The Charity Commission has asked the Treasury for additional funding, and will consult on charging charities next year, its new chief executive has said.

Helen Stephenson, who took over three months ago at the regulator, reaffirmed in her blog that she would continue the drive begun by her predecessor, Paula Sussex, to charge charities for services.

"I am making the case to government for transition funding to help us bridge the gap between our funding and the significant increase in demand on our services," she said.

"But, in the context of continued pressures on public finances, these two insights – that the Commission must do more to support trustees, and that our current funding settlement does not allow that – lead me to one longer-term conclusion. Namely that we must start a sensible, open debate about larger charities making a modest contribution to the cost of parts of their regulation."

She also promised that the Commission would deliver better services for trustees.

"I believe the Commission must develop and improve its services to trustees. It must continue to become easier to do business with us, we must be more available and accessible with advice and guidance for individual trustees. 

The public needs a regulator that can call out bad practice, but to secure the continued success of the charity sector we also need a regulator that is able to help trustees get it right."

Details of charging

Stephenson indicated that the Commission would look at a flat fee for charging.

"We are currently working on detailed proposals, which we hope to consult on next year," she said. "That discussion might be difficult, but it is right that we have an open debate with charities and the public about this." 

She expects that the only the largest 2,000 charities would pay and that a flat rate of £3,500 would raise £7m. A variable rate is also under consideration. 

Introducing a levy would require secondary legislation to be voted on Parliament. Before the consultation can begin it will need approval from the Treasury.

Discussion about a potential levy has previously been met with resistance from many in the sector. The Commission had initially hoped to consult at the beginning of this year. 

Opposition to the proposal has been considerable in the charity infrastructure sector. Last week the leaders of the Charity Finance Group, Navca and the Small Charities Coalition wrote to the Treasury asking for more funding for the regulator to be included in next week’s budget to avert  the need for the regulator to charge charities.