This is not a funding crisis it is a fundamental shift
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www.connectassist.co.uk 1 Patrick Nash, Chief Executive This is not a funding crisis, it’s a fundamental shift This is not a funding crisis, it is a fundamental shift Patrick Nash, Chief Executive Connect Assist
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Transcript of This is not a funding crisis it is a fundamental shift
www.ConnectAssist.co.uk
www.connectassist.co.uk
1
Patrick Nash, Chief Executive
This is not a funding crisis, it’s a fundamental shiftThis is not a funding crisis, it is a
fundamental shift
Patrick Nash, Chief Executive Connect Assist
www.ConnectAssist.co.uk 2Patrick Nash, Webcast Feb 2011
This is not a funding crisis it’s a fundamental shift
Charities face
a triple threat
“Removing benefits and leaving people with no income will result in extreme hardship for them and their families.”
Kate Wareing – Director of Poverty, Oxfam
Charities and the third sector need to recognise the comprehensive spending review has created fundamental and permanent changed within the sector. There are new facts of life for charities that all present a threat but also present an opportunity.
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Charities face a triple threat
The third sector is facing a funding shift due to three
factors, which in turn create the perfect storm.
• More people in need
• Delivery expectations are rising
• Traditional funding methods are depleting
3Patrick Nash, Webcast Feb 2011
Fundamental changes
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Ever more service users
4Patrick Nash, Webcast Feb 2011
As more service users are forced to look beyond public sector provision for unemployment, disability, and financial support, it will be up to charities to take up the slack.
There will be a period in which charities will need to understand how the ‘Big Society’ will change their service delivery but, initial thoughts are that demand will increase across the board.
With growing numbers of unemployment combined with a tougher line on getting people back to work after being on benefits, many more people will be turning to the third sector for help.
All together, many charities that help people in challenging circumstances will see an increase in demand.
As services get cut there is more call on the services of the voluntary sector – the CABs and similar groups will be inundated at a time when they’re experiencing cuts themselves.Richard Caulfield, Chief Executive of Voluntary sector
North West
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Expectations are rising
5Patrick Nash, Webcast Feb 2011
• Service users are demanding more from charities
• Quality standards have risen dramatically
• Charities no longer are the only providers of core services – the private sector is competing
Voluntary organisations are more likely to have to prove that their performance is of a high quality and to adopt more business-like management. They may also have to show how quality can be guaranteed, and how they perform in comparison to others.NCVO: UK Civil Society Almanac 2010
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Funding is on the wane
6Patrick Nash, Webcast Feb 2011
• Individual donors’ purse stings are tightening
• Grant funding from Government will become a thing of the past
Voluntary organisations are more likely to have to prove that their performance is of a high quality and to adopt more business-like management. They may also have to show how quality can be guaranteed, and how they perform in comparison to others.NCVO: UK Civil Society Almanac 2010
The proportion of people giving to charities has fallen from 68% in 1998 to 54% in 2008/09. This downturn is equivalent to around one in eight of the population ceasing to give altogether.
Martin Brooks: “We are not a generous society” Guardian
Professional 19 November 2010
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Not a temporary problem
7Patrick Nash, Webcast Feb 2011
The reality is that things will never return to
normal
www.ConnectAssist.co.uk 8Patrick Nash, Webcast Feb 2011
Resources
Discussion paper
• Are you ready to respond? Rethinking third sector funding
• http://www.connectassist.co.uk/rethinking-third-sector-funding
Blogs
• Charities could be wasting up to 30% of what they spend on service delivery
• Why fundraising initiatives are not the best way forward
Contact me
• Tel: 01443 827600
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www.connectassist.co.uk
9Service delivery in a cost constrained environment
