Charities need spirit of collaboration
If interest rates continue to be at the bottom end of the scale, which it appears they will be, then this is going to continue to have an impact on certain parts of the charity sector, particularly charitable foundations which depend on investment income to provide funds for distribution.
Add to that the lack of availability of public funds and its going to be another tough year for the charities and not for profit sector.
Charities that share the same or similar objectives are going to have to work together, rather than against each other, to secure funding and we are aware of a number of consortia being established to help deliver charitable services.
My advice to those in the sector is to fully understand the financial position now and what that is going to be at the end of next year. Charities need to have a clear plan, but also a plan B and plan C for different eventualities.