Ancient cathedral in Britain's smallest city could go bust

St Davids Cathedral could face insolvency within two years and its financial reserves are "dangerously low", according to a new report.

The 6th Century cathedral in the UK's smallest city of St Davids, Pembrokeshire, is visited by 300,000 people every year.

But a report commissioned by Bishop Dorrien Davies has highlighted serious concerns about its future, with the cathedral's financial position described as the "most critical" challenge.

The Church in Wales said the report should be read as an act of encouragement rather than criticism, and that work had already begun to respond positively to its findings.

According to the visitation report, robust and disciplined planning and financial management is needed or the cathedral's ability to sustain its role is at risk.

The report described the cathedral's current financial situation as unsustainable, with "unrestricted deficits [that] have persisted for seven years" meaning reserves are "dangerously low".

The report warned that these challenges, as well as the loss of diocesan support, could lead the Cathedral to "insolvency within two years".

It also highlighted several areas where practice and culture need urgent strengthening with regards to safeguarding.

The relationship with the community was described as distant and restrained, while the Welsh language at the cathedral was described as minimal.

A shortage of volunteers was also noted as a challenge that has placed "increasing strain on daily operations", with staff often covering multiple roles.

The report said there were several factors that had led to the challenges, including visitor numbers remaining below pre-pandemic levels and donations per person being comparatively low.

It also said the Chapter, the body which runs the Cathedral from day to day, were lacking urgency in their response to the ongoing financial pressures and tend to "defer difficult decisions".

In a statement on the Diocese's website, The Right Reverend Dorrien Davies, Bishop of St Davids, said it was important to stress that the report was compiled to assist and enable, not to criticise for its own sake.

He said action had already begun that demonstrates a positive and constructive response to its findings, adding: "Such scrutiny is not a sign of failure, but of care and hope for the future."

The Church in Wales said the visit was intended to strengthen the cathedral's role and ensure the structures supporting its life were strong enough to maintain that testimony for generations to come.

A spokesman said: "It would be a mistake to fail to perceive the fact that positive developments have already resulted from this visit and that the report appreciates what is already happening.

"Therefore, this visit is offered as an act of encouragement - as an invitation to renew, to cooperate more deeply, and to respond with faithful courage."