Recreational Charities Act 1958
Encyclopedia
The Recreational Charities Act 1958 was an Act
of the Parliament of the United Kingdom
that recognised the place of "recreational facilities" within English law
on charitable trusts
. In trusts law, there are requirements that such trusts contain both a charitable purpose and public benefit. Charitable trusts are invalid if they include "purely recreational pastimes", as in IRC v City of Glasgow Police Athletic Association; even though the purpose of the charity was to improve the efficiency of the police force, the fact that this included a recreational element invalidated the trust. In response to this case and IRC v Baddely, the Recreational Charities Act was passed.
The Act provides, in Section 1, that "it shall be and be deemed always to have been charitable to provide, or assist in the provision of, facilities for recreation or other leisure-time occupation, if the facilities are provided in the interests of social welfare". This preserves the requirement of public benefit, with acceptable "social welfare" interests being where the facilities are dedicated to "improving the conditions of life" of the young, old, physically handicapped, poor or people with extenuating "social or economic circumstances". Section 1(3) provides the facilities at women's centres, community centres and sports grounds as particular examples of ones advancing "social welfare". In Section 2 the Act specifically covers trusts set up under the Miners’ Welfare Act 1952 before 17 December 1957, when the Act received its first reading in the House of Lords
. Section 3 of the Act notes that the provisions do not validate, invalidate or disturb any charities established before 17 December, while Sections 4 and 5 note that the Act applies to both Northern Ireland
and the Crown
.
Section 2, dealing with trusts established under the Miners' Welfare Act, was repealed by the Charities Act 2006
, while Section 4 was repealed by the Northern Ireland Constitution Act 1973
. The Act was subject to judicial interpretation in Guild v IRC
, where it was decided that recreational charities could be for public benefit if they impacted on the public in general, not just the categories of people listed in Section 1; Lord Keith
stated "the fact is that persons from all walks of life and all kinds of social circumstances may have their conditions of life improved by the provision of recreational facilities of a suitable nature".
Acts of Parliament in the United Kingdom
An Act of Parliament in the United Kingdom is a type of legislation called primary legislation. These Acts are passed by the Parliament of the United Kingdom at Westminster, or by the Scottish Parliament at Edinburgh....
of the Parliament of the United Kingdom
Parliament of the United Kingdom
The Parliament of the United Kingdom of Great Britain and Northern Ireland is the supreme legislative body in the United Kingdom, British Crown dependencies and British overseas territories, located in London...
that recognised the place of "recreational facilities" within English law
English trusts law
English trusts law is the original and foundational law of trusts in the world, and a unique contribution of English law to the legal system. Trusts are part of the law of property, and arise where one person gives assets English trusts law is the original and foundational law of trusts in the...
on charitable trusts
Charitable trusts in English law
Charitable trusts in English law are a form of express trust dedicated to charitable goals. There are a variety of advantages to charitable trust status, including exception from most forms of tax and freedom for the trustees not found in other types of English trust. To be a valid charitable...
. In trusts law, there are requirements that such trusts contain both a charitable purpose and public benefit. Charitable trusts are invalid if they include "purely recreational pastimes", as in IRC v City of Glasgow Police Athletic Association; even though the purpose of the charity was to improve the efficiency of the police force, the fact that this included a recreational element invalidated the trust. In response to this case and IRC v Baddely, the Recreational Charities Act was passed.
The Act provides, in Section 1, that "it shall be and be deemed always to have been charitable to provide, or assist in the provision of, facilities for recreation or other leisure-time occupation, if the facilities are provided in the interests of social welfare". This preserves the requirement of public benefit, with acceptable "social welfare" interests being where the facilities are dedicated to "improving the conditions of life" of the young, old, physically handicapped, poor or people with extenuating "social or economic circumstances". Section 1(3) provides the facilities at women's centres, community centres and sports grounds as particular examples of ones advancing "social welfare". In Section 2 the Act specifically covers trusts set up under the Miners’ Welfare Act 1952 before 17 December 1957, when the Act received its first reading in the House of Lords
House of Lords
The House of Lords is the upper house of the Parliament of the United Kingdom. Like the House of Commons, it meets in the Palace of Westminster....
. Section 3 of the Act notes that the provisions do not validate, invalidate or disturb any charities established before 17 December, while Sections 4 and 5 note that the Act applies to both Northern Ireland
Northern Ireland
Northern Ireland is one of the four countries of the United Kingdom. Situated in the north-east of the island of Ireland, it shares a border with the Republic of Ireland to the south and west...
and the Crown
The Crown
The Crown is a corporation sole that in the Commonwealth realms and any provincial or state sub-divisions thereof represents the legal embodiment of governance, whether executive, legislative, or judicial...
.
Section 2, dealing with trusts established under the Miners' Welfare Act, was repealed by the Charities Act 2006
Charities Act 2006
The Charities Act 2006 is an Act of the Parliament of the United Kingdom intended to alter the regulatory framework in which charities operate, partly by amending the Charities Act 1993.-Provisions:...
, while Section 4 was repealed by the Northern Ireland Constitution Act 1973
Northern Ireland Constitution Act 1973
The Northern Ireland Constitution Act 1973 was an Act of the Parliament of the United Kingdom which received the Royal Assent on 18 July 1973...
. The Act was subject to judicial interpretation in Guild v IRC
Guild v IRC
Guild v IRC was an English trusts law case dealing with charitable trusts which confirmed that recreational facilities open to the public could be valid charities. Guild was the executor of the estate of James Russell, who left his estate "for the use in connection with the sports centre in New...
, where it was decided that recreational charities could be for public benefit if they impacted on the public in general, not just the categories of people listed in Section 1; Lord Keith
Henry Keith, Baron Keith of Kinkel
Henry Shanks Keith, Baron Keith of Kinkel GBE, PC, QC was a Scottish judge.He was educated in the Edinburgh Academy, at the Magdalen College, Oxford, where he graduated with a Master of Arts and the University of Edinburgh, where he graduated with a Bachelor of Law...
stated "the fact is that persons from all walks of life and all kinds of social circumstances may have their conditions of life improved by the provision of recreational facilities of a suitable nature".