Independent funder Foundation Scotland has announced a £12 million fast-tracked ‘Response Fund’ to support organisations which serve the hardest hit communities across the country.
The accelerated funding programme comes in response to increased pressure on charities and community groups, many of whom are seeing a surge in demand for services while they themselves are facing reduced capacity and soaring overheads, such as utilities, staffing and National Insurance costs.
To provide support for organisations who need it now, and to help with longer-term capacity building, Foundation Scotland will implement funding programmes that aim to do both.
Support includes a cost-of-living adjustment to all organisations funded in the last year to help them cope with rising operational costs. This will be implemented alongside a payment to organisations who were awarded funding last autumn, but who were unable to reflect the sudden increase in employer National Insurance costs in their applications.
Funding for these two programmes will total around £650,000.
Foundation Scotland will also contribute half a million pounds to the Corra Foundation’s ongoing Boost programme, a small grants fund for local community organisations supporting children and families hardest hit by poverty.
The Boost programme provides grants of £500-£3,000 and is delivered by Corra, in partnership with STV Children’s Appeal and Comic Relief.
Carolyn Sawers, Chief Executive of Corra Foundation said: “Community-led action is critical to tackling poverty and its impacts.
“Small grants, designed to work for local groups, make a big difference. With Foundation Scotland’s contribution, Boost will be able to reach many more children and families across Scotland.”
Funding support that will help both immediately and in the longer term is also being given to all of Scotland’s Citizens Advice Bureaux, to assist with staffing and operational costs.
During the cost of living crisis, CABs have been overwhelmed with people desperate for help or support to navigate energy bills, benefits, debt, housing concerns and other urgent issues. CABs themselves are charities and many are struggling with the disproportionate balance of need to resource as well as the ever increasing strain of covering their own costs.
All 59 CABs, as well as their umbrella body Citizens Advice Scotland, will receive individual awards of £50,000 this year and £50,000 in the next financial year, totalling £6million of funding over 2 years.
Derek Mitchell, CEO of Citizens Advice Scotland, said: “Our network is seeing record levels of demand from people across all corners of Scotland.
“The advice we provide is fundamentally about bringing stability to volatility, but the people behind the network, the ones working tirelessly to help communities are facing increasing pressures.
“CABs own livelihoods are often marked with uncertainty and at the mercy of short-term funding cycles. Funding like this is a game-changer. It will allow CABs to take a breath and plan the next two years with more of a safety net around costs.
“I’d like to extend a huge thank you to Foundation Scotland for the support, and to everyone at CAS and the network that continue to work each day to better the lives of people across Scotland.”
Lastly, Development Trust Association Scotland (DTAS) will receive funding to help support local development trusts across the country.
Development trusts are community led organisations, set up to proactively address and tackle local needs and issues through community-led activity and partnership working. Many of them are vital to community support systems and infrastructure, but are facing critical operational challenges.
Funding will help them stabilize and rebuild their capacity, to better support the communities they represent. DTAS is the member-led organisation that promotes and supports development trusts across Scotland, and they will hold and distribute the funds.
This award will total £5million, allocated over two years, and represents the biggest single award Foundation Scotland has made in its history.
Pauline Smith, Chief Executive at DTAS said: “This funding couldn’t have come at a more crucial time and is strong recognition of the incredible work Development Trusts are doing across Scotland.
“We’re operating in a challenging environment, and this £5 million investment will be directed straight to our members through a Recovery and Resilience Fund – supporting long-term strength and sustainability in communities.
“With over 400 existing and aspiring Development Trusts in our network, we see every day the vital role they play, responding to growing local needs, strengthening community-led governance, and creating places people are proud to call home.
“These trusts are the backbone of community infrastructure, and without them, much of the social, economic, cultural, and environmental activity in our communities simply wouldn’t exist.
“This support will help strengthen the infrastructure that so many people rely on. We’re hugely grateful to Foundation Scotland – this funding will make a real and lasting difference across the country.”
Giles Ruck, CEO of Foundation Scotland said: “As Scotland’s Community Foundation, we are acutely aware that people across the country are continuing to face ongoing financial hardship, struggling to keep their heads above water or pay their bills.
“We want to support communities and individuals where we can. As a first step, we are fast tracking this Response Fund to help address multiple and pressing challenges. We want to go at least some way to help those affected by financial crisis, as well as help organisations and charities to stabilise and rebuild.
“Although we are providing over £12 million in funding, we know that we are scratching at the surface. However, we are committed to using this fund as a stepping stone from which we can better support communities, listening to what people say that they need, and working with others to create a stronger, more resilient Scotland.
“Foundation Scotland would like to thank the many donors who trust us with stewardship of their funds, pooling them with our own to ensure the greatest impact on our communities.”
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