Regulator to warn Fusion Lifestyle about how it reports senior pay

The charitable leisure trust used a £100k-wide salary bracket in its latest accounts, contrary to a Sorp stipulation that salaries of more than £60k should be reported in bands of £10k

Forest Hill Pools: run for Lewisham council by Fusion Lifestyle
Forest Hill Pools: run for Lewisham council by Fusion Lifestyle

The Charity Commission is to contact Fusion Lifestyle, one of the UK’s largest charitable leisure trusts, to warn it about how it reports senior executive pay after the charity used a salary bracket that was £100,000 wide in its latest accounts.

Third Sector’s recent pay study of the top 150 charities by income found that the leisure trust reported in its 2013 accounts that its four highest earners received between £100,000 and £200,000 a year.

Under the Statement of Recommended Practice, the financial reporting standard for charities, larger charities are required to disclose the pay of any staff earning more than £60,000 a year in salary bands of £10,000.

The charity, which had an income of £68m in 2013, runs leisure centres and services on behalf of a number of councils, including Hillingdon, Hounslow and Southwark.

A spokeswoman for Grant Thornton, the company that audited the charity’s accounts for the year in question, said it did not comment on its clients' affairs. 

A spokeswoman for the Charity Commission said in a statement that it would be contacting Fusion Lifestyle to "ask it to address the breach", but it did not ask charities to resubmit their accounts for "minor breaches" of the Sorp rules.

The spokeswoman said: "While we will not be asking Fusion Lifestyle to resubmit their old accounts, we would stress that, if asked, the charity should disclose its highest earners and provide this information in bands of £10,000 where staff are paid £60,000 or more."

A spokeswoman for the charity said in a statement: "We are in the middle of preparing our accounts for 2014 and will ensure the amendment is made going forward."

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