The Directors present their report and financial statements for the year ended 31 March 2025.
Introduction
Kilbryde Hospice is a registered charity and a company limited by guarantee with no share capital. Its activities and operations are governed by our Memorandum and Articles of Association.
Our Board of Trustees meets bi-monthly. All Trustees give their time freely and are vetted in accordance with the Protection of Vulnerable Groups (PVG) Act. Trustees are also Directors of Kilbryde Hospice for the purposes of company law. They receive comprehensive performance reports from Kilbryde’s Governance Committees and Senior Management Team to equip them to fulfil their scrutiny and assurance roles in accordance with guidance from the Scottish Charity Regulator and Healthcare Improvement Scotland.
Trustees are pleased to present their annual report for the year April 2024 - March 2025, together with the audited accounts for 2024/2025. Trustees confirm these reports comply with the requirements of the Scottish Charity Regulator and of Companies House.
The Trustees who served From April 2024 up to the date of the financial statements are listed in Appendix 1.
Our Purpose
Kilbryde Hospice has been delivering palliative care support and services since 2008 and opened a 12-bed specialist inpatient unit in 2018. We take immense pride in our history and are deeply passionate about the care we provide. Our achievements are the result of the vision and dedicated commitment of the many staff, volunteers and supporters who have shaped Kilbryde Hospice into what it is today.
Vision, Mission, Values
During 2024, Kilbryde Hospice engaged all staff and volunteers in a comprehensive review of our Vision, Mission and Values. This brought renewed clarity and energy to our workplace and culture which is shaping our interactions with patients, carers, families, and communities. Our updated Vision, “Care for each individual, Compassion for all,” reflects our unwavering commitment to person-centred care that ensures no one is left behind, regardless of their background or circumstances.
Staff and volunteers co-created a new Mission statement that reflects our shared purpose: "Kilbryde Hospice is committed to excellence in the provision of compassionate care for patients, and their loved ones, facing life-limiting illness. Our team is dedicated to adding quality and meaning as they support patients in the final part of their life’s journey."
Our culture of compassionate care for all reflects our Values and commitment to being welcoming, honest, respectful and responsible:
Welcoming: We welcome everyone, regardless of background, with openness and kindness.
Honest: We act with integrity, sincerity, and openness at all times.
Respectful: We treat everyone with courtesy, dignity, and consideration.
Responsible: We are accountable and committed to doing what is right.
Strategic Plan
In April 2023, the Hospice published its Strategic Plan for 2023 – 2026 with five aims:
Excellent Quality of Care and Support
Effective Partnership working
Efficient and Sustainable services
Capable Workforce
Community Engagement
As we embark on meaningful engagement with the people of South Lanarkshire in the final six months of this strategic plan, we reflect with pride on the progress made against these five aims and the 45 related actions.
38 actions (84%) are complete. 7 actions (16%) are in progress.
Reflections on Progress 2024/2025
The last 12 months have brought both challenge and renewal, shaped by the realities of continuing financial pressures and new medical workforce challenges. Reduced capacity in NHS Lanarkshire’s specialist palliative medicine workforce has severely limited our ability to admit patients to our specialist inpatient unit, despite Kilbryde continuing to employ a full complement of specialist nursing staff for this unit. Medical workforce constraints are out with our direct control as palliative care medical staff in Lanarkshire are employed by NHS Lanarkshire. Kilbryde’s Board and Senior Management Team have escalated our concerns about this deeply regrettable situation. We continue to work constructively with NHS Lanarkshire executives and with South Lanarkshire Health and Social Care Partnership (HSCP) officials to restore our full inpatient capacity and ensure palliative care services in Lanarkshire can be more equitable and sustainable in future.
Despite these challenges, we have remained unwavering in our commitment to deliver exceptional palliative and end-of-life care across the communities of South Lanarkshire. Our hospice staff have redesigned our day services and further enhanced the range and reach of the community services we deliver, especially through Compassionate Lanarkshire (CLan), Connected East Kilbride and new social prescribing supports for wellbeing.
Key Achievements this year include:
enhanced training and development for staff and volunteers;
securing Investing in Volunteers accreditation;
achieving Cyber Essentials Plus certification;
installation of energy efficient solar panels;
adoption of data-driven decision making and benchmarking;
Better Impact evidence of circa £300,000 economic value from our volunteers;
strengthening our governance committee structure and recruiting for new Trustees;
planning to open 2 new retail shops and restructuring our fundraising team;
revamping our Kafe to open for extended hours and increased revenue;
securing funding for new community connector and creative arts wellbeing projects;
three locality cafes providing bereavement support;
delivering an award-winning End of life skills education programme in the community;
hosting a new community led support pilot with partners in East Kilbride.
These achievements span all five of our strategic aims as described below:
Excellent Quality of Care and Support:
We continue to deliver exceptional quality of care, as rated by Healthcare Improvement Scotland in their inspection report published in September 2022, and as regularly affirmed by Care Opinion posts and quarterly carer and stakeholder surveys. Our Clinical Governance committee meets quarterly and is supported by scrutiny and improvement activities driven by Clinical Quality, Audit and Risk, Infection Control and Medicines Management sub-committees. Kilbryde’s community outreach work has significantly expanded across South Lanarkshire in the last year. This is a testament to our dedicated staff and volunteer efforts in engaging with external stakeholders and raising awareness of our community services. Compassionate Lanarkshire (CLan), Carer Support, Bereavement support, Social Prescribing, Community Connector, Frailty, Day Services and Wellbeing teams continue to provide exceptional care in patients' own homes, in local community settings and from our hospice building. We have expanded our spiritual care team to provide person-centred spiritual care for people of all faiths and no faith. Our goal remains to connect with more individuals at an earlier stage of their life-limiting illnesses, enabling them, and their loved ones, to live full and meaningful lives for as long as possible.
In response to a reduction in NHS Lanarkshire’s specialist palliative care medical workforce, South Lanarkshire Health and Care Partnership instructed Kilbryde Hospice to reduce our inpatient capacity to six beds from December 2023. Although introduced as an urgent interim measure for three months, six of our 12 beds have remained closed to admissions throughout 2024-25 as the medical staffing challenges have persisted. This deeply regrettable action by NHS Lanarkshire and South Lanarkshire Health and Social Care Partnership has resulted in a significant number of local people being unable to access their preferred place of care and death. Kilbryde’s Senior Management Team and Trustee Board are working constructively with NHS Lanarkshire executives and South Lanarkshire Health and Social Care Partnership officials to restore our full inpatient capacity and ensure palliative care services in Lanarkshire can be more equitable and sustainable in future. Urgently restoring our inpatient capacity is crucial if we are to retain our specialist hospice workforce, maintain our excellent reputation within the community and secure continuing volunteer support and funding in the future.Skilled Workforce:
We are exceptionally proud of our volunteers who are active in most departments across the hospice, devoting their skills, experience, expertise and time for the benefit of all who use our services. Together with our staff, our volunteers form a fantastic and highly agile team who ensure we can provide vital hospice services for local people and their families. We estimate the economic contribution of our volunteers was circa £300,000 in the last financial year, based on those volunteers who record their hours on the Better Impact system. We continue to grow volunteering opportunities, and were pleased to receive the UK Investing in Volunteers award, recognising our best practice in volunteer involvement and management.
Staff recruitment was steady during 2024/2025 and our clinical vacancy rate remains low. In response to higher turnover rates in the Fundraising team, we completed a review to benchmark our current remuneration packages for this team within the marketplace. Our education and research committee considers the learning and development needs of our staff and identifies opportunities for rotational posts and attachments in collaboration with local universities and partner agencies. This year we have expanded education and development opportunities for our Inpatient Unit staff to build their capabilities for a new clinical model in future. Colleague Voice and Volunteer Voice groups will report to a new People Governance Committee to be established in August 2025. By continuing to support our workforce, we prevent burnout, enhance productivity, preserve valuable institutional knowledge and retain staff, enabling us to consistently deliver high-quality care and support.
Effective, Efficient and Sustainable Services:
Achieving this aim is crucial for efficient resource allocation and service delivery, to enable the hospice to operate effectively, and to continue to serve the local community well into the future. Throughout 2024/25 we maintained our analysis and scrutiny of Key Performance Indicators (KPIs) and introduced financial benchmarking with comparable UK hospices. We refreshed our governance structure to align more closely with our five strategic aims. We began an open recruitment process to appoint new Trustees and additional expert lay members to support our new Community Partnership Governance Committee and planned People Governance Committee. Kilbryde Hospice clinical staff have enhanced our capacity for remote consultations and meetings to increase efficiency. Furthermore, we are working with NHS Lanarkshire to introduce Hospital Electronic Prescribing and Medicines Administration (HEPMA). We successfully installed solar panels to provide a sustainable source of energy for the hospice building and achieved Cyber Essentials Plus certification for our IT systems.
Effective Partnership Working:
Collaboration with healthcare providers, community organisations, and partners is crucial to our Mission. The hospice strives to nurture these important relationships as we continue to work together for the benefit of our patients, carers, families and the local community. Maintaining effective partnerships ensures access to valuable resources and expertise, and optimises referrals, significantly enhancing the overall effectiveness of the hospice's services. The hospice Senior Management Team and Trustees have worked constructively with NHS Lanarkshire executives and South Lanarkshire Health and Social Care Partnership officials throughout 2024/25 to identify ways to maximise our inpatient bed capacity and occupancy in the face of NHS Lanarkshire’s continuing medical workforce challenges. This work continues into 2025/2026 with some recent encouraging progress in recruiting to additional specialist palliative medicine posts.
The hospice contributed to the development of a new Scottish Government Palliative Care Strategy, Palliative Care Matters for All, and to NHS Lanarkshire’s Palliative Care strategy which remains in draft. We have strengthened our partnerships with other Scottish hospices and jointly responded to the Scottish Parliament consultation on Assisted Dying. We have continued to engage regularly with local healthcare providers and community organisations and have strengthened our partnerships with South Lanarkshire College and the University of the West of Scotland.
Our staff contributed to Hospice UK’s national conference in November 2024 and regularly participated in online knowledge exchange with hospice colleagues across the UK and beyond. We warmly welcomed several international visitors to Kilbryde Hospice. Our engagement at local, national and international levels has enabled us to identify innovative clinical practice that will help us sustain high quality specialist palliative care services at Kilbryde in the longer term.
Focused Community Engagement:
Engaging proactively with the community is crucial for enhancing awareness of the hospice's services and mission, thereby enabling us to effectively reach and support those in need. We already have strong relationships with many community groups and organisations across South Lanarkshire and work well with our third sector partners. Our dynamic fundraising team continues to extend our reach to community supporters and potential investors.
In 2023, Kilbryde Hospice secured a second tranche of funding from the Community Mental Health & Wellbeing Fund for a new Social Prescribing Link Worker post. The hospice then secured funding from the Health and Social Care Alliance Scotland’s Self Management Fund in 2024. Using these two funding streams, the link worker has continued to work with Connected East Kilbride partners to deliver community support for social prescribing and wellbeing. In 2024, Kilbryde was granted funding for a Frailty Community Connector from South Lanarkshire’s Integrated Care Fund. This new support ensures people living with frailty and returning home from hospital have earlier access to community supports and hospice services. The post holder has built a strong relationship with the local geriatricians and their multidisciplinary team at University Hospital Hairmyres. We look forward to further dialogue with our staff, volunteers and community partners on options for a new clinical model of specialist palliative care when NHS Lanarkshire and the Health and Social Care Partnership are clearer on the scope and options to be considered.
Financial and Commercial Performance
The financial environment in 2024-25 proved very challenging to maintain and to further develop our services. Our principal income streams are from donations, fundraising, retail income and our existing agreement with South Lanarkshire Health & Social Care Partnership.
At the start of the financial year 2024/2025, the Kilbryde Board agreed to set a deficit budget in recognition of the ongoing economic challenges within the external environment and the adverse impact this may have on our fundraising activities. It is pleasing to report that actual performance of c.£78,000 deficit for the year was well below the budgeted deficit of c.£356,000 and better than last year’s actual deficit of c.£196,000.
Excluding pharmacy costs, expenditure for 2024/2025 was controlled at some £420,000 below budget, mainly from lower than anticipated staff and utility costs. Staff costs were some £320,000 below budget and in line with the actual level of expenditure in the previous year. This was mainly down to unfilled vacancies and a salary increase that was included in the budget, but did not commence until March 2025. Utilities and contract/ sessional fees were some £50,000 and £25,000 below budget respectively. Separately, the c.£108,000 variance in both pharmacy income and expenditure was mainly due to reduced inpatient activity.
As expected, income generation was challenging across each of the key fundraising areas. Our Events, Corporate and Community income were all below budget. However, this position was compensated by receipt of large legacy payments in 2024/2025, resulting in our overall income being c.£140,000 below budget. Annual income for 2024/25 in the supporting accounts was £4,139,322 with inclusion of an estimated contributed value from Volunteers of some £300,000. Last year’s reported income of £3,871,268 did not include the estimated value from our Volunteers.
Retail operations generated a loss of some £30,000 during the financial year. This area will be the subject of a full strategic review in 2025/2026.
The net impact of these figures is to leave the hospice with reserves to cover 4.3 months of expenditure moving into 2025-26. Based on conservatively assumed monthly cash losses of £40,000, our reserves would sustain the Hospice for just under three years of forecast operational activity.
In December 2024, the hospice received a letter from South Lanarkshire Health and Social Care Partnership, confirming a 5% increase in funding for the financial year 2024-25. Despite this increase, statutory funding as a percentage of our total expenditure has declined from 42.6% in 2020-21 to 38.8% in 2024-25. This downward trend places additional pressure on our fundraising team to generate alternative sources of income.
In March 2025, South Lanarkshire Health and Social Care Partnership confirmed a further 5% increase in funding for the financial year 2025-26. The letter stated that a decision on financial support for Lanarkshire Hospices beyond April 2026 will be informed by the ongoing review led by NHS Lanarkshire’s Hospice Pathways Senior Leadership Group.
Through the Scottish Hospices Leadership Group and Hospice UK, Kilbryde continues discussions with the Scottish Government to establish a consistent national financial framework for Scottish hospices.
Quality and Governance Framework
Kilbryde Hospice is a people-centred independent healthcare provider that continuously strives to excel in the delivery of its services within the South Lanarkshire communities. Our Quality and Governance framework supports continuous quality improvement and enables the Hospice to reflect, evaluate and decide how best to improve the services it provides for patients, carers, families, staff, volunteers and the South Lanarkshire communities.
We embrace quality in every aspect of our care and services. Everyone has a key role to play, including Trustees, the Senior Management Team, clinical and support staff, volunteers, community partners and third-party service providers. As an integrated team and a community-led hospice, we are committed to providing excellent compassionate care for all.
Overall performance is monitored through a suite of Key Performance Indicators for all aspects of our operational services. The circa 90 measures, currently covering Governance, Clinical Services, Finance, Fundraising, Facilities Management and Human Resources, are constantly evolving in line with our changing service profile. Targets and/or tolerance levels have been established for most of the measures, and these are based on national benchmarks, where available. These measures are presented to our bi-monthly Trustee Board.
Our Financial Governance Committee meets monthly to review performance and prepare financial reports to the Trustee Board. These reports review budgetary performance, cash flow status and provide projections of full year financial forecasts. The Financial Governance Committee undertakes a comprehensive review of financial governance including banking, cash handling, debtors, creditors and maintenance of financial procedures. Key financial information is input and produced via the Xero software package.
Any net income generated is not distributable to members and is transferred to the appropriate reserves to assist in meeting future capital expenditure, running costs and maintaining our existing assets. Our reserves are maintained at a level that reflects the inherent risk in the charity’s area of activity. Our Board monitors current and projected reserves in relation to the Hospice’s operational and financial plans to ensure funding is available to meet our continuing objectives. It remains our Board’s objective to establish a reserve that covers six months of hospice operating costs. Trustees continually review our level of reserves and consider the level of support required from the NHS, local community and grant making organisations to ensure provision of our full range of specialist palliative care services.
The Hospice places a great emphasis on audit and compliance across all aspects of our operations to maintain the highest level of quality of care for the patients, carers, families and communities we serve.
Our last unannounced inspection by Healthcare Improvement Scotland in September 2022, provided an external validation of these control processes and of our culture of continuous improvement in pursuit of sustained excellence. There is no complacency in any aspect of our performance. Our Quality Assurance Support Team (re-named) remains focused on improving service quality across all our processes through proactive work across all seven domains of Healthcare Improvement Scotland’s Quality Assurance Framework.
Risks
The Hospice monitors risk at all levels in the organisation and key risks are reported to the Board bi-monthly. The Senior Management Team have assessed the major risks which the Hospice is exposed to and Trustees are satisfied that systems are in place to mitigate those risks. Kilbryde envisaged and mitigated three main challenges for the hospice over 2024/2025:
1. Economic challenges: The economic conditions prevailing during the audited period have been particularly challenging. Uncertainties in financial markets, fluctuations in funding streams, and increased operational costs have posed significant challenges to the financial stability of hospices across the UK. Despite these challenges, we are pleased to report that Kilbryde Hospice has demonstrated resilience and prudence in its financial management. Through diligent stewardship, prudent budgeting, efficient resource allocation, and ongoing donor support, we have maintained a stable financial position throughout the audited period. Our ability to navigate these stormy economic headwinds reflects our commitment to fiscal responsibility and sustainability.
2. Operating environment: We have successfully managed to stay abreast of changes in the healthcare and regulatory landscape, embracing the new Healthcare Improvement Scotland Quality Assurance Framework and adapting to changing standards for Infection Prevention and Control and Safe Staffing. Work has been completed to gather evidence on our compliance with the expected standards resulting from the Health & Care (Staffing) (Scotland) Act. This came into force on April 1st 2024 and establishes legal requirements for safe staffing in all health and care services across Scotland. The back-fill exercise on Practicing Privileges is complete and has transitioned to business as usual.
3. Recruitment, engagement and retention of staff: Our greatest risk in 2024-25 has been the profound and continuing impact of the reduction in NHS Lanarkshire’s specialist palliative care medical consultant support for our In-patient unit. The reduced inpatient capacity and resulting uncertainty about future services have been particularly stressful for clinical staff and for the Senior Management Team. Despite these challenges, Kilbryde remain steadfast in our commitment to delivering compassionate and dignified care to those we serve. We will continue to adapt and innovate to ensure the long-term sustainability of our services.
Unfortunately, we experienced a greater level of staff turnover within the Fundraising team. In response, a benchmarking exercise was undertaken to compare the competitiveness of hospice fundraising salaries against marketplace data. The recommendations from the report were approved by Trustees and recruitment is progressing to fundraising posts within a restructured team.
Looking ahead
Kilbryde Hospice remains committed to its purpose, vision and mission.
Our Board of Trustees will continue to uphold our responsibility to maintain transparency, accountability and integrity in our financial management and governance practices.
All Trustees, staff and volunteers will continue to innovate, strive for excellence and advocate for policies and practice that ensure equitable access to high quality specialist palliative care services across Lanarkshire.
Our immediate priorities are to:
restore our inpatient capacity, working constructively with NHS Lanarkshire executives and South Lanarkshire Health and Social Care Partnership officers;
accelerate the redesign of a sustainable clinical model; and
continue to improve our fundraising and commercial activity and financial sustainability.
We look forward to hosting our open AGM in September 2025, followed by a series of community listening events and a public survey through October. Kilbryde Hospice will use these insights to update our communications plan and branding to better connect with all of our community partners and potential supporters.
The forthcoming community engagement is a valuable opportunity to shape our Strategic Plan 2026 – 2030, ensuring Kilbryde’s compassionate care remains deeply rooted in communities across South Lanarkshire, is accessible to all and fit for the future.
Appendix 1
The Trustees who served during 2024-25 and up to the date of the financial statements were:
Professor Anne Hendry (Chair – see note below)
Mr Dennis Gallagher
Mr Gordon McHugh (CEO & Vice Chair)
Lady Susan Haughey CBE
Mrs Gretta McGuinness
Mrs Christine Sherry
Mrs Fiona McKee
Miss Mhairi Jeffries (resigned on 29th November 2024)
Mr Ian Stewart (Treasurer)
Dr John Richards MBE (Company Secretary)
Right Honourable Mr Adam Ingram
Dr Hosney Yosef OBE
Mrs Margaret Boyd Cooper
At the start of the financial year, Dennis Gallagher stepped down from his role as the Chairperson of the Board of Trustees. We express our heartfelt gratitude to Dennis for his leadership and unwavering dedication during our formative years.
In April 2024, Professor Anne Hendry was unanimously elected as the new Chair of the Board of Trustees. Her deep experience in integrated health and social care brings fresh perspective to the Board and supports the strategic direction of the hospice.
Miss Mhairi Jeffries resigned as a Trustee during the financial year. The Board expresses its deep gratitude to Mhairi for her generous professional advice and support during her term as Trustee.
The results for the year are set out on page 12.
The directors, who also act as trustees for the charitable activities of the charity, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).
Company Law requires the Directors to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.
In preparing these financial statements, the Directors are required to:
select suitable accounting policies and then apply them consistently;
observe the methods and principles in the Charities SORP;
make judgements and estimates that are reasonable and prudent; and
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.
The Directors are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and the Companies Act 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
The auditor, Consilium Audit Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
The Trustees' report was approved by the Board of Directors.
Opinion
We have audited the financial statements of The Kilbryde Hospice (the ‘charity’) for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and the notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements:
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
In auditing the financial statements, we have concluded that the trustees' (who are also the directors of the company for company law purposes) use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
Other information
The Directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
In the light of the knowledge and understanding of the charitable company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors’ report, included within the trustees’ annual report.
We have nothing to report in respect of the following matters in relation to which the Charities Accounts (Scotland) Regulations 2006 (as amended) require us to report to you if, in our opinion:
the information given in the financial statements is inconsistent in any material respect with the Trustees' report; or
proper accounting records have not been kept; or
the financial statements are not in agreement with the accounting records; or
we have not received all the information and explanations we require for our audit.
the Directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemptions in preparing the Trustees' report and from the requirement to prepare a strategic report.
As explained more fully in the statement of Trustees' responsibilities, the Directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the Directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Directors are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Directors either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.
We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Act and relevant regulations made or having effect thereunder.
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
We ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations.
We identified the laws and regulations applicable to the company through discussions with directors and management and from our knowledge of the regulatory environment relevant to the company.
We assessed the extent of compliance with laws and regulations through making enquiries of management and inspecting legal correspondence.
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by making enquiries of management as to where they considered there was susceptibility to fraud and their knowledge of actual, suspected and alleged fraud.
To address the risk of fraud through management bias and override of controls, we tested journal entries to identify unusual transactions, we assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias and we investigated the rationale behind significant or unusual transactions.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence.
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
Use of our report
This report is made solely to the charity’s trustees, as a body, in accordance with regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity's trustees those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.
Consilium Audit Limited is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.
Investments
Raising funds
The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.
The notes on pages 16 to 32 form part of these financial statements.
The notes on pages 16 to 32 form part of these financial statements.
The notes on pages 16 to 32 form part of these financial statements.
The Kilbryde Hospice is a private company limited by guarantee incorporated in Scotland. The registered office is McGuiness Way, Hairmyres, East Kilbride, G75 8GJ, Scotland.
The financial statements have been prepared in accordance with the charity's governing document, the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006 (as amended) and "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)". The charity is a Public Benefit Entity as defined by FRS 102.
The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
The results of the subsidiary company The Kilbryde Hospice (Construction) Limited are not consolidated in these accounts on the grounds that after excluding intra group transactions and balances the subsidiary results are immaterial to the group. The subsidiary accounts can be made available on request or obtained from Companies House.
At the time of approving the financial statements, the Directors have a reasonable expectation that the charity has adequate resources to continue in operational existence for the foreseeable future. Thus the Directors continue to adopt the going concern basis of accounting in preparing the financial statements.
The Kilbryde Hospice is reliant upon continuing income streams from donations, fundraising and existing agreements with the NHS in order to both maintain the existing level of care provided to the Out-patient and In-patient care.
Unrestricted funds are available for use at the discretion of the Directors in furtherance of their charitable objectives.
Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.
Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.
Gifts in kind are valued at the directors estimate of the market value of the donation.
Revenue grants are recognised in the SOFA when the charity has entitlement. Capital grants are also recognised in the SOFA when the charity has entitlement; both are credited to reserves as appropriate to the nature and conditions attaching to the grant.
Fundraising income is recognised in the year of receipt except for event income where income is recognised when invoiced.
Income is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods and services provided in the normal course of business, net of discounts, VAT and other sales related taxes.
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably.
Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
'Raising funds' comprises all costs and expenses incurred to allow the various departments, staff members and volunteers to actively raise funds.
'Charitable activities' comprise all costs and expenses considered to relate directly to achieving and maintaining the objects of the Kilbryde Hospice, maintain quality standards and to comply with statutory obligations.
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.
Fixed asset investments represents the charity's dormant subsidiary and was initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investment is assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in net income/(expenditure) for the year.
A subsidiary is an entity controlled by the charity. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.
The charity is exempt from corporation tax on its charitable activities.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
Volunteer support
A significant amount of work is undertaken for the Kilbryde Hospice on an unpaid basis by volunteers. The financial value attached to the unpaid volunteer help has been quantified as circa £300,000 and is has been reflected in the financial statements. The Hospice recognises and acknowledges the significant reduction in running costs achieved by the provision of such help.
In the application of the charity’s accounting policies, the Directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
In preparing the financial statements the directors have made the following judgements:
Determine whether leases entered into by the charity as a lessee are operating or finance leases. These decisions depend on an assessment of whether the risks and rewards of ownership have been transferred from the lessor to the lessee on a lease by lease basis.
Determine whether there are indicators of impairment of the charity's tangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset.
Determine the recognition of income in accordance with its relevant conditions.
Determine the allocation of income and expenditure between funds.
The Hospice benefits greatly from the involvement of volunteers, who contribute their time and skills in a variety of roles including patient support, retail, fundraising and administration.
The Trustees recognise the significant value that this volunteer support brings to the organisation.
During the year ended 31 March 2025, the Hospice has developed systems to track and estimate the value of volunteer contributions. Based on this assessment, the Trustees estimate that volunteers contributed services with an indicative value of approximately £291,839.
Included within Gifts in kind is an amount totalling £275,000 (2024: £275,000) representing the market value of retail outlets gifted for use by the Hospice during the year.
Where a value can be assigned for gifts in kind this has been quantified as above.
Corporate, trust & foundation funding
Events
Campaigns
Community Fundraising
Charity shops
Lottery - 500 Club
Insurance income
Raising funds
Care for the terminally ill
Care for the terminally ill
Medical supplies
Premises expenses
Vehicle running costs
Vehicle leasing costs
Cleaning and clinical waste
Sessional staff
Accountancy and professional fees
Advertising and promotion
Postage, printing and stationery
Vehicle insurance
Sundry expenses
Insurance
Computer and software
Heat, light & rates
Ground rent
Telephone and internet
Governance costs includes payments to the auditors of £7,000 (2024 - £7,000) for audit fees.
None of the Directors (or any persons connected with them) received any remuneration or benefits from the charity during the year in connection as their role as Trustee.
One of the directors (or any persons connected with them) received remuneration directly from the charity during the year in connection with their role as CEO.
Authority for the remuneration was unanimously granted by the Board of Directors in line with the Charity's Articles of Association. The remuneration package totalled £95,843 (2024 - £94,071) which included employer pension contributions of £4,564 (2024 - £4,508).
No director received reimbursement of out of pocket expenses or for fundraising costs borne personally (2024 - £nil). The value of unclaimed expenses is considered to be immaterial.
The average monthly number of employees during the year was:
These financial statements are separate charity financial statements for 31 March 2025.
Details of the charity's subsidiaries at 31 March 2025 are as follows:
The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.
The charge to profit or loss in respect of defined contribution schemes was £101,970 (2024 - £101,639).
The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.
CLAN Funding
Compassionate Lanarkshire (CLAN) is a partnership project between Kilbryde, St Andrew’s, and Strathcarron Hospices which aims to support vulnerable and isolated individuals and carers in Lanarkshire affected by a life-limiting illness including cancer, chronic obstructive pulmonary disease, heart disease and progressive neurological conditions. The team offer emotional, therapeutic, and practical support to help individuals and families identify their strengths and build on them to achieve the best possible quality of life.
Project - General equipment & furnishings
General equipment & furnishings comprises generous contributions received from The Steel Charitable Trust, Sir Alec Black Charity, The Persula Foundation, Big Lottery Awards for All, St. James Place Foundation, The AMW Charitable Trust and more recently the Charities Trust of £4,800 all collectively to cover the capital cost of much needed equipment and furnishings throughout the Hospice building. The remaining fund balance relates to unspent funds of £9,9000 and the carrying value of the assets to be released in line with the depreciation policy over the useful life of the assets.
Project - Music & exercise therapy classes
A donation of £2,126 from Nicola Allison’s Netball Team which is specifically designated to support our ongoing music and arts therapy programmes. This donation is part of a continuing stream of support for these activities. The opening balance of restricted funds carried forward from prior year donors towards music and arts therapies was £1,000. These funds have been or will be used exclusively for the delivery and development of music and arts therapy services.
Project - Laundry Service
Laundry service grants are capital grants received from The Hobson Charitable Trust, Hospice Aid UK, WG Edwards, The Albert Hunt Foundation, The Boshier-Hinton Foundation, The Act Foundation and Margaret Murdoch all collectively received to cover the cost of laundry equipment to provide laundry services.
Project - Garden
Garden grants is a capital grant received from Morrison's towards the Garden area for patients and families visiting the Hospice.
Project - Wellbeing
The wellbeing project represents funding received from the Hunter Foundation to contribute the provision of virtual services to patients.
Arnold Clark
A van generously donated has been provided specifically for use within the operational activities of our charity shop retail network.
Donations
General restricted donations for various hospice activities to support our patients and their families.
Project - Fire Safety
Fire safety funding is income received from Older Active and a number of individuals for the Hospice to make improvements to the overall fire safety of the building.
The Robertson Trust
Funding of a Family Support Worker, offering emotional, social, and practical support during some of their most challenging times. The Robertson Trust's contribution has enabled us to maintain and enhance this essential service, ensuring that our patients and their loved ones receive the dedicated support they need.
Mental Health & Wellbeing
Our hospice has received generous funding from Voluntary action South Lanarkshire (VASLan) to partner with Healthy and Active East Kilbride to enhance our mental health and wellbeing services. This vital support will allow us to expand our offerings, providing crucial resources and compassionate care to patients and families in our community.
UK conference
Funding to support the attendance of clinical staff at the Hospice UK Annual Conference. This vital financial support enables our team to engage in professional development, learn about the latest advancements in palliative care, and network with peers and experts from across the country. The conference provides our clinicians with the knowledge and tools necessary to enhance the quality of care we offer to our patients, ensuring that we continue to meet the highest standards in hospice care. We are grateful for this opportunity to invest in the growth and expertise of our staff.
OU PNP
Our organisation received targeted funding from the Scottish Government to support Clinical Support Workers (CSWs) in undertaking nursing qualifications. This funding was instrumental in enabling CSWs to pursue further education and professional development, enhancing their skills and qualifications. The investment aligns with our commitment to fostering career progression within our team, ensuring high standards of care, and addressing the growing demand for qualified nursing professionals in our sector.
EK & Strathaven Locality Network
We were fortunate to receive funding from Voluntary Action South Lanarkshire as the lead partner, for the delivery of a variety of community Third Sector Networking events. The funding shared between Kilbryde Hospice and Healthy and Active East Kilbride allowed us to cover essential costs, ensuring these events were accessible to all, and furthered our mission to enhance community cohesion and well-being.
Kilbryde Prescribes (including Voluntary Action South Lanarkshire)
We received vital funding from VASLAN to support the employment of a Social Prescribing Link Worker. This funding has enabled us to enhance our community services by connecting individuals with non-medical support and activities tailored to their needs. The Social Prescribing Link Worker has played a crucial role in improving the wellbeing of our service users by helping them access local resources, social groups, and health services, thereby fostering a more holistic approach to community health and wellbeing. This investment has significantly contributed to our mission of building stronger, healthier communities.
Project Solar
We have received generous funding from Solwec Spirit of South Lanarkshire and Screwfix, in support of our solar panel project for the main hospice building. The support from Solwec Spirit of South Lanarkshire, known for its commitment to sustainability and community initiatives, has provided the foundation for this green energy endeavour. Complementing this, Screwfix contributed vital resources to allow us to advance this project. Together, these contributions will not only help reduce our carbon footprint but also ensure long-term energy savings, enabling us to allocate more resources to patient care.
Charitable Trust
Funding received from Yorkshire Building Society and Barclays for various improvements to our facilities and day services activities.
Transfers between funds
In the year ended 31 March 2025 a transfer of £19,800 (2024: £44,495) has been made from restricted reserves to unrestricted reserves in relation to funds which has previously been allocated to a vehicle purchase. However, as a vehicle was donated during the year this was no longer required.
In the year ended 31 March 2025 a transfer of £nil (2024: £20,000) has been made from unrestricted reserves to restricted reserves in relation to a Project Solar.
At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
The operating leases represent leases of premises and equipment from third parties. The leases are negotiated over terms of 1 to 100 years.
Voluntary Action South Lanarkshire
Voluntary Action South Lanarkshire is a charity, which is related to one of the trustees. During the year Voluntary Action South Lanarkshire awarded grants to The Kilbryde Hospice amounting to £54,717 (2024: £27,000). A balance of £30,104(2024: £nil) was outstanding at the year end.
Milne Management Ltd
During the year Milne Management Ltd, an organisation closely connected to a member of the Senior Management Team, provided security, retail and other services during the year totalling £326,912 (2024: £256,204). A balance of £26,036 (2024: £33,248) was outstanding at the year end.