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Charities given 'last chance' on fundraising | |
(about 4 hours later) | |
Charities' fundraising activities could be controlled by law unless a new voluntary regulator succeeds in cleaning up the sector, a committee of MPs has warned in a report. | Charities' fundraising activities could be controlled by law unless a new voluntary regulator succeeds in cleaning up the sector, a committee of MPs has warned in a report. |
They said it was the "last chance" for self-regulation of charity fundraising. | They said it was the "last chance" for self-regulation of charity fundraising. |
The new regulator is being set up following scandals last summer, when unscrupulous fundraisers were accused of targeting old and vulnerable givers. | The new regulator is being set up following scandals last summer, when unscrupulous fundraisers were accused of targeting old and vulnerable givers. |
MPs said most charities did not engage in such practices. | MPs said most charities did not engage in such practices. |
But the behaviour of some had damaged the reputation of all, they said. | But the behaviour of some had damaged the reputation of all, they said. |
Charity trustees who had permitted scandalous fundraising methods were either "incompetent or wilfully blind", the Public Administration and Constitutional Affairs Committee (PACAC) said. | Charity trustees who had permitted scandalous fundraising methods were either "incompetent or wilfully blind", the Public Administration and Constitutional Affairs Committee (PACAC) said. |
Poppy seller's death | Poppy seller's death |
Committee chairman Bernard Jenkin said: "This is the last chance for the trustees of charities, who allowed this happen, to put their house in order. | Committee chairman Bernard Jenkin said: "This is the last chance for the trustees of charities, who allowed this happen, to put their house in order. |
"Ultimately, the responsibility rests with them. No system of regulation can substitute for effective governance by trustees." | "Ultimately, the responsibility rests with them. No system of regulation can substitute for effective governance by trustees." |
Fundraising practices came under scrutiny in 2015 after the death of 92-year-old Olive Cooke, one of Britain's longest-serving poppy sellers. | Fundraising practices came under scrutiny in 2015 after the death of 92-year-old Olive Cooke, one of Britain's longest-serving poppy sellers. |
She killed herself after complaining she had been plagued by requests for donations from charity fundraisers - more than 200 letters in one month alone. | She killed herself after complaining she had been plagued by requests for donations from charity fundraisers - more than 200 letters in one month alone. |
While her family said that did not contribute to her death, it did highlight the plight of vulnerable people at the mercy of unscrupulous fundraisers. | While her family said that did not contribute to her death, it did highlight the plight of vulnerable people at the mercy of unscrupulous fundraisers. |
Eighty-eight year old Samuel Rae - a former army colonel with dementia - was another victim. | Eighty-eight year old Samuel Rae - a former army colonel with dementia - was another victim. |
Charity fundraising companies sold his details on to other companies including fraudsters who targeted him for £35,000. | Charity fundraising companies sold his details on to other companies including fraudsters who targeted him for £35,000. |
The government's response to the scandals was to set up a review which recommended a new body to regulate the business of raising money. Its first chief executive was appointed before Christmas. | The government's response to the scandals was to set up a review which recommended a new body to regulate the business of raising money. Its first chief executive was appointed before Christmas. |
The PACAC report says the new regulator represents the "last chance" for self-regulation of charity fundraising, and that if it fails, statutory regulation must follow. | The PACAC report says the new regulator represents the "last chance" for self-regulation of charity fundraising, and that if it fails, statutory regulation must follow. |
The MPs say it is down to charities' trustees to ensure the methods their organisations use are ethical. | The MPs say it is down to charities' trustees to ensure the methods their organisations use are ethical. |
If not, they risk damaging the reputation of all charities and their ability to raise money, the MPs add. | If not, they risk damaging the reputation of all charities and their ability to raise money, the MPs add. |
Rob Wilson, minister for civil society, said: "I have made it clear that the sector has one last chance to prove that self regulation can work, but I am willing to step in and impose statutory regulation if necessary." | Rob Wilson, minister for civil society, said: "I have made it clear that the sector has one last chance to prove that self regulation can work, but I am willing to step in and impose statutory regulation if necessary." |
Sir Stuart Etherington, chief executive of the National Council for Voluntary Organisations, who chaired the government review, said: "It is crucial that charities' fundraising operations reflect their values just as much as other areas of their work do. | Sir Stuart Etherington, chief executive of the National Council for Voluntary Organisations, who chaired the government review, said: "It is crucial that charities' fundraising operations reflect their values just as much as other areas of their work do. |
"While the Charity Commission rightly has a role to play in ensuring that charities are well-governed generally, it is important that we do not lose sight of the principle of self-regulation in fundraising on which everyone is agreed. I am not persuaded for this reason that it is appropriate for the fundraising regulator to report to a government body." | "While the Charity Commission rightly has a role to play in ensuring that charities are well-governed generally, it is important that we do not lose sight of the principle of self-regulation in fundraising on which everyone is agreed. I am not persuaded for this reason that it is appropriate for the fundraising regulator to report to a government body." |