A Charity Commission investigation has concluded that trans youth charity Mermaids has been mismanaged over a several years but the regulator has found no evidence of misconduct.

It found that the charity had failed to “ensure its governance, culture and practices kept pace with its growing size, demand for services and public profile”.

This was a “major factor that contributed to wider governance failings” at the charity, it said.

Its probe concludes there was mismanagement due to the charity’s failure to tackle internal issues around culture and inclusivity at the charity.

It also failed to “carry out sufficient due diligence checks when recruiting trustees”. The regulator found this resulted in the charity recruiting a board member who Mermaids found should “never have been appointed”.

A failure to adhere to its own human resources policies around the supervision of the charity’s former chief executive was also found.

The regulator began investigating the charity in September 2022 amid complaints around its chest-binding services and online support being offered to young people.

Alleged ties between the charity’s former chief executive and the Tavistock and Portman NHS Foundation Trust were also raised as concerns.

This was then escalated to a statutory inquiry two months later after an equality, diversity and inclusion review commissioned by the charity found “multiple issues of concern relating to the charity’s culture, operational management and processes”, says the regulator.

During its probe the regulator interviewed the charity’s trustees, senior staff and former chief executive as well as reviewed its log of complaints, calls and content on its online forum between 2020 and 2023.

The Charity Commission has noted that the charity has addressed concerns raised with an action plan and provided evidence of improvements made.

Further concerns not upheld

In addition, further concerns raised about misconduct at the charity have not been upheld. This includes complaints that it provided medical advice outside of its charitable remit and made medical referrals for young people without the approval of a parent or carer.

No evidence of inappropriate ties with Tavistock and Portman NHS Foundation Trust or private medical practices were found.

Complaints the charity did not have appropriate safeguarding policies in place were also not upheld.

It also notes that Mermaids had a detailed policy relating to its chest binding service, which was terminated in October 2022.

However, “in a small number of cases” the charity could have “been more transparent with service users when declining requests”.

If the service is resumed the regulator is asking the charity to ensure it adheres to the recent Cass Review, which found “weak” evidence on treatments such as puberty blockers, and any future NHS guidelines around parental involvement.

“The provision of services to children affected by gender identity issues is a highly challenging area that requires great care and sensitivity,” said Charity Commission chair Orlando Fraser.

“This is especially so for charities, given the authority that registered status will likely carry with children and their families.

“We have carefully scrutinised Mermaids’ activities through a statutory inquiry and have found mismanagement in a number of areas.”

He added: “Mermaids cooperated with our investigation and has been actively addressing the various concerns raised.

“Additionally, following the Cass Review, we have required Mermaids to present a more accurate picture on its website as to the risks involved in the use of puberty blockers, and to follow Cass Review findings on the involvement of parents in social transitioning as regards any future provision of chest binders to children.

Mermaids ‘relieved’ investigation is over

Mermaids chair Kathryn Downs has said the charity is “relieved” that the Charity Commission’s investigation “which began nearly two years ago is finally over”.

But she is concerned that charities dealing with sensitive issues are not better supported or protected during investigations.

“Considering the changes already made at Mermaids independently of this Inquiry, the time taken to publish this report has been frustrating, significantly affecting Mermaids’ fundraising and ability to deliver on our charitable objectives,” she said.

“We call on the Charity Commission to ensure that organisations serving groups facing rising hostility are supported and protected, whilst being held to account where this is necessary.

She also welcomed that no misconduct was found and that there was no evidence that it acted improperly in its work with young people.

Downs added that the charity accepts that its “governance did not keep pace with the charity’s rapid growth” and that historic governance issues have been addressed through its own internal reviews.

“As Mermaids approaches its 30th birthday, we remain determined to deliver on our 2024-27 Strategy and expand our efforts to create a safe, inclusive society where trans children and young people are empowered to live their best lives, at a time where our communities need the support Mermaids delivers more than ever,” she added.

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