Scotland’s charities seek new partnerships in the private and public sectors

http://www.theguardian.com/voluntary-sector-network/2015/mar/18/scotland-charities-seek-partnerships-private-public-sector

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Scotland has a different ethos from England when it comes to public services and social justice, and this helps charities operating north of the border. This was the clear message that came through at the Guardian’s roundtable event about the voluntary sector, sponsored by Zurich Insurance and held in Glasgow recently, and which explored the question of how charities could identify the ideal partnership for them.

At the table

• Hamish Macdonell (Chair) Journalist and political commentator• Martin Cawley Chief executive, Turning Point Scotland• Ian McLaughlan Chief executive, Youth Scotland• Andrea Cail Director Scotland, Stroke Association• Allan Watt Director, Prince’s Trust Scotland• Amy Brettell Head of charities and social organisations, Zurich Insurance• David Forster Head of risk proposition, Zurich Municipal

All the participants agreed that the attitude within government, inside local authorities and across Scotland as a whole was angled towards social justice and preserving the public sector – far more than it is in England. As a result, there was a feeling that charities in Scotland benefited in many ways, particularly because this shared ethos made partnerships between charities and the public sector much easier to maintain.

Ian McLaughlan, chief executive of Youth Scotland, pointed out that considerable public-sector grants were still available in Scotland, funded by the Scottish government. He said that north of the border, charities appeared to have a closer, more effective relationship with the government and found it easier to get money from it than was the case in England.

“There is more funding available in Scotland than there is in England in terms of core funding,” McLaughlan said. “There seems to be a strong relationship with colleagues in the Scottish government, both at a ministerial and civil service level. Maybe that’s because of the size and the scale of the country. We are quite a small country; we tend to know people very well.

There is more funding available in Scotland than there is in England in terms of core funding.

“But the Scottish government, of all political persuasions over the past decade or more, has come to develop a strong relationship with our sector. It could be better, but it is very strong. We have got a very understanding government, a government that understands the sector, its value and the difficulties we face. I think that is the difference.”

McLaughlan talked about the attempts he has made to put together a manifesto for his charity for the 2016 Scottish elections. He said this was a relatively straightforward process for him and his Scottish colleagues, but found that his English counterparts were “very nervous” about getting involved in the political process because they did not have the same relationship with government as he did.

This partnership with central government was the one the experts focused on most keenly during the discussion. Martin Cawley, chief executive of Turning Point Scotland – a charity that provides social care to people across the country – said that the key difference was ethos. “In England, the delivery of core public services, including health, is much more dynamically outsourced than it is in Scotland,” he said. “There is still a social conscience in Scotland and I think it is different from England.

“That’s increasingly difficult to hang on to in Scotland. I don’t necessarily agree with it, but I think local authorities in Scotland will have to increase their outsourcing in response to commercially orientated public-service delivery, because the public purse is being squeezed.”

Cawley suggested that some charities could do well out of the continued austerity as councils and the government were forced to outsource an increasing number of services to the third sector. However, he warned that some smaller charities would suffer as money became tighter and were likely to be squeezed out by the more powerful, bigger charities.

Amy Brettell, head of charities and social organisations at Zurich Insurance, said: “What we are seeing in England and Wales is charities becoming more collaborative with business. We are seeing an increasing trend of charities moving away from a funding model – everybody has talked about the reduction in the core funding they have received – towards a generating model.”

David Forster, head of risk proposition at Zurich Municipal, pointed out that the concept of corporate social responsibility was becoming more important in the private sector in England as core funding decreased. “There has been a vast amount of uplift in the past few years, which is an opportunity to tap into,” he said.

Forster added, that from Zurich’s point of view, being involved in community work brought a “sense of reality to what we do for a living. We have all gone out and taken time out and know a little more about the challenges in our neighbourhood.”

Allan Watt, director of the Prince’s Trust Scotland, said his charity did not have the type of definite partnerships with government or local authorities that other major charities did. But he stressed that there had to be limited partnerships for almost every project the Prince’s Trust took on, even if the money from each source was limited.

“Almost every programme we do has an element of private and public funding in it,” Watt said. “Every time we set out to do anything for young people, we have to think how we engage the most people, whether it’s structural funds, Scottish government, UK national funds and then the corporate sector and the wider private sector.

“That has been the core strength. But what has fascinated me is finding a way to get those partnerships to connect directly with our young people.

“Life is tough for everyone, whether it’s the corporate sector, local authorities or the Scottish government, and increasingly we are finding we are doing more and more with other organisations.”

Life is tough for everyone, whether it’s the corporate sector, local authorities or the Scottish government

Watt stressed that some of the most important partnerships that the Prince’s Trust had formed in the past few years with the private sector were not about straight “corporate social responsibility” cash. “It is businesses recognising that we can bring a more diverse workforce and help them tap into pools of labour they might not otherwise have access to,” he said.

Andrea Cail, director Scotland of the Stroke Association, said the sector had changed dramatically over the past two decades as charities responded to the demands of government and public perceptions. “I have seen some fundamental changes,” she said. “Twenty years ago, the public understood your purpose and what you were delivering, but, at that time, charities were not necessarily looking for partnerships. Now, as a charity it is very different. You have to know how to develop partnerships, you have to know where to find common threads, common bonds and common funding, and that is quite challenging.”

Cail said there had been a move for charities to get more out of partnerships. She cited the example of her charity and the alliance it has forged with the Royal Mail. Royal Mail workers raise money for the charity, but in return the Stroke Association does work around health and wellbeing for those workers, telling them about the dangers of high blood pressure and the risks of strokes.

You have to know how to develop partnerships and that is quite challenging

All participants agreed that the pressures on charities were only going to increase. They felt charities had changed and adapted over time and had become better at finding ways, not just of raising money, but of getting the most from their partners – whether public or private sector.

McLaughlan said: “There is clearly going to be a real pressure on us in terms of reduction in public-sector spending. But the other side of that coin is that this sector can also be the most creative and most innovative at a time when pressure is upon us.”

There was an acknowledgment that the financial climate is only going to continue to get worse and that although Scottish charities have perhaps not suffered as much from financial cutbacks as their English counterparts, they still needed to become more resourceful to withstand the likely problems ahead.

The charity leaders were clear in the core belief that the charitable sector was “not homogeneous” and, because of that, different charities had different needs and would have different ways of raising money.

But the general feeling was upbeat. Participants agreed that the resourcefulness of the third sector in Scotland, which has allowed many charities to adapt and thrive over the past few years, would contribute to continuing success in the future.

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