Modernisation Fund grant awards of over £3.6 million announced

Office of the Third Sector and Capacitybuilders have announced details of 401 grant awards - totalling over £3.6 million - made to a range of third sector organisations, helping them to increase their resilience so that they are better able to provide vital services during the tough economic times.

Over 500 third sector organisations benefit in total

These latest grant awards take the total number of organisations to have benefited from Phase Two of the Real Help for Communities Modernisation Fund to 521 with grants worth over £4.8 million in total.

‘Real Help for Communities’

The £16.5 million Modernisation Fund, which was launched as part of the Government’s Real Help for Communities Action Plan, was set up to help frontline voluntary organisations, charities and social enterprises be more resilient and efficient through the recession. The Modernisation Fund comprises of a mix of grant and loan funding delivered by Capacitybuilders and the Social Investment Business.

Supporting plans to collaborate or merge

The Fund helps strengthen organisations that provide services to those worst hit by the economic downturn by supporting them to collaborate with others, merge, or develop in other ways to respond to difficult times. 

Building resilience

Minister for the Third Sector, Angela Smith said:

“I am really pleased to be able to announce that over 400 charities, voluntary organisations and social enterprises have received grants worth up to £10,000 each to help them become more resilient and efficient in tough economic times.”

“This vital funding will not only strengthen these organisations by helping them with the cost of mergers and partnership working, but also helps them continue to provide services through difficult times.”

Bursary support

The first phase of the Modernisation Fund grants programme, which opened for application in June 2009, offered bursaries of £1000 to frontline organisations working in areas of importance to communities affected by the economic downturn.

Access to advice and support

The bursaries enabled organisations to access advice and support to explore the benefits of collaboration and merger as a means of becoming more resilient in the face of the economic downturn.

Moving plans forward

Under Phase Two of the programme, organisations who received a Phase One bursary were then invited to apply for a second phase of grants of up to £10,000 to make further progress towards collaboration or merger.

Impact of the programme

Ray Barwick, Manager of the Croydon Appliance Reuse Centre, which provides work experience and training opportunities for the long-term unemployed and those with learning disabilities, said:

“We want to be fully self-sustaining. Instead of trying to get public funding we want to concentrate on getting new contracts and after our advisory sessions (funded through phase one of the programme) we feel that collaboration is the best way forward. We’re now looking for a consultant to support us in our communications with the other partner and help bring everything to a successful conclusion.”

 Loan support also available

The Fund also includes a loans programme delivered by the Social Investment Business to charities and voluntary organisations with existing plans for mergers and collaboration or who wish to take forward other activity to help their business prepare for difficult times.

The Modernisation Fund is part of the £42.5 million package of measures announced in the Government’s Real Help for Communities Action Plan in February 09.