NEWS RELEASE Under embargo until 9.00am 11th October 2011 ‘Principles of Good Impact Reporting’ consultation launched

A universal set of principles for impact reporting in charities and social enterprises has

been released for consultation. The initiative, led by New Philanthropy Capital, CFDG

and ACEVO, is now in a consultation phase, seeking feedback from key groups involved

in developing impact reporting including chief executives, finance directors, fundraisers

and grant-makers.

‘The Principles of Good Impact Reporting’ are the product of collaboration between seven

organisations in the sector. The principles will enable charities and social enterprises to

shape the way they are perceived. By better defining ‘how’ and ‘what’ charities should

communicate in terms of impact, the focus can shift from arbitrary measures of

effectiveness such as administration costs, on to the difference being made.

Jane Tully, head of policy and public affairs at CFDG, said: “With donors and funders

placing greater demands on charities for accountability and demonstration of results, this

set of principles provides charities with a framework to look at communicating impact in

an appropriate and effective way.”

Tris Lumley, head of development at NPC, said: “I believe passionately in the power of

the stories that charities tell about their work to engage supporters, staff and

stakeholders. That’s why I’m delighted that we launch the Principles today to

consultation, as they can help charities to put impact at the heart of those stories.”

Seb Elsworth, director of strategy at ACEVO, said:

“There are a multitude of different methodologies organisations can use to demonstrate

their impact, but the principles are here to show that impact reporting doesn’t have to

be complicated, expensive, or about changing everything you do. But that instead it’s

about using existing opportunities to communicate better and more effectively.

“By making it easier for donors and stakeholders to focus on what really matters, the

difference we make as organisations, this should prevent organisations from being

judged unfairly and letting assessment be based on inputs which mean much less, things

like administration costs and or CEO Pay.”

Notes to editors:

1. ‘The Principles of Good Impact Reporting’ have been produced in collaboration by

seven organisations: New Philanthropy Capital, ACEVO (Association of Chief

Executives of Voluntary Organisations) incorporating the ImpACT Coalition, CFDG

(Charity Finance Directors Group), the Institute of Fundraising, The SROI

Network, NCVO (National Council for Voluntary Organisations).

2. The work was initiated by NPC, CFDG and Acevo and has been issued for

consultation with the support of the Cabinet Office.

3. CFDG is the charity that promotes best practice in charity finance management,

supporting finance managers with conferences, training and a wealth of web-

based information. CFDG is also active in the policy arena, working on issues that

affect charity finances. CFDG’s circa 1700 members are responsible for the

finances of charities with a wide variety of income levels. Between them our

members manage some £21.75 billion in charity income per year, around half of

the sector’s income. For more information please contact Katherine Smithson at

katherine.smithson@cfdg.org.uk or on 020 7250 8347.

4. ACEVO (Association of Chief Executives of Voluntary Organisations

www.acevo.org.uk) is the professional body representing charity and not-for-profit

sector chief executives in the UK, with over 2000 members. The broad not-for-

profit sector now employs the full-time equivalent of 1.5m staff, with a collective

annual turnover of £46bn. ACEVO is committed to improving third sector

leadership skills worldwide.

5. New Philanthropy Capital (NPC) is a charity think tank and consultancy dedicated

to helping funders and charities to achieve a greater impact. We provide

independent research, tools and advice for charities and funders in the UK and

internationally. We have an ambitious vision: to create a world in which charities

and their funders are as effective as possible in changing people’s lives and in

tackling social problems. For charities, this means measuring the results of their

work and using evidence to learn and improve, as well as to attract support. For

funders, it means using evidence of charities’ results to make funding decisions

and to measure their own impact. For further information, see

www.philanthropycapital.org.

For more information please contact Gemma Davidson on 020 7620 4850.