The Main Challenges Facing Charitable Finances On The Uk...

What have been the main challenges facing charitable finances in the UK during the last decade? To what extent have they been overcome? Britain remains one of the world s most generous nations. But cash is tight for everyone and people are finding it harder and harder to find money to give to charity. Through the course of the financial crisis in the UK during the last decade, many charities have been affected. But before I continue we must explore the causes of this phenomenon. The recent UK financial began with the austere credit crunch in 2007 but according to Richardson (2011), he suggests that the credit crunch witnessed in the United Kingdom is deep rooted in the economic and political decisions made by previous governments. The†¦show more content†¦According to a research carried out by the Charity Aid Foundation (CAF) on charity income from 162,363 registered charities provide to the Charity Commission in their annual returns, showed that voluntary income of larger charities, (these include charity with an income of over  £10m) fell by ‘’11 percent (or  £855m) between 2007 and 2009. Whilst medium-sized charities with an income between  £500k and  £10m, saw their voluntary donations actually increase by 2.2 percent over the same period’’ (CAF, 2009). Charity finances were affected through the drop in donations from people. According to Huffintongpost (2012) suggests that the recession had made it possible for household to cut back on their charitable giving. This decline also included the number of people who give to charity. The high rate of the credit crunch led to the Charities Aid Foundation to carry out a survey in collaboration with the National Council for Voluntary Organisation (NCVO), suggested that financial issues faced in the UK has forced frontline services of some charities to cut back on some of the services they offered as they had to make staff redundant or in certain case force to close down because of the fall donations. The research surveyed 3,000 people, undertaken by the Office for National Statistics (ONS), suggested that total giving to charities by members of the public in the UK