# Oxfam looks to increase unrestricted income with more investment in legacies & regular giving

- Link: https://fundraising.co.uk/2024/12/19/oxfam-looks-to-increase-unrestricted-income-with-more-investment-in-legacies-regular-giving/
- Published: 2024-12-19T10:14:46+00:00
- Author: Melanie May

**This past year has seen Oxfam GB invest more in regular giving and legacy donations
as it seeks to increase unrestricted income, according to its annual report.**

This is to help it rebuild its reserves, as well as in response to the continuing
challenges in the external environment for nonprofits.

[Oxfam’s](https://www.oxfam.org.uk/) [annual report](https://www.oxfam.org.uk/about-us/plans-reports-and-policies/annual-report-and-accounts/)
shares that £123.4mn was spent on generating current and future income in 2023/24–
up from £106.4mn in 2022/23 – reflecting this investment in unrestricted income 
generation.

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####  Investment increase in regular giving & legacy donations

2023/24 saw the charity receive £65.2mn in unrestricted donations and legacies income–
down 5% on the previous year. Regular giving income was £39.5mn (3% down on 2022/
23’s £40.6mn). Expenditure on regular giving increased YOY by £3.3mn as Oxfam reintroduced
investment in regular giving donor acquisition with the aim of reversing a period
of decline in regular giving. As a result, net regular giving fundraising income
was £27.5mn as a result, down from £31.9mn the previous year. 

Legacy income fell to £15.6mn from £19.4mn in 2022/23 but Oxfam says expected future
income from estates for which the administration has yet to be finalised is £5.9mn
against £4mn in the previous year. Its work to increase legacy donations saw related
expenditure reach £1.6mn, up from 2022/23’s £0.7mn.

#### Overall income drop mostly down to previous year’s major appeals

Overall, Oxfam’s annual report shows that income for the year to end of March 2024
dropped to £368mn, from £400.6mn in the previous financial year. This, it says, 
is mostly due to having major fundraising appeals in 2022/23 for the Türkiye Syria
earthquake and Pakistan floods, which bolstered donations, as well as continued 
income from its Ukraine appeal.  

Oxfam’s retail activities including high street shops remained stable, generating
gross income of £102.8mn, up from £98mn the previous year. Sales of women’s fashion
rose 19% on year with revenues from Oxfam’s online shop rising to exceed £10mn. 
Book sales also grew, accounting for £21mn, which was more than 20% of its total
trading revenue.     

However, investment in properties, upgrades to tills and IT systems, and increasing
paid hours for shop teams meant that net retail income was lower than the previous
year.

#### Investments & rising costs saw reserves drop

As a result of its investments and rising costs, Oxfam’s general reserves dropped
below the target range of £35mn – £45mn to £32.9mn, with a £5.2mn deficit reported
at the end of March 2024. In response, as well as continuing to invest in unrestricted
income growth, Oxfam has introduced cost saving measures, which it says include 
a recruitment freeze in non-business critical roles, travel restrictions and limits
on the use of consultants.   

Halima Begum, Chief Executive of Oxfam GB, who joined the organisation in April 
2024, said:

> “The past year has been extremely difficult with the world facing the triple threats
> of conflict, climate change and the cost-of-living crisis. Just as we have been
> for more than 80 years, Oxfam and our partners are there to support, whether providing
> desperately needed aid to those caught up in the humanitarian catastrophe caused
> by the war in Gaza or helping farming communities in Somalia adapt their crops
> amid the devasting impacts of climate change.
>  
> “At the same time, we are facing a very challenging fundraising environment compounded
> by the sustained burden of rising costs. However, it is incredibly heartening 
> to see so many of our donors continue providing their invaluable support to Oxfam.
> Equally, our retail network continues to attract shoppers both on the high street
> and online, particularly with the growing interest in buying pre-loved items including
> clothes and books. We’ve made significant investments in our shops this year to
> help sustain our life-saving and life-changing work with communities and partners
> around the world.”

The report also shares that in 2023/24 almost 290,000 people took Oxfam campaigning
actions, from calling for a ceasefire in Gaza to seeking justice for the communities
worst affected by climate change. More than 20,000 people volunteered in Oxfam shops
in 2023/24, while over 7,000 supported Oxfam by stewarding or campaigning at festivals
and events.    

Oxfam increased its charitable spending by £18.9mn up to £272.3mn including more
flexible funding going directly to countries and local partners as part of the organisation’s
drive to shift power to communities in the Global South. In 2023/24 Oxfam worked
with 475 partner organisations, including 90 organisations dedicated to women’s 
rights.    

#### 1.2mn more people reached

Despite the drop in overall income, Oxfam GB’s work with communities reached almost
11 million people in 2023/24, an increase of 1.2 million on the previous year.

Through the year, Oxfam helped over 9.2mn people facing humanitarian emergencies,
900,000 more than in 2022/23. This included supporting people affected by the war
in Gaza as well as other ongoing conflicts including Ukraine and Yemen. It also 
worked alongside partners and communities to support people affected by droughts
and flooding across East Africa.     

Begum said:

> “I’ve seen first-hand the incredible work Oxfam and our partners do, from supporting
> communities in the West Bank, to displaced refugees on the South Sudan border.
> What has really struck me is the solidarity we share, which is mirrored by the
> people in the UK who support our campaigns and give so generously to fund our 
> work.
>  
> “Without that support and the generosity of our remarkable volunteers and donors,
> we simply wouldn’t be able to do what we do. Given the scale and number of crises
> the world currently faces, our collective efforts are more important than ever.”