Knowledge Hub

This is the second of two articles featuring responses from RSM to questions posed in a recent webinar on the new SORP which also featured CFG's Head of Policy, Richard Sagar. Here you'll find answers to questions on the tiered reporting framework, lease accounting and more.

RSM recently held a webinar, alongside CFG’s Head of Policy, Richard Sagar, covering changes in the new SORP. As you might imagine, there were lots of questions from attendees about what the new SORP means in practice, from income recognition and tiered reporting to new requirements about leases. This two-part article includes RSM’s detailed responses to those questions, and offers practical insight to help your organisation get ready for the changes.

In this article from Janice Matthews at Menzies, she outlines how, despite repeated regulatory focus, reserves remain one of the most misunderstood areas of charity finance. Treating them as a compliance exercise rather than a strategic tool continues to expose organisations to unnecessary risk. 

Here, CFG's Policy Officer, Isaac Bristol, looks at some policy wins, important conversations between the sector and Government, and further ahead to the potentially paradigmatic May elections.

Cyber disruption, financial uncertainty and evolving governance expectations are reshaping the risk landscape in 2026. While these developments present real challenges, they also offer opportunities for charities to strengthen resilience, improve governance and innovate in how they deliver impact.

With rising demand, resource pressures and a rapidly changing funding environment, many charities are exploring whether collaboration or merger could strengthen their resilience and impact. This article from Hugo Walford and Jean Tsang at Bates Wells, sets out key considerations for charities contemplating collaboration or merger, along with top tips and common pitfalls to avoid.

The revised Charities SORP, which now applies to accounting periods starting on or after 1 January 2026, represents a shift in expectations. It is not simply about compliance, but about improving the quality, clarity and usefulness of charity reporting. 

Following the new VAT rules which have recently come into effect regarding donated goods, another positive policy exemption for charities has now been introduced.

While the updated Charities SORP introduces new expectations, many of the same reporting challenges continue to appear in practice. Addressing these recurring issues is key to improving reporting quality.

The updated Charities SORP introduces significant changes to the Trustees’ Annual Report. While many of these are technical in nature, they reflect a broader shift towards greater transparency, accountability and meaningful reporting.

This article from Steve Harper, Partner and Head of Social Purpose at HaysMac, outlines the main ways charities can collaborate and highlights key considerations for mergers, with a focus on practical insights.

The Department for Communities in Northern Ireland has confirmed that Section 167 of the Charities Act (Northern Ireland) 2008 will be repealed following its 2025 consultation. The provision, which was never commenced, was intended to create a registration route for charities established outside Northern Ireland but operating there.