Decision details

Third Sector Investment Fund: Extension of Grants to 30 September 2026

Decision Maker: Executive Director of Finance and Corporate Services

Decision status: Recommendations Approved

Is Key decision?: Yes

Is subject to call in?: Yes

Purpose:

A decision, with delegated authority from Cabinet in consultation with the Cabinet Member for Social Inclusion and Community Safety, to award grants to voluntary and community sector organisations in line with the Third Sector Investment Strategy agreed by Cabinet on 15 July 2024.

Decision:

  1. To extend funding awards for the services as set out in Appendix 1 for 18 months from 1 April 2025 to 30 September 2026. The cost of the 18-month extension will be £3,432,984 which is within planned budgets.

 

  1. To note this will allow the organisations to continue delivering their services in line with their grant agreements.

 

  1. To note that the approval of funding awards will be subject to satisfactory agreement of grant conditions, and that funding will be recouped by the council if organisations are no longer able to deliver services in line with the terms of the existing grant agreements.

 

Reasons for the decision:

  1. Recent years have been dominated by a rapidly deteriorating national economic situation, with high inflation, rising interest rates and record UK government peacetime borrowing. This has had a knock-on effect on household budgets, businesses, and a rise in demand for council services.

 

  1. The recent announcement of the national Local Authority Funding Reforms consultation will result in considerable pressures and uncertainties on the Council’s future financial resources. It is therefore considered prudent to pause any decision on the 3-year funding arrangements for this grant programme until the outcome of the review and the impact it may have on the Council’s finances becomes clear.

Alternative options considered:

·       Option 1 – extend current grant awards by 18 months up to 30 September 2026 - recommended

·       Option 2 – commit to a new 3-year grant funding programme – not recommended

·       Option 3 – not providing prompt notice of the extension – not recommended

 

Publication date: 24/02/2025

Date of decision: 24/02/2025

Effective from: 28/02/2025

Accompanying Documents: