Responding to Wednesday’s Spending Review, Anna Fowlie, Scottish Council for Voluntary Organisations' (SCVO) Chief Executive, said:
“Today’s announcement includes little recognition of the voluntary sector, despite UK government ambitions to work in partnership with the sector and our sector’s significant contribution to the UK economy and the government’s ambitions for growth.
“The announcement of a local growth fund and investment in communities provides welcome clarification on what will replace the UK Shared Prosperity Fund - a key source of funding for voluntary organisations delivering services to people and communities across Scotland. As the UKSPF budget was cut by a third in the Autumn Budget, it is bitterly disappointing that the budget for 2026-27 to 2028-29 will be at the same overall level in cash terms as under the UK Shared Prosperity Fund in 2025-26, a significant reduction in funds at a time when many voluntary organisations are facing severe financial difficulties.
“Clarification of plans to utilise Dormant Assets in England and Wales will benefit voluntary organisations there, but further clarity is needed on allocations for Scotland which would provide much needed funds through which Scottish Government can support our essential sector. Additional funds are desperately needed for sustainable funding for Scotland’s voluntary sector which recognises rising costs, including the need to cover the full costs of employing staff.
"The UK Government’s commitment to multi-year Spending Reviews is welcome and provides the Scottish Government with the clarity needed to take a more strategic approach to financial planning, including voluntary sector funding.
"The many benefits of multi-year funding, both for the voluntary sector and more broadly, are well understood. The Scottish Government’s Medium-Term Financial Strategy later this month should recognise these benefits by making progress on their commitment to Fairer Funding for the voluntary sector, including plans for multi-year voluntary sector funding settlements and Fair Funding more broadly."