One in six charities in Ireland fears it will have to close in the next 12 months because of financial pressures, according to a survey conducted by umbrella body The Wheel.
The poll of 205 community, voluntary and charitable organisations conducted over the past six months shows that more than half have already suspended or delayed projects because of a lack of funding.
According to The Wheel, which represents 890 community, voluntary and charitable organisations based in Ireland, 68 per cent of charities have had their statutory funding cut in the past year.
Sixty-two per cent of community, voluntary and charitable organisations will have to cease operations if government funding is discontinued under the 2011 budget, which will be announced in December, the survey shows.
More than half of the organisations surveyed rely on government funding for 50 per cent or more of their income.
The survey results were presented yesterday at The Wheel's annual conference in Dublin.
Deirdre Garvey, chief executive of The Wheel, said: "The reduction in social welfare funding and rising unemployment have led to a surge in demand for support from charities, and further cuts will result in a collapse of services for the most vulnerable people in our society."