Bates Wells Briefing for Charities & Social Enterprises | 15 June

Our weekly round up of news and updates from across the sector.

Services
Charity
Sectors
Social Enterprise
Type
News

Bates Wells Highlights

Bates Wells has published Top tips for dealing with an email hack – A Charity’s Guide.

Applications to the 2021 Stephen Lloyd Awards opens on 16 June in search of ambitious charities, social enterprises and entrepreneurs with creative solutions to everyday societal problems. 

This week’s Briefing covers the two week period from 31 May to 11 June. 


At a glance

The Law Commission has produced a track change version of the Charities Act 2011 showing the changes introduced by the current Charities Bill.  

The Department of Health and Social Care has published a knowledge briefing aimed at those involved in adult safeguarding, with a particular focus on the transition of young people into adulthood and responding to issues of sexual and criminal exploitation.

The European Commission has published its final draft Standard Contractual Clauses to govern transfers of personal data outside the EU.

The Fundraising Regulator has outlined plans to develop a self-reporting pathway for breaches of the Code of Fundraising Practice. 


Coronavirus – government funding

Published last week, the Public Accounts Committee report on Covid-19: Government Support for Charities has an uncomfortable headline “£2million of taxpayers’ money on consultants to pay out DCMS charities fund”. 


Coronavirus – government guidance

Charities organising outdoor events should be aware of this government guidance which states that organisations should publish a risk assessment on their website for all outdoor events if they have more than 50 employees.   HSE has guidance on how to complete a risk assessment.


Coronavirus – free PPE for the sector

Thanks to NAVCA for flagging that the Department of Health and Social Care is offering free face masks and visors for use by voluntary sector organisations.  Expressions of interest can be made via this form.


Coronavirus – impact on the sector

At a free online event on 30th June (12.30 – 1.45) NCVO will present new analysis from the Third Sector Research Centre and the University of Stirling that shows how the rates of foundations and dissolutions of charitable organisations have changed (or not) as a result of the pandemic.


Charities Bill

The Law Commission has produced a track change version of the 2011 Act showing the changes introduced by the Bill.  You can download it from this page


Charity Commission

Inquiry report

The commission has published an Inquiry report into Nanaksar Thath Isher Darbar Trust.  The commission’s concerns included the auditor’s report providing a qualified opinion on the financial statements in the accounts, the trustees being in arrears on their repayments of loans and mortgages of £7.183 million, and a risk of the bank seeking to take action to recover the funds, and the London Borough of Hillingdon initiating legal action as the trustees failed to comply with the terms of an enforcement notice. (This related to the trustees turning the freehold of a former football ground into a car park at a cost of £50,000, instead of building a school on the site.)

Charities and Terrorism guidance

Chapter 1 of this CC Compliance Toolkit has been updated to reflect UK counter-terrorism legislative developments and provide quick chart guides in an accessible format.

Faith Charities Webinar

Good Governance for Faith Charities series of webinars on key governance issues – the Faith Charities Outreach Team at the Charity Commission is hosting a webinar on Weds 30 June at 12:00 on the subject “Financial management in a faith charity context”. For more info see here.


Charity names

There’s been two recent decisions of the Company Names Tribunal involving charities:

  • The People’s Dispensary for Sick Animals successfully objected to the name used by PDSA Transport Ltd.  The decision was undefended.  PDSA was awarded costs of £800.
  • Church Mission Society successfully objected to the name used by Church Missionary Society (CMS) Ltd. This decision was also undefended and costs of £800 were awarded.

Climate change

The Forestry Commission has opened a new multimillion tree planting grant scheme – the England Woodland Creation Offer – to provide greater financial incentives for landowners and farmers to plant and manage trees.

New regulations will outline how pension scheme trustees will in future be required to assess and publicly report on the risks of climate change to their investments. The new regulations, subject to Parliamentary debate, will affect all authorised master trusts and schemes with £5 billion or more in assets from October 2021 onwards.  Government will – subject to consultation – extend the measures to smaller schemes as soon as 2024.

On Tues 29th June, a webinar, hosted by esela – The legal network for social impact, will share how counsel at E.ON, Deutsche Bank, Certas Energy, ARUP, Colt Technologies and GSK are working to embed climate considerations within their organisations.  This event is held in partnership with Lawyers for Net Zero and as part of London Climate Action Week 2021.  For more details and to sign up for free, see here.


Safeguarding

The Department of Health and Social Care has published a knowledge briefing aimed at those involved in adult safeguarding, with a particular focus on the transition of young people into adulthood and responding to issues of sexual and criminal exploitation. The briefing has been produced jointly by individuals and organisations including the Association of Directors of Adult Social Services (ADASS), the British Association of Social Workers (BASW) and the NWG Network (formerly the National Working Group For Sexually Exploited Children and Young People). It should be read alongside other relevant frameworks, including Care and support statutory guidance and Working Together to Safeguard Children.


Data protection

International data transfers

The European Commission has published its final draft Standard Contractual Clauses to govern transfers of personal data outside the EU. Charities based within the EU who export personal data to the UK (with an adequacy decision still pending) or elsewhere should consider implementing the new Clauses. 

Anonymisation of data

The Information Commissioner’s Office (ICO) is calling for views on the first draft chapter of its draft guidance on anonymisation, pseudonymisation and privacy enhancing technologies.

Immigration exemption in the DPA 2018

The Court of Appeal has ruled that the Immigration exemption in paragraph 4 of Part 1 of Schedule 2 of the Data Protection Act 2018 (DPA 2018) is incompatible with Article 23 of the General Data Protection Regulation ((EU) 2016/679) (GDPR), and therefore unlawful.

ICO fines

The Information Commissioner’s Office (ICO) has:


Fundraising

Fundraising Regulator’s 5th birthday

The FR has published this summary of its impact since it was set up 5 years ago. 

Self reporting of breaches of Code of Fundraising Practice

In this recently published blog, Catherine Orr Head of Casework at the Fundraising Regulator outlines their plans over the next year to develop a self-reporting pathway for organisations to follow when they identify that they may have breached the Code of Fundraising Practice.  In the blog, she says:

  • The FR will be designing a set of criteria and guidance for the sector that will clearly set out its expectations for self-reporting and the circumstances in which this should happen.
  • The process will take into account that charities may already be reporting to other regulators.
  • There is no set time line for when this will be introduced.
  • In the meantime, charities are encouraged to self-report via the general inquiries form.   

Fundraising Regulator investigations

The FR has published the outcomes of two recent investigations.


Funders

This blog, by Charlotte Lamb, NPC’s Principal of Strategy and Matthew Mannix, former Consultant at NPC, provides three tips for funders thinking about bringing a funding relationship to a close, based on their personal experience advising The Stone Family Foundation. These tips aim to “help other funders rethink their funding practices, so that the sector can build a better funding ecosystem following the Covid-19 pandemic”.


Education

Schools

The DfE has announced that pupils will be offered up to 100 million hours of free tuition to help them catch up on lost learning during the pandemic.

The latest academies updates from the ESFA can be found here and here.

Ofsted has published its review into what constitutes high calibre languages education.

A review of sexual abuse in school has been published by Ofsted.  To help address the issues found in the review, the DfE announced that more support will be provided to teachers and school leaders, including dedicated inset days and strengthened safeguarding guidance.

Webinars are being held by the DfE Schools Commercial Team throughout June to provide information and guidance on the DfE approved frameworks.

The Duke of Edinburgh’s Award is to receive a £3.4 million investment to expand access to the most deprived young people in England.

Stone King has published this guide “How schools and colleges can minimise legal risks and challenges arising out of Summer 2021 Qualifications Series”

Further Education

Gavin Williamson has set out the reforms that will be included in the Post-16 Education and Skills Bill in his speech to ResPublica. Further details on the proposed funding and investment packages included under the Bill can be found in the DfE’s press release.

Employers can now apply for an extra £3000 of funding for every new apprentice they take on, as part of the government’s Plan for Jobs.

The latest further education updates from the ESFA can be found here and here.

Higher Education

20,000 students have been impacted by a glitch in the UCAS system which automatically rejected their university offers.


Social enterprise sector news

Cooperatives UK is hosting its annual campaign, Co-op Fortnight, which runs from 21 June to 4 July 2021 to raise awareness of co-ops and grow membership engagement.  


Social investment and social impact investing news

Eddie Hughes MP (Rough Sleeping and Housing Minister) has announced a social investment pilot to fund over 200 homes for rough sleepers. The three year pilot will see £15 million in government funding combined with an additional £15 million from Big Society Capital being used to purchase existing housing from the property market in partnership with local organisations which will be made available at Local Housing Authority rent levels.

Good Finance and The National Lottery Community Fund are hosting an event on 6 July 2021 for charities, social enterprises and community businesses working across the housing sector, who would like to learn more about how social investment could be a useful financial tool.

EVPA has published a report titled Accelerating the SDGs – The role of Crowdfunding in Investing for Impact, which highlights the opportunities crowdfunding brings to the impact space for financing the Sustainable Development Goals and provides an overview of the different ways in which impact crowdfunding platforms can collaborate with other investors including, for example, foundations (press release).

Social enterprises will benefit from Dormant Assets Bill, minister promises. Civil Society Media reports on Baroness Barran’s (Minister for Civil Society) speech at the launch of the parliamentary inquiry into the impact of the pandemic on the social enterprise sector.

The APPG (a cross party group of parliamentarians from the House of Commons and House of Lords) has launched a new inquiry into the impact of COVID on the UK’s 100,000 social enterprises. The inquiry aims to understand, for example, how social enterprises have adapted and to consider lessons learned. The inquiry will take evidence from social enterprises, representative bodies, researchers and politicians before publishing a report by the end of 2021.

Social Investment Business has announced that the Resilience and Recovery Loan Fund (RRLF) reached £28 million in total funding approved. Nick Temple (CEO, Social Investment Business) has reflected on the RRLF’s responsiveness, partnership and flexibility.

The Charities Act, Keeling Schedule, Showing changes which would be affected by the Charities Bill (subject to Parliamentary approval) shows intended changes in relation to social investment – for example, see sections 104AA ‘Total return investment: social investments’ and section 104B ‘Total return investment: regulations’.


Public procurement and subsidy control/state aid

The Government has announced that from September, prospective suppliers bidding for contracts above £5million a year will need to have committed to the government’s target of net zero by 2050 and have published a carbon reduction plan. Firms which fail to do so will be excluded from bidding for the contract.

Job creation, investment in skills and opportunities for local growth should be taken into account when awarding public contracts, following new guidance published last week for public bodies. The guidance applies to central government departments, executive agencies, non-departmental public bodies, local authorities, NHS bodies and the wider public sector.

Contracting authorities should consider national priority outcomes (which are also termed social value outcomes) alongside any additional local priorities when they are conducting a procurement, which include:

• Creating new businesses, new jobs and new skills.
• Tackling climate change and reducing waste.
• Improving supplier diversity, innovation and resilience.

The Cabinet Office has also published:

It sets out how government departments should approach service delivery and how contracting authorities and suppliers should engage with each other.  PPN 03/21 applies with immediate effect to all central government departments, their executive agencies and non-departmental public bodies (in-scope organisations). The Sourcing and Consultancy Playbooks are considered good practice and the wider public sector is required to consider taking them into account.

  • PPN 04/21 replaces existing policy guidance which has been revised and updated to clarify changes to the procurement regulations following the UK’s exit from the EU, and provides supplementary guidance and answers to frequently asked questions in relation to the exclusion provisions in procurement regulations, including case law. It also contains further guidance to assist in the development of strategies, systems and procedures to prevent, identify and remedy conflicts of interest and to enable whistleblowing where appropriate.  PPN 04/21 applies with immediate effect to all central government departments, their executive agencies and non-departmental public bodies in conducting procurement procedures for public, utilities and concession contracts (in-scope organisations). It is also relevant to the wider public sector such as local authorities and NHS bodies.

Elections and campaigning

See above under Data protection, fines.


Scotland

OSCR will be running a free webinar on 22 June at 1pm on Tues 22 June on the subject “Updating your charity’s governing document”, see here for more information.

OSCR has posted blogs on Volunteer Scotland Disclosure Services and a guide for reputation management after a cyber attack.

OSCR has published its newsletter for June, containing a round up of its recent news stories.


Stephen Lloyd Awards 2021

Become a story with an inspiring journey through the 2021 Stephen Lloyd Awards!  Entrants with an early-stage project addressing a social problem in an innovative manner are invited to apply before 31 August 2021. Winners receive funding of up to £20,000, along with an opportunity to receive valuable pro bono support from experts in the charity and social enterprise sector. For full details on the application process and how to apply, please visit www.stephenlloydawards.org or email Mona Rahman at [email protected]  (The Stephen Lloyd Awards are an initiative of the Bates Wells Foundation, charity reg. number 1150321)


You might also be interested in…

Flexible working requests – what does the law require and what does the future hold?Wednesday 30th June, 3pm

Paul Jennings and Rebecca Bruce will be looking at the current law, the effect of Covid and the risks to employers, and how this can all be carefully managed.

Esela Webinar

On Tues 29th June, a webinar, hosted by esela – The legal network for social impact, will share how counsel at E.ON, Deutsche Bank, Certas Energy, ARUP, Colt Technologies and GSK are working to embed climate considerations within their organisations.  This event is held in partnership with Lawyers for Net Zero and as part of London Climate Action Week 2021.  For more details and to sign up for free, see here.


This information is necessarily of a general nature and doesn’t constitute legal advice. This is not a substitute for formal legal advice, given in the context of full information under an engagement with Bates Wells.

All content on this page is correct as of June 15, 2021.