The Who Cares? Trust set up the CareZone service in December 2004 usinga 1.36m investment by Futurebuilders, the Government's financescheme for charities. The investment was part loan and part grant.
CareZone gave children in care access to a secure site where they couldcommunicate with each other and get advice from GCSE tutors and an agonyaunt.
Futurebuilders expected the loan element to be paid back through localauthorities purchasing the services. But delays in local authoritypurchasing meant fewer subscribed then expected.
Richard Gutch, chief executive of Futurebuilders England, said: "Ourdecision to withdraw further investment bears no reflection on the valueand quality of the service to children."
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