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by Jay Kennedy, Policy Officer, Directory of Social Change
A new, simplified constitution for very small charities has been launched by the Charity Commission in partnership with a number of umbrella bodies across the charity sector.
The new constitution is designed to provide a concise, practical framework for charities with an income of under £5,000. It uses clear, direct language that is easy to understand, is only 700 words long and covers all the requirements for a very small charity which does not own land or employ staff.
Charities with an income of less than £5,000 do not need to register with the Charity Commission, but are still subject to charity law. If the income of the charity grows larger than £5,000, the charity will need to register with the Commission and will need a more comprehensive governing document.
The partnership approach combines the Charity Commission’s extensive experience of charity law with the partners’ in-depth knowledge of community development, to ensure it will be a practical and helpful document for people who want to set up a very small charity. The document has already been piloted by Welsh County Voluntary Councils to ensure it is a practical and effective tool for very small charities.
DSC is very pleased to have been involved in the development and promotion of this model constitution. The Charity Commission’s approach is an enabling one very much in line with DSC’s principle of Responsible Regulation – helping organisations to comply with charity law by providing relevant regulation in an accessible, understandable, and proportionate way.
For more information, including the downloadable constitution, go to:
http://www.charitycommission.gov.uk/registration/smallcharity.asp