Jamie Hailstone 02 August 2011

Thousands of charities facing budget cuts

More than 2,200 charities are facing budget cuts as councils reduce spending, according to a new report by the trade union backed campaign, False Economy.

The campaign found that 2,215 charities are reducing their spending as local authorities cut public sector spending.

According to False Economy, Birmingham City Council has cut the funding to the largest number of charities – 191, followed by London Councils, who have cut funding to 174 groups.

The number of third sector groups facing cuts includes 112 adult care charities, 382 children’s and young people-related groups and 151 disability groups.

'These cuts go deep into the voluntary and community sectors,' said campaign director, Clifford Singer. 'These are not just 'nice to have' groups, but organisations providing vital services for older people trying to maintain independent lives, vulnerable children and abused women.

'And with so many of the cuts simply resulting in further pressure on the NHS, or other statutory services, they are truly a false economy.'

LGA chairman, Sir Merrick Cockell ,said: 'Many councils and voluntary sector groups have sat down together to consider budgets and come up with joint solutions to the tough financial decisions they have had to take.

'Even where local authorities have had to reduce the amount of money they give to charities, they are working to help them plug the gap by providing advice and support with services such as project planning, human resources and media promotion.'

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