London: April 12, 2023 – The Princess Alexandra Hospital NHS Trust has chosen to deploy MRI Software’s IFRS compliant lease and capital accounting solution to improve the day-to-day management and control of its asset base while ensuring compliance with the latest IFRS 16 lease accounting requirements, which became effective for NHS organisations from April 2022.
Employing 3,700 staff and serving a local population of around 350,000 people living in west Essex and east Hertfordshire, The Princess Alexandra Hospital NHS Trust provides a full range of general acute, outpatient and diagnostic services at The Princess Alexandra Hospital in Harlow, the Herts and Essex Hospital in Bishop’s Stortford, and St Margaret’s Hospital in Epping. Its extended catchment area incorporates a population of up to 500,000 and includes the areas of Hoddesdon, Cheshunt and Broxbourne in Hertfordshire.
The NHS Trust will replace its spreadsheet-based process to manage and report on its real estate leases under IFRS 16 using MRI’s lease accounting solution, MRI ProLease. Samuel Owusu-Ansah, Head of Financial Services at The Princess Alexandra Hospital NHS Trust, explains: “Whilst we do not have a large portfolio of leases, we wanted to set in place an efficient and streamlined process and system from the outset to manage our data centrally and to automate calculations, notifications and disclosure reporting. Having complete confidence in the accuracy of our lease financials and ability to meet audit requirements not just for this year but to maintain compliance in the long term is key.”
The Princess Alexandra Hospital NHS Trust will also be leveraging MRI’s artificial intelligence (AI) lease abstraction tool, MRI Contract Intelligence, to extract its lease information from documents, validate the data and feed it directly into the lease accounting software, saving valuable time and resource. Having real-time access to transparent, auditable data which can be traced back to the source contract will provide added peace of mind for IFRS 16 compliance.
The key influence in the Trust’s decision to select MRI Software was its ability to provide both a capital and lease accounting solution. Utilising MRI’s capital accounting software, Asset4000, the finance team will now also be able to record detailed information on its more than 4,000 assets consisting largely of land, property, furniture and medical equipment. Owusu-Ansah states: “It had become an onerous and time-consuming task to track our assets on a spreadsheet that offered only basic functionality. We required a more robust and automated solution and are excited to be able to manage depreciation calculations and run reports at a click of a button, which will accelerate our month- and year-end procedures considerably.”
Owusu-Ansah concludes: “MRI Software’s excellent track record in delivering proven lease and capital accounting software across the public sector made our choice simple, and we are now looking forward to working with the team over the coming weeks to get up and running to ensure full IFRS compliance.”
About MRI Software
MRI Software is a leading provider of real estate software solutions that transform the way communities live, work and play. MRI’s open and connected, AI-first platform empowers owners, operators and occupiers in commercial and residential property organisations to innovate in rapidly changing markets. MRI has been a trailblazer in the PropTech industry for over five decades, serving more than two million users worldwide. Through innovative solutions and a rich partner ecosystem, MRI gives real estate companies the freedom to realise their vision of building thriving communities and stronger businesses. For more information, please visit http://www.mrisoftware.com/uk.