The Association of Charitable Foundations and the Association of Charity Officers are to share office space and start working together on issues affecting their members from today.

The charities, which are umbrella bodies for grant-making charities, have ruled out a merger, but the organisations will have a collaborative relationship.

Chris Hill, honorary treasurer of the Association of Charity Officers (ACO) said:

"The ACO believe that the time is right to relocate back to Central London, our home for many years, and work closer with ACF where we believe that we will jointly have a stronger voice and benefit from each other. 

"We recognise the synergy of the work in which both ACF and ACO are engaged in supporting their different members and are confident that our co-location will be to our mutual benefit.”

The organisations have already identified areas where they could work together which include, responses to the current changing economic and public service funding scenarios; the management of charitable endowments; as well as ongoing issues around effective grant-making to individuals.