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Home » What Are Charity Trustees

What Are Charity Trustees

If you are thinking about getting involved in a charity, you may have come across the term charity trustee. It might sound formal or even intimidating. But in simple terms, a charity trustee is someone who helps run a charity and ensures it is doing what it was set up to do.

This article explains what charity trustees are, what they do, and what responsibilities come with the role. By the end, you will have a clear understanding of whether this role is right for you.

Who Are Charity Trustees?

A charity trustee is a person who has overall control of a charity. As a trustee, you are responsible for making sure the organisation is run properly and achieves its charitable purpose.

You might not always be called a “trustee”. Depending on the charity, you could also be known as:

  • A director
  • A board member
  • A governor
  • A committee member

Regardless of the title, your role remains the same. You are part of the group of people who lead the charity and make key decisions about how it operates.

As a trustee, you are not just holding a position. You are shaping how the charity helps people. Your decisions can affect beneficiaries, employees, volunteers, and even the wider community.

What Does a Charity Trustee Do?

Being a charity trustee means being involved in the strategic direction of the organisation. You are not usually responsible for day-to-day tasks. Instead, your role is to guide, oversee, and make important decisions.

You will typically:

  • Decide what the charity should focus on
  • Set goals and future plans
  • Ensure money and resources are used properly
  • Monitor how well the charity is performing

You will also work closely with other trustees. Decisions are usually made as a group, not individually. This means teamwork and communication are essential.

It is important to understand that being a trustee is not just an honorary role. You are expected to actively participate, attend meetings, and contribute to discussions.

Is Being a Charity Trustee a Paid Role?

In most cases, charity trustees are not paid. It is a voluntary position.

However, you can usually claim reasonable expenses. For example:

  • Travel costs for attending meetings
  • Out-of-pocket expenses related to your role

Even though it is unpaid, the role can be very rewarding. You gain experience, develop new skills, and contribute to a cause that matters.

Who Can Become a Charity Trustee?

Before becoming a trustee, you must meet certain eligibility criteria.

You must:

  • Be at least 16 years old (for charitable companies or CIOs)
  • Be at least 18 years old (for other charities)
  • Be properly appointed according to the charity’s governing document

There are also restrictions. You cannot act as a trustee if you are disqualified. This may happen if you:

  • Are bankrupt or have an IVA
  • Have certain criminal convictions (especially involving dishonesty)
  • Are on the sex offenders register

Some charities, especially those working with vulnerable people, may have additional requirements.

The Six Main Duties of Charity Trustees

As a trustee, you have legal duties. These are not optional. They are essential responsibilities that ensure the charity is run properly.

Let’s break them down in a simple and practical way.

Ensure the Charity Carries Out Its Purpose

Every charity is set up for a specific purpose. This is written in its governing document.

Your job is to make sure the charity stays focused on that purpose.

You should:

  • Understand what the charity was created to do
  • Plan activities that support that purpose
  • Be able to explain how the charity benefits the public

For example, if a charity is set up to support education, it should not start funding unrelated activities. Using funds for the wrong purpose can lead to serious consequences, including personal liability.

Comply With the Governing Document and the Law

You must ensure that the charity follows its governing document and all relevant laws.

This means:

  • Checking that activities are allowed under the governing document
  • Following charity law and other applicable regulations
  • Keeping records up to date

You should also:

  • Submit annual reports and financial information on time
  • Update details with regulators when needed

If you are unsure about legal requirements, you should seek professional advice. It is better to ask questions than to make mistakes.

Act in the Charity’s Best Interests

Every decision you make must be in the best interests of the charity.

This requires you to:

  • Make balanced and informed decisions
  • Think about both short-term and long-term outcomes
  • Avoid personal bias

One of the most important aspects of this duty is managing conflicts of interest.

If you have a personal interest in a decision:

  • You must declare it
  • It should be recorded in meeting minutes
  • You should step away from the discussion

You must also not benefit personally from the charity unless it is properly authorised and clearly in the charity’s interests. This rule also applies to people connected to you, such as family members or business partners.

Manage the Charity’s Resources Responsibly

You are responsible for how the charity uses its money, assets, and reputation.

You must:

  • Use resources only for the charity’s purpose
  • Avoid unnecessary risks
  • Ensure funds are spent correctly

Special care is needed when:

  • Handling restricted funds
  • Investing money
  • Borrowing funds

You should also make sure there are proper systems in place to prevent:

  • Fraud
  • Theft
  • Misuse of funds

Failing to manage resources properly can harm the charity and may put you in breach of your duties.

Act With Reasonable Care and Skill

As a trustee, you are expected to use your skills and experience to support the charity.

This means:

  • Preparing for meetings
  • Actively participating in discussions
  • Making informed decisions

If you lack knowledge in a particular area, you should:

  • Seek training
  • Ask for professional advice

You should also give enough time and energy to your role. Being a trustee requires commitment. It is not something you can do occasionally without involvement.

Ensure the Charity Is Accountable

Accountability means being open, transparent, and responsible.

You must:

  • Ensure proper accounting and reporting
  • Show that the charity is well run and effective
  • Demonstrate compliance with the law

If the charity has members, you are accountable to them. This often involves:

  • Reporting at annual general meetings (AGMs)
  • Sharing results and achievements

Even if tasks are delegated to staff or volunteers, you remain responsible. Delegation does not remove your accountability.

How Do Trustees Make Decisions?

Trustees usually make decisions together during meetings.

These decisions:

  • Do not always need to be unanimous
  • Are often made by majority

When making decisions, you must:

  • Act within your powers
  • Act in good faith
  • Be properly informed
  • Consider relevant factors
  • Ignore irrelevant factors
  • Manage conflicts of interest

It is also important to record key decisions. This helps in case you need to explain or review them later.

Special Roles Within Trustees

Some trustees may take on specific roles, such as:

  • Chair
  • Treasurer

These roles come with additional responsibilities. For example:

  • The chair may lead meetings
  • The treasurer may oversee finances

However, it is important to remember that all trustees share responsibility. The treasurer is not solely responsible for finances. Every trustee is accountable.

Can Trustees Be Personally Liable?

In most cases, trustees are not personally liable. However, there are situations where liability can arise.

This may happen if:

  • You act improperly
  • You misuse funds
  • You cause financial loss to the charity

In rare cases, you may also be liable to third parties if the charity cannot meet its obligations.

You can reduce these risks by:

  • Following your duties carefully
  • Making informed decisions
  • Considering whether the charity should be incorporated

Why Being a Charity Trustee Matters

Being a charity trustee is a serious responsibility. But it is also an opportunity to make a real difference.

Charities play a vital role in society. Many provide services that support communities, improve lives, and fill gaps where public services may be limited.

As a trustee, you are at the heart of this work.

You:

  • Help shape the charity’s direction
  • Ensure resources are used effectively
  • Support positive change in society

Final Thoughts

A charity trustee is more than just a title. It is a position of trust, responsibility, and impact.

If you take on this role, you are expected to:

  • Lead with integrity
  • Make informed decisions
  • Act in the best interests of the charity

While the role can be demanding, it is also highly rewarding. You gain valuable experience, develop new skills, and contribute to a meaningful cause.

If you are willing to commit your time and effort, becoming a charity trustee can be one of the most fulfilling ways to give back to your community.