International comparisons of charitable giving

24 November 2006

A new survey published today has highlighted some fundamental differences in the way countries approach giving to charity.

International Comparisons of Charitable Giving, published by CAF (Charities Aid Foundation) has explored individual philanthropy in 12 countries including the UK, the US, France and Germany, where comparable data was available. The survey identified some of the key cultural and political factors that have a major impact on people’s giving. 

Where tax and social insurance contributions are high, for example, giving is a relatively lower proportion of GDP. This is particularly true of France, Turkey and the Netherlands, while in the UK and Republic of Ireland, comparatively lower personal taxation is matched by relatively higher levels of giving.

Tax incentives on giving had a clear impact in countries with the most generous tax breaks like the US and UK. But while the majority of countries surveyed offered some form of tax incentive on giving, the impact of specific benefits is simply not known.

The effect of religion on giving also varies hugely from country to country. In the US and the Republic of Ireland, high levels of religious commitment were matched by high levels of giving as a percentage of GDP. Australia and New Zealand, however, both in the middle band for religious commitment, had high and low levels of giving respectively.

Interestingly, a nation’s wealth does not automatically lead to high national giving. In the Netherlands and France which enjoy high average incomes, giving as a percentage of GDP is among the lowest of the countries surveyed. In South Africa and Australia, the opposite is true, and only in the US, the UK and Canada are high average incomes met by relatively high levels of giving.        

According to Andrew Jones, Executive Director of External Affairs with CAF: "International Comparisons of Charitable Giving offers a snapshot of levels of giving around the world. And while it's clear that a number of factors influence giving, more work needs to be done to understand the drivers of philanthropy in different countries.

Only when we understand this, can we really begin to explore the opportunities for giving in the future."

International Comparisons of Charitable Giving is available to download free of charge at www.cafonline.org/internationalgiving


Notes to editors

Established in 1974, CAF is the not-for-profit organisation which is committed to effective giving, both in the UK and internationally.  Our work spans the full breadth of the charitable sector, wherever we feel we can make a positive difference to the level and impact of giving.

CAF promotes effective giving. For individuals, we make donating to the causes they care about simple and tax efficient. For businesses, we can support every aspect of their community involvement. And for charities, our services can help them make the most of what is given.

For this report, CAF has reviewed and compared the results of surveys of individual giving in a number of countries whose wealth covers half of the total global economy. These international comparisons of charitable giving reveal whether donating in the UK and other countries is as high as it could be, and what countries might learn from each other. The survey has been standardised as far as possible to produce reasonably robust comparisons.