Funding news

Support for the sector announced in Budget - 22 April 2009

As well as some additional money for existing funding, today's Budget announced a £20 million Hardship Fund to be introduced in 2009-10 to provide grant support to front-line third sector organisations adversely affected by the recession.

Here is a summary of what the Budget has promised in terms of funding for the voluntary and community sectors:

  • A new one-off £20 million Hardship Fund. Over £16m of this new money will be available to third sector organisations in England. The fund will be targeted at third sector organisations providing front line services that have been hit by the recession – either by seeing an increased demand for their services by experiencing cash flow difficulties.
  • an additional £45 million for small-scale renewable electricity and heat technologies, primarily through the Low-Carbon Buildings Programme. This will help to bring forward around 13,000 installations, and prepare the renewable supply chain to benefit from future opportunities when feedin tariffs and the renewable heat incentive are introduced in 2010 and 2011 respectively; and £25 million in funding for low-carbon community heating schemes, allowing at least 10 communities to benefit from cleaner, locally produced energy. This will help deliver savings of 20,000 tCO2 and support employment.
  • Since 2005, the Government has committed £80 million to a Financial Inclusion Growth Fund. This has enabled third sector lenders, such as credit unions and Community Development Financial Institutions, to make over 160,000 affordable loans to financially excluded customers. The Government believes it is vital to enable these lenders to continue to grow. The Government is therefore committing an extra £18.75 million to the Growth Fund, which will enable lenders to make an additional 85,000 loans by 2011.