State of the Sector Jane Hartley– VONNE. Size and scale of sector in NE 6,900 voluntary and...

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

Contact details

• Emails: jane.hartley@vonne.org.uk

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