Guidance for Fair Funding of the Voluntary Sector
Argyll and Bute Council · 26 June 2025
Back to Argyll and Bute Council — 26 June 2025 and its agenda
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ARGYLL AND BUTE COUNCIL COUNCIL CHIEF EXECUTIVE’S UNIT 26 JUNE 2025 Guidance for Fair Funding of the Voluntary Sector 1.0 EXECUTIVE SUMMARY The national Community Planning Improvement Board (CPIB) produced Guidance for Fair Funding of the Voluntary Sector (‘the Guidance’). It asked Community Planning Partnerships (CPP) to consider signing up to this. Argyll and Bute CPP will consider if it can sign up to the Guidance at its September meeting. This decision will be guided by whether its member organisations are in agreement individually, and collectively. The Council, as a member of Argyll and Bute CPP, is asked to consider signing up to the principles of the Guidance, and to working towards the aspirations it contains. The principles of the Guidance are about improved working with the voluntary sector, recognising its importance and its needs, to achieve a more strategic and equal relationship between public sector community planning partners and the voluntary sector. The Guidance is included at Appendix 1. Recommendations: • Note the principles of the Guidance • Note the illustration of what this may look like in practice • Agree that the Council signs up to the principles of the Guidance at the CPP meeting in September and works towards the aspirations it contains.
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ARGYLL AND BUTE COUNCIL COUNCIL CHIEF EXECUTIVE’S UNIT 26 JUNE 2025 Guidance for Fair Funding of the Voluntary Sector 2.0 INTRODUCTION 2.1 The national Community Planning Improvement Board (CPIB) developed Guidance on Fair Funding of the Voluntary Sector (‘the Guidance’). The CPIB aims to provide leadership and support to all 32 Community Planning Partnerships (CPPs) in Scotland while supporting CPPs in the delivery of their statutory duties to improve the lives of people in their communities. 2.2 The principles described in the Guidance draw on the Verity House Agreement, the work of the Scottish Council for Voluntary Organisations (SCVO) and the Third Sector Interface (TSI) Network, and have an overall aim to achieve a more strategic and equal relationship between local third sector organisations and public sector community planning partners. 2.3 At its recent meeting the Argyll and Bute Community Planning Partnership agreed that each member organisation individually consider the Guidance to inform the collective CPP decision of signing up which will take place at its September 2025 meeting. 3.0 RECOMMENDATIONS 3.1 Note the principles of the Guidance, set out 4.1 of report and within the attached Appendix. 3.2 Note the illustration of what the principles could look like in practice, set out at 4.2 and within the attached Appendix. 3.3 Agree that the Council signs up to the principles of the Guidance at the CPP meeting in September, and works towards the aspirations it contains.
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4.0 DETAIL 4.1 The 7 principles set out in the Guidance are: 1. A positive working relationship, based on mutual trust. 2. A focus on the achievement of better outcomes for individuals and communities, with jointly developed, simple structures for assurance and accountability that recognise context and reduce burdensome reporting. 3. Councils and their community planning partners will work together with local representatives of the voluntary sector to consult and collaborate as early as possible in all matters where the voluntary sector has a key interest and/or is the key delivery mechanism. 4. Activities and funding of voluntary organisations will be reviewed regularly to ensure adequacy and alignment with effective delivery of outcomes. 5. In relation to funding, the default position will be minimal restriction or direction of funding, unless there is a clear, joint understanding that it is necessary. 6. Community Planning Partnerships, as the key partnership delivering shared local priorities, will recognise the voluntary sector as an equal partner. This should normally be through the third sector interface. 7. When funding voluntary organisations, community planning partners will seek to ensure better strategic alignment on workforce issues, including fair work. 4.2 The Guidance highlights what this will look like in practice: • Longer-term funding of three years or more • Flexible, unrestricted core funding, which enables organisations to provide security, plan effectively, and fulfil good governance requirements • Sustainable funding that includes inflation-based uplifts and core operating costs. • Funding that accommodates paying staff at least the Real Living Wage and other Fair Work principles, and supporting volunteers. • Accessible, streamlined, proportionate, and consistent approaches to applications and reporting, timely process and payments, and partnership between the funder and funded organisation. 5.0 CONCLUSION 5.1 The CPIB Guidance for Fair Funding of the Voluntary Sector sets out the principles of better ways of working with the voluntary sector. The Council are asked to sign up to the principles of the Guidance, and to working towards its aspirations to achieve a more strategic and equal relationship between the council and the voluntary sector.
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6.0 IMPLICATIONS 6.1 Policy The guidance document sets out 7 principles which may link to a number of policies and strategies, including: Fair Work First Statement, Economic Strategy 2024-2034 and Procurement Strategy and Sustainable Procurement Policy 2022/25. 6.2 Financial There may be financial implications with regard to the provision of longer-term, sustainable, and flexible unrestricted core funding which is outwith the current ability of the council due to its one year funding provision from Scottish Government. 6.3 Legal There are no direct legal implications relating to this guidance and set of principles. 6.4 HR There are no personnel implications. 6.5 Customer Service There are no implications for Customer Service. 6.6 Risk There is a risk that the guidance and principles cannot be endorsed by the Argyll and Bute Community Planning Partnership as a whole, should Argyll and Bute Council or another of the bodies represented on the CPP not agree to their endorsement. 6.7 Climate Change There are no implications for climate change. 6.8 Fairer Scotland Duty There are no direct implications in relation to the Fairer Scotland Duty. 6.9 Equalities – protected characteristics There are no direct implications with regard to protected characteristics. 6.10 Consumer Duty There may be implications regarding the provision of services to consumers in Argyll and Bute 6.11 Island Communities There are no direct implications with specific regard to island communities. 6.12 Children’s Rights and Wellbeing There are no implications for Children’s Rights and Wellbeing.
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Chief Executive, Pippa Milne Policy Lead – Cllr Mark Irvine 19 May 2025 For further information contact: John McLuckie, Partnerships Lead (Community Planning): john.mcluckie@argyll-bute.gov.uk APPENDICES Appendix 1 - CPIB Guidance for Fair Funding of the Voluntary Sector