2025 Predictions for income and fundraising in Catholic parishes, dioceses and Catholic Charities

John Green

Source: Catholics in Fundraising

Parishes, dioceses and Catholic charities often struggle with fundraising as they focus on core needs of the Church's mission. But in 2025, a Jubilee year by collaborating with Catholics in Fundraising they can easily maximise support in their endeavours for evangelisation and social action. John Green of Catholics in Fundraising offers strategic suggestions below for success in 2025

1. Demographic Challenges

- Declining clergy numbers, church marriages, births, and baptisms will impact Catholic demographics in the UK.

- Immigration is a key contributor to maintaining Catholic numbers.

- Church closures may generate diocesan revenue but hinder evangelisation and community building.

- Some overseas clergy need better training in British cultural norms for giving to avoid alienating parishioners.

2. Fundraising as a Priority

- A new Archbishop of Westminster and President of the Bishops' Conference in 2025 could see an encouragement for better coordinated diocesan fundraising as a key strategy to support much needed evangelization and spiritual formation.
Trusts and committed donors remain critical to preserving church buildings and supporting evangelisation.

3. Technology and Digital Innovation

. AI & Automation:

- AI can improve donor segmentation, optimize appropriate 'asks', and streamline correspondence at the right moment.

- Automation can enhance operational efficiency, freeing up resources for more personal engagement.

Cybersecurity:

- Fundraisers must collaborate with charity/diocesan IT to mitigate cyber risks, particularly with remote working trends.

- Staff training in IT and cybersecurity is vital to keep pace with digital advancements.
4. Donor Engagement and Retention

. Individual Giving:

- Economic challenges make donor retention a priority, as it remains more cost-effective than acquiring new donors at every level, parish, diocesan and charity.

- Strategies should focus on engaging supporters meaningfully, maintaining clean and current donor data, and aligning with faith-based motivations.

. Church Collections:

- Increased adoption of contactless giving and planned donations (standing orders or direct debits) is essential for income stability. Dioceses that don't have a plan for this need to adopt or seek assistance for this as a priority.

5. Major Donors and Legacy Giving

- Economic pressures are leading to fewer donors, but giving larger amounts.

- The 2025 Jubilee Year offers an opportunity to tie fundraising to spiritual renewal and legacy projects (e.g., refurbishments, bursaries, debt reduction efforts).

- Investments in legacy giving programs over the past decade are poised to yield significant returns, particularly with high property values. As evidenced by Your Catholic Legacy research noting the benefits of membership to growing legacy gifts. Dioceses not engaging with this are likely to be missing out on long term support.

6. Grant Funding and Research

- Building long-term relationships with grant funders fosters reliable support and alignment with their missions.

- Higher interest rates will bolster trusts' investment incomes, supporting sustained grant-giving.

- Research, like the anticipated Catholics in Fundraising study in 2025, will offer insights into growth and collaboration opportunities for Catholic charities who collectively are amongst the most significant of charities in the country by income and impact.

7. Schools and Alumni Engagement

- Catholic schools play a vital role in promoting philanthropy as part of faith formation.

- VAT on independent school fees will pressure bursary programs, while RAAC issues and budget constraints will strain rebuilding initiatives.

- Building robust alumni associations in both independent and state schools can help address funding gaps, but recruiting qualified development staff with church understanding remains challenging.

8. Recruitment and Staff Development

- The tight labour market will emphasize training, mentoring, and peer support to retain and upskill new staff.

- Groups like Catholics in Fundraising provide essential support networks to address recruitment and retention challenges.

Conclusion:

Professionalized and innovative fundraising in the Catholic context can address demographic and economic challenges in 2025. Leveraging technology, building long-term donor relationships, and fostering peer support will be crucial to sustaining and renewing the Church's mission during this transitional period. Membership of Catholics in Fundraising catalysis's parish, diocese and Catholic charity fundraising beyond what they can achieve alone.

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About Catholics in Fundraising

Catholics in Fundraising is the UK's leading network for Catholics working in fundraising. It aims to build a strong community of like-minded individuals, offer insights into best practices, and encourage innovative approaches to fundraising within the Catholic context.

Twitter @cathfundraising

email: catholicsinfundraising@gmail.com