Vicious and virtuous circles: Navigating spirals for local infrastructure

Local infrastructure organisations (LIOs) don’t operate in isolation. The conditions that shape them are deeply interconnected, creating positive and negative spirals that can determine success or struggle. New research takes a closer look at how these forces shape local infrastructure, for better or worse, and what this means for the sector.

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The virtuous circle: When things click into place

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When things go right, one positive change leads to another:

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• Engaged leadership builds strong relationships with statutory agencies.

• These relationships boost credibility, opening doors to funding opportunities.

• More resources allow the LIO to increase its presence and strengthen its reputation.

• This, in turn, creates more influence, ensuring the voluntary sector’s voice is heard.

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The result? A positive spiral, or virtuous circle, where success in one area fuels further positive impact.

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The vicious circle: When challenges stack up

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But, the same interconnections can work in the other direction:

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• A major funding loss reduces capacity.

• Less engagement means the LIO becomes less visible and influential.

• Stakeholders may question its relevance, making partnerships harder to maintain.

• Reputational challenges make securing new funding even more difficult.

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Before long, an LIO may find itself caught in a negative spiral, where each setback creates further instability.

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Breaking the cycle

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Recognising these spirals is key to making informed, strategic decisions. By strengthening leadership, securing sustainable funding, and fostering strong partnerships, LIOs can build momentum in the right direction, and avoid the risk of being pulled into a downward spiral.

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To explore these insights further, download the full research report here.

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