The majority of charities applying for grants from the Lloyds TSB Foundation last year were ineligible for funding and wasting their time.

Linda Kelly (pictured), chief executive of the Lloyds TSB Foundation in England and Wales, said that the organisation had received 4,300 applications for funding just 1,800 of which were eligible. Of the eligible applications, 900 were funded.

Kelly said that the Foundation had seen a “dramatic” increase in the number of applications for funding since the economic downturn.

Speaking at the Funding the Future conference in London yesterday, Kelly added that the Foundation has just secured funding for the next four years. She said the organisation will have more money to distribute this year than last, rising to £25m in 2010 as opposed to £21m in 2009.