All four UK and Republic of Ireland charity regulators will work together to develop a new charity accounting framework for use across all four charity law jurisdictions, it has been announced.
In a new report, the Financial Reporting Council (FRC) confirmed it has approved the addition of the Charity Commission for Northern Ireland and the Charities Regulatory Authority for the Republic of Ireland as joint members of the SORP-making body.
The regulators will join the Charity Commission for England and Wales and the Scottish Charity Regulator in enforcing the Statement of Recommended Practice applicable to charities preparing their accounts.
As part of the announcement, the FRC said inclusion of the Charities Regulatory Authority is subject to the SORP being formally adopted by way of regulations for use in the Republic of Ireland.
It said the regulators will begin developing the new SORP from January 2019. English, Welsh and Scottish charities will continue to use Charities SORP (FRS 102) until instructed otherwise.
“The enlarged SORP-making body will work towards a new charities SORP building on the foundation of the existing SORP to promote a common approach to high quality reporting by charities whilst respecting local differences and legal requirements,” the report says.
Commenting on the announcement, Helen Stephenson, Chief Executive of the Charity Commission for England and Wales, said: “We know from our research and case work that the public care deeply about how charities operate. I hope that this will equip us all to help charities rise to the challenge of addressing public concern and explaining their impact through accurate and meaningful reporting. There remains much to be done here and the SORP has a key role to play.”