The new Code of Fundraising Practice (the Code) took effect from 1 November 2025 following a two-year review. This means that charitable institutions, their staff and third-party fundraisers need to ensure that their fundraising practices comply with the updated version. The Fundraising Regulator has published guidance on its website outlining the key changes from the previous 2019 Code.
The new Code introduces additional requirements relating to:
- Convenience giving and unstaffed collections – Anyone making a donation must always be able to identify the charity and understand how their donation will be used;
- Fundraiser safety – Charities must take reasonable steps to protect fundraisers from harm and harassment; and
- Fundraising platforms – Platforms must be clear about how any fees are added and provide a straightforward way for donors to remove voluntary tips.
To support these requirements, the Code establishes a principles-based set of rules. These rules provide that:
- Charities should develop appropriate policies, including an ethical fundraising policy and a policy addressing the safeguarding of those engaged in fundraising activities, and ensure that funds raised by the charity are applied for charitable purposes;
- Governing bodies must ensure that charitable assets are properly and responsibly allocated; and
- Governing bodies must act reasonably and carefully in all matters relating to fundraising.
Governing bodies’ responsibilities set out in the Code include:
- Overall responsibility for all fundraising activities, including delegated tasks;
- Following guidance and codes issued by the relevant regulators;
- Ensuring that fundraising complies with data protection laws;
- Seeking appropriate advice where required;
- Considering the impact of potentially controversial fundraising campaigns;
- Assessing and managing risks arising from fundraising to the charity’s activities, beneficiaries, property, work and reputation; and
- Meeting all reporting and accounting obligations relating to donations.
The Information Commissioner’s Office (the ICO) regards fundraising as a form of direct marketing, bringing it within the scope of the Privacy and Electronic Communications Regulations 2003 (PECR). Where personal data is involved, the UK GDPR also applies. Under forthcoming changes introduced by the Data (Use and Access) Act 2025, a soft opt-in for charities carrying out direct marketing to promote their charitable causes will be introduced.
These changes will allow charities to send electronic marketing communications, such as emails and text messages. However, they will also substantially increase penalties for breaches of PECR. The new rules are expected to come into effect in January 2026, and charities will need to carefully consider how best to implement these new marketing opportunities.
The Code provides links to relevant legislation so that fundraisers can understand their legal requirements. Whilst the Code itself is not legally binding, it is important that charitable institutions and fundraisers follow it to demonstrate that their fundraising practices are legal, transparent and respectful, and that they foster the public’s continuing trust.
If you would like further advice on the Code, or on any other aspects of charity law or data protection law, please contact Alison Marr or any other member of our Charities & Third Sector team.
This article was co-authored by Eve Gunson, Trainee Solicitor in MFMac's Charities & Third Sector team.
