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  • Jun2007Issue29
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Quarterly Issue: 
  • Jun 2007: Issue 29
By: 
Laura McCaffrey

An article in The Telegraph (The New Philanthropists, 21 April 2007) looks at giving by the super-rich, and the motivation and expectations behind their giving. It concludes that passion for the cause is but a starting point, and those with money and time on their hands want to be involved and to consider their donations as investments, to be earned and accounted for as in business. It cites individuals such as Adrian Beecroft of Apax Partners, Scottish entrepreneur Sir Tom Hunter and Arpad 'Arki' Busson, the driving force behind ARK (Absolute Return for Kids).

Nature magazine carries a special series of features on philanthropy in science in its latest edition (Philanthropy in science, May 2007). The majority is available to subscribers only, but an interesting news feature focuses on donations to science and looks at the differences between research funded by non-profit foundations and philanthropists and that by government and industry. It is based mostly on the situation in the US but also cites the experience of the Wellcome Trust in the UK - ("Biomedical philanthropy: State of the donation", 16 May 2007)

Magnus Grimond in The Times reports on the motivations of people wanting to set up a trust (A simple cure for 'affluenza', 24 April 2007). He argues that giving might allay the worries of some newly wealthy people concerned about "affluenza" - how money can adversely affect their happiness. It cites GivingWorks, a charity promoting philanthropy that enables anyone with as little as £2,500 to set up a "mini-trust". CAF has been running a similar scheme for some time, with a minimum threshold of £10,000.

Third Sector reports on a three-fold increase in the money distributed to charities by clients of New Philanthropy Capital over the past 18 months (Philanthropy group now advises on £1m a month, 30 May 2007). It says that NPC attributes the increase largely to improved reporting about how money is spent by the charities it recommends to the rich. The article quotes Philanthropy UK Director Susan Mackenzie as saying that anecdotal evidence suggests giving is increasing, but only among the wealthiest. "There is much more still to be done," she concludes.

The relationship between philanthropists and the charities they support comes under the spotlight in an article in VS magazine (Doing business with philanthropists, April 2007). It looks at the increasing demand by donors for charities to meet agreed performance targets, and the arguments for and against such an approach.

The £5 million donation to Tate Modern by John Studzinski, the American-born London-based banker and philanthropist, provokes considerable coverage. It is the largest private gift in the gallery's history, and The Telegraph (£5m donor leads Tate Modern appeal to rich, 24 May 2007) reports that it has led Tate Modern to appeal to major City earners to donate £100 million towards the cost of the giant glass "Cubist" extension which is due to open in time for the 2012 Olympics ("£5m donor leads Tate Modern appeal to rich" 24 May 2007).

Andrew Jack of the Financial Times uses the occasion of the 2007 Skoll World Forum on Social Entrepreneurship to focus on social enterprises (Beyond charity? A new generation enters the business of doing good, 5 April 2007). He talks to leading social enterprise supporters and critics and concludes that: "Without greater rigour, social enterprise will face difficulties in moving from the margins to the mainstream".

Charity Finance carries an interview with Daniela Barone Soares, Chief Executive of the Impetus Trust (Soares above with impetus, May 2007). In it she describes her background in the private equity industry, her transition into the charity sector and how Impetus brings the two worlds together. "Private equity is about bringing a combination of money and expertise to improve performance. Impetus provides long-term money to charities as well as a capacity building element, hands-on support to enable change," she says.

In February The Times had carried a piece on new philanthropy, based largely on an interview with fashion heiress Renu Mehta (The new face of philanthropy, 24 February 2007). The launch event of her charity, Fortune Forum, raised £1 million for four charities fighting poverty, pollution and disease in the developing world. Its guests of honour were Bill Clinton and Michael Douglas. The article examines how involvement of major donors is "changing the face of British giving". It quotes Theresa Lloyd, former Director of Philanthropy UK, as saying this is a " definite and sustainable trend".

President of the Ford Foundation Susan Berresford writes an opinion piece on GuardianUnlimited to mark the opening of the European Foundation Centre's annual conference in Madrid (Raising the bar, 31 May 2007). In it, she argues that philanthropy must set its own standards for transparency and accountability and abide by them. She praises the work done thus far in both the US and Europe to establish principles of accountability and good governance, but argues that "a far broader coalition should take ownership in and responsibility for these efforts".

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