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2025-12-31-accounts

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation

(A Company Limited by Guarantee)

Trustees’ Report and Consolidated Financial Statements

For the year ended 31 December 2025

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Contents

Page Number
Reference and Administration Details 1 - 2
Trustees’ Annual Report 3 – 34
Report of the Independent Auditors 35 – 39
Consolidated Statement of Financial Activities 40
Charity Only Statement of Financial Activities 41
Consolidated Balance Sheet as at 31 December 2025 42
Charity Only Balance Sheet as at 31 December 2025 43
Consolidated Statement of Cash Flows 44
Charity Only Statement of Cash Flows 45
Notes to the Cash Flow Statement 46 – 47
Notes to the Financial Statements 48 - 84

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Reference and Administrative Details For the Year Ended 31 December 2025

Directors and Trustees

The directors of the charitable company (the Charity) are its trustees for the purpose of charity law and throughout this report are collectively referred to as the trustees.

The trustees serving during the year and since the year end were as follows:

Chairman: Max Steinberg CBE (resigned 9 December 2025) Euan Imrie (appointed 1 January 2026) James E Couton Alison Lobb Alyson Chadwick Mandee Lucas Alastair Machray Cathy Brokenshire Emma O’Dowd Jane Mullin (resigned 10 March 2026) Donna Brenchley Euan Aitken (appointed 18 March 2025) Margaret Tarpey (appointed 3 June 2025) David Cartman (appointed 10 March 2026) Company Secretary Paula Chadwick Senior Management Team Paula Chadwick (Chief Executive) Michael Grundy (Deputy Chief Executive and Director of Retail and Fundraising) (resigned 31 March 2026) Wioletta Borawska (Finance Director) Jenny Lloyd (Director of Fundraising) Dr Jesme Fox (Medical Director) Lorraine Dallas (Director of Patient Information and Support) Rachel Avery (Director of Communications and Engagement) Principal and Registered Office Cotton Exchange Building Old Hall Street Liverpool L3 9LQ Company Registration Number 03059425 (England and Wales) Charity Number 1046854 (England and Wales) SC037596 (Scotland)

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Reference and Administrative Details

For the Year Ended 31 December 2025

Professional Advisers:
Independent Auditor Murray Smith LLP
Chartered Accountants
Statutory Auditors
Darland House
44 Winnington Hill
Northwich
Cheshire
CW8 1AU
Bankers Barclays Bank plc
Liverpool City Business Centre
Lord Street
Liverpool
L2 1TD
NatWest Bank Plc
Liverpool Customer Service Centre
Stevenson Way
Wavertree
St Helens
L13 1NW
Investment Bankers Rathbones
Port of Liverpool Buildings
Pier Head
Liverpool
L3 1NW
Solicitors Brabners Chaffe Street
Horton House
Exchange Flags
Liverpool
L2 3YL
Jackson Lees
3rdFloor Walker House
Exchange Flags
Liverpool
L2 3YL

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Foreword by the Chief Executive of Roy Castle Lung Cancer Foundation

Welcome to our Annual Trustees’ Report, outlining the charity’s activities during 2025.

Ours is the only UK charity entirely dedicated to helping anyone and everyone affected by all forms of lung cancer. It has two core functions: to save lives and support those living with the disease. Each year lung cancer kills almost 35,000 people in the UK, more than the total for breast, pancreatic and prostate cancers combined. This is why our work remains so vital.

We seek to save lives by funding research, promoting ways to prevent people from developing lung cancer (primarily by offering support for people seeking to stop using tobacco products), and by developing high-quality information resources.

Our researchers add to the store of knowledge of lung cancer and work to help patients and their families better understand the disease and its implications for their lives.

Our Information Centre creates and updates high-quality collateral such as leaflets and online content, reviewed by patients and supported by input from our research and prevention projects. We offer emotional and practical support through our nurse-led helpline and online forum, and financial support through our patient grants.

We represent lung cancer patients in the decision-making processes of both the National Institute for Health and Care Excellence (NICE) and the Scottish Medicines Consortium (SMC), the bodies responsible for recommending the use of new medicines and treatments within the NHS.

As evidence from major clinical trials shows that screening with low-dose CT scans saves lives and improves outcomes we support NHS England's newly established Lung Cancer Screening programme, and we urgently wish to see similar initiatives throughout the UK.

During 2025 we increased our activities within this initiative, with encouraging results – see the reports by our Director of Engagement & Communications and our Medical Director.

Turbulent times have real-world financial consequences for enterprises such as our charity. Faced with unprecedented challenges in day-to-day operations and raising funds to support our work, we have had to make difficult decisions over the course of the past year.

In 2025 we engaged in a period of restructuring, in which we reallocated resources and personnel. We did this both to address the immediate financial issues (outlined in the Finance Director’s Report) and to ensure that we can offer a strong, flexible and agile response to whatever challenges lie ahead.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

This charity has always been resilient, and never more so than during troubled times. Our work continues and remains more relevant than ever, as the take-up of NHS Lung Health Checks clearly demonstrates. We are rightly proud of our developing role within this programme and all the complementary work underway to establish other methods and routes towards early diagnosis of lung cancer.

None of this would be possible without the tireless and selfless efforts of our supporters and we thank them for all they do to enable us to continue with our work.

Once again, we pledge to redouble our efforts to support all those affected by lung cancer – people whom we firmly believe have the right to EXPECT BETTER.

Paula Chadwick

Chief Executive

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Objectives and activities

Who We Are

The Roy Castle Lung Cancer Foundation Company Number 03059425 (the Foundation) is a company limited by guarantee governed by its Memorandum and Articles of Association last amended 31st January 2011. The company is registered as a charity with the Charity Commission in England and Wales (1046854), the Office of the Scottish Charity Regulator (SC037596) and the Index of Charities on the Isle of Man (1277).

We exist for the benefit of lung cancer patients, and all affected by the disease. By securing donations, legacies and sponsorship, the charity can make material improvements for patients, their families and those who look after them.

We have established the charity as the UK's primary support resource for all diagnosed with lung cancer and also their families and carers. We aim to be the representative 'voice' of lung cancer patients in all areas of health care policy and provision and to offer first-class information and support services.

Our mission

As outlined within the Chief Executive’s foreword the charity has a dual focus: saving lives and supporting people living with lung cancer.

To do this, we promote and fund research into the causes, prevention, and treatment of lung cancer, we develop health promotion programmes aimed at preventing the onset of lung cancer, and we offer practical support to improve the quality of life of patients and their relatives.

During 2025, we placed a strong emphasis on supporting the successful implementation and promotion of the NHS England Targeted Lung Health Check (TLHC) Programme. This work has made a significant contribution to the NHS Long Term Plan by helping to improve early diagnosis and survival outcomes for people affected by cancer. The reports from the Medical Director and the Director of Communications and Engagement clearly demonstrate the impact, value, and importance of the charity’s work in these areas.

Through the raising of new funds and the careful stewardship of existing resources, the charity delivers clear public benefit by addressing unmet needs. This is achieved by awarding grants to support lung cancer patients and their families in accessing essential services, funding vital research, and providing related information, support, and prevention services.

The trustees confirm that they have paid due regard to the public benefit guidance published by the Charity Commission and Office of the Scottish Charity Regulator. The Foundation refers to the public benefit guidance when reviewing and setting its aims and objectives and in future planning.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

When considering where to focus our attention, our corporate trustees' board and particularly the members of the charity's research funding committee have regard to the Charity Commission's guidance on public benefit and what this means for our charity.

Medical Director’s Report

1. Lung Cancer in 2025 – Overview

Lung cancer screening remained a central focus for the Foundation in 2025. The UK National Screening Committee based its 2022 recommendation in favour of setting up a National Lung Cancer Screening Programme on robust and conclusive clinical evidence that screening high risk individuals using low dose CT scans saves lives.

In England , the Targeted Lung Health Check (TLHC) Programme was renamed the Lung Cancer Screening Programme in February 2025. Roll out has now reached over 40% of the eligible high risk population, with full national coverage planned by 2030. To date, almost 10,000 lung cancers have been diagnosed through screening, with approximately 75% detected at early stages (Stage I and II).

In Scotland , a Lung Cancer Screening Advisory Group has been established and preparatory work is underway, although no timescale has yet been announced.

In Wales , Public Health Wales confirmed plans to introduce lung cancer screening from 2027, with planning ongoing.

In Northern Ireland , discussions regarding the future introduction of screening continue.

The National Lung Cancer Audit (NLCA) – State of the Nation 2025 report shows continued improvement in early diagnosis and outcomes in England and Wales, with reductions in late stage diagnoses, increased surgical treatment for non-small cell lung cancer, and improved survival compared with previous years.

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Smoking rates in the UK continue to decline. In November 2025, the Office for National Statistics reported that 10.6% of adults were smokers—the lowest proportion since records began. Tobacco duty increases were announced during the year, alongside confirmation of a new vaping duty from October 2027.

Air Pollution . In February 2025, the International Agency for Research on Cancer (IARC) published a report, which estimated that globally, air pollution in 2022 accounted for over 200,000 cases of lung cancer (east Asia, particularly China).

2. RCLCF Policy Work in 2025

The Foundation’s policy work in 2025 focused on earlier detection of lung cancer, implementation of the National Optimal Lung Cancer Pathway, and timely access to genomic testing.

We continued to provide the secretariat for the Lung Cancer and Mesothelioma Clinical Expert Group (CEG), an independent, multidisciplinary advisory group with representation from across the UK. During the year, the CEG contributed to updates of the National Optimal Lung Cancer Pathway and Lung Cancer Commissioning Guidance and responded to NHS England consultations on the National Cancer Strategy and workforce planning.

The Foundation also continued its role as a consultee to NICE, supporting access to new lung cancer treatments within the NHS amid a growing number of technologies under assessment.

High quality data remains essential to improving outcomes. In 2025, we continued to support the National Lung Cancer Audit, contributing through Board membership and clinical advisory roles.

Our work to promote earlier diagnosis included ongoing support for the Lung Cancer Screening Programme in England, where we provided clinical, communications, and community engagement expertise. When risks to the agreed national roll out timetable emerged, we undertook advocacy with Ministers, civil servants, and stakeholders. We welcomed confirmation that the 2030 full coverage target remains in place.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Recognising that most lung cancers are still diagnosed after symptoms appear, we also supported initiatives to improve early diagnosis in symptomatic patients, particularly self-referral chest X ray (SRCXR) services. During 2025, we provided the secretariat for a national SRCXR expert group, supporting shared learning, best practice, and wider roll out.

Delays in genomic testing continue to affect patient access to appropriate treatment. We maintained our focus on highlighting the importance of meeting the National Optimal Lung Cancer Pathway target of two week turnaround times.

Throughout 2025, the Foundation ensured that the lung cancer voice was represented across the wider health system through continued engagement with national coalitions and taskforces, including the UK Lung Cancer Coalition. Of note was the UKLCC report “Faster Testing, Better Outcomes – Genomic Testing in Lung Cancer”, published in March 2025.

3. RCLCF Funded Research

Clinical Research Fellowship

In recognition of his commitment to lung cancer campaigning, and the fundraising efforts of his family, the Foundation’s Clinical Research Fellowship has been named the James Brokenshire Clinical Research Fellowship.

Following interview and Board approval, Dr Roya Behrouzi was appointed during 2025. She will undertake a three year research programme at the CRUK National Biomarker Centre, University of Manchester, focused on the development of a novel cell free extrachromosomal DNA biomarker to predict and monitor treatment response and resistance in advanced lung cancer.

Research Grants

During 2025, the Foundation supported several research projects:

Manchester – A project led by Professor Matt Evison evaluating patient experience data from the Safe 7 Patient Experience Project. This represents one of the largest single centre evaluations of lung cancer patient experience and provides valuable insights to inform future service improvements. A peer reviewed publication is in preparation.

Leeds – Funding was agreed for a project led by Professor Cecilia Pompili exploring the needs and experiences of young women with lung cancer, from diagnosis through follow up.

Northumbria University – Support was agreed for a project led by Professor Joanne Gray evaluating the economic impact of increased uptake of the Lung Cancer Screening Programme. Funding has been provided by InHealth, with the project scheduled to commence in January 2026.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Research Advisory Roles

The Foundation continued to support the wider research landscape through participation in project steering and advisory committees, including:

SORT Study – Comparative effectiveness of stereotactic ablative radiotherapy versus surgery (LSHTM)

TACTIC Study – Timeliness of access to cancer treatment (LSHTM)

Evaluation of AI in Chest Diagnostics – NIHR Rapid Service Evaluation Team, UCL

– Global Lung Cancer Coalition (GLCC) Update on work in 2025

Background to the Global Lung Cancer Coalition (GLCC)

Lung cancer remains by far the leading cause of cancer death worldwide. Despite recent advances in treatment options, outcomes for the majority of patients remain poor. In addition to the clinical challenge, lung cancer continues to face a number of longstanding societal and structural issues:

‑ Against this backdrop, in 2001 nine non governmental organisations came together to discuss areas of shared interest. This collaboration led to the establishment of the Global Lung Cancer Coalition (GLCC), with the aim of uniting advocacy organisations worldwide.

The GLCC exists to promote global understanding of the burden of lung cancer and to advocate for ‑ patients’ rights to effective early detection, better treatment options, and high quality supportive care. As at 2025, the GLCC comprises 44 member organisations from 32 countries. During the first half of 2025, we were pleased to welcome a new member from Thailand, the Thai Cancer Society.

The GLCC is a loose coalition of registered charitable and not ‑ for ‑ profit organisations. Since 2005, the ‑ Coalition has been administered by the Roy Castle Lung Cancer Foundation (RCLCF), a UK based charity and GLCC member organisation. All governance, financial administration and reporting are undertaken by RCLCF in accordance with UK Charity Law.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

‑ A core strength of GLCC is its ability to support newer and less established lung cancer organisations ‑ by facilitating networking, skills sharing and collaboration. This is achieved through regular newsletters, email discussion, and the Annual Member Meeting. In September 2025, members met face ‑ to ‑ face in Barcelona, immediately prior to the World Lung Cancer Conference (WCLC), providing an opportunity both for member collaboration and engagement with supporting partner organisations.

The GLCC is committed to improving outcomes for all people affected by lung cancer. The Coalition works to ensure policymakers, healthcare professionals, the media and the public recognise both the scale of the disease and the urgent need for action. In practice, the GLCC has two core functions:

GLCC Workplan and Activities in 2025

During 2025, the GLCC undertook the following activities. We extend our sincere thanks to all those whose contributions made this work possible.

‑ 1. Target Driven Lung Cancer Resource Tool

Recent years have seen the emergence of advocacy organisations dedicated to specific molecular ‑ targets (e.g. EGFR, ALK, ROS 1, KRAS). In 2024, GLCC began mapping these groups to develop an online resource to support patient signposting. During 2025, additional organisations were added and, with professional design support, the resource was re ‑ formatted to be more user ‑ friendly. The tool is available on the GLCC website and will continue to be expanded as new groups are identified. Communications activity highlighting this resource is ongoing.

2. Lung Cancer e ‑ Atlas

‑ The Lung Cancer e Atlas is an online, freely accessible source of global lung cancer data covering all WHO countries. To maintain accuracy and relevance, data updates are required as new datasets become available. Following the release of updated 2022 GLOBOCAN data by IARC, the Atlas was comprehensively updated during 2025. This update was more complex than previous iterations due ‑ to changes in age range groupings. The revised Atlas is now available on the GLCC website, with ongoing communications to promote its use in advocacy. Members are encouraged to use and reference the data at national level.

3. Lung Cancer Screening Information Leaflet

In 2024, the GLCC developed a simple, accessible promotional leaflet on lung cancer screening, which is available on the website. During 2025, professional translations into GLCC member languages commenced and are expected to be completed and published in early 2026.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

4. Lung Cancer Screening: Country ‑ Level Information

‑ During 2025, GLCC conducted a multi country survey among members to understand lung cancer screening activity globally. Responses were received from 25 members across 22 countries. Results demonstrate wide variation in screening availability, implementation and public awareness, ranging ‑ ‑ from national programmes to pilot only or policy discussion stages.

Key findings include:

5. Patient Experience Survey 6

Understanding and improving patient experience remains a priority for GLCC members. In 2025, GLCC conducted its sixth global patient experience survey across 18 member countries. The survey, undertaken by Censuswide in May 2025, included 900 lung cancer patients (50 per country) and ‑ explored diagnosis, treatment, shared decision making and information needs.

A Global Report and 18 National Dashboard Reports are available on the GLCC website. Two posters presenting survey findings were accepted for presentation at the World Lung Cancer Conference (Barcelona, September 2025).

6. Coping with Lung Cancer Project

This ongoing project explores “what helps people get through lung cancer”. During 2025, activities included:

An updated survey of GLCC members on psychosocial services, highlighting service availability and gaps

Development of a Best Practice Library, including expert interviews on holistic needs assessment, health ‑ literacy ‑ focused education, and psychosocial coping interventions

The Library resources are currently being finalised and will be published in early 2026.

7. Factsheets

A new Factsheet on Small Cell Lung Cancer was developed and published in 2025. Two previously ‑ developed factsheets (Pulmonary Nodules and Adjuvant/Neo adjuvant Treatment) are undergoing professional translation and will be available in early 2026.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Communications, Engagement and Advocacy

Throughout 2025, GLCC continued activity across:

Acknowledgements

The GLCC would like to express its sincere thanks to the following organisations for their support and partnership during 2025:

Amgen, AstraZeneca, Boehringer Ingelheim, Bristol Myers Squibb, Daiichi Sankyo, Gilead, Iovance, Johnson & Johnson, Lilly, Merck, Novartis, Pfizer, Regeneron, Roche and Takeda.

4. Global Lung Cancer Coalition See separate update on GLCC in 2025.

Lung Cancer Information and Support Services Director’s Report

Our services are designed to promote early detection of lung cancer and provide relevant information and support to those affected by lung cancer.

Information

During the year, we received 820 requests for information materials. We distributed 9,970 ‘Answering Your Questions’ packs, 18,918 treatment leaflets and 17,812 publications on awareness, living with lung cancer, and the diagnostic process.

Online group support services

An average of 41 people (those with a lung cancer diagnosis or caring for someone with lung cancer) received support via our Keep in Touch service each month. Support was delivered by three members of staff and created 312 hours of contact.

An average of 9 online support sessions covering 4 topics took place each month. These sessions were attended by an average of 5 people per session. 68% of participants were diagnosed with lung cancer and the other 32% were carers and family members.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

One to One Support

Our Ask the Nurse service responded to 1,308 new enquiries via phone, email and online requests. A further 55 repeat enquiries were also received. 9% of enquiries came from people concerned about symptoms, 46% from patients, 19% from carers, 4% from health care professional and 16% from other contacts.

Face to Face support

We ran 12 Information Days across the country covering locations including: London, Cardiff, Leicester, Edinburgh, Newcastle and Belfast. 418 people booked to attend with 393 patients and carers attending across the days.

Profile and policy

We participated in the Less Survivable Cancer Awareness Day in the Scottish Parliament and met with the Health Minister and Public Health Minister in Scotland on three occasions. Advocates were involved in a range of awareness raising, consultation and group activity across the year.

We provided consultative input to the Scottish Medicines Consortium (SMC), with four new treatments for lung cancer approved over the year.

We undertook awareness raising, and input to PPI consultation and collaboration on information development with: Astra Zeneca, Boehringer Ingelheim, Johnson & Johnson, MSD, Novartis and Takeda.

Communications and Engagement Director’s Report

Key Highlights

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

LUNG CANCER SCREENING

Lancashire and South Cumbria Partnership

Support for lung cancer screening was a key focus in 2025, with significant resource dedicated to the LSC partnership. Under this partnership, we delivered:

Demand in Preston exceeded expectations, prompting a controlled slowdown in rollout and highlighting the impact of our activity.

Local programmes

Alongside this partnership, we also supported additional local programmes across the country. This included:

The national team provided a £50k funding pot with 14 programmes applying for funding (approx. £58k per programme) for community engagement and/or marketing. Around half of the programmes expressed an interest in working with us and discussions are ongoing.

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees

For the Year Ended 31 December 2025

Lobbying campaign

Despite the evident success of the programme, there were concerns that funding could be cut and roll out delayed. In preparation for this, we developed a lobbying strategy, including a social media campaign, eShots, online petition, press release and draft letter to MPs.

Thankfully, we now have confirmation of the lung cancer screening programme’s budget for 2026/27 through to 2029/30. Crucially, Ministers have agreed that 100% rollout will be delivered by 2030, so the campaign is no longer required.

LUNG CANCER AWARENESS

Alongside our work in supporting screening, we have undertaken several projects in 2025 to improve early detection among symptomatic and lower risk patients. This includes:

Lung Cancer Awareness Month: This is Lung Cancer

This is Lung Cancer is an empowering awareness campaign that puts real people living with lung cancer at the heart of the story. It showcases individuals thriving post-diagnosis to challenge stigma, dispel myths, and drive earlier diagnosis.

Aimed at adults aged 40+, especially in high-risk or underserved communities as well as healthcare professionals, the campaign seeks to:

We secured our highest level of campaign sponsorship (£115k vs. a target budget of £60k) from 8 sponsors, including a lead sponsor for the first time. As a result, we were able to undertake the following activities:

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Campaign impact

#BreakTheSilence social media movement

On 16 November, we coordinated a social media movement with patient advocate, Jules Fielder, in which we asked followers to post a black and white photo of themselves holding a finger to their lips with the following text:

43 women and 48 men.

Every day.

Gone too soon from lung cancer — often misdiagnosed, often unheard.

I’m standing with @Just_beingjules & @RoyCastleLungCancer to #BreakTheSilence on lung cancer.

Lung cancer is the UK’s biggest cancer killer. It strikes without warning. It’s silenced by stigma.

Lung cancer deserves the same voice, visibility, and urgency as every other cancer. We owe it to those we’ve lost and those still fighting to raise our voices and demand better.

@wesstreeting, the time for change is now.

The aim of the movement was to invite a response from the Health Secretary, Wes Streeting. We were successful and subsequently met Mr Streeting on Tuesday 16th December.

The movement also achieved significant media coverage. Jules Fielder and Rachel Avery, the charity’s Director Communications & Engagement, were interviewed together on BBC South East, and again on Good Morning Britain the day after their meeting with Wes Streeting.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Self-request chest x-ray service

Following our workshop to improve early detection in symptomatic patients, we set up a working group with key stakeholders.

The aim is to provide a Standard Operating Procedure (SOP) which can then be utilised by other cancer alliances to implement a similar programme in their respective areas. This documentation will be housed on the charity's website.

We have now devised a range of campaign concepts to promote the service. A final concept will be agreed following feedback from a series of focus groups.

Cancer Alliance partnerships

We are consulting on two further awareness campaigns which will launch in 2026.

A highly targeted campaign aiming to reach diverse populations in the region, focusing on black, eastern European, Pakistani and Bangladeshi communities. We have been asked to consult as leading lung cancer and campaigning experts, with the potential for campaign materials to be co-branded.

Currently in the early planning stages, but an opportunity to collaborate and co-brand an awareness campaign aimed at both primary care and the public to improve understanding of lung cancer and its symptoms, including people within lower risk groups. There is potential to lead on the production of a general symptom awareness animation.

SUMMARY

Despite a challenging start, 2025 delivered strong gains in both income generation and brand visibility. The insights and momentum built this year will carry forward, informing and enhancing our strategic approach in 2026.

Fundraising Director’s Report

Digital Fundraising

Facebook Fundraising continues to be an area of growth. In 2025 we increased the number of projects in this area, listed as follows.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

31 Miles in March – £43,000 raised

This was a proven campaign for which we had big plans. However, the late suspension of our Meta ad account stalled us for almost four weeks during the most critical period. Even so, our community kept the event alive and delivered a strong result. This clearly demonstrated the strength of the relationships we have developed with our repeat challenge fundraisers and their loyalty and commitment to us.

A Mile a Day in April – £35,000 raised

As the March campaign had been disrupted, we needed a contingency plan. This was pulled together at pace while our ad account was still inactive. The team turned it around in record time and supporters responded enthusiastically. For many people, the lighter daily target was both manageable and meaningful, particularly for those recovering from illness.

Time to Tap – £35,000 raised

Interest built quickly and we increased ad spend to make the most of the momentum. The result was our highest total for this event since before the pandemic. Participants shared powerful stories about why they took part, including one supporter who did her sessions in tribute to the nurses who helped her father through treatment.

3K A Day in May - £41,000 raised

We launched ‘3K A Day in May’ - our first attempt since the pandemic at a virtual running challenge. It proved to be highly successful, exceeding our expectations.

One Mile a Day – October – £93,000

This campaign has been the standout ‘virtual’ success of the year. We recognised that many of our supporters wanted to help but didn’t see themselves as fit enough for traditional challenges, so we reshaped our message to reflect that reality. For some people, one mile a day is a genuine challenge and an act of courage.

The response was overwhelming. Patients, carers and survivors took part in huge numbers. Many walked their mile between treatments, on lunch breaks or with family. One participant said, “It’s the first time I’ve felt part of something since my diagnosis.” The campaign set a new fundraising record.

Swimming the Distance - £22,000

This is our Lung Cancer Awareness month campaign, and results were reasonably satisfactory this year. However, we now feel it may be more appealing if held during the summer months, so we plan to bring it forward in 2026.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

London Marathon - £214,000

Another very successful year for us at this cornerstone national event. Weather conditions at the 2025 London Marathon were extremely challenging, but all 79 of our runners finished safely.

Spooky Welly Walk - £81,500

Our Halloween-themed family event continues to impress and perform well. Almost 7,000 people joined us for the day, enjoying all the creative, imaginative and fun offerings in Liverpool’s Sefton Park.

Legacies - £530,00

In 2025 we received some high value legacy donations; Nora Donogher £186K, Smith £102k & Killick £121k – all relating to previous years but still significantly improving our cash flow.

Retail Director’s Report

For Roy Castle Retail, 2025 proved to be an even more challenging year than 2024, with the loss worsening by £120k, producing an overall deficit of £379k. This was due to sales decreasing by 11% and costs rising by 5%.

Several external factors combined to impact our ability to produce stronger results. Of particular significance was the rise in the minimum wage and NI employer contributions, both of which increased our cost base significantly.

While cost-of-living price pressures have continued to impact consumer spend, this has also produced a positive benefit for the wider charity sector. Results from the CRA show that total ‘like for like’ (LFL) sales across the whole charity retail sector have outperformed the commercial sector.

Set against that, however, rising costs have resulted in both CRUK and Scope closing stores on the High Street. Equally, Barnardo’s and the Salvation Army have opened larger units on Retail Parks. Save the Children have opened specialised vintage stores selling higher priced donations.

The current economic climate still favours charity retailers who get their offer right. Tracking our LFL results against the overall charity sector showed that there were only 3 months (June, August and September) when we traded more strongly. Again, this highlights our future sales growth opportunities.

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Gift Aid conversion was below the average sector results of 32% (CRA), coming in for the whole year at 22%, with significant variations between individual stores. eBay and online sales fell below budget expectations. New Goods continued to attract a different customer base, although both margin and sales fell short of their potential.

Staff Costs of £1.3m have proven difficult to reduce substantially. Our aim to significantly increase volunteer recruitment did not materialise sufficiently, thus impacting on our ability to balance tasks against payroll costs.

Skyline Consultants made their recommendations, all with substantial merit, at the end of 2024 and implemented these changes from February 2025 onwards, with completion achieved by the middle of May.

The challenge was always going to be embedding the changes required across all our stores, and so it proved. In December, we introduced a Key Performance Indicator (KPI) ‘League Table’ to help identify our best- and worst-performing stores, and to enable us to focus attention on those outlets most in need of development.

Looking ahead to 2026, a new Director of Retail has been appointed with significant retail expertise in operational excellence and change management. A Turnaround programme has been produced, supported by a Three-Year Retail Strategy.

Our 2025 results have served to highlight the significant opportunities ahead. Our stores are generally very well located and are of optimum size. Externally the charity sector will continue to outperform commercial retail, an advantage we must aim to maximise. If we can succeed in that, and with the continuing support of our retail teams and volunteers, a return to profit will ensue.

- Joint working Areas of collaboration, shared interest and funding

We work as part of several umbrella groups to campaign for improvements in lung cancer diagnosis and treatment. These include: the United Kingdom Lung Cancer Coalition, the Less Survivable Cancers Taskforce, and the Lung Ambition Alliance.

Some of these groups include industry (pharmaceutical) partners. We will work on specific projects, including on awareness raising, in collaboration with these groups and partners where it is the most effective way of achieving shared goals.

The charity also sits on the All-Party Parliamentary Committee for Cancer, which provides a cross-party forum for MPs to work together with other interested parties in the cancer field.

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Drug development and availability

We are a stakeholder consulted by National Institute for Clinical Excellence (NICE) and Scottish Medicines Consortium (SMC) about licensing and use of medicines and other treatments for lung cancer in the UK.

We make submissions on new treatments based on feedback from the patient community, evidence from trials and input from clinical advisors. Information may be gathered from a range of sources and include some evidence from pharmaceutical company trials.

Our input to medicines approval is independent of pharmaceutical influence. We will receive information from the approving body and relevant information from the pharmaceutical company submission. This is not part of any sponsored or funded activity. We may on occasion receive expenses or honorarium from the commissioning body for participating in meetings to cover expenses incurred.

As a charity, we aim to be transparent about our funding sources including income generated from our relationship with the pharmaceutical industry. Significant income is provided through this relationship, and in a year in which our traditional sources of income were reduced, it is appropriate to comment on this specifically.

During 2025, the charity received £583,049 (2024 - £502,345) from pharmaceutical firms. This income was derived from 18 different firms averaging about £32,392 (2024 - £31,000) each, with the highest individual amount of support being £51,295.

Our 2025 funding from the pharmaceutical industry:

£
Amgen 32,366
Astra Zeneca 40,361
Boehringer 51,295
Bristol Myers Squibb 46,118
Daiichi Sankyo Europe GmbH 30,000
Eli Lilly 5,000
GILEAD 30,000
GlaxoSmithKline 15,000
Intuitive Surgical Limited 30,000
Iovance Biotherapeutics, Inc 30,000
JANSSEN 46,410
JC GENERAL SERVICE 1,100
Merck & Co Inc 31,360
NOVARTIS 31,539
Pfizer Ltd 30,000
REGENERON 50,000

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Roche 40,000 TAKEDA 42,500

The above represents 10.6% of our total income for 2025 (2024- 9.6%) with the largest single pharmaceutical contribution being just 0.9% of our total income. Given the spread and average size of the contributions there is no impact on our independence or integrity.

The pharmaceutical industry is an important partner with the NHS, the academic research community, and organisations such as our charity which are sometimes described as 'patient organisations'. The pharmaceutical industry is governed by legal and compliance codes. In the UK the Association of British Pharmaceutical Industry (ABPI) is a body which overseas companies operating in the UK and ensures they follow the code of conduct in their relationship with medics, charities, and patient advocates.

We believe our integrity comes from having the voices of people affected by lung cancer at the heart of what we do, driving our strategic priorities. While we recognise the benefit of our relationship with pharmaceutical companies, we maintain our independence. Our strategic priorities and our view on lung cancer treatments are shaped by clinical research, consulting with patients and carers, and understanding the best option with input from our medical advisors. This is overseen by our Board of Trustees.

Advisory Boards

Pharmaceutical companies frequently run Advisory Boards as a way of gathering knowledge about a health condition, how it impacts on those affected and how the diagnosis and treatment services operate. As a charity we are asked to attend (virtually or face to face) such events and share our understanding. We are also on occasion asked to identify patients and carers who would be willing to participate in such meetings or respond to questionnaires to inform these meetings.

Companies will generally offer an "honorarium" or payment for time spent for attendance and participation in Advisory Boards. They will also reimburse the cost of any travel and overnight accommodation required depending on the location and length of the meeting. We consider this to be good practice acknowledging the time and resources charities and patients need to contribute to such meetings.

Sponsorship and Grant funding

Pharmaceutical companies offer charities and health agencies funding for specific purposes. This will depend on the company's strategy and its approach to Corporate Social Responsibility. This term is used to describe any organisation's policies on giving back to the community and society through funding, voluntary activities, and awareness campaigns.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

As a charity we are dependent on public donations, our retail stores, events income, and trust funding to support our activities. We also seek funding from corporate partners, including pharmaceutical companies active in the UK who have an interest in lung cancer, as a way of covering the costs of our services, research, and administration costs. We accept and request sponsorship for specific purposes to maintain our services and research.

Volunteers

During 2025, we successfully recruited a substantial number of new volunteers, resulting in 433 active volunteers during the year (2024: 234), who provided vital support for the charity.

Of these, 141 regular volunteers supported our retail operations across Merseyside and Cheshire on a weekly basis, while the remaining volunteers contributed to the delivery and success of our popular events programme.

We have continued to develop and maintain partnerships with several universities and other external organisations. These relationships have helped to raise the profile of the charity, create new pathways for volunteer engagement, and strengthen links with several corporate partners.

In total, we estimate that volunteers contributed approximately 30,238 hours during 2025 (2024: 22,085 hours). Based on standard valuations, this contribution is estimated to be worth over £369,206 (2024: £252,652).

Structure, Governance and Management

Governing document

The Financial Statements have been prepared in accordance with the accounting policies set out in note 1 and comply with the Charity's Memorandum and Articles of Association, the Companies Act 2006 and "Accounting and Reporting by Charities: Statement of Recommended Practice Applicable to Charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS102) (effective 1st January 2019)".

The Accounts have departed from the Charities (Accounts and Reports) Regulations 2008 only to the extent required to provide a true and fair view. This departure has involved following the Statement of Recommended Practice for Charities applying to FRS 102 rather than the version of Statement of Recommended Practice referred to in the Regulations, but which has since been withdrawn.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Appointment of trustees

Roy Castle Lung Cancer Foundation (RCLCF) recognises that an effective board of trustees is essential if the charity is to succeed in achieving its objectives. The board must seek to be representative of the people with whom the charity works and must have available to it all of the knowledge and skills required to run the charity. Individual trustees must have sufficient knowledge, both of trusteeship in general and of the Foundation's activities, to enable them to carry out their role and to represent the charity at meetings and other events.

Using a balance of skills and geography, trustee vacancies should be advertised; however, existing trustees and employees are encouraged to put forward names for consideration. The potential trustee will complete a skill matrix and have an induction period of three months before formal appointment by members by ordinary resolution.

Trustees will serve for a three-year period before being eligible for re-election. Unless there are specific and special circumstances no trustee shall serve for more than two consecutive periods. The Chair and deputy Chair shall stand for re-election at each annual meeting. A trustee will be appointed to liaise with the Finance Director to discuss financial issues and be responsible for advising the Board of Trustees on financial matters. The charity has an indemnity provision in place for directors.

Key management personnel include the senior management team. Remuneration in relation to key management is benchmarked against comparable roles and organisations and then authorised by the board of trustees.

Trustee induction and training

All potential trustees receive an introductory pack about the Foundation and the duties and responsibilities of a trustee. They will also have an induction program which will include visiting Foundation sites and meeting staff in all the core areas of work and the appointment of an existing trustee as a mentor. Ongoing training has been provided on the roles and responsibilities of Trustees with a charity.

Organisation

The board of trustees administers the Foundation and comprises of twelve members that meets bimonthly. The board has established four formally constituted committees, each with specific terms of reference and functions; Audit, Employment, Grants and Nominations and Roy Castle Retail as a trading retail subsidiary has a separate board of suitably experienced members with a direct link via common membership to the main charity board. The final decision on all matters remains with the board.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Sub Committees

The Finance and Audit Committee aid the Chief Executive and the Finance Director in the financial management of the charity acting as a support, critical friend and crucial internal check and support preparations for the annual financial statements and audit.

The Retail Board supports the Retail Director and is made up of suitable members with specific retail experience.

The Chief Executive is appointed by the trustees to be responsible for the executive management and its day-to-day direction in line with the strategic plan.

The Employment Committee is responsible for approval of pay and conditions of staff and Chief Executive and resolution on health and safety issues.

The Nominations Committee is responsible for the recruitment and training of new trustees; this is convened ad hoc rather than as a formal committee.

The Grants Committee

The Scientific Grants Committee is responsible for considering all applications for grants and making recommendations to the Board. The committee also monitors the performance of all external research activities and reports to the Board.

The grants application process recommenced during 2023, and the grants committee reviewed and discussed applications utilising virtual meetings before passing applications for external peer review.

Grant making policy

The charity's aim, through research into Early Detection and Patient Experience, is to make a significant impact on lung cancer for the benefit of patients. Scientific excellence and relevance to lung cancer are the key principles which will guide the foundation's research.

The Foundation's key research objectives are:

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Awards are provided for pilot grants and project grants in universities, medical schools/teaching hospitals and research institutes within the UK and Ireland.

Grants will be made in support of the research project including salaries, minor equipment and consumables costs. The Foundation will not directly employ staff on grants awarded for research projects.

Financial appraisal and review

Related parties

The charity has three wholly owned subsidiaries: Roy Castle Retail Ltd (03604677), Roy Castle Trading Ltd (03909935) and Cut Films Ltd (07313137).

Roy Castle Retail Ltd was established on 27 July 1998 to operate as a trading retail company to raise funds for charitable purposes. The company result for the year was a loss of £320,237 (2024 loss of £251,567) before gift aid. There were no gift aid payments to the charity relating to 2025 (2024: £nil).

Roy Castle Trading Ltd was established on 19 January 2000 to operate as a trading promotional company to raise funds for charitable purposes. The company result for the year was a profit of £161,004 (2024: profit of £152,140) before a gift aid payment to the Charity of £161,004 (2024: £152,141).

Cut Films Ltd was established on 13 July 2010, originally as a trading subsidiary of Cut Films Project Ltd. Ownership transferred to the Roy Castle Lung Cancer Foundation in November 2018. The company result for the year was a loss of £1,297 (2024: £1,166 loss). There were no gift aid payments to the charity relating to 2025 (2024: £nil).

Financial Review

The charity, as a group, recorded a surplus of £16,274 during 2025 (2024: £220,363 surplus).

The reduction in surplus compared with the prior year is primarily attributable to increased grant expenditure, with £235k spent in 2025 compared to £28k in 2024.

Income and funding

Total income for the charity increased to £5,509,625 (2024: £5,224,124).

A notable highlight is the long-term partnership with Lancashire and South Cumbria (LSC), valued at £481,000.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Legacy income decreased in 2025 to £529,931 (2024: £1,008,476).

Trust income also decreased slightly to £85,594 (2024: £131,161).

Other voluntary donations to £527,961 (2024: £435,517).

In Memoriam donations increased to £172,215 (2024: £139,599). This deeply personal form of support continues to be a key income stream for the charity and reflects the high regard in which it is held. The growth in this area is a testament to the charity’s commitment to excellent donor care and its focus on maintaining a compassionate, personal approach to supporter engagement.

Sponsorship income increased significantly to £681,397 during the year (2024: £492,243).

Trade was difficult for Retail during 2025.

Retail decreased its sales to £2,080,277 (2024: £2,052,772) and the net result for the year was loss of £320,237 (2024: loss of £251,567).

Gift aid on donations increased to £259,882 (2024: £255,877).

Expenditure

Overall expenditure for the year was £5,495,900 (2024: £5,029,142). This increase reflects higher levels of activity during the year, together with significant cost pressures arising from increases in the minimum wage and staffing challenges, including turnover and vacancies linked to wider organisational uncertainty.

Investments

The Charity holds £106,460 (2024: £252,650) in listed investments. The charity's Investments generated an income of £2,549 in the year (2024: £25,381).

Rathbones, an independent stockbroker, manages the investments within defined areas. The stockbrokers have been instructed not to invest in tobacco-related companies and other socially unacceptable companies. The current investment policy of the trustees is to hold a large proportion of surplus assets of the Foundation in cash and near-cash to ensure a stable platform for the organisation's continued activities.

Reserves

The trustees have adopted a reserves policy which they consider appropriate to ensure the continued ability of the Foundation to meet its objectives and the specific nature of its obligations in relation to long-term research in the form of grants.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

The charity monitors its reserves policy based on the obligations noted above compared to free reserves and overall liquid assets.

Free reserves

The level of Free Reserves, as defined by the Charity Commission, are the unrestricted funds available for spending and are therefore traditionally calculated by taking the total unrestricted funds of the charity and deducting any balances not available for spending.

As all investments held by the charity are liquid and readily converted immediately into cash to spend, these have been included in the calculation for the Charities Reserves' policy. The charity's free reserves are therefore unrestricted reserves less tangible fixed assets.

The level of free reserves held calculated on this basis are £110,029 (2024: £343,416 positive).

To hold sufficient funds to cover all future outstanding research grant obligations, to secure the safety of our vital research work together with:

three months general non-self-financing charity expenditure

The charity’s required reserves were £550,826 (2024: £402,632).

At the year end, the charity did not hold sufficient free reserves to meet the required level calculated. ‑ This was primarily due to several large, long standing outstanding legacy payments, which adversely affected the cash position. However, the charity’s structure and stated purposes mean that its restricted funds effectively meet many of the obligations and costs identified above.

To reflect the true purpose of the charity's restricted reserves and as a second control the Trustees also monitor the level of cash and investments held against a longer-term view of the charity's potential commitments, and the value of the company. This is purely an internal measure.

To hold sufficient funds to cover

On the above basis, the resources required are calculated as £1,093,669 (2024: £970,553) and the charity currently held £351,324 in cash and investments at the end of 2025 (2024: £267,099) the overall balance sheet value less the value of fixed assets was £751,746 (2024: £740,420).

A key priority for the charity is to rebuild its reserves to a level sufficient to meet potential obligations, and the Trustees are confident this objective can be achieved.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Going Concern Position

Like much of the charity sector, and the wider economy, Roy Castle Lung Cancer Foundation was ‑ adversely affected by the Covid 19 pandemic and the necessary measures introduced by HM Government from March 2020 through to 2025 to address it.

These challenges were compounded by the subsequent cost ‑ of ‑ living crisis and the economic pressures arising following the war in Ukraine, which led to a rapid rise in inflation, largely driven by increases in utility, energy and food prices, together with increases in the National Living Wage. Collectively, these factors have affected the charity, its staff and its supporters, creating a particularly challenging operating environment. This environment has been further impacted by ongoing instability in the Middle East.

Over this period, the charity has taken prudent and necessary actions to protect its financial position and to minimise these negative impacts. These actions included reducing costs where possible, implementing the planned closure of certain central infrastructure, scaling back other central activities, and undertaking a significant reduction in staff numbers.

‑ Alongside these cost management measures, the charity developed innovative social media campaigns and virtual fundraising activities to support its traditional income streams. During 2025, the charity successfully reintroduced several of its flagship physical fundraising events. In 2026, work will continue to expand and rebuild the programme of physical fundraising events, reinforcing their role ‑ both as key income generators and as important profile building opportunities for the charity.

In parallel with these changes to the charity’s cost structure, the Trustees made a deliberate decision in 2025 to maintain the charity’s level of charitable activity. As a result of reducing non ‑ essential costs and the successful implementation of new fundraising streams during 2023, with benefits flowing through to 2025, the charity has begun to build further income through its community engagement activities.

The charity is working closely with programme partners and the national team to strengthen existing relationships, particularly in the context of the forthcoming NHS spending review. Efforts are also underway to broaden these relationships beyond core programmes to include other key stakeholders, such as service providers (including InHealth) and pharmaceutical companies with an interest in early detection. During the year, the charity also received a grant of £481k from the NHS.

The Trustees note a decline in income from the Retail sector during the year, driven by increased operating costs, which resulted in a retail deficit of £321k. In response, the charity engaged a consultancy firm specialising in charity retail operations to support performance improvement. Additionally, a new Retail Director was appointed in 2026, and the Trustees are optimistic that these actions will lead to an improvement in retail performance during 2026 and beyond.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

The Trustees have reviewed the charity’s overall financial position and consider it to be sustainable in ‑ the current circumstances. The charity maintains a strong long term investment policy and holds £351k in cash and investments, with sufficient liquid assets to manage any potential short ‑ term cashflow pressures within its total funds of £845,359 (2024: £829,085).

At year end, unrestricted reserves stood at £199k (2024: £432k), while restricted reserves totalled £646k (2024: £397k), resulting in a reserves position weighted towards restricted funds. The overall balance has improved slightly compared to 2024, largely due to the receipt of the NHS grant, which is scheduled to be utilised during 2026.

Based on this assessment, the Trustees have concluded that the charity and group have sufficient resources to continue in operational existence for the foreseeable future and therefore continue to adopt the going concern basis of accounting in the preparation of the financial statements.

Risk management

The trustees have a risk management strategy to assess business risks and to mitigate those risks:

The trustees have identified the four principal risks to the charity as:

The Charity believes that these business risks could be effectively managed by restructuring existing resources and maintaining appropriate accessible cash reserves. A tiered management structure is being developed to allow internal staff progression and a clear pathway to promotion which together with investment in training and appropriate remuneration is designed to improve staff retention and recruitment.

Events on the scale of the Covid19 pandemic or the Russian-Ukraine war had not been envisaged prior to 2020 but the above actions have proved adequate to date at the time of the trustees' report in successfully managing the situation and ensuring the future of the charity and the reflected in subsequent risk registers.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

Plans for the Future

A key priority for the charity over the coming years is to rebuild its unrestricted reserves, ensuring ‑ ‑ long term financial resilience while continuing to deliver high quality charitable activities and support for those affected by lung cancer. Maintaining a strong financial position is essential to enabling the charity to respond to emerging needs, invest selectively in future growth, and manage uncertainty in the external funding environment.

Alongside this focus on financial sustainability, the charity remains firmly committed to its mission and core programmes. In particular, the charity has made a clear commitment to support the Clinical Research Fellowship over the next three years, recognising the importance of continued investment in research that has the potential to improve outcomes for people affected by lung cancer. This commitment reflects the charity’s balanced approach to stewardship, combining careful financial management with ongoing strategic investment in impact.

Screening

Since its formation, RCLCF has had a key focus in ensuring the implementation of a Lung Cancer Screening Program. The National Screening Committee (UK wide) recommended lung cancer screening in 2022. It is clear, that lung cancer screening of high risk individuals, with low dose CT chest, works. During 2025, we have seen progress towards the implementation of lung cancer screening.

We continue to investigate how we can also support Lung Health pilots in Scotland, Wales and Northern Ireland, the potential impact of the TLHC programme is perhaps the single most important step forward for the lung cancer community at the present time and the charity is determined to make it a success.

We will put whatever resources we can behind it and achieving the successful implementation of the national screening programme as announced during 2023 and expected to be in place by 2029.

Research

Clinical Research Fellowship - To honour James Brokenshire’s passionate campaigning on lung cancer, and in recognition of the incredible fundraising efforts and commitment of his family, our Clinical Research Fellowship has been named the James Brokenshire Clinical Research Fellowship.

In 2025, following a formal interview process and approval by our Board, we were pleased to appoint Dr Roya Behrouzi as the James Brokenshire Clinical Research Fellow.

‑ Dr Behrouzi will carry out her three year research project at the CRUK National Biomarker Centre at ‑ the University of Manchester. Her work focuses on developing a new blood based test that could help doctors better predict how advanced lung cancer responds to treatment, and how and when resistance develops.

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

This important research has the potential to improve monitoring of treatment and support more personalised care for people living with advanced lung cancer.

Patient support

The charity will continue to expand and strengthen its range of remote support services, including ‑ telephone based support, helplines, and accessible information and advice services. These services remain vital in ensuring that people affected by lung cancer can access support wherever they live.

Where it is appropriate and safe to do so, we also plan to continue the gradual reintroduction of face ‑ to ‑ face support meetings and physical support groups, recognising the important role that peer connection can play in wellbeing and recovery.

Regrettably, due to ongoing financial pressures, the patient grant scheme has been temporarily suspended. This decision has not been taken lightly, and the scheme will be kept under regular review as the charity works to strengthen its financial position and explore opportunities to reinstate this support in the future.

Funding the above

In 2025, the charity focused on rebuilding some of the financial reserves that were used to deliver vital services and activities in 2023. At the same time, we remained fully committed to continuing to ‑ provide high quality and meaningful support to those affected by lung cancer.

During the year, we operated with reduced staffing levels in order to keep costs as low as possible, while ensuring that essential services could continue.

Looking ahead, the charity will need to increase its level of funding, and therefore its income, both in the short term (over the next 12–18 months) and in the longer term. This will need to be balanced carefully with ongoing cost management to ensure that spending remains within our financial means.

As a result, our fundraising and support functions will continue in a broadly similar way, although with smaller teams and comparable targets. Our approach will focus on steady, organic growth, alongside identifying efficiencies and cost savings wherever possible, rather than making major or high ‑ risk changes.

During 2025, we restructured our Retail department with the aim of improving sales performance while continuing to keep operating costs low.

Following the retirement of Mike Grundy in 2026, we welcomed a new, highly experienced Retail Director to the charity. This appointment brings valuable expertise to the business and is expected to help further increase sales, strengthen performance, and deliver additional cost efficiencies over time.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

The charity also believes that supporting the rollout of the Targeted Lung Health Check (TLHC) programme may create additional opportunities for income over time. Further changes to the structure of NHS England may also open new avenues for sustainable funding. However, it is important to note that the primary purpose of engaging in this work is to increase uptake and ensure the success of the programme, with the ultimate goal of achieving a national lung cancer screening programme, rather than income generation alone.

We also plan to further develop our online income streams, alongside the gradual return of physical fundraising events. However, stricter criteria will be applied when assessing new activities, particularly around expected returns and payback periods. At present, the charity is not in a position to invest in events that require several years of development before becoming profitable.

Statement of trustees' responsibilities

The Trustees (who are also directors of The Roy Castle Lung Cancer Foundation for the purposes of company law) are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charitable company and the group and of the incoming resources and application of resources, including the income and expenditure, of the charitable group for that period. In preparing these financial statements, the trustees are required to:

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charitable company and group and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006 (as amended). They are also responsible for safeguarding the assets of the charitable company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

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Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the Trustees For the Year Ended 31 December 2025

The trustees are responsible for the maintenance and integrity of the corporate and financial information included on the website (http://www.roycastle.org). Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.

Statement as to disclosure of information to auditors

The auditors, Murray Smith LLP, have indicated their willingness to continue in office.

Staff

We would like to pay tribute to the staff of the Foundation who continue to show considerable enthusiasm and commitment.

Partners and supporters

We would like to record a sincere thanks to all our partners and supporters who have helped the Charity in any way this year.

Exemptions from disclosure

Small Company Provisions

This report has been prepared in accordance with the provisions applicable for companies entitled to the small companies’ exemption.

By order of the trustees

Euan Imrie

Chair

Date: 23 June 2026

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Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the independent auditors to the Members of Roy Castle Lung Cancer Foundation

Opinion

We have audited the financial statements of Roy Castle Lung Cancer Foundation the ‘parent charitable company’ and its subsidiaries (the ‘group’) for the year ended 31 December 2025 which comprise the Consolidated and Parent Charitable Company Statement of Financial Activities, the Consolidated and Parent Charitable Company Balance Sheets, the Consolidated and Parent Charitable Company Statement of Cash Flows and notes to the financial statements, including a summary of the significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

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 Auditors responsibilities for the audit of the financial statements section of our report. We are independent of the group and parent charitable company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical 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.

35

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the independent auditors to the Members of Roy Castle Lung Cancer Foundation

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 group’s or parent charitable company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our 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. The other information comprises the information included in the Trustees’ Report, but does not include the financial statements and our Report of the Independent Auditors thereon.

Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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, 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:

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and parent charitable company and their environment obtained in the course of the audit, we have not identified material misstatements in the Trustees’ Report.

36

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the independent auditors to the Members of Roy Castle Lung Cancer Foundation

We have nothing to report in respect of the following matters prescribed by the Companies Act 2006 which requires us to report to you if, in our opinion:

Responsibilities of trustees

As explained more fully in the Statement of Trustees’ Responsibilities set out in the trustees’ annual report, 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, and 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 group’s and 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 group or parent charitable company or to cease operations, or have no realistic alternative but to do so.

Our responsibilities for the audit of the financial statements

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 a Report of the Independent Auditors 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.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

37

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the independent auditors to the Members of Roy Castle Lung Cancer Foundation

The audit procedures designed to identify irregularities included:

There are inherent limitations in the audit procedures described above and, the further removed noncompliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, intentional misrepresentations or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Independent Auditors.

Use of our report

This report is made solely to the 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 section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and regulation 10 of the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Charities Act 2011. Our audit work has been undertaken so that we might state to the members and the charitable company’s trustees, those matters we are required to state to them in an auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charitable company and the charitable company’s members, as a body, for our audit work, for this report, or for the opinions we have formed.

38

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Report of the independent auditors to the Members of Roy Castle Lung Cancer Foundation

Nicola Tucker FCA (Senior Statutory Auditor) Date 10-07-2026 For and on behalf of Murray Smith LLP Chartered Accountants Statutory Auditors Darland House 44 Winnington Hill Northwich Cheshire CW8 1AU

39

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Consolidated Statement of Financial Activities for the year ended 31 December 2025

Note
Income from:
Donations and legacies
10
Charitable activities
11
Other trading activities
12
Investments
13
Other
14
Total income
Expenditure on:
Raising funds
15
Charitable activities
16
Total expenditure
Net gain/(loss) on investments
27
Net income / (expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Funds
£
Restricted
General
Funds
£
Total
2025
£
Total
2024
£
1,599,530
1,199,206
2,798,736
2,526,405
85,383
4,000
89,383
73,059
2,586,184
31,346
2,617,530
2,613,507
3,976
-
3,976
11,303
-
-
-
(150)
4,275,073
1,234,552
5,509,625
5,224,124
3,303,460
53,510
3,356,970
3,190,250
1,207,201
931,729
2,138,930
1,838,892
4,510,661
985,239
5,495,900
5,029,142
2,549
-
2,549
25,381
(233,039)
249,313
16,274
220,363
-
-
-
-
(233,039)
249,313
16,274
220,363
432,081
397,004
829,085
608,722
199,042
646,317
845,359
829,085

All activities derive from continuing operations.

40

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Charity Only Statement of Financial Activities for the year ended 31 December 2025

Note
Income from:
Donations and legacies
18
Charitable activities
19
Other trading activities
20
Investments
21
Other
22
Total income
Expenditure on:
Raising funds
23
Charitable activities
24
Total expenditure
Net gain/(loss) on investments
27
Net income / (expenditure)
Transfers between funds
Net movement in funds
Reconciliation of funds
Total funds brought forward
Total funds carried forward		 Unrestricted
Funds
£
Restricted
General
Funds
£
Total
2025
£
Total
2024
£
1,629,636
1,199,206
2,828,842
2,560,488
3,000
4,000
7,000
42,725
370,744
31,346
402,090
336,714
4,887
-
4,887
12,210
-
-
-
-
2,008,267
1,234,552
3,242,819
2,952,137
1,206,395
53,510
1,259,905
1,081,862
1,148,504
931,729
2,080,233
1,817,539
2,354,899
985,239
3,340,138
2,899,401
2,549
-
2,549
25,381
(344,083)
249,313
(94,770)
78,117
-
-
-
-
(344,083)
249,313
(94,770)
78,117
366,310
356,798
723,108
644,991
22,227
606,111
628,338
723,108

All activities derive from continuing operations.

41

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Consolidated Balance Sheet as at 31 December 2025

Notes
Fixed assets
Tangible assets
28
Investments
29
Current assets
Stocks
31
Debtors
32
Cash at bank and in hand
Current Liabilities
Creditors: amounts falling due within one year
33
Net current assets
Total assets less current liabilities
Creditors – amounts falling due after more than one
year
34
Provisions for liabilities
36
Total net assets of the group
The total net assets of the group are funded by the
funds of the charity, as follows:
Restricted funds
Restricted revenue funds
41
Unrestricted funds
Unrestricted revenue funds
41
Total funds		 2025
2024
£
£
89,013
88,665
106,460
252,650
195,473
341,315
71,565
93,367
1,139,888
1,164,413
244,864
14,449
1,456,317
1,272,229
(688,777)
(642,567)
767,540
629,662
963,013
970,977
-
(33,333)
(117,654)
(108,559)
845,359
829,085
646,317
397,004
199,042
432,081
845,359
829,085

The accounts have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies regime.

Approved and authorised for issue by the board of trustees on 23 June 2026 and signed on their behalf by:

Euan Imrie Chair

The notes on pages 48 to 84 form an integral part of these financial statements.

42

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Charity Only Balance Sheet as at 31 December 2025

Notes
Fixed assets
Tangible assets
28
Investments
29
Current assets
Stocks
31
Debtors
32
Cash at bank and in hand
Current Liabilities
Creditors: amounts falling due within one year
33
Net current assets
Total assets less current liabilities
Creditors – amounts falling due after more than one
year
34
Provisions for liabilities
36
Total net assets of the charity
The total net assets of the charity are funded by the
funds of the charity, as follows:
Restricted funds
Restricted revenue funds
41
Unrestricted funds
Unrestricted revenue funds
41
Total funds		 2025
2024
£
£
14,295
17,353
106,463
252,653
120,758
270,006
19,776
27,976
1,013,356
1,012,624
175,796
33,256
1,208,928
1,073,856
(675,761)
(564,882)
533,167
508,974
653,925
778,980
-
(33,333)
(25,587)
(22,539)
628,338
723,108
606,111
356,798
22,227
366,310
628,338
723,108

The accounts have been prepared in accordance with the provisions in Part 15 of the Companies Act 2006 applicable to companies subject to the small companies regime.

Approved and authorised for issue by the board of trustees on 23 June 2026 and signed on their behalf by:

Euan Imrie Chair

The notes on pages 48 to 84 form an integral part of these financial statements.

43

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Consolidated Statement of Cash Flows for the year ended 31 December 2025

Notes to
cash flow
Cash flow from operating activities
Net cash provided by (used in) operating activities
1
Cash flows from investing activities
2
Cash flows from financing activities
3
Change in cash and cash equivalents in the reporting
period
5
Cash and cash equivalents at 1 January 2025
Cash and cash equivalents at 31 December 2025
5		 Year ended
31 December
2025
£
Year ended
31 December
2024
£
196,054
(270,667)
74,361
285,259
(40,000)
(40,000)
230,415
(25,408)
14,449
39,857
244,864
14,449

44

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Charity Only Statement of Cash Flows for the year ended 31 December 2025

Notes to
cash flow
Cash flow from operating activities
Net cash provided by (used in) operating activities
1
Cash flows from investing activities
2
Cash flows from financing activities
3
Change in cash and cash equivalents in the reporting
period
5
Cash and cash equivalents at 1 January 2025
Cash and cash equivalents at 31 December 2025
5		 Year ended
31 December
2025
£
Year ended
31 December
2024
£
79,303
(248,147)
103,237
294,350
(40,000)
(40,000)
142,540
6,203
33,256
27,053
175,796
33,256

45

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Cash Flow Statement

For the Year Ended 31 December 2025

1. Reconciliation of net income/ (expenditure) to net cash flow from operating activities

Net income / (expenditure) for the period
Adjusted for:
Depreciation charges
Impairment of investment assets
(Profit)/loss on disposal of fixed assets
Net (gain)/loss on investment assets
Dividends, interest and rents from investment
Realised gain on investments
(Increase)/Decrease in stocks
(Increase)/Decrease in debtors
Increase/(Decrease) in creditors
Increase/(Decrease) in provisions
Net cash provided by/(used in) operating
activities		 Group
2025
£
Group
2024
£
Charity
2025
£
Charity
2024
£
16,274
220,363
(94,770)
78,117
30,210
32,740
5,769
4,143
-
-
-
129,592
118
-
-
-
(2,549)
(25,381)
(2,549)
(25,381)
(3,976)
(11,303)
(4,887)
(12,210)
47,678
148,223
47,678
148,223
21,802
13,247
8,200
(124)
24,525 (318,084)
(732)
(369,351)
52,877 (320,609)
117,546
(198,902)
9,095
(9,863)
3,048
(2,254)
196,054 (270,667)
79,303
(248,147)

2. Cash flows from investing activities

Interest received
Dividends received
Purchase of property, plant and equipment
Proceeds from sales of investments
Purchase of investments
Increase/(Decrease) in cash held for investment
Net cash provided by investing activities		 Group
2025
£
Group
2024
£
Charity
2025
£
Charity
2024
£
1,479
633
2,390
1,540
2,497
10,670
2,497
10,670
(30,676) (20,335)
(2,711)
(12,151)
371,629 318,643
371,629
318,643
(169,910) (36,602) (169,910)
(36,602)
(100,658)
12,250(100,658)
12,250
74,361 285,259
103,237
294,350

3. Cash flows from financing activities

Repayments of borrowing
Cash inflows from new borrowing
Interest paid
Net cash provided by / (used in) financing
activities		 Group
2025
£
Group
2024
£
Charity
2025
£
Charity
2024
£
(40,000)
(40,000)
(40,000)
(40,000)
-
-
-
-
-
-
-
-
(40,000)
(40,000)
(40,000)
(40,000)

46

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Cash Flow Statement

For the Year Ended 31 December 2025

4. Analysis of cash and cash equivalents

Cash in hand and at bank
Notice deposits (less than 3 months)
Total cash and cash equivalents		 Group
2025
£
Group
2024
£
Charity
2025
£
Charity
2024
£
244,864
14,449
175,796
33,256
-
-
-
-
244,864
14,449
175,796
33,256

5. Analysis of changes in net debt

Group
Net Cash
Cash at bank and in hand
Debt
Debts falling due within one year
Debts falling due after one year
Net funds/(debt)
Charity
Net Cash
Cash at bank and in hand
Debt
Debts falling due within one year
Debts falling due after one year
Net funds/(debt)		 At 1 January
2025
£
Cash flows
£
Non-cash
flows
£
At 31 December
2025
£
14,449
230,415
-
244,864
14,449
230,415
-
244,864
(40,000)
40,000
(33,333)
(33,333)
(33,333)
-
33,333
-
(73,333)
40,000
-
(33,333)
(58,884)
270,415
-
211,531
At 1 January
2025
£
Cash flows
£
Non-cash
flows
£
At 31 December
2025
£
33,256
142,540
-
175,796
33,256
142,540
-
175,796
(40,000)
40,000
(33,333)
(33,333)
(33,333)
-
33,333
-
(73,333)
40,000
-
(33,333)
(40,077)
182,540
-
142,463

47

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies

Basis of preparation and accounting convention

These consolidated accounts have been prepared on the accruals basis, under the historical cost convention except for listed investments which are stated at market value, and in accordance with Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019), the Companies Act 2006 and Charities Act 2011.

Roy Castle Lung Cancer Foundation meets the definition of a public benefit entity under FRS 102.

The registered office and principal place of business is Cotton Exchange, Old Hall Street, Liverpool, England, L3 9LQ.

The accounts are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

Control of members of the group

The parent charity has concluded that control exists over its subsidiaries for the following reasons: -

They are either a wholly owned subsidiary with directors appointed by the Roy Castle Lung Cancer Foundation or a charity and company limited by guarantee and controlled by trustees appointed by the Roy Castle Lung Cancer Foundation.

Legal Status

Roy Castle Lung Cancer Foundation ('the charity') is a company limited by guarantee (Companies House No. 03059425) and a registered charity (Registered Charity No. 1046854 (England and Wales), SC037596 (Scotland) and 006171F (Isle of Man)). It is governed by Memorandum and Articles of Association dated 31 January 2011 . The liability of each member in the event of winding up is £10. The company is registered as a charity with both the Charity Commission and the Office of the Scottish Charity Regulator.

Going Concern

Like much of the charity sector, and the wider economy, Roy Castle Lung Cancer Foundation was adversely affected by the Covid 19 pandemic and the necessary measures introduced by HM Government from March 2020 through to 2025 to address it.

48

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies (continued)

These challenges were compounded by the subsequent cost of living crisis and the economic pressures arising following the war in Ukraine, which led to a rapid rise in inflation, largely driven by increases in utility, energy and food prices, together with increases in the National Living Wage. Collectively, these factors have affected the charity, its staff and its supporters, creating a particularly challenging operating environment. This environment has been further impacted by ongoing instability in the Middle East.

Over this period, the charity has taken prudent and necessary actions to protect its financial position and to minimise these negative impacts. These actions included reducing costs where possible, implementing the planned closure of certain central infrastructure, scaling back other central activities, and undertaking a significant reduction in staff numbers.

Alongside these cost management measures, the charity developed innovative social media campaigns and virtual fundraising activities to support its traditional income streams. During 2025, the charity successfully reintroduced several of its flagship physical fundraising events. In 2026, work will continue to expand and rebuild the programme of physical fundraising events, reinforcing their role both as key income generators and as important profile building opportunities for the charity.

In parallel with these changes to the charity’s cost structure, the Trustees made a deliberate decision in 2025 to maintain the charity’s level of charitable activity. As a result of reducing non-essential costs and the successful implementation of new fundraising streams during 2023, with benefits flowing through to 2025, the charity has begun to build further income through its community engagement activities.

The charity is working closely with programme partners and the national team to strengthen existing relationships, particularly in the context of the forthcoming NHS spending review. Efforts are also underway to broaden these relationships beyond core programmes to include other key stakeholders, such as service providers (including InHealth) and pharmaceutical companies with an interest in early detection. During the year, the charity also received a grant of £481k from the NHS.

The Trustees note a decline in income from the Retail sector during the year, driven by increased operating costs, which resulted in a retail deficit of £321k. In response, the charity engaged a consultancy firm specialising in charity retail operations to support performance improvement. Additionally, a new Retail Director was appointed in 2026, and the Trustees are optimistic that these actions will lead to an improvement in retail performance during 2026 and beyond.

The Trustees have reviewed the charity’s overall financial position and consider it to be sustainable in the current circumstances. The charity maintains a strong long term investment policy and holds £351k in cash and investments, with sufficient liquid assets to manage any potential short term cashflow pressures within its total funds of £845,359 (2024: £829,085).

49

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies (continued)

At year end, unrestricted reserves stood at £199k (2024: £432k), while restricted reserves totalled £646k (2024: £397k), resulting in a reserves position weighted towards restricted funds. The overall balance has improved slightly compared to 2024, largely due to the receipt of the NHS grant, which is scheduled to be utilised during 2026.

Based on this assessment, the Trustees have concluded that the charity and group have sufficient resources to continue in operational existence for the foreseeable future and therefore continue to adopt the going concern basis of accounting in the preparation of the financial statements.

Basis of consolidation

The Statement of Financial Activities (SOFA) and balance sheet consolidate the financial statements of the Charity and its subsidiary undertakings. The results, assets and liabilities of the subsidiaries are consolidated on a line by line basis.

Policies relating to Categories of Income and Income Recognition

a) Accounting for deferred income and income received in advance

Where terms and conditions relating to income have not been met or uncertainty exists as to whether the charity can meet any terms or conditions otherwise within its control, income is not recognised but is deferred as a liability until it is probable that the terms or conditions imposed can be met.

Any grant that is subject to performance-related conditions received in advance of delivering the goods and services required by that condition or is subject to unmet conditions wholly outside the control of the recipient charity, is accounted for as a liability and shown on the balance sheet as deferred income.

Deferred income is released to income in the reporting period in which the performance-related or other conditions that limit recognition are met.

When income from a grant or donation has not been recognised due to the conditions applying to the gift not being wholly within the control of the recipient charity, it is disclosed as a contingent asset if receipt of the grant or donation is probable once those conditions are met.

Where time related conditions are imposed or implied by a funder then the income is apportioned to the time periods concerned and, where applicable, is accounted for as a liability and shown on the balance sheet as deferred income. When grants are received in advance of the expenditure on the activity funded by them, but there are no specific time related conditions, then the income is not deferred.

Any condition that allows for the recovery by the donor of any unexpended part of a grant does not prevent recognition of the income concerned, but a liability to any repayment is recognised when repayment becomes probable.

50

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies (continued)

b) Income from legacies

Income from legacies is recognised when the charity has sufficient evidence that a gift has been left to them, that where required, probate has been granted, the executor is satisfied that the property in question will not be required to satisfy claims in the estate, that it is probable that the amount will be received by the charity, and the amount to be received can be estimated with sufficient accuracy, and that any conditions attached to the legacy are either within the control of the charity or have been met.

Where a payment is received from an estate or is notified as receivable by the executors after the reporting date and before the accounts are authorised for issue but it is clear that the payment had been agreed by the executors prior to the end of the reporting period, then the amount concerned is treated as an adjusting event and accrued as income in the accounting period if receipt is probable.

Where the charity has established entitlement to a legacy but there is uncertainty as to the amount of the payment, details of the legacy are disclosed as a contingent asset until the criteria for income recognition are met. Where a legacy is subject to the interest of a life tenant, the legacy is not recognised as income until the death of the life tenant.

Where there is any doubt that full settlement of a legacy debtor will be received, then an adjustment is made to reduce the amount of the legacy debtor and legacy income rather than charging the adjustment as expenditure in the Statement of Financial Activities.

c) Donated goods, facilities and services

Donated fixed assets are recognised at the current fair value. All such donations are recognised as donation income and debited to fixed assets.

Donated goods that are not fixed assets are accounted for at a fair value unless it is impractical to reliably measure the value of the donated items.

If it is deemed impracticable to measure the fair value of goods donated for resale and that costs of valuation outweigh the benefits, then the value of donated goods is recognised as income when sold.

Donated services and facilities (including seconded staff and use of property) are included in the accounts on the basis of the value of the gift to the charity.

All donated services and facilities are recognised as donation income when received (provided the value of the gift can be measured reliably) and recognised as an expense with an equivalent value.

51

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements For the Year Ended 31 December 2025

1. Accounting policies (continued)

Policies relating to expenditure on goods and services provided to the charity

a) Recognition of liabilities and expenditure

A liability, and the related expenditure, is recognised when a legal or constructive obligation exists as a result of a past event, and when it is more likely than not that a transfer of economic benefits will be required in settlement, and when the amount of the obligation can be measured or reliably estimated.

Liabilities arising from future funding commitments and constructive obligations, including performance related grants, where the timing or the amount of the future expenditure required to settle the obligation are uncertain, give rise to a provision in the accounts, which is reviewed at the accounting year end. The provision is increased to reflect any increases in liabilities and is decreased by the utilisation of any provision within the period and reversed if any provision is no longer required. These movements are charged or credited to the respective funds and activities to which the provision relates.

b) Allocating costs to activities

Direct costs that are specifically related to an activity are allocated to that activity- Shared direct costs and support costs are apportioned between activities.

The basis for apportionment, which is consistently applied, and proportionate to the circumstances, is:-

Direct staff costs - Directly allocated on the basis of time spent in connection with any particular activity

Indirect staffing - on a per capita basis, based on the number of people employed within any particular activity. Indirect staff costs are allocated as follows:

52

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies (continued)

Termination benefits - recognised as an expense when the charity is demonstrably committed to either:

Termination benefits are recognised within staff costs. The extent to which such obligations are funded at the reporting date is disclosed within the staff costs note.

Premises related costs - on a per capita basis, based on the number of people employed within any particular activity.

Non-specific support costs - on a per capita basis, based on the number of people employed within any particular activity.

Estimation techniques used in apportioning costs are based on FTE time spent on activities.

c) Volunteers

In accordance with the SORP, and in recognition of the difficulties in placing a monetary value on the contribution from volunteers, the contribution of volunteers is not included within the income or expenditure of the charity.

However the trustees value the significant contribution made to the activities of the charity by unpaid volunteers and this is described more fully in Note 7 and the front end of the accounts.

Policies relating to assets, liabilities and provisions and other matters

a) Fixed asset investments

Fixed asset investments in quoted shares, traded bonds, investment properties and similar investments are shown initially at cost upon acquisition and at their fair value through profit and loss.

Fixed asset investments in unlisted equities are shown at the balance sheet date at cost and subsequently measured at cost less any accumulated impairment losses, a review is undertaken at each year end as to whether the asset should be written down

All gains on fixed asset investments, whether realised or unrealised, are included in the Statement of Financial Activities.

53

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements For the Year Ended 31 December 2025

1. Accounting policies (continued)

b) Tangible fixed assets

Fixed assets costing more than £500 are capitalised and valued at historic cost. Items individually below the threshold but included in a project whose overall cost is greater than £500 are also capitalised.

Tangible fixed assets are measured at their original cost value. Cost value includes all costs expended in bringing the asset into its intended working condition.

Depreciation has been provided at the following rates in order to write off the assets to their anticipated residual value over their estimated useful lives.

Leasehold premises over the length of the lease Fixtures and fittings over the length of the lease Research, office and computer equipment between 10 and 25%

c) Stocks and work in progress

Stock consists of purchased goods for resale. Stocks are valued at the lower of cost and net realisable value. Donated items sourced from both individuals and organisations are not included in the financial statements until they are sold.

d) Debtors

Debtors are measured at their recoverable amounts at the balance sheet date.

e) Creditors

Creditors are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Creditors are normally recognised at their transaction amount.

f) Provisions

Provisions are recognised where the charity has a present obligation resulting from a past event that will probably result in the transfer of funds to a third party and the amount due to settle the obligation can be measured or estimated reliably. Provisions are normally recognised at their transaction amount and discounted to their present day value at the time of the accounts.

g) Financial instruments including cash and bank balances

The charity only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. Cash held by the charity is included at the amount actually held and counted at the year end. Bank balances, whether in credit or overdrawn, are shown at the amounts properly reconciled to the bank statements.

54

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies (continued)

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

All financial assets and liabilities are measured at cost with the exception of listed investments which are stated at market value.

h) Leasing

Rentals paid under operating leases are charged to income on a straight-line basis over the lease term.

i) Pensions - defined contribution schemes

The charity operates a defined contribution pension scheme. Contributions are charged to the Statement of Financial Activities as they become payable in accordance with the rules of the scheme. The assets of the scheme are held separately from those of the charity.

j) Charitable commitments

Commitments that are legally binding on the trustees are accounted for as expenditure in the Statement of Financial Activities. Where the intention of financial support is not binding on the trustees, such intentions are not accrued for but are disclosed separately in a note to the accounts.

k) Branch Offices

The Charity carries out some activities through offices that use the same name as the Charity, raise funds for the Charity and receive support from the Charity through advice and publicity materials. All transactions are accounted for gross in the accounts and all assets and liabilities are included in the Charity's balance sheet.

l) Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

m) Consolidation

Roy Castle Retail Limited (Company number 03604677), Roy Castle Trading Limited (Company number 03909935), and Cut Films Limited (Company number 07313137) are controlled by the Roy Castle Lung Cancer Foundation and are consolidated in these accounts on a line-by-line basis.

55

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

1. Accounting policies (continued)

n) Government Grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met, and the grants will be received.

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

o) Fund accounting

Unrestricted funds are available to spend on activities that further any of the purposes of charity. Restricted funds are donations which the donor has specified are to be solely used for particular areas of the Trust's work or for specific artistic projects being undertaken by the Trust.

2. Critical accounting estimates and judgements

In the application of the charity's accounting policies, the trustees are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Estimate of Dilapidation provision:

Dilapidations are provided for on the basis of external estimates of the cost of repair for each property held at the end of its lease, discounted to current day values at a rate of 10% to reflect current time value of money. These assumptions are reviewed on an annual basis. £4,341 of the provision was released in 2025 (2024: £433) with an additional provision of £13,436 made as at 31 December 2025 (2024: £nil) due to a review of likely property and lease termination dates. This £118k provision includes £26k in relation to head office and £92k in relation to the shops held by retail.

Recoverability of group debts:

Group debt is reviewed annually, and any amounts deemed irrecoverable are provided for in the Charity only accounts. At 31 December 2025, intercompany debtors due to the charity from Cut Films Limited and Roy Castle Retail Limited have been written down to £nil on the basis that the subsidiaries may not be able to repay these amounts.

56

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

2. Critical accounting estimates and judgements (continued)

Classification of intercompany loan:

Intercompany debtor loans are classified based on the timing of their expected realisation. During 2024, an intercompany loan of £130k (which had been classified as a fixed asset investment as the intention is that the balance will not be realised through normal trading operations in the near future) due to the charity from Roy Castle Retail Limited has been provided for in full on the basis that the subsidiary may not be able to repay these amounts. The position in respect of this balance remains unchanged at 31 December 2025, and the loan continues to be provided for in full.

3. Liability to taxation

As a registered charity, the organisation is exempt from Corporation Tax under the Corporation Tax Act 2010 (chapters 2 and 3 of part ii, section 366 onwards) or Section 256 of the Taxation for Chargeable Gains Act 1992, to the extent that surpluses are applied to its charitable purposes. Value Added Tax is not recoverable by the charity and is therefore included in the relevant costs in the Statement of Financial Activities.

Value Added Tax is recoverable by Roy Castle Retail Limited and Cut Films Limited, it is therefore not reported or included in the costs or income figures of these companies or consolidated into the group accounts.

Taxation of subsidiaries

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

57

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

3. Liability to taxation (continued)

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

4. Winding up or dissolution of the charity

If upon winding up or dissolution of the charity there remain any assets, after the satisfaction of all debts and liabilities, the assets represented by the accumulated fund shall be transferred to some other charitable body or bodies having similar objects to the charity.

58

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

5. Net expenditure in the financial year

Group
The net expenditure in the financial year for the group is stated after
charging:-
Depreciation of fixed assets
Operating leases
Charity
The net expenditure in the financial year for the charity is stated after
charging:-
Depreciation of fixed assets
Operating leases
Fees payable to the group’s auditor:
For audit services
Audit of the financial statements of the group and charity
Taxation compliance services
All other non-audit services
Interest payable
Group and charity
Bank interest payable		 2025
£
2024
£
30,210
32,740
546,230
591,429
2025
£
2024
£
5,769
4,143
109,799
109,452
2025
£
2024
£
18,540
18,000
18,540
18,000
2,400
2,400
7,446
7,200
9,846
9,600
2025
£
2024
£
965
481
965
481

6. Interest payable

59

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

7. The contribution of volunteers

The Charity has significant support from volunteers in all our activities, currently we have 433 registered with us (2024: 234) and they regularly support us in the Foundation’s shops, community engagement work, administration and Fundraising. In total, the hours able to be contributed were 27,027 (2024: 22,085) which is the equivalent of 13.86 people (2024: 11.33).

The charity does not recognise in financial terms in the accounts the valuable contribution of our volunteers.

8. Staff costs and emoluments

. Staff costs and emoluments
Gross salaries
Employer’s National Insurance
Employer’s Pension
Staff restructuring costs
taff restructure costs comprise:
Redundancy payments
Severance payments
Payments in lieu of notice		 Group
2025
£
Group
2024
£
Charity
2025
£
Charity
2024
£
2,331,027
2,445,317 1,159,005
1,256,840
245,607
187,778
136,119
120,321
56,471
59,076
35,985
39,046
44,446
-
44,446
-
2,677,551
2,692,171 1,375,555
1,416,207
Group
2025
£
Group
2024
£
Charity
2025
£
Charity
2024
£
21,477
-
21,477
-
7,681
-
7,681
-
15,288
-
15,288
-
44,446
-
44,446
-

Staff restructure costs comprise:

All termination benefits were paid during the year; accordingly, no amounts were outstanding or required funding at 31 December 2025.

The average number of staff deployed in different activities in the group in the year was:

Engaged on charitable activities
Engaged on fundraising activities
Engaged on management and administration
Engaged on retail activities		 2025
No
2024
No
18
27
14
17
14
6
82
87
128
137

The average number of staff in the charity only in the year was 46 (2024: 50).

60

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

8. Staff costs and emoluments (continued)

The number of employees whose emoluments including taxable benefits but excluding employer’s pension contributions fall into the following bands were:-

Group and charity
£60,001 to £70,000 p.a.
£70,001 to £80,000 p.a.
£80,001 to £90,000 p.a.		 2025
No
2024
No
1
2
-
1
1
-
2
3

2 (2024: 3) of the above employees are accruing benefits under defined contribution pension schemes.

Chief Executive Officer / Highest paid employee
The remuneration in the year was
Pension contributions paid by employer		 2025
£
2024
£
81,649
75,020
5,410
5,072
87,059
80,092

9. Remuneration and payments to Trustees and persons connected with them

No trustees or persons connected with them received any remuneration from the charity, or any related entity.

1 trustees was reimbursed expenses incurred which amounted to £55 (2024: £422 to 1 trustees) in relation to travel and subsistence expenses.

61

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

10. Donations and Legacies – Consolidated

Unrestricted Restricted 2025 2024
Funds Funds Total Total
£ £ £ £
Donations and gifts from individuals
Donations 11,269 - 11,269 12,072
Individual Giving 445,699 1,000 446,699 359,653
Payroll Giving 69,993 - 69,993 63,792
526,961 1,000 527,961 435,517
Legacies receivable
Legacies receivable 529,931 - 529,931 1,008,476
529,931 - 529,931 1,008,476
Revenue grants and donations from non-public bodies
Corporate Grants 60,483 481,000 541,483 62,487
Trusts 23,700 61,894 85,594 131,161
84,183 542,894 627,077 193,648
Sponsorship
Pause for Hope - 273 273 1,045
Sponsorship 26,358 655,039 681,397 492,243
26,358 655,312 681,670 493,288
In Memoriam
In Memoriam 172,215 - 172,215 139,599
172,215 - 172,215 139,599
Gift Aid on Donations
Gift Aid on Donations 259,882 - 259,882 255,877
259,882 - 259,882 255,877
Total Donations and Legacies -
Consolidated 1,599,530
 1,199,206 2,798,736 2,526,405

Of the 2024 income, £1,966,320 was unrestricted and £560,085 was restricted.

62

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

11. Income from charitable activities - Consolidated

Charitable income from funders
Community engagement
Total income from charitable activities		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
85,383
4,000
89,383
73,059
85,383
4,000
89,383
73,059

Total income from charitable activities all relates to prevention. Of the 2024 income, £30,334 was unrestricted and £42,725 was restricted.

12. Income from other trading activities - Consolidated

Trading activities to raise funds
Income from fundraising events
Income from the sale of donated and
brought in goods
Other income
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
4,405
-
4,405
5,433
681,250
31,346
712,596
664,311
1,886,512
-
1,886,512
1,936,736
14,017
-
14,017
7,027
2,586,184
31,346
2,617,530
2,613,507

Total income from other trading activities split by activity is split by £731,018 (2024: £676,771) fundraising and £1,886,512 (2024: £1,936,736) sales of donated and related goods. Of the 2024 income, £2,588,070 was unrestricted and £25,437 was restricted.

13. Investment income – Consolidated

Dividend income
Bank interest receivable
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
2,497
-
2,497
10,670
1,479
-
1,479
633
3,976
-
3,976
11,303

All of 2024 income was unrestricted.

63

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

14. Other – Consolidated

4. Other – Consolidated
Other income
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
-
-
-
(150)
-
-
-
(150)

Of the 2024 income, (£150) was unrestricted and £nil was restricted.

15. Expenditure on raising funds and costs of investment management - Consolidated

Cost of fundraising activities
Marketing & advertising of fundraising
Costs of seeking donations, grants and
legacies
Cost of operating social lotteries
Costs of staging fundraising events
Costs of charity shop selling goods
Gross wages and salaries – fundraising
activities
Other direct costs – fundraising
activities
Staff training & welfare – fundraising
activities
Travel and subsistence – fundraising
activities
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
37,138
-
37,138
39,314
144,738
53,510
198,248
56,060
619
-
619
846
3,105
-
3,105
2,133
119,377
-
119,377
108,187
2,410,243
-
2,410,243
2,383,826
364,629
-
364,629
412,042
221,196
-
221,196
185,650
-
-
-
-
2,415
-
2,415
2,192
3,303,460
53,510
3,356,970
3,190,250

Of the 2024 expenditure, £3,189,889 was unrestricted and £361 was restricted.

64

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

16. Expenditure on charitable activities - Consolidated

Note
Direct spending
Restricted
Unrestricted
Grant funding
Organisation grants
26
Staff costs
Support costs
Staff costs
Premises costs
Legal and professional fees
Depreciation / interest
Other - admin
Governance costs
Audit fees
Accountancy fees
Tax charge / movement in
deferred tax
Other
Total
 Staff
Costs
£
Other
£
2025
Total
£
2024
Total
£
89,755
380,442
470,197
501,287
314,467
247,611
562,078
332,185
404,222
628,053 1,032,275
833,472
-
234,647
234,647
28,403
44,942
-
44,942
43,769
44,942
234,647
279,589
72,172
573,687
-
573,687
638,377
-
77,977
77,977
77,323
-
39,768
39,768
19,529
-
31,077
31,077
32,691
-
118,809
118,809
85,167
573,687
267,631
841,318
853,087
-
18,540
18,540
18,000
-
9,846
9,846
9,600
-
-
-
(9,430)
-
(42,638)
(42,638)
61,991
1,022,851
1,116,079 2,138,930
1,838,892

Of the £2,138,930 (2024: £1,838,892) expenditure, £931,729 (2024: £754,110) related to restricted funds and £1,207,201 (2024: £1,084,782) related to unrestricted funds.

17. Summary of charitable costs by activity - Consolidated

Research
Support
Prevention
Total		 Direct
Costs
£
Support
Costs
£
Grant
funding of
activities
£
Governance
£
2025
Total
£
2024
Total
£
1,032,275
168,264
279,589
(2,850) 1,477,278
1,121,002
-
294,461
-
(4,988)
289,473
314,077
-
378,593
-
(6,414)
372,179
403,813
1,032,275
841,318
279,589
(14,252) 2,138,930
1,838,892

65

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

18. Donations and Legacies – Charity only

Unrestricted Restricted 2025 2024
Funds Funds Total Total
£ £ £ £
Donations and gifts from individuals
Donations 504 - 504 1,326
Individual Giving 445,699 1,000 446,699 359,653
Payroll Giving 69,993 - 69,993 63,792
516,196 1,000 517,196 424,771
Legacies receivable
Legacies receivable 529,931 - 529,931 1,008,476
529,931 - 529,931 1,008,476
Revenue grants and donations from non-public bodies
Corporate Grants 60,483 481,000 541,483 62,487
Trusts 23,700 61,894 85,594 131,161
84,183 542,894 627,077 193,648
Sponsorship
Pause for Hope - 273 273 1,045
Sponsorship 26,358 655,039 681,397 492,243
26,358 655,312 681,670 493,288
In Memoriam
In Memoriam 169,448 - 169,448 136,060
169,448 - 169,448 136,060
Gift Aid on Donations
Gift Aid on Donations 142,516 - 142,516 152,105
Gift Aid from Subsidiary 161,004 - 161,004 152,140
303,520 - 303,520 304,245
Total Donations and Legacies - Charity 1,629,636 1,199,206 2,828,842 2,560,488

Of the 2024 income, £2,000,403 was unrestricted and £560,085 was restricted.

66

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

19. Income from charitable activities – Charity only

9. Income from charitable activities – Charity only
Charitable income from funders
Community engagement
Total income from charitable activities		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
3,000
4,000
7,000
42,725
3,000
4,000
7,000
42,725

Total income from charitable activities all relates to prevention. Of the 2024 income, £nil was unrestricted and £42,725 was restricted.

20. Income from other trading activities – Charity only

Income from fundraising events
Other income
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
365,070
31,346
396,416
330,848
5,674
-
5,674
5,866
370,744
31,346
402,090
336,714

Of the 2024 income, £311,277 was unrestricted and £25,437 was restricted.

21. Investment income – Charity only

1. Investment income – Charity only
Dividend income
Bank interest receivable
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
2,497
-
2,497
10,670
2,390
-
2,390
1,540
4,887
-
4,887
12,210

All of 2024 income was unrestricted.

67

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

22. Other – Charity only

2. Other – Charity only
Other income
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
-
-
-
-
-
-
-
-

23. Expenditure on raising funds and costs of investment management – Charity only

Cost of fundraising activities
Marketing & advertising of fundraising
Costs of seeking donations, grants and
legacies
Cost of operating social lotteries
Costs of staging fundraising events
Charity shop selling goods
Gross wages and salaries – fundraising
activities
Other direct costs – fundraising
activities
Travel and subsistence – fundraising
activities
Impairment and provisions –
fundraising activities
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
21,297
-
21,297
9,502
141,881
53,510
195,391
53,935
619
-
619
846
3,105
-
3,105
2,133
101,166
-
101,166
84,920
156
-
156
-
352,773
-
352,773
412,042
150,405
-
150,405
130,743
2,415
-
2,415
2,192
432,578
-
432,578
385,549
1,206,395
53,510
1,259,905
1,081,862

Of the 2024 expenditure, £1,081,501 was unrestricted and £361 was restricted.

68

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

24. Expenditure on charitable activities – Charity only

Note
Direct spending
Restricted
Unrestricted
Grant funding
Organisation grants
26
Staff costs
Support costs
Staff costs
Premises costs
Legal and professional fees
Depreciation / interest
Other - admin
Governance costs
Audit fees
Accountancy fees
Other
Total
 Staff
Costs
£
Other
£
2025
Total
£
2024
Total
£
89,755
380,442
470,197
501,287
314,467
227,888
542,355
362,892
404,222
608,330 1,012,552
864,179
-
234,647
234,647
28,403
44,942
-
44,942
43,769
44,942
234,647
279,589
72,172
573,618
-
573,618
638,377
-
77,977
77,977
77,323
-
24,198
24,198
8,378
-
6,105
6,105
4,143
-
118,786
118,786
82,651
573,618
227,066
800,684
810,872
-
18,540
18,540
18,000
-
4,326
4,326
4,200
-
(35,458)
(35,458)
48,116
1,022,782
1,057,451 2,080,233
1,817,539

Of the £2,080,233 (2024: £1,817,539) expenditure, £931,729 (2024: £754,110) related to restricted funds and was categorised as other expenditure. £1,148,504 (2024: £1,063,429) related to unrestricted funds.

25. Summary of charitable costs by activity – Charity only

Research
Support
Prevention
Total		 Direct
Costs
£
Support
Costs
£
Grant
funding of
activities
£
Governance
£
2025
Total
£
2024
Total
£
1,012,552
160,137
279,589
(2,518) 1,449,760
1,112,588
-
280,239
-
(4,407)
275,832
308,417
-
360,308
-
(5,667)
354,641
396,534
1,012,552
800,684
279,589
(12,592) 2,080,233
1,817,539

69

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

26. Breakdown of Grants to organisations

Northumbria University
Oxford Brooks University
Grants Awarded Payable in 2018
University College of London
University of Nottingham
Manchester University NHS Foundation
University of Hull
Cancer Research UK Manchester
Nursery Bursary
Leeds Teaching Hospital
South Ribble Leisure Limited
Greenwich Leisure Limited
Software and equipment for LANS
Project
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
-
62,000
62,000
-
315
1,960
2,275
73,511
-
-
-
(10,000)
-
-
-
(29,974)
(22,520)
-
(22,520)
-
9,166
-
9,166
-
-
13,270
13,270
-
50,235
-
50,235
-
-
-
-
(1,500)
(31)
-
(31)
(3,634)
-
42,024
42,024
-
-
43,228
43,228
-
-
35,000
35,000
-
37,165
197,482
234,647
28,403

The credit figures included above relate to grants previously accrued which have been released in the year.

27. Investment gains/(losses)

Group and Charity
Listed investments – realised gains
Listed investments – unrealised losses
Total		 Unrestricted
Funds
£
Restricted
Funds
£
2025
Total
£
2024
Total
£
47,678
-
47,678
148,223
(45,129)
-
(45,129)
(122,842)
2,549
-
2,549
25,381

All the gains/(losses) on investments in 2024 were unrestricted.

70

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

28. Tangible Fixed Assets

Group
Cost or valuation
At 1 January 2025
Additions
Disposals
At 31 December 2025
Depreciation
At 1 January 2025
Charge for period
Eliminated in respect
of disposals
At 31 December 2025
Net book value at 31
December 2024
Net book value at 31
December 2025
Charity only
Cost or valuation
At 1 January 2025
Additions
Disposals
At 31 December 2025
Depreciation
At 1 January 2025
Charge for period
Eliminated in respect
of disposals
At 31 December 2025
Net book value at 31
December 2024
Net book value at 31
December 2025		 Leasehold Land
and Buildings
Fixtures
and Fittings
Research Office and
Computer Equipment
Group
Total
£
£
£
£
529,000
381,852
380,289 1,291,141
-
1,300
29,376
30,676
-
-
(81,863)
(81,863)
529,000
383,152
327,802 1,239,954
513,721
326,681
362,074 1,202,476
4,679
17,260
8,271
30,210
-
-
(81,745)
(81,745)
518,400
343,941
288,600 1,150,941
15,279
55,171
18,215
88,665
10,600
39,211
39,202
89,013
Leasehold Land
and Buildings
Fixtures
and Fittings
Research Office and
Computer Equipment
Charity
Total
£
£
£
£
6,783
49,982
245,470
302,235
-
-
2,711
2,711
-
-
-
-
6,783
49,982
248,181
304,946
6,783
45,422
232,677
284,882
-
-
5,769
5,769
-
-
-
-
6,783
45,422
238,446
290,651
-
4,560
12,793
17,353
-
4,560
9,735
14,295

71

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

29. Investments held as fixed assets by the Charity

Carrying value of investments
At 1 January 2025
Additions
Cash movement
Disposals
Revaluation
Impairment
At 31 December 2025		 Investments in
subsidiary
undertakings
Loans to
subsidiary
undertakings
Other
investments
Total
£
£
£
£
3
-
252,650
252,653
-
-
169,910
169,910
-
-
100,658
100,658
-
-
(371,629)
(371,629)
-
-
(45,129)
(45,129)
-
-
-
-
3
-
106,460
106,463

During financial year 2024 £129,592 of loans to Roy Castle Retail Limited were impaired in full in Roy Castle Lung Cancer Foundation. This loan had previously been reallocated from long term debtors to investments to better reflect substance in that, whilst it is a long term loan, it is better reflected as a fixed asset investment in a subsidiary, as the intention is that the balance will not be realised through normal trading operating in the near future. The loan is due to be paid on 31 December 2099 or earlier if mutually agreed. Interest is payable at the Bank of England base rate.

The other investments above are held by both the Charity and the Group. Group investments are therefore £106,460 (2024: £252,650).

Analysis of other investments:

nalysis of other investments:
Cash
Listed investments		 2025
£
2024
£
105,891
5,233
569
247,417
106,460
252,650

The company holds 20% or more of the share capital of the following companies:

Address Shares held Direct
Class %
Cut Films Limited 1 Ordinary 100
Roy Castle Retail Limited 1 Ordinary 100
Roy Castle Trading Limited 1 Ordinary 100
  1. Registered office address: Cotton Exchange, Old Hall Street, Liverpool, England, L3 9LQ.

72

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

30. Subsidiary companies

Three Trading Subsidiaries

Roy Castle Retail Limited – Company number: 03604677 Roy Castle Trading Limited – Company number: 03909935 Cut Films Limited – Company number: 07313137

Principle Activities

Retail Charity Shops Charity and Charitable Events Provision of Charity Youth Projects

Where liability is limited by shareholding, the amount of the holding company’s investment in each subsidiary is £1, which represents 100% of the issued ordinary share capital of each subsidiary. In all cases, the subsidiary is controlled by the holding company by virtue of the power to appoint directors to the board of the subsidiary.

All companies are incorporated in England and Wales and are exempt from audit.

The subsidiaries’ activities relate to those of the holding company in that subsidiaries are trading enterprises engaging in trades similar to the charitable activities of the holding company which donates their entire taxable trading profit to the holding company by way of gift aid.

Under Section 479A of the Companies Act 2006, exemption from an audit of the financial statements for the financial period ending 31 December 2025 has been taken by the following subsidiary companies:

As required, the company guarantees all outstanding liabilities to which the subsidiary companies, listed above, are subject to at the end of the financial period, until they are satisfied in full and the guarantee is enforceable against the parent undertaking by any person to whom the subsidiary companies listed above is liable in respect of those liabilities.

73

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

30. Subsidiary companies (continued)

A summary of the financial statements of the subsidiaries is :-

Group
Roy Castle
Trading
Limited
Roy Castle
Retail
Limited
Cut
Films
Limited
2025
Total
£
£
£
£
Assets and funds
Aggregate amount of assets
111,653
372,270
3,356
488,594
Aggregate amount of liabilities
(49,923)
(1,021,683)
(296,922)
(1,370,788)
Aggregate amount of funds
61,730
(649,413)
(293,566)
(882,194)
Profit and loss
Turnover
316,180
2,080,277
-
2,396,457
Expenses
(155,176)
(2,414,273)
(1,297)
(2,571,715)
Net profit for the year before
tax
161,004
(333,996)
(1,297)
(175,258)
Interest paid
-
(935)
-
(911)
Interest received
-
-
-
-
Other operating income
-
14,694
-
14,694
Gift aid payments made to
holding company
(161,004)
-
-
(161,004)
Taxation
-
-
-
-
Net profit/(loss) for the year
after tax and gift aid
-
(320,237)
(1,297)
(322,479)
2025
£
2024
£
Restricted funds retained within charitable subsidiaries
40,208
40,208
40,208
40,208
31. Stock
Group
Charity Only
2025
£
2024
£
2025
£
2024
£
Stocks
71,565
93,367
19,776
27,976
71,565
93,367
19,776
27,976		 Roy Castle
Trading
Limited
Roy Castle
Retail
Limited
£
£
111,653
372,270
(49,923)
(1,021,683)		 Roy Castle
Trading
Limited
Roy Castle
Retail
Limited
£
£
111,653
372,270
(49,923)
(1,021,683)		 Cut
Films
Limited
2025
Total
£
£
3,356
488,594
(296,922)
(1,370,788)
61,730
(649,413)		 (293,566)
(882,194)
316,180
2,080,277
(155,176)
(2,414,273)		 -
2,396,457
(1,297)
(2,571,715)
161,004
(333,996)		 (1,297)
(175,258)
-
(935)
-
-
-
14,694
(161,004)
-
-
-		 -
(911)
-
-
-
14,694
-
(161,004)
-
-
-
(320,237)		 (1,297)
(322,479)
2025
£
2024
£
40,208
40,208
40,208
40,208
71,565
93,367
19,776
27,976

Stock includes an impairment provision of £2,649 (2024: £10,000).

74

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

31. Stock (continued)

Analysis of the value of stock by activity
Activity
Fundraising activities
Stocks for sales of purchased and related
goods
. Debtors
Amounts falling due within one year:
Trade debtors
Prepayments and accrued income
Other debtors		 Group
Charity Only
2025
£
2024
£
2025
£
2024
£
19,776
27,976
19,776
27,976
51,789
65,391
-
-
71,565
93,367
19,776
27,976
Group
Charity Only
2025
£
2024
£
2025
£
2024
£
81,563
73,587
80,137
65,356
1,039,795
1,072,713
914,689
929,155
18,530
18,113
18,530
18,113
1,139,888
1,164,413
1,013,356
1,012,624

32. Debtors

A provision for bad debts of £nil (2024: £nil) was included against trade debtors.

The amounts owed from Roy Castle Retail Limited, a subsidiary of the charity, have been provided for in full to the value of £688,535 (2024: £255,957).

75

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

33. Creditors: amounts falling due within one year

Trade creditors
Amounts owed to group undertakings
Accruals and deferred income
Other taxation and social security
Bank loan
Corporation tax creditor
Other creditors		 Group
Charity Only
2025
2024
2025
2024
£
£
£
£
199,128
238,145
136,154
143,488
-
-
100,843
60,609
296,110
264,563
240,524
194,304
64,612
53,769
64,612
53,769
33,333
40,000
33,333
40,000
-
-
-
-
95,594
46,090
100,295
72,712
688,777
642,567
675,761
564,882

There is debenture in place dated 13 September 2020 in Roy Castle Retail Limited over leasehold property of the company by Barclays Bank plc. There is a cross guarantee between Roy Castle Retail Limited and Roy Castle Lung Foundation.

The amount of the bank loans repayable included in creditors due within one year relates to a Coronavirus Business Interruption Loan received in 2020. Interest is charged at 2.99% over Bank of England base rate and the loan is secured with a fixed and floating debenture over all assets of the Charity. The amount is repaid in monthly instalments with a final repayment date of October 2026.

The amounts owed to group undertakings are interest free and repayable on demand.

34. Creditors: amounts falling due after more than one year

Bank loan Group
Charity Only
2025
2024
2025
2024
£
£
£
£
-
33,333
-
33,333
-
33,333
-
33,333

76

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

35. Deferred income

. Deferred income
Deferred income at 1 January 2025
Released from previous years
Resources deferred in year
Deferred income at 31 December 2025		 Group
Charity Only
2025
2024
2025
2024
£
£
£
£
125,250
94,152
120,000
88,267
(125,250)
(94,152)
(120,000)
(88,267)
153,500
125,250
150,000
120,000
153,500
125,250
150,000
120,000

Deferred income of £Nil (2024: £3,750) relates to income received for the Charity’s community engagement project, and £3,500 for Warehouse (2024: £1,500). £150,000 (2024: £120,000) of the income deferred in the year relates to income for GLCC.

36. Provisions for liabilities

Dilapidation’s provision
Deferred tax liabilities
ovement on provisions and deferred tax:
At 1 January 2025
Additional provisions in the year
(Released)/Utilised provision
At December 2025
At 1 January 2025
Credit in the year
At December 2025		 Group
Charity Only
2025
2024
2025
2024
£
£
£
£
117,654
108,559
25,587
22,539
-
-
-
-
117,654
108,559
25,587
22,539
Dilapidations provision
Group
Charity Only
2025
2024
2025
2024
£
£
£
£
108,559
108,992
22,539
24,793
13,436
-
3,048
-
(4,341)
(433)
-
(2,254)
117,654
108,559
25,587
22,539
Deferred tax
Group
Charity Only
2025
2024
2025
2024
£
£
£
£
-
9,430
-
-
-
(9,430)
-
-
-
-
-
-

Movement on provisions and deferred tax:

77

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

36. Provisions for liabilities (continued)

Dilapidation’s provision

The group and charity have a present obligation to make good leasehold properties it occupies at the end of each respective property lease. Therefore, a dilapidation provision is required based upon the expected discounted cost to make good the properties. £4,341 of the provision was released in 2025 (2024: £433) with an additional provision of £13,436 made as at 31 December 2025 (2024: £nil) due to a review of likely property and lease termination dates. This £118k provision includes £26k in relation to head office and £92k in relation to the shops held by Roy Castle Retail Limited.

37. Charitable commitments not recognised as provisions or commitments in the accounts

The charity operates an open grants process for Research Grants, some grant applications extend beyond one year, however the charity has an annual review policy for grants that extend beyond one year, with the ability to terminate the grant should it not meet its objectives. Grant costs are accrued in the accounts up to the review date of each grant as this forms the contractual obligation.

There is £311,456 (2024: £nil) of awards that are contingent on the grants meeting their criteria that would then fall across the next three subsequent years' accounts.

At 31 December 2025, the total of the group’s future minimum lease payments under non-cancellable operating leases was:

perating leases was:
Amounts due within one year
Amounts due between one and five years
Amounts due after five years		 2025
2024
£
£
509,699
542,799
1,288,119
1,587,520
480,995
711,093
2,278,813
2,841,412

At 31 December 2025, the total of the charity’s future minimum lease payments under non-cancellable operating leases was:

perating leases was:
Amounts due within one year
Amounts due between one and five years
Amounts due after five years		 2025
2024
£
£
109,799
109,799
223,694
392,488
58,995
-
392,488
502,287

78

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

38. Related party transactions

The remuneration paid to key management personnel as identified in the Trustees' Annual Report amounted to £377,656 (2024: £353,354).

Balances held with subsidiary companies of Roy Castle Lung Cancer Foundation in the year were as follows:

Included in short term debtors:
Included in investments:
Included in short term creditors:
Interest charged on balances:		 2025
2024
£
£
-
-
-
-
(100,843)
(60,609)
911
911

The movement in the amount due to/(from) the charity included in short term creditors relates to amounts advanced in the year of £2,159,903 (2024: £2,067,740), amounts credited in the year of £1,767,559 (2024: £1,844,732) and amounts provided for of £432,578 (2024: £255,957).

The movement in investments relates to amounts impaired of £Nil (2024: £129,542).

39. Related party transactions with trustees

Mr R Chadwick, the husband of the charity’s Chief Executive Officer was paid £5,672 during the year (2024: £4,590), for building and refurbishment works carried out for the charity. All services were provided on normal commercial terms. No amounts were outstanding at the year end.

Morecrofts LLP, a legal and HR advisory firm in which one of the trustees is the managing partner, provided HR support services to the charity during the year totalling £3,240 (2024: £nil). These services were provided on normal commercial terms. £660 was outstanding at the year end.

40. Particulars of how particular funds are represented by assets and liabilities

Group
At 31 December 2025
Tangible fixed assets
Fixed asset investments
Current assets
Current liabilities
Non-current liabilities
Provisions for liabilities		 Unrestricted
funds
£
Restricted
funds
£
Total
funds
£
89,013
-
89,013
106,460
-
106,460
810,000
646,317
1,456,317
(688,777)
-
(688,777)
-
-
-
(117,654)
-
(117,654)
199,042
646,317
845,359

79

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

40. Particulars of how particular funds are represented by assets and liabilities (continued)

Charity
At 31 December 2025
Tangible fixed assets
Fixed asset investments
Current assets
Current liabilities
Non-current liabilities
Provisions for liabilities
Group
At 31 December 2024
Tangible fixed assets
Fixed asset investments
Current assets
Current liabilities
Non-current liabilities
Provisions for liabilities
Charity
At 31 December 2024
Tangible fixed assets
Fixed asset investments
Current assets
Current liabilities
Non-current liabilities
Provisions for liabilities		 Unrestricted
funds
£
Restricted
funds
£
Total
funds
£
14,295
-
14,295
106,463
-
106,463
602,817
606,111
1,208,928
(675,761)
-
(675,761)
-
-
-
(25,587)
-
(25,587)
22,227
606,111
628,338
Unrestricted
funds
£
Restricted
funds
£
Total
funds
£
88,665
-
88,665
252,650
-
252,650
875,225
397,004
1,272,229
(642,567)
-
(642,567)
(33,333)
-
(33,333)
(108,559)
-
(108,559)
432,081
397,004
829,085
Unrestricted
funds
£
Restricted
funds
£
Total
funds
£
17,353
-
17,353
252,653
-
252,653
717,058
356,798
1,073,856
(564,882)
-
(564,882)
(33,333)
-
(33,333)
(22,539)
-
(22,539)
366,310
356,798
723,108

80

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

41. Change in total funds over the year, analysed by individual funds

Group
Unrestricted funds
Group unrestricted
funds
Total unrestricted funds
Charity Restricted
Funds
Sundry RCF Restricted
Reserves
S Cumbria and
Lancashire Screening
GLCC
Boehringer Ingleheim
Awareness Project
Subsidiary Restricted
Funds
Cut Films Restricted
Reserves
Total restricted funds
Total Group Funds		 Funds
brought
forward
2025
Income
Expenditure
Investment
gains
Transfer
between
funds
Funds
carried
forward
2025
£
£
£
£
£
£
432,081 4,275,073
(4,510,661)
2,549
-
199,042
432,081 4,275,073
(4,510,661)
2,549
-
199,042
120,064
303,558
(311,315)
-
-
112,307
-
481,000
(261,217)
-
-
219,783
237,278
449,994
(412,707)
-
-
274,565
(546)
-
-
-
-
(546)
40,208
-
-
-
-
40,208
397,004 1,234,552
(985,239)
-
-
646,317
829,085 5,509,625
(5,495,900)
2,549
-
845,359

81

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

41. Change in total funds over the year, analysed by individual funds (continued)

Charity only
Unrestricted funds
Unrestricted revenue
funds
Total unrestricted funds
RCF Restricted Funds
Research - GLCC
Research - S Cumbria
and Lancashire
Screening
Research - others
Total Restricted Funds
Total Charity Funds
Group
Unrestricted funds
Group unrestricted funds
Total unrestricted funds
Charity Restricted Funds
Sundry RCF Restricted
Reserves
GLCC
Boehringer Ingleheim
Awareness Project
Subsidiary Restricted
Funds
Cut Films Restricted
Reserves
Total restricted funds
Total Group Funds		 Funds
brought
forward
2025
Income
Expenditure
Investment
gains
Transfer
between
funds
Funds
carried
forward
2025
£
£
£
£
£
£
366,310
2,008,267
(2,354,899)
2,549
-
22,227
366,310 2,008,267
(2,354,899)
2,549
-
22,227
237,278
449,994
(412,707)
-
-
274,565
-
481,000
(261,217)
-
-
219,783
119,520
303,558
(311,315)
-
-
111,763
356,798 1,234,552
(985,239)
-
-
606,111
723,108 3,242,819
(3,340,138)
2,549
-
628,338
Funds
brought
forward
2024
Income
Expenditure
Investment
gains
Transfer
between
funds
Funds
carried
forward
2024
£
£
£
£
£
£

85,494 4,595,877
(4,274,671)
25,381
- 432,081
85,494 4,595,877
(4,274,671)
25,381
- 432,081

202,349
205,323
(287,608)
-
- 120,064
281,217
422,924
(466,863)
-
- 237,278
(546)
-
-
-
-
(546)
40,208
- -
-
-
40,208
523,228
628,247
(754,471)
-
- 397,004
608,722 5,224,124
(5,029,142)
25,381
- 829,085		 Funds
brought
forward
2025
Income
Expenditure
Investment
gains
Transfer
between
funds
Funds
carried
forward
2025
£
£
£
£
£
£
366,310
2,008,267
(2,354,899)
2,549
-
22,227
366,310 2,008,267
(2,354,899)
2,549
-
22,227
237,278
449,994
(412,707)
-
-
274,565
-
481,000
(261,217)
-
-
219,783
119,520
303,558
(311,315)
-
-
111,763
356,798 1,234,552
(985,239)
-
-
606,111
723,108 3,242,819
(3,340,138)
2,549
-
628,338
Funds
brought
forward
2024
Income
Expenditure
Investment
gains
Transfer
between
funds
Funds
carried
forward
2024
£
£
£
£
£
£

85,494 4,595,877
(4,274,671)
25,381
- 432,081
85,494 4,595,877
(4,274,671)
25,381
- 432,081

202,349
205,323
(287,608)
-
- 120,064
281,217
422,924
(466,863)
-
- 237,278
(546)
-
-
-
-
(546)
40,208
- -
-
-
40,208
523,228
628,247
(754,471)
-
- 397,004
608,722 5,224,124
(5,029,142)
25,381
- 829,085

85,494 4,595,877
(4,274,671)
25,381
- 432,081
202,349
205,323
(287,608)
-
- 120,064
281,217
422,924
(466,863)
-
- 237,278
(546)
-
-
-
-
(546)
40,208
- -
-
-
40,208
523,228
628,247
(754,471)
-
- 397,004
608,722 5,224,124
(5,029,142)
25,381
- 829,085

82

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

41. Change in total funds over the year, analysed by individual funds (continued)

Charity only
Unrestricted funds
Unrestricted revenue
funds
Total unrestricted
funds
RCF Restricted Funds
Research - GLCC
Research - others
Total Restricted Funds
Total Charity Funds		 Funds
brought
forward
2024
Income
Expenditure
Investment
gains
Transfer
between
funds
Funds
carried
forward
2024
£
£
£
£
£
£
161,969
2,323,890
(2,144,930)
25,381
-
366,310
161,969 2,323,890
(2,144,930)
25,381
-
366,310
281,217
422,924
(466,863)
-
-
237,278
201,805
205,323
(287,608)
-
-
119,520
483,022
628,247
(754,471)
-
-
356,798
644,991 2,952,137
(2,899,401)
25,381
-
723,108

42. The purposes for which the funds as detailed in note 41 are held by the charity are:-

Unrestricted funds:- Unrestricted revenue funds

These funds are held for the meeting the general objectives of the charity, and to provide reserves for future activities, and subject to charity legislation, are free from all restrictions on their use.

Restricted funds:-

Sundry RCF Restricted Reserves

These funds are held for meeting specific objectives of the charity as specified by the donor, and to provide reserves for future suitable activities subject to charity legislation and subject to the restrictions placed on them by individual donors, in particular to fund lung cancer research for individuals.

GLCC

These funds are held for meeting specific objectives of the charity as specified by the donor, and to provide reserves for future suitable activities subject to charity legislation and subject to the restrictions placed on them by individual donors, in particular to fund lung cancer research for individuals.

Boehringer Ingleheim To fund lung cancer awareness for individuals. Awareness Project

Cut Films Restricted Reserves To stimulate discussion amongst young people about the issue of smoking.

83

Docusign Envelope ID: 7D0B5B12-876C-8D2D-81D5-8F9205740A2D

Roy Castle Lung Cancer Foundation – Company Number 03059425

Notes to the Financial Statements

For the Year Ended 31 December 2025

43. Financial instruments

. Financial instruments
Carrying amount of financial assets
measured at fair value through income
and expenditure
Other investments		 Group
Charity Only
2025
2024
2025
2024
£
£
£
£
106,460
252,650
106,460
252,650
106,460
252,650
106,460
252,650

44. Ultimate controlling party

The Roy Castle Lung Cancer Foundation is the ultimate controlling party and is under the control of its legal members. There is no one individual controlling party. It is the smallest and largest entity for which consolidated accounts are prepared. A copy of the consolidated financial statements can be found at the registered office address: Cotton Exchange, Old Hall Street, Liverpool, England, L3 9LQ.

84