Trustees' annual report
The first paragraph of the Charity SORP makes it clear that "The primary purpose of the trustees' annual report is to ensure that the charity is publicly accountable to its stakeholders for the stewardship and management of the funds it holds on trust" The report therefore should "provide a fair, balanced and understandable review of the charity's structure, legal purposes, objectives, financial performance and financial position". The reader should be able to form a view of what the charity has done (output), its achievements (outcomes) and its impact with respect to its charitable purposes.
The level of detail and disclosures to be included is determined by the size of charity.
| Small Charity | Large Charity | ||
|---|---|---|---|
| Income up to £250k | Income up to £500k | Income over £500k | Non-Company Charity | Charitable Company | All Charities | All Charities |
| Receipts and Payments (Option) | Income and Expenditure | Income and Expenditure | Income and Expenditure |
| Small Charity | Large Charity |
|---|---|
| Reference Details SORP paras. 1.27-1.28 (Smaller Charities only) and 1.52-1.53 | |
| Name of Charity | as over |
| Other name charity is known by | as over |
| Registered Charity Number | as over |
| Charity Regulator | as over |
| Charity's principal address | as over |
| Administration Details SORP paras. 1.27-1.28 (Smaller Charities only) and 1.52-1.53 | |
| Names of Trustees at date of report; Also indicating offices held and body or person entitled to appoint (if any) | as over |
| Names of Trustees who acted during the period; Also indicating offices held and body or person entitled to appoint (if any) | as over |
| Corporate Trustees (if any); the names of directors at the date of the report | as over |
| Custodian or Nominee trustees; both at the date of the report or who acted during the period | as over |
| Details of the delegated day-to-day management; Including names of chief executive and senior staff at the date of the report and who acted during the period | |
| Names and addresses of other relevant organisations such as auditors, bankers or solicitors | |
| Structure, governance and management SORP paras. 1.25-1.26 (Smaller Charities only) and 1.51 | |
| Describe the type of governing document; could include trust deed, memorandum and articles of association, charity commission scheme, Royal Charter or for Anglican churches the PCC Powers Measure | as over |
| Describe how the charity is constituted; such as limited company, unincorporated association, trustees incorporated as a body, charitable incorporated organisation (CIO), community benefit society or friendly society etc. | as over |
| Details of methods used to recruit and appoint new charity trustees; this could include procedures to ensure there is an appropriate mix of skills, ethnicity and gender. | as over |
| Describe the charity's organisation structure and where relevant, those of subsidiaries. How key decisions are made and where they are made, by trustees or delegated. Details of sub-committees where relevant | |
| Describe the charity's organisation structure and where relevant, those of subsidiaries. How key decisions are made and where they are made; by trustees or delegated. Details of sub-committees where relevant | |
| Details of policies and procedures for the induction and training of trustees. Demonstrate how the charity provides its trustees with appropriate help and guidance to fulfil their role | |
| What are the arrangements including criteria or benchmarks, for setting remuneration for the key management personnel. Details of any remuneration sub-committee and its constitution. | |
| Describe relationships with related parties including all key partnerships and any trading subsidiaries | |
| Details of wider networks including membership of or affiliation with any umbrella bodies | |
| Objectives and activities SORP paras. 1.17-1.19 (Smaller Charities only) and 1.35-1.39 | |
| Summarise the purposes of the charity as set out in its governing document | as over |
| Summarise the main activities in relation to those purposes for the public benefit, in particular the activities, projects or services identified in the financial statements | as over |
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| Achievements and performance SORP paras. 1.20 (Smaller Charities only) and 1.40-1.45 | |
| Summarise the main achievements of the charity both in a qualitative and quantitative way, identifying the difference the charity's work has made to its beneficiaries and if relevant to wider society | as over |
Set out how well the activities undertaken by the charity and subsidiaries performed and met the aims and objectives for the reporting period.
Provide a balanced view of successes and failures as well as supporting evidence. In particular
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| Financial Review SORP paras. 1.21-1.24 (Smaller Charities only) and 1.46-1.48 | |
| review the charity's financial position at the end of the reporting period | as over |
| importantly it must explain any policy it has for reserves, stating the amount and why they are held | also include
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| If, at the date of approving the report and accounts, there are uncertainties about the ability of the charity to continue as a going concern these must be explained | as over |
| identify and give details of any fund or subsidiary that is materially in deficit, explaining the circumstances and actions being taken to eliminate the deficit | as over |
comment on significant events that have effected the financial performance and position of the charity during the reporting period, in particular
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| Plans for future period SORP paras. 1.49-1.50 | |
| provide a summary of the charity's plans for the future, including its aims and objectives and details of any activities planned to achieve them | |
| explain the trustees' view of the future direction of the charity, detailing how experience and lessons learned have influenced future plans and decisions about allocating resources to the best effect | |