Income at the charity chief executives body Acevo has fallen by more than a quarter in the past year, its latest accounts show.
The accounts for the year to 31 March 2016, which have been published on Acevo’s website, show total income fell to £1.3m from almost £1.8m the previous year.
Expenditure also fell from more than £1.8m in 2014/15 to almost £1.5m, the accounts reveal.
The accounts, which have not yet been sent to the Charity Commission or Companies House, also show that Acevo’s total net assets fell from £485,593 to £294,792 in 2015/16.
The majority of the reduction in income is due to a more than 50 per cent fall in income from trading activities from £739,174 in 2014/15 to £296,895 last year, the accounts show.
This includes trading income from business activities falling from £368,682 to £124,048, and sponsorship income dropping from £253,420 to £107,382 last year.
Paul Farmer, chair of Acevo, said in his introduction to the report: "These have been difficult times for the sector, and Acevo has been challenged too, but our mission has never been more crucial.
"It has never been more difficult to be a sector leader – and Acevo is a point of constant contact, support and encouragement. Our three-year strategy Leading the Charge makes real key commitments to engage ever more locally, democratically, innovatively and accountably and this will be our task in 2016/17.
"2015/16 was a year of transition but I am confident that we will come to view it as a year of key investment and evolution, where a new and exciting identity or the UK’s leading network for charity and social enterprise leaders began to be formed."
Acevo said earlier this week that Vicky Browning, director of the charity communications network CharityComms, would take over as chief executive at the end of January.
Acevo to represent academy head teachers
Acevo has also announced it has set up a partnership with London Leadership Strategy, a school improvement body, that works with school academy heads representing more than 50 schools across England and Wales.
As part of the agreement, Acevo said it would help deliver "peer-driven mutual learning" between charity leaders and academy heads, and would help cover areas such as good governance, impact measurement and how to make partnerships work.