Almost two thirds of charities have axed workers and vital services as they come under pressure from falling income, staff burnout and declining public donations, according to new research.

The vast majority have warned they are considering leaving their roles amid intense conditions in the sector, experts at Rathbones have warned.

Research by the investment specialists found that 95% of executives in the sector are thinking about leaving.

The survey of 100 charity bosses also found that 64% have already had to make redundancies and cut vital services because of the financial strain.

Andy Pitt, head of charities at Rathbones, said: “Our research shows that charities are being forced into taking drastic measures such as halting stock market investments, selling assets and making redundancies in order to keep afloat amid plummeting income.

“These are impossibly difficult decisions to make and many think it will be a year or two until they can expect their income to increase again.”

The research found that charities have been hit by a “perfect storm” of weaker income caused by falling donations alongside intensifying pressure on charity staff.

Almost half of charities said their income has fallen between 10% and 15% over the past two years.

Most surveyed charities warned that they expect the autumn budget to negatively hit their organisation, while 87% already fear they cannot absorb higher wage and National Insurance costs which came into force earlier this year.

Mr Pitt added: “UK charities are entering the Autumn Budget with genuine concern.

“Many are already navigating the pressures of reduced donations and rising operational costs, including higher minimum wages and employers’ National Insurance contributions.

“With 70% of charities expecting financial impacts from the upcoming Budget, there is real anxiety about how potential tax rises and benefit cuts could affect their ability to deliver vital services.”

Malaysian Prime Minister Anwar Ibrahim on Sunday said that Asean’s partnership with India continues to be a “force for stability and mutual prosperity”, as both sides push to finalise the Asean–India Trade in Goods Agreement (AITIGA) by the end of this year.Speaking at the India–Asean annual summit in Kuala Lumpur, Anwar said there had been “some real progress” in revising the trade pact, adding that member nations were keen to conclude it soon, according to news agency PTI.The meeting was attended virtually by Prime Minister Narendra Modi, who reaffirmed India’s strong commitment to Asean’s central role in the Indo-Pacific region.India is one of the grouping’s key dialogue partners alongside the United States, China, Japan and AustraliaIn his virtual address, PM Modi described the India–Asean Comprehensive Strategic Partnership as an emerging foundation for global stability and development amid current global uncertainties.“Even in this era of uncertainties, the India–Asean Comprehensive Strategic Partnership has continued to make steady progress,” PM Modi said. “Our strong partnership is becoming a solid foundation for global stability and development”, he added.PM Modi reaffirmed New Delhi’s full support for “Asean centrality” and its outlook on the Indo-Pacific, stressing that India and Asean were “companions in the Global South”, bound not just by geography but also by deep historical and cultural ties.Announcing 2026 as the ‘Asean–India Year of Maritime Cooperation’, PM Modi said both sides were expanding their work together in maritime security, humanitarian assistance, and the blue economy. “India has stood firmly with its Asean friends in every crisis,” he noted.The prime minister also highlighted growing collaboration in education, tourism, science and technology, health, green energy and cybersecurity, saying that both sides would continue to preserve shared cultural heritage and strengthen people-to-people connections.PM Modi welcomed Timor-Leste as Asean’s newest member and praised the summit’s theme of “Inclusivity and Sustainability”, saying it was reflected in joint initiatives promoting digital inclusion, food security and resilient supply chains.Asean is among the most influential regional blocs, and India’s partnership with it has deepened steadily over three decades. The relationship began as a sectoral dialogue in 1992, progressed to a full dialogue in 1995, reached the summit level in 2002, and was elevated to a strategic partnership in 2012.The current Comprehensive Strategic Partnership focuses on expanding cooperation in trade, investment, defence and security, areas where both sides have seen steady growth in recent years.PM Modi expressed optimism that the Asean Community Vision 2045 and India’s Viksit Bharat 2047 goals would together shape “a bright future for all of humanity”.“The 21st century is our century — the century of India and Asean. India is committed to working shoulder-to-shoulder with Asean in this direction”, he said.

The public finances are in a “challenging state”, a senior Cabinet minister has acknowledged amid speculation Rachel Reeves could hit the wealthy with tax hikes in the Budget.

Health Secretary Wes Streeting admitted there were issues with the economy and said households were also feeling the squeeze.

But he insisted there were “green shoots” of economic recovery “but we’re not out of the woods yet”.

The Mail on Sunday reported Ms Reeves is considering a new mansion tax which would hit owners of properties with an annual charge of 1% of the amount by which its value exceeds £2 million, meaning a £10,000-a-year levy for homes worth £3 million.

The Sun on Sunday suggested she was considering a manifesto-busting 2p hike to income tax.

Mr Streeting said he would not be drawn on “wild speculation about the Budget” ahead of Ms Reeves’ statement next month.

He told GB News: “We’re going to wait for the Chancellor to set out her Budget. People can see the public finances are in a challenging state.

“So is the economy, but also so are family finances, so are business finances, we recognise that, we’ve got to get our economy growing again.”

The UK had the fastest economic growth in the G7 in the first quarter of 2025 but the International Monetary Fund (IMF) forecasts suggest the US will outpace Britain across the year.

Mr Streeting said: “There have been some encouraging signs in terms of interest rates and the UK projected to be the fastest-growing economy in the G7, those are all things that are cause for encouragement.

“But we’re not out of the woods yet. The Chancellor has got a challenging job. She’s got lots of considerations to balance and she will set out her choices at the Budget and not before.”

Mr Streeting told Sky News: “I think there are green shoots of recovery in the NHS, in the economy, in our public services, but there is also so much more to do, and we’ve got to attack those challenges with the level of energy and focus that the scale of the challenge demands.”

Ms Reeves is likely to face raising taxes and cutting spending to fill a black hole in the public finances when she delivers her Budget on November 26.

Economists have suggested she will need to find between £20 billion and £50 billion to meet her goal of balancing day-to-day spending with tax receipts in 2029/30, and at least maintaining her current buffer of around £10 billion against that target.

Ms Reeves has hinted the task will be made more challenging by the Office for Budget Responsibility downgrading its assessment of productivity growth.

The historically small buffer Ms Reeves has left herself against her self-imposed fiscal rules means it can be wiped out by relatively minor variations in Budget forecasts, leaving her scrambling for savings or extra tax revenue.

Former Bank of England governor Lord King was critical of the Chancellor’s “back of a fag packet” approach.

He told Sky News’ Sunday Morning with Trevor Phillips: “You don’t solve that problem by just adding another wealth tax to it.”

He suggested if Ms Reeves wanted to look at the tax system she should appoint a panel of experts to take time to examine the issues and “come up with a coherent view”.

But he said: “That doesn’t seem to happen. What happens is the OBR produces just before the Budget, a number, one number, and then they look round for, you know, ideas, almost written on the back of a fag packet about how you can raise an extra few billion or a few billion there.

“That is not a coherent tax strategy. And you could do a great deal by thinking it through first.”