New fund-raising rules for charities – some will face bans
“We are very disappointed that the review calls for the closure of the FRSB and a new body to be established to regulate fundraising”.
The review concludes that while the FRSB has “striven hard”, it does not offer a credible form of regulation.
The Information Commissioner’s Office is investigating claims that former Army colonel Samuel Rae was targeted by fraudsters and lost thousands of pounds after his information ended up with scammers. With this in mind, the review recommends the creation of a fundraising preference service that allows individuals to opt out of charity appeals. The review sought evidence from various stakeholders to find out what changes are needed to build public trust in fundraising by charities.
It recommends a new, single regulator, which reports regularly to parliament’s public administration and constitutional affairs committee. The service would be overseen by the new regulator.
“We want to ensure the implementation of any changes to the current fundraising system are developed by charities who are fundraising in Scotland, to protect the interests of both the general public and the beneficiaries”.
Charities that breach the rules will be named and shamed and could be banned from specific methods of fundraising until the problem is resolved, the review suggests.
It led to suggestions from friends that she had been unacceptably hounded, increasing her vulnerability, although her family insisted that the charities were not directly to blame for her death.
“They thought too much about the ends and not enough about the means”, he said.
The IoF’s chief executive Peter Lewis welcomed the panel’s recognition of the need for “a regulator with stronger sanctions and real teeth; greater powers of investigation; and a firm and clear expectation that all charities should have to comply with the standards that are agreed” because that’s what its members had said they wanted to see.
Sir Stuart said, “The reality is that most people give to charities when they are asked to, rather than spontaneously, so charities do need to ask”. They should ensure that the agency adheres to the charity’s values and ethos, has no negative impact on the charity’s reputation or does not cause donors to feel they are being unduly pressured into giving. The recommendations represent a new approach to fundraising self-regulation.
“Charities have to acknowledge the concerns of many people who too often think fundraisers overstep the mark”.
When a charity is working with a professional agency to fundraise, trustees and chief executives should play a more active role in managing the relationship between the two.
The review heard from members of the public who were “frustrated about the lack of control” over how many times they were contacted with fundraising requests.
“Charities rely on the generous donations of people to carry out their good work and it is vital that we take action to ensure public trust”.