If preparing for SORP 2026 has slipped down your to-do list, now is the time to act, says the Charity Commission.
The Charity Commission is urging charities to review new accounting requirements and updated reporting thresholds, while finance professionals and trustees consider what the changes mean for their reporting, governance and transparency.
In a press release published on 16 September 2026, the regulator highlighted the importance of charities preparing for the new Charities Statement of Recommended Practice (SORP) 2026, which applies to financial years beginning on or after 1 January 2026. The updated SORP introduces changes to income recognition, lease accounting and reporting requirements, alongside increased transparency expectations for larger charities.
The Commission has also refreshed its guidance for charities and professional advisers, with separate guidance available for trusts and unincorporated associations, charitable companies and charitable incorporated organisations (CIOs).
New thresholds charities need to know
The regulator's announcement reminds charities in England and Wales that income thresholds have changed for financial years ending on or after 30 September 2026. These include:
- The threshold for preparing SORP-compliant accruals accounts increasing from £250,000 to £500,000 income.
- The threshold for independent examination increasing from £25,000 to £40,000 income.
- The audit threshold increasing to either £1.5m gross income, or £500,000 gross income and gross assets over £5m.
While some charities may move into different reporting categories as a result of these changes, the Commission is clear that trustees should review the updated guidance carefully and ensure they understand what applies to their organisation.
CFG resources to help you prepare
Charity Finance Group has been highlighting the importance of early preparation for some time, but there is still time for finance teams to familiarise themselves with the requirements and assess the implications for their charity's reporting, systems and processes.
Our Knowledge Hub contains a range of SORP resources, guidance and analysis designed to help charity finance professionals understand the changes and prepare confidently for implementation. We are also running a number of events and trainings with our trusted partners. See below for more information.
Explore our SORP resources:
- CFG has teamed up with NVCO to deliver a free SORP webinar on Tuesday 29 September, 2pm-3:30pm. We’ll cover key changes in SORP 2026, what they mean for your charity, and how you can start preparing. Book today
- CFG SORP Training, Thursday 15 October, 9:30am-4:30pm: A comprehensive one-day training course covering lease accounting, impact, sustainability and volunteer reporting and much more. Book today
- For a list of our latest events, resources and articles, head to our dedicated SORP 2026 page.
Complete CFG's SORP survey
As part of our ongoing work to support the sector, we're also gathering insight from charity finance professionals about SORP implementation.
If you haven't yet completed our SORP survey, this is your last chance to take part.
Your feedback will help us better understand the sector's readiness for the new requirements, identify areas where organisations may need further support, and strengthen our evidence base when engaging with regulators and standard setters.
Complete the survey
Read the Charity Commission's announcement