Fundraising

The Act introduces a number of measures to reform the area of public fundraising and also to correct some anomalies and gaps in current rules. These include:

• reforms to Fundraising Solicitation Statements - the written agreement between a charity and its professional fundraisers. The Act makes two main changes to these statements:
  • the amount to be paid to the professional fundraiser will need to be included, or if the specific amount is not known, a reasonable estimate
  • statements will also have to be made by employees, officers and trustees of charities who act as collectors, although this does not extend to volunteers
• a new system for licensing charitable collections in public. It will apply to all collections including face-to-face fundraising involving requests for direct debits. The system will require the CC to consider whether charities are fit and proper to carry out public collections and to issue a ‘public collections certificate’ (PCC) valid for five years. Charities holding a PCC will then need to contact the relevant local authority who will ensure that there are not too many collections taking place at the same time, in the same place
• a widening and clarification of the definition of ‘public place’ and ‘door to door’ collections
• some door to door and local short term collections will not require a certificate or permit. However charities will have to notify the local authority that a collection, such as carol singing, is taking place.

Most of this part of the Act will become effective in 2008 although the central licensing scheme is unlikely to be effective before 2009.