Use of Parish Council Bank Account

Question

Please could you advise if a residents group can ask the parish council to manage the funds raised for fighting a site proposed in the local plan? The PC are aligned and opposed to the site as well.

It would be funds donated and raised by residents, a sub committee could be formed, with representation from the PC to decide how to best spend the funds (i.e. technical surveys, consultants, lawyers etc) so it is accountable and transparent to parishioners. It is extremely difficult to set up separate bank accounts, not many banks wish to accept small groups and it takes took long to set up. Appreciate any guidance as there is a PC meeting on Monday. Thanks

Answer 1

If the parish council will manage the campaign, they may accept donations from members of the public towards the costs incurred. This is no different from a public appeal for something like a defibrillator. The whole process, from the initial deliberations of the parish council over their involvement, to their agreement to accept donations, to the control and use of the money, the involvement of members of the public etc, must be conducted in accordance with the council's standing orders and financial regulations, as if this were a normal parish council project with no public involvement.

Parish councils have powers to hold endowment funds and manage charities on behalf of others, so there may be no restriction on holding third party funds, although I can't find a legislative proof of this. In these cases too, the money must be treated in the same way as the council's own funds and reported accordingly.

Comments

Exactly as DavetheClerk has said, I would add, that funds raised in this way are also except from the 'free resource' spending limit. (Which otherwise limits spending on items that do not have an identified statutory power).