Stormont Executive pressed to allocate £15m to voluntary sector amid Local Growth Fund shift
Northern Ireland's Stormont Executive faces pressure to allocate about £15 million to protect voluntary and community groups from a funding drop at the end of this month. The UK Shared Prosperity Fund ends in April, replaced by the Local Growth Fund. This change cuts annual funding for groups in Northern Ireland from £25 million to just over £9 million.
Sixty-four organisations could see hundreds of jobs lost due to the Local Growth Fund's 70-30 capital-to-revenue split. The UK government announced £380 million in extra public service funding for Northern Ireland over three years on Tuesday. Northern Ireland Secretary Hilary Benn stated the Executive can use some of this, plus unspent Peace Plus funds, to maintain the programmes.
Benn told the Northern Ireland Affairs Committee on Wednesday that the 70-30 split remains fixed. He noted talks with Executive officials and a Thursday meeting planned with Peace Plus representatives. The Executive wrote to UK Communities Secretary Steve Reed requesting more revenue allocation in the Local Growth Fund.
Labour MP Tonia Antoniazzi, committee chairwoman, said groups need revenue for staff, not capital for buildings. Ulster Unionist MP Robin Swann said organisations prefer revenue funding and have raised concerns since December. Democratic Unionist Party leader Gavin Robinson said the Executive, already stretched, should not bear the burden alone.
Northern Ireland minister Matthew Patrick said he and Benn are exploring support options but pointed to the Executive's role. The Northern Ireland Council for Voluntary Action warned nearly 24,000 people risk losing support access.