Joint Committee on the Draft Charities Bill Written Evidence


DCH 73 Acorns Children's Hospice

Acorns Children's Hospice submission to the Joint Committee considering the draft Charities Bill

Summary

We are a medium sized charity in the Midlands with 35 shops and 50% of our stock is obtained by collections made house-to-house. As well as raising funds for our charity we also help recycle unwanted goods and we feel we deliver a vital social benefit to those on low income including the unemployed, students and pensioners.

As we originally made a submission concerning the regulation that should apply to the collection of goods for charity shops we are pleased that the representation that such collections do not pose significant issues of public trust, confidence or capacity has been accepted. The removal of such collections from the licensing regime is very welcome.

However, the benefit of this de-regulatory measure has been totally negated by the specific notification requirements set out in section 66 C (2) of the draft Bill. The requirement to notify the precise day or dates and locations of each collection to local authorities at least 14 days and no more than 6 months in advance takes no account of how these collections are organized and is totally unworkable. Such a requirement would cost us very significant sums of money in administration and result in shops running out of stock, suffering reductions in sales and the sums they raise for our charity. There is no proportionate benefit from such a detailed notification system.

A change to this requirement in the Bill is therefore vital if our charity shops are not to be placed under a disproportionate and potentially threatening notification regime the penalties for breaking which would be severe (the new penalty of a fine of up to £1000 for failure to notify for each offence). As the Standing Committee is particularly reviewing whether or not the draft Bill introduces proportionate regulation and whether the proposals for the regulation of fundraising are workable, we seek the Committee's support for an appropriate amendment to be made to the notification requirements for the collection of goods and set out in more detail our arguments and alternative proposal in support of this below.

How we collect our goods

Our charity shops are relatively small in area on average less than 1000 sq.ft. Stock is donated directly to the shop and cannot be gauged in advance and in addition our charity collects house-to-house by the dropping off of collection sacks through letterboxes and subsequently collecting from doorsteps. This activity is largely impersonal and there is much evidence to show that donating to charity shops in this way is strongly supported by the public (see the Charity Shops Association's earlier submission to the Home Office). This activity also contributes significantly to environmental targets for the reuse and recycling of clothing, books etc.

Because our shops are small, the space allocated for the receipt and sorting of stock is restricted to approximately 300 sq.ft. Stock received is sorted, priced, put on the shop floor or removed for recycling or for rubbish on a daily basis. Maximizing sales is dependent on maintaining good stock levels and regularly refreshing the stock on sale. As the collection of goods house-to-house is approximately 50% of our stock received it is vital to our success. Our Merchandise Manager organises the collections for our group of shops and makes the decisions on when and where the collections take place and these are based on stock levels, anticipated needs, the availability of collectors and vehicles on a regular and continuing (weekly) basis. Consideration is also given to health and safety and other management information on stock quality, rates of return and the good practice requirement of the Charity Shops Association's own Kitemark scheme to which we have signed up to avoid overlapping collections with other charities.

We organise collections for around 25 of our shops in 10 different local authority areas currently and apply for licenses to collect from each and receives permission for periods of up to a year on the basis that we will be collecting between once a month and once a week for each for our shops. It is worth noting that specific date notification is currently not required by local authorities granting licenses to collect; instead a generic description of the frequency and general location of the collections is accepted in granting licenses. Although our charity will be relieved of the burden of applying for these licenses - we would have a far heavier burden to carry in notifying exact collection dates and locations to each of the local authorities for each collection at least 14 days in advance. So whereas we currently make 10 applications and 10 reports in a year - we would be faced with attempting to make a notification for each collection carried out by each shop to each local authority. On an average of one collection per shop per week this would amount to a minimum of 25 x 50 (operating weeks in the year) = 1250 notifications a year assuming that no one shop collects across more than one local authority area (which is not the case). The bureaucratic burden on our charity will significantly raise our operating costs and decrease what our shops raise for the hospice's vital work. And this assumes that the date or dates of the collections and precise locations can be specified accurately in advance, which we cannot do because collections are carried out continuously as and when the need for stock arises, when vehicles and drivers are available and in the light of other management information such as response rates, quality of stock and where other recent collections have taken place.

We hope it is clear from our example that there is an urgent need to modify the notification requirements set out in the draft Bill for the collection of goods in order that an unworkable level of regulation is not introduced as part of the new Bill.

Amendment sought

We therefore believe that paragraph 66 C (2) of the draft Bill should be amended so that the notification required for the collection of goods house-to-house by charities to local authorities should be made only on a periodic basis (e.g. annually) and in more general terms as regards timing/frequency and location. It should not be required for every individual collection. This is currently the type of information submitted to local authorities when applications for local licenses to collect goods house-to-house are made. Such a general notification system would continue to provide local authorities with the information necessary to enable them to monitor and control unauthorized collections whilst enabling us to continue to successfully collect stock, raise vital funds for our charity and play our role in maximizing reuse and recycling. In addition appropriate guidance should be issued to local authorities as to the required format of the notification information.

We are happy to provide further information in support of our submission if required and are grateful for the Committee's active consideration of our concerns.


 
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