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Moving forward with the Compact - ministerial statement

11 December 2009 

Angela Smith, Minister for the Third Sector, met with a number of stakeholders this week, including Compact Voice, NCVO, and the Chair of the Third Sector Advisory Board to discuss ways to reassert the Government's commitment to the Compact, ahead of the launch of the Refreshed Compact next week. She acknowledged the impact of the recent breach of the Compact which occurred when she took the decision to divert funding away from the Campaigning Fund to the Hardship Fund, to help third sector organisations affected by the recession, and reaffirmed her commitment to the partnership agreement.

During the meetings, as part of the Government’s commitment to the Compact, the Minister confirmed that:

• The Office of the Third Sector in the Cabinet Office is committed to finding a legislative vehicle for placing the Commission on a statutory basis and therefore increasing the status of the Compact.
• In the meantime, we will seek to address the changes and improvements that can be made in the implementation of  the Compact without the need for legislation. This will include the roles and remits of the Commission, the OTS and Compact Voice in the interest of greater clarity and better efficiency in successfully implementating the Compact.
• We will use the next annual review of the Compact (1 Feb 2010) to discuss clear actions for both the third sector and Government in implementing the refreshed document. We would want one aspect of this to be a better and more credible report from Government on how the Compact is being implemented and to use the annual review to present such a report for greater transparency (we will work on establishing this process in conjunction with Compact  Voice and the Commission).
• The Office of the Third Sector will communicate as early as possible with stakeholders in the unlikely event that such difficult decisions that breach the Compact are required.

Angela Smith, Minister for the Third Sector, said:

“My breach of the Compact was an isolated decision, made in an effort to support the third sector in the context of the unique economic climate.

“I believe the objections to my decisions, led by Compact Voice, have served to strengthen the Compact. It shows that the Compact does matter to the sector and beyond, its shows it is still relevant, and it shows the moral weight it retains.

“I am committed to a number of actions over the coming months, and I will stick to these commitments. I will endeavour to put the Commission on a statutory footing when legislative time allows, and in the meantime will work to make the compact and its mechanisms stronger and more transparent.”