# Tough 2022 could see fewer people give while demand for charity services keeps rising

- Link: https://fundraising.co.uk/2022/01/18/tough-2022-could-see-fewer-people-give-while-demand-for-charity-services-keeps-rising/
- Published: 2022-01-18T10:38:59+00:00
- Author: Melanie May

**Pressures on local government finances and household incomes mean charities are
likely to see fewer people donate this year, NCVO’s The Road Ahead 2022 has warned.**

[The report](https://beta.ncvo.org.uk/ncvo-publications/road-ahead-2022/), published
today, summarises the key drivers shaping the sector: political, economic, social,
technological, environmental and legal. For the first time this year, NCVO involved
external stakeholders in the development of the report, including through members
assemblies and workshops with infrastructure partners.

Overall, it finds that the voluntary sector can expect a level of constant uncertainty
in 2022 alongside a potential drop in donations and increased demand for services
as people struggle. However, it says, the sector should still be optimistic about
its ability to support society and confident about speaking up on key issues. It
also expects to see opportunities for the sector to contribute to the ‘levelling
up’ agenda.

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#### Economic considerations

Economic considerations include high inflation and rising living costs, as well 
as a labour market in flux. These, the report says, are putting increased pressure
on the finances of both households and charities, with the emergence and exacerbation
of inequalities highlighted as a key trend.

#### Fundraising in the year ahead

With fewer people potentially giving, NCVO suggests that charities look for trends
in their donation income and how they can maximise the potential of their most common
donation sources, and expand into new areas.

The report also warns that with cashless giving on the rise, digital and hybrid 
fundraising events here to stay, and the Code of Fundraising Practice review including
a particular focus on digital, charities will need to monitor these developments
as they consider how to adapt post-pandemic fundraising activities, as well as upskill
staff and volunteers.

#### More trends

Also of note, key political drivers include the continuation of the culture war –
the report argues that public opinion “has proved to be more nuanced” on many issues
than the standard ‘woke vs anti-woke’ narrative would imply, meaning that charities
will be most successful when they attempt to bridge some of these divides and create
consensus. It also notes that charities and social enterprises may find “significant
opportunities” to contribute to ‘levelling up.

On technology, the report reflects on which services should continue to be delivered
digitally; the importance of charities having the right cybersecurity and remote
working arrangements; and the opportunities for those charities which embrace AI,
machine learning, 5G and other new technologies.

The environmental chapter highlights how responses to the Covid-19 pandemic have
provided valuable lessons in how to respond to crises such as climate change, and
sustainable practices already introduced by many charities, while a number of changes
to charity law arising from a new Charities Bill are among legal trends.

Alex Farrow, Head of Networks and Influencing at NCVO, commented:

> “As we start 2022, we’re once again in the grip of uncertainty as the pandemic
> continues to twist and turn. But, though it might feel like it, the start of 2022
> is not the same as January 2021. A new practicality is emerging across charities
> and communities, bolstered by confidence created by the speed of the scientific
> response to the pandemic.
>  
> “Despite everything, there are decisions and choices to make. All those running
> charities still have agency and power – both in what they do and how they do it.
> Our analysis is here to help leaders, trustees and communities make informed decisions
> about their future and find that new practicality.”

## WATCH: The Road Ahead 2022 online launch event

Video: NCVO

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