The Charities Regulator has urged all charities across Ireland to comply with their legal requirements in order to boost overall public confidence in the sector.

The Charities Regulator’s 2021 annual report shows that only two-thirds of registered charities had filed their annual reports on time, which is within 10 months of the charity’s financial year-end.

These annual reports provide an overview of a charity’s finances and activities in the previous year and are published on the public Register of Charities.

The annual report also shows that almost half of Irish charities have an annual income of less than €250,000, according to information supplied in annual returns for 2020. Fifteen per cent of Irish charities have an annual income of more than €1 million.

Helen Martin, chief executive of the Charities Regulator, said the question for charities is whether they can afford not to comply with the requirement to file annual reports.

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“Funding is the number one concern for charities we surveyed last year, and as inflation brings an increased cost of living it will remain so," she stated.

"There is a strong link between greater transparency and accountability by charities and public trust in the sector, making the charity’s annual report to the Charities Regulator an important means for registered charities to provide basic information to the public on their finances and activities in the previous year.”

“The decline in the number of charities filing their annual reports within the required timeframe is disappointing and remains a concern particularly given that research shows the reporting requirements are not considered to be unduly onerous by the charity sector.

“Our registration and compliance units are assessing why some charities are failing to meet this statutory requirement with a view to addressing any underlying issues and encouraging increased compliance in 2022,” Martin said.

The regulator recorded the registration of 282 new charities in 2021, including 98 schools, bringing the total number of registered charities in Ireland to 11,426. The top five charity sectors are advancement of education, community welfare, integration into society, relief from poverty, and community development.

According to the report, there was a 22% increase in the number of concerns raised about charities in 2021, up to 568 from 466 the previous year.

According to the annual report, 4,245 charities declared themselves to be in full compliance with the Charities Governance Code 2021, while 912 charities stated they were partially compliant. A further 967 charities admitted to being non-compliant.

A full list of registered Irish Charities can be accessed on the Register of Charities.