BULLETIN No. 95: JANUARY 2011

This is a monthly bulletin going out to around 10,000 clients, contacts, friends, friends of friends so forth, to keep them in touch with what's going on in the world of charities. Tip: if like me you have a low attention span or this came to you by mistake, scroll down to the …And Finally.

Daryl Martin

EQUALITY ACT 2010:
Let's start where the meat is. A summary of this Act is available in my November bulletin. People are working hard to try to understand the implications for charities. The Charity Commission recently asked all charities to review the objects in their governing documents to make sure they line up with the Act. Trustees need to understand the specific exemption of charities will only apply if the 'discrimination' is already written into their governing document. An example might be where the charity provides services to people from a particular racial group, but their governing document is broader in its objects. We will be glad to review any governing documents sent into us, and we will do our best with any questions. This Act will be tested so please take it seriously.

CHARITY COMMISSION:
Seems to be getting a lot of press these days, not always for the right reasons. If you Google Andrew Gilligan and the Charity Commission you come up with a story that if it's even half true is very scary, and makes you wonder what they are there for. On a different matter which might affect all of us, I see a debate is just getting underway on whether the Commission should charge a fee for its services, say £5,000 a year to a charity with income of £1m or more. They are also debating whether to increasingly liaise with umbrella bodies rather than individual charities. Clearly there are going to be major structural changes as they come to terms with a significantly reduced budget. Keep watch and lobby hard when you get the chance.

NEW WAYS TO GIVE MONEY AWAY:
The government is keen to 'usher in a stronger culture of charity giving'. One of the ways suggested is to invite shoppers to round up their purchase, giving the balance to a good cause. The media are being cynical about things as usual, but nevertheless this might be a useful bandwagon to jump on. This is the sort of thing that, if brought in, will marginalise smaller charities who could get left out in the cold. Administratively and cost-wise there's no reason why every small but active charity should not benefit from government initiatives. Lobby hard whenever you get the chance.

TREASURER VACANCY:
Ecumenical housing and homelessness charity Housing Justice is seeking a Christian accountant to be their new Hon Treasurer. The charity is involved in both lobbying and campaigning, and practical support for churches working with homeless and badly housed people. Passion for creating a society where everyone has a home that truly meets their needs, plus the ability to attend quarterly meetings during office hours in London, are the key requirements. Email info@housingjustice.org.uk or telephone 020 7920 6600 for an informal chat if you are interested.

BRIBERY ACT:
I don't know who draws up these bills, but one wonders if this was ever given the sort of parliamentary scrutiny it warranted, getting through as it did in the last days of a Parliament that was already dead. There are implications for charities working overseas, particularly if they are delivering services through partnerships. Lawyers are already worrying about the lack of clear guidelines and ambiguity. Guidelines are due out in February and I will look out for them. Meantime, make sure your employees (and partners) understand the difference between reasonable hospitality and a bribe.

FSCS (SAVINGS COMPENSATION SCHEME):
from December 31st up to £85,000 savings per person are now protected. Remember this is per financial institution and the savings institution must be fully UK regulated. Some institutions share a license with another institution so check this. Most charities should be covered by the scheme.

FIRE RISK:
If you own or manage premises where employees or members of the public are present at any time, you must ensure that there is reasonable protection from risk of fire. A shop that failed to carry out procedures was recently fined £400,000. This is more than a charity might be expected to pay, but there had been a fire and lives had been put at risk. Let us know if you need help.

DARYL'S BLOG:
Most Fridays I send out a blog: in December I anticipated the articles telling us that many more of us will live to be 100, by blogging on The Secret of a Long Life. You are advised to read it if you want to reach 100, and stay in good shape on the journey. My blog on 'Winner or Loser in 2011?' gives tips to charities who aim to stay in the race this year in the face of cutbacks, and tax increases, etc etc. Please sign up for my blog if it's helpful.

VAT:
Whilst we were enjoying a break, Sandy Adirondack somehow found time to trawl through changes in the VAT regs. Couple of points to pass on: charities taking on premises where there is an option to tax can apply to have this option cancelled. You need guidance on this. Contact our VAT specialist if you need help. There are also some small changes to the zero rating available on new charity buildings. If you are involved in a new build you will have expert help at hand but remember to take care if you are at the planning and budget stage. You need to be clear what isn't zero rated.

YOUR HELP NEEDED!
We work hard to keep the subscription list at around 10,000. This seems to ensure that we get a steady flow of enquiries coming in. Lately the numbers have been drifting down. If you get this bulletin passed on from someone else, as many do, or if you pass it on, perhaps you get the recipients to subscribe in their own right. Also, if you could recommend this bulletin, we would all be so grateful.

AND FINALLY... a tribute to our Australian friends; remember it's ok to insult one's friends, never one's enemies.

Australian Computer Technology:

For me it's been an interesting and challenging year, with next year already promising to be even more so. I hope that 2011 for you gentle reader will be filled with encouragement, friendship, promise, peace and joy, in all things.