# Budget 2005 highlights for charities

- Link: https://fundraising.co.uk/2005/03/17/budget-2005-highlights-charities/
- Published: 2005-03-17T00:00:00+00:00
- Author: Howard Lake

This year’s Budget speech did not present any major benefits specifically for the
charity and voluntary sector, but there were a number of announcements that will
impact or benefit the sector.
The Chancellor Gordon Brown MP presented the government’s
Budget yesterday, which included a number of measures that could benefit the voluntary
sector and fundraisers.

The increase in inheritance tax threshold to £300,000 by 2007 should ensure that
donors’ estates are worth slightly more should they leave a charitable bequest. 
Similarly, the provision to grant same-sex ‘civil partnerships’ the same tax advantages
enjoyed by married couples could increase legacy income: people will be able to 
bequeath their assets to a same-sex partner without incurring inheritance tax.

A monument to The Queen Mother, who died in March 2002, is to erected in central
London. It will be paid for from the proceeds of a new coin that is to be minted
to celebrate the 80th birthday of Her Majesty The Queen.

## Advertisement

The planned merger of the Inland Revenue and Customs & Excise should lead to reduced
or simplified administration for charities, as well as businesses.

Arts organisations will benefit from £12 million of funding to improve training 
in skills and leadership. This comes a day before the Arts Council announced it 
was reducing its budget following the government’s latest spending round.

A new body, the National Sports Foundation, will coordinate public-private funding
of grassroots sport, and received an initial investment of £27 million.

£150 million has been pledged to a new national framework for youth volunteering
with the aim of recruiting one million volunteers aged 16 to 25 years over the next
five years. This will form part of the UK’s first ‘national community service’.

The Chancellor confirmed that charities will not be able to reclassify admissions
fees to zoos and museums in order to claim Gift Aid on them. As previously announced,
from April 2006 charities will only be able to reclaim Gift Aid on admission fees
if the visitor makes an additional 10% donation at the time of entry. Membership
fees will continue to qualify for Gift Aid.

 * **[The Oddfellows donate £50,000 to The Stroke Association](https://fundraising.co.uk/2005/03/19/oddfellows-donate-50000-stroke-association/)**(
   19 March 2005)
 * **[Balance Charitable Foundation announces initial grantmaking focus](https://fundraising.co.uk/2005/03/22/balance-charitable-foundation-announces-initial-grantmaking-focus/)**(
   22 March 2005)
 * **[Awards for All England to raise small grants from £5,000 to £10,000](https://fundraising.co.uk/2005/03/24/awards-all-england-raise-small-grants-5000-10000/)**(
   24 March 2005)