What new SORP guidelines mean for trustees

– and why this moment matters

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The charity sector is entering a new phase of accountability, and trustees will need to respond.

At our recent NPC and Clothworkers’ Company event, led by NPC’s Principal of Evaluation and Learning, Elliot Trevithick, we explored what the 2026 update to the Statement of Recommended Practice (SORP) means in practice, and why it matters beyond compliance.

At first glance, the change is simple: impact reporting is now mandatory for many charities, and sustainability reporting is firmly on the agenda. But underneath that is something more significant. This is not just about what goes into a trustee report. It is about how charities understand, evidence, and improve the difference they make.

Here are five takeaways for trustees.

Impact reporting has moved from ‘nice to have’ to a core responsibility

For many years, SORP encouraged charities to describe the difference they make. Now, for charities above a certain size, it requires it.

Trustees must ensure their report:

Explains the impact the charity is making
Considers long-term effects on beneficiaries and society

This marks a clear shift in expectations. Impact is no longer an optional extra. It is increasingly seen as the core expression of a charity’s performance.

Sustainability is also becoming more visible. While reporting on environmental, social and governance (ESG) factors is still optional for many charities, it is now mandatory for the largest organisations and is likely to expand over time.

For trustees, the message is clear: this is a direction of travel, not a one-off change.

Compliance matters, but this is really about impact

With all of the pressures and demands charities face across the sector, it could be tempting to respond to these changes by doing the minimum required to comply. But that would miss the opportunity.

The new SORP effectively gives trustees a mandate to strengthen impact practice across their organisation.

That creates two responsibilities:

Compliance: ensuring trustee reports meet the new requirements
Leadership: using reports as a driver of learning, improvement, and better decisions.

The risk, of course, is that impact reporting becomes a tick-box exercise: another section in the annual report.

The opportunity is the opposite: to use this moment to build a culture where learning and accountability shape strategy, delivery and resource allocation.

Trustees play a crucial role here. The questions they ask, and the behaviours they reward, set the tone.

Good impact practice starts with intent, not metrics

One of the strongest messages from the session was that good impact practice does not start with data. It starts with intent. Specifically:

A commitment to genuine learning
A willingness to improve current services
And the courage to rethink or stop work that isn’t delivering impact.

This matters because measurement alone does not improve outcomes. What improves outcomes is what you do with the learning.

For trustees, that means shifting the focus from ‘do we have impact data?’ to ‘are we using evidence to make better decisions?'

Five building blocks of strong impact practice

There is no single ‘right way’ to meet SORP requirements, but the session highlighted five practical elements of strong impact practice that trustees can look for.

A clear theory of change: a shared understanding of who you aim to support, what you do, how change happens, and the long-term impact you want to see.
The right mix of data: strong organisations do not rely on a single type of evidence. They draw on user data, engagement data, feedback, outcomes and impact data to build a fuller picture.
Quantitative and qualitative evidence: ‘stats and stories’ still matter, but not superficially. Good practice goes beyond counting outputs or adding a few quotes. It combines meaningful quantitative measures with robust qualitative insights.
A proportionate approach to evidence: not every organisation needs randomised control trials. But over time, charities should think about how to strengthen the credibility of their evidence and move beyond anecdotes where appropriate.
Systems for acting on learning: this is often where organisations fall short. Strong practice includes structured reflection, clear documentation of decisions, and accountability for following through. Without that, even the best data has limited value.

Sustainability is about how you work, not just what you do

A common question is whether sustainability reporting simply overlaps with impact.

It does not. Impact focuses on the difference your activities make. Sustainability focuses on how responsibly and ethically you operate as an organisation. That includes:

Environmental practices, e.g. energy, travel, procurement
Governance, e.g. data security, ethics, transparency
Social factors, e.g. staff wellbeing, inclusion, community engagement

This matters for trustees because it extends oversight beyond programmes to the organisation as a whole. It also offers a practical starting point. Unlike impact measurement, sustainability reporting often begins with describing what you already do and identifying where you can improve.

So, what should trustees do now?

If there is one message to take from the session, it is this: don’t wait for perfect systems or clearer guidance. Start where you are. That might mean:

Checking whether your current reporting clearly explains the impact
Asking whether your organisation has a shared theory of change
Ensuring there is space to reflect on and act on learning
Starting simple sustainability conversations across ESG areas

Just as importantly, trustees can help foster a culture where learning is valued as much as performance.

The SORP changes do not prescribe a single approach. They recognise the diversity of the sector and the need for proportionality.

But they do signal something bigger?

They point towards a sector where charities are not only accountable for what they do but are continually learning how to do it better.

Watch NPC’s event, What new SORP guidelines mean for trustees.

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A new Charities Statement of Recommended Practice (SORP) is expected this autumn. During the SORP consultation we recommended signposting guidance. We don’t yet know if the SORP Committee will adopt our recommendations, but regardless we've lots of resources to support you on your impact journey.