What exactly is the third sector?
The phrase ‘third sector’ refers to the voluntary
or not-for-profit sector. The first sector is the public
sector and the second sector is the private sector.
Today the third sector is a diverse and active sector
comprising ‘voluntary and community organisations,
charities, social enterprises, cooperatives and mutuals
both large and small.’
Over the last thirty years the name third sector has
become so well known that the government in May 2006 created
the Office of the Third Sector, placing it in the Cabinet
Office in recognition of the increasingly important role
it plays in both the economy and in society.
Key facts
• There are some 170,000 registered charities in
England and Wales with a total income of £43.427
billion.
• Across the UK there are some 220,000 voluntary
and community organisations.
• The voluntary sector has a paid workforce of
at least 610,000 – accounting for one in 50 of the
total UK workforce. It is increasing by 10,000 every year
- much faster than the private and public sectors.
• The voluntary sector derives 38 per cent of its
income from statutory sources, and has assets of some
£67 billion.
• There are at least 55,000 social enterprises
in the UK – making a difference by involvement or
investment with their 'double bottom line' – allowing
the sector to earn more of its income.
Sources: Charity Commission and National
Council of Voluntary Organisations.
The
third sector plays a critical role in building
economic success, encouraging social justice
and developing stronger communities
