The government is to give the Charity Commission an extra £1m next year.
Documents published by the Treasury about today’s Spending Review show that the regulator’s settlement from central government will rise from £27.3m in the current financial year to £28.3m in the year to the end of March 2022.
It will receive an additional £2.2m for capital spending on items such as buildings and equipment.
It comes as the government announced measures to deal with the economic fallout from the coronavirus pandemic, including a widely criticised cut in spending on overseas aid and a freeze on public sector pay, with the exception of those on the lowest wages.
Helen Stephenson, chief executive of the Charity Commission, said the regulator was pleased with its settlement.
“This increase will allow us to continue our ambitious strategy, ensuring we regulate the sector effectively in the public interest, and provide an efficient and supportive service to charities,” she said.
“The settlement recognises our important role in protecting and promoting public trust in charities – a crucial factor in the country’s successful recovery from the Covid-19 pandemic.”
In 2015, the government said it would freeze the regulator’s resource budget at £20.3m until the end of the decade, only for it to receive an extra £5m a year in interim funding three years later.