The RSPCA has been given an official warning by the Charity Commission over its hefty payout to its former chief executive.
In a damning rebuke to the animal welfare group, the Charity Commission said its trustees failed to ensure the decision was properly made, and their failings amounted to mismanagement.
The voluntary sector regulator launched an investigation after it was reported that the interim chief executive, Michael Ward, had received a significant sum after claiming that he was rejected for the permanent role because of his age.
The 57-year-old left the charity with a payoff far in excess of the £150,000 salary commanded by the chief executive post, according to the Times.
The Charity Commission said on Wednesday that the trustees “failed to ensure they were sufficiently informed” before making a settlement offer to Ward, nor had they acted with reasonable care and skill in their negotiations with him.
Broadening its criticism beyond the deal with Ward, the commission said it had experienced a concerning level of engagement with the RSPCA over its governance in recent years, given the charity’s size and importance.
It also noted an “unusually high turnover among its chief executives” and significant periods without a substantive person in the post.
David Holdsworth, deputy chief executive of the Charity Commission, said: “The RSPCA is a much-loved national institution performing a crucial role in animal protection, with its staff and volunteers undertaking vital work. The public, and the RSPCA’s many members and supporters, need it to succeed and to deliver important benefits for society. They rightly expect that it should be run by its trustees to the highest standards.
“Unfortunately, that has not been the case and the charity’s governance has fallen short, which has led to people asking legitimate questions about the payout to the former executive.
“Issuing an official warning signals to the trustees that we expect them to resolve this important issue and take immediate steps to improve the charity’s governance.”
The commission raised concerns about the RSPCA’s governance last year when Jeremy Cooper quit suddenly after a year in the job. It said: “It is important that its governance is brought up to the standard that the public would expect.”
Cooper had taken over in 2016 after two years when no one was permanently in the role. His predecessor, Gavin Grant, stepped down due to ill health in 2014, after a controversial two-year term in which he faced criticism for his aggressive campaigning against badger culls in England and for a successful but expensive prosecution against David Cameron’s local hunt.
Ward assumed the interim role in July last year, after Cooper’s departure. He left the charity in May after 10 years. Subsequently, Chris Sherwood, who had headed Relate since 2015, was appointed as RSPCA’s permanent chief executive.
Holdsworth said that the recent election of a new council, the introduction of a new code of conduct and the recruitment of a new chief executive provided an opportunity for a fresh start for the charity, but warned further regulatory action would follow if it did not materialise.
A spokesperson from the RSPCA council said: “The RSPCA ruling council is fully committed to the very highest standards of governance. Council continues to implement the recommendations of the governance review, with more than 90% of them completed, and is working hard with our new chief executive on the outstanding items.”
