Philanthropy UK, the Association of Charitable Foundations spin-off that seeks to boost effective giving, has urged the government to fund an agency that will help donors choose which causes to fund.

In its response to the government’s Green Paper on Giving, Philanthropy UK laments the omission of “two important aspects of philanthropy”:

“One is the need for an agency to which aspiring donors can turn to for help in how to choose causes to fund.  Following that, the Green Paper does not include any discussion of the need to support donors in selecting from the many different ways to make a philanthropic contribution today.”

The response lists the various ways that donors can support charities, such as straight donation to a charity; investment in a social impact bond; setting up a permanent foundation; setting up a limited life foundation; funding via a local community foundation; investing in a charitable loan scheme or a social firm; using PAYE to support named charities; texting donations, and fundraising from others.

Philanthropy UK argues that if greater giving is to be achieved, what is necessary is a neutral, donor-centric body that supports them and their needs.

Philanthropy UK's managing editor, Cheryl Chapman, admitted to Civil Society that the agency the organisation had in mind, was itself.

"Of course we see the value in ourselves as an organisation," she said. "We are a neutral and independent place that donors, intermediaries and advisers can go to to find out about all aspects of philanthropy.  It's really important that the sector has that kind of information."

Fiona Ellis, Philanthropy UK’s interim director of philanthropy, said that more generic philanthropy would be a good thing, but unless donations are “well aimed and well used” then civil society will not benefit as much as it could.

“We believe that donors would respond well to being introduced to a wider variety of ways of giving and investing money in civil society but, apart from Philanthropy UK, there is no other wholly objective advice service that just serves donors,” she said.

Philanthropy UK was highlighted as one of the Office for Civil Society’s most highly-threatened strategic partners in Charity Finance’s analysis last year of which of the 40 partners were most at risk from public spending cuts. Its £125,000 Cabinet Office grant is its entire income and will run out in March 2011.  It is still working through a strategic review to try to identify other funding sources.