Outrage at charity CEOs' six-figure salaries – 'It’s why people don’t donate'

Charity bosses trousering six-figure salaries while frontline workers are left scraping by on low wages are fuelling public anger – and driving donors away in their droves. Olivia, who runs a charity shop in a regional town, earns just under £23,000 a year. Her job involves long days, rarely taking breaks, and dealing with a constant stream of customers and stock – all while supporting a cause close to her heart.

She told The Telegraph: “Whenever I ask for more money, I get told there is nothing left – with the implication that if I really cared about the organisation I wouldn’t be looking for a raise. But if that is the case, how come our CEO is earning over £100,000? It feels very unfair.”

She has also experienced the illness her charity supports, giving her a unique connection to the work. But while staff like her live paycheque to paycheque, those at the top continue to collect six-figure salaries – at the same time as services are cut, shops are closed, and workers are laid off.

The issue has become a flashpoint for wider public frustration, with criticism now spilling into comment sections and forums.

One Telegraph reader said: “One look at the salaries executives pay themselves is enough to put anybody off giving.”

Another added: “The real reason people aren’t giving to charities any more is because we, the people, have cottoned on to the fact that charity bosses overpay themselves.”

Gemma Peters, chief executive of cancer support charity Macmillan, earns £190,000 a year.

However, earlier this year, the organisation announced sweeping cuts – including 400 redundancies, the closure of its £14 million financial grants programme, and major reductions to its flagship advice helpline.

Despite those cuts, Macmillan is now advertising for a new director of strategy – on a salary of up to £119,000. It is one of several senior roles offered at six-figure pay levels.

Additionally, Scope, which is cutting up to 124 jobs, pays CEO Mark Hodgkinson £150,000, while Age UK’s Paul Farmer is on £192,000, and Michelle Mitchell of Cancer Research UK earns a base salary of £276,000 – despite the fact that her organisation has 19% less funding than five years ago.

According to The Telegraph, at least 270 executives working in the charity sector earn over £100,000 – many funded directly or indirectly by public donations and government grants.

The Charity Commission itself says chief executive pay must be “reasonable” and justified – but has limited powers to intervene.

Charity bosses have repeatedly defended their salaries, claiming that running large, complex organisations with national reach demands high-level expertise and experience.

Orlando Fraser, chair of the Charity Commission, said there were people who saw it as a large amount of money but others who regarded it as the going rate.

However, for many frontline workers, the pay gulf feels impossible to ignore.

A senior charity shop manager in the north of England said the disconnect between head office and the high street was growing with staff upset at the size of their salaries, suggesting it was not just about the money but the message it sent.

.Research from nfpResearch suggests public trust in charities has dipped sharply in recent years, with concerns about executive pay consistently cited as a major factor.