Income/expenditure of top 3,000 charities flattens out in downturn
The current economic climate has started to have an adverse effect on the income levels of the top 3,000 charities...
...even though the full impact will not be measurable until all the 2008 accounts have been filed.
New research published by CaritasData indicates that their total incoming resources grew on average 12.6 per cent between 2004 and 2007. But in 2008 they grew by a miniscule 0.1 per cent: see figure 1 below. Expenditure has also slowed down; growing from £30.5bn to only £30.8bn in comparison to the 12.7 per cent growth experienced the previous year. Total funds have also taken a battering, growing from £90.5bn to £94.8bn in 2008, representing only 4.7 per cent in comparison to the 12.7 per cent experienced in 2007.
The charities making up the top 3,000 vary considerably in financial profile when the size of their operations and their financial activity are scrutinised. Some 41 organisations generate over £100m of income, 642 generate over £10m and only 1370 over £50m. The total funds profile is similar, with only 5 per cent holding funds over £100 and 60 per cent of them holding funds of less than £10m.
Figure 1: Total income and expenditure of the top 3,000 charities 2004-2008
Author: Clarissa Dann
Clarissa Dann was the editor of Caritas as well as an HR and management online service,he People Bulletin until July 2011.
She is now the editor of the specialist trade finance magazine, Trade and Forfaiting Review which can be viewed at www.tfreview.com but does write on charity finance and investment from time to time.
Clarissa has a background in legal and professional publishing, as well as business journalism and holds an MBA from
There are no comments on this article. Be the first to comment.