Large donations to universities in the UK and Ireland may be masking ¡°worrying trends¡± for smaller gifts and a declining number of donors, according to the latest annual survey on charitable giving in the sector.

The shows that despite the pandemic, the 95 institutions surveyed secured ?1.14 billion in ¡°new funds¡± ¨C including donation pledges ¨C last year, with the average per university rising 5 per cent.

However, almost ?300 million of this was secured by two ¡°elite¡± institutions ¨C likely to be the universities of Oxford and Cambridge, which both took part in the survey ¨C and included a single pledge of ?61 million.

Some other institution clusters analysed by the report ¨C six ¡°established¡± institutions and 30 institutions described in terms of fundraising as ¡°developing¡± ¨C saw a fall in new funds, while average donor numbers across all institutions fell by almost a fifth.

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Other figures in the report ¨C produced by the?Council for Advancement and Support of Education (Case) ¨C show that total cash income received in 2020-21, which excludes pledges for future years, was ?1.02 billion, a fall of 3 per cent from the year before.

In a foreword, the report says that ¡°very large gifts have a disproportionate impact on the sector¡¯s success¡± and that ¡°indeed this year, they may mask some worrying trends in mid- and lower-level giving¡±.

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A ¡°reliance on large gifts¡± was also increasing and was ¡°particularly notable¡± for the cluster of six ¡°established¡± institutions, which are not named in the report.

It adds that the headline figures gathered by the survey ¨C which as well as an increase in new funds also included an increase in average spending on fundraising and alumni relations ¨C appear to show that work building ¡°pipelines¡± of donors in preceding years has ¡°paid off¡±.

But long-term indicators suggested that growth in fundraising had stalled since 2015-16 and there were signs this could be ¡°further eroded in the coming years¡±.

¡°Our relationships with our top donors remain strong. Less positive, is the continued gentle decline in donor numbers: it could be argued that our wins in 2020-2021 ¨C particularly gifts large enough to have an impact on the sector¡¯s figures ¨C are the fruits of relationships built over many previous years,¡± the report says.

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¡°As we look towards the future, global slowdowns or recessions, and high inflation, are likely, which may impact donor behaviour. Universities will surely be pinched ¨C and we know that can lead to stalled or removed investment into fundraising and alumni relations functions. Both these factors could further affect pipelines.¡±

simon.baker@timeshighereducation.com