The largest charities may be expected to contribute towards the Charity Commission’s core regulatory functions following an announcement that the regulator has been awarded £5 million in interim funding.
The Charity Commission will consult on whether the “largest charities should make a modest contribution” to the regulator’s enabling work, it said in a statement.
It said it has been awarded funding from the Government of £5 million per year to help it respond to significant increases in demand, while it considers longer term, more sustainable funding models.
Under the proposals, it would receive around £7.5 million per year through contributions from the 2,000 largest charities on the register – those with annual incomes of more than £5 million.
William Shawcross, Chairman of the Charity Commission, said: “I am pleased that the additional transitional funding from Government acknowledges the unprecedented rise in demand on the Commission’s services in recent years. The new money will help us continue to increase the effectiveness of our core regulatory functions in the short term, as we explore longer term solutions.
“It is right that we consider whether those in the sector with the broadest shoulders should make a contribution towards aspects of our work, and I am pleased that we will shortly be publishing a consultation on whether and how we do this. We would plan to use these funds to increase and improve the services and support we offer and want to encourage charities to step forward and feed in their thoughts.
Tracey Crouch MP, Minister for Sport and Civil Society, added: “It is important that the sector continues to innovate, and this includes the Commission considering a range of funding models for the future.”