For many charities, October 2026 may seem a long way off. However, it marks the deadline for every registered charity to complete its first mandatory governance procedure review under the Charities Amendment Act 2023.
The requirement came into force on 5 October 2023 and requires registered charities to review their governance procedures at least once every three years.
If your charity has not yet undertaken a review, now is the time to start planning.
Why does this matter?
A governance review is not merely best practice. It is a legal obligation.
As part of their annual reporting obligations, charities are now required to confirm to Charities Services whether they have reviewed their governance procedures within the last three years and provide the date the review was completed. Officers are responsible for ensuring their charity complies with this requirement.
What does a governance review involve?
The review process is intentionally flexible and can be scaled to suit the size and complexity of the organisation. However, every charity must consider whether its governance procedures:
are fit for purpose;
In practice, this means reviewing not only the charity's trust deed, constitution, or rules, but also the policies and processes that support effective governance. This may include conflicts of interest management, delegations, financial oversight, risk management, board practices, privacy, health and safety, and volunteer or employment policies.
More than a compliance exercise
A governance review should be more than a regulatory exercise. It provides an opportunity to assess whether governance arrangements remain appropriate for the organisation's current activities and future plans.
Many charities discover that their governing documents have not been reviewed for years, that policies no longer reflect current practice, or that governance responsibilities are not clearly allocated. Others identify gaps that have emerged as the organisation has grown, taken on staff, secured new funding streams, or faced increased regulatory obligations.
Addressing these issues can strengthen accountability, improve decision-making, and give officers greater confidence that the charity is well positioned for the future.
How MoranLaw can help
We regularly assist charities (and other not-for-profits) with governance reviews, constitutional and trust deed updates, policy audits, governance advice, and compliance obligations.
Our approach is practical and tailored to each organisation. We help boards and officers understand what the law requires, identify governance risks and improvement opportunities, and implement governance arrangements that are fit for purpose.
Don't leave it until October 2026
Although October 2026 may seem some time away, a meaningful governance review takes planning and often leads to governance changes that require careful consideration and implementation.
As more charities turn their attention to this requirement, demand for governance support is likely to increase.
If your charity has not yet completed its governance review, now is a good time to start. Get in touch with our team to discuss how we can assist.