Resourcing in the Third Sector has changed dramatically in the last decade. Public Sector funding reductions are having a wide-reaching impact on our Third Sector, creating a different funding landscape with increased self-reliance and many turning to enterprising activity. A range of funding streams must be recognised and supported by the Edinburgh Compact Partnership.
This strand aims to provide a context within which the Compact can support existing funding and resourcing streams, strengthen co-production of budgeting and act as a channel for new investment (both financial and other resources) into Edinburgh’s diverse Third Sector.
- The Third Sector is well resourced through multiple income channels
- Sustainable services, citizen and community outcomes are improved through co-production with the Third Sector
- The Third Sector continues to generate significant incomes for the City
Drivers for this strand:
With significant reductions in Public Sector funding to the Third Sector, a decrease in publicly funded services and a resulting increase in demand for the Third Sector, there is a need to look at the range of investment and funding opportunities for voluntary organisations.
The Third Sector finds information on funding sources and means of investment difficult to navigate and there is a need for more comprehensive information. They feel that funding from the Public Sector is not clear and seek better information and clarity on the way departments fund the Third Sector. Information on different kinds of investment such as crowd funding and venture philanthropy are sought as they gain popularity.
Supported by the City of Edinburgh Council and the Scottish Government, recent years have seen an increase in enterprising activity. This is spread across organisations clearly identifying as social enterprises, as well as voluntary organisations which simply wish to increase their income through trading. It is worth noting here that some organisations are concerned that they are being pushed towards enterprising activity even when it is not the best fit with their organisational purpose and approach.
Corporate Social Responsibility (CSR) has been a recent focus in the City as part of the Cooperative Capital Framework and the work of the Compact and Economic Development Strategic Partnerships. The One City: One Edinburgh CSR Plan will be published in 2015 to support an increase in CSR activity across Edinburgh, facilitating better understanding of CSR and increasing the links between the SME/business community, and Third Sector and communities across the City.
There is drive from the Scottish Government’s Community Empowerment legislation for the Public Sector to develop policies which enables; community planning duties, asset transfer and greater empowerment of communities.