Dear Colleagues,

Events rarely happen in isolation with no knock-on effect and so it is with global events. Undoubtedly there is an impact of rising fuel prices on the VCSEF sector, which may prevent volunteers and staff from moving around more frequently and this comes on top of the rise in car parking charges in the city, seen over the last few months.

This week, there was a meeting with MPs and civil society leaders, including the NAVCA CEO, Maddy Desforges, to discuss the impact of the war in Iran on civil society.

Some of the key messages raised and discussed included:

  • Income for the VCSEF sector is fixed with no uplift for years at a time, therefore, the costs either must be absorbed by the sector or there may be a reduction in services.#
  • Uncertainty and financial vulnerability for council and NHS reorganisation have a subsequent effect on VCSEF sector staff, volunteers and services, who must “quietly absorb” the impact; or use reserves or stop services for vulnerable people.
  • The global situation exacerbates existing problems in the VCSEF sector, with the widening gap between funding levels, costs of delivery, and demand.
  • There are heightened community tensions which in turn impact sector staff, volunteers, and the feeling of being unsafe.
  • The increased cost of living for households means people are more vulnerable, need support and have less time to give in volunteering.
  • There are increased costs for the VCSEF sector, for example, fuel, catering, heating costs etc.

The MP response included:

  • Taking on board that VCSEF sector staff and volunteers are exhausted, often being exposed to the same pressures as those they are supporting following crisis after crisis.
  • There is a role for civil society in social cohesion

With a look at possible solutions, for example:

  • Common Ground Fund being used for revenue as well as capital
  • Extending Know your Neighbour funding
  • Making sure the VCSEF sector is included in any fuel or heating relief fund; explicitly requiring council and health systems to engage the sector.
  • Longer term issues about addressing aspects of the VCSEF sector operating environment that make it hard, for example, VAT and audit thresholds; funding being short term, in arrears, agreed retrospectively without inflation uplifts
  • Involving the sector early in discussions and decisions.
  • Investing in Local Infrastructure Organisations (LIOs) is critical to supporting resilient communities.

This is the start of a conversation with potentially ongoing and regular meetings.

You may wish to discuss this, other issues or just network with VCSEF groups at our next (rescheduled) Alliance meeting, details below:

VCSEF Alliance Meeting on Wednesday 20th May 2026, 10am – 12pm, at The Workspace.

👉🏻 Book your place here

Finally, if there are any issues that you would like to raise or anything that you would like to hear more about, please contact me.

If you would like more information, please remember to check out our website and newsletter regularly – there is always new information, and opportunities are always presenting themselves.

Thank you,
Sharon Nanan-Sen
Chief Executive Officer