Donations to charity directly from pay have risen by £6 million to £124 million since 2012, according to figures from HM Revenue and Customs.
The figures also show that the number of staff using a payroll-giving scheme has reached a four-year high at 750,000.
Meanwhile, average donations have risen by 40p per person per month, to £13.78.
Peter O’Hara, managing director of Workplace Giving UK, which funds the Geared For Giving Campaign, encouraging employers to set up and promote payroll-giving schemes, said: “This year we celebrate five years of the Geared for Giving Campaign, which has made workplace giving accessible to more than two million more employees.
“It is worth noting that these provisional figures do not include any employer matching, which was worth an additional £8.5 million last year, so we hope the total figure raised last year will be in excess of £130 million when this is included.”
