Charities pay £500m - nearly 10 per cent - of London's annual health service bill of £5bn, according to research by the Charities Aid Foundation in association with the King's Fund. Most of the money was spent on hospice care, clinical equipment, refurbishment of hospitals and medical research. Around £214m came from grant-making bodies such as the National Lottery Charities Board to fund specific projects. Other charities invested a further £109m, while hospices and charitable hospitals provided services totalling £150m.Medical research was the biggest beneficiary, receiving £103m.