London Daily

Focus on the big picture.
Friday, Mar 06, 2026

Scotland's charity sector hit by dramatic hike in energy costs

Scotland's charity sector hit by dramatic hike in energy costs

A community trust in Glasgow is having to choose between paying energy bills and paying staff, its manager said.

Dramatic increases in the price of electricity have blown apart the budgets at Govanhill Baths Community Trust.

Trust Manager Fatima Uygun said price increases meant it now cost the same to provide power to some areas as it did to pay for a staff member.

Without help, she fears the charity will be forced to make more cuts.

The community trust provides a range of mental health support as well as food and other services to people who need them.

Like every household, it is affected by recent soaring energy costs.

Ms Uygan told BBC Radio Scotland's Sunday Show: "Almost overnight, it has dramatically affected our work."

"Our budgets are usually set at the start of the financial year and very quickly we have had to adjust to prioritising our energy bills over delivering services, sometimes quite vital services around mental health which has come as a bit of a shock to us."

Like many charities in the same position, the trust has been forced to make urgent adjustments.

Fruit and veg cutbacks


Ms Uygun said: "In one venue our prices went up by 50% overnight because our energy provider went bankrupt. We were put on a different provider and where we had been paying £200 a month it went to £400 a month.

"That is the equivalent to someone doing sessional work or part-time work to deliver mental health services."

Having to pay more in bills means the trust has had to cut back on fresh fruit and vegetables for its People's Pantry food bank.

Mrs Uygun said the trust has had to cut back on fresh fruit and vegetables for its food bank


Last week, British Gas owner Centrica warned that high energy bills could affect household bills for the next two years.

Chief executive Chris O'Shea said there was "no reason" to expect gas prices would come down "any time soon".

Households and businesses are not the only ones feeling the pinch. Charities and volunteer groups are also struggling.

Those working out of old buildings which are not energy efficient are finding that heating them with increased prices puts a dent in the running costs.

And volunteer and community services are already stretched due to Covid.

Significant impact


The Scottish Council for Voluntary Organisations told BBC Scotland that rising costs were already having a significant impact on the services its members could provide.

It is likely to mean an increase in demand for things like money advice services and mental health support.

Ms Uygun said: "We'll have to make cuts if things don't change and that usually affects projects which are already a bit under-funded and are difficult to find funding for.

"So mental health support groups such as the local knitting club, or the lunch club, or cutting back on the variety of fresh fruit and vegetables for the People's Pantry, people will notice the difference unfortunately."

Mental health support groups such as the local knitting club are likely to be affected, Mrs Uygun said


So far, Govanhill Baths Trust has had no support from the local council or the Scottish government.

The charity feels it is something which will have to be addressed at a government level.

"The idea that energy companies are out of the goodness of their heart will cut profit - which is where this is all going - is not going to happen, Ms Uygun said.

"We are hoping the voluntary sector is putting enough pressure on the Scottish government to at least offer a price freeze or a reduction through some kind of exemption or subsidy.

"Without it, organisations like us at the coal face who provide these services are going to have to make difficult decisions and that is going to mean quite a lot more people are going to fall through the cracks."

'Limited options'


Kirsten Hogg, Head of Policy at the SCVO said: "It can be difficult for organisations to secure funding to cover overhead costs. Funding is often available for the direct costs of providing a project, but not the core costs of running the organisation, which could include heating and lighting of buildings.

"And it is common for voluntary sector contracts and grants not to be uplifted for inflation. We are aware of organisations that have received the same amount of money for up to six years, and have been expected to deliver the same service with no increase to cover rising costs.

"A dramatic increase in costs, such as we are currently seeing in relation to energy prices, is therefore unlikely to be covered by existing funders and will have a significant impact."

A Scottish government spokesperson said: "The third sector is a valued partner and we recognise the impact of rising fuel costs on our charities and voluntary organisations.

"Pricing in the gas and electricity markets is reserved, meaning the Scottish government's options to mitigate these costs are limited. Ministers have written to the UK government to call for urgent action to tackle rising energy costs."

Newsletter

Related Articles

0:00
0:00
Close
Starmer Defends UK Role in Iran Conflict After Renewed Criticism from President Trump
Blue Owl Reveals £36 Million Exposure After Collapse of UK Lender Serving Wealthy Clients
UK Asylum Reform Plan Triggers Fierce Debate Over Border Control and Humanitarian Impact
US Stealth Bombers Head to UK Base as Trump Issues Stark Warning to Iran
UK Deputy Prime Minister Says Legal Case Could Exist for British Strikes on Iranian Missile Sites
Investigators Link Mysterious Parcel Fires Across Europe to Russian Intelligence Operation
Debate Intensifies Over Britain’s Legal Justification for US Military Operations Launched From UK Bases
Britain Faces Heightened Energy Price Risks as Iran-Linked Tensions Threaten Global Oil and Gas Supplies
British Counter-Terror Police Arrest Four Suspected of Spying on Jewish Community for Iran
Axel Springer Agrees $770 Million Deal to Acquire Britain’s Daily Telegraph
Iceland Supermarket Drops Trademark Challenge Against Icelandic Government in Long-Running Naming Dispute
UK Defence Secretary Visits Cyprus Following Scrutiny of Britain’s Response to Drone Attacks
Questions Grow Over Britain’s Military Readiness as Response to Iran Conflict Draws Scrutiny
UK Offers Failed Asylum Seeker Families Up to Forty Thousand Pounds to Leave Voluntarily
Saharan Dust Could Bring ‘Blood Rain’ to Parts of the UK as Weather Systems Shift
UK Deploys Additional Typhoon Fighter Jets to Qatar and Helicopters to Cyprus Amid Rising Middle East Tensions
Experts Urge Britain to Accelerate Renewable Energy Push as Global Conflicts Drive Up Costs
British Public Shows Strong Reluctance to Join Wider War in Iran
First UK Evacuation Flight Departs Middle East After Lengthy Delay
United Kingdom Imposes New Visa Requirements on Travelers from St. Lucia and Nicaragua
Iran Conflict Strains U.S.–U.K. Alliance as Trump and Starmer Clash Over Military Strategy
UK Interest Rates Could Rise Above Four Percent Again if Energy Shock Continues, Think Tank Warns
Starmer Defends Britain’s Iran Strategy as Badenoch Urges Stronger Military Support
Labour MP Says She Saw No Sign Husband Broke Law After Arrest in China Espionage Investigation
UK Jobless Rate Overtakes Italy’s for First Time in Years as Labour Market Weakens
United Kingdom Suspends Student Visas for Four Countries in Unprecedented Immigration Move
Campaigners Warn UK Student Visa Ban Could Push Migrants Toward Dangerous Channel Crossings
First U.K. Charter Flight for Stranded Nationals Set to Depart Oman Amid Middle East Crisis
France and United Kingdom Deploy Warships to Eastern Mediterranean as Middle East Conflict Escalates
U.K. Arrests Three Men Including Lawmaker’s Partner in Suspected China Espionage Investigation
Trump Says UK–US ‘Special Relationship’ Is Diminished Amid Middle East Dispute
UK Economic Forecasts Face Fresh Strain from Middle East Conflict and Rising Energy Costs
UK Reaffirms Close US Ties After Trump’s Public Criticism
Reeves Stresses Stability and Fiscal Discipline in UK Budget Update as Growth Outlook Shifts
UK Deploys Royal Navy Destroyer HMS Dragon to Cyprus After Drone Strike on RAF Base
Green Party Surges Past Labour in New UK Poll as Traditional Party Support Crumbles
Majority of Britons Oppose U.S. Use of UK Military Bases in Iran Conflict
UK Intensifies Evacuation Efforts from Oman, Working with Airlines to Boost Flight Capacity
Trump Condemns UK and Spain in Unusually Sharp Rift Over Iran Military Action
Trump Repeats UK Claims That Diverge from Verified Facts Amid Diplomatic Strain
UK Arrests Prominent Figures Linked to Epstein Network as Questions Mount Over US Action
Trump Says UK ‘Took Far Too Long’ to Approve Use of Airbases for Iran Strikes
Scope of Britain’s Role in the Expanding Middle East Conflict Comes Under Scrutiny
Trump Says He Is ‘Very Disappointed’ in Starmer Over Iran Comments
U.S. Embassy in Riyadh Struck by Drones Amid Escalating Iran Conflict
Starmer Confronts Strategic Test After Drone Strike Near British Base in Cyprus
Rolls-Royce Chief Signals Openness to Germany Joining UK-Led Fighter Jet Programme
UK Stocks Slip as Escalating Iran Conflict Triggers Global Market Selloff
UK Overhauls Asylum System to Make Refugee Status Temporary
Starmer Warns of ‘Reckless’ Iranian Strikes Amid Escalating Regional Tensions
×