Camden Council is claiming to have taken an “investment-led” approach to voluntary and community sector (VCS) funding, as it works to mitigate reductions in its budget.

Speaking about the launch of the Council’s VCS investment and support programme for 2012-15, a spokeswoman said it is “investing in outcomes”, rather than “funding services”, and would be “working with organisations to co-produce outcomes and outcomes frameworks that can improve our shared ability to understand what difference has been made on the ground”.

The Council, which believes it is London’s largest local authority provider of funding to the sector, is to cut its VCS budget from £9m to £6.5m as it attempts to deal with an overall funding gap of almost £100m.

Two £1m funds

As part of the plans, the Council has launched a new £1m equalities and cohesion fund, targeted at reducing inequalities faced by vulnerable groups.

Organisations are also invited to apply for a community centres fund, which will provide £1.25m a year for three years via grants of £100,000 per organisation per year. It will fund centres providing activities to the communities they serve.

Meanwhile, applications for an innovation and development fund and a volunteering, giving and exchange fund will be accepted from the autumn.

It has also introduced a new rent policy to help VCS organisations access suitable and affordable premises and avoid bureaucracy.

“Financial realities”

Councillor Sarah Hayward, Camden Council’s cabinet member for communities, regeneration and equalities, said: “Financial realities have meant we have had to get the most out the drastically reduced pot available to us.

“That’s why we have cut the red tape and put the focus on achievements instead of bureaucracy to bring real benefits direct to residents.”

The Council’s existing funding contracts end in December 2011, having been extended for nine months to give organisations time to plan.