Comprehensive Guide

Independent Examination FAQ

Everything you need to know about independent examination for UK charities. Find answers to common questions about requirements, processes, and regulations.

Basics and Definitions

Select a question below to learn more about independent examination basics and definitions.

1. What is a charity independent examination? 2. What does independent examination mean for a charity? 3. Is independent examination the same as an audit? 4. What is the difference between independent examination and audit? 5. What is the purpose of an independent examination? 6. Do all charities need an independent examination? 7. When is independent examination required for a UK charity? 8. When is an audit required instead of independent examination? 9. Is independent examination a legal requirement? 10. What does the Charity Commission say about independent examination? 11. What does OSCR say about independent examination? 12. What does CCNI say about independent examination? 13. What is an independent examiner report? 14. What is included in an independent examiner report? 15. What does independent mean in practice? 16. What does reasonable assurance vs limited assurance mean? 17. Is independent examination a limited assurance engagement? 18. Can an independent examination find fraud? 19. Will an independent examination catch all errors? 20. What are trustees responsible for vs what the independent examiner is responsible for?

Legal Requirement

Independent examination is required by law for charities with gross income between £25,000 and £1 million.

Independent Person

The examiner must be independent of the charity and have appropriate qualifications or experience.

Limited Assurance

Provides reasonable assurance that accounts are materially correct but is not a full audit.

Examiner Report

A written report must be produced and filed with the Charity Commission alongside the annual accounts.

Why Professional Independent Examination Matters

A proper independent examination provides assurance to trustees, donors, and the Charity Commission that your charity's finances are in order. It helps identify issues before they become serious problems and demonstrates good governance.

  • Meets statutory requirements for your charity type
  • Provides assurance to stakeholders about financial integrity
  • Helps identify control weaknesses and areas for improvement
  • Ensures compliance with SORP and regulatory requirements

Explore Related Topics

Qualifications Charity Audit SORP Framework Trustees Annual Report Accounts Prep

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Thresholds and When It Applies

Select a question below to learn more about when independent examination is required based on charity income thresholds.

1. What are the independent examination thresholds in England and Wales? 2. What are the audit thresholds in England and Wales? 3. What are the independent examination thresholds in Scotland? 4. What are the audit thresholds in Scotland? 5. What are the independent examination thresholds in Northern Ireland? 6. What are the audit thresholds in Northern Ireland? 7. Have the independent examination thresholds changed recently? 8. What counts as charity gross income for the threshold test? 9. What counts as charity gross assets for the threshold test? 10. Is the threshold based on turnover or total income? 11. Is it based on income received or income earned? 12. Does Gift Aid count as income for thresholds? 13. Do grants count as income for thresholds? 14. Do restricted funds count in the thresholds? 15. Do donated goods count as income for thresholds? 16. Do volunteer hours count as income for thresholds? 17. Does money held for another organisation count as charity income? 18. If our charity has no income do we still need an independent examination? 19. If our charity is dormant do we need independent examination? 20. If we only had one donation do we need independent examination? 21. If we did not spend anything do we need independent examination? 22. If we only had bank interest do we need independent examination? 23. If our constitution requires it do we need it even if we are small? 24. Can a funder require an audit even if we are below the audit threshold? 25. Can we choose audit instead of independent examination? 26. Can we choose independent examination if we are above the audit threshold?

Charity Type and Structure Queries

Select a question below to learn more about how charity type affects independent examination requirements.

1. Do CIO charities need independent examination? 2. Do charitable companies need independent examination or an audit under company law? 3. If we are a charity company limited by guarantee what rules apply? 4. If we are a charitable trust what rules apply? 5. If we are an unincorporated association what rules apply? 6. If we are a SCIO what rules apply? 7. If we are a charity registered in Scotland but operating in England what rules apply? 8. If we are registered in England and Wales but operating in Scotland what rules apply? 9. What is the rule for exempt charities? 10. What is the rule for excepted charities? 11. What is a principal regulator and does it affect independent examination? 12. Do community amateur sports clubs need independent examination? 13. Do PTA school charities need independent examination? 14. Do mosque charities need independent examination? 15. Do church charities need independent examination? 16. Do small local charities need independent examination? 17. Do grant making charities need independent examination? 18. Do charities with trading subsidiaries need independent examination? 19. Do group charities need independent examination?

Accounts Basis and SORP Related Queries

Select a question below to learn more about how accounts basis and SORP requirements affect independent examination.

1. Can independent examination be done on receipts and payments accounts? 2. Can independent examination be done on accruals accounts? 3. When do we have to move from receipts and payments to accruals? 4. Does SORP apply if we are receipts and payments? 5. Does SORP apply if we are accruals? 6. Does the independent examiner check SORP compliance? 7. What does the independent examiner check in the trustees annual report? 8. Does the independent examiner check public benefit reporting? 9. Does the independent examiner check reserves policy disclosure? 10. Does the independent examiner check related party disclosures? 11. Does the independent examiner check trustee expense disclosures? 12. Does the independent examiner check restricted fund notes? 13. Does the independent examiner check grant disclosure requirements?

Who Can Be an Independent Examiner

Select a question below to learn more about who can act as an independent examiner.

1. Who can act as an independent examiner in England and Wales? 2. Who can act as an independent examiner in Scotland? 3. Who can act as an independent examiner in Northern Ireland? 4. Does an independent examiner have to be a qualified accountant? 5. Can a bookkeeper be an independent examiner? 6. Can an AAT member be an independent examiner? 7. Can an ACCA accountant be an independent examiner? 8. Can an ICAEW accountant be an independent examiner? 9. Can a CIMA accountant be an independent examiner? 10. Can a CIPFA accountant be an independent examiner? 11. Can an IFA accountant be an independent examiner? 12. Can a solicitor be an independent examiner? 13. Can a retired accountant be an independent examiner? 14. Can an employee be an independent examiner? 15. Can a trustee be an independent examiner? 16. Can the treasurer be the independent examiner? 17. Can a family member of a trustee be an independent examiner? 18. Can a volunteer be an independent examiner? 19. Can our bank manager be the independent examiner? 20. Can a friend who is good with numbers be the independent examiner? 21. Can a finance director from another charity be an independent examiner? 22. Does the independent examiner need to have charity experience? 23. What does competent mean for an independent examiner? 24. What qualifications count as suitably qualified? 25. What experience should an independent examiner have? 26. Do independent examiners need specific training? 27. Do independent examiners need to do CPD? 28. Do independent examiners need professional indemnity insurance? 29. Does the independent examiner need anti money laundering supervision? 30. Does the independent examiner need a practising certificate? 31. Can an independent examiner be based overseas? 32. Can the independent examination be done remotely?

Independence and Conflicts of Interest

Select a question below to learn more about independence requirements.

1. What counts as a conflict of interest for an independent examiner? 2. What does independent mean in Charity Commission terms? 3. Can the independent examiner also prepare the accounts? 4. Can the independent examiner also do the bookkeeping? 5. Can the independent examiner also run payroll? 6. Can the independent examiner also help with Gift Aid claims? 7. Can the independent examiner also be a trustee of a connected charity? 8. Can the independent examiner be paid by the charity and still be independent? 9. Can the independent examiner do it for free and still be independent? 10. Can an independent examiner be a donor to the charity? 11. Can an independent examiner be related to a staff member? 12. Can an independent examiner be related to a trustee? 13. Can an independent examiner be connected to a supplier of the charity? 14. What happens if independence is not met?

Appointment and Practical Process

Select a question below to learn more about appointing and working with independent examiners.

1. How do we appoint an independent examiner? 2. Do trustees need to approve the appointment in a meeting? 3. Do we need a written engagement letter for independent examination? 4. What should be included in an independent examiner engagement letter? 5. When should we appoint an independent examiner? 6. Can we change independent examiner mid year? 7. How do we hand over from one independent examiner to another? 8. What records should we give the independent examiner? 9. What questions should we ask an independent examiner before hiring? 10. How do we check an independent examiner is competent? 11. How do we check an independent examiner is independent? 12. How do we find a charity independent examiner near me? 13. How long does an independent examination take? 14. What is the timetable for independent examination before filing? 15. How much does an independent examination cost in the UK? 16. Why does independent examination cost so much? 17. Can we get an independent examination done urgently? 18. Can we spread the cost monthly? 19. Can a charity claim independent examination costs from restricted funds? 20. How do we budget for independent examination fees?

What the Independent Examiner Actually Does

Select a question below to learn more about the examination process.

1. What does an independent examiner check? 2. Does the independent examiner check bank reconciliations? 3. Does the independent examiner check bank statements? 4. Does the independent examiner check invoices and receipts? 5. Does the independent examiner check payroll and PAYE? 6. Does the independent examiner check pension auto enrolment? 7. Does the independent examiner check Gift Aid? 8. Does the independent examiner check fundraising income? 9. Does the independent examiner check cash donations and cash handling? 10. Does the independent examiner check restricted funds are used correctly? 11. Does the independent examiner check grant conditions? 12. Does the independent examiner check debtor and creditor balances? 13. Does the independent examiner check accruals and prepayments? 14. Does the independent examiner check stock and donated goods? 15. Does the independent examiner check fixed assets and depreciation? 16. Does the independent examiner check charity reserves? 17. Does the independent examiner check investments? 18. Does the independent examiner check trustees expenses? 19. Does the independent examiner check staff expenses? 20. Does the independent examiner check related party transactions? 21. Does the independent examiner check serious incident reporting? 22. Does the independent examiner check internal controls? 23. Does the independent examiner test transactions or review everything? 24. How many transactions does an independent examiner sample? 25. Can an independent examiner ask for explanations and evidence? 26. What happens if records are missing? 27. What happens if bank statements are missing? 28. What happens if receipts are missing? 29. What happens if we used cash and did not keep records? 30. Can an independent examiner refuse to sign the report?

Independent Examiner Report Outcomes

Select a question below to learn more about report outcomes.

1. What is a clean independent examiner report? 2. What is a qualified independent examiner report? 3. What does it mean when the examiner raises concerns? 4. What does it mean when the examiner includes a matter of concern? 5. Can an independent examiner report be rejected by the Charity Commission? 6. Can trustees amend accounts after independent examination? 7. Can the independent examiner ask for amendments before signing? 8. Can an independent examiner issue a revised report? 9. Does the independent examiner report go on the public register? 10. Do donors and funders see the independent examiner report? 11. What wording does an independent examiner report need to use? 12. Is there a template for an independent examiner report? 13. Can we download a standard independent examiner report template? 14. Who signs the independent examiner report? 15. Can the independent examiner sign electronically? 16. Can trustees sign electronically?

Filing and Deadlines

Select a question below to learn more about filing requirements.

1. Do we file the independent examiner report with the accounts? 2. Where do we upload the independent examiner report on the Charity Commission portal? 3. Where do we upload the independent examiner report on OSCR? 4. Where do we upload the independent examiner report on CCNI? 5. What happens if we file late without an independent examiner report? 6. What happens if our accounts are overdue? 7. Can we file without the independent examiner report and add it later? 8. Can we request an extension for filing? 9. What deadlines apply for independent examination and filing? 10. If our financial year end changes does that change when independent examination is due?

Liability, Complaints, and Quality Concerns

Select a question below to learn more about liability and complaints.

1. Is an independent examiner personally liable for mistakes? 2. Can trustees be personally liable if the independent examination is poor? 3. Can we complain about an independent examiner? 4. Who do we complain to about an independent examiner? 5. Can the Charity Commission investigate an independent examiner? 6. What happens if the examiner is not independent? 7. What happens if the examiner is not competent? 8. What happens if the examiner discovers fraud? 9. Does an independent examiner have to report money laundering concerns? 10. Can an independent examiner report trustees to the regulator?

Silly and Very Common Reassurance Questions

Select a question below for answers to common concerns.

1. Can I do my own independent examination if I am the trustee? 2. Can my spouse do our independent examination? 3. Can my cousin do it if they promise to be unbiased? 4. Can our treasurer do it if nobody else is available? 5. Can we just copy last year report wording and change the date? 6. Can ChatGPT write the independent examiner report and we just sign it? 7. If we have no transactions can the examiner sign without looking at anything? 8. Do we still need independent examination if we only used a personal bank account? 9. If we kept everything on WhatsApp messages is that enough evidence? 10. If we only used cash in a collection tin can we still pass independent examination?

Independent Examination Cost

Select a question below to learn more about independent examination costs and fees.

1. How much does a charity independent examination cost in the UK? 2. How much do independent examiners charge for a small charity? 3. What is the average fee for an independent examiner in the UK? 4. What is a typical independent examination fee for a charity? 5. What is the cheapest independent examination fee I can get? 6. Why are independent examination fees so expensive? 7. Why is my independent examination quote so high? 8. Is independent examination always cheaper than an audit? 9. How much cheaper is independent examination compared to audit? 10. How much does an independent examiner report cost? 11. How much does it cost to get an independent examiner to sign off accounts? 12. What is the cost of independent examination for a charity under £25,000 income? 13. What is the cost of independent examination for a charity under £100,000 income? 14. What is the cost of independent examination for a charity under £250,000 income? 15. What is the cost of independent examination for a charity with £500,000 income? 16. What is the cost of independent examination for a charity near £1 million income? 17. How much does independent examination cost for a CIO? 18. How much does independent examination cost for a charitable company? 19. How much does independent examination cost for a charitable trust? 20. How much does independent examination cost for an unincorporated charity?

What Does the Fee Include?

Select a question below to learn what is typically included in the examination fee.

1. What does an independent examination fee include? 2. Does the fee include checking bank reconciliations? 3. Does the fee include checking bank statements? 4. Does the fee include checking invoices and receipts? 5. Does the fee include checking donation evidence? 6. Does the fee include checking cash donations? 7. Does the fee include checking collection tins? 8. Does the fee include checking restricted fund tracking? 9. Does the fee include checking grant conditions? 10. Does the fee include checking payroll records? 11. Does the fee include checking pension records? 12. Does the fee include checking Gift Aid claims? 13. Does the fee include checking fundraising platform reports? 14. Does the fee include checking serious incident reporting? 15. Does the fee include checking internal controls? 16. Does the fee include checking trustee expenses? 17. Does the fee include checking related party transactions? 18. Does the fee include preparing adjustment journals? 19. Does the fee include helping fix bookkeeping errors? 20. Does the fee include a management letter or recommendations? 21. Does the fee include attending a trustee meeting? 22. Does the fee include help with Charity Commission filing? 23. Does the fee include help uploading the report to the portal? 24. Does the fee include answering trustee questions after the report? 25. Does the fee include reviewing the accounts format for the Charity Commission? 26. Does the fee include reviewing the notes to the accounts? 27. Does the fee include reviewing the trustees report for compliance? 28. Does the fee include checking SORP disclosures? 29. Does the fee include checking funds note and movements? 30. Does the fee include review of prior year comparatives? 31. Does the fee include a revised report if accounts change? 32. Does the fee include a second review after changes?

Paying Independent Examination Fees from Funds

Select a question below to learn about funding independent examination costs.

1. Can we pay independent examination fees from restricted funds? 2. Can we pay independent examination fees from grant funds? 3. Can we charge independent examination fees to a specific project? 4. Should independent examination fees be paid from unrestricted funds? 5. Can we split the fee across funds? 6. How do we allocate independent examination costs across funds? 7. Are independent examination fees classed as governance costs? 8. Are independent examination fees classed as support costs? 9. Can funders refuse to pay for independent examination fees? 10. Can we include independent examination fees in a grant budget? 11. Can we claim independent examination fees as an eligible cost for a grant?

Independent Examination Fees by Location

Select a question below to learn about fees in different UK locations.

1. Independent examination fees near me 2. Independent examination fees London 3. Independent examination fees Birmingham 4. Independent examination fees Manchester 5. Independent examination fees Leeds 6. Independent examination fees Glasgow 7. Independent examination fees Edinburgh 8. Independent examination fees Cardiff 9. Independent examination fees Belfast 10. Are online independent examination fees cheaper? 11. Do remote independent examiners charge less than local firms? 12. Can I hire an independent examiner anywhere in the UK to reduce cost?