Previous SectionIndexHome Page


Mr. Michael: I get the impression that the Minister is moving away from the Deakin report. He referred to the recommendations of the report, which were directed at a variety of organisations, including the Charity

23 Jul 1996 : Column 222

Commission and many organisations in the voluntary sector. The first set of recommendations were to central Government. Will the Minister say a little about the Government's response to those recommendations--specifically those directed to the Minister and his Department?

Mr. Sproat: Certainly. The hon. Gentleman is quite right. The whole concept of the concordat is central to one of the passages in Deakin, but we would like to consider it in more detail, for the simple reason that it is a very important recommendation.

It is also a very difficult recommendation. It is one thing to say that the Government must sign, but with whom in the voluntary and charitable sector would the Government sign? Although I am absolutely not rejecting the idea, we need to examine it closely. It is important to get things right in principle, and then to translate them into practice. That is what we want to do. We received the report only on 8 July, but we will look at that point, as well as the point about standards of management and accountability.

We are strongly aware of the importance of voluntary organisations and volunteering. A recent study by the volunteer centre of volunteering in eight European countries suggested that volunteering in the UK was significantly higher than in all the other parts of Europe surveyed--51 per cent. in the UK, as against 35 per cent. in Holland and 19 per cent. in France. The figures on individual charitable giving tell a similar story, with private giving accounting for 12 per cent. of charitable income in the UK, as against 7 per cent. in France and 4 per cent. in Germany.

Those are traditions that my right hon. Friend and I wish to foster. Furthermore, in the words of the motion, we accept the responsibility


8.18 pm

Mr. David Hanson (Delyn): I very much welcome the opportunity to contribute to the debate on the voluntary sector, because it is a rare opportunity for the House to consider this issue.

I pay tribute to my hon. Friends the Members for Cardiff, South and Penarth (Mr. Michael) and for Stockport (Ms Coffey) for their sterling efforts in raising the issue of the voluntary sector in the Labour party and throughout the country. Without being too sycophantic, I praise my right hon. Friend the leader of the Labour party for initiating the debate, because it is important that the Labour party involves itself in the voluntary sector, because, traditionally, many people outside the Labour party have not seen the party as being central to the voluntary sector. That is changing. It was never really the case that the Labour party was not involved in the voluntary sector. The consultation itself has involved some 2,000 people giving their views to the Labour party about the future of the voluntary sector.

I chaired the consultation session that we held in north Wales, largely because, as well as being the local Member of Parliament, for 10 years before I was elected I worked in the voluntary sector as a regional and a national officer with the Spastics Society, and later as a director of a drug abuse charity. I feel that for too long the Labour party has

23 Jul 1996 : Column 223

allowed the Conservative party to occupy the high ground, given that Labour has been deeply involved in the voluntary sector at local level and is now developing a policy for the future.

The two parties differ on that--on the approach that should be adopted to the future development of the sector. If we all look at our constituencies, we will see the benefits of voluntary sector activity. For instance, the Royal National Lifeboat Institution is stationed in my constituency. Then there is Amnesty International, which campaigns for justice and fairness throughout the world. There are playgroups, organising play activities for young people; Oxfam, with its shops and campaigning activities; Crossroads, which provides support for carers; the cancer support organisations, the credit unions, the Women's Royal Voluntary Service, the citizens advice bureaux and Barnardo's. Every constituency contains many groups of that kind.

I am not referring only to traditional groups and major charities. Only last Friday, I opened a revitalised chapel in a small village in my constituency which had been built again, brick by brick, by a voluntary organisation that wanted to develop the environment. I never fail to be amazed at the level of support that there is for the voluntary sector and the principle of volunteering, and I note that members of the Labour party have been involved, actively and locally, in every activity in my constituency that I have mentioned so far.

The voluntary sector in Wales is a major source of activity and benefit. Many Welsh Members of Parliament recently received a copy of the manifesto of the Wales Council for Voluntary Action, which clearly demonstrates the amount of voluntary activity currently undertaken in Wales. The citizens advice bureaux, for instance, currently provide 400,000 consultations in Wales each year. The volunteer bureaux recruit 8,000 new volunteers per annum. Pre-school play groups currently support 48,000 children. The housing association movement--which has not been mentioned so far--currently provides 46,000 dwellings for 75,000 people. Voluntary organisations in Wales own 177,000 acres of land, and own and manage 230 miles of coastline.

As has been said, there are 22,000 voluntary organisations in Wales, and staff value is estimated at some £2 billion a year in terms of the salary that staff would require if they took paid work. The voluntary sector provides 12,000 jobs in Wales, and raises £600 million in cash each year. It is a major source of activity, and it is important to our local community. People become involved in the sector because it gives voice to new and unrecognised needs--a voice that can change and raise public awareness. It provides new ways of meeting society's requirements, and enables people to participate in public life and fulfil the civic duty that their community demands. It also allows volunteers to develop skills and experience that will lead to personal fulfilment and, we hope, improve many people's employment prospects.

Despite the importance of the voluntary sector, I believe that the two parties have very different approaches to it. I do not wish to be churlish to the Minister, but I feel that there are problems to be dealt with. They are wide-ranging, but I think that many voluntary organisations in Wales and elsewhere agree that they should be addressed.

23 Jul 1996 : Column 224

My hon. Friend the Member for Cardiff, South and Penarth mentioned the "contract culture". The state seems increasingly to be trying to determine what voluntary organisations do by arranging for funding to follow contracts. We should also examine the campaigning roles of voluntary organisations. There is currently not quite a disdain, but a frowning on some campaigning work. My hon. Friend mentioned biting the hand that feeds voluntary organisations. There is concern about the level of campaigning activity--activity that, in my view, is vital to the voluntary sector. If the voluntary sector does not represent service users who are in need, often no one will.

The question of core funding also needs to be addressed. Many voluntary organisations--such as the one of which I was a director before I became a Member of Parliament--depend on such funding to undertake the activities that they perform so well. It is neither attractive nor interesting to campaign for photocopying facilities, secretarial support or help with the cost of telephone lines or rental payments in fund-raising, but such things are important to the success of voluntary agencies and their ability to meet the needs of their communities. We should stress the need to maintain and develop long-term core funding.

The Government's attitude to value-added tax impinges greatly on the voluntary sector, which still cannot claim back VAT on much of its expenditure. The fact that voluntary agencies must pay VAT on goods up front hits them hard. I do not want to be too disdainful of the Government's approach, but it is felt that, in many quarters, voluntary activity may be seen as a substitute for Government action, as opposed to an element in a partnership. That attitude needs to be challenged.

As my hon. Friend the Member for Cardiff, South and Penarth said, and as the motion suggests, it is the job of Government to nurture the voluntary sector and to encourage voluntary activity. Those roles demand a re-think of the Government's approach, which I think Labour can genuinely undertake. We need to recognise the worth and value of voluntary organisations, and their commitment to genuine participation and involvement with Government and local authorities. I believe that Government's job is to establish a proper framework for that relationship to develop.

A number of aspects need to be improved, and the Welsh voluntary sector has pressed for such improvement. For instance, we should involve the voluntary sector more in consultation about the Government's activities. The sector can represent service users; it can represent those who are at the sharp end of Government policies, and it can assess the impact of those policies on the groups that it represents.

We should also consider the ways in which Government can encourage recognition of the importance of training, and of the ability of the voluntary sector to develop individuals as part of the encouragement of quality that the Government should be undertaking. Perhaps, when he replies to the debate, the Minister will tell us whether the Government are considering ways of increasing recognition of the qualifications of volunteers. Voluntary action could perhaps form part of a vocational programme, returning people to work but also enabling individuals to be recognised for what they have done. That is important, especially for unemployed people but also

23 Jul 1996 : Column 225

for retired people who may have retired early to contribute to the community. The Minister might also consider ways in which unemployed people could contribute.

I hope that the Government will consider a volunteer charter, which would put volunteering at the centre of community life and enable it to be seen as a mainstream activity encouraged by the Government. The Government could help to support the untapped wealth and activity represented by the voluntary sector. They should also consider extending the sharing of good practice: I refer not just to local authorities and health authorities but to the business sector. There are many good ideas in that sector, involving secondment, support and financial activities. The role of Government should be to help to support the voluntary sector to help to bring those good practice ideas together.

Finally, we should pay close attention to funding. Core funding is important but it needs to be established on a longer-term basis than currently. In my area, local government reorganisation has caused some uncertainty about long-term funding and it is important to look not only at core funding but at matching funding. Many voluntary organisations secure resources from the national lottery and from local authorities but require matching funding. For example, an organisation in my constituency has just received £750,000 from the lottery but has to raise £250,000 in the community to trigger that £750,000. That is a great deal to raise locally, but the worth of the project is established locally.

There is much support for the voluntary sector and much activity and initiative on its behalf and Labour will continue to be at the heart of that. There is more that the Government can do to pull the strands together, to look at ways of encouraging the sector and to assist it in doing what it does best--meeting the needs of local communities and having an independent, active campaigning role. I commend the motion to the House.


Next Section

IndexHome Page