The government has announced changes to laws it planned to introduce this year around charities transferring objects.
This week, it wrote to the Charity Commission chair Orlando Fraser about changes to its implementation of the Charities Act 2022.
Most provisions of the legislation have already come into force, with the most recent tranche introduced last month.
However, the implementation of laws which could affect charities transferring legal ownership of an object to its country of origin were delayed in 2022 to allow “further consideration”.
The government was concerned that the changes would remove the Commission’s oversight of trustees’ decisions to restitute an object by way of an ex gratia payment.
Former charities minister Lord Kamall referenced the return of the Benin bronzes to Nigeria by the Horniman Museum.
Now, the government has written to Fraser to confirm it plans to exclude overseas transfers of property from sections 15 and 16 of the Act when they come into force later this year, meaning charities will still need to seek the Commission’s approval.
It also plans to exclude national museums and galleries from the provisions, meaning they will continue to be bound by their governing documents for transfers of all items.
The letter, from arts and heritage minister Lord Parkinson, says: “The potential consequences of these provisions were not made clear by the Law Commission when the bill was introduced.”
Parkinson writes that removing the Commission’s oversight “would not be appropriate in restitution cases”.
“We are therefore looking to exclude from the commencement of sections 15 and 16 any ex gratia payment where the recipient (ie the person to whom legal title for the property would be transferred) is located outside the UK.
“This approach will ensure that all ex gratia cases involving a charity transferring legal ownership of an object to its country of origin outside the UK will have to seek approval from the Charity Commission (as they currently do).”
His letter confirms that the government plans to bring sections 15 and 16 into force later this year.
Fraser: ‘I look forward to seeing further detail’
Fraser responded to Lord Parkinson’s letter this week, welcoming confirmation that delayed sections would be introduced this year.
“These provisions will help charities to save time and money in dealing with relatively small ex gratia payments, often relating to wills and legacies.
“They will also allow the Commission to focus our resources more efficiently on larger and more complex cases.
“I note the government’s intention to exclude national museums and galleries from these provisions so they continue to be bound by their governing documents, and also to exclude any ex gratia payment outside the UK so an order from the Commission would still be required, even for relatively small amounts or low value items.
“I look forward to seeing further detail about these exclusions in due course.”
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