Tag: Funding

MVA are hosting an online session on Tuesday 13 August, 14:00-15:00 to discuss the Social Justice and Social Security Committee’s third sector funding principles consultation.

This is our opportunity to tell the Scottish Government how they can improve their funding to make it fair, flexible, sustainable, and accessible to ensure that third sector organisations can keep providing the services and projects that are crucial to communities across Scotland.

In this session, we’ll dive into key questions and gather feedback to create a combined response to the consultation. We also encourage everyone to submit their own response before the deadline on August 16.

What is the Aim of the Consultation?

The Social Justice and Social Security Committee seeks to address the significant challenges faced by the third sector, including recovery from the pandemic, the cost of living crisis, years of underfunding, and poor funding practices. The Committee want to hear from both funded and funding organisations, to understand what can be done now to make the public funding process more efficient and sustainable. By submitting our views on the Scottish Government’s approach to funding, we can help champion the need for Fair Funding.

When Does It Close?

The consultation closes on Friday 16 August. Make sure to share your feedback before the deadline to ensure your voice is heard.

What Do We Mean by Fair Funding?

Fair Funding, as defined by the Scottish Council for Voluntary Organisations (SCVO), is a funding landscape that is fair, flexible, sustainable, and accessible. This includes longer-term funding models, accessible and consistent processes, and more unrestricted funding with in-built uplifts.

SCVO has divided their Fair Funding calls into four distinct definitions – multi-year funding, sustainable funding, flexible funding, and accessible funding. Read more on their website.

Consultation Background

For almost a decade, the Scottish Government has acknowledged the need for multi-year funding. In April 2023, the policy prospectus ‘New leadership – A fresh start’ committed to achieving fairer funding by 2026. Despite this, little progress has been made, highlighting the need for this consultation.

What Are the Questions?

The consultation includes specific questions for third sector organisations, covering five key topics. These will be discussed in our online session:

Longer-Term Funding Impact:

• How would a shift to longer-term funding of three years or more support your organisation?
• What specific challenges do you foresee in transitioning to such a funding model?
• If relevant, please provide any specific examples of how your organisation has been affected by a lack of longer-term funding certainty.

Flexibility and Core Funding Needs:

• In what ways would flexible, unrestricted core funding enhance your organisation’s operational effectiveness and governance?
• What specific challenges do you foresee in transitioning to such a funding model?
• If relevant, please provide any specific examples of how your operational effectiveness and governance have been affected by a lack of flexibility in your core funding.

Sustainable Funding and Inflation Adjustments:

• How critical are inflation-based uplifts and full cost covering, including core operating costs, to the sustainability of your organisation?
• What impacts have you observed or anticipate without these adjustments in your funding?
• If relevant, please provide any specific examples of how your organisation’s sustainability has been affected by a lack of inflation uplifts and/or full cost covering.

Real Living Wage Commitments:

• What challenges does your organisation face in ensuring all staff are paid at least the Real Living Wage?
• How would improved funding arrangements support your organisation to meet this commitment?

Efficiency in Funding Processes:

• What improvements in the application, reporting, and payment processes could make the funding system more efficient for your organisation?

More Information

Read more about the consultation here.

Read SCVO’s blog here.

Register for our online session here.

Let’s make fair funding a reality for Scotland’s #EssentialSector