New rules on who can become a charity trustee

23 January 2018

New restrictions on who can run a charity come into force on 1 August 2018.  It is important that charities look at their own trustee makeup and also assess their recruitment practices to ensure that they are prepared for the new rules.

Some individuals will be automatically disqualified from acting as a trustee or running a charity unless the Charity Commission provides a waiver for that individual.  Those who would be affected either need to get a waiver from the Commission or will need to step down from their role by 1 August 2018.

There is a long list of reasons as to why individuals would be prohibited from running a charity.  These include individuals committing offences related to dishonesty or those who have been declared bankrupt.

The Commission has published some very detailed guidance on the topic, which can be seen here and here.

We welcome this measure, which has been planned for a couple of years, to help make sure that charities’ assets are safeguarded and are operated in a competent manner.  We also welcome this measure which gives the Commission greater powers, which is critical given it is the sector’s regulator.

If you would like to discuss any of the above please contact me or your local UHY charity adviser.