equalities banner

 

Bullet Mark

Equalities Home
Bullet Mark
Staff
Bullet Mark Contact Us
Bullet Mark What is Equality
Bullet Mark Resource Base

Bullet Mark

Equalities Policy Agenda
Bullet Mark Events
Bullet Mark Development Programme
Bullet Mark SCVO Equalities Programme
Equality & Diversity: Funding & Sustainability

SCVO Equalities Briefing May 2004

Introduction

Resources are often seen as a barrier to effective equalities mainstreaming. And equalities organisations working with particular disadvantaged groups find it difficult to persuade funders to support their work, given other more popular causes. Funding issues take up increasing amounts of time, which is lost to service delivery. This briefing aims to give information behind some of the issues.

Issues and barriers in accessing funding for equalities work

  • Seeking funding takes time and capacity and is expensive.

  • Some causes are more attractive to funders than others. Less ‘cuddly’ equality causes, such as support for Lesbian Gay Bisexual and Transsexual (LGBT) people, or for people with mental health problems, can be harder to find funding for.

  • Some areas, eg gender equality suffer from a perception that this strand has been ‘sorted out’, as many initiatives have already tried to address the problems.

  • Changing attitudes is crucial to equalities work, but hard to measure and takes time. Long-term funding is hard to find.

  • Voluntary organisations may be pigeon-holed by funders, who may see a group’s work as being in one particular area, and be reluctant to fund equalities work that seems to go into another area.

  • Studies (see resources) have shown that black and minority ethnic groups find it particularly difficult to access funding. 

Equalities and Funding Provision
Lottery Funding

Approaches to equality and diversity vary between the different lottery distributors. Generally, funders have tried to broaden the source of applications through targeted conferences, seminars, training sessions and focus groups.

The Equal Opportunities Commission has highlighted a lack of women on the committees dealing with lottery applications, and has called for monitoring policies and accessible data on funding distribution.

The Community Fund strategy until March 2005 is to target funds on charitable projects that benefit disabled people/ carers; people living in disadvantaged areas; refugees, and people from black and minority ethnic communities.

The Scottish Arts Council monitors anticipated beneficiaries and applicants’ management committees in terms of ethnic origin, physical ability and gender. This monitoring information is however not publicly accessible - a common problem amongst the lottery distributors.

The New Opportunities Fund, tasked with awarding grants to education, health and environment projects, called for the establishment of an Equality in Grant Making Forum. The Fund has recognised the need for an evidence-based measure of equality and a standardisation of information held about all grant applications. 

Grant Making Trusts

The equalities and inclusion policies and practices of individual trusts vary greatly. 

Some actively promote equalities in their approach to applications and funding distribution. E.g. The Lintel Trust have a mainstreaming equalities programme as a funding theme for 2003-2006, with a commitment to greater involvement and participation by people with disabilities in devising and delivering new solutions to their housing problems. 

However, not all grant making trusts use equality monitoring. Some ask only for information about the project’s target audience, whilst others place more emphasis on information about the applicant organisation.  Lloyds TSB Foundation Scotland produces an annual report on awards including monitoring of projects and intended beneficiaries. Comic relief have a particular focus on funding projects promoting equality, and run by equalities groups.

Local Authority Funding

There is no reliable source of data on local authority funding to the voluntary sector. In 2001, the Scottish Executive reported on concern about difficulties faced by black and minority ethnic voluntary organisations in accessing support.

COSLA has called for all councils to ensure that equalities performance measures and targets measure their delivery of equal opportunities and are made public. 

Scottish Executive Funding

In 2001, the Executive required all recipients of funding to demonstrate that they had appropriate equal opportunities policies and evaluation procedures in place. 

The Executive monitors grants by gender, age, race and disabilities but this information is not publicly available. 

In 2001, the Executive carried out a review (see resources) of funding for black and minority ethnic groups in the voluntary sector, and concluded that they received disproportionately small amounts of funding, often relying on one off charitable sources. BEMIS (Black and Minority Infrastructure in Scotland) report that BEM groups still experience these problems.  

The Scottish Compact was reviewed in February 2004, reaffirming the commitment to equality of opportunity, including fair access to public services and the application of best practice in funding and the administration of grants.

Also in 2004, following on from the European Year of Disabled People, the Executive set aside £1 million for funding projects that benefit disabled people in Scotland, including over £500,000 to support local Access panels; and has also announced increased funding for the LGBT community.

The Strategic Funding Review 

The Strategic Funding Review involves SCVO, COSLA and the Executive in looking at funding issues for voluntary organisations. The aim is to identify the current scale and pattern of funding; consider why funders should support the sector; look at sustainability; identify how to increase best value; consider reform of policy and practice, and propose actions to address identified issues. Overarching issues identified include security of funding; competition; funding mechanisms; the development of income and assets; costs to voluntary organisations; and building capacity.

Necessary actions identified include the development of better relationships between public sector and voluntary sector; consideration of impact of policy changes on the voluntary sector; the establishment of three-year funding, with full-cost recovery (where all costs are looked at, eg core costs, insurance, etc) as the norm; for funders not to be overly risk-adverse; to keep better information on funding to the sector; and to develop an explicit equalities agenda.

One of the problems faced by members of the review groups was a lack of information on public sector funding.

European Structural Funding

Projects are expected to demonstrate that they have built in equalities considerations from the outset (mainstreamed) and are required to take specific actions to redress existing inequalities. (In Scotland equalities is broadly defined, as in the Scotland Act, covering gender, race, disability, sexual orientation, age, language, social origin, religious belief and political opinion.) ESF encourage smaller organisations to work in partnership with others to consolidate skills and access funding.

How ESF funds equalities work:

  • All projects must address inequalities
  • Funding may be available for positive action projects
  • Funding support is available for disabled beneficiaries - eg adaptations, sign language support.
  • Childcare/ dependents costs are funded
  • There is a focus on working with employers to change attitudes, develop equalities policies and raise awareness.
  • If equalities polices are not in place, ESF will work with organisations or projects to establish them.

Work in such areas as training, including equal opportunities training, human resource development and capacity building, awareness raising, good practice training and dissemination, renovation and renewal, guidance and counselling, aftercare, and research (e.g. into positive gender policies) may qualify for ESF funding.

An issue with ESF has been the arduous application process, and the process of administering the funding after the award is made. Plus, match funding may be required. Again, partnership working can help.

Banks

Banks to date have had little to do with voluntary sector equalities work, but may be persuaded to lend to social economy organisations. In Wester Hailes, Edinburgh, it was pointed out that the local population collectively had a sizeable income (despite poverty) and so it made good business sense to one high street bank to make available basic bank accounts and small loans for business start-up, and to lend to voluntary organisations with a guaranteed income stream. In ‘Scotlands of the Future’ (see resources) Barbara McLennan suggests that providing finance for small businesses and community ventures can avert a rise in unemployment, which is in banks’ interests. There is however a danger of ‘postcode lottery’, where more affluent neighbourhoods would see a greater benefit in community reinvestment.

Social Investment Scotland, launched in September 2001, is a loan fund that takes on the cost of assessing and processing applications for banks, which supply the capital. SIS provide a range of loan finance to social economy organisations which have a clear social purpose and will make a lasting difference to their communities (ie they focus on the poverty strand).

Key Questions

Should groups automatically include equalities costs in funding applications?

Yes. It is important to factor in equalities costs from the start and to include these in your application. ESF expect all projects to do this.

How can voluntary organisations avoid being ‘pigeon-holed’ by funders?

Sometimes working in partnership with other organisations can address this. We also need to persuade more funders to recognise the interrelatedness of areas of discrimination, realise how a focus on equalities can enhance services, and encourage organisations to put in bids for equalities work.

Is there a role for community planning in improving understanding of equalities issues by the public and voluntary sector?

Better communication is needed all round, especially between the public and voluntary sectors. Community planning could provide a way for equalities issues to be raised with public authorities. 

Should we share success stories? - Success stories by voluntary organisations who have secured funding, and information by funders about successful projects they have funded, could extend awareness of sources of funding and reduce fear of risk-taking or reluctance to support ‘less cuddly' causes.

Would it be helpful to have legislation that obliged banks to lend for community projects?

In ‘Scotlands of the Future’ Barbara MacLennan discusses the potential for a community reinvestment Act, and also suggests that change in bank culture and practice may be instigated bit by bit through individual and collective action. 

Resources

Summary of Structural Funds in Scotland

www.scotland.gov.uk/about/FCSD/ESF/00017404/page49209647.aspx

Equal Opportunities Adviser, Structural Fund Programmes, Muriel Mackenzie  mackenziem@esep.co.uk

Strategic Funding Review website www.scotland.gov.uk/about/UNASS/UNASS/ 00015300/page2106627178.aspx

Black and Minority Ethnic Infrastructure in Scotland (BEMIS) www.bemis.org.uk (still under construction at time of publication)  mail@bemis.org.uk

‘Scotlands of the Future’ Democratic Left Scotland in Association with Luath Press, dls@newpolitics.org.uk

Social Investment Scotland www.socialinvestmentscotland.com

Review of Funding for Black and Minority Ethnic Groups in the Voluntary Sector www.scotland.gov.uk/library3/society/equality/funds-02.asp

"Black voluntary and community sector funding,  civic engagement and capacity building" by Joseph Rowntree Foundation. www.jrf.org.uk/knowledge/findings/socialpolicy/224.asp

NCVO sustainability microsite  - www.ncvo-sfp.org.uk

SCVO Publications – includes Directory of Grants and Funds, ESF guides and other funding information www.scvo.org.uk/publications/default.htm

Work with us – voluntary sector portal - includes access to a range of funding information www.workwithus.org

Directory of International Development Funding (NIDOS): www.nidos.org.uk

Lottery

www.lotterygoodcauses.org.uk - includes links to the sites of lottery distributors.

Directory of Social Change – includes information and publications on various types of funding.  www.dsc.org.uk

COSLA Guidance on Equalities, Best Value, Community Planning and Power of well being September 2003

www.cosla.gov.uk/attachments/publications/bvequalitieguidance.pdf