New research by the Charities Aid Foundation outlined the behaviour. 

The UK’s wealthiest individuals donate a significantly smaller proportion of their wealth to charities each year compared to working people, according to new research. 

A study by the Charities Aid Foundation (CAF) found the UK’s high-net-worth individuals give the equivalent of 0.4% of their combined £2trillion assets, compared to 1.6% of the income of workers across Britain. 

Wealthy donors provided an estimated £7.96billion in 2023, with the wider public donating an estimated £13.9bn to good causes in the same year. 

CAF’s High Value Giving report explores how the UK’s wealthy currently give and highlights the potential for donations from this demographic, a group for which current data is limited. 

CAF’s analysis finds that if each of the UK’s estimated 536,673 millionaires were to donate 1% of their investable assets, this could mean an extra £12bn for the charity sector. The total donation from HNWIs would increase to an estimated £19.9bn. 

When combined with giving from the general public, total giving from individuals would reach £33bn.

Over the next 25 years, an estimated £5.5 trillion is expected to transfer from the post-World War II generation to younger generations in the UK, dubbed the Great Wealth Transfer. 

The next generation are predicted to be the most significant charitable donors in history.  

CAF is calling on the government to deliver a national strategy for philanthropy and charitable giving to bring together a co-ordinated and cross-government approach to boost giving in the UK, including from high-net-worth individuals.

Edward Garrett, head of private clients at the Charities Aid Foundation, said: “The UK has a strong history of philanthropy, which has been behind some of our most important innovations and funds crucial charitable services throughout our country. But there is cynicism towards philanthropy in the UK, perhaps more so than other countries.

“There is considerable untapped potential for philanthropy to contribute towards tackling local, national and global challenges. Donors, particularly among the next generation, are increasingly considering their giving as part of the spectrum of capital they can invest within the broader impact economy. 

“The Government can take steps to harness this and renew Britain's culture of giving to strengthen civil society for the future, with high-net-worth individuals and professional advisers playing a leading role.”