• March 28, 2024
 Government to legislate for changes to charity law, easing the burden on ILM members

Government to legislate for changes to charity law, easing the burden on ILM members

ILM is delighted to learn that the government has today published a policy paper which should see changes to charity law that ILM has been calling for since 2015.

The Department for Culture, Media and Sport (DCMS) has today published its response to the 2017 Law Commission report ‘Consultation on Technical Issues in Charity Law’ (click here to view the 2017 summary document). The response recommends that most of the findings of the original report be made law, including changes ILM asked for.

Specifically we called for:

  • Greater flexibility and reduced administrative burden in respect to Ex-Gratia Payments
  • Greater flexibility in respect to property sales.
  • Changes to the rules on mergers, reducing the need for shell charities.

From our conversation with DCMS, we understand that it hopes to implement the changes when Parliamentary time allows and that it will include our recommendations in full.

The recommendations have the support of the Charity Commission and have been developed in close consultation with the Charity Law Association. DCMS hopes that the new bill will reduce the administrative burden on charities and save them money, at a time when the sector is under pressure. Although this process has taken several years, we are very grateful to both our members for their time and patience, and to the Law Commission for putting forward our recommendations.

We believe that these changes will have a very positive impact on charities, saving them a great deal of time effort and money, and enabling
them to focus on helping the worthy causes they represent.

You can view ILM’s submission, which was made following a survey of its members, here.

Law Society president I. Stephanie Boyce said:

“We are pleased the government will implement the vast majority of the 43 recommendations outlined by the Law Commission to charity law, which will maximise the efficient use of charitable funds and ensure the public has appropriate safeguards.

“It has been a tough time for charities during the Covid-19 pandemic, especially for small and unincorporated ones, which have had to continue operating despite a very challenging economic environment.

“We welcome the government’s plans to move ahead with these reforms to charity law, which will save time, costs and provide clarity around the more complex areas of the law. The changes will provide a more user-friendly environment for all charities, whatever their legal structure.

“However, what is still needed is greater clarity on issues relating to non-charities.”

This article was submitted to be published by the Institute of Legacy Management as part of their advertising agreement with Today’s Wills & Probate. The views expressed in this article are those of the submitter and not those of Today’s Wills & Probate.

Institute of Legacy Management

https://legacymanagement.org.uk/

What we do Legacy professionals in the UK are responsible for over £2.8bn of charitable income every year – money left to charities in people’s wills. This is income that many charities are reliant upon to continue the excellent work that they do. The Institute of Legacy Management provides those working within the legacy sector with a network of support and dedicated training services. We represent and support hundreds of charities, not-for-profit organisations and associated professions. Ultimately ILM seeks to ensure that every donor’s gift to charity achieves its greatest potential. We are proud to: * Act as a crucial network uniting legacy professionals across the UK * Provide dedicated training services to maintain and improve practices across the profession * Work with probate professionals and other service providers to improve and strengthen the legacy management process from start to finish * Maintain and deliver information about the legacy management profession to the wider community * Help define and share the highest professional standards for legacy management Our partners We work very closely with the legal profession and partner with many law firms to help offer insight and support to our members, as well as giving the legal profession an invaluable insight into the charity legacy market. Making the switch from law to legacies Many of our members started their careers in the legal profession but decided to make the switch to charities so they could use their skills to help charitable organisations maximise legacy income. Working within the legacy sector is an extremely rewarding career and we often advertise legacy roles with a range of charities on the dedicated jobs page on our website. In order to support those who are embarking on a career within legacy management, ILM offers a wide range of training opportunities, as well as a nationally accredited legacy qualification known as CiCLA, or the Certificate in Charity Legacy Administration. You can find out much more on our website. Contact: Matthew Lagden, CEO Tel: 07872 579 819 email: ceo@legacymanagement.org.uk