Children’s charities impacted by Government cuts, survey finds

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30th June 2015 15:32 - Voluntary

The most recent research into charities’ accounts has revealed that income from the Government decreased by £152.6m, for children andChildren’s charities impacted by Government cuts, survey finds young people’s charities, between 2012 and 2013.

The survey – which was conducted on behalf of the Children’s Partnership and the National Council for Voluntary Organisations – found that children’s charities are being impacted so significantly because Government funding makes up a large percentage of income for them, as opposed to the third sector as a whole. In turn, this makes children’s charities more susceptible to being hit hard by such cuts.

A separate report, entitled The Nature of the Children and Young People's Voluntary Sector’, funding from the Government was the second largest source of income for the children and young people sector, with Government grants and contracts making up 42 per cent of their main income.

During the period 2012 – 2013, central Government funding was subordinate to that of local Government, with central accounting for less than 30 per cent of the sector’s income, as opposed to local, which represented more than 60 per cent of the sector’s income.

The survey by the Children’s Partnership and the National Council for Voluntary Organisations found that income from the public increased by £26.4m between 2012 and 2013. This made it the second largest source of income for the third sector. Although, the increase in public income was not nearly as steep as the decrease in Government income.

When the research explored children and young people charities’ outgoings, those working within the education sector spent £596m, as opposed to the £419m spent by playgroups and nurseries and the £307m operating in children’s health.

CEO of the National Children’s Bureau, Anna Feuchtwang, said of the findings:

“This data shows how austerity measures are beginning to bite as local and central government purse strings are tightened. This will significantly affect children's charities that have shown that with their good community knowledge they can provide cost-effective and high-quality services at a local level.”

As well as Feuchtwang’s comments, Javed Khan, CEO of Barnado’s also said:

“The Government needs to ensure investment in children services is prioritised - not only are we investing in our children now, we are investing in their future.

“We put millions of pounds of our own voluntary funds into our services to ensure we can give the best possible support.

”Year after year children's centre funding has been leaking away, often leading to the closure or merging of hundreds of these lifeline services. Without the vital support of children's centres to the poorest children and families, we are simply neglecting the seeds of more costly problems later in the shape of troubled families, crime, substance abuse and unemployment.”

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