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Legal Updates

Charities fear the worst

31 March 2011 #Employment

According to the latest Charity Forecast Survey published by the National Council for Voluntary Organisations (NCVO), over half (53%) plan to reduce employee numbers over the next three months due to concerns over future funding. This figure has increased twofold since the previous survey in December. 
35% of respondents plan to decrease the services they offer during the next three months, and 97% stated that they expect economic conditions within the charitable sector to worsen over the next 12 months.

The NCVO`s Chief Executive, Sir Stuart Etherington, said  "This latest survey shows how the looming tide of cuts is weighing heavily on everyone`s minds.  The Budget brought with it some welcome sweeteners for the sector, but more needs to be done to ensure that voluntary and community organisations have the support they need to continue providing vital services." He urged the Government to address the issue of charities not being able to recover VAT on shared services, stating that "Giving charities the incentive to work together would really help many organisations to maximise their resources in these challenging economic times."

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