Digital Technology Adoption in the UK Charity Sector

Abstract

Digital technologies, from smartphones to the Internet of Things, have significantly changed lives, organisations, and societies. The UK, a leader in developing future technologies like artificial intelligence, aims to boost its technology ecosystem, which is central to its economic growth as highlighted in the HM Treasury Autumn Statement 2023.

The UK's digital sector, with a gross value added growth of 19% since February 2020, outpaces the overall UK economy's 2.3% growth. By 2022, the sector contributed approximately £158 billion, accounting for 7% of the UK's gross value added as of September 2023. Digital technology has also notably impacted the charity sector, enhancing fundraising, marketing, service delivery, and operations, especially accelerated by COVID-19. Yet, over half of UK charities are still in the early stages of digital adoption, and 73% feel unprepared for AI, despite recognising its potential.

This study explores the opportunities and challenges of digital adoption in the UK charity sector, aiming to understand the facilitators and barriers and offer recommendations for its future digital development.