As a charity trustee and B Corp agency owner, I’ve witnessed firsthand how remarkable work often goes uncelebrated in the third sector.
The Charity Commission’s recent call for organisations to “stop being shy” about their impact gets a yes from me as I view impact reporting from both sides of the fence.
In Summary:
- Impact reporting builds public trust: The Charity Commission says it’s not about ticking boxes — people care deeply about how charities spend money and achieve their purposes.
- Charities struggle with their own story: You’re too close to see what matters, working with limited resources, and haven’t considered impact reporting before. Routine achievements actually provoke support and donations.
- Balance numbers with real stories: Weave data into narratives that connect statistics with real-world change. Include both planned and unexpected positive outcomes from your work.
- Start with your mission, document the journey: Don’t just present destinations. Show the challenges, setbacks, and lessons alongside your successes to build credibility.
- Spend equal time distributing it: For every hour creating your report, spend an hour sharing it. One LinkedIn post won’t cut it. Use multiple channels, speaking opportunities, and sustained social content.
FIRST THINGS FIRST
Why Impact Reporting Matters Now More Than Ever
The Charity Commission’s chief executive, David Holdsworth, has clarified that demonstrating impact isn’t just about ticking boxes anymore; it’s about building and maintaining public trust. In an article published in late 2024 he shares that research consistently shows that people care deeply about how charities spend money and achieve their purposes.
On top of this, The Charity Commission Statement of Recommended Practice for 2026 introduces significant changes to impact reporting requirements, particularly around sustainability and a new three-tier reporting structure. These changes reflect stakeholders’ increasing interest in understanding not just what charities do, but the difference they make to beneficiaries and the wider environment.
Summary
The New Requirements
| Tier | Income Threshold | Impact Reporting Requirements | Sustainability Reporting |
|---|---|---|---|
| Tier 1 | Up to £500,000 |
|
Optional (but encouraged) |
| Tier 2 | £500,001 – £15 million |
All Tier 1 requirements PLUS:
|
Optional (but encouraged) |
| Tier 3 | Over £15 million |
All Tier 1 & 2 requirements PLUS:
|
Mandatory Summary of how charity responds to and manages environmental, governance and social matters |
SO WHAT'S THE PROBLEM?
The Hidden Challenge in Impact Reporting for Charities
Here’s what I’ve learned from both perspectives: charities often struggle not because they lack impact but because they’re too close to their own story, often working with limited resources, and for many, they just haven’t considered impact reporting before.
When you’re deeply embedded in the day-to-day running of a charity, it’s surprisingly easy to overlook the significance of what might seem like routine achievements and how they might provoke support, endorsement and donations.
Common Roadblocks in Impact Reporting:
- Overwhelming amounts of data without a clear narrative thread
- Difficulty in quantifying qualitative impact
- Limited resources for professional reporting
- Uncertainty about what stakeholders want to know
FIND YOUR SWEET SPOT
Turning Data into Stories That Matter
The sweet spot for impact reporting lies in storytelling. Through our work with purpose-driven organisations, we’ve discovered that the most compelling impact reports don’t just present data – they weave together a narrative that connects numbers with real-world change.
Best Practices for Impactful Reporting:
ONE:
Start with Your Core Mission
TWO:
Embrace Both Quantitative and Qualitative Impact
THREE:
Document the Journey, Not Just the Destination
Numbers matter, but so do stories. The most effective impact reports for charities balance statistical evidence with compelling narratives about real people and real change.
FOUR
Tell people about it
Remember this crucial insight: for every hour spent creating your impact report, set aside the same time for distribution. With studies showing that both B2B and B2C decision-makers increasingly focus on sustainable and ethical practices, getting eyes on your report should be a priority.
Remember, a single LinkedIn post won’t suffice. Your impact report represents significant work and insight—give it the distribution strategy it deserves.
Consider these distribution channels:
- Make your report prominently visible on your website, not hidden in a footer
- Share it with current stakeholders to strengthen existing relationships
- Use it to re-engage lost or lapsed supporters
- Create a sustained social media strategy with regular content pulls
- Include key findings in pitch decks and proposals
- Seek speaking opportunities at industry events and podcasts
- Connect with your local community through in-person events
Resource Alert!
Looking Ahead
The Future of Impact Reporting
The Charity Commission’s changes to reporting requirements presents an opportunity rather than a burden. By making the impact more visible, charities can:
- Build stronger connections with supporters
- Attract new funding opportunities
- Inspire other organisations
- Strengthen public trust
The new changes take effect imminently.
Effective date: Accounting periods beginning on or after 1 January 2026
Early adoption: Permitted (but check with your charity regulator about any regulatory updates needed)
First reports: Most charities will see these requirements apply to financial years ending 31 December 2026 or later
Taking Action
Next Steps for Your Charity
Identify your tier based on gross income
Review current reporting against new requirements and identify gaps
Consider how to capture both planned and unexpected positive outcomes
Think about creative ways to present your impact story
FINAL THOUGHTS
Your Story Deserves To Be Told Effectively
As someone who straddles both the corporate and charitable sectors, I’ve seen how powerful well-crafted impact reporting can be. It’s not just about compliance – it’s about celebrating your achievements, learning from your experiences, and inspiring others to join your cause.
The new requirements laid out in the SORP 2026 places greater emphasis on demonstrating impact and addressing sustainability. While this may seem like additional reporting burden, it reflects what stakeholders increasingly expect from charities: transparency about the difference being made. By developing robust impact reporting systems now, charities can better communicate their value and build stronger relationships with supporters.
The time for being shy about your impact is indeed over. Your work matters, and your story deserves to be told effectively.
Need help crafting your impact story?
As a B Corp agency with extensive experience in impact reporting and a deep understanding of the charitable sector, we’re uniquely positioned to help you share your impact story effectively. Learn more about our impact reporting services below.