‘Cuts Both Ways’:A voluntary sector response to council budget cuts

13 February 2014

Phil MawhinneySenior Policy OfficerCommunity Action Southwark

1. Session outcomes

Participants will gain –

• Knowledge of how CAS is influencing Southwark council on the impact of budget cuts.

• Knowledge of the different tools used to collect and share evidence.

• Ideas for how to influence their local council.

1. OutlineTime Item

2.30• Introductions• Worth our while influencing councils?• Context : cuts• Narrative + evidence

3.30 Refreshments

3.35• Films: prevention• Policy asks• Recap

4.25 End

1. Introductions

In pairs, report the other person’s –

• Name

• Organisation

• Borough

• What they want to get from this workshop

2. Worth our while?

Is it worth your while to try and influence the council on budget cuts?

Why?

3. Context: council budget cuts

10/11 11/12 12/13 13/14 14/15 15/160

50

100

150

200

250

300

350

400

450399

365344 342

322

290

Southwark Council spending power, 2010/11-15/16

Reve

nue

Spen

ding

Pow

er, £

m

• Council spending power cut 27% over 6 years.

• 15/16 likely to be 11% cut.

• Less council funding for VCOs.

• Driver/context

3. Context: council budget cuts

Qu 1: National• Nationally, we are halfway through 8 years of planned fiscal

consolidation. • By the end of 2013/14, the government will have achieved how

much of this consolidation?

a) 26%

b) 44%

c) 52%

3. Context: council budget cuts

Answer 1.

a) 26%

b) 44%

c) 52%

Source: IFS

However – ‘the benefit cuts and the cuts to day-to-day spending on public services have been relatively back-loaded’.

3. Context: council budget cuts

Qu 2: Local government• Local government spending is set to fall by how much between

2008 and 2015?

a) 15%

b) 30%

c) 40%

3. Context: council budget cuts

Answer 2.

a) 15%

b) 30%

c) 40%

• Because funding covers new service burdens – the underlying cut for existing services is even higher.

Source: JRF

3. Context: council budget cuts

Qu 3: London councils• Of 32 London boroughs, how many are seeing a cut in spending

power per person of >£200 (2011-15)?

a) 18

b) 22

c) 27

Answer 3.

a) 18

b) 22

c) 27

Southwark, £249

Hackney, £338

Richmond, £39

3. Context: council budget cuts

Qu 4: Voluntary sector funding• NCVO estimates public funding for charities to decline by

how much 2010-18?

a) 9%

b) 12%

c) 21%

3. Context: council budget cuts

Answer 4.

a) 9%

b) 12%

c) 21%

• If cuts are disproportionate – as suggested by Compact evidence – it could be 15%.

Source: NCVO

3. Context: council budget cuts

Qu 5: Voluntary sector impact• How many voluntary organisations in London had to close services

in 2012, according to an LVSC survey?

a) 41%

b) 51%

c) 71%

3. Context: council budget cuts

Answer 5:

a) 41%

b) 51%

c) 71%

Source: LVSC

• 60% reported a reduction in overall funding.• 66% saw an increase in demand for their services.

3. Context: council budget cuts

Champions?

Image: downloadwallpaper.hdcom

4. Narrative

2 narrative options –

Image: ft.com

No cuts! Where would you be without us?

4. Narrative

4. Narrative

VCS make tangible difference in people’s lives

VCS bring VALUE – prevents higher costs to stat. services

Sensible use of public money

Imagine no VCS – needs would go unchecked, higher costs

Joseph + Mark, Youth Futures

Evidence/metrics on local VCS as a sector. • Concrete, contribution, economic• # organisations, # employees

4. Evidence

Name others!

4. Evidence

4. Evidence

Also – • # working with children/older people

etc.• £ charity (local) spending

• # organisations• # employees• # volunteers• £ of volunteering• £ leveraged in

Refreshments

5 minutes!

1. OutlineTime Item

2.30• Introductions• Worth our while influencing councils?• Context: cuts• Narrative + evidence

3.30 Refreshments

3.35• Films: prevention + themes • Policy asks• Recap

4.25 End

• Films – case studies of VCS prevention/value• 5 themes / areas of VCS work• Website

5. Films – prevention + themes

5. Films – prevention + themes

Themes?i.e. VCS work

5. Films – prevention + themes

Themes reflect council priorities –

• ‘Fairer Future Promises’

• Health & Wellbeing Strategy

• Economic Wellbeing Strategy

• Children & Young People’s Plan

E.g. parenting classes,

high quality youth work.

E.g. prison, hospital

• Prevention, reducing pressure on stat. services.

5. Films – prevention + themes

Youth futures (4.00-4.15) • Support and build confidence of young people at risk of exclusion.• Prevention – police resources, costs of unemployment.

Family Action (1.55-2.22) • Support isolated families – children and parents.• Prevention – fewer children into care system.

– fewer parents requiring mental health services.

5. Films – prevention + themes

• Narrative – what would happen if VCS didn’t exist• Evidence – employees, volunteering, leveraged income• Examples – of prevention, projects

Role play!• Pairs – 1 council leader, 1 VCS

advocate• 3 minutes to argue for the value of

the local VCS, risks of cutting• Prompts

5. Films – prevention + themes

‘Early Action Commission’

• Independent • Long-term, cross-sector view• How can the council, NHS, police etc. work with

the VCS to prevent needs escalating

6. Policy asks

Support from – • Council CEO• Corporate Strategy (demand management)• Health & Wellbeing Board• CCG (self-management)

What Can You Do? As a Southwark councillor, you can support our Value the VCS campaign in a number of ways:

1. Early Action & Voluntary Sector Commission Support our call for an independent, multi-agency commission to be set up in 2014 to look at how the council, NHS, police and other agencies can work with the VCS to act early and prevent needs and costs from arising.

2. Social Value & better commissioning Improve council commissioning so that social needs are met more effectively, such as by fully embedding social value.

3. Council Budget Formulate budgets that invest in prevention and long-term solutions, rather than making short-term reductions resulting in escalating needs.

4. Keep up to date Follow the campaign as we continue to film local charities. See our website and follow us on Twitter at @valuetheVCS.

6. Policy asks

Think + discuss!

1. Early Action a good hook?2. Commission effective in your borough?3. What would you do differently?4. Other policy asks?

6. Policy asks

6. Policy asks

7. Recap

Participants will gain –

• Knowledge of how CAS is influencing Southwark council on the impact of budget cuts.

• Knowledge of the different tools used to collect and share evidence.

• Ideas for how to influence their local council.

7. Recap

• Worthwhile? – pros/cons, politics

• Context – cuts, national/London/VCS

• Response narrative – value, what if no VCS?

• Evidence – sector, employees, volunteers, funding

• Examples – films, prevention, cost-saving

• Role play

• Policy – Early Action Commission (+ Social Value)

Phil Mawhinney

Senior Policy Officer

Community Action Southwark

[e] phil@casouthwark.org.uk

[t] 0207 358 7018

www. valuethevcs.org.uk

@valuetheVCS

Contact