The Community Fund's regional offices are to lose their grant-making role in a restructure announced by the Big Lottery Fund last week.
The new fund will establish two operational centres in the north of England and the Midlands, which will take on the grant assessment and management process.
The fund will maintain offices in each of the nine English regions but their work will be "refocused to give priority to networking, regional policy, external relations, partnership working and outreach and development".
The fund said in a statement: "This may, in some cases, be supplemented by some grant making."
Some staff from the regional offices will be transferred to the two operational centres, whose location has not yet been decided. But the fund says it won't be reducing overall staffing levels.
Chief executive Stephen Dunmore said: "The new structures will help us take account of national, regional and local priorities."