A CHILDREN'S charity will now have to find an extra £2.7 million over the next five years because of new legislation aimed at improving care standards.

The publication of Norwood Ravenswood's Annual Review includes figures pointing to the predicted shortfall due to the increased costs of implementing the National Minimum Care Standards.

Norma Brier, chief executive of the charity, which has its head office in Broadway House, Stanmore, said its work in the community 'must, does and will go on'.

But she welcomed the introduction of the new standards, which come into force in April 2002, despite the greater financial constraints they place on the organisation.

"We estimate it will cost around £2.7 million to make the necessary adaptations to our residential homes," she said. "That's an extra £500,000 per year without any extra statutory income."

The cost of caring at the Anglo-Jewry children and family services charity has already risen by nearly £1 million to almost £22 million a year, of which only £14 million comes from the government.

With the need to fill the gap from other services and voluntary fundraising income accounting for £7 million last year treasurers are forecasting trouble ahead due to the current economic climate. The charity has recently been appointed to operate the Adoption Register for England and Wales.

"With a growing reputation comes greater responsibility. Next year we expect demands for our services to grow by at least 15 per cent," said John Feore, director of finance.