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This item was published during the term of a previous administration that ended in April 2007

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Increasing public confidence in charities

15/12/2005

New rules to make fundraisers say whether they are being paid to collect donations from the public moved a step closer today.

Regulations made under the Charities Act would mean professional fundraisers, for charities and benevolent bodies will have to:

  • declare who they are
  • say whether they are being paid to collect donations, and if so, how much of the money goes to the charitable cause
  • have written agreements with the charity, specifying how and why the money is being raised and for what purpose the donation will be used

Deputy Communities Minister Johann Lamont said that the move will further increase public confidence in charities. She said: "Fundraising is the lifeblood of the charitable sector, and charities rely on public donations. Many charities and volunteers invest a lot of time in fundraising, and I know the Scottish public always gives generously to charities and good causes.

"So when your pound leaves your pocket, you should know exactly where it's going. That means knowing how much is going to the charity, how the money will be spent and whether the fundraiser is being paid.

"Fundraising can often be the only time the public come into contact with a charity, so these measures are crucial to ensure people continue to give, and charities can continue to benefit from donations.

"It is right that with the new reformed charity law in place, we continue to build confidence in charities. I'm clear that this will increase transparency and public accountability for charities and will let the public know exactly where their money is going."

Around £2 billion is given to Scottish charities every year, with around £240 million coming from the public.

The draft Regulations, made under the Charities and Trustee Investment (Scotland) Act 2005 are out for consultation until March 10, 2006.

Section 81 of the Act requires professional fundraisers and commercial participators who solicit money or other goods on behalf of a named charity or benevolent body to have an agreement with that body to do so.

Section 83 of the Act provides Ministers with powers to regulate benevolent fundraising through secondary legislation on a number of fundraising matters, such as the information to be provided by fundraisers to potential donors.

The Regulations will be put before Parliament and are expected to come into force in summer 2006

The Office of the Scottish Charity Regulator has recently published a searchable list of charities in Scotland, including details of each one's charitable purposes, income, beneficiaries and geographical location.

Page updated: Thursday, December 15, 2005