**REGISTERED COMPANY NUMBER: 02803324 (England and Wales) REGISTERED CHARITY NUMBER: 1130052**
Report of the Trustees and
Unaudited Financial Statements
for the Year Ended 31 March 2024
for
Iaith Cyfyngedig
Ashmole & Co. Chartered Certified Accountants The Old School The Quay Carmarthen Carmarthenshire SA31 3LN
Iaith Cyfyngedig
## Contents of the Financial Statements for the Year Ended 31 March 2024
|||Page||
|---|---|---|---|
|Report of the Trustees|1|to|3|
|Independent Examiner's Report||4||
|Statement of Financial Activities||5||
|Balance Sheet|6|to|7|
|Notes to the Financial Statements|8|to|12|
|Detailed Statement of Financial Activities|13|to|14|
Iaith Cyfyngedig
Report of the Trustees for the Year Ended 31 March 2024
The trustees who are also directors of the charity for the purposes of the Companies Act 2006, present their report with the financial statements of the charity for the year ended 31 March 2024. The trustees have adopted the provisions of Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019).
## **OBJECTIVES AND ACTIVITIES**
## **Objectives and aims**
The Charity's principal aim is to promote, direct and research into matters relevant to the Welsh language in Wales, in addition to regional and minority languages, to promote and extend educational activities, training and development projects within Welsh society and beyond, in connection with the Welsh language and regional and minority languages, to promote and extend public education in language schemes, bilingualism and multilingualism.
## **Public benefit**
The Charity provides a benefit to the public by giving advice, assistance and services on every subject relevant to the promotion and use of regional and minority languages. The trustees have considered the guidelines given by the Charity Commission on public benefit.
## **ACHIEVEMENT AND PERFORMANCE**
## **Charitable activities**
A review of success and performances of the charity was given by the chairman and managing director at the annual meeting. In brief the charity has been able to fulfil its role fully this year and has taken on a number of new full time members of staff to deliver its projects and have moved all the staff over to the local authorities pension scheme.
## **FINANCIAL REVIEW**
## **Investment policy and objectives**
The trustees' investment powers are governed by the Memorandum and Articles of Association. The trustees have a policy of keeping any monies by way of liquid assets in short-term, high interest, easily accessible deposit accounts. The trustees are of the opinion that the Charity does not have enough reserves to consider investing in any other ways at present.
## **Reserves policy**
The trustees have established a policy whereby general funds which are not invested or committed to fixed assets should represent between 3 and 6 months of general expenditure, averaging between £30,000 and £60,000 in reserve funds. At this level, the trustees felt the charity would be able to operate in the event of a substantial shortage of income. At the year end the Company had reserves of £90,017. The year ended 31 March 2024 is the seventh full of year of trading after a substantial restructuring programme, which is to keep a tight hold on overheads, keep a low number of full time staff and using freelance consultants to complete projects. The Company generated a surplus of £25,039 in the year after taking out the defined benefit pension costs .The financial statements are prepared on the assumption that the charity will carry on as a going concern.
## **Funds in deficit**
The charity's results are reported in the Statement of Financial Activities on page 8. The net deficit or surplus from ordinary activities, before losses according to insurance statistics on the pension scheme, shows a surplus of £37,039. This is after a loss on the pension scheme of £5,000 (2023 loss of £18,000).
The trustees take the view that the pension scheme liabilities have been appropriately allowed for and are confident that the deficit will be wiped out over the long term.
## **FUTURE PLANS**
In briefly, restructuring the staffing plan by reducing the number of employed staff and establish a core team of consultants. The new structure will allow the company to continue to maintain and grow its capacity to carry out projects while keeping control of its costs. The company will prioritize growth, through winning new projects.
## **STRUCTURE, GOVERNANCE AND MANAGEMENT**
## **Governing document**
The charity is a company limited by guarantee without shares as defined by the Companies Act 2006. It was incorporated on 25th March 1993 and became a registered Charity on the 9th June 2009.
Page 1
Iaith Cyfyngedig
Report of the Trustees for the Year Ended 31 March 2024
## **STRUCTURE, GOVERNANCE AND MANAGEMENT Recruitment and appointment of new trustees**
Members of the board of trustees (who are also directors of the charity for the purpose of company's legislation) who served during the year and on the date of the report and noted above. A trustee is appointed by the members in an annual meeting or by the trustees when a post becomes vacant. There must be at least three trustees but there is no maximum.
## **Organisational structure**
A meeting of the board is held every quarter. The trustees have appointed an administrative director to manage the charity's day-to-day activities. The board members guarantee to contribute a maximum of £1 to company's assets should the company be wound up.
## **Induction and training of new trustees**
When new trustees are appointed, they are provided with information on their duties and responsibilities. This includes training in company procedures and policies including an assessment of their training needs. The charity has a policy of offering specific training to every trustee on his or her role and responsibilities.
## **REFERENCE AND ADMINISTRATIVE DETAILS**
## **Registered Company number**
02803324 (England and Wales)
## **Registered Charity number**
1130052
## **Registered office**
Uned 3 Parc Busnes Aberarad Castell Newydd Emlyn Sir Gar SA38 9DB
## **Trustees**
G Ioan D R Davies S Williams A L Jones E Lewis S Eaves CM Tomos S M Tomos (appointed 26.4.23)
## **Company Secretary**
K E Jones
## **Independent Examiner**
Ashmole & Co. Chartered Certified Accountants The Old School The Quay Carmarthen Carmarthenshire SA31 3LN
## **Bankers**
Natwest 4 Heol Fawr Aberteifi Ceredigion SA43 1NW
Page 2
Iaith Cyfyngedig
Report of the Trustees for the Year Ended 31 March 2024
Approved by order of the board of trustees on ............................................. and signed on its behalf by:
........................................................................ G Ioan - Trustee
Page 3
Independent Examiner's Report to the Trustees of Iaith Cyfyngedig
## **Independent examiner's report to the trustees of Iaith Cyfyngedig ('the Company')**
I report to the charity trustees on my examination of the accounts of the Company for the year ended 31 March 2024.
## **Responsibilities and basis of report**
As the charity's trustees of the Company (and also its directors for the purposes of company law) you are responsible for the preparation of the accounts in accordance with the requirements of the Companies Act 2006 ('the 2006 Act').
Having satisfied myself that the accounts of the Company are not required to be audited under Part 16 of the 2006 Act and are eligible for independent examination, I report in respect of my examination of your charity's accounts as carried out under Section 145 of the Charities Act 2011 ('the 2011 Act'). In carrying out my examination I have followed the Directions given by the Charity Commission under Section 145(5) (b) of the 2011 Act.
## **Independent examiner's statement**
Since your charity's gross income exceeded £250,000 your examiner must be a member of a listed body. I can confirm that I am qualified to undertake the examination because I am a member of the Association of Chartered Certified Accountants, which is one of the listed bodies.
I have completed my examination. I confirm that no matters have come to my attention in connection with the examination giving me cause to believe:
1. accounting records were not kept in respect of the Company as required by Section 386 of the 2006 Act; or
2. the accounts do not accord with those records; or
3. the accounts do not comply with the accounting requirements of Section 396 of the 2006 Act other than any requirement that the accounts give a true and fair view which is not a matter considered as part of an independent examination; or
4. the accounts have not been prepared in accordance with the methods and principles of the Statement of Recommended Practice for accounting and reporting by charities (applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)).
I have no concerns and have come across no other matters in connection with the examination to which attention should be drawn in this report in order to enable a proper understanding of the accounts to be reached.
Carwyn Morgan BSc FCCA
Ashmole & Co. Chartered Certified Accountants The Old School The Quay Carmarthen Carmarthenshire SA31 3LN
Date: .............................................
Page 4
Iaith Cyfyngedig
## Statement of Financial Activities for the Year Ended 31 March 2024
|Unrestricted
fund
Notes
£
**INCOME AND ENDOWMENTS FROM**
**Charitable activities**
Projects
**407,454**
Investment income
2
**54**
**Total**
**407,508**
**EXPENDITURE ON**
Raising funds
**1,629**
**Charitable activities**
Projects
**368,840**
**Total**
**370,469**
**NET INCOME/(EXPENDITURE)**
**37,039**
**Other recognised gains/(losses)**
Actuarial gains on defined benefit schemes
**215,000**
**Net movement in funds**
**252,039**
**RECONCILIATION OF FUNDS**
Total funds brought forward
**416,978**
**TOTAL FUNDS CARRIED FORWARD**
**669,017**|Restricted
fund
£
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|**31.3.24**
**Total**
**funds**
**£**
**407,454**
**54**
**407,508**
**1,629**
**368,840**
**370,469**
**37,039**
**215,000**
**252,039**
**416,978**
**669,017**|31.3.23
Total
funds
£
270,154
95
270,249
-
334,266
334,266
(64,017)
875,000
810,983
(394,005)
416,978|
|---|---|---|---|
The notes form part of these financial statements
Page 5
Iaith Cyfyngedig
## Balance Sheet 31 March 2024
|Unrestricted
fund
Notes
£
**FIXED ASSETS**
Tangible assets
6
**1,601**
**CURRENT ASSETS**
Debtors
7
**109,482**
Cash at bank and in hand
**87,257**
**196,739**
**CREDITORS**
Amounts falling due within one year
8
**(108,323)**
**NET CURRENT ASSETS**
**88,416**
**TOTAL ASSETS LESS CURRENT**
**LIABILITIES**
**90,017**
**PENSION ASSET**
11
**579,000**
**NET ASSETS**
**669,017**
**FUNDS**
10
Unrestricted funds
**TOTAL FUNDS**|Restricted
fund
£
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**
**-**|**31.3.24**
**Total**
**funds**
**£**
**1,601**
**109,482**
**87,257**
**196,739**
**(108,323)**
**88,416**
**90,017**
**579,000**
**669,017**
**669,017**
**669,017**|31.3.23
Total
funds
£
2,972
152,480
5,032
157,512
(94,506)
63,006
65,978
351,000
416,978
416,978
416,978|
|---|---|---|---|
The charitable company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 March 2024.
The members have not required the company to obtain an audit of its financial statements for the year ended 31 March 2024 in accordance with Section 476 of the Companies Act 2006.
The trustees acknowledge their responsibilities for
- (a) ensuring that the charitable company keeps accounting records that comply with Sections 386 and 387 of the Companies Act 2006 and
- (b) preparing financial statements which give a true and fair view of the state of affairs of the charitable company as at the end of each financial year and of its surplus or deficit for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the charitable company.
The notes form part of these financial statements
continued...
Page 6
Iaith Cyfyngedig
Balance Sheet - continued 31 March 2024
These financial statements have been prepared in accordance with the provisions applicable to charitable companies subject to the small companies regime.
The financial statements were approved by the Board of Trustees and authorised for issue on ............................................. and were signed on its behalf by:
............................................. G Ioan - Trustee
The notes form part of these financial statements
Page 7
Iaith Cyfyngedig
Notes to the Financial Statements for the Year Ended 31 March 2024
## **1. ACCOUNTING POLICIES**
## **Basis of preparing the financial statements**
The financial statements of the charitable company, which is a public benefit entity under FRS 102, have been prepared in accordance with the Charities SORP (FRS 102) 'Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019)', Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.
## **Financial reporting standard 102 - reduced disclosure exemptions**
The charitable company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':
- the requirements of Section 7 Statement of Cash Flows;
- the requirement of paragraph 3.17(d);
- the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
- the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A;
- • the requirement of paragraph 33.7.
## **Income**
All income is recognised in the Statement of Financial Activities once the charity has entitlement to the funds, it is probable that the income will be received and the amount can be measured reliably.
## **Expenditure**
Liabilities are recognised as expenditure as soon as there is a legal or constructive obligation committing the charity to that expenditure, it is probable that a transfer of economic benefits will be required in settlement and the amount of the obligation can be measured reliably. Expenditure is accounted for on an accruals basis and has been classified under headings that aggregate all cost related to the category. Where costs cannot be directly attributed to particular headings they have been allocated to activities on a basis consistent with the use of resources.
## **Tangible fixed assets**
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 20% on cost Computer equipment - 33% on cost
## **Taxation**
The charity is exempt from corporation tax on its charitable activities.
## **Fund accounting**
Unrestricted funds can be used in accordance with the charitable objectives at the discretion of the trustees.
Restricted funds can only be used for particular restricted purposes within the objects of the charity. Restrictions arise when specified by the donor or when funds are raised for particular restricted purposes.
Further explanation of the nature and purpose of each fund is included in the notes to the financial statements.
## **Hire purchase and leasing commitments**
Rentals paid under operating leases are charged to the Statement of Financial Activities on a straight line basis over the period of the lease.
continued...
Page 8
Iaith Cyfyngedig
Notes to the Financial Statements - continued for the Year Ended 31 March 2024
## **1. ACCOUNTING POLICIES - continued**
## **Pension costs and other post-retirement benefits**
The charitable company operates a defined contribution pension scheme. Contributions payable to the charitable company's pension scheme are charged to the Financial Activities in the period to which they relate.
## **2. INVESTMENT INCOME**
|**INVESTMENT INCOME**|||
|---|---|---|
||**31.3.24**|31.3.23|
||**£**|£|
|Deposit account interest|**54**|95|
|**NET INCOME/(EXPENDITURE)**|||
|Net income/(expenditure) is stated after charging/(crediting):|||
|Auditors' remuneration|**31.3.24**
**£**
**1,000**|31.3.23
£
1,000|
|Other assurance services|**1,965**|1,865|
|Depreciation - owned assets|**2,119**|2,097|
|Travelling|**5,692**|5,636|
## **3. NET INCOME/(EXPENDITURE)**
## **4. TRUSTEES' REMUNERATION AND BENEFITS**
There were no trustees' remuneration or other benefits for the year ended 31 March 2024 nor for the year ended 31 March 2023.
## **Trustees' expenses**
There were no trustees' expenses paid for the year ended 31 March 2024 nor for the year ended 31 March 2023.
## **5. STAFF COSTS**
The average monthly number of employees during the year was as follows:
|**31.3.24**
Project
**6**
Support
**1**
**7**|31.3.23
6
1
7|
|---|---|
No employees received emoluments in excess of £60,000.
continued...
Page 9
Iaith Cyfyngedig
Notes to the Financial Statements - continued for the Year Ended 31 March 2024
## **6. TANGIBLE FIXED ASSETS**
|Fixtures
and
fittings
£
**COST**
At 1 April 2023
**51,191**
Additions
**-**
At 31 March 2024
**51,191**
**DEPRECIATION**
At 1 April 2023
**51,191**
Charge for year
**-**
At 31 March 2024
**51,191**
**NET BOOK VALUE**
At 31 March 2024
**-**
At 31 March 2023
-
**7.**
**DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Trade debtors
**8.**
**CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR**
Bank loans and overdrafts (see note 9)
Other loans (see note 9)
Trade creditors
Social security and other taxes
VAT
Other creditors
Accrued expenses
**9.**
**LOANS**
An analysis of the maturity of loans is given below:
Amounts falling due within one year on demand:
Bank overdrafts
Other loans
Loans due within 2-5 years|Computer
equipment
£
**53,845**
**748**
**54,593**
**50,873**
**2,119**
**52,992**
**1,601**
2,972
**31.3.24**
**£**
**109,482**
**31.3.24**
**£**
**-**
**30,730**
**23,687**
**5,447**
**41,817**
**4,642**
**2,000**
**108,323**
**31.3.24**
**£**
**-**
**9,749**
**20,981**
**30,730**|Totals
£
**105,036**
**748**
**105,784**
**102,064**
**2,119**
**104,183**
**1,601**
2,972
31.3.23
£
152,480
31.3.23
£
6,810
40,479
22,254
5,532
13,012
4,419
2,000
94,506
31.3.23
£
6,810
9,521
30,958
47,289|
|---|---|---|
continued...
Page 10
Iaith Cyfyngedig
Notes to the Financial Statements - continued for the Year Ended 31 March 2024
## **10. MOVEMENT IN FUNDS**
|At 1.4.23
£
**Unrestricted funds**
General fund
**416,978**
**TOTAL FUNDS**
**416,978**
Net movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
**Unrestricted funds**
General fund
**407,508**
**(370,469)**
**TOTAL FUNDS**
**407,508**
**(370,469)**
**Comparatives for movement in funds**
At 1.4.22
£
**Unrestricted funds**
General fund
(394,005)
**TOTAL FUNDS**
(394,005)
Comparative net movement in funds, included in the above are as follows:
Incoming
Resources
resources
expended
£
£
**Unrestricted funds**
General fund
270,249
(334,266)
**TOTAL FUNDS**
270,249
(334,266)|Net
movement
At
in funds
31.3.24
£
£
**252,039**
**669,017**
**252,039**
**669,017**
Gains and
Movement
losses
in funds
£
£
**215,000**
**252,039**
**215,000**
**252,039**
Net
movement
At
in funds
31.3.23
£
£
810,983
416,978
810,983
416,978
Gains and
Movement
losses
in funds
£
£
875,000
810,983
875,000
810,983|
|---|---|
continued...
Page 11
Iaith Cyfyngedig
Notes to the Financial Statements - continued for the Year Ended 31 March 2024
## **10. MOVEMENT IN FUNDS - continued**
A current year 12 months and prior year 12 months combined position is as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**|Net
movement
At 1.4.22
in funds
£
£
(394,005)
1,063,022
(394,005)
1,063,022|At
31.3.24
£
669,017
669,017|
|---|---|---|
A current year 12 months and prior year 12 months combined net movement in funds, included in the above are as follows:
|**Unrestricted funds**
General fund
**TOTAL FUNDS**
**EMPLOYEE BENEFIT OBLIGATIONS**
Market value of the assets
Present vale of the liabilities
Surplus in the pension scheme|Incoming
Resources
Gains and
Movemen
resources
expended
losses
in funds
£
£
£
£
677,757
(704,735)
1,090,000
1,063,022
677,757
(704,735)
1,090,000
1,063,022
31.3.24 31.3.23
£ £
(2,405,000) (3,289,000)
2,948,000 3,640,000
579,000 351,000|
|---|---|
## **11. EMPLOYEE BENEFIT OBLIGATIONS**
## **12. RELATED PARTY DISCLOSURES**
There were no related party transactions for the year ended 31 March 2024.
Page 12
Iaith Cyfyngedig
Detailed Statement of Financial Activities for the Year Ended 31 March 2024
|Detailed Statement of Financial Activities
for the Year Ended 31 March 2024|||
|---|---|---|
||31.3.24|31.3.23|
||£|£|
|**INCOME AND ENDOWMENTS**|||
|**Investment income**|||
|Deposit account interest|**54**|95|
|**Charitable activities**|||
|Education and training|**84,282**|69,826|
|Research|**182,402**|148,651|
|Sundrey income|**-**|50|
|Consultancy|**140,770**|38,541|
|Community projects|**-**|10,898|
|Miscellaneous Income|**-**|2,188|
||**407,454**|270,154|
|**Total incoming resources**|**407,508**|270,249|
|**EXPENDITURE**|||
|**Other trading activities**|||
|Bad debts|**1,629**|-|
|**Charitable activities**|||
|Wages|**208,956**|145,825|
|Social security|**16,701**|10,394|
|Pensions|**42,897**|37,303|
|Travelling|**5,692**|5,636|
|Development and research fees|**53,584**|61,496|
||**327,830**|260,654|
|**Support costs**|||
|**Management**|||
|Wages|**20,295**|18,129|
|Social security|**1,149**|709|
|Pensions|**4,010**|3,662|
|Rates and water|**5,121**|5,203|
|Insurance|**2,016**|2,559|
|Light and heat|**1,925**|2,515|
|Telephone|**482**|855|
|Postage and stationery|**2,498**|3,599|
|Advertising|**-**|780|
|Sundries|**1,316**|801|
|Hire of rooms|**650**|380|
|Repairs and renewals|**150**|126|
|Subscriptions|**1,224**|46|
|Income protection fee|**1,908**|1,350|
|Donations|**50**|45|
|Carried forward|**42,794**|40,759|
This page does not form part of the statutory financial statements
Page 13
Iaith Cyfyngedig
Detailed Statement of Financial Activities for the Year Ended 31 March 2024
|Detailed Statement of Financial Activities
for the Year Ended 31 March 2024|||
|---|---|---|
||31.3.24|31.3.23|
||£|£|
|**Management**|||
|Brought forward|**42,794**|40,759|
|Computer maintenance|**9,154**|11,102|
|Computer equipment|**2,118**|2,098|
|Expected return on pension scheme assets|**(129,000)**|(78,000)|
|Interest on pension scheme liabilities|**111,000**|93,000|
|**Finance**|**36,066**|68,959|
|Bank charges|**1,090**|660|
|**Governance costs**|||
|Auditors' remuneration|**1,000**|1,000|
|Auditors' remuneration for non audit work|**1,965**|1,865|
|Bank loan interest|**889**|1,128|
||**3,854**|3,993|
|Total resources expended|**370,469**|334,266|
|**Net income/(expenditure)**|**37,039**|(64,017)|
||||
This page does not form part of the statutory financial statements
Page 14