UK giving 2008

Cash donations to charity fell by £367million last year compared with the year before, according to a report released this week.

"UK Giving 2008" published by the Charities Aid Foundation (CAF) and the National Council of Voluntary Organisations (NCVO) is believed to be the most comprehensive survey of giving habits in the UK.

The report says that cash donations to charity in 2006/07 were £1.7billion, compared to this year's £1.3billion total. However 47% of people still choose to hand over cash, as opposed to setting up a regular direct debit or payroll method, and it remains the most popular method of donating in the country.

While the wane in cash giving's popularity might be something for fundraisers to note, the rest of the picture painted by the report gave little cause for concern to the nation's charities, even in the current financial climate. The decline in "loose change" donations was largely balanced by an increase in the popularity of alternative giving methods, and the average amount given by donors increased overall by £4 per month; from £29million in 2006/7 to £33million in 2007/8.

John Low, Chief Executive of CAF was quoted as saying: "The increasing generosity of the British public shown in UK Giving over this period is especially encouraging given the challenging times ahead"

But how does the trend away from cash donations affect volunteer fundraisers? The message seems to be that rather than rely on people spontaneously putting their hands in their pockets, spending the time to provide alternative methods for them to give might be increasingly prudent. In practical terms, when planning an event, campaign or activity, organisers should - more than ever - try to consider providing more than one way in which people can make donations, both before, during and after.

While larger charities are finding increasingly that people are embracing committed giving through monthly bank payments, for example, smaller fundraisers might find increased mileage in methods such as online donation pages, membership schemes like 100 clubs and "pay up-front", ticketed activities.

Overall, despite the reduction is cash collections, the message from the report was positive, with 56% of the British population donating to charity in an average month. We may be changing our methods, but as Stuart Etherington, CEO of NCVO said: “A significant majority of the population will continue to support charities through periods of economic boom and bust. At the end of the day, people's donations are supporting causes: and it remains the case that giving to charities is the most direct, effective way to address the social problems that people encounter both within their local communities and beyond.”

Karl Wilding, head of research at the NCVO, agreed. In a report by Third Sector online, he was quoted as responding positively to UK Giving's findings: "It could be viewed as a really positive development," he said. "Planned giving is more likely to create committed givers."