Third sector resilience fund for Wales – Phase 2 – New Support



In order to be eligible, you must: –

  • Be an incorporated body based in and operating for the benefit of people in Wales
  • Have governing documents containing suitable asset lock and dividend distribution control
  • Have the ability to demonstrate suitable oversight and independence from a qualified and quorate Board with a minimum of three directors or trustees.
  • Have one of the following legal forms: –
    • Company limited by guarantee
    • Community interest company (limited by shares or by guarantee)
    • Community benefit society and other qualifying cooperative models
    • Charitable incorporated organisation
    • Company limited by shares where it is a subsidiary of another eligible legal form
    • Financial mutuals

Unincorporated groups are welcome to apply, but incorporation must be an immediate part of your plans. No funds will be released until you have become an incorporated body.

Further information on the differences between incorporated and unincorporated bodies can be found in this information sheet.

For support in the process you may want to contact your local CVC (County Voluntary Council) or Social Business Wales if you are planning on incorporating. 


Organisations who have previously been funded via the Third Sector Resilience Fund (TSRF) or the Voluntary Services Emergency Fund (VSEF) are eligible for additional funding through Phase 2. However, previous TSRF applicants will have to demonstrate a significant change in circumstances should they require further funding through the Survive strand of Phase 2.

The VSEF is now closed, but organisations are also able to apply to the Voluntary Services Recovery Fund (VSRF) as well as TSRF Phase 2, where appropriate.  VSRF funds specific activities being carried out by organisations in response to the impacts of COVID-19. See webpage for more information –

Where organisations are applying to both VSRF and TSRF Phase 2, checks will be carried out to ensure that there is no duplication of funding.


  • This strand is designed to support those voluntary sector organisations that need financial support to survive the current crisis primarily because of an unprecedented fall in their fundraising and donation income. We realise that many organisations will have a mix of fundraising/donation income and trading income.
  • We understand that the financial support available to organisations impacted by COVID-19 is continually changing. However, if your financial situation is predominately because of a loss in trading income we will expect you to have considered your eligibility for the grant support made available by Welsh Government ( and whether it is a better fit than this funding. There may also be certain sector specific funds available to you e.g. Arts Council of Wales, Sport Wales, etc. However, if there is a reason why you can’t access this support as a voluntary sector organisation then we may still be able to support you.
  • Applicants must be able to demonstrate they have suffered or are about to suffer a significant loss of income as a result of COVID19 factors. After pursuing all other options available to them to reduce costs to the minimum essential for survival of the organisation and having sourced specific support from other funds, a shortfall in cash flow remains
  • There is only a finite pot of money and it cannot be expected to cover 100% of an organisation’s costs during this period. We want the fund to be as accessible and as bureaucracy free as possible, so are not prescribing too many hard and fast rules about the amount being asked for within the ceiling. However, we would ask that organisations respect the fact that this is an emergency fund and only request what they genuinely need to survive, thus enabling us to offer support to as many as organisations as possible
  • There will be a limit to the number of larger awards that we can make and it might be necessary to reduce the scale of individual awards subject to overall demand
  • There is no formal requirement to show evidence of need, but we will be asking what other measures have been taken to minimise the amount being requested. Having unrestricted cash reserves does not preclude an organisation for applying for support, but there is an expectation that a relevant proportion of those reserves will be used in conjunction with the funding being requested in this application as part of your plan for survival. Unrestricted reserves are there to support you on a rainy day, this is that rainy day
  • There is no expectation that an organisation will have to have applied for loan funding to cover essential spend during this period. However, if they deem it appropriate, use of this scheme does not preclude such loan applications being made to support other needs
  • We will be looking for evidence that an applicant was not in financial difficulties prior to the crisis and that the package of measures that it intends to put in place, including this support will keep it in existence for at least the next six months



  • Below gives an idea of eligible and non-eligible costs as they relate to the strand. The list is not exhaustive and what can be covered could be down to very individual circumstances. As a broad rule of thumb they are unavoidable revenue spend: –
Eligible Not Eligible
Staff salaries for those not furloughed and still required for business continuity or service delivery purposes Capital element of repayments on borrowings
Salaries for furloughed staff sufficient to restore their earnings to the National Minimum Wage where the 20% reduction takes them below the threshold Business rates where support is available elsewhere
Salaries for furloughed staff sufficient to restore their earnings to the real Living Wage for Wales where the 20% reduction takes them below the threshold and the employer was accredited as a Living Wage Employer before 1 March 2020 HMRC payments
Rent on buildings where the landlord is unwilling to defer Pension contributions
Interest on existing borrowings
Utility bills
Supplier invoices, including new invoices for continued service delivery
Business rates where no other support available
Insurance premiums
Any costs associated with acquiring the agreed accreditations


Improve & Diversify

Costs should be related to the activity detailed in your proposal.  You will be required to compile a budget during the application process. To be eligible, any spend will need to lead to additional income generation over time or leave a definitive legacy within the business so as it becomes demonstrably more resilient for the future

While the fund is generally aimed at revenue costs, some capital costs can be considered within an overall cap of £5,000. The list below is again indicative rather than exhaustive

Eligible Not Eligible
Staff salaries for new posts related to the proposed activity Existing staff salaries
Marketing costs relating to new activity funded under Diversify or an improved service under Improve General marketing costs
The costs associated with setting up or improving a fundraising strategy including salary for a fundraiser Staff salaries covered by HMG Coronavirus Job Protection Scheme
Costs associated with amending your website to include the ability to make sales / take bookings / accept donations Capital element of repayments on borrowings
Development of a robust impact recording and reporting process Business rates where support is available elsewhere
Related legal costs HMRC payments
Insurance premiums relating to new activity Any costs associated with existing activity
IT equipment needed for new or improved activity (within £5k cap)
Rent on buildings if taking on a new property or minor property improvements (within £5k cap)
Any costs associated with acquiring the agreed accreditations
Interest costs associated with any new borrowings relating to the activity



If you are seeking to collaborate with one or more organisations the lead applicant should submit the application.

Examples could be:

  • Organisations looking to merge back office functions
  • Organisations looking to share a fundraiser or other resources
  • A joint venture on a new trading activity
  • Planning for formal merger

Collaboration with a private company or public sector body is eligible, but only costs incurred by the third sector organisation. We shall require a full schedule of costs for this type of project to ensure that they are being shared proportionately

An agreement will need to be reached as to responsibility for the repayable element of the fund. It could be as simple as the lead applicant accepting that liability itself. Alternatively, organisations collectively benefiting from the funding via collaboration will be individually liable for a proportion of the 25% repayment element of the fund.  Successful applicants will receive an offer letter which must be signed by all organisations and will include a breakdown of the repayable funds indicating liability for repayment.

If you believe that you are eligible and would like to proceed to make an application, please sign in to WCVA’s MAP online portal HERE