RCPCH Annual report 2012

Annual Report

2012

RCPCH Annual Report 2012 | 01

Mission To transform child health through knowledge, innovation and expertise.

Vision A healthier future for children and young people across the world.

Values AUTHORITATIVE Recognised and respected as the authority on child health.

MODERN Committed to leading the way in paediatric research and training.

INFLUENTIAL Champions of the best health outcomes for children and young people.

PROFESSIONAL The standard bearer of child health within the medical profession.

Contents From the President

04

From the CEO

06

Child health

08

Setting and raising standards

10

Membership

12

Sustainability

14

People

16

Treasurer’s Report

18

Accounts

20

Administration

22

From the President As a Royal College we have consistently punched above our weight. Having been President for a third of my term I now see, at first hand, the extent to which that can be attributed to the incredible dedication, tenacity, creativity and skill of both the staff and members of the College.

This is the first annual Report in my three year term

neurological conditions who are surviving into

as President of the Royal College of Paediatrics and

adult life, as well as increasing numbers with asthma,

Child Health. Throughout the ensuing report you

epilepsy and mental health problems. Obesity has

will observe repeated references to the way in

become a major public health problem across the life

which we have worked with others to implement a

course. Trying to respond to these new pressures as

particular objective or another and my delight at this

Europe faces a period of huge economic turmoil and

could not be more genuine. as members and staff of

an ageing population is placing a profound strain on

the RCPCH will attest, if i have one, over-arching aim

our services.

through my Presidency it is about making the need for collaboration in children’s healthcare a reality.

In the UK many services for children have evolved serendipitously, sometimes through creativity and

Why do I say this? Throughout the UK, Europe and

innovation, and sometimes in the wake of adult

indeed the world, children’s healthcare faces greater

services. There has also been the most enormous

challenges than ever before. For example, with the

upheaval in the NHS in England, the implications of

Millennium Development Goals as an international

which are not even beginning to be known but which

focus, mortality rates in the Developing World have

will certainly not, in the short term at least, relieve

rightly driven an enormous amount of political energy

the pressure on primary care. Experts here have

amongst NGOs, governments and international

concluded that only a long-term freeze in other

institutions. But closer to home, the UK and some

public service budgets or massive tax increases would

comparatively wealthy European countries still

allow NHS funding to grow at historic levels neither

have unacceptably high numbers of preventable

of which are palatable. When one considers the

child deaths.

enormous burden created on health and indeed social

Equally, over the last few decades, as the industrialised world has seen an epidemiological shift away from infectious diseases, health systems

care services around the world by a vastly expanded ageing population, the scale of the challenge can easily seem insurmountable.

throughout the Developed World are facing different

Re-thinking our assumptions about how the world

challenges through a much greater burden of

works is not therefore simply a diverting distraction

non-communicable disease. As paediatricians we

but a moral and economic imperative. So just what

are looking after many more children with complex

are the implications for children’s services?

04 | RCPCH Annual Report 2012

The challenges, technological, systemic, cultural and

trainees will, of course, be paramount, since they will

intellectual are all great but none of them can be

be the ones who inherit the new models of care that

ducked because the hard reality is that we have to

are developed, in partnership with colleagues across

start to plan a fundamentally different way of

the children’s healthcare workforce.

delivering children’s healthcare.

As a Royal College we have consistently punched

Our ground-breaking work in developing standards

above our weight and, having been President for a

for acute paediatric care has set the benchmark

third of my term I now see at first hand the extent

against which services are delivered and we will

to which that can be attributed to the incredible

monitor and audit the extent to which these are being

dedication, tenacity, creativity and skill of both the

met. It is almost inevitable that this will throw up

staff and members of the College. I have no doubt

some difficult decisions such as how services are

that the remarkable list of successes that you will see

configured at a local and regional level and no doubt

included in the pages of this report are as a direct

tough choices will have to be made. In the year of

result of clinicians and staff increasingly working

the much awaited report in the Mid Staffordshire

more effectively together to identify and focus on

hospital we cannot either ignore the messages Robert

areas where we can improve children’s health,

Francis QC had for the profession about patient

however difficult and daunting that might be.

safety or the need to make sure that those raising

Equally we should never give up on aspiring to give

concerns about the quality of care are treated as

every child the right to the best possible health and

defenders of the NHS, not its enemies. We also need

that means that the future must be more about

to make sure that where good practice and innovation

what we can achieve together as one profession

are flourishing that we do all we can to help it spread

than what we will ever do alone.

and the RCPCH has an absolutely central role to play in driving improvement in the quality of children’s care, across the UK and wider world.

This drive for improvement needs to be underpinned by a solid body of research – an enterprising, curious spirit is the foundation stone of medicine and what happens on a daily basis in thousands of clinical settings all over the world is informed by the work carried out by academic and clinical researchers.

Above all, however, we can only meet these challenges by working together. That should not be taken as a standard platitude. Collaboration between nurses, GPs, physicians, psychiatrists and paediatricians, as well as many others in health, education, social and the voluntary sectors is essential if we are to provide more effective care and to speak with a unified voice on some of the societal factors which drive poor health. This is the only route by which to get sustained and consistently improving outcomes for children. Engagement from our

Dr Hilary Cass, President

RCPCH Annual Report 2012 | 05

From the Ceo Improving child health is at the very centre of our work and, during a tumultuous period of change in the nHS, the RCPCH has continued to respond to a rapidly changing landscape not only in england but the whole of the uK. ‘Historians will look back and define events in

work, and formed a part of the College’s own key

relation to this day; we will come to view things as

priority of reducing childhood obesity. Alongside

pre- or post-April 1 2013, in the same way that we

collaborative campaigning we have been working

currently think of before or after the establishment

tirelessly to raise awareness and to produce resources

of the NHS.’

to support healthcare professionals address what is

Max Pemberton, Doctor and Telegraph Columnist

fast becoming one of the greatest public health

The complexity and scale of the nHs reforms in

threats of our time.

england have been well documented. at their inception sir David nicholson, Chief executive of the nHs, expressed the need to build a system that can continue to deliver high-quality outcomes for patients. This focus on patient outcomes is very much in line with the College’s own ethos; improving child health is at the very centre of our work and, during a tumultuous period of change in the nHs, the RCPCH has continued to strive for excellence in this field.

Our strong leadership role across the other medical Royal Colleges and increased exposure through the media has ensured that issues such as obesity, mental health and improvements to children’s health services have climbed up the list of political priorities. The scoping phase for MindEd, a public-facing e-portal of learning and reference material to support the emotional wellbeing of children and young people, which will be hosted by the College, has recently

Despite the challenges the reforms have brought, the

been completed and we look forward to taking

College has made great strides to ensure the best

this innovative programme further over the

possible outcomes for young patients. The recent RCPCH publication ‘Back to Facing the Future’

coming months.

evidences our commitment to this, with summer 2012

We continue to support our members with training

spent auditing the ten standards for acute paediatric

and resources in order to equip them for their work

care presented in our seminal 2011 report ‘Facing the

on the front line of child healthcare. The inaugural

Future’. We’ve also successfully engaged child health

Specialty Trainee Assessment of Readiness for Tenure

teams around national audits, resulting in the

(START) assessments were held at the end of last year,

publication of three further national audit reports for

designed to be a formative experience for trainees and

diabetes, neonatal care and epilepsy, allowing us to

taking a new approach to measuring performance.

evaluate practice against national standards. The new

Responses from candidates and assessors alike have

research and policy audit tool, which allows all systems

been extremely positive, with trainees commenting

onto one universal platform, has been another welcome development this year.

that START was a ‘helpful experience’ and that the personalised feedback they received ‘was very useful

Last year also saw the launch of the Academy of

for determining my future priorities for training’.

Medical Royal Colleges (AoMRC) report on obesity,

The facility to apply online for exams has been

for which we led the policy, media and public affairs

another great improvement.

06 | RCPCH Annual Report 2012

The establishment and success of the Invited Review

improved the performance management of staff and the

service has given the College a mechanism with which

implementation of a performance dashboard has allowed

to support healthcare organisations and clinical teams

us to assess the College’s performance against our five

in resolving concerns about paediatric service provision,

strategic aims. The dashboard is reported on quarterly to

safety, training and compliance with standards.

the Senior Management Team and annually to Council.

Further afield, the Medical Training Initiative (Paediatrics) was launched to complement our objectives in the promotion of global child health.

Performance has been consistent for 2012 and with a number of KPIs being met; eight were revised significantly to establish further goals for 2012/13.

This initiative enables non-UK/EEA paediatricians to

Although we have made great progress in many areas

spend up to 24 months in training posts in the UK.

this year, there is still much to be done. Against the

This represents a vital way of sharing good practice

backdrop of historic political reforms in the health

and is mutually beneficial, feeding into our

sector, there is no room for complacency. You will

international strategy to improve the health and

notice as you read through this report that we are

wellbeing of all children. We also developed and

setting stretching targets for the coming months and

delivered the Child Health in Developing Countries

years to ensure we continue to deliver a first-class

programme for 60 participants in 2012, which aims to

service to members. Only with this level of ambition

equip paediatricians to manage the most common

and the continued efforts of our dedicated staff

presentations in low-resource settings, as well as

can we collectively work towards our mission of

providing insight into the nature of working overseas.

transforming child health through knowledge,

This course was designed to complement the College’s

innovation and expertise.

various volunteering programmes.

Internally, we have also had a productive year. In the last Annual Report we highlighted several significant financial issues, and over the last twelve months we have succeeded in stabilising and improving our finances by resolving the pension scheme liability.

In addition, we have had marked success with the expansion of our existing income streams and attracting new ones. This healthy income growth for 2011/12 can only strengthen our sustainability.

Last year I also described the restructure of the organisation. The much-improved Human Resources and Organisational Development (HR/OD) Team and creation of key performance measures have been instrumental in progressing toward the College’s fifth strategic aim - people. In order to enthuse and equip all College staff to deliver our organisational goals, we have devised, developed and implemented a comprehensive training prioritisation model. Between January and August 2012 the HR/OD team ran 53 staff training events, which equates to four days’ continuous and professional development per member of staff.

The introduction of a Leadership Development Programme for all middle managers in 2012 directly

Dr Chris Hanvey, CEO

RCPCH Annual Report 2012 | 07

Child health Goal: Play a key role in influencing children and young people’s health in the UK and internationally. Concentrating on this, as the primary focus of the College, will help to address child mortality, obesity and well being.

‘We said we would INFLUENCE CHILD HEALTH by raising our profile IN THE MEDIA By 10% each year – We did’ Child health is at the core of everything we do. Our members unrivalled knowledge and expertise means we are in a unique position to transform the health of children and young people. In 2012, RCPCH made significant advances in raising its profile as a leader for child health, improving paediatric health care and widening the platform for the voice and experiences of children, young people and their families.

The combined work of the Research and Policy and Communications Division is central to translating our five key policy priorities into real change.

• • • • •

A better NHS for children and young people Reducing child mortality and morbidity Tackling childhood obesity Child protection and Looked After Children Mental health

This work includes several major research projects reducing child mortality and morbidity and addressing obesity. Audits of national provision for neonatal care and diabetes have reached the stage for the release of key recommendations in 2013.

The Communications and Research and Policy Divisions work closely to promote the work of the RCPCH to the media and to those with political influence in order to drive policy change. Ensuring the College is at the centre of debates on child health across the four nations has been a key priority; this year media coverage in Wales and Scotland has 08 | RCPCH Annual Report 2012

grown significantly and policy events on service reconfiguration have proved successful. The RCPCH led the policy and communications activity following the 2012 launch of the Academy of Medical Royal College’s campaign report, ‘Measuring Up: The Medical Profession’s Prescription for the National’s Obesity Crisis.’ Members are kept informed and involved in campaigns through the RCPCH website, print publications and email bulletins.

The College is committed to working with children and young people directly and their involvement with our clinical guidance work and standard setting is invaluable. A new set of standards for the healthcare of young people in secure settings is due for release in 2013. Ten Children and Young Person networks have been established across the UK to inform the RCPCH Youth Advisory Panel, along with the launch of the RCPCH’s first UK-wide parents and carers’ group.

The College also involved patients and families with advocating for a participation infrastructure to influence the UK Children and Young People’s Health Outcomes Forum.

The RCPCH international strategy has made considerable progress with the creation of the ‘Global Links’ volunteers programme to recruit paediatricians to work overseas. The first volunteer placements are located in East and West Africa. This programme is supported by a DFID grant under the Health Partnerships Scheme administered by the Tropical Health and Education Trust (THET) to reduce under-five mortality in Africa.

2012 aCHieVeMenTs

in 2013 We Will:

• RCPCH establish a number of major research projects, including Child Health Review, Epilepsy12 and National Paediatric Diabetes Audit, along with the launch of new growth charts for school age children.

• Incorporate the voice and experience of children, young people and families in at least two specific RCPCH activities.

• An exceptional year for media and campaigns who not only exceed the media target by a considerable margin of 196%, but also successfully raise the College’s profile including coverage on Epilepsy12, and the President speaking to a number of media sources about the NHS and workforce issues.

• The obesity campaign attracts buy in from a range of stakeholders including parliamentarians, industry and the media. The College also hosts a number of well attended events at party conferences.

• RCPCH launch the International Global Links programme for working overseas.

• Ten Children and Young Person networks established across the UK to inform the RCPCH Youth Advisory Panel.

• Further raise the RCPCH’s profile in the media by 10% each year from its already high benchmark.

• Lead evidence-based campaigns to improve child health through five policy priority areas (improving NHS services, reducing childhood obesity, improving mental health, reducing mortality and enhancing child protection).

• Seek to drive up the quality of care provided for children through the development of a quality improvement framework, a series of audits, research activities and guidance and standards setting.

RCPCH Annual Report 2012 | 09

Setting and raising standards Goal: Ensure high standards of evidence-based training, assessment, education, clinical practice and service provision.

‘We said we would create educational programmes for enhancing the delivery of children’s services – we did’ The RCPCH has a responsibility to set and raise

for the treatment of children in emergency settings,

standards across paediatrics and child health.

was published in 2012. Other publications include

Last year the College developed a new range of

‘Consultant Delivered Care’, ‘Safeguarding 2012:

programmes and resources, published useful

Views from the frontline’ and revalidation supporting

guidance and standards, and audited service

information guidelines for paediatricians. The College

provision across the UK in order to achieve this.

continues to respond to consultation drafts of clinical

A number of key resources were produced to

guidelines and standards.

support practitioners and develop competence.

In order to examine current provision of care for

Five new events programmes and e-learning courses

children and young people, the RCPCH published

included the How to Manage series, Child Protection:

‘Facing the Future’, outlining 10 minimum standards

From Examination to Court and the Healthy Child

for acute, general paediatric care. In 2012 the College

Programme. Other courses continue to be wellreceived, with 140,000 sessions of the Safeguarding Children and Young People e-learning course completed by the end of August 2012.

Alongside the delivery of learning programmes, the RCPCH has published a range of guidance and standards to promote best practice and support practitioners, both in paediatric training and the wider field of child health. A revised edition of ‘Standards for Children and Young People in Emergency Care Settings’, which set out the minimum requirements

010 | RCPCH Annual Report 2012

conducted an audit of these standards. The RCPCH now aims to build on the progress made with ‘Facing the Future’ to support local service providers in finding the solutions to the challenges that they face.

Pass rates across all MRCPCH examinations have remained relatively stable. Along with an overall 5% increase in pass rates, the MRCPCH Clinical exam saw improved pass rates (increase of 10%) for overseas graduates taking the exam in the UK.

2012 aCHieVeMenTs

in 2013 We Will:

• RCPCH develop and deliver a range of programmes including How To Manage Child Mental Health in General Paediatrics, End of Life Care with the Child Bereavement Charity and an Obesity Management course.

• Set, monitor and improve the standards for training in the clinical practice of the children’s healthcare workforce.

• Department of Health provide £2.2M grant to RCPCH for Children and Young Person’s Improving Access to Psychological Therapies: e-portal consortium.

• Deliver a suite of blended learning programmes to assist the paediatric workforce develop competence to deliver children and young people’s services.

• Revalidation preparations, including enhanced functionality in online CPD diary and launch of PaedCCF, underway to ensure members are fully supported throughout the process.

• RCPCH undertake a UK-wide audit of paediatric care provision based on the 10 standards outlined in the RCPCH publication Facing the Future: A Review of Paediatric Services.

• Publish and promote seven key resources each year that will support practitioners in improving practice and delivering high quality care to improve child health.

• Set, monitor and improve the standards and guidelines for CPD and revalidation of the paediatric workforce.

RCPCH Annual Report 2012 | 011

Membership Goal: Develop and deliver a high quality service for members.

‘We said we would Expand our online capabilities for members – We did’ The RCPCH currently has 14,700 UK and overseas

Understanding member needs and nurturing debate

members and is reliant on member volunteers who

is essential to improving service provision. RCPCH

serve in many capacities to achieve its objectives -

conducted a range of member surveys, webinars and

on committees, working parties and as examiners, tutors, regional advisers and other roles. RCPCH aims to deliver a high quality service to members and in 2012 undertook a programme of assessment and new developments to achieve this.

roadshows to engage members and evaluate their needs. The results were used to plan service and communication improvements.

Media training for members has helped to build their

The RCPCH embarked on a college governance review

communication skills and the RCPCH Press Panel has

to ensure a College governance structure that is

expanded significantly as a result.

democratic, fit for purpose and enables more engagement with members. A Governance Review Project Board has been established and proposals are expected to be presented at the Colleges Annual General Meeting in 2013.

There are also new ways for members to express their views and opinions: • a ‘Have your say’ area on website at: www.rcpch.ac.uk/have-your-say • a ‘Your Views’ section in the member newsletter.

• social media interaction with RCPCH via Twitter

RCPCH redefined its existing communications for target audiences within the membership: • a new commissioning process and redevelopment for the member newsletter and RCPCH ebulletin.

• new Wales, Scotland, Trainees and Events ebulletins with opt in functionality embedded into the RCPCH website to allow members to control their preferences.

• new and improved welcome packs for new members and trainees.

and Facebook.

RCPCH planned and delivered new website services and online access facilities for members including: • an online exam registration system with sign up for new candidates in process.

• an online member records and website sign in facility allowing members to update their details, renew membership and access member-related sections of the RCPCH website.

012 | RCPCH Annual Report 2012

Planning of education materials and events entailed a more audience targeted approach in recognition of key member benefits and the paediatric career pathway. For example, the RCPCH ‘Effective Educational Supervision’ course has been designed for ST7s as well as consultants.

2012 aCHieVeMenTs

in 2013 We Will:

• The target of 4,500 online interactions for Year 1 is exceeded by 17%.

• Through the development and delivery of a high level recruitment and retention plan we will seek to increase the proportion of Members citing benefits provided as good or excellent.

• Online examinations process was launched in July 2012 resulting in approximately 700 trainees applying to sit the exam through this mechanism. RCPCH also introduced an online member records and website sign in facility with 14,596 members now registered to the RCPCH website.

• Expansion of training and revalidation support.

• RCPCH establishes a review of governance to provide a college structure in-line with best practice in the charity sector and to improve RCPCH member engagement.

• Increase associate membership and overseas membership.

• Review the College’s Bye-Laws and Royal Charter to facilitate effective governance and Member engagement.

RCPCH Annual Report 2012 | 013

Sustainability Goal: Protect, utilise and develop all the assets of the College.

At the same time, we will increase and diversify income streams.

‘We said we would generate £500K of grant funding for international work – We did’ For RCPCH to maintain its reputation as a leader in

The College attracted an additional 59% increase

child heath, its assets need to diversify and grow. As

in income via research and policy initiatives and

illustrated in the Hon Treasurer’s report (p18-20) the

is delivering audits within Epilepsy, Child Health

College saw a healthy income growth in 2012. This

Review-UK (CHR-UK), diabetes and neonatal work.

was achieved with increases in existing activity and

The outcomes from these audits will provide the

via new initiatives.

evidence to improve safety and practice within paediatric healthcare.

The College has held more events over the last twelve months which has resulted with income increasing by

The MTI Scheme relaunched in March 2012 and 46

24% compared to the previous year. The increase is

doctors have now been admitted to the scheme.

driven from a hugely successful 2012 annual

Direct links with several hospitals have already been

conference in Glasgow which attracted more

made. It is expected that this will facilitate a further

attendees, paying exhibitors and more sponsorship.

20-30 applicants per annum. The year on year increase for MRCPCH examinations continues with UK

RCPCH experienced significant international

candidates increasing by 21% and overseas candidates

expansion via the establishment of MRCPCH Part 2

increasing by 50% compared to 2010-11.

Clinical examinations in India and a DFID grant of £2million in the form of two grants under the Health Partnerships Scheme administered by the Tropical Health and Education Trust (THET) to reduce under-five mortality in Africa. The first grant funds a programme of ETAT+ intervention in 18 hospitals

The RCPCH head office is based in central London and houses an array of modern and well serviced meeting rooms. The College has marketed these rooms externally and income for the year was c.£100k, up by 60% from last year.

across Kenya, Uganda and Rwanda to benefit more

The positive outcome from the VAT case (as detailed

than 150,000 children. The second funds the

with the Treasurer’s Report on page 18 and assuming

development of a volunteering and exchange

no appeal is lodged) will mean the College is not

programme between the UK and countries in East

servicing an additional £2m mortgage.

and West Africa.

014 | RCPCH Annual Report 2012

2012 aCHieVeMenTs

in 2013 We Will:

• An excellent performance year for International Operations with £2.13M of grant income secured.

• Generate £50k income from international programmes including the Child Health in Developing Countries and Clinical Leadership programmes.

• The Finance Strategy targets a general fund surplus of £0.5m by 2014, and as a result of the 2012 performance the College is expected to achieve this.

• The year-on-year increase for MRCPCH examinations continues with MRCPCH Part 1 achieving an 11.5% increase compared to October 2011, and MRCPCH Part 2 gaining a 20% increase for the same reporting period.

• The total income for Research and Policy (including restricted and unrestricted income) has increased by 59%.

• Increase RCPCH reserves • Increase candidate numbers entering MRCPCH and/or DCH Examinations.

• Building on the success of RCPCH current research and policy activities, we will attract new income to drive quality improvement and raise standards of health care for children and young people.

RCPCH Annual Report 2012 | 015

People Goal: Put in place a progressive, enabling people strategy so all RCpCH staff are enthused and equipped to deliver the organisational goals and to establish the RCpCH as a responsive body which is quick to answer members’ needs.

To ensure that members and officers who engage directly with delivery of the RCpCH’s work are effectively supported.

‘We said we would implement a Leadership Development Programme and Performance Management Framework for the RCPCH – We did’ To ensure that members are supported and a high

In addition, RCPCH introduced a new online

quality service is provided, considerable emphasis

Performance Management Framework which includes

has been placed on our people and their

standards of behaviour for all staff. The electronic

professional development. In 2012 the RCPCH

system allows the HR/OD Department to dip sample

introduced a comprehensive training programme

on a regular basis to test full compliance and take

and ran 55 courses. The College also conducted a

action appropriately if the system is not being used

Staff Survey ‘Have Your Say’ with the results

correctly to performance manage staff.

published to all staff. Overall the findings of the survey were exceptionally positive and show that the College has an Engagement Index of 63.7% against a national average of 51.9%.

The College began development of a framework for managing people with the aim of producing a set of policies and procedures to underpin the line management of staff. Considerable progress was made throughout 2012 and in consultation with UNITE, the College’s recognised union, policies

The RCPCH introduced a Leadership Development Programme for all middle managers with 97% stating that the programme had met its aims and objectives.

Delegates of the Leadership Development Programme have worked on nine initiatives including reward and recognition, communications, corporate social responsibility, unlocking talent, volunteering and improving the intranet. The initiatives required delegates to actively seek the views of staff across the College.

ranging from Induction, to Conduct and Discipline,

The above activities are part of an action plan for

Performance Management to Recruitment and

RCPCH to be acknowledged as an employer of

Selection, Reorganisation and Redundancy to

choice and with the longer term aim to achieve

Parents and Carers were ratified and published.

Best Companies Standard accreditation.

016 | RCPCH Annual Report 2012

2012 aCHieVeMenTs

in 2013 We Will:

• The College successfully delivered its first Leadership Development

• Create an organisational

Programme for all middle managers with 97% of delegates

development programme that

reporting that they were Satisfied, Very Satisfied or Extremely

pays particular attention to

Satisfied with the programme.

mapping and enhancing the

• The College conducted a diagnostic against the Best Companies Standard and completes a range of activities, including the Leadership Development Programme, to address any gaps against the Standard.

• A fully costed training prioritisation model has been devised and implemented. From 1 January to 31 August 2012 the RCPCH hosted

skills of staff to address future College needs.

• Develop succession planning and talent management strategies for all business critical roles.

53 training events for staff which equates to 498 training days or four days’ continuous and professional development per member of staff.

RCPCH Annual Report 2012 | 017

treasurer’s Report FINANCIAL ISSUES During this successful year the College has also been dealing with one significant financial issue which has

suMMaRY aCHieVeMenTs 2011/12 •

A 9% increase in membership income to £3.6m. The number of members increased by 6% to over 14,000

•

The College made a general fund surplus of £0.4k restoring general reserves to a positive balance.

•

Assessment income increased by 14% to £3.4m.

•

Income from our trading subsidiary increased by 19% to £0.3m due to attracting more exhibitors at the annual conference and increased revenue from renting rooms within our building.

•

Events income is £0.5m, 24% higher than last year. The success is built on attracting more delegates to our Annual Conference and hosting a number of training events.

•

Restricted income is 73% higher than 2010/11 at £2.3m, which includes significant grants for Child Health Review-UK, epilepsy and diabetes audits.

•

The assessment team managed to gain efficiencies during the year which meant costs fell by £0.2m.

•

Education and Training secured additional income but also managed to reduce expenditure by £0.6m.

•

The events team hosted more events during the year but also managed to reduce costs.

•

Cash balances remain strong at £3.9m.

•

Our mortgage debt has reduced by £0.3m during the financial year which is significantly ahead of schedule.

arisen with the purchase of our Head Office in Theobalds Road.

The College purchased the property under the assumption VAT was not applicable. However, HMRC appealed against this decision and in February 2013 the Tribunal was held in Manchester.

The College has now been informed of the decision that RCPCH is not liable for the VAT. The full judgement states that on both counts: firstly, that the building was sold as a going concern and, secondly, relating to HM Customs & Revenue being out of time - were found in the College’s favour.

Whilst this is positive news, HMRC have approximately two months to appeal against this decision if they choose to. At the time of writing this deadline has not passed and no appeal has been lodged.

Financially, the outcome is that the College will not have the financial burden of servicing an additional £2m mortgage.

Further information: The full financial statements are available on the College website, www.rcpch.ac.uk. Transparency throughout the College is important and encouraged particularly within finance. If you have any queries about the finances of the College, please do not hesitate to contact me (rcpchtreasurer@gmail.com) or David Howley (david.howley@rcpch.ac.uk), Director of Corporate Services.

018 | RCPCH Annual Report 2012

INCOME The College has achieved income of £11.9m for the financial year 2011/12. This is an increase of 17% compared to the previous financial year and evidences the success the College has had in expanding current £12

income streams and attracting new ones. Figure 1 shows trends over a seven-year period.

£10

Within our general fund, income has increased by by 73% to £2.2m, An increase in restricted income

Million

10% to £9.6m and restricted income has increased

£8

is positive especially given the external market

£6

£4

where the availability of securing funds has

£2

contracted significantly over the last few years. £0

Designated income was £0.1m in the year the

2006

2007

2008

same as the previous year.

2009

2010

2012

2011

Year ended 31 August

EXPENDITURE Expenditure for the year is £10.9m - a decrease of £0.5m from 2010/11. This should be viewed in

Normal College activity

the context of a one-off pension liability cost of

One off pension liability

£12

£1.3m last year. Excluding this from the calculation

£10

would result in expenditure being £0.8m higher than 2010/11. Figure 2 shows the trend over the

Expenditure continues to be under control when allowance is made for the one-off cost related to the pension liability last year, normal expenditure year-on-year growth of £0.8m is in the context of year-on-year growth in income of £1.8m.

RESERVES Reserves for the College are £18.3m, an increase of £1.0m. The reserves are predominantly unrestricted totalling £16.3m, with restricted funds accounting for £2.0m.

Million

seven years.

£8

£6

£4

£2

£0

2006

2007

2008

2009

2010

2011

2012

Year ended 31 August

freehold property in London. This is not a concern for the College as we are a membership organisation with a very strong cash flow. We aim to keep reserves relatively low as it is not financially favourable for the College to hold reserves earning a low interest rate whilst holding a mortgage on its property at a higher

Whilst our unrestricted reserves are high at £16.3m,

interest rate. During 2011/12 the College increased its

our free reserves are low. This is due to the majority

mortgage payments to service this debt quicker.

of our unrestricted fund being tied up within our

Dr. David Vickers, Honorary Treasurer

RCPCH Annual Report 2012 | 019

Accounts Accounts for Financial Period 1 September 2011 to 31 August 2012 sTaTeMenT oF FinanCial aCTiViTies inCoMinG ResouRCes incoming Resources from Generated Funds Voluntary income Activities for generating funds Investment income incoming Resources from Charitable activities Assessment Events Education and Training Research and Policy Members’ subscriptions Publications Other income Total incoming Resources ResouRCes eXPenDeD Costs of Generating Funds Costs of generating voluntary income Fundraising Trading: Costs of goods sold and other costs Charitable activities Assessment Events Education and Training Research and Policy Other professional activities and standards Governance Costs Total Resources expended net Resources expended / net incoming Resources before Transfers Transfer between funds net Movement in Funds Fund balances brought forward Total Funds Carried Forward

BalanCe sHeeT

Fixed assets Tangible assets Investments

Current assets Stock of Publications and Merchandise Debtors Cash at bank and in hand Creditors: amounts falling due within one year net Current assets Total assets less current liabilities Creditors: amounts falling due after more than one year net assets Represented By: unrestricted Funds including Designated Fund Restricted Funds Permanent endowments Total Funds of the College

2012 Total £

2011 Total £

inCoMinG ResouRCes 2012 Activities for generating funds Assessment

25,035 310,713 32,802

19,715 260,051 34,825

3,384,368 471,846 846,119 1,692,489 3,649,332 962,750 530,957 11,906,412

2,978,501 380,878 729,903 1,067,757 3,358,589 1,009,468 240,244 10,079,931

Events Education and Training Research and Policy Members’ subscriptions Publications Other income

CAPTION

91,928

10,943 INDEPENDENT AUDITORS’ STATEMENT TO THE TRUSTEES OF THE ROYAL COLLEGE OF PAEDIATRICS AND CHILD HEALTH

50,056

45,775

2,036,566 303,979 1,305,056 2,099,367

2,240,885 366,559 1,922,279 1,905,442

5,007,660 55,334 10,949,94

4,867,080 40,640 11,399,603

(956,466) 0 (956,467) 17,323,622 18,280,089

(1,319,672) 0 (1,319,672) 18,643,294 17,323,622

GRouP 2012 £

2011 £

19,576,825 2 19,576,827

19,462,493 2 19,462,495

1,242,336 3,887,201 5,129,537

1,248,056 4,407,656 5,655,712

(3,058,594) 2,070,943

(4,236,881) 1,418,830

21,647,770

20,881,325

(3,367,681)

(3,557,704)

18,280,089

17,323,622

We have examined the summarised financial statements of the Royal College of Paediatrics and Child Health for the year ended 31 August 2012, which comprise the Summary consolidated statement of financial activities, and the Summary consolidated balance sheet set out on page 18 which are contained within the charity’s non-statutory summarised Annual Report. The summarised financial statements are non-statutory accounts prepared for the purpose of inclusion in the summarised Annual Report, as explained above.

This statement is made, on terms that have been agreed with the charity, solely to the charity, in order to meet the requirements of Accounting and Reporting by Charities: Statement of recommended Practice (revised 2005). Our work has been undertaken so that we might state to the charity those matters we have agreed to state to it in such a statement 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 for our work, for this statement, or for the opinions we have formed.

ResPeCTiVe ResPonsiBiliTies oF TRusTees anD auDiToRs The trustees are responsible for preparing the summarised financial statements in accordance with applicable United Kingdom law and the recommendations of the charities SORP. Our responsibility is to report to you our opinion on the consistency of the summarised financial statements with the full financial statements and the Trustees’ Annual Report. We also read the other information contained in the summarised Annual Report and consider the implications for our report if we become aware of any apparent misstatements or material inconsistencies with the summarised financial statements.

We conducted our work in accordance with Bulletin 2008/3 issued by the Auditing Practices Board. oPinion In our opinion the summarised financial statements are consistent with the full annual financial statements and the Trustees’ Annual Report of the Royal College of Paediatrics and Child Health for the year ended 31 August 2012.

For and on behalf of Kingston Smith LLP, Statutory Auditor, Chartered Accountants and Registered Auditors, Devonshire House, 60 Goswell Road, London EC1M 7AD

The Statement of Financial Activities and Balance Sheet are not the full statutory accounts but are a summary of the information which appears in the full accounts. The full accounts have been audited and given an unqualified opinion. The full accounts were

16,255,401 2,009,833 14,855 18,280,089

15,834,981 1,473,786 14,855 17,323,622

approved by the Trustees on 7 March 2012 to be updated and a copy has been submitted to the Charity Commission and Registrar of Companies. These summarised accounts may not contain sufficient information to allow for a full understanding of the financial affairs of the Company. For further information the full annual accounts, including the auditor’s report, which can be obtained from the Company’s offices, should be consulted..

020 | RCPCH Annual Report 2012

RCPCH Annual Report 2012 | 021

Administration RCPCH CounCil Members of College Council are the Trustees of the College. Council comprises the following people as at 14 November 2012 (except for those marked; Officer positions are those held as at 14 November 2012): The Senior Officers Dr Hilary Cass Professor Hamish Wallace Dr Ian Maconochie Dr David Vickers Professor Neena Modi Dr Simon Newell Dr Alistair Thomson Dr David Shortland

President (from 22 May 2012) Registrar (until 14 November 2012) Registrar (Clinical Standards Officer until 14 November 2012) Honorary Treasurer Vice President, Science and Research Vice President, Training and Assessment Vice President, Education Vice President, Health Services

Professor Terence Stephenson

President (until 22 May 2012)

National and Other Officers Dr Moira Stewart Dr Peter Fowlie Dr Iolo Doull Dr Kevin Windebank Dr David Long Professor Stephen Allen Dr Carol Ewing Dr Amanda Goldstein Dr Rollo Clifford Dr Amanda Thomas Professor Mitch Blair Dr Ian Maconochie

Ireland Scotland Wales Examinations Assessment International (the David Baum Fellow) Workforce Planning Training Continuing Professional Development Child Protection Health Promotion Clinical Standards (appointed Registrar on 14 November 2012)

Other Members of Council Dr Dr Dr Dr Dr Dr Dr Dr Dr

Ishaq Abu-Arafeh David Devadason John Gibbs Kevin Ives Donald MacGregor Nisar Mir Damian Roland Justin Warner Jane Wilkinson

Dr Ian Balfour-Lynn Dr Keith Dodd Dr Rajeev Gupta Dr Jeremy Kirk Dr Calum Macleod Dr Catherine (Angela) Moore Dr Robert Scott-Jupp Dr Alan Webb

Dr Keith Brent Dr Mark Dyke Professor Hilary Hoey Dr Joan LaRovere Dr William McGuire Dr Stuart Nicholls Dr John Trounce Dr Emma Webb

Dr Nicholas Croft Dr James Fraser Dr Javed Iqbal Dr Daniel Lumsden Dr Caro Minasian Dr Venkateswaran Ramesh Dr John Warner Dr Andrew Wilkinson

Senior Management Team: Dr Chris Hanvey Brian Dow Jacqueline Fitzgerald Julia O’Sullivan David Howley Louise Frayne

022 | RCPCH Annual Report 2012

Chief Executive Director of Communcations Director of Research and Policy Director of Education and Training Director of Corporate Services Head of Human Resources and Organisational Development

inTeRiM RePoRT 2013 A web-based imterim report will be available to view in Autumn 2013.

RCPCH Annual Report 2012 | 023

Annual Report

2012 Royal College of Paediatrics and Child Health Annual Report 2012 Copyright© 2013 Royal College of Paediatrics and Child Health Further copies available on request – contact publications@rcpch.ac.uk