These steps will help kickstart your charitable giving journey so you can make a genuine, lasting impact on the causes important to you.
A record £13.9 billion was donated to charities across the UK in 2023, and while the number of donors has fallen since the pandemic, the size of donations has increased.1
So, what exactly is philanthropy and how can you get involved? Philanthropy is the act of giving time, money or resources to help others, usually those in need or for the greater good, with the underlying principle being to make a positive difference. It can take many forms, including financial donations, volunteering and lending skills or expertise.
For many of our clients, becoming a philanthropist and donating to charity is a key ambition, yet many find it challenging to know where to begin.
If philanthropy is something you’re considering, these prompts can help guide you in structuring your approach as you embark on this incredible journey.
Start by setting out what you believe are pressing issues and challenges the world is facing. Then ask yourself, “If I had the power, what would I do to fix it?” Applying your values and beliefs to circumstances and events may help you focus your resources on areas that are most aligned with your goals.
“Where you want to focus your philanthropic efforts is a key decision,” says Kevin O’Shea, director, Wealth Planning, RBC Private Wealth in the British Isles. “If you want to feel like you’re making a difference, then it’s probably better to focus on things that mean the most to you. If you’re passionate about education for example, that could be your theme.”
Of course, people’s passions vary considerably. Some may concentrate on helping people within a specific geographic area, while others might dedicate themselves to a particular cause, such as finding a cure for a disease. “The very fact that you’ve embarked on a philanthropic journey says you have a passion,” O’Shea says.
Some philanthropists want to create an organisation and run it themselves. That’s certainly feasible for those with the resources to do so. However, sometimes it makes sense to use existing institutions that already have the infrastructure and expertise in place.
Even those who create their own philanthropic organisations sometimes support causes outside the remit of their existing structures. Instead of establishing something new, it may be worth outsourcing the solution to an existing organisation or a non-government organisation (NGO) already engaged in such work and empower them financially to effect change. This can save time and energy and get the resources to where they’re needed faster.
“Existing philanthropic organisations have the infrastructure on the ground to get the projects running quickly,” O’Shea says. “The counterargument is that some of the funds may not go directly to your chosen cause, for example, admin costs or other work supported.”
Working with a team of experienced philanthropy professionals can help you connect with other philanthropists and causes, helping you to find the right solutions to support your charitable giving.
As you consider the impact of your philanthropic efforts, you might ask: what if I could join forces with like-minded individuals, organisations and governments to create lasting change? A new generation of ultra-high-net-worth individuals is doing just that,2 leveraging their financial expertise and passion to address pressing global issues like climate change, poverty and social inequality.
By partnering with others, you could increase your individual impact, while fostering a sense of community and collective responsibility. As you think about your own philanthropic journey, consider the power of collaborative philanthropy.
In business and in their personal life, most people want to be sure they’re getting value for their money. The same is true in philanthropy – most people want to know their funds and efforts are channelled appropriately. And that means would-be donors will likely want to do some research before donating. “It’s important you consider doing some preliminary work,” says Fiona Waite, director, Relationship Management at RBC Private Wealth in the British Isles.
“Each client is different. Some want to spend considerable time gathering data on how monies are spent and monitored,” says Waite, “while others may just want to financially support a reputable organisation.” Fortunately, there’s growing experience in helping determine how effective philanthropic organisations are in reaching their stated goals.
“There are many firms that do impact reporting on philanthropy,” Waite says. “They see what the organisation is doing and come back with progress reports. RBC takes its duty to do the necessary due diligence on behalf of clients seriously, and we work closely with donors and charities directly, to ensure the information flow works for all parties,” she says.
While some philanthropists prefer to give larger proportions of their wealth to charities during times of urgent need, such as responding to a pandemic, natural disaster or an immediate call for innovation, others opt to give smaller sums over a longer term. This approach ensures their resources continue to positively impact society after their passing.
“There are different ways to leave a philanthropic legacy,” says Waite. “One method is to establish a foundation with a clear cause where income and/or investment gains get distributed over a long period.”
Other ways involve future generations deciding which charitable cause benefits from the family’s philanthropy. “A simple governance framework can ensure that family members remain involved and impassioned,” says Waite. “This helps avoid a cause being supported in a lacklustre fashion just to fulfil the previous generation’s wishes.”
Alternatively, some decide to set up organisations that make microloans to entrepreneurs in developing countries. The loans help grow businesses, and the repaid loans, along with interest, help grow the philanthropic organisation’s resources. Those increased resources can then get passed on to other enterprising business minds.
It’s evident there are many factors to consider when starting out on your philanthropic path. But it doesn’t have to be overwhelming. Adding structure to your approach and engaging with professional advisers will help give you a considered outcome that aligns with your values and goals and puts your resources to the best use.
Sources:
¹ “UK Giving Report 2025: Trends in Giving .” Charities Aid Foundation.
² “Next Generation Donors’ Charitable Giving Interests and Approaches Examined in New Study .” Lilly Family School of Philanthropy, Indiana University Indianapolis, 29 Jan. 2025.
This article was updated in May 2025.
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