This paper looks at the steps needed to improve charity governance, drawing on NPC’s work with hundreds of charities and their trustee boards.
It offers recommendations to several bodies—from charity boards themselves, through to the Charity Commission, these include:
- Annual reporting by large charities to the Charity Commission (via the Statement of Recommended Practice) should focus on a charity’s impact as well as its financial standing.
- The same annual reporting should include details on training and evaluation undertaken by the board to develop its own work and remain effective.
- The Charity Commission should amend guidance on paying trustees and on allowing senior staff to sit on boards, to avoid disincentivising charities from exploring this where they have a reasonable case. This will be especially important to attracting more diverse board membership.
The NPC believes these recommendations would help improve governance and, by extension, the impact of the sector.