Draft guidance on managing conflicts of interest

The Charity Commission, the independent regulator of charities in England and Wales, has opened an informal consultation on new draft guidance for trustees about how to manage conflicts of interest.

There are no changes to the legal duties of trustees but the Commission is producing the new guidance to explain the principles and practical steps in a clearer way.

Conflicts of interest arise in charities of all sizes and if they are not managed appropriately, can cause serious problems. The guidance explains the key principle that trustees must make decisions that are focused only on the best interests of the charity. It is also important that trustees are able to show that they have approached a conflict of interest in the right way.

The new draft guidance sets out practical steps to help trustees identify, manage and record conflicts of interest. The Commission is seeking feedback on whether the guidance is clear and will be helpful, and is keen to hear from charities, trustees and charity experts.

The draft guidance and details of how to comment are available at www.charitycommission.gov.uk/detailed-guidance/trustees-staff-and-volunteers/managing-conflicts-of-interest-a-guide-for-trustees. The consultation closes on Tuesday 20 August.