Page 47 - Pobl Annual Report FY25

Annual Report 2025 45
Sources of funding
The Group continues to maintain a diversified loan portfolio.
At 31 March 2025, 45% (2024: 40%) of drawn funding was from
private placements and funding vehicles, 47% (2024: 55%) from
bilateral loans with 6 banks (2024: 6) and 7% from Welsh
Government on an interest‐free or low‐interest basis (2024: 5%).
Maturity profile
The Group has limited refinancing risk, with a wide range of maturities on existing facilities. 16% of
the Group’s term loans fall due within the next five years (2024: 17%), while 36% mature in over
20 years (2024: 28%). Terms loans due in 5‐20 years have increased to 49% (2024: 42%), mainly as a
result of the inclusion of Linc’s portfolio and new fixed‐rate medium‐term debt drawn down during
the year. 5% of Group maturities relate to student Private Finance Initiative arrangements where
there is therefore no refinancing requirement (2024: 8%).
£115 million of revolving credit facilities were due to mature in FY25, of which £75 million was
extended to 2030 and £40 million was cancelled shortly after the end of the year. Extension options
are expected to smooth out maturity dates of other facilities over 2028‐2031. At the date of signing
the accounts, there are no revolving credit facilities maturing until 2028.
At 31 March 2025, the Group maintained total liquidity of £350 million (2024: £339 million),
representing £47 million of available cash and overdrafts (2024: £17 million) and £303 million of
committed undrawn facilities available on demand (2024: £322 million).
Interest rate basis
The approach to interest rate risk management is a prudent one. Revolving credit facilities bear
interest at variable rates, but almost all fixed‐term loans bear interest at fixed rates.
At 31 March 2025, 81% of total drawn funding bore interest at fixed rates (2024: 76%).
52% Term
Loans Due
> 15 Years
No RCF
Maturities
until 2028
45%
Capital
Markets
CAPITAL MARKET BANK WELSH GOVERNMENT
UP TO 1 YEAR
2-3 YEARS
4-6 YEARS
7-9 YEARS
10-15 YEARS
16-19 YEARS
20 YEARS & OVER
1 YEAR; CANCELLED
AFTER YEAR END
1 YEAR; EXTENDED BY 5
YEARS AFTER YEAR END
DUE IN 3-4 YEARS
DUE IN >5 YEARS