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Birmingham Post
Birmingham Post
Business
Andrew Arthur

South West charities struggle with rising operating costs amid cost of living crisis, study finds

South West charities are struggling with a sharp rise in operating costs and demand amid the cost of living crisis, new research has found.

The study, conducted by Bristol-based giving platform Neighbourly, found small voluntary organisations in the region had seen input prices for community causes rise by 44% over the past 12 months.

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The survey, which was conducted at the end of March with more than 1,000 local causes from across the UK and Ireland, also found of the South West organisations which took part, more than 7 in 10 said they thought the current situation will continue or worsen, with only 4% saying they thought they were through the worst.

Meanwhile, 86% of South West respondents said they had been experiencing increased demand over the last three months, while more than a third said their financial position had deteriorated, with the tougher economic climate resulting in fewer donations from the public and businesses.

Food was found to be the most needed product within the small charity sector in the South West, ahead of toiletries or personal care products, and Household or cleaning products.

Tech firm Neighbourly, which helps companies connect with charitable causes in the local communities they operate in, said the findings showed the effects of the cost of living crisis were continuing “unabated”.

Chief executive Steve Butterworth said: "Across the South West, community causes are reporting ongoing pressures with demand increasing and inflation adding to the squeeze.

“We recently extended our offer to mid-market organisations in the region, meaning we can facilitate more of this much needed support by matching up local good causes and businesses with time and donations to share. With their support we can directly respond to these concerns from local charities and community groups, and translate business goodwill into tangible impact.”

Jackie Smith from BS3 Community Development, that runs the Bedminster FOOD club in conjunction with Family Action in Bristol said: “Since the start of the cost-of-living crisis we've seen our regular service users increase from around 30 members to over 60, which is a huge rise in demand, and we know many other local frontline services are experiencing the same.

“The surplus and help we receive through Neighbourly is now absolutely necessary and we would not be able to provide our services without this support and that of other local businesses.”

The study found the top five concerns among South West charities was an Increasing demand for services, income, inflation of goods and services prices, energy prices and recruitment of volunteers.

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