Don’t allow disagreements to overshadow your charity’s positive work, says charities regulator  for England and Wales

In May 2024, the Charity Commission closed its long-running regulatory compliance case into the Actors' Benevolent Fund. That case and its outcome highlights some important lessons for all charities. 

The inquiry into the Actors' Benevolent Fund was opened after concerns about the Fund's governance and financial controls, where a disagreement occurred on how trustees were appointed and retired from the charity's board.  The disagreement affected the charity's ability to deliver services and act on the Commission's advice. 

Following this case, the Commission has advised charities to take the steps necessary to avoid disputed trusteeship and minimise the impact of significant disagreements that may arise.  The Commission further recommend that charities:

1. Use the Commission's guidance to ensure governing documents are fit for purpose and ensure they are clear on the process of appointment of trustees and honorary roles.
2. Ensure good practice on governance essentials is embedded, such as running effective meetings and how to appoint or elect trustees in line with the governing document.
3. Ensure regular trustee rotation.  The Commission recommends charities review reappointments of any trustee who has served for nine or more years.
4. Ensure transparency in their decision-making and governance processes.  Minute-taking by charities ensures protection when decisions are challenged during internal disputes or external critics. 

Charities are encouraged to channel their beliefs in the mission of the charity in a constructive and collaborative way. 

The Actors' Benevolent Fund was a difficult and damaging dispute, but the charity was able to elect a trustee board, after holding a new democratic election.