From the February 2001 Issue

Contents :

  1. MAIN STORY: League tables puts query on parity

  2. Sport England gives millions to Awards for A

  3. Camelot Pledges £15bn Is Realistic

  4. Scottish Research into Funding Effectiveness

  5. FEATURE: Lottery Moves towards allocation

  6. FEATURE: Lottery Joins Brokering Scheme

  7. FEATURE: Playing The National Lottery Game

Main Story

League tables puts query on parity

A greater volume of smaller grants - more than 18,000 - were distributed in 2000 but there was less sign than expected of a general redistribution of awards to areas of disadvantage. Barbara Bloomfield explains the findings of our annual survey of Lottery grants.

More grants were awarded last year than ever before. A total of 18,290 were distributed to projects compared with 16,620 in 1999. The rise, of course, was due to the amazing success of Awards for All in getting small grants out, quickly and efficiently, into communities.

The average size of award has fallen from £54,880 in 1999 to £43,325 in 2000 (it was £227,913 in 1995, the first year of Lottery funding) and the amount distributed was smaller in 2000, £792m against £912m the year before.

The figures seem to show a disappointing amount of redistribution of Lottery funding to disadvantaged communities. Contrary to expectations, the league table positions of many local authority areas in the Eastern region and the East Midlands (traditionally two of the least successful areas of England in terms of applying for grants) show that many authorities are slipping down rather than going up. For example, in the Eastern region, 32 local authority areas went down while only 12 rose and four stayed the same, while in the East Midlands, 22 went down, 17 went up and one stayed the same (or within one point.)

There seems to have been little movement towards regional parity since last year. Table 1 shows that London’s share of Lottery money has gone down by six percent, but other regions have stayed almost the same as 1999. (As regular readers will know, Scotland, Wales and Northern Ireland always score above average because their share of Lottery money is weighted for disadvantage.)

Our league table is famously hard to compile because just one large grant can skew the figures unfairly towards the place where the application originated. So can unusual population statistics, for example, the City of London always tops the Lottery funding ladder because it has a small population. We should also acknowledge that some Boards may be making more headway than others when it comes to reaching the poorest parts of the country.

But those who expected to see a dramatic change in the pattern of grant-making will be disappointed by these figures.

Recently, we have seen a move towards allocating Lottery funds, or targeting particular areas in order to raise the number of bids. Barnsley hosted “Brass for Barnsley,” which succeeded in getting more cash to community groups while NOF’s £150m for cancer equipment and care was an example of simple allocation.

It seems that allocation will be, increasingly, the name of the game from now on. But all this is taking place without a clear discussion. As one Lottery Officer put it: “If allocation is what’s happening the Boards need to be transparent about it. The good thing about allocation is it saves time and effort as long as everyone’s got access to that and it’s not just the usual suspects.”

The trouble with competitive bidding is that it wastes precious resources and organisations such as local authorities, LEAs and regeneration partnerships cannot afford to waste time on unsuccessful schemes.

Stephen Dunmore, NOF’s Chief Executive hinted that the necessity for competitive bidding might be phased out for some Lottery programmes in NOF’s next round. He told a meeting of regeneration partnerships: “Even if you target particular funding, people have to go through the bidding process for every Lottery grant and in the next round we will look at whether that is really necessary.”

A recent example that points up some of the advantages and disadvantages of allocations is the Space for Sports and Arts, a £130m funding package made up of £75m from the Treasury’s Capital Modernisation Fund and £55m from - Sport England, ACE and, subject to public consultation, round three of the NOF.

This programme will make funds available to create around 350 multi-purpose halls on school sites for pupil and community use. 64 local authorities have been invited to submit bids.

But several schools have contacted Lottery Monitor recently to say that they were given only two weeks notice in November last year to consult. Others claimed that they had not been consulted at all but rather informed by their local authority that a bid for an arts-and-sports hall would be made on their behalf.

Graham Bond, the Space for Sports and Arts Project Manager at the DCMS said they recognised the concerns of LEAs and schools about tight timings which were caused by the fact that the CMF money has to be committed to projects no later than March 2002.

He added: “The two stage application process was to identify outline proposals between 6 October and 4 December last year. This will enable LEAs to proceed to the detailed application stage with a degree of certainty, help ensure that they can take up their full allocations and that scarce resources are not wasted developing projects which may not ultimately be successful.”

Allocating funds in this way alleviates some of the “Lottery fatigue” that organisations which had been unsuccessful in the past were feeling. And it’s a vital way to get LEAs, LAs and regeneration partnerships involved in distributing funds to the neediest spots.

News In Brief

Sport England gives millions to Awards for All

Sport England have given nearly 5,000 awards worth more than £15m in total since the scheme began in August 1999. Ethnic minorities, women and girls, people with disabilities and schools, as well as sports clubs, have all benefited from the programme.

Camelot Pledges £15bn Is Realistic

Camelot’s Chief Executive is promising a fifty percent increase in the amount of money available to good causes in the next licence period. Although the National Lottery Commission argued that the figure of £15bn for the period 2001-2008 might be “over-ambitious”, Camelot is sticking by the sums it presented to the Commission back in March last year. The final figure to good causes for the licence that expires in September this year is expected to be £10bn.

Scottish Research into Funding Effectiveness

Research commissioned by the NLCB into their first grants programme which was launched in 1995 and which funded projects aiming to tackle poverty has concluded that the grants are getting to the right people.

 Commission Announces Endowment Winner

A partnership of seven organisations has won the contest to run the Millennium Commission’s £100m endowment scheme. Called unLTD, the consortium will support individual ‘social entrepreneurs’ with grants, initially of £2,000 each but with later chances to get larger-scale funding. The winning bid was put together by unLTD, the Foundation for Social Entrepreneurs, made up of Ashoka(UK) Trust, Changemakers, Comic Relief, Community Action Network (CAN), Scarman Trust, School for Social Entrepreneurs and Social Entrepreneurs Network in Scotland.

 

Features

Lottery Moves Towards Allocation

Increasing amounts of Lottery money is being allocated rather than being open to all through competitive bidding. However, some are questioning whether the process is being handled transparently.

Virtually everyone involved in Lottery funding agrees that the game’s profits should go to those who need it most. The question is how best to target disadvantage? As our ‘league table’ of grants awarded in 2000 shows, there was surprisingly little redistribution of Lottery cash towards the poorest areas last year.

Lottery Joins Brokering Scheme

Regeneration projects may be familiar with the idea of a brokering table, where a range of funders can get together with applicants to discuss the funding needs of a specific project. Now the South West Regional Development Agency and the Regional Lottery Partnership are working together to develop the idea further.

“The idea is to bring together the funding agencies and the applicant so there is a single point of contact to the various funders,” said Ian Piper, head of regeneration and policy for the SWRDA.

Playing The National Lottery Game

Peter Riley, Lottery Officer for Wirral MBC, describes how his team

bring a professionalism to the co-ordination of Lottery bids.

You mark your six numbers on the Lottery ticket, present it with your pound to the shop assistant, leave with your fingers crossed and hope that this time it could be you. We can all dream of how we would spend the odd million or two and how many peoples lives we could change with our winnings. To be invited to do a job where you can make a difference, even change peoples lives, is a position offering real job satisfaction.