Annual report and accounts 2024-2025

Chair’s foreword

As I come to the end of my seven-year tenure as Chair of Natural Resources Wales, I look back on a period shaped by extraordinary challenges and a shared determination among colleagues to meet them head-on.

The COVID-19 pandemic reshaped how we worked and tested our ability to stay connected to those we serve. In response, I was proud to chair the Green Recovery Taskforce on behalf of Welsh Government Ministers, ensuring that nature and climate were at the heart of Wales’ path to recovery.

Major flooding events brought serious impact to many communities across Wales, and NRW worked closely with emergency services, local authorities and other partners to support those affected and strengthen future resilience. These events underscore the importance of joined-up action, and we have since continued to improve our systems and invest in long-term flood schemes.

At the same time, rising public concern about water quality led to national discussions and scrutiny. Ensuring clean and abundant water remains one of the most critical challenges we face, and it continues to be a major focus. Public attention - and media scrutiny - on the performance of water companies has never been higher. We are playing our full part in that, pushing for record levels of investment and strengthening and increasing our frontline capacity for water company regulation. We have also continued to challenge the environmental performance of Dŵr Cymru Welsh Water. Enforcement action was taken against the company in October, and in May 2025 Dŵr Cymru Welsh Water were fined £1.35m. However, following an appeal by Dŵr Cymru Welsh Water, this was reduced to £120k.

In the water sector, strategic planning ahead of each 5-year price review is a key lever for driving environmental investment. In the latest review, concluded this year, we secured £1.7 billion of funding by the water industry in Wales for delivery through to 2030 - an almost sixfold increase from the previous cycles. This unprecedented investment will enable major improvements, bringing lasting benefits to communities and ecosystems across Wales.

This Annual Report sets out what we have achieved during 2024 / 2025, how we’ve delivered against our statutory purpose, and how we’ve used public resources to deliver lasting value for the people, places, and natural environment of Wales. Our work has never been more important. From regulating industry to protecting communities from flood risk, from managing the Welsh Government Woodland Estate to supporting nature recovery, we are helping to create a Wales where nature and people can thrive together.

Change within NRW has been significant. Clare Pillman, our Chief Executive, retired this year after seven years of dedicated leadership. Clare steered NRW through the pandemic, major storms, and the declaration of climate and nature emergencies. Her leadership was pivotal in shaping our 2030 Corporate Plan and setting a bold vision for a Wales where nature and people thrive together. Her legacy will be felt for many years to come, and I thank her for her service. The recruitment process for her successor will shortly be underway, and in the meantime, Ceri Davies will continue to serve as Acting Chief Executive.

We welcomed three new Board members - Dr Hushneara Begum, Dr Rebecca Colley-Jones, and Adam Taylor - who are already making an excellent contribution. I’d also like to express sincere thanks to Dr Rosie Plummer and Geraint Davies, whose terms came to an end, for their expertise and commitment over many years.

We have implemented a wide-reaching organisational restructure as part of our internal Case for Change. This marks a significant step in strengthening our foundations – ensuring we are fit for the future and better positioned to deliver our purpose with greater clarity, agility, and impact.

Through all this, our people remained focused on delivering our mission. I would like to thank our staff for their continued dedication, professionalism, and resilience. They embody NRW’s values of connected, bold, caring and resourceful. Their work is making a real difference - from frontline regulation and emergency response to scientific research, forestry operations, and community engagement.

We remain deeply grateful to our partners and stakeholders across government, industry, civil society, and local communities. Their support, challenge and collaboration are essential as we tackle the complex and interrelated challenges of climate change, biodiversity loss and pollution.

Looking ahead, the context in which we operate will keep evolving - scientific knowledge, technological innovation, financial pressures, political priorities, and societal expectations will all continue to shift. But our direction of travel is clear. We are strengthening our foundations and accelerating delivery at the heart of our mission: for nature, for climate, and for pollution minimisation - through to 2030 and beyond.

As I step away, I do so with immense gratitude - for the people I’ve worked alongside, for the trust placed in NRW, and for the opportunity to help shape a more sustainable and resilient Wales. It has been the honour of my professional life to serve as Chair. I’ve learned that it is through listening, partnership, and long-term thinking that we make the biggest difference.

Finally, I would like to warmly welcome my successor, Nilesh Sachdev, who will take up the role on 1 November. He brings with him a wealth of experience in the environmental and forestry sectors and will lead NRW into the next chapter with skill and insight.

We have much to be proud of - and much still to do.

Sir David Henshaw, Chair - 28 October 2025

Auditor General for Wales: The maintenance and integrity of the Natural Resources Wales website is the responsibility of the Accounting Officer; the work carried out by the auditors does not involve consideration of these matters and accordingly auditors accept no responsibility for any changes that may have occurred to the financial statements since they were initially presented on the website.

Download a copy of our Annual report and accounts 2024/25

Annual report and accounts 2024/25 (PDF)