Charities and local authorities will be studying closely the outcome of a judicial review in which Haringey council in north London has been upbraided for the way it cut grant aid to two voluntary groups. The ruling could have widespread repercussions.
The review was sought by Age Concern Haringey and the Haringey Consortium of Disabled People and Carers, after the council moved to cut funding for the current financial year. Age Concern's grant was reduced by £14,900 and the consortium's by £33,000.
The groups said they had been given only 48 hours' notice of the proposals, approved by council policymakers last December 22; that it had been difficult to obtain full details over the Christmas period; and that their appeals had been heard in the presence of a councillor primarily responsible for the cuts.
Mr Justice Scott-Baker ruled that while Haringey had not acted unlawfully, it had failed to give due consideration to the two groups. In similar circumstances in future, grant recipients should be given written prior notice of cuts; they should have reasonable opportunity to make representations to the council; and that any such representations must be considered before a final decision is reached.
Haringey has undertaken that any future appeals by voluntary groups against funding cuts will be heard by people "independent of the body which decided upon them". It says: "To this end, the council will have to identify designated members to deal with any appeals from voluntary organisations and these members will not be involved in the earlier decision to reduce grant aid."
George Peacock, who chairs Age Concern Haringey, says the outcome has vindicated the stance taken by the two groups. Although the council had faced pressing financial difficulties, its duty to consult with older and disabled people should have been paramount.
In a statement, Haringey said: "The council very much regrets that it had to implement cuts from the funding for these organisations, a situation that was dictated by financial necessity. We recognise the enormously valuable work that these two organisations carry out in and for the local community, and we hope that there will be no lasting detriment to our relationship with them."
