CFG has responded to the Autumn Statement 2012
5th December 2012
Caron Bradshaw, CEO of Charity Finance Group, in response to the Autumn Statement said:
“We all know life is extremely tough for charities, and it’s not going to drastically improve for some time, and the Chancellor’s statement has reflected this bleak outlook. Cuts to departmental and local government budgets will affect inevitably charities. Our much needed local voluntary sector is suffering and Government has to deliver on its promises to work with us if we are to avoid shattering the foundations of organisations working on the ground. We have to try to curb the effect that cuts have on vulnerable people who rely on public and charity services , especially as cuts to benefits in real terms are going to take their toll on many of those in our society who need support. Giving is stagnating at best, and at worst decreasing quite dramatically and we have to demonstrate to the public why giving to charities and local communities is even more important now than ever. As a sector it’s important that we focus on managing our assets, explore new financing options where appropriate, and engage with the public at every possible opportunity.”
On gift aid and digital giving:
“Hidden in the detail is reference to a fact finding exercise to examine digital giving platforms and gift aid. We are really excited that the Government wants to look at how we can expand gift aid to new types of giving. We have been calling for this for a long time and we look forward to working with HM Treasury to hopefully come up with some exciting ideas for Budget 2013 that can bring Gift Aid into the 21st century.”
On fuel duty:
“Measures such as freezing the fuel duty are positive for charities as well as families and small businesses, and will help charities with keeping the costs of running services down.”
“This autumn statement has cemented the notion that this is a new era, and the ability to change and adapt is now part of the necessary fabric of charities who will survive. It will be interesting to see whether charities are able to benefit from the new Business Bank; hopefully opportunities to work with the voluntary sector as well as small business will be explored again, increasing the range of financing options available in the UK.”
Focus on tax avoidance:
“I am pleased that the Chancellor has not repeated the tax cap debacle and instead has shifted focus onto cracking down on genuinely concerning areas of large scale tax avoidance and our confusing tax system. Hopefully the additional resource within HMRC will enable them to take a more proportionate approach so that higher risk areas are addressed rather than pursuing softer targets. However, as this is as much about culture as it is about resource, I am not inclined to hold my breath. We do, however, have concerns that any anti abuse rule may impact on charities, judging from previous experience where the sector has got caught up as an unintended victim, and we will be interested to see the finer detail once the legislation comes out later this month"
Notes to editors:
1. For more information please contact the CFG policy team at firstname.lastname@example.org or call on 0207 250 8400.