Cynnal Cymru - Sustain Wales
(A Company Limited by Guarantee)
Annual Report and Financial Statements
For the Year Ended 31 March 2025
Company Number: 04622047
Charity Registered in England and Wales Number: 1158496

Cynnal Cymru- Sustain Wales
Contents
For the Year Ended 31 March 2025
Referen￿ and Administrative Details
Trustee Directors, Report
3-10
Independent Auditor's Report
Statement of Financial Activities
15
Balance Sheet
16
Statement of Cashflows
17
Notes to the Financial Statements
18-27
Page 1

Cynnal Cymru- Sustain Wales
Reference and Administrative Details
For the Year Ended 31 March 2025
Charity Name
Cynnal Cymru- Sustain Wales
Registered Charity Number:
1158496
Registered Company Number {England and Wales):
04622047
Trustee Directors
R Billingham
L Cordery-Bru
K Evans
H Draper
N Hagendyk
D Mccrea (Chair)
C Moreton
E Morgan
S Stensland
N Sudarsan
D Tram
N Wood-Gaiger
Company Secretary
C F Sain-Ley-Berry
Registered Office
Sbarclspark
Maindy Road
Cardiff
CF24 4HQ
Auditors
Bevan Buckland LLP
Chartered Accountants and Statutory Auditors
Ground Floor
Cardigan House
Castle Court
Swansea Enterprise Park
Swansea
SA7 9LA
Bankers
Co-operative Bank PIC
PO Box 250
Skelmersdale
Lancashire
WN86
Page 2

Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
The Trustees present their annual report together with the audited financial statements of the company for the
year 1 April 2024 to 31 March 2025. The Trustees confirm that the Annual Report and financial statements of
the company comply with the current statutory requirements, the requirements of the company s governing
document and the provisions of the Statement of Recommended Practice (SORP), applicable to charities
preparing their accounts in accordan￿ with the Financial Reporting Standard applicable in the UK and
Republic of Ireland (FRS 102) (effective 1 January 2019).
Since the company qualifies as small under section 383. the strategic report required of medium and large
companies under The Companies Act 2006 (Strategic Report and Directorfs Report) Regulations 2013 is not
required.
Structure, governance and management
The company is constituted under a Memorandum of Association dated 19 December 2002 and is a registered
charity number 1158496.
Cynnal Cymru became part of the Wales Council for Voluntary Action (WCVA) group structure on 1 April 2018
with WCVA becoming the sole legal member of Cynnal Cymru.
Throughout 2024125 the charity has continued to operate independently wtth its own Board.
The Memorandum of Association established the objectives and powers of the charitable company and is
governed under its Articles of Association.
The objects of Cynnal Cymru-sustain Wales (Cynnal Cymru) as a Charity are to promote sustainable
development for the benefit of the public by:
the preservation. conservation and the protection of the environment and the prudent use of
resources.,
the relief of poverty and the improvement of the conditions of life for those socially and economically
disadvantaged.
the promotion of sustainable means of achieving economic growth and regeneration;
the advance of the education of the public in subjects relating to sustainable development. and
any other charitable purposes.
iv.
Method of appointment or election of Trustees
The management of the company is the responsibilty of the Trustees who are elected and co-opted under
the terms of the Articles of Association.
One trustee resigned in this period. Ruth Marks resigned her position as an ex-officio trustee at the end of her
terms as Chief Executive of WCVA to be repla￿d by her SUC￿sS0r Lindsay Cordery-Bruce. The charity
benefitted enormously from Ruth's solutions-focused, co-operative approach and we were delighted to
welcome Lindsay who brings equal enthusiasm and commitment to the role. Following a year of acting as a
shadow trustee. the Board was also pleased to welcome Nicky Hagendyk as a full trustee in this period.
The Board oversaw the recruitment of a new Chief Executive this year to shape a new phase in the
organisation's journey. The Board also updated its membership of the People and Policies, and Finance and
Audit committees. and adoption of vice chair role.
Page 3

Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
Senior Management Team
The Board delegate the operational running of the charity to the Chief Executive and the Senior Management
Team (SMT). They report to the Board through regular reports to the Chair, Committees and full Board.
The new Chief Executive, Dr Simon Slater, started in September 2024. Clare Sain-ley-Berry acted as the
interim Director for 18-months prior to this and has now taken on the role of Deputy Chief Executive. The Board
are grateful for Clare's leadership during this period. The other members of the SMT include the Head of
Communications and Membership, Head of Fair Economy. and the Head of Training and Advice.
Staffing
This year has been a period of consolidation with a new Chief Executive, and a new Senior Management
Team and staffing restructure in place to manage the end of a previous period of rapid growth and new
financial pressures.
Several members of staff from across our training, advice and support teams left during this year. We are
grateful to Sylvia Davies, Dr Karolina Rucinska, Camille Lovgreen, Beli Evans and Abi Hoare for giving us
their energy, creativity and passion in this past year to help shape Cynnal Cymru and our charitable impact.
We were also pleased to welcome Christopher Woodfield as the latest member to our Sustainability Training
team and ensure that our remaining staff were all moved onto permanent contracts.
Achievements and performance
Like many charities, the organisation has faced considerable financial pressure this year, resulting in a need
to examine carefully how we best achieve our mission of accelerating progress towards a more sustainable
Wales through our interlocking work areas of (i) a low carbon economy, (li) a thriving natural environment and
(iii) a fair and just society.
(i)
Low Carbon Economy
To achieve the transformation necessary for a stable climate and low carbon economy. we recognise the
critical role of appropriate engagement. training and advice
themes that we continued to explore and
finesse with our members, partners and wider stakeholders.
Carbon Literacy
We continued our role as the official partner in Wales of the Carbon Literacy Project, which has been
recognised by the UN as one of 100 global Transformative Action Programmes.
In 24-25 we delivered tutor-led training to more than 500 individuals, and we designed tailored courses for
both private sector firms and public bodies. This included:
Our collaboration with Manchester Metropolitan University to roll out Cart)on Literacy training to the
staff of Wales's statutory environmental body. Natural Resources Wales
The conclusion of our Carbon Literacy Cartrefi Cymru consortium project that brought together 22
housing associations operating in Wales, willing to pool resources and expertise to upskill both staff
and tenants to tackle the climate crisis. The accreditation of a bespoke bilingual course specifically
tailored to the experien￿ and realities of Welsh social housing tenants, that can be used by all
partners to cascade climate knowledge, was a key milestone.
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Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
To date we have trained more than 1.827 individuals from almost 350 organisations. This represents a
significant contribution to the Carbon Literacy Project in Wales and its aim to give every citizen a day s worth
of learning around the carbon costs and impacts of everyday activities, and the ability and motivation to reduce
them. This has resulted in 3.645 climate-POSitive pledges being made.
Climate Essentials elearns
Our training team has worked tirelessly with organisations to help develop and deliver in-house elearn training
platforms for their staff and partners to enable ongoing capacity building.
In 24-25 this has included:
Completing an ambitious Climate Essentials elearn for Swansea University. customised to the student
and staff population.
Creating a Climate Essentials elearn for Powys County Council for staff
Fair and Just Society
This area of our work continues to grow in importance as living standards are squeezed. An emerging narrative
of measures to tackle climate change coming at the expense of living standards for ordinary people presents
a challenge, which Cynnal Cymru is uniquely placed to tackle with our dual focus on sustainability and
delivering better living standards for some of the poorest people in our society.
Real Living Wage Accreditations
In Wales. we are the real Living Wage accreditation partner for the Living Wage Foundation. The Living Wage
movement in Wales continues to grow despite the continuance of a challenging environment, including
increases in both Living Wage accreditation fees and National Insurance.
In 2024-25, despite reduced budgets in the relevant department, Welsh Government continued to support this
core work around the real Living Wage. This resulted in:
Growth of accredited employers. The movement celebrated 500 accredited employers in July 2023,
and at the end of 2024-25. reached 600 accredited employers.
Living Hours Employers more than doubled from 7 to 17.
A series of Living Wage Places steering groups and events were supported, such as Living Wage
week.
Preparatory work for a pipeline of large employers to accredit from the public sector. such as local
authorities. with the aim to accredit during 2025-26.
Positioning work resulting in the Future Generations Commissioner including real Living Wage
accreditation as one of eleven asks of public sector bodies in Wales.
The development of an expanded programme for 2025-26
To date this work has resulted in over 20,000 pay rises contributing to lifting individuals and families out of
poverty.
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Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
Foundational Economy
For several years we have been supporting the Foundational Economy team in Welsh Government. This
sector of the economy comprises small or local businesses involved in retail, hospitality, food, construction,
health, and education.
In 2024-25 this included:
Policy consultation and development work leading to a Ministerial launch of the Foundational Economy
mission statement and actions. These include increasing understanding around foundational sectors,
and actions around local employment opportunities, reducing energy and resource use, and improving
income. skills, and health outcomes.
Continued facilitation of a community of Practi￿ of projects funded by Welsh Government's Backing
Local Firms Fund and Innovation Challenge fund. using co-production principles to identify and explore
common challenges and work towards solutions. A key focus was around a more sustainable food
system where more of the food consumed in Wales can be produced locally. with higher nutritional
value, less waste, less harmful impacts on soil and biodiversity and a fair return for suppliers. 11
meetings were organised for a network of over 75 participants with an average of 20 attendees at
each.
Exploration of other ways to support our foundational sectors including the potential to marry up
community-produced energy with EV charging infrastructure.
Celebration showcase event for Welsh Govemment funded projects and organisations to share
lessons, outputs, and outcomes for over 60 participants.
A series of good practice case studies.
The development of an expanded programme for 25-26.
Thriving Natural Environment
Nabod Natur - Nature Wise
We continued to deliver our Nabod Natur- Nature Wise eco-literacy course to organisations.
In 2024-25 this included:
The National Lottery Community Fund and to Welsh Government staff as part of its internal training
offer.
We were also pleased to make Nature Wise training freely available to other audiences through trusted
partners. A highlight was receiving support from Castell Howell to deliver Nature Wise to primary school
teachers engaged with the Big Bocs Bwyd programme to build Confiden￿ in using the natural
environment to deliver curriculum outcomes.
In total more than 100 people received Nature Wise training in 2024-25, committing to an average of 5
nature recovery actions in private and professional life each. The total to date is 240 organisations
supported. 636 individuals trained. and 2.426 pledges to help nature at home or work.
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Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
Nabod Natur - Nature Wise elearns
Recognising the benefits of diversifying our training offer around the critical role of a healthy, functioning
natural environment, we were delighted to launch our nature recovery elearn developed last financial year in
partnership with WCVA and Wales's Local Nature Partnerships.
In 2024-25 we:
Created customised nature recovery eleams for 7 local authorities with a combined reach to more than
40,000 employees.
(iv)
Integrated sustainability
During this year we have seen more organisations understanding the need for an integrated approach to the
climate-nature crisis as well as the imperative for a fair transition to a more sustainable future that does not
deepen existing inequalities.
In 2024-25 we delivered:
Leadership training for the public sector. We were pleased to support Academi, the centre for
excellence in leadership and management for public services in Wales, to upskill experienced and
emerging public sector leaders in both Carbon Literacy and Nature Wise training, with a further phase
of action-planning workshops to follow.
Integrated sustainability training for the food sector. Three groups of trainees from food and drink
manufacturers in Wales. in partnership with Ecostudio. This was part ofthe Welsh Government's Food
Skills Cymru programme.
Sustainability strategy advice for tourism and hospitality sectors. A year-long project to design
and implement a transfomiative sustainability strategy with the national park resort Bluestone Wales
was concluded.
Sustainability advice and guidance for business. The inputfrom our advice and fair economy teams
was incorporated and recognised in a new Future Generations business toolkit. We also launched
'futures tools, such as 'Postcards from 2050 Wales,.
Carbon reduction and fair work support for small businesses. We continued our partnership with
Social Investment Cymru that, like us. is part of WCVA'S group structure. Under SIC'S innovative
Community Asset Loan Fund, beneficiaries receive reductions in the loan interest rate if they develop
carbon reduction plans or accredit as real Living Wage employers. In 2024-25, we worked with 6 social
enterprises to enable them to take advantage of this financial benefit whilst also helping target action
for environmental and social good.
Risk management
Trustees routinely scrutinise the risks to which Cynnal Cymru is exposed, particularly those related to the
operations and fInan￿S of the company and are satisfied that systems and procedures are in place to mitigate
our exposure to the major risks. The risk register and related prO￿dureS are regularly reviewed by The Board
of Trustees to ensure they continue to meet the needs of the Charity and ensure its good governance.
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Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
Financial review
The charity returned a deficit in 2024-25 of £84,771 (2023-24 £17,745).
This was due to a larger cost base through staff recruited to respond to several years of rapid growth and
investment in new advice and consultancy services. Unfortunately, the demand for existing services slowed,
and the market for the new services didn't deliver the expected growth. The Board and SMT agreed a series
of measures to monitor and manage cashflow. including securing a loan facility, reducing costs, and refocusing
existing services. The loan facility was never a￿SSed and is now closed, and other changes have resulted in
reduced operating costs. increased grants and a pipeline of projects for 2025-26
The financial results of the year are included on pages 15 and 16.
Reserves
We aim to build up our reserves. consistent with the Charity's overall financial position and the need to maintain
and develop charitable activities.
The reserves policy has been developed to ensure that Cynnal Cymru can manage during a period of
unforeseen difficulty. with the target level of reserves identified at 3 months of projected operating costs. In
April 2025 this level of reserves was estimated at £135.000. Our reseNes were drawn on substantially in 2024-
25 to address a shortfall in projected income and to allow us time to conduct a restructure to produce a reduced
cost base. Our financial plans are to rebuild our reserves in stages over the next two financial years.
The charity starts the year with free reserves of £62,768 (2024 £147,539).
Going concern
The Trustees continue to adopt the going con￿rn basis in preparing the financial statements. After making
appropriate enquiries and seeking appropriate assurance. the Trustees have a reasonable expectation that
the company has adequate reSoUr￿S to continue in operational existence for the foreseeable future. With the
reduction in our reserves, the main issue is cashflow which is closely monitored on a monthly basis and
reported to the Board.
Further details regarding the adoption of the going concern basis can be found in the Accounting Policies.
Priorities for 2025-26
To build on the change, consolidation and product development during the previous year. we intend to focus
on several external and internal priorities for 2025-26:
External
Use the support of the Future Generations Commissioner to drive up the number of public sector
bodies accredited as real Living Wage employers.
Use the new Foundational Economy mission statement to drive our new support programme.
Using the Living Wage Places model, set up more city or sub-regional focused work in Wales, including
mid and north Wales.
Expand our use of eleams and partner organisations to help grow our reach and impact of our training
and advice team.
Work towards producing a reframed impact report based on the numbers and locations of the
individuals of organisations we have worked with and the changes this has made
Work with the Board and stakeholders to develop a new 3-year strategy and review our service offer.
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Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
Internal
Recruit new Board members, a new Chair, and a new Sustainability Adviser to maintain our new
delivery structure.
Develop and diversify our income streams through expanding our elearn work, programme
management, and developing an approach to trusts and foundations.
Conduct fair work and Welsh Language audits of our organisation to identify areas for improvement
Rebuild our reserves
Explore. with the WCVA and Cynnal Cymru Boards. the separation of Cynnal Cymru from the WCVA
group structure by March 2026.
Trustees, Responsibilities in Relation to the Financial Statements
The trustees (who are also directors of Cynnal Cymru - Sustain Wales for the purposes of company law) are
responsible for preparing the Trustees, Report (incorporating the directors, report) and the financial statements
in accordance with applicable law and United Kingdom Accounting Standards, including Financial Reporting
Standard 102: The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom
Generally AC￿pted Accounting Practice).
Company law requires the trustees to prepare financial statements for each financial year which give a true
and fair view of the state of affairs of the charitable company and of the income and expenditure of the
charitable company for that period.
In preparing these financial statements. the trUSt￿S are required to:
select suitable accounting policies and then apply them consistently.
observe the methods and principles in the Charities SORP.
make judgments and accounting estimates that are reasonable and prudent.
state whether applicable UK Accounting Standards have been followed, subject to any material
departures disclosed and explained in the financial statements, and
prepare the financial statements on the going con￿rn basis unless it is inappropriate to presume
that the charitable company will continue in business.
The trustees are responsible for maintaining proper accounting records which disclose with reasonable
accuracy at any time the financial position of the charitable company and enable them to ensure that the
financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the
assets of the charitable company and hence for taking reasonable steps for the prevention and detection of
fraud and other irregularities.
The trustees are responsible for the Maintenan￿ and integrity of the corporate and financial information
included on the charitable company's website. Legislation in the United Kingdom governing the preparation
and dissemination of financial statements may differ from legislation in other jurisdictions.
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Cynnal Cymru- Sustain Wales
Trustee Directors, Report
For the Year Ended 31 March 2025
The trustees confimi that so far as they are aware, there is no relevant audit information (as defined by section
418(3) of the Companies Act 2006) of which the charitable company's auditors are unaware. They have taken
all steps that they ought to have taken as trustees in order to make themselves aware of any relevant audit
information and to establish that the charitable company s auditors are aware of that information.
This report has been prepared in accordance with the Statement of Recommended Practice- Accounting and
Reporting by Charities, and in accordance with the provisions applicable to companies subject to the small
companies, regime.
Approved by the board on
23 October 2025
and signed on their behalf by:
D Mccrea MBE
Chair of Board of Trustees
Page 10

Cynnal Cymru- Sustain Wales
Independent Auditors, Report to the Members and Trustees
For the Year Ended 31 March 2025
Opinion
We have audited the financial statements of Cynnal Cymru - Sustain Wales (the "charitable company") for the
year ended 31 March 2025 which comprise. the Statement of Financial Activity, the Balance Sheet and notes
to the financial statements, including a summary of significant accounting policies. The financial reporting
framework that has been applied in their preparation is applicable law and United Kingdom Accounting
Standards, including Financial Reporting Standard 102: The Financial Reporting Standard applicable in the
UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion, the financial statements-
give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 and of its
incoming resources and application of reSoUr￿S for the year then ended.
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting
Practice;
have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordan￿ with International Standards on Auditing (UK) (ISAS (UK)) and
applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities
for the audit of the financial statements section of our report. We are independent of the company in
accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK,
including the FRC'S Ethical Standard. and the provisions available for small entities, and we have fulfilled our
other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the trustees, use of the going concern basis of
accounting in the preparation of the financial statements is appropriate. Based on the work we have performed,
we have not identified any material uncertainties relating to the events or conditions that, individually or
collectively, may cast significant doubt on the charitable company's ability to continue as a going concern for
the period of at least twelve months from when the financial ststements are authorised for issue. Our
responsibilities and the responsibilities of the trustees with respect to going con￿rn are described in the
relevant sections of this report.
Other information
The trustees are responsible for the other information. The other information comprises the information
included in the annual report other than the financial statements and our auditor's report thereon.
Our opinion on the financial statements does not coverthe other information and, ex￿ptt0 the extent otherwise
explicitly stated in our report, we do not express any fomi of assurance conclusion thereon.
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Cynnal Cymru- Sustain Wales
Independent Auditors, Report to the Members and Trustees
For the Year Ended 31 March 2025
In connection with our audit of the financial statements. our responsibility is to read the other information and,
in doing so, consider whether the other information is materially inconsistent with the financial statements, or
our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material
inconsistencies or apparent material misststements, we are required to detemiine whether there is a material
misstatement in the financial statements or a material misstatement of the other information. If. based on the
work we have perfomied. we conclude that there is a material misstatement of this other information. we are
required to report that fact. We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion. based on the work undertaken in the course of the audit"
the information given in the trustees. report (incorporating the strategic report and the directors, report)
for the financial year for which the financial statements are prepared is consistent with the financial
statements., and
the trustees. report (incorporating the strategic report and the directors. report) has been prepared in
accordance with applicable legal requirements.
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the charitsble company and its environment obtained in the
course of the audit, we have not identified material misstatements in the Trustees, Annual Report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006
requires us to report to you if, in our opinion-
adequate accounting records have not been kept or returns adequate for our audit have not been
received from branches not visited by us.
the financial statements are not in agreement with the accounting records and returns" or
certain disclosures of trustees, remuneration specified by law are not made. or
we have not received all the information and explanations we require for our audit.. or
the trustees were not entitled to tske advantage of the small companies, exemption from the
requirement to prepare a Strategic Report or in the Trustees. Annual Report.
Responsibilities of the trustees
As explained more fully in the trustees, responsibilities statement, the trustees are responsible for the
preparation of the financial statements and for being satisfied that they give a true and fair view. and for such
internal control as they detemiine is necessary to enable the preparation of financial statements that are free
from material misstatement, whether due to fraud or error.
In preparing the financial statements, the trustees are responsible for assessing the charitable company'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 the trustees either intend to liquidate the charitable company or
to cease operations, or have no realistic altemative but to do so.
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Cynnal Cymru- Sustain Wales
Independent Auditors, Report to the Members and Trustees
For the Year Ended 31 March 2025
Our responsibilities for the audit of the financial statements
Our objectives are to obtsin reasonable assuran￿ about whether the financial statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes
our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit
conducted in accordance with ISAS (UK) will always detect a material misstatement when it exists.
Misstatements can arise from fraud or e￿or and are considered material if, individually or in the aggregate,
they could reasonably be expected to influence the economic decisions of users taken on the basis of these
financial statements.
Extent to which the audit was considered capable of detecting irregularities, including fraud
We identify and assess the risks of material misstatement of the Financial Statements, whether due to fraud
or error, and then, design and perform audit procedures responsive to those risks, including obtaining audit
evidence that is sufficient and appropriate to provide a basis for our opinion.
We discussed our audit independence complying with the Revised Ethical Standard 2019 with the
engagement team members whilst planning the audit and continually monitored our independen
throughout the process.
Identifying and assessing potential risks related to irregularities
In identifying and assessing risks of material misstatement in respect of irregularities. including fraud and
non-compliance with laws and regulations. our procedures included the following:
enquiring of management, including obtaining and reviewing supporting documentation, concerning
the charitable company's policies and procedures relating to:
identifying, evaluating and complying with laws and regulations and whether they were aware of any
instances of non-complian￿.
detecting and responding to the risks of fraud and whether they have knowledge of any actual,
suspected or alleged fraud.
the internal controls established to mitigate risks related to fraud or non-compliance with laws and
regulations-
discussing among the engagement team how and where fraud might occur in the Financial
Statements and any potential indicators of fraud.
obtaining an understanding of the legal and regulatory frameworks that the Charitable company
operates in, focusing on those laws and regulations that had a direct effect on the Financial
Statements or that had a fundamental effect on the operations of the Charitable company, the key
laws and regulations we considered in this context included the UK Companies Act and relevant tax
legislation.
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**Cynnal Cymru - Sustain Wales** Independent Auditors' Report to the Members and Trustees For the Year Ended 31 March 2025 

## **Audit response to risks identified** 

In addition to the above, our procedures to respond to risks identified included the following: 

- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with relevant laws and regulations; 

- enquiring of management concerning actual and potential litigation and claims; performing analytical | procedures to identi[fy ] any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; 

- reading minutes of meetings of those charged with governance and reviewing correspondence with HMRC; and 

- in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; 

- assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and 

- evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. 

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations | throughout the audit. 

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at:[[] www.frc.org.uk/auditorsresponsibilities |[]] . This description forms part of our auditor's report. 

## **Use of our report** | 

This report is made solely to the charitable company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the charitable company's members those matters we are required to state to them in an auditor's report and for I no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone I other than the charitable company's members as a body, for our audit work, for this report, or for the opinions we have formed. 

4 ss —} 

Alison Vickers[(] Senior Statutory Auditor[) ] for and on behalf of Bevan Buckland LLP Chartered Accountants and Statutory Auditors 

Ground Floor Cardigan House | | Castle Court Swansea Enterprise Park Swansea SA? 9LA 

Date: 23 October 2025 

Page 14 



Cynnal Cymru- Sustain Wales
Statement of Financial Activities (including an Income and Expenditure account)
For the Year Ended 31 March 2025
Unrest-
ricted
Funds
Rest-
ricted
Funds
Unrest-
ricted
Funds
Rest-
ricted
Funds
Total
2025
Total
2024
Notes
Inco￿£ from:
Donations
Charitable activities
29,263
331.444 159.669
29.263
491.113
5,516
408,887 157.693
5,516
566,580
Total in¢0￿e
360,707
159,669
520,376
414,403 157,693
572,096
Expenditure on:
Charitable expenditure
441.937
163.210
605.147
420,503 169,338
589,841
Total expenditure
441.937 163.210
605,147
420.503 169.338
589,841
Net (expenditure)lincome before
transfers
(81.230) {3.541)
(84,771)
(6,100) (11,645) (17,745)
Transfer between funds
(3.541)
3.541
Net movement in funds
(84.771)
(84,771)
(6,100) (11,645) (17.745)
Reconciliation of funds
Fund balances at 1 Ppril 2024
147,539
147,539
153,639
11,645
165,284
Fund balances at 31 March 2025
62.768
62.768
147,539
147.539
The results for the year derive from continuing activities and there are no gains or losses other than those
shown above.
The statement of financial activities incorporates the income and expenditure account.
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Cynnal Cymru - Sustain Wales - company number 04622047
Balance Sheet
As at 31 March 2025
Notes
2025
2024
Current assets
Debtors
Cash at bank and in hand
83,312
87,561
180,515
133,130
170.873
313.645
Creditors
Amounts falling due wtthin one year
(108,105)
(166,106)
Net current assets
62,768
147.539
Net assets l (liabilities)
62.768
147,539
Funds
U nrestricted funds
General funds
62,768
147.539
62,768
147.539
Restricted funds
Total charityfunds
62,768
147,539
The notes on pages 18 to 27 form part of these accounts.
The company's financial statements have been prepared in accordan￿ with the provisions applicable to
companies subject to the small companies, regime.
The Trustees acknowledge their responsibilities for complying with the requirements of the Companies Act
with respect to accounting records and the preparation of financial statements.
The financial statements were approved and authorised for issue by the Trustees on
signed on its behalf by..
23 October 2025 and
Chair of Board of Trustees
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Cynnal Cymru- Sustain Wales
Statement of Cashflows
For the Year Ended 31 March 2025
Total
2025
Total
2024
Notes
Cash flows from operating activities
Net movements in funds for the year
(84,771)
(17,745)
(84,771)
(17,745)
Working capital adjustments
(Increase)Idecrease in debtors
Increasel(decrease) in creditors
97,203
(58,001)
(97,138)
60,249
Net cash flow from operations
(45,569)
(54,634)
Net increasel(decrease) in cash and cash equivalents
(45.569)
(54,634)
Reconciliation of net debt
Cash and cash equivalents at the beginning of
the reporting period
Net (decrease)lincrease in cash and cash equivalents
133,130
187,764
(45.569)
(54,634)
Cash and cash equivalents at the end of the
reporting period
87,561
133,130
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Accounting Policies
General information and basis of accounting
The financial ststements have been prepared in £ steding on the historical cost basis and in
accordance with Accounting and Reporting by Charities: Statement of Recommended Practice
applicable to charities preparing their accounts in accordance with the Financial Reporting Standard
applicable in the UK and Republic of Ireland (FRS 102) (effective 1 January 2019) - (Charities SORP
(FRS 102))
The charity meets the definition of a public benefit entity under FRS 102. Assets and liabilities are
initially recognised at historical cost or transaction value unless otherwise stated in the relevant
accounting policy.
Income
All income is recognised once the company has entitlement to the income, it is probable that the income
will be received, and the amount of income re￿1vable can be measured reliably.
Donated services or facilities are recognised when the company has control over the item, any
conditions associated with the donated item have been met, the receipt of economic benefit from the
use of the company of the item probable and that economic benefit can be measured reliably. In
accordance with the Charities SORP (FRS 102). the general volunteer time of the Friends is not
recognised and refer to the Trustees, report for more infomation about their contribution. On receipt,
donated professional services and donated facilities are recognised on the basis of the value of the gift
to the company which is the amount the company would have been willing to pay to obtain services or
facilities of equivalent economic benefit on the open market" a corresponding amount is then recognised
in expenditure in the period of re￿IPt.
Membership income is recognised upon receipt and not treated as a prepayment. This is because there
is no refund mechanism if a member cancels their subscription.
Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is
recognised at the time of the donation.
Income tax recoverable in relation to investment income is recognised at the time the investment
income is receivable.
1.3 Going Concern
The Board of Trustees have assessed whether the use of going concern concept is appropriate and
have considered possible events or conditions that might cast significant doubt on the ability of the
charity to continue as a going concern. The board of trustees have made this assessment for a period
of at least one year from the date of the approval of these financial statements.
In particular, the Board has closely monitored the financial performance of the charity during the year
ended 31 March 2025. noting a deficit primarily driven by Underperforman￿ in income from advi
services and delays in securing and commencing new contracts.
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
In response, the charity implemented a comprehensive cost reduction plan aimed at reducing operating
expenditure by 25 % . This included a reduction in staffing levels from 14.6 to 9.9 full-time equivalents
(FTES), the integration of advi￿ and training functions, and the establishment of a new Senior
Management Team under the leadership of the re￿ntlY appointed Chief Executive. The revised
structure focuses on strengthening finance, human resources. and business development functions.
These changes were reviewed and supported by the Social Investment Cymru team at WCVA, which
subsequently approved a loan facility to support short-term cash flow requirements.
By 1 April 2025, the charity had successfully delivered the planned cost reductions, completed the staff
restructuring. transitioned to new accountants. and enhanced its financial monitoring processes. The
charity also closed the unused loan facility, having stabilised its cash position.
At the start of the 202>26 financial year. the charity had secured 57 % of its required income (compared
to 42 % in the prior year), with a further 13 % projected from historically reliable sources. Grant income
had doubled year-on-year, and a strong pipeline of training contracts was in place. The Board has
approved a balanced budget and business plan for 202>26. forecasting a surplus of £27,000 to begin
rebuilding reserves. Performance in the first quarter of the financial year is in line with this plan.
Based on these actions and the current financial position, the Board has a reasonable expectation that
the charity has adequate reSoUr￿S to continue in operational existence for the foreseeable future.
Accordingly. the financial statements have been prepared on a going con￿rn basis.
Donated goods or services
Goods, facilities and seNices donated to the charity are recognised as income when the criteria for
their recognition is met. Services which are provided to the charity will have a corresponding
expenditure to the donated Servi￿ received.
Tangible fixed assets and depreciation
Tangible fixed assets are stated at cost or valuation. net of depreciation and any provision for
impairment.
For additions that are integral to the buildings, a cumulative charge of depreciation is made in the year
of acquisition so as to match the additions estimate useful life to the building to which they relate.
Computers and Offi￿ equipment are not capitalised but are expensed through the statement of financial
activities. All other assets costing £1,000 or less are not capitalised.
Expenditure
Expenditure is recognised once there a legal or constructive obligation to transfer economic benefit to
a third party, it is probable that a transfer of economic benefits will be required in settlement and the
amount of the obligation can be measured reliably. Expenditure is classified by activity. The costs of
each activity are made up of the total of direct costs and shared costs, including support costs
involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly
to that activity. Shared costs which contribute to more than one activity and support costs which are
not attributable to a single activity are apportioned between those activities on a basis consistent with
the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation
charges allocated on the portion of the assets use.
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Support costs are those costs incurred directly in support of expenditure on the objects of the
company and include project management carried out at Headquarters.
Charitable activities and Governan￿ costs are costs incurred on the company's operations, including
support costs and costs relating to the governan￿ of the company apportioned to charitable
activities.
Debtors
Trade and other debtors are recognised at the settlement amount after any trade discount offered.
Prepayments are valued at the amount prepaid net of any trade discounts due.
Cash at bank and in hand
Cash at bank and in hand includes cash and short term highly liquid investments with a short maturity
of three months or less from the date of acquisition or opening of the deposit or similar account.
Liabilities and provisions
Liabilities are recognised when there is an obligation at the Balance sheet date as a result of a past
event, it is probable that a transfer of economic benefit will be required in settlement, and the amount
of the settlement can be estimated reliably. Liabilities are recognised at the amount that the company
anticipates it will pay to settle the debt or the amount it has received as advanced payments for the
goods or services it must provide. provisions are measured at the best estimate of the amounts
required to settle the obligation. Where the effect of the time value of money is material. the provision
is based on the present value of those amounts, discounted at the pre-tax discount rate that reflects
the risks specific to the liability. The unwinding of the discount is recognised within interest payable
and similar charges.
1.10 Taxation
The company is a registered charity and is therefore not liable to corporation tax to the extent that
income and gains are applied to the charitable objectives of the charity.
1.11 VAT
Irrecoverable VAT is charged against the expenditure heading for which it was incurred.
1.12 Fund accounting
General funds are unrestricted funds receivable or generated for the objects of the charity without
further specified purpose and are available as general funds.
Restricted funds are to be used for specific purposes as laid down by the donor. Expenditure which
meets this criterion is charged to the fund, together with a fair allocation of management and support
costs.
1.13 Financial instruments
The charity only holds basic financial instruments as defined in FRS 102. The financial assets and
liabilities of the charity and their measurements are as follows:
Financial instruments are initially measured at transaction value. They are assessed at the end of each
report period for objective evidence of impairment. If objective evidence of impaimient is found, an
impairment loss is recognised in the Statement of Financial Activities.
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Income
Unre-
stricted Restricted
funds
funds
Unre-
stricted Restricted
funds
funds
Totsl
2025
Totsl
2024
Donations
Donations
29.263
29.263
5,516
5.516
29,263
29,263
5,516
5,516
Charitable activities
Training and consultancy
Partnership projects
mbership
Living wage project
Other operating income
238,811
15,575
13,565
63.310
183
238,811
135,244
13,565
103.310
183
308,194
73,200
16,505
10,000
988
308,194
153,752
16,505
87,141
988
119,669
80,552
40.000
77,141
331.444
159.669
491.113
408,887
157.693
566.580
Total inc0￿e
360.707
159.669
520.376
414,403
157,693
572,096
Work has been provided to the parent company, Wales Council for Voluntary Action, for £10,500 (2024
£18,300).
There are no unfulfilled conditions attached to the above grants received.
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Charitable expenditure
Unre-
stricted Restricted
funds
funds
Unre-
stricted Restricted
funds
funds
Totsl
2025
Total
2024
Charitable expenditure
Support costs
Premises
General office
Bank charges
Wfiscellaneous
6.624
29.266
65
236
6,624
29,266
65
236
6.79)
29.260
429
2.115
2,650
6.790
29,260
429
2.115
2.650
Other support costs
2.855
2,855
39.046
39,046
41.244
41.244
Other charitable expenditure
392.073
159.669
551,742
373.229
169,338
542.567
431.119
159,669
590,788
414,473
169,338
583.811
Governance costs
Audit fees
4.5(M)
9.859
4,500
9,859
4.500
1.530
Other governance costs
1.530
14,359
14,359
6.030
6,030
Total charitable expenditurE 445.478
159,669
605,147
420.503
169,338
589.841
Support services have been provided by the parent company, Wales Council for Voluntary Action, for £4,500
(2024: £6,120).
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Employees and employment costs
2025
2024
Wages and salaries (including employee benefits)
Employer's Nl
Pension contribLrtions
443,032
40.446
16,993
382,770
24,866
18,438
500,471
426,074
No remuneration or expenses were paid to any Trustees during the year (2024: none).
Key management personnel include all persons that have authority and responsibility for planning,
directing and controlling the activities of the charity. As mentioned in the trustee's report. there has been
a slight change in the organisation of the senior management team increasing the number of key
management personnel involved. The total compensation paid to 5 key management personnel for
services provided to the charity was £178.305 (2024: £56.280).
No employee received remuneration amounting to more than £60,000 (2024.. none)
The average monthly head count was 17 staff (2024: 16).
Debtors
2025
2024
Trade debtors
Prepayments and accrued income
68,402
14.910
134,534
45.981
83.312
180,515
Creditors: Amounts falling due within one year
2025
2024
Trade creditors
Social security and other taxes
Accruals & deferred income
11,770
20,997
73,498
1,840
43,852
30.736
66,127
25,391
Other creditors
108,105
166.106
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Deferred incon
2025
2024
Deferred income at 01 Ppril 2024
Released from prewous years
Resources deferred in the year
14.167
(19,635)
71.279
34,074
(185,423)
165,516
Deferred income at 31 ￿rch 2025
65.811
14,167
Included within the 2024 bank balance was a fund balan￿ relating to Carbon Literacy Cartrefi Cymru (CLCC)
£22,724 with a corresponding entry included in deferred income, the balance related to a fund that Cynnal
Cymru held whilst being part of a consortium.
Statement of funds
Balance
01.04.24
Balance
31.03.25
InconE Expe nditure
Transfers
General unrestricted funds
147.539 360.707
(445.478)
62.768
Total unrestricted funds
147,539
360,707
(445,478)
62,768
Welsh Government- Living Wage
Carbon Literacy Cartrefi Cymru
Welsh Government
Foundational Economy Capability
Communities
40,000
20.137
(40,000)
(20.137)
99,532
(99,532)
Total restricted funds
159,669
(159,669)
Total funds
147,539
520,376
(605,147)
62,768
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Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Statement of funds - prior year
Balance
01.04.2023
Balance
Transfers 31.03.2024
Income Expenditure
General unrestricted funds
153,639 414,403
(420,503)
147,539
Total unrestricted funds
153.639
414.403
(420,503)
147,539
Restricted funds
Welsh Government - Living Wage
knndance Foundation
Living Wage
knndance Foundation
ECO Training
Welsh Government
Foundational Economy Capability
Communities
77.141
(77,141)
4,569
(4,569)
7.076
(7.076)
80,552
(80,552)
Total restricted funds
11,645
157,693
(169,338)
Total funds
165,284
572,096
(589,841)
147,539
Welsh Government Living Wage - the grant was to support improved real Living Wage promotion,
adoption and accreditation and to support continued employment of the in-post Real Living Wage
Programme Officer with associated costs.
Moondance Foundation - the remaining income from a £24,000 donation re￿iVed in 2022-23
maintained 2 workstreams to strengthen our work in the mid and west Wales area to September
2024. The real Living Wage work focused on key events to coordinate a Living Wage Place in mid
and west Wales. The eco-literacy work focused on creation of a Welsh language version of the
Nature Wise course and associated reSoUr￿s, and running Nature Wise training sessions including
one at the National Eisteddfod.
Carbon Literacy Cartrefi Cymru - This was income from a consortium of social housing providers in
Wales formed in order to enable Consortium members to provide Carbon Literacy training to staff,
tenants and other stakeholders. Cynnal Cymru provided tailored training and secretarial services.
Welsh Government Foundational Economy Capability Communities - The grant was to deliver
Capability Networks linked to Welsh Govemment's Foundational Economy priority sectors. It covered
continued employment of the in-post Policy & Engagement Officer, plus other staff time and project
costs.
Page 25

Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
Analysis of net assets between funds
Unre-
stricted Restricted
funds
funds
Unre-
stricted Restricted
funds
funds
Total
2025
Total
2024
Current assets
Creditors due < 1 year
170,873
(108,105)
170,873
276,754
36,891
313,645
(108,105) (129,215) (36,891) (166,106)
62.768
62.768
147,539
147,539
Financial commitments
2025
2024
Land and
buildings
Land and
buildings
Less than 1 year
4,416
4,416
4,416
4,416
10
Related parties
The Wales Council for Voluntary Action provided benefits in kind to Cynnal Cymru-sustain Wales for
the external audit of £4.500 (2024: £4,500). The Charity has taken advantage of the exemption, under
the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK
and Republic of Ireland,, not to disclose related party transactions with other companies which are part
of the Wales Council for Voluntary Action group.
11
Controlling party
The ultimate parent company is Wales Council for Voluntary Action (WCVA) by virtue of being the only
member of Cynnal Cymru-sustain Wales. WCVA is a company limited by guarantee (registered
number: 00425299) and registered charity (charity number: 218093) incorporated in the United
Kingdom. The address of the registered office is One Canal Parade, Dumballs Road, Cardiff, CFIO
5BF. The object of WCVA is to provide infomiation. training and advice to support volunteering.
governance, funding and safeguarding. and promote and support the third sectorfs contribution to major
policy areas.
Page 26

Cynnal Cymru- Sustain Wales
Notes to the Financial Statements
For the Year Ended 31 March 2025
12
Events after the balance sheet date
Subsequent to the balance sheet date. the trustees of both WCVA and Cynnal Cymru have approved a
proposal to demerge from its existing group structure. This reflects the decision by the WCVA Board to
cease operating a group structure approach and aligns with the strategic direction of both charities.
At the date of approval of these financial statements, the demerger process is ongoing and subject to
the completion of all necessary legal, regulatory. and administrative procedures. The trustees are
working closely with legal and financial advisors to ensure full compliance with all applicable
requirements.
It is proposed that the changes take effect from 31st March 2026 for accounting purposes.
The trustees have assessed the financial and operational implications of the proposed demerger and
are satisfied that it will have no material impact on the charity's ability to continue as a going COn￿rn.
The charity remains financially stable and continues to operate in line with its charitable objectives.
Page 27