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Charities urge UK employers to offer payroll giving

A petition comes as part of a charity-led campaign for Payroll Giving Month

Charities have called on UK employers to participate in payroll giving, as part of a campaign for Payroll Giving Month.

The consortium of charities behind Payroll Giving Month, which runs every February, has launched a petition urging UK employers to offer a payroll giving scheme.

Members of the public, charities and business leaders have been urged to sign the petition, which aims to make sure “every PAYE employee can access the tax relief available to them when giving to charity”.

The petition was launched in December but started gathering signatures last week, in advance of Payroll Giving Month.

This year’s Payroll Giving Month campaign is being led by the animal charity Together for Animals, but involves a consortium of 18 charities and stakeholders, including Charities Aid Foundation, the Chartered Institute of Fundraising, Cancer Research UK, Macmillan Cancer Support, Barnardo’s and WaterAid.

The charities said payroll giving has been in decline for nearly a decade, adding that since 2015/16, the amount donated via payroll giving has fallen by 15 per cent.

They said the number of people donating through payroll giving has also decreased, falling by 13 per cent between 2020 and 2022.

Stephanie Peacock, the charities minister, said:

“This government recognises the charity sector as a valued and equal partner in tackling some of the biggest challenges in society. That’s why we’re committed to making philanthropic giving efficient and accessible to everyone”.

“Payroll giving is a tax-efficient way for people to support causes they care about and we encourage all UK employers to offer the scheme for PAYE employees”.

Caroline Gaskin, development manager at Together for Animals, said that payroll giving represented a “win-win solution for employees, employers and charities”, adding:

“It provides a reliable income stream for charities [and] enhances corporate social responsibility for businesses.

“Payroll giving provides Together for Animals with a vital regular source of income, allowing us to help provide lifesaving care for animals desperately in need. We would encourage companies to support payroll giving and offer employees a simple way to make a meaningful difference.”

Claire Stanley, director of policy and communications at the CIoF, urged people to sign the petition, saying:

“It’s time we reverse the downward trend in employers offering payroll giving. Right now, charities need vital funds to meet growing demand for their services. Meanwhile, fiscal drag has brought more people into higher tax brackets”.

“In these unprecedented times, increasing the take-up of payroll giving could raise millions for charities up and down the country, while making it cheaper for employees to support causes they care about.”

You can sign the petition here: https://www.change.org/p/urge-companies-to-offer-a-payroll-giving-scheme-in-their-workplace