Cabinet Office refuses to fund children's charity under current leadership
A controversial charity chief is to resign after the UK government said it was withholding funding unless she stepped down.
Camila Batmanghelidjh was told by the Cabinet Office her London-based charity Kids Company would only get £3m worth of funding if she stepped down, which she now says she will do next year.
The government claims the organisation, which gives therapy to abused and traumatised children and relies on a quarter of its funding from the taxpayer, is being mismanaged – an allegation Batmanghelidjh strenuously denies.
Instead Batmanghelidjh said ministers were trying to cover up the plight facing deprived young people.
The Cabinet Office last year ordered a review of grants made to the charity following the raising of concerns about its governance.
It is currently facing £14m in cuts which will force it to half in size and sack hundreds of staff.
We are very concerned government officials are interfering in the governance of an independent charity - John Downie
Batmanghelidjh said: “Some ugly games are being played. The facts are that the vulnerable children of this country remain largely unprotected. There’s no point in shooting the messenger if the message is uncomfortable. I am being silenced.”
She added: “Kids Company is taking care of far too many mentally ill children and children who are not being protected robustly and our discussions with government have been that a charity cannot handle this load.
"There have been sometimes uncomfortable discussions which has made the government, understandably, potentially uncomfortable with the message."
She pointed out it was never her plan to stay more than 20 years at the charity – until 2016 -and that her resignation has been planned years before.
Batmanghelidjh rose to prominence for her colourful and charismatic leadership of the charity and was once hailed as a leading visionary in England’s third sector for her unconventional approach to social care.
John Downie, director of public affairs at the Scottish Council for Voluntary Organisations, said: “While it is not for SCVO to comment one way or another on the effectiveness of Kids Company, however, we are very concerned at the suggestion government officials are interfering in the governance of an independent charity.”
A Cabinet Office spokeswoman said: "Making sure that every child has the best start in life is our top priority, so we will continue to work with Kids Company to ensure its important work is sustainable."