A parliamentary motion to increase the regulatory burden on
charities that are currently exempt from registering with the
commission was due to come into force on 1 April.
But Labour
peer Baroness Crawley announced at the end of a debate in the House of
Lords on Tuesday that the date had been put back two months to give
friends' organisations more time to prepare.
The Government is
introducing a 'principal regulator approach' under which many exempt
charities will have to report to existing regulators in their sectors,
such as the Higher Education Funding Council for England,
which will become responsible for ensuring compliance with charity law
and will refer difficult cases to the Charity Commission.
Where no principal regulator exists, charities with incomes above £100,000 will be required to register with the commission.
Tory peer Viscount Eccles said there had been no formal public
consultation or impact assessment about removing exempt status from
groups such as friends' organisations, university colleges and halls,
higher education institutions in Wales and the Museum of London.
"We lack that evidence," said Eccles. "Instead we have draft
regulations, sketchily explained and unilaterally imposed by the
Cabinet Office on behalf of the Office of the Third Sector."
He suggested consideration should be given to abolishing exempt status and making all charities register with the commission.
Eccles said he had heard that there were "already issues between the
commission and an Oxford college or two" about the impending removal of
exempt status.
"I doubt whether the commission has had any
experience of dealing with charities such as the Oxford colleges, some
of which have been going for rather a long time and have statutes and
ways of doing things that are quite particular," he said.
Eccles, a member of the Friends of the British Library,
said friends' organisations linked to institutions regulated by
organisations other than the commission might be forced to de-register
as charities, which would damage public confidence and lead to a loss
of Gift Aid.
Crawley said it appeared that friends' organisations governed independently would remain registered with the commission.
But she said implementation of the motion was being delayed to allow
more time for consideration of the issues relating to friends'
organisations.