September 2006
Mapping of the Third Sector in Gwynedd

This extremely important piece of work was commissioned by Mantell Gwynedd in 2006.

Financial support for this project was obtained from Cyngor Gwynedd (Chief Executive’s Department and Older People’s Strategy), Welsh Development Agency, (North and Mid Wales) and Gwynedd Local Health Board. Mantell Gwynedd itself made a significant financial contribution out of its reserve funds towards the cost of the project and also managed and co-ordinated the entire process.

Menter a Busnes were commissioned in January 2006 to undertake the work and the process of collecting data commenced in February 2006.

The purpose of the work was to look at the size and extent of the Third Sector in Gwynedd and its overall contribution to the county’s extended economy.

The process was extensively thorough and consultation groups and meetings were set up throughout Arfon, Dwyfor and Meirionnydd. Questionnaires and face to face consultations were all part of the process prior to the breakdown of all the data collected which then formed the basis of this extensive report with clear and precise conclusions.

The work took almost twelve months to complete and the report entitled ‘Our Gwynedd : Mapping the Third Sector in Gwynedd’ was finally published in October 2006.

The Executive Summary clearly notes the main findings:

2. Executive Summary

2.1 There are 1,131 third sector organisations located in Gwynedd..

2.2 They employ 1,810 workers, of whom 792 are employed full-time. The part-time posts are equivalent to a further 305 full-time appointments, so that the total full-time equivalent is 1,097 posts. Based on the county's employed population of 49,700, the third sector therefore accounts for at least 2.2% of the entire Gwynedd workforce.

2.3 Based on average weekly earnings in the county, the estimated economic contribution of the third sector in Gwynedd, in terms of direct employment, is £20,462,000 per annum.

2.4 There are at least 23,000 volunteers in the county, each of whom, on average, volunteers for 2.41 hours per week. The work done by theses volunteers amounts to the equivalent of 1,481 full-time posts. Again, based on average weekly earnings in the county, the estimated contribution of third sector volunteers to the economy of Gwynedd amounts to at least £27,600,000 annually.

2.5 The third sector in Gwynedd spends £21,107,000 annually on goods and services purchased from local suppliers within the county.

2.6 The organisations in the sample which are located in Gwynedd provide a total of 307,000 instances of benefit (i.e. when an individual benefits directly from an organisation’s activity). Organisations which are only active in Gwynedd provided 175,000 instances of benefit. More than 46,000 of those are located in the care, health and welfare sector and 42,000 in the leisure sector. Many residents of the county are therefore likely to be the beneficiaries of more than one organisation.

2.7 During the past year, the third sector in Gwynedd has assisted 933 people to move out of economic inactivity into employment. This represents 6% of the entire economically inactive population in Gwynedd. The organisations had directly employed 254 of the people who had been economically inactive during the twelve months prior to completing the questionnaires; and 679 of the volunteers who had been economically inactive prior to volunteering with the organisations, had subsequently gone on to find employment.

2.8 The annual income of the third sector in Gwynedd amounts to more than £38,845,000.

2.9 round half of the organisations receive part of their income from the public purse, with more than a third receiving some income from the local authority. More than half of those receiving local authority income depend on grants for more than half their funding. This highlights the key role of Gwynedd Council in ensuring the financial viability of the bodies concerned, and the Council's important contribution as the mainstay of the third sector within the county.

2.10 The younger third sector bodies in Gwynedd are generally more dependent on grants, compared to long-established organisations.

2.11 While the third sector in Gwynedd owns assets valued at £80,480,000, a high percentage of the organisations said that they needed new or refurbished premises, better suited for their purposes.

2.12 A mere 29% of organisations were using any technique to assess or evaluate their social contribution. This study does not attempt to ascribe any financial value to that wider contribution to the communities within the county.

2.13 The main impediments to the development of the third sector in Gwynedd are funding issues, time resources and a scarcity of volunteers. This is reflected in the sector's support needs, where financial assistance and help with the recruitment of volunteers head the list. Also identified are the need for marketing support, computer support and equipment, training for volunteers, and health and safety training.

2.14 Historically, the great majority of third sector organisations in Gwynedd have been registered charities, but that tendency is now changing. The legal status of the newer organisations tended to be more varied; they were more likely to be companies limited by guarantee, and a high proportion also were unincorporated associations.

2.15 A higher proportion of the newer organisations saw a more definite role for themselves in the context of local regeneration, compared to the longer-established organisations. This suggests that the more recent organisations within the third sector in Gwynedd are more conscious of the harder outputs of their work, and their wider social and economic impact on the area.

2.16 More recently-established organisations provide services covering a wider range of activities, compared to the older organisations. A number of these services are in the growth sectors which will play an increasingly central role in the economic development of Gwynedd in future years.

2.17 Several organisations stated their desire for better access to current information about sources of grant funding. It was felt also that grant providers should be more prepared to fund core costs, to offer longer-term grants, and to continue to fund work which is already seen to be succeeding.

2.18 There is a strong recognition among organisations that the funding climate has changed substantially, and an increasing number are prepared to consider generating more of their income themselves through commercial activities whenever possible. Even so, a number of officials said they were having difficulty convincing their trustees of the advantages of so doing. Time constraints on staff and volunteers were also an impediment in this regard.

2.19 Succession was a matter of great concern to a number of organisations, some of which openly declared that their work was likely to cease within a few years unless a way could be found to ensure a new influx of volunteers. This has serious implications, not only to the sector within the county but also to other service providers, including the local authority, who will have to fill any gaps which are created.

2.20 Organisations in the sector are greatly interested in learning more about measuring the social and economic effect of their work. Doing so would not only help to underline the value of the sector, it would also be a valuable tool for attracting more resources to support its work - human resources as well as financial. It would also encourage organisations to work more purposefully to expand and develop their contribution.

2.21 The third sector in Gwynedd is keen to secure a key role in meeting many of the requirements of the Assembly Government's agenda, Making the Connections. This is seen as laying a strong foundation for growth in the sector in future years.

2.22 The sector believes that there would be advantages in developing stronger networks within the county's regions (i.e. Arfon, Meirionnydd and Dwyfor). Naturally, they looked to Mantell Gwynedd to facilitate this.

2.23 The third sector in Gwynedd is keen to develop a closer relationship with the private sector within the county. Doing so would secure more resources and create training and mentoring opportunities, as well as helping the organisations to improve their business skills. More practical collaboration could provide the basis for a new relationship for delivering public services in future years.

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