Chancellor's charity U-turn welcomed

By Sarai Sinai, May 31, 2012
Chancellor George Osborne has dropped plans to cut tax relief for charities

Chancellor George Osborne has dropped plans to cut tax relief for charities

The decision by Chancellor George Osborne to drop his controversial plans to cut tax relief for big charity donors has been welcomed by many Jewish charities which had lobbied against the decision.

The move would have meant that some of the largest and most important donations to charity organisations would have been significantly reduced, but Jewish charities, including Norwood, were “delighted” to hear that this would no longer be the case.

Elaine Kerr, chief executive of the children's charity, Norwood, applauded the government’s decision to withdraw the proposal, declaring that they had “lobbied extensively for this decision”. She said Norwood had wanted to “highlight the potential damage” which could have been done to the funding that the charity relies on to maintain its “life-changing services”.

Douglas Krikler, chief executive of UJIA, also praised the decision to drop the proposal, stating that “the unintended consequences of the proposed cap could have had a disastrous impact on our income from major donors”.

Alongside the “general pressures of economic uncertainty”, which has already caused donors to cut back on their average donations, this decision would have been a “real concern” for Jewish charities.

Leon Smith, chief executive of the care home group, Nightingale Hammerson, also stressed the importance of charities in “supporting vulnerable people with pleasure and with pride”.

Mr Smith regarded this decision as a “fantastic victory” for all those who campaigned for the proposal to be overturned.

The Jewish Leadership Council said it warmly welcomed the Chancellor’s announcement, adding:"We echo the words of the NCVO that this is a victory for common sense; and we are proud of the role played by many of our
member charities as part of the broader third sector campaign that achieved this success."

Last updated: 1:11pm, June 1 2012