18 May 2021
Following the announcement of the Charities Bill in the Queen’s Speech on 11 May 2021, the Charity Commission has published a press release explaining forthcoming changes to charity law, and its reasons for backing them.
Lexis®Library update: The Charity Commission outlined five areas of change in the upcoming legislation:
- a less onerous process for altering charities’ governing documents or Royal Charters, subject to the Charity Commission and Privy Council’s approval in some circumstances
- streamlined rules on what advice charities can receive regarding land disposal
- more latitude for charities to make use of their permanent endowment, including a change allowing trustees to borrow up to £25,000 of permanent endowment funds without Commission approval
- charities will be able to accept payment-in-kind in some circumstances even if this is not expressly permitted in a charity’s governing document
- a simplification of rules regarding failed appeals, including the ability to spend donations below £120 on similar charitable purposes without the need to ask individual donors for permission
The Charity Commission has said that it welcomes the proposed changes, as they will facilitate trustees’ work while retaining strong oversight. The Commission hopes the changes will lighten the bureaucratic load on charities and allow them to deliver a greater impact.
Source: The Charities Bill: 5 key changes to charity law
This content was first published by LNB News / Lexis®Library, a LexisNexis® company, on 17 May 2021 and is published with permission. Further information can be found at: www.lexisnexis.co.uk.
