As many as 90% of fundraising organisations support the introduction of lifetime legacies in the UK, according to results from the Institute of Fundraising’s (institute) web survey, with an equal number describing them as an opportunity to establish valuable long-term donor relationships.

Lifetime legacies work by allowing a donor to invest in capital for a fixed period, during which time the gift acquires interest. The donor receives an income from this and the remainder passes to the donor’s chosen charity at the end of the lifetime of the trust. Since their introduction in the US 35 years ago, they’ve increased donations to charity by around £100 billion.

Around 80% of those interviewed for the survey believed it would increase donation levels, while 70% felt it would attract new donors, in particular wealthy individuals.

The survey was initiated by the Lifetime Legacies Coalition, which is lobbying the government for tax changes in order to create a suitable environment for such a scheme.

Andrew Watt, head of policy and standards at the Institute, said: “This survey illustrates charities’ overwhelming support for lifetime legacies and the work of the coalition. Their introduction in the UK would give charities a new avenue to the mass affluent, and for donors they present an opportunity to make substantial assets available without having to transfer them immediately. But, lifetime legacies are wholly reliant upon the introduction of tax breaks around these products so the Coalition’s progress is absolutely vital.”

The Institute is to implement a lifetime legacy research project to establish exactly how this giving method is used in the US, and what implications lifetime legacies will have on the financial services and advisory profession in the UK. For more information, visit www.institute-of-fundraising.org.uk or email policy@institute-of-fundrasing.org.uk