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JustGiving scrutinised over Captain Tom Moore’s record fundraiser

 

Did the platform profit from Captain Tom's NHS walk?

Campaigners are demanding to know whether fundraising platform JustGiving profited from the £15m raised by Captain Tom Moore after his 100th birthday walk for the NHS.

The fundraiser broke the platform’s record for the largest sum raised through a single campaign but the company hasn’t responded to questions whether it took fees for hosting the event.

The 99-year-old war veteran had hoped to raise just £1,000 to support NHS staff through NHS Charities Together, via the popular site JustGiving but went on to smash every fundraising record in the process.

Neil Coyle, the Labour MP for Bermondsey and Old Southwark, tweeted: “This is amazing. Now we need to make sure @JustGiving do not take a profit off the money intended for the #NHS and those affected by this international emergency. Public donations should reach the intended beneficiary.”

Many concerns were also voiced from donors on social media asking if it had taken any cash from the fundraiser. Justgiving responded in a tweet: “We removed our platform-fee last year. We've also donated £100,000 to Captain Tom's page to show our support to him and NHS Charities Together. Hope this helps.”

JustGiving scrapped its 5% platform fee in 2019, meaning it no longer takes a cut from donations, however it still charges card payment processing fees and takes money from Gift Aid.

It moved to a voluntary contribution model, set at a default 10% of the donation amount, which donors have to opt out of by selecting “other” in a list of drop-down options.

The voluntary contributions, which can be up to 15% of the donation amount, have saved charities £20m in the last year, according to JustGiving.

“Adding a small contribution on top of your donation means we can continue to help more people,” the appeal reads, with a pop-up information bar clarifying that “it will be used to maintain the technology that keeps our site running 24/7” and “provide top-notch customer service.”

So if donors contributing to half of Moore’s total paid the default 10% of the donation amount, and those contributing to the other half paid nothing, JustGiving stood to make £750,000.

If a donation is eligible for Gift Aid, JustGiving said it claims the Gift Aid from HMRC and deducts a 5% processing fee before passing the remaining amount to the charity.

JustGiving also makes money by charging charities a membership fee for raising large sums of money through the site: £15 a month for charities raising up to £15,000 a year, and £39 a month for charities raising more than that.

Despite some donors raising concerns on social media and calling on the platform to waive its payment processing fees for Moore’s fundraiser, charities praised the service.

Daniel Fluskey, the head of policy at the Institute of Fundraising, said: “JustGiving has revolutionised fundraising, bringing a new level of sophistication and reliability and while it is a tech company and not a charity it is important we see it as a partner with charities.”

He added: “If you didn’t have that technical sophistication, it’s entirely possible the system would have crashed – and you wouldn’t have raised all that money for the NHS,” he said.

“The experience of our members is that having a good site that they can rely on, that they know works and minimises fraud is incredibly useful, and it is also important that donors and supporters get a smooth experience. If it is clunky and doesn’t work well, people won’t give.”

 

Comments

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Paul
8 months ago
They are a business so no problem with them making some money, just cap it as it is for charity after all and the intention of the giver is not to pay for speed boats, limos and enormous houses.
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James Dougherty
8 months ago
Take their costs hopefully minimal and no profit and prove it in a statement to the public and sure be no issues
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Alec
8 months ago
Let's all boycott Just Giving if they fail to waive the fees they will make from Captain Tom's page. There are plenty of other charity fundraising platforms less well known that Just Giving. Surely Captain Tom deserves an extra special birthday gift from the Just Giving fat catsTo keep Captain Tom's campaign in the news headlines check out Scottish actor, Allan Stewart's parody of David Bowie's Space Oddity - "Ground Control to Captain Tom" on Youtube. It is an excellent video.  I only know Allan Stewart as a panto actor.  I do not know him personally.Best Wish Alec
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David
8 months ago
Sum raised so far Time/Date 19/04/2020 20:31 £26,272,107.32 x 1.9% = £499,170.04 Nº of donators 1249164 x 20p = £249,832.80 Default 5% JustGiving charge x5% (but could be 15%) = £1,313,605.37 JustGiving Profit from Captains NHS walk based on the above figures: £2,062,608.21
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Ed
8 months ago
Captain Tom Moore should be knighted.
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Erik Nielsen
8 months ago
All costs/fees in this particular instance. Make it transparent to all public so that we can be sure that just giving are trustworthy. I am afraid if this is not done it will ultimately lead to a dramatic reduction in their use.
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John Brady
7 months ago
Do writers at TFN get paid or do you do it for nothing. Please don’t become the Daily Mail I can read that nonsense there.
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Paul
7 months ago
I really wish that well-meaning fundraisers would use a *free* platform like TotalGiving. They don't charge any commissions whatever, unlike Just Giving, who not only charge charities a memberships fee, they also take a slice all the way down the line. Not right.