A WELSH GOVERNMENT scheme to impose business rates on charity shops could have a serious impact on charities across the county.

The plans, which are currently under consultation, would mean that business rates for charities, which are at present treated on a discretionary basis, will be imposed. Around 200 groups, from national organizations like the British Heart Foundation and the Citizens Advice Bureau, to locally focused charities like PATCH, and numerous community groups will be affected.

At present, the Welsh government pays 80% of business rates for charitable organizations, with the other 20% being split between Pembrokeshire county council, who pay 15% and a donation of 5% from the Welsh Government. Under the new system, paying the latter 20% would be the responsibility of the charities concerned. The proposed rates could apply to all charities, although an option under consultation is to exempt local voluntary organizations from the charges.

Tracy Olin from PATCH said that if the proposal goes ahead it could cause ‘real problems’ for the charity. Speaking to the Herald, she said:

‘The rates on our headquarters, estimated at 20% would cost us £2300 pa. In addition to our monthly outgoings of £3000 we sometimes have to spend this much on provisions. This week, for example we have already spent £500 on food. The people of Pembrokeshire are so generous, but there are so many in this county in devastating circumstances, it would be a massive blow if these rates meant we could not provide the amount of assistance we do now.’

As an example of the crises clients of PATCH face, Ms Olin told the Herald about a couple who have been living on £81 a fortnight since last summer:

‘The lady in question turned up for a disability assessment meeting. While she was in the building they told her that the meeting was cancelled. This happened last July, and another meeting still hasn’t been arranged. On top of this, deductions are being taken from her benefits for reasons that aren’t entirely clear. PATCH has been providing assistance for this couple since before Christmas.’

Urging anyone concerned by these changes to contact the council, she said: ‘We would love anyone who has been helped by PATCH to get in touch with the council and describe how we helped them.’ She also urged people to fill out the questionnaire at www. pembrokeshire.gov.uk/haveyoursay.

Sue Lennard of the Pembrokeshire Association of Voluntary services said that the proposed charges ran a real risk of ‘derailling’ a potentially fruitful partnership between local government and the third sector: ‘On behalf of the voluntary sector, we firmly reject these proposed changes, both for local and national charities,’ she said. ‘We completely understand that the council has a real need to make savings, but this seems to offer short term gains rather than working together with the voluntary sector more efficiently which would in the long-term lead to far greater savings. New Welsh government proposals place achieving well-being increasingly on local government, and this is an area where the third sector can come in and do a great deal.’

MsLennard also pointed out that many of the buildings affected by the changes were not high street retail outlets, but local community centres and sports groups.

The list of organizations that would be affected by the change includes virtually every sporting organization in Pembrokeshire, including boxing, cricket, bowls and football clubs.

The Consultation ends today(Feb 27) and members of the public, sports teams and those charities who will be affected by the change are being urged to respond to the proposals via the County Council’s website. From the home page, simply click on the text “Have Your Say” and the consultation is near the end of the page to which you will be then directed.