# Charities welcome Chancellor's voluntary sector initiatives

- Link: https://fundraising.co.uk/2004/03/17/charities-welcome-chancellor039s-voluntary-sector-initiatives/
- Published: 2004-03-17T00:00:00+00:00
- Author: Howard Lake

Charities and voluntary sector bodies have responded positively to the voluntary
sector initiatives announced by the Chancellor in the Budget.

Melvin Coleman, Charity Finance Directors’ Group (CFDG) trustee and UK Finance 
Director of Amnesty International said: “We very much welcome the proposed cash 
incentive for small and medium sized firms to introduce payroll giving, and the 
establishment of a Commission on a National Youth Volunteering Strategy.

“We are also very pleased that the Government have decided to continue to consult
heritage and conservation charities on the proposed changes to the Gift Aid Day 
Admissions scheme that were announced in the pre-budget report. The potential cost
of the changes is millions of pounds, and will particularly hit small independent
museums.”

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On the other hand, CFDG expressed disappointment that no concessions in relation
to the continuing issue of irrecoverable VAT were declared.

The British Heart Foundation welcomed the commitment to volunteering and the commitment
to making investment in science and education a priority for this summer’s spending
review.

The Institute of Fundraising meanwhile expressed regret over the ending of the 10%
supplement to support payroll giving, and called on the Treasury to ensure that 
the money saved is used to promote giving in other ways.

It did however welcome the announcement of cash incentives to small and medium-sized
companies to engage with payroll giving. Acknowledging that the charity sector itself
could do more to promote Payroll Giving, Institute CEO Lindsay Boswell hoped that
these incentives would make many larger charities think again. “There is still a
huge job to be done,” he said. “This is illustrated by the amazing fact that employees
of 42 of the top 100 charities cannot donate tax efficiently through their own payroll
schemes…because these charities have not bothered to set one up!”

The Giving Campaign was similarly positive about the incentives. Director Amanda
Delew said: “The announcement of an incentive for SMEs that set up Payroll Giving
is fantastic news. It should lead to more employers offering the scheme, more donors
using it and more charities promoting it, which will generate millions of additional
income for good causes across the country.”

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