Authorities investigate Micklegate Ecclesiastical Trust over financial controls

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The Charity Commission has opened a statutory inquiry into Micklegate Ecclesiastical Trust over concerns about its financial controls. The York-based charity supports Church of England activities, including church repair and maintenance, within its local area of benefit.

Micklegate Ecclesiastical Trust inquiry on financial controls

The inquiry was confirmed in a public disclosure by the regulator, which announced the action through an X post. In that post, the Commission said it had opened an inquiry into Micklegate Ecclesiastical Trust following regulatory concerns about financial controls.

The statutory inquiry began on 7 January 2026 and was opened under section 46 of the Charities Act 2011. The Commission stated that the investigation will examine the charity’s administration, governance, and overall management.

According to the regulator, the charity failed to submit its accounts for the financial years ending 31 December 2023 and 31 December 2024. Financial information submitted for the year ending 31 December 2022 also raised concerns about related party transactions.

The Commission said it will assess whether trustees met their legal obligations regarding the preparation, content, and filing of financial returns. It will also review whether the charity has appropriate and robust financial controls in place.

Another focus of the inquiry involves the management of conflicts of interest and connected party transactions. The regulator said it will examine whether any unauthorised personal benefit occurred.

Attention to the trust arose during a separate, ongoing inquiry launched in July 2025. That earlier investigation concerns the Parochial Church Council of Holy Trinity with St. John, Micklegate, and St. Martin Cum Gregory, York.

The regulator said both charities shared several trustees, prompting closer regulatory scrutiny of the trust’s governance arrangements. The Commission added that it may extend the scope of the inquiry if additional regulatory issues emerge.

The Charity Commission said the trust drew regulatory attention because it shared several trustees with another charity, prompting further engagement.

Following the conclusion of a statutory inquiry, the Commission publishes a report outlining the examined issues, actions taken, and outcomes.

Statutory inquiries and regulatory oversight

Statutory inquiries allow the regulator to use protective powers to safeguard charitable assets, beneficiaries, and public confidence. These powers may include directing trustees or restricting transactions, where necessary.

The Charity Commission is the independent regulator of charities in England and Wales. It is responsible for registering charities and ensuring compliance with charity law.

Previous Commission actions have highlighted increased scrutiny of church-linked charities facing governance risks. This includes recent regulatory warnings issued to Church of England bodies over compliance failures. 

Charity Journal has also reported on government guidance aimed at improving annual return filings among charities.

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