Overview of the UK charity sector

A career in the nonprofit sector is more than just about receiving a salary - it's about knowing you're making a positive impact on people's lives. Learn about top employers and the opportunities for growth in the sector

What is the third sector?

The charity sector, also known as the 'third sector,' 'voluntary sector,' or 'not-for-profit sector,' is dedicated to creating social value rather than pursuing financial profit. Charities work passionately to tackle various issues, such as:

• social services
• housing
• health crises
• education
• poverty
• human rights.

The voluntary sector has experienced significant growth in recent years. In 2024, it employed over one million people, with an additional six million contributing their time through voluntary work. England has the highest concentration of charities in the UK, while Northern Ireland has the lowest.

What areas of the charity sector can I work in?

The work in the charity sector involves more than just fundraising. Depending on your skills, you could work in:

• accountancy, banking and finance
• administration
• advice and counselling
• business and project management
• campaigning, lobbying and fundraising
• corporate social responsibility (CSR)
• human resources (HR)
• information technology (IT)
• marketing, advertising and public relations (PR)
• research and policy
• retail
• social care
• support services
• teaching, education and training
• volunteer management and co-ordination.

Who are the main graduate employers?

Employers in the not-for-profit sector include small and medium-sized enterprises (SMEs), social enterprises, non-governmental organisations (NGOs), and large charities. Some of the largest charities in the UK are:

• Age UK
• Alzheimer's Society
• Barnardo's
• British Heart Foundation
• Cancer Research
• Childline
• Macmillan Cancer Support
• MSF (Médecins Sans Frontières)
• Royal British Legion
• RSPCA (Royal Society for the Prevention of Cruelty to Animals)
• Samaritans
• The Princes Trust
• The Salvation Army
• UNICEF
• Wellcome Trust.

While large charities often take the spotlight, the sector is largely made up of small and medium-sized enterprises (SMEs), accounting for about 80% of all organisations. These SMEs typically operate on a local level, creating a network across the country. Some examples of local charities include:

• Break (Norfolk)
• Carefree Cornwall
• Fresh Start (Edinburgh)
• Jessie May (Bristol)
• Mustard Tree (Manchester)
• The Renewal Trust (Nottingham)
• Sheffield Young Carers
• SHP (London)
• Smile for life (Newcastle)
• The Old Enfield Charitable Trust (London)
• 42nd Street (Manchester).

In these smaller organisations, you may find yourself taking on multiple responsibilities or roles to ensure all tasks are completed.

Popular graduate charity employers include:

• Amnesty International
• British Red Cross
• Cancer Research UK
• English Heritage
• Mind
• National Trust
• Oxfam
• RSPCA
• Save the Children
• WWF (World Wildlife Fund for Nature).

Read up on working for a pressure group.

What's it like working in the third sector?

You can expect:

• most jobs to be office-based
• a lower salary and reduced job security compared with the private sector
• to work on temporary contracts due to short-term funding
• a predominantly female workforce
• flexible working conditions, including the opportunity for part-time work and home-working
• to travel during the working day for some roles.
• You may need to visit service users or travel between sites. International travel is also possible if the charity you work for has an international agenda
• work to be stressful when resources are low
• huge job satisfaction and career progression opportunities
• strong competition for paid employment.

To find out about salaries and working conditions in your chosen career, see our job profiles.

What are the key issues in the charity sector?

The cost of living crisis

The increasing cost of living, driven by inflation and higher prices for basic necessities, is putting a significant strain on individuals and families. Charities are seeing a sharp rise in the need for their services as people struggle to make ends meet. The UK Giving Report by the Charities Aid Foundation found that 56% of charities reported a surge in demand for assistance.

Smaller charities, especially those susceptible to reduced donations and cuts in government funding, are likely to be the hardest hit by this crisis.

Volunteer retention

Non-profit organisations heavily rely on volunteers. According to the Present Struggles, Past Origins report by Nottingham Trent University, it has become increasingly challenging for 61% of charities to attract volunteers, with nearly half not experiencing any growth in volunteer numbers over the past year. Almost 70% of organisations cited family and caring responsibilities as a major obstacle to retaining volunteers, while work commitments and a decrease in flexible working arrangements have also had a negative impact.

Workforce diversity

The charity sector is facing a diversity gap. According to the State of the Sector report by NPC, 52% of black and 38% of Asian individuals accessing charity services feel that people from the global majority are not represented enough. Similarly, 17% of users are concerned about the representation of LGBTQ+ individuals. Many organisations have strategies to address equality, diversity, and inclusion, but limited financial resources, staffing capacity, and a shortage of human resources skills are significant barriers to progress.

Find out more

• See what the charity and voluntary sector has to offer.
• Explore our tips on getting a graduate charity job.
• Discover opportunities to volunteer with children or animals.