The responsibilities of charity trustees

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Charity trustees have specific legal responsibilities. These include:

• being responsible for directing the affairs of the charity
• ensuring its is solvent and well-run
• ensuring it delivers the charitable outcomes for the benefit of the public for which is has been set up
• ensuring the charity complies with charity law, its own governing document and other relevant legislations
• ensuring that the charities funds and assets are use only to further the objects (or purpose) of the charity
• to avoid undertaking activities that might place the charity’s funds, assets, endowments or reputation at risk
• to use reasonable skill and care in their work as trustees
• to consider getting external professional advice when appropriate e.g. if there is a material risk to the charity
• to act with integrity and avoid any personal conflicts of interest or misuse of charity funds or assets.

There are a few people who cannot be trustees, for example people who are bankrupt or have unspent convictions for dishonesty. There are also some age restrictions. Do check your eligibility to be a charity trustee.

The Charity Commission or your charity can take action against you if you do not discharge your responsibilities properly. This is very rare and only likely to arise if your failure to act properly causes a loss to the charity or improper gain to trustees. 

Useful links

• CC3 - The Essential Trustee: what you need to know and CC10 - Hallmarks of an Effective Charity are useful guides from the Charity Commission.
• Reducing the risks (pdf 247kb) offers practical advice on assessing and minimising the risks associated with charity trustee liability.
• Duties of Charity Trustees (pdf 546kb) is a clear and useful guide published by solicitors Bates Wells and Braithwaite.
• For Love and Money: Governance and Social Enterprise (pdf 1.74kb) highlights aspects of governance that are specific to social enterprises.

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