Today we’ve published two papers on the sector’s role in the govt’s ‘levelling up’ agenda:

Levelling up: the UK Shared Prosperity Fund https://publications.ncvo.org.uk/levelling-up/ 

Creating inclusive growth: LEPs’ engagement with the voluntary sector https://publications.ncvo.org.uk/creating-inclusive-growth/

Here’s a summary:

With just 7 months until it is due to launch, we are still awaiting the details of the UK Shared Prosperity Fund, expected to be set out in the Devolution White Paper later this year.

The UKSPF is expected to replace EU funding in the nations of the regions of the UK, estimated to be worth at least £258m per year to charities.

This is a once-in-a-generation opportunity for government to design a world-leading fund, putting decision making in the hands of local experts and allowing charities to play their part as the national recovers from the effects of the coronavirus pandemic.

Currently, the UK has one of the most regionally unequal economies in the advanced world. At a more local level, Britain has the worst inequality among OECD countries, reflecting how differences within regions are even greater than those between them.

The UKSPF must redress this balance with a fund centred around places and need, allowing communities left behind by the economic affluence of parts of London and the South East to ‘level up’ their communities and economies through a comprehensive skills programme.

Current estimates suggest that if the UK had remained a member of the EU, it would have been entitled to E13bn in EU funds during the period 2021-27 due to a number of UK regions falling behind average GDP levels and rising inequality.

It is vital that charities do not suffer from the loss of this funding. Our paper, backed by a number of organisations working in skills and employment, sets out design principles for a fund that is equitable, ambitious, and allows everyone to share in the UK’s prosperity.

‘Creating inclusive growth: LEPs’ engagement with the voluntary sector’ explores the extent to which England’s 38 LEPs involve the sector in determining local economic, skills, job creation and other priorities within the local area.

Our assessment of feedback found that approximately two-thirds of LEPs’ engagement with the voluntary sector is either inadequate or requires improvement. Many voluntary sector representatives reported that LEPs are remote and hard to engage with in any meaningful way.

Voluntary sector membership on LEPs main boards does not automatically translate in meaningful engagement of the voluntary sector. while the absence of sector representation does not necessarily prevent good engagement.

Many LEPs have no coherent and consistent approach, or obvious commitment to the development of truly inclusive growth. Many appear to be preoccupied with private sector growth, while improving social inclusion and helping communities appears marginal to many LEP's priorities.

The sector can be sidelined in LEP decision-making processes because it is not viewed as a credible business partner. There is often a lack of appreciation of the sector’s role in local economies, including as an employer, taxpayer, and mobiliser of volunteers.

We’ve recommended that government conduct a review of LEP boards in each area to determine the extent to which membership reflects the local areas they are intended to represent.

If LEPs are chosen to administer the UK Shared Prosperity Fund (UKSPF), they should have a dedicated UKSPF board made up of statutory partners; local voluntary sector bodies; skills and employment support providers; + others with specific expertise and knowledge of local needs.