The pressures NGOs face

Yesterday I wrote a bit about NGOs providing essential social services. Today, I’m looking at the rest of the article I referenced there, on the funding issues that NGOs currently face. This government not only pushes essential social services off onto NGOs – it also underfunds them. Badly.

The author, Richard Wood, notes that even services which are ‘fully specified’ (which I think means fully funded for the services specified in their contracts, but it’s a piece of government jargon that Google wasn’t keen on giving up the definition of) are underfunded. If the government is short-changing the services which are supposed to be fully funded, how is it for partly-funded services? Pretty dire, would be my guess.

None of the funding for NGOs has been inflation adjusted since 2009, and even further back the inflation adjustment has not kept pace with actual inflation (which is about 30 percent in the last 12 years!). As the services struggle, and fall further and further behind, the government gets to look at them and tut-tut over their budgeting and fiscal responsibility. It’s rubbish.

At the same time as this government underfunding, philanthropists have signalled to the government that it’s not their job to fund essential social services, that these should rightly be funded by the government. So, with not enough government funding and little philanthropic money, core services are struggling badly.

Why on earth are essential and critical social services being treated like this? I suspect that it’s because the government doesn’t see them as essential or critical. They see them as a money pit that brings no tangible returns – despite the billions that mental and physical illness, criminal behaviour, homelessness and the like cost the economy annually.

We’re talking about social needs in economic terms again, and it’s wrong. It’s a people cost, and people are worth more than money. Perhaps the next government will see some sense.

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