Online expansion makes Gift Aid work harder for charities, says Virgin Money Giving

Government rules out Gift Aid increase

Virgin Money Giving is urging charities to do all they can to maximise Gift Aid take-up after Minister for Civil Society Nick Hurd confirmed that any increases to Gift Aid rates for charities is “unlikely”.

The Minister told the Institute of Fundraising’s National Convention that the focus on reducing the public sector deficit meant a rate increase in the Gift Aid percentage was ruled out.

But Virgin Money Giving says charities can substantially increase Gift Aid earnings by using online donations – research conducted in 2009* revealed that online donations provided the greatest Gift Aid take-up.

The not-for-profit fundraising service, which has raised over £14 million since its launch in October 2009, currently sees 86% of all donations submitted claiming Gift Aid – more than double the 40% for all donations*, such as collections and through sponsorship forms.

Grant Bather, spokesman at Virgin Money Giving said: “Gift Aid is a priority for charities and the news that the Government is unlikely to raise this threshold means that charities need to make sure that Gift Aid take-up is at the highest possible level.

“By donating online, donors can easily acknowledge their Gift Aid eligibility, and charities can receive payments quickly and securely, which supports Nick Hurd’s pledge to drill down on bureaucracy in the sector.

“With only 2% of all charitable donations currently conducted online, the sector as a whole should be working together to promote online giving as the most efficient avenue for improving Gift Aid take-up and raising overall donations for charity.”

– ENDS –

Notes to Editors

*UK Giving 2009 study from the Charities Aid Foundation and NCVO.

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