UK’s largest community funder says devolution must not stop at institutions, and urges government to empower communities in moment of national renewal

David Knott, Chief Executive of The National Lottery Community Fund, has made a direct call to government, funders and public servants, to use this time of national renewal to go beyond just funding and give communities the power to deliver what matters to them.

At a keynote speech, 'Will devolution stop at institutions?' which brought together policymakers, third-sector leaders and funders at a Westminster community centre, David argued that "renewal will not come about by Whitehall, or any funding body, just swooping down, providing funding, and thinking job done." He also set out the future funding approach of The National Lottery Community Fund to meet the challenges.

Give communities far greater power, agency and trust

David Knott said: "National renewal will come by giving communities of all stripes and intentions, who have the knowledge and sense of direction, far greater power and agency over the decisions, services and investment shaping their lives. And by trusting them, a whole lot more."

He cited examples of National Lottery Community Fund backed programmes such as Live Well in Greater Manchester, support that is fundamentally built around people and relationships, not only around services.

Communities are fragile but not broken

David Knott continued: "Our communities are far from broken: anything but. But - we have mistaken their resilience as an inexhaustible capacity to endure. That cannot be the settlement for the next phase. Especially since they have been showing us, all the while, how the renewal we all need works.

"Despite pressure after pressure, people have kept doors open, looked after families, held neighbourhoods together, and found the answers big institutions missed.

"So the country keeps relying on the strength of communities while giving them too little power over the conditions making that strength necessary."

Call to government, funders and public servants to address community frustration

David Knott welcomed the government’s focus on devolution, but set out a simple test for reform: will power reach communities themselves? He said: "Power can move from Whitehall to a townhall, a boardroom, or a new public body… And still leave communities out. Trusted to hold things together outside, but not trusted enough to be welcomed in. That is one of the reasons so many people feel frustrated."

In a direct call to government David Knott said: "We welcome the instinct to move power away from Westminster. But make sure that decision-making and planning power travels well beyond institutions and reaches directly into neighbourhoods, networks and civil society."

He added: "Be more trusting. Which means involving communities before priorities are set. Before budgets are decided. Before policies harden. Before a programme, target or service has defined the problem on their behalf."

Funding capability not just activity

Outlining a way forward for The National Lottery Community Fund to take a bigger role in supporting national renewal, David Knott said this will build on their current strategy 'It Starts with Community' to ensure 'It Stays with Community,' funding 'capability and not just activity.' He said: "We will provide long-term support for community capability; to convene, shape and influence work with public bodies, local government, business, philanthropy, universities and civil society, so the full assets of communities and places can be brought to bear."

Urgent and longer-term needs

Turning to the need to go beyond short-term funding, he said:

"We have proudly and gladly supported urgent need through repeated crises. That was right. A family in crisis cannot wait for a ten-year strategy. But 999-style emergency relief cannot become the whole operating model.

"We will continue to meet urgent need, yes, but we will work much harder to give the communities the agency, trust and power to shape what comes next."

Evidence and practice

In his speech David also welcomed the recent launch of a Call for Evidence by the Department for Culture, Media and Sport (DCMS) on the future of National Lottery 'Good Causes' funding.

He said: "When it comes to serious reform, we’re all in. We want to answer it and we’re ready to. For 3 decades The National Lottery Community Fund has put more than £18 billion into communities. Our teams work in every postcode in the UK. We get an idea from a community every 3 minutes, and fund one every 8. So, we come to this moment, and to any question around giving communities more power, with decades of evidence and practice."

To read David Knott’s full speech visit: Transcript of David Knott’s keynote speech - will devolution stop at institutions?

Today's speech follows The National Lottery Community Fund's recent report Communities Making The Difference, which outlined how National Lottery-backed community projects helped 7 million people as communities face rising pressures, with more than half of grants in 2024/25 going to the UK's most deprived communities, to tackle inequalities and reach those most in need.