Agenda item

“This Council recognises the invaluable work undertaken by volunteers running village halls and community centres throughout Oxfordshire. The community buildings the volunteers look after provide facilities such as lunch clubs, exercise classes, pre-schools, libraries and other activities to improve health and wellbeing.

Austerity measures and budgets cuts have meant grants towards the costs of improving and maintaining the village halls and community centres are diminishing. The volunteers have to fund raise even more vigorously to maintain and upgrade the buildings they look after. Most building work on village halls and centres is liable for VAT at the standard rate of 20%; so, for instance, a village hall committee raising funds for a £100,000 extension has to find another £20,000 for the VAT bill.  This is a tax on voluntary effort.

This Council agrees to show support for the National Village Halls Forum campaign to reduce the VAT rate for building improvements to charitable organisations by writing to all Oxfordshire MPs to ask them to support the campaign to reduce this tax burden on charitable organisations looking after our village halls and community buildings when considering the next national budget.”

With the consent of Council, Councillor Smith moved and Councillor Johnson seconded her motion as amended by Councillor Bartholomew below in bold italics and strikethrough:

“This Council recognises the invaluable work undertaken by volunteers running village halls and community centres throughout Oxfordshire. The community buildings the volunteers look after provide facilities such as lunch clubs, exercise classes, pre-schools, libraries and other activities to improve health and wellbeing.

Austerity measures and budgets cuts have meant grants towards the costs of improving and maintaining the village halls and community centres are diminishing. The volunteers have to fund raise even more vigorously to maintain and upgrade the buildings they look after. Most building work on village halls and centres is liable for VAT at the standard rate of 20%; but usually parish councils are able to claim this back. However, in some instances charities or community groups not aligned with parish councils could, for example, have to find another £20,000 for the VAT bill on a £100,000 extension. for instance, a village hall committee raising funds for a £100,000 extension has to find another £20,000 for the VAT bill. This is a tax on voluntary effort.

This Council agrees to show support for the National Village Halls, by instructing the Chief Financial Officer to write to parish councils clarifying the VAT position and by writing to all Oxfordshire MPs to ask them to support calls to reduce the VAT burden on charitable organisations looking after our village halls and community buildings when VAT cannot be reclaimed. Forum campaign to reduce the VAT rate for building improvements to charitable organisations by writing to all Oxfordshire MPs to ask them to support the campaign to reduce this tax burden on charitable organisations looking after our village halls and community buildings when considering the next national budget.”

Following debate, the motion, as amended was put to the vote and was carried nem con.

RESOLVED: (nem con)

This Council recognises the invaluable work undertaken by volunteers running village halls and community centres throughout Oxfordshire. The community buildings the volunteers look after provide facilities such as lunch clubs, exercise classes, pre-schools, libraries and other activities to improve health and wellbeing.

Austerity measures and budgets cuts have meant grants towards the costs of improving and maintaining the village halls and community centres are diminishing. The volunteers have to fund raise even more vigorously to maintain and upgrade the buildings they look after. Most building work on village halls and centres is liable for VAT at the standard rate of 20%; but usually parish councils are able to claim this back. However, in some instances charities or community groups not aligned with parish councils could, for example, have to find another £20,000 for the VAT bill on a £100,000 extension. for instance, a village hall committee raising funds for a £100,000 extension has to find another £20,000 for the VAT bill. This is a tax on voluntary effort.

This Council agrees to show support for the National Village Halls, by instructing the Chief Financial Officer to write to parish councils clarifying the VAT position and by writing to all Oxfordshire MPs to ask them to support calls to reduce the VAT burden on charitable organisations looking after our village halls and community buildings when VAT cannot be reclaimed.