A refreshed Charity Governance Code was recently published, strengthening focus on behaviours and inclusion.
Overview
The updated Charity Governance Code sets out eight core principles for charity boards. It helps trustees think about how they work together, make decisions and manage risk. It highlights how ethics, decision making and inclusion support strong governance. A key change is the Foundation has been formalised in a new first principle which underpins the familiar elements of the code. This principle is not new but clearly sets out how Trustees should take responsibility for, and invest the necessary time and care, in understanding the charity, their responsibilities and legal duties.
PEM’s view
Charities are encouraged to start using the new Code now. It helps boards review how they work and identify where they can improve. Trustees should considering including a short statement in their annual report explaining how they use the Code.
Next steps
Please get in contact with us if you are looking to review your governance. We would be more than happy to help.
Please note that this content is not intended to give specific technical advice. It is designed to highlight some of the key changes rather than provide an exhaustive explanation of the topics. Professional advice should always be sought before action is either taken or refrained from as a result of information contained herein.
