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The voice of Scotland’s vibrant voluntary sector

Published by Scottish Council for Voluntary Organisations

TFN is published by the Scottish Council for Voluntary Organisations, Mansfield Traquair Centre, 15 Mansfield Place, Edinburgh, EH3 6BB. The Scottish Council for Voluntary Organisations (SCVO) is a Scottish Charitable Incorporated Organisation. Registration number SC003558.

Westminster must give voluntary sector the support it needs to flourish

This opinion piece is over 3 years old
 

Alison Thewliss is asking the Chancellor to temporarily raise Gift Aid to deliver a much-needed financial boost to organisations

The critical work undertaken by the charitable and voluntary sector has been brought into sharp focus during the Covid-19 pandemic. Organisations of all shapes and sizes have been supporting communities throughout the pandemic, as highlighted in Scotland and across the UK by the Never More Needed campaign. It’s right that we recognise the monumental efforts undertaken by NHS and other public sector staff during these tough times, but we must not forget about the third sector who, despite myriad challenges, continue to adapt their services to ensure that communities and individuals remain supported.

Throughout the pandemic, the voluntary sector has been instrumental to ensuring our communities are resilient enough to weather the many emerging challenges – be it delivering food security, tackling rough sleeping, combating loneliness, improving digital connectivity or finding safe places for those experiencing domestic abuse.

The voluntary sector has not been immune to the various pressures brought about by coronavirus. We are living in a time where demand for some services has increased dramatically while income sources have been restricted. In turn this has led to many charities fighting for their own survival. According to figures from the Office of the Scottish Charity Regulator (OSCR), 79% of charities who receive income from donations and fundraising reported a decrease in giving. Likewise, 83% of charities who receive income from trading reported a decline from this source.

Indeed, many of the conventional methods for fundraising, be it sponsored marathons and other challenges, proceeds from charity retail shops, regular events and other funding streams besides have been closed off as a result of government restrictions, making it extremely challenging for groups to sustain themselves. At the same time charities have been involved in organising food parcels, collecting prescriptions, arranging contact time and transport for vulnerable people, and countless other activities during these tumultuous times.

In my own constituency of Glasgow Central, voluntary organisations continue to work to help those less fortunate, be it Refuweegee ensuring that new arrivals to Glasgow can access the food, clothing, toiletries and other essentials they need for a better start in their new home, or the likes of the Simon Community, helping to provide meals and other support to those who are homeless or sleeping rough.

It is for these reasons that I have written to the Chancellor to ask that the effective rate of Gift Aid is temporarily lifted from 20% to 25%, which would increase a £100 donation from a UK taxpayer to £133.33 (currently £125) with Gift Aid. It is estimated that this would deliver an additional £450m to the voluntary sector. I have also called for the expansion of the Gift Aid Small Donations scheme, to make it easier for smaller organisations to claim on gift aid for the first time. This is but one part of a package of support that I believe must be introduced specifically for the sector at this budget.

Such a move would not only go some way to making up for the £560m of Gift Aid that goes unclaimed each year, but could also help boost public giving to charities. Indeed, research shows that 41% of people who already donate would be more likely to give to charity if their giving was ‘topped up’ by government incentives.

More than anything else, our voluntary and charitable organisations deserve to have their considerable efforts recognised by the UK Government. This isn’t just about warm words, it’s about recognising that without proper sustained investment and support, many of the invaluable services that so many of us already rely on might not be there when others need them most.

With the Chancellor set to announce his budget on Wednesday (3 March), I hope he will recognise the vital role the sector plays and introduce the measures needed to ensure voluntary organisations not only weather this storm, but are in good health to help Scotland’s communities rebuild from the challenges brought by the pandemic.

Alison Thewliss is MP for Glasgow Central and SNP Shadow Chancellor