Community Orgs Wage Bill To Top £24bn in 2013

For immediate release: 16 July 2013

COMMUNITY ORGANISATIONS WAGE BILL FORECAST TO BRING IN £24 BILLION FOR UK ADULTS IN 2013

·; Community organisations set to provide UK adults with as many jobs in 2013 as the financial services sector

·; They will pay more in employment costs (wages, salaries, benefits, pensions etc) than the hotel and food services sector this year

·; Voluntary and charitable sector will spend £17 billion in 2013 employing 825,000 UK adults

·; Figures come as a new report by the TUC reveals rising long term unemployment

The latest UK unemployment figures are set to be issued tomorrow (Wednesday 17 July), and new data has revealed that long term unemployment is rising, with the number of people out of work for at least 12 months hitting 16,000. However, latest figures from a new report*, the Community Census, by Ecclesiastical Insurance undertaken by CEBR has revealed that community organisations** are forecast to provide UK adults with as many jobs as the financial services sector in 2013.

The employment data, based on forecasts from economic experts CEBR has revealed that the voluntary and charitable sector is estimated to employ 825,000 paid workers in 2013. On top of this, the heritage tourism sector is estimated to employ a further 260,000 workers, whilst religious organisations are estimated to employ 61,000 workers, totalling 1.5 million working UK adults.

These sectors are in total estimated to provide employment for roughly 3.8% of all the workers in the UK in 2013, making it the 12th largest broad industrial group.

Table: employment figures by sector

Source: CEBR

Income Contribution

Alongside the significant number of workers that UK community organisations employ, the total amount that will be paid out in employment costs in 2013 is estimated at £23.7 billion. This figure is greater than the entire hotel and food services sector, with voluntary and charitable organisations being the largest contributors, at just over £17 billion a year. On top of this the heritage tourism sector will contribute £5.3 billion to household finances, with religious organisations contributing a further £980 million.

Table: wage bill by sector

Source: CEBR

Overall, community organisations will be worth £27 billion directly to the UK economy in 2013, in terms of wages, profits and business taxes paid.

Mark Hews, Group Chief Executive Officer of Ecclesiastical Insurance comments on the report: "Whilst unemployment figures continue to draw attention and are hotly debated, it is clear that some sectors across the country are showing strong growth this year, and supporting households across the UK.

"The voluntary and charitable sector in particular has been hit hard over recent years by falling support and contributions, but it is also clear that it provides employment for a large group of UK workers who are paid £17 billion a year in wages to support the sector. This is a huge amount, and with community organisations overall supplying £24 billion worth of income for working adults in the UK this year it shows the vital role these organisations play in people's lives."

Ecclesiastical insures thousands of community organisations from charities, churches and heritage properties to care homes and schools. It also offers a range of ethically screened investment funds.

ENDS

*Report undertaken by CEBR between March - May 2013 on behalf of Ecclesiastical Insurance

** Community organisations are defined in The Community Census as charities and voluntary groups, religious bodies and heritage buildings and sites

For more information, please contact:

Lisa Elliott / Rebecca Annable

lisae@lansons.com / rebeccaa@lansons.com / ecclesiastical@lansons.com

0207 294 3679/ 0207 566 9731

Mobile: 0771741745

About Ecclesiastical

Ecclesiastical is a specialist insurer of charities, the education, care and faith sectors, heritage buildings and fine art.

Founded in 1887 to provide insurance for the Anglican Church, we now offer a wide range of commercial insurances, as well as home insurance, selling through brokers and directly.

Ecclesiastical also offers a range of ethically screened investment funds.

Ecclesiastical has this year (2013) been awarded the Business in the Community CommunityMark Award for its ongoing community support activities. The insurer is also one of the top 10 Corporate Donors in the UK according to the UK Guide to Company Giving published by the Directory of Social Change.