The Charity Commission has published updated finance guidance for trustees, designed to streamline and clarify its advice ahead of a full review of the guidance later this year.
It has updated three publications. The first covers managing financial difficulties and recommends that trustees review the charity’s financial position and its performance against budgets and future projections at least once a month, but says the extent of the review will vary according to the size and stability of the charity.
The second guide covers reserves, and confirms that there is no single level or even a range of reserves that is right for all charities. However trustees should not simply monitor their level of reserves annually, but keep them under review throughout the year.
The third update relates to the Commission’s ‘15 questions trustees should ask’ guide for trustee meetings.
Managing a charity’s finance guidance is here
Reserves guidance is here
15 questions trustees should ask is here