Financial thresholds in Charities Acts increased in relation to fundraising, accounting and reporting

Financial thresholds in Charities Acts increased in relation to fundraising, accounting and reporting

Following a consultation last year, an order has been laid before Parliament to increase several financial thresholds in the Charities Acts 1992 and 2011 and the Charities Act 2011 (Group Accounts) Regulations 2015. The explanatory memorandum notes that these changes are expected to save charities £47m per year over the next decade through reduced administrative burdens.

These thresholds trigger some of the regulatory requirements applying to charities. For example, payments which do not trigger the professional fundraiser regime will increase from £10 per day (or £1,000 per year) to £15 per day (or £1,500 per year) and the statutory right to a refund from a TV or radio fundraising appeal will be raised from £100 to £150. The values over which account auditing requirements apply have also been increased in line with inflation.

The changes will come into force on 30 September 2026 and the order is clear that these new thresholds will not apply to fundraising solicitations made before that date. The Department for Culture Media and Support has commented that: 'we would encourage charities to consider whether they can take advantage of the changes when undertaking accounting and reporting for the current financial year'.