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Top auditor warns on third sector spending |
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The MP expenses scandal means third sector organisations will have to work harder to prove that they are not wasting public money, warns an expert from the Audit Commission.
David Walker, managing director of communications and public reporting at the Audit Commission, told a Westminster Legal Policy Forum event last week: 'There is no question that one of the outcomes of the expenses scandal of the House of Commons is more scrutiny on the use of public money and that perspective will necessarily attach itself to money going to the third sector.'
Walker said many third sector organisations were not doing a good job when it came to reporting their impact. He added: 'The sentimental belief that you are doing good is not enough - there needs to be a huge amount of hard data.'
When challenged by a member of the audience as to why the spotlight would fall on the third sector when 'so much money was wasted by central government', Walker responded: 'Rhetoric like that is fine but it's backward looking. You won't need to convince what may be Conservative ministers that central government has wasted money - they will agree with you. But when it comes to what you're achieving, assertion will only take you so far - you will need evidence.'
Nick Hurd, shadow minister for charities, social enterprises and volunteering, said it was his belief that the third sector would not only receive extra scrutiny from the government but that such scrutiny would come from private investors too.
'I don't think it will be just public money that is more demanding in terms of accountability and proving impact, I think philanthropic and private money will be more demanding too,' said Hurd.
From: www.socialenterprisemag.co.uk
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