MHCLG - Democratic Engagement Fund

Background

The Ministry of Housing, Communities and Local Government (MHCLG) has established the Democratic Engagement Fund to address declining engagement and trust in democratic institutions. Evidence shows that barriers to democratic participation — including capability, opportunity, and motivation — disproportionately affect groups such as young people, ethnic minorities, people from low socioeconomic backgrounds, disabled people, and those experiencing homelessness. The Fund aims to build a robust evidence base on 'what works' to increase democratic participation.

Objectives of Fund

The Fund has three core objectives:

1. Build a robust evidence base on 'what works': Strengthen understanding of effective interventions through consistent, high-quality monitoring and evaluation.
2. Prevent or overcome barriers for less engaged groups: Support projects that address knowledge, access, motivation, and trust barriers to democratic engagement.
3. Improve democratic participation and engagement: Broaden participation beyond voting to foster sustained, meaningful engagement in democratic life.

All projects must fall within one of three categories:

• Outreach: Two-way activities to increase motivation, interest in democracy, or tackle barriers such as low trust.
• Informing: Activities to improve democratic knowledge, such as providing essential voting information or structured civic literacy experiences.
• Widening opportunities: Activities that enable participation beyond voting, such as deliberative forums, youth councils, or participatory decision-making.

Projects must reach at least one of the six underrepresented target groups: young people (aged 5-25), ethnic minority groups, people who are homeless, regular movers, disabled people, and people from low socioeconomic backgrounds.

Value Notes

Most projects will receive around £25,000. The maximum award is £50,000 per project, considered only in exceptional cases where additional funding is necessary to deliver significantly greater impact or represents strong value for money.

The Fund has a total budget of up to £2.5 million and expects to fund an estimated 80-100 projects.

Funding is paid in two instalments: 75% in 2026/27 on completion of the Grant Funding Agreement, and 25% in 2027/28 on completion of the project and submission of final monitoring and evaluation data.

Who Can Apply

Eligible civil society organisations must be non-governmental, non-profit entities based in the UK. Eligible types include:

• Charities and Charitable Incorporated Organisations (CIOs)
• Community Interest Companies (CICs) limited by guarantee
• Companies Limited by Guarantee
• Community Benefit Societies / Co-operatives
• Other Voluntary, Community and Social Enterprise (VCSE) organisations
• Unincorporated community groups with a governing body of at least 3 members

Applicants must:

• Have an annual turnover/income of at least £50,000 and no more than £1 million.
• Provide two years of accounts (those operating at a loss are not eligible).
• Operate independently of political parties.
• Only submit one application per organisation.

Partnership and consortium bids are welcome, with one CSO acting as the lead accountable body. Local authorities, schools, universities, individuals, and for-profit organisations are not eligible.

Location

England. Projects are encouraged to be undertaken at a local level rather than nationally, with a particular interest in places with historically lower levels of democratic engagement.

Restrictions

Grant funding cannot cover:

• General running costs not related to the project.
• Political, lobbying, or campaigning activities.
• Activities promoting religion.
• Profit-making activities.
• Projects focused solely on social media or general community events without clear democratic participation outcomes.
• Buying property, major building work, large equipment purchases, vehicles, or routine repairs.
• Retrospective costs, fundraising activities, or application preparation costs.
• Recoverable VAT if VAT-registered.

Overheads (project management, transport, admin) cannot exceed 30% of the total grant amount.

Eligible Expenditure

Costs can include:

• Staff and volunteer costs (travel expenses, project-specific staffing, freelance time, backfill).
• Training for practitioners, frontline staff, or community leaders.
• Venue hire.
• Professional fees (graphic designers, BSL interpreters, evaluation support).
• Production of materials and resources.
• Accessibility requirements and data collection costs.

How To Apply

Applications are submitted via the Grant Portal between 22 June 2026 and 31 August 2026 (23:59 BST). Late or email submissions will not be accepted.

Application support: Online workshops will take place on Monday 15 June (2pm) and Wednesday 17 June (2pm). Recordings will be available on YouTube.

Applications are assessed using a 0-3 scoring scale across seven sections: Applicant details (pass/fail), Project proposal (40% weighting), Budget and value for money (10%), Barriers, risks and safeguarding (10%), Reach (15%), Outcomes and evaluation (25%), and Declaration (pass/fail).

Key dates:

• Applications open: 22 June 2026
• Deadline: 31 August 2026, 23:59
• Assessment: September - December 2026
• Outcomes and Grant Funding Agreements: January 2027
• Monitoring and evaluation set-up: January - February 2027
• Projects may begin delivery: March 2027
• All activity completed by: 31 October 2027
• Final data collection by: December 2027

Successful applicants will attend a mandatory induction workshop in January 2027 and will receive ongoing support from MHCLG, including guidance on impartiality, accessibility, and evaluation data collection.

Contact: democraticengagement@communities.gov.uk.