Rishi Sunak, the Chancellor of the Exchequer, unveiled his Spring Budget in the House of Commons last week, with an extension to the furlough scheme and social investment tax relief amongst the biggest announcements affecting charities and voluntary organisations.
A number of charity sector organisations, many of which had been calling for additional measures to support voluntary sector organisations during the ongoing pandemic, have criticised the lack of announcements in the Spring Budget to support charities. The charity leaders body ACEVO said the government was “taking the charity sector for granted”, while the Charity Finance Group said the government had “once again failed to recognise the vital role civil society plays.”
Some of the main announcements from the budget affecting charities and other not for profit organisations have been summarised below:
Whilst senior figures in the charity sector had hoped that the budget would include further support for the sector, it is imperative that charitable organisations maximise the use of the funding and support measures that are available to them.
Although the Prime Minister has recently announced a roadmap for the release of restrictions, it remains an incredibly challenging time for charitable organisations operating across various sectors. A large number of charities have needed to dip into their reserves in order to keep operating over the past twelve months and it remains key that the management and trustees for all organisations closely manage cash and future cashflows.