Charitable Registration

Mark Durkan Excerpts

Tuesday 13th November 2012 Westminster Hall

[Fiona Bruce]

My hon. Friend makes a characteristically astute point and I thank him for it.

I specifically want to mention the Preston Down Trust, because it is the subject of the appeal. I have additional information about its social action in the past two to three months, including the provision of free meals to members of the public, assisting at accidents, collecting for charity and street preaching and the distribution of tracts. It has that in common with all Plymouth Brethren churches. Surely no one can argue that they do not provide public benefit.

On the website, the Brethren say that

“we hold the same faith as every true Christian, we publicly preach the gospel and engage with the broader community through fund-raising and volunteer work. We work and live alongside people from many walks of life and many Brethren own businesses that collectively employ thousands of non-Brethren. Brethren characteristically are caring, active and contributing members of their local community.”

Someone might say, “Well, they would say that, because they are saying it about themselves”, but I assure people that I have spoken with a constituent of mine who describes himself as a lapsed atheist. He is certainly not a Christian, by his own admission, and he works for one of the several Plymouth Brethren businesses in my constituency. His name is Glyn Rushton, he is happy to go on the record and he works with Delta Balustrades, where he is a production manager. He got his job through the jobcentre in 2005 and he has the utmost respect for the Brethren, describing them as model employers:

“I would always view Brethren as a force for good in any area. They are industrious, independent minded people who care about those around them. They set out to solve more problems than they create and rarely feature in crime statistics”.

His point about the positive aspects of the Brethren way of life should not go unnoticed, and I draw attention to page 17 of the booklet to which I referred earlier.

It is important to raise the issue of information circulating on some internet sites that gives a negative portrayal of experiences to do with the Plymouth Brethren. I understand that such matters have not been a cause of the Charity Commission deciding to refuse charitable status. In a letter of 7 June, the commission states:

“We do not have any evidence before us at this time to demonstrate disadvantage which may serve to negate public benefit.”

No one would claim that any organisation is perfect, but if the Charity Commission has any such concerns the proper thing to do is to investigate thoroughly and to substantiate or discount them. At present, however, having checked with the Plymouth Brethren as late as this morning, I understand that that is not an issue in the appeal case of the Preston Down Trust.

[Mark Durkan (Foyle) (SDLP)]

I commend the hon. Lady, as others have done, for initiating the debate. She and I served on the Bill Committee that considered the Small Charitable Donations Bill and, in that context, it is clear that the Government have gone to some lengths to make quite elaborate and convoluted provision to take care of the differing set-ups and networks of the Catholic Church and the Church of England, though not much by way of smaller Churches. Does she accept that we Members of Parliament might have an opportunity, when that Bill returns to the Chamber in a couple of weeks, to support an amendment that would clarify that local churches as well as community amateur sports clubs should be included in the working definition of charities and at least come under the definition of community benefit?

[Fiona Bruce]

I thank the hon. Gentleman for that intervention. I remember that aspect of the debate, and certainly that is something that could be considered.

Members have spoken about how many other faith groups are concerned about the legislation. It is interesting, therefore, to look back at the debate in 2006, when the Charities Act was passed in the House. The right hon. Member for Doncaster North (Edward Miliband), now the Leader of the Opposition, said that

“it is right that public benefit must be shown, but…at least for religion, the obligation will not be onerous. We have accepted, and I think others have, too, that making provision for people to attend acts of worship is clearly a public benefit. It is clear in case law, and it will remain part of the charity law of this country. Religions have nothing to fear.”—[Official Report, 26 June 2006; Vol. 448, c. 96.]

It would appear that religious charities now very much have something to fear.

Several commentators have remarked on the issue, and I want to draw attention to some of them, because it is important to demonstrate that concern exists about it among not only a huge swathe of parliamentarians but people in authority outside the House. Last week, the former Archbishop of Canterbury, Lord Carey, said he was “very concerned” and was quoted as saying:

“I do believe we need to hold the Charity Commission to account as much as they hold any religion and social service to account. I believe that Christianity has a huge and great record in terms of serving the community, in terms of education and all kinds of ways.”

Other people have expressed concern. Lord Boateng wrote to me:

“I believe the Charity Commission has exceeded its mandate and needs to be reined in. I believe people of faith have much to fear from this decision and will support all measures brought to Parliament to reverse it.”

A highly respected charity law practitioner, Robert Meakin, has written a book, which I have with me, called, “The Law of Charitable Status: Maintenance and Removal”—quite a triumph to read over the weekend, although I say so myself. His words date back to 2008, although I notice that the copy in the Library was in pristine condition:

“The law of public benefit is confusing and as a result the Commission cannot be confident of its powers to remove charities from the Register… there is a need for greater clarity about the Commission’s powers.”

Interestingly, he also refers to a 1948 House of Lords decision in a famous case, the National Anti-Vivisection Society v. the Inland Revenue Commissioners, in which Lord Simonds stated that

“only a radical change in circumstances, established by sufficient evidence”

should justify holding an object not to be charitable which in earlier ages has been held to possess that virtue. As mentioned, the Plymouth Brethren have been registered as a charity for some 50 years.

Mr Meakin also says that it should be rare for charities to be removed from the register. He says that there is no power in the Charities Act authorising the commission to decide questions of charitable status judicially:

“Its role is to register charities and in doing so it must follow general law but there are so few decisions of the Court and legislation that the Commission is forced into becoming a de facto law-maker”,

rightly pointing out the importance therefore of clarifying the issue. He also mentions the importance of public confidence, in the commission and in the status of charitable registration.

--- Later in debate ---

[Mark Durkan (Foyle) (SDLP)]

I will not say ditto completely to the hon. Member for North Antrim (Ian Paisley), but I join other hon. Members in commending the hon. Member for Congleton (Fiona Bruce) on raising this important issue. It is clear from the indications that the Charity Commission has given that this will be an escalating premise if the precedent is allowed to stand, which is why everyone should be worried.

In an intervention, I referred to the Small Charitable Donations Bill, which provides the opportunity to say who should qualify for gift aid on additional schemes. In the Bill Committee, I asked the Economic Secretary whether HMRC, in its conduct of gift aid and the associated scheme under the Bill, would be bound by the Charity Commission’s decisions, or whether it would make its own judgment. He said that HMRC would apply its own understanding of the Charities Act, but I now understand that HMRC is withholding some gift aid payments from Brethren trusts pending the outcome of the tribunal. It seems to me that Members who are rightly putting questions to the Minister today and thundering at the Charity Commission for the adverse implications of what it is doing will have our chance, as parliamentarians, in a couple of weeks’ time. I hope that some of us gathered here can put our heads together and propose an amendment to the Bill that will ensure the concept of community buildings, as provided for in the Bill, is not confined, elaborately and convolutedly, to the Catholic Church or the Church of England, but applies to all Churches.

Like other hon. Members, I think it is terrible that the Brethren have to try and advertise the benefit that they provide to the public. They help the public in my constituency and they are passionately and socially engaged. The emphasis in their living guidance on separation should not be misinterpreted and misrepresented, as the Charity Commission has done. They have never wanted to advertise it—no Pharisees they—and they should not have been driven into this position. As parliamentarians, we have the opportunity to draw a line under this in a couple of weeks.

[Mr David Burrowes (Enfield, Southgate) (Con)]

Is it not the case that we also had chance, as I did, when I was a member of the Select Committee on Public Administration, to question the Charity Commission and others about the implications of the changes in legislation? Assurances were given then that there was no intention of this kind of thing happening. When we scrutinised the matter on the Floor of the House, it was said that there was no intention of such a thing happening. To use another analogy, the Charity Commission is a wolf in sheep’s clothing. It has overreached itself, and it needs to get back into line with what Parliament intended and with Select Committee scrutiny. If it cannot do so, we must ensure that we get it back into line.

[Mark Durkan]

I fully endorse the point made by the hon. Gentleman. We should remember that the legislative buck stops with us, and we will have the opportunity to draw a parliamentary line under this in a couple of weeks’ time.

[Jim Dobbin (in the Chair)]

I thank Members for their discipline in what has been an amazingly busy debate. I now call the shadow Minister.