New Act Affirms Churches’ Non-Profit Nature and Enhances Governance Standards

The Churches Incorporation (Amendment) Act, 2025 is in force following the recent publication of the Commencement Order by Cabinet.

This amendment act updates and strengthens the Churches Incorporation Act (2007 Revision). The amendment act modernises the governance arrangements for incorporated churches and reinforces their obligations as non-profit organisations (NPOs).

Key enhancements include:

• Improved Governance: modernises the structure and management of the churches by clearly establishing and empowering boards of officers to act on behalf of the church;
• Ensured Proper Use of Assets and Income: confirms that all church assets and income must be applied exclusively to advancing the church’s purposes, in line with NPO registration requirements;
• Updated Property Ownership Provisions: clarifies the lands held by each incorporated church;
• Recognition of Denominational Name Changes: updates the references to reflect the correct names and jurisdictions of various churches, including the Anglican Church, Seventh-Day Adventists, New Testament Church of God, the Roman Catholic Church, and the United Church in Jamaica and the Cayman Islands.

These reforms aim to promote transparency and accountability among churches established under the Churches Incorporation Act. They form part of the Government’s ongoing commitment to good governance in the non-profit sector, which will be assessed by the Caribbean Financial Action Task Force in their upcoming mutual evaluation of the jurisdiction in 2027.

The commencement of the amendment act follows extensive consultation with church representatives and legal advisers to ensure the legislation supports the charitable good works of these churches while aligning with evolving international standards of accountability and governance.