A radical solution for payroll giving

A radical solution for payroll giving: In her recent blog Celina Ribeiro suggested the sector is sceptical that the Treasury and HMRC will make radical changes to the payroll giving system. I'm not so sure. I think this government understands that the current set-up is not sustainable or fit for purpose in the 21st century. I think it genuinely wants to create a better system. But for the last three years it has had other priorities, so has merely tweaked the current set-up with marginal improvements.

In the UK we have two main tax-effective giving channels - gift aid and payroll giving. One is pretty successful, with over ten million donors contributing about �1bn a year in tax refunds to over 60,000 charities. The other is a damp squib, with well under a million donors and yielding only about a thirtieth of the tax (about �30m a year), with only a few thousand larger employers and charities taking part and gaining any benefit.