Andrew Hind has revealed that the Charity Commission will cut staff numbers by more than 60 this year as it responds to reduced funding in the 2010/11 financial year, the last of the current government spending review period.

In his report for this Thursday’s board meeting, the regulator’s chief executive reveals the Commission is planning to reduce its total workforce to 425 by the end of March 2011 as it faces a real-term funding reduction of 5 per cent.

Hind argues that this reduction of £0.9m comes at a time when demand for its services has increased “in almost all areas”.

The Commission has already reduced staff numbers from 603 in 2005 to 488 in March this year.

£1.5m reserves lost

He adds that these cuts been exacerbated by the withdrawal of access to reserves totalling £1.5m which the Commission had managed to accumulate in recent years.

Hind says that without access to these reserves, “further investment to improve the efficiency of our operations is extremely difficult to finance”.

Hind goes on to warn that the regulator will have to cut some of its services if it is subjected to further funding cuts in the next review.

“We recognise the serious position of the public finances. However, as we enter the preparatory stage for the next government spending review, I have to say that the Commission cannot both deliver all its present services and functions and, at the same time, absorb further significant funding reductions.”