Where we appoint interim managers
The Charity Commission has the power to appoint an interim manager to act in the administration of a charity. We can use this power only after opening a statutory Inquiry under section 46 of the Charities Act 2011 if we consider that there has been misconduct or mismanagement in the administration of a charity or if it is necessary or desirable to protect the charity's property.
How we appoint interim managers
We usually appoint an interim manager to manage a charity to the exclusion of the existing trustees. The charity usually pays the interim manager's fees as in the case of receiver or liquidator appointments by the court. The appointment of an interim manager is only ever a temporary and protective step. We therefore appoint an interim manager only after very careful consideration of other possible solutions to the problems the charity in question faces.
We aim to appoint Interim managers with the right skills and experience at a cost that will provide the charity with value for money. We maintain an approved list of providers from which appointments are usually made. When we need to appoint an interim manager, we will invite selected providers from the list to tender for the appointment.
Although we can make interim manager appointments with the agreement of the charity trustees, most are taken forward without their consent, because the trustees are either unwilling or unable to put matters right themselves.
Information about individual appointments
Details of individual appointments are provided in the statement of results of the inquiry which (unless there are exceptional circumstances) is published after the conclusion of each inquiry. You can view these reports in the Inquiry Reports section.
The Register of Charities also shows when we have appointed an interim manager to a charity. This shows:
- their name and contact details
- additional information about their function
- whether the appointment is to the exclusion of the existing trustees, or whether the existing trustees retain some responsibilities and duties
Each year we publish a summary list of all the interim manager appointments which have closed in the previous financial year and the appointments which remain in place. See below for details for the financial year ending 31 March 2013.
Impact of an interim manager's work
The impact of each appointment includes a 'protections' figure, calculated to indicate the amount of charitable funds safeguarded or recovered as a result. These protections are subject to close scrutiny and are included only if there is no doubt about the interim manager's role in protecting these funds. Some of the interim manager's work will not necessarily result in financial protections, but there will be other benefits and positive impacts. These may include:
- identifying irregularities and inefficiencies and putting these right
- ensuring that a charity's vulnerable beneficiaries are protected from harm
- instances of helping introduce significant improvements in a charity's governance
- strengthening the charity's financial management and financial controls
- protecting a charity's reputation and/or the reputation of the sector
- protecting the public from unlawful / unregulated fundraising
Further information and guidance:
- List of approved providers (PDF)
- Code of Practice - sets out the basic principles that apply to Interim Manager appointments
- Statement of Requirements - defines the objectives, scope and approach governing interim manager appointments
- OG5 - Appointment of interim managers - operational guidance for Charity Commission staff setting out the law and our position in relation to appointing interim managers for charities
Interim manager data for 2012/2013
As at 31 March 2013 four interim managers are in place.
One statement of the results of an inquiry relating to an interim manager appointment was published in 2012/2013
Astonbrook Housing Association Ltd
|Fees relating to the interim manager appointment||
|Charitable assets recovered and protected||