Mental health charity Wiltshire Mind is to close two years after it lost its local government funding.

The charity will shut its doors on December 7 after it was unable to find alternative funding to keep its operations going.

It lost out to Trowbridge-based Alabaré Christian Care and Support who took on a Wiltshire Council contract worth almost £210,000 in 2010.

The organisation kept going for two years by selling its base in Newtown, Trowbridge, and living off its reserves – but now the money has run out.

The charity was founded in 1993 to provide care and information for people experiencing mental distress, with many referred to them by the Avon and Wiltshire Mental Health Trust.

Hundreds of Wiltshire people with mental health issues will now no longer receive therapy and counselling sessions provided by the charity.

The charity still meets a demand with eight volunteer counsellors working with 26 people each week, and 10 paid group leaders running eight drop-in groups for around 100 people per week.

The paid employees, including general manager Carolyn Long, will be made redundant and another five back-up staff, who are called in on an adhoc basis, will not be asked back.

Mrs Long said: “It is terribly sad for everyone, for our staff and the users.

“We have been telling the users and many of them are angry, others in despair. People are saying to us that they feel they have nowhere else to turn to.

“Our users come here because they feel safe because they can talk about their feelings without being judged.

“We try to help people to move on and many have gone on to paid employment or volunteer work but we don’t put a time limit on people’s recovery.

“Some people are not yet ready but they face the prospect of having their sessions stopped at the end of the year.”

Father-of-two David Poole, 37, from Chippenham, said: “I was in a very dark place when I arrived at Wiltshire Mind seven years ago. I was in my own bubble and it wasn’t a very nice place.

“Now I feel less isolated and I can give a better life for my two children but that has only happened with the support of Wiltshire Mind.

“The members are already feeling anxious about what they are going to do. Some of us are going to continue meeting anyway, but it is potential new members I worry about as they may feel they will have nowhere to go.”

Trustees of Wiltshire Mind announced the closure on Wednesday and said that the groups and counselling service would be wound up from November 12.

In a statement, the charity’s trustees said: “The charity has found it almost impossible to obtain new funding to run its core services. Working in a rural area the charity’s costs are high and it can no longer be self-sustained.

“With no further funding on the horizon the decision has had to be made now that services will close.”

Mrs Long added: “We are making every effort to signpost our users to other organisations – Age Concern, Alabare and Together among them – and will work to the end to ensure that we offer them all possible support.

“We still hope even at this late stage that funds might be found and we would be delighted to continue what is a valued and much-needed service.”