Payroll giving rises by 23% in two years
Howard Lake | 15 August 2002 | News
A new survey by Charities Aid Foundation (CAF) reveals that the number of people giving to charity through Give As You Earn, CAF’s payroll giving scheme, has risen by 23% since April 2000. Give As You Earn, the UK’s largest scheme for tax-free payroll giving, also saw donations top £50 million for 2001/2002.
The survey looked at the impact on Give As You Earn of radical changes made by Government to payroll giving in April 2000. These changes included removal of the £100 monthly ceiling and the addition of a 10% bonus from the Government to all payroll donations until April 2003.
According to the survey, nearly half of the highest level donors through Give As You Earn have joined the scheme since these changes were introduced, boosting the average annual donation among this group by 71% to £2,396.
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In addition, over half of those already giving through the scheme stated that the tax changes had an impact on their giving. Nearly two thirds of these had switched from other forms of tax-effective giving, and almost a quarter of those previously donating up to the £100 monthly limit, have
increased their contributions further still.
These findings are useful ammunition for those hoping that the 10% top-up will be continued. CAF has added its name to those calling for the extension. Jenny Byers, CAF’s Executive Director Donor Services, said: “We’ve seen a steady rise in both the number of Give As You Earn donors and the value of their giving since its launch in 1987. But the dramatic growth brought about by the April 2000 changes can’t be ignored. CAF is already working alongside other, leading voluntary sector bodies, to ensure that we build on this success and finally begin to realise the incredible potential
of payroll giving.”
CAF is working both independently, and alongside the Association of Payroll Giving Agencies to lobby for an extension of the 10% bonus.
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About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.