Charities Act 2016: new fundraising rules

New rules for charity fundraising came into effect from 1 November 2016. The changes are due to the fundraising sections of the Charities (Protection and Social Investment) Act 2016.

There are two new requirements:

1. The first requirement applies where a charity uses a professional fundraiser or commercial participator to raise funds. The compulsory written agreement between the charity and this third party must now include extra information covering:

• The scheme or fundraising standards that will apply to the third party in carrying out the agreement on the charity’s behalf;
• How the third party will protect the public (including vulnerable people) from intrusive or persistent fundraising approaches and undue pressure to donate;
• How charities will monitor the third party’s compliance with these requirements.

     2. The second requirements applies to charities that require a statutory audit. They must include extra information in their trustees’ report as follows:

• The charity’s approach to fundraising;
• Work with, and oversight of, third party fundraisers;
• Fundraising conforming to recognised standards;
• Monitoring of fundraising carried out on its behalf;
• Fundraising complaints;
• Protection of the public, including vulnerable people, from unreasonable intrusive or persistent fundraising approaches and undue pressure to donate.

You can find out how your charity may be effected by going to https://www.fundraisingregulator.org.uk/information-registration-for-fundraisers/charities-act-2016/