The Pharmaceutical Journal
Vol 270 No 7240 p382
15 March 2003

Society summary

Changes to branch funding explained

The Royal Pharmaceutical Society is piloting a new system of funding branch activities, in which a core grant is combined with the opportunity to bid for extra funds. Applications for extra funding are open to any branch with less than £1,000 in their accounts, and are due by 25 April. This article, from the Society's membership section, explains the changes and gives some ideas for making use of extra funding

Why has the Council decided to change the funding system? A varied combination of factors has prompted the change. The "old" system did not allow active branches to apply for extra funds and engage in more activities. There was no flexibility. Conversely, less active branches were, over a number of years, able to accumulate substantial funds that have just sat in accounts. In June last year over £200,000 was held in branch accounts — even before payment of the grants for the year (£190,000 in total). It was therefore difficult to make a case for more funding, especially against a backdrop of all Society budget holders being asked to make savings. The membership team was asked to save £25,000 on grants, which left a budget of £165,000 for direct branch payments. Good governance principles within the profession mean that we have to be accountable for the distribution of our resources, and that we make best use of them.

What about sponsorship money? Some branches have unused sponsorship money, but this money was given to the branch to be used for Society members, and we need to mobilise it. Although some branch officers feel it is prudent to hold funds on account, it is not ideal to hold them in this way year after year in branch accounts. From our discussions with branch officers, we believe that asking for money back is not a constructive option because it would close off the possibility of branches mobilising their funds to best effect for the benefit of their members.

So how does the new system work? Under the new system, all branches are eligible for a core grant, which will be worked out on a capitation basis following a formula that recognises the need to award relatively higher sums per head to branches with fewer members (see Panel).

Branches with less than £1,000 in reserve will also be invited to apply for extra funding to cover specific further activities. No maximum has been set, but the funds are offered in multiples of £250 and £500. Multiple bids for these amounts may be made. In addition, the Society will continue to fund the expenses of two speakers attending branch meetings who are chosen from the speakers' booklet, which has been updated for 2003.

What are the criteria for applications? The following criteria will be valued in the bids that we receive. We would like to help and encourage branches to:

• Support continuing professional development

• Plan priority topics for national and local issues

• Have joint activity with other branches — perhaps less frequent, larger meetings

• Have multidisciplinary activity

• Encourage attendance by preregistration trainees and their tutors

• Encourage new attenders, to extend branches' reach to local pharmacists

• Offer a forum for mediated discussion or debate

Is it all about meetings? No, we have included space on the application form for branches to suggest other activities that might reach members who do not attend meetings. Funding for strategic mailings, facilitating a visit to a pharmacy by the local member of Parliament or professional executive committee chairman, or taking part in wider health-related activities such as Ask About Medicines Week in October 2003 (PJ, 26 October 2002, p598) are examples of innovative use of funds.

How much detail do you need to specify? Branch officers have expressed concern about the amount of detail that might be necessary to include on the application form, especially as we are asking them to create a programme earlier than they would do normally. An application form has been devised to help branches structure their applications and to ensure consistency of information given. We want to encourage reflection on what branches hope to achieve for their members in the way the programme is constructed, but we believe that a well thought-out sentence or two for each meeting or item would be adequate for this purpose. Not all meetings and/or speakers have to be specified, but the branch should have ideas about most of its proposed programme and how it meets the criteria. Applications will be assessed against these criteria. We will request meeting reports at the end of the year, but we recognise that some subjects might have to change at short notice due to circumstances beyond branches' control.

How will you decide which bids are to be funded? We plan that the membership team, with the support of a Council member, will review the applications and use the criteria above to prioritise funding. It is hoped that we will be able to fund all high quality applications.

What is the timetable for this process? In January, branches were sent a letter explaining how the system will work. In February, they were notified of their core grant allocation. Secretaries will shortly receive instructions and forms for applying for extra funding. Applications for extra funds will be required by 25 April. Application for the core grant will be requested in June. Core grant allocations and extra funds will be paid in July.

Is this true that funds will be available to support first-time attendance at the British Pharmaceutical Conference? Yes. The Society is inviting applications for grants of up to £250 to send a first-time attender to BPC 2003. A specific application form for this is in the pack being sent to branch secretaries.

Will there be winners and losers under the new system? We are confident that there will be winners. Some branches will have access to more funding under the new system than they would have done previously, and this funding will be linked to quality programmes and collaborative working. We do not think that losers are inevitable, and those branches that have accrued money over the past few years should find their reserves sufficient to run their programme for 2003.

What about regions? It is inevitable that regional funding will also be reviewed over the next couple of years with flexibility and quality in mind. But for the moment their funding remains the same. Some regions have already expressed disappointment that they are not able to apply for extra funding. We hope to extend these opportunities if we get a positive review of the system by branch secretaries at their meeting later this year.

What would you say to the volunteers who run these local networks about the implications of these changes? The changes have been introduced to ensure good corporate governance and to meet the requirements of the budget. However, we believe that this change in funding, offering more flexibility, creates an opportunity to reinvigorate local networks. We hope that branch officers, whose goodwill we depend upon to maintain local outreach to members, will continue to feel positive about our commitment to them. The modernisation process will touch every part of our organisation, and we look forward to working hard with branches and regions to meet these challenges.