George Osborne, the Chancellor of the Exchequer, has announced a £100m Transition Fund for the voluntary sector as part of the government’s comprehensive spending review.
In his speech to the House of Commons, Osborne said the government would provide £100m to help voluntary and community organisations facing "real hardship".
A spokesman for the Office for Civil Society, which will deliver the fund with a yet-to-be-announced national delivery partner, confirmed it would be worth £10m in 2010/11 and £90m in 2011/12.
He said it was likely to be targeted at medium and large organisations that would be able to play a greater role in delivering public services in future, and was designed to give them "breathing space" to prepare for a bigger role in public service delivery.
It will be available only to organisations based in England.
The spending review document, published this afternoon, says the fund will support "those organisations delivering front-line services that stand to be affected in the short term by reductions in spending, and are able to demonstrate that the financial impact will affect their ability to deliver services".
Organisations interested in receiving more information about the fund can email email@example.com. The OCS spokesman said the applications process would open "as soon as possible".