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Local charities stretched to capacity as demand increases and funding decreases

Nov 12th 2015
Stephen Mallinson, Chief Executive of LocalGiving

Local charities and community groups are stretched to capacity with 81% facing an increase in demand for services and 73% of local groups predicting their income will stagnate or decrease over the next financial year, according to a new study.

The Local Charity and Community Group Sustainability Report 2015 carried out by Localgiving, a membership and support network for local charities and community groups, surveyed 538 local voluntary sector organisations from across the UK. It found that only 15% of groups feel they have sufficient resources to cope with increased demand.

Only 47% of local groups are confident that they will be able to stay financially afloat over the next five years with 42% saying that they have had to use their reserves within the last 12 months.

Stephen Mallinson, Chief Executive of Localgiving, said: “A rapid increase in demand for services, coupled with an inability to access sufficient funding with which to build reserves has left many local groups with fears over their survival.

It is vital that strategies are put in place to help better support the sector and address its core issues. Government, industry, philanthropists and the general public can and should all play a part.”

Localgiving recently announced the launch of Grow Your Tenner – a national match fund campaign doubling online donations made to UK local charities and community groups by up to £10. The campaign is part of Localgiving’s Incentivised Giving Programme, a long-term initiative to help raise awareness of the sector and build practical online fundraising skills for local charities.

Grow Your Tenner runs until the match funding has been allocated or 5pm on 18 November 2015 – whichever comes first.

Visit Localgiving to find out more and to read the report in full.

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