2024-25 Charity tax statistics from HMRC

HMRC have published their latest annual statistics on UK charity tax reliefs for the 2024-25 tax year.

The newly published statistics show a moderate increase of 7% in Gift Aid repayments, totalling £1.7 billion, up from last year’s £1.6 billion. Gift Aid payments have shown a consistent upward trend for the last few years, and rising from £1.2 billion in 2015, an overall 42%.

The Gift Aid Small Donations Scheme, which allows charities to claim the equivalent of basic rate Income Tax on smaller donations, has returned to the pre-COVID-19 pandemic level of £40 million, rising £10 million from the previous year.

Payroll giving donations data is for the tax year to April 2024 but is the lowest in nearly a decade at £125 million and is about 2% reduced from April 2023. Despite this, higher rate tax relief for donors on Gift Aid donations has increased by 8%, to £820 million. This has steadily increased over the last decade.

The overall increase in Gift Aid is positive for charities. It also is encouraging to see that the number of charities receiving Gift Aid has increased 2% in the April 2025 tax year, following a 3% increase in the April 2024 tax year, highlighting awareness of the scheme and the addition of charitable organisations across the sector.

Other charity reliefs have also increased. Charities have benefitted from £2.75 billion in non-domestic rates relief, the largest tax relief available for charities, which is a 7% increase on the previous year. This relief has steadily increased over the last decade; however, it is expected to reduce in the next year due to the removal of business rates relief for independent schools from April 2025.

Donations to charity received £980 million in inheritance tax relief, a 2% increase on the previous year, and approximately 1.3 million people declared a donation on their self-assessment return for the tax year ended April 2024. This is fewer than the previous year by 2% and may be reflective of the rise in cost of living.

Read the full publication here: UK charity tax relief statistics commentary - GOV.UK

For more information, please contact Esther Barratt, or your usual Crowe contact.