A new code of fundraising practice – what is changing?

The Fundraising Regulator recently published a new Code of Fundraising Practice, which will come into force on 1 November 2025. Whilst not legally binding, the code sets out the expectations of the Fundraising Regulator. The Charity Commission also recognises the code as reflecting the legal requirements and expected fundraising standards to be followed by charities and their fundraising partners.

If your organisation carries out fundraising as part of its activities, it is important that you familiarise yourself with these changes.

Chris Hook, partner, and Anna Glover, paralegal, both in our charities team, consider what the new code might mean for you.

A shift to a “principles-based” approach

The new code was prepared following a lengthy consultation process, which considered the views of over 200 fundraising organisations.

Much of the new code has not fundamentally changed, but it is significantly shorter than the current code (45% shorter, to be precise). This is primarily due to the regulator’s shift away from prescriptive rules to a “principles-based approach”.

It is intended that the principles contained in the new code will empower fundraisers to exercise good judgement in a wide range of scenarios. The regulator hopes that this approach will have several advantages, in particular that it will be more flexible, proportionate and “future-proof”, allowing fundraisers to apply the principles to a range of contexts without having to wait for specific advice about new approaches.

What has changed? 

In addition to the broader shift to a "principles-based approach", the new code includes some specific changes and additions. It is important for organisations that take part in fundraising to familiarise themselves with the new code before it comes into effect. We have set out some key changes below:

• Protecting fundraisers from harm and harassment – the new code introduces a new requirement for organisations to take reasonable steps to protect fundraisers from harm and harassment while fundraising. This includes ensuring that reporting processes are in place and following these processes in the event of an issue.
• Managing fundraisers’ behaviour – the new code imposes a broad obligation on fundraisers to take all reasonable steps to ensure that their fundraising is carried out in a way which reflects positively on fundraising in general. This includes not unreasonably intruding on a person's privacy or being unreasonably persistent with the fundraising approach.
• Paying fundraisers – the new code includes less prescriptive provisions relating to paying fundraisers. While the existing code includes provisions relating to payment caps and commission payments, the new code simply directs organisations to give appropriate consideration to the approach for paying fundraisers in light of the values of the charity.
• Unstaffed collections – the new code introduces a new rule in relation to unstaffed collections (which might include, for example, collection boxes or contactless donation points, as well as automatic donations such as rounding up a bill in a shop or restaurant). Where such methods are used, the organisation should take reasonable steps to make sure that donors have clear, accurate and up-to-date information about the collection, such as the name of the institution and any additional fees or payments included.
• Removing reference to lotteries – the new code has stripped out rules relating to lotteries and instead refers fundraisers to the Gambling Commission’s guidance.
• Engaging with the Regulator – the new code includes a new rule on responding constructively to the Fundraising Regulator in relation to regulatory enquiries about keeping to the code. The new code also states that organisations must make sure fundraising partners similarly respond.

Supporting guides

The new code is accompanied by three new code support guides, which similarly come into effect on 1 November 2025. These guides are intended to help fundraisers comply with the code in relation to (i) documenting fundraising decisions, (ii) carrying out appropriate due diligence, and (iii) monitoring fundraising partners.

Key takeaways

Although there are advantages to flexibility, the shift to a “principles-based approach” in the new code will place greater pressure on fundraising organisations to interpret and apply these principles within their fundraising activities. It will therefore be increasingly important for fundraising organisations to keep a record of their decision-making and to seek advice where required.

Organisations will also need to ensure that they are familiar with any external guidance and legislation relevant to this decision-making, such as data protection duties and employment rights, where appropriate.

In anticipation of the new code becoming effective, organisations should share this with staff and trustees, who should consider whether any changes need to be made to the organisation’s fundraising methods. If your organisation has any fundraising policies or any arrangements with fundraising partners, these should be reviewed in light of the new code and supporting guides.

You can access the new code here.

Need support?

We advise a range of fundraising organisations on how to make effective decisions that comply with the law and good governance practice.

If you have any questions in relation to your fundraising activities and any associated obligations, we recommend seeking advice at an early stage to ensure that your organisation is taking the required steps.

For further information or guidance, or if you have any charity or fundraising queries in general, please contact Chris Hook via [email protected] or 0191 211 7801 or Samantha Pritchard via [email protected] or 0191 211 7905.