What do people do after they come into an inheritance or earn their first million? Some people just continue to accumulate money, while others join the jet set. Polly McLean, 34, daughter of the late founder of Oxford Airport, is one of a growing number who have turned to philanthropy, giving to charity through The Funding Network.

She said: "There were four of us who founded it. As well as me, there was an art dealer, an estate agent and a GP. We all gave to charity already, but we decided that we wanted to do something collectively.

"We thought: Why not get people along to see the charities doing the work face-to-face?'. If I was to ask to meet a small or medium-size charity they might say yes if I was giving £5,000, but most people give smaller amounts and it's difficult to get any sense of how your money is being used, or whether it is making a difference."

They decided to turn philanthropy into a social event, allowing charities and givers to meet in a relatively informal atmosphere, with drinks and canapés on offer.

"We thought we would raise more money - and that it would be fun. We raised £45,000 at the launch and since then it has gone from strength to strength," she said.

Since the launch in London in 2002, The Funding Network has spawned branches in Scotland, the South West, Leeds and Toronto.

"It's really a word-of-mouth thing. Everyone raided their address books," said Ms McLean.

Now that she has moved from London back to her home town of Oxford, she has launched a local branch here.

The first event was held at the Rotunda, part of Grove House, former home of Graham Greene's widow Vivien, which Ms McLean bought two years ago.

"It's a fantastic venue for events like this. It housed her collection of doll's houses and is very characterful. She had lived there for 55 years and was quite elderly when she died, so it was a major job to renovate it."

As well as the Greene connection, the listed Regency villa is a place of pilgrimage for admirers of Cardinal Newman, who lived there in the 18th century.

It has been transformed into an eco-home, with a wood pellet boiler, rainwater harvesting and heavy insulation.

As well as fund-raising events, Ms McLean intends to use the Rotunda for arts events, small concerts and book launches - "things that bring together the arts, social change and philanthropic work; my three interests".

The Funding Network's launch was sponsored by the companies involved in the restoration - architects Berman Guedes Stretton, Inside Out Developments and Shaw & Hatton project managers.

The set-up is simple and transparent. The Funding Network has one part-time employee who will help the Oxford group get off the ground. It takes a five per cent cut for administration, so the events are free, and the tax benefits of Gift Aid are taken care of.

Donors' details don't go to the charities - a big advantage for many givers, who don't like the junk mail that results from an individual donation.

A steering committee chooses about six presenting' charities beforehand, which each have a display board.

The format is a bit like a homespun version of Dragon's Den, according to Ms McLean, with each charity given six minutes for its sales pitch', explaining what they would do with £5,000. After six minutes of questions, the charities leave and the bidding process starts, with a minimum pledge of £100 and an average of £200.

"What's different from the TV programmes is that every charity gets something. There is no humiliation," she explained.

"No-one goes away empty-handed, because they have to be sponsored to the tune of £250 to be invited. It's a very supportive atmosphere, although people are free to ask awkward questions."

In line with the network's ethos, everything at the launch had a local feel, with the food supplied by the Global Deli in Iffley Road.

The charities - selected from 15 applicants - all had Oxford links, consisting of Asylum Welcome, Frontiers youth charity, Climate Outreach and Information Network, Friends of Benou, and Fahamu.

Ms McLean said: "We always choose charities which are working at the root causes of problems, rather than just service provision."

Her father, Murray McLean, died in 1988 aged 54, when she was 14.

She said: "It's 20 years since he died and I think he would have been proud."

She added: "Giving money is something that people tend to do on their own. It's a little bit faceless and a bit lonely. Most people want to see how their money is being used and what difference it will make."

o Contact: The Funding Network, 020 7243 0667, www.thefundingnetwork.org.uk