First published on Progressonline

UK charities are already treated less favourably than many of their public and private sector equivalents. The Charity Tax Office figures would suggest that the new 20 per cent VAT rate would cost charities and additional £150 million. More worrying still is that small and medium sized charities will be hit the hardest.

This ignores the fact that charities have taken a recession double-whammy already – less income through donations and increased service demand because more people require their vital services.

Today Labour frontbencher, Liam Byrne is proposing an amendment with ACEVO to exempt the third sector from the VAT bombshell. This will protect the sector against the worst instincts of the LibCon government.

Progress is joining the ACEVO campaign and encouraging our members and supporters to sign a petition which will be presented to the Progress Chair, Stephen Twigg MP, this evening before the vote. Sign the petition now.

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Richard Angell is deputy director of Progress

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