A GUIDE TO COMMUNITY FOUNDATIONS IN THE UNITED KINGDOM
c/o Association of German Foundations | Mauerstrasse 93 | 10117 Berlin | Germany [email protected] | www.comunityfoundations.eu Imprint
Bibliographic information of the German National Library (DNB):
This publication is listed in the German National Bibliography of the German National Library. Detailed bibliographic data is available on the Internet at http://dnb.d-nb.de.
Publisher: in cooperation with Bundesverband Deutscher Stiftungen e.V. (Association of German Foundations) Mauerstrasse 93 | 10117 Berlin | Germany Telephone +49 (0)30 897 947-0 | Fax -11 www.stiftungen.org [email protected] © Bundesverband Deutscher Stiftungen e.V., Berlin 2017
Author: Amber Alferoff
Project management: Anja Böllhoff, Burkhard Küstermann
Editors: Anja Böllhoff, Burkhard Kuestermann, Mike Scott
Statistics: United Kingdom Community Foundations
Copyediting: Thomas Thornton
Design: Nina Reeber-Laqua, reeber design, Kronberg
Photo and illustration credits: Unless otherwise noted, the rights to the photos are owned by the respective community foun- dations or United Kingdom Community Foundations
Printed by: LASERLINE Druckzentrum Berlin KG
ISBN 978-3-941368-88-0
2 Dear community foundation leaders,
On behalf of everyone in the UK community foundations network, I am delighted to wel- come you to the UK for this study trip. I am sure you will have a fascinating and inspiring visit. I hope there’s a lot you can learn from our community foundations – and I am sure there’s a vast amount we can learn from you!
Unlike the US and Canada, community foundations in the UK have been around for some 40 years in the UK. The first was founded in the 1970s and most are over 10-years-old, so our network is well established and flourishing. We are proud of our role as community leaders and developers of local philanthropy. Our membership of 46 community founda- tions covers every postcode of the UK. We are proud to be part of a growing international movement and look forward to sharing our knowledge and experience with you.
The UK’s community foundations together make grants of over £70 million each year, and we have a combined endowment of over £500 million. We are amongst the UK’s largest grantmaking organizations. We deliver grant programmes for government, large corpor- ates and leading third sector players such as Comic Relief and the Big Lottery Fund. But we are not complacent; we have a strong ambition to grow further. After many years of auster- ity and government cut-backs in the UK the needs of communities are increasing rapidly.
We are living in a period of fast, and sometimes unpredictable, change – politically, social- ly and demographically. And as our civil society continues to evolve, the role of community foundations must adapt to remain at the cutting edge. We must grow and develop as community leaders and as promoters and catalysts of local philanthropy.
We are delighted to have the chance to share with you our Great British version of com- munity foundations. We will be open about both our successes and our challenges. We are convinced that, by sharing learnings and best practice, our networks will become stronger and more resilient.
My colleagues and I at UKCF wish you an enjoyable visit and very much look forward to meeting you and spending time together at the ECFI European Conference.
With best wishes,
Fabian French Chief Executive Officer, UK Community Foundations
3 4 CONTENTS
FACTS AND FIGURES ...... 6
HISTORY ...... 10
WHAT IS ‘UK COMMUNITY FOUNDATIONS’? ...... 14
TECHNOLOGY ACROSS THE NETWORK ...... 16
SOCIETAL CONTEXT OPPORTUNITIES AND CHALLENGES ...... 17
LEGAL AND FINANCIAL CONTEXT ...... 24
BEST PRACTICE EXAMPLES ...... 32
URLS AND REFERENCES ...... 42
LIST OF COMMUNITY FOUNDATIONS THAT ARE MEMBERS OF UKCF ...... 44
ABOUT ECFI ...... 46
5 FACTS AND FIGURES
FACTS AND FIGURES
Preamble
The UK is a federated country with a popu- • A community foundation advises local lation of 65 million. There are 46 accred- charities and voluntary organizations ited community foundations, with Scotland, • A community foundation promotes Northern Ireland and Wales having one local philanthropy each. England, with the largest population, • A community foundation builds an is home to the rest. endowment for the area
Each community foundation acts like a prism, focussing energy on the local com- Facts and figures – flashlight munity. Each draws in donations of time, • Grants made: £71.1m (2015 - 2016) money and expertise from philanthropists, • Total endowment fund balance: £500m private sector givers, the statutory sector across the 46 member community (public), international, national and local foundations charities, trusts and foundations. This re- • Of the 71.1 million distributed by UKCF sources are then focussed on the local member community foundations last community through grants to community year, £22 million was investment return groups. on endowment and £50 million was flow-through funding The communities are not passive though. • Over the last ten years, £60 million in Through the grant process they inform what dormant and inactive trusts has been is needed and shape how it is delivered. transferred to community foundations. • Total number of grant recipients in the The community foundations‘ relationships last year, across the network (organiza- with local groups and donors give them tions): 19,934 reach that is simultaneously wide-ranging • Total number of grant recipients in the and ‘hyper local‘. Funders value this reach. last year, across the network (individu- als): 8,442 As well as drawing in funds to deliver mean- • Total number of funds under manage- ingful activity, community foundations help ment in the last year, across the net- build the capacity of local groups so they work: 3,801 will be there for the long run. Their approach • The average grant size is £3,200 is strategic.
In the UK there is no formal definition of a community foundation. It is their charit- able objectives that help define them: • A community foundation must be a registered charity • The charitable objects have a specific geographic focus • A community foundation makes grants to local charities and voluntary organi- zations
6 FACTS AND FIGURES
Beds & Luton ,,
Berkshire ,,
Buckinghamshire ,, Estimated total value (£) of grants Calderdale ,, made during the lifetime of Cambridgeshire ,, community foundations Cheshire ,,
County Durham ,,
Cornwall ,,
Cumbria ,,
Derbyshire ,,
Devon ,,
Dorset ,,
East End ,,
Essex ,,
Gloucestershire
Hants & loW ,,
Heart of England ,,
Herefordshire ,,
Hertfordshire ,,
Kent ,,
One Community (Kirklees) ,
Lancs & Merseyside ,,
Leeds ,,
Leics & Rutland ,,
Lincolnshire ,,
London ,,
Milton Keynes ,,
Norfolk ,,
Northamptonshire ,,
Northern Ireland ,,
Nottinghamshire ,,
Oxfordshire ,,
Quartet ,,
Scotland ,,
Somerset ,,
South Yorkshire ,,
Staordshire ,,
Suolk ,,
Surrey ,,
Sussex ,,
Two Ridings ,,
TW & Northd ,,
Wales ,,
Wiltshire ,,
Worcestershire , 7 FACTS AND FIGURES
Beds & Luton ,,
Berkshire ,,
Buckinghamshire ,, Endowment fund balance Calderdale ,, at year-end (£) Cambridgeshire ,,
Cheshire ,,
County Durham ,,
Cornwall ,,
Cumbria ,,
Derbyshire ,,
Devon ,,
Dorset ,,
East End ,,
Essex ,,
Gloucestershire ,,
Hants & loW ,,
Heart of England ,,
Herefordshire ,,
Hertfordshire ,,
Kent ,,
One Community (Kirklees) ,,
Lancs & Merseyside ,,
Leeds ,,
Leics & Rutland ,,
Lincolnshire ,,
London ,,
Milton Keynes ,,
Norfolk ,,
Northamptonshire ,,
Northern Ireland ,,
Nottinghamshire ,,
Oxfordshire ,,
Quartet ,,
Scotland ,,
Somerset ,,
South Yorkshire ,,
Staordshire ,,
Suolk ,,
Surrey ,,
Sussex ,,
Two Ridings ,,
TW & Northd ,,
Wales ,,
Wiltshire ,,
Worcestershire , 8 FACTS AND FIGURES
Beds & Luton
Berkshire
Buckinghamshire Value (%) of total grant-making Calderdale in the last financial year Cambridgeshire from flow-through funds and Cheshire endowment funds County Durham Flow-through funds (%) Cornwall Endowment funds (%) Cumbria
Derbyshire
Devon
Dorset
East End
Essex
Gloucestershire
Hants & loW
Heart of England
Herefordshire
Hertfordshire
Kent
One Community (Kirklees)
Lancs & Merseyside
Leeds
Leics & Rutland
Lincolnshire
London
Milton Keynes
Norfolk
Northamptonshire
Northern Ireland
Nottinghamshire
Oxfordshire
Quartet
Scotland
Somerset
South Yorkshire
Sta ordshire
Su olk
Surrey
Sussex
Two Ridings
TW & Northd
Wales
Wiltshire
Worcestershire 9 HISTORY
HISTORY
History – development of a civil society and the community foundation movement in the UK
Europe is known for its traditions, and To elaborate: Mr Cadbury probably did not the UK is proud of its long tradition of conduct community engagement when he philanthropy. Many of our grant-giving built the town of Bournville for his chocolate charitable trusts have roots in the guild factory workers in 1893. But in 2015 Barrow system that managed each town’s crafts- Cadbury Trust (an independent charitable people. Religious groups are another part of Cadbury family foundation) placed great the tradition, with many trusts established in emphasis on engaging community groups. the name of Christianity, and Judaism, Islam, The New Beginnings grant programme Sikhism, Hinduism and Buddhism all hav- reached community groups working direct- ing an impact. Some ancient trusts origin- ly with refugees. Funding was to help make ally made their grants from the profit of a refugees welcome in their new communities small patch of agricultural land. Some of and grants were awarded to local groups this land is now located in cities and the based on what they felt would achieve this, endowment is worth millions. The Victorian be it food, parent and baby groups, IT train- philanthropist is the most vivid in our minds, ing or something else. Priority was given to with many schools, hospitals and homes groups with refugee experience amongst built on the profits from the Industrial Rev- staff and volunteers. olution. The root of our public services is phil- anthropy: the National Health Service, free The national programme was managed by state education and our welfare state all UKCF along with community foundations began with people taking action to make who aimed to reach groups working at a things better. ‘grassroots’ level. This partnership enabled neighbourhood-level focus and a UK-wide Community foundations are part of this approach. UKCF helped draw in other tradition of innovative people responding funders. UKCF also developed the applica- to local need. The largest in the world – tion process, which was improved for round Silicone Valley – echoes the Victorian era two following feedback from applicants. of philanthropists, though their wealth is generated from the information revolution Later, community foundations were able to rather than the industrial revolution. publicise Barrow Cadbury’s offer of media training to all applicants, whether success- There is one big difference between Vic- ful or not. Furthermore, community foun- torian philanthropy and contemporary giv- dations were often able to fund unsuccess- ing through community foundations: the ful—but still valued—groups through other grantmaking system. Local people are not funds. ‘done to’ anymore. Through the grant ap- plication process community foundations Community foundation programmes are ensure that delivery is informed by local delivered appropriately for the people ben- people. And this is not just about what peo- efitting, and often by local people them- ple are lacking or what they need. Grant- selves. Geographically based, community making means local people’s ideas can be foundations know local groups and are implemented. able to make a strategic impact at a lo-
10 HISTORY
cal level. For this reason funders large and 1914 The first community foundation began small want to work with us. in 1914 in the USA, in Cleveland, with Winnipeg being the first in Canada. Until the 90’s local funding often took the form of long-term funding for the everyday 1975 The UK’s first community foundation is delivery work of charities and community launched, covering Swindon and Wiltshire. groups. This usually required little in the way of an application process, monitoring 1980’s Six more community foundations or evaluation. This kind of funding is now launch, with initial funding from the Charities largely a thing of the past. As charities Aid Foundation and the government. adopted more businesslike practices, proof of impact increased in importance, espe- 1991 The Charles Stewart Mott Foundation cially when public money was allocated. begins a decade of support for the develop- Funding became more project-based with ment of community foundations in the UK groups being awarded funding on the merit and the ‘Community Foundation Network’ of each project proposal and anticipated is established – now called ‘UK Community outcomes and not just because they did Foundations’ (UKCF). ‘good works’. 2001 Community foundations are chosen by Now, public funding is used to purchase the government to deliver a strategy to elimi- services that meet the needs of the local nate child poverty. community. Charities are central to this, and are often key delivery partners for lo- 2003–13 Community foundations distribute cal councils and other statutory providers. £50 million from the Big Lottery Fund ‘Fair In recent years these changes have been Share Trust’ to 80+ communities and lever- accompanied by cuts to statutory sector age £25 million in additional funding. budgets, leaving many unable to offer the level of grant funding that they had previ- 2004–05 Community foundations start ously. Many community groups relied on to work with Comic Relief, another large grant-funding and did not have the cap- funder. Ten community foundations deliver acity to bid for or manage service delivery the ‘Time for Growth’ initiative, raising £19.5 contracts. million from an original £1 million invest- ment from Coutts & Co. the Esmée Fair- The societal context considers these changes, bairn Foundation. demonstrates the importance of grants as part of the funding ecosystem and high- 2006–07 A quality accreditation scheme is lights the role of community foundations as established with standards endorsed by the facilitators of local funds and community Charity Commission for England and Wales. benefit. UKCF becomes a strategic partner of the government and community foundations are cited as effective funders by the govern- ment.
11 HISTORY
CLOSE-UP
The Wiltshire Community Foundation was In terms of endowment building, Wiltshire started by Joel Joffe, Nelson Mandela’s CF are experts in locating money already lawyer during the 1963 trials. Made a state- within the county and making it work harder: less person by the apartheid government in most endowment growth has come from South Africa, he came to the UK as a ref- transfers from charitable trusts that no ugee and set up Hambro Life Assurance, longer operate, or no longer want to operate. which later became Zurich Financial Ser- For example the £4.6 million ‘William Doc vices. Joffe felt strongly that businesses Couch Trust’ was transferred from Wiltshire should be involved in the local community Council, and this endowment is now fund- and donate to voluntary sector organiza- ing university scholarships. tions. In terms of flow-through funds and other in- He started Thamesdown Community Trust come, Wiltshire deliver national programmes in Swindon 1975, following the American in partnership with UKCF. They also deliver model. This became the Community Foun- a grant programme for the county’s Police dation for Wiltshire & Swindon in 1991. and Crime Commissioner (PCC) who funds activities for young people through the sale Wiltshire is home to Stonehenge and many of unclaimed goods seized by police. The white chalk horses (hence the horse logo). police also paid for the Community Foun- Its rural population ‘look outward’ to nearby dation to assess grant applications for a cities Bath, Bristol and Oxford, and many million pound innovation fund. services are provided by organizations out- side the county. For this reason the Commu- Wiltshire CF also commissions work, such nity Foundation are considering changing as the children’s charity Barnado’s to deliver rules that say they can only fund organi- two schools programmes to build Wiltshire zations with a management committee in children’s skills and self-esteem. This is part Wiltshire. of an increasingly strategic approach, with a bigger grants making bigger impact. Wiltshire CF offers advice for community groups as part of the grants team’s ‘Funder Technology helps with this. The CF describe Plus’ service. There is no local Council for themselves as ‘Digits super users‘. Digits is Voluntary Service (independent charities the CRM information management system that co-ordinate and advise community used by community foundations. Online groups) so the CF trains groups on gover- meetings and decision making are also help- nance and funding, and delivers an annual ful in this large county. funding conference where big funders and community groups can meet one another.
12 HISTORY
The future sees more investment in philan- 2008 Forty-five community foundations thropy and legacies. Two new development become local funders in the Government‘s directors are developing private philan- Grassroots Grants programme, which com- thropy and legacy marketing and advice prises an £80 million small grants fund, plus services. This work has already yielded a a £50 million endowment challenge. In the pipeline of £6 million from ten people with same year the Leeds Community Founda- whom the community foundation has an tion receives a donation of £10 million, the established relationship, with, and many largest gift to a community foundation ever, older people of all incomes are pleased to from a local entrepreneur Jimi Heselden. leave a legacy to the local area. 2009 Community foundations are appoin- Dynamic Chief Executive Rosemary Mac- ted to manage Comic Relief funds. Donald is just back from shadowing CFs in Canada and is inspired by their marketing, 2010 Community foundations run a UK- which is timed to maximize giving at the wide campaign for the first time (‘Surviving end of the tax year. Expect more on the tax Winter’). Over £2.5 million is raised to help advantages of giving from Wiltshire Com- more than 20,000 vulnerable people through- munity Foundation in the near future. out the winter.
2016 UK Community Foundations becomes a Crown Commercial Service supplier
13 UK COMMUNITY FOUNDATIONS
WHAT IS ‘UK COMMUNITY FOUNDATIONS’?
UK Community Foundations represents all UK Community Foundations currently has the accredited community foundations in 11 staff, based in London. As a whole the the UK, providing a strong national voice network made £71.1m in grants in 2015-16. for local philanthropy as well as managing The average grant size is £3,200 and there UK-wide relationships. is a total endowment of £500m across the 46 member community foundations. Each Community Foundation has an in depth understanding of their local area, UK Community Foundations enables the what the priority needs are and how best network to deliver large-scale and national to address these issues. They are able to di- grant programmes on behalf of large fun- rect donors to fund causes that they are not ders such as Comic Relief, the Lottery and only passionate about but that will make the UK Government. In 2016, UKCF became the most difference. an approved Crown Commercial Service provider. UKCF VISION Local philanthropy will be the norm and UK Community Foundations organizes a communities will be able to help all those national conference every two years, regu- in need. lar meetings between specialist staff roles, such as development or communications OBJECTIVES leads, and a biennial symposium. • Grow a stronger and more cohesive network of CFs It also manages the Beacon Fellowship • Have influence in the places where it awards for philanthropy, held every two matters years. • Be properly resourced to achieve our goals
VALUES • Belief in communities and meeting local need • Passionate about philanthropy • Aspiring to excellence • Committed to learning • Adding value • Demonstrating leadership • Devoted to teamwork
14 UK COMMUNITY FOUNDATIONS
15 TECHNOLOGY ACROSS THE NETWORK
TECHNOLOGY ACROSS THE NETWORK
Digits2 is a bespoke database on a Sales- Centrally UKCF can see most of the data force platform, which is used to create for national programmes (though not all – forms for grant applicants. As well as en- data is confidential to each CF). This cap- tering their qualitative information about turing of data enables the network to report their group and their project, groups select on its impact as a whole. It can reveal which which high-level outcome they are looking (type of) beneficiaries have been helped in to achieve. They then ‘drill down’ and decide each area – for example young people not on a primary outcome. Groups can also use in education, employment or training. It Digits2 to upload accounts, required poli- can reveal the amount of funding in each cies and even photographs. area, and the proportion of small and large grants. Community foundations can see all the applications, and can shortlist them. They This all helps with reporting back to funders can draw data fields, such as group name on the activities on the impact of what the and income, into grant assessment forms money has achieved, demonstrating exact- for each group. Grant assessors use these ly what quantifiable change has occurred. and then enter their final assessment onto Digits2. Community foundations use these as the basis for panel decisions about » For the first time we can say what we which groups to fund. Community founda- do as an entire network and show it in tions can then use Digits2 to send groups quantitative data and the close-up on emails about the decision. the individual people, too. Lily O’Flynn, Senior Programmes Manager At the end of the programme, funded groups at UKCF will report on how they have achieved their chosen high-level outcome qualitatively and quantitatively. the impact of the grants on individuals, and what has changed.
Of course all community foundations are separate charities. A handful, including England’s largest, have their own systems that are right for them. However, those that use a different system also report back via Digits2 – even if they don’t use it at the grant application process.
16 SOCIETAL CONTEXT
SOCIETAL CONTEXT OPPORTUNITIES AND CHALLENGES The public, private and community sectors
The UK has clear terms for the public (stat- town council. Recently our largest cities utory) sector and the private sector. The such as Bristol, London and Greater Man- community sector, however, has had many chester have elected an executive mayor. ‘rebrands‘. These include Civil Society, The Other statutory services such as the police Charity Sector, The Voluntary Sector, The and the National Health Service also work Voluntary & Social Enterprise Sector and on local, national and regional basis. The Third Sector. Each of these holds a budget to meet local Perhaps the breadth of it makes it difficult need, which is identified formally through a to define. The community sector includes process called commissioning. entities from the biggest international charity to the smallest informal community Commissioning draws together data and group. Charitable organizations may have expertise from council departments, police, commercial arms, such as shops or even prison and probationary services, health bus services. There are a growing number services and community and voluntary pro- of community-led businesses including so- viders to understand what kind of service cial enterprises and community-interest will meet local need. Organizations from companies. The Localism Act has enabled any sector can then bid for contracts that the statutory sector to transfer assets such deliver the desired outcomes on a borough, as libraries to local community groups. county or regional level. The Localism Act also enables commu- nity groups to take over commercial assets Often the lead organization will work in if they are considered important to the partnerships with or sub-contract the work community. For example, the last shop in to community providers who have exper- a village may be considered a community tise that they do not. This will be central to asset: that shopkeeper might provide the their bid. In fact, some community founda- only human contact for an elderly person tions have been ‘procured’ by the statutory that day. So, is a private sector shop really sector to deliver services. For example, they all that different to a community centre? may have contracts with a local NHS Clin- ical Commissioning Group. There is a lot of crossover, and the three sectors frequently work together. The Social Value Act requires public author- ities to have regard to economic, social and environmental well-being in connection How the sectors work together with public services contracts. However, added-value and long-term benefits may UK local government consists of elected not always be accounted for, especially members in local wards (neighbourhoods). with austerity. Examples of these include Then there are borough or county-wide local know-how and local employment and councils. Some towns may also have a volunteering opportunities.
17 SOCIETAL CONTEXT
The role of grant funding dependent charities that advise communi- ty groups. CVSs and councils also distrib- Larger organizations are often well-resourced ute grants. However, following government to develop bids. However they may not be cuts, fewer grants are distributed through the best at delivering services. Meanwhile, these channels, and some council commu- community organizations delivering amaz- nity departments and CVS’s have closed. ing services find the barriers to being ‘pro- cured’ too high. Earned income. Charities with a trading arm can earn income, such as from a café, So how do these groups sustain their im- shop or services such as landscaping or portant work? delivering paid-for training courses.
A grant from the statutory sector – usually In fact, ‘payment by results’ is a kind of for a project, sometimes towards core costs earned income that is increasing in popu- such as salaries and rent. larity, but working capital is needed and this can be too much of a risk for groups. A grant from a foundation, trust or other charity - usually project-based. Donations. A ‘no strings attached’ donation is most welcome! Donations help sustain- A grant from a fund pot where various fun- ability by funding rent and salaries. Dona- ders contribute. This may include funds from tions also free groups from delivering exter- trusts, charities, the private sector or indi- nally defined outcomes. They can innovate. vidual philanthropists, and is based on cri- This can draw in further investment. teria agreed by all the funders. An example of this is the Youth Social Action Fund cur- Donations come via individual philan- rently being delivered by community foun- thropists and givers, workplace fundraising dations across the UK. and corporate social responsibility. They may come from the interest on an endow- Community foundations help design, pro- ment. mote and monitor all these types of grants. This is their day-to-day work. Some have Community foundations fund those with the resources to support groups with ap- an excellent track record, build the cap- plications. Most are able to identify suit- acity of less established groups, support able groups and encourage them to apply. innovative ideas, and work with others to Many hold grant application workshops, ensure a strategic approach to local need. identify where the group can improve their policies and other support to build the ca- With their knowledge of local groups and pacity of the groups. ability to work with a wide range of fun- ders, community foundations are well In the UK this capacity-building work with placed to facilitate funding opportu- smaller and newer groups was frequent- nities. They are like bakers, creating bread ly done by the local council, or a ‘council (grants) from raw ingredients (funds) to for voluntary service’ (CVS), which are in- nourish local people.
18 SOCIETAL CONTEXT
Of course the community foundation must more, eat better and enjoy life, community maintain a supply of ingredients to attract groups are making a huge impact on people’s funds through their development work. For well-being. This kind of work is where many the bread to rise, in other words for the funds community foundation funds are directed. to get bigger, the community foundation must build an endowment. The legal and financial Often the local doctor is unable to help context expands on endowment building. with these issues. In fact, there is an emerg- ing ‘trend’ called Social Prescribing, where Of course, not all support is financial. Vol- GP practices direct people to community unteering is vitally important to community groups and volunteering opportunities. This groups. can save the statutory sector significant sums of money. For example, the Depart- ment for Work and Pensions and the Cabi- Volunteering net Office recently estimated that the well- being value to frequent formal volunteers Everyone has something to offer, though themselves is around £70 billion per year. not everyone can offer money.
Volunteers are an asset. Funding applica- Philanthropy tion forms increasingly ask about this ‘in- kind support‘. This Asset Based Community Philanthropy is central to the work of com- Development (ABCD) model emphasizing munity foundations and most have one or what a group can bring rather than what more staff dedicated to developing and they lack. For example, although volunteers supporting philanthropy. Philanthropy is by their nature are not paid, some funders well understood by community founda- value volunteering at £13 an hour. tions, so examples are included here rather than an explanation. Volunteering is good for the volunteers themselves. The UK is increasingly alert to Community foundations are keen on phil- the well-being benefits of giving time or anthropists to work with one another, be as money. For example, giving is one of The strategic as possible, and really maximize New Economics Foundation’s evidence- the impact of their giving. Dedicating their based Five Ways to Well-being: Connect, time as well as their money is much appre- Be Active, Take Notice, Keep Learning and ciated too. Diversity is increasing as well. Give. More women, people from black and mi- nority ethnic backgrounds, young people This relates to an increased UK focus on and people with moderate wealth are all mental health. Community groups are dedicating funds and professional skills to proving their vital role in reaching people their local community via their community with stress, anxiety and social isolation that foundation. Visible giving is also encour- are impacting on their mental health. By aged: people who see someone like them supporting people to get more exercise, be giving are more likely to think that philan- out in nature, meet others, face debts, earn thropy is for them too.
19 SOCIETAL CONTEXT
Here are some examples of UK philanthropy: The young philanthropist is still unusual. Ben Hanford works with the Norfolk Com- Tom Ilube is a tech entrepreneur and cy- munity Foundation to engage young phil- ber security expert. He was voted number anthropists through ‘The Norfolk Futures one on the Powerlist of the most influential Fund‘. Young professionals each donate £25 people of African and African Caribbean a month. With its events and opportunities Heritage 2017. Through his involvement in to share skills with charities, this highlights a London secondary school and founding the transformation of philanthropy from of a girls’ science and technology school in ‘something someone else does’ into a vis- Ghana, he hopes to support genius – after ible sociable activity for most people. all, one in 25,000 people has the brain power of Einstein. » Just imagine at key points in your life you had taken a different path, or luck » In a world of extremes and populism, the or chance had dealt you a bad hand. power of philanthropy is that it can and It would be great to know there were will continue to support causes, places people out there who cared and were in and people that no one votes for. a position to make a real difference. Tom Ilube Ben Hanford
Iman Monawar Hussain is the founder of David Eric Laing supports the Northamp- the Oxford Foundation. His school pro- tonshire Community Foundation with time, gramme helps young people explore iden- skills, funds and in-kind donations, helping tity and faith and avoid exploitation, equip- build an endowment that has seen the ping them to advocate against violent foundation triple in size. David was chair extremism. for nine years and has left the community foundation in extremely good stead – by Helen Wilde and her husband Peter repre- donating a four-story building. sent the averagely well-off philanthropist. On retirement from their professional jobs ‘First stop – contact your local community they were happy to realize that they had foundation‘, is David’s advice for budding enough to support themselves and their philanthropists. community. They are an example of what retiring baby boomers can offer to philan- Mike and Carol Clare worked with the Heart thropy. of Bucks Community Foundation to identify what investment would make the greatest local impact. The answer was a venue ac-
20 SOCIETAL CONTEXT
commodating 22 charities with plenty of by The Community Foundation for Calder- space for indoor and outdoor events in the dale whose donor care plan helps the 12 acres of grounds. couple see the direct impact of their giving.
Sarah and Francis Salway work with the Dr Iain MacRitchie supports the Founda- London Community Foundation on the tion Scotland. Dr MacRitchie understands ‘Building Communities in Coldharbour’ pro- that good ideas need promotion and trav- gramme in Brixton. Francis is the former els the country to expand the reach of his CEO of Land Securities, and the couple’s mentoring scheme. He shows how being focus is on engagement between devel- profit-driven in business can translate into opers and communities. Since Francis be- seeking social ‘profit’ in communities. came chair of London Community Founda- tion the endowment has increased threefold. Grant Gordon works in Scotland through The Childhood Trust and Cabrach Trust. Grant Jane Wates OBE Jane was originally a is a strong promotor of philanthropy with trustee of the Berkshire Community Foun- a consultative approach. His work is help- dation and helped set up the Oxfordshire ing the next generation of philanthropists Community Foundation. She continues to to access the tools and advice they need to help ensure a joint approach by the two give effectively and with impact. His inter- foundations. Jane is part of grant deci- ests are focussed on supporting people to sion-making committees and impact mea- enjoy a safe and happy childhood. surement. She has commissioned work to improve her understanding of how to help, We hope this illustrates the diversity of for example a report from the Young Foun- philanthropy in the UK and the increasing dation about the best way to support resi- focus on supporting philanthropists to be dents of a local housing estate. strategic and work together to increase, and improve, their impact. Michael Campbell was instrumental in launching the Hampshire and Isle of Wight Community Foundation. He was chair for seven years and remains a generous donor, giving vital funding for everyday running, which makes a huge difference in a world of project-based funding.
Pat and Susan Russell’s investments and intense working life meant they could retire early and turn their skills to making a social profit. Their endowment fund is managed
21 CLOSE-UP
Community Foundation for Northern Ireland
ernment funder. Committed to peacebuild- » The rest of the UK has much to learn ing, social justice and effective community from Northern Ireland, about how to development, the Community Foundation create social capital, to build commu- works in partnership with communities, en- nities, to persuade communities to work couraging them to be proud of who they together, to create social enterprises, to are and what they have achieved. sustain and strengthen civil society as well as how to resolve conflict. Avila Kilmurray, - chief executive from John Nickson, Trustee of UK Community 1994–2015, championed the importance of Foundations including exprisoners (who on release had become community leaders) in the peace process. This helped build relationships. As Nickson puts it, the Community Founda- Belfast remains home to some of the most tion helped ‘create the space where people deprived areas in the UK. The shipyards could pick up a phone rather than throw a used to employ 36,000 people and then brick.’ ‘Belfast was hit by a perfect storm: de- industrialization, redevelopment and the In her early career Kilmurray set up a troubles. The storm left behind a swamp women’s refuge – the first in Northern and we cannot get out of it without help. Ireland. At the time Direct Rule meant that The effort to get out of the swamp means no local policies arose. Local activism such that different communities have a common as this helped respond to need. ‘That was interest‘, says Jackie Redpath, chief execu- why the community and voluntary sector tive of The Greater Shankill Partnership. became so powerful’, says Kilmurray.
These insights are from ‘Our common good,’ Transparency helped ‘buy-in’ from all com- by John Nickson. Nickson locates the Com- munities. ‘The refuge looked after women munity Foundation for Northern Ireland from both sides, we made a point of that. It centrally in the peace process: everyone was more difficult when a couple of British agreed that disadvantage needed address- army wives turned up. So we went round ing, and the Community Foundation has all the armed groups to tell them what we been doing so in an inclusive way since were doing. They left us alone.‘ 1979. When she moved to the Community Foun- The community foundation began as The dation, the same transparency and fair- Northern Ireland Voluntary Trust, a govern- ness was evident. There was a 50/50 split ment endowed trust, and changed its name between Catholics and Protestants on the in 2002. It was set up by Peter Melchett, a board, on funding committees, among the government minister. staff and in the allocation of grants. All groups sat on the board, including para- Being locally based, the Community Foun- militaries. This meant that each side made dation was better able to navigate nuances decisions about which groups from the and identify need than a big funder or gov- other side should be funded.
22 The emphasis was on funding outreach It didn’t all go perfectly, but a new compa- community development. For example, ny called Resurgam was formed when the encouraging people to set up parent and old one was dissolved and two community toddler groups ‘that no paramilitary god- centres and more property were added to father would take over‘. Kilmurray found the community portfolio along with 104 sus- these groups successful in both republican tainable jobs. Community ownership means and loyalist areas. there is real ‘buy-in’ from local people, these businesses are thriving and are not vandal- Much of the funding came from the EU ized, while others are closing down. and from American philanthropists (from 1991–2014, Atlantic Philanthropies made 21 grants to the Northern Ireland Community » Philanthropy from outside Northern Ire- Foundation, totalling $30.1 million.) land and community philanthropy from within made peace possible. Because of this philanthropy, unlike most John Nickson, Trustee of UK Community other community foundations in the UK, Foundations there was little emphasis on raising dona- tions locally. This is changing, though local donors are hard to find. The challenge to- day is to build donor support now that stat- Most recently, with new chief executive utory funding is so much less. There has to Andrew McCracken at the helm, the Com- be more emphasis on growing private phil- munity Foundation has highlighted that anthropy‘, says Kilmurray. there are 13,000 millionaires living in Northern Ireland living alongside 376,000 Social enterprise and community owner- people living in poverty. The New Begin- ship is emerging as one way local people nings programme has helped refugees, for are contributing to their community. whom the country is a place of safety. There is increasing focus on mental health and For example, with a £20,000 grant from the education. A Big Lottery-funded Space & Community Foundation, Philip Dean and Place Programme will fund capital projects Adrian Birth created a community-based that bring communities together to identify garage with a mixed workforce of Protes- a shared vision for their area and work to- tants and Catholics. Later they set up a gether to deliver it. self-built company in partnership with the Community Foundation, the Northern Ire- The Community Foundation wants to use land Housing executive who donated land, their experience to develop a culture of and Ulster Garden Villages, who loaned giving based on relationships rather than £130,000 to build nine houses. The com- transactions, facilitating organizations as pany trained ex-prisoners and young people well as local people to give to local causes, regardless of religious background. with the Community Foundation acting as a key connection between donor and re- After 2.5 years they owned three houses worth cipient. £0.75million, sold one and bought a pub and taxi firm – all in community ownership. 23 LEGAL AND FINANCIAL CONTEXT
LEGAL AND FINANCIAL CONTEXT
Community foundations are charities un- which is about the same population as a der the Charities Act 2011 which states that US state or Scandinavian country. Suitably, a group of individuals or an organization Foundation Scotland have two offices. claiming charitable purpose must be able to demonstrate public benefit. This built In the UK poverty is not based on geogra- on the 2006 act which helped reduce bur- phy. Wealth and poverty live side by side eaucracy for charities. All community foun- and poverty is mostly hidden. For example, dations demonstrate public benefit. 24% of Westminster, London children live in severe child poverty. There is no specific UK law that states what a community foundation is. It is the defined To identify need and communicate it to po- charitable objectives that qualify a charity tential funders, many community founda- as a community foundation: tions use ‘Vital Signs’ and other reports. • The charitable objects include a specific geographic focus ‘Hidden Dorset’ reveals the largest popula- • A community foundation makes grants to tion of older people in England and Wales, local charities and voluntary organizations high levels of young people not in educa- • A community foundation advises local tion, employment or training, particularly charities and voluntary organizations in rural areas and 13 areas within the 20% • A community foundation promotes most deprived nationally. These priorities local philanthropy are addressed through the Dorset Fund. • A community foundation builds an en- This is particularly useful in areas with more dowment for the area pronounced wealth, when issues are not common local news. This section looks more closely at each of these objectives in the financial and legal In contrast, deprivation in Wales is high context, and the tools community founda- on the news agenda but wealthy individu- tions use to guide and regulate their work. als are harder to find, so The Community Foundation in Wales focusses their ener- gies on identifying and supporting poten- Geographical focus tial funders.
Northern Ireland, Scotland and Wales Meanwhile Community Foundation for each have one community foundation. Northern Ireland’s 2016 Vital Signs report In England community foundations tend identified that local people were most to follow county boundaries. This means concerned about health, education, em- that each community foundation covers a ployment and poverty, which led the Com- large geography and population. munity Foundation to make an additional £500,000 available for local communities. There are approximately 8 million people in The report also called for greater collabo- London, 800,000 in each English county, 1.8 ration between the funders and the volun- million in Northern Ireland and 3.2 million tary sector – allowing these key areas of in Wales. There are 5.4 million in Scotland, need to be tackled more effectively.
24 Vital Signs
Vital Signs is an initiative where Commu- nity Foundations identify the key issues affecting local communities. It is a global initiative, with community foundations in countries such as Canada, Brazil and the UK taking part.
Each year, Vital Signs reports are published to provide a full picture of social trends, community needs and what people think of the places where they live and work. The reports are based on a combination of existing research and surveys with local res- idents.
Milton Keynes Community Foundation’s Vital Signs 2016 report
25 LEGAL AND FINANCIAL CONTEXT
Grantmaking to local charities and decide how to respond. The aim is to cre- voluntary organizations ate a legacy of community participation, well-being and happiness. How the pro- This is the backbone of our work and is gramme is implemented varies across the conducted in a similar way across all the fourteen groups, which include rural, ur- community foundations in the UK. ban and seaside communities (UK seasi- de resorts are particularly deprived since In terms of the law, community founda- 1970’s international package holidays). tions can fund registered charities, volun- Each panel aims to tackle disadvantage by tary groups such as tenants associations, supporting opportunities in sport, physical parents’ groups or ‘Friends of the Park’ activity, culture and the arts, volunteering groups. Community foundations can make and social action. Each panel is supported payments to individuals, usually in a cri- by their local community foundation over sis affecting many, such as large flood or the three year funding cycle. This is a learn- fire. This would be done in partnership with ing curve for all involved! local community groups. Community foun- dations can also fund social enterprises or community businesses. (The legal struc- Community foundations advising ture of these vary and legal organizational local charities and voluntary organ- terms include Community Interest Compa- izations ny and Company Limited by Shares.) Grant programmes may be one-offs, very local, The UK has a wealth of online capacity- county-wide, country-wide, national or Eu- building resources about how to be an ef- ropean. UKCF often support larger funds, fective and legal charitable entity. Bespoke with Salesforce database technology en- advice is much rarer (a victim of funding abling a consistent approach to applica- cuts). tion and monitoring processes. There is debate amongst community foun- A community foundation promotes grant dations about to what extent they should programmes, receives applications, assess- offer bespoke advice. Some prefer to fo- es shortlisted applications and conducts cus solely on building endowment. Some due diligence. A panel make decisions are paid by other agencies to deliver ad- about which groups to award. Grant panels vice. Some delivering ‘for free’ as it helps may include the funder and other stake- achieve their aims. Some would like to but holders as well as Community Foundation do not have the staff capacity – commu- representatives. There are usually differ- nity foundation staff numbers range from ent panels for different programmes. Each one full-time role to 28. must be constituted in accordance with the community foundation’s rules. However, all community foundations provide advice through the grantmaking process. The ‘Spirit of 2012‘-funded Fourteen pro- For example, to qualify for a grant award, gramme illustrates innovative practice by a group must have the right policies, such having local people consider need and as an equal opportunities policy, and must
26 LEGAL AND FINANCIAL CONTEXT
have at least three unrelated management charity. The charity claim Gift Aid at the committee members. This is a type of capac- basic rate to make your donation £125. How- ity building advice especially when groups ever, you pay the higher rate of 40% tax, will be awarded a grant on the condition so you can personally claim back £25.00 that they develop their policies. (£125 x 20%).) This applies to income or capital gains.
Promoting local philanthropy Community foundations usually offer be- spoke advice for philanthropists and do- The level of charitable giving is high in the UK. nors. This may be charged for via a com- Tax laws help charities in three main ways: mercial arm, owned and controlled by the charity, not for private profit, and for de- • Charities are not liable for business rates, fined charitable objectives. though this may change in future • Charities do not have to pay income or corporation tax. (They do pay Value A community foundation builds an Added Tax on purchases like stationery. endowment for the area Charities do not pay VAT on grants, though they might need to be VAT reg- Of the £71.1 million distributed by UKCF istered if delivering contracts or paid- member community foundations in 2015- for advice.) 2016 £22 million was investment return on • Gift Aid endowment and £49 million was flow-through funding. With Gift Aid, charities can claim tax al- ready paid by the donor. When making a Community foundations can spend mon- donation a UK tax-payer can stipulate that ey on fundraising activities, but it is impor- the charity can recover any tax already tant to understand that most obtain funds paid on that amount. Gift Aid is set at 25% through major gift fundraising. In the UK, of the gift and applies to donations of as- community foundations do not place em- sets as well as money gifts. For each £1 do- phasis on community fundraising. Emergency nated, the charity can claim £0.25 from the situations would be the only circumstances government. where this might take place. It is very rare for community foundations to deliver their own Gift Aid enables charities to assure the do- projects, and they tend not to fundraise for nor that 100% of their donation reaches this. the beneficiary (if running costs are cover- ed by the 25% Gift Aid). Most funds for grants programmes that come from companies, charities and govern- In addition, those that pay tax at the higher ment are flow-through funds. Funds not rate can claim the difference between the committed to flow-though grants are dedi- higher rate and the basic rate. So the donor cated to building endowment for the area. gets the tax back on the total donation to An objective of endowment building is the charity. (Example: you donate £100 to essential to pass UKCF-managed quality
27 LEGAL AND FINANCIAL CONTEXT
assurance. Though there is no minimum This allows for trusts to be repurposed. For amount by law, all community foundations example, a trust for ‘impoverished farm in the UK have an endowment of above workers’ in an area that is now urban must EUR 50,000. find new beneficiaries.
These endowments come in the form of In addition, trusts may still have existing Family foundations, named funds and beneficiaries, but be managed more effi- transfers of dormant trusts. ciently by the community foundation. For example, if all the trustees are elderly and Named funds can find no one to replace them, they can The UK model for community foundations’ ask the community foundation to manage endowment is named funds: a donation the trust. to a community foundation by an individ- ual, normally a minimum of £25,000, is placed into an endowment in their name. Gifts made from that endowment are in Tools of regulation the name of the donor. The fund bears the name of the donor for as long as there is money in it. The donor can be as involved Charity regulation as they want. In England and Wales, the Charity Commis- The Leeds Community Foundation received sion, a government department, indepen- £23,000,000 from Segway inventor Jimi dently regulates charities. In Northern Ire- Heselden, which was distributed in Jimbo’s land the Charity Commission for Northern Fund grants of £20,000 to projects focussed Ireland was established when the Charities on health and children and young people. Act (Northern Ireland) 2008 became law. Sim- ilarly in Scotland, the Charities and Trus- Dormant trusts tee Investment (Scotland) Act 2005 places Interestingly, the UK has a large number of a duty on the Office of the Scottish Charity ‘dormant trusts’ that have helped build en- Regulator (OSCR) to encourage and assist dowment for community foundations. The charities in meeting the requirements of Charity Commission has an interest in all charity law. the trusts it regulates being efficiently ad- ministered and has supported UKCF work These regulators register eligible organiza- with community foundations to identify tions as charities and ensure legal require- and then transfer dormant assets to com- ments are met. Their public information munity foundations. Over the last ten years, about each registered charity is used dur- £60 million in dormant and inactive trusts ing community foundation due-diligence has been transferred to community foun- procedures on grant applicants. Each regu- dations. lator also provides online services and guid-
28 LEGAL AND FINANCIAL CONTEXT
ance on effective charity management, Major donor relationships are regulated by with OSCR emphasizing encouragement the Fundraising Regulator, which defines of charities, the Charity Commission for ‘Major donor‘ as an individual or family Northern Ireland emphasizing charity de- with the potential to make or procure a gift velopment, and the Charity Commission which would have a significant impact on emphasizing its role in public confidence in the work of the organization. supporting charities. Of course trustees undertake due diligence on the financial and reputational dealings Media scrutiny of potential partners before donations are accepted. More information about major Recent years have seen an increasing press donor fundraising is available in the Insti- scrutiny of financial management within tute of Fundraising Major Donor guidance. charities. There has also been scrutiny of the percentage of donations that reach beneficiaries (especially for national and international charities) and the marketing UKCF Quality Accreditation 4 techniques used to ask for donations. There is a current focus on the management of Quality Accreditation was introduced to personal data. the UKCF network in 2007. It was an initia- tive that was supported by members as it defined what a community foundation is The Fundraising Regulator and should be doing.
The Fundraising Regulator supports the Every community foundation is inde- Code of Fundraising Practice outlining the pendently assessed against agreed stan- standards expected of all charitable fund- dards every three years. This supports CFs raising organizations across the UK. It cov- to demonstrate how they have developed ers: Key Principles and Behaviours; Work- and confirms that members included in a ing with Volunteers; Working with Children; proposal have the capacity and capability Working with Third Parties; Fundraising to deliver. Communications and Techniques; Direct Marketing; Reciprocal Mailing; Telephone; It provides protection for the ‘Community Digital Media; Trusts; Major Donors; Cor- Foundation‘ brand as it identifies and helps porate Partnerships; Raffles and Lotteries; to provide support to any community foun- Fundraising through Payroll Giving; Events; dations with significant weaknesses. Public Collections; Static Collections; Leg- acies; Payment of Fundraisers; Handling of It also identifies excellent practice to share Donations. any common issues to address. Within the These are the standards:
29 LEGAL AND FINANCIAL CONTEXT
A community foundation: 8. can provide a customized service to 1. is an independent charitable philan- donors which respects their charitable thropic organization serving a defined interests, meets their needs and offers geographical area that builds an en- opportunities to involve donors in differ- dowment to meet needs in local com- ent ways; there is a robust framework munities with evidence of philanthropy- for new donor recruitment and the man- based business and financial models agement of relationships with existing 2. has a broad-based board that follows donors and works towards good practice in 9. has a clear focus on needs and impact charity governance analysis to help inform its future direc- 3. has a comprehensive strategic 3-year tion; operates a broad range of grant plan, as well as an annual business programmes that meet identified com- plan. Relevant structures are in place munity needs and demonstrate impact to ensure corporate effectiveness and 10. publicizes grant programmes and seeks resilience, and there is evidence of ef- to reach all sections of the community. fective stakeholder engagement and It can demonstrate understanding and feedback involvement in social issues and has an 4. complies with relevant legislation and engagement framework that helps it to codes of practice, and adopts good communicate with all its stakeholders employment practices and embraces 11. can demonstrate clear purpose; direc- equality and diversity in all aspects of tion and goals; is able to evidence am- its work. It has an agreed set of key doc- bition, focus, prioritization; impact on uments, policies and procedures that social causes; is a community leader in are reviewed on a regular basis the local area and is an active member 5. complies with financial reporting re- of the UKCF network quirements and maintains accurate fi- nancial records and controls. It makes effective use of IT systems for produc- tion of key financial management data and reports 6. has policies for investment of funds and a supporting financial strategy 7. continually seeks philanthropic funding from a broad range of donors to build endowed and flow-through funds, and has a business management model based on philanthropy
30 CLOSE-UP The Community Foundation in Wales / Sefydliad Cymunedol Yng Nghymru
Set up in 1998, the Community Foundation Hiraeth – a unique Welsh word describing a has eight staff. All their work is done in two bittersweet poetic longing for home. languages. ‘We live and breathe bi-lingual- ism in Wales‘, they say. Grantmaking is well The Community Foundation make an an- over two million in a year and the original nual trip to the USA, meeting lots of Ameri- endowment has grown from £800,000 to can people that also love Wales. £13 million. The Community Foundation in Wales hold Their focus is providing a businesslike ser- an annual Wales-wide philanthropy week vice for philanthropists to access in the which celebrates the fact that they are the same way as they do other professional only country in the world with their own en- advice services. dowment fund (as far as they are aware).
They may also be the only community » We are here to advise on philanthropy. foundation that counts locally made jew- We are professional, people trust us. We ellery and wool blankets amongst its come across like their other advisors merchandising, with 30% of the profit such as accountants, wealth managers from these local products going to benefit and lawyers. Welsh communities through the Fund for Tom Morris, Finance, Research and Grants Wales. manager.
» We’re so pleased that Melin Tregwynt woolmill are working with us to help build Six years ago CFIW created the Fund for this unique national community endow- Wales – an endowment fund where every- ment fund, the Fund for Wales. Melin one can be a philanthropist. So far they Tregwynt is a national treasure of Wales have received donations between £50 and with customers across the world who love £590,000 and the Big Lottery generously Wales, so it seemed a perfect partnership. gave a £1 million match challenge. The Fund for Wales enables everyone who cares about Wales to join their do- In the South Wales valleys there are a nations together to help people working strong legacy of deprivation and high rates at grassroots level to achieve lasting of youth unemployment. Meanwhile Wales change in their own communities. has a low percentage of millionaires com- Sian Stacey, Development Manager at the pared to England. But a sense of belonging Community Foundation in Wales helps attract funders. People love Wales and want to give, even if they have moved away. In fact the Community Foundation often have to go to London to secure en- More information can be found in their pub- dowment funds from Welsh philanthropists. lication A Portrait of philanthropy in Wales. Perhaps some of these are experiencing –
31 BEST PRACTICE EXAMPLES
BEST PRACTICE EXAMPLES
Flood response 2016 The government provided match funding for England, and the Scottish and Welsh government also contributed significant » Disaster relief is a key role of community funding. foundations. Andy Beeforth, Cumbria Community The combined appeal raised £17.2 million. Foundation Although the timing of the ‘Boxing Day Floods’ was a huge challenge, the ‘How could this happen to people at Christmas’ Humans are more than sixty percent water. factor was a positive for publicity and fund- We are attracted to water, and most hu- raising. mans live near rivers which provide water for agriculture, drinking and leisure. Rivers’ Responses came from the national govern- natural tendency to flood is good for the ment, local councils, businesses, the public soil but causes huge damage to contempo- and funders. Nine community foundations rary towns, cities and agricultural sites. In managed the process of distributing mon- this context, floods are dangerous. ey.
In December 2015 and January 2016 storms The funds were awarded in grants to over Desmond and Eva caused flooding across 16,100 affected households. Initial sums the UK including areas in Scotland, North of £250–500 helped individuals enor- Wales and the North and Midlands of Eng- mously. Community groups and local land. Community foundation staff cancel- charities also received funding for them- led their time off and sprung into action. selves and for redistribution. In some areas Local appeals were supported by a cen- small businesses received support as part tral appeal by UK Community Foundations. of ongoing flood resilience endeavours.
Illustration of donors to Cumbria Community Foundation flood appeal by proportion (before match funding by staturory sector).
5 9
13 Individuals including through national newspaper appeal Corporates Charitable Trusts 59 Fundraising Religious Institutions 14
32 BEST PRACTICE EXAMPLES
This local cooperation and co-ordination Flood Save – A saving scheme in partner- means that communities are increasingly ship with Calderdale Credit Union primar- well prepared to respond to disasters. ily for small businesses not covered by the government insurance scheme. The Com- In this context, Community Foundation for munity Foundation match-funds the first Calderdale provides an example of good £2,000 and the money is available following practice. a flood event. The Community Foundation has invested £500,000 from the flood fund to underpin the scheme. Community Foundation for Calderdale WATERMARK – A campaign to build a resili- ence fund for future flooding. WATERMARK The area experienced severe flooding in is a brand applied to a product, service or 2001, 2008 and 2012. Storm Eva dispelled event – such as a plumbing service, an item any illusion that such flooding was a rar- on a restaurant menu or a music gig. The ity. It affected 3,000 households and left business – or charity – donates a propor- 350 families displaced. Nine hundred busi- tion of the profit from the branded item to nesses were flood affected and hundreds a central pot. Businesses, charities, local of people were laid off from work (and suf- residents and visitors can all get involv- fered loss of earnings). A high proportion of ed. The fund is managed by the Commu- small independent businesses in Calderdale nity Foundation for Calderdale. highlight that local business is not separate from community. WATERMARK stickers, posters, gin, beer, tea towels and bags add to the brand. The Calderdale Flood Fund raised over £3.3 There are a free newspaper and a pop-up million. Part of this was used to develop re- shop sponsored by a local solicitor firm. silience tools and keep the floods on peo- ple’s radar: The Watermark campaign and branding: • Provides a focus for flood-related ad- Calderdale Rising – A crowdfunding initia- vice and local giving tive which attracted 103 flood-affected • Attracts philanthropic giving and fund- business participants. raising events • Gives everyone the chance to partici- Plugging the Gap – A locally-led insur- pate ance scheme which allocated £5m to sup- • Communicates the message that ‘Cal- port flood-affected businesses as long as derdale is open’ for visitors and tourists. they could provide 1:1 match funding. Com- munity Foundation for Calderdale put for- To date, the scheme has involved 27 busi- ward applications for ten local businesses, nesses and £300,000 has been raised. attracting £93,500 to help them get back on their feet.
33 BEST PRACTICE EXAMPLES
The Community Foundation for Calderdale won the Fundraising Campaign in the Third Sector Awards 2016 for their work raising £3 million.
» After the Boxing Day Flood we felt it was important and right to harness our unique community relationships to directly support businesses and cre- ate ‘strategic resilience’ initiatives that both stimulate the local economy and generate regular donations from the public and the local business commu- » I am very keen to support new entrepre- nity to grow a Flood Fund in readiness neurs as I know how hard it is to build for a future flood. a business. I believe the advice and Steve Duncan, CEO of the Community support from this panel of successful Foundation for Calderdale women will offer the applicants an incredible boost to their start-up, as well as a memorable day in the den. Judy Naaké , The High Sheriff of Notting- Supporting innovation hamshire
The Nottinghamshire Community Founda- tion recently held it’s tenth ‘Dragons Den’ event. The High Sheriff of Nottinghamshire, One of the winners was Duwayne Watson Judy Naaké, joined forces with five other who set up college and sixth form parties female business leaders to award success- for people too old for youth clubs and too ful enterprise ideas a grant of up to £3,000. young for nightclubs.
Budding entrepreneurs of all genders ap- ply for a grant to support their business development. To be considered for a grant, applicants had to be a resident of Notting- ham city or county, submit a realistic busi- ness plan and have a great enterprise idea.
The Angel Panel included representatives from the Nottinghamshire Community Foundation, local businesses, University of Nottingham and the Nottingham Trent University Business School.
34 BEST PRACTICE EXAMPLES
Royal London Local Charity BERKSHIRE, Partner Programme WEST BERKSHIRE THERAPY CENTRE
Royal London is the largest mutual life, The West Berkshire Therapy Centre has pro- pensions and Investment Company in the vided exercise and therapy to people with UK, with Group funds under management mobility problems since 2014. of £84.5 billion. Founded as a Friendly So- ciety in a London coffee shop in 1861, Royal The vital help received can be life changing. London started out with the aim of help- Margaret has suffered a series of medical ing people avoid the stigma of a pauper’s problems that resulted in numerous opera- grave. Since then Royal London have been tions, incomplete recoveries and overlap- helping people help themselves and are ping setbacks for several years. The effect committed to delivering the best value for was very demoralising and she stopped customers and putting members first. going out, in her own words ‘I sat there and waited for my time to pass’. Royal London believe it’s important for busi- nesses to support their local communities. Then her daughter heard about West Berk- In 2016 their community engagement pro- shire Therapy Centre and literally dragged gramme moved to a local approach. En- her along to have a look. Margaret, who gaged staff chose an aim, to support peo- was convinced that no one could help her, ple with a chronic or long-term condition, has seen a great improvement in physical which strongly aligns with Royal London’s strength, her general outlook, confidence business as a life and pensions provider. and social life. Supported by UKCF, twelve Community Foundations nominated a suitable local charity partner working to fulfil that aim. » For the first time in a very long time This is one for each of Royal London’s main I’m now making plans, have ordered offices. a passport and am booking a holiday, the first I will have had in years – it’s Royal London made a generous donation changed my life! to the core costs of each local charity. It is hard to fundraise for core costs such as sal- aries for permanent staff. This kind of fund- ing helps charities concentrate on what they do best: delivering services.
The case studies are included here as they illustrate the range of people served by the charities funded by Community Founda- tions in the UK.
35 BEST PRACTICE EXAMPLES
CALDERDALE, CHESHIRE, BASH LOCAL JUMP CHILDRENS CHARITY
Dave is a 55-year-old man who had been Sienna is six and has a very rare genetic living on a run-down boat. We helped Dave condition affecting the development of her with forms and he was given a property. We major organs and resulting in many chal- put electric on for him and delivered a food lenges including gradual loss of sight. Sienna parcel. stays in Alder Hey Childrens Hospital for major surgery. But Dave struggled to pay his bills and feed himself, wanting to return to a ‘simpler life‘ Sienna and her parents enjoyed our Christ- on his boat. Due to the onset of osteoar- mas Memory Day and were delighted with thritis he was unable to meet Jobcentre the gift of a Christmas Memory Book. requirements. His money was stopped. We continued our support, ensuring Dave could In 2013 Sienna’s dad was diagnosed with access a hot meal and drink every day. cancer. We were gave the family a further Memory Book. Sadly, he passed away be- Dave was admitted to hospital. On his re- fore Christmas. Sienna and her mum were lease his daughter rang Bash Local. We devastated. made sure he had fuel and food, clean clothes and new shoes – he was getting Sienna’s mum kept in touch with JUMP and wet feet. We helped him with forms, and told us just how much the memory books after a long process of assessment and ap- helped Sienna with grieving for her dad. peals he was granted benefits. Each night she looks at the photos of her and her dad and she speaks about him Dave’s life changed for the better – he‘s able positively with her mum. to budget, keep on top of his bills and buy food. Dave used our services for thirteen Sienna’s life is likely to be short and her months whilst he got back on his feet. Now mum is determined that she will have the he calls in to keep us updated and sign- positive experiences that other children posts others who may need our services. have. The memory books provide evidence of this, and both Sienna and her mum have become supporters of JUMP and attend events when they can, to contribute in or- der to support other families.
36 BEST PRACTICE EXAMPLES
COUNTY DURHAMCORNERSTONE SUP« DERBYSHIRE, SPECIALIST STROKE PORTED HOUSING AND COUNSELLING SERVICES
Kevin, a 38-year-old man, was released from Two weeks after having her first baby Diane prison following a life of substance misuse had a stroke – she was 28. A ‘banging and crime. headache’ turned out to be a brain haem- orrhage. ‘It felt like the end of the world‘, While attending the Cornerstone Supported Diane says. ‘I was trapped.‘ Within a year Housing and Counselling Training Centre he her marriage ended and Diane had to leave used his joinery skills to make a small table. behind the farm and shop she had built up Cornerstone’s therapeutic environment aid- and move into an adapted bungalow. More ed his recovery. After a short time he was devastatingly, she had to leave her one-year- trusted with workshop keys and supported old son behind as she was unable to care to live independently. for him.
Drug free, Kevin set up his own Narcotics Diane describes coming to Derbyshire Stroke Anonymous meeting. He is studying towards Centre as the event that changed her life. a social care qualification, runs smaller She needed support with communication groups for professional drug and alcohol or- as she couldn’t read, write or speak. Positive ganizations and helps children not attend- role models from our young stroke survivors ing mainstream school. He has been back in helped her be more optimistic. We helped prison, but this time as an ambassador for Diane relearn skills to keep her independent. recovery. Now she gives one-armed cookery lessons to other stroke survivors.
We supported Diane to take care of her son her own, and he even stays with her one night a week. This is a huge milestone. It is a privilege to see Diane go from strength to strength over the last six years. Diane says:
» If it wasn’t here my life would be over, this place has given me a purpose. I loved it from the moment I got here. I now volunteer in the gym, I’m a trustee and I’m responsible for the garden.
37 BEST PRACTICE EXAMPLES
COVENTRY, LONDON, DOORSTEP COUNDON CARE CENTRE CHARITY HOMELESS FAMILIES PROJECT
Ron Price, 94, has been coming to the A diabetic mother, seven months pregnant Centre since 2003. After his wife died he and with a six-year-old daughter, was re- was very lonely – his only son lives in South ferred to us for help and support. She had Africa. Ron’s neighbour Helen suggested to come from abroad, had separated from her him that he might like to come to the Centre husband, had no recourse to benefits and and make new friends of his own age. was destitute and depressed. We were able to provide her with food, clothing, furnish- To start with, Ron was very reluctant but he ings for her room, toys for her child and help soon came out of his shell. He made friends with fares to health appointments. and joined in all the activities including sing- ing and outings to the seaside. He enjoys At first she did not allow her daughter to a pint when we have a trip out for lunch attend our play activities as she felt mis- and was keen to tell us about Coventry City trustful, but gradually we won her trust and Football Club – he‘s a loyal supporter. she is like a totally different person now. She has given birth to another daughter As Ron aged his mobility was affected and and now makes full use of all our services a carer now attends him at home every on a daily basis, including the crèche, af- day. He is getting quite confused but still ter-school club and the summer programme. enjoys the minibus ride to the Centre. It is Both mother and her older daughter have wonderful to see him smiling, feet tapping formed supportive friendships with other and hands clapping when music is played. adults and children in the hostel. She says: His son pops into see us when in England and is so grateful for the care we give. He gives us great compliments and is so happy » Just one thanks is not enough. I wish that Ron is still able to enjoy his days at the God give you back everything. Many Centre. thanks, respect.
Ron remains popular with staff, volunteers and members!
38 BEST PRACTICE EXAMPLES
NORFOLK, DERRY, FOYLE PARENTS AND FRIENDS THE BUILD CHARITY ASSOCIATION
Tom, in his 30s, is learning disabled and Donna Maria has attended activities at visually impaired. He lives with his aged Foyle Parents and Friends for over three parents – his principal carers. Threatening years after leaving school at 19. She has incidents towards him had led to Tom be- studied music and digital arts with her coming reclusive. He would not leave the peers and had the opportunity to DJ, sing, house and initially rejected opportunities move to music, socialize and learn valuable offered through BUILD Charity as it meant life skills. mixing with people. The most important thing for Donna Maria Tom was persuaded to join in a gardening is keeping in touch with her friends as she and farming project – a small supported can feel isolated at times. FPAF provides drop-in where he could work at his own her with the opportunity to maintain those pace. He had control. He then joined a so- positive relationships in a creative, fun, pro- cial club with people he felt safe with, her- gressive environment. Her mother says: itage and cultural activities and a Sunday Lunch Club. He formed a personal relation- ship, and plans to move to supported ac- » Foyle Parents and Friends Association commodation with his partner using inde- recognized her potential and cognitive pendent living skills acquired through the ability, and enabled her to grow and BUILD Charity‘s Skills for Life programme. develop respectfully.
Due to BUILD and their amazing friendly volunteers Tom’s world has expanded and he is no longer living in a high state of anxi- This link is to a video of music featuring ety. His family enjoy seeing him happy and Donna Maria and her best friend, Sorcha. can now begin to participate in outside ac- Sorcha is a volunteer at FPAF and a previ- tivities themselves. ous classmate of Donna Maria‘s.
https://www.facebook.com/tunedinpro- ject/videos/738237373008185/
39 BEST PRACTICE EXAMPLES
BATH, EDINBURGH, BATH CITY FARM THE OPEN DOOR
Peter, 67, volunteers at Bath City Farm. Dif- Doreen is a cheerful 88-year-old who loves ficult events, including relationship break- to chat and sing. She struggles with prepar- down, family estrangement and untreated ing meals or dressing herself independent- bipolar disorder led Peter to self-medicate. ly, lives alone and has no family nearby. Feeling isolated and lonely, Peter attempt- ed suicide. Following time in psychiatric Doreen has made many friends at The hospitals, Peter was brought to the farm Open Door. One telephones her every eve- and immediately felt the staff helped and ning, which makes her feel loved and less understood him. alone.
Peter feels fresh air and exercise is getting Her epilepsy, asthma, arthritis and heart him fitter. He gets a great deal of satisfac- failure have meant lots of time in hospital. tion from weeding and seeing the fruits of But she has not been alone. Staff and vol- his labour – beautifully planted flower and unteers from The Open Door have visited vegetable beds. Peter enjoys fundraising Doreen. for the Farm and has sold plants at all the produce markets. Peter says: Doreen was unhappy with her accommo- dation – she shared a building with vulner- able adults with substance misuse issues » I had completely lost confidence and and often felt frightened. The Open Door my life was closing in on me … the com- referred her to an advocacy organiza- mitment I have made every week makes tion, who helped her move to a sheltered me feel really proud and I have claimed housing complex with social activities where my confidence back. neighbours drop in and Doreen feels truly at home. Doreen says:
» I don’t know what I would do or where I would be without The Open Door. It’s my life.
40 BEST PRACTICE EXAMPLES
CARDIFF, 4WINDS USER«LED ASSOCIATION
J was struggling – he was depressed, had a gambling addiction and associated prob- lems with alcohol, managing money, look- ing after his physical health and maintain- ing a daily routine. He was socially isolated and had no contact with any family mem- bers. He had lived for 27 years in a privately rented bedsit in an overcrowded house with shared facilities and an abusive landlord.
J had negative experiences of other sup- port services. He described arriving at the centre feeling as if he’d entered, like Alice, into a dark deep tunnel, not knowing what was at the other end. But, like Alice, this opened up a whole new world for him, where he began to see hope and opportunity.
Since accessing the centre six months ago, J has moved to a supported flat, become better at budgeting and manging his health, enjoys regular socializing and has turned into an engaging member of the centre. The opportunity to both give and receive support has increased J’s confidence and he is becoming an ‘involvement champion’ for 4Winds.
41 BIBLIOGRAPHY AND REFERENCES
URLs and REFERENCES
• The Localism Act https://www.gov.uk/government/publications/localism-act-2011-overview
• The Social Value Act https://www.gov.uk/government/publications/social-value-act-information-and- resources/social-value-act-information-and-resources
• The Charities Act http://www.legislation.gov.uk/ukpga/2011/25/contents/enacted
• The Charity Commission https://www.gov.uk/government/organisations/charity-commission
• The Charity Commission for Northern Ireland http://www.charitycommissionni.org.uk/
• The Scottish Charity Regulator http://www.oscr.org.uk/
• The Institute of Fundraising Guidance http://www.institute-of-fundraising.org.uk/code-of-fundraising-practice/ guidance/major-donor-guidance/
• The Mott Foundation https://www.mott.org/
• Esmee Fairbairn Foundation https://esmeefairbairn.org.uk/
• Comic Relief https://www.comicrelief.com/
• Big Lottery Fund https://www.biglotteryfund.org.uk/
• The Atlantic Philanthropies http://www.atlanticphilanthropies.org/
• Nickson, John Our Common Good (2017) Biteback Publishing https://www.bitebackpublishing.com/books/our-common-good
42 BIBLIOGRAPHY AND REFERENCES
• A Portrait of Philanthropy in Wales http://cfiw.org.uk/eng/home
• Vital Signs http://www.ukcommunityfoundations.org/our-network/vital-signs
• The Beacon Awards http://beaconawards.org.uk/
• The Fourteen Programme https://www.spiritof2012trust.org.uk/fourteen-communities-announced
• UK Flood Response http://www.ukcommunityfoundations.org/our-programmes/floods http://businessforcalderdale.co.uk/calderdalerising http://www.thirdsectorexcellenceawards.com/winners-2016/
• Information about Worshipful Companies: https://www.theskinnerscompany.org.uk/historical-timeline/
• Indices of deprivation https://www.gov.uk/government/statistics/english-indices-of-deprivation-2015
• Social enterprise structure guide https://unltd.org.uk/portfolio/3-7-determining-the-right-legal- structure-for-your-social-enterprise/
• The Economic Value of Volunteering http://www.ivr.org.uk/ivr-volunteering-stats/ 196-what-is-the-economic-value-of-volunteering
• Five Ways of Wellbeing http://neweconomics.org/search/?_sft_project=five-ways-to-wellbeing
• The chalk horses of Wiltshire https://www.wiltshirewhitehorses.org.uk/
• Hiraeth https://en.wikipedia.org/wiki/Hiraeth
43 BIBLIOGRAPHY AND REFERENCES
List of community foundations that are members of UKCF
• Bedfordshire and Luton Community • Gloucestershire Community Foundation Foundation • Hampshire and the Isle of Wight • Berkshire Community Foundation Community Foundation
• Buckinghamshire Community • Heart of England Community Foundation Foundation (covers Coventry, Warwickshire, Solihull, Birmingham & The Black Country) • Community Foundation for Calderdale • Herefordshire Community Foundation • Cambridgeshire Community Foundation • Hertfordshire Community Foundation
• Cheshire Community Foundation • Community Foundation for Northern Ireland • Cornwall Community Foundation • Kent Community Foundation • Cumbria Community Foundation • One Community Foundation (the com- • Foundation Derbyshire munity foundation for the people of Kirklees) • Devon Community Foundation • Community Foundation for Lancashire • Dorset Community Foundation • County Durham Community • Leeds Community Foundation (includes Foundation Bradford)
• East End Community Foundation • Leicestershire and Rutland Community Foundation • Essex Community Foundation
44 BIBLIOGRAPHY AND REFERENCES
• Lincolnshire Community Foundation • Sussex Community Foundation
• London Community Foundation • Community Foundation for Surrey
• Community Foundation for Merseyside • Community Foundation in Wales
• Milton Keynes Community Foundation • Community Foundation for Wakefield District (Associate Member) • Norfolk Community Foundation • Community Foundation Tyne & Wear • Northamptonshire Community and Northumberland Foundation • Wiltshire Community Foundation • Nottinghamshire Community Foundation • Worcestershire Community Foundation
• Oxfordshire Community Foundation • Two Ridings Community Foundation (North & East Yorks, York & Hull) • Quartet Community Foundation • South Yorkshire Community Foundation • Somerset Community Foundation
• Community Foundation for S taffordshire
• Foundation Scotland
• Suffolk Community Foundation
45 ABOUT ECFI
ABOUT ECFI
The European Community Foundation In- • We listen to the needs and challenges itiative (ECFI) is a network housed at the of community foundations and provide Association of German Foundations in Ber- a platform for exchange, development lin. Our partners (UK Community Founda- of relationships and stimulate collabo- tions, Initiative Bürgerstiftungen, Centrum ration on pressing common issues. pre filantropiu in Slovakia) work throughout • We build and share knowledge on Europe. community foundations in Europe in cooperation with field researchers and OUR VISION partners. Our vision is a vibrant community founda- • We amplify the voice of the community tion movement contributing significantly to foundation movement in European citizens’ engagement in local philanthropy space and collaborate with partners on and civil society in Europe. issues based advocacy. • We leverage additional financial and OUR MISSION other forms of support. Our mission is to promote, develop and strengthen the community foundation move- OUR OFFERS ment in Europe. • In collaboration with associations and support organizations we map the field OUR BELIEFS of more than 600 community founda- We believe in community foundations as a tions in Europe. This data collection vibrant form of civil self-organization. As provides additional information about foundations created for citizens by citizens, needs and challenges in the different they are evidence of a strong and engaged European countries. civil society, contributing significantly to • We offer a cross-border peer learning the local resolution of important social issues. program which addresses the needs Their capital endowment contributes to of leading individuals in the field of the sustainability of efforts on a local level. community foundations in Europe. Our Infrastructural support is well-suited to pro- written reports synthesizing local results mote the quantitative and qualitative de- provide a useful tool that is made avail- velopment of community foundations as able to anyone interested in community demonstrated by national organizations foundations. (e.g. UK Community Foundations in the • We organize a European conference United Kingdom or the Community Foun- for community foundations every two dation Initiative in Germany). years.
OUR STRATEGIC PRIORITIES Join our network: • We strengthen community foundation [email protected] associations and support organizations in Europe and their local community For more information: foundations by providing and stimu- www.communityfoundations.eu lating networking and peer learning opportunities.
46 We are grateful for support from the Charles Stewart Mott Foundation, the Robert Bosch Stiftung, the Körber-Stiftung and the Lipoid Stiftung.
47 European Community Foundation Initiative c/o Association of German Foundations | Mauerstrasse 93 | 10117 Berlin | Germany Phone +49 (0)30 8979 47-57 | Fax -91 [email protected] | www.comunityfoundations.eu