The Charity Commission has opened a formal consultation into changes to the Annual Return (your charity’s total income and expenditure report submitted to the government). The consultation is open until 1 September. Changes made following the consultation will apply for financial years starting after 1 January 2023.
The Commission are suggesting some important changes to the submission, which include increasing the number of questions and the level of depth.
The Commission say:
- this will give them more data on charities and how they operate
- the new return will help them better understand risks for charities and the regulatory needs of the sector.
Increasing the number of questions could mean the annual return takes more time for charity staff and trustees to gather data and check for accuracy.
At NCVO, we recognise the value of transparency in driving trust in our sector, and so we welcome steps to promote openness. We also welcome the Commission’s emphasis on data-driven support and regulation.
At the same time, we’re also conscious that when presented publicly, data can be taken out of context and misunderstood.
We want to make sure any new questions don’t over-burden charities and the data is clear and easily understood by the public. We encourage members to review the consultation and submit responses.
At NCVO we’ll be preparing our own submission to the consultation. We welcome any feedback or concerns members would like us to consider when drafting our response. Please email us at firstname.lastname@example.org.