Crippled by council contracts?
Community enterprises and trust groups that get most of their funding through the provision of services for their local authority could be losing their way, according to Roger Matland, ex-director of the Westway Development Trust.
Commenting last week in a letter to leading regeneration magazine, Regeneration and Renewal, Matland noted a worrying trend which can see organisations and enterprises intended to benefit the community become increasingly restricted by “arm-locking deals” with public bodies. Forced to bolster their income by undertaking public service contracts, whether beneficial to their members and their communities or not, such groups are in danger of becoming nothing more than local council puppets or “agents of the state”.
Ideally, claims Matland and current Development Trusts Association (DTA) director Steve Wyler, community enterprises should carry out focussed and constructive work for the community and build up their own assets through independent initiatives. Realistically, however, many rely too heavily on money from service contracts and so are often forced to undertake work that isn’t always in line with their aims and objectives.
With 44% of member trusts of the DTA sourcing at least part of their income from contracts this year – a figure up 29% since 2006 – things could get worse before they get better…
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Source: Regeneration and Renewal