# No significant recovery for charity sector until 2024, data indicates

- Link: https://fundraising.co.uk/2023/01/10/no-significant-recovery-for-charity-sector-until-2024-data-indicates/
- Published: 2023-01-10T09:25:59+00:00
- Author: Melanie May

**Charities are in the midst of not just a cost-of-living crisis, but a charity 
sector crisis that is set to continue into 2024 before any significant improvement
is seen, according to Charity Excellence’s latest data.**

[Charity Excellence’s](https://www.charityexcellence.co.uk/) data for June 2019-
December 2023 (based on charity data and forecasting data) shows that that key performance
metrics have been deteriorating since late 2021. The latest iteration of its predictive
model for both resilience (ability to survive in the near-term) and fundraising 
shows both to be on a downward trajectory with Charity Excellence’s first fundraising
forecast (based on its forecasting model data), indicating that they will fall even
further before starting to rise again later this year.

## Advertisement

![](https://wfay6x.infiniteuploads.cloud/2023/01/Screenshot-2023-01-10-at-09.00.43.
png)

The graphs: the blue line is now, left is data from charities, to the right Charity
Excellence’s forecasting model data

Looking at individual crisis metrics for 2022 alone, Charity Excellence’s data shows
that ability to meet demand / maintain services, as well as near-term sustainability,
and liquidity were all on a downward slope throughout the year.

The data suggests the sector is now entering the worst phase, which Charity Excellence
expects to last at least until the end of Q1 2023, with a high risk of significant
charity insolvencies in the coming 6 months and no significant recovery until 2024.

Ian McLintock said:

> “Charities have been reporting that fundraising has become increasingly challenging
> since late 2021. We believe that the next 3 months will be the worst so far, with
> fundraising beginning to improve from mid-2023, but no significant recovery until
> 2024. Recovery will be heavily influenced by prevailing economic conditions, so
> there is a significant level of uncertainty in this.”

#### More support for charities

In response, Charity Excellence has launched Phase 3 of its sector support programme.
Through free access to Biomni’s machine learning platform, Charity Excellence has
created AI tech to help charities more effectively access the free support it offers,
which includes a Funding Finder, Help Finder, and Data Finder, as well as support
to help charities increase their governance, management and fundraising effectiveness.

This includes the launch of Charity Excellence’s AI tech bunnies. The bunnies help
charities exploit the Charity Excellence Framework’s fundraising resources, connect
individuals to funding and, for those being abused, find free professional support
to help them protect themselves.

The tech bunnies have been given 11 knowledge banks of questions and answers, and
use these to connect people to the support they need. Every time a tech bunny is
asked a question, it learns from that interaction. If they can’t answer a question,
Charity Excellence is informed and it is added to the relevant knowledge base. Using
the bunnies is free, they can support any number of requests, and they record no
personal data.

Charities can watch a 3 minute [demo video](https://youtu.be/i--5-bBIlKM), [find out more](https://www.charityexcellence.co.uk/Home/BlogDetail?Link=Find_Free_Help)
or have a chat to a tech bunny by visiting the [Charity Excellence website](https://www.charityexcellence.co.uk/)
and clicking the icon in the bottom right of their screen.

 * **Read more on the bunnies in Ian McLintock’s [blog here](https://fundraising.co.uk/2023/01/09/artificial-intelligence-real-funding-advice/).**