Refreshing the Charity Governance Code — what the consultation told us
While the 2017 edition of the Charity Governance Code Code’s had been well-received, we knew that, approaching three years on, certain aspects needed refreshing. So, late last year, when Covid-19 was unheard of, the steering group started consulting on areas to update.
The consultation ended in February, prior to the emergence of Covid-19.
Despite this, we see merit in analysing and publishing the consultation responses and updating the Code accordingly.
If anything, we believe that these tumultuous times mean that updates to the Code post-consultation will be even more relevant.
Over 800 people fed into the consultation via two surveys and detailed feedback. There were 143 substantive responses to the online consultation questions (with 273 in total) or by email (12) with a separate Small Charities Coalition (SCC) survey of its members attracting over 510 responses.
Current use of the Code
While people responding to the Code’s consultation are self-selecting, it is pleasing to see that, overall, 90% say they have either fully, or partially, or are working towards, adoption of the Code and that 84% are generally very satisfied or satisfied with it.
The SCC survey also revealed that, while approaching three-quarters of smaller charities have heard of the Code, only around a third are using it. 42% of responses to the SCC survey said that they were satisfied with the Code, with the rest (58%) neutral on the question. This indicates that more needs to be done to highlight the Code’s tailored versions written for smaller and volunteer-led charities.
Integrity
Reflecting recent moves by charities and infrastructure bodies to strengthen safeguarding arrangements, workplace practices and culture, we asked for views on whether the integrity principle needs to say more about charities’ ethical principles and the right to feel safe.
43% agreed that the Code should say more about integrity, with some people highlighting:
· that safeguarding and the ‘right to feel safe’ has moved on significantly in the sector since 2017; and
· the benefits of incorporating NCVO’s Ethical Principles into the Code.
That said, nearly one fifth of respondents saw no need to widen the integrity principle. By comparison, two-thirds of smaller charities in the SCC survey explicitly agree that ‘the right to feel safe’ should form part of the integrity principle.
Based on this feedback, we will aim to incorporate NCVO’s Ethical Principles and sentiment within the Code in a balanced and proportionate way.
Diversity
Questions about the diversity principle received the most responses across the consultation, with typical feedback saying “Diversity is the one single area that has moved on the furthest since 2017 and the area of the Code that would benefit from a full review and update.”
Over two-thirds of consultation respondents agree that the diversity principle should be renamed. Of these, approaching half express a preference to renaming it ‘Equality, diversity and inclusion’ and a handful of respondents propose ‘equity’ rather than ‘equality’. By comparison, one-fifth of those responding do not wish to see any changes.
People also made a number of headline suggestions for areas to include in a reworded diversity principle. Building on these ideas, we want to properly understand what good practice looks like and how best to reflect that in an updated Code. Following an open tender, we have commissioned Pari Dhillon and Chaka Bachmann to help us research and identify excellent diversity and inclusion practice in governance from the charity sector and beyond. They are also assisting us by engaging with and learning from specialist groups and representatives who are committed to increasing board diversity and changing practice. This work will be reflected in the new edition of the Code, and any related guidance that is seen as useful.
We’ll keep you posted with how we get on and we will publish a new edition of the Code by the end of the year
