The National Trust has temporarily stopped all but essential recruitment as it expects to face a £10m rise in staff costs next month.
The conservation charity forecasts that its labour costs will be driven higher by increases to minimum wage rates and employer national insurance contributions (NICs), both of which are due to come into force on 1 April.
According to a report in the Guardian, the charity will still be recruiting for “business critical” roles but is also considering pausing some projects where “there would be no adverse impact on public benefit or urgent conservation”.
‘Significant increase for us to absorb’
A spokesperson for the charity told Civil Society that most of the £10m increase was due to the NICs rise and that the recruitment freeze was temporary with no fixed end date.
“While we firmly support fair pay for our staff, the changes to the national living wage and national insurance employer’s contributions are a significant increase for us to absorb,” they said.
“And that's not all. A combination of the cost-of-living crisis, high inflation rates and a lack of wider economic growth in the past few years has also created pressures for our operating and conservation costs.
“The National Trust is not alone in having to make tough financial choices, these are challenges the whole sector is facing.
“People’s support – including membership and donations – has never mattered more.
“We are committed to continuing our vital charitable work and creating the maximum possible public benefit in everything we do.”
Fundraising drive
Earlier this year, the National Trust announced plans to “fundraise more in the next decade than in the previous century” as part of its 10-year strategy.
Although the charity would not give a precise figure for its 10-year fundraising target, it raised £98.1m in the year to February 2024 alone as part of an overall annual income of £724m.
The charity employed 8,419 workers on average in 2023-24, with its staff costs exceeding £300m.
Its overall income was £724m in 2023-24, while its expenditure was £768m.