Decline in donations to Oxfam shops

While demand for second-hand clothes, books, music and homeware remains strong, the drop in donations is putting pressure on stock levels in Oxfam's 714 shops.

More than 80% of the charity's total income from its stores comes from people giving their unwanted goods.

Oxfam said donations were down 12% so far this year, which could equate to a total of 1.2 million fewer donations in 2009.

The charity was alerted to the problem by Wastesaver, its recycling facility in Huddersfield, West Yorkshire, which reported a drop in the volume of stock it handled.

According to Oxfam the fall is a result of people buying fewer new items which means they have less need to throw out their old goods.

It also said that as fewer people were moving house there had been a reduction in the number of donations of household items such as crockery, china, glass and curtains (7%) and furniture (13%) this year.

However, the number of Oxfam shoppers remains at the same level as last year and sales were up 5% last year on the previous year, the charity said.

Measures such as teaming up with Marks and Spencer to provide customers with a £5 discount voucher if they donated M and S clothing, and opening new fashion boutiques, have helped boost the clothes side of the business.

Oxfam's director of trading David McCullough said: "The £20 million profit made by our shops last year would be enough to fund all of Oxfam's work in DR Congo, Tanzania, Uganda, Ethiopia and Somalia for a year. But we can't sell fresh air."