Public donate small amounts using contactless payment
The Mayor Boris Johnston is backing ‘Penny for London’ a new method of charitable giving which uses contactless payments by commuters to give a small donation towards young Londoners from disadvantaged backgrounds.
By registering their contactless debit or credit card, Londoners can donate one penny, or more if they wish, every day they travel on London Underground, bus, tramDLR, London Overground, and National Rail services that accept contactless.
The system is powered by Barclaycard which played a role helping Transport for London establish contactless payments across its transport network and has funded and developed the micro-donation technology that makes Penny for London possible.
Barclaycard said they estimated that 100 million of Transport for London (TfL), journeys will be paid for using contactless payment cards, demonstrating the huge potential ‘Penny for London’ has to improve the fortunes of the underprivileged young people in the capital.
"In the future, as increasing numbers move from cash to card, we hope the ‘contactless collection tin’ is adopted by all Londoners to help ensure charities continue to thrive,” said a spokesperson.
All Visa and Mastercard contactless cardholders from any UK bank can opt-in via the Penny for London mobile site or website.
TfL, which currently operates Europe’s largest single payments system, counted over 5 million contactless journeys in the first month that the facility was available on all London transport.
The proceeds from Penny for London will benefit young Londoners via the Mayor’s Fund for London charities and other not-for-profits, including Cash for Kids and the Prince’s Trust.
70 percent of proceeds raised by Penny for London will be made available for the Mayor’s Fund for London, the Mayor’s charities and other London charities helping young Londoners. Up to 30 percent of proceeds, capped at £6m, are reserved for charitable activities of PfL’s strategic partners where they work with young Londoners.
If 100,000 people sign up to the scheme in 2015, Penny for London is set to generate approximately £1.8 million for good causes. If 500,000 register the amount donated could rise to £5.5 million.
Penny for London on Twitter account: #Easy1Peasy
November 6, 2014