Charities' use of government grants curbed

Image captionCharities can still use privately-raised funds to campaign as they like

Organisations that are given government grants will be banned from using the money to try to persuade ministers to change the law or increase spending.

A new clause will be added into all new and renewed grant agreements to ensure funds are spent on good causes, rather than on political campaigns.

Cabinet Office minister Matthew Hancock said "the farce of government lobbying government" had to stop.

But a senior charity source said it was an attack on freedom of speech.

The Cabinet Office said the government gave the voluntary sector about £10bn in grants last year.

Mr Hancock said: "The public sector never lobbies for lower taxes and less state spending, and it's a zero sum game if Peter is robbed to pay Paul."

But the senior charity source told the BBC: "Charities are not only about Tiny Tim on his crutch, but espousing the cause of the disadvantaged.

"That will sometimes be uncomfortable for any government."

Under the rules, which will take effect in May, charities can still use privately-raised funds to campaign as they like.   http://www.bbc.com/news