More than 200 UK charities have joined a coalition calling on the Government to temporarily increase the level of Gift Aid that can be claimed to help keep charitable services running during the Covid-19 pandemic and beyond.
The proposal to introduce a Gift Aid Emergency Relief package was released last month and has now drawn broad support from charities of all sizes working both locally and nationally across the UK as well as churches and other groups. These include Marie Curie, the Scouts, Alzheimer’s Society and the London Philharmonic Orchestra as well as many smaller charities.
The proposed Gift Aid change would mean that a £100 donation from a UK taxpayer would increase to £133.33 for the charity once Gift Aid had been claimed. This compares to £125.00 as is currently the case. As a result, the Gift Aid claimed on every eligible donation would increase by one-third, up from the current one-quarter. The group have called for the increase to be in place for two years while charities work to recover from the crisis.
Over 70,000 charities claimed Gift Aid in 2019 with over 120,000 known to be registered for Gift Aid and the Gift Aid Small Donations Scheme, meaning the proposal has the potential to help organisations of all sizes.
A spokesperson for the NSPCC said the move would make a crucial difference at a time of increased demand for help:
“Gift Aid is our third largest income source and plays a vital role in ensuring we are able to provide the services and support needed for children and young people. This proposal would increase our monthly Gift Aid income by an estimated £200,000.00, which would significantly help towards covering the shortfall in donations.”
In a statement, the coalition proposing the relief package said:
“The broad support that we’ve seen across the charity sector for the Gift Aid Emergency Relief package shows just how important these changes would be for charitable services and beneficiaries across the UK. We hope the Government considers some of the charities at real risk and takes forward the proposals to give a much-needed boost at this hugely challenging time.”
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