The right to pay trustees could damage the reputation of charities and lead to conflicts of interests, the Charity Commission has claimed in its response to the Government review of charity law.
The review proposes that organisations should have the power to pay individual trustees to provide a service to the charity when it is in the charity's best interest.
But the Commission claims that this could produce a "conflict of interest and confusion of roles" when the trustee board has a commercial relationship with one or more trustees. The Commission recommends a limit on the number of paid trustees.
It supports the majority of the Strategy Unit proposals. "As a package we think that the review will do much to help charities meet their clients' and beneficiaries' needs better, to improve the public accountability of charities and to help the Commission regulate charities effectively in the public interest," said chief charity commissioner John Stoker.