400 jobs at risk as Swann presses PM on Northern Ireland funding crisis

South Antrim MP Robin Swann outside Parliament

A looming funding crisis threatening vital community services across Northern Ireland has prompted South Antrim MP Robin Swann to challenge the Prime Minister to intervene directly.

In a letter sent to 10 Downing Street, Mr Swann warned that thousands of vulnerable people could lose critical support unless changes are made to the UK Government’s new Local Growth Fund, which will replace the UK Shared Prosperity Fund.

The MP said the current structure of the replacement scheme risks creating a “funding cliff-edge” that could leave 11,000 vulnerable people without support and put around 400 jobs at risk across the community and voluntary sector.

Warning over support for vulnerable people

Mr Swann first raised the issue during Prime Minister’s Questions in January, pressing the Government for assurances that the transition between funding schemes would not disrupt services.

While he welcomed the Prime Minister’s agreement to facilitate discussions with ministers and sector leaders, the South Antrim MP said the situation on the ground remains critical.

He has now written directly to the Prime Minister urging him to intervene personally.

Mr Swann said:

“The Prime Minister has privately told his Cabinet that he wants to move past a ‘laissez-faire’ approach to the devolved nations. If that is true, he must now use that authority to save the essential services that our most vulnerable citizens rely on.

“Currently, the Local Growth Fund is weighted heavily toward capital projects, but these organisations cannot support a person in a mental health crisis or help someone back into work with a new building alone. They need the skilled staff and the revenue to keep the lights on.

“I am calling on the Prime Minister to ensure this fund is flexible enough to meet the actual needs of Northern Ireland.”

Concerns over funding structure

In his letter, Mr Swann argued the proposed funding model is “not fit for purpose” for Northern Ireland’s community sector.

The Local Growth Fund is currently expected to operate on a 70:30 split between capital and revenue spending, meaning most funding would go toward physical infrastructure rather than the staff and services run by charities and voluntary organisations.

Mr Swann said this risks undermining programmes designed to support people facing economic inactivity and mental health challenges, as organisations rely heavily on revenue funding to pay skilled staff delivering those services.

Call for direct intervention

Referencing reports that the Prime Minister has urged Cabinet ministers to take a more proactive and “less deferential” approach to spending decisions in devolved nations, Mr Swann said the Local Growth Fund provides an opportunity to demonstrate that commitment.

In his letter, he wrote:

“If the UK Government is indeed prepared to move past an ‘overly deferential’ approach to ensure delivery, then the Local Growth Fund is an important place to start.”

He urged the Prime Minister to ensure the funding model is flexible enough to protect services relied upon by thousands across Northern Ireland.

“If your government is committed to direct delivery in Northern Ireland, it must be delivery that actually meets the needs of our people rather than sticking to a rigid formula that risks pulling the rug out from under the most vulnerable.”

The Prime Minister has yet to publicly respond to the letter.

At a glance

• South Antrim MP Robin Swann has written to the Prime Minister over a potential funding crisis.

• The issue relates to the transition from the UK Shared Prosperity Fund to the new Local Growth Fund.

• Mr Swann warns 11,000 vulnerable people rely on programmes funded through the current scheme.

• Around 400 jobs in the community and voluntary sector could be at risk.

• Concerns centre on a 70:30 capital-to-revenue funding split, which prioritises buildings over staff and services.

• Mr Swann argues charities need revenue funding to support people facing mental health challenges and economic inactivity.

• He has urged the Prime Minister to personally intervene to ensure the fund is flexible enough for Northern Ireland.

• The Government has not yet issued a public response.