This item was published during the term of a previous administration that ended in April 2007
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Draft Charities Bill and consultation
02/06/2004
A proposed regulatory framework designed to ensure public confidence in Scottish charities is set out in a draft Bill that goes before Parliament and a public consultation paper published today.
The draft Charities and Trustee Investment (Scotland) Bill updates and strengthens charity law and sets out a number of new measures that include:
the creation of a new Scottish definition of charity based on the principle of public benefit which is compatible with the definition adopted by the UK Government
an enhanced range of powers for the recently established Office of the Scottish Charity Regulator (OSCR) which will gain responsibility for granting charitable status and maintaining a statutory register of all charities operating in Scotland
provisions that will ensure better regulation of fundraising activities
Communities Minister Margaret Curran said:
"Charities provide vital services for the people of Scotland - many of whom are vulnerable and socially isolated. They deliver effective services on the ground and create jobs, skills, volunteering and learning opportunities for people of all ages and from all backgrounds.
"Scots provide enormous support for charitable activities with around one in five people volunteering and an estimated £250 million donated to Scottish charities by the public each year. The public deserve the right to be sure that our charities are effective, transparent and trustworthy. We are delivering that.
"There are more than 25,000 charities in Scotland and only a very small minority have been investigated. The majority of charities do not deserve to have their reputations tarnished because of the dishonest activities of a few individuals.
"This draft bill will repeal existing charity law and create one single, modern framework for charity regulation in Scotland. It will modernise the regulation of fundraising ensuring that public collections are more effectively monitored and that professional fundraising companies inform the public about how much of a donation will go to charity."
Jane Ryder, Chief Executive of OSCR, said:
"We welcome the publication of the draft bill and would encourage charities and those with an interest in the sector to make their voices heard and their views known. OSCR has been in operation for six months now and we are beginning to make an impact using the powers already available to us. We have been working with interested organisations to provide guidance and support to the voluntary sector and we are soon to pilot a monitoring programme that will take us towards the full regulatory process."
The definition of charity in the consultation sets out 13 charitable purposes.
The prevention or relief of poverty
The advancement of education
The advancement of health
The advancement of religion
The advancement of civic responsibility or community development
The advancement of arts, heritage, culture or science
The advancement of amateur sport
The advancement of human rights, conflict resolution or reconciliation
The advancement of environmental protection or improvement
The provision of accommodation to those who need it by reason of age, ill health, disability, financial hardship or other disadvantage
The provision of care to the aged, people with a disability, young people or children
The advancement of animal welfare
Any other purpose intended to provide community benefit
In future, any organisation wishing to qualify for charitable status will have to show first, that its purposes fall within one or more the categories in the new list and second, that it will provide public benefit. It will no longer be the case that some causes are automatically presumed to be charitable.
Ms Curran launched the consultation at the Move On project in Edinburgh to mark Volunteers Week which runs from June 1. Move On works with vulnerable young people aged 14 to 16 who are at risk of homelessness.
Last month, the First Minister announced details of Project Scotland, a new national volunteer programme which will allow thousands of young Scots to get involved in their community.