Finance for Charities falls £2.1bn short
- 13 Feb
A report shows that the amount that charities and social enterprises want to borrow is £2.1 billion more than the finance that is available.
The gap is thought to have grown by up to £400 million since 2011 due to funding cuts and increased demand.
Mind the Finance Gap: Evidencing Demand for Community Finance shows that the government estimate in 2011, when giving approval for state-aid for social enterprise lender Big Society Capital, shows the difference was at £1.7 billion then.
The report says that this amount could have grown by up to £400m since that point because of worsening funding conditions and increased demand from entrants to the market.
But it says the total size of current lending to third sector organisations by CDFIs is £145m, and outside this there is only a small amount of other lending by social investment finance intermediaries.
The report says there is an annual demand of up to £6.75bn for the type of community finance provided by CDFIs, which covers not just social enterprise but also businesses and individuals, mostly in deprived communities, that are unable to access mainstream credit.
However, the total annual funding delivered by the community finance sector is only £700m.
The report says this demand could not be met by mainstream bank lending, but only by "a partnership between public, private and social investors" who "share common economic and social objectives":
Source: Third Sector
Image source: http://www.sxc.hu/photo/1222895
- 20 Apr
CHARITY WORKS TOWARDS A NATIONAL PLAN TO END HOMELESSNESS
Prime minister, Theresa May and the first ministers of Scotland and Wales congratulated "Crisis" on its anniversary and gave an assurance to work hand in hand with them while on a quest to eradicate...
- 30 Jan
THE FATE OF EU-FUNDED PROJECTS AND ITS EFFECT ON CHARITY SERVICES
In March 2016, forecasts of growth were low and the government's own estimates put the Treasury's coffers £122bn poorer by 2020.The supreme court has also determined that MPs must approve the...
- 15 Jun
INCREASE IN THREATS OF EVICTIONS FROM HOMES
After analysing statistics from the Ministry of Justice, the housing charity (Shelter) found the following:In the past year, the number of people seeking advice from 'Shelter' on their eviction...
- 07 Jun
CHARITIES, THEIR BRANDS, BENEFICIARIES AND HOW TO EFFECT CHANGE
"Most charities exist because their founders believed the future could be different if they mobilised supporters", but Mandy Johnson of the Guardian believes"This vision is being lost."Charities are...
- 17 Apr
Support for veterans to return to work
Places for People hopes to support veterans into the workplace and also benefit from the skills and experience they have to offer, reports 24dash.All veterans applying for jobs in Places for People's...
- 26 Jan
Charity registers as social landlord
It has now registered its housing department as a housing association, Inside Housing reports.The charity set up Golden Lane Housing (GLH) in 1998, which has now registered to be a social landlord...
- 14 Jan
Charity to develop app for people with disabilities
The funding will enable the charity to develop and test the free app, called FlyCatcher, which could be on the market by 2016.The app uses iBeacon technology to send information through smartphones...
- 14 Jan
Young people’s health harmed by fuel poverty
The Department of Energy and Climate Change have reported that 10% of households in England were in fuel poverty.The charity, Turn2us have stated that 75% of the 2,060 adults in the PRS who were...
- 08 Jan
Homelessness in Scotland
Shelter Scotland stated that this percentage is ‘disproportionate' to the sector's size which makes up 13% of all housing in Scotland, Inside Housing reports. It was also mentioned that the number...
- 07 Jan
Homelessness an ‘increasing trend’ in Wales
Cais blames the lack of options available to individuals due to the change in the type of support that can be offered.The Chief Executive of Cais, Clive Wolfendale has described the problem of...
The Welfare Reform Act: Universal Credit, Sheltered and Supported Housing The content was concise and to the point. The content was relevant to our service, and gave us a better us a better indication of were stand with upcoming changes. Rosie Kaur - Panahghar