Conservative MP Oliver Letwin has said the Tories will ask the voluntary sector to go beyond its current capacity if it wins the next election.

Letwin (pictured), speaking at the NCVO's Campaigns Conference yesterday, was responding to a delegate’s warning that the sector had “an abject terror” of a possible Tory leadership, especially after spending so many years forging links with the current government.

“The voluntary sector is the foundation step of what we want to achieve,” Letwin maintained. “The question is whether we are going to be demanding too much of the third sector and be too interested in working with it."

“We will ask you to go beyond your current capacity. Therefore we will build the capacity of big organisations and tiny ones."

Continuing with the theme of public service delivery, Letwin said the sector should be paid by results or grants, not "process-based, micro-managed contracts".

“You can’t build or replicate capital on the basis of full cost recovery or micro-management from government.  You must bid on circumstances to make a reasonable profit and plough it back into growing services.”

Tory government would 'expect more for less'

However, Labour candidate Chuka Umunna challenged the Conservatives' plans for the voluntary sector, arguing charities would be expected to “step up” and fill the gap left by big government but without extra funds to do so effectively.

He said the role played by the state would be pivotal in this year’s election. He highlighted the government’s intervention to prevent a deeper banking crisis as an example of why state intervention was a “force for good”.

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Conservatives will expect even more of sector, admits Letwin

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Directory: National Council of Voluntary Organisations (NCVO)