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Senior pay in the charity sector - NCVO comment to The Times

Commenting for today’s Times story, Martyn Lewis, chair of NCVO, said:

Britain’s best-loved charities are serious, professional organisations responsible for raising and prudently spending hundreds of millions a year on their good work. For an average household name charity, less than one per cent of its spending goes on senior staff pay, which is a sensible amount in order to ensure the charity is well-run and effective. Their executive salaries are typically much smaller than for comparable roles in other sectors.

But some of the organisations profiled here are spending substantially more than normal on very large salaries. Although what they pay is a decision for their trustees, it is incumbent on them to set out clearly and publicly how they have arrived at these figures. They may have special circumstances – if so, they need to explain what these are. Responsible charities are happy to be transparent, and understand that charitable registration is a privilege, not a right.

Please note, early editions of the paper said that NCVO recommends that large charities spend no more than 0.5% of total expenditure on salaries over £100,000. This was an error. We said that around 0.5% of an average large charity's spending is on such salaries.

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