HADDENHAM SOCIAL AND SPORTS CLUB
Controlled Document
Document Name: Conflicts of Interest Policy & Procedures
Agreed by Committee on: 15th of August 2024
Review Schedule: Every two years
Next review due: January 2025
Responsibility: J Fulcher (Chairman)
Document Description
This policy identifies what a conflict of interest is and how to ensure that Haddenham Social & Sports Club staff, volunteers, and clients do not experience any such conflicts. The policy is followed by procedures on how to implement this.
Implementation & Quality Assurance
Implementation is immediate, and this Policy shall stay in force until any alterations are formally agreed.
The Policy will be reviewed every two years by the Committee, sooner if legislation, best practice, or other circumstances indicate this is necessary.
All aspects of this Policy shall be open to review at any time.
Conflict of Interest Policy and Procedures
1. Definition
A conflict of interest is any situation in which the personal interests or interests owed to another body, employee, or volunteer run counter to those of Haddenham Social & Sports Club.
Conflicts of interest occur in situations where an individual committee member, employee, or volunteer stands to gain directly or indirectly through engagement in activities that may potentially affect the Club adversely. It will also occur if that individual is engaged with an organisation whose aims are incompatible with those of the Club.
2. Committee Members
Conflicts of interest can lead to decisions that are not in the best interests of the Club and that are invalid or open to challenge. Conflicts of interest can also damage a Club’s reputation or public trust and confidence. These harmful effects can be prevented when individuals can identify conflicts of interest, and the committee can act to prevent them from affecting their decision-making.
All trustees have a legal duty to act only in the best interests of their charity.
2.1 Conflicts of interest usually arise where either:
2.1.2: There is a potential financial or measurable benefit directly to a member, or indirectly through a connected person.
2.1.3: A member’s duty to the Club may compete with a duty or loyalty they owe to another organisation or person.
2.1.4: In practice, this means that members cannot receive any benefit from the Club in return for the service they provide to the Club unless they have express legal authority to do so.
2.2 The Charity Commission identifies examples that any of the following may amount to a potential conflict of interest:
2.2.1: Benefits to members are where the members decide to sell, loan, or lease Club assets.
2.2.2: Acquire, borrow, or lease assets from a member.
2.2.3: Pay a member for carrying out their role.
2.2.4: Pay a member for carrying out a separate paid post within the Club.
2.2.5: Pay a member for carrying out a separate paid post as a director or employee of the Club.
2.2.6: Pay a person or company closely connected to a member for providing a service to the Club.
2.2.7: Employ a member’s spouse or other close relative at the Club.
2.3 Conflicts of loyalty
These conflicts of interest arise because, although the affected member does not stand to gain any benefit, the member’s decision-making at the Club could be influenced by his or her other interests.
For example, a member’s loyalty to the Club could conflict with their loyalty to:
2.3.1: The body that appointed them to the Club.
2.3.2: The membership or section of the Club that appointed them to the committee.
2.3.3: Another organisation, such as their employer.
2.3.4: Another charity of which they are a trustee.
2.3.5: A member of their family.
2.3.6: Another connected person or organisation.
The test is always that there is a conflict of interest if the member’s other interest could, or could be seen to, interfere with the member’s ability to decide the issue only in the best interests of the Club.
- Identifying and Declaring Conflicts of Interest from Affecting Decision Making
Although declaring conflicts of interest is primarily the responsibility of the affected member, the committee should ensure that they have strong systems in place so that individual members:
- Have a clear understanding of the circumstances in which they may find themselves in a position of conflict of interest.
- Understand their personal duty to declare them.
2.5 Register of Interests of Committee Members
All members should complete a Register of Interests on an annual basis and be alert to any other possible conflicts of interest, advising the Chair as soon as they arise.
Conflicts of interest are to be a standard agenda item at the beginning of each Committee meeting to allow the opportunity for declaration of any actual or potential interest in any of the items on that agenda.
A member should declare any interest they have in an item to be discussed at the earliest possible opportunity and certainly before any discussion of the item itself.
If a member is uncertain whether they are conflicted, they should err on the side of openness, declaring the issue and discussing it with the other members.
If a member is aware of an undeclared conflict of interest affecting another member, they should notify the chair.
2.5.1: Any member who has a financial interest in a matter under discussion should declare the nature of their interest and withdraw from the room unless they have a dispensation to speak.
2.5.2: If a member has any other interest that does not create a real danger of bias, but which might reasonably cause others to think it could influence their decision, they should declare the nature of the interest but may remain in the room, participate in the discussion, and vote if they wish.
2.5.3: If in doubt about the application of these rules, the Chair should be consulted.
2.6 Record the Conflict of Interest
Keep a written record of the decision. Where there is a conflict of interest, the members should ensure that the written record of the decision shows:
2.6.1: The nature of the conflict.
2.6.2: Which members were affected.
2.6.3: Whether any conflicts of interest were declared in advance.
2.6.4: An outline of the discussion.
2.6.5: Whether anyone withdrew from the discussion.
2.6.6: How the member took the decision in the best interests of the charity.
Recording decisions in this way helps trustees to show that they have acted properly and complied with their duties.
3. Staff and Volunteers
3.1 Staff and volunteers need to be mindful of potential conflicts of interest. These can occur if people use their position to:
3.1.1 Further their financial interests, e.g., by taking on private work with a client.
3.1.2 Benefit a third party with whom they are associated, e.g., recommend a tradesperson to whom they are related.
- Discriminate against a service user due to their political or religious views or allegiances.
- Refer people to agencies with whom they have a connection, e.g., to a particular charity with whom they have an involvement.
- Unfairly benefit a service user to whom they are related, e.g., by applying a reduced charge for a service.
- Are employed or engaged by an organisation in competition.
- Are involved with groups whose values conflict with those of the Club.
This list is not intended to be exclusive but is indicative of the kinds of issues that can arise.
A written record of reported conflicts of interest is to be maintained in a register, which is to document any declarations of conflict of interest and how the Management Team has dealt with them, noting:
- The nature of the conflict.
- The person(s) affected.
- How the management decided in the best interests of the charity.
