Post on 28-Dec-2015
Voluntary Sector North West and CLES research partnership
Demonstrating the local economic and social value of grant-making
with the vcsNeil McInroy, Chief Executive, CLES
Matthew Jackson, Senior Policy Researcher, CLES
What is CLES?
Independent charity. No commercial sponsor or
government grants
Economic development but
with social fairness and
within limits of environment
UK, but also work in Europe and beyond!
Established 198620 staff: planners, geographers, local
government, environmental
scientists, economists
Hybrid; research, consultancy,
members
Growing-but will stay small
CLES
CLES Research and policy work
Economic resilience:Norfolk Fellowship international research projectCLES resilience Pilot – with 12 Local Authorities
Economic and social tools Economic footprint of public sector in Manchester, Swindon, West LothianSustainable benefits of ‘progressive’ public spend (with APSE)Social return on investment modelling and Social network analysisLEAN Local Economic Assessment network
Economic Policy workNorth West England Integrated Regional Strategy Review
CLES Research and policy work
Futures work:Future city game (with British council) – Moscow, Pilsen, Blackburn, Riga and now in South West
Green Economy:Green skills/green new deal/green behaviours
Financing economies/regenerationEquity finance/changing behaviours to venture capital
Poverty/economic inclusionAnti-Poverty strategies
Well beingEvaluation of BIG lottery well being programme (with New economics foundation)
Today
Broad overview of policy
Objectives of research
Findings from north west research
Concluding thoughts
Discussion
Background to work
Been a move toward service contracts opposed to grants in recent years
This research work anticipated that this trend would continue
The known unknowns is that things are changing
Philosophically – changing relationship between the state, society and individual – a new social contract?
New discourse- ‘Big Society’, ‘civil society’, ‘Office for Civil society’
Cuts and a new social contract – can you do both?
The government thinks we can and the VCS is key to this new social contract
‘Big Society’ requires a cultural shift from the commercial sector in terms giving (philanthrocapitalism), and in investment
Background to work
Nick Hurd, Minister for Civil society - three fold approach:
‘the sector's share of the cake will grow, even if the cake shrinks’
‘there is philanthropy, which has struggled to make progress, and we have said that we need a concerted effort to deliver a step change in cultural attitudes to
giving.’
‘social investment, and it is money from sources that are prepared to consider a blend of traditional financial return and social impact. That source is worth about £1
billion, but it could be worth a great deal more’
Objectives of research
To seek to demonstrate the continued viability and value of grant making in the region
To think again about the move towards contracting as a panacea for development
To unpack voluntary and community sector policy and the definitive role of grant making in that policy
To demonstrate the scale of grant making in the region and the distribution of that grant funding
To explore the local social and economic impact of grant making
To influence national policy thinking
Stage 1 – think-piece
Economic and social value of grants explored around three supposed ‘values ‘
1. Operational values
Grants as start-up capital
Grants as stimulators of innovation
Grants as a fosterer of partnership
Grants as sustainers of organisational ethos
Grants as enablers of economic viability
2. Local economic
Grants as stimulators of local employment and volunteering
Grants as fosterers of entrepreneurship
Grants as value adders to mainstream delivery
Stage 1 – think-piece
Economic and social value of grants explored around three themes:
3. Local social benefits
Grants as facilitators of social interaction
Grants as tacklers of worklessness and deprivation
Grants as area and environmental improvers
Grants as providers of needed and bespoke support services
Stage 2 – survey
Headline descriptions:
Response rate of 37%- accounted for £126million of grant-making in NW
An actual added to projection- £16million of grant-making given by Local Authorities
44% of grant issued in Greater Manchester
Strong reliance in Cheshire and Lancashire upon one grant-maker
21.3% of grant issued for volunteering activities
29.9% of grant issued for children (5-16) focused activities
Stage 2 – survey
10.3%
10.3%
6.9%
13.8%
6.9%13.8%
37.9%
less than £50,000
between £50,000 and £100,000
between £100,000 and £250,000
between £250,000 and £500,000
between £500,000 and £1million
between £1million and £2million
more than £2million
11.6
11.8
13.8
15.8
21.3
8.9
16.8 Cultural activities
Employment activities
Environmental activities
Health and education activities
Participatory and volunteering activities
Running of facilities
Sports activities
29.9
27.1
12.0
11.7
7.6
11.6
Children aged 5-16
Young people aged 16-24
Black and ethnic minorities
People with disabilities
Refugees/asylum seekers
Older People
Stage 2 – survey
Key results – views on the shift from grants to contracts
It all depends upon time and capacity
Grants should always be the starting point
Contracting discourages innovation
It assumes the sector is homogenous with similar bidding capacity
It is ‘the future’
Key results – the impact upon the region on service contracts
It has favoured a small minority of VCS –the big ones
Shift to contracts has not seen the mainstreaming of worthwhile community projects
It has had an adverse effect in two-tier areas and ‘localness’
Conclusions and Recommendations
Conclusions from research
Grants are the trigger point for start-up
There is a reliance on one grant maker –very vulnerable
Grants spark innovation , creativity and neighbourhood level ideas
Contracts are not always wanted nor is there capacity, skills or aptitude in the region to deliver
Grants enable a string of operational, economic and social values
Grants allow for cooperation and partnership not competition
Grants enable VCS to retain ethos/activism, geography and values
Some recommendations for VSNW - online database of grant-issuers and grants issued in the region
Conclusions and Recommendations
Wider conclusions and thoughts
An effervescent ‘civil society’ needs grants
Grants spark innovation , creativity and neighbourhood level ideas
Will the cuts agenda result in the commercial outsourcing agenda ‘squeeze’ out’ the sector
Just because there is an absence of provision and a gap through cuts there is no guarantee that the VCS can fill it..just gov’t pressure!
The role of VCS is not just to deliver on the governments agenda
The VCS needs to retain an oppositional/activist role if required
Demand may be up, less money but to shrink is not a failure
‘Big Society’ is predicated upon a cultural shift from the commercial sector in giving (philanthrocapitalism)
Next steps: to decide upon how this is all publicised