Accessibility Features
Accessibility | Skip to Start of Article | Skip to Search | Skip to Navigation Menu | Skip to Themes | Skip to Regions | Skip to Members Sign InAccessibility Features
Accessibility | Skip to Start of Article | Skip to Search | Skip to Navigation Menu | Skip to Themes | Skip to Regions | Skip to Members Sign In
Seamus McAleavey, Chief Executive of the Northern Ireland Council for Voluntary Action, has backed a campaign to cut the tax on Lottery tickets for the next seven years and divert the money to charities.
Olympics cash must not starve good causes
Mr. McAleavey has joined the heads of the English, Scottish and Welsh councils in urging the government to ensure funds are not diverted from good causes. A 3% cut in the tax would release some £140 million per year from now until 2013.
In a joint statement the four chief executives say the voluntary and community sector wants the Olympics to succeed. However, £1.5 billion is being diverted from other good causes over the next seven years and it could be more if the organisers have to pay more than £250 million in VAT.
Few people realise that only £28 out of every £100 raised by the Lottery goes to charity and a chunk of that is being spent on the London Olympics in 2012. As a result the amount going to good causes is falling.
At present the government takes 12% of all the Lottery money in tax, about £570 million per year. In the longer term the voluntary and community sector believes this Lottery tax should be abolished.
In the meanwhile, a reduction in the tax between now and 2013 would provide an extra £140 million or so to allow charities to continue with their good work
The joint statement reads:
“The voluntary and community sector wants the London Olympics to be a success.However with approximately £1.5 billion of Lottery incomealready being diverted, news that further fundsare needed to meetthe Olympics' VAT bill is worrying.
“The sector should contribute its share,but voluntary and community groups are currently bearing the brunt of the burden. A further raid on the Lottery should not be an option.
“Instead by reducing the tax on lottery tickets from 12% to 9% between 1st April 2006 and 31st March 2013 some £140million could be released to good causes per annum. This would allow the voluntary sector to make its contribution to the Olympics in a fair and proportionate way without financially penalising good causes.”
Notes to editors
For more information contact Paul Mc Gill at NICVA; tel: 
028 9087 7777; mobile: 0772 1746 805.
Footer
NICVA | 61 Duncairn Gardens | Belfast | BT15 2GB
Northern Ireland Council for Voluntary Action is registered as a company limited by guarantee in Northern Ireland (No 1792) and is registered as a charity for tax purposes with the Inland Revenue