Funding & Income

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The Coalition government has stepped up its process of decentralisation and devolution of power to local authorities and their communities. Local authorities will have the liberty to make decisions about allocation of resources free from central government guidelines. An increasing role for the VCS to deliver public services is expected. VCS organisations are expected to have a key role to play in identifying needs as well as delivering services. This page deals with policies that have an impact on funding, commissioning and procurement for the VCS.

Government confirms VCS VAT exemption on shared services

As part of the Chancellor's autumn statement, the government has confirmed it will introduce a VAT exemption for VCS organisations that wish to share back-office services, removing the additional VAT charge that can arise when some organisations collaborate. The exemption will apply to services shared between VAT exempt bodies, including charities and universities. A requirement that charities who want to share services must set up a separate legal entity to do so was opposed by the sector but has been retained in the government proposal.

Department of Health strategic partner programme extended until 2013

The Department of Health has announced that it is extending its £3.5million strategic partner programme, which directly funds 25 charities within 18 consortia, including One East Midlands through Regional Voices, to 2013.

£16.8million fund for advice services

The Cabinet Office has announced a £16.8million fund for free advice services in England, to be delivered by the Big Fund, the non-lottery arm of the Big Lottery Fund.

The fund will open for applications by the end of November and will provide grants to organisations providing debt, welfare benefits, employment and housing advice services. Applicants will have to provide advice in at least one of the four areas and be able to evidence public funding cuts of at least 10 per cent for those advice service areas from central and local government sources in 2011/12.

Sustaining and Transforming the future of funding advice

The next East Midlands Funding Advice Network (EMFAN) event will take place from 10am to 3.30pm on 7 December at Dí©da in Derby. To reserve your place visit Entitled Sustaining and Transforming - the future of funding advice, the free event will examine issues around sustaining funding advice services in the face of changes in the way it is organised and funded and around transforming funding advice, both to sustain it and to meet the needs of the third sector.

£50million Growing Places Fund announced

The Department for Communities & Local Government has announced a £500million Growing Places Fund to help boost economic growth by getting required built to enable the creation of new jobs and homes and get stalled projects moving again.

VCS to deliver reforms for children with special needs and disabilities

The Children's Minster Sarah Teather has announced contracts for VCS organisations to help deliver key reforms to support children with special educational needs and disabilities, and their parents. The Department for Education is providing around £6million a year for two years for the contracts, which will see the contractors:


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