Becoming a charity trustee is a meaningful way to support a cause you care about. For many smaller charities, trustees are the people keeping services running, protecting limited funds and making sure decisions are made in the best interests of beneficiaries. The role is usually unpaid, but it does carry real legal responsibilities.
The good news is that trustees are not expected to be legal experts. The Charity Commission expects trustees to take their responsibilities seriously, act honestly and reasonably, and make informed decisions. For a smaller charity, that often means getting the basics right: knowing your charity’s purpose, understanding how decisions are made, keeping proper records and asking for advice when needed.
Who is a charity trustee?
A charity trustee is one of the people with overall responsibility for directing and governing a charity. You might not have the word “trustee” in your title. Depending on the charity’s structure, trustees may be called directors, committee members, governors or board members. What matters is whether you are part of the body with ultimate responsibility for how the charity is run.
The six main legal duties
The Charity Commission’s core guidance, CC3: The Essential Trustee, sets out six main duties for trustees. These apply to trustees of charities in England and Wales, including many smaller charities that may be run largely by volunteers.
1. Make sure the charity is carrying out its purposes for the public benefit
Your charity exists for specific purposes, often called its “objects”. These are set out in its governing document, such as a constitution, trust deed or articles of association. As a trustee, you should understand what the charity was set up to do and make sure its activities stay within those purposes.
For a smaller charity, this can be as simple as asking at board meetings: “How does this activity help us achieve our charitable purpose?” and “Who benefits from this decision?”
There is no legal definition of “public benefit” in charity law. In practice, it means your charity’s purposes must be charitable in law, and the benefit they provide must be available to the public, or to a sufficient section of the public, rather than to a restricted private group.
2. Comply with the governing document and the law
The governing document is your charity’s rulebook. It should explain how trustees are appointed, how meetings are held, what decisions require approval and what powers the charity has. New trustees should read it early and keep a copy to hand.
Charities may also need to comply with laws covering areas such as safeguarding, employment, data protection, fundraising, health and safety, equality, finance and reporting. Trustees do not need to know every detail personally, but they should make sure the charity identifies the rules that apply and has proportionate processes in place.
New trustees should also be aware of the automatic disqualification rules. Certain people are legally barred from acting as a charity trustee, including anyone with an unspent conviction for offences involving dishonesty or deception, terrorism, or money laundering, anyone on the sex offenders register, and anyone currently disqualified as a company director. Charities should check eligibility as part of the appointment process, not assume it is someone else’s responsibility.
3. Act in the charity’s best interests
Trustees must put the charity’s interests first. This means making balanced, informed decisions, managing conflicts of interest and avoiding situations where personal interests, loyalties or relationships could influence the board’s judgement.
Smaller charities often rely on close local networks, which can make conflicts more likely. That is not necessarily a problem, provided conflicts are declared, recorded and managed properly. A simple conflicts of interest policy and a standing agenda item at trustee meetings can go a long way.
4. Manage the charity’s resources responsibly
Trustees are responsible for the charity’s money, assets, reputation, staff and volunteers. This includes making sure funds are used only for the charity’s purposes, financial controls are proportionate, risks are reviewed and reserves are monitored.
For smaller charities, practical steps include approving an annual budget, checking regular management accounts, using two-person payment controls where possible, keeping clear records of restricted funds and reviewing insurance cover.
It is also worth checking whether the charity holds trustee indemnity insurance, which can protect trustees personally against the costs of certain claims made against them for decisions taken in good faith on the charity’s behalf.
5. Act with reasonable care and skill
Trustees should use their skills and experience, prepare for meetings, read papers, ask questions and take advice where appropriate. The standard expected may be higher where a trustee has particular professional expertise, but every trustee should take an active interest in the charity’s work.
A trustee does not have to agree with every decision, but they should be willing to challenge constructively. Asking “awkward” questions can be part of good governance, particularly where money, safeguarding, risk or compliance is involved.
6. Ensure the charity is accountable
Accountability means being able to explain what the charity does, how decisions are made and how money is used. This includes keeping proper records, preparing accounts and reports, submitting information to the Charity Commission where required and communicating honestly with supporters, funders and beneficiaries.
In a small charity, accountability does not need to be complicated. Clear minutes, basic financial reporting, up-to-date policies and a shared understanding of who is responsible for what can make a significant difference.
A first-90-days checklist for new trustees
- Read the governing document and check you understand the charity’s purposes, powers and decision-making rules.
- Confirm you are eligible to act as a trustee and have been properly appointed.
- Ask for the latest accounts, budget, reserves position and any key funding conditions.
- Review recent trustee meeting minutes and note any major risks, disputes or unresolved actions.
- Check whether the charity has key policies in place, such as safeguarding, conflicts of interest, financial controls, data protection and expenses.
- Understand how serious incidents, complaints and safeguarding concerns are reported.
- Meet the chair, treasurer or key staff member to understand current priorities and pressure points.
- Make sure trustee contact details and Charity Commission records are kept up to date where required. Most registered charities must file an annual return with the Commission each year, and keeping the public register accurate (trustees, contact details, income) is a basic compliance obligation that is easy to overlook in smaller charities.
Common pitfalls for smaller charities
Many governance problems in smaller charities start with good intentions but weak processes. Examples include relying too heavily on one person, failing to record decisions, using restricted funds for the wrong purpose, allowing conflicts of interest to go unmanaged or not reviewing whether activities still match the charity’s purposes.
Trustees can reduce these risks by keeping governance simple but consistent. A small charity does not need corporate-style bureaucracy, but it does need clear responsibilities, transparent decision-making and enough financial oversight to spot problems early.
Final thought
Trusteeship is a responsibility, but it should not feel intimidating. For new trustees, the most important step is to engage: read the papers, understand the charity’s purpose, ask questions and work collectively with fellow trustees. For smaller charities, strong governance is not about paperwork for its own sake. It is about protecting the charity, supporting volunteers and staff, and making sure the organisation can keep delivering for the people and communities it exists to serve.
Need support with trustee duties?
If you are a charity trustee, or you support a small charity board, taking time to review your governance arrangements now can help prevent problems later.
Our charity team can help you understand your trustee duties, review your governing document, update key policies and put proportionate processes in place for confident decision-making.
For a practical conversation about how your charity can strengthen its governance, please get in touch with our team.
This article is intended as general information for charities in England and Wales and should not be treated as legal advice. Trustees should refer to the Charity Commission’s guidance, CC3: The Essential Trustee (available at gov.uk), and seek professional advice where needed.
