An Edinburgh-based social inclusion charity is set to close in December and will make all of its 24 staff redundant over the coming months. 

People Know How, which runs local services and national campaigns to help people overcome social barriers and operates a national digital support helpline, said the closure was due to “drastic changes” in Scotland’s funding landscape, including “devastating funding cuts”.

The charity began winding down on Friday (25 October). It plans to remain open until December but with a gradual reduction in capacity as staff find new positions elsewhere.

The charity’s 24-person team will be made redundant as a result of the closure. 

In a statement, People Know How said it began a 30-day consultation process in September as part of a bid to avoid redundancies and closure, but was unable to save the jobs or the charity.

It said: “Due to the drastic changes across the funding landscape in Scotland, at the end of September, our board and chief executive were faced with a difficult conversation in light of the lack of funding for the current and forthcoming financial years.”

The charity added that over the past few months there have been “devastating funding cuts” across the sector and a “drastic shift in the funding landscape”.

It said: “As a result, we have seen fewer options for long-term funding, with other funders closing entirely and leaving those that remain severely over-subscribed.”

The Scottish government is currently examining its approach to third-sector funding in a bid to respond to calls for longer-term funding, unrestricted core funding and funding to accommodate Real Living Wage staff pay. 

But People Know How said that charities are “left dealing with the reality” and continuing to close.

“The decline of available funds is directly at odds with the increasing need of the communities we support,” it said. “Over the last few months, we have seen attendance to our digital groups and calls on our digital support helpline increase.”

The charity said that while it has funding for some projects, it will not hear back from its biggest funders until the end of the financial year, adding that it “cannot move forward without the certainty that we will be able to support our service users and employ our staff beyond Christmas”.

According to its most recent accounts, available on its website, People Know How recorded a total income of £775,698 and expenditure of £874,033 in the financial year to the end of March 2024. 

Its biggest grant income during the year was £152,958 from the Scottish Council for Voluntary Organisations and Scottish Government’s Connecting Scotland grant programme.

People Know How said it will work to identify opportunities for those using its services to receive support from other organisations. 

It said: “Consideration is being made on how we close in the best way possible to value all the work and achievements since 2013. 

“We are proud of what we have achieved over the last 11 years, supporting communities to improve wellbeing across Scotland.”