The Department for International Development has launched a new fund, expected to be worth £150m over five years, to support small and medium-sized development charities.

The UK Aid Direct fund will give out grants totalling £30m in its first year and a similar amount is expected to be available for the following four years, Dfid said.

Small and medium-sized charities working to reduce poverty can apply for funding by the end of September.

Grants of up to £250,000 are available to small UK-based charities, with an annual income of less than £1m a year for the last three years.

Medium-sized charities based in the UK or one of Dfid’s priority countries, as listed on its website, can apply for 'impact' grants of between £250,000 and £4m. No definition is provided of "medium-sized" but successful applicants in this set must be able to raise at least 25 per cent match funding in order to be eligible.

Justine Greening, Secretary of State for International Development, announced the funding at the first in a series of Dfid Direct roadshows in Cardiff, which will encourage smaller charities to make the most of funding from the department.

The work of two small Welsh charities was highlighted at the event; Interburns works to reduce death from burn injuries in Bangladesh and Nepal, and Pont helps children and pregnant women access emergency healthcare in Uganda.  

“British expertise is getting children into school, fighting deadly diseases and helping people earn a living in some of the world’s poorest places,” Greening said. “The launch of UK Aid Direct means we can work hand in hand with fantastic smaller charities that have a unique ability to identify needs, build relationships and tackle specific issues at a grassroots level.”

Charities can find out how to apply here. Dfid has also launched a funding finder tool to help charities find the right funding opportunities for their organisation.