The charitable sector has lost 25,000 jobs due to the coronavirus crisis and 35,000 more are expected to follow as fundraising events are cut, charity shops shut down and donations dry up.
According to Pro Bono Economics, in a survey of 455 UK charities, 19% have already made layoffs and 23% plan to make further cuts once the government’s leave program ends.
It was previously reported that there had been 5,400 job losses in the charitable sector since the start of the pandemic.
But research now suggests the actual figure is closer to 25,600 – with the number of layoffs set to rise by the end of the year.
The charitable sector has lost 25,000 jobs due to the coronavirus crisis and 35,000 more are expected to follow as fundraising events are cut, charity shops shut down and donations dry up. Pictured: Charity shops in Woodbridge, Suffolk
In a survey of 455 UK charities, 19% have already made redundancies (figures above)
23% plan to make further reductions once the government leave program ends (figures above)
It is believed that the staggering number of job losses will translate into a painful contraction in charitable benefits across the country at a time when hundreds more are expected to be counting on them.
Unemployment in the UK is expected to double as Christmas approaches as economic uncertainty continues – with charities expecting demand to rise 68 percent over the next six months.
This pressure is expected to last until 2022.
It comes after Chancellor Rishi Sunak announced a grant for charities of £ 750million in April.
But the funds have largely been directed to causes exacerbated by the Covid-19 epidemic and do not cover funding estimated by a deficit of around £ 10 billion.
Mr Sunak said at the time that the government would not be able to match every spending book the sector would normally have received this year.
This means that 98% of charities across the country have been forced to take action themselves to address the financial challenges of Covid-19.
It is believed that the massive number of job losses will cause a painful contraction in charitable benefits across the country at a time when hundreds more are expected to be counting on them. Pictured: Sign up for Oxfam at Barnard Castle, County Durham
The study found that 98% of charities across the country had taken action to address the financial challenges of Covid-19
Matt Whittaker, CEO of Pro Bono Economics, said, “Charities have been under extraordinary pressure since the start of the pandemic, facing the perfect storm of increased demand and limited resources.
“To date, they have responded with typical resilience and invention, but the coming months should prove to be even more difficult.
“With the biting recession and rising unemployment, the social sector has never been more needed. But an alarming proportion of jobs in the sector are now at risk.
“This means that many charity workers who have provided vital support to millions of people across the country since the onset of the Covid crisis face a very uncertain future.