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Using the Compact to Survive Funding Cuts Oliver Reichardt Head of Compact Voice. £156 billion deficit £6 billion cuts this year alone Most LAs forecasting 15-30% cuts. It’s not looking pretty. Impacts on LSDOs both directly and indirectly.
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Using the Compact to Survive Funding Cuts Oliver Reichardt Head of Compact Voice
£156 billion deficit £6 billion cuts this year alone Most LAs forecasting 15-30% cuts It’s not looking pretty Impacts on LSDOs both directly and indirectly
13.1 Assess the impact on beneficiaries, service users and volunteers before deciding to reduce or end funding 13.2 Where there are restrictions on future resources, discuss the potential implications as early as possible with third sector organisations 13.3. Given a minimum of three months’ notice in writing when ending a funding relationship or other support, and provide a clear rationale for why the decision has been taken. What does the Compact say about Funding Cuts
13.4 Give organisations an opportunity to respond to the ending of funding and consider the response before making a final decision. 13.5 Review programmes and services with relevant third sector organisations to inform future practice. What does the Compact say about Funding Cuts
Successfully overcoming bad practice Gillian McDonough atop Kilimanjaro - North-East - Sunderland
Colchester Shopmobility Funding withdrawn with 3 months notice but no consultation or assessment – council needed to ‘re-prioritise’ Ignored Colchester Shopmobility protests Compact arguments, backed by public law made the council change its mind Successfully challenging bad practice
London Development Agency withdrew funding from Sustain without paying costs incurred Sustain requested costs be released but received no response Compact Advocacy wrote supporting Sustain’s position of full cost recovery LDA offered reduced settlement twice before full amount received Successfully challenging bad practice
London Borough presented information about consulting on a joint commissioning framework for Advocacy Despite requests, LSDO heard no more about it until the strategy was agreed LSDO approached CAP, who sent back a formal response around Compact breaches and public law Borough agreed to run a proper consultation exercise LSDOs using the Compact
Merton CVS went to council – look jointly at priorities. Council agreed Group came together to decide priorities. Process transparent, fair and reasonable. Despite 10-15% cuts the sector didn’t feel aggrieved by how it went. Merton Traditional method of cuts – LA gets into a huddle, does it in secret and ends up making uniform cuts across the board: unilateral, unstrategic, doesn’t understand sector
Thurrock council were cutting across the board by 15%. Thurrock CVS suggested Merton example. Council agreed. Wasn’t perfect - didn’t have joint impact assessments - but saying will do have them next year. Thurrock council end up not cutting at all. Thurrock
Westminster Council And the less good…
Reactive: Challenge bad practice Don’t take no for an answer Proactive: Talk to the council early Be realistic Offer solutions Conclusion
Compact Voice www.compactvoice.org.uk 0207 520 2581 Oliver Reichardt