Purnell's porkies

Work and Pensions Secretary James Purnell has made a rousing  speech to a New Labour outfit called Progress which strays well beyond his brief and some regard as part of his effort to challenge Gordon Brown for the leadership.
Maybe. But he includes the entirely untrue claim that Conservative run Hammersmith and Fulham  "are cutting voluntary capacity across the borough." In fact funding the voluntary sector is over £4.2 million and a 2% increase on last year. Details here.
Hazel Blears has already made the same false allegation. Is it plausible that Purnell just made a mistake? Or was he lying?