Essential Documentation

What is an Independent Examiner Report?

Every charity that undergoes an independent examination needs this document. Here is what it is, what it contains, and why it matters for your charity.

The Short Answer

An independent examiner report is a written document produced by your charity's independent examiner after they have reviewed your annual accounts. It tells trustees, donors, the Charity Commission, and anyone else who looks at your accounts what the examiner found during their review.

Think of it as a letter from your examiner to your charity's stakeholders, explaining whether your accounts are in good order and whether there are any concerns that need attention.

Why Does Your Charity Need One?

If your charity has an annual income over £25,000, the law requires you to have an independent examination. The examiner's report is the formal output of that process.

Legal Requirement

The Charity Commission will not accept your annual accounts filing without the examiner's report. It is a mandatory part of your annual return.

Provides Assurance

The report gives trustees peace of mind that someone independent has checked your accounts. It also reassures donors and funders that their money is being managed properly.

Highlights Issues

If the examiner finds any problems or has concerns, they will flag these in the report. This gives trustees a chance to address issues before they become serious.

What Does the Report Contain?

An independent examiner report typically includes the following sections:

1. Introduction and Scope

This identifies your charity, the examiner, and explains that the examination was carried out in accordance with the relevant regulations. It also confirms that the examiner is independent of your charity.

2. Respective Responsibilities

This section explains what the trustees are responsible for (preparing the accounts) and what the examiner is responsible for (examining the accounts and reporting their findings).

3. Basis of Opinion

This describes the work the examiner did, including which records they checked and how they carried out their examination. It should explain that the examination followed the required procedures.

4. Opinion

This is the most important part. The examiner will state one of the following:

  • Unqualified opinion: The accounts are in good order
  • Qualified opinion: There are some concerns or reservations about the accounts
  • Adverse opinion: The accounts do not show a true and fair view

5. Matters to Draw to Trustees' Attention

Even if the examiner gives an unqualified opinion, they may still flag matters they think trustees should be aware of, such as accounting policies that could be improved or areas of concern.

6. Examiner Details and Signature

The report should include the examiner's name, qualifications (if any), and contact details, along with their signature and the date of the report.

What the Report Does NOT Do

It is important to understand what an independent examiner report is and what it is not:

An IE Report DOES:

  • Check accounts agree to underlying records
  • Confirm accounts are properly prepared
  • Flag material concerns
  • Meet Charity Commission requirements
  • Provide limited assurance to stakeholders

An IE Report Does NOT:

  • Verify every single transaction
  • Test financial controls in depth
  • Specifically look for fraud
  • Guarantee accounts are 100% accurate
  • Provide the same assurance as an audit

Who Can See the Report?

Once produced, the independent examiner report becomes a public document. It is filed with the Charity Commission alongside your annual accounts and is available for anyone to view on the Charity Commission register.

Members and supporters of your charity
Funders and grant-making organisations
The Charity Commission and other regulators
Anyone who requests a copy of your annual report

What If the Examiner Has Concerns?

If the independent examiner issues a qualified report or raises matters for trustees' attention, this does not necessarily mean something is seriously wrong. It means the examiner has identified areas that need to be looked at.

As a trustee, you should:

  1. Read the report carefully and understand what concerns have been raised
  2. Discuss the findings at your next trustee meeting
  3. Take action to address any issues identified
  4. Consider whether you need specialist advice
  5. Document your response and any corrective action taken

In Summary

  • An independent examiner report is a written document produced after examining your charity's accounts
  • It is a legal requirement for charities with income over £25,000
  • The report gives an opinion on whether your accounts show a true and fair view
  • It provides limited assurance, not the same level as an audit
  • The report is a public document filed with the Charity Commission
  • If concerns are raised, trustees should address them promptly

Need Help With Your Independent Examiner Report?

Our specialist charity accountants can carry out your independent examination and produce the required report. We ensure everything is done correctly and filed on time.