Latest Trends in Philanthropy in the UK 2024

As someone who’s been deeply involved in the UK’s social change landscape, I’ve had a front-row seat to the promising shifts happening in philanthropy. From my conversations with grassroots groups, funders, and fellow changemakers, it’s clear that we’re entering a new era of giving – one that’s more strategic, collaborative, and community-focused than ever before. Below are just some of the trends that we’ve been noticing in 2024*.

*disclaimer: most of these trends have definitely been around for a lot longer, but we’re including them here as they are gaining traction and becoming more common place.

1. Strategic Philanthropy and Systems Thinking

Gone are the days of simply writing checks. Today’s donors seek measurable outcomes and tangible impact. This strategic approach demands a deep understanding of systemic challenges. Systems mapping is just one of the approaches being used to identify and target the root causes of societal challenges.

2. Power to the People – Community-Led Change

If there’s one thing I’ve learned from working with over 600 social change groups, it’s that the most effective solutions come from within communities themselves. Funders are catching on to this wisdom:

• Local initiatives are getting more attention and resources.
• There’s a growing recognition in the value of lived experience.

This shift is heartening, but we need to ensure it’s more than just lip service. True community empowerment means transferring decision-making power and resources to those on the ground.

3. Tech for Good

Technology is changing how we give and receive funds. Platforms like Open Collective are making it easier than ever for individuals to support causes they care about. They’re also making it easier than ever for community-led organisations to transparently manage their finances without needing a full time accountant. 

4. Sustainable Development – Aligning Money with Values

Climate change is the defining issue of our time, and it’s inspiring to see more funders aligning their giving with environmental goals. Impact investing is on the rise, but we need to ensure these efforts don’t overshadow the vital work of grassroots environmental justice groups.

The UMI Fund is a great example of a funder which recognises the collective power of smaller grassroots environmental groups. We’re working with them to distribute microgrants to climate groups across the UK, as well as around the world.

5. Corporate Social Responsibility: Beyond PR

Companies are waking up to their role in creating social change. But here’s the thing – CSR needs to be more than a PR exercise. At The Social Change Nest, we’re seeing more businesses looking to partner with grassroots groups in meaningful ways. It’s a start, but there’s still a long way to go in ensuring these partnerships are equitable and impactful.

6. Strength in Numbers: The Rise of Collaborative Philanthropy

One of the most exciting trends I’m seeing is the move towards collaboration. Funders, NGOs, and even government bodies are pooling resources and expertise to tackle big issues. It’s not always easy – egos and competing priorities can get in the way – but when it works, the impact can be profound.

7. Place-Based Funding: Hyper-Local Impact

One trend that’s really taking off is the rise of place-based funding. This approach focuses resources on specific geographic areas, aiming to create deep, lasting change in communities.

What I love about place-based funding:

• It recognises that context matters. What works in London might not work in Leeds.
• It encourages long-term commitment to an area, rather than short-term interventions.
• It often leads to more collaborative approaches, as different local stakeholders come together.
  

What I worry about:

• There’s a risk of creating ‘funding deserts’ in areas not chosen for focus.
• It requires funders to really understand local dynamics, which can be time-consuming.

We’re seeing more funders interested in this approach. We’re working to help them connect with local groups and understand the nuances of the communities they want to support.

7. Participatory Grantmaking: Shifting the Power Dynamic

This ones been around a while, but is increasingly getting the attention it deserves. Participatory grantmaking is flipping the script on who gets to decide where money goes. Instead of funders calling all the shots, communities are being brought into the decision-making process. It’s not always easy to do, however, it’s an essential key step towards a more equitable funding landscape.

9. Nurturing Future Changemakers

I’m particularly excited about efforts to engage young people in philanthropy. From school programmes to youth-led grantmaking initiatives, we’re seeing a new generation of socially conscious individuals ready to take on the world’s challenges.

10. Trust Through Transparency

In an era of misinformation, building trust is more important than ever. Both funders and grantees are under increasing pressure to be clear about how resources are used. It can feel burdensome, especially for small groups, but ultimately it’s about accountability to the communities we serve.

Looking Ahead

These trends paint an promising picture of UK philanthropy in 2024. But let’s not pat ourselves on the back just yet. There’s still so much work to be done to create a truly equitable and effective philanthropic sector.

So, what can you do?

• If you’re a funder, consider how you can shift more power to the communities you serve. Maybe explore place-based funding in an area you care about.
• If you’re part of a grassroots group, don’t be afraid to advocate for your needs and challenge traditional funding models.
• And if you’re an individual looking to make a difference, seek out and support community-led initiatives in your local area.
  
  

Together, we can create a philanthropy landscape that’s not just about giving money, but about fundamentally shifting power and resources to where they’re needed most.