An independent review into Mermaids has said that its high level of board turnover has weakened confidence in the charity’s governance both internally and externally.
Conducted by NCVO, the review provides 21 recommendations for the charity, which works to support transgender and non-binary young people.
NCVO’s review, commissioned by Mermaids, examined its governance by reviewing its key governing documents and policies, conducting surveys and one-to-one interviews with trustees and senior staff.
In its statement announcing the review, Mermaids said it had accepted all of the recommendations and agreed an action plan with its leadership team on how to address them.
Mermaids is currently under investigation by the Charity Commission due to concerns regarding its governance and management.
Chair Belinda Bell announced her decision to step down last week amid a “hostile external environment”.
The charity’s former CEO of six years, Susie Green, also stepped down last November amid regulatory scrutiny.
High board turnover
Mermaids’ board decided to commission the review in December 2022, with NCVO selected the following month and undertaking the review between February and May.
The review noted a high turnover of trustees, with only outgoing chair Bell being in post for more than two years of its nine board members.
According to the Charity Commission website, two trustees were appointed in 2021, five were appointed last July and one was appointed this year.
The review reads: “While Mermaids should be incredibly proud of their work and the development of the organisation in the past year, it is important to recognise that the board turnover has weakened confidence in governance both internally and externally.
“Developing clear frameworks for planned succession as well as growing confidence of the existing trustees will have a significant impact within Mermaids.”
The review recommends the charity review its term of office and role descriptions for trustees, as well as develop a formal induction process for them.
According to skills audits conducted by Mermaids trustees, NCVO found the board had a high level of expertise in teamwork, safeguarding, risk management and strategic development.
The trustees said they had a lower level of expertise in managing investments, cyber security and risks, digital and IT and company law and regulation.
More trustees recommended
NCVO’s review recommended the charity grow its board to 12 trustees, to ensure it has a strong mix of skills and experiences.
The report stated this would help share the “significant mental and emotional load of being a Mermaids trustee (particularly for those trustees with lived experience as a trans person).”
In its statement announcing the review, Mermaids said some of the recommendations given had already been completed by the time it received the report.
Mermaids is currently looking to recruit a new chair and trustees to its board.
Personally invested trustees a ‘huge benefit’ to Mermaids
As part of the review, several trustees said a challenging external environment can affect their experience and ability to fulfil the role.
It reads: “Part of leading an organisation like Mermaids is making objective decisions about topics which are likely to be close to an inherent aspect of trustees’ identity or the identity of those they are close to, often examining these topics due to negative events in the wider world.”
However, the review states that the personal investment trustees have in Mermaids is a “huge benefit” to the organisation, and NCVO recommended that it not be compromised in favour of objectivity.
“Mermaids should instead look to support trustees in balancing their personal opinions and experiences with the wider needs of the organisation,” it states.
“It is also important that trustees feel able to challenge each other and the organisation without this being perceived as subjective.”
NCVO also recommended the charity create a board hub where trustees can access all necessary information.
Interim CEO: ‘Looking forward to working on these areas’
Lauren Stoner, interim CEO at Mermaids said: “We’re really pleased that NCVO’s report shows the strengths of our governance, and highlights the areas where we’ve still got some work to do.
“The team and I are looking forward to working on these areas with our trustees over the coming months, especially as we look to diversify our board with a new chair and additional trustees.”
Mermaids has said it will be focusing on three recommendations in particular over the coming weeks and months, including:
- Improving how the charity explains how its governance works and how decisions are made to staff, volunteers and external stakeholders.
- Improving how trustees work with senior staff and their ability to hear feedback from staff and volunteers.
- Testing out its new recruitment and induction processes for staff and trustees.
NCVO: Reviewing governance a ‘part of good charity practices’
Sarah Vibert, CEO at NCVO, said: “Regularly reviewing governance structures and processes is an important part of good charity practices.
“We encourage all charities to commission a governance review at least every three years, in line with the Charity Governance Code.
“This will help to ensure that decision making is effective, considered and focussed on the missions, values and long-term health of an organisation.
“We look forward to seeing how the recommendations of this review are actioned as Mermaids continues to grow and develop as an organisation.”