The Fundraising Regulator has said it has to make changes to its fundraising levy after it failed to raise enough money in the first round – including making contributing to the levy a statutory requirement.
According to a document seen by Civil Society News, the Fundraising Regulator has ruled out continuing on with the fundraising levy as it is, and are considering making a number of changes to the basis of the levy moving forward.
In a statement released this morning, Stephen Dunmore, chief executive of the Fundraising Regulator, confirmed that the regulator is considering moving to a statutory basis for the levy.
He said: “We are currently reviewing the levy system to examine whether any changes could usefully be made in year 2. The levy calculations were based on information provided to the Charity Commission by charities and all too often this has proved to be inaccurate. The review is also considering whether there might be advantages in moving to a statutory levy in year 3.”
However, a source familiar with the situation said it was highly unlikely the Fundraising Regulator would be able to change much about the levy before the second round of invoices are sent out to charities in August 2017.
The document lays out three options for securing funding in future, which essentially involve either charging charities based on a different set of criteria – moving away from using a Costs of Generating Voluntary Income basis to one based on the amount of voluntary income raised in a year – or widening the scope of the levy to capture more charities.
Civil Society News understands that the regulator also considered charging charities contributing to the existing levy structure more, but decided against that option due to a wariness of angering the charities that are already paying. The document also discusses the possibility of the third round of levy invoices moving “onto a statutory basis”.
Read the FULL article and statement from the Fundraising Regulator click here.
From: Civil Society News