Fair Market Value for Charities in Partnership Work

A new guide to fair payment for partnership work has been released by a coalition of health charities. Cancer 52, Charities Research Involvement Group, Health Research Charities Ireland, National Rheumatoid Arthritis Society and the Patient Information Forum (PIF) have made 5 recommendations for Fair Market Value (FMV). 

The guidance, Fair Market Value for Charities in Partnership Work, is designed to help charities and partners calculate FMV. It can be used when charities decide to work in partnership and charge for their time and expertise.

The guidance is based on an extensive consultation with charities and funders. It was self-funded by the coalition and follows a survey of charities in 2023 which found payment for partnership activities was inconsistent and less than fair.

The new guide make 5 key recommendations to stop this inequity:

1. Full cost-recovery to support charity sustainability
   Charities need to recover the full cost of their activity including staff costs and central overheads to ensure the sustainability of organisations.
2. Minimum entry point of £100/€120 per hour for the work of charities
   Patient Focused Medicines Development (PFMD) has developed an FMV calculator for people with lived experience. This rate is a minimum entry fee to be paid to a charity working in partnership.
3. Equity of payment with healthcare professionals where this is higher than the PFMD rate
   The staff of health charities sit alongside healthcare professionals on steering groups and conference platforms. Recognition of this expertise should mean there is equitable payment.
4. Market value add-on costs
   When setting FMV the intangible ‘brand’ benefits of partnering with charities should be taken into account.
5. Fair contracting
   FMV rates should be agreed at the outset. Contracts should be transparent and simplified. Payment terms should be 30 days.

Download the full report below. PIF members can login to watch the launch webinar.