Filling the gap? How can charities help to address our future economic and social challenges

This presentation covers the first theme of NCVO’s 2015 Project: Economic and Social Justice. It explores three themes – the economy and jobs, welfare provision and demographic change The 2015 Project aims to stimulate discussion about what role charities can, and should, have in a number of areas. The feedback we receive will form the basis of NCVO’s work ahead of the 2015 election.

After a massive recession hit the UK in 2008, the economy has still not fully recovered, and continues to face a sustained period of low growth.

Source: http://www.parliament.uk/briefing-papers/RP13-43

GDP Growth (% change quarter-on-quarter)

The Economy

The OECD states that economic growth is expected to pick up gradually through 2013 and 2014.

According to the Chancellor, Britain is “out of intensive care” and moving into recovery.

Source: http://www.telegraph.co.uk/finance/economics/10137337/Recession-risk-remains-warns-Osborne.html

Source: http://www.oecd.org/economy/unitedkingdomeconomicforecastsummary.htm

However, in political contrast, the shadow chancellor, Ed Balls claims the British economy flatlined and the deficit reduction has stalled.

Spending cuts

Source: The Barnet Council Graph of Doom

This enticingly named graph shows that without radical change the cost of adult and children’s social services could be more than Barnet council’s entire budget in the future. This is an illustrative example of the huge challenges associated with public spending cuts teamed with increased demand for services.

Source: http://www.guardian.co.uk/society/2012/may/15/graph-doom-social-care-services-barnet

Regardless of which party wins the next election, it will be difficult for anyone to make the case for more public spending.

It’s a pretty bleak picture for employment figures too.

Source: Telegraph

Consistently, around 8% of the population are unemployed. That’s over 2.5 million people, roughly the same as the population of Jamaica.

Source: Labour Force Survey – ONS http://www.ons.gov.uk/ons/dcp171778_305051.pdf

‘Generation unemployed’

One of the major issues we face is the legacy from sustained youth employment.

Currently, around 1 in 5 of young people (16-24) are unemployed in the UK.

Source: Telegraph

Source: http://www.parliament.uk/briefing-papers/sn05871

But all is not lost…

Young people are the second most likely group to volunteer regularly.

Source: Third Sector

Source: Community Life Survey http://communitylife.cabinetoffice.gov.uk/assets/q3-2012-13/Community%20Life%20Survey%20Q3%202012-13%20Bulletin.pdf

Society is changing

We are a less religious, less married, more ethnically diverse, more atomised Britain – and there’s more of us than ever before.

Source: Independent

Source: ONS http://www.ons.gov.uk/ons/rel/census/2011-census/key-statistics-for-built-up-areas-in-england-and-wales/index.html

Source: http://www.parliament.uk/business/publications/research/key-issues-for-the-new-parliament/value-for-money-in-public-services/the-ageing-population/

An older demographic may add strain to public services, most particularly in health and social care. But an older population can present benefits as well as challenges. These might include: - Isolation issues - Pension poverty - A more experienced workforce - A society with more time to

give

We are also an ageing population…

A changing welfare regime

Source: Guardian

A major reform of welfare provision has taken place. A key objective of the reforms is to ensure that ‘work pays’ - removing incentives that mean it can cost people more to work than to remain on benefits.

The ‘skivers vs. strivers’ debate

The framing of the welfare debate has become fairly political – nicknamed the ‘skivers verses strivers’ debate.

Source: Politics Home

Increased demand for emergency support

With unemployment high and further reductions in welfare spending, charities may well see an increase in demand for support, advice and emergency aid – such as food banks.

Source: Guardian

So, what does this all mean? Some food for thought.

Charities are often the organisations that are closest to, and provide support to, the most vulnerable groups in society. How will (or how should) charities be adapting to these changes identified? Is there a greater role for the voluntary sector to address the trend towards individualism? Or could long-term unemployment be addressed in a different way – should charities be the main provider? Has there been a shift in public attitudes towards welfare recipients? And if so, should the sector respond by providing an alternative narrative? Or making a conscious decision to collectively tackle unemployment and disengagement? What are the potential solutions to these social trends that charities can provide? What changes need to take place for the sector to work at its best?

What next?

If you have 2 minutes - We’d love to hear your ideas in relation to these big debates – contact 2015project@ncvo-vol.org.uk

If you have 10 minutes – Please read our discussion papers and blog posts on each topic, and respond to the questions.

Economy and jobs Discussion paper and guest blog from Inclusion

Demographic change Discussion paper and guest blog from Age UK

Welfare Discussion paper and guest blog from Oxfam

References Labour Market Statistics http://www.ons.gov.uk/ons/rel/lms/labour-market-statistics/june-2013/index.html

Telegraph: Recession risk remains, warns Osborne http://www.telegraph.co.uk/finance/economics/10137337/Recession-risk-remains-warns-Osborne.html

NCVO Almanac 2012 http://data.ncvo-vol.org.uk/a/almanac13/finance-the-big-picture/what-is-the-voluntary-sectors-contribution-to-the-economy/

Guardian: Coalitions and austerity: Britain better get used to them http://www.guardian.co.uk/commentisfree/2013/jun/13/coalitions-austerity-reality-british-politics

The ageing population http://www.parliament.uk/business/publications/research/key-issues-for-the-new-parliament/value-for-money-in-public-services/the-ageing-population/

Community Life Survey http://communitylife.cabinetoffice.gov.uk/assets/q3-2012-13/Community%20Life%20Survey%20Q3%202012-13%20Bulletin.pdf

Barriers and facilitators to pro-social behaviour among young people: a review of existing evidence https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/183475/DFE-RR188.pdf

Demographics http://www.ons.gov.uk/ons/rel/census/2011-census/key-statistics-for-local-authorities-in-england-and-wales/sty-non-uk-born-population.html

OECD – Inequalities http://www.ons.gov.uk/ons/rel/census/2011-census/key-statistics-for-local-authorities-in-england-and-wales/sty-non-uk-born-population.html

NCVO analysis: Spending Review 2013 http://blogs.ncvo.org.uk/2013/06/26/spending-review-2013-a-2-minute-guide-on-whats-important-for-charities/

Simplifying the welfare system and making sure work pays https://www.gov.uk/government/policies/simplifying-the-welfare-system-and-making-sure-work-pays#actions

Guardian: food banks http://www.guardian.co.uk/society/2013/apr/24/number-people-food-banks-triples

British Social Attitudes survey http://www.bsa-29.natcen.ac.uk/media/13421/bsa29_full_report.pdf