Responding to comments today by the Treasury minister David
Gauke, John Low, Chief Executive of the Charities Aid Foundation,
said:
“This has been a shambles. The Government simply has not thought
this through.
“The Government admitted today that this policy will have an
impact of charities. It is astonishing that the Treasury did
not properly assess the impact on charities of their new tax relief
cap before announcing this damaging measure in the Budget.
“Hundreds of charities large and small are united in opposition
to this measure and generous philanthropists across the country are
demoralised by being branded tax dodgers.
“We are not asking the Government to drop caps on all tax
relief. We are saying that ministers should think again about
extending that cap on tax reliefs to include charitable
donations. If there is evidence of abuse then by all means
put appropriate measures in place but a blanket cap throws the baby
out with the bath water.
“Capping tax relief on charitable donations will raise
relatively small amounts of tax but risks inflicting far greater
damage on causes for the public good such as medical research and
treatment, education and help for some of the most vulnerable
people in society.
“Ministers talk about wealthy people opting out of tax. But
donors who claim this element of tax relief give away far more than
they could ever claim back. This will not hit the rich, it will hit
vulnerable people in the UK and overseas and the causes we all care
about. We need the Government to rethink their decision.”
Listen to David Gauke's comments on the Today
programme.
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