ATMs to offer charitable donations option?

The Cabinet Office has published the Government’s Giving Green Paper, which features ideas for building a stringer culture of giving time and money – and could see the further employment of financial technology to increase charitable donations.

The Paper, which forms part of the Government’s Big Society initiative, proposes a new role for government as a facilitator of giving, and aims to make it easier for ‘philanthropists, volunteers and charities to form partnerships’.

A low-cost but highly effective set of ideas for large organisations to support charities is the aim, and one of the ideas is to make ATM giving an option in the UK. The idea, should it come to fruition, would see an option on ATM machines offering customers the chance to donate to charity when they use the machines.

“Big Society is about creating a country in which people are in control,” commented Francis Maude, Minister for the Cabinet Office. “People giving time, money, assets, skills and knowledge all drive social action and help make life better for all. This Green Paper offers practical common sense ways we can boost charitable giving. And it’s just the start. We think government can also have a new role, bringing people together to find new ways to support charitable and voluntary action and highlighting the excellent work that is happening already.”

Maude said the Government is arguing for new social attitudes that celebrate giving.
However, this idea of donation with ATMs or card payments throws up several issues, said Richard Bartlett, communications manager at CharityTalk, a provider of phone and broadband that allows customers to raise money for a charity of their choice.

“A couple of issues bother me about this idea. Firstly, I am concerned that this idea could have a negative and critical impact on the donations made to the UK’s smaller, more local charities - those that rely on the public just as much as those with a more national and international focus. People won't wish to be compelled through subtle societal pressure into giving more, particularly where the recipients are likely to be one of the larger charities that already received a Government grant.

"And then there's the issue that this idea of 'forced giving' will put people off donating to charity voluntarily altogether. Some people will argue that they have enough outgoings already in what are restricted financial times for the UK public. I fear this idea will deter them even further away from wanting to donate to charities. If someone wants to donate to a charity, then they should do so at their own will."

The Government is calling on banks and ATM providers to advise on how they could make ATM giving happen in the UK, and whether the government can facilitate this; asking for ideas on ‘cost free’ giving; and is asking charities, agencies and the public to highlight opportunities and barriers for online donation platforms going forward.

The Government also wants to hear from mobile providers about making giving from mobile phones easier and more accessible, and where government can fit in.

The Paper is open for consultation, and will close on 9 March 2011. The findings of the consultation will contribute to a White Paper.

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