Voluntary groups facing closure (From The Northern Echo)

Voluntary groups facing closure

8:54am Thursday 16th December 2010 in News By Will Roberts

DOZENS of charities and voluntary groups across the North-East are facing closure, according to a report published today.

Research by Voluntary Organisations’ Network North East (Vonne), reveals that at the same time demand for their services is soaring.

At a time when nearly two-thirds of voluntary groups are reporting a rise in requests for help, 62 per cent have seen a reduction in funding.

Eighty-eight per cent of groups receive money from public sector agencies, which themselves face major budget cuts.

Nearly half of the charities and voluntary groups are surviving on their cash reserves and over a third have already made staff redundant.

The future looks bleak for many, with two-thirds expecting to close a service and a quarter reporting they may close altogether in the next 12 months.

The situation is worst for medium-sized organisations, with 86 per cent using cash reserves and 42 per cent facing closure.

The survey, which involved 141 organisations, reported a total of: ● £4.5m in lost income last year; ● At least 275 staff made redundant; ● Another 171 staff facing redundancy.

In September, The Yorkshire and Humber Forum conducted a confidence survey on some of the 2,700 voluntary organisations in North Yorkshire.

It showed about 30 per cent of groups in the county expected to reduce their services while the same percentage expected to have to axe paid staff.

Jo Curry, chief executive of Vonne, said: “We expect to see widespread job losses and closures as the cuts take effect, particularly from March 2011 when many groups funding will run out.

“These organisations are helping the most deprived people in our society and without their help our communities will crumble. Now more than ever we need the North- East public to dig deep and give generously, and go out and volunteer.

“We call upon local authorities to involve their local charities when making budget decisions and not look at the sector as an easy cut to make.”

Gordon Elliott, Durham County Council’s head of partnerships and community engagement, said it recognised the important work carried out by charities and community and voluntary sector organisations.

“It’s currently too early to say how our financial support for the voluntary sector will be affected,” he said. “We are in regular communication with these organisations.”

‘An accurate reflection of sector’s problems’

EVOLUTION represents more than 450 and voluntary organisations in Darlington.

The groups range in size from small volunteer-only organisations to larger charities made up of dozens paid and unpaid staff.

Karen Grundy, the executive director of Evolution, said: “From my perspective, the research carried out by Vonne and the results it has produced are an accurate reflection of what is going on right across the sector.

“In Darlington, I think a lot of the groups won’t see the full impact until the next few months.

“Some organisations are still waiting to see what contracts they will be getting over the next few years and are still in discussions with council officers where necessary.

“We are taking a very pragmatic approach and holding discussions to be best prepare ourselves for what could potentially be some quite substantial cuts.”

Surviving on reserves

THE Breckon Hill Community Centre, at the heart of Middlesbrough’s town centre, faces a bleak future as the public sector cuts bite.

Opened in 2004, up to 400 people a week use the wide range of services on offer, including advice and guidance, career advice, day care provision for adults with learning disabilities and a range of young people’s services.

It also runs its own allotment scheme, recycling project and a community cafe, regularly used by older people.

All of the services are now at risk as the centre has seen its funding fall by £35,000.

Previously free support, such as building maintenance provided by Middlesbrough Borough Council, has also been cut.

Amanda Buck, from Breckon Hill Community Enterprise, said: “We have been surviving on our core funds and reserves this year and have already had to let two staff go.

“Despite this, we have seen an increased demand for our services, especially the employment skills and re-skilling courses we offer. If we are unable to secure additional funding soon, the centre and all of the services we provide to the local community may be forced to close next year.”

Support levels reduced

AN organisation that supports community halls in isolated rural communities faces an uncertain future as its funding has been reduced by more than half in the past year.

Teesdale Village Halls Consortium (TVHC) was set up in 1995 to support and improve village halls and community organisations in the small villages of Teesdale.

David Hutchinson, chairman of Teesdale Village Halls Consortium, said “In the last 12 months we have lost over fifty per cent of our funding and have had to make three staff redundant.

“We are down to just two remaining members of staff, who are doing an excellent job, but we have been forced to reduce their hours as well.”

“This has meant that we have had to reduce the amount of support we can provide to village halls throughout Teesdale at a time when they need us the most.

“The help, advice and training we provide supports not only the village halls themselves, but also the isolated communities which they serve.

“In Teesdale, the village halls are real community hubs, but I fear that at least half a dozen may be at risk if we are unable to find the resources to continue to support them.”