Charities Urged to get Financial Information in Order


Charities are being urged to get their financial information in order after new research revealed that over 75 per cent of donors would not give money to a charity which had failed to file its financial information.

A report from the Charity Commission has found that three out of four people would not give money to a charity which had not submitted its financial accounts and returns on time, meaning that good causes could be missing out on vital donations.

And with Christmas being one of the main periods of charitable giving – when donors give an average of £40 to their chosen good causes – charities in the North East are being urged to ensure their financial information is up to date, and to seek the help and assistance they may need to compile them.

Research also revealed that 6.5m searches were carried out on the Commission’s online registry for information on charities, showing the level of interest in charities and their activities.
Whilst there is no financial penalty from the Charity Commission for late filing of a charity’s accounts or annual return, the new research highlights that failure to submit financial information on time can impact in other ways.

Katrina Hopkin, a charities specialist at Newcastle-based law firm Sintons, works with charities across the North East.

She said: “This new research lays bare the importance of filing your financial information on time, and the damage a charity could suffer to its reputation if it fails to do so. It proves that charities, which are probably being run perfectly legitimately and properly, could be missing out on vital donations because of what could be a simple oversight, or confusion how to file their accounts and returns properly.

“However, this report should certainly be sufficient to make charities make filing their information a priority. Myself and the charities team at Sintons work extensively with charities across the North East, supporting them on a range of issues, including financial reporting. Any charity with problems in this area should seek guidance and clarification, to ensure they can adhere to their deadlines and avoid any resulting detrimental effect to their reputation.”

If you would like further information, please contact our charities sepcialist, Katrina Hopkin on 0191 226 3741 or email katrina.hopkin@sintons.co.uk


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