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Late November saw voluntary and community sector leaders from across the UK meet with Government representatives in London to agree a joint action plan for weathering the recession. Notes of the meeting are now available.
Read notes of the summit meeting from NCVO for more details on the discussions and conclusions reached.
Kevin Brennan MP, Minister for the Third Sector, outlined Government's perspective on the current economic climate and reported that there is an understanding of the urgency of the situation, as well as a commitment from Government to support the sector.
The Minister announced that the government is going to bring forward an action plan on how it can work with the voluntary and community sector to respond to the financial aspects of the recession. The plan will be embedded in the work of the whole of the Department, and OTS will work across Government to ensure that it has reach and impact. The action plan will be published early in the new year.
The Minister also identified the contribution social enterprise could make, recognising the value of the sector's agile approach and spoke about the sector's role in providing social capital and reducing exclusion and isolation.
Seamus McAleavey, Chief Executive of NICVA, attended the meeting chaired by Stuart Etherington, Chief Executive of the National Council for Voluntary Organisations (NCVO).
At the roundtable discussion some of the suggestions that had already been put forward in advance of the meeting were summarised. All agreed that there needed to be action by the sector and by Government. The key themes addressed covered what the sector should do in terms of planning and collaboration and how the Government could help.
It is likely that demand for the services of many voluntary and community organisations, such as those providing debt and welfare advice, family services and workforce training, will increase in the coming months. At the same time voluntary and community organisations are far from immune to the impacts of economic downturn.
With 32% of funding for the sector across the UK coming from government sources any cuts from government will cause real problems. Voluntary and community organisations are dependent on fundraising and donations for 37% of their income and a large part of that is dependent on over two million people who are regular donors. While it is hoped that those donors will be resilient, less money all round is bound to have a negative impact on the amount of money people have available to give to good causes. Many voluntary and community organisations' assets are tied up in property and investments further compounding the stark financial reality facing the sector.
Seamus McAleavey said:
"This morning's meeting saw a frank and useful exchange of information on how the recession will impact on voluntary and community organisations. Voluntary and community organisations will have a key role to play in helping people and communities across the UK cope with the difficult times ahead and we are ready to meet that challenge. However the sector itself is far from immune from the impact of the recession and NICVA will be working with our colleagues from across the UK to ensure that the negative impacts of the economic downturn on the sector are minimised".
Cabinet Minister Kevin Brennan MP has agreed to contact Ministers in the devolved administration to ensure a co-ordinated approach across the UK.
Mr McAleavey added:
"We urge DSD Minister Margaret Ritchie to engage her colleagues in the UK to ensure that the voluntary and community sector is able to continue its work at a time when its services are likely to be needed most."
For further information please contact NICVA on 028 9087 7777.
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