Community infrastructure body Navca saw its income fall from £2.6m to £1.2m in the year to March 2014, mostly due to the end of a one-off £1m grant from the Department of Health.
Navca also saw the end of five other government grants and two Big Lottery Fund grants. Altogether grant funding fell from £1.76m to £376,000.
Navca has seen its income fall by almost two-thirds in the last five years, largely down to the loss of government grant funding.
“2013/14 was a financially challenging year,” the charity said in its annual report. “This decrease was the result of a number of multi-year projects ending in 2012/13, the largest of which was the Local Commissioning and Procurement project, and a one-off £1m Department of Health project.”
The charity’s “unrestricted, realised deficit” for the year was £134,000, it said.
However Navca still retains substantial reserves of more than £1.2m.
It said reserves built up over the last five years which “will be used to underwrite the cost of the work we do, for and on behalf of our members, while we continue to grow our other fee-earning work”.
Designated reserves at year end were £810,000 and unrestricted, undesignated reserves were £380,000.