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Bankrupt Councils – How does it affect charity

ARE YOU A CHARITY WORKING WITH Northampton County Council
The Business Lounge Northampton, Northampton County Chamber of Commerce, Spectrum Northants Charity Northampton,
NORTHAMPTON HOPE CENTRE and HOPE ENTERPRISES
Mayday Trust, its time for Charity to work together. Can you help?

Bankrupt Councils Risk Assessment
If you are a #charity that worked or works with Northampton county council #northamptonshire pre and post 2018 can you share your experience?
Charities are concerned at this time about bankrupt councils and how it will impact them. The risk is real but no one truly understands it. The only area to have previously experienced such fall out has been Northampton. Whilst it got a lot of news coverage at the time, the aftermath slipped under the radar. Charities as a community must talk and help each other. Now is the time.

In 2018 there was the possibility another 20 bankrupt councils which were said to be on the verge of bankruptcy, now post-COVID it’s many more.

bankrupt councils

Bankrupt councils budgets dominated by social care

In the main, the largest part of most councils budget is adult and child social care. This is an area that many charities are involved in from the #Housingcrisis to care homes for people with #disabilities.
Were you a charity commissioned by the council, was your work affected, if so how?
Right now many charities find themselves in an already precarious position, where a local council that commissions them is also precarious risk must be assessed.
In 2018 Northampton issued a #section114 order because after years of not putting up council tax they had financially failed. The order bans all new expenditure, with the exception of safeguarding #vulnerablepeople and statutory service

If you are a charity in the Northampton area or are concerned about the issue of bankrupt councils please comment, share your knowledge and network. #sharethewealth

About the author

Jonathan is the CEO of the charity Zetetick Housing

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