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SCOTLAND CHARITY CRISIS AS NUMBERS BEGIN TO FALL AWAY 24/02/04
 
The SCVO is calling for more charities to be created north of the border, following research showing a huge drop in the number of new groups.

Over the last three years, numbers of new organisations has fallen by more than one-third, just as demands on the sector begins to grow - especially in delivering public services.

SCVO chief executive Martin Sime says: "The number of new charities is a key indicator of the strength of our communities and the confidence people have that they can make a difference. Charities are vital growth points for the next generation of service providers."

The SCVO study found the number of new organisations registering for charitable status has fallen from 1,730 in 2001 to 1,360 in 2002m and down further in 2003 to 1,110 - a drop of 36% over the three years.

These findings come on the back of financial figures that show that the sector's growth in funding has stalled since 2000, the brunt of which has been borne by small and medium sized voluntary organisations.

Sime calls for urgent action to address the decline: "New charity law is on its way and this should improve public confidence, but the importance of new and small charities to the public life of Scotland cannot be overstated.

"Whether it's recycling, alternatives to custody or public health promotion, charities are often at the sharp end, mobilising people and promoting innovative and radical solution to deep-seated problems.

"We need to make it easier for people to set up charities and we urgently need better organised support and assistance to those who do.

"At root, modern charities are about people getting together in their own communities to address problems in their own way. That social solidarity needs to be encouraged by everyone."
 
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