Charities

Charity Independent Examinations

Independent examinations and charity accounts support for charities that fall within the independent examination regime.

Charity accounts can require independent examination or audit depending on the charity's income, structure, governing document and circumstances.

Baldwin's Accountancy Services works with Charitable Incorporated Organisations (CIOs), charitable companies, trusts and unincorporated charities or associations where an independent examination is appropriate rather than a statutory audit.

We can help trustees understand the accounting and independent examination requirements that apply to their charity.

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Establishing the right requirement

Independent examination or audit?

An independent examination and a statutory audit are different forms of external scrutiny. An examination is less in-depth, reviewing the accounts and underlying records against the applicable requirements.

We'll establish whether your charity falls within our independent examination service scope.

More than an income threshold

The position depends on gross income, gross assets in some circumstances, legal structure, the governing document or articles, and funding requirements.

Group-account rules, Companies Act requirements for some charitable companies, Charity Commission directions and other circumstances can also require an audit. An income threshold does not override another audit requirement.

Guidance for charity trustees (Charity Commission)

England and Wales

New charity accounting thresholds

Start with your charity's financial year end. The revised thresholds apply to financial years ending on or after 30 September 2026, not simply to work carried out after that date.

Financial years ending

On or after
30 September 2026

£40,000 or less: Gross income at this level generally requires neither examination nor audit, unless another requirement applies.
Above £40,000: Independent examination is generally required below the applicable audit thresholds, unless an audit is otherwise required.
Above £500,000: A professionally qualified independent examiner is required where independent examination remains available.
Audit thresholds: Gross income above £1.5 million, or gross income above £500,000 and gross assets above £5 million.

Financial years ending

Before
30 September 2026

The previous thresholds continue to apply:

Above £25,000: The general independent examination threshold.
Above £250,000: The professionally qualified independent examiner threshold.
Audit thresholds: Gross income above £1 million, or gross income above £250,000 and gross assets above £3.26 million.

These are the main thresholds. In both periods, the charity's structure and any other examination or audit requirement must also be considered.

Last reviewed: September 2026

Threshold changes at a glance (Charity Commission)

What we'll take care of

We can support the charity accounts and independent examination process where appropriate, with the scope and responsibilities agreed at the outset.

Agree the work and roles: We'll establish the charity's requirements and agree any accounts preparation and examination work, including the independence arrangements.
Prepare and review: Where engaged to do so, we can prepare the charity accounts. The examination involves reviewing the accounts and accounting records, raising relevant queries with trustees and working through their responses.
Report and explain: We'll prepare the independent examiner's report and help trustees understand the accounts and any matters raised during the examination.
Support the filings: We can assist with relevant Charity Commission filing requirements and, for charitable companies, Companies House filings where applicable.

Different charity structures

Accounting and reporting requirements vary with legal structure. We work across these structures where independent examination is appropriate.

CIOs

We'll consider the accounts and Charity Commission reporting requirements for your Charitable Incorporated Organisation.

Charitable companies

The company's requirements need to be considered alongside charity reporting, including relevant Companies House filings.

Trusts and unincorporated charities

We'll consider the charity's accounts, governing document and circumstances, including those of unincorporated associations.

What is an independent examination?

The examiner reviews the accounts and accounting records and carries out the procedures required by the applicable Charity Commission directions.

The work is less in-depth than an audit. Its outcome is an independent examiner's report, drawing attention to matters that need to be reported under those requirements.

What an examination involves (Charity Commission)

Preparing for the examination

We'll agree what information is needed for your charity. Useful starting points include:

Accounting records, bank statements and details of income and expenditure
Supporting invoices and documents
Trustee information and relevant minutes
Details of restricted and designated funds, where applicable
Previous accounts and the governing document

This is a starting point rather than a universal checklist. We may need further information to understand particular transactions or circumstances.

Not sure what your charity needs?

If you're unsure whether your charity needs an independent examination or an audit, we can look at its circumstances and explain what level of external scrutiny is required.

If a statutory audit is required, that work needs an appropriate auditor. Baldwin's Accountancy Services does not perform statutory audits.

Talk to us about your charity

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