News
Questions over Welsh Government’s £668m third-sector spending
Where does the money go?
THE WELSH GOVERNMENT’s use of third-sector bodies and grant funding has created an unaccountable network of supposedly “independent” bodies that rely on public funding for their survival. Welsh Government accounts indicate that, at a time when public spending is under extreme pressure, the Welsh Government shovelled out over £688m in grants to third-sector bodies.
The sums involved are huge. Putting the £668m allocated to the third sector in 2024 in further context is instructive. That sum is £126m more than the Welsh Government allocated to the whole Economy budget (capital plus revenue) and over £230m more than it allocated to the Rural Affairs budget in 2023-24.
THE DATA
One set of key data shows payments made by the Welsh Government with a value of over £25,000. We examined that data, which does not capture all Welsh Government grants to third-sector bodies.
In one month, August 2024, and looking only at transactions over £25,000, the Welsh Government made cash grants to third-sector bodies totalling almost £5.5m. The same month, it made further capital grants of over £4.7m to Wales’s third sector.
However, that is not the end of the story. The Welsh Government also makes grant payments to private sector bodies and what it euphemistically calls “sponsored bodies”. Sponsored bodies are arm’s length bodies of the Welsh Government, such as the Arts Council Wales or Natural Resources Wales. Those bodies also award grants to third-sector bodies.
THE MONEY TRAIL

In effect, the Welsh Government gives grants to bodies to give grants to other bodies, who, heaven knows(!), might well give grants to other bodies. At every stage of that process, the grant scheme’s administrator will extract an administrative charge. That means that if every grant administrator in a simple chain extracted a 10% admin fee, the value of what reaches the end of the grant line has been reduced.
Suppose NRW gets a grant pot of £1,000,000. It distributes it in ten equal portions to ten different third-sector bodies. It charges a 10% admin fee for the grant process. £900,000 hits the second stage. That is £90,000 each. Now, the second stage grant administrator must filter down that money to a final end user. It charges a 10% admin fee. It allocates the cash in equal instalments to another ten bodies. The amount it disburses is, therefore, £81,000. Of the original £1,000,000, almost £200,000 is lost in admin costs.
That is a crude example, but consider this: the Welsh Government, NRW, the Arts Council for Wales, and the Welsh Council for Voluntary Action all appear as separate funders on several charities’ or NGOs’ websites. That is a duplication of effort and bureaucratic waste writ large.
Now, consider that across 428 organisations and £668m in funding. The potential waste is staggering and raises questions about transparency and allocation priorities.
Going back to August 2024, the Welsh Government also made grants of £240,000 to the Wales TUC and of £400,000 to Cardiff Airport, both scheduled under “grants to the private sector”.
THE GRANT MACHINE
A key challenge in scrutinising these data lies in their density and recording method.
The Welsh Government cannot provide a breakdown of every line item it allocates to third-sector bodies within the scope of a Freedom of Information Act request as the number of organisations involved and the number of individual grants is too large to capture. To address that issue, we focused on one organisation: The Welsh Council for Voluntary Action (WCVA).
The WCVA is the national membership organisation for the third sector and volunteering in Wales. It provides services and support to charities, community groups, voluntary organisations, social enterprises and volunteers.
In the ten months of 2024 for which the figures are available, and bearing in mind only expenditure over £25,000 is recorded, the WCVA received over £23.25m from the Welsh Government.
To get an idea of what the missing two months’ data might look like, we checked the previous year’s figures. That adds another £3.1m to the ten-month total.
There is no suggestion that the WCVA engages in sharp practice or is doing anything wrong. However, the money it receives as grants from the Welsh Government is public money, but the public has no say over where it goes or what it’s spent on. However, the Welsh Government does. Funding comes from defined pots for defined purposes that advance Welsh Government policy priorities. The bodies to which the WCVA makes grants, the amount they receive, and the purposes for which they are put are unidentifiable in the WCVA accounts. We can, however, say with certainty that there is little or no democratic accountability about where that money goes.
Even though the Welsh Government directs which funding pot gets the dough, ministers are not accountable for it. As we shall examine next week, the third sector operates alongside the public and private sectors and competes with both for scarce public money.
Community
Weather presenter spotted filming in Pembrokeshire
A WELL-KNOWN Welsh weather presenter was spotted in Pembrokeshire as he filmed scenes for a new series celebrating the county’s coastline.
Derek Brockway, who has been a familiar face on BBC Wales since 1995, was in St Davids recently working on another instalment of his popular walking series along the Pembrokeshire Coast.
Local resident Thomas Tudor said it was “lovely” to meet the broadcaster during filming, posing for a photograph alongside his mother, Beryl Tudor, and sister, Bethan Thomas Price.
Brockway, who is based at BBC Cymru Wales in Cardiff, is widely known not only for his weather forecasts across television, radio and online, but also for his programmes showcasing Wales’ landscapes and coastal paths.
The latest filming in St Davids is expected to form part of an upcoming series highlighting the natural beauty and walking routes of Pembrokeshire, an area long regarded as one of the jewels in Wales’ tourism crown.
Ministry of Defence
Defence families in Wales to save up to £6,000 under new childcare scheme
A MAJOR new childcare support scheme for Armed Forces families will be rolled out across Wales from September 2026, the UK Government has announced.
The initiative is expected to save eligible families up to £6,000 per child each year, providing a significant boost to household finances amid ongoing cost-of-living pressures.
The scheme will be delivered through the Ministry of Defence’s existing Early Years childcare reimbursement system and will bring Wales in line with the level of support already available to forces families in England.

Ministers say the move is part of a wider effort to improve recruitment and retention in the Armed Forces, with childcare costs identified as a key pressure affecting morale.
The new support will cover children from nine months old until they reach three years of age in Wales and Scotland, and up to four years old in Northern Ireland.
Defence Secretary John Healey MP announced the scheme during a visit to Dreghorn Barracks in Edinburgh.
He said: “Our Armed Forces families are at the heart of our nation’s security. As the demands on defence increase, it is right that we step up our support for those who serve.
“This offer will ensure more military families get the childcare support they need, wherever they are posted.”
Secretary of State for Wales Jo Stevens added: “Service families in Wales make huge sacrifices and deserve the best possible support.
“They contribute not only to our national security but also to the Welsh economy. This scheme delivers meaningful help with the cost of childcare.”
The scheme will reimburse the difference in early years childcare costs for eligible working families. To qualify, both parents must be in employment and meet the income thresholds required for a Tax-Free Childcare account.
Hundreds of families across Wales are expected to benefit.
The announcement forms part of a broader package of support introduced since July 2024, including improved military housing, the largest Armed Forces pay rise in two decades, and plans to strengthen the Armed Forces Covenant in law.
Further details will be provided in the coming months, with families encouraged to begin considering childcare arrangements ahead of the scheme’s launch.
Community
Broad Haven volunteers secure ‘national asset’ status for nature reserve
A SMALL stretch of woodland and former opencast coal mine has been transformed into a nationally recognised biodiversity site, in a major first for Wales.
The Slash Pond Community Nature Reserve has been awarded ‘Naturfa’ status, becoming the first community-managed site in Wales to receive the designation.

The recognition, confirmed by Deputy First Minister Huw Irranca-Davies, classifies the reserve as an “Other Effective Area-based Conservation Measure” (OECM). This means the volunteer-led work of the Support the Boardwalk group will now contribute directly to Wales’ 30×30 target – the global commitment to protect 30% of land, freshwater and sea for nature by 2030.
In a further boost, the site has also been included in the National Forest for Wales, recognising its role in strengthening a connected network of woodlands and habitats across the country.
Once a simple local walkway, the Slash Pond has developed into a thriving wildlife haven. The reserve now supports a wide range of species, including critically endangered European eels, otters, ten species of bat, and more than fifty species of birds, alongside diverse aquatic plants and insects.
Huw Irranca-Davies said: “These special places are a testament to the care and dedication of people working on the ground – securing a legacy for future generations. Nature can only thrive where habitats are resilient, protected and effectively managed.”
The new status is expected to unlock future funding opportunities, supporting long-term plans for maintaining the boardwalk, monitoring biodiversity and water quality, installing new signage, and expanding environmental education work with Broad Haven Primary School and the wider Havens community.
Andy Drumm, a volunteer with Support the Boardwalk, said: “We’ve always known how special the Slash Pond is, but this recognition puts it firmly on the map as a national asset. It’s a tribute to years of hard work and shows that local communities can lead the way in tackling the nature crisis.”
To mark the achievement, a Spring Family Fun Day will take place on Friday (May 9) from 1:00pm to 4:00pm at the Slash Pond car park.
The event will feature guided nature walks, pond dipping, a wildlife treasure trail, live music, and family activities including crafts and face painting. The official unveiling of the Naturfa certificate and new reserve branding will also take place, alongside the launch of a new book, From Culm to Calm: A History of the Slash Pond by local author David Meanwell.
Karen Riggs, a long-time volunteer, said: “This achievement belongs to everyone in Broad Haven who has supported the site over the years. We’re not just celebrating a new title – we’re celebrating what our community has built together.”
The day will also see the installation of new benches at the observation decks and the launch of a floating island habitat to support wildfowl and other bird species. Visitors will also be invited to share feedback on plans for an improved picnic area designed to withstand local flooding.
Naturfa is a Welsh Government initiative recognising areas outside traditional protected sites, such as SSSIs, that are managed in ways which deliver long-term benefits for biodiversity.
The Slash Pond Community Nature Reserve is managed by the Support the Boardwalk group in partnership with The Havens Community Council, and is maintained entirely by volunteers.
Further information and updates are available via the Support the Boardwalk Facebook page.
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