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Coronavirus: Almost half of children's charities in London 'risk closure'

Children receive support at a charity in London: The Childhood Trust
Children receive support at a charity in London: The Childhood Trust

Almost half of charities supporting vulnerable children in London will be forced to close within six months due to a collapse in income caused by the coronavirus crisis, unless they get additional support from the state, according to a new survey.

The Childhood Trust warned that almost a quarter of small children’s charities in the capital expect to lose more than £100,000 in funding, with more than four-tenths (42 per cent) expecting to lose £50,000.

The trust said the financial crisis was hitting at a time when vulnerable and disadvantaged children in London are under increased pressure, with large majorities of charities questioned saying children will go hungry (85 per cent), be neglected (79 per cent) or be at risk of abuse and exploitation (57 per cent) during the outbreak.

Cabinet minister Michael Gove said on Friday that the government was preparing a package of financial support for charities, but no details have yet been released.

The National Council for Voluntary Organisations estimates the charitable sector is set to lose at least £4.3 billion in income over the next 12 weeks.

Among the 65 charities surveyed, collectively supporting 184,000 children and young people, some 40 per cent said they will be forced to close within six months if they cannot find an alternative source of funding to replace the income streams lost due to Covid-19.

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The charities said vulnerable children in London - Britain’s worst-hit city in the pandemic - are more likely to go hungry during the outbreak due to the loss of free school meals, a shortage of staple foods like rice, pasta and tinned produce, as well as the loss of parental earnings.

Some 66 per cent of charities said they were unprepared for the expected influx of children and 79 per cent said they would not have the funds needed to provide the support they need, such as healthy meals and snacks, recreational activities, mental health support, educational activities and mentoring.

Children’s Trust CEO Laurence Guinness said: “The stark comparison between the funding decline in charities and vast increase in children who are going to need support is hugely worrying.

“Evidence from our network of over 200 funded charities highlights that the impact of this crisis is being disproportionately experienced by children whose lives are already challenged by poverty and its attendant hardships. For many of these children, the crisis is exacerbating chronic anxiety, stress, inadequate diets, domestic violence, loss of peer support and rapid mental health deterioration.”

Some 93 per cent of the charities said they anticipated difficulties raising the funds needed to continue on their current path, and 89% of expressed an urgent need for emergency funding and other financial support from the state. A slump in donations from the public was expected by 57 per cent and a fall in gifts from companies by 54 per cent.

One community worker in Lambeth told the Childhood Trust: “I’m worried about many of the children we’re supporting. I can feel the anxiety of the parents and I’m already hearing that’s it all kicking off as struggling parents reach breaking point and lash out at each other and their kids.”

Mr Guinness said: “After a decade of austerity and cuts to services for children the support that small, grassroots charities provide for children throughout London is more important than ever .

“The economic impact of Covid-19 is an existential threat to many charities’ ability to provide support once this crisis subsides. We need the Government to step in and provide specific charitable support immediately.”