The Community Amateur Sports Club (CASC) scheme was introduced in 2002 as a government initiative designed to support grassroots sport in the UK by providing tax relief and financial benefits to local clubs that operate on a not-for-profit basis and promote participation in amateur sport.
Since its inception, thousands of clubs across the UK, including many golf clubs, have registered under the scheme. CASC status brings with it a few significant advantages, most notably relief from business rates, the ability to claim Gift Aid on donations, and various tax exemptions.
For many smaller or community-oriented golf clubs, this has proven to be a welcome financial lifeline, helping them remain viable and inclusive, especially during challenging economic periods.
Historically, golf clubs joining the CASC scheme have benefitted in several tangible ways. One of the most attractive aspects is the 80% mandatory relief on business rates, which has often translated into thousands of pounds of savings annually. Given the large land footprint of most golf clubs, business rates can be a substantial financial burden. CASC status effectively reduced this, allowing clubs to reallocate funds to course maintenance, youth development programmes, or simply sustaining affordable membership fees. Furthermore, the ability to claim Gift Aid on donations has opened new fundraising avenues. For every £1 donated by a UK taxpayer, clubs could claim an additional 25p from HMRC, provided the donation was unrestricted. This has supported the development of new facilities, junior coaching sessions, and improved accessibility for disadvantaged groups.
Another historic benefit has been the exemption from corporation tax on trading income up to a certain threshold, and on income from property such as rent from bar or café facilities, provided these activities remain non-substantial compared to the club’s overall operations. This has encouraged clubs to diversify their revenue streams without fear of punitive tax bills, and to operate more entrepreneurially while remaining within the bounds of amateur sport.
However, over the last decade, the attractiveness of the CASC scheme to golf clubs has begun to wane for some, due in part to changes in the rules and the administrative burdens that now accompany compliance. In 2015, the government introduced tighter eligibility rules to ensure that only truly community-focused clubs benefited. These included stricter thresholds on income from non-member trading and limits on fees that could be charged to members. Golf clubs that had traditionally charged higher fees were suddenly forced to justify their pricing or risk disqualification. In particular, clubs were required to offer a “cost effective” membership option, with an annual cost no higher than £520, to ensure that low-income individuals were not excluded. This has presented practical difficulties for some golf clubs with higher maintenance costs or located in areas with limited land availability.
The need to monitor and document every aspect of a club’s financial activities in order to stay within the limits imposed by the scheme has added layers of administrative burden. While CASC registration still brings tax benefits, the compliance requirements have become more onerous, often requiring clubs to invest in professional advice and regular reviews of their structures. For smaller clubs with limited volunteer capacity, this can be both time-consuming and costly.
Another issue has been the restrictions placed on what kinds of trading and income-generating activities are permissible under the CASC scheme. Clubs looking to expand their social or commercial offerings – such as weddings, functions, or gym facilities – can find themselves constrained by the requirement that non-member trading must not exceed £100,000 per year. Exceeding this threshold can lead to a club being deemed ineligible, potentially triggering tax liabilities and forcing a reversion to a standard corporate structure. In some cases, clubs have had to set up separate trading subsidiaries to continue offering these services, introducing further complexity.
Given these developments, it is worth asking whether remaining within the CASC scheme is still the right decision for your golf club. The answer depends largely on the nature and goals of the individual club. For those with a strong community focus, modest membership fees, and limited non-member trading, CASC status may still offer meaningful advantages. The business rates relief and access to Gift Aid alone may outweigh the compliance challenges. However, for clubs seeking greater commercial flexibility, or those that cater to a more affluent membership base with higher fees and extensive facilities, the restrictions can feel prohibitive.
Exiting the CASC scheme is not a decision to be taken lightly. Once a club leaves, it cannot rejoin for at least 12 months, and any reapplication is subject to HMRC scrutiny under the latest rules. Furthermore, the loss of business rates relief and Gift Aid eligibility can have an immediate financial impact. However, some clubs have found that the trade-off is worthwhile, particularly if it allows them to generate higher income from social functions, invest in premium facilities, or adopt a more commercially sustainable model.
Ultimately, each golf club must evaluate its objectives, membership profile, and revenue model to determine whether CASC status remains a good fit. A careful financial analysis, perhaps with the support of a tax advisor or consultant familiar with the scheme, can help clarify the costs and benefits. What was once a universally attractive option is now a more nuanced choice, requiring thoughtful consideration and forward planning. For many, CASC remains a valuable tool in supporting amateur golf and community engagement. But for others, the time may have come to move beyond the scheme in pursuit of broader goals and greater operational freedom.
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