Transparency and accountability are cornerstones of the charity sector. To bolster these principles, the Charities Regulator is introducing a new, easy-to-understand system on the Register of Charities: a traffic light system for annual reporting compliance.

What’s Changing?

Imagine glancing at a charity’s record and instantly knowing if they’re keeping up with their legal obligations. That’s the power of the new traffic light system. Here’s how it works:

• Green Light: Indicates the charity has submitted their annual report on time.
• Amber Light: Signals the charity is approaching or has passed the deadline for submission.
• Red Light: Shows the charity has failed to submit their annual report within the required timeframe.

This straightforward visual cue will empower charity trustees, donors, funders, and the public to quickly assess a charity’s reporting practices.

Important Notes:

• This system applies only to annual reports due after the system’s launch. So, past reporting history won’t be reflected.
• The exact launch date will be announced soon, and charities will be notified directly.

Why Does On-Time Reporting Matter?

Submitting annual reports is more than just paperwork—it’s a legal requirement. These reports are vital for maintaining an accurate and transparent Register, fostering public trust, and providing crucial information to funders.

The Charities Regulator is serious about compliance. They’re continuing their targeted initiative, which has already led to prosecutions and removals from the Register for persistent non-compliance.

Ready to Go Green?

KomSec urges all charities to proactively review their reporting processes. Don’t wait for the launch! Ensure you’re prepared to submit your annual report on time and secure that coveted green light.

Resources and Support:

The Charities Regulator website is packed with resources and guidance to help you navigate the annual reporting process.

We understand compliance can be complex. Feel free to contact us for guidance and help.