Share

PM says tax relief cap 'will be dealt with'

Prime Minister David Cameron, courtesy of 10 Downing Street
News

PM says tax relief cap 'will be dealt with'

Finance | Tania Mason | 9 May 2012

David Cameron has given the strongest signal yet that the proposed tax relief cap on charitable donations will be dropped.

In a wide-ranging interview with the Daily Mail, published today, the Prime Minister claimed the issue would be “dealt with”.

He told the newspaper: “It will be dealt with. I’m not going to give a running commentary, but it will be dealt with,” he said.

Sir Stuart Etherington, chief executive of NCVO, said in response: "This is the most encouraging sign yet that the diverse chorus of disapproval against the cap is being heeded by the highest levels of government.  We hope that the Prime Minister’s comments signal that this unloved policy is finally going to be put out of its misery."

Cap 'will cost society up to £1.5bn'

Cameron's comments came just as Oxford Economics published research estimating that the cap would result in £500m of lost donations and that the multiplier effect of this would equate to between £1.3bn and £1.5bn in lost benefits to society.

It would also see up to 10,700 jobs lost in charities and as many as 18,800 jobs across charities and the wider UK economy, according to the research commissioned by Charities Aid Foundation.

You can read the summary findings here.

The proposed cap, which will limit reliefs on donations to a quarter of the donor’s income or £50,000, whichever is higher, is aimed at preventing wealthy citizens from reducing their tax bills by giving large sums to charity.

Comments

[Cancel] | Reply to:

Close »

Community Standards

The civilsociety.co.uk community and comments board is intended as a platform for informed and civilised debate.

We hope to encourage a broad range of views, however, there are standards that we expect commentators to uphold. We reserve the right to delete or amend any comments that do not adhere to these standards.

We welcome:

  • Robust but respectful debate
  • Strongly held opinions
  • Intelligent relevant discussion
  • The sharing of relevant experiences
  • New participants

We will not publish:

  • Rude, threatening, offensive, obscene or abusive language, or links to such material
  • Links to commercial organisations or spam postings. The comments board is not an advertising platform
  • The posting of contact details for yourself or others
  • Comments intended for malicious purpose or mindless abuse
  • Comments purporting to be from another person or organisation under false pretences
  • Gratuitous criticism, commentary or self-promotion
  • Any material which breaches copyright or privacy laws, or could be considered libellous
  • The use of the comments board for the pursuit or extension of personal disputes

Be aware:

  • Views expressed on the comments board are left at users’ discretion and are in no way views held or supported by Civil Society Media
  • Comments left by others may not be accurate, do not rely on them as fact
  • You may be misunderstood - sarcasm and humour can easily be taken out of context, try to be clear

Please:

  • Enjoy the opportunity to express your opinion and respect the right of others to express theirs
  • Confine your remarks to issues rather than personalities

Together we can keep our community a polite, respectful and intelligent platform for discussion.

Free eNews

Big Lottery Fund awards £150m to local neighbourhood foundation

23 Jan 2015

The Big Lottery Fund has awarded £150m to a new community grantmaking foundation to help individuals...

NPC: Fundraising methods do not affect trust in charities

23 Jan 2015

How charities spend their money and what they do are more of a concern for the public than fundraising...

Marie Curie turns to television to recruit volunteers

22 Jan 2015

Marie Curie is hoping to attract more volunteers for its 2015 Great Daffodil Appeal, with the launch of...

New four-year NCS programme planned for Northern Ireland

26 Jan 2015

The Northern Ireland government is currently finalising plans to unveil a renewed, four year programme...

Commission case reports 'are misleading and risk damaging charities'

26 Jan 2015

The Charity Commission’ announcements about charities it investigates are misleading and risk unnecessarily...

Victim support charities' data 'not being adequately protected', says information regulator

26 Jan 2015

Charities associated with the Victims Services Alliance (VSA) must take more steps to comply with data...

Comparison website for special needs services launched by charity consortium

23 Jan 2015

A coalition of social care charities has launched a TripAdvisor-style website, designed to help families...

CRUK debuts contactless giving through shop windows

21 Jan 2015

Cancer Research UK has announced a collaboration with outdoor media owner Clear Channel to bring contactless...

Charity IT Association will provide free technology advice

15 Jan 2015

Four IT organisations have pooled their resources to launch the Charity IT Association and provide free...

Join the discussion

 Twitter button

@CSFinance