Northern Ireland Giving Survey 2008

Northern Ireland remains a very generous society with over eight in every ten individuals making donations to charity. However this is a decline in giving compared to the 2005 giving survey when nine in every ten individuals made a donation to charity.

The Northern Ireland Giving Survey 2008 was based on 1,008 interviews with individuals (aged 16 and over) across Northern Ireland in November 2007. Individuals were asked about their giving behaviour over the previous month and what their motivations were for giving to charity.

This research offers fundraisers an insight into:

• who gives
• how much they give
• what causes they give to
• the use and awareness of Gift Aid and
• reasons for not giving.

One of the starkest findings from this research is that over half of all donors stated that their charitable donation is determined by their disposable income. In such a harsh economic environment this is a real challenge for fundraisers.

In almost all types of giving there has been a decrease in the number of donors and there has been little change in the average donations made. An exception to this is cash donations made in a place of worship, where the number of donors and average donations made have witnessed a significant increase.

The top five most popular charitable causes are religious organisations, health, children, medical research and 'didn't notice'.

Spontaneous giving remains the most popular form of giving, which is used by 70.6% of individuals. This can be compared with 38.7% of donors who use some form of planned giving.

The Gift Aid scheme was established by government in 2000 to encourage planned giving which enables charities to claim tax relief on eligible donations and thus enables donors to make the most of their donation. This scheme has not reached its potential and for this reason the government has recently introduced a number of measures which strive to increase its utilisation. This research found that only 29.6% of donors in Northern Ireland gift-aided eligible donations. This represents a loss of £48.2 million which highlights the need to resolve some of the issues surrounding Gift Aid.

The continuing popularity of spontaneous forms of giving indicates that change will be slow. In an increasingly difficult economic environment, spontaneous giving may increasingly be at risk to the other demands made on pocket change. When this is considered along with the fact that this survey also found somewhat of a decline in the number of givers, it highlights the huge challenges that are facing fundraisers. These issues are likely to continue to be a challenge in the future in Northern Ireland.

A promising finding from this research is that the average monthly donation made in Northern Ireland is £22.69, which is a significant increase in the average donation from the 2005 Survey. The financial yield of charitable donations witnessed a 4.2% growth from 2005 and is now worth an estimated £324 million.

This increase in giving can be viewed positively and in many respects is evidence of the generosity of individuals here. This finding would suggest that despite there being a decline in the number of givers, those who are making donations are giving more.

Before fundraisers breathe a sigh of relief at the thought of a growth in donations, it is important to be conscious of the significant role which cash donations in a place of worship now plays. When cash donations in a place of worship are removed from analysis, the average monthly donation in Northern Ireland reduces to £14.22. Excluding cash donations in a place of worship reveals a 10.3% decline in the financial yield of charitable donations from 2005, worth approximately £180 million. This highlights the considerable influence of places of worship on charitable giving in Northern Ireland.

The changing picture of giving, coupled with the continued dominance of spontaneous giving in a harsh economic climate presents real challenges to fundraisers. It is more essential than everthat voluntary and community organisations promote a clear message of what they do and the difference donations make.

Short-term and increasingly tighter funding are ensuring that fundraising and marketing are real challenges to the sector. Without clear and consistent messages from the voluntary and community sector as a whole and the organisations themselves, it is unlikely that either the nature of giving or the financial support of individuals will improve. The reality is that without an investment in the voluntary and community sector as a whole, there is a risk of losing the much needed financial support from the general public in Northern Ireland.

For more information on this research please contact Leeann Brady on tel: 028 9087 7777 or at leeann.brady@nicva.org

For more information on giving in the UK, visit the Centre for Charitable Giving and Philanthropy.

For more information on third sector research in the UK visit the Third Sector Research Centre