Localism should be a boost for community and voluntary groups but the reverse seems to be happening. Councils and their local partners have to adopt a different approach
There’s an ever-wider chasm emerging between political rhetoric about the growing importance and value of the community and voluntary sectors, and the reality of what is happening on the ground.
Public expenditure cuts are leading disproportionately to reductions in grants and contract payments. And even where this is not the case, the failure of local authorities and other agencies to engage the sector in commissioning and budget decisions – or even communicate about what is actually being planned – is resulting in the sector feeling under attack.
The localism agenda should be empowering for community and voluntary organisations. Public sector commissioners should be identifying needs and outcomes, while being neutral about who provides. However, for too many organisations, commissioning is becoming a process from which they are excluded until the decision impacts upon them.
The idea of the sector fulfilling its innovative and responsive role through meeting the needs and aspirations of members, communities and service users is being stifled by processes that overly-determine activities and over-prescribe outputs. The introduction of payment by results has many benefits but it should not be deployed in ways that discriminate against small under-capitalised organisations. Contracts that can only be won by large private companies aren’t right.
Too many local authorities and other agencies are withdrawing their financial backing from important but often forgotten infrastructure organisations at the very time when it is most needed to support, co-ordinate and build the capacity of the local community sector.
The government is introducing the right to challenge supply and to transfer assets. These initiatives are welcome but they must offer real opportunities for the sector. They must not be Trojan horses for larger private sector organisations. The community and voluntary sector has to be able to secure revenue and capital support to take advantage of the opportunities.
There is an alternative. Fortunately, a few local authorities and their local partners are adopting more far-sighted and constructive behaviours and are working positively with the local community and voluntary sectors to find common cause in this period of austerity, They are trail-blazing the path for how local government can recognise the sector as an important element of civil society, as service providers, advocates and campaigners, and as a valuable source of ideas and community representation.
For its part, the community and voluntary sectors must understand and recognise the pressures that local government and the wider public sector is under. It must build alliances with unions, faith groups, and local businesses – as well as the public sector – to enhance civil society, defend services and promote the interests of communities.
In every locality, consideration should be given to all or some of the following:
- enhanced public sector support for capacity building in the sector including strengthening effective infrastructure bodies such as councils of voluntary service, rural community councils, volunteer centres, etc
- commissioning, procurement and grant regimes that allow and encourage innovation, flexibility and responsiveness from the sector – and ensure that there is full cost recovery
- a stated neutrality between public, third and private sector providers – ensuring that procurement and contracting does not favour any one sector
- establishment of ‘community and voluntary sector banks’ to provide affordable but repayable loans to the sector, thus enhancing national programmes. These to be publicly and privately funded with a view to driving local social investment opportunities
- supporting mergers and even acquisitions in the community and voluntary sector and amongst infrastructure bodies to ensure effective and vibrant sustainability
- engaging the community and voluntary sector in the localism debate, and the development and implementation of localism and decentralisation strategies
- encouraging the local private sector to support the community and voluntary sector; and requiring private sector and larger third sector contractors to work with and support community and voluntary sector providers in their supply chains and/or as genuine partners
- encouraging and facilitating the development and deployment of talent across the sectors
The nature of society is changing – and so is the profile of public service provision. The community and voluntary sector has a critical role to play. It has to be supported and valued – but it also has to earn this support. Neither the sector as a whole nor any one organisation within it has a divine right to exist or be funded. Quality and effectiveness are vital objectives for the sector – as is being both user and member-led and accountable.
Across the range of funding streams for the sector, there will inevitably be cuts. However, where these are significant, there has to be some transition support available to allow time for alternative arrangements. This is precisely the time for national umbrella and membership bodies to show farsighted, firm, constructive and pragmatic leadership and evangelise for change and excellence.
The solutions and approaches will need to be different in different places. Local authorities must exert their community leadership role to drive community development, localism and a re-invigorated community sector. Strong communities of the future will be based on strong partnerships between local government and the community and voluntary sector working together – but at the same time, respecting each other’s independence and legitimacy. The challenge is great, but the prize is worth it.
