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Prime Minister sets out 10-year vision for how government can support a thriving third sector

Today the Prime Minister will set out a new agenda on social action and present his vision of a partnership in which government empowers and enables individuals and organisations working for positive social change.

In a series of announcements, the Prime Minister will celebrate the contribution of the third sector to addressing the key social challenges that face Britain today, and will welcome the publication of the final report of the Third Sector Review.

The report announces major new commitments to boost the sector and its partnership with government, and sets out £515m funding over the next three years.

The final report of the joint Cabinet Office/Treasury review into the future role of the third sector in social and economic regeneration sets the framework for government working in partnership with the sector for the next 10 years, and responds directly to the largest ever public consultation with the sector.

The report outlines some important developments in the Government's approach under three cross-cutting themes:

• supporting a wider range of activities by the third sector, particularly community action and campaigning
• focusing more on investing in the long-term future of the third sector's work
• focusing more on improving local partnerships

Ed Miliband, Minister for the Cabinet Office, said:

“After a year talking to hundreds of third sector organisations as part of our review, I am more convinced than ever of the sector's essential role in helping to make social change happen in our society. Above all, government needs to be a better partner: respecting the third sector's ability to make a difference but never abdicating our responsibilities to fund public services, striving for long-term funding and always respecting the sector's right to criticise and campaign. That is the best route to a thriving third sector and a fairer society.”

Phil Hope, Minister for the Third Sector, said:

“This review will ensure a future with the third sector at heart of our society. It is clear statement of the Government's vision that by working in partnership together we can do more to improve peoples' lives. It is a commitment that recognises and aims to develop the campaigning role of the sector as a driver for social change.”

Jane Kennedy, Financial Secretary to the Treasury, said:

“The publication of the third sector review follows the largest consultation Government has undertaken with the third sector. Their input has informed a new framework for partnership which recognises the role of charities and the voluntary sector in delivering and designing public services and also in campaigning for change, promoting social enterprise and building communities. Today's report announces new measures that we hope will strengthen such organisations as they work to improve the lives of individuals and our communities.”

The final report of the third sector review sets out a series of measures to build on the government's partnership with the third sector and feed into the 2007 Comprehensive Spending Review, under five key headings:

Enabling voice and campaigning

• a new focus on enabling the third sector's role in campaigning and providing voice for many vulnerable groups, including investment in innovative consultation approaches, work to protect the right of organisations to campaign and mechanisms to ensure Ministers hear the views of third sector organisations on policy

Strengthening communities

• a new £50m local endowment match fund enabling local independent foundations to develop community endowments to provide sustainability in future grant making, building on the £80 million small grants programme for community action and voice announced in Budget 2007
• at least £10 million of new investment in community anchor organisations and community asset and enterprise development, building on the £30 million Community Assets Fund announced in the 2006 Pre–Budget Report
• £117m of new resources for youth volunteering, building on the work of v, alongside other volunteering programmes

Transforming public services

• building capacity of third sector organisations to improve public services, through the Futurebuilders Fund, training for public sector Commissioners and work to build the evidence on opportunities for the third sector

Encouraging social enterprise

• additional investment to raise awareness of the social enterprise business model, and support for government departments to investigate areas for social enterprise delivery – including getting social enterprise into the Key Stage 3 and 4 curriculum framework from 2008

Supporting a thriving, healthy third sector

• better mechanisms to drive best practice in funding the third sector, including in the expectation that when Government Departments and their agencies receive their 2008–11 budgets, they will pass on that three year funding to third sector organisations that they fund, as the norm
• a new programme to build the third sector evidence base, including £5m on a new national research centre
• a new third sector skills strategy
• over £80 million of new investment for third sector infrastructure development through Capacitybuilders, with new programmes on voice and campaigning, social enterprise and a focus on reaching down to the smallest community groups
• continued focus on the Compact as a means to build the relationship between the third sector and all levels of Government.

The future role of the third sector in social and economic regeneration

• The future role of the third sector in social and economic regeneration [PDF 602KB, 105 pages]
• The future role of the third sector in social and economic regeneration – plain English leaflet [PDF 291KB, 4 pages]

To order a free copy of the final report or the plain English leaflet, please call 0845 015 0010, give the name of the publication and quote URN 07/Z5 for the report and URN 07/Z4 for the leaflet. Please note that stocks are limited

Third sector review and Have your say

• Third sector review final report 
• Have your say on the third sector review