Charity Can't Survive on Goodwill Alone | Dreamscape Solutions

Charity Can't Survive on Goodwill Alone

A Crisis of Inequity - and Infrastructure

We read some interesting figures this week: In 2023, the UK's wealthiest 1% gave just under £8 billion to charity. That might sound generous - until you realise it represents just 0.4% of their wealth. Compare that to the wider public, who collectively donated £13.9 billion, amounting to 1.6% of their income.

In short, those with the least are giving the most.

Meanwhile, headlines this month paint a worrying picture of what's happening behind the scenes in our charity sector:

  • A hospice cutting 19 staff and adjusting nine more roles to save £1.7m a year.
  • SCVO is putting 20% of jobs at risk after a voluntary redundancy process failed.
  • Dogs Trust, the UK's largest dog welfare charity, confirms 300 staff are at risk.

These are not small organisations. These are pillars of the sector, and they're struggling - not because people have stopped caring, but because the system in which they operate is financially unsustainable.

A Crisis of Inequity - and Infrastructure

For too long, we've celebrated the resilience of the charity sector while quietly ignoring the reality: we expect it to run on fumes and goodwill.

The generosity of the UK public is remarkable, but it's also reaching its limit. As costs rise and competition for donations intensifies, many charities are turning inward - cutting jobs, scaling back services, and burning out their staff - to survive.

All the while, a small fraction of the population holds wealth that could transform the entire landscape of charitable funding. The question is: why don't they?

It's not just about asking individuals to give more - it's about creating systems, culture, and incentives that make sustainable, strategic philanthropy the norm.

Where Do We Go From Here?

This is not just a callout of the ultra-wealthy. It's a call-in to rethink how we fund social good.

We need more systemic giving from high-net-worth individuals and foundations.

That means not just big, flashy gifts but long-term funding partnerships that cover core costs, invest in infrastructure, and trust charities to know how to spend the money effectively.

Charities need smarter systems to maximise their resources.

Investing in digital transformation, automation, and data-driven insights isn't a "nice-to-have" - it's a matter of survival. If resources are shrinking, we must stretch them intelligently.

We need policy-level support for the sector.

From gift aid reform to charity tax reliefs and fair funding models, government action must align with the sector's significance in public life.

A Warning - and a Hope

When beloved institutions like hospices and Dogs Trust are forced to cut staff, we should pay attention. Not just because of what's lost - but because of what it says about how we value care, compassion, and community.

We can't build a society that relies on charity to plug gaps while refusing to fund charity properly. The public are doing their part. It's time for the rest of the system to catch up.