London-based organisations closing services due to cuts

Governance | Gareth Jones | 20 Jul 2011

More than half of London-based voluntary and community organisations participating in a recent survey have closed services in the past year as a result of funding constraints, it was revealed today.

The Big Squeeze, which is produced by the London Voluntary Service Council (LVSC) and surveyed 120 organisations, found that 51 per cent of charities had closed services, while 54 per cent expect more services to close in 2011/12.

Furthermore 86 per cent expected demand for their services to increase, but 77 per cent were not confident they could meet that demand.

More than three-quarters said they expected their statutory funding to decrease in the next year.

Peter Lewis, chief executive of LVSC, said: “Whilst local authorities and government departments have complained about 8 per cent cuts, many charities and voluntary organisations have faced 20-30 per cent cuts. Our evidence shows that those Londoners who are already most disadvantaged are baring the brunt of these cuts.”

“But perhaps the most worrying thing is that it seems cost-effective preventative services are being targeted the most for immediate cuts.”

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