The pitfalls of charity fundraising

The death of Olive Cook, one of Britain's oldest and longest-serving poppy sellers received a lot of media coverage. There have been suggestions that the 92 year old took her own life, jumping into the Avon Gorge in Bristol, because she felt hounded for money by charities. At one point she received 267 charity letters in one month. Mrs Cook's family have been at pains to state that they did not feel that the charities were to blame for her death but did accept that the letters and phone calls were intrusive.

The Fundraising Standards Board FRSB is an independent self-regulator for fundraising in the UK. Their mission is to encourage high standards in fundraising to ensure public confidence when donations are made. The FRSB reported 384 complaints from 25 May to 5 June 2015 which is a significant increase in comparison to the total of 488 fundraising complaints in the whole of 2014.

The FRSB has commenced an investigation into charity fundraising practices following Olive Cook's death. They want the public to have more control over the way charities approach people and make it easier for the public to opt out of unwanted contact.

Fundraising is a lifeline for many small charities, particularly in this so-called 'age of austerity'. However, it is vital for charities to ensure that they do not undertake aggressive marketing campaigns.

In addition to the Charity Commission, which is the independent regulator of charities in England and Wales, and the FRSB, there are a number of other organisations to which charities are accountable including the Trading Standards Institute, OFCOM and the Advertising Standards Authority.

It is important for Charity Trustees to be aware of the risks involved with fundraising activities. Such activities must be in line with the charitable objectives of the charity and must not jeopardise public trust.

This is complex area and to ensure that your charity uses its resources to raise funds both effectively and ethically, you should obtain legal advice.

To discuss this or other charity related issues, contact us.