The Charity Commission and the Office of the Scottish Charity Regulator have outsourced part of providing future updates of the Sorp accounting standards for charities to the accountancy membership body the Chartered Institute of Public Finance and Accountancy.
Under the two contracts awarded, Cipfa will provide secretariat support for any further updates to the charities Statement of Recommended Practice, including preparing technical briefing papers for the Sorp committee. It will also distribute hard copies of the new Sorps, which were published last month.
The two regulators put the contracts out to tender on 4 June, inviting bids for a three-year deal, potentially worth up to £100,000. The commission said the work needed to be outsourced because of its declining financial resources.
The outsourcing will not cost the regulators anything because Cipfa will receive money through sales of hard copies of the Sorp rather than being paid for the work. Cipfa should start its work in September.
The regulator said in a statement: "The Charity Commission and the OSCR will continue to be the Sorp-making body as recognised by the Financial Reporting Council and the Sorp will still be made freely downloadable from the regulators’ websites. The Sorp committee will continue to review drafts, as well as provide advice, technical input and assistance to the development of the Sorp."
Rob Whiteman, chief executive of Cipfa, said: "As a registered charity ourselves, we put the highest priority on promoting the public interest. This is a great opportunity for Cipfa to use its financial expertise and experience to further develop financial assurance and probity in the third sector and to provide advice and guidance on accounting best practice."
Cipfa registered as a charity in 1964 and had an income of £25.5m in 2012. It has 14,000 members working across public services, audit agencies, accountancy firms and other organisations.