Insights

Fraud remains one of the most pressing challenges for businesses in the UK, and charities are no exception. According to the BDO's 2024 Charity Fraud Report, 42% of charities reported fraud or attempted fraud in 2024, with an estimated 10,000 to 20,000 incidents of fraud suffered across the sector. Yet despite these alarming figures, 44% of charities do not have a fraud response plan in place. 

A Birmingham court has ruled that a Will made during the height of lockdown in April 2020 by the late Kathleen Bernadette Coady was not valid, meaning her earlier 2017 Will stands. The case was brought by her eldest son, Peter, against his brother Gerard, and turned on whether the strict witnessing rules in the Wills Act 1837 were followed.

Unfortunately, the charity sector is often seen by fraudsters as somewhat of an 'easy target'. The unique ways in which charities work and are funded can often contribute towards charities being targeted by fraudsters (or having their name used as part of a fraud on a third party such as donors).

The Employment Rights Bill is poised for another round of parliamentary "ping-pong", as one key disagreement between the House of Commons and the House of Lords persists.

Fraud risks causing charities significant harm to their reputation and their finances. It can even create criminal liability.

It is therefore good practice for charities to regularly carry out fraud audits to review the risks within the organisation and ensure that there are clear processes and policies in place to combat them. We share our practical tips for getting started and ensuring that charities "stay on top" of their fraud risk.