Charities: Advancement of Religion

Lord Parkinson of Whitley Bay Excerpts

Wednesday 26th November 2025 Lords Chamber

[Baroness Twycross (Lab)]

My understanding is that a number of the measures being considered would not require primary legislation, but others might at some point in the future. I am happy to write to the noble Lord relating to the specific point that he raises.

[Lord Parkinson of Whitley Bay (Con)]

My Lords, the vast majority of charities work for the benefit of everybody, whatever their religion or their sex, so why did the Chancellor not take the opportunity earlier today to reverse the punitive rise in employer national insurance contributions that she imposed on charities in her last Budget, which many charities have warned will lead to hiring freezes or job losses?

[Baroness Twycross (Lab)]

The noble Lord will be aware that we doubled the employment allowance to £10,500 at the previous Budget so that more than half of businesses, including charities, with NICs liabilities would either gain or see no change. Employers will also continue to benefit from NICs reliefs, including for hiring those under 21 and apprentices under 25 where eligible. We provided charitable tax reliefs and exemptions worth £6 billion in the year 2023-24. The biggest individual reliefs provided are gift aid, at £1.6 billion, and business rates relief, at nearly £2.4 billion. With the civil society covenant being a key priority for this Government, we are supporting charities to deliver for the country.