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Charities Statement of Recommended Practice (SORP) 2026

The new Charities SORP (FRS 102) will come into effect for financial periods starting on or after 1 January 2026. Find out more about the changes and how charities might be affected.

Contents
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Charities SORP 2026: Practical Updates in Action

In this session from our 2026 Charity Conference, we unpack the key changes to the Charities SORP with worked examples for core areas, learn how to implement the updates, and avoid common pitfalls.
Watch the recording
Insights

Charities SORP announced: what’s changed?

Key changes to the Charities SORP include a three-tier reporting regime with increased disclosure and presentation requirements for larger charities. Changes to lease accounting and income recognition will present the greatest challenges.
Read more
Webinar

Trustees' annual report: prepare for Charities SORP 2026

Watch the recording from 4 November and find out how the trustees’ annual report will change when the Charities SORP 2026 takes effect.
Find out more
Webinar

SORP income recognition changes

Learn more about the proposed new recognition criteria under Charities SORP 2026 in this practical webinar from 19 June 2025, including for income generated from contracts and legacy income.
Listen to the recording
Webinar

Prepare for lease accounting changes

From 2026, most leases will need to be recorded on the balance sheet due to changes in FRS 102, which will be reflected in the new Charities SORP). This practical webinar explains the key changes, the impact on charities and how to prepare for implementation.
Listen to the recording

New Charities SORP

Charities SORP 2026
  • Website
A new Charities SORP was published on 31 October 2025, for accounting periods beginning on or after 1 January 2026.
Summary of changes
  • Website
A summary document that outlines changes made to modules in the new Charities SORP.

Insights and articles

Why small charities may increasingly switch to R+P accounts
  • Article
  • 12 May 2026
Recent changes mean that many smaller charities can reconsider whether accruals accounts remain the most appropriate option. From 30 September 2026, the income threshold for preparing accruals accounts in England and Wales will increase from £250,000 to £500,000. This change significantly expands the number of charities that can choose to prepare receipts and payments (R+P) accounts instead.
New financial thresholds: effective 30 September 2026
  • Article
  • 11 May 2026
Following an extensive consultation by the Department for Culture, Media and Sport (DCMS), a series of substantial increases to financial thresholds in charity law were confirmed in late 2025.
ICAEW urges joined-up approach on charity reporting
  • Article
  • 23 Jun 2025
The new Charities SORP alone is unlikely to address the disproportionate reporting regime facing smaller charities, ICAEW warns.
Is the next Charities SORP truly ‘small charity first’? An invitation to share your views
  • Article
  • 13 May 2025
The consultation on the next edition of the Charities Statement of Recommended Practice (SORP), due to come into effect for financial periods starting on or after 1 January 2026, is now live. For accountants working with charities, this is an important opportunity to influence the future of financial reporting across the sector.
Charities SORP 2026: key points from the live consultation
  • Article
  • 01 Apr 2025
The consultation on the Exposure Draft of the 2026 Charities Statement of Recommended Practice (SORP) is now open, inviting stakeholders to provide feedback on proposed updates to charity accounting and reporting.
Preparing for the next Charities SORP: practical steps you can take now
  • Article
  • 02 Dec 2024
The next iteration of the Charities Statement of Recommended Practice (SORP) is on the horizon, bringing with it some significant updates aligned with the revised Financial Reporting Standard (FRS 102). This article highlights the most significant changes and offers some practical tips on how charities can start to prepare.

Webinars and recordings

Impact and sustainability reporting: turning principle into practice
  • Webinar
How to meet the new impact and sustainability reporting requirements in practice.
Charities SORP 2026: Practical Updates in Action
  • Webinar
Unpack the key changes to the Charities SORP with worked examples for core areas
SORP 2026: time to switch to Receipt & Payments accounts?
  • Webinar
Find out which charities are eligible and how to transition from accrual accounts.
Trustees' annual report: prepare for Charities SORP 2026
  • Webinar
Watch the recording from 4 November and find out how the trustees’ annual report will change when the Charities SORP 2026 takes effect.
Small charities: preparing for change
  • Webinar
This on-demand recording includes a high-level overview of the proposed Charities SORP 2026 changes, tailored for trustees and treasurers of small (Tier 1) charities.
Income recognition: what’s changing in the Charities SORP 2026?
  • Webinar
A practical webinar to help finance professionals working with charities get to grips with the proposed new recognition criteria.
Charities SORP 2026: hot topics from the consultation
  • Webinar
Learn about the key topics from the Charities SORP and plan for the changes.
Lease accounting changes: next steps for charities
  • Webinar
Prepare for the changes to lease accounting taking effect in 2026.
Charity Reserves: from basics to best practice
  • Webinar
If you are stumped by charity reserves, or you know the basics but want to move on to best practices, this session is for you.

ICAEW resources

Current Charities SORP and related resources
  • Listing
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.
Accounting for charities
  • Listing
A range of articles, books and online resources providing quick links to practical guidance and background knowledge on accounting for charities and the not-for profit sector.

External resources

FRS 102 Factsheet 10: Revenue from Contracts with Customers
  • Helpsheets and support
  • FRC
This factsheet has been prepared to provide a high-level overview of the new revenue accounting requirements.
FRS 102 Factsheet 11: Lease accounting for lessees
  • Helpsheets and support
  • FRC
This factsheet has been prepared to provide an overview of key aspects of the new lease accounting requirements from the perspective of lessees.
SORP 2026: Practical updates in action
  • Speech or presentation
  • PDF (2,693kb)
  • Sayer Vincent
These presentation slides by Sayer Vincent unpack the key changes with worked examples for core areas.
SORP 2026: Time to switch to Receipts & Payments accounts?
  • Speech or presentation
  • PDF (1,731kb)
  • Azets
These presentation slides by Azets explain which charities are eligible and how to transition from accrual accounts.
Trustees report disclosures – checklists
  • Helpsheets and support
  • PDF (1,616kb)
  • PEM
This guide from PEM includes SORP-compliant checklists for Annual Report disclosures, tailored to all 3 tiers.
Trustees’ Annual Report – key changes
  • Speech or presentation
  • PDF (2,575kb)
  • PDF by MHA
These presentation slides by MHA explain the changes to the Trustees’ Annual Report for each reporting tier.
Summary of changes
  • Helpsheets and support
  • PDF (198kb)
  • Grant Thornton UK
This guide by Grant Thornton summarises the changes of the new SORP for each module.
Better lease accounting
  • Website
  • Crowe
This guide by Crowe UK looks at the changes to lease accounting within FRS 102 for charities and non-profits.
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