Are Discussions of Fundraising Regulation Giving Trustees the Green Light to Be More Operational?

At a Glance

Updated fundraising regulations now hold trustees directly accountable. This means boards must balance oversight with support, review skills, use risk registers, and engage with staff more closely. KindLink helps maintain this balance through compliant fundraising, reporting, and other essential activities in a transparent manner.

Fundraising Rules for Charities

The debate surrounding fundraising regulations and the role of trustees is ongoing, and it is more relevant than ever before. In recent times, the Charity Commission rules have undergone a drastic change to a sector that is more digital-first, with stringent fundraising rules and stricter public scrutiny and donor expectations.

Running a non-profit organisation while keeping up with the changing charity regulations in the UK is no easy feat. While trustees are primarily responsible for fundraising activities, it is the operational staff who run donation campaigns at the ground level and need freedom to explore new strategies and undertake digital-first campaigns to drive more funds.

An important question remains: how can operational staff get trustees more involved in what they’re doing without crossing the lines of governance?

You may be asking, “Where has this come from?” Well, mainly because the recent furore over fundraising practice in the sector is unsettling for many. This, in combination with a new fundraising regulator and a clear line from the Charity Commission, which ultimately holds trustees responsible, has meant we have entered a sort of mini ‘governance crisis’. 

And of course, if we don’t get it right, that mini crisis may turn into a big one, with potentially disastrous consequences for charities and the benefactors that rely on our services.

At KindLink, we understand the extent and weight of the work that charities do. Our all-in-one charity CRM includes tools to help ease and streamline the workload of trustees and operational staff, while making it easy to raise funds. 

We use advanced, regularly updated security measures, automate Gift Aid reporting, help you manage your volunteers, and much more. 

In this guide, we explore the changing UK fundraising regulations and how they impact charities and trustees.

Changes in Charity Regulations in the UK

Charities and non-profits are increasingly under scrutiny by the public, donors and regulatory bodies due to recent high-profile fundraising scandals and changing donor expectations. 

With the use of digital fundraising tools and AI, data and privacy concerns, especially those of donors, have been increasing rapidly. 

Fundraising regulations and the role of trustees have become more important than ever. While Charity Commission rules are in place to make fundraising ethical, transparent and accountable, trustees and executives must work towards ensuring data compliance and monitoring and maintaining a positive brand image across all digital touchpoints. 

The Charity Commission rules ultimately place the onus of any breach of fundraising regulations on trustees. Trustees are responsible for policymaking, carrying out vigilance activities and for the actions of volunteers and operational staff.

Whether you are a new trustee member or someone who has been in the role for a long time, these are some Charity Commission rules and guidelines you must remain aware of:

1. Principles-based Code of Fundraising Practice: This is where trustees must ensure executives follow legal, ethical, and honest fundraising practices. 
2. Updated Trustee Guidance on Fundraising (CC20 & CC30 updated): These charity regulations in the UK govern trustee responsibilities, appointment and finding new members. 
3. Enhanced Oversight of Fundraising Practices: The Charity Commission has now set new expectations for fair donation practices and volunteer training. 
4. Statement of Recommended Practices (SORP) change: Likely to be implemented from FY 2026, trustees will face new amendments concerning lease accounting and revenue recognition.
5. Updated Charity Governance Code: There will be new rules surrounding trust board effectiveness, diversity and transparency.

So, how do trustees embrace their new responsibilities and regulatory accountability without micromanaging their operational staff?

Six-Step Method for Trustees To Be More Operational

Here are six potential steps to ‘appropriately’ get trustees involved in the detail:

 1. Appoint Board Champions or Leads 

These are people who can be steeped in detail to then relay critical information to boards. The double benefit of this is that operational staff can ‘litmus test’ their ideas with a trustee. For the best effect, it is sometimes useful to have two champions – one who is an expert in the area and can provide guidance, and one who is not. 

Imagine if trustees knew that during telephone fundraising, we asked people to give three times before we let them end the call – I’ll bet most trustees wouldn’t react positively to that at all.

2. Agenda These Issues as ‘Sub-Committee’ Items 

Building on the above point, sub-committees are a fantastic means of providing space and scope for trustees to get into details. This, in turn, allows staff to seek guidance, expertise, skills and a broader perspective on these issues. 

If, for instance, you are working on a big rebrand, then a sub-committee is the perfect place to allow a small group of trustees to ‘govern’ and ‘oversee’ the project, without it taking a disproportionate amount of time from the main board.

3. Make Sure Fundraising is on the Risk Register

This goes for anything with a regulatory burden; risk registers need to be fit for purpose, and they must be regularly reviewed to reflect what is also happening in the wider sector. Fundraising is usually missing from risk registers and can potentially invite trouble.

4.Have Board Briefings 

You can invite a different member of the staff to run briefing sessions around critical areas. It could be a member of your digital team coming up with some fresh ideas. If we apply this to fundraising, then spending 1 hour understanding the changes in the sector can be productive at best.

5. Review the Board’s Skills 

It’s best practice to ensure boards annually check what skills are missing, given a rapidly and ever-changing context within which charities must operate, quite apart from the impact of trustees standing down at the end of their terms of office. ‘Fundraisers-turned-trustees’ are very hard to come by, but it’s becoming an increasingly vital skillset/voice for boards.

6. Become a Trustee 

If you are a fundraiser, you can powerfully influence this debate by becoming a trustee. You can be the champion and ultimately, protect and guide the sector (and your new colleagues) through what is set to be a turbulent few years.

However, don’t place the entire burden on your executive or staff to anticipate the information or perspectives that you need. If you want or need a briefing on something, ask for it. Trustees who are self-aware about their knowledge gaps have an absolute duty to fill that knowledge gap. And more often than not, other trustees will want that support too.

And, allow time for these activities noted above, as well as filling the knowledge gaps. Going forward, I really don’t think two-hour meetings, four times a year, are going to cut it. So if it’s all getting to be too much of a burden, best leave the field to others who can devote a bit more time.

KindLink Makes Fundraising Easier and Transparent

In the future, trustees will have a more hands-on role in the day-to-day operations and fundraising activities of their charities. At KindLink, we have a suite of offerings making it easy to do your job. Gift Aid reporting can be automated with a single click, finding volunteers on our marketplace or creating a personalised fundraising page in less than 10 minutes. 

Our platform is compliant with GDPR, and follows the most advanced security protocols (that are regularly upgraded) to ensure your and donor data is completely confidential and safe. Our non-profit CRM has a free, and paid version, for small startups and businesses looking to grow. We offer complete transparency that allows donors to see the real-world impact of their contribution. 

Sign up to our CRM platform today!