Dear Colleagues,
The Institute for Voluntary Action Research (IVAR) works to help strengthen communities across the UK through action research, education and training.
In April 2025, IVAR released a briefing outlining several leadership insights as part of its work. Its headline note was that ‘charities are demonstrating resilience in the face of unsustainable funding and unrealistic expectations, but without systemic change, the sector risks burnout and breakdown.’
Sound familiar?
Some of the key highlights included the following:
- Funding insecurity – paused grant programmes and limited investment in prevention
- Demand v capacity: rising need/reduced resources are leading to workforce strain
- Organisational change: redundancies/restructures are eroding capacity and morale
- Funders’ expectations: no reflection of daily realities or inflationary pressures
Our response across the piece as leaders has been to try to adapt through:
- Diversifying income and considering mergers
- Saying no to undeliverable contracts
- Prioritising self-care and peer support
For our funders and commissioners, a clear and timely message:
- Enable honest dialogue
- Listen to the sector’s collective voice
- Offer flexible, trust-based funding
The majority of disagreements within most voluntary and community sector areas are often about money or the lack thereof. Some partner organisations and commissioners have the view that ‘things can be done more cheaply in the VCSEF sector’ but this reflects a misunderstanding of the real and current challenges facing sector organisations, including the recent increase in national Insurance contributions and the skill, grit and determination it takes to run a successful charity, group or social enterprise.
However, we know that over decades of VCSEF sector work in the city, we have many examples of positive outcomes when we share our insights, pool our knowledge, skills, experience and work together and we can continue to do this going forward.
A final word on the highly anticipated new NHS 10-Year Plan, within which the VCSEF sector will have a fundamental role. The Plan will outline key reforms across prevention, primary and community care, and integrated neighbourhood working and is expected to be launched on the 5th July 2025.
Remember to check out our website and newsletter regularly – there is always new information, and opportunities are always presenting themselves.
If there are any issues that you would like to raise or anything that you would like to hear more about, please contact me.
Thank you,
Sharon Nanan-Sen
Chief Executive Officer