Policy paper

Charity Commission power to appoint an Interim Manager for a charity

Updated 5 July 2024

Applies to England and Wales

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The purpose of an Interim Manager appointment

The Commission can appoint an IM to manage the property and affairs of a charity to the exclusion of its existing trustees [footnote 1]. An IM can also be appointed to work alongside a charity鈥檚 trustees for specific purposes. The appointment of an IM is an interim and protective action. The charity usually pays the IM鈥檚 fees, however in some limited circumstances we may indemnify an appointment.

We appoint an IM after careful consideration of alternative solutions to the problems and/or risks faced by the charity in question and where we are satisfied that the appointment is proportionate in the circumstances. Before making an IM appointment we take a risk-based and proportionate approach, balancing the cost and impact of the IM appointment on the charity against the potential risks if the appointment were not made. An IM appointment is usually appropriate where:

  • we have concerns about a charity鈥檚 ability to operate, and/ or
  • where the trustees are unable or incapable of acting, and
  • where there is significant risk to a charity鈥檚:
    • assets
    • income
    • services
    • beneficiaries, volunteers and/or employees
    • reputation

and/or to public trust and confidence in charity generally.

We aim to appoint IMs with the right skills and experience, and at a cost that will provide the charity with value for money. We maintain a list of approved practitioners from which appointments are usually made. When we need to appoint an IM, we will then generally invite a small number from this list to tender for the appointment.

The positive impacts of an IM appointment may include:

  • bringing independent and expert skills to a charity facing difficult circumstances
  • financial - protecting a charity鈥檚 property, including its funds and income
  • identifying irregularities and inefficiencies and putting these right (where, and if possible)
  • ensuring that a charity鈥檚 beneficiaries or others who come into contact with a charity through its work are protected from harm
  • introducing significant improvements in a charity鈥檚 governance
  • strengthening a charity鈥檚 financial management and controls
  • protecting a charity鈥檚 reputation and/or the reputation of the wider sector (including protecting the public from unlawful/unregulated fundraising)

  1. The trustees or any other person who is, or who may be affected by the Commission鈥檚 Order to appoint an Interim Manager can appeal to the First-tier Tribunal (Charity) within specified timeframes.聽鈫�

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