A national coalition of enforcement and regulatory bodies, convened by the Fundraising Regulator, has today called on the government to reform what it describes as “outdated” legislation to tackle a rise in unlicensed street fundraising.
The Charity Commission, Local Government Association, Metropolitan Police and City of London Corporation were among those who co-signed a letter to the Department of Culture, Media and Sport (DCMS) calling for tougher sanctions to deter “rogue” operators.
In its letter, the group argued that the Police, Factories, & c. (Miscellaneous Provisions) Act 1916 is not fit for purpose in dealing with aggressive or misleading street fundraising and lacks the enforcement powers needed to stop unlawful activity effectively.
The coalition proposed removing a £200 cap on fines, with the option of a custodial sentence, and the introduction of fixed penalty notices to allow local authorities to take swift enforcement action without costly court proceedings.
It also called for the government to extend the law to cover offences by company directors to prevent individuals from avoiding penalties by dissolving and reforming organisations.
‘Enforcement system urgently needs reform’
The coalition cited several recent cases of unlicensed street fundraising by community interest companies (CICs) to highlight the need for modernisation of the current legislation.
One such case was that of the Inside Success Union, which was prosecuted for unlicensed street collections and received a fine, yet continued to operate, the coalition said.
Despite Inside Success Union reporting an annual income in excess of £3m, the court was only able to issue a fine of £665, which the coalition suggested was “highlighting the lack of deterrent”.
Another case mentioned by the coalition was fellow CIC We R Blighty, whose directors were fined recently after pleading guilty to multiple offences of collecting money without the required licences.
Jim Tebbett, head of proactive regulation at the Fundraising Regulator, said: “Unlicensed fundraisers are on the rise, and the enforcement system urgently needs reform.
“Repeated rule-breaking, particularly by a small number of CICs, is eroding confidence in street fundraising, harming legitimate charities that follow the rules, and putting public generosity at risk.
“We are calling on the government to make straightforward legislative changes to keep our streets safe, ensure donations go where donors intend, and uphold trust in charitable giving.”
Meanwhile, the CIC Regulator today published its annual report, which says that it opened no formal investigations in 2024-25.
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