4-03-04

Barrett Calls on Government to Postpone Changes to Gift Aid Regulations

Liberal Democrat MP for Edinburgh West, John Barrett, today called on the Chancellor to abandon plans to remove the ability of conservation and heritage charities to claim gift aid payments on admission charges made by members of the public.

Many local charities are concerned that these changes will cut their revenue from admissions charges by up to 20%. Earlier this week Mr Barrett tabled a parliamentary motion calling on the Government to abandon the plan. His motion has received cross-party support. 

Speaking in the House of Commons today Mr Barrett said:

"The Royal Zoological Society of Scotland is just one of the many charities affected by these proposals. They are acting on the advice of the Minister's department rather than exploiting a loophole.

"Will the Minister urge the Chancellor to postpone any changes in gift aid regulations until after meaningful consultation with affected charities has taken place?" 

In response the Chief Secretary to the Treasury, Paul Boateng, stated:

"The Inland Revenue is having continuing discussions with the sector on the issue of implementation. The need to make sure that Gift Aid is properly focussed is something that I think he will well understand."

ENDS

Notes to Editor

• Mr Barrett Tabled Early Day Motion 727 on the 'Impact of Gift Aid Changes on Conservation and Heritage Charities' this week. The motion has been backed by MPs from 7 different political parties and states:

That this House notes with concern the Chancellor of the Exchequer's proposals to change the law on Gift Aid, ending the existing ability of conservation and heritage charities to claim Gift Aid on day memberships; recognises that Gift Aid can account for up to 20 per cent. of some charity admission incomes and believes the Treasury proposals could have a serious and negative impact on these charities financially, putting into jeopardy many charity development plans and, in some cases, the ability of some charities to continue; and therefore calls on the Chancellor to recognise the potential damage of the proposals on such charities across the UK by announcing a reversal in his plans in his March Budget statement.