The Charities Aid Foundation have published a new report entitled ‘Why We Give’. We surveyed over 700 of our customers to gain a better understanding of the reasons why people support charities.
One of the key findings was that 49 per cent of people think that society is too cynical about those who give, and nearly two thirds of respondents believe that those who give to charity need to be more vocal about the reasons why they give.
Most people pointed to their personal values, morality and ethics as their main motivation for giving, with three quarters giving because of a personal belief in a specific cause and 71 per cent motivated to give because of their faith.
Following the publication of this report, CAF has launched a social media campaign asking people to share the motivations behind their support for charitable causes and tell others about the charities that they support.
We want YOU to get involved by using #whywegive to explain your reasons for giving. We want to build a national picture explaining the motivation behind the British public’s generosity. To this end we will be collecting all of the messages on our Pinterest board. Make sure you check it out!
Explaining your reasons for giving won’t only help charities better understand why they receive support, but could also win you a £100 charity cheque to donate to a charity of your choice. What could be better?! The competition closes at the end of March, with the winner chosen at random, so make sure you get on Twitter immediately to be in with a shot of giving your favoured charity a much needed donation!
We are hoping that this will raise awareness for all of the great work that charities do and stimulate an online debate about why we give. We hope you join in
If you would like any further information about the ‘Why We Give’ campaign please do not hesitate to get in touch with Steve Clapperton, Campaigns Manager on firstname.lastname@example.org.
There was good news for charities last week, with the announcement from the Charity Commission that the income of registered charities in England and Wales rose by almost £3bn in 2013, meaning that the total income of charities now surpasses £61bn.
This equates to an increase of more than 5 per cent from the previous year, which suggests that the return of growth to the economy is tallying with an improvement in charity fortunes.
However the income of the largest charities, classified by the Charity Commission as those who have income of more than £10m, saw a rise of more than 7%, which suggests that the growth in income is not equally spread across the whole of the charity sector.
As NCVO’s Karl Wilding told Civil Society, there could also be a slightly misleading picture being formed if there are a few new large organisations entering the register, which could account for the majority of the growth reported. He also warned that the headline figure cannot be used as a barometer for the whole sector if it is disproportionately skewed towards larger charities.
Whilst any boost in charity finances should be celebrated, there are still great concerns about the ability of charities to meet the problems posed by increasing demand for the services that they provide. This problem is particularly pronounced amongst smaller charities, and these figures suggest that more needs to be done to ease the burden they are dealing with.
The Back Britain’s Charities campaign has been calling on all people to do their bit to support charities across the country, and at party conference we were explaining that 9% of people are responsible for two thirds of all charitable activity. We need to do more to get more people engaged with giving.
Speaking of our conference activity, regular readers might remember our people power theme from Glasgow, Brighton and Manchester last year. Our stand was visited by the likes of Justine Miliband, and it looks like she might have passed on what she heard to her husband. Ed Miliband’s speech last week about public services included the idea of introducing greater people power to the public sector, so it looks like our message hit home!
The Charity Finance Group, Pricewaterhouse Cooper and the Institute of Fundraising, have released their annual survey ‘Managing in a downturn’, the 7th since the economic crisis began in 2008.
The survey asks senior fundraisers and finance professionals how the recession has impacted upon the charity sector. With early signs that the economy is recovering this year, it will be interesting to see the results. In particular, it will be useful to benchmark this year’s results against the last couple of years when the sector was really struggling to see if the slight improvement in the economy has trickled down to the charity sector.
Over 400 charities responded to the survey last year, highlighting how they are responding to both a cut in funding and an increase in the demand for services. Key findings from last year’s survey found 9 in 10 charities reported a squeeze on fundraising, 67 per cent reported demands on their services had increased and nearly half (42 per cent) reported that they might have to dip into their cash reserves.
Figures released in January by the International Monetary Fund (IMF) stated the UK economy was expected to grow by 2.5 per cent this year. The British Chambers of Commerce have revised up their predictions for both this year and next year, albeit with some caveats.
Pricewaterhouse Cooper Director, Ian Oakley-Smith noted that ‘many charities are adjusting well to the “new normal” taking positive steps to understand the changes that continue to be needed’. He goes on further to say ‘..the results of this survey will provide further evidence as to the scale of the challenge that continues to face the sector’.
How is YOUR charity faring this financial year? Have you noticed a positive change, or does the situation remain largely the same? The findings of this survey will be of interest to the sector, so make sure your voice is part of that conversation. The deadline for completing the survey is Friday 14 February and can be accessed here.
Good news from Her Majesty’s Revenue and Customs! Revised figures from HMRC have shown that for 2012/13 a record £155 million was donated to charities through the payroll giving scheme. And another record has fallen with the total number of employees engaged in the scheme passing the one million mark for the first time.
The initial figures released by HMRC in summer 2013 showed an increase on the previous year of just £6 million through payroll giving. However they have now drastically revised those figures up revealing a true increase of £37 million compared to the previous year.
This translates to an impressive 31% increase in the value of donations on the previous year and an even larger 39% increase in the number of employees participating in the scheme. This will be welcome news to Britain’s charities who are keen for more people to give regularly, thus allowing them to better plan for the future.
Peter O’Hara, managing director of Workplace Giving, noted that it is unlikely there is just one factor at work but rather a variety of factors to explain such a dramatic rise. This includes more employers signing up their organisations to the scheme and more employees being aware of the ability to give through their payroll. He said that ‘visibility of payroll giving has definitely increased’.
Payroll giving, which allows employees to give to charities through their salaries before tax, means when donating £1 the employee only pays 80p with the taxman paying the rest. Payroll giving has seen a steady increase in income since its introduction in 1987 and these latest figures are a reason to be enthusiastic. Even so, a report by the Charities Aid Foundation found that, as of 2012 just 3% of the workforce is enrolled in the scheme. That figure is relatively low and we believe it can and should be much higher.
Still, this is a positive start to the New Year and we look forward to more records being broken in 2014!
The Back Britain’s Charities campaign is delighted to announce that anti-domestic violence charity Women’s Aid has signed up to add their support to the campaign.
Women’s Aid is a fantastic organisation that supports over 300 local domestic violence services across the country. Women’s Aid Annual Survey 2013 of around 200 domestic violence services in England found that in 2012/13 these organisations supported nearly 117,000 women and children through refuge accommodation and outreach support. This includes nearly 10,000 women and over 10,000 children in refuge, and nearly 83,000 women and 14,000 children in outreach services. The first Women’s Aid federation was established 40 years ago, and formed in the aftermath of issues such as violence in the home and other forms of sexual and interpersonal violence to women being highlighted.
The charity aims to empower women who have been affected by domestic violence, meet the needs of children who have suffered as a result of domestic violence, provide specialised services run by women based upon listening to survivors, and promote cohesive inter-agency responses to domestic violence.
As a testament to their excellent work, Women’s Aid has received the support of high-profile figures such as Patrons Julie Walters CBE, and Dame Jenni Murray, as well as Ambassador’s including Will Young, Charlie Webster and Jahmene Douglas.
Explaining their support for the Back Britain’s Charities campaign, Polly Neate, Chief Executive of Women’s Aid said:
“Women’s Aid Federation of England supports the Back Britain’s Charities campaign because it highlights many of the key issues charities are struggling with in some of the most difficult times the sector has ever faced. As a national membership organisation, the network of local specialist domestic violence organisations across England depends on Women’s Aid to talk to government, decision makers and the public about the serious financial issues and spiralling demand for services that are affecting our members, most of whom lack the capacity to engage in publicity, fundraising and tendering for public funds. We are therefore acutely aware of both the local and national challenges charities face, and the need to highlight to local agencies, Government, individuals and businesses the importance of supporting local domestic violence charities who in turn support many of the 1.2 million women and thousands of children who experience domestic violence every year.”
We’re delighted to receive the support of Women’s Aid. We know that many charities across Britain are struggling, with people finding it difficult to give during the tough economic climate, but it’s vital that people from all walks of life do what they can to support charities. Because, as the work of Women’s Aid demonstrates, it is vital that beneficiaries of charities across Britain have somewhere to turn for support. The most vulnerable people in society often rely on the support of charities, and unless we act now to support the sector, there is a real danger that they will have nowhere to go for help. That’s why we all need to pull together and Back Britain’s Charities!
An interesting article published in the Guardian this weekend has shone a spotlight on one of the areas in Britain that, it claims, suffers because it lacks a vibrant voluntary sector. The article looked at the reality of daily life in the Camborne area of Cornwall, and found that many residents dealing with a number of social and economic problems do not have access to charities or voluntary groups that could provide support to them.
Citing a recent report by the Centre for Social Justice, the Guardian article argues that charity is centralised in Britain, with the numbers showing that money is overwhelmingly given to the largest charities, despite the thousands of smaller localised charities operating across the country.
According to the report, the dominance of large charities is such that just 3% of all charities are responsible for three quarters of the sector’s total expenditure, leaving the remaining 97% of charities left to battle over the other quarter of income coming into the sector.
The report goes on to cite research carried out by the Charities Aid Foundation, which discovered that “Britons are three times more likely to give to medical research than to the homeless (and seven times more money)” and in addition that “twice as much is given every year to animals than the elderly.”
Whilst Britain does include a number of national, well-known charities, many smaller charities find success because they are able to help address a specific need in a local community, or because they are able to provide specialised help. However many people prefer to donate to a specific charity that they are comfortable with, which can mean smaller charities struggling to raise enough money to operate.
The Back Britain’s Charities campaign has warned of the dangers posed by falling charities incomes, and acknowledged that it is often small and medium sized charities that are struggling to make ends meet. That’s why it’s so important that people give as regularly as they can – so that smaller charities are able to plan their expenditure over the coming months, and make sure their income goes as far as possible.
We’ve also warned of the danger of cuts by government to charities, and how there is a real concern that some local authorities might disproportionately cut funding to charities, which means that the people who rely on charities and voluntary groups for support suffer. With spending restrictions set to continue for the foreseeable future we’ll be keeping an eye on councils as they set budgets for the next financial year, and check that they aren’t using cuts to charities as an easy way of balancing the books.
Following a recent meeting with representatives from the Back Britain’s Charities campaign, Opposition Chief Whip Rosie Winterton MP has spoken of her concern about the impact that the economic downturn is having on charities in her area, and urged people to do what they can to support charities that are struggling to keep pace with demand for their services.
Whilst the economy has now begun to grow again, many charities are yet to experience the effects of the recovery. Charities are still in need of funds, and the support of donors and volunteers is crucial if they are to continue to help the most vulnerable people in society.
Ms Winterton has been the Member of Parliament for Doncaster Central since 1997, and during Labour’s time in government served as Minister for Work of Pensions and Minister for Local Government, becoming Shadow Leader of the House of Commons following the 2010 election. In September that year she became the Chief Whip, and as a result is responsible for maintaining party discipline.
Speaking after the meeting Ms Winterton, who is the patron of five charities in Doncaster, said:
“It’s worrying that so many charities are struggling to make ends meet, and I’m concerned about the effect that charities being forced to close could have.
“I regularly see the work that they do to support people in Doncaster, often ensuring that people going through difficult times have somewhere to turn.
“Both the recent Children in Need appeal and the response to the Typhoon Haiyan tragedy in the Philippines have shown how generous British people are, and we should be incredibly proud of the strength and scope of our charitable sector, but we need to act now to protect it.
“That means people from all walks of life – businesses, politicians, and members of the public – doing our bit to back Britain’s charities.”
We’re delighted that Ms Winterton has spoken about the need for people to support charities so passionately, and fully endorse her remarks. We understand that people might not be able to give more to charity at the moment. That’s why we’re asking people to give regularly, so that charities are better able to plan their finances and ensure that they are able to carry out their charitable mission.
We’re also asking businesses to maintain their giving to charities, and calling on the Government and charities to look at how giving can be improved so that when people are able to donate their contribution goes further towards the cause of their choice. We are also aware of the impact that spending reductions are having on charities, and calling on all government bodies to ensure that they do not introduce spending cuts which disproportionately affect charities. What do you think could be done to make life that bit easier for charities? Get in touch with us at email@example.com
Earlier in the year, we reflected upon research that showed two-thirds of charities have seen an increase in demand for their services, a demand that charities are struggling to meet as they deal with a fall in income.
Now research carried out by the London Voluntary Service Council has highlighted that over 80 per cent of charities in the capital have seen demand for their services increase as a result of the economic or policy climate.
This increase in demand is the highest since the survey of London’s charities began in 2009, and marks a significant rise from the figure of 66 per cent last year. The report summarising the research, ‘The Big Squeeze 2013: a fragile state,’ argues that there has been a particular increase in demand for advice and support as a result of the Government’s welfare reforms.
As a result, 93 per cent of charities responding to the survey revealed that they have had to change the way that they operate, with 51 per cent reporting a reduction in their overall funding, down from 60 per cent in the previous report.
In more positive news, the survey did show that there has been a reduction in the number of charities being forced to close a service in the past year, falling from 41 per cent in the previous report to 27 per cent. However that means that over a quarter of charities are being forced to reduce the services that they provide, which will have a real impact on the vulnerable people who turn to charities for support.
Challenges for charities aren’t limited to London, of course, and last week CAF’s Campaigns Manager Steve Clapperton was on BBC Radio Oxford, talking about the economic climate facing charities, and how this is impacting upon their ability to keep pace with rising demand.
We’re particularly keen to hear about the experiences of charities across the country. We’ve already heard some heart-breaking stories of how some charities are struggling, and the impact that this is having, and that’s why we’re so keen that people from all walks of life do what they can to Back Britain’s Charities. If you’d like to share your story please get in touch with us, at firstname.lastname@example.org
A survey carried out in Ireland has shone a light on the difficulties that charities are having as a result of falling donations from the public and reductions in government spending, mirroring the challenges that many British charities are also struggling with.
The survey, carried out by the Irish Independent, found that some staff are taking unpaid leave to keep costs down, and the report in the same newspaper highlights than one charity, Inclusion Ireland, has been forced to make interest only payments on their mortgage.
Further research carried out by charity umbrella group The Wheel discovered that of 230 charities stating they had received a sharp rise in demand for the services that they provide, two-thirds were trying to keep up with this surge in demand whilst coping will falling revenues. Since the beginning of the year, one in three has been forced to cut back or suspend services.
These statistics aren’t that surprising, and indeed reflect some of the findings of CAF’s research last year which discovered how charities in Britain are having to adapt in order to deal with the challenge of doing more with less.
As the British economy returns to growth, we will be watching with interest to see whether there will be a similar improvement in people’s disposal income, and if that will have any impact on charitable giving.
We know from CAF’s report on Britain’s ‘Civic Core’ that a number of people would consider giving more to charity if their personal economic situation improves, and the Back Britain’s Charities campaign will continue working to encourage people from all walks of life to do what they can to support good causes.
We’d be interested to hear how the economic climate has affected you. Has your charity suffered as a result? Are you suffering from falling incomes? Get in touch with us a email@example.com and share your story!
We’ve now returned from conference season and, after spending a weekend resting our feet, are able to reflect on an extremely successful few weeks for the Back Britain’s Charities campaign. Last week we were of course in Manchester, enjoying the surprisingly sunny, dry weather and mingling with politicians and activists from the Conservative Party.
We had numerous visitors to our stand with people keen to find out about our “people power” report, as well as play our interactive game! So popular was our stand that by the end of conference we’d run out of bears to give to our guests!
We received a number of high-profile visitors to our stand, including the likes of Conservative Party Chairman Grant Shapps MP, Jeremy Hunt MP, Secretary of State for Health, and Sir George Young MP, Chief Whip. Whilst none of the MPs who played our game were able to topple Ed Balls, we can confirm that Europe Minister David Lidington set a fast time and took top honours for the blues!
We also held another great fringe in Manchester, where the Minister for Civil Society Nick Hurd MP kindly joined us to offer his thoughts on our conference research, as well as giving the audience his ideas on how to get more people engaged with charities. In addition to CAF’s John Low, Penny Mordaunt MP and Pete Moorey from campaigning group Which? came to share their experiences of both charitable activity and ways that people can be mobilised to get involved with causes.
It’s great that we’ve received such a positive response throughout conference, and we’re delighted we’ve been able to explain to conference goers the challenges that charities are faced with, and what can be done to support charities during difficult times. Now we’re back in London, we’ll continue to make the case for the importance of charities and see how we can learn the lessons from conference season to get more people backing Britain’s charities!