The Charity Governance Code is the voluntary code of good governance for charities in England and Wales. Following it is not a legal requirement, but there is significant encouragement (including from the Charity Commission) that charities do so.
The Code’s contents are the responsibility of an independent steering group of people from organisations: the Association for Charity CEOs (ACEVO), the Association of Chairs, National Council for Voluntary Organisations (NCVO), the Chartered Governance Institute and Wales Council for Voluntary Action (WCVA). The group reviews the Code approximately every three years and the latest review is currently underway, with a public consultation through an online questionnaire. Views are invited from charity chairs, trustees and staff and others committed to the charity sector, including professional advisers like Burton Sweet.
The consultation
A section about non-user charities seeks to identify what barriers and obstacles prevent some charities from using the Code. Publicly available information (such as charity websites and public reporting) suggests there are greater numbers of non-users than users.
The rest of the consultation questions focus on the experience and views of charities that have chosen to use all or part of the Code to aid their governance. Views are invited on:
- The content, including whether there are areas that should be added and expanded, for example on staff pay, political engagement, lobbying and campaigning or climate change and environmental issues.
- The structure and accessibility, including whether the current approach of greater detail and more recommendations for larger charities (income over £1 million) and less for smaller charities is correct.
There are also two questions on the challenges charities face when engaging with what are described as ‘current issues and changing trends in society’ and with ‘contentious debates.’ They allow respondents to comment on charities role regarding difficult topics such as: the transition from fossil fuels to greener energy, geo-political conflict, economic issues, modern slavery, human trafficking and migration. Dealing with historical artefacts and buildings relating to contested history and heritage might be other areas people might comment on.
As the Code is a voluntary tool for charities, the suggestion that using it could incur a fee in the future is surprising and may dismay many in an already financially challenged sector. This is justified by money needed to support future development of the Code and enhance it by providing ‘an engaging website and tools.’
To have your say and influence what happens next with the Code complete the online questionnaire by 11 August 2024.
Need some guidance?
Burton Sweet offer advice for charities in all areas of charity governance, including constructive and situation appropriate ways you can use the Charity Governance Code. Please contact our Legal Manager, Charities and Civil Society, Cecile Gillard to discuss how we can help your charity.
