The government’s report, which has been launched at CFG Member the British Paralympic Association, has found that understanding of Gift Aid is mixed among charity donors with 30% having a “fairly poor” understanding of Gift Aid and 11% having a “poor” understanding.
Previous HMRC commissioned research found that a lack of understanding of Gift Aid deterred eligible donors and also led to confusion amongst ineligible donors leading to erroneous claims. It also found that volunteers, particularly those in charity shops, were well placed to explain the scheme.
CFG’s Gift Aid Awareness Day will encourage every charity to spend time with staff and volunteers to educate them on Gift Aid and answer their questions, so that they can educate family, friends and the general public.
Over 14m people volunteer formerly for charities every month and over 850,000 people work in the charity sector. Mobilising volunteers and staff would be a tremendous boost to public understanding of this £1.3bn tax relief.
CFG will be commissioning research to understand how best to explain Gift Aid to the public and providing free materials for charities to use on the Gift Aid Awareness Day.
Speaking at the launch today, Caron Bradshaw, Chief Executive of Charity Finance Group said:
“Gift Aid is vital to the charity sector and supports the work of tens of thousands of organisations. Without it, our sector would reach fewer people and deliver less impact.
CFG wants to give practical support to charities so that we can boost the amount of Gift Aid claimed. At a time when charities are struggling to meet demand, every penny counts.”
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• Please contact Andrew O’Brien, Director of Policy and Engagement, Charity Finance Group for more information (andrew.o’firstname.lastname@example.org or 07889129971).
• CFG is the charity that champions best practice in finance management in the voluntary sector. With over 1,450 members, managing over £21bn, it is uniquely placed to challenge regulation which threatens the effective use of charity funds. For more information, please see www.cfg.org.uk
• CFG has a track record on supporting charities on Gift Aid with regular conferences, training and publications.