Tag Archives: recession

NCVO and CAF Release Report On Charitable Giving During The Recession

The latest report from the Charities Aid Foundation (CAF) and the National Council for Voluntary Organisations (NCVO) UK Giving series has been released this week and reveals what has happened to charitable giving during the recession.

The annual publication, which seeks to provide an overview of the latest trends in individual charitable giving, reported that the economic downturn has caused an 11% decrease in charitable donations throughout the UK, returning figures to those reported in the 2006/07 financial year.  Currently, 54% of adults donate in an average month, down two percent from 56% in 2007/08.

Some charitable giving factors have not been impacted by the recession, however.  The methods by which people choose to donate to charity have remained relatively stable, with most opting to give cash.  Similarly, the types of causes people are keen to support remain the same – with religion and medical research coming out on top.

In terms of moving forward in order that charitable giving and the third sector as a whole might weather the economic storm, the report points towards the maximizing of Gift Aid to help offset falls in donations and the simplification and improvement of the system of tax relief on donations for higher earners.  Planned giving, which would allow charities to predict their income more effectively and plan strategically, was also flagged up as an important measure and calls were made to government and the sector to enhance and promote these mechanisms.

For further information and to download a copy of the publication visit the NCVO website: http://www.ncvo-vol.org.uk/research/index.asp?id=15262.

Source: NCVO

NCVO Warn Against Government Cuts in Public Services Spending

A report released today by umbrella body the National Council for Voluntary Organisations (NCVO) has warned that government cuts in public service delivery contracts could spell disaster for the voluntary and community sector throughout the UK.

The report, The State and the Voluntary Sector – Recent trends in government funding and public service delivery – details the significance of public service delivery by voluntary sector organisations on behalf of the government and estimates that sector income from these endeavours currently totals £12 billion.  It also reveals that up to 25,000 voluntary organisations in the UK depend on statutory sources and public service contracts for up to three-quarters of their income. 

Worryingly, sector experts fear that voluntary and community organisations and the public service contracts aligned to them could be seen as an easy target for government cut backs.  This catastrophic blow could come despite the fact that many of the organisations which will be effected are currently delivering local, front-line services in social care, employment and training, law and advocacy, education and housing and providing much-needed support to recession hit communities.

Stuart Etherington, CEO, NCVO said:

“Public sector funders must avoid a knee jerk reaction.  Ill thought out cuts would ravage communities across the UK.  When developing spending plans, government, nationally and locally – must understand the vita contribution projects run by voluntary and community organisations make.  These services are not just nice add-ons; they are critical of the well-being of communities across the UK”.

For further information visit the NCVO website:

http://www.ncvo-vol.org.uk/

Source: NCVO, 04/09/09

NCVO Launch European Network for Voluntary Organisations

A fifteen strong network of voluntary sector organisations from across Europe have joined forces with NCVO to create the European Network of National Associations (ENNA).

The ENNA project, spearheaded by NCVO and involving organisations from countries such as Austria, Cyprus, Estonia, Portugal and Scotland, will bring together voluntary and community bodies from throughout Europe in order to engage in discussion about the current economic climate.  It is hoped the network will also serve to promote the sharing of best practice on capacity-building for the third sector, develop recession-beating tactics and resources and establish a European Charter, similar to the UK Compact.

Stuart Etherington, CEO of NCVO, commented:

“This is a momentous occasion and I am proud that so many countries are represented and we look forward to more joining. It is a critical time for the voluntary sector across Europe which makes it all the more crucial that we have come together to share experiences and look for ways to deliver far reaching benefits to communities across the Union”.

For further information, visit NCVO: http://www.ncvo-vol.org.uk/.

Source: NCVO, 23/07/09

News of the government Hardship Fund announced

Details regarding the £16.7 million Hardship Fund for the Third Sector announced as part of this year’s budget have been released.

The Hardship Fund, an initiative to support the £42.5 million Real Help for Communities action plan for the Third Sector, will provide grants to front-line organisations delivering services to the most vulnerable and disadvantaged people in society and those most hard-hit by the recession.

It is anticipated that grants of between £50,000 and £250,000 will be available to organisations that are in financial hardship and that deliver services in the following areas:

  • Health and social care.
  • Housing support.
  • Education and training.
  • Information, advice and guidance.

More information about the Hardship Fund’s delivery partner, when the programme will be open to applications and how to apply will be available shortly.

For further information visit: http://www.cabinetoffice.gov.uk/third_sector.aspx

Source:  Office of the Third Sector

Acevo website to bolster third sector during recession

Chief executive umbrella body, Acevo, have launched a new website that is specifically targeted at helping the third sector weather the current economic storm.

The easy to use site includes recession news, expert guides on everything from mergers to EU funding, information on relevant events and courses and handy links to useful organisations.

Visit today at: http://www.recessionsupport.org.uk/main/

Source: Acevo

Big response for Big Lottery…

The BIG Lottery Fund public consultation, launched in the autumn of 2008 to encourage members of the public and the voluntary sector to have their say on how lottery cash should be spent over the next six years, received a much higher response than was originally anticipated.

It has been estimated that almost 3,500 people from across the UK responded to the consultation and gave their views on what should be done with up to £2 billion of lottery money between now and 2015.

Unsurprisingly in such turbulent economic times, sustainability and the options and opportunities beyond the life of a lottery grant, were this year’s most hotly debated topics.

The consultation findings are currently being analysed and will be published in June.

For further information visit:

Big Lottery Fund:  http://www.biglotteryfund.org.uk/

Source: Big Lottery Fund

Futurebuilders launch new service to encourage the Third Sector to work together

In a bid to help the struggling Third Sector weather the current economic storm, Futurebuilders have introduced a new service for voluntary groups, charities and social enterprises.

 Merge-maker is an online matchmaking programme for third sector organisations wishing to join forces with other like-minded groups, through mergers, collaborations or the forming of a consortium.

 New webpages on the Futurebuilders site will allow organisations undertaking public service contracts throughout England to post their details and advertise for the types of partners they would like to work with.  Organisations will be asked to provide information such as what service delivery area they work in, what region they service, and what sort of partner they are looking for.

Currently, Futurebuilders are looking for groups to register their initial interest in taking part in the scheme.

 For further information visit:

 Website:  http://www.futurebuilders-england.org.uk/news-and-events/futurebuilders-news/futurebuilders-to-launch-third-sector-%91match%11making%92-service/

 Press Release:  http://www.futurebuilders-england.org.uk/images/stories/press_releases/27.04.09__futurebuilders_to_launch_third_sector_match_making_service.doc

 

Source: Futurebuilders

2009 Budget is mixed bag for Third Sector

The Third Sector has given the unveiling of Alistair Darling’s 2009 Budget mixed reviews this week.

 

The announcement of a £20 million hardship fund for charitable organisations hard-hit by the recession was warmly welcomed as a key supplement to the £42.5 million action plan for the sector launched in February.  An additional £18.75 million specifically for credit unions to offer more affordable loans to people on low incomes and the promise of a match-funding scheme which will create 150,000 new jobs for young unemployed people were also well received.  John Low, chief executive of the Charities Aid Foundation (CAF), claimed these additions to the budget signalled a “recognition right at the heart of government” that charities, and the Third Sector as a whole, really are at the front line of support during the recession.

 

Frustration and anger was also felt amongst Third Sector groups, however.  Darling’s failure to commit to the setting up of a new Social Investment Bank was viewed by many as a missed opportunity and the government’s ‘wait and see’ approach to this important issue was widely disparaged. Failure to do anything to combat charity problems with VAT also provoked anger and highlighted for many what Nick Hurd termed the government’s “regrettable tokenism” in relation to the sector. 

 

Source: Third Sector

Government shares out recession cash via Targeted Support Fund

It was announced last week that Birmingham, Liverpool, Durham and Hull will be amongst the beneficiaries of the Government’s £15.5 million Targeted Support Fund.

 

The Fund, intended to help third sector organisations combat the hard-hitting effects of the recession, has been shared out between 50 areas in England, chosen specifically because they are most at risk of increased deprivation.

 

The one-year programme will be administered by the Community Development Foundation but applications will be assessed at a local level by local funders.  Grants will pin-point ‘recession-focused’ areas of work, including:

 

  • Housing, debt, finance and legal problems.
  • Employment training.
  • Services related to mental health, relationship breakdown, counselling, domestic violence and substance misuse.

 

It is anticipated the application process will open at the end of April or the beginning of May.

 

Source: Office of the Third Sector

Mergers and collaboration the way forward for the Third Sector

Charities and voluntary and community groups hard-hit by the recession must think about merging or collaborating with other organisations, according to Charity Commission chief executive, Andrew Hind.

 

Despite most Third Sector groups currently struggling to weather the economic storm, a recent Charity Commission report has found that only 3% have considered teaming up with other similar charitable organisations.

 

In response to these worrying findings, the Charity Commission is proposing to offer merger advice and resources in the coming months.

 

The Commission chief executive, Andrew Hind, has also urged charities and voluntary groups to take more important measures to ensure their survival.  He claimed making the best use of their existing resources and installing sound governance procedures were essential steps for any charitable organisation in the current climate.  He also suggested cutting away any secondary activity not entirely relevant to charitable pursuits and encouraged groups to think about the positive opportunities a recession might throw up, such as more volunteers.

 

Source: Charity Commission