Advocacy has become an increasingly common aspect of charitable work in Aotearoa New Zealand. A frequent question is how far a charity can go before advocacy risks its charitable status by deviating from the definition of a “charitable purpose” under section 5 of the Charities Act 2005.
Can Charities Engage in Advocacy?
In short, yes, charities can engage in advocacy, without automatically jeopardising their charitable status. Charitable and political purposes are not mutually exclusive. This reflects a shift from earlier legal interpretations, where political purposes disqualified an organisation from charitable status unless the purposes were ancillary to a primary charitable purpose.
The change in position came in 2015 with the Supreme Court ruling in Greenpeace. Greenpeace successfully challenged the decision that they did not qualify for charitable status and had their charitable status reinstated. The subsequent decisions in Family First New Zealand and Better Public Media Trust have further brought into focus the New Zealand position on charities and advocacy.
When is Advocacy Considered Charitable?
Advocacy is considered charitable when it clearly aligns with the organisation’s charitable purpose. This can be assessed through the trust deed and the organisation’s actual activities. Relevant factors include:
- The end goal being advocated for,
- The means used to achieve that goal,
- The practical steps taken to advocate for the cause.
A key consideration is whether the organisation promotes its views in a fair and balanced manner. Organisations should therefore ensure their advocacy is not one-sided; opposing views should be acknowledged and considered.
Importantly, advocacy can still be charitable even if it supports a controversial position or conflicts with mainstream opinion. In Better Public Media Trust, the Court of Appeal confirmed that disagreement with popular views does not disqualify a charity. However, if an organisation primarily promotes a social or political ideology without delivering tangible public benefits, it may struggle to demonstrate a genuine charitable purpose in its advocacy.
Practical Implications
Practically this means that charities may engage in a range of advocacy activities as long as they can be clearly connected to the organisations charitable purpose. Commonly this may include:
- Making submissions on policy,
- Raising awareness through media commentary,
- Organising or participating in lawful protests,
- Signing petitions,
- Publishing reports.
However, it is not charitable to support or oppose a political party or candidate, promote a singular, exclusionary viewpoint or engage in illegal activities.
Ancillary Advocacy
Even if some advocacy activities are not charitable on their own, they may still be permissible if they are ancillary, meaning they are minor and connected to the organisation’s broader charitable purpose.
Charities play a vital role in democracy, speaking out on issues that matter to their communities. Advocacy, when conducted responsibly and in alignment with charitable purpose, is not only permitted but encouraged. Understanding the boundaries of charitable advocacy is essential for organisations seeking to make a meaningful impact while maintaining their charitable status.
