NAVCA has produced a sustainable development progress report, measuring how successful the organisation has been over the last 12 months in our aim to become more sustainable. The report shows that NAVCA has made good progress over the last year. Achievements include:

• Massive reduction in paper consumption – using less paper over the past year than in the previous 6 months
• Using an employee action day to motivate staff and conduct an environmental project
• Reducing the amount of waste from long print runs

This builds on previous years where we have switched to a greener energy tariff and conducted an energy audit to identify cost and energy savings.

Joe Irvin, NAVCA’s Chief Executive says:

”It’s good to see NAVCA continuing to make progress. I know many members are also looking at becoming more sustainable and are finding that it can save them money too, whether by reducing energy costs, reducing expenditure on printed publications or adopting more sustainable practices.”

“But becoming more sustainable is about more than just saving money. It fits with our core values too. Climate change has the greatest impact on the most disadvantaged people, both locally and internationally. Reducing our impact on the environment should be everybody’s business.”

• Read sustainable development progress report
• NAVCA’s guide: Creating your green action plan can help members develop their own plan.

NAVCA has turned down an invitation to sign up to the Government’s recently launched Procurement Pledge, drawn up by the Cabinet Office.  Instead, NAVCA is supporting an alternative Local Government Association (LGA) pledge and is urging other voluntary organisations to follow their lead. The government procurement pledge takes a top down approach that places too much emphasis on multi million pound companies to the detriment of the voluntary sector and local businesses. The LGA’s draft pledge, which is currently out for consultation, starts with users and citizens and gives a greater emphasis to voluntary organisations.

The LGA, which is the voice of local government in England and Wales, shares NAVCA’s concerns about the government pledge. On their website they say that it is geared ‘much more towards Big Business. In contrast, local government purchases a much greater percentage of goods and services locally, and often up to 80 per cent or more from SMEs’. Therefore the LGA has created their own pledge, the LGA Procurement Pledge for Local Authorities. This pledge focuses on engagement and co-production and contains a greater focus on SMEs and the voluntary sector. NAVCA believes this pledge is more suitable for the voluntary sector, as the majority of voluntary sector providers supply services at the local level.

Whilst NAVCA supports the LGA pledge, it is also calling for a recognition that competitive procurement processes are unnecessary and do not deliver value for money for community based services that respond to the needs of individual citizens. These are the types of services that small local charities tend to deliver. Evidence supports NAVCA’s view that grant funding is the most efficient and cost effective way to commission these services.

Joe Irvin, NAVCA’s Chief Executive, said

“The government’s pledge is a good idea that has been executed badly. The LGA’s pledge is much more voluntary sector friendly which is why NAVCA is happy to support it. In fact, in these days of localism, as the LGA pledge is backed up by local government, it is more relevant to the work of the voluntary sector.”

“As well as the pledge, we really welcome the recognition from the LGA that there is currently a risk-averse approach to public sector procurement that requires a change in culture at local government level. We believe that the voluntary sector and the LGA have many shared interests and look forward to others in the voluntary sector getting behind this pledge.”

• View the LGA procurement pledge (opens in new window)
• View the Cabinet Office procurement pledge (opens in new window)

Today’s Queen’s speech included a Small Donations bill. This bill will allow charities to claim ‘top-up payments’ similar to Gift Aid on small donations totalling up to £5,000 a year without individual paperwork. It will put in place support for small charities that was first announced in the Budget in March 2011.

Neil Cleeveley, Director of Policy and Communications, said:

“NAVCA is delighted to see the Small Donations Bill in the Government’s legislative plans. This measure to get top-up payments similar to Gift Aid for small cash donations could make a significant difference to thousands of local charities.”

“This looks like a measure that could help the Government achieve its aim of making running a charity easier. We look forward to seeing more details but it is a nice reminder that the majority of charities are small and that a huge difference can be made with relatively small amounts of money.”

The programme has been announced for CORE 2012, NAVCA’s residential event for Chief Officer’s and senior managers. The event is being held at Yarnfield Park, Staffordshire on 13/14 June. Details of eight workshops have published, which include ‘New approaches to strategy formation’ and ‘Making links with local businesses’. CORE 2012 is also the first opportunity for Joe Irvin, NAVCA’s new Chief Executive, to address a national NAVCA conference.

Joe Irvin, NAVCA’s Chief Executive, said;

“I am really looking forward to these two days working with senior officers of NAVCA member bodies. In my first three months as chief executive, I’ve visited many NAVCA members across the country. Talking with our members has reinforced how important events like CORE are for our chief officers as a chance to find and share ways to move forward in these challenging times.”

Find out more about CORE 2012

NAVCA has published our response to the consultation on the review of the Charities Act 2006, being led by Lord Hodgson.

In the response we say accept that funding changes mean the Charity Commission needs to move its focus towards its regulatory activity. We also call for it to be made possible for charities under reporting thresholds to be able to opt in to higher reporting requirements, if the charity feels that it is interest to do so.

Our response restates our strong opposition to payment of trustees and expresses our disappointment at the delay in implementation of the Charitable Incorporated Organisation (CIO).

Read NAVCA’s response

The Big Lottery Fund (BIG) has published its strategic framework refresh. This sets out the principles that will inform BIG’s work and the funding priorities that will guide them up to 2015. The refresh document includes BIG’s fundamental principles, their key priorities for funding and new and emerging issues. The document follows on from the new policy directions for BIG, published by the Cabinet Office recently. It also includes how BIG reduce admin costs, as all lottery funders have been asked to reduce their core admin costs to five per cent by 2014.

Joe Irvin, NAVCA’s Chief Executive, said:

“The Big Lottery Fund is a respected and trusted funder of charities, voluntary organisations and community groups. Its reputation is built on a sound understanding of their needs and those of the communities they serve. This new strategic framework is a good response to the times. BIG is right to make those most in greatest need their first priority. We would expect no less.”

“What really pleases NAVCA is that building stronger organisations has been made a key priority. It demonstrates what we have known for a long time; that BIG values the work of NAVCA members. It is a recognition that the work of charities that help and support other charities is central to the achievement of BIG’s aims and objectives.”

“We understand why BIG has been asked to reduce its admin costs to five per cent – like anyone we want the maximum amount of money spent on helping people. However, it is worth saying that BIG has been extremely good at using its administrative capacity to help people and groups with applications for funding and encouraging bids from people and places that have been less successful in the past. We would be deeply concerned if the reduction in admin costs reduced it ability to continue this exemplary approach.”

NAVCA has welcomed the launch of Big Society Capital, the wholesale bank that aims to make £600 million of loan finance available to the voluntary sector over the next four years. NAVCA is pleased that funding from dormant bank accounts and high street banks is being made available to charities and voluntary organisations to help local communities. However, NAVCA warns that Big Society Capital needs to value social impact to realise its potential. If interest rates are set with only the financial return in mind, many small charities, which could benefit from loan finance, will be priced out.

Joe Irvin, Chief Executive of NAVCA, said:

“NAVCA supports this initiative as it will get much-needed finance to voluntary sector organisations. We have always campaigned for a mix of funding to enable a healthy voluntary sector. This mix includes grants, contracts, donations and loan finance.

“Although not suitable for all, loan finance has the potential to make a real difference for many voluntary organisations, including many small charities. But the loans must be accessible. We are concerned by the Charity Aid Foundation’s warning that the cost of the loans may mean they are out of reach for smaller charities. The interest rate level must reflect a fair balance between helping society and earning a financial return.”

The Cabinet Office has published its new policy directions for the Big Lottery Fund (BIG). The new policy directions follow a consultation held last year.

In our consultation response, NAVCA argued that funding should go exclusively to charities and voluntary organisations. This view has not been accepted and the policy directions allow BIG to award some money to statutory bodies, as it does now.

Alongside the new policy directions, the Cabinet Office has also published a summary of responses to the Consultation on Big Lottery Fund Policy Directions

Joe Irvin, Chief Executive of national umbrella charity NAVCA, has used a speech to Involve Yorkshire and the Humber’s annual conference for support and development organisations to say that the Budget was a squandered opportunity. He argued that the Budget should have been used to help communities hardest hit by the economic downturn, by providing support for local charities. Joe made his remarks at Involve’s conference at Cober Hill in Scarborough on Friday 23 March.

Prior to the budget NAVCA wrote to George Osborne asking for funding for charities, focussed on regenerating the most deprived areas. NAVCA pointed out that now is the first time since the 1960s that there is no government regeneration programme to support areas of deprivation. NAVCA argued that this support would be a low-cost way to quickly inject some much needed resources into organisations working in these areas. NAVCA were asking for less money for local charities than the £250 million the Government has found to re-introduce weekly bin collections.

Speaking at Involve Yorkshire and the Humber’s conference, Joe Irvin, Chief Executive of NAVCA, said:

“Whilst there were some welcome measures for us, Wednesday’s budget was a squandered opportunity to help Britain’s hardest hit communities and the charities supporting them. Charities supporting the most deprived communities are facing the double whammy of cuts in funding and rocketing demand. This government needs to understand that the big society only works if the local society works as well.”

“The Chancellor should have announced new funding for local charities in the most deprived areas. This would have made a huge difference to Yorkshire and theHumber. Hull, Grimsby, Doncaster, Bradford, Barnsley, Rotherham, Sheffield, Wakefield, Scunthorpe and Leeds would all have benefitted as they are in the top 20% local authorities with the greatest overall risk of poverty. Local charities in these areas need more help.”

Following the budget, delivered by George Osborn this afternoon (21 March), Joe Irvin, Chief Executive of NAVCA,said

“The budget includes a promise of £40 million made available for the not for profit advice sector over two years as well as measures to simplify gift aid. These are welcome at a really difficult time for our sector.”

“I also welcome the statement from the Government that they will ensure that changes to tax relief do not impact significantly on charities that depend on large donations.”

Some of these are new announcements and some confirm that they will implement decisions previously announced. Full budget documents can be downloaded from the Treasury’s website.

Not-for-profit advice sector – The Government will make £20 million available to the not-for-profit advice sector in 2013–14, and again in 2014–15 to support the sector as it adapts to changes in the way that it is funded.

Inheritance Tax: reduced rate for charitable donations – As announced at Budget 2011, for deaths on or after 6 April 2012, the Government will introduce legislation to provide for a lower rate of IHT of 36 per cent where

Charity Shop Donations – The Government will work with the charity sector to simplify the administration of Gift Aid in the context of charity shops.

VAT: cost sharing – Following the announcement at Autumn Statement 2011 the Government will introduce a VAT exemption for services shared between VAT exempt bodies including charities and universities.

In-year repayments of tax to charities – The Government will legislate to amend CASC and Gift Aid legislation to ensure it operates as originally intended and to put on a statutory footing the practice by certain charities and CASCs of making claims for repayment of income tax including Gift Aid outside a tax return.

Gift Aid Small Donations Scheme – As announced at Budget 2011, the Government will introduce a new Gift Aid small donations scheme from April 2013 to enable charities to claim a Gift Aid style top-up payment on up to £5,000 of small donations, without the need to collect Gift Aid declarations. Charities will be able to claim the new payment on donations of £20 or less.

VAT: charitable buildings – The Government will withdraw charitable buildings from the scope of the VAT reduced rate for the supply and installation of energy-saving materials. (Finance Bill 2013)

See NAVCA’s pre budget ask to George Osborne 

NAVCA has responded to the Big Lottery Fund’s ‘Building Capabilities’ consultation. This consultation has been undertaken by the Big Lottery Fund who has decided to change how it will use its funding to provide organisational support to local voluntary sector organisations. The changes and consultation questions are in their consultation document Building capabilities for impact and legacy.

The new approach poses challenges for NAVCA members. It heralds a move away from supporting local support and development organisations towards a more demand led approach, where support is provided by a wider range of providers.

NAVCA has responded to the discussion paper, outlining the role for NAVCA members, issues of concern and thoughts on how to implement demand led funding in an appropriate way. NAVCA’s response sets out the hallmarks of a good demand-led model and says that any demand led process has two stages: the first stage being diagnosis of needs and the second stage a larger investment to address these needs.  

NAVCA also argue in their response that it is important to ensure that providers are quality assured and NAVCA addresses areas where demand led funding is inappropriate. The response also clearly demonstrates the role for NAVCA members in delivering the support that ensures that organisations have the skills and knowledge they need to improve and develop their services.

• Read NAVCA’s response
• Read BIG’s consultation paper

NAVCA has welcomed the reports that the work and pensions minister Iain Duncan Smith will later today announce that the government will publish tender documents to establish an Early Intervention Board. The Board will have responsibility for evaluating early intervention schemes and work out a rate of return on investment for different schemes. This means evaluating schemes to see how much is saved to the public purse by taking action to prevent problems at an early stage. This will enable investment in these interventions through social bonds.

NAVCA is a member of the Early Intervention Foundation Consortium set up by Graham Allen MP and has recently called for public bodies to allocating at least one per cent of budgets to early intervention.

Joe Irvin, NAVCA’s Chief Executive, said:

“This is a step towards a substantial increase in early intervention work. Everyone accepts the value of making early interventions to improve lives, tackle child poverty and improve people’s health.

“NAVCA is fully supportive of this idea as it can bring real benefits to local charities and voluntary groups, much of whose work concerns itself with early intervention. We believe local and small scale charities can play a big part in successful early interventions and this could be a way to support a lot more of this work.”

• More information on the work of the Early Intervention Foundation Consortium can be found on Graham Allen MP’s website

NAVCA has published a report to support the recent call made by the leading voluntary and community sector umbrella organisations, including NAVCA, for a second wave of transition funding to help regenerate the most deprived areas. The report evidences the impact of public spending cuts since 2010 on the local voluntary sector. After compiling the evidence in NAVCA’s report, NAVCA has written to George Osborne MP to further urge him to use his Budget on 21 March to provide transition funding to help people who are suffering most from public spending cuts.

NAVCA’s report says that for the first time since the 1960s there is no government regeneration programme to support areas of deprivation. Since coming to power the Government has ended the Working Neighbourhoods Fund and the Performance Reward Grant. The report provides evidence of how this has adversely affected local voluntary action.

The Government provided Statutory Guidance to local authorities telling them not to make disproportionate cuts to the voluntary sector. However, the report shows that axing these funding programmes has in effect caused a disproportionate cut in funding to the local voluntary sector. Creating the second year of the Transition Fund aimed at deprived areas would begin to correct this. NAVCA also say that the fund should provide support for seaside areas, which are often overlooked by such schemes.

Joe Irvin, NAVCA’s Chief Executive said,

“We are calling for a second wave of transition funding for charities, focussed on regenerating the most deprived areas. This will help organisations aid social regeneration in the most deprived communities. It is a low-cost way to quickly inject some much needed resources into organisations working in these areas. And because the work of voluntary organisations often involves intervening early to solve future problems, this can reduce the burden upon the exchequer in the longer term.”

“We know that money is not plentiful - but £250 million was found to re-introduce weekly bin collections. We know that with less than this amount we can make a huge difference to people in the most deprived areas of England.”

Read the report

Read NAVCA’s letter to George Osborne MP

The Local Grants Forum says that the 2012 NCVO Civil Society Almanac, published today, provides conclusive proof that a major shift from grant funding to contracting by local public bodies is taking place. Based on figures up to 2010, the Almanac shows public sector grant funding has fallen dramatically since 2005 - and fell by £500 million between 2007/08 and 2009/10. These figures reflect the position prior to the recent big reductions in public spending, which have resulted in much publicised further cuts to grant funding during 2010/11 and 2011/12.

The Local Grants Forum was founded in 2007 in response to this threat to local grant funding. The 17 national charities who comprise the membership of the LGF believe grant aid is an essential part of the local funding mix for voluntary and community organisations and vital for sustaining thriving local communities. This belief is supported by the National Audit Office’s Successful Commissioning Guide. It advises commissioners to consider carefully in each individual case whether grants or contracts will deliver better outcomes and value for money. The LGF fears that the decline in grants is indicative of an unthinking shift towards contracts, which damages the local voluntary sector and the people and communities they serve.

While LGF members acknowledge the fact that some larger charities are being given the opportunity to deliver public services, evidence shows that smaller local charities, including many BME community groups, are struggling to access this funding. Falling grant support means that society is the poorer, as we lose the creativity and energy that comes from grant funding the development of innovative solutions by local communities.

Data from NCVO’s latest Almanac, which offers an annual analysis of a range of indicators about the voluntary sector, including where organisations get their funding, showed a rapid decline in grants from £4.5 billion in 2005 to £3 billion in 2010.

Speaking on behalf of the forum, Joe Irvin of NAVCA said, “Unfortunately this data confirms what members of the LGF have warned for some time – that grants from local public bodies to support work in the community are dwindling, with more local charities being forced to compete for funding on a contract basis or have no support at all.  This trend is not in the best interests of local charities, the communities they serve nor ultimately public sector funders.”

Joe went on to add, “Small local charities should not be viewed as just another type of contractor, expected to compete with big private firms.  It’s vital that national and local government understand that grants, rather than contracts, are often a better way to get the kind of civic engagement it wants.”

• The following members of the Local Grants Forum have signed up to this statement: NAVCA, AdviceUK, Children England, Citizens Advice, Community Foundation Network, Community Matters, Directory of Social Change, Housing Justice, NCVYS, People Can, Urban Forum, Women’s Resource Centre, Voice4Change England.
• For more information about the work of the Local Grants Forum, contact Katy Wing at katy.wing@navca.org.uk or go to theirweb page.

NAVCA has called for politicians to focus on the effects of charities cuts rather than get caught up in the argument over the size of the cuts. Newspapers yesterday ran stories about a leaked report Acevo sent to the Government. The report about the Transition Fund suggested that charities could have lost up to £5.5 billion pounds due to the recession and public spending cuts. Questioned about the cuts from the Labour Shadow Charities Minister, Gareth Thomas MP, the Cabinet Officer rejected the figures in the report saying that they do not ‘consider these figures reliable.’

Joe Irvin, NAVCA’s Chief Executive, said;

“Let’s not get sidetracked into an argument about whether the cuts are one colossal number or another – the fact is they are happening. What we know is the damage they are causing as charities across the country reduce services and lay off staff. We also know that some are being hit harder by unfair and disproportionate cuts.”

“The important thing to remember is that the cuts hurt the most disadvantaged communities and vulnerable people most. The elderly, people with disabilities, and children are all suffering as cuts mean charities are less able to support them. The cuts are severe and that is why we have joined with other national organisations to ask George Osborne to use the budget on 21 March to provide extra support for charities working in the most disadvantaged communities.”

NAVCA held a reception on Monday 27 February in the House of Commons to celebrate the work of our members and say farewell to retiring Chief Executive Kevin Curley and welcome new Chief Executive Joe Irvin.

The event was hosted by Alun Michael MP and there were speeches by Anne Torry (Zurich Municipal), Nick Hurd MP, Kevin Curley, Joe Irvin and Mike Martin MBE (NAVCA Chair).

It was good to see so many members at the reception. Kevin has asked for his thanks to be passed onto trustees, members and friends for the great gifts which he says were perfect, very generous and much appreciated.

Pictures can be viewed on NAVCA’s website and on navcaboodle (members only).

The Public Services (Social Value) Bill has cleared its final hurdle in the House of Lords and is set to become Law. The Bill will mean public bodies have to consider social and environmental benefits alongside financial considerations when awarding contracts. NAVCA believes this will help charities and local voluntary organisations win more public service contracts as they provide a high level of added social value to the contracted services they deliver.

It is not easy to get a Private Members Bill to become law, so due recognition should be given to the efforts of Chris White MP. In the ten years up to 2008, just 60 proposed Private Members Bills out of 1,096 were successful. To maximise the impact of this new law, NAVCA wants strong implementation guidance to be provided for public bodies. The best person to lead this work is Chris White, working alongside the Local Government Association and national umbrella charities.

 Joe Irvin, NAVCA’s Chief Executive, said;

“Chris White’s Bill builds Social Value into contracts drawn up by public bodies, including local authorities. It means that from now on they will have to consider the full benefits to the community that providers offer. It will open the door for many local charities to contribute more to their communities. It is no mean feat to get a private members bill through Parliament with cross-party support, so Chris White deserves massive praise for his foresight and determination. We expect it to become law by the summer.”

 “Our task now is to ensure that it is implemented well and everywhere, with a proper definition of what Social Value means. We would like the Government to task Chris White with working with theLGAand national umbrella charities to draw up high quality guidance for public bodies.”

Joe Irvin, NAVCA’s Chief Executive, has welcomed the plans announced today by Deputy Prime Minister Nick Clegg to help young people find work, training or get back into education. Nick Clegg MP has announced a £126 million scheme to help at least 55,000 “neets” – those not in education, employment or training. As part of the scheme, charities and businesses will be invited to bid for contracts worth up to £2,200 to take young people on.

Joe Irvin, NAVCA’s Chief Executive, said;

“Youth unemployment is a major problem. We have lobbied government on this issue and in particular we asked for the Government to ensure charities are included in plans to help young people. NAVCA is pleased that the Government has listened and Charities are being given the chance to play a constructive role in this scheme. It is important this is implemented in a way that benefits the young people it is intended to help. Involving charities can help make sure this happens.”

NAVCA has joined the Early Intervention Foundation Consortium. The Consortium was set up by Labour MP Graham Allen and is supported by David Cameron. The consortium seeks to become a centre to champion Early Intervention, develop an evidence base of what works and provide advice to practitioners. NAVCA’s involvement means that the local voluntary sector, who play an important role in supporting and delivering early intervention policies and programmes, can be at the heart of this work.

Joe Irvin, NAVCA’s Chief Executive said,

“Early intervention can dramatically improve lives, tackle child poverty and improve people’s health. Much of the work of local charities and voluntary groups concerns itself with early intervention. We believe local and small scale charities can play a big part in successful early interventions.”

“We really welcome the chance to be part of this consortium and we would like to see public bodies make a start by allocating at least one per cent of budgets to early intervention.”

More information on the work of the Early Intervention Foundation Consortium can be found on the website of Graham Allen MP.

NAVCA’s Chief Executive Joe Irvin has been invited to join a key Department of Health Board. The Department of Health Local Government (DH LG) Programme Board is charged with ensuring the implementation of the health and social care reforms which will establish local authorities as the system leaders. Joining this board will allow NAVCA to input the views of the local voluntary and community sector to decisions concerning Health and Wellbeing Boards, local HealthWatch and developing local public health systems. NAVCA will attend its first meeting of this board on 15 February 2012.

The invitation to join this board is recognition of NAVCA as a credible and authentic voice for the local voluntary sector and local communities. It will enable the local voluntary and community sector to influence decisions aimed at ensuring effective commissioning and improving the health and wellbeing of local communities.

Joe Irvin, Chief Executive of NAVCA, said;

“It is really positive that the Department of Health recognises how important it is to involve the voluntary sector in their transition planning. I am delighted that they see such an important role for NAVCA. By sitting on this board, we can ensure the views of the local voluntary and community sector help to shape this important agenda.”

“It is vital that our members continue to feed in their views and information to us: this is what the Department of Health wants and needs to hear.”

If you have any issues, concerns or questions about local HealthWatch, Health and Wellbeing Boards, or changes to local public health systems, email Katy Wing, NAVCA’s Director - Improving Local Services.