Margaret Conlon (Cavan-Monaghan, Fianna Fail)

I welcome this opportunity to speak on the Charities Bill, which is long-needed and long-awaited. Irish people are, by their nature, generous. However, it is important their donations go to bona fide charities. The tradition of generosity in our country goes back generations and we have always had a proud record in this area. Our overseas aid and voluntary individual contributions are the highest in the OECD.

The purpose of the Charities Bill is to enact a reform of the law relating to charities to ensure accountability and to protect against abuse of charitable status and fraud. This Bill will enhance public trust and confidence in charities and increase transparency in the sector. We cannot underestimate the importance of this. For charities to effectively carry out their work, they need the full confidence of the public. Most charities are well run but we are all approached by charities with which we are not familiar. It is important for confidence and generosity that the system is transparent so people can have confidence in it, and this will benefit charities in the long term.

The Charities Bill will provide for a definition of "charitable purpose" for the first time in primary legislation. It will also accommodate a new regulatory authority to secure compliance by charities with their legal obligations and to encourage better administration of charities. A register of charities will be established in which all charities operating in the State must register and this is welcome.

Some notable consequences of the Bill will be annual activity reports by charities to the new authority, a charity appeals tribunal and updating the law relating to fundraising, particularly regarding collections by direct debits and similar non-cash methods. Upon establishment of the new authority it will dissolve the Commissioners of Charitable Donations and Bequests for Ireland, CCDB, and transfer its functions to the authority. Charitable status will be dependent on an organisation having charitable purposes only and being for the public benefit, rather than having any particular legal form.

I welcome the principle of the Charities Bill. It is generally recognised that the many positive features of the proposed legislation will have significant bearing on the numerous people involved in valuable charity work. The effect of the draft legislation is important to the public who contribute generously to so many charitable causes every year. They need to know their contributions are going to bona fide charities and the volunteers need to have confidence in the charities on whose behalf they work because the charities depend heavily on volunteers.

The intent is to introduce a comprehensive reform of the law relating to charities to ensure proper accountability, to protect against possible abuses of charity status and to eliminate the possibility of fraud. I endorse the Bill's principles because its provisions will enhance public confidence in this important area. The application of appropriate transparency and regulation will ensure improved public trust and the establishment of a sound legal and regulatory framework to facilitate the smooth and efficient administration and management of charitable organisations. I am delighted that bogus collectors will be dealt with in an appropriate manner. For all bona fide operators, the activities of those people must be outlawed. The relevant legislation has not been updated in 40 years. It is crucial that the proper structures and regulations are in place if there is to be transparency and accountability and if the public is to know that their money is being put to the good use for which it was intended.

As I said, the generosity of the Irish people knows no bounds. They have given a higher percentage of their incomes to charitable organisations than most other countries and they are to be commended for their generosity, but it is important that this generosity of spirit is not taken advantage of. The Bill is important to those charities that are properly run because it should eradicate those that do not reach the required standard of regulation, which is a welcome development. There is a danger that charity fatigue may set in. This would be most unwelcome. Most charities are worthwhile causes and it can be difficult for people to decide to which to contribute. This Bill will reform the charity sector and ensure that legitimate and well run charities will benefit. That can only be good and I strongly recommend the Bill.

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