2025 trends

2025 Fundraising Trends

January 14, 20264 min read

Three fundraising trends I’ve noticed in 2025 (and what they mean for nonprofits)

As I’ve walked alongside charities, churches and community organisations this year, I’ve found myself having the same conversations again and again. Different contexts, different causes, but strikingly similar pressures.

2025 hasn’t introduced entirely new fundraising challenges. Instead, it has intensified existing ones. What once felt manageable now feels stretched, exposed or fragile. Four trends in particular stand out.

1. Grant funding is more competitive than ever

For many organisations, grants remain a vital income stream. But grant-givers are reporting unprecedented levels of applications. Where one grant-giver reported 30% of applications used to be successful, the figure is now closer to 4%!

Funders are seeing record demand. Expectations around evidence, impact and governance are higher. Applications are more detailed, and competition is fierce, especially for unrestricted or core funding.

What’s notable is that unsuccessful bids are not always down to weak work on the ground. Often, organisations are doing excellent things but struggling to articulate them clearly, align with funder priorities, or present a compelling, confident case.

What this means:
In 2025, successful grant fundraising is less about volume and more about quality. Organisations that invest in understanding funders, sharpening their narrative, and building strong systems are far better positioned. Training, preparation and strategic focus are no longer optional extras; they are part of being grant-ready.

2. Income diversification has moved from sensible to essential

Another recurring theme this year has been vulnerability. Many organisations have discovered just how exposed they are when a single income stream falters e.g. a grant ends, a donor moves on, or costs rise unexpectedly.

I’m seeing more nonprofits realising that reliance on one or two funding sources creates constant anxiety and limits long-term planning. It also puts immense pressure on fundraisers, who are often firefighting rather than building sustainably.

What this means:
Diversification isn’t about chasing every possible income stream. It’s about intentional choices. A clear fundraising strategy helps organisations decide where to focus, what to grow, and what to stop. By spreading risk across multiple income streams, nonprofits can build resilience, confidence and freedom to plan for the future rather than just survive the present.

3. Fundraisers are hard to find, and harder to keep

The third trend is people. Experienced fundraisers are a small (and in-demand) group, and many organisations, especially smaller ones, simply can’t compete with larger charities on salary or capacity.

This often leads to long vacancies, over-reliance on one individual, or leaders carrying fundraising alongside everything else.

What this means:
Some of the most effective organisations I work with have shifted their mindset. Instead of searching endlessly for the “perfect” fundraiser, they look for people with heart, integrity and belief in the mission, and then invest in training, mentoring and support. Fundraising is a skill that can be learned. Passion, values and commitment are harder to teach.

4. Greater awareness of the Fundraising Code of Practice

The fourth trend I’ve noticed is a growing awareness of the Fundraising Code of Practice, often driven by trustees, regulators or funders rather than fundraisers themselves.

This increased scrutiny can feel daunting, especially for smaller organisations or those new to fundraising. But it’s also a sign of a healthier sector that values transparency, accountability and trust.

What this means:
Good fundraising isn’t just effective, it’s ethical. Organisations need to ensure their fundraising is compliant, well-governed and rooted in respect for donors and beneficiaries alike. This requires clear policies, informed trustees and fundraisers who understand both the how and the why of good practice. When compliance is seen as an enabler rather than a burden, it strengthens credibility and protects relationships.

What does it all mean?

These four trends are deeply connected. Increased competition for grants, fragile income models, stretched fundraising capacity and heightened regulatory expectations all point to one underlying issue: sustainability.

The organisations navigating 2025 most confidently are not those chasing quick wins. They are the ones willing to:

  • Invest in fundraising learning, and capability

  • Take strategy seriously

  • Build diversified income over time

  • Nurture people, not just pipelines

  • Fundraise with integrity and confidence

Fundraising will always be challenging. But approached thoughtfully, it becomes less about pressure and more about partnership, purpose and long-term impact.

Dani Knox

The Fundraising Coach!

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