Loss of trust in charities ‘has hit income of armed forces charities’

17 Oct 2017 News

Armed forces charities are experiencing a drop in income as a result of declining public trust in charities, Lord Ashcroft’s third annual follow-up of his Veterans' Transition Review has said.

The review, carried out by former deputy chair of the Conservative Party, said that although the armed forces charity sector will remain a vital part of the environment whatever improvements in process and provision are made by governments and local authorities, “events have combined to raise a number of significant challenges for all charities, and those that support the armed forces in particular”.

It said that charities in this sector have the “added disadvantage” that in the absence of military operations, and a reduction in the size of the armed forces, they have “faded from public view”.

The review stated that there has been a “loss of trust in the charity sector as a whole, caused mainly by misconduct by trustees and management in a few”. It highlighted the 2016 Charity Commission report on public trust and confidence in charities, which showed a sharp drop in confidence over the past few years.

The review identified concerns “about the way money is spent, the way charities are run, and fundraising techniques. One outcome is a steady loss in income, and this is certainly being experienced by some armed forces charities.”

Ashcroft’s review includes insights gained from interview with 1,001 adults online between 23 and 27 June 2017, as well as from eight focus groups including participants from a range of ages and social backgrounds, with no one with close connections with current armed forces personnel, Service Leavers or veterans.

Ashcroft stated in his review that there is an opportunity for larger armed forces charities to use the Charity Governance Code to “show that they are the best in the world, ahead of the game and thus entitled to the full confidence of donors, beneficiaries, and the wider public.”

The review also called on more collaboration between organisations, citing the Gateway project – which proved a single point of contact for those seeking help - as one example where the sector can “improve the efficiency of providing support to those that need help”.

He said: “The confusing array of information and navigating through the many contact centres and websites has in my view been a barrier to getting help and now we have the chance to fix this.”

Presence of charities

Ashcroft reported that the groups interviewed felt that charities were filling a gap left by government. He said: “People in our focus groups were unsure what help was available for Service Leavers and veterans who needed it, but the presence of charities in the sector led many to think that official or statutory provision must be insufficient.”

The Charity Commission last week issued a regulatory alert to 187 recently registered military charities after a review found most had weaknesses in safeguarding and fundraising.

The regulator decided to review military charities after a number of media reports about aggressive fundraising techniques and charities receiving a low percentage of income from the fundraising activity. There were also concerns about safeguarding procedures.

 

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