Water services - investing in and paying from 2027: consultation

Annex 2

Assistance for Charitable organisations

Ministers confirm there will continue to be a scheme to assist charities with the payment of water and sewerage charges for the period 2027-33, subject to the detailed arrangements outlined below.

Qualification Criteria

1. To be eligible to apply for the scheme, an organisation must annually:

1. meet the financial criteria associated with its gross annual income, as disclosed in its most recent set of accounts submitted to the relevant regulator;
2. apply directly to its Licensed Provider; and
3. renew its request for exemption annually.
4. be registered with and provide verified annual accounts to:

i. the Office of the Scottish Charity Regulator (OSCR) as a charity; or

ii. HMRC as a Community Amateur Sports Club (CASC), operating in Scotland.

Exceptions

2. A charity or CASC is not eligible for support if:

1. it is in possession of a permanent alcohol licence.
2. it operates a full-time retail outlet.
3. it operates a café which is open to the public and is operated on a regular basis to generate income.
4. it is a local council or Arms-Length External Organisation (ALEO).

Financial Criteria

3. Ministers confirm the financial criteria associated with the 2021-27 scheme should be extended for the period 2027-33, as follows:

1. Where an eligible organisation has a gross annual income of less than £200,000, as disclosed in its most recent set of accounts submitted to the relevant regulatory body, it will be exempt from the payment of water and sewerage charges.
2. Where an eligible organisation has a gross annual income of £200,000 or more, but less than £300,000, as disclosed in its most recent set of accounts submitted to the relevant regulatory body, it will be eligible for a 50% reduction in wholesale water and sewerage charges. Water and sewerage retail charges will be subject to a cap to be determined by the Water Industry Commission for Scotland.
3. An organisation with a gross annual income of £300,000 or more will not be eligible to apply for support.

Other Criteria

4. An exemption or a reduction will only be awarded where the records held by OSCR or HMRC on the organisation are up to date and in line with those bodies’ requirements.

5. Where organisations are awarded an exemption or reduction through the scheme, it will be granted from the beginning of the financial year in which the award is made.