Culture secretary Lisa Nandy has asked officials to work with the Charity Commission to speed up the process for investigating charities suspected of engaging in or promoting extremist behaviour, including strengthening its powers to close them down if necessary.
Further measures now under consideration include mandatory trustee ID verification, the digitisation of charity accounts, and a strengthening of local authority powers to issue fines and take other enforcement action to tackle unlicensed street fundraising.
The measures were announced in a policy report published yesterday, and are in addition to a new consultation expected to launch shortly, which will “road-test” plans to automatically ban individuals with a criminal conviction for a hate crime from serving as charity trustees or senior managers.
Concerns were expressed by the sector last month when prime minister Keir Starmer first mentioned plans to enable the regulator to close charities engaging in or promoting extremism.
At the time, sector organisations such as NCVO expressed that any expanded closure powers would raise “real concerns” for charities, although others in the sector emphasised the importance of the commission having sufficient powers to do its job effectively.
‘Giving the Charity Commission the teeth it needs to act fast’
Giving examples of how the commission’s new powers could work, DCMS said it could expand the regulator’s discretionary disqualification powers to include conduct which promotes or encourages violence.
It also said the commission may be given discretionary disqualification powers to ban individuals deprived of their citizenship from serving as trustees.
While the commission has banned such individuals in the past, it has had to argue that their conduct was likely to damage public trust and confidence in charities.
Nandy said: “Charities are the lifeblood of our communities, and we will not allow extremists to hijack their good name.
“By giving the Charity Commission the teeth it needs to act fast and decisively, we will close the door on those who exploit charitable status to spread hate, and open a new chapter that gives the sector the protection it deserves.
“This is a vital step in our ongoing work of national renewal and a Britain built for all.”
Sector bodies respond
Kate Lee, chief executive of NCVO, said of the new proposed measures: “While it is vital that the public has confidence in charities and that abuse of the sector is addressed robustly, any new regulatory powers must be proportionate, evidence-based and developed in close consultation with the sector. Charities already operate within a strong regulatory framework, and additional powers risk unintended consequences if they are not carefully designed.
“The government should work closely with the new Civil Society Council and sector leaders to ensure any measures cannot be misused to limit or silence civil society more broadly. We look forward to working with government to ensure this agenda supports the vital work of charities and voluntary organisations across the country.”
Meanwhile, Muslim Charities Forum's CEO, Fadi Itani, said of the the new measures: “Any expansion of Charity Commission powers must be shaped by meaningful consultation with civil society to ensure the changes are proportionate and fit for purpose.
“These powers must not become a vehicle for suppressing legitimate advocacy or political participation, which would further erode democratic norms in an already shrinking civic space.”
