Paget, A. & Birdwell, J. (2013). Giving something back. Demos, London

8/13/2019 Paget, A. & Birdwell, J. (2013). Giving something back. Demos, London

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Measuring the socialvalue of charityshops

GIVING SOMETHING BACK

Ally Paget

Jonathan Birdwell


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Demos is Britains leading cross-party t

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First published in 2013 Demos. Some rights reserved

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GIVING SOMETHINGAlly PagetJonathan Birdwell


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Contents

Acknowledgements

Executive summary

Introduction

1 Measuring the social value of cha

2 Social value to individuals

3 Social value to communities

4 Charity shops and the high street

Conclusions and recommendatio

Appendix 1 Overview of additiona

study areas

Appendix 2 Detailed methodologeconomic analysis

Notes


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Acknowledgements

This report would not have been possible wthe Charity Retail Association. In particulathank Warren Alexander, Wendy Mitchell their hard work and valuable contributions

Regrettably, there is not enough spac

name the dozens of charities (both membeof CRA), which have generously agreed to supplying data, circulating surveys to manand allowing us to feature their excellent wNeedless to say, their contributions were esof the research.

The project benefited greatly from thparty advisory board. Richard Cuthbertsonmention for his extensive advice and suppoare also indebted to Martin Blackwell, AndBranson, Clive Dutton OBE, Paul Farmer,

Richard Graham MP, David Lammy MP, AParrott AM, Iain Scott, Richard Sweet, SteChris White MP. We are grateful to CBRELocal Data Company for supplying us withor at cost. Matthew Tribbeck at Newport C

Kirton at Northumberland County Councsupplying information that informed our cNewport and Morpeth, respectively.

At Demos, our thanks go as ever to Rh f l idi hi

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Executive summary

9

From its origins in Salvation Army salvagethe twentieth century,1 the charity retail secexpanded considerably. Faced with increasthe economic downturn, the rising cost of lpublic sector, charities depend more than estable source of funding for the services the

Yet charity shops have a value beyondparent charities. Charity shops provide valservices and inexpensive goods to an increa

the population. According to our survey ofevery ten of us have purchased from a charyear, and nearly eight in every ten have don

They also provide a number of imporeconomic benefits to individuals includin

or volunteers and local communities acroincreasingly vital to Britains struggling higLong before the recent recession, the

sales and out-of-town retail growth was advhi h i i i h di


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calculation of social return on investment in tcorporate sector.5We draw on that work in ththat charity shops sit at the centre of a rich anacknowledged network of social and econom

MethodologyWe undertook a range of quantitative and quexplore the benefits that charity shops provid

Executive summary

three focus groups with experts from the charsectors, town planners and economists, and mpublic, in London and Rochdale

a representative survey of 2,200 members of t a survey of 300 charity shop managers and vo semi-structured interviews with charity shop m

volunteers, independent retailers and local ausix areas of the UK: Margate, Morpeth, NewpPaisley in Scotland, Birmingham city centre aNorthern Ireland

a comprehensive review of all the available qu

from our case study areas both local economindicators (including footfall, change in rentavacancy rates) and trends relating to charity rfive years


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combats isolation and improve wellbeing, reliance on health and care services.

Charity shops greatest strength lies iwith local communities, which is forged thoverwhelmingly local, pool of staff and vol

of their unique place in the community chabring a new and powerful voice to the regehigh streets.

Our findings are discussed below.

Charity retail is vital to charities incomes and

high street

While they account for only 0.39 per cent ocharity shops generate as much as 18.7 per total income.8 They are an important lifelin

charities, through their fundraising and byprofile; according to our public polling, 59believe that charity shops presence on the people to give to charity. In this respect, chon particular importance as a source of cha

the peak of the recession the total amount declined by 13 per cent,9 and 59 per cent ofhaving been affected by the downturn.10 Titself has not been immune to the recession

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Charity shops are increasingly important for me

due to the increased cost of livingThe minimum cost of living in the UK has risper cent since the start of the recession,11 and prise at a much faster rate than wages.12 The imall levels of society, including the poorest and

squeezed middle. This is reflected in the steacharity shops customer base. Our public pollAB and C2 groups are the most likely to buy goods, challenging the view that charity shopany one socioeconomic group. In our public of all social groups said they would be likelybuy second hand from charity shops as a way

Charity shops provide significant benefits to ind

opportunities for volunteering and employment

Charity shops employ an estimated 17,296 staand have a volunteer workforce of some 213,3when unemployment stands at 7.6 per cent,14

employment assists the economy as a whole aindividuals. Of the volunteers who responded

third were retired and one in five were in the pfor paid work. Volunteers said they valued theretail experience as a path to paid employmenemployment after a period of illness or injury

Executive summary


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social interaction, 29 per cent said they procommunity and 28 per cent said that charidifferent generations to meet. Our researchemployees and volunteers in charity shops from the local area, and value charity shop

action. Over 90 per cent of volunteers citedmeeting new people as a benefit of voluntin ten cited this as the most important benefrom volunteering.

Charity shops are well placed to cater to the

local community through local partnerships

Social value is most effective where it has tresponsive to local needs. Our research revand innovative examples of effective local p

including South Bucks Hospices four-waylocal council, a nearby prison and a waste mcompany, and a charity shop in Wales whicstall in a local care home. Our research foushops are used as gateways and signposts

and even to deliver services directly (as witsome Shelter stores). More generally, charipotential for showcasing, promoting and his often underexploited.

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Positive attitudes among the public were linkeabout how the money raised from charity reta

There is no evidence that charity shops are hav

economic impact on the high street

Our analysis and our public survey results suggrowth of charity shops on the high street is athan a cause, of high street decline. Specificalanalysis of available data found that charity shincrease rents for other shops on the high streprevent small and medium-sized businesses frhigh street. There is no evidence to suggest thcharity shops is causing or facilitating high st

Charity shops are stabilising the high street in aclimate and will be increasingly important to th

high streets

Contrary to the view that they are having a nelocally, charity shops appear to be exerting a

on ailing high streets as they have ensured thasteady, they cater to specific local needs, and would otherwise be empty. They are also prevcrime and antisocial behaviour by occupying

Executive summary


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impact that all charity shops have an impthan local services to encompass ancillaryemployment, volunteering, etc. Regardlessspent on national medical research, internaservices, all charity shops have the potentia

local root network, because they are so mcommunities.

Charity shops should translate what individual means in terms of tangible outcomes and advertParent charities that run charity shops shouthe British Heart Foundation and explore whave directly on local communities as a resgenerated by those charity shops. This couthe argument for their presence on the highdemonstrate the social value benefits they

The Charity Retail Association should work withdevelop a toolkit that charity retailers could use their social value. To work towards a social rcalculation for the entire sector, each indiv

begin to understand and quantify its own sreport is the first step in this process. The CAssociation should build on the research pdevelop a toolkit that charities could use fo

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interaction it provides and the contribution tohealth. Yet, only a very small percentage of voreferred to charity shops through Jobcentre Ppotentially significant gains to be made in indcommunity resilience and expenditure on hea

promoting local opportunities to volunteer.

Local authorities need to ensure that charity retailelocal regeneration initiatives. While there are somexceptions, our research suggests that charityleft out of local regeneration initiatives. This igiven their established presence on the high sauthorities need to ensure that charity retailerof regeneration initiatives and charity retailersproactively engaging in regeneration strategie

Executive summary


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Introduction

17

Whether it is Cancer Research UK, Oxfamevery town has at least one. Charity shops street fixture at a time when British high stcharacterised by struggle and change.

Charity shops offer an opportunity founique and essential goods at bargain priclow income rely on them to make ends meetrue for many in the middle classes, whose declined while costs have continued to rise

At their best, charity shops can proviconsumer experience, giving people the safound a desirable item, at an attractive priccharity and the environment in the process

Of course, the quality of charity shop

significantly. Some still conform to the perselling damp and disordered stock, but incbecoming an outdated stereotype. Charity professionalised: goods are clean, shops ard l l l d h h h


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A very British institution

The charity shop in its contemporary form stecharities after the Second World War to raise war effort. One of the first shops was establishOxford, when Oxfam was overwhelmed by dothe public in response to an appeal for aid to

war famine in Greece. The shop on Broad Stroperation today.17

Since then, the number of charity shopsgrown significantly. There are estimated to becharity shops in England, raising around 240each year; 500 charity shops in Wales, raising

annually; and 900 in Scotland raising 26 milNorthern Ireland, just under 300 shops bringeach year for their parent causes.18

The benefits of charity retailThe core purpose of charity shops is to raise mand they have become a lucrative and essentiamany charities income. According to a 2009 of the total income of charities now comes fro

The 78 largest charities that run charity shopswork generate an average of 27 per cent of thefrom their stores, while across all charity retairanges from 3 per cent to 100 per cent.

Th f h i i li i

Introduction


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Charity shops provide significant envproviding citizens with somewhere to donagoods, rather than simply throw them awayreuse of goods. Estimates suggest that UKactivity alone helps reduce CO2 emissions

tonnes per annum21

roughly equivalent tofootprint of Iceland.22 Oxfam receives betwtonnes of donations most months, rising to

January, when shops benefit from unwanteScotland, over 45,000 tonnes of goods are shops every year. Only a very small percen

are wasted: goods that are not sold in the Utextile reprocessing plants or abroad.

Charity shops provide local job oppoplace for local citizens to volunteer. Some pthe social interaction with other volunteers

a way of giving back to charity and the comfor work experience or to move back into wor prolonged unemployment. Volunteeringbuild confidence and social skills, and impthose with disabilities who are unable to w

regularly.

This reporth h d k b

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I t d ti


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proliferated in recent years, increasing numbeand charities are focused on the social return (SROI) model, developed by the research insEconomics Foundation (NEF). The SROI moGovernments preferred approach.

In the Demos reportMeasuring Social Vacapacity of third sector organisations to captusocial value generated by their activities throumodel.23 More recently, the Demos reportMeendeavoured to construct a new model for socenable private companies to explore and capt

of corporate social responsibility and sponsorparticular, it set out a framework to measure Csponsorship of the London 2012 Olympic andGames.24

For this research we combined qualitativ

techniques with a range of stakeholders to expand social value of charity retail.

First, we ran a series of structured worksmembers of the public and sector experts to iindicators of economic and social value that a

charity retail. We ran two workshops in LondRochdale, which is often cited as a depressed each of the workshops, participants identifiedcharity shops provided and ranked them in or

d d d

Introduction

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community and their individual experiencevolunteers.Third, we undertook in-depth and de

studies of six locations across the UK: BirmWales, Morpeth, Paisley in Scotland, Marg

Northern Ireland. In each of these areas, wstructured qualitative interviews with manathe shops of regional and national charitiesmanagers and local authority staff with resregeneration. Four of these case studies arebetween the main chapters of this report; t

presented in appendix 1.Finally, we undertook a review of qua

economic health indicators of a local area acharity retail.

In the following chapters we present

research. In chapter 1 we discuss debates armore detail. We also present the findings oexpert workshops the list of social value to charity shops. In chapters 2 and 3, we dibenefits to individuals and communities, re

4 we look at the decline of the British highshops might help to regenerate high streetschapter we present our recommendations. our two case studies on Birmingham city ce

d d b h h d l

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1 Measuring the value of charity

23

Calculating the social value of charity retastraightforward. Charity retail has a long cand provides a number of social benefits

monetise. However, recent efforts to captuvalue could dramatically change the way inconsider and demonstrate their value. In tha brief summary of efforts to measure sociaindicators of social value for charity shops

our research through workshops with memand experts.

A boon for charities

The emergence of charity retail provided a source of income for a wide range of charitmost obvious beneficiary from charity retaithat operates the shop. As noted above, the8 h i h i E l d hi h i

Measuring the social value of charity s


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be raised by charities, which could have negaeffects for those who rely on charities.

Defining social valueBeyond the money they raise, charity shops emprovide volunteer opportunities for thousandThey save the public the cost of paying out-ofsome employees, and volunteers can benefit finteraction involved with subsequent improhealth and wellbeing. Sometimes volunteers u

to apply successfully for paid work after havinunemployed.

Charity shops provide significant envirothrough the reuse and recycling of goods, whspace and helps the UK reduce its CO2 outpu

not directly sold in the UK are either sold on remanufacturing plants, or sold in developing

Finally, charity shops can provide a sensand help to facilitate social interaction and comore than any other retail outlet, charity shop

range of customers and staff members. They cshop of choice for people with different incomIn sum, the social value of charity shops


h f i d f h h i

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InMeasuring Social Value, Demos survdifferent approaches to measuring social vadegrees of emphasis and rigour in quantifynot reproduce that overview here, we recomreaders refer back to that report.26

As noted inMeasuring Social Value, thauthoritative definition of social value. Accdeveloped the SROI framework, social valsocial, environmental and economic costs adecision making, providing a fuller picturecreated or destroyed.27 The most widely u

value SROI functions by ascribing monintangible or soft benefits mentioned abo

The main outcome of an SROI calcuSROI ratio the ratio of total benefits to example, NEF research into a training prog

offenders found that 10.50 of social value every 1 invested. Similarly, it has been estipound invested in the Every Child a Readeintensive, one-to-one mentoring programmbetween 11 and 17 over the course of a ch

challenge for the charity retail sector is to csimilar SROI ratio is achievable and appro

C l l ti i l t i t

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Moreover, the diversity of different apprmany organisations confused and overwhelmmodel is the agreed gold standard of social vprimarily because it is the most rigorous and values to all instances of social and intangiblethere are a number of drawbacks to the SROIexample, because of the focus on measurabilithat the SROI model privileges those outcommeasured over those that might be more impocertain contexts.

Similarly, because of its emphasis on qu

SROI model is unable to incorporate qualitatvalue. For example, the social interaction aspeshops would be extremely difficult if not impHowever, charity shop managers, volunteers apublic say that the interactions that take place

are important and unique compared with thoof other shops or places within the communitsocial value in the charity retail context must quantify benefits as far as possible, but also mqualitative insights of value. While the SROI

appropriate for the charity retail sector in the some larger charities in certain contexts a minclusive approach is needed currently.

easu g t e soc a va ue o c a ty s

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Our list of indicators for the benefits included:

fundraising awareness raising providing cheap and affordable goods recycling providing local volunteering opportunities encouraging different generations to meet filling empty shops providing opportunities for social interacti

competing with other shops providing local employment opportunities acting as hubs or information points

Workshop participants were able to s

indicators, though the majority stuck with Workshop participants were divided into sto discard those indicators of social value tapply to charity shops. While responses difcommon indicators that were discarded we

with social interaction and cohesion benefi

acting as hubs or information points providing opportunities for social interacti

h h h



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Participants were asked to rank the indihow successfully charity shops provided theseAgain, responses differed. This is the most coorder, from most important or achievable to l

1

fundraising2 awareness raising3 providing cheap goods4 recycling5 providing opportunities for social interaction6 providing local volunteering opportunities7 competing with other shops8 filling empty shops9 providing local employment opportunities10 providing a sense of community11 encouraging different generations to meet

12 acting as hubs or information points

Participants were asked to assign each oindicators to one or multiple beneficiaries. Ththe business (the parent charity), the individu

community. The result of this classification pfigure 1. We explore these benefits in detail in

C t d 1 M th

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number of long-established independento close permanently. More recently, sosuch as Next have moved out of the are h h b hi h th ll

Figure 1 Social value indicators grouped ac

Fundraising

Awareness

CommunityWho Benefits?

Business

Sense ofcommFillingempty sCompetition



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Likewise, the 32 million Sandersonhas had a mixed reception from local busopening in late 2009, the Arcade has attrcustom, but business owners on nearby Nehas diverted footfall from their shops. Theaction group to petition the council for a business rates to reflect this change of reta

The Arcades relatively high-end shoconsidered to be catering to visitors incl

from nearby Newcastle rather than locashops are therefore seen to address a signif

provision of affordable clothes for the locaBut charity retailers we spoke to in

solely focused on local custom; they saw thcontributors to the towns attractiveness adestination. This was reflected in the part

standards of visual merchandising we fou

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2 Social valueto individuals

This chapter focuses on the benefits to inddirectly engaged with charity shops, primaopportunities for employment and volunteshops provide. While there is a large body

benefits of employment and volunteering mof which is outlined below), there is very liprofile of individuals who are employed orshops specifically.

Thus, we present the research finding

survey of charity shop paid staff managers total sample size was just over 300 respondsplit between volunteers and managers. Wrepresentative, our findings begin to shed land volunteers in British charity shops. We

findings of our quantitative survey with quour area case studies.

Wh h it h ?

Social value to individuals


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Local connections

Our survey found that charity shop managersconnected with their local areas: 70 per cent ofrom the local area in which the charity shop wmany had lived locally for a significant period40 per cent of managers lived locally for morecompared with just 2.8 per cent who had liveda year.

Shop managers had often remained in thyears. Just over 40 per cent had worked in themore than five years of which almost a third (been involved for more than ten years. A furth

worked in the charity shop for between one awere in the prime working age range of 2665cent were 2635 years old, 23 per cent were 3619 per cent were 5665 years old.

This suggests that charity shops offer go

people of working age who then tend to stay wa substantial period of time. This profile is espin economically depressed communities with unemployment.

From volunteers to managers

Our survey found that people came to be chathrough a variety of routes. The most commo

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environment that was understanding needs; colleagues helped him with liftinhim the time he needed to build his captime, E built up to 30 hours of volunteeventually led to a paid position.

The shop and the charity benefitoped in his previous career for examof networking makes him a valuable alocal businesses to encourage donationdifficult circumstances, E is now back valuable contribution to make to his w

Around two-thirds (65 per cent) of chhad previous experience working in retail, had experience working in the charity secto

suggests that as larger changes to the retailthe number of job opportunities, those witfinding employment opportunities in the c

Calculating the SROI of paid employees in th

While our survey only begins to scratch thprovide some insight into the profile and semployees in charity shops. Charities them



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Ultimately, charities need to calculate thfor their paid employees if the charity shop wexample, how likely would their employees beor would they be likely to be unemployed becsimilar opportunities? If it was likely that theyunemployed, the calculation would then requthe average cost to the public purse based on profile and how many dependants they have. of unemployment in the area for a similar jobbe factored in, and then combined with studiepotential mental health impacts of extended l

unemployment. Some of these figures will be but engaging in the process of determining thcharities calculate their wider social value to lbeyond simply talking about the number of jo

Charity shop volunteersWhile the social benefit of paid employees in sector is certainly worth noting, the benefits tsector are more significant because charity sho

volunteering opportunities than any other insto over 213,000 people across the UK. On avevolunteers per shop, spread between in-store collection, warehousing and head office. The

l h b b ll f

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likely because hospice-related charities are their volunteers than other charities are.38

The benefits of volunteering

In general, there is an abundance of evidenpositive effects of volunteering. Both self-rlongitudinal research looking at the life ouwho volunteer regularly show that volunteof confidence, personal growth and skills d

A well-known study of volunteering f

various types of volunteering activities havpsychological and life benefits for individuresearch, these benefits arise out of volunteconnection to others, so they build meaningain social and personal confidence, and u

stronger feeling of belonging. These persolead to better health, work and life outcomvolunteer.40 Similar results have been founprogrammes across the world such as the Aprogramme in the United States,41 in nume

studies42

and in sociological analyses.43

Volunteers in the UK report these kintheir volunteering activity. In the 2008 citicent of British volunteers said that they ben



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What age are charity shop volunteers?

Our survey of volunteers helps to paint a richthese volunteers are. We found that just over cent) of our volunteer respondents were retirelooking for work and 18 per cent were studen40 per cent of respondents to our survey wereand 75 years old, equally split between 5665 years. As their survey responses made clear, thfound that volunteering offered a way of stayisocially engaged after retirement, while also glocal community and charity in general.

This age profile is consistent with wider

across Britain, retired people and those nearinpension age still account for a large proportio

According to research by the insurance compcent of over-55s say they plan to volunteer in sone in five within this group chose volunteeri

shop as their first choice. The Aviva research wcalculate that the typical over-55 volunteer spper year volunteering in a charity shop, with twork if paid at minimum wage equating tyet the benefits of volunteering, particularly fold age, in providing a positive activity, combloneliness and maintaining mental and physiclikely to be enormous.

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and a further 13 per cent have volunteered longer. The highest proportion came to voinquiring in the shop, seeing a sign or throrelative. Only 5 per cent reported that a jobcentre had suggested it to them. As the 201shops suggests, despite growing numbers oalso increasing concerns about finding newrecommend that referrals through job agenshould be explored further.

Nearly one-third (29 per cent) of volugo on to work or study, demonstrating the

as a springboard to productive activities. Gmany volunteers, it is unsurprising that neaplanned to continue in the same role and/ovolunteering, with a further 6 per cent sayithey planned to retire or continue to volun

retirement.

Benefits to charity shop volunteers

Respondents to our survey were extremelyabout their reasons for volunteering (figurpopular reasons given were contributing tothey volunteered for (96 per cent) and congeneral (94 per cent). Thus the altruistic m



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Figure 2 Volunteer-reported benefits of volunt

charity shop

Percentage

Somewhat disagree

Disagree strongly

Agree strongly

Somewhat agree

millscengononon

100

80

40

60

20

0

Dont know Neitheragree nordisagre

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When asked to choose the most impovolunteer, respondents most common respcontribution to charity generally (one in fivmost common motivation (15.5 per cent) wcontribution to the specific charity that ranseems that the primary motivation for volu

altruistic in nature.Beyond altruism, social interaction w

primary benefit volunteers received. Just ovolunteers said that meeting new people anmost important thing they gained from vol

another one in ten said they enjoyed the seteam. The example below illustrates this.

Box 2 Social interaction and gaining conf

When J was made redundant after sa local manufacturing plant, he foundfor a while and feeling as if he was stubored. After stopping by a charity shopwas convinced that he could gain someon his CV and demonstrate his employat one of their stores. When Demos spovolunteering for a few months and waabout his decision. Although he would



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Figure 3 What volunteers and managers consider

benefit for volunteers

Source: Demos survey of volunteers; Demos sur

Managers

Retaile

xperien

ce

So

Contributetothischa

rity

Contrib

utetocha

rity(ge

nerally)

0

5

10

15

20

25

Percentage

Volunteers

Contributetolocalc

ommunity

Senseofbelo

nging

Worke

xperience

generally

Improved

physic

al/me

ntalhe

alth

Newskills

Improved

self-esteem/c

onfidence

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the profile of volunteers whether they have a similar opportunity to the benefits of volunteering, including the

social benefits to those retired and disabledto paid employment for those seeking it

whether these benefits could be turned int

calculation for savings to the public purse

For example, our survey suggests thaper cent of volunteers were retired and betwand 75 years old. Assuming that this is repr

whole population of charity shop volunteeto approximately 85,000 people of retiremthis proportion, it is unclear precisely how otherwise disconnected from friends and fafrom loneliness but again a rough estima

extrapolated from other research. More genreports about a crisis of loneliness among tMost recently, Health Secretary Jeremy Hunational shame, quoting figures from the CLoneliness, which suggest that 800,000 in chronically lonely.48

In addition to the moral imperative torightly highlighted by the Health Secretarysignificant cost to public services as social i



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Box 3 Benefits to older volunteers

During the course of our research, Barnaits longest-serving volunteers to coincide wVolunteers Week. Kathleen Leech, 83, hasBarnardos charity shop in Frome for 15 ydemonstrates the benefits of volunteering p

shops:

I moved to Frome to be closer to my daughtepassed away, but I was sat indoors just watcreading... She realised I was bored so one da

around the Barnardos shop and on the spuasked the manager if they needed any more been thinking about volunteering but I didnbe here 15 years later... Ive always enjoyed meet so many different people, and weve go

ages I even end up showing some of the yothe technology on the till!... Volunteering givup and get out of the house. It keeps me hapknow that were helping vulnerable children

Case study area 2: Newport

The Newport case study shows the adversetown shopping centre, high business rates,

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growth.52 The high street, on the other particularly badly from common trendand the retail sector more generally.

In particular, the high street hasloss of flagship stores such as M&S moretail park or to the out-of-town shopp

Cwmbran, which is also better supplieInterviewees blamed shop closures on Nrates, which increased with Newports 2002. The shop vacancy rate across threportedly the highest in Wales53 wh

worse than England or Scotland. OverNewport stand at 29.6 per cent,54 andcentre.55 This is accounted for partly byrelocations, and partly by the high numpurchase orders initiated by the counc

planned developments.Our interviews revealed that malosing hope and/or patience with the pimpacting on their confidence in the chigh street. Successive regeneration inieither failed or suffered severe delays. Tcompany Newport Unlimited has pledover the next 20 years to redesign and centre, and there are currently a coup

h l Th l d l



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attitudes. On the other hand, charity shopfront line in the war to maintain and wmanager described it almost as a responsiare doing the bulk of the retail work nowcharity shops also acted as a buffer againsabout crime and antisocial behaviour, wh

be aggravated if shops remained unoccupmanagers also saw a role for themselves inunemployed volunteers including those the closure of local industry with the ret

find paid work in the new developments s

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3 Social value tocommunities

The community benefits provided bThis chapter outlines the dynamics of the rbetween charity shops and their communitare interested in identifying the unique ben

shops bring to local communities. Our resethat in addition to being a valuable resourcvulnerable, charity shops also provide a rantouch an increasingly diverse customer baslocal artists to partnerships with local scho

many charity shops putting down roots in forging links outside their own work.We identified the following commun

by charity retail:

providing direct local services in local area promoting access to charity and other loca providing opportunities for social interacti forging local partnerships with local institu

l d d

Social value to communities


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doubled from 3.2 per cent in 2006 to 7.4 per c(after a two year dip) rose again to 14.3 per ceattributable to a number of factors including for affordable goods because of the downturnGift Aid.57

It is clear that increasing profits can be a

parent charities which use the proceeds of chakey services. Charity shops already commandsupport and three quarters of people supportper cent business rate relief in recognition of This represents a significant divergence from

(non-charity) retailers; a recent survey found of UK shoppers believe that retailers are failincauses.58 Our own survey suggests that publiccharity shops are most positive when there is how the proceeds of charity retail are spent.

Evidence from our public polling and olocal stakeholders suggest that support for chbe even greater if they were clearly demonstracontribution they are already making to local suggest that charity shops stand to benefit frocommunication of their wider economic valueproviding employment opportunities and enhemployment skills in the local workforce.

Figure 4 shows what sorts of consideratif h h bl f h

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The British Heart Foundation, the larthe UK with just over 700 shops, has argua

i i i hi d h

Figure 4 Conditions that improve theoretica

rate discounts

Source: Demos public polling

A

B

C

D

E

A

B

C

D

E

0 10 20 30 40

% Agreement

Meet acertaintarget forthe amount ofwaste they fromgoingto landfill (e.g.through ragrecycling)

Demonstrate that they hadhelpedacertainnumbepeople get into work

Demonstrate that acertainproportionofthe monestays inthe local area

Demonstrate that they have createdvolunteering/ foracertainnumberoflocal people

Demonstrate that acertainproportionoftheirincoto the charity (andnot, e.g.the runningcosts ofthe



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Promoting access to services

In addition to the direct benefits to local comh l d ld h

Figure 5 Graphic demonstrating concrete bene

for the British Heart Foundation

Source: Demos public polling

Gloucestershire

Yourpurchases, stock donationsandvolunteertime have raised

379,00inourGloucestershire shops overthe last Enough to fund 4 BHF Heart Nurses 2 vital research projects 1 portable ultrasoundmachine

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authority-owned housing development, it ocommunity services, including a childrens adult learning. Because of poor take up of NBDT decided to set up a charity shop wittrust in the community, providing affordabfunds for its core activities. This proved ex

attracting a wider range of people into the of the social spectrum local people who mbeen unwilling to engage with NBDTs serfrom more affluent neighbouring areas whthe nearby supermarket. This mix has imp

social mixing and cohesion, discussed furthfrom NBDT commented, Having that verynatural... environment of shopping means and create relationships with a much widerour community. Because the shop is attach

room, staff can offer customers a cup of teaabout the help on offer from the charity.The NBDT shop is also an interesting

shop facilitating mutual aid within the comoften receive donations of goods from locaspecific individual beneficiary in mind. Formight be aware that a specific person in thwinter coat, and might ask staff to ensure tthe coat they are donating.

b f h l h



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The idea behind the initiatives was to brinto the heart of the communities Shelter servhave been encouraging, and the charity curre750 clients a year across the two sites. On mosavailable client appointments are used, so advefficiently, and the cost per client is lower than

housing advice centre.Richard Sweet, trading director at Shelt

Were really pleased that in some selected locations weretail sites to provide this locally tailored housing advic

very motivated that they can see the immediate impactin their own community, and know that the money thedirectly to support our clients.

The mental health charity Mind is anoth

Mind has developed training courses in mentand mental health first aid, which it provides other organisations. Many of its shop managehave experience of mental health issues, and sfor the charitys services. Mind now has plans

strands education and retail of its work togproviding formal training to staff and volunteshops. Elaine Graham, regional training mandescribed the beneficial effect of the training:

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unable to work and welcomed the ideato get out of the house. Almost a decadI can honestly say its the best thing I

M has since become a trained adable to refer customers to the charitys several other volunteers and the mana

experience of mental health difficultiesthe shop a valuable mental health resoquite apart from its fundraising activisays, Because were Mind, people comdepressed and want to offload.

Alongside formal promotion of servicmanagers and employees refer customers tinformally. Our research showed that a sig

staff already have a relationship with the chvolunteer (eg where a relative has been carwhere a friend or the individual themselvesparticular health condition), so charity shobenefiting from the combination of a knowand a friendly, sociable environment. In ouapproximately one in ten said they had fouthe work of a charity in a shop.

One in four members of the public anh l h h



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different backgrounds. Post offices are often mmost important local place for people from dibackgrounds in a community to meet, and posmall talk and interaction. Our research suggeshops are another significant site of social mixin local communities for people from differen

As noted above, our public polling showpercentages of all social classes from AB to with similar levels of frequency in charity shopin five members of the public said that they hsomeone new in a charity shop, and 30 per ce

shops provided opportunities for social interathird (29 per cent) thought charity shops fostcommunity, 28 per cent thought that charity sdifferent generations to meet, and one in fourthought that charity shops directly increase so

local area.Our survey and interviews with manageshowed they too valued the social interaction customers. They often spoke of customers cwith some form of vulnerability, eg the elderlythose with learning disabilities who came insometimes every day, some of whom visited evthe high street. The shop was often somewherother customers to come in to have a chat. In h h k k

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Participants in our focus groups and shop to suggested that charity shops could be prinformation.

Surprisingly few charity shops displalocal events in the window or on a noticebocharitys central policy as the reason eithe

advertising fundraising events for rival chprohibited. This was not the only example individual shops activities locally. One mabeen the sole charity shop in its street was in a shop watch security scheme because t

authorise payment for the installation of thsystem.

Forging partnerships with local institutions

Another potential community benefit is thshops can play in facilitating local partnersother local institutions. Charities and charivariety of national and local partnerships wtions. These offer some of the clearest demway flow of benefit between shops and the

Partnerships are often the means by wtheir volunteers. Many of the charity shop viewed had used the Duke of Edinburgh aw



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as Learnabout and the Shaw Trust. We were anational partnerships between charity retailerRyder and probation services.

In our interviews, a significant number taking volunteers on work placements from thfinding slightly at odds with our polling, whe

accounted for only 4.6 per cent of managers avolunteers recruited.

As described above, there are benefits tovolunteer to work in charity shops most direthem to build a CV that enables them to find

employment, but there are also community bepartnership schemes. Facilitating volunteer opyoung people could potentially help to reducyoung people who are NEET (not in educaor training). Similarly, volunteering opportun

offenders could help to reduce recidivism.We also encountered evidence of specifiFor example, one shop contributed unusable childrens crafts group at the local library; anocollection point for gifts of toys and books fohospice and childrens hospital; and a third se

for sale to a nearby care home, for residents ushop in person.

Many of these partnerships were largelyd b h f h h h f

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something charity shops provided. UK chaactivity has been estimated to reduce CO2million tonnes per annum59 a figure rougentire carbon footprint of Iceland.60

At a local level, one excellent examplproviding environmental benefits can be se

South Bucks Hospice presented below.

Box 4 South Bucks Hospice

South Bucks Hospice (SBH) has seven

the charity teamed up with Buckinghaand FCC Environmental, an internatcompany, to run two of FCCs ten recythese, designated reuse champions idwhich are sold at SBHs onsite reuse shmonths of the scheme 33,512 items werDavid Brodala, director of SBH, a vebuilt up between the recycling centre ahas driven up recycling behaviour in traised awareness of the hospice.

SBH also has another, four-way

council, FCC Environmental and HMweek, bicycles deposited at the recyclingprison to be repaired. SBH pays for thth i d ll th bik th h

Providing affordable goods



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Providing affordable goods

Finally, it could be argued that charity shops community service as they provide affordablea low income. Two-thirds of the public and ovshop managers and volunteers thought their saffordable goods to people on a low income.

The majority of volunteers had (either r

point) encountered customers complaining abcharged by the shop. In our public survey, bufrom charity shops came bottom of a list of fivreducing household expenditure after usingdown on spending, switching shops or brand

eBay. Other consumer research in the sector, h45 per cent of charity shop customers cited lovalue for money as very important factors inshop in charity shops.61

Some charity shops are deploying more strategies or selling more high value goods, suwhich is generating greater profits for charitieas a whole, though, average transaction valuesteady over the past several years, averaging example, compared with 6.13 in 2012-13.62

However, there is an interesting debate

prices should be kept low for customers, or shorder to generate more income for the parent debate was reflected in our research. One man


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parameters for measurement, but flexible enowork in a way that is meaningful for their comrecommendations outline how this might be awe present our third in-depth area case study into the relationship between charity shops an

Case study area 3: Margate

The Margate case study demonstrateprofile initiatives on struggling high shighlights the contribution of charity

jobseekers into employment.In recent years, falling visitor numvacancy rate in 2013 of 30.6 per cent (doin 2012, the second worst in the country) turn from one of the UKs most popular tointo a paradigm example of high street de

Two high profile interventions havedecline. First, the building of the Turner CGallery in 2011, its opening year, the gamillion visitors and reportedly brought inmillion in tourist revenue.63 Second, afte

Portas 2012 Channel 4 documentary MaStreet, Margate successfully bid to becomepilot towns. Most Margate retailers we sp

ff t f th t t h d b ff ti

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Charity retailers themselves founvalued by customers as providers of lowmanager commented, A lot of people the poverty line round here. Thats ourthats what were here for, for people wmoney.

We also found evidence that Mafulfill other important roles within thehave partnerships with the local job ceseekers with work experience a partiMargate, where unemployment in stan

cent.64

In 2011, the British Heart Fouelectrical shop received an award for bemployer that had supported the largesinto paid work beating large retailersupermarkets, to first place.


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4 Ch it h

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4 Charity shops ahigh street

To understand the full range of value that to local communities, we analysed the relatcharity shops and economic indicators of h

Changes to the retail sector, primarilyinternet and out-of-town shopping centres,highly negative impact on British high streradically changing the high street and makdifficult for some small and independent reIn some cases, because charity shops are grstreets, they are becoming targets for criticdetermine whether these criticisms are validthe data available from local authorities, dacharities around the growth of charity shopindicators of high street health, including r

and vacancy rates.Overall, this process has highlighted

high street health, which underlines the inali k b h f h i h

Charity shops and the high stree


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the Portas review, the number of retail stores

by 15,000 between 2000 and 2009.65Whereas retailers used to need approxim

shops to cover the whole of Britain, they can nsame reach through online selling.

The physical retail stores that exist are in

clustered into fewer areas to save costs, and famobile population thanks to cars and good trexample, in 1971, 50 per cent of the populatiothan 200 locations. In 2009, 50 per cent of a population were shopping only in the 90 larg

High streets are also being affected by bBritish economy. Towns and cities that used tomanufacturing industries such as Rochdale the North West, and Newport in Wales nowdeprivation and generations of worklessness. local communities consumer spending, whichnegatively on the high street. With very little economic vibrancy in suffering communities, increasing competition from the internet and shopping centres, it is little wonder that big bindependent businesses are finding it impossi

The same is true for British seaside townwhich used to be mainstays of British tourismdrastically with the rise of cheap flights from l k d d

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greatest psychological impact on society, su

an era and signalling a death knell for the h

The growth of charity retail

While the number of charity shops has bee

2000s, the precise rate of the sectors expanrecession is uncertain. One source counts ayear increase in shop numbers since 20086

by the Charity Retail Assocation shows a stbetween two and three per cent over that t

appears to be attributable to a number of flikely primarily due to growing demand foretailing.71

The charity retail sector has also beenby the recession as its stock supply has dimsuggests that some people who would formnow hanging on to their clothes longer, or use them to generate cash.72 In March 2012

Association found that 16 per cent of peopnationwide chose to sell clothes rather thanof tougher times.73 The charity retail sector

struggling to adapt to the online marketplacharities selling goods on eBay or through Oxfam).



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small independent businesses. In fact, the gro

shops is occurring at the same time as vacancyrise because of the pressures described above.shops do not appear to be driving up rents fowhich is also sometimes suggested.

In other words, were it not for the grow

local high streets would be suffering even movacant spaces and lower footfall The examplecancer charity shops in South and West Wathe six shops that Tenovus opened in Wales, ffor over 12 months, and some had been empty

years. A landlord of one of the Tenovus charitgrateful to the charity:

Tenovus has given the shop a complete refurbishment wafforded to do by myself. If Tenovus hadnt come on boproperty would have remained empty for at least anothonly would this have been terrible for me from a businebut... also for the high street and local community as adoesnt bode well. Having charity shops on the high strdiversity and brings people to the high streets and awaydevelopments.

Struggles for small retailers

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shopping centres, rather than simply being

presence of charity shops.Indeed, we heard testimonies from in

our case study areas, who were struggling wthat were increasing year on year in line wirevaluation based on the radically changin

With other businesses hard pushed in this understandable that charity shops could soresentment because of their business rate rein Morpeth and Newport, where some retareduction in or recalculation of business ra

spoke to said:

There is a place for charity shops. They obviously gtreatment, which is fair enough, but big companierealising the need for incentives for others.

Business rate relief and reform is cleaindependent retailers to help them competchanging high street. It would also help todifferent types of retailers on the high streeanalysis suggests that singling out charity s

recipients of business rate relief is unmeritea tiny proportion of the total amount of buis granted at a rough estimate, charity sh

Views from our case studies

Th di i d h h hi



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The case studies interspersed throughout this

the struggles that businesses on the high streethrough.

Interviewees in the majority of shops wethat flagship stores were moving to out-of-tocentres, long-established independent stores w

new businesses that opened were rapidly failinfootfall was a problem in many areas. In Newfor example, out-of-town shopping had removthe town centre. In Morpeth and Paisley, the moved from one area within the town to anot

pedestrianisation, closure of flagship stores, anew ones.There was widespread awareness in mos

charity shops opening locally. While there weviews of this, stakeholders we spoke to were gabout the increased number of charity shops.volunteers in charity shops had very little expattitudes towards them, and where they had cviews attributed them to the increasing professector. The majority of independent retailers walso broadly supportive of charity shops, argu

shops were an established presence on the higtheir growth was a symptom rather than a caudecline. In particular, the managers of more e

d d f l b

l i i h h b i J f

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consultation with the business. Just one of

had been invited to take part in a meeting regeneration locally, and had not decided w

In Newport, the most visibly troubledcase studies, regeneration initiatives were gscepticism by all local stakeholders:

Theres always been talk of this is going to happen,happen, but weve seen none of it.

Across all six areas, the most common

regenerating the high street was to encourathe high street or town centre through reduSome respondents specified the kinds of buexample affordable shops, flagship and bigups. Several people suggested that affordanecessary for local high streets to compete shopping centres. Some were concerned bypresentation and particularly in Paisley increased police presence to reduce antisocstakeholder from Paisley argued:

Basically get something into the empty shops, even ifother businesses are able to do it, fine, but I dont se

f h

t f hi h t t d li hil j t



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symptom of high street decline, while just ove

charity shops as a cause of high street declineoverwhelmingly ascribed the struggles of highby internet shopping (84 per cent), the recessand out-of-town shopping centres (73 per cen

Charity shops as fixtures of the high street: incr

professionalisation

The professionalism of charity shops was discinterviews. Managers and volunteers felt that

unique because of the style and quality of mandedication of the volunteer team. Professionacustomer service and presentation were also mseveral interviewees taking pride in the fact thnot look like a charity shop and/or that the gas though they were second hand. A few manshop was unique in the goods it stocked fordestination for books, or a source of vintage

I think we are part of the high street now. We are as coshop... Actually, the biggest compliment we get is that w

charity shop.

Indeed, the same positive views about c

The economic benefits of charity

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The economic benefits of charity

demonstrated in a number of additionacharity retailers, presented in the box b

Box 5 The economic benefits of charity s

[Relations with other businesses are] verycommunity so fellow traders are our neigcommon and quite often are all equally iinitiatives to boost trade.

Charity with 45 shops

Where we opened we took a risk on the lostreet and see ourselves as having been a other new entrants into this side of the ro

occupied had been empty for over one ye

Charity with one shop

[Relations with other businesses are] real

viewed as equals in terms of trading andvalue to the mix already offered. In bothgone into units that were previously vaca

!

Some thought that charity shops were l



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Some thought that charity shops were l

of a high street. One retailer who was broadlycharity shops objected to their presence on th

I wouldnt say [that charity shops are a] cause of [design of [decline], especially when they are on the main

feel they shouldnt be on the high street.

These two strands of criticism risk beingthe one hand, some retailers on the high streethat the increasing professionalism of charity

greater competition to already struggling busother hand, the mere presence of charity shopof the high street, potentially driving away inwother businesses. These contradictory perceptshops demonstrate that they are in some instaas scapegoats for the changes to high streets wchanging face of the retail sector in general.

Calculating the relationship between cand the high street

In order to move beyond perceptions about thbetween charity shops and the high street, wecomprehensive review and analysis of all the a

h d f h i h i l l

that statements about charity streets causin

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that statements about charity streets causin

perpetuating high street decline are not badata, but rather unsubstantiated perceptioanalysis suggests that the relationship betwhigh streets is complicated and unclear. Whexist, the evidence suggests that both phen

of the wider trends affecting British high st

Charity shops and rent levels

Critics of charity shops sometimes argue th

past five years has pushed up rents locally, of neighbouring businesses and effectivelynewcomers particularly independent retamarket. As they have a largely volunteer womajority of their stock is donated rather thshops have significantly lower overheads thCombined with the business rate relief, critshops are in a position to be able to pay higlandlords respond to this by charging more

Our research suggests that this is not that, with the exception of Morpeth, it is n

that charity shops are exerting inflationarystreet rents. In fact, the correlation tended as the number of charity shops increased, r


Figure 6 The relationship between the number


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g The relationship between the number

and prime rents in Margate, 2008201

Source: Demos analysis using data from Local and CBRE

10

15

20

25

30

35

5

0

Numberofcharity

sho

ps

andprime

rents

2008

2009

2010

2011

Prime rent (/sq ft) Numberof charity sh

73

Figure 7 The relationship between the numb


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p

and prime rents in Newport, 2008

Source: Demos analysis using data from LoCBRE

40

60

80

100

120

140

20

0

N

umberofcharity

sho

psandprime

rents

2008

2009

2010

2011

Prime rent (/sq ft) Numberof char

charity shops. This view is supported by the q



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y p pp y q

described above, and by the data from MorpeIn Morpeth, while the number of charit

unchanged between 2009 and 2012, the samerise in vacancies (with year-on-year increases oper cent and 25 per cent from 2010). In 2013 t

by 7.3 per cent on 2012 alongside one more chopening. These figures do not, on their own, conclusive about the relationship between theMorpeth case study, which is based on the vieauthority, charity retailers and other retailers

clearer insights. It suggests that charity shopsconstant through Morpeths challenges (whisevere flooding and a shift in the location of smaintaining the footfall on which this marketdepends, and in particular maintaining an intvalue offer for local people.

In Newport, too, the relationship betweand charity retail growth is not a simple one. 2013, the city saw an average annual increase charity shops of 20.7 per cent, alongside an avincrease in the retail vacancy rate that is almo

40.9 per cent. Focusing specifically on 2008-9additional charity shop was followed by a 120empty shops. The data therefore point to an u

f b h d b h d l h

We opened our shop in Stevenage in a building soci

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p p g g

been closed for four years. When we opened a couplindependent traders whose shops were opposite thanas customers exiting our shop then saw their shops aincrease in footfall.

Charity with four shops

We have 1 million visitors each week... This will playfootfall on the high street.

Charity with over 100 shopsAttitudes have changed over the years and many retshops as they are aware of the footfall they bring to tthe fact that our shops are professionally run.

Charity with 13 shops

In order to explore this relationship in detadata from the commercial data company Spthe case study areas we chose, there were re

on footfall only for Birmingham city centreMoreover, because of the size of Birminghalow number of charity shops (two), the dat

h l


Figure 8 The relationship between average we


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severe declines in footfall were experienced inbefore the increase in the number of charity sFi 8 l h h h i i h i

number of charity shops in Newport,

Source: Demos analysis using data from SprinData Company

Weekly

footfall

/

no.ofcharity

shops

Average weekly footfall (1000s) Numb

100

150

200

250

50

0

2008 2009 2010 2011

Charity shops and competition with other sh

Finally, we look at the issue of competition

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shops to other shops. Competition is typicbecause it drives down prices for consumerproduct and service. Yet, in the context of high street, competition with small, indepeparticularly when charity shops provide th

sometimes discussed in a negative light.As noted above, these complaints oftto the increasingly professional face of chacluster in particular around the proportionopposed to donated goods, sold by charity

our review and independent surveying by Cthat the percentage of new goods sold by cpercentage of charitable income that comeconstitute only a very small proportion of igoods sold. Overall, sale of new goods accocent of shops income on average.79

Of the charity shops we surveyed, 22 new goods and these made up between lessthird of total sales, averaging at less than 5variation is in part due to different definitiwhich can encompass brand new samples o

donated by other retailers, bought in goodconfectionery and stationery, including Ch

Nonetheless, despite arguments from

and HMV going bankrupt, small and medium



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businesses are facing an incredibly difficult siThe British high street is not declining u

country, but is concentrated in economically dwhere hits to manufacturing, tourism and othleft behind disadvantaged communities. In th

very little demand for consumer goods, whichhealthy and vibrant high street.In response to these changes, charity ret

increasingly common presence on the high strresponded accordingly, becoming increasinglas demonstrated in their products, shop frontmanagement. Because of their growth in the msome are scapegoating charity shops as a contstreet decline, rather than as symptom of it. Athis chapter, these arguments are often contraon perception rather than facts. The data that

charity shops are helping high streets make thsituation: they occupy vacant property, keep rshops and help maintain footfall levels.

Case study area 4: PaisleyThe Paisley case study highlights howfinding a number of innovative ways l l i d dd i

efforts in the area. So far, initiatives ha

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improve the appearance of the main shorganising events, securing retailers topremises, and reopening the high streethe process of setting up a business impconversations about whether or not to

this were ongoing at the time of our resA number of charity shops organthat bring people to the town, such as ADay, or the commemorative annual Pfound one shop was drawing on all its meet some very specific community neand offcuts to a childrens craft group reserved particular items (eg buttons, ruse by individual craftspeople with whgood relationship. In common with alnone of the charity retailers we intervi

consulted on, or were involved in, the district or similar initiatives. Howeverdemonstrated the valuable insights chadiscussions about economic regenerativolunteers had numerous suggestions a

local interest in craft to revitalise the hby using empty shops to showcase localpop-up craft markets.


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Conclusion and

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recommendations

Until recently, charity retail was a social gotaken for granted. Charity shops encouragand provide goods to people at affordable raising income for parent charities. Howevsector as well as the British high street an is currently undergoing significant changcharity shops on British high streets has beearly 2000s, with particular growth since thMany are also becoming increasingly profe

appearance and sales strategy, and are thuscompetition with other high street retailersnegative perceptions of charity shops as du

Our analysis suggests that there is nothat charity shops are discouraging investm

by other businesses. On the contrary, the pshops is helping to maintain footfall and pfrom descending into further despair.

Whil h i ff f

RecommendationsThe Charity Retail Association should stimulate

Conclusions and recommendation


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social value among parent charities to encouragapproaches

Our report highlights the positive but largelyall charity shops have an impact that runs dservices to encompass ancillary benefits of re

employment, volunteering, etc. Regardless ofspent on national medical research, internatioservices, all charity shops have the potential tolocal root network, because they are so muchcommunities. CRA has an important role to packnowledging and promoting discussion of tissues among its members.

Charity shops should translate what individual s

means in terms of tangible outcomes and adve

shop frontsFollowing from the previous recommendationthat run charity shops should explore what imhave directly on local communities as a resultgenerated by those charity shops. As we saw a

Heart Foundation provides a best practice exrecent campaign focuses on communicating tlocal stakeholders the income raised for chari

wide range of charities that operate charity

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range of specific activities that those charitwork towards a calculation of social value feach individual charity should begin to units own social value. We see this report as tprocess, as it sets out the range of social be

retailers are already engaged in delivering.Our report also suggests some ways ovalue (eg at individual or community, localHowever, charities themselves are best placnumbers that will make a concrete case forThe Charity Retail Association should assiworking to develop a toolkit that charities purpose. We recommend that CRA seek paexpert organisations such as the National COrganisations. This toolkit could then be upurposes, such as to produce a social value

sector as a whole, to calculate the social valin a specific local area, and to calculate socparent charity.

Local authorities need to collect better data their local high streets

This project has brought to light a significa

disprove what we have found to be erroneous

Conclusions and recommendation


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their economic impact.

Local health and wellbeing boards and Jobcent

more to promote volunteering in charity shops

There is an increasing body of evidence demobenefits of volunteering for adults of all generthat we gathered as part of this report revealewho are using charity shops for these purposevalued the experience.

In our survey of volunteers, 90 per cent volunteering gave them an opportunity to socnew people, 80 per cent said that it helped thself-esteem and confidence, and 61 per cent saimpacted on their mental and physical healthcent said they had learned new skills, gaining

retail, and 70 per cent said it was beneficial foexperience more generally. There are thereforsignificant savings to be made in health and cpromoting local opportunities to volunteer.

And yet our research suggests that the o

majority of volunteers and employees in chariabout opportunities through shopping in chapopping in; only a very small proportion were

Local authorities need to ensure that charity

in local regeneration initiatives

f h h

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Because of their increasing presence on thethe social and economic benefits they provshould be a key voice in the regeneration dchanges to the retail sector brought about and technology mean we can never return

of old. Instead, local authorities need to enand function for local high streets, which increative mixture of housing, education, artimportantly, services.

In addition to the increasing demandretailing such as charity shops, our public ssecond most popular reason to visit high stservices. As we noted above, parent charitieusing their shops to provide services (such and mental health) directly and to promoteservices. These two trends suggest that cha

integral part of the high streets evolution.Yet despite some notable examples of

involved in regeneration, our case studies sscope for greater involvement of charity reinitiatives. Where they are not involved, th

gap, given their increasing professionalismthe onus should be on responsible local authat charity shops are included in future hih l h ld l b


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Appendix 1 The Birm

Ci C d N

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City Centre and Nestudies

Case study area 5: Birmingham Cit

The Birmingham case study showsthe recession on the high street, evIt also highlights some positive inipeople into work, despite having opresence in the city centre.

With a population of just over 1the UKs second largest city,81 and its mIt is also the tenth most deprived city inpast 16 years, the city has received ove

investment,84 much of it into shoppingand redevelopments, and an updated

Over the period 20082013, Birexperienced a 10.4 per cent rise in vac

fluctuations in footfall. The city has te

districts, focusing efforts on a range of from supporting independent retailersbrand to improving aesthetics and eni f k

apprentices and jobseekers, and one had a

l l ll ff i p ti l p i

Appendix 1 Overview of additional case st


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local college, offering practical experienceundertaking an NVQ in retail manageme

As we found across all six case studand volunteers were not aware of any BIDled efforts at regeneration, and did not pe

their shops activities and the changes theyhigh street. Shops did not report having enattitudes, though speculated that they migthem because there were so few charity sho

Case study area 6: Newry

The Newry case study underlines the authorities have very little or no data high streets.

Newry, on the border of county Arm

Down in the south east of Northern Irelantown with a population of 30,000. It has rate of 3.6 per cent,85 and has been succesnew small businesses per annum than anyin Northern Ireland.86

The information we were able to oblimited. In response to our request for anycharity shops or economic success, Newry C il t d th t it did t ll t d

Appendix 2 Detaile

th d l f

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methodology for ecanalysis

This appendix contains details about the sof collection for the data used in our econochapter 4. We were fortunate in obtaining of sources.

Local authoritiesWe approached the local authority responscase study areas to ask for any data on the

shops or the health of the high street (eg forates, shop openings and closures). Some rdid not hold such information; others werewhether they collected or held it. Only Newon data on footfall, a 2013 profile of retail a

(purchased from Springboard) and vacancthe local authority).

CBRE

CBRE provides commercial property services

publishes a range of commercial data CBRE

Appendix 2 Detailed methodology for econo


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publishes a range of commercial data. CBRE bono data on quarterly prime rents (in poundsfrom Q1 2008 to Q2 2013, for all our case studNewry. Rather than an average of rents acrossthese represent the typical achievable open

rent which an international retail chain wouldfor a ground floor retail unit of up to 200 squhighest quality and specification and in the bgiven market.87

The Local Data Company

The Local Data Company uses a combinationtechnology and field research to gather and pleisure and retail industries across Great Britasupplied us with the following data at cost for

centres except Newry:

the number of charity shops from 2008 to 20 the retail vacancy rate 20082013 (Birmingha

Paisley) and 20092013 (Margate, Morpeth)

the net change in openings and closures 2012 the percentage of current occupiers that are inmultiples, premium, mass or value retailers

the percentage of total retail floorspace by

and comparison household and DIY elect

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and comparison, household and DIY, elect retail spend rateable value: A1 (shops), A2 (financial an

services), A3 (food and drink), retail premi

Our analysisBecause not all the data we received was conot able to use all of it in our analysis. Tabwe used.

Table 1

Indicator Sourc

Prime rents ( per sq ft) CBRENumber of charity shops LocaRent paid by charity shops ( per sq ft) IndivRetail vacancy rate (%) LocaAverage weekly footfall Sprin

For each area for which we had sufficcompared:

one variable has a high (/low) value, so does t

correlation coefficient of 1 indicates a perfeci h i l ( h i bl h

Appendix 2 Detailed methodology for econo


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correlation coefficient of 1 indicates a perfecwith negative slope (where one variable has a the other has a low (/high) value). A correlatiindicates no relationship between the variablediscussion of the analysis in chapter 4 makes c

does not necessarily imply causation.

Calculating business rate reliefIn chapter 4 we suggested that charity shops ifor 5.03 per cent of charitable rate relief in Encent of all rate relief in England. These figurerough calculation using the somewhat limitedDepartment for Communities and Local Govonly collects data on the number of hereditamcharity relief and the amount of relief granted

Charity shops are only one type of beneficiarycategory of charities, which includes any proor mainly for charitable purposes eg a site wdelivered, or a charitys regional or national htherefore sought to estimate the proportion o

relief granted to charity shops specifically, as

The average rateable value of charity shops in M l i l i hi b h b i

ONS figures show that, in 2012/13, total m

charities came to 1,294.1 million, and total 8 illi 91 O l

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charities came to 1,294.1 million, and totalany category to 2,329.8 million.91 Our calccharity shops comprises respectively 5.per cent of these two totals.

This calculation should be treated wiIt may either overestimate or underestimatrelief received by charity shops, for the foll

There may be charity shops in the total couthe mandatory 80 per cent discount (for exoperate on premises used primarily for non

The total count may double count some rerate relief for example where a shop operwhere services are also provided, or which charity headquarters.

The average rateable value of charity shopa broad range of rateable values. Some chapremises with a much lower rateable value


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Notes

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1 S Horne and A Maddrell, Charity Shops: Reand society, London and New York: Routled

2 J Bartlett, The Data Dialogue, London: Dem

3 Horne and Maddrell, Charity Shops.

4 M Portas, The Portas Review: An independentour high streets, 2011, https://www.gov.uk/gosystem/uploads/attachment_data/file/629

(accessed 4 Nov 2013).

5 C Wood and D Leighton,Measuring Social policy and practice, London: Demos, 2008; MC Wood,Measuring Up: The social value of sp

Demos, 2012.

6 Charity Retail Association, About charity choosecharit shops org/about/about

9 NVCO Civil Society Almanac, What impact

have upon the voluntary sector,

Documents

Paget, A. & Birdwell, J. (2013). Giving something back. Demos, London