Jay Kennedy, Director of Policy and Research at DSC, reviews 2024 through the policy lens and looks ahead to 2025.
Phew, what a year it’s been. As 2024 draws to a close and we hopefully can all look forward to a pause and some much-needed rest, we thought we’d recap some of the main highlights (and lowlights?) from the world of charity policy in the UK, and look ahead briefly to 2025.
Civil Society Summit
All the way back in January, the then leader of the opposition Sir Keir Starmer attended a civil society summit with his key shadow ministers. There, he spoke of wanting to create a ‘society of service’ and of his desire to reset the relationship with civil society in the creation of ‘caring, compassionate communities’.
Working on a new strategy
For months, the Charity Commission had been working a new strategy which was unveiled early in the new year. The Chair, Orlando Fraser KC, launched the strategy at an event in London under the banner ‘Fair, balanced and independent’. DSC welcomed the document and approach, and argued that it marked a return to a constructive rather than confrontational relationship between charities and their main regulator.
Spring Budget
In what turned out to be the last Budget for the Conservative government, Chancellor Jeremy Hunt’s announcement was clearly drafted with the General Election in mind. Unlike his budget from the previous Spring, which had announced substantial funding for charities struggling with the cost-of-living crisis, this one was mostly a campaign pamphlet albeit with some important victories for charitable campaigners sprinkled in.
The General Election: charity campaigning and ‘Manifesto Mashup’
The surprise announcement by Prime Minister Rishi Sunak of an earlier than expected General Election threw many holiday plans into disarray – with the big vote scheduled for 4 July. It transpired that the Labour party won a huge majority, with the Conservatives returning a historically low level of MPs back to Parliament.
Early on in the campaign, we provided practical advice of key dates and things to know, to help people plan for the election period and beyond. We also assessed the early rhetoric from the major political parties and argued that it was too top-down, centralising, and generally not doing much to empower communities and voters.
As soon as they were published, DSC analysed the election manifestos of the main Westminster parties for their policies that affect charities and charitable beneficiaries, in our ‘Manifesto Mashup’ document. This categorised 10 key policy areas relevant to many charities and voluntary organisations, and sifted out the manifesto policies for each party with respect to each category.
We also reminded people about the rules around charitable campaigning to encourage them to campaign with confidence, and highlighted some brilliant campaigns from around the sector. Finally, we provide practical advice and tips for how to find and engage prospective parliamentary candidates in local areas, once they were announced.
A new Government, Parliament and King’s Speech
After its decisive election win, the Labour party moved quickly to appoint a Cabinet, which included many people with charity sector experience. They then published an ambitious number of Bills in the King’s speech, which we analysed for the potential impact on charities and their beneficiaries.
Over half of the MPs in the Parliament are new to the job, and have taken some time to settle in and get used to the place – we pointed out some of the key differences between the last Parliament and the new one, and what this could mean for charities seeking to influence.
Responding to the racist, xenophobic and Islamophobic riots
August was dominated by the horrible riots and far-right violence that blighted many cities across the UK. DSC responded with our colleagues in the Civil Society Group in a joint statement denouncing the actions of those involved. We also highlighted vital charities to support which help people negatively affected by these incidents, as well as what charities should consider with social media platforms that helped fuel the violence and disorder.
Engage Conference 2024
DSC’s annual conference for charities looking to influence politicians and policy-makers was aptly timed for October, as the new government finally started to move forward its legisative agenda in earnest. A suite of expert speakers gave their analysis of the rapidly changing policy context for charities, and we produced a written summary chock full of insights after the event for those unable to make it on the day.
Budget 2024
In the Autumn all eyes were on the first Budget by a Labour government in 15 years, and the first delivered by a woman Chancellor, Rachel Reeves MP. In the run up, DSC argued that the new government needed to take an ‘invest to save’ approach, and should work with civil society on preventative measures that would benefit people and the taxpayer. DSC also joined with others in the Civil Society Group to make a formal submission to the Treasury early in the Autumn.
The final result was good in some areas and not in others, and DSC analysed the document for the main implications for charities. Local government, the NHS, and the Charity Commission saw budget increases, which DSC and others in the Civil Society Group had argued for, but the financial impact of the Chancellor’s decision to increase Employer National Insurance Contributions on charity employers will be huge for some charities, and remains unresolved despite significant campaigning from sector leaders.
Launch of a ‘Civil Society Covenant’
Towards the end of the year, the new government announced that it wanted to introduce a Civil Society Covenant. In language that echoed his speech at the civil society summit earlier in the year, the Prime Minister said: “We need a fundamental reset of the relationship between government and civil society. That is why we’re building a new partnership with the sector to tackle the complex social and economic challenges we face as a country.”
NCVO hosted a consultation asking for ideas and feedback about the proposed Covenant, which DSC publicised, and we submitted our own analysis and ideas. The responses will now be analysed and we look forward to the next iteration which is expected in early 2025.
What’s next for 2025?
The new government’s huge legislative agenda is only just gathering steam – there’s much more to come. Here are just a few of the things we’ll be keeping an eye out for in 2025:
- Key Bills and policy reforms that could affect the environment for charities, such as the Devolution White Paper and the Employment Rights Bill.
- Phase 2 of the Spending Review, which is expected to conclude in ‘late Spring’, potentially after a Spring Budget. We understand this will set government department budgets for the period 2026 -2029. There is now a portal where organisations can make submissions, and the Civil Society Group has already prepared one.
- The final version of the Civil Society Covenant (see above).
- The appointment of a new Chair of the Charity Commission to succeed Orlando Fraser.
Stay tuned to www.dsc.org.uk for all the latest analysis and insights, and warm wishes to all for the holidays and the new year. And always remember: Persistence overcomes resistance eventually!