MR A A Pennell's letter (You Say, November 10) contains a wholly understandable comment on the reported finances of the Worcestershire Racial Equality Council.

The apparent and dramatic increase in funding from £5,000 to £500,000 was reported in the Evening News as an illustration of the WREC's increasing activities over a much wider area, including Worcestershire and the West Midlands, during the five years of Waqar Azmi's term of office as chief executive.

However, the figures quoted above do not represent annual funding, containing as they do two years' worth of grants from the Community Fund for three-year projects.

Last year, these formed nearly 60 per cent of the WREC's total income from all sources, which amounted to £285,514.

The two projects mentioned above are directed at a) specific development work in Worcestershire, and b) the West Midlands Project, located in Worcester but serving a population of more than five million people in its development and support of 14 local racial equality councils throughout the West Midlands.

I have discussed this matter with Mr Pennell over the telephone following his letter, and I hope he will accept a copy of the WREC's recent Annual Report, which will clarify the financial situation further.

PHILIP HYTCH,

Chairman, Finance & General Purposes Committee,

Worcestershire Racial Equality Council.