Philanthropy cannot solve poverty alone, but it can change the conditions that allow poverty to persist

Poverty and social exclusion are everyday realities for children and families across Europe despite sustained economic growth in many Member States. As the European Commission prepares to announce a planned coalition against poverty, there is growing recognition that governments alone cannot tackle the complex and interconnected challenges driving deprivation.

Philanthropy must assess the potential role it can play within the coalition, examining its unique role in terms of evidence, innovation, advocacy and community experience to help shape effective policies.

Ireland offers one example of how this can work. Over the past six years, Community Foundation Ireland has adopted a strategic philanthropic approach.

In its role as a convenor, the foundation has been bringing together frontline organisations, leading researchers, advocates and donors around a shared goal of reducing child poverty.

In addition to service delivery, the approach has invested in the evidence, partnerships and public engagement needed to influence policy and drive systemic change.

This work has contributed to tangible benefits for children and families while strengthening public understanding of poverty and inequality. It has also helped hold policymakers to account in a country where almost one in five children continue to live in the shadow of deprivation and poverty.

The need

A stone in the shoe for policymakers for 23-years, Ireland’s independent statutory Combat Poverty Agency was shut down in 2009, its duties subsumed into a Government Department.

Whatever the policy intention – it was a decision which created a deficit of independent evidence on the success – or otherwise – of anti-poverty policies.

A deficit of which the Community Foundation and its donors became keenly aware thanks to evidence in reports from our 5,000 community, voluntary and charitable partners across the country. Not only were policies proving ineffective, but there was now little if any evidence to inform any new direction.

As the country roared from a tiger economy to bust and then recovery, it was becoming clear income gaps were widening and those in the greatest need were paying the highest cost.

Strategic philanthropy

Lacking credible evidence, advocates struggled to achieve necessary changes. A new strategic approach was needed. An approach which would have to be facilitated away from the public purse.

Working with visionary philanthropists and informed by community and frontline partners, six years ago Community Foundation Ireland formed a research partnership with the highly regarded Economic and Social Research Institute (ESRI), an independent think-tank which is widely regarded and has the ear of Government.

Each year the partnership produces agenda setting research which not only sets the agenda ahead of the national budget but also fills the evidence gap needed by advocates.

The Poverty, Income Inequality and Living Standards Research has proven to be agenda setting, and together with other philanthropic partnerships around advocacy and frontline delivery has contributed to progress.

The research has for example been built into a special End Child Poverty Advocacy week by Ireland’s Children’s Rights Alliance, work also made possible by philanthropy as well as special Government Report Cards and Monitors aimed at ensuring commitments to children are met.

Throughout the six-year period, child poverty has been accepted as a major challenge with a special unit established within the office of the Taoiseach (Prime Minister).

In terms of tangible actions, hot school meals are provided to every child, holiday hunger programmes are being piloted, more schools in disadvantaged areas are getting more support and universal child benefits have increased.

There is no silver bullet solution to ending child poverty and while the research has contributed to successes it is also true that a central recommendation for a targeted tier of child support for those who need it most has yet to be achieved with the results of a Government consultation still pending.

Learnings for Europe

We believe the approach of Community Foundation Ireland does offer some learnings, the first being that philanthropy cannot solve poverty alone, but it can change the conditions that allow poverty to persist.

Philanthropy also offers the opportunity for strategic interventions including in the areas of evidence and research, and it facilitates effective advocacy while also providing that frontline support.

It offers ambition, courage and leadership facilitating pilot programmes, proof of concept and other pioneering approaches which for a variety of reasons other funders cannot.

As a Community Foundation, we look forward to the discussion ahead and in seeing the emergence of the new Europe-wide coalition as offering another opportunity where philanthropic voices and partnerships can help shape policies for the benefit of all.