Charities and the Voluntary Sector

What is Charities and the Voluntary Sector?

Within Economics & Civics, which covers money, markets, business, government, law and citizenship: how societies are organised and run, this topic explains Charities and the Voluntary Sector. Economics and civics topics explain how money, markets, laws and government affect people, so each topic here pairs a clear definition with a model.

Check that you can explain Charities and the Voluntary Sector in your own words and give one example from everyday life. If you can do that, you have understood the core idea.

Understanding Charities and the Voluntary Sector helps you read the news critically and weigh up policies, choices and arguments about society.

Charities and the Voluntary Sector in detail

Charities are organisations set up for public benefit, such as relieving poverty, advancing education, health, animal welfare or the environment. They are registered, regulated (by the Charity Commission in England and Wales), and any profit goes toward their cause. They may be funded by donations, fundraising, legacies, grants and trading.

The voluntary sector also includes community groups and volunteers, who give time without payment. These organisations fill gaps that markets and governments may miss, give people a voice and build communities. Challenges include funding, competition and accountability. You can contribute through donating, volunteering and campaigning, and by checking how a charity uses its money.

How the interactive helps you understand Charities and the Voluntary Sector

Click a card to flip it and reveal the answer, then move on to the next one.

Before you change anything, predict the result. Then change one value at a time and check whether your prediction was right. This is a quick way to build a correct mental model of Charities and the Voluntary Sector.

Real-life uses and examples

• Relate Charities and the Voluntary Sector to a news story about prices, jobs, elections or government spending.
• Use Charities and the Voluntary Sector to weigh up the pros and costs of a policy or decision.
• Explain Charities and the Voluntary Sector to a classmate using a choice you make yourself, such as spending pocket money.

Common mistakes to avoid

• Giving an opinion without evidence or a clear economic or civic reason.
• Confusing a short-term effect with a long-term one.
• Learning the definition without testing it. Use the quiz and the interactive to check that you can apply the idea.