The Charity Commission has launched a consultation on how it should cut its spending by a third after the government’s announcement last week that its budget would be cut from £29.3m to £21.3m by 2014/15.
The consultation asks whether the commission should adopt a light-touch approach to registering charities, whether it should investigate charities only where large amounts of money are at risk and whether it should stop giving one-to-one advice to individual charities.
It also asks what risks the voluntary sector will face in the next five years, and which services respondents expect the commission to provide.
Dame Suzi Leather, the chair of the commission, said: "Business as usual is simply not an option for the commission, given the reduction in our resources. We have to draw up a whole new picture of what kind of a regulator the commission should be in five years’ time.
"We might have to withdraw services, change the way we interact with charities and refocus our regulatory approach."
In a statement, the commission said this was the first stage of a review process and the changes would be in place from May 2011.
The consultation runs until 14 January and can be found here.