Glossary

B

benefit

Something given to a donor (or someone connected to them) in return for their donation. If the value of the benefit is higher than certain limits, the donation will not qualify for Gift Aid. Visit the HMRC page of GOV.UK for more information.

benevolent body

In Scotland, any organisation, whether or not it is a charity, which has been set up for charitable, philanthropic or benevolent purposes.

benevolent fundraiser

A person fundraising for, or on behalf of, a benevolent body or connected company

C

challenge events

Fundraising events that raise money through sponsorship of a person (or group of people) who is taking part in a specific activity, such as running a marathon or climbing a mountain.

charitable institution

An organisation that was established for purposes which may not be strictly charitable in law, but which are philanthropic or benevolent. This includes charities (registered or exempt), voluntary organisations and community interest companies.

charitable, philanthropic or benevolent purpose

A charitable purpose is one which is considered charitable under relevant laws of England and Wales, Scotland or Northern Ireland. A philanthropic or benevolent purpose is a wider public benefit which is not considered charitable by law. The code covers fundraising carried out for charitable, philanthropic or benevolent purposes

charity

A body which is recognised as a charity under the relevant laws of England and Wales, Scotland or Northern Ireland.

charity cheques and vouchers

Charity cheques and vouchers are a feature of tax‑efficient donor accounts. Donors pay a lump sum or regular amounts into these accounts. They can then use cheques or vouchers to make donations to charitable institutions from these accounts. 

The agency managing the account will claim and add Gift Aid to the donation before it is paid. When the charitable institution receives the charity voucher or cheque, it contacts the agency to arrange for the donation to be transferred.

charity short codes

Text-message numbers used to send donations to a charitable institution from mobile phones. Charity short codes are numbers in the 70000 to 70999 range to distinguish them from other short-code services.

cold-calling

An uninvited fundraising visit or phone call where the person being contacted has had no previous or recent relationship with the charitable institution.

collection

A collection of money or other property: 

• in public;
• on private land; or
• door to door.

collector

A person or organisation collecting donations door to door, as part of a street collection or on private land.

commercial participator

A person or business who promotes their goods or services on the understanding that they will make contributions to one or more charitable institutions. This is a legal definition set out in section 58 of the Charities Act 1992 and section 79 of the Charities and Trustee Investment (Scotland) Act 2005.

Professional fundraisers and connected companies are not commercial participators. Some in-aid-of volunteers may be commercial participators.

community interest company (CIC)

A limited company whose main aim is to benefit the community rather than make a private profit. 

The code covers fundraising carried out by CICs.

conflict of interest

A situation where a person who is making decisions on behalf of a charitable institution could be (or could be believed to be) influenced by other responsibilities, commitments or relationships.

connected company

A company, such as a trading subsidiary, that is owned or controlled by one or more charitable institutions.

consent

In the context of processing personal data, the Information Commissioner’s Office defines consent as: ‘any freely given, specific, informed and unambiguous indication of the data subject’s wishes by which he or she, by a statement or by a clear affirmative action, signifies agreement to the processing of personal data relating to him or her’. 

This means that the person must show they agree to you using their data with a clear, positive action (for example, by ticking an opt-in box).

consent statement

A statement in which an organisation explains how it will use someone’s personal data before that person agrees to their data being processed.

convenience giving

Methods of fundraising which allow people to make quick and easy donations (usually of smaller amounts of money) using technology. They include tap‑to‑donate, rounding up transactions and donating by text message. Often, a fundraiser does not need to be present for convenience giving.

corporate partner

A commercial organisation which provides money, skills or other resources to a charitable institution. If a corporate partner carries out a fundraising activity, it may fall within the definition of a third-party fundraiser or a fundraising partner (or both).

crowdfunding

Raising money for a charitable, philanthropic or benevolent purpose in a way that is not directly linked to a charitable institution’s bank account. 

The money may be passed on to a charitable institution, or may be used for a personal cause, such as helping a friend or relative with medical expenses.

D

direct marketing

Fundraising requests and advertising sent to a particular person. Examples include emails, letters and leaflets.

donation

A gift of money or other property that is voluntarily given and accepted without expecting or receiving something in return.

donor

A person or organisation who gives a donation to a charitable institution.

door-to-door fundraising

Collecting money or other property for charitable, philanthropic or benevolent purposes by going door to door at residential or business properties.

due diligence

Checks made by a charitable institution to assess the risk to their reputation or finances when considering accepting a donation or working with a specific organisation or person.

E

enclosures

Items or materials included inside direct marketing sent by post. 

Examples include: 

• thank-you gifts;
• incentives to donate; and
• information about the work of the charitable institution.

executor

A person or organisation legally responsible for carrying out the wishes a testator has set out in their will.

exempt charity

A charity (such as a university) that is charitable under English law but is not required to register with the Charity Commission.

exemption order

In England, Wales and Northern Ireland, an order which allows organisations to carry out door-to-door collections without individual licences from a licensing authority. In Scotland, exemption orders also apply to street collections.

F

financial benefit

Benefits (such as tax relief) that a donor receives as a result of making a donation.

free draw

A competition which: 

• is completely free to enter; or
• has free and paid entry methods. 

If a free draw has both free and paid entry methods, the system for allocating prizes must not distinguish between the two.

fulfilment house

An organisation that collects or processes (or both) donations on behalf of a charitable institution.

fundraiser

A person who asks for money or other property for a charitable institution or for charitable, benevolent or philanthropic purposes. Fundraisers may be on‑behalf‑of volunteers, trustees, employed by a charitable institution or employed by a fundraising partner (or its subcontractor). 

An in-aid-of volunteer is not considered a fundraiser for the purposes of the code.

fundraising

Asking for money or other property for charitable, benevolent or philanthropic purposes.

fundraising communications

Communications that encourage people to donate, contribute to or take part in fundraising. This includes: 

• advertising and marketing communications;
• information on online fundraising pages;
• information provided during face-to-face and remote conversations (such as phone calls) with potential donors; and
• information provided to people who are considering taking part in challenge events.

fundraising partner

An organisation or person who has a formal agreement with a charitable institution to fundraise on its behalf. Fundraising partners may be professional fundraisers or commercial participators. 

The term fundraising partner includes subcontractors of fundraising partners and people employed by a fundraising partner (or a subcontractor).

Fundraising Preference Service

A service we run to allow people to ask specific charities to stop contacting them with direct marketing.

G

Gift Aid

A scheme managed by HMRC, which allows registered charities to claim tax back on eligible donations by UK taxpayers.

governing body

The body responsible for making sure a charitable institution is run effectively and meets the purposes set out in its governing document. Names used for governing bodies include board, management committee, council, trustees and governors.

grant-making body

An organisation that provides funding (known as a grant) to another organisation to carry out particular charitable, philanthropic or benevolent purposes that have been agreed between both organisations.

I

in-aid-of volunteer

A volunteer who has not been asked or instructed to fundraise by the charitable institution they are collecting donations for. 

For more information, please see our guidance on volunteers.

L

lawful basis

A legal reason that allows an organisation to process personal data. The Information Commissioner’s Office defines the six lawful bases.

legacy

A gift left to a charitable institution by a person in their will.

legitimate interest

One of the six legal reasons (lawful bases) that allows an organisation to process personal data. The Information Commissioner’s Office defines the six lawful bases.

licensing authority

The body with the legal power to issue licences for door-to-door and street collections.

M

Mailing Preference Service (MPS)

A service which allows people to request that they do not receive direct marketing they have not asked for or agreed to receive to their postal address.

model regulations

England and Wales only 

Regulations which apply to street collections for money and which are set out in the Charitable Collections (Transitional Provisions) Order 1974. Many, but not all, licensing authorities follow the model regulations. 

It is generally accepted that the model regulations do not apply to street collections which ask people to sign up to make regular donations by direct debit.

monitoring

Checks made by a charitable institution to make sure their fundraising partners are behaving responsibly and in line with the terms of their agreements.

O

on-behalf-of volunteer

A volunteer who has been asked or instructed to fundraise for a charitable institution. 

For more information, please see our guidance on volunteers.

online content

Information, other than advertising, from charitable institutions about their fundraising activity that appears in online spaces they control, such as their websites and social media pages.

online fundraising platform

Websites and apps which allow charitable institutions, people and businesses to crowdfund for charitable, philanthropic or benevolent purposes. 

Many online fundraising platforms also allow people to raise money for personal causes, but this activity is not covered by the code.

opt in

Where a person gives consent by showing, through a clear positive action (for example, by ticking an unticked box), that they want a particular organisation or group of organisations to contact them.

opt out

Where a person asks not to receive communications from a particular organisation or group of organisations (either to stop receiving any communications or just those sent by a specific communication method).

P

Payroll Giving

A way of giving money through the Pay As You Earn (PAYE) system from someone’s wages or pension to charity without paying tax on it. Payroll Giving is sometimes called ‘give as you earn’ or ‘workplace giving’.

Payroll Giving agency

A charity recognised by HMRC for the purpose of handling Payroll Giving.

personal data

Information or data which can be used to directly or indirectly identify a living person. 

The Information Commissioner’s Office provides more details on personal data.

private land

Land which is privately owned. This may include land which members of the public have access to, such as shopping centres.

private site

A site on private land for which there is an agreement with the property owner or manager which allows fundraising to take place. If an agreement is in place, it usually applies to commercially owned land which members of the public have access to, such as shopping centres.

prize competition

A competition which requires a level of knowledge, judgement or skill that will prevent a significant proportion of people from entering or winning a prize.

proceeds

All money and all other property given in response to an appeal.

processing (personal data)

Any action you take with someone’s personal data. This includes organising, restructuring and updating it. Simply holding someone’s data counts as processing even if you don’t do anything else with it.

processing fee

A fee paid to a fundraising partner to process a donation to a charitable institution. This does not include standard transaction fees, such as card processing fees.

professional fundraiser

A person carrying on a fundraising business or (with some exclusions) any other person who gets paid to raise funds for the benefit of a charitable institution. This is a legal definition set out in section 58 of the Charities Act 1992 and section 79 of the Charities and Trustee Investment (Scotland) Act 2005. 

Commercial participators and connected companies are not professional fundraisers.

professional fundraising organisation

An organisation that works with businesses and charities to promote Payroll Giving in the workplace.

public charitable collection

A collection for charitable, philanthropic or benevolent purposes carried out on the street, in a public place or door to door.

public place

England and Wales 

Any highway or any other place which, at the time of the fundraising, members of the public are allowed access to and which is not in a building (other than public areas in stations, airports, shopping precincts or similar). It does not include any place which the public can only access with a ticket or after paying an entrance fee, or as a result of permission being given for the fundraising.

Scotland 

Any place (whether a main road or route or not) which members of the public have unrestricted access to. It includes the doorways or entrances of premises next to the public place and any shared passageway, close, court, stairs, garden or yard relevant to any tenement or group of separately owned houses.

Northern Ireland 

Any street, road or highway and any place which, at the time of the fundraising, all or some members of the public have access to. This can be because they have a public right to be there, because they have paid an entrance fee or because they have been given permission (direct or otherwise).

Q

QR code (quick response code)

An image which can be scanned by a mobile device to direct users to a specific website or app. QR codes can be used to take potential donors straight to a donation site or a page containing more information about a charitable institution.

R

registered charity

An organisation registered with: 

• the Charity Commission for England and Wales;
• the Scottish Charity Regulator; or
• the Charity Commission for Northern Ireland.

relevant authority

The person or organisation which a charitable institution or a third-party fundraiser needs to apply to for permission or a licence to fundraise. For fundraising on public land, the relevant authority will be the relevant licensing authority. For fundraising on private land, it will usually be the site owner or manager.

restricted purpose

When a charitable institution asks for donations for a specific project or piece of work (for example, to buy a piece of medical equipment or fix a church roof).

round-up

A fundraising approach where businesses allow customers to choose to round up their bill or payment (for example, to the nearest £1 or £10), and donate the additional amount to a charitable institution.

S

sealed collection box

A sealed container used by fundraisers to collect cash donations. These are usually returned to the charitable institution so they can be reused. 

Self-assembly boxes provided to in-aid-of volunteers and open containers with branded stickers are not considered sealed collection boxes.

solicitation statement

Statements that professional fundraisers and commercial participators (and those employed by them) must make by law when fundraising for a charitable institution. 

Trustees, officers and staff of charitable institutions must also make solicitation statements if they are fundraising on behalf of their institution and being paid above a certain amount.

sponsorship form

A form where a donor agrees to donate through an in-aid-of or on-behalf-of volunteer. These donations are often made on the condition that the volunteer completes a challenge event.

static collection

A collection using collecting boxes which stay in one place – either on the floor or on counters in places such as shops, pubs, hotels, hospitals and reception areas.

street

England and Wales, and Northern Ireland 

Includes any highway, public bridge, road, lane, footpath, square, court, alley or passageway, whether or not this is a main road or route.

Scotland

Has the same meaning as ‘public place (Scotland)’.

street collections

Collections of money or other property made on a street for charitable, philanthropic or benevolent purposes.

T

tap-to-donate

A method of making electronic donations of a specific amount to a charitable institution using contactless payment tools (such as a debit card or mobile phone). 

This could be on the institution’s own premises (such as in a museum or stately home) or at a separate location.

Telephone Preference Service (TPS)

A service which allows people and businesses to request they do not receive live sales and marketing calls that they have not asked for or agreed to receive. This includes fundraising calls.

testator

Someone who makes a will.

third-party fundraiser

Organisations or people that a charitable institution has authorised to fundraise on its behalf. They may be on-behalf-of volunteers, professional fundraisers, fundraising partners, commercial participators or corporate partners.

U

unstaffed collection

Methods of donating money or other property which do not need a fundraiser to be present.

unsubscribe

To cancel a subscription to a service or communication.

V

virtual events

Fundraising events which take place fully or partly online. Examples include video quizzes and live‑streamed gaming marathons.

volunteer

A person who, without payment or other significant benefit (not including expenses), raises money or is involved in a fundraising activity for a charitable institution. See also in-aid-of volunteer and on-behalf-of volunteer.

vulnerable circumstances

A state in which a person is especially susceptible to harm due to their personal circumstances. Vulnerable circumstances can vary from day-to-day, which may affect the person’s behaviour or decisions and means that a flexible response is needed.