Nearly half of all councils are already making 'disproportionate cuts' to charities according to a report issued by the National Council for Voluntary Organisations (NCVO) showing the sector stands to lose £2.8bn funding over the spending review period.

Based on detailed analysis of projections issued by independent government forecaster the Office for Budget Responsibility (OBR), the report, 'Counting the cuts', states the UK charity sector will lose around £911m a year in public funding by 2015/16.