Children's Campaigner To Step Down Over Funding

A high profile children's campaigner is to step down from her position at a government-supported charity after a funding crisis.

Camila Batmanghelidjh, who regularly appears on TV and has met the Prime Minister, is to assume an advocacy and clinical role after stepping down as CEO of Kids Company, the group she set up in 1996.

It comes after the charity admitted it is going through a period of "unprecedented financial strain".

The Government is reportedly withholding a £3m until a new structure is in place.

About £4m of its £20m income was provided last year by the Government, according to its accounts, the BBC said.

Kids Company said in a statement on its website that it has been receiving fewer philanthropic and public donations since the start of the year.

It said, despite the fall in income, it is continuing to help as many vulnerable inner-city children and young people as possible.

Ms Batmanghelidjh claimed that she was not standing down because of the crisis, but had intended to go anyway and said her departure was being used to distract from cuts in spending on children.

She told Sky News: "We have received 19 years of clear audits... so these allegations that the charity's poorly run are absolutely inaccurate.

"I think what's happened is I've repeatedly raised the alarm about child protection issues and because I've been vocal and challenged government I've just been a difficult person to have around and not compliant and I think they find that difficult to tolerate."

It is understood that Justice Secretary Michael Gove and Chancellor of the Duchy of Lancaster Oliver Letwin have supported a tougher approach to the charity.

A Cabinet Office spokeswoman said: "Making sure that every child has the best start in life is our top priority, so we will continue to work with Kids Company to ensure its important work is sustained."

Alan Yentob, chairman of Kids Company's board of trustees and a BBC presenter and Director, said: "Camila Batmanghelidjh and the staff of Kids Company have created a highly effective model of care and support for the most vulnerable children in society which should be recognised and valued as a national asset.

"The board and I, with the backing of a philanthropic group have ensured that this is protected and that Kids Company will continue to offer safety, protection and loving care to some of society's most vulnerable children."

According to its 2013 Annual Report, it aided 750 high-risk young people with help like housing, legal advice, food vouchers and furniture.