Despite economic challenges, charitable giving in the UK remains steady, with donor numbers and donation amounts remaining consistent over the last five years. However, affordability often is a barrier to…
UK
Consumer Insights
Financial Services
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UK Charitable Giving Market Report 2025
"Charities can boost engagement by nurturing relationships with regular donors through compelling progress updates and gratitude, while forging corporate partnerships to drive volunteering among young adults."
Yogita Burke - Cross-category Research Analyst
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EXECUTIVE SUMMARY
What you need to know
Outlook for the charity market
Opportunities
Engage regular donors and support those balancing needs of beneficiaries to boost legacy giving
Focus on skills development to encourage young adults to volunteer
Unlock charitable support potential beyond cash
THE MARKET
Charity income continues to rise
Graph 1: income and expenditure of charities in England and Wales, 2021-25
Competitive charity sector poses challenges, particularly for smaller organisations
Graph 2: number of charities in England and Wales, 2013-25
Volunteering rates remain low adding pressure to charity resources
Graph 3: participation in formal volunteering, England, 2013-24
Persistent challenges faced by charities
Charities experience a strain on income
Affordability is an obstacle for most non-donors
THE CONSUMER
Donations to charitable causes
Charitable giving through monetary donations
Supporting charitable causes remains a stable behaviour
Updates can boost repeat donations and foster donor loyalty
25-34 year olds support multiple causes, creating opportunities for smaller charities to capture their attention
Graph 4: number of charitable causes donated to in the last six months, by age group, 2025
Amount and method of donation
Drop in micro-donations, but modest uptick in larger contributions
Graph 5: amount donated to charity in the last six months, 2023-25
Digital donations skew strongly towards under-45s
Graph 6: method of donation to charitable causes in the last six months, by age group, 2025
Cash donations vary in amount, but digital payments tend to be more substantial
Graph 7: method of donation to charitable causes in the last six months, by amount donated, 2025
Unlock donation growth through regular payment methods
Donor usage of loyalty points for charitable giving
Rewards and improving awareness are key to driving donations via retailer loyalty schemes
Graph 8: participation in donating to charitable causes via retailer loyalty scheme reward points in the last six months, by generation, 2025
Redefine charity support through loyalty reward schemes
Overcome the affordability barrier to donations with reward point contributions
How donors hear about charitable causes
Recommendations drive charity discovery
Recommendations play a crucial role in boosting donations and credibility
Leverage social media to boost recommendations
Other charitable activities
Scope to boost engagement in broader range of charitable activities
Uptick in young adult volunteers offers further growth potential
Target young adults to drive volunteering participation
Highlight the impact of volunteering on charities, while showcasing benefits for young adults
Graph 9: factors that will encourage people to volunteer for charitable causes, 2025
Behaviours towards charitable giving
Estate beneficiaries can be a barrier to legacy gifting among charity supporters
Help needed to balance legacy giving and desire to support beneficiaries
Boost legacy giving by engaging regular donors and those deeply connected to the cause
Tap into the funeral plans market
INNOVATION AND MARKETING
Social media advertising spend takes the lead in 2024 and into 2025
Royal Voluntary Service to launch a new platform to address charitable volunteer shortages
‘Be Remembered for More’ campaign adds a humorous touch to promote legacy giving
Donations via shopping can help address affordability barrier
St Mungo’s takes an interactive marketing approach
APPENDIX
Income and expenditure of registered charities in England and Wales
Charities by income band in England and Wales
Advertising expenditure in the charity sector, by media type
Advertising expenditure in the charity sector, by leading advertisers
Market definition
The consumer
Consumer research questions
Consumer research methodology
Repertoire analysis methodology
UK generation groups
Other data source methodologies
Nielsen Ad Intel coverage
Abbreviations
UK Charity Industry – Trends and Insights
Despite economic challenges, charitable giving in the UK remains steady, with donor numbers and donation amounts consistent over the past five years. Offering alternative ways to give, such as donating retailer loyalty points, can help broaden opportunities for giving, even during financial strain.
The charity sector faces significant challenges, including increased demand for support, high operational costs, and a crowded market. Smaller charities, in particular, struggle to secure funding, making brand differentiation, transparency, and building strong public connections essential.
Legacy giving remains a vital income source for charities, but the proportion of supporters leaving gifts in their wills has not increased since September 2024. Growth in this area can be unlocked by engaging regular donors and addressing concerns about balancing family inheritance with charitable contributions.
An increase in volunteering among 16-34 year olds presents an opportunity for charities to tackle low volunteer rates. Promoting skill development and offering exposure to real work-life experiences can further engage young adults.
Key Issues Covered in this Report
An overview of charitable giving trends, including identifying opportunities for smaller charities and a focus on legacy giving among regular donors and individuals with dependents
Analysis of amounts and methods of charitable donations, including a focus on donations via retailer loyalty scheme reward points and the opportunity for growing donations among young adults
Exploration of how donors hear about charitable causes and the rise in the role of recommendations in charity discovery
Consumer participation in other charitable activities, with a focus on volunteering and its growth potential
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