Explanatory Notes

Charities Act 2006

2006 CHAPTER 50

8 November 2006

The Act

Commentary on Sections

Section 67: Statements indicating benefits for charitable institutions and fund-raisers

231.This section amends section 60 of the 1992 Act.

232.Subsections (2) and (3) read with subsection (5) amend sections 60(1)(c) and 60(2)(c) of the 1992 Act to require a professional fundraiser to state the amount of his remuneration in connection with an appeal; or, if that amount is not known at the time of the appeal, to give as accurate an estimate of the amount as is reasonably possible in the circumstances. Currently a professional fundraiser is required to state only in general terms the method by which his remuneration is determined, which has in practice been imprecise and has offered little assistance to those it was designed to help.

233.Subsection (4) amends section 60(3)(c) of the Charities Act 1992, which requires a commercial participator to make a general statement outlining the method of determining the benefit to the charitable institution or institutions concerned. Subsection (4) substitutes for section 60(3)(c) a revised section 60(3)(c) which, when read with the amendment made by subsection (5), requires the statement to indicate:

234.Subsection (5) provides for a new subsection (3A) to be inserted after subsection (3) of section 60 of the 1992 Act. New subsection (3A) provides that the notifiable amount of remuneration is the actual amount if that is known at the time of the statement, otherwise an estimated amount of the remuneration or sum, calculated as accurately as possible in all the circumstances.