Regulators discuss online charitable giving
On 27 September 2017, the Charity Commission and the Fundraising Regulator convened a meeting with senior representatives from fourteen of the major giving platforms in the UK, to discuss issues around online giving, including possible fraudulent activity, oversight over the end-use of funds, and transparency about fees charged by sites. The aim was to collectively agree principles to increase public understanding and transparency about the different forms of donating on online platforms, in order to secure public trust and confidence.
The Charity Commission and the Fundraising Regulator will report back to the Minister for Civil Society on the progress of discussions and their assessment of the adequacy of the current regulatory framework.
Key areas of discussion
- the role online giving platforms play, and will increasingly play in the future, in connecting people and communities who want to give and those in need
- the tension between the speed of public response to disasters and high profile humanitarian events and the pace with which charities can distribute funds raised to beneficiaries
- the clarity of advice about the choices available to fundraisers (and the consequences of those choices) given by online platforms regarding setting up pages for crowdfunding and person to person fundraising, as well as donating direct to a charity
- further collaborative work to be done to ensure clear and consistent advice is given across different platforms, in particular on issues such as the role Charity Commission, eligibility of donations for Gift Aid and what happens in the event of a failed appeal
- ensurig that counter-fraud processes are in place and committed to, providing regulators and ministers with more detailed information
- the legal responsibility of platforms, acting as commercial participators for charitable donations, to make it clear to donors upfront what proportion of their donation will reach the charity
- a review of the Code of Fundraising Practice, including updating and expanding the standards for online fundraising
- registration with the Fundraising Regulator – which is now open to third party fundraisers including online platforms – and the opportunity to demonstrate public commitment to meeting the highest standards for fundraising
- tackling complaints to the Regulator from the public, in relation to online giving platforms, and ongoing engagement with platforms to resolve complaints and address areas of growing public concern