The funding challenge: Who will fund a Big Society approach?

Transcription

1 Biodiversity and Big Society Conference, 15th June 2011 Nick Perks, Environmental Funders Network The funding challenge: Who will fund a Big Society approach?

2 EFN: an informal network of charitable trusts and philanthropists interested in environmental issues

3 EFN: Events and research. not grantmaking, or fundraising advice

4 Who will fund a Big Society approach? What is a Big Society approach? Does it need funding to happen? Government funding? Philanthropic funding?

5 [They] quickly realised that there was a great deal of demand for community engagement and a desire for the opportunity to genuinely improve their local district. However, what was needed was the infrastructure and financial support to enable these good intentions to yield concrete results. Case Study: The Seattle Neighborhood Matching Fund, Giving White Paper 2011

6 Heart of Eden Community Plan Eden District Council RDPE Defra EU Cumbria County Council Action with Communities in Cumbria National Park Authority Carnegie UK NHS Cumbria Parish Precepts Big Lottery Capacity Builders

7 Who will fund a Big Society approach? What is a Big Society approach? Does it need funding to happen? Government funding? Philanthropic funding?

8 Environment Agency 16% Natural England budget 21.5% National Parks 21.5% Core Defra budget 23% Central government grants to local government 26% (Over 4 years, in cash terms)

9 Heart of Eden Community Plan Eden District Council RDPE Defra EU Cumbria County Council Action with Communities in Cumbria National Park Authority Carnegie UK NHS Cumbria Parish Precepts Big Lottery Capacity Builders

10 So, what s new

11 Big Society Network We believe that the best way to achieve scale in service delivery and generate sustainable businesses is to the [sic] harness networked technologies of the Web, mobile [sic] and gaming. We believe that identifying new talent, backing entrepreneurs and championing pioneering technological innovations is both [sic] critical if we are to build a Big Society

12 Big Society Bank Still some hurdles to clear 600m capital = Dormant Accounts + Project Merlin The social sector[ s] capacity to achieve maximum social impact is severely constrained by a number of factors and in particular by its inability to access investment capital and its heavy dependence on donor finance. Primary aim: Development of social investment market (provide social loans / equity and enable others to do so) Social not environmental, though potential links? Supply of finance outstripping demand?

13 Green Investment Bank Some hurdles still to clear Initial 3bn of investments from government Full operation from 2015 Likely investments: offshore wind, energy efficiency, waste. 200bn+ investments needed to decarbonise and green the economy (Near) commercial lending

14 Environment White Paper 10m new funds: (local nature partnerships, nature improvement areas, national biodiversity network, and biodiversity recording in the voluntary sector) Ecosystem services: merely putting a value on degradation does not, in itself, create income to fund pro-environmental investment Biodiversity offsetting

15 Who will fund a Big Society approach? Introduction What is a Big Society approach? Does it need funding to happen? Government funding? Philanthropic funding?

16 1 700 bn Total public sector spending Total departmental spending Total philanthropic spending

17 m 3,000 2,500 2,000 1,500 1, Total Defra spending Total DECC spending Total environmental philanthropy - 1

18 m Total public sector spending on biodiversity Philanthropic spending on biodiversity -.

19 Most philanthropic organisations won t: Replace statutory funding Fund statutory bodies Philanthropic funds are already committed, in demand, and under pressure.

20 Philanthropic diversity: Grant making of a few thousand to multi-million Range of objectives: delivering services, building organisations, changing systems Range of approaches: gift giving, project funding, partnerships Range of tools: primarily grants, but experimenting with loans, mission-related investments

21 Some commonalities? Values-based Autonomous Informal / relational Generalist

22 Philanthropy in an age of austerity: Suffered some impact on assets and fundraising, but generally able to maintain expenditure After a pause in 2010, now being flooded with applications Thinking very carefully about priorities in the context of public sector spending cuts, and the Big Society agenda

23 In conclusion Very limited government funding in context of falling budgets Philanthropy cannot and will not come to the rescue Everyone is looking to models that generate income or mobilise voluntary effort

24 Biodiversity and Big Society Conference, 15th June 2011 Nick Perks, Environmental Funders Network Thank you.