Grants by charities to non-charities
The Charity Commission has issued draft guidance for trustees wishing to make grants to non-charitable organisations. The guidance states that trustees must be able to show how any grant to an organisation, whether a charity or not, furthers the charity’s purposes.
A charity can only make grants for activities that, in principle, it could carry out itself. The powers and restrictions in the governing document must be complied with. The grant recipient must also be made aware of the aim of the grant, how it is expected to further the donor charity’s purposes and what the grant can and can’t be used for.
A full copy of the guidance can be found by clicking here.
For advice on charity grants, please contact Elizabeth Irvine.