COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **CollegesWales / ColegauCymru Limited** ## **Annual Report and Consolidated Financial Statements for the Year Ended 31 July 2024** **Charity Number: 1060182 Company Number: 2832103 (England and Wales)** ColegauCymru CollegesWales Uned 7 Cae Gwyrdd Unit 7 Cae Gwyrdd Greenmeadow Springs Greenmeadow Springs Tongwynlais, Caerdydd CF15 7AB Tongwynlais, Cardiff CF15 7AB Ff: 029 2052 2500 T: 029 2052 2500 E: helo@colegaucymru.ac.uk E: hello@collegeswales.ac.uk W: www.colegaucymru.ac.uk W: www.collegeswales.ac.uk 1 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **_________________** ## **Contents** ||Page| |---|---| |Annual Report|3| |Report of the Independent Auditors|20| |Consolidated Statement of Financial Activities|24| |Consolidated Balance Sheet|25| |Company Balance Sheet|26| |Cash Flow Statements|27| |Notes to the Financial Statements|29| |Income and Expenditure Account|Appendix 1| 2 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **__________________** ## **ANNUAL REPORT & ACCOUNTS** The Directors/Trustees present their annual report and accounts of Colleges Wales/Colegau Cymru Limited and its subsidiary, fforwm Services Limited for the year ended 31 July 2024. ## **____** ## **Structure** ColegauCymru is a post-compulsory education charity that represents 11 further education (FE) colleges and 2 designated FE institutions (FEIs) in Wales. The company was originally incorporated in 1993 as Fforwm Limited and on 1 June 2009 changed its name to Colleges Wales/Colegau Cymru Limited and was branded as ‘ColegauCymru/CollegesWales’. Fforwm Services Limited was established in 1995 and is a wholly owned trading subsidiary of Colleges Wales/Colegau Cymru Limited. ## **_________** ## **Charitable Objectives** The ColegauCymru charitable objectives and principal activities remained throughout 2023-24 to promote the advancement of education for the benefit of the general public in Wales. ColegauCymru exists through its work to: - provide a forum for discussion on matters of common interest conducted by all the FE corporations and other institutions receiving post-16 funding from the Welsh Government; and - make representations on behalf of its members to persons concerned with education and its funding in Wales. The charity’s prime purpose is to raise the profile of further education with key decision-makers to improve educational opportunities for learners in Wales. ## **________** ## **Strategic Priorities** During the financial year, ColegauCymru focused on delivering the following key priorities: 1. Delivering services to members 2. Building a stronger sector 3. Advocate for system change 4. Developing the organisation ## **____________** ## **Achievements and Performance** ColegauCymru remains focused on building relationships with key stakeholders and ensuring it is a key influencer on issues affecting the sector. Key achievements are as follows: - Provided services to members to coordinate all strategic groups to respond to strategic priorities for the sector - Secured ongoing funding for 2024 – 2027 from Sport Wales for the Active Wellbeing project. - Delivered Active Wellbeing project activity to 5000+ FE learners in Wales. - Promoted sport and physical activity through new inclusive events including Rhyl Multisport, Ability Counts football and Power Up FE. - Successfully applied for Taith and Turing funding on behalf of the FE colleges 3 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 - Organised three pan-Wales staff mobility visits to: - Norway to explore the dual professionalism of vocational education and training (VET) staff - Slovenia to explore active wellbeing strategies to inform provision in Wales - Finland to gain insights into the governance, regulation and delivery of vocational qualifications - Continued to coordinate and support FE participation in the Global Wales 3 programme - Provided challenge and support to the 13 colleges as they all began to take on their new duties under the ALN Act and Code - Worked with ALN representatives from FEIs, LAs, health boards and others to promote consistency and partnership working - Successfully delivered a number of national online events attended by colleges, LAs and health boards to promote a clear and consistent understanding of post-16 ALN legislation. - Delivered a successful ALN Conference attended by ALN leads and staff from all 13 colleges - Held face-to-face ALN progress meetings with each of the 13 colleges and used information gained to advise colleges on policy and to produce a report for Welsh Government - Successfully delivered an ILS Conference attended by staff from 11 colleges - Continued to work closely with Welsh Government and joint trade unions to facilitate pay negotiations and ensure pay parity for the sector as part of our shared commitment to collective bargaining - Continued to support social partnership through the National Social Partnership steering group which has achieved significant successes through thematic projects with college and JTU representatives. - Represented the views of Members through numerous policy position statements and press releases. - Engaged with political parties, including providing one to one and group briefing on specific policy matters, and providing information to inform Senedd debates. - Submitted a range of consultation responses on policy matters affecting the decisions of post-16 learners in Wales to Welsh Government, Senedd Committees, and other bodies. Topics covered included: - Coleg Cymraeg Cenedlaethol’s role in providing advice to Medr - Commission for Tertiary Education and Research (now Medr) proposed list of trade unions - Commission for Tertiary Education and Research (now Medr) Regulation of higher education providers in Wales - Education and Training Foundation **-** Social value in the FE and Skills sector - Estyn’s inspection arrangements - Future Generations Commissioner Adwaith programme - QAA Access to Higher Education Diploma: Review of Regulation and Licensing - Qualifications Wales on the proposed approach to designating 14-16 qualifications - Senedd Children, Young People and Education Committee consultation on the Welsh Language and Education (Wales) Bill - Senedd Culture, Communications, Welsh Language, Sport and International Relations Committee – Impact of a flat budget for Welsh learners in post-16 education - Senedd Equality and Social Justice Committee - Anti-Racist Wales - Senedd Equality and Social Justice Committee - Disability and Employment - Senedd Equality and Social Justice Committee Inquiry into the Welsh Government’s Draft Child Poverty Strategy - Senedd Economy, Trade and Rural Affairs Committee - Green Economy - Senedd Economy, Trade and Rural Affairs Committee - Research and Development - Senedd Health and Social Care Committee - Prevention of ill health – obesity - Senedd Committees - Welsh Government Draft Budget Proposals for 2024-25 - Welsh Government - 14 to 16 learning under the Curriculum for Wales - Welsh Government draft mental health and wellbeing strategy - Welsh Government – ending homelessness in Wales - Welsh Government - Just Transition Framework 4 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 - Welsh Government - Modification to Specification of Apprenticeship Standards in Wales - `o` Welsh Government – Net Zero Skills - Welsh Government - Strategic Equality Plan 2024 to 2028 - Welsh Government - Proposed changes to the ACL performance measures methodology - Welsh Government - The structure of the school year - Welsh Government - Wales Essential Skills Toolkit (WEST) - UCAS - Allocating Tariff Points to Level 3 Apprenticeships - UK Parliament, Welsh Affairs Committee, Defense in Wales Inquiry - Held regular strategic dialogue meetings with Welsh Government ministers and officials, Senedd Members, and other key stakeholders. This included work to inform and peer review the transition into Medr. - Produced a range of media and communications products to communicate to key stakeholders both proactive and reactive positions. - Built on and developed positive working relationships with our stakeholders in Welsh Government, Medr, the Senedd, and the wider sector. Following the General Election, ColegauCymru wrote to all new and returning MPs, which has resulted in a number of campus visits across Wales. - Continued to work closely with key stakeholders from education and further afield; these include Welsh Government, Medr, Sport Wales, British Council, EWC, Estyn, Qualifications Wales, HEFCW, Learning & Work Institute Wales, NTfW (National Training Federation Wales), Coleg Cymraeg Cenedlaethol, Y Ganolfan Dysgu Cymraeg, and others and with colleges to ensure that the FE sector was well placed in terms of future developments. ## **Colleges Alliance** ColegauCymru has increased and deepened its engagement with the Association of Colleges led Colleges Alliance, including hosting a study visit at Coleg y Cymoedd. The visit allowed guests from England, Scotland, Northern Ireland and the Republic of Ireland to learn more about the development of Wales’ tertiary system and share best practice. ## **Annual conference** In October 2023, ColegauCymru delivered the first sector annual conference since the pandemic. The event, held in Cardiff, brought together nearly 100 senior sector leaders, with Welsh Government, the Commission for Tertiary Education (now Medr), and other key organisations. The conference was addressed by the then Minister for Education and Welsh Language, Jeremy Miles MS, and offered eight different workshops where delegates could delve deeply into a range of topics. The conference was generously sponsored by City and Guilds. ## **Projects** ColegauCymru has been successful in securing several externally funded projects aimed at enhancing the educational opportunities of learners in Wales. A summary of the range of projects undertaken by the charity, during the period, are outlined below. ## **International and European partnerships and learning opportunities** CollegesWales International supports the FE colleges in Wales to integrate international activities into the daily lives of learners and staff to enrich and enhance their teaching and learning experiences. In 2023/24, CollegesWales International successfully applied for Taith and Turing funding on behalf of FE colleges in Wales enabling them to provide training, work and volunteering opportunities overseas for FE learners, apprentices, college leaders, tutors and support staff. The amount of funding secured in 2023/24 to support these activities was just over £500,000. In addition, CollegesWales International continued to facilitate overseas mobilities through its existing Erasmus+ funding that was acquired in 2021/22. These projects have now finished. 5 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 This funding enabled hundreds of FE learners and staff to participate in experiences in 18 countries around the world including Argentina, Canada, Slovenia and Lesotho. Learners and staff from a wide variety of vocational and A level subjects participated in these opportunities. In addition to facilitating overseas mobilities, CollegesWales International also continued to coordinate and support activities for the FE colleges in the Global Wales 3 programme. The programme is a partnership between Universities Wales, ColegauCymru and Taith and provides a strategic, collaborative approach to international higher and further education in Wales. CollegesWales International continues to monitor the implementation of its Internationalisation Strategy with the support of the FE International Group that met three times in 2023/24. ## **Credit and Qualifications Framework for Wales (CQFW) Alignment Contract** Welsh Government funding was received from April 2023 – March 2024 and has a Grant Agreement in place for the period April 2024 to March 2025. The aim of this work is to provide advice and support to the Welsh Government to maintain alignment between the CQFW and the other qualification and regulatory frameworks within the UK and the European Qualifications Framework; establish recommendations, a policy position and systems/processes relating to the recognition of skills, qualifications and experience. During this reporting period, an additional grant agreement was put in place by the Welsh Government, for ColegauCymru to convene a study visit to Scotland to learn from their approach to the recognition of prior learning (RPL), with a view to ColegauCymru developing a set of high-level principles for RPL, which are to be submitted to Medr for consideration. ## **Active Wellbeing** In partnership with Sport Wales, ColegauCymru is the lead organisation for sport, physical activity and volunteering in FE colleges in Wales, raising the profile of sport, physical activity and volunteering through college projects and promoting elite college sport. During 2023/24 further development of Active Wellbeing at a strategic and delivery level continued, this included wider investment from Welsh Government via FE Mental Health and Wellbeing funding. ## 2023/24 Achievements - 5000+ FE learners participating in project funded activity - unique attendees. - WG mental health funding supporting growth in project workforce - Continued investment from Sport Wales agreed for 3 years 2024 - 2027 - Taith funded staff mobility to Slovenia linked to active wellbeing. - Representation on the CIMSPA workforce professional development board (Wales). - New partnership working with Welsh Cycling, Urdd, Street Games, Actif Gogledd Cymruand the Youth Sport Trust. - Inclusive events including FE MultiSport Pembrey (400+ staff and learners), further partnership work with the Welsh Alliance for Intellectual Impairment, the Outdoor Partnership and Disability Sport Wales. - New events delivered in North Wales including FE Multisport Rhyl and Ability Counts football competitions. - Agreement with Youth Sport Trust to host Gold Young Ambassador conferences in FE colleges at a regional level in the Autumn of 2024 - Representing the FE sector as part of Sport Wales CSAP programme moving to the regionalisation of community sport in Wales. 6 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **Additional Learning Needs** ColegauCymru, through the Welsh Government funded ALN project, has continued to support and challenge colleges as the implementation of the Additional Learning Needs and Education Tribunal (Wales) Act became live in September 2023. As part of this, the ALN (Additional Learning Needs) Implementation Lead has been employed. On behalf of Welsh Government, ColegauCymru is also coordinating a series of projects on provision and practice in the Independent Living Skills (ILS) curriculum area. We are working with representatives from colleges and wider stakeholders to further develop guidance on running supported internships as well as promoting effective quality systems within ILS provision. As part of the support to colleges as they implement the Additional learning Needs and Education Tribunal Act, ColegauCymru has: - Worked with Welsh Government officers, LAs, FEIs, health boards and the third sector within the four regions to promote partnership. - Delivered several on-line events to support the development of stakeholder policies. - Worked with partners to deliver training programmes that enhance the skills of ALN staff. - Worked with the sector and others to further improve a national ALN Pathfinder information website. - Produced and shared a number of key documents to support college ALN development. - Developed a Hwb project sharing site to ensure all colleges can benefit from the development work going on across the Principality. - Delivered ALN updates to governing boards and senior management teams across Wales. - Organised and chaired cluster groups to support colleges with current and future ALN developments. - Organised ALN legal workshops to support understanding of the ALN Code and regulations. - Chaired and supported an all-Wales LA Post-16 Officer group to support consistent approaches to meeting their new duties. - Organised and chaired an online IDP system user group to support the development of an effective management system for ALN. ## **Independent Living Skills (ILS)** ColegauCymru secured grant funding from the Welsh Government to continue the ILS project which supports colleges with the roll out of the new curriculum for ILS learners. The project enabled the development of a set of standards and guidance for the delivery of supported internships as well as further developing a system of peer review for ILS programmes based on RARPA principles. The project also enabled the continuation of the ILS network to support, share and develop effective curriculum practice and to prepare the sector for the implementation of the ALN Act. ## **Review of FE lecturer workload** ColegauCymru was awarded grant funding from the Welsh Government to continue its coordination of the national social partnership steering group as part of the FE lecturer workload review. The Workload Phase 4 Continuation project included the evaluation of local action plans, delivery and evaluation of three collaborative projects to improve well-being and workload, and a dissemination conference to share best practice and discuss future priorities for the partnership. ## **Demonstrating the Social Value of FE in Wales** The Welsh Government provided grant funding to ColegauCymru to commission research on the Social Value of the sector in Wales. Cwmpas and the Centre for Local Economic Studies completed the work, mapping the contribution of colleges against Wales wellbeing goals as set out in the Future Generations Act. The report has kick started a new relationship with the Office of the Future Generations Commissioner, and prompted deeper thinking in the sector about how we think about and measure social value. 7 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **________________________ Future Plans and Activities** ColegauCymru will continue to monitor and influence, as far as possible, the establishment of, and transition of the sector into the Commission for Tertiary Education and Research, following the passage of the Tertiary Education and Research (Wales) Act, along with other emerging legislation or proposals. Looking ahead to the Senedd elections in 2026, ColegauCymru will be developing and presenting sector positions to political parties to ensure that the voice of the post-compulsory sector is heard and reflected by the political parties. Since the UK has left the European Union, Wales must continue to maintain and develop international links by playing an active role in the continuous development of a common framework for improving transparency across European VET (Vocational Educational Training) systems. ColegauCymru has played an active role in advising the Welsh Government on developments in these initiatives to ensure that FE in Wales is connected to key regions and partner organisations across the world. ColegauCymru will continue to extend its international work through Taith, Welsh Government’s international exchange programme and The Turing Scheme, the UK government’s mobility programme. The FE sector will continue to participate in the Global Wales 3 programme and monitor the achievement of its key strategic priorities within its Internationalisation Strategy. ColegauCymru will continue to work closely with Sport Wales, key stakeholders, and colleges to ensure that the FE sector is well placed in terms of future developments around active wellbeing. This includes facilitating projects funded by Welsh Government to support FE settings to promote physical, mental, and emotional wellbeing through increased access to creative, sporting, and cultural activities. A key objective for ColegauCymru for 2023/24 will be to align our resources and activities to new and emerging challenges, including the continuing squeeze on public spending, the establishment of the new Commission for Tertiary Education and Research, and to the outcomes of the Vocational Qualifications Review, whilst also looking ahead to how we influence longer term system change. We will work closely with Members over the coming year to continue to enhance our relationships with Ministers and other key stakeholders. ColegauCymru will ensure that Members are kept abreast of key issues and remain focused on delivering Members’ priorities for the benefit of learners and the wider communities in Wales. As the representative body for FE institutions in Wales, we will continue to engage positively and constructively with the Joint Trades Unions, working in social partnership for the benefit of the FE workforce to provide the best possible learning experience for FE learners. The ColegauCymru Policy and Communications Team will continue to advocate for position change for learners and staff in the FE sector with consultation responses, briefings, correspondence to and meetings with Ministers, Cross Party Groups and working with a range of other policy organisations. As a corporate priority in providing public benefit, the Development team will continue to provide a programme that helps colleges to enrich and enhance the post-16 learning experience: by supporting the skills of the FE workforce; through international exchange opportunities; through initiatives that promote the active wellbeing for staff and learners; and by establishing a leadership programme to strengthen leadership capacity across the sector. 8 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **____________________ GOVERNANCE REPORT** The Governance Report provides information on the membership of its Board, Committees and recent changes to its constitution and governing document. ## **________________** ## **Board of Directors** Chair: Lisa Thomas CEO/Principal, The College Merthyr Tydfil JOINED: 1[st] August 2024 Appointed as Principal and Chief Executive at the College Merthyr Tydfil in September 2018 , Lisa joined the FE sector as Assistant Principal in September 2012. Lisa is a qualified teacher and has a Masters Degree in Education. Beginning her career as a History teacher in 1993 Lisa has over 25 years experience of leadership and management roles within secondary and further education and local government. As a member of Colegau Cymru, Lisa has represented the sector on a number of Welsh Government working groups and played an influential role in shaping government policy regarding the FE sector in Wales. She is also an experienced ESTYN peer inspector Email Address: Lisa Thomas Vice Chair: Andrew Cornish CEO/Principal, Coleg Sir Gar Joined: 1[st] August 2024 Andrew has been the CEO and Principal of Coleg Sir Gar and Coleg Ceredigion for the last six years. He has worked in Further Education for thirty years and held a number of different managerial and senior post holder positions at the College during that time. He has also worked as a Peer Assessor with Estyn for nearly 25 years, assessing the standards of other FE colleges throughout Wales. Currently, he is a member of the Public Service Boards in Carmarthenshire (Vice Chair) and Ceredigion and has worked within the South West Wales and Mid Wales regions on skills development for a number of years. Consequently, he sits on both Regional Learning Partnership (RLP) Boards in Carmarthenshire and Ceredigion. He is also a Board member of Global Wales, and chairs the Internationalisation Group for the Further Education (FE) sector in Wales. 9 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 Director/Trustee: Dr Paul Smart Joined: 4[th] January 2021 Chair of Governing Body Coleg y Cymoedd Having graduated with a BSc and PhD in Engineering, Paul commenced his career in Operational Research in both the gas and steel industries. He subsequently join the UK manufacturing plant of an International Cosmetics company where he worked as both a Production Manager and Head of Human Resources. He subsequently took a role in the company’s headquarters as UK Human Resources Director for Operations, Supply Chain, Finance and IT. After 37 years with the company, Paul has now retired but still works part-time as the company’s Pension Liaison Manager and as a Pension Fund Trustee. Paul has been a Governor of a number of FE colleges over a period of more than 20 years. ~~a~~ Email: pmsmart@aol.com Director/Trustee: Dr Rhiannon Evans Joined: 24th November 2021 Dr Rhiannon Evans is a Senior Lecturer at Cardiff University. She is a member of the executive management team at the DECIPHer research centre, which focuses on the health and wellbeing of children and young people. She has extensive methodological expertise in intervention evaluation research, particularly in educational settings. Her substantive research interests focus on the promotion of mental health and wellbeing, in addition to the prevention of self-harm and suicide. She had led and supported national evaluations of education-based mental health services, including MHFA training for secondary-school staff and counselling provision. She has a particular focus on educational and health inequalities, notably outcomes for care-experienced children and young people. Director/Trustee: Vicky Jones Joined: 1[st] August 2024 Vicky is Deputy Director at The Open University in Wales and has worked in a variety of roles across the institution over the last fifteen years. Within her current portfolio she is accountable for marketing, communications, Government relations, public engagement, Welsh language standards, partnerships and civic mission. Working within the four-nation context of the university, Vicky is a member of the senior leadership team, represents Wales on the UK-wide marketing and communications senior leadership group and has been voted onto Senate, one of the key committees in the OU’s governance structure. ~~i~~ 10 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 Director/Trustee: Iwan Thomas Joined: 1[st] August 2024 Chair of Governing Body Pembrokeshire College Iwan is currently the Chief Executive Officer of PLANED, a community development organisation that has been operational within Pembrokeshire for over 35 years, and under his tenure, has now expanded to both Carmarthenshire and Ceredigion supported by the new vision of ‘Empowering Communities’. Prior to joining PLANED, Iwan was the Regional Programme Manager for the North Wales Economic Ambition Board for five years leading on their Skills and Employment portfolio. In addition to a Master’s Degree in Business Administration, Iwan brings over 20 years of experience from working across the third and public sectors across Wales, working in partnership with many great people, organisations and projects. Director/Trustee: Donna Ali Joined: 1[st] August 2024 Donna Ali is the visionary founder of BE.Xcellence, a Community Interest Company with a mission to enhance the representation of individuals from Black, Asian, and minority ethnic backgrounds in influential positions. Her remarkable journey has been marked by accolades and initiatives aimed at fostering diversity and inclusion. In 2022, Donna received the prestigious 'Outstanding Achievement' award from Cardiff Metropolitan University's Department of Entrepreneurship, recognizing her commitment to diversity. She also earned the Black History Wales award in the same year and continued her journey by winning regional and national accolades for diversity and inclusion in 2023 at the FBS awards. No director/trustee held any shares in the company at any time during the year. 11 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **Committees of the Board of Management** Audit Committee Paul Smart (Chair), Lynda Astell, Kathryn Robson, and Sharon Bowker Search Committee Rhiannon Evans, Paul Smart The directors of the subsidiary company were appointed by and from ColegauCymru’s Board. On 30 November 2020 it was agreed to implement a common board for both companies and this was put into effect on 4 January 2021. The directors of the subsidiary during the period were as follows: Lisa Thomas (Chair) Andrew Cornish (Deputy Chair) Paul Smart Rhiannon Evans Victoria Jones Iwan Thomas Donna Ali All directors/trustees give their time voluntarily and receive no personal benefits from the charity. Any expenses reclaimed from the charity are set out in note 6 to the accounts. ## **_____________** ## **Roles and Key Responsibilities** The Board is collectively responsible for the charity’s long-term success. The Board sets its strategic aims, monitors the performance of management against the strategic aims, ensures good governance, assesses its risk appetite and ensures that effective controls are in place in the business. The Chair, Lisa Thomas plays a key role in helping to ensure a unified Board, facilitating meetings, and ensuring good governance. Meeting agendas are agreed in consultation with the Chief Executive and Company Secretary, although any Director may request that an item be added to the agenda. Beyond matters reserved for the Board, the Chief Executive, David Hagendyk has primary responsibility for managing the day-to-day affairs of the charity and is supported by a senior team in implementing strategy and day to day management. ## **________ Activities** During 2023-24, the areas of focus for the Board included: - Review of funding, income, and expenditure to continue to ensure the long-term financial sustainability of the organisation - Ongoing scrutiny of risk management within the organisation - Review and update policies to ensure compliance with current statutory responsibilities and a healthy, respectful, and innovative workplace. - Review of the risk environment and strategic priorities 12 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **__________** ## **Constitution** Under the Articles of Association, the Chair and Deputy Chair of the CEO/Principals’ Forum are appointed the Chair and Deputy Chair of the charity Board In accordance with the Articles of Association, the Board comprises of a minimum of five and a maximum of seven Trustees which may include up to two Chairs of Governing Bodies and up to three independent external professionals may be appointed Trustees. If there are vacancies, the Board may Co-opt Trustees provided the total number of Trustees does not exceed seven. The Chair and Deputy Chair shall serve concurrently for two years whilst the other Trustees may serve for an initial three years, with the option to seek re-appointment for a further three-year term. On the 2[nd] July 2024, the following resolution was proposed and passed by members at the AGM: members resolved to change the commencement date of the term of office for the Chair and Deputy Chair to run for a period of two years from 1[st] August, as it was in previous years. The Chair and Deputy Chair of the Board along with an independent member is responsible for conducting the CEO’s annual performance review and make recommendations to the Board, which is responsible for setting the CEO’s remuneration package. A common board for both the charity and its subsidiary company, Fforwm Services Ltd, this was put into effect from 4 January 2021. ## **_____________________** ## **Induction and Development** The Trustees receive an information pack on their legal obligations under charity and company law. To assist them in carrying out their duties all Trustees are expected to meet the standards set out in the charity’s Corporate Governance Code which aims to promote effective and well-informed governance. ## **________________** ## **Conflicts of Interest** All Trustees must immediately disclose conflicts, or potential conflicts, of interest. In addition, all Trustees sign an annual declaration and disclose their external appointments. Directors also let the Chairperson and Company Secretary know of any pending appointments and announce any new external appointments at the next Board meeting so that all the Board are made aware. ## **Board Meetings and Attendance** In 2023-24, the Board held three scheduled meetings. All directors are expected to attend meetings of the Board and of those Committees of which they are a member. When a Director is unable to participate in a meeting, the Chair will seek their views on key items ahead of the meeting so that these can be added to the discussion. ## **Risk Management** The Board has overall responsibility for the operation and effectiveness of the charity’s system of internal controls and risk management. The system of controls is designed to manage the risk of failure to achieve business objectives, and comprises audited policies and procedures aimed at identifying and managing the most significant risks faced by the business. The Trustees are of the view, that there is an ongoing process for identifying, evaluating and managing significant risks faced by ColegauCymru and that this process has been in place during the reporting period. Delegated authority is granted to the following committees that operate under agreed terms of reference: 13 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 _Audit Committee_ - to consider detailed reports together with recommendations for the improvement of systems of internal control and management’s responses and implementation plans. The Committee meets at least twice a year, with the external auditors in attendance if requested. _Search Committee -_ the role of the Committee is to review the succession planning for the Board and to put in place processes to address this, reporting to the main Board. The Board receives reports from the Chief Executive and the Audit Committee regarding risk and control issues and how it plans to address these issues. ## **_________** ## **Governing Document** ColegauCymru is a charitable company limited by guarantee and registered as a charity in January 1997. The company was established under a Memorandum of Association which establishes the objects and powers of the charitable company and is governed under its Articles of Association. In the event of the charity being wound up after all its debts and liabilities have been satisfied and there remains any property, it shall not be paid to or distributed among the Members of the charity. Instead, shall be given or transferred to some other charity or charities having similar objects which prohibits the distribution of its income and property by its charity members at or before the time of dissolution and if that cannot be done then to some other charitable object. ## **Statement of Inclusion** At ColegauCymru we are committed to fostering an inclusive environment where everyone feels valued and respected. Our mission is to support and uplift individuals from all backgrounds, identities, and circumstances. We believe that diversity enriches our community and enhances our ability to achieve our goals. We strive to: - **Promote Equality** : Ensure equal opportunities for all, overcoming barriers to participation and success - **Celebrate Diversity** : Recognise and celebrate the unique contributions of each individual. - **Create Safe Spaces** : Provide a welcoming and safe environment for everyone, free from racism, discrimination and harassment. - **Engage with Communities** : Actively engage with diverse communities to understand their needs and perspectives. - **Becoming Anti-racist:** Supporting Welsh Government in achieving an Anti-Racist Wales by 2030 Our commitment to inclusion is reflected in our policies, programs, and practices. We continuously work towards creating a more inclusive and equitable organisation, where everyone can thrive. ## **______________** ## **Financial Review** Total income for the group was £3,053,708, a decrease of £345,432. After a significant increase in 2022/23 the level of grant income received during the year fell due to the end the Erasmus + funded projects. The group made a surplus of £72,787 (2023: £297,904 ) after an actuarial adjustment on the defined benefit pension scheme. No pension asset or liability was recognised at the end of the year (2023 a liability of £15,000). 14 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **Principal Funding Sources** ColegauCymru continued to be funded through college subscriptions during the year at a level sufficient to meet the budgetary requirements agreed by the Board. ColegauCymru received £1,043,991 funding through membership subscriptions from colleges and FE institutions. ## **Going Concern Accounting Policy** The financial statements are prepared on a going concern basis. There are no material uncertainties in respect of the charity's ability to continue as a going concern for the foreseeable future, based on latest strategic plans and financial budgets. ## **Investment Policy** In 2008 it was agreed that an investment should be made by the purchase of new office accommodation more suited to the needs of the charity. This took place on 20 August 2008 and constituted a major investment for the charity. However, the trustees are conscious of the need to also retain funds in a liquid form to meet the requirements of the charity. The trustees closely monitor the returns of the investments. To secure the funds of the charity all investments are made in the company name. The trustees, having considered the operating requirements of the charity and the reserves policy have, for the purpose of security, adopted the policy of holding funds in an interest-bearing account with the balance placed on treasury deposit with a major clearing bank. The use of treasury deposits seeks to achieve the best interest rate possible for the funds with no risk attached, however due to the low rates of return on the current investment the policy is to be reviewed and updated. ## **Bank Fraud** In October 2023 the group were a victim of a targeted bank fraud. While working with the Fraud Team at Barclays to stop payments and recover funds taken our systems and security were scrutinised and additional measures put in place to enhance security. The incident was reported to Action Fraud, our insurance company and other interested parties. A legal firm was engaged to act on our behalf and ultimately a case was put to the Financial Ombudsman. Resolution of this matter has taken some time but in early 2025 we agreed a negotiated settlement with Barclays Bank. ## **Reserves Policy** ColegauCymru is aware of the need to secure its viability beyond the immediate future and is committed to providing services over the longer term. To continue long term operations, it is necessary to be able to absorb unforeseen setbacks and be able to take advantage of opportunities which arise. To fulfil this requirement, the retention of adequate reserves is necessary. The target level of reserves which ColegauCymru should retain have been identified as follows: 15 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 _Capital Reserve_ To provide funds to meet the existing and future capital spend requirements of ColegauCymru. _Critical/Closure Costs_ To retain funds to meet the closure costs which would be incurred should ColegauCymru cease operations. This would allow for a managed cessation of operations and includes - Notice of termination and redundancy costs for staff - servicing equipment leasing arrangements - building insurance - building maintenance until such time as a sale can be agreed. A two-year period has been allowed for the sale of the property. It is proposed that the sale of the property will be used to meet the liabilities of the LGPS (Local Government Pension Scheme) pension scheme. _Strategic Reserve_ To meet the costing requirements of any strategic items identified within the designated reserves _Free Reserves_ To target free reserves equivalent to six months operating costs, currently circa £605,000 to enable the completion or wind up of project and other activities The ColegauCymru reserves policy is regularly reviewed by the Board of Directors to assess the values contained within and to ensure that it continues to meet the requirements of the charity. The Directors have recognised the importance to the company of retaining the membership of all the colleges in Wales and of actively pursuing a policy to ensure that the group recognises the needs of the whole sector and caters for them appropriately. They also recognise the importance to the group of winning bids for projects and research, both in terms of prestige and financial security and conversely the risks involved if the company is unsuccessful in this area. ## **Action Plan** Where the level of free reserves falls below the target of six months operating costs then future budgets will be set at a level where it is possible to build up these reserves over an appropriate time period which will be set by the ColegauCymru Board. ## **__________** ## **Fforwm Services Limited** Fforwm Services Limited was established in 1995 and is the charity’s trading subsidiary. The company’s principal activities include the provision of service contracts in areas relevant to the parent charity, CPD training for college staff and the wider post-16 education sector, property and equipment leasing. 2023/24 was a further year of change for the organisation and saw a return of the Annual Conference for the first time since Covid 2019, this led to a small profit at the year end. The Directors welcomed this and are satisfied with the overall performance of the company during the year. In future the company plans to continue to participate in contracted services and utilise conference events to provide additional income whilst supporting its policy objectives. 16 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 The company made a profit for the year on ordinary activities of £5,525 (2023 loss :£2,429). A distribution of £1,000 (2023: £1,000) has been made to Colleges Wales / ColegauCymru Ltd. During the year the company’s turnover increased to £115,044 (2023: £66,543). Building on success of the 2023 Annual Conference a decision was taken to hold a larger conference in October 2024 which proved very successful. In October 2023 the companies in the group were victims of a targeted bank fraud. While working with the Fraud Team at Barclays to stop payments and recover funds taken our systems and security were scrutinised and additional measures put in place to enhance security. The incident was reported to Action Fraud, our insurance company and other interested parties. A legal firm was engaged to act on behalf of the group and ultimately a case was put to the Financial Ombudsman. Resolution of this matter has taken some time but in early 2025 we agreed a negotiated settlement with Barclays Bank. ## **Limited by Guarantee** The charity is limited by guarantee and as such has no shareholders. The members of the charityy are Wales’ FE colleges and institutions. ## **Related Parties** Due to the nature of the organisation, its membership and the composition of the Board, it is inevitable that transactions will take place with company members. All transactions involving subsidiaries, company members or organisations in which a member of the Board may have an interest are conducted at arm’s length and in accordance with the organisation’s financial regulations. ## **________________________________________________________________ DIRECTORS’ RESPONSIBILITIES IN RELATION TO THE FINANCIAL STATEMENTS** The Directors are responsible for preparing the Directors’ Report and the financial statements in accordance with applicable law and regulations. Company law requires the Directors to prepare financial statements for each financial year. Under that law that Directors have elected to prepare the financial statements in accordance with United Kingdom General Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit and loss of the company for that period. In preparing those financial statements, the Directors are required to: - select suitable accounting policies and then apply them consistently - make sound judgments and estimates that are reasonable and prudent - prepare the financial statements on a going concern basis unless it is inappropriate to presume that the company will continue in business The Directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the charity and to enable them to ensure that the financial statements comply with the Companies Act 2006 and the Statement of Recommended Practice, Accounting and Reporting by Charities (issued March 2005). 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. 17 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **________________________________________________________ STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS** So far as the Directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company’s auditors are unaware, and each Director has taken all the steps that he ought to have taken as a Director to make himself aware of any relevant audit information and to establish that the company’s auditors are aware of that information. ## **Auditors** Subject to a diligent tendering process, Bevan & Buckland were appointment external auditors for a three period, the ColegauCymru Board formally approved their appointment on 17 November 2022. This report has been prepared in accordance with the Statement of Recommended Practice: Accounting and Reporting by charities (issued March 2005) and in accordance with the provisions applicable to companies subject to small companies’ regime of the Companies Act 2006. By Order of the Board **Chair of the Board Date: 24.03.2025 Lisa Thomas** 18 Annual Report and Accounts for year ended 31 July 2024 COLEGAUCYMRU LTD I ANNUAL REPORT & ACCOUNTS 2023 – 2024 ## **_________________________________________________ REFERENCE AND ADMINISTRATIVE INFORMATION** |Company Number:|2832103| |---|---| |Registered Charity Number:|1060182| |Registered Office and operational address:|Unit 7| ||Cae Gwyrdd| ||Greenmeadow Springs| ||Tongwynlais| ||Cardiff| ||CF15 7AB| |Auditors:|Bevan Buckland LLP| ||Cardigan House, Castel Court| ||Swansea Enterprise Park| ||Swansea| ||SA7 9LA| |Solicitors:|Capital Law| ||Capital Building| ||Tyndall Street| ||Cardiff| ||CF10 4AZ| |Bankers:|Barclays Bank plc| ||PO Box 69| ||Cardiff| ||CF1 1SG| 19 Annual Report and Accounts for year ended 31 July 2024 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guaranteel INDEPENDENT AUOITORS. REPORT TO THE TRUSTEES OF COLLEGES WALES I COLEGAU CYMRU FOR THE YEAR ENDED 31 JULY 2024 Opinion We have audited the financial statements ol Colleges Wales I Collegau Cymru Limited Iparent charity) and ils subsidiary Ilhe 'group'l for the year ended 31 July 2024 which comprise Ihe Consolidated Statement of Financial Activities, the Consolidated Balance Sheet, Charity Balance Sheet. the consolidated Cash Flow Slalemenl and ngtes lo the financial Statements. inclLJding a summary of significant accounlirng policies. The financial reporting framework that has been applied in their preparalion is applicable law and United Kingdom Accounting Standards Iuniled Klngdom Generally Accepted Accounting Practice) In our opinion the financial statements- give a IrLJe and fair view of the stale of the group's and parent charilable cornpanys affairs as al 31 July2024 and of the group's incoming resources and application of resciurces, including ils income and expenditure. for the year then ended- have been properly prepared in accordance wilh United Kingdom Generalty Accepted Accounting Pfactice, and have been prepared in accordan￿ with the requirements of the Companies Act 2006. Basis for opinion We conducted our audit in accordance with International Standards on Audiling IUKI IISAS {UKII and applicable law. Our responsibilities under those standards are further described in the Auditors responsibilities for Ihe audit of the financial statements section ol our reporl. We are independent of the charitable company in accordance with the ethical requirements that are relevant ID our aLJdil of the financial slalements In the UK. including the FRC'S Ethi￿1 Standard. and we have fulfilled our other ethical responsibilities In accordance with these requirements. We believe thal the audit evidence we have obtained is sufficient and appropriate lo provide a basis for our opinion. Conclusions relating to going concern We have nolhing lo report in respect of the following matters in relation to which the ISAS {UKI require us lo report lo you where.. the Iruslees, use of the going concem basis of accounling in the preparation of the financial statements Is not appropriate", or the Iruslees have not disclosed in the financial statements any identified material uncertainties that may ca51 significant doubt about the charitable company s ability lo conlinue lo adopt the going concern basis of accounting for a period of at least twefve months from Ihe dale when the financial statement5 are aulhorised for issue. Othèr inlormation The Iruslees are responsible for the other Information. The other information comprises the information included in the annual report, other than the financial slalements and our Report of the Independent Auditors Ihereon. Our opinion on the financial statements does not cover the other infomiation and we do not express any form ol assurance condusion Ihereon. Page 20 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE TRUSTEES OF COLLEGES WALES I COLEGAU CYMRU FOR THE YEAR ENDED 31 JULY 2024 In connection with our audit of Ihe financial stalÈmenls, our responsibility is lo 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, based on the work we have perfomed. we conclude Ihal there is a material misstatement of this other information, we are required lo report that fact. We have nothing lo report in this regard. Opinion on other matter5 prescrlbed by the Companies Act 2006 In our opinion, based on the work undertaken in the course of the audit.. the information given in the Report 01 117e Truslees for the financial year for which the financial slalements 8re prepared is consislenl with the financial statements- and the Report of the Trustees has been prepared in accordance wth applicable legal requirements. Matters on which we are required to report by exception In the light of the knowledge and understanding of the group and ils environment obtained in the course of the audit, we have not identified material misstatements in Ihe Report of the Trustees. We have nothing lo report in respect of the following matters where the Companies Act 2006 requires us to report to you if. in our opinion.. adequate accounting records have not been kept or relums adequate for our audit have not been received from branches nol visited by us., or the financial slalemenls are not in agreement wilh the accounting records and returns., or certain disclosures of trustees. remuneration specified by law are not made; or we have not received all the inforrnalion and explanations we require for our audit.. or the Iruslees were not entitled to lake advantage of the small companies exemption from the requirement to prepare a Strategic Report or in preparing the Report of the Twstees. Responsibilities of trustees As explained more fully in the Statement of Trustees Responsibilities, the trustees (who are also the directors of the charitable company for the purposes of cotnpany lawl are responsible for the preparation of the financial statement5 and for being satisfied that they give a true and fair view, and for such internal control as the Iruslees determine is necessary to enable the preparation of financial slatemenls that are free from material misstatement. whether due to fraud or eThoT. In preparing the financial slalemenls. Ihe tnjslees are responsible for assessing the group's ability to continue as a going concern. disclosing, as applicable. matters related lo going concern and using the going concern basis of accounting unless the trustees elther Iniend io Ilquidaie ine charltable cornpany or lo cease operations. or have no realistic alternative bul to do so. Our responsibilities for the audit of the financial statements Our objectives are lo obtain reasonable assurance about whether the financial slalemenls as a whole are free from material misstatement, whether due to fraud or error. and to issue a Report Df the Independent Auditors that includes our opinion. Reasonable assurance is a high level ol assurance, bul is not a guarantee that an 2udil conducled in accordance wilh ISAS {UKI will always delect a material misslatemenl when it exists. Misslalemenls can arise from fraud or error and are considered material if. individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financi81 slatements. Page 21 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) INDEPENDENT AUDITORS. REPORT TO THE TRUSTEES OF COLLEGES WALES I COLEGAU CYMRU FOR THE YEAR ENDED 31 JULY 2024 Extent to whlch the audit was considered capable of dotecting irregularities. including fraud We identify and assess the Tisks of material migstatemenl of the Financial St2lement5, whether due lo fraud or error, and then, design and perform audil procedures responsive lo Ihose risks. including oblaining audil evidence that is sufficient and appropriate lo provide a basis lor our opinion. We discussed our au¢Jil independence complying with Ihe Revised Ethical Standard 2019 with the engagement team membeis whilst planning the audrt and continually monitored our Independence throughout the process. Identifying and assessing potential risks related to irregularities In identifying and assessing risks of material misstalemenl In respect of Irregularities, including fraud and non-compliance with laws and regulalioris, our procedures included the following". enquiring of management, including obtaining and reviewing supporting documentation, concerning the charity's policies and procedures relating lo. identifying, evaluating and complying wilh laws and regulations and wheiher they were aware of any instances of non-compliance., detecting and responding to the risks ol fraud and whether they have knowledge of any actual. suspected or alleged fraud; the internal controls established to mitigate risks related to fraud or non-cornpliance with laws and r6gulalions'. discussing among the engagement team how and where fraud might occur in the Financial Slalemenls and any potential indicators of fraud. As part of this discussion. we Identified polents.al for fraud In the following areas.. Management override of Cofklrols obtaining an understanding of the legal and regulatory frameworks that the group operates in, focusing on Ihose laws and regulations that had a direct effect on the Financial S¢alemenls or that had a fundamental effect on Ihe operations ol the group. The key laws and regulalions we considered in this context included the UK Companies Act and relevant lax legislation_ Audit response to risks identified In addilion lo ihe above, our procedures lo respond to risks identified included the tollowing- reviewing the financial sialemenl disclosures and lesling 10 5UPPOrting documentation lo assess compliance with relevant laws and regulations: enquiring of managemenl concefning actual and potential Iiligalion and claims," performing analoical procedures lo identify any unusual or unexpected relalionships that may indicate risks of malerial misstalemenl due lo fraud". reading rninules of meetings ol those charged with governance and ￿vie￿ng correspondence with HMRC.. and In addressing the risk ol fraud through rnan2gemenl override of controls. testing Ihe appropriateness of journal entries and other adiuslmenls.. assessing whether the judgemenls made in making accounting eslimales are indicative of a potential bias., and evalualing the business rationale ol any significant transactions that are unusual or outside the noimal course ol business. We also comrnunicaled relevant identified laws and regulations and potential fraud risks lo all engagetnenl team members and remained alerl lo any indications of fraud or non-compliance with laws and regulabons throughout the audit. A further description of OUT responsibilities for Ihe audrt of the financial slatemenls is located on the Financial Reporting Council's website al www.frc.org.uklaudilorsresponsibililies. This description forms part of our Report of the Independent Auditors. Page 22 # **COLLEGES WALES/ COLEGAU CYMRU LIMITED** # **(Limited by Guarantee) INDEPENDENT AUDITORS' REPORT** **TO THE TRUSTEES OF COLLEGES WALES/ COLEGAU CYMRU FOR THE YEAR ENDED 31 JULY 2024** ## **Use of our report** This report is made solely to the group's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the group's members those matters we are required to state to them in an auidtors' 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 group and the group's members as a body, for our audit work, for this report, or for the opinions we have formed. Michael Jones (Senior Statutory Auditor) for and on behalf of Bevan Buckland LLP Chartered Accountants And Statutory Auditors Ground Floor Cardigan House Castle Court Swansea Enterprise Park Swansea SA79LA Date: 24th March 2025 Page 23 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guarantee) CONSOLIDATED STATEMENT OF FINANCIAL ACTIVITIES AND CONSOLIDATED INCOME EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY 2024 Note Unrestricted funds Restricted funds Total 2024 Total 2023 INCOME AND ENDOWMENTS FROM Charitable activities- Annual subscriptions Advancement of education for the benefit of the general public Other trading activities= Commercial trading operations Investments 1.043.991 1,043.991 946.755 11,163 1.851.938 1.863,101 2,328,071 115,044 31.572 115.044 31,572 66.543 57,771 Total income 1.201,770 1.851.938 3,053.708 3,399,140 EXPENDITURE ON Charitabl8 activities Advancement ol eijucalion for the benefit of the general public Other trading activities: Commercial trading operations 906.753 1,877.927 2.784,680 2,992,891 100.929 100.929 69,345 Total expenditure 1.007.682 1,877,927 2,885,609 3,062.236 NET INCOME I IEXPENDITUREI 194.088 {25,9891 168.099 336,904 Taxation 12.312 {2.3121 NET INCOME 191.776 125.989} 165,787 336.904 Transfers between funds (25.989) 25.989 OTHER RECOGNISED GAINS I (LOSSES} Fair Value Adjuslmenl Actuarial gain I (loss) on delined benefit scheme 93.000 93.000 39,000 Net rnovement in funds in year 72.787 72.787 297,904 RECONCILIATION OF FUNDS Total funds brou hl fofward 15 1.935.276 1935 276 1,637 372 TOTAL FUNDS CARRIED FORWARD 15 2,008,063 2.008,063 1.935,276 The statement of financial activities includes all gains and losses in the year. All incoming resource5 and resources expended derive from continuing aclivilies. Page 24 ## **COLLEGES WALES/ COLEGAU CYMRU LIMITED** ## **(Limited by Guarantee) COMPANY NO. 2832103 CONSOLIDATED BALANCE SHEET FOR THE YEAR ENDED 31 JULY 2024** **----- Start of picture text -----**
|||||| |---|---|---|---|---| |2024|2023| |Note|£|£|£|£| |FIXED ASSETS| |Tangible assets|10|301,100|316,625| |Investment Property|11|275,000|275,000| |Aar|TTT|576,100|||591,625| |CURRENT ASSETS| |Debtors|13|672,685|977,217| |Cash at bank and in hand|1,807,706|1,474,266| |||2,480,391|2,451,483| |CREDITORS: amounts falling due| |within one year|14|{1,048,428)|(1,092,832)|———| |NET CURRENT ASSETS|i|1,431,963|1,358,651| |TOTAL ASSETS LESS CURRENT LIABILITIES|2,008,063|1,950,276| ||_|| |Defined pension scheme| |liability|20|-|-| |a| |TOTAL ASSETS||Cs|2,008,063|1,950,276| |Represented by:| |FUNDS| |Unrestricted funds|15|2,008,063|1,935,276| |Restricted funds|15|-|-| |} oT|__}|2,008,063|1,935,21s|I| **----- End of picture text -----**
These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small charitable companies. The notes on pages 29 to 55 form part of these accounts. The Financial Statements were approved by the Board of Trustees on 24th March 2025 and signed on their behalf by: Lisa Thomas - Director & Trustee Page 25 ## **COLLEGES WALES/ COLEGAU CYMRU LIMITED Company Number: 2832103 (Limited by Guarantee) CHARITY BALANCE SHEET FOR THE YEAR ENDED 31 JULY 2024** |||**2024**||2023|2023| |---|---|---|---|---|---| ||**Note**|£|£|**£**|**£**| |**FIXED ASSETS**|||||| |Tangible assets|9||**300,544**||315,548| |Investment Property|11||**275,000**||275,000| |Investments|12||**100**||100| ||||**575,644**||590,648| |**CURRENT ASSETS**|||||| |Debtors|13|**653,978**||1,033,271|| |Cash at bank and in hand||**1,784,184**||1,396,834|| |||**2,438,162**||2,430,105|| |**CREDITORS: amounts falling due**|||||| |**within one****_vear_**|14|**(1,027,659) **||(1,079,863)|| |**NET CURRENT ASSETS**|||**1,410,503**||1,350,242| |**TOTAL ASSETS LESS CURRENT LIABILITIES**|||**1,986,147**||1,940,890| |**Defined pension scheme**|||||| |**(liabilitvl / asset**|20||||(15,000)| |**TOTAL ASSETS**|||**1,986,147**||1,925,890| |**Represented by:**|||||| |**FUNDS**|||||| |Unrestricted funds
Restricted funds|15
15||**1,986,147**||1,925,890-| ||||**1,986,147**||1,925,sgoI| These financial statements have been prepared in accordance with the special provisions of Part 15 of the Companies Act 2006 relating to small charitable companies. The notes on pages 29 to 55 form part of these accounts. The Financial Statements _**were**_ approved by the Board of Trustees on 24th March 2025 and signed on their behalf by: · ••• Lisa Thomas - Director & Trustee Page 26 COLLEGES WALES I COLEGAU CYMRU LIMITED ILirnited by Guarantee) CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR E14DED 31 JULY 2024 Note 2024 2023 Net cash inflow I lourflow) from opgrating activities: 326.691 1875,1421 Cash flows from investing activities". Interest received Capital expenditure 7,854 11,1051 7.524 122,0151 Net castj used in investing aclAvilies 6.749 114,4911 Change in cash and cash equivalents in the re ortin eriod 333.440 1889,633) Cash and cash equivalents at the beginning of the re ortin eriod 1,474,266 2,363,899 Cash and cash equivalents at the end of the reporting period 1,807,706 1,474,266 Page 27 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limwted by Guaranlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 1 Reconciliation of net consolidated incoming resources for the year to net cash inf low from operating activities 2024 2023 Net income for the year before taxation Taxation Depreciation charge {Increase} l Decrease In debtor5 IDecreasel I Increase in creditors Interest received Defined benefit pension scheme contributions Defined benefit pension scheme operating cost Nel finance expenses from the pension scheme 168.099 12.3121 16.630 304.532 144.4041 17.8541 {211,000) 103,000 336,904 21,461 1640,269) 1561,714) {7,5241 1179,0001 155,000 Nel cash inflow I loufflow) from operaling activities 326,691 (875,1421 2 Analysis of changes in net fund At 31 July 2023 Cash Flows At31 July 2024 Cash al bank and in hand 2.363,899 {556,1931 1,807,706 Page 28 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 1 PRINCIPAL ACCOUNTING POLICIES Basis of Accounting and assessment of going concern The financial stalemenls of the charttable company. which is a public benefit enlity under FRS 102, have been prepared in accordance with the Charities SORP {FRS 1021 'Accounting and Reporting by Charities". Statement of Recommended Practice applicable lo chaiities preparing their accounts in accordanc& w41h the Financial Reporting Standard applicable in the UK and Republic of Ireland {FRS 1021. {Effeclive 1 January 2019), Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic ol Ireland, and the Companies Act 2006. The financial slatemenls have been prepared ur¢der Ihe historical cost convention with the exception of inveslmenls which are included at market value. The financial statements are prepared on a going concern basis. There are no material uncertainties in respect of the group's ability to continue as a going concem for the foreseeable future, based on lalesl strategic plans and financial budgets. Basls of consolidation The financial slalemenls consolidate the results of the charity and its wholly owned subsidiary Fforwm Services Ltd on a line-by-line basis. A sepaiale Slalemenl of Financial Activities and Income and Expenditure Account for the charfly has not been presented Decause Ène cnarlty Mas taken advantage ol the exemption afforded by section 408 of the Companies Act 2006. Incoming Resources All income is recognised in the Statement of Financial Activitses On￿ the charity has entitlement to the lunds. any perforrnance conditions attached to the itemlsl of income have been met. it is probable that the income will be received and the amount can be measured reliably. Income frorn government and other grants. whether 'capital' grants or 'revenue' grants. is recognised when the charity has enlillemenl lo the funds. any performance conditions all8ched lo the grants have been met, il is probable that the Income will be received and the amount can be measured Teliably and is not deferred. Subscription fee incorne is accounted for on an accruals basis and is recognised in the period ol membership. Income from courses and conferences is recognised when Ihe respective event OCCUTS. Interest on funds held on deposit is included when receivable and the amount can be measured reliably by the charity-, this is normally upon notification of the inlerest paid 01 payable by the bank. Allocation of support Costs Support costs are those functions Ihat assist the work of the charity but do not directly undertake charitable activities. Support C0515 include back office costs, finance. personnel. payroll and governance costs which support the Charity's aclivilies. These costs have been allocated between cost of raising funds and expenditure on charitable activities. Resources expended Expenditure is recognised on an accrual basis as a liability is incurred. Charitable expenditure comprises those costs incurred by the charity in the delivery of ils activities, and its services for it5 beneficiaries. Governance costs include those costs associated with meeting the conslilulional and slalulory requirements of the charity and include the audit fee and costs linked lo the strategic management of the charity. All costs allocaled between the expenditure categories of Ihe SOFA are on a basis designed lo reflect the use of ihe resources. Support costs are those functions Ihal assist the work of the charity but do not directly Ljndertake Charitable activities_ Support costs include back office costs. finance. personnel, payroll and governance costs which support the Charity's activities. A note of these costs are detailed in note 6. Page 29 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 PRINCIPAL ACCOUNTING POLICIES- (Conyd) Tangible Fixed Assets The cost of tangible fixed assets is their purchase cost, together with any incidental costs of acquisition. Depre¢iation is calculated so as to write off the cost of tangible fixed assets, less their estimated residual values, on a straight line basis over Ihe expected useful economic life of the assets as follows.. Buildings CDmputer equipment Office equipment Fixiures and fittings 50 years. 3 years 5 years 10 years Buildings The building was subjecl to an impairment charge in 2014115. FollowiF)g this the revised value ol the property was depreciated on a straighl line basis over the remaining 43 years. Investment property Mixed use property are required lo be shown behveen freehold property and Investment propety, the proportion of Investment property has been valued based on a square fool use and then adjusted to its fair value. Investment propety are measured inilially at cosl. including transaclion costs. Subsequent to initial recognition, investment property is shown at most recent valualion. Any aggregate surplus or deficit arising from changes in fair value Is recognised in the statement of comprehensive income. Inveslrnenl properties are derecognised when eilher they have been disposed of or when the investment property is permanently withdrawn from use and no future economic benefit is expected from its disposal Flnancial Instruments The group has elected to apply the provisions of Section 11 'Basic Financial Instruments. and Section 12 'Other Financial Instruments Issues, of FRS 102 lo all of its financial instruments. Financial instruments are recognised in the CoMpan￿S balance sheet when the company becomes party lo the conlractual provisions of the insltument. Financial assets and liabilities are offset. wlh the net amounts presented in the financial slalemenls, when there is a legally enforceable right to sel off the iecognised atnounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. Baslc Financial Assets Basic financi31 assets. which include debtors and cash and bank balances. are inilially measured at transaction price including transaction costs and are subsequently carried at amoriised cost Using the effective interest method unless the arrangement conslilules a financing Iransaclion, where the transaction is measured at the present value of the future receipts discounted al a market rale ol interest. Financial assets classified as receivable within orke year aTe not amortised. Classification of Financial Liabilities Financial liab11ities and equity instrumenls are classrfied according lo the substance of the contractual arrangements entered into. An equity instrument is any Gonlracl that evidences a residual interest in the assets of the company after deducting all of its liabilities. Page 30 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 PRINCIPAL ACCOUNTING POLICIES- {ConVd} Basic Financlal Liabilrties Basic financial liabilities. including creditors. bank loans and loans from fellow group companies are initially recognised at transaction price unless the arr2ngemenl constitutes a financing Iransaclion, where the debt instrument is measured at the present value of Ihe future payments discounted al 8 market rate of interest. Financial liabilities classified as payable wilhin one year are nol amortised. Debt instruments are subsequently carried al amortised cost. using the effective interest rale method. Trade creditors are obligalions to pay for goods or services that have been acquired in the ordinary course of business 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-currenl liabilrties. Trade creditors are recognised initially at transaction price and subsequently measured at amoru.sed cost using the elfective interest method. Pension Pension costs are accounted for on the basis of charging the cost of providing pensions over the period during which the company benefits from the employees services. The Charity pension scheme is a defined benefits scheme. The Charity participates in the Cardiff and Vale of Glamorgan Pension Fund, a defined benefit scheme for employees. The assets of the scheme are held separately from those of the charity. Many of the key rinancial assumptions are derived from the yields on AA rated corporale bonds or from yields on Government bonds with the objective of reflecting a best estimate of future experience. The fund is valued al least every three years by a professionally qualified independent acluary with the rates of contribution payable being determined by the Iruslees on Ihe advice of the actuary. In the intervening years. the actuary reviews the progress of the scheme. Pension scheme assets are valued at the market value at the balance sheet date. The pension scheme deficit is recognised in full on the balance sheet. Fund accounting The various types of funds for which the Charity is responsible and which require separate disclosure. are as follows.. Unrestricted funds Funds which are expendable at the discretion of the directors in furtherance of the objects of the charity. Restricted funds Subscriptions and grants INhose use is restricted to purpose5 specified by the donor. Such purposes are wilhin the overall aims of the organisalion. Irrecoverable VAT All resources expended are elassrfied under activity headings that aggregale all costs related lo the category. Irrecoverable VAT is charged aaainst the category of resources expended for which il was incurred. Forelgn Currencies Assets and liabiltties in foreign currencies are translated into sterling at the rales of exchange ruling at Ihe balance sheet dale. Transaclions in foieign curiencies are translated into steding al the rale of exchange ruling at the dale of Iransaclion. Exchange differences are taken into account In arrtving at the operating result. Page 31 COLLEGES WALES I COLEGAU CYMRU LIM￿ED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 PRINCIPAL ACCOUNTING POLICIES - Iconvdl Leases Rentals receivable under operating leases are charged to the income statement on a slraighl-line basis over the term of the relevant lease. Legal Status of the charity The Charity Is a company limited by guarantee and has no share capital. In the event of the charity being wound up, the liability in respect of the guarantee is limited to £1 per mefflber of the charity. Taxation The Company is registered as a Charity and as such lax exemption applies lo the income arising from and expended on charitable activities and lo ils investtnent income and gains. Its subsidiary company, Fforwm Services Limiled. gifts an element of any surplus to its holding company. Any surplus remaining is subject lo corporation tsx. Employee Benefits The group provides a range of benefits to employees, including paid holiday arrangmenl and defined benefit and delined contirbulion pension plans_ Short term benefiis, including holiday pay and other similar non4nonelary benefits, are recognised as an expense in the period in which the service is received. Accounting •Étimat&& and koy jud99m•nts Crilical accounting eslitnates and judgements - Ests"mates and judgements are continually evaluated and are based on historical experience and other factors. including expectations of future events that are believed to be reasonable under the circumslances. The estimates and assumptions that have a 5ignific3nl risk of causing a material adjuslmenl lo the carrying amounts of assets and liabilities within the next financial year are as follows". li} Retirement benefit liabilities - as disclosed in note 20. Year end recognition of the liabililies under these schemes and the valvalion of assets held to fund these liabilities require a nurnber of significant assumptions lo be made, relating lo levels of scheme membership. key financial market indicators such as inflation and expectations on future salary growth and asset returns. These assumptions are made by the Charity in coniunclion with the scheTnes' actuaries. For each 0.1 /0 change in the discount rate net of inftalion, the carrying amount of pension obligations would change by an estimated £56,000. Pago 32 COLLEGES WALES I COLEGAU CYPARU LIMITED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 2 Charltable Activities - Group Unrestri¢ted funds Restricted funds Total 2024 Total 2023 Annual subscriptions.. Gener81 subscriptions EU/lnternational subscription Sports subscription 904,890 71,786 67,315 904,890 71,786 67,315 820.483 65,117 61,155 Advancement of education for the benefit of the general public- Represenlational Aclivilies Research/Project Activilies Training Activities 7,663 3.500 7.663 1.85S.438 6,923 2,321.148 1.851.938 1,055.154 1.851.938 2.907.092 3,274,826 3 Investments- Group Unrestrieted funds Restricted funds Total 2024 Total 2023 Gain on Assel Disposal Bank Interest Exchange Rale Gain Rental Income 150 7.524 26,379 23,718 7.854 7.854 23.718 23,718 31.572 31.572 57,771 4 Rosults of the Parent Company A separate s121emenl of financial activities and income and expenditure account are not presented for the charity itself following the exemptions afforded by seclion 408 of the Companies Acl 2006 The parent company's gross income and deficit for the year are as follows'_ 2024 2023 Gross Income 3,053.711 3,325,884 Surplus before actuarial gainsl{losses on ension scheme 188.703 315,483 Page 33 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee} NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY2024 5 Commercial trading operations and investment in tradin9 subsidiary The company has a wholly owned Irading subsidiary, Fforwm Services Limited incorporated in England and Wales, which it acquired on 14 July 1995. Fforwm Services Limited was established to conduct the business activities of Colleges Wales I Colegau Cymru Limited. its parent company. These activities currently comprise the provision of professional training, development courses 8nd property and equipment leasing. The net assets of Ihe subsidiary are £14,164 {2023". £9,487). The trading resulls are shown below = 2024 2023 Turnover Cost of sales 115,044 179.4991 66.543 {59.975) Gross profit Adminislralive expenses 35,545 {21,430} 6.568 (9,370} Operating profil Interest receivable and similar income 14.115 1.728 (2,8021 373 Profil I Ilossl on ordinary activities 15,843 (2,4291 Tax on profil on ordinary activities (2,312) Profit I (loss} for the financial year 13,531 {2,4291 Retained earnings al beginning of year 9,387 12.816 Dividends {1,000) 11.0001 Retained earnings al end of year 21.918 9.387 These results are wholly Included in the consolidated financial 51alemenls Page 34 (ry {*) I r in coco f(D ty¥ 10 Ct V> ¢DIJ> ¢71 u> e*1 ¢D(DO ¢LI ¢D Q) tD EEEEE ¢) u v a> (D ociQ COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 7 Directors and employee5 -Group No director received any remuneralion for their services to the company in 2024 or 2023. No directors received travel and subsistence expenses in 202412023 - £nill. The average number ol persons employed by the company during Ihe yearwas 16 12023.. 161. Staff costs for the above consisted ol . 2024 2023 Wages and salaries Salaries, Social Security & Pension costs alloc8led to projects Pension actuary adiuslment Pension costs Social security costs Recruilmenl costs 484,582 301.894 (93.0001 104.381 69.723 404,704 375,42S (39,0001 122,032 44,282 190 907,633 867,580 Emoluments of higher paid employees (excluding pension contributions)- £60.000- £70,000 £70.001- £80,000 £80,001- £90.000 £90,001- £100,000 £100,001-£110.000 2024 2023 The Pensions Contributions relating to the highest paid employee amount lo £31.531 12023". £8,854) During the year the tolal employee benefits received by key management personnel amounted to £140,685 (2023. £102,479). The average number of employees during the year, calculaled on the basis of full lime equivalents, was as follows.. 2024 2023 Representation & Support Research & Development. ino. Projecls Governance 16 16 8 Net incorning l (outgoing) resources- Group 2024 2023 Nel incoming I loulgoingl resources are stated after charging l (crediting) the following Depreciation on owned langible fixed a55ets Operating lease renlal.- Land and buildings Auditors, remunerafvon.. Audit work (group & companies) Non-audil work land ofessional fees 16.630 21.461 45.550 45,250 10,105 8,260 9.650 7.550 Page 36 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 g Analysis of pension costs charged to thè Statement of Financial Activities - Group 2024 2023 Current service char Total operating charge to Statement of Financial Activities 107,000 168,000 107.000 168.000 2024 2023 Interest income on scheme assels Interest ex ense on defined benefit obli alion Interest charged to Statement of Financial Activities (203.000) 140 000 63,000 (131.0001 103,000 28.000 Net cost to Statement of Financial Activities 44.000 140,000 10 Tangible fixed assgts- Group Freehold Property Office equipment Flxtures & Fittings Computer equipment Total Cost At 1 August 2023 Additions Disposals Reclassification 615.220 74.858 824 (27.0621 104.061 89.807 281 16,401) 883,946 1.105 146.6321 13.169 At 31 July 2024 615.220 48.620 90.892 83.687 838,419 Depreciatlon At 1 August 2023 Charge for the year Disposals Reclassification 323.553 8.333 72,803 866 (27,062} 91,854 2,059 {13,1691 79,111 5,372 16,4011 567,321 16,630 146,6321 At 31 July 2024 331,886 46,607 80.744 78,082 537,319 Net book value At 31 July 2024 283.334 2,013 10.148 5,605 301,100 At 31 July 2023 291.667 2,055 12.207 10.696 316,625 Page 37 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 10 Tangible fixed assets Charity Freehold Property Office equipment Fixtures & Fittings Computer equipment Total Cost Al 1 August 2023 Additions Disposals Impairment 615,220 58.142 824 {27,062} 72,827 74,733 281 16,1291 820,922 1,105 140,4451 {7,254) At 31 July 2024 615,220 31.904 65.573 68,885 781,582 Depreciation Al 1 August 2023 Charge for the year Disposals Reclassification 323.553 8.333 56,092 861 {27,062) 60,655 2.040 {7,2541 65.074 4,875 {6.129 505,374 16,109 140,4451 At 31 July 2024 331.886 29.891 55,441 63.820 481,038 Net book value Al 31 July 2024 283,334 2.013 10.132 5.065 300,544 Al 31 July 2023 291,667 2.050 12,172 9,659 315.548 11 Investment Property- Group 2024 2023 FAIR VALUE At 1 August 2023 Fair value adjuslmenl 275,000 275,000 At 31 July 2024 275,000 275,000 This relates lo a proportion of the freehold property held by the charity which is leased out lo a third party organisalion. Due lo a change in accounting standards, the proportron of the property leased out requires to be shown as investment propety. The propety was valued by an external valuer. Alder King LLP on 13th September 2022. The Iruslees do not believe there to be a material difference of the investment property beiween the year end date and the dale of Ihe valuation. Pa9e 38 COLLEGES WALES I COLEGAU CYMRU LIMITEO {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 12 Fixed asset investments - Company Charity 2024 Charity 2023 Investment in subsidiary 100 100 Fforwm Servlces Ltd Registered office= Unil 7, Cae Gwyrdd. Greenmeadow Springs. Tongwynlais, Cardiff, CF15 7AB Nature of business- provision DI service contracts in a￿a$ relevant lo the parent charity Class of share: Ordinary holding 100 Information relatin9 to the charity's trading subsidiary, Fforwm Services Limited, registered in England and Wales and ils activities during the year. are shown in nole 5_ 13 Debtors Group 2024 Charity 2024 Group 2023 Charity 2023 Amounts falling due within one year Trade debtors Accrued income Amounts due from subsidiary underlaking Prepayments 47.031 583.923 47.031 568,436 12,710 2S,801 5,801 934.865 5.801 929,215 71.587 26.668 41.731 36,551 672,685 653.978 977.217 1.033,271 14 Creditors . amounts falllng due wlthin one year Group 2024 Charlty 2024 Group 2023 Charity 2023 Trade creditors Accruals Delerred income Other taxation and social security 512.853 153,637 327.766 54,172 503.311 149.S64 321.003 53,781 412.179 302,618 324.453 53.582 410.795 297,701 317,690 53.677 1,048.428 1.027.659 1,092,832 1,079.863 Page 39 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Funds - Group Transfer between fund Other recognised At 31.07.24 gainlloss At 01.0823 Incoming Resources resources expended Unrestrlcted funds General Fund Capital Asset Reserve Critical i Closure costs Stralegic reserve Capital Spend Reserve 1,043.651 1.201.770 591.625 240.000 40.000 20.000 (993.3641 116,6301 1628.121) 51.105 466.027 85,000 193.0001 530.936 626.100 706,027 125,000 20.000 1,935.276 1.201.770 11.009.994) 125,9891 {93,0001 2.008,063 Restricted funds Project Activities 1,851.938 {1,877.9271 25,989 TOTAL FUNDS 1,935,276 3.053.708 {2,887,921 193.000 2,008.063 The restricted funds received during the year were as folloY4S= Transfer from unrestricted fund$ Opening balance Closing balance Income Ex￿ndituTe Equalities 248 Call Off- 247 Social Value - 246 ALN- Adviser. 223 ALN- ILS- 222 A¢live Wellbeing - 239 Sporl- 201 Senior Leadership Turing Erasmus + Leamer 2020 Tailh 271 Taith - 272 Tailh - 273 Tailh - 274 Taith - 275 WG Tailh PLF Workload Erasmus + Staff 20 EQF Workplan 10,049 33,950 55.000 106.496 35.000 11,060 135,641 5,936 593.267 374.586 162,046 154,685 26.373 96.866 1,785 918 33,202 15,078 10.049 33.950 55.000 106.496 35.000 11,384 135.641 5.936 593.267 394.723 162.046 154,685 27,202 96,866 2,140 918 35.922 16.702 324 20.137 829 355 2.720 1,624 1.851,938 1 877.927 25.989 Page 40 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Funds- Con Funds - Charlty Transfer between fund Other Re¢ognised At 31.07.24 GainlLoss At 01.08.23 Incoming resources Resources expended Unrestricted funds General Fund Capital Asset Reserve Critical I Closure costs Strategic reserve Future Capital ReseNe 1,035.242 590.648 240.000 40.000 20.000 1,085.999 {906,7531 1611,9131 34.897 466.027 85,000 {93,0001 509,575 625,545 706,027 125,000 20.000 1.925,890 1.085.999 (906.7531 125,989} 193.0001 1,986,147 Restricted funds ResearchlProject Activities 1.851.938 {1.877.927) 25.989 TOTAL FUNDS 1,925.890 2,937,937 2,784.680 93,000 1,986 147 The restricted funds recelved during the year were as follows: Transfer tolfrom unrestricted fund5 Openlng balance Closing balance Income Expenditure Equalities 248 Call Off - 247 Social ValLJe - 246 ALN Adviser- 223 ALN- ILS-222 Active Wellbeing 239 Sport- 201 Senior Leadership Turing Erasmus + Learner 2020 Tailh 271 Tailh - 272 Tailh - 273 Tailh - 274 Tailh - 275 WG Taith PLF oikload Erasmus + Staff 20 EQF Workplan 10.049 33,950 55,000 106.496 35.000 11,060 135.641 5.936 593.267 374,586 162.046 154.685 26.373 96.866 1.785 918 33.202 15,078 10.049 33.950 55,000 106,496 35.000 11,384 135.641 5.936 593,267 394,723 162,046 154.685 27,202 96.866 2,140 918 35,922 16.702 324 20.137 829 355 2,720 1.624 1,851,938 1,877,927 25,989 Page 41 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Fur)ds- Con't Comparatives for movement in funds - Group Transfer between fund Other Recognised At 31.07.23 GalnlLoss At 01.08.22 Incomlng resources Resources expended Unreslricted funds General Fund C8Pltal Asset Reserve Strategic reserve Capital Spend ReseTve International Curriculum Develo ment 746,300 591,072 240,000 40,000 20,000 1.079,341 (717.724) (21.4611 (25,266} 22.014 {39.0001 1,043,651 591,625 240,000 40,000 20,000 1.637.372 1.079.341 {739.1851 13.252) 139,0001 1,935,276 Restricted funds ResearchlProject ActivitiE 2,319.799 {2.323.051) 3.252 TOTAL FUNDS 1.637,372 3,399.140 3.062.236 39,000 1,935,276 The restrlcted funds received during the year were as follows: Transfer from unrestricted funds Opening balance Closing balance Income Expenditure Erasmus + Staff 2019 ILS ALN - Advisor ALN - AdvisoT Active Wellbeing Construction Sport Sport Sports Guidance SPW SOF Cymraeg Gwailh Turing Tailh Tailh 2 Erasmus + Leamer 2020 Four Nations Erasmus 4 Leamer 2019 WG Tailh PLF BLG orkload Erasmus + Staff 20 176 35.000 153,038 29,512 35.043 7.000 84.245 49,155 9,000 37,167 268.908 5,915 207.542 45,483 1,193.797 10.000 2.758 34,890 61.550 25,000 24.620 1.487 35.586 153.038 29.512 35,043 7.117 84.245 49.155 9,000 37.167 268.908 5,915 207.542 45.483 1.193.797 10.000 2,758 34.890 61.896 25.892 24,620 1.311 586 117 346 892 2,319,799 2,323.051 3.252 Page 42 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Funds- Con't A current year 12 months and prior year 12 months combined position is as follows: Transfer between fund Other ReGognised At 31.07.24 GainlLoss At 01.08.22 Incomlng Resources resources expended Unrestricted funds General Fund Capital Asset Reserve Crilical I Closure costs Strategic Reserve Ca ital S end Reserve 746,300 2.281,111 591,072 240,000 40,000 20,000 1.637,372 2,281,111 (1.711,088) (38.091) {653.387) 73.119 466,027 85.000 (132,0001 530,936 626,100 706,027 125,000 20,000 1132,0001 2,008,063 {1,749,179} (29.241) Restricted funds ResearchlProiecl Activities 4.171.737 (4.200.978) 29.241 TOTAL FUNDS 1.637,372 6.452.848 {5,950.157) 132,000 2.008,063 Page 43 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Funds - (Conl Erasmus+ 2020 Ilearnerl This project ended on 30 De￿rnber 2023 and we were nolilied that the fi'nal report had been approved on 5 May 2024. Erasmus+ 2020 Istaffj This project ended on 30 December 2023 and we were nolified that the final report had been approved on 27 March 2024. Turing Scheme 2023 (Learner) This project ended on 31 August 2024 and we were notified that the final report had been approved on 18 October 2024. Turing Scheme 2024 {learnerl Funding was approved in ju￿ 2024 to enable 116 FE learners to undertake work, study, training and volunteering opportunities overseas. The project will end on 31 August 2025. Taith Pathway 1 Round 1 (Learner and staffj Funding was approved in July 2022 to enable 52 FE learners and 288 staff to uridertake work: study, training and volLsnleering opportunities overseas. The project was extended and will end on 28 February 2025. Taith Pathway 1 Round 1 (Learner and slaffj This projecl enables staff from FE organisations to undertake preparatory and CPD opportunits.es abroad. The project will end 28 February 2025. Taith Pathway 1 Round 2 (Learner and staffj Funding was approved in February 2023 to enable 143 FE learners to undertake work, study. training and volunteering opportunities overseas. The project ended on 30 November 2024 and the final report has been submitted to Taith and is curtently being reviewed. Taith Pathway 1 Round 3 (Learner and staffj Funding was approved in June 2023 to enable 86 FE learners lo undertake work, study. training and volunleering opportunities overseas. The project will end en 28 February 2025. Talth Pathway 1 Round 4 (Leamer and staffj Funding was approved in July 2024 to enable FE learners to undertake work. study. CPD and volunteering opportur)itses oveT5eas. The projecl will end on 28 February 2026. Taith Pathway 2 Round 1 This project ended on 30 November 2024 and the final report has been submitted lo Tailh and is currently being reviewed. Taith Pathway 2 Round 2 Funding was approved in February 2024 and the aim will be lo sel up a transnational Community of Practice to address issues faised in E%￿'S report on 'Peer to peer sexual harrasmenl amongst 16-19 year old5 in FE colleges in Wales_' The project will end on 31 Oclobei 2025. CQFW Alignment Welsh Government funding was received April 2023 to March 2025 to ensure continued alignment of the Credit and Qualifications Framework for Wales ICQFW} to UK National Frameworks 8nd to keep a watching brief on how the European Qualifications Framework IEQFI will work with UK frameworks. Active Wellbeing (Sport) - the Sport Wales funded projeGI provides funding for the development of sports and physical activity and aims lo increase the participation and volunteering in FE in Wales_ The funding is aimed at under-represented groups, including females, ethnic minorities and communities first aTeas. Typically, the funding will support new activity Page 44 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Funds - Icon?) ALN - Colegaucymru I Collegeswales is continuing with the Welsh Govemmenl funded project lo support and challenge colleges as they Implement the requirements of the ALNET Act. As the first cohort of learners were enrolled in September 2023, the increased pressure on college ALN teams lo prepare for this, required additional support from the project. The ALN Implemenlation Lead IFElsl is working closely with the 13 colleges, as well as Ihe 22 local aulhorities and 7 health boards, to encourage effective partnership working. On behalf of Welsh Government, Colegaucymru is also co-ordinating a series of projects on provision and practice in the Independent Living Skills (ILS) curriculum area. We are working with representatives fro colleges and wider stakeholders to capture and share existing best practice and to develop the ILS curriculurn and Learning Area Programme (LAP) including Ihe PTovision of supported internships. Workload - Phase 4 of the project completed 31 March 2024. ColegauCymTU Was Ihen successful in securing £125,000 of giant funding from the Welsh Govemtnent for the continuation of Phase 5 of the FE Lecturer Workload Review project until 31 March 2025. Phase 5 includes the following project slr8nds'. 1. To sustain the Workload steering group national social partnership 2. To review the outcomes and evaluation findings of the Workload allocation modeller pilot and agree recornmendalions 3. To undertake a mapping of pastoral support roles, lo include a review of finaricial sustainability, and make recomtnendalions on the development of a nab.onal role with a professional learning pathway 4. To provide a forum to share attendance and behaviour policies across colleges and develop nalional guidance 5. To provide a forum for skills teachers to share practice and make recommendations for supporting skills teachers lo reduce workload and improve wellbeing 6. To deliver a follow up event with social partner representatives to review progress on the Workload Review The grant funding has enabled Colegaucymru to appoint a consultant to lead strands 3-5 of the project on behalf of the national social partnership. A follow up event with social partnership representatives has been scheduled lo lake place al Cardiff and Vate College on 141h March to review progress and reflect on what further actions might be of benefit if a Phase 6 project Is required. Transfer between Funds Reslricled funds relale lo projects which promote the airns of Ihe charity and enhance the learner experience, in some cases il is ne¢es53ry lo suppori Ihese activities from non-restricted funds in order lo achieve the best outcome. When restricted funds are received there are occasions where some costs incurred are higher than those anticipated or where some spend falls outside the scope of (he project approval. In the case of Erasmus + Learner 20 Ihls was a very large proleci which was TunOeO In eur05 at a Set exchan9c rate. dLJe to Covid the project start date was delayed and changes in the exchange rale led to a lower amount of Income being recogni5ed al Ihe end of the project when staff cost5 were high due lo completion of final reports and claims. Page 45 COLLEGES WALES I COLEGAU CYMRU LIM￿E0 ILimited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 15 Funds - (Conl} The unrestrlcted funds held by the ¢harity at 31st July 2024 were as follows- General Fund 530.936 This represents general unrestricted funds for use within the charity 626,100 This represents funds designated for the nel book value of capital assets held within the Group al the year end. Existing Capital Reserve Critical I Closure costs 706.027 To meet the tK)lential closure c051s which would be incurred should the charity cease. 125.000 To meet the costs ol strategic expenditure identified within the designated reserves which are funded thTough income 2nd expenditure account. 20.000 This represenls future plans for capital spend Strategic reserve Future Capital Reserve Analysis of assets between funds: Unreslricted Restricted General Funds Funds Total Funds 2024 Total Funds 2023 Tangible Fixed Assets Current Assets Current Liabilities 576.100 2.480.391 1.048.428 2.008.063 576.100 2.480,391 1.048.428) 2.008,063 591,625 2,451,483 1,107,832 1,935,276 16 Leasing agreements Minimum lease payments under non-cancellable operating leases fall due as follows.. GROUP ONLY Properties Other 2024 2023 Wilhin one year Between one and five years 45.250 3.389 6.780 10,169 45,250 6.780 44,250 10,169 Page 46 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 17 Comparative Statement of Financlal Activities Note Unrestrl¢ted funds Re5tri¢ted funds Total 2024 INCOME AND ENDOWMENTS FROM Donations and legacies Charitable activities: Annual subscriptions Advancement of education for the benefit of the general public other tradlng activitie5'. Commercial trading operations Investments 946.755 946.755 8.272 2,319.799 2,328,071 66.543 57.771 66,543 57,771 Total income 1.079.341 2.319,799 3.399,140 EXPENDITURE ON Charitable activities Aclvancement ol education for the benefit of the general public Other trading activities: Commercial trading operalions 669.840 2.323,051 2,992.891 69.345 69.345 Total expenditure 739.185 2.323.051 3.062.236 NET INCOME I (EXPENDITURE) 340.156 13.2521 336.904 Transfers between funds 13.252) 3.252 OTHER RECOGNISED GAINS I ILOSSESI Fair Value Adjustment Actuarial gain on defined benefrt scheme 39.000 39.000 Net movement in lunds in year 297,904 297.904 RECONCILIATION OF FUNDS Total funds brou hl forward 1,637.372 1,637,372 TOTAL FUNDS CARRIED FORWARD 1.935.276 1,935,276 The statement of financial activities includes all gairbs and losses in the year. All incoming resources and resources expended derive from continuing activities. Page 47 COLLEGES WALES I COLEGAU CYMRU LIMITED {Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY2024 18 Capital Commitments and contingencies There were no capital commitments as at 31 July 202412023= nil) 19 Pensions The charity participates in the Cardrff & Vale of Glamorgan pension fund {Ihe "Fund-), which is part of the Local Government Pension Scheme. Colegau Cymru I Colleges Wales participates in the Fijnd which provides defeined benefits on member5, final pensionable salary. In accordance with FRS 102 - Retirement Benefits disclosure defined benefits. of certain information concerning assets, liabilities, income and expenditure relating to pensiorTr schemes is required. Contributions for the year endin9 31 July 2024 The Etnployer's regular contributions to the fund for the year ending 31 July 2024 are estimated lo be £0.096M. In addition, Strain on Fund Contributions may be required. Assumptions The latest actuarial valualion of Colleges Wales liabilities took place as at 31 March 2019. Liabilities have been estimated by the independent qualrfied actuary on an aclvarial basis using the projected unit ciedil elhod. The principal assumptions used by the actuary in updaling the latest valuation of the Fund for FRS 102 purposes were= 31Jul-24 31-Jul-23 31-Jul-22 Discount rale RPI inflation CPI inflation Rale of increase to pensions in payment Rate of revaluation of pension accounts Rale of general increase in salaries Mortality Assumptions The mortality assumptions are based on the recent actual mortalily experience of members within the Fund and allow for expected future mortality improvemenls. Page 48 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 19 Ponsions (Cont'dl Assumed life expectan¢y at age 65 Males Future lifetime from age 65 {current aged 65} Future lifetime from age 65 l¢urrent aged 45) 31 Jul 2024 21.8 31 Jul 23 22.0 22.6 Females Future lifetime from age 65 Icurrent aged 65} Futurè lifetime from age 65 Icvrient aged 451 31 Jul 2024 24.1 24.9 31 Jul 23 24.2 25.3 Asset allocation Value at Value al 31 July 2024 £M 31 July 2023 £M Equities Propety Government bonds Corporate bonds Mulli Asset Credit Cash Other Total 68.1171• 6.0/0 7.9° 7.0/. 5.2Q/. 4.1 /9 l.T-lo 68.1'/0 7.0°/0 8.80/. 7.50/. 5.3'/. 3.3°/ O.O°ffo 100.0'/. Reconciliation of funded status to balance sheet Value at 31 July 2024 £M Value at 31 July 2023 £M Fair value of fund assets Present value of liabilities Funded status Unrecognised asset Additional liability due to minimum funding requirefflent Pension asseulliabilityl recognised on the Balance Sheet 4.523 2.975 1.548 11.548} 0.000 0.000 3.994 2.825 1.169 11.1691 0.015 0.015 Page 49 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 19 Pensions - Icont'd) Amounts Tecognised in Income Statement YeaTending 31 Juty 2024 {£MI Year ending 31 July 2023 {£MI Operating Cost Current service costs Past Service costs Curtailment cost Settlement cosl Financing Cost Interest costs Expense recognised in Profit and Loss 0.107 0.000 0.000 0.000 0.168 0.000 0.000 0.000 0.004) 0.103 0.0030 0.165 Allowance for administration expenses included in Current Service Cost in 2024 and 2023 £0.003m. Changes to the present value ol liabllltles during the year Year ending 31 July 2024 {£MI Year ending 31 July 2023 I£MI Opening present value of liabilities Currenl service cost Interest cost Contributions by participants Actuarial (gainslllosses on liabilities Net benefits paid oui # Past service cost Net increase in liabilities from disposals and acquisitions Curtailments Settlements Closin resent value of liabilities 2.825 0.107 0.140 0.047 10.0351 {0.1091 0.000 2.962 0.168 0_103 0.042 10.3891 10.0611 0.000 0.000 o.ooo 0.000 2.975 0.000 0.000 0.000 2.825 Includes ehanges to the actuarial assumplions # Consists of nel ¢ashflow out of the Fund in respect of the employer, exduding contributions and any death in service lump sums paid, and including an approximate allowance for the expected cost of death in service lump sums. Page 50 COLLEGES WALES I COLEGAU CYMRU LlkllTED (Limited by Guaranteel NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 19 Pensions -{Cont'd> Changes to the fair value of assets during the year Year ending 31 July 2024 £M Year ending 31 July 2023 £M Opening fair value of assets Inleret income on assets Remeasuremenl gainsJ{lossesl on assets Contribulion by Ihe employer Contribution by participanls Nel benefits paid out # Nel increase in assels from disposals and acquisitions Settlements Closin fair value of assets 3.994 0.203 0.177 0.211 0.047 {0.109) 3.674 0.131 0.03 0.179 0.042 {0.0611 0.000 0.000 4.523 0.000 0.000 3.994 # Consists of nel cash-flow out of the Fund in respect of the employer. excluding contributions and any death in service lump sums paid. and including an approximate allowance fo rthe expected cosl of death in service sums. Actual return on assets Year ending 31 July 2024 £M Year ending 31 July 2023 £M Interest income on assets Gainl Loss on assets Actual return on assets 0.203 0.177 0.380 0.131 0.160 Analysis of amount fecognlsed in Other Comprehonsive Income Year ending 31 July 2024 £M Year ending 31 July2023 £M Asset gainslllossesl arising during the period Aeluarial gainsllosses due lo changes lo financial assumptions Actuarial gainsllosses due to changes lo demographic assumption Actuarial gainsllosses due to liability experience Adjustment due lo unrecognised asset ainsl losses arisin durin the loss in OCI 0.177 0.000 0.026 0.009 {0.3211 0.016 0.093 0.029 0.712 0.050 {0.3731 {0.432} 0.015 0.029 eriod Total Page 51 COLLEGES WALES I COLEGAU CYMRU LIMITED {LimAted by Guaranteg) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 20 EFFECT OF PENSION ON THE SURPLUS FOR THE YEAR 2024 2023 Surplus before pension adjustment 60,099 312,904 Pension adjustment Included in the Income & expensÈ account Employers contributions Iransferred against liability 1211.000} 1179,0001 Pension adjustment 103.000 155,000 Finance cost U5 or a¢¢ounts 168 099 336,904 Page 52 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 21 Related party transaction5 Due to the nature of the charit￿S activibes and the composition of rts board of d1￿ClorS ar)d that of its subsidiary undertaking Ffotwm Services Limited. (being principals and Governors of Further Education collegès in Walesl kt is inevitable that in Ihe course of its normal business activities. the Gharity wll undertske transactions with those Colleges in whiGh a member of the board of the charity, OT Ils subsidiary undertaking will have an Interest. All transactions involving Colleges in which a member ol either Board of Directors may have an inte￿st are conducted at arms length and in accordance ￿'1th the Charit￿$ normal finanual procedures. The Iruslees. of the charity and éirectors of the trading subsidiary company during the year and their relationship with the respective Colleges were Director College Relatlonship Guy Lacey Iresigncd 31107124} Chair Louise Casella (resigned 31151241 CEOIPrincipal. Coleg Gwenl Director. The Open Univet5ity in Wales TtU5teel Director Trusteel Director Jeffrey Gre8nTrdg8 Iresigned 31151241 0￿er. Ariege Consultancy Trusteel Dire¢tor Paul Smart lappt 041011211 Retired Trusleel Director Rhiannon Evans (appt 241111211 Senior Le¢lurer, Cardiff University Trusteel Director SUTY Davies (resigned 311071241 Senedd Member Trusieel Director Lisa Thomas lappl 04J011231 Chair1011081241 Principal and Chief Eye¢utive. The College. Merthyr Tydfil Trusteel Director Andrew Comish lappl 011081241 CEOIPrincipal Cole8Sir G3r/Ceredigion Trusieel Director VictDria Davies (appt 01108124 Deputy Director. Wales. The Open University Trusteel Director Iwan Thornas (appt 011081241 CEO. Plane Ttusleel Director Donna Ali (appt 011081241 Director of BE.Xcellence CIC Tru5tepl Director During 2020121 il was agreed that there should be a common board for both companies and this was put into effect from 0410112021 The invoices issued lo the relevant colleges during ihe year were for subscriptions for membership of Colegau Cymru I Colleges Wales and reimbursement of projects Costs. Payments made to colleges were for catering al ne￿Ork events, work carried Dut on projecl activities. Page 53 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guarantee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 21 Relatgd party transactions- (Conl) Income invoiced to Colleges during the year Apprentice Campaign Subs Sport Eullnt Dev HR Projects Total Bridgend College Cardiff and Vale College Coleg Sir Gar and Coleg Ceredigion Coleg Gwenl Coleg y Cymoedd Coleg Cambria Gower College Swansea Grwp Llandrillo Menai The College fvlerthyr Tydfil Lld. NPTC Group of Colleges Pembrokeshire College Adult Learning Wales Sl David's Catholic College 48,504 50,788 50,788 50.788 50.788 50.788 50.788 50.788 29,914 50.788 36.201 15,912 21.048 6.025 6,025 6.025 6.025 6.025 6.025 6.025 6.025 6.025 6.025 6.025 5.522 5,522 5.522 5.522 5.522 5.522 5.522 5.522 5.522 5,522 5.522 5.522 5,522 5.000 5.000 5,000 5.000 5,000 5.000 5.000 5.000 5.OOD 5.000 5,000 600 2.400 838 900 3,150 2,550 900 900 150 1.200 65.651 108,981 68,173 68,235 70.485 109,190 97,424 107,895 46.611 121,074 121,434 21.434 27,610 36.421 2.825 36.48D 26,364 36,835 2.825 2.825 2.825 49.714 65,861 2.825 2.825 1,040 Total 557.883 67,315 71.786 251,675 5S,000 16.950 13,588 1,034,197 Associate member Payments to Colleges duTing the year Cattringl Projects Accom Tolal Bridgend College Cardiff and Vale College Coleg Sir Gar and Coleg Ceredigion Coleg Gwenl Coleg y Cymoedd Coleg Cambria Gower College Swansea Grwp Llandrillo Menai The College Merthyr Tydfil Ltd. NPTC Group of Colleges Pembrokeshire College Sl David's Catholic Sixih Form College Adult Learning Wales 111.406 146.846 46,526 278.134 124.859 187.378 43.494 131.247 190.781 31.590 31.924 126.552 111,406 146,846 46.526 278. 134 125.021 187.378 43.723 131.247 190.781 31.590 31,924 126,552 162 229 Total 391 1 4SO.737 1,451 128 Page 54 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited by Guaranlee) NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 JULY 2024 21 Related party Iransactions - IConl> The following amounts were receivable from Colleges at 31 July 2024: Coleg Sir Gar and Coleg Ceredigion NPTC Group ofcolleges Pembrokeshire College 600 4.025 150 Total 4.775 The following amounts were due to Colleges at 31 July 2024= FSL £ Bridgend College Coleg Cambria Cardiff and Vale College Coleg y Cymoedd Coleg Gwenl GnNp Llandrillo Menai Gower College Swvansea Merthyr Tydfil College NPTC Group Pembrokeshire College St David's 6th Form College 51,879 23,490 27.480 37.784 56,986 69,036 229 42.583 3.140 51,879 23.490 27,480 37.784 56.986 69.036 229 42.583 3.140 180 Unused cre(Jil nole 92.436 180 92.436 Total 405.043 180 405.223 20 Post Balance Sheet Events - Adjusting Event During the year, Ihe group were victim lo a cyber fraud resulting in significant cash reserves being misappropriated. Immediate steps were taken to contain the incident including undertaking response plans and engaging bolh cyber security experts and legal temis to embark on recovering Ihe lost funds. The group believed that all funds were recoverable. however a post balance sheet event has occurred where a setilemenl was agreed upon with the bank for the balance ol the unrecovered funds. The financial slalements have been adjusted to reflect the settlement figure. Page 55 COLLEGES WALES I COLEGAU CYMRU LIMITED (Limited By Guarantee) CONSOLIDATED INCOME AND EXPENDITURE ACCOUNT FOR THE YEAR ENDED 31 JULY 2024 Year ended 31 July 2024 Year ended 31 July 2023 INCOME College subscriptions Grants receivable Sports Grant Income Other income Bank interest Disposal of Assets Exchange rale gain Rents received S12ff development activili2s Lease rental income 1.043.991 1.706,298 149.141 7.663 7.854 946,755 2.119.560 201.588 6.923 7.524 150 26,379 23,718 21,293 45.250 23.718 69,494 45.550 3.053,709 3,399,140 LESS: COST OF SALES Other oper81ing leases Staff development expenditure 44.250 35.249 44,250 15.725 79.499 59.975 EXPENDITURE Conferences Public 2ff2irs and representation Website development Projects & advisory groups Accomodalion costs Staff costs Office adminislralion Travel & expenses Legal & professional fees Auditors remuneration Auditors remuneration - non audit fees Bank charges Bad Debts Exchange rate Ioss Depreciation- Freehold property Fixtures & fittings Computer equipment 7.691 9.009 1.533,578 35.710 867,580 79,942 23,982 61,986 10,105 8.260 2.832 121,250 36,567 1.918.341 33,198 907.633 54,735 31,036 9.169 15.500 850 1,320 8,333 2.923 5.372 8,333 2,874 10.254 2.806.111 3,002,261 PROFIT I IDEFICIT) FOR THE YEAR 168,099 336.904 Appendix 1