The Charities (Protection and Social Investment) Act 2016 (“the 2016 Act”) received Royal Assent on 16 March 2016. The Act changes the Charities Act 1992 and the Charities Act 2011 in the following areas:
- Fundraising: by imposing more controls and safeguards around fundraising;
- Social investment: by introducing a new statutory power to make social investments;
- Disqualification of charity trustees; and
- Charity Commission powers.
- For more information see our detailed briefing on the 2016 Act.
Only a few provisions came into effect immediately. Further provisions came into force in July, October and November 2016 and in February 2018.
The remaining provisions will come into force on 1 August 2018.
This table includes details of when the various provisions of the 2016 Act have or will come into force.
|Provision of the 2016 Act||Description||Date of coming into force||Comments|
|Section 1||Official warnings by the Commission||1 November 2016|
|Section 2||Investigations and power to suspend||31 July 2016 (except for references to official warnings which came into force on 1 November 2016)|
|Section 3||Range of conduct to be considered when exercising powers||31 July 2016|
|Section 4||Power to remove trustees etc. following an inquiry||31 July 2016|
|Section 5||Power to remove disqualified trustee||31 July 2016|
|Section 6||Power to direct specified action not to be taken||31 July 2016|
|Section 7||Power to direct winding up||31 July 2016|
|Section 8||Power to direct property to be applied to another charity||31 July 2016|
|Section 9||Automatic disqualification from being a trustee||Section 9(4)(b) (which makes a minor change to the wording of the Charities Act 2011) came into force on 31 July 2016. Section 9 came into force for purposes relating to waiver from disqualification on 1 February 2018. The remainder of Section 9 comes into force on 1 August 2018.|
|Section 10||Power to disqualify from being a trustee||1 October 2016|
|Section 11||Records of disqualification and removal||Section 11(5) came into force on 31 July 2016 and 1 October 2016. Section 11(1) to 11(4) comes in to force on 1 August 2018.|
|Section 12||Participation in corporate decisions while disqualified||1 August 2018|
|Section 13||Fundraising||1 November 2016|
|Section 14||Reserve powers to control fund-raising||31 July 2016|
|Section 15||Power to make social investments||31 July 2016|
|Section 16||Reviews of the operation of this Act||16 March 2016|
|Section 17||Short title, extent and commencement||16 March 2016|
The new edition of The Charities Act Handbook, written by BWB, includes copies of the Charities Acts 1992 and 2011 showing the amendments made by the 2016 Act, together with detailed commentary on the new provisions. Please click here to purchase a copy.
Posted on 12/10/2016 in Legal UpdatesBack to Knowledge