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ANNUAL REPORT REVEALS IMPACT OF AID CUTS AND CHALLENGING FUNDRAISING ENVIRONMENT ON SAVE THE CHILDREN AS NEEDS REACH RECORD LEVELS

22 Jun 2026 Global

Save the Children UK releases 2025 annual report

22 JUN 2026 LONDON - Save the Children UK’s latest annual report highlights the growing pressure facing charities as cuts to foreign aid and falling donations collide with record levels of need for children around the world.

 

The report shows a £43 million fall in income during a difficult year marked by ongoing conflict in Gaza, Ukraine and Sudan, alongside growing financial pressures on families in the UK, driving children’s needs to record levels.

 

Despite these challenges, the 2025 annual report also highlights the impact made possible through public support, campaigning and partnerships across the UK and globally.

 

In the UK, Save the Children’s years of campaigning alongside families helped result in the government’s decision to scrap the two-child benefit cap - a move expected to lift 450,000 children out of poverty. The organisation also helped shape the government’s Child Poverty Strategy, including commitments to expand free school meals and childcare support.

 

Across its shops, the past year also saw a surge in a new generation of volunteers, with a sharp rise in under-25s signing up and more people giving their time to support local stores. In 2025, volunteers contributed more than 324,000 hours to running Save the Children shops across the UK, an increase of more than 46,000 hours (17%) compared with 2024.

 

Globally, Save the Children worked to support children affected by conflict, hunger and climate shocks, while helping secure billions in international commitments for vaccines and nutrition programmes. Programmes included expanding access to education in Nigeria, supporting climate resilience in Sierra Leone and vaccinating approximately 112,000 children in Ethiopia and Nigeria through a partnership with GSK.

 

In Somalia, where nearly half of children under five are at risk of malnutrition, Save the Children trained local health workers to provide life-saving treatment, while centres for survivors of gender-based violence were established in the country.

 

The report also outlines a major organisational restructure undertaken during 2025, aimed at increasing its impact in the UK and around the world and strengthening our financial position. In common with other charities, Save the Children UK had seen its costs rise faster than its income and the restructure is projected to deliver just under £9 million in gross annual savings during its first phase.

 

The changes came amid a challenging year, with income falling by £43 million compared to 2024. US aid cuts impacted Save the Children UK’s income through reduced funding from multilateral institutions.

 

Moazzam Malik, Chief Executive of Save the Children UK, said: 

 

“Children did not create the conflicts, inequalities or climate pressures shaping their lives, but they are living with the consequences. Our responsibility is to ensure their voices are heard and their rights protected.

 

“The achievements in this report reflect the dedication of our staff, volunteers, partners and supporters. Together, we will continue to focus on impact, accountability and long-term progress so that every child has the opportunity not just to survive, but to thrive. 

 

“We must also recognise the incredibly challenging financial climate and the changes we have had to make to our organisation to continue to deliver the best possible impact for children. 

 

“I want to thank our staff and volunteers for their commitment, resilience and compassion during what has been an incredibly difficult period for many across Save the Children. This comes against sky rocketing needs for children across the globe, including in places like Gaza, Sudan and Ukraine.”

 

The annual report also highlights progress in reducing ethnicity pay gaps across the organisation. The median ethnicity pay gap remained low at 0.8%, while the pay gap between Black female employees and White male employees reduced from 11% to 5%. 

 

However, the report notes more work is needed to improve representation in senior roles, with Black, Asian and Minority Ethnic colleagues making up 19% of the highest pay quartile. 

 

ENDS 

For further enquiries please contact: [email protected] / +44(0)7831 650409 

To read the full annual report: Save the Children UK | Annual Report 

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