​Restructuring and loss of contracts result in expected loss

The National Council for Voluntary Organisations, which represents charities in England and Wales, has seen its annual income fall by £1.1 million.

Accounts for the year to March 2017 show income fell in line with government contracts from £9.3m to £8.2m.

The body restructured in March 2016 leading to a fall in staff numbers from 109 to 95.

The charity said that the fall in income had been anticipated as government projects ended, and its position remains healthy.

“Income from membership and trading activities both grew compared with the previous year,” NCVO said in a statement.

“Although income fell overall, this reflected the conclusion of several large, funded projects at the end of 2015/16. As previously reported we had pre-empted this and restructured accordingly.

“Our expenditure on these projects ended, meaning NCVO’s core financial position remains strong.

“We spent slightly more than our income as part of an ongoing, planned programme of investment from our reserves, primarily in digital business systems to provide a better service to members. Reserves remain comfortably above their target level.”

However while income is going down, membership is rising, according to its annual report.

The charity ended last year with 12,750 members, up 550 on the previous year. NCVO said the figure now exceeds 13,000.

The report also reveals that chief executive Sir Stuart Etherington received £136,000 while three other members of staff were paid £86,000.