Charities are about to go bust as a promised government rescue package to make up for a funding collapse fails to arrive, MPs are warning.
Michael Gove pledged rapid support to compensate for donations drying up because of the coronavirus pandemic at the end of March – but no announcement has followed.
The biggest and best-known cancer charities – Cancer Research UK and Macmillan Cancer Support – are among those warning that research will have to be drastically scaled back.
Download the new Independent Premium app
Sharing the full story, not just the headlines
Now the Commons culture committee has warned that time is running out, suggesting charities will lose up to staggering £4bn in income in total.
“We’re calling on the government to take immediate steps to support charities because failing to do so will have long-lasting consequences,” said Julian Knight, its Conservative chairman.
“If nothing is done, some will be insolvent within weeks and even large charities will be unable to help the vulnerable and those most in need of their services at this desperate time.”
The lockdown has forced the cancellation or postponement of crucial fundraising events – including the London marathon – and the closure of thousands of charity shops.
Cancer Research UK has warned the blow to its finances could set back its fight against the disease for many years and imperil its goal for three in four people to survive cancer by 2034.
Some of its clinical and scientific staff and researchers have transferred to coronavirus-fighting work in the NHS.
1/29
A man walks down a deserted Camden High Street
Photos Angela Christofilou
2/29
Goodge Street Station is one of the many stations closed to help reduce the spread
Angela Christofilou
3/29
An empty street in the heart of Chinatown
Angela Christofilou
4/29
People in masks in Chinatown a day after the lockdown
Angela Christofilou
5/29
A near-empty Piccadilly Circus during the first week of lockdown
Angela Christofilou
6/29
Sonja, my neighbour, who I photographed while taking a short walk. It was nice to briefly chat even from a distance
Angela Christofilou
7/29
A couple sit on the empty steps of the statue Eros in Piccadilly Circus
Angela Christofilou
8/29
Making sure I stay two-meters apart – D’Arblay Street, Soho
Angela Christofilou
9/29
A mannequin behind a shop window. UK stores have closed until further notice
Angela Christofilou
10/29
A notice displayed on a shop window in Camden
Angela Christofilou
11/29
As part of the lockdown, all non-essential shops have been ordered to close.Image from Camden High Street
Angela Christofilou
12/29
A skateboarder wearing a mask utilises his exercise allowance in the Camden area
Angela Christofilou
13/29
Communities have been coming together in a time of need
Angela Christofilou
14/29
A woman stands alone in a deserted Oxford Street. Up until a few weeks ago, on average, half a million people visited the street per day
Angela Christofilou
15/29
A couple walk hand in hand down a street in Soho, a day before the stricter lockdown was announced
Angela Christofilou
16/29
During the first week of March, shoppers focused on stockpiling necessities ahead of a countrywide lockdown
Angela Christofilou
17/29
Many supermarkers are operating a queuing system to make sure only a limited amount of customers are allowed in at anyone time
Angela Christofilou
18/29
‘Stay Safe’ – Curzon cinemas are temporarily closed under the new measures
Angela Christofilou
19/29
Pubs, restaurants and bars were ordered to shut as part of the lockdown
Angela Christofilou
20/29 Camden High Street
There are fears that coronavirus could lead to permanent closure of struggling shops
Angela Christofilou
21/29
Camden Town is eerily silent on a normal working day
Angela Christofilou
22/29
Shops and supermarkets ran out of hand sanitisers in the first week of the lockdown. As we approach the end of the second week most shops now have started to stock up
Angela Christofilou
23/29
Empty streets around Soho
Angela Christofilou
24/29
A noticeboard on Camden High Street urges the public to stay at home
Angela Christofilou
25/29
Camden High Street, one of London’s busiest tourist streets turns quiet
Angela Christofilou
26/29
Thriller Live confirmed its West End run ended in the wake of the coronavirus outbreak
Angela Christofilou
27/29
Empty and eerie Soho streets after stricter rules on social distancing announced
Angela Christofilou
28/29
A woman pauses for a cigarette on Hanway Street, behind Tottenham Court Road
Angela Christofilou
29/29
A man steps outside onto Hanway Street, that sits behind what is usually a bustling retail hub
Angela Christofilou
1/29
A man walks down a deserted Camden High Street
Photos Angela Christofilou
2/29
Goodge Street Station is one of the many stations closed to help reduce the spread
Angela Christofilou
3/29
An empty street in the heart of Chinatown
Angela Christofilou
4/29
People in masks in Chinatown a day after the lockdown
Angela Christofilou
5/29
A near-empty Piccadilly Circus during the first week of lockdown
Angela Christofilou
6/29
Sonja, my neighbour, who I photographed while taking a short walk. It was nice to briefly chat even from a distance
Angela Christofilou
7/29
A couple sit on the empty steps of the statue Eros in Piccadilly Circus
Angela Christofilou
8/29
Making sure I stay two-meters apart – D’Arblay Street, Soho
Angela Christofilou
9/29
A mannequin behind a shop window. UK stores have closed until further notice
Angela Christofilou
10/29
A notice displayed on a shop window in Camden
Angela Christofilou
11/29
As part of the lockdown, all non-essential shops have been ordered to close.Image from Camden High Street
Angela Christofilou
12/29
A skateboarder wearing a mask utilises his exercise allowance in the Camden area
Angela Christofilou
13/29
Communities have been coming together in a time of need
Angela Christofilou
14/29
A woman stands alone in a deserted Oxford Street. Up until a few weeks ago, on average, half a million people visited the street per day
Angela Christofilou
15/29
A couple walk hand in hand down a street in Soho, a day before the stricter lockdown was announced
Angela Christofilou
16/29
During the first week of March, shoppers focused on stockpiling necessities ahead of a countrywide lockdown
Angela Christofilou
17/29
Many supermarkers are operating a queuing system to make sure only a limited amount of customers are allowed in at anyone time
Angela Christofilou
18/29
‘Stay Safe’ – Curzon cinemas are temporarily closed under the new measures
Angela Christofilou
19/29
Pubs, restaurants and bars were ordered to shut as part of the lockdown
Angela Christofilou
20/29 Camden High Street
There are fears that coronavirus could lead to permanent closure of struggling shops
Angela Christofilou
21/29
Camden Town is eerily silent on a normal working day
Angela Christofilou
22/29
Shops and supermarkets ran out of hand sanitisers in the first week of the lockdown. As we approach the end of the second week most shops now have started to stock up
Angela Christofilou
23/29
Empty streets around Soho
Angela Christofilou
24/29
A noticeboard on Camden High Street urges the public to stay at home
Angela Christofilou
25/29
Camden High Street, one of London’s busiest tourist streets turns quiet
Angela Christofilou
26/29
Thriller Live confirmed its West End run ended in the wake of the coronavirus outbreak
Angela Christofilou
27/29
Empty and eerie Soho streets after stricter rules on social distancing announced
Angela Christofilou
28/29
A woman pauses for a cigarette on Hanway Street, behind Tottenham Court Road
Angela Christofilou
29/29
A man steps outside onto Hanway Street, that sits behind what is usually a bustling retail hub
Angela Christofilou
On 27 March, Mr Gove said: “We will be doing everything we can to support them. And we’ll be saying more about this in the days to come.”
The latest news on Brexit, politics and beyond direct to your inbox
After urging charities to reveal their plight, the committee was told that many are ineligible for the help offered to businesses.
One charity said 104 jobs were at risk of being lost meaning families of sick children would have to cope without support workers.
The MPs called for a four-pronged package:
* A ‘stabilisation fund’ – simply to keep charities, voluntary organisations and social enterprises afloat over the coming months.
* For any staff ‘furloughed’ to be allowed to volunteer their services back to the charity to provide frontline support.
* An exemption for charities to the 50 per cent trading limit under the business interruption loan scheme.
* For charities to be able to claim rate relief under the small business grant scheme.
Asked why the promised help had been held up, Downing Street insisted it “hugely valued” the work that charities were still doing.
“We will be setting out more detail about how we can support them in due course,” a spokesman said.
