Share donations 'can help to support charities'

Donating shares to charity can be an effective way for people to give money to good causes, according to an expert in the sector.

Speaking to the Independent, chief executive of the Charities Aid Foundation (CAF) John Low said that many people are unaware that they can potentially boost a charity’s bank account by donating shares.

This method of giving also has tax benefits, as the donor is exempt from capital gains tax and can offset the value of their shares against income tax when they sign them over.

Mr Low told the newspaper: ’Charities receive only about £100 million a year in gifts in shares but there are about 12 million people in the UK who are shareholders.’

He also explained that people can contribute to charity investing in another way by specifying donations in their will.

’The great thing about it is that it allows charities to make long-term financial plans,’ he added.

Figures published by the CAF last week revealed that charitable donations in the UK have declined by 11 per cent to £9.9 billion this year.
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