Charities - prepare for 2026

Jan 7, 2026

Stronger operating models

As charities look ahead to 2026, financial pressure is no longer being treated as temporary. Constraint is now assumed, and operating models are being reshaped accordingly. The emphasis is shifting away from expansion for its own sake towards disciplined, resilient structures that prioritise clarity, focus and long term sustainability.

Leadership

This shift is bringing leadership capacity firmly onto the strategic agenda. Boards are increasingly recognising that wellbeing, workload and succession are central to organisational effectiveness, with supported and credible leadership now seen as a prerequisite for long term impact.

Evidence

Expectations from funders are tightening in parallel. Ambition alone is no longer sufficient. Confidence is increasingly built on evidence of delivery, clear outcomes and the ability to execute well under pressure, placing greater emphasis on organisational maturity.

Focus

These pressures are reinforcing the need for sharper choices. With funding becoming more structured and scrutiny increasing, charities are being more selective about where they invest time and energy, and more willing to turn down income that pulls them away from their core purpose.

Diversification

Income models are evolving in response. Over reliance on a single stream is being replaced by more balanced approaches that combine individual giving, events, partnerships and earned income, strengthening resilience and reducing risk.

Human and lived

Alongside these structural changes, there is a renewed focus on human connection. Lived experience is playing a more influential role in shaping strategy and services, moving beyond representation to inform real decision making. At the same time, communication is becoming more selective and more human as organisations seek relevance rather than reach.

Collaborative

Behind the scenes, collaboration is also changing. Less performative and more pragmatic, shared services, partnerships and, in some cases, mergers are being explored as practical tools to sustain capability and extend impact.

Taken together, these patterns point to a sector that is becoming more focused, more confident and more deliberate, doing fewer things better, and preparing for the future with clarity and intent.