Irish corporates are recognising that a little judicious philanthropy can bring hard commercial benefits . . . and that changing consumer attitudes may leave them with little choice but to just keep on giving.

Reputations are valuable currency these days. The findings of the latest Mori survey, released last week, show that eight out of 10 Irish consumers believe a company's commitment to social responsibility is important. This represented an increase of 10% on the previous survey on this issue in 2003.

This changing trend hasn't escaped leading Irish public companies, notably the banks. Both AIB and Bank of Ireland, for example, have well-established corporate giving programmes. "We would like people to feel better about the AIB brand as a result, " said Anne-Maria O'Reilly, coordinator of AIB's Better Ireland programme, through which the bank does all its corporate giving.

Launched in August 2001, the Better Ireland programme focuses on social exclusion, and has so far donated more than 11m to over 1200 community projects. The broad theme was chosen after external consultation, and staff were then polled for specific suggestions.

The programme delivers both external and internal benefits, O'Reilly said.

"It is becoming culture for companies of all sizes to give something back. It is also good for staff morale and enthusiasm.

We carry out annual research on how staff feel about the programme, and that has increased over the programme's four years."

One pay-off is local image and morale boosting. It is implemented at local level, with branch managers handing over the cheques. "The staff feel they are giving something back into the community, " O'Reilly said.

Rival Bank of Ireland, principal corporate sponsor of the Special Olympics, is currently reviewing its corporate giving programme. It recently decided, for example, to stop its sponsorship of the Bank of Ireland Arts Centre in Dublin's College Green.

The key reason for that decision, said the bank's Audrey Nolan, is that the centre served a "niche" constituent.

"We've been around since 1783. We need to be sure our programme continues to be relevant."

Among the bank's corporate giving activities is the Bank of Ireland Millennium Scholars Trust, which by the end of its life in 2010 will have granted 12.7m to give third-level opportunities to about 700 students. Other initiatives include a matching fund where the bank will equal charitable fundraising by individual staff members.

"We also make financial contributions based on requests, but we will probably do less of this, " Nolan said.

"As we move forward, we believe giving of our time and commitment is more effective."

Nolan notes "an increasing and growing expectation in society" that large profitable organisations get involved in giving. "If we look to stakeholders like customers, they make their choice more on the overall package, including what businesses do in the community, " Nolan said. "More and more potential employees are asking us about these practices."

Half of those surveyed for the new Mori study said government should make it part of legislation for public companies to issue a social and environmental report similar to the financial reports issued currently. And big money is involved, with a 2004 Ethical Consumerism Report putting the cost to international brands of ethical boycotts at £2.6bn 3.7bn. "The bottom line for us is that we believe our programmes have the capacity to enhance reputation, " Nolan said. "We value our reputation and we take it very seriously."

A plethora of other major corporates are also prioritising philanthropy. Vodafone, for example, has set up a foundation. O2 has done a lot around ability.

American corporates such as IBM are very active in the field.

Denis O'Brien won lavish praise from Caribbean commentators for the philanthopic activities of the Digicel Foundation, which among other activities rebuilt a primary school in Jamaica, where it employs 1,000 people, and is sponsoring sport and recycling projects in Haiti, in advance of winning a mobile license there. "No doubt Denis O'Brien and his redoubtable team will win the hearts of the Haitians, " Jean Lowrie-Chin wrote in the Jamaica Observer this month.

"Wherever we invest, we give back a percentage of our sales to the people, " she quotes O'Brien as saying.

Sometimes there can be a sting in the tail. Tesco runs a well-established Computer for Schools programme, which initially captured the national imagination but has also drawn some flak recently from lobby groups opposing consumerism in schools. As far back as 1998, when the programme was first launched, Cork East Fine Gael TD David Stanton groused in the Dail that "there is a distinction to be drawn between bona fide sponsorship initiatives and initiatives with strings attached".

Still, the retailing giant doesn't seem to be doing too badly on the image front.

Of all the industries measured in the new Mori survey, the supermarket sector was most favoured, at 82%.