HMRC’s UK Charity Tax Relief Statistics for the year ending April 2024 reveal a 3% increase in total tax reliefs granted, reaching over £6 billion. This comprises £4.46 billion for charities and £1.57 billion for individual donors, demonstrating the ongoing significance of tax reliefs in supporting charitable giving.
Gift Aid continues to be the largest component, contributing £1.6 billion, while non-domestic rates relief also grew by 6% to £2.56 billion. However, not all forms of relief saw growth: Stamp Duty Land Tax (SDLT) relief, for example, decreased by 9%, amounting to £300 million. This fluctuation reflects a dynamic real estate market, which often influences SDLT relief figures. On the other hand, inheritance tax relief for charitable donations remained constant at £750 million, emphasising the consistency in legacy donations by individuals seeking to leave charitable gifts in their wills.
While these statistics highlight the continued resilience of charitable tax reliefs, they also underline the importance of such financial incentives in sustaining the work of UK charities. The growth in tax relief for charities, particularly in non-domestic rates, demonstrates how various sectors of the economy—such as property—intersect with the charitable landscape.
These tax reliefs benefit both charities, by increasing their financial resources, and donors, by offering significant savings, fostering a culture of generosity. For policymakers, the data provides key insights into the effectiveness of current tax incentives and areas that may need further adjustment.
For a full breakdown, visit the official website commentary.
