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'Big society' network given extra £1m grant despite years of failure 'Big society' network given extra £1m grant despite years of failure
(3 months later)
An organisation tasked by David Cameron with bringing to life his "big society" vision has recently been given an extra £1m of public money, despite a catalogue of failures revealed in documents shown to the Observer.An organisation tasked by David Cameron with bringing to life his "big society" vision has recently been given an extra £1m of public money, despite a catalogue of failures revealed in documents shown to the Observer.
The Big Society Network (BSN), which was launched by the prime minister in 2010, failed so badly to deliver one project that the Cabinet Office refused to pay a final cash instalment. The documents also reveal that even a first meeting of the BSN's advisory board on a project to encourage healthier lifestyles among children was delayed by two months due to "unforeseen circumstances" and holidays.The Big Society Network (BSN), which was launched by the prime minister in 2010, failed so badly to deliver one project that the Cabinet Office refused to pay a final cash instalment. The documents also reveal that even a first meeting of the BSN's advisory board on a project to encourage healthier lifestyles among children was delayed by two months due to "unforeseen circumstances" and holidays.
The Cabinet Office subsequently refused to hand over the final £100,000 of a £300,000 grant and decided to "end support" due to the slow progress in even setting up a website for the project.The Cabinet Office subsequently refused to hand over the final £100,000 of a £300,000 grant and decided to "end support" due to the slow progress in even setting up a website for the project.
Despite this, the BSN's charitable arm, the Society Network Foundation (SNF), subsequently received £1m from the Big Lottery Fund, which distributes lottery money to community projects, and £150,000 from the Cabinet Office, bringing its total public funding to nearly £3m. The Big Lottery Fund did not offer other organisations the opportunity to bid for the cash.Despite this, the BSN's charitable arm, the Society Network Foundation (SNF), subsequently received £1m from the Big Lottery Fund, which distributes lottery money to community projects, and £150,000 from the Cabinet Office, bringing its total public funding to nearly £3m. The Big Lottery Fund did not offer other organisations the opportunity to bid for the cash.
Gareth Thomas, the shadow minister for charities, said he was writing to the National Audit Office to demand an investigation into the BSN's lack of activity. A number of trustees and staff at the BSN have close links to the Conservative party, including Giles Gibbons, a former business partner of the prime minister's former strategist Steve Hilton.Gareth Thomas, the shadow minister for charities, said he was writing to the National Audit Office to demand an investigation into the BSN's lack of activity. A number of trustees and staff at the BSN have close links to the Conservative party, including Giles Gibbons, a former business partner of the prime minister's former strategist Steve Hilton.
Thomas said: "When the Big Society Network was launched by David Cameron they claimed they didn't want to receive any public money. Yet in just three years they have received a level of public funding most charities can only dream of.Thomas said: "When the Big Society Network was launched by David Cameron they claimed they didn't want to receive any public money. Yet in just three years they have received a level of public funding most charities can only dream of.
"The Big Lottery Fund in particular needs to explain how it granted so much money so quickly and with so little competition or evaluation. Reform of the Big Lottery Fund to make it transparent, more open and more accountable is now urgent.""The Big Lottery Fund in particular needs to explain how it granted so much money so quickly and with so little competition or evaluation. Reform of the Big Lottery Fund to make it transparent, more open and more accountable is now urgent."
Richard Caulfield, chief executive of Voluntary Sector North West, said: "Someone somewhere is clearly favouring the BSN. Never have so many charitable groups needed the money, yet an organisation with such a chequered past receives such large funds. It is really difficult to see what they have done with the money."Richard Caulfield, chief executive of Voluntary Sector North West, said: "Someone somewhere is clearly favouring the BSN. Never have so many charitable groups needed the money, yet an organisation with such a chequered past receives such large funds. It is really difficult to see what they have done with the money."
The BSN, which filed its company accounts so late this year that it was almost struck out, was launched in 2010 at a reception in 10 Downing Street where Cameron said it would be "an organisation that brings all the elements of the 'big society' together".The BSN, which filed its company accounts so late this year that it was almost struck out, was launched in 2010 at a reception in 10 Downing Street where Cameron said it would be "an organisation that brings all the elements of the 'big society' together".
The BSN has repeatedly ignored questions posed by the Observer over its activities and those of its charitable arm. However, last week it provided a statement to the Civil Society online magazine in response to critical blogs on the site. The BSN denied that it was a political organisation and said it had competed honestly and fairly to secure funding. Its chairman, Martyn Rose, said the BSN had "developed and continued to deliver a number of initiatives". He added: "All the public funding we received has been conditional upon delivering very specific targeted outcomes and we have met those requirements. We have received no communication from any funding body to suggest otherwise."The BSN has repeatedly ignored questions posed by the Observer over its activities and those of its charitable arm. However, last week it provided a statement to the Civil Society online magazine in response to critical blogs on the site. The BSN denied that it was a political organisation and said it had competed honestly and fairly to secure funding. Its chairman, Martyn Rose, said the BSN had "developed and continued to deliver a number of initiatives". He added: "All the public funding we received has been conditional upon delivering very specific targeted outcomes and we have met those requirements. We have received no communication from any funding body to suggest otherwise."
Regarding Get In, the project whose funding was terminated by the Cabinet Office last December, Rose said the SNF still believed in the project and would seek alternative funding.Regarding Get In, the project whose funding was terminated by the Cabinet Office last December, Rose said the SNF still believed in the project and would seek alternative funding.
A Big Lottery Fund spokesman said: "The fund carries out stringent checks on the financial fitness of all organisations it funds.A Big Lottery Fund spokesman said: "The fund carries out stringent checks on the financial fitness of all organisations it funds.
"During the assessment of their applications, both BSN and the Society Network Foundation were considered in terms of their ability to deliver the relevant project outcomes, and within these assessments there was consideration of the organisations' general financial situation. Both the BSN and the Society Network Foundation fully complied with the fund's assessment procedures, which included providing supporting financial information in full.""During the assessment of their applications, both BSN and the Society Network Foundation were considered in terms of their ability to deliver the relevant project outcomes, and within these assessments there was consideration of the organisations' general financial situation. Both the BSN and the Society Network Foundation fully complied with the fund's assessment procedures, which included providing supporting financial information in full."
Rose said: " Since the award was made we have agreed a 100-day plan with the Big Lottery fund which we keep under constant review."Rose said: " Since the award was made we have agreed a 100-day plan with the Big Lottery fund which we keep under constant review."
A Cabinet Office spokesman said: "We are rigorous in selecting the partners that will help us build a stronger economy and fairer society through their work in communities. On an ongoing basis, we review and assess all our partners to ensure funds are having the greatest possible impact."A Cabinet Office spokesman said: "We are rigorous in selecting the partners that will help us build a stronger economy and fairer society through their work in communities. On an ongoing basis, we review and assess all our partners to ensure funds are having the greatest possible impact."
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