Declining Charitable Donations in Canada Raise Concerns for Charities

Charitable giving in Canada hits record low, raising concerns for charities struggling to meet demand. Experts call for collective action to sustain critical services.

author-image
Sakchi Khandelwal
Updated On
New Update
Declining Charitable Donations in Canada Raise Concerns for Charities

Declining Charitable Donations in Canada Raise Concerns for Charities

The number of Canadians donating to charities has reached a new low, with only 17.7% of Canadians giving in 2021, according to a report titled "The Giving Report 2024: From Disconnection to Collective Action" by CanadaHelps, Canada's largest online donation and fundraising platform. This marks a significant decline from 21.9% in 2013, raising concerns for thousands of charities struggling to meet heightened demand for their services.

The report attributes the declining donation rates to Canadians becoming increasingly disconnected, with shrinking social networks making it harder for individuals to see how they can make an impact. While fewer Canadians are donating, those who do contribute are giving more, creating a precarious situation for charities that rely on a shrinking group of donors.

More than half of Canadian charities are currently unable to meet demand, a situation mirrored in local initiatives across the country. In Thunder Bay, economic fluctuations can significantly impact donors' capacity to give, further exacerbating the challenges faced by local charities.

Why this matters:The declining charitable donation rates in Canada have far-reaching implications for the thousands of charities that provide critical services to communities in need. As the demand for charitable services continues to grow, the sustainability of these organizations is at risk, potentially leaving many Canadians without access to vital support.

Despite the concerning trends, the report also highlights some bright spots, such as the rise in monthly donations and securities donations. Engaging younger Canadians in philanthropy is seen as vital to sustaining future charitable efforts, particularly in cities like Thunder Bay, where energizing a new generation of donors could be key to the long-term sustainability of local charities.

Marina Glogovac, President and CEO of CanadaHelps, emphasizes the importance of collective action, stating, "While affordability challenges persist, Canadians who are in a position to give should do so by donating, volunteering, or taking action in another way to help Canadians in need."

Key Takeaways

  • Charitable donations in Canada hit a new low, with only 17.7% of Canadians donating in 2021.
  • Declining donation rates attributed to Canadians becoming increasingly disconnected and social networks shrinking.
  • Over 50% of Canadian charities unable to meet demand, exacerbating challenges in communities like Thunder Bay.
  • Engaging younger Canadians in philanthropy seen as vital to sustaining future charitable efforts.
  • Collective action, including donating and volunteering, encouraged to help Canadians in need.