The payroll-giving scheme, which allows employees to donate to charities directly from their gross pay, is 25 years old in April.
The Association of Payroll Giving Organisations (APGO) marked the anniversary by delivering a giant card to 10 Downing Street, highlighting the £1.2 billion raised and thanking organisations and their staff for using the scheme.
Liz Davies, representative of the APGO, said: “The amount raised for charities is a marvellous achievement, both by organisations that offer payroll giving and their generous employees who recognise the value of sustained giving from their payroll, tax free, to charity.
“Even in these challenging times, people can see the huge value of tax-free giving. By 2017, we are aiming to double the number of employers offering the scheme so even more charities and their beneficiaries are provided with a sustained and regular income stream.”
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