Unfortunately, charity fraud remains a real risk for charitable organisations of all sizes. This year, Charity Fraud Awareness Week falls on the 8th-12th December 2025. It’s an important initiative designed to educate and remind charities and trustees about the threat of fraud. The campaign encourages organisations to stay alert, understand common charity fraud examples, and put safeguards in place to protect their funds and reputation.
Recent Warnings from the Charity Commission
The Charity Commission has issued a new alert to the charity sector, warning about the types of fraud risks currently affecting charities. This reminder highlights the importance of good governance, oversight, and fraud prevention training.
Common Types of Charity Fraud
There are several types of charity fraud that organisations should be aware of. Below are some key charity fraud examples and how they can occur:
Insider Fraud
Fraud committed by someone within the charity (such as a trustee, employee, or volunteer). This type of fraud can involve the misuse of funds, falsified expenses, or unauthorised transactions.
Cyber Fraud
Fraud committed online (for example, hacking into charity banking systems, sending fake emails or invoices, or impersonating suppliers or donors).
Last year, over 50% of organisations suffered an insider threat attack, and 90% of businesses felt vulnerable to cyber-attacks, showing how widespread these risks can be.
Other Charity Fraud Risks to Be Aware Of
In addition to insider and cyber threats, charities should also be alert to other forms of fraud, including:
- Donation fraud – where fake donation pages or scams divert funds.
- Due diligence and partnership fraud – when external organisations or grant partners are not properly vetted.
- Money movement risks – ensuring funds are moved safely and only with appropriate authorisation.
Being aware of these charity fraud examples can help trustees and finance teams put stronger preventative measures in place.
What You Can do to Reduce The Risk/Impact of Fraud on Your Charity
- Conduct risk assessments
- Introduce segregation of duties – ensuring no one person controls all aspects of a financial transaction.
- Regularly log in to online banking – investigate query transactions.
- Never accept change of bank account details via email alone
- Have a clear whistleblowing policy
- Minimise cash
- Perform regular reconciliations and audits
- Explore insurance
- Train your team to spot fraud
- Strengthen cyber security
Stay Informed During Charity Fraud Awareness Week
Events like Charity Fraud Awareness Week are valuable opportunities for charities to review their internal controls, assess their exposure to fraud risks, and learn from real-world examples. Regularly engaging in fraud awareness training can make a significant difference in preventing financial loss and maintaining public trust.
How 360, Chartered Accountants Can Help
At 360 Accountants, our team is trained in fraud prevention and detection. If you’d like to discuss the impact of threat of charity fraud on your organisation, please get in touch:
📞 Call us on 01482 427360
📧 Email help@360accountants.co.uk
Or you can view our charity services.
