The Kreston Charities Report 2023

Following the recent UK-wide survey, our EQ Charities team are happy to share the results in our Kreston Charities Report 2023.

EQ are members of Kreston Global, a network of independent accounting firms with a presence in over 120 countries worldwide. The Kreston UK Charity Group works with more than 2,000 charities of various sizes offering a range of services across the UK and the survey provided important insight into the experiences of a wide range of charities across the UK.

With Britain in the midst of a cost of living crisis and a bleak economic outlook, charities are feeling the pinch. Whether it’s a decrease in funding as donors grapple with their own soaring costs, an increase in demand or recruitment challenges, charities face an uncertain future. All of this comes not long after the monumental impact of the COVID-19 pandemic.

In particular, the results demonstrate the impact that the cost of living crisis is having on the charity sector: a large majority of the charities surveyed have seen costs rise over the past 12 months due to soaring energy bills and inflation. Recruitment is also a real concern, with 64% of charities saying that it has become more challenging to both recruit and retain staff.

Elsewhere in the report, 82% of charities said their beneficiaries are more affected by mental health now than they were before the pandemic, and 72% have increased the provision of mental health support for staff/volunteers.

There are more fundamental issues which the survey explores, including a lack of diversity, particularly at senior level. This is a major worry for the charities we surveyed, with 72% saying they are concerned about a lack of diversity among their Board of Trustees.

Charities are, on the whole, well equipped to deal with cyber security, and environmental issues are increasingly important, with half of the charities saying they are addressing climate concerns despite them not being part of their objectives.

You can download a copy of the full report here.

If you have any questions on the report, or want to discuss any issues affecting your charity, please email our EQ Charities team via charities@eqaccountants.co.uk or contact one of our offices.