ACTIVISTS hit out yesterday at a growing “climate of fear” in voluntary organisations that sees funding used to effectively gag opposition to austerity policies.

Grassroots umbrella group the National Coalition for Independent Action (NCIA) said recent events — such as Oxfam’s referral to the Charity Commission for speaking out on poverty — reflected a situation “getting worse just at the point when it needs to get better.”

Academic Mike Aiken highlighted cases of “subtle and menacing” bullying by political figures and contractual clauses silencing charities in return for funds.

Some groups, such as the Trussell Trust and World Development Movement, recently renamed Global Justice Now, were praised for making their voice heard.

NCIA director Penny Waterhouse said: “Some voluntary groups can, and do, speak out for a better world, if they are brave.

“But why, in Britain, does civil society need to be brave to exercise freedom of speech?”