Written question asked by Jenny Willott (Liberal Democrat) on Wednesday, 9 December 2009, in the House of Commons. It was due for an answer on Monday, 14 December 2009. It was answered by Baroness Smith of Basildon (Labour) on Monday, 14 December 2009 on behalf of the Cabinet Office.

Third Sector

Question: To ask the Minister for the Cabinet Office what discussions the Office of the Third Sector has had with (a) HM Treasury and (b) the Department of Health on the applicability to NHS charities of International Accounting Standard 27; and if she will make a statement.

Answer: Officials from the Office of the Third Sector have regular discussions with HM Treasury colleagues on a range of matters relevant to the third sector, including the application of international accounting standards. No discussions have taken place on this subject between the Office of the Third Sector and the Department of Health.The application of accounting standards and the regulation of charities are distinct matters. Policy in relation to the application of accounting standards is for HM Treasury, which is implementing international financial reporting standards across the central Government sector (including the NHS), advised by the independent Financial Reporting Advisory Board. If there were concerns about the independence of a charity, notwithstanding its accounting treatment, then it would be for the Charity Commission as independent regulator of charities in England and Wales to pursue those concerns.

Secondary information