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Clarification on trustee payments and expenses

Howard Lake | 6 June 2008 | News

The Charity Commission has published ./guidance on how charities’ boards should handle payments to charity trustees for providing their charities with goods and services, as set out in the Charities Act 2006.
The Commission’s updated ./guidance, “Trustee expenses and payments (CC11)”, remains committed to the principle of voluntary trusteeship but also covers the issues involved when trustee payment becomes an issue.
For example, it addresses:
* when trustees can be paid for supplying goods and services
* what to do about accountability and management of conflicts of interest
* when it might be appropriate to pay a trustee for their trusteeship; and
* what does and does not count as reasonable expenses
Rosie Chapman, Executive Director of Policy and Effectiveness, said: “The voluntary principle of trusteeship remains at the heart of the role. Our updated ./guidance provides clear and practical advice on all types of trustee payments, and reinforces the importance of clear and transparent reporting in this area.
“We have taken the opportunity in this updated ./guidance to explain the new provisions in the Charities Act 2006, which enable charities to pay trustees for providing goods and services.”