2012 Payroll Giving Conference

1. 2012 Payroll Giving Conference I am very proud of our payroll giving scheme, which is one of the largest in the UK, providing charities with a vital source of sustainable funding. Sir Michael Rake, Chairman, BT “ ” Going for Platinum - BT

2. Agenda • Overview of BT’s Payroll Giving scheme • Objectives/Targets for 2011/12 • Activities during 2011/12 • Results 2011/12 • Plans for 2012/13 • Payroll Giving going forward

3. Overview of BT’s Payroll Giving scheme • Set up 25 years ago • Core to our CSR programme – bedrock of a responsible business • Open to all employees (UK, Ireland and the US) • Employees can give to any charity with direct donations to charities of their choice, via CAF accounts or group accounts • 11,600 donors giving c£2.6million • BT pays the admin costs and £1m matching contribution/our largest CSR programme

4. Overview of BT’s Payroll Giving scheme Ctd • A win (for business), win (for employees) win (for charities) “GAYE is a great regular and easy way to donate” BT Employee “Thank you for the fantastic amount that BT people have raised for Macmillan Cancer Support. You couldn’t be more right when you say that GAYE donations provide charities like ours with a source of sustainable income. This money enables us to plan ahead and help us achieve our ambition to reach and improve the lives of everyone effected by cancer.” MCS

5. Objectives/Targets for 2011/12 Objectives: • End to end review of the programme • Develop and deliver a communications and promotional plan • Enhance and relaunch website • More donor engagement • Chairman engagement Targets: • Increase in donor numbers • Increase in revenue • Increase in building promotions • Increase in pride in BT’s Payroll Giving scheme • Go for Platinum Quality Mark

6. Activities during 2011/12 • End to end review of Payroll Giving - interfacing with all stakeholders to identify efficiencies and enhancements to drive up donor numbers and improve customer satisfaction • Payroll Giving paper to the BT Board - updating on end to end review, progress against zero cost activities and funding request for new activities • Development of a programme plan - including a comms plan and promotional plan; secured buy in from key stakeholders • Development of a comms plan for the year – include promotion of the different ways of giving eg benefits of a CAF account • Identified and drove promotions at core times - bonus period, Christmas, New Year and Valentines • Developed banner ads to place on other intranet sites, linking to Payroll Giving site – including payslips

7. Activities during 2011/12 Ctd • Increase in building promotions – targeted new and existing donors and Manpower staff • New building opportunities – identifying buildings with the largest footfall and new promotional opportunities • Targeted networks – including apprentices and graduates • Cross promotional opportunities – including positioning Payroll Giving as part of all employees’ remuneration package; payslip enhancement • Refreshed collateral – aligning with the brand; also sourced love heart sweets for promotional events • Improved the donation form – streamlined the form, enhanced formatting to speed sign up and provided links to a search of charities, postcode look up and predictive text to save time.

8. Activities during 2011/12 Ctd • Re-freshed and re-launched Payroll Giving website – more user friendly, improved navigation and new features including vox pops featuring employees and charities • Engaged donors more – focus groups, thank yous, questionnaires, team presentations, promotions etc • Engaged BT Chairman more – thank you emails to all donors at year end and relaunch of the website • External engagement – letters to charity beneficiaries, promotion to charities sending unsolicited letters for funding, profile in our annual report, press etc

9. Results 2011/12 (baseline 2010/11) • Increase in total donors – up 49% from 1622 5o 2421 • Increase in new donors – up 43% from 1096 to 1569 • Increase in Manpower donors – up 19% • Increase in donations at bonus time – 180% increase in July cf May • Increase funds raised through payroll - £624,305.44 additional annual income, surpassing last years record of £549,761 • Increase in building promotions – 73% increase • Increase in pride score – up 11.8% from 76-84%

10. Results 2011/12 Ctd • Secure Platinum award – RESULT!

11. Plans for 2012/13 • Build on successes from last year - create new opportunities; internal and external learning's • Develop a rolling comms plan – first comms of the new financial year celebrated the 25th anniversary of payroll giving • Exploit new social media opportunities - blogs and tweets; proactively source information • Further engage BT’s Chairman - agreed this year to put his name and signature to thank you emails going out to new donors • Employee payslip enhancement - test results • Further engage individual business units – set targets • Identifying external engagement opportunities – press, charity newsletters, speaking to corporates etc (Platinum status provides additional credibility)

12. Payroll Giving going forward • Opportunity with a difficult economic climate to present payroll giving differently • Barriers to sign up can provide new ways of thinking by constantly engaging and listening to stakeholders • Standard comms as part of BT’s remuneration package and mainstream activity • Exploit technology and social media • Flag to those leaving the business • Promote to suppliers/customers • Opt in scheme – top 150 senior managers/those on 50% tax bracket? • Campaigning and working together • Untapped potential!

13. Collaboration THANK YOU GOOD LUCK

14. Better Future • www.bt.com/betterfuture