On 17 March Scottish Grantmakers convened a special online round table event for members with the theme being the ‘Change Agenda’ in the light of learning from the pandemic and the innovative practices developed during 20/21. The session was well attended by representatives from 23 organisations, characterising the diverse nature of SGM’s members in terms of charitable purpose and size. Our Panel comprised three well known expert guest speakers which prompted engaging discussion, set to be explored further in future sessions. Highlights from the session from each speaker were:

SCVO Perspectives

Anna Fowlie, Chief Executive, SCVO

• ­Despite the undoubted challenges we have collectively faced, Anna mentioned positively the pandemic has shone a light on how diverse the work of the voluntary sector is, covering the breadth of Scottish society, showing resilience and working collaboratively throughout the pandemic.

• Some charities have been impacted by the pandemic and the ability to access to emergency funding far more than others and funders need to be responsive to those needs. The concept of trust between funder as investor and recipient charity has become far more important but this needs to be translated into practical action such as considering longer funding periods, increased understanding of reserves policies of individual charities and a consistent approach to due diligence from leadership to grant officer levels

• A trend has emerged of charities ‘packaging up’ core funding as project orientated, rather than applying for unrestricted funding. Grantmakers can work with grant holders to resolve this.

• Some key ‘asks’ of the voluntary sector are for funders to consider funding periods on a case-by-case basis relative to the organisation. Similarly, for reserves policies to be considered in their context and for funders guidance and non-negotiable parameters to be communicated clearly to ensure fundraising efficiency.

ACF Perspectives

Carol Mack, Chief Executive, ACF

• ­Carol opened praising the emergency response from charities during the pandemic. Collaborative funding increased and funders acted with flexibility and changed policies where needed. The pandemic has exacerbated existing inequalities and put further pressure on charities.

• 360 Giving have created the useful Covid-19 Grants Tracker which maps funding decisions with 115 funders including the Scottish Government providing data. The tool shows funding by particular area.

• Carol highlighted Match Trading as an innovative approach where funding commitments are made to match revenue generated by social enterprises trading. A thought for building back after the pandemic as trade resumes.

• The Black Lives Matter movement has led to may organisations examining their diversity, equality and inclusion (DEI) policies. The ACF have refined their DEI policy during this time.

• The Climate and Nature crises are firmly on the agenda in 2021 and given the location of the COP26 conference the worlds eyes are firmly on Scotland and the UK. Many funders are, within the legitimacy of their charitable objectives, seeking to contribute to positive action. Carol highlighted the Funder Climate Change Commitment and commented that several members of the SGM were signatories.

• Julie Christie of the Environmental Funders Network offered support to any organisations exploring this policy area and added that the EFN have submitted a proposal to host an event at COP26.

OSCR Perspectives

Jude Turbyne, Head of Engagement, OSCR

• Jude opened by also highlighting the resilience and collaboration shown throughout the pandemic. The importance of charities and the third sector has been higher on the agenda of public discussion, having been publicly recognised by Government.

• A follow-on step is to see the third sector further engaged in discussion and response, specifically through OSCR consultations and surveys.

• Jude highlighted the OSCR understand that flexibility around funding has increased during the pandemic and that funders have showed responsiveness. Despite this there has been a general trend of income for charities decreasing with certain income streams naturally drying up during the pandemic.

• The tension between core funding costs and finances going directly to service users was explored. Communication between funders and charities needs to be positive on this subject.

Discussion

• ­A common theme has been that charities are showing a reluctance to pursue unrestricted funds, instead opting for restricted and project specific funding requests.

• The common themes in terms of the funder – recipient organisation relationship evident across both voluntary and public sectors and the need for change. The new strategic partnership between SCVO, CoSLA and national government was highlighted with reference to its relevance to grantmakers.

• Longer-term funding relationships were touched upon as a positive step forward out of the pandemic.

• Charities have been reluctant to take the natural step of seeking further funding from existing grant makers and individual donors to meet shortfalls during the pandemic.

• OSCR are still pursuing their joint initiative with Foundation Scotland to revitalise ‘sleepy’ trusts for the public benefit. An update in this area is expected in the coming months.

Scottish Grantmakers would like to thank the guest speakers and all of those in attendance for contributing to the vibrant discussion, to be continued during future member events.