Communities: Charities and Volunteers Debate

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Department: HM Treasury
Wednesday 13th February 2019

(5 years, 9 months ago)

Commons Chamber
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Martin Docherty-Hughes Portrait Martin Docherty-Hughes (West Dunbartonshire) (SNP)
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I am delighted to follow the hon. Member for St Ives (Derek Thomas), who detailed some of the work that is going on in his community. Let me make a non-pecuniary declaration of interest: I was the national policy adviser for Volunteer Scotland, the national body for volunteering, before I came to this House. I have also worked for West Dunbartonshire Community and Volunteering Services—Members will know it as a CVS and volunteer centre—for over a decade.

I thank the Government for bringing forward this general debate today. I am sure that there are those in the Chamber who have been seeking such a debate for quite a long time. I commend the work of the all-party parliamentary group on charities and volunteering, of which I am a member. I see the redoubtable chair, the hon. Member for Clwyd South (Susan Elan Jones), in their place. I do hope that, when they sum up, both Front-Bench speakers will pay tribute to the work both of that all-party group and of the chair who has been a doughty campaigner since coming to this House.

Although much of the policy framework for charities and volunteering is fully devolved to the Parliament of Scotland, there is a range of overlaps that needs to be highlighted so that Members can be aware of the distinct nature of charities in Scotland, the number of which, according to the Office of the Scottish Charity Regulator, now stands at 24,466 in total.

Stephen Kerr Portrait Stephen Kerr
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The hon. Gentleman is quite right that these issues are devolved and rightly so, but where there are opportunities for co-operation across the United Kingdom, we should surely grasp them. Why, for example, is it not possible for young people in my constituency, because of a decision by the Scottish Government, to participate in the National Citizen Service? There is a demand for that in Scotland.

Martin Docherty-Hughes Portrait Martin Docherty-Hughes
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I will come on to answer that question at the end of my contribution. There is a big discussion to be had about the legislative process of the UK Government and a distinct understanding of what volunteering actually means, but I will come back to the hon. Gentleman’s point further on in the debate because he raises a very important point about the difference between volunteering and being told to do something. Volunteering is a free-will activity.

It is essential to understand that, as in England, Wales and Northern Ireland—although I do not see any Members from Northern Ireland in the Chamber—the vast majority of voluntary organisations are small, with no employees; they are founded, organised and able to connect communities solely through volunteers. As a sector, both charities and the many unincorporated voluntary organisations play a central role in the delivery of people-centred services and in ensuring that communities, through a whole host of avenues, are able to inform and shape our nations. We have already heard about how the sector informs participation and democracy.

Drew Hendry Portrait Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)
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My hon. Friend is making a good point about the role of voluntary organisations. In the past year, two new food banks have opened in Inverness to cope with the demand caused by the failures of universal credit. Those volunteers are working not just there, but in initiatives such as the hungry lunches project at Inverness Cathedral and MFR Cash for Kids, which provides help and advice. Does my hon. Friend agree that they are not just providing help for people, but actually saving them?

Martin Docherty-Hughes Portrait Martin Docherty-Hughes
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I could not disagree, and that is replicated not just in Scotland, but across the whole UK.

Jim Cunningham Portrait Mr Jim Cunningham (Coventry South) (Lab)
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Like the hon. Member for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry), in Coventry we have volunteers who not only collect, but distribute, the food; and a lot of people are very thankful to them. Another issue is loneliness. I hope that the hon. Gentleman will agree that every amount of pressure should be put on the BBC to revoke any plans it has to charge the licence fee to over-75s. Finally, there is another voluntary organisation in Coventry that is totally run by volunteers who help the blind using modern techniques. Has the hon. Gentleman come across anything like that in his constituency?

Martin Docherty-Hughes Portrait Martin Docherty-Hughes
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I could not disagree with the hon. Member on a range of matters, and I do not on the over-75s licence fee issue. It is incomprehensible to me why the BBC would even consider such a thing, given that social isolation is a profound issue across not only older age, but a whole gamut of ages. I may come to that point in a moment.

The right to form voluntary organisations—charities or unincorporated organisations—is a fundamental pillar of a modern, liberal democracy. Such organisations are founded on the lived experiences of communities, on geography, on choice and on need. Nevertheless, charity is no replacement for good government. Maybe that is what many have found with issues around food banks and services having to be replicated by volunteers.

The unincorporated organisations and charities challenge policy makers and Governments in general, campaigning on issues on conscience and locality. I think of the Women’s Aid organisations in my constituency, which—with the new local authority administration—are addressing specific targeted issues such as domestic abuse and violence, and access to services. They are also raising the matter of three-year funding strategies, rather than constantly having to come back to the local authority or Government Department year in, year out for the same type of funding scheme.

These organisations deliver public services in ways that are too numerous to mention, including by supporting people through drug addiction. This includes the Dumbarton Area Council on Alcohol in my constituency. Organisations such as Tullochan and Y Sort-It in West Dunbartonshire enhance the lives of young people through group activity and individual support. Importantly, the unincorporated organisations across all our constituencies run groups of all shapes and sizes, such as Clydebank’s Morison Memorial lunch club, which offers friendship and wholesome food every Thursday; I can testify—I am sure that Scottish Members will recognise this—that it has the best and finest tablet in Scotland.

Charities and voluntary organisations connect and enhance our communities socially and economically. In Scotland, the investment from the Scottish Government has again increased to £24.9 million, with additional resources and support from a range of other funding bodies and groups, such as local authorities and NHS boards. Indeed, voluntary organisations are seen as an essential part of shaping public service through community planning in each of the 32 councils of Scotland.

From a Scotland-wide perspective, the voluntary sector covers every facet of Scottish society, and I am grateful to the Scottish Council for Voluntary Organisations for the following figures. There are over 45,000 voluntary organisations—on top of the charitable sector—in Scotland, employing more than 106,000 paid staff. That is 3.5% of Scotland’s workforce. The workforce is dominated by women, who make up 71% of it; this is significantly higher than in the public and private sectors. The sector also employs more people with disabilities than the public and private sectors. Over 1.3 million people in Scotland volunteer, and over 30% of women, people from rural communities and those aged 16 to 24 volunteer. There are over 250,000 charity trustees, many of whom will never actually see themselves as volunteers; and that is a clear point about many trustees and those involved in the governance process.

Mims Davies Portrait Mims Davies
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indicated assent.

Martin Docherty-Hughes Portrait Martin Docherty-Hughes
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I see that the chair of the all-party parliamentary group and the Minister agree. It is a fundamental point that we need to reinforce.

The sector in Scotland has a combined turnover of £5.8 billion. For the record, that is higher than the whisky industry. Some 78% of charities in Scotland are locally based, and four out of five Scots used a third sector organisation last year.

John McNally Portrait John Mc Nally (Falkirk) (SNP)
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In my Falkirk constituency, I have the great privilege to support Strathcarron Hospice, which this month holds its Snowdrop appeal. Princess Anne is also a great supporter of the hospice. The volunteers who support this superb charity and many other organisations are appreciated, but I have looked at some of the salaries paid to the chief executives of national charities. Does my hon. Friend agree that that the salary of those at national charities should be capped?

Martin Docherty-Hughes Portrait Martin Docherty-Hughes
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I think that might be above my pay grade. However, I do believe that pay must be commensurate with the working activity undertaken. It is up to the board members of charities to make sure that they hold their staff, especially their senior staff, accountable in terms of the wages that they are paid.

My hon. Friend also mentioned the hospice movement. I have two hospices in my own constituency: St Margaret of Scotland, which is well known across the west of Scotland; and CHAS, or Children’s Hospices Across Scotland, which assists children who are terminally ill from all over the UK. They are to be commended for the sterling work that they do.

Although not perhaps enjoying the same attention and understanding as other sectors with regard to Brexit, the sector is no more or less immune to the uncertainties generated as a consequence of leaving the European Union. Alongside concerns about protecting human rights, participation in European networks and pan-European programmes, and the future workforce, the issue of funding is paramount. Over the 2014 to 2020 funding period, Scotland has secured €941 million in European structural investment fund money, a significant proportion of which was to be channelled to third sector organisations in a diverse range of communities. This funding enables third sector organisations to access funds under the following interventions: employability pipelines, social inclusion and poverty reduction, and growing the social economy. I believe that the UK Government are developing the UK shared prosperity fund as a successor fund to replace the ESIF when the UK leaves the European Union. Yet despite repeated promises of a consultation, the launch has been delayed several times. Therefore, charities are yet to have their say on how this fund will evolve and operate, and they have had no clarity on what it will fund, how it will be designed, who can access it, how much it will be worth, or who will manage it. I hope that the Minister will clarify issues around the consultation and inform the House of what progress will be made in this area.

The Minister referred to the Dormant Assets Commission, which was set up in March 2016, building on the Dormant Bank and Building Society Accounts Act 2008. It had the expanded objective of looking at a much wider range of financial assets such as life insurance, pension products and so on. The commission published its final report and a series of recommendations in 2017. It identified some £2 billion-worth of dormant assets that could be freed up and distributed to good causes, for want of a better term. This is considered to be a conservative estimate, much as the value of dormant accounts was undervalued. More assets will also fall dormant in the years ahead, meaning that the fund can deliver in perpetuity.

In 2011, the dormant accounts money was made subject to the Barnett formula and devolved nations were able to set their own spending priorities, with the Big Lottery Fund taking responsibility for distributing money through the Young Start programme, which aims to create opportunities for children and young people. I am sure that Members would hope and expect that the new fund will follow a similar model. However, there has been little detail available about how funding will be allocated and distributed. Future consultation will give the sector an opportunity to ensure that this money can be secured for good causes and successfully targeted to produce the best outcomes. Again, I hope that the Minister can clarify the situation.

The essential elements of voluntary organisations in connecting communities are those who, either individually or collectively, volunteer to run charities and voluntary organisations. In Scotland, this is even an essential element of the nation itself. For instance, as I am sure that Members on both sides of the House from Scottish constituencies will know, the national Church, while it has ministers, is a charitable organisation facilitated by volunteers. Like many other faith-based organisations, it is a cornerstone of national life. Its role in the distinct nature of the Scottish nation is volunteer-led. Yet for volunteering to flourish, we must recognise that it requires investment.

In its report “Volunteering, Health and Wellbeing”, Volunteer Scotland—the national body for volunteering—highlighted the substantial evidence to support the contribution of volunteering to policies where health and wellbeing has an important role to play. That includes key policy areas such as health, education, employment, young people, older people, criminal justice and community engagement. The Minister mentioned isolation and loneliness. Last year, the Scottish Government brought forward their first ever draft strategy, “A Connected Scotland: Our strategy for tackling social isolation and loneliness and building stronger social connections”, with an additional £1 million of investment, and that is only for the first two years.

Through those policy areas, we understand that volunteering is essential to healthy behaviours and improved daily life—critically, for those who are isolated due to a range of factors, from income to age—and it has the real benefit of allowing people to cope with illness. It is well evidenced that volunteering has a profound positive impact on all our mental health, and the work of so many local groups across these islands, including Stepping Stones in my constituency, is a testament to the positive impact of volunteering on our mental health.

Yet we face challenging volunteer geography across western society, with a decreasing number of people volunteering. Even in rural communities, where the number has been traditionally high, we are seeing a marked decrease. There is no simple answer to growing volunteering. Our societies are evolving, and as I said, there may be people who do not even recognise that they volunteer.

The Minister mentioned the London Olympics. There were also the Glasgow Commonwealth games, and in a few years the games will be in Birmingham. While large sporting events see spikes in volunteering, there is yet to be substantial evidence that that investment brings a long-term increase in volunteering.

The hon. Member for Stirling (Stephen Kerr) mentioned the National Citizen Service, an issue on which he and I disagree. For me, my party and the Government of Scotland, the call to have a National Citizen Service only detracts from investment in existing infrastructure in Scotland. There are many national youth organisations; the exact same type of organisation exists and is already funded. Rather than asking for a London-based system, we should look to the systems that already exist in Scotland, as a lot of work is being done by YouthLink Scotland and other organisations.

For me, big society is like Big Brother. It is a threat to individual and collective community action, undermining volunteering in its most basic and fundamental form. It is a society where we have, in the words of Robert Dahl,

“an effectively enforced right to form and join autonomous associations”,

rather than ones brought about by Government.