Charity funding and the new Government

Summary of speech by Paul Burstow MP, Minister for Heath and Social Care, to the ACEVO Funding Roadshow, presented by Action Planning at Central Hall Westminster on 1st July.

The Minister opened this, his “first conference hall speech as a minister” by setting out the values which will characterise the Government’s approach, a commitment, shared with the sector, to “personalisation, quality, and mutuality”. As a Liberal Democrat, he emphasised that “This is a Coalition Government, not a Conservative Government” with “an ambitious, shared programme for the future” focused on redefining the relationship between people and services, between the citizen and the state.

In health and social care, the Minister is keen to “give individuals and communities the whip hand” in terms of choice over their treatment and support, control over the way money is spent on their behalf and power to hold local institutions to account for poor performance.

He sees the sector as an essential partner in this process, and quoted examples including Turning Point “which is doing so much to enable people past users of health and social services to shape the way these services work in the future” and the First Step Trust, which is “doing excellent work with ex-offenders and people with severe mental health problems” helping them regain confidence and secure employment.

The Minister argued that the sector “operates at a completely different frequency to statutory services”, identifying needs, reaching excluded groups and fostering innovation. It is uniquely placed to help reduce inequality, empower patients and drive up standards.

He is therefore committed to fostering conditions “in which social entrepreneurs can blossom” and ensuring that the sector “operates on a level playing field with the NHS and social care” and giving patients the power to choose any provider that meets NHS standards, within NHS prices.

The sole emphasis will be on results – “improving standards, higher quality, better outcomes for patient” – so the Government seeks to end the “perverse incentives resulting from the targets and tick box culture” which has led some organisations to “move away from what they’re good at, in order to meet a very specific PSA.”

The Minister seeks to work with the sector to “place a much greater emphasis on overall quality through outcome measures” and also encouraging commissioner to focus on the real needs of communities and pushing power closer to the individual. Specific measures will include extending the use of direct payments and personal budgets and opening doors for third sector bodies, both in providing services directly, and also playing a vital role in advocacy and brokerage.

The Minister concluded by giving advice to charities: demonstrate real success in improving outcomes and changing lives, “be savvy about how the local GP consortia or council operates” and tenacious in knocking on doors. He emphasised that this is a “time for big ideas’ generated by the sector, encouraged charities to contribute proposals for achieving public sector savings ahead of the Spending Review and looked ahead to a period of productive dialogue. “Whilst it will be a tough time, I do believe the door is wide open for you.”

Olivia Butterworth and Sally Cooke of the third sector team at the Department of Health, addressed the later Roadshow conferences, which followed the publication on 12th July of the Health White Paper. Her PowerPoint presentation sets out in some detail the implications of for the sector of the abolition of the PCTs, including the need to work with the new GP commissioners and provides information on free briefing meetings to take place in September. You can download their presentation here

Paul Burstow MP, Minister for Health and Social Care
Maria Miller MP, Minister for Disabled People (on DWP funding)
Ed Vaizey MP, Minister for Culture