Blackpool Council has proposed to cut all grants to the voluntary sector by 2016, shifting towards an emphasis on funding through commissioned work.

The council aims to cut the grants, which are worth approximately £400,000 a year by 50 per cent in the year 2014/15, before cutting them completely the following year. The council claims that funds are more effectively dispersed through commissioned work, which is currently worth about £4.5m a year.

Councillor Simon Blackburn, leader of Blackpool Council, said: “Commissioning services directly may be more efficient and helps us to measure the social return on our investment.      

“In the current climate when funding from central government is being drastically reduced we need to look carefully at how we spend money to get the best outcome for Blackpool.”

The council is working with the Blackpool Council for Voluntary Services (CVS) and One Blackpool as part of the consultation process.

CVS chief executive Richard Emmess told The Blackpool Gazette: “The majority of the spend the council has in the community, voluntary and faith sector is already commissioned. So we are talking about a relatively small amount of money in comparison.

“We are still working through the implications. We all understand the pressure the local authority is under and we very much need to work with them as ultimately we have to make sure the people of the town are protected and supported during what is a difficult time.”

Charities that would be affected by these cuts include Blackpool’s Citizen Advice Bureau, Streetlife, a homelessness charity, and the Claremont First Step Centre.

A financial review to decide if organisations reliant on their current grants for vital services should be given the value of their grant for the next three months in order to allow for a full and efficient consultation is due to be made early this year. This review will only consider those already receiving grants of over £25,000.
 
Councillor Blackburn added: “We are aware some of the voluntary organisations affected by this have come to rely on this funding and so we are working with them to manage the transition period and allow time for consultation.”