HEFCE as principal regulator

Under the terms of the Charities Act 2006, HEFCE has agreed to become the principal regulator of those higher education institutions (HEIs) that are exempt charities.

Our appointment as principal regulator came into effect on 1 June 2010. On the same date, the Charity Commission's regulatory powers were extended to apply to a number of exempt charities, including HEIs. The Commission may only use its powers in relation to a HEI after consulting HEFCE.

The statutory commencement order makes it clear that the new duties of both HEFCE and the Charity Commission will be forward looking. But we will respond to issues that have occurred in the whole of the 2009-10 financial year providing that neither we nor the Commission were aware of them before 1 June 2010.

Duty and objective

As principal regulator we must do all we reasonably can to meet the compliance objective in relation to the exempt charity HEIs.

The compliance objective is:

'to promote compliance by charity trustees with their legal obligations in exercising control and management of the administration of the charity.'

Powers

We now have the express power to request any necessary information from HEIs that helps us meet this objective. But the law limits the extent to which ministers may request information obtained by us as principal regulator. These limits mirror the fact that the Charity Commission is not subject to ministerial oversight as regulator of registered charities.

Information about developments

We use a mailing list to provide progress reports and other information to anyone who has a particular interest in the regulation of HEIs as charities.

Further information is also available from Andrew Malin, e-mail charityreg@hefce.ac.uk, tel 0117 931 7332.

Last updated 27 July 2010