Covid-19: Government support for charities
Public Accounts Committee
Closed
Inquiry
On 8 April 2020, HM Treasury announced £750 million of funding support to help frontline charities continue to operate during the coronavirus outbreak . On 20 May, the Department for Digital, Culture, Media & Sport (DCMS) and the Office for Civil Society announced that they were working across government to …
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19
Conclusions
1
Report
1
Oral session
4
Letters
1
Event
Activity timeline 8 events
21 Oct
2021
2021
2 Sep
2021
2021
9 Jun
2021
2021
Report published
25 May
2021
2021
16 Apr
2021
2021
15 Apr
2021
2021
Oral evidence
15 Apr
2021
2021
15 Apr
2021
2021
Formal meeting (oral evidence session) · The Wilson Room, Portcullis House
Oral evidence sessions 1 session
15 Apr 2021
View on parliament.uk
COVID-19: Government support for charities
Helen Stephenson CBE · The Charity Commission for England and Wales
John Rose · The National Lottery Community Fund
Sarah Healey · Department for Digital, Culture, Media and Sport
Reports 1 report · click to expand
| Title | HC No. | Published | Items | Response |
|---|---|---|---|---|
| Fifth Report - COVID-19: Government Support for Charities | HC 250 | 9 Jun 2021 | 19 | Responded |
Recommendations & Conclusions
19 results
2
Conclusion
Fifth Report - COVID-19: Governmen…
We are not convinced that the Department’s decisions about how to allocate funds were sufficiently...
We are not convinced that the Department’s decisions about how to allocate funds were sufficiently transparent. The Department asserts that in order to help it work at pace it decided to involve special advisers in preparing its advice to Ministers …
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Government Response
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 DCMS agrees that appropriate records of decisions, especially in relation to funding, should always be kept. In this instance, …
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HM Treasury
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3
Conclusion
Fifth Report - COVID-19: Governmen…
The Department cannot explain the additional benefit it has received from its contract with a...
The Department cannot explain the additional benefit it has received from its contract with a professional services firm to perform due diligence on charity applications to The National Lottery Challenge Fund (TNLCF). TNLCF is an organisation that is experienced in …
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Government Response
3.1 The government agrees with the Committee’s recommendation. Target implementation date: September 2021 3.2 As a result of the COVID-19 emergency and the need to meet tight deadlines to distribute …
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HM Treasury
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4
Conclusion
Fifth Report - COVID-19: Governmen…
The Department cannot demonstrate how its funding decisions have benefited charities and will not be...
The Department cannot demonstrate how its funding decisions have benefited charities and will not be able to do so until it completes is evaluation of the funding at the end of 2021. The Department has a limited understanding of the …
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Government Response
4.1 The government agrees with the Committee’s recommendation. Target implementation date: December 2021 4.2 The main objective of the evaluation is to understand: • whether the funding achieved its aims …
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HM Treasury
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5
Conclusion
Fifth Report - COVID-19: Governmen…
The Department cannot yet demonstrate that it fully understands the financial health and resilience of...
The Department cannot yet demonstrate that it fully understands the financial health and resilience of the charity sector or whether further government financial support will be necessary. The funding covers the period up until the end of March 2021 and …
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Government Response
5.1 The government disagrees with the Committee’s recommendation. 5.2 There is no single data source that can provide a definitive trigger for taking a decision on further financial support. The …
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HM Treasury
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1
Conclusion
Fifth Report - COVID-19: Governmen…
On the basis of a Report by the Comptroller and Auditor General, we took evidence...
On the basis of a Report by the Comptroller and Auditor General, we took evidence from the Department for Digital, Culture, Media and Sport (the Department), The National Lottery Community Fund (TNLCF) and The Charity Commission on the government’s £750 …
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Government Response
In April 2020, as part of its response to the COVID-19 pandemic, government announced a £750 million financial support package for organisations in the voluntary, community and social enterprise sector, …
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HM Treasury
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6
Conclusion
Fifth Report - COVID-19: Governmen…
We questioned the Department about how it decided which bids from other government departments it...
We questioned the Department about how it decided which bids from other government departments it would provide funding for. Special advisers were invited to discuss the initial assessments from the Department’s officials before final advice was given to Ministers.15 Correspondence …
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Government Response
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 DCMS agrees that appropriate records of decisions, especially in relation to funding, should always be kept. In this instance, …
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HM Treasury
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7
Conclusion
Fifth Report - COVID-19: Governmen…
Given our concerns that this was an unusual process, the Department contended that it was...
Given our concerns that this was an unusual process, the Department contended that it was not different from the normal process by which advice was offered to Ministers. The Department, however, was unable to offer further examples of when such …
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Government Response
2.1 The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 DCMS agrees that appropriate records of decisions, especially in relation to funding, should always be kept. In this instance, …
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HM Treasury
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8
Conclusion
Fifth Report - COVID-19: Governmen…
The Department provided £30 million of funding to the Department for Environment, Food and Rural...
The Department provided £30 million of funding to the Department for Environment, Food and Rural Affairs (DEFRA), with £7 million allocated to the Zoo Support Fund.27 We asked the Department why the allocation to DEFRA to support zoos came from …
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HM Treasury
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9
Conclusion
Fifth Report - COVID-19: Governmen…
We also asked about the decision-making process around awards for the Community Match Challenge scheme,...
We also asked about the decision-making process around awards for the Community Match Challenge scheme, where the Department match funded the amounts raised by philanthropic groups, foundations and grant-making organisations. Ministers selected twenty organisations to receive funding, including seven out …
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HM Treasury
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10
Conclusion
Fifth Report - COVID-19: Governmen…
The Department reduced the funding allocation to TNLCF from £310 million to £200 million around...
The Department reduced the funding allocation to TNLCF from £310 million to £200 million around one week before it was due to start distributing funding.33 When asked why this was the case, the Department told us that it was due …
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Government Response
The government agrees with the Committee’s recommendation. Target implementation date: September 2021 1.2 The Department for Digital, Culture, Media and Sport (the department or DCMS) will be able to set …
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HM Treasury
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11
Conclusion
Fifth Report - COVID-19: Governmen…
The Department paid £2 million in 2020–21 to a professional services firm, PwC, to provide...
The Department paid £2 million in 2020–21 to a professional services firm, PwC, to provide support on grants and operations, including checks on awards made by TNLCF for the Coronavirus Community Support Fund (CCSF).38 We asked why this additional support …
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Government Response
The government agrees with the Committee’s recommendation. Target implementation date: September 2021 3.2 As a result of the COVID-19 emergency and the need to meet tight deadlines to distribute funds …
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HM Treasury
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12
Conclusion
Fifth Report - COVID-19: Governmen…
We have found in our reports on the government’s response to the COVID-19 pandemic, that...
We have found in our reports on the government’s response to the COVID-19 pandemic, that the need to act at speed can reduce transparency and increase the risk of fraud and error. In our report examining Government procurement and the …
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Government Response
The government agrees with the Committee’s recommendation. Recommendation implemented 2.2 DCMS agrees that appropriate records of decisions, especially in relation to funding, should always be kept. In this instance, as …
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HM Treasury
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13
Conclusion
Fifth Report - COVID-19: Governmen…
By February 2021, the Department had identified 76 fraudulent applications, 70 of which had resulted...
By February 2021, the Department had identified 76 fraudulent applications, 70 of which had resulted in awards. The Department estimated that up to £614,000 had been distributed to fraudulent applicants and had reported cases equivalent to £400,000 to the police. …
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Government Response
The government agrees with the Committee’s recommendation. Target implementation date: September 2021 3.2 As a result of the COVID-19 emergency and the need to meet tight deadlines to distribute funds …
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HM Treasury
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14
Conclusion
Fifth Report - COVID-19: Governmen…
The Department has not yet evaluated whether the funding package has met its objectives of...
The Department has not yet evaluated whether the funding package has met its objectives of supporting vulnerable people and relieving pressure on frontline services during the pandemic. It explained that it was in the process of procuring an evaluation and …
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Government Response
The government agrees with the Committee’s recommendation. Target implementation date: December 2021 4.2 The main objective of the evaluation is to understand: • whether the funding achieved its aims of …
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HM Treasury
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15
Conclusion
Fifth Report - COVID-19: Governmen…
The National Lottery Community Fund (TNLCF) told us that it undertook regular surveys of customers...
The National Lottery Community Fund (TNLCF) told us that it undertook regular surveys of customers who were accessing its funding. TNLCF explained that 77% of its customers rated their experience between eight and 10 out of 10, with 10 being …
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Government Response
4.7 Although the evaluation of the wider funding package will not be ready until December 2021, The National Lottery Community Fund published the Process Evaluation of the Coronavirus Community Support …
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HM Treasury
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16
Conclusion
Fifth Report - COVID-19: Governmen…
The National Audit Office found that the information available on the geographical distribution of funding...
The National Audit Office found that the information available on the geographical distribution of funding was at times inconsistent or missing, making it difficult to determine the geographical spread of funding awarded. At 19 February 2021, the Department held no …
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Government Response
4.8 CCSF grant funding was distributed to every region and almost every local authority in England. Indicative regional funding allocations were identified at the outset to ensure appropriate distribution of …
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HM Treasury
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17
Conclusion
Fifth Report - COVID-19: Governmen…
The Department told us that its intention was that the overall funding provided would be...
The Department told us that its intention was that the overall funding provided would be of “significant assistance [to the sector] even if it wasn’t able to cover every gap” and that it understood that “charities would have to make …
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HM Treasury
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18
Conclusion
Fifth Report - COVID-19: Governmen…
The Department recognised that charities had lost traditional sources of income during the pandemic, such...
The Department recognised that charities had lost traditional sources of income during the pandemic, such as fundraising through large events like the London Marathon and the closure of charity shops. However, it also suggested that moving fundraising online may have …
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HM Treasury
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19
Conclusion
Fifth Report - COVID-19: Governmen…
We asked about the impact of the pandemic on the financial health of the sector...
We asked about the impact of the pandemic on the financial health of the sector as a whole. The Charity Commission told us that a range of indicators suggest that charities’ finances were worsening. It explained that the number of …
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HM Treasury
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Correspondence 4 letters
21 Oct 2021
Correspondence from Sarah Healey, Permanent Secretary, Department for Digital, Culture, Media and Sport, re Update on Recommendation 1, 3, 4 and 5 from the Committee’s report on COVID-19: Government Support for Charities (Fifth Report of Session 2021-22), dated 30 September 2021
Parliament page
25 May 2021
Correspondence from Sarah Healey, Permanent Secretary, Department for Digital, Culture, Media and Sport, re Evidence session on Covid-19 Charities Funding, dated 14 May 2021
Parliament page
16 Apr 2021
Correspondence from Sarah Healey, Permanent Secretary, Department for Digital, Culture, Media and Sport, re Government support for charities during the Covid-19 pandemic, dated 12 April 2021
Parliament page
15 Apr 2021
Correspondence from Public Accounts Committee Chair Meg Hillier, re Government support for charities during the Covid-19 pandemic, dated 26 March 2021
Parliament page