Funding in the sector

Funding in the Sport and Physical Activity Sector

Funding in the sport and physical activity sector comes from various sources. One of the main sources is the public sector.
This includes money from local authorities and national government bodies, such as the Department for Culture, Media and Sport (DCMS).
Organisations like UK Sport and Sport England receive public funding and allocate it to support sports and physical activities at all levels.
Public sector funding often supports large-scale sport facilities and programmes, ensuring accessibility and affordability of sports for everyone.

Another source of funding is the private sector, which includes businesses and for-profit organisations.
Private companies might invest in the sector for various reasons, such as sponsorship deals or partnerships with sports teams and individuals.
This type of funding often focuses on high-profile sports and athletes, with the aim of gaining commercial advantages, such as brand exposure and marketing benefits.

The National Lottery plays a significant role in the sector’s funding landscape. The money raised by the Lottery contributes to various sport and physical activity projects.
Organisations like the Big Lottery Fund and Sport England distribute Lottery funding amongst community projects and elite sport programmes.

The voluntary sector contributes to funding, including donations from individuals, fundraising events and membership fees.
Often, these funds help support local sports clubs and grassroots activities.

Grants from trusts and foundations can be a vital source of funding for sports and physical activity projects.
There is also the benefit of Gift Aid, a scheme that allows charities to claim the tax paid on donations, providing additional funding for non-profit sport and physical activity organisations.

The sector faces significant funding challenges, such as fluctuations in government funding, increasing competition for private sponsorship, and the impact of global events like economic downturns or pandemics.
Organisations need to demonstrate their worth to attract and maintain funding. This can involve showing how their work improves physical health, mental wellbeing, community cohesion, and contributes to wider social and economic goals.