Changes to business rates might harm charities, say NCVO and CFG

  • Their response to a consultation says proposals could lead to a reduction in the discretionary level of rate relief offered to charities by councils.

    The National Council for Voluntary Organisations and the Charity Finance Group have warned that proposed changes to business rates might harm charities.

    Both organisations made the claims in response to a consultation document, Business Rates Retention: technical consultation, put out by the Department for Communities and Local Government, which closed on Monday.

    The department proposes to increase the level of business rate retained by local authorities from 25 per cent to 50 per cent by 2013.

    A joint statement from the NCVO and the CFG said the move would encourage local authorities to collect greater levels of business rates and might result in some councils reducing the levels of discretionary rate relief they offer in order to do so.

    Charities are eligible for 80 per cent mandatory business rate relief but often receive discretionary relief on the remaining 20 per cent from the relevant local authority.

    The joint statement released said:

          "Our concern is that this will result in local authorities being less likely to grant discretionary relief to charities in the future because they will gain a greater share of the money that each charity pays through business rates.

          The reliefs that organisations currently claim play a crucial part in enabling them to operate successfully. Any changes that lead to an incentive for local authorities to cut discretionary rates will take much-needed money out of the charity sector and should be avoided.

          For organisations that are already operating in a tough financial climate, this would be an unwelcome and harmful consequence, potentially stunting the growth of local community action."

    Source: Third Sector

    /images/Blogging.jpg

    /images/blog/support_solutions.gif

Related articles

  • Read More

    CHARITY WORKS TOWARDS A NATIONAL PLAN TO END HOMELESSNESS

    Prime minister, Theresa May and the first ministers of Scotland and Wales congratulated "Crisis" on its anniversary and gave an assurance to work hand in hand with them while on a quest to eradicate...

  • Read More

    THE FATE OF EU-FUNDED PROJECTS AND ITS EFFECT ON CHARITY SERVICES

    In March 2016, forecasts of growth were low and the government's own estimates put the Treasury's coffers £122bn poorer by 2020.The supreme court has also determined that MPs must approve the...

  • Read More

    INCREASE IN THREATS OF EVICTIONS FROM HOMES

    After analysing statistics from the Ministry of Justice, the housing charity (Shelter) found the following:In the past year, the number of people seeking advice from 'Shelter' on their eviction...

  • Read More

    CHARITIES, THEIR BRANDS, BENEFICIARIES AND HOW TO EFFECT CHANGE

    "Most charities exist because their founders believed the future could be different if they mobilised supporters", but Mandy Johnson of the Guardian believes"This vision is being lost."Charities are...

  • Read More

    Support for veterans to return to work

    Places for People hopes to support veterans into the workplace and also benefit from the skills and experience they have to offer, reports 24dash.All veterans applying for jobs in Places for People's...

  • Read More

    Charity registers as social landlord

    It has now registered its housing department as a housing association, Inside Housing reports.The charity set up Golden Lane Housing (GLH) in 1998, which has now registered to be a social landlord...

  • Read More

    Charity to develop app for people with disabilities

    The funding will enable the charity to develop and test the free app, called FlyCatcher, which could be on the market by 2016.The app uses iBeacon technology to send information through smartphones...

  • Read More

    Young people’s health harmed by fuel poverty

    The Department of Energy and Climate Change have reported that 10% of households in England were in fuel poverty.The charity, Turn2us have stated that 75% of the 2,060 adults in the PRS who were...

  • Read More

    Homelessness in Scotland

    Shelter Scotland stated that this percentage is ‘disproportionate' to the sector's size which makes up 13% of all housing in Scotland, Inside Housing reports. It was also mentioned that the number...

  • Read More

    Homelessness an ‘increasing trend’ in Wales

    Cais blames the lack of options available to individuals due to the change in the type of support that can be offered.The Chief Executive of Cais, Clive Wolfendale has described the problem of...

Exempt Accommodation, Welfare Reform and Vulnerable Tenants Everything was extremely useful. I like to hear about the updated case law and how things are changing. Also like to hear other delegates examples and the responses to their difficulties. Support solutions are excellent. K.B- Jephson Housing Association

 

Briefing Signup

 
Quick Contact

Quick contact

Close

Contact us

T 0333 332 1991 (Local rate)

E info@supportsolutions.co.uk