What’s Going On With Charity Closures – And What We Can Do About It
Lately, I’ve been diving into the research around voluntary and community sector activity after writing ‘Lessons Learned’ pieces about group closures for our member newsletter. The wider picture for the sector is troubling: public support is dropping—fewer donations, fewer volunteers—while demand for services is rising. That’s a difficult position for the sector.
The research suggests three core issues:
1. People have less time and money
2. There’s a lack of public interest
3. There’s a lack of trust in charities
We can’t fix the first one, but I believe we can help tackle the other two.
Lack of Interest: A Visibility Challenge
Lack of interest often stems from a lack of connection to a charity’s mission—or simply not knowing what the charity does. According to the Fundraising Report Card, this is tied closely to name recognition and public perception.
For smaller charities, self-promotion can feel uncomfortable or be time-consuming, but consistent “We’re here, and this is who we are” messaging, like we often see from MPs, is critical to visibility. People won’t always pay attention the first time (or even the fifth), so repetition matters, and it’s not about being pushy—it’s about being present.
Sharing stories of your work, the people you support, and the change you’re making builds awareness. Social media is often strongest not as a direct fundraising tool, but as a space for awareness raising and storytelling.
Where we can help:
I’d love to explore ways we can support our members in measuring public awareness—not just followers and likes, but real understanding of their mission. Could we offer training and/or simple strategies to help with this?
Lack of Trust: A Transparency Opportunity
Trust in charities, according to the Charity Commission, still ranks higher than many other sectors—but the average rating is just 6.5 out of 10. And it’s been lower. In a competitive funding environment, trust can make all the difference.
What builds trust? Transparency. People want to know:
· Where their money goes
· Who’s making decisions
· What real-world impact is being made
The Charity Commission identified three key expectations:
· That most money goes directly toward the mission and beneficiaries
· That the charity uses its voice to advocate for those it supports
· That ethical standards are upheld—accountability, integrity, and mission alignment
The Fundraising Report Card found similar results: trust grows when charities share their accomplishments, clearly and consistently. But crucially, both sources agree—once trust is lost, it’s almost impossible to regain.
Understanding Our Audiences
In 2024, the Charity Commission introduced new segments to understand public trust in charities. Here’s a quick breakdown, which may help in tailoring communications:
· Trusting Helpers (62%): Actively give, volunteer, and engage. They value transparency and relationship-building.
· Disengaged Donors (8%): Give occasionally, usually when prompted. Might follow social media if nudged at the right moment (e.g., while donating goods).
· Untrusting and Uninvolved (8%): Sceptical but still contribute occasionally. Want to see data—spending breakdowns, impact reports, and mission integrity.
· Trusting Receivers (8%): Beneficiaries who want to know the charity supporting them is well run. Meeting their expectations builds overall trust by showing that the charity really cares.
· No Interest (14%): Unlikely to engage regardless of approach—not a priority audience.
This leads to a simple message:
Do the thing.
Be seen to do the thing.
Be seen doing the thing—repeatedly.
So, What Can We Do?
For local charities, building relationships with local media can boost both awareness and trust. There’s an opportunity to help them spot newsworthy stories—from beneficiary journeys to volunteer spotlights and mission milestones.
A mindset of “little and often” may help when it comes to communicating for the sector.
With the right tools and support, we could help some organisations find sustainability at a time when it feels harder than ever.
