The Charity Commission has recently released data concerning the number of whistleblowing disclosures it has received.
The data shows that the Charity Commission received 561 disclosures between April 2023 and March 2024, an increase of 72% on the previous year. 54% of disclosures came from employees and ex-employees. Interestingly, over half of disclosures (264) resulted in “no further action” from the Charity Commission; roughly 20% of disclosures resulted in regulatory advice and guidance.
In light of this, Harriet Broughton has set out the five key things charities should know about whistleblowing.
1. Who can be a whistleblower?
Anyone can be a whistleblower, however, only employees and workers have whistleblowing protection. This protection means that an employee or worker who blows the whistle is protected from suffering “detriment” on the grounds that they have blown the whistle, and any dismissal will be unfair if the principal reason for the dismissal is the fact they are a whistleblower.
We are currently awaiting the decision of the Employment Appeal Tribunal in the case of MacLennan v British Psychological Society, where Mr MacLennan claims that, as a trustee, he should have the same whistleblowing protections as employees and workers.
2. What should I do if my charity receives a whistleblowing disclosure?
It is important to investigate any whistleblowing disclosure you receive. The main reason for this is to enable your charity to understand whether there is any merit to the disclosure and, if so, how to address any failures identified. Trustees should be mindful of their duties, in particular the duty of prudence: to act responsibly, reasonably and honestly.
3. Do I have to tell the whistleblower of the outcome of my subsequent investigation?
There is no legal duty to tell the whistleblower of the outcome. In some circumstances, it may not be possible to communicate the outcome, either because the whistleblower is anonymous, or because the matter disclosed is confidential. However, as a matter of good practice, it would be prudent to communicate with the whistleblower in general terms so that they know you have taken the matter seriously.
4. Do I need to tell the whole board about a whistleblowing disclosure?
This will need to be assessed on a case-by-case basis. Factors to consider include whether any trustees are implicated in the whistleblowing disclosure, and the importance of ensuring an objective and unbiased investigation.
If the whistleblowing disclosure reveals that a serious incident may have occurred, then the trustees will need to consider reporting to the Charity Commission. Typically, we would expect trustees to be notified of a whistleblowing disclosure and the action being taken, even if they are not immediately told of the content of the disclosure.
5. Do I need a whistleblowing policy?
There is no legal requirement to have a whistleblowing policy, however, it is recommended that charities do have a policy in place. The whistleblowing policy should include important information such as:
- how to make a whistleblowing disclosure;
- who to make a whistleblowing disclosure to;
- what will happen when a whistleblowing disclosure is made;
- how the charity will ensure confidentiality;
- the protection and support available for whistleblowers.
If you have any questions about whistleblowing, please contact Harriet Broughton.