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Accounting and Reporting by Charities: Statement of Recommended Practice

The charities SORP gives guidance on financial accounting and reporting for charitable entities. On this page you can access a range of articles, books and online resources providing quick links to the regulations, guidance and other key documentation.

What's on this page?

  • Statement of Recommended Practice
  • Useful links
  • Archived documents
  • Online articles
  • Books and articles from the library

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Statement of Recommended Practice

Issuing bodies

The Charity Commission and the Office of the Scottish Charities Regulator are responsible for issuing the Statement of Recommended Practice (SORP) for charities.

Full-text sources for the SORP and associated guidance

Charities SORP (FRS 102)
Statement of Recommended Practice applicable to charities preparing their accounts in accordance with FRS 102, effective from 1 January 2015. Published in July 2014.

Charities SORP (FRSSE)
Statement of Recommended Practice applicable to charities preparing their accounts in accordance with the Financial Reporting Standard for Smaller Entities, effective 1 January 2015. Published in July 2014.

Differences between the Charities SORP for the Financial Reporting Standard for Smaller Entities (FRSSE SORP) and the Charities SORP for the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102 SORP)
Helpsheet issued by the Charity Commission and OSCR highlights the key differences in formats, accounting policies and disclosures between the two 2014 SORPs.

Accounting and Reporting by Charities: Statement of Recommended Practice
The full text of the SORP 2005, updated in May 2008, is available for download from the Charity Commission.

Trustees' annual report: How to prepare
Basic guidance on the function of the annual report, how much detail is required and how to report public benefit. The guides include templates and examples.

SORP 2005 documents
Overview of materials from the Charity Commission with information sheets and other resources to help preparers of charity accounts, including:

Exposure drafts and related papers

Charities SORP consultation
A new exposure draft was published by the Charity Commission and the Office of the Scottish Charity Regulator in July 2013. The document is available to download in full or as individual modules. The consultation closed on 4 November 2013 and a new SORP was issued in July 2014.

Regulators announce what's to be expected in the new SORP
Press release issued by the Charity Commission on 31 March 2014. The Charity Commission and Office of the Scottish Charity Regulator have published analysis of the SORP consultation and announce that there will be two new SORPs, one based on FRS 102 and one based on FRSSE.

Useful links


Charity and Voluntary Sector Group
The ICAEW special interest group supports professionals working in this area and provides up-to-date information and newsletters, technical helpsheets, seminars and events.

Other regulations

Charities (Accounts and Reports) Regulations 2008
Full text of the Statutory Instrument that came into force on 1 April 2008.

Charity reporting and accounting: The essentials
Guidance from the Charity Commission with information on the accounting framework, legal requirements and specific reporting requirements for different types of charities.

Commentary and guidance

Charities SORPS (FRS 102 and FRSSE)
Guidance on how the new accounting rules affect different aspects of a charity. Published by Baker Tilley in September 2014.

SORP 2005

SORP made simple
Guide for people new to charity accounts produced by Sayer Vincent in 2009 covering:

  • fund accounting
  • the format and content of charity accounts
  • trustees’ annual report
  • statement of financial activities
  • incoming resources
  • resources expended
  • charity balance sheets.

International Financial Reporting Standards and Charities: A review of the potential impact of recent proposals
Report by the Charity Finance Directors Group and BDO, published 1 January 2010, on the adoption of IFRS for SMEs and its impact on charity sector accounting.

Charity Reporting and Accounting: Taking Stock and Future Reform
Report published in December 2009 by the Charity Commission assessing the role of the SORP and a direction for future developments.

Example Trustees' Annual Reports and Accounts
Example reports and accounts for a variety of different charitable organisations, as published by the Charity Commission.

Charities (Accounts and Reports) Regulations 2008

Charities (Accounts and Reports) Regulations 2008
Briefing published by Baker Tilly in April 2008 summarising the regulations.

Archived documents

SORP Committee Meetings and Papers
Online archive of SORP committee minutes and selected papers.


Charities and Risk Management
Guidance from the Charity Commission on the risk management elements introduced by the SORP 2005. Topics include reporting of risk management in the Trustees' Annual Report, example format of a risk register and examples of potential risk areas, their impact and mitigation.


A Summary of the Consultation Responses on the Exposure Draft of the Statement of Recommended Practice for Charity Accounts issued in June 2004
A report on the responses to the consultation in June 2004, published in December 2004 by the Charity Commission.


Inputs Matter: Improving the Quality of Reporting in the Charity Sector
In November 2003 the Charity Finance Directors' Group (CFDG) published a consultation document, which made a number of proposals to 'improve the quality and consistency of charity annual reports' ranging from the valuation of volunteer time to redefining management and administration costs as governance costs. The consultation focuses on the inputs into charity accounts and it was anticipated that the report would contribute to the next annual SORP review.


Private Action, Public Benefit: A Review of Charities and the Wider Not-For-Profit Sector
Report published by the Cabinet Office Strategy Unit in September 2002, now hosted on Co-Operatives UK website. The report's conclusions include the recommendation to strengthen the focus of the Charity SORP 'on achievements against objectives, organisational impact and future strategy' (see chapter 6 on Building public trust and confidence and supporting the sector in improving performance).


Risk management for charities: threat or opportunity? (Charities Alert)
A guide from Horwath Clark Whitehill Chartered Accountants looking at the risk reporting aspects of the Charities SORP, and the wider context of risk management for charities.

Accounting by charities: the proposed changes to the regulations on charity accounts and reports
ICAEW memorandum published in March 2000 in response to the Charity Commission's Consultation on Draft Regulations on Charity Accounts and Reports.

Online articles

The library provides access to a range of articles in full text from leading business, finance and management journals. Access to articles is provided to logged-in ICAEW members, ACA students and other entitled users subject to suppliers' terms of use.

Articles are available to logged-in ICAEW members, ACA students and other entitled users.

Articles and books in the Library collection

To find out how you can borrow books from the Library please see our guide to book loans. You can obtain copies of articles or extracts of books and reports by post, fax or email through our document supply service.

Can't find what you are looking for?

If you're having trouble finding the information you need, ask the Library & Information Service. Contact us by telephone on +44 (0)20 7920 8620, by fax on +44 (0)20 7920 8621 or by email at library@icaew.com.

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