2,000 voluntary groups face funding losses because of spending cuts, says False Economy

Third Sector Online today has excellent coverage of the research just published by anti-cuts campaign False Economy. Using FoI requests, False Economy surveyed the spending cuts being made to voluntary sector budgets by 265 local authorities. You can download all the data from False Economy’s website here.

The campaigners say that 2,000 voluntary groups have had to reduce services and make staff redundant because of the public spending cuts with Liverpool (£18m) and Birmingham (£15m) the hardest hit.

The Guardian also covers the story extensively here.

In a separate article yesterday the Guardian also argued that “Some in government argue that the ‘creative destruction’ of public spending cuts will be good for charities by ensuring only the fittest and leanest survive. By winnowing out charities that became dependent on state funding and promoting others that have the scale and the flexibility to thrive in a new funding environment, so the thinking goes, the voluntary sector will emerge ready to take over public services.”


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