On 23rd June, Britain chose to leave the EU in a historic vote, which has caused shockwaves throughout the nation. Yet, while Britain will remain a part of the EU for at least another two years, there will undoubtedly be a period of instability—leaving the future of UK charities and not-for-profits uncertain. In response to the decision, the Charity Finance Group’s Chief Executive Caron Bradshaw stated that while ‘charities will continue to serve [their] beneficiaries as best [they] can…[the effects of Brexit] must not hamper our sector’s ability to serve our beneficiaries.’
However, the sector may find it more difficult to serve their beneficiaries, as UK charities and not-for-profits are expected to lose £217 million annually, once Britain separates from the EU, according to Britain Stronger in Europe. This amount is based upon the funding donated by the EU in 2014, which is the most recent year for which such data is available.
With future funding potentially lessened, the sector should remain diligent, monitor and assess the risks associated with any upcoming developments, and review their current processes. As a part of this preparation, UK charities should be aware that they will still be required to adhere to EU data protection standards such as the forthcoming General Data Protection Regulation (GDPR), according to the Information Commissioner’s Office. While Britain could amend or ditch the GDPR and other EU regulations during Brexit negotiations, charities would still need to follow similar rules if they want to communicate or market to EU countries. For example, the GDPR requires all organisations to receive unambiguous consent from people before using their data for marketing purposes.
However, despite the uncertainty that Brexit has cast over the sector, it has provided UK charities with an opportunity to discuss how organisations can better their communities. With more limited resources, now is the time to think creatively and critically about how resources should be invested to bolster Britons.
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