The Care Collective has announced it will close this month due to “long standing financial challenges”.

The closure of the Pontypool, Wales, based charity means all 87 of its staff are being made redundant.

The charity, which launched three decades ago, works across ten council areas in South Wales to support unpaid carers with support and respite care.

In a statement that charity said that “all possibilities had been considered to secure the financial future of the organisation”.

According to the register of charities its income for the financial year ending 31 March was £3.36m and its total spending was £3.73m. This is the second time in the last five years that its spending has exceeded its income.

Its most recent accounts noted that “there is material uncertainty as to whether The Care Collective will be able to continue to operate as a going concern for the foreseeable future”.

“The charity’s reserves had been depleted over recent years in order to prioritise service delivery to unpaid carers across South Wales,” the charity added.

According to the charity’s trustees: “This has been an incredibly difficult and sad decision for the board and its staff. It has not been taken lightly.”

The decision to close follows a review “to urgently address the long-standing challenges facing the charity”.

“These challenges included increasing costs, late confirmation, awarding and payment of contracts, and difficulties in recruiting staff across the health and social care sector.

“Having considered all possibilities to secure the financial future of the organisation with expert financial & legal advice, our aim is to oversee a controlled closure of The Care Collective, leaving a legacy of which we can be proud. All services will cease by 31st March 2024.”

The Care Collective (TCC) will close in March after 3 decades due to long-standing financial challenges, its Trustees have said.
Building on the legacy of the Crossroads initiative which began in 1974, The Care Collective (previously known as Carers Trust South East Wales)

— The Care Collective (@1CareCollective) March 14, 2024

The charity’s chief executive Karen Robson, who joined last year, said: “Our priority has been to ensure the continuity of services to unpaid carers and their families, and we have been working with commissioners to this end. We’re also doing all we can to ensure unpaid carers are aware of other sources of support.”

“On appointment last summer, my plan was to build on the reputation and success of The Care Collective and to continue to deliver the quality services we have provided for over 30 years. Sadly, this was simply not the direction I was able to take.

“Instead, my focus has been on working with the trustees and my senior leadership team to clarify the current and future financial position and to investigate all possible avenues in order to continue the charity’s operations.

“Regrettably this assessment has not been positive and has led to where we are today, unable to prevail in this difficult financial environment.”

The Care Collective is a network partner of national charity the Carers Trust, which warned last month that financial uncertainty around the cost-of-living crisis, as well as local government cuts, are “causing huge problems” for small charities.

The national charity issues the warning after West Norfolk Carers revealed it was to close following the loss of funding from Norfolk County Council.

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