Statutory funding

Statutory funding comprises various types of funding, such as grants and contracts, from a number of different sources, such as local authorities, primary care trusts, and central government departments.

In recent years many of the sector’s biggest organisations have become more and more reliant on statutory funding, as the culture of contracting with local and central government agencies to deliver public services becomes more prevalent.

The 2009 Civil Society Almanac, published by the NCVO, states that income from government totalled £11.5bn the latest year for which figures are available, and £7.8bn of this was from public sector contracts. The sector’s total income was £33.2bn, meaning statutory funding now accounts for a third of charities’ total revenue.