present is twelve. The Trustees who served during the year, and were In office up to the signing of thls report were:_ A Allon R Bennett (Resigned November 2024) S Brent (Resigned May 2025) K Bullen l Burke N Hanson L Jeavons P Jackson (Retired November 2024) Dr C Kelly M McArdle P Morton P Pollard T Prior J Robinson L Telford Recrultment and appolntment of trustees Trustee5 can be elected or co-opted during the year and their appointment is confirmed at the Annual General Meeting {AGM}. At each AGM one third of the Trustee5 must retire from office. The Trustees to retire by rotation are those who have been longest in office since their last appointment. The Trustees aim to maintain a balanced skills and knowledge base amongst the Board members by identifying skills shortages when an opening exists for a new Member. Representation relevant to the servlce user group is a key factor given the charity's mission.
Derwentslde Hospice Care Foundation Trustees, Annual Report (contlnuedl The Trustees are required to meet at least four times per year. At these meetings members receive detailed management accounts (including cashflow projections and reforecasts) 35 well as reports on operational activities each month. The Board also receive regular presentations and reports on any major developments or proposals. They participate in the strategic planning process and have ultimate responsibility for approval of the strategic plan. Inductlon and trainlng of trustee5 New trustees are provided with a proper induction process and pack which details everything they need to know about the charity as well as their responsibilities as a trustee. Briefing papers and familiarisation training are affected for all trustees, as deemed necessarv. Sub-commlttees The Board of Trustee51s supported by the following 3 sub-commlttees: Flnance Sub-committee which comprises of at least two trustees who are independent of the management team. At least one trustee is free from any relationship that in the opinion of the board would interfere with the exercise of independent judgement as members of the group. The responsibllity of the group is to provide an effective review process of both current and future financlal performance. The group meets at least four times a year, with monthly performance reporting continuin8 between meetings. The Head of Finance supports this sub-committee. The focus of the group Is to contlnue to strengthen the charity day-to-day, and develop the long-term future of the organlsation, while ensurin8 fruitful and prudent utilisation of its resources. Charit & Resources Sub-committee formerl Fundralsln & General Pur oses which comprises of at least two trustees who are independent of the mana8ement team who are free from any relationship that in the opinion of the board would interfere with the exerclse of independent judgement as members of the group. The group meets at least four times a year, The Deputy Chief Executive & Head of Marketing & Fundraising supports this sub-committee. The responsibillty of the group is to provide an effective challenge and support in terms of business development, IT, HR, fundraising and marketing of the charity, in line with the wider strategic aims of the hospice. uallt & Com Ilance 5ub-Committee which comprises of at least two trustees who are Independent of the management team who are free from any relationship that in the opinion of the board would interfere with the exercise of independentjudgement as rnembers of the group. There is also a mernber of the sub-committee who is not a trustee to provide independent assurance and challenge to the group. The group meets at least four times a year. The Head of Clinical Services supports this sub-committee. The responsibility of the group is to provide an effective audit mechanism of current and future clinical activity and the development of future cli nical strategy.
Derwentside Hospice Care Foundation Trustees, Annual Report (continued) Day-to-day management The Chief Executive is responsible for the day-to-day management of the charity's affairs and for implementing the strategy a5 agreed by the Board. This is done within the boundarie5 of the budget and various policies and procedures also agreed by the Board. The Chief Executive appraises the Chair of any significant issues that may arise between formal meetings. The Chief Executive is supported by a Senior management team that currently consists of the Deputy Chief Executive & Head of Marketing and Fundraising, Head of Clinical Services, Head of Finance and Head of Facilities and Administration. The management team {including the Chief Executive) hold regular meetings as needed, to address all relevant operational issues. Key Management Personnel The Board, who 8lve their time freely and received no remuneration in the year, have consldered who the Key Management Personnel (KMP) of the charity are, as noted in the Reference and Administration section. Together with the Board, these KMP are those In charge of directing and controlling, running and operating the activities of the charity on a day-to-day basis. The pay of the KMP is reviewed annually. The Trustees benchmark against pay levels of other charities and slmilar organisatlons within the sector and the region. Pay levels are set using this information together with the budget and forecast information, ensuring that the Charity can afford any proposed increases. The Board then agree any uplift to remuneration. Details of the KMP can be found on page 3. Objectives and actlvlties Objects and alms Derwentside Hospice Care Foundation's objects are to promote the relief of sickness by - Providing appropriate care to people in the life limlting phase of their illness and to support the whole family durin8 this time and in bereavement. Establishing, malntaining and conductlng hospitals, residential nursing homes and clinics for the reception and care of person5 suffering from any illness, disability, disease or other infirmity whether physical or mental and providing medical or other treatment and attention for any such persons either in their own home or at any institution of the charity. Promoting or assisting in the teaching or training of doctors, nurses, physiotherapists and other persons engaged in any branch of medicine, surgery, nursing or allied services, and in the teaching or training of students in any branch of medicine, surgery, nursing or allied services. Conducting or promoting research into palliative care and treatment of persons suffering from any such illness, disability, disease or infirmity as aforesaid and particularly into the care and treatment of persons suffering from cancer or terminal illness and to disseminate the useful results thereof to the publlc.
Derwentside Hospice Care Foundation Trustees. Annual Report (continued) Providing such medical supplies, equipment and apparatus, drugs, amenities, comforts and other things conducive to the material or spiritual welfare of any person resident or working in any institution of the charity or any person being treated or attending in their own houses that the charity may think fit. Arranging lecture5 and conducting training courses and publishing pamphlets, books, journals and other publication5 relating to the working of the charity. Fundralslng disclosures The charity's Deputy Chief Executive and Head of Marketing & Fundraising continues to be a member of the Institute of Fundraising, and the charity follows best practice and regulations In all its fundralsing activity. No complaints relating to fundraising activities have been received within the reporting period. The charity is registered with The Fundraising Regulator. Public beneflt The trustees conflrm that they have complied with the requirements of section 17 of the Charltles Act 2011 to have due regard to the public benefit guidance published by the Charity Commission for England and Wales. The Mlsslon, Vlson & Values of the charltv To deliver hospice care of the highest standard to our patients and those important to them- now and in the future. MIs51on We ar8 part of 8 communlly whlch treasures livos and where everyone Is supported lo livo well and die well. Vision Carlng: We put care, compasslon and dignity at the heart of everythlng we do. Asplrln8: We are passlonate about dellverfn8 servlces of the hlghest standard. Responslble: We are a responsible organisation that people can trust. Empowerlng: We support and enable people to make the cholces that matter to them. Values
Derwentside Hospice Care Foundation Trustees, Annual Report (continued) Strateglc priorities h-d Governancè Commurilt Strategic Prioritles 202512026 Flnanclal Su8talnablllty Compllance • Tru8tee Engagement Ral8e Publlc Profile • Talk About Death • Communlty Partnershlps • Clinical Staff Plan Develop Assisted Dying Response Digitalisation Service Development The charity's Strategic Prloritles are approved annually by the Board of Trustees and a detailed delivery Action Plan is developed in order to ensure progress is made towards achieving the strate8ic aims. The Action Plan is review quarterly at Trustee meetings. Cllnlcal Servlces - In patlent unlt Willow Burn Hosplce has in-patient capacity of six beds in the Helen McArdle Wing. Four of these are currently commlssioned by the North East and North Cumbria Integrated Care Board to provide end- of-life care, symptom management and crisis intervention respite support. Spot Purchase requests for the additional beds are made for individual need for end-of-life patients. A further contract has been agreed with Continuing Health Care (CHC) for patients who may require longer term funding in a hospice bed where they are assessed either as not suitable for a nursing home placement or have a unique set of circumstances and 'fit' with the philosophy of hospice care. Admissions are arranged through professional referrals and assessed and considered on a priority need basis. All patients and families have access to our family support team to meet their Psychological and emotional needs as part of a holistic package of care. The in-patient unit is staffed continuously by one Registered Nurse {RGN) and one Healthcare Assistant {HCAI, with additional staffing assessed for higher dependency and/or occupancy. Durin8 the year ended 31st March 2025, the in-patient unit cared for 94 patients and their families. Average length of stay was 10 days.
Oerwentside Hospice Care Foundatlon Trustees, Annual Report (contlnuedl Cllnical support is undertaken through the deployment of Hospice Doctors. When taken with our additional Service Level Agreement for Consultant cover, we have direct medical review available four days per week with plans to increase this to five. Arrangements are also in place to ensure additional appropriate medical review is available whenever needed. Hospice Day Services Day Centre services continue to meet the needs and wishes of the patients within the philosophy of supporting them to 'live well with their illness,. The service 15 provided three days a week and is managed with a dedicated RGN and HCA. The service provided support to 194 patient51120 patients in the previou5 year) and their families in the reporting period to ended 31st March 2025. A 12-week programme of planned activity within a period of attendance is usually offered, and support and sign- posting to other services is undertaken in preparation for discharge or if referrals to the service do not match with our provision. We continue to work with other organisatlons for reciprocal referrals in and out of services e.8. County Durham Carers and Macmillan Cancer Support. Day centre services are augmented by a Complementary Therapy Service offering a range of relaxation and wellbelng therapies. In the year ended 31st March 2025 this service provlded in excess of 500 complimentary therapy sesslons to In-patients, day service patients and carers. Famlly Servlces and Bereavement Support Family Services and Bereavement support team worked with 189 patients (173 in the previous year) and thelr families throu8hout the year. They provide much needed support and counselling to adults and there is also a children's counselling service available. The Hospice has a current Care Quality Commission rating of Good (last inspected 20161. Our Hospice PatSent Care In patients Day Servlce patlents Family Support patlents 2024125 94 194 189 2023124 102 120 173 2022123 84 115 218 2021122 85 51 178 Annual Action Plan achievements The Charity develops an annual, Action Plan around the three strategic priorities of Good Governance, Community Engagement and Talk about Death. Some achievements are- Good Governance Recruited new Trustees with expertise in IT, Retail, Quality and Business Embedded Blue Stream HR and Training system Transitioned to new IT support partner Restructured retail department (including opening a new shop in Lanchesterl Secured Disability Confident Level 2 status
Derwentside Hospice Care Foundation Trustees, Annual Report (continued) Community Engagement Developed Will O'Burn mascot concept to engage younger people Launched 'Compasslonate Willow Burn, project to further enable community support Reduced electricity usage from 120,000 to 62,000 Kwh in two years wlth positive impact on carbon footprint Talk about death Engaged In the Assisted Dying debate at local, regional and national levels Received approval to develop Doctor input from three days per week to five Launched Dementia Carers support programme "I tuantel to take a moment to exrress my Aeartfelt3rat1tde for tAe eKcertiona care an4 eomrassion yorf rroui4e4 to my gran4motAer Iiirin3 Aer time witAy0. Your team went 46ove an4 6eyon4 to ensmre Aer comfort, 4ignity anl well-6eing an4 it mednt tAe world to 0r famil). We are tr158r4tef( for tAe kindness and f rofes&iortalism sAown 6y eueryorte involve4. Yoxr 4eJication to f rovi4e SMCA ujarm an4 carin3 environment 6r0SAt US Peace in a 4ifficKlt time. Please know tAatyot4r efforts mqde 4 rrofoxnd difference and we will foreuer 6e tAankf1 for allyoM 414 for Aer.:
Derwentside Hospice Care Foundation Trustees, Annual Report (continued) Flnanclal review The Statement of Financial Activities {SoFA) shows that gross income increased from £1,614,220 to £2,044,252 and expenditure increased from £1,387,068 to £1,577,023. This resulted in a surplus of £467,229 (2024: £227,152) which has been allocated to restricted and unrestricted funds a5 shown In the SOFA. The Trustees are satisfied with this position at the year-end and are keen to maintain the strength of overall reserves in the future. Derwentside Hospice Care Foundation has continued to benefit from various grants during the year and the board of trustees gratefully acknowledge this support. Work continues to improve how the income levels can be sustained and reviews of expenditure continue to be carrled out to ensure the charity consistently achieves value for money. The Senior Management team are aware of the need to provide an efficient service that offers value for money to the community, without losing the emphasis on patient care and safety. A strategic review of the charlty is now completed with a strong strategic plan in place. The Board of Trustees and Senior Management Team will continue their efforts to provlde a brlght future for Derwentside Hospice Care Foundation, and a valued service for the people of Derwentslde. Pollcy on reserves Trustees at Willow Burn Hospice believe It is important to use the financial resources of the charity to meet its mission of delivering hospice care of the highest standard to patients and those important to them- now and in the future. Trustees have decided that this requires the charity to maintain a reserves policy based on service provision and long-term financial sustainability. Three key elements have been taken into consideration to assess a realistic reserve level. These are: The rellability of current contracted income and other income generation activitles Planned expenditure requirements Contingencies and risks including loss of NHS contract and unplanned repairs to the hospice building Based on this asse55ment Trustees have determined that a reserves figure of £1,000,000 is appropriate. At the year end, free reserves were £1,243,944 (2024: £960,751), an increase of £283,193 in the year.
Derwentside Hospice Care Foundatlon Trustees, Annual Report (continued) Plans for future development The charity plans to develop and invest in a number of new initiatives over the comin8 years. Chief among these are;. Plan to move to electronic medical record keepin8 - Data management is a key area for development in the sector. Improve facilities for patients - Installation of temperature control measures into all patient areas Day Service development - Day Hospice services provide vital 5UPPOrt to patlents and their familie5. The facility will aim to expand its range of services to enable more people to live well with thelr condition. Research The charity continues to undertake research in partnership with Sunderland University, looking into aspects of Hospice care, Including attitudes to Asslsted Dying. Retail expansion The charity continues to develop plans to open a furnlture store wlth recycling capabillties. Further expansion through additional charity shops is also planned. Achleve 'Disability Confident, Level 2 status as an element of the charity's detailed Equalitv, Diverslty & Inclusion plan. Develop our Compassionate Communities plan Compassionate Communities Ambassadors. Including the appointment of Golng concern The charity meets its day-to-day working capital requlrements through cash generated from operations. The charity's forecasts and projections for the next twelve months show that the charity should be able to continue in operational existence for that period, taking into account possible changes In tradlng performance. Having considered the current cash forecasts of the Charity, the Trustees have a reasonable expectation that the Charity has adequate resources to continue in operational existence for a period of at least 12 months from the date of signing these financial statement5.
Derwentside Hospice Care Foundatlon Trustees, Annual Report (continued) Objectives and policies The Trustees have a formal risk management process to assess business risks and implement risk management strategies. This process involves identifying the types of risks the Charity faces, prioritising them in terms of potential impact and likelihood of occurrence, and identifying means of mitigating the risks. As part of this process the Trustees review the adequacy of the Charity's current internal controls and the costs of operating particular controls relative to the benefits obtained. Procedures have been established for reporting failings immediately to appropriate levels of management and to the Trustees. The Trustees are satisfied that the systems and procedures in place are sufficient to adequately mitigate identified risks to an acceptable level in the Charity's day-to-day operations. Rlsk envlronment The charlty has robust system5 In place for review of the risk registers within the organisation. An annual report Is made to Trustees on the risk environment, risk registers are discussed at monthly Senlor Management Team meetings and all change5 in risk status are reported to Trustees. Envlronmental, Sustalnablllty and Governance {ESG) and Corporate responslbillty Like many responsible businesses, the Hospice continues to consider more deeply the Impact It has on its environment and surroundings and how it might contribute to a more sustainable future. In recent years a number of changes have been implemented in line with the charity's Going Green Together Sustainability Statement and Plan. Sustalnability aspect Energy usage Detalls Extensive solar panels fitted to in patient unit. All light fittings are replaced with LED bulbs. We have reduced our energy consumption year on year. Travel E-charging station fitted to hospice car park. Meetings are held on-line where there isn't a specific need to meet in person. Water usage Water reduction valves are fitted to our Showers. We store and re-use rainwater on site for our garden5. Food rniles The Café Seeks to use in-sea50n food sourced from local producers where possible. Local environment Look to create empathetic environments within our own gardens.
Derwentside Hosplce Care Foundation Trustees, Annual Report (contlnued) Utlllty usage Year to end March .Year to end March 2025 2024 59,115 63,678 185,165 168,402 945 1000(Est) Performance aspect (Unlts) Electrlcity (kwh) Gas (Therms) Water (m3) Year to end March 2023 73,547 150,711 600 (Est) The charity has many opportunlties for volunteers in shops, cafe, administration, gardenlng and at Trustee level. These opportunities enable people to contribute to the hospice, to the wlder society and gain many positive personal elements in return. Volunteers Contrlbutlon Year to end March Year to end March 2025 2024 21,500 21,745 Year to end March 2023 21,778 Estlrnated hours We also recognise our duty to support other organisations by paying our supplier5 promptly. Flnanclal instruments The Hospice engaged an investment manager, CCLA, to manage a proportion of Its free cash reserves. The threat of inflation eroding cash worth and low interest rates provided by conventional bank accounts meant that there was a risk of Reserves being depleted in value over time. Taking Into account cash forecasts and expectations, a prudent proportion of cash funds were handed over to CCLA to be managed in their COIF Ethical Investment Fund. It is intended that thls will be a long-term arrangement, to provide the best opportunity for good returns, but this will be monitored regularly to ensure that the Fund Managers are performing adequately and adding to the continuing financial strength of the Hospice. Otherthan {indirectly) withln the CCLA Fund, the H05pice does not invest In any financial instruments. Appolntment of audltor S&W Audit {formerly CLA Evelyn Partners Limited) were appointed auditors for the production of annual accounts from year ending 31 March 2023 and it is envisaged, subject to annual Trustee approval at AGM, that this will be a three year arrangement to be reviewed in 2025. A resolution to appoint S&W Audit will be proposed at the AGM.
Derwentside Hosplce Care Foundation Statement of Trustees, Responsibilities The Trustees (who are also the directors of Derwentside Hospice Care Foundation for the purposes of company law) are responsible for preparing the Trustees, Report and the financial statements in accordance with United Kingdom Accounting Standards (United Kingdom Generally-Accepted Accounting Practice) and applicable laws and regulations. Company law requires the trustees to prepare financial statements for each financlal year. Under company law the trustees must not approve the financial statements unle55 they are satisfied that they give a true and fair view of the state of affairs of the charitable company and of its incoming resources and application of resources, including its income and expenditure, for that period. In preparing these financial statements, the trustees are required to: select suitable accounting pollcies and apply them consistently observe the methods and principles in the Charities SORP make judgements and estimates that are reasonable and prudent state whether applicable UK Accounting Standards have been followed, subject to any material departures dlsclosed and explained in the financial statement; and prepare the financial statements on the 8oin8 concern basis unless It Is Inappropriate to presume that the charitable company will continue In business. The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the charitable company'5 transactions and disclose wlth reasonable accuracy at any time the financial position of the charitable company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Dlsclosure of Information to the audltor Each trustee has taken steps that they ought to have taken as a trustee to make themselves aware of any relevant audit information and to establish that the charity's auditor Is aware of that information. The trustees confirm that there is no relevant information that they know of and of which they know the auditor is unaware. Approved by the trustees of the charity on 12th November 2025 and signed on their behalf by: J Robinsoni- hair & Tr tee
Derwentside Hosplce Care Foundatlon Independent Auditor's Report to the members of Derwentslde Hospice Care Foundation s&w Oplnion We have audited the financial statements of Derwentside Hospice Care Foundation (the 'charltable company'} for the year ended 31 March 2025 which comprise the Statement of Financial Activities (Incorporating the Income and Expenditure Account), the Balance Sheet, the Statement of Cash Flows and the notes to the financial statements, including significant accounting policies. The financial reportin8 framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: give a true and falr view of the state of the charitable company's affairs as at 31 March 2025 and of its income and expenditure for the year then ended; have been properly prepared In accordance with United Klngdom Generally Accepted Accounting Practice,. and have been prepared In accordance with the requirements of the Companies Act 2006. Basls for opinlon We conducted our audit in accordance with International Standards on Auditing {UK} {ISAs {UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charitable company in accordance with the ethical requirements that are relevant to our audlt of the flnanclal statements in the UK, includin8 the FRC'S Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Concluslons relating to golng concern In auditlng the financlal statements, we have concluded that the trustees, use of the going concern basis of accounting in the preparation of the financial statements is appropriate. Based on the work we have performed, we have not identified any material uncertainties relating to events or conditlons that, individually or collectively, may cast significant doubt on the charitable
Derwentside Hospice Care Foundation Independent Auditor's Report to the members of Derwentside Hospice Care Foundation (cont.) company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. Our responslbilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report. Other Informatlon The other Information comprises the information included in the Annual Report, other than the financial statements and our auditorfs report thereon. The trustees are responsible for the other information contained within the Trustees, Annual Report & Accounts. Our opinion on the flnancial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance concluslon thereon. Our responsibility is to read the other informatlon and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this glves rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other informatlon, we are required to report that fact. We have nothing to report in this regard. Oplnlons on other matters prescribed by the Companle5 Act 2006 In our oplnion, based on the work undertaken in the course of the audit: the informatlon given in the Annual Report, which incorporates the Strategic Report and the Directors, Report prepared for the purpose of company law, for the financial year for which the financial statements are prepared is consistent with the financial statements; and the Strategic Report and the Directors, Report included within the Annual Report have been prepared in accordance with applicable legal requirements. Matter5 on whlch we are requlred to report by exception In the light of the knowledge and understanding of the charitable company and its envlronment obtained in the course of the audit. we have not identified material misstatements in the Strategic Report or the Directors, Report contained within the Annual Report.
Derwentside Hosplce Care Foundation Independent Auditor'5 Report to the members of Derwentslde Hospice Care Foundation (cont.) We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or the financial statements are not in agreement with the accounting records and returns; or certain disclosures of trustees, remuneration specified by law are not made,. or we have not received all the information and explanation5 we require for our audit; the trustees were not entitled to take advantage of the small companies, exemption from the requirement to prepare a strategic report. ResponsSbllltles of trustees As explalned more fully in the Statement of Trustees, Responsiblllties, the trustees {who are also directors of the charitable company for the purposes of company lawl are responsible for the preparation of the financial statements and for bein8 satisfied that they give a true and fair view, and for such internal control as the trustees determine Is necessary to enable the preparation of financial statements that are free from materlal misstatement, whether due to fraud or error. In preparlng the financlal statements, the trustees are responsible for assessln8 the charltable company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and uslng the going concern basis of accounting unless the trustees elther intend to liquldate the charitable company or to cease operations, or have no realistic alternatlve but to do so. Audltor's responsibllltle5 for the audlt of the financlal statements Our objectives are to obtaln reasonable assurance about whether the flnanclal statements as a whole are free from material misstatement, whether due to fraud or error, and to Issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decislons of users taken on the basis of these financial statements. Irregularities, Includin8 fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:
Derwentside Hospice Care Foundation Independent Auditor's Report to the members of Derwentside Hospice Care Foundatlon (cont.) We obtained a general understanding of the charitable company's legal and regulatory framework through enquiry of management concerning their understanding of relevant laws and regulations, the entity's policies and procedures regarding compliance, and how they identify, evaluate and account for litigation claims. We also drew on our existing understanding of the charitable company's industry and regulation. We understand that the charitable company complies with the framework through: Engaging external legal professionals as required and making changes to internal procedures and controls as necessary. Key managements close involvement in the day-to-day running of the business, meaning that any litigation or claims would come to their attention directlv. Monitoring of updates made by regulatory bodies. In the context of the audit, we considered those laws and regulations which determlne the form and content of the financial statements, which are central to the charitable company's ability to conduct its business, and where there is a risk that fallure to comply could result in material penalties. We Identlfied the following laws and regulations as being of signlficance in the context of the charitable company: The Companies Act 2006 and FRS 102 in respect of the preparatlon and presentation of the financlal staternents. The Charities Act 2011 and the Charities: Statement of Recommended Practice in respect of the preparation and presentation of the financial statements. The organisation is registered with the Care Quality Commission (CQCI and meets the fundamental standards of care, including safety, dignity, consent, and 8ood governance. We performed the followln8 speclflc procedures to galn evidence about compliance with the significant laws and regulations identified above: Obtaining an understanding of the internal controls establlshed to mltlgate risks related to fraud or non-compliance with laws and regulations; Reviewing the minutes of meeting5 of those charged with governance,. Reviewing any correspondence with the CQC in the period. The senior statutory auditor led a discussion with senior members of the engagement team regarding the susceptibility of the entitvs financial statements to material misstatement, including how fraud might occur. The areas identified in this discussion were.. Manipulation of the financial statements via fraudulent journal entries and management overriding controls. The incorrect recognition of legacy income resulting in the income being recognised in the incorrect accounting period. 2U
Derwentslde Hospice Care Foundation Independent Auditor's Report to the members of Derwentside Hospice Care Foundatlon (cont.) The incorrect recognition of grant and contract income resulting in the income being recognised in the incorrect accounting period. These areas were communicated to the other members of the engagement team not present at the discussion. The procedures we carried out to gain evidence in the above areas included: Performed data analytics on the general ledger against client specific criterla Assessing all of the legacy income recognised by management and determining whether the income had been recognised In accordance with the principles of the SORP. Obtained third party evidence for a sample of grants and contracts, to ensure that It was appropriate to recognise the income in the financial statements. A further description of our responsibilities is available on the Financial Reporting Council's website at: www.frc.or auditorsres onsibilities. This description forms part of our auditor's report. Use of our report This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them In an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. Craig Henderson Senior Statutory Auditor, for and on behalf of S&W Partners Audlt Limited Statutory Auditor Chartered Accountants 17 Queens Lane Newcastle upon Tyne NEI IRN
Derwentside Hospice Care Foundation Statement of Flnanclal Activities for year-ended 31 March 2025 Includin Income & Ex enditure Account and Statement of Total Reco nlsed Gains and Losses Unie5trScted funds Restrlcted funds Tolal 2025 Total 2024 Note Income and Endowments: Donations and legacies Charitable Activlties Other trading activities Unrealised galns on Investment Total Incorne Expenditure: RalsSng funds Charitable activitles Total Expendlture Net Income Unrealised galns on Investment Transfer between funds 789.225 6S4,837 517,370 82,820 872,045 654,837 517,370 432,16S 604.032 481,355 96,668 1,614,220 1,961,432 82,820 2,044,252 {349,1831 11,152,996) (1.502,179) 459,253 124,8441 32,820 467,229 1349,183) 150,000) (1,202,996) (50,0001 11,552,179) 32,820 492,073 124,8441 1341,337) (1,045,7311 (1,387,068) 227,152 {32,8201 467.229 227,IS2 Reconcillatlon of funds Total funds brought forward Total funds carrled forward 2.999,756 3,466,985 1,500,000 1.500,000 4,499,756 4,966,985 4,272,604 4,499,756 22 All the Charlty's activitles derlve from contlnulng operations during the above two perlods and Include all reco8nlsed galns and losses. Comparatlve perlod Unrestrlcted lunds Re5trlcted funds Total 2014 Note Income and Endowments., Donations and legacies Charltable Activities Other tradlng activities Investment income Total Income Expendlture.. Ralsing funds Charitable activities Total Expendlture Net Income Transfer between funds 353.481 604,032 481,355 96,668 1,535,536 78,684 432,165 604,032 481,355 96,668 1,614,220 78,684 1341,337) 1983.6181 11,324,955) 210,581 20.000 230.581 1341.337) (1.045,731) 11,387,068) 227,152 162,1131 {62,1131 16,571 {20,0001 {3,429) ZZ7,152 Reconclllation of funds Total funds brought forward Total funds carried forward 2.769.175 2,999,756 1.503.429 1,500,000 4,272.604 4,499,756 23
Derwentslde Hospice Care Foundation Balance Sheet for the year-ended 31 March 2025 2025 2024 Note Flxed assets Tangible assets Intangible assets Investments In subsidiaries Investments 13 14 15 16 3,183.Z69 760 3,189,787 997,941 4,181,971 822,785 4,012,573 Currenl assets Debtors Cash at bank and In hand 17 218,106 689.301 907,407 1122,3931 785,014 101.033 460,955 561,988 174,805) 487,183 Credltors.. Arnounts fallin8 due wlthln one year Net current assets 18 Net assets 4.966,985 4,499,756 Funds of the charity: Restricted funds Unrestrlcted Funds Designated Funds Total funds I,soo,000 3,197,099 269,886 4,966.985 1,500,000 2,650,538 349,218 4,499,756 23 The financial statements on pages 21 to 39 were approved by the trustees, and authorised for Issue on 12 November 2025, and signed on thelr behalf by J Robin Chair & Tru tee
Derwentside H05pice Care Foundation Statement of Cash Flows for the year-ended 31 March 2025 2025 2024 Note Cash Ilows from operatSnB actlvltles Cash generated from operations Adjustments to cash flows from non-cash Items Depreclation & amort153tion Loss on disposal of flxed assets Change in falr value of investments 467,229 227,152 13114 13 94,439 344 24,844 586,856 88,853 140 196,6681 219,477 Workln8 capltal adjustments {Increasel/decrease In debtors Increaselldecreasel In creditors Increaselldecreasel In deferred Income Net cash flows from operatlng actlvltles 17 18 18 1117,0731 34,177 93,719 20,126 517,371 353,812 Cash flows from Investlng actlvltles Purchase of tangible fixed assets Purchase of Intangible fixed assets Purchase of Investments Net cash f lows from Investing activltle5 Cash flows from flnanclng actlvltles Interest payable and similar charges Net Increase cash and cash equlvalents 13 14 188,075) 19501 200 000 1289,025) 182,2231 loo 000 1182,2231 228,346 153,589 Openlng cash and cash equlvalents at l Aprll Cash and cash equlvalents at 31 March 460 955 689,301 307 366 460,955 24 All the cash flows are derlved from contlnuln8 operatlons durln8 the above two periods.
Derwentslde Hosplce Care Foundation Notes to the Flnancial Statements for the year-ended 31 March 2025 Charity Status The Charity is Ilmited by guarantee. incorporated in England and Wales, and consequently does not have share capital. Each of the Trustees is liable to contribute an amount not exceeding £10 towards the assets of the Charity In the event of liquidation, The address of Its reglstered offlce Is Willow Burn H05pice, Howden Bank, Lanchester, Durham, DH7 OQS A¢countlng Pollcles Summary of slEnlflcant accountln8 pollcles and key accounllng estlmates The prlncipal accountlng policies applied In the preparatlon of these financlal statements are set out below. These pollcles have been conslstently applied to all the years presented, unless otherwlse stated. Statement of ¢ompllance The financial statements have been prepared in accordance with Accountin8 and Reporting by Charltles: Statement of Recomrnended Practice applicable to charities preparing thelr accounts In accordance with the Flnan¢ial Reporting standard appllcable In the UK and Republic of Ireland {FRS 102) (effective l January 20191- (Charities SORP {FRS 10211, the Flnanclal Reporting Standard applicable In the UK and Republlc of Ireland (FR5 102}. They also comply wlth the Companles Act 2006 and Charltles Act 2011. 8as15 of preparatlon Derwent5ide Hosplce Care Foundation meets the definition of a public benefit entity under FRS 102. Assets and Ilabllltles are Inltlally recognlsed at hlstorical cost or transactlon value unle55 Otherw15e stated in the relevant accounting policy notes, The presentation currency of the charitable company Is Sterling. Goln8 concern The Charlty meets its day-to-day worklng capital requirements throu8h cash generated from operations. The Charlty's forecasts and prolections for the next twelve months show that the ChaTItV should be able to contlnue In operational existence for that perlod, takin8 into account possible changes in their performance. Havlng con51dered the current cash forecast5 of the Charity the Trustees have a reasonable expectation that the company has adequate resources to continue in operational existence for a period of at least 12 months from the date of signing these financlal statements. The Charlty therefore continues to adopt the 8olng concern basi5 in preparing its financial statements,
Derwentside Hospice Care Foundation Notes to the Financlal Statements for the year-ended 31 March 2025 (contlnued) Accountlng pollcles (contlnued) Estimation uncertalnty and judgements The preparation of the financial statement5 requires management to make judgements. estimates and assumptions that affect the amounts reported. These estimates and Judgements are contlnually reviewed and are based on experience and other factors, includlng expectations of future events that are believed to be reasonable under the clrcumstances. The judgements lapart from those involving estimations) that management has made in the process of applying the entity's accountlng policies and that have the mosl si8nificant effect on the amount5 recognised In the financial statements are as follows., Assessing Indicators of impalrment In assessing whether there have been any indlcators of impairment of assets, the trustees have considered both external and internal sources of informatlon such as market conditions and experlence of recoverability. Whilst the property remain5 in the financial statements at its written down historic cost (some £3.17m) the trustees recognlse that this is on the basls of justifying its value in use, which is likely to exceed the net recoverable value In the event that the Charity was not a 8oin8 concern and needed to sell the propertv. Accountln8 estlmate5 and a55umptions are made concernlng the future and, by their nature, will rarely equal the related actual outcome. The key assumptlons and other sources of estimation uncertainty that have a 51gnificant rlsk of causlng a mater131 adjustment to the carfylng amount of assets and Ilabilities within the next financial year are as follows: Depreciatlon is projected to write off the cost of an asset, less its residual value, over Its estimated useful economic Ilfe, Rates used to project usef ul economic life are detailed in the depreciation accounting policy. Income and endowments All Income Is reco8nlsed once the Charity has entltlement to the Income, It Is probable that the income wlll be recelved, and the amount of the Income recelvable can be measured rellably. Donatlons and legtscles Donations are reco8n15ed when the Charlty has been notlfled In wrltlng of both the amount and settlement date. In the event that a donation is sublect to conditions that require a level of performance by the Charlty before the Charlty Is entitled to the funds, the income is deferred and not recognlsed until either those conditions are fully met, or the fulfilment of those conditlon5 is wholly within the control of the Charity and it Is probable that these conditions will be fulfilled In the reporting period. Legacy gifts are recognised on a case-by-case basis following the grant of probate when the admlnlstrator/executor for the estate has communicated in writing both the amount and settlement date. In the event thal the gift Is In the form of an asset other than cash or a financial asset traded on a recognised stock exchange, recognition is subject to the value of the gift being reliably measurable with a degree of reasonable accuracy and the title to the asset having been transferred to the Charltv. Grants retelvable Granls are recogn15ed when the Charity ha5 an entitlement to the funds and any conditlons linked to the grant5 have been met. Where performance conditions are attached to the grant and are yet to be met. the income is recognised as a Ilablllty and included on the balance Sheet as deferred income to be released.
Derwentside Hospice Care Foundation Notes to the Financial Statements for the year-ended 31 March 2025 (continued) Accountlng pollcles (contlnued) Deferred income Deferred income represents amounts recelved for future periods and is released to Incoming resources in the period for which, it h35 been received. Such income 15 only deferred when.. the donor Specifies that the grant or donation must only be used in future accounting perlods; or the donor has imposed performance condition5 whlch must be met before the Charity has unconditional entitlement. Expenditure All expendlture Is reco8nised once there 15 a legal or constructive obligation to that expenditure. it is probable settlement is required and the amount can be measured reliably. All costs are allocated to the applicable expenditure heading that aggregate similar cost5 to that cate8ory. Where cosls cannot be directly attributed to particular headlngs they have been allocated on a basis consistent wlth the use of resources. with central staff costs allocated on the basis of time spent, and depreclation charges allocated on the portion of the asset's use. Other Support costs are allocated based on the spread of staff costs. Rolslngfund5 These are costs Incurred In attractlng voluntary Income, the management of investrnent5 and those incurred In tradlng actlvlties that ralse funds. Charltable q¢tlvltle5 Charltable expenditure comprises those costs incurred by the Charity in the delivery of Its actlvltles and servlces for Its beneflciarles. It includes both cost5 that can be allocated directly to such actlvities and those costs of an Indlrect nature necessary to support them. Support costs Support Costs are those functions that assist the work of the Charity but do not directly undertake charitable activitles. Support costs Include back office costs. finance. personnel, payroll and 8overnance costs which support the Charity's actlvitles. These costs, whlch have not been dlrectly apportloned, have been allocated between cost of ralsin8 funds and expendlture on charltable activities. The bases on whlch support Costs have been allocated are set out In the relevant note to the financlal statements. Taxatlon The Charlty Is consldered to pass the tests set out in Paragraph I Sthedule 6 of the Finance Act 2010 and therefore It meets the deflnltlon of a charitable company for UK corporation tax purposes. Accordlngly, the Charity is potentially exempt from taxation In respect of income or capital 8ains recelved within categories covered by Chapter 3 Part 11 of the Corporatlon Tax Act 2010 or Section 256 of the Taxation of Chargeable Galns Act 1992, to the extent that such Income or gains are applied excluslvely to charitable purposes. ronglble Alxed assets Individual fixed a5setS C05ting £500 or more are Initlally recorded at cost.
Derwentslde Hospice Care Foundation Notes to the Flnancial Statements for the year-ended 31 March 2025 (continued) Accounting pollcles Icontlnued) Depreciation and amortlsatlon Depreciation Is provlded on tangible fixed assets in order to write off the cost or valuation, less any estimated residual value, over thelr expected useful economlc Ilfe as follows: Asset class Freehold land & buildings Plant & machinery Computer equlpment Fixtures, fittin8s and equlpment {non-medicall Fixtures, fittings and equlpment Imedlcall Intanglble assets Depreclatlon method and rate 2% straight line IO% straight line 50% straight line 20% strai8ht line 33% straight Ilne 20% stralght line A full year's depreclatlon Is charged in the year an asset Is purchased. Trade debtors Trade debtors are amounts due from customers for merchandlse sold or 5ervlces performed In the ordlnary course of buslness. Trade debtors are recogn15ed inltially at the transactlon prlce. They are subsequently measured at amortlsed cost uslnE the effectlve Interest method, less provision for impalrment. A provlslon for the irnpairment of trade debtors 15 establlshed when there is objective evidence that the Charlty will not be able to collect all amounts due accordlng to the orlglnal term5 of the recelvables. Cash und cush equlvalents Cash and cash equlvalents comprlse cash on hand and Call deposits, and other short-term hlghly liquid investments that are readily convertlble to a known amount of cash and are subject to an insignificant risk of change in value. Trade credltors Trade creditors are obllgatlon5 to pay for goods or servlces that have been acquired in the ordlnary course of buslness from suppllers. Accounts payable are classified as current liabilities If the Charity does not have an unconditional right, at the end of the reportlng period, to defer Settlement of the credltor for at least twelve months alter the reportlng date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current Ilabllltles. Trade creditors are recognlsed initially at the transactlon prlce and subsequently measured at amortised cost uslng the effectlve Interest method. Fund structure Unrestricted income funds are general funds that are available for use at the Trustees, dlscretion in furtherance of the objectlves of the Charity. Designated funds are unrestricted funds set aslde for Specific purposes at the discretion of the Trustees. Restricted Income funds are those donated for use in a particular area or for specific purposes, the use of which is restricted to that area or purpose. Penslon5 und other post-retlrement obllgotion5 All ellgible employees are automatically enrolled Into a workplace pension scheme provided by Derwentside Hospice Care Foundation. Some clinical staff are members of the NHS pension scherne. Contributions are charged to the income and expenditure account as they become payable.
Derwentside Hospice Care Foundation Notes to the Financial Statements for the year-ended 31 March 2025 (continued) Accountlng pollcle5 (continued) Investments Investments In subsidiaries and associates are measured at cost less impairment. Income from donatlons and legacle5 Unfestrlcted funds General Restrlcted funds Total Total 2025 2024 Donations Legacles Gift Ald reclalmed Grant5 Re8ular 8lvlng 144,637 584.268 26,960 19,115 14,245 144,637 584,268 26,960 101,935 14,245 133,021 120,387 36,007 130,184 12,566 82,820 789,225 82,820 872,045 432,165 Income from charltable actlvltles Total 2025 Total 2024 NHS contract Additional hospice Income 606,559 48,278 6S4,837 580,438 23,594 604,032 Income from other tradlng actlvltles Total 2025 Total 2024 Shop income from sale of donated goods and servlces Other events income Café and merchandlse income Other income Interest recelved 267,087 133,298 94,399 9,030 13,556 517,370 248,244 131,396 94,265 4,684 2,766 481,355
Derwentside Hospice Care Foundation Notes to the Financlal Statements for the year-ended 31 March 2025 (contlnued) Unrealised gains on Investments Total Total 2025 2024 Unrealised galns on investments 124,844) 96,668 th A Charities Ethlcal Investment Fund portfollo account was opened with CCLA on 19 May 2022 wlth £600,000 being deposited into the investment portfolio. An addltional amount of £IOO.000 wa5 also deposited into the portfollo on 27 Ih October 2023. Further addltlonal amounts totalling £200,000 on 14 February 2025 were deposlted durlng the year end 31" March 2025. The movement on the Initlal Investment from the date of deposit to the balance at the year-end15 shown above. th Expendlture on ralslng funds Total Total 2025 2024 Staff costs Other costs 190,309 158,874 194,210 147,IZ7 341,337 349,183 Expendlture on ¢harltable actlvltles Unrestrlcted funds Restrlcted funds Total Total 2025 2024 Charitable actlvlty costs Staff costs Loss on dlsposal of flxed asset Support costs 263,736 646,122 344 242.794 1,152,996 263,736 696,122 344 242,794 1,202,996 226,834 602,253 50,000 216,644 1,045,731 50,000 3U
Derwentside Hosplce Care Foundatlon Notes to the Financial Statements for the year-ended 31 March 2025 (contlnued) Analys15 of support Costs Derwentslde Hospice Care Foundation allocates costs direct to activities as far as possible, then identifies the remaining costs of Its support functions. It then identifies those costs which relate to the governance functlon. Havlng identlfied it5 governance costs, the remalning support costs together with the governance c05t5 are apportioned between the key charitable activities undertaken in the year. Refer to the table below for the apportionment and analysis of support and governance costs. Support costs allocated to charltable actlvltles Governance costs Other sUPPOrt cosls Total Total 2025 2024 Staff costs Insurance IT cosls Professlonal costs Audit fee 146,683 25.460 28,675 32,976 146,683 25,460 28.675 32,976 9,000 242,794 141,749 24,710 29,475 12,210 8,500 216,644 9,000 9,000 233,794 Taxatlon The charity Is a reglslered charity and Is therefore exempt from corporate tax8tlon. io, Trustees, remuneratlon and expenses No trustees, nor any person5 connected with them, have received any remuneration from the charlty during the year. No trustees have recelved any reimbursed expenses from the charity during the year
Derwentside Hospice Care Foundation Note5 to the Financial Statements for the year-ended 31 March 20251continued) ii. Staff costs The aggregate payroll ¢05ts were as follows: Total Total 2024 2025 Staff costs durln8 the year were Wages and salarie5 Social 5ecurlty costs Pension costs 950,616 67,462 15,037 1,033,115 866,844 58,898 12,475 938,217 The monthly average number of persons (including senior management team) employed by the charity during the year was as follows: Total 2025 Total 2024 Management Other staff 47 45 5Z 50 The avera8e number of full-time equivalent employees included above Is 1712024.. 16}. Derwentslde Hosplce Care Foundation adopts a flexible working pollcy whlch enables employees to request changes to their contracted hours to facilitate their physical and mental well-belng to maintain a good workllife balance. No employee recelved emoluments of more than £60.000 during Ihe year12024- None). The total employee benefits of the key management personnel of the charity were £216,47712024 - £203,379). 12. Audltor's remuneratlon 2025 2024 Audit fee 10,000 8,500
Derwentside Hosplce Care Foundation Notes to the Flnancial Statements for the year-ended 31 March 2025 (continued) 13. Tanglble Ilxed assets Land and Furnlture and buildings equipment Total Cost At l April 2024 Addltlon5 Dlsposals At 31 March 2025 3,594,014 8,796 624,154 79.279 11,7201 701,713 4,218,168 88,075 11,7201 4,304,523 3,602,810 Depreclatlon At l April 2024 Charge for year Disposals At 31 March 2025 487,370 62.949 541,011 31,300 11,376) 570,935 1,028,381 94,249 11,3761 1,121,254 550,319 Net book value At 31 March 2025 At 31 March 2024 3,052,491 3.106.644 130,778 83,143 3,183,269 3,189,787 There Is a tlme-bound, legal charge over all buildlngs. fixtures and fittlng5 and flxed plant and rnachlnery that are sltuated on or form part of the freehold land and bulldin8s at Howden Bank, Lanchester, Durham which Is registered at the Land Re8lstry under Title Number DU328389 and each and every part thereof subject to the en¢umbrance5 refeTTed to In the registered tltle at any tlme,. the proceeds of the sale of any part of the Property and any other monles pald or payable in respect of or In connectlon with the Property, the benefit of any covenants for title 8iven, or entered into, by any predecessor In title of the Recipient In respect of the Property, and any monles paid or payable In respect of those covenants,. and all ri8hts under any licence, agreement for sale or agreement for lease in respect of the Property (see Note 201. 14. Intanglble flxed assets Trademark Total Cost At l Aprll 2024 Additions Dlsposals At 31 March 2025 950 950 950 950 Depreciation At l April 2024 Charge for year Disposals At 31 March 2025 190 190 190 190 Net book value At 31 March 2025 760 760
Derwentslde Hosplce Care Foundatlon Notes to the Financial Statements for the year-ended 31 March 2025 (contlnued) 15. Investment In subsidlary 2025 2024 Other Investments Hazelbrook 5peclallst Care Total C05t At l Aprll 2024 At 31 March 2025 Net book value At 31 March 202S At 31 March 2024 Hazelbrook Speclallst Care at Home Ltd IHSCH) Is a wholly owned subsidiary tradin8 company of Derwentslde Hosplce Care Foundation IIOO% ordinary shares). Haielbrook Specia11st Care at Home Ltd is a dormant entity and as such, consolldated accounts have not been prepared In 2025. 16. Investments 2025 2024 As at l Aprll 2024 Addltions Change in Markel Value A5 at 31 March 2025 822,785 200,000 124,8441 997,941 626,117 loo,000 96,668 822,785 17. Debtors 2025 2024 Trade debtors Other debtors Prepayments Accrued income VAT recoverable 37,064 125 41,982 IZ4,176 14,759 218,106 7,884 37,931 48,203 7,015 101,033 Included in accrued Income are legacy donations of £94,90012024.' £15,000) notified to us prior to the year end and due to be f eceived post year-end.
Derwentside Hospice Care Foundation Notes to the Financlal Statements for the year-ended 31 March 20251continued) 18. Credltors Z025 2024 Trade creditor5 Other taxation and social securSty Other creditors Accruals Deferred Income 56,473 17,818 3,696 27,040 17,366 122,393 10,962 18,027 5,694 36,167 3,955 74,805 Deferred Income at l April 2024 Resources deferred In the period Amount5 released from previous perlod5 Deferred Income at year end 3,955 17,366 13,9551 17,366 1,465 3,955 {1,4651 3,955 Other credltors include £49712024: £4971 of inter-company loan, owln8 to Hazelbrook Specialist Care at Home Limlted. Thls company Is currently dormant, and there are no Interest or repayment condltlons attached to thls sum. 19. Obll8atlon5 under lease contracts Operatlng lease commltments Total future minimum lease payments under non-cancellable operatlng leases are as follows: Land & bulldlngs Other 2025 2024 Wlthln one year Between one and flve year5 Over five years 28,542 106,000 14,042 148.584 1,592 2,921 30,134 108,921 14,042 153,097 41,304 112,555 55,042 208,901 4,513 20. Penslon and other schemes Deflned contrlbutlon penslon scheme The charlty operates a defined contribution pension scheme. The pension cost charge for the year represents contributlons payable by the charity to the scheme and amounted to £15,03712024 £12,475), Contrlbutions included in creditors totalling £3.19212024-. £5,195) were payable at the end of the perlod. 21. Contlngent Ilabllltles Included as a restricted reserve Is a grant recelved In 2019 of £1,500,000 from Michael McArdle. Until May 2039 the charlty has agreed to meet the conditions of the contract for receiving the grant. Should any of the conditions be breached, then the grant would be repayable. The repayment terms 5tlpulate that thls would be a full repayment of the grant in years one to eleven15ubject to any decrease in the overall fair value of the Helen McAidle Wingi if lower), with the repayment then reducing by IO% each subsequent year up to year twenty of the agreement.
Derwentside Hospice Care Foundatlon Notes to the Financial Statements for the year-ended 31 March 20251contlnued) 22. Analysls of net assets between lunds Uniestricted funds General Restrlcted funds Total funds Deslgnated Tanglble/lnt3ngible fixed assets Flxed asset investments Investment Net current assets Total net assets 1,684.029 1,500,000 3,184,029 997,941 515,128 3,197,099 997,941 785,014 4,966,985 269.886 Z69,886 I,soo.000 Tangible fixed assets shown between unrestricted and restricted funds are subject to a legal charge as detalled In the flxed asset note and note 22. Further det311s of the split between funds are 8lven in the contin8ent liabllltles note. The trustees only consider the flxed assets to be restricted due to the legal charge In place and have therefore capped the value allocated as restricted at the origlnal grant value awarded of £1.5 million. Comparatlve analysls Unrestrlcted funds General Restrlcted funds Total funds Desl8nated Tanglblelintanglble fixed assets FSxed asset Investments Investment Net current assets 1,689,787 1,500,000 3,189,787 822,785 137.965 2,650,538 822,785 487,183 4,499,756 349,218 349,218 Total net assets 1,500.000 Jb
Derwentside Hospice Care Foundation Note5 to the Financial Statements for the year-ended 31 March 2025 (continued) 23. Funds 8alance at l April 2024 Incoming resources Resource5 expended Transfers Balance at 31 March 2025 Unrestrlcled funds General fund Deslgnated funds Contin8ent Liabilltles Development Fund Total unrestricted funds 2,650,538 1.936,588 {1,422,847) 32,820 3,197,099 205,000 144,218 2,999,7S6 205,000 64,886 3,466,985 179,3321 {1,502,1791 1,936,588 32,820 Restrlcted funds Hospice UK Caplt31 Grants Programme 2024125 24,147 (24,1471 Julla & Hans Rauslng Trust so.000 Iso,0001 Co Durham Comrnunlty Fund 8,673 {8,6731 Mlchael McArdle 1,500,000 1,500,000 Total restricted funds 1,500,000 82,820 {50,0001 132,820) 1,500,000 Total funds 4,499,756 2,019.408 11,552, 1791 4,966,985 Transfers The transfer relates to amounts belng transferred out of the Hospice UK Capital Grants programme and the Co Durham Communlty Fund to unrestricted funds on the purchase of the assets, at which point the restrlctlon on these fund5 was Ilfted. Deslgnated Funds The contingent liability represents funds to cover adverse tradin8 conditions and increases In the cost of living. The development fund is monles set aside as agreed by the board with the intention of belng spent on future plans for the hosplce including service development, green initiatives to make the hospice even more eco-friendly and e55ential works to maintain the building.
Derwentslde Hospice Care Foundation Notes to the Financial Statements for the year-ended 31 March 2025 (continued) Restrlcted Funds H05plce UK Capital Grant5 Programme Thls grant was awarded to U5 to be spent on capital assets before the year-ended 31. March 2025 We were awarded £24,147 in this flrst phase which was f ully utilised during 202412025. Julla & Hans Rauslng Trust Julla & Hans Rausing Trust have awarded us £50,0000 during 202412025 towards the risln8 Costs due to sur8lng energy prlces and the Increases to the National Living Wage costs. Co Durham Communlty Fund They awarded us £8,673 towards the cost of upgrading our patlent's recliner chalrs. Mlchael McArdle A donatlon was made in 2019 of £1,450.000 (followin8 an earlier instalment of £50,000) to fund the bulldlng of the McArdle Wln8. The asset valuation Is reduced annually by the depreciation charge Incurred on the work5 and currently stands at £1,318,788 (total cost £1.533,4741. Following signature of grant agreernent5, the donation clawback remains restrlcted lup to a value of £l,S00,000,' see Note 201 for a total period of 20 years through to 31 May 2039 when the restrlctlon ends, after whlch tlme the remalnlng asset will be de-restricted and transferred to unrestricted reserves. J¥
Derwentside Hospice Care Foundation Notes to the Financial Statements for the year-ended 31 March 2025 {contlnued) Comp8ratlve analysis Balance at l Aprll 2023 Incoming resources Resources expended Transfer5 Balance at 31 March 2024 Unrestrlcted funds General fund Deslgnated funds Contingent Liabilitles Oevelopment Fund Total unrestricted funds 2,469,175 1,535,536 11.254,1731 (100,0001 2,650,538 205.000 95,000 2,769.175 205,000 144,218 2,999,756 170,7821 11,324,955) 120,0th) 20,000 1,535,536 Re5trlcted funds NHS INENCI & ICB Hospice UK Ire Carers) Hospice UK Solar Panels Julla & Hans Rausln8 Trust Co Durham Community Fund 3,429 13,4291 17,OB41 7,084 20,000 120,0001 so,000 (50,000) 1,600 (1,600) Mlchael McArdle 1,500,¢JOO 1,500,000 Total restrlcted funds 1.503.429 78,684 (62,113} 120,0001 1,500,000 Total funds 4,272,604 1,614,220 11.387.068) 4,499,756 Transfers Two transfers of funds have taken place durlng the year. The first transfer Is to transfer an amount from general unrestricted into designated. This transfer was to bring the total Development Fund up to the amount the Tru5tee5 currently belleve Is required to undertake the required developments to the hosplce in the short term. The other transfer relate5 to a transfer out of the Hosplce UK Solar Panels fund, with the balance bein8 transferred to Beneral unrestricted funds on the purchase of the solar panels, at whlch polnt the restriction on these funds was Ilfted. Desl8nated Funds The contingent liability represents funds to cover adverse trading conditlons and Increases in the cost of livin8. The development fund is monies set aside as a8reed by the board with the Intention of belng spent on future plans for the hospice Including service development, green initiatives to make the hospice even more eco-friendly and e55entlal works to malntain the building. 8y
Derwentside Hospice Care Foundation Notes to the Financial Statements for the year-ended 31 March 2025 (contlnued) 24. Analysls of movement In net funds At l Aprll 2024 At 31 March 2025 Cash flow Cash at bank and in hand Net funds 460,955 460,955 228,346 228,346 689,301 689,301 Comporntlve anulysls At l Aprll 2023 At 31 March 2024 Cash flow Cash al bank and in hand Net funds 307,366 307.366 153,589 153,589 460,955 460,955 2S. Aelated party transactlons There Is nothlng to report in respect of related party transactlons. IJ