Should Charities Refuse ‘Dirty Money’?

Should charities refuse donations from individuals and/or organisations with whose views, policies or actions they disagree? Or should they accept what is sometimes described as “dirty” money?

This has been a continuing subject of debate, from the general long-term issues including environmental charities accepting donations from oil companies on the one hand, to more recent and specific issues such as the Church of England Children’s Society refusing a donation from the former Archbishop of Canterbury Justin Welby (who was, incidentally, also president of the Society).

Large, and even medium size, charities which receive millions of pounds in donations and grants each year can perhaps afford to take the moral high ground on this, safe in the knowledge that if they refuse grants on moral grounds, their income is unlikely to be adversely affected. Indeed, the opposite can occur – such charities may receive additional funding from existing or new donors who support their stance and wish to help them make up what they have turned down.

For the small charities where Minerva works, the choices are rather more stark. As we experience the toughest fundraising climate for at least a quarter of a century, small charities are paring their costs and slimming down many of their activities, whilst at the same time desperately seeking more funding from trusts, corporate donors, individuals and the National Lottery. Most feel that turning down a substantial grant is not on the cards, so long as the money being offered comes from sources which are legal.

Small charities have to balance the moral high ground against the requirement to continue supporting their beneficiaries, many of whom depend on charity support for their basic needs. Often in such cases, small charity Trustee Boards consider that these needs override any disagreements they may have with funders.

And who can blame them?