Autumn Statement: Support for hospice, military, and emergency services charities; more relief for social investment
The Autumn Statement has confirmed military, emergency services, and hospice charities are among organisations to receive further tax support, including benefiting from fines levelled against banks for interest rate rigging.
Social investment is also set to receive a boost, as the government seeks to extend tax relief for the initiatives and consult on a new relief for indirect investment in social enterprises.
Documents outlining Autumn Statement policies and costings confirm a further £50m in Libor fines has been committed over the next six years to support military charities and other good causes.
Delivering the statement, Chancellor George Osborne said Libor fines will support armed services benevolent charities, the Ghurkhas, and £10m is allocated to veterans with hearing problems.
Osborne also said hospice charities will be able to reclaim the VAT they incur.
“Our hospice charities also make an enormous contribution to our communities,” Osborne said. “They have long been subject to unfair rules that force them to pay VAT, when the NHS does not. I am today refunding the VAT that these hospice charities incur.”
From April 2015, UK search and rescue and air ambulance charities will be eligible to claim refunds on VAT they have paid on purchases of goods and services for their non-business activities. VAT will be refunded for search ambulance charities, and the cathedral renovation fund is to be extended.