The Chancellor has announced a £750 million package of support to ensure charities can continue their vital work during the coronavirus pandemic. Tens of thousands of charities will benefit from the scheme, ensuring they can meet increased demand and allow them to continue operating.
The support package contains a number of measures to support the charity sector, including:
- Directly allocating £360 million to key charities providing key services and supporting vulnerable people during the crisis. This funding will be allocated by Government departments
- Up to £200 million for hospices to help increase capacity and give stability to the sector, including:
- St Johns Ambulance to support the NHS
- Victims charities, including domestic abuse, to help with potential increase in demand for charities providing these services
- Vulnerable children charities, so they can continue delivering services on behalf of local authorities
- Citizens Advice to increase the number of staff providing advice during this difficult time
The scheme also provides:
- £370 million for small and medium-sized charities to support those organisations at the heart of local communities which are making a big difference during the outbreak. The £370 million, including through a grant to the National Lottery Community Fund for those in England, will support organisations that are playing a crucial role in our fight against coronavirus, including those delivering food, essential medicines and providing financial advice.
- A minimum of £20 million to contribute to the National Emergencies Trust appeal. The Government will also match donations made during the BBC’s upcoming Big Night In live fundraising special, with a minimum pledge of £20 million.
This builds on the support the Government has already announced for charities:
- Deferring their VAT bills. The Government is helping with cash flow by deferring the next quarter of VAT, so no organisation will pay VAT until the end of June.
- Paying no business rates for their shops next year. All charity shops are exempt from business rates for 12 months in 2020-21.
- Helping charities to pay their employees’ wages. Through the new Coronavirus Job Retention Scheme, any charity in the country will be eligible for a grant. That means workers across the UK can keep their jobs, and will be paid at least 80 per cent of their salary, even if their employer cannot afford to pay them.
