28 Aug 2009

Less funds available for community groups

9:58 am on 28 August 2009

Has the recession adversely affected the voluntary sector?

This week, New Zealand Lotteries made a payment of $189.3 million to the Lottery Grants Board. The money was from record Lotto sales and was the biggest payment to be made to the board.

However, Philanthropy New Zealand says many organisations that donate money have less funds to distribute to community and sports groups.

Leaner times mean they are looking closely at where they put their money and many are re-assessing what projects they fund.

The ASB Community Trust is the largest in New Zealand - but it had to suspend grant-making for the first six months of this financial year because of the impact of the recession on its investment returns.

TSB Community Trust, which this year is allocating nearly $6.35 million to groups in Taranaki.

Chair Colleen Tuuta says a lot more money is being targetted away from capital projects and towards organisations that provide services to people hurting from the recession.

The Department of Internal Affairs says there is pressure on gambling societies to shift their spending too.

More about this can be heard on Insight just after 8am on Sunday.