The Northern Rock Foundation, which has supported hundreds of local good causes over the years, is to fold.
Discussions between Northern Rock Foundation and Virgin Money on the future relationship between the two organisations have now ended.
The Foundation hoped to agree with Virgin Money a viable long term solution to secure the Foundation’s future. Following wide ranging discussions it is now confirmed that Virgin Money cannot commit funding to ensure this, and will not continue the previous funding agreement.
Ideas for partnership working were also discussed and a limited number were eventually selected by Virgin Money, to be jointly funded, but none of the proposals included any funding for the Foundation itself.
After careful consideration the Foundation’s trustees felt these ideas either duplicated the work of others or weren’t aimed at priority areas of need.
The Foundation’s closure is now inevitable as it receives no income from any other source. The current grant programmes are already due to close at the end of 2014 and trustees will make further announcements later this year about the use of the remaining funds.
Alastair Balls, chairman of the Foundation said: “It is very disappointing after such extensive discussions to have to accept that Virgin Money will not commit to fund the Foundation in future. Trustees are keen to ensure that our remaining funds are used to achieve significant benefit in the North East and Cumbria and we will announce our plans later this year.”