Dormant assets could be worth £40m per year to community charities

3rd October 2017

In partnership with NCVO and ACEVO, UK Community Foundation have written a letter to the Chancellor of the Exchequer ahead of the Autumn Budget, outlining how the Budget can help charities.

Chief Executive of UKCF, Fabian French; Chief Executive of NCVO, Sir Stuart Etherington; and Chief Executive of ACEVO, Vicky Browning, have written to Phillip Hammond with a proposal to use dormant assets to support local communities, with no “additional funding from the Exchequer.”

The dormant assets are estimated to be between £1bn and £2bn which could generate £40m per year for local grant making. The charity leaders called on the government to invest it in “local philanthropic institutions, such as community foundations and local funders, to help fund small and local charities now and in the future”.

The Dormant Asset Commission published its report back in March. Rob Wilson, then minister for civil society, said it would be used for good causes. However, the government is yet to reveal how it plans to do this. 

In the letter to Hammond they highlight that: “At a time when local authority grants to charities are in decline, this is an opportunity to address the sustainability of small charities so they can continue to support and help communities create opportunities for themselves well into the future.” 

The believe that that the assets could: “Widen the network of endowed community foundations, and increase the level of capital they hold, will generate investment returns from which small and local charities can be grant funded.”

If you are a trustee of a charitable trust and would like to transfer assets to Kent Community Foundation please click here.