Changes now in effect
Increased inquiry powers
Part of OSCR’s role is to conduct inquiries into a charity when they identify possible misconduct or a risk to assets. The new Act provides increased powers: the Power to direct charities to take particular actions, the power to appoint interim trustees, the power to inquire into former charities and former charity trustees, and changes to OSCR’s powers to require charities and others to provide information.
Action – General awareness by trustees.
Removing charities that fail to submit accounts and to respond to OSCR
The 2023 Act gives OSCR the power to remove charities from the Scottish Charity Register that have failed to submit accounts on time and failed to engage with OSCR about putting this breach of trustee duties right.
Action – Trustees must be aware of their obligation to submit accounts to OSCR within 9 months of their financial year-end and to respond to any inquiry made by OSCR.
A charity’s connection to Scotland
OSCR must refuse an application to be registered as a charity from organisations that have no or a negligible connection with Scotland.
Other changes
The 2023 Act has made minor changes to simplify interactions between charities and OSCR and provide more flexibility, mainly around the names of charities and how charities are entered into the register.
Changes expected in 2025
Publication of charity annual reports and accounts
From mid-2025 OSCR will be displaying all accounts from Scottish Charities and in particular this means after charity accounts are sent to OSCR (including personal information) will be available for anyone to view on the Register for at least five years. OSCR recommends that charities consider what information to include in this narrative before they start to write their accounts. This could as an example, include listing trustee correspondence as the group address to protect the personal information of Trustees.
Action – take appropriate action as recommended by OSCR
Automatic disqualification
OCSR share a current list of those automatically disqualified from being a charity trustee. The 2023 Act expands this criteria and will now include, for instance, those convicted of terrorism, or who are on the sexual offenders register.
These criteria, which have previously only applied to trustees, are being extended to include staff or volunteers who undertake a senior management function for a charity
Action – The timeline to introduce this change has yet to be confirmed but trustees should be aware of this pending change.
For full details of the changes detailed in law please visit the OCSR website.
If you require any further assistance then please don’t hesitate to contact your Regional Chair or RDA UK on groupsupport@rda.org.uk
