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Published on Intelligent Giving (http://www.intelligentgiving.com)

How charities are improving

Anita Isalska
  Anita Isalska
Intelligent Giving Researcher
A beautiful sunflower

 

WE'VE ALL HEARD THE RUMOURS about charity fat cats driving around in Mercedes, or that for every pound you give to Oxfam only 20p reaches Africa. While we dismiss them as exaggerations, there are still niggling doubts... So what changes are being made to put our minds at rest?

Well, Scotland recently brought in sweeping new charity laws, and in England and Wales, there’s the long-awaited Charities Bill, moving through parliament [1] after three years of delays
Extra scrutiny encourages good practice (and gives a nudge to charities to tell us more)
The bill proposes 12 charity categories which apparently reflect the opinions of the public - and sports charities and political campaigners like Amnesty International are now included. It also responds to other donor concerns; for example, 'charity muggers' will be required to let people know how much of a donation goes towards the cause.

Related articles

  • "Beware people who rate charities" [1]
  • "When you just have to trust us" [1]
  • "Why charities will imporve" [1]
Another positive change came in 2005 when the National Council for Voluntary Organisations launched the ImpACT Coalition [2] – a project to increase public trust in charities. 70 top charities and trade bodies are involved. Members have overhauled websites and produced material to combat allegations of money-wasting. And the Coalition isn't resting on its laurels just yet: it says it plans to grow in the coming year, intending to make charities easier to understand. This has to be A Good Thing.
We can give with increasing confidence
It's not only charities and government bodies working for improvements: recently, private organisations have become involved. Following the USA's lead, independent British groups have started to give donors more information. GuideStar [3] lays out information more clearly than in the annual reports, researchers like New Philanthropy Capital [4] and Development Ratings [5] look in depth at certain types of charity and we at Intelligent Giving are presenting the facts and figures in a more accessible way. People are no longer satisfied with blindly giving their money away, and extra scrutiny encourages good practice (and also gives a nudge to charities to tell us more).

So next time someone tells you that the office chairs at Cancer Research UK are burnished with gold, you can tell them where to go (on the web, that is). As long as there's progress in parliament and independent bodies keep growing, charities will keep up with the times – and we can give with increasing confidence.

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http://www.intelligentgiving.com/articles/features/how_charities_are_improving