By Hannah Corbett, Head of Communications.
In sunny Brighton, leaders from politics and civil society came together to explore philanthropy’s role in addressing the UK’s most pressing social challenges.
What made this event particularly powerful was the contributions of MPs Lisa Smart, Josh Babarinde, and Jess Brown-Fuller, all of whom have direct experience working in the charity and community sectors. Their hands-on knowledge gives them an invaluable understanding of the unique challenges that charities face and their vital role in social impact.
Here’s how the discussion unfolded at the “Unlocking Philanthropy and Charitable Giving to Transform Local Communities” panel event at the Liberal Democrats’ conference:
Former social entrepreneur, Josh Babarinde MP opened the event. He highlighted the growing importance of civil society in creating social impact, particularly as public sector funding has diminished for over a decade. “Since 2010, we haven’t been able to rely on the public sector to fund the interventions needed for social impact.” Babarinde stressed that social enterprises and community businesses “marry the market with social impact” but need more government support to expand their capacity.
Nicole Sykes, Director of Research, Policy and Communications at think tank Pro Bono Economics, described how philanthropy in the UK, had experienced “a decade of decline” in terms of rates of charitable giving and volunteering. “Only a quarter of households regularly give to charity, and only 27% volunteer. Restoring philanthropy is crucial to improving our communities.”
Brown-Fuller MP stressed the need to make giving more sustainable outside times of crisis. She had set up a mutual aid group in her community during the pandemic in just 12 days, drawing on 75 volunteers. “The pandemic showed us that people are more than willing to give. But as life returns to normal, maintaining that giving spirit has become harder.”
Neil Heslop OBE, Chief Executive of the Charities Aid Foundation (CAF), spoke about the importance of building resilience within civil society organisations. “Philanthropy has unfortunately become associated with negative connotations. But what motivates people to give is a love of humanity,” Heslop said. He urged for more tailored support for charities, noting that “resilience looks different for different organisations.”
Heslop called for an inclusive environment where charities can grow and adapt based on their unique needs. “We must bring people together in an environment that is more inclusive and supportive than what we’ve seen over the past decade,” he added, reinforcing the idea that a one-size-fits-all approach won’t work for charities.
But how can charities build resilience, increase giving and what is the role of Government?
A recurring theme throughout the event was the need to remove ego from philanthropy and grant funding. Josh Babarinde called for a more community-driven approach, advocating for participatory budgeting and more diverse grant review panels. “We need to strip ego out of the grant-giving world and bring funding closer to the communities it’s meant to support.”
Donna Holland, CEO of Rockinghorse Children’s Charity, emphasised the importance of trust in charitable donations. “People give to us because they know exactly where their money is going,” stressing that transparency is essential in building long-term donor relationships. Yet she warned that many smaller charities are struggling. “Large charities often cannibalize smaller ones in the procurement process. The government could add real value by supporting all charities equally.”
Holland’s concerns echoed a broader theme: the need for the Government to help smaller, community-based charities compete for funding. “Small charities are folding in large numbers,” Holland added. “The government can play a crucial role in convening and supporting charities, especially the smaller ones.”
Drawing on his own experience working at the School for Social Entrepreneurs, Babarinde pointed to the potential for government to act as a convener and catalyst for innovation. “The Government must do more to help build capacity within civil society, both as a funder and as a convener. Collective impact models, like Harlem Children’s Zone, show how government can work effectively with charities.”
Smart, who is also a director of the Joseph Rowntree Reform Trust, emphasized this point. “As Liberal Democrats, we focus on what works. We’re not ideologically driven.” She highlighted the importance of collaboration between the statutory, private, and charity sectors and urged for a more straightforward tax system to make philanthropy easier. “We don’t need plaques on walls or a wing at the gallery to get things done. We need to make philanthropy easier and more impactful.”
Sykes argued that philanthropy isn’t just about large donations but also includes “time, treasure, talent, and testimony.” She outlined several solutions, such as more effective use of match-funding, stronger local community infrastructure, and improved engagement with financial advisors to make charitable giving easier.
Read PBE’s latest report Mission Give: The potential of better philanthropy advice
As the event drew to a close, there was a consensus on the need to rise to the challenge and the opportunities provided by bringing civil society closer to policy making. The 242 new MPs across all parties with experience in the charity sector are a beacon of hope and a real opportunity to address regional inequalities and strengthen communities across the UK.
Free resource: MPs and their experience in the charity sector
Read the other blogs in this series: