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Government warned against cuts as public support for more charity funding revealed

18 Sep 2024 News

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NCVO has encouraged the government to invest in public services after a report found widespread support for an increase in funding for charities.

In response to a survey of 3,000 people by agency Eden Stanley, 64% said they wanted to see more public funding for charities.

Some 55% said that public funding should focus on mental health and homelessness, while some 52% said it should be spent on hospitals and hospices.
 
Of those aged between 18 and 24 years old, 48% said they wanted to see more support for charities that promote human rights in the UK.

Meanwhile, 49% of respondents over 65 years old said the government should prioritise funding for war veterans.

Commenting on the survey, NCVO urged the government to increase investment in public services and warned it against short-term cuts.

NCVO: Short-term cuts could ‘exasperate inequalities’

Sarah Elliott, chief executive of charity sector umbrella body NCVO, said: “We know the new government has a huge challenge ahead and tough financial decisions to make.

“We firmly believe that the voluntary sector can help inform these choices, so that short-term cuts don’t further exasperate inequalities in communities.

“This is why we continue to advocate for increased investment in public services which will enhance societal wellbeing and prevent escalating costs down the line.

“We’ve also proposed a number of low or zero cost measures that would empower the voluntary sector to help the government with its mission, including how we can bridge the gap between charities and decision-makers so all voices are heard, reinvigorate public giving and unlock the potential for more volunteers to support communities to thrive.”

Public sentiment

Eden Stanley said fundraising levels were rebounding from low points of recent years, and there had been a shift in how people donate.

In response to its survey conducted online in August this year, 22% said they felt more positive about their personal economic outlook, while 35% said they felt worse.

Some 32% said the cost-of-living crisis had caused them to donate less, while 47% said they now donate over £50 per year, which was an increase from 36% in September 2021.

Meanwhile, 29% said they felt more optimistic about society as a whole compared with 32% feeling less hopeful about the future.

While four in 10 Britons said the UK felt less united than it did at the beginning of the summer.

Research from Pro Bono Economics last month found that 32% of charities expect their finances to dwindle over the autumn while a further 35% expect their finances to stagnate.

Meanwhile, recent research by the Charity Commission found that 47% of people say they donated money, goods or raised funds for charities, which was a decline from 62% in 2020.

‘It’s not all doom and gloom’

Joe Barrell, founder and principal of Eden Stanley, said: “People’s personal economic situations remain challenging, and the riots this summer will have compounded a feeling of disunity in the country.

“The government’s emphasis on the tough road ahead could also be dampening public sentiment.”

But Barrell said it’s not all “doom and gloom” for charities.

“Our data shows that they have strong public support across age groups and the political spectrum, with many people now donating more money than they were a few years ago.

“There is clearly appetite across the country for increased support and funding for the third sector and this presents an opportunity for charities to grow their supporter bases, play a more prominent role in the public discourse on key issues, and to make the case for more investment from government.

“To achieve this, they need to understand who their target audiences are and how to inspire and motivate these people to engage – whether it’s through offering a sense of community, the chance for supporters to express their values or the ability to make a visible, immediate difference to a cause which has affected them.”

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