Think-Tank Report Faults British Charities’ Governance

Britain’s nonprofit organizations could face a crisis unless charities quickly strengthen their management boards, according to a new study reported in the Financial Times.

The analysis by New Philanthropy Capital, a think tank established by former Goldman Sachs bankers, says charities’ governance is “not up to scratch” and that large nonprofit organizations should explore mergers to save money and protect vital services.

Trustees are effective in basic roles but lack experience running large organizations that could be exposed by the economic crisis, said Eleanor Stringer, a co-author of the study.

(Free registration is required to view this article.)