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Sector urged to give views on public benefit

Fundraising | Becky Slack | 3 Apr 2008

Fundraisers are being called upon to participate in the public benefit consultation, launched on 7 March by the Charity Commission.

Under the Charities Act, it is no longer assumed that all charities operate for the benefit of the public. The commission is responsible for carrying out public benefit checks and is consulting on the principles by which it should assess charities.

“Public benefit is fundamental for all charities and so this consultation is of interest to anyone interested in, or connected with, charities,” said a spokeswoman for the regulator. “It’s important for fundraisers to have a good idea about what makes an organisation charitable and to be able to explain what this means when raising funds.”

“Charities which demonstrate the sort of benefits that are important to the public are more likely to gain support,” she added, drawing attention to the Citizens’ Standards on Public Benefit survey conducted by the commission earlier this year.

The survey asked the public for its views on what is important about how charities benefit the public. While the findings do not form part of the regulator’s draft guidance, it believes they indicate how and where charities “might demonstrate increased accountability and effectiveness in the context of providing benefit to the public”.

The respondents identified a number of principles by which charities could do this, including being outward looking and highlighting to the public how they provide benefit. The language used in these communications was found to be “crucially important in engaging the general public” with participants responding well to concrete examples that brought public benefit to life.

The Institute of Fundraising says that the consultation provides fundraisers with an opportunity to get involved with the wider issues affecting the sector. It has long expressed the need for fundraising to be an integral part of governance.

“Fundraisers should be concerning themselves with this in the context of their own organisations. On one side, you may find organisations that don’t normally fit under the heads of charity being given charitable status, such as Amnesty and Greenpeace, and on the other, organisations such as independent schools, losing status,” says Megan Pacey, director of policy and campaigns at the Institute. “While it might not involve significant change for most organisations it could potentially impact on the way they demonstrate public benefit in their marketing and reporting activities.”

For more information on both the consultation and the Citizens Standards visit www.charitycommission.gov.uk The closing date for the consultation is 6 June 2007.

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