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← Swansea University

2025-07-31-accounts

ANNUAL REVIEW 2025

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CONTENTS

CHAIR'S INTRODUCTION

As Pro-Chancellor and Chair of the University Council, I am pleased, on behalf of the Council, to introduce the University’s Annual Review. This is a key moment for us to reflect on the past academic year and celebrate our achievements while also recognising the significant challenges currently facing the UK higher education sector and the University. It is also an opportunity to acknowledge the dedication, commitment, and resilience of our staff whose contributions continue to drive the changes necessary to respond to these challenges and to shape the University’s long-term success.

In this context, strong governance is more important than ever as the foundation of a successful and resilient University. It ensures that decisions are made transparently, strategically, and in the best interests of the University. Over the past year, as the governing body of the University, Council has played a critical role in ensuring robust scrutiny and effective governance of the University’s strategy and finances and has upheld the highest standards of governance to support the University through this time of difficult and significant sector-wide change. As part of a sustained commitment to continuous improvement, Council has continued to strengthen the University’s governance structures including introducing changes to the University Court to enhance its role as a forum for engaging with the wider community and as an important link with the University’s stakeholders.

engaging students in institutional continued commitment and contribution processes, such as policy development, to the University. strategic planning, and quality assurance, ensures that the University remains responsive to their needs and experiences. Moreover, embedding student voice into governance structures enhances trust, promotes democratic values, and supports continuous improvement by incorporating diverse perspectives into institutional leadership Mr Goi Ashmore and oversight. Chair of Council I would like to highlight just two of the 28 November 2025 University’s recent successes. Firstly the improvements in the National Student Survey 2025, which at a time of considerable competition in student recruitment provide important, positive messages for prospective students, and secondly the University securing its highest ever position in the QS World University Rankings advancing the University's reputation globally. On behalf of the Council, I would like to take this opportunity to thank staff whose collective efforts have been instrumental in these achievements, and to acknowledge the vital role all our staff play in shaping the University’s success and its future.

The next few years will be crucial for us, as they will be for all UK universities. We need to maintain our standing as a University that prides itself on outstanding research and the highest quality teaching. As long as we continue to work together, I have every confidence we will rise to the challenges ahead and continue to thrive.

The University is proud of the quality of Finally, I would like to take this our student experience, and remains opportunity thank the Vice-Chancellor, committed to listening to and acting on the Senior Leadership Team, and all our the voices of our students. Student voice University staff for their ongoing plays a vital role in the University’s dedication and hard work, and also to governance, serving as a cornerstone thank all members of the University for transparency, accountability, and Council and its committees, who inclusive decision-making. From a voluntarily give their time and expertise governance perspective, actively to support the University, for their

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VICE-CHANCELLOR'S REVIEW

We publish this report at a particularly National Student Survey 2025, including challenging time for higher education in an overall course satisfaction rate of 84%. the UK. Swansea University has not been Our commitment to research excellence immune to these pressures, necessitating has been supported by our grant capture considerable focus on achieving the performance this year (see page 14) and outcomes of our Financial Sustainability has driven a further improvement in our Programme (a combination of pay and placement within the QS World Rankings non-pay savings and income generation 2026. Swansea University is now ranked initiatives to improve our future outlook) 292nd in the world, representing our this year, alongside our continued highest ever position. In respect of commitment to providing transformative enterprise, we were delighted to be ranked learning experiences, shaped by our 8th in the UK in this year’s Spotlight on world-leading research.

Our commitment to research excellence has been supported by our grant capture performance this year (see page 14) and has driven a further improvement in our placement within the QS World Rankings 2026. Swansea University is now ranked 292nd in the world, representing our highest ever position. In respect of enterprise, we were delighted to be ranked 8th in the UK in this year’s Spotlight on Spinouts report (2025), and to be recognised as one of just five UK universities to have more than 100 spinout companies registered.

Thanks to the resilience of our leaders and colleagues, and support from our University Council, we are making good progress in reshaping our institution, such that it will be resilient in the face of challenging external circumstances. Despite recent UK policy changes significantly affecting our ability to recruit international students and a rising cost base due to continued inflationary pressures, we are confident in our ability to retain focus on our core purpose and mission, as has been the case this year.

We have retained our strong sense of mission to both our planet and its people. We continue to make significant progress on our Pathway to Zero roadmap (see page 24), through which we have now reduced our Scope 1 and 2 campus emissions by 39% since 2015/16. Supported by external funding such as that secured from Welsh Government’s ~~EE~~ Digarbon Scheme, we remain committed to our ambition to become a net zero university by 2035. We are also incredibly proud to have been awarded University of Sanctuary status in 2025, reflecting the compassion and commitment of our staff, students and alumni in creating a truly welcoming environment for those fleeing conflict and persecution.

We are nearing completion of our Professional Services Redesign programme; a significant transformation through which we are seeking to improve the efficiency and effectiveness of every service area across our institution.

We have also achieved significant success conflict and persecution. during 2024/25 across our five strategic pillars (see page 10). We have embarked Finally, throughout the year we have on a major programme to transform our retained our institutional focus on curriculum, ensuring that our teaching partnership, both locally (including meets the needs of our learners and continued progress on our major Swansea equips them with the skills required of the Bay City Deal projects) and globally, with workforce of the future. We have also the successful launch of our Joint launched Hwb, a single point of access for Education Institute with Nanjing Tech student support and information. And we University in China with a first cohort of were delighted to have seen improvements 247 students; just one example from a across a range of measures within the number of developing international

initiatives (see page 20). This commitment to collaborative working for the benefit of our own region and communities across the world forms the basis of our developing future strategy, which we will launch in 2025/26. Through this refreshed vision, and despite the challenges ahead, we are determined to retain our institution’s strong commitment to partnership, which has enabled us both to strive for excellence and to make a difference throughout our history.

Professor Paul Boyle, Vice-Chancellor

28 November 2025

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STUDENT NUMBERS FACTS AND FIGURES 16 348 6 264 , , The University utilises a number of Key Performance Indicators (KPIs) to assist in the monitoring of the University against its objectives. A selection of the main UNDERGRADUATES POSTGRADUATES KPIs are shown below. Where possible, 2024-25 figures are reported but in some cases the most recent HESA data available will relate to 2023-24. 17 699 , 5,102 HOME STUDENTS OVERSEAS STUDENTS neti eae onrnermas STUDENT OUTCOMES 5 : : ee eee eB ei eS Speen ae SSN lanes el OF STUDENTS ce aN el i of = = Sees i Se Salyers So Sa Siege pony ee iS as ie oS ee per eee 84% ARE SATISFIED 2 : Se a ie Se Oe Sa Se eS ee Scie ee eae National Student Survev (NSS 2025) ZTESe eeeree SSS ere oe ee a 2 : Ze — (se neoay ae MeepeF Z ee-5 Bee gre— 2 4b[) Dig.FA ee BeekPe Ae LN ao hee a ae : ACHIEVED A FIRST ae ON es ge 7 eer Pe eee cg § ek oa es - z a ¢ : ee 3 = oT PS ee Care sa) 77% OR 2:1 DEGREE ne a ee - ee gee SSa Se a ES 4 ' aeee i a ae gee a ee —_— ll, Ee > OSS a =<,“at i walk SS we eS a (HESA DATA 23 - 24) ie arek, x HAD A POSITIVE d = See NG = eee —- 2 ie SSS ae Len SA, ee oe ee ee A ES © oar we Ee 81.0%* GRADUATE OUTCOME[ee][ee][ ee][eee][ eels][al] cS i ey cel aaa: Oy) een5 ee | anhd aleef= > Sy Lie,Mewwe,ahs,3AEF Sze: ——1[oar] reece ged eee jpaeeeerer ry fet sis Ligssamer us | aS (TIMES GOOD UNIVERSITY GUIDE 2026) es ee a ee cee

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OUR STRATEGIC VISION

Our Vision

Our University’s Strategic Vision and Purpose document (published in 2020) states that we are, and will remain, a principled, purposeful and resilient institution that balances excellent teaching with world-leading research and innovation in an open environment which enables our students and colleagues to excel.

While we are valued globally as a trusted partner, we are also deeply committed to our region and are proud to be a university for Wales.

Our Strategy

Our Strategy reflects this vision. Our community of colleagues, students, partners and stakeholders is characterised by the distinct values, culture and behaviours that lie at our core.

The commitment of our community underpins the five key strategic pillars of our University; our civic mission, student experience, learning and teaching, research and enterprise. Each of these is marked by our commitment to making a difference, to being socially responsible, to striving for excellence, and to maintaining a global outlook that enables us to be a community University with international reach and reputation.

Our work is enabled by strong leadership and robust governance, effective communication and a commitment to financial and environmental sustainability. It is built upon our digital and physical infrastructure, our internationalisation strategy and our approach to recruiting talented and enthusiastic colleagues.

and are working to protect the most vulnerable in our society and to enrich all our lives through our understanding of history and the arts.

Key Pillars

Our Civic Mission

We are proud to belong to the City of Swansea and the wider Swansea Bay City Region, and we celebrate that heritage. With campuses in three local authority areas, we recognise that our University is the region’s university, and that we have a responsibility to work with and for our community and Wales.

Our Enterprise

We are an exceptionally collaborative and entrepreneurial university. We were founded by industry, for industry, and we remain true to the ambitions of our founders in that we work with industrial, commercial and public sector partners for the benefit of our region and nation. We value our partnerships with anchor companies and SMEs in Wales and with the many organisations we collaborate with internationally.

Our Student Experience

Our students are the lifeblood of our University. We take their needs and expectations into account in our decision-making and take pride in our consistently strong reputation for the quality of our student experience, the strength of our student support services and our commitment to student mental health and wellbeing. In partnership with our Students’ Union, we work to ensure that every student who makes Swansea their home experiences the best of us.

Looking ahead

strength of our student support services It has now been five years since we and our commitment to student mental launched our current strategic vision. health and wellbeing. In partnership with Since then, both our institution and our our Students’ Union, we work to ensure sector have faced a period of that every student who makes Swansea unprecedented external change, their home experiences the best of us. including the realisation of post-Brexit impacts, the transformation demanded Our Learning and Teaching by a global pandemic, sustained high The sharing of knowledge to nurture rates of inflation and significant changes independent, critical thinking is to international student visa policy in the fundamental to our purpose. It enables UK. our students to be resilient in the face of We are therefore undertaking a strategic global challenges and to adapt to the refresh, through which we can lay the changing world of work. We celebrate foundations of our future vision. our Welsh heritage and are proud to be Following early engagement with our part of a bilingual nation. We also work Council and senior leaders across our to maintain our status as a community University, we are working to reshape that balances research and teaching our strategy in order to clearly define excellence.

We are therefore undertaking a strategic

refresh, through which we can lay the foundations of our future vision. Following early engagement with our Council and senior leaders across our University, we are working to reshape our strategy in order to clearly define and maximise our strengths and the unique contribution that we make to the world. We plan to launch this refreshed strategy later in 2025/26.

Our Research

Our research changes lives, drives innovation and regional growth, and is aligned to the UN Sustainable Development Goals. It impacts our culture and society as well as our health and wellbeing, our economy and our planet. We drive policy change nationally and internationally. We are exploring new ways to assess and mitigate the risks of the climate crisis

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OUR PEOPLE, VALUES AND CULTURE

Our people are our greatest asset, recognising our commitment to embodying our values and shaping institution-wide race equality. This our University culture. We seek to milestone reflects our dedication to foster a supportive and inclusive creating an inclusive environment where environment, and we work all colleagues and students, especially collaboratively as one institution, those from ethnic minority backgrounds, recognising the unique feel a sense of belonging and have contributions of every colleague equal opportunities to thrive. Looking and student. ahead, we will continue to make progress against our Race Equality Our People and University Culture Action Plan under the leadership of our Strategy Committee continues to play a Deputy Pro-Vice-Chancellor for Equality, pivotal role in shaping and delivering Diversity, Inclusion and Belonging.

Charter Award and launched a robust action plan to build on this progress. Initiatives such as Eid in the Park have strengthened community belonging and empowered staff and students to shape positive change.

We delivered targeted awareness training on Islamophobia and Antisemitism and co-created a race awareness course which is now available to all students. In partnership with Victim Support, staff and students also received Hate Crime awareness and reporting training, reinforcing our commitment to tackling discrimination.

Our People and University Culture Strategy Committee continues to play a pivotal role in shaping and delivering Swansea University’s priorities in respect of our community. Meeting termly and chaired jointly by the Vice-Chancellor and Registrar and Chief Operating Officer, the Committee ensures alignment between people-focused initiatives and our overarching University strategic goals.

Reward and Recognition

In 2024/25, we reaffirmed our commitment to paying the Real Living Wage, ensuring that all colleagues receive fair compensation aligned to the true cost of living.

Throughout the year, we celebrated events that promote diversity and inclusion, including Holocaust Memorial Day, LGBT+ History Month, International Women’s Day, Black History Month, and various interfaith activities. We also began rolling out mandatory race training for all staff, complementing our existing EDI and Unconscious Bias training.

Following engagement with our academic community, we successfully implemented our new Academic Career Pathways, transitioning 1,070 academic colleagues to pathways that reflect the diverse ways in which they contribute throughout their careers. Our new pathways align with sector best practice and support the responsible use of metrics, in line with the Declaration on Research Assessment (DORA) and our membership of the Coalition for Advancing Research Assessment (CoARA).

In 2024/25, we continued to make progress across the key areas identified within our draft People and University Culture Strategy. Recognising the importance of supporting our community as we continue to operate within a challenging financial context, over the past year we have also prioritised wellbeing support and leadership development for our staff.

Supporting our community

This year, we have been conscious of the need to support our community as we seek to achieve our Financial Sustainability Programme aims. We have therefore focused our efforts on providing well-being support and equipping our leaders to navigate this critical period.

Equality, Diversity, Inclusion and Belonging

Swansea University remains a leader in advancing equality, diversity, inclusion and belonging. We are proud to be the first university in Wales to hold an Athena Swan Silver Institutional Award, with two of our three Faculties also holding silver awards. Additionally, two Swansea University colleagues serve as trained Athena Swan Panel reviewers.

We were pleased to run a successful Academic Promotion round in 2024/25, following the difficult decision to defer the process in the previous year. This year, 122 academic colleagues were promoted across our new pathways.

We continued to support the following the difficult decision to defer Professional Services Redesign the process in the previous year. This programme, through which we are year, 122 academic colleagues were seeking to ensure the efficiency and promoted across our new pathways. effectiveness of every service area Enhancing Inclusivity across our University. This has included providing support to colleagues affected In 2025, Swansea University proudly by changes to their roles, and engaging achieved the Bronze Race Equality and formally consulting with our

This year, we achieved our first Bronze Race Equality Charter (REC) Award,

recognised Campus Unions on the impact of any proposed changes to roles or team structures.

We have also provided guidance and resources for colleagues who have opted to utilise our Voluntary Exit Scheme to exit our University during this period. Our Voluntary Exit Scheme closed to our academic staff in January 2025, and to the majority of our Professional Services colleagues in July 2025. We continue to support the small number of colleagues who remain

eligible for the Scheme due to ongoing

Professional Services Redesign activity within their service area.

Leadership development and support has also remained a key focus throughout the year, as we understand the critical role of our leaders in supporting our wider community. This year, our programmes offered a blend of individual coaching and in-person group sessions, which were further supplemented by self-directed learning via LinkedIn Learning.

Finally, we continued to promote physical, mental, and social wellbeing across our community through services such as Occupational Health, counselling, and the digital mental health platform Togetherall. In addition to mental health support, we also endeavoured to support our colleagues’ physical wellbeing through a holistic approach, by offering health assessments and eyesight referrals.

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OUR EDUCATION AND STUDENT EXPERIENCE

places to 38th; and Learning Resources, in which we jumped 50 places to 34th.

300-400 programmes in scope which are due to start in September 2026.

We are committed not only to providing our students with highquality learning and teaching, but also to offering them the support, services and opportunities which enhance and enrich their time with us and beyond.

A number of initiatives launched in 2024/25 will feed into future outcomes, including the development of a Generative AI framework and activity focusing on improving students’ sense of belonging. Our new Timetabling Policy, implemented in 2024/25, has also been a considerable success. Responding to student feedback, we have streamlined our timetabling processes, which has enabled us to produce timetables for all students far earlier in the year than ever before. This will enable our students (and staff) to plan their time more effectively, especially while managing other working commitments and caring responsibilities.

Graduate Attributes

Defining and embedding graduate attributes within our curriculum and student journey has been a key priority this year. Graduate attributes extend beyond academic knowledge, encompassing personal, professional, and social capabilities that prepare our students for success within both their careers and wider societal roles. Embedding graduate attributes and employability into the curriculum helps tackle inequality of opportunity, recognising that some students, such as those with caring responsibilities, have limited capacity to engage with opportunities outside of their formal curriculum. The Careers and Employability Team has played an active role in supporting academic colleagues, with over 57 programmes engaged to date.

Transforming our Curriculum

In 2023, we embarked on an ambitious Curriculum Transformation programme, through which we will ultimately review and redesign our teaching and learning provision across every University discipline and Faculty, at both Undergraduate and Master’s levels. The project will also enhance skills and employability through embedding our Swansea Graduate Attributes (see below). We are proud to take a wholeUniversity approach to the initiative, with Faculty, academic and Professional Services teams working together to deliver a transformative change for our students.

Employability and Skills Strategic Plan

During 2024/25, we developed our Employability and Skills Strategic Plan to focus resources on areas with the greatest potential impact. Its creation was led by Professor Gavin Bunting (Deputy Pro-Vice-Chancellor), and the Students Futures Board, with staff, students and employers engaged throughout the process via workshops and meetings. The Strategic Plan is based on a set of collective goals, which have already led to an increased use of Industrial Boards within curriculum design and better opportunities for students to undertake employment experiences during their programmes, all of which will contribute to positive graduate outcomes.

Responding to student feedback

Since the project’s inception, we have developed a robust Curriculum Framework, covering teaching content, delivery, and assessment design. Colleagues now have a clear and consistent set of structures upon which to (re)design both existing and new programmes. Six design principles underpin the framework, including cocreation with colleagues, students and external stakeholders; inclusive and accessible learning; and integrating new technology.

We remain committed to improving the learning experience by working in close partnership with our students and acting on their feedback. Centering the Student Voice was a key priority throughout 2024/25, and we have sought to improve channels of communication across our University community.

We were delighted, therefore, that in the most recent National Student Survey (NSS) 2025 results, we saw an improvement in our performance across all 27 questions, which translated into rank increases in 7 out of the 8 NSS themes (including overall satisfaction). Noteworthy rises include Academic Support, up 21 places to 39th in the UK; Organisation and Management, up 23

In 2024/25, we approved the first 29 programmes which have been through our Curriculum Transformation process. These are due to commence in 2025/ 26, and over the coming 12 months we will continue to work on the remaining

To support the Plan’s delivery, we launched a newly designed Careers and Employability Team this year. This has enabled our expert careers and employability support to be fully

coordinated and consistent across the institution, reducing duplication and ensuring that every student has access to the same high-quality advice, no matter their course or location.

Safeguarding and Disclosure Response Service

In 2024/25, we launched our Safeguarding and Disclosure Response Service. This dedicated provision ensures that any student affected by abuse, harm, exploitation, or other safeguarding concerns receives timely, expert support. The service was created in recognition of the increasing complexity of safeguarding issues within higher education and the need for a consistent and professional response.

The service is led by a Designated Safeguarding Lead who holds responsibility for institutional coordination and strategic oversight. A

trained team of Safeguarding and Disclosure Advisors supports the management of disclosures relating to sexual misconduct, domestic violence, hate incidents, peer conflict, and other serious concerns. These responders work closely with academic departments, residences, student cases and external partners including South Wales Police, NHS and local safeguarding boards.

Accessibility is a central feature of the service. Students on placement, those studying overseas, or living off campus can access support remotely through a secure disclosure portal and virtual appointments. This ensures a consistent and inclusive approach, regardless of a student’s physical location.

Hwb: A new gateway to student support services

In 2024/25 we challenged ourselves to design a new model of student support

that would provide clear, coordinated and visible access to services that promote wellbeing, academic success, and inclusion. After extensive consultation with students and staff, we finalised the service and brand to create Hwb .

Launching in September 2025, Hwb will seek to address the complexities of navigating University structures by offering students a single point of access – both in-person and digital – for a wide range of activities, including: health and wellbeing, disability services, academic and study skill, financial support, and transitions into and through higher education. Through real-time chat, virtual appointments, and a digital referral system, Hwb will provide a flexible and inclusive offer that meets the needs of the modern student.

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OUR RESEARCH AND ENTERPRISE

~~Prevention and Self Harm Research. In collaboration with Cardiff University, the University of South Wales (USW), and Samaritans, the National Centre will drive research excellence and pioneer change in policy and practice in suicide prevention and self-harm. The SAIL (Secure Anonymised Information Linkage) Databank also secured £4.5m in funding, enabling SAIL to maintain its role as a trusted resource for researchers using linked, anonymized data to improve health and social care.~~

total external research funding (grants and contracts) is a key metric for us. It is encouraging to note a significant positive trend in this figure, which now exceeds 20%. This overall increase in cost recovery is the result of detailed work undertaken on each external funding application to assess the financial viability of projects and to inform our decision making.

Our curiosity-driven and sustainability-focused research and innovation activity is helping to address the net zero challenge, tackle climate change, build a connected and inclusive society, enhance health and wellbeing, and embrace the richness of place and culture.

Research funding and support

We remain extremely active across the breadth of our academic Faculties in respect of submitting competitive bids for external research funding, with examples of particular funding success this year as follows:

External investment to support our research and innovation activity is critical, as it underpins our ability to generate and publish groundbreaking outputs and to maximise our research activity’s beneficial impacts. In 2024/25, we are proud to have increased both the total value of research applications submitted and research awards secured across our University community.

~~Dr Laura Seymour of our Faculty of Humanities and Social Sciences was awarded a prestigious six-year Career Development Award by the Wellcome Trust, which aims to shift the understanding of what we currently call neurodivergence, by investigating similar concepts used by early modern people. Dr Seymour’s project (AMEND) is the first Europe-wide analysis of neurodiversity and neurodivergence in early modern literary, legal, and theological texts. AMEND will challenge ableism in academia and gain new insights into literature by honing neurodivergent reading as a critical discipline.~~

~~Dr Ashley Willow, Senior Lecturer in Chemical Engineering in our Faculty of Science and Engineering, is colead of a pioneering research partnership with the University of Limerick, aimed at driving innovation in battery technology. The project is supported by the Wales-Ireland Research Alliance Award and combines Swansea’s expertise in battery materials and design with Limerick’s advancements in component development to create cutting-edge sodium metal batteries that circumvent the need to handle sodium metal during manufacturing, a so-called “anode-free” solution.~~

In particular, we have continued our successful transition away from European Structural and Investment Funds (ESIF) as a key source of financial support for our research and innovation activities, focusing instead on grant funding from UK Research and Innovation (UKRI). We are delighted that both the total value of applications submitted to UKRI, and the total value of grants awarded by UKRI, have again increased compared to previous years, which is indicative of both the ambition and the competitiveness of our research proposals.

~~Colleagues within our Faculty of Medicine, Health and Life Science have secured £10m of new investment from the Health and Care Research Wales Infrastructure Research Group 2025-2030 programme. Impressively, Swansea researchers are core research partners across ten programmes and are lead partners for three further awards, the latter including the National Centre for Suicide~~

Horizon Europe

Since the UK’s formal Association to Horizon Europe in 2024, we have been proactive in encouraging our research community to engage with the flagship Horizon Europe programme, including by participating in pump-priming opportunities offered by Welsh Government and others. Consequently, Swansea researchers continue to be

Given the financial challenges facing our sector at present, we are increasingly focused on the sustainability of our research operations. Maximising cost recovery across our externally funded research portfolio is therefore critical, and the level of cash contribution secured as a percentage of

heavily involved in network and consortium building events in Brussels.

Examples of our recent successes include:

~~Partnership in the new SAFEPOWER project, via Professor Mike Jennings of the Centre for Integrative Semiconductor Materials, CISM. Led by the Institute of Microelectronics of Barcelona, the project aims to transform energy systems by creating new Medium-Voltage Direct Current (MVDC) converters for application in offshore wind and solar farms, electric vehicle fast charging and data centres for high performance computing.~~

~~Involvement in the large-scale, EUfunded consortium project SERENA, which seeks to investigate and improve access to health and social care services for children rendered~~

~~vulnerable by abuse. The project, in~~ pillars: ~~which Swansea University’s~~ • Enabling excellence in responsible ~~engagement is led by Professor~~ research; ~~Sinead Brophy and Dr Natasha~~ • Recognising diverse contributions; ~~Kennedy, focuses on child maltreatment. This remains a~~ • Developing careers; • ~~widespread yet underreported issue~~ Connecting and belonging; and ~~across Europe, with serious long-term~~ • Wellbeing. ~~consequences for victims' mental and physical health. SERENA will assess barriers and care pathways across~~ In support of pillars one and two, ~~Europe, generating evidence-based~~ Swansea University is proud to be a ~~recommendations to improve~~ signatory to the Coalition of ~~detection, care and policy.~~ Advancement of Research

In support of pillars one and two, Swansea University is proud to be a signatory to the Coalition of Advancement of Research Assessment (CoARA) and a co-lead for the CoARA UK National Chapter. This year, we have undertaken an extensive reform of our Academic Career Pathways, through which we have sought to enhance the responsible assessment of research and innovation across our community, including by recognising diverse contributions to research

Research Culture

At Swansea University we recognise the importance of the environment and opportunities which we foster and their direct contribution to our continued research excellence. In 2024/25, we were pleased to establish our first Research Culture Action Plan, which comprises five key

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(e.g. Open Research practices) with Similarly, in 2025 seven Swansea the responsible use of metrics. We colleagues were among the new have been successfully funded entrants to the Learned Society of through a CoARA Cascade Boost Wales’ Fellowship. They join more award to evaluate the impact of these than 700 Fellows elected to the changes. Learned Society of Wales, representing excellence in the We have also undertaken a range of sciences, humanities, arts, social activities aligned to our new Action sciences and other fields.

We have also undertaken a range of activities aligned to our new Action Plan, and in support of our institutional research culture, including hosting the 4th Annual Symposium in support of the Technician Commitment in July 2025, and the development of a new awardwinning action plan for our technician community. Similarly, a National Post-Doc Appreciation Week event was held in September 2024 in recognition of the diverse contributions of our postdoctoral community to research and innovation. Finally, Advance HE inclusive training opportunities have been supported through our Medr Research Culture Fund, providing places on equality, diversity and inclusivity (EDI)-oriented leadership programmes across our University, including Aurora Leadership, Aurora mentoring and Diversifying Leadership, addressing gaps identified in Swansea’s recently awarded Race Equality Charter Award.

International recognition for innovation and enterprise

As an institution founded by industry and for industry, the spirit of entrepreneurship is woven into both our community culture and our student experience. This year, we are proud to have achieved considerable external recognition of our dynamic ecosystem of support, mentorship and funding:

~~Runner-Up in the Triple E European Entrepreneurial and Innovative University of the Year Award 2024, organised by the Accreditation Council for Entrepreneurial & Engaged Universities (ACEEU);~~

~~Shortlisted for the Triple E Award for the European Innovation and Entrepreneurship Activators of the Year (2025);~~

~~Our University was ranked 2nd in Wales and 15th in the UK for the number of student and graduate startups and businesses surviving over three years. Our performance with the latter metric has increased by 90% year-on-year, seeing us raise from 60th to 35th in the UK (HE-BCI dataset 2023/24);~~

Research Leadership

An impressive total of eight of Swansea University researchers were selected to join the 2025 Welsh Crucible cohort of 30 outstanding researchers from across Wales. Welsh Crucible is an award-winning programme designed to foster personal, professional and leadership development among future research leaders in Wales via participation in a series of immersive residential workshops, known as skills labs. The programme provides a platform for interdisciplinary collaboration and supports participants to enhance the imapct of their research, while promoting the development of international research careers within

~~Our University was named a Substantive Adopter of the recommendations set out in the UK Government’s Independent Review of UK Spin-Out Companies, recognising that we are already demonstrating best practice on issues such as equity distribution to founders and stakeholders.~~

imapct of their research, while ~~The new UK Spin-Out Register~~ promoting the development of ~~published by HESA in June 2025~~ international research careers within ~~ranked Swansea University fourth in~~ Wales. ~~the UK for the number of spinouts~~

~~(behind only Oxford, Cambridge, and UCL).~~

~~Taken together, this recognition underscores our thriving culture of entrepreneurship and reflects our continued dedication to delivering the aims and ambitions of our University’s Enterprise Strategy.~~

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OUR INTERNATIONAL UNIVERSITY

partners. In South Asia, we have strengthened our digital presence through joint webinars for prospective students, and we continue to evolve our academic portfolio through initiatives such as the development of a new Foundation in Nursing and Healthcare.

We are committed to ensuring that alumni. In 2024/2025, we organized Swansea University is a global 17 events to engage international alumni university for everyone, where across various regions, including Delhi, international students are valued Mumbai, Brussels, Beijing, Riyadh, members of our community and all Berlin, Bangkok, Kuala Lumpur (in students are afforded an conjunction with the launch of our new international experience, whether office in Malaysia), Hong Kong, Qatar, at home or overseas. We are and Zimbabwe. working to embed Swansea International Student Experience University as a global partner of choice for both education and In 2024/25, our Go Global exchange research collaboration. and study abroad programmes continue

Together we have welcomed students to study in Swansea from 90 countries including India, China, Nigeria, Saudi, Kuwait, Canada, Qatar, Turkey and Iran. We continue to offer flexibility, with multiple entry points across the year to attract qualified students from a range of academic and professional backgrounds. The launch of our new BSc Global Business Management TopUp degree has been extremely successful, especially in China, and we expect to enrole 50-60 new students in next year’s cycle. We have also positioned Swansea to increase market share through the opening of physical offices in Malaysia and the UAE.

In 2024/25, our Go Global exchange and study abroad programmes continue to enable students across our University to enjoy overseas study and cultural opportunities, including work experience, field trips, medical electives and study exchanges, supported by Taith and Turing funding.

Despite sweeping changes to the UK’s student visa policy framework over the past year, which have led to a significant reduction in the number of international students opting to study in the UK and therefore Swansea, we have continued to work to deliver our strategic objectives and support our ongoing transformation into a truly global university. We are shaping our global offering to include multiple modes of study across a range of academic models delivered in partnership with institutions around the world and at home, including the advent of an online portfolio. This transformation will draw students from new sources, regions and backgrounds, attracted by flexible hybrid teaching, globally located study opportunities and flexible learning.

In May 2025, we unveiled our new Global Lounge; a vibrant space designed to bring students together, celebrate diversity and create a welcoming community for all. Inspired by the vision of alumnus Mr Andrew Shin from Hong Kong, the Lounge will support future generations of students to build lasting connections and flourish in their new environment.

Transformative Global Partnerships

Providing students with opportunities to access a Swansea University education across the world is increasingly important given the more restrictive UK visa policy framework for international students who wish to study in the UK.

We have worked alongside our pathway partner, The College Swansea University, to respond flexibly to ever-changing market demand by continuing to diversify our student recruitment pipelines. This has included delivering highly-interactive joint agent training events in key UK cities (London, Birmingham and Manchester), targeted recruitment visits to the Middle East to support government-sponsored Foundation year students, and exploratory market development work in Central Asia (including Uzbekistan and Kazakhstan) which will inform future University engagement with regional

In 2024/25, we continued to grow our global network, with academic partnerships approved for franchised delivery, collaborative degrees and articulation. These efforts afford students the opportunity to study for a Swansea University degree at locations around the world, while our Transnational Education (TNE) activities widen access on a global scale while contributing positively towards our environmental sustainability. Providing students with opportunities to

Our global profile

In the QS World University Rankings 2026, we secured our highest ever position, rising to 292nd in the world. Our success is driven by strong performances in sustainability, international students, employer and academic reputation.

We continued to engage meaningfully with our ever-growing community of inspiring and impactful international

access a Swansea University education across the world is also increasingly important given the more restrictive UK visa policy framework for international students who wish to study in the UK.

In September 2024, we launched our double degree in Maritime Law with Dalian Maritime University in China with 77 students. The Chinese Ministry of Education also approved our Joint Education Institute with Nanjing Tech University in May 2025, which will offer undergraduate and postgraduate double degrees in Engineering, and Swanseaawarded Postgraduate Research degrees. We will formally launch the Institute in September 2025 with over 200 undergraduate students. We are also increasing the number of undergraduate students studying on our Joint Education Programme with Harbin Engineering University in China by 50%.

Our agreement with Uniciti International Education Hub (UIEH) in Mauritius is taking an ambitious step forward with a proposed Graduate Entry degree in Medicine. This will be the first UK-Africa partnered medical school in Africa aimed at supporting the training of medical professionals across the region – a significant development to the Nursing BSc and CPD courses currently delivered in Mauritius.

Our partnership with Petro Mohyla Black Sea National University in Ukraine is now entering its fourth year. In 2024/25, we continued to offer inbound visits and lectures to students and staff, developed joint research grants and held a joint student seminar series. The partnership continues to grow, with the development of a joint online Global Challenges MSc scheduled for September 2026, scholarships for which will be available thanks to the support of our generous alumni.

In 24/25 we took positive steps towards expanding our presence in Malaysia, including opening our new office in Kuala Lumpur, ensuring we are able to work with local knowledge and networks. We have also joined the UK-Malaysia University Consortium which will assist

us in developing our partnerships and collaborations in this region. We are actively pursuing a variety of opportunities in this area, including submitting an application to the Malaysian Bar Council for recognition of our LLB degrees.

Finally, we continue to explore and grow our franchised TNE collaborations. In September 2024, we launched two franchised Postgraduate Teaching degree collaborations in Psychology with Independent Studies of Science and Technology (IST) in Greece. We are capitalising on this developing partnership by expanding our provision to include franchised undergraduate programmes in Psychology and Business Management from September 2025. We will also be launching a franchise of the BSc Global Business Management (top-up) with the ERC Institute in Singapore in September.

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21

OUR ESTATE

Our physical and digital estate is critical to the overall experience of our staff, students and wider community. We are therefore proud to have made progress across a number of key initiatives this year.

Decarbonisation Interventions

In 2020, we set a target to achieve a 100% reduction in scope 1 and 2 carbon emissions by 2035, and a 50% reduction in scope 3 emissions by the same date. We subsequently developed a Decarbonisation Action Plan detailing carbon reduction projects needed to achieve these targets. In 2024, we successfully secured £11.4m funding from Welsh Government’s Digarbon programme to support several projects related to decarbonisation and improving the energy efficiency of our buildings.

Space Optimisation

Our Space Optimisation Programme is a comprehensive initiative launched in 2024 to enhance the efficient use and management of space across our University estate. We aim to reduce our overall footprint utilisation by 20%, promoting efficiency and financial sustainability, and improving the user experience for both our staff and our students.

Phase one is being implemented from July 2025 to December 2025, and further space efficiencies will include:

Joint Venture

Swansea University and Swansea Council have been working collaboratively for several years to explore the opportunities to develop a future operating model for Swansea Bay Sports Park (SBSP). This builds upon the successful joint venture partnership between the University and Council in place since 1999 to run the Wales National Pool (WNP).

The partners have agreed to move all Swansea Bay Sports Park operations (including the WNP) into a new joint venture model over the next year. This will ensure a more holistic operation for the future and realise a range of benefits for both partners, along with our wider community.

University Network Upgrade

This year, we have completed installation of 12km of fiber-optic cabling within 57 buildings across our Bay and Singleton campuses. This has provided a flexible, more resilient backbone upon which we are implementing a higher-capacity secure network for teaching, learning, and research. In addition, we have replaced all Wi-Fi access points with the latest technology and upgraded Wi-Fi services in both Bay and Singleton Park Libraries to boost coverage and performance.

Data Centre Cloud Migration:

We have completed a migration of 700 servers from our data center into the cloud. The project has provided a foundation for modernising our IT infrastructure through cloud-enabled techniques, particularly in data/artificial intelligence (AI) and application modernisation, and is a step towards a cloud-focused 24/7 service. This migration has also improved our data security and resilience.

The cyber threat landscape continues to be extremely challenging, in part given the current geopolitical climate. We proactively monitor any potential cyber issues, and we continue to work with JISC (the UK sector digital services partner) to improve our cyber security, including the implementation of a new Security Operations Centre.

Teaching Space AV Improvements:

We have upgraded ageing audio-visual equipment in 21 key teaching locations (with a combined maximum capacity of 5,000) to improve the teaching and learning experience for both our students and our staff.

Looking Ahead:

We are also actively undertaking three major transformation projects which will benefit our whole University community:

Swansea Bay Sports Park (SBSP) Cyber and Information Security:

22

23

OUR SUSTAINABILITY

the Uni Green laboratory equipment reuse scheme and a partnership with a local company to upcycle and reupholster furniture. Through WARP-IT (our internal reuse marketplace) and campus donation points, hundreds of items, including furniture and clothing, have been repurposed or donated to charities.

We remain committed to shaping a more sustainable future for our community and the world. We are ISO 14001 and Eco Campus Platinum certified and within our Sustainability and Climate Emergency Strategy (2021-2025) we have pledged to:

Positive Universities Alliance, we are the Uni Green laboratory equipment committed to assessing the reuse scheme and a partnership with a environmental impact of our activities local company to upcycle and and taking meaningful action to leave reupholster furniture. Through WARP-IT nature in a better state. We have (our internal reuse marketplace) and mapped the diverse habitats across our campus donation points, hundreds of campuses, and staff and students have items, including furniture and clothing, created 1.2 hectares of wildflower have been repurposed or donated to meadow, enriching biodiversity with charities. over 5,000 wildflower plug plants and We are also tackling food and materials seeds. waste while supporting students with the Our commitment to environmental cost-of-living. Our ‘Too Good To Go’ stewardship is reflected in our Green partnership reduces food waste from Flag awards and an expanding catering outlets, and ‘Play it Again programme of nature-positive initiatives. Sports’ gives pre-loved sports equipment a second life.

Our commitment to environmental stewardship is reflected in our Green Flag awards and an expanding programme of nature-positive initiatives. We support student and staff involvement through biodiversity internships, regular beach cleans, conservation work at local sites of special scientific interest, and opportunities for staff and students to grow fruit and vegetables on campus. We also carry out regular wildlife surveys and continue to enhance green infrastructure to support biodiversity.

Our collaboration with the Swansea Community Environment Centre included several Repair Cafes, where items such as laptops and bikes were fixed on campus. And, in partnership with Goleudy, we also hosted campus community fridge events, distributing over 400kg of surplus food to students — reducing waste and helping to ease financial pressures for our staff and students.

This year, we have made good progress towards our goal of reaching net zero carbon emissions by 2035. Since 2015/ 16, we have reduced campus and vehicle carbon emissions by 39% and cut indirect emissions, including those from travel and our supply chain, by 23%.

Beyond our campuses, we work closely with Local Nature Partnerships to align our efforts with regional priorities. These collaborations have helped us secure support from key partners, including Swansea and Neath Port Talbot councils and Natural Resources Wales.

Our sustainable travel

At Swansea University, we recognise both the environmental impact of travel and its potential to promote health and wellbeing. We are committed to encouraging low-carbon, active travel for students and staff.

Our decarbonisation efforts within our current Sustainability Strategy period (2021 – 2025), include installing over 2,000 solar panels across campus rooftops to generate renewable power and replacing lighting with more than 7,500 smart LED units. We are also enhancing Electric Vehicle (EV) readiness with 20 new EV charging points now available to campus users.

Our working environment

Our ISO 14001 Environmental Management System, LEAF and Sustainable Restaurant Association certifications support us to manage risk and deliver sustainability action plans that minimise environmental impact and support sustainable development.

Our popular Bike Hire Scheme continues to grow, and we are proud to be the first university in Wales to earn Cycle Friendly Employer accreditation. Staff participation in the Cycle to Work scheme remains strong, while students benefit from free bike lights and locks, security marking, and free maintenance and cycling sessions in partnership with Bikeability Wales.

Beyond enhancing our infrastructure, we are fostering a culture of sustainability through carbon literacy. As of 2024/25, over 200 Climate and Carbon Literacy training courses have been completed by staff and students.

We proudly retain our status as a zero waste to landfill university, and as of 2024/25, over 65% of our waste is recycled or reused. We have fully implemented the Welsh Government’s Workplace Recycling Regulations and reduced waste through initiatives such as

To further support sustainable commuting, this year we have continued to offer discounted bus passes and

Our natural environment

As a founding signatory of the Nature

deliver regular Travel Champion training. We are also a founding member and coordinator of the Swansea Bay Health Travel Charter, promoting active, sustainable travel across the region.

Our fleet now includes over 10 electric vehicles and an electric cargo bike and we continue to support regional implementation of low carbon hydrogen fuelled public transport.

As we enter the final year of our current Sustainability and Climate Emergency Strategy, Swansea University remains firmly committed to accelerating our progress. Building on the strong foundations already laid, the next chapter of our journey will focus on embedding net zero pathways, enhancing nature recovery and expanding our impact through research, education, and community engagement. Together, and in partnership with our staff, students, collaborators and wider community, we are shaping a resilient, inclusive, and sustainable future for all.

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25

Decarbonisation and Energy Efficiency

OUR PROGRESS IN NUMBERS

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----- Start of picture text -----
Installed
Reduced
Scope 3 emissions by
2,000
23%
Solar panels,
significantly boosting on-site since 2015
renewable energy
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Our natural environment

24 Beach Cleans per year with staff and students since 2023

Green Flag Bird and bat Awards boxes installed 2 since 2023 30

6 Bug hotels added to enhance biodiversity since 2023

Wildflower meadow 1.2 Hectares across campuses since 2023

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Installed
7,500
smart LED lights,
cutting electricity use
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----- Start of picture text -----
Delivered NT Installed
} e a oie
3 Net Zero
EV
Ready buildings, : 20 chargers
advancing energy
to support low-carbon travel
efficiency
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Achieved a 39% reduction in emissions from campuses and vehicle fleet on our Path to Zero by 2035

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since 2023
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27

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28
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Sustainable Food and Circular Economy

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----- Start of picture text -----
Donated
Reused
2 of surplus food
via Goleudy
Rating 50+ 400kg Community
from the Sustainable tonnes of furniture Fridge events
Restaurant Association through Warp-Itsince 2023 -Ss
since 2023
since 2023
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Sustainability Education and Engagement

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14
LEAF certified
green labs
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Sustainable Transport and Active Travel

Supported

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cycle roadshows
sustainable commuting via
8 across both campuses
active travel initiatives
500 Bikes
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Scope of Financial Statements University and the sector as a whole, year of £44.1m, however as savings These Financial Statements as recruitment becomes more targets were exceeded the actual competitive for both home and operating deficit is £4.2m lower than consolidate Swansea University, overseas students. The University forecast at £39.9m. The University its subsidiary undertakings and implemented a three-year Financial reported a positive EBITDA of £1.5m associated companies and have been Sustainability Programme (FSP) in the and maintained a strong year-end prepared in accordance with Financial summer of 2023, which saw ambitious cash position of £97.6m, equating to Reporting Standard 102 (FRS102) as targets for pay and non-pay savings 104 days of liquidity. interpreted by the 2019 edition of the as well as for additional income Statement of Recommended Practice: Accounting for further and higher generation. education. Whilst excellent progress has been The University also forecast that two of its three banking covenants with the made in delivering the savings against Overview this programme, the continued European Investment Bank (EIB) would be breached at 31 July 2025 and ———_ The University’s financial strategy changes to UK immigration policy successfully negotiated a waiver and FINANCIAL continues to focus on generating have negatively impacted recruitment amendment letter in November 2024. sufficient cash to provide resilience, from overseas students this year and The University has agreed a further create the necessary levels of additional savings were made in year waiver with the EIB in respect of the working capital and to enable to mitigate the reduced income. year to 31 July 2026. essential investment in the estate The University had planned for REVIEW and infrastructure projects. This an underlying operating deficit is increasingly challenging for the (excluding pension adjustments) this Income – decreased by 13% to £334m 2025 saw a decline in income of £48.1m with income across all categories decreasing. Tuition fees and education Highlights contracts suffered the largest decrease with a fall of £36.7m in the year, with research contracts being £5.6m lower than in 2024. 2025 2024 2025 2024 = With the USS pension scheme now being fully funded, there are no significant pension adjustments as there have been Operating (deficit)/ surplus in prior years. Operating (deficit) / surplus (£39m) £83m as % of income (12%) 22% INCOME AND OPERATING SURPLUS AS A % OF INCOME Operating (deficit) / surplus excluding pension 450 25% (Deficit) excluding USS and adjustments as a % of 20% SUPS pension adjustments (£40m) (£15m) income (12%) (4%) 400 15% 350 Total comprehensive income (£35m) £80m 10% 300 5% EBITDA £1m £28m EBITDA as % of income 0% 7% 250 0% 200 -5% Net cash outflow from 150 -10% Net cash outflow from operating activities as % operating activities (£16m) (£19m) of income (5%) (5%) 100 -15% 50 -20% ~~Py~~ Cash & cash investments 0 -25% at the year-end £98m £121m Liquidity days 104 121 2025 2024 2023 2022 2021 ~~;~~ Total Income Operating surplus Operating surplus adjusted for as % Income non–cash pension costs as % Income 30

The University also forecast that two of its three banking covenants with the European Investment Bank (EIB) would be breached at 31 July 2025 and successfully negotiated a waiver and amendment letter in November 2024. The University has agreed a further waiver with the EIB in respect of the year to 31 July 2026.

31

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INCOME BY CATEGORY
£67m
y
2025 £177m
£51m
£39m
£71m
Tuition Fee
Funding body grants
2024 £57m £213m
Research
Other income
£41m
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Funding body specific non-recurrent grants to support research and innovation decreased in the year to 31 July 2025 with the completion of a number of research projects, a decrease in funding allocation, and the reclassification of Research Wales Innovation Fund as recurring which totalled £1.6m in the year. A further £4.2m of capital grant receipts were received, an increase of £2.8m from the prior year, reflecting additional grant provided by Welsh Government to support strategic projects including those in support of the University’s decarbonisation goals.

immigration policies which is being reflected in reduced numbers of students choosing to come to the UK to study.

Tuition fee income decreased by 17% to £177m.

Like many in the higher education sector, recruitment of both home and international students continued to be challenging in 2024/25. Tuition fee income decreased by £36.7m from the prior year, with the most significant decline in numbers being in international students. After several successful years of recruiting overseas students, new international applicants decreased substantially whilst there was a smaller decline in continuing students. There remains ongoing uncertainty in the overseas market in the UK government

Funding body grants (excluding capital grant income) decreased by 6% to £34m.

Recurrent grants for teaching and research (excluding capital) remained relatively consistent with the prior year at £30.0m, whilst capital recurrent grants decreased by £2.2m to £1.2m due to the delay in the timing of the receipt of £1.2m of Higher Education Research Capital.

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TUITION FEE INCOME
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250
213m
200 199m
188m 184m
177m
150
100
50
0
2025 2024 2023 2022 2021
Home & EU (inc all part-time) Overseas NHS
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33

Catering income for the year declined by £0.3m which was attributable to the lower campus footfall and changes in student spending patterns, however, this reduction was partly offset by lower nonpay expenditure. Conference Services reported lower levels of commercial activity during 2024/25, resulting in a £0.5 million fall in income compared with the prior year. £6.1m of NHS income was received to support academic activities in the Faculty of Medicine, Health and Life Sciences during 2025, £1.5m lower than in 2024.

which can be attributed to changes in the wider economy, disinvestments and as a consequence of holding reduced cash reserves.

Research income, excluding capital grants, decreased by 9% to £51m. The reduction of 61% in income from Government sponsored grants over the two-year period to 31 July 2025, is a direct result of the cessation of the EU Structural Funds support in December 2023, with 2024/25 being the first year with no EU Structural Funding received. The remaining research portfolio continued to hold up well with a further increase in Research Council funding as the University’s primary focus remained on Research Council funded projects.

The short-term money fund held with Royal London Asset Management generated an average net rate of return of 4.69%, a slight decrease from 2024 but still a strong performance. Returns diminished as lower cash reserves were held on average in the fund throughout the year. Interest received from the current account remained comparable to the prior year, with a small increase in the rate of interest across the year.

Included within other income is a £9.5m accounting adjustment in respect of the Bay Residences which is treated as a Service Concession Arrangement. This is an annual release of the provision and is not a cash transaction.

Other income remained relatively stable, decreasing by 2% to £61m. Other Income includes income generated across the University not captured under the core headings of tuition fees, funding body grants, research, and investment income. Student accommodation income received in the year reduced to £20.4m from £21.9m in the previous year reflecting a reduction in occupancy on the Bay Campus.

The permanent endowment investment fund previously held with Barclays Bank was liquidated during the year for ethical and sustainability reasons. This fund took several months to divest due to the nature of a number of investments, which consequently reduced the return on these investments in the year.

Investment Income decreased by 33% to £5m.

Bank accounts and money funds continued to perform well despite decreases in the income generated,

RESEARCH GRANTS

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80
£67m £69m
70
£62m
£57m
60
£51m
50
40
30
20
10
0
2025 2024 2023 2022 2021
Research Councils UK industry and commerce Other
UK–based charities Government (UK and overseas) Capital Grants
£ Millions
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Expenditure – decreased by 6% to £373m

Expenditure in the year (excluding USS valuation adjustments) decreased by £24.5m to £373.0m. Staff costs (excluding USS valuation adjustments and restructuring costs) decreased by 1% to £199.5m, whilst other operating expenditure decreased by 14% to £127.1m.

EXPENDITURE EXCLUDING USS PENSION VALUATION

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----- Start of picture text -----
£7m
£31m
2025
£127m £208m
Staff costs
Other operating expenses
Depreciation
£9m
Interest
£32m
2024 £210m
£147m
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35

Enhanced compensation payments from £45k reflecting the national made as part of the Voluntary Exit pay award, annual increments and Scheme totalling £8.4m were made the staff profile. The impact of the or accrued in 2024/25 and will staff reductions is expected to be continue into 2025/26. reflected in 2025/26 and future years.

Staff costs (excluding the USS adjustment & restructuring costs) decreased by 1% to £199m.

Staff full time equivalent (FTE) numbers decreased by a further 213 during 2025 following a decrease in the previous year and reflecting the impact of the Financial Sustainability Programme. Decreases in FTE were achieved across all categories of staff with Management and Specialist staff having the largest reduction of 61 FTE (excluding the “other” category).

Staff costs (excluding the USS adjustment and restructuring costs) as a percentage of income (excluding capital grants) increased to 63% from 56% as staff costs decreased by less than 1% but income generated decreased significantly. The average annual salary increased to £47k

STAFF COST AS A % INCOME (EXCLUDING CAPITAL GRANTS)

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----- Start of picture text -----
205 75%
200 70%
0
195 65%
5
190 60%
0
185 55%
5
180 50%
0
175 45%
5
170 40%
2025 2024 2023 2022 2021
0 40%
Staff cost exe restructuring Staff cost as a % of income
Staff cost exc restructuring Staff cost as a % of income
£ Millions
Percentage %
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to students for a second year via nomination agreements with the providers. The cost of occupancy voids accounted for £2.9m of the rental costs.

£6.4m in student recruitment costs largely due to the lower levels of international student recruitment. Utility costs fell significantly from £13.6m to £9.3m with a tariff and VAT review which resulted in refunds from suppliers for costs incurred in prior years. Subscriptions and contributions increased by £1.4m to £4.7m, being driven mainly by higher Swansea University Pension Scheme contributions, along with additional expenditure on library and marketing subscriptions and grant payments.

Non-Pay expenditure decreased by 14% to £127m.

As part of the careful and proactive management of expenditure under the Financial Sustainability Programme, discretionary non-pay expenditure has been significantly reduced in 2024/25.

Consultancy and contracted services of £22.0m also remained consistent year-on-year and included a £1.2m grant to the Student’s Union and thirdparty contracts for both hard and soft facilities management, catering and legal services. Spend on noncapitalised equipment remained unchanged at £12.1m following a significant decrease from 2023 when the Financial Sustainability Programme was initiated. Scholarships, bursaries and prizes decreased by 26% to £15.4m, alongside a reduction of

Rent, rates and leases were the highest non-pay costs for the University during 2025 at £25.0m, comparable to the previous year. These costs, which primarily reflect the student residences rental costs, include £20.7m for the Bay and Singleton Campuses, and further costs in relation to the two city centre residences which were available

OTHER OPERATING EXPENSES 2025

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----- Start of picture text -----
Student
Scholarships,
recruitment Travel and
bursaries, Repairs, conference
refurbishment, and advertising costs
prizes and fee maintenance and
building costs
contributions
Rent, rates Consultancy,
and leases professional
services Books,
Subscriptions publications,
and agency contributionsand periodicals and Employee related
library expenditure
services
Non–capitalised Heat, light, power
and water
equipment Catering
Consumables Other
exp
Office
Exp
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37

Balance Sheet creditors were reduced in part due to the Financial Sustainability Despite the ongoing financial Programme and due to timing challenges facing many in the Higher differences. Deposits received in Education sector, the University advance decreased by £2.8m to continues to have a strong balance £6.1m driven entirely by the reduction sheet with net current assets of in international students. £42.1m and reserves of £292.9m. Creditors falling due in more than However, total assets decreased : one year increased by £1.3m despite by £51.0m, contributing towards a loan repayments being made and the £108.3m decrease in total assets unwinding of the service concession over a two-year period and being lease liability following the receipt of largely due to the decrease in cash the two Digarbon loans. and liquid investments, as well as a an overall reduction in the depreciated Provisions now solely comprise of value of tangible fixed assets. the deficit for the Swansea University Pension Scheme fund following the Non-current assets decreased by 2023 valuation of the USS pension £14.8m, following the necessary placing this scheme in surplus. The reduction in cash spent on capital Swansea University Pension Scheme additions in the year to £19.7m; deficit provision decreased by £6.6m depreciation remained in line with to £12.4m after an actuarial gain in prior years. The Space Optimisation the year of £5.4m and the continued Programme is seeking to consolidate payment of deficit contributions. space and deliver improved overall occupancy levels and changes to the use of a number of buildings has Covenants resulted in the impairment of those In order to satisfy the loan conditions, areas, further decreasing non-current set out by the European Investment assets in the year. Bank (EIB), the University must Current assets decreased by ensure compliance with the £36.1m impacted by the reduction following covenants: in cash and current investments of £28.5m. Operating activities 1. The ratio of Net Financial contributed £15.6m towards the Indebtedness to Adjusted EBITDA cash outlay, with a further £13.3m shall not exceed 6.5:1 : of own funded cash used to acquire 2. The ratio of Net Operating equipment and contribute towards Cashflow or Debt Servicing Costs building works. Servicing loans cost shall be at least 1.1:1 £9.3m during 2024/25, with service concessions costing £9.5m. Two new 3. The ratio of Adjusted Financial Finance Transaction Capital loans Indebtedness to Revenues shall (Digarbon), specifically supporting not exceed 85% decarbonisation projects and totalling 4. The University shall comply £14.6m, were received in the year, with any other condition which helping to improve the year-end is set in respect of Medr. cash balance. The current asset endowment investment was liquidated The University forecast a breach and held in a cash deposit account to two covenants for the year to over year-end. Trade and other 31 July 2025 and successfully receivables decreased by £7.6m to renegotiated the EIB loan covenants. £33.9m which comprised mainly of The EIB agreed a covenant holiday timing differences combined with for covenants 1 and 2 above for a reduction in prepayments and 2024/25 with the introduction of a research debtors.

across the six tranches of the EIB loans from 1st August 2024.

The temporary EIB covenant, which will be tested quarterly until 31 January 2026 is:

  1. The aggregate sum of Cash and Cash Equivalents and Short-Term Investments plus available and unused amounts under a Revolving Credit Facility shall be greater than £50m for each Quarter from 31 July 2024 until 31 January 2026.

Covenants 3 and 4, and the temporary covenant, 5, were all met at the required testing dates and at 31 July 2025.

Capital Expenditure and Capital Grant Receipts

Capital expenditure reduced in the year by 39% to £19.7m.

The University forecast a breach and held in a cash deposit account to two covenants for the year to over year-end. Trade and other 31 July 2025 and successfully receivables decreased by £7.6m to renegotiated the EIB loan covenants. £33.9m which comprised mainly of The EIB agreed a covenant holiday timing differences combined with for covenants 1 and 2 above for a reduction in prepayments and 2024/25 with the introduction of a research debtors. new covenant. This resulted in an Current liabilities decreased increase in the borrowing costs of by £11.2m as accruals and trade between 24 and 30 basis points

As part of the Digital Transformation Strategy, the network project entered its final stages with a further £1.0m spend being incurred during 2025.

CAPITAL EXPENDITURE AND GRANT RECEIPTS

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2025 2024 2023 2023 2021
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Net indebtedness increased by £24.4m to £118.7m.

Cash and Debt

Pension Provisions

The University is a member of the Universities Superannuation Scheme (USS) which provides pensions for academic and professional staff. In the most recent triennial valuation at 31 March 2023 the scheme moved from a deficit position to a surplus of £7.4 billion, resulting in the provision no longer being required.

Cash, including current investments, decreased to £97.5m.

Loan repayments of £6.3m were made during the year but two loan drawdowns totalling £14.6m increased the loans outstanding at year-end to £106.6m. The service concession arrangement debt on the student residences decreased to £109.5m for 31 July 2025 following the unwinding of the lease liability with the commitment having already been provided to UPP in 2024 to guarantee 100% of the room allocation until July 2026.

There was a cash outflow from operating activities of £15.6m in the year to 31 July 2025. In addition, £9.3m of cash was used to service the loan arrangements in the year, with £14.6m of cash receipts from the Digarbon scheme, a decarbonisation fund for further and higher education institutions within Wales.

The University also operates a CARE scheme, Swansea University Pension Scheme (SUPS) for non-academic employees, which is closed to new entrants. During the year the SUPS deficit decreased from £19.0m to £12.4m as a £5.4m actuarial gain in comprehensive income was recognised and deficit contributions made further reduced the liability.

The University funded £13.2m of the capital expenditure from its cash reserves, reduced by 47% from the previous year. Whilst the Digital Transformation Plan has been reduced the digital network project neared completion and a number of strategic and critical projects continued, including net zero projects and the purchase of land at the Bay Campus.

Cash decreased by £22.8m in the year, largely attributable to the loss on operating activities whilst current asset investments decreased by £5.4m as the endowment investment portfolio was liquidated, temporarily boosting cash over the year-end period.

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CASH, DEBT AND NET INDEBTEDNESS
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FUTURE OUTLOOK AND GOING CONCERN

  1. While a proportion of this relates to variable operating costs and should be expected given the reduction in student numbers, the University is also implementing a number of strategic projects all of which aim to reduce costs either directly or through improved and more efficient processes.

Future outlook

Programme in 2023/24, through which we will have secured planned savings of £56m across pay and non-pay costs by 2025/26. However, following continued and significant declines in international recruitment, our latest forecast shows another significant deficit for the University in 2025/26 before returning to surplus in 2026/27.

Major challenges to the finances of the UK higher education sector are set to continue, given the ongoing lack of certainty in respect of the future funding and economic model for universities.

Notwithstanding the inflationary uplift in fees announced by the UK Government, the real-terms value of tuition fee income from UK undergraduates continues to decline relative to costs.

We are also continuing the work to diversify our income, with a number of new UK and overseas partnerships either agreed or in the pipeline. We have taken a cautious approach to the inclusion of any related income in the forecasts but anticipate these projects delivering healthy surpluses in the medium to longer term.

The Vice-Chancellor has been clear with colleagues, our recognised Campus Unions and our governing body that Swansea University will remain a multidisciplinary, research-intensive institution, but that additional savings are required as we resize and reshape the institution.

In addition, as a result of UK Government policy decisions over the past two years and wider geopolitical volatility, the number of non-UKdomiciled students enrolling in UK universities has been declining year on year and this trend is expected to continue.

The University held £98m of cash and investments at 31 July 2025, down from £121m at 31 July 2024, but an improvement on the original forecast for 2024/25. While this provides some flexibility to allow for the delivery of the proposed further actions the University cannot sustain ongoing net operating cash outflows.

These savings and income generation initiatives are all being governed through the extended Financial Sustainability Programme with regular reporting to the Senior Leadership Team and to University Council and its relevant sub committees.

Operating costs continue to rise. Pay costs have risen with the recent increases to employers’ national insurance contributions, and other costs such as utilities and software licenses continue to rise above inflation.

Inevitably, there is increasing pressure on the University’s operating cashflow which requires continued careful monitoring, along with the robust management of cash reserves.

Substantial investments of cash are also required to maintain ageing university estates and to deliver the decarbonisation projects necessary if universities are to meet their net zero targets.

The forecasts for 2025/26 include the assumption that further savings will be necessary, and work is underway to ensure these are delivered by 31 July 2026. In common with a number of other institutions, the University took the difficult decision to deploy the mechanism provided by UCEA to defer the implementation of the nationally negotiated pay award for university staff until July 2026.We are also managing vacancies carefully and will be offering a Voluntary Exit Scheme to both academic and professional services staff in order to deliver the additional £25m pay saving by 2026/27.

Investment in day-to-day capital and infrastructure projects, including backlog maintenance, has been reduced to a minimum in order to preserve cash. However, on a positive note, the University has successfully bid for, and received, £14.4m of Welsh Government funds for investment in decarbonisation projects, thereby allowing us to continue to reduce carbon emissions as part of our commitment to environmental sustainability and our journey towards net zero operations.

Combined, these pressures have resulted in many universities posting deficits over recent years and have created a volatile and competitive student recruitment landscape. While Swansea University saw its highest number of overseas students in 2023/ 24, in 2024/25 enrolments of overseas postgraduates were 75% lower than in 2023/24, and overseas undergraduates were 40% lower than the previous year.

Our forecast also reflects a reduction in non-pay costs to £125m in 2025/26, from a high in 2023/24 of £147m, and a further reduction to £115m by 2026/

Going concern

It is in this context that we established an ambitious Financial Sustainability

As an institution, we must ensure that we can maintain sufficient cash to meet our

day-to-day operational requirements and liabilities for 12 months from the date of approval of these financial statements. To test the University’s resilience and ability to do this, we have stress-tested a base forecast for 2025/26 and 2026/27, both of which have been updated to reflect the impact of the 2024/25 year end out turn, latest projections for student enrolments and any other material changes to the original forecasts submitted to Medr for those years.

A number of key risks have been identified and the financial impact of a plausible downside scenario on the Statements of Comprehensive Income, Financial Position, Cash Flows and on the banking covenants for the going concern period has been calculated.

The main risk relates to tuition fee income, which represents the majority of our total income. We have tested a reduction in home and overseas student numbers against the 2025/26 and 2026/27 base forecasts, taking into account actual enrolments to October 2025 and anticipated enrolments in September 2026, based on current applications and market intelligence.

Other risks which were considered included the UK or Welsh Government failing to implement annual inflationary uplifts and the University failing to achieve the required savings targets.

The Welsh Government has announced that it will not follow the UK government in applying a 6% International Levy so no downside has been included for this and pay inflation at 3% is considered to be realistic.

Despite the reductions in total student numbers compared to previous years, occupancy levels in University owned student accommodation have improved. Additionally, the University will have the option to reduce its nomination guarantee with UPP (the University’s primary accommodation partner) from 100% to a minimum of 50% with effect from 2026/27. Occupancy risk has therefore not been included in the downside scenario.

The base forecasts reflect the need for further savings of £30m to be achieved by 31 July 2026. We are conscious that

the scope for mitigations inevitably becomes increasingly difficult with each round of pay and non-pay savings, and the University leadership team does not underestimate the scale of operational and cultural change that is necessary to provide financial stability, nor the impact on our staff. We continue to work closely with our recognised Campus Unions to discuss options and to listen to and consider feedback, and we host regular staff meetings to share updates on our position.

Accurate cashflow forecasting, based on good quality income end expenditure management information, will be critical for both the base forecasts and the plausible downside scenario.

The pressure on operating cash, particularly at month and quarter ends, would be acute in the downside scenario. The additional actions that would be necessary to mitigate this scenario would likely require further consideration of the level of financial support that is given to some university activities, possible changes to working practices for staff and the acceleration of the Space Optimisation Programme, with consolidation and closure of underutilised spaces across both of our main campuses.

The base forecasts for 2025/26 indicated that a further waiver of two EIB covenants would be necessary at 31 July 2026 and this has been obtained subject to a loan prepayment being made in December 2025.

A number of conditions have been agreed as part of the negotiation for the waiver. A prepayment of £7.3m has been agreed, representing the final year’s principal on each of the six tranches of the EIB borrowing, with no prepayment indemnity payable. This reduces the term of each of these loans by one year.

The cash covenant, which was introduced in 2024/25 has been made permanent. The requirement is to hold a minimum of £50m of cash including the RCF until 31 July 2026, dropping to £40m for the years 2026/27 and 2027/ 28 until returning to £50m from 2028/ 29. This convenant will be tested on the

quarters ending 31 October, 31 January, 30 April and 31 July each year. The cost of borrowing has also been increased by 0.75% on all tranches.

The pressure on these covenants increases under the Plausible Downside Scenario and the mitigations that have been identified are sufficient to ensure that the revised EIB requirements are met.

While the impact on staff and students would likely be significant, the current University leadership has managed to successfully navigate the multiple challenges created by the impacts of Brexit, the pandemic, and various global economic and geopolitical crises over the last five years. We are therefore confident that such a downside scenario would be managed effectively.

As in previous years, the University will continually monitor internal and external conditions, including student application numbers and government policies, formally assessing potential impacts on a quarterly basis, and taking appropriate and swift decisions as necessary.

Members of University Council have considered the underlying assumptions of the downside scenario and the proposed mitigations and their financial impact, particularly in relation to our cash position and the renegotiated loan covenants. While acknowledging the scale of the challenge facing both the sector and our University, the Members of University Council share our confidence that the University can manage the risks and will have sufficient funds to meet the University’s liabilities as they fall due over the period of 12 months from the date of approval of the financial statements.

Sarah Jones, Chief Financial Officer

Anne Tutt, Chair of Finance & Strategy Committee

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||| |---|---| |Strategic Risk|Main mitigations| |•| |Financial sustainability|Monthly budget reporting and monitoring and quarterly| |reforecasting| |Inability to deliver the forecast income growth and expenditure|•| |Increased focus on cashflow management and forecasting| |reductions due to external factors, (increased competition for|•| |Detailed financial assessment and stress testing of current| |students, government policies, high inflation on costs), leads to| |and future risks| |inability to deliver a balanced budget, resulting in failure to|•| |Financial Sustainability Programme overseeing the delivery| |create the surpluses required for investment and to deliver the| |of required savings| |university objectives|•| |Monitoring of loan and RCF covenants| |•|Ongoing management of vacancies| |•| |International student recruitment|Implementation of the International Strategy| |•| |Development of new Transnational Education opportunities| |UK government policy changes, perception of UK as a study| |to deliver in-country programmes| |destination, challenges with admissions, over-reliance on|•| |Identification of new markets for the development of an| |limited number of price sensitive markets, lack of diversification| |enhanced overseas presence| |and increased competition lead to inability to meet forecast|•| |Monitoring and review of performance of existing markets|

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PRINCIPAL RISKS AND UNCERTAINTIES

around government funding for higher education generally, increased competition for home and overseas students, and the ongoing impact of inflationary pressures on the University, staff and students.

The University maintains a university-level Risk Register which is formally reviewed quarterly by the Senior Leadership Team, Audit, Assurance and Risk Committee and Council. It is also updated as and when appropriate if it is clear that risks are changing more rapidly.

UK government policy changes, perception of UK as a study destination, challenges with admissions, over-reliance on limited number of price sensitive markets, lack of diversification and increased competition lead to inability to meet forecast international numbers, resulting in reduced financial sustainability

The table below identifies the highest-ranking risks from the University register according to residual risk score.

The distribution of risks continues to reflect the challenges that exist in the external environment including the uncertainty

Student experience – learning and teaching

• Education Strategy being implemented

Reduction in financial resource and staff resource leads to poorer student experience, resulting in dissatisfaction, impact on NSS and league table scores, University reputation, recruitment and achievement of the University’s growth strategy.

Cyber security

• Inadequate information management controls and staffing resources leads to reduced ability to protect, process and • access information, resulting in increased successful cyber attacks, a loss of reputation, compliance breaches, fines and • penalties and increased costs. • • Staff morale – impact of change situation and service redesign lead to reduced staff morale, Sustained increased workloads, uncertainty re future job security, lack of opportunities and delays arising from financial ••• resulting in increased stress, absence and turnover, reduced • wellbeing, engagement and productivity. • Home student recruitment Increased competition and increased challenges to • undergraduate recruitment lead to inability to meet forecast student recruitment numbers, resulting in reduced financial • sustainability • • IT – Core business systems Failure to identify and resources changes to key dependencies • in core business systems leads to difficulties in delivering the • necessary services required, (e.g. service redesign), resulting in failure to achieve expected benefits / reduced quality of service

New network implementation to be completed by December 2025

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Cyber business continuity exercises undertaken by senior leadership team and other relevant staff Cyber hygiene activities prioritised

Regular communication to staff via various forums Recognition of staff efforts

Joint Working Group with campus unions well established Voluntary Exit Scheme provides an opportunity for some staff

Prioritisation of activities and workload

UK Recruitment Strategy under review

Maintain and develop Clearing Strategy and campaign through Clearing Steering Committee Engagement with FE Colleges as part of Diversification project

Exploration of external opportunities and partnerships to increase recruitment potential Project Boards established and funding in place

Overall Enterprise view of end-to-end services for Student and Administration systems

Significant work undertaken re. core systems, (ABW, SITS, CRM)

Business intelligence

Migration to new IT systems, (e.g. SITS, ABW), reduction in staff and data capture activity leads to failure to capture business intelligence / data, resulting in inconsistent data from past to present, inability to provide comparisons for internal, (business planning, SLT), or external use, (HESA, Medr, etc.), poor quality data analysis

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PUBLIC BENEFIT STATEMENT

Our students are at the heart of our University. We take their needs and expectations into account in our decision-making and take pride in our consistently strong reputation for the quality of our student experience, the strength of our student support services, and our commitment to student mental health and wellbeing. In partnership with our Students’ Union, we work to ensure that every student who makes Swansea their home experiences the best of us. In order to improve that experience, this year we have launched our new onestop-shop for student support and information, Hwb, which will simplify access to the services which we are proud to offer our student community.

Swansea University has been a While our civic mission is rooted in our registered charity (no.1138342) immediate region it extends to the since October 2010. Our impact we seek to make in communities constitutional framework is defined worldwide. We attract colleagues and in our Charter and Statutes and students to Swansea from all over the Article three of the Supplemental world and we are committed to ensuring Charter highlights our University’s that the education and experiences we objectives: “to advance learning provide and the research we pursue are and knowledge by teaching and relevant locally and internationally. research, and to engage in Above all, we seek to work in genuine, activities to promote and contribute open and equitable partnership, and to to cultural, social and economic learn as much from others as we can. development within Wales and This year, we are proud to have been beyond”.

This year, we are proud to have been awarded University of Sanctuary Status, in part due to initiatives such as our Sanctuary Scholarships scheme and our partnership with Petro Mohyla Black Sea National University in Ukraine, which has enabled 53 Ukrainian students to undertake study visits to Swansea. This recognition reflects the compassion and commitment of our staff, students and alumni in creating a truly welcoming and supportive environment for those who have faced the most challenging circumstances across the world.

In setting and reviewing objectives and activities and in making decisions, the University’s Council has had due regard to the Charity Commission’s public benefit guidance and supplementary guidance on the advancement of education.

Our students make a significant contribution to local society through volunteering and outreach programmes, and they are part of our international community. Our aim is to produce global citizens who will go out into the world and make a difference. Discovery, our student volunteering charity which will celebrate its 60th anniversary in 2026, plays a vital role in providing opportunities for students to work with people across our community: older people; disabled adults and children; refugees and asylum seekers; exploited women; people experiencing isolation and loneliness, and students with additional needs.

Our Strategic Vision and Purpose (2020) is underpinned by five pillars, each with their own strategies, which are summarised on page 10. Our Strategic Vision and Purpose also recognises that the climate crisis remains society’s biggest threat. Consequently, we align our work to the Sustainable Development Goals (SDGs), are mindful of our unique national legislative framework, The Wellbeing of Future Generations (Wales) Act 2015, and have committed to becoming a carbon-zero university by 2035.

We are an anchor institution that plays 2026, plays a vital role in providing an active part in the life of the region. opportunities for students to work with We have strong links with other anchor people across our community: older institutions and major employers, people; disabled adults and children; including Health Boards, local refugees and asylum seekers; exploited authorities, and private and third sector women; people experiencing isolation organisations, and we have effective and loneliness, and students with partnerships with further education additional needs. colleges and schools. We have invested significantly in the infrastructure needed Our Learning and Teaching to support skills and innovation and are The sharing of knowledge to nurture a key partner in the Swansea Bay City independent, critical thinking is Deal. fundamental to our purpose. It enables We contribute to the cultural life of our our students to be resilient in the face of community through our Taliesin Theatre global challenges and to adapt to the and Great Hall, the Egypt Centre, our changing world of work. We celebrate South Wales Miners’ Library and Richard our Welsh heritage and are proud to be Burton Archives, and the International part of a bilingual nation. We respect Dylan Thomas Prize. students’ right to study through the medium of Welsh and will expand our

Our Civic Mission

We are proud to belong to the City of Swansea, the wider Swansea Bay City Region and to Wales, and we celebrate that heritage. With campuses in three local authority areas, we recognise that our University is the region’s university, and that we have a responsibility to work with and for our community and Wales. We seek to deliver local solutions to the global challenges that affect us all.

Our Student Experience

range of opportunities for them to do so. We also work to maintain our status as a community that balances research and teaching excellence.

We are committed to widening and deepening access to education, promoting lifelong, inclusive and equitable learning opportunities. Our University is the lead partner in the HEFCW-funded Southwest Wales Reaching Wider Partnership and also funds and delivers the Step Up to Swansea University programme. Both programmes aim to increase participation in higher education by people from underrepresented groups – including care-experienced young people - and communities in Southwest Wales.

Our Swansea Academy of Inclusivity and

Learner Success (SAILS) works to provide inclusive academic and pastoral support for our diverse student population. SAILS delivers a range of projects to enable individuals from all backgrounds to enter and transition into Higher Education; to stay at university and complete their studies; to progress from level to level, and to achieve the best degree outcomes they can.

Our Research

Our research has impact because it is directed to meet the needs of our partners in industry, commerce, academia and the public sector. It changes lives, drives innovation and regional growth, and is aligned to the UN Sustainable Development Goals. It impacts on our culture and society as well as on our health and wellbeing, our economy and our planet. We drive policy change nationally and internationally.

We have continued to build on our existing research strengths, taking advantage of emerging opportunities and broadening our base of research funders in order to become more resilient in an increasingly challenging research funding environment.

We are at the leading edge in many areas including: advanced manufacturing and innovation in clean energy and the digital economy; nanohealth and the analysis of large-

scale health data; labour market evaluation, terrorist use of the internet, and preserving our industrial heritage. We are exploring new ways to assess and mitigate the risks of the climate crisis and are working to protect the most vulnerable in our society and to enrich all our lives through our understanding of history and the arts.

Our Enterprise

We are an exceptionally collaborative and entrepreneurial university. We were founded by industry, for industry, and we remain true to the ambitions of our founders in that we work with industrial, commercial and public sector partners for the benefit of our region and nation. We value our partnerships with anchor companies and SMEs in Wales, and with the many organisations we collaborate with internationally.

Our entrepreneurial approach adds value to the student experience, providing opportunities for our students to gain practical skills through placements, internships and collaborative research projects, and we support students to launch their own businesses. Swansea University is also among the leading academic institutions in the UK for generating spinout companies. The annual Spotlight on Spinouts report, sponsored by the Royal Academy of Engineering, positions our University in the UK top 10 (and top in Wales) for spinouts. We have also been recognised this year as one of just five UK universities with more than 100 spinout companies registered.

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CORPORATE GOVERNANCE STATEMENT AND STATEMENT OF INTERNAL CONTROL

The University conducts its activities in accordance with both the Committee of University Chairs (CUC) Higher Education Code of Governance and the Higher Education Senior Staff Remuneration Code, and in accordance with the Nolan principles identified by the Committee on Standards in Public Life (selflessness, integrity, objectivity, accountability, openness, honesty and leadership). The University is committed to the highest standards of openness, probity and accountability, conducts its affairs in a responsible manner and has in place a Whistleblowing (Public Interest Disclosure) Policy to enable staff, students and other members of the University to raise concerns that are in the public interest.

Constitution and Powers

The University is an independent corporation, whose legal status derives from a Royal Charter originally granted in 1920. Its objects, powers and framework of governance are set out in its current Charter (‘the Supplemental Charter’), approved by the Privy Council in 2007, and its supporting Statutes the latest amendments to which were approved by the Privy Council in 2021. The University registered as a charity in October 2010 (1138342).

The Charter and Statutes require the University to have three separate bodies (Council, Senate, and Court), each with clearly defined functions and responsibilities, to oversee and manage its activities:

Council

Council, which is established by the University’s Charter, is the governing body and thus the supreme authority of the University, which means that it is ultimately accountable for the conduct and activity of the University and its representatives. Council’s membership, powers and duties are set out in Statute 5, which is available on the University’s website. Council is responsible for determining the strategic direction of the University, and for the finance, estates, investments, and general business of the University.

Council Members who served during the year ending 31 July 2025 and up to the Council meeting at which the financial statements were signed are listed below.

Council Member Category Attendance*
Mr Goi Ashmore, Pro-Chancellor & Chair of Council (until 31 December 2027) Lay 6/6
Sir Roderick Evans, Pro-Chancellor (until 31 December 2024) Lay 3/3
Ms Nan Williams, Co-opted lay member (until 31 December 2024) and
Pro Chancellor and Deputy Chair of Council (from 1 January 2025) Lay 6/6
Ms Anne Tutt, Treasurer (until 31 December 2027) Lay 5/6
Professor Paul Boyle, Vice-Chancellor (until 31 July 2029) Staff 6/6
Mr Laurence Carpanini, Co-opted lay member (until 31 December 2026) Lay 5/6
Professor Edward David, Co-opted lay member (until 3 February 2028) Lay 6/6
Mr Huw Davies, Co-opted lay member (from 1 August 2024) Lay 5/6
Professor Kathryn Monk, Co-opted lay member (until 26 January 2026) Lay 5/6
Mrs Nataliya Manskova-Bains, Co-opted lay member (from 1 August 2024) Lay 4/6
Mrs Marcia Sinfield, Co-opted lay member (until 30 November 2028) Lay 4/6
Professor Keshav Singhal, Co-opted lay member (until 30 November 2028) Lay 3/6
Mr Richard Thomas, Co-opted lay member (until 15 May 2028) Lay 5/6
Dr Mahaboob Basha, Appointed by Staff (until 30 April 2025) Staff 5/5

Council normally meets at least four times a year and exercises its responsibilities through the executive management and standing committees set out below. Council has also approved a Schedule of Delegation which sets out where decision-making authority in the name of, or on behalf of, Council resides, and where this authority can and has been delegated. During 2024/25, Council held six meetings including two special meetings.

Council comprises independent (described as lay), staff and student members appointed in accordance with the Statutes and Ordinances of the University. The membership of Council shall not exceed 19 and the majority of Council members are nonexecutive lay members who are not members of staff or registered students of the University. Council is committed to promoting equality and diversity and vacancies for lay members are advertised externally, with expressions of interest particularly welcome from under-represented groups. Applications are considered by the Governance and Nominations Committee and matched against the current skills and experience matrix. None of the lay members receive any payment, apart from the reimbursement of expenses, for the work they do for the University. Lay members of Council serve for a period of four years but may be re-appointed for one further period of four years. The role of the Chair of Council, which can only be undertaken by a lay member, is separate from the role of Vice Chancellor. The staff members of Council are appointed through fair and open election processes.

Council has adopted of a Statement of Independence for Lay Council Members. The statement, which includes the definition of independence developed by the sector in response to the Review of Governance of Universities in Wales by Gillan Camm (CAMM Review), sets out what is meant by independence and those matters which may compromise governor independence. Council members are required to make a declaration of interest on their appointment to Council, to review their declaration at least annually, and to update their declaration whenever there is a change. Declarations are reviewed by the Chair of Council, in accordance with the University’s Declaration of Interest Policy and procedure, to ensure there are no potential or perceived conflicts, or, if there are, to ensure they are dealt with appropriately. The Secretary to Council maintains a register of interests for all members of Council, which is reviewed annually by the Governance and Nominations Committee. At the start of Council and Council Committee meetings, all members are asked to identify any specific items on which a declared interests may have a bearing and, if required, members do not take part in the relevant discussion or decision, and/or may leave the meeting at the appropriate point. Any declarations identified and member’s participation in specific items is recorded in the minutes of the meeting. Council has also adopted the role description for the Secretary to Council, developed in response to the CAMM Review, which contains a clear statement of the Secretary’s accountability for highlighting issues of independence or conflict to the Chair.

As the University is a registered charity, Council also acts as the Board of Trustees and members of Council are also Charity Trustees.

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47

Mr Adam Jones, Appointed by Staff (until 30 June 2027) Staff 6/6
Professor Michelle Lee, Appointed by Senate (until 30 June 2027) Staff 5/6
Dr Phatsimo Mabophiwa, Appointed by Senate (until 30 June 2027) Staff 2/6
Mr Heath Davies, Appointed by Staff (from 3 July 2025) Staff 1/1
Miss Megan Chagger, President of Students’ Union (until 30 June 2025) Student 4/5
Miss Katie Wilkinson, Appointed by the Students’ Union (until 30 June 2026) Student 6/6
Miss Carys Dukes, President of Students’ Union (from 1 July 2025) Student 1/1

(*Attendance at meetings is expressed as the number of meetings attended out of a total of meetings the member was due to attend)

CUC Higher Education Code of Governance

The University is committed to high standards of corporate governance and to continuously improving its governance in line with best practice within the higher education sector. The University’s governance structure has been developed to align with the principles and practices set out in CUC Higher Education Code of Governance. In accordance with this Code, Council commissioned an Independent Effectiveness Review in 2023, which was undertaken by AUA Consulting. This Review recognised the improvements implemented by the University since its last effectiveness review in 2019 and concluded that significant assurance could be placed in the University’s governance arrangements, that there were no matters from a governance perspective which required attention, that Council was conducting its activities in accordance with the Code, and that the conduct of this Review had demonstrated the University’s commitment to continuous improvement in its governance arrangements in line with best practice as set out in the Code. The Review identified some improvement and enhancement opportunities which Council has considered and has agreed an action plan for implementing several of these. In respect of the year ended 31 July 2025, Council can report that there was no primary element of the Code of Governance with which the University’s procedures was not consistent. The next Independent Effectiveness Review will take place during the 2026/27 academic year.

outside the University, representing the local community and other designated bodies with an interest in the work of the University, together with Council members, academic and non-academic staff and the student body. The Court ordinarily meets once a year and last met on 6 February 2025 at which it considered the University’s Annual Review and Financial Statements for 2023/24 and received an update on the review of the Court’s role and remit undertaken by a Task and Finish Group established by Council during 2024. The review which sought to ensure that Court had a clear role and membership and operated efficiently and effectively, also took account of the findings of the Stakeholder Engagement Code of Practice for Welsh universities. One of the Task and Finish Group’s recommendations, which was approved by Council in October 2024, was that the Court should have a smaller membership which was more aligned with the University’s other stakeholder relationships, which enabled a greater flexibility and adaptability to engage with both longstanding and new stakeholders, and which provided opportunities to improve communication and engagement with its members, and enabled the University to engage with Court and its membership more strategically to assist the University in achieving its strategic ambitions. These changes to the Court membership are currently being implemented ahead of the Court’s next meeting in early 2026.

Accountable Officer

The Vice-Chancellor is the chief executive and principal academic and administrative officer of the University and has a general responsibility to Council for maintaining and promoting the efficiency and good order of the University. Under the terms of the formal financial memorandum between the University and Medr , the Vice-Chancellor is the accountable officer of the University and in that capacity may be required to appear before the Public Accounts and Public Administration Committee of the Senedd Cymru alongside the Chief Executive of Medr.

Senior Leadership Team

As chief executive of the University, the Vice-Chancellor has responsibility for the development of institutional strategy, the identification and planning of new developments, and the shaping of the institutional ethos. Members of the Senior Leadership Team and the Directors of Professional Services all contribute in various ways to these aspects of the work, but ultimate authority rests with Council. The membership of the Senior Leadership Team, which is chaired by the Vice-Chancellor, includes the Provost (vacant), Registrar and Chief Operating Officer, Pro-Vice-Chancellors, Pro-Vice-Chancellor Executive Deans, and Chief Financial Officer. It meets weekly and considers strategic and operational matters.

Review of Governance of the Universities in Wales

Committees

Council has formally adopted the Governance Charter for Universities in Wales and Commitment to Action published in response to the Review of Governance of the Universities in Wales (Camm Review) and has implemented the Charter’s recommendations. Key developments have included reviewing the size and shape of Council, Senate and their committees; reviewing the University Court particularly to take account of the findings of the Stakeholder Engagement Code of Practice for Welsh universities developed in response to the Camm Review; enhancing strategic oversight through the development of a University Annual Plan and Institutional Objectives; updating the University’s risk management policy and framework and introducing a risk appetite approach to risk; and updating the University’s Whistleblowing (Public Interest Disclosure) policy; defining governance roles and responsibilities for the Statutory Officers; updating and embedding recruitment, appointment and induction processes for members of Council; adopting and embedding the statement on independence, the role descriptor for the Secretary to Council, and the Annual Report and Financial Statements template developed by the sector in response to the CAMM Review; and establishing a People and University Culture Strategy Committee reporting to the Senior Leadership Team which focusses on the collective agreement and delivery of the University People Priorities and provides annual updates on progress to Council.

Senate

Senate, which is established by the University’s Charter, is the academic authority of the University. Senate’s membership, powers and duties are set out in Ordinance 4, which is available on the University’s website. Senate is chaired by the Vice-Chancellor and its membership includes the Provost (vacant), Pro-Vice-Chancellors, Pro-Vice-Chancellor Executive Deans, Deputy Pro-ViceChancellors, Deputy Executive Deans, Faculty Associate Deans, Heads of Schools, Directors of Strategic Faculty Operations, Education Services, Student Life and Academi Hywel Teifi, and student members together with 24 elected members drawn from the Professorial and non Professorial academic staff in the Faculties. During 2024/25, Senate held four meetings and considered the University’s quality assurance processes and framework and the Annual Governor’s Quality Assurance Statement; the University’s performance in league tables and rankings including the NSS; Curriculum Transformation; a Framework for Generative Artificial Intelligence; and key policies in particular revised Timetabling, Intellectual Property, and Reasonable Adjustments Policies. Senate also received regular reports from its sub-committees established to assist it in discharging its responsibilities and updates on University-wide projects and major initiatives, student recruitment, and the policy and sector landscape.

Court

The Court, which is established by the University’s Charter, is a large, mainly formal body which serves as a forum for the engagement of the wider community with the University. The Court’s membership, powers and duties are set out in Ordinance 6, which is available on the University’s website. The Court is chaired by the University’s Chancellor and most of its members are from

Council has established four committees, at which much of its detailed work is initially handled: Audit, Assurance and Risk Committee; Finance and Strategy Committee; Governance and Nominations Committee; and Remuneration Committee. All of these committees are chaired by lay members of Council and have a majority of lay members. Senior officers of the University attend meetings as necessary. All Committees report their decisions to Council, and are formally constituted, with their own terms of reference and membership approved by Council on the recommendation of the Governance and Nominations Committee. The role of the Secretary to Council is defined in the University’s Ordinances and the Secretary to Council also acts as the Secretary to most of the Committees of Council. Council has also established a Council Joint Engagement Forum at which Campus Union representatives have an opportunity to discuss agenda items for forthcoming Council meetings directly with the Chair of Council and other Council lay members.

Audit, Assurance and Risk Committee

The Audit, Risk and Assurance Committee is responsible for advising and assisting Council in respect of the assurance and control environment of the University. Its key responsibilities are to ensure that the University complies with statutory, University and external regulatory requirements in relation to both its financial and non-financial activities and in respect of the issues within its terms of reference, and the Committee has the authority to make recommendations to the University, its organisational units and its members. The Committee’s terms of reference are closely aligned with the CUC’s Higher Education Audit Committees Code of Practice.

The Committee is chaired by a lay member of Council. All members of the Committee and its Chair are independent of the University’s management and are appointed by Council on the recommendation of the Governance and Nominations Committee. The University’s internal and external auditors, Risk Manager, Registrar and Chief Operating Officer and Chief Financial Officer attend meetings and other senior staff attend as necessary. In line with HEFCW’s Financial Management Code , there is no cross representation between the Audit, Assurance and Risk and the Finance and Strategy Committees. Committee Members who served during the year ending 31 July 2025 are listed below.

during the year ending 31 July 2025 are listed below.
Audit, Assurance and Risk Committee Member Category Attendance*
Mrs Marcia Sinfield, Chair of the Committee Lay 4/4
Professor Kathryn Monk, Co-opted member of Council Lay 3/4
Mr Richard Thomas, Co-opted member of Council Lay 4/4

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Mrs Nataliya Manskova-Bains, Co-opted member of Council (from 25 November 2024) Lay 2/2
Mrs Alison Vickers, Co-opted Committee lay member Lay 4/4
Miss Katie Wilkinson, Student member of Council Student 4/4
(*Attendance at meetings is expressed as the number of meetings attended out of a total of meetings the member was due to
attend)

During 2024/25, the Committee held four meetings and considered the annual Financial Statements including the going concern review, the management representation letter and the Associate Director – Internal Audit’s Annual Assurance Report in the presence of the External Auditors; approved the Internal Audit Plan following discussions with the Associate Director – Internal Audit and received reports on its implementation; discussed the nature and scope of the Annual External Audit Plan with the External Auditors; reviewed the University’s risk register, key risks and approach in relation to risk appetite with the Risk Manager; discussed internal audit reports and the progress made in implementing recommendations identified in previous internal audit reports with the Associate Director – Internal Audit; approved the Committee’s Annual Report to Council; approved the University’s Fraud Response Plan; and received regular reports on cyber security, serious incidents, whistleblowing, potential fraud and reputational issues and the University’s Financial Sustainability programme.

Finance and Strategy Committee

The Finance and Strategy Committee has oversight of and monitors the financial health of the University on behalf of Council and advises and makes recommendations to Council in respect of all financial matters. Its key responsibilities are to ensure the medium and long-term financial sustainability of the University through regular reviews of the University’s financial position, to ensure the University operates a robust system of internal financial control, to monitor financial performance and compliance, and to play a critical role in applying test and challenge to all financial decisions.

The Committee is chaired by the University Treasurer. All lay members of the Committee and its Chair are appointed by Council on the recommendation of the Governance and Nominations Committee. There is no cross representation between the Audit, Assurance and Risk and the Finance and Strategy Committees. Committee Members who served during the year ending 31 July 2025 are listed below.

2025 are listed below.
Finance and Strategy Committee Member Category Attendance *
Ms Anne Tutt, Treasurer & Chair of the Committee Lay 5/5
Mr Goi Ashmore, Pro-Chancellor and Chair of Council Lay 5/5
Professor Paul Boyle, Vice-Chancellor Staff 5/5
Professor Edward David, Co-opted member of Council Lay 5/5
Mr Steve Smith, Co-opted lay member Lay 4/5
Mr Laurence Carpanini, Co-opted member of Council Lay 4/5
Ms Nan Williams, Co-opted member of Council (from 1 January 2024) and
Pro-Chancellor and Deputy Chair of Council (from 1 January 2025)		 Lay 5/5
Professor Michelle Lee, Staff member of Council Staff 4/5
Miss Megan Chagger, Student member of Council (until 30 June 2025) Student 3/5
Miss Carys Dukes, Student member of Council (from 1 July 2025) Student 0/0

(*Attendance at meetings is expressed as the number of meetings attended out of a total of meetings the member was due to attend)

During 2024/25, the Committee held five meetings and considered and advised Council on, the development of the University’s financial forecasts, the annual Financial Statements, and business cases for regional and global partnerships; received reports on the University’s Financial Sustainability programme; reviewed capital expenditure, Subsidiaries’ financial forecasts, the Students’ Union Accounts, and TRAC governance and assurance reports; and received updates on the management of key financial risks, the University’s pension scheme arrangements, Schedule of Delegation, and Treasury Management Policy.

Governance and Nominations Committee

The Governance and Nominations Committee keeps under review and advises Council on the University’s governance arrangements, ensuring the University pursues good practice, and complies with external governance requirements.

The Committee is chaired by the Chair of Council. All lay members of the Committee and its Chair are appointed by Council on the recommendation of the Governance and Nominations Committee. Committee Members who served during the year ending 31 July 2025 are listed below.

2025 are listed below.
Governance and Nominations Committee Member Category Attendance*
Mr Goi Ashmore, Pro-Chancellor & Chair of Council & Chair of the Committee Lay 4/4
Sir Roderick Evans, Pro-Chancellor (until 31 December 2024) Lay 2/2
Professor Paul Boyle, Vice-Chancellor Staff 3/4
Miss Megan Chagger, Student member of Council (from 1 July 2024) Student 1/4
Miss Carys Dukes, Student member of Council (from 1 July 2025) Student 0/0
Professor Ryan Murphy, Appointed by Senate Staff 4/4
Mr Adam Jones, Staff Member of Council Staff 4/4
Professor Keshav Singhal, Co-opted member of Council Lay 2/4
Mrs Nan Williams, Co-opted member of Council (from 1 January 2024) and
Pro-Chancellor and Deputy Chair of Council (from 1 January 2025) Lay 2/4

(*Attendance at meetings is expressed as the number of meetings attended out of a total of meetings the member was due to attend)

During 2024/25, the Committee held four meetings and considered and advised Council on the appointment of the University Chancellor, Pro-Chancellor and Deputy Chair of Council, and co-opted lay members of Council; the review of the Court and the processes for populating Court’s new membership constituencies; Council Committees terms of reference and membership; amendments to the Regulations for the Conduct of Meetings; and the nomination process for Honorary Awards. The Committee also approved a new three-year cycle of business, and reviewed the Council skills and experience matrix and appointment process for lay members of Council to inform the recruitment of new members; Council Register of Interests; reports on succession planning, Council and Council Committee diversity, and the University’s Equality Annual Report; the processes for the Chair of Council, Vice-Chancellor, and Council Committee Chairs’ appraisals and Council Committee effectiveness reviews.

Remuneration Committee

The Remuneration Committee is responsible for overseeing and scrutinising the reward strategy of the University including reviewing and determining all aspects of the remuneration, benefits and conditions of employment of the Vice-Chancellor, and the remuneration and other financial benefits of the other members of the Senior Leadership Team taking account of affordability, comparative information on remuneration, benefits and conditions of employment in the University sector and elsewhere as appropriate, and developing an overall reward strategy and policy to cover the remuneration, benefits and conditions of employment of the senior employees of the University on Grade 11 and those who report directly to members of the Senior Leadership Team. The Committee ensures that it complies with the requirements of the CUC Higher Education Senior Staff Remuneration Code and publishes an annual report which is available on the University website, and which is transparent, aligns with the recommendations of the Code, and meets the requirements of good governance.

The Remuneration Committee is chaired by a lay member of Council and comprises independent lay members of Council who possess relevant knowledge and expertise. All Committee members and its Chair are appointed by Council on the recommendation of the Governance and Nominations Committee. All members are independent of the University. The Registrar and Chief Operating Officer, the Director of Human Resources and the University Secretary attend all meetings, and other senior officers including the Vice-Chancellor attend meetings as necessary. The Vice-Chancellor is not in attendance for, and does not play a part in, the discussions and decisions of his own remuneration. No members of staff are present when the Committee makes decisions on their reward. The Chair of the Committee regularly updates Council.

Committee Members who served during the year ending 31 July 2025 are listed below.

reward. The Chair of the Committee regularly updates Council.
Committee Members who served during the year ending 31 July 2025 are listed below.
Remuneration Committee Member Category Attendance*
Mr Laurence Carpanini, Co-opted member of Council & Chair of the Committee Lay 5/5
Mr Goi Ashmore, Pro-Chancellor & Chair of Council Lay 5/5
Sir Roderick Evans, Pro-Chancellor (until 31 December 2024) Lay 1/1
Mrs Nan Williams, Pro-Chancellor & Deputy Chair of Council (from 1 January 2025) Lay 4/4

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Professor Edward David, Co-opted member of Council Lay 5/5
Professor Kathryn Monk, Co-opted member of Council Lay 1/5

(*Attendance at meetings is expressed as the number of meetings attended out of a total of meetings the member was due to attend)

During 2024/25, the Committee held five meetings and considered the remuneration and benefits of the Vice-Chancellor, Senior Leadership Team and Directors positions, Annual Remuneration Statement 2024, Annual Pay Policy Statement, reward activities and approval routes, reports on the Real Living Wage, Gender Pay, promotions via the Retention of Exceptional Talent procedure, and severance arrangements within the scope of its remit, and high-level updates on the University’s Financial Sustainability programme.

The University has a process for dealing with significant control issues, which involves immediate notification to the Chair of Council, Chairs of the Audit, Assurance and Risk Committee and the Finance and Strategy Committee and necessary senior staff, along with notification to Medr³ and the Charity Commission and any other relevant authority as appropriate depending on the nature of the issue.

³Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024. ³Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024.

³ Medr took over the responsibilities of the Higher Education Funding Council for Wales (HEFCW) on 1 August 2024.

Statement of Internal Control

Council is responsible for ensuring there is a sound system of internal control to support the achievement of the University’s aims, strategic objectives and policies, while safeguarding the public and the funds and assets for which it is responsible. The system of internal control is risk-based and designed to manage, rather than eliminate the risk of failure to achieve strategic objectives and as such, the system provides reasonable, but not absolute, assurance against material misstatement or loss. Council acts in accordance with the responsibilities assigned to it in the University’s Charter and Statutes, and the regulatory framework in which the University operates.

The key elements of the University’s system of risk identification and effective risk management include:

• linking the identification and management of risk to the achievement of institutional objectives through an on-going annual planning process;

• regular monitoring and review of the effectiveness of the internal control system processes and procedures is informed by the University’s Internal Audit Service giving rise to monitored action where necessary and appropriate.

The University’s Senior Leadership Team has formal processes in place for evaluating and managing significant risks faced by the institution on an on-going basis. This involves identification of the types of risks through a top down and bottom-up approach at both corporate and departmental level, which are prioritised in terms of potential impact and likelihood of occurrence in accordance with an established and risk management policy.

Risks are monitored along with the associated controls and risk mitigation actions on an on-going basis by the Senior Leadership Team. Responsibility to ensure the risk framework is working effectively and that risk is being managed and for advising Council and ensuring appropriate reports and recommendations and the risk register are presented to Council lies with Audit, Assurance and Risk Committee. The Audit, Assurance and Risk Committee receives the risk register and an update on risk at each of its meetings. The Finance and Strategy Committee receives the risk register and updates on relevant risks regularly for information.

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ANNUAL PAY POLICY STATEMENT - SWANSEA UNIVERSITY

(including Professional Services Directors and Professors) and those who report directly to members of the Senior Management Team.

National Framework Agreement

Swansea University upholds a framework for the recognition and reward of all employees to support the University’s vision and values and recognises the importance of an equal and transparent pay system which provides value for money.

All employees on Grades 1 – 10 are paid on a nationally agreed pay scale, which is negotiated annually as part of collective pay negotiations between UCEA and the five Higher Education trade unions (UCU, UNISON, Unite, EIS and GMB) on behalf of a number of HE institutions in the UK.

Remuneration Committee

The Remuneration Committee is responsible for overseeing and scrutinising the Reward Strategy of the University, for developing an overall reward strategy and policy to cover the remuneration, benefits and conditions of employment of the senior employees of the University on Grade 11 and those who report directly to members of the Senior Leadership Team, and for reviewing and determining all aspects of the remuneration including any annual pay increases, benefits and conditions of employment of the Vice-Chancellor, taking account of the breadth of leadership and financial responsibilities, and delivery against the University’s strategic objectives. The Committee also receives reports allowing oversight of pay in all other areas of the University.

The purpose of the Annual Pay Policy Statement is to set out the University’s policies on a range of issues concerning the pay and remuneration of its workforce. The University’s pay and grading policies, procedures, and practices are available to all employees.

In addition to any increases determined through the collectivSalaries of Clinical Professors are determined under separate arrangements within the NHSe pay negotiations, all colleagues from grades 1-10 receive automatic incremental progression annually until they reach the top of their grade.

In addition to complying with all accounting practices, which require a full annual remuneration report, the University’s Pay Policy Statement has been prepared in accordance with the principles detailed in the Welsh Government’s ‘Transparency of senior remuneration in the devolved Welsh public sector’ published in December 2015.

Any pay outside of this is determined by benchmarking with similar institutions across the sector and by market conditions.

Benchmarking

The UCEA Senior Staff Remuneration survey and the Brightmine Salary Survey of Higher Education Staff is used for benchmarking salary proposals at recruitment and annual performance reviews.

The University also ensures that the principles of the Committee of University Chairs (CUC) Higher Education Senior Staff Remuneration Code, November 2021 are applied throughout their processes and practices, and presents a Senior Staff Remuneration report annually to demonstrate this to the Board of Governors.

The Remuneration Committee is a standing Committee of Council, the governing body of the University, and its membership comprises six lay governors including the University’s two ProChancellors, one of whom is the Chair of Council.

The annual CUC survey of ViceChancellors’ pay and conditions is also used when the Remuneration Committee is considering the Vice-Chancellor’s remuneration package.

Reporting of Senior Pay

The salary of the Vice-Chancellor, together with anonymised data on salaries above £100K is published in the University’s Annual Review and Financial Statements.

Senior Staff

Performance Related Pay

This is defined as the Vice-Chancellor and all members of the Senior Leadership team together with senior employees of the University on Grade 11

Grades 1 – 10: There are no performance related pay arrangements for colleagues on Grade 1 – 10 on the national pay spine, however as detailed

above, the salary structure contains annual incremental progression to a maximum point within each grade.

Grade 10A, Grade 11 and the Senior Leadership Team:

Remuneration for colleagues at Grade 10A, Grade 11 and members of the Senior Leadership Team is normally reviewed annually, using a fair and transparent process that reflects the performance of each individual, in the context of the University’s performance. The level of awards is decided by the Remuneration Committee, taking into account relevant market data¹.

Vice-Chancellor: The Pro-Chancellor who is the Chair of Council is responsible for the remuneration process for the Vice-Chancellor, including determining performance and recommending a remuneration reward for the Vice-Chancellor to the Remuneration Committee.

The Remuneration Committee ensures that any pay increases for senior staff are implemented within the limit of a predefined affordable, budget.

Academic Career Pathways

The University’s Academic Career Pathways criteria clearly indicate the activity and achievements required from colleagues at leach level, on each pathway, and are used as the basis for clear and transparent decision-making in academic recruitment, academic PDR, academic promotion, and Professorial remuneration. The University has reviewed its Academic Career Pathways, first introduced in 2015, and the new approach moves away from the use of numerical Key Performance Indicators (KPIs), towards a more holistic approach of evidencing and assessing academic achievement.

The Remuneration Committee receives and considers detailed reports of nominations proposed under the Retention of Exceptional Talent procedure as set out in the University’s Academic Promotion policy.

Equality

The University is committed to equality of

opportunity relating to pay, salary and career progression for all staff, within a framework which is fair, transparent and consistent, as reflected in its pay and grading structures.

The University is an equal opportunities employer and has been a Real Living Wage employer since 1st April 2019, meaning that the pay of all our colleagues, especially those on the lowest salaries, meets the basic cost of living in the UK and London as defined by the Living Wage Foundation.

The University regularly compares pay of diverse groups and monitors trends in the pay of those groups, which includes the annual reporting of the Gender Pay Gap. The University has reported a reduction in its Gender Pay Gap for seven consecutive years and is committed to continuing to address this through a range of initiatives including the Aurora Leadership programme and the Athena Swan Charter. Annual reports of progress are reviewed by the Remuneration Committee on behalf of the Council of the University.

Staff Rewards and Benefits

In addition to fair pay and career progression, the University offers employees a range of rewards and benefits including flexible working arrangements, a cycle to work scheme, a car benefit scheme, health and wellbeing services, excellent learning and development opportunities, and generous holiday and leave arrangements.

Workforce Management

The University is committed to managing the termination of employment with care and sensitivity, in line with the spirit of Swansea University Values, and in accordance with the principles set out in the University’s Redundancy Policy, Termination Policies, and Voluntary Severance Policy which are available to staff. The University aims to work in partnership with its recognised Trades Unions to manage the process for any voluntary severance schemes and recognises that a fair and reasonable

severance package needs to be available to eligible employees.

¹Salaries of Clinical Professors are determined under separate arrangements within the NHS

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INDEPENDENT AUDITOR'S REPORT TO THE COUNCIL OF SWANSEA UNIVERSITY

Report on the audit of the Financial Statements

section 154 of that Act.

and

• we have not identified, and concur with the Council’s assessment that there is not, a material uncertainty related to events or conditions that, individually or collectively, may cast significant doubt on the Group or the University’s ability to continue as a going concern for the going concern period.

We conducted our audit in accordance with International Standards on Auditing (UK) (“ISAs (UK)”) and applicable law. Our responsibilities are described below. We have fulfilled our ethical responsibilities under, and are independent of the Group in accordance with, UK ethical requirements including the FRC Ethical Standard. We believe that the audit evidence we have obtained is a sufficient and appropriate basis for our opinion.

Opinion

We have audited the financial statements of Swansea University (“the University”) for the year ended 31 July 2025 which comprise the Group and University Statements of Comprehensive Income, Statements of Change in Reserves, Statement of Financial Position, and Group Statement of Cash Flow and related notes, including the accounting policies.

However, as we cannot predict all future events or conditions and as subsequent events may result in outcomes that are inconsistent with judgements that were reasonable at the time they were made, the above conclusions are not a guarantee that the Group or the University will continue in operation.

In our opinion the financial statements:

Going concern

• give a true and fair view of the state of the Group’s and of the University’s affairs as at 31 July 2025, and of the Group’s and of the University’s income and expenditure, gains and losses and changes in reserves, and of the Group’s cash flows, for the year then ended;

The Council has prepared the financial statements on the going concern basis as it does not intend to liquidate the Group or the University or to cease their operations, and as it has concluded that the Group and the University’s financial position means that this is realistic. It has also concluded that there are no material uncertainties that could have cast significant doubt over their ability to continue as a going concern for at least a year from the date of approval of the financial statements (“the going concern period”).

Fraud and breaches of laws and

regulations – ability to detect

Identifying and responding to risks of
material misstatement due to fraud

To identify risks of material misstatement due to fraud (“fraud risks”) we assessed events or conditions that could indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud. Our risk assessment procedures included:

In our evaluation of the Council’s conclusions, we considered the inherent risks to the Group’s business model and analysed how those risks might affect the Group and the University’s financial resources or ability to continue operations over the going concern period.

• Enquiring of the Council, the Audit, Assurance and Risk Committee and internal audit as to the Group’s highlevel policies and procedures to prevent and detect fraud, including the internal audit function, and the Group’s channel for “whistleblowing”, as well as whether they have knowledge of any actual, suspected or alleged fraud.

Basis for opinion

We have been appointed as auditor under the Charters and Statutes of the University and in accordance with section 144 of the Charities Act 2011 (or its predecessors) and report in accordance with regulations made under

Our conclusions based on this work:

As required by auditing standards, and taking into account possible pressures to meet loan covenants, we perform procedures to address the risk of management override of controls and the risk of fraudulent revenue recognition, in particular the risk that research income is not recognised in accordance with the relevant grant terms and conditions and the risk that Group management may be in a position to make inappropriate accounting entries.

In determining the audit procedures we took into account the results of our evaluation of the Group-wide fraud risk management controls.

We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with Council and other management (as required by auditing standards) and discussed with Council and other management the policies and procedures regarding compliance with laws and regulations.

remained a higher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect noncompliance with all laws and regulations.

Firstly, the Group is subject to laws and regulations that directly affect the financial statements including financial reporting legislation, taxation legislation, pensions legislation, charities legislation and specific disclosures required by higher education legislation and regulation, including the Accounts Direction issued by Medr, and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. 

Other information

The Council (the members of which are the Trustees of the University for the purposes of charity law) is responsible for the other information, which comprises all of the information in the Annual Review other than the financial statements and our auditor’s report thereon. Our opinion on the financial statements does not cover the other information and, accordingly, we do not express an audit opinion or, except as explicitly stated below, any form of assurance conclusion thereon.

Secondly, the Group is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation or the need to include significant provisions. We identified the following areas as those most likely to have such an effect: compliance with higher education regulatory requirements of Medr, recognising the regulated nature of the Group’s activities. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the directors and other management and inspection • of regulatory and legal correspondence, if any. Therefore, if a breach of operational regulations is not disclosed • to us or evident from relevant correspondence, an audit will not detect that breach.

Our responsibility is to read the other information and, in doing so, consider whether, based on our financial statements audit work, the information therein is materially misstated or inconsistent with the financial statements or our audit knowledge. We are required to report to you if:

in our opinion the information given on pages 54 to 55 (which constitutes the Trustees’ Annual Report for the financial year) is inconsistent in any material respect with the financial statements. 

Context of the ability of the audit to
detect fraud or breaches of law or
regulation

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with • laws and regulations is from the events and transactions reflected in the financial • statements, the less likely the inherently limited procedures required by auditing • standards would identify it. In addition, as with any audit, there

Matters on which we are required to report by exception

Under the Charities Act 2011 we are required to report to you if, in our opinion:

• the University has not kept sufficient accounting records; or

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require for our audit. HEFCW to Medr, the Commission for We have nothing to report in these Tertiary Education and Research on 1 August 2024. The Financial Management Code and Terms and Council responsibilities . Conditions of Funding 2024/25 issued As explained more fully in its statement by HEFCW remain in place at the date set out on page 60, the Council is of our report. In view of this transfer, any Rees Batley responsible for: the preparation of the reference to HEFCW in our report for and on behalf of KPMG LLP, financial statements which give a true should be read as also referring to Statutory Auditor and fair view; such internal control as it Medr. Os determines is necessary to enable the Chartered Accountants In our opinion, in all material respects: preparation of financial statements that • funds from whatever source KPMG LLP is eligible to act as an auditor are free from material misstatement, administered by the Group or the in terms of section 1212 of the whether due to fraud or error; assessing Companies Act 2006

We have nothing to report in these respects.

Council responsibilities

As explained more fully in its statement set out on page 60, the Council is responsible for: the preparation of the financial statements which give a true and fair view; such internal control as it determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error; assessing the Group and University’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern; and using the going concern basis of accounting unless it either intends to liquidate the Group or the University or to cease operations, or has no realistic alternative but to do so.

In our opinion, in all material respects: preparation of financial statements that • funds from whatever source are free from material misstatement, administered by the Group or the whether due to fraud or error; assessing University for specific purposes have the Group and University’s ability to been properly applied to those continue as a going concern, purposes and managed in disclosing, as applicable, matters related accordance with relevant legislation; to going concern; and using the going • concern basis of accounting unless it income, where appropriate, has been either intends to liquidate the Group or applied by the University in the University or to cease operations, or accordance with paragraph 145 of has no realistic alternative but to do so. the HEFCW’s Financial Management Code; Auditor’s responsibilities • Funding Council grants (including Our objectives are to obtain reasonable grants from Medr) have been applied assurance about whether the financial in accordance with terms and statements as a whole are free from conditions attached to them and used material misstatement, whether due to for the purposes for which they were fraud or error, and to issue our opinion received, including the Terms and in an auditor’s report. Reasonable Conditions of Funding 2024/25 assurance is a high level of assurance, issued by HEFCW ; and but does not guarantee that an audit • the requirements of Medr’s Accounts conducted in accordance with ISAs (UK) Direction have been met. will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered The purpose of our audit work and material if, individually or in aggregate, to whom we owe our they could reasonably be expected to responsibilities influence the economic decisions of This report is made solely to the Council users taken on the basis of the financial in accordance with Section 4 of the statements.

66 Queen Square Bristol BS1 4BE

28 November 2025

This report is made solely to the Council users taken on the basis of the financial in accordance with Section 4 of the statements. Charters and Statues of the University A fuller description of our and in accordance with section 144 of responsibilities is provided on the FRC’s the Charities Act 2011 (or its website at www.frc.org.uk/ predecessors) and regulations made auditorsresponsibilities. under section 154 of that Act. Our audit Report on other legal and work has been undertaken so that we regulatory requirements might state to the Council those matters we are required to state to them in an We are required to report on the auditor’s report and for no other following matters prescribed in the purpose. To the fullest extent permitted Financial Management Code issued by law, we do not accept or assume under the Higher Education (Wales) Act responsibility to anyone other than the 2015 and the Accounts Direction to University and the Council for our audit Higher Education Institutions for 2024/ work, for this report, or for the opinions 25 issued by Medr (“the Accounts we have formed.

We are required to report on the following matters prescribed in the Financial Management Code issued under the Higher Education (Wales) Act 2015 and the Accounts Direction to Higher Education Institutions for 2024/ 25 issued by Medr (“the Accounts Direction”).

The regulation of the Welsh Higher Education sector was transferred from

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STATEMENT OF COUNCIL’S RESPONSIBILITIES IN RESPECT OF THE ANNUAL REVIEW AND THE FINANCIAL STATEMENTS

  1. The Terms and Conditions of

Council is responsible for preparing the Annual Review and the financial statements in accordance with the requirements of the Terms and Conditions of Funding 2024/25 issued by HEFCW, the Accounts Direction to Higher Education Institutions for 2024/ 25 issued by Medr (“the Accounts Direction”), the Financial Management Code issued by HEFCW under the Higher Education (Wales) Act 2015 (“FMC”) and applicable law and regulations.

~~applicable, matters related to going concern; and S~~

Funding 2024/25 further require the financial statements to be prepared in accordance with the 2019 Statement of Recommended Practice – Accounting for Further and Higher Education and in accordance with the requirements of the Accounts Direction.

Council is required to prepare financial statements which give a true and fair view of the state of affairs of the Group and parent University and of their income and expenditure, gains and losses and changes in reserves, and of the Group’s cash flows, for that period. In preparing each of the Group and parent University financial statements, Council is required to:

Council is responsible for keeping adequate accounting records that are sufficient to show and explain the parent University’s transactions and disclose with reasonable accuracy at any time the financial position of the parent University. It is responsible for such internal control as it determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error, and has general responsibility for taking such steps as are reasonably open to it to safeguard the assets of the Group and to prevent and detect fraud and other irregularities. Council is also responsible for ensuring that:

The regulation of the Welsh Higher Education sector was transferred from HEFCW to Medr, the Commission for Tertiary Education and Research on 1 August 2024. The FMC and Terms and Conditions of Funding 2024/25 issued by HEFCW remain in place until superseded by subsequent Medr publications. In view of this transfer, any reference to HEFCW should be read as also referring to Medr.

Council is required to prepare the Group and parent University financial statements in accordance with UK accounting standards and applicable law (UK Generally Accepted Accounting Practice), including FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland and the requirements of the Charities Act

28 November 2025

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STATEMENT OF PRINCIPAL ACCOUNTING POLICIES

detailed plan for significant pay and non-pay reductions by 2026/27. A major Professional Services Redesign is now largely complete and 2024/25 also saw a reduction in academic staff through the Voluntary Exit Scheme.

The University’s latest forecasts are indicating that further cost savings will be required in order to ensure the underlying operating model continues to be affordable with the expected reduction in income in the coming years.

A waiver for two of the loan covenants associated with the University’s borrowing from the European Investment Bank (EIB) was obtained for 2024/25.

1 General Information

Swansea University is registered with Medr, the Commission for Tertiary Education and Research.

The address of the registered office is:

Swansea University

Singleton Park

Swansea

SA2 8PP

Charity Number: 1138342

2 Statement of compliance

The Consolidated and University financial statements have been prepared in accordance with United Kingdom Accounting Standards, including Financial Reporting Standard 102 (FRS 102) and the Statement of Recommended Practice (SORP): Accounting for Further and Higher Education (2019 edition).

They have also been prepared in accordance with the ‘carried forward’ powers and duties of previous legislation (Further and Higher Education Act 1992 and the Higher Education Act 2004) and the new powers of the Higher Education and Research Act 2017, the Royal Charter, the Accounts Direction, and the Terms and conditions of funding for higher education institutions issued by Medr.

The University is registered as a charity. The Financial Statements have been prepared in compliance with the Charities Act 2011.

The University is a public benefit entity and therefore has applied the relevant public benefit requirement of the applicable UK laws and accounting standards.

3 Basis of preparation

The Consolidated and University financial statements are prepared in accordance with the historic–cost convention (modified by the revaluation of fixed assets and the measurement of certain financial instruments at fair value).

The University’s activities, together with the factors likely to affect its future development, performance and position, are set out in the operational and financial review, which forms part of the Members of Council’s report. This review also describes the financial position of the University, its cash flows, liquidity position and borrowing facilities. The Members of Council have a reasonable expectation that the University has adequate resources to continue in operational existence for the foreseeable future.

Judgements made by management in the application of these accounting policies that have a significant effect on the financial statements and estimates with a significant risk of material adjustment in the next year are discussed in accounting policy 23.

The consolidated financial statements include the University and all its subsidiaries for the financial year to 31 July 2025. Intra– group transactions are eliminated on consolidation.

The consolidated financial statements do not include the income and expenditure of the Students’ Union as the University does not exert control or dominant influence over policy decisions.

Associates are accounted for using the equity method.

The financial statements are prepared in sterling which is the functional currency of the group and rounded to the nearest £’000.

4 Going Concern

The University continues to monitor and model the financial impact of the difficulties in the overseas student recruitment market and the lack of any significant changes to the longer-term funding of higher education in the UK.

The University also secured a £25m Revolving Credit Faciility (RCF) with HSBC in 2024 for a period of 5 years to provide additional resilience.

A further waiver has been agreed with EIB for the year ended 31 July 2026 subject to a loan prepayment of £7.3m being made in December 2025. The temporary covenant requiring minimum cash, which was put in place until 31 January 2026, is now a permanent additional condition of the borrowing, with a requirement to hold a minimum of £50m of cash including the RCF until 31 July 2026, dropping to £40m for the years 2026/27 and 2027/28 until returning to £50m from 2028/29.

The University has prepared a plausible downside scenario and has considered the financial impact of this on its Statements of Comprehensive Income, Financial Position, Cash Flows and on its banking covenants for the going concern period, being 12 months from the date of approval of these financial statements.

The downside scenario shows that the University can retain sufficient cash to meet its day to day operating requirements and that there will be no breach of the new covenant conditions.

The main risk that has been tested is the reduction in home and overseas student numbers against the 2025/26 original forecasts, taking into account actual enrolments to October 2025 and potential recruitment in September 2026, based on current applications and market intelligence.

Other risks that have been considered include potential changes to UK government funding policies and a delay in delivering the savings targets that the University has set.

The University Senior Leadership Team is confident that, based on its track record of successfully forecasting, identifying and addressing financial challenges, it will deliver the necessary changes to its’ operating model to ensure it can meet the going concern requirements.

Members of Council have considered the underlying assumptions of the plausible downside scenario, the proposed mitigations, and the financial impact of these, particularly in relation to the cash position and the renegotiated loan covenants. Whilst acknowledging the scale of the challenge facing the sector and the University, the Members of Council are confident that the current University leadership can manage the risks and will have sufficient funds to meet the University’s liabilities as they fall due over the period of 12 months from the date of approval of the financial statements.

5 Exemptions under FRS102

The University has taken the exemption under section 3.3 of the SORP (1.12(b) of FRS 102) to not produce a cash flow statement for the University in its separate financial statements.

6 Basis of consolidation

The consolidated financial statements include the financial statements of the University and all its subsidiaries together with the share of the results of joint ventures and associates for the financial year to 31 July 2025.

The results of subsidiaries acquired or disposed of during the period are included in the consolidated statement of comprehensive income from the date of acquisition or up to the date of disposal. Intra–group transactions are eliminated on consolidation.

Gains or losses on any intra–group transactions are eliminated in full. Amounts in relation to debts and claims between undertakings included in the consolidation are also eliminated. Balances between the University and its associates and joint ventures are not eliminated. Normal trading transactions that are not settled by the Statement of Financial Position date are included as current assets or liabilities. Any gains or losses are included in the carrying amount of assets of either entity; the part relating to the University’s share is eliminated.

The consolidated financial statements do not include the Students’ Union as the University does not exert control or dominant influence over policy decisions.

Associated companies and joint ventures are accounted for using the equity method.

To address the emerging risks the University implemented a three-year Financial Sustainability Programme in August 2023 with a

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  1. Restricted expendable endowments – the donor has specified a particular objective other than the purchase or construction of tangible fixed assets, and the University can convert the donated sum into income.

7 Income recognition

Income from the sale of goods or services (exchange transactions) is credited to the Statement of Comprehensive Income when the amount of revenue can be reliably measured, the stage of completion at the end of the reporting period can be reliably measured, it is probable that the economic benefits associated with the transaction will flow to the University and when costs of services delivered or due to be delivered can be measured reliably.

Tuition Fee income is stated gross of any expenditure which is not a discount and credited to the Statement of Comprehensive Income over the period in which students are studying. Where the amount of the tuition fee is reduced, by a discount for prompt payment, income receivable is shown net of the discount. Bursaries and scholarships are accounted for gross as expenditure and not deducted from income. Education contracts are recognised when the University is entitled to the income, which is the period in which the students are studying, or where relevant, when performance conditions have been met.

Funds the University receives and disburses as paying agent on behalf of a funding body are excluded from the income and expenditure of the University where the University is exposed to minimal risk or enjoys minimal economic benefit related to the transaction.

Investment income is credited to the statement of income and expenditure on a receivable basis.

Grant funding

Government grants including Funding Council block grant and research grants from Government sources and other grants from non–government sources including research grants from non–government sources are recognised within the Statement of Comprehensive Income when the University is entitled to the income and performance–related conditions have been met. Income received in advance of performance–related conditions is deferred within creditors in the Statement of Financial Performance and released to the Statement of Comprehensive Income in line with such conditions being met.

Commercial research contracts are accounted for in line with the policy for income from the sale of goods or services (exchange transactions) above.

Other grants and donations received from non–government sources including research grants from non–government sources are recognised within the Statement of Comprehensive Income when the University is entitled to the income and the performance– related conditions have been met. Income received in advance of performance–related conditions is deferred within creditors in the Statement of Financial Performance and released to the Statement of Comprehensive Income in line with such conditions being met.

Capital grants

Capital grants are recognised in income when the University is entitled to the funds subject to any performance–related conditions being met. Capital Government grants for land are to be accounted for in line with the performance model as per the policy for Government Grants above.

Donations and endowments

Non–exchange transactions without performance–related conditions are donations and endowments. Donations and endowments with donor–imposed restrictions are recognised within the Statement of Comprehensive Income when the University is entitled to the income. Income is retained within the restricted reserve until such time that it is utilised in line with such restrictions at which point the income is released to general reserves through a reserve transfer.

Investment income and appreciation of endowment investments is recorded in income in the year in which it arises and as either restricted or unrestricted income according to the terms of the restriction applied to the individual endowment fund.

Donations with no restrictions are recorded within the Statement of Comprehensive Income when the University is entitled to the income.

Donations and endowments with restrictions are classified as restricted reserves with additional disclosure provided within the notes to the accounts.

There are four main types of donations and endowments with restrictions:

  1. Restricted donations – the donor has specified that the donation must be used for a particular objective.

  2. Unrestricted permanent endowments – the donor has specified that the fund is to be permanently invested to generate an income stream for the general benefit of the University.

  3. Restricted permanent endowments – the donor has specified that the fund is to be permanently invested to generate an income stream to be applied to a particular objective.

Donations of tangible assets are included within income. The income recognised is valued using a reasonable estimate of their gross value or the amount actually realised. Donated tangible assets are valued and accounted for as tangible assets under the appropriate asset category.

8 Accounting for retirement benefits

The three principal schemes for the University’s staff are the Universities Superannuation Scheme (USS), the Swansea University Pension Scheme (SUPS), and the National Employment Savings Trust (NEST). SUPS was closed to new members from 1 January 2012 when new staff were invited to join NEST. The University also contributes to the NHS Pension Scheme.

USS is a Career Average Revalued Earnings Scheme. SUPS is a defined–benefit scheme, which is externally funded and contracted out of the State Second Pension. Both funds are valued every three years by professionally qualified independent actuaries. NEST is a defined contribution scheme.

The USS is a multi–employer scheme for which it is not possible to identify the assets and liabilities of each University, due to the mutual nature of the scheme. Therefore, the scheme is accounted for as a defined contribution retirement benefit scheme.

A liability is recorded within provisions where appropriate for any contractual commitment to fund past deficits within the USS or Swansea University Pension schemes. In 2024 the USS scheme was valued as in surplus and the liability within the financial statements removed.

Defined Contribution Plan

A defined contribution plan is a post–employment benefit plan under which the company pays fixed contributions into a separate entity and will have no legal or constructive obligation to pay further amounts. Obligations for contributions of defined contribution pension plans are recognised as an expense in the Statement of Comprehensive Income in the periods during which the services are rendered by employees.

Multi–employer schemes

Where the University is unable to identify its share of the underlying assets and liabilities in a multi-employer scheme on a reasonable and consistent basis, it accounts as if the scheme were a defined contribution scheme. Where the University has entered into an agreement with such a multi-employer scheme that determines how the University will contribute to a deficit recovery plan, the University recognises a liability for the contributions payable that arise from the agreement, to the extent that they relate to the deficit, and the resulting expense is recognised in expenditure.

Defined Benefit Plan

A defined benefit plan is a post–employment benefit plan other than a defined contribution plan. Under defined benefit plans the University’s obligation is to provide the agreed benefits to current and former employees, and actuarial risk (that benefits will cost more or less than expected) and investment risk (that returns on assets set aside to fund the benefits will differ from expectations) are borne in substance by the University. The net liability is recognised in the Statement of Financial Position in respect of each scheme and is the present value of the defined benefit obligation at the reporting date less the fair value of the plan assets at the reporting date.

Annually the University engages independent actuaries to calculate the obligation for each scheme. The present value is determined by discounting the estimated future payments at a discount rate based on market yields on high quality corporate bonds denominated in sterling with terms approximating to the estimated period of the future payments.

The fair value of a scheme’s assets is measured in accordance with the FRS 102 fair value hierarchy and in accordance with the University’s policy for similarly held assets. This includes the use of appropriate valuation techniques.

Actuarial gains and losses arising from experience adjustments and changes in actuarial assumptions are charged or credited to other comprehensive income. These amounts together with the return on plan assets, less amounts included in net interest, are disclosed as actuarial gains and losses.

The cost of the defined benefit plan, recognised in expenditure as staff costs, except where included in the cost of an asset, comprises the increase in pension benefit liability arising from employee service during the period and the cost of plan introductions, benefit changes, curtailments, and settlements. The net interest cost is calculated by applying the discount rate to the

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net liability. This cost is recognised in expenditure as a finance cost.

Further detail is provided on the specific pension schemes in note 31 to the accounts.

9 Employment Benefits

Short–term employment benefits such as salaries and compensated absences are recognised as an expense in the year in which the employees render the service to the University. Any unused benefits are accrued and measured as the additional amount the University expects to pay as a result of unused entitlement. Unused annual leave entitlement at 31 July is recognised as a creditor for administrative staff. There is no creditor for unused annual leave for academics as no obligation exists.

Severance payable in future periods under the voluntary exit scheme is recognised in the current year, only where there has been formal agreement and commitment to that severance, on a per-person basis by 31 July.

difference between the revalued amount and historical cost is credited to a revaluation reserve. An amount equal to the depreciation in excess of that on the historical cost basis is transferred from the revaluation reserve to retained earnings on an annual basis.

Costs incurred to land and buildings after initial purchase or construction, are capitalised to the extent that they increase the expected future benefits to the University.

Where parts of the assets have different useful lives, they are componentised and accounted for as separate items of fixed assets.

Freehold land is not depreciated as it is considered to have an indefinite useful life. Freehold buildings are depreciated on a straight–line basis over their expected useful lives to the University, usually between 12 and 75 years.

No depreciation is charged on assets in the course of construction and depreciation is accelerated when there is a known demolition date.

Leasehold land and buildings are depreciated over the life of the lease up to a maximum of 50 years.

10 Finance Leases

Leases in which the University assumes substantially all the risks and rewards of ownership of the leased asset are classified as finance leases. Leased assets acquired by way of finance lease are stated at the lower of their fair value and the present value of the minimum lease payments at inception of the lease, less accumulated depreciation and less accumulated impairment losses.

Lease payments are accounted for as described below. Minimum lease payments are apportioned between the finance charge and the reduction of the outstanding liability. The finance charge is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Equipment

Equipment costing more than £25k per individual item is capitalised in the year of acquisition. Equipment purchased as part of a package or replacement programme, with the total package costing more than £25k is also capitalised in the year of acquisition. All other equipment is written off in the year of acquisition, unless there is a specific reason to capitalise.

Capitalised equipment is stated at cost and depreciated over its useful expected life. The useful expected life is three to five years except in exceptional circumstances where the useful life is deemed longer or shorter.

Depreciation methods, useful lives and residual values are reviewed at the date of preparation of the Statement of Financial Position.

11 Service Concession Arrangements

Fixed assets held under service concession arrangements are recognised on the Statement of Financial Position at the present value of the minimum lease payments when the assets are brought into use with the corresponding financial liability.

Payments under the service concession arrangement are allocated between service costs, finance charges and financial liability repayments to reduce the financial liability to nil over the life of the arrangement.

The Bay Campus residences and Singleton residences are classified as Service Concession Arrangements.

12 Operating Leases

Costs in respect of operating leases are charged on a straight–line basis over the lease term. Any lease premiums or incentives are spread over the minimum lease term.

13 Foreign Currency

Transactions in foreign currencies are translated to Pound Sterling at the foreign exchange rate ruling at the date of transaction. Monetary assets and liabilities denominated in foreign currencies at the Statement of Financial Position date are re–translated to the functional currency at the foreign exchange rate ruling at that date. Foreign exchange differences arising on translation are recognised in the income statement. Non–monetary assets and liabilities that are measured in terms of historical cost in a foreign currency are translated using the exchange rate at the date of the transaction. Non–monetary assets and liabilities denominated in foreign currencies that are stated at fair value are retranslated to the functional currency at foreign exchange rates ruling at the dates the fair value was determined.

Vessels

Vessels are stated at cost and depreciated over their useful expected lives.

Depreciation methods, useful lives and residual values are reviewed annually at the date of preparation of the Statement of Financial Position.

Borrowing costs

Borrowing costs are recognised as an expense in the Statement of Comprehensive Income in the period in which they are incurred.

Impairment

A review for impairment of property, plant and equipment is carried out annually. Assets are impaired where events or changes in circumstances indicate that the carrying amount of the property, plant and equipment may not be recoverable.

15 Heritage Assets

Works of art and other valuable artefacts are capitalised and recognised at the cost or value of the acquisition, where a cost or value is reasonably obtainable.

Heritage assets are not depreciated as their long economic life and high residual value mean that any depreciation would not be material.

Where heritage assets have not been capitalised, details of the nature and age of these assets are disclosed.

16 Investments

14 Property, Plant and Equipment

Property, plant and equipment are stated at deemed cost less accumulated depreciation and accumulated impairment losses.

Land and buildings

Non–current investments are held on the Statement of Financial Position at amortised cost less impairment. Investments in jointly controlled entities, subsidiaries and associates are carried at cost less impairment in the University’s accounts. Current asset investments are held at fair value with movements recognised in the Statement of Comprehensive Income.

Land and buildings are capitalised at cost on initial recognition.

After initial recognition, land and buildings are subsequently measured at costs less accumulated depreciation and accumulated impairment losses.

17 Stock

Stock is held at the lower of cost and net realisable value.

Land and Buildings in existence upon transition to FRS102 and the new HE SORP 2015, were revalued to fair value on the date of transition. These are measured on the basis of deemed cost, being the revalued amount at the date of the revaluation. The

18 Cash and cash equivalents

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Cash includes cash in hand, deposits repayable on demand and overdrafts. Deposits are repayable on demand if they are in practice available within 2 working days without penalty.

Cash equivalents are short–term, highly liquid investments that are readily convertible to known amounts of cash with insignificant risk of change in value.

19 Provisions, contingent liabilities, and contingent assets

Provisions are recognised in the financial statements when:

a) The University has a present obligation (legal or constructive) as a result of a past event.

b) It is probable that an outflow of economic benefits will be required to settle the obligation, and

c) A reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is determined by discounting the expected future cash flows at a pre–tax rate that reflects risks specific to the liability.

A contingent liability arises from a past event that gives the University a possible obligation whose existence will only be confirmed by the occurrence or otherwise of certain future events not wholly within the control of the University. Contingent liabilities also arise in circumstances where a provision would otherwise be made but either it is not probable that an outflow of resources will be required, or the amount of the obligation cannot be measured reliably.

than three years.

Pension costs under the HE SORP and FRS102 are assessed in accordance with the advice of independent actuaries based upon latest actuarial valuations and assumptions determined by the actuaries. The assumptions are based upon information supplied to the actuaries by the University, supplemented by decisions between the actuary and management. The assumptions are documented in note 31.

FRS 102 makes the distinction between a group plan and a multi– employer scheme. A group plan consists of a collection of entities under common control typically with a sponsoring employer. A multi–employer scheme is a scheme for entities not under common control and represents (typically) an industry–wide scheme including the Universities Superannuation Scheme.

The accounting for a multi–employer scheme where the employer has entered into an agreement with the scheme that determines how the employer will fund a deficit, results in the recognition of a liability for the contributions payable that arise from the agreement (to the extent that they relate to the deficit) with the resulting expense charged through the profit or loss account in accordance with section 28 of FRS 102. The trustees are satisfied that the Universities Superannuation Scheme meets the definition of a multi–employer scheme. To the extent that the Pension scheme is in deficit, the University recognise the discounted fair value of the contractual contributions under the recovery plan in existence. If the University is contractually bound to make deficit recovery payments to USS, this is recognised as a liability on the Statement of Financial Position.

Following the latest USS triennial valuation, the Pension Scheme is no longer in deficit, and therefore no provision is recognised at 31 July. This position will be reassessed after each triennial valuation. Further details are set out in note 31.

A contingent asset arises where an event has taken place that gives the University a possible asset whose existence will only be confirmed by the occurrence or otherwise of uncertain future events not wholly within the control of the University.

Contingent assets and liabilities are not recognised in the Statement of Financial Position but are disclosed in the notes.

20 Accounting for Associates, Joint Operations, Jointly Controlled Assets and Jointly Controlled Operations

The University accounts for its share of joint ventures and associates using the equity method.

The University accounts for its share of transactions from joint operations and jointly controlled assets in the Statement of Comprehensive Income.

21 Taxation

The University is a charity within the meaning of Para 1 of schedule 6 of the Finance Act 2010 and accordingly, the University is potentially exempt from taxation in respect of income or capital gains received within categories covered by section 478–488 of the Corporation Tax Act 2010 (CTA 2010) or section 256 of the Taxation of Chargeable Gains Act 1992, to the extent that such income or gains are applied to exclusively charitable purposes.

The University receives no similar exemption in respect of Value Added Tax. Irrecoverable VAT on inputs is included in the costs of such inputs. Any irrecoverable VAT allocated to fixed assets is included in their cost.

The University’s subsidiaries are liable to Corporation Tax in the same way as any other commercial organisation.

22 Reserves

Reserves are allocated between restricted and unrestricted reserves. Restricted endowment reserves include balances which, through endowment to the University, are held as a permanent restricted fund as the University must hold the fund to perpetuity.

Other restricted reserves include restricted donations through which the donor has designated a specific purpose and therefore the University is restricted in the use of these funds.

23 Critical accounting estimates and judgements

Significant estimates and judgements used in the preparation of this financial information were as follows:

Retirement benefit obligations

The University operates its own scheme, Swansea University Pension Scheme (SUPS), which is a defined–benefit scheme (now closed to new members). Actuarial valuations of the scheme are carried out as determined by the Trustees at intervals of not more

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CONSOLIDATED AND INSTITUTION STATEMENT OF CHANGE IN RESERVES

CONSOLIDATED AND INSTITUTION STATEMENT OF COMPREHENSIVE INCOME

Year ended 31st July 2025

Year ended 31st July 2025

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CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
YEAR ENDED 31 YEAR ENDED YEAR ENDED YEAR ENDED
JULY 2025 31 JULY 2025 31 JULY 2024 31 JULY 2024
NOTE £000 £000 £000 £000
INCOME
Tuition fees and education contracts 1 176,638 176,638 213,306 213,306
Funding body grants 2 39,088 39,088 40,503 40,503
Research grants and contracts 3 51,232 51,232 56,852 56,852
Other income 4 61,415 60,975 62,896 62,481
Investment income 5 4,804 4,804 7,214 7,214
Donations and Endowments 6 468 468 924 924
TOTAL INCOME 333,645 333,205 381,695 381,280
EXPENDITURE
Staff costs 7 199,491 199,079 201,208 200,818
Change in expected USS contributions 7 - - (98,742) (98,742)
Restructuring costs 7 8,422 8,422 8,461 8,461
Other operating expenses 9 127,122 126,755 147,288 146,811
Depreciation and amortisation 10/11 31,310 31,303 31,784 31,779
Interest and other finance costs 8 6,685 6,664 8,780 8,763
TOTAL EXPENDITURE 9 373,030 372,223 298,779 297,890
(Deficit) / Surplus before other gains / (losses) and share of
operating (deficit) / surplus of joint ventures and associates (39,385) (39,018) 82,916 83,390
OTHER GAINS AND LOSSES
Gain on disposal of tangible assets 10 - - 445 445
(Loss) / gain on investments 14/22 (366) (1,491) 384 237
Share of operating (deficit) / profit in associate 14 (154) - 29 -
SURPLUS AND COMPREHNSIVE INCOME
(DEFICIT) / SURPLUS BEFORE TAXAION (39,905) (40,509) 83,774 84,072
Taxation (27) - (33) -
(DEFICIT) / SURPLUS FOR THE YEAR (39,932) (40,509) 83,741 84,072
Other Comprehensive Income
Actuarial gain / (loss) in respect of pension schemes 31 5,400 5,400 (3,400) (3,400)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR (34,532) (35,109) 80,341 80,672
REPRESENTED BY:
Endowment comprehensive income for the year 22 163 163 664 664
Restricted comprehensive income for the year 23 (286) (286) 648 648
Unrestricted comprehensive income for the year (32,486) (33,063) 80,034 80,365
Revaluation reserve comprehensive income for the year (1,923) (1,923) (1,005) (1,005)
(34,532) (35,109) 80,341 80,672
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INCOME AND REVALUATION
EXPENDITURE RESERVE RESERVE TOTAL
ENDOWMENT RESTRICTED UNRESTRICTED
£000 £000 £000 £000 £000
CONSOLIDATED
AT 1 AUGUST 2023 7,308 187 198,437 41,083 247,015
Surplus from the income and expenditure statement 695 648 82,398 - 83,741
- - -
Other comprehensive income (3,400) (3,400)
Transfers between revaluation and income and expenditure reserve - - 1,005 (1,005) -
Release of endowment and restricted funds spent in the year (31) - 31 - -
AT 31 JULY 2024 7,972 835 278,471 40,078 327,356
AT 1 AUGUST 2024 7,972 835 278,471 40,078 327,356
Surplus / (deficit) from the income and expenditure statement 186 (286) (39,832) - (39,932)
Other comprehensive income - - 5,400 - 5,400
Transfers between revaluation and income and expenditure reserve - - 1,923 (1,923) -
Release of endowment and restricted funds spent in the year (23) - 23 - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 163 (286) (32,486) (1,923) (34,532)
AT 31 JULY 2025 8,135 549 245,985 38,155 292,824
UNIVERSITY
AT 1 AUGUST 2023 7,308 187 198,220 41,083 246,798
Surplus from the income and expenditure statement 695 648 82,729 - 84,072
- - -
Other comprehensive income (3,400) (3,400)
Transfers between revaluation and income and expenditure reserve - - 1,005 (1,005) -
Release of endowment and restricted funds spent in the year (31) - 31 - -
AT 31 JULY 2024 7,972 835 278,585 40,078 327,470
AT 1 AUGUST 2024 7,972 835 278,585 40,078 327,470
Surplus / (deficit) from the income and expenditure statement 186 (286) (40,409) - (40,509)
Other comprehensive income - - 5,400 - 5,400
Transfers between revaluation and income and expenditure reserve - - 1,923 (1,923) -
Release of endowment and restricted funds spent in the year (23) - 23 - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 163 (286) (33,063) (1,923) (35,109)
AT 31 JULY 2025 8,135 549 245,522 38,155 292,361
----- End of picture text -----

All items of income and expenditure relate to continuing activities. The accompanying notes and policies on pages 74 to 99 from part of these financial statements.

70

71

CONSOLIDATED AND INSTITUTION STATEMENT OF FINANCIAL POSITION

CONSOLIDATED STATEMENT OF CASH FLOWS

Year ended 31st July 2025

Year ended 31st July 2025

==> picture [539 x 624] intentionally omitted <==

----- Start of picture text -----
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
31ST JULY 2025 31ST JULY 2025 31ST JULY 2024 31ST JULY 2024
NOTE £000 £000 £000 £000
NON-CURRENT ASSETS
Intangible assets 11 242 242 444 444
Tangible assets 10 466,174 466,107 480,323 480,249
Heritage assets 12 1,040 1,040 1,040 1,040
Investments 14 165 - 555 -
Investments in subsidiaries 14 - - - 700
Investments in associates 14 - - 154 -
467,621 467,389 482,516 482,433
CURRENT ASSETS
Stocks 15 65 - 93 -
Trade and other receivables 17 33,858 33,779 41,452 41,421
Investments 16 - - 5,364 5,364
Cash and cash equivalents 97,600 97,259 120,756 120,580
131,523 131,038 167,665 167,365
CURRENT LIABILITIES
Less creditors falling due within one year 18 (89,381) (89,127) (100,621) (100,124)
NET CURRENT ASSETS 42,142 41,911 67,044 67,241
TOTAL ASSETS LESS CURRENT LIABILITIES 509,763 509,300 549,560 549,674
Creditors: amounts falling due after more than one year 19 (204,539) (204,539) (203,204) (203,204)
PROVISIONS
Pension provision 21 (12,400) (12,400) (19,000) (19,000)
TOTAL NET ASSETS 292,824 292,361 327,356 327,470
RESTRICTED RESERVES
Income and expenditure reserve – endowment reserve 22 8,135 8,135 7,972 7,972
Income and expenditure reserve – restricted reserve 23 549 549 835 835
UNRESTRICTED RESERVES
Income and expenditure reserve – unrestricted 245,985 245,522 278,471 278,585
Revaluation reserve 38,155 38,155 40,078 40,078
TOTAL RESERVES 292,824 292,361 327,356 327,470
----- End of picture text -----

The financial statements were approved by Council on 28 November 2025 and were signed on its behalf on that date by:

==> picture [541 x 673] intentionally omitted <==

----- Start of picture text -----
31ST JULY 2025 31ST JULY 2024
NOTE £000 £000
CASH FLOW FROM OPERATING ACTIVITIES
(Deficit) / Surplus for the year before taxation (39,905) 83,774
ADJUSTMENT FOR NON-CASH ITEMS
Depreciation 10 31,177 31,663
Amortisation of intangibles 11 133 121
Impairment 14 2,737 -
Gain / (loss) on Investments 366 (384)
Decrease in stock 28 36
Decrease in debtors 7,594 9,004
(Decrease) in creditors (12,254) (34,180)
(Decrease) in pension provisions (1,200) (101,241)
Share of operating deficit / (surplus) in associate 154 (29)
ADJUSTMENT FOR INVESTING OR FINANCING ACTIVITIES
Investment income (4,804) (7,214)
Capital grant income (5,406) (5,327)
Interest payable 5,785 5,701
Endowment Income (8) (85)
-
(Gain) on the sale of tangible assets (445)
CASH FLOWS FROM OPERATING ACTIVITIES (15,603) (18,606)
Taxation (27) (33)
NET CASH (OUTFLOW) FROM OPERATING ACTIVITIES (15,630) (18,639)
CASH FLOWS FROM INVESTING ACTIVITIES
Capital grant receipts 6,470 7,115
Proceeds from sales of tangible assets - 445
Payments made to acquire tangible assets (19,732) (32,044)
Payments made to acquire intangible assets 37 (249)
Disposal of current investments 5,388 -
Decrease in deposits - 50,000
Investment income 4,804 8,732
(3,033) 33,999
CASH FLOWS FROM FINANCING ACTIVITES
Interest paid (2,998) (2,820)
Interest element of finance lease and service concession arrangements (2,787) (2,881)
Capital element of finance lease and service concession arrangements (6,679) (6,584)
New endowments 8 85
New unsecured loans 14,611 -
Repayment of amounts borrowed (6,340) (6,077)
(4,185) (18,277)
DECREASE IN CASH AND CASH EQUIVALENTS IN THE YEAR (22,848) (2,917)
Cash and cash equivalents at beginning of the year 120,358 123,275
Cash and cash equivalents at end of the year 97,510 120,358
----- End of picture text -----

Professor Paul Boyle (Vice-Chancellor)

Mr Goi Ashmore (Chair of Council)

72

73

NOTES TO THE

FINANCIAL STATEMENTS

==> picture [541 x 161] intentionally omitted <==

----- Start of picture text -----
Year ended 31st July 2025
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
£000 £000 £000 £000
1. TUITION FEES AND EDUCATION CONTRACTS
Full-time home and EU students 118,192 118,192 112,721 112,721
Full-time international students 38,624 38,624 82,580 82,580
Part-time students 3,441 3,441 3,536 3,536
Educational contracts with the NHS and HEIW 16,328 16,328 14,389 14,389
Non-accredited course fees 53 53 80 80
176,638 176,638 213,306 213,306
----- End of picture text -----

To generate the full - time home and EU tuition fee the University has spent £3,727k (2024: £4,016k) in relation to bursaries in accordance with the fee plan.

CONSOLIDATED
2025
£000		 UNIVERSITY
2025
£000		 CONSOLIDATED
2024
£000		 UNIVERSITY
2024
£000
2. FUNDING BODY GRANTS
RECURRENT GRANTS 11,310
18,685
1,163
Medr Teaching grants 11,310 10,222 10,222
Medr Research grants 18,685 18,376 18,376
HERC Capital grant 1,163 3,371 3,371
SPECIFIC GRANTS RECEIVED IN YEAR
Student Wellbeing & Health		 31,158
887		 31,158
887
503
1,469
828
4,243		 31,969
1,204		 31,969
1,204
Research & Innovation 503 2,631 2,631
Welsh Language 1,469 1,516 1,516
Other 828 1,709 1,709
Capital 4,243 1,474 1,474
7,930 7,930 8,534 8,534
39,088 39,088 40,503 40,503

Income from capital grants relates to £1,871k in respect of buildings (2024: £3,296k) and £3,535k in respect of equipment (2024: £1,549k).

CONSOLIDATED
2025
£000		 UNIVERSITY
2025
£000		 CONSOLIDATED
2024
£000		 UNIVERSITY
2024
£000
3. RESEARCH GRANTS AND CONTRACTS
Research Councils 27,377 27,377
4,942
2,384
14,149
2,380		 25,656 25,656
UK-based charities 4,942 4,023 4,023
UK industry and commerce 2,384 3,022 3,022
Government (UK and overseas) 14,149 20,358 20,358
Other 2,380 3,793 3,793
51,232 51,232 56,852 56,852

During the year there were no receipts of capital grants included with research income (2024: £482k).

CONSOLIDATED
2025
£000		 UNIVERSITY
2025
£000		 CONSOLIDATED
2024
£000		 UNIVERSITY
2024
£000
4. OTHER INCOME
Residences, catering and conferences 22,974 22,974
2,650
9,466
15,836
8,203
1,846		 25,192 25,192
Other services rendered 2,650 2,095 2,095
Income from service concession agreements 9,466 9,466 9,466
Other income 16,276 16,377 15,962
NHS income in respect of the College of Medicine 8,203 7,632 7,632
Research Council full-time Doctoral/Collaborative Training Award 1,846 2,134 2,134

Included within other income is income from collaborations of £4,565k (2024: £5,559k), estates income of £1,609k (2024: £2,050k), and £1,207k sports centre income (2024: £1,096k).

==> picture [539 x 441] intentionally omitted <==

----- Start of picture text -----
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
£000 £000 £000 £000
5. INVESTMENT INCOME
Investment income on endowments 180 180 224 224
Other Investment Income 4,624 4,624 6,990 6,990
4,804 4,804 7,214 7,214
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
£000 £000 £000 £000
6. DONATIONS AND ENDOWMENTS
New endowments 8 8 85 85
Donations with restrictions 290 290 728 728
Unrestricted donations 170 170 111 111
468 468 924 924
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
£000 £000 £000 £000
7. STAFF COSTS
The staff costs for the financial year were:
Salaries 161,231 160,819 163,271 162,881
Social security costs 18,125 18,125 16,700 16,700
Other pension costs 20,135 20,135 21,237 21,237
TOTAL STAFF COSTS 199,491 199,079 201,208 200,818
CHANGE IN EXPECTED USS CONTRIBUTIONS - - (98,742) (98,742)
RESTRUCTURING COSTS 8,422 8,422 8,461 8,461
----- End of picture text -----

During the year 2024/25, the University continued its Voluntary Exit Scheme (VES) available to all staff, where enhanced compensation payments were made to employees wishing to leave the University voluntarily. The cost of £8,422k (2024: £8,461k) include all staff accepted on the VES scheme at 31st July 2025 and approved by the Registrar & Chief Operating Officer, Chief Financial Officer, Executive Deans, Director of HR and Head of Legal Services.

A further breakdown of pension costs has been included in Note 31, Pensions Schemes.

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

74

75

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

2025
£000		 2024
£000
TOTAL REMUNERATION OF THE VICE-CHANCELLOR
Basic salary 336
18
-
-		 335
Accommodation allowance 18
Employer pension contributions 9
Other taxable payments 14
354 376

Other taxable payments relates to legal costs.

The Remuneration Committee is responsible for overseeing and scrutinising the reward strategy of the University including reviewing and determining all aspects of the remuneration, benefits and conditions of employment of the Vice-Chancellor, the remuneration and other financial benefits of the other members of the Senior Leadership Team, and developing an overall reward strategy and policy to cover the remuneration, benefits and conditions of employment of the senior employees of the University on Grade 11 and those who report directly to members of the Senior Leadership Team.

The Remuneration Committee takes account of affordability and comparative information on the remuneration, benefits and conditions of employment in the University sector, and wider where appropriate. In determining the remuneration awarded, the Remuneration Committee considers the University’s approach taken to recognising performance and refers to sector benchmarking information provided from the UCEA Senior Salary Survey. The Remuneration Committee ensures that it complies with the requirements of the Committee of University Chairs (CUC) Higher Education Senior Staff Remuneration Code.

In light of the proposed cost savings to improve the financial sustainability of the University the Remuneration Committee approved a recommendation from the Senior Leadership Team that the Remuneration cycle for 2024 for Grade 10A colleagues, Grade 11 colleagues, Senior Leadership Team and the Vice Chancellor would not take place.

In previous years, however, the Committee has approved an approach for remuneration for members of the Senior Leadership Team (including the Vice-Chancellor), which took account of the following:

i. University Professorial Performance Curves;

ii. Detailed performance and remuneration recommendations.

Factors considered as part of previous performance reward proposals have included:

a) performance in support of the institution’s strategic objectives in areas such as Research; Teaching; Innovation and Engagement; Leadership and Management; Partnerships and external relations internationally, nationally and locally; and Major initiatives and projects;

Data to support these indicators was drawn from:

b) analysis of salary distributions.

Recognising the University’s vision as a principled, purposeful and resilient University that balances excellent teaching with world-leading research and innovation in an environment which enables our students and colleagues to excel, alongside being valued globally as a trusted partner who is deeply committed to our region and proud to be a University for Wales, it is essential that the University offers a competitive remuneration package for its Vice-Chancellor role. This also recognises the number of University staff and students, and the diverse and complex nature of the organisation.

The Remuneration Committee is responsible for reviewing and determining all aspects of the remuneration, benefits and conditions of employment of the Vice-Chancellor, taking account of the breadth of leadership and financial responsibilities, and delivery against the University’s strategic objectives. The Vice-Chancellor is not in attendance for, and does not play a part in, the discussions and decisions of his own remuneration.

In considering the Vice-Chancellor’s remuneration package, the Remuneration Committee considers the organisational context, alongside the ViceChancellor’s performance, general pay movement for all University staff, retention and any relevant market considerations, and is informed by internal benchmark data and salary benchmarking information with comparator universities.

Further information can be obtained from the Remuneration Statement 2025 https://www.swansea.ac.uk/about-us/university-governance/the-council/ council-committees/remuneration-committee/

The Vice-Chancellor is enrolled in the enhanced opt out arrangement within the Universities’ Superannuation Scheme (the USS).

The head of the provider’s basic salary is 8.6 times the median pay of staff (2024: 9.4 times), where the median pay is calculated on a full-time equivalent basis for the salaries paid by the University to its staff.

The head of the provider’s total remuneration is 8.9 times the median total remuneration of staff (2024: 9.9 times), where the median total remuneration is calculated on a full-time equivalent basis for the total remuneration by the University to its staff.

HIGHER PAID STAFF

The number of staff with a basic salary over £100k per annum has been included below.

Remuneration of higher paid staff (excluding the Vice Chancellor), excludes employer’s pension contributions but including payments made on behalf of the NHS in respect of its contractual obligations to University staff under separate NHS contracts of employment and which are reimbursed to the University by the NHS, was:

In 2025 there were 69 higher paid members of staff (2024: 65)

==> picture [543 x 654] intentionally omitted <==

----- Start of picture text -----
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
NUMBER NUMBER NUMBER NUMBER
£100,000 – £104,999 10 10 8 8
£105,000 – £109,999 10 10 9 9
£110,000 – £114,999 5 5 3 3
£115,000 – £119,999 7 7 10 10
£120,000 – £124,999 8 8 5 5
£125,000 – £129,999 5 5 4 4
£130,000 – £134,999 5 5 4 4
£135,000 – £139,999 2 2 5 5
£140,000 – £144,999 3 3 3 3
£145,000 – £149,999 1 1 1 1
£150,000 – £154,999 1 1 - -
£155,000 – £159,999 - - 2 2
£160,000 – £164,999 3 3 2 2
£165,000 – £169,999 - - 1 1
£170,000 – £174,999 - - 1 1
£175,000 – £179,999 3 3 2 2
£180,000 – £184,999 2 2 1 1
£185,000 – £189,999 - - - -
£190,000 – £194,999 - - 1 1
£195,000 – £199,999 - - - -
£200,000 – £204,999 1 1 - -
£205,000 – £209,999 - - 1 1
£210,000 – £214,999 1 1 - -
£215,000 – £219,999 - - - -
£220,000 – £224,999 - - - -
£225,000 – £229,999 - - 1 1
£230,000 – £234,999 1 1 1 1
£235,000 - £239,999 - - - -
£240,000 - £244,999 - - - -
£245,000 - £249,999 - - - -
£250,000 - £254,999 - - - -
£255,000 - £259,999 - - - -
£260,000 - £264,999 - - - -
£265,000 - £269,999 1 1 - -
2025 2024
COMPENSATION FOR LOSS OF OFFICE PAYABLE TO HIGHER PAID STAFF: £000 £000
Compensation and severence paid to University higher paid staff 330 172
Number of University higherpaid staff who received compensation or severence 4 1
----- End of picture text -----

The median calculations include salaries part funded by the NHS.

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

76

77

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

AVERAGE NUMBER OF STAFF (INCLUDING SENIOR POST HOLDERS) EMPLOYED BY THE UNIVERSITY

The average number of staff employed by the University during the year expressed as FTE (full-time equivalents):

Academic 2025
Number (FTE)
1,181
357
988
170
752		 2024
Number (FTE)
1,197
Research 398
Management and specialist 1,049
Technical 191
Other 826
3,448 3,661

KEY MANAGEMENT PERSONNEL

Key management personnel are those having authority and responsibility for planning, directing and controlling the activities of the institution. Key management consists of the senior executive officers including the Vice-Chancellor, Registrar & Chief Operating Officer, three Pro-Vice-Chancellors, three Exectuive Deans and the Chief Financial Officer.

2025 2024
£000 £000
Key Management Personnel 1,643 1,717

During the year the number of Key Management Personnel in post remained at 9 (2024: 9).

==> picture [540 x 344] intentionally omitted <==

----- Start of picture text -----
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
NOTE £000 £000 £000 £000
8. INTEREST AND OTHER FINANCE COSTS
Loan interest 2,998 2,977 2,820 2,803
Finance leases including service concession arrangements 2,787 2,787 2,881 2,881
Unwinding of USS discount factor - - 2,279 2,279
Net pension interest cost 31 900 900 800 800
6,685 6,664 8,780 8,763
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
£000 £000 £000 £000
9. ANALYSIS OF EXPENDITURE BY ACTIVITY
Academic departments 132,882 132,882 142,133 142,133
Academic services 34,427 34,427 38,097 38,097
Research grants and contracts 48,549 48,549 49,919 49,919
Residences, catering and conferences 27,956 27,956 28,369 28,369
Premises 43,291 43,290 48,674 48,674
Professional services 59,565 59,566 68,208 68,208
USS fund adjustments - - (99,641) (99,642)
Other 26,360 25,553 23,022 22,132
TOTAL EXPENDITURE 373,030 372,223 298,781 297,890
----- End of picture text -----

==> picture [540 x 69] intentionally omitted <==

----- Start of picture text -----
2025 2024
£000 £000
OTHER EXPENDITURE ABOVE INCLUDES:
Service concession arrangments 9,850 9,944
Restructuring costs 8,422 8,461
----- End of picture text -----

During the year the University incurred restructuring costs of £8,422k (2024: £8,461k) due to the continuation of the Voluntary Exit Scheme (VES) available to all staff, where enhanced compensation payments were made to employees wishing to leave the University voluntarily.

==> picture [540 x 471] intentionally omitted <==

----- Start of picture text -----
CONSOLIDATED CONSOLIDATED
2025 2024
£000 £000
OTHER OPERATING EXPENSES AS PER THE STATEMENT OF COMPREHENSIVE INCOME
Non-capitalised equipment 12,142 12,241
Consumables 4,620 5,127
Rent, Rates and leases 24,979 24,604
Repairs, refurbishment, maintenance and building costs 10,263 10,548
Heat, light, power and water 9,308 13,595
Scholarships, bursaries, prizes and fee contributions 15,273 20,702
Books, publications, periodicals & library services 3,997 3,962
Student Recruitment and advertising 6,084 12,438
Consultancy, Professional Services & agency 22,089 22,306
Travel and conference costs 5,907 6,815
Employee related expenditure 3,123 3,647
Subscriptions and contributions 4,661 3,242
Office expenses 941 1,271
Catering 1,308 1,520
Other expenses 2,427 5,270
127,122 147,288
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
£000 £000 £000 £000
EXTERNAL AUDITORS REMUNERATION
Audit of the University and its subsidiaries 195 156 170 137
Audit related assurance services 10 10 21 21
Taxation compliance services 17 - 14 -
Taxation advisory services 210 210 168 168
TOTAL NON-AUDIT SERVICES 237 220 203 189
----- End of picture text -----

During the year, the University engaged KPMG to undertake significant global mobility and transnational education taxation work.

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

78

79

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

Total
£000
700,674
19,732
32
(2,737)
(3,558)
714,143
38,155
675,988
714,143
219,311
31,176
(3,558)
246,929
467,214
481,363		 NON-CURRENT ASSETS – FIXED ASSETS – UNIVERSITY
Freehold land
and buildings
Service
concession
arrangements
Fixtures,
fittings and
equipment
Vessels
Assets in the
course of
construction
Heritage
assets
Total
£000
£000
£000
£000
£000
£000
£000
COST
At 1 August 2024
447,073
171,322
61,033
1,566
17,402
1,040
699,436
Additions
6,915
-
6,173
-
6,644
-
19,732
Transfers
690
2,156
(2,814)
32
Impairment
(2,737)
-
-
-
-
-
(2,737)
Disposals
-
-
(3,558)
(3,558)
At 31 July 2025
451,941
171,322
65,804
1,566
21,232
1,040
712,905
CONSISTING OF VALUATION AS AT:
31st July 2014
38,155
-
-
-
-
-
38,155
Cost
413,786
171,322
65,804
1,566
21,232
1,040
674,750
451,941
171,322
65,804
1,566
21,232
1,040
712,905
ACCUMULATED DEPRECIATION
At 1 August 2024
103,200
66,974
47,649
324
-
-
218,147
Charge for year
14,474
7,062
9,570
63
-
-
31,169
Disposals
-
-
(3,558)
-
-
-
(3,558)
At 31 July 2025
117,674
74,036
53,661
387
-
-
245,758
CARRYING AMOUNT
At 31 July 2025
334,267
97,286
12,143
1,179
21,232
1,040
467,147
At 1 August 2024
343,873
104,348
13,384
1,242
17,402
1,040
481,289
A full valuation of the University's land and property was carried out on 31st July 2014 by qualified chartered surveyors in accordance with the RICS
valuation - Professional Standards 2014 (the Red Book). Under FRS 102 paragraph 35.10, the University has elected to measure land and property at fair
value at the transition date of 31 July 2014 and use the fair value as the deemed cost on that date. The properties are being depreciated from the
valuation date. As the assets are depreciated or sold, an appropriate transfer is made from the revaluation reserve to the Income and expenditure
reserve. Analysis of the land and buildings valued at the date of transition to FRS 102 using the deemed cost exemption.
At 31st July 2025, freehold land and buildings included £21.3 million (2024: £16.5 million) in respect of freehold land which is not depreciated.
Following a review of tangible assets, several areas on both the Singleton and Bay campus were impaired to the value of £2,737k (2024: £0)
10. NON-CURRENT ASSETS – FIXED ASSETS – CONSOLIDATED FIXED ASSETS – UNIVERSITY
Freehold land
and buildings
£000
COST
At 1 August 2024
447,073
Additions
6,915
Transfers
690
Impairment
(2,737)
Disposals
-
At 31 July 2025
451,941
CONSISTING OF VALUATION AS AT:
31st July 2014
38,155
Cost
413,786
451,941
ACCUMULATED DEPRECIATION
At 1 August 2024
103,200
Charge for year
14,474
Disposals
-
At 31 July 2025
117,674
CARRYING AMOUNT
At 31 July 2025
334,267
At 1 August 2024
343,873		 Freehold land
and buildings
£000
447,073
6,915
690
(2,737)
-		 Service
concession
arrangements
£000
171,322
-
-
-
-		 Fixtures,
fittings and
equipment
£000
62,271
6,173
2,156
-
(3,558)		 Vessels
£000
1,566
-
-
-
-		 Assets in the
course of
construction
£000
17,402
6,644
(2,814)
-
-		 Heritage
assets
£000
1,040
-
-
-
-		 Freehold land
and buildings
£000
447,073
6,915
690
(2,737)
-		 Service
concession
arrangements
£000
171,322
-
-
-		 Fixtures,
fittings and
equipment
£000
61,033
6,173
2,156
-
(3,558)		 Vessels
£000
1,566
-
-		 Assets in the
course of
construction
£000
17,402
6,644
(2,814)
-		 Heritage
assets
£000
1,040
-
-		 Total
£000
699,436
19,732
32
(2,737)
(3,558)
451,941 171,322 67,042 1,566 21,232 1,040 451,941 171,322 65,804 1,566 21,232 1,040 712,905
-
171,322		 -
67,042		 -
1,566		 -
21,232		 -
1,040		 -
171,322		 -
65,804		 -
1,566		 -
21,232		 -
1,040		 38,155
674,750
451,941 171,322 67,042 1,566 21,232 1,040 451,941 171,322 65,804 1,566 21,232 1,040 712,905
66,974
7,062
-		 48,813
9,577
(3,558)		 324
63
-		 -
-
-		 -
-
-		 66,974
7,062
-		 47,649
9,570
(3,558)		 324
63
-		 -
-
-		 -
-
-		 218,147
31,169
(3,558)
117,674 74,036 54,832 387 - - 117,674 74,036 53,661 387 - - 245,758
334,267 97,286 12,210 1,179 21,232 1,040 334,267 97,286 12,143 1,179 21,232 1,040 467,147
343,873 104,348 13,458 1,242 17,402 1,040 343,873 104,348 13,384 1,242 17,402 1,040 481,289
0 NOTES TO THE FINANCIAL STATEMENTS –(Year ended 31 July 2025) NOTES TO THE FINANCIAL STATEMENTS_–(_Year ended 31 July 2025)
81

80

81

11. INTANGIBLE ASSETS

FUTURE COMMITMENTS

The following table analyses the University’s future commitments in relation to the service concession arrangements.

Consolidated and University

Consolidated and University
COST
As at 1 August 2024		 SOFTWARE
£000
364		 ASSETS UNDER
DEVELOPMENT
£000
281		 TOTAL
£000
645
Additions (37) - (37)
Transfers 93 (125) (32)
As at 31 July 2025 420 156 576
AMORTISATION
As at 1 August 2024		 201 - 201
Charge for the year 133 - 133
As at 31 July 2025 334 - 334
NET BOOK VALUE
As at 31 July 2025		 86 156 242
As at 31 July 2024 163 281 444
£’000
Liability repayments		 PAYABLE IN
1 YEAR
6,777		 PAYABLE IN
2-5 YEARS
14,482		 PAYABLE IN
>5 YEARS
88,287		 TOTAL
109,546
Finance charge 2,782 9,686 30,484 42,952
9,559 24,168 118,771 152,498

Prior to conversion of the Financial Statements to reflect FRS102, the University had entered into the following leases which were previously held off the Statement of Financial Position. These leases have now been brought onto the Statement of Financial Position as Service Concession Arrangements.The notes below give more information on these arrangements:

GWALIA RESIDENCES

Gwalia Phase 1 - A 30-year lease was entered into in 2004 to build three new blocks of accommodation with 272 units. The occupancy guarantee is 100%.

Gwalia Phase 2 - A 30-year lease was entered into in 2010 comprising of 351 units with the lower floors shelled for University activities. The occupancy guarantee is 100%.

BAY RESIDENCES – PHASE 1A

In September 2015, the University commenced a 45-year contract with a third-party provider for the provision and maintenance of phase 1a of the student accommodation on the Bay Campus, providing 899 rooms for 923 students. In February 2018, the third - party , with the University' s consent, entered into a transaction to transfer the contract to another third- party. Under the terms of the new agreement, the lease was extended to 2062.

The assets and liabilities relating to this scheme are recognised on the University's Statement of Financial Position.

12. NON-CURRENT ASSETS – HERITAGE ASSETS

Heritage assets included on the Statement of Financial Position refer largely to the University's Art Collection. There are also other heritage assets which due to their nature we are unable to value and therefore have not been included.

The Egypt Centre holds the Wellcome Collection which includes Egyptian antiques and artefacts. These assets are unique and not replaceable. The Egypt Centre is a recognised museum, accredited by the Arts Council and a recognised ACCES partner. It aims to collect, interpret and care for Egyptian archaeological material and documents and preservation is critical to their work. All policies in place are reviewed by the Arts Council. The Wellcome Collection is available to view by all University staff and students, local schools as well as the wider general public.

The picture and art collection is recognised on the Statement of Financial Position under Heritage Assets was valued in 2008 by an independent valuer and has been taken as deemed cost on transition. The majority of this art collection can be viewed around the University.

The University also holds a silver collection which includes but is not limited to competition cups, bowls and vases dating between the 1950s and 1980s. No price can be attributed to this collection, hence they are not held on the Statement of Financial Position. The collection is stored securely but can be available for inspection upon request.

The University also holds Dylan Thomas manuscripts which were purchased out of University funds.

13. SERVICE CONCESSION ARRANGEMENTS

The University has a 50% annual occupancy guarantee amounting to committed annual payments of £1,485K recorded within Other Comprehensive Income.

The University has the exclusive right over all accommodation units to nominate occupation by students until the 30th March preceding the September term. The University, furthermore, has the right to nominate occupation units of accommodation over the summer period (subject to prior discussions with the third party). At the end of the contract, the University has the option to acquire the residences for a nominal £1.00 option fee.

BAY RESIDENCES – PHASE 1B

In January 2016, the University commenced a 45-year contract with a third-party provider for the provision and maintenance of phase 1b of the student accommodation on the Bay Campus, providing 545 single rooms. In February 2018, the contract was transferred to another third party and the lease was extended to 2062.

The assets and liabilities relating to this scheme are recognised on the University's Statement of Financial Position.

The University has a 50% annual occupancy guarantee amounting to committed annual payments of £823K recorded within Other Comprehensive Income.

The University has the exclusive right over all accommodation units to nominate occupation by students until the 30th March preceding the September term. The University, furthermore, has the right to nominate occupation units of accommodation over the summer period (subject to prior discussions with the third party). At the end of the contract, the University has the option to acquire the residences for a nominal £1.00 option fee.

BAY RESIDENCES – PHASE 1C

On 15th December 2015, the University entered into a 45-year contract with a third-party provider for the provision and maintenance of phase 1c of the student accommodation on the Bay Campus, providing 538 single rooms.

The assets and liabilities relating to this scheme are recognised on the University's Statement of Financial Position.

The University has six Service Concession Arrangements in the Statement of Financial Position.

MOVEMENT IN SERVICE CONCESSION ARRANGEMENT ASSETS

The asset value of the service concession included in the Statement of Financial Position as at 31 July 2025 is £97,286k (1 August 2024 £104,348k).

The reduction of £7,062k is as a result of depreciation charged in the year.

MOVEMENT IN SERVICE CONCESSION ARRANGEMENT LIABILITIES

The total liabilities relating to service concession arrangements included in the Statement of Financial Position as at 31 July 2025 were £109,546k (1 August 2024 £116,225k). Liabilities decreased by a total of £6,679k during the year, being the value of the annual write off of the lease.

The University has a 50% annual occupancy guarantee amounting to committed annual payments of £1,056K recorded within Other Comprehensive Income.

The University has the exclusive right over all accommodation units to nominate occupation by students until the 30th March preceding the September term. The University further has the right to nominate occupation units of accommodation over the summer period (subject to prior discussions with the third party). At the end of 45-year contract, the University has the option to acquire the residences for a nominal £1.00 option fee.

THE COLLEGE ACADEMIC BUILDING

On 8th September 2017, the University entered into a 20 year contract with a third-party provider for the provision and maintenance of an Academic Building.

The University has guaranteed 35% of the building amounting to committed gross annual payments of £357K.

The University has exclusive rights over the allocated 35% of the building and controls the use within this area.

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

82

83

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

CONSOLIDATED
2025
£000		 UNIVERSITY
2025
£000		 CONSOLIDATED
2024
£000		 UNIVERSITY
2024
£000
14. NON-CURRENT INVESTMENTS
Investment in associates
Investment in subsidiaries
Other investments		 - - 154 -
- - - 700
165 - 555 -
165 - 709 700

INVESTMENT IN ASSOCIATE

The Institution holds the following 50% investments in both Swan Global Education LLP (2024: 50%) and Wales National Pool Swansea (2024: 50%). The investments are accounted for at cost less impairment in the Institution financial statements and using the equity method in the consolidated financial statements.

At 1 August 2024
Share (profit) / loss retained by associate
AT 31 JULY 2025
INVESTMENT IN SUBSIDIARY
At 1 August 2024
Additions
Impairment
AT 31 JULY 2025		 CONSOLIDATED
2025
£000
154		 UNIVERSITY
2025
£000
-		 CONSOLIDATED
2024
£000
125		 UNIVERSITY
2024
£000
-
(154) - 29 -
- - 154 -
CONSOLIDATED
2025
£000
-		 UNIVERSITY
2025
£000
700		 CONSOLIDATED
2024
£000
-		 UNIVERSITY
2024
£000
700
- 815 - 186
- (1,515) - (186)
- - - 700

The £815k investment relates to the 100% owned subsidiaries Swansea Materials Research & Testing Ltd (£800k) and SU Pathway College Ltd (£15k). The impairment of £1,515k relates to the wholly owened subsidiaries Swansea Materials Research & Testing Ltd (£800k), SU Pathway College Ltd (£15k), and Swansea Innovations Ltd (£700k)

OTHER INVESTMENTS

OTHER INVESTMENTS
At 1 August 2024 CONSOLIDATED
2025
£000
555		 UNIVERSITY
2025
£000
-		 CONSOLIDATED
2024
£000
594		 UNIVERSITY
2024
£000
-
Impairment/Reversals (149) - (44) -
Revaluations (241) - 5 -
AT 31 JULY 2025 165 - 555 -
Other investments consist of:
At fair value:
Market securities		 32 -
-		 102 -
At cost less impairment:
Group investments in spin outs 133 453 -
165 - 555 -

==> picture [539 x 451] intentionally omitted <==

----- Start of picture text -----
COMPANY REGISTERED OFFICE PRINCIPAL ACTIVITY HOLDING STATUS
Gower Innovations Ltd Swansea University, SA1 8EN Dormant Ordinary shares 20%
Manufacture of medical and dental
3D-BGS (UK) Ltd Swansea University, SA2 8PP Ordinary shares 20%
instruments and supplies
Other research and experimental
ProGnomics Ltd Azets, SA7 9FS development on natural sciences and Ordinary shares 20%
engineering
Bay Campus Developments LLP Swansea University, SA2 8PP Dormant Partner 50%
Wales National Pool SA2
WNPS Operation of sports facilities Guarantee 50%
8QG
The Lambourn Wyndyke
Swan Global Education Furlong Abingdon Educational Partner 50%
Oxfordshire OX14 1UJ
Other research and experimental
Swansea Materials Research
Swansea University, SA2 8PP development on natural sciences and Ordinary shares 100%
and Testing
engineering
Management consultancy activities other
Swansea Innovations Swansea University, SA2 8PP Ordinary shares 100%
than financial management
SU Developments Swansea University, SA2 8PP Dormant Ordinary shares 100%
SU Pathway College Ltd Swansea University, SA2 8PP Combined facilities support activities Ordinary shares 100%
----- End of picture text -----

Investments in subsidiary companies are measured at transaction price (including transaction costs) and considered annually for impairment.

Details of investments in which the consolidated group and University hold 20% or more of the nominal value of any class of shares are as follows:

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

84

85

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

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----- Start of picture text -----
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY ACCRUALS AND DEFERRED INCOME
2025 2025 2024 2024
Included with accruals and deferred income are the following items which have been deferred:
£000 £000 £000 £000
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
15. STOCK
2025 2025 2024 2024
General consumables 37 - 32 - £000 £000 £000 £000
Work in progress 28 - 61 - Research grants received in advance 22,725 22,725 23,743 23,743
65 - 93 - Funding Council grants received in advance 725 725 1,578 1,578
Capital grants received in advance 1,064 1,064 - -
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
Other accruals and deferred income 43,156 43,001 49,927 49,676
2025 2025 2024 2024
£000 £000 £000 £000 67,670 67,515 75,248 74,997
16. CURRENT INVESTMENTS
Short-term investments in shares - - 1,925 1,925
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
Short-term bonds - - 3,183 3,183 2025 2025 2024 2024
Other short-term investments - - 203 203 £000 £000 £000 £000
Short-term deposits - - 53 53 19. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
- - 5,364 5,364
Service concession arrangements 102,769 102,769 109,546 109,546
Income in advance 1,591 1,591 1,635 1,635
In August 2024 the endowment funds held as an investment portfolio with Barclays were liquidated, with the liquidation of all investments completing in
October 2024. On 31st July 2025 the endowment funds are held as cash in a ring-fenced deposit account with Lloyds, pending future investment in an Unsecured loans 100,179 100,179 92,023 92,023
ethical fund. Following the conversion of the endowment portfolio from investment to cash, current investments reduced to nil with a corresponding CREDITORS DUE AFTER MORE THAN ONE YEAR 204,539 204,539 203,204 203,204
increase in cash.
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
CONSOLIDATED UNIVERSITY CONSOLIDATE UNIVERSITY £000 £000 £000 £000
2025 2025 2024 2024 20. ANALYSIS OF UNSECURED LOANS
£000 £000 £000 £000
Due within one year or on demand 6,454 6,454 6,340 6,340
17. TRADE AND OTHER RECEIVABLES
Due within one and two years 6,893 6,893 6,454 6,454
Amounts falling due within one year:
Due within two and five years 22,418 22,418 20,089 20,089
Net trade debtors 8,816 8,758 8,829 8,727
Due in five years or more 70,868 70,868 65,480 65,480
Research grant claims receivable 1,455 1,455 3,239 3,239
TOTAL UNSECURED LOANS REPAYABLE BY 2048 106,633 106,633 98,363 98,363
Accrued income – Research grants 11,795 11,795 12,534 12,534
Prepayments and accrued income 11,792 11,749 16,850 16,911 Included in the loans are the following:
Amounts due from group undertakings - 22 - 10 AMOUNT INTEREST
LENDER £000 RATE TERM BORROWER
33,858 33,779 41,452 41,421
European Investment Bank 6,667 Fixed 2.876% June 2033 University
Within research grant claims receivable there are no retention values (2024: £211k)
European Investment Bank 7,500 Fixed 2.723% January 2034 University
European Investment Bank 6,353 Fixed 4.143% August 2034 University
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY European Investment Bank 6,377 Fixed 4.264% January 2035 University
2025 2025 2024 2024 European Investment Bank 6,924 Fixed 4.432% August 2035 University
£000 £000 £000 £000
European Investment Bank 51,810 Fixed 2.938% April 2044 University
18. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Sure Loan 4,426 Fixed 0.550% March 2031 University
Bank overdraft 90 - 398 -
Salix 1,967 Fixed 0% April 2031 University
Unsecured loans 6,454 6,454 6,340 6,340
Digarbon 11,477 Fixed 2.050% February 2048 University
Service concession arrangements 6,777 6,777 6,679 6,679
Salix 2 3,132 Fixed 2.050% February 2035 University
Trade payables 3,317 3,317 7,166 7,166
TOTAL 106,633
Social security and other taxation payable 5,073 5,064 4,790 4,783
Accruals and deferred income 67,670 67,515 75,248 74,997
In August 2024, the European Investment Bank granted a waiver in respect of two loan covenants for the years ending 31 July 2024 and 31 July 2025, whilst
Amounts due to group undertakings - - - 159 introducing a temporary covenant based on minimum cash. All applicable covenants are met in the current year.
89,381 89,127 100,621 100,124
NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025) NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025) 87
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86

SUPS PENSION
SCHEME
PROVISION
£000		 TOTAL PENSION
PROVISIONS
£000
21. PROVISIONS FOR LIABILITIES
CONSOLIDATED AND UNIVERSITY
AT 1 AUGUST 2024		 19,000
(1,200)
(5,400)		 19,000
Utilised in year (1,200)
(Reductions) (5,400)
AT 31 JULY 2025 12,400 12,400

No USS deficit recovery plan was required under the 2023 valuation becuase the scheme was in surplus on a technical provision basis. The institution was no longer required to make deficit recovery contributions from 1 January 2024 and accordingly released the outstanding provision to the profit and loss account.

See note 31 for further information on the SUPS and USS pension scheme.

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----- Start of picture text -----
RESTRICTED UNRESTRICTED
PERMANENT PERMANENT EXPENDABLE
ENDOWMENTS ENDOWMENTS ENDOWMENTS 2025 TOTAL 2024 TOTAL
£000 £000 £000 £000 £000
22. ENDOWMENT FUNDS
Restricted net assets relating to endowments are as follows:
BALANCES
AT 1 AUGUST 2024
Capital 4,411 1,791 691 6,893 6,385
Accumulated income 949 62 68 1,079 923
5,360 1,853 759 7,972 7,308
New donations and endowments 8 - - 8 85
Investment income 127 - 27 154 187
-
Expenditure (12) (11) (23) (31)
Increase in market value of investments 15 9 24 423
AT 31 JULY 2025 5,498 1,862 775 8,135 7,972
Represented by:
Capital 4,434 1,800 691 6,925 6,893
Accumulated income 1,064 62 84 1,210 1,079
5,498 1,862 775 8,135 7,972
ANALYSIS BY TYPE OF PURPOSE
Lectureships 25 24
Scholarships and bursaries 3,543 3,453
Research support 345 331
Prize funds 977 951
General 3,245 3,213
8,135 7,972
ANALYSIS BY ASSET
Current asset investments - 5,364
Bank Balance – University 8,135 2,608
8,135 7,972
----- End of picture text -----

The University holds over 175 endowments, comprising of permanent and expendable funds. Each endowment has its own specific restriction with spend being controlled by the allocated Budget Managers. The University has one significant endowment worth over £1.0m, being the general endowment fund. This is a permanent endowment holding £1.3m of endowered funds, currently valued at £2.1m within the portfolio. Being a general endowment, any income earned is released back to the University for non-specific purposes. All other endowments are not significant but have specific purposes attached to them.

During the year the permanent endowment investment fund was liquidated on ethical grounds. At year-end the permanent endowments are held in a ring-fenced deposit account, awaiting appropriate investment.

==> picture [540 x 394] intentionally omitted <==

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DONATIONS 2025 TOTAL 2024 TOTAL
£000 £000 £000
23. RESTRICTED RESERVES
Reserves with restrictions are as follows:
CONSOLIDATED AND INSTITUTION
BALANCES
AT 1 AUGUST 2024 835 835 187
New restricted donations 290 290 728
Expenditure (576) (576) (80)
AT 31 JULY 2025 549 549 835
ANALYSIS OF OTHER RESTRICTED FUNDS / DONATIONS BY TYPE OF PURPOSE:
Scholarships 250 202
Hardship 142 90
Campus and sports facilities 3 2
Prize funds 14 -
General 140 541
549 835
AT 1 AUGUST AT 31 JULY
2024 CASH FLOWS 2025
£000 £000 £000
24. CASH AND CASH EQUIVALENTS
CONSOLIDATED
Cash and Cash equivalents 121,154 (23,464) 97,690
Bank overdraft (398) 308 (90)
120,756 (23,156) 97,600
----- End of picture text -----

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

88

89

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY 2025 2025 2024 2024 £000 £000 £000 £000

==> picture [542 x 721] intentionally omitted <==

----- Start of picture text -----
2025
£000
25. CONSOLIDATED RECONCILIATION OF NET DEBT
NET DEBT 1 AUGUST 2024 93,832
Movement in cash and cash equivalents (23,464)
Other non-cash changes 48,211
NET DEBT 31 JULY 2025 118,579
CHANGE IN NET DEBT 24,747
2025 2024
ANALYSIS OF NET DEBT: £000 £000
CASH AND CASH EQUIVALENTS 97,690 121,154
BORROWINGS: AMOUNTS FALLING DUE WITHIN ONE YEAR
Unsecured loans 6,454 6,340
Bank overdraft 90 398
Service concession arrangements 6,777 6,679
13,321 13,417
BORROWINGS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
Service concession liabilities due after one year 102,769 109,546
Unsecured loans 100,179 92,023
202,948 201,569
NET DEBT 118,579 93,832
CONSOLIDATED UNIVERSITY CONSOLIDATED UNIVERSITY
2025 2025 2024 2024
NOTE £000 £000 £000 £000
26. FINANCIAL INSTRUMENTS
FINANCIAL ASSETS
Financial assets at fair value through Statement of Comprehensive Income 32 - 102 -
Financial assets that are equity instruments measured at cost less impairment
Other investments 133 - 453 -
14 165 - 555 -
Financial assets that are debt instruments measured at amortised cost
Cash and cash equivalents 97,600 97,259 120,756 120,580
Other investments 16 - - 5,364 5,364
Trade receivables 17 12,947 12,889 13,616 13,514
Other receivables 17 1,455 1,455 3,239 3,239
112,002 111,603 142,975 142,697
FINANCIAL LIABILITIES
Financial liabilities measured at amortised cost
Bank overdrafts 18 90 - 398 -
Loans 20 106,633 106,633 98,363 98,363
Service concessions 17/18 109,546 109,546 116,225 116,225
Trade Creditors 18 3,317 3,317 7,166 7,166
219,586 219,496 222,152 221,754
----- End of picture text -----

27. CAPITAL AND OTHER COMMITMENTS

A provision has not been made for the following capital commitments at 31 July 2025:
Capital commitments
1,082
1,082
4,144
4,144
1,082
1,082
4,144
4,144

The decrease in capital commitments follows the successful implementation of the financial sustainability programme.

Commitments relating to the Digital Foundations project decreased to £800k (2024: £2,704k) as the project concludes, whilst building project commitments are minimised to essential spend or externally funded projects in the year reducing commitments to just £282k (2024: £1,440k).

28. CONTINGENT LIABILITIES CONSOLIDATED
2025
£000		 UNIVERSITY
2025
£000		 CONSOLIDATED
2024
£000		 UNIVERSITY
2024
£000
Guarantees
To Lloyds for SMaRT Ltd - 500 - 500
- 500 - 500

The University is acting as guarantor for Swansea Materials Research and Testing Limited in relation to the £500K overdraft facility only. The University believe there is only a limited possibility of the guarantee being paid as Swansea Materials Research & Testing Limited is a wholly-owned subsidiary controlled by senior University staff members. The extent of the guarantee being required will depend on the current overdraft in the subsidiary. If paid, there is unlikely to be any reimbursement for this contingent liability.

The University is a member of UMAL, a company limited by guarantee, formed to provide a mutual association for covers. Under the terms of its membership, each member acts as insurer and insured. If the association as a whole suffers a shortfall in any underwriting year, the members are liable for their pro-rated share. The potential for a shortfall and the value of a shortfall in any given year is unknown. There is not likely to be any possibility of reimbursement if this guarantee is called upon.

The Institution gives written undertakings annually to support the subsidiary companies for a period of twelve months from the date of approval of their financial statements.

2025
LAND AND
BUILDINGS
£000		 2024
LAND AND
BUILDINGS
£000
29. LEASE OBLIGATIONS
Total rentals payable under operating leases:
PAYABLE DURING THE YEAR		 1,011
938
2,319
4,020		 974
Future minimum lease payments due:
Not later than 1 year		 984
Later than 1 year and not later than 5 years 2,588
Later than 5 years 4,095
TOTAL LEASE PAYMENTS DUE 7,277 7,667

During the year, the University was tenant on four significant leases. The signficant leases include The College, a University joint venture company, Bay Studios Car Park, a unit within Baglan Engery Park and space within Parc Dewi Sant in Carmarthenshire. The lease with The College, which is within a building on the Bay Campus, runs until 2038 with Parc Dewi Sant running until 2032. The leases on the Bay Studios Car Park & Baglan Energy Park are due to expire in 2026 and 2027 respectively.

No new leases were negotiated during the year with several minor leases terminating before July 2025.

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

90

91

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

Total rentals receivable under operating leases:

The University leases out small areas of space on both Singleton and Bay Campus. Leases include a dental surgery, a doctors surgery, retail units for the Students Union, laboratory space to Swansea Materials Research and Testing Ltd, a wholly owned subsidiary company, and lab space for Natural Resources Wales. The University also leases out small areas and offices to companies working alongside the University. The terms and break periods differ for each lease with leases for small spaces frequently being renewed. The University does not hold any investment properties as part of its portfolio as rental areas are minor areas within larger buildings.

CONSOLIDATED AND INSTITUTION
Future minimum lease payments due:
Not later than 1 year		 2025
Land and
Buildings
£000
441
906
890		 2024
Land and
Buildings
£000
362
Later than 1 year and not later than 5 years 943
Later than 5 years 995
TOTAL LEASE PAYMENTS DUE 2,237 2,300

There were no contingent rents receivable during 2024/25 (2023/24: £0).

(I) THE UNIVERSITIES’ SUPERANNUATION SCHEME

The University participates in Universities Superannuation Scheme (USS) which is the main scheme covering most academic and academic-related staff. The Scheme is a hybrid pension scheme, providing defined benefits (for all members), as well as defined contribution benefits. The assets of the scheme are held in a separate trustee-administered fund.

USS is a multi-employer scheme and is accounted for as set out in the accounting policies.

The total cost charged to the Consolidated Statement of Comprehensive Income is £17,715k (2024: £21,503k) including PensionChoice, but excluding the impact of the change in the deficit recovery plan, as shown in note 7.

The latest available complete actuarial valuation of the Retirement Income Builder section of the Scheme is at 31 March 2023 ("the valuation date"), which was carried out using the projected unit method.

Since the institution cannot identify its share of USS Retirement Income Builder (defined benefit) assets and liabilities, the following disclosures reflect those relevant for those assets and liabilities as a whole.

The 2023 valuation was the seventh valuation for the scheme under the scheme-specific funding regime introduced by the Pensions Act 2004, which requires schemes to have sufficient and appropriate assets to cover their technical provisions. At the valuation date, the value of the assets of the scheme was £73.1 billion and the value of the scheme’s technical provisions was £65.7 billion indicating a surplus of £7.4 billion and a funding ratio of 111%.

Surpluses or deficits which arise at future valuations may impact on the University’s future contribution commitments. A deficit may require additional funding in the form of higher contribution requirements, whereas a surplus could, perhaps, be used to similarly reduce contribution requirements

30. EVENTS AFTER THE REPORTING PERIOD

On 22nd September, SU Developments Limited, a wholly owned dormant subsidiary of the University terminated their appointment as a member of Bay Campus Development LLP (also a dormant company).

31. PENSION SCHEMES

Different categories of staff were eligible to join one of the following schemes: Universities’ Superannuation Scheme (USS) Swansea University Pension Scheme (SUPS) – Closed to new members 31 December 2011 National Employment Savings Trust (NEST) – from 1st January 2012

The University also contributes to the NHS Pension Scheme for a number of its employees.

USS and SUPS are both defined-benefits schemes. The assets of both schemes held in separate trustee-administered funds. NEST is a defined-contribution scheme.

STATEMENT OF COMPREHENSIVE INCOME – NET PENSION
COST
USS
Change in expected USS contributions
SUPS
Other		 STATEMENT OF COMPREHENSIVE INCOME – NET PENSION
COST
USS
Change in expected USS contributions
SUPS
Other		 CONSOLIDATED
2025
£000
17,715		 UNIVERSITY
2025
£000
17,715		 CONSOLIDATED
2024
£000
20,603		 UNIVERSITY
2024
£000
20,603
- - (98,742) (98,742)
526 526 752 752
1,555 1,555 1,485 1,485
19,796 19,796 (75,902) (75,902)

The key financial assumptions used in the 2023 valuation are described below. More detail is set out in the Statement of Funding Principles. (uss.co.uk/ about-us/valuation-and-funding/statement-of-funding-principles).x0002

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----- Start of picture text -----
Term dependent rates in line with the difference between the Fixed Interest and Index Linked
CPI assumption yield curves less:
1.0% p.a. to 2030, reducing linearly by 0.1% p.a. from 2030
Benefits with no cap: CPI assumption plus 3bps
Pension increases
Benefits subject to a “soft cap” of 5% (providing inflationary increases up to 5% and half
(subject to a floor of 0%)
of any excess inflation over 5% up to a maximum od 10%): CPI assumption minus 3bps
Discount rate (forward rates) Fixed interest gilt yield curve plus:
Pre-retirement: 2.5% p.a.
Post retirement: 0.9% p.a.
The main demographic assumption used relates to the mortality assumptions. These assumptions are based on analysis of the scheme’s
experience carried out as part of the 2023 actuarial valuation. The mortality assumptions used in these figures are as follows:
2023 Valuation
Mortality base table 101% of S2PMA “light” for males and 95% of S3PFA for females.
Future improvements to mortality CMI_2021 with a smoothing parameter of 7.5, an initial addition of 0.4% pa,
10% w2020 and w2021 paramenters, and a long term improvement rate of
1.8% pa for males and 1.6% pa for females.
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OTHER COMPREHENSIVE INCOME – ACTUARIAL GAIN IN RESPECT OF PENSION SCHEMES

SUPS 5,400 5,400 (3,400) (3,400)
5,400 5,400 (3,400) (3,400)
STATEMENT OF FINANCIAL POSITION – PENSION SCHEME LIABILITY (NOTE 21)
SUPS 12,400 12,400 19,000 19,000
12,400 12,400 19,000 19,000

On 25 July 2024, the Court of Appeal dismissed the appeal in the case of Virgin Media Limited v NTL Pension Trustees II Limited and others. The appeal was brought by Virgin Media Ltd against aspects of the High Court’s ruling handed down in June 2023 relating to the validity of certain historical pension changes due to the lack of actuarial confirmation required by law. The Court of Appeal upheld the High Court’s ruling. The ruling may have implications for other UK defined benefit plans, however the impact is still currently being assessed and there is no further information available at this stage.

The current life expectancies on retirement at age 65 are:

The current life expectancies on retirement at age 65 are:
Males currentlyaged 65 (years) 2025
23.8		 2024
23.7
Females currentlyaged 65 (years) 25.5 25.4
Males currentlyaged 45 (years) 25.7 25.6
Females currentlyaged 45 (years) 27.2 27.2

A deficit recovery plan was put in place as part of the 2020 valuation, which required payment of 6.2% of salaries over the period 1 April 2022 until 31 March 2024 at which point the rate would increase to 6.3%. No deficit recovery plan was required under the 2023 valuation becuase the scheme was in surplus on a technical provision basis. The institution was no longer required to make deficit recovery contributions from 1 January 2024 and accordingly released the outstanding provision to the profit and loss account in the prior year.

93

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

92

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

(II) NHS PENSION SCHEME

The Institution also participates in the NHSPS which is contracted out of the State Second Pension (S2P). The notional assets of NHSPS are assessed by the Government Actuary and the benefits are underwritten by the Government.

The NHS Pension Scheme is a defined benefit public service pension scheme, which operates on a pay-as-you-go basis. A new reformed scheme was introduced on 1 April 2015 that calculates pension benefits based on career average earnings. Transitional arrangements permit individuals who on 1 April 2012 were within ten years of normal pension age to continue participating in the old ‘final salary’ NHS Pension Scheme arrangements (the 1995 and 2008 sections).

An HM Treasury pension scheme valuation for funding purposes was carried out as at March 2012. The Scheme Regulations have been changed to allow contribution rates to be set by the Secretary of State for Health, with the consent of HM Treasury, and consideration of the advice of the Scheme Actuary and appropriate employee and employer representatives as deemed appropriate. The contribution rate payable by the Institutions during the year ended 31 July 2018 salaries, was equal to 14.3% of the total pensionable in accordance with the conclusion of the Government Actuary’s report on the scheme.

(III) SWANSEA UNIVERSITY PENSION SCHEME

(RETIREMENT BENEFITS) DISCLOSURE FOR THE ACCOUNTING PERIOD ENDING 31 JULY 2025

The University operates a final-salary defined-benefit pension scheme that non-academic employees of the University can participate in, called the Swansea University Pension Scheme (SUPS). The scheme is externally funded and is contracted out of the State Second Pension (S2P) of pension provision.

The last formal triennial actuarial valuation of the scheme was performed as at 1 August 2022 by a professionally-qualified actuary. The following are based on the results of the 1 August 2022 triennial valution projected forward with allowance for benefit accrual, expected investment return and actual cashflows and have been adjusted for FRS102 assumptions detailed below.

During the accounting period, the University paid contributions to the pension scheme at the rate of 10.08% of pensionable salaries in respect of the future accrual of benefits. The University also paid an additional £2.51m to the scheme during the year to 31 July 2025 in respect of deficit reduction contributions. A further £0.7m was paid by the University in respect of death in service premiums and expenses.

ASSUMPTIONS

The financial assumptions used to calculate scheme liabilities under FRS102 are:
Price Inflation (RPI)
Price Inflation (CPI)
Rate of increase in salaries
Rate of increase of pensions in payment for SUPS members
Increases to deferred pensions before retirement
Discount rate		 The financial assumptions used to calculate scheme liabilities under FRS102 are:
Price Inflation (RPI)
Price Inflation (CPI)
Rate of increase in salaries
Rate of increase of pensions in payment for SUPS members
Increases to deferred pensions before retirement
Discount rate		 The financial assumptions used to calculate scheme liabilities under FRS102 are:
Price Inflation (RPI)
Price Inflation (CPI)
Rate of increase in salaries
Rate of increase of pensions in payment for SUPS members
Increases to deferred pensions before retirement
Discount rate		 AT 31 JULY
2025
3.2%		 AT 1 AUGUST
2024
3.3%
Price Inflation (CPI) 2.8% 2.9%
Rate of increase in salaries 3.1% 3.2%
Rate of increase of pensions in payment for SUPS members 3.2% 3.3%
Increases to deferred pensions before retirement 2.8% 2.9%
Discount rate 5.4% 4.8%

The most significant non-financial assumption is the assumed level of longevity. The table below shows the life expectancy assumptions used in the accounting assessments based on the life expectancy of male and female members at age 65 and non pensioners who are currently aged 45.

Pensioner – male AT 31 JULY
2025
19.9		 AT 1 AUGUST
2024
19.6
Pensioner – female 22.1 22.0
Non-pensioner (curently aged 45) – male 20.8 20.5
Non-pensioner (curently aged 45) – female 23.2 23.1

Scheme assets and expected rate of return for SUPS

The expected return on assets has been derived as the weighted average of the expected returns from each of the main asset classes (i.e. equities and bonds). The expected return for each asset class reflects a combination of historical performance analysis, the forward-looking views of the financial markets (as suggested by the yields available) and the views of investment organisations.

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FAIR VALUE AS AT 31 JULY
2025 2024 2023
ASSETS IN THE SCHEME
£M £M £M
Equities 18.5 41.0 37.4
Liability Driven Investment 54.0 25.1 21.1
Hedge funds 16.2 10.5 9.7
Cash/Liquidity 1.8 11.8 5.9
Other 8.7 13.7 22.4
Total 99.2 102.1 96.5
The tables below include the disclosures for the Swansea University Pension Scheme.
YEAR ENDED YEAR ENDED
31 JULY 2025 31 JULY 2024
£000 £000
ANALYSIS OF THE AMOUNT SHOWN IN THE BALANCE SHEET FOR SUPS
Scheme assets 99,200 102,100
Scheme liabilities (111,600) (121,100)
DEFICIT IN THE SCHEME – NET PENSION LIABILITY
RECORDED WITHIN OTHER COMPREHENSIVE INCOME (12,400) (19,000)
Current service cost (1,000) (1,000)
TOTAL OPERATING CHARGE (1,000) (1,000)
YEAR ENDED YEAR ENDED
31 JULY 2025 31 JULY 2024
£000 £000
ANALYSIS OF THE AMOUNT CHARGED TO INTEREST PAYABLE/CREDITED TO OTHER FINANCE INCOME FOR SUPS
Interest cost (5,700) (5,700)
Expected return on assets 4,800 4,900
NET CHARGE TO OTHER FINANCE INCOME (900) (800)
YEAR ENDED YEAR ENDED
31 JULY 2025 31 JULY 2024
£000 £000
ANALYSIS OF OTHER COMPREHENSIVE INCOME FOR SUPS
(Loss) / Gain on assets (4,300) 3,500
Gain / (Loss) on liabilities 9,700 (6,900)
TOTAL OTHER COMPREHENSIVE INCOME BEFORE DEDUCTION
FOR TAX 5,400 (3,400)
YEAR TO
31 JULY 2025 31 JULY 2024 31 JULY 2023 31 JULY 2022
HISTORY OF EXPERIENCE GAINS AND LOSSES – SUPS
DIFFERENCE BETWEEN ACTUAL AND EXPECTED RETURN ON SCHEME ASSETS:
Amount (£000) (4,300) 3,500 (13,900) (14,400)
% of assets at end of year -4.3% 3.4% -14.4% -13.3%
EXPERIENCE LOSSES/(GAINS) ON SCHEME LIABILITIES:
Amount (£000) (9,700) 6,900 (32,500) (38,100)
% of liabilities at end of year 8.7% 5.7% -28.6% -26.3%
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NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

94

95

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

31 JULY 2025 31 JULY 2024 £000 £000

32. RELATED PARTY TRANSACTIONS

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CUMULATIVE ACTUARIAL LOSS RECOGNISED AS OTHER COMPREHENSIVE INCOME FOR
SUPS
Cumulative actuarial losses recognised at the start of the year 1,500 4,900
Cumulative actuarial losses recognised at the end of the year 6,900 1,500
ANALYSIS OF MOVEMENT IN (DEFICIT) FOR SUPS
DEFICIT AT BEGINNING OF YEAR (19,000) (17,200)
Contributions or benefits paid by the University 4,100 4,200
Admin costs (1,000) (800)
Other finance charge (900) (800)
Gain / (Loss) recognised in other comprehensive income 5,400 (3,400)
DEFICIT AT END OF YEAR (12,400) (19,000)
ANALYSIS OF MOVEMENT IN THE PRESENT VALUE OF SUPS
PRESENT VALUE OF SUPS AT THE START OF THE YEAR 121,100 113,700
Current service cost (net of member contributions) 1,000 1,000
Interest cost 5,700 5,700
Actuarial (gain)/loss (9,700) 6,900
Actual benefit payments (6,500) (6,200)
PRESENT VALUE OF SUPS LIABILITIES AT THE END OF THE YEAR 111,600 121,100
ANALYSIS OF MOVEMENT IN THE FAIR VALUE OF SCHEME ASSETS
FAIR VALUE OF ASSETS AT THE START OF THE YEAR 102,100 96,500
Expected return on assets 4,800 4,900
Actuarial (loss)/gain on assets (4,300) 3,500
Actual contributions paid by University 4,100 4,200
Non Investment expenses (1,000) (800)
Actual benefit payments (6,500) (6,200)
FAIR VALUE OF SCHEME ASSETS AT THE END OF THE YEAR 99,200 102,100
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SUPS assets do not include any of the University’s own financial instruments, or any property occupied by the University.

Due to the nature of the Institution’s operations and the composition of its Council (being drawn from local public and private sector organisations) and Senior Leadership Team, it is inevitable that transactions will take place with organisations in which a member of Council or the Senior Leadership Team may have an interest. All such transactions are conducted at arm’s length and in accordance with the Institution’s financial regulations and normal procurement procedures. The Institution has taken advantage of the exemption within FRS 102 Section 33 ‘Related Party Disclosures’ and has not disclosed transactions with other wholly owned group entities.

Wales National Pool Swansea INCOME FROM
RELATED PARTY
£000
830		 EXPENDITURE TO
RELATED PARTY
£000
678		 BALANCE DUE FROM
RELATED PARTY
£000
87
Swan Global Education LLP 554 1,301 812
1,384 1,979 899

Throughout the year and at the Balance Sheet date the University held 50% investments in the associated companies Wales National Pool Swansea (2024: 50%) and Swan Global Education LLP (2024: 50%). The relationship with both companies are accounted for using the equity method such that 50% of the companies gross assets and liabilities are incorporated into the consolidated balance sheet of the University and 50% the net income is reported in the University's consolidated income and expenditure account.

The Students Union is not controlled or owned by the University and is a separate legal entity, however the University provides grant funding to the Union to support the students. During the year the University provided the Students Union with the main block grant of £1,192k (2024: £1,167k)

COUNCIL MEMBERS

The Institution's Council members are the trustees for charitable law purposes. Due to the nature of the Institution's operations and the composition of the Council, many of whom are being drawn from local public and private sector organisations, it is inevitable that transactions will take place with organisations in which a member of the Council may have an interest. All transactions involving organisations in which a member of Council may have an interest, including those below, are conducted at arm's length and in accordance with the Institution's Financial Regulations and usual procurement procedures. The University has a robust Declarations of Outside Interests Policy and each member of Council is required to declare all interests openly, which are reviewed in line with the Institutions procedures.

Third party transactions identified during the 2024/25 financial year in which trustees have declared an interest are: Natural Resources Wales, £3,279 for professional services; Compass Group plc £1,650,581 for catering services; Swansea University Student Union, £1,671,431 for various transactions; Welsh Government £77,351 for insurance and property related services; Hilton Worldwide group £16,987 for accomodation; RGM Security £280,902 for temporary staff and security services; Swansea Bay Business Club £5,000 for subscriptions; Just Eat Food £40 for catering services; Global Education Matter £8,684 for student fee activity; Bevan & Buckland LLP £2,520 for student placement programmes; Learned Society of Wales £30,205 for subscriptions; JISC, £2,005,006 for software/books and various other activity; Age Cymru £2,520 for student placement programmes; Zoom video communications £1,915 for software/licences; Sainsbury UK £320 for groceries; Grange Primary School £170 for temporary staff; Wales Millennium Centre £50 for catering; Welsh National Opera, £5,897 for production services.

No Council Member has received any remuneration or waived payments during the year (2024 - £0).

During the year £5.8k of expenses were reimbursed to Members of Council (2024: £4.5k), and £4.3k of payments were made on Council members behalf (travel/accommodation, and training costs) (2024: £8.3K)

ACTUAL RETURN ON SCHEME ASSETS

ACTUAL RETURN ON SCHEME ASSETS
Expected return on scheme assets 4,800 4,900
Asset (loss)/gain (4,300) 3,500
500 8,400

Estimated contributions for SUPS in the Financial Year 2025–26 is £504k (2024-25 £568k) assuming the contribution rate of 10.08% plus £3,289k PA fixed contribution (2024-25: 10.08%, plus £3,210k PA).

A number of potential issues associated with the Swansea University Pension Scheme have been identified. These relate to the documenting and implementing of decisions that have been made in respect of the Scheme and they have the potential to result in an increased liability for the Scheme. It is not possible to estimate the timing and financial impact of any outflow as it depends on how these issues are resolved and this is the subject of an ongoing legal case.

33. US DEPARTMENT OF EDUCATION FINANCIAL RESPONSIBILITY SUPPLEMENTAL SCHEDULE

In satisfaction of its obligations to facilitate students’ access to US federal financial aid, the University is required, by the US Department of Education, to present the following Supplemental Schedule in a prescribed format.

The amounts presented within the schedules have been:

The schedules set out how each amount disclosed has been extracted from the financial statements. As set out above, the accounting policies used in determining the amounts disclosed are not intended to and do not comply with the requirements of accounting principles generally accepted in the United States of America.

97

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

96

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

CONSOLIDATED CONSOLIDATED CONSOLIDATED 2025 2025 2024

CONSOLIDATED CONSOLIDATED CONSOLIDATED 2025 2025 2024

£000

£000 £000

£000

£000 £000

Primary Reserve Ratio

Line item / disclosure

Expendable net assets

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Net assets without donor restriction 284,140 318,549
Statement of Financial Position Unrestricted Income and Expenditure Reserve - 245,985 -
Statement of Financial Position Revaluation Reserve - 38,155 -
Net assets with donor restriction 8,684 8,807
Statement of Financial Position Endowment Reserve - 8,135 -
Statement of Financial Position Restricted Reserve - 549 -
Note 10, excluding Service
Property, Plant & Equipment
Concession Arrangement
Property, Plant & Equipment,
pre-implementation 262,942 (275,603)
Property, Plant & Equipment without
outstanding debt for original purchase (85,753) (84,010)
Property, Plant & Equipment
– construction in progress (21,232) (17,402)
Note 10 – Service Concession
Lease right of use asset – pre-implementation
Arrangement (97,286) (104,348)
Statement of Financial Position Intangible Assets (242) (444)
Statement of Financial Position Post employment and pension liabilities 12,400 19,000
Long term debt for long term purposes - -
Long term debt for long term purposes
Note 19 & 20
pre-implementation 85,631 90,944
Long term debt for long term
Note 19 & 20
purposes post implementation 21,002 7,419
Note 13 Lease right of use asset liability - -
Lease right of use asset liability
pre implementation 109,546 116,225
Lease right of use asset liability
- -
post implementation
Statement of Financial Position Term endowments with donor restrictions (8,135) (7,972)
Total Operating Expenses without Donor Restrictions
Statement of Comprehensive Income
Total operating expenses without donor
excluding change in expected USS
restrictions taken from CSCI
contributions 373,030 397,521
Non-operating and Net Investment Loss (5,400) (95,342)
Net investment losses - -
Pension related charges other than periodic
costs 5,400 95,342
Statement of Comprehensive Income Change in expected USS contribuutions - - -
Statement of Comprehensive Income Actuarial gain in respect of pension schemes - 5,400 -
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Equity Ratio

Line item / disclosure

Modified Net Assets

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Net Assets without Donor Restriction 284,140 318,549
Statement of Financial Position Unrestricted Income and Expenditure Reserve - 245,985 -
Statement of Financial Position Revaluation Reserve - 38,155 -
Net Assets with Donor Restrictions 8,684 8,807
Statement of Financial Position Endowment Reserve - 8,135 -
Statement of Financial Position Restricted Reserve - 549 -
Statement of Financial Position Intangible assets 242 444
Modified Assets
Total Assets 599,144 650,181
Statement of Financial Position Non-current Assets - 467,621 -
Statement of Financial Position Current Assets - 131,523 -
Note 10 – Service Concession Arrangement Lease right of use asset pre implementation 97,286 104,348
Note 13 Pre implementation right of lease 109,546 116,225
Statement of Financial Position Intangible assets 242 444
Net Income Ratio
Line item / disclosure
Change in Net Assets Without Donor Restrictions
Statement of Comprehensive Income Total comprehensive income in the year (34,532) 80,341
Statement of Comprehensive Income Restricted comprehensive income in the year 123 (1,312)
Total Revenue and Gains
Total revenue and Gains without donor restrictions
Total operating revenue and other additions 333,355 380,967
Statement of Comprehensive Income Total Income - 333,645 -
Note 6 – restricted income Restricted donations - -
(290)
Statement of Comprehensive Income Non-operating Revenue and Other gains - 445
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99

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

98

NOTES TO THE FINANCIAL STATEMENTS – ( Year ended 31 July 2025)

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