Department of Health

Website of the Department of Health

Please note that this website has a UK government access keys system.

Third sector strategic funding and investment review

  • Last modified date:
    17 July 2008
  • Gateway reference:
    9188

The Department of Health is undertaking a funding and investment review to develop a strategic framework for its investment in the third sector that transforms current piecemeal arrangements into a strategic portfolio of investment that more explicitly supports delivery of the Department's objectives and priorities.

Select a section

Scope of the review

The review will consider the entire Department’s funding of the third sector, including its primary funding streams – Section 64 (S64) and Opportunities for Volunteering (OFV) grants schemes – as well as contracts resulting from procurement and grants across a range of the Department’s programmes.

The review will consider and potentially refine the role of S64 and OFV funding in the context of the Department’s vision for outcomes focused commissioning and increasing plurality of health and social care provision in which the sector has a key role.

Issues for consideration in relation to S64 funding include, for example, the relative merits of the current large number of core grants compared with a smaller number of strategic grants, or the Department’s current investment in established organisations through core grants and the potential for providing seed corn funding for newer organisations.

The review is about how the Department spends the money we have got more effectively in the third sector, rather than to review the amount of money itself, which will not increase or decrease as a result of the review.

Timing

The Department expects to:
a. involve stakeholders to inform the development of options and proposals over the summer of 2007
b. consult on proposals in the Autumn, with a consultation window being launched in December 2007
c. decide and communicate the way forward for S64 in 2008; and
d. begin implementation of any changes to the scheme in the Spring of 2008 to affect the 2009-10 funding round.

Any changes in relation to the S64 General Scheme will take effect from the funding round for 2009-10.

Background on the Third Sector Partnership Team

The Third Sector Partnership Team acts as the strategic focus within the DH for promoting the Third Sector in the context of health and social policy and service development and delivery including embedding the Compact, and managing delivery of the Department’s key VCS funding streams, the S64 General Scheme of Grants and the Opportunities for Volunteering Scheme.

Consultation documents

The consultation document, questions and answers, an associated summary of interventions and options, and an equality and impact assessment are available at:

The response to the consultation and details of the new Third Sector Investment Programme were publishedon 17 July 2008:

Feedback from consultation workshops

Issues raised with the review team that are outside the scope of this review

Many issues, ideas and concerns have been raised with the review team during the early discussion period, but these are outside the scope of the review. Where possible these issues have been directed to the relevant section within the department or other government departments as appropriate.

A summary of these issues is noted below: 

Issue raised:

Local relationships between PCT / NHS commissioners and third sector organisations need support to develop

Action taken:  Issue reported to Project Board and passed to DH Commissioning Team.

Issue raised:

Connections between Government Departments where there are shared priorities and agendas need to be clearer and more consistent – example given of Department of Work and Pensions and Department of Health work around volunteering.

Access keys