1. State of the Sector Jane Hartley– VONNE

2. Size and scale of sector in NE 6,900 voluntary and community organisations in the North East Doesn’t include smaller grassroots organisations – figure likely to double to 15,000 57% small organisations with less than £50,000 income 23% medium sized organisations income £50,000- £250,000 20% larger organisations income £250,000- £1M+ Source: NE Third Sector Trends Study

3. Winners & Losers : VCSE in richest areas versus poorest areas Assets, social capital, capacity & capability of VCSE Poorer areas Richer areas Depth of community need Decreasing public sector investment in poorer areas

4. Winners & Losers : VCSE in richest areas versus poorest areas 42% of VCSE in the poorest areas (IMD1-2) get most money from the public sector compared with 10% in the richest (IMD 9-10) Source: NE Third Sector Trends Study

5. Funding and income trends North East Source: NE Third Sector Trends Study

6. Funding and income trends North East Source: NE Third Sector Trends Study

10. Income from Government Grants & Contracts

14. Assets

15. Funding and income trends North East Source: NE Third Sector Trends Study

16. NE Funders Network Survey Results

17. Survey Respondents (17): Bridges Ventures Coalfields Regeneration Trust Sherburn House Charity Ballinger Charitable Trust The Joicey Trust Sported Charity Bank Millfield House Foundation Lloyds Bank Foundation BBC Children in Need Big Lottery Fund Greggs Foundation The Shears Foundation Gateshead Council Northstar Ventures Esmee Fairbairn Foundation Comic Relief

18. Funding cold spots:

19. Garfield Weston Foundation Insight Into The Future Of Charity Funding In The North East 2014

20. Focus of Garfield Weston Report Understanding current funding resources in small to medium sized VCSE organisations in the NE What can funders and others do to help build sustainable future funding base Methodology: – Review of existing research – Phone survey of 182 organisations – Follow up interviews with 22 participant organisations – In depth interviews with 9 public & VCS agencies

21. Key Findings 1.Highly Localised focus 2.Localities with some of highest deprivation had least charities serving them: Darlington, Redcar & Cleveland 3.Fewer resources and increased demand 4.At risk group – ‘The squeezed middle’ 5.Diversity in income but few main sources 6.Mixed stages in planning for change 7.Lack of resources to invest in change 8.Local Allegiances with regard to fundraising

22. Conclusions General Foundation Measures: 1.Establishing more connections with potential applicants at regional and local level 2.Reviewing application procedures and rules not seen as helpful 3.Exploring options for targeting support towards organisations in geographical areas of need where VCS infrastructure appears weak, and/or ways of encouraging new infrastructure

23. Conclusions Core & Development Support: 1.Responding flexibly to the range of core and development support needs and rebalancing some funding away from specific project delivery and outcomes focus 2.Access to range of income generation advice 3.Access to training and support around finance & budgeting 4.Locally based trustee and board development 5.Mentoring and knowledge sharing 6.Build skills around income generation from philanthropic sources 7.Shared initiatives in knowledge and skills building, and innovative approaches

24. Conclusions Increased grant funding: 1.Transition and development funding, led by org need invaluable in ensuring good orgs are sustainable and continue to meet needs in communities 2.More support for basic community services needed in region where sector is under invested. 3.Some foundations already addressing needs of area but awareness needs to be raised with others 4.Charities should consider how they can generate income on a sustainable basis to support their activities

25. Opportunities NE Funders Network – collaboration and targeting European Funding Local Sustainability Fund Investment Readiness Funding & Social Investment Skills and capacity training – Building Better Governance

26. Opportunities Devolved budgets and power to combined authorities at sub regional level VCSE seen as key partner in delivery of public services Health Commissioners recognising value of VCSE – social prescribing Police & Crime Commissioners

27. Contact details Emails: jane.hartley@vonne.org.ukjane.hartley@vonne.org.uk E bulletins & Jobs www.vonne.org.uk