Charitable giving by Britain’s largest listed companies over the past ten years has not kept pace with profits, according to new research by the Charities Aid Foundation (CAF). While the FTSE 100’s combined profits have increased by 49% since 2014, total donations declined by 13% in the same period. That represents a 34% decline in real terms.
Quick facts:
- Britain’s biggest listed companies donated £1.82 bn last year, slightly down on the previous year.
- GSK give the highest amount of FTSE 100 companies to charity, and Tesco donates the highest percentage of pre-tax profits.
- Only one in five UK companies intend to increase their giving next year.
Corporate Giving 2024 finds that the UK’s 100 largest listed businesses gave a total of £1.82 billion to charity last year. This has slightly fallen from the £1.85 billion recorded in 2022 but in real terms equates to an estimated £164 million of lost charitable contributions.
Best practice for businesses is to give at least 1% of their pre-tax profits to charity and maintain that level in years when profits decline. On average, the FTSE 100 donate an average of 0.9% of their pre-tax profits, compared to 0.4% for wider businesses, although there is wide variation between the companies on the index.
Neil Heslop OBE, Chief Executive, Charities Aid Foundation (CAF) said:
“Our experience tells us that when charities, the private sector and government all play their part, we can work towards building a resilient and thriving civil society for the future.”
Workplace Giving Australia conducts regular research into workplace giving in Australia. Combining the findings of recent surveys and a review of previous research has allowed Workplace Giving Australia to gain a more holistic understanding of emerging workforce trends and community expectations and an appreciation of the corporation's role in philanthropy.
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