The Scottish third sector tracker - wave 9 report (Autumn 2024)
The ninth wave of the Scottish third sector tracker highlights the resilience and
adaptability of the sector as it navigates significant challenges, including rising costs;
financial constraints; and volunteer shortages. Despite these pressures, many
organisations continue to meet the growing demand for their services by adapting
services; collaborating with other organisations; and applying for additional funding and
fundraising. However, the sector’s reliance on limited financial reserves and the
unsustainable use of those reserves raises concerns about long-term sustainability.
Staff and volunteer recruitment remain key challenges, with organisations taking steps
to offer flexible working arrangements and increased salaries. Despite this, the
increasing number of redundancies and the struggles to recruit volunteers indicate a
workforce under strain, potentially limiting the capacity to deliver essential services.
Digital technology is a cornerstone of operations for most organisations, enabling
service delivery, communication, and financial management. However, there are some
gaps in cyber resilience and confidence around protection measures highlighting the
need for increased support and training in this area.
Looking to the future, the sector’s priorities include securing sustainable funding,
addressing workforce challenges, and improving digital capabilities. While confidence in
survival remains high, uncertainty is also near record highs, suggesting that ongoing
support will be crucial to protecting organisations and their ability to support Scotland’s
communities.
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