Charity Law, selected issues

Charities are a force for good and millions regularly donate to help them help others.

This project examined selected issues relating to the legal framework within which charities operate, in order to recommend reforms with a positive impact on charity law in practice.

It was split into two reports:

• Social Investment by Charities
• Technical Issues in Charity Law

Our recommendations for reform in the Social Investment by Charities report were included in the Charities (Protection and Social Investment) Act 2016, which received Royal Assent on 16 March 2016.

Our recommendations for reform in the Technical Issues in Charity Law report were implemented in the Charities Act 2022, which received Royal Assent on 24 February 2022.

Background

This project originated from our Eleventh Programme of Law Reform, published in July 2011, and the independent review of the Charities Act 2006 led by Lord Hodgson of Astley Abbotts.

In September 2013, Government confirmed its support for the project in its responses to Lord Hodgson’s review and the report of the Public Administration Select Committee in its post-legislative scrutiny inquiry into the Charities Act 2006.

The project was not a full review of charity law.

The terms of reference related to selected technical issues. Those issues did not include matters such as the law of public benefit and the charitable status of independent schools.

The regulation of fundraising activities did not form part of our terms of reference.

Fundraising was an issue addressed by a cross-party review in 2015, measures were included in the Charities (Protection and Social Investment) Act 2016, and the Fundraising Regulator is operational.