A particular issue has been concerning me for a while As a result of covid-19 we are seeing many job losses. This is despite the excellent support which has been provided by the government. Many of these job losses are in the hospitality and retail sectors where, in recent years, our high streets have already been under pressure for reasons other than covid19. In my own city, I can't help but think that much damage has been done by the growth in the number of charity shops, which have the advantage of substantially discounted business rates as well as access to free, taxpayer subsidised labour. These advantages are, of course, in addition to the significant Income Tax and other tax benefits available to charities and to donors, which I believe amounted to £3.79bn during the year ended March 2019. https://www.gov.uk/government/statistics/uk-charity-tax-relief-statistics-commentary For example, a charity has been given planning permission to open a café very near to two independen
Trading Charities and Charity Shops Some charities "trade" as part of their primary purpose. https://www.charitytaxgroup.org.uk/tax/income-corporate-taxes/trading/806-2/ Other than this, why would a charity want to trade ? In order to sell the stuff it receives from donors or maybe just to make more money, I hear you say. There are a number of ways a charity might trade. Perhaps the most common is the "chari ty shop" which, in particular, might be set up so that the charity can sell the "stuff" which is donated to it. What's wrong with that I hear you ask. Maybe nothing, I reply. The donors get rid of their unwanted second hand stuff. The shoppers get something they want, at a very reasonable price. In the middle, the charity makes some money for it to spend on its good causes and the rubbish which might otherwise go to landfill is reduced. What's not to like ? I suppose that would depend on how many "