Economists Sound Warning Over ‘Charity Crunch’

Please find below the press note and report on Pro Bono Economics’ November Covid charity tracker survey. It found that there is no recovery in sight for the charity sector in 2021: service demand is expected to rise as income continues to fall.  I’ll hold back from sending to the trade until later.

Three-quarters (75%) of the 215 charities surveyed say they are facing an increase in demand for services in 2021, with levels of unmet need not previously experienced this century.

At the same time, 83% of charities forecast income decline – over a third (34%) of charities say they are anticipating a drop in income of more than 25% over the next 12 months.  Two-thirds (69%) of those charities warn of no financial recovery in 2021, as they do not expect income to reach pre-crisis levels for 12 months or more.