Difficult Times Ahead for Voluntary and Community Sector Organisations as VONNE Report Finds the Sector is Surviving not Thriving
Speaking at the WCVS AGM Jo Curry the Chief Executive of VONNE gave some worrying statistics from their latest survey of VCS organisations, looking at the impact of the recession on the sector across the region. 105 organisations responded from across the North East, representing a broad cross section of activities.
Key findings were:
- Over half of organisations (55%) report an actual decrease in funding.
- Over two thirds of organisaions (69%) report an actual increase in demand for services.
- 26% of organisations have already seen a decrease in staff numbers and a further 27% of organisations anticipate making staff redundant in the next 12 months.
- Over a third of organisations are already operating on their reserves and a similar number expect to close an existing service in the next 12 months.
- 10% of organisations anticipate closing down completely in the next 12 months, worryingly this jumps to 33% for small organisations.
VONNE is forwarding the full findings of the report to key stakeholders in the North East, MPs, the Office of the Third Sector and to the Treasury. At a local level Wansbeck CVS will be working with colleagues in our partner organisations and VONNE to ensure that the implications of the report are understood and that everything possible is done to help the sector over the difficult times ahead.
The future for the VCS in Northumberland
Unfortunately as we go to press it has just been announced that Northumberland County Council will need to make significant cuts in the next financial year, with the VCS facing a potential cut of £300,000. Our understanding is that the final budget decisions will not be made until February and that there will be consultation. In the context of the VONNE report the scale of the possible cuts is very concerning and we will work with our partner organisations to make sure the sector is fully informed about the consultation and would encourage people to respond. Those attending the SE Northumberland Network meeting heard Kirsten Francis, Locality Development Manager for proposals indentify three types of funding for VCS organisations: Giving - grant funding such as the Area Based Community Chest Shopping - where organisations are paid for specific bits of work and Investing - support for key organisations that will help deliver council priorities. A copy of the full presentation can be found below. A consultation document is expected very shortly and will be circulated as soon as it is available.
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