## **ANNUAL REPORT AND ACCOUNTS FOR THE FINANCIAL YEAR TO 30 JUNE 2025**
## **CONTENTS**
|**OVERVIEW FROM THE CHAIR**|**5**|
|---|---|
|**REPORT OF THE TRUSTEES**||
|**STRATEGIC REPORT OF THE TRUSTEES**|**7**|
|Who we are and how we work|8|
|Strategy update: our strategy achievements - the headlines|8|
|The situation in the UK for children and young people|13|
|Our impact for children and young people - in numbers|16|
|How we raised our funds - in numbers|18|
|How we spent our money - in numbers|20|
|**PROGRESS AGAINST OUR PRIORITIES**|**21**|
|Broadening and Deepening Our Impact|24|
|Creatively Engaging Our Supporters and Audiences|32|
|Strategically Growing Our Income|35|
|Striving for Operational Excellence|38|
|**2025 ACCOUNTS**|**45**|
|Financial Review|48|
|Principal Risks and Uncertainties|51|
|Governance|55|
|Reference and Administrative Details|57|
|Statement of Trustees’ Responsibilities|58|
|Independent Auditors’ Report to the Trustees|59|
|Consolidated Statement of Financial Activities|62|
|Charity Statement of Financial Activities|63|
|Consolidated and Charity Balance Sheets|64|
|Consolidated Cash Flow Statement|65|
|Notes to the Accounts|66|
2025 Annual Report and Accounts **| 3**
4
## **OVERVIEW**
What an extraordinary year it has been. A year of continued transformation, determination, and a shared commitment to improving the lives of children and young people across the UK.
I am continually moved by the generosity of our supporters. The 2024/25 financial year was full of remarkable moments. Paddy McGuinness’s Radio 2 challenge captured hearts across the country, inspiring communities to cheer him on and donate. More than £10 million was raised through that effort alone, creating a legacy that will be felt for years.
Building on that spirit, our 2024 Appeal invited the nation to “Challenge Yourself” and “Roll with It” to help make life lighter for children and young people. From personal feats to community events, people across the UK came together to raise an outstanding £52.8 million over the year.
That generosity became impact. We awarded 720 grants totalling £37.9 million to grassroots projects where need is greatest. Every donation, large or small, helped spark positive change.
I want to thank our individual fundraisers and donors, whose support matters more than ever in a tough economic climate. My thanks also to our partners. Collaboration is central to our work, and this year partners including Asda, Greggs and McDonald’s helped us reach families and young adults through in-store fundraising, product campaigns and customer donations.
We know the challenges facing children and young people are significant and complex. That is why purposeful transformation sits at the heart of our plan. Over the past year we reshaped how we work so we can respond more effectively to the needs we see in communities every day. The urgency is clear. One in five children and young people are living with a probable mental health condition, and 31 percent of children in the UK are growing up in poverty. These realities strengthen our resolve.
In May 2025 we launched Pudsey’s Pause, a simple resource created with clinical psychologist Dr Julie Smith to support children’s emotional wellbeing through three easy steps: Pause, Spot, Share. It is a small but powerful example of how we combine evidence, creativity and partnership to help families build resilience.
As we look ahead, BBC Children in Need is entering a period of leadership transition. In November 2025, I had the privilege of being appointed Chair of Trustees, and I look forward to supporting the Board as we continue this important journey. I also want to recognise Simon Antrobus, who will step down as CEO at the end of December 2025 after nine years of dedicated leadership. Simon has guided the charity through a bold period of change and helped set the strategic direction we follow today. On behalf of the Trustees and the many children and young people whose lives have been improved during his tenure, thank you.
As we move into the months ahead, we do so with deep gratitude for our donors, partners, volunteers and communities, and for our exceptional staff whose passion and resilience inspire me every day.
We look to the future with optimism and purpose. Together we can continue to make life fairer, brighter and better for children and young people across the UK.
Thank you for standing with us.
## **James Fairclough Chair, BBC Children in Need**
2025 Annual Report and Accounts **| 5**
## **REPORT OF THE TRUSTEES**
The Trustees of BBC Children in Need (who are also the Directors for the purposes of the Companies Act 2006) are pleased to present this, their report and accounts for the period ended 30 June 2025 and incorporating the Strategic Report and the Directors’ Report required under the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013. The accounts have been prepared in accordance with the Statement of Recommended Practice - Charities SORP second edition (FRS 102) issued by the Charities Commission in October 2019, applicable Accounting Standards in the United Kingdom, requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006.
2025 Annual Report and Accounts **| 7**
## **STRATEGIC REPORT OF THE TRUSTEES**
## **WHO WE ARE AND HOW WE WORK**
## **Achievements and Performance**
BBC Children in Need believes that every child should have the opportunity to thrive and be the best they can be. For this to happen, we want every child to have someone they can turn to for help and support to overcome challenges they face. We aim to make sure there’s someone able to give food, clothes and beds to a child living without, someone qualified to talk to a child who is anxious, isolated or grieving, someone trained to mentor teenagers in communities facing inequality, violence or lack of opportunity and someone to be there for children living with serious illness or disability, or carrying a load that’s just too heavy to manage alone.
BBC Children in Need supports children in the communities where you live. We fund amazing people in family centres, community spaces, youth clubs and refuges, homeless shelters, hospices and helplines - in England, Scotland, Wales and Northern Ireland.
Only with your support can we continue to be there for hundreds of thousands of children when they need us most. Only with your support can we change their lives.
BBC Children in Need’s actions are based on the following principles:
## **1. PARTNERSHIP**
Maximising the collective difference we can make through working with others and funding causes ranging from the smallest of local charities through to national networks.
## **2. LEADERSHIP**
Using our platform and storytelling, our convening power and our partnerships to highlight and address the key challenges faced by children and young people.
## **3. INVOLVEMENT**
Engaging children and young people as active participants in our work, acting on their input and amplifying their voices.
## **4. INCLUSION**
Making equity and inclusion fundamental to our work and recognising the potential in every child and young person - enabling them to feel safe, happy, secure and able to thrive.
## **5. INSIGHT**
Using insight, evidence and learning across the Charity to understand the aspirations, barriers and challenges faced by children and young people.
## **STRATEGY UPDATE: OUR STRATEGY ACHIEVEMENTS HEADLINES**
Over the last year, we have continued to work towards our charitable ambition through the delivery of our strategy. More than ever before, we’ve routed our decision making and activity around our ambition for all children and young people to have the opportunity to thrive and be the best they can be. We have also continued to promote our ambition: to create positive and lasting change across the UK for the children and young people who need us most.
We have made progress across all four of our strategic priorities to support the delivery of our five-year strategy, which serves to ensure maximum impact for the UK’s children and young people. It also underpins the delivery of the effective engagement of our audiences and supporters.
We continue to closely track and monitor our progress. The key highlights for 2024/25 are as follows:
## **Broadening and Deepening Our Impact**
- Further developing and embedding our Impact Framework to guide our impact work, with a focus on Poverty, Mental Health, Family Challenges and Equality
- Delivering on our commitment to fund grassroots organisations in local communities
- Refining and improving our grant and eligibility processes to better balance our available funding with the volume of applications we receive
- Introducing an approach to “GrantsPlus”: support for applicants and grantees beyond the grant award itself
- Exploring the link between Poverty and Mental Health through research, convening the sector and building our response
- Working closely with partners like McDonalds on a revised approach to Youth Work
- Holding a conference to convene charities and funders around the link between neurodiversity and mental health issues
- Developing and fundraising for an ambitious national programme focussed on tackling the impact of child poverty
## **Creatively Engaging Our Supporters and Audiences**
- Reaching new audiences and supporters through our approach to social media, partnerships and working with high profile individuals
**We captured hearts and inspired the generosity of people across the UK through Paddy’s Ultra Endurance Challenge, raising over £10M**
**8 |** BBC Children in Need
- Bringing the Nation together through the integration of our activities across our annual campaign, including linkups between some of the BBC’s biggest brands, such as Radio 2 and The One Show - along with our work in communities with schools and corporate partners, culminating in one big celebration on our Night of TV
- Emphasising the importance of Positive Relationships through the Heaviest Backpack campaign during Mental Health Awareness Week and the launch of our first parent facing tool to support children’s mental health – Pudsey’s Pause.
## **Strategically Growing Our Income**
- Capturing hearts and attracting the generosity of people across the UK by partnering with BBC Radio 2 and _Paddy McGuinness’s Ultra Endurance Cycle Challenge_ , which raised over £10m
- Building on the strong support of the public, inviting them to “Challenge Themselves” in schools and communities across the UK and partnering with big brands such as Gladiators, Bluey and Peppa Pig to reach and engage more families
- Engaging and inspiring our audience and supporters to commit to ongoing donations. By the end of the year, 2,600 supporters had signed up to committed giving
- Growing income from corporate partners and building new relationships with businesses.
**We are proud to currently support projects in 88% of UK local authority areas**
2025 Annual Report and Accounts **| 9**
## **Striving for Operational Excellence**
- Continued delivery of our Equity, Diversity and Inclusion strategy with a focus on Our People, Our Funding and Grant Making, Our Fundraising and Our Storytelling
- Developing key pieces of insight to guide our activity - learning directly from our supporters, our grantees and the children and young people they support, while working in partnership with children’s sector experts to explore the power of Positive Relationships
- Undertaking a major change to our grant making system, which will greatly improve the user experience for applicants and grantees as well as our internal staff
- Implementing recommendations from a governance review undertaken during 2024, which included making sure our policies, due diligence and ongoing monitoring relating to grant making are robust and that all decisions regarding new and existing grants are fully documented in accordance with the Charity Commission guidance
- Recognising that our reputation and the public trust in BBC Children in Need are fundamental to our future success. The Charity has a range of policies and processes in place that promote corporate responsibility and ethical behaviour, including Donor Acceptance and Community Fundraising polices as well as Procurement and Purchasing Policies
- Evolving our approach to the ways in which we operate - as well as the methods we use to evaluate and process funding applications and payments - to facilitate the new strategy
## **Strategic Transformation for a Stronger Future**
This year, BBC Children in Need embarked on a significant journey of transformation to ensure we are best positioned to meet the evolving needs of children and young people across the UK. We have recognised that we are facing a number of critical challenges that demanding a proactive and strategic response:
- **Rising demand for support** , as the issues affecting children and young people continue to grow in scale and complexity
**This work has laid the foundation for a more agile, focused and impactdriven charity - one that is equipped to do more for the children and young people who need us most.**
- **Changing media consumption habits** , with audiences engaging across a wider range of platforms and expecting more personalised, accessible content
- **Increasing financial pressures on the public** , which are affecting charitable giving and driving expectations for greater transparency and demonstrable impact
If we do not respond to these challenges and opportunities, we risk both our income and our ability to deliver the meaningful change we want to see for children.
To future-proof the organisation, we have undertaken a comprehensive review of our operations, priorities and organisational design. Our focus has been on identifying where we can deliver the greatest impact, while remaining firmly within our financial model. This has involved:
- Prioritising key activities that align with our mission and strategic goals
- Assessing where investment will yield the most meaningful outcomes
- Ensuring our resources are aligned to deliver on our ambitions
We also reviewed our organisational structure to ensure we have the right capabilities, focus and skills to deliver our future plans. This work has laid the foundation for a more agile, focused and impact-driven charity – one that is equipped to do more for the children and young people who need us most.
This transformation is not a one-off initiative, but a strategic shift that will continue into the new financial year. We are committed to implementing these changes thoughtfully and sustainably, ensuring that every decision strengthens our ability to support children and young people to thrive.
2025 Annual Report and Accounts **| 11**
## **Trustees’ duty to promote the success of the Charity: Section 172 statement**
The Trustees have approved this Strategic Report, which provides an analysis of the Charity’s performance and how it has achieved its charitable purpose while ensuring its continued viability. The report explains the Charity’s financial position, delivers an insight into its objectives and sets out the risks and uncertainties it faces.
The Trustees have considered the following matters in order to meet the requirements of section 172 of the Companies Act:
## **Looking to the Future**
Three years into the delivery of our 2022-2027 strategy, we are making good progress and continue to align efforts against our four strategic priorities of Broadening and Deepening Our Impact, Creatively Engaging with Audiences and Supporters, Strategically Growing Our Income and Striving for Operational Excellence. These now represent the cornerstones of our strategic planning and reporting and are aligned to our charitable ambition.
We have plans in place to continue progressing our strategy so that it fully supports our charitable ambition. These plans take into account changing external conditions as well as new ways to connect with opportunity audiences and respond to the challenges that children and young people currently face - and will face in the future.
**Our reputation - and public trust in BBC Children in Need - are fundamental to our future success**
## **The Need to Act Fairly**
The launch of our Equity, Diversity and Inclusion strategy in 2023 (see page 41) has a specific focus on Our People (see page 40), Our Funding and Grant Making, Our Fundraising and Our Storytelling. Quarterly reviews of progress are reported to the Executive Team, cementing our ambition across these areas. Our grant making strategy ensures that we support children from all four UK nations, always acting where the need is greatest.
## **Our Business Relationships**
Supported by our fantastic team and Trustees, we will continue to make a difference in the lives of the UK’s children and young people.
## **Working Within Our Employees’ Interests**
Our employees are vital to BBC Children in Need and, for this reason, we strive to be a fully inclusive organisation. To achieve this, we have renewed our focus on building a strong and supportive culture through the Pudsey Way – a pledge we have designed to define the elements of our culture that we want to reinforce. Our Trustees are also committed to making tangible steps to improve Equity, Diversity and Inclusion (EDI).
It is vital that we engage with our Charity’s main stakeholder groups in order to change children’s lives right across the UK. These groups include grantee organisations (set out on pages 20 to 31), donors, fundraisers, corporate partners, the BBC and others within the sector (pages 32 to 37).
## **Our Impact on the Environment and the Community**
Children and young people are increasingly vocal about their hopes and expectations for the future. BBC Children in Need is committed to reducing our impact on the environment and using our voice to highlight the importance of taking action.
**We have renewed our focus on building a strong and supportive culture through the Pudsey Way**
Many of the children and young people we support are likely to be those most affected by the climate crisis. We recognise that reducing our impact on the environment and having a clear approach as to how we play our part in tackling the climate crisis is key to our mission.
The public’s trust in BBC Children in Need is fundamental to our future success, as is our reputation as a charity. To that end, we have a range of processes in place that promote corporate responsibility and ethical behaviour, including policies that control Donor Acceptance, Community Fundraising, Procurement and Purchasing. We continue to explore opportunities to strengthen responsible practice including the way our Board operates.
**12 |** BBC Children in Need
## **THE SITUATION IN THE UK FOR CHILDREN AND YOUNG PEOPLE**
The past few years have seen a multitude of challenges affecting children, young people and their families - including the continued shadow of the pandemic and its longer term impact on social and educational development and the ongoing cost-of-living challenges, alongside widening social division and inequity. For children and young people already living with significant difficulties and obstacles, these issues continue to add complexity, hardship and worry, compounding their existing challenges.
Social inequality is growing - and the situation for many children and young people is now critical. Poverty creates disparity and increasingly limits children and young people’s lives, damaging their physical and emotional health, restricting their opportunities and curbing their future potential. All children and young people should have access to the basic resources they need to make progress, but far too many are going without.
The UK is now the European country with the largest gap in average life satisfaction between the young people living with the highest and lowest levels of need[1] . Many children and young people are marginalised, isolated or affected by discrimination, leaving them feeling unwelcome, unsafe and misunderstood.
Children and young people’s mental health is a major concern, with rising numbers requiring support with issues including anxiety and depression. However, there are significant gaps in the support available, and this affects their ability to access the help they need. Many are carrying a heavy load, weighed down by responsibilities, pressures and difficult situations that make their lives increasingly complex and difficult. They need our support now more than ever.
2025 Annual Report and Accounts **| 13**
## **CURRENT STATISTICS**
**There are an estimated 14,403,544 children and young people aged under 18 in the UK.[2]**
**Mental Health**
Around **1 in 5** children and young people have a probable mental health condition[3]
Roughly **3 in 5** (62%) young people feel stressed - and **over half** (55%) feel anxious[4]
**Social Inequality**
More 15-year-olds are reporting low life satisfaction in the UK than anywhere else in Europe[5]
The UK is the European country with the **largest gap** in average life satisfaction between the 25% of 15 year olds with the lowest levels of need and the 25% with the highest levels of need[17]
It is estimated that **around 75%** of young people experiencing a mental health problem are either forced to wait so long for support that their condition gets worse, or are unable to access any treatment at all[6]
Children and young people with learning disabilities are **over four times** more likely to develop a mental health issue[18]
Almost 9 in 10 teachers have seen an increase in the prevalence of pupils’ mental health issues in the last year[7]
In the past year, **over half of young LGBTQ+ people** (58%) seriously considered attempting suicide[19]
**More than 500** children a day (1 every 3 minutes) in England are being referred to mental health services for anxiety. This is more than double the rate recorded prior to the pandemic[8] . In the last four years, psychiatrists and their teams have seen a **53% increase** in the number of children in mental health crisis requiring emergency support[9]
**49%** of children from global majority families are growing up in poverty - compared with 24% of children in White British families[20]
**44%** of all children living in poverty reside in a household where someone is disabled[21]
In the year ended March 2024, **70% of hate crimes** were racially motivated (98,799 offences)[22]
**14 |** BBC Children in Need
**Poverty**
In the UK, there are **4.5 million** children in relative poverty overall (31% of children)[10]
In some areas, **more than half** of children live in poverty[11]
Poverty is the most significant obstacle to happiness and wellbeing for children in England[12]
**7 in 10 children** affected by poverty are living in working families[13]
**2.7 million** children experienced food insecurity in June 2024[14]
**32% of children** have parents who want to take their family on a week-long holiday away from home but cannot afford to do so[15]
It is estimated that **more than one million children** in the UK don’t have a bed of their own[16]
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Family Related Challenges
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**More than 192,000 children** in England and Wales have parents who are currently in prison[23]
It is estimated that there are around **800,000 young carers** in the UK[24]
There are approximately **105,400** looked-after children (children who have been in the care of a local authority for more than 24 hours) in the UK[25]
It is estimated that over **800,000** children are affected by domestic abuse[26]
- 1 Children’s Society Good Childhood Report 2024 August 2024
2. United Nations, Department of Economic and Social Affairs, Population Division (2024)
3. NHS Digital Mental Health of Children and Young People in England, 2023 - wave 4 follow up to the 2017 survey Official statistics, Survey Nov 2023 *8 to 25 year olds in England
4. The Prince’s Trust NatWest Youth Index (2024)
5. Children’s Society Good Childhood Report 2024 August 2024
6. LGA Children and young people’s emotional wellbeing and mental health – facts and figures September 2023
7. National Education Union State of education : Mental health of young people April 2024
8. Guardian NHS referrals for anxiety more than double pre-Covid levels August 2024 9. RCPSYCH Analysis from the Royal College of Psychiatrists reveals a significant rise in the number of children and young people under 18 needing emergency care from mental health services (CAMHS) February 2024
10. DWP Households below average income for financial years ending 1995 to 2024 (March 2025)
11. House of Commons Research Briefing Poverty in the UK Statistics (April 2024)
12. University of York Children’s Worlds National Report: England (July 2020)
13. DWP Households below average income: for financial years ending 1995 to 2023 (March 2024)
14. Food Foundation Food Insecurity Tracking Round 15 July 2024
15. House of Commons Research Briefing Poverty in the UK: Statistics (April 2024)
16. Barnardo’s No Crib for a Bed September 2023 YouGov Survey
17. Children’s Society Good Childhood Report 2024 August 2024
18. LGA Children and young people’s mental health: An independent review into policy success and challenges over the last decade June 2023
19. The Trevor Project 2024 UK Survey on the Mental Health of LGBTQ+ Young People
20. CPAG – Poverty: facts and figures | CPAG
21. DWP Households below average income: for financial years ending 1995 to 2023 (March 2024)
22. Home Office Hate crime, England and Wales, year ending March 2024 - GOV.UK (October 2024)
23. MOJ Official Statistics in Development: Estimates of children with a parent in prison July 2024
24. Childrens Society citing BBC; Carers Trust; Census; School Census
25. NSPCC Children in care: statistics briefing January 2024
26. Barnardos Our influencing work on domestic abuse Foundations Over 827,000 children estimated to have experienced domestic abuse this year, with concerns of increase at Christmas underscoring urgent need for stronger support December 2023
2025 Annual Report and Accounts **| 15**
**OUR IMPACT FOR CHILDREN AND YOUNG PEOPLE - IN NUMBERS**
## **Throughout 2024/25, we supported over 363,000 children and young people**
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UK reach (nearest 1k)
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41k Scotland
72k North England
Northern
22k
Ireland
Wales 21k
61k Central England
77k London
South East
South and West 46k
23k England
England
363k UK wide
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**Targeting children and young people who are experiencing a range of challenges**
**Area disadvantage** _Challenges arising from a lack of resources in a particular location_ **116k** children and young people
## **Family-related challenges**
_Issues that stem from home lives that are less stable – including domestic abuse, family breakdown and separation_
**44k** children and young people
## **Disability**
_Challenges that accompany long-term or life-changing medical conditions_ **50k** children and young people
**Household poverty and housing difficulties** _The complex issues facing those affected by poverty or insecure housing_ **22k** children and young people (If we include Emergency Essentials, this figure is **45k** )
## **Marginalised identities or nationalities**
_The impact of inequity and discrimination related to ethnicity, disability, gender, gender identity and sexual identity_ **30k** children and young people
## **Mental health and emotional wellbeing**
_Challenges resulting from poor mental health and lack of access to mental health care_ **30k** children and young people
## **Personal harm**
_The risk of children and young people being drawn into danger or violence_ **14k** children and young people
**Behaviour or education engagement issues** _Obstacles affecting children and young people living with behavioural or learning difficulties, or who struggle to access suitable educational support_ **10k** children and young peop _le_
## **Physical wellbeing**
_Challenges resulting from a lack of accessible exercise opportunities, safe outdoor activities and nutrition_ **25k** children and young people
**16 |** BBC Children in Need
**Through the projects we fund, children and young people...**
**116,000 have stronger self-belief**
**117,000 enjoy better relationships**
**48,000 are more empowered**
**38,000 have better physical wellbeing**
**80,000 have increased essential skills**
**124,000 40,000 have stronger are safer emotional wellbeing**
Note: children and young people (CYP) supported by BBC Children in Need may experience more than one positive outcome.
2025 Annual Report and Accounts **| 17**
## **HOW WE RAISED OUR FUNDS - IN NUMBERS**
Income available for charity activity net of gifts in kind totals £62.3m. Of this, £52.8m is from donations and charitable activities excluding Gift Aid.
**----- Start of picture text -----**
2024/25
£21.8m
(35%) 2023/24
£18.7m
(32%)
£14m
(24%)
£12.3m
(20%)
£9.0m £9.2m
(15%) (16%)
£5.4m
£5.3m
(9%) £4.8m £4.7m £4.8m
(10%) £4.3m (8%) (8%) (8%)
(7%) £3.5m
(6%)
£2.2m
(4%)
Donations Fundraising Corporate Grant BBC Gift Aid Investments
and Legacies Partnerships Partnerships Programmes and other
**----- End of picture text -----**
## **Fundraising through the annual campaign:**
**----- Start of picture text -----**
Public fundraising
£2.9m 20%
Fundraising through
our annual campaign
Legacies
£3.2m 22%
**----- End of picture text -----**
**Donations** £5.4m 38%
**Schools** £3.0m 20%
**18 |** BBC Children in Need
## **BBC partners:**
**----- Start of picture text -----**
BBC Other
£2.7m 12%
Countryfile
£3.3m 15%
Appeal Show
£6.2m 28%
BBC Partners
Radio 2
£7.3m 34%
The One Show
Challenge Squad
£2.2m 10%
BBC Children in Need partners:
Other Corporate Partners
£1.4m 9%
Coinstar
£0.1m 1%
Asda
£3.7m 23%
Sir Tom Hunter
£3.0m 18%
Our Partners
McDonald’s
Grant Partnerships £1.1m 7%
£1.3m 8%
Greggs
£1.1m 7%
David Lloyd
£0.2m 1%
Post Office
Welcome Break £1.2m 7%
£0.1m 1%
Cineworld
£0.1m 1% Enterprise
£1.0m 6%
One Stop
£0.3m 2%
CarFest DFS
£1.2m 7% £0.6m 4%
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2025 Annual Report and Accounts **| 19**
## **HOW WE SPENT OUR MONEY – IN NUMBERS**
We spent £51.7m on charitable activity, net of gifts in kind.
**----- Start of picture text -----**
£32m £29.3m
(51%) (51%) 2024/25
2023/24
£7.8m
£7.1m
£6.3m £5.4m (13%) (12%)
(10%)
(9%)
£3.4m £3m £3m
£2.5m (6%) (5%) (5%)
(4%)
Responsive Partnership Emergency Costs of grant Cost of
programmes, programmes Essentials making and raising funds
net of unspent impact
grants
**----- End of picture text -----**
**----- Start of picture text -----**
20 | BBC Children in Need
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**Our funding:**
# **In the year ended 30th June 2025, we were able to award grants totalling £37.9m**
**This breaks down as follows:**
**£5.6m £32.3m across over across Emergency 668 Essentials and other partnership new grants programmes**
in our responsive programmes (this includes our Project and Core grants, Pudsey Next Steps, Big Sky programmes and some extensions to grants in our We Move programme)
**The new grants awarded take our total committed which breaks down as follows: funding* to £90m,**
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* the total value of active grants in our portfolio as at June 2025
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Big Sky grants Pudsey Next Steps
£0.7m (1%) (Project)
£2.6m (3%)
Partnership and
proactive grants Pudsey Next Steps
£13.8m (15%) (Core)
£1.8m (2%)
Main grants
£1.9m (2%)
Small grants
£0.8m (1%)
Project grants
£42m (47%)
Core grants
£26.4m (29%)
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2025 Annual Report and Accounts **| 21**
PROGRESS AGAINST
OUR PRIORITIES
**BROADENING AND DEEPENING OUR IMPACT**
## **Priorities:**
**Further develop and embed our Impact Framework in order to guide our impact work - with a focus on poverty, mental health, youth work, early years support and projects empowering Black children and young people**
**Grow opportunities to support and influence organisations beyond grant making**
**Refine and improve our grant and eligibility processes to better balance our available funding against the volume of applications we receive**
**Introduce an approach to “GrantsPlus”: support to applicants and grantees beyond the grant award itself**
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The reason How we
we’re here deliver change
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**Our Ambition** For all children and young people to have the opportunity to thrive and be the best they can be
**Direct Impact** Place based funding, national and other funding programmes
**Our Purpose** To create positive and lasting change across the UK for the children and young people who need us most
**Broader Impact** Communicating the challenges for CYP and influencing about what works
**Our Approach** By funding, enabling and advocating Positive Relationships in children’s lives
Enabling others who are supporting CYP through resources and information
**24 |** BBC Children in Need
organisations. Therefore, during the year, we continued to refine and clarify our funding focus, our priorities and the specific interventions we seek to support, embedding the Impact Framework which now guides our investment decisions.
The value of our grant awards grew 4% year-on-year, awarding 720 grants totalling **£37.9m** . We have continued to build a more diverse portfolio, supporting smaller organisations and those that are new to us.
## **Refine and improve our grant and eligibility processes to better balance our available funding against the volume of applications we receive**
To support this, we reviewed many of our grant making policies and eligibility criteria. We remain a broad funder, but are now more focussed in our approach as a result of this work.
During the year, we received almost 2,000 applications to our responsive funding programmes. However, during the year 2024/25, we were only able to fund 1 in 7 of the applications. This results in a great deal of wasted time and ultimately leads to disappointment for many applicant
**----- Start of picture text -----**
During the year, we received almost 2,000 applications
to our responsive funding programmes. However, during
the year 2024/25, we were only able to fund 1 in 7 of the
applications. This results in a great deal of wasted time
and ultimately leads to disappointment for many applicant
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Preventing mental
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approach to alleviating
the impact of poverty
on children
Poverty
Reducing social
inequality for Black
children
Social
Inequality
Strengthening family
support for children in
their early years
Increasing access
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to high quality
Challenges
youth work in local
communities
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2025 Annual Report and Accounts **| 25**
## **Introduce an approach to “GrantsPlus”: support for applicants and grantees beyond the grant award itself**
In the year, we introduced GrantsPlus: a clearer approach to support for applicants and grantees beyond the main grant award itself. This featured new, regular communication to grantees with useful resources and information, a pilot programme offering capacity-building bursaries to applicants and grantees and an investment of £368k in to exit grants for organisations we had funded in excess of nine years, to support them during their transition away from our funding. Other features of this new approach include funding bursaries to support 1,000 youth work training qualifications.
This greater clarity and additional support continues to result in improved satisfaction expressed by applicants and grantees, as demonstrated in our 2025 survey. 70% of respondents agreed that BBC Children in Need is a transparent funder, while 79% stated that we have a positive impact in the sector - a significant increase from 65% in 2024.
As a children’s charity, we are committed to increasing the involvement of young people in the shaping and direction of our work (see the Operational Excellence section on page 3839 for more on this).
## **Grow opportunities to support and influence organisations beyond grant making**
During the year, we also focussed on amplifying the critical issues that impact children and young people in the UK. This included developing opportunities to bring charities together in order to work on potential solutions collectively. Over the summer, we convened funders in a series of webinars discussing the riots that took place across the UK during that period and, in particular, their impact on children.
We started to build a coalition of funders working to understand the scale and nature of the support required by young people in response. We have also been developing a national collaboration of funders that will focus on addressing the impact of child poverty.
In October 2024, through our We Move FWD programme, we hosted a conference titled ‘Nurturing Black Beginnings’ to learn from approaches to early years and maternal health support in Black communities. This highlighted disparities in outcomes as well as drawing attention to projects and good practice evidencing practical solutions.
Building on our convening power, we hosted a large conference in partnership with City University on the connection between neurodiversity and mental health issues experienced by children. Over 150 sector experts, youth workers, practitioners and academics gathered to discuss the evidence linking the two issues, examining causality and connection. This was the largest conference hosted by BBC Children in Need to date, and it was followed by the publication of a research paper, which has now been made publicly available to enable these conversations to continue. We are proud of our ability to shine a spotlight on these matters and to influence urgent discussions, which can in turn create a wider impact for children and young people.
The three target groups most represented across our funding are:
- Area disadvantage (challenges resulting from a lack of resources in a particular location)
- Mental health and emotional wellbeing
- Family challenges
Each of these – alongside social inequality – are areas of ongoing focus for the organisation. With almost 1 in 3 children and young people living in poverty and 1 in 5 with a probable mental health condition, we strive to support them in greater numbers, whether directly or indirectly.
The examples and case studies below showcase some of our impact work during the year through the lens of our Impact Framework, including the challenges facing children and young people and our areas of focus. They demonstrate the effect of BBC Children in Need on the lives of individual children and young people.
**26 |** BBC Children in Need
## **Poverty**
## **Poverty Case Study: Emergency Essentials**
The BBC Children in Need Emergency Essentials Programme supports children and young people who are facing exceptionally difficult circumstances. The programme provides grants for items that meet children’s most basic needs, such as a bed to sleep in, a cooker – so that they can have hot meals - clothing (in a crisis) and other critical items and services. The £3 million-peryear programme is delivered in partnership with Family Fund Business Services, the UK’s largest grant making charity for families living in crisis.
## **Family Challenges Case Study: Ladybird Development Group**
This project provides tailored support for disabled children aged 0 to 3 in Moray, Scotland. It helps early development, builds skills and confidence and provides more opportunities for fun activities. BBC Children in Need awarded a three-year grant of £54,821 to fund the salaries of three Child Practitioners and a Co-Manager for the project.
A Ladybird Development Group project worker told us: _“When Child A first started with us, his main means of communication was with smiles, or with vocalising when he was upset or cross. Due to the level of intense interaction he receives from his keyworker, he is now signing using British Sign Language during our welcome time song, goodbye song, for snacks and when choosing activities, etc. Mum has noticed a huge difference in his interaction and agrees what a difference this has made to his day._
_Child A has always been a sociable boy. However, he is now going over to his peers and initiating play and interaction with them. Staff encourage him with this, and it really is so good to see how confident he is becoming. The activities that he chooses to do with his keyworker are assisting with his fine motor and gross motor skills and encouraging his development in many ways.”_
A Child A’s mum says _“The Ladybird Group values are all fantastic. We have zero requirements as they all go above and beyond for my son.”_
2025 Annual Report and Accounts **| 27**
## **Youth Work Case Studies: YMCA Kilmarnock and TRAIN**
We have invested £540,000 in total to deliver 1,000 youth work qualifications around the UK over three years. Supported by these grants, the National Youth Agency, Youth Scotland, Council for Wales Voluntary Youth Services and Youth Work Alliance NI will deliver the qualifications at various levels in each nation, creating a new generation of fully-equipped youth workers at no cost to them or their organisation.
From developing specific competencies - such as detached youth work - to supporting individuals taking their first step towards a career in this field, we are committed to celebrating the role youth workers can have in changing lives.
## **YMCA Kilmarnock**
YMCA Kilmarnock received a grant through our Pudsey Next Steps programme. They put forward staff who completed Youth Scotland’s “Ready for Youth Work” course thanks to this additional funding. Participants have said the following:
_“I am a trainee youth worker… I started volunteering at YMCA two years ago and then I got a job as a paid member of staff. When I was in school about two years ago, I got referred to start volunteering because I was quite shy and anxious - school wasn’t the best for me – so I got referred [to YMCA], started doing nights and then did my first summer. I’ve had so many youth workers in my time, like from school and stuff, and I always said if I could be half of what they are, that’s a win for me.”_
_“Before I went on the course, I felt as though I couldn’t really run a session by myself because we had other youth workers - and I felt as though I kept going to them... I feel my confidence in my youth work side has really skyrocketed!”_
## **TRAIN - Inspiring Young People**
A representative of TRAIN, a project that exists to
empower young people aged 10 to 18 in Didcot and Wallingford - especially those who are in need, disadvantaged or vulnerable - says the following:
_“Young Person A first engaged with our project around the age of 13. At that time, she was spending time with a peer group involved in antisocial behaviour, smoking and drinking. She lacked confidence and often made decisions based on wanting to fit in. She was also caught in an unhealthy relationship and didn’t trust many adults.”_
Young Person A recalls: _“I lacked confidence and I wanted to fit in.”_
The project worker continues: _“One of our youth workers approached Young Person A informally during a street session and gradually built a relationship. This consistent, low-pressure support was key. Over time, A started attending open-access sessions and received regular 1-to-1 support from our team.”_
Young Person A says: _“I remember a TRAIN youth worker sat with me while I was smoking one day and talked to me about healthier choices. They respected me and helped me without judging me.”_
Young Person A began to feel more positive about herself and her confidence steadily increased. She started making more independent decisions and became interested in youth work herself. At around 15, she began volunteering with TRAIN as a Young Leader.
She left school with a couple of GCSEs and found that traditional academic settings didn’t work well for her. However, she thrived in a practical, hands-on apprenticeship environment. With support from TRAIN, she completed her Level 3 Youth Work Apprenticeship, where she built strong relationships with young people and became a trusted part of the team.
The project worker says _“At 17, Young Person A applied for and was offered a role leading our youth work in a neighbouring town. She set up a youth centre from scratch and launched open-access sessions, an LGBTQ+ group and holiday activities. She now manages volunteers, works with local schools and stakeholders and leads on planning and safeguarding. Over 150 young people have already accessed the provisions she helped to develop.”_
Young Person A reflects: _“That began an ongoing connection, and the 1-to-1 support built my confidence and made me feel empowered. I began to make better choices and was even inspired by a career in youth work.”_
Now 18, she has started a degree-level youth work apprenticeship and continues to develop her practice while supporting other young people.
She says: _“I now get to help other young people in the way that TRAIN helped me when I was younger.”_
**28 |** BBC Children in Need
## **Mental Health Case Study: Big Sky**
## **Stronsay Drama Group**
Living on small islands presents unique challenges, including limited resources and seasonal constraints. Despite this, a local group has developed a dynamic programme to engage children aged 8–13 through drama and the arts across three island communities in Orkney.
Big Sky is linked to A Million & Me, BBC Children in Need’s strategic programme to provide support to children at an early stage, before mental health problems are established.
During the October holidays, a drama group will offer workshops in dance, voice, movement, costume and prop making, all contributing to a community pantomime planned for January. This hands-on approach allows young people to develop skills while giving back to their community.
Evidence suggests that children and young people living in remote areas across the UK share a number of similar experiences and challenges, including poor transport infrastructure, fewer local choices, alienation and isolation (especially for those with specific identities or characteristics) poor digital connectivity and a lack of opportunities to socialise with peers outside of school.
Working with children on each of the islands means that Charlotte, a dedicated dance teacher, has to travel 6 hours on 3 ferries, plus an overnight stay.
Children living in remote areas also face significant barriers to accessing support. These are disproportionately experienced by children living in poverty, children who have complex needs and children who face other risks of exclusion, alienation and marginalisation. Hidden poverty is also a major concern. To help address some of these challenges, Big Sky has provided grants of up to £5,000 targeting locally-based organisations that operate directly in and with isolated communities, supporting children aged 8-13 years.
Plans are underway for children from Sanday and Eday to join the pantomime performance in Stonsay. While transport means they have to rehearse separately, they will be coming together for a single ensemble piece - an ambitious and exciting first.
This Big Sky-funded initiative not only fosters creativity and connection but also combats isolation during the darkest winter months, demonstrating the power of community-led solutions in remote areas.
**30 |** BBC Children in Need
## **Social Inequality Case Study: Look Like Me Book Challenge**
BBC Children in Need provided Look Like Me Book Challenge with a grant of £37,000 over three years for ‘Raised Voices’. This is a groundbreaking youth-led initiative comprised of workshops, performances and an anthology showcasing the amazing work of young people aged 7 -18 years. It focuses on the topic of social action and its impact in contemporary society, incorporating a think tank for planning sessions, creative writing workshops and an open mic platform where young authors can speak up and share their stories. LLMBC reports that:
_“Child J engaged with LLMBC from a young age and presented as energetic, fun-loving and determined. As Child J became older, his neurodivergence was more apparent and there was a need for staff to engage with him that was tailored to his character and communication style._
_As a young Black boy who is neurodivergent Child J is navigating a challenging intersect - not always being seen as vulnerable - and LLMBC staff are fully cognisant that although he has made exceptional progress, this requires a person-centred, mindful approach; one that he (and many others) may not usually receive._
_During a workshop, Child J was displaying some challenging behaviour that was upsetting to other children present. Once the LLMBC team recognised that Child J responded well to one-to-one attention, we were able to pair him up with one of our Young Ambassadors and he was able to demonstrate what a talented wordsmith he is! Child J worked with one of the LLMBC facilitators and, after some time away from the main group, eventually expressed that he wanted to perform his written piece. Child J was given the golden opportunity to perform in front of the other young people and did a fantastic job. His performance was emotive and dynamic and was met with rapturous applause. It was a really memorable moment and one that clearly illustrated how a lack of spaces and opportunities to express oneself can prevent young people from feeling safe to express the best parts of themselves._
_At the LLMBC graduation ceremony, it was notable that Child J blended into the group much more readily. He had made friends and was much more relaxed and emotionally grounded. He performed on the night and, again, relished his moment – with even more confidence. Child J epitomises why LLMBC do what we do, why representation matters and why the initiative will continue to promote raising the voices of those who may otherwise go unheard.”_
2025 Annual Report and Accounts **| 31**
## **CREATIVELY ENGAGING OUR AUDIENCES**
## **Priorities:**
**Drive awareness and understanding of our national and local presence and highlight the work we do to fund grassroots organisations in local communities**
It helped more people to understand who we are and what we stand for, and to recognise the issues facing children and young people today. The campaign also introduced new and creative ways for people to take part and show their support.
This renewed approach was visible across the BBC—on TV, radio, iPlayer, Sounds, Children’s programming, News and in every part of the UK. By sharing consistent and emotionally powerful messages across all these platforms, we made it easier for audiences to engage with our work, wherever and however they tuned in.
**Use our insight and learning so that we can speak with confidence about the key issues for children and young people today**
**Develop innovative and exciting ways to get involved with BBC Children in Need**
**Build a strong brand to drive awareness and understanding of our national and local presence and highlight the work we do**
At the heart of the campaign was a Night of TV (NOTV) that brought the season together with a powerful focus on heightened emotion, strong local connections and the celebration of fundraisers - with children and young people at the centre. From Ethan’s performance during The Greatest Showman moment to Tanisha’s duet with Ella Henderson and a return of the official BBC Children in Need single with Girls Aloud’s _Stand by You_ , the show captured public imagination and delivered a deeply moving viewing experience.
We increased our local impact significantly - most notably through a 1,000-mile swimming challenge that united all 42 local BBC radio stations behind a single integrated activity, partnered with BBC Regional TV’s 6.30pm bulletins, - the most-watched regional news slots on BBC One.
## **Our brand**
**Over the past year, we’ve made strong progress in helping more people across the UK recognise and connect with our work. In the second quarter of 2025, BBC Children in Need was ranked first in YouGov’s “Most Famous Charities & Organisations” poll in the “Fame” category – up from seventh place the previous year. This reflects the growing public awareness and recognition of our charity and the impact we’re making.**
_Source: YouGov - The most famous charities & organisations (Q2 2025)_
According to data collected by Savanta, in the 12 months leading up to June 2025, BBC Children in Need ranked 4th among UK charities in terms of brand awareness and 13th in terms of brand love (the latter rising to 8th amongst our heartland young family audience).
Source: Savanta BrandVue
Radio 2 had a stellar year, bringing audiences and supporters together across the UK with Paddy Mc Guinness’s Ultra Endurance Cycle Challenge. Every show on the network dedicated the whole of Appeal week to following Paddy’s epic ride through villages, towns and cities - where hundreds of people turned up to cheer him on, along with celebrity guests including Sir Chris Hoy.
Our marketing campaign drove record reach and engagement, with over 100 million social impressions and a significant increase in website traffic to our fundraising tools and stories. We launched in mid-September 2024 with a single clear message – “make life lighter for children” – underpinned by the powerful “1 in 8” statistic (we are currently only able to fund 1 in every 8 projects that approach us for support. This later reduced to 1 in 7) and supported by out-of-home, digital and radio media. Our PR and communications activity secured over 200 pieces of media coverage across the campaign period, reinforcing our brand across national and regional platforms.
The following headline results reflect the strength of this brand-building activity:
- **4% increase in live TV viewing**
## **Driving awareness and understanding through our campaigns**
- **25% increase in donations during the Night of TV**
- **9.8% of audiences** being moved to donate to us, up from 7.5% the previous year
We continue to connect with people through our annual campaign with the BBC. In 2024/25, BBC Children in Need ran its most ambitious and wide-reaching campaign yet.
**32 |** BBC Children in Need
## **Establish our voice on the key issues for children and young people today**
Throughout the campaign, we championed the importance of Positive Relationships and local support in helping children and young people thrive, using emotionally compelling stories to connect with audiences.
throughout, from Shay’s story of progress to the nationwide Challenge Squad, which showcased children achieving extraordinary things with the right support. Our voice was also amplified across BBC daytime and factual programming including Morning Live, BBC Breakfast, Blue Peter and a new celebrity special of Interior Design Masters, spotlighting Sandwell Young Carers in Birmingham.
Our Appeal films featured lived experiences from across the UK, including a real-life Bedtime Story narrated by Gary Oldman and a revamped BBC Children in Need choir made up of children from funded projects performing Take That’s _Never Forget_ . These moments, broadcast across BBC One, iPlayer and social platforms, reinforced our voice on the importance of safe, nurturing connections in children’s lives. The voice of children and young people was front and centre
The campaign’s creative consistency and emotional clarity helped to shape greater understanding of the role we play in supporting children, while strengthening our position as a trusted, authoritative voice on the challenges they face.
2025 Annual Report and Accounts **| 33**
## **Develop innovative and exciting ways to get involved with BBC Children in Need**
We invested in new formats and channels to inspire the public to take action in creative, accessible and engaging ways.
Radio 2’s Paddy _McGuinness’s Ultra Endurance Cycle Challenge_ was a standout example, uniting regional audiences and supported by a heartfelt BBC One documentary, _Paddy: The Ride of My Life_ . It reached **3.2 million page views** on the BBC Live Updates page - the highest across the BBC on Appeal Day - and helped Radio 2 achieve its **highest weekly reach on BBC Sounds** this financial year.
To engage younger audiences, we delivered our most ambitious TikTok activation to date. Our Social Backstage Party, hosted by influencers Charley Marlow, Jack Remmington and Ash Holmes, featured live interviews, behind-the-scenes content and influencer-led challenges. Creator Sophie Tea raised over £2,000 by painting Pudsey live in 45 minutes, while the Spud Brothers raised more than £20,000 with their ‘Spudsey’ potato campaign. The backstage presenter content alone generated **nearly 700,000 views** , up from 250,000 the previous year.
Beyond broadcast and digital, we enhanced our supporter experience through in-person events, including CarFest, Radio 2 in the Park, a special Radio 2 Gala performance of Disney’s _The Lion King_ at London’s Lyceum Theatre and our partner lunch and Appeal Night in Salford.
Insight suggests the brand-building work undertaken earlier in the year - particularly across April and May 2024 - helped to increase audience consideration and support during the autumn campaign.
## _**Growing engagement with our mental health campaign – introducing Pudsey’s Pause**_
For May 2025, our focus was on building on the success of our previous year’s campaign, where we achieved a significant rise in people associating us with helping children with their mental health, a growth in awareness of our organisation and a larger number of young families now seeing us as a relevant organisation that is worth supporting.
This year, our focus was on cementing that awareness and understanding with a clear action that could be taken by young families to help protect the mental healthiness of the young children in their lives. Our work in this area continued to be informed by the insight from our A Million & Me programme that ran from 2019 to 2022, which determined that every day ordinary actions could have a huge impact on preventing the escalation of mental health issues in young people to the point of needing specialist support.
We re-ran the Heaviest Backpack campaign advertisement across our own channels and those belonging to the BBC. This was a short promotional video that introduced our 2024 “The Heaviest Backpack” campaign, using the metaphor of an oversized backpack to represent the mental and emotional challenges currently being carried by the UK’s children and young people. For those who had already seen it, it was a useful and timely reminder of the need for
this work. It also gave us another opportunity to reach new audiences with its powerful message.
With the help of clinical psychologist Dr Julie Smith, we also created a brand-new tool for young families, which we named Pudsey’s Pause _(Pudsey’s Pause - BBC Children in Need)_ . This resource helps parents teach their children how to manage their feelings in three simple steps – Pause, Spot and Share. It’s a simple, straightforward, regular mental health check-in that can help young children to build resilience and improve their wellbeing.
The tool was promoted through our own social media channels and those of our partners. It was also supported by famous faces participating in our new Pudsey’s Parent Club content (Pudsey’s Parent Club - BBC Children in Need), which featured Dr Julie in a conversation with parents Giovanna Fletcher, Katie Piper and JB Gill speaking about their own experiences of supporting the mental healthiness of their children.
## _**Campaign success**_
The social content on our channels reached almost 5 million people, surpassing our previous year’s campaigns. High quality collaborations with the BBC and a small amount of paid social promotion helped to boost the content, contributing to this result.
In addition, the social content posted by the celebrities and influencers with whom we worked had a combined potential reach of almost 28 million people.
35,000 people visited our Pudsey’s Pause page where the tool could be used - and around 4,500 people took further action by either watching the explainer video or saving the provided download. This exceeded our target.
We also undertook research to better understand how people felt about our campaign. We are seen as a trusted source to provide this type of tool, for which parents agreed there was a need. They liked that it was practical, simple, child-friendly and had Pudsey at its heart - and the celebrities we involved in the campaign really resonated with our audience.
**34 |** BBC Children in Need
## **STRATEGICALLY GROWING OUR INCOME**
## **Priorities:**
**Diversify our income**
This final figure of £57.4 million represents an increase of £5 million over the previous year (2024: £52.4 million), largely driven by a significant donation from Sir Tom Hunter, through the Hunter Foundation and the incredible success of _Paddy McGuinness’s Ultra Endurance Cycle Challenge_ with BBC Radio 2.
## **Diversify our income**
**Develop and establish regular, sustainable, year-round income**
**Drive growth with younger audiences whilst protecting existing core supporters**
This year, BBC Children in Need has continued to make strong progress in strengthening and diversifying its income base, with a clear focus on developing sustainable, yearround revenue and deepening engagement with both new and long-standing supporters.
Thanks to the incredible support of our fundraisers, donors and corporate partners, we were able to announce a total fundraising amount of £39.2 million on the night of the televised Appeal Show in November 2024. Following this, our total annual fundraising reached £57.4 million as supporters and partners continued to donate and contribute amounts collected as a result of their fundraising efforts.
Income growth this year has been underpinned by a more integrated approach to fundraising, with our mass participation activity, corporate partnerships, broadcast output and marketing efforts more closely aligned than ever before.
Our Appeal campaign performed strongly, with increased viewing figures, donations and conversion rates. The Appeal Show itself raised significantly more than the previous year and associated programming, such as The One Show’s _Challenge Squad_ and Radio 2’s _Paddy McGuinness’s Ultra Endurance Cycle Challenge_ , contributed substantial uplifts. Paddy’s challenge delivered a record fundraising total for a BBC on-air challenge, further boosted by strong public participation and partner engagement through the supporting campaign “ _How Will You Roll?_ ”.
_The Challenge Yourself_ campaign wrapper and _How Will You Roll?_ fundraising initiative resulted in higher-than-usual amounts being generated by each individual fundraiser, highlighting the potential of integrated, thematic fundraising models supported by compelling broadcast content.
Importantly, these efforts were supported by a renewed focus on sponsorship, which continues to deliver significantly higher average fundraising value than traditional giving methods.
2025 Annual Report and Accounts **| 35**
## **Establish sustainable, year-round income**
This year saw the Charity take important steps forward in building sustainable, recurring income. Our committed giving programme (also referred to as Regular Giving) delivered strong results during the Appeal period, supported by targeted marketing and, for the first time, an on-air callto-action during the Night of TV.
Partners such as Asda, Greggs and McDonald’s supported a nationwide presence for the Charity through in-store fundraising, product campaigns and customers rounding up payments at their tills. These efforts not only delivered record income levels but also helped to drive reach among families and young adults - audiences critical to our longterm strategy.
Between September and November, over 1,400 new monthly donors joined the committed giving programme.
Community fundraising and schools activity also showed encouraging signs of renewal. Both areas are now forecasting year-on-year growth, with a combined target of over £5.6 million. An enhanced emphasis on reward and recognition have been key to this, as these elements have revitalised engagement and built momentum for the future.
Notably, this year’s Gladiators Schools Special livestream reached almost 4,000 schools - a significant increase on the previous year - and helped to bring hundreds of thousands of children into the campaign in a joyful and meaningful way.
## **Drive growth with younger audiences whilst protecting existing core supporters**
New partnerships were also successfully secured, providing a strong platform for future growth. Brands across cycling, toy retail and confectionery sectors joined the campaign, offering new ways to engage consumers and connect them with our cause. Early integration of these partners into broadcast-led activity represents a key opportunity for continued income growth and deeper supporter engagement.
Our strategic focus on younger audiences was also reflected in schools’ activity and digital engagement. The use of TikTok as a platform to host live backstage content - along with influencer-led fundraising challenges - enabled us to connect with younger supporters in an authentic and entertaining manner. This activity significantly increased our reach and engagement across social media, while also delivering strong fundraising returns.
## _**Reaching new audiences through partnerships and innovation**_
Corporate partnerships continue to play a vital role in both income generation and audience engagement. Income from corporate partners totalled £10.4 million this year, with major retail, food and leisure brands delivering significant fundraising activity and extensive public visibility.
Looking ahead, we are building on this year’s performance by continuing to evolve our fundraising model, invest in longterm income streams and develop new ways for supporters of all ages to connect with and contribute to our work.
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36 | BBC Children in Need
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## **Activation: Paddy’s Ultra Endurance Cycle Challenge with Radio 2**
Beginning on Monday 11th November 2024 and finishing on the day of the BBC Children in Need Appeal – Friday 15th November – BBC Radio 2 presenter Paddy McGuinness jumped on a modified Raleigh Chopper bike that he lovingly named “Patch” and slogged his way across a 300 mile stretch of the UK to raise money for our charity. His journey spanned from Wrexham to Glasgow, covering eight counties and three nations (Wales, England and Scotland). Radio 2’s superb coverage followed him all the way on every show - from Zoe Ball on the Breakfast Show to Sara Cox at Drivetime.
The route took him from his starting point in Wrexham over the border to Chester, up to Ellesmere Port and onto a ferry across the Mersey into Liverpool. From there, he rode up to Preston in Lancashire, along the coast to Blackpool, then over to Lancaster. From that point, he crossed Cumbria, entering the hilliest terrain of the journey so far to reach Kendal and then Carlisle. The Scottish border was next, as Paddy pedalled on through Lockerbie and past Motherwell. He arrived in Glasgow to huge celebrations!
Paddy was aided by members of the BBC Children in Need team along the way, and whole communities – including schools, community groups and families with children - lined the streets to catch a glimpse of the excitement and to cheer him on! This became a huge boost for him when times got tough.
Throughout his epic adventure, friends, celebrities and BBC Children in Need partners dropped in to offer practical and moral support and advice – from cycling legend Sir Chris Hoy to Sir Tom Hunter, who delivered an incredible in-person announcement that his organisation – the Hunter Foundation – would match-fund donations up to an enormous £3 million! 1.48 million listeners tuned in for updates from the journey on BBC Sounds, there were 3.1 million social engagements on
the subject and a live tracker following Paddy’s journey on the BBC Children in Need website recorded 1,078,721 visits from 659,163 different users between 11th and 15th November (the period of Paddy’s challenge).
It was announced on the BBC Children in Need Night of TV that the amount raised by the challenge currently stood at over £8.8 million. However, donations continued to roll in, boosted significantly by the emotional hour-long BBC One documentary “Paddy: The Ride of My Life”, which aired on Tuesday 19th November. The film showed the gritty reality of the challenge, including its physical and emotional toll on Paddy, the highs and lows of travelling such a distance over gruelling terrain while being buoyed up by the well-wishes of an entire nation and the touching story behind the chopper - which represented a childhood dream that his family couldn’t afford, as well as the opportunity to give other children the chance to achieve what they want in life.
## Patch is now proudly tattooed on Paddy’s leg.
Paddy’s final total represents the largest donation figure of any BBC Radio 2 talent-led challenge to date. Public donations inspired by Paddy totalled around £6.3 million, we received £300k worth of pledges from High Value donors and “Paddy: The Ride of My Life” attracted a further £818.5k. Together with the £3 million of match funding from The Hunter Foundation, the entire challenge raised £10,450,796 precisely!
The collective might of Radio 2 was in full effect as the network attracted huge audiences and follower numbers to its social channels. The station showcased many projects and stories across the UK as part of a ‘Takeover Day’, inspiring audiences to get involved and donate to BBC Children in Need. Scott Mills also hosted a Radio 2 gala performance of Disney’s The Lion King musical at the Lyceum Theatre, which attracted a family audience and donations totalling £50,000 to add to Radio 2’s record-breaking total.
2025 Annual Report and Accounts **| 37**
## **STRIVING FOR OPERATIONAL EXCELLENCE**
## **Priorities:**
**Develop and embed insight to drive activity across the organisation**
**Ensure efficient and effective systems and processes**
**Create a positive culture and prioritise Equity, Diversity and Inclusion in everything that we do**
## **Develop and embed insight to drive activity across the organisation**
Insight (the approaches we take to learn from the data, information and feedback we gather) is analysed and reviewed across the organisation to guide our decisionmaking and to shape and evaluate our activity. Audiences are at the heart of our work, whether they are children and young people, grantees and applicants or public audiences and supporters. We are committed to listening to them, learning from what they tell us and collaborating with them to collectively maximise the difference we can make for children and young people.
This year, we published the findings of our first BBC Children in Need SPOTlight survey, in which we heard from over 1,500 children and young people supported by BBC Children in Need-funded initiatives and recorded how they felt about the people and places in their lives. We explored how the project they attended was helping them and listened to their hopes and fears for the future.
The findings of this survey painted a clear picture of the heightened challenges experienced across the UK. It showed that the children and young people our projects support are most likely to worry about their mental health, rising prices, bullying, discrimination and poverty. They are significantly more likely to feel unhappy at school than UK children generally - and those with additional needs have heightened challenges around fitting in and making friends, and worry more about being bullied.
Against this backdrop, it’s heartening to learn that 98% of respondents felt mostly happy when spending time at the project they attended, with the top 3 drivers of happiness there being having fun, meeting trusted adults and feeling like they belong. The impact of connections with trusted adults came through strongly in the SPOTlight survey. This year, building on that finding, we have now undertaken a dedicated review into “The Power of Positive Relationships”, as we have had the
privilege of working with an Advisory Group to explore the theory and practice behind it and its potential to transform young lives. Positive Relationships are central to the work that we fund - and this will become an evidence-based focus for our work both internally and externally next year.
We continue to make progress in engaging children and young people through a range of participatory approaches. We are now working with an established group of Young Ambassadors, all of whom have previously featured in BBC Children in Need content. They share their personal stories and lived experience to shine a light on the transformative impact of the work that we fund.
This year, we are also funding a Youth Leadership Programme that empowers young people through co-production, building leadership skills and offering meaningful opportunities to engage with BBC Children in Need activity. This forms part of our wider Youth Social Action initiative. Alongside these two schemes, we continue to embed participation into our funding programmes and to build internal capacity so that we can offer more opportunities going forward.
## **Ensure efficient and effective systems and processes**
We have continued to deliver our Digital Transformation Strategy, focussing on key projects that will stabilise our charity’s systems and offer a clear pipeline of future activity to help us update and integrate systems. This includes data automation - which will not only improve efficiency but will also reduce data risks within the organisation.
Work is underway to implement a major change to our grant making system, which will greatly improve the user experience for applicants and grantees, as well as for our internal staff. The new system will boost efficiency - as well as the user experience - and will further bolster our ability to learn from and act on the data and feedback we collect.
**38 |** BBC Children in Need
The scale of this transition required us to take a pause from accepting new grantee applications from April 2025. We plan to begin accepting applications again from Autumn 2025.
and provides assurance around performance, risk and liquidity management of our Investment Portfolio. It incorporates our investment strategy - revised in 2024 - and has been supported by Mercer, our new Investment Managers.
Working within the BBC’s Responsible AI principles, the Charity has started exploring Responsible AI use to support ways of working for both individuals and teams. By reducing repetitive tasks and freeing up capacity, we aim to foster creativity, support strategic thinking and develop a more agile work culture.
We operate within a financial model that makes sure we maximise our impact for children and young people and that we operate within our means. This, together with a robust reserves policy, has allowed us to invest in transformation and deliver our strategy effectively.
We have revised our Statement of Investment Principles, which defines how we go about investing the Charity’s money
We have also improved our supporter experience, with more donors now being thanked faster across different channels, by upgrading user experience on our main online donation platform and by transitioning the Pudsey Shop to a new platform integrated with BBC Children in Need’s website.
The training of our staff continues to be an important element in operating effectively and managing risk for the Charity. As more of our activities now take place in the digital world, we have never been more aware of our responsibility regarding the safe and secure management of personal data and access to our platforms. Safeguarding training remains a significant focus to ensure our staff - and the children and families we work with - all feel confident, safe and supported.
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2025 Annual Report and Accounts | 39
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**Create a positive culture and prioritise Equity, Diversity and Inclusion in everything that we do**
Creating a great workplace for our colleagues and strengthening our culture at BBC Children in Need are key priorities within the Charity - and continue to be a major focus of our Charity People strategy.
## **THE PUDSEY WAY defines the elements of our culture that we want to strengthen at BBC Children in Need…**
## We are **Inclusive and Kind…**
We are an inclusive organisation. We are constantly learning and advocating for Equity, Diversity and Inclusion. We seek out the diverse experiences and backgrounds of others, internally and externally, to help us learn and be successful.
## We encourage **Teamwork and Collaboration…**
We collaborate, share experiences and work together in a way that works for the whole team. Our relationships are based on openness, honesty and trust. Everyone is welcomed, celebrated and championed.
## We **Make Good Decisions…**
We use our charitable ambition to guide decision making and help us prioritise the right activity across the organisation. Data and Insight ensure our decisions are clear, informed and timely.
## We are **Agile and Adaptable…**
We embrace change. We are bold and creative with our ideas. We look after our own wellbeing when responding flexibly to new challenges.
## We are **Results Focussed…**
We are all accountable for getting the job done and for our own learning and career development. We set clear goals and measure success. We offer and receive regular feedback to help us all learn and grow.
## We put **Children and Young People at the heart** of everything we do…
We create meaningful opportunities to engage them in our work. We embrace all opportunities to listen and learn. We are guided by their voice.
**40 |** BBC Children in Need
During 2024/5, we focused on communications and the engagement of colleagues regarding the Pudsey Way (explored in the infographic above), casting a spotlight on each of its separate elements throughout the year and sharing stories, resources and team exercises to bring them to life.
Colleagues from across the Charity have taken ownership of this way of working and have volunteered to lead staff sessions, to write blogs or case studies and to actively recognise colleagues in relation to each month’s focus area.
## _**BBC Employee Survey**_
The BBC Employee Survey is a key measurement of staff engagement. It provides us with valuable feedback on how BBC Children in Need colleagues feel about their work. This year, over 76% of charity colleagues participated in the survey and the results show that this has been a challenging period for the Charity. Our overall engagement score has declined, year-on-year, to 63%. Scores show that there is more for us to do in the areas of leadership, company confidence and growth and development, and further work is clearly required to help colleagues feel more connected to the BBC Strategy and purpose and to understand the Royal Charter.
However, we continue to see strong scores in the areas of EDI, flexible working and support. We have been reviewing our results and having conversations across the organisation to ensure that we can take tangible action in response to this feedback.
## _**Equity, Diversity and Inclusion**_
Through 2024/25, we have continued the delivery of our Equity, Diversity and Inclusion strategy. This included the continuation of Tea Break sessions - which were implemented to help staff members explore issues around race and intersectionality, and to create a safe space enabling colleagues to share experiences – as well as taking part in the Race Equality Matters Five Day Challenge.
Maintaining our focus on safe spaces and psychological safety, we held a number of listening sessions with colleagues to reflect on significant events of the year. We remain committed to inclusive leadership training and neuroinclusive development sessions for both colleagues and leaders.
To support inclusive hiring, we have worked to ensure that vacancies are shared with the BBC’s diverse hiring network. We have also reached out to further diverse networks to increase the range of applicants who have access to our opportunities.
2025 is the first year BBC Children in Need has taken part in the “10,000 Black Interns” programme, which is proving to be very successful and has increased our hiring network for future vacancies.
We have continued to align with the BBC’s Creative Diversity targets and have worked with the Creative Diversity team to ensure positive representation on stories relating to disability. We have used storytelling pieces - such as Jessica’s case study about a project supporting families affected by sickle cell – to highlight how BBC Children in Need is here for every community, so that UK minority groups are properly represented in our fundraising and storytelling.
We have also introduced a new “Identification of Needs” data tool, which gives our Impact teams insight into the reach of their grant portfolio when it comes to communities facing racial inequality. The year ahead will see this tool expand to include data relating to disabled and LGBTQ+ communities.
2025 Annual Report and Accounts **| 41**
## _**Climate justice and sustainability**_
We recognise that our key stakeholders - children and young people - expect us to have a clear ambition to tackle the climate crisis and to use our voice to represent their views.
BBC Children in Need’s charitable ambition is to create positive and lasting change across the UK for the Children and Young People who need us the most. The climate crisis is considered the greatest global emergency of our time. Without acting, the future of the planet is at risk.
In 2021, UNICEF declared the climate crisis to be a “child rights crisis”, with the biggest risks for young people concerning air pollution, climate change and damage to the natural environment. Many of the children and young people we support are likely to be those most affected by this threat – particularly those from low-income households, those who are disabled, those in urban areas and those belonging to the global majority.
We are committed to reducing our environmental impact, advocating for climate justice and using our platform to drive meaningful change. Children and young people are speaking up about their future - and our focus is on advocating for children worst affected by the climate crisis.
Advocating for climate justice means focussing on people, communities, intersectionality and fairness, and our aim is to support the shift in power to under-resourced and marginalised communities across the UK. We must also focus on equity, diversity and inclusion to address human rights breaches and social inequality.
Together, we can build a more sustainable, equitable future where every child has the chance to thrive.
**We must use our voice to highlight the importance of taking action**
## **Our commitment**
BBC Children in Need’s long-term goal is in line with the wider BBC’s ambition regarding sustainability, which is to achieve a 90% reduction in all emissions by 2050.
We have been working alongside our BBC colleagues, learning from their approach and aligning to the BBC strategy, targets and activity where possible. Our reliance on BBC infrastructure means we have benefited from the progress the BBC has made to date.
As we develop our strategy, we are focussing on four pillars:
- **Our people** - We need to play our part and be accountable
- **Our funding and our grant making** - We want the projects we fund to have the capacity for more sustainable decision making and we want to be as equipped as possible to support children and young people affected by climate change
- **Our audience** – We need to build understanding across all groups so they can engage with and support us in our goals
- **Our operations** - We will continue to take steps to decarbonise our operations
The BBC’s strategy guides our approach:
- **Nature Positive** – Managing the BBC’s impact on nature to do more good than harm to our planet
- **People Positive** - Informing and educating audiences on the most pressing issues facing our planet
- **Net Zero** - Adopting a decarbonisation-first approach that is underpinned by science
The Charity’s focus is more specific to our stakeholders.
We are signatories to the Funder Commitment on Climate Change and, as such, our approach to sustainability follows the six pillars that make up commitment. The progress made in the year is as follows:
**42 |** BBC Children in Need
- **Educate and learn** - We have engaged stakeholders by funding sustainable action in the sector, as well as using our platforms to share stories and raise awareness of children and young people affected by climate change among our audience. We have appointed an expert sustainability consultant, Furthr, who will help us to engage our staff and other stakeholders, encouraging them to support climate-positive projects, to calculate their own footprint and to learn to “live greener”. We are also funding our finance professional to complete a certificate in sustainability via ACCA
- **Commit resources** – Furthr will also provide a technical solution to help us measure and report our baseline carbon emissions, as well as aiding us in the development of a carbon reduction plan, so that we can show progress towards our objectives going forward
- **Integrate** – We have committed to embedding sustainability at the core of our charity-wide strategy, with specific objectives being developed for each directorate. All directorates will apply the lens of environmental impact on decisions made – and this will ultimately contribute to a reduction in our reported impact on the environment
- **Steward our investments for a post-carbon future** – We have reviewed our investment portfolio and, since 2024, 17% of our return-seeking portfolio is allocated to sustainable funds. We are now able to report to our Trustees that BBC Children in Need is investing in a more sustainable manner than the average investor. The intention is to report that our carbon emission footprint is reducing over time. Mercer, our Investment Managers, have committed to a net zero position by 2050 – in line with our ambition
- **Decarbonise our operations** – We undertook an Energy Savings Opportunity Scheme audit of energy consumption. In response to its outcome, we committed to an action plan designed to reduce emissions through education and direct action. Since that time, we have improved our carbon footprint by implementing technological changes such as moving our website hosting to the BBC infrastructure. We further aim to promote and embed more sustainable practices within our organisation - such as lower emission monitors and educating staff on best practice around travel, technology usage and events
- **Report on progress** – We report annually on our progress against the five goals listed above. We do this via the Association of Charitable Foundation (ACF)’s annual reporting process, as well as within this Annual Report. We continue to develop our practice, to learn from others and to share our learning. Although sustainability reporting is not yet mandatory for BBC Children in Need, we have taken a transparent stance regarding our impact on the environment and the action we are taking. We have therefore been monitoring and reporting progress on our purchased energy emissions in our Annual Report and Accounts for several years. With the help of Furthr, we will now expand this reporting to include all other indirect emissions from our supply chain
By aligning with the values of our supporters, we will build trust and improve our sense of connection with audiences and stakeholders.
Being transparent and accountable shows responsible stewardship and builds confidence, hopefully resulting in continued support. Our grantees can rely on us to be advocates in a way that creates a broader impact - and we can connect with likeminded partners, which will potentially unlock new funding opportunities Additionally - and vitally - by engaging stakeholders and advocating for change, we can contribute to the UK’s efforts to meet its 2050 climate goals
## **• Emissions data**
BBC Children in Need staff are located within BBC premises across the UK, with the majority based at the head office in Salford. While the BBC manages and reports energy use on a prorated basis for BBC Children in Need, the calculated emissions from the space occupied by the charity are set out below.
In 2024/25, electricity consumption was 145,862 kWh (2023/24: 203,166 kWh) and gas consumption was 43,390 kWh (2023/24: 64,021 kWh). This represents a reduction compared to the previous year, driven by BBC initiatives to lower fossil fuel and electricity usage. Measures include upgrading and exiting properties, reducing gas consumption, and targeting diesel use in productions.
From 2025, our reporting has expanded to include Gas Oil, District Heating, and Refrigerants, providing broader coverage of Scope 1 and 2 emissions.
Scope 1 emissions: Natural Gas, Gas Oil, Refrigerants Scope 2 emissions: Electricity, District Heating Overall, energy-related emissions decreased by 33%, from 54.86 tCO₂e in 2023/24 to 36.6 tCO₂e in 2024/25.
## **• Greenhouse Gas Emissions 2024/25**
- Scope 1: 9.69 tCO₂e
- Scope 2: 26.87 tCO₂e
Total: 36.56 tCO₂e
Per FTE: 0.21 tCO₂e (based on 178 staff in office locations)
In addition, BBC Children in Need has begun capturing and reporting on Scope 3 emissions across the value chain, following the GHG Protocol. Key categories include:
3.1: Purchased Goods & Services (Goods)
3.3: Fuel- and Energy-Related Activities
- 3.4: Upstream Transportation & Distribution
3.5: Waste Generated in Operations
3.6: Business Travel
- 3.7: Employee Commuting
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Business
Travel
Fuel- and (6.6%)
Energy-Related
Activities
(0.6%) Employee
Commuting
Waste (8.4%)
(0.3%)
Purchased
Goods and Upstream
Services Transportation
(82.8%) & Distribution
(1.3%)
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2025 Annual Report and Accounts **| 43**
## **OUR PLANS FOR 2025/26**
Over 2025/26, we will continue to build on the work undertaken to date regarding our strategic priorities.
## _**Broadening and Deepening Our Impact**_
We will continue to embed our Impact Framework in order to drive and connect all elements of our work. To achieve this, we will:
- Relaunch our responsive grant programmes after a period of closure during the last financial year, with the inclusion of clearer eligibility criteria and support and guidance for applicants
- Launch our Blueprint for the impact of Positive Relationships on children’s lives
- Launch a strategic programme which aims to work in a placebased way - with local communities - to tackle the impact of child poverty
- Continue to build collaborations across the sector in order to tackle the most critical issues facing children and young people in the UK - utilising our ability to fund, empower and convene
## _**Creatively engaging with audiences and supporters**_
We will show up all year round and champion our purpose on an ongoing basis, culminating in a fully integrated annual campaign. To achieve this, we will:
- Renew our approach to storytelling
- Maintain our presence in the public eye beyond our November Appeal, with a second “peak moment” – which, to date, has been in late spring – and additional relevant events throughout the year
- Undertake work to build our voice and influence across all platforms
## _**Strategically growing our income**_
We will continue to implement our five-year income growth plan, focussing on diversification and long-term sustainable income as well as targeting younger audiences. To achieve this, we will:
- Continue to improve the experience of each supporter, including fundraisers and donors, to provide them with engaging and accessible guidance and to ensure that these approaches are fully embedded into our work
- Fully launch our committed giving programme
- Continue to grow support through partnerships
## _**Striving for operational excellence**_
We will continue to embed smarter systems, processes and ways of working - using insight more strategically and embracing digital and AI sustainably to drive efficiency, effectiveness and impact. To achieve this, we will:
- Transform the way we work by harnessing digital and AI technologies. This will enable the delivery of key projects to become more efficient and effective and to better support children and families
- Continue to develop foundational insight across the organisation, analysing and reviewing what we know externally as well as internally
- Apply a greater focus on culture, leadership and performance
- Invest in continuous improvement to support our teams to function in the best possible way
**44 |** BBC Children in Need
## **2025 ACCOUNTS**
2025 Annual Report and Accounts **| 47**
## **FINANCIAL REVIEW**
The accounts for the year ended 30 June 2025 cover:
- Income from the BBC Children in Need Appeal 2024, which was live across Autumn 2024
- Other income received year-round from 1 July 2024 to 30 June 2025, including income from funding partners and follow-on income post-Appeal
- Recognised funding income from grants and corporate partners promised between 1 July 2024 and 30 June 2025, to which BBC Children in Need is entitled but that it has not yet received
- Grants awarded to projects and funding programmes in the period 1 July 2024 to 30 June 2025
**48 |** BBC Children in Need
## **FINANCIAL PERFORMANCE**
We measure financial performance based on:
- Efficiently managing income levels in order to:
- Optimise the amount of grants we award and, as a result, our positive impact on children and young people
- Manage costs in line with available funds and at an appropriate level relative to income
- Manage funds in line with the Charity’s reserve policy
Income from donations and charitable activities, as shown in the Charity Statement of Financial Activity for the year, totalled £57.4m (2024: £52.4m). This included:
- Donation income and Gift Aid of £49.9m (2024: £46.8m)
- Legacy income of £3.2m (2024: £3.4m)
- Grant partnership funding of £4.3m (2024: £2.2m)
This represents an increase in the Charity’s normal activity of £5m on the prior year, mainly due to engagement in BBC programmes and events such as Radio 2 and growing grant partnership funding, See Note 2 (page 69) of the accounts.
Of the £57.4m income generated, £51.7m is designated for impact funding - with the balance being Gift Aid (£4.7m) and 2p/£ donated (£1m), which is used to part-fund the costs of generating income and governance.
Of the £51.7m designated for grant funding in 2024/25, £37.6m (2024: £35.7m) has been awarded in grants and £6.5m (2024: £5.8m) is the cost of making those grants.
The balance of £7.6m will be spent on grant making before the end of the next financial year in line with our reserves policy.
To ensure that BBC Children in Need is a charity that is strong, administered appropriately, able to raise income creatively, equipped to manage funds raised professionally and capable of operating as an effective grant maker, we incur direct costs.
Total operating costs incurred in the year were £15.6m (reported as £16m including gifts in kind). This breaks down into £8.2m spent on raising funds and governance, £6.3m on grant making, and impact and gifts in kind* of £0.4m. Total costs represent 26% of our total income (2024: 24%). Grant making costs were 17% (2024: 16%) of grants awarded.
_* Gifts in kind includes the provision of office space. These have been excluded from the above analysis because income is offset by an equal amount of cost and nets to zero. Further details are given in Note 3 of the accounts._
The Children in Need Limited profit is paid in full to the Charity under Gift Aid provisions
## **Investment Policy**
Funds committed for grant –making, but not required for expenditure in the short-term, are invested.
Investment income for the year (including revaluation gains) was £4.8m (2024: £5.2m), representing a return of 4.8% (2024: 6.7%) on the average investment balance.
The investment policy stipulates the type and terms of investments that may be purchased and investment objectives being to:
- Retain sufficient liquidity for day-to-day needs
- Maintain a measured appetite to risk
- Maximise investment returns within the constraints of the above
The Charity has a measured approach to investing and holds funds not needed for short term use in two types of investments:
Cash/liquidity portfolio - which aims to preserve capital and provide short and medium-term liquidity for the Charity, through investing in portfolios of cash deposits and short-dated money market securities. We have two investment managers: Mercer, our main manager and Blackrock who manage part of the liquidity fund, both appointed in 2024.
Long term Portfolio - investing in a combination of diversified asset classes, including public equity, growth fixed income, alternatives and other assets.
The balance held within each type of investment is determined by the amount of liquid funds required to meet our grant commitments when they fall due.
In the year, the Charity has reviewed its investment policy with a view to increasing risk-adjusted returns while still maintaining the required liquidity and operating within the agreed risk tolerance, and in July 2024 appointed Mercer to manage our investments and assist with portfolio construction and consideration of environmental, social and governance (ESG) criteria.
Sustainable equity funds make up 17% of our asset allocation and all our equity investments, multi-asset credit, and absolute return fixed income are SFDR Article 8 Funds, which are products that promote among other characteristics, environmental or social characteristics or a combination.
## **Results for Children in Need Limited**
Children in Need Limited is a wholly-owned subsidiary and holds the Charity’s trading activities. The results of the company are consolidated into the Charity’s accounts.
During the year ended 30 June 2025, Children in Need Limited made a profit of £0.3m (2024: £0.4m).
Our corporate partners that raise funds for the Charity by selling Pudsey-branded product pay a fee for use of the brand, which is accounted for in the Limited Company.
2025 Annual Report and Accounts **| 49**
## **Reserves Policy**
As of 30 June 2025, the Group (which consists of BBC Children in Need (‘the Charity’) and Children in Need Limited (‘the trading company’) had total closing funds of £66.6m (2024: £57.2m), representing an increase of £9.4m on its position the prior year.
Impact reserves have increased - as we have exceeded income expectations - and these funds will be awarded in the coming months in line with our reserves policy.
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Opening Fund Total Grants Awarded in Year (Net Cost of Grant Making, Policy, Cost of Raising Funds &
Funds £’000 1 Jul 24 Income of Adjustments) Impact and Grantee Training Governance Closing Fund 30 June 25
Restricted Impact Fund 1,811 3,180 (1,023) (270) - 3,698
Unrestricted Designated Impact Fund 38,583 48,535 (36,559) (5,988) - 44,571
General Continuity Fund 11,508 10,575 - - (9,002) 13,081
Investment Continuity Fund 5,000 - - - - 5,000
Development Fund 250 - - - - 250
TOTAL UNRESTRICTED FUNDS 55,341 59,110 (36,559) (5,988) (9,002) 62,902
TOTAL FUNDS 57,152 62,290 (37,582) (6,258) (9,002) 66,600
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The £62.3m (2024: £57.7m) of total income received in the year (as reported in Note 2) includes income from donations and other charitable activities of £57.3m, plus net investment income of £4.8m and trading contributions of £0.2m.
Of this, £37.6m has been used to fund projects that make a positive impact and £6.3m has funded the associated costs of grant making and impact.
£48.3m is held in reserve and remains available for grant making in advance of generating new income in the autumn 2025 Appeal (restricted: £3.7m, unrestricted: £44.6m).
## _**Restricted Fund - £3.7m**_
The closing fund represents £3.5m of donations received from The Hunter Foundation of which £0.7m will be used to create positive impact for children deemed highly likely to enter the care system in the near future - continuing our support for the existing project. The balance of £3m from THF is part of a new £15m programme dedicated to tackling child poverty in the UK, in partnership with The National Lottery Community Fund, City Bridge Foundation, Pears Foundation. The first, major funder collaboration in the UK focused on finding and funding scalable solutions to support the impact of poverty on children, Communities for Children aims to support children living in areas of the highest economic deprivation to thrive and fulfil their potential and is anticipated to be spent in across the next 5 years. The balance of £0.2k represents funds from the Ferdinando & Luigi Innocenti Foundation which will fund a programme to fulfil the aspirations of marginalised young people and build their sense of agency and self-determination.
## _**Unrestricted Fund - £62.9m**_
At 30 June 2025, the Charity held designated grant funds of £44.6m (2024: £38.6m), representing donation income received and to be awarded to projects in future grant making activity. These funds will be awarded over the coming months, but it is the intention of the Charity to maintain a level of funds to cover uncertainty of income or exceptional requirement for funding.
The Charity also holds funds to cover general operating costs in periods of uncertainty of income, to manage volatility of investment returns (capital value or income), to allow for future investment and to respond to growth opportunities.
This represents unspent Gift Aid, investment income, license fees and a small proportion of donations (limited to 5p/£ donated).
In this financial year, 2p/£ of unrestricted donation income and legacy income, together with Gift Aid, trading income and investment returns totalling £10.6m (2024: £9.8m), has been used to cover costs and provide contingency for any uncertainty over future income.
See the Charity’s principal accounting policies on pages 66-67 - which explains the structure of reserves - and also Note 15 on pages 80 - 81 - which provides more detail of the restricted funds.
**50 |** BBC Children in Need
## **RISK MANAGEMENT AND ASSURANCE**
At BBC Children in Need, we continue to be challenged by a wide range of risks that can affect all areas of our organisation - and we plan for and manage these risks daily.
BBC Children in Need’s Trustees have overall responsibility for setting the risk policy and approving the risk management processes, recognising that our approach to risk must encompass risk-taking to innovate and grasp opportunities and ultimately achieve our strategic objectives.
Risk management is therefore an essential discipline to support BBC Children in Need in achieving its strategy and goals, which means identifying, assessing and mitigating risks and having effective policies, processes and controls in place.
The Charity continues to review its Risk Management Policy, Risk Framework and Risk in order to ensure appropriate consideration of risk during the year. The Finance, Audit and Risk committee provides oversight and challenge of the management of risk and the mitigating actions and controls in place.
Our Finance, Audit and Risk Committee are also responsible for the appointment and focus of the external Auditor, Crowe, and the internal audit plan – and for monitoring the implementation of recommendations raised from audits.
In addition, our Investment Committee, investment advisers and fund managers identify and mitigate risks to the Charity relating to our investments.
On the following pages, we have shared what we consider to be our greatest challenges to achieving our strategy and the context surrounding each risk.
## **Risk Category**
## **Mitigations and Actions**
We are addressing this through broadening and deepen- ing our impact, including:
## **Impact**
Our ambition is for all children and young people to have the opportunity to thrive and be the best they can be.
There is a risk that we are unable to achieve our ambition to create positive and lasting change across the UK for the children and young people who need us most, leading to declining audience and income.,
- Developing our Impact Framework, which will drive all our grant making and strategic propositions going forwards
- Developing strategic national initiatives which amplify the impact of our work
- Reviewing and continuously improving our responsive grant making programmes, including a regular, insight driven review of the portfolio make up and application trends
- Surveying children and young people and the issues and challenges which are important to them
This risk is inherently linked to the requirement for income to fund the ambition, for audiences to be engaged and for insight to drive our grant making activity.
## **Income**
Confidence in - and the generation of - income is key to maximising impact for children and young people.
There is a risk that we may not meet our income growth expectation, which will have a detrimental effect on the achievement of our long-term strategy. This could partly be due to the inability to invest in growth opportunities, or to external factors outside of our control.
- We have developed our income strategy to target income growth and to address the changing nature of the way people watch television and donate or fundraise
- We are developing new diverse initiatives and establishing regular, sustainable income that we can rely on, with a larger % being generated outside of our annual Appeal campaign
- We are delivering our audience and supporter engagement strategy and developing a longer-term content strategy, in order to grow income from young families and young adults and to protect and innovate our core 55+ audience
2025 Annual Report and Accounts **| 51**
**Risk Category**
**Mitigations and Actions**
To mitigate this risk, we are ensuring that:
## **Financial Viability**
Operating within our means is key to maximising impact for children and young people.
There is a risk that the Charity does not operate within its funding model affordability, or that resources are insufficient to undertake its plan, leading to an inability to deliver on our impact ambition or the generation of negative public perception of spend.
- Our annual business planning and budgeting process is reviewed and challenged by Trustees, ensuring that we operate within our means
- Sufficient cash and investments are held to fund all grant commitments, which provides certainty of
- funding to our grantees and funds activity until new income is generated
- Sufficient reserves are held as a contingency to flex with seasonal income generation, respond to unexpected factors affecting children and young people across the UK and continue operations in periods of uncertainty
- Annual going concern assessments are performed to ensure we maintain sufficient cover for grant commitments, ongoing activity and costs, any impairment of assets and have the required liquidity
- We maintain robust safeguarding governance, policy and practice across the organisation, embedding
## **Audiences**
Avoiding any harm to children and young people is our first priority.
There is a risk that the Charity undertakes a project or piece of work, funds work or engages in a partnership involving the engagement of children and young people (CYP) where an incident occurs or systems and processes fail, resulting in harm being caused.
- a strong safeguarding culture throughout, with mechanisms to share learning, raise concerns and escalate
- We provide regular mandatory training and resources, as well as expert advice around working with children and vulnerable people
- We perform due diligence on the charities and projects that we fund and the partnerships and activities we engage in
- We have a formally appointed Senior Safeguarding Advisor whose role it is to inform and advise colleagues about their obligation, monitor compliance, raise awareness and advise
- We maintain robust safeguarding governance, policy and practice across the organisation, embedding
## **Safeguarding**
Avoiding any harm to children and young people is our first priority.
There is a risk that the Charity undertakes a project or piece of work, funds work or engages in a partnership involving the engagement of children and young people (CYP) where an incident occurs or systems and processes fail, resulting in harm being caused.
- a strong safeguarding culture throughout, with mechanisms to share learning, raise concerns and escalate
- We provide regular mandatory training and resources, as well as expert advice around working with children and vulnerable people
- We perform due diligence on the charities and projects that we fund and the partnerships and activities we engage in
- We have a formally appointed Senior Safeguarding Advisor whose role it is to inform and advise colleagues about their obligation, monitor compliance, raise awareness and advise
**52 |** BBC Children in Need
**Risk Category**
**Mitigations and Actions**
To mitigate this risk, we prioritise:
- Adherence to all appropriate laws and regulations in relation to the activities we carry out
## **Reputation**
There is a risk that the Charity undertakes a project or piece of work, funds work, engages in a partnership or with an individual in which an event occurs, resulting in negativity regarding the Charity’s reputation, potentially leading to a loss of income or trust.
- A strong governance culture with clarity on responsibilities and accountability with a clear escalation process
- Due diligence to be undertaken for all new partnerships and Commercial Participation Agreements are in place for all partnerships.
- The assessment of the financial viability, governance and safeguarding of all grant applicants, with continual grant management requiring annual reporting from grantees
- We are signed up to the Fundraising Regulator’s Code of Fundraising Practice, as well as to the Fundraising Promise. We are committed to legal, open, honest and respectful fundraising and do not cause undue pressure or intrusion on donors
## **Responsible Fundraising**
There is a risk that fundraisers operating in our name are fraudulent and damage our reputation with the public or our partners.
- We maintain robust fundraising policies, which promote the adoption and improvement of responsible fundraising practices within the UK. We expect our fundraising partners, commercial participants and professional fundraisers to observe our fundraising policies and to demonstrate a similar commitment to responsible fundraising
- There were no complaints received by the Charity and referred to the Fundraising Regulator throughout this year
## **Data protection**
We have a responsibility when dealing with personal information - and our data protection principles ensure we do not risk the trust placed in the Charity. There is a risk of breach of data protection regulation due to lack of compliance or increasing complexity.
- In order to meet our legal, data protection and privacy obligations, we maintain robust data protection governance, policy and practice across the organisation, embedding a strong data protection culture throughout, with mechanisms to share learning, raise concerns and escalate
- Regular mandatory training and resources are provided, as well as expert advice around the use of personal information
- We have a formally appointed Data Protection Officer, whose role it is to inform and advise colleagues about their obligation, monitor compliance, raise awareness and advise
- Due diligence is performed on all systems we use in order to ensure information is appropriately managed
## **Cyber Security**
There is a risk of a successful cyber-attack due to lack of appropriate and up-to-date security measures, leading to loss or theft of data, loss of fundraising capability or operational impairment.
- The BBC and the Charity have extensive policies and procedures in place to detect and prevent cyber threats. Recovery plans are in place and we adequately train our employees
- Information security standards are specified in every third-party contract
- Staff operate on standard devices with high-grade encryption and virus protection
2025 Annual Report and Accounts **| 53**
The Reserve Policy for the Charity sets out the long-term target for the Charity’s continuity, as shown in the table below.
The minimum unrestricted reserves of £12.75m held by the Charity are to ensure we have sufficient funds to flex with seasonal income generation, respond to unexpected factors affecting children and young people across the UK and continue operations in periods of uncertainty - when external and internal factors influence the range of income outcomes.
In addition, further reserves will be held at year end and utilised until new income is received in the Autumn. In effect, the purpose of the reserve is twofold: it serves as a contingency and a means of funding anticipated activity.
The Impact continuity fund therefore holds funds that will be allocated before new income is generated from our next Appeal in November 2025. It is envisaged that the General continuity fund will drop back in line with forthcoming commitments over the next five years as we invest funds in our future strategic ambition. The Investment Continuity Fund is in place to manage volatility in capital value or returns.
|**Continuity Funds £’000**|**Contingency Target**
**30 Jun 25**|**Forthcoming Commitments**
**30 Jun 25**|**Closing**
**30 Jun 25**|
|---|---|---|---|
|Impact Continuity Fund|5,000|39,571|44,571|
|General Continuity Fund|2,500|10,581|13,081|
|Investment Continuity Fund|5,000|-|5,000|
|Development Fund|250|-|250|
|**Total**|**12,750**|**50,152**|**62,902**|
## **Going Concern**
Trustees continuously monitor the impact of external factors on the Charity and its likely future financial position. In reviewing its going concern position, the Charity takes into account its ability to:
1. Fund grant commitments
2. Cover impairment in assets
3. Satisfy going concern for 12 months from the approval of the financial statements – based on matching assets to liabilities
4. Cover costs
5. Maintain healthy cashflow - and ultimately
6. Continue to make grants
The Trustees are satisfied that the assets are in excess of the liabilities at both the balance sheet date and at the date of approval of the financial statements. The Trustees are also satisfied that the liquidity of the portfolio is appropriate for the phasing of grant commitments over 1 to 3 years - and that the risk of market value changes in the Charity’s investments can be managed appropriately.
Having taken into account all available information about the future for the period of at least, but not limited to, 12 months from the date on which the accounts are approved, the Trustees are satisfied that there are no material uncertainties about the Charity’s ability to continue. The accounts are therefore prepared on a going concern basis.
**54 |** BBC Children in Need
## **GOVERNANCE**
## **Formal structure**
BBC Children in Need was formed on 25 August 1988, became a registered charity with effect from 1 September 1989 and, until 30 September 2003, was an unincorporated body governed by a deed of trust and administered by a Board of Trustees.
With effect from 1 October 2003, the Charity’s assets and activities were transferred to a Company Limited by Guarantee (‘The BBC Children in Need Appeal’), with the Trustees being appointed as the Board of Directors and the BBC as the Founder Member of the Company.
As part of the process of incorporation, The BBC Children in Need Appeal was effectively re-registered as a charity on 7 August 2003, but retained the charity number 802052. The Charity is governed in accordance with its Articles of Association.
In 2012, the name of the Charity was changed from The BBC Children in Need Appeal to BBC Children in Need, to reflect our year-round presence and the changing nature of our fundraising. BBC Children in Need is also a registered charity in Scotland, with charity number SC039557.
BBC Children in Need has one trading subsidiary: Children in Need Limited. Children in Need Limited is a wholly-owned subsidiary, which primarily exists to licence products using the ‘Pudsey Bear’ trademark and to sell Pudsey merchandise.
Children in Need Limited makes a Gift Aid payment of all its taxable profits to BBC Children in Need each year.
## **Governance arrangements**
As a registered charity and company limited by guarantee, BBC Children in Need is governed by company and charity law and by The Statement of Recommended Practice, Charities SORP second edition (FRS 102), issued by the Charities Commission in October 2019. The SORP sets out the accounting practices and disclosure required by charities in their annual accounts. The Trustees have followed its recommendations and applicable accounting standards in presenting these accounts.
Trustees regularly review the Charity’s governance arrangements against the voluntary Governance Code for Charities - and the Charity continues to implement recommendations from the 2023/24 review. These recommendations fall into the following categories:
- Organisational purpose
- Leadership
- Decision making
- Risk and control
- Board effectiveness
- Diversity
## **Trustee and Chair appointment**
The Trustees are appointed by members of the Charity in a general meeting. All Trustees are members of the Charity and Company.
Except for the Trustee who formally represents the BBC (as Founder Member), Trustees are appointed for a term of three years and may then be appointed for a further two terms of three years each.
In addition to the Trustee representing the Founder Member, the Trustees of BBC Children in Need are drawn from the BBC and non-BBC in equivalent numbers.
On appointment, all Trustees go through an induction process. They are also provided with training specific to the role and activities they will be required to undertake (e.g. grant making). In addition, Trustees are kept up-to-date with any changes in governance requirements, to ensure they are aware of their obligations.
## **Management**
The Board of Trustees holds formal meetings at least four times a year. In this financial year, the Board has met formally seven times. Between these meetings, matters are progressed through the delegation of actions to subcommittees of the Board and officers of the Charity, in line with the agreed Scheme of Delegation.
## **Key responsibilities of Trustees**
The following points outline the key responsibilities of Trustees, which comprise of:
- Agreeing the strategic direction and policy of the Charity
- Agreeing the annual operating and investment budgets
- Executing all legal responsibilities in connection with the Charity
- Being aware of the content of the Charity’s Articles of Association in order to comply with Charity Commission regulations
- Supporting the Chair in ensuring that the Charity is following best practice in terms of its business rigour
- Providing expertise and insight into key areas of activity for the Charity
- Representing the Charity when required
## **Trustee sub-committees**
To support effective governance, the Charity has operated with four Trustee Board sub-committees throughout the year:
- Finance, Audit & Risk, which provides oversight and support on all financial matters, scrutiny of key risks and mitigations and oversight of internal and external audit activity
- Impact, which provides oversight and advice on matters such as the Grant Making Strategy, grant programmes and partnership funding. This sub-committee scrutinises and approves specific grant proposals - including main grants - as delegated by the Board of Trustees
- Nominations & Remuneration, which provides oversight and support in the recruitment and development of senior staff and the Board of Trustees. Reward and remuneration of senior staff is overseen by benchmarking to the market and ensuring costs are managed in line with budget
- Investment, which provides oversight and advice on investment decisions
The Investment, Finance, Audit & Risk and Impact Committees all have co-opted (non-Trustee) members to bring additional advice, subject matter expertise and experience.
2025 Annual Report and Accounts **| 55**
## **Business planning and performance management**
We have continued to embed our approach to business planning. This ensures we have a clear and concise plan of objectives at organisational, directorate, team and individual level across the organisation. Every individual has a clear line of sight as to how the work they are doing supports the organisation’s strategy and plan.
These plans are reviewed on a quarterly basis and progress is tracked and monitored throughout the year. We continue to evolve our approach to performance management to ensure performance, behaviour and development are well understood, discussed and supported at all levels of the organisation.
## **Risk management**
The Trustees are responsible for the Charity’s management of risk. During the year, the Trustees actively monitored and discussed risk. This process included:
- Identifying the major risks facing the Charity
- Assessing the likelihood and severity of these risks
- Reviewing the existing controls that the Charity had in place to mitigate the risks
- Identifying and implementing any further actions required to limit risk
A statement of Trustees’ responsibilities in respect of the Trustees’ Annual Report and Accounts is given on page 58.
The Trustees who held office at the date of approval of this Trustees’ report confirm that, so far as they are aware, there is no relevant audit information of which the Charitable Company’s Auditors are unaware - and the Trustees have taken all the steps that they ought to have taken to make themselves aware of any relevant audit information and to establish that the Auditors are aware of that information.
The Report of the Trustees, which incorporates the requirements of the Strategic Report and the Directors’ Report as set out in the Companies Act 2006 (Strategic Report and Directors’ Report) Regulations 2013, was approved by the Board in their capacity as Trustees and company directors - and was signed on its behalf on 11 December 2025 by:
**James Fairclough** Chair
**Rhona Burns** Treasurer
**56 |** BBC Children in Need
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Trustees and Advisors**
## **Chair**
James Fairclough[3] Terry Duddy (21 October 2025 – 18 November 2025) **Vice Chair** Jonathan Munro **Other Trustees** Leigh Tavaziva (BBC Representative) Kenny Imafidon[2 ] Trevor Bradley[1 3 4] Kieran Clifton[2 4] Rhona Burns[1 4] Suzanne Lamb (resigned 1 May 2025) Sandeep Bhamra[1 4] (resigned 30 Sep 2024) Cherrie Bija[2 3] Randel Bryan Patricia Hidalgo Helen Thomas Jo Wallace **Company Secretary** Nicky Scowcroft
## **Principal Officers**
Simon Antrobus Chief Executive Claire Hoyle Chief Income and Engagement Officer Tommy Nagra Director of Content Joanne Ruddock Director of Insight Nicky Scowcroft Chief Operating Officer Fozia Irfan Director of Impact and Influence Tony Okotie Director of Impact: Grant Making Nassali Douglas Director of Strategic Change & Transformation Jenny Wroe Head of HR
## **Auditors**
Crowe UK LLP St James House St James’ Square Cheltenham GL50 3PR
## **Bankers**
HSBC Bank Plc City of London branch Queen Victoria Street London EC4N 4TR
## **Investment Managers and Advisors**
Mercer Tower Place West London EC3R 5BU (July 2024 onwards)
BlackRock Investment Management (UK) Limited 12 Throgmorton Avenue London EC2N 2DL
## **Solicitors**
Fieldfisher LLP 35 Vine Street London EC3N 2AA
Womble Bond Dickinson (UK) LLP 4 More London Riverside London SE1 2AU
Mills & Reeve LLP Fountain House, 130 Fenchurch Street London EC3M 5DJ
## **Registered Office**
Dock House Salford M50 2LH
- 1 Members of Finance, Audit and Risk Committee
- 2 Members of Impact Committee
- 3 Members of Nominations and Remuneration Committee
- 4 Members of Investment Committee
Registered charity England and Wales no. 802052 and Scotland no. SC039557. Registered Company 04723022
2025 Annual Report and Accounts **| 57**
## **STATEMENT OF RESPONSIBILITIES OF THE TRUSTEES OF BBC CHILDREN IN NEED IN RESPECT OF THE TRUSTEES’ ANNUAL REPORT AND ACCOUNTS**
The Trustees are responsible for preparing the Trustees’ Annual Report and accounts in accordance with applicable law and regulations.
Company law requires Trustees to prepare accounts for each financial year. Under that law, they are required to prepare the Group and Charitable Company accounts in accordance with UK Accounting Standards and applicable law (UK Generally Accepted Accounting Practice).
Under company law, the Trustees must not approve the accounts unless they are satisfied that they give a true and fair view of the state of affairs of the Group and Charitable Company and of the Group and Charitable Company’s excess of income over expenditure for that period.
In preparing each of the Group and Charitable Company accounts, the Trustees are required to:
- Select suitable accounting policies and then apply them consistently
- Make judgements and estimates that are reasonable and prudent
- State whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the accounts
- Prepare the accounts on the going concern basis, unless it is inappropriate to presume that the Group and the Charitable Company will continue its activities
The Trustees are responsible for keeping adequate accounting records that are sufficient to show and explain the Charitable Company’s transactions. These records must disclose with reasonable accuracy at any time the financial position of the Group and Charitable Company - and enable them to ensure that its accounts comply with the Companies Act 2006.
The Trustees have general responsibility for taking such steps as are reasonably open to them to safeguard the assets of the Group and to prevent and detect fraud and other irregularities.
They are also responsible for the maintenance and integrity of the corporate and financial information included on the Charitable Company’s website. Legislation in the UK governing the preparation and dissemination of accounts may differ from legislation in other jurisdictions.
**58 |** BBC Children in Need
**INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF BBC CHILDREN IN NEED**
## **Opinion**
We have audited the financial statements of BBC Children in Need (‘the Charitable Company’) and its subsidiary (‘the Group’) for the year ended 30 June 2025, which comprise the Consolidated Statement of Financial Activities, the Charity Statement of Financial Activities, the Consolidated and Charity Balance Sheets, the Consolidated Statement of Cash Flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 - The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the accounts:
- Give a true and fair view of the state of the Group’s and the Charitable Company’s affairs as at 30 June 2025 and of the Group’s income and expenditure for the year then ended
- Have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice
- Have been prepared in accordance with the requirements of the Companies Act 2006 and the Charities and Trustee Investment (Scotland) Act 2005 and Regulations 6 and 8 of the Charities Accounts (Scotland) Regulations 2006 (amended)
## **Basis for opinion**
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 Group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical 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.
## **Conclusions relating to going concern**
In auditing the financial 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 conditions that, individually or collectively, may cast significant doubt on the Charitable Company’s or the Group’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 responsibilities - and the responsibilities of the Trustees with respect to going concern - are described in the relevant sections of this report.
## **Other Information**
The Trustees are responsible for the other information contained within the Annual Report. The other information comprises the information included in the Annual Report other than the financial statements and our Auditor’s Report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.
Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives 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 information, we are required to report that fact.
We have nothing to report in this regard.
## **Opinion on other matters prescribed by the Companies Act 2006**
In our opinion, based on the work undertaken in the course of the audit:
- The information given in the Trustees’ Report, which includes the Directors’ Report and the Strategic Report prepared for the purpose of company law, for the financial year for which the accounts are prepared, is consistent with the accounts
- The Strategic Report and Directors’ Report included within the Trustees’ Report have been prepared in accordance with applicable legal requirements
## **Matters on which we are required to report by exception**
- In light of the knowledge and understanding of the Group and Charitable Company - and of their environment - obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors’ Report included within the Trustees’ Report.
- We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 and the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:
- Adequate and proper 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 explanations we require for our audit
2025 Annual Report and Accounts **| 59**
## **Responsibilities of Trustees**
As explained more fully in the Trustees’ Responsibilities Statement set out on page 58, the Trustees (who are also the directors of the Charitable Company for the purposes of company law) are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view. They are also responsible for such internal control as the Trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Trustees are responsible for assessing the Charitable Company’s ability to continue as a going concern, disclosing - as applicable - matters related to going concern and using the going concern basis of accounting, unless the Trustees either intend to liquidate the Charitable Company or to cease operations, or have no realistic alternative but to do so.
## **Auditor’s responsibilities for the audit of the accounts**
We have been appointed as Auditor under section 44(1) (c) of the Charities and Trustee Investment (Scotland) Act 2005 and under the Companies Act 2006, and report in accordance with the Acts and relevant regulations made or having effect thereunder.
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an 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 decisions of users taken on the basis of these financial statements.
Details of the extent to which the audit was considered capable of detecting irregularities, including fraud and noncompliance with laws and regulations, are set out below.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at: https://www.frc.org.uk/ auditorsresponsibilities
This description forms part of our Auditor’s Report.
## **Extent to which the audit was considered capable of detecting irregularities, including fraud**
Irregularities, including fraud, are instances of noncompliance with laws and regulations. We identified and assessed the risks of material misstatement of the financial statements from irregularities, whether due to fraud or error, and discussed these between our audit team members. We then designed and performed audit procedures responsive to those risks, including obtaining audit evidence sufficient and appropriate to provide a basis for our opinion.
The laws and regulations we considered in this context were the Companies Act 2006, the Charities Act 2011 and The Charities and Trustee Investment (Scotland) Act 2005 together with the Charities SORP (FRS 102). We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items.
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the Charitable Company’s and the Group’s ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the Charitable Company and the Group for fraud. The laws and regulations we considered in this context for the UK operations were taxation and employment legislation.
Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Trustees and other Management and inspection of regulatory and legal correspondence, if any.
We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be with grant and corporate income and the override of controls by Management. Our audit procedures to respond to these risks included enquiries of Management and the Finance, Audit & Risk Committee about their own identification and assessment of the risks of irregularities, sample testing on the posting of journals, reviewing accounting estimates for biases, reviewing regulatory correspondence with the Charity Commission and Scottish Charity Regulator, designing audit procedures over grants and corporate income streams and reading minutes of meetings of those charged with governance.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely it is that the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remains a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
We obtained an understanding of the legal and regulatory frameworks within which the Charitable Company and Group operates, focussing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements.
**60 |** BBC Children in Need
## **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, and to the Charitable Company’s Trustees as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 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, and the Charitable Company’s Trustees as a body for our audit work, for this report or for the opinions we have formed.
## **Guy Biggin**
Senior Statutory Auditor For and on behalf of Crowe U.K. LLP Statutory Auditor
4th Floor St James House St James’ Square Cheltenham GL50 3PR
Date: 18 December 2025
2025 Annual Report and Accounts **| 61**
**CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 30 JUNE 2025**
## **(Incorporating the Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
**----- Start of picture text -----**
Year to 30 June 2025 Year to 30 June 2024
Total Restrict- Total
Unrestricted Restricted Unrestricted
Notes Funds ed Fund Funds
Fund £’000 Fund £’000 Fund £’000
£’000 £’000 £’000
INCOME AND ENDOWMENTS FROM:
Donations and Legacies
Donations 2, 3 49,672 - 49,672 46,463 - 46,463
Legacies 2 3,159 - 3,159 3,379 - 3,379
Charitable Activities
Partnership funding 2 1,099 3,180 4,279 2,150 - 2,150
Total Income from Donations
53,930 3,180 57,110 51,992 - 51,992
and Charitable Activities
Income from trading activities 7 776 - 776 890 - 890
Investments 2,710 - 2,710 1,354 - 1,354
Other Income 416 - 416 677 - 677
TOTAL INCOME & ENDOWMENTS 57,832 3,180 61,012 54,913 - 54,913
EXPENDITURE ON:
Raising Funds
Cost of generating voluntary income - -
and governance 5 8,920 8,920 7,106 7,106
Investment management fees 5 145 - 145 116 - 116
Trading operating costs 5 523 - 523 518 - 518
9,588 - 9,588 7,740 - 7,740
Charitable Activities
- -
England 23,190 23,190 21,957 21,957
Scotland 3,429 - 3,429 2,564 - 2,564
Wales 1,543 - 1,543 1,458 - 1,458
Northern Ireland 1,805 - 1,805 1,631 - 1,631
UK wide grants 6,592 1,023 7,615 7,325 776 8,101
Grants Awarded in the Year 4 36,559 1,023 37,582 34,935 776 35,711
Costs of grant making & impact 5 6,183 270 6,453 5,789 - 5,789
42,742 1,293 44,035 40,724 776 41,500
TOTAL EXPENDITURE 52,330 1,293 53,623 48,464 776 49,240
Net Gains on Investments 9 2,059 - 2,059 3,802 - 3,802
Net Income/(Expenditure) for the Year 7,561 1,887 9,448 10,251 (776) 9,475
Net Movement in Funds 7,561 1,887 9,448 10,251 (776) 9,475
RECONCILIATION OF FUNDS
Total funds brought forward 1 July 2024 55,341 1,811 57,152 45,090 2,587 47,677
Total Funds Carried Forward
62,902 3,698 66,600 55,341 1,811 57,152
30 June 2025
**----- End of picture text -----**
The Group has no recognised gains or losses for the above two financial periods other than the net movement in funds shown above, all of which are derived from continuing operations.
The Notes on pages 66 to 81 form part of these financial statements.
**62 |** BBC Children in Need
**CHARITY STATEMENT OF FINANCIAL ACTIVITIES**
## **FOR THE YEAR ENDED 30 JUNE 2025**
**(Incorporating the Income and Expenditure Account and Statement of Total Recognised Gains and Losses)**
**----- Start of picture text -----**
Year to 30 June 2025 Year to 30 June 2024
Total
Unrestricted Restricted Unrestricted Restricted Total
Notes Funds
Fund £’000 Fund £’000 Fund £’000 Fund £’000 Funds
£’000
£’000
INCOME AND ENDOWMENTS FROM:
Donations and Legacies
Donations 2 49,672 - 49,672 46,463 - 46,463
Gift aid payment from Children in Need 7 250 - 250 372 - 372
Limited
Legacies 2 3,159 - 3,159 3,379 - 3,379
Charitable Activities
Partnership funding 2 1,099 3,180 4,279 2,150 - 2,150
Total Income from Donations
54,180 3,180 57,360 52,364 - 52,364
and Charitable Activities
Income from trading activities 161 - 161 152 - 152
Investments 9 2,710 - 2,710 1,354 - 1,354
Other Income 416 - 416 677 - 677
TOTAL INCOME & ENDOWMENTS 57,467 3,180 60,647 54,547 - 54,547
EXPENDITURE ON:
Raising Funds
Cost of generating voluntary income & 5 8,920 - 8,920 7,106 - 7,106
governance
Investment management fees 5 145 - 145 116 - 116
Children in Need Limited Cost Recovery 7 161 - 161 152 - 152
9,226 - 9,226 7,374 - 7,374
Charitable Activities
- -
England 23,190 23,190 21,957 21,957
Scotland 3,429 - 3,429 2,564 - 2,564
Wales 1,543 - 1,543 1,458 - 1,458
Northern Ireland 1,805 - 1,805 1,631 - 1,631
UK wide grants 6,592 1,023 7,615 7,325 776 8,101
Grants Awarded in the Year 4 36,559 1,023 37,582 34,935 776 35,711
Cost of grant making and impact 5 6,183 270 6,453 5,789 - 5,789
42,742 1,293 44,035 40,724 776 41,500
TOTAL EXPENDITURE 51,968 1,293 53,261 48,098 776 48,874
Net Gains on Investments 9 2,059 - 2,059 3,802 - 3,802
Net Income/(Expenditure) for the Year 7,558 1,887 9,445 10,251 (776) 9,475
Net Movement in Funds 7,558 1,887 9,445 10,251 (776) 9,475
RECONCILIATION OF FUNDS
Total funds brought forward 1 July 2024 55,326 1,811 57,137 45,075 2,587 47,662
Total Funds Carried Forward
62,884 3,698 66,582 55,326 1,811 57,137
30 June 2025
**----- End of picture text -----**
The Charity has no recognised gains or losses for the above two financial periods other than the net movement in funds shown above, all of which are derived from continuing operations.
The Notes on pages 66 to 81 form part of these financial statements.
2025 Annual Report and Accounts **| 63**
**CONSOLIDATED AND CHARITY**
## **BALANCE SHEETS**
## **AS AT 30 JUNE 2025**
## **Company Number 04723022**
**----- Start of picture text -----**
Charity
Group 30 Group 30 30 June Charity
Notes June 2025 June 2024 30 June 2024
2025
£’000 £’000 £’000
£’000
FIXED ASSETS
Intangible assets 10 614 - 614 -
Tangible assets 8 15 28 15 28
Investment in subsidiary 7 - - - -
Investments 9 30,635 29,394 30,635 29,394
31,264 29,422 31,264 29,422
CURRENT ASSETS
Investments 9 72,598 55,144 72,598 55,144
Stock 398 241 - -
Debtors 11 9,374 9,179 9,870 9,669
Cash and cash equivalents 4,677 8,137 4,503 7,851
87,047 72,701 86,971 72,664
Creditors: amounts falling due within one year 12 (33,876) (28,377) (33,818) (28,355)
NET CURRENT ASSETS 53,171 44,324 53,153 44,309
TOTAL ASSETS LESS CURRENT LIABILITIES 84,435 73,746 84,417 73,731
Creditors: amounts falling due after more than one year 12 (17,835) (16,594) (17,835) (16,594)
NET ASSETS 66,600 57,152 66,582 57,137
RESERVES
Unrestricted funds 15 62,902 55,341 62,884 55,326
Restricted Grant Funds 15 3,698 1,811 3,698 1,811
Total Funds 66,600 57,152 66,582 57,137
TOTAL RESERVES 66,600 57,152 66,582 57,137
**----- End of picture text -----**
The Notes on pages 66 to 81 form part of these financial statements.
The accounts on pages 62 to 81 were approved by the Trustees on 11 December 2025 and signed on their behalf by:
**James Fairclough** Chair
**Rhona Burns** Treasurer
**64 |** BBC Children in Need
**CONSOLIDATED CASH FLOW STATEMENT**
## **FOR THE YEAR ENDED 30 JUNE 2025**
||**Year to**|**Year to**|
|---|---|---|
|**Schedule**|**30 June 2025**|**30 June 2024**|
||**£’000**|**£’000**|
|**Cash Flow from Operating Activities:**
Net cash provided by operating activities
A
**Cash Flow from Investing Activities:**
Interest from investments
Purchase of equipment
Purchase of investments
Proceeds from sale of investments
**Net Cash (Used in) Investing Activities**
**Change in cash and cash equivalents in the reporting period**
Cash and cash equivalents at the start of the reporting period
B
**Cash and Cash Equivalents at the End of the Reporting Period**
B|**10,466**
2,710
-
(105,166)
88,530
**(13,926)**
**(3,460)**
8,137
**4,677**|**5,030**
1,354
(32)
(261,164)
252,644
**(7,198)**
**(2,168)**
10,305
**8,137**|
A. Reconciliation of net income to net cash flow from operating activities
|A. Reconciliation of net income to net cash flow from operating activities||
|---|---|
|**Year to**|**Year to**|
|**30 June 2025**|**30 June 2024**|
|**£’000**|**£’000**|
|Net income for the year
9,448
Depreciation charges
13
Investment income
(2,710)
Increase in intangible assets
(614)
(Gain) on investments
(2,059)
(Increase) in stock
(157)
(Increase) in debtors
(195)
Decrease in creditors
6,740|9,475
12
(1,354)
-
(3,802)
(61)
(1,353)
2,113|
|**Net Cash Inflow/(Outflow)**
**10,466**|**5,030**|
- B. Analysis of cash and cash equivalents
||**At**
**1 July 2024**
**£’000**|**Cash Flows**
**£’000**|**At**
**30 June 2025**
**£’000**|
|---|---|---|---|
|Cash at bank|8,137|(3,460)|4,677|
|**Total Cash and Cash Equivalents**|**8,137**|**(3,460)**|**4,677**|
2025 Annual Report and Accounts **| 65**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025**
## **1 PRINCIPAL ACCOUNTING POLICIES BASIS OF PREPARATION**
BBC Children in Need is a registered charity in England and Wales 802052 and Scotland SC039557, and a company limited by guarantee incorporated in England 04723022. The Registered Office is Dock House, MediaCityUK, Salford, Greater Manchester M50 2LH.
and are included as income (with an equivalent amount in resources expended) at the estimated value to the Charity. This income has been recognised, as the benefit to the Charity is reasonably quantifiable, measurable and material. The Charity is entitled to the donation in that control over the expected economic benefit has passed and it will more than likely flow to the Charity (further details are given in Note 3).
## **Consolidation**
These accounts have been prepared in accordance with UK Generally Accepted Accounting Practice, comprising Financial Reporting Standard 102 – The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland (‘FRS 102’) and the Charities SORP second edition (FRS 102) issued by the Charities Commission in October 2019, together with the reporting requirements of the Companies Act 2006, the Charities Act 2011, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006.
The Charity has adapted the Companies Act formats to reflect the SORP and the special nature of the Charity’s activities. The Charity is a public benefit entity.
## **Going concern**
The accounts have been prepared on the going concern basis and under the historical cost convention, with the exception of listed and unlisted investments which are included at market value.
Trustees continuously monitor the impact of external factors on the Charity and its likely future financial position. They are satisfied that the assets are in excess of the liabilities at both the balance sheet date and at the date of approval of the financial statements. The Trustees are also satisfied that the liquidity of the portfolio is appropriate for the phasing of grant commitments over 1 to 3 years and that the risk of market value changes in the Charity’s investments can be managed appropriately.
Having taken into account all available information about the future for the period of at least - but not limited to -12 months from the date on which the accounts are approved, the Trustees are satisfied that there are no material uncertainties about the Charity’s ability to continue. The accounts are therefore prepared on a going concern basis.
The accounts were authorised for issue on 21 October 2025 by the Board of Trustees.
The accounts are prepared in Sterling, which is the functional currency of the Charity and Group and rounded to the nearest £’000. The Charity and Group’s presentational currency is the same as its functional currency.
The Charity funds the costs of generating income and governance from Gift Aid, interest earned on investments and up to 5p in the £ from unrestricted donations. This change was necessary due to reducing returns on investments and reduced income from Gift Aid and now provides the Charity with a level of financial stability.
## **Income**
All income is recognised once the Charity has entitlement to it. It is probable that the income will be received and that the monetary value of the income can be measured with sufficient reliability.
Legacy income is recognised when the criteria of probability, measurement and entitlement are met. This is considered to be on the earlier of the date cash is received or the date final estate accounts are approved.
These consolidated accounts incorporate the results of BBC Children in Need and its wholly-owned subsidiary undertaking, Children in Need Limited, for the year ended 30 June 2025, on a line-by-line basis. Children in Need Limited is a company registered in England and Wales and exists primarily to sell Children in Need merchandise and licence products using the Pudsey Bear trademark.
No separate Cash Flow Statement has been prepared for the Charity as permitted by Section 408 of the Companies Act 2006 and FRS102 respectively.
## **Relationship with the BBC**
Although the Charity and the BBC are respectively separately governed, they remain closely associated and both parties recognise the mutual benefit of their association and collaboration: The Charity in pursuit of its charitable purposes is able to support the BBC in fulfilling its Mission and Public Purposes, including providing access to younger audiences, increasing awareness and understanding of the issues affecting children and young people in UK and offering a charitable vehicle for BBC staff engagement.
In return, the Charity benefits from an annual season of broadcast programming and a range of marketing and operational support, enabling it to promote its work and raise support and money to improve the lives of children and young people across the UK in turn.
## **Grant expenditure**
Grant expenditure is recognised when:
- Grants are approved by Directors or Trustees and notified to the organisations concerned
- Payment is probable
- It can be measured reliably
- All conditions have been met
Grant expenditure not yet paid is recognised as a liability on the balance sheet. If grants are payable in less than one year, they are classified as short-term. If payable in more than one year, they are classified as long-term. For grants payable in more than one year, discounts for present value have not been applied on the basis of materiality.
## **Other expenditure**
Other expenditure is accounted for on an accruals basis and is recognised when:
- There is a legal or constructive obligation committing the Charity and Group to the expenditure
- Payment is probable
- It can be measured reliably
## **Redundancy costs**
Redundancy costs are accounted for on an accruals basis in line with FRS102.
Donated services and facilities are treated as gifts in kind
**66 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
Costs have been directly attributed to a particular heading in the Statement of Financial Activities on a headcount basis or on a time basis consistent with the use of the resource.
Cost of generating funds consists of costs incurred by the Charity in encouraging organisations and individuals to make voluntary contributions or to organise a fundraising event. This includes all costs of production and distribution of publicity materials, the costs of staff and other expenditure incurred in communicating with fundraisers and donors and the cost of Charityorganised events and activities.
Grant giving costs represent the cost of monitoring and evaluating projects to ensure the money is being used to maximum effect, as well as ensuring that grant making is supported, processed and governed responsibly. This includes costs of staff who support the grant making process, external assessors, regional and national committee meetings and expenditure incurred in this process.
Governance costs include all costs involving the public accountability of the Charity and its compliance with regulation and good practice. These include costs of staff, external audit and legal fees along with Trustee expenses and meeting costs.
Further details of other expenditure are shown in Note 5.
## **Tangible & Intangible fixed assets**
Tangible assets costing more than £1,000 are capitalised, included at cost and depreciated over their useful lives on a straight-line basis. Depreciation is provided on all tangible assets at rates calculated to write off the costs of each asset on a straight-line basis over its expected useful life as follows:
|IT equipment and sofware|3 years|
|---|---|
|Intangible asset|3 years|
## **Short Term Debtors and Creditors**
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the Statement of Financial Activity in the cost of generating voluntary income.
## **Operating Leases**
Operating lease rentals are charged to the Statement of Financial Activity on a straight-line basis over the period of the lease.
Further details of operating leases are given in Note 14.
## **Retirement Benefit Plans**
Employees of the Charity participate in defined benefit and defined contribution schemes operated by the British Broadcasting Corporation. The defined benefit schemes provide benefits based on pensionable pay. The assets of the BBC’s main pension scheme, the BBC Pension Scheme, to which the majority of employees belong, are held separately from those of the BBC Group.
The BBC Pension Scheme is a Group-wide scheme and there is no contractual agreement or stated policy for charging the net defined benefit cost to scheme participants. The contribution rates are set by the pension scheme Trustees, based on valuations which take a longer-term view of the assets required to fund the scheme’s liabilities. Valuations of the scheme are performed by Willis Towers Watson, consulting actuaries, with formal valuations undertaken at least every three years. Accordingly, the Company accounts for contributions payable to the scheme as if the schemes were defined contribution schemes.
## **Basic Financial Instruments**
(a) Financial assets creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities.
Further details of assets are shown in Note 8 and 10.
Trade creditors are recognised initially at transaction price.
## **Investments**
Grants are paid in instalments across the life of the project (typically 3 years). Therefore, we will always have some funds that we hold in investments.
Investments are included in the Balance Sheet at market value. All gains and losses are shown in the Statement of Financial Activities. They are classified as fixed investments if they represent grants awarded and payable in more than one year (presented as a long-term creditor) and grant funds due to be awarded where the payment will be made in more than one year (presented as the grant fund). They are classified as current investments if they represent grants payable in less than one year.
Further details of fixed and current investments are given in Note 9.
## **Stock**
Stock is held by Children in Need Limited. Further details of the accounts of Children in Need Limited are given in Note 7. Stock is stated at the lower of cost and net realisable value. Net realisable value is based on estimated selling price less further costs expected to be incurred to completion and disposal.
Amount owed to Group undertakings which are basic financial instruments are initially recorded at the present value of future payments.
Financial liabilities are derecognised when the liability is extinguished; that is when the contractual obligation is discharged, cancelled or expires.
## **Structure of Reserves**
## **Unrestricted funds including designated**
The Charity holds the majority of donation income in the Impact Continuity Fund, which is designated to ensure maximum positive impact to children and young people currently affected by one of our recognised areas of need. The money is therefore spent on BBC Children in Need’s grant making activity, grant making policy and making an impact; charitable initiatives designed to make a positive difference to the lives of children and young people.
This includes making awards to projects and the cost of allocating, monitoring and evaluating grants to ensure that donations are being used to maximum effect. It is not always possible to accurately match the amount of grant making activity with the amount of income in any one year, therefore any unspent income is always monitored separately.
2025 Annual Report and Accounts **| 67**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
The Charity holds Gift Aid from unrestricted donations, interest earned on investments and up to 5p in the £ from unrestricted donations in the general continuity fund. This fund is used to cover the costs of generating income and other activities supporting the governance, growth and development of the Charity. A proportion is also held in reserve to cover any potential investment losses generated through short-term volatility and to fund a potential short-term funding deficit should future income levels fall unexpectedly.
Other non-grant funds include the net assets of Children in Need Limited.
Gifts in kind are allocated across the two funds based on direct staff allocation.
## **Restricted funds**
This is restricted income held to further a specific purpose of the Charity as stipulated by the donor and is accounted for accordingly and presented separately on the face of the Statement of Financial Activities. This may include associated Gift Aid, which is also deemed to be restricted in use. This spend includes making awards to projects and the cost of allocating, monitoring and evaluating grants.
Where the donor expresses a form of non-binding preference as to the use of the funds, this falls short of imposing a formal restriction and the Charity will include the relevant donations as part of its unrestricted funds.
## **Consolidation**
These consolidated accounts incorporate the results of BBC Children in Need and its wholly-owned subsidiary undertaking, Children in Need Limited, for the year ended 30 June 2025, on a line-by-line basis. Children in Need Limited is a company registered in England and Wales and exists primarily to sell BBC Children in Need merchandise and license products using the Pudsey Bear trademark.
No separate Cash Flow Statement has been prepared for the Charity as permitted by Section 408 of the Companies Act 2006 and FRS102 respectively.
## **Loan to Children in Need Limited**
The interest-bearing loan is a basic financial instrument and is recorded at fair value on both initial recognition and subsequent recognition. As the loan is repayable on demand, fair value is equal to face value.
## **Judgements and estimates**
The preparation of the accounts requires Management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities at the balance sheet date, as well as the amounts reported for income and expenditure during the year.
Judgement has been applied in the consideration of what gifts in kind are included in the Charities accounts. The gift in kind has been accounted for where the actual expenditure incurred by the BBC or corporate partner can be measured reliably, and where the Charity has received the benefit.
Many of the other elements of BBC support are very difficult to quantify, as they are not discrete activities but embedded, partly as newsworthy and entertainment content, within the operations and business of the BBC. The Appeal Show provides valuable content which attracts a large audience, and without it, the BBC would have to produce alternative content. As such, the full value of support provided by the BBC has not been included in the Charity’s Statement of Financial Activities.
**68 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **2 INCOME**
Income from direct public support such as donations, public and schools fundraising, our corporate partners and BBC programmes of £52.8m (2024: £48.9m) - plus income such as Gift Aid, investment income and licence fee income of £9.6m (2024: £8.8m), which is used to fund the Charity’s income generating activities - totals £62.3m of income for the Charity (2024: £57.7m).
|**Unrestricted Funds**|**Restricted Funds**||
|---|---|---|
|**Direct**
**Public**
**Support**
**£000**
**High Value**
**Donors &**
**Partnerships**
**£000**
**BBC**
**Programmes**
**£000**
**Other**
**£000**
**Total**
**£000**|**Direct**
**Public**
**Support**
**£000**
**High Value**
**Donors &**
**Partnerships**
**£000**|**Total**
**2025**
**£000**
**Total**
**2024**
**£000**|
|Schools
2,962
-
-
-
2,962
Public fundraising
2,917
-
-
-
2,917
Donations
5,189
12,144
21,778
-
39,111
Gift Aid on donations
4,682
-
-
-
4,682|||
||-
-|2,962
3,523|
||-
-|2,917
2,348|
||-
-|39,111
37,068|
||-
-|4,682
3,524|
|**TOTAL DONATIONS**
**15,750**
**12,144**
**21,778**
**-**
**49,672**|**-**
**-**|**49,672**
**46,463**|
|Gift aid payment from
Children in Need Limited
250
-
-
-
250
Partnership funding
-
1,099
-
-
1,099
Legacies
3,159
-
-
-
3,159|||
||-
-|250
372|
||-
3,180|4,279
2,150|
||-
-|3,159
3,379|
|**TOTAL INCOME FROM**
**CHARITABLE ACTIVITIES**
**19,159**
**13,243**
**21,778**
**-**
**54,180**|**-**
**3,180**|**57,360**
**52,364**|
|Licence fee income
-
161
-
-
161
Return on investments
-
-
-
2,710
2,710|||
||-
-|161
152|
||-
-|2,710
1,354|
|Other income - gift in kind
-
-
-
416
416|-
-|416
677|
|**RECONCILIATION TO**
**CHARITY SOFA**
**19,159**
**13,404**
**21,778**
**3,126**
**57,467**|**3,180**|**60,647**
**54,547**|
|Gift in kind
-
-
-
(416)|-
-|(416)
(677)|
|Plus gains on investments
-
-
-
2,059|-
-|2,059
3,802|
|**RECONCILIATION TO**
**REPORTED INCOME**
**59,110**||**62,290**
**57,672**|
How the above income has been utilised in the year is shown below.
**----- Start of picture text -----**
Grant Awards (36,559) (1,023) (37,582) (35,711)
Costs of Grant Making (5,988) (270) (6,258) (5,426)
-
Costs of Generating Income and Governance (9,002) (9,002) (7,060)
Movement in Reserves (7,561) (1,887) (9,448) (9,475)
REPORTED TOTAL INCOME (59,110) (3,180) (62,290) (57,672)
**----- End of picture text -----**
Total income reported on the Charity’s Statement of Financial Activities is £60.6m (2024: £54.5m) before unrealised investment income and gift in kind.
2025 Annual Report and Accounts **| 69**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **3**
## **GIFTS IN KIND**
BBC Children in Need is the UK corporate Charity of the BBC and, as such, is supported by the BBC in a number of ways - including, but not limited to:
- The provision of office space and other services at no charge
- The preparation and broadcast of the annual televised BBC One Appeal Show, including national and regional programming content
- The extensive support of programmes across all platforms, both on the day of the Appeal and during the campaign build-up
- Significant promotional support and coverage of the Appeal across the BBC local television and radio network in the days before the Appeal and on Appeal Night
The costs of support through the provision of office space and other services for the last financial year have been calculated as £416k (2024 - £677k), based on actual office space utilised by BBC Children in Need during the year. This amount has been recorded as income - with an equal amount included in expenditure - in the statement of financial activities, as it meets the recognition criteria set out in the Charities SORP second edition (FRS 102) issued by the Charities Commission in October 2019.
Please refer to Note 1 on page 66 for disclosure of key judgements in relation to gifts in kind.
## **4 GRANT EXPENDITURE**
The grants given to charities and organisations fall into the bands detailed below:
|**Grants**|**Reconciliation**|**Group 2025**
**£’000**|**Group 2024**
**£’000**|
|---|---|---|---|
|**Grants**|**Outstanding as at 1 July 2024**|41,685|39,747|
|Grants|awarded in the period|37,582|35,711|
|Grants|paid in the period|(31,675)|(33,773)|
|**Grants**|**Outstanding as at 30 June 2025**|47,592|41,685|
**70 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
**----- Start of picture text -----**
Total Grants Awarded In The Period Qty Group 2025 £’000 Qty Group 2024 £’000
Open Call Grant Award
Core Grants 165 10,570 147 9,646
Project Grants 275 17,998 238 16,276
Pudsey Next Steps 41 2,076 73 2,471
Big Sky 150 739 29 142
iWill - Youth Social Action, We Move 1 461 56 1,622
Exit Grants 32 368 - -
We Move Programme 4 129 - -
668 32,341 543 30,157
In Partnership With:
Hunter Foundation 1 838 1 539
McDonalds Innovation Activity 10 505 - -
A Million & Me Programme 5 377 8 1,081
Sense UK 1 200 - -
Shelter 1 110 - -
The Felix project 1 100 1 100
New Philanthropy Capital 1 100 - -
Oasis Charitable Trust for Centre for
1 74 - -
Young Lives
Ferdinando & Luigi Innocenti Foundation 17 35 - -
Legal Education Fund 1 19 1 244
The Children's Society - - 1 1,000
Spiral Skills - - 1 100
National Youth Agency - - 1 100
McDonalds Community Connections - - 10 16
Blagrave Trust - - 1 67
Others 12 188 13 136
51 2,546 38 3,383
Emergency Funding 1 3,000 1 3,000
Total Grant Awards 720 37,887 582 36,540
Grant Underspends (305) (830)
Training of Grantees - 1
37,582 35,711
**----- End of picture text -----**
In the year ended June 2025, £37,887k (2024: £36,540k) before returns.
Of this amount, direct open call funding totalled £32,341k (2024: £30,157k), £3,000k (2024: £3,000k) was awarded in Emergency funding and £2,546k (2024: £3,383k) was awarded across other partnership programmes.
Our direct open call funding primarily consists of two programmes, project and core grants, allowing applicants to approach us for funding for running specific pieces of work connected to a project and for covering core costs. During the year we have awarded grants through our open call funding at different levels: micro-grants (up to £5k), under £15k pa for three years, or £15k-£40k pa for up to three years.
## **Adjustments to grants**
An amount of £305k (2024: £830k) has been written back to the Statement of Financial Activities in the 2025 financial year. This represents adjustments to grants and the full and partial return of grants that have been awarded in the current and the prior year - a situation that arises when the project cannot fulfil the agreed outcomes. This amount is added back to the total available for future awards.
2025 Annual Report and Accounts **| 71**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **5 GROUP OPERATING COSTS EXCLUDING GIFTS IN KIND**
In order to administer the Charity efficiently, fundraise creatively, manage the funds raised professionally and operate as an effective grant maker, BBC Children in Need incurs costs.
Where staff work across more than one area, costs are allocated based on the proportion of time spent on the areas of governance, generating voluntary income and making an impact, which includes the cost of grant making.
Office & IT costs and professional fees are allocated based on usage. The BBC gift in kind that supports the provision of office space - together with depreciation - is allocated based on staff numbers.
||**Staff**|**Support**|**Other**|**2025**|**2024**|
|---|---|---|---|---|---|
|**Group Operating Costs**|**Costs**|**Costs**|**Direct Costs**|**Total**|**Total**|
||**£’000**|**£’000**|**£’000**|**£’000**|**£’000**|
|**Costs of Generating Funds**||||||
|Cost of generating voluntary income|4,155|1,790|2,497|**8,442**|6,673|
|Investment management fees|-|-|145|**145**|116|
|Trading operating costs|29|-|494|**523**|518|
|Governance|125|352|1|**478**|433|
|**Charitable Activities**||||||
|Grant Making, policy & impact|3,812|1,440|1,201|**6,453**|5,789|
|Gifts in kind
**Operating costs**|**8,121**|**3,582**|**4,338**|**16,041**
**(416)**
**15,625**|**13,529**
**(677)**
**12,852**|
Specific expenditure items included in the figures above are as follows:
||**Group**|**Group**|**Charity**|**Charity**|
|---|---|---|---|---|
||**2025**|**2024**|**2025**|**2024**|
||**£’000**|**£’000**|**£’000**|**£’000**|
|Depreciation|**13**|12|**13**|12|
|Operating leases|**29**|29|**29**|29|
|Reimbursement of trustees expenses|**2**|4|**2**|4|
|**Auditors’ Remuneration:**|||||
|Audit of these accounts|**97**|52|**97**|52|
|Audit of the charity’s subsidiary pursuant to the legislation|**2**|2|**-**|-|
|Taxation compliance services|**13**|2|**10**|-|
|Legal fees|**62**|45|**62**|45|
## **Audit remuneration**
Audit fees have now been aligned to the financial year. Therefore, fees totalling £41k relate to the prior year audit. The comparable current year fee for the ‘Audit of these accounts’ was £56k for 2024/25.
Support costs for the Group are broken down as follows:
||**Staff**
**Costs**
**£’000**|**Office and**
**IT Costs £’000**|**Depreciation**
**£’000**|**Professional**
**Fees**
**£’000**|**Gifts**
**in Kind**
**£’000**|**2025**
**Total**
**£’000**|**2024**
**Total**
**£’000**|
|---|---|---|---|---|---|---|---|
|**Costs of Generating Funds**||||||||
|Cost of generating voluntary income|1,055|241|7|272|215|**1,790**|1,672|
|Governance|232|53|1|60|6|**352**|318|
|**Charitable Activities**||||||||
|Grant making, policy and impact|834|191|5|215|195|**1,440**|1,477|
||**2,121**|**485**|**13**|**547**|**416**|**3,582**|**3,467**|
**72 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **6 EMPLOYEE AND PENSION INFORMATION**
The average number of persons employed during the period split by function is as follows:
|**Group**|**Group**|**Charity**|**Charity**|
|---|---|---|---|
|**2025**|**2024**|**2025**|**2024**|
|**£’000**|**£’000**|**£’000**|**£’000**|
|Generating funds
72
Grant giving
91
Governance
4
**167**|65
83
4
**152**|65
87
4
**156**|65
83
4
**152**|
The equivalent number of full-time staff is 160 (2024: 145).
The breakdown of the Group’s salary costs is as follows
||**Group**|**Group**|**Charity**|**Charity**|
|---|---|---|---|---|
||**2025**|**2024**|**2025**|**2024**|
||**£’000**|**£’000**|**£’000**|**£’000**|
|Wages and salaries
Social Security costs
Pension costs
Other staff costs
**Total ongoing salary costs**
Redundancy costs
**Total Salary Costs**|7,335
812
584
317
**9,048**
1,194
**10,242**|6,571
686
552
417
**8,226**
-
**8,226**|7,309
809
584
317
**9,019**
1,194
**10,213**|6,550
684
552
416
**8,202**
-
**8,202**|
## **Pension Costs**
## **Defined benefit schemes:**
The Company accounts for the BBC Pension Scheme as if it were a defined contribution scheme. This is because it is unable to identify its share of the underlying assets and liabilities of the scheme on a consistent and reasonable basis.
The pension costs for both schemes represent contributions payable by the Charity to the funds - and this amounted to £584k in the year (2024: £552k).
Information about the scheme deficit that may affect the amount of future contributions, including the basis used to determine that deficit - and the implications - can be found within Notes D6 and D7 of the BBC Annual Report and Accounts.
## **Remuneration**
Trustees do not receive any remuneration nor receive any other benefits for their roles as Trustees. Trustee expenditure includes the reimbursement of expenses incurred by Trustees while carrying out their duties for the Charity - primarily for travel expenses of Trustees not based in London to attend meetings. £2k of expenses were paid in the period to 6 Trustees (2024: £3k to four Trustees).
Included in the total salary cost above are redundancy payments amounting to £1.2m (2024: nil) on termination of employment. Of the £1.2m, £0.4m remains unpaid as at 30 June 2025 and this is reflected on our balance sheet. These costs have been incurred as part of a programme of work to implement our strategy and ensure we have the right people with the right skills to grow our income and have the greatest impact on Children and Young People. Redundancy payments were based on service. These payments are managed by the Human Resources department in line with policy and procedures and authorised according to the scheme of delegation based on size of payment.
2025 Annual Report and Accounts **| 73**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
The emoluments of employees who are higher paid fell into the following bands of £10,000:
|**Group**|**Group**|
|---|---|
|**2025**|**2024**|
|£60,000 - £69,999
11
£70,000 - £79,999
3
£80,000 - £89,999
1
£90,000 - £99,999
3
£100,000 - £109,999
3
£110,000 - £119,999
1
£160,000 - £169,999
1
**23**|6
3
3
1
2
1
1
**17**|
The emoluments paid to the Chief Executive in the year were £165,695 (2024: £160,997).
## **Key management personnel**
All principal officers who have authority and responsibility for planning, directing and controlling the activities of the Charity are considered to be key Management personnel. Total remuneration in respect of these individuals is £1,178k (2024: £1,127k).
**74 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **7 INVESTMENT IN SUBSIDIARY**
BBC Children in Need owns 100% of the issued ordinary share capital of £2 of Children in Need Limited (registered company 2461031), a company registered in England and Wales, which licenses products using the Pudsey Bear trademark.
A summary of the trading results and balance sheet of Children in Need Limited is set out below.
Turnover of £464k is derived from the sale of merchandise to the public through our online store, as well as from fundraising events (2024: £597k). In addition, corporate partners purchase BBC Children in Need product to support their fundraising activities and sell their own products licensed by Children in Need Limited. For this, a license fee is charged (£312k (2024: £293k)).
The Trading Company has gifted its net profit of £250k (2024: £372k) to the Charity.
**----- Start of picture text -----**
Year to 30 Jun 25 Year to 30 Jun 24
£’000 £’000
Turnover 776 890
Product cost of sales (365) (366)
Contribution 411 524
Other cost of sales (61) (74)
Gross Profit 350 450
Operating expenses (97) (78)
Net Profit 253 372
Gift aid payment to BBC Children in Need Appeal (250) (372)
Retained in Children in Need Limited 3 -
30 Jun 25 30 Jun 24
£’000 £’000
Fixed Assets
Current Assets
Stock 398 241
Debtors 22 104
Cash at bank and in hand 174 286
TOTAL CURRENT ASSETS 594 631
Creditors: amounts falling due within one year (576) (616)
Net Current Assets 18 15
Total assets less current liabilities 18 15
- -
Creditors: amounts falling due after more than one year
Net Assets 18 15
- -
Share capital
Profit and loss account 18 15
Total Funds 18 15
**----- End of picture text -----**
2025 Annual Report and Accounts **| 75**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
Within the creditors’ amount of £576k is £518k (2024: £594k) owing to the Charity. This is made up of an outstanding loan of £150k not due for repayment, £250k of Gift Aid and £176k of recharges not yet transferred back to the Charity. The movement of £76k in the creditor balance in the year is explained as follows:
|**Inter Company Transactions in Year**|**2025**
**£’000**|**2024**
**£’000**|
|---|---|---|
|Staff & staff expenses recharged by charity|63|54|
|Donations deposited with the trading company|29|221|
|Trading vat transactions paid through the charity|30|66|
|Loan interest charged by the charity|20|14|
|Gift aid payment donated to charity|250|372|
|Merchandise and storage costs recharged to charity|(35)|(43)|
|Cash transferred to charity in part settlement of the above|(433)|(589)|
|Movement|**(76)**|**(95)**|
## **8 TANGIBLE ASSETS**
**----- Start of picture text -----**
IT Equipment
Total
Group & Software
£’000
£‘000
Cost
As at 01 July 2024 403 403
Additions - -
- -
Disposals
As at 30 June 2025 403 403
Accumulated Depreciation
As at 01 July 2024 375 375
Charge for the year 13 13
- -
Disposals
As at 30 June 2025 388 388
Net Book Value
As at 30 June 2024 28 28
As at 30 June 2025 15 15
IT Equipment
Total
Charity & Software
£’000
£’000
Cost
As at 01 July 2024 329 329
Additions - -
- -
Disposals
As at 30 June 2024 329 329
Accumulated Depreciation
As at 01 July 2024 301 301
Charge for the year 13 13
- -
Disposals
As at 30 June 2025 314 314
Net Book Value
As at 30 June 2024 28 28
As at 30 June 2025 15 15
**----- End of picture text -----**
**76 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **9 FIXED AND CURRENT INVESTMENTS FOR THE GROUP**
The portion of the Group and Charity’s investment portfolio that is classified as fixed investments relate to grant creditors committed, or grants to be awarded and payable in more than one year. Current investments relate to grant creditors committed, or grants to be awarded and due for payment within one year plus any other short term liabilities.
Investments are analysed below, between Equity, Fixed Income and Alternatives. Fixed Income includes certificates of deposit, floating rate notes, gilts and high-quality corporate bonds. Alternatives include other income generating assets, such as securitised credit funds. Investments are valued at current market value as at 30 June 2025.
Income in the year of £4,769k relates to interest earned on investments held in the year £2,710k plus revaluation gains £2,059k (2024: £5,156 (1,354k interest and £3,802k gains)).
**----- Start of picture text -----**
2025 2024
Group and Charity £’000 £’000
Market Value at 1 July 2024 84,538 72,215
Add: acquisitions at cost 105,166 267,159
Less: disposals at market value (88,530) (252,644)
Add: net gains on revaluation 2,059 3,802
Market Value at 30 June 2025 103,233 90,532
-
Less: deposits held at financial institutions (7,251)
-
Add: deposits held at financial institutions 1,257
Total Investments at 30 June 2025 103,233 84,538
**----- End of picture text -----**
The investments can be analysed as follows:
**----- Start of picture text -----**
2025 2024
Valuation Cost Valuation Cost
£’000 £’000 £’000 £’000
Fixed Income
-maturing in more than 1 year 23,715 22,560 13,812 13,690
-maturing in less than 1 year 64,483 65,351 59,313 59,057
Alternatives
-maturing in more than 1 year 6,433 6,308 18,664 15,021
- - - -
-maturing in less than 1 year
Equities
-maturing in more than 1 year 8,602 6,308 18,664 15,021
- - - -
-maturing in less than 1 year
- -
Deposits held with financial institutions (7,251) (7,251)
103,233 102,456 84,538 80,517
Included as:
Fixed asset investments 30,635 30,635 29,394 29,394
Current investments 72,598 71,821 55,144 51,123
103,233 102,456 84,538 80,517
**----- End of picture text -----**
There are nil cash and cash equivalents included in the above totals (2024: £1,257k).
## **10 INTANGIBLE ASSET**
During the year, the charity has invested £614k into the production of a special animation which will be aired on BBC One later in 2025, with a further capital commitment to be paid in 2025/26 of £196k. This production is in collaboration with BBC Children’s department and offers a unique opportunity to enhance Pudsey’s legacy, attract new supporters and generate new income. The asset will be amortised over three years in line with our policy.
2025 Annual Report and Accounts **| 77**
**NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **11 DEBTORS**
||**Group**
**Group**
**Charity**|**Charity**|
|---|---|---|
||**2025**
**2024**
**2025**|**2024**|
||**£’000**
**£’000**
**£’000**|**£’000**|
|**Amounts Falling Due Within One Year**|||
|Trade debtors|1,332
809
1,322|705|
|Amounts owed by subsidiary undertaking|-
-
518|594|
|Other debtors|852
1,543
852|1,543|
|Taxation|11
-
1|-|
|Prepayments and accrued Income|7,179
6,527
7,177|6,527|
|**Amounts Falling Due After More Than One Year**
Other debtors
**Total Debtors**|**9,374**
**8,879**
**9,870**
-
300
-
**-**
**300**
**-**
**9,374**
**9,179**
**9,870**|**9,369**
300
**300**
**9,669**|
Prepayments and accrued income of £7,179k are split into £105k and £7,074k (2024: £6,527k split into £170k and £6,357k) respectively.
The accrued income relates mainly to Corporate and Investment income still to be received.
## **12 CREDITORS**
||**Group**
**Group**
**Charity**|**Charity**|
|---|---|---|
||**2025**
**2024**
**2025**|**2024**|
||**£’000**
**£’000**
**£’000**|**£’000**|
|**Amounts Falling Due Within One Year**|||
|Trade creditors|180
1,587
124|1,587|
|Grants payable|29,757
25,091
29,757|25,091|
|Accruals and deferred income|3,939
1,696
3,937|1,675|
|Taxation|-
3
-|2|
|**Amounts Falling Due After More Than One Year**
Grants payable|**33,876**
**28,377**
**33,818**
17,835
16,594
17,835
**17,835**
**16,594**
**17,835**|**28,355**
16,594
**16,594**|
**78 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
|**Group**|**Group**|**Charity**|**Charity**|
|---|---|---|---|
|**2025**|**2024**|**2025**|**2024**|
|**£’000**|**£’000**|**£’000**|**£’000**|
|**Details of Awarded but Unpaid Grants**
Main & small responsive grants
279|4,080|279|4,080|
|Core, project & Pudsey Next Steps grants
42,620|31,879|42,620|31,879|
|Emergency Essentials Programme
2,250|2,250|2,250|2,250|
|Proactive grant partnerships
2,443
**47,592**|3,476
**41,685**|2,443
**47,592**|3,476
**41,685**|
- Our main and small responsive grants were awarded in previous years
- Our core, project and emerging grants are payable over the next 3 years
- Our emergency essential programme grant is payable in the next 11 months
- Our proactive grant partnerships includes We Move, Big Sky and The Hunter Foundation Foundation and the Ferdinando & Luigi Innocenti Foundation
## **13 FINANCIAL INSTRUMENTS**
The group has the following financial instruments:
|**13 FINANCIAL INSTRUMENTS**
The group has the following fnancial instruments:||||
|---|---|---|---|
|||**Group**|**Group**|
||**Notes**|**2025**|**2024**|
|||**£’000**|**£’000**|
|Financial assets measured at amortised cost are:||||
|trade debtors, accrued income, cash and other debtors|11|13,947|9,895|
|excluding prepayments||||
|Financial assets measured at fair value through income
and expenditure|9|103,233|91,789|
|Financial liabilities at amortised cost are:||||
|trade creditors, grants payable, other creditors,|12|51,711|44,971|
|accruals excluding deferred income||||
## **14 OPERATING LEASES**
**----- Start of picture text -----**
Group Group
Other Other
2025 2024
£’000 £’000
Operating leases which expire:
- within one year 16 22
- later than one year and not later than five years 12 15
28 37
**----- End of picture text -----**
2025 Annual Report and Accounts **| 79**
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **15a FUNDS**
The fund balances are shown below.
**----- Start of picture text -----**
Cost of Grant
Opening Grants Awarded Making, Policy, Cost of Raising
Fund Gift Total in Year (Net of Impact and Funds & Closing Fund
Funds £’000 1 Jul 24 Donations Funding Legacies Aid Product Investments Income Adjustments) Grantee Training Governance 30 June 25
iWill 420 - - - - - - - (150) (270) - -
THF 1,391 3,000 - - - - - 3,000 (838) - - 3,553
Innocenti - 180 - - - - - 180 (35) - - 145
Foundation
Restricted 1,811 3,180 - - - - - 3,180 (1,023) (270) - 3,698
Impact Fund
Unrestricted
Designated 38,583 44,090 1,099 3,096 - 250 - 48,535 (36,559) (5,988) - 44,571
Impact Fund
General 11,508 900 - 63 4,682 161 4,769 10,575 - - (9,002) 13,081
Continuity Fund
Investment 5,000 - - - - - - - - - - 5,000
Continuity Fund
Development 250 - - - - - - - - - - 250
Fund
Total
Unrestricted 55,341 44,990 1,099 3,159 4,682 411 4,769 59,110 (36,559) (5,988) (9,002) 62,902
Funds
Total Funds 57,152 48,170 1,099 3,159 4,682 411 4,769 62,290 (37,582) (6,258) (9,002) 66,600
**----- End of picture text -----**
The closing restricted fund of £3.7m (2024: £1.8m) represents £0.5m (2024: £1.4m) of donations previously received from The Hunter Foundation (THF) plus new donations of £3m from the 2024 Appeal and the balance of £0.2m of income from the Ferdinando & Luigi Innocenti Foundation.
All funds donated in the year have been awarded as per agreed restrictions. Unrestricted funds totalling **£62m** (2024: £55.3m) are held for the following purposes:
- The ‘Designated Impact Fund’ of £44.6m (2024: £38.5m) is designated for grant making and will be awarded prior to the next Appeal, with the exception of a £5m contingency held to cover the uncertainty of income available to fund impact activity and /or exceptional requirement for funding.
- The ‘General Continuity Fund’ and ‘Development Fund’ totalling £13.5m (2024: £11.8m) are held to cover uncertainty of income available to fund general operating costs (£5m) and the balance is held to allow for future investment and respond to growth opportunities. £0.3m of this has been committed in the following year to transform and innovate.
- The ‘Investment Continuity Fund’ of £5m (2024: £5m) is to manage volatility or total return (capital value or income) from incomegenerating assets.
## **15b COMPARATIVE FUNDS NOTE**
**----- Start of picture text -----**
Grants Cost of Grant Cost of
Opening Awarded in Making, Policy, Raising Closing
Fund Gift Total Year (Net of Impact and Funds & Fund 30
Funds £’000 1 Jul 23 Donations Funding Legacies Aid Product Investments Income Adjustments) Grantee Training Governance June 24
iWill 734 - - - - - - - (314) - - 420
THF 1,853 - - - - - - - (462) - - 1,391
Other partnerships - - - - - - - - - - -
Restricted Impact Fund 2,587 - - - - - - - (776) - - 1,811
Unrestricted Designated 31,031 42,080 2,150 3,311 - 372 - 47,913 (34,935) (5,426) - 38,583
Impact Fund
General Continuity Fund 8,809 859 - 68 3,524 152 5,156 9,759 - - (7,060) 11,508
Investment Continuity Fund 5,000 - - - - - - - - - 5,000
Development Fund 250 - - - - - - - - - - 250
Total Unrestricted Funds 45,090 42,939 2,150 3,379 3,524 524 5,156 57,672 (34,935) (5,426) (7,060) 55,341
Total Funds 47,677 42,939 2,150 3,379 3,524 524 5,156 57,672 (35,711) (5,426) (7,060) 57,152
**----- End of picture text -----**
**80 |** BBC Children in Need
## **NOTES TO THE ACCOUNTS**
## **FOR THE YEAR ENDED 30 JUNE 2025 (CONTINUED)**
## **15c ANALYSIS OF NET ASSETS BY FUND**
Fund balances at 30 June 2025 are represented by:
**----- Start of picture text -----**
Unrestricted
Restricted Unrestricted
Designated
Group Funds General Funds Total £'000
Impact Funds
£’000 £’000
£’000
Fixed assets 31,264 - - 31,264
Net current assets 31,142 3,698 18,331 53,171
- -
Long-term liabilities (17,835) (17,835)
Net assets 44,571 3,698 18,331 66,600
**----- End of picture text -----**
Fund balances at 30 June 2024 are represented by:
**----- Start of picture text -----**
Unrestricted
Restricted Unrestricted
Designated
Group Funds General Funds Total £'000
Impact Funds
£’000 £’000
£’000
Fixed assets 29,422 - - 29,422
Net current assets 25,756 1,811 16,757 44,324
- -
Long-term liabilities (16,594) (16,594)
Net assets 38,584 1,811 16,757 57,152
**----- End of picture text -----**
## **16 TAXATION**
BBC Children in Need, a company limited by guarantee, was registered as a Charity on 7 August 2003. The Charity is considered to pass the tests set out in Paragraph 1 Schedule 6 Finance Act 2010 and therefore it meets the definition of a Charitable Company for UK corporation tax purposes. Accordingly, the Charity is potentially exempt from taxation in respect of income or capital gains received within categories covered by Chapter 3 Part 11 Corporation Tax Act 2010 or Section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied exclusively to charitable purposes.
## **17 RELATED PARTIES**
## **Subsidiary Undertaking**
During the year, the Charity entered into transactions with a related party in the ordinary course of the Charity’s activity. Trading balances outstanding at 30 June 2025 are as follows:
||**2025**|**2024**|
|---|---|---|
||**£’000**|**£’000**|
|Subsidiary Undertaking (debtor to the charity)|518|594|
At the year end, BBC Children in Need had a creditor balance with the BBC Group of £1.7m (2024: £1.4m) relating to the recharge of employee costs.
During the financial year BBC Children in Need engaged with research partners Clearview and Renaisi to perform grant evaluation activity. Trustee Kenny Imafidon, Co-founder of Clearview, who also works with Renaisi, declared a conflict of interest but had no involvement in contracting the services (the total cost of the evaluation activity was circa £100k).
2025 Annual Report and Accounts **| 81**
Registered Charity (England and Wales) 802052 Registered Charity (Scotland) SC039557 Registered Company 04723022
2025 Annual Report and Accounts **| 83**