Articles

From January 2026, the new Charity SORP brings volunteer reporting into sharper focus than ever before.

For charities across the UK, understanding how to measure, value, and report volunteer time—both chargeable and non-chargeable—will soon be essential for compliance, transparency, and demonstrating impact.

“Volunteers have always been the heartbeat of the sector,” says Paul Foden, CEO of Aedon.Accounting. “But under SORP 2026, we’ll see their contribution given the structured recognition it truly deserves.”

What Counts as Chargeable?

Under SORP 2026, only certain “donated services” can be recognised in the Statement of Financial Activities (SoFA). These must meet three criteria:

1. A quantifiable market value,
2. The service would otherwise be purchased by the charity,
3. It reflects an in-substance exchange (e.g., legal advice, pro bono audit work).

These are chargeable – and must be recorded as both income and expenditure in your accounts.

Non-Chargeable, But Invaluable

The vast majority of volunteer time—fundraising, mentoring, community outreach, governance—won’t be recognised financially in the accounts. But this doesn’t make it less important. In fact, under SORP 2026, it becomes a core component of narrative reporting in the Trustees’ Annual Report.

Charities are encouraged to:

1. Record hours contributed,
2. Attribute an indicative financial value,
3. Tell the story of impact in qualitative and quantitative terms.

Indicative Value and Methodology

Using financial proxies (like the National Living Wage or role-specific rates from the ONS) helps charities show scale. Just remember: this value is for illustrative purposes only and must not be treated as income.

The Role of Aedon.Charities

Aedon.Charities, our tailored solution for the third sector, supports integrated time-tracking, volunteer management, and automated impact reporting—helping you meet the SORP requirements with ease.

Learn more about how to prepare and build a framework for meaningful volunteer reporting at aedon.co.