The Million Pound Donors Report 2012 - University of Kent

2. The continuing importance of and changing
context for philanthropy
By many measures in the UK we live in an era of
unparalleled affluence, which may raise questions about
the ongoing need and purpose of philanthropy in the
contemporary era. The idea of philanthropy is strongly
associated with the period of industrialisation and the
contribution of Victorian philanthropists such as Andrew
Carnegie, Joseph Rowntree and Angela Burdett-Coutts.
And while the motivations and ambitions for philanthropy
among the great 19th century philanthropists continue to
inspire contemporary givers, today’s context is clearly
radically different, which presents many challenges and
opportunities for philanthropy.
“ Philanthropy exists because of
two truths about the human
condition: things often go
wrong and things could always
be better. the philanthropic
tradition is the history of the
response to these two facts” 5 .
Civil society in the UK is incredibly vibrant and diverse,
with communities benefiting from the many thousands of
charitable organisations, social enterprises, faith-based
organisations, social movements, cooperatives and
mutuals. yet despite our relative affluence and apparent
strength of civil society, there are signs for concern. For
example, approximately a fifth of the UK population is
below the low-income threshold with many families
struggling to make ends meet 6 . In a time of austerity, it also
appears that the nature of the ‘social contract’ between the
state, business, civil society and individuals is also
changing as the state struggles to meet the needs of all who
may require its support.
the MIllIon PoUnd donors rePort 2012
3. What is philanthropy for in contemporary
society?
Fundamentally, civil society organisations, which touch the
lives of all of us at some point or another, will continue to
play a critical role in enriching our society, culture and
democracy. Many such organisations are dependent on
philanthropy to succeed.
Whilst philanthropy permeates every aspect of life in
contemporary society, the following purposes seem to
stand out:
• Providing the risk capital to innovate solutions to
society’s problems, such as the development of new
models of care, new models for education or more
sustainable models of energy or food production.
• Supporting organisations that work with the most
vulnerable and that help break cycles of poverty.
• Supporting organisations that influence policy and
practice on the part of all sectors (state, business and
civil society organisations).
• Supporting activity that enriches our democracy and
that engages people in decision-making processes.
• Supporting activity that strengthens community
resilience and cohesion, and improves the environment
in which we live.
• Supporting organisations that enrich our culture and
provide a source of entertainment or recreation,
including the arts.
And while the above discussion has focused on the need for
philanthropy in the UK, the findings of this and past
reports illustrate that a significant proportion of
philanthropic resources supports civil society activity
outside of the UK where, some may argue, the ‘need’ for
philanthropy may be even more significant.
5 This quote is from ‘Understanding Philanthropy: Its meaning and mission’ by Michael Moody and Robert Payton, published in 2008.
6 Department of Work and Pensions, June 2012, http://statistics.dwp.gov.uk/asd/hbai/hbai2011/pdf_files/first_release_1011.pdf
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