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Annual Report & Accounts 2018-19

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Annual Report & Accounts 2018-19 Grampian Health Board Endowment Fund (Operating as NHS Grampian Endowment Funds) Trustees’ Report and Accounts Year Ended 31 March 2019 Charity Number SC017296 NHS Grampian Endowment Funds Foreword from the Chair In 2018/2019 the Endowment Fund has continued to support the health and welfare of people in Grampian through our grant making, working in partnership with NHS Grampian and other key stakeholders. Financially, this has been a stable year for the Endowment Fund with donations remaining at an encouraging level, although legacies, always less predictable, show a downturn from a very high figure in the previous year. Our return on investment has yielded a positive return which was in line with predictions set at the start of the year. Due to the generosity of our donors and stable investment activity, the Endowment Fund was able to commit almost £4 million in charitable expenditure to activities, services and equipment during 2018/19. Reflecting the population we serve, the Endowment fund grant giving activity was diverse as the following examples illustrate. We supported community groups through the Small Grants Scheme. These have ranged from rehabilitation exercise classes to singing groups to Men’s Sheds. We supported staff training and development. This year this included the purchase of neonatal resuscitation manikins for use at Aberdeen Maternity Hospital and Dr Gray’s and ligature manikins for Royal Cornhill Hospital. We supported the purchase of a range of equipment to improve patient experience. The Lithotripter for urology patients was delivered in January 2019 and is providing the most up to date technology for the treatment for renal stones, replacing a mobile service with a permanent facility at ARI. We funded the provision of water coolers and ice machines to improve the comfort of patients at hospitals throughout Grampian. We have also funded the refurbishment of day rooms and replaced bathrooms with more user friendly wet rooms, all of which contribute to improved patient experience. The fund also supported a range of research projects to ensure we continually develop innovative and effective methods to prevent, diagnose and treat illness. This included major research projects into heart, renal, breast cancer and Parkinson’s Disease, as well as a wide range of smaller research projects into a range of health related conditions. In the next year, we plan to make the charity more visible and accessible using our branding and website, working with fund stewards, with NHS Grampian and the local Health and Social Care Partnerships to widen our reach. We also plan to develop grant making priorities to ensure we align grant making activity with local strategy and local needs, ensuing every penny we spend makes a tangible difference to the lives of service users, patients, carers and staff across Grampian. 1 NHS Grampian Endowment Funds Foreword from the Chair (continued) Of course none of this grant making activity is possible without our donors, patients, families and our staff who donate and fundraise for us. On behalf of all the Trustees, I thank you for your tremendous generosity. Luan Grugeon Chair of Trustees Grampian Health Board Endowment Fund (Operating as NHS Grampian Endowment Funds) 2 NHS Grampian Endowment Funds Our Vision The enhancement of healthcare and patient welfare in Grampian Our Mission Work in partnership to achieve the greatest impact and promote first class healthcare by delivering: Improvement of the physical and mental health of the Grampian Health Board’s population and our staff; Prevention, diagnosis and treatment of illness; Provision of services and facilities in connection with the above; and Research into any matters relating to the causation, prevention, diagnosis or treatment of illness, or any other matters relating to the health service as the Trustees see fit. 3 NHS Grampian Endowment Funds Contents Page No Trustees’ Report 5 Statement of Responsibilities of the Trustees 23 Independent Auditor’s Report 24 Statement of Financial Activities 27 Balance Sheet 28 Statement of Cash Flows 29 Notes to the Accounts 30 4 NHS Grampian Endowment Funds Trustees’ Report for the Year Ended 31 March 2019 The Trustees present their report along with the audited financial statements of the NHS Grampian Endowment Funds (the Charity) for the year ended 31 March 2019. The results of the Charity are consolidated into the accounts of Grampian Health Board on the basis that all Trustees are also members of the Grampian Health Board so the Charity effectively operates under common control for accounting purposes. Purpose and Principles All Health Board members are Trustees of the charity under the terms of the National Health Services (Scotland) Act 1978. All Trustees carry a legal duty to ensure that all donated funds are used in accordance with the charitable purpose and key principles below. Purpose To adhere to the vision and mission approved by the Trustees. To observe any conditions attached to a donation or legacy prescribed by a donor to the charity, so far as is reasonably practicable, and consistent with the above purpose and the law. Principles The grant of endowment funds should not substitute for a core provision, nor should endowment funds be used to cover a responsibility of Grampian Health Board that is a direct requirement of health and safety or employment law or a ministerial policy direction. An employee of Grampian Health Board may only benefit from the Charity where the expenditure is aimed at improving health, welfare or the prevention, diagnosis or treatment of illness for Grampian Health Board’s residents. Any benefit to the employee must be incidental to (and necessary for) that benefit to be realised. Strategic Objectives and Activities The Fund receives donations and/or legacies from patients, their relatives, the general public and other organisations. The Trustees hold all donated funds upon trust and apply the income and, at their discretion, so far as may be permissible, the capital, for any charitable purpose or purposes that enhance healthcare and patient welfare in Grampian, through: improvement of the physical and mental health of the Grampian Health Board’s population and our staff; prevention, diagnosis and treatment of illness; provision of services and facilities in connection to the above; and research into any matters relating to the causation, prevention, diagnosis or treatment of illness, or any other matters relating to the health service as the Trustees see fit. 5 NHS Grampian Endowment Funds Trustees’ Report for the Year Ended 31 March 2019 (Continued) The Trustees consider the following when discharging their responsibilities in line with the purpose and principles of the Fund: observance of any conditions attached to a donation or legacy prescribed by a donor, so far as reasonably practicable and consistent with the charitable purpose and the law; the grant of endowment funds should not substitute a core provision nor should endowment funds be used to cover a responsibility of Grampian Health Board that is a direct requirement of health and safety or employment law or a ministerial policy direction; an employee of Grampian Health Board may only benefit from the charity where the expenditure is aimed at improving health, welfare or the prevention, diagnosis or treatment of illness for Grampian Health Board residents. Any benefit to the employee must be incidental to (and necessary for) that benefit to be realised; and where service changes have taken place or it is impractical to maintain a separate designated fund, the Trustees have the ultimate discretion for the application of the fund, in accordance with the NHS (Scotland) Act 1978, whilst respecting the wishes of the donors. the principles of the Charity have been applied consistently and there has been no retrospective approval of endowment funds to cover expenditure that had previously been charged to exchequer funds. Grant-Making Policy Donations can be made online at https://www.nhsgcharities.com/donate/, by cheque to NHS Grampian Endowment Fund or in cash to the Endowment Team at Westholme, Woodend Hospital or to the General Office at Aberdeen Royal Infirmary. All applications for the use of Endowment Funds follow an established process which involves a pre-approval assessment against the criteria set out on page 21. Grant payments by the Charity are made in line with the charitable purpose of the Charity i.e. the enhancement of healthcare and patient welfare in Grampian. Trustees delegate responsibility for the management of individual funds to named fund stewards who may incur expenditure, subject to the required authorisation process, provided the expenditure falls within the objects of the fund, that the grant request is supported by Grampian Health Board and that the funds are available to meet the request. The majority of endowment-funded projects are undertaken within Grampian Health Board. However, in recognition of the voluntary work done by local community groups, NHS Grampian Endowment Fund operates a small grant scheme which invites applications for up to £5,000 to help to initiate, maintain or expand projects with a direct health or wellbeing benefit to the people of Grampian. 6 NHS Grampian Endowment Funds Trustees’ Report for the Year Ended 31 March 2019 (Continued) Investment Policy All funds are invested to achieve a balance of capital growth and income. The Charity’s Investment Manager is Aberdeen Standard Capital Limited. For the Charity to achieve its stated investment objective, as detailed in the following paragraph, the Trustees have authorised its Investment Managers to adopt a medium risk approach. This corresponds to a diversified portfolio invested in a broad spread of equities, invested both directly and indirectly through pooled funds. The portfolio also includes a proportion of fixed-interest securities and cash. The Charity has a formal Investment Policy, which the Trustees review on a regular basis. The investment objective is to achieve a balance between capital growth and the generation of income.
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