THOUGHTS

The changing donor landscape charities can’t afford to ignore.

We’re halfway through the year, and two of the most significant reports on UK fundraising have landed. Between them, they tell a story that should stop charity leaders and fundraisers in their tracks. Not just because the data is worrying (though it is), but because the warning signs are now clearly visible across the sector.

The CAF UK Giving Report 2025 confirms it: fewer people than ever are giving to charity. Among younger generations, the drop-off is even more pronounced. Not because they’re hostile to charity, but because giving has quietly slipped off their radar. The sense of connection isn’t there. Neither is the ask, in many cases.

The Blackbaud Status of UK Fundraising 2025 picks up where that leaves off. It shows income volatility, increased reliance on major gifts, and growing digital maturity gaps. It reports most organisations are still hitting fundraising targets, but often through one-off gifts, or luck, or sheer determination from overstretched teams. That’s not a strategy. That’s survival.

So, we need to talk about individual giving. Because what these reports show, and what many charities are already experiencing, is a slow erosion of the donor base. And unless we act now, the next wave of lost income won’t be unexpected. It’ll be the direct result of standing still.

THE TRENDS NO ONE CAN AFFORD TO IGNORE

Let’s start with the obvious: people are giving less often. That’s not just anecdotal. It’s now backed by national data. The CAF Report makes it plain. Donation levels are the lowest they’ve been since tracking began. Sponsorship is down too, by nearly six million people.

Younger people, in particular, are tuning out. Not only because they’re feeling the financial pressure (though that’s part of it), but because they’re not being reached in ways that matter. The classic channels feel off. The cause messaging doesn’t land. And spontaneous giving isn’t what it was when “stick a quid in the bucket” was a common reflex.

The Fundraising Status report, meanwhile, gives us a peek inside the sector’s engine room. The charities that are growing income are often doing so through exceptional gifts. Good news on the surface, but not something you can build a long-term programme around. And individual giving still doesn’t feature prominently in most income portfolios. For some, it’s barely being considered.

And that’s a problem. Because while legacy and statutory income have their place, they won’t carry you if regular supporters quietly slip away and nothing replaces them.

Woman feet with red sneaker shoes walking away on a road.

IT’S NOT ALL BAD NEWS (ALTHOUGH THIS SHOULD STILL BE YOUR WAKE UP CALL)

Here’s where things get interesting. While fewer people are giving, those who do are giving more. The average donation has increased. Regular giving, though under pressure, still plays a significant role in income. And among charities reporting stable or growing revenue, individual giving has grown in importance.

So the issue isn’t that people won’t give. It’s that they’re more selective, more cautious, and more likely to pause or cancel if the relationship feels thin.

Then there’s digital maturity. The report shows a clear link between income growth and charities that are getting their digital foundations right. This isn’t necessarily about shiny tools or the latest CRM. It’s about having the basics in place so you can understand your supporters properly. The difference between knowing who gave, and knowing why.

WHAT CHARITIES CAN ACTUALLY DO

The first thing is to stop seeing this as a short-term blip. The donor base isn’t just shrinking because times are tough. It’s shifting because expectations have changed. A quick tap-to-donate and a generic thank you won’t cut it anymore. Supporters want to feel part of something. They want relevance, clarity and connection.

Happy young brunette woman with headset waving to laptop screen, having video call whilst sitting on sofa at home.

That doesn’t mean throwing out your current programme. But it does mean refocusing. There are three things worth prioritising:

AND FOR ANYONE STILL HOPING THIS WILL FIX ITSELF

If there’s one message that comes through both reports, it’s this: waiting it out won’t work. The old models are fading. The casual donor is disappearing. The pipeline is thinning at the top and leaking at the bottom.

But this isn’t a lost cause. It’s a call to take individual giving seriously. Not just as a revenue stream, but as a relationship worth building properly. That means strategy, not short-cuts. It means testing and learning, even when budgets are tight. And it means being honest about the work needed to keep people connected, not just compliant.

There’s still time to shift course. The charities that take action now, the ones who invest in understanding their audiences, improve the supporter experience, and bring real clarity to their message, will be in a stronger position when the next round of data lands.

And they won’t have gotten there by chance.

Built on the combined experience of our founders, Creativity Unbound brings over 30 years of knowledge from across different industries to support VCSE’s of all sizes.

We’d love to bring our experience, creativity and passion to help realise the true potential of your audiences.

We’d love to hear from you.
Call us on 01603 339138 or email hello@creativityunbound.co.uk

We’d love to hear from you. Call or email us.