Slightly more than half of charities across England and Wales increased their income in the last financial year, according to the latest Charity Financials Income Spotlight report, with overall income growth up 5.8% to £4.3 billion. 46.7% of charities in England and Wales saw income decrease, meanwhile two fifths of all revenue generated came from London. This year, the 2019 Charity Financials Income Spotlight report looks at income by location for the first time and shows that nearly 21,000 charitable organisations are located or registered in London, which holds 40% of the revenue generated in 2017-18. 17% more came from the South East and 12% from Anglia and Eastern.
Growth by Region
Charities from the capital made the most annual gains, increasing their annual revenue by £2.2bn, while charities in the South East, the Midlands and the North West also saw an increase in their income by almost half a billion in the latest year. Wales was the only region to see a decrease in annual income. In percentage terms London charities grew their income by 8%, the Midlands 10% and the North West by 11% over the latest financial year, however Welsh charities saw a 2% decline in revenue. In total, just 7.3% of charities in England and Wales have an income greater than £500k, while small organisations with an annual income of £100k or less account for 71% of charities and generate 3% of the total income.
Organisations with an annual income of over £50 million make up just 0.1% of the charity population yet generate over a third of the total income; 36.7%. In fact, the number of charities with income over £50m continues to increase with these driving much of the sector’s growth. In 2018, these organisations increased annual income by £2.9bn, representing 68.5% of the total annual change.
The report also showed that:
- 157,995 organisations reported their income in 2018
- 92.7% of charities have an income of less than £500k
- 52% of income is from charitable activity, 30% from voluntary sources, 9% from trading subsidiaries, and 5% from investments
- Total income for charities across England and Wales has grown by more than 75% in the last decade.
The Charity Financials Income Spotlight report is published by Charity Financials, a branch of Wilmington Charities, in partnership with Charles Stanley Investments.