+44 (0) 1273 386849A Brief Guide to Capital Funding for Community Libraries: What, How, Where, Who, and When
Capital funding for community libraries can feel daunting – full of technical language, legal jargon, and long-term commitments. Yet for community-run libraries led by volunteers, it’s one of the most powerful ways to grow, adapt, and secure the future.
Inspired by a Community Libraries Network meeting, this short guide introduces what capital funding is, how it works, and what we can learn from others who’ve done it. We have a brilliant example of turning vision into action with the Boldon & Cleadon Community Library extension project.
What is a capital project?
According to Investopedia, “a capital project is a significant, long-term endeavour aimed at building, enhancing, or maintaining a major asset.”
For a community library, that might include:
- Building an extension or remodelling the layout
- Installing new toilets or improving accessibility
- Replacing a roof, windows, or heating system
- Investing in furniture, shelving, or digital infrastructure
These are one-off investments beyond every day running costs. They require planning, evidence, and (usually) a long lease or secure building agreement. But the outcome – more space, flexibility, and long-term resilience – can be transformative.
Case study: Boldon & Cleadon’s extension project
Post-pandemic, Boldon & Cleadon Community Library in South Tyneside saw visitor numbers surge, and they quickly ran out of space.
The team first proposed a large rear extension, but was unable to secure funding. Instead of giving up, they scaled back their plans and opted for a smaller front extension. This would increase capacity by 50%, and provide flexibility to volunteers and library members alike.
Their revised approach worked. They secured:
- £77,000 from the National Lottery Reaching Communities fund
- £7,000–£8,000 through local fundraising
- £20,000 from the Barbour Foundation to renew the roof
A crucial factor was a 40-year lease from the local council: a requirement for most capital grants, as funders need assurance the building will remain in community use. Legal advice also helped them add a clause ensuring that, if the library ever closed, the space would go to another community group.
The work, expected to take 12 weeks, stretched to seven months due to contractor delays. Managing the project while keeping the library open was tough, but the result was a more usable, welcoming, and sustainable space.
What others can learn from the Bolden & Cleadon library project
Boldon & Cleadon didn’t have a professional fundraiser or project manager. The project was delivered by a small team of dedicated volunteers – trustees, the treasurer, and the chair – who learned and adapted as they went.
Several smart choices made the project successful:
- They worked with a local architect who initially gave time pro bono and later acted as project manager.
- They consulted their community throughout, demonstrating demand and support in their bid.
- They were flexible, adapting their original plan to something achievable.
- Their funding applications included detailed budgets, timelines, and evidence of need.
- They drew advice and encouragement from the wider community library network.
Strategic fundraising: how to start, what to say, and where to look
Once you have a clear vision, the next step is working out how to fund it. Fundraising can seem full of forms and jargon, but it begins with something simple: knowing what you need and why it matters.
Start with strategy
The strongest funding bids don’t start with grant applications — they start with clarity. What can’t your library do right now? What would change with more space, better facilities, or improved access? Link the project to your library’s wider goals. Keep ambitions realistic, assign someone to lead the fundraising, and stay consistent.
From there, define your ask: what you need, what difference it will make, and who will benefit. Funders want to know:
- Why now?
- Who gains?
- What will improve as a result?
Build relationships
Fundraising isn’t just about writing bids. It’s about relationships, especially with trusts, foundations, and local supporters.
Connect with potential funders early. Understand their priorities and show how your project aligns with them. When applying, tell your story clearly and explain how you’ll measure success, not just in bricks and books, but in lives improved.
Consult your community
Funders want to see that your plans are rooted in real need. The best way to show that is through evidence: surveys, feedback, case studies, and involvement from local groups.
Boldon & Cleadon made consultation a cornerstone of their bid, demonstrating strong demand and clear benefits for a diverse range of users. If you’re applying for funding, make time for this — it pays off.
Where to look for funding?
Here are some of the main UK sources of capital funding for community libraries and community buildings:
- National Lottery Community Fund – Reaching Communities
- Libraries Improvement Fund (Arts Council England)
- Architectural Heritage Fund (especially for historic libraries)
- Local charitable trusts or family foundations
Eligibility and focus vary, but most funders look for clear community benefit, sustainability, and evidence of need. If your building is council-owned, you’ll likely need a long lease (25–40 years) to access these grants.
Capital funding for community libraries: You don’t have to know everything
That’s the most important takeaway.
You don’t need a degree in fundraising or architecture to take on a capital project. You just need a clear reason, a supportive community, and patience/persistence.
The team at Boldon & Cleadon faced setbacks and delays, but they came out stronger, with a transformed library that meets their community’s needs better than ever.
If they can do it, you can too.
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FAQs: A Brief Guide to Capital Funding for Community Libraries: What, How, Where, Who, and When
1. What’s the difference between capital and revenue funding?
Capital funding pays for one-off, long-term improvements — things like extensions, major repairs, or new equipment. Revenue funding supports ongoing costs such as salaries, rent, or running events.
2. Do we need to own our library building to apply for capital funding?
Not necessarily. Most funders accept a long-term lease (typically 25–40 years) as proof that the building will stay in community use. If you’re council-owned, speak to your local authority about a lease or community asset transfer.
3. How much money can a small community library realistically raise?
The sky is the limit! It depends on the project size and your preparation. Successful bids often combine one major grant (such as National Lottery Reaching Communities) with smaller local grants and community fundraising. Remember you can obtain a number of small grants, and every little helps!
4. Who should lead a capital project?
Ideally, a small group of trustees or volunteers should share responsibility — one focusing on fundraising, another on project management, and one liaising with the council or architect. Teamwork and communication are more important than titles.
5. How do we show funders that funding for our project is needed?
Lots and lots of evidence. You need to collect data on visitor numbers, events, as well as surveys, letters of support, and quotes from users. Remember, funders love to see real voices from your community, not just statistics. You need to show value at every level of the community.
6. What’s the biggest mistake community libraries make when applying for capital funding?
Rushing. Strong bids take time to plan. Funders want to see a clear vision, a realistic budget, and evidence that your community supports the project. Start small, be thorough, and don’t be afraid to ask colleagues, other community librarians and the Community Managed Libraries National Peer Network for advice.
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