Legalize / United Kingdom / Public General Act

Charities Act 2011

Type Public General Act

Publication 2011-12-14

Last updated 2025-11-27

State In force

Department Statute Law Database

Source legislation.gov.uk

articles Not indexed

Reform history JSON API

Part 1 — Meaning of “charity” and “charitable purpose”

CHAPTER 1 — General

Charity

Meaning of “charity”

1

(1) For the purposes of the law of England and Wales, “charity” means an institution which—

(a) is established for charitable purposes only, and

(b) falls to be subject to the control of the High Court in the exercise of its jurisdiction with respect to charities.

(2) The definition of “charity” in subsection (1) does not apply for the purposes of an enactment if a different definition of that term applies for those purposes by virtue of that or any other enactment.

Charitable purpose

Meaning of “charitable purpose”

2

(1) For the purposes of the law of England and Wales, a charitable purpose is a purpose which—

(a) falls within section 3(1), and

(b) is for the public benefit (see section 4).

(2) Any reference in any enactment or document (in whatever terms)—

(a) to charitable purposes, or

(b) to institutions having purposes that are charitable under the law relating to charities in England and Wales,

is to be read in accordance with subsection (1).

(3) Subsection (2) does not apply where the context otherwise requires.

(4) This section is subject to section 11 (which makes special provision for Chapter 2 of this Part onwards).

Descriptions of purposes

3

(1) A purpose falls within this subsection if it falls within any of the following descriptions of purposes—

(a) the prevention or relief of poverty;

(b) the advancement of education;

(d) the advancement of health or the saving of lives;

(e) the advancement of citizenship or community development;

(f) the advancement of the arts, culture, heritage or science;

(g) the advancement of amateur sport;

(h) the advancement of human rights, conflict resolution or reconciliation or the promotion of religious or racial harmony or equality and diversity;

(i) the advancement of environmental protection or improvement;

(j) the relief of those in need because of youth, age, ill-health, disability, financial hardship or other disadvantage;

(k) the advancement of animal welfare;

(l) the promotion of the efficiency of the armed forces of the Crown or of the efficiency of the police, fire and rescue services or ambulance services;

(m) any other purposes—

(i) that are not within paragraphs (a) to (l) but are recognised as charitable purposes by virtue of section 5 (recreational and similar trusts, etc.) or under the old law,

(ii) that may reasonably be regarded as analogous to, or within the spirit of, any purposes falling within any of paragraphs (a) to (l) or sub-paragraph (i), or

(iii) that may reasonably be regarded as analogous to, or within the spirit of, any purposes which have been recognised, under the law relating to charities in England and Wales, as falling within sub-paragraph (ii) or this sub-paragraph.

(2) In subsection (1)—

(a) in paragraph (c), “religion” includes—

(i) a religion which involves belief in more than one god, and

(ii) a religion which does not involve belief in a god,

(b) in paragraph (d), “the advancement of health” includes the prevention or relief of sickness, disease or human suffering,

(i) rural or urban regeneration, and

(ii) the promotion of civic responsibility, volunteering, the voluntary sector or the effectiveness or efficiency of charities,

(d) in paragraph (g), “sport” means sports or games which promote health by involving physical or mental skill or exertion,

(e) paragraph (j) includes relief given by the provision of accommodation or care to the persons mentioned in that paragraph, and

(f) in paragraph (l), “fire and rescue services” means services provided by fire and rescue authorities under Part 2 of the Fire and Rescue Services Act 2004.

(3) Where any of the terms used in any of paragraphs (a) to (l) of subsection (1), or in subsection (2), has a particular meaning under the law relating to charities in England and Wales, the term is to be taken as having the same meaning where it appears in that provision.

(4) In subsection (1)(m)(i), “the old law” means the law relating to charities in England and Wales as in force immediately before 1 April 2008.

The public benefit requirement

4

(1) In this Act “the public benefit requirement” means the requirement in section 2(1)(b) that a purpose falling within section 3(1) must be for the public benefit if it is to be a charitable purpose.

(2) In determining whether the public benefit requirement is satisfied in relation to any purpose falling within section 3(1), it is not to be presumed that a purpose of a particular description is for the public benefit.

(3) In this Chapter any reference to the public benefit is a reference to the public benefit as that term is understood for the purposes of the law relating to charities in England and Wales.

(4) Subsection (3) is subject to subsection (2).

Recreational trusts and registered sports clubs

Recreational and similar trusts, etc.

5

(1) It is charitable (and is to be treated as always having been charitable) to provide, or assist in the provision of, facilities for—

(a) recreation, or

(b) other leisure-time occupation,

if the facilities are provided in the interests of social welfare.

(2) The requirement that the facilities are provided in the interests of social welfare cannot be satisfied if the basic conditions are not met.

(3) The basic conditions are—

(a) that the facilities are provided with the object of improving the conditions of life for the persons for whom the facilities are primarily intended, and

(b) that—

(i) those persons have need of the facilities because of their youth, age, infirmity or disability, poverty, or social and economic circumstances, or

(ii) the facilities are to be available to members of the public at large or to male, or to female, members of the public at large.

(4) Subsection (1) applies in particular to—

(a) the provision of facilities at village halls, community centres and women's institutes, and

(b) the provision and maintenance of grounds and buildings to be used for purposes of recreation or leisure-time occupation,

and extends to the provision of facilities for those purposes by the organising of any activity.

But this is subject to the requirement that the facilities are provided in the interests of social welfare.

(5) Nothing in this section is to be treated as derogating from the public benefit requirement.

Registered sports clubs

6

(1) A registered sports club established for charitable purposes is to be treated as not being so established, and accordingly cannot be a charity.

(2) In subsection (1), “registered sports club” means a registered club within the meaning of Chapter 9 of Part 13 of the Corporation Tax Act 2010 (community amateur sports clubs).

Supplementary

Application of this Chapter in relation to Scotland

7

(1) This Chapter affects the law of Scotland only in so far as it affects the construction of references to—

(a) charities, or

(b) charitable purposes,

in enactments which relate to matters falling within Section A1 of Part 2 of Schedule 5 to the Scotland Act 1998 (reserved matters: fiscal policy etc.).

(2) In so far as this Chapter affects the law of Scotland—

(a) references in sections 1(1) and 2(1) to the law of England and Wales are to be read as references to the law of Scotland, and

(b) the reference in section 1(1) to the High Court is to be read as a reference to the Court of Session.

Application of this Chapter in relation to Northern Ireland

8

(1) This Chapter affects the law of Northern Ireland only in so far as it affects the construction of references to—

(a) charities, or

(b) charitable purposes,

in enactments which relate to matters falling within paragraph 9 of Schedule 2 to the Northern Ireland Act 1998 (excepted matters: taxes and duties).

(2) In so far as this Chapter affects the law of Northern Ireland—

(a) references in sections 1(1) and 2(1) to the law of England and Wales are to be read as references to the law of Northern Ireland, and

(b) the reference in section 1(1) to the High Court is to be read as a reference to the High Court in Northern Ireland.

Interpretation

9

(1) In this Chapter “enactment” includes—

(a) any provision of subordinate legislation (within the meaning of the Interpretation Act 1978), and

(b) a provision of a Measure of the Church Assembly or of the General Synod of the Church of England,

and references to enactments include enactments whenever passed or made.

(2) In section 2(2) the reference to a document includes a document whenever made.

(3) In this Act “institution” means an institution whether incorporated or not, and includes a trust or undertaking.

(4) Subsections (1) to (3) apply except where the context otherwise requires.

CHAPTER 2 — Special provision for this Act

Ecclesiastical corporations etc. not charities in certain contexts

10

(1) In the rest of this Act, “charity”, except in so far as the context otherwise requires, has the meaning given by section 1(1).

(2) But in the rest of this Act (apart from Chapter 3 of Part 17) “charity” is not applicable to—

(a) any ecclesiastical corporation in respect of the corporate property of the corporation, except a corporation aggregate having some purposes which are not ecclesiastical in respect of its corporate property held for those purposes,

(b) any Diocesan Board of Finance, or any subsidiary of such a Board, in respect of the diocesan glebe land of the diocese, or

(3) “Ecclesiastical corporation” means any corporation in the Church of England, whether sole or aggregate, which is established for spiritual purposes but does not include the Chapter of a cathedral to which the Cathedrals Measure 2021 applies.

(4) In this section—

“Diocesan Board of Finance” has the same meaning as “DBF” in the Church Property Measure 2018;

“diocesan glebe land” has the same meaning as in that Measure;

“subsidiary” has the same meaning as “management subsidiary” in that Measure.

Charitable purposes

11

In the rest of this Act, “charitable purposes” means, except in so far as the context otherwise requires, purposes which are exclusively charitable purposes (as defined by section 2(1)).

Directions as to what is (or is not) a separate charity

12

(1) The Commission (see section 13) may direct that for all or any of the purposes of this Act an institution established for any special purposes of or in connection with a charity (being charitable purposes) is to be treated—

(a) as forming part of that charity, or

(b) as forming a distinct charity.

(2) The Commission may direct that for all or any of the purposes of this Act two or more charities having the same charity trustees are to be treated as a single charity.

Part 2 — The Charity Commission and the Official Custodian for Charities

The Commission

The Charity Commission

13

(1) There continues to be a body corporate known as the Charity Commission for England and Wales (in this Act referred to as “the Commission”).

(2) In Welsh the Commission is known as “Comisiwn Elusennau Cymru a Lloegr”.

(3) The functions of the Commission are performed on behalf of the Crown.

(4) In the exercise of its functions the Commission is not subject to the direction or control of any Minister of the Crown or of another government department.

(5) But subsection (4) does not affect—

(a) any provision made by or under any enactment;

(b) any administrative controls exercised over the Commission's expenditure by the Treasury.

(6) Schedule 1 contains provisions relating to the Commission.

The Commission’s objectives

14

The Commission has the following objectives—

(1) The public confidence objective

The public confidence objective is to increase public trust and confidence in charities.

(2) The public benefit objective

The public benefit objective is to promote awareness and understanding of the operation of the public benefit requirement.

(3) The compliance objective

The compliance objective is to promote compliance by charity trustees with their legal obligations in exercising control and management of the administration of their charities.

(4) The charitable resources objective

The charitable resources objective is to promote the effective use of charitable resources.

(5) The accountability objective

The accountability objective is to enhance the accountability of charities to donors, beneficiaries and the general public.

The Commission’s general functions

15

(1) The Commission has the following general functions—

(1) Determining whether institutions are or are not charities.

(2) Encouraging and facilitating the better administration of charities.

(3) Identifying and investigating apparent misconduct or mismanagement in the administration of charities and taking remedial or protective action in connection with misconduct or mismanagement in the administration of charities.

(4) Determining whether public collections certificates should be issued, and remain in force, in respect of public charitable collections.

(5) Obtaining, evaluating and disseminating information in connection with the performance of any of the Commission's functions or meeting any of its objectives.

(6) Giving information or advice, or making proposals, to any Minister of the Crown on matters relating to any of the Commission's functions or meeting any of its objectives.

(2) The Commission may, in connection with its second general function, give such advice or guidance with respect to the administration of charities as it considers appropriate.

(3) Any advice or guidance so given may relate to—

(a) charities generally,

(b) any class of charities, or

and may take such form, and be given in such manner, as the Commission considers appropriate.

(4) The Commission's fifth general function includes (among other things) the maintenance of an accurate and up-to-date register of charities under sections 29 (the register) and 34 (removal of charities from register).

(5) The Commission's sixth general function includes (among other things) complying, so far as is reasonably practicable, with any request made by a Minister of the Crown for information or advice on any matter relating to any of its functions.

(6) In this section “public charitable collection” and “public collections certificate” have the same meaning as in Chapter 1 of Part 3 of the Charities Act 2006.

The Commission’s general duties

16

The Commission has the following general duties—

(1) So far as is reasonably practicable the Commission must, in performing its functions, act in a way—

(a) which is compatible with its objectives, and

(b) which it considers most appropriate for the purpose of meeting those objectives.

(2) So far as is reasonably practicable the Commission must, in performing its functions, act in a way which is compatible with the encouragement of—

(a) all forms of charitable giving, and

(b) voluntary participation in charity work.

(3) In performing its functions the Commission must have regard to the need to use its resources in the most efficient, effective and economic way.

(4) In performing its functions the Commission must, so far as relevant, have regard to the principles of best regulatory practice (including the principles under which regulatory activities should be proportionate, accountable, consistent, transparent and targeted only at cases in which action is needed).

(5) In performing its functions the Commission must, in appropriate cases, have regard to the desirability of facilitating innovation by or on behalf of charities.

(6) In managing its affairs the Commission must have regard to such generally accepted principles of good corporate governance as it is reasonable to regard as applicable to it.

Guidance as to operation of public benefit requirement

17

(1) The Commission must issue guidance in pursuance of its public benefit objective (see paragraph 2 of section 14).

(2) The Commission may from time to time revise any guidance issued under this section.

(3) The Commission must carry out such public and other consultation as it considers appropriate—

(a) before issuing any guidance under this section, or

(b) (unless it considers that it is unnecessary to do so) before revising any guidance under this section.

(4) The Commission must publish any guidance issued or revised under this section in such manner as it considers appropriate.

(5) The charity trustees of a charity must have regard to any such guidance when exercising any powers or duties to which the guidance is relevant.

Supply by Commission of copies of documents

18

The Commission must, at the request of any person, provide that person with copies of, or extracts from, any document in the Commission's possession which is for the time being open to or available for inspection under any provision of this Act.

Fees and other amounts payable to Commission

19

(1) The Secretary of State may by regulations require the payment to the Commission of such fees as may be prescribed by the regulations in respect of—

(a) the discharge by the Commission of such functions under the enactments relating to charities as may be so prescribed;

(b) the inspection of the register of charities or of other material kept by the Commission under those enactments, or the provision of copies of or extracts from documents so kept.

(2) Regulations under this section may—

(a) confer, or provide for the conferring of, exemptions from liability to pay a prescribed fee;

(b) provide for the remission or refunding of a prescribed fee (in whole or in part) in circumstances prescribed by the regulations.

(3) The Commission may impose charges of such amounts as it considers reasonable in respect of the supply of any publications produced by it.

(4) Any fees and other payments received by the Commission by virtue of this section are to be paid into the Consolidated Fund.

Incidental powers

20

(1) The Commission may do anything which is calculated to facilitate, or is conducive or incidental to, the performance of any of its functions or general duties.

(2) But nothing in this Act authorises the Commission—

(a) to exercise functions corresponding to those of a charity trustee in relation to a charity, or

(b) otherwise to be directly involved in the administration of a charity.

(3) Subsection (2) does not affect the operation of section 84, 84A, 84B or 85 (power of Commission to direct specified action to be taken or to direct application of charity property).

The official custodian

The official custodian for charities

21

(1) There continues to be an officer known as the official custodian for charities (in this Act referred to as “the official custodian”).

(2) The official custodian's function is to act as trustee for charities in the cases provided for by this Act.

(3) The official custodian is such individual as the Commission may from time to time designate.

(4) The official custodian's duties must be performed in accordance with such general or special directions as may be given by the Commission.

(5) Schedule 2 contains provisions relating to the official custodian.

Part 3 — Exempt charities and the principal regulator

Exempt charities

Meaning of “exempt charity” and Sch.3

22

(1) In this Act “exempt charity” means any institution, so far as it is a charity, that is within Schedule 3.

(2) Subsection (1) is subject to any other enactment by virtue of which a charity is an exempt charity.

Power to amend Sch.3 so as to add or remove exempt charities

23

(1) The Secretary of State may by order make such amendments of Schedule 3 as the Secretary of State considers appropriate for securing—

(a) that (so far as they are charities) institutions of a particular description become or (as the case may be) cease to be exempt charities, or

(b) that (so far as it is a charity) a particular institution becomes or (as the case may be) ceases to be an exempt charity.

(2) An order under subsection (1) may be made only if the Secretary of State is satisfied that the order is desirable in the interests of ensuring appropriate or effective regulation of the charities or charity concerned in connection with compliance by the charity trustees of the charities or charity with their legal obligations in exercising control and management of the administration of the charities or charity.

(3) The Secretary of State may by order make such amendments or other modifications of any enactment as the Secretary of State considers appropriate in connection with—

(a) charities of a particular description becoming, or ceasing to be, exempt charities, or

(b) a particular charity becoming, or ceasing to be, an exempt charity,

as a result of provision made under subsection (1).

(4) In subsection (3), “enactment” includes—

(a) any provision of subordinate legislation (within the meaning of the Interpretation Act 1978), and

(b) a provision of a Measure of the Church Assembly or of the General Synod of the Church of England,

and references to enactments include enactments whenever passed or made.

Power to remove defunct institutions from Sch.3

24

The Secretary of State may by order make such amendments of Schedule 3 as the Secretary of State considers appropriate for removing from that Schedule an institution that has ceased to exist.

The principal regulator

Meaning of “the principal regulator”

25

In this Act “the principal regulator”, in relation to an exempt charity, means such body or Minister of the Crown as is prescribed as its principal regulator by regulations made by the Secretary of State.

General duty of principal regulator in relation to exempt charity

26

(1) This section applies to any body or Minister of the Crown who is the principal regulator in relation to an exempt charity.

(2) The body or Minister must do all that the body or Minister reasonably can to meet the compliance objective in relation to the charity.

(3) The compliance objective is to promote compliance by the charity trustees with their legal obligations in exercising control and management of the administration of the charity.

Power to make amendments in connection with s.26

27

(1) Regulations under section 25 may make such amendments or other modifications of any enactment as the Secretary of State considers appropriate for the purpose of facilitating, or otherwise in connection with, the discharge by a principal regulator of the duty under section 26(2).

(2) In subsection (1), “enactment” includes—

(a) any provision of subordinate legislation (within the meaning of the Interpretation Act 1978), and

(b) a provision of a Measure of the Church Assembly or of the General Synod of the Church of England,

and references to enactments include enactments whenever passed or made.

Commission to consult principal regulator

28

Before exercising in relation to an exempt charity any specific power exercisable by it in relation to the charity, the Commission must consult the charity's principal regulator.

Part 4 — Registration and names of charities

The register

29

(1) There continues to be a register of charities, to be kept by the Commission in such manner as it thinks fit.

(2) The register must contain—

(a) the name of every charity registered in accordance with section 30, and

(b) such other particulars of, and such other information relating to, every such charity as the Commission thinks fit.

(3) In this Act, except in so far as the context otherwise requires, “the register” means the register of charities kept under this section and “registered” is to be read accordingly.

Charities required to be registered

Charities required to be registered: general

30

(1) Every charity must be registered in the register unless subsection (2) applies to it.

(2) The following are not required to be registered—

(a) an exempt charity (see section 22 and Schedule 3),

(b) a charity which for the time being—

(i) is permanently or temporarily excepted by order of the Commission, and

(ii) complies with any conditions of the exception,

and whose gross income does not exceed £100,000,

(i) is, or is of a description, permanently or temporarily excepted by regulations made by the Secretary of State, and

(ii) complies with any conditions of the exception,

and whose gross income does not exceed £100,000, and

(d) a charity whose gross income does not exceed £5,000.

(3) A charity within—

(a) subsection (2)(b) or (c), or

(b) subsection (2)(d),

must, if it so requests, be registered in the register.

(4) In this section any reference to a charity's gross income is to be read, in relation to a particular time—

(a) as a reference to the charity's gross income in its financial year immediately preceding that time, or

(b) if the Commission so determines, as a reference to the amount which the Commission estimates to be the likely amount of the charity's gross income in such financial year of the charity as is specified in the determination.

Restrictions on extending the range of excepted charities etc.

31

(1) No order may be made under section 30(2)(b) so as to except any charity that was not excepted immediately before 31 January 2009.

(2) Subject to subsection (3), no regulations may be made under section 30(2)(c) so as to except any charity or description of charities that was not excepted immediately before 31 January 2009.

(3) Such regulations must be made under section 30(2)(c) as are necessary to secure that any institution ceasing to be an exempt charity by virtue of an order made under section 23 is excepted under section 30(2)(c) (subject to compliance with any conditions of the exception and the financial limit mentioned in section 30(2)(c)).

(4) Subsection (1) does not prevent an order which—

(a) was in force immediately before 31 January 2009, and

(b) has effect (by virtue of paragraph 4 of Schedule 8) as if made under section 30(2)(b),

from being varied or revoked.

(5) Subsection (2) does not prevent regulations which—

(a) were in force immediately before 31 January 2009, and

(b) have effect (by virtue of paragraph 4 of Schedule 8) as if made under section 30(2)(c),

from being varied or revoked.

Power to alter sums specified in s.30(2)

32

(1) The Secretary of State may by order amend—

(a) section 30(2)(b) and (c), or

(b) section 30(2)(d),

by substituting a different sum for the sum for the time being specified there.

(2) The Secretary of State may only make an order under subsection (1)—

(a) so far as it amends section 30(2)(b) and (c), if the Secretary of State considers it expedient to do so with a view to reducing the scope of the exceptions provided by section 30(2)(b) and (c);

(b) so far as it amends section 30(2)(d), if the Secretary of State considers it expedient to do so—

(i) in consequence of changes in the value of money, or

(ii) with a view to extending the scope of the exception provided by section 30(2)(d).

(3) No order may be made by the Secretary of State under subsection (1)(a) unless a copy of a report under section 73 of the Charities Act 2006 has been laid before Parliament in accordance with that section.

Power to repeal provisions relating to excepted charities

33

The following provisions—

(a) section 30(2)(b) and (c) and (3)(a),

(b) section 31,

(d) this section,

cease to have effect on such day as the Secretary of State may by order appoint for the purposes of this section.

Removal of charities from register

34

(1) The Commission must remove from the register—

(a) any institution which it no longer considers is a charity, and

(b) any charity which has ceased to exist or does not operate.

(2) If the removal of an institution under subsection (1)(a) is due to any change in its trusts, the removal takes effect from the date of the change.

(3) A charity which is for the time being registered under section 30(3) (voluntary registration) must be removed from the register if it so requests.

Registration: duties of trustees and claims and objections

Duties of trustees in connection with registration

35

(1) If a charity required to be registered by virtue of section 30(1) is not registered, the charity trustees must—

(a) apply to the Commission for the charity to be registered, and

(b) supply the Commission with the required documents and information.

(2) The required documents and information are—

(a) copies of the charity's trusts or (if they are not set out in any extant document) particulars of them,

(b) such other documents or information as may be prescribed by regulations made by the Secretary of State, and

(3) If an institution is for the time being registered, the charity trustees (or the last charity trustees) must—

(a) notify the Commission if the institution ceases to exist, or if there is any change in its trusts or in the particulars of it entered in the register, and

(b) so far as appropriate, supply the Commission with particulars of any such change and copies of any new trusts or alterations of the trusts.

(4) Nothing in subsection (3) requires a person—

(a) to supply the Commission with copies of schemes for the administration of a charity made otherwise than by the court,

(b) to notify the Commission of any change made with respect to a registered charity by such a scheme, or

(c) if the person refers the Commission to a document or copy already in the Commission's possession, to supply a further copy of the document.

Claims and objections to registration

36

(1) A person who is or may be affected by the registration of an institution as a charity may, on the ground that it is not a charity—

(a) object to its being entered by the Commission in the register, or

(b) apply to the Commission for it to be removed from the register.

(2) Provision may be made by regulations made by the Secretary of State as to the manner in which any such objection or application is to be made, prosecuted or dealt with.

(3) Subsection (4) applies if there is an appeal to the Tribunal against any decision of the Commission—

(a) to enter an institution in the register, or

(b) not to remove an institution from the register.

(4) Until the Commission is satisfied whether the decision of the Commission is or is not to stand, the entry in the register—

(a) is to be maintained, but

(b) is in suspense and must be marked to indicate that it is in suspense.

(5) Any question affecting the registration or removal from the register of an institution—

(a) may be considered afresh by the Commission, even though it has been determined by a decision on appeal under Chapter 2 of Part 17 (appeals and applications to Tribunal), and

(b) is not concluded by that decision, if it appears to the Commission that—

(i) there has been a change of circumstances, or

(ii) the decision is inconsistent with a later judicial decision.

Effect of registration and right to inspect register

Effect of registration

37

(1) An institution is, for all purposes other than rectification of the register, conclusively presumed to be or to have been a charity at any time when it is or was on the register.

(2) For the purposes of subsection (1) an institution is to be treated as not being on the register during any period when the entry relating to it is in suspense under section 36(4).

Right to inspect register

38

(1) The register (including the entries cancelled when institutions are removed from the register) must be open to public inspection at all reasonable times.

(2) If any information contained in the register is not in documentary form, subsection (1) is to be read as requiring the information to be available for public inspection in legible form at all reasonable times.

(3) If the Commission so determines, subsection (1) does not apply to any particular information contained in the register that is specified in the determination.

(4) Copies (or particulars) of the trusts of any registered charity as supplied to the Commission under section 35 (duties of trustees in connection with registration) must, so long as the charity remains on the register—

(a) be kept by the Commission, and

(b) be open to public inspection at all reasonable times.

(5) If a copy of a document relating to a registered charity—

(a) is not required to be supplied to the Commission as the result of section 35(4), but

(b) is in the Commission's possession,

a copy of the document must be open to inspection under subsection (4) as if supplied to the Commission under section 35.

Disclosure of registered charity status

Statement required to be made in official publications etc.

39

(1) This section applies to a registered charity if its gross income in its last financial year exceeded £10,000.

(2) If this section applies to a registered charity, the fact that it is a registered charity must be stated in legible characters—

(a) in all notices, advertisements and other documents issued by or on behalf of the charity and soliciting money or other property for the benefit of the charity,

(b) in all bills of exchange, promissory notes, endorsements, cheques and orders for money or goods purporting to be signed on behalf of the charity, and

(3) The statement required by subsection (2) must be in English, except that, in the case of a document which is otherwise wholly in Welsh, the statement may be in Welsh if it consists of or includes “elusen cofrestredig” (the Welsh equivalent of “registered charity”).

(4) Subsection (2)(a) has effect—

(a) whether the solicitation is express or implied, and

(b) whether or not the money or other property is to be given for any consideration.

Power to alter sum specified in s.39(1)

40

The Secretary of State may by order amend section 39(1) by substituting a different sum for the sum for the time being specified there.

Offences

41

(1) It is an offence for a person, in the case of a registered charity to which section 39 applies, to issue or authorise the issue of any document falling within section 39(2)(a) or (c) which does not contain the statement required by section 39(2).

(2) It is an offence for a person, in the case of a registered charity to which section 39 applies, to sign any document falling within section 39(2)(b) which does not contain the statement required by section 39(2).

(3) A person guilty of an offence under subsection (1) or (2) is liable on summary conviction to a fine not exceeding level 3 on the standard scale.

Names and working names

Power to require name to be changed

42

(1) If one or more of the conditions in subsection (2) are met in relation to the name or a working name of a charity, the Commission may give a direction—

(a) requiring the name of the charity to be changed to a name determined by the charity trustees with the approval of the Commission, or

(b) requiring that that working name of the charity no longer be used as a working name (as the case may be).

(1A) A direction given under this section must specify the period within which the charity is to comply with the direction.

(2) The conditions are—

(a) that the name or working name is the same as, or in the opinion of the Commission too like, the name or a working name of another charity,

(b) that the name or working name of the charity is in the opinion of the Commission likely to mislead the public as to the true nature of—

(i) the purposes of the charity as set out in its trusts, or

(ii) the activities which the charity carries on under its trusts in pursuit of those purposes,

(c) that the name or working name of the charity includes any word or expression for the time being specified in regulations made by the Secretary of State and the inclusion in the name or working name of that word or expression is in the opinion of the Commission likely to mislead the public in any respect as to the status of the charity,

(d) that the name or working name is in the opinion of the Commission likely to give the impression that the charity is connected in some way with Her Majesty's Government or any local authority, or with any other body of persons or any individual, when it is not so connected, or

(e) that the name or working name is in the opinion of the Commission offensive.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) In this Act, any reference to a working name of a charity is a reference to a name that is not the name of the charity but which is used to designate the charity and under which activities of the charity are carried out.

(5) Any direction given under this section with respect to a charity must be given to the charity trustees.

Duty of charity trustees on receiving direction under s.42

43

(1) On receiving a direction under section 42 the charity trustees must give effect to it regardless of anything in the trusts of the charity.

(2) If the name of any charity is changed by virtue of section 42, the charity trustees must without delay notify the Commission of—

(a) the charity's new name, and

(b) the date on which the change occurred.

(3) Subsection (2) does not affect section 35(3) (duty of charity trustees to notify changes in registered particulars).

Change of name not to affect existing rights and obligations etc.

44

A change of name by a charity by virtue of section 42 does not affect any rights or obligations of the charity; and any legal proceedings that might have been continued or commenced by or against it in its former name may be continued or commenced by or against it in its new name.

Change of name where charity is a company

45

(1) In relation to a charitable company, any reference in section 42 or 43 to the charity trustees of a charity is to be read as a reference to the directors of the company.

(2) Subsections (3) to (5) apply if a direction is given under section 42 with respect to the name of a charitable company.

(3) The direction is to be treated as requiring the name of the company to be changed by resolution of the directors of the company.

(4) Where a resolution of the directors is passed in accordance with subsection (3), the company must give notice of the change to the registrar of companies.

(5) Where the name of the company is changed in compliance with the direction, the registrar of companies must—

(a) if satisfied that the new name complies with the requirements of Part 5 of the Companies Act 2006, enter the new name on the register of companies in place of the former name, and

(b) issue a certificate of incorporation altered to meet the circumstances of the case;

and the change of name has effect from the date on which the altered certificate is issued.

Part 5 — Information powers

Inquiries instituted by Commission

General power to institute inquiries

46

(1) The Commission may from time to time institute inquiries with regard to charities or a particular charity or class of charities, either generally or for particular purposes.

(2) But no such inquiry is to extend to any exempt charity except where this has been requested by its principal regulator.

(3) The Commission may—

(a) conduct such an inquiry itself, or

(b) appoint a person to conduct it and make a report to the Commission.

(4) This section and sections 47 to 49 (obtaining evidence and search warrants) have effect in relation to a body entered in the Scottish Charity Register which is managed or controlled wholly or mainly in or from England or Wales as they have effect in relation to a charity.

Obtaining evidence etc. for purposes of inquiry

47

(1) In this section “inquiry” means an inquiry under section 46.

(2) For the purposes of an inquiry, the Commission, or a person appointed by the Commission to conduct it, may direct any person—

(a) if a matter in question at the inquiry is one on which the person has or can reasonably obtain information—

(i) to provide accounts and statements in writing with respect to the matter, or to return answers in writing to any questions or inquiries addressed to the person on the matter, and

(ii) to verify any such accounts, statements or answers by statutory declaration;

(b) to provide copies of documents which are in the custody or under the control of the person and which relate to any matter in question at the inquiry, and to verify any such copies by statutory declaration;

But this is subject to the provisions of this section.

(3) For the purposes of an inquiry—

(a) evidence may be taken on oath, and the person conducting the inquiry may for that purpose administer oaths, or

(b) the person conducting the inquiry may instead of administering an oath require the person examined to make and subscribe a declaration of the truth of the matters about which that person is examined.

(4) The Commission may pay to any person attending to give evidence or produce documents for the purpose of an inquiry the necessary expenses of doing so.

(5) A direction under subsection (2)(c) may not require a person to go more than 10 miles from the person's place of residence unless those expenses are paid or tendered to the person.

Power to obtain search warrant for purposes of inquiry

48

(1) A justice of the peace may issue a warrant under this section if satisfied, on information given on oath by a member of the Commission's staff, that there are reasonable grounds for believing that each of the conditions in subsection (2) is satisfied.

(2) The conditions are—

(a) that an inquiry has been instituted under section 46,

(b) that there is on the premises to be specified in the warrant any document or information relevant to that inquiry which the Commission could require to be produced or provided under section 52(1), and

(i) the order would not be complied with, or

(ii) the document or information would be removed, tampered with, concealed or destroyed.

(3) A warrant under this section is a warrant authorising the member of the Commission's staff who is named in it (“P”)—

(a) to enter and search the premises specified in it;

(b) to take such other persons with P as the Commission considers are needed to assist P in doing anything that P is authorised to do under the warrant;

(c) to take possession of any documents which appear to fall within subsection (2)(b), or to take any other steps which appear to be necessary for preserving, or preventing interference with, any such documents;

(d) to take possession of any computer disk or other electronic storage device which appears to contain information falling within subsection (2)(b), or information contained in a document so falling, or to take any other steps which appear to be necessary for preserving, or preventing interference with, any such information;

(e) to take copies of, or extracts from, any documents or information falling within paragraph (c) or (d);

(f) to require any person on the premises to provide an explanation of any such document or information or to state where any such documents or information may be found;

(g) to require any such person to give P such assistance as P may reasonably require for the taking of copies or extracts as mentioned in paragraph (e).

Execution of search warrant

49

(1) Entry and search under a warrant under section 48 must be at a reasonable hour and within one month of the date of its issue.

(2) The member of the Commission's staff who is authorised under such a warrant (“P”) must, if required to do so, produce—

(a) the warrant, and

(b) documentary evidence that P is a member of the Commission's staff,

for inspection by the occupier of the premises or anyone acting on the occupier's behalf.

(3) P must make a written record of—

(a) the date and time of P's entry on the premises,

(b) the number of persons (if any) who accompanied P on to the premises and the names of any such persons,

(d) what P (and any such persons) did while on the premises, and

(e) any document or device of which P took possession while there.

(4) If required to do so, P must give a copy of the record to the occupier of the premises or someone acting on the occupier's behalf.

(5) Unless it is not reasonably practicable to do so, P must before leaving the premises comply with—

(a) the requirements of subsection (3), and

(b) any requirement made under subsection (4) before P leaves the premises.

(6) Where possession of any document or device is taken under section 48—

(a) the document may be retained for so long as the Commission considers that it is necessary to retain it (rather than a copy of it) for the purposes of the relevant inquiry under section 46, or

(b) the device may be retained for so long as the Commission considers that it is necessary to retain it for the purposes of that inquiry,

as the case may be.

(7) Once it appears to the Commission that the retention of any document or device has ceased to be so necessary, it must arrange for the document or device to be returned as soon as is reasonably practicable—

(a) to the person from whose possession it was taken, or

(b) to any of the charity trustees of the charity to which it belonged or related.

For the purposes of this subsection as it has effect by virtue of section 46(4), the reference in paragraph (b) to the charity trustees of the charity is to be read as a reference to the persons having the general control and management of the administration of the body entered in the Scottish Charity Register.

(8) It is an offence for a person intentionally to obstruct the exercise of any rights conferred by a warrant under section 48.

(9) A person guilty of an offence under subsection (8) is liable on summary conviction—

(a) to imprisonment for a term not exceeding 51 weeks, or

(b) to a fine not exceeding level 5 on the standard scale,

or to both.

Publication of results of inquiries

50

(1) This section applies where an inquiry has been held under section 46.

(2) The Commission may—

(a) cause the report of the person conducting the inquiry, or such other statement of the results of the inquiry as the Commission thinks fit, to be printed and published, or

(b) publish any such report or statement in some other way which is calculated in the Commission's opinion to bring it to the attention of persons who may wish to make representations to the Commission about the action to be taken.

Contributions by local authorities to inquiries into local charities

51

(1) A council may contribute to the expenses of the Commission in connection with inquiries under section 46 into local charities in the council's area.

(2) In subsection (1) “council” means—

(a) a district council;

(b) a county council;

(d) a London borough council;

(e) the Common Council of the City of London.

Power to call for documents and search records

Power to call for documents

52

(1) The Commission may by order—

(a) require any person to provide the Commission with any information which is in that person's possession and which—

(i) relates to any charity, and

(ii) is relevant to the discharge of the functions of the Commission or of the official custodian;

(b) require any person who has custody or control of any document which relates to any charity and is relevant to the discharge of the functions of the Commission or of the official custodian—

(i) to provide the Commission with a copy of or extract from the document, or

(ii) to transmit the document itself to the Commission for its inspection (unless the document forms part of the records or other documents of a court or of a public or local authority).

(2) The Commission is entitled without payment to keep any copy or extract provided to it under subsection (1).

(3) If a document transmitted to the Commission under subsection (1) for it to inspect—

(a) relates only to one or more charities, and

(b) is not held by any person entitled as trustee or otherwise to the custody of it,

the Commission may keep it or may deliver it to the charity trustees or to any other person who may be so entitled.

(4) This section has effect in relation to any body entered in the Scottish Charity Register which is managed or controlled wholly or mainly in or from England or Wales as it has effect in relation to a charity.

Power to search records

53

(1) Any member of the staff of the Commission, if so authorised by it, is entitled without payment to inspect and take copies of or extracts from the records or other documents of—

(a) any court, or

(b) any public registry or office of records,

for any purpose connected with the discharge of the functions of the Commission or of the official custodian.

(2) The reference in subsection (1) to a member of the staff of the Commission includes the official custodian even if not a member of the staff of the Commission.

(3) The rights conferred by subsection (1), in relation to information recorded otherwise than in legible form, include the right to require the information to be made available in legible form—

(a) for inspection, or

(b) for a copy or extract to be made of or from it.

Disclosure of information

Disclosure to Commission: general

54

(1) A relevant public authority may disclose information to the Commission if the disclosure is made for the purpose of enabling or assisting the Commission to discharge any of its functions.

(2) Subsection (1) is subject to section 55.

(3) In this section “relevant public authority” means—

(a) any government department (including a Northern Ireland department),

(b) any local authority,

(d) any other body or person discharging functions of a public nature (including a body or person discharging regulatory functions in relation to any description of activities).

Disclosure to Commission: Revenue and Customs information

55

(1) Revenue and Customs information may be disclosed under section 54(1) only if it relates to an institution, undertaking or body falling within one (or more) of the following paragraphs—

(a) a charity;

(b) an institution which is established for charitable, benevolent or philanthropic purposes;

(d) a subsidiary undertaking of a charity;

(e) a body entered in the Scottish Charity Register which is managed or controlled wholly or mainly in or from England or Wales.

(2) In subsection (1)(d) “subsidiary undertaking of a charity” means an undertaking (as defined by section 1161(1) of the Companies Act 2006) in relation to which—

(a) a charity is (or is to be treated as) a parent undertaking in accordance with the provisions of section 1162 of, and Schedule 7 to, the Companies Act 2006, or

(b) two or more charities would, if they were a single charity, be (or be treated as) a parent undertaking in accordance with those provisions.

(3) For the purposes of the references to a parent undertaking—

(a) in subsection (2), and

(b) in section 1162 of, and Schedule 7 to, the Companies Act 2006 as they apply for the purposes of subsection (2),

“undertaking” includes a charity which is not an undertaking as defined by section 1161(1) of that Act.

(4) In this section “Revenue and Customs information” means information held as mentioned in section 18(1) of the Commissioners for Revenue and Customs Act 2005.

(5) For the purposes of subsection (1)(c), “claim for tax exemption” means—

(a) a claim for exemption under section 505(1) of the Income and Corporation Taxes Act 1988,

(b) a claim for exemption under Part 10 of the Income Tax Act 2007, or

(i) a claim for exemption under section 475, 476 or 477 (reliefs for eligible bodies and scientific research organisations), or

(ii) a claim made by virtue of section 490 or 491 (application of exemptions to eligible bodies and scientific research organisations).

Disclosure by Commission: general

56

(1) The Commission may disclose to any relevant public authority any information received by the Commission in connection with any of the Commission's functions if—

(a) the disclosure is made for the purpose of enabling or assisting the relevant public authority to discharge any of its functions, or

(b) the information so disclosed is otherwise relevant to the discharge of any of the functions of the relevant public authority.

(2) Subsection (1) is subject to subsection (3) and section 57(1) and (2).

(3) In the case of information disclosed to the Commission under section 54(1), the Commission's power to disclose the information under subsection (1) is exercisable subject to any express restriction subject to which the information was disclosed to the Commission.

(4) In this section “relevant public authority” has the same meaning as in section 54, except that it also includes any body or person within section 54(3)(d) in a country or territory outside the United Kingdom.

Disclosure by Commission: Revenue and Customs information

57

(1) Section 56(3) does not apply in relation to Revenue and Customs information disclosed to the Commission under section 54(1).

(2) But any such information may not be further disclosed (whether under section 56(1) or otherwise) except with the consent of the Commissioners for Her Majesty's Revenue and Customs.

(3) It is an offence for a responsible person to disclose information in contravention of subsection (2).

(4) A person guilty of an offence under subsection (3) is liable—

(a) on summary conviction, to imprisonment for a term not exceeding 12 months or to a fine not exceeding the statutory maximum, or both;

(b) on conviction on indictment, to imprisonment for a term not exceeding 2 years or to a fine, or both.

(5) It is a defence, where a responsible person is charged with an offence under subsection (3) of disclosing information, to prove that that person reasonably believed—

(a) that the disclosure was lawful, or

(b) that the information had already and lawfully been made available to the public.

(6) In the application of this section to Northern Ireland, the reference to 12 months in subsection (4) is to be read as a reference to 6 months.

(6A) In the application of this section to England and Wales, the reference in subsection (4)(a) to 12 months is to be read as a reference to the general limit in a magistrates’ court

(7) In this section “Revenue and Customs information” means information held as mentioned in section 18(1) of the Commissioners for Revenue and Customs Act 2005.

(8) In this section “responsible person” means a person who is or was—

(a) a member of the Commission,

(b) a member of the staff of the Commission,

(i) the Commission, or

(ii) a member of the staff of the Commission, or

(d) a member of a committee established by the Commission.

Disclosure to and by principal regulators of exempt charities

58

(1) Sections 54 to 57 apply with the modifications in subsections (2) to (4) in relation to the disclosure of information to or by the principal regulator of an exempt charity.

(2) References in those sections to the Commission or to any of its functions are to be read as references to the principal regulator of an exempt charity or to any of the functions of that body or person as principal regulator in relation to the charity.

(3) Section 55 has effect as if for subsections (1) and (2) there were substituted—

(1) Revenue and Customs information may be disclosed under section 54(1) only if it relates to— (a) the exempt charity in relation to which the principal regulator has functions as such, or (b) a subsidiary undertaking of the exempt charity. (2) In subsection (1)(b) “subsidiary undertaking of the exempt charity” means an undertaking (as defined by section 1161(1) of the Companies Act 2006) in relation to which— (a) the exempt charity is (or is to be treated as) a parent undertaking in accordance with the provisions of section 1162 of, and Schedule 7 to, the Companies Act 2006, or (b) the exempt charity and one or more other charities would, if they were a single charity, be (or be treated as) a parent undertaking in accordance with those provisions.

(4) Section 57 has effect as if for the definition of “responsible person” in subsection (8) there were substituted a definition specified by regulations under section 25 (meaning of “ principal regulator ”).

(5) Regulations under section 25 may also make such amendments or other modifications of any enactment as the Secretary of State considers appropriate for securing that any disclosure provisions that would otherwise apply in relation to the principal regulator of an exempt charity do not apply in relation to that body or person as principal regulator.

(6) In subsection (5) “disclosure provisions” means provisions having effect for authorising, or otherwise in connection with, the disclosure of information by or to the principal regulator concerned.

(7) In subsection (5) “enactment” includes—

(a) any provision of subordinate legislation (within the meaning of the Interpretation Act 1978), and

(b) a provision of a Measure of the Church Assembly or of the General Synod of the Church of England,

and references to enactments include enactments whenever passed or made.

Disclosure: supplementary

59

(1) Nothing in sections 54 to 57 (or in those sections as applied by section 58(1) to (4)) authorises the making of a disclosure which—

(a) contravenes the data protection legislation, or

(b) is prohibited by any of Parts 1 to 7 or Chapter 1 of Part 9 of the Investigatory Powers Act 2016.

(2) In this section, “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act).

Supply of false or misleading information to Commission etc.

60

(1) It is an offence for a person knowingly or recklessly to provide the Commission with information which is false or misleading in a material particular if the information is provided—

(a) in purported compliance with a requirement imposed by or under this Act, or

(b) otherwise than as mentioned in paragraph (a) but in circumstances in which the person providing the information—

(i) intends, or

(ii) could reasonably be expected to know,

that it would be used by the Commission for the purpose of discharging its functions under this Act.

(2) It is an offence for a person wilfully to alter, suppress, conceal or destroy any document which the person is or is liable to be required, by or under this Act, to produce to the Commission.

(3) A person guilty of an offence under this section is liable—

(a) on summary conviction, to a fine not exceeding the statutory maximum;

(b) on conviction on indictment, to imprisonment for a term not exceeding 2 years or to a fine, or both.

(4) In this section references to the Commission include references to any person conducting an inquiry under section 46.

Part 6 — Cy-près powers and assistance and supervision of charities by court and Commission

Cy-près powers and variation of charters

Duty of trustees in relation to application of property cy-près

61

It is hereby declared that a trust for charitable purposes places a trustee under a duty, where the case permits and requires the property or some part of it to be applied cy-près, to secure its effective use for charity by taking steps to enable it to be so applied.

Occasions for applying property cy-près

62

(1) Subject to subsection (3), the circumstances in which the original purposes of a charitable gift can be altered to allow the property given or part of it to be applied cy-près are—

(a) where the original purposes, in whole or in part—

(i) have been as far as may be fulfilled, or

(ii) cannot be carried out, or not according to the directions given and to the spirit of the gift,

(b) where the original purposes provide a use for part only of the property available by virtue of the gift,

(i) the property available by virtue of the gift, and

(ii) other property applicable for similar purposes,

can be more effectively used in conjunction, and to that end can suitably, regard being had to the appropriate considerations, be made applicable to common purposes,

(d) where the original purposes were laid down by reference to—

(i) an area which then was but has since ceased to be a unit for some other purpose, or

(ii) a class of persons or an area which has for any reason since ceased to be suitable, regard being had to the appropriate considerations, or to be practical in administering the gift, or

(e) where the original purposes, in whole or in part, have, since they were laid down—

(i) been adequately provided for by other means,

(ii) ceased, as being useless or harmful to the community or for other reasons, to be in law charitable, or

(iii) ceased in any other way to provide a suitable and effective method of using the property available by virtue of the gift, regard being had to the appropriate considerations.

(2) In subsection (1) “the appropriate considerations” means—

(a) (on the one hand) the spirit of the gift concerned, and

(b) (on the other) the social and economic circumstances prevailing at the time of the proposed alteration of the original purposes.

(3) Subsection (1) does not affect the conditions which must be satisfied in order that property given for charitable purposes may be applied cy-près except in so far as those conditions require a failure of the original purposes.

(4) References in subsections (1) to (3) to the original purposes of a gift are to be read, where the application of the property given has been altered or regulated by a scheme or otherwise, as referring to the purposes for which the property is for the time being applicable.

(5) The court may by scheme made under the court's jurisdiction with respect to charities, in any case where the purposes for which the property is held are laid down by reference to any such area as is mentioned in column 1 in Schedule 4, provide for enlarging the area to any such area as is mentioned in column 2 in the same entry in that Schedule.

(6) Subsection (5) does not affect the power to make schemes in circumstances falling within subsection (1).

Application cy-près: donor unknown or disclaiming

63A

(1) Property given for specific charitable purposes which fail is applicable cy-près as if given for charitable purposes generally, if—

(a) the court or the Commission by order so direct, or

(b) the condition specified in subsection (3), (4) or (6) is met.

(2) An order may be made under subsection (1)(a) if it appears to the court or the Commission—

(a) that it would be unreasonable, having regard to the amounts likely to be returned to the donors, to incur expense with a view to returning the property, or

(b) that it would be unreasonable, having regard to the nature, circumstances and amounts of the gifts, and to the lapse of time since the gifts were made, for the donors to expect the property to be returned.

(3) The condition in this subsection is met if—

(a) the property is a single gift of £120 or less, and

(b) the charity trustees reasonably believe that during the financial year of the charity in which it is given the total amount given by the donor to the charity for the specific charitable purposes is £120 or less,

unless at the time of giving the gift the donor states in writing that the gift must be returned if the specific charitable purposes fail.

(4) The condition in this subsection is met if the property is given by a donor who, after the agreed actions are taken, is not identified or is not found.

(5) The “agreed actions” are those agreed in writing between the charity trustees and the Commission as being reasonable in all the circumstances of the case to identify and find donors.

(6) The condition in this subsection is met if the property consists of—

(a) the proceeds of cash collections made—

(i) by means of collecting boxes, or

(ii) by other means not adapted for distinguishing one gift from another, or

(b) the proceeds of any lottery, competition, entertainment, sale or similar money-raising activity, after allowing for property given to provide prizes or articles for sale or otherwise to enable the activity to be undertaken.

(7) The Secretary of State may by regulations amend subsection (3)(a) or (b) by substituting a different sum for the time being specified there.

Donors treated as unidentifiable

64

(1) For the purposes of section 63 property is conclusively presumed (without any advertisement or inquiry) to belong to donors who cannot be identified, in so far as it consists of—

(a) the proceeds of cash collections made—

(i) by means of collecting boxes, or

(ii) by other means not adapted for distinguishing one gift from another, or

(b) the proceeds of any lottery, competition, entertainment, sale or similar money-raising activity, after allowing for property given to provide prizes or articles for sale or otherwise to enable the activity to be undertaken.

(2) The court or the Commission may by order direct that property not falling within subsection (1) is for the purposes of section 63 to be treated (without any advertisement or inquiry) as belonging to donors who cannot be identified if it appears to the court or the Commission—

(a) that it would be unreasonable, having regard to the amounts likely to be returned to the donors, to incur expense with a view to returning the property, or

(b) that it would be unreasonable, having regard to the nature, circumstances and amounts of the gifts, and to the lapse of time since the gifts were made, for the donors to expect the property to be returned.

Donors treated as disclaiming

65

(1) This section applies to property given—

(a) for specific charitable purposes, and

(b) in response to a solicitation within subsection (2).

(2) A solicitation is within this subsection if—

(a) it is made for specific charitable purposes, and

(b) it is accompanied by a statement to the effect that property given in response to it will, in the event of those purposes failing, be applicable cy-près as if given for charitable purposes generally, unless the donor makes a relevant declaration at the time of making the gift.

(3) A relevant declaration is a declaration in writing by the donor to the effect that, in the event of the specific charitable purposes failing, the donor wishes to be given the opportunity by the trustees holding the property to request the return of the property in question (or a sum equal to its value at the time of the making of the gift).

(4) Subsections (5) and (6) apply if—

(a) a person has given property as mentioned in subsection (1),

(b) the specific charitable purposes fail, and

(5) The trustees holding the property must take the prescribed steps for the purpose of—

(a) informing the donor of the failure of the purposes,

(b) enquiring whether the donor wishes to request the return of the property (or a sum equal to its value), and

(6) If those trustees have taken all appropriate prescribed steps but—

(a) they have failed to find the donor, or

(b) the donor does not within the prescribed period request the return of the property (or a sum equal to its value),

section 63(1) applies to the property as if it belonged to a donor within section 63(1)(b) (application of property where donor has disclaimed right to return of property).

(7) If—

(a) a person has given property as mentioned in subsection (1),

(b) the specific charitable purposes fail, and

section 63(1) similarly applies to the property as if it belonged to a donor within section 63(1)(b).

(8) For the purposes of this section—

(a) “solicitation” means a solicitation made in any manner and however communicated to the persons to whom it is addressed,

(b) it is irrelevant whether any consideration is or is to be given in return for the property in question, and

(i) solicitations that are accompanied by statements within subsection (2)(b), and

(ii) solicitations that are not so accompanied,

a person giving property as a result of the appeal is to be presumed, unless the contrary is proved, to have responded to the former solicitations and not the latter.

Unknown and disclaiming donors: supplementary

66

(1) For the purposes of section 63A, charitable purposes are to be treated as failing if any difficulty in applying property to those purposes makes that property or the part not applicable cy-près available to be returned to the donors.

(1A) Where property is applied cy-près by virtue of section 63A, all the donor’s interest in it is treated as having been relinquished when the gift was made.

(2) In section 63A and this section—

(a) references to a donor include persons claiming through or under the original donor, and

(b) references to property given include the property for the time being representing the property originally given or property derived from it.

(3) Subsection (2) applies except in so far as the context otherwise requires.

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Cy-près schemes

67

(1) The power of the court or the Commission to make schemes for the application of property cy-près must be exercised in accordance with this section.

(2) Where any property given for charitable purposes is applicable cy-près, the court or the Commission may make a scheme providing for the property to be applied—

(a) for such charitable purposes, and

(b) (if the scheme provides for the property to be transferred to another charity) by or on trust for such other charity,

as it considers appropriate, having regard to the matters set out in subsection (3).

(3) The matters are—

(a) the spirit of the original gift,

(b) the desirability of securing that the property is applied for charitable purposes which are close to the original purposes, and

(c) the need for the relevant charity to have purposes which are suitable and effective in the light of current social and economic circumstances.

The “relevant charity” means the charity by or on behalf of which the property is to be applied under the scheme.

(4) If a scheme provides for the property to be transferred to another charity, the scheme may impose on the charity trustees of that charity a duty to secure that the property is applied for purposes which are, so far as is reasonably practicable, similar in character to the original purposes.

(5) In this section references to property given include the property for the time being representing the property originally given or property derived from it.

(6) In this section references to the transfer of property to a charity are references to its transfer—

(a) to the charity,

(b) to the charity trustees,

(d) to a person nominated by the charity trustees to hold it in trust for the charity,

as the scheme may provide.

(7) In this section references to the original purposes of a gift are to be read, where the application of the property given has been altered or regulated by a scheme or otherwise, as referring to the purposes for which the property is for the time being applicable.

Charities governed by charter, or by or under statute

68

(1) Subsection (2) applies where a Royal charter establishing or regulating a body corporate is amendable by the grant and acceptance of a further charter.

(2) A scheme relating to the body corporate or to the administration of property held by the body (including a scheme for the cy-près application of any such property)—

(a) may be made by the court under the court's jurisdiction with respect to charities even though the scheme cannot take effect without the alteration of the charter, but

(b) must be so framed that the scheme, or such part of it as cannot take effect without the alteration of the charter, does not purport to come into operation unless or until Her Majesty thinks fit to amend the charter in such manner as will permit the scheme or that part of it to have effect.

(3) Subsection (4) applies where, under—

(a) the court's jurisdiction with respect to charities or the corresponding jurisdiction of a court in Northern Ireland, or

(b) powers conferred by this Act or by any Northern Ireland legislation relating to charities,

a scheme is made with respect to a body corporate and it appears to Her Majesty expedient, having regard to the scheme, to amend any Royal charter relating to that body.

(4) Her Majesty may, on the application of the body corporate, amend the charter accordingly by Order in Council in any way in which the charter could be amended by the grant and acceptance of a further charter; and any such Order in Council may be revoked or varied in the same manner as the charter it amends.

(5) The jurisdiction of the court with respect to charities is not excluded or restricted in the case of a charity of a description mentioned in Schedule 5 by the operation of the enactments or instruments there mentioned in relation to that description.

(6) A scheme established for a charity of a description mentioned in Schedule 5—

(a) may modify or supersede in relation to it the provision made by any such enactment or instrument as if made by a scheme of the court, and

(b) may also make any such provision as is authorised by that Schedule.

Powers of Commission to make schemes etc.

Commission’s concurrent jurisdiction with High Court for certain purposes

69

(1) The Commission may by order exercise the same jurisdiction and powers as are exercisable by the High Court in charity proceedings for the following purposes—

(a) establishing a scheme for the administration of a charity;

(b) appointing, discharging or removing a charity trustee or trustee for a charity, or removing an officer or employee;

(c) vesting or transferring property, or requiring or entitling any person to call for or make any transfer of property or any payment.

(2) Subsection (1) is subject to the provisions of this Act.

(3) If the court directs a scheme for the administration of a charity to be established—

(a) the court may by order refer the matter to the Commission for it to prepare or settle a scheme in accordance with such directions (if any) as the court sees fit to give, and

(b) any such order may provide for the scheme to be put into effect by order of the Commission as if prepared under subsection (1) and without any further order of the court.

Restrictions on Commission’s concurrent jurisdiction

70

(1) The Commission does not have jurisdiction under section 69 to try or determine—

(a) the title at law or in equity to any property as between—

(i) a charity or trustee for a charity, and

(ii) a person holding or claiming the property or an interest in it adversely to the charity, or

(b) any question as to the existence or extent of any charge or trust.

(2) Subject to the following subsections, the Commission must not exercise its jurisdiction under section 69 as respects any charity except—

(a) on the application of the charity,

(b) on an order of the court under section 69(3), or

(3) In the case of a charity whose gross income does not exceed £500 a year, the Commission may exercise its jurisdiction under section 69 on the application of—

(a) any one or more of the charity trustees,

(b) any person interested in the charity, or

(4) Subsection (5) applies where in the case of a charity, other than an exempt charity, the Commission—

(a) is satisfied that the charity trustees—

(i) ought in the interests of the charity to apply for a scheme, but

(ii) have unreasonably refused or neglected to do so, and

(b) has given the charity trustees an opportunity to make representations to it.

(5) The Commission—

(a) may proceed as if an application for a scheme had been made by the charity, but

(b) may not, where it acts by virtue of this subsection, alter the purposes of a charity unless 40 years have elapsed from the date of the charity's foundation.

(6) Where—

(a) a charity cannot apply to the Commission for a scheme because of any vacancy among the charity trustees or the absence or incapacity of any of them, but

(b) such an application is made by such number of the charity trustees as the Commission considers appropriate in the circumstances of the case,

the Commission may nevertheless proceed as if the application were an application made by the charity.

(7) The Commission may on the application of any charity trustee or trustee for a charity exercise its jurisdiction under section 69 for the purpose of discharging the applicant from trusteeship.

(8) The Commission must not exercise its jurisdiction under section 69 in any case (not referred to it by order of the court) which—

(a) because of its contentious character, or any special question of law or of fact which it may involve, or

(b) for other reasons,

the Commission may consider more fit to be adjudicated on by the court.

Exercise of Commission’s concurrent jurisdiction: notice

71

(1) Before exercising any jurisdiction under section 69 otherwise than on an order of the court, the Commission must give notice of its intention to do so to each of the charity trustees except any—

(a) that cannot be found or has no known address in the United Kingdom, or

(b) who is party or privy to an application for the exercise of the jurisdiction.

(2) Any such notice—

(a) may be given by post, and

(b) if given by post, may be addressed to the recipient's last known address in the United Kingdom.

Power to alter sum specified in s.70(3)

72

If the Secretary of State thinks it expedient to do so—

(a) in consequence of changes in the value of money, or

(b) with a view to increasing the number of charities in respect of which the Commission may exercise its jurisdiction under section 69 in accordance with section 70(3),

the Secretary of State may by order amend section 70(3) by substituting a different sum for the sum for the time being specified there.

Powers to make schemes altering provision made by Acts, etc.

73

(1) If it appears to the Commission that a scheme should be established for the administration of a charity, but also—

(a) that it is necessary or desirable for the scheme—

(i) to alter the provision made by an Act establishing or regulating the charity, or

(ii) to make any other provision which goes or might go beyond the powers exercisable by the Commission apart from this section, or

(b) that it is for any reason proper for the scheme to be subject to parliamentary review,

the Commission may (subject to subsection (7)) settle a scheme accordingly with a view to its being given effect under this section.

(2) A scheme settled by the Commission under this section may be given effect by order of the Secretary of State.

(3) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(4) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(5) ... Any provision of a scheme brought into effect under this section may be modified or superseded by the court or the Commission as if it were a scheme brought into effect by order of the Commission under section 69.

(6) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

(7) The Commission must not proceed under this section without the same application, and the same notice to the charity trustees, as would be required if the Commission was proceeding (without an order of the court) under section 69.

(8) But on any application for a scheme, or in a case where it acts by virtue of section 70(5) or (6), the Commission may proceed under this section or section 69 as appears to it appropriate.

Reading this document does not replace reading the official text published on legislation.gov.uk. Contains public sector information licensed under the Open Government Licence v3.0. We assume no responsibility for any inaccuracies arising from the conversion of the original CLML XML to this format.

This text is published under legislation.gov.uk's own terms of reuse, not a Legalize or public-domain licence. legislation.gov.uk
Open Government Licence v3.0 (attribution required)
© Crown and database right. Derived from content available under the Open Government Licence v3.0 from legislation.gov.uk.