Key risks and challenges

We have robust procedures in place to manage organisational risk. Our Risk Register ensures that areas identified are closely scrutinised and regularly reviewed by management. We provide further information about risk management in our Annual Governance Statement.

The majority of the risks in the Risk Register are ongoing risks, however, the following are considered to be particularly pertinent for the coming year:

• The financial constraints within which we operate (as an organisation whose core work is funded by registration fees) mean that it is essential for us to maintain good financial governance. Our registration fees have not changed since we were established in 2015, and we strive to maintain fees at as low a level as possible. We seek to achieve a balance between holding sufficient reserves to ensure our sustainability, whilst providing the highest level of service in fulfilling our statutory duties. We regularly review fee levels and reserves of other regulators.
• In March 2024, Welsh Government announced that it would not be providing registrants with a contribution towards their annual registration fees (known as a subsidy) during 2024-25. We continue to work with Welsh Government to consider potential future funding models and their implications.
• We are in the process of upgrading our registration database to provide a comprehensive self-service system for registrants, employers, and the public. We will closely monitor the progress of this project and ensure there is no interruption to service.
• Cyber security issues constitute a global threat and organisations are susceptible to risk on an ongoing basis, irrespective of size or business type. We have a range of measures and safeguards in place to maintain the security of our IT network and the data held within it. These mechanisms will be monitored and further enhanced as necessary.