Winter 2009 - 2010 Findings from WIC's 'The Credit Crunch and Worcestershire's VCS'

Below are the findings from WIC's Survey 'The Credit Crunch and Worcestershire's VCS' 2009 - 2010 

(Please also se the attached document: Analysis WIC Credit Crunch Survey 2008-2009 and Winter Credit Crunch Survey 2009 – 2010)   

WIC’s Autumn/Winter Credit Crunch Survey 2009/10

This report gives the results of the Autumn/Winter Credit Crunch Survey 2010 which aimed to ascertain the impact on the economic downturn on the VCS (Voluntary and Community Sector) in Worcestershire. There were a total of 51 respondents. Questions and results included:

Has your group/organisation received an increase in the demand for services as a result of the current economic situation?
Yes = 64.7%
No = 35.3 %

Give an (estimated) percentage increase in the demand for services
Under 5% = 2.9%
5 - 10% = 17.6%
10 – 20% = 23.5%
20 - 30% = 2.5%
30 – 40% = 8.8%
40 – 50% = 11.8%
Over 50% = 8.8%

Into which of these categories do the requests fall?

Budget advice = 32.4% of respondents saw a increase of demand in this theme
Housing difficulties = 27% of respondents saw a increase of demand in this theme
Unemployment / redundancy = 48.6% of respondents saw a increase of demand in this theme
Pension Credits or Benefits Advice = 29.7% of respondents saw a increase of demand in this theme
Relationship issues = 24.3% of respondents saw a increase of demand in this theme
Domestic abuse = 8.1% of respondents saw a increase of demand in this theme
Child protection = 5.4% of respondents saw a increase of demand in this theme
Racial harassment = 8.1% of respondents saw a increase of demand in this theme
Anti-social behavior = 16.2% of respondents saw a increase of demand in this theme
Other = 56.8% of respondents saw a increase of demand outside of the above themes

Are you able to meet this demand within your current budget / resources?
Yes = 44.7%
No = 55.3%

Has your group/organisation experienced a reduction in funding over the last twelve months?
Yes = 61.2%
No = 38.8%

This has this been a reduction in:

Grant funding from charitable bodies = 37.1% of respondents have seen a reduction of funding in this theme
Grant funding from Central Government = 14.3% of respondents have seen a reduction of funding in this theme
Grant funding from local government = 51.4% of respondents have seen a reduction of funding in this theme
Charitable donations = 28.6% of respondents have seen a reduction of funding in this theme
Fundraising events = 17.1% of respondents have seen a reduction of funding in this theme

What has been the impact of this reduction?

Fewer individuals/families helped = 37.0% of respondents felt there was impact in this theme
Fewer services provided = 55.6% of respondents felt there was impact in this theme
Reduction in staff hours = 40.7% of respondents felt there was impact in this theme
Loss of premises = 3.1% have seen a loss of premises
Inability to maintain buildings properly = 14.8% of respondents felt there was impact in this theme

Comments on other impacts off the economic downturn included:
• Lack of permanent contracts offered to staff in prime roles
• Volunteers have worked together and reduced the impact
• More stress trying to cope and not let people down
• Reduction in available reserves
• More work for staff that remain - stress increased
• Had to close two aspects of our work. Entirely dependent on volunteers to run the service
• Working at full capacity that can't be maintained indefinitely
• Have yet to see any direct effects due to credit crunch
• Caused a significant reduction in our level of reserves
• No impact at the moment as we are continuing to fund out of our resources. These are reducing
• Impact upon individuals working in the sector and on organisations working together has yet to fully be felt in my view.
• Reduction in income from Legacies and Trusts due to falling Stock Market and house prices
• Increased number of organisations coming to us to help them achieve sustainability and replace lost grants
• unable to respond to increased need


Does your group/organisation expect a reduction in funding over the next twelve months?
Yes = 62.5%
No = 37.5%

Additional comments included:
• Anticipated that some government funding will cease
• Yes interest rates don't help - impacts on grant giving
• Remaining aspects of work funded for next 15 months. After this if we are unable to find more funds, the organisation will close
• L.As under budget pressures may impact on our funding in 2010
• We have had to find other funding sources.
• In competition for contract renewal, but are a very cost efficient service and it would be difficult to reduce funding without reducing service
• As we work in partnership with a College of FE we have also seen a reduction in staffing levels which has made it difficult to provide enough support to our client group
• Using our resources to fund increase need is not sustainable over a long period
• We are awaiting the outcome of a meeting re funding for next 12 months
• We will spend more resource to get the same income in real terms is the current view of the next twelve months.
• We have been overwhelmed with the number of people looking to volunteer. January is traditionally a quite month, but to date we have recruited over 40 volunteers this month.









Jim J Smith 4.02.10

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