How Charities Can Sustain Fundraising in a Cost-of-Living Crisis
Charities across the UK are facing significant financial pressure. Rising inflation, increased costs of living, and economic uncertainty mean that many organisations are experiencing the dual challenge of heightened demand for services and reduced confidence in grant funding and donations.
For charity fundraisers, this may feel like being caught between a rock and a hard place: their services are more vital than ever, yet asking supporters for help can feel daunting in the current financial climate.
However, long-term data on charitable giving in the UK paints a more reassuring picture. While the level of giving fluctuates year on year and the causes people support may shift, overall charitable giving remains remarkably stable. Major events, such as the war in Ukraine, often spark record-breaking donations, but demographic and wider social trends continue to shape who gives, how they give, and how much.
Recent research by YouGov, commissioned by CharityComms, sheds further light on donor attitudes during the current cost-of-living crisis. Encouragingly, the findings show many reasons for fundraisers to remain optimistic.
Who Is Donating and How?
41% of people said they had donated money to charity in the past three months.
44% reported donating goods to a charity shop.
Older people, retired people, and women continue to be the most consistent donors.
Perhaps most encouragingly, 69% of respondents believe it is important for charities to continue asking for both financial and non-financial support during the current cost-of-living crisis. Furthermore, 76% believe that relevant charities should be actively providing help and support to those most affected.
This is a significant morale boost for fundraisers: even if individuals cannot give as much as before, the majority support charities making the ask.
What About Future Donations?
When respondents were asked if they were more likely to reduce charitable donations compared to cutting spending on leisure activities:
24% said they were more likely to cancel or reduce a direct debit donation.
24% said they were less likely to do so.
The remainder fell into the neutral middle.
While some donors may reduce cash giving, 50% said they were more likely to donate goods instead. This points to an opportunity for fundraisers to strengthen alternative methods of donor support.
Digital First: The Role of Online Search
One of the most striking findings is that 69% of people use internet search as their primary way of finding information about charities and their services. By contrast, only around 10% rely on newspapers, television, or radio. Surprisingly, those over 35 were more likely to rely on search engines than those under 35.
For fundraisers, this underscores the importance of maintaining a strong digital presence. A clear, well-optimised website and a prominent, easy-to-use donation button may have a greater impact than traditional offline appeals.
Key Takeaways for Charities and Fundraisers
Keep asking for support — The data shows people expect and support charities to continue fundraising. Even during difficult times, public campaigns remain essential.
Focus on donor recruitment and retention — Be prepared for some churn in donations, but also look for opportunities to engage new supporters.
Encourage non-financial support — Donors are open to helping in other ways, such as campaigning, volunteering, or sharing resources.
Maximise in-kind donations — Charity shops remain a vital revenue stream. With 38% of people buying from charity shops recently, demand is high.
Strengthen your online presence — Prioritise digital fundraising tools, from website donation pages to social media campaigns.
Conclusion
While economic pressures are real, the public’s commitment to supporting charities remains strong. By adapting fundraising strategies to meet donors where they are — digitally, financially, and through in-kind contributions — charities can weather the cost-of-living crisis and continue delivering their vital services.
For organisations looking to safeguard their resilience, ensuring proper trustees’ indemnity insurance and other protections can also help charities focus on what they do best: supporting communities.
If you support or lead a charity and want to make sure your organisation is properly protected, speak to the Talbot Jones team. We specialise in working with the third sector and can advise on the right cover for your organisation.
