Charities are still virtually unprepared for a no-deal Brexit, despite a widespread belief that Brexit would be 'extremely damaging' for the sector, research has revealed.

A new survey, published by the Charity Finance Group, revealed 75 per cent of charities have made little or no preparation for a no-deal Brexit, showing only a 10 per cent drop on the 83 per cent that said they had made little or no preparation earlier in the year.

Among those surveyed, 53 per cent said they felt dissatisfied with the support they received from government, while over 60 per cent said their greatest fear from a no-deal Brexit was a danger to income.

Others expressed concern over staff recruitment, the ability to deliver services, and the impact of widespread chaos and uncertainty across the UK. Only 12 per cent said they really understood what a no-deal meant for their charity.

Meanwhile, the survey also highlighted the uncertainty over Brexit is already being felt by charities, with one respondent commenting: "We are already taking a massive hit on exchange rates due to the week pound."

CFG has previously said a no-deal would be the 'worst possible outcome for the charity sector' and is calling for the government to invest more money in helping charities to prepare for a no-deal Brexit.

The body is also asking for greater clarity around the UK Shared Prosperity Fund, which is due to replace EU funding worth hundreds of millions of pounds to the sector.

Commenting, CFG chief executive, Caron Bradshaw: "With a no-deal Brexit looking increasingly likely, it is perhaps unsurprising that charities are worried about the impact it will have.

"But at a time of near unprecedented political division and uncertainty, it is crucial that government gives civil society clarity about post-Brexit funding, and the confidence it needs to help heal the Brexit divide."

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