Historical Context and Recent Developments
The House of St Barnabas, established in 1862, has long been dedicated to offering temporary aid and support to individuals facing homelessness. However, the charity entered liquidation in January 2024, prompting significant changes in its governance structure. Following this, a new corporate trustee, The Explorers Club (Soho), was appointed to oversee the charity, taking over from The House of St Barnabas.
In early 2026, The Explorers Club (Soho) formalised a licensing agreement with a private entity known as The Explorers Club (London) Ltd, allowing the latter to utilise the charity’s premises at 1 Greek Street for the operation of a private members club. This arrangement was anticipated to generate a steady income for the charity through membership fees, thereby enabling its continued operation.
Concerns Over Financial Mismanagement
Recently, the regulatory body received a serious incident report alerting them to potential fraud involving the charity. The report indicated that there is a dispute regarding a loan secured against the property at 1 Greek Street, which appears to remain unpaid. Consequently, the creditor has initiated steps to recover the debt, raising alarms about the charity’s primary asset being in jeopardy.
In light of these developments, the regulator has decided to launch an inquiry aimed at uncovering the facts that led to this situation. The investigation will scrutinise the financial arrangements and decision-making processes that have occurred within the charity.
Inquiry Focus and Objectives
The inquiry will concentrate on several key aspects, including the administration, governance, and management of the charity. Specific areas of investigation will include:
- The potential risk to charitable property.
- The appropriateness of the governance arrangements, particularly concerning the management and oversight of the licensing agreement with The Explorers Club (London).
- The decision-making processes regarding the charity’s financial arrangements, including any loans.
The scope of the inquiry may be broadened should additional regulatory concerns arise during the investigation.
Transparency and Future Reporting
Following the completion of the inquiry, it is the policy of the Commission to publish a comprehensive report outlining the issues investigated, actions taken, and outcomes of the inquiry. This commitment to transparency aims to inform and reassure stakeholders about the integrity and operations of the charity.
Role of the Charity Commission
The Charity Commission serves as the independent, non-ministerial government department responsible for the registration and regulation of charities in England and Wales. Its objective is to function as an expert regulator that ensures fairness and balance, thereby fostering an environment where charities can thrive. This ambition is crucial to building public trust and enhancing the vital role that charities play in improving lives and strengthening communities.
On 29 October 2026, the Charity Commission initiated a statutory inquiry under section 46 of the Charities Act 2011, prompted by significant concerns regarding the risk to the charity’s assets. This legal framework empowers the Commission to conduct formal investigations into matters of regulatory concern and implement protective measures for the benefit of the charity and its beneficiaries.
For further details on the Charity Commission’s inquiries and guidance provided to charities, additional resources are available on their official platforms.