How is the cost of living crisis affecting charities?

Every day in the news we are hearing more about the deepening cost of living crisis, worse than that, we are all beginning to feel it. Whether it’s when you fill your car up at the pumps, do your shopping and certainly when you reach for the thermostat as we approach Autumn, the pinch is real for households across the UK, and it doesn’t seem as if a magic wand solution is around the corner.

As people’s disposable income decreases, charities and causes are facing a “Cost of Giving Crisis”, where their donations and fundraising totals are drying up as more and more people have less money to donate. The problem gets worse when you realise that the services provided by charities and causes are going to be needed more now than ever. It’s a real Catch22 situation.

The team at EFR team speak to charities and causes every day, trying to understand how we can help them more, what they need and what they think. Understanding what’s concerning them and what they see from within their own charities, is crucial for us to support them, after all, they are the experts.

Off the back of this, James Moir, CEO of easyfundraising, who is constantly assessing the state of the charity and cause eco-system, was invited to speak about the ‘Cost of Giving’ topic on the Jeremy Vine show on Radio 2. James was able to highlight the key issues on this national and international stage with the aim of helping to push the decision-making process to the fore and get the vital help going that charities and causes need.

You can listen to the interview here:

Here are some of the key headlines from what we asked our causes and charities:

  • 1 in 5 charities said that they were “severely worried” that their funds would suffer so much, that they might not be able to continue to operate over the coming months.
  • 3 in 5 charities are “severely worried” that their finances will be adversely affected because of the cost-of-living crisis.
  • 60% of charities and causes have already seen their donations drop and 22% have witnessed the demand for their services going up.
  • 75% of causes and charities forecast their donations going down because of the cost-of-living crisis.
  • 30% of charities predict that in the coming 6 months, they will be in a “weaker position”, to deliver their services than they are now.

What can you do to support?

  • Donate your time. If you have a spare hour or two, find a local charity or cause that really needs that extra pair of hands.
  • If you can afford to, buy that extra tin of beans at a supermarket, lots of them are offering donation stations in store so that they can support the most vulnerable.
  • Encourage your friends and family to use easyfundraising, and spread the word about how with just a few simple clicks, everyone can spread a little fundraising magic without paying a penny extra.