CHARITY REGISTRATION NUMBER: 1166089 The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Financial Statements 31 March 2025 WALTER HUNTER & CO LIMITED Chartered accountants & statutory auditor 24 Bridge Street Newport South Wales NP20 4SF
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Financial Statements Year ended 31 March 2025 Page Trustees. annual report Independent auditor's report to the members Statement of financial activities 12 Statement of financial position 13 Statement of cash flows 14 Notes to the financial ststements 15
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report Year ended 31 March 2025 The trustees present their report and the financial statements of the charity for the year ended 31 March 2025. Reference and administrative details Registered charity name The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Charity registration number 1166089 Principal office Maindy Barracks Cardiff CF14 3YE The trustees Major IReldl MFH Adler TD Captain (Retdl JEE Barham Major General CBK Barry CBE - Chairman (Ex Officiol Lt Col DL Evans1 (Ex Officiol Captain (Retdl DJ Hitchcock OBE Colonel NJ Lock OBE Captain (Retdl RJE Minler-KeMp Mr S Prichard Iwilh effect Dec 241 Lt Col EMG Willcox MBE2 (Ex Officiol Audltor Walter Hunter & Co Limited Chartered accountants & statutory auditor 24 Bridge Street Newport South Wales NP20 4SF Bankers The Royal Bank of Scotland plc Holt's Military Banking 200 Fowler Avenue Fowler Business Park Farnborough GU14 7JP Investment manager Evelyn Partners 45 Gresham Street London EC2V 78G Lt Col M Adams look over from Lt Col Evans with effect 1 March 2025. Lt Col O Beard took over from Lt Col E Wilcox with effect 1 August 2024.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report (continuedj Year ended 31 March 2025 Structure. governance and management Goveming document The Royal Welsh Regimental Welfare and Benevolen Foundation was first registered on 16 March 2016 bul did not commence operation until 18th July 2017. The nel assets and charitable activities of the following charities were transferred on this dale.. The Royal Regiment of Wales Common Investment Fund (charity numbers 1085032 and 2663881, Regimental Association The Royal Welsh Icharity number 11537591., The Regiment of Wales Benevolent Fund (charity number 2641201. Organisational structure The Board of Iruslees meet al least twice a year to receive the annual accounts, discuss major policy issues and campaigns, and agree priorities for action. The charity does not have any employees. All decisions are made by the Iruslees, however, the day-to-day management of the charity is undertaken by the Regimental Secretary, supported by the Regimental Headquarters Staff. Trustee recruitment and induction Trustees are predominantly recruited from serving, and former, members of the regiment. The Trustees have been offered trustee training from the Investment Manager, Evelyn Partners. Annual tmining will be offered at the next full meeting of the Board in June 2025.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report (continuedj Year ended 31 March 2025 Objectives and activities Objects and aims of the charity 1. To promote the efficiency of the Armed Forces of the Crown in general and in particular, the efficiency of the Royal Welsh or any component or predecessor regiment or unit by any charitable means the charity Iruslees may decide, including without limitation.. lal fostering esprit de corps and comradeship and supporting cadet units affiliated lo the Royal Welsh., Ibl assisting members of the Royal Welsh, or any component or predecessor regiment or unit, or any personnel allached to those regiments, with their transition to civilian life, in particular without limitation by providing education lo aid with re-settlement and assisting them to find employment., Iclfoslering and preserving the history, heritage, traditions, and military accomplishments of the Royal Welsh and any component or predecessor regiment or Ljnit, including without limitation by supporting a museum or museums, archives and collections., and Idl commemorating and remembering the members of the Royal Welsh, or any component or predecessor regiment or unit, who have died while on active service and to encourage public reeognilion of the sacrifice made by such persons," and in parb'cular without limitation to provide memorials lo commemomte the fallen or victories, and maintain regimental chapels or churches., 2. To advance the education of members of the Royal Welsh, or any component or predecessor regiment or unit., 3. To relieve hardship, distress or need among members and former members of the Royal Welsh, or any component or predecessor regiment or unil, members of families and other dependents, including without limitation by providing financial support lo families or other dependents on those who have lost their lives on active service., 4. To promote and protect the health of those that have been wounded or injured, whether on active service or otherwise, whilst serving in the Royal Welsh, or any component or predecessor regiment or unil, al the charity trustees, discretion., and 5. Such other exclusively charitable purposes relating lo the Royal Welsh or any component or predecessor regiment or unil, as the charity trustees in their absolute discretion think fit. The main activities undertaken in relation to the above are noted throughout this report. The charity measures its success by reviewing If it has fulfilled all the benevolence cases that were identified to the Regimentsl Headquarters during the year.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report (continuedj Year ended 31 March 2025 Objectives and activities (continue Public benefit The Iruslees have paid due regard to guidance issued by the Charity Commission in deciding what activities the charity should undertake. The fund achieves ils objects by the provision of charitable grants lo individuals and families of the Regimental Family for the purpose of promoting the efficiency of the Armed FOrS of the Crown, particularly by supporting the Regiment's veterans in their lime of need. The charity provides this benevolence independently and in conjunction with such Service Charities as The Soldiers,, Sailors., and Airmen's Families Association ISSAFAI, The Royal British Legion ITRBLI and The Army Benevolent Fund IABFI The Soldiers, Charity to meet requirements that are not always mel by public services lor not in a sufficiently timely mannerl. The trustees recognise the benefits that this brings lo The Regiment and the Army In helping to fulfil their covenant to the veterans, through providing support lo the grave. The trustees consider, therefore. that the charity more than meets the requirement to provide public benefit under the charitable "head" of "the promob.on of the efficiency of the Armed Forces of the Crown Policies adopted The trustees have adopted additional policies which do not permit the making of loans lo potential beneficiaries of the charity (see objects of the charity above). Grant making policy Any grants awarded by the charity are at the discretion of the trustees. Depending on the value of the grant requested, grants will be referred to the board of trustees for their approval. Achievements and performance During the past financial year the Foundation has seen a steady increase in grants. In the period 1 Apr 24 - 31 Mar 25 il made the following grants.. 1 st Ballalion £57,216 3rd Ballalion £3,978 ACF in Wales £2,522 Adventure training and sports £1,400 Fund benevolence and hardship cases lotalling £21,778.493 for 108 cases. Benevolence grants were made lo Pozitive Energy LimitedlBritish Gas Trading Ltd in respect of the VC Gallery of Haverfordwesl - Valda Energy Ltd in respect of VC Gallery of Pembroke Dock - The Corps of Drums - The ABF The Soldiers Charity Friends of Llandaff Cathedral Friends of Brecon Cathedral Fund buglers to play the Last Post al veterans, funerals Plus, an additional £110K of money from other service charities IABF, TRBL, Help for Heroes etcl-
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report (continuedj Year ended 31 March 2025 Achievements and performance (continuedl Investment perfomiance The trustees were satisfied with the management of the fund's investments which generated income of £53,12212024'. £85,604). The charity has an Investment Sul>Commitlee which is responsible for addressing all investment issues relating lo the Iruslees of The Royal Welsh Regimental Welfare and Benevolence Foundation. The objectives of the Sub-commillee are as follows.. To implement effectively the investment strategy agreed by the charity trustees,. and With the participation of the duly appointed Investment Advisor to review the investment strategy from time to lime and recommend changes to the Board. The Committee reports to the Board on its activities and the performance of the Scheme on a six-monlhly basis. This will usually coincide with the six month interim and final reports from the Investment Advisor. This Committee will prepare plans for the six month period ahead and back brief the full Board meeting accordingly. Financial review The charity achieved the following results during the year.. Benevolence Welfare reslricled unreslricled Welfare reslricled Total Surpluslldeficill before investment gains Investment gains Totsl surpluslldeficitl for year 7,555 28,807 155,4151 28,807 12,9001 150,7601 57,614 36,362 126,6081 12,9001 6,854 Reserves policy Reserves will be held al a level for contingencies, opportunities and commitments lo be mel, lo mitigate all risks associated with the charity's operations and to allow the charity lo respond quickly lo emergencies where immediate relief is needed. The trustees have examined the requirement for free reserves which are those unrestricted funds not invested in fixed asset investments, designated for specific purposes or otherwise committed. The free reserves of the charity al the year end lotalled £20, 1434 12024.. £49,059). It is the policy of the charity that unreslricled funds which have not been designated for a specific use should be maintained al a level equivalent to beeen three and six month's expenditure. The Foundation received the sum of £202,026 from the Royal Welsh Fusiliers Comrades, Association without restriction after the year end. This will be treated as additional Reserves for this organisation. See note 22." Free reserves a calculated as unrestricted net Curn1 assets lunreslricted current assets less creditors less than one yearl.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report (continuedj Year ended 31 March 2025 Financial review (continu8d) Investment policy The overall investment policy of the charity can be slated as maximising the total return on investments for an aCpIable level of risk that is commensurate with achieving a specified level of income. The investments objective is lo achieve a balance beleen capital growth and a steady and growing level of income from a mulli asset portfolio predominantly investing in bonds and equities. The risk profile of the portfolio is deemed as medium. This will be reviewed by the Investment Sub-commillee from time to lime and any recommendation to change must be ratified by both the Investment Manager and the Board. Benchmarking The porfolio will be measured against the MSCI PIMFA Balanced Index as the primary benchmark. The primary benchmark (being 17.50/, UK government bonds, 33.8'/, UK Equities, 36.7'/o overseas Equities. 100/. Alternatives and 50/. Cashl will be used for additional relative analysis, subje¢l to agreement with the Investment Manager of the percentage allocation5 by country and sector. Further performance analysis of the portfolio will also be undertaken against the ARC Balanced Asset Charity and ARC Sterling GBP Steady Growth Charity Indices. Risks The trustees have assessed the major risks lo which the charity is exposed, and are satisfied that systems are in place to miligale exposure to the major risks. The principal risks and uncertainties facing the charity as identified by the trustees are as follows.. Substantial fall in investment income - the charity meets with ils Investment Managers bNice yearly lo ensure that they are satisfied with the risk and return on the portfolio. Significant incident occurring on an operation which may require the charity lo provide significant financial aid - the charity reviews its funds and finances regularly lo ensure that should such an event occur the charity has sufficient reserves and funds to fulfil its commitments. Significant fall in investment value due lo circumstances outside the control of the charity. Plans for future periods The charity's future plans consist of maximising ils Investment return to enable Il to carry out its charitable aims and objectives which will enable the charity to provide increased support and assistance lo its beneficiaries. Trustees. responsibilities ststement The Iruslees are responsible for preparing the trustees, report and the financial slalements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practi1.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Trustees, Annual Report (continuedj Year ended 31 March 2025 The law applicable to charities in England and Wales requires the charity Iruslees to prepare financial ststemenls for each year which give a true and fair view of the slate of affairs of the charity and of the incoming resources and application of resources, of the charity for that period. In preparing these financial stalemenls, the Iruslees are required to.. select suitable accounting policies and then apply them consistently., observe the methods and principles in the applicable Charities, Statement of Recommended Practice", make judgments and accounting estimates that are reasonable and prudent., stale whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial slalemenls., prepare the financial statements on the going conrn basis unless il is inappropriate lo presume that the charity will continue in business. The Iruslees are responsible for keeping adequate accounting records that are sufficient lo show and explain the charity's transactions and disclose with reasonable accuracy al any time the financial position of the charity and enable them lo ensure that the financial statements comply with the Charities Act 2011, the applicable Charities (Accounts and Reports) Regulations, and the provisions of the Trust Deed. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. The trustees, annual report was approved on 3 June 2025 and signed on behalf of the board of trustees by.. Major General CBK Barry CBE- Chairman (Ex Officiol Trustee
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Independent Auditor's Report to the Members of The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Year ended 31 March 2025 Opinion We have audited the financial statements of The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisalion Ilhe 'charity'l for the year ended 31 March 2025 which comprise the statement of financial aclivilies, statement of financial position, statement of cash flows and the related notes, 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Praclicel. In our opinion the financial slalements.. give a true and fair view of the slate of the charity's affairs as at 31 March 2025 and of its incoming resources and application of resources, including its income and expenditure, 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 Charities Act 2011. Basls for oplnlon We conducted our audit in accordance with International Stsndards on Auditing IUKI IISAS IUKII and applicable law. Our responsibilities under those standards are further described in the audilo¢s responsibilities for the audit of the financial statements section of our report. We are independent of the charity 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 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 lo provide a basis for our opinion. Conclusions relating to going concern In auditing the financial stalemenls, we have concluded that the Iruslees, 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 events or conditions that, individually or collectively, may cast significant doubl on the charity's ability to continue as a going Concern for a period of at least months from when the financial statements are authorised for Issue. Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Independent Auditor's Report to the Members of The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation (continued) Year ended 31 March 2025 Other infomiation The other information comprises the information included in the annual report, other than the financial statements and our auditor's report Ihereon. The Iruslees are responsible for the other information. Our opinion on the financial slalements does not cover the other information and, except lo the extent otherwise explicitly staled in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial stalemenls, our responsibility is lo read the other information and, in doing so, consider whether the other information is materially inconsislenl with the financial statements or our knowledge obtained in the audit or otherwise appears lo be materially misstated. If we Identify such material inconsistencies or apparent material misstatements, we are required to determine 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 performed, we conclude that there is a material misslalement of this other information, we are required to report that fact. We have nothing to report in this regard. Matters on which we are required to report by exception In the light of the knowledge and understanding of the charity and ils environment obtained in the course of the audit, we have not identified material misstatements in the trustees, report. We have nothing lo report in respect of the following matters in relation to which the Charities Act 2011 requires us to report lo you if, in our opinion. the information given in the trustees, report is inconsistent in any material respect with the financial statements., or adequate accounting records have not been kept., or the financial slalements are not in agreement with the accounting records and returns., or we have not received all the information and explanations we require for our audit. Responsibilities of trustees As explained more fully in the Iruslees, responsibilities statement, the trustees are responsible for the preparation of the financial stslemenls and for being satisfied that they give a true and fair view, and for such internal control as the Iruslees determine is necessary to enable the preparation of financial statements that are free from material misstalemenl, whether due lo fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity's ability lo continue as a going concern, disclosing, as applicable, matters related lo going concern and using the going concern basis of accounting unless the trustees either intend lo liquidate the charity or lo ase operations, or have no realistic alternative bul to do so.
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Independent Auditor's Report to the Members of The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation (continued) Year ended 31 March 2025 Auditorfs responsibilities for the audit of the financial statements Our objectives are lo obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and lo 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 IUKI will always delecl a material misstatement when it exists. Misstalemenls can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to Influen the economic decisions of users taken on the basis of these financial stslemenls. Irregularities, including fraud. are instances of non-compliance with laws and regulations. We design prOdureS in line with our responsibilities, outlined above, lo delecl material misstalemenls in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting IrrularItie$, including fraud is detailed below.. By enquiring with senior management and those charged with govemance all areas of risk identified were considered and any potential litigation or claim, if any, were noted Ensuring by enquiry that there were no issues of non-compliance with laws and regulations relating to tax and compliance By obtaining an understanding of the company's policies and procedures on compliance with laws and regulations, and with best accounting practice Noting issues discussed with the Board and the Senior Management Team as this relates to risks faced by the company Reviewing disclosures in the financial statements and testing to supporting documentation to assess compliance with applicable laws and regulations Auditing the risk of management override of controls including lesling journal entries and other adjustments for appropriateness and evaluating the business rationale of significant transactions outside the normal course of business Considering the effect on risk lo the company of the Covid-19 pandemic and the UKS departure from the EU. In particular to note whether any such issues would affect the company's ability lo continue to operate. Through these procedures, we did not become aware of actual or suspected non-compliance. As part of an audit in accordance with ISAS IUKI, we exercise professional judgment and maintain professional sTrpti¢ism throughout the audit. We also.. Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not delecling a material misstalemenl resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. 10
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Independent Auditor's Report to the Members of The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation (continued) Year ended 31 March 2025 Obtain an understsnding of internal control relevant lo the audit in order lo design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. Evaluate the appropriateness of accounting policies used and the reasonableness of aceounling estimates and related disclosures made by the trustees. Conclude on the appropriateness of the trustees, use of the going concern basis of accounting and, based on the audit evidenTr obtained, whether a material uncertainty exists related lo events or conditions that may cast significant doubt on the charity's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate. to modify our opinion. Our conclusions are based on the aLJdit evidence obtained up lo the date of our auditor's report. However, future events or conditions may cause the charity to cease lo continue as a going concern. Evaluate the overall presentation, structure and content of the financial slalements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding. among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. Use of our report This report is Made solely to the charity's Members, as a body, in accordance with section 144 of the Charities Act 2011 and gUlationS made under section 154 of that Act. Our audit work has been undertaken so that we might slate to the charity's members those mallers we are required lo slate lo them in an auditor's report and for no other purpose. To the fullest exlenl permitted by law, we do not accept or assume responsibility lo anyone other than the charity and the charity's members as a body, for our audit work, for this report, or for the opinions we have formed. Mr Jonathan Rhodes Bsc BFP FCA {Senior Statutory Audilorl For and on behalf of Waller Hunter & Co Limited Chartered accountants & slatulory auditor 24 Bridge Street Newport South Wales NP20 4SF 3 June 2025 11
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Statement of Financial Activities Year ended 31 March 2025 2025 Restricted fvnds Total funds Total funds 2024 Unrestricted funds Notè Income and endowments Donations and legacies Charitable activities Other trading activities Investment income 4,880 36,720 16,769 27,296 1,165 38,219 18,325 27,276 6,045 74,939 35,094 54,572 6,957 65,326 27,435 87,194 Total income 85,665 84,985 170,650 186,912 Expenditure ExpendilLJre on raising funds.. Investment management cost5 Expenditure on charitable activities Total expenditure 12,865 128,215 141,080 12,865 67,465 80,330 25,730 195,680 221,410 24,330 166,744 191,074 9,10 Net gains on investments 14 28,807 28,807 57,614 185,813 Net income 126,6081 33,462 6,854 181,651 Transfers between funds 16,3681 6,368 Net movement In funds 132,9761 39,830 6,854 181,651 Reconclllatlon of funds Total funds brought forward Total funds carried foThvard 1,053,906 2,244,321 3,298,227 3,116,576 1,020,930 2,284,151 3,305,081 3,298,227 The slalement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities. The notes on pages 15 to 28 form part of these flnanclal statements. 12
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Statement of Financial Position 31 March 2025 2025 2024 Notè Fixed assets Investments 18 3,331,103 3,175,874 Current assets Debtors Cash al bank and in hand 19 38,951 116,357 18,231 118,068 155,308 136,299 Creditors: amounts falling dug Within one year Net current liabilities 20 181,330 13,946 126,0221 3,305,081 122,353 Total assets less current liabilitlOS 3.298,227 Net assets 3,305,081 3,298,227 Funds ofthe charity Restricted funds Unreslricled funds 2,284,151 1,020,930 2,244,321 1,053,906 3,298,227 Total charity funds 21 3,305,081 These financial statements were approved by the board of trustees and aulhorised for issue on 3 June 2025, and are signed on behalf of the board by.. Major General CBK Barry CBE- Chairman IEX Officiol Trustee The notes on pages 15 to 28 form part of these flnanclal statements. 13
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Statement of Cash Flows Year ended 31 March 2025 2025 2024 Cash flows from operating activities Net income 6,854 181,651 Adjustments for.. Net gains on investments Dividends, interest and rents from investments Other interest re1vable and similar Income Accrued income 157,6141 1185,813} 153,1221 185,6041 11,4501 11,5901 16751 12,589} Changes in. Trade and other debtors Trade and other creditors 120,7201 168,059 19,831} Cash generated from operations 41,332 1103,7761 Interest reeeived 1,450 42,782 1,590 1102,1861 Net cash fromllused inl operating activities Cash flows from investing activities Dividends, interest and rents from investments Purchases of other investments Proceeds from sale of other investments Tonsfer in of 1 st Battalion's investment portfolio Net cash (used inllfrom investing activities 53,122 85,604 14,029,225) 13,084,629) 4,103,691 3,110,766 1172,0811 144,4931 111,741 Net {decreasellincrease in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year 11,7111 118,068 9,555 108,513 116,357 118,068 The notes on pages 15 to 28 form part of these flnanclal statements. 14
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements Year ended 31 March 2025 General information The Royal Welsh Regimental Vvelfare and Benevolence Foundation is a charitable incorporated organisalion and a public benefit entity. The principal office is Maindy Barracks, Cardiff, CF14 3YE. Statement of compliance These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland,, the Slalement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland IFRS 1021 (Charities SORP IFRS 10211 and the Charities Act 2011. Accounting policies Basis of preparation The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through income or expenditure. The financial statements are prepared in sterling, which is the functional currency of the entity. Monetary amounts in these financial statements are rounded to the nearest £. Golng concern At the time of approving the financial slatemenls, the trustees have a reasonable expectation that the charity has adequate resources lo continue in operational existence for the foreseeable future. Thus the Iruslees continue lo adopt the going concern basis of accounting in preparing the financial slalements. Judgements and key sources of estimation uncertainty The preparation of the financial statements requires management to make judgements, eslimales and assumptions that affect the amounts reported. These eslimales and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Fund accounting Unreslricled funds are available for use at the discretion of the trustees lo further any of the charity's objectives unless the funds have been designated for other purposes. Restricted funds are subject to specific conditions by donors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements. Incoming resources All income is included in the statement of financial activities when entitlement has passed lo the charity, it is probable that the economic benefits associated with the transaction will flow to the charity and the amount can be reliably measured. The following specific policies are applied to particular categories of income.. 15
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 Accounting policies icontinutdj Incoming resources fcontinu8dJ Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income lax recoverable in relation lo donations received under Gift Aid or Deeds of Covenant is recognised al the time of the donation. Income from the Days Pay Scheme is included in the period to which the income relates. Investment income is recognised at the time the investment Income is receivable. Interest on funds held on deposit Included when receivable and the amount can be measured reliably by the charity., this is normally upon notification of the interest paid or payable by the bank. Resources expended Expenditure is recognised once there is a legal or constructive obligation to make a payment lo a third paty, il is probable that settlement will be required and the amount of the obligation can be measured reliably. Expenditure on raising funds relates lo the management charges from the charity's investment brokers to administer the portfolio. These are charged quartedy in arrears. Expenditure on eharilable activities includes all costs incurred by a charity in undertaking activities that further its charitable activities and their associated support costs. Support costs have been allocated beeen governan cost and other support. Governance costs comprise all costs involving public accountability of the charity and ils compliance with regulation and good practice. Support costs include the central functions and have been allocated to activity costs categories on a basis consislenl with the use of resources. Where the charity gives a grant with conditions for its payment being a specific level of service or oulpul to be provided, such grants are only recognised once the recipient of the grant has provided the specified service or oulpul. Where there are no conditions allaching lo the grant that enables the donor charity to realistically avoid the commitment, a liability for the full obligation must be recognised. Investments Fixed asset investments are Initial measured al transaction pri excluding transaction costs, and are subsequently measured al fair value al each reporting date. Changes in fair value are recognised in net incomellexpenditurel for the year. Transaction costs are expensed as incurred. Cash and cash equivalent$ Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-lerm liquid investments with original maturities of three months or less, and bank overdmfts. Bank overdrafts are shown within borrowings in current liabilities. 16
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 Accounting policies icontinutdj Financial instruments The charity has elected lo apply the provisions of Section 11 'Basic Financial Instruments, and Section 12 '01her Financial Instruments Issues. of FRS 102 to all of its financial instruments. Financial instruments are recognised in the charity's balance sheet when the charity becomes party lo the contractual provisions of the instrument. Financial assets and liabilities are offset, with the nel amounts presented In the financial stalemenls, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a nel basis or to realise the asset and settle the liability simultaneously. Basic financial assets Basi¢ financial assets. which included debtors and cash and bank balans, are initially measured al transaction price including transactions costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction i measured at the present value of the future receipts discounted at a market rale of interest. Financial assets classed as receivable within one year are not amortised. Derecognition of financial assets Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are setued, or when the charity transfers the fi'nancial asset and subslanlially all the risks and rewards of the ownership to another enlily, or if some significant risks and rewards of ownership are retained bul control of the asset has transferred to another party that is able to sell the asset in ils entirety to an unrelated third paty. Basic financial liabilities Basic financial liabilities, including creditors and bank loans are initially recognised al transaction price unless the arrangement conslilutes a financing Iransaclion, where the debt instrument is measured at the present value of the future payments discounted al a market rate of interest. Financial liabilities classified as payable within one year are not amortised. Debt instruments are subsequenuy carried at amortised cost, sing the effective interest rate method. Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities If payment is due within one year or less. If not, they are presented ads non-current Trade creditors are re¢ognised initially al transaction price and subsequently measured al amortised cost using the effective interest method. Derecognition of financial liabilities Financial liabilities are derecognised when the charity's conlraclual obligations expire or are discharged or eaneelled. 17
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 Donations and legacies Unrestricted Funds Restricted Total Funds Funds 2025 Donations Royal Welsh Club donations General donations 1,015 150 1,015 5,030 4,880 4,880 1,165 6,045 Unrestricted Funds Restricted Total Funds Funds 2024 Donations Royal Welsh Club donations General donations 1,454 75 1,454 5,503 5,428 5,428 1,529 6,957 Charitable activities Unrestricted Funds Restricted Total Funds Funds 2025 Days Pay Scheme 36,720 38,219 74,939 Unrestricted Funds Restricted Total Funds Funds 2024 Days Pay Scheme 32,010 33,316 65,326 Other trading activities Unrestricted Funds Restricted Total Funds Funds 2025 Rugby PRI income Memorial Income Officers, Society Dragon Connect The Regimental Journal - Y Cymry Brenhinol subscriptions Rorke's Drift Lunch income Comrades income Recruiting income 2,120 8,894 2,120 8,894 69 15,856 69 15,856 2,400 2,400 4,760 855 140 4,760 855 140 16,769 18,325 35,094 18
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 Other trading activities (continued) Unrestricted Funds Restricted Total Funds Funds 2024 Rugby PRI income Memorial income Officers, Society Dragon Connect The Regimental Journal - Y Cymry Brenhinol subscriptions Rorke's Drift Lunch income Comrades income Recruiting income 2,460 6,031 2,460 6,031 134 10,850 6,600 134 10,850 6,600 1,360 1,360 15,091 12,344 27,435 Investment income Unrestricted Funds Restricted Total Funds Funds 2025 Income from listed investments Bank interest receivable 26,561 735 26,561 715 53,122 1,450 27,296 27,276 54,572 Unrestricted Funds Restricted Total Funds Funds 2024 Income from listed investments Bank interest receivable 42,802 795 42,802 795 85,604 1,590 43,597 43,597 87,194 Investment management costs Unrestricted Funds Restricted Total Funds Funds 2025 Porfolio management 12,865 12,865 25,730 Unrestricted Fund5 Restricted Total Funds Funds 2024 Portfolio management 12,165 12,165 24,330 19
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 Expenditure on charitable activities by fund type Unrestricted Funds Restricted Total Funds Funds 2025 Charitable activities Support costs 123,511 4,704 62,760 4,705 186,271 9,409 128,215 67,465 195,680 Unrestricted Funds Restricted Total Funds Funds 2024 Charitable activities Support costs 91,017 4,645 66,437 4,645 157,454 9,290 95,662 71,082 166,744 20
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 10. Expenditure on charitable activities by activity type Activities undertaken Grant funding directly of activities Support Total funds costs 2025 Total fund 2024 Charitable activities Governance costs 102,846 83,425 97 9,312 186,368 9,312 157,516 9,228 102,846 83,425 9,409 195,680 166,744 Activities directly undertaken can be further analysed as.. 2025 2024 Benevolence Chapels Colonel of the Regiment Community Engagements Comrades Dragon Connect General expenses Memorials Officers, Society PRI expenditure RMAS Recruiting Refreshments & hosting RHQ expenses Rorke's Drift Lunch Royal Welsh Club Rugby expenses Wreaths Y Cymry Brenhinol expenses 18,664 20,000 68 55 111 782 5,800 8,607 268 13,695 2,639 77 3,274 12,000 3,603 145 12,388 14,722 1,646 13,104 236 4,187 4,920 346 2,122 2,644 8,768 9,141 234 3,574 882 2,462 2,386 9,818 102,846 80,522 Grants Inole 121 83,425 76,932 Share of support costs (note 111 Share of governance costs (note 111 97 9,312 62 9,228 92,834 86,222 Analysis by fund Unrestricted funds Reslricled funds 128,215 67,465 195,680 95,662 71,082 168,744 21
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 11. Analysls of support costs Charitable Governance activities costs Total 2025 Total 2024 Bank charges Audit fees Accountancy fees 97 97 6,740 2,572 62 6,480 2,748 6,740 2,572 97 9,312 9,409 9,290 12. Analysis of grants Benevolence Grants: 2025 2024 ABF The Soldiers Charity British Gas Trading Limited (formerly Pozilive Energy Limited) Valda Energy Limited Corp of Drums The Friends of Brecon Cathedral The Friends of Llandaff Cathedral Other benevolence grants 11,368 2,400 2,400 75 20 200 11,037 2,400 2,400 75 20 100 540 16,463 18,572 Welfare Grants: 2025 2024 1 R WELSH 3 R WELSH Wales ACF Officers, Society Pontypridd Comrades RRW other welfare grants 57,216 3,978 2,548 1,000 570 1,650 41,511 14,862 2,206 1,000 781 66,962 60,360 The charity awarded 20 granls12024.' 151 during the year. 13. Taxation As a charity, the Foundation is exempt from tax on income and gains. to the extent that such income or gains are applied exclusively to charitable purposes. No tax charges have arisen in the charity. 22
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 14. Net gains on investments Unrestricted Funds Restricted Total Funds Funds 2025 Gainslllossesl on listed investments 28,807 28,807 57,614 Unrestricted Funds Restricted Total Funds Funds 2024 Gainslllossesl on listed investments 92,907 92,906 185,813 15. Employees The charity had no employees during the financial year 12023.. none). The Regimental Secretary and Assistant Regimental Secretary, who administer the foundation, are employed by MOD. 16. Trustee remuneration and expenses No remuneration or other benefits from employment with the charity or a related entity were received by the Irustees12024.. £nill. No trustees were reimbursed for expenses during the year12024.. £nill. 17. Transfers between funds A transfer of £6,36812024". £8,458) has been made from unrestricted reserves to the Y Cymry Brenhinol reslricled reserve. This represents the charity's contribution lo the production of Y Cymry Brenhinol, the annual Regimental journal. 18. Investments Cash or cash Listed equivalents investments Total Cost or valuation Al 1 April 2024 Additions Disposals Fair value movements Transfer of 1 st Battalion The Royal Welsh portlolio At 31 March 2025 9,944 3,165,930 3,175,874 2,113,705 1,915,520 4,029,225 12,051,197) 12,067,808) 14,119,005) 72,928 72,928 159,814 172,081 12,267 84,719 3,246,384 3,331,103 Impairment At 1 April 2024 and 31 March 2025 Carrying amount At 31 March 2025 84,719 3,246,384 3.331,103 At 31 March 2024 9,944 3,165,930 3,175,874 All investments shown above are held at valuation. 23
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 18. Investments (continued) Financial assets held at fair value The investment portfolio is managed by Evelyn Partners and is valued at closing market value on 31 March 2025. 19. Debtors 2025 2024 Trade debtors Prepayments and accrued income Other debtors 6,971 12,901 19,079 6,207 12,024 38,951 18,231 20. Creditors.. amounts falling due within one year 2025 2024 Accruals and deferred income Other creditors 13,271 168,059 13,946 181,330 13,946 Other creditors relates to Investments owned by 1st Battalion The Royal Welsh, managed within the wider RVVRWBF portfolio. The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisalion has no control over these investments and 1st Battalion The Royal Welsh can withdraw the funds al any lime. 24
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 21. Analysis of charitable funds Unrestricted funds At Gains and 31 Mar 202 losses Al 1 Apr 2024 Income Expenditure Transfers General funds PRI fund 1,047,304 6,602 76,771 8,894 1126,3581 114,7221 1141,0801 16,3681 28,807 1,020,156 774 1,053,906 85,665 16,3681 28,807 1,020,930 At Gains and 31 Mar 202 losses At 1 Apr 2023 Income Expenditure Transfers General funds PRI fund 977,948 3,210 981,158 90,095 6,031 1105.1881 12,6391 1107,8271 {8,4581 92,907 1.047,304 8,602 96,126 {8,4581 92,907 1,053,906 25
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 21. Analysis of charitable funds (continued) Restricted funds At Gains and 31 Mar 202 losses Al 1 Apr 2024 Income Expenditure Transfers Benevolence fund 2,236,699 The Regimental Journal- Y Cymry Brenhinol The Officers, Society Fund Royal Welsh Club 65,714 158,8281 28,807 2,272,392 2,400 18,7681 6,368 4,265 3,357 15,856 1,015 112,3881 13461 180,3301 7,733 4,026 2,244,321 84,985 6,368 28,807 2.284,151 At Gains and 31 Mar 202 losses At 1 Apr 2023 Income Expenditure Transfers Benevolence fund 2,125,523 The Regimental Journal- Y Cymry Brenhinol The Officers, Society Fund Royal Welsh Club 77,122 158,8521 92,906 2,236,699 1,360 19,8181 8,458 7,110 2,785 10,850 1,454 113,6951 18821 183,2471 4,265 3,357 2,135,418 90,786 8,458 92,906 2,244,321 26
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Financial Statements (¢onlit)ue Year ended 31 March 2025 21. Analysis of charitable funds (continued) Welfare fund The fund represents income which can only be spent on specific items which fall under the welfare restricted fund category. Benevolence fund The fund represents income which can only be spent on specific items which fall under the benevolen restricted fund category. Examples of qualifying expenditure include repairs and adaplalions to ex-service men and women's homes, assistance with mobility and assistan with priority debt such as rent arrears or light and healing costs. The Regimental Journal- Y Cymry Brenhinol The is the Regimental Journal of the Royal Welsh. It is produced annually and is a full colour, 100+ page magazine. The journal is distributed to regular and reserve officers and soldiers, comrades, regimental bereaved widows and their families and other key people in Wales. usually has a circulation of 1,500 copies. The Officers. Society The Officers, Society organises lunches and dinners with the main event being the Annual Dinner, usually taking place in November in Cardiff. Royal Welsh Club The Royal Welsh Club is a reslricled fund which represents income and expenditure in respect of mental health and wellbeing. The club aims lo provide support to veterans and organise get togethers and events such as coffee mornings for veterans lo meet and discuss any issues they may be experiencing. 22. Analysis of net assets between funds Unrestricted Funds Restricted Total Funds Funds 2025 Investments Current assets Creditors less than 1 year Net assets 1,000,787 2,330,316 3,331,103 26,778 128,530 155,308 16,6351 1174,6951 1181,330} 1,020,930 2,284,151 3,305,081 Unrestricted Funds Restricted Total Funds Funds 2024 Investments Current assets Creditors less than 1 year Net assets 1,004,847 56,373 17,3141 1,053,906 2,171,027 79,926 16,6321 2,244,321 3.175,874 136,299 113,9481 3,298,227 27
The Royal Welsh Regimental Welfare and Benevolence Foundation Charitable Incorporated Organisation Notes to the Detailed Statement of Financial Activities Year ended 31 March 2025 23. Financial instruments The carrying amount for each category of financial instrument is as follows.. 2025 2024 Financial assets that are debt instruments measured at amortised cost Financial assets that are debt instruments measured at amortised cost 240,027 146,243 Financial assets that are equity instruments measured at costloss impairment Financial assets that are equity instruments measured al cost less impairment 3,184,204 3.165,930 Financial liabilities measured at amortised cost Financial liabilities measured al amortised cost 13,271 13,946 24. Analysis of changes in net debt At At 1 Apr 2024 Cash flows 31 Mar 2025 Cash at bank and in hand 118,068 11,7111 116,357 28