In 2002, the High Court decided that the Rec was a charitable trust. This meant there were two discrepancies with the objectives of the Trust:
Bath Rugby is a commercial organisation and the land leased to it cannot be used for charitable purposes
The Leisure Centre provides for indoor sport and recreation and the land that it occupies is no longer an open space.
The Charity Commission ruled that the Trust had to rectify these discrepancies.
In 2006, the Trust Board carried out a Strategic Review to consider how to resolve the discrepancies and to establish the best way forward. The review examined three options based on; minimal impact uses, variations to the current usage, and significant change.
The results of the Review were published in 2007 and consultation revealed that a majority of respondents were in favour of the option to vary the current usage.
In 2008, the Trust submitted plans to the Charity Commission which involved the retention of both Bath Rugby Club and the Leisure Centre on BathRec. Based on these plans, the Charity Commission accepted that the leisure centre could remain and the objects of the charity could change to allow indoor activities.
The Commission agreed there were circumstances in which Bath Rugby Club could remain on BathRec. However, it considered that the benefits of the 2008 proposal did not outweigh the detriments resulting from the Club staying.
The Trust therefore needed to develop a further proposal with additional benefits sufficient to outweigh the detriment resulting from the lease of land to the Club.