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Charities Act 2006 (Changes in Exempt Charities) Order 2010

My Lords, as I rise to speak to these measures and also to the Motion before us, I put on record my charitable interests which are listed in the Register, although they are not specifically related to the organisations mentioned here. I thank the Minister for the thorough and comprehensive way in which she presented the case for the proposals to the House, for the assistance of her team and also for helping us to understand some of the details and the workings of these measures. I also pay tribute to my noble friend Lord Eccles for his efforts and research in this area and I support him in his forensic analysis of the instruments before the House. Indeed, I venture to suggest that his expertise in this field, not only in terms of parliamentary draftsmanship, regulation and operation but also in charities as a whole, has helped all sides of the House in understanding the true nature, impact and reach of the measures before us. We have explored already the need for better consultation and the Government would do well to consult with my noble friend in these matters as often as possible as he clearly has significant expertise. I, too, have some reservations in regard to the processes of the regulation and the potential conflict of interest. I will mention these briefly as they have already been expressed by other speakers. But before I do it would be remiss of me if I did not put on record the admiration we have on all sides of the House for the charitable sector in this country and the enormous contribution it makes to the social capital of this nation. The British public can always be counted on to respond generously to the needs of others. We are one of the most generous and giving countries in the world and that makes me very proud. Even in the depths of the recession last year, people gave £10 billion to charitable causes, down just £1 billion from the previous peak. The current response to the Disasters Emergency Committee appeal in Haiti has already produced £31.5 million, with £25 million given in one week. There is also the wonderful story of that seven year-old boy, Charlie Simpson, who went on a bike ride to raise £155,000. This is a hugely important sector. It is part of who we are and everybody who is involved in it needs appropriate tribute paid to their efforts. It behoves us, therefore, as has already been said, that this extraordinary generosity is underpinned with robust regulation of the way in which these funds are managed and spent so that confidence can be retained by the British public in the charities they give to. My first question refers to the Explanatory Memorandum and the results of the consultation. Under the Government’s own initiatives in the better regulation proposals, legislation has to pass a 12-week consultation period. This has not taken place in this case. The consultation can sometimes be used by this Government as a kind of warm, inclusive phrase devoid of any real meaning and which has little or no influence on the eventual regulation itself. We can produce better regulation only if we engage substantively and meaningfully with those who have a better understanding, better experience and better knowledge of the legislation under consideration. These instruments act in the public interest. It is the public whom we should seek to protect, and many stakeholders will be affected by this decision. I therefore wonder why the formal public consultation has been rejected in this context. Will the Minister explain that when she responds? This is especially important as there have been murmurs from those in the field that these government proposals are not wholly agreed with, despite evidence to the contrary. I do not have all the evidence. It is not presented because there has not been the degree of consultation that perhaps there should have been. The arguments about funding arrangements have been technical, and I have been trying to think how they might be represented in a scenario. I ask the Minister to bear with me for a second while I present the scenario of the board of the British Library. I happen to be a passionate believer that the moment cannot come soon enough when the Lindisfarne Gospels, which were stolen from Durham Cathedral during the dissolution of the monasteries—by the Clerk of the Parliaments—and then sold for pecuniary gain to the British Library, are returned forthwith to their home with the great St Cuthbert in Durham Cathedral. That passionate belief is shared by a number of Members of this House. The noble Baroness, Lady Quin, has been very involved in this campaign, as has the noble Lord, Lord Foster. Should one of us at some stage in the future happen to become Secretary of State for Culture, Media and Sport and still hold passionately that that egregious error should be corrected at the earliest possible opportunity, as the principal regulator of the British Library, could not pressure be brought to bear on the situation? That might be a hopeful scenario. My noble friend Lord Eccles talked about independence and sailing close to the wind in the context of new Section 1A(4) in Section 6(1) of the Charities Act. Surely no one would want to enact legislation that threatened or even steadily eroded the integrity of charities by creating a system that confused the public or caused anomalies. The evidence that has been presented suggests that the order and the regulations could do just that, so there might be a case for further reflection and thought on the questions that have been asked and the points that have been raised. I very much look forward to the Minister’s response to this debate.