AI in charities: is the sector ready to move forward?

AI may be dominating headlines, but most charities are still figuring out how it fits into their day-to-day work. While 56% of organisations are already using AI, often for admin tasks like drafting meeting notes or producing written content, many are just beginning to explore the possibilities. 

The real story is one of cautious curiosity. There’s enthusiasm, but also a sense of hesitation, especially among smaller charities. A third of respondents said they’re evaluating AI, but facing clear barriers around time, resources, and skills. 

Technology isn’t the problem. The biggest challenge? A lack of internal confidence. A high majority of charities report limited knowledge of AI. This lack of understanding makes it harder to experiment, build policies, or have productive conversations about risk and governance. And it leaves organisations vulnerable to poor implementation, or no implementation at all. 

Despite these challenges, many charities recognise the potential value AI could offer. From boosting efficiency and productivity to enabling more informed decision-making, AI is seen as a tool that could support smarter, faster ways of working. 

There’s also a growing understanding that AI could help reduce repetitive, manual tasks, giving staff more time to focus on meaningful, mission-driven work. In a sector often stretched for time and resources, that shift could make a real difference. 

The purpose of this report wasn’t just to gain insight into the charity sector. Phoenix, in collaboration with NCVO, is using these findings to outline a practical way forward for charities exploring AI. So you can understand what steps to take, and how to take them, to make the most of AI technologies. From pilot initiatives and staff training to AI governance and leadership engagement, the report offers clear, actionable guidance for any charity ready to begin its AI journey. 

• Want to see where your organisation stands and how others in the sector are overcoming similar challenges? 
• Looking for real-life quotes from charity professionals already working with AI? 
• Curious about which AI tools are making a tangible difference for non-profit teams?