Recession brings community to fore, says Blears

8 Jun 09
Communities Secretary Hazel Blears has said the recession is serving as a ‘catalyst’ for the reform of public services and creating greater need for devolution of power

1st May 2009

By Vivienne Russell

Communities Secretary Hazel Blears has said the recession is serving as a ‘catalyst’ for the reform of public services and creating greater need for devolution of power.

In a speech to Community Service Volunteers on April 29, Blears said values of co-operation and collaboration were becoming more important. She said her officials were working with community investment experts on ways to provide communities with sustainable sources of income and would report by the summer.

‘In the wake of our mistrust of global financial institutions, there are new opportunities now for community shares and bonds; US-style community reinvestment programmes; and a much closer look on how we measure the social return on public investment,’ Blears said.

‘The US Community Investment Act, whereby financial institutions must plough some of their profits into communities, might serve as an interesting starting point.’

She added that the measures would draw on the tradition of volunteering and self-help and the wealth of experience in the third sector.

Liz Atkins, director of public policy at the National Council for Voluntary Organisations, said: ‘As we have always argued, voluntary and community organisations will play a critical role in supporting communities through the recession. Our organisations bring people together and help to tackle unrest. But to do so they need to be properly resourced.’

A new campaign was launched this week to bring financial stability to the charitable sector. A Recession Charter from union Unite called for five- to ten-year funding streams.

Rachael Maskell, Unite’s national officer for the community and non-profit sector, said: ‘Ministers can’t allow charities to become the recession’s forgotten crisis.’

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