| Act of Parliament | |
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| Long title | An Act to provide for the establishment and functions of the Charity Commission for England and Wales and the Charity Tribunal; to make other amendments of the law about charities, including provision about charitable incorporated organisations; to make further provision about public charitable collections and other fund-raising carried on in connection with charities and other institutions; to make other provision about the funding of such institutions; and for connected purposes. |
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| Citation | 2006 c. 50 |
| Dates | |
| Royal assent | 8 November 2006 |
| Other legislation | |
| Relates to | Charities Act 2011 |
| History of passage through Parliament | |
| Text of statute as originally enacted | |
| Revised text of statute as amended | |
TheCharities Act 2006 (c. 50) is anact of theParliament of the United Kingdom intended to alter the regulatory framework in which charities operate, partly by amending theCharities Act 1993. The act was mostly superseded by theCharities Act 2011, which consolidates charity law in the UK.
The act contains three main provisions: definition of the requirements to qualify as a charity, the establishment of aCharity Tribunal to hear appeals from decisions of theCharity Commission, and alterations to the requirements for registering charities.
The act imposes conditions on bodies wishing to attain or maintain charitable status.[2]
For the purposes of the law, a charitable organisation must demonstrate that it serves thepublic interest, and that its purpose lies entirely in the promotion of one or more of the following causes:
Prior to 2008, the law assumed that advancement of education or religion were automatically in the public interest. A "public benefit" now needs to be demonstrated.[2]
The act established a "Charity Tribunal" to hear appeals from decisions of the Charity Commission, which previously lay only to theHigh Court. The tribunal was abolished in September 2009 and its functions transferred to theFirst-tier Tribunal.
The act raises the threshold above which registration is required with the Charity Commission from £1,000 to £5,000. This is intended to reduce administration costs for small charities. In addition, charities which fall under certain exempted categories under the 1993 act (such as certain Christian denominations) are now only exempted if their gross annual income is less than £100,000.
The following orders have been made under section 79(2):