Despite pessimism for the financial situation of their organisations, 82 per cent of charities plan to retain or increase the extent of services they offer, according to the NCVO's latest Charity Forecast Survey, published today.

The quarterly survey of NCVO members found that 59 per cent of charity leaders felt their financial situation had worsened over the past 12 months and 53 per cent expected it to deteriorate further over the next year.

But while some 49 per cent of respondents expected to decrease expenditure over the same period, this would not mean a reduction in services, the survey found. Some 39 per cent advised they were planning to increase the extent of services they offer and 43 per cent advised they would retain the same level of services. 

Collaboration could be the key to the optimistic results, with 71 per cent of respondents expressing a willingness to collaborate more with organisations over the next year.

Stuart Etherington, NCVO chief executive, called on the government to work with the sector: "It is essential that government does everything in its power to support the sector through these difficult times. 

"In particular, local authorities need to work in close partnership with voluntary organisations and guard against passing on disproportionate cuts that will impact on the most vulnerable."