The Lincoln branch of a national mental health charity is to be closed down later this year due to funding cuts from Lincolnshire County Council.
The council said charity users could instead apply for a Personal Budget, an token benefit to be spent on services specific to individual needs.
Lincoln Mind, an organisation set up to help both those with mental illness and their careers, have been preparing for the closure for two years.
The Local Mind Associations branch on Little Bargate Street offers support such as relaxation groups and activities, advice, befriending schemes, counselling and post natal help.
The charity hopes to continue with various schemes and activities, so the branch may be able to stay open a little longer.
Spokesperson Emily Marshall said: “It is with regret that Lincoln Mind has had to make the decision to close due to insufficient funds to sustain the charity.
“Our Local Authority contract came to an end on 31st March 2011.
“Lincoln Mind has spent the past two years preparing for this and the roll out of personalisation but we have recently discovered that personalisation will not generate sufficient funds for Lincoln Mind to continue providing services.
“Therefore, we would have to rely on charging the Service Users directly for our services.
“Lincoln Mind will continue to actively fundraise and apply for various funding grants throughout this [year] with the hope to sustain longer.”
Other local Mind LMA branches in Newark, South Lincolnshire, Scunthorpe and Grimsby will remain open.