Can Trustees of a Charity Be Paid? UK Rules Explained

The default position in charity law is clear: trustees must not be paid for being trustees. Trusteeship is a voluntary role. The Charities Act 2011 reinforces this — trustees cannot receive any benefit from the charity unless specific conditions are met.

But "trustees cannot be paid" is the headline, not the full picture. There are legitimate exceptions, and trustees can always claim reasonable expenses. Here is how the rules work.

The default rule: no payment

Charity trustees serve in a voluntary capacity. This means:

• No salary for serving as a trustee
• No fees for attending meetings
• No honoraria or token payments
• No profit from transactions with the charity

This rule exists because trustees are responsible for managing the charity in the interest of its beneficiaries, not for personal gain. Any payment creates a conflict of interest.

When trustees CAN be paid

There are three situations where a trustee can receive payment:

1. The governing document allows it

If your charity's governing document (constitution, trust deed, or articles) explicitly authorises trustee payment, trustees can be paid within those terms. This is most common in older trusts where the deed was drafted to allow a professional trustee (solicitor, accountant) to charge fees.

Check the exact wording. A clause that allows payment "for services rendered to the charity" is different from one that allows payment "for acting as a trustee." The scope matters.

2. Charity Commission authorisation

The Charity Commission can authorise trustee payment under section 185 of the Charities Act 2011. This is used when:

• The governing document does not allow payment, but the charity needs a trustee's professional services
• The charity wants to pay a trustee for a specific role (e.g., a trustee who is also the charity's accountant)

The Commission will consider whether the payment is reasonable, whether the service could be obtained more cheaply elsewhere, and whether adequate conflict-of-interest safeguards are in place.

3. Payment for services, not trusteeship

A trustee can be paid for providing professional services to the charity that are separate from their trustee role — but only if specific conditions are met:

• The payment is authorised by the governing document or by the Charity Commission
• The trustee providing the service did not participate in the decision to appoint them
• The payment is reasonable for the service provided
• The remaining trustees are satisfied that the service is needed and represents value for money
• There is a written agreement setting out the services and payment

Example: A trustee who is a qualified accountant could be paid to prepare the charity's accounts, provided the above conditions are met and the other trustees approved the arrangement without the paid trustee's involvement.

Expenses — always claimable

Trustees can always claim reasonable out-of-pocket expenses incurred in carrying out their trustee duties. This is not payment — it is reimbursement for costs that the trustee would not have incurred otherwise.

Common claimable expenses:

• Travel to and from trustee meetings
• Accommodation for meetings that require an overnight stay
• Childcare or carer costs to enable attendance at meetings
• Postage, printing, and phone calls related to charity business
• Training course fees

Keep receipts and records. The charity should have an expenses policy that sets out what can be claimed, any limits, and the approval process. Reimburse promptly — trustees should not be out of pocket for volunteering their time.

Importantly: Many small charity trustees do not claim expenses even when they are entitled to. This is generous, but it can create a barrier — potential trustees who cannot afford to absorb travel costs may not put themselves forward. Make it clear in your recruitment materials that expenses are paid.

The conflict of interest angle

Any payment to a trustee creates a conflict of interest that must be managed:

1. Declare the interest at the relevant board meeting
2. Withdraw from the discussion and vote on the decision to make the payment
3. Record the declaration and withdrawal in the minutes
4. Review the arrangement annually to ensure it still represents value for money

Failure to manage these conflicts can lead to a Charity Commission inquiry, and in serious cases, the Commission can require repayment of any unauthorised benefit.

What about trustee chairs or treasurers?

Being chair or treasurer does not change the rules. These roles carry additional responsibilities but are still voluntary trustee positions. Payment for chairing or acting as treasurer is not permitted unless the governing document or the Charity Commission authorises it.

For guidance on board roles and effectiveness, see our Charity Governance Code 2025 guide.

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This guide applies to charities registered in England and Wales under the Charities Act 2011. This is general guidance, not legal advice.

Sources

• Payments to charity trustees: what the rules are — GOV.UK
• Charity trustee: what's involved — GOV.UK