How the government’s £750 million to charities during COVID-19 is being allocated

On 8 April 2020 the Chancellor announced a £750 million support package for charities during the coronavirus (COVID-19) pandemic.

The funding was intended to ensure charities could continue their vital work during the coronavirus outbreak and take pressure off of the NHS.

This is what we know about how the £750 millionis being allocated:

1. Government departments will allocate £360 million directly to charities providing key services and supporting vulnerable people during the crisis. This funding will be allocated directly by the Government to key charities on the front line and includes:

o Up to £200 million for hospices across the United Kingdom, with the rest going to organisations like St Johns’ Ambulance and the Citizens Advice Bureau, as well as those supporting vulnerable children, victims of domestic abuse, and disabled people.
o £16 million for food charities to provide meals for those in need, and
o £76 million has been allocated to help survivors of domestic and sexual abuse, vulnerable children, and victims of modern slavery.

2. A further £370 million will support small, local charities, including through a grant to the National Lottery Community Fund, that are working with vulnerable people, of which:
o The devolved administrations in Wales, Scotland, and Northern Ireland will receive £60 million to support charities in Wales, Scotland and Northern Ireland.

3. £20 million to the National Emergencies Trust appeal, which is distributing funds to charities working directly with people in need, largely through the Community Foundation Network.

Although the funding has been given a cautious welcome by national charity representatives who led the #EveryDayCounts campaign, there is concern that the support package does not go far enough.

Charity sector bodies have estimated that charities will miss out on at least £4.3bn of income in the period up to July 2020, with many facing collapse as income falls while demand and costs increase. The recent Coronavirus Impact Survey, by the Institute of Fundraising in partnership with the Charity Finance Group and the National Council for Voluntary Organisations also revealed that 43% of the charities surveyed have seen an increase in demand for their services coupled with a 48% decline in voluntary income.

We’ll provide further updates on how the £750 million support package is being allocated as more information becomes available.