Small grants for community groups at risk from budget cuts

Small grants for community groups are at risk as Brighton and Hove City Council looks to make in-year budget cuts which some fear could prove to be a false economy.

Labour councillor Maureen Winder told the council’s Equalities, Community Safety and Human Rights Committee that the community grant fund might close next month.

The council is looking to reduce a forecast in-year budget shortfall of almost £9 million while looking for more than £70 million in savings over the next four years.

But some fear that modest savings in the council’s £1.1 billion budget of a few thousand pounds here and there could leave some small charities and voluntary groups at risk of closure.

In June, Extratime, a charity based in Portslade, said that it was closing – at the end of this month – because it was no longer financially viable.

Extratime has provided activities for children and young people with special educational needs and disabilities (SEND) for 20 years, easing the demand on council-funded services.

One parent said that the loss of groups like Extratime could result in more families seeking the already-limited respite care available from the council.

And without such support, some families might no longer be able to cope, leaving the council to have to pay for care packages. Just one care package could cost a six-figure sum.

There are similar risks with the charities and community and voluntary sector groups that support adults who need social care.

If small groups fold, the council could end up having to step in and fork out a much bigger amount on one care package alone than all the community grant savings combined.

Councillor Winder spoke about the funding risk when the Equalities, Community Safety and Human Rights Committee met at Hove Town Hall on Friday (13 October).

She said: “Every service has been asked to review budgets and identify where non-statutory and discretionary spending can be reduced.

“This will include our grant programmes to the community and voluntary sector.

“Unfortunately, this may mean we have to close the communities fund early this year and withdraw the final round of funding.”

She said that council officers would contact groups that have applied for grants if the pennywise decision to close applications is made by early next month.

The community grants fund saving would total £74,000 – money that is currently available to local community groups, voluntary organisations and not-for-profit social enterprises.

Hangleton and Knoll Project chief executive Jo Martindale, who represents the community and voluntary sector on the committee, asked what the council’s future vision was for the fund.

She said that current applicants and those hoping to apply would be interested to know the situation.

Councillor Winder said that no decision had been made yet but the council would work with Community Works and other groups to take the process forward.

The council’s executive director for housing, neighbourhoods and communities Rachel Sharpe said: “This is under active consideration at the moment, given the position of the council’s budget. The decision has not been made.”