Question to the HM Treasury:

To ask His Majesty's Government what assessment they have made of barriers within the tax system to increasing corporate charitable donations.

The Government recognises the important role that tax reliefs can play in supporting charitable giving. Companies can receive Corporation Tax relief on qualifying donations to charity, including monetary donations and certain gifts of assets such as land and shares.

Companies donate around £4 billion per year to charity, supported by around £1 billion a year in Corporation Tax relief on qualifying donations.

The latest available estimate of the value of Corporation Tax relief on charitable donations by companies is £880 million for the 2021-22 tax year. Annual estimates of this relief are not produced and therefore the Government is unable to provide figures for each of the last five years.

As with all taxes and reliefs, the Government keeps charitable tax reliefs under review and considers the available evidence on their effectiveness, use and impact, including any barriers within the tax system to charitable giving.