Public benefit
Public benefit is what separates a charity from a private club or a business. An organisation can only be a charity if each of its charitable purposes is for the public benefit — and trustees have an ongoing duty to run the charity in a way that delivers it.
Section 4 of the Charities Act 2011 requires every charity purpose to be for the public benefit, and trustees must have regard to the Charity Commission’s public benefit guidance. (Source: legislation.gov.uk, Charities Act 2011 s.4; GOV.UK, Public benefit: rules for charities, accessed 9 July 2026.) The test has two parts: the benefit must be identifiable and not outweighed by harm, and it must reach the public or a sufficient section of it rather than a narrow private group.
In practice this shapes who you help, how you set any fees, and what you report. Trustees confirm they have met the duty in the Trustees’ Annual Report. For how purposes and public benefit fit together, see the Trustee & Governance Handbook.