What is a Charity Trustee?

A charity trustee is a person who holds ultimate legal responsibility for a charity — governing its direction, safeguarding its assets, and ensuring it operates lawfully and in the public interest. There are an estimated 700,000+ trustees in England and Wales, yet many take on the role without fully understanding what it entails.

TL;DR: Trustees are the people in charge of a charity. They are unpaid (in most cases), legally accountable under the Charities Act 2011, and must follow six core duties set out in the Charity Commission's CC3 guidance. Getting it wrong can — in limited circumstances — lead to personal liability.

Who is a Charity Trustee?

Trustees are the individuals responsible for the overall control and management of a charity. Depending on the charity's structure, they may be called directors, board members, governors, management committee members, or simply trustees — but the legal role is the same.

The Charity Commission estimates there are over 700,000 trustees in England and Wales, governing approximately 170,000 registered charities (as of 31 March 2025, there were 170,862 charities on the Register). That makes trusteeship one of the most widespread forms of civic responsibility in the country, though it remains under-recognised.

Trustees are almost always unpaid volunteers. Paying trustees is permitted only where a charity's governing document explicitly allows it and the Charity Commission's guidance on trustee benefits is followed. The default position under charity law is that trustees serve without financial reward.

Diversity in trusteeship remains a significant challenge. Research published by the Charity Commission in 2024, based on responses from over 2,000 trustees surveyed across July and August 2024, found that people aged 44 and under make up only 8% of trustees, just 1% are aged 30 or under, and 92% of trustees are white — compared with 83% of the general population. (Source: Charity Commission trustee research, 2024)

Legal Duties Under the Charities Act 2011 and CC3

Trustees' legal duties are set out primarily in the Charities Act 2011 and elaborated in the Charity Commission's essential guidance document, CC3: The Essential Trustee. CC3 identifies six core duties that every trustee must fulfil.

1. Ensure the charity carries out its purposes for the public benefit

A charity exists to fulfil its stated purposes — and trustees must ensure it actually does so. This means making decisions with the charitable purposes in mind and having regard to the Charity Commission's public benefit guidance.

2. Comply with the charity's governing document and the law

Trustees must understand the charity's governing document (its constitution, trust deed, or articles of association) and ensure the organisation operates within it. They are also responsible for compliance with all relevant legislation, including data protection, employment law, and safeguarding requirements.

3. Act in the charity's best interests

All trustees — however they were appointed — must act solely in the interests of the charity and its beneficiaries. They must not represent outside bodies or allow personal interests to influence decisions. Any conflicts of interest must be declared and managed properly.

4. Manage the charity's resources responsibly

Trustees must ensure that the charity's funds and assets are used prudently and only for charitable purposes. This includes keeping proper financial records, preparing annual accounts, and ensuring adequate financial controls are in place. The duty of prudence requires trustees to avoid taking undue risks with charitable assets.

Scale matters here. Charities with an annual income above £25,000 must submit annual returns and accounts to the Charity Commission. Those with income above £500,000 are required to have their accounts independently examined or audited. (Source: Charity Commission, CC3)

5. Act with reasonable care and skill

Trustees must apply the standard of care, diligence, and skill that can reasonably be expected of someone in their position. If a trustee has specialist knowledge — as an accountant, lawyer, or HR professional, for example — a higher standard is expected of them in those areas. This duty encourages trustees to seek professional advice when decisions fall outside their expertise.

6. Ensure the charity is accountable

Trustees are responsible for the charity's accountability to its regulators, its donors, its beneficiaries, and the wider public. This includes filing documents on time, being transparent about how funds are used, and responding appropriately to complaints or concerns.

Trustee Liability: What Are the Risks?

One of the most common concerns among prospective trustees is whether they can be held personally liable if something goes wrong. The answer depends partly on the charity's legal structure.

Incorporated charities (such as Charitable Incorporated Organisations, CIOs, or charitable companies limited by guarantee) provide a degree of legal protection because the charity itself is the legal entity. Trustees of incorporated charities are generally protected from personal liability, except in cases of fraud, dishonesty, or trading while insolvent.

Unincorporated charities (trusts or unincorporated associations) offer no such protection. Trustees sign contracts in their own names and can be personally liable if the charity cannot meet its obligations from its own assets.

In all cases, trustees who act honestly, reasonably, and within the scope of their duties are very unlikely to face personal liability. The Charity Commission has powers to relieve trustees of liability where they have acted reasonably and in good faith. Many charities also hold trustee indemnity insurance as an additional safeguard.

The key practical guidance: document your decisions, seek advice when needed, declare conflicts of interest, and never allow the charity to trade while insolvent.

FAQs

Do charity trustees have to be paid?

No — in the vast majority of cases, trustees serve as unpaid volunteers. Paying trustees requires explicit permission in the charity's governing document and compliance with Charity Commission guidance. Where payment is permitted, it must be justified as being in the charity's best interests.

Can a trustee be disqualified?

Yes. Under the Charities Act 2011 and the Charities (Protection and Social Investment) Act 2016, certain individuals are automatically disqualified from serving as trustees — including those with unspent convictions for offences involving dishonesty, individuals who are bankrupt, and those who have previously been removed from trusteeship by the Charity Commission. The Commission also has discretionary powers to disqualify individuals.

What is the difference between a trustee and a charity employee?

A trustee governs the charity — setting its strategy, overseeing its management, and holding ultimate legal responsibility. An employee is paid to carry out the charity's day-to-day work under the direction of management. Some charities employ a Chief Executive who then reports to the board of trustees. Trustees should not involve themselves in operational management unless in an emergency or small charities where roles necessarily overlap.

Recommended Next Pages

• What is Safeguarding? — Trustees have a legal duty to ensure their charity has a robust safeguarding policy. This guide explains what that means in practice.

• What is GDPR for Charities? — Data protection is a trustee responsibility. Understand how GDPR applies to the charity sector.

• What is Restricted vs Unrestricted Funding? — Trustees must ensure funds are used in accordance with donor restrictions. This guide explains the distinction.

• What is a CIO? — The Charitable Incorporated Organisation is the most common incorporated structure for charities in England and Wales — and the one recommended for trustees who want to limit personal liability.

Published by the Plinth Team. Last updated 21 February 2026.