Charity Automatic Disqualification Rules
prepare for changes to the law
On 1 August 2018 the law is changing to extend the scope of who will be disqualified from running a charity. Your charity has probably considered the issue and made appropriate plans but you may want to read the following and ensure that any waivers required are in place.
As you are probably aware, the rules about automatic disqualification for trustees are changing. There are being more reasons, that trigger automatic disqualification, added and the new rules will also apply to some charity senior manager positions in addition to trustees. For example Chief Executives and Finance Directors or alternatively, those in equivalent roles.
Some of the new reasons for disqualification include: being in contempt of court; being named under particular anti-terrorism legislation or being on the sex offenders register.
To make sure that you are one step ahead, there are some things you can do to get ready for these changes.
For Charities
Firstly, it is advisable to make sure that you read, the published Charity Commission, guidance for charities to help you understand what is changing. This guide also includes a disqualifying reasons table that you can download and save for easy referral in the future.
Next, it would be advisable to ask any trustees to check that they won’t be affected by the changes. Senior managers and alike as referenced previously, should also check if the disqualification law will affect them from 1 August 2018.
Should you wish to use them, the Charity Commission have produced sample declarations for senior managers and trustees to state that they won’t be disqualified from acting in these positions. These can be downloaded from the preparing for the rule changes section of the charity guidance.
Going forward it may be worth updating the checks you would make before appointing someone to any senior positions. It is essential that your trustee recruitment considers the new changes.
If you are aware that someone within your organisation is going to be disqualified, tell them that they can apply to the Charity Commission to have their disqualification waived.
Of course, this may be entirely appropriate. there are trustees providing incredibly valued service, expertise and experience to charities that would otherwise be disqualified without a waiver being applied for. In some charitable sectors such as drug and alcohol rehabilitation and organisations that work with ex-offenders, trustees that have previous convictions may be more prevalent.
For Individuals
If you’re a trustee or senior manager or equivalent as referenced previously, at a charity, then you should check that you’re not going to be disqualified by reading the guidance for individuals.
If you will be disqualified, you can apply to the Charity Commission to get your disqualification waived. Otherwise, from 1 August 2018 you must resign if you’re a senior manager. Charity trustees will also have to stop acting in that role too.
If you apply for a waiver before 1 August 2018 when the new rules come into force, you won’t be disqualified until you get a decision from the Charity Commission, or the tribunal if you appeal against their decision.
You can read more about on this via the following link to the Charity Commission website:
Further support and advice
Unlock is an independent charity that provides support for people with convictions. They have a dedicated charity page with further advice and support.
