News

CFG welcomes the government’s announcement of a 10-week consultation to review financial thresholds in charity law.

This review will examine 17 thresholds, including reporting and accounting, fundraising and registration thresholds.

Alongside sector partners, Charity Finance Group (CFG) has argued for several years that the audit threshold should be raised in line with inflation. Inflationary increases have meant that more small organisations are caught by additional layers of regulation where they were not captured previously.

The review is part of the government’s growth mission which 'aims to provide a better regulatory landscape, to help organisations thrive.'

Richard Sagar, Head of Policy, CFG, comments:

"We greatly welcome the consultation on financial thresholds in charity law announced by the government today. CFG has been calling for this review for more than two years, recognising that many of these thresholds no longer reflect the operational realities that charitable organisations face.

“The Scottish government recently announced it will be raising the audit threshold from £500,000 to £1m, something we have long advocated for, and we are proud to have helped many charities benefit from reduced regulatory burden while maintaining appropriate accountability.

“These are challenging times for charities across the UK, with increased demand for services amid rising operational costs and economic uncertainty. CFG will support the raising of the thresholds where they save charities time and money, while balancing the need to maintain public trust in charities. We encourage all charities to engage with this consultation."

The consultation is now open for 10 weeks until 23:45, Thursday 12 June. If you would like to make comment or feedback, please don't hesitate to email the Policy Team.