Art Fund welcomes move, as further guidance on which organisations will qualify for exemptions is expected to follow.
New government rules to help consumers more easily exit paid subscriptions and memberships will include exemptions for some charitable cultural and heritage organisations, it has been announced.
Last year the government first announced plans designed to make it easier for consumers to exit unwanted subscriptions, and to curb free trial periods being silently rolled into paid plans.
These plans have today been firmed up, and will require consumer reminders before free or discounted trials end or 12 month contracts automatically renew, alongside straightforward cancellations such as online exits for online sign ups.
It will also include a new 14-day cooling off period after a free or discounted trial ends, or when a contract renews for 12 months or longer.
Museums and galleries had feared the rules would allow visitors to purchase an annual membership and use its immediate benefits, such as free access to paid exhibitions, before filing for a full refund within the 14 day cooling-off period.
The National Trust, Tate and the V&A were among organisations to sign a letter to the PM last August, warning that the plans risked inadvertently ‘crippling’ effects for their charitable membership models.
“This threatens to cripple the very future value of membership itself as a functional model of income generation for charities with visitor models – currently worth hundreds of millions [of pounds] to charities across the UK every year,” the letter warned.
National Trust, Tate warn government of ‘crippling’ membership rules
But today’s government announcement notes that certain charitable, cultural and heritage memberships are to be exempt from the new rules.
The Department for Business said the exemption recognises “the unique role [charitable, cultural and heritage organisations] have in preserving and opening up access to the nation’s history, landscapes, and cultural collections.”
Advisor understands that current plans will broadly exclude contracts which are between a charity and a consumer and allow attendance to performances, access to see collections, or access to places related to a charity’s charitable purpose; namely museums, galleries, historical properties, and landscapes.
Further guidance for charities offering cultural and heritage memberships is expected to follow.
A spokesperson from Art Fund, which offers an annual National Art Pass membership subscription, welcomed the government’s decision.
The organisation said its National Art Pass “provides direct funding for our charitable work, supporting museums and galleries across the UK”.
“This is a positive step which will safeguard their sustainability and ensure the UK’s cultural and heritage charities can continue to deliver exceptional public benefit for audiences nationwide.”
