Fundraising Risk Assessment Template for England and Wales

A Fundraising Risk Assessment is a crucial document that helps you identify, evaluate, and manage potential risks associated with your charity's fundraising activities. Under England and Wales law, this assessment ensures your organization complies with the Charities Act 2011, Data Protection Act 2018, and other relevant regulations while protecting your charity's reputation and financial security.

When do you need this document?

You need a Fundraising Risk Assessment before launching any new fundraising campaign or activity. This includes organizing charity events, door-to-door collections, online campaigns, direct mail appeals, or fundraising partnerships with commercial organizations. The Charity Commission expects trustees to demonstrate proper risk management, making this assessment essential for regulatory compliance. You should also conduct regular reviews of existing fundraising activities, particularly when changing methods, targeting new donor segments, or working with third-party fundraisers. Annual reviews help ensure your risk management remains current and effective.

Key legal considerations

Your Fundraising Risk Assessment must address several critical areas to ensure comprehensive protection. Financial risks include fraud prevention, money laundering controls, and proper accounting procedures for donated funds. Data protection considerations are paramount, requiring compliance with UK GDPR when collecting and processing donor information. You must also assess reputational risks that could damage public trust or your charity's mission. Legal compliance risks involve ensuring all fundraising activities meet regulatory requirements, including proper licensing for street collections or lottery activities. The assessment should evaluate operational risks such as volunteer safety, venue security, and emergency procedures during fundraising events.

Legal requirements in England and Wales

Under the Charities Act 2011, trustees have a legal duty to act in their charity's best interests and manage risks appropriately. The Charity Commission's guidance CC20 emphasizes the importance of risk management in fundraising activities. You must ensure compliance with the Fundraising Regulator's Code of Practice, which sets standards for charitable fundraising. Data protection laws require explicit consent for processing personal data, secure storage systems, and clear privacy notices for donors. The Privacy and Electronic Communications Regulations govern email marketing and telephone fundraising, requiring opt-in consent for most communications. If your fundraising involves gambling activities like raffles or lotteries, you must comply with the Gambling Act 2005 and obtain appropriate licenses from local authorities or the Gambling Commission depending on the activity's scale and nature.