Review of Charities Administration and Legislation in
Northern Ireland
Seamus Murray
Voluntary and Community UnitDepartment for Social
Development
FACT OR FICTION‘Law could mute carol singers’
‘Watchdogs should look at charities’
‘Jury still out on charity watchdog’
‘Police may investigate children's charity’
‘Ulster charities ‘used to launder paramilitary cash’’
‘Businesses warned on charity scam’
‘Warning on bogus charity clothing collections’
‘Council backs call for charity commission’Sources: Belfast Telegraph, Newsletter, Third Sector
CHARITIES SECTOR IN NI Relatively large voluntary and community
sector compared to England, Scotland and Wales.
Number of charities 4,500-5,000 Total annual income approx. £657m Total expenditure £640m Total assets £750m Total workforce 29,168
(State of the Sector III 2002 NICVA)
WHY CHANGE
Greater public awareness?Greater sense of probity in the sectorGovernance and accountability Crime preventionChange all around usGood house keeping
CURRENT REGULATION No independent or
semi independent commission or regulator in N. Ireland
No register of charities in N. Ireland
No approval process for charities in N. Ireland
DSD main charity authority for NI
Responsibility for policy and legislation
Discharges functions under Charities Act
Disposal of property Change of purpose Advice to trustees,
solicitors, public
REVIEW PROCESS
Scoping study Internal consideration Advisory Group Ministerial approval Internal key stakeholder consultation Consultation Recommendations Implementation administrative and
legislative
PARAMETERS Legislation Tax Relationships to neighbours UK & Ireland Cost Pragmatic and proportionate P(p)olitically acceptable
KEY PROPOSALS
Establishment of a N. Ireland Charities Commission Establishment of a fully inclusive compulsory charities
register Requirement for all charities wishing to operate in N.
Ireland to register Requirement for all charities to make annual returns
financial and performance Commission to carry out functions of regulation,
investigation and support/good practice Adoption of the 12 headings in English/Welsh draft bill Establishment of a public benefit test
CONSULTATION-QUESTIONS & ISSUES
Do we need a commission? Should it sit within or without government? Could the service be contracted out or the role of
another body extended to N. Ireland? Should the functions of investigation & regulation
be separated from guidance and support? Should there be exemptions for certain charities? What about the rest of the voluntary and
community sector?
OUR TIMETABLE Jan 04 -Advisory Group established
Jun 04 -Advisory Group proposals to DSD Minister
Sep 04 -Internal consultation with key stakeholders
Oct 04 -Public consultation
Jan 05 -Recommendations to Minister based on consultation
Mar 05 -Drafting of legislation