Office of the Third Sector Homepage
Last updated: 23 November 2008
Futurebuilders is a programme set up to assist front-line third sector organisations to build their capacity to increase the scale and scope of their public service delivery.
Government responsibility for Futurebuilders lies within Office of the Third Sector with Phil Hope, Minister for the Third Sector, as lead minister. At the heart of the Futurebuilders programme is the £125 million Futurebuilders (England) Fund which is currently run by Futurebuilders England Ltd. An additional £25 million funding is available in 2007/08 to be invested in the third sector, bringing the Fund to a total of £150 million.
Details on Futurebuilders England Limited, the latest updates on successful applicants, as well as information about the application process can be obtained from the Futurebuilders website [External website].
This fund offers a unique opportunity to strengthen the voluntary and community sector's role in public service delivery through investing in a minimum of 225 exemplar schemes that will demonstrate the distinctive approach and added value that the sector can contribute to improving public services. Emphasis is put on loan finance, evaluation and knowledge management and sharing, with the ultimate test being on improving outcomes for users.
The Government's aims for Futurebuilders programme are to:
The wider aspirations for the fund are for it to begin to create a step-change in voluntary and community sector service delivery; lead to greater self-sustainability for organisations; and provide a longer term source of investment finance for service delivery for the sector. Above all, the investments it makes must lead to better services for users.
The first phase of the Fund focussed on 5 areas of service delivery:
From 1 April 2008 onwards, Futurebuilders is able to invest in organisations operating in any public service sector.
The Spending Review (HMT 2002) included the announcement of the £125 million Futurebuilders England Fund.
A consortium led by Charity Bank , including the National Council for Voluntary Organisations (NCVO), the Northern Rock Foundation and Unity Trust Bank, won the contract to run the Futurebuilders (England) Fund in December 2003.
The consortium formed Futurebuilders England Limited to manage the fund. Futurebuilders England Limited was incorporated as a company limited by guarantee on 8 March 2004. It is not a registered charity but has not-for-profit objectives, although its members comprise profit and non-profit organisations.
Futurebuilders England Limited was launched on the 5 May 2004 and became operational on 5 July 2004.
The current agreement with Futurebuilders England to run the Futurebuilders programme expired on 31 March 2008.
The Government has allocated an additional £65 million to phase two of the Futurebuilders programme on top of the £150 million already available for investment in the third sector. The first phase focused on developing services in five key areas, children and young people, community cohesion, crime, health and education. From 1 April the second phase will open up the fund to third sector organisations delivering any public service.
The Cabinet Office ran a commercial retender exercise using the competitive dialogue process to find a new fund manager to run phase two of the Futurebuilders Fund from 1 April 2008. The tender sought a Fund manager who, in accordance with the Fund’s aims and objectives, would:
The Adventure Capital Fund won the retender and will deliver the Futurebuilders Programme from 1 April 2008 to 31 March 2011.Current investees and third sector organisations that have applications in the pipeline will not be affected.