The Institute feels passionately that there has been insufficient consultation on the Payments Council proposals to abolish the use of cheques by 2018. This development has caused great concern to charities, both large and small: and with this move seemingly designed entirely as a cost-cutting measure for the banks, we believe there has been scant consideration of the disastrous effect this could have on charitable income.
There are many charities - in particular, but not exclusively, those who rely heavily on an older supporter base - who receive more than 70% of their income by cheque. These charities have expressed real fears that those who currently donate this way may stop giving altogether if they are no longer able to do so by cheque.
The Payment Council’s proposal may also give a ‘green light’ to banks to begin the process of phasing out cheques even earlier than 2018 - and before a viable alternative has been found. We believe that without proper consultation with those most likely to be affected by the change, this move should not go ahead.
Charities can respond to this proposal in a number of ways, and we would encourage them to support the Institute’s response by adding their voices to our campaign:
1. The Payments Council has agreed to meet with the Institute in February to listen to our concerns - so contact the PC and express your views. They have told us that they are inviting comments from all interested organisations and assured us that all emails sent to them will receive a response. You can find more information about the proposals; send your comments and concerns to: cheques@paymentscouncil.org.uk
2. Get in touch with our Policy & Campaigns department. Your views can only strengthen our campaign, and provide further evidence for our meeting with the Payments Council. In particular, we would like to know:
- What effect could these proposals have on your organisation?
- How valuable are cheque donations to your organisation?
- Will you be able to convert cheque donors to use other means?
In short, what will this proposed change mean to you? It is clear that there is still time to affect these proposals. The Council has stated that a final decision will be taken in 2016 ‘only if acceptable alternatives to cheques are available to users for all of the significant areas where cheques are still being used, and there is evidence that these alternatives are being used’.
So share with us your views and concerns - and help us to speak out on your behalf - by emailing Louise Richards, Director of Policy and Campaigns.
3. Contact your MP about the issue and encourage him/her to sign Early Day Motion 258, ‘Save our Cheque’. (Find your local MP’s email address listed here). The motion was submitted by Liberal Democrat MP Mark Hunter. Details of the cross-party campaign.
