A NATIONWIDE charity based in Chalfont St Peter has announced it needs to slash spending by £1 million a year to keep afloat.

The National Society for Epilepsy has also confirmed it will close two of its residential homes on its Chesham Lane site in order to stay open.

The charity wanted to sell off some of its 330 acres of green belt land for development in order to raise cash.

However, the plans were recently rejected by the Office of the Deputy Prime Minster after a long and expensive battle with Chiltern District Council.

Harold Porter, chairman, said: "Many charities providing residential services in the UK are facing huge problems juggling with ageing properties, pension fund problems and recruitment issues. NSE is no exception and has very real problems, which it is seeking to address dynamically and creatively and with the support of its various stakeholders.

"NSE supplies services to local authorities who are facing financial pressures, and to the NHS which is also under renewed pressure to live within its means and cut costs. NSE is going to have to change considerably in the next couple of years if it is to survive and then thrive.

"All of us connected with the charity are determined to build a truly National Society for Epilepsy, and to use the planning rejection as a catalyst for change."

The charity had aimed to return a surplus of £136,000 in the current financial year, but a number of factors mean that a substantial loss of over one million pounds is forecast.

These include:

Care and assessment services are currently forecast to lose £700,000 due to ongoing difficulties with staff recruitment.

The planning inquiry process cost £200,000 more than predicted.

Legacy income, the money left to the NSE in wills, is lower than normal. It is predicted to show a £200,000 shortfall.

The house closures will save £550,000 and will affect 24 residents, but the charity hopes to rehome them within the NSE.

The NSE provides residential care for adults with epilepsy and 80 per cent of its £18 million turnover is derived from local authorities across the country.