Salvation Army Fights £10m Shortfall in Budget

The Salvation Army have recorded a serious decline in membership over recent years, and the news of a deficit in the Salvation Army’s annual financial budget was revealed in a letter from the Chief Secretary, Lieutenant-Colonel Vic Poke to staff.

It has been reported by the Times newspaper that the Salvation Army encountered a £9.6 million shortfall of the £185 million it has budgeted for the coming year. The Chief Secretary stated in his letter that operations in Britain have been funded from reserves for the last two years, therefore the £10 million worth of savings should be secured in order to keep a balanced financial statement by 2006.

The Salvation Army welcomes the statistics that show that donations have increased by 135 percent over the past five years despite the drastic fall in membership. Unfortunately, at the same time, administrative costs have increased even more and the legacy income has fallen, putting the Army into a “difficult period”.

In fighting with financial difficulties, the Salvation Army has kept faith and appealed for financial help from the general public over the years so that it can continue to put its beliefs into action with sufficient funds.

Last Saturday, the Army launched its “Belief in Action” door-to-door annual fundraising appeal. Around 20,000 volunteer collectors are taking part in the appeal this year. From previous experience, the annual appeal remains the most cost-effective programme to run, raising £13 for every pound spent.

Waiting for the fruit of the appeal, some other ways to increase the fund were also suggested. The Army is considering selling off empty houses meant for staff accommodation. All social care centres and the headquarters at Elephant and Castle in southeast London will remain sacrosanct but redundancies are possible as a last resort.

With its long standing 139 years of history, the UK-based Salvation Army, has been one of the largest social service providers in the world. It was founded by William Booth. Currently, it runs residential centres for homeless people, elderly care homes, family centres, substance misuse centres and a family tracing service throughout Britain.

The annual appeal will run from 18th September to 3rd October. For those who are interested in becoming a door-to-door volunteer, please call on 020 7367 4816.