Donor Advised Funds in the UK
Donor Advised Funds (DAFs) have been used as a vehicle for philanthropic giving in the U.K. since the 1970s when the Charities Aid Foundation (CAF) Charitable Trust was created. Over the past 5 years, giving from Donor Advised Funds in the U.K. has increased by 130%, from £250.3m to £575.4m (Source: CAF ‘Philanthropy Comes of Age’ report, released 2020), a testament to the effectiveness of using a DAF. However, annual charitable giving in the UK tends to be more than £10bn, swamping the amount given by DAFs: under 6% of this figure. It is integral that professional advisors have access to clear, accurate information surrounding the Donor Advised Fund Market- so that they can present the full palette of options to their clients. Our research has shown that each DAF has its own strengths, and there are key differences in structure and flexibility, which we summarise in the below information.
We have compiled a list of U.K. Donor Advised Funds. Our research outlines the key features of each, for ease of comparison.