Across the UK, small charities and voluntary groups are under growing strain as demand for their services continues to rise while funding becomes increasingly difficult to secure. With statutory services overstretched, voluntary, community, and social enterprise (VCSE) organisations are often filling the gaps—sometimes at the expense of their own financial stability. Research shows that nearly half of small charities fear closure within a year due to financial challenges, and one in ten have less than six months of funding left. The combined effects of the pandemic and the ongoing cost of living crisis have further intensified these pressures, threatening the sustainability of vital community organisations.
Recognizing these challenges, Clarion Housing Association, in partnership with its charitable foundation Clarion Futures, has shifted from traditional funding models to capacity-building initiatives. In April 2023, the organisation launched the Resilience Programme with the Fusion21 Foundation and Places for People to help grassroots organisations in deprived areas strengthen their long-term sustainability. Rather than focusing solely on short-term project funding, the programme aims to build knowledge, skills, and resilience, helping VCSEs become more self-sufficient and better equipped to continue delivering community impact.
The Resilience Programme’s success stems from its “support first, funding second” model, which prioritises understanding each organisation’s unique needs. Working with Almond Tree Strategic Consulting, participants receive personalised one-on-one capacity-building support before becoming eligible for core cost grants of up to £10,000. This ensures that funding reinforces the learning process and promotes lasting change. Since its launch, the programme has supported more than 140 organisations, providing nearly 3,000 hours of tailored assistance and awarding over £670,000 in grants. The majority of participants reported gaining practical tools to strengthen their operations, with many experiencing improved community engagement and new opportunities for growth.
One example is Ignite Hubs, a southeast London-based organisation offering STEM and creative programmes for young people. Through the Resilience Programme, Ignite Hubs received bespoke business planning and fundraising guidance, helping them scale their reach and enhance their sustainability. A £10,000 core cost grant enabled the launch of a new learning platform, a key investment for the organisation’s long-term success.
Looking forward, Clarion is expanding its impact through the Community Catalyst, an enhanced version of the programme that aims to support 270 VCSEs over the next three years with more than £3 million in collective investment. With new partners including Peabody and Metropolitan Thames Valley (MTVH), alongside continued support from Fusion21 and Places for People, the initiative will reach more communities across England. Clarion is now inviting additional funders, councils, and housing associations to collaborate and help strengthen the resilience of grassroots organisations nationwide.
