Question to the Cabinet Office:

To ask the Minister for the Cabinet Office, with reference to the letter from the Permanent Secretary of the Cabinet Office to Cabinet Office Ministers dated 26 June 2015, published 16 July 2015, for what reasons his Department had limited confidence that Kids Company could implement changes set out in that charity's restructuring plans.

An independent review of financial and governance controls at Kids Company in early 2014 (published on gov.uk) stated that ‘the main financial risk to the organisation is cashflow’ and that ‘without improving the cash position of the charity, it is not possible to build reserves and invest in new activities and locations’. Subsequent funding agreements between Cabinet Office and Kids Company included clear conditions that this position be improved.