Involve Yorkshire & Humber will cease trading at the end of November due to a combination of cash flow difficulties and shrinking reserves.

A statement from chair Jan Thornton confirmed that trustees last week took the decision to close the charity “following some months of uncertainty”.

“Although a recent independent review had emphasised how much Involve is respected and needed, particularly in an increasingly harsh economic climate, the combination of cash flow difficulties with shrinking reserves means a sustainable future is impossible.”

Established in the 1990s as a member-based organisation for the voluntary and community sector, the infrastructure body facilitates communication between VCS organisations, local and central government, and other organisations.

Involve had income of £502,626 in the year to March 2014 according to accounts filed with the Charity Commission, against spending of £593,978. This compares to income of £773,143 and spending of £1.12m in 2012/13, and £1.23m and £817,238 in 2011/12.

“Since the 2010 election and the subsequent loss of many regional structures and policy, our national role has been reduced,” Thornton said. “Our likely funders have moved on; local authorities became more insular; the sector at regional level has faded from view.”

Thornton said trustees were keen to recognise the reality of the situation facing the charity, hence the decision to close. However, she said Involve is adamant its current work will not be lost, in particular around the role of the sector within devolution developments and within health.

“We are keen to make sure nothing is lost. The two new national health workers, Carol Candler and Jonathan Appleton, although not based at Involve in the future, will continue to develop innovative national work and oversee its delivery at regional level, including in Yorkshire and Humber by Emma Baylin. Watch out for news as these plans evolve,” Thornton said.

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