‘The Compact isn’t legally binding. Does that it mean it has no teeth?’

q and a The Compact is about much more than protecting the voluntary sector against funding cuts. Whilst it has been used successfully to challenge poor funding decisions, the Compact works best when used at the beginning of relationships, providing a foundation for open and transparent dialogue between the sectors. 

The Compact is sometimes perceived as being a tool for the VCS to use to reprimand the public sector, but this is not true - engaging in Compact working has benefits for both sectors. It can help the public sector to develop policies and services that are responsive to the needs of the communities, for example.
Local Compacts can help ensure open conversations about funding reductions, so organisations are able to talk more freely about issues relating to funding when/if they arise.
The national Compact is accompanied by an Accountability and Transparency Guide, which outlines steps to take at a national level if the Compact isn't being followed.

Further information/examples:

Compact Voice’s case study library shows practical examples of how the Compact has been used to influence or change funding decisions, as well as how local Compacts have helped both sectors develop the best possible policies and services.
In particular:

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