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If you work in or around the charity sector, you’ve probably heard people talking about “the SORP.”

Here at Aedon.Accounting, we’ve been writing about the 2026 Charity SORP for the past few months. Our CEO, Paul Foden, is a bit of an expert in the field, and is even partaking in roundtable discussions to develop the upcoming guidelines.

But what exactly is the Charity SORP, and why does it matter?

If you don’t know the answer to this, you’re not alone. Allow us to guide you through the basics. All charities need to know their stuff ahead of the 2026 guidelines being announced early next year.

SORP stands for Statement of Recommended Practice. It sets out how charities should prepare their annual accounts and trustees’ reports in the UK and Ireland, ensuring consistency, transparency, and compliance with accounting standards.

The current version is due for a major overhaul in 2026, and the changes will affect how charities record income, expenditure, volunteer contributions, ESG impacts, and more. If you’re a Finance Director, trustee, or auditor in the sector, you can’t afford to ignore it.

A Brief History of the SORP

The first charity SORP was published in 1988, providing a standardised approach to charity accounting for the first time. Over the decades, it has evolved to reflect changes in both accounting standards (notably the adoption of FRS 102) and the operating environment of charities. Each revision — most recently in 2019 — has aimed to improve clarity, comparability, and transparency. The 2026 version will be the most significant update in years, reflecting the sector’s digital transformation, ESG focus, and increasing public scrutiny.

Why is it important?

The SORP isn’t optional — if your charity meets the income or asset thresholds requiring accruals accounts, you must follow it. For larger charities, failure to comply can mean reputational damage, regulatory issues, and a loss of donor confidence.

Who makes it?

The SORP is developed by the Charity SORP-making body, which works under the Financial Reporting Council (FRC). It’s informed by sector specialists, regulators, and practitioners — including voices like ours at Aedon.Accounting.

Why is it changing in 2026?

The charity landscape is evolving — from digital reporting and ESG expectations to increased transparency demands. The 2026 update is designed to bring the framework in line with modern needs, improve comparability across the sector, and better reflect the true value of charity activity, including volunteer time.

The SORP shapes how your charity’s story is told in numbers. Understanding it now will save you pain — and possibly penalties — later.

Aedon.Accounting: The Experts on Charity SORP Compliance

Use Aedon.Accounting to stay compliant and confident.

We are here to enable you to confidently and easily navigate the changes to the 2026 Charity SORP. Stay tuned for more additions to our SORP 2026 library ahead of the new guidelines in January 2026.

Find out more about how Aedon.Accounting can help you prepare for the 2026 changes at Aedon.Charities.

We have a whole library of information on the Charity SORP 2026 on our resources page. We have rounded up all of our previous SORP content so you have quick access to our resources.