Fundraising News: Charities Bill may require stricter CRM rules

Tania Mason

The draft Charities Bill is expected to require companies that enter into cause-related marketing deals to be much more specific about what the charity will get out of them, according to Rosamund McCarthy, a partner at Bates, Wells and Braithwaite solicitors.

McCarthy believes the current requirement, that companies must "state in general terms the method by which sums payable to the charity are calculated", is too vague. McCarthy has been lobbying the Government to make companies be more specific about their contributions.

She told the Marketing for Good conference, held earlier this month, that the Home Office had intimated to her that the rules would be tightened up in the forthcoming draft Charities Bill.

However, the Institute of Fundraising does not support stricter legislation, because it fears it might put some companies off such partnerships, and because in many partnerships it is impossible to predict how much a charity would make.

Andrew Watt, head of policy at the institute, said: "Of course we support the principle of transparency here but, in practice, it can be very difficult to identify the precise amount that a charity will receive from a payment.

"We do not believe that legislation should prescribe the ways in which this should be achieved."

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