13/11/2024
Regulatory Alert – local authorities as charity trustees
David Holdsworth, the new Chief Executive of the Charity Commission, has recently written to local authorities regarding their responsibilities as charity trustees. His letter highlights a concerning rise in cases where local authorities have mishandled or improperly disposed of charitable assets, such as land and buildings. This mismanagement can lead to significant legal and administrative complications.
Key points from the letter include:
Asset Review: Local authorities are urged to review their asset registers to clearly identify charitable assets, ensuring clarity about which assets are governed by charity law.
New Formal Guidance: The letter also emphasised the importance of adhering to new formal guidance designed for local authorities. This guidance covers:
– Trustee responsibilities
– Handling conflicts of interest
– Filing requirements
– Rules for disposing of charitable land
Councillor Guidance: A shortened version of this guidance has been produced for councillors and should be distributed to elected representatives.
Additional Resources: A recommendation to review the new guidance on recreation ground charities, which addresses common issues faced by trustees and offers practical advice on recruitment and fundraising.
Guidance: https://bit.ly/4fiTlLn
Guidance: https://bit.ly/48nq9kj
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