Guidance on the Charities Act 2022: implementation plan

This plan explains how the Department for Digital, Culture, Media and Sport will implement the Charities Act 2022.

From:

Department for Digital, Culture, Media & Sport

1. Provisions of the Act expected to come into force Autumn 2022
2. Provisions of the Act expected to come into force Spring 2023
3. Provisions of the Act expected to come into force Autumn 2023
4. Reviews

This page sets out an indicative timetable for implementation of the Charities Act 2022 (“the Act”), and the fulfilment of other commitments made by the government in response to the Law Commission’s Technical Issues in Charity Law report.

Our aim is to activate the new provisions as quickly as possible whilst giving charities (and others that will be affected by the Act) time to properly prepare for any changes that will affect them.

The legislation received Royal Assent on 24 February 2022. The Act, and its accompanying explanatory notes are available on the Charities Act 2022 legislation page.

Implementation will be led by the Department for Digital, Culture, Media and Sport (DCMS), working closely with colleagues in the Charity Commission and other government departments. Some provisions will require existing guidance to be updated, whilst other provisions may require new guidance to be prepared.

Different provisions are expected to come into force at different points over the next 18 months. The current intention is for the provisions to come into force in three groups - stated below. If intentions change, this web page will be updated accordingly.

As different provisions come into force, this page will be updated to include links to updated or new guidance.

Provisions of the Act expected to come into force Autumn 2022

• Section 4: Power to amend Royal Charters

• Section 5: Orders under section 73 of the Charities Act 2011

• Sections 6 and 7: Cy-près powers

• Section 8: Power of the court and the Commission to make schemes

• Sections 15 and 16: Ex gratia payments

• Section 30: Remuneration of charity trustees etc providing goods or services to charity

• Section 32: Trustee of charitable trust: status as trust corporation

• Section 36: Costs incurred in relation to Tribunal proceedings etc

• Part of Section 37: Public notice as regards Commission orders etc.

• Part of Section 40 and Schedule 2: Minor and consequential amendments

Provisions of the Act expected to come into force Spring 2023

• Sections 9-14 and 35a: Permanent endowment

• Sections 17-23: Charity land

• Section 24 and Sch 1: Amendments of the Universities and College Estates Act 1925

• Sections 25-28: Charity names

• Section 38 and 39: Connected persons

• Part of Section 40 and Schedule 2: Minor and consequential amendments

Provisions of the Act expected to come into force Autumn 2023

• Section 1-3: Charity constitutions

• Section 29: Powers relating to appointments of trustees

• Section 31: Remuneration etc of charity trustees etc

• Sections 33-35: Charity mergers

• Section 37: For remaining purposes

• Section 40 and Schedule 2: For remaining purposes

Reviews

DCMS will complete a review of the Act within the statutory review period of 3-5 years following Royal Assent.

DCMS has also committed to reviewing the financial thresholds set out in the Charities Act 2011 to consider whether they should be increased in line with inflation. We aim to begin this review this year.

We are also working to implement those non-legislative changes that were recommended in the Law Commission’s report, which were accepted by the government but did not form part of the Charities Act 2022. These changes include updating existing guidance to provide more clarity to the sector. We aim to carry out this work concurrently with the implementation of the legislative provisions detailed above.