The Charities Statement of Recommended Practice (SORP) explains how charities applying FRS 102 should prepare their accounts and trustees’ annual report. It brings together financial reporting requirements with a narrative account of a charity’s activities, achievements and governance.
A starting point for discussion. This is an independent overview, not the standard itself or advice on a particular set of accounts. Refer to the official SORP and your professional adviser for the requirements that apply to you.
Who is it for?
The SORP is relevant to charities preparing accruals accounts under FRS 102 in the UK and Republic of Ireland. Whether a charity must prepare those accounts depends on its legal form, jurisdiction, size and other applicable requirements.
Do not assume that every charity must use the same reporting framework. Receipts and payments accounts are a different basis of preparation; check eligibility and local rules with your regulator or adviser.
When does it apply?
SORP 2026 applies to reporting periods beginning on or after 1 January 2026. The start of your accounting period is the key date, not simply the year in which you submit your accounts.
- A year beginning 1 January 2026 and ending 31 December 2026 falls within the new framework.
- A year beginning 1 April 2026 and ending 31 March 2027 also falls within it.
- A year beginning 1 April 2025 and ending 31 March 2026 began before the effective date.
Discuss transition and any comparative information needed with your accountant early.
What should you look at first?
Your trustees’ annual report
Review how clearly you explain your purpose, activities, achievements and the difference your work makes. Connect the financial story to your plans, risks and how resources are used.
The accounting changes
The revised FRS 102 framework includes changes to revenue recognition and lease accounting. The implications depend on your charity’s agreements and circumstances; review the relevant SORP modules with your finance team or adviser.
Proportionate reporting
The 2026 framework introduces tiered reporting. Check the official criteria and requirements for your charity’s tier, including any narrative and sustainability reporting expectations. Do not assume that every disclosure applies to every charity.
Evidence, not just a better narrative
Consider what evidence supports your account of achievements. Be clear about the difference between the activities you deliver, the people you reach, and the outcomes you can demonstrate. Be equally open about limitations and learning.
Questions we hear often
Is the readiness tool a full SORP compliance check?
No. Are You SORP Ready? focuses on impact, sustainability and narrative reporting readiness. It does not assess comprehensive financial accounting compliance, replace an audit or provide an assurance opinion.
Is this an official SORP website?
No. This is an independent initiative from My Social Impact, built by The Ideas Shed. The official standard and supporting resources are published through charitysorp.org.
Can AI make decisions about our accounts?
AI can help you explore questions and organise your thinking, but its answers may be incomplete or incorrect. Trustees retain their responsibilities and should use the official standard and appropriate professional advice.
Official foundations
Charities SORP — the official standard and supporting resources is the authoritative reference. You can also access the published SORP 2026 document. Always check the current text, effective dates, relevant modules and any official updates.
This independent introduction draws on My Social Impact’s published scope and methodology, checked on 10 October 2026. The official site was returning an error at that check, so we have not independently revalidated the full standard here.
Our guidance keeps accounting obligations distinct from wider good practice. The My Social Impact framework is an approach to organisational improvement; it is not an official SORP requirement.
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