The trustees present their annual report and financial statements for the year ended 31 March 2025.

The financial statements have been prepared in accordance with the accounting policies set out in note 1 to the financial statements and comply with the charity's governing document, the Companies Act 2006 the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)".

1.1 to promote sustainable development through the equitable and effective management of water resources for the benefit of the public by:

1.1.1 the preservation, conservation and protection of the environment and the prudent use of resources;

1.1.2 the relief of poverty and the improvement of the conditions of life in socially and economically disadvantaged communities;

1.1.3 the promotion of sustainable means of achieving economic growth and equitable water resource use;

1.2 to advance the education of the public in subjects relating to sustainable development and the protection, enhancement and rehabilitation of the water environment, and the sustainable management of water resources in any part of the world, and to promote study and research in such subjects in any part of the world;

1.3 to relieve poverty, ill health, and human suffering, reduce conflict and promote sustainable development and the conservation of biodiversity through the promotion of equitable and effective water resource management;

1.4 to advance understanding and education concerning the effects and causes of poverty, ill health, human suffering, conflict, and the loss of biodiversity, particularly in relation to the management and regulation of water resources in any part of the world;

1.5 research, development, investigations, and analysis in connection with water resources and the management, regulation, or performance of such resources in any part of the world, including the socio-economic impacts of water resources and their uses;

1.6 the development, identification and promotion of best practice and effective tools for water resource regulation, dialogue, and conflict resolution;

1.7 research and development in connection with certifiable standards for sustainable water resource management;

1.8 advocacy, communication, and campaigning to promote the interests of the poor, the powerless and the environment, and to provide an objective commentary and critical analysis of water resource management in any part of the world;

1.9 the provision of sources of information and education together with training services in respect of water resource management in any part of the world;

1.10 the provision of strategic and operational support to other organisations in order to achieve improved performance and accountability in water resource management and to engage in relevant strategic collaborations in any part of the world;

1.11 the provision of mediation and broker services in respect of conflicts involving water resources;

1.12 to engage in other charitable purposes.

This reporting period has once again been a very busy one with several key highlights. These include the launch of the Fair Water Action Fund at Stockholm World Water Week. The FWA Fund already funds six projects that benefited over 273,000 people. In Tanzania, the Fair Water Futures programme influenced national water policy, mobilising TZS 4.8 billion for water source protection, improving access for more than 200,000 people, and reducing river pollution, as well as amplifying voices of women and youth in decision making. In Malawi, the Water Stewardship Programme addressed corporate responsibility after flooding linked to the Illovo Sugar plantation and facilitated the Malawi Water Security Leadership Forum, aligning over 100 leaders on SDG-aligned priorities. Scoping studies in eight countries identified systemic reforms in governance, regulation, corporate practice, and sector-specific interventions. In the period under review, Tanzania also committed to the Glasgow Declaration and interest from other nations growing.

Highlights include the innovative approach taken in the BASIN project, applying behavioural science to improve inclusive water security in Tanzania and Malawi. BASIN and the Climate Just Communities Fund programmes continue to strengthen WWI’s climate resilience work, demonstrating the clear links between water justice and climate justice. WWI also advanced advocacy, corporate accountability, and global dialogue on water security through parliamentary briefings, media coverage, and high-profile events including Stockholm World Water Week and the Just Transitions Leadership Forum.

Against our objectives outlined above and in line with our strategy the following activities described below were carried out between April 2024 and March 2025, organised by strategic workstream.

a}Accountable water governance

1.1 Accountability for Water Research Programme (Kenya, Tanzania, Ethiopia, Zambia) (Hewlett Research)

This year significant progress was achieved across the programme. The most notable milestone was the successful launch of the Fair Water Action Fund at Stockholm International Water Week, which included multiple high-profile events, attracting great interest from global stakeholders. Following the launch, nearly 100 applications were received, with six projects selected for funding, two of which are supported by AfW, benefiting over 273,000 people across Africa. Additional achievements include establishing a dedicated fund webpage for the FWA Fund, building a pipeline of potential new projects to fund and securing further contributions from the Swedish Postcode Foundation and FCDO. Outreach efforts also expanded this year, with strategic think-shops in Zimbabwe and Zambia fostering multi-stakeholder engagement and action planning on water accountability. Despite staffing changes and some Phase II delays, mitigation measures such as the appointment of a Director of Research and Policy have strengthened delivery capacity. WW also contributed to the design of the Accountability for Water Masterclass delivered by PASGR. Water Witness worked with partners to prepare for dissemination of Phase I research. Working closely with Ethiopian and Tanzanian partners, WW co-designed and secured approval for action research plans on issues such as water pollution and utility accountability, endorsed by National Advisory Groups to strengthen citizen voice and improve sector performance.

1.2 Fair Water Futures / Uhakika wa Maji Tanzania (Hewlett Main)

The Fair Water Futures programme in Tanzania completed significant work to strengthen water governance and climate resilience. Key achievements include influencing national planning policy for participatory planning, equitable water allocation, pollution control, safe WASH services, and climate resilience and contributing to the 2022 amendment of the Water Resources Management Act and promoting the theme “Water Security is National Security.” This resulted in mobilizing TZS 4.8 billion for water source protection and convening multi-stakeholder forums for local budgeting and planning. An important part of the programme has been improving water access for ~200,000 people in Morogoro, Kilosa, and Dar es Salaam, reducing Ngerengere River pollution, and reaching 124,000+ people via media and community engagement. Ensuring voices of women and youth are heard in water governance has been achieved through training, advocacy, and communication strategies, leading to their greater participation in public dialogue to address critical challenges like pollution, shortages, conflicts, and environmental degradation. Key achievements include improved water infrastructure in Morogoro, Dar es Salaam, and Mbwade Village, pollution control benefiting 298,000+ people, and awareness campaigns reaching 225,000+ people. Conflict resolution initiatives in Kilosa fostered cooperation between pastoralists and farmers, restoring trust and equitable water access. Overall, the programme amplified community voices, improved water ccess, reduced conflicts, and fostered systemic, evidence-based change for equitable and sustainable water governance.

Shahidi wa Maji secured the Ministry of Water’s intent to join the Glasgow Declaration for Fair Water Footprints and promoted global alignment on sustainable water use at forums like the Pan-African Implementation and Partnership Conference on Water (PANAFCON-3). Corporate engagement was strengthened through forums, private sector investment in urban water resilience, and risk assessments in key basins, revealing significant business exposure to water risks. These efforts fostered partnerships, including Public Private Partnership opportunities with the Dar es Salaam Water Supply And Sanitation Authority (DAWASA), and encouraged improved water stewardship, aligning business interests with sustainability and climate resilience goals.

This year Shahidi wa Maji (SwM) launched a new strategy, positioning the organisation as a thought leader at national, and global levels. A comprehensive resilience plan improved sustainability through a robust fundraising strategy that mobilized TZS 3.54 billion (USD 1.3 million) for climate resilience, gender and water rights, and accountability initiatives; strengthened partnerships and networks; advanced staff development and succession planning; and enhanced strategic communications, solidifying SwM’s influence and institutional stability.

2. PROGRESSIVE FINANCING

In 2023-24, WWI presented "Time for Transformative Action on Water: Evidence from the Ground" to a group of financial institutions at an event hosted by Baillie Gifford in Edinburgh. This event brought the investment community together in Scotland to discuss how and when they address environmental and water challenges. Next steps to follow up include developing a suite of papers on barriers to FWF ( incl. trade, legal, supply chains) in the financial sector and opportunities to address these.  

In Tanzania, research on tax justice revealed TZS 6.99 trillion in annual losses from illicit financial flows, tax evasion, and corruption, funds that could more than double the water sector budget, informing calls for stronger fiscal accountability and equitable taxation

3. REDEFINING CORPORATE RESPONSIBILITY

3.1 Malawi Water Stewardship Programme

In January 2022, the village was flooded in ‘Storm Ana’, causing the deaths of eight people (three of whom were children) and washing away more than 500 homes and destroying livelihoods. 2,500 people were displaced and remain in temporary shelters. Responsibility for the disaster, according to allegations in court documents lodged with the High Court, lies with Associated British Foods (ABF), which owns Malawi’s largest sugar producer, Illovo Sugar, the company that runs the Nchalo sugar plantation on the outskirts of Kanseche village.

3.2 Fair Water Footprints (SDC & FCDO) 

Intensive budget negotiations took place in this reporting period. While funding has been secured for Malawi, funding for Morocco will not continue after March 2026. In January 2025, WW in the UK and Malawi supported the Malawi Embassy Tea Event at the Houses of Parliament in London, facilitating the participation of Hon Minister Mia, Minister for Water and Sanitation, and two tea farmers from the Sukambizi Association Trust (SAT). The Minister and one of the farmers subsequently joined the WW Country Lead to speak about FWF and water stewardship in Malawi at a round table hosted by WW at Chatham House. On 5th & 6th March, WW organised the Malawi Water Security Leadership Forum ‘Bridging the Gap: A Just Transition for Shared Water Security and Economic Growth’ in Lilongwe, Malawi which brought together over 100 leaders and decision-makers from government, business, finance, development partners, academia, and civil society. The aim of the forum was to review progress on shared water security and resilience amid the climate emergency, identify opportunities, challenges, and lessons under the Just Transitions for Water Security (JTWS) Programme as well as agree on shared priorities for collective action, reform, and investment to accelerate inclusive growth and SDG delivery.

Scoping studies have been conducted in Malawi, Brazil, Bangladesh, Zambia, Peru, Morocco, Cote d’Ivoire, and Tanzania. The intended systemic changes include strengthening national coordination mechanisms, introducing policy and regulatory reforms, implementing these frameworks, addressing illegal water use, influencing corporate practices through legal levers, promoting divestment from unsustainable practices, revising the Standard System to incorporate FWF/WASH, and activating trade agreements with complaint mechanisms. The initiative is focusing on specific sectors, including ICT metals and minerals (under scoping), the food sector through WRAP and supermarkets, and fashion and textiles, which is being monitored on a watching brief. The programme’s regional reach extends through networks and platforms such as Don’t Panic, AMCOW PANAFCON, the East African Community (EAC), EU engagement via Chatham House, as well as direct collaboration with ministries and embassies. Notably, the Tanzanian government has expressed its intention to sign the Glasgow Declaration, committing to SDG 6-aligned water security targets. There is also growing interest from OECD countries, Zambia, Kenya, and other potential signatories.

4. CONFRONTING CLIMATE CHAOS

4.1 Behavioural Adaptation of water Security and Inclusion (BASIN) (IDRC)

WWI is implementing the BASIN project on climate adaptation and resilience as part of the Climate Adaptation and Resilience (CLARE) programme, in Tanzania and Malawi. This is in partnership with LSE, WaterAid, UoM, NMAIST, UNU-INWEH, Shahidi wa Maji, and Water Witness Malawi. The project aims to synthesize, assess, and test the application potential of multi-level behavioural science and psychology (BS&P) perspectives to improve inclusive water security for the vulnerable populations. In the period under review, in Tanzania and Malawi baseline studies were completed and  Climate Vulnerability and Capacity Analysis (CVCA) data collected in intervention districts, before which, the Tanzania team provided CVCA training to the Malawi team. The BASIN programme was also officially launched in both countries. A series of insight briefs are being prepared, with topics including an overview of the systems approach and research planning insights. There are potential collaboration opportunities with FCDO in Malawi on integrating behavioural approaches into Disaster Risk Reduction.

4.2 Climate Just Communities Fund (CJC) (Scottish Government)

Due to initial delays by the Scottish Government and the setting up of DAI’s project management office in Malawi, the scoping phase was delayed and shorter than expected. Contracts for the implementation phase were signed in late March 2024. Tier 1 of the project provides technical support to the programme, including seven local development partners (LDPs). Tier 2 aiming to strengthen climate resilience through community-driven approaches in target communities most at risk to the impacts of climate change in Chipananga TA, Chikwawa District. In the year under review, a Participatory Vulnerability Assessment (PVA) was completed engaging 24 Government Field Officers,6 WWM staff, and 808 community members (368 men, 440 women) from 8 target communities, including 80 persons with disabilities, 80 elderly people, and 80 youth representatives. The PVA informed Community Action Plans outlining resources, timelines, and strategies for resilience. The Malawi Advocacy Plan and advocacy indicators have been developed, and a water focused advocacy workshop was held in February 2025 for LDPs from seven districts and 14 government staff as well as key resource people from the water sector in Malawi. Emerging water champions then joined advocacy efforts in the Joint Water Sector Review and were linked with water sector networks (e.g., WESNET, WASH Media Forum) to boost advocacy impact. In Chikwawa, 70 young people received vocational training in carpentry, joinery, tailoring and masonry; three pit latrine blocks (five cubicles each) were installed, benefiting 1,548 male students; a reticulated water system was built serving 2,511 people, with 10 kiosks, a 9-meter tower, and two 10,000-liter tanks; eight boreholes were rehabilitated, benefiting ~2,000 people across four communities and a documentary was produced with DAI highlighting WASH interventions despite challenges from floods. WW continues to play an advisory and oversight role in six districts, with a focus on water governance, accountability, and advocacy, while supporting project delivery in Chikwawa.

5. ACTIVATING PEOPLE (AND POLITICAL) POWER

In February, WWI supported advocacy efforts by the Corporate Justice Coalition, submitting a briefing for parliamentarians on the proposed Business, Human Rights and Environment Bill. This was followed up with a submission to the International Development Committee’s call for enquiry topics, urging an enquiry into the role of UK companies in undermining development aims through their operations and supply chains.  We have also been active in the BOND group coordinating the sector’s response to UK Government ODA cuts.  

The comms team were successful in gaining press and social media coverage on a number of issues in the period under review. This included Channel 4 Dispatches: Coca Cola’s Dirty Secret: where WWI was able to scientifically debunk Coca Cola’s water sustainability and replenishment claims in Malawi and made the link between water risks and supply chains. Our article on Shahidi wa Maji’s Voices of Women and Youth work was accepted and published in the second edition of Africa’s Voice on Water‘s (AMCOW) influential publication ‘Africa’s Voices on Water’. The comms team also supported the project management and delivery of a number of high-level international events on Fair Water Footprints, including the Malawi Embassy Tea Event at the Houses of Parliament in January mentioned above. Also in January, WWI hosted a round table at Chatham House with key stakeholders focusing on Malawi’s leadership on FWF for approx 30 participants. A blog and short film clip of the event were shared.  In March, the comms team supported project management of the High Level Just Transitions for Water Security Leadership Forum in Lilongwe. This trip also included a content trip with the Malawi team to visit the Climate Just Communities and BASIN communities with film clips in development. A film clip for International Women’s Day, featuring women leading water security work across Africa was also produced.  

In February WWI submitted three event proposals to SIWI for Stockholm World Water Week and were successful in all three submissions. In March we agreed a second year of partnership with Edinburgh International Book Festival, and in April agreed the Water Witness event will feature well-loved nature writer Robert MacFarlane, author of Is a River Alive, celebrated Glasgow author Louise Welsh who has campaigned for the River Clyde to be granted personhood, and Maria Ferrera Tinta, a pioneering Peruvian barrister at the forefront of the climate justice movement. We will also host a reception as part of the festival partnership at the Edinburgh Futures Institute.  

Results for the year ended 31 March 2025 are given in the Statement of Financial Activities. The assets and liabilities are given in the Balance Sheet. The financial statements should be read in conjunction with the related notes.

In summary income amounted to £2,021,471 (2024 - £1,217,741) and expenditure totalled£1,729,408 (2024 - £1,185,157) resulting in a net surplus for the year before gains and losses, of £292,063 (2024 - £32,584).

It is the policy of the charity that unrestricted funds which have not been designated for a specific use should be maintained at a level equivalent to 6 months unrestricted essential operating costs as free reserves. The Trustees have agreed that to ensure the resilience of the charity it will continue to build free reserves up to that of at least 6 months operating costs, including key personnel’s salaries over the next 5 years to :

• enable the charity to meet all its legal obligations as far as possible in the event of dissolution;

• support the impact of external funding decisions, especially if cancelled or cannot be secured;

• hold designated or restricted reserves for a particular purpose as identified by the board.

The trustees consider that reserves at this level will ensure that, in the event of a significant drop in funding, they will be able to continue the charity’s current activities while consideration is given to ways in which additional funds may be raised. This level of reserves has been maintained throughout the year.

The trustees will regularly discuss the appropriateness of the policy about the Charity’s ongoing financial position to ensure that there is a strong reserves policy to allow the Charity to maintain its financial stability

At 31 March 2025, £186,679 (2024: £115,886) was held in total as unrestricted reserves, of this, free reserves amounted to £168,669 (2024: £87,065) available unrestricted reserves are defined as total unrestricted funds less unrestricted fixed assets and designated funds.

The free reserves allows the designation of funds to keep adequate provision and allow business continuity of our offices in Malawi and Ethiopia.

At times, the Trustees may at their discretion designate unrestricted funds for essential future spend or purposes. Designated funds will be reviewed annually and be expected to be used within 1 year.

At 31 March 2025 £654,641 was held as restricted reserves (2024: £433,371) to support the programme delivery.

Given the nature of our funding, the greatest risk to the charity's work would come from the significant cuts being made by many countries in their aid budgets, or a change in policy from the donors towards funding the projects in which we are involved. To date we have been fortunate in securing funding in a difficult climate, ensuring our work is relevant and fully represents the needs of people where water security is a challenge.

Other principal risks facing the operation are the loss of key personnel, changes in donor policy/interest, failure to deliver impact/poor project management and instability caused by natural disasters, terrorist activity or political unrest in countries of operation.

The trustees have assessed the major risks to which the charity is exposed, and are satisfied that systems are in place to mitigate exposure to the major risks.

Water Witness will continually review its operations and activities to ensure our programmes and messages are guided by our 2030 Strategy, relevant to our audience, and meet the challenges of the future. 

In 2025 -2026 we will: 

• Continue to ensure a dynamic and agile approach across our work to keep the pace with changing donor landscapes, identifying opportunities and submitting a major proposal to SDC for Fair water Footprints.

• Continue to develop the Fair Water Action Fund, a groundbreaking initiative in the sector. We have built a pipeline of projects and will aim to attract in new donors in the Stockholm World Water Week.

• Develop our fundraising strategy further, extending our fundraising pipeline for Trusts and Foundations.

• Continue to strengthen both our Tanzanian and particularly our Malawian partners to become more autonomous actors in the sector.

• Strengthen the Senior Management Team and organisation through resilience planning to ensure the financial stability and longevity of the charity and continuing to embed positive, healthy, and flexible working practices across the organisation.

• Review the organogram for future growth, further recruiting in key posts in 2025.

• Develop our advocacy initiatives and reach.

• Continue to grow our brand and influence with key public audiences and governments within the UK.

The charity is a company limited by guarantee and is governed by its Memorandum and Articles of Association. The registered office is 3/2 Boroughloch Square, Edinburgh, Scotland, EH8 9NJ.

None of the trustees has any beneficial interest in the company. All of the trustees are members of the company and guarantee to contribute £1 in the event of a winding up.

The trustees, who are also the directors for the purpose of company law, and who served during the year and up to the date of signature of the financial statements were:

The trustees of the charity are also Directors for the purposes of company law and under the charity’s articles are known as Trustees of the Board. There is a requirement to have a minimum of three trustees and presently there are nine trustees who meet on a quarterly basis and have delegated the day-to-day management of the organisation to the Executive Director.

The Board of Trustees is supported by an Audit and Finance Committee to ensure the charity has safe and effective systems of control in place and reports directly to the Board of Trustees. Membership of this committee comprises of representatives from the Board, the Executive Director, and members of the senior Management Team.

Induction and training of new trustees is led by the Chair and Executive Director, this includes:

• The responsibilities and obligations of trustees

• Key documents and policies of Water Witness International

• Meetings with key members of staff

• Current financial position, including the latest financial statements

• Future strategy, plans and objectives

Upon appointment, all trustees are asked to complete a skills audit and register of interests which is reviewed and updated annually.

All trustees are required to disclose relevant interests and register them with the Executive Director and the Chair and there is a standing item on the agenda at the quarterly Board Meetings, to enable trustees to declare any conflict of interest.

Trustees are required to retire from office at the third Annual General Meeting following the commencement of their term of office.

The trustee recruitment process involves advertising our call and role specification through multiple channels, ahead of an informal interview and orientation training. If it is found that the interests and skills of the individual align with the needs identified in our Board skills matrix, then the appointment is put before our board for a vote, as per our Memorandum and Articles.

Senior Management Team

The Executive Director has responsibility for the day-to-day management of the organisation in regard to the strategic direction, financial planning and any delegations set by the trustees. They are supported by the Deputy Director, Director of Communications and Campaigns and the Business Manager to deliver strategic development, engagement with partners, and stakeholders and delivering objectives within funded programmes day-to-day day financial management.

Water Witness is committed to paying its staff a fair salary and in a way which ensures it attracts and retains the right skills to have the greatest impact in delivering its charitable objectives. Remuneration is proportionate to the complexity and responsibilities of each role, and in line with our charitable objectives. Due consideration is given to the organisation’s income, performance, and longer-term forecasts to ensure sustainability.

Salaries are set by the Remuneration Committee and their role is to provide assurance to the Board that Water Witness has a remuneration policy that supports an effective delivery structure to deliver the Strategy, promoting an effective, high performing and diverse workforce.

The Committee’s duty is to oversee issues relating to the remuneration of staff, with specific responsibility for making recommendations to the Board regarding the remuneration policy and the Executive Director and senior management’s remuneration.

Risk management

The Trustees continue to deliver on their duty to identify and review the risks to which the charity is exposed and to ensure appropriate controls are in place to provide reasonable assurance against fraud and error.

The main risk management objectives of WWI are to:

• set out our strategic approach to risk management, embedding risk management within strategic and operational management planning processes;

• integrate an awareness of effective risk management in the culture of the organisation to ensure risks are identified and managed appropriately;

• be aware of, anticipate and respond to changing economic, political, social and legislative requirements;

• prevent injury and damage and reduce the cost of risk;

• raise awareness of the need for active risk management.

These objectives are achieved by:

• developing and maintaining a risk register which details all significant risks which pose a threat to WWI and/or the achievement of its objectives

• assessing both the likelihood of those risks occurring and likely impact of an occurrence

• taking positive action to manage risks (such as putting in place internal controls or mitigating the impact by insurance)

• monitoring and reviewing the risk register on a regular basis

• actively considering risk when planning new activities.

The trustees, who are also the directors of Water Witness International for the purpose of company law, are responsible for preparing the Trustees' Report and the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice).

Company law requires the trustees to prepare financial statements for each financial year which give a true and fair view of the state of affairs of the charity and of the incoming resources and application of resources, including the income and expenditure, of the charitable company for that year.

In preparing these financial statements, the trustees are required to:

- select suitable accounting policies and then apply them consistently;

- observe the methods and principles in the Charities SORP;

- make judgements and estimates that are reasonable and prudent;

- state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

- prepare the financial statements on the going concern basis unless it is inappropriate to presume that the charity will continue in operation.

The trustees are responsible for keeping adequate accounting records that disclose with reasonable accuracy at any time the financial position of the charity and enable them to ensure that the financial statements comply with the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and the Charities Accounts (Scotland) Regulations 2006. They are also responsible for safeguarding the assets of the charity and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

In accordance with the company's articles, a resolution proposing that Thomson Cooper be reappointed as auditor of the company will be put at a General Meeting.

Each of the trustees has confirmed that there is no information of which they are aware which is relevant to the audit, but of which the auditor is unaware. They have further confirmed that they have taken appropriate steps to identify such relevant information and to establish that the auditor is aware of such information.

The trustees' report was approved by the Board of Trustees.

Opinion

We have audited the financial statements of Water Witness International (the ‘charity’) for the year ended 31 March 2025 which comprise the statement of financial activities, the balance sheet, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion, the financial statements:

give a true and fair view of the state of the charitable company's affairs as at 31 March 2025 and of its incoming resources and application of resources, for the year then ended;

have been prepared in accordance with the requirements of the Companies Act 2006, the Charities and Trustee Investment (Scotland) Act 2005 and regulation 8 of the Charities Accounts (Scotland) Regulations 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the charity in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

In auditing the financial statements, we have concluded that the trustees' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the charity’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the trustees with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The trustees are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

We have nothing to report in this regard.

We have nothing to report in respect of the following matters in relation to which the Charities Accounts (Scotland) Regulations 2006 requires us to report to you if, in our opinion:

the information given in the financial statements is inconsistent in any material respect with the trustees' report; or

proper accounting records have not been kept; or

the financial statements are not in agreement with the accounting records; or

we have not received all the information and explanations we require for our audit.

As explained more fully in the statement of trustees' responsibilities, the trustees, who are also the directors of the charity for the purpose of company law, are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the trustees determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the trustees are responsible for assessing the charity’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the trustees either intend to liquidate the charitable company or to cease operations, or have no realistic alternative but to do so.

We have been appointed as auditor under section 44(1)(c) of the Charities and Trustee Investment (Scotland) Act 2005 and report in accordance with the Act and relevant regulations made or having effect thereunder.

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

We considered the opportunities and incentives that may exist within the organisation for fraud and identified the greatest potential for fraud in the following areas: existence and timing of recognition of income, posting of unusual journals along with complex transactions and non-compliance with laws and regulations. We discussed these risks with management, designed audit procedures to test the timing and existence of revenue and tested a sample of journals to confirm they were appropriate. In addition, we reviewed areas of judgement for indicators of management bias to address these risks.

We gained an understanding of the legal and regulatory framework applicable to the charity and the sector in which it operates and considered the risk of acts by the charity which were contrary to applicable laws and regulations, including fraud. This included but was not limited to the Charities and Trustee Investment (Scotland) Act 2005, and the Charities Accounts (Scotland) Regulations 2006.

We focused on laws and regulations that could give rise to a material misstatement in the charity's financial statements. Our tests included, but were not limited to:

• agreement of the financial statement disclosures to underlying supporting documentation;

• enquiries of the Directors and key management personnel;

• review of minutes of board meetings throughout the period; and

• obtaining an understanding of the control environment in monitoring compliance with laws and regulations.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

These inherent limitations are particularly significant in the case of misstatement resulting from fraud as this may involve sophisticated schemes designed to avoid detection, including deliberate failure to record transactions, collusion, or the provision of intentional misrepresentations.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the charity’s trustees, as a body, in accordance with Regulation 10 of the Charities Accounts (Scotland) Regulations 2006. Our audit work has been undertaken so that we might state to the charity’s trustees those matters we are required to state to them in an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the charity and the charity’s trustees as a body, for our audit work, for this report, or for the opinions we have formed.

Thomson Cooper is eligible for appointment as auditor of the charity by virtue of its eligibility for appointment as auditor of a company under section 1212 of the Companies Act 2006.

The statement of financial activities includes all gains and losses recognised in the year. All income and expenditure derive from continuing activities.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

Water Witness International is a private company limited by guarantee incorporated in Scotland. The registered office is 3/2 Boroughloch Square, Edinburgh, EH8 9NJ.

The financial statements have been prepared in accordance with the charity's governing document, the Companies Act 2006 the Charities and Trustee Investment (Scotland) Act 2005, the Charities Accounts (Scotland) Regulations 2006, FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Charities SORP "Accounting and Reporting by Charities: Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102)". The charity is a Public Benefit Entity as defined by FRS 102.

The financial statements are prepared in sterling, which is the functional currency of the charity. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

At the time of approving the financial statements, the trustees have a reasonable expectation that the charity has adequate resources to continue in operational existence for the next 12 months. Thus the trustees continue to adopt the going concern basis of accounting in preparing the financial statements.

Unrestricted funds are available for use at the discretion of the trustees in furtherance of their charitable objectives.

Restricted funds are subject to specific conditions by donors or grantors as to how they may be used. The purposes and uses of the restricted funds are set out in the notes to the financial statements.

Cash donations are recognised on receipt. Other donations are recognised once the charity has been notified of the donation, unless performance conditions require deferral of the amount. Income tax recoverable in relation to donations received under Gift Aid or deeds of covenant is recognised at the time of the donation.

Expenditure is recognised once there is a legal or constructive obligation to transfer economic benefit to a third party, it is probable that a transfer of economic benefits will be required in settlement, and the amount of the obligation can be measured reliably.

Expenditure is classified by activity. The costs of each activity are made up of the total of direct costs and shared costs, including support costs involved in undertaking each activity. Direct costs attributable to a single activity are allocated directly to that activity. Shared costs which contribute to more than one activity and support costs which are not attributable to a single activity are apportioned between those activities on a basis consistent with the use of resources. Central staff costs are allocated on the basis of time spent, and depreciation charges are allocated on the portion of the asset’s use.

Tangible fixed assets over £1,500 are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of financial activities.

At each reporting end date, the charity reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any).

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

The charity has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the charity's balance sheet when the charity becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Basic financial liabilities, including creditors and bank loans are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of operations from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Financial liabilities are derecognised when the charity’s contractual obligations expire or are discharged or cancelled.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the charity is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Staff costs, support costs and governance costs have been allocated on a direct basis or an estimate of time spent.

None of the trustees (or any persons connected with them) received any remuneration or benefits from the charity during the year (2024 -£nil ) nor were paid expenses (2024- £nil).

The average monthly number of employees during the year was:

Redundancy and termination payments totalling £8,736 were made in the reporting period (2024 £nil).

The key management personnel of the charity comprise of the Executive Director, Deputy Director, Director of Communications and Campaigns and the Business Manager. Remuneration of the key management personnel is approved by the Remuneration Committee in accordance with the remuneration policy and approved by the Board of Trustees at the point of any changes made.

The charity is exempt from taxation on its activities because all its income is applied for charitable purposes.

The charity operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the charity in an independently administered fund.

The restricted funds of the charity comprise the unexpended balances of donations and grants held on trust subject to specific conditions by donors as to how they may be used.

The GIZ fund is a project in Tanzania, Ethiopia, and South Africa with grant funding from the Federal Ministry for Economic Cooperation and Development to enable AWS Africa to deliver strategic support through embedding water stewardship in export production zones and business parks, capacity building and supporting stewardship initiatives.

GIZ Funding - Funding from the Federal Ministry for Economic Cooperation and Development to enable Water Witness and AWS Africa to deliver strategic support for equitable, sustainable and resilient water management through embedding water stewardship in export production zones and business parks, capacity building, and supporting stewardship initiatives that secure sustainable water management

The Climate Just Communities Fund(CJC) is funded by the Scottish Government the work aims to identify communities most at risk to the impacts of climate change, engage them to gain community views on local priorities and deliver projects that build resilience for communities while developing skills in communities to make the programme sustainable and embed longer-term impacts. WW will take on an advisory/oversight role in six districts in Malawi and implementing in one (Chikwawa).

Through Climate Just Communities (CJC) funding from the Scottish Government, we are contracted by the lead partner, DAI to identify communities who’s water security and livelihoods are at risk from climate change, to engage them to understand local priorities, and to design and deliver interventions that build local resilience, and which generate lessons for scaling nationally and globally. The programme develops local skills to ensure sustainability and long-term water security. WW provides advice and oversight in six districts, is responsible for direct implementation in Chikwawa, and co-leads learning and advocacy. This contributes to delivery of Water Witness’s strategy to support an effective response to the climate emergency through improved water resilience. Funding has been transferred to support the continued fulfilment of project commitments. This reallocation ensures that resources are available to deliver the remaining activities and achieve the intended outcomes under the agreed service level arrangements.

The BASIN Programme is funded by the Climate Adaptation and Resilience (CLARE) initiative, with funds awarded to Water Witness to apply behavioural science and psychology (BS&P) to improve local and global approaches to water management and climate resilience interventions which target the most vulnerable. Our work examines the barriers and opportunities for climate adaptation from the individual to organisational level, and we are responsible for leading ‘research into impact’ through sharing of key lessons nationally, regionally and globally. The programme plays a key role in delivery of Water Witnesses strategy – through supporting an effective response to climate change, and by guiding effective interventions and advocacy for water security based on a better understanding of human behaviour and decision making.

In collaboration with Industrial Parks Development Corporation (IPDC), Water Witness implemented an emergency 6-month project, funded by GIZ-NatuRes to reduce the morbidity, mortality risks, and social impacts of COVID-19 within and around Hawassa Industrial Park (30,384 workers) and Bole Lemi Industrial Park (19,294 workers). It did so through several preventive strategies, including implementing behavior change activities such as social sensitization and hygiene promotion campaigns, installing handwashing stations, and providing facemasks and hygiene promotion kits to enhance the use of Personal Protective Equipment (PPEs). Kombolcha Industrial Park in the initial proposal was substituted for Bole

The Foreign and Commonwealth Development Office (FCDO) made interim funds available to enable the consortinum for Fair Water Foot Prints could continue to contribute to water and climate security for people, ecosystems and business, and the attainment of the SDGs, by triggering systemic change and collaborative action globally so that by 2040 the water footprint of society is sustainable, resilient, and fair.

The Hewlett Foundation fund provides for Phase III of the Fair Water Futures Program, to strengthen water accountability in Tanzania and stimulate regional practice and learning on the role of social accountability in driving progress on water security globally.

The Hewlett Foundation Planning grant provides funds for planning of research to build knowledge and improve accountability and advocacy practice for a fair water future. This aims to better understand the determinants of citizen action, constructive governance responses and optimal external support for accountability across different contexts. This is followed by a research phase 'Accountability for Water', where the grant is made to the Partnership for African Social and Governance Research (PASGR) and a subgrant made to Water Witness to strengthen knowledge, policy, and practice for accountability in the water sector.

The Swiss Agency for Development and Corporation (SDC) fund is a partnership with Alliance for Water Stewardship, CDP Worldwide; Solidaridad Eastern and Central Africa Expertise Centre on behalf of Solidaridad Ethiopia and Aid by Trade Foundation with grant funding from the Swiss Agency for Development and Cooperation. The goal of the project is to foster improved health, livelihoods and environmentally sustainable growth through preferential investment, purchasing, policy and practice for water stewardship throughout Africa's apparel supply chain."

SDC awarded a £1M Swiss Government funding over three and half years for the Fair Water Footprints Programme (Civil society strengthening, investigations, campaigns, and consumer action to trigger global uptake of water stewardship for shared water security). The Glasgow Declaration for Fair Water Footprints for Climate-Resilient, Inclusive and Sustainable Development was launched at COP26 by 28 cosignatories from Government, civil society, and the private sector

Lemi as it was not safely accessible due to civil unrest in the country’s north. Despite the project encountering severe delays beyond the control of the project, (the required signature of the implementation agreement with Industrial Parks Development Corporation (IPDC) took three months, half the allocated project time), the project was achieved through a change in the project delivery approach with the intensive engagement of Water Witness staff and service providers.

Peter Stebbings donated £15,000 for Akaki River.

The unrestricted funds of the charity comprise the unexpended balances of donations and grants which are not subject to specific conditions by donors and grantors as to how they may be used.

These are unrestricted funds which are material to the charity's activities.These include designated funds which have been set aside out of unrestricted funds by the trustees for specific purposes.

At the reporting end date the charity had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

There were no disclosable related party transactions during the year (2024 - none).

The charity had no material debt during the year.