A Powys-based charity that has supported vulnerable people across Wales for 40 years has been forced to close its doors due to a social care funding crisis.

Cymryd Rhan (Taking Part), which operated primarily in Llanidloes and served regions like Flintshire, Wrexham, Ceredigion, Merthyr, and Powys, ceased operations on March 31, after exhausting its financial reserves.

The charity, which had assisted around 2,000 people, provided essential support to help vulnerable individuals stay in their homes, relieving pressure on the already strained NHS.

It was originally set up by a group of parents whose children had finished their special education and were struggling to find opportunities for them.

However, over recent years, the organisation faced growing difficulties as it was forced to return care contracts to councils due to inadequate funding, unable to meet the required standards with the financial support provided.

Now the charity has closed because of the funding headache, with bosses saying “enough is enough”.

In a statement, Chief Executive Nick Evans expressed frustration with the ongoing underfunding of social care services.

“We are being placed in a position to live with underfunding but also to meet the same expected requirements under the regulations of quality and monitoring," he said.

"So Cymryd Rhan has decided enough is enough because we can no longer guarantee our ability to do the right thing for people.

"So, the decision and the recommendation I made to our board of trustees is that we should stop, it’s as simple as that.”

The charity’s closure will have a significant impact on its current clients. Mr Evans confirmed that efforts are being made to transfer care for the 300 individuals still supported by the charity to other service providers, while the charity's reduced staff of 25 will be downsized further, with five redundancies expected.

Mr Evans said the funding problems came to the fore a few years ago when the charity had to hand its contracts back to Wrexham Council or risk going bust.

The charity said at that time the fees paid by the council were so low that it faced an annual loss of more than £100,000 if the contracts carried on.

Care Forum Wales chairman Mario Kreft MBE said: "The news that Cymryd Rhan is being forced to call it a day is tragic but sadly all too predictable given the chronic underfunding of the social care sector.

"It defies logic that a local authority expects a charity, or indeed any care provider, to operate at a loss."

Mr Kreft continued: "Regrettably, Cymryd Rhan’s situation is not an isolated case. We have long warned of an unjust postcode lottery of fees with local authorities and health boards, with an ever widening North-South divide which has seen local authorities in North Wales paying irresponsibly low fees.

“In the meantime, care homes, nursing homes and care providers across Wales are closing or withdrawing from contracts because they simply cannot afford to continue at the current levels of funding,” he said.