Business leaders hold the key to the charity trustee crisis

As a charity lawyer, I speak to business owners regularly about how they should demonstrate purpose alongside profit, a growing governance crisis in the charity sector that presents both a challenge and an opportunity.

This is particularly prevalent at a time when businesses in the UK are under the most pressure.

According to the National Council for Voluntary Organisations, nearly 80% of charities in England and Wales have at least one vacant trustee position. In line with my daily conversations with my charity clients, many have several vacancies, some of which have been vacant for over 12 months.

The implications of these vacancies are truly significant – they can lead to weakened decision-making, stalled or slow business growth, and reduced overall impact across a sector that contributes an estimated £18 billion to the UK economy each year. We’re not talking small numbers here.

The solution may lie in the boardrooms of the private sector.

A governance gap with real economic consequences

Trustees play a critical role in shaping the resilience and direction of the charity. Yet many organisations that I see are struggling to attract trustee candidates with the right mix of financial, strategic, and operational expertise.

This is more than just a recruitment issue, I can see – it is a broader governance gap with real consequences, not only for the charities themselves but also for the communities and services that depend on them.

Charities are facing increasingly complex challenges, from funding pressures to rising demand and without strong governance, their ability to respond effectively is compromised.

Tapping into leadership skills

At the same time, as these challenges don’t appear to be going away, many charities are overlooking or struggling to reach a potentially transformative talent pool. If you’re in the private sector, I’m certain that there are skills that are taken for granted, such as financial oversight, risk management, digital transformation, and long-term strategy – these are exactly what charity boards lack.

To make a sweeping statement, if you’re a professional, trusteeship is still too often perceived as a purely altruistic commitment, rather than a strategic career move. We need to flip the lens here.

Research from the Charity Commission shows that 96% of trustees report developing new skills through their role. At the same time, many cite improved leadership capability, broader strategic thinking, and increased exposure to governance challenges. So, it makes complete career sense to me.

Leadership development beyond the day job

In an era when senior leaders and their business plans are expected to demonstrate adaptability, purpose-driven leadership, and strong governance credentials, trusteeship is a practical way to meet those expectations. Because, unlike traditional executive roles, trustee positions provide exposure to:

• Complex stakeholder environments
• Resource-constrained decision-making
• High-level governance and regulatory oversight

These experiences are increasingly valued at the board and C-suite levels across all sectors as far as I can see, and importantly, trusteeship also allows business leaders to test and refine their leadership skills in a different context, often with a level of responsibility that exceeds their day-to-day role.

How do we remove the barriers?

Despite all the benefits I’ve set out, of course, barriers remain. It’s the same things I hear, and it’s mainly down to lack of education - lack of time to commit or a general unawareness of how much time is needed to fulfil a trustee-type role and uncertainty about how much responsibility is involved, which continue to deter potential candidates.

We need to move away from the idea that trusteeship is 'another commitment' for already busy professionals. It's an opportunity, one that delivers both personal development and meaningful impact.

Greater collaboration between the business and charity sectors will also be key, particularly in raising awareness of the mutual value that trusteeship can deliver.

A shift in mindset

Encouragingly, there are signs that attitudes may be changing. Cross-sector initiatives are increasingly bringing business leaders and charities into closer dialogue, exploring how organisations can thrive amid adversity and ongoing pressures, and the growing need for skilled trustees. But, if the trustee gap is to be meaningfully addressed, a broader shift in mindset is required.

For businesses, that may mean actively encouraging senior staff to take on trustee roles as part of their leadership development. For individuals, it may involve rethinking how and where they build the skills needed for the next stage of their careers.

And for the charity sector, it means continuing to make the case that governance is not just a necessity, but a strategic advantage.

A shared opportunity

Ultimately, the trustee shortage is not just a challenge for charities to solve on their own. It is a shared opportunity; one that sits at the intersection of business expertise and social impact.

For business leaders willing to step beyond the confines of their own organisations, the question is no longer simply whether they have time to contribute. It is whether they can afford not to.