Governance Lessons: A charity and its linked non-charitable organisation
Stuart McKay · Posted on: March 9th 2026 · read
The Charity Commission has closed its compliance case into the former Hope Not Hate Charitable Trust, now renamed HOPE Unlimited Charitable Trust, after the charity took corrective action to address regulatory concerns.
The case highlights several important governance lessons for charities, particularly those operating alongside non-charitable entities.
1. Clear Separation Between Charity and Non-Charity Activities Is Essential
The central issue was insufficient clarity between the charity’s activities and its relationship with a linked non-charitable company, Hope Not Hate Limited. Where charities share branding, personnel, or messaging with non-charitable organisations, there must be a clear and visible distinction. Without it, there is a risk of public confusion, regulatory scrutiny, and potential reputational damage.
2. Transparency is Imperative for Public Trust
The Commission emphasised the importance of transparency, both in communications and operations. The charity addressed concerns by changing its name, updating its website, removing ambiguous references to the non-charitable organisation, and recruiting new independent trustees. Charities must ensure that supporters, beneficiaries, and regulators can clearly understand their structure and activities.
3. Governance Independence Matters
The recruitment of new independent trustees and the appointment of administrative staff unconnected to the non-charitable entity were key steps in strengthening governance. This reinforces the principle that trustees must exercise independent judgement and avoid conflicts of interest, particularly where relationships with related entities exist.
4. Grant-Making Must Be Properly Documented and Consistent
The Commission also reminded grant-making charities to ensure that funding decisions are evidence-based, clearly aligned with charitable purposes, and consistently applied; applications for grants from a related organisation must not receive preferential treatment due to the connection. Robust policies and record-keeping are essential to demonstrate compliance.
This case serves as a reminder that while charities may campaign to further their purpose, they must remain independent, transparent, and clearly distinguish charitable work from non-charitable activity. Strong governance structures, prompt responsiveness to regulators, and clear public communication are critical to maintaining both compliance and public trust.
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