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State of the Sector Jane Hartley– VONNE
Size and scale of sector in NE• 6,900 voluntary and community organisations in the
North East • Doesn’t include smaller grassroots organisations –
figure likely to double to 15,000• 57% small organisations with less than £50,000
income• 23% medium sized organisations income £50,000-
£250,000• 20% larger organisations income £250,000- £1M+
Source: NE Third Sector Trends Study
Winners & Losers : VCSE in richest areas versus poorest areas
Assets, social capital,
capacity & capability of
VCSE
Poorer areas
Richer areas
Depth of community
need
Decreasing public sector investment in poorer
areas
Winners & Losers : VCSE in richest areas versus poorest areas
42% of VCSE in the poorest areas (IMD1-2) get most money from
the public sector compared with 10% in the richest (IMD 9-10)
Source: NE Third Sector Trends Study
Funding and income trends North East
Source: NE Third Sector Trends Study
Funding and income trends North East
Source: NE Third Sector Trends Study
Source: NE Third Sector Trends Study
Source: NE Third Sector Trends Study
Income from Government Grants & Contracts
Income from Government Grants & Contracts
Income from Government Grants & Contracts
Income from Government Grants & Contracts
Assets
Funding and income trends North East
Source: NE Third Sector Trends Study
NE Funders Network Survey Results
Survey Respondents (17):
Funding cold spots:
Garfield Weston FoundationInsight Into The Future Of Charity
Funding In The North East2014
Focus of Garfield Weston Report
• Understanding current funding resources in small to medium sized VCSE organisations in the NE
• What can funders and others do to help build sustainable future funding base
• Methodology:– Review of existing research– Phone survey of 182 organisations– Follow up interviews with 22 participant organisations– In depth interviews with 9 public & VCS agencies
Key Findings
1. Highly Localised focus2. Localities with some of highest deprivation had least
charities serving them: Darlington, Redcar & Cleveland3. Fewer resources and increased demand4. At risk group – ‘The squeezed middle’ 5. Diversity in income but few main sources6. Mixed stages in planning for change7. Lack of resources to invest in change8. Local Allegiances with regard to fundraising
Conclusions
General Foundation Measures:1. Establishing more connections with potential
applicants at regional and local level2. Reviewing application procedures and rules not seen
as helpful 3. Exploring options for targeting support towards
organisations in geographical areas of need where VCS infrastructure appears weak, and/or ways of encouraging new infrastructure
Conclusions
Core & Development Support:1. Responding flexibly to the range of core and development
support needs and rebalancing some funding away from specific project delivery and outcomes focus
2. Access to range of income generation advice 3. Access to training and support around finance & budgeting4. Locally based trustee and board development5. Mentoring and knowledge sharing 6. Build skills around income generation from philanthropic
sources7. Shared initiatives in knowledge and skills building, and
innovative approaches
Conclusions
Increased grant funding:1. Transition and development funding, led by org need
invaluable in ensuring good orgs are sustainable and continue to meet needs in communities
2. More support for basic community services needed in region where sector is under invested.
3. Some foundations already addressing needs of area but awareness needs to be raised with others
4. Charities should consider how they can generate income on a sustainable basis to support their activities
Opportunities• NE Funders Network – collaboration and
targeting• European Funding • Local Sustainability Fund• Investment Readiness Funding & Social
Investment• Skills and capacity training – Building Better
Governance
Opportunities• Devolved budgets and power to combined
authorities at sub regional level• VCSE seen as key partner in delivery of
public services • Health Commissioners recognising value of
VCSE – social prescribing• Police & Crime Commissioners
