RNIB Group annual report and accounts 2016/17

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2 RNIB Group Annual report and financial statements 2016/17

Contents

4 Chair and Chief Executive Officer introduction 40 Financial Statements

6 Trustees’ Report (incorporating 40 Independent auditors’ report to the Strategic Report) Trustees of Royal National Institute of Blind People 7 Structure, governance and management 44 Group statement of financial activities for the 10 Statement of Trustees’ responsibilities year ended 31 March 2017 11 Statement of public benefit 48 Group and RNIB balance sheets as at 31 March 2017 12 Our strategy and business plan 50 Group cash flow statement for the 14 Our values year ended 31 March 2017 15 Achievements, performance and future plans 52 Notes to the financial statements 24 Financial review for the year ended 31 March 2017 31 Fundraising review 117 Thank you to our supporters, partners and volunteers 34 Principal risks and uncertainties 121 Who’s who at RNIB 36 Employee engagement 126 Contact details 38 Health, safety, environment and compliance

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Chair and Chief Executive Officer introduction

Transforming RNIB for We also made the bold move to As a result, RNIB is changing into a very the future transform the RNIB group of charities. different organisation. One that’s fit for This saw the merger of Action for Blind the future and is ready to step up to the It’s been a year of great change at RNIB: People and RNIB Charity teams into one demands we face. a year of challenges, transformation, charity under the RNIB name, from 1 growth and learning. April 2017. Managing growth Our biggest challenge has been the urgent need to modernise at the same Financial Transformation Plan Despite the many challenges we’ve taken time as securing a sustainable financial on this year, we are still growing. The future. This will prepare us for the rapidly We have recognised that our financial number of direct customers is up by 12 changing needs of an increasing number trajectory was not sustainable and per cent since last year to 107,000. Our of blind and partially sighted people. It’s we have implemented a Financial Connect community has connected and a challenge we’ve tackled head on. Transformation Plan which will engaged with 28,700 people and we’ve safeguard a sustainable future for RNIB. developed community ideas such as “How I See” and “The Cane Explained”. A 360‑degree approach An organisation ready for To put us in the best position to meet the future Listening to our customers, this increased demand, we’ve looked challenging the status quo at every aspect of our organisation This is just the start. We’re introducing and created a wide‑ranging new ways of working, alongside new We’ve listened to the issues blind transformation programme. This systems and technology. Investing in our and partially sighted people feel are has included an overhaul of our people and the community of blind and important and worth highlighting. structures, strategy and financial partially sighted people is key. This will And, as ever, our volunteer community management to make sure they dramatically increase the opportunities campaigners continued to challenge deliver everything we need. to give and receive support. government, health and local 4 RNIB Group Annual report and financial statements 2016/17 authorities, and transport operators Preparing for the next to do better, pushing them to make 150 years the world a more inclusive place for someone living with a sight condition. Our transformation and growth continues. We’re looking forward to our 150‑year anniversary in 2018, when Supporting people with sight we’ll celebrate and thank the generous loss every day individuals and organisations across the UK who make all our work possible. Our sight loss advisers (also known as ECLOs or Eye Clinic Liaison Officers) Our commitment to our ambition have supported 20,900 people in eye remains as strong as ever: to make Sally Harvey, Chief Executive clinics. That’s a nine per cent increase every day better for everyone affected Officer since last year. With help from our UK by sight loss. Advice Service, 16,200 customers have claimed over £29 million in benefits. And This Trustees’ Report explains what we’ve helped over 200 people with sight we’ve done, the impact we’ve had loss to find new jobs, while supporting and our plans for next year, along with another 700 to stay in work. our financial statements. We’d like to thank you for taking the time to read this report and for your continuing Encouraging people to look support of RNIB. after their eyes We’ve reached hundreds of thousands of new people with important messages about looking after their eyes by promoting regular sight testing, in partnership with Specsavers in the press Kevin Carey, Chair and on TV. Our eye health information website pages have seen a leap in the number of visitors to 1.37 million – that’s a 36 per cent increase in one year.

5 Trustees’ Report (incorporating Strategic Report) Trustees’ Report (incorporating Strategic Report)

The Royal National Institute of Blind includes three wholly owned trading People (RNIB) Trustees’ report and subsidiaries: RNIB Enterprises Limited; the audited Group and RNIB financial RNIB Services Limited; and MPH statements have been prepared in Accessible Media Limited. accordance with the Statement of Recommended Practice: Accounting Contact details, together with details of and Reporting by Charities 2015, the the Trustees and advisers, can be found Financial Reporting Standard applicable on pages 121 to 126 and form part of in the United Kingdom and Republic of the Trustees’ Report. Ireland (FRS 102) and the Charities Act. The Trustees’ Report includes a This report covers the work of the RNIB Strategic Report. In approving the group of charities throughout the UK, Trustees’ Report, the Board of Trustees which includes Action for Blind People has also approved the Strategic Report. (Action), RNIB Charity, Cardiff Institute for the Blind (CIB), BucksVision, and RNIB Specialist Learning Trust. These charities are responsible for delivering the charitable activities of the Group.

The Group also includes four shell charities: National Library for the Blind; The Talking Newspaper Association of the United Kingdom (NTNM); Blind Centre for Northern Ireland; and Glynn Vivian Home of Rest for the Blind. In addition, the Group 6 RNIB Group Annual report and financial statements 2016/17 Structure, governance and management

Our legal structure RNIB is governed by a Trustee Board. they are provided with information on The Trustee Board meets a minimum the key services provided by RNIB and The Royal National Institute of Blind of four times a year and makes all the main challenges and policy issues People (RNIB) is a registered charity, important strategic, policy and financial facing us. Each Trustee receives an number 226227 in England and decisions, and has overall responsibility annual appraisal, during which any Wales, number SC039316 in Scotland for RNIB activities. individual training needs are identified. and number 1226 in the Isle of Where collective training needs are Man. Established in 1868, RNIB was In 2016/17, of those serving on the established, these are delivered to the incorporated under Royal Charter in Board, six Trustees were nominated Board as a whole. 1949, with a Supplemental Charter and appointed by RNIB Charity, and four in 1993 (revised in 2007 and 2014). Trustees were nominated and appointed by Action. Two independent Trustees Between 1 September 2015 and were appointed by the Board itself. 31 March 2017, the RNIB group of charities was structured so Trustees may serve a term of office that RNIB Charity and Action for of up to three years, with their terms Blind People, both subsidiaries of normally aligned to their term on the RNIB, focused on customer service appointing charity. A Trustee can serve delivery; while support functions for no more than three consecutive were amalgamated in RNIB to ensure terms of three years, other than in efficiency for all member charities. the case of an Honorary Officer (RNIB The latter stages of 2016/17 were Group Chair, Vice‑Chairs or Honorary spent planning for completion of Treasurer) in exceptional circumstances the group restructuring process approved by the Board. An induction for implementation in 2017/18 pack is provided to all new Trustees, (see note 27). and they are invited to attend an intensive induction day, during which 7 Trustees’ Report (incorporating Strategic Report)

How we are managed • Investment Committee: overseeing Executive up to 31 December 2016: the effective investment of funds • Chief Executive Officer (CEO) During 2016/17, the key committees for RNIB on behalf of the Board. The • Managing Director, Places (RNIB that supported the Board were as same committee acts in an advisory Charity) role on the effective investment follows, with a description of their areas • Managing Director, Solutions (RNIB of responsibility: of funds to the Trustees of the RNIB Retirement Benefits Scheme, Charity) • RNIB Group Audit and Risk although under a separate remit • Chief Executive, Action for Blind People Committee: overseeing effective • Remuneration Committee: auditing, financial reporting, internal reviewing the salaries for the Chief • Group Director, Engagement controls and risk management Executive Officer (CEO) and Group • Group Director, Fundraising • Fundraising Committee: supporting Directors and other relevant matters, • Group Director, People the delivery of the strategic priorities such as the general position relating • Group Director, Resources. and outcomes in the RNIB Group to remuneration at RNIB (including Strategy 2014/19, by developing approving general pay increases), fundraising strategies and advising and reviewing whether it is in the on key issues relating to their interests of RNIB to pay or contract implementation with Trustees or connected persons • Governance Committee (and for the provision of services to Nominations Committee): taking the organisation, rather than any an overview of the governance other company. arrangements of RNIB and supporting the Board and Executive in ensuring The day‑to‑day management of that effective governance structures RNIB is delegated to the Executive. are in place. Appointing a panel During 2016/17, the Executive was to review nominations and act as restructured alongside other senior interview panel for Trustee applicants grades to prepare the ground for a full organisational restructure effective from 2017/18. The following are the two structures of the Executive during 2016/17.

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Executive from 1 January 2017: Relationship with other In April 2013, RNIB Specialist Learning • Acting Chief Executive Officer charities Trust was set up as an Academy Trust, • Advocacy Director and Deputy Chief which then took on responsibility for Executive Officer We maintain close links with, the Three Spires School in Coventry in • Services Director (formally effective and support the aims of, other September 2013, providing education 1 April 2017) organisations such as local, national for primary school-aged pupils with Managing Director, Solutions and international charities working special educational needs. • with or for people with sight loss. We Relationships Director • also work closely with other disability In April 2014, RNIB Charity was set up. • Corporate Services Director. charities on issues of mutual concern. On 01 July 2014, we restructured the We deliver services in partnership RNIB group of charities to support the The costs of effecting this restructure with some local societies for blind and effective delivery of the new strategy. are included in the staff costs in note 8 partially sighted people, and some of Until 31 March 2017 the relationship of the financial statements. our funding comes from charities and between RNIB and Action and RNIB trusts which support our aims. Charity was governed through The CEO of RNIB, with the support Association Agreements; these were of the rest of Executive, reports to Between April 2009 and February 2010, both updated in September 2015. the Board of Trustees for approval Action and CIB became subsidiaries of all major decisions. Full details of of RNIB, enabling us to share skills and The latter stages of 2016/17 were Executive can be found in the section expertise to reach more people with spent planning for the culmination of “Who’s who at RNIB”. sight loss in a more cost-effective way. the RNIB Group restructuring, effective 2017/18, with the full merger of the Lesley‑Anne Alexander, former CEO, In September 2010, the Charity largest group entities (RNIB Group, RNIB left RNIB during 2016 and Sally Harvey, Commission approved a Scheme Charity and Action for Blind People) into formerly Managing Director, Places, was whereby RNIB became the sole a single charity, RNIB. For further details appointed Acting CEO. corporate Trustee of the Glynn Vivian of this please see note 27. Home of Rest for the Blind.

9 Trustees’ Report (incorporating Strategic Report) Statement of Trustees’ responsibilities

The Trustees are responsible for In preparing these financial statements, The Trustees are responsible for keeping preparing the RNIB Group annual report the Trustees are required to: proper accounting records that disclose and financial statements in accordance with reasonable accuracy at any time with applicable law and United Kingdom • select suitable accounting policies the financial position of the charity and Accounting Standards (United Kingdom and then apply them consistently enable them to ensure that the financial Generally Accepted Accounting • observe the methods and principles statements comply with the Charities Practice). in the Charities SORP Act 2011, the Charity (Accounts • make judgments and estimates that and Reports) Regulations 2008, the The law applicable to charities in are reasonable and prudent Charities and Trustee Investment England, Wales and Scotland requires • state whether applicable accounting (Scotland) Act 2005, the Charities the Trustees to prepare financial standards, comprising FRS 102, have Accounts (Scotland) Regulations 2006 statements for each financial year which been followed, subject to any material (as amended) and the provisions of give a true and fair view of the state departures disclosed and explained in the charity’s constitution. They are of affairs of the charity and the group the financial statements also responsible for safeguarding the and of the incoming resources and • prepare the financial statements on assets of the charity and the group and application of resources of the group for the going concern basis unless it is hence for taking reasonable steps for that period. inappropriate to presume that the the prevention and detection of fraud charity will continue in business. and other irregularities.

The Trustees are responsible for the maintenance and integrity of the charity and financial information included on the charity’s website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions. 10 RNIB Group Annual report and financial statements 2016/17 Statement of public benefit

The Trustees confirm that they maintenance and development. We also, have complied with the duty in where necessary, provide individuals section 17 of the Charities Act 2011 with access to assistance in applying for to have due regard to the Charity funding. Commission’s general guidance on public benefit, “Charitable Purposes This report allows us to show how our and Public Benefit”. charitable funds are distributed and spent. It also demonstrates the benefits RNIB’s charitable objects are enshrined and effect that the funds have had on within its Charter, and as such, the those using the services, as well as their Trustees ensure that this Charter is wider impact on society for the reported carried out for public benefit through year and in the future. our four strategic priorities. This is done through delivery of services that are primarily aimed at blind or partially sighted people, and, where appropriate, open to all who might benefit throughout the United Kingdom as well as through advocacy and campaigning.

Where we provide specialist services or products for which we charge and these are supplied directly to blind and partially sighted people then we provide a significant subsidy from our own charitable funds. Where fees are paid through central or local government or commercial organisations, then the pricing model covers the costs for the delivery of the service and long term 11 Trustees’ Report (incorporating Strategic Report) Our strategy and business plan

Our ambition is to make every day Financial challenges and nurturing our partnerships and better for everyone affected by building our volunteer numbers, sight loss and to prevent avoidable We have started, and will continue our especially those who have sight loss. financial transformation, during the experienced sight loss. next two years. Further details of the This was the third year of our 2014‑19 steps being taken are included in the strategy and we concentrated our Financial Review from page 24. Our Improving our reach efforts on four priorities: fundraising and commercial activity 1. Being There: so everyone with remains essential to our success. We want to engage many thousands serious sight loss gets the practical We’ll need to continue to overcome more people – our aim is to reach and emotional support they need external pressures to make sure our 250,000 blind and partially sighted to rebuild their lives. organisation has the resources it people by 2019. This year alone, we have needs to deliver our strategy. grown our customer reach by 12 per 2. Independence: supporting people cent from 2015/16 to 107,000, including to live independently. reaching 50,500 new customers across 3. Inclusion: influencing society to Building the right all our services. This is good progress include blind and partially sighted infrastructure and but we’re still a little behind where we people. partnerships need to be to hit our target. 4. Prevention: preventing avoidable sight loss. It is vital we have the right structure, systems and processes in place to deliver our ambition and strategy. This will be critical in 2018 when legislative requirements from General Data Protection Regulation (GDPR) comes into play. Getting our infrastructure right is fundamental, but we also need to broaden and deepen our relationships to achieve our strategic priorities. This relies on growing 12 RNIB Group Annual report and financial statements 2016/17

A work in progress

What we achieved in 2016/17 was the latest step in a long‑term RNIB and sector journey. This will continue to 2019 and beyond. Over the next two years, we’ll make more changes to our finances and infrastructure, and continue our transition work.

We’ve had some setbacks and we still face many challenges in the wider context of national and global uncertainty. But these things have sharpened our focus on our mission to address the needs of blind and partially sighted people.

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Our values

Our values describe our ethos and drive everything we do:

• we’re led by blind and partially sighted people • we’re collaborative • we're creative • we're inclusive • we're open

The RNIB Connect Community embodies the values of RNIB and we’ve grown this community over the last year. It gives people with sight loss the chance to lead our organisation, shape our work and connect with each other.

14 RNIB Group Annual report and financial statements 2016/17 Achievements, performance and future plans

Strategic Priority 1: • Service Brilliance Our impact Being there To support this new approach, we’ve launched a new programme • ECLOs growth results When you’re diagnosed with a sight called Service Brilliance to Our Sight Loss Advisers (ECLOs) condition, it can be devastating. From improve our services. This helps supported 20,900 people this year the first diagnosis, anyone affected our frontline staff develop the against a target of 33,300. This by sight loss, as well as their families skills they need to discover our shows a net growth of nine per cent and friends, needs advice, as well as customers’ unspoken needs. from the 19,225 people reached practical and emotional support. in 2015/16. Estimates on the time • Eye Clinic Support Service required to put new posts in place We’re focused on being there with this We have made progress with the and be fully operational proved to service for everyone in the UK. primary face‑to‑face variant of the be overambitious, which led us to Sight Loss Advice Service – the Eye miss our target by 37 per cent. We What we’ve done Clinic Support Service. In 2016/17 we have also put a more realistic target set up new, fully‑resourced services in place for the coming year. • UK Advice Service in nine trusts and health boards We brought together our advice across the UK. We’re already the • Increased ECLOs capacity services to create our flagship UK largest single provider of Eye Clinic There are now 90 full-time Advice Service. It’s a clear front door Liaison Officers (ECLOs) in the UK. equivalent ECLOs trained by RNIB to all our services, where people can Our strategy is to work in partnership working across the UK. find and get the support they need to create as many RNIB standard and want, wherever they live. accredited ECLOs as possible.

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• Customer satisfaction: high Objectives for 2017/18 Strategic Priority 2 and 3: Customer satisfaction with ECLOs In the coming year, we aim to: Independence and Inclusion continues to be high. Eighty-nine per cent of customers said they got all, • deliver our major fundraising Blind and partially sighted people of all or most of, the practical support they initiative which aims to secure £10 ages should be able to make informed needed. Sixty-six per cent felt their million over three years for our sight choices about their lives. However, emotional wellbeing had improved loss advice services isolation and exclusion can result thanks to the service. • increase our ECLO coverage in from barriers to using mainstream England from 45 per cent to 65 per goods and services and poor How we’ll build on our impact cent of Primary Care Trusts employment opportunities. • reach 25,500 patients through our • Develop Service Brilliance ECLO services in eye clinics We’re raising awareness in communities We’ll continue to build our Service • increase our UK Advice Service and across society to secure improved Brilliance programme so we customers by 33 per cent. access for blind and partially sighted can provide our customers with people. We are focused on promoting the highest quality support and ongoing independence by offering understand their holistic needs. opportunities to develop skills for confident living. • Expand sight loss and advice services What we’ve done We’ll continue to expand our sight loss services in eye clinics, • Confidence-building courses particularly in England. We’ll also We’ve created and run many courses expand our UK Advice Service by that give information, advice and developing our online and telephone practical support to people as they offer. Working with local sight loss adapt to living with sight loss. These and community organisations means include an introduction to technology, our customers get the support they low vision support and information need, wherever they live, and in on the rights of blind and partially whatever way they choose to engage sighted people. The courses are with us. delivered in partnership with other organisations. They’re a great way to connect people and help stop them becoming isolated. 16 RNIB Group Annual report and financial statements 2016/17

• Digital inclusion programmes • Accessible Health Information • Developing online services We’ve continued to run our digital We launched our “Need It to Read There has been a significant inclusion programmes, such as It” campaign to embed the NHS growth in the number of people Online Today, to help people who Accessible Health Information independently accessing the Library have disengaged from the digital Standard. This encourages blind and through technology, including a 53 world to get online or stay online. partially sighted people to sign up per cent increase in the number of and let their GPs know their preferred users of the online catalogue and • Employment support format for information. the number of customers using RNIB The number of blind and partially Overdrive – more than doubling the sighted people of working age in • Getting around safely total at year‑end 2015/16 (from employment has fallen over the We’ve worked closely with our 2,605 to 5,243). last decade. We help people to find Volunteer Campaign Co‑ordinators work, and work with them and their (VCCs) to persuade local authorities Our impact employers to keep them in their job if to sign street charters that commit to they develop a sight condition. RNIB clear streets to help blind and partially • Living with Sight Loss courses is part of a sector coalition to improve sighted people get around safely. Over 1,800 people have attended the employment rate of people with Events like “Swap with Me” have our Living with Sight Loss courses. sight loss in our own sector. brought together bus operators and people with sight loss to help build • Online Today reach extended • Successfully defending understanding of what they need. We’ve reached 29,000 people key benefits The aim is to get them to act on this through Online Today, increasing We’ve defended key benefits that are knowledge to improve travel for blind people with sight loss’s ability to vital to support blind and partially and partially sighted passengers. use accessible technology. Fifty- sighted people’s independence. seven per cent of people showed an We fought successfully for the increase in their ability to use it, and withdrawal of a proposal to move • Improved rehabilitation services around 5,800 people with sensory Attendance Allowance to local “See, Plan and Provide” has driven loss are back online or online for authorities. And we’ve continued improvements to vision rehabilitation the first time. It has helped improve to challenge major concerns on services, with more new rehabilitation people’s independence through Personal Independence Payments officers and improved support for better digital accessibility skills, as many blind and partially sighted thousands of people with sight loss. so they can use the internet for people were initially refused the We’ve also helped to improve care navigation and shopping, as well as benefit with no justification. pathways and reduce waiting times. engaging with government services and managing their health. 17 Trustees’ Report (incorporating Strategic Report)

• Employment and rights support • Talking Books thriving • Independence through technology Our Employment Support service Our Talking Books service grew We believe technology is the key to helped over 200 people with sight by 24 per cent in 2016/17, with achieving independence for people loss to find a new job. We also nearly 10,000 new members. RNIB with sight loss. We’ll combine all our supported 700 people to stay in Overdrive has more than doubled its specialist technology support into work. Our UK sight loss advisers customers, with over 5,000 people one co-ordinated team. And we’ll gave welfare rights support to using it independently. bring together our staff, partners, 16,200 customers, to help them volunteers and customers to create a claim over £29 million in benefits. • Bookshare growth sustainable, scalable and accessible The RNIB Bookshare service offers technology service for blind and • Bus Charter success accessible materials to students partially sighted people across the UK. Twelve bus operators have signed with sight loss at the same time as up to our Bus Charter, including the their peers to help them fulfil their • Ongoing campaigning five biggest UK bus operators. Eighty academic potential. There’s been an We’ll continue to support local per cent of bus journeys are now overall increase to 4,500 subscribers. blind and partially sighted people covered by our Bus Charter. RNIB Bookshare counts 16 per to campaign for safe, secure cent of UK schools, 153 universities streets. With 80 per cent of UK bus • Accessible medical and 280 sensory support services journeys already covered by our information campaign as subscribers. Bus Charter, we’ll continue to push Over 5,000 people signed up to to secure greater accessibility from our “Need It to Read It” campaign. How we’ll build on our impact transport companies. We’ll continue This aims to ensure health and our campaign to embed the NHS adult care providers in England are • Service review Accessible Information Standard. meeting the statutory requirement We’ll review our services that And we’ll champion an approach to provide medical information in an support the independence and to self‑advocacy, to help blind and accessible format. inclusion of people with sight loss. partially sighted people exercise their Our aim is to support thousands right to accessible information. more customers, more consistently and to a higher standard.

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• Spreading the word Strategic Priority 4: Prevention and dementia. Customers and eye We’ll help even more customers health experts have tested and independently access our reading Sight loss has a major impact on reviewed our revamped eye health services digitally through RNIB people’s quality of life and it’s reflected information pages. Overdrive or our online catalogue in a significant cost to society. RNIB at rniblibrary.com. commissioned independent research • Influencing Clinical Commissioning that estimated the total cost of sight Group plans Objectives for 2017/18 loss to the British economy is around By sharing patients’ perspectives £28 billion a year. Direct healthcare on eye care provision for glaucoma, • Secure funding for a new campaign expenditure sits at £3 billion a year. cataract and age‑related macular to change people’s attitude to sight degeneration (AMD), we influenced loss, working with new and existing We play a critical role in preventing sight eye care commissioning plans partners. loss and improving people’s eye health. produced by CCGs. We’ll continue • Increase the number of people with It’s important that people understand our campaign to embed eye health sight loss involved in our “Need it to how to look after their sight and can within health and social care policy Read it” NHS Accessible Standard access the tools and information to help and services. campaign. them do it properly. • 20 per cent increase in the number Our impact of people attending our confidence What we’ve done building courses across all channels • Promoting regular eye tests including telephone and digital. • Promoting regular eye tests Our partnerships with Specsavers • Engage 40 partners and work with RNIB and Specsavers joined forces helped us reach new people with them to support independence to help educate people about how important messages about looking through confidence building and regular eye tests help maintain and after their eyes and regular sight technology services. protect their sight through a range of testing. Our 2017 YouGov poll press and TV activity. suggests that, in the year since RNIB and Specsavers joined forces, an • Online eye health additional 1.1 million people have information service taken action to improve their eye We’ve worked with partners to health by visiting an optician. develop our online eye health information service to include advice on a wide range of other health conditions, such as diabetes 19 Trustees’ Report (incorporating Strategic Report)

• Increase in eye health diabetes to manage their condition, Objectives for 2017/18 information users we shared learning with every • Increase the number of people There’s been a 36 per cent increase diabetic retinopathy screening attending an eye health check‑up in users of our eye health information service across the UK. This reached as a result of our Transforming Eye webpages since last year, with 1.37 17,800 of a target of 20,000 health Health campaign with Specsavers, million unique users. Seventy-four per practitioners. through TV ads, press campaign and cent of customers who contacted us our UK tour of the RNIB Eye Pod. had a better understanding of their How we’ll build on our impact • Run a pilot project, “Ask and Tell”, condition or treatment. to support patients to become • Continuing our partnership with self‑advocates and take a more • Empowering people Specsavers active role in self‑management. We recruited over 140 patients to We’ll continue to work closely with help influence clinical guidelines for Specsavers to raise awareness of the • Support an All‑Party Parliamentary AMD, cataracts and glaucoma. We importance of eye health. Group (APPG) on an Eye Health worked to give people at risk of losing and Visual Impairment Inquiry into the capacity of eye clinics. We will their sight more information and • Campaigning for services support to help them take an active We will continue our influencing facilitate round‑table discussions to role in looking after their eye health. activity to help ensure that eye care promote innovative ways of working In Leeds, Liverpool and Manchester, services have capacity to deliver to meet patients’ needs. we recruited and worked with 67 the treatment people need for eye • Develop and co-ordinate a volunteers and 231 community eye conditions. We will campaign hard sector‑wide campaign to influence health champions to promote eye nationally to help stop people losing the NHS and commissioners to health. Key messages focused on their sight due to NHS capacity issues, ensure capacity will meet demand how to live well with diabetes and targeting a reduction in people losing for eye health services to prevent prevent sight loss. their sight while on hospital waiting avoidable sight loss. lists. We will present innovative ways • Supporting new treatments to improve capacity within eye clinics and learning – supporting patients to have more We supported the approval of new confidence and knowledge to speak treatments for diabetic macular up for themselves. oedema, which will help around 218,000 patients. In order to support GPs, practice nurses and optometrists to help people with 20 RNIB Group Annual report and financial statements 2016/17

A more connected community • New RNIB Connect forum • Podcasting success We also launched the RNIB Connect We now have 150,000 unique Our community of people with sight online community forum to help listeners connecting with us through loss offers a rich and diverse source of people meet others with similar our podcasts. The Weekly Connect experience and knowledge. It’s a real experiences and share information. on RNIB Connect Radio, launched force for positive change. We believe We recruited 35 volunteers to be in October 2016, gives everyone that we can create a place where Community Connectors. They shape affected by sight loss the chance to everyone can find something relevant and deliver engagement work to share their views and opinions on and helpful to their lives by facilitating reach as many people as possible, any issue. a more connected community. RNIB along with creating relevant and Connect is transforming both RNIB and accessible activities. More than 100 How we’ll build on our impact our wider society by making sure the other volunteers back them up with voices of blind and partially sighted local support. • Growing our community people are heard and are always at the We’ll continue to grow the RNIB heart of every relevant decision. Our impact Connect Community – key to this is increasing the proportion of What we have done • A growing community actively‑engaged members. We want Our RNIB Connect Community to build the influence and leadership • Developing digital content has grown to 28,700 people. Their of what we do by blind and partially Over the last year, we’ve changed diverse voices have helped us reach sighted people. We’re working to the way we communicate with our over 2.5 million people on social integrate community members into customers by asking members media. Around two million younger the fabric of our organisation to of RNIB Connect to help develop people were engaged by our “How create a truly productive partnership. our digital content. Much of this I See” campaign through low cost content is now being led and social and digital channels. • Building local communities developed by the voices of the We’ll work to build our community Connect Community Campaigns at a local level and increase our such as “How I See” and “The Cane relevance to under‑represented Explained”. These were created in groups. This includes focusing response to listening to the issues on increasing the diversity of the blind and partially sighted people community in terms of young people, feel are important. Both were and people from black and minority inspired by real‑life stories from ethnic (BME) backgrounds. the community. 21 Trustees’ Report (incorporating Strategic Report)

• Driving a movement for change Transforming RNIB Meeting the legislative and We’ll encourage and enable more fundraising challenges community members to self‑organise, We are committed to achieving our Every charity faces very similar have their voice heard and campaign ambition for our customers and anyone challenges. We’ll continue to meet for change locally and nationally using affected by sight loss. To do this, we them head on, along with our modern tools and platforms like RNIB need to build on the big changes legislative obligations, which will soon Connect online. we’ve made this year and continue to include the new GDPR regulations. transform in the year ahead. In 2016/17, We review and adapt our fundraising Objectives for 2017/18 we started to put the right technology, portfolio on an ongoing basis so our systems, people and structures in fundraising revenue streams are always • Increase our Connect community place to deliver our mission. This work responsive, efficient and effective in and increase active participation continues to gather pace in 2017/18. these turbulent times. in our organisation. • Grow relevance among young Building sustainable partnerships Building a scalable, sustainable model people, and people from BME backgrounds to diversify We need to continue to build Everything we do is designed to create our community. relationships with partners in the sight a scalable and sustainable model that loss sector and beyond. As always, puts customers at the heart of what we volunteers will play a fundamental role in do. We’re confident that once all these what we do. To make their contribution changes are in place, we’ll be in a strong even more effective, we want to create financial position for the next 150 years and facilitate greater UK‑wide volunteer of supporting people with sight loss. input through our new networks.

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Objectives for 2017/18 • Increase the number of people with sight loss who volunteer for us to 25 per cent of all our volunteers. • Deliver all our financial targets including raising £49.8 million net income through fundraising. • Deliver the requirements of the new General Data Protection Regulations (GDPR). • Invest in one organisational wide CRM system to support a seamless customer journey through our newly merged organisation, and better manage our partner relationships. • To exceed the UK average of all the Charity Pulse staff engagement scores or increase the engagement scores by a minimum of three per cent.

23 Trustees’ Report (incorporating Strategic Report) Financial review

This year has been one of great secured), to bridge the two‑year period Overview of financial change in the finances of RNIB. We during which we will be focusing on cost performance have acted to arrest the decline in our reduction and delivering a sustainable cash and free reserves position by operating cashflow. We are focusing on The overall operating deficit for the agreeing and implementing a Financial debt recovery and ensuring that asset year is £12.6 million (2016: £9.3 million Transformation Plan, which has resulted sales are prioritised to generate cash deficit). This is a disappointing result, in substantial change in how we and not to finance operating costs. and below our planned deficit of manage and use our money. £8.8 million. However, £4.3 million This plan does entail substantial cost of this deficit is related to one‑off The financial outcomes of these reductions, some of which we have costs, linked to property transactions changes do not yet show in the results already achieved. We aim to minimise and reorganisation, resulting in an outlined in this report: the changes the impact on staff wherever possible underlying deficit of £8.3 million. will be delivered over the two years to in these changes but we do need to March 2019. This plan is wholly aligned continue to manage our costs in line Significant steps have been taken to with the broader plan to transform with the overall reshaping of RNIB. reduce costs in recent months, the RNIB, meaning that investment in We continue to focus relentlessly on full impact of which will be seen in the transforming people, process and non‑staff cost reduction and to ensure 2017/18 accounts. technology will be geared to support that we are working as efficiently and financial stability and vice versa – a cost‑effectively as possible. Our cash holdings increased slightly to virtuous cycle. £5 million and free reserves are below target at £14.3 million. At the heart of the plan is a detailed and relentless focus on cash management, to ensure that we can generate cash sustainably without having to sell assets to do so. This includes a minimum cash target which is risk-based and designed to cushion us from short term income risks. We have also refinanced with additional unsecured facilities (replacing 24 RNIB Group Annual report and financial statements 2016/17

Income Group expenditure as a whole has The two active trading entities of the increased by £9.8 million (or 7.9 per Group (RNIB Enterprises Limited and Group income has increased by cent) to £132.8 million (2016: £123.1 RNIB Services Limited) contributed £4.7 million (or 4.1 per cent) to £119.2 million) with £8 million of the increase £143,000 (2016: £274,000) to the RNIB million (2016: £114.5 million). This is spent on charitable activities. What we Group through gift aid and share of profit. mainly due to significant increases in did with these resources is explained legacy income (up £4.3 million). in “Our work in 2016/17” earlier in The full results of all subsidiary entities this report. The costs of raising funds are shown in note 3. In 2016/17, 61 per cent (2016: 59 per increased by 7.4 per cent to £24.4 cent) of our overall income came from million (2016: £22.7 million), reflecting fundraising activity. our vital investment in the long-term Balance sheet and cash flow financial sustainability of RNIB. Donations increased slightly by 1.6 Overall net assets have decreased from per cent to £30.9 million (2016: £30.4 A full analysis of group expenditure is £106.7 million to £77.6 million, due million) and Legacy income increased shown in note 4 and the allocation of mainly to the actuarial loss on pension by 11.6 per cent to £41.7 million support costs in note 5. schemes and reduction in investments. (2016: £37.4 million). We are delighted that this was a record legacy income Intangible assets have increased performance for RNIB. Subsidiary entities from £1.4 million to £3 million due to some significant investments RNIB’s operational subsidiary in infrastructure software. Group Expenditure charities are RNIB Charity, Action, CIB, investments have decreased from RNIB Specialist Learning Trust and £15.7 million to £6.8 million as the Group expenditure was split between BucksVision (subsidiary of Action). remaining liquid investment portfolio supporting our four strategic priorities These charities contributed total was sold to ensure that we remained of Being There (seven per cent) (2016: external income of £35.7 million (2016: financially sustainable and able to five per cent), Independence (65 per £40.1 million), almost all of which deliver the strategy. The remaining cent) (2016: 66 per cent), Inclusion relates to charitable activities. This investments relate to endowment (nine per cent) (2016: nine per cent) amount excludes the intra‑group grants and restricted funds. Further details and Prevention (one per cent) (2016: shown in note 3. of the investment policy are included one per cent). In addition, we spent 18 on page 23 below. per cent of group expenditure (2016: 18 per cent) on raising funds to ensure our future financial sustainability. 25 Trustees’ Report (incorporating Strategic Report)

The increase in accrued legacies Pensions Reserves policy together with an increase in trade debtors has resulted in a significant RNIB Group has a large number of General reserves disclosed in the increase in the year-end debtor position pension schemes which are detailed Group balance sheet at the end of by £1.5 million. The £2.9 million (2016: in note 23. The accounts show a the year stood at £14.3 million (2016: £5 million) increase in short-term significant actuarial loss on the main £22.8 million). However, the combined creditors is largely due to an increase in scheme of £16.8 million (2016: £3.9 general reserves of RNIB and Action short-term loans. million) as the actuarial valuation for amount to £14.6 million (RNIB: £14.3 accounting purposes has moved from million; Action: £0.3 million), which is Cash has increased slightly from £4.3 surplus to deficit. This is mostly due to lower than required by our reserves million to £5 million over the year, factors outside our control including policy (see below). but cash flow has been supported a significant decrease in the discount by sales of investments and short- rate used to value the scheme liabilities RNIB Group’s reserves policy focuses term borrowing, which has funded (influenced by wider macro‑economic on the level of general reserves. the operating deficit and strategic conditions) and an increase in inflation. General reserves exclude restricted investments. This situation cannot No additional cash payments result funds and designated funds, which continue so Trustees have agreed a from this accounting valuation. However, include the net book value of land and Financial Transformation Plan (detailed the actuarial valuation as at 31 March buildings occupied by RNIB services on page 24) in order to improve the 2017 is likely to result in increased and activities. The assessment financial sustainability of the Group cash liabilities into the future (due to a of general reserves excludes any within the next two years. This plan combination of similar factors), which surplus or deficit reported on the incorporates further cost reductions we have accounted for in our future pension scheme. to achieve underlying and sustainable budgets. This outcome is still under operational surpluses and cash negotiation with Pension Trustees. The recommended general reserves generation. This cash generated, level is calculated annually as part together with further asset sales, will A full disclosure of the all schemes of the budget process, on the basis be used to pay down short-term debt is shown in note 23. of the financial impact of the current and improve the reserves position to risks facing RNIB Group. The reserves within the target range. The plan has policy is reviewed annually by also built a cash target into the reserves the Trustees. policy to ensure that cash is managed appropriately for the long term. RNIB Group seeks to maintain general reserves within RNIB, RNIB Charity and Action, to manage the risks to which 26 RNIB Group Annual report and financial statements 2016/17

RNIB Group is exposed in the course of cash flow impact on RNIB. Contributions Going concern its business, including, but not limited to the scheme are met through planned to, safeguarding against volatile income. Although financial performance over income, both voluntary and service. the last two years has not been as At 31 March 2017, RNIB held designated planned, Trustees have recognised The Trustees wish to operate in the funds totalling £45.9 million (2016: and are addressing this and have range of £18.3 million to £27.5 million for £43 million). Of this, £40.9 million (2016: agreed a Financial Transformation the combined general reserves based £40.4 million) relates to properties and Plan for the next two years: a renewed on the current analysis of risk. RNIB £5 million (2016: £2.6 million) relates focus on strong financial management Group’s combined general reserves were to other fixed assets. Both of these are which is focussing on cash flow and £14.6 million (RNIB: £14.3 million; Action used directly in undertaking RNIB’s cost control, new financing facilities £0.3 million) at 31 March 2017 (2016: objectives. The fund definitions and full and better communications and £27.8 million; RNIB: £22.8 million; Action details of in‑year movements can be engagement of internal stakeholders £5 million). The Trustees have agreed found within note 21. from top to bottom. upon a Financial Transformation Plan (detailed on page 24) which is moving Where restricted fund balances are in We are part way through this period the Group to a financially sustainable a deficit situation, and unless these will of extensive change which has been position and thus will boost free be covered by forthcoming receipts, refreshed by new leadership during reserves to within the reserves policy the deficit balances are charged 2016 and early 2017, resulting in new range during the next two years. Part of to general funds. Such balances in impetus and focus. Significant cost this plan is a target for a proportion of 2017 amounted to £148,000 (2016: reductions have occurred and more reserves to be held as cash. The current £104,000), all of which are to be are planned as we take the necessary target is for cash plus available banking covered by forthcoming receipts. action to restore RNIB to financial facilities to be £9 million. At the year‑end sustainability. Some asset sales are the figure was £7.7 million. planned in the short term to provide the more immediate cash boost which gives The actuarial valuations of RNIB Group us the space to make these changes to Pension Schemes at 31 March 2017 bring costs in line with income. for the purposes of FRS102 showed a net deficit of £12.5 million (2016: Against this backdrop, Trustees and £4.6 million surplus), which is deducted management continue to monitor and from the level of general reserves as review the financial position of the required by FRS102. The corresponding Group, including its current liquidity liability does not result in an immediate position, forecast cash flows and 27 Trustees’ Report (incorporating Strategic Report) available financing facilities for the next Investment policy • to invest in liquid assets – RNIB could two years. Key financial risks have been call upon its quoted investments identified and assumptions tested with Statement of investment principles at any point. It should be different scenarios. straightforward to sell RNIB’s assets Investment decisions are taken on the down to cash, and doing so should The combination of additional short- advice of the Investment Committee, result in the cash being available term financing facilities together whose members have a finance, quickly and without the potential for with asset sales ensures that our investment or commercial background. significant adverse impact on the financial commitments can be met, value of investments and robust procedures are in place RNIB’s investment policy is to hold • to invest ethically – RNIB wishes to to quickly identify and remedy assets to achieve an appropriate return avoid unethical investments, and in underperformance. In addition, with an appropriate level of risk when particular tobacco stocks due to the we have a robust property‑backed considered alongside RNIB’s business link between smoking and certain balance sheet which is relatively plan and level of reserves. It has three conditions that result in sight loss. unencumbered with debt, which would investment objectives: allow further borrowing if required. The benchmark allocation for • to invest prudently – the basic investments at the start of the financial Longer term, we are putting in place investment strategy of RNIB has year had been 20‑30 per cent in clearer and more robust medium and been to invest in a way that the equities, 30‑40 per cent in bonds and long-term financial plans which will allow minimum level of reserves is very 30‑40 per cent in cash. This strategy our strategic goals to be achieved within likely to remain covered, but with had been developed with the advice of our financial constraints. some investment risk being taken Hewitt Associates and had considered on the assets over and above this the nature of RNIB’s business as Consequently, the Trustees believe minimum level reflected in its business plans. The that there are adequate resources to investment strategy changed in line continue for the foreseeable future, with the business plan approved and hence the financial statements are by the Board in February 2016. The drawn up on the going concern basis. plan to liquidate RNIB’s long-term investments and to invest in rolling short‑term deposit accounts to meet the fluctuating working capital needs during 2016/17 was implemented during March and April 2016.

28 RNIB Group Annual report and financial statements 2016/17

The Endowment Funds are managed by F&C. F&C fee structures are:

• Foreign & Colonial Responsible Sterling Bond Fund – 0.5 per cent per annum; • Foreign & Colonial Responsible UK Income Fund – 0.75 per cent per annum.

Included as a Group investment are £55,000 (2016: £48,000) relating to CIB and £12,408 (2016: £6,472,000) to Action.

RNIB investment performance

The endowment funds in which the investments are held are measured against agreed benchmark indices for each relevant holding.

Cash deposits are placed on behalf of the RNIB Group including the subsidiary Charities by their respective banking organisations.

At 31 March 2017, the Group’s cash and short‑term deposits stood at £5 million (2016: £4.3 million). During the year, the group interest received on cash and short‑term deposits was £1,029 (2016: £1,000) of which £1,029 (2016: £1,000) related to RNIB. RNIB’s short‑term 29 Trustees’ Report (incorporating Strategic Report) deposit income all relates to funds Remuneration policy Each pay group has a number of placed overnight and the average return levels within it and each pay level has made was 0.1 per cent (2016: 0.1 per We use a range of different pay scales three pay positions to help manage cent). for employees on different terms progression connected to performance. and conditions. The great majority of All salaries are regularly benchmarked At 31 March 2017, the unrealised employees (97.5 per cent) are engaged to ensure they are competitive. gain on the endowment funds was on the RNIB pay framework. £312,000 (2016: £156,000 loss) and Pay scales are increased annually by the breakdown can be found in note 21. A few employees are engaged on a cost of living award and individual other terms: employees are also eligible for a The Elizabeth Eagle‑Bott and Dr Duncan performance award if their performance Leeds Funds are all held in both the F&C • Further Education – lecturers is rated as outstanding following Responsible UK Income Fund and the • Primary and Secondary Education – appraisal assessment. F&C Responsible Sterling Bond Fund. teachers • other pay scales – staff who have The RNIB Group is led by the Executive The Emma Nye Fund is held in the F&C transferred employment from other Board consisting of the CEO and five Responsible UK Income Fund only. organisations and who remain on group directors as identified in the their pay scales. “Who’s who” section of this report. The The Bristol Blind and GDC Rushton total remuneration paid to this group Funds are held in the F&C Responsible The RNIB pay framework comprises 10 was £1,288,361 (2016: £951,000). Sterling Bond Fund only. levels divided into three pay groups: Of this, directors received £247,493 related to termination and loss of office The Sunshine Fund is held in the F&C • Leadership group payments. Senior management pay Responsible Sterling Bond Fund, F&C • Management/Professional/ is determined by the Remuneration Responsible UK Income Fund and F&C Specialist group Committee, which consists of board Money Markets Fund only. • Support/Delivery group. trustees and independent members. Pay awards to this group are determined using the same policy as all other RNIB employees.

30 RNIB Group Annual report and financial statements 2016/17 Fundraising review

Principal fundraising activities of which £4.9 million (2016: £4.1 our income and our ability to plan and and performance million) is accounted for within fund direct services, but we remain charitable activities. focused on driving efficiencies and RNIB has a diverse supporter base and • Community: We have a fundraising reducing costs where possible. receives donations through a variety of team based in the community who fundraising channels as follows: raise funds via local volunteers and local and national events. Income Fundraising controls and • Legacies: Income from legacies, was £1.9 million (2016: £2.2 million). regulation where supporters leave us a gift in their will, represents the largest In total, fundraising income amounted We are very aware that our fundraising proportion of our voluntary income at to £77.5 million (2016: £71.6 million). success is dependent on maintaining £41.7 million (2016: £37.4 million). The increase compared to last the trust of our donors and the public. • Individual giving: We receive financial year is due to some higher We have a number of controls in place Individual donations through value legacies and growth in our to ensure that our fundraising remains our raffles, lottery, and appeals. donations from individuals. We are ethical, transparent and compliant Investment in this area generates pleased to have achieved this against with both current regulation and a longer term sustainable income the background of the external public expectation. stream which is vital to fund our economic climate and a challenging work. We have invested an additional media environment. Our Board of Trustees play an active £6 million in this area since 2015 role in our fundraising activities, and and are now starting to see growth in Fundraising costs amounted to we have a Fundraising Committee our income. Income was £25 million £24.4 million (2016: £22.7 million). of Trustees that meets to have a (2016: £23.1 million). The fundraising costs are net of an regular “deep dive” on each area of • Corporates, Trusts, Major Gifts internal recharge to the sum of £4.6 fundraising, reviews fundraising plans and Statutory: We also receive a million (2016: £5.4 million) for cost and their effectiveness and ensures that number of high value gifts from incurred in raising public awareness fundraising activity operates in line with charitable trusts and companies regarding sight loss. These costs regulatory requirements and all relevant and individuals that support specific have been included within the cost of best practice. events and/or projects. Income was “Charitable activities”. Our investment £8.9 million (2016: £8.9 million), in fundraising is vital to sustaining 31 Trustees’ Report (incorporating Strategic Report)

In addition, our Audit and Risk all contracts with agencies and mystery shopping agency and increased Committee provides independent third parties. call-listening of our welcome calls. scrutiny of fundraising control and These changes were recognised by regulation, through regular reviews All of our third‑party agencies are the Regulator. from our internal auditors. required contractually to follow the Codes of Conduct and Codes of We have an Ethical Fundraising Practice put in place by the Fundraising Vulnerable people Policy which ensures that we only Regulator, the Institute of Fundraising receive donations from individuals and the Charity Commission. We have had a vulnerable people policy and organisations whose aims and for fundraising activity in place for some objectives are compatible with our Despite these efforts, during the year time. All of our staff are made aware own. All of our fundraisers receive we experienced some fraudulent of this policy and are trained in how to compulsory training in this area. activity conducted by employees of identify a potentially vulnerable person one of our third party face‑to‑face and the actions they should take to fundraising agencies. We have ceased disengage from a fundraising activity. All Use of agencies and the contract with the agency concerned our third‑party agencies are required to third parties and have conducted a full review of our adhere to this policy. processes to ensure that any lessons We work with a number of external can be learned. This incident is part of agencies to fundraise on our behalf. an ongoing investigation at the time of Complaints These agencies are contracted to this report and has been reported to carry out a range of fundraising the Fundraising Regulator, the ICO, the We take all complaints very seriously activities including door to door, Charity Commission and the police. and report on this on a weekly basis. telephone fundraising, and private Complaints reporting is a key part of site fundraising. We have made great In addition, a complaint was raised with our organisational dashboard. We will strides during the past year, in making the Fundraising Regulator regarding respond to each complaint within two improvements to our contracts with activities of a third party face‑to‑face working days. these agencies and further developing fundraising agency. The Fundraising our monitoring systems. We have Regulator adjudicated on the complaint The number of complaints we received developed a compliance framework and found that we had not done enough during 2016/17 regarding Fundraising which enables us to carry out regular mystery shopping of our fundraisers or agencies totalled 482. As a proportion mystery shopping, call-monitoring appropriate welcome calls. These items of direct debit sign‑ups from donors, and other quality checks on all of have subsequently been addressed this is 0.02 per cent. our activities. We have reviewed with the appointment of a third‑party 32 RNIB Group Annual report and financial statements 2016/17

Our Commitment We are clear We are accountable We are absolutely committed to • We are clear about who we are, what • We respect the rights, dignities continually improve the standards we we do and how your gift is used. and privacy of our supporters and achieve with our relationships with • Where we have a promotional beneficiaries. supporters and the public. We ensure agreement with a commercial • If you are unhappy with anything that anyone involved in our fundraising company, we make clear how much we’ve done while fundraising, you activities is aware of our requirement to of the purchase price we receive. can contact us to make a complaint. live by our Fundraising Promise: • We give a clear explanation of how • We have a complaint procedure, a you can make a gift and amend a copy of which is available on request. We are committed to high standards regular commitment. If we cannot resolve your complaint, we accept the authority of the • We do all we can to ensure that We are respectful Fundraising Regulator to make a final fundraisers, volunteers and adjudication. fundraising contractors working with • We respect the rights, dignities • We are very grateful for the continued us to raise funds comply with the and privacy of our supporters and support through legacies, gifts and Codes and with this promise. beneficiaries. donations, as well as the work of our • We comply with the law including • We will not put undue pressure on many volunteers, which allows the those that apply to data protection, you to make a gift and if you do not vital work of RNIB to continue. health and safety and the want to give or wish to cease giving, environment. we will respect your decision. • If you tell us that you don’t want us We are honest and open to contact you in a particular way we will not do so. • We tell the truth and do not exaggerate. We are fair and reasonable • We do what we say we are going to. • We answer all reasonable questions • We take care not to use any images about our fundraising activities or words that cause unjustifiable and costs. distress or offence. • We take care not to cause unreasonable nuisance or disruption.

33 Trustees’ Report (incorporating Strategic Report) Principal risks and uncertainties

The strategic management of risk is an There are now seven key strategic 2. Changes in the external integral part of RNIB’s decision‑making risks. Six of these are those previously environment processes and culture, supporting identified, the seventh (risk 7 below) effective planning and evaluation has been added to reflect the scale Changes in the external environment of activities. Our risk management of change being undertaken in RNIB result in inability to meet customer framework has been recently updated, right now. demand or failure to respond to and risk management is focused on regulatory changes. risks and opportunities associated The key risks are summarised below, with delivering the strategy and together with the mitigations on each. The main mitigations in place are business plan. horizon scanning and an increased 1. Financial risk focus on compliance (particularly Governance of the Group’s risk information governance and security). management ultimately sits with Financial risk caused by cash the Board of Trustees, with detailed shortages, long-term income reduction, 3. People capability and capacity consideration of risk delegated to Audit financial control failure and increasing and Risk Committee. The Executive pension costs. People capability and capacity Board oversees the management of issues stemming from recruitment risks and reports to the Audit and Risk The main mitigations in place are cost and retention, leadership, change or Committee three times a year. reduction and increasing income; cultural issues. improved budgeting and forecasting; Our risk management approach details accurate and frequent cash flow The main mitigations in place are the structures and processes that have forecasting; sensitivity and scenario regular benchmarking or review of been put in place, as well as the key analysis; greater internal transparency reward packages; adoption of a clear roles and responsibilities for successful of our finances; new financing facilities change methodology; leadership risk management. and improved credit control. development training and a focus on annual appraisals.

34 RNIB Group Annual report and financial statements 2016/17

4. IT and digital infrastructure 7. Delivery of change Credit risk is the risk that one party to a financial instrument will cause a IT and digital infrastructure issues Delivery of change is not effective, financial loss for the other party by caused by outdated infrastructure or caused by failure to deliver or lack of failing to discharge an obligation. RNIB system failure. strategic focus. Group policies are aimed at minimising such losses, and require that credit The main mitigations in place are The main mitigations in place are a terms are only granted to customers investment in our IT change programme clear service delivery model, regular who demonstrate an appropriate and replacement and/or integration of internal communications, an internal payment history and/or satisfy credit outdated systems. change champions network and worthiness procedures. Details of RNIB a focus on our customers and the Group debtors are shown in note 17 to 5. Governance and business processes beneficiaries of change. the financial statements.

Governance and business processes The Board of Trustees is satisfied that Liquidity risk is the risk that an entity cause duplication, inefficiency or failure the major risks have been identified will encounter difficulty in meeting to properly oversee change programmes. and processes for addressing them obligations associated with financial have been put in place. It’s recognised liabilities. RNIB Group aims to mitigate The main mitigations in place are a new that any control systems can only liquidity risk by managing cash simplified governance structure; a focus provide reasonable but not absolute generation by its operations, applying on single accountabilities and use of assurance that major risks have been cash collection targets throughout an established change management adequately managed. Overall, we are the group. The group also manages methodology. confident that our risk position remains liquidity risk via revolving credit within acceptable levels. facilities and long term debt. 6. Brand and reputation Exposure to price, credit, Cash flow risk is the risk of exposure Brand and reputation declines or liquidity and cash flow risk to variability in cash flows that is suffers through lack of investment attributable to a risk associated with or major incident. Price risk for RNIB Group arises a recognised asset or liability, such as because of changes in unit trust and future interest payments on a variable The main mitigations in place are a equity prices. Listed investments with rate debt. RNIB Group manages this proposed investment in brand together a fair value of £6 million (2016: £15.8 risk, where significant, by use of interest with a greater focus in the new structure; million) are exposed to price risk, but rate swaps. and a continued focus on compliance this exposure is actively managed with robust organisational structures. through our investment policy. 35 Trustees’ Report (incorporating Strategic Report) Employee engagement

Our volunteers In order to recruit more volunteers Employing disabled people and provide a better experience for During the course of the year we’ve had applicants, we have reviewed our RNIB is a disability charity working to 5,000 active volunteers (2016: 5,149) recruitment processes and set up a new support people with sight loss. We in 6,454 roles. volunteering recruitment team. seek to support all our staff that have a disability, regardless of its cause. The numbers have fluctuated during Our volunteering engagement and the year and we have had some service support team will work closely with RNIB has five values which underpin closures which have impacted on the volunteering recruitment team, everything that we do. Two of these volunteer numbers although we have providing all teams with the tools and specifically refer to people with seen a growth in some areas. We will be support from the team to enable them disabilities. They are: working with our new structures to put to develop and introduce volunteer roles plans in place to ensure that RNIB can: or programmes. This team will develop • Led by blind and partially sighted all areas of volunteering engagement people – blind and partially sighted • involve volunteers more broadly and support for the whole of the RNIB people are at the heart of everything in our work Group. we do. • involve skilled volunteers by focused • Inclusive – we include and value and targeted recruitment for We’ve looked at ways to improve people with diverse experience, different demographics, professions our communication with volunteer abilities and backgrounds. or skills managers and staff over the last • look at ways to further measure the year and have introduced a volunteer We make sure that we comply with the impact of volunteers. manager eNews update and volunteer Equality Act (Disability Discrimination update, both of which are sent Act in Northern Ireland) and seek to The review of our team has led to out every two months. We will be make reasonable adjustments wherever the introduction of a simplified and trialling Workplace for volunteers possible to enable people with differing focused structure. during Volunteers’ Week as another disabilities to work for us. This includes communication channel between staff providing training opportunities that and volunteers. allow our disabled colleagues to flourish, and our sighted colleagues to gain a greater understanding of sight loss, 36 RNIB Group Annual report and financial statements 2016/17 inspiring their own development and programme for people with sight loss each other, share information and understanding. We also lead the way to work in the organisation which will be exchange ideas – allowing us to build in helping other employers see the launched in September 2017. organisational knowledge. benefits in employing blind or partially sighted people. We also have a staff forum led by an Engagement with staff elected Staff Forum Chair. Staff forum As a sight loss charity, we ensure all representatives meet at a site, regional blind and partially sighted applicants RNIB has a number of mechanisms for and national level to discuss areas that who meet the minimum requirements engaging with staff and seeking their are specifically of interest to staff. They for the role are automatically offered views, both formal and informal. We represent the views of teams on topics an interview, and given constructive have a recognition agreement with the as diverse as finance, working patterns, feedback if they are unsuccessful. In unions – Unite and UNISON – which strategy and new HR systems. This year, addition, where there are two equally give them collective bargaining rights staff representatives were consulted matched applicants, one of whom is over certain terms and conditions of on staff appraisals, and following blind or partially sighted and one is not, employment. We currently have 10 staff their feedback we have simplified the the role is then offered to the applicant union representatives. appraisal process. who is blind or partially sighted. RNIB has been recognised as The staff survey held in early 2017 Currently, 11.6 per cent of our Disability Confident for the whole showed favourable results when employees tell us that they have group. This scheme replaces the benchmarked against the charity a disability. Through dedicated Two Ticks scheme and aims to help sector averages, with 82 per cent of resources in our IT team, we are organisations successfully employ staff agreeing that they feel like they able to provide specialist advice and and retain people with disabilities and are making a difference, 82 per cent support to ensure that disabled staff those with health conditions. of staff agreeing that their manager have the appropriate equipment and is a good person to work for, and training to perform effectively. We continuously strive to find new and 80 per cent of staff understanding innovative ways to engage with staff. the aims of the charity. RNIB also operates a trainee scheme In June 2016, we were the first UK to provide work opportunities for blind disability charity to roll out the social and partially sighted people, and these enterprise tool – Workplace by Facebook have been successful in providing a across the organisation. Workplace route to permanent employment both has improved the way the organisation, within and outside RNIB. Furthermore, teams and staff communicate, and RNIB is setting up an apprenticeship transformed how we engage with 37 Trustees’ Report (incorporating Strategic Report) Health, safety, environment and compliance

To ensure that a more rigorous and The governance of HSFE was Environmental impact co-ordinated approach to compliance significantly enhanced during 2016 is taken, a new Business Support with further developments to, and In the last 12 months RNIB has and Compliance team has been efficiencies in, our management continued to make improvements to its established. This combines Health, systems for health and safety and arrangements for the monitoring of, and Safety, Fire and Environment with fire safety. A new Health and Safety reduction in, energy usage based on other compliance areas including Strategy, incorporating an H&S Action finding of the audits carried out under Safeguarding, Information Governance, Plan and Key Performance Indicators, the Energy Saving Opportunity Scheme Information Security, Legal and Audit. was approved by the Trustees, and a (ESOS). This has achieved a decrease This new team will deliver a stronger new risk register for HSFE produced. of one per cent in energy use in the last co-ordinated approach to compliance A register of all risk assessments has 12 months. Moving forward, savings and risk management, with the ability been collated, and this along with risks in transport costs will be achieved by to undertake combined initiatives identified during fire risk assessments adopting alternative technologies for and monitoring. This will deliver a and health and safety audits are now hosting meetings and undertaking streamlined, cohesive and efficient tracked and monitored on a quarterly some training, such as by telephone and service to RNIB managers. basis to ensure prompt mitigation. A video conferencing and webinars. network of Responsible Persons, with We are firmly committed to ensuring the responsibility for overseeing HSFE has safety and health of our people and all been established for all RNIB premises. those with whom we come into contact. We are also committed to achieving our goals of environmental sustainability, through the continued development of our health, safety, fire and environmental (HSFE) management systems.

38 RNIB Group Annual report and financial statements 2016/17

Health and happiness

Through early interventions and proactive assistance, we have seen a reduction in the number of workdays lost per person from 10.8 to 6.04 days; a level that is below the average for our sector of 7.0 working days lost per person each year.

Health and wellbeing benefits available to staff continue to be reviewed and updated, with the aim of reducing sickness absence levels and encouraging healthy lifestyles.

The Trustees’ report, including the strategic report, was approved by the Board of Trustees, and authorised for issue on 28 September 2017.

Kevin Carey, Chair Alan Tinger, Treasurer

39 Financial Statements Financial Statements Independent auditors’ report to the Trustees of Royal National Institute of Blind People

Report on the financial Act 2011, the Charities and Trustee 4. the notes to the financial statements, Investment (Scotland) Act 2005 which include a summary of statements and regulation 8 of the Charities significant accounting policies and Our opinion Accounts (Scotland) Regulations other explanatory information. 2006 (as amended) and regulation In our opinion, Royal National Institute 15 of The Charities (Accounts and The financial reporting framework that of Blind People’s Group financial Reports) Regulations 2008. has been applied in the preparation statements and parent charity financial of the financial statements is United statements (the “financial statements”): What we have audited Kingdom Accounting Standards, 1. give a true and fair view of the state comprising FRS 102 “The Financial of the group’s and of the parent The financial statements, included Reporting Standard applicable in the UK charity’s affairs as at 31 March within the RNIB Group annual report and Republic of Ireland”, and applicable 2017 and of the Group’s incoming and accounts (the “Trustees’ Report”), law (United Kingdom Generally resources and application of comprise: Accepted Accounting Practice). resources and of the Group’s cash 1. the Group and RNIB Balance sheets flows, for the year then ended; as at 31 March 2017; In applying the financial reporting framework, the trustees have made 2. have been properly prepared in 2. the Group statement of financial a number of subjective judgements, accordance with United Kingdom activities for the year then ended; for example in respect of significant Generally Accepted Accounting 3. the Group cash flow statement for accounting estimates. In making such Practice; and the year then ended; estimates, they have made assumptions 3. have been prepared in accordance and considered future events. with the requirements of the Charities

40 RNIB Group Annual report and financial statements 2016/17

Other matters on which we Other information in the This report, including the opinions, are required to report by Trustees’ Report has been prepared for and only for exception the charity’s Trustees as a body in Under the Charities Accounts accordance with section 44(1)(c) of Sufficiency of accounting records and (Scotland) Regulations 2006 (as the Charities and Trustee Investment information and explanations received amended) and Charities Act 2011 (Scotland) Act 2005 and under we are required to report to you if, in section 144 of the Charities Act 2011 Under the Charities Accounts (Scotland) our opinion the information given in and regulations made under those Regulations 2006 (as amended) and the Trustees’ Report is inconsistent in Acts (regulation 10 of the Charities Charities Act 2011 we are required to any material respect with the financial Accounts (Scotland) Regulations report to you if, in our opinion: statements. We have no exceptions to 2006 (as amended) and Regulation report arising from this responsibility. 1. we have not received all the 30 of The Charities (Accounts and information and explanations we Reports) Regulations 2008) and for require for our audit; or Responsibilities for the financial no other purpose. We do not, in giving statements and the audit these opinions, accept or assume 2. sufficient accounting records have responsibility for any other purpose or to not been kept by the parent charity; Our responsibilities and those of any other person to whom this report is or the trustees shown or into whose hands it may come 3. the parent charity financial save where expressly agreed by our statements are not in agreement As explained more fully in the prior consent in writing. with the accounting records and Statement of Trustees’ responsibilities, returns. the Trustees are responsible for the preparation of the financial statements We have no exceptions to report arising and for being satisfied that they give a from this responsibility. true and fair view.

Our responsibility is to audit and express an opinion on the financial statements in accordance with applicable law and International Standards on Auditing (UK and Ireland) (“ISAs (UK & Ireland)”). Those standards require us to comply with the Auditing Practices Board’s Ethical Standards for Auditors. 41 Financial Statements

What an audit of financial We primarily focus our work in these PricewaterhouseCoopers LLP statements involves areas by assessing the trustees’ Chartered Accountants and Statutory judgements against available evidence, Auditors We conducted our audit in accordance forming our own judgements, and London with ISAs (UK & Ireland). An audit evaluating the disclosures in the involves obtaining evidence about the financial statements. 28 September 2017 amounts and disclosures in the financial statements sufficient to give reasonable We test and examine information, using PricewaterhouseCoopers LLP is eligible assurance that the financial statements sampling and other auditing techniques, to act, and has been appointed, as are free from material misstatement, to the extent we consider necessary to auditor under section 44(1)(c) of the whether caused by fraud or error. This provide a reasonable basis for us to draw Charities and Trustee Investment includes an assessment of: conclusions. We obtain audit evidence (Scotland) Act 2005 and section 144(2) 1. whether the accounting policies are through testing the effectiveness of of the Charities Act 2011. appropriate to the group’s and the controls, substantive procedures or a parent charity’s circumstances and combination of both. have been consistently applied and adequately disclosed; In addition, we read all the financial and non‑financial information in the 2. the reasonableness of significant Trustees’ Report to identify material accounting estimates made by the inconsistencies with the audited trustees; and financial statements and to identify 3. the overall presentation of the any information that is apparently financial statements. materially incorrect based on, or materially inconsistent with, the knowledge acquired by us in the course of performing the audit. If we become aware of any apparent material misstatements or inconsistencies, we consider the implications for our report.

42 RNIB Group Annual report and financial statements 2016/17

43 Financial Statements Group statement of financial activities for the year ended 31 March 2017

2017 2017 2017 2017 2016 2016 2016 2016 Notes Unrestricted Restricted Endow- Total Unrestricted Restricted Endow- Total (Re- funds funds ment funds £’000 funds (Re- funds ment classified) £’000 £’000 £’000 classified) £’000 funds £’000 £’000 £’000 Income and endowments from: Donations 24,715 6,152 - 30,867 27,848 2,536 - 30,384 Legacies 37,562 4,168 - 41,730 31,746 5,650 - 37,396 Charitable activities: Being there 67 2,095 - 2,162 65 1,564 - 1,629 Independence 4,369 30,889 - 35,258 392 38,209 - 38,601 Inclusion 2,266 6,103 - 8,369 87 5,307 - 5,394 Prevention 18 240 - 258 7 97 - 104 Total Income from 6,720 39,327 - 46,047 551 45,177 - 45,728 charitable activities: Investment 2 8 221 - 229 94 363 - 457 income Other income 326 - - 326 485 - - 485 Total income and 69,331 49,868 - 119,199 60,724 53,726 - 114,450 endowments

44 RNIB Group Annual report and financial statements 2016/17

2017 2017 2017 2017 2016 2016 2016 2016 Notes Unrestricted Restricted Endow- Total Unrestricted Restricted Endow- Total (Re- funds funds ment funds £’000 funds (Re- funds ment classified) £’000 £’000 £’000 classified) £’000 funds £’000 £’000 £’000 Expenditure on: Raising funds 4/5/6 24,367 6 - 24,373 22,361 340 - 22,701 Charitable activities: Being there 4/5/6 5,858 3,020 - 8,878 4,553 2,057 - 6,610 Independence 4/5/6 36,174 49,951 - 86,125 35,033 45,630 - 80,663 Inclusion 4/5/6 9,033 2,949 - 11,982 5,852 5,765 - 11,617 Prevention 4/5/6 1,159 308 - 1,467 1,027 438 - 1,465 Total expenditure 52,224 56,228 - 108,452 46,465 53,890 - 100,355 on charitable activities: Total 76,591 56,234 - 132,825 68,826 54,230 - 123,056 expenditure Net gains/ (losses) on 14 142 557 312 1,011 (252) (269) (156) (677) investments Net (expenditure) (7,118) (5,809) 312 (12,615) (8,354) (773) (156) (9,283) /income Transfers between 720 (720) - - 59 (40) (19) - funds

45 Financial Statements

2017 2017 2017 2017 2016 2016 2016 2016 Notes Unrestricted Restricted Endow- Total Unrestricted Restricted Endow- Total (Re- funds funds ment funds £’000 funds (Re- funds ment classified) £’000 £’000 £’000 classified) £’000 funds £’000 £’000 £’000 Other recognised gains/(losses): Net gains on interest rate 280 - - 280 118 - - 118 swap Actuarial (loss)/gain on defined 23 (16,259) (491) - (16,750) (3,945) 1,230 - (2,715) benefit pension scheme Net movement (22,377) (7,020) 312 (29,085) (12,122) 417 (175) (11,880) in funds Reconciliation of funds Total funds brought 73,386 27,718 5,559 106,663 85,508 27,301 5,734 118,543 forward Total funds carried 51,009 20,698 5,871 77,578 73,386 27,718 5,559 106,663 forward

46 RNIB Group Annual report and financial statements 2016/17

The Statement of Financial Activities includes all gains and losses recognised in the year. Total income of RNIB during the year, including investment gains/losses was £78,496,000 (2016: £72,921,000) less resources expended of £84,652,000 (2016: £81,739,000) led to a deficit of £6,156,000 (2016: deficit of £8,818,000). All income, expenditure and resulting net movements in funds are derived from continuing activities. The Isle of Man government require that we disclose the income and expenditure in the Isle of Man which amounted to £143,000 (2016: £59,000) and £197,000 (2016: £58,000) respectively. The notes that follow form part of the financial statements.

Income and expenditure through our subsidiary charities – Action for Blind People, BucksVision, RNIB Charity, CIB and RNIB Specialist Learning Trust – are treated as restricted as these funds relate to the specific services provided by each entity.

The 2016 figures have been reclassified in respect of £332,000 of income relating to RNIB Enterprises, which previously was included within other trading activities and is now included within income from charitable activities. There is no net effect on net income/ (expenditure) from this change. 47 Financial Statements Group and RNIB balance sheets as at 31 March 2017

Notes Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Reclassified Reclassified Fixed assets Tangible assets 12 88,505 91,027 69,597 71,423 Intangible assets 13 3,142 1,400 3,142 1,400 Investments 14 6,812 15,735 6,750 9,220 Total fixed assets 98,459 108,162 79,489 82,043 Current assets Stocks and work in progress 15 1,856 1,342 369 - Debtors due within one year 16 31,263 29,745 41,280 31,592 Investments 14 96 45 - - Cash at bank and in hand 5,002 4,272 2,419 2,038 Total current assets 38,217 35,404 44,068 33,630 Creditors: amounts falling due within one year 17 20,099 17,243 28,862 16,571 Net current assets 18,118 18,161 15,206 17,059

Total assets less current liabilities 116,577 126,323 94,695 99,102 Creditors: amounts falling due after one year 18 21,960 23,270 21,959 23,049 Provisions for liabilities and charges 19 4,543 994 3,088 994

Net assets excluding pension asset 90,074 102,059 69,648 75,059 Defined benefit pension (liability)/asset 23 (12,496) 4,604 (9,162) 7,562 Net assets including pension liability/asset 77,578 106,663 60,486 82,621

48 RNIB Group Annual report and financial statements 2016/17

Notes Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Reclassified Reclassified The funds of the Group/RNIB: Endowment funds 21 5,871 5,559 5,870 5,558 Restricted income funds 21 20,698 27,718 3,607 3,677 Unrestricted income funds: Designated 21 45,866 43,014 45,866 43,014 General 21 14,305 22,810 14,305 22,810 Pension reserve 21/23 (9,162) 7,562 (9,162) 7,562 Total unrestricted income funds 51,009 73,386 51,009 73,386 Total Group/RNIB funds 77,578 106,663 60,486 82,621

The 2016 figures have been reclassified to transfer £994,000 previously included within creditors due within one year to provisions for liabilities and charges.

These financial statements were approved by the Board of Trustees on 28 September 2017 and signed on behalf of RNIB by Kevin Carey, Chair, and Alan Tinger, Honorary Treasurer.

Kevin Carey, Chair Alan Tinger, Treasurer

49 Financial Statements Group cash flow statement for the year ended 31 March 2017

Note 2017 2016

£’000 £’000 Net cash used in operating activities A (6,051) (8,569) Cash flows from investing activities Investment income 229 457 Purchase of fixed assets (5,295) (3,003) Proceeds from sale of tangible fixed assets 509 5 Purchase of investments (75) (202) Proceeds from sale of investments 9,958 8,585 Proceeds from sale of property held for sale - 459 Net cash provided by investing activities 5,326 6,301 Cash flows from financing activities Repayments of borrowing (2,503) (1,015) Cash inflows from new borrowing 4,000 4,265 Net cash provided by financing activities 1,497 3,250

Net increase in cash and cash equivalents in the reporting period B 772 982 Cash and cash equivalents at the beginning of the reporting period B 4,230 3,248 Cash and cash equivalents at the end of the reporting period 5,002 4,230

50 RNIB Group Annual report and financial statements 2016/17 Notes to the cash flow statement

A. Reconciliation of net income to net cash outflow from operating activities 2017 £’000 2016 £’000 Net expenditure for the reporting period before transfers (12,615) (9,283) Adjustments for: Investment income (229) (457) Depreciation 3,377 3,827 Amortisation 562 - Impairment of tangible fixed assets 2,095 - Investment management fees charged to portfolio - 27 Loss on disposal of tangible fixed assets 31 79 (Gain)/loss on investments (1,011) 677 (Decrease)/increase in current creditors (126) 1,232 (Decrease)/increase in long term creditors (2) 215 Increase in provisions for liabilities and charges 3,549 - Increase in pension provision 350 396 (Decrease) in non-controlling interest - (7) Increase in debtors (1,518) (4,984) Increase in stock (514) (291) Net cash outflow from operating activities (6,051) (8,569)

B. Analysis of change in net debt 1 April 2015 Cash flow 31 March 2016 Cash flow 31 March 2017 £’000 2015/16 £’000 £’000 2016/17 £’000 £’000 Cash at bank 3,253 1,019 4,272 730 5,002 Bank overdraft (5) (37) (42) 42 - Total cash and cash equivalents 3,248 982 4,230 772 5,002 Debt due within one year (1,000) (3,848) (4,848) (2,581) (7,429) Debt due after one year (19,000) 598 (18,402) 1,084 (17,318) Total change in net debt (16,752) (2,268) (19,020) (725) (19,745) 51 Financial Statements Notes to the financial statements for the year ended 31 March 2017

1. Accounting policies

The principal accounting policies Ireland (FRS 102) (effective 1 January and cost control, supported by better adopted, judgements and key 2015) – (Charities SORP (FRS 102)), the communications and engagement of sources of estimation uncertainty Financial Reporting Standard applicable internal stakeholders from top to bottom. in the preparation of these financial in the UK and Republic of Ireland statements are as set out below. These (FRS 102). They also conform to the Against this backdrop, Trustees and policies have been consistently applied requirements of the Charities Act 2011, management continue to monitor and to all the years presented, unless the Charities and Trustee Investment review the financial position of the otherwise stated. (Scotland) Act 2005 and the Charities Group, including its current liquidity Accounts (Scotland) Regulations 2006. position, forecast cash flows and 1.1 Basis of preparation No separate Statement of Financial available financing facilities for the next Activities (SoFA) has been presented for two years. The combination of additional These consolidated and separate the Charity alone as permitted by the short-term financing facilities together financial statements are prepared Charities SORP (FRS 102). with asset sales ensures that our on a going concern basis, under the financial commitments can be met, and historical cost convention, as modified 1.2 Going concern robust procedures are in place to quickly by the recognition of certain financial identify and remedy underperformance. assets and liabilities measured at fair The Group meets its day-to-day In addition, we have a robust property- value. The financial statements have financing requirements through a backed balance sheet which is relatively been prepared in accordance with combination of cash generated by unencumbered with debt, which would Accounting and Reporting by Charities: operations and banking facilities. Cash allow further borrowing if required. Statement of Recommended Practice levels have been supported by asset Longer term, we are putting in place applicable to charities preparing their sales over the last few years so Trustees clearer and more robust medium and financial statements in accordance have agreed a Financial Transformation long-term financial plans which will allow with the Financial Reporting Standard Plan for the next two years which our strategic goals to be achieved within applicable in the UK and Republic of focuses on cash flow management our financial constraints. 52 RNIB Group Annual report and financial statements 2016/17

As described above and in the No separate SoFA has been presented buildings, for the provision of services to Trustees’ Report (on page 27), the for RNIB alone as permitted by an people with sight problems. This value is Group’s forecasts and projections, administrative concession issued by shown in a separate designated fund, as taking account of reasonable possible the Charity Commission for England the properties represented are essential changes in performance, show that and Wales. for the provision of RNIB’s services. the Group will have sufficient cash Transfers in respect of additions to flows and reserves to adopt the going 1.4 Foreign currency transactions property in the year are made from the concern basis in preparing its financial general fund. Transfers are made from statements. Foreign currency transactions this fund to the general fund in respect completed within the year are included of property disposals during the year. 1.3 Group financial statements at their transacted sterling equivalents. Property depreciation is charged to this Monetary assets and liabilities are fund. “Other fixed assets” represents The results of each of RNIB’s subsidiary valued using those rates published other assets in use by RNIB. The assets undertakings, as listed in note 3, have by HM Revenue and Customs as at of subsidiary charities are held within been consolidated in these financial the balance sheet date. Any foreign the restricted funds. statements under the heading “Group” exchange gains or losses are charged on a line-by-line basis, adopting uniform to the SoFA. Restricted funds comprise income accounting policies. Their objectives received with special conditions contribute to those of the RNIB Group 1.5 Fund accounting attached. Income for a specific purpose strategy and under the tests of control not spent in any year is carried forward in they are deemed to be charitable Unrestricted funds comprise the relevant fund. Also within restricted subsidiaries of RNIB. accumulated surpluses and deficits funds are the results of the subsidiary on general funds that are available for charities, which are operating under The net assets at the date of use at the discretion of the Trustees in narrower objectives than those of RNIB. acquisition or merger are assessed furtherance of the general objectives on a fair value basis for the purposes of RNIB. Endowments received are credited of consolidation into the results for directly to the relevant endowment the RNIB Group. The results of the Designated funds are unrestricted fund. Income arising from the related subsidiaries acquired during the funds that the Trustees of RNIB have investments is allocated to the general year are included in the SoFA from set aside for a specific purpose. fund or to the relevant restricted fund, the effective date of acquisition. Within designated funds are “service depending on the terms of endowment. The intra‑group transactions, properties” and “other fixed assets”. balances and unrealised profits “Service properties” represents the are eliminated in full. value of RNIB’s interests in land and 53 Financial Statements

1.6 Income Charitable income is recognised when educating the public to be aware of it can be reliably measured, there is the needs of people with sight loss. Donations are accounted for as soon entitlement, and receipt is probable. as there is entitlement and the amount Where charitable income is received in (c) Support costs include both is measurable and receipt is probable. advance of the activity to be performed Group and corporate costs and are Donations include Gift Aid based on then the income is deferred. incurred in support of direct service amounts recoverable at the accounting expenditures. Support costs also date. Donated goods and services Income from the sale of goods and include the governance costs incurred are included at the point in time when services is recognised when orders in relation to the running of RNIB they are received at the value to RNIB are fulfilled or services are delivered. and the charitable subsidiaries. The where these can be quantified. No allocation of support costs is on a amounts are included in these financial Investment income, interest on mixture of bases (see note 5). statements for the services donated deposits and income in connection by volunteers. Income from trading in with services to people with sight (d) Fundraising expenses include those subsidiary undertakings is transferred loss is recognised on an accruals costs incurred in raising donations and to RNIB by covenanting the profits of basis. Investment income arising on legacies. those undertakings. endowment funds is credited to the appropriate fund in accordance with (e) Grants payable are charged to the Pecuniary legacies are recognised on the prescribed conditions. SoFA when a constructive obligation notification. Residuary legacies are exists: when the recipient has been recognised when probate is granted, Accrued income is provided for revenue informed. a copy of the will has been received that has been earned in the current to confirm RNIB Group’s entitlement, financial year but is yet to be invoiced. (f) Redundancy costs are recognised and there is sufficient information when there is a legal or constructive to value them. In practice this is 1.7 Expenditure obligation (see note 8). usually when the assets and liabilities statement is received. Reversionary (a) Expenditure, including interests involving a life tenant and irrecoverable VAT, is accounted for on contentious legacies are not recognised. an accruals basis.

(b) Included within charitable activity costs is an apportionment of public awareness expenditure representing the costs incurred by RNIB in 54 RNIB Group Annual report and financial statements 2016/17

1.8 Tangible Fixed assets Service properties Freehold buildings 50 years Tangible assets are recorded at cost, Leasehold land and buildings – lease longer than 50 years 50 years including irrecoverable VAT, or where Leasehold land and buildings – lease shorter than 50 years Lease period donated, open market valuation at the time of donation. Individual items of expenditure below £5,000 are not Machinery, vehicles and equipment capitalised across the RNIB Group. Motor vehicles, fixtures and fittings, equipment 5 years Computer hardware 3 years Depreciation is provided on all tangible fixed assets, except freehold land and Fixed asset residual values and useful If estimated recoverable amount is assets under construction, at rates lives are reviewed, and adjusted if lower, the carrying amount is reduced calculated to write off the cost on a appropriate, at the end of each reporting to its estimated recoverable amount, straight-line basis over their expected period. The effect of any change is and an impairment loss is recognised useful lives. Where the assets have recognised in the SoFA in the year in immediately in the statement of been acquired under a finance lease, which it occurs. Fixed assets are also financial activities. then depreciation and any impairment reviewed to determine whether there is provided at rates calculated to write is any indication that those assets off the cost, less estimated residual have suffered an impairment loss. value of each asset, over the life of the If there is an indication of possible primary lease. The standard rates of impairment, the recoverable amount depreciation are as follows: of any affected asset is estimated and compared with its carrying amount.

55 Financial Statements

1.9 Intangible Fixed Assets • it is technically feasible to complete The investment in subsidiary Intangible assets are stated at cost, the software so that it will be undertakings is at cost. available for use less accumulated amortisation and The SoFA includes the net gains accumulated impairment losses. • management intends to complete the software and use or sell it and losses arising on disposals and Amortisation is calculated and revaluations throughout the year. charged to the SoFA, using the • there is an ability to use or sell straight-line method, to allocate the the software depreciable amount of the assets • it can be demonstrated how the 1.11 Stocks to their residual values over their software will generate probable estimated useful lives, as follows: future economic benefits Stocks of raw materials, consumables, • adequate technical, financial and work-in-progress, and finished goods are Software – 3 years other resources to complete the valued at the lower of cost and estimated development and to use or sell the selling price, less costs to complete Where factors, such as technological software are available; and and sell. The cost of stock is calculated advancement or changes in market using the standard cost method on a the expenditure attributable to the price, indicate that residual value or • first-in first-out basis. Finished goods for software during its development can useful life have changed, the residual resale comprise products suitable for be reliably measured. value, useful life or amortisation rate are use by blind and partially sighted people. amended in the year of change to reflect Other development expenditures Provision is made to reduce carrying the new circumstances. that do not meet these criteria are values for slow moving, obsolete and recognised as an expense as incurred. defective stock. Stocks are recognised Intangible assets are reviewed for as an expense in the period in which the impairment if the above factors 1.10 Investments related income is recognised. indicate that the carrying amount may be impaired. Costs associated Listed investments are stated at market 1.12 Debtors with maintaining computer software value, valued at their bid price, at the are recognised as an expense as balance sheet date. Debtors are stated after provision for incurred. Development costs that impairment. Prepayments are valued at are directly attributable to the design Investment properties are stated at the amount prepaid. Where debtors are and testing of identifiable and unique market value as advised by RNIB’s due after more than one year they are software products controlled by the property advisers at the balance discounted for the time value of money Group are recognised as intangible sheet date and this is done on where material. assets when the following criteria an annual basis. are met: 56 RNIB Group Annual report and financial statements 2016/17

1.13 Property held for sale 1.16 Financial instruments Defined benefit pension scheme”.

In accordance with the Charity SORP Basic financial instruments are initially RNIB is a member of a multi-employer (FRS 102), land and property held for recognised at transaction value and defined benefit pension plan with resale are disclosed separately within subsequently measured at their Pensions Trust where its share of the fixed assets at cost. Gains and losses settlement value with the exception actuarial deficit cannot be identified on disposal are recognised at the of bank loans which are subsequently and hence it is treated as a defined point of sale. measured at amortised cost using the contribution scheme. There is an effective interest method. Complex agreement in place to make additional 1.14 Cash at bank and in hand financial instruments such as interest contributions based on current and past rate swaps and forward exchange service employees and hence a liability is Cash at bank and cash in hand contracts are measured at fair value recognised for the present value of these includes cash, short-term highly liquid with changes put through the SoFA in outstanding additional contributions. investments with a maturity of three the relevant year. The group applies The Group and RNIB defined benefit months or less and bank overdrafts. hedge accounting where allowable pension net scheme asset/liability is Bank overdrafts are shown within under FRS102 section 12 and this is shown on the face of the Balance Sheet. creditors in current liabilities. disclosed in the notes if applicable. For the defined contribution schemes of the RNIB Group, the amounts charged 1.15 Creditors 1.17 Pension schemes to the SoFA in respect of pension costs and the post-retirement benefits are the Creditors are recognised where there For the defined benefit pension contributions payable in the year. is a present obligation resulting from a schemes of the RNIB Group, the current past event that will probably result in service costs, gains and losses on There are a number of pension the transfer of funds to a third party and settlements and curtailments, and arrangements within the Group which the amount due to settle the obligation administrative expenses are charged to are multi-employer pension schemes can be measured or estimated reliably. expenditure. Similarly, pension finance and as such it is not possible to identify Creditors are normally recognised at costs arising from changes in the net of the employer’s share of the underlying their settlement amount. For creditors the interest costs and expected return assets and liabilities. These are treated due for settlement in more than one on assets are charged to expenditure. as defined contribution schemes in year, the amount will be discounted for Where income arises as a result of such line with the exemption within FRS102. the time value of money where material. changes this is shown in the SoFA as Where multi-employer defined benefit “other” income. Actuarial gains and pension schemes have and agreed losses are recognised immediately in deficit reduction plan, a liability is the SoFA as “Actuarial gain, or loss, on recognised for the contributions payable. 57 Financial Statements

1.18 Leased assets 1.20 Accounting estimates Public awareness recharge and judgements Leases are regarded as finance leases, An apportionment of public awareness where their terms transfer to the lessee In preparing the financial statements, expenditure representing the costs substantially all of the benefits and the Trustees are required to make incurred by RNIB in educating the burdens of ownership, other than the estimates and judgements. The matters public to be aware of the needs of right to legal title. considered below are considered to be people with sight loss has been the most important in understanding transferred from raising funds The obligations to the lessor are shown the judgements that are involved in expenditure to charitable activities as part of the borrowings and the rights preparing the financial statements and expenditure. In 2017 the amount was in the corresponding assets are treated the uncertainties that could impact £4,611,000 (2016: £5,447,000). in the same way as owned fixed assets. the amounts reported in the results of operations, financial position and Interest rate swap All operating leases and rental expenses cash flows. are charged to the SoFA as incurred RNIB entered into an interest rate over the term of the lease on a straight Cost allocation swap with AIB that runs from 2011 to line basis. 2026, and as a result it is necessary Support costs not attributable to a to calculate the fair value of the swap 1.19 Taxation single charitable activity are allocated at the end of each financial year. or apportioned on a basis consistent Judgement is required in calculating the RNIB is a registered charity, and as such with identified cost drivers for that cost fair value as it is reliant on discount rates is entitled to certain tax exemptions category. Cost drivers utilised include and future interest rate predictions. on income and profit from investments head count, floor space, and effort and and surpluses on any trading activities judgement is exercised in applying cost Legacy income accrual carried out in furtherance of RNIB’s drivers to cost categories. primary objectives, if these profits are Legacy income is recognised in applied solely for charitable purposes. accordance with the income recognition policy detailed in 1.6 above. In calculating the level of legacy accrual, management is required to exercise estimation and judgement, particularly in determining the amount and probability of receipt.

58 RNIB Group Annual report and financial statements 2016/17

Actuarial assumptions in respect of Provisions defined benefit pension schemes Provisions are recognised when the The application of actuarial assumptions RNIB has a present legal or constructive relating to various defined benefit obligation as a result of past events; it pension schemes is incorporated in the is probable that an outflow of resources financial statements in accordance with will be required to settle the obligation; FRS 102. In applying FRS 102, advice and the amount of the obligation can be is taken from independent qualified estimated reliably. actuaries. In this context, significant judgement is exercised in a number Impairment of assets of areas, including future changes in salaries and inflation, mortality rates Where an indication of impairment and the selection of appropriate is identified, and estimate of the discount rates. recoverable value of the asset is required. This requires an estimate of Pension scheme deficit reduction the future economic benefits from the payments asset and the selection of an appropriate discount rate to calculate the present As explained at note 23, there is a deficit value of the economic benefits. reduction plan in place in respect of several of the Group’s defined benefit pension schemes. In each instance, the relevant group member has agreed with the respective scheme that it will make annual recovery payments that aim to eliminate the deficit over the next 10-12 years. The level of the deficit and the deficit recovery payments are highly sensitive to a number of assumptions, hence the use of independent qualified actuaries.

59 Financial Statements 2. Investment income

2017 2017 2017 2016 2016 2016 Unrestricted Restricted Total Unrestricted Restricted Total £’000 £’000 £’000 £’000 £’000 £’000 General funds Investment income from quoted - 221 221 75 363 438 investments Bank interest receivable 1 - 1 1 - 1 Rents 7 - 7 8 - 8 Royalties - - - 10 - 10 Total 8 221 229 94 363 457

Details of our investment policy can be found in the financial review section of the Trustees Report.

60 RNIB Group Annual report and financial statements 2016/17 3. Subsidiary undertakings

RNIB has the following nominal holdings in subsidiary undertakings. The subsidiaries are all based within the United Kingdom and their accounting year ends are 31 March, with exception of RNIB Specialist Learning Trust whose year end is 31 August. The holding in RNIB Business Services LLP is held indirectly through RNIB Enterprises Limited (50 per cent) and MPH Accessible Media Limited (50 per cent).

Subsidiary undertakings with Registered in Capital held per cent Number of £1 ordinary a share capital shares held RNIB Enterprises Limited England and Wales 100 5,000 RNIB Services Limited England and Wales 100 1 MPH Accessible Media Limited England and Wales 100 10,000 Transforming Braille Group LLC USA 20 5 ownership units RNIB Business Services LLP England and Wales 100 Not applicable

RNIB is the sole corporate member of the following organisations which, all bar the Glynn Vivian Home of Rest for the Blind, are limited by guarantee with no shares in issue:

Subsidiary undertakings limited Registered in Company number Charity number Charity number by guarantee – Scotland Action for Blind People England and Wales 00026688 205913 SC040050 RNIB Charity England and Wales 08971500 1156629 SC044876 CIB England and Wales 00149982 214131 - NTNM England and Wales 01973092 293656 - BCNI Northern Ireland NI020701 XN48801 - NLB England and Wales 00058823 213212 - Glynn Vivian England and Wales - 214330 - RNIB Specialist Learning Trust England and Wales 08478985 Exempt Charity -

61 Financial Statements

RNIB has an indirect holding in the following organisations, through Action, which are all limited by guarantee with no shares in issue:

Subsidiary undertakings limited Registered in Company number Charity number by guarantee BucksVision England and Wales 08016572 1147814 The Blind Society for North Tyneside England and Wales 03736040 1075973 Limited Staffordshire Blind England and Wales 04154438 1091458

Net income from trading activities of subsidiary undertakings

Results for the year ended 31 March 2017 of the subsidiaries of RNIB operating under association agreements

RNIB Action CIB NTNM Bucks RNIB Specialist Total Charity £’000 £’000 £’000 Vision Learning Trust 2017 £’000 £’000 £’000 £’000 Income and Expenditure Total income 38,198 23,115 343 213 295 1,827 63,991 Total expenditure (37,187) (30,476) (410) (213) (310) (1,854) (70,450) Net (expenditure) /income 1,011 (7,361) (67) - (15) (27) (6,459) Actuarial loss on defined benefit - (48) - - - (443) (491) pension scheme Net movement in funds 1,011 (7,409) (67) - (15) (470) (6,950) Funds brought forward 356 21,273 1,278 - 473 662 24,042 Funds carried forward 1,367 13,864 1,211 - 458 192 17,092

62 RNIB Group Annual report and financial statements 2016/17

RNIB Action CIB NTNM Bucks RNIB Specialist Total Charity £’000 £’000 £’000 Vision Learning Trust 2017 £’000 £’000 £’000 £’000 Balance Sheet Fixed assets 1,367 14,376 1,852 - 22 1,358 18,975 Current assets 37,318 20,911 246 70 705 1,374 60,624 Creditors – amounts falling due (37,317) (20,031) (206) (70) (269) (1,279) (59,172) within one year Creditors – amounts falling due (1) - - - - - (1) after one year Pension scheme liability - (1,392) (681) - - (1,261) (3,334) Net assets 1,367 13,864 1,211 - 458 192 17,092

The income in the tables above includes the grants received from RNIB, which are eliminated in the consolidated numbers.

63 Financial Statements

Results for the year ended 31 March 2016 of the subsidiaries of RNIB operating under association agreements

RNIB Action CIB NTNM Bucks RNIB Total Charity £’000 £’000 £’000 Vision Specialist 2016 £’000 £’000 Learning £’000 Trust £’000 Income and expenditure Total income 41,511 27,714 1,244 242 85 1,424 72,220 Total expenditure (41,364) (28,413) (510) (242) (319) (1,674) (72,522) Net income/(expenditure) 147 (699) 734 - (234) (250) (302) Actuarial loss on defined benefit - 1,252 25 - - (47) 1,230 pension scheme Net movement in funds 147 553 759 - (234) (297) 928 Funds brought forward 209 20,720 519 - 707 959 23,114 Funds carried forward 356 21,273 1,278 - 473 662 24,042 Balance Sheet Fixed assets 356 22,390 1,888 - 34 1,456 26,124 Current assets 8,290 3,017 296 128 516 442 12,689 Creditors – amounts falling due within (8,069) (2,637) (225) (128) (77) (456) (11,592) one year Creditors – amounts falling due after (221) - - - - - (221) one year Pension scheme liability - (1,497) (681) - - (780) (2,958) Net assets 356 21,273 1,278 - 473 662 24,042

The income in the tables above includes the grants received from RNIB, which are eliminated in the consolidated numbers.

64 RNIB Group Annual report and financial statements 2016/17

RNIB Charity delivers national services provides the fundraising service, with RNIB also has a further five wholly across the UK, funded by a grant from net fundraising receipts being restricted owned subsidiaries. These are RNIB RNIB. The charity also delivered regional for CIB. The sum of such grants Enterprises Limited, RNIB Services services in Cymru, Northern Ireland and amounted to £95,000 in the year (2016: Limited, National Library for the Blind Scotland until they were transferred £95,000). RNIB has also paid to CIB in (NLB), Blind Centre for Northern to Action on 1 September 2015. RNIB the previous year £886,000 to cover Ireland (BCNI), the Glynn Vivian Home provides the fundraising service, with additional costs funded from income of Rest for the Blind (Glynn Vivian), net fundraising receipts being restricted restricted for Cymru. and MPH Accessible Media Limited. for RNIB Charity. The sum of such grants RNIB Enterprises Limited holds the amounted to £13,972,000 in the year NTNM exists as a shell charity to controlling interest in RNIB Business (2016: £11,867,000). receive donations and legacies, which Services LLP; the remaining interest is are transferred to RNIB to be ring- held by MPH Accessible Media Limited. Action delivers regional services fenced for the talking newspapers and in England through their Action magazines service. Teams in the areas of work, leisure, housing, support for beneficiaries, and BucksVision provides services for information and education. With effect blind and partially sighted people in from 1 September 2015, they also took Buckinghamshire. BucksVision became over responsibility for delivering those a subsidiary charity of Action on 1 same services within Cymru, Northern July 2014. RNIB has paid a grant to Ireland and Scotland. RNIB provides the BucksVision in the year of £313,000 fundraising service, with net fundraising (2016: £nil). receipts being restricted for Action. Since 1 July 2014, RNIB has delivered RNIB Specialist Learning Trust support functions for Action. The sum of is an Academy Trust which took such grants amounted to £13,945,000 responsibility for Three Spires School in the year (2016: £16,220,000). The in Coventry in September 2013, which reserves of Action have been reduced provides education for primary age in the year pending the full transfer of pupils with special educational needs. assets and liabilities outlined in note 27. No financial support was given to the Trust. The Trust’s year end is 31 August CIB provides a wide range of services to and so the consolidation is on the basis blind and partially sighted people within of management accounts. Cardiff and the Vale of Glamorgan. RNIB 65 Financial Statements

Results for the year ended 31 March 2017 of other subsidiaries

RNIB RNIB NLB BCNI RNIB MPH £’000 Total 2017 Enterprises Services £’000 £’000 Business £’000 Limited Limited Services £’000 £’000 LLP £’000 Income and expenditure Total income 6,374 3,081 826 37 - - 10,318 Total expenditure (6,240) (3,072) (5) - - - (9,317) Net income 134 9 821 37 - - 1,001 Amount gifted/covenanted to RNIB (134) (9) (821) (37) - - (1,001) Net movement in funds ------Funds brought forward 5 - - - 10 - 15 Funds carried forward 5 - - - 10 - 15 Balance sheet Investment 10 - - - - - 10 Current assets 10,574 5,605 4 - 10 - 16,193 Creditors – amounts falling due (10,579) (5,605) (4) - - - (16,188) within one year Net assets 5 - - - 10 - 15

66 RNIB Group Annual report and financial statements 2016/17

Results for the year ended 31 March 2016 of other subsidiaries

RNIB RNIB NLB* BCNI* RNIB MPH Total Enterprises Services £’000 £’000 Business £’000 2016 Limited Limited Services £’000 £’000 £’000 LLP £’000 Income and expenditure Total income 332 6,567 408 20 433 445 8,205 Total expenditure (81) (6,544) (9) (1) (440) (445) (7,520) Net income/(expenditure) 251 23 399 19 (7) - 685 Amount gifted/covenanted to RNIB (251) (23) (399) (19) - - (692) Net movement in funds - - - - (7) - (7) Funds brought forward 5 - - - 7 - 12 Capital investment - - - - 10 - 10 Funds carried forward 5 - - - 10 - 15 Balance sheet Investment 10 - - - - - 10 Current assets 177 2,073 5 - 482 - 2,737 Creditors – amounts falling due (182) (2,073) (5) - (472) - (2,732) within one year Net assets 5 - - - 10 - 15

67 Financial Statements

RNIB Enterprises Limited carries Glynn Vivian exists as a shell charity RNIB Enterprises Limited is one of two out trading activities that include following the sale of the property corporate members of RNIB Business transcription, consultancy and training previously owned by Glynn Vivian. RNIB Services LLP. The Limited Liability services to businesses and sales of is the sole corporate Trustee and on Partnership was set up to work in principally sight loss-related retail the grounds of control Glynn Vivian has partnership with MPH Accessible Media products to individuals. A £200,000 previously been consolidated within the Limited to provide services to the facility remains available to RNIB financial statements of the RNIB Group. commercial and public sectors both in Enterprises Limited and if called upon The charity is now dormant and so there the UK and internationally. On 1 October would be made by RNIB to cover the is no disclosure in the tables above. 2015, RNIB acquired the shares of MPH working capital requirements. and as a result the activities of the LLP MPH was acquired as a going concern were wound down in 2016. RNIB Services Limited administers on 1 October 2015 by RNIB. Its activities RNIB’s school fees. and net assets (except property) were transferred to RNIB Charity on NLB exists as a shell charity to receive 1 December 2015. The property was donations and legacies, which are transferred to RNIB Group. Therefore, transferred to RNIB to be ring-fenced for the income and expenditure disclosed the RNIB National Library Service. in the prior year relates to the period October to November 2015. BCNI exists as a shell charity to receive donations and legacies, which are transferred to RNIB to be ring-fenced for RNIB Northern Ireland.

68 RNIB Group Annual report and financial statements 2016/17

A summary of the net assets results for all RNIB subsidiaries is as follows:

Total 2017 Total 2016 £’000 £’000 Total income 74,309 80,649 Total expenditure (79,767) (80,266) Net (expenditure)/income (5,458) 383 Actuarial gain/(loss) on defined benefit pension scheme (491) 1,230 Amount gifted/covenanted to RNIB (1,001) (692) Net movement in funds (6,950) 921 Funds brought forward 24,057 23,126 Investment of capital - 10 Funds carried forward 17,107 24,057 Fixed assets 18,985 26,134 Current assets 76,817 15,426 Creditors – amounts falling due within one year (75,360) (14,324) Creditors – amounts falling due after one year (1) (221) Pension scheme liability (3,334) (2,958) Net assets 17,107 24,057

The total net assets of the subsidiary charities and other subsidiaries as at 31 March 2017 amounting to £17,107,000 (2016: £24,057,000) are held within the Group restricted and endowment funds as detailed in note 21.

69 Financial Statements 4. Expenditure – Group

2017 Unrestricted Restricted direct Support costs Total £’000 direct costs £’000 costs £’000 £’000 Raising funds 20,710 6 3,657 24,373 Charitable activities Being there 4,620 3,020 1,238 8,878 Independence 23,041 49,951 13,133 86,125 Inclusion 7,342 2,949 1,691 11,982 Prevention 923 308 236 1,467 Total charitable activity costs 35,926 56,228 16,298 108,452 Total expenditure 56,636 56,234 19,955 132,825

2016 Reclassified Unrestricted Restricted direct Support costs Total direct costs £’000 costs £’000 (Reclassified) (Reclassified) £’000 £’000 Raising funds 18,740 340 3,621 22,701 Charitable activities Being there 3,594 2,057 959 6,610 Independence 22,228 45,630 12,805 80,663 Inclusion 4,439 5,765 1,413 11,617 Prevention 770 438 257 1,465 Total charitable activity costs 31,031 53,890 15,434 100,355 Total expenditure 49,771 54,230 19,055 123,056

70 RNIB Group Annual report and financial statements 2016/17 5. Support costs allocation

2017 Human Finance Information Legal Property Other Governance Total Resources £’000 Technology Services Services £’000 £’000 £’000 £’000 £’000 £’000 £’000 Raising funds 574 858 828 158 116 836 287 3,657 Charitable activities Being there 240 204 318 37 100 270 69 1,238 Independence 3,193 1,803 3,859 331 601 2,685 661 13,133 Inclusion 419 242 579 45 54 269 83 1,691 Prevention 41 29 106 5 10 35 10 236 Total charitable activity costs 3,893 2,278 4,862 418 765 3,259 823 16,298 Total support expenditure 4,467 3,136 5,690 576 881 4,095 1,110 19,955 2016 Reclassified Raising funds 631 695 975 171 264 509 376 3,621 Charitable activities Being there 214 118 414 25 56 78 54 959 Independence 2,827 1,668 4,693 352 1,149 1,341 775 12,805 Inclusion 370 175 551 43 67 111 96 1,413 Prevention 71 24 116 6 9 18 13 257 Total charitable activity costs 3,482 1,985 5,774 426 1,281 1,548 938 15,434 Total support expenditure 4,113 2,680 6,749 597 1,545 2,057 1,314 19,055

71 Financial Statements

Basis of allocation:

Human resources – Headcount Finance – Expenditure Information and technology services – Number of workstations Legal Services – Expenditure Property services – Floor space Other and Governance (including Strategy and performance, Group support) – Expenditure

72 RNIB Group Annual report and financial statements 2016/17 6. Governance costs

Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Auditors remuneration Fees payable to the Charity’s auditor and its associates for the audit of the parent Charity and the Group’s consolidated financial 101 101 101 101 statements* Audit of the Charity’s subsidiaries* 91 78 - - Audit-related assurance services* 14 14 14 14 Total amount payable to the Charity’s auditor and its associates 206 193 115 115

Internal audit 91 142 91 142 Audit fees – non PricewaterhouseCoopers LLP 11 9 - - Trustees’ expenses 32 84 22 69 Costs incurred in running the Chairman’s Office 51 68 51 68 International activity – including World Blind Union 90 60 90 60 General costs incurred in servicing RNIB’s corporate committees 629 758 94 51 and the statutory affairs of RNIB Total governance costs 1,110 1,314 463 505

* Excluding VAT

Included within the fees payable to the Charity’s auditor and its associates for the audit of the parent Charity and the Group’s consolidated financial statements is £18,000 relating to additional fees relating to the 2016 audit.

73 Financial Statements 7. Taxation 8. Group employee remuneration

RNIB is a registered charity and is thus The average monthly number of exempt from tax on income and gains employees during the year was 2,335 falling within sections 478-489 of the (2016: 2,359), of which, the average Corporation Tax Act 2010 or s256 of the full-time equivalent was 1,973 (2016: Taxation of Chargeable Gains Act 1992 1,981). The total emoluments are to the extent that these are applied to its analysed as shown below: charitable objects. No tax charge arises in any of the non-charitable subsidiary 2017 2016 entities included in the Group financial £’000 £’000 statements due to their policy of gifting Salary costs 55,719 53,477 all taxable profits to their parent each Employer’s NI contributions 5,089 4,781 year. Employer’s pension contributions 4,954 4,351 Total ongoing emoluments 65,762 62,609 Redundancy and termination costs 2,180 1,278 Total emoluments 67,942 63,887

74 RNIB Group Annual report and financial statements 2016/17

Included in the total emoluments 2017 no 2017 still 2017 total 2016 total figures above are payments amounting longer employed to £2,180,000 made to 198 members employed of staff (2016: £1,278,000 to 120 Between £60,001 12 14 26 12 members of staff) on termination of and £70,000 employment. These costs have been Between £70,001 2 7 9 3 incurred as part of a programme of work and £80,000 to implement our strategy and ensure Between £80,001 we have the right people with the right 4 5 9 9 and £90,000 skills to effectively meet the needs of Between £90,001 our customers. 2 - 2 - and £100,000 Between £100,001 Where redundancy, termination and - 1 1 3 compensation payments were made, and £110,000 payments were based on service. These Between £110,001 - 2 2 6 payments are managed by the Human and £120,000 Resources department in line with Between £120,001 2 1 3 - policy and procedures and authorised and £130,000 according to the scheme of delegation Between £140,001 1 - 1 - based on size of payment. and £150,000 Between £150,001 The following numbers of employees 1 - 1 1 and £160,000 received total emoluments within the bands shown. Emoluments include salaries, fees, redundancy payments, There are 21 people (2016: four) under the Financial Reporting Standard amounts in lieu of notice and the disclosed in the bandings above where 102. During 2016/17, the Executive estimated money value of any other individuals received a payment on the was restructured alongside other senior benefits, received otherwise than in termination of employment. grades to prepare the ground for a cash, and exclude employer pension full organisational restructure. A fuller costs. The column entitled “2017 no RNIB Group is led by the Executive explanation can be found in the “How longer employed” contains staff who Board consisting of the Chief Executive we are managed” section of this report. left during the year or who were under Officer and five other members. The notice of redundancy at 31 March 2017. Executive Board are regarded as the The restructuring aimed to significantly Charity’s key management personnel reduce costs of senior management 75 Financial Statements

(which will impact more fully in the In addition, Action made payments 2017/18 accounts) so some significant on behalf of 12 (2016: three) of its redundancy and termination costs employees in respect of pension were incurred. The total earnings, contributions totalling £99,000 (2016: including benefits, employer pension £16,000). contributions and termination payments received by staff who were members of Staff can claim reimbursement of the Executive Board during 2016/17, expenditure incurred by them in the totalled £1,288,361 (2016: £951,000). course of undertaking business on Of this, Directors received £247,493 behalf of RNIB. Expenses are claimed related to termination and loss of office against a set policy and guidelines, are payments; these costs are not included independently authorised and are not in the table of salary bandings above. regarded as part of the employee’s emoluments. RNIB made payments on behalf of 39 (2016: 26) higher paid employees in respect of the RNIB Retirement Benefit Scheme and the Teachers’ Pension Scheme as well as NEST, and there were payments made to 22 (2016:16) members of staff in respect of the defined contribution element of the RNIB Retirement Benefits Pension Scheme. The total amount of employer contributions paid in respect of these employees was £421,000 (2016: £383,000). For new entrants since 1 April 2005 the RNIB Retirement Benefits Pension Scheme (RBPS) is partly defined benefit and partly defined contribution so included in the numbers reported are staff that may be within both elements of the scheme.

76 RNIB Group Annual report and financial statements 2016/17 9. RNIB Trustees’ expenses and related party transactions

A number of Trustees bear the cost Lunches and overnight stays in RNIB RNIB Charity received £104 from Atos. of attending meetings themselves. establishments during meetings cost a Trustees receive no benefits from the further £4,522 (2016: £20,372). Mike Nussbaum, a Trustee of RNIB Group except as users of our services Group and a Trustee of Action for Blind and as described below. During the year RNIB paid Kevin Carey, People, is a Trustee of Guide Dogs for Chair of RNIB, £26,075 (2016: £25,323) the Blind Association from which £160 Most Trustees of RNIB Group sit on a as remuneration in respect of carrying (2016: £38,191) has been received number of RNIB Committees, Steering out his duties as Chair of RNIB; this was and to which £13,000 has been paid Groups and/or school governing bodies adjusted at the Group Board meeting (2016: £52,520). Also Guide Dogs for in addition to their charity’s Board. As on 1 December 2016 to reflect the staff the Blind Association own two Action such, most trustees need to travel pay award. These payments have been hotels where the lease is charged at a to RNIB’s London office on multiple made with the consent of the Charity peppercorn rent. Mike is a Trustee of occasions throughout the year. Commission. Kevin Carey was employed Blind Children UK to which £669 has as an executive director of the HumanITy been paid (2016: £5,198). Mike is also A total of £7,280 was paid to or on organisation during this year. Last year a Trustee of Vision 2020 UK to which behalf of 12 Trustees of the Charity HumanITy received a management £10,000 (2016: £13,712) has been paid as reimbursement of travel and fee of US$3,400 per month from and from which £448,939 (2016: £37) subsistence expenses incurred in Transforming Braille LLC Group of which has been received. attending meetings (2016: £28,610 RNIB has a 20 per cent shareholding. to eight Trustees). Of this, £360 was As of May 2016, Kevin Carey no longer Keith Valentine, a Trustee of the RNIB paid to one Trustee as reimbursement acts as President of Transforming Braille Group, is Deputy Chief Executive of overseas travel and subsistence LLC Group, and as such no longer of the Thomas Pocklington Trust, incurred in attending international receives any remuneration from the who received £87 from RNIB (2016: meetings and conferences. In addition organisation. RNIB made no payments £1,361), he is also a Trustee for to this, £10,475 was paid by RNIB on to Transforming Braille LLC Group Birmingham Vision who received behalf of one Trustee for overseas travel during the year (2016: £149,882). Kevin £22 (2016: £24) from RNIB. and subsistence incurred in attending Carey is Director of Lateral Thinking, international meetings and conferences which is in receipt of a Management Alan Tinger, a Trustee of the RNIB Group, (2016: £6,179 to one Trustee). Five fee of £2,000 per month from Atos IT is also a member of Vision 2020 UK Trustees chose to waive their expenses, Solutions & Services Ltd, for Kevin’s Prevalence Study Project Board, Vision which totalled £369 (2016: £144). services as Accessibility Consultant. 2020 UK, received £10,000 from RNIB. 77 Financial Statements

During the year, a total of £8,680 was 10. Grants payable donated to RNIB from five Trustees.

The RNIB Group enters a Grants payable in the year amount to £214,000 (2016: £251,000) with two (2016: comprehensive range of insurance four) grants of £5,000 or above, amounting to £51,000 (2016: £39,000). In addition, policies to protect Trustees, officers around 525 (2016: 737) small grants at an individual value of less than £5,000 were and employees against losses and made. legal liabilities arising from neglect or default in the course of business. Total 2017 £’000 2016 £’000 premiums for these policies amounted Association of Blind Asians - 10 to £22,000 (2016: £20,440). Clore Leadership 26 - Kimberley Burrows – to attend Leeds - 6 College of Art South Lincolnshire Blind Society - 7 World Blind Union – Core Work 25 16 Sponsorship Other grants – all under £5,000 163 212 Total grants payable 214 251

78 RNIB Group Annual report and financial statements 2016/17 11. Total movements of funds in the year is stated after charging

2017 2016 £’000 £’000 Auditor’s remuneration Fees payable to the Charity’s auditor and its associates for the audit of the parent 101 101 Charity and the Group’s consolidated financial statements* Audit of the Charity’s subsidiaries* 91 78 Audit-related assurance services* 14 14 Total amount payable to the Charity’s auditor and its associates 206 193

Audit fees – non PricewaterhouseCoopers LLP 11 9 Operating lease payments – other 1,626 1,843 Foreign exchange losses 51 61 Depreciation charge – tangible fixed assets 3,377 3,827 Amortisation charge – intangible fixed assets 562 - Impairment on tangible fixed assets 2,095 - Profit on disposal of fixed assets (31) (79) Inventory recognised as an expense 86 166 Impairment of inventory 121 - * Excluding VAT

Included within the fees payable to the Charity’s auditor and its associates for the audit of the parent Charity and the Group’s consolidated financial statements is £18,000 relating to additional fees relating to the 2016 audit.

79 Financial Statements 12. Tangible fixed assets

Service Service Machinery, Total properties properties held vehicles and £’000 Group £’000 for sale equipment £’000 £’000 Cost Balance 1 April 2016 101,704 8,379 8,834 118,917 Additions 1,029 - 2,461 3,490 Elimination on disposal (534) - (187) (721) Balance 31 March 2017 102,199 8,379 11,108 121,686 Accumulated depreciation Balance 1 April 2016 17,849 3,474 6,567 27,890 Charge for year 1,989 233 1,155 3,377 Impairment provision 660 1,372 63 2,095 Elimination on disposal (79) - (102) (181) Balance 31 March 2017 20,419 5,079 7,683 33,181 Net book value 31 March 2017 81,780 3,300 3,425 88,505 Net book value 31 March 2016 83,855 4,905 2,267 91,027

80 RNIB Group Annual report and financial statements 2016/17

Service Service Machinery, Total properties properties held vehicles and £’000 RNIB £’000 for sale equipment £’000 £’000 Cost Balance 1 April 2016 80,921 8,379 3,249 92,549 Additions 1,005 - 1,228 2,233 Elimination on disposal (335) - (21) (356) Transfers 25 - 13 38 Balance 31 March 2017 81,616 8,379 4,469 94,464 Accumulated depreciation Balance 1 April 2016 15,616 3,474 2,036 21,126 Charge for year 1,551 233 621 2,405 Impairment provision - 1,372 - 1,372 Elimination on disposal (36) - (10) (46) Transfers 2 - 8 10 Balance 31 March 2017 17,133 5,079 2,655 24,867 Net book value 31 March 2017 64,483 3,300 1,814 69,597 Net book value 31 March 2016 65,305 4,905 1,213 71,423

Service properties are used to provide services to blind and partially sighted people. Of the net book value of property used by the Group, £26,564,000 (2016: £27,169,000) represents leaseholds of more than 50 years whilst £274,000 (2016: £359,000) represents leaseholds of less than 50 years.

The net book values of fixed assets of the subsidiary charities are held within the restricted funds as set out in note 21.

81 Financial Statements 13. Intangible assets

Software Development Total Group and RNIB £’000 £’000 Cost Balance 1 April 2016 1,400 1,400 Additions 2,304 2,304 Balance 31 March 2017 3,704 3,704 Accumulated amortisation Balance 1 April 2016 - - Charge for year 562 562 Balance 31 March 2017 562 562 Net book value 31 March 2017 3,142 3,142 Net book value 31 March 2016 1,400 1,400

The additions relate to three software development projects as follows: • enterprise resource planning system • human resources and payroll system • electronic library.

82 RNIB Group Annual report and financial statements 2016/17 14. Investments

Group Group Group RNIB RNIB RNIB Fixed Asset Current Asset Total Fixed Asset Current Asset Total Investments Investments £’000 Investments Investments £’000 £’000 £’000 £’000 £’000 Market value at 1 April 2016 15,735 45 15,780 9,220 - 9,220 Acquisitions at cost 25 50 75 - - - Disposal proceeds (9,958) - (9,958) (2,926) - (2,926) Net realised investment gain 551 551 4 4 Net gain on revaluation 459 1 460 452 - 452 Market value at 31 March 6,812 96 6,908 6,750 - 6,750 2017 Historical cost at 31 March 4,791 50 4,841 4,782 - 4,782 2017

Fixed Asset Investments Market value Market value Market value Market value 2017 Group £’000 2016 Group £’000 2017 RNIB £’000 2016 RNIB £’000 UK quoted unit trusts 5,967 15,028 5,900 8,508 UK unquoted equity shares - - 5 5 Property 845 707 845 707 Market value at 31 March 6,812 15,735 6,750 9,220 Historical cost at 31 March 4,841 13,822 4,782 7,304

Current Asset Investments Market value 2017 Market value 2016 Market value 2017 Market value 2016 Group £’000 Group £’000 RNIB £’000 RNIB £’000 UK quoted investments 96 45 - - Market value at 31 March 96 45 - - Historical cost at 31 March 50 - - -

83 Financial Statements

Within the portfolio of quoted investments, the following holdings for RNIB Group exceed five percent of the total market value of the fund: 2017 2017 2016 2016 £’000 Percent £’000 Percent F&C Ethical Bond Share Class 2 - - 2,922 18.6 CAF UK Equities fund - - 3,040 19.4 L&G Fixed Interest Trust - - 2,605 16.6 F&C Ethical Bond Share Class 2 (Emma Nye Fund) 3,215 53.9 2,562 16.3 F&C UK Income Fund Share Class 2 (Elizabeth Eagle Bott) 406 6.8 - - F&C Ethical Bond Share Class 2 (Elizabeth Eagle Bott) 348 5.8 - - F&C UK Income Fund Share Class 2 (Dr Duncan Leeds) 701 11.7 - - F&C Ethical Bond Share Class 2 (Dr Duncan Leeds) 600 10.1 - -

15. Stocks and work-in-progress

Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Finished goods for resale 1,716 1,057 369 - Raw materials and consumables 140 285 - - Total 1,856 1,342 369 -

84 RNIB Group Annual report and financial statements 2016/17 16. Debtors – amounts falling due within one year

Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Trade debtors 8,926 7,170 1,094 685 Amounts owed by Group undertakings - - 20,751 10,642 Other debtors 1,060 3,433 602 3,249 Legacy accrued income 17,555 15,428 17,555 15,428 Prepayments and accrued income 3,722 3,714 1,278 1,588 Total 31,263 29,745 41,280 31,592

The Group and RNIB has been notified of further legacies amounting to £11,227,000 (2016: £15,212,000), which have not been recognised as income at 31 March 2017 because the conditions of the accounting policy for legacies have not been met. When these conditions are met these amounts will be included in future periods.

85 Financial Statements 17. Creditors – amounts falling due within one year

Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 Reclassified £’000 £’000 Reclassified Trade creditors 795 1,063 763 589 Bank overdraft - 42 - 1 Obligations under bank loans 7,429 4,848 7,429 4,848 Interest rate swap 809 817 809 817 Net obligations under finance leases 137 28 83 16 Taxes and social security costs 1,545 1,308 756 497 Amounts owed to Group undertakings - - 15,014 5,456 Other creditors 2,106 2,656 636 354 Accruals 6,159 5,467 3,356 3,742 Deferred income 1,119 1,014 16 251 Total 20,099 17,243 28,862 16,571 All of the deferred income will be RNIB has an unsecured revolving The remaining amount disclosed as recognised within the year. credit facility with Barclays Bank with a net obligations under loans relates to maximum limit of £6 million (expiring the AIB mortgage repayment due in The 2016 figures have been reclassified in July 2018). RNIB also has a secured the next 12 months (£1 million) and to transfer items previously included revolving credit facility with Barclays the mortgage repayments due on within creditors due within one year to Bank with a maximum limit of £3 million, the mortgages acquired with MPH provisions for liabilities and charges. secured on the property at Judd Street (£91,000). Full details of the AIB in London (expired in August 2017). In mortgage is disclosed in note 18. Full The finance leases primarily relate to both cases, loan tranches with 12-month details of the interest rate swap are printing equipment used in the Group’s maturity can be drawn down at any disclosed in note 20. production operations and iPads that are time. Interest is charged at 1.25 per cent available for customers to allow pupils above the Barclays Bank base. £1.5 better access to learning materials via million was repaid on 10 August 2017, RNIB’s Bookshare service. There are no £2.3 million is due for repayment on 16 contingent rental, renewal or purchase February 2018 and £2.5 million is due option clauses. for repayment on 31 July 2018. 86 RNIB Group Annual report and financial statements 2016/17 18. Creditors – amounts falling due after more than one year

Group Group RNIB RNIB 2017 2016 2017 2016 £’000 £’000 £’000 £’000 Net obligations under finance leases are payable as follows Between one and two years 97 6 96 6 Between two and five years 191 235 191 14 Obligations under bank loans are payable as follows Between one and two years 1,091 1,040 1,091 1,040 Between two and five years 3,227 3,130 3,227 3,130 More than five years 13,000 14,232 13,000 14,232 Interest rate swap Between one and two years 737 751 737 751 Between two and five years 1,809 1,858 1,809 1,858 More than five years 1,808 2,018 1,808 2,018 Total 21,960 23,270 21,959 23,049

In 2011/12 RNIB exercised its option Interest is charged on the loan at Under the terms of the mortgage RNIB to convert a three-year revolving loan 0.65 percent above the three-month undertakes to maintain the aggregate agreement with the AIB Group (UK) plc LIBOR rate. RNIB has entered into a of Designated and General Reserves at to finance the redevelopment known swap with AIB under which for the a level 25 per cent above the amount as the RNIB Pears Centre for Specialist period 30 December 2011 to 31 outstanding at any time. At 31 March Learning in Coventry into a 23-year December 2026 the interest charged 2017, with the amount outstanding at mortgage secured over the freehold on the outstanding amount of the £18,000,000 (2016: £19,000,000) the property at Coventry. At 31 March 2017 loan, less £500,000, is at a fixed rate level of such reserves has to exceed the amount owing on the loan is £18 of 5.05 percent. £22,500,000 (2016: £23,750,000). The million (2016: £19 million) in total. aggregate of Designated and General Reserves as at 31 March 2017 was £51,884,000 as shown in note 21. 87 Financial Statements 19. Provisions for liabilities and charges

Balance at Charged to Spent Balance at 31 1 April 2016 income and £’000 March 2017 Group £’000 expenditure £’000 £’000 Dilapidations on leases 479 740 - 1,219 Redundancy and Termination costs - 1,309 - 1,309 Potential taxation costs 515 1,500 - 2,015 Total 994 3,549 - 4,543

Balance at Charged to Spent Balance at 31 1 April 2016 income and £’000 March 2017 RNIB £’000 expenditure £’000 £’000 Dilapidations on leases 479 - - 479 Redundancy and Termination costs - 594 - 594 Potential taxation costs 515 1,500 - 2,015 Total 994 2,094 - 3,088

88 RNIB Group Annual report and financial statements 2016/17

89 Financial Statements 20. Financial instruments

RNIB has the following financial instruments:

Note Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Reclassified Reclassified Financial assets at fair value through statement of financial activities Long-term investments 14 6,812 15,735 6,750 9,220 Short-term investments 14 96 45 - - Financial assets that are debt instruments measured at amortised cost

Trade debtors 16 8,926 7,170 1,094 685 Amounts owed by group undertakings 16 - - 20,751 10,642 Other debtors 16 1,060 3,433 602 3,249 Legacy accrued income 16 17,555 15,428 17,555 15,428 Other accrued income 16 2,677 3,714 335 1,588 Financial liabilities measured at fair value through statement of financial activities Derivative financial instruments: interest rate swap 17/18 5,163 5,444 5,163 5,444 Financial liabilities measured at amortised cost Secured short-term debt 17 2,500 1,000 2,500 1,000 Secured long-term debt 17/18 17,000 18,000 17,000 18,000 MPH secured and unsecured mortgages 17/18 409 450 409 450 Finance leases 17/18 425 269 370 22 Unsecured short-term loan 17 4,838 3,800 4,838 3,800 Bank overdraft 17 - 42 - 1 Trade creditors 17 795 1,063 763 589 Taxes and social security costs 17 1,545 1,308 756 497

90 RNIB Group Annual report and financial statements 2016/17

Note Group 2017 Group 2016 RNIB 2017 RNIB 2016 £’000 £’000 £’000 £’000 Reclassified Reclassified Financial liabilities measured at amortised cost Other creditors 17 2,106 2,656 636 354 Amounts owed to group undertakings 17 - - 15,014 5,456 Accruals 17 6,159 5,467 3,356 3,742 Deferred income 17 1,119 1,014 16 251 Provisions for liabilities and charges 19 4,543 994 3,088 994 The 2016 figures have been reclassified to transfer items previously included within creditors due within one year to provisions for liabilities and charges.

Interest rate swap

In 2011/12 RNIB was provided with a In accordance with FRS 102, RNIB 23-year mortgage with the AIB Group Group is treating the interest rate swap (UK) plc to finance the redevelopment as a cash flow hedge and as a result the known as the RNIB Pears Centre for fair value of this financial instrument is Specialist Learning in Coventry. Interest shown as a liability in the balance sheet is charged on the loan at 0.65 per cent of RNIB Group. The annual movement in above the three-month LIBOR rate. At the fair value of the instrument is shown the same time RNIB entered into an in other gains and losses on the face interest rate swap with AIB under which of the statement of financial activities. for the period 30 December 2011 to 31 The fair value was calculated by AIB and December 2026 the interest charged the assumptions have been tested for on the outstanding amount of the reasonableness by the management. mortgage, less £500,000, is at a fixed rate of 5.05 per cent.

91 Financial Statements 21. Group/RNIB statement of funds

Designated Funds

1 April Income Expenditure Transfers Other gains/ 31 March 2016 £’000 £’000 £’000 (losses) 2017 £’000 £’000 £’000

Net book value – Service properties 40,401 - (1,551) 1,780 280 40,910 Net book value – Other fixed assets 2,613 - (1,183) 3,526 - 4,956 Total designated – Group and RNIB 43,014 - (2,734) 5,306 280 45,866

Net book value – service properties: Net book value – other fixed assets: The The purpose is to recognise the purpose is to recognise the value, net value, net of long term debt, of of long-term debt, of RNIB’s other fixed RNIB’s service properties that are assets that are unavailable to general unavailable to general reserves. The reserves. Such other fixed assets held in transfer of £1,780,000 comprises the subsidiary charities are recognised £1,030,000 of additions and transfers within the restricted funds. The transfer offset by disposals of £301,000 of £3,526,000 comprises additions together with a reduction in the long- amounting to £3,545,000 less the net term debt of £1,000,000 relating to book value of disposals of £19,000. the loan repayment regarding the redevelopment at the RNIB Pears Centre. There has also been a reduction in the loan relating to the assets acquired from MPH of £51,000. Such fixed asset properties held in the subsidiary charities are recognised within the restricted funds.

92 RNIB Group Annual report and financial statements 2016/17

Total unrestricted funds 1 April Income (including Expenditure Transfers Other gains/ 31 March 2016 investment gains/ £’000 £’000 (losses) 2017 £’000 losses) £’000 £’000 £’000 Designated from above 43,014 - (2,734) 5,306 280 45,866 Free Reserves 22,810 58,520 (62,439) (4,586) - 14,305 Pension reserve 7,562 326 (791) - (16,259) (9,162) Total other unrestricted 30,372 58,846 (61,625) (4,586) (16,259) 5,143 RNIB Enterprises Limited - 6,374 (6,374) - - - RNIB Services Limited - 3,081 (3,081) - - - NLB - 883 (883) - - - NTNM - 252 (252) - - - BCNI - 37 (37) - - - Total unrestricted – RNIB and Group 73,386 69,473 (76,591) 720 (15,979) 51,009 Restricted funds Emma Nye fund welfare pensions 409 96 (142) - - 363 Dr Duncan Leeds Bequest 64 39 (28) - - 75 Elizabeth Eagle-Bott Memorial Fund 9 6 (4) - - 11 Donations for specified services 2,254 10,875 (10,322) (720) - 2,087 and equipment Big Lottery Fund AdvantAGE – Wales Eye Patient 3 - - - - 3 Advocacy Service AdvantAGE – Wales Eye Patient 37 (16) (18) - - 3 Advocacy Service Continuation Awards for All – RIBS (Reducing 8 - (6) - - 2 Isolation, Building skills) Empowering Young People 12 99 (128) - - (17) Programme – Realise 93 Financial Statements

1 April Income (including Expenditure Transfers Other gains/ 31 March 2016 investment gains/ £’000 £’000 (losses) 2017 £’000 losses) £’000 £’000 £’000 Supporting Families – Family Insight 19 135 (128) - - 26 Safe and Well – Lisburn in Focus 9 (1) (7) - - 1 Reaching Communities – Optimeyes 22 215 (233) - - 4 Connecting Older People – Looking 134 87 (130) - - 91 Forward Bright New Futures – Future In-Sight 38 203 (164) - - 77 Reaching Communities – Talk and Support: Supporting our Volunteers 13 43 (36) - - 20 through Mentoring Reaching Communities – Trainee (1) 47 (48) - - (2) Grade Scheme: Extending the Reach Investing in Communities – 1 - (1) - - - Advice Plus Investment In Communities – 126 171 (166) - - 131 Looking To The Future People & Places – All Wales Welfare Rights Service for People with 120 364 (302) - - 182 Sensory Loss Basic Online Skills – Online Today 236 1,998 (1,820) - - 414 Investing in Communities – IRISS 65 204 (145) - - 124 Awards for All Family Activity Days 1 - (1) - - - Heritage Lottery Fund Your Heritage – Seeing Our History 1 - (1) - - - Our Heritage – Museums in Focus (1) - 1 - - - Your Heritage – CultureLink SE - 106 (122) - - (16)

94 RNIB Group Annual report and financial statements 2016/17

1 April Income (including Expenditure Transfers Other gains/ 31 March 2016 investment gains/ £’000 £’000 (losses) 2017 £’000 losses) £’000 £’000 £’000 Department of Health IESD – Electronic Certificate of 83 61 (139) - - 5 Visual Impairment (eCVI) IESD – Support for Early Reach in 1 - (1) - - - Clinics and Hospitals (SEARCH) IESD – EIRECS Early Intervention and 2 98 (82) - - 18 Rehabilitation in Eye Care Services HSCVF – Community Eye Health 12 132 (139) - - 5 Champions Total restricted – RNIB 3,677 14,962 (14,312) (720) - 3,607

Action 21,273 9,170 (16,531) - (48) 13,864 RNIB Charity 356 24,236 (23,225) - - 1,367 CIB 1,277 248 (315) - - 1,210 RNIB Specialist Learning Trust 662 1,827 (1,854) - (443) 192 BucksVision 473 (18) 3 - - 458 Total restricted – Group and RNIB 27,718 50,425 (56,234) (720) (491) 20,698

Restricted fund balances may be in a deficit situation pending future receipts where such funding is given on a reclaim basis and at 31 March 2017 such deficit balances amounted to £148,000 (2016: £104,000), which lies within “Donations for specified services and equipment”.

The amounts included within “Group” represent the net assets at fair value of the subsidiary charities, other than those held within endowment funds.

95 Financial Statements

Endowment funds

1 April Income including Expenditure Transfers Other 31 March 2016 investment gains/ £’000 £’000 gains/ 2017 £’000 (losses) £’000 (losses) £’000 £’000 Sunshine 343 14 - - - 357 Emma Nye 3,040 175 - - - 3,215 Bristol Blind Fund 110 6 - - - 116 Eagle-Bott Memorial 657 37 - - - 694 Dr Duncan Leeds Bequest 1,231 71 - - - 1,302 GDC Rushton 177 9 - - - 186 Total endowment – RNIB 5,558 312 - - - 5,870 CIB 1 - - - - 1 Total endowment – Group and RNIB 5,559 312 - - - 5,871

We apply a total return approach to The Sunshine Endowment Fund. In the year this resulted in the release of the unapplied total return amounting to £nil (2016: £19,000) to general funds. Within the balance at 31 March 2017, the value of the gift element of the permanent endowment was £323,000 (2016: £323,000) and the unapplied total return was £34,000 (2016: £20,000).

96 RNIB Group Annual report and financial statements 2016/17

Summary of funds

1 April Income (including investment Expenditure Transfers Other losses 31 March 2016 £’000 gains/losses) £’000 £’000 £’000 £’000 2017 £’000 RNIB Unrestricted 73,386 69,462 (76,580) 720 (15,979) 51,009 Restricted 3,677 14,962 (14,312) (720) - 3,607 Endowment 5,558 312 - - - 5,870 Total 82,621 84,736 (90,892) - (15,979) 60,486 Group Unrestricted 73,386 69,473 (76,591) 720 (15,979) 51,009 Restricted 27,718 50,425 (56,234) (720) (491) 20,698 Endowment 5,559 312 - - - 5,871 Total 106,663 120,210 (132,825) - (16,470) 77,578

97 Financial Statements 22. Analysis of net assets between funds

Group fund Unrestricted Restricted Endow- Total Unrestricted Restricted Endow- Total funds balances are funds funds ment funds funds funds funds ment 2016 represented by: £’000 £’000 £’000 2017 £’000 £’000 funds £’000 £’000 Reclassified £’000 Reclassified Tangible/intangible 72,739 18,908 - 91,647 72,823 19,604 - 92,427 fixed assets Investments 845 96 5,871 6,812 3,628 6,548 5,559 15,735 Net current assets 13,089 5,029 - 18,118 13,637 4,524 - 18,161 Long-term liabilities (26,502) (1) - (26,503) (24,264) - - (24,264) Defined benefit pension scheme (9,162) (3,334) - (12,496) 7,562 (2,958) - 4,604 (liability)/asset Total net assets 51,009 20,698 5,871 77,578 73,386 27,718 5,559 106,663 RNIB fund balances are represented by: Tangible/intangible 72,739 - - 72,739 72,823 - - 72,823 fixed assets Investments 850 30 5,870 6,750 3,634 28 5,558 9,220 Net current assets 11,629 3,577 - 15,206 13,410 3,649 - 17,059 Long-term liabilities (25,047) - - (25,047) (24,043) - - (24,043) Defined benefit pension scheme (9,162) - - (9,162) 7,562 - - 7,562 (liability)/asset Total net assets 51,009 3,607 5,870 60,486 73,386 3,677 5,558 82,621

98 RNIB Group Annual report and financial statements 2016/17

The 2016 figures have been reclassified to transfer items previously included within net current assets to long-term liabilities as a result of items in creditors due within one year being transferred to provisions for liabilities and charges.

99 Financial Statements 23. Pension costs

The RNIB Group pension arrangements comprise those of RNIB and the subsidiary charities, RNIB Charity, Action and CIB. The net pension reserve of £9.2 millon deficit (2016: £7.6 million surplus) disclosed in the balance sheet only refers to RNIB and NLB. The scheme deficits for Action, CIB, and RNIB Specialist Learning Trust are included in restricted reserves along with all reserves for those entities. A summary of the movement in pension assets and liabilities for the Group’s defined benefit pension funds is shown below:

Amounts charged Actuarial gains Defined Benefit Pension to SoFA (losses) Scheme liability £’000 £’000 £’000 RNIB 3,866 (16,259) (8,562) NLB 32 - (600) Action schemes one 129 (48) (1,392) Action schemes three - - - CIB - - (681) RNIB Specialist Learning Trust 119 (443) (1,261) Total defined benefit schemes 4,146 (16,750) (12,496)

100 RNIB Group Annual report and financial statements 2016/17

RNIB RNIB Charity

The RNIB Retirement Benefits Pension RNIB therefore reduced to 12.5 per RNIB Charity participates in the RNIB Scheme offers a mix of defined benefit cent for future accrual of final salary Retirement Benefits Scheme. This is and defined contribution. Members benefits from 1 January 2015. As of 1 a hybrid scheme for members joining joining before 1 April 2005 receive January 2015, and in agreement with after 1 April 2005 and a defined wholly defined benefit, while members the pension scheme Trustees, RNIB benefit scheme for prior entrants. The joining after have a hybrid of defined also ceased to make additional deficit assets and liabilities of the scheme are benefit and defined contribution. The recovery contributions of £828,000 a accounted for within the Group financial assets of the Scheme are held in a year. We are awaiting the results of the statements. The charity is unable to separate fund, under control of its 31 March 2017 actuarial valuation. identify, on a reasonable and consistent Trustees, to which RNIB has no access. basis, its share of the underlying A salary sacrifice arrangement was RNIB also participates in the Teachers’ assets/liabilities as such information is introduced 1 July 2010 whereby the Pension Scheme, a defined benefit unavailable on a disaggregated basis. member’s salary is reduced by the scheme for employees who were Therefore, RNIB Charity has accounted amount of the member’s contribution, formerly employed by local education for contributions as if the scheme were and in return the employer makes an authorities. The Teachers’ Pension a defined contribution scheme. equivalent contribution to the Scheme. Scheme is an unfunded scheme. Contributions on a “pay as you go” During the year contributions of An actuarial valuation was carried out at basis are credited to The Exchequer £1,171,000 (2016: £1,905,000) were 31 March 2014 by the pension scheme’s under arrangements governed by The paid into the scheme on behalf of the actuary Aon Hewitt, using the projected Superannuation Act 1972. charity. unit method. The valuation disclosed that the market value of the scheme’s RNIB has an auto-enrolment pension assets (excluding defined contribution scheme which is administered by the and additional voluntary contribution National Employment Savings Trust assets) at that date was £175.9 (NEST). This is a defined contribution million, and that there was a surplus scheme. In the year RNIB contributed of £0.6 million relative to the technical £101,000 (2016: £106,000) on behalf of provisions (the level of assets agreed 732 (2016: 632) employees. by the Trustees and RNIB as being appropriate to meet member benefits, assuming the scheme continues as a going concern). Contributions by 101 Financial Statements

Action Contribution Scheme. Members deficit on the scheme disclosed by the contributions are not fixed, employees Triennial Actuarial Valuation at 31 March Action participates in five pension are able to make contributions up to 10 is the responsibility of RNIB. The FRS102 schemes and the assets of all the per cent of their salaries. review of the whole scheme at 31 schemes are held separately from March 2017 showed a deficit of which those of RNIB. Scheme number three is a defined £80,000 (2016: surplus of £19,000) is benefit scheme operated by Wiltshire attributable to Action. Scheme number one is the Action County Council, relating to staff Defined Benefit Scheme which was transferred from Shelwork Industries Scheme number five is the Teachers’ offered through the Pensions Trust. on 1 April 2000. It is closed to new Pension Scheme, a defined benefit The scheme has been closed to new members of the Charity. The Charity’s scheme for employees who were members since 1 October 1997. Three employees are not the only members formerly employed by local education employees remain active. of the scheme, and so the assets of authorities. The Teachers’ Pension this scheme are not held exclusively for Scheme is an unfunded scheme. Scheme number two is the Action for their benefit. With effect from 31 March Contributions on a “pay as you go” Blind People money purchase scheme 2006 the Shelwork factory operation basis are credited to the Exchequer and is open to existing and new ceased to trade and almost all under arrangements governed by the employees. It is currently substantially members of this scheme subsequently Superannuation Act 1972. all invested in the Pensions Trust ceased to be employees of the Charity. Growth Series 3 Scheme. Due to its The one remaining active member as at capital guarantee, this scheme differs 31 March 2015 retired on 17 October in some important respects from a 2016. This created a cessation liability standard Defined Contribution Scheme, of £374,000. and following legislation in 2011 is now classified legally as a Defined Benefit Scheme number four is the RNIB Scheme. Action is unable to identify, on Retirement Benefits Pension Scheme of a reasonable and consistent basis, its which Action became an Employer on share of the underlying assets because 1 April 2009 pursuant to the Transfer the Pensions Trust does not provide of Undertakings Agreement whereby such information as this is unavailable 118 scheme members transferred by on a disaggregated basis. Accordingly, TUPE to Action. With regard to Action it due to the nature of the Scheme, closed to new members with immediate Action has accounted for contributions effect from 1 April 2009. Under the as if the scheme were a Defined Association Agreement with RNIB, the 102 RNIB Group Annual report and financial statements 2016/17

CIB unfunded scheme. Contributions on a for funding defined benefit occupational “Pay as you go” basis are credited to pension schemes in the UK. CIB is a participant within the defined The Exchequer under arrangements benefit scheme “Cardiff and Vale of governed by The Superannuation Act The scheme is classified as a “last-man Glamorgan Pension Fund” which is 1972. This scheme is treated as a standing arrangement”. Therefore, the part of the Local Government Pension defined contribution scheme because company is potentially liable for other Scheme. The last employees left no liability sits with RNIB. participating employers’ obligations if the scheme on 31 March 2016 so in those employers are unable to meet the year CIB contributed £nil (2016: NLB their share of the scheme deficit £9,700 on behalf of two employees) following withdrawal from the scheme. and £nil (2016: £58,700) as a deficit Following the merger with NLB, RNIB Participating employers are legally contribution. An estimate for the also offers the Pensions Trust’s Growth required to meet their share of the cessation liability of £681,000 (2016: Plan. This is a multi-employer scheme scheme deficit on an annuity purchase £681,000) has been made. which provides benefits to some 1,300 basis on withdrawal from the scheme. non-associated participating employers. CIB has a defined contribution pension The scheme is a defined benefit scheme A full actuarial valuation for the scheme scheme with Scottish Widows. In the in the UK. It is not possible for RNIB to was carried out at 30 September 2011. year CIB contributed £6,100 (2016: obtain sufficient information to enable it This valuation showed assets of £780m, £2,400) on behalf of three employees. to account for the scheme as a defined liabilities of £928m and a deficit of benefit scheme. Therefore, it accounts £148m. The following tables have been RNIB Specialist Learning Trust for the scheme as a defined contribution provided by the Pensions Trust. scheme and reflects the present value RNIB Specialist Learning Trust is a of agreed deficit reduction payments participant within the defined benefit as a liability in the balance sheet. Full scheme “West Midlands Pension Fund” details are shown below. which is part of the Local Government Pension Scheme. The scheme is subject to the funding legislation outlined in the Pensions RNIB Specialist Learning Trust also Act 2004 which came into force on 30 participates in the Teachers’ Pension December 2005. This, together with Scheme, a defined benefit scheme documents issued by the Pensions for employees who were formerly Regulator and Technical Actuarial employed by local education authorities. Standards issued by the Financial The Teachers’ Pension Scheme is an Reporting Council, set out the framework 103 Financial Statements

RNIB has agreed to the following recovery plan payments: Reconciliation of opening and closing provision 2017 2016 Year 31 March 31 March 31 March £’000 £’000 ending 2017 2016 2015 Provision at start of year 633 560 Unwinding of the discount factor £’000 £’000 £’000 13 9 Year 1 67 65 68 (interest expense) Year 2 69 67 70 Deficit contribution paid (65) (68) Remeasurements – impact of any Year 3 71 69 72 19 (10) Year 4 73 71 74 change in assumptions Remeasurements – amendments to Year 5 75 73 76 - 142 the contribution schedule Year 6 77 75 78 Provision at end of year 600 633 Year 7 80 77 81 Year 8 82 80 83 Income and expenditure impact Year 9 42 82 - Interest expense 13 9 Remeasurements – impact of any Year 10 - 42 - 19 (10) change in assumptions The present value of the recovery plan contributions as Remeasurements – amendments to - 142 recognised in RNIB Group balance sheet the contribution schedule 31 March 31 March 31 March 2017 2016 2015 Assumptions £’000 £’000 £’000 31 March 31 March 31 March Present value 600 633 560 2017 2016 2015 of provision percent per percent per percent per annum annum annum Rate of discount 1.32 2.07 1.74

104 RNIB Group Annual report and financial statements 2016/17

Detailed disclosures relating to pension schemes

The following tables, and narrative, provide the detailed disclosures that relate to the RNIB Retirement Benefit Scheme and schemes related to subsidiary entities. The column headed “Subsidiary charities” refers to Action scheme one and RNIB Specialist Learning Trust (in 2016 it also included Action scheme three and CIB). Together these explain the Group’s pension costs.

a. Scheme assets and liabilities RNIB Subsidiary Total £’000 charities £’000 £’000 2017 Scheme assets at fair value Equities 93,000 7,622 100,622 Corporate and other bonds - 7,485 7,485 Index-linked gilts 65,700 125 65,825 Property (including unit trusts) 18,100 1,070 19,170 Infrastructure 20,900 - 20,900 Standard Life GARS 16,800 - 16,800 Legal and General real and inflation-linked funds 33,200 - 33,200 Cash and other (including net current assets) 2,600 91 2,691 Total market value of scheme assets 250,300 16,393 266,693 Present value of scheme liabilities (258,862) (19,727) (278,589) Net pension scheme liability (8,562) (3,334) (11,896) NLB liability (600) - (600) Total pension scheme liability (9,162) (3,334) (12,496)

105 Financial Statements

b. Scheme assets and liabilities RNIB Subsidiary charities Total £’000 £’000 £’000 2016 Scheme assets at fair value Equities 73,500 6,490 79,990 Corporate and other bonds - 6,614 6,614 Index-linked gilts 55,400 - 55,400 Property (including unit trusts) 17,600 1,133 18,733 Infrastructure 18,700 - 18,700 Standard Life GARS 16,700 - 16,700 Legal and General real and inflation-linked funds 26,300 - 26,300 Cash and other (including net current assets) 1,000 93 1,093 Total market value of scheme assets 209,200 14,330 223,530 Present value of scheme liabilities (201,005) (17,288) (218,293) Net pension scheme asset/(liability) 8,195 (2,958) 5,237 NLB liability (633) - (633) Total pension scheme asset/(liability) 7,562 (2,958) 4,604

106 RNIB Group Annual report and financial statements 2016/17

c. Analysis of charge to the SoFA RNIB Subsidiary charities Total £’000 £’000 £’000 Year to 31 March 2017 Current service cost 3,663 106 3,769 Interest on net defined benefit liability/(asset) (326) 111 (215) Administration expenses 529 63 592 Expense recognised in SoFA 3,866 280 4,146 Year to 31 March 2016 Current service cost 4,011 547 4,699 Interest on net defined benefit liability/(asset) (485) 120 (365) Administration expenses 406 - 406 Expense recognised in SoFA 3,932 667 4,740 The above service cost excludes any RNIB contributions paid to the defined contributions section of the Scheme.

107 Financial Statements

RNIB contributed to the Scheme at the salary sacrifice arrangement, employer Contributions on a “pay as you go” rate of 12.5 per cent of pensionable contributions and service costs include basis are credited to the Exchequer salaries. These rates include the cost of member salary sacrifice contributions under arrangements governed by the death in service insurance cover. During while member contributions are shown Superannuation Act 1972. RNIB made the year RNIB contributed £3,525,000 as £nil. RNIB also makes contributions contributions to the Teachers’ Pension (2016: £3,476,000) to the Scheme, to a number of other pension schemes Scheme for 24 employees (2016: 22) and in the next year RNIB expects to including the Teachers’ Pension totalling £130,000 (2016: £148,000). In contribute significantly more due to Scheme. The Teachers’ Pension addition, Action made contributions for the impact of the actuarial valuation Scheme is a defined benefit scheme two employees totalling £9,282 (2016: at 31 March 2017. In addition, RNIB, for employees who were formerly one employee totalling £7,000) to the RNIB Charity and Action share the employed by local education authorities. Teacher’s Pension Scheme. administrative costs of the Scheme. The Teachers’ Pension Scheme is an From 1 July 2010, under the RNIB unfunded scheme. d. Analysis of actuarial gains and losses RNIB Subsidiary charities Total £’000 £’000 £’000 Year to 31 March 2017 Asset gains arising during the year 36,433 1,858 38,291 Liability losses arising during the year (52,692) (2,349) (55,041) Total actuarial loss (16,259) (491) (16,750) Year to 31 March 2016 Asset losses arising during the year (9,031) (290) (9,321) Liability gains arising during the year 5,086 1,073 6,159 Release of liability on Wiltshire County Council - 447 447 Total actuarial (loss)/gain (3,945) 1,230 (2,715)

108 RNIB Group Annual report and financial statements 2016/17

Assumptions used for the FRS102 valuation are summarised in the following table.

e. Actuarial assumptions 2017 RNIB 2016 RNIB 2017 Subsidiary 2016 Subsidiary percent percent charities charities percent percent Discount rate 2.45 3.40 2.20 - 2.60 3.30-4.00 Inflation assumption (RPI) 3.15 2.90 3.20 - 3.30 2.80-3.00 Inflation assumption (CPI) 2.15 1.90 2.00 - 2.30 1.70-2.40 Rate of increase in salaries 3.15 2.90 3.75 - 4.30 2.70-4.15 Rate of increase in pensions payments Pre 1 July 2010 – 5 per cent p.a. cap 2.95 2.75 - Post 30 June 2010 – 3 per cent p.a. cap 2.20 2.10 1.75-2.35 1.70-2.40 Rate of increase in deferred pensions Pre 1 July 2010 – 5 per cent p.a. cap 3.15 2.90 - Post 30 June 2010 – 3 per cent p.a. cap 3.00 2.90 3.30 1.70-3.00

For the RNIB scheme, the mortality after retirement if they are female. For assumptions are based on standard schemes offered by the subsidiary mortality tables which allow for charities, for current pensioners, their future mortality improvements. The life expectancy beyond the pensionable assumptions are that a member age of 65 ranges between 23.1 years currently aged 60 will live on average if they are male, and 25.8 years if they for a further 27.6 years (2016: 27.5 are female. For future pensioners, their years) if they are male and for a further life expectancy beyond the pensionable 29.6 years (2016: 29.5 years) if they age of 65 ranges between 25.3 years if are female. For a member who retires they are male and 28.1 years if they are in 2037 at age 60 the assumptions female. are that they will live on average for a further 28.6 years (2016: 28.5 years) after retirement if they are male, and for a further 31.3 years (2016: 31.2 years) 109 Financial Statements

f. Changes to the present value of the defined RNIB Subsidiary charities Total benefit obligation £’000 £’000 £’000

As at 1 April 2015 200,210 18,478 218,688 Current service cost 4,011 173 4,184 Interest expense on defined benefit obligation 6,725 571 7,296 Contributions by scheme participants 126 27 153 Actuarial gain on scheme liabilities (5,086) (1,073) (6,159) Net benefits paid out (4,981) (888) (5,869) As at 31 March 2016 201,005 17,288 218,293 Current service cost 3,663 167 3,830 Interest expense on defined benefit obligation 6,753 532 7,285 Contributions by scheme participants 113 27 140 Actuarial loss on scheme liabilities 52,692 2,349 55,041 Net benefits paid out (5,364) (636) (6,000) As at 31 March 2017 258,862 19,727 278,589

110 RNIB Group Annual report and financial statements 2016/17

g. Changes to the fair value of scheme assets RNIB Subsidiary charities Total during the year £’000 £’000 £’000 As at 1 April 2015 212,806 14,604 227,410 Expected return on scheme assets 7,210 451 7,661 Contributions by the employer 3,476 426 3,902 Contributions by scheme participants 126 27 153 Actuarial loss on scheme assets (9,031) (290) (9,321) Net benefits paid out (4,981) (888) (5,869) Administration costs incurred (406) - (406) As at 31 March 2016 209,200 14,330 223,530 Expected return on scheme assets 7,079 485 7,564 Contributions by the employer 3,368 329 3,697 Contributions by scheme participants 113 27 140 Actuarial gain on scheme assets 36,433 1,858 38,291 Net benefits paid out (5,364) (636) (6,000) Administration costs incurred (529) - (529) As at 31 March 2017 250,300 16,393 266,693 Actual return on scheme assets 2016 (1,821) 161 (1,660) 2017 43,012 2,343 45,355

111 Financial Statements 24. Group commitments 25. Contingent assets a. Capital RNIB has entered into a sale and development agreement with At the year-end, RNIB had no outstanding commitments (2016: £nil). Countryside Properties (UK) Limited At the year-end Action has outstanding capital commitments amounting relating to land and buildings at Redhill to £nil (2016: £88,805). At the year-end, no other subsidiary entities have College, Redhill, Surrey owned by RNIB. any outstanding commitments (2016: £nil). Over the period to May 2021, RNIB will receive profit share cash payments b. Operating leases of at least £5.5 million, 25 residential dwellings, a community hub, and At the year-end, the Group had the following annual commitments amounting the refurbished Tudor House. The to £3,069,000 (2016: £4,831,000) under non-cancellable operating leases. construction value of the buildings is estimated at £9.5 million. In return, 2017 2016 the developer will be given land for £’000 £’000 the construction and sale of 77 private dwellings. The net book value of the Land and buildings Redhill land and buildings at 31 March Expiring within one year 563 897 2017 is £3.5 million. The accounting Expiring between two and five years 1,410 2,154 recognition of this transaction will Expiring after five years 663 1,019 take place over the period as individual properties are handed over and Equipment profit share cash is received. Expiring within one year 269 376 Expiring between two and five years 164 384 Expiring after five years - 1 Total 3,069 4,831

112 RNIB Group Annual report and financial statements 2016/17 26. Grants receivable

During the year, RNIB received a number of grants and other funding resources, which are required by the donors to be shown in our annual financial statements.

Source Purpose £’000 Big Lottery Fund Basic Online Skills – Online Today 2,159 Bright New Futures – Future In-sight 204 Connecting Older People – Looking Forward 91 Empowering Young People – Realise 99 Supporting Families – Family Insight 134 Investing In Communities – Looking To The Future 174 Investing in Communities – IRISS 128 Reaching Communities – Optimeyes 192 People and Places – All Wales Welfare Rights Service for People with 321 Sensory Loss Investing in Communities – Advice Plus 78 Reaching Communities – Trainee Grade Scheme: Extending the Reach 48 Reaching Communities – Talk and Support: Supporting our Volunteers 44 through Mentoring Reaching Communities – Living with Sight Loss 47 Reaching Communities – Big Skills Pilot 159 Reaching Communities – Being There When it Matters Most 114 Reaching Communities – BME Volunteering and Self Help Phase 2 40 Big Lottery Fund – The Wildlife Trusts Vision England 136 Heritage Lottery Fund Your Heritage – CultureLink SE 106 Our Heritage – Museums in Focus 1 European Social Fund Eye Work Too 136

113 Financial Statements

Source Purpose £’000 Allergan* Eye Health Projects 45 Alliance Scotland Self Care Management Impact Fund – You Care Eye Care 33 Bayer* Eye Health Projects 79 Children & Young People’s Strategic Family Support Service 64 Partnership, Health and Social Care Board Parenting, Education and Support 11 Department of Health HSCVF – Community Eye Health Champions 136 IESD – EIRECS Early Intervention and Rehabilitation in Eye Care Services 100 IESD – Electronic Certificate of Visual Impairment (eCVI) 64 IESD – Talking Therapies 44 IESD – Living With Sight Loss 3 HMRC Get Your Tax Right 150 NHS Fife Carers Fund Carers Information Strategy Funding – RNIB Bridge to Vision 2015 14 NHS Fife Carers Fund Carers Information Strategy Funding – RNIB Carers Café 2015 4 Northern Ireland Executive – United Youth Youth Works 1 Programme Scottish Government See Hear Strategy Funding 50 Shared Care Scotland Better Breaks – RNIB Activate 2016 22 Southern Trust Parenting, Education and Support 57

* Policy on relationships with pharmaceutical companies RNIB provides services to those with sight problems, works to prevent avoidable blindness, and campaigns for positive change. These functions will not be influenced in any way by our relationship with pharmaceutical companies or by acceptance of grants or sponsorships from them. We will withdraw from any initiative that jeopardises our independence. RNIB will not embark on, or continue with, any sponsorship arrangement or collaborative venture which might damage its independence. Allergan and Bayer are both pharmaceutical companies.

114 RNIB Group Annual report and financial statements 2016/17 27. Events after the reporting period

Group reorganisation The transfer had certain pension reallocate the obligation to pay the implications, which are outlined below. deficit/liabilities among the remaining On 1 April 2017, the majority of the participating employers through one assets and liabilities of Action and The employees of Action were of a number of Pensions Regulator most of the assets and liabilities for transferred under TUPE to RNIB Group approved arrangements. One such RNIB Charity were transferred to RNIB and as a consequence, Action ceased to arrangement is referred to as a Flexible Group. The aim of the reorganisation have any employees. Action participates Apportionment Arrangement (FAA). is to better enable RNIB to provide in two group defined benefit schemes: support and services to all of its the RNIB Retirement Benefits Scheme An FAA is a legal deed to which a beneficiaries and to reduce the cost and which has RNIB as the principal (and scheme’s Trustees and employers are administrative burden of operating three also a participating) employer and parties. For the Trustees to agree and separate charities. five individual Trustees and the Action sign an FAA, they must be satisfied that for Blind People Final Salary Scheme the strength of the financial covenant The only Action activity and asset not (ABPFSS). The ABPFSS, the Trustees of the remaining employers is not transferred to RNIB on 1 April was the of which are Verity Trustees – a trustee materially adversely affected by the Lauriston Hotel, which was sold as a company operated by TPT (formerly merger/cessation event. going concern on 5 April 2017. the Pensions Trust) – has only two active employees/members. TPT is RNIB and the Trustees of the RBS have RNIB Charity is being transferred to responsible for the operation and agreed to an FAA which was signed on RNIB in two stages. All assets and administration of ABPFSS. 21 July 2017. liabilities (other than certain registered and regulated care and education Where a participating employer in a Although the ABPFSS was a single services) were transferred on 1 April multi-employer defined benefit pension employer scheme, the cessation 2017. The remaining services will be scheme which has a funding deficit of Action employment for the two transferred once all regulatory consents ceases to have any employees, a debt members still gives rise to a S75 debt. have been obtained from the Care under Section 75 of the Pensions In order to resolve this, the ABPFSS has Quality Commission, Ofsted and the Act 1995 is triggered. As a result, the been converted into a multi-employer Care Inspectorate in Scotland. portion of the deficit/liabilities relating scheme and an FAA prepared. This FAA to that participating employer must was signed by Verity Trustees, RNIB and either be paid by that participating ABP on 31 July 2017. employer or a provision made to 115 Trustees’ Report (continued)

116 RNIB Group Annual report and financial statements 2016/17 Thank you to our supporters, partners and volunteers

This year, our supporters and We’re grateful to our army of over volunteers helped us raise £77.5 5,000 volunteers who help us to deliver million. Without them, we wouldn’t vital services and who are involved have been able to deliver life-changing with us in many different ways across services to our customers and raise the UK. Volunteers have never been awareness of sight loss. more important in helping us to make every day better for blind and partially Our partnerships help us achieve more sighted people. for blind and partially sighted people. They support our work by providing To all our supporters, partners and time and expertise. They enable us volunteers – thank you so much for to achieve much greater impact by making every day better for people with working in new and innovative ways, sight loss. building capacity, and driving forward work to make sure customers can We’re honoured to have the support access the support they need. of our Patron Her Majesty The Queen. We’re indebted to our President Dame We received £41.7 million in gifts Gail Ronson DBE, and to our Vice from our generous supporters who Presidents, listed on page 121. remembered us in their Will. Much of our work is supported by gifts in Wills, so we are hugely grateful for all those who have chosen to support us in this way, allowing us to continue with our vital work. Their generosity will enable us to reach the increasing number of people with sight loss now and in years to come. 117 Trustees’ Report (continued)

We would also like to thank our RNIB Mr Chris Thomas C Ambassadors for their ongoing The Lady Wolfson of Marylebone CAF Grants Fund support: And also those Ambassadors who Leslie Mary Carter Charitable Trust wish to remain anonymous. The BAND Trust Children & Young People’s Strategic Booker Prize Foundation Partnership, Health and Social Brian and Joan Brackpool Thank you to the many individuals, Care Board companies, trusts and public bodies Mr and Mrs Oliver Christof that have supported us this year and The Catherine Cookson Mr Gerald Davidson made our work possible. In particular, Charitable Trust Mr Graham Edwards and Ms we would like to thank: Mrs Joan Cremiu-Javal’s Trust Georgina Black Mr and Mrs David Green A D Mr James Henderson AIG Department of Health Mr and Mrs Bernard Kantor Charles & Jane Allen Memorial Fund DK Books Sir Sol Kerzner Allergan UK Mr and Mrs Nathan Kirsch E Mr and Mrs Derek Lovelock The Ampelos Trust European Social Fund Disability Ms Heather Mills B Employment Service Dr and Mrs Samad Munshi Eveson Charitable Trust Mr and Mrs Iain Parham The Bamford Charitable Foundation Mr and Mrs Paul Phillips The BAND Trust F Mr and Mrs Paul Polman Bayer Plc Hugh Fraser Foundation Mr and Mrs David Randall BBC Children in Need Mr Ian Rosenblatt OBE Big Lottery Fund G Mrs Cheryl Roux Mr and Mrs Graeme Shankland Brownlie Charitable Trust B & P Glasser Charitable Trust Mr and Mrs Baljit Shergill Carmen Butler-Charteris The Gosling Foundation Ltd The Steinberg Family Charitable Trust Charitable Trust Mr and Mrs Alastair Storey

118 RNIB Group Annual report and financial statements 2016/17

H N Kathleen Smith Foundation E C Sosnow Charitable Trust Roger de Haan Charitable Trust NHS Fife Southern Trust Edith Lilian Harrison 2000 Foundation Novartis Pharmaceuticals UK LTD Specsavers Heritage Lottery Fund P J K Stirrup Charitable Trust Her Majesty’s Revenue and Customs Pears Foundation Bernard Sunley Charitable Trust Ada Hillard Charitable Trust The Hobson Charity R T Jane Hodge Foundation The Roan Charitable Trust The Tabor Foundation Agnes Hunter Charitable Trust Robertson Trust Thompson Family Charitable Trust I The Gerald Ronson Foundation W Inman Charity Trustees Cecil Rosen Foundation Waitrose L S The Garfield Weston Foundation Beatrice Laing Foundation Edmond J. Safra Foundation White Top Foundation The Linbury Trust Sandra Charitable Trust The Wolfson Foundation John Scott Trust M Scottish Government WT Mattock Charitable Trust ShareGift Brian Mercer Charitable Trust Simmons and Simmons Loppylugs and Barbara Morrison Jack Simmons Will Trust Charitable Trust SimplyHealth Myristica Foundation A Sinclair Henderson Trust

119 Trustees’ Report (continued)

120 RNIB Group Annual report and financial statements 2016/17

Sir Trevor Pears CMG Group Director, Fundraising Who’s who Sir Mike Rake Wanda Hamilton BA (Law) MInstF (left 31/12/2016) Dr Dermot Smurfit at RNIB Sir Rod Stewart CBE Group Director, People The Rt Hon Earl of Stockton Corinne Mills Chartered FCIPD

Patron, President and Honorary officers Group Director, Resources Vice-Presidents Kevin Carey MA (Cantab) MA (Kings Rohan Hewavisenti M.Eng ACA (left College, London) – RNIB Group Chair 31/12/2016) Patron Eleanor Southwood MA (Oxon) – RNIB Management Director, Engagement, HM The Queen Group Vice-Chair RNIB Charity President Alan Tinger FCA CCMI – RNIB Honorary Fazilet Hadi BA (Hons) Dame Gail Ronson DBE Treasurer Managing Director, Places, Vice Presidents Chief Executive Officer RNIB Charity Sir John Beckwith CBE and members of Executive Sally Harvey BA (Hons) (Until The Rt Hon. the Lord Blunkett Board (from 1/4/2016 to 1/8/2016) Richard Brewster 31/12/2016) Jayne Frampton (from 1/8/2016 to 31/12/2016) Professor Ian Bruce CBE Chief Executive Officer Lesley-Anne Alexander CBE MSc Jeremy Bull Managing Director, Solutions, (left 30/9/2016) RNIB Charity Lord (Julian) Fellowes of West Stafford DL Acting Chief Executive Officer Neil Heslop OBE LLB (Hons) MBA CIM (Dip.M) (left 31/8/2016) Haruhisa Handa Sally Harvey BA (Hons) (from 1/10/2016) Jon Petty (from 1/9/2016 Euclid Herie to 31/10/2016 ) Lady (Joan) Jarvis CBE Chief Operating Officer Chief Executive, Action Penny Lancaster-Stewart, Lady Stewart Sally Harvey BA (Hons) (from 1/8/2016 to 30/9/2016) for Blind People Lord (Colin) Low of Dalston CBE Miriam Martin (until 31/3/2017)

121 Trustees’ Report (continued)

Chief Executive Officer and Professional advisers members of Executive Board (from 1/1/2017) Independent Auditors PricewaterhouseCoopers LLP Acting Chief Executive Officer 1 Embankment Place Sally Harvey BA (Hons) London WC2N 6RH (from 1.10.2016) Investment advisers Deputy CEO and Advocacy Director AON Hewitt Ltd Fazilet Hadi BA (Hons) 3 The Embankment Sovereign Street Services Director Leeds LS1 4BJ (formally effective 1.4. 2017) Miriam Martin Property advisers Knight Frank Managing Director, Solutions 55 Baker Street Scott Lynch (from 13.3.2017) London W1U 8AN Relationships Director Solicitors Dr Sophie Castell (from 1.7.2017) Farrer & Co 66 Lincolns Inn Fields Corporate Services Director London WC2A 3LH Corinne Mills Chartered FCIPD Actuary advisers Towers Watson 21 Tothill Street London SW1H 9LL

Bankers Royal Bank of Scotland plc Marylebone Road and Harley Street Branch 10 Marylebone High Street London W1A 1FH 122 RNIB Group Annual report and financial statements 2016/17

Board of Trustees

Members of the Board of Trustees has published 13 books on Christian Alan Tinger – RNIB Group Honorary during the financial year, together with subjects. He is a committee member Treasurer (5 of 6) a brief biography of each individual, are of the Gustav Mahler Society of the UK; listed below. The Board is made up of and sings in two choirs. Alan is a Chartered Accountant (FCA) 12 Trustees. The number in brackets and Companion of the Chartered after each name represents attendance Eleanor Southwood – RNIB Group Management Institute (CCMI). He is at Board of Trustee meetings during Vice-Chair (5 of 6) currently Chair of LOC Central Support 2016/17 of those they were eligible Unit, Non-Executive Director /Consultant to attend. Full membership details of Ellie became a Trustee in 2010. of the Federation of (Ophthalmic and RNIB’s committees are available from Following two years as RNIB Vice-Chair Dispensing) Opticians, a Member of the Governance and Business Support – External Affairs, she became Vice- the Optical Confederation Leaders team at RNIB’s Judd Street address. Chair of the then newly constituted Group and a Trustee of Eyecare Trust. Eighty per cent of the Board are blind or RNIB Group Board in July 2014. Ellie’s His interests outside the optical partially sighted. career spans the public, private and sector include being Chair of a non-profit sectors. She is currently Housing Association. Alan’s previous Kevin Carey – RNIB Group Cabinet Member for environmental appointments include directorships Chair (6 of 6) and highways services at the London of listed companies, including a major Borough of Brent. Her previous opticians group and financial consultant Kevin Carey is serving his third term as experience is in senior recruitment to the General Optical Council, the RNIB Chair since his initial election in and organisational change. Ellie’s regulator of registered opticians. Alan 2009; he was Vice Chair from 2000 to commitment to the RNIB Group is also Chair of RNIB’s Audit and Risk 2009. Kevin also chairs the Governance comes from personal experience, Committee and Investment Committee and Remuneration Committees. He is having been born with no useful sight. and he was a Trustee of Action for Blind the Chair of the World Braille Council She is passionate about improving People until 31 March 2017. and a member of the ICEVI Executive opportunities for blind and partially Committee. Kevin, who served as sighted people, particularly in Director of digital inclusion charity overcoming barriers to employment and humanITy from 1997 to 2015, is now involvement in civic life. a freelance IT accessibility consultant with Atos and works for the marketing team of Orbit Research. Kevin is a Reader in the Church of England and 123 Trustees’ Report (continued)

Margaret Bennett (5 of 6) of further and higher education in whole organisation. Simon has over 20 making disabled people more equal years’ experience across a wide range of Margaret is in her third term of office as and employable, and he campaigned sectors. He is married with children and a Trustee, having first been appointed for over 35 years for improved support lives in Hertfordshire. to the Board in 2010. A Chartered students in post-16 education and Accountant by profession, her portfolio training. Derek has wide experience Dr Heather Giles (5 of 6) of work includes Group Finance Director of working with the voluntary sector in of Good Things Foundation and acting various capacities both nationally and Heather is in her second term of office as a mentor and coach for voluntary locally. He is a keen advocate of user-led as a Trustee, having been re-appointed sector leaders. Previous roles included governance in ensuring that charities to the Board in 2014. She was a Trustee Deputy Chief Executive of the Learning focus their strategies on meeting the of RNIB Charity until 31 March 2017 and and Skills Improvement Services, a needs of their beneficiaries. Derek was the Chair of RNIB’s Engagement senior Civil Servant and Chief Executive currently serves as Co-Chair of the RNIB Standing Board until its dissolution in of the National Library for the Blind. She Services Steering Group and continues March 2017. Professionally, she has lives in Sheffield and is partially sighted. to be a Trustee of RNIB Charity. held senior scientific positions in the She was Chair of RNIB’s Places Standing pharmaceutical industry and has a Board until its dissolution in March Simon Finnie (4 of 6) PhD in Pharmacology. She is currently 2017 and continues to be a Trustee Chief Scientific Officer for a small of RNIB Charity. Simon is in his first term of office as pharmaceutical company. Heather a Trustee, having been appointed to has a personal understanding of the Derek Child (6 of 6) the Board in 2014. Simon is the Chair challenges facing people with sight loss of RNIB’s Solutions Delivery Board, because she is partially sighted herself Derek has been blind for 40 years which includes our technology, retail and also, even before becoming a having lost his sight in his late 20s as and reading services, and was a Trustee, she was supporting RNIB’s work a result of prolonged childhood illness. Trustee of RNIB Charity until 31 as a local campaigns volunteer. She lives Derek entered higher education as a March 2017. He has held a number in London. mature student, where he eventually of senior executive roles across the gained a postgraduate degree in commercial sector and is currently the Vidar Hjardeng MBE (6 of 6) Advanced Social Policy plus a social Group Strategic Projects Director for work qualification. His career was Laing O’Rourke, the largest privately Vidar was serving his final year as a principally in higher education at owned construction company in the UK. Trustee in 2016/17 and retired from the Open University and he retired As part of Laing O’Rourke’s senior the Board on 31 August 2017 after as a senior manager in 2010. Derek team, he is responsible for driving many years of service. A broadcast recognised the crucial importance strategic improvements across the journalist by profession, he is now a 124 RNIB Group Annual report and financial statements 2016/17 consultant with ITV News and has 2009. Mike holds a number of other Living. Keith is a published poet and a spent much of his career working appointments, including as a Trustee of lifetime Tottenham Hotspur Fan. for the broadcaster nationally and Guide Dogs for the Blind Association, regionally. With personal experience a Trustee of Vision 2020 UK, a Trustee Sandi Wassmer of visual impairment, Vidar is proud of Shaw Trust and a member of the from 01/04/2016 (6 of 6) of his association with charities who Equality and Diversity Forum. Mike is a work with and for fellow blind and Trustee of Action for Blind People and Sandi Wassmer was registered blind in partially sighted people, including was Chair until the transfer to RNIB on 1 2008. She became a Trustee of RNIB the National Audio Description April 2017. Group Board in 2016 and has been Association and Vocal Eyes, which he a Trustee of Action for Blind People chaired for four years until 2012. Vidar Keith Valentine (6 of 6) since 2014. Sandi is currently leading lives in the Midlands. the development of digital services at Keith Valentine joined the RNIB Board of Jewish Care, which includes Jewish Terry Moody (6 of 6) Trustees in early 2015. His employment Care Interact, a digital hub for older and history includes senior leadership roles disabled people, the KC Shasha Centre Terry is serving his final term on the at Thomas Pocklington Trust and he will for Talking News and Books and an RNIB Board after many years of service. step down from the RNIB Board later ambitious digital engagement strategy With an academic background in in the year to take up a new position around Jewish Care’s Karten Centres. economics and finance, he has recently as CEO of Vision UK. Keith is visually Sandi is a passionate thought leader in retired from Glasgow University where impaired and has spoken widely of his inclusive design and accessible ICT, as he was a senior lecturer in economics. personal experiences in national media well as a businesswoman, human rights He is blind, married with a son and lives channels and at key conferences in advocate, marketer, writer and public in Glasgow. the medical and social care sectors. speaker. She has worked in a range of Many generations of Keith’s family have commercial organisations throughout Dr Mike Nussbaum (5 of 6) had visual impairment and he joined her career, as CFO and COO of Universal the RNIB Board with a personal and Studios’ SyFy UK TV Channel, COO of Mike joined the RNIB Board in May professional commitment to seeking Unilever’s first dotcom investment and 2011. He was forced to cut short the best deal in both services and MD of digital agency, Copious. his career as a research chemist opportunities for all people with a visual after his eyesight suddenly failed. impairment. Keith is also a Trustee of However, he soon forged a second Action for Blind People, a Trustee of career in local government and public research charity RP Fighting Blindness policy development. He was Chair of and a Trustee of his local advocacy Volunteering England from 2002 to charity, Kingston Centre for Independent 125 Trustees’ Report (continued)

Independent members of the Audit Contact details and Risk Committee RNIB, Registered Office Michael Barber, Jonathan Blackhurst 105 Judd Street (from 3 July 2017), Deborah Harris London (from 1 April 2017, previously WC1H 9NE representative of Action for Blind 020 7388 1266 People on the Group Committee), Judith Spencer-Gregson (from 1 April RNIB Cymru 2017, previously representative of RNIB Charity on the Group Jones Court/Crwt Jones Committee) and Frances Teague Womanby Street/Stryd Womanby (until 9 November 2016). Cardiff/Caerdydd CF10 1BR 029 2082 8500

RNIB Northern Ireland Victoria House 15-17 Gloucester Street Belfast BT1 4LS 028 9032 9373

RNIB Scotland Greenside House 12-14 Hillside Crescent Edinburgh EH7 5EA 0131 652 3140

126 RNIB Group Annual report and financial statements 2016/17

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