A new study by Rathbones has found that almost nine in ten UK charities are being forced to sell assets or cut vital services due to prolonged delays in probate grants.
The research, which surveyed 100 senior charity executives managing £3.7bn in investments, shows that 87% of organisations are being negatively affected, with more than one in ten describing the impact as severe.
Gifts in wills currently generate around £4.5bn each year for UK charities, forming a crucial part of their income. However, probate delays continue to block access to this funding, leaving many charities struggling to maintain operations.
Over half (57%) of executives said the delays had forced them to sell assets such as property to fill the financial gap, while 51% said recruitment had been affected and 43% reported cutting back on essential services.
In addition, 38% said they had made redundancies and nearly a quarter (24%) said they had reduced research spending.
The research also found that, on average, 14% of each charity’s annual income remains tied up due to probate issues – unchanged since Rathbones’ previous study in May 2024.
For over a third (36%) of charities, between 15% and 30% of their total income is currently being held up. Despite some progress earlier this year, many estates continue to experience significant delays.
Andy Pitt, head of charities at Rathbones, said: “While there have been improvements in probate waiting times over the last six months, this is still a live issue for charities, and costing them millions of pounds of vital income.
“It’s forcing charity executives to make impossible financial decisions on how to survive. Charities are having to become increasingly agile and resilient to build against these kinds of disruptions in an already challenging environment.
“It is critical charities ensure their investment portfolios are structured to provide liquidity when needed, balancing long-term growth with short-term flexibility, while also ensuring they have the clarity and foresight to anticipate and plan for times of financial stress.”
Almost nine in ten (88%) respondents believe the importance of legacy giving will increase over the next five years, underlining its role in the sector’s sustainability.
Rathbones, which manages £9.3bn in assets for more than 3,000 charities, said the issue highlights the need for efficient probate processing to protect the financial stability of charitable organisations that rely on legacy income.
