Lloyds TSB Foundation for Scotland has announced the reopening of its grant-making programme and is inviting charities to apply for funding from the £2m available for 2010.

Last October, the foundation announced the suspension of its grant-making activities indefinitely due to an ongoing dispute with Lloyds Banking Group, as reported in Philanthropy UK.

However, as a result of monies raised by the foundation through its entitlement to participate in Lloyds Banking Group’s Rights Issues in 2009, the foundation now has £2m to distribute to Scottish charities this year.

This year’s main grant programme will be named ‘The Henry Duncan Awards’ in honour of the Reverend Henry Duncan who founded the first Trustee Savings Bank – which ultimately led to the establishment of the foundation – 200 years ago this year.

When the Trustees Savings Bank was floated on the stock market in 1985, as a way of compensating savers for the loss of their bank, the Foundation in Scotland was created and given shares. Rather than receive dividends, a covenant was set up in order to distribute monies back to the communities.  

In early 2010 Lloyds Banking Group served notice on this covenant, and after nine years notice it will be terminated.

Mary Craig OBE, Chief Executive of Lloyds TSB Foundation for Scotland, said, “The Foundation owes its existence to the Reverend Henry Duncan, who founded the Trustee Savings Bank so that everyone, regardless of wealth or position, could benefit from a savings bank.

“In honour of his work to support the most under-privileged, the Foundation’s main award programme this year will target smaller and harder to fund grassroots charities.

“Since we put our grant-making activities on hold last year, we have been only too aware of the difficulties this posed for charities in Scotland. However, with the restart of awards, I hope we can now move forward and focus firmly on the future.”

The first deadline for applications for Henry Duncan Awards is May 24, with further deadlines in July and September. Details on the criteria and other information on how to apply can be found on the Foundation’s website. The Foundation also hopes to be in a position to continue its work with the Scottish Government in the successful Partnership Drugs Initiative in 2010.