Charity umbrella bodies ask Treasury for reduction in 12% Lottery tax
Howard Lake | 13 September 2005 | News
The national umbrella organisations that represent the voluntary and community sector have called for reform of the 12% tax on the National Lottery.
The four Councils believe that the case for revisiting the 12% tax, worth £571m per year, is long overdue and is now overwhelming as Lottery funds are top-sliced to support the 2012 Olympics. This will leave a shortfall in funds for good causes. There has been no formal review of the rate of 12% in the eleven years of the Lottery.
The voluntary and community sector has said that it wants to see the London Olympics as a success, presenting a huge range of volunteering opportunities. Current proposals, however, would see approximately £1.5 billion of Lottery income diverted to the Olympics with the sector claiming that it would bear the brunt of the burden.
Advertisement
As an interim measure the voluntary and community sector are calling on the Government to reduce the tax-rate to 9% and use the 3% for good causes over the Olympic period with a review at the end.
Related posts
About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.