Independent examinations

For years ending on or after the 30 September 2026 the independent examination thresholds have increased.  If your year end is 29 September 2026 or earlier you must still apply the old thresholds.  If your year end is the 30 September 2026 or later you can use the new thresholds to determine whether you need an independent examination or an audit.

Old thresholds:

• Between £25,000 and £1,000,000 where your gross assets do not exceed £3,260,000; or
• Between £25,000 and £250,000 where your gross assets do exceed £3,260,000

New thresholds:

• Between £40,000 and £1,500,000 where your gross assets do not exceed £5,000,000; or
• Between £40,000 and £500,000 where your gross assets do exceed £5,000,000

Charities with an income not exceeding £40,000 under the new thresholds (£25,000 under the old thresholds) are not required by law to have an Independent Examination but may elect to do so.

The work carried out for an Independent Examination is different than the work required for an audit. The work is largely based on review of the figures and agreeing key balance sheet balances such as the bank balance. In an audit we will take more time to test the design and implementation of key systems as well as select a sample transactions and agree these to supporting documentation. In an audit report we state a positive opinion that in our opinion the accounts show a true and fair view. An Independent Examination supplies assurance that accounts are properly prepared in accordance with the SORP.

For some charities the requirement to have an audit may be embedded in the Trust deed, for others it may be a choice. For more about independent examination and audit see our PEM guide.

For the majority of our independent examination clients we also prepare SORP compliant accounts at the same time. These services are delivered remotely so we can serve you wherever you are based.

Get in touch to speak to one of our independent examination specialists.