Payroll Giving

Payroll Giving is an important income stream for Cancer Research UK. In 2006/2007 the income generated through Payroll Giving amounted to approximately £3.7 million.

Each pay day, a specified donation is taken directly out of any participating employees' gross salary - after National Insurance has been deducted but before tax. The end result is that it costs employees up to 40% less to make their donations.

For example, if an employee pledges £5, the actual cost to them will be £3 (based on a higher rate tax payer).

Payroll Giving has numerous advantages but despite this and the number of Government and sector initiatives to promote it, Payroll Giving has not been as successful as hoped. In December 2007 Cancer Research UK fed into an independent Institute of Fundraising consultation on Payroll Giving. In our response we highlight the advantages and barriers to Payroll Giving, as well as outlining the key changes we believe are necessary to allow Payroll Giving to truly flourish.