Charity donation crisis

High Street shops are being hit by the credit crunch — Woolworths has closed, Land of Leather is looking for a buyer, Adamskids has disappeared from Oldham town centre — but one form of trade is bucking the trend. Charity shops made over £100 million last year, yet the recession is hitting their donations across the country while increasing the number of shoppers looking for a bargain.

Everyone loves a bargain, but it seems that the big names in high street charity shops are struggling to fill their shelves for shoppers.

The Oxfam shop in Yorkshire Street, Oldham’s oldest charity outlet which opened 38 years ago, has a massive plea for help on its front window.

The recent boom for charity shops follows a downturn in 2007, when trade nationally fell 18 per cent, according to the Co-op’s Ethical Register.

Then in 2008 they made more than £120 million profits. The biggest earner was Oxfam at £21 million, according to the Association of Charity Shops.

The recession is being blamed for the donation crisis — more people are hanging on to their clothes, shoes and goods — not buying new.

And the ones who are buying want a bargain. They are happy to look for a better quality purchase, but second-hand, rather than a cheap buy from a down market store.

That’s why Ann Watson, deputy manageress at the Oxfam shop, was on BBC national radio on Thursday for the “You and Yours” Radio 4 programme.

She was interviewed about the donation downturn and how the store is trying to beat the crisis.

Mary Pendlebury, from Werneth, who has been an Oxfam volunteer for 36 years and is a former shop organiser, said: “Donations are drying up. There are reports that people are flogging their stuff on ebay, and I am sure it is due to the credit crunch.

“People are tightening up and this is the time when we need donations — we have lots of customers.

“Our music department does very well, our book department does too but is low on stock.”

Margaret Jackson, who serves in the shop, added: “We have probably noticed we can’t get as many donations in the last 12 months or so but it has been more difficult recently.

“Everything that is donated is used, nothing is wasted as what can’t go in the shop is recycled. It’s all used.”

The situation is replicated at the Cancer Research shop in Market Place, where manager Ann Taylor says as well as donations drying up, they face another threat — thefts of donations.

Second-hand clothing is so valuable now that gangs in vans try to beat their official collector to pick up the goods.

She said: “We had a recent case where my collector called police when he saw a van picking up our bags.

“Sometimes they try and prosecute, but unless the clothes are in our bags it is hard to prove, sometimes they are in black bin liners.

“This time the driver was prosecuted because he was not insured and also disqualified from driving.”

Ann says the shop aims to boost donations by giving customers a yellow carrier bag when they make a purchase, inviting them to donate themselves at some point.

She added: “We also have donation stations which companies, firms, and factories place so that workers can take a bag, and if necessary we pick the bags up.”

Stock is also rotated with other shops in the area — there are seven in Greater Manchester — and prices are kept between £2 and £3.50, more if the item is brand new.

“People will buy new clothes in the high street but purchase our second-hand accessories, such as necklaces, shoes and handbags, to go with them,” Ann added.

But it seems charity does begin at home with those that help local causes — like Age Concern Oldham and Emmaus in Mossley.

Paul Misik, manager at Emmaus, which recycles donated furniture and goods, said: “We have been here quite a while and built up a loyalty.

“Our trade has gone up and we are always looking for more donations of things like three-piece suites and tables. People are trading down and not buying new but buying very good quality second-hand.”

Andy Evans, transport manager for Age Concern, said: “We have experienced a slight downturn in furniture donations and we think this could be due to the credit crunch.

“We have a small warehouse at the back or our shop in Wickentree Lane, Failsworth. Trade was great before Christmas, although it has quietened down a little bit.”

David Moir, head of policy and public affairs at the Association of Charity Shops, said: “The most significant effect of the recession is that donations to charity shops have nose-dived.

“As money becomes tighter, demand in many charity shops is increasing from customers seeking out value for money buys.

“Charity shops rely on sales of donations for 88 per cent of their income.”