Effects of the Recession on the BME Third Sector in the North West.

Consultation Report: 9^th November 2009

1. Introduction

1.1       One North West has recently consulted on the effects of the recession on the BME Third Sector in the North West. This included asking organisations what they viewed as the main problems that are facing the sector. One North West advocates harnessing the skills, experience and expertise of the BME Third Sector to offer fresh perspectives and so respondents were also asked to provide possible solutions on moving forward together.

2. Results

2.1       We received responses from a range of organisations throughout the North West. The key issues received were as follows, based on scoring the points in terms of priority that was given by respondents:

1. Government help is not reaching the most marginalised            (36 points)
2. Funding cuts are affecting the BME Third Sector                      (33 points)
3. Stretched resources from having to deliver more services          (30 points)
4. Increased competition                                                          (21 points)
5. Isolation from mainstream infrastructure                                  (21 points)

2.2       The main issue for respondents was that Government help was not reaching the most marginalised members of society. The unique contribution of BME third sector organisations in reaching these communities and providing a range of services that address significant social and economic needs, requires recognition and further support where possible.  These services are being stretched due to increased demand being placed on them from communities that are suffering from the impacts of the recession. As a result of more stretched resources and a restriction in funding, there is widespread concern that ultimately the most excluded members of society will suffer disproportionately as a result.

2.3       There were also concerns raised around the sustainability of the BME Third Sector in light of funding cuts resulting from the recession. There is a strong sense that BME communities continue to require different approaches that are delivered by specialist BME third sector organisations (despite the wider move towards mainstreaming and single-equality as a result of the Equality Bill). Therefore a strong BME Third Sector is essential to ensure that minority communities, which are often the most excluded from mainstream services, are not left further isolated from support, something that becomes ever-more critical during the recession.

2.5       Several respondents felt that there is the need to support the work done by BME third sector organisations that deliver these invaluable services. It was felt that there was a need to link BME organisations with the opportunities that are provided within the new commissioning and procurement environment, which would ensure more responsive services and a more sustainable BME third sector in the region. This could be done through supporting organisations with a proven track record to become competitive and commission-ready, as well as supporting performance management. The creation a regional umbrella organisation to enable smaller organisations to deliver specialist services was suggested.

2.6         Other suggestions of support included capacity-building, more accessible ‘soft loans’ and longer-term funding for proven organisations. It was also proposed that this finance should be distributed through local authorities.

2.7         Improved engagement with BME communities was seen as a step forward to resolve some of the issues resulting from the recession. It was felt that there must be commitment to support people to take action themselves as agents of change, therefore taking a fundamentally empowering approach.

2.8         Different engagement could include:

• Better engagement with BME organisations (including more commitment in regards to the duty to involve) and encouragement of BME organisations to become more involved in  public services
• A more joined up approach, linking BME third sector organisations with each other and also with public sector organisations
• Government agencies working from within communities. For example, officers could be allocated to support and mentor organisations to sustain and develop themselves. It was also recommended that such agencies should seek to attract more frontline workers from BME backgrounds.
• Ensure that services for BME and disadvantaged groups are led by BME people and that disadvantaged communities have opportunities for personal development through culturally appropriate programmes supported by community capacity building and partnership work

3. Next Steps:

3.1         The results of the survey were used at the Regional Equality and Diversity Summit and presented to regional leaders as a basis for further discussion.

This survey has provided a framework upon which One North West will develop a wider evidence base and provide creative solutions. One North West is working closely with the sub-regional BME networks to establish a Regional BME Policy Forum. This will develop an active connection with BME third sector organisations in order to provide a platform from which to advocate and advise. Sustainability of the BME third sector was identified as a key issue to debate at the inaugural meeting. One North West is also exploring the possibility of hosting an event, in partnership with CEMVO, which will further develop evidence and debate around the effects of the recession on BME communities and possible solutions to take forward in partnership with GONW, NWDA and 4NW.