The Budget this year included no mention of Libor banking fines being given to charity for the first time since 2013.
The money gifted to charities has come under fire in the last couple of years over the apparent lack of application process, with concerns about how exactly the money was handed out. In the last year the Treasury seems to have tightened up its processes, and announced the opening of an application process for Libor funding ahead of November’s Autumn Statement.
In the 2016 Autumn Statement the government committed a further £102m of banking fines over the next four years to support “Armed Forces and Emergency Services charities and other related good causes”. This included £20m to support the defence related capital costs of the Defence and National Rehabilitation Centre at Stanford Hall in Nottinghamshire.
A current statement on the government’s website says that “at present, no decision has been taken regarding potential future Libor funding opportunities”.
Andrew O’Brien, head of policy and engagement at Charity Finance Group, said: “We’d be disappointed if the Libor money has gone forever. But if they aren’t giving it away because they’re thinking about it more strategically, that’s a good thing. Untargeted giveaways aren’t particularly useful for the sector.”
Karl Wilding, director of public policy and volunteering, said that although some people have said they are disappointed about the lack of mention of charity in the Budget, they should be careful what they wish for. He said: “We have after all said we don’t want spraying out small grants. We asked for a more stable, strategic approach.”
The Treasury announced in 2012 that: “The proceeds from Libor fines would be used to support Armed Forces and Emergency Services charities and other related good causes that represent those that demonstrate the very best of values.”
The Treasury told Civil Society News that no decision has been taken about the future of Libor grant funding, but that there is not any money currently available. It announced its last funding announcement last weekend, which was not part of the Budget. A memorial for the British servicemen and women who gave their lives in the D-Day landings and in the Normandy Campaign was awarded with £20m of Libor funding.
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