Government unveils plans to increase the number of employees using payroll giving

The government has unveiled plans to significantly increase the proportion of employees who make donations through their employers’ payroll.

In its white paper on charitable giving and volunteering, the government announced that it will run a year-long national profile-raising campaign.

As part of the campaign, the government will work with the Institute of Fundraising to re-launch the national Payroll Giving Awards on 18 October 2011, including introducing a new platinum award for the best national performers and giving high-profile recognition to organisations achieving the biggest percentage uplifts in employee-giving.

The government will also examine opportunities to re-launch a kitemark scheme for businesses with payroll giving schemes.

The white paper also identified obstacles that might prevent the growth of payroll giving. For example, around £71 million was lost to charities between 1999 and 2007 because of the fact that employees have to re-register for payroll giving if they move jobs.

In order to address this problem the government will work with payroll-giving agencies, which administer payroll giving schemes, to see if this problem can be reduced.

It will also ask the Every Business Commits Forum to explore whether there are particular administrative barriers that are preventing small and medium sized enterprises (SMEs) from establishing their own payroll giving schemes.

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